The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1934-02-06
Will Call Former
Many Head II, Quiz
Hoover Cabinet Member Asked
to Tell About Contracts
for Planes, Engines
AIDES ALSO SUM N NED
Enormous Profits Of Airline o.
ficials Disclosed in Sen
ate Probe

Washington, Feb. 6.-(P-A house
naval affairs subcommittee decided
Tuesday to call Charles Francis
Adams, former secretary of the navy,
and two Of his assistants to find out
what they know about airplane con-
tracts on which It has been told prof.
its Of as much as so per cent were
made.
The assistants are David s. ingalls,,
assistant secretary for aeronautics
from 1929 to 1892, and Edward p.
Warner, who held the same post from
1926 until 1929.
The decision was reached after
Chairman Delaney. Of the group in
vestigating navy airplane and engine
contracts, concluded that present Of
ficials Of the navy had no direct
knowledge Of contracts awarded be-
fore last March.
81 think that to clear up the ques-
ton Of why the navy continued to
grant contracts after audits showed
such big profits, we should summon
these three men," Delaney caid.
Also by unanimous action, the
committee decided to invite more
than q score Of airplane and engine
builders who have had contracts with
the navy since the Wilson admins
tration.
No Power to Subpoena
Delaney said to newspapermen:
"The committee has no power to sub
poena or to compel the presence Of
anyone. But It seems to me that II
the persons invited are loyal, pa
triotic American citi1ens, they will be
anxious to appear"
The navy's special audit showed
airplane and engine makers made
bigger profits on commercial than on
army and navy business.
From 1927 through 1888. King tes-
titled, Pratt Whitney's profit on navy
engines averaged SO per cent while
its commercial profit was Il.
In the same period, Wright aver
aged five per cent on navy and three
per cent on commercial sales.
Rear Admiral Ernest J. King. chief
Of the navys bureau Of aeronautics,
submitted memorandum to the COM
inittee explaining the navy's usual
procedure, but Chairman Delaney
said more light Is needed on the
whole subject"
King explained that before naval
plane is built manufacturers enter q
design competition. II enough funds
are available the three best designs
are chosen and experimental planes
built. After these are tried in actual
service. the navy awards quantity
production contract to the builder Of
the most satisfactory airplane.
| Delaney said one reason he had
heard given for the award Of con-
tracts. without competition. was that
l''competitive bidding would slow things
up 50 much that the airplanes would
be out Of date"
Mail Probers Busy
More United Aircraft millions
rolled by the senate air mail investt-
eating committee as it turned from
contempt citations to its chief bust.
ness. inquiry into mail contracts.
w. E. Boeing, chairman Of TIKI
United Board. told Of receiving 3d.
066 Boeing Aircraft and Transpor
shares, which had value Of $751;
528,3l2 at the 1929 high, in exchang'
for United Aircraft stock.
He said the property for which
these shares were received was car
ried at $4e7.ll9 but was worth mucl
more, representing the accumulate,
Of 10 years Of business operations.
| Chairman Black Of the committe'
Questioned the witness as to profit
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