New-York tribune., 1919-05-20
Col. Il. c. Cholmeley-Jones
s Succeeds LindsIey; For
! merly Was Chief of Bu-
j reau Operating Oversea
a. --------------------
Senate Inquiry Pending
a |
Retiring Official Issues
Statement in Answer to
Charges Made by Glass
Ncm York T'a1bune
WOshinOtQn Bureau

Washington Bureau
WASHINGTON, May 19.-Following
Colonel Henry d. Lindsley's resigna-
ton as Director of the War Risk In
.surance Bureau there were additional
developments to-day:
Secretary of the Treasury Glass
announced the appointment of Colo
mel r. G. ClolmeleyJones, of New
York, to the vacant post.
Secretary Glass received the resig
nations of Colonel Lindsley's five as
sistant directors.
Representative Fred A. Britton Of
Illinois, issued statement cham
pioning Colonel Lindsey and an
nouncing that a bill was being pre-
pared for the peace-time organiza-
tion of the bureau.
Colonel Lindsey made brief re-
ply to Carter Glass's comment on his
Z resignation.
An early beginning Of the War
! Risk Bureau investigation by the
;. Senate Military Affairs Committee
was indicated by the fact that Colo
mel Lindsey was notified by q Re-
. publican member to hold himself in
readiness to testify.
Colonel Cholmerey-Jo succeeded
Colonel Lindsey as chief of the War
Risk section of the A. E. F. when the
latter returned from France. He was
offered the position of assistant di-
rector some time ago, but declined 1T.
He took up the duties Of the Office this
morning, his first step being a con-
ference with the assistant directors
and division chiefs.
1t is understood that Secretary Glass
regards the designations Of the as
sstant directors as perfunctory and
will not accept them, except upon in
sistence. Dudley Cates's resignation,
however, is known to be final and also
that Of Major Barton, the latter be-
ing close personal friend Of Colonel
Lindsey.
Representative Britten's bill will
provide for the separation of the Bu-
reau of War Risk Insurance from the
Treasury Department.. This is in line
with Colonel Lindsley's views, as he
holds that the bureau is too large and
important to be q mere administrative
adjunct of department. 1t is larger
than all the rest of the Treasury De
partment.
In this connection it is pointed out
that the war risk is the only one of the
great war administrative agencies that
was not given q separate status and the
corresponding degree of authority and
independence. While the chiefs Of the
other emergency agencies had free
hand, the Director of War Risk is under
an Assistant Secretary of the Treasury
who reviews the formers proposals ant
passes them on to the Secretary.
Effect of "Shake-up" Feared
Concern is expressed in some quar-
ters that the "shake-up" in the Wal
Risk Bureau may have an untowart
effect on the millions of persons hav
ing financial relations with the bureau
to the insurance feature. The grea
problem in that regard is how to reacl
the demobilized and demobilizing sol
diers and persuade them to keep thei
insurance, which is now actually lapsin
by billions.
Term insurance policies were issue
to 4,250,000 men for more tina
$4,000, 100000 of insurance, which
considerably more than all the othe
life insurance carried by all the peopl
of the United States. Taking into az
count the 10000 persons who are rt
eeiving compensation, the million
who have received departments allot
ments, the thousands applying for con
pensation and those who are intimatel
associated with them, it is estimate
that not less than 10000 900 people al
intimately concerned in the bureau
affairs and management.