Read The Go-Go Years Online

Authors: John Brooks

The Go-Go Years (50 page)

The story of Trinity Church's role in the May 1970 riot is well told in
The Trinity Parish Newsletter,
May-June 1970.

C
hapter
II

The reform of the American Stock Exchange is reconstructed (apart from interviews) largely from Amex and S.E.C. documents, along with newspaper accounts in
The New York Times, The New York Herald-Tribune,
and
The Wall Street Journal.
See especially the
Herald-Tribune,
June 25, 1961; “Interim Report of the Special Committee for Study of American Stock Exchange,” December 21, 1961; and the
S.E.C. Staff Report on the American Stock Exchange,
January 1962.

On Birrell and Guterma: T. A. Wise,
The Insiders
(New York, 1962).

C
hapter
III

On Edward M. Gilbert:
Time,
June 22, 1962;
Life,
June 29, 1962;
The Saturday Evening Post,
October 19, 1963. A remarkable and detailed account of Gilbert in Nevada in May 1962, and subsequently in Rio, is contained in an article by M. J. Rossant,
The New York Times,
June 24, 1962. I am grateful to several other persons who provided information on Gilbert's career and personality.

C
hapter
IV

Cary tells his own story of his S.E.C. chairmanship, and gives his views on federal regulation, in William L. Cary,
Politics and the Regulatory Agencies
(New York, 1967). See also Louis M. Kohlmeier, Jr.,
The Regulators
(New York, 1969), and
American Bar Association Journal,
March 1963, in which Cary's “private club” speech is reprinted.

The basic document is
Report of Special Study of the Securities Markets of the S.E.C.
(Washington, 1963).

C
hapter
V

On Zeckendorf's downtown real-estate operations: William Zeckendorf with Edward McCreary,
Zeckendorf
(New York, 1970).

On the early feminist brokerage firm of Woodhull, Claflin and Company: Johanna Johnston,
Mrs. Satan
(New York, 1967).

On Bart Lytton:
The New York Times,
June 30, 1969.

On Atlantic Acceptance Corporation, Ltd.: the complete story is told in
Report of the Royal Commission Appointed to Inquire into the Failure of Atlantic Acceptance Corporation
(four volumes; Toronto, 1969). A brief and sound early account, by M. J. Rossant, appeared in
The New York Times,
November 14, 1965.

C
hapter
VI

The rise of Gerald Tsai is described in Gilbert Edmund Kaplan and Chris Welles,
The Money Managers
(New York, 1969). See also
Business Week,
February 2, 1965, and
Newsweek,
May 9, 1966 and May 13, 1968.

An account of Alfred Winslow Jones and the hedge-fund business appears in
The Money Managers
.

C
hapter
VII

The literature on conglomerates, unlike that on most aspects of nineteen sixties finance, is already voluminous. The basic source, up to now, is
Investigation of Conglomerate Corporations: Hearings Before the Antitrust Subcommittee of the Committee on the Judiciary, House of Representatives, Ninety-first Congress
(seven volumes; Washington, 1970), along with a summary volume,
Investigation of Conglomerate Corporations: A Report by the Staff of the Antitrust Subcommittee
(Washington, 1971). A useful book for the general reader is
The Conglomerate Commotion,
by the editors of
Fortune
(New York, 1970). A detailed account of the career of James Ling is to be found in Stanley H. Brown,
Ling: The Rise, Fall, and Return of a Texas Titan
(New York, 1972). Among particularly enlightening magazine and newspaper articles are “Litton's Shattered Image,”
Forbes,
December 1, 1969; “Meshulam Riklis: What Makes Rapid Run,”
Forbes,
March 15, 1971; and “Affinity for Tennis Turned a Mansion Into a Showplace” (on Eugene V. Klein),
The New York Times,
September 6, 1971.

On accountants and accounting:
The Insiders
(cited under Chapter
II); “The Accountants Are Changing the Rules,” by Arthur M. Louis,
Fortune,
June 1968; and “A Comparison of the Economic and Social Status of the Accounting Profession in Great Britain and the United States of America,” by Lee J. Seidler,
The Accountant's Magazine,
September 1969.

C
hapter
VIII

On back-office snarls: Hurd Baruch,
Wall Street: Security Risk
(Washington, 1971), a sound and thorough study by an S.E.C. official; Christopher Elias,
Fleecing the Lambs
(Chicago, 1971), which is biased and unreliable but nevertheless useful and suggestive; “The Back Office: An Inside View of Wall Street's New Ball Game,” by John W. Faison (The Wall Street Ministry, New York; pamphlet);
The New York Times,
1968 and 1969, especially an article by Marilyn Bender, January 9, 1972. The question of Mafia connections in Wall Street is dealt with in the
Times,
November 26, 1969.

C
hapter
IX

On the youth boom in money management, see
The Institutional Investor,
October 1968;
Business Week,
March 15 and May 3, 1969;
Forbes,
January 15, 1969.

Abbie Hoffman's 1967 exploit at the Stock Exchange is described in his
Revolution for the Hell of It
(New York, 1968).

Trinity Church's community programs are described in “New Hope for the Wall Street Ghetto,” by Mary Cole Hanna,
Sign
magazine, August 1969, and
The New York Times,
June 5, 1969.

C
hapter
X

Extensive documentation of the Leasco-Reliance merger and the Leasco-Chemical encounter are contained in
Investigation of Conglomerate Corporations,
Volume 2, and in the
Report by the Staff.
Among the more enlightening of many articles that have been published about Saul P. Steinberg are “Fast Money Power,” by Chris Welles, in Clay Felker, ed.,
The Power Game
(New York, 1969), and “Steinberg's Complaint,”
Forbes,
May 15, 1969.

C
hapter
XI

On the offshore business as a whole, see
Business Week,
March 22, 1969, and
The New York Times,
October 12, 1970; on Gramco in particular,
The Sunday Times
of London, October 11, 1970.

On Cornfeld and I.O.S.: Godfrey Hodgson, Bruce Page, and Charles Raw, “
Do You Sincerely Want to Be Rich?”
(New York, 1971), in which the story is told in exhaustive detail; and Bert Cantor,
The Bernie Cornfeld Story
(New York, 1970), in which it is told with gossip and
brio.

On Parvin-Dohrmann:
S.E.C.
vs.
Parvin-Dorhmann et. al.,
initiated October 16, 1969, in the U.S. District Court for the Southern District of New York. A good popular account is contained in John F. Lawrence and Paul E. Steiger,
The Seventies Crash and How to Survive It
(New York, 1970).

National Student Marketing Corporation: Andrew Tobias,
The Funny Money Game
(Chicago, 1971), and “How Cortes Randell Drained the Fountain of Youth,” by Rush Loving, Jr.,
Fortune,
April 1970.

On institutional investing and its effect on the securities markets, with comments on offshore funds, hedge funds, and letter stock:
Institutional Investor Study Report of the Securities and Exchange Commission: Summary Volume
(Washington, 1971). However, this long-awaited study must be rated a disappointment.

The full text of the famous Nixon letter on the securities industry is reprinted in
The New York Times,
October 2, 1968.

Statistics on concentration of capital are derived from
Investigation of Conglomerate Corporations: A Report by the Staff
.

C
hapter
XII

The allusions to the events of 1929 are drawn from J. K. Galbraith,
The Great Crash, 1929
(Boston, 1961), and from John Brooks,
Once in Golconda: a True Drama of Wall Street 1920–1938
(New York, 1969).

Donald T. Regan's account of the White House dinner of May 27, 1970, is contained in his
A View from the Street
(New York, 1972). The menu on that occasion, and other engaging details, come from an article by Terry Robards in
The New York Times,
May 31, 1970. Galbraith's article drawing parallels between 1929 and 1970 appeared in the
Times
on May 3, 1970.

On the economic dimension of the 1969-1970 crash, relative to that of 1929, see “The Great Crash in Growth Stocks,” by Max Shapiro,
Dun's Review,
January 1971.

The action of the Federal Reserve in the Penn Central bankruptcy is described in
Perspective '70: Economic Highlights of the Year
(pamphlet; the Federal Reserve Bank of New York, 1971), and in
Business Week,
October 24, 1970.

C
hapter
XIII

There are a number of well-researched early accounts of various aspects of the 1970 Wall Street capital crisis. These include “Wall Street on the Ropes,” by Carol J. Loomis,
Fortune,
December 1970; “The Unbelievable Last Months of Hayden Stone,” by Mrs. Loomis,
Fortune,
January 1971; “Ross Perot Moves in on Wall Street,” by Arthur M. Louis,
Fortune,
July 1971; and articles by Terry Robards in
The New York Times,
December 17, 23, and 31, 1970, and March 28, 1971. See also Baruch,
Wall Street: Security Risk.

Background material on the du Pont family is drawn from William H. A. Carr,
The du Ponts of Delaware
(New York, 1964).

The November 1970 dispute over Haack's Economics Club speech is described in
The New York Times,
November 22, 1970.

C
hapter
XIV

Irwin Friend, Marshall Blume, and Jean Crockett,
Mutual Funds and Other Institutional Investors
(New York, 1970).

Collapse of the hedge funds:
Fortune,
May 1971, and Robert Metz in
The New York Times,
March 16, 1972.

Leasco's unprovability:
Forbes,
January 15, 1971.

William McChesney Martin, Jr., “The Securities Markets: A Report, With Recommendations, Submitted to the Board of Governors of the New York Stock Exchange, August 5, 1971.”

Index

Accounting,
158–64
,
262
,
283–84

Accounting Principles Board,
159–60
,
162–63
,
262

A.I.C.P.A.,
159–60
,
162

Albano, Vincent F., Jr.,
33

Alcoa,
42

Aldrich, Hulbert,
248
,
250
,
252

Alger, Fred,
140
,
212

Allende, Salvador,
179

Allis-Chalmers,
175

Altec,
166

American Colortype,
168

American Home Products,
155
,
262

American Institute of Certified Public Accountants,
159–60
,
162

American Motors,
96

American Patriots for Freedom,
215

American Photocopy,
96

American Stock Exchange,
29–54
,
87
,
261
,
292

American Telephone and Telegraph,
139
,
183
,
213
,
239
,
301
,
312

Americana Fairfax Apartments,
273

Ames, Amyas,
85
,
93
,
217

Amex,
see
American Stock Exchange

Ampex,
27

Amtrak,
309

Andersen (Arthur) and Company,
281

Anderson, Robert,
301

Angell, Norman,
217

Antiwar demonstrations on Wall Street,
6–10
,
214–15
,
217
,
226

Applied Logic,
184

Argus Research,
211

Armour,
42
,
172

Armstrong, J. Sinclair,
217

Ash, Roy,
153
,
173

Asiel and Company,
319

Atlantic Acceptance Corporation, Ltd.,
119–25

Atlantic Richfield,
301

A.T.T.,
see
American Telephone and Telegraph Auchincloss, Louis,
114

Auchincloss, Parker and Redpath,
281

“Automatic” Sprinkler Corporation,
174

Automation, stock trading and,
193
,
194–95

Babson (David L.) and Company,
212

Bache and Company,
132
,
317
,
334

Bache, Harold L.,
146

Back offices,
185–87
,
191–200

Baerwald and DeBoer,
317

Bangor Punta,
153

Bank of Canada,
124

Bankers Trust,
239
,
248
,
282
,
285

Barish, Keith,
272–73

Barr, Andrew,
162

Baruch, Hurd,
185
,
190

Bauman, Arnold,
77

Bay Street (Toronto, Canada),
97
,
118
,
125

Bear raid,
243–44

Bear, Stearns and Company,
264
,
327

Bedingfield, Robert E.,
46–47

Beekman-Downtown Hospital (New York, N.Y.),
9
,
226

Belle, Earle,
75

Berkley, Bill,
211

Berkley, Dean and Company,
211

Bernhard, Robert,
9

Birrell, Lowell McAfee,
30–31
,
32
,
33
,
75
,
97

Other books

Snareville by David Youngquist
The Language of Silence by Tiffany Truitt
Once Upon Another Time by Rosary McQuestion
Threads of Love by Miller, Judith Mccoy;