Evening star., 1943-03-19
Kaiser Cites Firms
Huge Defense Role in
Reply 10 WpB Charge
81 Priorities Violations
Involving Millions Loid
To ShipbuiIder
B he Associated Press.

3 ne Associated Press.
The Kaiser Co. Inc. one OF
the Nations biggest shipbuilders,
was charged in a War Produc-
ton Board subpoena awaiting
service today by the United
States marshals Office in San
Francisco with unauthorized
of millions of dol
iars' worth of vital war materials
at its Richmond shipyard No g.,
Henry J. Kaiser. the firms head.
who testified here Yesterday before
the House Labor Committees alb
SenteeiSm inquiry, declared it is
strange that company which is
delivering more than sixty 10000
ton ships monthly should be &C
Cused that on an average of five
times month some one Of It's
100000 employees made an error
:. If We only made five mistakes
per month, thank God we're that
good
The subpoena. charging 81 viola
tions in the last six months, 20 OF
them concerned with procurement
or acceptance of materials, was is
sued last night by Lowell Turren-
tine, WPB compliance commission
er in San Francisco. 1t directs the
company to appear for a hearing at
the regional WPB headquarters
there March %
Huge Operations Cited.
Mr.. Kaiser said he believed the
public should know his company is
purchasing materials for another
Government agency-the Maritime
Commission.
We are only the agents for that
department in obtaining materials
needed for the ships" he said.
The company, the shipbuilder
pointed out, is buying materials for
eight shipyards of it's own as we'll
as for six other shipyards located
principally in the Great Lakes re-
gion
Mr., Kaiser had heard nothing OF
the subpoena, since it had not been
served, when newspa permen asked
INN lOl COllllIlcllJ.
1T is sad commentary" he
said that American businessmen
should receive from the newspapers
information that they are not act
ing in accordance with the law OF
the country before they receive the
information from the WPB itself"
Accuses WPB of Waste.
In statement issued later, waste
of manpower by the War Produc-
ton Board was charged by Mr..
Kaiser. He said he has been ad-
vised by his West Coast officials that
WPB Representatives have been in
vestigatlng alleged violations of the
production requirements plan at his
Richmond shipyards.
The plan was abandoned some
time ago by WPB itself, Mr.. Kaiser
said, and added: 1T is a pity that
WPB not only wastes its own man
power but compels us to also do so
in defending charges of violations OF
plan already proven to be imprac-
tical, and which has been aban-
doned by WPB itself"
A fecapltulatlOn OF the charges
included these alleged excess deliv-
cries accepted by the company:
Electric motors, valued at $2.713,-
744; wire cable, S215,239: bearings,
s96,530; safety equipment, s123,064;
supplies s179240; carbon and alloy
steel, 32,037 tons; iron pipe, LIB
tons: steel rivets, l67 tons; copper
sheets and tube, 646,252 pounds; lead
sheet, 2o4,836 pounds, tzinc plates,
lao pounds; lumber Douglas Ar.
redwood, ponderosa pine), 928,0S9
feet; plywood, 495 ,007 square feet.
WPB officials said the action rep
resented the largest series Of prior
ity violation charges ever issued on
the Pacific Coast and one Of the
largest in the Nation
Should the company be found
guilty the WPB might suspend its
priority ratings or otherwise reduce
ALLEGATION of materials.