Evening star., 1948-04-22
Defense Tries 10 Show
Kelly Forged Authority
TO Draw Union Funds

Inc defense IN Inc conspiracy LIlal
in District Court involving six men
linked with the International Hod
Carriers and Common Laborers
Union (AFL), today sought to show
resolution forged by the missing
defendant, Larry Kelly, enabled him
to withdraw union funds from the
City Bank here.
The Government charges that
through the conspiracy 100000 OF
union funds were stolen.
Defense Counsel Austin r. Can
field cross-examined Government
witness, Bernard M. Grant, vice
president of the City Bank, this
morning. The lawyer contended q
resolution of a nonoficial Executive
Board of the District Council Of
the union, filed with the bank by
Kelly as authority to withdraw
funds, was forged. Mr.. Grant said
he had no personal knowledge OF
this.
Mr.. Garfield also brought out
that Joseph v. Moreschi, interna-
tional president, on March /, l943,
took over Washington area funds
Eof the union on deposit at the City
Bank. A letter to this effect was
put into the court records.
The Government contends some
defendants were permitted to with
draw union funds from the bank
solely on one signature in violation
of union rules. Mr.. Garfield, how
ever, In cross-examining Mr.. Grant,
brought out this was customary
bank practice, when the bank had
written authority.
Blank Checks Lying Around"
At one point during the morn
ing, Justice Alexander Holtzo1, pre-
siding at the trial, observed:
This case is being tried on a
high plane by both sides"
Shortly before the hearing re-
cessed, Arthur r. Bissonnette, for
mer member of the District Coun-
Gil, testified he saw blank checks
lying around union headquarters
signed by the defendants Faust
Moreschi and George Morgan. Mr..
Bissonnette said he was informed
Faust Moreschi had been sent to
Washington to check on Kelly be-
cause finances were irregular.
The witness said Defendant Jo-
seph Speed told him two barracks
and two night clubs were to be
built at Cedar Point, Md. near the
Patuxent Naval Air Station and
money from the clubs would help
pay for the barracks for laborers.
He told the jury Local 1872 in
Southern Maryland was to finance
this project.
Says He Was Outvoted.
| Cross-examined by Mr.. Garfield
Mr.. Bissonnette said he was out
voted in the council when he sought
to inquire into irregularities. He
conceded he never introduced a
resolution to inquire into the finan-
cial affairs of Local IA here.
\ Defense Counsel Charles E. Ford
who also cross-examined Mr.. Bis
sonette, drew from the witness that
| he was informed the two restaurants
were going to be built SO the labor
ers could have place to eat. Mr.
Bissonnette could not give the year
of the conversation.
Mr.. Garfield hammered away al
the contention that Kelly, former
treasurer of the building commit.
tee of Local "a of the union here
ran the show" and conducted its
financial affairs. The defense says
Kelly died in the South Pacific
during the war, after serv-
ing on a merchant vessel. The Gov.
ernment, however. at the start Of
the trial, obtained a separate tria.
for him, saying he is now ''unayail-
able" Kelly is named in the same
indictment with his six fellow union.
| lists now on trial.