New-York tribune., 1910-07-28
SAY PEARSON PARTED
WITH BIG HOLDINGS
Wall Street Hears Syndicate
He Heads Sold Heavily to :.
Kuhn, Loeb & Co.
ALL I'M RAILWAY SHARES
Sharp Gain on Stock Exchange
Following Sudden Check OF
the Liquidation of
Day Before.

There was a sharp recovery IN prices
on the STOCK Exchange yesterday. fol-
lowing the severe break Of the day be-
fore. and at the close Of the net gains
ranged from l TO 81 points in the lead
ing issues. United States Steel common,
Union and Southern Pacific. Reading.
St Paul and An1algamated Copper wip-
ing out most of the loss on the preced-
ing day. The inactive issues. like Mis-
souri, Pacific. Delaware & Hudson ST.
Louis Southwestern preferred. also had
substantial recoveries, the gains in this
class Of stocks at the close OF the day
ranging in most instances from liz 20
points.
Brokers attributed the advance in part
TO the unexpectedly good statement Of
the United States Steel Corporation.
made public after the close OF business
on Tuesday. but the most important
factor was the sudden cessation of the
forced liquidation which was so much in
evidence on the preceding day In this
connection IT was learned from trust
worthy sources. although the report
lacked official confirmation. that a pow
erful banking syndicate, headed by
Kuhn. Loeb & Co. had taken ove- sew
eral large blocks of stocks which have
been overhanging the market.
Say Pearson Was Seller
These blocks Of stocks. it was said.
represented part Of the holdings OF a
group Of AngIo-American capitalists.
headed by DR. T. S. Pearson, who were
reported last winter TO have been large
purchasers Of American railway stocks.
principally Rock Island preferred. Le-
high Valley. Wabash. Missouri Pacific
and Denver & Rio Grande- The object
OF the syndicate, it was said at the time.
was TO get control of a line OF railways
running from the Atlantic TO the Pacific
Coast
It was said yesterday that the syndi-
cate found itself overextended and had
been forced to Iiquidate large part OF
its holdings which were rumored 10 be
in the neighborhood of 100000 shares.
valued at between S2jOO0.0O0 and S30.-
100000 The exact amount OF the Sc
curities transferred could not be learned
but in the aggregate it was said to oe
large and to represent the bulk OF the
syndicate's holdings Of Rock Island pre-
ferred. Lehigh Valley and Missouri Pa
cifc, as well as substantial amount of
the other stocks mentioned
Kuhn, Loeb & Co refused either to
deny or affirm the report that they had
purchased the securities referred 70. Or
any other holdings. but bankers admit
ted that large amounts Of stocks held by
foreign interests had been taken over by
American banking interests. Dr. Pear
son had left the city before the report OF
the liquidation of the syndicate's hold
ings came out but his secretary said
that so far as he was aware there was
no truth in the rUnOr. He said that Dr.
Pearson. like other operators. had been
Obliged to put up more margin when the
break in the market came, but that he
had not been embarrassed, so far as he
knew. TO the extent Of having 10 part
with any of his holdings
Pearson in Big Deals
Fred s Pearson. whose syndicate hold
fngs of Rock Island and other stocks arc
reported 10 nave DeeQ IlQU4OdISO, = q
well known electrical engineer He is
credited with having influenced and
largely directed the investment OF up
ward of S2OO.OOO.OOO Of English capital
in Mexico. and nearly as much more in
Canada and South America He -
largely interested in tramways in MexI-
can and South American cities. and was
the purchaser Of the railroad and lun-
Der enterprises In Mexico at one time
controlled by Colonel Greene.
He organized a S40OOO.O0O company TO
take over these properties. and has con-
solidated them under the name OF the
Mexico Northwestern Railway. OF
which he is president. He is interested
in many other corporations, including
the Mexican Light and Power Company,
Limited, the Rio de Janeiro Tramway
Light and Power Company, Limited the
Mexico Tranways Company and the
Mexican Transportation Company. Not
withstanding his affiliations with Eng
t. A~r1.a -