The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1927-02-04
REACTION ADMITS
ITS MAN GRATED
PAINTERS MONEY
But Official Accountant
Shields $4,000 Thief

iWenby~SlA thousand dollars was
stolen in n period of 10 months by
Charles Koenig, former secretary OF
the New York District Council Of
Painters.
This was the report Of Certified
Accountant Doyle, who had been en-
gagged by George H. Hedrick, presi4
dent Of the Brotherhood of Painters,
TO examine the official records Of the
district council, and to investigate
the charges Of Painters Local COS,
that huge sums Of money, belonging
to the treasury Of the council, had
been stolen by Koenig, the financial
secretary, and Philip Zausner, the
day secretary of the council.
Shows Big Graft.
Doyle's report states that he in
cestigated the books Of the council,
and that in the 10 months from Jan
uary, 1925, to September, 1896, 1887
new members were admitted with
OH initiation payment of S75 per
member. Of this number, 81 names
had been entered as honorable mem
hers, at the rate Of So per head.
This Noted Koenig the neat sum Of
$3.50. Only 275 men were recorded
as having paid the full amount Of
$75, the bulk of the candidates.
though having paid the full amount,
were entered as having paid much
less, and, according to the certified
account, Melted the grafters nice
income Of $4,000.
Headquarters Admits II.
This total falls far below the
amounts which are missing, accord
ing to the public accountants Of Falk,
Dvorkin & Co., who had been en-
gagged by Local pos, but nevertheless,
coming from a man who had been
appointed by the Painters Headquar-
ters Of Lafayette, Indiana, the admis-
sion of the actual graft is stagger-
ing.
The report was read at the reg
ular delegate meeting Of the district
council. No sooner had he finished
reading his findings, than Doyle i'm
mediately switched his position. He
praised the neatness i'll which the
looks had been kept, and offered the
suggestion, that the council accept
the offer Of Koenig, that it should
lear one half of the money that was
stolen by him, so that Koenig would
return to the council $4,000, and let
the case rest. Doyle, assuming the
role of a dictator, stated that this
must be accepted, that the whole af-
fair must be settled within the coun-
Gil and must not be permitted to go
to the courts, and that the matter
should not even be submitted before
the various local unions.
Won't Cover Up.
In this he was, however, severely
rebuked by the progressive dele
gates, and was told, that Koenig
and his co-partners had stolen the
funds belonging to the membership
at large, and that his report would
therefore have TO be submitted to
each local. The delegates were SER
iously insulted by the suggestion,
that, having stolen $4,000 from
their organization, Koenig would
now generously agree to repay
half of that amount, and then go
away, free man. A demand was
made that he be brought to court,
ike the criminal that he is.
Doyle Shields CRATER.
At this demand, Doyle, who is
former business agent for the
Brotherhood at Buffalo, and also a
notorious floorleader at the Planners
conventions, became furious, and
stated that Koenig would never &C
10 Jail, that the bonding company
had already demanded his extrica-
ton and arrest. but that he, Doyle,
would shield him.
A motion was made then that
Doyle's report be referred to the
various local unions so that the
membership of the whole district
should decide whether such an offer
is satisfactory, and whether the
grafters shall go free. The motion
carried, and within a week, each To-
cal must vote on this report, and
must turn in their vote to the dis
trict council not later than Feb. 10,
when the council will hold its next
meeting.
Was Communist Halter.
1t will be recalled that during the
last three months in 1926 these
charges Of graft, made by Local 300,
were referred to by headquarters as
lot Of dirt thrown out by the Com
munists in order TO win the election
of their candidate TO the council.
The man most implicated in fraud,
Phillip Zausner, was again running
for the office Of day-secretary. He
had been the real boss for over eight
years, and had built powerful ma
chine around himself.
However, his game Of graft had
been played so openly, that nobody
took him seriously in his declaration
Of innocence. Altho he polled big