The New York herald., 1920-12-02
MERCHANT MARINE
VICTIM OF APL0T,
DENMAN CHARGES
First Chairman OF Board
Says Rival Interests
Forced Changes.
PROMISES THE PROOF
Declares e. s. Vessels Now
Are at the Mercy of For
eign Countries.
GAVE LIQUOR TO BOILING
John Cranor Denies Part of
Testimony of Wilson's Bro
ther-in-Law at Hearing.
GAVE LIQUOR TO BOILING

Charges that interests inimical to
an American merchant marine caused
the abandonment early in 1917 of the
construction of a type of vessel which
would have made American shipping
independent of the rest of the world
We're made yesterday before the Walsh
committee by William II. Denman.
who was the first chairman of the
United States Shipping Board, and
whose views on ship construction in
volved him in what was known as the
wooden ship controversy" with Gen.
George w. Goethals.
Mr.. Denman is connected with
shipping company in San Francisco
and appeared before the committee
Just before his departure for the Pa
cific coast. He gave brief outline OF
the charges, declaring that he could
furnish proof and elaboration later
Representatives Joseph Walsh of Mas
sachusetts and Patrick H. Kelley Of
Michigan, the only two members OF
the House Committee on Shipping
Board operations who have attended
the hearings in the last week, lert
Yesterday afternoon for Washington.
There was no disagreement with Gen.
Goethals, Mr.. Denman said, over the
building of wooden ships, which were re-
garded as being useful chiefly as auxili-
aries to the steel ships. The trouble
arose he said, over certain features or
construction, especially the placing OF
Diesel engine in the ships. This engine,
he said, would have made the Shipping
Board vessels absolutely independent OF
foreign bunkering stations. A snip
equipped with the Diesel engine, he de-
clared. could travel all the way around
the world without taking on additional
oil.
Corroborates Boiling Testimony.
He said that the Shipping Board ves-
sells are at the mercy of foreign coun-
tries, particularly Great Britain, and that
shippers of this country cannot even map
out their own trade ,outes because of the
lack OF bunkernS facilities. Mr.. Denman
sa d that his insistence upon the Diesel
engine led to a movement TO put him and
his associates out OF the way. This was
accomplished he said, with the result
that the shipping of the United States
had been rendered impotent.
The testimony of r. Wilmer Boiling.
treasurer of the Shipping Board and
brother -in-law of President Wilson, was
corroborated in part yesterday by John
Cranor. assistant to Wallace Downey,
president of the Downey Shipbuilding
Corporation. and the Providence En-
gineering Corporation. In one impor-
tant point, however. he fatty contra
dicted Boiling
Boiling testified Tuesday that he aided
Cranor to obtain plant machinery for
the Downey firm at the request of Tucker
X Sands, former vice-president of the
Commercial National Bank OF Washing.
ton, d. c.. and that Sands offered TO
give Boiling $1,000 of his fee When he
refused TO accept this commission. Boil
ing tesuIned, Sands insisted on paying
$500 which Boiling said was still due on
house which he had built for Sands.
When Cranor took the stand yesterday
morning he denief that he ever had
applied to Sands or Boiling for aid in
connection with getting shipbuilding
machinery He denied the allegations
made by Sands that he got part. of the
$4,000 which Wallace Downey paid to
Sands. Cranor said the $4,000 was
Sands's commission for arranging q
lire OF credit of $125,0oo for the Provi-
dence Engineering Corporation to aid II
In obtaining a contract with the Ship
ping Board for the construction of some
tugboats. Cranor said that, though
Downey Kicked like the devil" at pay
ing $4,000, he did not think the amour,
excessive when the size OF the contract
was considered. The contract called for
50, 900.
Aettyfttes as n Iohbysst