The Detroit times., 1910-06-01
LOSES NEARLY
s50,00OON STOCKS
New York Bankers Son Files Charges
Against Brokerage Firm Which Is
Suspended From Stock Exchange.

NEW YORK, June Oscar l..
Richard. president OF the State bank
and head OF the Arm Of c. B. Richard
& Co., No, 81 Broadway. said that be-
cause of large losses sustained by his
son he had brought charges against
the New York Stock Exchange house
of E. F. Hutton & Co. The Arm was
exonerated on these charges, but a
further investigation caused its
suspension. a..
Mr.. Richard, when seen at his home
No f6 East Seventy-second-st., said:
There Is an absolute rule In the
Stock Exchange which forbids mem
bers accepting accounts from any
employee of another Stock Exchange
Arm. The reason for this rule Is APP
parent upon its face. II would not
be right for any firm to permit specu-
lation in various stocks by a clerk
employed by another firm. who might
think that he had special information.
Lost Nearly $4,000.
my son, w. l.. Richard, lost his en-.
tire inheritance, a little less than $780,
900, that he had received from
grandparent, In his transactions with
Hutton q Co. My son at the time he
made the transactions with the firm
In question was employed by another
firm OF bankers and brokers"
Have you another son who was In
volved in the transactions"
Il have a son Harold, who Is older
than his brother, who was formerly
assistant cashier OF the State bank.
He is now established in another line
of business and wish to state that he
has absolutely no connection with the
present case,
when | found that my younger
son had been carrying an account In
Wall street consulted with at least
twenty OF the most prominent bank
ers in New York. They advised me
to take action against Hutton Il Co.
They advised me that II would be alb
solutely necessary to press the charge
Of accepting an account from an EN-
ployee OF another firm In order to
prevent serious difficulties In the
future.
so | whisked my son out OF Wall
street. He Is now employed at a
place seven hours by an express train
from New York and is doing well.
did not bring the charges against
Hutton & Co. for financial reasons. |
have not asked that they return the
! money lost by my son. have simply
taken the stand that they have violat-
ed the agreement under which the
Stock Exchange operates"
The FIRMS Side Of II.
Edward Z. b. Adams, a member Of
the firm of Hutton & Co, said:
Had IL not been for the charges
fled with the board OF governors
against our firm by the father Of
young Richard there never would
have been any basis for the Anal
charge OF splitting commissions,
Young Richard still owes us 5000.
I have no idea how much the young
man lost before his father stepped in
aud tried TO make us refund all losses
We did not know that the young man
was employed in Wall street and
when we refused to make good his
losses the charges were brought
against US"
During the investigation OF the
charges Il was found that II. J. Bar
rett. one Of Hutton Co.'S employees.
draws a salary OF $4,000 a year. He
and Richard were friends, but Il Is
said that young Richard was equally
friendly with some Of the members OF
the firm.
Young Richard is unmarried He Is
popular In the clubs and owing TO the
esteem In which his father Is held in
the financial world he has made many
n
He has travelled In Europe and the re-
port OF his losses has occasioned
much comment.