VOL. XLVIII. 'Q. 14,734.
PORTLAND, OREGON, TUESDAY, FEBRUARY 18, 1908.
PRICE FIVE CENTS.
WDQDFQRD
SAYS,
HUSHES THE
Tells His Merits to
Hughes League.
FAITHFUL TO PUBLIC TRUST
Cuts Out the Evil Without De
stroying the Good.
CAN WIN INDEPENDENTS
lifelong Friend of Governor Accepts
Presidency of lie-ague and D-wclls
on Empire State's Part in
Republican Success.
NEW YORK. Feb. 17. Declarations of
support of the candidacy of Governor
Hughe for President and prophecies of
his election to that office were made by
speakers tonight at the formal notifica
tion to General Stewart L. Woodford of
his selection as president of the Hughes
League of the United States, which took
place at the Hotel Manhattan. Members
of the notification committee and mem
bers of the Hughes league from many
parts of the country were present. The
speakers included General "Woodford,
John K. Milholland, chairman of the
Hughes league: ex-Governor Bachelder,
of New Hampshire; Congressman "Waldo,
of Brooklyn, and ex-Mayor Beth Low, of
New York.
In accepting the leadership of the
Hughes league. General Woodford char
acterized the political situation as serious
and declared that the "Democratic party,
hungry with long fasting, will do their
best to get together and win the coming
election." The Republicans must not
count upon Democratic mistakes as in the
pact, he said, and a mistake now by the
Republicans would be a crime. He paid
a high tribute to the worth of Governor
Hughes, who. he said, he had known
from his youth.
Hughes Boom Sponta neons.
Mr. Bachelder occasioned prolonged sp
plause when. In his speech, he declared
that "one of the most remarkable and
one of the most encouraging develop
ments in political movements in New
York has been the marvelous growth of
sentiment there for Governor Hughes."
Speaking of this sentiment, Mr. Bachelder
said:
Remarkable, I call it, because it has been
entirely spontaneous springing from the
eager consciousness of our people that In
him they hare a leader who embodies all
th high -tradition of New England Repub
licanism calm. dispassionate, restrained
and resolute. The sentiment of New Eng
land Republicans for Governor Hughes Is
not of the hothouse growth. No clique has
fostered H; no machine has made It." It
arises from a deep and genuine appreciation
of his character and purposes, from a study
of his mind and from an abiding faith In
him as a man and as an executive.
Mr. Milholland. who made the speech
notifying General Woodford of his se
lection, told his hearers that the cam
paign In the Interests of Mr. Hughes'
nomination was making steady progress,
and declared that "the Republican South
is awakened and will be on our side."
Ko Time to Risk Mistakes.
General Woodford was given an ovation
when he arose to speak. He said:
Woodford's Praise of Hnghca.
A.t the outset I now ask for all possible
hlp from all who believe with us that
Governor Hughes will jrove the wisest
choice the Republican party can make as
our Presidential candidate.
The situation Is serious. The Demecratto
party, hungry with long fasting, will Co
tbslr best to get together and win the com
ing election. We cannot count with cer
tainty, as so often heretofore, upon their
blunders. -If we would win this fight.
must make no mistakes ourselves. So seri
ous Is the situation, so much depends on
what we now do. that mistakes now are
more than blunders. They will be almost
crimes.
We present the name of Governor Hushes
to the calm consideration and deliberate
Judgment of the Republicans of the Nation
as being thoroughly fit for the great office
nd sacred trust of the Presidency. I have
known him from bis early manhood, and
because I was his preceptor and friend I
may without egotism speak of his manliness
and worth. As a lad he was hard working,
frugal and a winner. As a student he was
conscientious, persistent. Rtrenuous and suc
cessful. As a lawyer he early took high
rank, and has steadily gone toward the front
of our profession, in the gas and life In
surance Investigations he uncovered serious
and long continued abuses. He corrected
evils, but did not destroy the accumulated
resources held for the aorotectlon and sup
port of thousands of wives, mothers and
children throughout the Republic. The as
sets of the life Insurance companies ex
ceeded one thousand million dollars. Some
had men and rrmny careless ones had come
to evil or heedless use of these Immense re
sources. He drove them from nlace and
power and at the same time he safeguarded
the assets of the companies. He cured with
out killing. He drove the rats from the
barn without burning down the barn and de
stroying its precious wealth of grain and
harvest. Such dealing with corporate
wealth and corporate responsibility is terror
to e-1l-floers cn the one side and protection
to the savings of the poor upon the other.
Calm. Brave, Fenrleaa.
As Governor, he has been calm, brave,
fearless and Ju(. His severest critics will
not today charge him with using the power
of his g-eat office to help his present candi
dacy. His closest friend will not dare to go
to him with any suggestion looking toward
n official act in aid of his Just aspirations.
With him public office is in the highest and
last sense a public trust. With reverence I
say to you that I believe the pure, hlirh
public purpose of George Washington has
never been more thoroughly Incarnated in a
public man than it is today In the policies
and person of Charles E. Hughes.
tVe present his name to the calm consid
eration and deliberate Judgment of the Re
publicans of the Nation as the man w ho Is
most likely to obaln the electoral vote of
New York. If you can elect a Republican
President without the electoral vote of New
York, tben It will be safe to disregard this
eust ion. if you -cannot -certainly do this.
II
if In any contingency you shall need the
vote of New York, tben we beg. you to
weigh our suggestion very carefully and de
cide very soberly. We. do not offer this sug
gestion in any spirit of threat. We are
loyal Republicans. But we beg the Republi
cans of the Nation to hear our plea without
prejudice and to decide without favor.
In our Judgment neither the Republican
party nor the Democratic party as an organ
ized body has a majority of the votes of
New York- The figures of recent elections
aeem to prove this. The balance of power
In New York Is with the Independent voters,
the unattached voters and the dissatisfied
voters of both National parties
Can Get Independent Vote. '
That candidate for the Presidency will
probably get the electoral vote of New
York who can most certainly secure the
largest part of this great body of voters
who no longer wear the uniform and follow
the nag of either great National party. We
believe that Governor Hughes can and will
get this vote. If you can carry the Nation
without New York, if you can carry New
York without these votes, then It may be
safe to make the attempt and disregard our
appeal. But If you believe with us that
New York must go Republican to assure
that the Nation shall continue Republican
In administration and In policies, then we
beg you to tinite with us in our earnest
effort to nominate Governor Hughes for the
Presidency.
We are Republicans. Governor Hughes Is
a Republican. We strive with all our hearts
and wills to Keep our old party In powei
not for the sake of power, but for all that
Republicanism has meant to the Nation and
to mankind for the last half century. W
gave tne saintea Lincoln to he the nrstt in
the long line of great Republican Presl
dents. We gave Grant, Hayes. Garfield.
Arthur, Harrison, McKlnlev and now Roose-
,velt to the Presidency. We believe that. If
you will Join us in what we now seek to
do. you and we can crown our work for
this generation by the nomination and then
by the triumphant election of Charles E
Hughes as their logical and fit successor.
BRYAN AMOXG THE HOOSIKRS
Speaks at Indianapolis Banquet,
Telling Party How to Win.
INDIANAPOLIS. Feb. 17. "William J
Bryan was the guest of honor at the
banquet given tonight by the Indiana
Democratic Club. Nearly 700 guests were
present. Mr. Bryan made a forceful
speech, in which he told the Democr;i
what must be done to win. Ho was tne
only speaker of the evening.
Mr. Bryan's programmetoday Included
addresses to the Ministers' Association
and to the High School students.
IMPRISONED BY MUD FLOOD
TWKXTY-EIGHT PENXSTIA'AXIA
MIXERS EXTOSIBEB.
Gangway Blocked by Rush of Mud
Due to Floods Trying to
. Dig AVay Out.
POTTSV7LLE, Pa.. Feb, 17. Twenty
eight miners were Imprisoned in the Mid
valley colliery near Mount Carmel this
morning by the breaking of a dam which
had formed In a drift and which caused
a' rush of mud Into a gangway where
the men were at work. All day long a
party of rescuers endeavored to reach
the entombed men. and shortly after 6
o clock tonight they were encouraged by
Bounds of digging on the inside. Later a
shot was heard. Indicating that the men
are actively at work to effect their own
escape, and that the air Inside- is good.
Among the men entombed are a hum-
'ber of experienced minere?, and It is be
lieved that it will be possible to effect
the rescue of all of them unless some
have met death by being smothered In
the rush of mud when the dam broke.
Seven of the number are Americans, the
others being foreigners.
The men had been employed In the drift
driving a heading to the surface. The
heavy rain and thaw of the last few
days had caused a great deal of water to
accumulate In the drift, and the pressure
became so heavy that It finally gave way
and a sea of mud flowed Into the gang
way where the men were at work. It
filled the gangway for a distance of about
350 feet, and it will be necessary to dig
through this barrier to get to the work
men from this particular direction.
Three rescuing parties have been put to
work. It is hoped to be able to get the
men out or give them food and drink by
tomorrow morning.
CONTENTS TODAY'S PAPER.
The Weaticr.
TJ3RTERXAY Maximum temperature SO
degrees; minimum, 41 degrees.
TODAY Portland and vicinity, fair; east
erly winds.
Foreign.
Russian Douma prepares for war with
Turkey and troops are sent to frontier.
Page I.
National.
House orders no salaries paid to inoapables
In civil service. Page 4.
Heney gets Jso.ooo for trying land-fraud
cases. Page S.
PoUHcs.
General Woodford elected president of
Hughes League. Page 1. t
Wellman predicts Fort for second place on
ticket with Taft. Page 1.
Taft speaks at New Haven- Page 2.
Iomestic
Jury disagrees in Snell will contest. Page 3.
Morse Indicted for perjury; explains away
larceny charge. Page V
Flood of mud entombs 28 Pennsylvania
miners. Page t.
Chinese detective exposes murder plot of
Boston highbinders. Page 8.
Great stampede to Rawhide mines In Ne
vada. Page 2. -
McNary out of race for United States At
torney. Page 2.
8port.
Progress of New York to Paris,, auto racers.
Page 4.
Scores In bowling tournament. Page 4. '
Pacific Coast.
Ach fighting for immunity for Ruef.
Page 4.
Steamship owners face issue with engineers.
Page 3.
Boosters' Day at Eugene great success; city
entertains half a thousand visitors.
Page 6.
Additional peculations by Olson uncovered
dally. Page 6.
Mate Zube, of wrecked ship Emily Reed,
with two other survivors, reaches Neah
Bay, and tells thrilling tale. Page 8.
Commercial and Marine.
Demand from Orient for flour revives.'
Pnge IS.
Wheat breaks at Chicago on heavy selling.
Page 13.
German ship N'ordsee clears for Callao with
cargo of grain. Page 14.
Portland and Vicinity.
George H. Williams urges Republicans to
reject Statement No. 1. Page 11.
Jury chosen In Waymlre-Raddtng conspir
acy case. Page 10.
B'nal B'rith Grand Lodge will end session
today. Page 7.
Sale of TTpper Washington street property
for sno.OOO. Page 10.
Methodist Ministers' Association votes to
exclude press. Page 10.
Merchants' National bank reopens doors.
Page 10.
Mount Hood road will make no effort to
gat franchise from the city. Page 14.
TAFT ID FORT IS
PROBABLE TICKET
New Jersey Governor
for Second Place.
HAS WON STATE FROM BOSSES
Either He or Guild Likely for
Vice-President.
STRONG ROOSEVELT MAN
Fort Carries State With Him for
Taft and Is Devoted to Public
Service Against Interests
of the Corporations.'
(Walter Wellman to Chicago Record
Herald.) WASHINGTON, Feb. 17. (Special.)
Taft and Fort such is the latest sugges
tion for the Republican Presidential
ticket.
Now that it is dawning updn the minds
of men In the East that Judge Taft Is
almost a sure winner, there is naturally
more or less gossip as to the second
place on . the ticket. It goes without
saying that nothing is arranged. No slate
has been made as to the Vice-Presidency;
no bargain fixed up.
The Taft people bave not promised sec
ond place to any one, not to Governor
Guild, of Massachusetts, nor to Gov
ernor Fort, of New Jersey. They are too
astute for that. What they have done,
and that which Is perfectly natural,
proper and in line with all the rules of
the gams, is tb hold out hope to the
friends of various gentlemen in the Fast
that they may secure the second prize.
Among the men talked of- in the Taft
councils the Governors of Massachusetts
and of New Jersey figure prominently.
Just now the latter seems to bo In high
favor. There seems to be a prevalent
idea that The Vice-Presidency will go to
the East, although, of course, tha Far
West will not agree that this is neces
sary or even logical. If It does go to the
East, Governor Fort will itana ' a good
chance.
Reformers Rule Xe-w Jersey.
Some surprise was expressed In the
East when I Included New Jersey in the
Taft column in a review of the field pub
lished a few days ago. I was myself sur
prised to learn that the state was for
Taft.
We had all supposed that the old-stylo
politicians that Is, the machine in ca
hoots with the corporations would con
trol New Jersey, as they have success
fully done in the past. Not much was
to be hoped for from a state that sends
to the United States Senate such men
as John Kean, personally a good fellow,
but one who sees everything through
Wall street glasses, and John F. Dryden,
the Insurance millionaire.
But something has happened in New
Jersey during recent years. In the
Roosevelt epoch New Jersey has risen
and elected a reform Governor and a
legislature largely in sympathy with
"HKLLT-TO DEFEND jMM ' Mg'
' STAJEMENJ NO, 1 ' . '
? W. STUKen nd Hit Ftfowr fyctyojj C
" BlytoB3Aclft. 1 ,L(; f ff
' TmJMW' -TrjMmt- jHly THIS ROCK -SHRLL FLY, '
FROM ,ib FIRM BR5E
him. The old rule of the bosses and the
corporation Is at an end. Governor Fort
and his friends are In control of the
party organization. Thus It Is only na
tural that New Jersey should be a
Roosevelt state, a Taftt state. It Is In
sympathy with the general movement
now going on throughout the country.
The Taft sentiment is so strong among
the people that Governor Fort and his
friends find little difficulty in getting
most of the delegation to Chicago for
the Secretary of War.
Fort Devoted, to the People.
Whether or not New Jersey's support
of Taft is to be rewarded with the Vice
Presidency remains to be worked out.
It is certainly possible. Governor Fort
is a 'Btrong man. He has made a good,
progressive executive, devoted to the In
terests of the people of the state and not
a servant of "the interests." He has In
stituted and pushed through a number
of reform measures and is working on
others.
Governor Fort is in the prime of life
at 56. He is a lawyer by profession. He
Ms '
f v & I
X ' I
i Henry Ach, Attorney for Abe Ruef, I
Henry Ach, Attorney for Abe Ruef,
Who Is lighting to Maintain Im
munity Contract. I
was a Judge of local courts and, when
elected Governor, was on the supreme
bench. He has several times served as
delegate to Republican National conven
tions and in-1896 presented fhe name of
Hobart to the convention for Vice-President.
HE SLUGS THE SLUGGERS
NEVADA LKGISLATOK ATTACKED
BY FEDKRATIOX "
Thomas Tighe Fights Three Miners
and Drives Them Off With
Cluboed Revolver.
GOLDFIELD, Feb. 17. Thomas Tighe,
an assemblyman from this county, was
set upon by three members of the Western
Federation this morning and in the scrim
mage that followed was badly cut about
the face. He fought off .his assailant
with his revolver, which he used as a
club, the miners getting the worst of the
encounter.
The offense charged to Mr. Tighe was
that he had supported the state police bill
in the special session of the Legislature
recently closed.
Bryan, at Omaha.
IJNCOLN, Neb., Feb. 17. William J.
Bryan will attend the Democratic State
Convention at Omaha March 5.
READY FOR THE FRAY
WAR FEVER AGAIN
SEIZES ON RUSSIA
Douma Called Upon to
Prepare for Fight.
TROOPS HASTEN TO FRONTIER
Hostilities With Turkey May
Come. This Year.
DIPLOMATS ARE SKEPTICS
ThTnlc Both Russia and Turkey Are
Bluffing, as Neither Has Money
for War Macedonia's Hope
of Reform Vanishes.
ST. PETERSBURG, Feb. 17. The
alarmist reports of the possibility of hos
tilities between Russia and Turkey,
which have permeated all strata of Rus
sian society, have assumed the propor
tions of a veritable war scare, to which
the sensational press Is devoting Its big
gest headlines.
The situation Is taken seriously, not
only in military circles, but also by con
servative politicians. M. Gutchkoff, lead
er of the majority in the Douma, an
nounced his Intention tonight of raising
at the next meeting of the committee of
national defense the question of the na
tion's readiness for war. This, he be
lieves. Is of the most vital Importance,
in view of the newa from the Caucasus
and all parts of Europe. He also pur
poses to Interpellate the Minister of Com
munications on the ability of the rail
roads, particularly In the Caucasus and
Trans-Caucasia, to transport troops
quickly to the southern and southwest
ern frontiers.
Avoid AVar hy Readiness.
The Douma, according to M. Gutchkoff,
will be guilty of criminal negligence if
it permits the country again to be drawn
into a war for which It la wholly unpre
paTed. The surest means to avoldV a rup
ture, he Haiti, Is serious preparation for
any eventuality.
M. Khvostchlnsky, the vice-president of
the committee, also thinks that the situ
ation Is grave, and takes iwrue sharply
with a number of Generals who appeared
before the committee and eald that the
possibility of hostilities this year was ex
cluded. Troops Moving to Frontier.
The general staff continues to give the
situation the most serious consideration,
although as yet no reports have been re
ceived here' regarding movements of
troops in the Interior. But persons arriv
ing from Siberia say that for several
months there has been an unbroken
movement of Siberian troops to the
southwest In the direction of the Trans
Caspian district and Turkestan, from
which they could be most easily con
centrated on the Turkish frontier. Tiflis
advices to the Associated Press indicate
that preparations are steadily making for
any eventuality. .
Competent opinion, however, takes the
optimistic view. The Ambassadors of
five of the leading powers, when inter
viewed today, considered hostilities al
most out of the question. Their opinion
Is that Turkish mobilization In Asia Mi
nor and the warlike preparations In Rus
sia are parts of a "gigantic game of
bluff" which neither side will be able to
carry to a finish, owing to the. lack of
sinews of war. But they cherish no Illu
sions over the speedy termination of the
Austro-Russlan differences in the Bal
kans and look, forward to a long period
of friction before the powers again unite
to exert their necessary pressure on the
Sultan.
Xo Hope for Macedonia.
Diplomats friendly to Austria endeavor
to acquit Baron von Aehrenthal, the Aus
trian Foreign Minister, of the responsibil
ity of disrupting the European concert.
They said today that the prospect of
carrying through the proposed judicial re
forms in Macedonia had vanished into
thin air before the Austrian railway
scheme was proposed. The possibility
that Turkey, with Russia's encourage
ment, might find means of evading her
quasi .promise to permit the construction
of the line Is admitted, but the general
opinion Is that in this case Baron von
Aehrenthal would have no alternative but
to resign.
Dispatches from London Indicate that
the rumor, believed to have been started
in Vienna, that Russia contemplated con
struction of a railroad from the Danube
to the Adriatic Sea In compensation for
the Salonika line has been taken seri
ously abroad. But the Russian Foreign
Office emphatically reiterates its denial
that such a project Is entertained, the
necessary money above all being lacking.
TURKEY CALLS OUT RESERVES
Revolutionary Party Getting Active
at Same Time.
TIFLIS. Feb. 17. Reports have been
received here from Armenia that all the
Redifs, or Turkish army reserve forces
in Van, Mush and other vilayets of Asia
Minor, have been called to the colors and
are departing rapidly for the frontier. At
the same time a league of the Turkish
Revolutionary party is increasing the
revolutionary agitation.
Appeals and proclamations are being
Issued exhorting the population to pro
test in every way possible against the
warlike plans of the Sultan. The league
holds that war would be especially disas
trous at this time, as there is a famine
in Asia Minor.
At Tiflis, the apprehension of hostili
ties has not abated. The Russian mili
tary authorities have ordered that all
horses In the Caucasus available for mili
tary purpose be registered. The doctors
of Tiflis held a meeting recently and
volunteered their services In case of war.
The concentration of Turkish reserves
on the Persian and Russian frontiers in
Asia Minor, if in progress. Is an out
come of the border difficulty with Per
Bia. Recently Turkish troops crossed the
Persian frontier In the vicinity of Uru
niiah and committed depredations. To
this Russia, under her treaty obligations
to Persia, objected and began the concen
tration of a strong force on the frontier
of the Caucasus. This show of military
activity was thought to have been suf
ficient to put-- stop to the Turkish ag
gression, and the" Russian movement was
said to have been discontinued.
If the reports from Armenia are true,
the difficulty in Asia Minor, which is
closely connected with the railroad as
pirations of the powers In the Balkans,
may assume serious import.
1ST ANSWER TO COURT
CHAMBER OP COMMERCE PRO
TEST HELD IXSCLTIXG.
President and Secretary Charged
With Contempt for Telegram
Commenting on Decision.
L03 ANGELES. Feb. 17. United States
District Judge Olln "Wellborn today or
dered United States District Attorney Os
car Lawler to Issue warrants for the ar
rest of J. Stanley Brown, president, and
V. G. Haven, secretary of the Chamber of
Commerce at EI Centro, Cal., and bring
them to IjOs Angeles to answer the charge
of contempt of court.
The telegram of protest against the In
junction Issued by Judge Wellborn against
the California Development Company, in
which the company is prohibited from di
verting the waters of the main Imperial
Canal, which was aigned by the two Im
perial Valley men, is held by Judge Well
born, it is said, to be Insulting, improperly
sunggestlve and flagrantly ifi contempt of
the local Federal Court.
MORE TOBACCO IS BURNED
Xight RiJers Haul Wagons From a
Barn and Start Fire.
HOPKJNSVILTE, Ky., Feb. 17. Night
riders last night visited the farm of V.
McKinney, in the northern partof Chris
tian County, broke open his tobacco barn
and rolled out two wagons heavily loaded
with- tobacco. Under one of the wagons
they built a fire and the wagon and
contents were destroyed. They placed
dynamite In the other wagon but it failed
to explode.
PLOT FOR FRANCO FAILS
Army Officers Do Xot Give Support
According to Letter.
PARIS. Feb. 17. Senor Sebasto Maal
hles Lima, a Portuguese Republican, who
is now in exile in Paris, has made public
a letter received from a friend in Lisbon,
In which it Is set forth that the followers
of cx-Premier Franco plotted to reinstate
their leader, but that they failed on ac
count of the leading officers of the army
to support the movement.
Surprised at Caldivell's Insanity.
LONDON. FeV 17. The report that
Robert Caldwell, the American witness in
the Druce case, has been committed to an
asylum came as a surprise to everyone
here who came into contact with him dur
ing the famous trial. The British gov
ernment la endeavoring to have Caldwell
extradited but if satisfied of the genuine
ness of Caldwell's Insanity the extradition
proceedings will be dropped.
NOT
INDICTMENT
CHARGES PERJURY
Troubles Multiply for
Ice King.
MORSE DENIES GRAND LARCENY
Lawyer Says That Check for
O'Brien Meant for Morse.
ONLY TOOK HIS OWN MONEY
Denial That He Loaned Thomas
$50,000, Followed by Admission
of Fact, Forms the Basis of
the Perjury Charge.
NEW YORK, Feb. 17. The legal en
tanglements of Charles W. Morse, former
banker and promoter, are multiplying. A
third Indictment alleging perjury by Mr.
Morse during an examination before tha
grand Jury was found by the special
jury today, a short time after he had ap
peared In court to answer the two In
dictments found against him last week,
charging him with grand larceny. Ar
rangements were made tonight to have
him appear tomorrow before Justice Vic
tor J. Dowling, of the criminal branch
of the Supreme Court, to plead to the
perjury indictment.
Another turn in the case today was
the serving on Philip J. Britt, counsel
for Mr. Morse, of summonses in two ac
tions brought against the former bank
er. The complaints In these suits have
not yet been filed, but it was explained
that they relate to stock transactions
which occurred some time ago.
When arraigned before Justice Dow
ling, Morse pleaded not guilty. Judge
Dowling set Monday as the day for the
hearing.
Morse's Lawyer Explains.
After his return to his office. Mr. Britt
made a statement concerning the trans
action upon which the larceny Indict
ments rest. He said:
The statement that there was a written
agreement between Mr. Morse and Mr.
O'Brien that the notes should not be dis
counted Is false. There was an agreement
that the notes should be renewed for a period
of three years, but there was no agreement
that the notes should not be discounted.
If the notes were to be continued for a
period of three years and were not to be
discounted , during that period, it would
practically make them worthless as sen
curlty to be converted in case of need dur
inc that time.
What Mr. Morse did make himself re
sponsible for was that. If the notes passed
out ot his hands during the period In which
he safd that the notes should be renewed,
be would be responsible to see that they
should be renewed, no matter In whose
hands they happened to be at that, time.
With this understanding: of the agreement
there can be no question as to the fairness
ot Mr. Morse's action in gettlnc the notes
discounted.
If the check with which the discounted
note was paid was made oat in the name
of Mr. O'Brien, to whom was the money
due? To Mr. Morse, of course. It was in
payment for stock delivered by Mr. Morse
that the notes were made. Bo, If the check
In payment for the note was made out tech
nically In the name of Mr. O'Brien, whose
name was on the note, it was really meant
for Mr. Morse, to whom the note had. been
asslRned. There are a lot of facts In con
nection with this case which have not yet
come out and which will put an entirely
different aspect on It from that which has
so far appeared from what has been pub
lished about It.
Indicted for Perjury Also.
Mr. Britt said he did not yet know
whether he would Interpose a demurrer
to the indictments. His V'Sal action
would depend on a study of the grand
jury minutes, for which he Intended to
apply.
After leaving the courtroom Mr. Morse
went to his office and was soon in con
sultation with former business allies re
garding his tangled affairs. It was while
so engaged that news was brought to
him that another Indictment alleging per
jury had been found. For the moment
he had no comment to make. It was ar
ranged that he should appear tomorrow
morning to answer the new charge. This
course was decided on because Mr. Morse
is already under $2n,000 bail, and he signi
fied his willingness to appear whenever
wanted.
The perjury Indictment was based upon
a loan obtained last September by K. R.
Thomas from the Bank of North Amer
ica, of which Mr. Morse was then vice
president. In testifying before the spe
cial grand jury, Mr. Thomas told about
the loan, which was one of $10,000. Al
fred H. Curtis, then president of the
bank, also testified to the fact that the
loan was made.
Corrected His Testimony.
Mr. Morse, who had been before the
grand Jury, was recalled, and asked if
such a loan had been made. It Is al
leged that he denied that the money
had been loaned to Mr. Thomas. Mr.
Thomas was again summoned, and this
time. It is further alleged, produced a
letter which Mr. Morse wroto recom
mending the loan. Later Mr. Morse
again appeared before the grand jury at
h)s own request and, it is said, explained
that he wished to correct his testimony.
This he is said to have done, and the
testimony is said to have squared with
what bad been learned from other wit
nesses. It Is pointed out, however, that
the law is such that corrected testimony
(Concluded on Pag 6. J