New-York tribune., 1908-03-11
MORSE TN COURT TO-DAY
DIRECTOR WITH HIN.
Federal Grand Jury Hands Up
Indictments.

When the March term OF the criminal branch
of the United States Circuit Court opens this
morning. with Judge Chatfeid the bench
among those who will be present for purpose
other than watch the mere working of the
court will be Charles W. Morse With him also
in the courtroom will probably be another di-
rector of the National Bank Of North America
who UP to few months ago held executive
place in the institution which is now in the
hands If Receiver Charles A. Hanna
The attendance of the two men will be one
of the sequences of the discharge of the Federal
Grand Jury for January yesterday. after con-
slant sessions Tor about two months. When
the jury filed into the courtroom yesterday
morning the foreman handed TO Judge Hough a
bundle containing about dozen indictments
One of these noticeablyT bulky.
AS soon as the foreman had presented the
documents to the court United States Attorney
Stmson who with his assistant Lewis Ogden
OBrien accompanied the jurors. told Judge
Housh that the jury had completed its delibera-
tions Mr.. Stimson suggested that as the body
had been at work almost daily for two months
and had conducted its Investigations with
notable conscientiousness nd fidelity, the jurors
be dismissed with the thanks of the court In
discharging the jurors Judge Housh thanked
them cordially for their efforts.
Among the matters which the grand jury has
in regard to alleged fnfractions OF the national
banking laws by Mr. Morse and his associates
OF the subjects under discussion 1t Is known
was the alleged concealnent on the books OF
the National Bank of North America of the real
character of the purchase by that institution OF
four thousand shares of American Ice Company
stock from Charles w Morse Receiver Hanna
has already made the allegation that the pur-
chase appeared the books as loan to one
Leslie W. Whiting clerk in the firm of Prim-
rose & Brown who acted as Morse's bankers
Subsequent to the purchase OF the four tnou-
sand shares. which was made in 1906 two
thousand more shares of American Ice stock
were acquired by the bank in the same year,
and as in the first case, it was made to appear
that the money paid for the stock was really
loan to Whiting, who, according to Receiver
Hanna. had interest in or knowledge of the
transactions and was financially unable to pay
for such large blocks of the stock
Under Section 17s Of the national banking
laws false entry in the books Of a bank with
intent to deceive the examiners is an offence
punishable by term of not less than five nor
more than ten years in prison
Mr. Morses hurried return from Liverpool
was made at the direct request of his counsel
of record Albert B. Boardman, after the latter
had had conference with United States Attor-
new Stimson, during which the federal official
indicated that il .,ould be desirable TO have Mr.
Morse within his Jurisdiction 1t is known that
I'D to the end of last week the federal grand
jury was still probing into various transactions
OF Mt Morse and his associates. whose legality
had been brought into question, and Mr. Slim
son and his office force have been working day
and night in collating the evidence. Ordinarily
when there is any apprehension of an indicted
person leaving the jurisdiction of the court
warrant for his detention is issued as soon as
the indictment is returned. but as Mr.. Morse
state courts no action other than the notiica-
ton Of counsel would be considered necessary.
Neither Mr. Stimson Mr. Morses counsel
would deny that the banker would be in court
to plead TO day The former said he would be
in position this morning after court convenes 70
give some rather more interesting informa-
tion" TO the reporters.
Mr.. Morse himself had q busy day yesterday
in his efforts bring about adjustment of
his tangled affairs He spent two hours with
his counsel in criminal proceedings. Philip J.
of his one time financial associates and cred
itorS
Some of Mr.. Morse's relatives in Maine. If was
learned yesterday have offered some s5o,000 to
Receiver Hanna toward offsetting outstanding
obligations Of the banker amounting to about
s400000 Receiver Hanna turned down the
proposition because he felt that If $4,000 would
be raised toward settling the claims against
Morse still larger amount might be obtained.