New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1901-06-29
THE MARQUAND FAILURE


| New-York and to acquire and develop coal
lands along the line. Henry Marquand
G. Co. bought S6,0OO,000 of the bonds
of this company at par, receiving
with the bonds bonus of % per cent stock
The enterprise seems to be one of merit but the
company is not yet a fully going concern. and
| the investment locked up too much of the firms
| capital for comfort for safety. The financing
| of the Gas and Electric Company of Bergen
! County was another of the firms operations
Mr. Poor lives in Hackensack, in Bergen County,
and is president of the Gas and Electric Com
pany. which is consolidation of several light
| ing companies in different parts of the county.
This concern also is supposed to have future.
! and reports have been heard from time 10 time
| that the United Gas Improvement Company OF
Philadelphia, trying to gain possession of it.
| but its securities have not yet come into gen.
| eral favor with investors. With much of their
capital tied up in corporations like these. the
securities of which are not regarded quick
assets. the firm after while found themselves
compelled to put up these securities in loans.
DECLINED BY MANY BANKS.
! Many of the banks declined to accept them as
collateral. and gradually the firms loans were
practically concentrated in the Seventh National
Bank Latterly Henry Marquand Il Co. have
figured in the market as heavily committed on
the bear side selling short large blocks of such
standard stocks as New York Central, Pennsyl-
vania Railroad, United States Steel common and
Metropolitan.
AS late as on Monday of this week the firm
was a seller of short stocks On Tuesday they
asked some of the concerns to whom they had
sold stocks the previous day to allow the sales
to stand as loans as they could not borrow the
stock for delivery Their condition was known
then and delivery in almost every case was IN
sisted upon. They evened up on Tuesday, BUY
ing stocks all day to cover outstanding contracts.
Their purchases were continued on Wednesday
and Thursday.
The Gas and Electric Company of Bergen
County are listed on the Stock Exchange and
early this week the stock sold at lois 1t has
been common report that such price was the
result of manipulation.
Yesterday 400 shares Of Bergen Gas and
and Electric stock traded in. at a net de-
cline of 511s points. The stock sold as low as
80, advanced TO 1864, and closed at H.
A peculiar feature about the Pittsburg Shaw
NUT and Northern bonds, which are not listed
on any exchange. was the advertisement OF
curb broker, who offered the bonds for sale at
% in May, stating that $4,000 worth would he
sold and that the price would be put down z
per cent daily until the bonds were sold Then
they were put down point day TIL - was
reached. when the bonds were withdrawn 1t
was generally thought that the seller believed
Henry Marquand & Co. would come TO the
rescue.
Mr. Marquand IS a director of the American
Fire Insurance Company. Manchester Fire As
surance Company, Mount Morris Bank. St
Louis and san Francisco Railroad and the St
Louis Iron MOuptain and Southern Railway.
Mr.. Poor is director Of the Gas and Electric
Company of Bergen County the HackenSack
Trust Company, the HaCkensaCk Bank the
Pittsburg shawmut and Northern Railroad, the
Rutherford National Bank and the First Ma
tional Bank of RidgewoOd, y. J.
The stock market developed strength on the
announcement of the assignment Of the firm.
being assured that all the news Of trouble was
in. and prices generally advanced. the market
closing strong. with material net gains in many
issues.