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Show DAUGHERTY AND FEWER ACCUSED x IN IjSE CASE Senator Caraway of Arkansas Arkan-sas Produces Papers Purporting Pur-porting to Involve Attorney Attor-ney General in "Deal" DECLARES $25,000 RECEIVED IN FEES Irate Democrat Asserts Head of U. S. Justice Department De-partment Still Has Connection Con-nection With Old Partner VAPITlNTiTON. May 20. inv A. I. Commtinlratimis purported to have pnofrt hotwfn Attorney (leneral Tiitfherty, Thcmns n. Kcldor, former Oeoria attorney and (hnrles W. Morse, New York ship hutldrr. were presented In the senate today by Senator Sen-ator Caraway, Pemoerat, Arkansas. In support of his previously mode charges that Hie attorney general was closely connected with th release of Morste A from Atlanta Federal l'enltentlnry. In 3Itl. One of the documents offered by the A rkans.is senator, wan a photostatic copy nf r contract aliened to have been sinned by Kelder and Morse under which the latter aurceij to pay Mr. lftiiKherty, then a practicing attorney in Columbus. Ohio, htm! Kelder f'.'VOftO for obtain In a; bis pardon a nd releaw from t lie Atlnnta prison. Aimlher was a p.irp'-rted tetter from Mr. IHiiKherty to tin New York ship builder and former for-mer banker making an entcanement to dlsrus payment of a "balance" uf i lepal fees. STILL HAS RELATIONS. j Senator Caraway, after presenting? i the documents, declared the attorney1 general still was havlnif relations with Kelder and added that Mr. Duaherty lift 1 requested Kelder to employ as his aMtdstunt In defending- the Bosch Magneto Mag-neto company In the pending Investigation Investi-gation into the company's affairs. H. 1.. Seaifp. who recently was discharged from the department of Juat ice, fop alleju'd ilisloyalty to the department. Mr. Ci away described Scalfe as jthe R'lvernmei.t s chief witness against "ihe H"ch comp'iny. The Aikunwia senator then proceeded proceed-ed to tell the senate that in the lifrht of ihene matters "there N only one decent thinif fr the attorney general to do t:uU is to resign and not em-i.n em-i.n ; the nd nil nUtr.it Ion any r.ir-t!ier." r.ir-t!ier." CAME IN WRANGLE. SubmiMiiin of the documents produced pro-duced by Senator Cam way carne tn i the innlnt of u wran'le over the Morse f iiin.', In which a doxen senators par- th ipated. and In which Mr. l.nmherty WriH both attacked and defended. Kelder Kel-der also was attacked and Scatfe was describe,! til the couTMe of the rumpus an a man of hlKh character and one w ho did not need to depend upon a K overtime nt salary for a tivllhood. The letter purportinic to be from Mr. I.augheriy, to Mr. .Morwe was dated April 191 S, and said that Mr. Iianxhcri y had teleurnphed I 'elder tu nie't him In New York early the following fol-lowing week In connection with the payment of a "balance' due tu their legal services. COPY OF LETTER. "I enclose herewith a copy of the b tt. r setting forth the contract ou made of AiiKuat 4. with Mr. 1-'elder for his services and mine," ihe letter added, "You will observe that was a balance due of $7&.00, when you weir commutted. I also hand you ii copy of a paper you handed me In th" prison spme time after that time, and 1 havetoday. anked Mrs. I aug lien li-en y to send to you by express the' pa pern which 1 got from Harry and others from lime to it mo. which you j spoke to me about." The reference to "Harry" in the' letter. Mr. Caraway said in submitting I the copy, was to Harry Morse, sou of ' the ship builder. The contract which Mr. Caraway laitl before the senate began with a statement concerning 'the employment of the Hon. H. M. Daugherty and myself.' my-self.' and was alaned, the cenator said, by Mr. Kelder and "accented" by Mr. ' Morse on the day It was made, August 4. 1 it U . A postscript to the contract letter was to the effect that It could be terminated by Mr. Morse upon ten davs' notice at any time after January 1. 1!12. DETAILS OF CONTRACT. The contract Kpecifled that Mr. Dauirherty whs to receive a "retainer" .rf $yiMu and actual expenses, "in-, curred by him In looking after your matter. Kxpcnses not to exceed ', $moo." ; .Mr Peltier, however, according to j the contrai l, was to-pay his own ex- : penses. ! j "You are to direct counsel hereto- j fore employed," the copy submitted by Mr. Caiaway continued, "to withdraw I our appeal in the hattcas corpus pro-j ceedlng heretofore Instituted. We re to receive, in the event we secure an unconditional pardon or commutation for you. ihe sum of $25,000 which Is to be In full compensation for services rendered in connection with your application ap-plication for pardon. We are to receive re-ceive twenty-five per cent of whatever sums we recover by compromise or litigation In the matter of the Metropolitan Metro-politan Steamship company." ABSOLUTE CONTROL. It was stated also In the contract k that the attorneys were to have "ab- VaV' solute ccntrol of all matters connected, with the case. Mr. Morse, reserved only tha right to -np prove of additional I (Continued on page 2.) , DAUGHERTY AND (Continued from pago I.) counsel should it have been necessary to employ others. After the rileouaalon concerning the letter and contract. Mr. Caraway Informed In-formed the senator that he was In puS-I puS-I session nf some other documents which "Mr. Daiighefty won love" and promised to make them prosecute the attorney general vigorously preses the war fraud Investigations and pro.ru-tong pro.ru-tong by going Into court himself The Arkansas senator declared that if Mr. i Ouugherty was joking when he made J ihe 'threat" about going Into court personally he baa the opportunity now to make good. He added tha' he would give the attorney general a Utile lltu.- "to ni ike go. id" and ...I ns. il i . senate that it had not heard the end of the iase. |