The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1927-05-09
Fund Is
Quilted by Right Wing
(Continned on Paqe NO

up by payments of per cent from
the wages Of the workers, and from
the cloak industry This was kept
the employers 2 per cent Of the
weekly payroll. In accordance with
the agreement, board Of trustees
was created TO see that those work
ers who were out Of work for . cer-
tain time and entitled to unemploy-
ment insurance should get 1t. The
board consisted Of one representa-
tive each from the union, the Indus
trial Council, the jobbers, and the
contractors, with Mr.. Arthur d.
Wolfe, viee-president Of the Chat
ham & Phoenix Bank, as impartial
chairman.
Bosses Quit Fund.
"The payments from this insur-
ance fund were made twice year
during the slow seasons-about June
and February. Three months ago,
the Industrial Council objected to
further contributions by their mem
bers on the ground that Morris Sig
man, president Of the international
Ladies' Garment Workers Union, did
not enforce these payments upon the
other employers outside the council
A meeting was called where the In
ternational consented to the suspen-
sion of further payments to this fund
until 1928.
"Since then, rumors have been cir
culating that instead of paying out
to the workers the money due them
this June, the fund had turned the
money over to the International for
use in their fight against the Joint
Board. At first refused to believe
such stories; to believe that respon-
sible people who had been placed in
charge of a fund which was to be
used for a definite purpose should 50
abuse their trust. Finally ] went
over last Wednesday to see Mr..
Wolfe, the impartial chairman. He
said he knew nothing about the mat
ter because he had resigned.
81 told Mr.. Wolfe that in my opin-
ion he should have made his resig-
nation public thru the press so that
all the cloakmakers would have
known Of it. I felt sure if he had
been in charge Of the fund no money
would have been used for any other
purpose than that specified in the
agreement under which the fund
was established, and in the bylaws
made by the trustees.
"While Mr.. Wolfe did not attri-
butte his resignation to a difference
Of opinion about the use of the fund,
he did state to me that he had OBJ
tanned from each member of the
board a written statement that he
was freed from any responsibility or
obligation as far as the fund is con-
cerped.
All Trustees Resign.
CATER seeing Mr.. Wolfe, went
to one of the trustees from the In
dustrial Council, Louis Lustig, Of
49s 7th avenue, and he told me that
at a meeting Of the Board Of Trus-
tees, each one in turn had resigned
until Sigman was left alone and he
was authorized to appoint another
group of trustees and the fund was
handed over to him. Mr.. Lustig in
timated that the employers were in
terested in helping Sigman in his
fight and they turned the money over
for that purpose. / believe the trus-
tees are criminally responsible in
this matter, especially since the Gov
ernor's Commission which created
this fund specified that representa-
tive of the public must be on the
board
"The fund has turned over to Sig
man 100000 in cash, and 100000
outstanding, all of which belongs TO
the cloakmalSers. They are going to
hold the trustees responsible for this
money and are considering now what
legal action is possible to regain this
money. Last year at this time, more
than 100000 was paid out to them.
This year, when they need it more
than ever, they are not going to get
a cent.