New-York tribune., 1917-06-09
Denies Ship Construction Is
Being Delayed-Calls
Men Disloyal
General Is Branded
An Iron Dictator
Dismissed Attaches Again
Emphasize Danger of
Situation

from The Trbuns Bureau
Washington. June s.-On the charge
OF "lack of loyalty and misstatement
and Misrepresentation Of facts Cen
eral Goethals. in charge OF the gov
ernment's big .shipbuilding enter
prise. to-day summarily discharged
F. n. Clark and F. A. Eustis. These
two attaches of the Shipping Board,
known as the Original wooden ship
men," yesterday gave statements TO
the press charging that Goethalss
stubbornness in opposing wooden
ships was jeopardzing the chances OF
producing enough tonnage to th"ar'
the submarine menace.
General Gpethals notified Chairman
Denman of his action in discharglng
Eustis and Clark in letter in when
he specifically denied their charges.
In commenting on it, Clark charac-
fprlLp6
handed dictator" Eustis said that II
their action had resulted in placinc
the facts before the country and
awakening it to the necessity OF build
ing ships quickly, he and Clark would
be amply repaid.
Goethals Explains Action
In the memorandum to Chairman
Denman. General Goethsls said:
"The usefulness of these two gentle
men in this organization is at an end.
Mr. Eustis was retained at your sug-
eestion and given a position of respon-
sibility. How he has fulfilled his duties
his statement discloses.
"tnder the circumstances, ! am ex-
pecting the resignation Of Mr.. Eustis as
q member OF the executive committee
Of the United States Shipping Boards
emergency fleet corporation, and dis
charging him from the service for lack
Of LOYALTY and misstatements and mis-
representation of facts. This applies
70 his employment with the corporation
and, Of course. has no bearing on the
dual position he occupies as agent OF
the Shipping Board. Mr.. Clark is to be
dismissed from the service for similar
reasons.
"The most serious charge in their
statements is that BY insisting on a
lump sum bid | am shutting out All
contractors who are desirous Of as
sisting in the shipbuilding scheme be-
cause these are not able to estimate on
labor and the material conditions as
they exist to-day, thereby delaying the
construction of-ships.
Declares Charge False
"The charge is false. You were pres
ent at the hearing before the House
! Committee on Appropriations May %,
in which the method of cost. plus per-
centage. was discussed and disposed Of.
You make the statement that you fa-
vored the lump sum basis. On return
ING to the office / took action along
these lines.
"In wooden ship construction we are
having for the ways and necessary
equipment when requested and protect
ing the contractor on account of sd-
vances in the cost of labor and in the
nrices of materials. The only contin-
gency unprotected is inexperience,
which is not contingency if the pro-
spective contractor possesses the nee
essary and proper organization for car
rying on the work.
"On April % made certain recon-
mendations to you concerning the nee
essary authority. There was S50,000,
600 available. and contracts were lin
tied to this amount until the hearings
were held, that | might truthfully tell
the committee that ! had not obligated
the government beyond the amount
available.
Construction Not Delayed
Subsequent to the hearing | re-
moved the limit, and have obligated
the government in excess of the
amount TO s2O.O0O.O0O or $4,000, 900.
This shows the fslsity of these state
ments that ship construction is being
DELAYED unnecessarily"
THE facts arc" said Mr.. Clark, after
reading General Goethals's letter,
chat we have received offers from
some of the biggest and mos, reputable
firms in the country 20 turn out $500
600 tons OF wooden ships within eigh-
teen months. Three big firms have Of
fered, after six months, TO give Us one
ship of 5000 tons a day
"These offers have been submitted 70
General Goethals and have been re-
iected He alone knows the reason.
We want the public TO know what's
What The claim that wooden ships
can't he built is absurd. and dsproven
bv documents we have in our posses
sion and which General Goothals has
seen.
"Wooden ships haven't really been
riven fair deal. The standard design
settled on is so intricate that many Of
tho firms wouldn't agree 10 handle IL.
We have had offers of more simple de-
sisns which would answer the purpose.
put General Goethals sits in his chair
ike an iron handed dictator.
dWhen the general says ! misstated
the facts he is saying something that
is not So"
The feet corporation, d, became
known to-day, has just arranged for
lumber on the Pacific Coast for build
ing sixty wooden ships. This. with
contract, let nth the Southern Pine
As,ocintion. makes total 81 about two