The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1929-09-07
HOOVER CALLS
FOR PROBE OF
NAVAL LOBBY
Seeks Facts Behind Quarter
Million Complaint for
Propaganda Work.
BUILDERS MUST EXPLAIN
Senate, Justice Department
to SCrutinize Motives
of All Concerned.
BUILDERS MUST EXPLAIN
BY KENNETH G.. CRAWFORD

united Press STAN Correspondent
WASHINGTON, Sept. THE
~big navy lobby opposing President
Hoover's naval reduction program
today was about TO be subjected to
close scrutiny by two government
agencies-the justice department
and the senate naval affairs COM
n1ittee-to determine whether the
motives of its members are patriotic
or pecuniary.
The two investigations were urged
by President Hoover and Senator
Borah (Rep., Idaho. Early this
week, Borah called upon the naval
affairs committee to investigate the
facts behind suit filed in New
York by William B. Shearer, naval
expert closely associated with the
big navy group, against the Newport
Ship Building Company, which is
building the cruiser Houston.
launched today; the Bethlehem
Steel Corporation and the Brown
Voveri Company, shipbuilderS for
$250,000 he claims is due him for
propaganda services.
Statement Pointed
Friday, in one of the most pointed
statements which has emanated
from the White House since the
Roosevelt administration. Mr.. Hoo
yer called upon the three compan-
les named in the suit for an ex-
PLANTATION and announced he has
asked the encouragement to in
vestigate. Chairman Hale of the
senate committee previously had
announced he would accept Borah's
suggestion.
Although both Wilson and Cool
idge had occasion to fight the lobby
representatives in Washington,
neither struck so directly nor so
hard as Mr.. Hoover.
This propagandist," the PreSi-
dent said. referring to Shearer. has
during the past few years organized
Jealous support for increased arma-
ment and has been a severe critic
of all efforts OF our government to
obtain international agreement for
the reduction of naval arms, which
include activities at the Geneva con-
ference, and opposition to the move
ment which have initiated in the
past three months. A part of this
propaganda has been directed to
create international diStrust and
hate.
'I can not believe that the re-
sponsible directors of these ship
building corporations have been a
party to these transactions as rep
resented in this lawsuit, but their
statement of the case is needed. 1t
is due the public, it is due the gov
ernment and it is due the corpora
tions themselves"
$4,000 Part Payment
The President pointed out that
Shearer claims to have received
$4,000 from these companies in pay
ment for part of his services to the
big navy cause.
I'm the meantime" he continued,
Il have directed the attorney-gen-
eral to consider what action we can
take. Unless the companies can
show an entirely different situation
from what which is purported in
this suit, we are compelled to con-
slider what measures can be proposed
to free the country of such in
fluenceS.
Every American has right to
express his opinion and to engage In
open propaganda If he wishes, but
it is obviously against the public in
terest for those who have financial
interest in, or may be engaged in
contracts for, the construction OF
naval vessels secretly to attempt to
influence public opinion or public Of
ficials by propaganda in favor OF
larger arsnaments and attempt to
defeat the efforts of the government
in world limitation of such arma-
ments or to employ persons for such
purposes"
The President added that he was
making this statement to prevent
any "miSspprehension about my de-
termination that our present inter-
national negotiations shall not be in
terefered with from such sources or
through such methods.