The sun., 1908-02-21
SUBMARINE BOAT SCANDAL
LILLEY CHARGES CORRUPTION
IN PROCURING CONTRACTS.

OHera = ResOlltlOn In the House for a
special Committee 10 Investigate the
Conduct Of tho Electric Boat Go. and
Hts Predecessor. the Holland 90.
WAsHNoToN. Feb. 2O.-Representative
Llley Of Connecticut. a member OF the
House Committee on Naval Affairs. to-day
offered in the House a resolution-to appoint
a special committee OF Ave members to
investigate the conduct Of the Electric
Boat Company Of New Jersey and III
predeoebsor. the Holland Boat Company,
respecting the methods employed by
those companies in connection with past
and present legislation before Congress.
The Electric Boat Company is the builder
OF all the submarine torpedo boats now in
the navy and not long ago a contract was
awarded Il for seven additional submarines
after a competitive test Of boats offered
in competition.
The present trouble dates back to the
naval appropriation bill Of last year. which
carried 5000 600 for the purchase Of sub
marines after competitive tests under the
direction Of a naval board. One OF the
requirements Of the law was that no boat
should be purchased which was not the equal
Of any submarine then in the navy or under
construction for the navy. Exhaustive tests
were held at Newport last May, which re-
suited in decision by the naval board, OF
which. Capt. AdOlph Mark was chairman,
that the Octopus type, built by the Electric
Boat Company, was a superior type of naval
weapon over the boat of the Lake Submarine
Torpedo Boat Company Of Bridgeport, Corn.
This report OF the board was unanimou ly
approved by the Board of Construction.
and following this action Secretary Metcalf
awarded contracts to the Electric Boat
Company for seven submarines OF the
Octopus type. Acting on an opinion Of
the Attorney General. however. he with
held part Of the appropriation and re-
Gently gave the Lake company a conditional
contract. by which the Government agrees
TO accept one Of its boats at t425 900 il after
trials and tests II comes up to the standard
hxed blythe law. otherwise there is no obliga-
ton on the part OF the Government.
When the submarine feature OF the build
ing programme was reached by the naval
committee In this years bill the committee
adopted the same standard OF requirements
for submarines and authorized the Secre-
tary OF the Navy to purchase eight additional
boats. At that time in committee Mr..
Lilley made various charges, but it was
believed that he was only representing
the interests Of his constituents, the Lake
boats plant being located in his district,
and the committee decided to ignore his
statements.
Mr.. Lilley's statement intimated charges
Of corruption but was not substantiated
with any facts. The vote Of the committee,
aside from Mr.. Lilley, was practically
unanimous In fixing the standard upon
which the Secretary OF the Navy should
exercise discretion in purchasing boats
Of this class. Members OF the committee
are highly indignant at the action taken
by Mr.. Lilley and declare that it impugns
tho honor OF every man on the committee.
Some Of them say that the fullest investi-
CATION should be had in order that the en-
tire committee may be vindicated of what
they declare to be the outrageous charges
and insinuations Of their fellow member
They point TO the fact that Mr.. Lilley him
self voted for the s. 900 900 appropriation
OF last year and that If there was corrup-
tiOn then he was as guilty of completely in
II as any one. They point to the further
fact that the present bill carries no appro-
priation for submarines and only author
ICES them and Axes a standard which all
boats must meet before they can be bought.
Mr.. Lilleys resolution was referred to
the Committee on Rules and no action has
been taken on IL.
When Mr.. Lilley was asked tonight to
explain why he introduced the resolution
he said:
"By the time those boats are constructed
it is fair to presume that there will be inn
provements in submarine construction,
and yet the Government will not be able to
take advantage Of these improvements.
To illustrate:
The battleship Vermont was commenced
last August. To-day she is practically
an Obsolescent ship. Our latest type Of
war vessel could demolish three Of her
Despite the almost constant changes in
naval construction these eight submarines
have been contracted for, thereby forcing
! down the throat Of the Department twice
| a. many submarines as they have asked
! for. The Naval Committee by a majority
| vote, has taken from the President, the
] Secretary OF the Navy and the Naval Board
/ the powers invested in them and placed IL
| in the hands Of the Holland Submarine
/ Company"
Mr.. Lilley was asked IL he favored a sub
marine Of the Lake type. over which the
| Octopus was victorious in the Government
| trials at Newport last May. NO" he said,
! Il do not. All | ask for is a fair deal.
merely demand that the power to order boats
| and select types be left where it belongs
namely, with the President, the Secretary
of the Navy and with the Naval Board
WATERBURY,, Conn, Feb. 2O.-Those who
| have watched Congressman Lilley's attitude
are not surprised at his attack on the sub
marine methods. He had told close friends
that he had been offered 5ribes by submarine
| boat people and that any fearless, honest
| man in Congress stood in constant jeopardy
| OF attacks Of the submarine interests II not
| willing TO yield to their Establishments
| These interests. he says, have done more to
corrupt Congress in ten years than any one
| agency. On one occasion in this oitv these
| people approached Mr.. Lilley, Il Is known.
| and offered him a bribe that ran into five
| figures. He says in each iof his cam
| paigns financial support of the submarine
boat people had been offered him il he
! pledged his vote to their measures before
| Congress, but he refused. Mr.. Lilley is
we'll known as a fighter and his conflict with
| these submarine people will be watched with