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HomeMy WebLinkAbout1956/09/21 - ADMIN - Minutes - City Council - Regular 223 Special Council Meeting - September 21, 1956 III A special meeting of the City Council was called to order by Mayor Fernstrom at 5:35 p.m. The following Councilman were present at roll call: H. J. Bolmgren H. C. Davis Robert Ehrenberg Torval Jorvig - Gene Schadow Kenneth Wolfe Also present were John Hane, City Manager Interne and Joseph Justad, Secre- tary to the Council. Mayor Fernstrom explained that the meeting was called to discuss the Rued- lingerfs Inc. Off-Sale Liquor License, that had been temporarily revoked, September 18, 1956. Present, representing the Ruedlingerls Inc. , were R. N. Ruedlinger and Arthur J. Ruedlinger who turned over to the City Council the various statements requested at the September 18, 1956 meeting of the Council. Exhibit No. 1 - Affadavit of Roy Bouchard, dated September 19, 1956 Exhibit No. 2 - Affadavit of A. J. Ruedlinger and R. N. Ruedlinger. III Exhibit No. 3 ,- Letter from Fifth Northwestern National Bank regarding credit. Exhibit No. 4 - Ruedlinger's Inc. Financial Statement as of September 20, 1956. The following Invoices were left for examination: To Ruedlinger's Inc. From For Date of Order Date of Invoice Amount Siguard A. Johnson & Son Labor & Material Sept. 6, 1956 $221.17 C. J. Nelson Transfer Delivery of Bottle Aug. 28, 1956 Sept. 4, 1956 19.12 racks Tribilt Products Inc. 15 Shelf Units etc. Aug. 31, 1956 431.10 Famous Brands Inc. Stock Aug. 31, 1956 1654.67 Famous Brands Inc. Stock Aug. 31, 1956 1230.91 Famous Brands Inc. Stock Aug. 31, 1956 279.26 Famous Brands Inc. Stock Aug. 31, 1956 1108.65 Famous Brands Inc. Stock Sept. 5, 1956 115.20 Famous Brands Inc. Stock Sept. 7, 1956 35.05 Famous Brands Inc. Stock Sept. 11, 1956 265.00 Famous Brands Inc. Stock Sept. 18, 1956 334.50 Griggs, Cooper & Co. Stock Aug. 31, 1956 432.64 Griggs, Cooper & Co. Stock Aug. 31, 1956 798.46 Griggs, Cooper & Co. Stock Aug. 31, 1956 1154.72 Griggs, Cooper & Co. ' Stock Aug. 31, 1956 391.74 Griggs, Cooper & Co. Stock Aug. 31, 1956 144.48 Griggs, Cooper & Co. Stock Aug. 31, 1956 233.09 Griggs, Cooper & Co. Stock Aug. 31, 1956 Amt. clipped Griggs, Cooper & Co. Stock Sept. 4, 1956 51.69 224 = .004 September 21, 1956 Ruedlingerts Inc. Continued From For t Date of Order Date of Invoice Amount Griggs, Cooper & Co. Stock y Sept. 5, 1956 $1032.14 Griggs, Cooper & Co. Stock Sept. 5, 1956 146.24 Griggs, Cooper & Co. Stock Sept. 12, 1956 344.35 Griggs, Cooper & Co. Stock Sept. 12, 1956 177.03 Ed. Phillips & Sons Co. Stock Aug, 31, 1956 6113.57 Ed. Phillips & Sons. Co. Stock Sept, 5, 1956 325.48 Ed. Phillips & Sons Co. Stock Sept. 12, 1956 409.13 Ed. Phillips & Sons Co. Credit Memo Sept. 12, 1956 (50.88) Lynn Johnson Co. Stock Sept. 12, 1956 660.32 Lynn Johnson Co. Stock Sept. 14, 1956 29.94 Lynn Johnson Co. Stock Aug. 31, 1956 1279.92 Old Peoria Company Inc. Stock Sept. 4, 1956 2662.76 Old Peoria Company Inc. Stock Sept. 12, 1956 104.23 Meyers Outdoor Adv. Inc. 2-Paper signs Sept. 10, 1956 145.00 Painting on front wall & door-Installa- tion of temporary sign on property line McKesson & Robbins Stock Aug. ' 30, 1956 Aug. 31, 1956 686.10 McKesson & Robbins Stock Aug. 30, 1956 Aug. 31, 1956 628.68 Mc Kesson & Robbins Stock Sept. 4, 1956 Sept. 5, 1956 105.25 McKesson & Robbins Stock Sept. 10, 1956 Sept. 11, 1956 1223.67 McKesson & Robbins Stock Sept. 10, 1956 Sept. 11, 1956 7.13 McKesson & Robbins Stock Aug. 30, 1956 Sept. 12, 1956 58.18 III McKesson & Robbins Credit Memo Sept. 5, 1956 (55.80) Distillers Distributing Stock Aug. 31, 1956 631.51 Distillers Distributing Stock Aug. 31, 1956 713.78 Distillers Distributing Stock Aug. 31, 1956 1251.55 Distillers Distributing Stock 'Aug. 31, 1956 150.62 Distillers Distributing Stock Aug. 31, 1956 206.96 Distillers Distributing Stock Sept. 11, 1956 600.31 Distillers Distributing Stock Sept. 14, 1956 233.14 , S.E. Kenneth & E.E.Switzer Painting etc. Sept. 6, 1956 154.10 Wendell-Northwestern Inc. Rubber Stamp Sept. 6, 1956 1.33 Donath-Refrigeration Compressor Condenser Sept. 14, 1956 1765.00 Blix & Neslund Electric Electrical Work Sept. 13, 1956 595.37 To Knollwood Liquor Store Crawford-Merz Co. Shelving & Mtl. & Labor Sept. 13, 1956 285.30 American District Tele Co. Agreement for Burglary & Holdup Service Aug. 28, 1956 No. amt. Midwest Wine Co. Inc. Stock Aug. 31, 1956 323.70 Midwest Wine Co. Inc. Stock Sept. 6, 1956 38.25 Midwest Wine Co. Inc. Stock Sept. 6, 1956 256.61 Midwest Wine Co. Inc. StockSept._14, 1956 16.00 225 September 21, 1956 Ruedlinger's Inc. Continued Gene Schadow to R. N. Ruedlinger - Weren't they operating store? R. N. Ruedlinger - We hired one man, the other men were liquor salesmen who helped set up the store. Gene Schadow - Did you have a verbal agreement with Skol? R. N. Ruedlinger - No Gene Schadow - Did you have anything in writing? R. N. Ruedlinger - No Gene Schadow - But you did discuss the matter. R. N. Ruedlinger - Yes, we talked to Skol and they talked to us, but we had no arrangement. Gene Schadow - You never had any tentative deal with Roy Bouchard? R. N. Ruedlinger - No. R. Ehrenberg - I would like the name of the men who helped you set up the store? 111 R. N. Ruedlinger - Hartley Thoen, we paid him $100.00 a week. One man from our Nursery helped, all others were Liquor Salesmen but I cannot give their names except, Solly. K. Wolf - Would you know the names of Companies? • R. N. Ruedlinger - Yes. - Famous Brands, Griggs, Cooper, Nickerson Robbinson, Old Peopria, and Distillers Distributing. Tkese-mea-velttnteeeed-tke4e-help-r R. Ehrenberg - These men volunteered their help? R. N. Ruedlinger - Yes R. C. Fernstrom - This is not unusual. Hardware Wholesalers do this. Gene Schadow - Do I understand that there were no Skol employees. R. N. Ruedlinger - None, except Roy Bouchard, but he was not paid or employed. He is a friend of our brother-in-law "Sable and did help on his behalf as "Sable" was away sick. R. Ehrenberg - Was there any former Skol men? R. N. Ruedlinger - Yes, Thoen was with Skol and R. Bouchard recommended him. We have 111 now let him go. 226 September 21, 1956 Ruedlinger's Inc. Continued R. Ehrenberg - He was recommended by Roy Bouchard? How long have you known Roy Bouchard? R. N. Ruedlinger - About 15 years when we first sold him Nursery Stock. Never a personal friend. Art. Ruedlinger - Same answer R. Ehrenberg - Did you prior to July 10, 1956 have any conversation with Roy Bouchard regarding you going into Liquor business. R. N. Ruedlinger - No. R. Ehrenberg - Prior to August 13, 1956 R. N. Ruedlinger - No. R. Ehrenberg - When did you hire Thoen? R. N. Ruedlinger August 26-27 R. Ehrenberg Did you have contract with Mr. Thoen before? R. N. Ruedlinger - No, we had planned to have Mike Sable, but as he was sick, we needed some one. T. jorvia - Who is Sable? Art Ruedlinger - Wife's brother • . R. Ehrenberg - You are testifying that it was after August 13th that you spoke to Roy Bouchard about a man to help? R. Ehrenberg to Art. Ruedlinger - When did M. Sable take sick? Art. Ruedlinger - About the 1st week of August - I can find out when he was admitted to the Veterans Hospital. R. Ehrenberg - you know before license - that Sable would not be available? A. Ruedlinger - No, at that time he went in for a check up. R. Ehrenberg - When did you know he couldn't help? A. Ruedlinger - About August 25th. R. Ehrenberg - After that Roy Bouchard found out that you needed a man? R. N. Ruedlinger - I have no date, but it was around August 25th R. Ehrenberg - What I want to know is how Thoen found out you needed a man? R. N. Ruedlinger - From Roy Bouchard, I don't know that we had ever told him this, but he told Thoen and he came out. R. Ehrenberg - You didn't have a chance to check him, except you knew that he had worked for Skol? R. N. Ruedlinger - Yes. R. Ehrenberg - You talked to him and then you hired him at once? 227 September 21, 1956 Ruedlinger's Inc. Continued R. N. Ruedlinger - Yes R. Ehrenberg - You hired him to run your store without checking up? R. N. Ruedlinger - Not run it, but he had help we needed and was going to be clerk R. Ehrenberg - You had no knowledge that he was coming out until you met him? R. N. Ruedlinger - I may have known the afternoon before, but they were busy days so I am not sure. R. Ehrenberg - He started with you on August 25th. R. N. Ruedlinger - Maybe the 24th R. Ehrenberg - Did he work for Skol on August 24th? R. N. Ruedlinger - I don't know for sure.. R. Ehrenberg - Did you have any knowledge of Roy Bouchard, as to his standing? R. N. Ruedlinger - He always paid his bills and we assumed his record was good. R. Ehrenberg - Do you remember the statement made July 10th? R. N. Ruedlinger - I believe if you ask them, I can. R. Ehrenberg - You stated that you, Art and your wives would be sole owners R. N. Ruedlinger - Yes R. Ehrenberg - No change since then. R. N. Ruedlinger - No. R. Ehrenberg - When did you open? R. N. Ruedlinger - About September 1, 1956 R. Ehrenberg - You needed shelves, etc. and did not use your old? R. N. Ruedlinger - Yes R. Ehrenberg - You purchased shelving and cooler R. 'N. Ruedlinger - Yes R. Ehrenberg - On what date did you purchase your fixtures? R. N. Ruedlinger - August 31st from Tribilt 228 September 21, 1956 Ruedlinger's Inc. Continued R. Ehrenberg - They delivered to you next day? R. N. Ruedlinger - September lith by C. J. Nelson Transfer. R. Ehrenberg - But you opened store September 1, 1956? R. N. Ruedlinger - Yes. R. Ehrenberg - Without shelving? R. N. Ruedlinger - to Art - Did we have any on September 1st? Art Ruedlinger - I think we did. R. Ehrenberg - You didn't order any fixtures until August 31st? R. N. Ruedlinger - Yes- about 6 or 7 days before. R. Ehrenberg - About August 25th? R. N. Ruedlinger - Yes. R. Ehrenberg - 1st Delivery August 28th? R. N. Ruedlinger - Yes. R. Ehrenberg - Was that all? R. N. Ruedlinger - Racks may have come on one load. R. Ehrenberg - How much of your fixtures were on hand September 1st? R. N. Ruedlinger - 70%. R. Ehrenberg - When opened for business you sold all from shelves? R. N. Ruedlinger - No, some from cases. R. Ehrenberg - Sell any case lots? R. N. Ruedlinger - Yes, one case. G. Schadow - Roy Bouchard was merely friendly with Sable? R. N. Ruedlinger - About 25 years. G. Schadow - You and Art, it was different? R. N. Ruedlinger - Yes, Business only. G. Schadow - Did you have any arrangement and did you pay Roy Bouchard for anything for your help? 229 September 21, 1956 Ruedlinger's Inc. Continued III R:' N. Ruedlinger - No, but we offered to but he was offering his help because of Mike. G. Schadow - Roy Bouchard has no interest in your business? R. N. Ruedlinger - No interest. G. Schadow - Why would Roy Bouchard want to help you for nothing? R. N. Ruedlinger - Because of his friendship of Mike. G. Schadow - Why would he give you Thoen? R. N. Ruedliner - Because he felt that Thoen would have no chance to get far in his business - so offered him to us. G. Schadow - Did you know of Roy Bouchard record, etc.? R. N. Ruedlinger - The last two weeks I have learned this. I feel he was helping due to his friendship of Mike. H. C. Davis - I do understand that Roy Bouchard made you and Art an offer, but it was never consumatedII ? R. N. Ruedlinger - Yes. H. C. Davis - When was this R. N. Ruedlinger, over a dinner table? R. N. Ruedlinger - He asked what we wanted. We gave a price of $1025.00 for both, but did not think he would take it. H. C. Davis - Were you to participate in the store under him? R. N. Ruedlinger - We would work and be paid for it - outside of $1025.00. H. C. Davis - This meeting took place when? R. N. Ruedlinger - August 15th or 16th. H. C. Davis - He advised you when about the 16th and said "I'll take it". R. N. Ruedlinger - Yes. H. C. Davis - Nothing reduced to writing? R. N. Ruedlinger - Not on our behalf. He may have started something. H. C. Davis - You never signed anything? 111 R. N. Ruedlinger - No. -Ken. Wolfe - Do you think}that the offer had something to do with his help? s 230 September 21, 1956 Ruedlinger's Inc. Continued R. N. Ruedlinger - No. I don't think so. Our invoices will show that it is a small business. H. C. Davis - Did you order the signs? R. N. Ruedlinger - Yes and No. I spoke to Art Meyers and he was working on it. H. C. Davis - You never ordered signs? R. N. Ruedlinger - No. Painting on the wall I ordered and paid for. R. Ehrenberg - Who ordered the fixtures? R. N. Ruedlinger - Bouchard, they are a special type of fixtures he recommended and he called Tribilt and ordered them for us. They were invoiced to us and credit given to us. We were going to have our man make them, but these were much cheaper. R. Ehrenberg - You had your first conversation R. N. Ruedlinger = Yes. R. Ehrenberg - It looked like a good deal? R. N. Ruedlinger - Yes, but he was helping us because of Mike. R. Ehrenberg - Does Bouchard have any interest in Tribilt? R. N. Ruedlinger - I think not. R. Ehrenberg - When did you place first order for stock? • R. N. Ruedlinger - The dates are on the invoices. R. Ehrenberg - Who did the ordering? R. N. Ruedlinger - Bouchard did most of it. H. C. Davis - How was this meeting set up? R. N. Ruedlinger - We were eating at a place and he came over to the table. He had a friend with him, name not known. • H. C. Davis - This was first meeting? R. N. Ruedlinger - Yes. • H. C. Davis - Then he came out to store? R. N. Ruedlinger - Yes, away after. R. Ehrenberg - When did R. Bouchard come out? 111 R. N. Ruedlinger - August 23 - 24 ---- T. Jorvig - Rudy and Art, 'in view of what has transpired - are you under any obligation financially to Roy Bouchard? M 231 September 21, 1956 Ruedlinger's Inc. Continued IIIR. N. Ruedlinger - No, as affadavit H. C. Davis - Read aloud Exhibit #2 Ruedlingers Statement G. Schadow - Did your attorney draw this up? R. N. Ruedlinger - No, Mr. Bouchard's Attorney. R. C. Fernstrom - Read letter from 5th Northwestern National Bank. Exhibit #3 H. J. Bolmgren - What is total invoice? R. N. Ruedlinger - $28,612 for liquor 4,600 for fixtures etc. Exhibit #4 T. Jorvig - Some of your invoice read - Knollwood Liquor Store - is that the name you are calling it? R. N. Ruedlinger - Yes. R. C. Fernstrom - That completes the information you required. Are there any further questions? 111 H. C. Davis - How much is this (bills) on credit? R. N. Ruedlinger - Bills are payable on 20th. Some due in 10 days etc. I don't know how long they will wait for original -- but if we keep paying on it, they seem satisfied. K. Wolfe - You feel that the line of credit from Bank will be sufficient? R. N. Ruedlinger - Yes. We want to paint up some and blacktop. K. Wolfe - You are going to fun the-store? R. N. Ruedlinger - Yes. Mike's Brother-in-law is in there now -- We want to keep it in the family and when Mike gets well, we hope to be able to take him in. K. Wolfe - Are you going to continue the nursery? R. N. Ruedlinger - No. K. Wolfe - Sowhen, you sell nursery, you will have more money? R. N. Ruedlinger - Yes. G. Schadow - To summarize: You ran into R. Bouchard in Culbertson's and you 111 said $1025.00 a month -- but did not consider selling? R. N. Ruedlinger - We felt that $1025.00 would be a good social security. Gene Schadow asked for interview of July 10th and reviewed some answers. 232 September 21, 1956 Ruedlinger's Inc. Continued R. N. admitted being greedy and didn't say no to R. Bouchard right off the bat. R. Ehrenberg - I would like more time to investigate further. Motion by Councilman Ehrenberg, seconded by Councilman Schadow. Action on this matter deferred until September 2)4, 1956 at regular Council Meeting to give Council chance to check for further examination and investigation. Councilman Bolmgren, no; Councilman Davis, yes; Councilman Ehrenberg, yes; Council- man Jorvig, yes; Councilman Schadow, yes; Councilman Wolfe, no; Mayor Fernstrom, No. H. J. Bolmgren - As far as I know they have answered all our questions and have complied with our requests - I have no further need for further investigation. K. Wolfe - I feel as H. J. Bolmgren and feel if there is anything different, we can always take action. G. Schadow - On Motion,-- I sympathize, but there were representations made that have not been carried out -- I feel that place should be closed until ---- Roy Bouchard is not happy. I feel his affadavit does not carry the facts. R. C. Fernstrom - I shall speak against the motion You have this information and can continue to investigate even with the store open. You have answers to all items. You can check affadavit - at leisure - Council can always suspend, revoke or close at any time. G. Schadow - I think that is right -- R. N. Ruedlinger on his own admission says that Roy Bouchard's Affadavit is not true -- as there was admitted that a talk was had - a verbal deal. • K. Wolfe - I am sure that the deal would not be consumated until papers had been signed. When R. N. Ruedlinger found out how the Council felt, he stopped. I believe answers are adequate - but if you feel that there is perjury in affadavit, but as the deal was only verbal and not consumated - and I would like legal advice - My main objections now are that if you feel there has been perjury it is up to Councilmen to decide -- but now we should take on face value. R. Ehrenberg asked Secretary to read motion of September 18, 1956 and added that Secretary was instructed to contact R. N. Ruedlinger and get statements mentioned. He, R. Ehrenberg, asked for further time to check statements. R. C. Fernstrom says you have received all statements -- and -- meeting adjourned. R. C. Fernstrom, Mayor Attest: +osep Just-' , Secretary to the o nci� O