The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-11-07

attorneys efforts 10 keep him silent
when newspaper men were with him
he held forth in vigorous denunciation
OF Mr.. Untermyer and the latter's aids,
Leonard Wallstein and Deputy Attor-
ey-GeneTal Becker.
This whole procedure IS IN bad
Iaith." he cried, ''Wallstein and Becker
broke faith with me when they called
me to the witness stand. My friends
believe that l kept that money instead
OF disposing OF IL as 1 was supposed
to do. / think more OF my friends than
do of Wallstein, Untermyer and Beck
er. let me tell you that 1t was agreed
that in exchange Tor my answering GER
tain questions OFF the stand that l was
not to be q witness. But they wanted
me TO say that l gave the money to
Bob BrindelL l couldn't say that be-
cause IL wasn't true. ! want my friends
to know that I properly disbursed every
cent OF that money. Well. wouldn't
testify as the committee wanted me to,
SO they indicted me- and hore am"
Thus far Baoker is the only person
Indicted. There have been no more In
dlctments and probably win not be for
a few days. II is safe to say. however
that when the proper moment arrives
the Grand Jury win be confronted with
an Impressive mass OF evidence and that
the ensuing indictments will partake of
the nature Of an avalanche The only
loose gear in the committees machine
now has to do with the slight hitch be-
tween the Federal Government authori-
ties regarding broadening the powers
and lensthening the arms of the COM
snittee. so that Federal indictments may
be had against persons not now in the
jurisdiction of the State 1t Is not be-
Iieved that petty jealousles and personal
love of the linelight will be permitted
to halt the work at this stage OF the
game.
1t is more than likely that Comptrol-
Ter Craig and Mr. Untermyer will get
together within day or so. All yes
Ierday Messrs. Wallstein and Berger
were reviewing testimony and examin-
.1g new witnesses.
Untermyer's Letter to Craig.
Mr.. Unterrnyer stayed at his try
home preparing for the much Go.-(ed
broadening of the committees powers.
His letter to Mr.. Craig says
Il note with interest and relief your
announcement in this mornings papers
that you intend to closely scrutinize ali
pending contracts for city construction
made within the last eighteen months
and to send to the Joint Legislative Com
mittee on Housing list OF such OF them
as come within our jurisdiction for in
vestigation.
Permit me to suggest that you in
cluce also those contracts that have
been completed but as TO which the city
has not yet made payment In full.
Upward Of two weeks ago I wrote
the Mayor on this subject and then
urged more particularly the immediate
cancellation OF contracts that had been
made or were then under way for the
construction of schoolhouses on the
fcation for that course as to many OF
them from the evidence that we already
had in hand, but had no reply from the
Mayor until the Sd inst, and then only
a belated formal perfunctory acknowl-
edgment which reached me eleven days
after my letter to him.
NO action has yet been taken or sug-
gested In the direction indicated by me.
and I understand that the work is still
proceeding upon contracts that arc based
on collusive bids. some of which were
exposed at the hearings.
I'm my Judgment It is high time that
steps were taken ito prevent the further
muicting OF the city, and If. as you sug-
gest, YOU will send me promptly lis,
of the contracts, I would be pleased, IL
you do so desire, to confer with you upon
this important subject.
Yesterday / again warned Commits
sioner Hirsch6eld at the hearing room
or the committee that II the Mayor per-
sists in delaying action I shall feel that
my duty as counsel to the committee
viii require me TO call him to the wit
ness stand to explain his reasons. This
wholesale robbery OF the city through
matched bids and trade combinations
M NJ cf.1 ~. Iii l.. I.
ruptcy.
"When the contractors have been
made to understand by few of these
object lessons. and not until then. that
they are likely to come TO grief at al
most any stage OF their work IL they at
tempt to defraud the city by collusive
bidding, we shall perhaps have competi-
ton in city work. There should be a
permanent nonpartisan vigilance COM
mittee that keeps itself entirely removed
from politics. with a staff Of accountants
and experts to check the city officials on
the vast business that IL being trans
acted by the city. I doubt whether for
every dollar we spend we get so cents in
real vniue on city contracts.
Letter Is Undated.
"one OF the peculiar features which
about tho solitary bid for the limestone
work on the Court House is found In the
fact that. although the insulting letter
az John It. Hettrick TO the Mayor in
which Hettrick undertook to pledge to
khe Mayor the political votes and support
OF tho labor unions. virtually as a bride.
If the Mayor would approve the contract,
was received by the Mayor almost two
months ago. II was not made public, and
no mention or intirnation was given OF
it's receipt until after Hettrick's office
had been raided under a search warrant
issued on the complaint of the Attorney
General at the request of the committee.
The fact that the letter is undated ia
also significant, as is the still further
circumstance that no stop was made to
cancel the Court House contracts until
after our investigation was we'll under
way and the conspiracy to swindie the
city was publicly exposed.
III there are any reasons for still
further delay in acting on the other
outstanding contracts for city construc-
ton, such az the schools. am anxious
to know what they are. Every con-
tract based on bids or estimates that
Violate the laws as 20 competitive bid
ding and that are not the result OF
unrestricted competition is a fraud
upon the city and could and should
In the courts That this Is true OF
many such contracts Is beyond oues-
ton. IL has been true ever since tho
present administration assumed office
and for years before. A blind man
=