"The System," As Uncovered by the San Francisco Graft ProsecutionHichborn, Franklin
History
"The System," As Uncovered by the San Francisco Graft Prosecution
Hichborn, Franklin
Political corruption -- California -- San Francisco; San Francisco (Calif.) -- Politics and government
Ruef further testified that he was employed by the Pacific
States Telephone and Telegraph Company, immediately after
Schmitz's first election, through T. V. Halsey, and that Halsey
paid him $1,200 per month in currency without any receipt.
E. S. Pillsbury, general counsel of the Pacific States Telephone
and Telegraph Company, testified that he never heard of Ruef's
employment until after the indictments were returned against
Halsey, and that he, Pillsbury, attended to all of the legal
business of the company during the entire time Ruef was under
employment. Pillsbury received only $1,000 per month for his own
services, and testified that he would have objected to the
payment to Ruef of a larger salary than he was getting.
Pillsbury was a stockholder to the amount of $500,000 in his own
right, and was a member of the executive committee of the board
of directors of the company.
At the trial of The People vs. Tirey L. Ford, No. 817, I. W.
Hellman, one of the most prominent of California bankers and at
one time a director of the United Railroads, testified: "Some
five years ago (the Ford trial was in 1907, which would make the
date about 1902) Mr. Holland, who was then the president of the
United Railways, came to me to ask my advice whether Mr. Ruef
should be employed as an attorney for the United Railways,
stating that by employing him peace could be secured with the
labor unions, that he had great influence with them, and there
would be general peace, and it was to the benefit of the
railways company to have such peace. Mr. Ruef then was an
attorney of high repute, recognized as a good lawyer, and I said
if that could be accomplished it would be for the benefit of the
railway company as well as for the public, and I advised yes.
Whether he has been employed or not I do not know, because I
afterward sold my interest in the company and I never have
inquired whether he had been employed or not."
In this connection, it is interesting to note that Ruef in his
latest confession, the publication of which was begun in the San
Francisco Bulletin in May, 1912, states that his employment by
corporations as attorney did not begin until after the second
Schmitz election--that is to say, in 1903. Hellman's testimony
would indicate that his employment by the United Railroads dates
from 1902. Compare with footnote 77, page 74.
[8] Under amendments to the San Francisco Charter, ratified by the
Legislature of 1911, the Mayor and Supervisors are now elected
to four-year terms.
Public-domain text, read in full here on John Shaqi.
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