"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
The "justness" of this contention appealed to all. A compromise was
finally arranged, under which those who had stood out to the end against
granting the Home franchise, should receive no part of the Home
Telephone bribe money; those who had received $5000 from Halsey but
finally voted for the Home franchise, were to return $2500 of the $5000
to Halsey, and receive $3500 from Gallagher, making the total of the
telephone bribe money for each $6000; those who had received nothing
from Halsey were each to be allowed $6000 of the Home Telephone money.
In this way each Supervisor who had voted for the Home franchise would
get $6000 for his vote. In the case of four of the Supervisors the
entire $6000 came from the Home Company. Gallagher, too, was one of this
class, all his compensation being Home Telephone money. But Gallagher
received $10,000. Eight of the Supervisors had received money from
Halsey, and yet voted to give the Home Company its franchise. These
received $3500 Home Company money from Gallagher and were allowed to
keep $2500 of the Pacific States Telephone and Telegraph Company money
that Halsey had given them. Thus the Pacific States was forced to pay
the Supervisors part of the bribe money they received for granting its
rival a franchise. Incidentally, some of the Supervisors did not return
half the $5000 to Halsey. But this is a phase of the ethics of bribery
upon which it is unnecessary to touch.
Ruef regarded this unique discipline of the Pacific States as just
punishment for its offense of trying to buy his Supervisors away from
him.[177]
Following the telephone bribery, came that of the United Railroads to
secure the much-opposed over-head trolley permit. On account of this
permit, Gallagher testified, Ruef had given him $85,000 to be
distributed among the Supervisors.
Of this $85,000, Gallagher kept $15,000 for himself, gave Wilson
$10,000,[178] and to each of the other Supervisors with the exception of
Rea,[179] $4000.
Gallagher's testimony relative to the offer of a bribe in the matter of
the Parkside Realty Company franchise was quite as explicit. He swore
that Ruef had stated to him there ought to be $750 for each Supervisor
in this. Later on, with a change in the proposed route,[180] Ruef had
told Gallagher that the amount would be $1000 to each Supervisor.
Gallagher had conveyed this information to the Supervisors. At the time
of Ruef's flight, arrest and the attending breaking up of his
organization, the Supervisors were impatiently waiting for this money to
be paid.[181]
Public-domain text, read in full here on John Shaqi.
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