Evening star., 1934-03-04
LORTON PR0BERS
HEAR B|SH0FF TELL
OF OUTSIDE Jobs
D. c. Penal Business Mana.
ger Was Paid by Two
Private Firms.
PURCHASE FAV0RS
REVEALED BY BEDELL
Ex.Convict's Charge That Rake
Off" Was Paid on Contracts
Denied by Accused.

]. E. c. Bischoff, business manager
OF District penal institutions, ad-
mitted to Board of Public Welfare
Investigating Committee late yester-
day he mas acted as paid consultant
for two private firms doing business
with the District Reformatory at
Lorton, Va
This followed the statement earlier
in the day by Edward Bedell, ex-con-
vict. whose allegations precipitated
the investigation, that the John R.
Wald Co. of Huntingdon, Pa, had
been particularly favored in the pur-
chase of prison equipment.
Under questioning, Bischoff readily
admitted he had been employed by
the Wald Co. before taking his pres
ent job here and said since that time
he has done dozen or more Jobs for
the firm. acting as consulting engi-
neer in the placing Of prison indus
trial machinery.
He was particular to emphasize.
however, that in no instance has he
represented the Wald Co.. or any
other commercial firm, in dealings
with Lortcn Reformatory.
II have even instructed the heads
OF the mechanical department to lean
backwards where the Wald Co. was
concerned so there could be no pos
sible criticism" he declared.
Second Position Explained.
He told the committee he has also
been employed by the James H. Mat
thews Co., a Pennsylvania firm, as
consultant, during his service to the
District.
"They wanted to set up an organi-
Eation dealing in prison machinery"
Bischoff explained, which would
complete with the Wald Co. I was
employed as an expert because my
life work has been along that line.
They paid my expenses and $50 a
day, for two days. I think"
He estimated that he had received
several thousand dollars" from the
Wald Co. in fees for services during
his seven years here.
Bischoff described the Wald Co. as
a brokerage firm for prison machin-
cry manufacturers, which also acted
&C consulting engineers. He said it
was the only such organization in
the country serving all prison depart
ments
It was through this firm Bischoff
testified, that the machinery for the
knitting mill was purchased at
cost Of from $4,000 to $4,000 and
for the sign plant extension to the
tag shop at cost OF from $4,000
to $4,000. He said he did not re-
member the exact figures.
"Rake- of" Is Denied.
Both these contracts were awarded
through the District of Columbia
purchasing Office after competitive
bids had been received, he stated, de-
nying that specifications were framed
so as to favor the successful bid
der Bedell had charged t1at speci-
ications for purchases were often
made so as to favor a particular firm
and that Bischoff got ''rake-off."
Bischoff said he never received money
or any other consideration" from
drms to which contracts were awarded.
BiSchof came to the District Re-
formatory in 1927 He had been
superintendent of industries for all
prisons in Pennsylvania. He left that
position to organize company of his
own, supplying equipment to prisons.
His company was dissolved and ne
went with the Wald Co., working for
that firm on a salary and bonus basis.
At the conclusion of his testimony,
Bischoff was asked by Frederick W.
McReynolds, member of the Investi-
eating Committee, whether he knew
of any statute which makes it jilega!
for Government employe to receive
compensation from private firm do
ing business with the Government.
Bischof replied that he did net
and regarded his outside employment
as innocent, as if he had been driving
. taxicab. He said Capt NJ M. Bar
nard, superintendent of District Pc
nal institutions, knew of his outside
work and had given him leave Of alb
sence when it was necessary for him
to go to other cities. During his en-
tire service at Lorton, however, he
asserted, he has never used as much
as half of his annual leave.
Read of Statute.
McReynolds said he had read in
newspaper accounts of the airmail in
vestigation that there was such a
statute and that it provided a $4,000
fine or two years Imprisonment.
Well" remarked w. w. MILAN,
chairman of the Welfare Board and
presiding officer at the inquiry, IL
there is such statute, it is our busi-
ness to find it."
Il hope you don't succeed" said
Bichof with dry grin.
The business manager admitted on
questioning by Judge Michael M.
Doyle, committee member, that there
etas occasional drinking among the
prisoners at Lorton, and that a dope
fraff1c was suspected. Both were on
a lesser scale than exists in most
comparable institutions. he added.
He said he had heard Of stills be-
ing found in steam tunnels and in
the machine shop building and con-
fiscated by authorities. Most Of the
liquor drunk by prisoners is a mash
made from dried peaches or prunes
with shellac, he informed the COM
mittee.
Prison authorities have suspected
that one of the employees at Lorton
Is bringing in liquor and selling it to
the prisoners, Bischoff testified, but
30 far the man has not been located
despite extreme efforts.
dope" Search Futile.
Capt. Barnard has suspected that
small quantities of dope" are snug
gled into the prison, also, Bischoff