The sun. [volume] (New York [N.Y.]) 1833-1916, 1903-07-25
LOSE $t,500,O00--J. R. KEENE
"NOT EMBARRASSED. ONLY AN.
NOYED" BY TAYLOR FAILURE.
Firm lmprndently Let People "Stick Them"
--keene Helped Them M Far as He
Thought Prudent In a "HoDeless Mar.
ket"-Nobody Else VIII Lose Much.


ket"--Nobody Else VIII Lose Much.
James r. Keene puts his personal loss
by the failure of Talbot j. Taylor d Co.
at sl,5OOOOO. He was at the Offices Of the
firm the greater part OF the day and there
were many callers last night at his rooms
in the Waldorf-Astoria. Mr.. Keene said
to SUN reporter there:
II am the largest loser by this failure
no far as the creditors are concerned. l
reckon I lose about S1,5O0.0C0. l have
seen some statements in the papers this
afternoon intimating that l am heavily
involved, but that is not 80.
Except for the amount Of money have
stated my personal fortune is not impaired.
l was not connected with the firm in any
way. shape or form. had my office there,
il In true, but l was not interested in the
firm outside Of the fact that II did my BUSH
ness and that the head of it was my SON.
in-law I want to make 1t clear that the
fortune OF myself and of my family is in
no way affected
Il am not embarrassed; l am only an
noyed that this should have happened.
! am annoyed also because | think they
have conducted their business In a very
improvident way. They allowed certain
people to stick them, and they are now
suffering for it,
Il would have seen them through IT,,
because Mr.. Taylor ia my son-in-law and I
would have liked to see the firm weather
the storm; but the condition Of the market
was so gloomy and 80 disoouraging that
in justice to myself could not see my way
clear to give them any further help"
what is the total amount OF the liza
bilities'" Mr., Keene was asked.
Il cant say for certain, but what do
know Is that am the largest creditor and
that outside OF myself and the banks no
one will lose much. And the banks are
pretty well protected because all the loans
they made are covered by ut least a 20 per
cent. margin"
Asked as to the direct cause Of the failure
Mr. Keene said: They held large amount
OF securities they could not get rid Of.
The securities, too, were what l might
call investment securities There was
nothing Of a speculative character about
them, and as the firm could not get rid of
those securities and did not feel that
would be justified in doing more than
had done, the firm had to go under.
The crisis which came yesterday had
been foreseen for some time, and as the
market got worse instead Of better the
Leavy holdings carried by the firm could
not be sold. and when the banks began to
ask for more margins the firm had to
suspend
Mr.. Keene was asked what the character
Of the heavy holdings Of the firm was. but
he did not care to go into that.
aThey have acted imprudently and al
lowed themselves to get into a hole they
ought to have avoided" he said
Nor would Mr.. Keene reply to an inquiry
concerning the parties who had, to use
his own term, Stuck his son-in-law 8
firm.
win you help the firm to pay its debts
and 20 resume businass?' was another
question asked of Mr., Keene
II can't say now" he answered. Il
never saw such hopeless market before.
Why, when you see the preferred stock of
the United States Steel Corporation selling
at 8S IL It any wonder that had to let go Of
the firm, especially as they were loaded
up with lot OF stock that they could not
SELF They held on al long as possible
hoping for favorable turn in the market,
but conditions went from bad to worse in
stead Of improving and they simply had
70 60 under
More than once during the interview
Mr.. Keene repeated that outside OF the
81, 500, 600 he had contributed to help the
firm to tide over the storm he had lest
nc thing, and that he was substantially
solid in every way my loss is not flea
bite, he remarked once, "but 1t is not caus-
ing me any worry and will not embarrass
me in any way"