The Portland daily press., 1889-03-20
A COMBINE WHICH DIO NOT SUCCEED.
The Ambitious Scheme TO Control
the Worlds Supply Of Copper.
Great French Banking Housss In
Danger by It's Downfall
while One OF Its Promoters Fills tho
Grave OF a Suicide.

PARIS. March 19.-The Societe des Meteaux
has stopped payment and the Compton
dEscompse has liquldated. The llquldator
Is M. Mechaud OF the Bank Of France.
The great copper syndicate has come to
grief, and grave fears are entertained that
the great French banking institutions with
which 1t was allied win also suffer. The
Compton, d'Eseompte. which the copper syn
dicate dragged TO ruin, was regarded until
the recent crisis as the third strongest hnan-
cial Institution In France. only the Bank Of
France and the Credit Foncier rating ahead
Of It. and there are such intimate connec-
tions between the three that IL is thought
the stockholders In the Bank Of France win
have to suffer.
IL was Vnly on Mardi Gras morning that
the suicide Of M. Denfert- Rochereaa, the
director Of the Compton d'Escompte, oc-
CURED. A foolish attempt was at first made
70 conceal the cause Of bis death, but the
truth leaked out before night. II became
known that NJ. Denfert- -ROchereau's suicide
was the direct result Of hs= own financial
rum. fte WIZ zBif-made man, who had
grown In wealth through his connection
With the Compton d'Escompte, whose SER
vice ne entered as q young man. He was
| Leputed TO be worth nearly 1,OO0OOO francs
In his capacity as director. OF the Compton
d Escompte he was one gof the syndIcate
which, having purchased the produce Of all
the largest copper mines and run the price
| OF copper up In the clouds, suddenly en-
eounterec strong reaction.
Copper came In from all sorts OF unexpect-
| ed small mines which II had not paid TO
work when the metal was selling at nominal
rates, and on the other hand buyers revolted
at the corner" and resolved to abstain from
purchasing even II they themselves proved
the first sufferers from the abstinence. Down
went the price OF copper and down went the
shares Of the Compton d'Escompte, which
institution. 1t is said, is burdened with over
100000 tons OF the, at present, almost worth.
less metal. On December Is, 1888, the bank
shares were at l $50 and copper shares were
selling at 900. On March 2 copper was at
$50 and the bank shares at 800.
Then came Denfert- -R0chereau's suicide,
and the Compton d'Escompte stock dropped
suddenly over 200 points to 500. And on
"Wednesday the run on the bank began.
Sixty million francs were paid out during
the day. On Thursday the excitement was
increased BY report that several bankers
and Stock Exchange agents were involved.
subsequently came the advance Of 125, ,0O0.-
600 francs TO the Compton d'Escompte by
the Bank OF France, and public confidence
was partially restored. The resignation Of
N. Well from the board Of directors of the
Bank OF France, however. caused reaction
and now the end has come.
II Is now the opinion Of the best judges
that the only solution OF the copper crisis Is
In the selling Of the existing stock OF copper
p20 1000 tons) for what 1t win fetch, and tnen
building the trade up again on the basis Of
demand and supply.
a judicial Receiver Demanded.
LONDON. March 19.-The Paris cores
pondent Of the News says the Societe des
Metaux has given notice Of its inability to
take deliveries Of copper from the mines and
will. tomorrow decline a suspension Of pay
ments and demand the appointment Of q
iudiefal raeafvar