New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1909-08-11
ARREST In JOYCE LOAN
Continued from first page


was corroborated by Mr.. Sherwood. President
Young OF the trust company. In statement
given out on Monday night allowed III 10 De III
ferred that the two had actually met ana 'aiNeu
over the loan on August >, the day IL was maui
That joyce and Sherwood were AZ the trust
companys offices at the same time was SHOWN
Yesterday by the statements brought out that
Sherwood was in a back room while joyce an"
his broker. w l.. Clark. were fixing up the de-
tails OF the loan with Sterling birhinsH"''''
head Of the loan department
Mr. Birmingham. saying that the colaterai
presented by Mr.. Joyce would have TO be vised
by the stock clerk showed the stock TO MI
Sherwood There some question about
certain part of the stock. but on Mr.. Joyce
obtaining the o. X. of a reputable brokerage
house the deal was finally effected
RECEIPTS SURRENDERED.
Sherwood says he then sold the stock for
$4,000 He repaid $4,000 70 Field, plus $500
for the accommodation Of that loan. According
70 his agreement with Persch he says he was
TO receive 10 per cent OF the proceeds on the
sales over $4,000. amounting IN more than
$4,000. This he kept and gave the remainder
10 PersCh. Receipts for this amount were sur
rendered by Sherwood To Mr. Mott yesterday.
The fact that Persch asked Sherwood on-July
80 three days before the loan was made. TO &c.
Mr.. Joyces stock at the Windsor Trust Com
pany. Sherwood's statement that be was in tho
Trust Company's Offices when Mr.. Joyce
completing the loan and the agreement of both
Sherwood and Joyce that they had never met
before yesterday together with President
Youngs statement about the transaction. only
helped 10 cause wonder as 70 what part the
trust company played In the transaction.
Mr.. Mott said yesterday that II looked as II
the Windsor Trust Company had much to ex-
MI ali 10 Nax- ri, M f~Nx
game in this affair" he said. TT looks as II they
had one man in one part of their Offices and the
other man In another and played them against
each other for $1,000"
Mr.. Rosenthal. speaking for Mr.. Joyce last
night said his client undoubtedly would take
steps to compel the trust company To bring pro-
ceedings obtain the restitution Of his prop
erty.
Mr.. JOYCES STATEMENT.
Regarding President Youns's statement Mr.
joyce issued one yesterday which said:
would ask it, as Mr. Young states the Wind
sor Trust Company carried the transaction 5
why was required 10 open account with the
Windsor Trust Company: why did the Windsor
Trust Company consideration for the loan,
insist that keep an average balance Of from
S. 900 to $4,000: why was | introduced by Mr.
Birmingham 10 Mr. Ford the vice president, as
mfr. Joyce. the gentleman with whom we have
opened by Mr.. Ford without any references or
any further investigation than the aforesaid in
PRODUCTION by Mr.. Birmingham; why. II this was
only agency transaction, did Mr.. Birmingham
leave the room TO submit 20 Mr.. Ford my sug
geston that the note be changed per
nit me TO pay OFF the principal before maturity
on payment OF interest in full; why. IL not 10
allay any fears l might have possibly had. was
told in explicit detail that Mr.. Young the presi-
dent had approved the loan. had passed on the
form of the note. and that the same could not
be varied: why, when / asked for a receipt for
my certificates, was told that IL was the Gus
tom for the Windsor Trust Company never To
give receipts for collateral: why. Friday
August g. after my certificates We're sold, was
told. in the presence of j. d Blair, that the
Windsor Trust Company had made the loan to
me that l was TO look TO them for my collateral
and that they still had IT.
And finally I ask, is II reasonable 10 suppose
that 7 or any other sane man would deposit
over 800 900 worth of collateral with undis
closed principal who might be absolutely ire
sponsible and possibly dishonest
Mr.. Blair is a brother-in-law Of W. Gould
Brokaw and Leroy ". Baldwin, president OF the
Empire Trust Company.
This is not the first time, IL is said that at
tempts have been made by persons antagonists
TO Heinze to injure his stock by procuring it as
collateral and then dumping II the market.
on similar ruses, IL is said the copper man has
lost between 100000 and 100000 during the
last six or eight months.
In MAY two loans. of s25.o00 and $4,000 on
Heinze stocks were obtained on the same dav
the copper man supposing that the broker with
whom ne dealt represented himself he made
the stipulation. however that his stock the
market varue of which was about double the
amount Of the loan. should be kept intact as
Mr. Joyce did i'm the case of his loan. When he
found the same stock he had put up as collateral
coming back TO him through the market the
next day he investigated. but the broker said
that he had handed his stock To a trust com
pany. and could not be held responsible for its
disposition.
PERSCH ARRESTED BEFORE
Persch is the son Of Colonel John p Persch,
formerly of Pittsburg. who had a scheme a year
two ago for consolidating breweries about
New York There much complaint from
sersons who had taken stock when the ANAL
gamaton failed of accomplishment. Several
years ago young Persch was arrested and
charged with forging his fathers name IN
checks which he passed. This prosecution was
dropped. About two years ago he was arrested
for collecting money to help the work of a
philanthropy purporting 10 be conducted bv a
newspaper. The charge was dropped
Persch. who is married. then went to work for
Carl Fischer Hansen. where he became ac-
quainted with MIR. Kirlin. Later he preferred
charge against Alexander c. Young a LAWYER for
selling of his stock without his order. but
this. too was settled out OF court. He gave his
address yesterday No. 81 William street the
office of W. L. Clark the broker, who suggested
the loan to Mr. Joyce
Field who lent the money to Sherwood is a
son of Jacob Field well known stock operator
Mr.. Mott hopes to get close line TODAY ON
the men who backed Persch and their motives
in desiring to make the loan to Mr. joyce.
r.