The Washington herald., 1907-06-14

Philadelphia. June I3.-Lawson-s scheme
TO break the system has been tested.
II failed.
A. +. Appleyard, OF this city, is the
man whose name VIII so down in history
as having given the theory Of the Boston
fnsncier that panic can be created or
virtually no capital a practical trial.
The experiment ended IN a jolt to MIR.
Appleyard, which put him out Of busi-
ness
It has been claimed by another man,
who is after the 5000 check put up by
Lawson with his publishers 10 prove that
there was no flaw in his theory, that the
very obvious fallacy lies in the rule Of
the exchanges that spectators attempt
ing the trick can be called upon for cash
margins against their open trades.
Even AppIeyard Convinced.
Appleyar1 if he could be interviewed
to-day. doubtless would admit such a
flaw exists. He was called upon for mar
gins by his felloW-members of the Phil
adelphia Stock Exchange against the
1870 shares Of United Gas Improvement
stock. which he had sold. He could not
put up. and he was to-day declared in
solvent.
The Boston stock market prophet,
turned author. claimed in his book that
as long as a member of an exchange was
able 10 talk and be heard he could sell
stocks. and no one could stop him. Il was
the food of shares that "BrOwnley'
threw upon the market that demoraIized
the whole financial world and ruined the
system" SO the Lawson tale ran.
It was a great panic. the biggest ever,
and millions upon millions of dollars OF
profit went to the hero as the result Of
his iron nerve. II would seem as if
Applcyard had been a close reader of the
Lawson book
How He struck the snhE.
The sales Of APplevard. made yesterday.
represented at the price the shares We're
sold, a valuation in round figures Of N.154.-
G'o and it is figured that the loss TO the
other brokers as q result of Appleyard S
transactions amounts to between S5o.Cod
and $4,000 which should be reduced by
the forced sale cf his exchange member
ship. probably about $1,000
I'm the short time Appleyard has been
active I'm the exchange he has created a
bigger stir than most brokers do I'm a life
time. Several weeks ago ne raidod Phila-
delphia Rapid Transit and made q big
profit on the decline of the stock Ex-
perienced brokers said he made a fatal
mistake when me tackled L. G. T.. prob
ably tho strongest Cf the local stocks
Even AZ that. the Lawson might have
worked an right If the brokers hadn't
taken advantage Of the rule which gives
them the right TO call for margins That
settled Appeyard.
AppIeyartl'S Boston Career.
Boston. June ia. +. Applevard.
whose failure was announced in Phila-
delphia to-day. formerly had offices in
this city, where he was known as a pro
moter interested chiefly I'm street railway
properties I'm Western New York and I'm
Ohio. The failure Of the German Bank,
of Buffalo. y. Y, about three years ago,
was followed by the indictment Of Apple
yard. who it was alleged. had secured
large sums from the bank in connection
with his railway projects.
His protracted fight against extradition
vas one of the strongest ever made az
the State house. Gov W. L. Douglas
granted eZtraditou papers in April. 1875,
but Applevard carried the case through
the State courts. and finally 10 the United
States supreme Court which decided
against him about year later, and ne
was taken to Buffalo. where. It is under
stood here. the case against him ulti-
mately was settled ont Of court Apple
yards offices here were given up about a
year ago.