New-York tribune., 1919-10-08
Swami Orders Inquiry to
Expose Associations
That Nu|ct Tenants:
Lawyers Under Fire
Lease Ordinance
Offered as Cure
Alderman Palitz Fathers
Statute to Curb ssScalp.
ers, Protect Lessees

District Attorney Swami will begin
John Doe inquiry into crimes alleged
to have been committed by bands of
Bolshevik grafters organizing fake
tenants associations. particularly on
te East Side, it WAS announced yester-
day. The inquiry. based upon informa
tion furnished by Nathan Hrsch.
chairman of the Mayors Committee OF
Rent Profiteering, at the suggestion Of
Mayor Hylsn, foreshadows indictments
on the charge of larceny, it was said.
At the same time Alderman x. I.
Collins. chairman of the Committee or
General Welfare, declared that an ord
nance to put icssees of apartments
under the police supervision. intro
duced before the Board of Aldermen
Yesterday and referred to his COM
mittee, almost certainly would be re-
ported out, passed and put into effect
by November I. The new ordinance,
according to its author Alderman
Clarence Y. palitz will doom the
"lease scaiper," who i * charged is
largely responsible for clogging the
municipal courts this week v tn TO-
coo eviction cases.
Thousands We're Fleeced
These grafters have aeeced thou
sands of tenants successfully, who
have trusted in them to reduce their
rents" declared Mr.. Swami. evidence
we have taken shows that these con-
spirators have fonented rent strikes
for their own private profit, have
stirred up dissension between land
lords and tenants and have collected
in the aggregate large sums of ten
ants money for services they could
not. and knew they could not, perform.
These men have been guided IN
their operations largely by lawyers
who should be disciplined if the in
formation we have obtained is true.
There is no necessity for tenants TO
listen to these adventurers or part
with single dollar. as all complaints
are given careful and individual atten-
ton by the Mayors Committee on
Rent Profteerng"
ut is inconceivable that my meas
ure will not pass" said Mr.. Palitz,
speaking Of the proposed ordinance.
Aldermen could not face their con-
stituents ii they refused 10 vote for it.
THE measure strikes at the heart
o. the present situation, which is the
traffic in leases. Contrary to general
opinion, il is NOT the landlord who is
Causing all the trouble. The much
abused landlord is en- angel compared
With the person who buys & lease,
raises rents, and then sells the lease
a. handsome profit.
"ScSlpers" Are Active
tX- janitors, PAINTERS and carpenters
seem 10 predominant among the
scalpers Some OF them operate az
many as seventy apartments.
"Operating through dummy corpora
tons, they give a lease. Later another
person calls on the tenant, demanding
fhat higher rent be paid. The tenant
exhibits his lease. The newcomer
Lease. Since the scalper does not
record his leases. there is no court
record 70 use in trailing the real
proftecr."
The situation at the various munic-
tpal courts Wa conn paratjvcly quiet yes
srday. A. result Of the policy Of
ne justices 70 delay evictions as much
~ pos Bile, practically every case con-
adhered was put over.
Captain {. A. Goldsmith, investigator
'or the Mayors committee, declared,
t>rt lo1r OF lnf courls, tHdt ne Knew
OF only one eviction writ actually
algned during the day. The courts
are denying requests for eviction and
are sending % per cent Of the cases
brought before them To the Mayors
eonl'nittes, said Captain Goldsmith.
Esctions Are Delayed
In the Municipal Court Of the First
District some 700 cases we're consid-
cred. Most Of these went over.
iwentyeight cases we're set down for
tflai by jury and other cases we're
settled by allowing the tenants to re-
man twenty days upon payment Of
rent at last months rates and promise
70 move by November /
about sixty cases were handled in
'ne slxth District.
IN Brooklyn l30 cases were handled
. the DufFeld Street court and about
'"f'g cases at the Gates Avenue court.