The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1920-11-13
Benson and SchWab
j.. ...>@r@ May Face Quiz
Additional Evidence of Alleged
Mismanagement Revealed
Favoritism is Charged

New York, Nov. 10.--Aditional evil
dence of alleged Irregularities aud
mismanagement in the affairs OF the
United States Shipping Board were in
troduced here today before tho con-
sressional committee investigating the
aiairs or the board by j. + Richard
son, assistant secretary OF statistician
OF. the committees in concluding his
direct testimony. The Investigation is
pased largely upon, q report submitted
by'Mr. Richardson and 4. M. Fisher.
secretary and statistician Of the COM
mittee, after a years work. s,,5.S j.
At the conclusion of today's session
chairman Walsh announced that Com.
mander A. 3. Clements, executive as-
sistant to Admiral Benson. chairman
or the Shipping Board, would be a.
witness tomorrow morning. Chair
man Walsh read a telegram from Ad-
mlral Benson, which stated that the
board would not object to Command
er Clements testifying, and that "the
records. officers and employees OF the
board were at the disposal Of the COM
mittee at any time or place the COM
mittee desired" '.s,,
Chairman Walsh said Admiral Ben
son and other officials of the board as
well as Charles M. Schwab and, -.
Plez. former heads Of the Emergency,
.rleet corporation, may be asked to ap-
pear before the committee. The hear
ings will be continued in New York
for two weeks and then il II is likely,
said Chairman Walsh. that the com
m'ttee will go TO Philadelphia and
"A sh IN prfC NJ IN,
. Cross by Representa-
tive Henry j. Steele, OF Mr.. Richard
son, took, up a considerable part OF
he afternoon session Characterizing
the witness previous testimony as a
general Indictment" Mr.. Steele
sought to bring out specific instances
OF alleged political influence" favor
itism. otc.
The witness prefaced his reply to
the first question asked with the state
mcnt that his report did not seek TO
prove any illegal act on the part Of
any person.
The purpose Of our criticism" he
said, lis, we hope, to bring out exist
ing conditions so that they may be
rectified by the Shipping Board itself.
l want to give full credit to the board
for It's achievements. 1t had gigan-
tic task--one Of the greatest ever met
by men"
Answering questions as to specific
instances of allesed political influence,
he recited that he had been informed
= shipbuildinE firm in Texas had
threatened" to appeal to a senator
from that state to bring about what
was claimed by the company to be a
delay in settlement Of an account
He added that he had no knowledge
as TO what, IL anything, the Senator
did 49,
The witness also brought out in his
testimony incidents of what he termed
carelessness i'm the handling and pre-
serving OF Shipping Board records. In
one of the southern districts, he said
desks and file cabinets were disposed
or without their contents being re-
moved, records being scattered and
many Of them destroyed.
lie also charged sales OF material
mad been mado without proper inven-
tory. Regarding amor izing Of
plants he said he had found instances,
"here there were many thousands Of
collars difference between accounts
tehdered to the Shipping Board and
those rendered to private or municipal
oodies OF the same properties.
Ihe sale of Liberty bonds also came
INTO the testimony Of Mr.. Richardson.
onas were bought. ne said. by some
vi the companies with advance funds
ana afterwards sold at discount.
operators who run their own vessels
IN addltion to ships OF the board, said
Mr' Richardson, usually sent the gov
erhinent ships on the least favorable
routes They feel confident, he added,
that although the government shared
in the profits it was required to pay
all the losses.