The Connecticut labor news., 1923-08-11
PRISON GATES FACE
 RAILWAY OFFICIALS.
 ON CRAFT CHARGES
Huge Frauds Committed During Guarantee Period Are Being
 Uncovered.

Washington, Aug. Establishments
 and probable .penitentiary sentences face a large number of railroad off cials if charges now being investi- gated by the Interstate Commerce
 Commission are translated into actual acts of criminality.
 The commission has directed an extensive investigation of railroad operations that may throw new light on federal operation and con trol of the railroads during the war, and particularly durin gthe six months period when the government guaranteed railroad earnings Tech nically the commission must confne . it's inquiry to the six months guar
 anty period following the return of the roads to their owners, but facts
 may be. developed which will compel other government agencies to probe transactions originating under federal control
 Labor is informed that the investi- gation leading to the indictment in New York last week of Henry l.. Joyce, former manager of the marine department of the Central Railroad of New Jersey, IS only one of a large
 number of similar inquiries into sus- Ipected regularities against the roads | by the government.
 Two Indictments Found. Joyce is charged with having de- | frauded the government of $2,ooo, ,ooo m contracts awarded to concerns in which he had personal financial in terest
 This is the second indictment that has been returned involving railroad waste of federal funds. The Ashur Detective Agency of Buffalo, which was retained to protect the property of the New York Central during the
 outlaw strike of April, 1920, when the government was obligated to pay any railroad deficits, is accused of having presented padded and fictitious bills that were paid by the Central man. agement The government was, of course, the big loser in this transac- | ton.
 The sums involved in investigations of other shady transactions have not been determined, but are large. Roads Graft Huge Sums. It is believed by some members of
 the commission that when the facts are fully developed it will be known that the huge sums paid as deficits to the railroads during federal control and the ensuing six months period, amounting to approximately $I,8oo,- DOC, ,ooo, represented waste and graft to great extent.
 One swallow does not make sum-
 mer," an official of the. commission said. 1.-Two indictments have already been found: Each of these cases was a fragrant diversion of government funds. What. investigations now be- ing made will disclose I can not fore cast It is well to bear in mind, how
 ever, that when the commission goes
 gunning it usually knows where to
 find game.
 Commission Has the Facts.
 'In other words, when the commis-
 sion starts an inquiry if has facts in
 it's possession which justify this
 course.
 .tFor the past four years we have
 heard nothing but abuse of the gov ernment for it's wartime operation of
 the carriers Some of the criticism amounted to actual and constructive
 treason and men have been sent to prison for long terms for saying less than have these railroad officials.
 Investigations now in progress may go far toward determining the justice of charges made by advocates of federal control of the roads that rail officials adopted unwarranted practices to give the wartime opera ton test a black eye.