The Birmingham age-herald., 1908-03-18
Statement Made By Aabamian Is COntadicted in LiI-
 ley Investigation
NEWSPAPER MEN TELl
 HOW THEY LOST JOBS
Mir. Spears Testimony Before the Com mittee Is Lengthy and He Denies Statements Attributed To
 Him By MT. Hobson.

Washington, March 1.-The statement of Representative Richmond P Hobson of Alabama before the special commit tee of the House, Investigating the charge made by Representative George Lilley Of Connecticut that he had been appointed by representative of the Electric Boat company who offered to use his influence with the speaker to have MT. Hobson placed on the naval affairs committee if he "stood right on sub-marines was con- tradicted before that committee today by Lawrence Spear, the former naval officer who Mir Hobson said had spoken to him. MT. Spear said he had not made any promises to secure the influence of Speak CT Cannon or any one else and that he never had tried to influence them; in fact he said, he did not know the speaker
 MT. Spear claimed that his company had never endeavored to suppress com petition; had never received any legisla- tive or departmental favors and had never received an order from the navy department except as the result of sue cessful competition.
 The other two witnesses of the day were A. k. Erly and Frank B. Lord, two of the newspaper men whom Mir Lilley charged he had been warned against in the pay of the Electric Boat company. They both denied that they were ever in the pay of the com pany, although they said they had done special work for MT. McNeir, one of the attorneys for the company, in the way of getting out some feature stories' on submarines, for which they had been paid. Both witnesses testified that they had lost their positions as the result of MT. Lilley's charges. MT. Lord charac- terized the repudiation by MT. Lilley of an interview he claimed to have had with him as ''unqualfiedly, absolutely and de- 1iberately tintrue."
 The committee adjourned until Thurs day.
 Spear Testfies.
 Lawrence Spear, an employe of the Electric Boat company was the principal witness before the Lilley submarine boat inquiry committee. Representative Hob- son of Alabama testified before the com mittee several days ago that MT. Spear . informed him that his company would use it's influence with the speaker to have | him placed on the naval committee If he stood right on the submarines" Mr. Spear said that he was one of the vice presidents and the naval constructor of the company. He is a graduate of the Naval academy, having served in the construction corps and relieved MT. Hob- son in charge of the school of naval arch itecture at Annapolis. He resigned from the naval service July 1, 1902, and immed- lately entered the services of the subma- rine boat company.
 MT. Spear said that the last time he had seen MT. Hobson was at the capitol Q month or six weeks ago. He had gone to see him, he said, at the instance of Vice President Frost of the Electric Boat company to give him friendly warning against another man who was trying to influence submarine boat legislation.
 In his testimony today MT. Spear de- nied that he had told Representative Hob- son that he would use his influence with 4 Speaker Cannon to have Hobson appoint Sl ed on the naval affairs committee pro- { vided he was right on submarines
 MT. Spear admitted he had told Hobson S secretary that he would assist Hobson II in any way he could
 Referring to the actual conversation with MT. Hobson over the telephone, MT Spear said it was his impression that MT. Hobson called him up at his hotel and said: Spear, it is not necessary for you N to bother about talking to me about sub marine boats. have not changed my views and there is no necessity for post ing myself about them."
 Conversation With Hobson.
 .'I replied to him." continued MT. Spear, "that was very glad he had not changed { his views. I then asked him how he was getting along with his efforts to be placed on the naval committee. MT Hobson said The was earnestly striving to get the place. and I replied, Well, If there is anything l can do to help you, let me know He said: There is nothing you can do. More over would not want you to do any x thing Your connection with a company tthat is interested in legislation would Sprove embarrassing I stold him would Hoe guided by what he said''
 Fl The witness said he took pains to let &Air. Hobson know that he was talking ffor himself and not for the company. Did you say in that conversation If 3you can get Williams, I will do the Hrest P"
 No, sir My recollection of that con- Eversation is that no reference was made Ito MT. Williams, the speaker or any one /else.''
 Did you hold out to him that you had Many influence with any one that would tend to insure his appointment on the naval committee?"
 Not the slightest. I have no influence with tho speaker nor with Mir. Williams. don't know either gentleman. Neither myself nor the company did anything 8o help secure place for MT. Hobson on the naval committed"
 Relations Friendly.
 MT. Spear said he had met Mr. Hob U;On since tniS cOnVersdtioH put ho Iel- tprence had been made to it and that their Relations were still friendly.
 Il WttConcerning the agreement between the slectric Boat company and the Vlckers tbmpany of England MT. Spear said that I}le Electric Boat company and the Wick Slrs company had entered into contract H (which contemplated an exchange of im- Endorsements, but that the English govern Al ahent objected and the contract was all Ij1sred so that Improvements made by eith- IEr company are not exchanged
 lE MT. Spear denied that the Electric Boat Ito,npany had made an excessive profit Hut of its contracts and finished his tes- slnony by presenting a statement to the
 Vt that the Electric Boat company had
 r suppressed competition. He de-
 that the company had never re-
 any legislative or departmental fa-
 secured any orders from the de-