New-York tribune., 1920-02-04
6 New Workers
Got Big Fees
For w ar Work
What Relation Is Between
Cleaning Streets and Con-
structing Large Plant?"
Asks Muscle Shoals Report
Patriotism Issue Raised
Col. Wagner Blames Air Nj
irates Corp. Officers for
"Astounding Conditions"

travarancc in the construction of the
government nitrate plant at Muscle
Shoals. Ala. was charged in report
by Colonel Fred IL. Wagner. formerly
director of operations at the plant, file d
to- day with the House War EXpendi-
lures Committee
Ot all evidence presented to the
committee since its investigation was
begun some months ago, the Wagnel
charges went deeper into detail. fiji
ing more than one hundred pages and
touching on every possible phase oi
the building and operation of the $70,-
100000 war project. 1t was too much
lor Chairman Graham to read in a day
hut he declared the conclusions re-
vealed astounding conditions."
Wagner related what he alleged to
be the story OF Muscle Shoals, built or
the cost-plus plan with wartime speed
as the only consideration. Big items
we're put down with little items. run
ming all the way from the charge that
the accounting system was so bad no
business, however efficient. could toll
crate it and exist to the tale of the
head barber in a company shop who
rakcd down five dollars a day extra
for changing five times that much
money flowing into cash register
with the bold accusation that even
IN national emergency patriotism q,
Muscle Shoals was forgotten Wagner
told now he had protested against pay
ing $3.50 for a portrait of Frank S
a < bh of ~
the American CVanamid Company, The
subsidiary Of which. the Air Nitrates
Corporation, had the government con
tract for the actual building.
Includes Hundreds of Names
The biggest chapter was written un-
der the caption Of "ExtravagMnce,
with waste, inctliciencv and irregulari-
ties placed next in that order in the
Wholesale Indictment that included
hundreds of names.
Touching on the broad question OF
extravaganza, Wagner declared the Ain
Nltrates Corporation maintained a pub
Lefty bureau at the plant that cost
So 600 q month.
"The only conceivable reason for a
private enterprise advertising Il gov
ernment owned proiec.." the report de-
clared. "is the expectation Of coming
into possession of tho property, and
having already thoroughly developed it,
being iii position to market its secur-
ties -
"The advantageous contract and OWL
ershlp OF patents" said Colonel Wag.
ner. automatically eliminates any com
pctitors fer purchase of the plant"
After raking the builders and their
system fore and aft, Wagner set down
series Of conclusions for guidance OF
the committee whose big task is in try
Muscle Shoals properties. Among the
conclusions were:
Patriotism Forgotten
The attitude Of government agents
toward The Ordnance Department indi-
Gates clearly that even in national
emergency patriotism was forgotten.
and despite the contracts promises, Ell
forts were made To prevent the govern
ment securing Information needed.
Extravaganza not only was permit
ted but encouraged, despite specific
provisions Of the contract.
"lrregularities were common. and
when they were uncovered it WAS ac-
compllshed by the government, not by
the agents.
Utlt Was unnecessary cOnStruC-
ton, waste and inefiicency"
In looking over the results the re-
port said it was Of interest ito parallel
them with the personnel of those re-
sponsiblc.' and then gave the list of
officers of the air nitrates corporation,
all Of New York. and their duties, sal
AIRY and former employment The list
included
j. w Young. resident manager. sal
airy, $4,000; formerly Deputy Engineer
Department of Water, Gas and Electric
Supply, New York City.
}. /. Fetherston. vice-pre es ident
salary, $100o0; formerly Street Clean
ing Commissioner. New York
R. w. Parlin. engineer of training
operations; salary, $4,000; form merly
Deputy Street Cleaning Commissioner.
New York
}. O. Hammitt. head of community
department; salary, $1,000; formerly
Commissioners of Fire Prevention,
New York
l.. v O'Danlels, Treasurer; salary,
$4,000; formerly Fourth Deputy Po'
lice Commissioner, New York.
r. Saunders, assistant treasurer.
salary, $4,000; formerly examiner of
accounts, Office of Comptroller. New
York City.
Just what could have been expected
other than the results secured" said
The report in closing. land what rela-
ton IS there between the cleaning Of
New FORKS streets, the prevention of
New lork' S fires, the running of New
York's city police force and the oper-
alton and construction Of one of the
largest commercial plants in the
world ."
Frank S. Washburn, president Of the
American Cyanamd Company. in a
statement issued here last nirht de-
ciared the report filed by Colonel Fred
u. wagner on the government nitrate
plant at Muscle Shoals "was evidently
mace one year ago Washburn de
clared that Colonel Wagner had appar-
ehtly SINCE changed his mind, and as
proof quoted an extract from IN arti-
Gle which, ne said, the colonel contrib
uted to The Manufacturers Record"
last November. The extract read:
The operation of this plant more
than met expectations. with the excep-
tlon OF some few minor details which
can readily be corrected, and at the
time IL was ordered closed down the
plant was producing nitrate at rate
somewhat beyond its unit capacities"
Washburn asserted that Colonel
Wagner was "at loggerheads" with his
corporation and with the construction
DIVISION Of the army which supervised
the construction of the plant.
Mayor to Leave Friday, 18th