Orleans County monitor. [volume] (Barton, Vt.) 1872-1953, 1910-03-23
CORRUPTION
IS REVEALED
Insurance Inquiry Opens Up
New Scandals at Albany
NOTED men ARE DRAGGED IN

NUtcU WEN hllL UilHUUEU In
One "High- Priced" Firm of Lawyers
Received $17 500 For Work In Con
nection With Legislation Pending In
1so5-"Present" of $1,000 to Repub-
lican Leader-Some Very Interest
ing Testimony Is Submitted
New York, March 81. -Mercilessly
hurting question after question at re-
luctant witnesses. and reading to
them in rapid succession letters and
kilograms that told in unmistakable
terms of the activity of fire insurance
companies in influencing legislation
at Albany, William H. Hotchkiss,
state superintendent of insurance
and his attorney, Alfred \Hurrell +,
forced startling revelations at the fire
insurance inquiry.
1t was shown that large sums OF
money had been raised to procure OF
1906 These payments, the majority
of which were to law firms ranged
from $500 to SIT, 500.
The three largest payments were OF
SIT 500 to the law firm of Sherman &
Sterling in 1905 for work at Albany in
connection with legislation then pend
ing. of SIS 200 in 1906 for the same
purpose. and of SS311 to Elijah B,
Kennedy, member of the insurance
firm of Weed & Kennedy. 1t was thi:
latter payment that came out when
Kennedy's bill to the New York board
of underwriters for $13 81 was pro.
duced.
The witnesses examined were Ken
nedy, Charles L. Case, former chair
man of the committee on laws anC
legislation of the board of underwrit-
ers, ana William N. Kremer, of the
German-American Fire Insurance
company, who was vice chairman o
the committee on laws and legisla-
ton of the board from 1900 to 1907
| and chairman in 1907 and 1908.
Timothy L. Woodruff, now chair.
man of the Republican state commit
tee, the late Senator Raines, Repre-
sentative Malby, and former Assem-.
! blyman Riordon of New York, were
| among those mentioned in the testi
mony
Mr.. Woodruff, at that time lieu
il
1901, testified Kennedy, telling hin
that the insurance tax bill which TIT
! companies were opposing would no
/ be pressed. Malby, then state sena
tor, evidenced kindly interest in tn,
| bills, as shown by letters to Kennedy
an old friend of his. Raines wa
amicably disposed toward Kennedy il
! his efforts to defeat undesirable legis
latiOn.
AS for Riordan, Kennedy said h
came to him with such a show of in
terest that he, Kennedy, becam
aroused, like chain lightning" an
cut short the interview, refusing as
! representative affected to discus
pending legislation with a member Q
the legislature.
One interesting statement made b
Kennedy was that he had given
present" of $1,000 to George w
Aldridge, Republican leader of Mon
roe county.
This item was part of the $4,000 of
ficially disallowed by the underwrit
ers, but later reimbursed to Kennel
by assessments levied on the insur
ance companies individually.
Every effort to force Kennedy t
tell who received the remainder of tn
$4,000 was futile.
1t was through the testimony {
Case that the payments of SIT 500 an
SIS, 900 to Sherman & Sterling wer
brought out. When vouchers fc
these payments we're submitted, Gas
said frankly that they were correct
but when it came to telling the exaC
nature of the services rendered b
was vague Sherman & Sterling, h
said, were high priced firm" an
the work entailed on them as counst
demanded laborious research an
many trips to Albany to argue befor
committees, interview legislators, an
keep in touch with the situation
Mr.. Case testified that Reuben I
Fox, now dead, the secretary of tn
Republican state committee, had bee
paid an annual retainer of $3.50 fl
years for keeping the insurance me
advised of the progress of Legislation
ton.
Police Check Marathon Dance