The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-02-05
GRAND JURY HEARS
"GIYER OF 100000"
Kcrbaugh, Holder Of so, 900, 600
Aqueduct Contract, Asked
About Gifts.
CARMODY TEST1FIES TOO
Larney, Angcred by KellOck In
dictment. Calls It
"Man Hunt"
CARMODY TESTIFIES TOO

Henry S. Kerhaugh. former partner OF
James c. Stewart and holder Of the con-
tract for building the valhalla dam on the
Catskill aqueduct. was questioned yester-
day afternoon before the Supreme Court
Grand Jury which 10 investigating high
way graft. aqueduct contracts and cam.
palgn contributions.
The fact that kerbaush refused to
waive immunity Is believed to have re-.
str!cted the scope Of the questions put to
him.
The contractor has been mentioned a. a
contributor to the campaign fund Of Mayor
Mitchell. Reports have reached Mr.. Whit
man that Kerbsueh gave three $500 bills
to one OF the Mitchell campaign commit
tees.
John A. Hennessy testified in the John
Doe proceedings that he was informed by
George II. MCGUIRE that Kerbaugh con-
tributed $4,000 in 1911 and $1,000 more
in 1912. From the same source HenneSsy
learned that Kerbaugh had contributed
800. 900 since he got his $4,000, 900 aque-
duct contract.
william Travers Jerome, who appeared
with kerbaugh. said that the contractor
did not fear TO tell the Grand Jury about
his connections with any Of these alleged
transactions.
CarmOdy Before Grand Jury.
Attorney General Carmody told the
Grand Jury what he knew of the Stewart
barge canal bids. He said that in his
opinion II would have been perfectly
proper for the Canal Board TO accept
Stewards conditional bid on contract ia
Had tho "a mi I'd dnpo ba Gsoy
would have saved s2s.O0o. Mr.. Carmody
said he knew nothing Of the motives that
prompted George II. Mcclure 10 ask Gov
ernor-elec. Sulzer TO telegraph the Canal
Board to delay action OF the Stewart bids
until he could get to Albany.
After Mr.. Carmody left the Grand Jury
room he and District Attorney Whitman
posed for the photographers. They sa,
side by side on a sofa In the library. 1t
is worthy OF note that Mr.. Whitman did
not upon this occasion wear his new tor
toise shell spectacles. the largest ever
made.
william a. I.arney. mentioned before
the Grand Jury on Tuesday by William
Henderson as the man Henderson had
engaged because OF his political infiu-
ence when he became contractor in
1911, took a fling at his former asso-
Ciate for bringing about the indictment
OF Samuel X Kellock.
Larney swore that he and Henderson
were partners and that Kellock collected
money from the State hospital treasurer
on an assignment at his direction. His
explanation was that Henderson owed him
money and that the use OF kellocks as
signment was the only way to ge, IL.
He exhibited checks which he said he had
paid out for Henderson. His assertion
that Henderson still owes him money will
be disputed at the next session Of the
Grand Jury.
Worse Than Russia, says Larney.
THE indictment OF Kellock Ia an out
rage" said Larney. THE only explana-
ton for it is that he was "a friend OF
Charles II. HYDE The man hunt isn't
over yet. Talk about Russia-,his is
worse"
Martin w. Litteton informed the Dis
trict Attorney yesterday that he had been
retained as counsel for kellock He will
probably have his client plead before
Justice Davis to-day,
A demurrer has been filed to the in
dctment charging Thomas Hassett with
attempting TO obtain money under false
pretences. Hassett's attorney claims that
the indictment is illegal because II was
found by special Grand Jury and also
because Assistant District Attorney John
Kirkland Clark was in the Grand Jury
room while the testimony against Has
sett was being presented.