Automobiles & Underwear

Usually when the U.S. goes after graft in Washington, the proceedings resemble a barbecue. The whole world is invited, as many reputations as possible are spitted and turned slowly over a sizzling fire, the fumes purposely wafted this way and that. None of this was characteristic of a graft hunt which last week had Washington on the anxious bench. In spite of complete secrecy, scandal of the first order was brewing in the War Department. One after another War Department officials were going before a grand jury with testimony about automobiles and underwear.

The fact that automobiles were involved was known because motor company officials were summoned, because the Government suspended completion of its $10,000,000 Army-motorization program. Report had it that gentlemen representing themselves as friends of Assistant Secretary Woodring (in charge of Army procurement) and of his bluff buddy, Ralph Thomas O'Neil, onetime National Commander of the American Legion, had been going to automobile companies with promises of getting them fat Army contracts at fat prices. Harry Woodring was one of those who waived immunity and testified. Past-Commander O'Neil after eagerly petitioning to be heard by the grand jury, was granted permission after waiving immunity. A third to testify was Frederick Huff Payne, who held Harry Woodring's job under the Hoover regime.

More than this, however, was involved. Month ago Harry Woodring and an Assistant Attorney General went to the Justice Department, after dinner, called newshawks and announced that Joseph Silverman Jr. would no longer be allowed to make contracts with the Army. Joe Silverman has been doing business around the War Department for 15 years. He is a shrewd, able Jew, who always spoke to everybody, was known by all the messenger and elevator boys, and who referred to all high officials by their first names. No one questioned his honesty and many even liked him. Report had it last week that he had bought for 14 1/2-c- each 700,000 surplus suits of Army underwear on condition that they be sold outside the U. S., that later when the Government needed 700,000 underthings in a hurry for the Conservation Corps he had offered to trade his purchase for $8,000,000 worth of other Army equipment. Three Senators (Copeland, Barbour and Reynolds), who had written letters to the War Department on Joe Silverman's behalf, last week hastened to explain that they had done so merely out of kindness. Meantime Mr. Silverman had hired A. Mitchell Palmer to represent his legal interests and was sitting tight, saying nothing.

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