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JOHN W. GATES IN
MANY WAYS TRUE TYPE OF AMERICAN A Few of the Striking Episode in the Life of the Great Plunger Who Has Raked In Some of the Biggest Jack, pott Known to the World cf High Finance Has Had Many Years of Unvarying Success. Now York. John W. (Jutes, tho DiiBt picturesque plunger who ever rove to fame and fortune In Wall treet, hns loaned a greut hunting pre serve In France, and Is winding up the business of his "House of Twelve Partners." Ho Is through with Wall utrect, writes Frank Foyrant In the Times. When a market oporntor of Ills prominence quits the speculative game Immediately after a disastrous jinnlc in the murKet II Is hut natural for the gossips of the street to say: "They've got him at lust." Kvor since Iiites began swinging lilg lines of stock In bull markets and running afoul of men of great power in Wall fitieet the denizens of the street have nhook their hcuds wisely and said: "They'll get li 1 m some day." During the panicky days of March, when the rumor mongers were tellng of the lingo losses piling up against wealthy operators, they were sure that the "'House of Twelve Partners" was In leop water. And now that tho famous house, that in big markets has carried at. times J125.000.000 worth or stock on margin, In going out of business, the rumor mongers are saying: "I told you so." Hut John W. only smiles and says: "'1 wish they woto ull as comfortably llxed us 1 urn." His friends say that lie began trimming his Halls last win ter, when stocks were selling at sky prices, ami that when the storm broke in March he had ull Ills reefs in. They say thnt he actually bought tocks during tho panicky days of March, and that banks were carrying millions of dollars of free cash for hint when some very wealthy men were lying awake nights wondering liow they would make their bunk bal ances good the next day. His friends think that he Is worth at least $25,000, OOO, and perhaps a gooil deal more. So John W. Isn't exactly broko. Garbed Wire the Beginning. It was In barbod wire thut Gates be gan to build his fortune, (lutes was a poor farmer's boy out west. His first business venture was contracting 1o husk a neighbor's corn. From the money he saved out of this work he made his first speculation. He bojight .a third Interest Ih a threshing mi--chine that came rattling across the prairie after the harvest. Tho old farmers shook their heads at this, for It was a tradition that the threshing machine man usunlly came to finan cial grief. Hut It was a year of bump er crops, and threshing proved so jirotltable that before the winter came "nsaifli'iMtlHMililhW itk.Anmklt i- "fc-- i rin n mi tm ii i mi-" i kj i 'Mft famm ' m joung Gates had made enough moony to buy out his two partners. At one of the farms where the lud had threshed wheat he foil In love with a furmer'a rosy-cheeked daughter. Thlr, gave him an Incentive to go ahead and make arfortune. A farming community away from tho railways does not present many golden opportunities to an 18-year-old lioy. Near the farm was a strip of woodland where Gates shot par tridges and squirrels. Tramping along (jot-path in the woods one day the .M(,;. ..V--rt'i'.-tk,.-::..','.--.--ii.'.'"W.'W i V.'i Idea came to him that If the farmor would sell him tho timber rights he could fell the hard wood and cut It up Into firewood to sell to the neighboring villages. Tho boy went home after a tape measure, paper and pencil, anil then back to the woods "timber-looking." lining about the woods, select ing small aross, counting the hard woods and measuring them, he got an Idea of tho detiHlty of the forest. Ho sat down on a stump, and by dint of figuring he made a rough tstlmutc of the number of cords of firewood an ncre would yield. Then ho went to tho owner to mukc a bargain. He made Tm offer for all the timber, agreeing to pay for it as money cume In from his sales of firewood. "I haven't any money," the boy told the farmer, "but you can have my threshing machine as security." "do ahead, Johnny; your word Is as good as u government bond." Gate as a Woodcutter. All through the winter J lie lad was out In the wood lot before daybreak, working with a woodchopper he hired to help him. The great trees were felled, sawed into 'short lengths, and split Into firewood. Young Gates de livered two loads of wood a duy by sled to the neighboring vllluges. lie. fore the suow was off the ground the woods had been cleared, tho owner had been paid In full, and the boy had $1,000 In the bank. lie took this money and opened a hardware shop ut the neighboring railway Junction. Ho sold the furmers their Implements and machinery. One commodity that had a large sale was the newly in vented barbed wire. The little hard ware shop at the junction prospered, but Gutes wanted to do something big ger. He saw that there was money In barbed wire, and so he sold out his business and went to see the man, In an Illinois town, from whom he had been buying his wire. This was Col. Isaac Elwood, a pion eer In the business. He was not look ing for partners, but he ga,o the bright young counjry shopkeeper a Job as a traveling mun for tho con corn. Gate traveled back and forth through the wheat belt selling barbed wire, and made a reputation as ono of tho best "drummers" on the road. Hut he wasn't content with his "drum mer's" commissions. Ho wanted to divide the manufacturing profits with Col. Kllwood. Tho manufacturer couldn't see It thnt way, and so dates put up a barbed wire mill of his own. His knowledge of the trade was an asset, and he soon became a danger ous rival of Col Eli wood. Tho colonel brought an action for Infringement of patent rights and a bitter fight was the result. But Gates hung right on. Col. Ellwood finally had to make peace with him. The two became business partners and have boon closely asso ciated In big enterprises ever since. . Other barbed wire mills began to spring up, and Gates saw that there would be a disastrous trade war If the rivals were not corralled. He went around the country buying them up and formed a barbed wire trust This was the nucleus of the 190,000,600 America Steni & Wire company, now a part of the Steel corporation. The first big flotation engineered by Gates was the Federal Steel, a $100,000,000 corporation. That was In Soptotmber, 1898, at tho beginning of the great steel boom following the Spanish American war. He followed that with tho American Steel Wire, with $90, 000,000 capital, four months later. The manner In which Gates and Kllwood brought out this company Is character istic of the man. On a telephone call from Pittsburg they Jumped across Pennsylvania and bought a wire mill at Sharon; then they went to Cleve land and bought a $5,000,000 rolling mill, and the next day tbey were back Vif 'i 1 V l"' JSi luMm. ACotwrpyiiss In New York to closo a deal for the purchase of another mill. The Steel Merger, They picked up everything In sight, hurried to Chicago, and. within a week after tho opening of their cam paign, they had tho whole company organized.' This Is tho wny that dates likes to do things. Gutes and all his followers cleaned up fortunes In this flotation. The public appetite was keen for Industrial stocks, especially for steel stocks, and the conversion of millions of dollurs' worth of newly manufactured Btock certificates Into the coin of the realm was accom plished In a short time. Two years later the big trust was formed In the steel trade, and tho Gates companies were turned Into tho merger. Gates wanted to go on the steel board, but tho chief promoter, Mr. Morgan, wouldn't have It. The hanker said be didn't think that Gates was a safe man to have In a great corporation direc torate. Mr. Morgan's coldness toward him didn't seem to worry him at all. Not many months later Gates began to plunge heavily In Louisville & Nash vlle. He told his friends that it was a great property and that It ought to go higher. He mid his following In New York and Chicago, which by that time had grown to large proportions because of Ine money ne had made for them In his steel stocks, put the stock from around par to above $150. The Btreel woke up ono morning to dis cover that Gates had "cornored" Lou isville. The Northern Pacific corner panic was still fresh In tho ml nil cf Wall street and thero was a momo tary scare. Hut Gates said he didn't yant to hurt anybody. Tho road looked good to him and ho had bought some of tho stock. In fact, ho had bought the control. Gate didn't have any special use for a railroad with 3,300 miles of track, nnd he looked around for a purchaser. He went to Mr. Morgan's office ono morning, and aid: "Morgan, t own the control of the Louisville. If you want It or have a buyer for It, you can take It off nry hands." Mr. Morgan found a buyor and Gates cleaned up a fortune. Gates Is a horn gambler. When ho was a country shopkeeper out Id Illi nois he spent many a night In a "box car" on the siding, playing the "great American game" by the light of a trainman' lantern. "Great financier, that man Gates," exclaimed a railway fireman one day, as he saw by the newspaper headline that Gate had made a big coup In Wall street. "We knew that before Wall street ever heard of him, when he raked in the Jackpots out at Turner Junction," was the engineer's reply. Gate bolloves thnt gambling Is what make the world go. ''Life Is a gamble," said ho the .other day. "Everything 1 a gamble. When the farmer plants hi corn he Is gambling. He bet that the weather condition will enable him to ralso a gaoa' crop. 8ometimea he torn. Sometime he wins. Every man who goo Into business gamble. Of course, the element of Judgment en ter In, but the element of chance can not be ruled out. Whenever a man starts out on a railway Journey it' a gamble whether he ever reaches hi destination. All life I a gamble you ee." In active market It ha not been unusual for Gates to carry a line of $25000,000 or $30,000,000 worth of stocks on margin. Some of the older men In the street have tried agalu and again to tie him up, but tbey have never succeeded. Gate ha always had his eyes open. Where be couldn't see far enough with bis own eyes, he paid somebody else to look out for him. No operator In Wall Street ever organized a more elabor ate system of geujlr.g advance Infor mation of things that would affect Wall street. When the street waB waiting anxiously for tho final decis ion In the Northern Securities case, and the Union Pacific party believed that It had defeated James J. Hill, Mr. Gates one day sent word to Mr. Hill's office that he had something to tell him. The railroad president walked down Nassau street and across Wall street to the plunger's office. Thero lie learned from dutes that the Su preme court decision would he against the Union I'nolfic. Gates didn't tell how he knew It, but he assured Mr. Hill that he knew what he was talk ing about. Northern. Securities begun to soar that day, and never stopped until It hud advanced $70 a share. Some duys later the Supreme court dociulon was made public. It was Juxt what Gates said It would be. Gates Is a born bull. Ho has never tuken liny part In bear cuuipulgns, because he's too much of an optimist to bet on stocks going down. Kvery time during the past six or seven years when tho market lias had a bad break, the story has gone around thut Gates was hurt. The bull market of the fall of 1902 was almost entirely a Gates market. Gates and his follow ing put St. Paul nearly to $200, and were loaded up with stocks when It was discovered that the Standard Oil crowd hud been selling stocks nil tho way up. Tho market collapsed nnd the Oaten crowd took heavy losses. It Is GuIcb' peculiar fume that ho owns, so far as Is known, tho most singular pleasure craft possessed by a millionaire. It Is a sjdowheel yacht of uncertain ase, but steady as the proverbial church, and fitted out In n manner that puts to shame Its moro pretentious rivals of the propeller variety. With' his wlfo he has spent much time on this distinctly family seagoing craft, which pleases him to the point where he tolorates good naturedly the quips of his friends on Its packlngcaso proportion. Small wonder Is It that his liking for pictures has taken him into the school called "photographic" by the critics. Ills favorite Is Messonler and of the red and blue clad soldiers, courtier nnd ladles who troop through that artist' canvasses he has a goodly company in hla Waldorf room. ' And he tlnds unending de light In the bright colors and clear cut figures. Of the hordes of newly created mill ionaires borne Into Wall street on the wave of industrial combination which overwhelmed the country from 1898 to 1901, Gate was the most pictur esque He has added to that distinc tion the further honor of lasting the longest and of retiring not without laurels. One may not wondor If it might not be said of him now what he onoe said of himself on another question, that he 1 "not broke, but badly bent." THE RED SIGNAL LIGHT "Ding me If there wasn't a tot of dis cussion about those signals," Bald the fat engineer. "A feller would be peg ging along about 45 mile an hour with a heavy train V come up again' the signal at Uanvers Crossln' all tandin'. "Now, Danvors Crossln' was a bad spot to get mopped, 'n' It didn't tend to smooth anyone's feelln's to lay there the required time for automatic signals V find everything all right "Of course, thero was only one ex planation. Spooks. "Oh, yes, we decided that at a pro tracted session of the stove commit tee. Farmer Ilulley and his two chil dren were killed at Danvors Crossln' durln' that winter V It was only natural that their departml spirits should get back by tampcrin' with tho slgnolB and set the opernt In' depart ment of the rond by tho ears. "What seemed to make the spook theory more plausible was that tho tampering with the signals did not begin until after negotiations with the rallror.d company by llalley's relatives for duuiuuo claims hud become dead locked. "Hut I wouldn't full for any such thingumajigs In mine. However, the slgnnls up that way continued to Huy hob with us, 'n' reports V complaints at the main ofllce didn't bring any Im iirovement. There wns a reign of ter ror among the trnlu crews. "I was c.uiiln' east one night with first Nti, the livestock express, 'n' cnly had Just ub much' lime as the law al lows to get In 'n' make the export steamer with 'em. I wasn't Ihlnkln' much about spooks or spirits, but Just merely payln' attention to business. "I was tihakln' 'em along right lively when comln' along there by Uanvers CriiHsIn' the red light on the signal pole was shinln' as brightly us the big ruby In the rajah's crown. I kept steam on Just as long us 1 pos.Hlhly could. tblnkln' that the signal would turn to white. Hut It didn't, 'n' I came to a dead Mop. "From what I could s"e the traok In the block ahead was Just us clear as a politician's consoienee. However, I hud to wait the required ten minutes befdto proceilln'. Well, sir, the lan guage I used about spooks 'n' auto matic block slgnuls In general while we were standln' thorc would have sterilized milk. "All of a sudden down behind a biiHh near the trucks was a splushln', wallerln' sound, us if some one had slipped n' made a false step In the ditch. Immediately I thought it a part of my duties to go down there n' inveiitignte. Mobbo I might sen Farmer llalley's shade 'n' talk him out of this foollKhness of tryln' to get hep tamoerln' with our signal system. "I run down the bunk toward the hush. The spook saw me comln' first 'n' evidently not winhln' to be Inter viewed, sturted to leg It across lots, me In full pursuit. "It heut any Marathon cross country race you ever saw, my contest with that shade. He was pretty swift on his spindles 'n' I'm no sellln' pin' or myself. "I was closln' the gap on him pretty rapidly 'n' I was Just mud enough to She thut gho'.t n good slap on the hulo when I caught up to him. Cumin' to a little brook crossln' the lot the spook decided not to take the Liverpool an' he stopped so suddenly that I nearly went through him. , " Well," 1 says, swlnglu' him anion', 'the pleasure Is all mine. You can ' "'No,' he returned In a voice strangely familiar, but that belonged to no spook, 'It's nil mine. I saw It first. You Just hike hack to your train V move on.' "I Just felt as cheap as a fur over coat In hades. There I'd been chnsln' the superintendent of signals. "Vim see tho company had been I ry In' a little test Just to see who was who n' up to snun" oi the automatic slitnulB to And out what engineers were observln' the Hlgnnls properly. Of course they hadn't thought It neces sary to take v.s Into their confidence n' except for the sutler's false step we wouldn't be wise yet." Children Who Ccr.tradlst. A natural habit of every child Is to contradict, and ihi niictild be orer come as soon as a boy o.- girl develops it. for of all disagreeable and over hearing persons those who aggressive ly contradict nre among the worst. Parent cannot be too particular In leaching their sons and daughters to disagree courteously, which Is not at nil Incompatible with doing It m,b1 tlvely. "I beg your pardon, but j-ou are mistaken," Is quite as much of a contradiction as saying "It Isn't," and it Is fat better manners. "I think you nre mistaken" is another wny of ex pressing the opinion. A mother need not bo afraid of making her child a prig by teaching him such little things. They are as lmiiortant to him as a knowledge of how to speak grnmuticully. Pessimism. A cortaln man, who was recently reelected to a position that he had held for many years, met a friend who congratulated him on his continued good fortune. To this the other re piled: "Yet, but It can't always last; I'll have to give it up aome day. I feel a great deal llko a man I knew who worked in ono place for 40 years, and when discharged at last on ac count of old age remarked: 'Well, when I came bore ! knew I wouldn't have a steady Job.'" ,t NEWS OF MISSOURI Sued for Divorce. St. Joseph. Jesso H. Hartman, se cretary of the Hartman Furniture com pany, which ha.- stores In St. Louis. Kama City, St. Joseph and a dozen, other cities, was served with a copy of a divorce petition brought against him by Aldlne Kdlth Hartman. who claims to be his common law wife, a he alighted from a train here. Tho plulntiff, a remarkably pretty St. Jo seph girl, declares that they agreed to be husband and wife in April, 1904, and she states they have since lived trgetbor In Omaha as such. 12,500 Reward for Slayer, Mexico. Kdward Reed, a prominent stockman, and highly respected citi zen of Mexico, was assassinated by robbers who, after beating and rob bing him, nnconsciuos in theshrdluna blng him, left hlin unconscious In the southern part of the city. He dle4 from tho result of RIs Injuries anil exposure. Governor Folk, the county court, the Mexico Ledger and tho cltl iens of Mexico will ofTer $'..'00 re ward for the nrrest and conviction of tho assassin. The people are thor oughly uroused about this outrage. Missouri Doctor In Session. Jefferson City. The titlendar.ee at the first day's session of the Missouri Stale Medical Association was hardly up to expectation, scarcely loo phy sicians being present. There Is quite a display In the hallways and rooms on the second floor of the capltol of sur gical Instruments medical work, charts and other nintters that chlellly Interest physicians and surgeons. Folk Quickly Signs Bill. Jefferson City Gov. Folk mado short work of signing bills passed by the extra session. There were four of them, and all received his approval. They were the general appropriation bill, the demurrage bill, the derelict official hill anil the dramshop bill. These measures were all signed with in two hours after adjournment. Life Sentence Too Much for Boy. St. Louis. Homiise of his youth, steps may be taken to have the 99 ycur penitentiary sentence Imposed on John Stapp. IS years old, reduced. It Is said. Stapp pleaded guilty to murder In second degree In the Juvenile court. He stubbed and killed Mrs. Otllla Kraus May 1. Maid to Ex-Confederate. Lexington .Miss .Margaret Aull. of this city, has been appointed maid of honor by Hrlgailler General James I). Ingram to represent the western divi sion of Missouri ex-Confederates at Richmond. Va., May 30 to June (i. Miss Aull Is the daughter of Mr. and Mrs. Wllllum Aull. Two Joplln Girls Drown. Jopliii. Mamie Ruff. Ill year old, and Ruby Gamer, 0, two of a boating party of five, were drowned In Shoal creek, two miles from this city. Tho drowning resulted fiom the capsizing of the bout In the swift current of tho stream, which was swollen by recent heavy rains. To Pay Death Penalty. Jefferson City. Harry II. Vaughan nnd two whir convicts who killed prison guards, n-lill-- attempting to break Jail, were sentenced to he hang ed June L'". Til" diclslon was render ed In Division No. 2. Supreme Court, to which they laid appealed their con victions In the lower courts. Sullivan County Benefited. Milan. The heaviest rain that hria visited Sullivan county since last Sep tember fell here Monday night. It beitun mining at S o'clcck that night ami continued to fall steadily up to neon Tuesday. Pastures and early gar dens are greatly benefited. Capital Has Real Dry Sunday. Jefferson City. The Capital City had Its first real dry Sunday lilnce tho saloons were first closed by the Citi zens' League six years n'o. When the saloous were tlrst closed several "lid lilting" clubs were organized anil the breweries did a big Sunday bus iness. Die Reading Prayer Book. St. Joseph. Alderman Andrew E. Arnell, a democrat politician nnd offlce bolder for fifty years In Huehatian county, died tit his homo here from a Btroke of nppoplexy. He was reading a prayer hook when he ditg). Columbia Merchant Die. Columbia. Moss H. Parker, mer chant, died here following an opera tion. Ho was 54 years old, a Knight of Pythian, Maccahee and an Elk. Ho was president of the Parker Furniture Company. St Joseph Street Car Men Strike. St. Joseph. After negotiating for several months, the wage scale of the street railway employes was finally settled with an Increase of 10 per cent to employes Threats of a strike bad been made. 1 Book of War In Missouri, Jefferson City. Capt. James W. Al len, of St. Louis, ha been lu Jefferson City the past tfw day supervising the publication of the proceeding of the last reunion of United Confederate) Veteran at Joulln.