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New-York tribune. [volume] (New York [N.Y.]) 1866-1924, May 18, 1910, Image 4

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Paymaster Genera! of Navy in
Conflict with Secretary.
Bureau Chief's Retirement Due
to Controversy Over Naval
Supply Fund
[From The Tribune Bureau. 1
"Washington, May 17. — Paymaster
<^neral Eustace B. Rogers of the navy,
one of the leaders of the staff faction in
the controversy which has extended over
several yea in the department. has
tendered his resignation to Secretary
Meyer, and the resignation has been ac
cepted. It will not become effective,
however, until later, when Secretary
Meyer deems it opportune to place a
new chief in charge of the bureau. The
announcement was made by the Secre
tary to-day in response' to inquiries.
A general shake-up in the paymaster's
enrps will probably follow the resigna
tion of Paymaster General Rogers. Pay
master Charles Conrad, whom the Sec
retary regards as the hrafns of the bu-
I'tu and one of the chief recalcitrant?,
■v.«s ordered to duty aboard the Ne
braska to-day. Other changes will prob
ably follow -within a short time. Some
at the officers now on duty at Washing
ton will be assigned to sea duty. The
successor to Admiral Rogers has already
b*en considered, but no announcement 1
■will be made until the office is vacated.
Despite the fact that Admiral Rogers
M a Ftaff officer has repeatedly clashed
with Secretary Meyer since the latter
began to reorganize the department, it is
said positively that his resignation Is
not the result of this activity. The rea
son for it does not date further back
then March 2. when the Attorney Gen
eral decided that "the present naval sup
ply fund was illegal. Since that time
Fccretary Meyer has been trying to re
duce it from approximately $12,000,000
to its legal limit of $2,700,<KX>. In doing
this he is eaid to have encountered op
position on the part of Admiral Rogers,
and what Is described as his improper
handling of the fund is the chief cause
of the present incident. By improper
handling is meant solely the adminis
tration of the fund In conflict with the
stetute. In addition J. Mendenhall, an
expert accountant who has been investi
gating th» accounting system of the
Bureau of Supplies, has reported to Mr.
Meyer that no double entry system has
b*en maintained, and that it is impossi
ble to take a trial balance. These two
reasons are given a* the occasion for
Admiral Rogers'** resignation.
Despite the statement that the atti
tude of Paymaster Genera! Rogers in
criticising Secretary Meyer's reorgan
ization before the Congress committees
has nothing to do with the incident, it
"as assumed some time before the ques
tion of the naval supply fund came up
that Admiral Ropers would be displaced.
■With Admiral Capps, the chief ,con
structor of the navy, he assailed the
Mr; plan unreservedly before the com
mittees, ' and was In turn criticised by
Mr. Meyer. .
Mac* that lime the controversy with
"- the Bureau of Construction has not been
apparent, but further disagreements fol
luwod between Secretary Meyer and Ad
miral Rogers when the illegality ct the
• speeaent naval supply fund was passed on
■■'•* s\v Attorney General Wickersham. Asa
•*•'- tesult of the establishment of a new cost
" ac ouunting system at the navy yards it
was discovered that there was some
hitch in the paymaster general's bureau.
An investigation led to the discovery
that th* naval supply fund had been in
creased far beyond its legal limits. This
action, however, had been approved by
- previous secretaries. It was only after
.- .Mr. Meyer attempted to bring it back
.•within its proper* limits that the clash
rame which has led to the resignation of
..Admiral Rogers.
Secretary Meyer is awaiting a report
from the expert accountants who are in
vestigating the bureau before putting
the resignation into effect. He has con
sulted President Taft on every step he
has taken, and his action has executive
Admiral Rogers will return to his orig
inal rank of paymaster with the grade nf
as a supplement to the
The great religious spec
tacle beginning at Obcram
mergau this month and con
tinuing through the summer
AviJl be attended b\ Americans
from all over the I "nited
States. THE TRIBUNE has
timciy arranged to offer to its
readers handsome litho
graphed reproductions of
scenes and incidents of the
beautiful sacred drama, with
perfect likenesses of the char
acters enacting the principal
I best pictures arc of
postcard size, arranged six on
a sheet. That the > are popu
lar is evidenced by the extra
demand for THE TRIBI M
i:im Sund?>. Newsdealers
sold out entirely and many
people were disappointed. It
"ould be advisable-, therefore,
to place an order early for
next Sunday's paper.
•NOTE— These ini,^. wkei
Passion l'la\ Pictures should
not Hi eonfoundc d v\ ith the
hand colored Photogravures
secured by cutting coupons
from I HI TRIBI Nl
[From The Tribune Bureau-1 .
Washington. May 17.
ruary 35 the anti-Taft-Ballinger conspi
rators have had the benefit of all 'the in
formation which filtered through the hands
cf Secretary BalHngcr's confidential stenog
rapher, and the only thing they have been
able to discover is the Lawler memo
randum, with the preparation of which Mr.
Ballingcr had nothing to do and for which
he was in no -way responsible. Not only
have Mr. Ballinger's letters-personal as
well as official— been dictated to F. M.
Kerby. the stenographer who since Febru
ary 15 has been in frequent consultation
with Louis D. Brandeis, attorney for the
conspiracy, with ex-Secretary Garfleld and
with ex-Forester Pinchot, but Kerby has
handled the replies thereto, which came to
him for filing. That Kerby could discover
nothing other than the preparation by As
sistant Attorney General Lawler of the
memorandum for the use of the President
constitutes, when one stops to think of it.
a remarkable tribute to the high character
of the man with whom h* has sustained
such confidential relations. On the witness
stand to-day. Kerby insinuated that Mr.
Ballinger had sustained peculiar relations
with George W. Perkins, of the firm of J.
P. Morgan & Co.. but when all the corre
spondence was produced and read to the
committee it appeared that Mr. BalUnger
had merely recommended an expert engi
neer to accompany Mr. Perkins and some
friends to Alaska and had advised the en
gineer to that effect, but had subsequently
cancelled the suggestion. An examination
of the record reveals absolutely nothing to
the discredit of the Secretary.
the administration are indignant at the
underhanded methods of Louis D. Brandeis
Ever since February 15 Brandeis has had
full knowledge of the Lawler memorandum.
but not until May 12 was he frank enough
to say what he wanted. Instead, he lias
apparently .sought by demand after de
mand to lay a trap for the officials who
might have a copy of the memorandum in
their possession. It was his specific re
quest of the latter date which caused the
Attorney General to make a personal ex
amination of the files, which resulted in
his finding the copy of the memorandum
sent to the committee on Saturday. His
secretary, who had been directed to make
the earlier searches, had undoubtedly
handled the paper many times, but as it
was not briefed, and as the first page
happened to be merely a list of references,
he had not recognized it as one of the
papers called for. Attention is also called
to the fact that Brandeis has effectively
beclouded the issue by obscuring the
plainly stated fact that the summary -'of
the Attorney General submitted to the
President and by him ■ the Senate was
ba*ed solely on papers and documents
which, were submitted to the President at
Beverly, and which accompanied the sum
mary to the Senate, bring printed as a part
of the same document. In his argument
to-day Brandeis asserted as a fact the
statement of Kerby that Secretary Ballin
per has denied all knowledge of the Law
ler memorandum, whereas, when asked
on the stand what Mr. Lawler had taken
to Beverly on the occasion of his second
visit. Mr. Ballinger said: "He had certain
memoranda that he had made up himself:
that is, I know of some memoranda. I
do not" know what else he had.''
ing 1 of idle possip from the White Hoqse
to certain insurgent Senators yesterday re
sulted in the disruption of the entente
reached at the White House conference on
Saturday night, which was making such
progress that an agreement had been al
Speeches, but No Progress, on
Railroad Bill.
„ .. j-rT.'rom The Tribune Barea-j.]
'•Washington. May 17.— The Senate marked
ttrri* 1 to-day and made no progress on the
Interstate commerce bill. Ixmg .speeches
were made by Senators Cummins, Clapp
and Bristow in favor of the Cummins
amendment to strike out that part of the
administration measure which provides
that- the Attorney-General shall represent
the Interests of the government in cases
before the Commerce Court and the Su
preme, Court. .
Just before adjournment ' Senator Smith
of Michigan offered as & substitute for the
Cummins amendment the provision in the
House bill, with slight modification, relat
ing", to the conduct of cases appealed from
Hie. decisions of the Interstate Commerce
Commission. It is expected that the Smith
substitute will have. the support of Sen
ators friendly to the bill and that a vote
■Rill be taken on it to-morrow.
Several conferences were held to-day in
Senator Aldrich's room, attended by most
of the Republican regulars. ■ !t was re
ported to them that the insurgents were
angry because of reflections on them al
leged to have been made in conferences at
the White House to which they were not
invited. These reports created ill feeling.
&nd, as a result, it was said that it would
be useless 10 attempt any 601 1 of compro
After the Senate adjourned the insurgents
held a meeting in Senator Clapp's room,
but it was said that no agreement was
reached beyond a decision to muster all the
votes possible against the Smith amend
ment, and if this was defeated, to press
the Cummins provision.
Arbitration of Boundary Ques
tion Suggested.
Washington. May 17.— The United States
has suggested to Mexico that the R:o
(Jrande boundary case be submitted to
some well known jurist of a mutually
friendly power for arbitration. The ques
tion if whether the southern section of El
Pa.«o. valued at several millions of dollars,
- by right under the boundary treaty
t'i .X'Tjiuo or to Texas.
By the terms of the treaty the boundary
line was to be the channel of the Rio
Grande River, and in ctuse of the shifting
of the channel the land .gained by either
country by accretion eiiould remain In the
country into which it had been thrown, but
in case an entirely new channel was formed"
by erosion the territory Involved should-re
main the property of the country within
whose borders it originally was.
The real question, therefore, is whether
the land on which the southern section of
El Paso has been built was formed by ero
elon or by accretion. The visit last year
of President Taft to El Paso, where he met
President Diaz, gave rise to the fear that
the United States had recognized "that Mex
ico might have a claim to the disputed
territory- •
President's Views — Peace Mis
sion for Roosevelt. ' '
Wasnlnglon, May 17.— President Taft to
day told a cub-committee of the House
Committee on Foreign Affairs that . he
favored fortification of the Panama Canal.
He said It might be necessary to construct
only sufficient fortifications for police pur
poses, such as the protection' of the canal
fiom marauders. The array engineers', In
whom the President places great reliance,
are -irongly in favor of extensive fortifi
cations, believing that for the pric* of one*,
battleship the entire zone could be ade
quately protected.
In talking with Messrs. Foster, Bennet
and ( Oarncr. o! tat v'ureign Affairs Com
most perfected ■Thereby the pending and all
remaining sections of the interstate com
merce bill were to be passed by a practi
cally solid Republican vote. Just as this 1
agreement was about complete gossip to
the effect that the President had ftppi r ' :
opprobrious epithets to most of the. in- !
surgents was carried to them, with the re- i
suit that they immediately flew off the I
handle, and have not yet regained their
composure. To-day they were all outside |
the breastworks, and had a vote be*n ',
tr.ken the Cummins amendment eliminating j
the Department of Justice as the prose
cutor in cases appealed from the Interstate
Commerce Commission to the proposed
Commerce Court would have been adopted.
Tills amendment is regarded as highly un
desirable by the administration, as the bill
relieves the commission from its present
anomalous position of prosecutor and
judge, delegating the prosecution, on ap
peal at least, to the Attorney General. To
night the regular leaders, are floundering
about in an effort to find some other basis
for a compromise and to disabuse the minds
of the insurgents of the idea that the
President has referred to them slightingly.
THE TARIFF BOARD.— It seems certain
that a point of order will be made against
the Tariff Board provision in the sundry
civil bill. Representatives Dalzell, Fite
gerald. of New York, and other opponents
of thG provision insist that under the
Payne law the President is merely em
powered to employ "persons' to assist
him in the enforcement of the maximum
and minimum clause, and that, therefore,
the present "board" is unauthorised by
existing law. while the provision in the
sundry civil bill authorizes a tariff
"board." and is, t therefore, new legisla
tion. Representative Mann, as presiding
officer in thft>commlttee of the whole, will
be called upon to rule on the point of
r.rder, and it Is feared he will sustain it.
Representative Tawney, however, has an
other method of bringing the matter be
fore the House which he is holding in re
serve and which appears to be of a nature
to pain success, if, as» Mr. Tawney be
lieves, most of the regulars and all tlie
insurgents vote for it.
tentative Olcott introduced a bill to-day
providing that the grave cf Rear AQmiraS
"Wilkes, in Arlington Cemetery, be appro
priately marked. Mr. Olcott says the fam
ily of the admiral is unable to erect a
suitable monument, and in view of his
honorable record the national government
should n»t do less than place a proper
memorial over his last resting place. Ad
miral "Wllke? was the first man to set up
and use fixed astronomical instruments in
the United States, and in addition to .his
notable Civil War record he circumnavi
gated the globe as early as 1858.
seems to be considerable likelihood that the
Committee «y Foreign Affairs will report
favorably the Keifer resolution providing
that instead of fortifying the Panama
Canal Its permanent neutrality shall be
provided for in a joint treaty concluded be
tween the great powers of the world, and
I that the United States shall maintain along
I the canal only p'uch force as is necessary
| adequately to police it. Several members
of the committee who called on the Presi
dent regarding this subject this morning
gained the idea that Mr. Taft is not espe
cially enthusiastic regarding the fortifica
tion of the canal, and that he. at least,
would not disapprove the arrangement pro
posed by General Keifer. There is grave
I doubt if the Senate would consent to any
surh proposition, however, even if the
; President could be persuaded to do so.
6. G. H.
mittee, the President commented on the
Kartholdt bill for universal peace. fie
thought the suggested Hca of a delega
tion of prominent citizens to travel around
the world in advocacy of such a peace
movement was a pood one. There has
bf-en a further suggestion that such a
delegation might appropriately be hraded
by Theodore Roosevelt.
Framed by Republican Members
of House Committee.
Washington, May 17.— The postal savings
bank bill, favored by the Republican mem
bers of the Committee on Post Offices and
Post Roads, was introduced in the House
to-day by Representative Gardner, of New
Jersey. The bill will now.be considered by
the full committee and passed upon by a
Republican caucus, after which it will be
taken up in the House. The caucus will
probably be held next week.
The „ Democrats of the committee have
had nothing to do with making the bill.
President Tafi has been consulted and
many Republican members of the House
have been called in to look over its pro
vision?. ,
The bjll. which is a long one, differs radi
cally from the Senate measure, it provides
that postal savings banks. may be estab
lished at any postoffice when authorized by
the board of trustees; any person over ten
years of age may deposit any amount from
$1 up to $500. but not more than $100 in any
single month; withdrawals may be made
on ten days notice; special cards may be
sold for M cents, to which special 10-cent
stamps may be attached until a total of $1
is affixed, when the card may be deposited
tl»,e same as $1 in cash; 2 per cent interest
would bepaid^to depositors; a depositor may
buy with his deposits United States bonds,
bearing 2>/ a per cent interest, in denomina
tions of $24 and multiples, although but
47>j per cent of the total postal savings de
posits shall be so Invested; 47>j per cent
would always remain on deposit in local
banks, and the remaining 5 per cent would*
be in the hands of the treasurer of the
board of trustees; the funds would be de
posited in any banking institution furnish
ing security backed by the taxing power of
governments. The money realized by the
government from the sale of bonds would
be used for the retirement of other bonds
now ready for call.
I ■! i II • J
< ontlnuetl from flr»t pni:^.
regarded as offensive and which was
withdrawn with an apology. Mi* Bran
deis asked a question which imputed to
Mr. Lawler a purpose to evade the call
of. the committee for the memorandum
prepared for the President and misrepre
senting the. facts.
"That statement is an absolute false
hood." declared Mr. • Lawler, with ve
hemence. half rising IB his chr.lr .and
faring Mr. Brandeis.
Mr. Brandeis. rapidly retreating to a
place behind the stenographers, repeated
the question in another form, and again
Mr. Lawler, now thoroughly angry, de
clared that it was Van 'absolute false
hood." Mr. Brandeis, in considerable ex
citement, asked Senator Nelson to exer
cise his authority over the witness. Mr.
Lawler,* with a wave of his hand toward
his inquisitor, said he intended to pro
tect himself "against the insults of this
►or v any other man."
Representative Denby suggested that
the remarks of Mr. Lawler amounted to
contempt of the committee. " Senator
Fletcher and Representatives Madison,
James and Graham expressed the same
view. . '
At this point' Senator- Flint, who is a
fellow townsman of Mr. Lawler, started
what was thought might prove an aeri
j monious discussion with Representative
j Madison. Fortunately this was pre-
I vented when Mr. E«fcWter said he meant
{ no disrespect to the committee, and that
| If his remarks were regarded as offen
• she to the committee he would with
draw them and apologize.
"Pinchot Supporters Hiss.
Earlier in his testimony Mr. Lawler
made a remark which brought hisses
from the partisans of Mr. Pinchot in the
audience. He told the committee that in
preparing the memorandum for the Pres
; ident he felt that he had been charged
i with a task of great responsibility and
he was very solicitous to preserve the
i confidential character of his work. He
said that for several months "gum shoe
men" had been on his trail. He referred
Ito the alleged sleuths as "despicable
] scoundrels," and when asked to name the
i men. said they Included Hapgood and
Connelly, of "Collier's." and Mr. Bran
deis, who was a subsequent development.
! He said he'had directed the burning of
| the first drafts of his memorandum and
had adopted his course "to prevent any
i confidential employe from being corrupt
ed as Kerby was."
Asked by Representative James what
men he had in mind as corrupting Kerby,
Mr. Lawler replied that he meant Gar
fleld, Pinchot and Brandeis. This was
followed by hisses from the Pinchot eup
portrrs, and Mr. Lawler remarked that
"only geese and snakes make a noise like
Mr. Lawler flatly contradicted several
I statements made by jUr. Kerby. He said
I that Kerby's charge, that he had con
j suited with Secretary. Ballinger. Assist
ant Secretary Pierce. Commissioner Den
nett, Mr. Finney and Mr. SchwartK re
garding the preparation of his memoran
dum for the President was "an absolute
•and unequivocal falsehood." He had pre
pared it without "consulting any man
! under heaven." he asserted emphatically.
Mr. Lawler detailed the circumstances
of the finding of the memorandum 'ln the
office of thr> Attorney General, and said
i it had not been forced out by the publi
• cation of the Korby statement. Several
I hoKCS before either lie or the Attorney
i General knew of the Kerby statement
Mr. Wickersham had dictated and signed
in his presence the letter transmitting
the memorandum to the committee. "Its
' transmission was In no manner Inspired
by any knowledge of treason on the part
Of Kerby .^' said Mr. Lawler.
"Gum Shoe" Men on His Trail.
Mr. Lawler said he had been asked by
I the President to prepare an opinion, and
j he regarded it as" a confidential trust.
'• He said he had furnished to the commit-
I tee all the* information he had felt at
' liberty to divulge and did not think he
had any right to inform the committee
that such a memorandum existed.
Immediately after his return to Wash
! ington from Beverly last September, Mr.
i Lawler said he had begun preparation
lof his memorandum. The original draft,
I he said, was completed without consult
; Ing anybody.
When the draft had been typewritten
by Kerby and Massey, he added, he had
I called in Secretary Ballinger and others
I one night to hear it read.
"I wanted to be absolutely correct in
i every statement." explained Mr. Lawler.
j He said no one made any suggestion ex
| cept for the purpose of verificjition. Mr.
Lawler said he had burned the original
draft of the memorandum.
•'I was confident." he said, "thftt "gum
shoe' men had been on my trail for
months, and I knew there were no
depths of degradation to which they
j would not stoop. I was afraid some one
iin the office might be corrupted, as
Kerby had been corrupted."
Asked who he thought were behind the
•gumshoe men," Mr. Lawler declared
"James R. Garfield, Gifford Pinchot,
Norman Hapgood, a man named Con
nolly and that man there."
"You mean Mr. Brandeis?"
"IN. He came in later. He's the
flower of that foul flock." '
This reference to the champions of
conservation caused ,an uproar among
the spectators, most of whom were
. The' witness said he gave two copies of
his memorandum to the President's sec
! rotary and one to the Attorney General,
and had not given one to Secretary Ba;
linger. He produced the original, which,
he said, he had obtained from the White
House on Saturday morning.
Talked with Garfield and Pinchot
—Contradicts Ballinger.
Washington, May 17.— Frederick M.
I Kerby. the stenographer dismissed by
Mr. I Ballinger yesterday, was called to
the stand soon after the Balllnger- ,
I Pinchot hearing began this morning.
After Chairman Nelson had laid the
President's letter to him before the com
mittee, Mr. Brandeis said he thought
Kerby statement and the President's de
; nial of last Saturday should go Into the
! record with It. Mr. Nelson said that no
, statement of Kerby was before the com
mittee, whereupon Mr. Brandeis said **••*
i was present and willing to testify.
. Directly contradicting Secretary Ballln-
I per's testimony before the committee, Kerby
\ raid his former superior knew about the
preparation of the memorandum, and that
he took part in a conference en the subject..
I Furthermore, he said, T.awler had told Mr.
!Ci.rr. Mr. BalHngcr's private secretary. In
j his presence, that he had left a copy of the
' memorandum with Mr. BalMng^r.
It was this statement which Mr. Uwhr
i later in the day declared an absolute false
Kcrhv appeared calm and confident when
be took his seat on the stand. >fter giving
his nam? ard age Mr. Vertrees. counsel for
Mr. Ballinger. a^ked him about the place
he held in the Interior Department.
•You were a confidential clerk to Mr
Ballinger, were you not?"
"I felt myself a confidential cleric to the
government." replied Kerby. "'rather than
to Mr. Ballinger,"
He said he was friendly to Mr. Garfield.
and had exchanged one or two letters with
the latter since hq left the government
service. Neither of these letters related to
the matter he made pr.bUc. but later he had
a conversation with Mr. Garfield at which
he hfld told him about it.
The Meeting at Pinehot's Home.
Kerby sali he met Mr. GarfieW at the
home of Gifford Pinchot betwen Februaiy
10 and 15, about 10:30 p. m.. and had told
him about the preparation of the Lawler
memorandum. He said Mr. Brandsis also
was present and that he told the story to
him in detail.
Kerby said he had first mentioned tlir
matter to Hugh A. Brown, formerly private
secretary to Mr. Garfield. who in now pri
vate secretary to Director Durand of the
Census Bureau. P few days after President
Taft gave out his letter exonerating Secre
tary Ballinger. He met Brown In his office
and the latter asked him what he knew
about the President's letter.
"I told him I knew considerable about
It." said Kerby. "as we practically wrote it
In the Secretary's office." He told Brown
In the strictest confidence, but later Brown
called him on the telephone and told him
he himself was likely to be called as a wit
ness and he thought it would be fairer for
Kerby to take the stand and testify di
Kerby said he told Brown he would prefer
lo talk first to Mr. G irfleld and Brovn re
plied that Garfield would be In town in a
few days. He went to Plnchot's home, he
said, one eight when he learned Garfield
was there, and found Pinchot and Brandeis
there also. He said Garfield appeared sur
prised to see him.
After Kerby had told Garfield his story
the latter «aid he did not want him tn
cndanKer his place and would not have
him called as a witness unless it was nec
"Why did you assume that giving testi
mony would necessitate your dismissal?"
afcked Representative Denby^
"I knew what happened to Gl»vis," Kerby
Tslks with Garfield's Friends.
Asked if he bad mentioned the affair to
any one, Mr. Kerby said he spoke of it
to Perry Arnold, a newspaper friend, who,
he said, expressed surprise that the Presi
dent should have been abl« to prepare his
letter in such a short time after the facts
had been laid before him. He said he told
the newspaper man in confidence what had
occurred and the latter had observed fhe
Kerby said he gave his statement to Rob-"
rrt F. Wilson, a Cleveland newspaper man.
who had been Introduced to him a week
apn Sunday night by his newspaper friend.
"You lin^w all these people were un
friendly to BalllnperV" asked Mr. Vertrees.
"I did not."
"V'ou knew they were friendly to Gar
"Of course, they were."
Mr. Vertrees asked the wltne?? 1f he had
mentioned any other matters at the meet
ing at Pinchot's home. Kerby replied that
he told Brandeis. after Garfleld left the
house, that he knew that Ballinger intend
ed when he became Secretary to remove
Director Newell, of the Reclamation Ser
vice, and appoint Robert H. Thomson, of
Seattle, in his place.
Kerhy said his feeling toward Mr. Bal
linser personally v.as friendly: that the
Secretary had always treated him like a
"Did anybody suggest to you the impro
priety of your remaining with a man who
had treated you as a son after you had
made public tome of his confidential in
formation 7" asked Mr. Denby. .
Kerby Insisted that he did not consider
there was any Impropriety in wh>t he did.
He said he had no motive in mentioning the
Newell matter, except as a matter of cur
rent information.
"I simply wanted to give Mf. Brandeis
an idea of the character of the man b.»
was up against," he said.
Chairman Nelson asked Kerby about his
staUment that he was not worried about j
losing his place. Kerby replied that he ha«l
been ■Mill I by Mr. Wilson that he woulo
he employed i.v the Newspaper Enterprise
Association, of .Cleveland, with which Wil
son was connected. He said he »•* re
ceived no instructions -from the association
"You haven't been mustered in yet- •
asked Senator Nelson.
"I can't say as I have," replied Kerby.
Why He Made Statement. .
ft** at great length detailed the cir
cumstances which led him to make his
statement public. Me told of visits to him
by various newspaper men. with whom he
had many conferences. Referring to his
understanding that If he lost his place he:
would get another, he. said: "Otherwise I
could not have done what I did."
•.'Then It was agreed," said Mr. Vertrees. I
"before you made yo'ir statement that if
v., would make it yo>» would be taken j
care of?" J
"Not because I mad* the statement, but
I because I would be 'fired/ " replied Kerby.
"You understood you would be 'fired'?"
"I certainly did."
He said these reporters came, to him and j
asked him for the story for publication. "I
explained to them," he continued, "that I
would not publish the facts, but was will
ing to be called before , the committee to i
Wilson and Arnold, he said, later brought
! Colver and Rickey, two other newspaper
men. to discuss the affair with his wife.
He told them it would not bo proper to
make the statement they suggested, and
they appeared to be satisfied with that de
cision. Mr. Colver told him he had "come
from Cleveland for a story, and instead
had found a man." i
"Any time I wanted to get but of the
Interior Department," the witness said, "he |
would see that I was taken care of. He
said they were constantly on the lookout
for young men w-hom they could use. and
he would be ready to qger me a position
at any time. 1
Denies Lawler's Statement.
"The next day T read the testimony of
Secretary Batllnger, in which he denied any
knowledge of the Lawler memorandum,
and he made statements which I did not
believe to be true. The committee ap
parently wanted none of that testimony.
and the matter was closed. In my opinion,
therefore. I could not be called as a witness
to rebut testimony that was not admitted
on direct examination. AJr. Lawler had
also made the statement that no copies
of that memorandum had been retained.
That was not true, for, in fact, four copies
of the memorandum were made.
•Mr. Brandeis told me," he continued,
"that he believed the action of the com
mittee cut me off from showing what tlie
facts were. I came to the conclusion that
the only -tiling for me to do was to make
the fads public. Mr. Ballinger had said
all the facts should be made public, and
I determined to give the story to the
Kcrby said he considered the information
as' having a material bearing on- the in
vestigation. Mr. Brandeis had previously
marie ft call for the memorandum; which,
he said, ought to have elicited thl3 infor
mation. Therefore, he was the only one
through whom it could be mad© public.
Kerby explained how he knew the memo
randum referred to was in the Interior De
partment. He had accidentally seen the
papers In the desk of Private Secretary
< 'arr. - .
Kerby declined u» agree with Senator
Sutherland that he was a "cautious
patriot," in making sur» of a new job be
fore he risked losing his old one.
Senator ftoot was particularly hirter in
his questioning of the witness.
"Do }ou think it w-as a reputable trans
action," he demanded, "to go to persons
btore Ready at 8:15 A. M. Eight Car Ltaei
Directly on the Interborough Subway. Each Way to Stars.
At jh&oitwj
■0 I New York, May 18, 1910 ._. _ ••
Some of the Best News
of the Season in Full
Pages in the Evening
Telegram, Evening
Mail, Evening Post
and Brooklyn Stand
Third Week of
This Special Furniture Event
Brings Many Opportunities!
As we told you in the beginning, this occasion was
brought by changes in our organization that necessitated the
moving out of some excellent furniture. Selling hafy d
count, been heavy, but still today finds us with about
$92,000 Worth of Furniture from Our
Own Regular Stocks for $63,000
The reductions from regular prices ranging from 3)
to .50 pet cent., with an average reduction on the entire
amount of about one-third below regular prices. A greater
opportunity to buy furniture of W.\ .\ \ MAKER qu*
lii'.n never Wen offered, except at one of our own re?"*'
February or August sales,, and equal values cannot b«|
offered even by ourselves at any other than the regtilar sab
we have named.
It is possible to select furniture for practically every
room in the house, execpl the kitchen, and as this -vents
in the midst of the furnishing mm, the opportunity J
one that is of interest. Furniture purchased in &
MAY Event will be held for delivery later in the Sprintr*
Summer, if desired, and arrangements may be made at the
time of purchase by consulting the management.
. A Manufacturer's Samples of
Leather Handbags
A leather bag manufacturer here in New Ye:-; - -- . : s hIS
samples and one or two bags of a kind left over from orders. **J
man's =urn is not to make cheap bags, but to nuke <- **
compare in chic and finish to any that are imported.
He gets his ideas from Vienna, and every detail of frame and
lining, as well as shape and leather and color, is not only beauu«i.
but good.
We have over 100 bags in the correct sues, sometimes **& '
scratch or two. but nothing to hurt, to sell at $5 This price is **1
below what we usually must charge for bag^ valu *'
leathers comprise pigskin, morocco, patent leather, pin seal, wairo*
suede. Either gold-plated or leather-covered frames. Tan. ros*
green, black, brown, red, heliotrooe and wine. ,
Also a tew of the latest novelties in bags— black velvet, heavily
embroidered with -old. Many are less than half the u»uai pric*
Wain floor, Old Building
a Formerly t0 AAnfll/ffffnAP/J*. . FourtH avenue.^
AT. Stewart &Co jfuV^AiUl^f^^ Eighth tcjTenth S»
unfriendly to your superior with --,„«.,
tial information of Is department?" •
"I did under «*• cireumstane* s / r _ ,
Ketby. "The country tut* the r|fet if
facts my superior, had before him.' * 7
Secretary Ballanger' confidential
response* with Si. 11. Thomson "**
engineer of Seattle, an whlcn KertyV!'
be based his opinion that Thomson
not a proper man to be mads €*»«-,]?
the Beclamatlon Service, reached jf^ *
mlttco at the recasa and Kerby read » ■
letters to the , committee. Amen* *■
were letters* and telr-grams »x<'-.an«»a%2
May regarding a trip to : Alaska,' »**
Mr. Ballinger iUsg»sUd Thotti« Wj3<
take that summer with George T?
kins, of J. P. .Morgan &c . js,* •£*
linger wrote Thornton that Mr. PerkM
associates desired to main* »one lavtj,f* f
tion in Alaska with a view to «tab»»
ing a railroad in connection with th t'T
veldpment of mineral lands and that tm.
kins had asked him to recommend at
pert engineer to accompany him, v'
Bal!}n«>.!r wrote that he uad re C <vsn>v
Thomiwn. In -the same letters Mr »t
linger made references to the Re-u/^
Mori Service, and from them Kerby
the inflerenc* that Mr. Balllnser £2
t«> supplant Director Newell withTH!
son. . **
Senator Root wanted to kaew hew ,
had arrived at th« conclusion from
letters that Thomson was net a tUbU b- '*'
be director of the Reclamation lervi 3 **
"i don't believe that a m* V^T
qualified to go to Alaska to ȣ*,., /?
Morgan.-' A Co. retrain* mineral t\'
there Is a nt mam to be at th* hefci
the governments Reclamation Serrifi-*
plica Ke^tur. ■ '- -•-: -; ' T"l£v
George de Forest Bi-i;si 14.
ments Conditions Here.
Washington. May IT.— first *_
convention of the American Fetjfcratio *
Arts began here to-day, the e"e*^f
beins welctraied to the city by Se^w!!
ilacVeagh. , " '^
George de Forest Brush, speift,., to
modern art development, declare «■?
art In America had hem eeiarfcrck"- 1
almost to the point of degradation* • "«£
principles of tearing art in the schoai
and academies, he argued. were all trw'
■T attended an art exhibition fes j2
York the other day which. actuall? limn
have been dosed by th*. police." dwtaai
Mr. Brush. "The mill and the |a^a»
have absorbed the young artists tmtfl
here js in a very sorry plight. a y*,» r *
artist goes into a job and designs «M
paper. That unfits him for the nectar
of creating a charming variety If he weq
be an artist. The • art schools aasa a,
think they ought to teach. how \o dsam
That no accomplishment.. A plumber m
de that. . - ■ "" '
"It this condition is to be changjd m
must stop storing . up- the art tnaMto
which we import from abroad in hails M f
galleries, and get them out into the ha*
of students. Unless they learn to {•?
petuate art as It was developed 'o its lnp>
*-st point by the ancient", who did it t
beautifully, we shall soon hate na art a'
At the end of -the day's session th» tistt.
ing artists went in a body to the X«w !%.
tional Museum for a" private view of tin
collections. The view was by invitation «f
the executive officers of the SnslthafTriu
Institution and the National Museum.
Charles D. Waleott. secretary of u»
Smithsonian InstitutioTrrspoke at tS» after
noon session on the National Gallerj 4
Art, while J. Horace Me Far land, preaas
of the American Civic Association, mm
a plea for better civic art. and more 6£ It.-
The sessions of the convention ■will ear*
tinue until Thursday, when th© (feJegites
will too received by President Taft •
In the Restaurant Today
Cream of Spinach or
Chicken Broth with Rice Cucumbers i
" Roast Loin of Beef
Browned Potatoes . Stewed Tomaiqp
Fresh Strawberry Ice Cream
Lady Fingers Coffee" 75c

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