The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1908-02-18
Bailed on Charge Of Grand
Larceny, Grand Jury Brings
in Another Indictment.
VIGOROUS DENIAL AS
TO THE O'BRIEN NOTES
Counsel for the Accused Issues
Statement Declaring There Was
No Agreement That Notes
Should Not Be Dis
counted-Corrected
His Testimony.

- 4 .
NEW YORK. February 17.-The legal
entanglements Of Charles w. Morse,
| former banker and promoter, are null
| tiplying. A third Indictment, alleging
perjury by Mr.. Morse during an eX-
animation before the grand jury, was
found by the special grand jury to-
| day a short time after he had ap-
peared in court to answer the two in
dictments found against him last week.
charging him with grand larceny. AR
rangements were made tonight to
have him appear tomorrow before
Justice Victor j. Bowling. of the Grim
| inal branch of the Supreme Court, to
| plead to the perjury indictment. An
other turn In the case to-day was the
serving on Philip j. Britt. counsel for
! Mr. Morse. of summons In two actions
brought against the former banker.
The complaints in these suits have not
yet been filed, but It was explained
that they relate to stock transactions
which occurred some time ago.
The Larceny Charge.
| Mr.. Morse, the former banker. orr
ganizer of the American Ice Company
and the sl20,o00.00O Consolidated
Steamship Company. pleaded not gull
| ty before Justice Dowling to-day to tra
two charges of grand larceny. A hear
| Ing on the case was set for next Mon
day.
The charges against Morse are based
on check transaction growing out oc
the sale. by Morse of block of stock
of the National Bank of North Amer
lea to Morgan j. O'Brien. former chief
justice of the Appellate Division of
the Supreme Court of this State. Mr..
O'Brien gave Morse a note for $780,
| 600 in part payment for the stock, with
| the understanding that the note was
not to be discounted. II is alleged
4 l. Il, ~
| Mercantile National Bank of this city.
received a check made payable to Mr..
| OBrien. indorsed the check Morgan
i j. O'Brien, per G. w. Morse" and de-
/ posted 1t to his own account in the
National Bank OF North America.
| When he was arraigned in court to-
day, Morse's counsel informed the jus
ticc that Morse did not know what the
specific charges against him We're and
that the district attorney had refused
| permission for his counsel to eN-
| anime the minutes of the grand jury
| which indicted Morse on the grand
larceny charges. Counsel said also
that he should apply to the court for
authority to examine the minutes and
| had asked for two weeks postpone
lnent to frame his application. As
sistant District Attorney Kresel argued
successfully that one week was enough
he would decide in the meantime
whether to change or withdraw
Morsa's plea.
Statement Made by Counsel.
| After his return to his office Mr..
Morse's attorney, Philip ]. Britt made
q statement concerning the transaction
upon which the larceny indictments
| rest. He said:
THE statement that there was
written agreement between Mr..
| Morse and Mr.. O'Brien that the
| notes should not be discounted is
false. There was an agreement
| that the notes should be renewed
| for period of three years, but
| there was no agreement that the
notes should not be discounted. II
the notes We're to be continued for
period of three years, and We're
not to be discounted during that
period, it would practically make
them worthless as security to be
converted in case OF need during
that time.
.What Mr.. Morse did make him
self responsible for was that ii the
notes passed out OF his hands dur
ing the period in which he said
that the notes should be renewed.
he would be responsible to see thar
they should be renewed no matter
In whose hands they happened to
be at that time. With this under
standing of the agreement there
can be no question as TO the tar
ness OF Mr.. Morse's action In get
ting the notes discounted
''If the check with which the
discounted note was paid was made
out In the name of Mr.. O'Brien. to
whom was the money due? To Mr..
| Morse, of course. 1t was in pay
ment for stock delivered by Mr.
| Morse that the notes We're made.
So, II the check in payment for
the note was made out technically
in the name of Mr.. o Brien, whose
naE,e vas on the note, it was real-
ly meant for Mr.. Morse to whom
the note had been assigned. There
are lot OF facts in connection
with this case which have not yet
come out, and which will put an
entirely different aspect on 1t than.
has so far appeared from what
has been published about it,"
Mr. Britt said he did not yet know
whether he would interposc de-
murrer to the indictments His legal
action would depend upon grand
jury minutes for which he intended
TO apply,
Charge of Perjury.
The perjury indictment, 1t was
learned, Is based upon a loan ohtain-
ed last September by r, r. Thomas
from the Bank of North America, OF
which Morse was then vice-president.
In testifying before the special grand
jury Thomas told about the loan,
which was one of $4,000. Alfred II.
Curtis, then president of the bank, also
testifiedHto the fact that the loan was
made.
Mr., Morse, who had been before the
grand jury, was recalled. and asked IL
such a loanghad been made
1t is alleged that he denied that the
money had beer loaned TO Thomas,
either on his Recommendation or With
out II. Thomas was again summoned,
and this time 1t Is further alleged.
produced letter which Morse wrote
recommending the loan Later Mr.