The sun., 1919-05-19
LINDSLEY, WAR
RISK BUREAUS
CHIEF, OUSTED
Removed After He Charged
Glass With Responsibility
for Inefficiency.
RIG SHAKEUP AT HAND
Director Complained Of Red
Tape That Threatened
Distress to Millions.
Special Despatch 10 THn suS.

Special Despatch TO TIE SUI.
WASHINGTON, May 1s.-Coi. Henry
.. Lindsey. head Of the War Insur-
snce Bureau Of the, Treasury, has re-
signed, to take effect at once. His
resignation was asked by Secretary of
the Treasury Glass following an ex-
change of correspondence in which
Col Lindsey charged ineftlciency in
the Treasury Department for which
the Secretary was responsible.
He declared the work OF his bureau
was unbearably hampered and re-
,arded by Mr.. Glass and his system.
Following his resignation Col. Linds-
ley made public the correspondence,
which, among other things. is O force
I'll indictmen: OF Government red
tape"
Co, Lindsey. who comes from Dali
las, Tex. had been head Of the War
Rish Bureau only few months. In
that time ho had brought the bureau
from a state of chaos to operating
>cic:ency. He is a wealthy banker and
or insurance man OF national reputa-
ton, He organized the soldiers and
sailors Insurance and allotment and
allowance work in Europe during the
war while he was In the army.
After no armistlca was signed Secre-
hry Mc.iGoo persuaded Col. Lindsey to
t>:s charge Of the bureau to reorsanize
Il ard oriIE 1t 10 a state OF efficiency.
A. the :4n.e IL was source Of wido-
spcNad complain. and was In public dis
hA
cooperation and complete authority. Be-
fore the appointment was made Carter
Clam became Secretary OF the Treasury.
He renewed MGAioo's request and as
tu-a0ces and Col. Lindsey was his first
appointee when the new Secretary had
axea once
On Verge of breakdown.
Now, Col. Lindsey declares, he finds
that as rule communications from the
Treasury to him are negative, or de-
siructive. requesting minute details,
postponing final action and requiring the
time Of the director and his stan on
purely minor matters. This condition,
the retiring director said. led him to the
conclusion that the bureau was on the
verge OF breakdown and failure which
would be disgrace to the administra-
don and the cause Of physical distress
to millions Of American homea
Expression OF these views to, the Sec
retary preceded the call for the dIrec-
tors resignation.
The resignation OF the director was
followed by that Of Dudley s. Gates OF
Caifornia, head of the allotment and
anowance, the accounting and record
DIVISIONS. He was appointed by Col.
Lindsey when Mr.. Gates retired as see
retary OF the capital issues committee
Q, the Treasury. ar. Gates Ia a San
Francisco banker. Other designations
are expected on Col. Lindsley's per-
sonai stan They include Capt ]. W.
Barton, head OF the compensation d.
vision and former assistant to the d.
rector in Europe: Major N. c. Darling
o. New York city. dirct assistant to the
director without portfolio; G. H. Kenny,
New York city, head of administration
and personnel. and L. o. Fisher, New
YORK city, insurance man. head of the
insurance division. Like Col. Lindsey,
all OF them are in the Government SER
wee at personal sacrifice.
II was the interminable routine and
DELAY on even petty matters, It was de.
;ared to-day, that nally brought Col.
IAndsley 20 the breaking point One
PERSONAL change among fourteen thou
''N '''PlpH II was SalU. alter going
al through the War Risk Bureau, went
10 the private secretary to Assistant Sec
retary OF the Treasury Shouse, who
lSssed on 1t and turned IL to the appoint
iNent clerk of the Treasury, despite the
tact that it had been through the ap-
continent office OF the bureau.
Presentations of Charge.
Then ordinary routine would send Il
PACK 10 the private secretary and to the
assistant Secretary, who would then
sA"e II 10 the department chief clerk to
" Nsed, 1t would return again to the
/ private secretary, to the Assistant Sec
ietarE' who would then hand II to his
eHIet 10 Dc passed on. Then back again
- would come to the private secretary
VINO TOOK Il to the assistant to the Sec
re,aF!' who would pass on It and take
~, 70 ms chief who would pass on it and
axe " to the private secretary to the
secretary and. after that, It would
Ieach Secretary Glass. II II was held UP
shy along the line" II had to start all
over again. Other administrative de-
ANS It was declared, went the same
way and, II there was any question on
mem Il had to be taken up with the
ureetor' who was distracted from i'm
portant work.
,c. Lindsey issued the following
nation:
That I no longer enjoy the conf
1ehce OF tn esecretary OF the Treas
-! matter OF little concern 70 me
SSeIsonally' especially in view OF the
ulreau record during the i've months
s"nce became It's director. which shows
growing confidence on the part of the
'VhAc IT. It's work.
considering the terms under which
ecepted the appointment my reagna -.
soh mas in effect been always In the
seeIe'ar5 hands. for made II an ex-
S condition to my undertaking the
sN mat | should have the authority
,,SUnfhenslrate with the responsibility
la was placed upon mo. When It be-
apparent that the Secretary was
~ "Iing up to his undertaking and
,. s' delay and inaCtIon on vital mat
a IN The Treasury Department threat
el The very life OF the bureau. I
We ned It my duty TO point To him fully
a"u frankly the conditions which were
vppI.hg the work and to offer sug-
l 'sohs for immediate Improvement
my letter to the Secretary of April
oppressed in terms that ! desired
uIa DC uTmistskable. could only be
Uued as fiat tender OF my resig-
oh' The conditions I complained of
Nv corrected 1t was suggested to me
~ assistant Secretary Shouse. when
tetter reached his hands and before
reached the Secretary's, that II might
80 's"en as personal affront, but mas
..ach as had prepared the letter only
IN me most mature consideration and
20 hA hall ~. Al a.