New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1922-07-10
f. P. Carvan Summoned
to Appear Tomorrow i'm
Washington in Inquiry
into German Dye Patents
Chemical Concern
Expected Civil Suit
Subpoenaed Official Saws
Ex- Tellton Agents Are
Directing Investigation

FRANCIS 2. Garvan, former alien
property custodian and now president
OF the Chemical Foundation. Inc. has
been subp@naed to appear tomorrow
with all the books and papers of his
concern before a Federal grand Jury
IN Washington. This marks the first
formal step taken by the government
IN Its efforts to compel the corporation
10 return numerous German chemical
and dye patents which had been seized
by the Federal authorities during the
war and transferred for a considera-
tion to this firm.
AS the move involves criminal pro-
ceedings, Mr.. Garvan and his asso-
ciates, 1t was evident yesterday, were
taken completely by surprise, the gov
ernment up to now having merely
threatened q civil suit to obtain pos
session Of the patents
Summons Served Saturday
Mr.. Garvan announced yesterday
that he had been served with the sum
mons late Saturday afternoon while
he was awaiting the formal demand
which he expected the Attorney Cen
eral to make upon his corporation for
the patents and upon the refusal of
which the government was to base It's
civil suit Although it was half holi-
day, he said, he waited in his office
until 7 o'clock for a government agent
to appear with the demand. Instead
came the subpoena, he said.
Mr.. Garvan issued a biting state
ment in connection with the matter
saying that if the action was taken
"to frighten us with threat of in
dictment" it would neither frighten
him nor any member of the Chemical
Foundation, Inc. 1t is quite possible
prompted by realization on the part
of the authorities that the posed
civil litigation was baseless and that
they believe they can eXtricate them
selves from the situation by obtaining
grand Jury indictments.
Mr.. Garvan asserted that President
Harding and Attorney General Daugh
erty in ordering proceedings against
the Chemical Foundation were being
imposed upon and did not know all the
facts. He bitterly attacked CASTOR B
Means, who, he said, initiated and di.
rected the only investigation into the
matter made by the Department oil
Justice.
He pointed to Means's services tc
Germany under Captain Karl Boy-Ed
German naval attache, up to the time
the United States entered the war, when
Means, known as Z-13. obtained sal
ary of 81, 900 week for his activities
in behalf Of Germany. He referred tc
his furthering the shipm of copper
and rubber to Germany. his writing
reports on the cotton situation here
for German interests, his alleged fur
nishing Of perjured affidavits preju-
dicial to the British while this govern
ment was still neutral, and the con-
verting of s25,0o0,o00 worth of bonds
for German citizens or representatives
of the German government.
Quoted Overman Minutes
All this information Mr.. Garvan
read from the printed minutes of the
Overman German activities committee
before which, the testimony shows
Means had personally sworn to most of
the facts referred to. In the face of
these disclosures, Mr.. Garvan insists
Means was appointed assistant chief OF
the Bureau Of Investigation of the De-
paTtment OF Justice, and while he was
apparently recently removed from this
post Mr.. Garvan charges that he was
in reality only moved over to room SOC
in the Hotel Bellevue, next door to the
Department of Justice. where, Mr.
Garvan insist, he is still in control OF
the investigation concerning these
patents.
Mr.. Garvan also insists that Means's
chief is Cyril Bennett, to whom Her
man A. Metz, principal agent in this
country Of the German Chemical
Cartel, testified he had loaned money
without expecting to get it back" Mr.
Garvan pointed out that if the Ger.
mans are permitted to obtain posses
sion of these patents now it would en-.
able Germany to regain control of hel
pre-war organic chemical monopoly o1
the world To America the patents
mean, he said, the freedom Of her s4,
000,000,000 year INDUSTRY, the evel
readiness for another war and the fu
ture development Of American medi
cine.
Refers to Salvarsan Patent
Mr.. Garvan referred to one OF the
patents covering preparation called
salvarsan, a specific for syphilis, which
(Coatinuca on eeSs fge)
Builds 3-Deck Yacsa.