Arizona republican., 1907-10-18
|. Augustus Says That the Firm Gan Meet
 All Its Legal Obligations
W. IS. Ridgely Comptroller of the Currency Has Bee Offered the Presidency of the Mercantile National to Succeed the Copper Magnate.

New York. oct l7.-Sensations fol- lowed each other in rapid succession in the financial district today as result of the collapse of the projected corner in United Copper and the suspension of prominent brokerage firm yester- day.
 The firm of HeinZe and Co. was suspended in the stock exchanee. F. Augustus Heinze the Butte copper Uagnate resigned the presidency of the Mercantile National Bank of New York. The Amalgamsted Copper com pany, at the directors meeting. cut the quarterly dividend from to per cent.
 The directors of the Boston and Montana Copper Co. declared a quar- terly dividend of s6 in place of the for mer dividend Of SIP
 The failure of SOehle and Co. prom irent bankers of Hamburg, Germany. with liabilities that may reach SI,OO0,- GOO, was announced.
 The State Savings Bank of Butte. Montana, of which Heinze & Cowre were the principal stockholders. sus- pended. As a result of these sensa- tiOns the stock market was haIting and irregular. but there was an apparent feeling that the break in the attempt ed corner of United Copper would clear the atmosphere somewhat. and the market rallied before the close.
 The suspension of Otte Heinze & Co. of which firm Max NJ. Shultze of the stock exchange is a member. was based on the complaint to the ex- change made by Gross X Kleeberg, the stock exchange firm which failed yes terday- In a communication to the president of the stock exchange, this firm charged Otto Heinze & Co. with refusing to accept 32II shares of Unit ed Copper said to have been bought on an order by the Heinze firm. This action Gross and Kleeberg state. was responsible for their failure. Attor- neys for the firm stated today that the amount owing the firm by the Heinze firm would aggregate s600.00O.
 The Heinze firm announced that it was perfectly solvent. and that all legal obligations would be met At t"rneys say its suspension by the stock exchange is accepted by the firm in order to give the latter an opportunity to sift its legal obligations from the numerous claims which have been made against it, which it is alleged, they are not legally obliged to pay. The resignation of F. Augustus Heinze from the presidenck of the Mercantile National Bank it is said. was decided on at midnight meeting at the home of C. W. Moore who is largely interest ed in the bank.
 IL was announced this morning by MT. Heinze who at the same time gave out statement in which he said his resignation was due to the fact that he wished to devote all of his time to strengthening out the business of his brothers firm. He stated positively that he had not disposed of his hold ings in the bank and that he would continue as director William B. Rod gely. present United States cOmptrol- Ter of the currency. has been rendered the office of president of the Mercan- tile National Bank. but he has not de- cided whether to accept it.
 The low price of refined copper. which dropped even lower today. and the disorganized condition of the metal market. are given as reasons for the reduction of the dividends of the cop per companies. The announcement of the Amalgamated quarterly dividend. of l per cent, came as a surprise.