The Newark star and Newark advertiser. [volume] (Newark, N.J.) 1909-1909, 1909-10-11
Former Ice King, Now Out on
Bail, Plans Appeal to U. S.
Supreme Court.
CONVICTED OF VIOLATING
NATIONAL BANK LAWS
Reported to Have Reestablisiled
Himself in Financial World
Since His Release.

NEW YORK, Oct. 1.-THE u. S. Cir
cult Court of Appeals today affirmed
the decision of the lower Federal court
sentencing Charles w. Morse, the for
mer banker and steamship capitalist, to
fifteen years Imprisonment in the Fed
eral prison at Atlanta, Ga.
The decision of the Circuit Court of
Appeals Is final SO far as direct appeal
is concerned: but it was said today that
counsel for Morse may apply TO the
Supreme Court of the United States for
writ of certiorari in order to bring
about a review of the entire proceed
ings by that court.
The United States Circuit Court OF
Appeals this afternoon granted a stay
of forty days in the execution of the
sentence.
Morse was convicted of violating the
national banking laws in misapplying
the funds of the National Bank Of Ntrth
America, of which he was president,
at the time of the financial panic of
1907. He was charged with making
false entries on the banks books. He
was sentenced on November :. 1908.
after a long jury trial.
The United States Circuit Court of
Appeals in its decision rendered today
says: o
1--WE fully realize the consequences to
the defendant which must follow an
affirmance of this judgment, and yet
we cannot doubt that he was given q
fair trial and the verdict on the four
teen counts was amply sustained by the
proof No unprejudiced person can
read the record without being con-
vnced that by the defendants procure
ment the bank (National Bank of North
Amerlca) bought Its own stock and the
stock of the ice securities company.
and by his procurement the entries n
the bank book and in the reports oi
| the comptroller as to these transactions
were so arranged as to conceal the
truth and to record transactions which
in reality never took place."
| At the office of Mr.. Morses counsel
| today 1t was stated that the case would
be taken to the United States Supreme
Court and an application for bail would
be made. Meantime Morse would De
sent to the Tombs prison or might be
sent to Atlanta to begin his sentence
unless the Circuit Court of Appeals in
New York graned a stay in the execu-
ton of his sentence.
Morse was indicted on March IL, 1908.
on his return from Europe, The in
comprising conspiracy to defraud tho
United States government, the making
of false entries and the misapplication
of the funds of national bank. IT
was charged that Morse, with others,
was engaged in a pool that was
manipulating the stock of the Ameri-
can Ice Company. AS the result OF
this pool, United States District At
tory Stimson declared Morse and his
associates became possessors of large
blocks of ice stock and finally, getting
near the end of their resources. went
to the National Bank of North America
and secured money to continue the
speculation The government alleged
that from time to time $1.2O0,0)0 of the
banks money was used for this pur-
pose To conceal these transactions.
Mr. Stimson said, fictitious loans were
made on the banks books, with the
ice stock really bought with the banks
own money
After his original sentence Morse OBJ
tanned writ of error, which brought
his case before the Circuit Court or
Appeals for review. Arguments on his
appeal began last February, and did
not end until June II. when the judges
reserved decision and admitted the de-
fendant to $125,000 bail furnished by
twenty of his friends.
On June II Morse was released from
the Tombs, where he had been con-
fined since October. 1908. Immediately
he plunged into business as If a long
prison term We're not hanging over
him, and during the past four months
his financial rehabilitation was rapid.
During that time he is reported to have
paid off $5,O00,000 of his 900 in
debtedness and to have regained con-
troll of a large part Of his extensive
steamship interests.
Morse appeared at the Office of the
United states marshal soon after the
decision was handed down and sur
rendered himself He remained in the
marshars office while his counsel, Mar
tin w. Littleton, asked the Circuit
Court of Appeals for stay In the ex-
ecution of the sentence pending further
proceedings.
While the court today did not tighten
the sentence which Morse has been
striving to annul it's decision was NOT
entirely adverse because it sustained
only ten of the fifty-three counts on
which he was convicted by o ,nry
This, say his attorneys will leave q
means of approach to the court Of last
resort, and an application for Il writ
of certiorari to review the case viii be
made on October IS, in Washington.
"Mr. Morse is keenly disappointed
that Judgment against him was not
reversed" said Littleton today, "but
he has faith that it will be when the
case is brought before the Supreme
Court of the United States. He IS not
cast down by the decision. and as far
as he will be allowed his liberty pend
ing final adjudication of the matter.
he will continue to repair his broken
fortunes and help those whom he IS
supposed to have injured"
Mr. Morse heard the decision of the
court in the United States marshais
Office, where he had gone to receive It.
He took the news calmly, and as soon