Evening star., 1941-07-29
Charges Of Tenants
Denied al Hearing
On Dupont Circle
Newmon, Company Head
Says No Eviction
Notices Were Served
BY WILL P. KENNEDY.

July had fatty denied charges
made on behalf of ousted tenants
of that apartment before the House
Committee on Public Buildings and
Grounds, which is investigating cir
cumstances surrounding the leasing
of the building by the Government,
Chairman Lanham requested him to
be witness again tomorrow and be
prepared to answer questions from
committee members
Mr. Newman said that mot one
single eviction notice had been
served on any tenant but that two
letters had been sent to them; that
most of the tenants responded and
that, with five exceptions they were
pleasant, and most of them COM
mendatory.
Mr.. Newman assured the COM
nittee under oath that no official,
off1ceholder or employe of the
United States Government has been
promised, directly or indirectly, in
connection with the lease, and no
official, officeholder or employe has
now or ever had any ownership in
the stock of the Dupont Circle, Inc"
While Mr.. Newman testified that
on July 3 he, as president OF the
corporation, had signed the lease for
the building to the Government.
there is yet no testimony before the
committee to show that the Gov
ernment has yet signed a lease. or
the rate of payment. although it
has been testified that the Govern
ment is moving in.
Phone Tapping Denied.
Denying charges Of intimidation
b force the exit of tenants, Mr..
Newman engaged in an argument
with committee members regarding
the removal of rugs from the lobby,
the cessation of elevator service and
other inconveniences complained of
earlier in the hearing.
Mr.. Newman said the telephone
company reports no taps on the
phone of George E. Reedy, SpOkes-
man for the protesting tenants, who
claims there had been persistent
listening in on his telephone He
said the William j. Burns Detective
Agency had been employed to pro-
tect the hotel property and Its ten
ants. Mr. Reedy had previously tes-
tilted that Burns Detective Agency
operator had been engaged to try
ITO get something on me-"
Regarding the charge that all
conditioning equipment is being in
stalled in the apartment for the
Government Offices, Mr.. Newman
said some second hand window air
circulators were found in the base
n1ent which had originally cost s3l
secondhand and which a Govern
nent agent asked might be installed.
When they were tried out, they were
found to be worthless as air-condl-
TONERS and we're thrown out again,
Mr. Newman said.
When the committee resumed
hearings today, Mr.. Newman testi-
fed that the United States Gov
ernment is the first tenant objected
to by any tenant of the building" "
He said the building. originally
planned as an Office building, was
q to 10 years old and was sold in
1887 at a creditors judgment sale
for a sl.350.000 trust. and that the
hotel has not changed hands from
that date to this"
Newman Elected in July.
Mr.. Newman said he was elected
president of the corporation last
July "as a result of the 100 per
cent vote of the men who bought
the building in 1897
Mr.. Reedy. the tenant spokesman,
hold the committee that on May % a
Government representative had
made a commitment to Mr.. New
man that the Government would
rake over the property. Mr.. Reedy
said Mr.. Newman then had no
financial interest in the apartment.
On July | there were 602 persons
h1 the Dupon Circle, he said, and
only SO held leases-with four
months to run.
After explaining involved re-
financing of the apartment, Mr'
Newman said a clause in the new
mortgage taken by the Metropolitan
Life Insurance Co. for $3.50 900
nrovides that while the building is
occupied by the Government the
entire amount received must go to
she insurance company and the
cu,ners and officers of the corpo-
ration cannot take one cent.
The lease to the Government is
for five wears at a rental OF S2OS,0
while the rental of the apartments
To private tenants had been S249, ,OoO'
No Commission for Loan.
The new mortgage, he said. had
followed a commitment by the Gov
ernment June 5 and a commit
rnent by Metropolitan Life June
nLcompleted July 3. Mr.. Newman
emphasized that he had personally
negotiated with the Government and
with the insurance company tbefore
he was president of the corporatlon
and that no commission had been
paid to any one for the loan" He
said it was the first loan of the size
and kind made in the district with
out a commission being paid"
Members of the investigation COM
nittee grew impatient at Mr.. New
mans lengthy statement and at one
point Representative Elliott OF Col
orado exclaimed:
Let's get down to the complaints
and answer questions.
Chairman Lanham warned the
witness that he and other members
of the committee have many ques-
tions they desire answered.
I'm here to throw light on a situ-
alton that has been painted pretty
black" Mr.. Newman said.
The man who accompanied him
to a tenants tReedys) apartment
and reported to be Davis or Davies
was identified by Mr.. Newman as
Democratic National Committee
man Sawyer of Ohio, with whom he
had previously been in business.
Press Agent Hired in July.
Testimony that a press agent had
been hired started a fusillade OF
L