Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-09-23
DECISION TO HIRE
SHEARER BAD MOVE,
WAKEMAN ADMITS
Denies, However, Duties
Went Beyond Observing and
Reporting on Meetings.
SAYS LITTLE ATTENTION
GIVEN TO STATEMENTS
Testimony Shows They Contained
Impressions Farley Was Futile
and Would Fail.

The decision to employ William B.
Shearer to go to the Geneva naval
limitation conference in 1927 was
characterized by Samuel w. Wakeman,
president of the Bethlehem Shipbuilding
Corporation, at the Senate investiga-
ton today, as damn fool decision In
the light of what has occurred"
Mr.. Wakeman represented his COM
pany at a conference in March, 1927,
with other shipbuilding representatives,
when it was determined to send Shearer
to Geneva as an observer"
Mr.. Wakeman was the first witness
today at the Senate Investigation Of
charges that Shearer had been en-
ployed by the shiphuilding companies
to help break down the Geneva con-
ference on naval Limitation. He denied
emphatically that Shearer had been
employed to do anything except observe
and report on the proceedings OF the
conference.
Little, Attention to Reports.
It Was brought out in the testimony,
however, that Shearer's reports to the
shipbuilding company had been filled
with impressions that the conference
would rot succeed anc with the tutility
of hCioing such conference.
Mr.. Wakeman told the committee
that little attention had been given to
Shearer's reports; that although there
we're IL in the files Of the Bethlehem
Shipbuilding Corporation, only five had
gone to him personally.
1t was brought out a. the hearing
that the payments had been. made to
Shearer, on behalf of the Bethlehem
company. through Henry C. Hunter,
counsel for the American Council OF
ShipbuilderS, from the cash account OF
Mr.. Wakeman in Quincy, Mass, where
Mr.. Wakeman's ofice is located. No
mention of the fact that the money so
paid went to Shearer occurred in the
books of the Bethlehem Shipbuilding
Corporation, Mr.. Wakeman testified
He insisted that the transaction was
one which he himself had personally
entered into and carried out so far as
his company was concerned.
He testified that there had been no
written contract with Shearer and
added that none had ever been thought
Of.
Didn't Mr.. Shearer claim at the time
you employed him that he could frus-
trate the conference" asked Chairman
Shortridge of the Senate committee.
Absolutely not" replied Mr.. Wake
man. He made no such claim or We
would not have been party to his en-
ployment"
Allen Questions Witness.
Senator Allen of Kansas questioned
the witness about, the claim of Shearer
in his suit against the shipbutlding
company for $3.50, 900 additional. Mr.
Wakeman said that nothing had been
agreed to accept the $4,000 which the
company paid him for work at Geneva.
Senator Allen read from letter ad-
dressed by Shearer to Wakeman on
January 80, 1928. Senator Allen said
this was a shocking letter" IN view OF
the claim made by Shearer about what
he had considered doing at Geneva.
The letter follows:
washington. D. c.,
January 80, 1928.
S. w. Wakeman, Esq, .'
Bethlehem Shipbuilding Co.,
25 Broadway, N. Y.
NV Dear Mr.. Wakeman:
Pursuant to our last private CONVEX
sation and understanding in your ONCE,
that future negotiations would be with
me direct, I wish to call to your atten-
tion that as a result of my activities
during the Sixty-ninth Congress, eight
1O.OOO-ton cruisers are now under con-
struction.
Further that owing to the failure Of
the tri-power naval conference at Ge-
neva. there is now before the Seventeen
Congress a 71-sh1p-oullolng program
costing $740,000,000.
The understanding for which ex-
penses were furnished me to conduct
the campaign for naval preparedness
was to March S, 1928, to be paid as
salary of S25,000 a year, receipt herepy
acknowledged for year ending March T.
= 1928. ,,r
group, I am to receive at the rate OF
$4,000 year as reward. bonus t,oa loe
money earned as the results OF the
naval preparedness campaign, wnicn
benefits and in reality saves the snip
building industry. The fixing OF the
time limit on the naval building pro.
gram to five years to lay down ana
eight wears to complete, establishes the
period of our understanding TO the
length of the naval program OF elent
years at $25, 900 year, or an aggregate
Of 100000 due me from the result OF
my endeavors in the interests OF the
stipbuilding industry.
The amount of 100000 to be divided
bv and between the Bethlehem Ship
biIlding Co., IS Broadway, New York
CITY: the Newport News Shipbuilding
Co, 233 Broadway, New York City, ana
the Brown-Boveri Shipbuilding Co.,
Camden. N. j.
At the request Of Mr.. Hunter, Mr..
Fallen, Mr.. Bardo and yourself, nave
continued my activities in your behalf
and In your interests to get action on
a naval building program, which Is
now assured. BY request and instruc-
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