New-York tribune., 1910-05-01
KkTZ ON STAND ALL DAY.
Names Standard Oil in Helnze
Stock Loan Juggling
BIG PROFIT IN TRANSACTIONS
Witness Says He and Person
Received $4,000 Each IN
One Instance.

Charles Katz. former president of the
Eastern Brewing COMPANY. who IS on MA
s,nder an Indictment for grand larceny IN
connection with the $4,000 Windsor irusl
C,onpany-Heinze copper loan scandal, was
on the stand all day yesterday. Both sioes
rested at O'Clock and Justice Marcus ad-
to,,rned court until tomorrow morning
T<atz acknowledged under cross-eNami-
nation that he had been engaged in loan
transactions with A. n. r. Adams. OF boS-
ton. and Donald Persch. both of whom also
are under Indictment. In one instance. ne
said. he and Persch received 500" each III
g transaction, the object Of which as ne
understood IT, was TO enable the StahnAiu
oil interests to get control OF certain
l4erze stocks.
He acknowledged that FeTSCh handed him
p check for $1,000 i'm the Marquette Club
several DAYS after August = when the loan
rnnt through the Windsor Trust Com
pany-s bond department
waller /. Clark was with Persch,' said
Katz Clark gave me the check ana
asked him if n was a Joke. Clark replied
that IL was all right, but declined TO take
,he check The check was torn M and an
other one was drawn in the name of Henry
Cllman-
Tore Up Second Check.
L put the UIlrnan check In my pocket
and the next morning. by appointment met
Faerscl at the Sherman National Bank
showed him the check and asked him II 1t
meant that $4,000 had been made out of the
transaction. His answers were so eNasiFe
that I tore up that check also
I then went down TO the Windsor Trust
Cnrnnan1. They had telephoned for me 1
r,resurned II was about account l in
tended openinz on the way down Persch
went into the Carnegie Trust Company 10
cash a check.
In reply TO questions by Assistant Dis
trict Attorney Mott katz denied that
Persch had cashed a check for $1,000 at
that time and given the cash TO hatz. AL
the Windsor Trust Company he met Biz
rninEhs1n. The latter told him that a repre-
sentative Of Henry Ullman, manager OF his
hreHery had borrowed HgN0m on certain
IIein2e stock: that tender had been made
and birmingham WIS anxious 10 find the
efoek Ka1z said he assured Birmingham
he would Try 10 help him TO set tli1nnn
:, vire hark the stock. He said he person
Rlv had had nothing 20 do with the affair."
and atided that after scolding Birmingham
he wound up by telling him he had better
lump into The river
name Of 4 n. z. Adams he was asked.
Yes I met him in the early part of
1oo9 or lanS
DO YOU know man in Boston by the
name Of Althaus?"
I do
Did YOU ever go into any transaction
with either of those mem
Yes. ] did
wasn't Persch in the same transac-
tion7"
Yes"
rNoa. don't you knew that Athaus was
INDICTED in Massachusetts
Yes
DO you know that A f. r Adams. or
Fiske. Is indicted in this county
y de-
Don't Won know that man named Sey-
mnur IN Moran & Cos Office was impli-
Gated in similar transaction to get hold Of
Heinae : stock and that he gave the name
n I-llmzn a. the LEADER
They told me at Moran's office" hatz
said that Standard OIL was trying to get
hold IF Heinae stock and that they would
lend money on n and aimed "a depree1ate
its Vsfue until FietnZe should not he able
10 put up enough Of it as collateral and the
control Of the Stoch would pass into the
hands cf Standard OH"
1ansits Getting 5000,
Did YOU tell Seymour that J'lrnan
very wealthy German and general manager
o. the Eastern Brewing Company
I did not Fersch said. Here is the
money and Seymour handed over The
STOCK"
And -o,, got mn for that
Practically. yes
Katz admitted that Tllmar's name was
,F IIe
neither advanced any money nor caused
the loan 10 be made or the stock to he
rendered. Yet he got 5000
Kafz said that in another transaction 2
profit Of S1.1O0 was divided among katz,
Tersch and Clark. The transaction was
conducted through Cram. Millken & Co
ka4z denied that the Marquette Club vas
o common gambling house. He said 1t
: club where one could have a sociabe
game Of cards and get good dinner. and
thai in its rooms he had met men Of
prominence In business, social and political
circles Including United States Senators
snd even gentlemen who have sat on the
Supreme Court bench he added, causing
Justice Marcus 20 laugh with the spec
fatorr
letter written BY Katz to q CONNER
cIsI agency in which he indorsed CIark's
p1sn was shown by Mr.. Mott and identi-
fed by Tho witness. Although he aCknowl-
edged that he had told I'iiman To 20 ahead
and aisn the s5A.|ee note, Katz professed
that az the time he gave the advice he
Was ignorant as 10 the details of the trans
action He knew. he said. that Ulln1an was
not able 20 borrow 5000 adding that he
thought the real principal did not want TO
be known and that U1lman Has helping
him out