The Washington times., 1922-05-10
BACK
FRAUD CHARGE
IN WAR DEALS

Continued from First Page)
Hunter. and Smith, the gentlemen
who, in a great part, prepar ed the
statements End accountings upon
which was Essed the settlement
contract between the Government
and the Standard company of June
"a, 1919, which Is now the subject
OF controversy.
The letter then suggests that
Messrs. Figaro. Hunter, and Smith
be permitted TO help in the audit.
The initials OF the dictator at the
bottom OF the letter are wv. s. Z +"
Walbridge S. Taft is a member Of
the firm. according to it's letterhead.
On November :, 1921. not quite
three weeks before the letter by
Cadwalader. Wickersham & Taft
was written II. B. Mingle, president
Of the Standard Aircraft Corpora.
ton. wrote to Captain Volland, in
part. as follows:
Mitsui q Co, a Japanese organ
ization. duly authorized TO do bust
ness in the State OF New York did,
as you have been repeatedly ad-
vised, finance in their entirety both
the Standard Aero Corporation Of
New York, and the Standard Air
whereby this was done are too com
plicated to set forth at this time"
Mitsui & Co, according to
evidence before Congress. were
formerly paymasters OF the Jap.
anese government throughout the
world, its financial agents and as
sisted the German Secret Service be-
fore the war.
Shortly after the request of Cad
walader. Wickersham and Taft to
permit the auditors of Mitsui & Com
pany to assist in the audit Of the
transa Ctions involving the Standard
companies, Abram F. Myers, a spe-
cial assistant to the Attorney Cen
eral, notified the Air Service. ac-
cording to information before Con-
gressman Woodruff. that no fur
ther information was to be fur
nished to the Department OF Justice
except through him.
Myers, Woodruff has charged in
Congress, was recommended to take
charge Of investigation OF war con-
tracts by Former Attorney General
George w. Wickersham OF the law
firm representing Mitsui & Com
pany. uoo ooo nj,
The letter written by Mingle OF the
Standard Aircraft Corporation re-
cites that the Standard Companies
Maid direct to the japanese firm the
sum OF 81, 900 900 with per cent in
torest for the period that the money
was invested in the preferred stock
OF the Standard Aircraft in addition
to monies paid direct by reason Of
certain obligations.
After the affairs Of the Standard
Aero Corporation went into the
hands of q trustee in bankruptcy and
while the corporation was in the
process Of liquidation, Mitsui & Co.
refused to recognize any liability on
its part until its exact liability was
determined by the courts, according
to Mingle.
have, contrary to our advices, so
far failed to possess this company
standard Aircraft) with funds neces-
sary to meet the expenses incident to
a proper presentation of the position
Of the contractor as to the alleged
'charReback' Teferring to the claim
of the GovernmenO as well as those
incident to a complete audit"
1t was disclosed in tho investi-
CATION conducted during the war
by Charles Evans Hughes, now
Secretary OF State. that early in the
war the Standard Aircraft Corpo-
ration had shipped five airplane
motors to Japan.
Abram F. Myers, whom Congress.
man Woodruff referred to in Con-
gress as "a former office boy in
the Department of Justicc" and
who. according to information laid
before Woodruff. had charge OF in
vestigation Uf all war cont acts as