By eight o"clock, at which hour the conference was set, the princ.i.p.al financial personages of Chicago were truly in a great turmoil. Messrs.
Hand, Schryhart, Merrill, and Arneel were personally interested! What would you? As early as seven-thirty there was a pattering of horses"
hoofs and a jingle of harness, as splendid open carriages were drawn up in front of various exclusive mansions and a bank president, or a director at least, issued forth at the call of one of the big quadrumvirate to journey to the home of Mr. Arneel. Such interesting figures as Samuel Blackman, once president of the old Chicago Gas Company, and now a director of the Prairie National; Hudson Baker, once president of the West Chicago Gas Company, and now a director of the Chicago Central National; Ormonde Ricketts, publisher of the Chronicle and director of the Third National; Norrie Simms, president of the Douglas Trust Company; Walter Rysam Cotton, once an active wholesale coffee-broker, but now a director princ.i.p.ally of various inst.i.tutions, were all en route. It was a procession of solemn, superior, thoughtful gentlemen, and all desirous of giving the right appearance and of making the correct impression. For, be it known, of all men none are so proud or vainglorious over the minor trappings of materialism as those who have but newly achieved them. It is so essential apparently to fulfil in manner and air, if not in fact, the principle of "presence" which befits the role of conservator of society and leader of wealth. Every one of those named and many more--to the number of thirty--rode thus loftily forth in the hot, dry evening air and were soon at the door of the large and comfortable home of Mr. Timothy Arneel.
That important personage was not as yet present to receive his guests, and neither were Messrs. Schryhart, Hand, nor Merrill. It would not be fitting for such eminent potentates to receive their underlings in person on such an occasion. At the hour appointed these four were still in their respective offices, perfecting separately the details of the plan upon which they had agreed and which, with a show of informality and of momentary inspiration, they would later present.
For the time being their guests had to make the best of their absence.
Drinks and liquors were served, but these were of small comfort. A rack provided for straw hats was for some reason not used, every one preferring to retain his own head-gear. Against the background of wood panneling and the chairs covered with summer linen the company presented a galleryesque variety and interest. Messrs. Hull and Stackpole, the corpses or victims over which this serious gathering were about to sit in state, were not actually present within the room, though they were within call in another part of the house, where, if necessary, they could be reached and their advice or explanations heard. This presumably brilliant a.s.semblage of the financial weight and intelligence of the city appeared as solemn as owls under the pressure of a rumored impending financial crisis. Before Arneel"s appearance there was a perfect buzz of minor financial gossip, such as:
"You don"t say?"
"Is it as serious as that?"
"I knew things were pretty shaky, but I was by no means certain how shaky."
"Fortunately, we are not carrying much of that stock." (This from one of the few really happy bankers.)
"This is a rather serious occasion, isn"t it?"
"You don"t tell me!"
"Dear, dear!"
Never a word in criticism from any source of either Hand or Schryhart or Arneel or Merrill, though the fact that they were back of the pool was well known. Somehow they were looked upon as benefactors who were calling this conference with a view of saving others from disaster rather than for the purpose of a.s.sisting themselves. Such phrases as, "Oh, Mr. Hand! Marvelous man! Marvelous!" or, "Mr. Schryhart--very able--very able indeed!" or, "You may depend on it these men are not going to allow anything serious to overtake the affairs of the city at this time," were heard on every hand. The fact that immense quant.i.ties of cash or paper were involved in behalf of one or other of these four was secretly admitted by one banker to another. No rumor that Cowperwood or his friends had been profiting or were in any way involved had come to any one present--not as yet.
At eight-thirty exactly Mr. Arneel first ambled in quite informally, Hand, Schryhart, and Merrill appearing separately very shortly after.
Rubbing their hands and mopping their faces with their handkerchiefs, they looked about them, making an attempt to appear as nonchalant and cheerful as possible under such trying circ.u.mstances. There were many old acquaintances and friends to greet, inquiries to be made as to the health of wives and children. Mr. Arneel, clad in yellowish linen, with a white silk shirt of lavender stripe, and carrying a palm-leaf fan, seemed quite refreshed; his fine expanse of neck and bosom looked most paternal, and even Abrahamesque. His round, glistening pate exuded beads of moisture. Mr. Schryhart, on the contrary, for all the heat, appeared quite hard and solid, as though he might be carved out of some dark wood. Mr. Hand, much of Mr. Arneel"s type, but more solid and apparently more vigorous, had donned for the occasion a blue serge coat with trousers of an almost gaudy, bright stripe. His ruddy, archaic face was at once encouraging and serious, as though he were saying, "My dear children, this is very trying, but we will do the best we can."
Mr. Merrill was as cool and ornate and lazy as it was possible for a great merchant to be. To one person and another he extended a cool, soft hand, nodding and smiling half the time in silence. To Mr. Arneel as the foremost citizen and the one of largest wealth fell the duty (by all agreed as most appropriate) of a.s.suming the chair--which in this case was an especially large one at the head of the table.
There was a slight stir as he finally, at the suggestion of Schryhart, went forward and sat down. The other great men found seats.
"Well, gentlemen," began Mr. Arneel, dryly (he had a low, husky voice), "I"ll be as brief as I can. This is a very unusual occasion which brings us together. I suppose you all know how it is with Mr. Hull and Mr. Stackpole. American Match is likely to come down with a crash in the morning if something very radical isn"t done to-night. It is at the suggestion of a number of men and banks that this meeting is called."
Mr. Arneel had an informal, tete-a-tete way of speaking as if he were sitting on a chaise-longue with one other person.
"The failure," he went on, firmly, "if it comes, as I hope it won"t, will make a lot of trouble for a number of banks and private individuals which we would like to avoid, I am sure. The princ.i.p.al creditors of American Match are our local banks and some private individuals who have loaned money on the stock. I have a list of them here, along with the amounts for which they are responsible. It is in the neighborhood of ten millions of dollars."
Mr. Arneel, with the unconscious arrogance of wealth and power, did not trouble to explain how he got the list, neither did he show the slightest perturbation. He merely fished down in one pocket in a heavy way and produced it, spreading it out on the table before him. The company wondered whose names and what amounts were down, and whether it was his intention to read it.
"Now," resumed Mr. Arneel, seriously, "I want to say here that Mr.
Stackpole, Mr. Merrill, Mr. Hand, and myself have been to a certain extent investors in this stock, and up to this afternoon we felt it to be our duty, not so much to ourselves as to the various banks which have accepted this stock as collateral and to the city at large, to sustain it as much as possible. We believed in Mr. Hull and Mr.
Stackpole. We might have gone still further if there had been any hope that a number of others could carry the stock without seriously injuring themselves; but in view of recent developments we know that this can"t be done. For some time Mr. Hull and Mr. Stackpole and the various bank officers have had reason to think that some one has been cutting the ground from under them, and now they know it. It is because of this, and because only concerted action on the part of banks and individuals can save the financial credit of the city at this time, that this meeting is called. Stocks are going to continue to be thrown on the market. It is possible that Hull & Stackpole may have to liquidate in some way. One thing is certain: unless a large sum of money is gathered to meet the claim against them in the morning, they will fail. The trouble is due indirectly, of course, to this silver agitation; but it is due a great deal more, we believe, to a piece of local sharp dealing which has just come to light, and which has really been the cause of putting the financial community in the tight place where it stands to-night. I might as well speak plainly as to this matter. It is the work of one man--Mr. Cowperwood. American Match might have pulled through and the city been have spared the danger which now confronts it if Mr. Hull and Mr. Stackpole had not made the mistake of going to this man."
Mr. Arneel paused, and Mr. Norrie Simms, more excitable than most by temperament, chose to exclaim, bitterly: "The wrecker!" A stir of interest pa.s.sed over the others accompanied by murmurs of disapproval.
"The moment he got the stock in his hands as collateral," continued Mr.
Arneel, solemnly, "and in the face of an agreement not to throw a share on the market, he has been unloading steadily. That is what has been happening yesterday and to-day. Over fifteen thousand shares of this stock, which cannot very well be traced to outside sources, have been thrown on the market, and we have every reason to believe that all of it comes from the same place. The result is that American Match, and Mr. Hull and Mr. Stackpole, are on the verge of collapse."
"The scoundrel!" repeated Mr. Norrie Simms, bitterly, almost rising to his feet. The Douglas Trust Company was heavily interested in American Match.
"What an outrage!" commented Mr. Lawrence, of the Prairie National, which stood to lose at least three hundred thousand dollars in shrinkage of values on hypothecated stock alone. To this bank that Cowperwood owed at least three hundred thousand dollars on call.
"Depend on it to find his devil"s hoof in it somewhere," observed Jordan Jules, who had never been able to make any satisfactory progress in his fight on Cowperwood in connection with the city council and the development of the Chicago General Company. The Chicago Central, of which he was now a director, was one of the banks from which Cowperwood had judiciously borrowed.
"It"s a pity he should be allowed to go on bedeviling the town in this fashion," observed Mr. Sunderland Sledd to his neighbor, Mr. Duane Kingsland, who was a director in a bank controlled by Mr. Hand.
The latter, as well as Schryhart, observed with satisfaction the effect of Mr. Arneel"s words on the company.
Mr. Arneel now again fished in his pocket laboriously, and drew forth a second slip of paper which he spread out before him. "This is a time when frankness must prevail," he went on, solemnly, "if anything is to be done, and I am in hopes that we can do something. I have here a memorandum of some of the loans which the local banks have made to Mr.
Cowperwood and which are still standing on their books. I want to know if there are any further loans of which any of you happen to know and which you are willing to mention at this time."
He looked solemnly around.
Immediately several loans were mentioned by Mr. Cotton and Mr. Osgood which had not been heard of previously. The company was now very well aware, in a general way, of what was coming.
"Well, gentlemen," continued Mr. Arneel, "I have, previous to this meeting, consulted with a number of our leading men. They agree with me that, since so many banks are in need of funds to carry this situation, and since there is no particular obligation on anybody"s part to look after the interests of Mr. Cowperwood, it might be just as well if these loans of his, which are outstanding, were called and the money used to aid the banks and the men who have been behind Mr. Hull and Mr. Stackpole. I have no personal feeling against Mr.
Cowperwood--that is, he has never done me any direct injury--but naturally I cannot approve of the course he has seen fit to take in this case. Now, if there isn"t money available from some source to enable you gentlemen to turn around, there will be a number of other failures. Runs may be started on a half-dozen banks. Time is the essence of a situation like this, and we haven"t any time."
Mr. Arneel paused and looked around. A slight buzz of conversation sprang up, mostly bitter and destructive criticism of Cowperwood.
"It would be only just if he could be made to pay for this," commented Mr. Blackman to Mr. Sledd. "He has been allowed to play fast and loose long enough. It is time some one called a halt on him."
"Well, it looks to me as though it would be done tonight," Mr. Sledd returned.
Meanwhile Mr. Schryhart was again rising to his feet. "I think," he was saying, "if there is no objection on any one"s part, Mr. Arneel, as chairman, might call for a formal expression of opinion from the different gentlemen present which will be on record as the sense of this meeting."
At this point Mr. Kingsland, a tall, whiskered gentleman, arose to inquire exactly how it came that Cowperwood had secured these stocks, and whether those present were absolutely sure that the stock has been coming from him or from his friends. "I would not like to think we were doing any man an injustice," he concluded.
In reply to this Mr. Schryhart called in Mr. Stackpole to corroborate him. Some of the stocks had been positively identified. Stackpole related the full story, which somehow seemed to electrify the company, so intense was the feeling against Cowperwood.
"It is amazing that men should be permitted to do things like this and still hold up their heads in the business world," said one, Mr. Vasto, president of the Third National, to his neighbor.
"I should think there would be no difficulty in securing united action in a case of this kind," said Mr. Lawrence, president of the Prairie National, who was very much beholden to Hand for past and present favors.
"Here is a case," put in Schryhart, who was merely waiting for an opportunity to explain further, "in which an unexpected political situation develops an unexpected crisis, and this man uses it for his personal aggrandizement and to the detriment of every other person.
The welfare of the city is nothing to him. The stability of the very banks he borrows from is nothing. He is a pariah, and if this opportunity to show him what we think of him and his methods is not used we will be doing less than our duty to the city and to one another."
"Gentlemen," said Mr. Arneel, finally, after Cowperwood"s different loans had been carefully tabulated, "don"t you think it would be wise to send for Mr. Cowperwood and state to him directly the decision we have reached and the reasons for it? I presume all of us would agree that he should be notified."
"I think he should be notified," said Mr. Merrill, who saw behind this smooth talk the iron club that was being brandished.
Both Hand and Schryhart looked at each other and Arneel while they politely waited for some one else to make a suggestion. When no one ventured, Hand, who was hoping this would prove a ripping blow to Cowperwood, remarked, viciously:
"He might as well be told--if we can reach him. It"s sufficient notice, in my judgment. He might as well understand that this is the united action of the leading financial forces of the city."
"Quite so," added Mr. Schryhart. "It is time he understood, I think, what the moneyed men of this community think of him and his crooked ways."
A murmur of approval ran around the room.
"Very well," said Mr. Arneel. "Anson, you know him better than some of the rest of us. Perhaps you had better see if you can get him on the telephone and ask him to call. Tell him that we are here in executive session."