New-York tribune., 1920-10-18
Untermyer Says
Law Hampers
Board
Act Creating Legislative
Committee Manipulated
So as to Limit Its
Powers, He Declares
Charges Bank Protection
Insurance Companies Saved
From Undue Investiga.
ton, Lawyer Asserts

:, The correspondence between Samuel
Untermyer and Senator Charles C.
Lockwood, chairman of the Joint Lepis-
iatiye Committee on Housing, that led
to the former agreeing to act as coun-
sci to the committee in its investira-
tlon into the alleged conspiracy to
maintain the prices of building ma
terials at artificial high levels, was
made public yesterday. In it Mr..
Untermyer severely scores the state
Legislature for limiting the scope of
striking out portions of the resolution
submitted to it.
why these restrictions were i'm
posed upon the committee" hef wrote
under date of October II, II have no
means of knowing, but the changes
were accomplished with an intelligence
and subtlety that leave little room for
doubt as to the manipulative skill and
legislative experience behind the ac-
tion."
In pointing out the changes made
he says that many of its important
recitals and provisions, as it was pre-
pared by me and submitted to you,
have been eliminated and others have
lating to the insurance companies and
banks has been so changed from the
text, as originally drawn, as to make
certain that the policies and affairs of
these companies will not be undulv
investigated. The paragraph providing
IN detail for immunity has been bodily
stricken out"
Mr.. Untermyers Conditions
Mr.. Untermyer points out to Senator
Lockwood that he has been told the
Lockwood committee "has now been,
1cr upward of one year, engaged in
this enterprise, has taken over 5000
pages of testimony at great expense
and has not yet found itself able to
recommend permanent remedy or
anything beyond mere temporary
makeshifts, the wisdom and legality Of
some of which, to put it mildly, are
doubtful. Frankly, l would want to
assure myself against the repetition of
that experience, though do not mean
to imply the committee is to be
blamed or criticized for that unfort-
unate situation"
The conditions under which Mr.
Untermyer agreed to serve the com
mittee as counsel in its investigation
were set down as follows:
"That there shall be no division of
authority and no subdivision of the
legal work between counsel, except as
they may agree among themselves
They will, of course, be subject to the
direction of the committee as their
client
THAT the committee will employ one
or more investigators and statisticians,
who will forthwith begin to gather
facts and figures under the direction Of
counsel, and that the hearings will
commence without further delay and
will be continued from day to day, ex-
cept on Saturdays, unless the commit
tee for cause shall otherwise, direct,
and that all the members of the COM
mittee will, whenever possible, attend
throughout the sittines. There is need
for immediate action, and the time re-
naming is already all too short for the
task on which you are embarked. If
the evidence is properly prepared it's
presentation ought not require more
than three or four weeks.
"Thst in order to secure an orderly
coherent and logical presentation of the
facts the examination of witnesses will
be conducted and concluded by coun-
sci without interruption before ques-
tons are put to the witness by mem.
Desires Assistance
THAT the Superintendent of Banks
and the Superintendent of Insurance
will assure to the committee prompt
and comprehensive assistance in the
way of preparing and furnishing data
for the committee from their records.
THAT the Federal Trade Commission