Arizona republican., 1922-03-07
HOUSE PROBE
OF 8 MUSCLE
BIDS
NEARING END
Opening Hearing Will Be
Completed Wednesday;
Would Authorize Mem
bers To Visit Project Site

WASHINGTON, March 6.-Investi-
cation by the house military COM
mittee Of the various offers from pri-
vate interests for purchase. lease,
completion and operation of the gov
ernment's power and nitrate projects
Nat Muscle Shoals, Alabama, moved
rapidly nearer conclusion today and
approached within two days of the
end of open hearings on the subject,
committee members said tonight.
A conference by Chairman Kahn
with Speaker Gillett, resulting in the
announcement that a resolution au-
thorizing the committee members to
visit Muscle Shoals and vicinity
would be introduced in the house soon
was one of the outstanding develop
ments. Other events included the
completion Of testimony on the third
and last offer before the committee
that submitted by Frederick L. Eng
strum OF Wilmington, n. c.. which
provides for a 50-year lease of the
properties and their completion under
supervision Of an operating company
to be created, subject to government
approval.
The committee also received infor-
mally copies of a new proposal Nwhich
was submitted today at the war de-
partment by Thomas Hampton, a
general contractor of Washington, d.
G. The offer followed closely the
original offer of Mr.. EngStrum, al
lowing for completion and operation
OF the power projects, including the
manufacture of nitrates and fertiliz-
ers In the event the government de-
cided to finance the development by
reimbursing the operating company
which would be created by Mr..
Hampton.
Secretary Weeks was absent from
his office and war department Of
ficiais declined to comment on what
action it would take with respect TO
forwarding the proposal to congress.
Engineer Attacks Bids
j. y. Levering. a civil engineer of
Los Angeles, attacked the offers be-
fore the committee, including those
of Henry Ford. the Alabama Power
company and Mr. Engstrum, which
he declared failed to rise to the dig
nifty of contracts" but more nearly
resembled "well worded hand OUTS
lie has been associated with MFR.
Engstrum, Mr.. Levering said, but
walked out" when that proposal
was modified.
The committee recalled Thomas
w Martin, president of the Alabama
Power company, who briefly ex-
planned that the power company had
not participated in any way in the
propaganda campaign which he said.
was being conducted throughout the
country in the interests of one of the
proposals the committee was inves-
tigating. Mr. Martin declared the
company was standing flatly on its
record as a public utility of long
service" and was confident OF the
fairness Of the offer il had made for
Muscle Shoals.
Chairman Kahn conferred late to-
day with Secretary Mellon on the
financial phase of Muscle Shoals de-
yelopment. The secretary said he
would reserve any statement Until he
had carefully studied the various
proposals and testimony the commit
tee had collected regarding them.
Mr.. Kahn said he expected Mr.. Mellon
would testify before the committee
concluded its hearings.
W. F. Mayo. chief OF Mr.. Ford :
engineers is scheduled to present TO
the committee tomorrow the altera-
tions which Mr.. Ford has agreed to
make in his contract proposal. These
have been awaited with interest by
proponents OF the Ford plans who
contend that the alterations when
disclosed win cause a decided change
in attitude on the part of the COM
mitteemen, who perhaps have not
been altogether favorable in their
interpretations of the offer in the
form il was submitted.
Mr.. Mayo's testimony was expected
practically to end the daily sessions
of the committee and virtually close
the Investigations of the three offers.