Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1908-04-29
NO EXCESSIVE PROFITS.
Admiral BowIes Denies One of lilley's
Charges About His Company.

Washington. April 2S.-One of the
main charges of Representative George
l.. Lilley of Conn, against the Electric
Boat Co. namely. that that company
has received excessive profits on its
contracts with the United States gov
eminent was fatty denied today by
Admiral Francis T. Bowles. formerly
chief of the bureau of construction of
the navy department and now presi-
dent of the Fore River Shipbuilding
Co. which is building the boats for the
Electric Co. Admiral Bowles stated
that the Octopus. the last submarine
boat built for the government but
which has not yet been accepted. will
cost the Electric Boat Co. for construc-
ton alone $235.000. This figure does
rot include royalties or the general eX
penses of the Electric Co. and he
thought that the total cost of the boat
would exceed the contract price of
$3.50. 900.
a number of other witnesses We're
examined today by the committee in
an effort to close up the inquiry. Adj
i,urnment was taken until Thursday.
WASHINGTON. April 2S.--The statement
made by Rep. George I.illey of Connecti-
cut to the special House committee in
vestigatins his charges against the Flee
tric Boat Co. that he was being shad-
owed by private detectives. was positive
" denied before the committee today by
Frederick Weber. the detective officer at
the Capitol
Mr. Weber said that no detective Off
Ger of any character had been engaged
in watching Mr.. Liiley either in the Cap
itol or the House office building.
Francis T. Bowles. formerly chief of
the Bureau of construction in the navy
DEPARTMENT and now president of the
Fore River Shirbuilding Co, was ques-
tiored regarding the cost of submarines,
He said the cost of construction of the
Octopus had approximated s235etG. This,
he said did not include office charges.
etc The contract price of the boat was
$2S0. 600
Mr.. Howles denied that he had ever
made any statement justifying the infer
ence that any cost in excess Of $745 a ton
for submarines was excessive. He
thought that slleG ton would be fair
price now.
Representative Arthur J.. Bates of
PENNSYLVANIA and l.. p. PadCett of Fen
ucssee members of the naval affairs COM
mitteo and James 5. Sherman of New
York appeared before the committee.
Goth Mr.. Bates and Mr.. Padgett stated
there was 10 connection in committee
discussion of the naval appropriation bill
between the battleshp and the submarine
propositions.
Rates further testified that Lillcy snow
ed him q copy of his resolution of inquiry
the dav before he introduced it, and that
after its introduction and before the ma
val bill was reported to the House he
said to him that if the committee chang
ed the hill i'm order TO provide for open
competition he would withdraw it,
Representative Sherman testified that a
few DAYS before Mr.. Lilley offered the
resolution he showed it to him. remark
ing that the resolution would stir ZIP a
mess" Sherman said he intimated that
he thought so. too.
David Carvalho, the handwriting en-
pert. was recalled to testify regarding an
ANONYMOUS letter that I.llcy had received
and which he handed the committee on
Arril 80 The letter was dated New
York. Fob 20. and was signed "A Cit-
zen." What the committee hopes to
bring out by this examination has not
been disclosed.
The committee adjourned until Thurs
day afternoon.