The Pensacola journal. (Pensacola, Fla.) 1898-1985, 1922-12-31
SEVEN NAMED
IN GIGANTIC
CONSPIRACY
Steered Contracts In
volving Expenditure
of Hundreds of
Millions.
CRv Assoclated Pressl

Icy Associated ETeSSI
WASHINGTON, Dec. So
Benedict Crowell, former as
sistant secretary of war, and
six other wartime former
officials of the war depart
ment, were charged today in
an indictment returned by a
special federal grand jury
here with conspiracy to de-
fraud the government and
with delaying and defeating
the administration of law.
The seven defendants wer@ said b.
the jury to have participated unlaw-
fully in the award Of the contracts let
by the government during the war
ard after the arnistcc, involving e&-
penditures totaling hundreds of mil
lions Of dollars, and in which some OF
their number had pecuniary inter-
est
Those named as consplrators with
Mr.. Rowell:
William A. Starrett, New York. en-
g.neer and architect, said to have
been member Of the firm OF star
rett &. Van Week and the Thompson
Starrett Company, Inc, and later as
socia tetl--y9 18th the. George A Et;lleE
company. general contractors. He was
chairman of the war departments 8
committee on emergency construct on.
connected with the council Of national
defense. Morton Tuttle, of Boston.
Mass, said to be general manager OF
the -Aberthaw Construction company
and formerly a member Of the emer-
sency construction committee.
Clemens w. Lundhoff, OF Cleveland.
o., said to be vice president and gen
eral manager of the Crowell-Lundoff-
Little company and general manager
os the Cleveland Construction COM
pany. He also was a member Of the
emergency construction committee.
Clair Foster, reported to live in
Canada. and formerly associated
with the Thompson -Starrett and the
George A. Fuller companies, and also
with the emergency construction COM
mittee.
James a. Meara, Of Boston and
Springfield, Mass, former general
manager Of Fred T. Ley & Company,
Inc, general contractors. to whom the
first contract OF construction of q ma
tional army Cantonment was awarded.
He was secretary to the construction
committee in the war department dur
ing the war.
First Of It's Kind.
The indictment was the first of it's
kind to be returned as result Of
Investigations of war fraud cases in
itiated by Attorney General Daugh-
erty. Others are expected to follow
completion of the presentation Of evil
dence by department Of justice agents
which is said to be rapidly approach
ing the stage required for jury con-
slderation.
After identifying the defendants,
the indictments reCited at length the
emergency situation brought about
by the war and the stress under
which the government labored, partic-
ularly emphasizing the Importance
10 the construction program out o.
" bich grew the great army canton
m,nts. huge port terminals, ware E
J ouses and hospitals.
Each vi the seven defendants, the
indictment asserted Conceived the
fraudulent scheme and plan Of getting
control, for their own gain, profit and
benefit, and for the gain. profit an
benefit of their past and future cll-
ents and employers and their 1rIends'
of the administration Of the immense
Emergency construction program Of
the United States during the war, in
rIrling the determination of~'-he pol
jov To he followed. the form of con-
NNTl GN
favorable to the contract
,,rs, and in a like manner and TO the
same extent upfaVorabie 10 the Cn!~
ted States -
1t was next charged that the de-
PENDANTS, each knowing well an the
premises aforesaid, did unlaWtulIy and
conspire, combine con-
federate and agree together and with
divers other persons to the SAID grand
Jurors unknown, to defraud the Uni
ted States by unlawfully ana cofrupCiy
c Gelaylng, impeding, obstructlns' per
Ycrtlng, preJudlcing, contraVehlhs
ard defeating tn administration "l
It's law ana lawful reEuIatIons----.
Violation OF federal statutes reial-
ing to the procurement Of serves o.
for the building construc-
ton program OF the war department.
vas charg-zl In one count. In TINS rel
crcHIe, the indictment SAID, the de-
rcndapts caused All competitive bid
Ding to be done away with in cunnec-
Ion with the administration of sit1-
Stantially all building construction
which involved expenditure of hun
Greds OF millions of dollars and ia
cluded, among other things, is ma
tionaI army cantonments. 1t national
guard camps, huge port termiQais,
rnau3. warehouses. hospitals. aviation