When she said someone of a "lower station" Morgiah was referring to Cyndassa the kitchen maid in Daggerfall. Cyndassa wants you to go to a random dungeon in the game and kill a werewolf, but won't tell you why. When you have found and killed the werewolf, you will understand the reason for her request. After you have accomplished this, Cyndassa will tell you what she knows of the Emperor's letter.

After you have completed this quest, you may speak with Mynisera, who will send you on another of the main quests, "The Emperor's Courier".