Evening star. [volume] (Washington, D.C.) 1854-1972, 1920-11-07
WEALTHY BUILDER
IN PERJURY CASE
George Backer Arraigned in
N. Y. Inquiry-Untermyer
May Call HyIan.

1 NEW YORK, November 10y the
Associated Press).-Arraignme OF
George Backer. millionaire building
contractor. on an indictment charg-
| ing perjury in testimony before the
joint legislative committee investi-
eating the alleged building trust
here. and threat by Samuel Inter
myer. counsel for the committee. to
summon Mayor Hylan to explain fail
| ure to cancel contracts for new city
buildings, were outstanding develop
ments inAthe inquiry today.
! Backer was released under $4,000
bail and directed to appear again
Monday in the court of general ses-
| sions to plead
The indictment charges him with
perjury in first testifying that he
| gambled away $4,000 given him by
| Ephraim Levy. another builder. and
later admitting he had paid the money
TO two strangers who looked like
WORKING men Backer. according to
! among contractors and laborers.
Letter to Controller.
mayor before the committee was con-
craig. made pu sier to 10 9on'r9 The
counsel for the committee declared
ne understands work is proceeding
upon contracts that are based on
4
steps were taken ito prevent the fur
ther mulcting of the city"
He proposed a permanent non
| partisan vigilance committee re-
moved from politics. with a staff of
accountants and experts ito check
the city officials on the vast business
that is being transacted for the city,
The committee held no hearings to-
day, the sessions having been ad-
Jonrned until next Thursday to permit
examination sxs Of the evidence that is
being gathered. Counsel for the
Mr. Untermyer declared that up
ward of two weeks ago" he wrote the
mayor and urged particularly i'm
Mediate cancellation of contracts that
had been made or. were then under
way for the construction of school,
houses, on the ground that there was
sufficient justification for that course
as to many of them. from the evidence
that we already have in hand"
NO reply was received. the letter
said. until November 3. land then
only a belated formal. perfunctory
acknowledgment. which reached me
eleven days after my letter to him."
Warned Commissioner,
Yesterday. Mr.. Untermyer declared,
he warned Commissioner of Accounts
Hirshheld that IF the mayor persists
in delaying action. / shall feel that
my duty as counsel to the committee
will require me to call him to the
witness stand to explain his reasons"
zone of the peculiar features which
prehend about the solitary bid for
the limestone work on the court
house." Mr.. Untermyer's letter added.
lis found in the fact that although
the insulting letter of John T. Het-
trick Counsel for the Master Plumb
O vok
which Hettrick undertook to pledge
to the mayor the political votes and
support of the labor unions. virtually
as bribe if the mayor would ap-
prove the contract, was received by
the mayor almost two months ago,
1t was not made public and no men
ton or intimation was given of it's
receipt until after Hettrick's office
had been raided under a search war
rant issued on the complaint of the
attorney general at the request of
the committee.
The fact that the letter is undated
also is significant, as is the still fur
Their circumstance that. no step was
made to cancel the courthouse con-
tracts until after our investigation
was well under way and the con-
spiracy to swindle the city was pub
licly exposed"
Charges Breach OF Promise.
At his hearing today Backer charged
that he was a victim Of breach Of
Wallstein and Deputy Attorney Cen
eral Samuel A. Berger, associate COM
mittee counsel. He asserted that they
mad promised not to call him to the
witness stand if he gave them in
been summoned he charged that he
had been subjected to bulldozing tao
Tics in MI. Berger's Office before ap-
pearing before the committee.
1t was brought out today that Backer
was not arraigned for bail last night.
but left in custody Of his counsel.
because today was pay day on q job
on which he was working and the
court did not desire to block thou
sands Of men getting their weekly
wages.
False. Says Mayor Hylan.
Mayor Hylan. in a statement to-
ter to the controller. declared the
statement Of the committees counsel,
mat no action was taken to cancel
the courthouse contracts until after
M ms Investigation was well on the way.
is absolutely false"
The mayor explained he had been
BUSY with the city budget for several
weeks and delayed answering Mr.. I'm
termyers letter. but that he has been
at the city hall every day during the
investigation and will be glad to ap-
pear any day" that Mr.. Untermyer de-
sires his presence.
My attention has been called to the
attempt or Mr.. Untermyer to give the
false impression that I am not CO.
operating with the Lockwood COM
. m,.tee. the mayors statement said
untermyer letter. telling him that
every department under my jurisdic-
ton would be at his services without
reservation. On October 16. 1920. 1
wrote to Senator Lockwood, chairman
that the city's resources would be at
ms services. The commissioner Of ac-
counts and the corporation counsel
nave been directed by me to attend
the hearings and render every pos
sible service to Mr.. Untermyer in this
investigation.
Action on Letter.
held back the Hettrick letter is alb
solutely false, as the Hettrick letter
was referred without delay on Sep
TENDER IA. 1920. to Commissioner
Hirschfield. who was at that time in
vestigating the limestone contract.
Mr.. Untermyer began their investiga-
ton"
The mayor asserted that Mr.. Inter
myer attempts to create a false i'm
preston that action Is being delayed"
by his threat to call the mayor az
a witness.
Action has not been delayed" he
added. "as l have communicated and
conferred with the, commissioner Of
accounts and the corporation counsel
with reference to these contracts i'm
after the courthouse con-
tracts were rescinded, and before and
after receiving Mr.. Untermyer's let
ter"
He declared he also asked Mr..
Hirschneld and the corporation coun-
n