Posts Tagged ‘John V. Kenny’

John V. Kenny: I wish that Stern was here, so I could spit in his eye.

Saturday, May 1st, 2010

Memoirs of Hudson County

Originally appeared in Tiger In The Court
By Paul Hoffman

As election day approached, it was clear that the net was closing on Kenny and his Hudson County cabal. But the Little Guy continued to spout defiance. “I wish that Stern was here,” he said in early October, “so I could spit in his eye.”

On October 29, Kenny threw a $100-a-plate dinner at the Jersey City Armory for Senator Harrison Williams, running for reelection against the Republican state chairman, Nelson Gross. Speaker after speaker laced into Lacey and the federal investigation. Congressman Gallagher called it “a Gestapo stalking through our county, an anglicized version.”

Among the Irish Catholic Democrats of Hudson County, anything anglican is suspect.

Kenny also injected a racial motif into his remarks-of a different sort. He acknowledged buying the bonds: “I never knew that when you want to take care of daughter and children that it was an offense against the U.S. government. If that displeases Lacey or that great Jewish lawyer Stern, well, that’s just too bad. I’m going to provide for the welfare of my children.”

The Newark News said that Kenny had “reached depths of personal and religious vilification.” Senator Williams had to issue a statement expressing his “deep regret” over Kenny’s language, though he doubted that Kenny had intended an anti-Semitic slur. He hailed the Little Guy as “a great humanitarian.”

Williams romped to an unexpectedly easy victory. Two days later the “great humanitarian” John V. Kenny appeared, under subpoena, before the grand jury. He was accompanied by his attorney, the late Walter D. Van Riper, who had had firsthand experience of the Byzantine intrigues of Hudson County politics. As state attorney general during World War Two, he had investigated gambling in Jersey City and had obtained several indictments. Whereupon the U.S. attorney’s office, headed by a Hague hireling, indicted Van Riper-for allegedly selling black-market gasoline. Not surprisingly, both cases lapsed into limbo.

Kenny didn’t spit in Stern’s eye-he took the Fifth Amendment . . . or tried to. He refused to sign a waiver of immunity and asked permission to read a statement. He got it-but before he could get the words out of his mouth, Stern started firing a barrage of questions: “Did you purchase those bonds?”

“Certainly I did.”

“Did you purchase them for cash?”

“Yes.”

“Through what means did you purchase them for cash?”

“What do you mean?”

“How did you buy them?”

“With cash – cash that I had saved for forty years.”

“Who handled the transaction for you?”

“Well, I’m not supposed to answer any questions….”

But he did-for eight more pages of transcript. Kenny insisted that the cash came from his private business concern, Terminal Industries, which cleaned cars on the Pennsylvania Railroad, and that his wife kept the money in a basement clothes hamper.

Finally, Kenny managed to read the statement Van Riper had prepared: “Mr. District Attorney, members of the grand jury: I am advised by my legal counsel that in view of the fact that I am the target of this investigation and that an effort is being made to bring about my indictment, if I were compelled to testify at this time, it would amount to a violation of my constitutional rights. Therefore, acting on that advice, I most respectfully decline to answer the questions asked of me in this proceeding on the ground that to do so might incriminate me.”
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Read the complete article.

The sordid story of Mayor John V. Kenny and the Jersey City waterfront

Sunday, April 18th, 2010

Hudson County Corruption in the Era of John V. Kenny

The History of the Claremont Terminal and the Jersey City Waterfront since May, 1949

Author Unknown

Travelling north along Garfield Avenue in the Greenville section of Jersey City, one can see the sprawling yards of the Claremont Terminal stretching across vast acreages of land, and fanning eastward to the shallow water line of New York Bay. Less than two months ago (date of composition unknown, editor’s note), this vast terminal served as the gateway from the north, west, and south for tremendous amounts of industrial tonnage which was shipped from this point to the battlefields of Korea and the main islands of Japan. The United States Army had its headquarters here for control of overseas shipments and had entered into a contract with the Dade Brothers Corporation, a principal stevedoring concern, whose responsibility it was to crate, load and ship industrial and war cargo under Army Transport orders.

This was perhaps the most active port in the entire country. Particularly when it is considered that Jersey City serves as the home terminus for virtually all of the nation’s main railroad lines and because of this city’s proximity to the shipping empire that hugs the New York waterfront.

Industrialists the nation over shipped armaments of war to this terminal. Perishable products destined for United Nations fighting men in Korea were also received here. Guns, tanks, automotive equipment and other rolling stock were hoisted aboard transport vessels docked at this terminal and invoiced for the Far East. Some 3,000 men and women punched time cards here on an around the clock basis, eighty-six percent of which were local people, men and women who live and buy in Jersey City.

But the heartbeat of this great terminal has stopped. No longer do Army transports bulge with cargo; the vast stretches of loading platforms are now devoid of materials, and the men and women who once manned this “City of Supplies” are unemployed or searching for employment in other quarters. The life expectancy of Claremont Terminal was snapped virtually in the embryo stage resulting in a loss of some seven and one-half million dollars annually to the merchants of Jersey City.

The full responsibility for the death of this great terminal rests with one man – Mayor John V. Kenny of Jersey City.

The dictatorial characteristics that have marked Mayor Kenny’s actions since May, 1949 extended themselves in the direction of this terminal, finding their result in a wave of labor unrest that kept cargo frozen to the piers and stayed orders of the Army that this essential cargo be permitted to reach vital destinations . Wildcat strike after wildcat strike, all unofficially called by a handful of City Hall controlled dissident members of the union, rendered this terminal useless for protracted periods of time. The fight for power, and still more power over Union affairs and waterfront rackets was being waged relentlessly by the Mayor of Jersey City. Honest workingmen were caught in the squeeze.

Mayor Kenny was determined to wrest control of the unions and the waterfront from these officers who refused to bow their knee to his political mandates. He set out to accomplish this grab of power by sending handpicked members of the Marine Warehouseman’s Union (some of whom were city employees) into the terminal under express instructions to halt work and thereby force the officers of that union and the Longshoreman’s Union to make their peace with his administration. One of the Mayor’s principal purposes was to control every ounce of patronage along the waterfront.

Mayor Kenny’s hirelings played their parts well. They were responsible for acts of violence that found honest workingmen being subjected to physical abuse. They set up roadblocks which prevented trucks laden with cargo from entering the terminal. And, to maker certain that no shipments whatsoever were received, the Jersey City Police, moving under the Mayor’s orders, formed a cordon around the main entrance of the terminal halting every truck that attempted to deliver its critical war merchandise and every Longshoreman who attempted to enter. Then the union began to fight back.

In unprecedented action, many of these union officials resorted to public print in order to make their story known to the people of Jersey City. They laid the full blame for work stoppages and labor unrest at the door of Mayor Kenny. These charges were made by top officials of the Longshoreman and Warehouseman’s Union. None of these charges were ever answered. The United States Army also acted. Officials of the Army Procurement division called upon City Hall wildcat strikers to desist and allow the terminal to go back on the same footing it had once enjoyed. They threatened to move out of Jersey City unless work was resumed. Their plea was not heard at City Hall.

If peace and order was to return to Claremont Terminal, Mayor Kenny’s intervention would have to be removed. It was no secret that the Mayor had embarked upon a program of “patronage conquest,” and it was made unequivocally clear that unless his word became law, no bargain short of this would be entertained by the Mayor.

Claremont Terminal closed down.

This was a sad day for Jersey City. It brought havoc into the homes of thousands of local citizens who depended upon this income for their livelihood. It broke the backs of local merchants who no longer would enjoy the millions of dollars that these employees would spend. It shut off delivery from Jersey City of war materials to the fighting fronts. It gave notice to industrialists the world over that Jersey City, because of its unstable labor market, and its Gestapo type local government, was no place to locate their businesses. The slogan “Everything for Industry,” attributed to this city for many years, held little meaning now in the realization that a great terminal had died at the hands of unscrupulous politicians who were more intent upon bartering away the future of our city for their own self-aggrandizement and personal profit.

Why should Mayor Kenny seize upon Claremont Terminal and strangle its operations to the extent that the Army was forced to relocate in the State of Virginia? Why was the Mayor content to allow unemployment to run rampant and permit a labor situation to develop that would frighten industry?

Dade Brothers Contracting Company held a long lease with the Lehigh Valley Railroad, owners of Claremont Terminal property. The Mayor had a more than passing interest in this lease. He felt that his son-in-law, Paul Hanly, should inherit this lease and take over the terminal contract from Dade Brothers. And, by gaining control of all hiring facets at the terminal, the administration would then be in a position to further their own political salvation by sending unemployed local citizens to work through ward leaders and committeemen. This practice, it was felt, would obligate those who received this kind of help to the Kenny brand of government and would add to the wealth of the Kenny Royal Family.

But Mayor Kenny’s carefully laid plans backfired. The fighting men in Korea were far more important than the self-desires if any politicians. So the Army pulled out. They removed their operations to a territory that would allow for successful conclusion of shipment contracts. Claremont Terminal became a huge and tragic Jersey City ghost industry.

“It will not be the policy of this administration, if elected into office, to interfere in the internal affairs of any union. Grievances can be settled by union members themselves without the intrusion of public officials.”

These were the words of Mayor Kenny, spoken during the running of the City Commission elections preceding May, 1949. But this interference did come, and it came in the most brutal manner from the same man who uttered these high sounding phrases when he was running for the highest offices in Jersey City’s government. This interference has resulted in a loss of employment to possibly three thousand able bodied men and women. It has robbed almost seven and one-half million dollars annually from local merchants.

Claremont Terminal is dead. Mayor Kenny was its assassin.

Power, if ruthlessly displayed can result only in ruin. The Claremont Terminal, now rendered to ashes, is a case in point that none can ignore except at their peril.

The closing of Claremont Terminal is by no means an isolated example of the cruel sabotage practiced by Mayor Kenny on the labor movement along the Jersey City Waterfront. The terminal closing proves the rule rather than the exception.

Actually the closing down of this vast terminal was the expected climax of a series of waterfront disturbances that have consistently plagued steamship companies who berth here. The resultant work stoppages have brought about financial disaster to those men who must look to waterfront operations as their sole means of income and has seriously crippled Jersey City as a profitable place to conduct waterfront commerce.

History will record the fact that the peace and order that prevailed along the Jersey City waterfront for many, many years, suddenly and violently changed into a state of violent chaos after John V. Kenny was sworn in as Mayor of the second largest city in New Jersey.

As a matter of record, the entire Hudson Coutny waterfront was completely paralyzed in July, 1949, denying work to thousands of able-bodied men. Perishable and expensive cargo was left to rot on the piers. This particular strike, in no way conccerned with hours, wages, or working conditions, extended over a period of seven logn weeks before loading operations were resumed. Neither the officials of the union or the steamship companies themselves were rewponsible for this wildcat walkout. The fault rested squarely with Mayor Kenny who, having gained control of city government, was now following a planned pattern of pitting union against union, employee against employee, in a brazend attempt to control the division of spoils that is synonymous commerce under his administration.

No sooner was the prolonged strike over when the flame of violence and disorderflared anew less than three weeks later. Again, vital cargo was left standing for weeks on the piers. Coming on top of the previous seven week layoff, the financial blow proved much too severe to many families who were forced to go on city relief rolls in order to buy food and pay their rent. These were the bitter fruits of Kenny “Freedom.”

Then came the staged march on City Hall. Men who had been denied employment fell easy prey to the Mayor’s scheme to embarrass his fellow Commissioner, the late James F. Murray, and thereby shift the blam from his own office.

Some four hundred longshoremen, led by “Biffo” DeLorenzo (a Kenny favorite and brother-in-law of the slain mobster Charles Yanowsky, who had been Kenny’s close friend) converged on City Hall in an unruly demonstration. Mayor Kenny knew their purpose. So did DeLorenzo. So too did Commissioner Murray, who only too well realized that Mayor Kenny’s claws were now reaching out for Pier B, the only city-owned pier on the Hudson River. DeLorenzo, backed by a mob of four hundred longshoremen demanded that Murray give a long-term lease on Pier B, which was under his jurisdiction, to the McGrath Stevedoring
. . .
such power only comes after families are hurt, men are left unemployed, and bombs explode.

Claremont Terminal is but one lesson. The entire history of the Jersey City waterfront under Mayor Kenny is a sordid story of major proportions.

Hudson County Congressman Cornelius Gallagher, Jersey City Mayor Thomas Whelan, Council President Thomas Flaherty and the millions in bonds and cash

Thursday, April 8th, 2010

Congressman Cornelius Gallagher of Bayonne
In appearance silver-haired, ruddily handsome Congressman Cornelius E. Gallagher is the image of a dedicated public servant.

Originally appeared in Tiger In The Court
Memoirs of Hudson County

By Paul Hoffman

A lot of legwork was required to discover where the money wound up. One lead came from an unrelated inquiry. Internal Revenue had been investigating Congressman Cornelius Gallagher, who had purchased more than $948,000 worth of municipal bonds – for cash! “If you’re going to charge a man with tax evasion,” Stern says, “you have to prove that he’s not just a conduit for funds, but that he’s buying the bonds for himself. The only way you can do that is to find out who’s clipping the coupons.

“When you have a bearer bond, it’s not registered in anyone’s name – that’s what the phrase bearer bond means. It’s like money. Anyone can clip the coupons, walk into a bank, fill out a form and submit them for payment. And he can do it in any bank in the United States. Obviously, the IRS can’t run to every bank in the country to find out who’s cashing coupons.

“IRS did a fantastic job. They went back to the issuing municipalities to see where the coupons had come from, then checked back to determine who had cashed them. It turned out that something like four hundred thousand dollars of the bonds Gallagher had bought were in a Florida bank account and being clipped by the bank.”

So the IRS agents checked at the First National Bank of Miami Beach and discovered that the bonds had been deposited-not by Gallagher, but by Jersey City’s mayor, Thomas Whelan, and council president Thomas Flaherty. The two Jersey City officials maintained joint numbered accounts that, at their peak, had deposits of $1,232,433.30 – all in cash or in negotiable bonds purchased for cash.

A second cache of bonds was uncovered-and recovered-when IRS agents started checking the bank and brokerage records of William A. Sternkopf, Jr., the former Hudson County auditor who had gone on under Kenny’s patronage to commissionerships first on the New Jersey Turnpike Authority, then on the bistate Port of New York Authority, which operates the metropolitan area’s docks, bridges, tunnels and airports.

On one of Sternkopf’s bond purchases, the records at Lehman Brothers, the giant Wall Street investment house, carried the notation that the bonds had been bought for John V. Kenny. Tracing the trail of the transaction, the IRS agents discovered that Kenny had bought $700,000 in bonds through Sternkopf – all for cash, delivered to the bank by the Hudson County police chief, Fred J. Kropke.

Through a tip from a still-undisclosed informant, the U.S. attorney’s office learned that $300,000 of the bonds were stashed in the suite of Pollak Hospital administrator Paul Hanly, Kenny’s son-in-law, and the remaining $400,000 at the Jersey Shore home of his granddaughter, Margo Hanly Hermann. Both were haled before the grand jury.

Hanly took the Fifth Amendment, escaping ouster by resigning – only to have Kenny name his son, John, as his successor. Mrs. Hermann, after invoking the Fifth Amendment, was given immunity and she told where the bonds were. They were subpoenaed as evidence. Lacey said they represented “plunder unmatched by anything in my experience. You’d have to go back to the days of Boss Tweed.”

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Frank Hague, Mayor of Jersey City from 1917 to 1947

Saturday, March 20th, 2010

Jersey City Mayor Frank Hague and President Roosevelt
Mayor Hague and President Roosevelt

Frank Hague was Mayor of Jersey City from May 15, 1917 until his retirement on June 17, 1947. His name issynonymous with that early 20th century urban American blend of political favoritism and social welfare known as bossism.

It’s generally conceded that Hague’s influence was a factor in the election of President Franklin Delano Roosevelt.

Many of Frank Hague’s activities were, in a narrow sense, not illegal, for no relevant laws were then in place. Hague ruled during an era of massive social upheaval: unrestrained capitalism, violent labor movements, economic depression, and world war. Organized crime grew ever more powerful. Foreign -isms attempted to gain American support. The social safety net basically did not exist. During this period Jersey City was relatively calm.

Mayor Hague retired in 1947. His nephew, Frank Hague Eggers, succeeded him as Mayor of Jersey City. The public generally saw this “coronation” as a ruse that enabled Hague to retain power while at the same time limiting his exposure to the many irritations – both major and minor – of day-to-day operations.

Frank Hague’s second in command, John V. Kenny, opposed Egger’s intallation by organizing a broad-based coalition. After a heated election, John V. Kenny became Mayor of Jersey City in 1949. John V. Kenny replaced the self-limiting and chauvinistic corruption practiced by Hague with a political machine of unprecedented venality and rapacity. Kenny’s political system retained power until dislodged through a series of Federal convictions in 1972.

More on Jersey City Mayor Frank Hague

Hudson County campaign buttons from the Kenny era

Sunday, February 14th, 2010


Campaign Buttons From The Kenny Era

More buttons and bumper stickers

Mayor Whelan and the Jersey City Gambit

Saturday, February 13th, 2010

Gene Scanlon knew Jersey City politics. He once was the political reporter for the Jersey Journal. He had worked as an aide to Mayor Thomas Gangemi – at any rate, until the Feds got wind of the fact that Gangemi wasn’t a citizen.

It was the late 60s; now Whelan was Mayor of Jersey City. Gene Scanlon held no illusions concerning Whelan’s ethics, or absence of the same. Everybody knew that Whelan served on behalf of Hudson County Boss John V. Kenny. As a reporter, Scanlon had written of Kenny’s crooked deals. But even as sophisticated an observer as Gene was in for a surprise. He was soon to learn of the massive spread of corruption’s cancerous growth.

Scanlon was proud of his Irish heritage. Gene was the founder of Jersey City’s St. Patrick’s Day Parade and every few years organized a group trip to Ireland.

Several elderly priests (who had come from Ireland many years before) dearly wished to join the tour, but never were able to afford it. These priests long had tended their parishes in a manner approaching sainthood. Gene Scanlon had a premonition that if the priests did not see Ireland this time around, there never would be another opportunity for them.

But how to get the money?

A brilliant thought came to Gene. In the upside down morality of Jersey City, where on every street corner some gambler had a shop (as long as the appropriate blessing went to the local precinct), churches were not allowed to provide “games of chance” at carnivals. To stretch the situation to the surreal, it actually was not against the law for charities to organize these activities. The technicality was that a permit was required; the municipality would accept the application, but never issue the permit. If City Hall might make an exception in just this one instance, a circumstance and a cause that nobody would criticize, the parishes could easily raise the funds!

Gene Scanlon requested a personal appointment with Mayor Whelan. Gene extolled the many virtues of the clergymen, proving many times over that they well deserved to be the first cases of declared saints before death. Scanlon shared his foreboding that this would be the last chance for the elderly priests to see the land of their birth. Gene explained how the men had practiced the vow of poverty by devoting their lives to the poor of Jersey City.

At this point Gene Scanlon paused and looked up at Mayor Whelan. Gene had each move figured out like in a game of chess. He expected Whelan to ask what he could do. Then Gene’s brainstorm move of the carney permits might appear on the board.

Even though Whelan might be a master at a game or two, Gene now would discover that it wasn’t chess that the Mayor played.

“Well Gene, how much money are we talking about here?”

For a moment Gene was speachless – which indicated a shock the extent of which would have landed an ordinary man in the hospital. Scanlon was wondering why Whelan wanted to know the cost of the trip, but he kept that to himself.

“Mayor, I think that a thousand dollars would cover it.”

Mayor Whelan reached down and pulled open one of his desk’s deep drawers. It was filled with many stacks of one hundred dollar bills. The mayor took a pair of the bundles out from the pile. For a few seconds, Whelan fanned through and scrutinized each of the collections of bills, seemingly verifying the denominations and the count.

Handing the cash over to Gene Scanlon, Mayor Whelan said, “Here’s two. . . I wouldn’t want them running short over there.”

1949 Jersey City election for mayor campaign car

Thursday, February 11th, 2010


Photo courtesy of Dan Beards

In the 1949 election, John V. Kenny ran for Mayor of Jersey City against Frank Hague’s nephew, Frank Eggers.

Buddy Boyle killed by Hague supporter

Sunday, January 3rd, 2010

An oft-cited illustration of the ferocity of the 1949 election that ousted the Hague regime from Jersey City is the statement that a Hague man killed a supporter of J. V. Kenny. This is true without being truthful.

Gene Kenny (a WWII combat veteran not related to JVK) had backed Hague’s nephew Eggers’ run for Mayor of Jersey City. The powerful (physically and politically) Buddy Boyle (Gene Kenny’s cousin) was a prominent J. V. Kenny lieutenant.

A year after the election, Gene Kenny was drinking in the bar located downstairs from his apartment at 19 Erie Street in Jersey City. Buddy Boyle entered the saloon and, still angry at his cousin’s perceived betrayal by serving the enemy camp, hit Gene Kenny. The blow struck with such force that Gene went flying over the bar. Confused from the surprise, hitting his head and — no doubt — the day’s drinking, Gene Kenny’s mind flashed back to fighting in the trenches. As luck would not have it, the tavern owner had a gun under the bar just in front of where Gene fell. Gene Kenny grabbed the gun and then fatally shot Buddy Boyle.

The Story Behind Thomas Gangemi’s Resigning as Mayor of Jersey City

Friday, January 1st, 2010

Mayor Thomas Gangemi held court each night at a posh local restaurant. One evening, Hudson County Boss J. V. Kenny (“The Little Guy”), came to see the Mayor there. Instead of immediately greeting Kenny, Gangemi continued conversing with a pair of minor flunkies. After a few minutes, beginning to become annoyed, JVK approached Gangemi.

“Mayor, there’s a couple of papers here I’d like you to take a look at . . .”

“Hey you, I’M THE MAYOR NOW! YOU SIT DOWN! I’LL SEE YOU WHEN I’M GOOD AND READY!”

An electric tension filled the air. After the fall of Hague, no one dared raise their voice to John V. Kenny.

Kenny just mumbled softly, “That’s right. You’re the Mayor now.” Then the elderly little man took a seat off to the side and patiently waited for the tall distinguished Gangemi to finish talking.

Nobody could believe what they were witnessing. JVK silently sat there. Even Mayor Gangemi began to appear nervous. After a few minutes, in a friendly voice, Thomas Gangemi asked Kenny what it was that he wanted. Without saying a word JVK got up and produced some papers from a folder.

After glancing at the documents, Mayor Gangemi said OK and began to apologize.

John V. Kenny turned and walked away, just mumbling softly, “You were right. You’re the Mayor now.”

The next day the whole city talked about the confrontation. Some wondered how JVK ever let someone like Gangemi get in a position to lord it over him. Others thought that perhaps after all Kenny might be getting old.

The day after that the Mayor’s Office got a letter from the Justice Department. The Feds had proof that Thomas Gangemi was not a U. S. citizen. Gangemi had to immediately resign as Mayor of Jersey City.

J. V. Kenny’s Mosquito Commission

Thursday, December 31st, 2009

Hudson County, alas, is peculiarly lacking in mineral resources. Scratch, mine, dig, drill or blast as much as you like, you’ll never find even a teaspoon of oil, a single diamond chip, or even a flake of precious metal. But facts and reality only fence in minds of modest mechanism, not the likes of J. V. Kenny, Hudson County’s political boss from 1949 to 1971. Observing that Hudson County was surrounded and veined by swamps, Kenny set to work turning all that mud into gold.

This task was too great even for the powerful J. V. K. to accomplish alone. C. Harry Callari, a Jersey City Ward leader in the early 1960s, served as apprentice to the master. As luck would have it, Callari’s original calling as a manufacturer of women’s clothing was no longer profitable; a new career suited him just fine. Through the sponsorship of John V. Kenny, C. Harry Callari assumed responsibility for the public’s health by becoming executive director of the Hudson County Mosquito Commission – one of Kenny’s many fiefdoms. The deal was that Callari was to be on the lookout for any and all possible income inducing opportunities. Fifty percent of the take reverted to his lord, Boss Kenny.