Evening star., 1934-06-01
K|CK-BACK PROBE
BROAD IN SCOPE,
WALSH REVEALS
IA Major Aspects of Situa-
tion Will Be Subject of
Senate Inquiry.
ALL u. S. CONTRACTS
WILL BE SCRUTINIZED
Special Attention to Be Paid to
Wage and Labor Conditions
and Laxity.

The Senate investigation into labor
conditions on public buildings projects
will cover all possible angles of the
so-called "kick-back racket" and
other complaints, it was indicated to-
day in a statement issued by Chair
man Walsh of the Education and
Labor Committee.
The Senator has not fixed a time
for committee meeting to launch
the inquiry, but his statement today
outlines the scope of the probe. 1t
listed IA questions to be gone into
and read, in part as follows:
Il. The obtaining of all contracts
that were entered into by the Govern
ment since the passage of the Davis
Bacon law. (This law requires pay
ment of the prevailing wages in each
community
2. The nature of the projects and
the locations.
Wages to Be Studied.
SO. The clause or clauses in these
contracts which relate to labor condi-
tons and wages.
A. The methods employed and the
extent to which Government officials
responsible for the proper execution
of these contracts have investigated
the violations.
IS. All possible testimony should
be collected from employees relating to
kick-back methods of individual con-
tractors.
"6. What became of the money
passed through the kick-back meth
odS.
II. Was it the intention of Ger
tain contractors in submitting low
bids to use kickback methods and
thereby obtain contracts to the dis
advantage of contractors complying
with the law?
"8. To what extent in bidding have
Federal officials made inquiries into
this practice before issuing contracts?
20. What provision of law exists
or should be enacted preventing con-
tractors, who have been found guilty
of practicing this method or who
are known through satisfactory evi-
dence presented to the contracting
officials as having used this practice,
from being awarded contracts?
Conspiracy Traced.
40. To what extent have labor
leaders conspired with contractors to
give them the benefit of the kick
back assistance and to what extent
have labor leaders sold jobs TO work
men?
IL. How much money is involved
approximate total of kick-back money.
'12. Should there not be restoration
Of the money to individual employees?
"l3. What disciplinary action should
be taken against public officials who
have been negligent or Indifferent?
IA What legislation should be rec
commended for outlining a policy in
connection with the awarding of
contracts in the future?"
In regard to some of these ques-
tions the statement went into further
detail by outlining related inquiries
that should be made under these gen.
eral headings.
Meanwhile, Chairman Wagner of
the National Labor Board continued
his efforts to bring together heads OF
the two international unions involved
in the jurisdictional dispute at the
triplet buildings in the Federal Tri-
angle. Senator Wagner acted at the
request of Harry D. Watts, vice pres
ident of James Stewart g. Co., who
conferred with the Senator yesterday.
The two unions involved arethe Brick
layers, MaSons and Plasters' Interna-
tional Union, whose men are at work,
and the Operative Plasterers and Cement
Finishers' International Association,
who are out on strike. In sympathy
with the latter group, M. J. McDon-
ough, president of the building trades
department of the American Fedora
ton of Labor, has called a general
strike on the building. Some trades
are working there, but others are not.
Appeals TO Walsh.
Watts also has appealed to Senator
Walsh to consider amendments to the
Wagner bill. now before the Senate.
Senator Walsh said the suggestion
would be considered by his committee
and. if the proposal were found to be
within the scope of the legislation,
the committee may" submit an
amendment.
In his telegram to Senator Walsh,
Watts said:
Present complete tie-up of Depart
ment of Labor, Interstate Commerce
and auditorium buildings in Wash
ington is excellent demonstration of
necessity pointed out by President in
approving construction industry code
for some means to avoid or adjust
jurisdictional disputes between trades.
All A. r. of L. Members.
Every mechanic employed on these
contracts is member of American Fed
Grafton of Labor, being paid In ex-
cess of minimum wage, and working
within maximum hours as set up by
Presidents Unemployment agree
ment. The Wagner bill can and should
be amended to care for this at pres
ent uncomfortable jurisdictional sit
uation which Is general throughout
the country"
No progress has been made toward
settlement of the carpenters and
plasterers' strikes for higher hourly
wages and a six-hour day.
In an effort to compose differences
between ice cream manufacturers of
the Garry and Southern Diaries plants
and their engineers, firemen and OIL
ers conferences were held at the
Merchants and Manufacturers Asso-
ciation conference room yesterday
under auspices of the Central Labor
Union, but noa final agreement was
reached. The ice cream teamsters'
wage agreement expired yesterday
and conferences are under way be-
tween officers of the teamsters' union
and the manufacturers regarding a
new one,