The Ocala evening star., 1911-05-26
REASONS AGAINST RELEASE

wealth and style bear no weight with
him in passing Judgment on gnlIt- his
refusal 10 commute the sentences OF
the two big thieves, Morse and Walsh, /
must rejoice every good citizen ana
brighten the hope that the time may
yet come when rich and poor viii
stand equal in the light Of freedom
day"
Rotb Morse and Walsh made strong |
efforts 10 have the president exercise
cIemency. He was besieged by friends |
and attorneys of both men Mrs. Morse /
got up monster petition. which was
signed by scores Of members OF Con- |
gress and other prominent persons, and |
former Senator Hale Of Maine did much
I'm her behalf The pleas of i'll health
and reimbursement of all depositors in
the Morse and Walsh banks were made
in both cases.
Both applications were scanned close
Iy at the department Of justice by Al
torney General Wickersham and his as
sistants and both were read with care
by the president himself His action
was in accord with the recommends
tions Of Mr. wickersham- In denying
the Walsh application the president
said in part:
Used Other Peoples Money
John r. Walsh was convicted Of
misapplication of the funds of the Chi
cago National Bank while its president.
His pardon is asked: First. because
his violations of laws were technical
and did not involve moral turpitude
and secured him no financial benefit:
second, because all the depositors of
his banks were paid through the sacri-
fee of his private fortune; third. be-
cause he was. in doing what he did, at
tempting to upbiuld Industries Of sub
stantfal benefit to the country; fourth,
because he is an old man. in i'll health,
not likely to live long, and one who
has borne a good reputation and lived
life of simplicity and not of indul-
gence
"The facts are that Walsh owned a
large interest in three banks-the Chi
cago National Bank. the Equitable
Trust Company and the Home Savings
Bank, the latter two Illinois state cor
porations. He absolutely controlled
them, although there was substan-
tial minority interest in all of them
held by others He used them TO fur
nish money for the development of sew
eral railroads, limestone quarries, coal
mines and other enterprises. Using his
control of these banks, he took their
funds and invested them in enterprises
of the character mentioned, either by
direct purchase of the bonds, which he
had caused to be issued, or by lending
from the funds of the bank money on
dummy notes secured by such bonds
as collateral He risked nearly the
whole funds of the three banks in the
security of these enterprises, and, be-
cause of these investments, the banks
failed. The allied banks of Chicago, In
order to prevent panic, took over the
Walsh bank holdings and the Walsh
properties and paid the depositors il
FULL but in the liquidation the allied
banks will sustain a substantial loss.
"The application for pardon must b.
denied bank officer who uses sucl
funds to promote enterprises in which
he has a private interest, and withou
the knowledge and consent Of th
shareholders for whom he Is trustee
involves the whole capital of the banl
insunauthorized speculation, from whicl
he is to derive profit if successful, i
guilty of moral turpitude and must b
punished.
Walsh had acquired great power il
the control of three large banks. Hi
responsibilities commensurate te
His guilt is in proportion to the trus
and confidence extended to him. o
course. he did not intend to steal tn
money of his depositors or stockhold
ers, but he is none the less guilty o
account of this fact He abused thei
trust and confidence and imperled tn
money, of those who trusted him i
enterprises Of most speculative char
\ acter and he thus lost their money.
the speculation had been successful a
he hoped. they would not have lost
may be, and he would have above
them the usual interest or DIVIDEND
The real and great profit would hav
been his.
Many influential and prominent pei
sons have petitioned for his pardon
They do not fully appreciate, it seen
to me. the high Importance 10 societ
that such criminal breaches of tru:
as this be severely punished.
walsh is 73 years old. His hea1t
Is not good. but l do not think fro
the evidence that his condition
alarming or requires his release befol
the time when his case may be brougi
before the parole authorities"
Morse a Greater Criminal than Walls
In the Morse case, Mr.. Taft said
part:
Charles w Morse was convicted
misapplication of funds of the Nations
Bank of North America and of maxim
false entries in the books of the ban
and in reports to the controller of Il
currency"
although his conviction technical
was on false entries there is no dou
as to what the evidence showed gel
orally, to-wit: that Morse was engage
in large private transactions in whit
the maintenance of price of a certa
stock in the market was of capital in
portance to him, and he procured COZ
troll of this particular bank and 9th
hanks for the purpose of doing the sp
ciic thing mentioned, which was esse
TALLY the success OF his speculation
The result of his operations was seve
losses to the bank. which forced it in
liquidation.
Morse exhibited the same fraudule
and criminal disregard of the trust
posed upon him in the exercise of I
control over the bank as Walsh d
Indeed. the methods taken by Nor
Walsh did he realize the evil of VIII
he was doing and resort to more su
tie methods to accomplish and conce
them
lone of the chief arguments ma
in Morses behalf is that since the col
his own estate, made good the loss
inflicted upon the bank. In the fiji
place. the evidence does not sustain t