Evening star., 1934-09-06
BRITISH SHIP PLAN
DECL AIRED GIVEN
To THE JAPANESE.
Senate Munitions Commit.
tee Told of 1916 Negoti-
ationS on Submarines.
$25, 900 OFFER CHARGED
TO SWING TURKISH DEAL
Fake Transactions Reported to
Circumvent Laws-Admit Meth
ods Were "Not Ethical"
By the Associated Press.

By the Associated Press.
Evidence that the British govern
ment had given Japan the design for
the "K' type of submarine was pre-
sented today to the Senate Munitions
Committee.
Letters from Henry r. Carse, presi-
dent of the Electric Boat Co. of New
London, Conn, to L. Y. Spear, a vice
president, said it seemed as though
Vickers has double crossed us in Japan
i in not having the contract executed
by Mitsubisiti, which / sent them in
1915, which provided for a royalty of
10 per cent of the gross price.
Tells of Giving Plans.
ST know they have given you an
explanation that the British govern
ment had given the plans of the *
boats to Japan and therefore Mitsu-
bisiti did not think it necessary to 60
forward with our contract"
Vickers, Ltd, was an English con-
cern with which Electric Boat had
working agreement. Mitsubisiti was
Japanese shipbuilding concern. The
letters were written in 1926
Other testimony showed Electric
Boat had vetoed suggestion that its
Paris representative attend the Lon
don Naval Conference and that an
offer to pay $12,500 to a Turkish
minister of defense had been made
in 1924 if Electric Boat received a
contract to build submarine for
Turkey.
S12,500 Offered Minister.
Evidence that the Turkish minister
OF defense in 1924 was to have re-
ceived $12,500 If the Electric Boat Co.
got contract to build submarine
for Turkey was presented.
A letter put into the committee rec
ord from H. II. Johnston, a represent
ative of the New London, Conn, COM
pany, to Spear, spoke of $25, 900, half
OF which was to 90 to the minister of
defense If the company got the
business.
1t was bidding against an Italian
firm.
81 know that this Is irregular"
Johnston wrote, "but 1t was the only
chance to do business there and we
took It."
Contract Was Lost.
The Italians got the business, how
ever.
Letters about the contracts, in
which great secrecy was used and
men were referred to by numbers,
were put into the record.
The committee earlier had devel-
oped testimony that the State De-
partment refused permission in 1929
for the Electric Boat Co. to sell SUBJ
marines to Russia.
Spear said Amtorg, the Soviet trad
ing corporation In New York, had
asked about the prospect of buying
undersea boats from the American
concern.
I'VE referred the matter to the
State Department" said Spear, "and
were told that we should not sell such
equipment to Russia. Naturally, the
thing went no further"
Treaty Violation Charged.
The testimony came amid an excur-
SAUL Ny l1AC 4hfCob16dbOLo I1lC
ramifications of European armament
sales during which it was developed
that Electric Boat agents had pro-
tested that German shipbuilders had
violated the treaty of Versailles by
organizing companies in Holland to
build submarines.
A letter from Paul Roster, Paris
agent of the company, to Henry R.
Carse, Electric Boat president, said,
We may then get the allies to en-
force the treaty of Versailles" in that
connection.
Declared mot Ethical"
Testimony that some of the methods
used in selling submarines in inter-
national competition might not be
considered ethical" was put before the
committee in shift of its inquiry back
to Europe.
Talk OF dispute between the Elec-
trio Boat Co. of New London, Conn,
and Vlckers, Ltd, the giant British
concern, with which it had a trading
agreement, over Spanish business sew
eral years ago developed that Sir
Charles Craven, Vickers officials, had
peen made a member of the firm of
Spanish naval construction concern.
Correspondence disclosed that efforts
still were being made to obtain sub
marine contracts from Spain as late
rs March of this year.
Fake Contracts Charged,
Senator Clark, Democrat, of Mis-
souri,, accused officials of Electric
Boat of making a fake contract in
1916 to avoid the neutrality laws and
get four boats to Italy. Testimony
disclosed the boats were built in Cam
ada. Clark said the State Depart
ment had diSapproved construction of
the boats for Italy because it was a
oelllgerent nation in the World War.
With the inquiry turned back to
sales to Europe. there was renewed
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