New-York tribune., 1908-08-27
REPORT ON COLER DEAL
Continued from first page.

statement last night IN reply 10 the report
made by the Commissioner Of Accounts
THE firm of Lutan & Co.. behind whom was
the Borough Bank, held several contracts for
the building of sewers in Brooklyn" said Mr.
Befernan When Mr. Coler took office
number of the sewers in miserable condi-
ton The sewer in Knickerbocker avenue had
hardly been commenced. Lutan failed and as
signed his contract to Madsen. Coler compelled
Madsen to tear out the work which Rutan had
done and which was in very bad condition and
TO put in good work before he got his money
The Knckerbocker avenue sewer was con-
structed under the supervision of our engineers
and they reported that it was an excellent Jop'
1t was very complicated work. and 1t took the
engineers two months to compute the amount
due Madsen. .
IN those two months Hurley came to the Of
flee about twice week. He complained Dit-
ter1y that the money for the contract was helo
up because he was a McCarren man. Coier al
ways referred him to Chief Engineer Fort OF the
sewer bureau and Consulting Engineer Creuz-
haur.
'4Creuzbaur recommended on october 4, IN a
report that the final estimate due Madseh De
paid the city retaining about sloo" TO cover
points The engineers had approximated the
amount due Madsen- His voucher, minus the
$4,000 was made out and forwarded to Con-
troller Metz on October f. Hurley was begging
Coler at this time to make terms with McCar-
ren.
wv NJ CoIer & Co. of which the Borough
President is member. were making prepara-
tions to meet the financial difficulties tnat oc-
Cured a few weeks later. They were borrowing
money of various ba nks. Coler told Hurley that
he would borrow $4,000 from the Borough
Bank and would give proper securities. Hurley
said that he himself would lend Coler SlO.ro
and take his note. This was done on OCTOBER
10. Creuzbaur has reported that Coler never
lifted a finger to hurry Madsen's voucher. lie
rather delayed It.
ATTACKS MITCHEL'S STATEMENT
AT that time they were not paid in full, He
actually held up about $1,000, which was not
paid until late in December. IF there was any
place where he could be accused of hurrying tie
Dav1uent of the money 1t was in Metzs office.
and any commissioner of accounts who would
make the statement that Coler's influence In
Hurley's behalf worth anything in Metzs
office would expose himself to the ridicule of the
people Of New York The matter simply
banking transaction between two bankers The
securities were adequate to Cover the loan and
So 900 has now been repaid in accordance with
the loan agreement.
The securities the those upon
which Coler borrowed money from the Kings
County Trust Company and other banking in
stitutions. When this matter first came out,
while Mr.. Coler was in Denver-NfcClellans
policy IS to attack him soon as his back Is
turned-I went to Mr. Bruere, the director OF
Municipal Research, who is working with the
Commissioner Of Accounts. and he told me that
he wanted to believe that they were work
ing in good faith. told hms that l wanted
him to investigate the contracts OF our office
and 10 report as to whether the slightest injury
had been done the city or Mr.. Hurley. or If the
slightest impropriety had been committed by
the Borough President in connection with them.
He promised to let have the report in
week.
1T was then the middle of July. He sent
over his man. Mr.. Weldon and the engineers
of the Commissioner Of Accounts. and they
amined the contracts and Mr.. Creuzbaur. Mr..
Creuzbaur told them in my presence that no
action had been taken by the Borough Presi-
dent in regard the payment OF Madseu and
others except upon his recommendation, vol
unfairly made
Last Saturday Mr.. Bruere sent over short
report in which he said that at request he
had made an investigation and had learned that
the payment Of vouchers before the completion
OF the contracts unusual We replied to
him that he had not answered the question
which we had put to him. Mr.. Coler and Mr.,
Creuzbaur are now out of town. and Mr.. Nc
Clellan has again attacked the Borough Pres-
dent after his usual method They simply
pursuing a plan of defamation--the course OF
Tweed.
ITO strengthen his cause and to suppress
those who dangerous TO him. Mr.. Tweed fol-
lowed the tactics, made the OF
grand juries against all who lifted their voices
against the corruption in New York City. They
are simply trying to make political capital out
of this matter just before primary day. AS to
that picture by Bruce Crane, MIR. Coler had 1t
appraised the other day by So. He said it
worth $40 and not $500. Mr.. Coler gave Hurley
in trade for that picture three Grolier Club
books valued at about 500 $50"