Tulsa daily world. [volume] (Tulsa, Indian Territory [Okla.]) 1905-1919, 1911-10-27
Sensations IRE
lCorlInncd from Pagc ono. }

(CoEtlnucd from Page One.)
such as Tennessee stock, Republic
Iron and Steel and other indusurials,
We're destroyed on the street and
among the bankers, and the question
of their failure was mooted.
stock Was Discountcnanccd.
"The Tennessee stock was especially
subjected to criticism, and in Wall
street parlance, was hammered
very heavily as collateral. VI. c.
Frick and f. II, Gary, representing
the corporation, took up the negoua-
ton with Schly for the purchase OF
the syndicate stock OF the Tennessee
company, offering him first the equiv
aleut OF sixty cents on the dollar and
a few days later seventy-fiVe cents on
the dollar In cash, which Schly de-
clined. Oakleigh Thorn, who was
president Of the Trust Compay OF
America a New York institution, was
one Of the syndicate that purchased
the majority OF the stock of the Ten
ncssee company, having subscribed
| for 1880 shares.
In n New York paper Of October
90, appeared statement headed
Aided Trust Company Of America.
Perkins Found the spot
Among other things, II said that
at a meeting the night before OF the
chief bankers Of the city, headed by
| p. Pierpont Morgan & Company, II
was formally decided that the point
that then needing butressing was the
/ Trust Company of America, and that
/ this determination was announced af-
/ ter Mr. Perkins (meaning George w
| Perkins Of J. +. Morgan n Company
| had been In conference subsequent 70
! the gathering Of the bankers. a part
OF the article sub-headed, The Off
cial statement said The chief sore
point Is the Trust Company of Amer
I lea.
After exchanging confidence In
the condition OF the company, and
stating that II would be aided, anC
that cash had been guaranteed there
for, II was stated that these steps
were taken for the announcement that
the company would be taken care OF
II an examination into its affairs
which had been authorized, showed
conditions to be as sound as there wa!
every reason 10 believe them to be.
Making "a Desperate Condition.
This announcement helped materl'
ally to cause a run on the said Trus
company, and aggravated the genera
uneasy condition and made the posi-
tion OF Moore q Schly more desper
ate. IL was generally known tina
Horne and Schly were members o
the Tennessee syndicate.
Regardless of the interest in Civ
ing out the statement--and the fact
are not sufficiently well known &
make any charge in this regard-th
fact Is that 1t contributed directl
and strongly toward bringing Moor
Il Schly to a point of immediate fall
ure. although they were amply sol
p vent Their condition had becom
desperate. 1t being generally regard
ed by bankers and financicrs that thei
! failure might prec.pitate a general nm
casiness. j. r. Morgan Il Co, takin
the lead. exerted themselves by nd
Vances of ready money to meet press
ing demands and otherwise to pre-
vent their suspension. Much OF tn
, efforts however. revolved about tn
plan for the corporation TO acquir
the stock OF the Tennessee compan,
Nothing less than the control Of th
Tennessee company was considered b
the corporation. and negotiation
came rapidly and steadily 10 that enc
&c being reported to Schly that In n
other way could relief be brought
him.
They Lied to Roosevelt.
There was fear upon the part o
L the corporation that when the move
/ mcnt became publicly known the gov
ernment might take steps to preven
/ It's consummation. In view Of this
r. II. Gary. the chairman OF the exc
cutive committee OF the corporation
and II. c. Frick, a director, went (
1 Washington. reaching there Sunda