The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-11-01
GREGORY RATIFIES
THE HUGHES REPORT
Ryan Says Honesty of Those
Connected With Aircraft
Production Is Upheld.
FINDINGS GO TO WILSON
A Acknowledgement Calls Deeds's
Acts "Reprehensible but
Not Criminal"
SpecinI Despatch to THr suN.

Specinl Despatch TO THE SUI
WARRINGTON. Oct. Sin transmit
ting the Hughes report to the Presiden,
to-day Attorney General Gregory &C.
cornpanied It with a comparatively brief
letter. supplementing II in a limited way
and expressing his fullest confidence
In the accuracy, completeness and fair
ness OF the document. He said that
in period Of Ave months since Judge
Hughes assumed the functions of spe-
cial investigator he had given his entire
time to the work and had been ''in
direct charge of the investigation which
has been conducted by him with the
cooperation of myself and other officials
OF the Department of Justice"
Gregory's Report to Wilson.
To the President Mr.. Gregory said.
On the afternoon of last Saturday.
october rs. Judge Hughes handed to
me copy OF his report, together with
letter asking me to transmit IL to
YOU with whatever statement of views
] wished to make. The report consists
of 1873 printed pages.
BY far the greater portion Is devoted
TO a remarkably accurate statement
OF substantially all the transactions had
since the beginning OF the war in the
course Of the development of the air
craft programme. After carefully ex-
aiming this statement OF the transac-
tons find myself in substantial accord
herewith and do not consider II ,neces-
gary to present to you a somewhat full
report which has heretofore been pre-
pared In the Department of Justice. AS
hereinafter shown. / also find myself
in accord with the conclusions presented
ny Judge Hughes on questions Of dis
honesty and malversion.
II do not consider II germane to this
investigation to enter into criticisms of
the programme or of mistakes in policy
or in the exercise of judgment.
II send you herewith Judge Hughes's
report and present herein my conclu-
sons and briefly supplement Judge
HuEhes's findings of fact in a few in
stances
The Attorney General reviewed the
expenditures out of the initial war ap-
preparation for the air service for the
fiscal year 1918 in d short paragraph.
Mr.. Gregory boiled the matters into
the following single paragraph:
''The $691.s51,s66 appropriated was
for all aviation purposes, including many
things besides the building of aircraft.
Contracts for airplanes and motors let
here and abroad II was estimated would
require s474.sl0.706. but In May last
this amount had by no means been ex-
pended. The actual disbursements for
this purpose up to the close OF the fiscal
year ended June 80, 1918, were as fol-
lows: 1855
For production in this country ,ios, 1891
For production abroad. ........ e5,soS,074
For experimental and develop
Total Observation-Disclosures Is4o4t,ss5
The Attorney General also condensed
his review of the conduct of the men,
civilians and military and naval officers
who had dealt with the production of
American aircraft into a single para
graph also. He summed up similar
findings by Judge Hughes by saving:
Il agree with the conclusion reached
by Judge Hughes that there is no evil
dence upon which II can fairly be
charged that any member OF the air
craft boards, including Mr.. Howard F.
Coffin, Gen. Squier, Col. T. =. Deeds,
Col. r. L. Montgomery, Col. S. D. Wal
don, Mr.. Richard F. Howe. Mr. Harry
b. Thayer. Admiral Taylor and other
naval officers. has been unlawfully in
terested In any contract or transaction
relating to aircraft production. Indeed
as to this charge there has at no time
been ground for a question involving any
of these gentlemen except Col. Deeds"
Sits the Deeds Charges.
Further on in the letter, under the sub
heading Conduct OF Col. T.. A. Deeds"
the Attorney General devoted further at
tention to the subject of the presumptive
misuse of the powers of his position to
which Judge Hughes had devoted thirty
printed pages of his report. On the sub
ject the Attorney-G General said:
'Of all the members OF the aircraft
boards the one most severely criticised
and against whom most charges have
been brought has been Col. E. A. Deeds
The evidence does not disclose any vio-
lation by Col. Deeds OF the criminal
laws.
Il also find that Col Deeds was guilty
of censurable conduct in acting as conf
DENTAL adviser OF II. L. Talbot and In
conveying information to the latter with
respect to transactions Of business be-
tween the Dayton Wright Airplane Com
pany and the division of the Signal
Coprs OF which Col. Deeds was the head
In turn the Attorney General also re-
viewed the criticisms ana definitions of
the cond, ct Of Lieut.-Col Vincent. Lieut.
Col. Mixter and Second Lieut.. Vrooman,
whom Judges Hughes had suggested AZ
subjects for further investigation for
having engaged in dealings as oificia Is
of the United States Government with
Arms, copartnerships and corporations
in which they enjoyed direct personal
interest. The recommendation of a court
or investigation for these four officers
advanced by MT Hughes was ratified
by Mr. Gregory
The attitude OF Secretary of War Ba.
ker on this subject Is known In advance.
At the time the rumors and charges rose
TO full cry last winter and spring Mr..
Baker let II be known that he would
lake immediate action once the facts
we're laid before him officially.
Ford Upheld in Retaining German.
Mr.. Ford's altruistlc insistence on the
retention of notably .pro-German head
or his drafting department was described
by the Attorney General as follows:
THE head Of the drafting department
AZ the Ford Compa ny's plant was OF
German birth and there were such per- |
Sistent runlors that he was pro- German !
rany thought II unsafe TO retain him |
lie had been In the employ of the COM |
psny for nine years professed to be
loyally interested In the work and the |
Dfficers referred to testified that nothing |
definite could be proved against him.
Mr.. Ford stated that at a time when |
all citizens were called to make sacri- |
does one Of German birth might do so |
by helping 10 produce motors to be used !
for his adopted and against his native |
He stated further that he had |
absolute confidence I'm this mans 10y |
,lty and in the absence of any proof Of
H.a.Is.