The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-10-27
SHIPPING BOARD
GRAFT INVOLVES
HIGH OFFICIAL
Congress Committee Ends
Work on Report Barring
Wholesale Waste.
PUBLICATION HELD UP
To Be Kept Secret Until
After Election to Avoid
Partisan Tinge.
MILLIONS THROWN AWAY
Harding's Charge That Board
Had Ceased to Function Is
Fully Borne Out.
PUBLICATION HELD UP
MILLIONS THROWN AWAY
Special Despatch 10 THE NEw YORK HERALD.

Special Despatch 10 THE NEw YORK HERALD.
New York Herald Bureau.
Washington, ID. c.. Oct. 20. J
A sensational report showing cor
ruption. inefficiency and waste OF hum
dreds of millions of dollars by the
United States Shipping Board. and
with it documents. indicating graft
by at least one high official. has
been signed by Representative Walsh
(Mass.), chairman Of the special
House committee investigating the
Shipping Board This report is now
in the hands OF the public printer,
and one thousand copies have been
printed. They are being withheld.
however, for final review by the full
committee and will not be published
for at least a week or two.
Withholding the report, II was
stated to-day, Is not deliberate, but 1t
was pointed out that the committee
wishes to keep it from carrying any
taint OF partisanship through an
earnest desire to clean up conditions
declared TO be disgraceful.
The report covers about sixty printed
pages, but carries many and voluminous
supporting documents in which many
allegations of mismanagement and waste
and general inefiiciency are made with
regard TO nearly every branch OF the
Shipping Board, running practically from
the time OF the organization of the board
down to recent date.
The document is constructive. and
along with all OF the evils set out are
the remedies suggested by the committee.
The report. It is understood, Will be laid
before the full Merchant Marine and
Fisheries Committee OF the House jus1
as soon ar Congress meets. The Walsh
subcommittee will have a meeting in
Washington soon after the election.
Perhaps the most sensational feature
of the work of the committee is that re-
lating to allegations Of graft by high
official and one very close to the board
and It's operations. Every division OF
the organization is taken up in detail.
The operation OF division work under
the direction OF Capt. Paul Foley is
given a clean bill and commended. The
report also mas good recommendation
for the work Of Comptroller Aionzo
T,weedale. but many OF the other di-
visions are numerically raked.
The report will be made public prob
ably within the next two weeks. imme-
diately after the meeting Of the commit
tee in Washington. Meantime Il is being
closely guarded, and the Public Printer
has been asked TO hold all copies except
those given to Chairman Walsh, MEM
bers of the committee and one or two
instrumental In the work done.
One of the striking chapters of the
report and its supporting documents Is
that relating to the work of claims and
settlements. in which It is indicated
that millions OF dollars were wasted.
The report bears out In detail the
charges made by Senator Harding in his
campaign that the board had ceased to
function and that constructive work In
regard to the American merchant marine
was at n standstill.
Most OF the faults set out by the com
mittee have to do, however. with ineffl-
cheney. n1ismanagement ana waste. They
do not in n general sense involve any
dishonesty on the part OF officials OF the
board. but officials and employees are
attacked for tho methods pursued in
handling Government work and Govern
ment money.