New-York tribune., 1919-10-02
Physician Got
S 1913 From
Insurance Fund
Graft Hearing Witnesses Say
That Dr. Wolff Collected
This Sum From State in
l8 Months as Examiner
EmployedYoung 1nternes
They Examined Claimants
on a Split Fee; System an
Economy, Says Baldwin

investigation into charges of graft
in the management of the state insur-
ance fund by the State Industrial Com
mission at the hearing in the City Hall
yesterday developed that to one ply
sician alone for part time service dur
ing eighteen months $75,l98 was paid
in fees.
f. Spencer Baldwin, manager of the
fund. was recalled as a witness before
Jeremiah f. Connor, special commits
soner appointed by Governor Smith to
inquire into the graft charges. He
testified that the money had been paid
with his approval to DR.. Meyer Wolff,
81 Second Avenue. Mr. Baldwin said
DR.. Wolff had established "system"
of stations throughout the city where
injured workmen entitled to compen-
satlon under the insurance act were
examined. Other witnesses testified
that the "systcm' consisted of the
employment of newly graduated physi-
clans, who we're required to divide their
fees with DR.. Wolff.
1t was brought out that when a
workman was injured his employer
was obliged to send him to one Of
DR.. VOLTS stations instead of to the
employers physician, and that the
physician attending the patient re-
ceived half the fee charged by DR..
Wolff.
Also Doing Private Work
Questioned by Miles NJ Dawson, ex-
amining counsel, Mr.. Baldwin said he
WAS aware that DR.. Wolff was also per-
forming work for private insurance
companies.
"Out of<he 1898 paid to DR.. Wolff
in the eighteen months you were aware
that he got half of ?" asked Mr..
Dawson.
81 haven't the slightest idea how
much he got" replied Mr.. Baldwin. 81
understood that his system was good
and that it cost only about one-third
as much as other systems.'
DR.. Abraham ]. Weingart. 209 Hoop
after he left q hospital as an inferno
he was installed in one of DR.. VOLTS
stations He said he received so cents
to 81 for examining cases, and he un-
derstood that DR.. Wolff received
like amount.
Examined Patients Only
Dy. Frederick G. Miller, 800 West
Twenty-third Street, testified he also
was employed by DR.. Wolff. He said
SO far as he knew DR.. Wolff never
rendered any service to the patients
treated by him, and for which Dr..
Wolff received fee. John Cornelius
Wander Poll, A Thirty first Street,
Beechurst, L. l.. employment manager
for the American Hard Rubber Com
pany. testified that his company re-
fused to send its injured workers to
physicians designated by the State In
L,
its own physician were held up for
long periods before they were paid.
More stories by injured workmen
that they were forced to pay graft to
employees of the fund we're related.
E~occo Timnon, II King Street, told
how one of his arms were broken while
in the employ of the Empire Carting
Company. He said when his claim had
been allowed he called at the office of
the fund at 230 Fifth Avenue and re-
ceived q check for $500. Half of this
C(novese, an employc Of the Office,
who said he would have to "split" it
with William A. Herman, then a claim
adjustcr.
Herman B. Kahn, 4S East Tooth
Street, swore that while serving as
auditor for the fund he was offered
bribe Of $500 to underestimate the
payroll Of certain firm. On his re-
fusal to accept the brbe, he said the
firm withdrew its application for in
surance, but later obtained policy at
a lower rate than the one he fixed.
The hearing was adjourned until
10:30 o'clock tomorrow morning.
Abraham Bernstein. chief accountan,
Of the State Insurance Fund Of the
State Industrial Commission, who was
arrested Tuesday night last, charged
with bribery, was examined by Theo-
dore l.. Waugh. assistant. district at
torney, yesterday. Later Bernstein
was sent back to the Tombs without
bail being arranged for him, this be-
ing deferred until to-day