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Marshall Invites Steuer to Submit Evidence on Charge of Fraud in Relief Funds

September 7, 1927
See Original Daily Bulletin From This Date
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Rebukes Hasty, Sensational Manner; Invites Further Proof: Mr. Steuer Does Not Qualify Charges, Promises to Furnish Details

Louis Marshall, president of the American Jewish Relief Committee, expressed his astonishment at the sensational charges made by Max D. Steuer on his arrival from Europe concerning the alleged existence of fraud in the administration of unnamed Jewish relief funds prior to 1925.

In a statement he issued to the Jewish Telegraphic Agency, Mr. Marshall invited Mr. Steuer to communicate to the Joint Distribution Committee any facts bearing upon the subject to which he has referred. Mr. Marshall is ready, he stated, to call a meeting of the Executive Committee at the convenience of Mr. Steuer for the presentation by him of any evidence that he may have.

The statement also urged that judgment be suspended until trustworthy, first-hand evidence is produced to justify such charges.

Mr. Marshall’s statement read: “I am astounded at the statement purporting to have been made by Mr. Max D. Steuer on his return from his trip abroad, with regard to the expenditure of funds collected in the United States by Jewish agencies for the relief of suffering Jews in Europe. He is credited with saying that the moneys collected since June, 1925, have reached the proper destination, have done much good and have been economically administrated but that the moneys contributed prior to that time have been uneconomically administrated and a substantial part of them have never reached those for whom they were collected and intened. He goes so far as to say a part of the money was actually stolen by American representatives.

“The principal collecting and distributing agency during the past thirteen years has been the Joint Distribution Committee and its constituent organizations. The moneys collected and distributed prior to June, 1925, for the relief of Jews in Europe have been received and disbursed under identically the same auspices as those which functioned since June, 1925.

“Apparently Mr. Steuer is not speaking from personal knowledge. It does not appear that he has actually been government. The committee on immigration determined yesterday on a budget of £17,000 which will be used for extending aid to the new arrivals and for maintaining a staff in Palestine and in European centers. The program provides for the admission of a minimum of 1,500 Chaluzim during the coming year.

The determination of the American delegates to carry through their plan was handicapped by the fact that they were unable to name an American to the triumvirate as was demanded by Dr. Weizmann. The carrying out of the American efficiency program without naming an American to put it into effect would be “Brandeisism without Brandeis,” Dr. Weizmann is reported as having told the American delegation. He appreciated the Americans’ attitude but he would expect them to delegate their own man to carry through the program. The labor groups and the Mizrachi have declared that they are opposed to the American plan but advocate a coalition Executive which would assume responsibility for the political and economic work. At this moment the Americans were induced to abandon their original triumvirate proposal and agree to an executive of four, it being understood that the fourth member is to be Dr. Arthur Ruppin, the Zionist colonization expert. Dr. Ruppin, however, has declined to accept nomination on the Executive.

The Committee on Committee has extended an invitation to Messrs. Sacher, Kisch and Friesland to appear before it and present their program. It was stated that Dr. Weizmann was persuaded to agree to an Executive of five in Jerusalem and it is understood that he will submit his list to the Committee on Committees today. In the meantime, many of the delegates are leaving Basle, including several Americans.

Simon Rief, prominent Baltimores leader, died Monday, aged 63.

Among the many projects with which Mr. Rief was adentified were the Talmud Torahs and the United Hebrew Charities. He was a leader in the Zionist movement in Baltimore.

He was formerly President of Mishkon Israel and B’nai Israel Congregation.

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