The San Francisco call., 1904-10-28
Witnesses Say Manager Tiffany
Told Them He Was Held Up for
Stock, but He Makes a Denial

building. and that he had small hope
or obtaining a permit without the as
sistance of Ruef.
WANTED LEWIS INFLUENCE.
This closed the testimony in the
Ruef matter and the jury next turned
its attention to Morris Levy's connec-
tion with the saloon adjoining the
theater and owned by Tiffany and the
estate of his father-in-law, John
Sroufe. Leake testified that Tiffany
had told him he was going to give
Levy an interest in the saloon in order
to gain the favorable consideration of
the Public Works Board, of which
Levy Is secretary. Duke corroborated
this and added that he had advised
Tiffany mot to give away his saloon
Levy admitted to the jurors that
Tiffany had offered him a half interest
that was to be paid for out of the, re-
ceipts of the business" Asked to ex-
plain what could have induced Tiff
fany to make so liberal a business
proposition the secretary answered
that he believed his personal popular
ity was the principal consideration. 1t
was expected to draw a big trade to
the saloon.
But the deal fell through, for when
the papers were about to be signed
John Sroufe died. So at the present
time Levy holds no interest whatever
in the saloon.
This was as far as the Grand Jury
got with Levy. 1t was said by one of
the jurors last night that there
would be no further investigation of
either the Ruef or the Levy matter,
his reason being that there was no
evidence on which to make out case
Herbert Schmitz, president of the
Board of Public Works, was not called
yesterday, owing to lack of time.
PHELAN BEFORE JURY.
The hour of o'clock had been passed
and in the anteroo. were ex- Mayor
Phelan. Assessor Washington Dodge,
Robert McElroy and Charles w. Fay,
who some years ago was Phelan's
secretary, waiting to be examined in
an investigation of charges preferred
by Grand Juror James G. Nealon that
the former Mayor was enjoying un-
warranted advantage in the assess
ment of his properties. Nealon had
taken none of his fellow jurors into
his confidence and they were some
what opposed to his proceeding. Nor
was the attitude of his colleagues
changed much at the time of adjourn
ment. in fact. the jurors refused to
hear Charles w. Fay, who Nealon in
sisted should be called to testify.
Phelan told the jurors that he had
never made an application for reduc-
tion of his assessment. He gave the
valuations of the Phelan buildings on
the gore of Market and OFarrell
streets for several years back. but
Nealon piled him with questions con-
cerning other holdings concerning
which the former Mayor could not re-
call figures.
Assessor Dodge came before the jury
armed with chart showing the rise
and fall of assessment of the Phelan
building since 1881 He said >that
twenty three years ago the building
was erected at a cost of $420, 0,000 The
present valuation for taxes is S22O OOO
When Nealon was Assessor, from 1887
to 1891, he arbitrarily raised the as
sessment from $265, 900 to $780, 900. His
successor reduced the figure to $500. 900,
at which Dodge allowed it to stand for
several years. He did not disturb the
valuation until this year, when he re-
duced it to $500 600, which is 81 per
cent of the original cost. The present
basis is to make the valuation for tax
purposes on new buildings 80 per cent
of the cost of construction Dodge ex-
planned that his policy is to reduce
the assessment on buildings and in
crease it on land the object being to
encourage improvements.
The discussion waxed warm between
Dodge and Nealon, but the former had
much the better of the argument.
Where Nealon complained that PheIan
had enjoyed reduction of 40 per cent.
Dodge showed that the grand Jurors
properties had been given like reduc-
tions.