The Washington herald., 1908-02-20

New York, Feb 19.-Charles ". Morse
gained an advantage to-day over Re
ceiver Hanna Of the National Bank of
North America and his counsel The re-
ceiver was one Of the three creditors
who had planned 10 petition the court
to-day 10 have Morse put into involuntary
bankruptcy AS a matter Of fact, the
Federal receiver was the moving spirit
behind the proposed petition.
This petition was all drawn up Tuesday,
and 1t was understood that two other
creditors had consented TO join in the
action One Of these was the Mercantile
National Bank, in which Morse was a
stakeholder and director before the
process Of elimination began. The third
creditor was an individual holding a com
paratively small claim.
The individual creditor went 70 AR
Morse on Tuesday night, il is said, and
gave him the details Of the plan that WAS
on foot in Jhe hope of getting a settle
ment Of his little claim Whether he ac-
complished his purpose was not disclosed
to-day. but no petition was fled against
the Gx-banker.
Demand "a little Time.
Dir. Morse. as soon as he received
word OF what was in the air. started 10
work He and his counsel were up
all Tuesday night laying their
wires. Mr.. Morse was around early in
the morning seeing the directors Of
the Mercantile National Apparently
lie succeeded in convincing them that
il would be 20 their advantage 10 give
him little time. and the Bank Of
North America people were apparently
loft standing alone.
1t may have been his success with
the other complaining creditors that
inspired IN Mr.. Morse a desire TO tackle
Receiver Hanna himself Anyway he
showed ND at the National Bank OF
North America az 1870 o'clock. Re
ceiver Hanna was busy in one OF the
cages Mr. Morse called L. him and
together they entered the rom at the
rear of the bank, which used 10 be
Morse's office.
Morse talked plainly 10 the receiver.
He told him that he had come 10 see
him, first. as the owner OF 40 per cent
OF the stock Of the bank He and his
family he declared controlled 600
OF the 10000 shares OF stock and a.
the owner OF this stock he wanted to
tell Mr.. Hanna that he didn't believe
IL would be advisable 10 attempt 10
throw him into bankruptcy.
Feared Loss To Bank.
K would mean a loss 70 the depositor's
and stockholders Of the bank. NJ. Morse
declared that the collateral held by The
bank against his loan Of Sg3.s00. under
which al the attachments have been
levied, was amply sufficient 10 cover the
loan Il Is understood that Mr.. Morse
contenoed that the collateral under prsS-
ent market conditions. was worth more
than $4,000.
NJ Hanna pointed out that there was
room for wide divergence Of opinion
on that matter. They took I'd the LIST
Of collateral together and spent more
than an hour going over IT,
Mr. Hanna, Il is understood. commended
That II was impossible to say what thu
collateral would bring until il was actual
" disposed OF, for the last market quota
lions on many OF the stocks. noiablv
bank stocks. dated back so far thar II
was problematic what they would bring
under the changed conditions
VIII Wait Few Days.
The receiver and Mr.. Morse went into
a general discussion Of the banks affairs
II is understood that the receiver has
consented TO hold things in allowance for
a day or two until Mr.. Morse is able 10
have another chat with him.
In the meantime. however. there will be
a conference between one or two Of the
complaining creditors and Federal Off
cials which may open the way for the
filing Of a petition even without a third
Morse. after he left the bank. hurried
over to the Office OF Philip J. Britt. his
lawyer.
While Morse was in conference with
Receiver Hanna, his old partner In the
United Copper pool. F. Augustus Heinze
strOlled through the corridor Of the build
ing. Somebody remarked 10 the CT.
Copper King that Morse was inside the
hank
We'll. III be id" said Heinze. glanc-
ing at the notices plastered on the door.
But ne declined 10 meet Morse.
Mr.. Britt declared to-day that il any
action is brought against Mr. RTore. :,