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this, committed in an evil hour the act which brands him as a criminal and a felon. HOW THE MONEY WENT. He was not it appears a man of very expensive habits. He was fond of billiards but no one has yet stated that he was a gambler to any considerable degree. But stock-jobbing possessed a fascination for him that he could not resist. He had a number of brokers constantly employed, and was always represented at the Evening Stock Exchange by at least half a dozen of these geptlemen. His father was not aware of these large transactions for some time, but at length they became so,colossal as to attract attention, and he often lost heavily. Still, such was his reputation for honesty and honor and business capacity, that not the slightest suspicion arose that he was engaged in any disreputable proceeding. In this way all his money went. He made desperate efforts to maintain his position. He lost steadily, and doubtless. in the hope of retrieving his lost fortunes, he took the fatal step which blasts his name forever. THE STOLEN BONDS. The bonds were deposited in the trunks in neatly made upenvelopes. On examination it was found that the envelopes were there apparently untouched, but there was no trace of the contents. AN INVESTIGATION into the transactions of the defaulter was being conducted by a Committee of the Board of Brokers yes. terday. and will, doubtless, be continued to-day. A report, which will probably elucidate the facts of the case, will be presented and may dispel a little of the mystery which now envelopes the whole affair. CARELESSNESS OF BROKERS AND BANKERS. It is almost astounding how men so clear-witted and acute should fail to detect the bungling forgeries of young Ketchum. Many hint that there are others privy to the fraud. and that otherwise it would be impossible to carry on such a gigantic swindle. THE WHEREABOUTS OF KETCHUM. As yet no clue has been obtained as to his where abouts. Detectives are on his track. No foreign steamer left since the defalcation was brought to light, until yesterday, and a detective went on to search the steamer sailing for Europe. Some say that he has gone to Halifax, while others assert that he is concealed in the city waiting until the matter shall have been cleared up. His father will certainly not prosecute him in case he should be arrested, and if the forged paper is made good the matter will probably drop. Even now that his forgeries have been brought to light, few speak harshly or unkindly of him. and nearly all would be rejoiced to see him well out of the difficulty. SYMPATHY WITH MR. GRAHAM. There are many sympathizers with Mr. Graham. He has taken up 57 of the forged certificates, representing $285,000, which amount was paid in gold. Loans had been effected on him, it appears, to the amount of $1,000,000. THE VICTIMS. The Fourth National and the Importers' Banks are the principal sufferers, but their position has been explained by cards. Failures of several small houses were reported yes. terday in Wall-st., but nothing definite has yet been learned about them. Brokers and others share in the losses in sums of from $40,000 or $50,000 to $100,000. STATEMENT OF MR. LEVERICH, PRESIDENT OF THE NEW-YORK BANK. Mr. Edward Ketchum was introduced here to Mr. last June, when he made a written application in behalf of Mr. Charles Graham to open an account; we gave him a gold check book, which contained 500 checks. running up from No. 58,501; these checks need the four signatures of depositor, register, teller and indorser. before they can be of any service; they are numbered and checked. so there can be no possibility of fraud here: Mr. Ketchum handed us a check for $1,000, 16 drawn by Mr. Graham, but since the book was taken Mr. Graham has neither made & deposit nor drawn a of check, although he paid $1,000 for that privilege; on Monday I heard that there were forged checks out: I looked for them, and found three, onesigned by Brockleman, Unger & Co., and two signed Haligerten & Herzfield; after I went out of town at 5 o'clock, 12 others turned up, each for $5,000; it is a singular fact that none of these checks, and there is no telling how many of them are out, as the book cannot be found, have been g presented either for deposit or payment; it is more than y probable that the forged checks were used simply as d margins, and that the proceeds of the securities which he is said to have taken from the house, were used to take up the checks when the margin was exhausted. STATEMENT OF MR. MORRIS KETCHUM. g Mr. Morris Ketchum, who keenly feels the blow, says he does not desire to make any formal statement at present, though he might conclude to do so. He said: k My son Edward has committed a great crime. He to has taken from me between two and three millions in securities-the assets of the house-besides, I fear. doing other wrongs of great magnitude in connection 00 with the gold checks. The house cannot go on. of course. I stopped payment this morning, partially that I might understand our condition, and know exactly where we stand; but I don't see how we can go on. Our remittances this morning were very heavy, and were all deposited to the credit of our customers. have no idea where my son has gone. What could have tempted him to do this thing I cannot say. He had everything which could make his life pleasant and his position here was pecuniarily such as must have satisof fied him. He was at my house on Sunday night, since when I have not seen him. STATEMENT OF MR. GRAHAM. c. Mr. Grabam, who was Mr. Edward Ketchum's broker, and who is a heavy loser by the defalcation, says: was Mf. Ketchum's broker. He was a very heavy operator. Some time ago he made a great deal of money. but lately he lost. ben I was home I frequently checked by my advice his operations, and quite likely had I been here, I being older, would have cantioned him about getting in so deep. The check book was kept here, but it was entirely in his charge. We had nothing to do with it. Having perfect confidence in him, we did not scrutinize the checks as closely as we should. We took it for granted that he was all 72 right, and SO were his checks. We always took the a number of the check, the signature, &c., so that in case of wrong they could be traced, but we never looked y carefully at the signatures, supposing, of course, that they were correct. The checks were used to earry d gold. The banks prefer that it should n't be known how much they lose, and other parties are interested in keeping the matter quiet. I have been compelled to stop payment. I was out of town when this occurred. My partner telegraphed for me to come down at once. I did SO, suspended, made an assignment to David Groesbeck. I have no idea where Ketchum has gone, nor what is the amount of his forgery." ketchum, SON & CO., AND THE N. Y. TIMES. To the Editor of The N. Y. Tribune. SIR: Will you please give a place in your columns to the following letter which we have addressed to the