The Washington herald., 1908-08-28
WRANGLE OYER
BROWN ACCOUNTS
Bankruptcy Suits Filed as
Committee Probes.
TWO WITNESSES QUESTIONED
Evidence Kept Secret Until Investi-
cation Is Over-Partner in Wall
Street Firm Which Went to the
Wall. After Futile Attempt to
swim 100000 shares.

New York. Aug g7.-While lawyers
representing customers with claims asgre-
eating $4,000 were bringing bankruptcy
proceedings against A O. Brown < Com
pany to-day and the special stock ex-
change committee was examining Albert
o. Brown and Lewis Ginter Young. z. F
Buchanan. the partner who was manager
OF the main otEce. buckled down 10 the
hard work OF getting order out CT the
confusion in which the firms accounts
are enta1glsd-
M B1chanan was as rugnacious as
possible He was going q fight the game
out, he said. and insisted that there
would be no quitting on the part Of his
firm
Briefly. Mr.. Buchanan's contention is
that the firm was solvent on Tuesday.
but was driven out OF business by a
coterie OF brokers who went into the
market and bought in stock for the
firms account and by banks who re-
fused to extend the customary accommo-
da1ions and 70 loan the firm money on
perfectly good collateral
Our attorneys are now discussing as
20 how we shall act in the bankruptcy
proceedings he said
1Ir. Buchanan was asked 10 explain the
origin ard motive Of the firms trans
actions IN 10000 shares.
I don't blame YOU for wanting 70
know" he replied, but I've got that piece
OF information IN my head. and its Eoinz
10 stay there for some time.
His attention was then directed TO d
report that as many as three-fourths
Of the uru's commitments were repre-
serted by one account and that q blind
account recorded on The books under a
number and with TO name. He replied
that under no circumstances would he
give the name OF a customer. either to
the stock exchange authorities or To any
one else
The STOCK exchange committee examined
Albert O. Brown and Lewis Ginter Young
al considerable length. but did not have
Air- Buchanan before L.
The stock exchange people refused 70
give OUT the evidence II was said thar
the committee would make public its
findings in d summarized shape
Other stock exchange committees have
the suspension before them. particularly
the committee on discipline. The princi-
pal questions are whether or not the
Circumstances warrant an expulsion Of
the members Of the firm who had stock
exchange seats. or perhaps. a recommen-
ia --t-- --4dL LleE Dc TeELSeI TelLSEar rer1nur-
Il viii probably BE- several days before
q decision Is reached
Bankruptcy Petition.
a petition in bankruptcy was fled
against the firm IN the afternoon 6y
House. Grcssman & Vorhaus. Noses 4.
Grossman- Of that firm explained that
this action was taken after consultation
with Avery and SchlessinEer, lawyers.
who. as well as lIr Grossman-s firm.
represent many creditors Mr.. Grossman
said thar from a superficial examination
he had discovered nothing that could be
considered a basis for any criminal pro-
ceediuE-
The petitioners are Frank Y. Strauss.
the theatre programme man his firm.
Frank Y Strauss & Co. and Leo Won
Raven who is also in the theatrical
advertising business
An application for the appointment OF
a receiver has been forwarded 70 Judge
Holt al his country place