The Waterbury Democrat., 1939-02-02

and the balance of s5,0OO turned over to Mir. Leary."
 DrAmAtionlly--the days court session concluded following the ad- mission of that evidence on the part of Levy, the hurly New Haven harrister who has pleaded guilty to the conspiracy charge, which 2S other men are lighting In the trial,
 Several checks were described by Levy yesterday, as made out in his name, endorsed by him in the May or's office, then turned back to Kelly who gave him e lesser portion of the face value, after cash had been brought to the scene by Carl D. Olsen,
 On the stand yesterday, he identl- fled checks to the value of $6S,000, and claimed that from this sum he received but $i2,500,
 Checks Total $1e6,OO0
 The state claims that checks to the value of $i26,000 were made out in Levy's name and endorsed by him-but that actually he received only about $20,000, The checks ranged as high as 5000, but the most Levy ever received at one time was $2,000, he said,
 Before court adjourned yester- day, Aloorn stepped to the bench and asked Judge Inglis if he had ruled that priyna faoie case of conspiracy had been made out against all the accused.
 A stampede of defense counsel ensued, and from the melee, Judge Inglis pronounced that he had not even ruled 6 prima faoie case as made out against any one,
 Levy was the second witness to take the stand, following City Clerk John P. Fitzmauriee, who took the stand for questioning Tuesday, and was eross-examined yesterday, He described the opera tons Of his office, as connected with the controllers office in the issu- ance of city checks,
 Throughout the testimony of Levy the defense unit voiced numerous objections.
 Paints Picture
 Starting at 2:l5 o'clock yesterday, Levy gave Q complete picture of his alleged connections with Kelly from March, l930 until 1885. Their ae- quaintanee allegedly started when Levy came here to seek 0 contract on behalf of the George D, Brown ing Go. of New York-to lower the utility rates for the city.
 The contract was subsequently, obtained, for two years instead of the regular one, and on the condi- ton that half the proceeds of the contract be turned over to Kelly according to Levy,
 Actually, the contract ran from June, l930 to May, ie32, and Brown Ing received $4,2o0 from Kelly, $2,- 900 of which he returned to the Mayors secretary.
 This arrangement was on orders of Controller Daniel J. Leary, who talked with Kelly and Levy In the basement of the City Hall, said Levy,
 Contract Signed
 The original contract with Browning was signed by Mayor Hayes and Levy, with Kelly and Leary as witnesses. A photostatie copy was introduced as evidence, and shown to the jury,
 After the termination of the Browning contract, e telephone call about c month later brought Levy back to Waterbury to confer with MT. Kelly. According to Levy, Kelly apologiged for tho manner in which tho Browning affair had worked out and asked Levy to work singly with him on Q similar venture.
 Under the new agreement the two were to work to reduce the costs of power to the city, and Levy was to receive the same split, 25 per cent. The 70 per cent was to go to Kelly, he said.
 Retains SI,O00
 Levy testified that few days ia- ter he received Q check for $8,e3i ,00, which he endorsed June 2, 1892, turned back to Kelly and received $i,000. The cash, he said was brought to the mayors office by Olsen.
 Levy said that from May, 1882 he saw Kelly "once Q month"
 Levy also said that in the mean- time he had done nothing about the Waterbury lighting situation.
 He said that in September or Co., tober of 1883 he again met Kelly at the mayors office and this time e check for $6,400 was presented and signed for him, in return for which he received $l,000. In January of 1884 Q check for S6,000 went through similar procedure and he received $i,000; in June, 1884, Q check for 5000 and he received $i,500; in the spring of 1885 e check for S0000 from which he received $2,000; in December, 1885, e check for $9,000 from which he received $2,000.
 At this point Alcorn charged that he had proven Hayes, Levy, Leary and Kelly were organized in the conspiracy.
 Murray Protests
 Attorney Murray challenged, say ing, "The fact that the mayor signed the Browning contract is no sign of untoward conduct on his part"
 Tt was transaction under cover of darkness" remarked the prose- cutor, pointing to the fact that only Kelly, Leary and Hayes took part in the signing of the document.
 "They were the most natural men in the world to witness the contract" argued Murray, pointing out that Leary was controller and Kelly executive secretary.
 Concerning the evidence as given by Levy against Olsen, Kelly and Leary, Judge Inglis remarked that 1t would only affect those three, and "it will do the others no harm un- less and until they are linked up with the general conspiracy"
 AlcOrn "Testifies"
 Nl.aAAkfA. A.