Evening star., 1959-12-04

OF CnleI OF naval OperaJlOnS'
Rear Admiral F. NJ. Hughes
commandant 5th Naval District
Norfolk; Rear Admiral C. B
Martell, Assistant Chief of Ma.
val Operations for Develop
ment; Rear Admiral D. L. Nc
Donald, staff of Supreme Allied
Commander Europe; Rear Ad-
miral c. j. Pfingstag, Navy Bu-
reau of Aeronautics; Rear Ad-
miral w. H. Schoech, Bureau
of Weapons deputy chief; Capt
F. c. Bardshar, Navy Strategic
Plans Division; Capt. NJ. U
Beebe; Col. j. B. Berteling, Ma.
rine Aircraft Group; Col. J. K
Dill, Marine Aircraft Wing;
Capt. D. H. Helfrich, Bureau oi
Aeronautics; Capt. T. w. South
carrier division commander.
Additional names provided
under the general heading
"otherS" we're:
Dan Kimball, president oi
Aerojet General Corp; Harold
Stuart; 1t. Gen. Queseda, AT
retired; 1t. Gen. Joe Smith, AT
retired; 1t. Gen. Richard
Sutherland. AF retired; Mai
Gen. K. McNaughton, AF re.
tired; Col. Thomas Belshe, AZ
retired; Col. A. R. Christie, AT
retired; Gene Sarazen, goli
professional; Max Elbin, goli
professional, Norman Hayes
North American Aviation Co.,
Alex M. Knapp, insurance con-
Sultant; L. D. Lyman, United
Aircraft Co., and Watson New
hall. Flight Refueling, Inc.
Say Payment Was Refused
Admirals Hughes and Men.
denhall said in their question
naire replies that they at
tempted to pay for lodging
meals and other expenses al
the island club but that theil
offers were refused by the club
manager. Some Of the officers
said they spent nominal sums
for caddy fees, tips or personal
necessities.
The 200-page transcript and
documentary report issued by
the subcommittee without COM
ment today revealed occasion
ally angry exchanges between
subcommittee members and the
company witneSSes-George M
Bunker, president, and William
L. Lucas, treasurer.
1t also reproduced numerous
expense vouchers. 1t showed
that the guests were received
at the club through the mem
berships of Mr.. Bunker anc
Jess SweetSer, company vice
president in charge of military
requirements. Mr.. Sweetser /.
former national amateur goli
champion.
The vouchers indicated the
company spent at least $l8,6OC
at the club for entertainment
and other expenses of the
present and former Defense
Department officials. Additiona
vouchers added up to many
more thousands and covered {
wide range of entertainment OF
other outlays not specified In
detail. t-.
One Of the numerous vouch-
ers not explained in the report
or by the subcommittee wa:
for an $183.09 bill from &
Georgetown florist for IA white
orchid corsages, several rost
trees and an arrangement fol
a television Set."
1t was not clear whethe,
some of the $18,6O0 went fo
expenses of civilian guests, in
cluding relatives who accom-
panied Defense Department of
ficials.
QUESTIONABLE replies dis
closed that most of the Penta
gon officers flew to the islant
or to Miami either in militar,
planes or in Martin Compan,
planes.
Saw No ImprOpriety
In every instance the Defenst
Department officials who re
piled to the questionnaires de,
clared they saw no impropriet,
in their trips. They said the,
never discussed business will
their hosts and had no Penta
gon positions dealing in mill
tary buying, selling or contrac
negotiations. Several of tn
officers informed the subcom
mittee they had regarded them
selves as guests of individuals
rather than of the Martin Com
pany.
Most of the company pay
ments to the club for thes
visits were made in the nam
OF retired Air Force Major Gen
Dudley D. Hale. He was tn
company's $4,000 "a yea
Washington Office manager TO
IA months. The subcommitte,
was told he left last spring fol
a better paying job with tn
Cook Electric Co. of Chicago
Denied AS Expenses
Questioning by Subcommitte
Chairman Hebert, Democrat O.
Louisiana, and fellow member.
brought out that the company
tried unsuecessfully to havt
those expenditures classified a.
business expenses allowable fol
income tax deduction purposes
Clarence Miles, company coun
sci. said the company regarded
those items as proper busines,
expenses but that its deduction
claim was disallowed by tn,
Internal Revenue Service.
AS for the military ant
civilian guests at the Cottor
Bay Club, Mr.. Bunker anC
MIR. Lucas explained to tn,
subcommittee that the name.
they furnished were probably