"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
A. H. Payson, for the Santa Fe, wrote that under his
instructions he "was not able to make a subscription for this
purpose in behalf of the Atchison Company."
[279] Mr. Ralston, in an interview printed in the San Francisco
Examiner, September 26, 1908, said of this incident:
"The true facts of the case are that when P. N. Lilienthal and
myself called on many of the banks and all of the public
utility corporations they came out boldly and stated that they
would not give one dollar while Phelan was Chairman of the
Executive Committee, or connected with the reception of the
fleet.
"Some of the banks that refused are the Crocker National Bank
and the Wells-Fargo National. Some of the other banks only gave
$100 when they would have given much larger amounts. They
disliked Phelan. Among the corporations were the Telephone
Company, the Spring Valley Water Company, and the Gas and
Electric Light Company. The Southern Pacific and Santa Fe
refused to subscribe and it is presumed their reasons were the
same as the other corporations.
"When I learned the true situation," Mr. Ralston went on, as he
widened the mouth of the bag for the certain escape of the cat,
"I went before the Executive Committee, at a meeting at which
Mr. Phelan was present, and guaranteed the sum of $25,000 more
if Mr. Phelan resign or step out. I even went further and said
that besides guaranteeing $25,000, I felt assured that the sum
of $50,000 could be easily collected if Mr. Phelan would drop
out. This Mr. Phelan refused to do. These matters all came up
in executive meetings."
In this connection it is interesting to note that at the 1914
election in California, Mr. Phelan was elected to represent the
State in the United States Senate, while Mr. Ralston was
defeated at the Republican primaries for nomination for
Governor.
[280] See Chapter III.
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