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. 17) online

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INVESTIGATION OF IMPROPER ACTIVITIES IN THE
LABOR OR MANAGEMENT FIELD



HEARINGS

BEFOBE THE

SELECT COMMITTEE

ON IMPROPER ACTIVITIES IN THE

LABOR OR MANAGEMENT EIELD

EIGHTY-FIFTH CONGRESS

FIRST SESSION
PURSUANT TO SENATE RESOLUTION 74, 85TH CONGRESS



APRIL 29, NOVEMBER 12, 13, 14, 15, AND 16. 1957



PART 17



Printed for the use of the Select Committee on Improper Activities in the
Labor or Management Field




l^ C-»^



,, - . ■ J



INVESTIGATION OF IMPROPER ACTIVITIES IN THE
LABOR OR MANAGEMENT FIELD



HEARINGS

BEFORE THE

SELECT COMMITTEE

ON IMPROPER ACTIVITIES IN THE

LABOR OR MANAGEMENT FIELD

EIGHTY-FIFTH CONGRESS

FIRST SESSION
PURSUANT TO SENATE RESOLUTION 74, 85TH CONGRESS



APRIL 29, NOVEMBER 12, 13, 14, 15, AND 16, 1957



PART 17



Printed for the use of the Select Committee on Improper Activities in the
Labor or Management Eield




PUB



UNITED STATES
GOVERNMENT PRINTING OFFICE
89330 WASHINGTON : 1957



n



/



/






Boston Public Library
Superinterticnt of Documents

JAN 2 9 1958



SELECT COMMITTEE ON IMPROPER ACTIVITIES IN THE LABOR OR |

MANAGEMENT FIELD j

JOHN L. McCLELLAN, Arkansas, Chairman \

IRVING M. IVES, New York, Vice Oniinnan .'

JOHN F. KENNEDY, Massachusetts KARL E, MUNDT, South Dakota j

SAM J. ERVIN, Jr., North Carolina BARRY GOLDWATER, Arizona i

PAT McNAMARA, Michigan CARL T. CURTIS, Nebraska '

Robert F. Kennedy, Chief Counsel .j

Ruth Young Watt, Chief Clerk '

n !



CONTENTS



Private Carting Industry (New York and Los Angeles, Calif.)

Page

Appendix 7025

Testimonv of —

Adelstein, Bernard 6659, 6965, 7004, 7006, 7017

Amator, Joseph 6739

Conley, Stephen A 7005

Costigan, Matthew 6847

Daria, Anne 6905, 6907, 6915

DeCabia, Carmen 6789, 6796

Devine, Charles 6837

Donno, Dante 6885

Button, Alfred C 6881

Doyle, Everett 6688, 6694, 6695, 6715, 6717

Frame, Maurice 7001

Goldfarb, Harrv B 7014

Green, Robert W 6690, 6703, 6717, 6725, 6753, 6923, 6937

Hamilton, Capt. James E 6672

Kellv, James P 6691,

6694, 6706, 6707, 6708, 6712, 6758, 6804, 6829, 6852, 6860, 6862,
6863, 6868, 6907, 6908, 6938, 6991.

Kellv, Patricia 6843

Lent, Thomas 6772, 6775

Mancuso, Gennaro 6941

Modica, C. Don 6867, 6869

Montesano, Anthony 6721, 6725, 6745, 6754, 6759, 6765, 6773

Montesano, John 6721, 6725, 6745, 6754, 6759, 6765, 6773

Morvitz, Milton 7004, 7009

Nolan, Thomas F 6853, 6892

Palminteri, Albert R 6891

Parise, Peter J 6797

Recchia, Angelo 6777, 6794, 6796

Rombauts, William 6813

Rosetti, James 6902

San Pietro, Joseph A 6963

Spiak, Stephen 6704, 6706, 6707, 6708, 6709

Squillante, Nunzio 6854, 6861, 6863

Squillante, Vincent J 6916, 6928, 6940

Strelzin, H-^rvey L : 6823, 6831

Van Ness, Sherman 6766

Villano, Carmine 6944, 6957

Wells, William . _ . 6710

Wolpert, Melville B 7012

EXHIBITS

Introduced Appears
on page on page

1. Check No. 8954, dated January 28, 1955, payable to

William Crowder in the amount of $25, drawn on Pack-
age & General Utility Drivers Local 396 6677 7025

2. Bylaws of the State Rubbish Collectors Association 6678 (*)

3. Minutes of board meeting of the State Rubbish Association

December 6, 1954 6678 (*)

4A. Letter of transmittal dated May 14, 1953, to Frank Matula
and signed by State Rubbish Collectors Association, per

Peter A. Tolmasov 6680 (*)

Footnotes on p. V.

Ill



IV CONTENTS

Introduced Appears
on page on page
4B. List of names sent by John N. Andikian of State Rubbish
to Mr. Matula, showing members in good standing and

ones that were independent 6680 (*)

4C. Letter dated October 14, 1953, to Frank Matula from State

Rubbish Collectors Association, by John Andikian 6680 (*)

5. Check No. 422 dated September 14, 1955, payable to pri-

vate Sanitation Union Local 813 in the amount of $1,200,
drawn on Lents Garbage and Ash Removal bv Thomas
Lent I 6764 7026

6. Letter dated May 23, 1955, to Uniondale Carting signed by

Jerry Mancuso, Inter-County Cartmen's Association,

Inc 6767 7027

7. Letter dated May 25, 1955, to Uniondale Garbage & Dis-

posal Co., from Bernard Adelstein, secretary-treasurer of

Private Sanitation Union Local 813 6767 7028

8. Check No. 1701 dated June 20, 1955, payable to local 813

in the amount of $4,200 signed by Sherman Van Ness

and George McCahell 6769 7029

9. Letter dated December 17, 1956, addressed to Insurance

Trust Fund, attention Mr. B. Adelstein and signed by

Sherman Van Ness, Uniondale Garbage & Disposal Co__ 6769 7030

10. Letter "To Whom It May Concern" dated January 21,

1955, and signed by Peter Parise, Nassau Sanitation Co.. 6799 7031

11. Letter dated February 14, 1956, addressed to Nassau Sani-

tation Co., and signed by Bernard Adelstein, secretary-
treasurer. Private Sanitation Union Local 813 6812 7032

12. Latter dated March 12, 1956, addressed to Nassau Sanita-

tion Co., signed by Julius J. Manson, district director.

New York State Board of Mediation 6812 7033

13. List of garbage-collecting companies given to Mr. Devine

of M. H. Lamston Variety Store by Mr. Marks, secre-
tary-treasurer of M. H. Lamston that would be satis-
factory to the union 6840 7034

14. Personal card of Thomas F. Nolan, business agent. Union

Local 813, I. B. of T 6844 7035

15. Bill dated July 31, 1955, to Arnold Constable from Estate

Carting Co 6846 7036

16. Picture of Nunzio Squillante 6849 (*)

17. Letter dated November 13, 1957, to Chief Counsel Robert

F. Kennedy, from John P. Constandy, assistant district
attorney of New York confirming that General Sanita-
tion was not on the list as being organized 6853 (*)

18. Letter dated Novsmber 12, 1957, to Hon. John L. McClellan

from Patrick Beary, attorney for witness, Nunzio Squil-
lante, together with a statement 6855 (*)

19. Check No. 187, dated April 5, 1955, payable to cash drawn

on Westbury Paper Stock Co. and signed by Enrico
Fazzini and Emedio Fazzini in the amount of $500
"paid for Sunrise market, one note" and endorsed by
Nunzio Squillante 6860 7037

20. Check No. 198, dated May 3, 1955, payable to cash drawn

on Westbury Paper Stock Co. in the amount of $500

and endorsed by Nunzio Squillante 6862 7038

21. Check No. 262, dated August 3, 1955, payable to General

Sanitation, in the amount of $305, drawn on Westbury
Paper Stock Co. and endorsed by N. Squillante, "Sun
Rise store account" 6863 7039

22. Check No. 214, dated June 7, 1955, payable to cash in the

amount of $500, drawn on Westbury Paper Stock Co.,
endorsed by Santa Fazzini, "Squillante for Sun Rise
Store"__... 6864 7040

23. Check No. 280, dated September 12, 1955, payable to cash

drawn on Westbury Paper Stock Co., in the amount of
$1,000 and endorsed by Emedin Fazzini, "Cash for
Squillante, Sun Rise Stores" 6865 7041

Footnotes on p. v.



CONTENTS T

Introduced Appears
on page on page

24. Minutes of Greater New York Cartmen's Association, Inc.,

dated July 8, 1953, held in Yorkville Casino 6868 (*)

25. "The Hired Broom," dated October 1, 1956, newspaper

published by Greater New York Cartmen's Association,

Inc., New York 6870 (*)

26. Minutes of meeting of Greater New York Cartmen's As-

sociation, Inc., held June 7, 1956, at Vasa Temple,

Bronx, N. Y 6910 (*)

27. Check No. 9290, dated June 14, 1956, payable to Vincent

J. Squillante, in the amount of $14,215.99, drawn on

Royal State Bank of New York 6911 7042

28. Check dated June 14, 1956, payable to Royal State Bank of

New York, in the amount of $14,215.99, "Cartmen's

defense fund" 6911 7043

29. Check dated June 15, 1956, payable to Royal State Bank

of New York, in the amount of $1,433.75, "Cartmen's

defense fund" 6912 7044

30. Check No. 9305, dated June 15, 1945, payable to H.

Jordan Lee, in the amount of $1,433.75, drawn on Royal

State Bank of New York 6912 7045

31. Check dated June 15, 1956, payable to Royal State Bank of

New York, in the amount of $1,564.20, "Cartmen's

defense fund" 6912 7046

32. Check dated June 15, 1956, payable to H. Jordan Lee, in

the amount of $1,564.20, drawn on Royal State Bank of

New York 6912 7047

33. Letter dated October 31, 1956, to Cartmen's Defense Fund

and signed by Vincent J. Squillante 6914 (**)

34. Memorandum to Vincent J. Squillante, dated July 25,

1956, from Cartmen's Defense Fund 6914 (*)

35. Check dated June 9, 1956, payable to Lillian Carfano in the

amount of $12,000 drawn on Manufacturers Trust Co_- 6926 7048

36. Letter dated September 21, 1956, addressed to Carter's

Land Fill, Inc., from Vincent J. Squillante 6933 (**^

37. Letter dated September 21, 1956, addressed to Carter's

Land Fill, Inc., and signed by Vincent J. Squillante 6934 (*)

38. List of names and addresses of prisoner's criminal record

from the Police Department of New York 6938 (*)

39. Analysis of cash disbursements from October 1951 through

March 1957 of local 813 7007 (*)

40. Worksheets drawn up by Melville Wolpert at the meeting

with Mr. Squillante, listing certain assets of the General
Sanitation Corp., and certain principals who were in-
volved 7013 (*)

41 A. Check dated February 1956, payable to Melville Wolpert

in the amount of $20 and signed bv Harrv B. Goldfarb, 7017 7049
41 B. Check dated March 14, 1956, payable to Melville Wolpert

in the amount of $20 and signed by Harrv B. Goldfarb_ 7017 7050

41C. Check dated May 1, 1956, payable to Melville Wolpert in

the amount of $20 and signed by Harry B. GoIdfarb.._ 7017 7051

41 D. Check No. 105 dated July 25, 1956, payable to Melville
Wolpert in the amount of $40 and signed by Harry B.

Goldfarb 7017 7052

Proceedings of —

April 29, 1957 6659

November 12, 1957 6671

November 13, 1957 6721

November 14, 1957 6837

November 15, 1957 6881

November 16, 1957 6957

*May be found in the flies of the select committee.
**May be found in the printed report.



INVESTIGATION OF IMPROPER ACTIVITIES IN THE
LABOR OR MANAGEMENT FIELD



MONDAY, APRIL 29, 1957

United States Sexate,
Select Committee on Improper Activities

IN the Labor or Management Field,

Washington., D. G.

The select committee met at 4 : 30 p. m., j)ursuant to Senate Resolu-
tion 74, agreed to January 30, 1957, in the caucus room, Senate Office
Building, Senator John L. McClellan (chairman of the select com-
mittee) presiding.

Present : Senator John L. McClellan, Democrat, Arkansas ; Senator
Irving M. Ives, Eepublican, New York; Senator Pat McNamara,
Democrat, Michigan; Senator Karl E. Mundt, Republican, South
Dakota.

Also present : Robert F. Kennedy, chief counsel of the select com-
mittee ; Lavern J. Duffy, investigator ; Ruth Young Watt, chief clerk.

(Members present at the convening of the session: Senators Mc-
Clellan, Ives, McNamara, and Mundt.)

The Chairman. The committee will be in order.

Mr. Kennedy. Mr. Adelstein.

The Chairman. You will be sworn, please, sir.

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. Adelstein. I do.

TESTIMONY OF BERNARD ADELSTEIN, ACCOMPANIED BY COUNSEL,

DAVID I. SHIVITZ

Mr. Shivitz. Mr. Chairman, may the witness remain in the seat he
is in now ? His right ear has no eardrum, and he cannot hear on that
side. The only ear I can speak into is the left ear.

The Chairman. If it is all right with the witness, you may occupy
that seat.

Mr. Shivitz. May I also say to the chairman that I understood
from my conversation with counsel that this was going to be an
executive session and not an open session.

Mr. Kennedy. I said I thought it would be. I have nothing to do
with it.

The Chairman. The counsel does not make tliat determination. I
have no objection to an executive session.

Mr. Shivitz. I think we can close much faster in an executive
session than we can in an open hearing, Mr. Chairman, and I re-

6659



6660 IMPROPER ACTIVITIES IN THE LABOR FIELD

spectfully ask the Chair and the committee to indulge us to that
extent.

The Chairman. I am going to ask a few questions in public of your
client.

You testified before the subcommittee in New York last Friday,
did you not, sir ?

Mr. Adelstein. I did.

The Chairman. For the record, will you state your name, your
place of residence, and your business or occupation ?

Mr. Adelstein. Bernard Adelstein. I live at 60 Grist Mill Lane,



Great Neck, N. Y. I am secretary-treasurer of local 813, Private San-
itation UnioUj affiliated with the International Brotherhood of Team-
sters and affiliated with the AFL-CIO. The offices are at 147 Fourth
Avenue, New York City.

The Chairman. Thank you.

Counsel, would you again identify yourself for the record?

Mr. Shivitz. My name is David I. Shivitz, an attorney, 271 Mad-
ison Avenue, New York City, of the firm of Halperin, Natanson, Shiv-
itz, Scholer & Steingut.

The Chairman. Mr. Adelstein, you have been previously served
with subpenas to deliver certain records to the committee; is that
correct ?

Mr. Adelstein. That is true.

(At this point. Senator Goldwater entered the hearing room.)

The Chairman. We discussed these subpenas and the records in
your testimony in New York last Friday ?

Mr. Adelstein. We did.

The Chairman. You are, of course, familiar with the subject mat-
ter of the investigation and the records and documents that the com-
mittee seeks to secure ?

Mr. Adelstein. That I am.

The Chairman. You were ordered last Friday to bring those rec-
ords called for in the subpenas, to bring those records and present
them here to the committee today. Have you complied with the
request, with the order, to bring your records here ?

(The witness conferred with his counsel.)

Mr. Shivitz. May I interrupt ?

The Chairman. No, sir. The question is directed to the witness.
You may confer with him.

(The witness conferred with his counsel.)

Mr. Adelstein. Mr. Chairman, the records that you have re-
quested are all downstairs in an automobile. We were asked to be
present here at about a quarter to 3, in room 101. We waited there
up until a little while ago, when we were informed that we should
come up here. The records are in a car downstairs.

The Chairman. That is all right. Then, are you prepared to turn
them over to the committee ?

Mr. Shivtiz. At this time. Mr. Chairman, may I niake a statement?

The Chairman. I am asking the witness a question. He can an-
swer whether he is prepared to turn them over.
(The witness conferred with his counsel.)

Mr. Adelstein. Mr. Chairman, at this time I would like to answer
you in the form of a statement.



IMPBOPER ACTIVITIES IN THE LABOR FIELD 6661

The Chairman. The Chair will permit you to make a statement,
but answer first, if you can, whether you are going to turn over the
records as you have been directed. The Chair then will permit you
to make a statement of explanation.

(The witness conferred with his counsel.)

Mr. Adelstein. Mr. Chairman, I know that you will receive your
reply in the form of a statement.

The Chairman. All right. Proceed. I will see what it is.

Mr. Shivitz. Mr. Chairman, if I may, before the witness reads the
statement, I would like to say that this is the exact same statement
that was read to the Chair, sitting as a subcommittee of one, on Mon-
day. But, in addition to that, and that was the reason that I felt that
a closed session might be more efficient, practical, and timesaving, I
have some additional suggestions to make which I think will be
acceptable to counsel and the committee.

The Chairman. Let us get the witness' testimony and then we will
see whether we are going to get the records or not.

Mr. Adelstein. On Monday, March 11, 1957, Robert Greene and
James P. Kelly, employees of this committee, called at the offices of
our union at 147 Fourth Avenue, New York City. They told us they
were investigators from this committee, and served subpenas on the
union, the welfare fund, and on me, personally. They conferred
with Michael Wolpert, attorney for the union, and with me. They
asked to see various documents and records and correspondence, all of
which were shown to them.

They took certain correspondence from the files and asked permis-
sion to take it from our office in order to photostat it, saying they
would return it the following day. Not until at least 2 weeks later
were the papers returned, and then only after Mr. Shivitz made re-
peated requests for them.

In the course of this visit, which lasted for several hours, Mr.
Greene and Mr. Kelly examined, among other things, a personal tele-
phone index belonging to me, which I had kept for many, many years.
Prior to leaving the office, they said they wanted to take that, book
with them, also. I told them I did not wish them to take it ; that they
could look at it as they had been doing, but I did not feel they should
take it with them. They were free to copy anything they looked at.

After that, additional subpenas were served, and the union, the
welfare fund, and I, as well as my wife, retained the services of the
firm of Halperin, Natanson, Shivitz, Scholer & Steingut to advise us
in this matter. Mr. David I. Shivitz is the partner in charge of this
matter for the firm.

After Mr. Shivitz arranged with the representatives of the commit-
tee for service to be made on Mrs. Adelstein at his offices, blanket sub-
penas and subpenas duces tecum were served on Mrs. Adelstein, indi-
vidually and as an officer of Shapco Corp., for all books and records,
et cetera.

After further consultation with representatives of your committee,
Mr. Shivitz advised us that he had arranged with the representatives
of the committee to have all the books and records requested brought
to our attorney's offices, where a room would be made available to the
committee representatives to examine the same. Melville Wolpert, a
certified public accountant who has been the accountant for all of the



6662 IMPROPER ACTIVITIES IN THE LABOR FIELD

witnesses and is familiar with their books and records, was present
with the books and records while they were being examined by repre-
sentatives of the committee. Committee representatives attended at
the offices of our attorneys for a period of a little more than 1 week,
and all the material requested by them was produced for their exami-
nation.

I am now advised by my counsel that the committee representatives
are not satisfied with this arrangement, but wish to have the commit-
tee representatives remain alone with all our books and records. Our
attorneys advise us that we are within our rights in placing a repre-
sentative with this material while representatives of the committee
examine it.

We desire to assert these rights. ^AHiile we are informed that no
reason need to be given to support our assertion of riglits, I should like
the committee to understand my reasons for doing so. I have been
interrogated and investigated by the district attorney's office in New
York County and Nassau County as well as by the attorney general of
the State of New York. As a union official I anticipate that this will
not be the end of such investigations or interrogations. The business
of our union is substantial. We have over 1,800 members. The wel-
fare and pension funds have assets of more than $li/^ million. I am
in a position of trust with respect to the records of the union, and am
responsible for the same.

I feel that the only proper safeguards of these books and records is
the continued exercise of the right to retain custody over this
property.

M}^ attorney advises me that the committee may require the produc-
tion of this material and compel me to testify with respect thereto.
This I am ready to do. I have already done more than this. I have
made this material available in the manner heretofore stated.

Another reason for me to insist on exercising my rights is that I
desire to know what material the committee wishes to copy or photo-
stat in order that I may be prepared to testify with respect to such
time .as I may be called upon to do so.

Since the material called for here covers several years and numerous
transactions too numerous for me to inform myself about in its en-
tirety, I feel that I have a right and obligation to ascertain by proper
means the subject of any future questioning which the committee may
have for me, so that I may be an informed, intelligent and cooperative
witness.

The Chairman. Then I understand that you are refusing to turn
over your records ?

(The witness conferred with his counsel.)

Mr. Adelstein. Mr. Chairman, as outlined in this statement, I am
willing to comply, as outlined in the statement, and as my counsel
would also request.

The Chairman. If I understand you correctly, you want to name
all the conditions upon which the records can be looked at. The
Chair is not going to do that, unless the committee requires him to
do so. He is not going to adopt any such policy. We discussed this
quite extensively in New York last Friday. I ordered you to bring
your records here so that the committee can determine whether it is
going to let you name all the conditions or whether we are going to
receive the records.



IMPROPER ACTIVITIES IN THE LABOR FIELD 6663

I think it is a pretty vital thing for the committee to decide. We
have the authority under the law, under the resolution, to get the
records from others, and I do not know any reason why we should
show some favoritism to you. I will submit the matter to the com-
mittee.

Mr. Shivitz. Mr. Chairman, before the matter is submitted to the
committee, may I respectfully ask the Chair and the committee's
indulgence to explore this further, if it is possible to do so, at a closed
session? I am ready to go into one at this point. If you feel you
would like to have it aired at a public hearing, where I don't think we
can be nearly as effective, I am ready for that.

Senator Mundt. Mr. Chairman, I think this is a very vital public
point, and I think the public is entitled to know whatever reasons
Mr. Shivitz has. I would like to hear them, but I do think it is public
business.

There would be no purpose served in going into executive session.

Mr. Shtv^tz. As I stated at the outset. Senator Mundt, counsel in-
formed me that we were going into executive session. He has
explained that he assumed that. He does not, of course, run the
committee.

Mr. Kennedy. Say what I told you, that I thought that the session
would be held in executive session. I did not say that the committee
would hold an executive session on it.

Straighten it out.

Mr. Shivitz. I think there is a difference without any distinction.

But in any event. Senator Mundt, I am only saying this because
of the great patience with which your chairman indulged me on Fri-
day, and we made a great deal of progress on it. I felt if we con-
tinued on that vein, we would close the matter to everybody's satis-
faction. I am perfectly ready to go ahead in an open hearing.

Senator Mundt. I am hoping for the same eventuality, but I do
not see any purpose to be served in going into executive session. This
is a public session, and you should have your reasons spread on the
record in public.

Mr. Shim:tz. May I be heard, Mr. Chairman ?

The Chairman. The Chair will listen to you, but I do not want a
long statement.

Mr. Shivitz. Mr. Chairman, the facts as outlined by the witness,
I think, speak for themselves.

In addition to that, as you stated a moment ago, this Senate com-
mittee, this select committee, is vested with very broad powers. From
the resolution granting the powers and which gave birth to the com-
mittee, we find in section 4 the power to issue subpenas. That power,
in subdivision 4 of section 4, is specifically enumerated as follows:
"Kequire by subpena or otherwise the attendance of such witness" and
here are the important words "and production of such correspondence,
books, papers, and documents." That is what it requires.

It can require the production of books, records, and documents.

The courts have spoken on the interpretation of the word "produc-
tion" in civil and criminal cases, with prosecutors, attorneys general,
complainants, and parties to litigation. The courts have repeatedly
held that the right of a party, or body, to call for the production of
books and records does not carry with it the right to obtain or retain
possession thereof. In order to do that, under our form of Govern-



6664 IMPROPER ACTIVITIES IN THE LABOR FIELD

ment a warrant of attachment must issue from a court of competent



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