The Montgomery advertiser., 1908-02-17
MORSE IS ARRESTED
SERVED IN STEAMSHIP
 STATE ROOM.
Wife Met Him at Pier and with De- tectiyes, Was Whirled Away in Her Auto to Justice
 DovyIing's Home.

|
 Dovvling's Home.
 New York. Feb. 16.--Charles w.. Morse, financier and promoter of many large combinations, including the so- called flee trust" and a merger of nearly all of the coastwise steamship lines, returned today from his brief trip l to Europe, was arrested in hisl state room when the steamer Etruria reach ed quarantine in the lower bay, held in custody until the ship was docked, and was then whirled away in an au- 1 t0mobile to the home of Justice Victor Bowling of the Supreme Court, where he gave bond in the sum of S20,000 to answer to two indictments charging | grand larceny and involving the sum | of 9100, 900.
 mediately to his Firth Avenue home, where. tonight, he gave out state ment asserting his innocence, and ask ing the public to suspend judgment | until he has had the opportunity of | facing his accusers in court Tomorrow MT. Morse will appear be- fore Justice Bowling in open court and plead not guilty to the indictments He l denied that has trip to Europe was a @hight." He said he had gone abroad to sell stock in 6 large interest and to secure fortnight's rest. Both pur- poses were spoiled by the publication of reports that he was a fugitive from justice. he declared.
 Mir. Morse had received word by wireless telegraph that two indictments had been found against him, but he did not know he was to suffer physical ar- rest. The appearance of three detec- tives from District Attorney Jeromc's office at his state room door took him completely by surprise.
 The officers armed with warrant, had gone down the bay on revenue cutter. They were accompanied by AL bert B. Boardman and Phillip J. Britt, attorneys, and by Benjamin W. Morse, a son of the financier. Mrs. Morse met her husband at the pier, and 1t was in her automobile that the Journey with one of the detectives was made to Jus tice Dowling's house, where Morse gave bond.
 The charges against Mir. Morse grew out of a 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 sl0O.000 each with Mfr. Nose :n payment for block of 1000 shares in the Na- tional Bank of North America. The notes were to be held three years and not discounted, according to Judge O'Brien. and at the end of the three
  lege of consummating or withdrawing from the bargain for the purchase Of stock.
 It is Charged that Mir. Morse discount ed one of these notes at the Mercan- tile National Bank, the check given to Mir. Morse was made payable to Judge OBrien and was cashed by MT. Morse at the National Bank of North America, Morse signing Judge O'Brien's name, ''per c. W. Morse"
 It is the theory of the indictment that as the check never having passed into the hands of 'O'Brien, its use by Mir. Morse constituted grand larceny from the Mercantile Bank, title never having passed from that institution.
 Judge oBrien, it Is stated, refused to appear as complainant against Mir. Morse. and the grand jury is said to have had a personal tilt with District Attorney Jerome, when he told the lat ter that an indictment found upon the transaction related would not hold
 T used to have to take my law from you, Judge" Mir. Jerome is said to have replied. but now will have to g.ve 1t to youS
 Both of the indictments against Mir. Morse are said to involve the one trans action. They will not be made pub lie until tomorrow. The statement made by Mir. Morse tonight is as fol- lows:
 'I had two purposes in going to Eu- rope. I thought that I might be able to sell property in England, .n whic have a large interest. and thus in- crease my ability to meet the claims of my creditors, and I greatly needed fortnight's rest.
 My business purpose was, of course defeated by the publication in the Eng- fish papers that I was regarded In New York as a fugitive from justice. had strengthened out my financial affairs when left New York, so that there were no actions pending against me except one brought by a creditor to whom T had given valuable collateral securities. and was informed by my counsel that he had arranged vita this creditor not to press his suit against me. As had no obligations maturing for three weeks from which I antici- pated any trouble. I saw no reasons from the standpoint of my obligations to creditors why I should not take a fortnights rest.
 T had no knowledge that District Attorney Jerome contemplated taking any proceedings against me. and I. therefore, did not communicate with him on this subject. About six weeks before I left New York. hearing that United States District Attorney Stim- son was considering the evidence In certain transactions between the Ma tional Bank of North America and my self. with a view of the possible pre- sentation therof to the Federal grand jury. I asked him on the telephone that I be given an opportunity to explain the transactions before any indictment was found against me. I subsequently wrote to the United States District Att torney to the same effect. Not having heard from Mir. Stimson in reply to my request for several weeks. I naturally reach ed the conclusion that he had completed his examination and had found nothing against me. I, therefore saw no objection to my short European trip.
 'I did not sail on the Campania un- der an assumed name, and made no effort to conceal my identity. The suggestion had been made that as- sume the name of c. M. Moore My signature looks as much like e. M. Moore as it does like c. W. Morse
 "On Friday I decided to sail on the Campania which sailed Saturday. Un- til I read in the English papers that I was travelling under an assumed name. I did not know that my name was not correctly entered on the ships register. It was evidently put on the raj at hx aouna nna vVhn did not