New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-04-17
THE FRAUD AT CARNEGIES.
PERSISTENT REPORTS THAT ALL HAS
NOT BEEN EXPLAINED.
THE IDEA SECUTED BY NAVAL OFFlCERS-sEC
RETARY HERBERT SAYS HE WANTS
ALI. THE FACTS.
.BY TELEGRAPH TO THE TRIBUNE

ALL THE FACTS
BY TELEGRAPH TRIBUNE.
Washington. April 16.-Published reports Civ
Ing an account of the discovery of further fraud:
III the manufacture Of naval armor-plate at tbs
Carnegie Steel Works have attracted some at
tention. The reports variously regarded
opinions to their trustworthiness and impor-
lance depending upon the position Of the person
speaking them. That there is some ground fol-
the reports there appears to be little doubt. That
the motives Of those who make the new charges
are unselhsh is not quite certain. 1t seems clear
however that all the facts relative to the armor
frauds have not come TO light yet, and that the
extent Of the frauds is much greater than has
been supposed. Whether or not a full knowl-
edge of the frauds is in the possession Of Prcsi-
dent Cleveland and Secretary Herbert Is food
for much speculation. 1t is thought significant
that. as pointed out in these dispatches some
days ago Mr. Carnegie should about January l
write a letter approving the features OF the VIII
son bill and that on the 10th of the same month
the President should reduce by . per cent the
amount Of the fine recommended 10 be imposed
upon the company by Secretary Herbert for
earlier frauds in which the Carnegies were de-
tected.
Members of Congress seem to take deep in
terest in these latest reports Several Senators
and Representatives who spoke of them to-day
said that whether they were true or false the
Navy would suffer severely. a member OF the
House Naval Committee said
These reports hurt the Navy in Congress and
also among the people. If the Carnegies have been
detected in frauds it is not unreasonable TO sup
pose that they will commit others. Once the
idea gets abroad that the management of naval
affairs is not in every respect satisfactory there
ho f,,rth her
construction Of new ships"
At the department officials speak Of the re-
ports of additional armor frauds with apparent
.frankness Secretary Herbert does not believe
that any more serious revelations are to be en-
'pected. At the same time he is desirous OF nav
ing the latest rumors carefully investigated
Speaking on the subject to-day he said'
Il am willing in fact anxious. 10 consluer any
further charges against the Carnegies IN ialr
way If the employees Of the company have dis.
covered additional frauds ] want to know IL, or
course. Anything the subject which Is SUD
mitted to the Department will receive careful al
tention | do not want to talk or the matter uht!l
] am in possession OF facts.
Captain Sampson. chief OF the Bureau of ord
nance, attaches no Importance to the latest ru-
umors from Pttsburg While DESTROYS OF avoldins
what might be regarded harsh criticism ne
does not hesitate to say that some Of the reports
are evidently not correct. captain sampson said
to-day that many of them are absurd In speak
ing of the alleged collision between the Carnegles
and the Sterling Projectile Company. by when
the latter company delivered soft shels WIN
which 10 test arInOr-plates from the CaTlles.e
COMPANY he said that as matter Of fact Ster-
ling shells had never been fired at any Carnesle
plates. Carpenter shells of approved qually nav
alone been used in testing the plates captain
SAMPSON further said that he had information
10 the effect that the Pttsburb attorney ana MS
clients who now allege further frauds az ~
negie's had offered to sell their Information 70
the Navy Department, but that as the informa-
zion was apparently untrustWorthy IL was ue-
clined He had heard OF reports that the charges
,hcari " hpPn
newspapers Frauds were practically impossoe
under the present strict rules relating 70 the IN
specton of armOr Captain sampson sald
Lieutenant Wilmer. Of the Navy. the inspec-
tor of armor manufactures at CarneSie's mas
come to Washington with a report to Secretary
Herbert OF his experience with former eHpiQyes
of the works. and OF certain offers maze 70 MIN
NO dispose Of their information TO the Govern
ment for a consideration. Lieutenant Winner nad
much Of interest 10 say to-day. 1t was MS ne
is 1ns a6er prso at P6Drs desired
receive money rewards from the Government
The first informers had good reason for being
compensated for their information. he said. As
far as he could learn. the latest allegations
against the company were not worthy OF serious
consideration The motive of the men making
the charges are apparently mercenary ne said
Recently had an experience at the Carnegie
works which led me TO believe that some mon
key business was going on in the shops, Lieu
tenant Wilmer said ION one occasion 1t was
evident that one Of the workmen wanted to be
seen doing something out Of the ordinary. |
accommodated him finally. more out Of curiosity
than for any other reason. He was engaged In
pretending conceal the turning out OF defec-
tive armor bolts. His attempts were 50 farcical
that could hardly restrain laugh. believe |
that this effort made 20 bolster some Of the
very charges now made against the Carneges
particularly the that frauds have been com
united at the works since our increased vigi- |
lance began. As matter Of fact. frauds cam
not occur"
Asked as to the extent Of the frauds which have |
been committed. Lieutenan, Wilmer declined 10 |
speak. He thought 1t possible that several OF |
the new ships in commission and undergoing |
construction. including the NewYOrk Monterey, |
Indiana, Oregon and Raleigh. might have de- |
fective plates. He would not say that this was |
fact. He confident, however, that none OF |
the so-caed defective plates fell below the lowest
standard in quality. He would not hesitate 10 |
compare any OF the plates with those OF similar |
character made abroad.