The Montgomery advertiser., 1909-08-11
YOUNG BROKER
TRIMS HEINZE
Frenz Finance Lands
finn in Tombs.
MEN 'HIGHER UP'
Goes to jail for Want Of $50, 900
.;sa nv Bail
Mystery SURROUNDS Operations VI Ar
bilious Financier whs Dispesea
Of Copper stock HeId By
Baak = sssu<aty.
E;JLvES MEN s'HIGHER UP.
Mystery sarreunas operatie.s VI A.-
bilious Fiaa.eser wAs Disposed

New York, AUG. 1o.--Donsld L.
Persch. an ambitious young hpancier,
whose offices constituted merely desk
room ina down town note brokers Of
fice. II in the Tombs tonight in default
Of $4,000 ball, and thereby hangs a
tale of tangled hnance through which
somebody In Wall Street nipped +. Au-
gustus Heinze. the one-tirne copper
king. for 100000
Persch Is specifically charged with
the larceny Of $4,000. a profit obtained
by the sale OF $4,000 shares Of Ohio
Copper common. and 1900 shares of
Davis DAILY Copper common, which an
agent for Heinze placed with the Wind
sor Trust Company OF this city as se-
rcurity for loan of $4,000
In some manner, as yet unexplained.
the stock was not held by the bank but
was turned over to q clerk acting for
Persch and at the .latter's orders
thrown on the curb market and sold
for approximately $4,000. How Persoh
obtained the capital to carry through
the deal and why the stock was<relin-
quished by the Trust Compady, are
points yet to be cleared up,
After his arrest this afternoon,
Persch intimated that there were men
higher up In the trapsaction. but he
refused to say more, on the advice Of
t0An1rts <AC W 90 $50 ~ , Avn 40 " AtAtH
afternoon before a magistrate and af-
ter unsuccessful efforts OF hts lawyer
to have bail reduced to $4,000, was
committed to the Tombs, although his
counsel later procured q writ OF habeas
corpus returnable tomorrow morning.
Hts examination was set for Friday
Himta ne Men sHiRher Up
In opposing the reduction of bail. AS
sistant District Attorney Knott, who Is
a. alf IN h4 nfafs rf :
There are otfer powerful people be-
hind this man. your honor. They will
put up for his appearance and he
should have no difiiculty In securing
$50 900 bail"
-on August O." he continued. 'this
man had s45.o In his possession. Fiji
" thousand dollars bail IL not too
much"
The court agreed with him..
Persch vas arrested on the strength
OF statements made by John Sherwood.
smother hote broker. who WAS called 20
the District Attorneys office this morn
ing. He said that AT pareeh'a request.
ne procured securities from the trust
company. after having obtained the
$4,000 for the purpose from u. J..
Fields and Company, dealers In curb
stocks He thought the transaction en-
tifaiy legitimate and was ready 20 act
Tor q per centage. He exhibited or
dsrs from Persch to redeem the seeuri-
ties and TO put them on the market.
Three hundred dollars was paid to
Fields and Company for the use OF the
money. l.. j Fields. OF the firn. main
tains that their part In the affair was a
regular business transaction.
The foregoing features OF the case
seem to be plain enough. but behind
them Is the mystery of how Persch
knew when and where NJ. NJ. Joyce.
representing f.. : Augustus Heinse
placed the securities
II is considered coineidental by the
District Attorneys that Persch had his
desk room In the offices OF W. L. Clark,
& note broker, who first directed Mr..
Joyce TO the Windsor Trust Company
for the purpose Of obtaining the loan.
Bank Not Responsible.
~ While there Is nothing to indicate
that the bank Is criminaily responsible
in any way, Mr.. Joyce says that 1t was
stipulated when the loan WAS made
that the stock was to be pinned to his
note and retained. Shortly afterward,
however the certificates appeared on
the curb and an investigation was. be-
gun The trust company says In its
defense, that 1t was acting merely as
an agent in placing the loan and this
agent appears to have been Sherwood,
REPRESENTING young Persch, who in
turn, ifitimates that he was acting for
some one above him.
But Mr.. Joyce IL emphatic in saying
that he has never seen Sherwood to his
knowledge until today Sterling Bir-
minxhani, chief of the loan department
Of the trust company, acted as inter-
mediary between Joyce and the lender.
while Joyce was under the impression
that he was getting the money direct
from the bank.
District Attorney Jerome took active
charge of the case today and other ar
rests may be made tomorrow. Charles
KATE. treasurer OF the Eastern Brewing
Company, of Williamsburg. and Henry
IJhlman, a business associate. were
among the other witnesses examined
at the District Attorneys once. Uhl-
man admits that he made out q note
for $4,000 in Persch's favor, but did
not knowlto what use 1t was put. He
was to receive S2s6 for II. but he un-
derstood the note was not to be dis
counted for use in any way. Persch.
according to the police. has been ar
rested twice before, once for forgery.
on a charge made at the request of his
father, and another time In connection
with taking subscriptions for an Ice
fund. '% .-- tS
Both charges were dropped.