Santa Fe new Mexican. [volume] (Santa Fe, N.M.) 1898-1951, 1907-10-17
BIG FAILURE
IN WALL STREET
Heinze Brokerage
Firms Suspend
Operations
SLUMP IN COPPER CAUSE
F. Augustus Heinze Resigns
Presidency of Mercantile
Bank as Result.

New York, Otc. If Augustus
Heinze. president Of the United Cop
per company, crisis in whose ailalrs
was reached on the stock exchange
Yesterday. said today he was consla-
ering the question of resignlng the
presidency of the Mercantile Natlonai
Bank of this city.
"The troubles of the United Copper
company" said F. Augustus Helnze TO-
day, "are internal and were brough'
about by differences between certain
interests. | have much to DO at THIS
time in bringing about a settlement
of the companys affairs and there IS
nothing more that | can say at TINS
time"
Brokerage Firm Quits.
Otto Heinze and Company made
the following statement at the open
ing of the stock exchange today:
arthur P. Heinze is no longer a
member of the firm Of Otto Heinze
and Company. The company feels IT.
self perfectly solvent and will pay
all it's Just and legal obligations in full.
The firm. however, refuses to pay any
obligations which it does not cOnsid-
er legal or just until proper adjudica-
ton of the matter has been made,
Rather than submit to any unjust de
mands it prefers to permit itself to
be temporarily suspended from the
privileges of the New York stock eX-
change"
The sentiment in Wall Street today
was divided between feeling of relief
that the situation created by the
United Copper manipulation had been
cleared up and nervousness lest the
failure of Gross Fleeberg, brokers for
Heinze. might have an unfavorable
effect generally. That the firms claim
that their inability to meet the obli
cations was due to the purchase Of
United Copper, which was made by
Otto Heinze and company, but not ac
cepted by them, brought the name o
F. Augustus Heinze into Wall Stree,
comment, although it is denied he is
interested in the firm of Ootto Heinzt
and company
F. Augustus Henze, president of tht
United Copper company, has been ;
feature in New York financial circles
since the settlement of his long draw
out litigation with the Amalgamatet
Copper interests. 1t is understood h,
received large sum in cash as par
settlement and he soon afterwards be
came president of the Mercantile Ma
tional bank, one of the largest financ
ial institutions of this CITY,
Bank Directors Decide On Change
Late last night there was confer
ence on the situation and afterwarl
it was rumored that Heinze had agree
to resign the banks presidency toda
and that he would be succeeded b
William B. Ridgely, comptroller of tn
currency. Ridgely, however, denie
that he had accepted the presidency
but Heinze said today he was consit
ering resgning.
The situation in copper has been III
favorable for some time and today
was announced that following the DO
icy OF the Amalgamated Copper con
pany in restricting it's output, tn
Clarke and Phelps Dodge interests an
the Cerro de Pasco Copper mines
Bolivia have reduced their output 7
per cent.
The suspension of Otto Heinze an
Company, was announced on tn
Stock Exchange this afternoon.
F. Augustus Heinze resigned til
presidency of the Mercantile Nation,
Bank today. w. B. Ridgely com
troller of the currency, has been ii
vited to accept the presidency.
Starts Run on Butte Bank.
Helena, Mont, Oct. IA speci
from Butte states that because of IL
suspension of what are .inown as IL
Heinze brokerage firms in New Yo1
run was started today on the Sta
Savings Bank here in whicn f. A
gustine Heinze is leading stockhol
er and director, and that the ban
availing itself of the thirty days pri
ilege closed its doors None Of Il
other banks it is said are affecte
They experienced no runs. The depc
it's of the bank in question are
the vicinity of $4,25O,OOO, and in q
savings department about $1,25O,0(
The latter deposits are largely fro
the working people of Butte. IT
state also has about $4,000 of sta
funds in the bank.
The following bulletin was post
on the door of the bank:
Unnno,,ro - tho ,,no01id oOudttfO