The New York herald., 1921-06-07
Valuable Waterfront Con-
cessions Involving City
Official to Be Made OBJ
ject of Scrutiny.
LEGAL HURDLES AHEAD
Corporation Counsel Sup
ports Mayor in Refusal to
Lend City Employee
to Committee.
COSTIGAN STORM CENTRE
Investigators Are Now Ready
to Go Full Speed Ahead and
Amazing Revelations
Are Promised.

Mayor Hylan's bold efforts to block
the joint legislative committees
hunt for graft and waste in the muni-
cipal administration was backed up
yesterday by formal legal barrier
raised by the Corporation Counsel,
who held that the State has no right
to subpoena the services of city en-
ployees. This includes Police Cap
tain Honest Dan" Costigan, whose
aid the State seeks.
Instead of hating the investigators
the opposition Of the city ofhcials
led the committee to issue subpoena
for Acting Commissioner John A.
Leach in connection with new phases
Of the police inquiry and to order
full speed ahead in running down
leads already uncovered indicating
amazing conditions in the leasing OF
city piers and the sale Of stand and
special privileges.
Tho committee is barely organized.
It's staff is only just completed with
the acquisition of several experts
who have served the Lockwood com.
mittee for nearly a year. But with
the inquiry just getting it's first
momentum, the remarkable conduct
OF many prominent officials in half
dozen cases so far taken up Is evil
dence that New York Is to have a
series of sensations when the tax
payers begin finding out where their
money has gone.
Going Into Pier Contracts.
| Scandal has been hinted at in the pier
business many times in recent years.
That has come to bo regarded In po-
liticaj circles as the special brand
Of easy money belonging to some OF
| the big men n Tammany. It was
hinted at In the Lockwood COMMITTEES
inquiry. but never was followed
through. The new body of probers
is going TO the bottom of every pier
contract and every lease. One of the
there is basis for the report that big
man in Democratic politics now hold
ing a conspicuous city post was the
one who put his o. X. on pier leases
before shipper could find a. spot to
land his goods.
The Corporation Counseps ruling
was given sustaining the Commits
sioner of Accounts. David Hirshfield.
who refused to assign Porter +. Atlee,
of the latter's office, to the COMMITTEES.
Senator Meyer wrote TO Hirshfield
asking that Atlee be assigned for the
purpose of examining the corporate
stock account of the Finance Depart
ment.
"I am of the opinion that there is not
conferred upon the committee or tts
chairman under the resolution creating
| the group any power TO require you TO
make such an assignment as is re-
quested." Corporation Counsel O'Brien
advised Hirshfield. III II we're ad-
mitted that the committee has the powcr
| to require the assignment of one en-
ployee there is no reason why the power
| should rot extend to several or all em-
ployees as II would extend to the head
OF a department or office. and the COM
mittee under such a construction would
be authorized 10 assign TO the head of
department any work connected with the
investigation.
"The resolution does not contemplate
the transfer OF your employees TO the
legislative committee. II YOU and your
employees afford to the committee every
opportunity 10 facilitate it's work with
such advice and direction as It IS possi-
BILE 10 give, think that is the extent OF
the obligation imposed"
Costigsn Now the Issue.
The Importance and significance OF
| this position lies not IN Its application
TO Atlee and Hirshfield's employees but
In the fact that II Is tho city's refusal
10 assign Capt. Costigan TO the commit
| tee
1T is difficult TO understand why. "
! the Police Department administration
/ places such high value on Capt Costi-
| gan's services that he cannot be spared
/ to the State as an investigator. that he
/ Is kept out In a remote Brownsville pre-
/ cinct," Senator Meyer said. II do not
understand why the city officials are 80
reluctant to let Costigan help us, wh;le
offering US the services of police lleu-
| tenant. inasmuch as he was considered
ot 40 little value that he was denoted
! and sent out TO the wilds."
What action Is to be taken TO force
the issue will be decided In conference
! OF the committee with it's counsel in A
I day or two. The states agents have
/ no intention OF permitting Mayor
Hylsn and HIS subordinates to block
the inquiry by such a simple process a.
Corporation Counseis ruling. Tho
case will be taken to the courts at All
early date and the committee will fisht
every inch of the ground before allow
ing the city officials to obstruct the
\ investigation.