New-York tribune., 1920-12-02

Cranor told the committee, because Of
the refusal of the credit department Of
the Shlpping Board to approve the
financial standing of the corporation.
1t was then, he said, chat he appealed
to Sands and arranged for a credit of
Sl2o,o ,ooO at commission of 2 per cent
on the entire contract. This commits
sion, he said, amounted to 5000, but
was reduced to $4,000. Sands fur
nIshed the credit. Cranor said, and the
Providence Engineering Corporation
was awarded the contract for ten steel
tugs at $2S5,00 each.
Asked directly by Mr. Walsh whether
he had ever participated in a bribe with
Mr. Boiling, Sands and Mr.. Sisler, Cra-
nor rep! ed with an emphatic "No!"
He said he did not meet Boiling until
after the contract had been let. He
said he might have met him at the
home of Mr.. Bolling's father, where.
Cranor said, he had been visitor at
times for more than thirty years
Cranor also denied meeting Mr.. Sis
l.r until after the contract to the
Provldssce Engineering Corporation
had been granted.
COVERED With Tweedale
He testified that last Friday night he
the Shipping Board, and T. E. New. Mr..
Tweedale's assistant. and that together
they went over what had transpired
during the period of negotiations and
granting of the contract Cranor's
testimony on this point corroborated
that of Mr.. New and Mr.. Twecdale the
day before. He said he knew nothing
of the circumstances surrounding
Sands's Indictment for violation of the
banking laws.
Pressed on the point, Cranor said he
did not think that q $40, 900 commission.
on q $125.000 credit was exorbitant
where q contract for S2S50,OOO was at
stake. He said the payment of $4,000
commission was about as we'll as he
could have done anywhere. He also
SAID he never paid or offered to pay
for any contract, and that no firms,
especially of old standing, had any
trouble in obtaining contracts during
the war, because the government was
anxious to grant contracts to speed up
the ship construction program.
Cranor testified he knew of no rea-
son that might have induced Sands to
make his charge. He said he first
heard of the Sands charge a week ago
Sunday, when he read of it in the
morning papers. He denied he ever
had been interrogated on it by the De-
partment of Justice or any other gov
ernment agencies. Similar testimony
on this point was gi:en by Mr.. Sisler
With regard to himself.
Downey Kicked at $4,000 Charge
DO you understand" asked Repre-
sentative Kelley, "that it was custom
ary for banks during the war to charge
40 per cent on loans"
NO." answered Cranor, "but after
twenty-five years experience with
bankers and banks I know that they
charge all they can get, and the greater
the necessity the more they charge.
Downey kicked like the devil about the
charge of $4,000, but he probably
thought it was as good as he could do
in New York, else he would not have
gone through with it."
Liquor was >mentioned several times
by the witness. Asked whether the
Downey company provided him with
"an entertainment fund" Cranor said :
NO. l had no entertainment fund.
| had no entertaining to do, except
when some of you good looking Con-
gressmen came over to have a drink"
Mr.. Sisler, testifying regarding the
premium paid for the Downey credit,
said he did not believe it excessive
under the circumstances.
DO you recall Boiling ever having
telephoned you about bending rolls for
Downey?" asked Mr.. Walsh.
Il have no distinct recollection" re-
piled Mr.. Sisler. He may have tele-
phoned my Office. It's quite probable
that he did. But have no recolec-
ton. | would take Mr.. Bolling's word
on this or any other matter"
did he frequently call you or see
you about having something done to
assist building corporations ?" asked
Mr.. Walsh
II would say very infrequently," re-
piled the witness.
There is no reason why you should
have made memorandum of Mr.. Boil
ing having called you on the Downey
case?" asked the chairman.
None whatever" said Mr.. Sisler.