Grand Forks herald., 1919-12-16
US. INTER Is
NOT i PROTECTED !, / ! ] J ! ! ! III; J
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SAYS I s ! GRAHAM !: | :! 4
Declares Government ! Has
Been Deprived Of. Large
Sums of Money. ..--....s

Washington, Dec. 16.-Representa-
tive Graham, 4 republican, Illinois,
chairman of the select committee in
vestigating expenditures !. by. the war
department, in a speech today in the
house. reiterated chafgesshe made re-
Gently that interests OF the government
in many war claim settlements have
not been sufficiently. guarded, adding
that ''in many casess the government
has been deprived of large sums Of
titled" .s lss,,,ss "a
Large sums have been allowed con-
tractors through unfair salvage val
ues for raw materials and government
officials, charged with the responsible,
ity of adjusting claims, have not ex-
ercised sufficient vigilance in protect
ing government interests. Mr.. Graham
charged. He urged submission Of all
claims settled or pending with the war
department to an impartial board for
review and final settlement. &sN.
Fifty per cent OF "informal con-
tracts" suspended by the armistice
have been adjusted with damages to
the war department. Representative
Graham continued.
Lost Big Sum-.
On the settlement of the American
Can company's contract, the speaker
said, "the government lost fully IL
per cent on sS6T,732. the cost Of tin
plate, or $147,514 more than it should
have lost"
Representative Graham attacked
the method ofssale by the war depart
ment Of 100 100000 pounds Of surplus
copper held when the armistice was
oiOno6 4
were paid large sums in excess of cor
rect amounts due for government cop
per during the war;.
1T appears that the producers in
the sale of their product through the
| United Metals company. secured great
and substantial profits and in the pur-
chase of the surplus copper from the
government through this same single
agency, gained control Of the market
and made substantial profits upon the
same a second time. The copper pro-
ducers were by combinations agreed
to by the government enabled to Sc
cure large profits which they other
i wise would not have secured. The
government also made it possible for
certain copper producers to- maintain
and largely increase the price of cop
! per to the public since the signing OF
| the armistice by d4sposing OF its sur
! plNs TO- a combination OF such pro.
ducers" s
I Settlement Is Unjust. @
/ Settlement OF the claim Of the
standard Steel Car company, sMr. Gra-
ham also ciafg4A waxsSnade without
LaAandit andsappl ~. .2ops sool
was paid to TIM @eliimAntt ton the fina'
settlement. {. ~: ='s X
1.-THE committee is convinced" !" he
continued, that the alleged settlement
Is unjust and unfair to the govern
ment and that in its making the in.
terest of the government have not
been properly defended. That it is also
tinctured with fraud there can be lit.
tie doubt. That large amounts Of prop.
erty. have been disposed of in this set
tlement which the government should
! have retained, is also obvious. 1t Ii
! equally as apparent that certain of.
fcers and agents Of the United States
who were charged with direct respon.
sibility in the matter, failed to do the
things they should, have done to pro-
tect the interests Of the government
or connived and confederated with the
claimant, or were so careless Of theii
duties as to call for the most severe
criticism.