Western Australian Stocks.

South Canterbury Times, Issue 2980, 2 January 1901, Page 2

Western Australian Stocks.

A CRISIS ON THE EXCHANGE

Received 8.56 a.m., December 31st. LONDON, December 30.

A serious crisis has occurred in the Western Australian section of the Exchange. A large number of shares in the Lake View Consols mine,Western Australia, were delivered yesterday to buyers with for the payment of the differences in bfink notes. This action led to a drop in shares to £lO. The delivery surprised those operating for a rise, who thought that sellers were bare of stock. The stock was dealt with still lower in the street, and the cheques of several firms were returned. The London and Globe Finance Corporation, Limited, is virtually collapsing. The London and Globe Finance Corporation, Limited, had arranged to borrow large sums for the purpose of taking Lake View Consols shares off the market, but at the last moment the company could not obtain a loan, and were unable'to meet their obligations. The Standard Exploration Company, Ltd., is in a similar position. Lake View shares to the number of 50,000 were put on the market yesterday, and were pressed for sale. . Prices fell to £7 8s 9d but recovered to £8 7s 6d. The cheques of seven firms besides those of the London and Globe Finance Corporation were returned. The wild gamble originated in an endeavour by a section of shareholders in Western Australian stocks to create a corner. The party includes Mr Whitaker Wright, deputy-chairman of the London and Globe Finance Corporation, and chairman of the Standard Exploration Company. The London and Globe Finance Corporation passed its dividend on Saturday. Fourteen stock broking firms, comprising 29 members of the Stock Exchange, were hammered. These include Messrs Haggard, Hale and Pickley, brokers for the London and Globe Finance Corporation, Messrs Blackley, Buckingham, F. A. Cohen, Comfoot Bros., and Rickards and Sloper. Business on the Exchange is practically' at a standstill. Further failures are expected on Monday. Shares of the London and

.Globe Finance Corporation fell from II to 7s 6d, but afterwards recovered to s. The Globe directors have issued a cir( i a ' lar stating that it is impossible to realise valuable assets at present, and advise t e company to wind up voluntarily. The directors of the . London and Glooe Finance Corporation have called a s P BCia meeting of shareholders and decided 0 submit resolutions for liquidation.