New Britain herald., 1922-07-14
Three Big Firms are Accused of Perpetual : ing Gigantic Fraud Garvan is Assailed
Charge Is Made That Indi. viduals and Private Con- cerns Waxed Wealthy at Expense of Uncle Sam.

Washington. July 14.-Charges of somewhat sensational character against the Chemical Foundation, inc. the E. l. DuPont de Nemurs Co.,, and the Textile Alliance were made today in the senate by Senator Moses, re- publican, New Hampshire. in a pre- pared address in opposition to the dye embargo provision of the admnistra- tion tariff bill He said these organi- zations were three of the factors in the gigantic fraud" he was opposing and added:
 These three are significantly inter- locked in their related personnel and in their activities; and it is they whose subsidiaries, officers, stockholders lobbyists, paid propagandists and fax ed and kept organizations have been the most aggressive avaricious and in- solent of all the profiteering crew who have pertinaciousy pushed the leg islation."
 Sure It Is Conspiracy
 He declared that whatever the out come of the government proceedings against the chemical foundation, he always would believe 1t was "conceiv- ed in conspiracy and fostered by falsehood. He charged that the con- spiracy twas formed by Francis P Garvan" its president, his associates in the office of alien property GUS todian and certain of the dye manu- lecturers of the country"
 Brings In Secretary Polk
 Calling attention that the founda- ton was organized in the winter of 1919. Senator Moses said that on February 26 of that year, Acting Sec retary Polk signed an executive order which had been carefully prepared for his signature by the foundation. authorizing licensing of seized enemy patents and trademarks by the or ganization. In this connection he presented a memorandum of a con versation which he said he had with an unnamed federal officer, setting forth that MT. Polk, who was acting in the absence in Europe of Secre- tary Lansing and President Wilson, had explained that he had signed the order upon representations that the action to be taken was with the full approval of the federal trade com mission which was licensing the pat ents under authority of the trading with the enemy act.
 Much Disturbed
 The memorandum set forth that Mir. Polk seemed very much dis turhed" and held several conferences with officials of trade commission and had intimated very strongly that he had been made the victim "of false to induce his sigma ture to the executive order"
 A week after the order was signed, Senator Moses continued, Mir. Garvan became alien property custodian and as such On April 10, sold to himself for s250,0o0, property whose earning thus far disclosed indicates it to have been worth many millions"
 Orgy of FaIsehood
 Turning to what he characterized IS ''the" orgy of falsehood with which the chemical foundation camouflsged | its real purpose, he asserted that while the foundation had "untuously" llldl u "dS to carry p'i' | purposes in the field of chemistry 1t had spent nearly s3oo,- poo to "bolster the propaganda for a 1 i've embargo" He placed in the rec ord a number of letters sent to indi- .iduals and organizations over the in which there was made what the senator said was the false ,laim" that the foundation was government agency"
 Used Govt. Agencies
 Senator Moses also introduced a lumber of letters to show that the hemical foundations agents had had he bureau of education, under former Claxton, distribute arti- les about chemistry written by R. E. lose of the chemical department of he Du Pont Co.
 As another illustration of how, he aid, great agencies of the govern lent were victimized by the dye lakers of the country and other pub c agencies turned to use in private ropaganda." the senator presented designed to show that le dye exhibits recently shown at hicago, Philadelphia. Rochester, N. { ., Washington and other cities and ow in the national museum here, ad been financed by the dyemakers. avng been prepared in the chemical arfare sectian of the war depart ( ent. The correspondence was be- veen Captain o. E. Roberts Jr., and 1 le Du Pont c. the National Ami ne and Chemical Go. and other dye | ,ncerns. Of the E. I. Du Pont de- 2 emurs Go. Senator Moses declared [ at the people, through advances T om the federal treasury, during the f ar not only financed the Du Fonts
 the tremendous extension of their lsiness but were also mulcted by the Il Fonts to an extent which enabled V e company to increase its plant f .lue to an admitted s22o,oo0,0o i nile at the same time taking out net I ofits which in one year amounted to | 29,000. .000."
 Quotes Big Figures.
 He charged also that of the saa,- 0. .0o0 advanced to the DuPonts dur. ] 2 the war there remained "unre- lt uped" on July 1, 1922, s35,o00, ,o0o0. r He asserted that the DuPonts and l;