The New York herald., 1922-05-29
Washington Believes Harding
Would Refuse to Accept
PrOffer.
FRAUD SUITS TO BEGIN
Acknowledgement Announces
Prosecutions Will Be Started
This Week.

Special Dispatch to THE New YORK HERALD.
New York Herald Bureau,
Washington. ID. c., May e8.
Stories have been current here for
week that since the attacks on him
began Attorney General Daugherty
had written letter to President Har-
ding expressing his willingness to re-
sign so that the Administration no
longer would be embarrassed by his
presence. But if these stories are cor
rect they cannot be verified. The
overwhelming opinion here is that IL
Mr.. Daugherty made such an offer Mr..
Harding would refuse to accept 1t. for
Mr.. Harding has a reputation of
standing by his friends through thick
and thin.
Those close to the White House say
that Mr.. Harding rose with Mr..
Daugherty so far as the Presidency is
concerned and is willing to go down
with him, If that is necessaryi and
they doubt it. Mr. Daugherty at pres
ent is cruising with the President.
Nothing that has happened in the
present Administration has caused so
much OF stir as the present contro-
versy over Mr.. Daueherty.A Members of
the Administration as we'll as members
of Congress have been astonished at the
space devoted to the various develop
ments In the newspapers. They are
trying to gather evidence as to the po-
litical effect, with special reference to
the coming Congressional campaign.
Tries to Guard His Record.
Attorney General Daugherty an
nounceu tonight further Arrangements
made by the Department of Justice for
sending TO jail those found guilty of
grating from the Government during
the war. A special detail of lawyers
with extensive criminal experience VIII
be assigned to this feature of the whole
sale prosecutions. which will begin this
week.
Meantime 1t became evident the Sem
ate and House fights against Mr.. Daugh-
erty particularly in the Morse case. will
continue. with Senator Caraway (Ark.) :.
Senator Thomas L. Watson (Ga.) and
Representatives Woodruff (Mich) and
Johnson IS. d. as chief figures. Sen
ator Caraway will press for an answer
from Mr. Daugherty as to why II was
necessary for him to spend $4,000 in
getting Charles w. Morse, an innocent
man." out Of the Atlanta penitentiary
while Representatives Woodruff and
Johnson will insist that the House adopt
the Woodruff resolution authorizing a
sweeping investigation of the Depart
ment of Justice Further outbursts are
expected in Congress-
Department of Justice tonight Mr..
Daugherty went into much detail on
the criminal features of the prosecu-
tions about to start. AT the same time
he announced the appointment OF
Charles 8. Thomas, one time United
States Senator from Colorado, az one
of the special assistants to the Attor-
ney-Generaa to help prosecute the
cases. The appointment of George p.
Hoover of Washington as special as
sistant also was announced.
Daugherty's Statement.
The statement says:
Senator Thomas will bring 10 the
depa an unusual and an exact
experience in precisely those matters
which will now come before him In his
new capacity, some OF the most i'm
portant phases OF his work while In
the Senate having dealt with these
matters in some OF their aspects.
'Mr. Hoover has been appointed In
order that he and Mr.. Peyton Gordon,
the District Attorney, can work to-
gether on these cases with equal au-
thority. Mr.. Gordon and Mr.. Hoover
will coordinate their activities In lay
ing before the Grand Jury cases which
fall within the venue OF the District
OF Columbia
There are criminal cases growing out
of some OF these war contracts. while
others have only the civil phase. In con
ncction with cases having both civil and
criminal phases Mr.. Gordon will have
charge Of the criminal side and will
assist I'm the civil cases where they In
terlock. In this connection Assistant
Attorney General John w. II. Grim,
whose reputation has long been estab-
lishcd I'm criminal cases and who has
charge OF the criminal branch as AS
sistant Attorney General Of the United
States. will participate. He has done
much work for several months In con-
nectlon with several OF the more i'm
portant cases
TT is proposed by Attorney General
In effect To create n special
tribunal within the Department OF jus
tice which will constitute a board OF re-
view In reaching decisions as to pro-
ceeding with cases or abandoning the
claims the Government will proceed only
in those cases in which II has reasonable
OF winning in order that no
excessive cost OF litigation may be in
Cured. It Is the intention of the de-
partment TO reduce litigation as much
as possible, TO prepare all the cases as
thoroughly as possible and to expedite
the business"