Los Angeles herald., 1909-05-29
OFFICERS SEEK
COMPANY BOOKS
UNITED COPPER CORPORATION
RECORDS MISSING
CHARGE Made That Heinze Has Dis
counted Notes in Order, to ManIp-
uIate Pool in Corporation
Stock

NEW YORK, May 2S.-Where are
the United Copper company DOCKS
Federal officers searched for them
tonight without success. They must
be in the federal court here next tues
day or the companys directors VIII
be found in contempt.
This sensational development came
as a result of today's grand jury m
vestigation of F. Augustus Helnze
affairs in connection with the alleged
naturalization of the funds of the
Mercantile National bank. United
States District Attorney Wise CD
tanned from Judge Lacomb an order
directing certain United copper conf
pany directors to produce the con-
GERMS books in court forthwith or be
declared in contempt.
The directors named, Sanford ROD
inson, Carter Glass, William j. GURUS
and Horace Abel, reported to the court
that they were unable to comply be-
cause Mr.. Heinze, president of the
United Copper company, had refused
to give them the books or tell where
they were, giving as his reason that
he was under Indictment and further
investigation. They said they would
make every effort to get into the
companys vaults and search for the
books.
The directors further told the court
that they had called a special meet
ing of the directors, to take place five
days hence, when Heinze and Secretary
Treasurer Clifford would be deposed.
Heinze, the directors said, told them
that Clifford took the minute books
with him to Europe.
Judge Will Be Lenient
Judge Lacomb said that under the
circumstances he would be lenient.
He fixed Tuesday afternoon as the
time for them to report again.
The mutilation of books of cor
poration. as charged by District At
torney Wise, is a crime under the
state law. The federal statutes cover
the removal of books, and under them
such an act may be construed as
grand larceny.
Mr.. Wise declared Heinze was not
sworn before the grand jury, as it was
not desired to extend immunity to him.
The production of the books, Mr.. Wise
said, was important because he alleged
TIeinze had been discounting notes of
his brother Otto at the Mercantile Ma
tional bank in order to manipulate a
pool in United Copper.
The directors involved, Frederick Eek
stein. Assistant District Attorney Smith
and two deputies, went to the offices OF
the United Copper company on Broad
way tonight to search for the books.
Heinze had gone, but ECkstein, who is
assistant treasurer, readily opened the
vaults. He stepped inside, turned on Il
light and then exclaimed: They are
not here
The subpoenas called for sixteen
books, including ledgers, journals, cash.
letter and stock books of 1907, but none
was in the vaults. Even the mutilated
ledger, which representatives of the
district attorney had previously been
permitted to examine were missing.
The searchers, however, found some
other books than those called for in the
subpoena, and these were placed in
charge of the United States marshal
F. Augustus Heinze gave out state
ment tonight regarding his action in
Withholding the books. He said that
ever since his first indictment in jan
uary he had courted the fullest inVesti-
cation. and the district attorney, had
he so desired, would have had full ac-
cess to all the books and papers of the
companies with which he was con-
nected.
Notwithstanding this" says the
statement, mo such inquiry was made
and nv trial has been delayed.
"The long delay between the first and
second indictments and the circum-
stances attending the Indictment con-
vince me that because these transac-
tions about which I could not be re-
nuired to testify myself are being pried
into in an indirect and circuitous way
n hos seemed wise as well as fair 20
myself that l should avail myself ot
nv constitutional privilege with refer
ence to books and papers as well as 10
oral testimony