The Montgomery advertiser., 1909-10-12
MORSE MUST
 GO TO PRISON Lower Courts Decision
 Affirmed. GETS STAY OF EXECUTION May Take Case Into Supreme
 Court. ns Defendant Was Convicted On Charee of Violation of National Bank- ing Laws And of MisappIy-
 ing Funds. i.

N, preme Court of the United States re- verses the decision or the President or the United States interferes. Charles w. Morse. one time Ice king." coast wise steamship line organizer, banker and capitalist. will serve fifteen years at hard labor in the Federal prison at Atlanta, Ga
 After having been at liberty under Sl25.o00 bail since June IT last. he ts back In the Tombs prison tonight, where he contemplates the decision of the United States Circuit Court of Ap- peals rendered today, sustaining the judgment of the lower Federal Court. which found him guilty in November last of violating the national banking laws.
 There was solace in the decision Of the Court of Appeals today. however. in that only ten of the ffty-three indicf-s ments on which he was convicted were sustained, and on the strength of this his counsel. Martin W. Littieton. wilf immediately carry the case before the United States Supreme Court on a writ of certiorari. To this end the United States Court of Appeals has granted q forty days stay of execution and pend-. ing decision by tho Supreme Court, application will be made to have the prisoner again admitted to bail.
 Morse took today's decision calmly; though he was plainly grief stricken and perhaps surprised. He heard tha news in the office of United States Mar shal Henkel, and was almost immedt- ately taken to the Tombs.
 Mrn. Morse Surprised.
 Mrs, Morse was with her husband in the marshars offlce during the entire morning. When word came that the decision was against him, she said:
 "All along we had the utmost conf dence that new trial would be grant-s ed. The decision today came as q great surprise to us. but my husband is brave. and he will continue to struggle for his. liberty. Mf. Littfeton wifi re- main fin charge of his case and will try at once to secure MT. Morse's release on bail T"
 When he left the Federal building in custody of an officer for the Tombs. Morse kissed his wife and son, ana rnda 1 not handcuffed. A taxicab was waiting at the door. After posing for photo graphers he entered the cab and was 1 whisked away to prison.
 One of Mir. Morse's keenest regrets at being forced to return to prison is the Interruption of his beaver-ffke struggle 10 rebuild his fortune. SInca his. liberation under ball he had been re-elected president of the Metropolftan Steamship Company. a New EnwIata corporation, and of the Hudson Navf- gatins Company, operating a line Of boats on the Hudson. He Is credited with having discharged the bulk Of hfr debts.
 From tue big Transportation linex that within the week elected Morse their president. there was no offlcfa1 statement forthcoming after todayss decision.
 Mir. Morse was convicted of vioIaf,on q n t.,v, ,lr applying the funds of the National Bank of North America. of which he was president at the time of the finan- l cial panic of 1907. He was charged with making false entries on thss banks books and was sentenced on November 8. 1908 after a long jury. trial.
 appeals. in its decision. rendered toe l day, said l Was Given Fair Trial. 1 We fully realize the consequenees | to the defendant which must follow an affirmance of this Judgment and yet we cannot doubt that he was given a fair trial and the verdict on the fourteen counts was amply sustainef | by the proof. No unprejudiced person can read the record without being con- wheel that by the defendants procure I ment. the bank (National Bank of | North America) bought it's own stock and the stock of the Ice Securities Company and by his procurement the entries in the bank book and fn the reports of the comptroller as to these. transactions were so arranged as to conceal the truth and to record trans | actions, which in reality never took. place" Morse was indicted on March IF l 1908, on his return from Europe. The indictment contained twenty-nine l counts. comprising conspiracy to de-f | fraud the United States government | tbe making of false entries. and the misapplication of the fun Is of a na- tional bank.
 It was charged that Morse, with others was engaged in a pool manI- pulating the stock of the American Ice Co. As the result of this poll. United States District Attorney Stim- son 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 specu- latlon.
 Anege Fictitious Notes. The government alleged that from time to time sl, 200. 900 of the banks r1oney was used for this purpose. To conceal these tranSactlOuc, MT. SAAtii- son said fictitious loans were made on the banks books with the ice stock really bought with the banks own money. s5
 Alter his original sentence, Morse obtained a writ of error which brought his case before the circuit court of appeals for review.
 Arguments on his appeal began last February and did not end until June IT when the judges reserved decision and admitted the defendant to $I25.- 900 bail furnished by twenty of his friends.
 On June IT. Morse was released from the Tombs. where he had beer confined since October. 1908.
 Immediately he plunged into busi. ness and during the past four months he IS reported to have paid off sb.00o,. GOO of his S7.OoO.00O Indebtedness and to have regained control of a large