The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-11-10
nichard.on re,I. petall..

What was regarded as the 2 ost npor-
tant testimony was given b. Mr.. Rica-
ardson. Until September l he was a
member Of the Shipping Boards buresu
OF investigation. He personally investi-
aatcd many OF The instances Of waste and
fraud which he cited. ard was ready
v'i.h names. dates and figures 70 substaii-
tiate ever: one OF his charges.
Tho report. w.,lca was nirda 'hc base
of tlis testimony. tolls og tho dificI':'es
under which tie Shipping Board and 'te
Emergency Flee Corporation wo.l.ed 81
their efforts TO b';ild anl operate e .ar.ys
feet Of vessels. More reccntly. IL wss
declared. the futnity OF establishing a
new American merchant marine with thii
feeble nucleus had boon clearly shown.
Mr.. Richardson told the committee, q
prove that the board has been over
charged. that a number OF especiaIi
narrsnt examples existed in Now Yori
Norfolk Charleston and Jacksonvill
He told Of one instance where tho boar
was charged s70s for replacing n dar
aged port light. when the usual char
was -.
In other cases. Mr.. Richardson ea
skilled u1echanics wages were paid y
inexperienced helpers ard negro iai
In Savannah. he said. the Shipr
Board paid from 30 cents 10 t1.20
hour for white labor when tho
showed that the contractor was emp.
ing negro labor ~ en- average cos.
% 20 40 oents an hour. He said snat "a
tho Savannah caro- the auditor OF ths
shipping Board refused 20 approve 81
charge and the contractor prompt
won, 20 tho boards district once ~ so
folk and hnd tho bill audi,ed there.
20 Per Cent. for Doing Nothing.
Another common practice. according ~
Mr. Richardson's testimony. IN for
favored shipyard 20 receive a contra
for repairs and 10 subist II. taking =
per cent. profit. but doing no work
Mr.. Richardson said tha: in each s
stance cited ha had documentary pro
which he could produce when called
upon. lie testified that efforts 20 cor
rupt employees Of the Shipping Board
are common. taking various forms.
sometimes us an attempt TO Influence a.
auditor. checker on tinexccpcr b. o.
outright hribe, sometimes By gifts Of
shares of stock in the contracting coz
cern and again BY promises Of bst;or
positions. whiskey mas proven potent
brlbe since prohibition went into eirocs.
he said.
As an instance or tho enormous losses
,ire 20 delays and demurrage charges,
Mr.. Richardson cited the cas- OF the
steamship Cherokee. which out Into
Jacksonvllle. Fla. for some repairs. AL
these repairs could have been made at
tho dock while the ship was loading. he
said. yet Il was proposed by the local
shipping Board representative 70 put
The ship in dry dock for eight days. He
placed the blame for this condition upon
the failure Of tho representatives. OF the
construction department TO cooperate
with the operating department.
Aside from the losses due 20 delay
smother prolific source ot waste, NJ.
richardson said. is due 20 the fact thar
bidding fo- repeir contracts is not al.
Ways competitive.
he gave on ius.ence % where tie
repair men met out side the Office OF the
Shippins Eoard and proceeded 70 arr
range their bids 50 that tho worS would
70 divided among them. Mr.. Richardson
suggested tho establishment 81 fres
and open competition among bidders az
Tho cure of losses frori this source.
H.Yer.-0terc lXccrt or -