Page:Facts, failures and frauds- revelations, financial, mercantile, criminal.djvu/179

TACTS, TAILUBES, A^D rHAUDS. 167 thers attaches to his services. By aid of these services, Cole was building up a credit and reputation which was enabling him to extend his operations on an enormous scale, whilst Maltby felt doomed, by some inscrutable decree of fate, for ever "to tread the same dull level." Maltby makes an application for an increase of his salary, and the sum of £200 per annum is agreed upon as the future price of his services.

But new difficulties arising out of this artificial means of obtaining money have to be met, and difficulties involving great delay, expense, labour, and risk. On the 5th and 11th of October, 1853, Messrs. Overend, Gurney, and Co. commenced realizing the securities lodged in their hands by Davidson and Gordon, scarcely compatible with the length of time during which they had entertained misgivings as to the Hagen Wharf warrants. Whether Messrs. Overend and Gurney suffered, as is alleged, the whole of the Hagen Wharf warrants held by them from Davidson and Gordon to pass out of their hands at this time, and afterwards recalled the larger portion, is not quite clear; but it is certain, however, that on the 5th of October they secured, as the proceeds of spelter warrants re- presenting 200 tons of that metal, £4233, and on the 11th of the same month, by two sales of similar character and amount, £4097, making a total of £8332, and that these warrants having passed beyond recovery, they advanced to Cole, who had taken upon himself the obligations of Davidson and Gordon, 318 tons of spelter of the value of £4630 3s. 5d. The procedure was summary. Even the usual course of informing depositors of warrants two weeks before their disposal of those documents, on the part of the holder, had not been taken. On the morning of the 12th of October, Gordon entered his office in a state of alarm. Davidson was there, and was already supplied with the portentous news which found vent in the expression, "Gurney's are selling us up." Gordon glanced at the letter Davidson had been perusing, and went out. Mr. Webb, an individual who was