The San Francisco call., 1909-05-13


however, after trying TO blacken his
name. to endeavor to prevent US from
going into these questions"
PheIan Explains Actions
A A Moore with bad grace answered
Heneys bitter charge by withdrawing
his objection to the question which had
nounce in a short speech that he had
no intention of attacking Claus Spreck-
els or his motives in any way.
Then, if not that, state what your
purpose is in bringing up these mat
ters," challenged Heney. Rogers made
no answer.
Phelan explained his connection with
the Municipal street railways company
on direct examination yesterday morn
ing. He said that he was an incorpor-
ator with Claus Spreckels Rudolph
Spreckels. Charles S Wheeler and
George Whittell and that the articles
of Incorporation were filed the day be-
fore the fire. This was after Calhoun
had refused TO confer any further in re-
gard to an underground conduit system
and had announced his intention OF go
ing ahead with plans for an overhead
trolley system throughout the city.
Phelan said that he was invited to join
the company as stock holder after the
he had not taken an active interest in
the arrangement of details.
Test for Conduit System
IT went into the company because I
stood firmly for the underground con-
duit system and wanted to see il in
operation here" said the witness. IF
we could have gone ahead and proved
that the people wanted the conduit sys-
TEN here. that it was feasible and that
possibly it could have been made to pay,
our purpose would have been served.
It was the last resort. We had negoti-
ated in a friendly way for months.
Then Mr.. Calhoun refused 10 treat with
us and I saw the fruits of our endeav-
ors being lost. Moreover, I believed
that Mr.. Calhoun had negotiated with
the city administration"
In another reply TO a similar ques-
ton. Phelan said that the object of the
incorporators Of the Municipal road was
TO answer all questions concerning the
underground conduit road by actually
putting one in operation.
Phelan was willing to risk money in
the proposition, he said, although there
was some doubt whether ii could be
made TO pay because the outlet at the
foot of Market street would be closed
by the existence of the two distinct
under distinct company names to" pre-
vent competition. This desire to secure
an underground conduit road and the
certainty that Calhoun's plans for an
overhead system would be granted, be-
cause the board was venal and cor
rupt, were the chief factors. Phelan ex-
planned, in molding his decision to join
the new company.
Testimony was brought out by Heney
{ Col, ~
announced his approval of the plan for
a competing street railway when it
was first publicly given out that such
a road would be built and that Cal
houn had already broken off all nego-
tiations and declared his intention of
completing plans for an overhead troll
ley system throughout the city.
Defense Granted Latitude
Heney freely allowed the defense to
introduce a mass Of newspaper articles
without objection, but when he en-
deavored to do the same thing on re-
direct examination he was met by a
positive refusal on the part of the
defense to permit the showing TO be
made.
Rogers attacked Phelan on cross ex-
animation with theory which Heney
quickly turned into an absurdity. Rog-
ers called attention to a charter pro-
vision which prohibits a city official
OF employe from purchasing an inter-
est in any franchise or public service
corporation and 70 another provision
which gives a former mayor the right
to sit as member of the board of SUI
pervisors and participate in discus
sions after he has left Office. He then
demanded to know il Phelan had con-
sidered this when he joined in incor-
porating a street railway company, at
tempting to show that the provision
of the charter prohibiting such thing
would apply to Phelan as former may
or and ex oficio member of the, board
of supervisors.
PheIan's Relation to City
DO you think that applies to you
now2" demanded Henev of the witness