Evening star., 1934-02-22
SENATORS EXPLAIN |
|ARMY BID ACTIONS
Copeland, Barbour and Rey-
nolds Say They Asked
Data on SiIverman.
CONTINUED From First Page.)

ANA VII Wv
CONTINUED From First Page)
did not recall whether he had received
reply.
The office >of Senator Reynolds,
Democrat, of North Carolina, said
Silverman had called on the Senator
and he had written the War Depart
ment for the facts, but he took no
position himself.
Given Right to Testify.
Meanwhile Robert w. Lyons, Indi-
ana and New York attorney, once
prominent In national activities Of
the Ku Klux Khan. has been granted
an opportunity to explain to the grand
jury his alleged connection with an
Army motor truck contract bid now
under investigation by the Depart
ment Of Justice.
brought to the attention Of the grand
jury by other witnesses. Lyons asked
United States Attorney Leslie C. Gar
nett for permission to appear before
the inquisitorial body under q waiver
of immunity.
Granting Of Lyons request follows
closely q similar concession made to
Ralph T. O'Neil, former national
commander Of the American Legion,
whose name also was brought into the
notorization program inquiry by
Government witnesses.
Woodring Cancels Speech.
Lyons, ONeil and Assistant Secre-
tary of War Harry H. Woodring prob
ably will be the last witnesses to testi-
fly prior to conclusion of the grand
jury proceedings-tentatively set for
next Wednesday. Lyons and Wood
ring are expected to take the stand
Monday and O'Neil probably will ap-
pear Tuesday. The grand jury re-
cessed late yesterday until Monday
morning.
Woodring was to have delivered q
George Washington birthday anniver-
Sary address today at Topeka, Kans,,
his home, but he Cancelled the en-
gagement in order to remain close
to the scene of the investigation.
O'Nell fulfilled a similar engagement
at Topeka today, but promised to
return here In time to appear at the
court house next week.
Legionnaire Held Involved.
Involved In the negotiations In
which Lyons has been mentioned is
another man prominent in national
activities Of the American Legion, ac-
cording to Investigators. This legion
naire is said to have represented him
self as an agent for the Fargo Co.
Chicago distributor of Dodge trucks
reported to have been the low bidder
on a contract for four-wheel drive
Army trucks under one phase of the
$40, ,000,0 900 military motorization pro-
gram.
Lyons alleged interest in the nego-
tiations before the War Department
in behalf Of the Fargo Co. is said to
have been cited by A. C. Downey
vice president of the company, who
was q witness In the grand jury in
quiry last week.
Lyons some years ago was ssso-
ciated with Hiram Evans. Klan
wizard" in activities of the 'Invisi-
bic Empire" and was particularly
| prominent in Klan affairs in Indiana
officials assert. Later he went to New
York City and practiced law. He is
listed in directories as maintaining a
Washington law ONCE In the Shore
ham Building.
Approached by Lobbyists.
1t was shortly after the opening at
Camp Holabird of bids for the con-
tract sought by the Fargo Co. that
certain automobile manufacturers
disclosed to high administration and
congressional authorities that they
had been approached" by several
lawyer lobbyists with a proposition to
guarantee" a contract in return for
a $4,000 retainer fee plus commits
sions on the completed deal.
The complaints alleged that the
lobbyists represented themselves as
being "on the inside" at the War De-
partment and in a position to fix
specifications SO that particular
firm would be assured of a contract.
President Roosevelt is said to have
ordered an immediate investigation
with the result that grand jury pro-
ceedings were instituted
simultaneously the War Depart
ment issued an order barring Joseph
Silverman, jr., New York trader, from
appearing at the Office of Assistant
Secretary Woodring. who supervises
war contracts, and announced that
Silverman's activities would be brought
to the attention of the grand jury.
Woodriny 10 BE Quixxed.
Silverman later made public a let
ter to Secretary of War Dern in
which he disclosed he had signed a
contract with the War Department
for an exchange of 700, 900 suits o1
World War surplus underwear for
Cavalry and other Army equipment
This transaction has been under in
| tensive scrutiny by the grand jury
during the past week. and Woodring
is to be questioned about it on his
second appearance next week.
Former Assistant Secretary of War
Frederick H. Payne was questioned
about the underwear contract yester.
day. Oficials say the contract orig
inally was signed under Payne's
regime as Assistant Secretary, but was
revised when Woodring succeeded
pavne AZ Assistant Secretary.