The money being paid over to Ruef,[127] Ruef appeared before the Police Commissioners, as has already been told, with his plan for regulating the French Restaurant business in San Francisco.
Ruef’s arrangements with the French Restaurant keepers were concluded during the first week in January. Police Commissioner Regan testified that sometime after January 3, Mayor Schmitz asked him to vote to restore the French Restaurant licenses.[128] Regan objected on the ground that it was not right to ask him to vote first one way and then another. With Commissioners Regan and Hutton voting against issuing the licenses, the licenses could not be granted. Either Hutton or Regan had to change their attitude, or one of them had to be removed from office. Police Commissioner F. F. Poheim testified at the Schmitz trial that at a conference on the French Restaurant problem held early in January, 1905, which he and Schmitz attended, Schmitz announced: “We will have to give these people (the French Restaurant proprietors) their licenses if we can. If we cannot do anything else we will have to remove Hutton.”
And during the week following Ruef’s first appearance before the commissioners as representative of the French Restaurants, Mayor Schmitz removed Hutton.[129] The licenses were then issued to the “French Restaurant” keepers.[130]
Much of the story of these transactions was presented to the Grand Jury. But the evidence was not secured without effort. Many of the witnesses were unfriendly; others afraid of the consequences of frank statement of facts. Witnesses disappeared and could not be found. Several known to have testified were threatened and even assaulted. One French Restaurant keeper, before the investigation had been concluded, had been indicted for perjury. Three attorneys who were more or less in touch with the tenderloin situation had been cited for contempt for refusing to answer questions put to them in the Grand Jury room. But point by point the evidence was presented.
The Grand Jury, on the evidence, indicted Schmitz and Ruef on five counts for extortion.[131] Bonds were fixed at $10,000 on each charge, $50,000 for each defendant.
Ruef[132] was released on $50,000 bail.
Schmitz, the day after the indictments were brought, was reported to have started for home from Europe.
Schmitz’s probable reception on his arrival at New York apparently gave keen anxiety at San Francisco.
Heney states that Justice F. W. Henshaw called at his (Heney’s) office and asked Heney, as a favor, to tell him whether Schmitz would be arrested upon his arrival in New York, as William J. Dingee of the Contra Costa Water Company, wanted to arrange for Schmitz’s bail in New York City. William F. Herrin of the Southern Pacific Company is credited with interesting himself in Schmitz’s behalf in arranging for the bond that was furnished when Schmitz reached San Francisco. Schmitz’s bond was furnished by Dingee and Thomas Williams, president of the New California Jockey Club. The New California Jockey Club operated the notorious Emeryville racing and gambling establishment. Mr. Dingee was at the time one of California’s most prominent capitalists.