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This Day in Financial History
1931 - Pynchon & Co., one of the Wall Street's largest and most prestigious brokerage firms, goes bust, with $40 million in liabilities -- the biggest failure of a brokerage yet on record. The main reason: Pynchon had bet much of its own money on the hot new-media issues it helped underwrite, including General Theatres Equipment and Fox Films. Those securities have lost up to 57% over the preceding 12 months.
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