The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1904-01-20
DENIES
ALL COLLISION
IN ARNOR PLATE
Chief of the Navy Bureau
of Ordnance Answers
SchWab.
BEFORE THE COMMITTEE
Questions Put to Him Con-
eerning Contracts by
the Members.
BEFORE THE COMMITTEE

Rear Adrairal ONeil, chief OF the
Bureau of Ordnance OF the Navy De-
partmenJ has submitted to the HOUe
Committee on Naval affairs a reply TO
the pubhsaed statement or Charles NJ
Schwab. lormer president Of the United
States Steel Corporation, in which Mr.
Schwab said that st was the under
standing with the Government when
the Carnegie Company erected an ar
NOR plant that the Carnegie and Beth
lehem Companies were TO share the
work. and that the price at which the
contract was TO be awarded was aiways
understood by the Government before
the bids we're submitted
This statement was made after Ad-
miral O'Neil had been heard by the
Committee on the pending naval appro-
priation bill. and the committee then
submitted to him the following esacs-
tions in respect to the matter 20 be
answered.
rs the statement Of Afr. schwab true
or not?"
! How many tons of armor plate each
I Of the companiss mentioned furnished.
or contracted to furnish. the Govern
merit within the past ten years. and ghe
price therefor
HAS any other company furn.aIed
I
So what gas the price,"
Answers Frankly.
To the first OF these questions Admiral
O'Neil says.
-'It is impossible FOR ne or any one
row in the Navy Department 10 say
! from his own knowledgei what under-
1 lstanding Secretary Tray may a17e had
With the Carnegie Steel Cornpany VIZ
of arnor plate on November -. $780, or
what his ideas were with respect to Gu-
ture contracts.
Ee refers the committee TO Senate
reports on the subject in the Fifty
/ fourth Congress and TO the reports of
the various Secretaries Of the Navy
since that time.
Speaking of a report by Secretary
/ Herbert OF March 10, 1892. mentioned in
a report from the House Committee on
/ Naval Affairs. in which attention is
l called to ne delay in the construction
Of the Beth hem plant. which made l..
necessary ins the summer Of 1890 TO Sc
| cure a second supply by contract with
Carnegie. Phipps & Co. for $500 tons
at the same price stipulated in the
Bethlehem contract, Admiral ONel
says:
The Bethlehem contract above -efer-
red TO was awarded by SECRETARY Whit
ney after competition L public ad-
ivertisement, and there IS no reason TO
suppose that there was the slightest
collusion between the respective bid
ders and tee Government in the case
OF this. the first arm0r contract
Contract History.
Further OH Admiral O'Nen says:
'-The history Of the first contract with
the. Carnegie Company for armor is well
known. ana II is generally understood
that Secretary Tracy acted In the inter-
est OF the OGvernmeIII and made the
best terms practicable under the cir
cuastances. and there was certainly no
collusion with regard 10 this c ract.
He adds that there seems to some
uncertainty as 20 who inaugurateti the
proposition that the Carnegie Company
should embark sn the manufacture OF
aruor. whether il was Secretary TEacy
or the company, but he says thst Is a
, matter of little consequence
Admiral O'Nen then takes ~ the six
other contracts for armor. specifying
each and the circumstances under which
the contracts we're let and in each case
declares positively that there was no
collusion or understanding between the
. hidders and the Government as 10 the
price and he also declares that the price
was rot known to the Government be-
/ forChand.
Amor Supplied.
Answering the second question. Ad-
. miral O'Nen says that the Bethlehem
Company has supplied Ass tons. the
? Carnegie Company 1855 tons. and the
Midvale Company. under contract Of De-
cember Is of last year. is 10 supply
6ls0 tons. Sd of this is since lSs-.
{ The grand total is 1922 tons. and the
! cost t7,4sS.ssS. the average cost being
! S4Sl.56 ton. the highest price paid,
: SOL l3 per ton. and the lowest Ss9se3
in response to the third question. Ad
!, rniraI OMEN says that the answer "a
the second question shows that no
other company except the Midvale Com
i, pany. in last year. has competed againss'
the Carnegie ana Bethlehem companies
> In this case The contract of tie Aid-
! vale Company is for 60le tons OF besl
: quality for SSS a ton. as against sass. Jl
inciueiDg royalties. Tor armor OK a sim
liar class supplied by the Bethle1se1I
and the Carnegie companies.
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