New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1922-01-20
LivermOre-LewisOhn
Breach Discloses
Seneca Sales Pact
Agreement Made to Buy and
Sell Copper at Discretion
of Livermore Barred i'm
Controversy of Traders

A breach between Jesse Livermore,
known as one of the leading pro
fessional spectators of Wall Street,
ana Lewlsohn Brothers, members of
she New York Stock Exchange, yester-
Gay brought into public view opera
tions which had been taking place be-
hlnd the scenes in Seneca Copper
shares
An agreement under which Mr.. Liv-
ermore was to buy and sell the shares
OF the company at his discretion was
made public when the two parties to
the arrangement clashed in their views
regarding market strategy The va
rions steps in the process which is
usually kept guarded secret became
only partially divulged yesterday when
B,ock, Maloney & Co., also members
OF the Stock Exchange, which had been
handling orders in Seneca, received in
structlons from Walter Lewisohn, a
member of the firm of Lewisohn Broth
ers, 10 cancel orders to buy Seneca
stock TIE copper stock declined from
% to 1874 in the days market ses-
sion.
Block. Maloney & Co. issued the fol-
lowing statement of the transactions.
which we're followed by the open
breach between Mr.. Livermore and the
Lewisohns:
Jesse Livermore gave US certain
orders in Seneca Copper stock. These
.orders were not for the personal &C
Sount of Mr.. Livermore, but were for
rhe. account of Lewisohn Brothers.
&Valter Lewisohn, of the firm of Levi
h Ohm Brothers, instructed US to can
Eel these orders and we Cancelled them
upon the instructions Of Walter Levi
bsohn.
"The relations between the firm of
Block, Maloney & Co. and Mr.. Liver
more are of the most cordial and
Friendly nature and we have no con-
ktroversy with Mr.. Livermore or with
fany one else and have nothing to do
with any controversy that may exist
between him and Lewisohn Brothers,"
Except through their attorney, Levi
sohn Brothers remained silent regard
ing the incident. David B. Calm, at
that his client wanted the public to
know that he had been acting in good
faith. On behalf of Mr.. Livermore, it
was said that he had entered into an
agreement with Lewisohn Brothers to
buy and sell shares in the Seneca Cop
per Company at his discretion"
James r. Deering, attorney for
Lewisohn Brothers,, declared that his
clients had violated no agreement by
canceling the orders in Seneca stock
placed through Block, Maloney & Co.
The misunderstanding between
Lewisohn Brothers and Mr. Livermore,"
he explained, "arose because of diff
ference of opinion concerning the
TENS Of the contract relating to SEN
eca copper shares"
Walter Lewisohn is a vice-president
and director Of the Seneca Copper
Corporation.
Accompanying the weakness of SEN
eca in yesterdays market was sharp
break in Pierce Oil, common. In view
of recent reports that the Lewsohns
had become interested in this property
Wall Street was inclined to connect the
decline in both issues.
Mr.. Livermore is known as Wall
Streets most spectacular and pictur
esque speculative operator. He not
only plays the market for his own &C.
count but acts for other interests,
which in the parlance of the financial
district, are known as pools" He is
believed to have made large fortune
not only for himself but for others.