New-York tribune., 1922-06-18
Untermyer Sails
Firing Hot Shot
At Daugherty
War Fraud Prosecutions de-
nounccd as ''Horn-Tooi-
ing" Affair, ir Which the
Big Crooks Will Escape
Hope Offered TO Renters
People Cougcd by Insurance
Companies to Extent of
SI5O,OOO,000 Annually

last minute before his departure Tor
Turope FOR n three months rest, Samuel
tntcrmycr fred parting salvo over
tho gunwalo of the Majestic yesterday
nt some Of the personages who ehaneed
70 come under his hrc In tho sessions
Of the Lockwood committee.
Tho counsel left some verbal pills.
particularly for Attorney General
Dauehorty, referring 10 his skill in
protecting tho big INTEREST," and
whose conduct Of the war fraud prose-
eu,ions, he says. will blow up as a
"horn-tooting" affair. under cover OF
which "evcry really influential offender
will aide out" Before the thing ia
over" ndds the lawyer, "the whole busi.
ness will be so thoroughly discredited
there will be n public investigation any
how" He asks "how long the people.
arc going 20 put up with that type Oh
official inexaltcd station
Tenants Advised 10 Sit Tight
Nr. Untcrmyer cautioned tho tenants
of the city % make no new leases Tor
apartments NJ the prcfent inflated rem
/ tails. assuring complete solution OF
/ the housing problem within the next
twelve months. lie asserted that the
/ labor and the loan market situation,
werc In n satisfactory condition, but
regretted the failure N tho courts %
| imposc adequate punishment upon OIL
fondorg Of the state and Federal anti
trust laws. ~,
Tho country is being gouged out Of
$3.50 900 900 year through excessive
I are and casualty insurance. wnlch
could be saved by proper enactments'
ne said. The laws passed at the las.
session o. the Legislature win resptc.
10 insurance. he pointed out, bIoueht
about a reduction OF 20 per cent IN the
costs Of insurance premiums, pHt the
merchants were not avalling themselves
Of this advantage. 80,
Uc said he would see that the bill
providing for restriction Of IRE IN
surance company investments wogla go
over al the next session OF the LfflA-
/ lafure. II nc had 10 take the stump nm
seif In every Assembly district ot inc
state. ,
Mr. Un,ermyer also wrote letter
IN State Attorney General Newton ~
which he takes issue with Mr. Newton
+ on the lat,er's attitude toward tne light
sentences imposed on offenders Of the
state trade laws. The Attorney Cen
eral had said that the fixing OF the
punishment on conviction was the iune-
/ ,ion of the court and that the pfosecu-
tor had no responsibility In that diree-
tion. Mr. Untcrmycr suggested tnat
I 1r. Newton join him in obtaining the
passage Of the trade commission DILL
which the lockwood committee coun-
sci believes will bring tho problem di-
rectly under control
Daugherty Policies Assailed
In his structures on Attorney General
Dauqherty Mr.. Untormyer said:
"All can say AZ this stage Is that
II he shows as much organizing ability
and desires 10 punish powerful war
| fraud offenders as we have experienced
/ in the twenty-five or more antitrust
cases in which we have been vainly try
| ing 10 get action from him for more
/ than n year. we shall soon have plenty
OF 'horn-tootinc' and other forms Of
publicity and camouf.agc. under cover
Of which n .ew little fellows may be
orucified ard every really Influential
offender will slide out under cover Of
I the noise.
"Mr. Daugheriy Is grand past master
In that art have had ard am still
having my experiences with him.
"lf tho public wants 20 see him In
action in the perfection Of his skill in
protecting the bic interests. commend
20 its study HE performances IN the
/ General Electric case, in which | have
T for elk months been vainly trying 20
got the prosecution 70 do something
amnlc. They could be prepared in two
weeks by tho average law clerk. But
I the so, gan influence Is too strong 10
with -tand. and he simply will not
bulge.
ii have offered 10 take charge With
on. expense 70 the government, hut
whenever that is suggested he Cets
hard of hearing. He won't act, and he
Won't permit any ono else 10 act, %
break this criminal monopoly
"Poliilcs and Inedleienoy'
az no time in the history of that
exalted Office within my memory, not
eyen in the palmy days when Palmer
wn1 trading everything IN sight ior
delegates. has 70 been so dominated
by politics or characterized by inef-
Aclency.
az Mr. Daughcrty really wanted a
drastic and fearless exposure OF the
war frauds contracts De would have
welcomed On investigation by a COM
mittee o. Congress Of his own party.
f weuil have been ~ great assist
ance 70 him, IS the Lockwood inves-
lgat.on has been Of the greatest pos
sible aii in enabling us 20 uncover
and punish the offenders.
The committee investigation and
the criminal proceedings have gone
along side ry side, as could readily Doe
done .n the war fraud cases II tho At
t0ney General had been really desir-
Gus Of letting the public into his con-
adence Tne difference between the
methods De- that one involves pitiless
publicity. while by tho method pursued
bv The Attorney General be- can hand
pick the men % be prosecuted ard the
public viii be none the wiser
Before the thing is over the whole
business Will be- so thoroughly dis
credited there will have TO be q public
investigation anyway. ! wonder how
long the people are going 10 put up
with that type o. oaleial in exalted
station"
Solution in Twelve Months
On the housing situation he said:
The complete solution Of the housing
problem within the next twelve months
Is now assured, provided We can pre-
vent the unlawful combinations among
building material manufacturers. con-
tractors and dealers that have been
acatiered from again getting together.
There has been no difficulty In con-
victing them The trouble has been
with the courts that have refused to
punish them when convicted.
III the Legislature will promptly en-
act our trades commission bill that
..na rnaand b.. thn Santa nrA ~. q.