Rensselaer Semi-Weekly Republican, Volume 35, Number 94, Rensselaer, Jasper County, 31 July 1903 — TWO BIG FIRMS FAIL [ARTICLE]

TWO BIG FIRMS FAIL

CRASH IN WALL STREET CAUSES SUSPENSIONS. ‘ ' «> Talbot J. Taylor & Co. and W. I* Stow & Co., prominent brokers, Go Down —James It. Keene Connected with Former House—Loses $1,500,000. The decline in the stock market, which has been going on almost without interruption for the last six months, culminated Friday in the failure of T. J. Taylor & Co. nnd W. L. Stow & Co., two of the largest Stock Exchange houses in New York City. The failure of Talbot J. Taylor & Co., through which firm James R. Keene does considerable business, wag due to operations on the long side of Southern Pacific, Atchison, Baltimore and Ohio, Reading, Brooklyn Rapid Transit and Pennsylvania. Talbot J. Taylor is the son-in-law of James R. Keene and Foxhall Keene, a special partner, is a son of the big operator. It is learned that the Taylor liabilities arc likely to reach $0,000,000. It io understood that only six months ago Mr. Keene gave Taylor a sum approximating $2,000,000 to tide the firm over difficulties it was then said to be in, and since then other generous contributions have been made by him. Estimates of Stow & Co.’s liabilities range from $1,250,000 to $2,500,000. Keene’s Loss la $1,500,000. James R. Keene puts his personal lots by the failure of Talbot J. Taylor & Co. at $1,500,000. Mr. Keene said: “I am the largest loser by this failure so far as the creditors are concerned. I reckon I lose about $1,500,000. I have seen some statements in the papers this afternoon intimating that I am heavily involved, but that is not to. “Except -for the amount of money I have stated, my personal fortune is not impaired. 1 was not connected with the firm hi any way, shape or form. I had my office there, it is true, but I was not interested i i the firm outside of the fact that it did my business, nnd that the head of it was my son-in-law. I want to make it clear that the fortune of myself and of my family is in no way affected.

“I am not embarrassed. I am only annoyed that this should have happened. I am annoyed, also, because I think they have conducted their business in an improvident way. They allowed certain people to stick them, and they are now suffering for it. I would have seen them through it, -became Mr. Taylor is my son-in-law, and I would have liked to see the firm weather the storm, but the condition of the market was so gloomy and discouraging that, in justice to myself, I could uot see my way clear to give them any further help. “1 never saw such a hopeless market as we have. When you can get such stocks as United States Steel preferred for 08, is there any wonder that I refuse to help my son-in-law out any longer?” The severest shako-down since the panic of May 9 was witnessed in stocks during the day. From the time the market opened very disquieting rumors wore in circulation and the continued outpouring of large blocks of stocks, with the selling of an apparently forced character, extending to the best stocks on the list, was plainly indicative of some pending disaster. ' It was evident that the decline had got to a point where some big brokers were in trouble. Efforts to find out where the trouble was were futile, as the names of some of the best houses in the street were mentioned. Up tot noon nearly 700,000 shares were thrown ou the market.