Evening star., 1934-04-25
Controllers Ruling Leads
to Readvertising for
Bids.
TRACTOR DEALS PROBE
HINTED IN STATEMENT
Opinion Made Public After Re.
lection of Contracts for
5000 Automobiles.

AL IWO SudTply-WOrQeQ COmmunlca-
tions to the Secretary of War, Con-
troller General McCarl, who for the
time being has tied up the 10000 900
Army motorization program on the
ground that full and free competi-
ton" was not permitted in the bid
ding, assails the restrictive provisions
in the specifications laid down by
the War Department
The letters, made public from the
controller generals office today, were,
in fact, decisions bearing on the legal
ity of the proposed expenditure for
motorization, which recently was the
subject OF a grand jury investigation,
and has also been under congressional
scrutiny.
McCarfs action means. it was said
today, that bids will have to be re-
advertised for virtually all the equip
ment it is proposed to purchase, the
controller general having found only
two contemplated truck awards ac-
ceptable.
Probe Suggested.
Further, he suggests the possibility
OF investigation either by the Federal
Trade Commission or the Department
of Justice to determine whether the
antitrust laws or the national re-
covery act has been violated in con-
nection with bids on tractors. which
he says appear identical in amount,
and this after one rejection for that
reason and advertising"
The decisions by the controller gen.
eral were rendered on April 19 and
%, respectively, and. in conformity
with custom. were held up temporarily
before being given out for publication.
Their contents were made available
just day after the War Department
announced that $375 900 contract for
trucks had been awarded the White
Motor Co. and that bids for more than
5000 motor cars submitted by two
other manufacturers had been rejected
on the basis of findings by the con-
troller general. and that in conse-
quence the department would read
vertise.
Awards Held Up.
Subsequently. it developed todav
that the Controller General. in his
first opinion. held up all awards on
the showing then made, but asked for
additional facts. There followed then
a further submission from the War
Department. and on this, McCarl said
that two bids in a group by White
were acceptable. Again. however, the
Controller General paved the way for
additional presentation by the depart
ment, and, it was learned today, three
have been made.
At the outset of his first decision,
McCarl reviewed the questions which
called for it, saying that while the
bids were submitted and opened late
in January, there has been much de-
lay in action thereon, due largely to
certain grand jury and congressional
investigations. protests. etc, and the
record submitted by you has been ex-
amined to determine whether the ap-
preparation proposed to be charged
may now lawfully be so employed in
the circumstances appearing"
Specifications Blamed.
THE major difficulties he said,
"arise from the specifications employed
in soliciting bids. They are, as to
each class of vehicles under consid-
Grafton, in much detail. In such
detail, in fact, as to mechanical con-
struction, parts, ETC., as to afford
room for the frequently asserted
criticism that through so stipulating
as to non-essential mechanical ele-
ments competition is practically elm
mated and award made certain for a
particular product.
This is not a new difficulty Rather,
it seems an ever-growing one. The
tendency toward minuteness in stipu-
lating what will be acceptable in me-
chanical construction, ETC.. has been
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