The Washington times., 1921-05-15
PROBE SHOWS
.M|SUSEOFSH|P
. BOARD OFFICE
Actions of N. 7. Official Alleged
to Have Cost Government
Millions.
CONRAD NAMED IN INQUIRY
Charge Follows Secret lnvesti-
cation Conducted by Ad-
miraI Benson.
BY RANDOLPH C. SHAW,
Uniyersal Service.

UnSvessoh Dervsees
Charges that q Shipping Board
official misused his office with Q re-
sulting loss of millions of dollars to
the Government we're taken up to-
day at a closed meeting of a special
investigation committee appointed
by Admiral Benson, chairman of the
board.
The accused official is w. Davis
Conrad Assistant admiralty counsel
Of the board In New York city.
OFFICIALS ARE SILENT.
officials of the board would not
discuss the case except to admit that
today's meeting was held. II was
learned, however. that the charges
were formally made by Il, H. Hender-
,s ssDi s.y ..s'sssals u sa. .ass;..1 ss..S
| Benson. The letter charges that Mr..
I, Conrad -has used his position and
authorsts TO place In the hands OF re-
| ceivers certain insolvent steamship
companies In New York city" 1t con-
tinues:
-Ninety-nine percent OF the assets
OF these companies consist OF ships
| the title OF which 10 In the United
States Shipping Board.
Secondly, w. Davis Conrad has
misused his office to procure as at
torneys for the receivers for these
companies. A. c. Carson. his brother
in-law. a former empIoye of the ad-
miralty law division of the United
States Shipping Board, and Delaney
NichoL tr., an Assistant United States
attorney In New York.
SAY LOSS - CONTINUING.
The above named men resigned
from the service OF the Government
and Immediately formed law partner
| ship and obtained appointment as such
| attorneys for the receivers with the
| CO. operation and assistance of w.
Davis Conrad. and have secured a
large amount OF money thereby,
which Is loss to the Government Of
the UNITED States.
Thirdly. w. Davis Conrad by his
activity has caused a loss of q large
sum OF money to the Government and
each day the loss still continues"
1t was stated that, according to the
| court records OF United States Dis
trict Court for the Southern District
advanced by the Shipping Board has
been paid for counsel fees to Carson
| and Nicoll.
khSH or sums PAID.
From the receivers report it was
learned that various large sums were
given as having been paid out on
the reoeivership cases mentioned by
Mr.. Henderson. The companies and
the sums given are as follows.
American Merchant Mariners Inc,
| see, ,7S3.
American Star Line, Inc. 5000 900.
Atlantic -Adriatic Steamship Com
pany. $5so,377.
Victor s. Fox 4 Co.. $5sS,793.
French-American Line, Inc, s1,01s,-
s14
international Maritime Corporation.
$143, ,446.
Italian star Line, $4,000.
Standard Steamship Company. ss4s.-
o31.
| States Steamship Company, s47p, ,721.
been paid out, 1t was stated, but the
Shipping Board refused to disclose
| this Information.
The Shipping Board cotlmittee ap-
pointed by Admiral Benson % ,nves-
tigate the charges consists Of Acting
Commissioner Sutter. of the Shipping
Board: Darragh Delaney. Director
| of the Division of Industrial Rela-
tions. and Robert A. Dean, Assistant
| to the Chairman.
| Senator Calder OF New York is
known to have Interested himself IN
| the case and to have brought 1t TO
the attention OF Attornny General
Daughterty 1t is expected that a reso-
lution directing a Congress ,onal in
vestigation will shortly be intro
duced in Congress.
The Investigation committee will
resume its hearings Monday at IS
Broadway. New York city.