The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-10-27
Newton Will Prosecute All
Connected With 'Sys-
tem,' Is Decision.
READY FOR INDICTING
Fresh Proof of EXtortiOn;
700 Workers Yield $40 a
Week From Wages.
CONTRACTORS COMPOSING
House Wreckers Have to Give
Up 81 a Wagon Load or
Face Strike.
CONTRACTORS COMPOSING

Gov. Smith last night appointed At
torney- General Newton to prosecute
all building grafters against whom
evidence is presented by the Lock
wood committee. and at the same time
announced that n new extraordinary
Grand Jury would be summoned to
deal exclusively with these cases. In
sisting that all gougers must be pun
ished, the Governor granted the de-
rnand of the committees counsel that
District Attorney Swami have 10 hand
In running down the criminals.
In order that there may &c no de-
lay, it was agreed that Samuel Inter
myer. chief counsel for the committee.
be clothed with authority to go be-
fore the regular term of the November
Grand Jury. which will meet cn Mon
day, TO present evidence OF crime. Mr..
Untermyer is expected then TO ask for
a. least three indictments
The regular jury Will turn over all
it's information to the extraordinary
term as soon as the latter can be con-
vened. which probably will be in about
three weeks. AS a result Of the clash
over the conduct of the criminal pro-
ceedings a compromise was reached
by which the Almirall extraordinary
| jury, now in session, is not to touch
the building cases.
This action. assuring speed and
prosecution of the grating ring in the
building trade free from the suspicion
OF political complications came after
/ the counsel for the committed. delving
! further into the machinations OF the
system" had brought 10 light new
proof OF it's operations on n scale so
| extensive as TO be almost unbeliev-
/ able.
Tribute From Wreckage, Even.
It was shown. for example, that the
masters Of the system are not content
with extorting money 10 call Off strikes
to allow ordinary legitimate building 70
&c ahead ana laying tribute on all the
trades and materials which go into a
building, but actually collect at the rate
OF 81 a load for every truckload Of
wreckage ccrted away from a building in
process OF demolition. At least $500
has been collected in few weeks rom
tuckmen at one big uptown hote! being
torn down.
Further Il was shown that since the
Housewrcckers Union was split open
less than n year ago in hght with the
Building Trades Council, Of which Robert
p Brindell is president. collectors repre-
senting themselves TO be from that or
ganization have levied $40 a week on
the wages Of between 700 and 500 work.
men formerly in the union. This item OF
from 81 900 70 IS, 900 week Is picayune,
merely one OF the little side Issues In the
whole stupendous scheme OF extortion.
Mayor Hylan gave orders that the
Commissioner OF Accounts investigate
every city contract for building made IN
the last year. There is evidence thar
many such contracts especially those
| for public schools. have been boosted by
/ the provisions Of the code OF procedure
devised 20 profiteer. Wholesale cancella-
4 tion Of contracts may result soon.
The whole hlmsy structure built up by
Z the ~ stem ~ NtAlUNllE " ANAitTs
There are many signs Of its crumblirg
Contractors are rushing 20 cover and are
eager 10 give information. Il was pre-
dicted yesterday that evidence % be o.
fered tomorrow may push the whole
thing over
The Governors decision IN dealing
with the complicated situation presented
TO him was reached just before he start
ed on his campaign tour Of the city.
His action was taken after day OF
conferences in which sat Mr. Untermyer
and others. Alfred J. Talley, Assistant
District Attorney. representing Mr..
Swami. offered strong objection 70 CIV
ing the building case 20 the Alniirall
Grand Jury. The agreement finally was
reached that new and clean start
would be made 10 head OF all criticism.
Tammany men who have been fighting
the proposal 60 turn over the case To- tho
Attorncy-General ana Mr. untermy,f
lost completely