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About The Oregon statesman. (Salem, Or.) 1916-1980 | View Entire Issue (Aug. 3, 1930)
Mmkemge Tenml Denied in 'Oregon ito Logan and Ervan
Connection IWitlu Overbeck
and Cooke Cause Cited
For' Withholding j
Application of Logan and Bry
an, New York brokers, tor & stock
broker's permit, whi-h t. uld en
title them to operate In Oregon,
was denied by Mark McCallistet,
state corporation commissioner. In
an order made public here Satur
day. The refusal was based on Lo
gan and Bryan's previous connec
tion with the defunct Overbeck and
Cooke brokerage house in Port
land. The Overbed: and Cooke
eompany failed January 30, "128.
James P.. Cooke, president, and C.
A. Goodwin later were arrested
and convicted, on charges of mis
appropriating funds of their cli
ents. Cooke is now serving a terns
In the state penitentiary.
Tor many years prior to Jan
nary 30, 1928." read the order
prepared by Mr. MeCallister,
"Overbeck and Cooke company, an
Oregon corporation, was engaged
In the stock and grain brokerage
business in Portland and Walla
Walla. It was not a member of the
New York stock exchange or any
other exchange. Not being a mem
ber of an exchange, it executed
orders placed by Its customers to
purchase and sell through the New
York brokerage firm'of Logan and
Bryan, which was a member of the
New York stock exchange.
Execmted All of'
"During the long term of years
In which these two firms operated
In .conjunction, Logan and Bryan
were connected with Overbeck and
Cooke by leased wires. Logan and
"Bryaw furnished stock quotations.
street gossip, financial news and
other market information by di
rect wires. All orders placed by
Overbeck and Cooke were execut
ed by Logan and Bryan, who per
mitted their name to be. used In
advertising In connection ith the
operations of Overbeck and Cooke.
"Overbeck and Cooke company
was capitalized at $10,000. It had
no financial responsibility, yet It
handled millions of dollars of se
curities of its customers, many of
whom dealt with the Overbeck
and Cooke company upon the faith
of the supposed legal and financial
connection of that firm with Lo
gan and Bryan.
Loss Will Exceed
Million and Half
"Overbeck and Cooke failed
January 30, 1S28. The loss to Us
hundreds of customers. It appears,
will exceed 1. 500,000. The all
ure primarily was due to the prac
tice of the managing officers of
Overbeck and. Cooke company in
trading against its customers, or
in other words, taking the side of
the market opposite that taken by
the customers. At the time of the
failure the customers had purchas
ed, on margin, and had not order
ed resold, upwards of 90,000
shares of stock.
"These orders were filled
through Logan and Bryan. The
managing officers of Overbeck and
Cooke company had, at the time of
the closing sold against their cus
tomers, apprcximately 77.000
shares. These sales were made
through Logan and Bryan at the
time of a rising market, when it
was a matter of general knowl
edge that the public was on the
long side of the market.
"Logan and Bryan knew that
the Overbeck and Cooke company
was supposed to do a strictly
brokerage business. They knew the
public was buying and not sell
ing, and had knowledge of the con
stant downward trend of the nam-
ber of shares held by Overbeck
and company for their customers'
accounts. They knew Jhat during
t?-thxee years before, the failure.
Overbeck and Cooke company aia
the largest business in its history.
They also knew that it the officers
of Overbeck and Cooke were trad
ing against their customers in a
rising market . it was inevitable
that a serious loss would result.
"Logan and Bryan also knew
from their close toach with the
local situation that the large busi
ness being done by Overbeck and
Cooke company was largely be
cause of Its connection with Logan
Or CareleuMM -,
"Logan and Bryan shonld have
known of the practices ox tne or
fleers of Overbeck and Cooke com
nany. If they did known, their
conduct was1 most dishonorable. If
they ' did not . know, then,' under
V of the confidence reposed in thorn
h by the public, their gross neglig
ence, in not ascertaining too fact,
-which a most sursory ; inspection:
of their own books and. the books
ikv oi umvect gnu own, umytuj
would have disclosed is equally
."From the day of the failure
until now. It appears that. Logan
' and Bryan have failed to do any
thing to indicate in any manner
that they have any regard, for
those who suffered losses, though
they know full well that but for
their name, their prestige, the sit
uation resulting in the j lo-sce
conld not have arisen;
"In addition, they have refused
to submit the question of their
liability to the courts having Juris
diction where the losses occurred,"
bnt closed their Portland office
and left 4he state when the ques
tion of their liability was .sought
to be established.
"From the books and records of
Overbeck and Cooke and -other
evidence, that has: come into Bty
hands, J ai4 Informed and believe
thafthe firm of Logan and Bryan
knew, "or should have known, of
the1 trading operations of the of
ficers of th Overbeck and Cooke
eompany, through the J. R. Smith
acconnt and' other fictitious accounts."--
--' v' - r
I ASSASSINS' VICTIM LAID TO REST 1
' r.: mi,
US JcnBrttrBy' J"
of the famous Detroit radio an
nouncer who was slain by gang
sters, with her father-in-law,
: J. C Buckley, and her daugh
t ter. Son Uarie, as they left
Glenn Sues Firm
Of Water Bonds
Damages. of $3200 are sought
by Fred Glenn from Knapp and
Goes as result of alleged failure
of the defendants to fulfill a con
tract and turn over to the plain
tiff water and sewer construction
bonds issued by West Salem.
Glenn. In his amended com
plaint filed yesterday in circuit
conrt, says that following bis con-
W j w
1 f : V
.;'-Jv-V- 'Sf J,isv' -1
AFTER the WEEK-END TRIP
f eir home fer the sorre wf ul
jenraey to the cemetery when
we popular announcer was bo
ned. A sage crowd of mourn
ers, paid final tribute as the
body was lowered Into its grave. -
tract with defendants, the city of
West Salem Issued $2S,000 water
and $7,000 sewer bonds to the
defendants in March, 1930, but
that Knapp and Goes failed to de
liver them to Glenn. The con
tract called for turning the bonds I
over ai s so on tne floe, tne com
plaint states, and on this basis
loss to plaintiff totals 33200.
DUBLIN (AP) The birth rate
in the Irish Free State, according
to late official figures, is still
high. Dublin leads with a 1.1
a thousand of nonnlatinn
Cork coming next with 28.8.
instills n AUTOMATIC ELECTRIC
H EATER balance on convenient terras!
, We believe that the vacation of Trade Street,
as petitioned for by the Paper Company, is fully
justifled in view of the benefits which will be
derived by the citizens of Salem from the ex
pansion of the Paper MuL - ;
SALEM NEEDS ADDITIONAL PAYROLLS
; LETS HELP GET THEM-
STATESZ1AW. fialeeu Oregon,
Legal Action Must Wait for
Forma) Hearing Called
Later by Council
(Continued from page L)
be done until all the remon
strance signers have withdrawn
or until two thirds of the proper
ty holders of Salem petition the
Another councilman . declares
the argument over the vacation
la foolish and that the street has
little value to the city except for
industrial uses. He says the
council should .approve the meas
ure and get the industrial' payroll
increased as soon aa possible.
A third councilman declared he
wouldn't budge an Inch to vote!
yes" until the cinders were ban-
ned h tha nlnn nlll'a
agreement after which he Woold
bo Inclined to release the street.
Another alderman maintained
an enigmatical and sphinx-like
countenance and said he wonld
announce nU vote when the mat
ter came up and not until then.
one city solon declared he was
opposed to street vacation "as a
matter of principle" but declared
mai an rules were made to be
broken. He Indicated that the
increased payroll the paper mill
wouki nnnr ana additional rant.
tal Investment in a new building.
warreniea releasing, the street.
Anotner councilman declared
he was not yet decided on how he
wouia vote. He thinks the 43-
root strip too wide and believes it
will bottle up Trade street..
Not for months has a public Is
sue anecung Salem citiiens,
aroused ao much comment. Near
ly 5000 signers bad been secured
up to Saturday night on petitions
requesting the city council to va
cate the street.
SALEM HEIGHTS, August 2.
Kelton .Butler la home from
Mill City, recuperating from a
minor accident. He bad the mis
fortune to cut the end off one
thumb while employed at the
mill. He is leaving soon for Yak
ima, Wash., to accept employ
ment, with a large fruit concern.
of hot water ready for the
h wi jm m tna
quick shave ...the tub full of soft,8udsy
water.. .and all automatic! ...life con
tinues to be joyous to the last moment
of the week-end! ,
With art AUTOMATIC ELECTRIC
WATER HEATER, hot water is al
ways ready. The tank is always full and
the automatic control turns the elec
tricky on and off to maintain an even
temperature. You. never have to won
der whether the heat is off ... or if
there'll be enough hot water for emer
gencies. The coat of open,
atkm is negligible.
' t .
There is a size and type of
Electric Water Heater for
every use. Consult our en
gineers about your heater,
, without obligation, of
course! -" s . . .. r-: :
. ertreteiw. inuivtinnni
Sunday Mornln ATOst 1
More Than Two-Thirds of -Motor
Vehicles in Oregon
Equipped With NewPlates
Approximatelr 215.aea f th
9C AAA -A . .
muNi veniciee in tne
state of Oregon had been licensed
for the current year when the
state motor vehicle department
closed here Saturday night for the
Officials said that this does not
mean that 119,000 car owners
have not applied for their licens
es, as there are several thousand
applications sow on file which are
yet to he cheeked preparatory to
placing the plates in the mail.
The records of the secretary of
state show that in 1905 there were
only 218 motor vehicles, including
passenger cars and trucks, in the
state of Oregon. This number was
increased by 142 in 190C, and by
231 in 1907. The total reristra-
tion for 1909 was 701 withfees
There was another substantial 1
i ,n,"ease 1,1 restorations in 1911,
wb feM amounting to 347,316.
total of 428 motor vehicles
were registered in that year. The
1112 registration was 10,185 with
fee aggregating $42,994. The
registration tor 1913 was 13,957,
with fees si 1 5 0,873.
Registrations of motor vehicles
and fees -during the period 1914
to 1929, segregated by years fol
2,340. 519. 58
, 527,340. JO
Our Complete Line of
Contract goods excepted
Over 100 Pieces Liv ing Room Furniture
Induding upholstered arm chairs and wing chairs reduced
from 25 to 30 and now priced from $9.00 up. Sofas in
varying styles cut from .$98.50 to $61.50 and $62.50"to $42.50.
Also book-cases, cabinets, gate-leg tables, secretaries, tea wag
ons, console tables and mirrors, etc all ruthlessly cut in price.
Matched Suites as Low as $63.00
These include all the most popular woods" in a great
variety of effective, modern treatments.
Dining Room Furniture
Many matched and open stock suites' on -which
prices have been cut as much as 25.
Individual pieces consist of sideboard, serv-....
er, china closet, draw top table, arm chair
and side chairs.
26 matched and open stock suites, some
cut 25, others as much as 30 and
40 and ranging in price from $64.00
Furniture for the -s
' -. - . 'i
Wicker suites and odd pieces, kit
chen tables and chairs, all for
Reduced as much at
S10 Court Gtrcc.
, Connty school superintendents
from all sections' of Oregon Hl
father here Monday tor a three
The address of welcome will be
given by Governor Norblad, fol
lowed by an address by C. A.
Howard, state superintendent of
schools. Monday's sessibn also
will include addressee by Martha
E. Mulkey of Coos county. Kath
erine J. Harris of Curry county,
Mary L. Fulkerson of Marion
county, Edna Geer of Linn county
and James M. Burpee of the
state department of education.
Revision of the county school
supervisory law will be discussed
by Josiah Wills of Polk county,
Edith S. Arkert of Douglas coun
ty 'and' J. A. Yeager. of Umatilla
The association dinner will be
held Monday night.
This is the second year that
the county school superintendents
have held three day convention
August has made an auspicious4
advent, so far as Little Mr. Cupid
is concerned, tor in the first two'
days he succeeded In sending eight
couples to . the county clerk's of
fice for the requisite licenses.
Four marriage licenses were issu
ed Saturday, as follows: -Orval
Otto. 20, Brooks, farther.
and Emmallne Sears, IS. Brooks,
student. They were accompanied
by his father and her mother, both
of whom assented to the certifi
Loren Loose, 21, 3 SO Oak
street, salesman, and Bethine
Poage. 21. 245 North High street.
John D. George, 362 State, em
ploye city engineer, and Lillian
Dabt, 23, Silverton, cashier.
Vernon C. Haley, IS. Independ
ence, laborer, and Ruth Stryker, :
18, Independence, student.