The morning news. [volume] (Savannah, Ga.) 1887-1900, 1891-11-08
A BIG CRASH AT BERLIN.
ANoTHER PRIvArR BANK GOES TO
THE WALL.


l973-Ruined by His Fast Life.
Copyright, 1891. bv the N. Y. Associated Press)
! BERLIN, Nov. IA sensation was caused
/ in financial and social circles here to-day by
the collapse Of the BANKING institution Of
Frisdlander & Sommerfeld. The usual
scenes Of excitemsnt among depositors
anxious TO secure their money and among
those holding notes and drafts Of the in
stitution occurred around the offices OF the
firm. aud the effect upon creditors may be
imagined when 1t was announced that
leading partner In the concern, together with
| his son. had committed suicide. The fall
| ure is associated wit the recent suspension
| OF Bankers Hirschtelds6L Wolff. The fact
that Friedlander g. Sommerfeld were fin an
caliy embarrassed, and that they would
/ find difficulty in meeting their obligations,
| was known to some of the operators on the
bourse here early in the day. Large forced
sales were made, and this action was vague
| ly attributed to l1cal financial troubles.
These sales caused general and heavy fall
In prices, but the business Of tse day was
over before the tragic incidents closing the
| career Of the bankers became generally
I known.
DEATHS DIE CAST
AS the facts in the case developed it ap-
/ pesred that the father and son met in their
office ia the bank early this morning and
discussed the crisis In their atfsirs After
! talking over the matter pro and con they
concluded that as they were hopelessly en-
! harrased they would die. It is under sood
that tais resolution to take their own lives
was due In great MEASURE to the fact that
their arrest was impending as Felix SOM
! nerfed, the son, had become involved in
| speculation which was more than likely to
lead to his arrest on a criminal
| charge. Having arrived at the deois-
ion that death was preferate to arrest
and disgrace, both father and son shot
themselves in the head, ulng revolvers.
| The hrm has heea in existence for a long
time aud held good position in ths hnaH-
ciRl world. Il had earned solid reputa-
tion aS a steady going house. Its customers
who belonged chiefly 10 ths middle class
were scattered throughout the, empire.
HEAVY WITHDRAWALS.
Since the Hirschfeh &; Wolf failure
many of,the principal clients of Friedander
& Sommerfeld, who had become alarmed
rtgarding the stability Of private backing
houses made heavy Withdrawals Of de-
posits. Herr Sommerfed tried 10 meet ths
difficulty by trying to realize on his invest
mentA These, however, were locked up
in industrial and other stocks, which
were not readily marketable and eventually
it was found impossible for the firm
to meet its engagements. The police have
taken charge OF the tlr.n's office and have
placed seals on the safes. The best informed
members OF tho shonrse say that they dc
not expect that the failure will precipitate
period OF general disaster, though 1t Is
certain to greatly increase the alarm
among the investing classes
WOLFF a HIGH ROLLER.
Inquiry into the affairs; OF Hirschteld &,
WOLF realizes the worst anticipation. The
hrm had been in business for SSty-foui
years and had as its chief representative
| Herr Wolf, who occu pied several other Do
sitions Of trust. He was a prominent So
ciety man, who lived a life Of osteata-
tious wealth, his household expenses
running TO 100000 marks year He do
little IN the speculative line until recent
years. when his private extrsvagances and
losses at the gaming table led TO his eEnbar
rassment. He tried to rec1up his losses
tn ough dealings on the Paris and Berlin
bourses.
INSoLvENT EIGHTEEN YEARS.
As matter Of fact, the firm had been ill.,
solvent sincs 1878. For a number OF years
Herr Wolff has been living by selling aud
pawnipg the securities of depoSitors, work.
ing IN connection with Banker joseph Leip.
, ziger. 1t is asserted that Herr Wolf, al
the facts being known TO Herr Leipziger
Aoated spurious drafts through Herr Leipzi
ger, AID pawned securities OF depositor.
amounting in vaius TO !, 500 900 marks Herr
Leipsiger finally went to the wall, and
his failure hastened the downfall Of Hirsch.
field and Wolff. Among numerous aristo
cratic creditors of the firm are Prince
Henry of Prussia, who loses SOC, 600 marks
Prince GuDther of Schleiwig- -Holstsin
brother Of the Empress of Ger.
many, whose loss also accounts tt
, 600 marks; and Count Lutticho1
q prominent leader in German society, WHIT
is out 600 marks. Other members o.
tbe erist cracy who are severely hit ar.
| Count Zedtz Traschler, Count Bredow
Reichstager 9olischmidt and Count Eulen-
: burg of the imperial household, and Coun
Lehndorff, chief OF the royal stables. A
large number Of industrial companies LOSE
! their deposits
WOLFF In JAIL.
Herr Wolff IS confined in the Moab
! | prison. he says he is unable TO make auy
! estimate of his liabilities. He has a mum
ber of heavy gambling debts. Herr Wolf
was president of the Resource Club, an or
ganization composed of wealthy pervanui
aud anancisrs who are addicted to reckless
playing. Iti recorded that upon the eve
OF the failure of the firm, Herr Wolf
1 tbt%Ss% thousand marss in bills which
8 he accidentally dropped at tie gambling
i table. he lett the money on the moor foH
: the walters. This evening a large crowd
assembled In front OF the bank and threat
ened TO carry the building by storm and re-
I cover their securities. The police had grea
difficulty in restraining the mob from car
rying their threats into execution. Many
artisans are nfuriated at the loss OF their
: deposits.
4 THR EMPEROR AROUSED.
The emperor designs to cleanse high a
we'll as low society. and his good intention
have received an impetus from these dis
closures: The Wolff clique Haunted demi
. disreputabls women in sumptuous raimen
in tho best boxes Of the opera house, an
with their frail companions drove ii
r barouchss through the Thiergarten. Officer
;. belonging to the Berlin and other garrisons
=. who are following the same life as tht
- Wolf crowd, have received a caution
t through the colonies of their regiments tina
: the emperor will wipe them out of tn
4 army and will use his influence to ostraciz
r them in society unless they mend thel
: ways forthwith.
9 ACTIVITY OF THE POLICE.
4 The police continue their efforts 60 piac
r a check upon the social evil, for which BeT
lin is notorious, being prompted thereto b
the emperor, who is fully determined {
bring an end to this crying evi
,t They have escorted 70 the frontier
Il or placed in prison 40 men who wer
% subsisting upon the earnings Of viciou