New Britain herald., 1924-02-07
Department of Justice Agent Expects to Prove That Knowledge Had Been Suppressed and Evidence Destroyed
Sues for Injunction Against Taking Certain Securities Conditions in 1922 "WelI Nigh Appalling

NdsnlHgtoll, feh. characterization
 of charges that duplicate bonds have
 been destroyed in the treasury depart-
 ment was asked In resolution intro-
 duced by Representative La Guardia,
 republican. New York.
 Mir. La Guardia's resolution was
 based on charges of Charles B. Brew-
 CT, who said proof that there had been
 Applications was destroyed, Brewer
 yesterday submitted some of his ex.
 hibits to a number of members of the house.
 Charles R. Brewer, department of justice agent, in report to Presi- dent Coolidge and Attorney General
 Daugherty. copy of which was filed today in the District of Columbia su- preme court. said he expected to
 prove that Knowledge Of duplicated government bonds had been sup- pressed by the treasury department, and evidence of Implications destroyed there.
 Secretary Mellon, at the same time. reiterated that the treasury. in it's long investigation of the matter. had found no evidence Of malicious ir- regularity.
 There has been duplication of numbers on bonds," said Mir. Mellon. but for every bond that has gone out its face value has been paid into the treasury"
 Brewer has sued for an injunction against government officials fo pre- vent them from taking certain securi- ties he has been using in his inyes- tigation of bureau Of printing and engraving affairs and the report was filed with the court 'as a part Of the exhibit fin the case.
 denial that he had misled Presi- dent Harding into dismissing the 2s bureau employees vas included by Brewer, who said the president was aware Of conditions before seeing Brewer and that he was fully justl- fled in his action.
 Some of the facts Brewer said he expected 10 prove were:
 That conditions in the bureau of engraving in March, 1929. were well nigh appalling.
 Knowledge Of duplicate bonds was suppressed by treasury officials and the secret service.
 Secret service called off duplicate bond investigation December 1919.
 "Inordinate number or duplicates appear in certain listed lots of sur- rendered bonds.
 Half of fhe surrendered bonds were destroyed and with them all evidence Of their duplication.
 Surrendered bonds were destroyed when known flo be duplicates"
 Brewer said President Harding had 10 twice order the stopping Of fhe bond destruction. and that inspection Of the bonds showed the duplication was not caused by slips of the num- bering machines
 Duplicates had been traced. BreR-er said. ''to treasury sources from sur- rendered bonds stolen from treasury from 'unissued stock, fwftb- in control of the treasury): from ,ai- lotment credit within control of The treasury and reserve Banks,: from Star bonds. Cvithin control of the treasrry). and from inc treas ury's bond purchase redemption fund
 Bonds issued in lots from the treas- ury, Brewer recited. had been found To be spurious. The investigation. he said. had been thwarted and nearly blocked by the treasury.
 The charge that duplicate Liberty bonds existed" Mir. Brewer said came 10 the department Of justice in April. 1921. from Representative Royal C. Johnson. republican. of south Dakota. who received them rom a constituent. J. ". Mccarter. Sho was assistant register Of the reasury under the Wilson administra- ion. Mir McCarter. he said. com 'lained that he was discharged for ringing the complaint to the notice ,f treasury officials
 "McCarter.'' Brewer continued. was emphatic in warning that 'iique, with large raTnfficaffors. in- .luding the secret snrlice. held sway D the treasury and extreme caution rould be necessary in any inYastiga- ion expected to make progress
 Referring 70 the discharge of the 'ureau of engraving employees. Brew r said
 T made a report to the attorney -snerai on fHa duplicate bond sifua- ion on December 21. 1891. concern- nG various divisions of the treasury nd incidentally in that report made stersrrc 70 tho bureau of engraving D several very questionable proceed ngs. seemingly concerned vnh the .on5 situation. as they had been re- leated 10 ma. Ruf I ended the re- .crt with the statement that there las uncertainty and that injustice night be dona unfrss records were xaulincd. The president nrrer saw his report until August. ie-z"
 This was after fhe dscharrer sf