Evening star. [volume] (Washington, D.C.) 1854-1972, 1908-02-17
TOOK HIM OFF 4 LINER
DETECTIVES WERE WAITING
FOR MORSE AT QUARANTINE.
Bail Was Arranged for Him in the
Sum Of $50, OOO-He Issued .
Statement From His Home.

NEW 1ORk, FeDruafy l1-CnafleS W.
Morse. the former banker. and financial
promoter. was arraigned before Justice
Bowling today on two charges Of grand
larceny and misappropriation OF funds of
the Mercantile National Bank. Through
his counsel he pleaded not guilty and
asked for a postponement OF two weeks.
with permission to change his plea II
desired. The court fixed the hearing for
next Monday.
Charles W. Morse, financier and pro-
moter Of many large combinations. in
GLIDING the so-called Ice trust and a
merger OF nearly all Of the coast
wise steamship lines. returned yester-
day from his brief trip to Europe.
was arrested in his stateroom when the
steamer Etruria reached quarantine in the
lower bay, held In custody until the ship
was docked. and then was whirled away
In an automobile to the home of Justice
Victor Bowling of the supreme court.
where he gave bond in the sum Of $4,000
to answer to two indictments charging
grand larceny and involving the sum Of
100000
Mr.. Morse was released and went i'm
mediately to his 5th avenue home. where
he gave out statement asserting his in
nocence and asking the public to suspend
Judgment until he has had the opportunity
OF facing his accusers in court.
Mr.. Morse had received word by wireless
biography that two Indictments had BEEN
found against him. but he did not know
he was to suffer physical arrest. The ap-
pearance Of three detectives from District
Attorney Jerome's office at his stateroom
door took him completely by surprise.
Bailed by Surety Company.
The officers. armed with a warrant, had
gone down the bay on a revenue cutter.
They were accompanied by Albert B.
Boardman and Philip J. Britt. attorneys,
and by. Benjamin W. Morse. a son Of the
f1nancier. Mrs. Morse met her husband
at the pier. and 1t was in her automobile
that the journey with one of the detect
Ives was made to Justice Dowling's house.
The charge against Mr.. Morse grows out
OF note given to him by former Chief
Justice Morgan j. O'Brien of the court OF
appeals. Judge O'Brien is said to have
deposited three notes for 100000 each
with Mr.. Morse In payment for a block OF
1000 shares Of stock in the National Bank
Of North America. The notes were to be
held three years and not discounted, ac-
cdrding to Judge O'Brien, and at the end
OF the three-year period he was to have
the privilege OF concentrating or with
drawing from the bargain for the pur-
chase Of stock.
Basis or the Charges.
1t Is charged that Mr. Morse discounted
one Of these notes at the Mercantile Ma
tional Bank. in which he formerly was a
director. and that he represented to the
bank that he was authorized to receive
its check for the amount OF the loan.
1t IL further alleged that the check
given to Mr.. Morse was made payable to
Judge OBrien and was cashed by Mr..
Morse n
name. per c. W Morse 1t is the
theory or the Indictment that the check
never having passed into the hands of
O'Brien or his authorized agents. its use
by Mr.. Morse constituted grand larceny
from the Mercantile National Bank, title
never having passed from that institution.
Judge OBrfen. It Is stated. refused to
appear as complainant against Mr.. Morse.
and In the grand jury room Is said to
have had sharp tilt with District At
torney Jerome, when he told the latter
that an indictment found upon the trans
action related would not hold.
The statement made by Mr.. Morse is as
follows! ----.
II had two purposes in going to Eal-
rope. thought that might be able to
sell in England property in which / had
a. large interest and thus increase my
itors. and I greatly needed fortnights
rest. My business purpose was. of course.
defeated by the publication in the Eng
lish PAPERS that / was regarded In New
York as fugitive from justice.
His Trip Not "Flight."
II had Strengthened out my financial
AFFAIRS when left New York, SO that
there we're no actions pending against
me except one brought by a creditor to
whom had given valuable collateral Sc
curities, and 1 was informed by my coun-
sci that he had arranged with this cred
itor not to press his suit against me-
AS I had no obligations maturing for
three weeks from which I anticipated any
trouble, saw no reason. from the stand
point OF my obligations to creditors. why
I should not take q fortnight's rest.
Il had no knowledge that District At
torney Jerome contemplated taking any
proceedings against me. and I therefore
did not communicate with him on this
subject"