Evening star. [volume] (Washington, D.C.) 1854-1972, 1917-06-08
7W0A|DS dropped
BY GEN. COCKTAILS
SummariIy Dismisses F. A.
Eustis and F. G. Clark From
ShipbuiIding Corporation.
ALLEGES FALSE CHARGES

Maj. Gen. Goethals, general manager
OF the Emergency Fleet Corporation,
today dismissed F. A. Eustis OF Boston.
assistant general manager, and F. G..
Clark of New York, the two engineers
who originated the wooden fleet idea
The dismissal Of Eustis and Clark to-
day followed their action Of last night
in issuing statements virtually charg-
program in the nations
emergency.
Eustis and Clark. both engineers.
brought the idea of quickly building a
great fleet of standardized wooden car
go carriers to combat the submarine
menace to the shipping board, but Gen.
Goethals disapproved of 1t in the main.
Ever since Gen. Goethals became gen
eral manager of the fleet corporation.
the shipping boards instrument of op-
there has been great dis
agreement over whether the ships
should be OF steel or wood. Gen Goe-
thals in the main favored steel, but the
shipping board gave him absolute au-
thority to decide the question and build
the feet.
Decide to Force the Issue.
Eustis and Clark, chafing under the
opposition to wooden ships. and. they
publicly announced in their statements.
the delay In getting the fleet started.
felt that the country was being i'm
periled by not adopting the plan or
quickly building a fleet to run the sub
blockade and decided last night
to force the issue by making their
statements.
They frankly expected to be dismiss
ed for their action, but said they felt 1t
to be their duty to apprise the country
of the facts as they saw them.
Their statements charged Goethals
with blocking the shipbuilding plan by
insisting on what they characterized
as an impossible form Of contract. They
also gaSe the names Of shipbuilding
concerns. which, they said. were ready
to turn out the cargo carriers II Goe-
thals would sign the contracts.
Gen. Goethals Explains.
Gen. Goethals announced the dis
charge of the two engineers in mem
orandum to Chairman Denman Of the
shipping board.
The usefulness of these two gentle
said Gen. Goethals. "Mr. Eustis was
retained at your suggestion and given
a position Of responsibility. How he
has fulfilled his duties his statement
Under the circumstances ! am expect
ing the resignation of Mr.. Eustis as a
member of the executive committee OF the
United States shipping boards emergency
from the service for lack Of loyalty and
and misrepresentation of
facts. This applies to his employment
with the corporation, and OF course has
pies as agent Of the shipping board. Mr..
Clark is to be dismissed from the service
for the similar reasons"
Gen. Goethals. in his memorandum.
brands as false the statements made by
Mr.. Eustis and Mr.. Clark
1.-The most serious charge in their state
ments," said Gen. Goethals. sis that by
insisting on a lump sum bid 1 am shut
Of assisting in the shipbuilding scheme,
because these are not able to estimate on
labor and the material conditions as they
exist today, thereby delaying the con-
of ships
Says Charge Is False.
THE charge is false. You were pres
committee on appropriations May %, in
which the method of cost plus percent
age was discussed and disposed of. You
made the statement that you favored
the lump sum basis. On returning to
the office 1 took action along these
lines.
"In wooden ship construction we are
paying for the ways and necessary
equipment when requested, and pro-
.ecting the contractor .on account of
he prices of materials. The only con-
tingency unprotected is inexperience.
which is not contingency IL the pros
1ective contractor possesses the neces-
,ary and proper organization for carry
ng on the work.
"On April 25 I made certain recon-
to you concerning the nee
essary authority. There was 50,000.0O0
available, and contracts were limited to
his amount until the hearings Were
committee that I had not obligated the
government beyond the amount avail
able.
Removed the Limit, he States.
Subsequent to the hearing I re-
moved the limit, and I have obligated
the government in excess OF the amount
to s2o,00o,0 900 o. $25.o00, ,000 This shows
The falsity of these statements that
ship construction is being delayed un-
necessarily.
"a competent naval architect was
employed. He will not approve the
engaged in overseas travel. due to the
ack of proper longitudinal strength.
THE former plans have been modi-
led with the view of Strengthening
sufficiently to warrant the
building of a limited number Of ships
IF this design. which are to be built
under the personal supervision of Mr..
Houeh. In view of the recommends
ion of the naval rchitect, 1 am not
willing to take the responsibility of
for the construction of
ships along those designs"
Chairman Denman Declines Comment |
Chairman Denman of the shipping
BOARD had nothing to say as to what !
,ction the board would take in the |
.ase. Mr. Eustis is an employe of the |
,oard assigned to the fleet corporation. |
Tr. clark has no connection with the
,oard. but was employed outright by |
he corporation. |