The New York herald., 1921-01-20
SAVED$15,O00,O00
FOR U.s., HIS CLAIM
Abadie Says Shipping Board
Official Threatened Him
With Removal.
DENIAL EXPECTED TO-DAY
Witness Saws His Refusal to
Sign rapers Caascd Com
plete Revision.
DENIAL EXPECTED TO-DAY
Witness Saws His Refusal to

! Col. Eugene II. Abadie. formerly
general comptroller of the United
States Shipping Corporation. who was
on the witness stand all day in the
Walsh Congressional investigation OF
that body, testified under oath yester-
day that his refusal to attach his cer-
tification TO certain accounts TO which
his signature was demanded had saved
approximately $15,o00,00o to the Gov
ernment
Col. Abadie charged that he had
been threatened by Martin J. Gillen,
| then special assistant to John Barton
Payne, chairman of the Shipping
Board and the Emergency Fleet Cor
poration. He testified that Mr.. Gillen
told him that il he wanted to hold his
position he must Sign on the dotted
line" and must do 1t before 6 o'clock
that afternoon. Voluminous docu-
mentary evidence with which Col
Abadie supported his charges indi-
Gated that among the corporations
which would have benefited heavily If
the witness had not revolted against
old customs and had not revolution
lied methods Of accounting in the
board were the Green Star Steamship
Company and the Nafra Company,
Inc.
| Gfl1en 10 Answer To-day
| Mr.. Gllen. who was present during
Col. Abadie's testimony. will probably
take the witness stand to-day. fIe de-
ries most OF the Colonels imputations
Indignantly. Mr.. Gilien. since his re-
| tirement from the Shipping Board. has
been the financial adviser of Joseph
Mercandante OF 100 Broadway. who was
and is the president of the Green Star
Steamship Company and its affiliated
corporation. the Nafra Company.
Col. Abadie read from a typed state
r.ent In the course of which he said
THE first unpleasant incident with
which was confronted arose as a result
! of the attempt to settle requisition
| claims. Some were In the hands of the
| .RequisItlon Claims Committee Some
were being handled by the assistant to
the chairman. and others by individual
commissioners.
Martin j. Gillen. then special assis-
tant TO Chairman John Barton Payne.
early in December. 1919. telephoned me
to appear at his office at o'clock to
certify to some records. was presented
with number OF typewritten certifica-
| tons carrying payments OF millions TO
| former owners OF requisitioned hulls. and
| was requested to sign on the dotteo
| line. tried TO explain that l was not
| satisfied that these records we're correct
| and that I would not sign them Until
| was satisfied that they wero correct.
Mr.. Gillen lost his temper and demanded
| that IL intended TO continue as general
| comptroller these certificates would have
to be certified to before o'clock. to
which refused until was shown from
whom the figures we're obtained and
how.
Forced an Investigation.
II was then presented a sheet made
| up by Mr.. Glllen and hts several as
sistants. the figures on which they
| finally admitted were obtained by tele-
phone from the Philadelphia office of
the General Comptroller (Finance Divi-
sion. Fleet Corporaton). / found that
no letter or statement supporting these
| figures had ever been received and that
no letter OF request had been made OF
the General Comptroller's Department
| by Mr.. Gillen or the other parties pres
ent which would explain to the Finance
Division representatives the purpose Of
the figures which they had gotten and
| reflected on this summary sheet.
II then refused absolutely TO have
anything to do with the certifcation or
further consideration Of the matter until
| had made a complete investigation.
was persuaded 70 meet them that even
ing AT eight o'clock for further dis
cussion Of the question. In the mean
time communicated by phone with
the Philadelphia office and found that
my contentious were substantiated.
Immediately set Mr.. Fielding at work
TO analyze these amounts and an en-
tirely different setup was presented. such
that had I certified as demanded by Mr..
| Gillen that afternoon In his Office the
corporatjon would have lost millions
"As n matter Of fact. the investigation
disclosed that II was necessary for US 20
write To All the former owners TO obtain
| their sworn statements as to the prog
ress payments they paid TO ship con-
| tractors and we likewise wrote to the
Continued on Eleventh Page.
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