Evening star. [volume] (Washington, D.C.) 1854-1972, 1935-07-21
ARMY LOBBY QUIZ
TO TRACE MONEY
SilVerman Sub Rosa Deals
to Be AmpIified by Po-
Iiceman's Story.
BY REX COLLIER.

Passage of money-no QueSGons
asked-among various figures whose
activities have been under scrutiny
during the long investigation OF lobby
ing for Army contracts will be in
uuired into again this week by the
House Military Affairs Committee.
Having already been told that
series Of half dozen envelopes of
money was delivered for Joseph Sill
verman, jr., and his lawyer, A. Nit
chell Palmer, to a missing witness IN
the inquiry, the committee on We'd
nesday plans to explore another chan
mel into which Silverman is alleged
to have poured his funds.
The committee wants to know about
checks which Silverman has testified
he gave to Dennis Mahoney, New
York City policeman. Silverman,
when questioned about $3.50 check
given the policeman, explained ne
had used the officer to cash number
of checks for him.
Delay Granted.
Policeman Mahoney was summoned
to testify last Friday, but he sent
word to the committee he could not
appear at that time because he had
to get permission from his superiors
to leave the city. The committee
has given him until wednesday to
make arrangements.
Nathan Silverman, one OF Joseph'S
three brothers, also has been sum-
moned for a questioning about the
ramifications of Joseph Silverman 81
Bros, Inc, trading firm, which, with
its members, according to Chairman
John ]. McSwain Of the House Com
mittee, has expended about half a
million dollars in the past few years
while negotiating for Army contracts.
Some of this money, Joseph Silver
man testified last week, went to Army
officers for gambling, flowers and
whiskey." Most of it, he said, went
for lawyers fees. travel and personal
expenses. He said he "blew" $4,000
on his daughters wedding.
Committee Has Envelopes.
The little blue envelopes" In which
Thomas jefferson Ryan, New York
titled he handed some $500 or $7o0-
''maybe more"-to Harold Schneuer,
attorney for Frank E. Speicher, tire
salesman, are in possession OF the
committee.
At the time, Ryan said, Schneuer
was in touch with Speicher, who was
being hunted by the Department OF
Justice for questioning by the grand
jury here.
The committee is DESTROYS of learn
ing why Schneuer and Ryan, whose
legal profession makes them Officers
of the court" failed to notify the
Department of Justice about Speicher.
Questioned on this point, Ryan ex-
planned he was under the impression
that Palmer and Silverman were pay
ing Speicher for secret information
which was being turned over to Nc
SWANS committee.
Story Brought Court Martial.
When Speicher finally was found in
New York City by the Department of
Justice some months ago, his revela-
tions led to the conviction by court
martial Of Col. Alexander E. Williams,
former assistant quartermaster gen.
eral, for accepting a $4,000 loan from
Speicher.
The committee this week will seek
to find the ultimate destination of the
money which Policeman Mahoney Sc
cured from Silverman in check form.
An alleged meeting between SPEECH
er and Col. Williams in a New York
hotel prior to the officers court-mar-
tial recently also is to be inquired
into, 1t was indicated.
Speicher may be recalled for inter-
rogation by the committee. He was
questioned in executive session sew
eral months ago about the loan to
Col. williams. He is well known in
War Department circles for his eff
forts to sell the Army a leak-proof
automobile tube manufactured by a
firm he represented.