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United States. Congress. Senate. Select Committee.

Investigation of improper activities in the labor or management field. Hearings before the Select Committee on Improper Activities in the Labor or Management Field (Volume pt. 54) online

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I think they ought to understand that they are committing a breach
of the law when they make such payment as he is, that he is coni-
mitting a breach of the law v/hen he receives it. I don't think it is
adequate to say that "They had us in a vulnerable position and if we
didn't pay we were going to be struck."

If we accept that as an adequate explanation, there will be payoffs
made in every case such as this whenever a union leader wants. The
purpose of that law is to prohibit this kind of payoffs and prohibit
union leaders from requesting them.

I would like to hear from you a more precise description of the
kind of work which this gentleman did for the paper, and exactly
the things you paid him for.

Mr. Connolly. I think it might be well for Mr. Poch to bring out
one matter that has not been brought out, and that was the mainte-
nance of payroll records, including Mr. Cozza's. I think he is the
sworn witness, so I will let him tell that.

Would you explain, Mr. Poch, how the payroll records were kept?

Mr. Poch. Well, the payroll records were kept down in the delivery
department. Time was reported on the payroll, and it was prepared
:and submitted to the payroll accounting department. The payroll
was prepared by a member of local 211.

Senator Kennedy. What is the significance of that?

Mr. Pock. Well, the time and individual days shown on the indi-
vidual payroll sheets were reported entirely from that department,
from the Teamsters division, and when it came up it was accepted as
being a bona fide payroll throughout.

Senator Kennedy. We are not being informed now, are we, that
you are under the impression, and when I say "you" I am talking
about the people in charge there, that this payment was completely
because of the work tliat he did for the company, unrelated to his posi-
tion as union leader ? Is that what you are now saying ?

Mr. Poch. No.



18804 IMPROPER ACTIVITIES IN THE LABOR FIELD

Senator Kennedy. That you were unaware of the fact that he
wasn't doing any work ?

Mr. PocH. I was aware of the situation as I explamed it earlier,
Senator.

Senator Kennedy. I understand the problem that you have in this
case, but I just think it ought to be made clear to employers that they
are committing a breach of the law. In section 302(a) :

It shall be unlawful for any employer to pay or deliver, or agree to pay or
deliver, any money or other thing of value to any representative of any of Ms
employees who are employed in an industry affecting commerce.

That is in regard to not his normal wages, but any extraordinary
payment. So I would think it is really not sufficient justification to
state that you were in a vulnerable position and had no alternative,
that you would have been strack. That is really taken into account in
the law. The law is very plain on this subject.

I would hope that employers who find themselves in this position
would make it clear to the person attempting to secure payment that
they are asking them to break the law, and however much they would
like to do so, they are unable to do so.

It seems to me, then, you might have an effective check on these
kind of payoffs. In addition, Senator McClellan in his earlier state-
ment talked about the legislation. The language that passed the Sen-
ate, the bill that passed the Senate, tightens this section up even more.
But I don't think there is any doubt even as it is that this act is
covered by section 302 (a) of the'Taft-Hartley.

I hope other employers realize that this is strictly prohibited, and
they are not able to make these payments even if they desire to do so.
It is certainly not in the public interest for them to make them.

The Chairman. Is there anything further ?

Mr. Kennedy. Mr. Salinger, I think the records indicate, do they
not, that Mr. Cozza traveled extensively on union business during
this period ?

Mi\ Salinger. They do.

Mr. I^NNEDY. He was, for instance, here in Washington, D.C.,
negotiating some contracts ?

Mr. Salinger. He was in Washington, D.C., organizing the circu-
lation employees of the Washington Star, in Baltimore negotiating
contracts for the Baltimore newspapers. In 1957 we showed he worked
shifts in excess of one shift per day for every day of the year. In that
year he was in Los Angeles, Chicago, Miami, Washington. He trav-
eled extensively that year, but did not miss a shift day as far as that
is concerned.

The ChxMrman. Even all the time he was in these other cities in
the pursuit of union activities and his duties as a union official, or as
a representative of the union, he was making at least one shift a day
on this newspaper ?

Mr. Salinger. That is right, sir.

The Chairman. And getting paid for it ?

Mr. Salinger. That is right, sir.

The Chairman. It presents a situation. I realize the desire of in-
dustry management to have labor peace. Sometimes these things are
presented to them and they have to make a decision on it, I guess, as
to whether they will enter into some arrangement like this, or if they



IMPROPER ACTIVITIES IN THE LABOR FIELD 1S805

will oppose it. But I cannot help but feel, and I think this is a posi-
tion that cannot be challenged, it is not just the duty of the Congress
and this committee and others to oppose and to do what we can to
eradicate from our society and from our economy these evils, but you
business people have a duty and a responsibility to show some back-
bone and resistance.

It is going to be impossible for laws or anything else to correct these
evils if we find that business people just are perfectly willing or with-
out showing any resistance and resentment to make such deals and
such arrangements. These evil practices, even though we pass laws,
will not be entirely stopped.

I think you owe it to your country and to management, business in-
terests, and to the public to show more resistance than apparently
your paper has shown. I am sure if some of us in Congress showed
that same kind of wealmess in yielding to temptation, we would be
liable to see an editorial in your paper condemning us for it.

I think you ought to show a little more resistance and cooperative
ejffort to bring an end to these conditions rather than to, in some way,
even though under coercion, acquiesce in them. I hope from this
testimony that others throughout the country will realize that there
in an obligation and duty resting upon them, that when these situa-
tions are presented to them to resist them rather than to compromise
with it.

Thank you very much.

I want to say 1 think your testimony has been very helpful. I com-
mend you, sir, for coming in here and saying, "Well, here is the sit-
uation. Here is what we were fronted with and here is what we
did."

But again, I say that there is a duty resting upon all of us to fight
these conditions and to eliminate them and eradicate them from our
society and economy.
Thank you very much.

Mr. Kennedy. Could I say that Mr. Poch has been extremely help-
ful, and the paper has been helpful, since the beginning of this inves-
tigation. They turned over and made available all their records
to us when we went in there and answered all questions frankly and
honestly, which is more than we have received from other employers
in other sections of the country, as well as union officials.

Also, Mr. Connolly, the attorney for the newspaper, has also been
extremely helpful.

The Chairman. We wish to thank you for it. Counsel had not said
that to me, but I gathered you had been cooperative, and I don't know
but what maybe you welcomed the opportunity to show this coopera-
tion. We appreciate it very much,

I hope it will inspire others to show their willingness to cooperate.
Let's all work together to serve our country and bring these unhappy
and unfortunate incidents and practices to an end.
Thank you.
Mr. PocH. Thank you.

Mr. Connolly. Senator, if I might say, we take some pride in the
fact that these things have been corrected.
The Chairman. Thank you very much.
Call the next witness.



18806 IMPROPER ACTIVITIES IN THE LABOR FIELD

Mr. Kennedy. Mr. Cozza.

Mr. Cozza evidently is on his way, Mr. Chairman.

The Chairman. The committee will stand in recess for 5 minutes.

(A short recess was taken, at which time the following members of
the select committee were present : Senators McClellan and Kennedy.)

The Chairman. The committee will come to order.

(Members of the select committee present after the recess were
Senators McClellan and Kennedy.)

The Chairman. Call the next witness.

Mr. Kennedy. Is Mr. Cozza here yet ?

Mr. Chairman, he was asked to be here at 9 o'clock, and was sub-
penaed to be here.

The CHAiiiiiAN. All right. Does anyone here know anything about
Mr. Cozza ?

Let the record show that he is not present, and it is now 11 :20.

Proceed.

Mr. Kennedy. Could I have a minute then, Mr. Chairman ?

The Chairsian. All right, we will be at ease a moment.

Mr. Kennedy. Here is Mr. Cozza now, Mr. Chairman.

The Chairman. Will you be sworn ?

You do solemnly swear that the evidence you shall give before this
Senate select committee shall be the truth, the whole truth, and noth-
ing but the truth, so help you God ?

Mr. CozzA. I do.

TESTIMONY OF THEODORE E. COZZA, ACCOMPANIED BY COUNSEL,
H. CLIFFOED ALLDEE

The Chairman. State your name, your place of residence, and your
business or occupation.

Mr. CozzA. Theodore R. Cozza, 521 Edgeridge Road, Pittsburgh, Pa.

The Chairman. What is your occupation, Mi\ Cozza ?

Mr. CozzA. I respectfully decline to answer because I honestly
believe mj- answer might tend to incriminate me.

The Chairman. I will ask you another question. Were you sub-
penaed to be present this morning ?

Mr. Cozza. Yes, sir.

The Chairman. What time were you supposed to be present under
the subpena?

Mr. Allder. Might I answer that. Senator? I think I was told the
time, and not him. I was told to be at room 101 at 9 :30 in the morn-
ing. Late yesterday I talked to Mr. Kennedy's office and I told him I
would check in this morning with the people, and they would appear in
front of the committee whenever they were wanted.

I had to appear in court myself at 10 o'clock this morning. I was
excused from there at 10:20, and I called Mr. Kennedy's office and I
told him everybody was here and I told Mrs. Davis of his staff. So if
he is late it is my fault and no one else's.

The Chairman. All right.

I may say this attorney has always cooperated with the committee.
He has been very fine. It just became obvious and apparent here to
everyone that we were waiting for a witness. If the committee staff
was working through you, and it worked out this way, you had to be in



IMPROPER ACTIVITIES IN THE LABOR FIELD 18807

court, tlie Chair will say for the record that we will not hold that
against your client.

Mr. Allder. Thank you, sir.

The Chairman. We will proceed, however, with the interrogation of
him, as a witness.

All right.

Mr. Kennedy. Mr. Cozza, you are president of local 211, Interna-
tional Brotherhood of Teamsters ; isn't that correct ?

Mr. Cozza. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

Mr. Kennedy. And you have held that position since 1950 ; is that
correct ?

Mr. Cozza. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

Mr. Kennedy. Mr. Cozza, we have had some testimony here in con-
nection with your relationship with the Pittsburgh Sun-Telegraph.
Would you tell us about that j^ourself ?

Mr. Cozza. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

Mr. ICennedy. According to the information presented to the com-
mittee, the Sun-Telegraph had to pay you approximately $75,000 in
salai-y, and then another $25,000 for the rental of your automobile or
your truck in order to maintain labor peace. Is that correct ?

Mr. Cozza. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

Mr. Kennedy. They made these payments in fear that they would
have labor difficulties ?

Mr. Cozza. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

The Chairman. If that testimony is true, you are being given an
opportunity to deny it with sworn testimony before the committee.

Do you want to deny it or do you want to simply take the fifth
amendment.

Mr. Cozza. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

The Chairjian. Well, you can say you want to take the fifth, and
you have that pnvilege; that wouldn't incriminate you, and you are
incriminating yourself by every statement you make when you' take it.

You propose just to take the fifth amendment on questions related
or regarding the testimony that has been adduced here before the com-
mittee with respect to your relations with this newspaper; is that
correct ?

Mr. Cozza. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

The Chairman. Let me ask you another quesstion : Don't you think
if you did it, if the testimony is true, that you are a parasite upon the
economy and society of this country ?

Mr. Cozza. I respectfully decline to answer because I lionestly
believe my answer might tend to incriminate me.

The Chairman. I think if you gave an honest answer to it, it would.

Proceed, Mr. Kennedy.

Mr. Kennedy. Now, Mr. Chairman, we had some testimony back
in August of 1958 in connection with Mr. Cozza and his operations



18808 IMPROPER ACTIVITIES IN THE LABOR FIELD

or relationship with Exhibitors Service, and also his relationships with
Mr. Barney Baker, who came into Pittsburgh and was able to settle
a labor difficulty that Exhibitors Service had with Mr. Cozza's union,
after Mr. Callahan of Exhibitors Service made some payments and
some loans to Barney Baker.

So the information regarding Mr. Cozza was well known at that
period of time, and Mr. Hoffa was here present during the testimony.

Could you tell the committee if Mr. Hoffa has taken any steps to
remove you from your opposition as president of local No. 211 since our
hearings back in August of 1958 ?

Mr. CozzA. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

The Chairman. Are you still president of that local ?

Mr. CozzA. I respectfully decline to answer because I honestly
believe my answer might tencl to incriminate me.

The Chairman. Are you ashamed of being an officer in a labor union
organization ?

Mr. CozzA. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

The Chairman. If you said "Yes," it might tend to incriminate
you, and if you say "No," you are not asliamed. I don't see how that
would incriminate you, do you ?

Mr. CozzA. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

The Chairman. All right.

Mr. KjiNNEDY. May I call Mr. Salinger, to put in the record what
moneys Mr. Cozza has received from the local union ?

TESTIMONY OF PIEERE E. G. SAUNGEIU-Resumed

Mr. Salinger. In the period January 1, 1950, to the middle of
1959, or May of 1959, when we examined Mr. Cozza's books, the total
of $68,056.40 was expended to Mr. Cozza in salary and expenses.

The Chairman. That is from what ?

Mr. Salinger. January 1, 1950, to May of 1959.

The Chairman. That is the same period that is covered by the
$75,925.05 that he received from the Pittsburgh Sun-Telegraph?

Mr. Salinger. That is correct, sir.

The Chairman. So he did actually receive more from the Pittsburgh
Sun-Telegraph than he received from his union.

Mr. Salinger. That is correct, sir.

The Chairman. And these figures cover the exact same period of
time?

Mr. Salinger. They do ; yes.

Mr. Kennedy. Now included in that, for instance, is a trip to Eu-
rope ; is that right ?

Mr. Salinger. That is correct. Mr. Cozza was given $3,000 by the
local to make a trip to Europe in 1955.

The Chairman. During that period while he was in Europe, was
he also drawing his money from the newspaper ?

Mr. Salinger. That is the only period, Senator, when they took
him off the payroll; they took him off for 2 weeks when he was in
Europe.



IMPROPER ACTIVITIES IN THE LABOR FIELD 18809

The Chairman. He was taken off the payroll while he was on this
tour of Europe ?

Mr. Salinger. Actually, he was only in Europe 5 days, and some-
thing came up that seemed to him more imoprtant than being in Eu-
rope and he returned very rapidly to Pittsburgh.

Mr. Kennedy. This is a local of some 600 members?

Mr. Salinger. That is correct.

Mr. Kennedy. And they took $3,000 out of the treasury and paid
for his trip to Europe ?

Mr. Salinger. That is correct.

Mr. Kennedy. The union ; is that correct ?

Mr. Salinger. That is correct.

Mr. Kennedy. Did he pay taxes on that money ?

Mr. Salinger. No ; Mr. Cozza sought the advice of attorneys who
told him that there was no need for him to pay taxes on this money,
since it had been a gift. The Internal Revenue Department took a
different view of the situation and ordered that he pay taxes on it, at
which point the local paid the taxes.

Mr. Kennedy. Do you know if he was organizing newspapers in
Europe when he was over there?

Mr. Salinger. I don't know that, sir.

Mr. I^nnedy. Has he also received a Cadillac from the local ?

Mr. Salinger. In 1959, this year, he received a new Cadillac from
the local.

Mr. Kennedy. How much did that cost the local union ?

Mr. Salinger. It w^as slightly in excess of $7,000. I don't know
of the exact figures.

Mr. Kennedy. That was paid out of union funds ?

Mr. Salinger. It was.

TESTIMONY OF THEODORE E. COZZA, ACCOMPANIED BY COUNSEL,
H. CLIFEOED ALLDER— Resumed

Mr. Kennedy. Would jon tell us about that, Mr. Cozza ?

Mr. Cozza. I respectfully decline to answer because I honestly be-
lieve my answer might tend to incriminate me.

The Chairman. Did you do any legitimate work or perform any
legitimate services for the Pittsburgh Sun-Telegram during that
period of time from January 1, 1950, to May 15, 1959?

Mr. Cozza. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

The Chairman. Did they pay you this money, this $75,000 plus, in
order to keep you from stirring up or agitating or causing labor trou-
ble in their organization ?

Mr. Cozza. I respectfully decline to answer because I honestly be-
lieve my answer might tend to incriminate me.

The Chairman. If it was not paid to you for that purpose, are you
willing to state now for what purpose it was paid to you ?

Mr. Cozza. I respectfully decline to answer because I honestly be-
lieve my answer might tend to incriminate me.

The Chairman. Did you perform any actual manual labor or drive
any trucks or perform any comparable service like that as other
laborers did who were on the payroll for the paper ?



18810 IMPROPER ACTIVITIES IN THE LABOR FIELD

Mr. CozzA. I respectfully decline to answer because I honestly be-
lieve my answer might tend to incriminate me.

The Chairman. Is there something dishonest about it, that you
don't want to be known because it might tend to incriminate you if it
were known ; is that the reason you take your position ?

Mr. CozzA. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

The Chairman. In other words, if you answered that honestlyj you
might have to say, "Yes," and a yes answer might tend to incrimmate
you ; is that your position ?

Mr. CozzA. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

The Chairman. Proceed.

Senator Kennedy. As I understand it, reference was made to you
in the testimony with regard to Mr. Baker. Do you know Mr. Hoffa
was inf oraied about that ?

Mr. CozzA. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

Senator Kennedy. You recall that a payment was made to Mr.
Baker by an employer in order to come to Pittsburgh in order to
settle a labor dispute in which you were involved ?

Mr. CozzA. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

Senator Kjennedy. I notice you made a statement recently on
November 3, 1958, at a banquet where Mr. Hoffa was, when you called
Mr. Hoffa a leader among leaders, a giant among giants, who has
emerged straight, pure, and clean.

Mr. Cozza, is that your judgment ?

Mr. CozzA. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

Senator Kennedy. I would say to you also, Mr. Cozza, that I would
call attention to section 302(b) of the Taft-Hartley Act, which makes
it illegal —

It shall be unlawful for any representative of any employees who are em-
ployed in an industry affecting commerce to receive or accept, or to agree to
receive or accept, from the employer of such employees any money or other thing
of value.

The penalty :

Any person who willfully violates any of the provisions of this section shall, upon
conviction thereof, be guilty of a misdemeanor and be subject to a fine of not
more than $10,000 or to imprisonment for not more than one year, or both.

I would ask you, in order that this record will be clear, what services
did you perform for this newspaper in return for the payments they
made to you ?

Mr. CozzA. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

Mr. Kennedy. Mr. Chairman, can ws have Mr. Cozza identify
the picture? It must be remembered, not only did we have the in-
formation regarding Barney Baker and his relationship with this
employer and with Mr. Cozza, but Mr. Hoffa was present. We also
put into the record that Mr. Cozza had an extensive criminal record.

As has been shown today, he has had an arrest record of eight
arrests and some four convictions. It was after that that Mr. Hoffai



IMPROPER ACTIVITIES IN THE LABOR FIELD 18811

went to Pittsburgh and went to a dinner on behalf of Mr. Cozza, with
the excerpt of Mr. Cozza's speech which Senator Kennedy read.

The Chairman. Were you at that dinner ?

Mr. CozzA. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

The Chairman. Do you recall whether you were there or not, or
are you just saying even if you were, you think it might incriminate
you?

Mr. CozzA. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

The Chairman. So there will be no doubt about your recollection,
any misunderstanding about whether you do recall or not, if there
is, I would like to pi^esent you here with a picture, a photograph,
which might tend to refresh your memory.

I will ask you to examine it and state if you identify it.

(The photograph was handed to the witness.)

(The witness conferred with his counsel.)

The Chairman. Do you recognize the photograph, Mr. Cozza?

Mr. A1.LDER. Senator, would you ask him first if he has looked at it ?

The Chairman. I observed him looking at it.

I believe you looked at it, didn't you, Mr. Cozza ?

Mr. CozzA. I have looked at it.

The Chairman. Do you se^ anything about it that is familiar ?

Mr. CozzA. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

The Chairman. Is it not a picture of you and Mr. Hoffa and Mr.
Getty?

Mr. Cozza. I respectfully decline to answer because I honestly
believe my answer might tend to incriminate me.

The Chairman. Was it not taken on the occasion of a meeting given
in your honor, a dinner, at which Mr. Hoffa was present ?

Mr. Cozza. I respectfully decline to answer because I honestly be-
lieve my answer might tend to incriminate me.

The Chairman. Wliat went on there on that occasion that could
possibly incriminate a decent, law-abiding citizen of this country ?

Mr. CozzA. I respectfully decline to answer because I honestly be-
lieve my answer might tend to incriminate me.

The Chairman. You wouldn't consider it a likely incrimination at
all to have your picture made with Mr. Hoffa, the international presi-
dent of your union, would you ?

Mr. Cozza. I respectfully decline to answer because I honestly be-
lieve my answer might tend to incriminate me.

The Chairman. Don't you realize that some people might get the
impression that when you testify that you had your picture made
with Mr. Hoffa at a dinner given in your honor, when you say that if



Online LibraryUnited States. Congress. Senate. Select CommitteeInvestigation of improper activities in the labor or management field. Hearings before the Select Committee on Improper Activities in the Labor or Management Field (Volume pt. 54) → online text (page 3 of 38)