Chapter XLIX

Mount Olympus

By eight o’clock, at which hour the conference was set, the principal 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 principally of various institutions, 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. <…> 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. <…>

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 assisting themselves. <…>

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 circumstances. <…> To Mr. Arneel as the foremost citizen and the one of largest wealth fell the duty (by all agreed as most appropriate) of assuming 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, tête-à-tête 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 principal 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. <…> For some time Mr. Hull and Mr. Stackpole and the various bank officers have had reason to think that someone 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.” <…>

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. <…>

“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. <…>

“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.” <…>

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.”

“I think he might take it more seriously if you spoke to him, Timothy,” replied Merrill.

Arneel, being always a man of action, arose and left the room, seeking a telephone which was located in a small workroom or office den on the same floor, where he could talk without fear of being overheard.

Sitting in his library on this particular evening, and studying the details of half a dozen art-catalogues which had accumulated during the week, Cowperwood was decidedly conscious of the probable collapse of American Match on the morrow. Through his brokers and agents he was well aware that a conference was on at this hour at the house of Arneel. <…> With a feeling of amused satisfaction he was meditating upon how heavily and neatly he had countered on his enemies. Whereas they were speculating as to how to offset their heavy losses on the morrow, he was congratulating himself on corresponding gains. When all his deals should be closed up he would clear within the neighborhood of a million dollars. He did not feel that he had worked Messrs. Hull and Stackpole any great injustice. They were at their wit’s end. If he had not seized this opportunity to undercut them Schryhart or Arneel would have done so, anyhow.

Mingled with thoughts of a forthcoming financial triumph were others of Berenice Fleming. <…>

It had so happened, unfortunately, that in the course of this summer’s stay at Narragansett Berenice, among other diversions, had assumed a certain interest in one Lieutenant Lawrence Braxmar, U.S.N., whom she found loitering there, and who was then connected with the naval station at Portsmouth, New Hampshire. <…> Viewing Berenice and the Lieutenant as they strolled off together along a summery seaside veranda, he had been for once lonely, and had sighed. These uncertain phases of affection could become very trying at times. He wished he were young again, single.

To-night, therefore, this thought was haunting him like a gloomy undertone, when at half past eleven the telephone rang once more, and he heard a low, even voice which said:

“Mr. Cowperwood? This is Mr. Arneel.”

“Yes.”

“A number of the principal financial men of the city are gathered here at my house this evening. The question of ways and means of preventing a panic to-morrow is up for discussion. As you probably know, Hull & Stackpole are in trouble. Unless something is done for them tonight they will certainly fail to-morrow for twenty million dollars. It isn’t so much their failure that we are considering as it is the effect on stocks in general, and on the banks. As I understand it, a number of your loans are involved. The gentlemen here have suggested that I call you up and ask you to come here, if you will, to help us decide what ought to be done. Something very drastic will have to be decided on before morning.”

During this speech Cowperwood’s brain had been reciprocating like a well-oiled machine.

“My loans?” he inquired, suavely. “What have they to do with the situation? I don’t owe Hull & Stackpole anything.”

“Very true. But a number of the banks are carrying securities for you. The idea is that a number of these will have to be called – the majority of them – unless some other way can be devised to-night. We thought you might possibly wish to come and talk it over, and that you might be able to suggest some other way out.”

“I see,” replied Cowperwood, caustically. “The idea is to sacrifice me in order to save Hull & Stackpole. Is that it?”

His eyes, quite as though Arneel were before him, emitted malicious sparks.

“Well, not precisely that,” replied Arneel, conservatively; “but something will have to be done. Don’t you think you had better come over?”

“Very good. I’ll come,” was the cheerful reply. “It isn’t anything that can be discussed over the ’phone, anyhow.”

He hung up the receiver and called for his runabout. On the way over he thanked the prevision which had caused him, in anticipation of some such attack as this, to set aside in the safety vaults of the Chicago Trust Company several millions in low-interest-bearing government bonds. Now, if worst came to worst, these could be drawn on and hypothecated. These men should see at last how powerful he was and how secure.

As he entered the home of Arneel he was a picturesque and truly representative figure of his day. <…>

“Well, gentlemen?” he inquired, after a moment or two of ominous silence, observing Hand’s averted face and Schryhart’s eyes, which were lifted ceilingward.

“Mr. Cowperwood,” began Mr. Arneel, quietly, in no way disturbed by Cowperwood’s jaunty air, “as I told you over the ’phone, this meeting is called to avert, if possible, what is likely to be a very serious panic in the morning. Hull & Stackpole are on the verge of failure. The outstanding loans are considerable – in the neighborhood of seven or eight million here in Chicago. On the other hand, there are assets in the shape of American Match stocks and other properties sufficient to carry them for a while longer if the banks can only continue their loans. As you know, we are all facing a falling market, and the banks are short of ready money. Something has to be done. We have canvassed the situation here to-night as thoroughly as possible, and the general conclusion is that your loans are among the most available assets which can be reached quickly. Mr. Schryhart, Mr. Merrill, Mr. Hand, and myself have done all we can thus far to avert a calamity, but we find that someone with whom Hull & Stackpole have been hypothecating stocks has been feeding them out in order to break the market. We shall know how to avoid that in the future” (and he looked hard at Cowperwood), “but the thing at present is immediate cash, and your loans are the largest and the most available. Do you think you can find the means to pay them back in the morning?”

Arneel blinked his keen, blue eyes solemnly, while the rest, like a pack of genial but hungry wolves, sat and surveyed this apparently whole but now condemned scapegoat and victim. Cowperwood, who was keenly alive to the spirit of the company, looked blandly and fearlessly around. On his knee he held his blue-banded straw hat neatly balanced on one edge. His full mustache curled upward in a jaunty, arrogant way.

“I can meet my loans,” he replied, easily. “But I would not advise you or any of the gentlemen present to call them.” His voice, for all its lightness, had an ominous ring.

“Why not?” inquired Hand, grimly and heavily, turning squarely about and facing him. “It doesn’t appear that you have extended any particular courtesy to Hull or Stackpole.” His face was red and scowling.

“Because,” replied Cowperwood, smiling, and ignoring the reference to his trick, “I know why this meeting was called. I know that these gentlemen here, who are not saying a word, are mere catspaws and rubber stamps for you and Mr. Schryhart and Mr. Arneel and Mr. Merrill. I know how you four gentlemen have been gambling in this stock, and what your probable losses are, and that it is to save yourselves from further loss that you have decided to make me the scapegoat. I want to tell you here” – and he got up, so that in his full stature he loomed over the room – “you can’t do it. You can’t make me your catspaw to pull your chestnuts out of the fire, and no rubber-stamp conference can make any such attempt successful. If you want to know what to do, I’ll tell you – close the Chicago Stock Exchange to-morrow morning and keep it closed. Then let Hull & Stackpole fail, or if not you four put up the money to carry them. If you can’t, let your banks do it. If you open the day by calling a single one of my loans before I am ready to pay it, I’ll gut every bank from here to the river. You’ll have panic, all the panic you want. Good-evening, gentlemen.”

He drew out his watch, glanced at it, and quickly walked to the door, putting on his hat as he went. As he bustled jauntily down the wide interior staircase, preceded by a footman to open the door, a murmur of dissatisfaction arose in the room he had just left.

“The wrecker!” re-exclaimed Norrie Simms, angrily, astounded at this demonstration of defiance.

“The scoundrel!” declared Mr. Blackman. “Where does he get the wealth to talk like that?”

“Gentlemen,” said Mr. Arneel, stung to the quick by this amazing effrontery, and yet made cautious by the blazing wrath of Cowperwood, “it is useless to debate this question in anger. Mr. Cowperwood evidently refers to loans which can be controlled in his favor, and of which I for one know nothing. I do not see what can be done until we do know. Perhaps some of you can tell us what they are.”

But no one could, and after due calculation advice was borrowed of caution. The loans of Frank Algernon Cowperwood were not called.