Indianapolis Times, Indianapolis, Marion County, 24 March 1943 — Page 6
‘man committee
ctr FATE fn, AOI TI wn
SS WERE FAKE
President of Carnegie-lllinois Tells Truman Committee - That 28,000 Tons Were Below Specifications; $2,000,000 ‘Citizens’ Suit Filed.
WASHINGTON, March
for the sub-specification steel. Officials have admitted that records. were falsified on 5
per cent of its 1942 output. “There certainly will be criminal prosecutions if we discover more of _this cheating,” said Truman. The Carnegie-Illinois Corp. is the major operating subsidiary of the
“United States Steel Corp., the presi-
dent of which, Benjamin F. Fairless, has promised to make those responsible for the false records “walk the plank regardless of whether they are underlings, intermediaries or at the top.” Almost all of Carnegie-Illinois’ output is purchased by the federal government for the war program. Président J. Lester Perry of Car-negie-Illinois admitted to the Tru-
about 28,000 tons of steel had been certified in 1942 as suitable for government use although it failed to meet minimum standards. At the current, market, the steel involved was worth $1,400,000.
CHICAGO, March 24 (U. P.)— Herman M. Cogan, Chicago attorney, demanded $2,000,000 damages today a a citizen's suit against the Caghegie-Illinois Steel Co. and eight of its employees who ‘allegedly were involved in false certification of government steel
specifications.
The suit, ‘filed in federal court, " was an outgrowth eof testimony yesterday before the senate committee investigating the war program.
Photocopies of statements by four Carnegie-1llinois employees at Irvin,
~ Pa, were distributed to the press.
Each of the employees admitted knowledge of substitution of erroneous figures to indicate that inferior steel actually was up to par. The Statements were made by Irene Pas-
v TO Lbs Sr. /
IT i: CTR E LL LTR INDIANA'S OLOEST CREDIT JEWELERS
FOR WAR BONDS
and other valuable papers.
BANKERS TRUST CO. PENNSYLVANIA AND OHIO STREETS Member Federal Deposit Insurane Corporation
yesterday that]
24 (U. P.).—The justice de-| , partment will be asked to determine whether the admissions of Carnegie-Illinois Steel Corp. officials about false certifications of government steel call for criminal prosecutions. ‘Chairman Harry S. Truman (D. Mo.), of the special senate committee investigating the war effort, said he would | turn over the records in the case to justice department officials with a view at least to recovering money paid the corporation
ternak, Robert Kinnard, George E. Dye snd Michael Tarella. Miss Pasternak said that Hest figures were “frequently” transposed. Kinnard and Tarella added that values on tensile tests were increased to indicate greater strength and Dye asserted that he had known since July, 1942, that the company was shipping “badly laminated and piped plates to the U. S. navy and mariime commission.” Perry pleaded for “fair play,” disclaimed possession of knowledge that the cheating was occurring and insisted that it may have been caused by over-anxiety for good production records.
Letter Started Probe
He denied that steel plates used in the hull of the tanker Schenectady were defective, causing it to break in two after it was launched at a Henry J. Raiser shipyard. He maintained’ his position, despite an American bureau of shipping report that the vessel had “very poor quality steel” resembling cast iron. The inferior Schenectady steel, it was testified, did not come from the Irvin works, but from another Car-negie-Illinois plant—Homestead. An employee of Carnegie-Illinois, meanwhile, had written a letter to the Truman committee. The two
investigators being sent to Pittsburgh, where they asserted they had difficulty in getting their information from Carnegie-Illinois. But they did get much data, as a result of which top officers of the
great concern admitted yesterday that the practice of “fake” analyses|
had been confirmed and they promised immediate steps to correct it. Trail Leads to McGarrity Participating in the questioning were Senator Ferguson (R. Mich.), Senator Brewster (R. Me.), Senator Kilgore (D. W. Va.), and Senator Truman. All tried to establish how far up in ' Carnegie-Illinois management ran the knowledge of the practice of making false analysis records for steel slabs that had lost their identification numbers. They said they had been able to follow the trail only as far as William F. McGarrity, chief metallurgist, formerly at the Irvin works, now at the Edgar
ing the slabs that become ship plates at the former plant. No navy inspectors (of whom there are many at Irvin works and all other plants producing steel for ships) appeared as witnesses. Company officials, privately, wanted to know why. Main target for committee questioning was Perry. He said the company would break more production records if “the heat is turned off,” and was reminded by Chairman Truman that “there would be no heat if you had co-operated with
us in our investigation.”
The, GHICAG
146 E. .. WASHINGTON ST.
Oldest L oan Ea oy
tL on Everything! Diamonds, Watches Musical Instruments, Cameras
JEWELRY CO., Ine.
of MOTH od
LEON Eas or C0. 235 Mass. Ave, 2,0, Middle of
E God an and ol sholes eas Paceses
> SAVE mm FURS of QUALITY n FuhA 29 E. OHIO ST.
Same Fine Guat! Same Low MEN'S HATS ana *3
WHEEL CHAIRS ~ Why buy one? Rent one at
HAAG'S ALL-NIGHT DRUG STORE
USE YOUR | Shepis at SEAINS
st Rk —r Cd Nd
ING COMPANY
TIE
LLL]
ASKIN & MARINE Good Clothes, Easy Credit 121 W. Washington St.
occurrences resulted in a squad of| 400-
Thomson works—the latter furnish-| 3o0-
19: 1941
942
The chart shows how daily war expenditures hit a new high of $253,400,000 in February, and compares three-month averages to ! trace the continued gain of production. The chart was issued in conjunction with WPB Chairman Donald M. Nelson’s periodic report.
PORKER PRICES REDUGED HERE
Market Closes Weak With Declines Ranging to 20 Cents.
Hog prices opened 5 to 10 cents lower than yesterday at the Indianapolis stockyards today and closed 10 to 20 cents lower, the food distribution administration reported. The top was $15.65 for good to choice 200 to 225-pounders. Receipts included 6200 hogs, 1100 cattle, 500 calves and 925 sheep.
HOGS S:.qeai0)
120- 140 essences. 813; G14 5 140- 160 A
.. 15.50@1 15.45 [8 vases os 1 1S ae I 1s Psi 35 '[email protected]
IS sscsscscsce
Medium— 160- 220 pounds ..... nanves es
Packing Sows
Good to choice— [email protected] . [email protected] [email protected] . [email protected]
Good— 400- 450 pounds “ec0se0s0s ne 450- 550 pounds Medium— 150- 250 pounds ¢ Slaughter Pigs Medium and Boog 90- 120 po
CATTLE (1100)
[email protected] [email protected]
[email protected] [email protected] [email protected] [email protected]
pounds pounds “pounds pounds
eevsccccesse “esses vcces
1300-1500 Good 700- 900 900-1100 1100-1300 1300-1500 Medium— 700-1100 pounds 1100-1300 pounds Common— 700-1100 pounds
eevccsocsnce
15.00@16 15.25@16. 2
14.00: 14.00
s00ss0s00ene
15.25
Choice— 600- 800 pounds . 800-1000 pounds Good 600- 800 pounds 23-1100 pounds
«+ [email protected] [email protected]
14.50 ty 50 [email protected]
[email protected] [email protected]
ee s0as0sanes esvscsvonecs
ds ss00ss0000lae
Cows (all Weiehu) ee 11% Medi Cutter and common..... sesnas Canner .....oes.cecvese sean op Bulls (all weights) (Yearlings Excluded) Good
csvesecese 14.2¢@15.00 Sausage
BO Good His weights) «..eess 14 [email protected] Med! Be 14.00
13%
Beef—
Motim and common CALVES (500)
Vealers (all weights) Good to choice........ «es [email protected]
[email protected] Cull (75 1bs. up) [email protected]
Feeder & Stocker Cattle & Calves Steers Choice 500- 800 pounds ..cececosesss 14: 5.00 800-1050 Pounds escs0secssees 14.00015.00 Good— ¥
500- 800 poun UNAS ccvecssssnces +18 14.00 800-1050 pounds .ccccsesssces [email protected]
Medium— 500-1000 pounds Common-—-500- 900 pounds ... Calves (steers)
Good and Choice—
500 pounds dOWn secsviss.ss [email protected] Medium
500 pounds OWN ..oeceeees [email protected] Calves (heifers) Good and Choice—
2e00s00 0000s 12.00@13:00
1 500 pounds dOWND eeseeccsses 13. 0014.50
Medium-— 500 pounds dOWR .eeec...ne. [email protected] SHEEP AND LAMBS (925) Ewes (shorn)
' 1.50@ 9.00 choice ..coccese 6.50@ 17.50
Lambs
Good to choice ...cccccocoese Medium and good ccosscscccse
Comm ess seve sesnse Lambs Shor) Good at and ch choles suis viennne. 15.25018.78 and good esssesscnss [email protected] cessassssces [email protected]
[email protected] [email protected] | Pu
aces erese
TRAILER POSTOFFICE
Near Pasadena, a postoffice was set up in a trailer to handle the
war workers. -SAFE DEPOSIT BOXES AMERICAN
FUR COATS Largest Selection in the State
INDIANA FUR GO.
12 East WASHINGTON St
| WATIONAL BANK |
AT INDIANAPOLIS
Lamm Sa pr
15.00{
2.00 Armour TI ....
[email protected] | Pure
mail of a large trailer park housing Un
IN BRIEF—
Shareholders in the Loudon Packing Co. of Terre Haute will meet April 30 to vote on the proposal to sell the concern to Standard Brands, Inc. large national food company, headed by James S. Adams, who is a native of Brazil, Ind. Terms were not disclosed. Under the contract, Louden personnel would continue in the management. 2 = 8 Guiseppe M. Bellanca, founder of Bellanca Aircraft Corp., obtained control of the firm again last night, ousting James R. Morford as board chairman in a proxy fight. The vote of Andrew J. Higgins, New Orleans shipbuilder, helped put over Bellanca.
The immediate post-war demand for at least 5,000,000 passenger cars is anticipated by the National Automobile Dealers’ association. 8 =» : - Iron ore deposits in New York state contain vanadium, which, by oxidation in a converter, can be removed from pig iron, according to an interior department report. National Lead Co. owns the deposit, has used it for production of ilmenite for manufacture of paint pigment. Discarded materials from the ilmenite were found to contain the vanadium-bearing iron ore.
® ® ”
Owens-Illinois Glass Co. soon Will market a fireproof, structural insulating material suitable for a roof base and interior uses. The materrial is a cast, hydrous calcium silicate, made largely from materials used to make glass. The ‘firm's o plant at Sayreville, N. J., is being converted to make the material. 82 = 8 One lumber mill in Maine has shut down and northeastern lumber interests told the OPA that more will close unless price ceilings, based on 1942 costs, are changed. = Higher wages paid in defense plants constitute a ‘big problem,
N. Y. Stocks
Net Low Last Change
% 1% 154
32 18% 77 177
52% an Water W ... 47% Anaconda ..:.... 28
Atchison ....... 51%
“| Atl Refining .. 22%
Balt & Ohio.... 6% 3 64%
Cons Edison ... Cons 1
Curtiss-Wr A . Dome Mines .. Douglas aX Aire . Elec Auto-L ... 34%
Gen Electric .. 36 Suodsich eaves i
.. [email protected] Guages
ig Int Nickel ....e0 Int T&T ceeve. 1% Johns-Man esos 19 Kennecott 8
Nat Dairy ..... 17 N Y Central ... Ohio Oil ..... 16% Packard ....... 4% Pan Amer Air's Penn RR 29 Phoenix Hos ... Procter & G. cose BOY2 Pullman ..
SEs oe ee
rT
Oil . 1 Reading 7 PE. oss Real Silk
Reo Mot vie - ‘ Sears Roebuck .. Servel Inc ..... 1 So Por R 8Sug.. Studebaker .... Sunshine Min. Swift Intl ..... Texas Co ceeess 46% Timken R B ..... 45% . Un Airc pf. Lao
PHD DEED HF]
.
EEEES FRESSES
Stk Yd.. 8 West Air Bke... \ 20% esting El «.... 86 White ROCK «sees § Woolworth ‘ee.e. 34 Yellow Tr ..... 16%
+4 LF: HEE + L
ro
SPEED TAKES GASOLINE
Flying at 250 miles per hour, a four-motored bomber consumes 350
gallons of gasoline every hour.
Governor Jones on . Freight Rates.
The state chamber of commerce in a bulletin to its membership teoday’ took issue with Governor Sam Houston Jones of Louisiana for his statements that the domestic freight rate ‘system discriminates against the South and thus hinders the South’s industrial development. . Governor. Jones spoke on exportimport problems at a joint luncheon of the Indianapolis Chamber .of Commerce and the Kiwanis club here last week. His statements on the domestic freight rate system were -not made at the luncheon, however, but in interviews and a magazine article. “The people of Indiana who hdve
in Indiana and grow in the South, a furniture industry decline in Indiana and grow in the South; a limestone industry decline in Indiana and grow in the South — will hardly accept statements that ‘discriminatory’ freight rates are hindering the South’s industrial development, » the hulletin stated.
Cites Political Angle
“What Southern Spokesmen seem to overlook is that freight rates cannot be made in a country of free enterprise on a political basis— but must be made on an economic basis. . . . Northern and Eastern railroads, operating in densely populated territory, can iin many instances haul more cheaply than railroads operating in less densely populated Southern territory. Southern industries shipping into the North receive the benefit of this economic fact.” The chamber also charged in its bulletin that the “Southern viewpoint also glosses over the fact that, in traffic which actually exists, rates in the South frequently are lower than in the North and East. “Governor Jones, as do others on his side, likes to create hypothetical situation and prove that, if such a situation did exist, freight rates would be discriminatory against the South,” the chamber members were told. Will Continue Fight The bulletin concluded with the statement that the state chamber of commerce, in co-operation with the shippers and Indiana’s governor, would continue the fight for freight rates “based fairly on economic factors and against ‘political freight rates’ which not only would be unfair, but also would be a blow at free enterprise in America.”
TERRE HAUTE GAS CASE IS RESUMED
For the second time, the state public service commission is holding a hearing, which probably ‘will consume several days, on a petition
% for sale of the Indiana Gas Utilities
Co.’s distribution system to the Terre Haute Gas Corp. The commission in office during the Townsend administration approved the sale of the property for
141,250,000 on Dec. 31, 1940, but this
order was set aside by the Clay circuit court and the court decision later was upheld by the state supreme court. . It was alleged in the suit in the Clay circuit court that the sale of the property was approved by Perry McCart and Moie Cook, former commissioners, without the knowledge of William A. Stuckey, the third member who had conducted the hearing in the original case. Mr. Stuckey is a member of the present commission.
the commission who was attorney general when the/case was in court,
° "5, | disqualified hismelf yesterday when
there was objection to his sitting in the case. Testimony offered yesterday concerned the financial structure of the companies involved.
DAILY PRICE INDEX
NEW YORK, March .24 (U.P.).— Dun and Bradstreet’s daily weighted price index of 30 basic commodities, compiled for United Press (1930-32 average equals 100). Yesterday 0000000 OPOIOOOISGOINS 171.85
Month ago 0000000000000 000 170.20 Year: ABO ccssevscrcconccess 155.45 1943 high (March 8)....ee... 172.05 1943 low (Jan. 2) ii iesinesis, 166.61
U. S. STATEMENT
WASHINGTON, March 34 (U. P.)— Gove ent ex| and receipts for ihe currenf fiscal year through March compared with a year By iy Li ast Expenses...., $52, 935,050.07 $19, 3.007, 11 War Spending. 43,083, 31% 875 15.800, 381,036 + 13,105,993,632 8,46 7.970,345 39,825,577,490- 20,817, 365, 126 4,468,544,101 3, 391881: 1,620 3 v108,93%, tf 2,637,157,308 .+.119,639,63 817, 738,838, 770 Gold. “Reser ve.. 22.504.720.728 226,683,141, 535
INDIANAPOLIS CLEARING HOUSE
CIOArINgS +.coeveessssanssosassa:$ 4,406,000 | Debits 15,754,000
HITS RAIL VIEW,
Challenges ‘Statements of
seen a paper-board industry decline
"EMPLOYMENT | : ia February, 1943 Employment (Manufacturing) esscasssss 19,000 Payroll (Weekly) 47 Cvesesnesners $2,969,279 Sought Jobs (Persons) .....c..c...s....5046 Obtained Jobs sstesrsnsness Oil
| Filed Unemployment Claims ............533
TRANSPORTATION
Inbound Freight (Carloads) ............16811 Outbound Freight . 9,207 Streetcar Passengers ...ceo.cecccccacas- «9,059,521 Airplane Passengers ........ . 2,804
BUILDING :
Houses (Permit Value) ......coree0.c0q.$110,100 Apartments ............ Business Industrial Public
Tere 0cs RIB RTeROR Ye
ss scaseenc
ssssssesinvenanv vs oieasiasesnsasssnesesssnniiens S790 ceersessscss $3,500
oe. . $23,921
es000000 0080 00vsccn0
FINANCE
Bank Clearings .......... Bank Debits 9,83008.9108.9199087999
MARKETINGS
Hogs (Head) .......oceodoccaecsccocee..126,507 Cattle ....... Coase sse cassessasasssesuses 083 Calves: .......0secenssercsincssssnssesis: 8150 Sheep : . 31,254 Corn (Bushels) .....ccoe0evveececsceess 2,974,000 Wheat ..139,000 Oats sees esetsasessnsess se sssessessass 40,000 Rye Senin Soybeans
. - -$104,408,000
e000 ressen
$8 v00% 0000000000000 000% 0000000
$00 0400000000090 000000000¢ y
0000000000 OR IRN.
355.000 canes
+++ $321,961,000
Sw trees
Compared With January, 1943 72,564 ++ 34 $2,857,498 .... 4+ 39 5216 ...i00.. — 33 2,326 ....0000. + 204 1,008 ... - 47.1
50,328 sasassee + 264 '$1,943,571 4992 J.iccnee + B53 2,509 sedesesns dhe 20. 1,847 $8 4:0:9.6 4 8:4 — 711
-
17,470 sesevene — 38 10,107 csssepee == 89 6,637,294 ..... + 365 3269 .....0o... — 1432
18482 .... 10914 ... 9,639,495
$136,508 eesnes = 193 $12,200 11ers — 637 $43,850 s000000 92.0 $9,800 tesvenes -=100.0
San
$124,523,000 $369,585,000
$101,979,000 $284,750,000
ik 248 eo + 153
— 18.6 -— 15 — 63 -— 39.9 + 28 + 133 +1077
150,838 ....... 28672 ...cc000 —. Z 10,120 sesso - 10.5 5 33,842 cesses es w= 1.6 1,876,000 ..... + 585 312,000 ....... +136.9 474,000 ....... + 139 33,000 ........ —100.0
155435 ...... 29,290 ...eu... 8,698 ....c000 52,028 ... 2,892,000 650,000
—622 43500
wei 28
George N. Beamer, chairman of|’
Week ago ssecesssesesssesey 171.47}
MISCELLANEOUS
Telephones In Use Postoffice Receipts ; Electricity Output (by kwh)
Gas Consumption (by Cubic Feet) ......592,646,000 Water Pumpage (by Gallons) ...... venues $571,608 Relief (Persons) ,..occsccescccocsssccss 838 mses scusssiovinsenssres sens: 312,350
Imports
Relief (Cost)
one,’ Board of Trade: U. S of Commerce.
8 » 8
lar volume than February last year.
1942, the commerce department report shows. The total of dollar sales reported by 128 Indianapolis stores was $2,515,665 in February.
made larger year-to-year gains than Indianapolis. A Sales in Evansville were up 88 per cent—by far the largest increase in the state. 'Pt. Wayne showed a 33 per cent gain, South Bend, 25; Terre Haute, 25; Marion, 32; Lafayette, 21; Muncie,|In
11 per cent
ready-to-wear stores which had a sales increase of 111 per cent over|;’
ported a 59 per cent increase; jewelry, 58; dry goods and general merchandise, 52; family clothing stores, 42; grocery and meat stores, 35; department stores, 34, and grocery stores without fresh meats, 33. Sales of household appliance dealers were down 68 per cent, automobile sales off 21 per cent, hardware down' 13 per cent and fuel and ice sales off 6 per cent.
' WAGON WHEAT
to the close of She Chicago market ur mills and grain
today, Indianapo! bi paid $1.52 = bushel for Ro. 3| Ind
red wheat (other es on their merits). No. 2 white oats, 57c, and No. 3 red §57c; No. 8 yellow corn, 83c per bushel, and No. 3 white corn, $1.04.
iu
cssesessss «152,000
tessvisses.126,086 teeeeeen.. $441,485
urces of above fnformation: indians Employ; nt Monon, Illinois Central and Nickel Plate road ing Commissioner: Indianapolis Clearing House Associati . S. Commerce Department: Indiana Bell Telephone Co.: igdianioss Power & Light Co. Citizens Gas & am
Indianapolis Retail Sales Decline 6% in February
Retail sales of independent stores in Indianapolis during February declined 6 per cent from January but were 21 per cent greater in dol-
A number of other Indiana cities| peal
Ind 15, and Michigan City a decline of |; 4
Biggest increase was in A
February last year Shoe stores re- arto
$
.. 74,526,000
«oe «+ 1,140,100,000 1,236,560 $319,641 854
$12,712
Security Division; New Badsurset!
Coke Untility: in dis napolis Water
* For the first two months of this year, Indianapolis retail sales, not including department stores, held 11 per cent over the same period of
LOCAL ISSUES
Nominal quotations furnished. by local unit of National Association of Bid Asked alers. Agents Fin Corp com
*Belt RR Stk Yds 6% pfd Bobbs-Merrill c¢ Bobbs-Merrill hn ptd Circle Theater co
Pp into ry Lite Ne com. b Serv SP pid. .. 87% N Ind Pub Serv 92 N Ind Pub Serv 8% pfd ...101% P R Mallory com 16% Progress a Pub Serv of nd. 5% pid Pub Serv of Jug com So Ind G&E 4.8 pfd “Stokely Bros pr pic.... United Tel Co Co 5% escseses : 98 Union Title com ....ce000000. 3% Van Camp Milk pfd .......... 66% . Van Camp Milk com ..c..c.0s 13 Bonds Algers Wins'w W BR 4%%... 99 American Loan 58 5 96 American Loan 5s 4 Cent Newspapes Ch of Com Bld Citigens. In nd Te nsol 58 80 ese
Castans . 9 Asso Tel Co 3%s 70 ceses:108
Fanner Packing Co 412s 49
wl
Morris 5&10 Stores 55 50 ..... 98
RAND
Boul
1
mus
i ut
*
etree |
since 1869. Its | cneased
124,559 ....... $443,610 ...... 82,017,000 .... 645,170,000 . ... ,000 ..
Yo ls; Indianapolis Railways: indianapolis Mun Agriculture Mar lanapolts Postoffice
| N Tok Tel eis B50 80 |Pub
eves nsen +249.4
@-
12 0.5 9.1 8.1 8 78.8 2.2 2.8.
112,516 ....... + 120 $403,405 ...... + 94 62,799,000 .... + 18.7 517,826,000 ... + 144 974,560,000 ... 4 17.0 $176,087 - 1807 cssenseoe 53.8. $24,575 ....... — 40.3
vania, Baits re & City 2
LE+010 1+
rk Central, Pann
Co.t Us 8 Hog Somer Office: India:
GRAIN PRIGES TURN
CHICAGO, March 24 (U. P).— Grain futures developed a strong tone on the board of trade today ena couraged by bullish sentiment on
pending legislation. At the end of the first nelle
| wheat was up % to % cent a bushel
corn unchanged at OPA levels; oats up % to % and rye up % to %.
market. Corn trade consisted at 1% cents difference. May oats reached a new high for
ings. Ee ove . LOCAL PRODUCE hi oT Baal oe ER a Broflers undes 3 bes solored and Barred Fryers 3
Barred and Wh Stags—Leghorns, gio; Ea breed, 2303
Graded A Medium, 34c; grade A small, ‘grade,
ole Water Works 55:66 ...104%
N Ind pub rv 3%s 69
Pub Richmond Water is Be 57.. ac Term Corp Bs 6 *Ex-divid end.
os “sesion
iW HE SRO)
: *Unifo EE i Lal
cesses +2246
Limited offerings, coupled with good commission house and local demand, strengthened the Wheat i:
$38,693 Ce00r ee = 38.2
i
— 161 5
changing from May to July positions :
the season at 63% cents a bushels : 1 Activity in the rye pit increased to= day under, fair commission house de= mand and somewhat limited: offer= £0
-
HIGHER AT CHICAGO
Eggs—Current receipts, 54 Ibs. and up, A s—Grade A large, 36c; 3 Egg 8 Erde
© Sutien io. 1, 50c. Butterfat~No. 1, 490g gi