The Waterbury Democrat., 1939-02-08
$127, ,OOO Fees Paid
 Unknown To Mayor
Continued rom Page D

morning concerning his applications for a contract to do utilities survey work in Hartford, and his acquaint- ance-ship with Mayor Spellacy of that city and former Mayor Tully of New Haven.
 Levy Looks Tired
 Although he looked tired, Levy showed no emotion this morning as he continued unshaken in his story the second story he told the grand iury-after having admitted pack of lies in previous appearances.
 His grand jury testimony showed that all payments were made to him in the mayors office at about 12:30 in the day, and that the mayor was never there. He also testified before the grand fury that in 1895 he thought the thing had gone too far" and sought to sever. himself from the Waterbur- ians. At this time, he said, he was given s2,O00 of the split instead of the previously usual amount Of sl,- 900.
 Fifth Day!
 Taking the stand for the fifth consecutive court day, Levy showed the strain of having been under di- rect examination by Alcorn for one day and a half, and under cross examination by Attorney Thomas F.. McDonough for the balance Of the time.
 Arguments between Attorney McDono,,gh and Special Prosecu- tor Alcorn threatened Immediately when Alcorn cautioned McDonough, would you be careful" in the manner in which he was reading the transcript of Levy's grand Jury testimony. "Do you mean it's deliberatep" demanded McDonough. He had missed a slight portion of the tram script. He challenged Alcorn to "Try reading 1t it's no fun" Alcorn did not claim that the omis- sion was deliberate and the flare subsided
 Various transactions in connec- ton with the alleged split of "utili- ties fees" of more than $l00,O00, from which Levy received about s22O00 were then described, as NC" Donough read the testimony which was given by Levy before the grand fury March 2e when he claims 10 have told the true story.
 Levy told the grand jury of one instance in which Kelly calico Leory to ask for the check and voucher for a payment, then went down stairs for 1t. Levy told the grand jury that in 1893. the first time. Olsen brought brown en- velope to the mayors office, where the check was indorsed by him, and turned the cash over to him.
 Count It"
 Kelly took the envelope. he said, to count It." Levy said he was given sl 900 and Kelly kept s7 600. At that appearance Levy said that he was not certain if olsen's first name was Carl. From that time on, at all the meetings in the mayors office. the envelope was given to Kelly by Olsen, according to Levy Lew told of transactions totaling s2i $50 in 1884 and $36,25l in 1855. The witness. Q self-contessed conspirator and liar, said that Ion frequent times asked Kelly if there were corresponding lighting savings to justify the payments" He said that the payments had become so heavy that he wanted to sever his relations. According to his grand fury testimony of the usual se0oo and some odd dollars checks, SS000 went to Leary, s2,000 to Levy, S2.0o0 to Kelly and the balance to Olsen. This split was described to him by Kelly, he said.
 He recalled only one occasion when telling the story to the jury when he had seen Kelly give money to Olsen, and that was one time prior to Olsen's taking c trip. sev- erai hundred dollars were passed to Olsen, he said.
 Tn Mayors Ofsice
 "Ali payments were made In the mayors ofiice ct about i2:30" he told the grand jury.
 The reason--the mayor was never there 1t was lunch hour --- there was nobody around.
 He later qualified that statement before the jury to say that there were occasions when stenographei was in the office. but he added that all the transactions between him Kelly and olsen took place in tho mayors office behind . closed door ft-was Levy's testimony before the fury that he did not know how Ol. sen was communicated with, but he appeared at the mayors ofiice each time Levy signed c check.
 The jury, according to the tran. script, asked Levy to describe other actions of his in connection witf Kelly and Olsen.
 Reading the transcript of testi' mony, with Levy agreeing that the transcript, was correct, Attorney McDonough revealed that Levy had told the jury about the telephone conversation with Olsen, ct which on appointment was made for the following day ct the Press club, be- cause Tommy Kelly was worried
 Meets Kelly
 fie said that he met Kelly tho next day and Kelly attempted te quiet Levy's fears from publicity which had arisen from one of the checks paid to him.
 At this time. Levy told tho jury he asked Kelly, Isn't it so that light savings approximate the amount of the checks issued"
 "f don't know, I will have to look it up," was Kelly's answer, accord ing to Levy.
 At q later date, Levy said that he wont to Kellys home, and that the latter advised him that the savings and the retainer would approxi- mately make the amount of the pay ments made. He said he went to Kellys house again and obtained correspondence from the lighting company, confirming reductions of