New-York tribune., 1921-05-19
UnterrnyerA Asks
Session, TO
Halt Combines
tcontInued from pace orc,

less than six months or more than
three years; that they shall also be
punishable by fine not to exceed
$4,000, the imposing of the fine to be
in the discretion of the court, but the
court to have no discretion as to the
prison sentence and the court to have
no power to suspend the prison SEN
tence.
The session was marked by some ad-
ditional important developments.
Among these was the disclosure that
the Board of Education's caution in
holding up contracts Tor about eighty
schools from July, 1920, to February
of this year, because of the revelations
of fraud, has saved the city approx
mately $14,000,000.
AS against this, however, it was
shown that more than $2,000,000 had
been paid out to contractors in the
heating, ventilating and plumbing
groups in John T. Hettricks "code Of
practice" combines irrespective of the
work which the contractors were per-
mitted to complete on the basis of
their Hettrick bids.
Albert A. Ainsworth, head of the
nine combines in the building industry,
whose activities Mr.. Cntermysc de-
clared made Hettrick "looE like a
piker," announced on the witness stand
that eight of these organiE iEasions had
abolished the reporting sy2tems which
made them Objectionable under the
law, according to Mr.. Untermyer, and
that the Water Meter Exchange had
completely disbanded.
In this connection Mr.. Uncermyer, in
conjunction with Robert Brennan, as
II IL III
covered another combine known as the
Mosaic Employers Association. Most
OF the testimony on the subject was
offered by Ellis d. McLaury, head Of
the McLaury Marble and Tile Corpora
ton, who is president Of the associa-
ton. The organization mad many Of
the obnoxious features of other close
combines, but which, McLaury said.
have recently been abolished.
r. .rther interest was lent the session
by the appearance in the hearing
chamber of John A. Mccarthy, close
political friend and former business
associate of Charles F. Murphy, Tam
many leader. Mccarthy had been fined
on Monday with the other ma
sons building materials men. He was
there on subpoena, but declared he did
not know what the committee wanted
him for. Nothing on the subject
could be learned from members of the
committee or it's counsel.
Mr.. Cntermyer referred to the agree
ment of the committee that amend
ments to the antitrust laws be pro-
posed at special session of tie Legis-
lature, or at least at the next regular
session of the body. He suggested that
other equally important legislation
would be asked in connection with the
various combines. The law should be
amended, ho said, so that if sub-con-
tractor defaults on his contract involv-
ing city work the city at it's option may
take over these contracts. He referred
to the Cumberland Street Hospital
scandal as an example of what happens
where the city does not take over these
contracts: The city lost more than
100000 in this affair.
81 think" he added, "that inasmuch
as this mass of contracts for new
schools is about to be let, aggregating
$5o,0G0,000, and other contracts are
under way, it would be we'll worth
while before they are made to have a
special session of the Legislature for
the purpose of enabling the city TO take
advantage of sub contracts where the
general contractor defaults"
He said he would also urge IegisIa-
tion to curb the fire insurance compa-
nies, zone of the most despotic of all
combines"
Senator Lockwood here remarked