Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-02-06
ROAD SHORTAGES
SEEN IN COUNTIES
States Attorney 0'Conor
Scores Methods of Mary
land Commission.
BY WILLIAM J. WHEATLEY.
STAFF Correspondent of The Star.

February 6.--Much OF the "QeViItry' IN
the State Roads Commission scandals
has been committed in the counties OF
Maryland, States Attorney Herbert
r. O'Conor told the grand inquest OF
the Maryland Legislature, who suggested
that the joint committee might well
look into this phase, as well as into
the matter of the illegal disposition of
Federal surplus property given to the
State for road work O'Conor told the
committee that he had much yet to be
done in the way of seeking indictments,
but that his jurisdiction only went to
the boundaries of Baltimore City. He
made it plain that there was much
work for county grand juries in these
investigations, pointing out that many
leads" in his Office pointed to the
counties.
In stating that he would spresent
further results of his investigations to
the present grand jury, O'Conor told
the grand inquest that "a most pernici-
Gus favoritism has characterized the
handling Of many contracts, as we'll as
a further exposition of the illegal ap-
preparation of the States funds and
assets by those in positions of trust"
He severely condemned the book
keeping methods of the commission, and
said that study of the case indicated
that large sums of money has been
''willfully and enormously paid on I'M
Warranted acquisitions"
O'Conor told the committee that it
might well look into the matter of the
disposition of the Federal surplus war
property given the State, and said that
such an investigation would have to be
started at the source. He indicated that
number of tractors had been disposed
of to contractors and the account car
ried on the books for years, not being
paid until after the outside auditors
made their report with the disclosures.
He suggested that there should be legis-
lation requiring audits to be made by
outside auditors instead of political
apointees.
REGULATIONS to Date Shown.
For more than an hour O'Conor read
% the committee prepared statement
giving in detail the amount of pecula-
tons uncovered to date, the reports of
the two grand juries which investigated
the scandals, his dealings with attorneys
for the convicted men. 1t was most
complete review of the case to date, and
there were no Interruptions from the
committee during the entire period he
was reading the statment which was
done in the old Senate chamber of the
State Capitol, where George Washington
resigned his commission in the Army in
1888.
Following his suggestion that the
committee look into surplus war mate
rial distributed to the State, the grand
inquest, on motion of Speaker E. Brooke
Lee of Silver Spring, named the
following subcommittee to pursue the
investigation: Daniel c. Joseph of Bal
timore, chairman; jose A. Wilmer of
Faulkner, Charles Cou..~y, Republican
floor leader of the lower house, who
started the surplus property investiga-
lficn; James j. Lindsay of Baltimore
County, Democratic floor leader in the
lower house; Senator LanSdale G. Sass
Ger of Upper Marlboro, Prince Georges
County; Senator David j. Ward of
Salisbury, Wicomico County, and j.
Milton Patterson Of Cumberland, Ale
gany County.
Il have had but single purpose
since this case came to our attention"
said O'Conor, in summing up his re-
port to the grand inquest, land that is
that every man criminally involved in
the regulations of the States funds
should be brought to the bar of justice.
1.-THE investigation has been long and
tedious, involving thousands OF trans
actions. Every bit of evidence coming
into my possession that could serve the
grand inquest in its deliberations was
given to it, and at this date there is
yet much ahead to be done. The past
grand jury, in its report, stated that
it had been unable to do more than
take up and investigate certain phases
of the case, leaving to succeeding grand
turies the final disposition of the case.
"It is an old adage that job is not
complete until it is done right. Ger
tainly the most conservative observer
of what has been going on in this case
cannot but conclude that there is yet
much to be investigated.
1T is my plan to lay before the grand
jury information, some of which has
recently come into my possession. from
which that body may conclude that
many contracts have been Illegally and
criminally handled; data that may in
dictate that large sums of money have
been willfully and enormously paid on
unWarranted acquisitions"
Negligence Costs Thousands.
He said that undoubtedly hundreds
of thousands of dollars had been lost
to the people of the State by negligent
and careless handling He said it would
seem that some effort should have been
made to collect the money owed to the
State by contractors and others. There
were 81 accounts on the books, in bills
receivable, amounting to approximately
S250,000, some of them for more than
eight years There were many charges
against the counties and corporate
towns for work done. During the period
that these bills were on the books the
road commission had paid more than
$4,000 900 900, he said, and the charges
could have been deducted before the
checks were paid. He told of the case
of one contractor against whom a
money charge was on the book for 10
years. He added that when this par
ticular contractor was sought out by the
Investigator, he produced a Cancelled
check which showed that it had been
paid years before, yet, added O'Conor,
there was nothing on the books to show
that it had been paid.
At the conclusion of Mr.. O'Conor'S
statement, Alexander Armstrong, for
mer States attorney general, and now
q member of counsel for the grand in
quest, Intercepted the young States
attorney, on behalf of the committee.
Mr.. Armstrong asked the States at
torney to detail some of the methods
used by the convictS. O'Conor said
that the largest losses were theftS &C
complished by the preparation of
vouchers in the Road Commission Of
fees for work done, but which was not
actually done by contractors, who were
doing work for the State, by forging
the names of the payees and cashing
the checks in banks throughout the city
of Baltimore. Another series, he said,
consisted of padding the pay rolls, and
the obtaining of merchandise in and
around the city, and after legitimate
bill had been rendered, other items
were inserted, and the material was
used for private benefit.
Asked how the subStitutionS were
brought to light. O'Conor stated that as
the investigation progressed, suspicion
pointed to certain persons. In looking
back owe. the vouchers, the items were
checked with the accounts of vendors
II, ono cacn he said II WAS found that