New-York tribune., 1908-06-12
MORSE LOSES STOCK.
ReceiUer Hanna Wins Suits Oger
Chase National Bank Shares.

trial by jury having been waived Judge La
combe' in the United States Circuit Court after
nearing the suit brought by Charles A Hanna as
receiver of the National Bank CT North America
against the Metropolitan Trust Company to recover
LOO shares Of the Chase National Bank stock
hypothecated by Charles ". Morse with the de-
fenoant, ordered q judgment yesterday in favor of
the plaintiff
Clinton Gilbert, a stock broker testified to a
transaction IN $50 shares of Chase National Bank
stock by which those in the pool paid Simpson
Thacher & Bartlett a,1Gs, ,6s IS. which the law
trm received a commission of s27s.s7o 55.
The stock which Receiver Hanna sued for was
part Of that bought by the pool. Mr.. Gilbert said
that he entered into negotiations with Charles W.
Morse, who then vice-president OF the Ma
tional Bank OF North America, for the purchase
Of the stock. and between them they paid Simpson,
Thacher & Bartett's commission. the witness put
ting up $50 GOO
The witness said Arthur P. Heinze got 2,s15
shares OF Chase National Bank stock and Morse
$500 shares. the latter paving si5oOo0 in two checks
for s3e1 600 and another for S15oepo. Heinze he
said paid him s22S ssl So on June IL and received SIS
shares He said he furnished the pool slS3, ,723 S.
and Morse paid him sS4 0oe Sc and interest On June
Il. said disposed of the remaining Ass shares
the pool The profits Of the sale of the latter
block of Chase stock TO be equally divided
between them.
Representative Herbert Parsons, appearing for
the company asked that the testimony be stricken
out, because 1t indicated that the Bank of North
America had attempted TO engage III sloCh sptCu-
laton. Judge Laconbe overrued the motion.
Charles W Morse was then called TO the stand
and after answering preliminary questions,
said that he claimed the stock in suit
Q-Have you brought action against the
Metropolitan Trust Company Tor the puIpose od
recovering il? Al have directed my lawyers to
oGwhere did you procure the s22e;s7o IS that
Borrowed half of it from the Bank of North
America and the other half from another insutu-
oSon your own notes7 A-No; on the notes
o2Did veu get the money on them? Al did.
Q.-Did you have any talk with ] Helnze aoouT
the purchase OF the sgo ssares OF ssa sTeGh took
IA o@Whst was the substance of the converse
ton? Ale had arranged to buy the stock
through Mr. Gilbert, and 1t was understood that
row ~ money On his note The I4einze a4ad Robin
son notes made the s45o,oo0 paid to simpson
oGYoE aiscotfted the Heinze note for s150.ooO
al the Bank OF North America? Al did, and as
and S-3 1000 shares sf Of tinted copper stock.
Q.-what became of the 500 shares OF Chase
and then left them with the Bank of North
erSa IoP boT1dwed 600 from the Metropol
tan. Trust Company on SOC shares of Chase stock
oEDid not Heinze pay you some cashf A.
with the notes9 te R@1 paid s4SSoa As to The Bank
of North America and the remainder to the other
Q-Who was ". W. Robinson? A--Une of the
officers Of the Van Norden Trust Company.
Edward B. Wire cashier Of the Bank of North
America, testified that the purchase of the Chase
Bank stock had been talked over at meetings Of
the directors but was not authorized by them. He
told Of discounting of the notes for Morse and
Of a memorandum which he made concerning the
transaction which Morse objected to when shown to
an Investigating committee from the Clearing House
In October last.