New-York tribune., 1903-06-17

afternoon that he had just begun John Doe
proceedings to discover the alleged ''grafters m
the old Tarnrnany Dock Department
.oTbe in,,,irv will he before Justice Mayer,
and the examination will be conducteo oy my
assistant. Marshall B. Clarke. and is on inror1ra-
ton that personally have presented said MI
jerome.
An examination by expert accountants or ten
of the leases granted by the old board SHOWS
tha. the city is in a position to lose s4'Soo'oVV
on account Of undervaIuatfon Of leases by the
old board which parcelled them out 10 poiiticdl
favorites without advertising
Mr.. Jerome has been informed by con-
tractor that when he Che contractor tried to
obtain a pier he was told to write out an ap-
plication. but not to mention any price. as the
department did not want figures OF that Klno
on file 1t is believed that this will be con-
str,ed against one of the old commissioners
as conspiracy to defraud the city.
"Tobn Doe" proceedings in this particular IN
stance mean that District Attorney Jerome
believes he has struck the trail of the sraILer-
Charles F. Murphy, now leader Of Tannany
Hall and ]. Sergeant Cram, chairman OF 'ne
general committee of Tammany Hall, DOCK CON-
rnissioners under the Van Wyck administrator
were in conference yesterday afternoon These
tu-o and Peter F. Meyer, Richard Croker's lor-
r,oer business partner. comprised the old DOCK
Roard Under their direction leases were nlane
uitb favored Tammany contracting firms at
s1spiciously low rates. In the case or the lease
to the mysterious Joseph Egan, the Corf
Counsel charges that conspiracy and fraud were
practised to change the terms of the lease from
three years to thirty years, and the annual
rental from 81 .250 to $3.50
WITNESSES FOR THE PROCEEDINGS
It Is understood that the following have been
subpcenaed to the inquiry:
4 e. Cbenoyyeth. of No. Enst Thfrty-hrst-
IT and John A. Bouker. of No. "a state-st.,
both of whom had "troubIe" with the oio
Dock Board pier lease matters
Charles F. Murphy. j. Sergeant Crah eli"
peter F. Meyer former Dock Commissioners-
John j. Murphy, brother or Charies
Murphy.
AIaermap jaime. E. Gafney, supposed to be
,ha mx.teriou, ..F,. ~ Gnnney, treasurer of
the New York Contracting and Trucking
Company. lessee of the seFenty-niaih n
Ninety-sixth-st. piers, North hiver
Daniel +, McMahon, of Naughton a TO-
Charlie. Brown and John Fleming, OF
Brown & Fleming, against whom the cry
hns lust obtained judgment for so'Voo hor
illegal occupancy of the Old Slip pier
william HI. Burke. secretary OF the oIo
Dock Board, named In the complaint In the
action brought by 1.-The Corporation oonns0
to cancel the Joseph Egan lease ON ING
District Attorney Jerome has heard a number
Of stories concerning the alleged grating sys-
tenn practised while Messrs. Murphy. Cram and
A5evar ran the old Dock Board One OF them Is
substantially as follows:
Tbe annlicant for a. pier lease was never, un-
loss a personal friend of the commissioners, al
lowed to see any of the three. He stated MS
business and was told to come again. as the
commissioners were too busy to see him that
day. The next forenoon the man who wanted
the lease would be visited by a stranger, VINO
would say:
..I hear YOU want a pier. I've got considerable
influence with the Dock Board, and maybe l can
help you
This would be thrown out as feeler IL lne
man who wanted the pier caught on reaohy
and exhibited the proper spirit OF reciprocity
the caller would note it and the deal for a rake
off would be made then and there. II, on the
other hand. the man declared against doing
business in that manner, the caller would go
away. The next time the tried to see the
dock commissioners he would be informed that
II was of no use to hang around any longer. as
he couldn't get a lease anyway.
The old hoard started in January, 1898. by ad-
vertisiug the lease of a Harlem pier on the
North River at public auction. It brought a
good price That was the last one advertised
Thereafter up till Election Day in 1901, when
Tammany was voted out of office all permits
and pier privileges granted "at the pleas
ure of the board
This is the entry made under the column
headed Term of Tenancy in 13S cases OF cor
poration wharf property granted by the Cram
Meyer-Murphy Dock Board, according TO the re-
port of the Dock Department for the year 1900
AT PLEASURE OF THE BOARD.
Back of this phrase. "at pleasure OF the
board" is believed TO lie grating system
The records of the Dock Department now be-
ing overhauled by Mr.. Jerone's experts show
that while the old Dock Board in Office
every pier permit which by any means could be
let "at pleasure of the board" was so let,
and the records further show that after Tam
many Hall was defeated in the fall OF 1901 all
leases were granted to Tan1many favorites for
long terms-twenty or thirty years for instance.
The explanation is believed to be that where
the term of tenancy was 'at pleasure of the
board" there the CRATER" got in his work. As
soon as the Van wyck administration was
turned out "at pleasure OF the board" vas
no longer of use club to hold over permit
holders. and accordingly the long term leases
were made on terms which in one case. the Law
Department of the city is trying to prove con-
stituted conspiracy and fraud
The Commissioners of Accounts find that the
old Dock Board violated the law in granting to
Brown & Fleming thirty-year lease of a part
of the Old Slip pier for dumping board. Sec
ton So of the charter says: 1T shall not be
lawful to build a dumping board on any pier in
the navigable waters Of the East River which
has heretofore been used by sailing vessels regu-
larry employed in foreign commerce of over Is
feet draught."
Despite this plain provision of the charter the