New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-04-25
Joyce LOAN SCANDAL
RESULTS IN BIG SUITS
Carlos WarfieId Seeks S705, 600
Damages from L. j. Field &
Co. for r. A. HelnZe.
EXPECT INDICTMENT TODAY
Brokers Charged with Furnish.
ing Money with Which to
Take Up Collateral in
the Loans.

F. Augustus Heinze's lawyers believe
they have run down the headquarters
from which the operations in United
Copper and other stocks put up as col
lateral for their client for loans we're
conducted They have brought two suits
against L. J. Field & Co. stock brokers.
one for $4,000 and another for s576.O00.
alleging that Carlos warfeld. who acts
for Heinze. lost that amount through
transactions similar TO that at the Wind
sOr Trus. Company. recently made good
A quiet investigation has been made
by Levy. Rosenthal & Heermance. the
Heinze counsel ever since the discovery
Of the sale Of stock put up as collateral
for a loan Of $4,000 and for which there
we're numerous indictments. one Of which
was against Donald Persch. who was
tried recently the jury disagreeing The
other men indicted were walter l. Clark.
who turned states evidence in the Persch
trial: Charles Katz and John F. Shar-
wood. Of this city. and \. d. F. Adams.
of Boston. Katz viii be placed on trial
to-day.
Indictment Expected To-day.
The county grand jury was fnvestigat-
ing the transaction at the Windsor Trust
Company and other similar sales or
Heinze stock last week IL had be-
fore il Clark Stirling Birmingham. the
head of the trust company's bond de-
partment when the stock was handed
there: Sherwood and W VI. Joyce. who
nut up the collateral which was sold
without the consent of Joyce or Heiaze.
II is believed that the grand jury will
hand up an Indictment this morning
In the investigation made by the
Heinze lawyers they vent far afield
Heinze stocks were being sold in Sos
ton. stocks that had been put up as col
lateral and were supposed TO be TepOsing
safely in banks. A D F. Adams. of that
city. was said to have figured in th-se
sales. In the papers in the suit all in
structiOns 10 sell the Heinze stocks are
said To have come from l. j Field & Co.
II is charged that they furnished Re
money. and il is claimed that Mr. War
field suffered the loss by this means of
/ sos. 600. the total sought to be recovered
/ in the two suits.
| The same methods employed in the
transaction at the Windsor Trust COM
pany were, according TO the complaint.
used in many other instances. In that
case Mr.. Joyce got loan Of $4,000 on
collateral valued at $4,000 Persch.
sherwood and others who are charged
with having figured in the Joyce matter
got $4,000 from Leonard j. Field and
TOOK up the loan and then the collateral
was sold.
Many Similar Instances Found
| II was said when this affair leaked
out last summer that there was
wealthy man or men back of the deals.
/ but no confession could be obtained az
k that time from the men indicted and ar
rested AS soon as Mr.. Heinze heard ct
the experience of Mr. Joyce he requested
! his counsel TO look up his other borrow
| i7eS. and the result was the finding Ot
\ seemingly well organized scheme TO faNe
I'm the copper and other stocks in this
and other cities placed as collateral by
Mr.. Heinze or his associates and sell
! them.
\ Several months after the exposures
last summer there were confessions. and
much was learned from clark that aid.
/ ed in the investigation leading UP 20 the
/ suit L. J. Field & co. made a general
I denial as an answer TO the suit The
/ firm is composed Of Leonard j. F1e.d