The failure took everyone by surprise, and the questions immediately asked were, How has the money gone? He always seemed such a careful man. Does he keep a mistress? Has he been betting or dabbling on the Stock Exchange? As the money involved in the crash was considerable, certain wrathful creditors instituted a searching examination into Mr. Gibbs' mode of life, in the expectation of finding that he had been leading a double existence—playing propriety in the City and the fast man at the West-End, but they were disappointed. He was a model husband and his establishment was conducted on anything but extravagant lines. There was no young woman of doubtful virtue inhabiting an elegant villa at South Bank, with sets of valuable diamonds and elegant equipages in the background. He was unknown on the turf, and nobody had ever seen him bet even half-a-crown. The result of the enquiries showed that the bankrupt was a steady man, not given to drinking nor to dissipation of any kind, and that he was most punctual in all business matters. The people he employed were never tired of singing his praises, and no man was better served in the City of London.
How such a perfect business man could fail was a mystery until the accountants came to write on the credit side of the balance sheet the particulars of the doubtful assets. There never was such a lot of rubbish; the secret was revealed at last. He had been speculating in stocks, but such stocks! Every rotten Company for many years back seemed to have had him for a subscriber. He had embarked his money in the wildest schemes; Honduras bonds, Peruvian loans, Colorado mines, Spanish railways and Turkish waterworks. Nothing unsound came amiss to him, and the shares, which came to an immense amount, were simply unsaleable.
If men will go into things which they don't understand they must put up with the results. Poor Mr. Gibbs may have had a thorough knowledge of his own business, which, taken by itself, showed handsome profits, but he was evidently not an adept at "bulling" and "bearing." He was terribly "cut up" at his downfall, and no creditor, however irate, could listen long to his explanations and laments without feeling some sympathy for the man. He owned his fault, and said he had acted the fool and must take the consequences, but that it was hard luck after having the ball at his feet to have to commence the world afresh. His bankruptcy did not make him seclude himself at home as it would other men; he kept his usual hours at the office, and was always ready to see any one and to give any explanations.
Before the first meeting of his creditors was held he did a very politic thing. He called on each of them and asked how to act in the, to him, grave emergency. One or two wealthy firms were so convinced with his statements that on his promising to leave the Stock Exchange alone in future, they offered to advance him money to pay a dividend, and said they would do what they could to get his name taken off the list of bankrupts. An overwhelming majority agreed to the terms proposed, and Mr. Gibbs was reinstated in his former position. He had been unfortunate everyone thought, but not culpable, and the dividend of 2s. 6d. in the pound was duly paid.
The loss I incurred through Mr. Gibbs came at an inopportune time, and crippled my financial affairs to such a degree that had it not been for the assistance of a friend I must have paid a visit to Basinghall-street myself. However, I managed to weather the storm, and had never any occasion to regret my future transactions with Mr. Gibbs, who was, strange to say, soon doing double his former business, and making a fortune rapidly. He was not forgetful of the kindness of his creditors, and when it was in his power they had always the preference in his dealings.
Years rolled on, and the loss I sustained had been erased from my mind, when in the latter part of 1879 I happened to run against a Mr. Murray and the whole proceedings were revived. Murray had been on the Stock Exchange, but "bearing" Egyptians settled him, and he was now not in the best of circumstances, doing what he could outside the sacred precincts. The man had been useful to me on different occasions, and I took him into a wine place and gave him some sherry. After he had finished the narrative of his own difficulties he all at once said:—
"What a fortunate man is Gibbs. Do you still transact business with him?"
"Occasionally," I replied. "Since he dropped speculating on the Exchange everything has prospered with him, and he is now reputed very wealthy."