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The Elder Scrolls III: Morrowind Hints
How can I get leverage on Pelelius?
1 of 7: Ask around in the Governor's Hall about him, and you'll find one person who can tell you something interesting.
2 of 7: Find Olumba gro-Boglar in the south upstairs hall and talk to him about Pelelius.
3 of 7: He'll say that Pelelius has been sneaking into the mine at night to steal ebony, and that the slaves in the mine would know about it.
4 of 7: So go visit the mine. Its entrance is just east of the mining company's offices and quarters, which are a short distance SW of Caldera.
5 of 7: There are several slaves in the mine, but none of them will tell you anything useful unless their dispositions are 55 or more.
6 of 7: The easy way to accomplish that is to get the key from the table on the top floor of the Mining Guard Tower (outside the mine) and set the slaves free. That'll really raise their dispositions up high!
7 of 7: Talk to one about "Cunius Pelelius" and then "smuggling raw ebony." That's all you need.