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Daily Worker — Part 4
Page 4
4 / 77
" eeet hod already dug up cases with audits complete,
showing where the government had been defrauded to the anount
of ¢£5,009,000 at that time. and I got tnstructtonse to go
ahead with the broad tnveeti gation.”
Accerding te this "Datly Worker™ article, Senator Jones
of Washington, a member of the Senate Countttee, then asked seoaife
zho had given Atm the above referred to tnatructions.
Seatfe ta quoted es saying "I think $t wae Mre Hoover.”
Relative te thie pertien af Scatfe's tesetinony, ag set
out in the "Datly Worker,” tt ts potated out thet Scaife allegedly
wos ordered to discontinue the investigation of the aircraft
industry and wos tastructed to ge on with ao “broad” tavestigation.
AS will be explained more fully below, Seatfe actually testified
thot he wae ordered to go shead with a “bread” tnvestigatione
TRE ORMATION Ik BUREAU FILES?
& review of Bureau files reflects that Seatfe was appotnied
by the then attorney General, #. M. Daugherty, as a Special Agent of
the Bureau of Investtgattoa, Departwent of Justice, on October 4,
1921, anc assigned to the investigation of the aifcraft taduatry.
ma > > |
Phe files further reflect that during the course of this
investigation, Seaife, through the cooperation of the air Cervice
Section of tae War Departaent Cloime Board, had ascertained, as of
February 22, that certata aircraft nonufacturera had overcharged
the US Government on_¥o r J centracts te the amount of approci-
mately $25,000,000. ba be
Nowhere in the files reutewed at thia time ie there any
tndteation that pou aetepped thie investigation.
This allegation te evidentiy based upon the above~quoted
porttons of Seaife's testimony before the Senate Comnitice to the
effect that he, Scatfe, "wae tastructed te begin a bregd investigat
A review of the official transcript of the haeariage conducted by
mum the Senate Commtttee reveals that Scatfe, in responee to certain
ue _guesttons asked by members @f the Senate Committee, testified az
we follows:
Clegg. ~~ _ -
nen yr. Scatfe. "s.s.But when we begin te dig up these aud
“Tt wae apparent it was going to be blocked. dnd thts blocking con
cer tinuede Not only that, but after I sot tn just about as far alon
“—-—gg we ATE NOVerae”
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