The sun. [volume] (New York [N.Y.]) 1833-1916, 1903-07-26
KEENE FIRM OWE $9,00O,000?
BEST GUESS Wall STREET COULD
MAKE-NOTHyNG OFFICIAL.

Them Time--SDme or the Loans. Pre-
sumably on southern Pacific. Sold
Market Fairly strong at Yesterdays
Opening. hut Closes with Prices Lower
-SDecuiatiOns About the Results.
Talbot J. Taylor 4 Co. or rather Talbot
j. Taylor and James b. Taylor as general
partners in tho firm. filed yesterday their
general assignment to Philip j. Britt, a
Tammany lawyer. with an office at ITO
Broadway. The assignors make prefer
ences in favor of all employees whose
salaries are unpaid The statement of the
condition of the derunct firm, which Mr..
Britt thought he would be able 10 make
yesterday was not forthcoming. The
bookkeepers and accountants were unable
to supply the assignee with sufficient
data. Mr.. Britt said
at will be impossible for ME TO make
any announcement until Monday regarding
the condition of Talbot j. Taylor 4 Co.
Accountants will keep steadily ut the books
until we fird out definitely where we are
at, and then o statement will he issued.
| may say, however, that ! have talked
with the chief creditors Of the firm. which.
except Mr.. Keene, ara banks. and i have
been very much gratfled at their friendly
attitude. With ono exception, all have
agreed to hold the collateral of the firm
for a reasonable time, in order that the
market may have a chance to recover
and that tho collateral may be- disposed
of at prices which may leave n balance TO
the firms credit may add that have
a. p.
several Of the loans at private sale rather
than on the floor of the Stock Exchange.
| do not care to say what particular loans
tn ese are, but III" prices agreed upon are
very favorable to Taylor & Co."
ONE TRUST COMPANY SOLD OUT.
1t was learned that the institution which
would not, or did not. enter into negotia-
tions with the assignee of the defunct firm
was Wall Street trust company which
has lately absorbed one of the oldest trust
companies in the financial district.
OF course. no statement could be OBJ
tanned from this trust company as to TIE
amount of money it had lent to Taylor
h Co., nor could any official information
be obtained az to the character of the collat-
eral upon which the loans We're made. A
close personal friend Of -Uncle" Russell
Sage made. however. the following
statement:
RUSSELL SAGE HOLDS ON,
Aside from James r. Keene. Mr. Sage
ls the largest creditor of Talbot j. Taylor
Il Co He is quite satisfied with the collat-
eral which he holds for the money advanced.
1 may say, in passing, that Mr. Sage's record
that he never has lost a cent on any colat-
eral which he has taken for loans. Fur
thermore. it has always been his practice
when a client Of his became hard pressed,
or had to fail, to do everything he could
10 improve the position of that client. He
will follow that custom in the case of Talbot
j. Taylor 4 Co., and he has agreed to hold
the collateral which he holds until such q
time, within reasonable limits, of course,
as the market shall revive and it will be
possible TO sell the securities at prices which
will ultimately net something to Taylor
4 Co.
MY understanding is that all but one of
the financial institutions which had eS-
tended loans to Taylor n Co. have agreed
10 do practically the same thing as has Mr..
Sage That one exception 1.-THE man named
the trust company dumped all the Taylor
4 Co. collateral which it had on the market
this morning, for the purpose, l believe,
Of buying it back at panic prices. TIE
securities which this company threw over
board shortly after the Exchange opened
were Rubber Goods common and pre-
ferred, Baltimore and Ohio preferred. and
North American | understand that prac-
tically all the sales of these four stocks
recorded on the Exchange this morning
were for the account of this trust company
TRUST COMPANY LOAN NEAR A MILLIoNf
Additional verification of this state
ment was obtained from a man who is
largely Interested in the North American
Company, who said that practically all
the stock of that company sold on the
Exchange Yesterday was for the account
of the trust company mentioned by Mr..
Sage's friend. These two statements, COM
pared with the transactions in the stocks
mentioned. suggest a basis for estimating
the amount of Talbot }. Taylor Co.'S
loans with the trust company in question.
The total sales Of Baltimore and Ohio pre-
ferred yesterday on the Exchange were
1 900 shares. Tha stock opened at 80.
touched s21. and closed at IS, showing n
loss since Friday of "A points. or North
American, 1910 shares were sold. The
stock opened at II, touched 70 and closed
nj II, showing a loss since Friday of l2I
points Rubber Good, common lost 81,
points on sails of 1880 shares, and the
preferred lost points on SALES aggregating
3 800 shares.
LIABILITIES OF FIRM NINE MILMoNst
II the trust company referred to was
tho principal seller of these stocks, and
il lent on "a margin of 20 per cent. IN"
usual margin in the Street for such loans
the Wall Street mathemalicians figured
out that the total loans Of the company
to Taylor 4 Co were not far from s95sOOO
Mr. keene admits that he was a creditor
OF the Arm to the tune Of 81 100000. Mr.
SaEe's friend said that -Uncle' Russell
was the next largest creditor There
fore the financial skarps put his loans
TO Taylor 4 Co. down at si,200,OOO. II
was also learned from seemingly authori-
tative source that the other financial in
stitltions which had lent money on Taylor
4 Co.'S collateral were I've First National
the City National the Galatin National
and the National Bank Of Commerce.
II was estimated that among them
these four banks had lent to the firm not
far from $1,000 ,OGO. Add to this 81 100000,
the estimated amount which tho firm Dor
rowed in London, and sl.OoO.OOO of scatter