The herald and news. (Newberry S.C.) 1903-1937, June 11, 1909, Page TWO, Image 2
INVESTIGATION OF
THE DISPENSARY
Mr. H. A. CURIEL GIVES EVI
DENCE.
Shows That Farnum Got Large Com
Missions For Ma!ing Sales to
The Dispensary.
The State.
The commission to wind up the af
fairs of the State dispensary resumed
deliberations yesterday morning. The
feature of the day was the placing
on record of an affidavit from Col. C.
H. Dudley in which he declared that
he had given money to officers of the
State of South Carolina to get them
to buy liquor from houses he repre
sented.
Another feature was the examina
tion of Mr. Herman A. Curiel, of
New York, who stated that he had
paid J. S. Farnum and Briggs M.
Wilson, brothers-in-law, to get busi
ness for him from the State dispen
sary. He had not been told what
they did with the commissions but
th( intimation was plain that there
wpre dispensary officials who were
getting.it. And the worst blow of all
was when Farnum offered for $1,500
to get Curiel 's claim paid by the dis
pensary board when it was being held
up, even after the legislature had de
eided that the renowned blacklist
should be removed and houses repre
sented by Farnum received $400,000
immediately.
When the commission first met Mr.
W. A. Clark declared on behalf of his
client, Wiliam Lanahan & Son, that
ii. would be a physical impossibility
to bring here the books of entry and
record and the stenographers in the
offices. He asked for a monification
of the mandate of the commission
with reference to his client. This
morning at 9:30 was set for the hear
ing of this case.
Mr. Clark suggested that Mr. Lyon
and Mr. Felder might 'have come
around by Baltimore while in New
York and Philadelphia.
Mr. Lyon stated in this connection 1
that he had not gone anywhere that I
the commission had not requested,1
and that the commission had not ouly
showed no desire for him to go to
see Lanahan, but had actually ex- i
pressed some objection to giving Lan- ~
ahan any such consideration. Col.
Felder declared that the did not go t
East at all, but had spent his time.
in Lexington, Lousiville and Cincin- ri
nati.I
The Carolina Glass company's case
f*ill b'e reopened from start to finish. 9
This was the announcement made by r
the acting chairman, Senator J. Steele
Brice, to the attorney, Mr. W. H. c
Lylei. Mr. Brice presides at the
meetings at the request of Dr. Mur- ~
ray. The entire commission is pres- V
ent, Dr. W. J. Murray ..of Columbia, ~
Mr. John Mesween of Timmonsville, '9
Mr. Avery Patton of Greenville, Mr. 3
A. N. Woods of Gaffney, Mr. J. Steele ~
Brice of Yorkville. Attorney General t
Lyon and Mr. W. F. Stevenson, at- P
-torney of the commission, are present, P
as are Gen. Clifford L. Anderson and
Col. T. B. Felder and Mr. Malvern a
Hill of Atlanta, representing the corn
mission; Col. Anthony J. Carroll of"
Loaisville, Ky., and Maj. Clem F.S
Dunbar of Augusta, Ga.; Mr. Jos. G.
Graydon of Cineinnati, Ohio, and Mr.
McLean of Rochester, N. Y., repre
senting claimant.
Mr. Curiel Testifies.
Tihe case of the New York and lKen- fr
tucky company was called yesterday t:
morning. The first witness was ifr- t<
Herman A. Curiel of New York, who y.
had testified on a former occasion.
The New York and Kentucky corn- C
pany is the concern which sold Duffy y
Malt liquor and Pieper-Heidseck t.
champagne. $
Mr. Curiel, who is a native of Ger- v
many an.d a highly educated man, is l
secretary and treasurer of the New s
York 'branch of the New York and a
Kentucky company. He testified that a
he attended to tilling the orders re- v
ceived by the State dispensary and c
that he put in the bids. He had met s
Mr. Lyon in New York when Mr. b
Lyon and Mr. Christensen were mem- 1
bers of a dispensary investigating
committee in 1905. Mr. Felder read b
from affndavit given to them on that le
occasion. This affidavit told of a vis- a
it of Commissioner H. H. Crum and f
Briggs Wilson to his office. Mr.
Crum, now deceased, was commission- E
er of the State dispensary, the head a
officer, and Wilson was manager of C
the Rie-hland distillery. The affidavit
recited that, wihen~ Curiel complained
that he got no more business from so<
large an institution as the State dis- a
pensary, Crum had replied that Curiel]
could get the business if the New
York and Kentucky company had(
"the right kind of agent.'' When<
asked who would be a good man for I
agrent Crumn referred 1o Wilson say
ing, "I will indorse whatever Mr.
Wilson does.'' Nothing was said def
initely about commissions hut when
.e aftrwards got some orders from
Suin Carolina NWilson claimed i
-elts per case. Curiel thought tb
.vas an excessive commission ai
filson replied that "cost a great dc
f money to control the liquor bu;
.iess in South Carolina" and intim
?d that the commissions were not
for himself.
Mr. Curiel had turned over to h
Lyon a number of letters from Le
Bamberg, a relative of Commissior
Crum, all of which were brought c
in the former hearing of the legis
tive committee. The affidavit c(
eluded witih an earnest disavowal
having paid any graft, rebates or
rect commission in South Carol
and he never dealt -directly with a
agent of the State.
Commissions Were Easy.
Col. Felder read the affidavit, wh.
Mr. Curiel under oath affirmed, a
asked many questions. Mr. Feli
pulled it out that the New York a
Kentucky company had paid Bri(
Wilson more than $4,000 and appr4
imately $5,000 in commissions. 'I
total sales to the 'dispensary w,
'$130,000 in five years. Col. Fel<
brought out the astonishing statemi
that J. S. Farnum, a relative
Briggf Wilson, was also getting co
missions and that a quarrel betw(
the brothers-in-law resulted.
Witness declared flatly that he h
never paid any of the commission
o'r clerks anything. He afterwaz
admitted that he had loaned G.
Charles $150, but - this was afi
Charles left the dispensary. Char]
recited that he was in precarious
aancial condition and needed tI
noney. The check was drawn frc
,uriel's private bank account on t
,orn Exchange bank. He consider
t apa't from the dispensary busine,
When the State dispensary w
-osed there was $20,000 worth
roods returned to Curiel's house. I
lad paid no commission on this ai
iad demanded none back. he said,
eply to Col. Felder. He had paid i
-ommission on business received di
ng the last administration (Rawli
;on, Black and Wylie).
Denied Giving Money.
Mr. Curiel was asked if in a ce
ain room at Wright's hotel he h,
Lad an interview with a dispensai
flicial. He denied this.
"Did you not take off- your le
hoe and remove $500 therefrom ar
ive to this man to get business
>uth Carolina'?"
"'It is absolutely false," repliE
he witness.
"And if this man would swear i
"It would be false."
"Did you pay any commissionsI
our agents in ehecks o'r all in cu:
The witness denied ever paying an
urrency.
Mr. Curiel said he had paid Fai
umn $2,300 which Farnum claime
'as due un'der an agreement with
ian named Sinn who represente
uriel. Curiel declared Farnum
>b a holdup. They had no agre<
ent. Farnum had threatened to ai
ich Curiel 's funds at the State dit
ensary and he was blackmailed int
ayrng commission.
Col. Felder grilled the witness o
series of questions as te why thes
irge commissions should be pai
ithout an understanding and i
ich an unbusiness-like manner. Wa
o record kept? Was there no regv
r basis? How did he know hoi
"What basis did you figure con:
issions on?"'
"They figured, 1 had no basis,
plied witness. "'They did not sa
at the commissions were- to be pai
>directors but the implication wa
ery plain,"' stated witness.
Col. Felder -rather worried Mi
uriel bW a certa.in line of question:
h had h not brought the vouche
show that he had paid Charle
150? Witness ireplied it was a pri
ate matter. Mr. Felder declared tha
e is prepared to refute witness
:atement that the check was for $15
ud that Charles was not employe
t the State dispensary. Mr. Curih
as asked if he had brought down hi
rrespondence with Briggs M. Wi:
>n and-Jas. S. Farnum. This, als<
e said, he deemed to be private, an
e had not included such letters.
However, he had brought som
oks of record. Mr. Felder reques1
d that they be brought. There we
recess for half an hour and the
our stalwart negr.Jes br'ought int
h State library, a large trunk; pre:
ntly another trunk. There was the
,prolonged recess unfil the attorne)
ould sort out and examine the book
Afternoon Session.
At the afternoon session one of ti
'ash books was put in evidence.
how that on August 23, 1904, J.J
~arnum was paid $500 for assistir
epresentative to land an order. M
uriel didn't know the basis on whit
tommssions were paid. Two da:
ater there was an entry "Casth .$5
62.50.'' This, followed up on a:
ther book, showed that J. S. Farnu
r the cash.
Mr. Felder wanted to know why 0]
1nr sol be marked differe:
io~
is
St out Your
SEXTIRA VAG AN C ES
er Cast them aside and open a Savings Account
Ut with what you have left over. Do this each
[a- week and you will have days of ease awaiting
of you in your declining years.
na Start your bank account
fly at once.
ch
nd
nd The Commercial Bank,
Of Newberry, S. C.
[er
'nt
of
m- 4, Paid in Our Savings Department.
en
ad JNO. M. KINARD, J. Y. McFAL, 0. B. MAYER,
rs President. Cashier. V. President.
ds
Ef.
er
es
in
ae
10
r
id
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Stime of purchase, but for many years afterwards. B
SNo instrument can fulfill this condition unless it is
-made of good material and by skilled workmen.
aBut as good material and good workmanship cannot d
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2prices. They cannot be offered in competition with
o those. sold at figures which in themselves proclaim b4
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SEVERYTHING KNOWN IN MUSIC
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