New-York tribune., 1921-02-16
w Whitman TO
Probe Alleged
Graft LIN Piers
City Inquiry Turned Upon
Dock Department After
Ship Companies Charge
Favoritism by Tammany
u. S. Firms Face Ruin
Hubert Defends Bureau:
Witnesses To Be Heard
Today; Chilvers i'm Charge


The Department of Docks and Fer
ries, Of which Murray Hubert is the
head, is to come within the scope Of
the Whitman investigation of the
Hylan administration, according to in
formation obtained by The Tribune
last night at the Criminal Courts
Building.
Formcr Governor Whitman, who has
been concentrating his attention on
probe of the Police and Fire depart
ments, has assigned William Chilvers,
one of his assistants, to the Dock De-
partment inquiry. Mr.. Chilvers said
yesterday that the first witnesses in
the latest phase of the Whitman in
vestigation would be called to-day.
They are said to be stevedores and
barge operators who have been using
pier space at open city wharves.
Other witnesses to be called are
steamship and towboat men who hold
leases on city piers. From them Mr..
Chilvers expects to obtain information
which will enable him to show that the
amount charged for pier rental depends
largely uponet the standing of the lessee
with certain politicians prominently
identified with Tammany Hall.
Information to this effect is said to
have been furnished Mr.. Chilvers by
many we'll known shipping men.
Will Revive Old Controversy
The dock probe will involve a review
of all the transactions that have oc-
CURED in the department since Murray
Hulburt became Commissioner and
probably will revive controversies
which engaged the attention of the
Sinking Fund Commissioners in 1918.
In that year many city piers were
leased at figures which were declared
to show favoritism on the part of the
Dock Department and to indicate that
politics figured largely in the letting of
leases.
The launching of the Dock Depart
ment inquiry is said to have been
prompted by complaints received by
Mr.. Whitman from various maritime
interests which are compelled to de-
pend upon city piers for loading and
unloading steamers, ScoWs and barges.
One man is reported to have said
that wharfage at city piers could not
be obtained at anything but a prohlbi-
tive rate unless the bid for space was
passed on by certain contractor who
stands Ugh in Tammany Hall This
contracto" is described as a member of
firm that holds leases on two city
piers. The father of one of the mem
bers of the concern is a Tammany
leader, it is said, and he went before
the Sinking Fund Commissioners in
1918 and had the leases awarded to his
sons firm despite the fact that higher
bids had been received.
Firm SubIets Pier SDace
One of these piers, according to in
formation said to be in the possession
of Mr.. Chilvers, is used by the contract
ing firm only for the sub-letting of tenn
porary wharfage. The rates charged
are alleged to be much higher than
those fixed by the Dock Department.
The head of an American steamship
concern which was organized during
the shipping boom caused by the World
War told Tribune reporter yesterday
that his company probably would have
to 60 out Of business on account of
the high cost of wharfage fixed by the
Dock Department.
The Dock Department fixes these
rates and keeps them high in order to
offset the small returns from city piers
controlled by large foreign operators"
said this official. "The .oreign COM
panies signed their leases before pier
space was at premium, and were far
sighted enough to have renewal clauses
inserted.
"Some of these leases have many
years to run, and the result is that
the best of the city's piers, those CEN
trally located on Manhattan Island.
are bringing in only about half what
the Dock Department is asking fer
piers in South Brooklyn and Staten
Island. No small American operator
can hope to combat this condition, and
unless we get fair deal there will
be a lot of US going out of business
within the next six months"
Make 100 Per Cent OH SubIesses
According to Commissioner Hulburt
and other officials of the Dock De-
partment, shipping men using open
piers deal directly with the cftv and
are not compelled to arrange for
wharfage through any intermediaries
Commissioner Hubert also saws that
when the lessee of city pier wishes
to sublet he must place the proposi-
ton before the Dock Depa rtment. wbicl.
fixes the rate to be charged for the
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