"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
[171] When McGushin refused to follow directions and give the
Pacific Gas and Electric Company an 85-cent gas rate,
Gallagher went to Ruef about it. At the trial of The People
vs. Ruef, No. 1437, Gallagher testified: "I told him (Ruef)
that McGushin was rather demurring at receiving the money, at
taking the money, and that I had told Mr. McGushin that he had
better go down and talk with Mr. Ruef. He (Ruef) said, 'All
right, if he comes around I will talk with him.'"
[172] The Supervisors who accepted money from Halsey, acting for the
Pacific States Telephone and Telegraph Company, to prevent a
franchise being awarded an opposition company were: Boxton,
Walsh, Wilson, Coleman, Nicholas, Furey, Mamlock, Phillips,
Lonergan, Sanderson and Coffey. The amount paid in each
instance was $5,000. Halsey promised several of the bribed
members from $2,500 to $5,000 in addition to be paid them, if
they remained faithful, after their terms had expired. The
money, the several members testified, had been paid to them by
Halsey in an unfurnished room in the Mills Building which had
been temporarily engaged for Mr. Halsey's use by Frank C.
Drum, a director of the Pacific States Telephone and Telegraph
Company. Examples of the methods employed to corrupt the
laboringmen Supervisors who suddenly found themselves placed
in a position of trust and responsibility will be found in the
appendix.
[173] This is the amount given by Ruef in his "confession." He
states that he received $25,000 when he agreed that the Home
Telephone Company should have the franchise; and $100,000 when
the franchise was granted. According to his statement he gave
$65,000 to Gallagher for the Supervisors; $30,000 he gave
Schmitz; $30,000 he kept himself. Gallagher testified on
several occasions that he received but $62,000 from Ruef. The
details of Ruef's confessions are not dependable. On Ruef's
own statement of the basis of division of this particular
bribe money among the Supervisors, Gallagher received only
$62,000 of Home Telephone money from him.
Public-domain text, read in full here on John Shaqi.
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