Evening star., 1918-02-19
E|SENMAN STATUS
STILL IS MYSTERY
Statementsb y War Secretary
and Council of National
Defense Differ.
LETTER BY GEN. GOETHALS S

Inc Status OF CnafleS u. ElSenman
of Cleveland in relation to the govern
ment became more of mystery than
ever today.
Upon the heels of letter written by
Secretary Of War Baker to Senator
Charles McKellar of Tennessee, stating
that Mr.. Eisenman had no connection
with the War Department, the Council
of National Defense nor with any
branch of the government, Julius Ro-
|senwald, chairman of the supplies sec
ton of the council. today authorized
the statement that Mr.. Eisenman still
is vice chairman of his committee.
Officials of the council. it was un-
derstood. were in touch with Secretary
Bakers office today. seeking to inform
him of this fact. 1t was stated at the
council that because of Secretary
Bakers recent absence from the city
it had not been possible to bring to his
attention the fact that Mr.. Eisenman
still is serving on the councils COM
mittee.
Mr.. Eiseman's status was asked for
by members of Congress in connection
with the inquiry into the reasons for
the discharge of Capt. Arthur A. Pere-
less, who divulged the operation of the
base sorting plant in New York before
the Senate military affairs committee
War Departments suppy contracts it
had been charged that a brother of a
member of the committee on which Mr.
Eisenman served had obtained, with
others. monopoly on the rag sorting
business for the government at ex-
orbitant prices.
Gen. Goethals Quoted.
The council further came to he de-
hx- ryiNriv,
letter written him by Gen. Goethals,
under date of January "a, which said:
when 1 asked you to accompany me
to the base sorting plant in New York
on Saturday last it was with the desire
of getting at the facts in the situation
plished with you present. 1 must con-
fess that the information l had con-
cerninS this establishment gave me
a strong impression that it was moth
ing short of a profiteering scheme, and
that. while you were not directly con-
nected with it, you were responsible
for its establishment. From the general
trend of talk 1 heard outside. / gather
ed that this same impression had taken
hold elsewhere.
THE result of the investigation on
Saturday showed how erroneous my in
formation was, and, consequently, the
conclusion that l had reached, and I
feel sure that Others who hold the
same opinions that 7 did would expert
ence a similar qualification to mine
upon fearninEeztlle true situation.
Some basis for contract had to be
adopted, and I believe that the one
selected was an equitable one at the
time the contract was drawn. The
sense of fairness of the parties to the
contract was clearly displayed in No
vember when. based on better
knowledge of the costs-developed
through Supplementary proposed a
change, and then again early in De-
cember. when they offered to eliminate
all profits. An examination of the ac-
counts has unquestionably shown that
no benefits have resulted to any of the
individuals concerned. either directly
or Indirectly; that their motives and
intent were clearly patriotic, and that
they handled the business efficiently
and economically.
1T gives me pleasure to tell you Of
my qualification at the results disclosed
by the investigation and the complete
reversal of my original impression.
now know that the government has ma
terially benefited through your fore
sight, and that nothing but praise is
due you for the work which you have
done in this instance"
Reports Declared Untrue.
At the office of the quartermaster gem
eral today it was stated that reports
that Mr.. Eisenman had been serving there
were untrue. and that it was not contem-
plated that he would be asked to do So
In the statement authorized by Mr..
Rosenwald today it was held that Mr.
Eisenman is absent from the city on
leave; that he was appointed as vice
chairman of the committee by Mr.
Rosenwald. and that his resignation
would have to be approved BY the COM
mittee chairman before his connection