CHAPTER IV.

SAN FRANCISCO AFTER THE FIRE.

The great San Francisco fire was brought under control Friday, April 20,

1906. The Sunday following, the first step was taken toward getting the

scattered Board of Supervisors together. George B. Keane, clerk of the

board, is authority for the statement that the meeting place was in a

room back of Supervisor McGushin's saloon.[48] The ashes of the burned

city were still hot; the average citizen was thinking only of the next

meal and shelter for the night for himself and dependents. But the

public-service corporations were even then active in furthering plans

which had been temporarily dropped while San Francisco was burning.

At the McGushin-saloon meeting, Keane found with the Supervisors Mr.

Frick of the law firm of Thomas, Gerstle & Frick. Mr. Frick was on hand

to represent the petitioners for the Home Telephone franchise, which, at

the time of the disaster was pending before the board.

For months previous to the fire, no subject affecting a San Francisco

public-service corporation had, with the single exception of the United

Railroads' scheme for substituting electric for cable service, created

more discussion than the Home Telephone application for franchise.

There had been allegations that the progress which, previous to the

fire, the Home Company had made toward securing its franchise, had been

paid for,[49] but for weeks after the fire few citizens had time to

think about it. The people forgot for the time the issues which had

before the disaster divided the city. But the agents for the

public-service corporations did not forget. We find a representative of

the Home Telephone Company picking his way over the hot ashes of the

burned city to McGushin's saloon to meet the Supervisors that the

interests of his company might be preserved. The developments of the

graft prosecution indicate that even as the Home Company was seeking out

the Supervisors, the United Railroads was getting into touch with

Ruef.[50]

But if the corporations were quick to avail themselves of the situation

to secure privileges denied them before the fire, they were also active

in the work of rehabilitation--so far as such activity served their

plans and purposes.

This was well illustrated by the course of the United Railroads. Within

a fortnight after the fire, that corporation had established efficient

service over a number of its electric lines. For a time, passengers were

carried without charge. On April 29 and 30, however, fares were

collected from men, but not from women and children. With the beginning

of May, fares were collected from all persons. For a time, in a glare of

much publicity, the United Railroads contributed these collections to

the fund for the relief of the stricken city.

The Home Telephone Company had no plant to restore nor authority to

establish one; but on Ruef's suggestion it, too, contributed to the fund

for the relief of the stricken city--$75,000.[51]

The United Railroads' activity in restoring its electric roads, was in

curious contrast to its failure to take advantage of the possibilities

offered by its cable systems. As some excuse for this inactivity, the

corporation's representatives alleged that the cable slots had been

closed by the earthquake, making restoration of the cable roads

impractical.

The alleged closing of the slots was even used as argument against the

conduit electric system.[52] But as a matter of fact, there were many

to testify that the damage done the cable slots was not from the

earthquake, although the slots in the burned district had been warped

more or less by the heat of the fire. But this damage was easily

remedied. On the Geary-street road, for example, cars were run for an

hour or more after the earthquake. The fire warped the Geary-street

cable slot, but this was easily and cheaply remedied by a force of men

with cold chisels and hammers.[53]

Statements from officials of the United Railroads, now of record,

indicate that the company's cable lines suffered no greater damage than

did other cable systems. An affidavit of Frank E. Sharon, for example,

who before the fire was superintendent of cables and stables belonging

to the United Railroads, made in the adjustment of fire losses sustained

by that corporation, sets forth that the company's principal cable power

house and repair shops situate on Valencia street were damaged but

little by the earthquake.[54] Although the buildings were damaged by

the fire, the damage to the contents, including the machinery by which

the cable cars were operated, was, according to statements made by the

United Railroads in fire-loss adjustment, comparatively small. The

company placed the sound value upon this machinery and contents, after

the earthquake, but preceding the fire, at $70,308.80. The salvage was

placed at $60,933.80, leaving a total fire loss of $9,375.[55]

The cable cars, with few exceptions, were saved. The most serious loss

of cars was on the Powell-street system, where sixty-four were

destroyed. Only one Valencia-street car was burned. After both

earthquake and fire, the United Railroads had available at least 150

cable cars for its Market and Powell-street systems. This does not

include the cable cars available on the Hayes and McAllister roads. The

power-houses of these two last-named systems were not destroyed by fire.

The allegation has been made that the McAllister-street cable was kept

running for several hours after the earthquake.

But whatever the possibilities for the restoration of the United

Railroads' cable properties, no steps were taken toward that end.

Instead, trolley wires were strung over the tracks of cable systems.

Street-car service was one of the greatest needs of the first few weeks

following the fire. Statements that cable properties could not be

restored were generally believed; the trolley service was accepted as a

matter of expediency; few thought, however, that it was to be

permanent.[56]

Within two weeks after the fire, the United Railroads had trolley wires

strung over the cable tracks on Market street. The little objection made

to this course went unheeded. The Market-street trolley cars, two weeks

after the fire, were as welcome to The People of San Francisco as were

the temporary shacks which were being erected upon the sites of the old

city's finest buildings. Market-street trolley cars gave as

sorely-needed transportation as the shacks gave needed shelter.

The opening of the Market-street trolley line was made subject for

rejoicing throughout the city. In the midst of this good feeling toward

his company, President Calhoun gave out that if allowed to place

overhead wires on Sutter and Larkin streets, he would place 2,000 men at

work and have both these lines in operation within thirty days.[57]

But the era of good feeling was not of long duration. On May 14, less

than a month after the fire, the Supervisors received a communication

signed by President Calhoun as President of the United Railroads,

setting forth that if the board would permit the use on the cable lines

of the standard electric system in use on the company's other lines, the

United Railroads would be glad to put all of their lines in commission

as rapidly as could be accomplished by the most liberal expenditure of

money and the largest possible employment of men.[58]

That very day, the Supervisors took the initial step toward granting to

the United Railroads a blanket permit, authorizing that corporation to

substitute the trolley system for all its cable lines.

Immediately, San Francisco's opposition to the trolley system was

revived. All classes joined in condemning the action of the board. The

Sutter Street Improvement Club, representing large down-town interests

and property holders, adopted resolutions demanding that the Supervisors

refuse to grant the permit. The San Francisco Labor Council,

representing over 100 affiliated unions, with a membership of more than

30,000 wage earners, declared as strongly against such action. The press

charged the United Railroads with taking advantage of the city's

distress to force the trolley upon her.[59]

Then came explanations and defense. Mayor Schmitz in public interviews

set forth that the proposed permit was not a permanent measure, nor

under its provisions could the United Railroads indefinitely operate

trolley cars in Market street.[60] The Labor Council which had at first

adopted resolutions condemning the policy of granting the permit,

adopted resolutions of confidence in the "present city administration."

President Calhoun himself solicited citizens to attend the meeting of

the board at which a vote was to be taken on the proposed permit, to

urge action favorable to the United Railroads.[61]

Long before the board met to take final action it was recognized that in

spite of opposition the permit would be granted.[62] And it was

granted. On May 21, the Supervisors passed the ordinance which gave the

United Railroads authority to convert its cable systems, wherever grades

would permit, into trolley lines. For this privilege, no money

compensation, nor promise of compensation, was made the city.[63]

Demand that Mayor Schmitz veto the ordinance granting these

extraordinary privileges followed. Nevertheless, the Mayor affixed his

signature to the trolley permit-granting ordinance.

Fair expression of the feeling this action engendered will be found in

the San Francisco papers of the latter part of May, 1906. "Mayor Eugene

E. Schmitz," said the Examiner, for example, "has betrayed the trust

reposed in him by the people, violated his solemn pledge in favor of an

underground conduit system, and joined Abe Ruef and the United Railroads

in the shameless work of looting the city at the time of her greatest

need."

The Ruef-Schmitz administration protested at the criticism. The

eighteen Supervisors, seventeen of whom were within a year to confess

that they had accepted bribes and all of whom were to be involved in the

scandal, joined in a letter[64] to the Examiner, announcing that such

criticism was unwarranted, and injured the city. The letter contained

veiled threat that questioning of the Supervisors' motives would not be

tolerated. The threat, however, intimidated nobody. Criticism of Ruef

and the administration continued.

But in spite of the hostility toward him, Ruef controlled the San

Francisco delegates who were named that year to attend the Republican

State convention. The convention met at Santa Cruz. Ruef held the

balance of power. He was the most sought man there. He had the

nomination for Governor in his hands. He gave it to James N.

Gillett.[65]

While the convention was in session, a dinner was given the State

leaders of the Republican party at the home of Major Frank McLaughlin,

then Chairman of the Republican State Central Committee. Ruef was one of

the select few present. A flash-light picture of that banquet board

shows him seated in the place of honor at the center of the table, the

remaining guests with the exception of the host, McLaughlin, who is

seated at Ruef's side, standing.

At Ruef's back stands James N. Gillett, who had just received, with

Ruef's assistance, the party nomination for Governor, his hand resting

upon Ruef's shoulder. Others in this flash-light group are George

Hatton, political manipulator, whose connection with the 1905 mayoralty

campaign in San Francisco has already been noted; J. W. McKinley, head

of the Southern Pacific Law Department at Los Angeles, who was chairman

of the convention; Rudolph Herold, a politician prominent in the

counsels of the old "Southern Pacific machine"; Justice F. W. Henshaw of

the California Supreme Bench, who was nominated at the convention for

re-election;[66] Walter F. Parker, political agent for the Southern

Pacific Company; Warren R. Porter, who had just received the nomination

for Lieutenant-Governor; Congressman J. R. Knowland, prominent in the

counsels of the "machine" that at the time dominated the State, and

Judge F. H. Kerrigan of the Appellate Bench, whose decision in favor of

the Southern Pacific Company while on the Superior Bench, in the

so-called San Joaquin Valley railroad rate case, made him a conspicuous

figure in California public life.[67]

The group represented the most effective forces at the time in

California politics. Ruef, at the Santa Cruz convention, reached the

height of his power. He left Santa Cruz planning a State organization

that would make him as great a factor in State politics as he was at the

metropolis.

But on his return to San Francisco, Ruef found himself harassed by

criticism and beset by opposition. At every point in the municipal

administration, with the exception of the District Attorney's office,

was suggestion of graft and incompetency. The police department could

not, or would not, control the criminal element. Merchants, in the

middle of the day, were struck down at their places of business and

robbed. Several were fatally injured in such attacks, being found dying

and even dead behind their counters. Street robberies were of daily

occurrence.

In the acres of ash-strewn ruins, was junk worth hundreds of thousands

of dollars. The police seemed utterly powerless to protect this

property. It became the loot of unchecked bands of thieves.

A reign of terror prevailed. Citizens feared to appear on the streets at

night. Merchants charged that their business was seriously injured by

these conditions. On all sides, blame was placed upon the Schmitz

administration which Ruef was known to control.[68]

Then again, Ruef's toll from the tolerated gambling, saloon and social

evil interests was getting too heavy for his own safety.[69] The public

was given hint of this when the newspapers quoted George Renner, a

prominent businessman, as asserting that a liquor license could be

secured if the applicant "put the matter into Ruef's hands and paid a

fat little fee." Ruef, in his reply, stated that the liquor people were

nuisances anyhow. Ruef had long acted as attorney for the California

Liquor Dealers' Association. The Association, after Ruef's flippant

characterization of the liquor people, boldly dispensed with his

services and employed another attorney, Herbert Choynski, in his stead.

Choynski made no effort to placate Ruef. On the contrary, he gave out

interviews to the press charging that Ruef had received $500,000 for the

trolley permit, and that each Supervisor had been given $4000 or $5000

for his vote.

This story was given some credit, although few realized the amount of

truth it contained.

The Supervisors were spending money freely. Men, who in private life had

earned less than $100 a month, and as Supervisors were receiving only

that amount, gave evidence of being generously supplied with funds.

Supervisor Coffey, a hack driver, took a trip to Chicago. Lonergan,

driver of a delivery wagon, announced plans for a tour of Ireland with

his wife and children. Wilson planned a trip through the Eastern States.

The official head of the administration, Mayor Schmitz, left on a trip

to Europe, leaving Supervisor Gallagher as acting Mayor.[70] Reports

printed in San Francisco papers of Schmitz, the orchestra player, as

guest of the most expensive European hotels, did not tend to lessen the

opposition to the administration.

The general dissatisfaction with the administration finally found

expression in a mass meeting intended to inaugurate a movement to rid

the community of Ruef's influence.[71] The meeting was called in the

name of various promotion associations and improvement clubs. It was to

have been held in the rooms of the California Promotion Association, a

temporary shack that had been erected in Union Square, a public park in

the business district. But the crowd which gathered was so great that

the meeting had to be held in the park itself.

When the committee in charge met to complete final preparations,

preliminary to calling the meeting to order, Ruef and Acting Mayor

Gallagher, with astonishing assurance, appeared before the committee and

offered their co-operation in the work in hand. Their presence does not

appear to have been welcome. Nevertheless, before the resolutions which

the committee had under consideration were read before the crowd, all

harsh references to Ruef and the municipal administration had been

expurgated. In effect, the expurgated resolutions called upon commercial

organizations, clubs, labor unions and similar bodies to form a

committee of 100 for public safety.

In the meeting which followed the expurgation of the resolutions, the

organizers of the movement lost control. Their counsel was for

moderation in a situation where all elements were at work.

The crowd was made up of Ruef claquers who shouted everybody down;

members of Labor Unions who had been led to believe that the purpose of

the gathering was to break down the unions; and of radicals who were for

proceeding immediately to clean up the town. Those responsible for the

gathering appeared appalled at its magnitude, and showed themselves

unable to cope with the situation.

William A. Doble presided. Samuel M. Shortridge, an attorney who was to

play a prominent part in the graft trials, stood at Doble's side and

acted as a sort of director of the proceedings. The expurgated

resolutions were read by the President of the Merchants' Association, E.

R. Lillienthal. The ayes were called for and the resolutions declared to

have been adopted. The next moment announcement was made that the

meeting stood adjourned.

An angry demonstration followed. The people had met to discuss

lawlessness. They refused to be put off. The adjourned meeting refused

to adjourn. There were cries of =Drive Ruef out of Town=. One speaker, A.

B. Truman, denounced Ruef as a grafter. For the moment an outbreak

seemed imminent. At this crisis, Acting Mayor Gallagher appeared.

"I would suggest," he announced,[72] "that you disperse to your

respective homes."

Citizens who did not care to participate in what threatened to become a

riot began leaving the park. But Ruef's henchmen did not leave.

Ruef, who had cowered in fright when the crowd was denouncing him, was

concealed in a room in the so-called Little St. Francis Hotel, which

after the fire had been erected in Union Square Park. From his hiding

place he could see the crowd without being seen. At the right time, he

appeared on the steps of the building which were used for the speaker's

stand. His followers, now in a majority, cheered him wildly. The next

moment, Ruef was in control of the meeting which had been called to

protest against the conditions in San Francisco, for which the

administration, of which he was the recognized head, was held to be

accountable.[73] The first serious attempt to oust Ruef from his

dictatorship had failed.

But while the protestants against prevailing conditions were hot with

the disappointments of this failure, District Attorney Langdon issued a

statement that he had determined to seize the opportunity presented by

the impanelment of a new Grand Jury to inaugurate a systematic and

thorough investigation into charges of official graft and malfeasance in

office. To assist in this work, he announced, Francis J. Heney had been

requested to become a regular deputy in the District Attorney's office,

and had accepted. That the investigation might not be handicapped by

lack of funds, Mr. Langdon stated Rudolph Spreckels had guaranteed that

he would personally undertake the collection from public-spirited

citizens of a fund to provide for the expenses necessary to make the

investigation thorough.[74] It became known that William J. Burns, who

had been associated with Heney in the Oregon land-fraud cases, had been

retained to direct the investigation, and that for several months his

agents had been quietly at work.

The effect of these announcements was immediate. All talk of "vigilante

committee" and "lynching" ceased. The case of The People of San

Francisco vs. the Schmitz-Ruef Administration was to be presented in an

orderly way in the courts.

And the united press of San Francisco, legitimate business interests,

and a great majority of the people welcomed the alternative.

FOOTNOTES:

[48] See Keane's testimony in The People vs. Ruef, No. 1437, Part 3,

vol. 1, page 455.

[49] See footnote 41, page 43.

[50] Supervisor Gallagher testified in the case of The People vs.

Ruef, No. 1437, that about a week before the fire "Mr. Ruef

stated that the United Railroads wanted to secure a permit to

use electricity upon their lines and asked me to speak to the

members of the Board of Supervisors about it and let him know

whether it could go through the Board, and about what amount of

money it would take. I told him that I would do so." (See

Transcript on Appeal, page 850.) Similar testimony, to show

that the United Railroads was dealing with Ruef during the

month preceding the fire, was brought out at trials of other

defendants in the "graft" cases. This would make the date of

Ruef's activity on behalf of the United Railroads about the

time of Mr. Calhoun's announcement that he would proceed to

present plans for the trolley system, to the "proper

representatives" of the People (the Supervisors), who were even

then, through Ruef, receiving bribe money from public-service

corporations.

Gallagher testified further (see same transcript, page 853)

that within a week after the fire Ruef stated to him that the

United Railroads still wanted its electric permit, and directed

that Gallagher find out whether such a permit could be put

through the Board. Gallagher testified that he saw members, put

the question to them, and reported back to Ruef that in his

judgment the permit could be put through by paying each member

of the Board the amount which Ruef had specified, $4,000.

[51] Supervisor Gallagher testified at graft trials that Ruef had

told him the payment of this $75,000 to the Relief Fund was a

good thing, as it would tend to shut off adverse criticism. But

the Home Company people had asked that the money be not turned

over to the Relief Fund until such time as the ordinance

granting the franchise had been approved or the matter

definitely determined.

[52] As early as May 5, C. E. Loss, a railroad contractor, came out

with the proposition that the city should abandon all idea of

conduit systems, because the cable slots had been closed by the

earthquake. In this, Loss was disputed by City Engineer Thomas

P. Woodward. Woodward, in an interview printed in the Examiner

on May 5, 1906, said:

"I think Mr. Loss was mistaken when he said the earthquake

closed the cable slots. I have not made a careful examination

of the various roadbeds in San Francisco, but from what I have

seen as I have gone about the city, I am inclined to think that

no injury was done the cable slots by the earthquake.

"The lines on Sacramento, California, Geary, Sutter and Haight

streets appear to be all right outside the burned district.

Where the metal was subjected to the intense heat, the slots

are warped out of shape, and in some places closed."

Loss's allegations called forth the following editorial comment

in the Examiner of May 5th:

"Even an earthquake shock and a conflagration do not long

obscure the vision of certain wealthy gentlemen where there is

a chance to turn a calamity to their individual account.

"Before the catastrophe, San Francisco had indicated with great

emphasis to the United Railroads that it would not permit the

reconstruction of the cable system into an overhead trolley,

but would insist upon a modern up-to-date conduit electric

railroad, the safety, utility and efficiency of which had been

demonstrated in New York and other Eastern cities.

"The emergency created by the destruction of the traffic

systems in the city has compelled permission for a temporary

trolley line because it could be constructed more quickly than

any other.

"It is not intended, and the United Railroads must be made to

realize that it will not be permitted, that the unsightly poles

and dangerous wires will be allowed to cumber the new and more

beautiful San Francisco, any more than it will be permitted

that the rough shacks and sheds which temporarily shelter the

people in parks and streets and otherwise vacant lots shall

remain after the emergency which called them into being has

ceased."

[53] A. D. Shepard, vice-president and secretary of the Geary-street

Railroad Company, gave the following statement to the Examiner

as to the condition of the Geary-street roadbed:

"We can run cars as far as the road goes, but the power-house

is not ready for business. The smokestack at Geary and Buchanan

streets must be built up to comply with the ordinance of the

city before we can get a permit to build fires under the

boilers. The smokestack should be repaired by the end of this

week, and cars will probably be run over the road then. I

cannot say just what day we will begin to run cars. All depends

upon the smokestack and the Board of Public Works.

"Our line was not injured by the earthquake, and we ran cars

for some time after the shake. It was the fire that drove us

out of business. The heat warped the slot, making it narrow in

places and wide in other spots, but this is easily remedied."

(See Examiner, May 30, 1906.)

[54] Sharon's affidavit was introduced at the graft trials. It was

as follows:

"State of California, City and County of San Francisco--ss.

"Frank E. Sharon, being first duly sworn according to law,

deposes and says: That he was for many years prior to April 18,

1906, the superintendent of cables and stables belonging to the

United Railroads of San Francisco, and situate at the corner of

Market and Valencia streets; that on the property situate at

said Market and Valencia streets were located what is known as

the Market and Valencia Power House and Shops, consisting of

power-house, stables, machine shops, special machine shops,

mill, offices, store-rooms, sheds, etc.; that he was such

superintendent on April 18, 1906; that on the morning of April

18, 1906, immediately following the earthquake he proceeded to

the above described premises, arriving there at about 8 a. m.;

that none of the buildings above described were materially

damaged by the earthquake; that the walls of all the buildings

were standing and intact; that the roofs of all the buildings

were on and uninjured by the earthquake, with the exception of

the roof of a portion of what is known as the power-house,

which was damaged by reason of a small portion of the chimney

adjoining the power-house on the west falling thereon; that the

greater portion of said brick from the top of said chimney fell

toward the south or east into the driveway; that extending from

the base of said chimney to the crown thereof and on the east

and west side thereof are cracks which were in said chimney for

many years prior to the earthquake of April 18, 1906, which

cracks were opened somewhat by said earthquake; and the boilers

in said power-house were not injured to any extent and steam

was kept under said boilers for some time after the earthquake;

that in his judgment the building as a whole was intact and the

machinery not injured in any material part of the earthquake;

that the building caught fire from the adjoining buildings on

the east and southeast late in the afternoon of April 18, 1906;

said buildings were not dynamited nor backfired for any

purpose.

"F. E. SHARON.

"Subscribed and sworn to before me this 10th day of August, A.

D. 1906.

"CHARLES R. HOLTON.

"Notary Public in and for the City and County of San Francisco,

State of California."

[55] The loss included $25 damage to two engines which cost new

$24,000; $2,000 damage to six boilers, new cost $30,000; $210

water-tank, cost new $350; $500 damage to pipes, valves and

fittings, which cost new $10,500; material in store-room worth

$2,000, a total loss; $4,800 loss of two tension carriages used

for taking up slack of the cable. These tension carriages could

very easily have been restored. This loss, $4,800, and the

$2,000 stock loss, deducted from the total of $9,375, leaves a

total loss of $2,575 to the machinery of a plant estimated to

have cost $115,842.

[56] As late as November 13, 1906, seven months after the fire, the

San Francisco Call published an editorial article on the

trolley permits which showed that even then their nature was

not fully understood. The Call said:

"The insolent disregard of public rights in the streets by the

United Railroads is inspired, of course, by ulterior purpose to

entrench the corporation in the possession of privileges,

permits or franchises granted at a time of stress and confusion

whose legality may and probably will be questioned later.

"The Call does not desire to assume an attitude of hindering or

hampering progress. We recognize fully that every new

street-car line adds materially to the value of property within

its tributary territory. In a word, the growth of a city or a

neighborhood is, to a considerable degree, dependent on

facilities for urban transit.

"But it does not follow from these considerations that

franchises should be granted for nothing to any and every

applicant who is able to construct a street railway. The right

to use the streets is the most valuable privilege possessed by

a municipality. It should be made to yield a corresponding

revenue.

"All this might seem so obvious as scarcely to require

statement, but in practice the principles here laid down have

been virtually disregarded in San Francisco. In no instance was

there more flagrant disregard of public rights than in the

wholesale grants of permits or franchises to construct overhead

trolley lines made after the fire.

"The United Railroads at the time professed to regard these

permits as merely temporary, but that profession was not very

long maintained. The company now declares that many, if not

all, of these permits amount to absolute franchises in view of

the capital invested in making the necessary changes. That is

the explanation of the outrageous disregard of public rights

shown in tearing up some five or six miles of streets at once

and in different parts of town. This process is obviously

wasteful as a financial proposition, and is calculated besides

to arouse general indignation. We find these weighty

considerations disregarded on the advice of the corporation's

lawyers, to bolster up an invalid claim to the possession of

franchises obtained by trick and device in an hour of public

confusion.

"What the extent of the corporation's claim under these permits

may be we are not advised, and there is no immediate means of

finding out as long as the administration which granted these

hole-and-corner permits remains in power. The same influences

that made the Mayor and Supervisors so complaisant to the will

of the United Railroads are still operative. It was only the

other day that another permit for a street-car line was

granted, and granted illegally. This administration stays

bought.

"Therefore, the streets are torn up in a dozen different parts

of town and left in that condition untouched for months with

the full consent of the administration. But this political

condition is not permanent. Some of these people will go to

jail. They will all be ousted at the next election. San

Francisco has had enough of them.

"The United Railroads is endeavoring to fortify one wrong by

committing another. These things will not be forgotten in a

hurry. We are convinced that the corporation is pursuing a

shortsighted policy. Costly litigation must ensue to test the

validity and extent of the overhead trolley permits. The people

will not consent to see their most valuable property traded

away by a lot of conscienceless boodlers, and if it should

prove that the United Railroads has been able to make two

wrongs constitute one right, it is very certain that a movement

of irresistible force will follow for a reduction of street-car

fares.

"We are convinced that it will pay the United Railroads to be

fair and decent with the people of San Francisco. The present

policy is neither fair nor decent. The service is bad, public

rights in the streets are outraged, and, worst of all, the

corporation is the most malign, corrupting influence in the

politics of our municipal government. There will come a

reckoning."

[57] See statement printed in San Francisco Examiner, May 4, 1906.

[58] Calhoun's letter to the Supervisors read:

"United Railroads of San Francisco.

"President's Office.

"San Francisco, May 14, 1906.

"To the Honorable Board of Supervisors of the City of San

Francisco--Gentlemen: The United Railroads of San Francisco

respectfully represents that, notwithstanding its urgent and

earnest efforts to provide adequate street railway

transportation on the lines being operated, constant pressure

is being applied and innumerable requests are being presented

to it to increase its transportation facilities.

"The company is anxious to please the people, and is willing to

do its part in the immediate upbuilding of the Greater San

Francisco, but owing to the unavailability of material and

machinery for operating its cable systems, as well as the great

length of time necessary to rebuild destroyed power-houses and

reconstruct its cable conduits, a long time would necessarily

elapse before the cable systems could be operated so as to give

the required relief to traffic congestion.

"If your Honorable Board will permit the use on the cable lines

of a standard electric system such as is now used on the

company's other lines, we will be glad to put all of our lines

in commission, and will agree to have them in complete

operation wherever grades will permit as rapidly as the most

liberal expenditure of money and the largest possible

employment of men will accomplish. The necessary expenditure

for labor and materials to do this work will run into the

millions, and will afford much-needed employment to several

thousand deserving men.

"We believe the prompt reconstruction of your lines of

transportation will inspire confidence in all investing capital

and greatly aid in the prompt rebuilding of your city.

"We submit these suggestions for your consideration at the

request of many of our citizens from every walk of life.

"Respectfully,

"PAT. CALHOUN, President."

[59] The trolley permit was passed to print on May 14. The Examiner,

in its issue of May 15, said:

"The United Railroads, with the rapacity for which it has ever

been noted, is seeking to capitalize the city's woe to its own

advantage.

"Before the disaster of April 18 it had been balked in its

purpose to make San Francisco a trolley town. The protests of

citizens who knew that the underground system is better than

the cheap, unsightly trolley system and had been proved safer,

had blocked the United Railroads project. And it seemed certain

that the scheme to cumber Market street and Sutter street with

poles and wires was definitely stopped.

"The emergency which demanded the swiftest possible

establishment of a transportation system, gave the United

Railroads its opportunity to revive the discreditable scheme.

As an emergency service nobody could object to the overhead

trolleys. But it was understood that the service was absolutely

temporary in its character and should only obtain during the

pendency of present conditions.

"Yesterday, however, there appeared out of the void of

forbidden things an ordinance that was hastily passed to print,

granting a franchise to the United Railroads to trolleyize its

whole system.

"It was expected evidently that this iniquitous measure could

be sneaked through under cover of the present stress and

excitement without people realizing until it was too late what

had been done.

"When the scheme was flushed it was still attempted to make it

appear that this was a temporary measure, a representation

absolutely varying with the language of the ordinance.

"But the scheme has not succeeded yet.

"It was to be expected that, like the looters who have to be

kept from other people's property by soldiers and police, San

Francisco's misfortune would bring out a horde of corporate

ghouls eager to snatch privileges during the time of disorder.

But it was likewise to be expected that the city

administration, which has been so alert to protect private

property, would be equally alert to protect the precious

possessions of the city.

"The railroads can only do what the city permits, and a strong

official scrutiny of the ordinance which was yesterday passed

to print should result in its final defeat.

"No matter what other claims an administration may have to the

gratitude and respect of the citizens of San Francisco, it

cannot afford to be known as the administration that put

trolley poles on Market street."

[60] The day that the ordinance granting the trolley permit was

ordered printed, Mayor Schmitz stated in an interview as

published in the Examiner:

"The proposed franchise is merely a temporary measure. It does

not mean that the United Railroads can indefinitely operate

their cars by the overhead trolley in Market street, or in the

streets formerly occupied by cable roads. It is necessary now

to have transportation. The cable roads cannot be repaired, I

am told, for some time. Meanwhile, the franchise to string

overhead wires has been granted. It can be revoked."

[61] At the Calhoun trial, William H. Sanderson testified to having

been introduced to Calhoun by Ruef at a public meeting, a few

days before the trolley permit was granted. He was then asked:

"Q. What, if any, conversation then ensued between yourself,

Mr. Ruef and Mr. Calhoun? A. Well, I stated--Mr. Calhoun was at

that time sitting at a large table in the room, where the

committee had held its session, and he rose out of his seat,

and the three of us held a conversation following that

introduction. I stated to Mr. Calhoun--I asked him when the

people of North Beach were or might expect railroad facilities,

that the population was coming back to that portion of the

city, and that other portions of the city were provided with

facilities, and that we were compelled to walk through miles of

burned district in order to get anywhere; and Mr. Calhoun said

in reply, that if the people of San Francisco desired railroad

facilities, they should co-operate with the railroad company

that was here to provide them with the same; and I said to Mr.

Calhoun that I thought that we were ready to do anything that

the company desired us to do, and asked him what in particular

he wished us to do, and he said: 'There is that trolley

privilege matter before the Supervisors; that comes up next

Monday, and you people of San Francisco ought to come down

before that Board, that the people of San Francisco, or you,

are vitally interested in the matter of this trolley permit.'

Mr. Ruef then said: 'Come down before the Board next Monday,

Sanderson, and make a talk on behalf of your organization in

favor of the trolley permit. We will see that you get the

privilege of the floor. A number of citizens of San Francisco

will be there, and we propose to show the press that the people

of San Francisco are behind this permit.' I said to Mr.

Calhoun: 'The papers tell me that this is a very valuable

franchise and you ought to pay the city something for it.' And

Mr. Calhoun said in substance that he thought that the company

would be paying all that the privileges was worth if it built

the road. Then I suggested to him that perhaps that sentiment

which objected to the disfigurement of Market street and Sutter

street by the erection of poles and wires, ought to be placated

to some extent, and I asked him why he would not at least put

the feed-wires under ground; and he said that that would entail

an expense which the company at that time was not or did not

think it advisable to meet. And then I asked him why he would

not put the poles 200 feet apart instead of 100 as--or 200 feet

apart, as was done in European cities, and he said that the

100-foot system was the more advisable in his opinion. And then

Mr. Ruef said to me: 'The passage of this permit will mean

immediate work for 5,000 men. We will be able to take them out

of the camps and put them at work.' And I said to Mr. Ruef:

'That is all very well, Mr. Ruef, but it seems to me that there

is another side to this question--a political side. The people

of San Francisco are at last all behind your administration.

What they need in this crisis is leadership, and we will have

to take such leadership as you give us; and now that everybody

is with you, and even the Bulletin has quit, it is not good

policy on your part to stir up another newspaper war. The

Examiner has been your friend ever since Schmitz was first

elected, and it will not swallow the trolley proposition in its

present form, and it is charging your administration with

corruption. If it persists in its fight it will eventually

break your back. It seems to me that it would be a

comparatively easy matter to placate this opposition by

exacting some compensation for this permit, either in the way

of cash or by way of a percentage of the proceeds of the road,

or you might limit it as to time; give them a permit for five

or ten years. You have them at your mercy and they are bound to

accept whatever terms you prescribe.' Mr. Ruef then said: 'To

hell with the Examiner, no public man can afford to swallow

that paper. This thing will go through on Monday. It is all

settled.' And then I said: 'You don't need me then,' and Mr.

Calhoun said: 'I don't think we do, Mr. Sanderson.' That is all

the conversation, or that is substantially all the conversation

that took place in regard to that matter."

[62] Said the Examiner in its issue of May 16, 1906: "It looks very

much as if Patrick Calhoun, Thornwell Mullally and their pals

of the United Railroads had sneaked up behind San Francisco

just as she lay wounded from earthquake and conflagration. In

the guise of helping her, they were caught picking her pocket.

If the Supervisors aid and abet them, the people will be

warranted in setting up their effigies in lasting bronze, a

group of everlasting infamy, with the inscription: 'THESE MEN

LOOTED SAN FRANCISCO AT THE TIME OF THE GREAT FIRE OF 1906.'"

[63] Of the failure to exact pay for the franchise, the Examiner of

May 17, 1906, said:

"Mayor Schmitz and the Board of Supervisors must know, and if

they do not know they are now informed, that the franchises

they propose to give away to the United Railroads are worth a

great deal of money to the city of San Francisco, and they

certainly do know that the city never was so greatly in need of

money as now. To give away so much of value at such a time is

so hideous a crime that it will leave a scar upon the

reputation of everybody concerned in it, no matter what that

reputation has been up to the time of the infamy."

[64] The Supervisors' letter to the Examiner was as follows:

"San Francisco, Cal., May 26, 1906.

"To 'The San Francisco Examiner,' City--Gentlemen: The Board of

Supervisors of the City and County of San Francisco, regretting

the hostile stand which your journal has in these distressing

times assumed toward the rebuilding of our destroyed city, by

indiscriminately attacking every vested interest and all

intending investments of capital in this city, respectfully

submits for your consideration the propriety of joining with

instead of assailing those who are in good faith and with their

energy and ability striving to restore and rebuild our beloved

city.

"Irrespective of any personal feeling caused by your wanton

attacks on his Honor the Mayor, and on this Board, we ask of

you, as citizens of San Francisco and as the legislative branch

of our government, to cease your thoughtless and dangerous

efforts to drive away from our city every interest which has

expressed its intention to assist in our rebuilding and which

has manifested a practical confidence in our future. Otherwise,

the day will certainly not be far distant when the people,

realizing the result of your course, will seek to protect the

city against its further continuance.

"In all good faith for the city's interests and without any

personal rancor, these suggestions are submitted to your

careful attention.

"Respectfully, James L. Gallagher, Max Mamlock, Chas. Boxton,

L. A. Rea, F. P. Nicholas, Andrew M. Wilson, Geo. F. Duffey, J.

J. Furey. M. W. Coffey, Daniel G. Coleman, C. J. Harrigan, J.

J. Phillips, P. M. McGushin, E. I. Walsh, Sam Davis, Jas. T.

Kelly, Thomas F. Lonergan, W. W. Sanderson."

[65] Ruef, in his story of his political career, "The Road I

Traveled," states that in an interview with William F. Herrin,

chief of the Southern Pacific law department, previous to the

primary campaign, the necessary expenses of the primary

campaign and of the primary election were discussed. Herrin,

according to Ruef's account, agreed not to oppose the Ruef

tickets. "As agreed prior to the primary," Ruef goes on to say

in his narrative: "Herrin paid me $14,000 for the purpose of

securing for his organization the certainty of the votes of the

San Francisco delegation." See San Francisco Bulletin, August

31, 1912.

[66] Henshaw was re-elected. After Ruef had been convicted and the

Appellate Court had refused to grant him a new trial, Henshaw,

before the briefs had been filed in the matter of the appeal

from the Appellate to the Supreme Court, signed an order

granting Ruef a new hearing. See Chapter XXIX.

[67] See decisions in Edson vs. The Southern Pacific Co., 133 Cal.

Reports and 144 Cal. Reports.

[68] Nor was this criticism confined to San Francisco; it was

general throughout the State. The Sacramento Bee, in describing

the conditions prevailing at San Francisco, said:

"In the hold-ups which are now terrorizing the people of San

Francisco the citizens are seeing the effects of a loose or

dishonest municipal administration. The form of lawlessness now

prevailing in San Francisco follows upon bad local government

as inevitably as night follows day."

[69] Definite figures, alleged to be the graft schedule enforced in

the San Francisco tenderloin after the fire, were published.

The Chronicle of April 24, 1907, said on this score:

"After the great disaster of last April, or so soon as the new

tenderloin began to build up and the Barbary Coast district

began to establish itself, a schedule of prices for protected

vice was formulated. This schedule has been rigidly adhered to.

In the case of houses of ill-fame, the proprietors were

required to pay the policemen on the beat the sum of $5, the

sergeants $15, the captains $25, and the chief of police $75 to

$100 every week for the privilege of conducting their nefarious

business. The gambling houses were assessed according to their

ability to pay, but the average price for police protection,

according to Heney, was about the same as the houses of

prostitution. The dives along Pacific street and in the Barbary

Coast district were required to pay $50 every week to the

police captain and the chief, those two functionaries

presumably dividing the money. The sporting saloons where women

of the night life congregate were taxed a similar amount."

[70] Ruef advised strongly against Schmitz leaving San Francisco. In

an interview printed in the San Francisco Call, May 16, 1907,

the day after he had plead guilty to a charge of extorting

money from French restaurant dives, Ruef said:

"The great mistake of this whole thing began with the Mayor's

trip to Europe. The Mayor had been proclaimed as the man of the

hour after the disaster of last April. He was suddenly seized

with the desire of making a trip to Europe, where he expected

to be received as one of the crowned heads. He thought his fame

would spread throughout the world and he hoped to be lionized

abroad and, incidentally, gain social prestige. The whole thing

was a mistake. I begged him not to go. I pointed out to him

that the city was in ruins and the place for the Mayor was at

home. He persisted, and all my pleadings were in vain."

[71] At a preliminary meeting of the organizers of this movement,

held in the office of the California Canners, October 10, 1906,

responsibility for the state of affairs in San Francisco was

charged to Ruef. It was stated at this meeting, and given out

to the press, that convincing evidence had been secured against

Ruef which warranted his prosecution.

[72] Acting Mayor Gallagher was emphatic in declaring that no

vigilance committee should disgrace San Francisco. The interior

press, which was following the San Francisco situation closely

and from an independent standpoint, advised Mayor Gallagher

that the best way to prevent organization of such a committee

would be to enforce the laws. Said the Stockton Record:

"If Acting Mayor Gallagher and his associates wish to abate the

agitation in favor of a committee of safety for San Francisco,

they should do less talking and take more energetic action

against the thug element. The police department of the

afflicted city is now virtually on trial. It is even under

suspicion of offenses graver than that of inefficiency. One or

two more crimes of violence with well-known people as victims

will fire the public indignation of San Francisco to a point

where incapable officers will be forced aside and an authority

created to meet the grave emergency confronting respectable

citizenry."

The Stockton Independent went even further. Said that paper of

the San Francisco situation:

"Acting Mayor Gallagher of San Francisco declares there shall

be no vigilance committee and no lynching in San Francisco. If

he and the police are unable to prevent daily murders, or

attempted murders, by single criminals, how can he prevent good

citizens in hundreds of thousands from lynching those criminals

if they catch them? Perhaps some of the purblind members of the

police force may be among the first to be lynched."

[73] After Ruef's capture of the Union Square meeting, Rev. P. C.

Macfarlane, pastor of the First Christian Church at Alameda,

said in a sermon (October 21, 1906) of the San Francisco

situation:

"Let a few resolute, clean-handed business men of San Francisco

who are not cowards, who are not quitters or grafters, get

together and make a purse of twenty, fifty or a hundred

thousand dollars, then employ the ablest attorney to be had and

set quietly to work to find the graft and punish the grafters.

They could make chapel exercises on Sunday afternoon in San

Quentin look like a political rally in San Francisco inside of

two years.

"Thus Eugene E. Schmitz stands before the world as a man who

tried to reform and could not. He is a moral inebriate. He is a

welcher. He is a wanderer on the face of the globe, a man

without country, expatriated by his own cowardice. This is Dr.

Jekyll.

"But there are some who see in Schmitz Mr. Hyde. These do not

give the Mayor credit for even a spasm of virtue and say that

the great work of the morning of April 18 was done by General

Funston and prominent citizens of their own volition. These

people say that he has now gone from San Francisco, taking with

him vast sums of money gained through the granting of the

trolley franchise, plotted even while the embers smoldered, and

that he will never return.

"The United Railroads is universally believed to have acquired

its trolley franchises by corrupt means. It is said that

prominent merchants will crane and crook and bow and scrape to

get a nod of recognition from Abe Ruef. Ruef has used the

advantages given him by the state of affairs to corrupt the

greatest city in California. Ruef owns the Board of

Supervisors. The Police Commissioners belong to him. The

saloon-keeper who wants a license, a corporation that wants a

favor from the Board of Supervisors, has only to retain Ruef as

an attorney at a fee sufficiently large."

Dr. Macfarlane gave expression to what many thoughtful men were

thinking, but of which few with interests at San Francisco

dared to admit openly.

[74] Mr. Langdon's statement was published October 21, 1906. It was

in full as follows:

"In view of the present extraordinary conditions prevalent in

the City and County of San Francisco, the unusual increase in

crime, which threatens to grow worse as the winter sets in, and

in view of the numerous charges of official graft and

malfeasance in office, I have determined to seize the

opportunity presented, by the impanelment of a new grand jury,

which has been set down for next Wednesday by Hon. Thomas F.

Graham, the Presiding Judge of the Superior Court in the City

and County of San Francisco, to inaugurate a systematic and

thorough investigation into these conditions. It is my official

duty to do so, and in pursuance of that duty and in view of the

magnitude of the task, I have decided to seek the best

assistance obtainable. It is my purpose to set at rest these

charges of official graft by either proving them false or

convicting those who are guilty. If the charges be untrue,

their falsity should be demonstrated to the world, so as to

remove the impressions which have been circulated to the injury

of the credit and fair name of the city. If they be true we

should show to the country that there is enough strength,

virtue and civic pride in our people to enable the regularly

constituted machinery of justice to re-establish conditions on

a clean, righteous and just basis, without resort to any

extraordinary expedients outside the law. This is to be an

honest, fair, thorough and searching investigation. We shall

protect no man. We shall persecute no man, but we shall

prosecute every man who is guilty, regardless of position or

standing in the city. In order that we may have the benefit of

expert services in this work I have requested Mr. Francis J.

Heney, who has won national fame for his work in the

prosecution of the Oregon land fraud cases, to become a regular

deputy in my office. Mr. Heney has accepted. It is unfortunate

that this work should be commenced during a political campaign,

but the conditions in San Francisco to-day require that radical

action be taken at once, and though I may be charged with

instituting this investigation at this particular juncture for

political advantage, I must ask the public to judge me by the

results attained, which will be the best answer.

"I am not unmindful of the great difficulties involved in this

investigation. It will be both laborious and costly. The money

available under the appropriations made to the District

Attorney's office and the grand jury is, of course, utterly

inadequate. Often previous investigations by other grand juries

have been made abortive because of this lack of necessary funds

to meet expenses. In the present instance we shall not suffer

this severe handicap. I am authorized to announce that Mr.

Rudolph Spreckels has guaranteed that he will personally

undertake the collection from public-spirited citizens of a

fund to provide for the expenses necessary to make the

investigation thorough and so that good results may ensue. The

city is in deep affliction consequent upon the dreadful

calamities of last spring; it is in danger from certainly

increasing invasion of desperate criminals from all over the

world; some of the public departments are undoubtedly in bad

hands, and I appeal to my fellow-citizens to give this

investigation their moral support, so that the innocent may be

protected, so that the guilty may be punished, and so that San

Francisco may be helped to her feet and started again on the

high road of prosperity in her material conditions, and have

restored decency, efficiency, honesty and honor in her public

affairs.

"WILLIAM H. LANGDON, District Attorney."

"The System," As Uncovered by the San Francisco Graft Prosecution · 第 4 / 26 章