Bisbee daily review., 1918-11-01
HUGHES TELLS OF HIS FINDINGS IN
 AIR PROGRAM
Former Republican Candidate for President, Appointed by Wilson to Probe Situation, Renders Report
tBy Review -,eased yvire)

dWdlleu report On Jne dlTCTdIl l0NeS- tigation, conducted during the last five months by Charles E. Hughes, and Attorney General Gregory was placed before President Wilson today and made public
 Delays and wastes of the production program, the report declares, were due chiefly to defective organization of the work of aircraft production and the serious lack of competent direc- tion of that work by the responsible officers of the signal corps"
 No fault is found with the manage ment of aircrawt affairs since the re- organization of last May which placed John D. Ryan in charge. The civilian personnel of the aircraft production board is exonerated of wrong doing.
 Attorney General Gregory, in let ter transmitting the report to Presi- dent Wilson says he is in substantial accord" with the findings by MT. Hughes.
 The report finds no graft" in the generally accepted sense, but makes recommendations for proceedings against army officers held guilty Of dealing with corporations in which they were interested.
 The chief waste from the original appropriation of S691, 1851, ,S66 the re- port says was in the abandonment of two types of airplanes-one of them the Bristol-and failure to salvage, az gregating about S24,000,000. Figures show that last May S1S4,000,00O of that great appropriation had been dis bursed and up to October 1, the ex-. penjiture had reached about S140,000,- 900 for all aviation purposes. This did not include expenditures of the sales department which buys material and resells it to manufacturers and for advances for building plants. Con- tracts let, however, committed about $470, 100000 of the fund. The figures are given in answer to the general charge that the sum had all been ex- pended with practically no results.
 The attorney general concludes in his letter of transmittal that no such profits have been allowed as to justify a charge of bad faith"
 Coi E. A. Deeds, about whom ragged most of the charges which brought Oh the investigation, the report recom- mends, should be brought before a court martial for sending confidential war department information on the aircraft situation to former business associates in Dayton, Ohio, and for being sponsor last February for grossly misleading statement" to the effect that the first American built battle planes are today en route to the front in France"
 Criminal prosecutions of three army officers are recommended on the ground that they transacted business with corporations in which they were financially interested. These officers are: It Col. J. G. Vincent, forme~ vice-president of the Packard Motor Car company, now in charge of the airplane engineering division of the aircraft production bureau; It. Col. George w. Mixter, a stockholder in the Curtiss Airplane and Motor cor poration, production manager of the aircraft bureau, and Sec. It. Samuel B. Vrooman, jr., inspector of propeller lumber and stockholder in the s. B. Vrooman company of Philadelphia, which sold mahogany to the govern ment for airplanes.
 MT Hughes concluded his report with the. statement that it is not within the province of this report to make recommendations with respect to administrative policy, but it should be said that under the direction of Mir. Ryan and Mir. Potter there has been improvement in organization and pro- gross has been made in gratifying measures"
 William C.. Potter, to whom Mir. Hughes referred, is assistant director of aircraft production.
 The general conclusions and recom- mendations by Mir. Hughes follow:
 "The evidence discloses conduct, which although of a reprehensible character cannot be regarded as af- fording a sufficient basis for charges under existing statutes but there are certain acts shown, not only highly improper in themselves but of special significance, which should lead to dis ciplinary measures. The evidence with respect to Col. Edward A. Deeds should be presented to the secretary of war to the end that Colonel Deeds may be tried by court-martial under articles 95 and 96 of the articles of war for his conduct CD in acting as confidential advisor of his former business associate, H. E. Talbott of the Dayton Wright Airplane company,