The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1908-10-22
MORE ABOUT THE
DEALS OF MORSE
Big Loans Made by Bank of
North America on Unsup-
ported Note of Girl.
BOSTON MANS EXPERIENCE
INDUCED TO BUY mCE" AND
GAVE NOTE FOR 100000.

New York Oct. 21-Into the testi-
mony at the trial of Charles Morse and
his co-defendant, Alfred II. Curtis. who
are charged before Judge Hough in the
criminal branch Of the United States
court with conspiracy and violation of
the national banking laws, was intro
cuced today the name of Miss Kate A.
Wilson. secretary 10 Mr.. Morse, and
the prosecution produced witnesses who
testified TO loans made by the National
Bank of North America, a Morse insti-
tuition. to Miss Wilson. Edwin Moxey
a government bank examiner, who has
proved at this hearing that he is
wizard at figures, was the principal
witness relative to the big loans made
TO the financiers secretary. Summed
up. his testimony was as follows:
On her bare and unsupported note
Morse would loan Miss Wilson a sum
of money, Miss Wilson's note would be
cashed by the National Bank of North
America. and with the proceeds stock
Of the American Ice company would be
purchased. Then the ice stock would
be used to secure another loan from
the bank. With the money thus Sc
cured bank stock would be purchased
and the bank stock aided in supporting
the ice stock pools in which Morse and
other nnanciers were interested. The
failure TO raise the price of ice above
par was what caused the break in the
endless chain.
Objections OverruIed.
The lawyers for the defense objected
repeatedly 10 the line Of questions
asked the witness by the government
lawyers. but Judge Hough sustained
the prosecution, and the above descrip-
ton of the Wilson loans was put upon
the records, piece by piece, until the
chain was complete.
For the first time since her husband
has been on trial. Mrs. Clementine
Dodge-Morse appeared in the court
room. Mrs. Curtis has been at her hus-
bands side every day. Mrs. Morse was
attired in a gown of blue. She took
seat beside her husband inside the rail-
ing. and appeared deeply interested in
the proceedings.
Calvin Austin, president of the East
ern Steamship company of Boston. was
a witness in the afternoon. He testi-
fed that Mr.. Morse induced him to buy
l.250 shares Of ice stock, for which Mr..
Austin gave IN payment a note for
100000 The witness produced a letter
signed by Mr.. Morse guaranteeing Mr..
Au in from all loss
Mr.. Austin said that he subsequently,
learned that his note was discounted at
the National Bank of North America
Just before this information reached
him the witness testified Miss Kate
Wilson came to his Office with a letter
from Mr.. Morse asking him TO surren-
der the certificates for the 1850 shares
of ice stock. Mr.. Austin endorsed the
certificate in blank and surrendered it
Then. Mr.. Austin said. Mr. Curtis, pres
ident of the Bank of North America.
told him his note had been discounted
at his bank Mr. Curtis Informed him.
the witness said, that Charles T. Bar
ney. one of the directors, suggested that
he (Curtis) see Austin and ask him to
either pay the note OF furnish cOllat-
eral.
II told Mr.. Curtis that Mr.. Morse
had put the loan in the bank and that
he would have to take care of it, said
Mr.. Austin.
Barney Was 3luffing.
He added that Mr.. Curtis told him
that Mr.. Barney threatened to resign /
from the board OF directors if the note |
was not taken up.
Mr. Austin testified that Mr.. Curtis |
pushed pen and ink toward Mr.. Barney |
with which to sign his resignation.
And did he sign it?" the witness was |
asked
He did not" was the reply.
Gould you have made good the |
note?'' was asked.
81 could not-that is, not without the |
fee stock" replied Mr.. Austin.
Upon cross-eXamination of the wit |
ness by the defense 1t was brought out |
that Mr.. Austin had been in many
deals with Mr.. Morse and that he had |
derived the profits" 1t was also |
shown hat his salary ranged from &c. /
900 to $4,000 a year The lawyers for |
the defense tried to show that Mi. Aus |
tin would have been able 10 pay the |
note The witness admitted owning
large amounts of stock.
Mr. Moxey was recalled to the wit
ness stand at this point and testified 1
that Mr.. Morse discounted the Calvin
Austin note for 100000. and a note of
James r. Keene for S23. 900, and received /
q cashiers check for S123, 600
The trial was adjourned until to- |
morrow.