The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1892-04-30

said vote OF said board of public works, the
said Home Fire Insurance. Company entered
into its certain contract in writing with the said
city OF Seattle, commonly known as policy OF
insurance, whereby the said Home Fire Insur-
ance Company, for and in consideration
of the sum of uinety-four dollars and
fifty cents (s9iJO) to it in hand paid
insured against loss by fire the machinery. en-
gines and boilers at the Lake Washington pump
ing station i'll the said city OF Seattle in the
OF three thousand (ss,oO1) dollars for the period
beginning with June !, 1884, and ending June l,
1892, which policy OF insurance is numbered H.
300. That ct the time of said vote and issuance
of said policy OF insurance the said W. V. Rine-
hart was a stakeholder in said Home Fire Insur-
ance Company, and as stockholder in said
company said w. " Rlnehart was interested in
the procurement OF said policy, and full we'll
knowing his interest IN said com pany consented
to, voted in favor OF, and aided in having the
said policy procured, and in SO doing said w. V.
Rinehart was then and there guilty of malfeas-
anee and misfeasance in office as a member of the
board OF public works Of the said city OF Seattle.
Charge THAT w. V. Rinehart member
OF the board of public works of said city OF Sc
attic, being unmindful of his duties as a men,
Der OF said board and the propricties OF his
said office, has from time to time and upon
divers occasions purchased through his agents
the time and warrants issued by said city to its
workingmen upon its public works at dis
count, and said w. V. Rinehart encouraged
through his ag snts the sale of said warrants at
discount that he might profit in the purchase
thereof; said W. V. Rinehart being in a posi-
ton, owing to the fact that he was member OF
said board OF public works and such a mem
Der OF the city government OF said
city, to know the time OF their redemp-
ton. That as a member OF said board
OF public works ii was the duty OF said
W. V. Rinehart to use his best efforts to the end
that the warrants issued to the laborers of said
city shall sell for their face value, that said
laborers should be paid one hundred 1O0) cents
on the dollar for their labor. That the purchas-
ing OF the time and warrants of said laborers by
said w. " Rinehart through his agents has
greatly tended to demoralize the city govern
ment of said city OF seattle and bring the same
into disrepute amongthe lsborers upon its pub
lie works and among its creditors. That in the
purchasing OF said time and warrants said W.
V. Rinehart has been and is guilty of misfeas-
ance and NAL feasance in Office as a member OF
the board of pubic works.
The citation winds up in the same fash
ion as the other requiring him to appear
before the mayor on May 8 TO show cause
why he should not be removed.
Mr.. Heilbron was asked by a Posr-Iy-
rELLIGENcER reporter as to his intentions.
He glanced over the charges and said the
only important matter alleged against
him was as to his being interested in
contract with the city.
"As matter of fact" he said, 81 have
not dollar interest in the Washington
Territory Investment Company Some of
the stock stands in my name but | merely
represent a client in the matter. / will go
over the charges carefully, and | can be
depended upon to respect the provisions
OF the charter as conscientiously as any
other official. prefer to say no more at
present. The public is quite as well able
TO judge of the gravity of the charges
against me and To see. through them, the
motives for this proceeding"
Major RInehart said he had repeatedly
given the mayor TO understand that he
would not resign
Il maintain that | have as much right
as any other citizen to buy scrip which is
openly offered for SALE" he continued;
''but the truth as TO the charge is simply
this: The city comptroller had made a
call for bid for $4,000 worth of salary
warrants through the official newspapers
They were nearly all taken at 9SK, | be-
heye, when Mr.. Ferris came to me and
said they were little short of the amount
needed. He asked me if l could take
some. | said did not want them, but if
ii was any accommodation / would. be-
lieve the amount was s245. and | took
them at the highest price offered in open
competition.
Now, as to placing insurance The
Home company thought it was being dis
eliminated against and applied for share
OF the business. am q stakeholder and
was IN DOUBT whether my position would
| permit OF the board giving the company
share. We consulted Corporation Coun-
SCI Jacobs officially and this was his an
swer;
My attention has been called by your chair
| man 70 the restrictive provisions found in sec
tiou Of article ". ana section OF article XIX.
OF the charter, and my opinion solicited ia re-
gard to the extent OF these restrictive provisions
answer briefly on the facts stated to me by
| your chairman.
"first-Does the fact that man is a stock
1 holder In corporation and such stakeholder is
| member in some form OF the city government.
! prevent she corporation Of which he is a mem
! Der from bidding on contracts 10 supply ms
terlSis OF any Eiad 10 the city, or from entering
Into contract with the city TO supply ms.
| 'erials, money or other things to the city -
answer that in nv judgmeu, it does not
so prohibit such corporation. corporation
! IS 8 distinct, artificial person of itself.
/ Just as distinct as natural persons
I stakeholder Is no part OF tina,
artificial or legal parsonage. such artificial
1 pessouage is governed and controlled by its
beard Of directors or trustees: hence cone In ;e
/ II the oais.al member OF the CITY government is
stakeholder ouly, he does not come within the
proptoitton or restrictions mentioned IN the sec
tons which hsve alluded To-
II such special member Of the city govern
ment Is a director in aay corporation his inte.-
| est becomes NOSE immediate ana direct aaa in
nv Judgment he IS within TIE prohibition
seeoad-II may be unnecessary Tor me TO
state that The rG!e woald be different in the case
| OF partnership aud Il 4 membsr OF partner
| ship is an Official member OF the city govern
men' | think tee prohibition OF the sections