The Washington times., 1923-10-25
CONE FROM
SUPPLIES
At j. s.
DEPOT
Losses Estimated at SIS, oOO,-
Ooo-Department of Justice
and Treasury Start Probes.
By WILLIAM X. HUTCHINSON,
international News Service.


international News Service.
Two new Federal investigations
into operation of the United States
{ Veterans Bureau were seen today
as a sequel to the sensational
charges of graft and bribery
brought against Col. Charles r.
Forbes, former director, before a
Senate committee. These were:
Other Charges On File.
1. The Treasury Department,
through the Internal Revenue Blu.
reau. launched an inquiry into the
whereabouts of 100000 worth of
drugs and narcotics stored by the
bureau at Perryville, Nd, during
Forbes administration. Huge quan-
titles of these drugs are repoted
to have 'disappeaed.' -
2. The Department of Justice was
planning an exhaustive probe of
charges involving Forbes in an al.
legged conspiracy to allot millions
OF dollars worth of hospital con-
struction work to a favored clique
Of contractors IN return for a "spIit
OF the profits"
The Senate committees special
staff of investigators, headed by
Maj. Gen. John r. Organ, mean
while was probing the bureaus rec
ords for trace Of fraud and graft
throughout the Governments ST.
O00. 900 hospital construction pro-
gram.
Graft In Sites Alleged
Evidence Of seeming fraud has
been unearthed, it was said, in the
leasing of sites and award of con.
struction contracts in a number OF
Instances
Interest in the Senate inquiry to-
day was centered on whether Forbes
will accept an invitation of the com
mittee to testify in his own defense.
Forbes has told the international
News Service he would appear to
"tell his own side of the story" AL
though the former director is re-
ported to be in New York city. to-
day, prior to his departure he made
the following statement to Inter-
national News Service:
81 intended to give you a complete
statement of this whole case, but I
have learned there will be further at
tacks upon me and l can't speak at
this time. / will wait until they are
finished attacking me and then I'll
tell my side of the story. When I
do talk, they will get another 'sensa-
tion.'"
Sensation Is Predicted.
From other sources it was learned
Forbes has employed an attorney to
represent him at future hearings of
the Senate committee. The at.
torney is also preparing the former
directors defense and the statement
ne now expects to make before the
committee next week. Close friends
of Forbes say he will "teII ali ha
knows" II he does take the witness
stand and that his testimony will
be sensation.
The former director was said r.
be planning to use a dozen letters
from the late President Harding as
the basis of his defense. In these
letters, the late executive frequently
endorsed Forbes administration nj
the bureau, 1t was said.
The Internal Revenue Bureaus
investigation of the reported dis
appearance" of drugs and narcotics
from the medical supply store in
Perryvflle, Md, was based on in
formation given it by General
Organ, the Senate's special in
Vestigator.
An inventory of the stocks or
hand at Perryville, it was said
does not agree with an inventory o;
stocks shipped there by the Wan
Department two years ago.
Evidence already has been un
earthed of conditions which showed
at least gross negligence in the
''loss" Of these drugs.
Tons of Drugs Missing.
1t was said literally "tons o.
narcotics are missing.
This situation was touched upor