Evening journal., 1908-08-27
TO MAKE BROWNS
THE SCAPEGOAT
Said That the Great Interests
Of Wall Street Wanted the
Firm Put Out
FEAR DISCLOSURES OF
GAMBLING METHODS

BY United Press Leased Special Wire.
NEW Ohn, Aug. Zi.-otandard Oil
and the Morgan interests marked the
firm of A. o. Brown q Co, for slaugh-
ter said a well-known operator on the
stock exchange today, because they
feared the passage of an anti-gambling
law which would practically kill all
Of their big plunges on the market.
And you'll see" he continued, that
the Brown firm win be made the Goat
to convince the public that the big
men of the street frown on gambling"
This view of the case is general to-
day in Wall street 1t is pointed that
the great interests which fatten on
stock exchange gambling have been
badly scared for some time and fear
full that fresh disclosures of the meth
DDS in vogue would result i'm passage
of a restrictive law and that the daring
operators of the Browns were consid-
cred a danger to the plan of keeping
everything quiet in the market at least
until after the election.
For this reason it is said. Brown g.
Co. were refused credit even though
they offered as security s7.O00.OOO in
credit and an amount large enough in
order cases to have secured them all
the credit they desired The attitude
of the banks in refusing credit to the
Brown firm is taken in the street to-
day as indicating that the stock ex-
change has also marked the firm for
at least a severe disciplining. whether
the five investigators named by Presi-
dent Thomas. who are all governors of
the exchange will make the firm of A.
o. Brown & Co the scapegoat and will
| % Ia Of - J..
last Saturdays carnival Of wash sales"
to escape scot free is as yet uncertain.
Will Probe in Secret.
The committee has announced that
all its deliberations and Investigations
will be secret and that nothing will be
made public until after its report to the
board of governors. The fear of a
restrictive law which would cut down
the profits of the banks which lend
money for stock gambling purposes and
the further dread that such a law,
would cause a tremendous shrinkage in
the value of stock exchange certificates
is apt to enter heavily into the case OF
Brown & Co.
L. F.. Buchanan. one of the princi-
pals in the Brown firm. gave color tc
the stories that his firm had beer
marked for slaughter in a statement
ssued today in which he says in part:
"Our failure was caused by the sud-
den refusal of our banks to certify oui
checks as they had always done and
by the attitude Of the stock exchange
Summoned before the investigat-
ing committee. Mr.. Buchanan and two
of his associates, A. O. Brown and
Lewis Ginter Young. practically defied
that body. I'VE decline to answer off
hand some of the committees questions
which we deemed impertinent," said
Mr.. Buchanan. "but have written them
that our books are open to their ex-
lamination providing the assignee Is
willing"
While they viii say nothing on Tho
subject, the members OF the Brown
firm make II plain by their attitud,
that they viii not be made the 'scape-
goat for the exchange without a strug.
lgle and that their SUSPENSION instead
Of ouieting popular clamor may vet
develop into a means whereby the very
restrictive laws their disciplning wa.
meant to block may he so brought t,
the public attention as to react on tho
big interests in a way they little de-
sire