New-York tribune., 1920-11-21

without NiS approval. MI N.> N ''. .'l' S''''. 3
also that shortly after chat he learned
n Washington that tour notes totalling
$4,000 had passed through the hands
Of Tucker s. Sands then cashier OF the
Commcwial National BANK
These notes. Sands later testified,
constituted the graft payment IN Ques-
sion. Mr. NcCaun added that ne called
m Sands May .. l"@o, the VISIT result
;nc in the vrcpAration OF the All daVIt
smbodvjng tire charges, Sands making
rertsin corrections IN the DOCUMENT.
sands, Mr.. McCarn testified, also Dc
~trovs.i She original after ne had re-
.ussS 20 sign H. The pnotoStANc copy
u the affidavit. NJ. NcCa testified
was male by Thomas j. NcehAn. deputy
chief q the Bureau Of Investigation OF
.he ShivpiNr Roard.
Mr.. NcCarn testified that Sands ad-
riteed Il, hm that TIE aforementioned
notes we're made by tn. Downey Com
parv. passed through Inc Tacoma Park
Bank AZ Washington. y. c. the Han
over National Bank Of New York and
he Corn Exchange National RanN OF
New York. being rNallY charged 20 the
Downey account. and that the proceeds
we're divided among the four men men
tioned.
Mr' Fisher in corrobor.,ting Mr.. Me-
Csnn's testimony, said that he had
,btained aiTaavlts from the Hanover
National and Corn Exchange National
BANKS showing the clearance of tho
notes. My. tNSher also quoted Ny. SIS
,er as SayinS, when the matter was
brought 70 bis attention by Mr.. Fisher.
shat the story WAS a dastaINly untruth.
Benson Refused TO Consider Charges
Nr. Fisher sst taa. he brought the
matter 10 the at.eNtlon OF Admiral Ben
son, and that the admiral refused to
consider tine ch.-'Ges in the absence OF
more substantial proof.
Mr.. Mccain tezt'fed that he first
learned Of the existence of INC notes
from, Frank Fuller. who was identified
by MIR. Sands later IN the da q the
president Of the Columbia Hotel Sup
ply Company, One II Armour's COM
nanies in Washington. Mr.. Fuller,
Mr.. McCarn said, also told him OF
Sands's connection With the notes. 1t
Mr.. Scnwartzkont called u9on Sands
and confronted him with the informa-
t;on thcv had obtained. Sands, Mr. Nc
Cann sa d, exclaimed.
My God, is tAat coming out now?
Look al the people iuvolved!
Later, Mr. McCann said, Sands de-
clared t.s would like to save MF. Boiling
because OF his Friendship for him and
me fact that they had been nelshbors.
occupvine apartments close TO each
other at the Hotel willard ii Wash
Sands was called to the stand after
short conference by the members
OF the com.mlt5ee.
Testimony of Sands
Sandss testimony ss contained in
questions by Chairman Walsh and his
replies. IN part, follows:
The Chairman you recall having
conferred wi.h Mr Mccain and NJ
SchwarzkcDf with reference to certain
transactions relating TO the NowNey
Shipbuilding Company and certain
notes?
Mr.. Sards-Yes. SIR
The Chairra,-WiNy you look az that
photostat copy lhanding witness paper)
and state whether or rot that appears
% be photograph of form of aifi-
davi1 which Wa presented to You for
Mr. Sands Yes, sir
The Chairman-W " hen first did You
meet Mr.. McCann or Nr. Schwarzkopfs .
Mr.. SarNls-l 'NiAk it was last MAY.
ne data 81 this. 1t was about May.
1890.
The Ci,airman--Did YOU give them
the inform alton contained in this docu-
- Ir. Sand Yes, sir
The Cha uman-Cf which this Is q
copy?
!. over recently. and some o. the facts
may be just little different | have
not read IL ovVr since.
Tells of Ship Promoter
The Chairran--l wish you would
.ook a. tAat 4a5 :ake tine u read it
over. and STATE 70 te,her these insertions
n writing are IN Year handwriting. and
whether that Is p copy OF thc document
nat was prepared i0r Eour guaturc
Mr sands tafter examining paper )-
The Chcirman That is the document
3 t?
NJ. SANS Yes. sir
The witness tnen admitted success
sively his .c.9a l.,ance r. tn Jonu
Cranor. FraT'5 rul4er. William Muc-
tagh NJ. N.lsntf, Lester slsler ane
r. Wilmer Boiling Ha a'so said tnat
ae gave EcCa,D and hwastzoo3f The
.nformaton en- which The Indictment
as subsequent g drawn
The Chair.nau Are you willing K
state here now. on Eeur oatn, fn@t ~
statements con-a, ret n tN's photoS14
copy OF the a.iidavl' which wos nre
sentad 10 vou for lguat1re are rue?
II. Sau-s IS. with ore tnlng tnA
you'd haN~ 70 ioss l~, a,sd teat Ii
Whether J pa.d NJ Bo.3ns any o. tn'
proceeds of these notes.
The Cnalrnau- Dent yor SNOW yol
aever paid aiIa & cenlo
Nr. Sands cont recall that J. di'
pay him on tx deal, i don't think
did
The Chairman Did you ever hav
any tax WITH hini abou. the pay1nol4
y the proceeds of these uotcer
NJ 7Ci11 -n'. slf-
The Cha'rman p.d you ever hav
any tai. Y9I-h anybody entering INTO ii
a9ranYc whereby i.e ras 20 l>.ceit
the pfoc eds of any Of these notes
Mr Sands-Do you mean did tai
70 nim
The Chairman -Or al. 9ody repre-
sen,ing hlr2
Nr sanis-I talked 20 him in tn
frst instance.
The Chairman When was .nlte
Mr Sand We'll. i was about tho
think IT must nave been about MAJ
1917 -sore.ning Ike that. cannc
recall the dates.
Contract Was Discussed
The Chairman-Ara where was ths
ak had
NJ Sands IN my rooms a .ae vi