Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-10-01
COMPANIES WANTED WORK KEPT
SECRET, SF1EARER DECLARES
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blackmail, but that he only had de-
manded that the shipbuilderS carry out
their contract.
At this point, Senator Allen suggested
that he thought the shipbuilders should
pay Shearer the additional $3.50, 900 for
which he is suing them. Senator Allen
was speaking with considerable sarcasm.
but Shearer turned to his attorney with
a quick make note of that"
Shearer told the committee that the
shipbuilders, through Henry c. Hunter,
attorney for the Council Of American
Shipbuilders. who paid him, loaded
things on him.
Hunter kept sending me down to
Washington to look after bills they were
interested in" he said, things that
were not in my contract"
Shearer Explains Reports.
Shearer was on the stand again when
quiry this morning. The witness eX-
planned the sending of his reports from
Geneva to Henry c. Hunter, the
attorney for the Council of American
Shipbuilders, who acted as paymaster
as far as Shearer was concerned for the
shipbuilding companies.
Senator Robinson called Shearer'S
attention to the fact that Charles M.
Schwab, president of the board Of the
Bethlehem Steel Corporation, which
owns the Bethlehem Shipbuilding Co.,
and E. G. Grace, president OF the lat
ter, had said on the stand they had
never heard of Shearer'S employment
until after he had returned from
Geneva.
II don't see how they could say they
did not know l was In Geneva" said
Shearer. He said that he had sent
copies Of some of these documents,
which nc sent 10 Hunter, also to Mr..
Schwab and Mr.. Grace and to menu
bers of Congress, members of the
cabinet and others.
''Humanlike," said Shearer, 1T looked
to the big man, Mr.. Schwab. right at
the top Of the list. to get these reports"
Senator Robinson asked Shearer why
his employment by the Shipbuilding
companies had been kept secret when
he went to Geneva.
Lays Secrecy TO Wakeman.
Shearer said that s. w. Wakeman,
vice president of the Bethlehem Ship
building Co., insisted on secrecy.
never revealed your employment to tiny
one while you were at Geneva" said
Senator Robinson.
mo, sir" said Shearer. Il never told
any one" He said that secrecy had
been insisted upon by Wakeman at a
conference with himself. The repre-
sentatives from the other companies
were not present, he said, but Vice
President Palen of the Newport News
Co. "acquiesced."
He said the others thought c. L.
Bardo, vice president of the New York
Shipbuilding Co., and now president,
would trail along.
what was the reason Wakeman gave
for keeping the employment q secrecy?"
asked Senator Robinson.
They considered that the pacifist
influence in the United States had be-
come very great" said Shearer. John
D. Rockefeller, jr., was a hacker and
he was in a way affiliated with Schwab
and the Bethlehem Steel Corporation.
They had employed Ivy Lee, and the
council of American Shipbuilders had
paid him $4,000 or something. I sup
pose they did not want to offend Lees
vanity by employing bug" tShearer
had testified earlier that Lee considered
him "bug."D
Cites $l5,o0O,OOO "War Case"
shearer referred also to the $15,0O0,-
600 case against Schwab and the Beth
lehem Corporation growing out Of war
contracts brought by the Government,
and said that also might have had
something to do with the secrecy.
Shearer said that he came to Wash
ington December IL, 1927, still In the
employ of the shipbuilders.
II was to take a house and make
my permanent headquar-
ters," said the witness. "Palen said
it was time that was to represent the
openly. Wakeman said,
no"
shearer told the committee that he
had had a call to go to New York.
II assumed that Charlie was going
10 make me one OF his boys, said
II was met by one of Hunters men,"
ne continued, who whispered in my
.ar to 70 to the Lotus Club"
A conference Of that club was held,
shearer said, in a private room, at
ended by Mr.. Hunter, Mr.. Palen and
Mr.. Smith, another vice president OF
he Bethlehem Co.
IT was told" said Shearer, that
Kellogg had called the Beth.
chem crowd on the mat and warned
hem that If they didn't get rid OF me.
he Government would proceed in that
100000 case"
Calls Kellogg NERVOUS Nellie"
Shearer said that New York World
eporter had told Kellogg his paper was
,oing to make an attack on Shearer,
md that Kellogg had then called the
Y1onnlo nm the mat
Shearer referred to former Secretary
Kellogg rs Nervous Nellie"
Senator Robinson and other members
II the committee objected to this char
and Shearer offered to
withdraw the Characterization, but in
listed that that was the way the Sec
etary had been referred to in the pri-
rate meeting. He said that he had
,een told by the shipbuilding repre-
entatives that they would have to soft
,edal the matter.
Later. Shearer said, he went to Mr..
'alen's house.
"Palen said to me-" said Shearer,
that Schwab does not want to be tag
red with q charge of being back of the
zig Navy movement"
The next day, Shearer said, he went
% Hunters ONCE and they told him
hey would have to end his employ
nent. Shearer protested that he should
lot be made the victim of success.
He testified that Hunter previously
had called up the head of the Navy
League in Washington and suggested
hat Shearer be picked for the Navy
lay speaker.
THAT wasn't very wise of him, was
IT," said Shearer.
Shearer said that Palen and Bardo
mad talked, of waiting until things
blew over" but that Smith, represent
through.
Shearer testified that when he was
paid $3.50 in connection with an
article he had printed entitled, THE
Cloak of Benedict Arnold" there had
"a, hn