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The sun. (New York [N.Y.]) 1833-1916, August 12, 1913, Image 2

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lous aspersion lit the Governor mid Ills
high olllee.
i:vni If I inn his only champion, i
propose to speak out I'crltsips he has
nut made h kuiti ns Governor. Iiut he
ileMrYt fiilr tt catmint, mill must have It.
If ho has IM other ibamploii lull myself
lit- shall have It l
."Wo inn not concerned will" William
Hi'ilzcr tin- tniiii. but wc liro concerned
with tho dignity of our State and Us,
Legislature, and must rigidly adhere to
the Constitution mill the Weill require
ments. I say that the Gland .'my linn
the power to deal with tills mail If lie 1ms
done wiong. after' a fair Investigation.
I'm nut satlsMcd that the Frawley ctn
mlttee inadr such Investigation.
lleliontlreii tin- fuliiniHtfe.
"It has Investigated solely the conduct
of tho Governor of no other otllclal. .
This alone IiihiiiIs Its wotk us vicious mid
tinfnlr. In sober second thought we real-1
lie Unit this Is the same Legislature that
refused to Impeach Senator Stllwelt and
Justice Coh.ilan mid their conduct was a
worse hlot on the State than that of
liov. Sillier. I'crhaps we are justified In
thinking that the I." glslatuto did no
thinking In elth r ease."
.Mr. lllnmali s.ild th re whs the gravest,
douht as to wheth.r or not the Legisla
ture nt this extraordinary session has,
the Impea. hlng power. Another point
he made was that under the law Impeach- 1
inellt call only he brought about for vyll - '
fill iiilsconduet In oilier. The misconduct ,
nll.ge.1 bv the Krawely . unnnltti e, h"
said, tool; place hefore Mr. Sulzer 1-1
came liovernor, I
The Govciu.tr." .belated Mr. lllmnaii.
"cannot he Impeached on the evidence thus
far brought forward. This Assembly ,
should act only after dignified and ado-,
iuate hearings, aft-r due icsearch Into
the law and litecedeiits. 1 thclcf.iro tnoV" ,
i .it-n this report. I
Ullll III.... ...... .
mneiid .Mr Levy's motion and nk that
the tcpott he metel read and placed on
The tinv ernnr Assailed.
The Assembly heard Mr Hmniati In at-
...r,.U-.. l1n.,i.,, Tllele VV.1S I1U detllOIISt ra
tion when he Mulshed. Mr. Cuvllllcr. .
Democrat, of New York. Immediately;
lieB.m a duiunclallon of Gov. Sillier.
"Didn't Mr. Sulzer walk In darkness,
he said, "when he went Into Wall Street
and gambled with campaign money? He
violated the corrupt practli.es net In fall
ing to make a truthful statement of his
campaign tccclpts and he forfclt.il his
"We can tolerate crooks In some places,
hut not In Ihu Governorship of New
York. William Sulzer has fooled the
people and disgraced the State of New
York, and I say that the Assembly should
Impeach him."
Mh. Cuvllllcr sat down exhausted and
Hill the Assembly chamber was as quiet
as a farm at midnight.
Mr. Sehaap of New York, one of the
five I'rogresstvcs In the Assembly, gravely
pointed out how- serious a step impeach
ment would be. It had never been-attempted
before ngalnst a Governor of
this State, he declared.
"Tills contemplated uctlon," lie said,
"would be the most serious In the history
of New York. For the honor of our
beloved State I beg you to put over this
nutter until you hae at least read the
record. On Its face It looks bad. but that
Is nil the more reason why we should
be careful why this thliiK should not be
Jammed through."
filtilm Speaks for Milsrr.
Louis D. (Jlbhs. Democrat, of The Bronx
next took up tin Governor's cause. It
was his speech that stalled the cheering.
Mr. Glbbs said that tho Assembly would
disgrace the State by rushing through
an Impeachment icsolutlon.
"It Is n dlsKraeeful condition of af
fairs." he Mild, "If wc adopt Mr. Levy's ,
resolution at a moment's ntolce. It is
not fair to i lov. Sulzer. I
"I hold no brief for Mr. SuUer, but I I
do for the (.'otjHtitutlon. If he i to be
made the victim of tyranny and !alltlc.il
despotism let's do It with the forms of
law at lent. Let's pretend to be fair If
we aren't really so. It Is the most ex
traordinary thine In our history that
the chief oltice of the greatest State
should be sacrllleed without even the
formality of an lin estimation
"I don't know whether Mr. Sulzer :
culltv or not. hut I do protet to the
majority acalnst ueli uiidu haste as Is
attempted here to-nlKht This Krawley,
report Is colored and stained with fr4u I
dice In every line. I aik every man who t
loves Justice and falrnes to respect -it i
least the dignity of the Governor's olllee I
and to give him a .-"iiuto deal. He Is,
entitled to It " !
At last the cheen. They Interrupted I
Mr. Ulbb. Speaker Smith swung hit,'
gavel. When the room was unlet again
he drly remarked . ;
"I hope that the iltnr will not abue
th privilege of this chamber." I
T. K. Smith. ltciuhllean. of Onnnduca,
declared the House hhould not go blindly
or wildly Into th" consideration of the
Krawley report and that he would not
vote to Indict nn one without tlrst having
an oppoitiinlly of readimc the proofs.
"V are not eipiiMdertm: Impeachment."
pointed out Majority Uuder Levy. "The
(lUetlon now Is the adoption of this re
poit, and there Is no basis for the oppo
ultlMii manifested at tills time. This re
lort makes no recommendation except the
-punishment of (ontumaclous wltneses, on
of whom M an emi'loyee of the Goernor.
lllnman'M Motion nefente.L
By a vote of ayes SI, noe TO, the As
nembly defeated Mr, Itlnman's motion that
the report ! lecelved and placed on file.
Then Mr. Yard's motion that the rexrt
be received and adopted was carried
nyes Co, noes 3d.
Majority Leader Levy then offered the
impeachment icsolutlon and Its considera
tion finally was rieferied until to-morrow.
"This Is tho beginning of a new epoch
In our sovereign State," said Mr. Levy In
defending the resolution.
"I think thu house should not act on
this resolution for at least a week," de
clared Minority Leader lllimi.in, and Mr.
Sehaap agreed with him.
"It li an Insult to this house to offer
tills resolution for Impeachment In this
hurried manner," Mr. Schuap Insisted.
"Don't drag down the honor of the Slate
In the dust In this maimer."
"Public sentiment will overwhelm tho
party which Is responsible for tills po
litical crlelllxlon," nsxertcd Assemblyman
Glbbs. "Wc cannot digest this report ami
evidence by morning. You have the brute
power to accomplish your ends but retri
bution will follow- Its abuse In such u man
lier as this."
ilmi Itellren Quickly,
The Senate session was not called to
order until ! :.".' o'clock by Lleut.-Gov,
Martin II. Glynn, and he Immediately re
tired after calling to the chair Senator
Kobeit F, Wagner, tho President pro
tern. . ,
At tho outset Senator Wende, Demo
ci at, of Buffalo took up the battle on
behalf of Gov, Sulzer, questlonlUK the
Journal of July 2.1, the date on which
Gov. SuUer holds there was not u quorum
present, and that In consequence the Sen
ate had no legal right to participate In a
Joint resolution adjourning tho Legla
lature to to-lilght.
"I would like to know whether that
Journal shows whether tln in was u quo
lum present," said Senator Wende. "
would like to havu the wholu record nail.
I want to know tho nanus of the Senators
who were present nt that session."
When Senator Wagner poinUU out that
Senator Weudo could make any correction
ho wished, Mr. Wcndo again asked that
thu Hat of Senators who wern at tho ses
sion bo read and was Informed that no
low roll all was taken at tho session.
Sit that the point of "No quorum" was
raised unci that therefore tho Journal
ood as showing u quorum present. Sen
ator Wendo then asked that htn Journal
b corrected to show that he made a sine
dio motion and lie was told I hut -the Jour
nal did show that this motion was put
and lost.
Senator Duhamel, Democrat, of Kings,
thtn Joined Issue, but when he attempted
to put a motion, Heimtor Hlauvelt, Demo
crat, of Ilockland, mado a j)lnt of order.
Senator Duhaaiel cuaufed bit motion V
one of personnt privilege and was quickly
ruled out oforder for not holding to his
point , Senator Wagner sending him to
his seat with n sharp rap of tho gavel.
Tho only business to come hefore the.
Senate was tho leport of a hill from the
Assembly providing for a bridge over the
Oswego Itlver, Then came the submis
sion of the report of Senator Frawlej's
I'pon not a single occasion this year
have the galleries and lloor been so
crowded as lliey were to-night. The en
tire icport was read, the thirty-four Sena
tors present, twenty-four Democrats and
ten Itepiibllcnns, and the crowds In the
galleries, holding their silence to the end.
A hum of conversation then swept over
the chamber In tho expectation that the
Semite would proce.d lit once with
another mmo toward Impeachment pro.
II una me! 'a I'lea.
Senator Duhamel thought that the Sen
ate should proceed to the consideration of
the reirt with deliberation, pointing out
that It was founded irpoti ex parte testi
mony and asking Senator Frawley If
counsel appeared on behalf of Gov. Sulzer
to examine witnesses and bring out the
Governor's sfde of the controversy,
"No," replied Senator Frawley, "the
committeu examined witnesses only for
tlie purpose of ascertaining If the facts
called to our attention were truo and to
see If the funds given to tho Governor for
campaign iurses were so used. There
was no need for counsel other than on le
half of the committee, which followed
plecedent In tills respect. The committee
makes no recommendation and there Is
notlilus contained In this report which Is
not In the evidence taken by the commit
tee." "This report reflect on the honor of
the State and it would seem that the mem
bership of the committee was arranged so
as to give honest and Just findings." said
Senator Duhamel.
"No man In this State," Interrupted
Senator Frawley, "Is inure friendly to
Gov. Sulzer than I am."
A roar of lauzhter swept over the floor
and galleries at this statement from Sena
tor Frawley and S. tutor Wagner after
vainly rapping for order for a moment or
two threatened to clear the chamber of
all but Senator If It was repeated,
Frnvrlcj'a llrtort.
"When Senator Duhamel makes the
statement that this committee was con
stituted to crucify any one," continued
Senator Frawley, "he makes a statement
that Is not true. My record heru of
twelve years shows thut I never Joined In
any effort to crucify any one, because
1 have been attacked myself No mem
ber of the committee raised a linger
to harm a single Statu otllclal. We only
sought the facts. It Is conceded by the
newspapeis that the committee gave a
fair hearing to every one. We prohibited
hearsay evidence which would scandal
ously hurt any one."
"Does the evidence bear out the state
ments made In the reinirt?" asked Senator
Hlauvelt of Senator Duhamel.
No doubt It docs," answered Senator
Duhamel. "but there are always two sides
to a question, and I want this report sent
bark to the Frawley commltteo to gut
further evidence on thise questions." '
"Senator Duhamel apparently doea not I
understand the hltuatlon," Interrupted J
Senator Pollock, Democrat, of Manhattan, j
"The Frawley committee Is to continue .
the taking of evidence. This Is but a
preliminary repot t deemed necessary be-
cause of the gravity of the sltuntlon. Sena
tor Duhamel should not thus disclose his .
prejudice In the matter, as he may be ,
called upon to act as a judge later.
"I am not satisfied with the evidence
thus far adduced." persisted Senator Du
hamel. "I want more evidence taken '
from the Governor's standpoint If we are
to have Impeachment proceedings."
"The report of the committee." Inter
rupted Senator Frawley, "does not recom
mend impeachment. It simply reports ,
the facts to the Legislature, which is to
determine whether any action shall be I
taken or not."
"We have a very solemn duty to per
form here," said Senator Foley, who rep
resents t'harl.-s F. Murphy's Senate dis
trict, "and the Senatont should remember
they are likely to be called upon to act
as Judges In this matter and not go Into
the met its of the case now. There has
been no contradiction or explanation of
the testimony taken before the Frawley
committee although opportunity was
offered for both."
At the Instance of Senator alters.
Hepubllcan. of Onondaga, who was acting
in It. publican leader in thu absence of
Senator F.Ion It. Ilrowit of Watertown,
the report was rerelved and ordered
printed, and will In- taken up after It has
lieen placed on tho desks of thu Senators.
The Senate then adjourned until 11 o'clock
to-morrow moining ujwn the motion of
S. nator Frawley.
The Senatois were leaving their sentJ
when Senator Wendo attempted to Intro
duce a resolution providing for the ap
pointment of a committee of the mem
Ih is to Investigate the session of .Inly 23,
when it Is charged that a quorum was not
pi cent.
Senator Wende lint when Senator Hlau
velt made a point of older on the motion
for adjournment being already before the
House. Senator Wende asserteir that he
would Introduce his resolution.
Corrupt Practice Association to Con
alder Xnlser Case.
There will be a conference this week
between Scth Iaiw, president of the
Corrupt l'ractlces Association, and Will
lam Church Osbom, Us treasurer, to dis
cuss whether or not the association will
attempt to have Gov. Sulzer Indicted. The
association may take such a step, al
though the matter has not yet been oft
tlclally discussed.
The association, which works for tho
enforcement of the corrupt practices act,
has two methods of procedure, said Mr,
Ostsun yesterday. One Is for Indictment
and the other for Inquiry. Tho latter
method has generally been adopted by
tho association.
"At present the Kulzer case Is In the
hands of the legislative committee," said
Mr. oshoru, " and until it completes Its In
vestigation It would be presumptuous on
the pnrt of any other organization to statt
Substantial Reductions
provide many tempting bargains now, if you are
in need of light-weight suit or outing garment.
$12 50 $15 & $17
( for 2-piece and 3-piece Suits reduced $3 to
' $10 from prices that were already moderate.
The best seersucker office
Salient Features of Frawley Report on
Which Action Against Sulzer Is Asked.
llio Frawley committee reports that the evidence (shows:
That Stilzer's (worn ptntement of hln campaign receipts unil expenses
is false.
That Stilzor knows tluit It is false by the concealment of contributions
in the Sareoky account and in his personal bank account.
That Sulzer diverted campaign contributions for I ho purchase of
stocks and speculation in them.
That Frederick L. Colwcll acted as a dummy for Sulzer In stock trans
act ions. '
That Stilzer's bank deposits of currency and stock purchases with cur
rency between the time of his nomination and election as Governor arc
Bravely suspicious.
That Iih pressed h'Kislalion against tho New York Slock Exchange
which would affect stock prices at the time he was speculating in stocks.
That Sulzer has used the power of his olllee to punish legislators who
opposed him by vetoing legislation enacted for the public welfare.
That the public Interests demand somo action in Stilzer's case.
After reporting that its investigation Is not completed, but. that the
revelations already mude demanded tho immediate attention of the Legis
lature, the committee recommends that Sarecky and Colwcll be punished
for contempt in refusing to testify.
Continued from Flrsl 7'opr.
posit In the Mutual Alliance Trust Com
pany at 35 Wall street. New York city.
There was also produced before the
committee at Its Hist hearing on this
subject a check for :.."0o for Jacob H.
Schlff's campaign contribution to William
Sulzer, signed Kuhn. Loeb fi Co., to the
order of said Sarecky, likewise deposited
by said Sarecky In said nccount In the
Mutual Alliance Trust Company.
With these facts and this evidence be
fore It, this committee, on July 30, ISli.
called the said Sarecky to the witness
stand, who, after being duly sworn, ad
mitted that for yeatM ho had acted as
eontidetitial secretary to William Sulzer,
but refused to answer any questions rela
tive to the campaign statement of Wlllam
Sulzer or to any campaign contributions,
or to deposits In the Mutual Alliance
Trust Company, and It Is and was the
opinion of your committee from the an
swers of said witness and his demeanor
on the stand that his rcfual to testify
whs nt the Instance and dlicctton of
Gov. Sulzer.
it further appeared at the said tlrat
hearing on this subject that a campaign
contribution of J500 in aid of the cam
paign of William Sulzer from Abraiii I.
Klkus, represented by this cheek to the
order of William Sulzer, had been re
ceived and personally Indorsed by the
said Sulzer and deposited In bis account
with the Fanners Ioan and Trust Com
pany, In which company the said Sarecky
admitted that William Sulzer had for a
long time had an account
At a subsequent hearing it appeared
that the deposit slip accompanying said
check when deisisltcd In the Farmers
Iaiiiii anil Trust Company was also In the
handwriting of William Sulzet. Neither
the Sclnff contribution nor the Klkus con
tribution waa Included in the sworn
statement of William Sulzer dated and
Verified November 13. IMS
I'pon these facts the committee pro
ceeded to have u further hearing in the
icuy- oi ,ew i oi k, hi w men iinie mere
-i - ... ... .... ... I..,.
: was produced a true transcript of the ac
i count of said Sarecky In the Mutual At-
l.incH Trust Conn.ai.v- and a true Iran,
scrlpt of the account of said Sulrer In
the Fnrmers 1-oan and Tiust Comt.anv.
according to the original books of uc-
count of thai aald trust companies.
Th- arrck- Account.
Ity the transcript of the Mutual Al
liance Trust Company It was proved that
the total amount deposited during the
IK-riod of the campaign in the account
0f L. A. Saiecky. and evidently for cam
l palgn purposes, instead of being l."i,tt0
I was tl2.40S.93 , and William Sulzer not
only knew that Sarecky's account con
tained his campaign contributions or some
of theoi, but authorized their deposit
therein, hs Ih shown by a letter signed
by said Sulzer, dated October 22, 191'.',
and addressed to the Mutual Alliance,
Trust Company as follows;
".Wudiul .1 Jhuticc 7'nt.iC Coiapiniy.
"October :2. 1912.
"Glnti.emkn : This Is to Inform you
that I have authorized my private sec
retary, L. A. Sarecky, to Indorse my
name on any checks donated to my cam
paign fund and to deposit same to till
credit. Very truly yours.
Wll.l.lAM Sui.zmi
Th. nrtc-tnni ,tnnn ! ir. ' i, iih .i,.. i,...rency Jio.opn, anil oil December Hi. 191S.
tual Alliance Tiust Companv for said
period weie also produced before vour
committee, and Instead of showing 'that
contributions had been received from
nlxtv.elcht nersons. HBL-recatlm; In amount
$M0. the fact was that theio had been
deposited ninety-four checks from vari
ous contributors, together with a sum In
cash or currency of between $1,000 and
At this same hearing there was nisi
produced before your committee a personal
check for campaign contributions by
William F. MrCnmus, then chairman of
the Democratic National Committee, for
tCOO to the order of William Sulzer, there
after deposited by Saiecky In tho Mutual
Alliance Trust Company and not reported
by William Sulzer In his statement swo'ii
to November 13, 1912.
MorBcnthau's Check.
There was further produced nt said
hearing In New York city a check by
Henry Morgenthau, then chairman of tlu
finance committee of the Democratic Na
tional Committee, for 1 1.000 to the order
of William Sulzer, which check was In
dorsed personally by William Sulzer. and,
coats ever offered at $ I .
although a campaign contribution, was
deposited by him. accompanied by a de
posit slip In his own hatidwi Itlnu, In his
personal account in the Farmers Loan
and Trust Company.
Thereafter there was produced a full
transcript of the Farmers Loan and
Trust Company's account of William Sul
zer from September 1. 1912, to January
1, 1913, with tho ntlgln.tl deposit slips,
from which It appeared that the amount
of deposits between said dates to the ac
count of William Sulzer was I24.3D.1 31 .
that on October S and 10. when William
Sulzer was In New York city, he de
posited In checks and currency In said ac
count the sum of $7,'jon. of which amount
the said Morgctithaii Jl.noO cheek was a
part, that on October 1!. 1911. diirln,;
the campaign, William Sulzer further de
posited currency nmountltig to '.',50i) mi 1
a cheek for ILOOo, anil further on De.
centner PS, IS and 2S, 1912, he deposited
IS.lou In currency all In said Fartnci
Loan and Trust Company.
Your commltteo further reports that
having received authentic Infoi m.itlon
that William Sulzer had used campaign
funds for the purpose of buying securi
ties or speculating on margins In Wall
Street, some of them being carried on
In the name of Frederick L. Colwcll. a
personal friend, ns a dummy for Sulzer,
It attempted to have produced the books
of account of two brokerage firms In
New York city, namely, Messrs. Harris
Fuller and Fuller & Gray, and also sub
lrnaed the said Frederick L Colwell to
The KlneU Accounts.
That thereupon at tlrst the firm of
Harris & Fuller, or the members thereof,
refused to produce their accounts with
William Sulzer and Melville II. Fuller
of said Arm refused to answer any ques
tions as to said accounts, and In like
manner Frederick L. Colwell refused to
answer questions ns to any account of
stock transactions relative to or con
nected with William Sulzer.
It further appeared from the answer
of said witnesses, their demeanor on the
witness stand and from authentic Infor
mation ill the possession of the commit
tee that they o refused to answer ques
tions at the Instance ami request' of Gov.
Sulzer and that Fuller had had an Interview-
with Gov. Sulzer in Albany alter
being served with the tihspna, at which
Interview It was demanded bv Gov Sul
zer and agiee.l that said Fuller MmuM
refuse to give any Information respecting
said account
That thei carter the said Fuller was
inreaieiiea who inn ihiumhmi i r riitifetn.il '
: . " . , , . , , .. I
" ln" '.egisiaiure. aim iinaiiy appear.-.!
at a subsequent bearing anil produced a
transcript of tile account of illiam Sul-
, zer- which account, for the purpose of
, keeping its existence secret from other
customers or me iirtii. was Known, num
bered and designated as account t'.J. This
j account shows that William Suler was
rarrylng on margin in the said ofllce of
said brokers :
Five hundred shares of C, C, C. and
St. U (Dig Four) stock.
Two hundred sliaies of American
Smelters and
one hundred shares of Southern I'a
elflc. Ilrht to llrokrrnur I'lrm,
And that on January 1, 191;, while
the said Sulzer was chairman of the For
eign fTairs Committee u,e House of
Representatives and a member of said
House he owed the tlrm of Harris A
Fuller HS,i'.i9.38 on said speculative nc
count. 11 fiutber appears that after his elec
tion as Governor the said Sulzer paid by
deposits of cash or checks on his d.bt to
said Harris & Fuller the sum of Jll.noo.
and we cnll attention to the fart that
November IS, 1!M2, he paid them In eur-
he paid them In currency Jfi.noo. although
no"c these sums wete drawn from the
Farmers Loan and Trust Company,
within two weeks after his lection, on
1 That 111 the month of June. 191.1. Gov
, Sulzer was being continually requested by
Harris - Miller in make payment on ac
count of his maiglns, which had become
very weak, and be was untitled cither to
pay or to take up the account ai d ttnnsfer
It to some one else, with the lesult that
on July 1j. 1913, Lieutenant-Commander
Louis M. Josephthal paid for the said
Sulzer the amount then remaining due of
t26.739.2L That said .Ios.phth.il is a
member of Gov. Sulzer's military staff,
j being the only member of Gov. Dlx s staff
,w'ho was retained by Sulzer.
i There wns further pro.luc.il before your
1 committee under subpiena n certain nc-
I count of Frederick 1.. Colwell, the friend
' and dummy of William Sulzer above re
ferred to, with the tlrm of Hoyer, Oris-
wold ft Co., brokers, of New York city,
wherefrom It nppiaied that on the Kith
day of October, 1912, during the cam
paign the said Colwell bought outright
2011 shares of C C C and St L. stock,
commonly known as Itlg Four, for the
sum of tl2,i2., and that said Cnlyvell
paid for said stock on that day with the
following funds:
Check of William Sulzer, 9ftu.
Check of Theodore W. Myers, Jl.oOO.
Check of John Lynn, f MID,
Check of Lyman A. Spalding, 5100,
Check of Ldwatd F. O'Dwy.r, 1100.
Cheek" of John W. Cox, J300.
Cheek of the Flank V. Strauss Com
pany, 11,000.
Check of John T, Doollng, tl.OOO.
Ciiirencv, 17.12a.
Total, $13,02.-..
The evidence further show. .1 that the
check of William Sulzer for J900 was
dtawn on the Farmeis Loan and Tiust
Company' account ubove lefeired to and
no one call doubt but that all of the
checks were for campaign contributions,
especially as Spalding testlhe.l that his
check was given for that specltlu purpose,
and that It went In with other checks
contributed for campaign purposes by
members of the Manhattan Club.
The committee had produced hefore It
another account for tho purclian of !oo
1 allured of lilg Four stock from the tlrm of
i Fuller & (Stay, paid for by tll,s2lj In cur
. icncy between the twenty-first and tlilrtv
j first days of October, 1912, during the
I campaign, this nccount Udug known as
I No. BOO, for the purpose of concealing the
ract that the account belonged to William
Sulzer, and this stock waa delivered by
devious ways to the dummy, Colwell, who
met the messenger by appointment at the
Nassau National Hank In New York city.
. This same Colwell when again villi-
' nn,M.w..l ,. -.. .!,.. hnurUn 1 1
I"."""" .",. M.lltl.B OIIVIMK
refused to testify as above stated failed
to appear when his name was railed and
Ih now In contempt of the I'g1slatuie,1aa
Is also the former confidential secretary of
William SuUer, Louis A. Sarecky.
The' fordoing la ummaxy of tho
salient facts and evidence In relation to
campaign contributions and the conver
sion thcieof, and one of the most sig
nificant featlitcs of this evidence aside
from and In addition to the large checks
received for (-ampalgii purposes mid not
accounted for In the sworn statement Is
the large amount of currency which Will
iam Sulzer had and used In the purchase
or protection of stocks during the time
months lietvvcen tho day that he was
nominated and the day he took olllco ns
Uovernor, namely:
October Hi, 1912, for tho purchase of
Ulg Four stock, t".!25 In currency.
October 21 to 31, 1912, for tllo purchase,
of Illg Four stock, $ll,s23 In currency.
October f. 1912, deposited In tho
Farmers Loan and Trust Company, f l.tou
In ctiriency.
October 12. 1912. deposited In the
Farmers: Loan ntid Trust Company 12,100
In currency.
Dicembef IS, 1912, deposited In the
Farmers Loan and Trust Company tl,100
In currency.
December IS, 1912, deposited 111 the
Farmers. I.ati and Trust Company tl.OUO
In cuireiicy.
li.ccinber 2,t. 1912. deposited In the
Farmers Loan and Trust Company 53,000
In currency.
November IS, 1912, deposited with Har
ris . Fuller $10,000 in currency.
1. cember HI, 1912, deposited with Har
ris fi Fulbr $i!,ooo In currency.
Total between nomination and Inaugu
ration M3.950 In currency.
Your committee leaves to the Leglsla
tuie the Inference to he drawn from thu
possession and use of this currency.
(lot crnor's tttltii.l el rlllelf e.l.
During the time of these hearings
and investigations William Sulzer. as
Governor, has done everything In his
power to withhold tho truth and obstruct
the production of evidence ulid the couise
of Justice. At his Instance und direction
both Sarecky. his secretary: Colwell. his
ilunmiv, and Harris & Fuller, his brokers,
have lefused to testify befoio the com
mittee. His Influence In the promotion of Sa
recky to nti Important and lucrative po
sition In the State Hospital Commission
as deportation agent substituting an In
experienced .voting stenographer for an
experienced physician In that position- -could
only be a reward for Sarecky's si
lence In protecting the Governor from
damaging disclosures.
Gov Sulzer made n fale public state
ment when on July 30. 1913. he said that
he was away campaigning and that he
did not know of the campaign contribu
tions omitted fiom his sworn statement
The Klkus check was Indorsed by Sulz."r
personalty and h- acknowledged the letter
of Klkus transmitting It as a campaign
We submit to the LeglslntUte that It
was false when William Sulzer swore
that he had received only 13.460 of cam
paign contributions and that he did so
with full knowledge that he had received
an amount many times that sum and had
converted the same to his private uses ;
that he used contributions given to aid
In his election for the purchase of stocks
In Wall Street, which he or his agents still
hold ; that he has been engaged In Hook
market speculations at the time that he,
as Governor, vvas earnestly pressing legis
lation against the New Yoik Stock Kv
change, which would affect the business
and prices of the exchange : and that there
was evidence before this committee to sus
tain a finding that as Governor he has
punished legislators who optosed him by
vetoing legislation enacted for the public
welfate and has traded exts-utlve approval
of bills for support of his direct primary
und other measures.
Hell. mid for I'lioUhl.lellt .
We submit to the Senate and As-embl
that the farts above stated are sufficiently
serious in character and are so violative
of the laws of tills State and the rules
f tltn.-ss for and i. mduct In high olllee
that the public Interests demand s,.in
action In icfereiice thereto whethet
through the exercise of power" of the
Legislature or by refevrrlnc the facts and
evidence t.i other duly constituted ottlcers
charged with duties In respect thereof.
There is In the possession of this nml
tnlttee further authentic Information of
other similar evidence In respect to the
subject of this report, as sttotig In quality
and In the large amounts involved as that
on whiih sworn testimony has already
Iwell given.
This committee, therefore, has not com
pleted its Investigation either on tins
subject or others coveted by the resolu
tions un.br which it is acting, but It has
felt that the revelations set fortli In this
report ami the testimony accompanying It
should be bioilght to the attention of the
Legislature at once without awaiting a
final icport cither on this or other sub
jects The questions here Involved are vital
to clean government.
They- ale alove party or partisanship.
They are vital to the ctiz. ns of the
State and call for prompt and well con
sldered action.
They call for an answer from Gov
Sulzer. localise litli bis obstructive
tactics ami his silence warrant the con
clusion thut the i barges can neither lie
answer, d nor explained.
We lecommend tlie punishment for con
tempt of Louis A. Sar cky and Frederick
L. Colwell. heiein before referred to. and
we transmit herewith the record of tlie
hearings with the testimony and exhibits.
Ilov. Undue Mate- In In Splen
did Condition.
oi.ctiik. Kan, Aug II "Kansas has
raised . imiigli fe, d this year for thin
times the amount of stock In tlie whole
State," said Gov. Hodges to-Illclit "Cut
out all tlie talk about poor Kansas being
burned up. We never were In such a
splendid financial enndltlou and never
were so well prepared In stand a little
setback on account of weather conditions
"I have travelled from one end of the
State to the other We have raised enough
stuff this year to tatbii every head of
livestock In the State and then could buy
thr e times as many animals ami latten
them and still have plenty left Kansas
raised a big wheat crop this year, a big
oat crop and ,. big potato crop. Two
cuttings of alfalfa were the best ever.
The tame hay was all right, a big crop
of It too, und our bank deposits are at
top notch. -
"It really lias been a year of plenty in
Kansas and we would not have notlcnl
the shortage tllele will be In the corn
crop, but for the lack of water, to tide
the stock through for u few vvieks. Hut
don't get the idea that Kansas Is 'hard
up.' It Is not. As said betore wc never
were In such good Miape, except for the
lack of stock water,"
Special Vesslon Jnatlcea Impose' Sen.
tenrr on .loseph l lipperman.
Joseph Kupperm.in, 23 years old, who
H known to the police as "Joe the baby
eirrlago thief," was sentenced to eleven
months In the penitentiary by Jmtlrcs
Zeller, Moss and llerrnian In Special S. 5
slons Court yestci'day,
Tho police say that Joe has made a
business of stealing baby carriages for the
last three years. He oilglnally took
pocketbooks fiom under pillows In baby
carriages, but that pint of tlie liuslnesn
did not pay well of late,
Mrs. Sa.llo Lovlne was the complainant
against Joe, Her girl baby was In her
carriage In front of the Levluo home at
21 I'ast 1 10th street on August 0. Mrs.
l.evlne was busy In thu house and when
she looked out the window the carriage
was gone and the baby wan 011 the aide
walk. Mother Calls 1 Hoy Falls to Death.
A four-year-old child, Carmine Ses.intls,
tried to cllinh the lire escape at the rear
of his mother's Hat, 2424 llcaumoiit ave
nue, Tho llronx, last night. HIh mother
called him and he fell and died two hours
ConiinlHsIonpr Hcnnrssy Sets
Forth Alleged Offences
of M. .1. Korean.
Delnnoy Testifies That Sulzer
Asked Sims: Berths for
Ills Henchmen.
At.nANT, Aug. 11. Special Commissioner
John A. Ilenncssy started In his Investi
gation of State departments to-day, one
charge which the Commissioner brought
out wn that Matthew .1. Horgan, chief
Investigator for the Frawley committee',
had been ronvlcted six times for dis
orderly conduct and false certification.
Commissioner Ilenncssy followed this
disclosure with evidence that Juinea J.
Lannon, who Is chief examiner under
John H. Dclatiey, the State Commissioner
of Ktllclency and Ueouomy at a salary of
I II.SOO, had done llttlo or no work as
j confidential clerk to Deputy State Kxclse
' Commissioner A. J. Kgloft of lirle ut a
salary of $1,500, but te-ally had acted as
confidential man for William II. Fltz
Patrick, Tamnidtiy leader of Buffalo, In
Fltzpatrlck's contracting business.
Mr. llennessy announced that In his
opinion Leader Fitzpatrlck was guilty of
eonsplracv In utilizing the services of
Lannon In his contracting business when
Lhiiiioii should have been working for the
State, that Deputy State Kxclso Com
missioner Kgloff swore falsely when he
certified to the payroll each month show
ing Lannon had been working dally nnd
that Lannon lilins, if vvas guilty of ac
c.pting money rrom the state without
t.iidcrlng services th'clefor.
Hcfcrviier for I'roseeut Ion.
The Commissioner declared that he
would refer the whole question with the
t.stimonv to the District Attorney of lCrle
.oiinty. and that he would ask Gov. Sulzer
to appoint a special term and Gland Jury
to itiv. stigate.
Tin- dlsclosuies regarding the record or
Horgan. who besides being the chief In
vestigator for tlie Ft aw ley committee,
is also Deputy State Commissioner of
Kllleiency and Ikoiiomy at a silary of
K.,000. was a surprise except to those In
the confidence of Mr. llennessy and Gov,
Sulzer. This was the trump card they
have been pi utilising for the last week to
''' "Did ou know of the criminal record
of Mr. Horgan before to-day?" Inquired
Mr. llennessy of Mr. D-laney.
No. 1 did not." he r-plled, nnd
1 don't believe It now. T havo known Mr.
Horgan eight years."
win vnu dismiss him If It Is truo.
pressed Mr. llennessy.
I will." promptly repneu ..r.
lanev. "The appointment was made with
the knowledge of Gov. Sulzer. You know
Commissioner Henncssy ordered that
the t.-stlnionv on Horgan be referred to
the Civil Servile Iteform Association, the
Attorney-General, the Gicrnor and Com
missioner Dclatiey.
organ Doesn't Itrspnncl.
Mr Horgan had been subp'enaed as .1
witness, but .11.1 not lespond when his
name was I'.ellid. Then Commissioner,
llennessy r.a.l a letter from Senator
Flaw ley saying that Horgan hail lieen
advised not to obey the llennessy sub
India, on the giound that It would In
terfere with llorgan's work with a legis
lative committee.
After testimony was taken regarding
the work of Ijinnon as coiitldentlal clerk
in the Krle county excise olllco Commis
sioner llennessy vvas forced to suspend his
inquiry until he could get a ruling from
the e-ourt on his power to compel Hor
gan to testify before the committee
"1 want to make Morgan's tefusal a
lest case," said Commissioner llennessy,
"so that we may learn whether or not
we have the authority to subii'iia Senator
James .1 I'rawl.y. so that he may testify
In respect to matteis that mav be vital
to lit m and to the Interests of the State '
Horgan was one of Gov Sulzer s fol
lowers during the tlrst few months of the
Suler administration and was the chief
investigator of the Sulzer Committee of
Inquiry, of which John N. Carlisle' was
chairman and Mr. Dclaney a member.
The State Department of Ktliclciicy and
l'conomy was established at the sugges
tion of the Carlisle committee.
Gov Sulrer appointed Mr Delaney as
commissioner at a salary of (I'.'.iiuO, even
though he had been .1 close Iriend of
Chailca F Murphy, b. valise at that time
the telatlons between Sulzer and Murphy-
were not strained. When the struggle
for State leadership between Sulzer and
Murphy became apparent and the Fraw
ley committee was organized to curb the
political ambitious of Gov Sulzer Com
missioner Delaney loaned Horgan to the
committee. To the efforts of 1 Iih pan
more than any one else are duo the dis
closures t.gardlug the Governor's cam
paign funds and stock transactions.
tilte lloruieii'a Itecords.
Hoi gan's record as read by Commis
sioner llennessy was as follows
on January 19. 1911, be was appointed
cashier in the Fire Department for Hrook
lyn and Queens at a salary of $2,000 per
annum. This vvas an exempt place. He
resigned on May 9. 1912.
On Jamiaiy 21, 1S99, he was sentenced
to three months In the workhouse by
Magistrate Hraiin. He served tell .lavs
and was discharged on January 31. On
Match 9, ls99. he was senteiu-ed to six
months in the workhouse, by Magistrate
Fl.unmer for disorderly ..induct, He
set v col two months and twenty days and
was insciiargeii 011 .xinrcu 29, IK99.
"On April 190i, he vvas sentenced
to six months in the workhouse bv- Magls-
tiatc Flamnicr for disorderly conduct. He
served four months and nine .lays and was
discharged on August is. ;io.
".'II December IS. 1902, he was found
guilty In the Coiut of Special Sewous
of violating section lii'l of tlie I'enal Code.
This sectlun makes It a misdemeanor for
11 public, olllcer win. has authority to
certify public documents to certify
one which he knows to be untrue
or false. Horgan as n commissioner of
deeds falsely certified enrolment blanks.
Ills attorney made a motion to hive this
case removed to tho Court of General
Sessions. Tho motion vvas denied. Judge
Wyatt suspended sentence.
"on May , 1903, he was sentenced
by Magistrate Cotnell to serve three
months In the workhouse In default of
paying his wife $312 for her support,
lb. was charged with being a disorderly
person, Ho was discharged from the
workhouse on May 2!, 19u3, presumably
upon the payment of the money due.
"On April 7, 1902, ho vvas appointed
examining Inspector, olllee of the Com
missioner of Accounts, salary $l,!00 per
annum. Kxcmpt place. He. resigned
under charges preferred by engineer In
clintge, Otto Kline. October 31. 1902
Charges were drunkenness and falsifying
11 record.
"On July 9, 1907, hn wns appointed 1
financial clerk In the Comptroller's e.ftlro
at a salary of $S0 per month He re
signed from this place January 20, 190H,
Tills appointment was front an eligible
list. Ho took a competitive examination
for this place, lin January 7. Kms, he
was appointed court attendant in th
Seventh District Court In Ilrooklvn at a
salary of $l,20n pet- annum, This ap
pointment was from an eligible list He
tcslgned from this place July 19, 1911,
"on June il, 1904, Horgan was found
guilty In the Court of Special Sessions
ot assault, third detTM. Ilia wife, !
.Maggie lloigiin, was the coint 1.1
witness, Sentence was suspi tn, ,
Judge Zeller,
"llorgan's ndflicsit at the time 1
attested was 21 Washington
Korotigh of Manhattan. He g,..
address at least on 0110 of the appj . ,
he filed with (lie Civil Senile 1,
sloii, and probably on more th 1
Ilia other address Is given hs 911 v
street, Ilrooklyn. and some numb
Twenty-eighth sticet, Urooklyn.
"On llorgan's implication for th
tlon of financial clerk. In answer
question, 'Wete ou ever nrreslc
answered :
t .H
"'Yes,' and tho following Is l
planatlon :
"'Violation of I'enal Codo Ih
commissioner of deeds, suspend. I ,
tence, was passed upon by department
und admitted to previous rxiimliin'.i n
'On llorgan's application for cr)-i
attendant the answer was. 'I'lcadrd g'jinj
to Violation ot I'eni.l Code, se-ctloi ,(
misdemeanor, In the Court of SpM,,
Sessions, December 21, 1902. ,s.
"As previously stated In t. s 'tint,
Horgan pleaded not guilty to th 9 .
ami wns found guilty by the c, ,ir-
"This admission on the two . .
vice applications of having lo!n, 1 .
Hon 113 of the i'enal Code is the v
reference Horgan makes 10 Inning w. .
eonvlctcd of a clinic. As 1 1 1 - ( ... t
shows he vvas convicted on p e t .
occasions, on four of which I ..
time In tlie vvorklious.- and of w'
mention whatever Is made."
Ilelnuey nil the tiiiitl.
When Commissioner Delate . v
the stand he had to face a i.u. .
questions from Mr. Heim.ss
appointments In the I im .
Kllleiency nnd Kconomy. Mr II'
evident desire was to show
nppultitme nts were made at th- .
of Charles F. Murphy or his n .
lieutenants, but he received .,
when In answering Inquiries. 1
suggest" d many names Mr 1
piled that Gov. Sulzer had a?ki! 1
Mr. llennessy took up an
established by tlie Slat,; r v
Commission for appointments us
examiner to Investigate tlie q 1.
free text books for schools
"How about John Drlsioll of Nrw
city," asked Mr. llennessy. Ulo i
mend. .1 him to oil ."'
'Gov. Sulz r,'' promptlv t pi
Delaney. "Tin- Govei nor w at,. '
Drlscoll a port warden, but was .,
he would not be .ontlrm.d by t .
Senate. He asked til" to take -him.
DrNcoll Is a protege of
I'hrlstv Sullivan of New York I I
appointed Drlscoll yet, he is 0111
eligible list."
1 no
"How about I'atrlik It G...
Ib.cb. st 1 ?" said Mi ll.ntiessy
told you about him'."'
"Gov. Sulzer," repli.d Mr 1".
"The Governor told me that G.i'v
one of the original Sulzer lie n aim w
me to give him n $2.Sun Job I 1
position of that sort for him so le a
appointment as n special .sareunr
Commissioner Hetinessv w ', .
the inquiry later In the week
n ef
Support (Jovernor's Denial of
Chnryc Hi'iui'lit Id, lu
vi'.stlpitor.s. Two of the brokerage fin. tl .t w.
named by the Frawlev Investigating
mltti'e lis having st.sk ac"l.iits fit '1
Sulzer made statements yestci dav si.,
porting the denial Issued Sunday nlg'i I
the Governor that he speculated In Wal
Street. The chief statement was made b
Harris & Fuller of 43 Hro.ulw.iy a.
said :
"The Governor's statement as pub' -this
morning Iscorree-t ami Is borne .e,
the tt.'inscrlpt of the account whi 1
rendered the Frawley commlttic It 1 -not
a speculative account In any si 1 .
the term.
"When the value of the collate! ..I
traded so that the equity III the s
below the required amount, of e
was a matter of business for u- t
for more collateral or a reduction .
"When we dellvcri-d the eollat, 1
equity In tho loan at the mark.l 1
then was approximately $i'.,ooo, tons i. r
ample to protect the loan.'
John Hoyd Gray of Full." .v
brokers of 71 Hro.idwav. who 1,
mysterious "account ."no." attchu'
Gov. Sulzer. denied emphatically -day
that he ever told K. K Sutton.
employee of tho firm, that the
was conducted for Gov Sulz. 1 .
testified before the Frawlev
that Gray seeme-.l rather p"vi l
fact that the tlrm was rut ".ng .. .1 a
for the Governor.
"We are not nt liberty." said M
"to sny In whose name the acci' -We
do not propose to m.ikn pir '
clients' affairs. We stand by ' . '
mony given by Arthur L. Full,
the Frawley committee when h
we did have 'account cO'i' m , 1
but did not know whose ac 1 t
Philip Hoyer, formerly a me r . ' "
dissolved brokerage firm of 1! 1 .c
wold, would not discuss the ci
statement beyond saying he st"
testimony before the Frawlec . 1
Jewels Also Will He Muni ni
KlilHlils Hall In llenver.
Denviir, Aug 11 --Thlrty-thue
carrying Knights Templar arrlv.
to-day, ami r.illioad oiti, mis -.
there will be tfi.uuO visitors i
Grand Master Mellsli annoiiie 1 -i
had .1 commtssl.nl fiom the '
Connnught to represent the t
Kngland and Wales at the ball
day night and that In will v, i
tlrst time In this .ouiitry the
Jewels of Kugllsh knights
There will be tlfty-llve hI
para.ie to-niorrow , and later
march 111 a body thiough the
streets playing "Onward, c'hr, .
I'. D fiordon of Toronto. nr ,
rcptor of the grand prlorv of 1 1
arrived with an escort of 1 n
ThlnU He's I'ncliig n Vlrrni
Hi' Meets llr, Wilson.
Mayor Gaynnr's double ' s'
nt Oak Island Heach, 011 the G
Pay, opposite Habylon lie Is P '
Wilson of Hudson, N He
much like the Mayor that le
quently been taken for h'ni .' I
that a few days ago II. liroo..'
down opposite the Mayor In a 1
and made th' cMcutlvc think I . i
lug into a minor
"Mayor G.iynur looked nt
astonishment when 1 sat .1
poslte hltn," sins Dr Wilson
alighted nt tlie sann corner .' 1
dilced olliselvrs, after which wc
long conversation and the Mayor
me to visit him at the Cttv Hall .
James. Then Invited Mi G.
visit me at mv horn in 1 1 -laughed
heartily when I toll 11
recently defeated for an led ' '
Columbia rouutv, N" V, Incite- '
so much like hint '
Di Wilson appeared ni 1 in I
Habylon low 11 luiaid 11 f .1
nil piesent thought 'he was Ma G
pud wondered at bis presence, mil I .Instlev
Juinea II. Cooper dlasloctd thu truth.

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