Omaha daily bee., 1910-01-28
CRAFT CHARGES IN CHICAGO
Eleven Indictments Are Returned in
Lawrence Avenue Case.
QUARTER MILLION INVOLVED
Accused Men Are a 'COntractor and
Employees and Several CITY Off
ciaLs ---OVercharses for
Brick nnd Concrete.

CHICAGO, Jan. 27.-Paul Redieske, re-
signed deputy commissioner of public
works; Michael H.. McGovern, a wealthy
contractor who has had many big city con-
tracts, and nine city officials and employees
of McGoyern were" indicted by the grand
jury today.
The men, are. charged with consiperacy
to defraud the city Of 1854, 600, according to
the sum mentioned In the true bill.
The indictment on this charge came as a
complete surprise. as 1t was believed the
alleged frauds involved only about $4,000
In the so-calTed 'shale rock scandal.
The men indicted besides Redieske and
McGoverrSlwere:T Otto Niehoff, secretary
to McGovern; Max Landguth, former super
intendent for McGovern; George Moore,
foreman for McGovern; Ralph Bonnell, re-
81 nel. assistant city engineer; John c.
PT4k assistant. city. engineer; Robert
GreeA, a foreman for McGovern; Richard
Burk5 John McNiohols and Joseph Maher,
city Inspectors in engineers department.
Tho indicted men are specifically accused
of cohspirlng to .defraud the city by laying
only Ione-Slxth of the concrete and brick
work called FOR In the contract for the con-
strucaion of section IN" of the Lawrence
avenue tunnel
The Merriam commission, which has
been investigating municipal expenditures,
brought out the fact that the city had been
charged about $4,000 for the cutting out OF
''shale rock In section ID" Of the tunnel.
The g''shale4 rock proyedato be only hard
clay. Evidence concerning the alleged
S225, 900 frapd on which the indictment was
based wis gtot brought out by the commits
sion. In the Indictment the men are charged
with. trying 20 obtain nine warrants for the
payment. Of S254,OOO by the city OF Chicago.
- The last payment on the 325O,OOO contract
for the Lawrence avenue tunnel sewer was
: made by the city in July, 1909. The wit
,nesses upon whose testimony the men are
believed to have been indicted were:
John ]. Hanberg, commissioner of public
works; John Ericsson, city engineer; e. ]
Miller, voucher clerk in the city comptrol-
ier's office and five employees of McGov-
ern.
I, ,Redieske Furnishes bond.
Redleske displayed little emotion when he
was told he had been indicted. and later
furnished the $4,000 bond required from
him. McGoyern was also held in $50. 900
bonds, while the, others were placed at
$4,000 each, MeGovern announced that he
would furnish the bond tomorrow.
The following statement was made by
? Redleske:
The ony thing / can say Is that no re-
port Of any irregularities or shortage of
material In Me construction of the sewer
was eyer made to me.
II had reports that the work was pro-
crossing very favorably. In fact. the city
~t5engtneer reported to me that the job was
sNone of the finest pieces OF sewer building
he had ever' SEEM"
Mayor Busse refused to make any state
ment when he was told OF the indictments
having been returned, Redieske resigned
from hts position as deputy commissions
of public works a short time ago. after the
Merriam commission had made public GER
tain statements relating to the methods OF
his office, Bonnell was formerly an as
ststant city engineer, but was suspended
for refusing Sotaid the commission in its
Investigations. .fF
II was announced from the states at.
torney's office that the grand jury would
continue It's probe into other lines Of al
legged city han graft.