Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1918-12-14
Vdrddmdn Again \
Hits Hog Island
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Continued from Page One
the construction of the plant had not
proceeded very far. however. before It
was determined by the corporation.
which we are told was organized for pa
triotic purposes, that the building might
be facilitated by subletting contracts at
fixed fee of 5 per cent upon the esti-
mated cost of the work.
Contractors Held Stock"
Some OF the contractors, 1t appeared
from the testimony. had stock in the
parent corporation with which the Gov
crnment contracted to build the plant
without fees. Every one knows who has
paid any attention TO the investigation
of this enterprise that IN the beginning
of the building of the plant the grossest
extravaganza in the payment of wages
the most glaring Incompetence was
shown in the purchase of material and
in the general management OF the COM
pany. Every man called to the service
Of this corporation had his wages dou-
bled. and in some instances quadrupled
THE head man CMr Goodenough)
who had been the directing head or the
contracting firm of Stone & webster,
who received from Stone webster
1000 per year while serving tnem,
was put at the head of the shipoulld'hs
corporation with a salary OF s2J'uoo per
wear, For everything that was done OF
a similar nature. the United states toN-
ernment was charged accordingly .
"It will also be remembered tiat
when this corporation undertook the
construction of the Hog Island shipping
pIant. It tried to induce the Government
to fix it's commission for'the work II was
to perform at 10 pc rcent. but IL was
finally forced down to, ] think, per
cent.
when asked by members OF the com
mittee to state what the construc''ns
corporation had done or was 10 no "
Justify it in asking the Government 10
nav /, 4 per cent on the ships to be
built in the Hog Island yard We were
told that Il was the know how which
they We're furnishing the Government.
Robbery Of Public Treasury
Il want the United states Government
to deal fairly and justly with its citizens
but think that every collar the Gov
ernment pays to this corporation as com
mission on ships built by tine shipbui!d-
ing plant at Hog Island, will be nothing
less than robbery of the public treasury
II was about 10 overlook the fact that
the plant which these patriots for pelt
were to construct AT an estimated COST
of $21. 900, 900. | am told has cost over
$50. .OOO. 900. and think it has completed
but one ship.
Senator Fletcher. chairman of the
Commerce Committee which conducted
rhe Hog Island investigation for the
Seatc. came to the defense of Hog island.
This made matters worse. as Senator
Johnson then interrupted to deliver a
vigorous denunciation of the whole Hog
Island scheme.
We must purchase the Hog Island
plant" said Senator Fletcher. The
Government has already spent S6o.oo.o-
OGO there. A mistake was made in the
first place in putting fifty ways there
Ttey should have built a yard with ten
or twenty ways, which is large enough
to be located In any one community. This
is the largest yard in all the world and
It's too big"
Senator johnson then launched into
his denunciation of the whole develop
ment at Hog Island
First this mode of construction
should never have been adopted he said.
at allowed number of private indi-
vduas to dip their fingers into the
United States Treasury and spend the
money az they desired.
Second, the ships have not been built
as promised or contracted for.
Third, there was profiteering on the
purchase of the Hog Island site. The
fact Is that Sl.SOO.000 was paid for 1t.
when there was an option OF 100000
on file for II.
Fourth. 1t was estimated the yard
could be built for $2l 100000 and we
have expended s6O,OO0.00O.
Fifth. We were eXpending money for
the know how We proved at the hear
ings that the contractors got a profit for
the know how that the subcontractors
got profit for the know how and
passed the work along to another con-
tractor, who also got paid by the Gov
ernment for the know how
IF the admiral who designated the
Senator as being a liar is now an officer
of the navy he should be court-mar-
tailed"