Omaha daily bee., 1922-04-15
State Gravel
Pit Is Visited
in Road Probe
Epperson Says State Officials
Got "Rake.Ofr'-Banker
Made $4,000 on Land
Deal.

Lincoln. Neb,. April lt.-tspeeiai
Tslegram.l - Resumption OF the
state and county road probe today
took the committee from Lincoln 10
Ashland and thence TO Wahoo. The
development follows =,
Orieial figures presented showed
that counties IN the last year had
spent 100000 on county roads and
bridges. against All expenditure oi
I,S00OO0 by the state ior federal
roads IN five years.
Letters from numerous county OIL
iieizls indicated further that taxpayers
may never know how the millions
paid Tor county and township roads
was expended, because counties failed
10 keep records OF expenditures a.
demanded by law.
Letters from Clerks
Letters from Gosper and Otoe
county clerks declared there can be
no comparison with the haphaxard
county roads and the federal aid
roads.
II. d. Bishop, Washington, d. C..
federal engineer. told the committee
Nebraska's maintenance cost on fed
eral aid roads compared with those
al other states and ii a niggardly
policy OF maintenance was pursued,
federal aid would be los, to the
state.
Charles l.. Epperson, member OF
the probe committee aud sworn
enemy Of federal aid roads. declared
he "knew as we'll as he knew any
thing he could not prove some state
official received a ''rakeoff" through |
purchase OF a gravel pit at Ashland
Tor $4,000.
Quiz Bank Cashier.
At Epperson's request the commit
tee went to Ashland, where il burst
into the National bank OF Ashland,
and Epperson demanded that Leon
II. White. assistant cashier, face the
committee in a rear room. Epperson
had told no one why he wanted To
go to Ashland.
White. a year before the state pur-
chased the gravel pit, obtained an
option on 100 acres OF land on which
the state pit is located.
II knew gravel men were buying
pits and | thought it was good bus
mess to get the option White said.
Later testimony disclosed White
purchased the land for $4,000 and
then sold 90 acres OF it, which con-
tanned the gravel pit, to the state for
$4,000. The deal was carried out
through the Ashland Realty COM
pany, now dissolved, which was op-
Grated by Ray Swanson and r. G.
happening. Swanson is son OF
Dan Swanson, commissioner Of pub
lie lands and buildings, and at pres
cnt is receiver for the failed state
bank at Homer.
Profit was $4,000.
The remaining 100 acres, White
stated, was sold to farmer for Sl0,-
600. The total gross profit on the
100 acres was $4,000. However,
White asserted, he was obliged to
pay the realty company a good
sized commission. He willingly
to appear before the COM
in Lincoln next Friday and
disclose every move in his sale Of
the land and the commission paid,
III you dare to say l gave SIM
gle soul a dishonest penny you are
White said. There
were hundreds OF land deals in Ne
braska at that time, when every.
thing was going up, where the psofits
were as large" -,
"Yes, Mr.. Epperson, and I'll
bring witnesses to prove that the
state in purchasing that gravel pit
already has saved the full price OF
the pit and will in the end save three
and four times its cost by having a
club over the gravel trust. 1t forces
il to sell cheaper than it would 60 T
otherwise" Johnson said. Il also
vii! prove Friday that right now |
can get the cost Of the pit from
gravel men"
Epperson Admits Prejudice.
Epperson asked Johnson if Swan
son hadn't worked for him. II
He never did," Johnson replied.
Maybe it was his brother" Ep-
person said. II
"Yes, brother is working for me
now, but / don't know if he did at :
the time OF the purchase of this !
gravel pit" johnson said. II
II admit l am prejudiced,' Epper- /.
son said.
Letters were read from state Off |
,ials in every state in the union, ex-
,epting three, showing in practically
very instance that centralized road :
building was most in favor and was
giving real results in road building !,
ior the first time in the country's )
history. Fl
Will Explain Mystery. q
Johnson declared he would put , a
Observation-Disclosures
n T-s0r A--1~- ~~l