New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1921-04-27
Witnesses Tell Lockwood
Committee of Alleged
Monopoly Which Tends
to Boost Housing Cost
Insurance Rates
Fixed by Exchange
Untermyer Says Brindell
Still Holds Influence
i'm Trade Association

The Lockwood joint legislative COM
mittee on housing, upon resumption of
its hearing in City Hall yesterday,
opened up a new line Of disclosures
with a vigorous attack against alleged
nonopoles in the fire insurance bust
ness.
1t was revealed that the householders
oi rock ribbed fire insurance exchanges,
whose close combinations and rate-tix-
ing operations were declared to con-
tribute largely to the high cost of hous-
ing construction.
Before making the new exposures
Samuel Untermyer, chief counsel for
the committee, indicated that he was by
no means through with the labor and
contracting organizations charged at
previous sessions with being in a great
measure responsible for the stringent
housing conditlons through their irreg-
ularties.
Says BrindelI Retains Power
1t was brought out through wit
nesses that the so-called reforms"
effected within the organizations of
The Building Trades Employers Associ-
alton, formerly headed by Otto Eidlitz,
and the Building Trades Council, Of
which Robert P. Brindell was the presi-
dent, were mere empty formalities. In
the case of the latter Mr.. Untermyer
pointed out that, although in Sing Sing
serving ten-year sentence for extor-
p,-,.. Ill ~ ]
auence
1t was shown that Patrick J.. Crow
Icy, the new president of the council,
was one of Brindell's closest friends;
that Roswell d. Tompkins, secretary
es the organization under Brindell,
still retained his position; that the
executive committee of the body was
still appointed by the head Of the body
without reference to the rank and file,
and that Stephen Birmingham, the for
Eer policeman who was Brindell's per-
nal bodyguard, was still connected
With the compensation bureau of the
council, into which $115,000 year was
paid by the membership. 1t was de-
cared, however, that the bureau would
50 out of existence on June /.
In connection with the employers
organization it developed that the vari-
oHi4idtSu CONTRACTING DOOleS cOD-
vcted of violations of the antitrust It
avs and other offenses still retained
their membership in the employers
association. 1t was testified, also, that
the alleged unlawful agreement be-
tween this organization and the labor
council denying labor to contractors
rot members of the association has not
Been abrogated and that amendments
10 objectionable features of the associ- :
s1on's constitution have not yet been
acted upon by the entire membership
of the body
1t was indicated in this connection
mat criminal proceedings may shortly
be instituted and indictments asked by
the committees counsel.
Insurance Experts Testify
Inc revelations pertaining to the
asHeged tlre insurance monopoly were
brought to light by Mr.. Untermyer
through the testimony of William o.
Hopo, general manager of the New
Is.f uofk Fire Insurance Exchange, 1873
william Street; Samuel Deutzberger,
specialist in rate making associations
Dof the State Insurance Department,
sho W VILLAIN Schiff, of the firm of Schiff
ierhune, insurance brokers of IS
Maiden Lane.
The New York Fire Insurance Ex-
vhange, Robb declared, was organized
IN 1910, and included eighty compa-
n,es and forty agencies, representing
sl'ogether about 213 firms in the great
CT city area. About half of the eighty
rms were American branches of for
e'gh companies. There are three other
CONTINUED on page seven)