Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1918-02-22
II Are INDICTED
Charge Profiteering in
Army Clothing
Believed Government Has Suffered "a
Extent Of $ 5000. coo-cIaim One
Manufacturer Made 5000, ooo-Armv
Officials Think Frauds Confined to
New York

New York, Feb. 2l.-.An alleged
countrywide plot involving profiteer-
ing in army clothes at the expense Of
the government was disclosed here to-
Gay with the indictment of II men, one
q clerk In the quartermaster's depart-
hreht OF the army, on charges of fraud.
investigation which will extend 10
other cities will show, FEDERAL author
tiles here believe, that the government
mas suffered to the extent OF $4,000. 00v.
Fight oil the defendants are man
ufacturers of army uniforms. The
prohteerinG was made possible, the
federal investigators explained, by the
methods in which the cloth was cut.
From material which the government,
estimated would provide a dozen uni
forms the manufacturers would cut
10 or less, according to the authorities
and the excess cloth, known to the
trade as 'clippings.' would be re-sold.
either To the government itself Or
other manufacturers.
Some OF the defendants. Lieutenant
haInltz said. represented to the gov
eminent that their "clippings' amc"rt.
Ell to . per cent, whereas actually they
mounte to s per cent, the difference
representing the excess cloth alleged
TO have been cmbeZZlcd.
owing - the alleged activity of a
c!Vlllan Clerk in the army in connec-
tion with the purported plot, it was
easy for cOncealment to be effected. So
bold were some Of the defendants. ac-
corning 70 investigators, that bolts Of
stolen clorn were displayed openly in
windows in the jobbing districts.
Clippings were sold to manufac-
turers IN chicago. st. Louis and Green
vile. ILL.,, and large quantities of the
cloth have been recovered at those
places, it is announced. The manufac-
turerS purchased innocently and will
hot be prosecuted. Clothing houses in
other Western cities have obtained
cloth. als) not knowing il was stolen.
the investigators said, and this has not
yet been recovered.
Abraham Pursch and Leon Levine.
two OF those indicted. are known m
trade circles here as the largest army
cloth tractors in New York CITY.
Since h United States entered he
war. 1t is said. they have made over
100000 garments for the govern
ment.
They are charged with having an
propriated to their own use remnants
of army cloth from three to six wards
IN length and worth from So to $3.50
pc" yard. instead of utilizing these
goods in the making OF uniforms and
ONerCCatS.
According to Lieut.. Barnitz. enc
manufactures not Yet under Indictment,
has made profits Of $500. 900 on a sin
gle contract calling for $4,000 900
worth of uniforms.
Think Frauds Confined to New York
Washington, Feb. 21.-Army a
terinaster corps officials think the all
legged frauds unearthed in New Work
III connection with the preparation of
uniform cloth were confined TO tnaI
city. They said today no information
lad reached Washington which would
lead to q belief that Cloth manufac-
turers working on government, con-
tracts in other sections of the country
were involved.
The alleged thefts upon which the
indictments returned today We're based
are believed to nave occurred in Nov-
ember and December of 1917.