Show I Scandal in Veterans Veterans' Bureau I Shows How Money Was Wasted I Forbes Forbes' For beC Clo I o e Friend Profited From Graft Man Assigned to o Care for fori Wounded Soldiers Has Hasl Quick Rise ise to Position I Through Pres Harding third Instalment of the This Is Ic the I and amazing da his il handling story o of of f Charles the ea OO R. R Forbes r rI ap ap- the government for the I by rehabilitation of American boys I wounded In the war The first two I Instalments told how Forbes a drummer drummer drummer drum drum- mer boy In the marine corps later ItI a It and andI deserter from the signal corps I still later a construction gang eang foreman foreman fore fore- man and politician met Senator Warren War I ren G G. G Harding In the Hawaiian Islands Island became his friend and was wasI appointed head of ot the veterans' veterans bu bu- bu told I reau The second Instalment how President Hardings Harding's sister was to together to the Innocent cause of bringing gether E. E H. H Mortimer and Colonel Forbes By WILL IRWIN NEW YORK Feb 13 We We left I II I Colonel Charles R. R Forbes of ot the I 1 bureau and his friend T laa II Jr Mortimer in the Drake hotel Chicago where according to Mortimers Mortimer's testimony before the senate committee he had lent Colonel Colo Cob nel Forbes Thompson and Black money Thence they proceeded proceeded pro pro- cee ed on their Junket and joy ride to the hospital sites of oC the Pacific roast COast M. M I L. L Sweet Forbes Forbes' private vate rate secretary joined them at Dener Denver Den Den- I ver er From rom there on Forbes Mr and Mrs Mortimer and Sweet were the nucleus of the expedition Two Officials of the public health ser ser- Continued on page 5 DES DES' CLOSE IENO MADE iAAL MONEY mer mer mer Head of Veterans' Veterans i au Saw Sa That Morti- Morti I r Was I Kept pt Posted on Pital Contracts Claim continued from page 1 1 I r It 1 accompanied them In a gen gen- Way but these thess men avoided Is i or automobile joy rides a attended tende l to business Other ers in the drama of ot the vet- vet lt 4 but eau ft flash flath sh In and out outer If iver-as iver as er as Black of ot the Thomp- Thomp i BJ Black ck combination OBrien O'Brien r architect of ot the tho pro pro- pro pro-I nS n'S hospital at L Livermore Cal C C. C B. B Hurley Hurle The Thea I a new actor hut entrance a n foreshadowed i RAPID RAPED CLIMB f IES t e brief period between his t tho the army anny In France h hT s appointment at Washing- Washing Ip of l' l Forbes was as vice ice president I I Mason Hurley-Mason Construction t any at Tacoma On leaving e Pacific coast Forbes had graphed ph d to Hurley n i et t me In San Francisco with with- t U Sunday Sunda Juno June 25 tr brief sojourn In the pure tn airs of Denver and tho the tUlon breezed on n to warm hosko hos- hos Q ko q Ca California San Francisco tho ho first stop There accounts e atmosphere surrounding the i egan to vary considerably L. L m r told the senate commit- commit 1 liat b it t It was moist If not wet vet J lc esY declared S declared that he saw little ittle that he hIms tied Jelled y AX ed alcohol only once That n feeling poorly he took I t ic e hot whisky as a a. remedy l ie is some documentary evi- evi concerning this disputed t Ii rs COMMAND t. t Jonel Forbes and his friends working north from San Sant Jr ir t XV Vl v. v Black telegraphed to 4 from Seattle concerning Imer reservations and anti added e the arranged to meet all 4 Scotch Scotch generals generals' G General Halg Haig fh In command How many do 10 you yoa want Regards to all Sure my time I Leaving San Francisco Forbes Sweet and the Mortimers motored to Stockton looked over a government government government govern govern- ment project on picturesque picturesque pic plc- r Kough and Ready Heady island and ended up at a house hous where according to Mortimer there was wasa wasA a II bar running the length of the room A bartender bartend r like a ghost of ot old years was as mixing drinks any drinks anything any thing you wanted Here Mortimer Forbes and friends spent a whole afternoon From Forbes' Forbes files Wes In InI Inthe inthe the veterans' veterans bureau the senate In Investigators investigators in- in i I extracted a a. carbon copy I of f a bread and butter letter to io the owner of or this hospitable house Here ft t IB i Is In part I SOME HOSPITALITY Dear Mrs Irs I believe I I t could astonish you if it I to record in this letter the I i of ot that never to be forgotten forgot forgot- j ten room In your OUr home the name of or which Is a a. word obsolescent If it not obsolete Tho heat of Washington conjures up before me mea meas a as ac In a mirage the Innumerable things that greeted ones one's eyes eel and excited the palate pf Pt the thirsty thIrst If It ItI I I It II could but hut materialize these things I assure you jou ou that Washington Washing Washing- ton In Its bravest of ot torrid days I would of otter offer r me no apprehensions of I discomfort Sincerely your yours CHARLES F. F FORBES I Typed Forbes on the stand said Raid that he could not remember writing such sucha a letter Ietter that Sweet his secreta secretary usually attended to social corre And Sweet also did not seem to remember WINE AND SCOTCH Following Mortimers Mortimer's testimony on this trivial but interesting point of ot alcoholic stimulant there had been some question concerning tho the disposal Of or grape crop on the old Cresta Blanca vineyard now growIng growing growing grow grow- ing famous as the Livermore hospital hospital hospital hos hos- pital site It seemed a pity to lose those grapes Dont you worry wom said Forbes to Mortimer well get all the wine we want ther there anyway Here is Mortimer's Mortimers Mortimers Mortimer's Morti Morti- mers mer's testimony in spots and flashes On Monday there were a couple of ot dozen quarts of it wine brought up to the hotel In San SanI I Francisco In two suitcases The drinking started about an hour after atter we came to the hotel The majority of the people e were drinking Scotch In fact hardly any of the wine was touched It was taken in the automobiles automobiles automobiles au au- au- au to Stockton when W we went there Major General ORyan There ORyan There I I were liberal quantities of or Scotch available were there Mr FIr Mortimer Yes Mortimer Yes sir j i LEGION PROTESTS PROTESTS From Stockton to Los Angeles j I and San Diego they proceeded by I I automobile doing a little government govern- govern I ment business here and there At I San Francisco a committee of the I j American legion visited Colonel COonel I Forbes to protest against the Ir Irregularities Irregularities irI ir- ir regularities In the Livermore LI hospital hospital hos hos- I pital transaction The details I hos-I of that affair were just beginning to toj j leak out Colonel Forbes gave I them only languid attention By Bythe Bythe I the time lie he came to testify before i tho senate committee he had forgot- forgot I ten their protest entirely At Stockton Stock Stock- Stock Stock-I I ton he was dined by the be board ard of ot I trade Southern California welI wel- wel I corned him with open handed 1 hos hos- 1 At San Srn Diego the party took a I Pacific coast steamer for tor Seattle The me state of or Washington was all wired for tor their coming Colonel Forbes an adopted son of or the green Northwest was returning as a I I IX power in our government H. H F. F j Alexander owner of or a steamship line on the Pacific coast caught J the party b by telegraph invited them themI I to transfer at San Francisco to his I new steamer de the Alexander I FORBES AS ORATOR j I Forbes accepted they traveled north in Mr Alexanders Alexander's private suite A public luncheon celebrated tho the arrival arrS of ot the Alexander All the way West Vest Colonel Forbes had been revealing a power hitherto unsuspected by his friends He proved a magnificent rough and ready orator He could stand up II before a thousand people and make em laugh and cry as he wanted sayS Bays Mortimer At this luncheon the artistic temperament took possession possession possession pos pos- session of ot Colonel Forbes Forbes- and led him into Indiscretions At the end endor of or a long passage in praise of or Mr Alexander he drew front from his pocket one of or the common little Harding medals which were hawked about the streets of or Washington at the time of the inauguration and pinned it on his host The president be- be toO foe I left Washington asked we to give this to you he said Following Following Following Follow Follow- ing is Mortimers Mortimer's testimony I asked Forbes Forbes we we were all sitting sitting sitting sit sit- ting around laughing and I said Charlie tell me did the president ask you ou to present that And he said No He said I r Just wanted to make him feel teel good He said I He was pretty good to me and put us on his private suite on the boat It was an Impulsive thing on the spur of the moment But Buthe Buthe Buthe he is very spontaneous MORTIMER ALL WRONG In the Northwest Mr l Mortimer l Thompson and Blacks Black's agent for contracts with the government be began began began be- be gan getting down to business Let me dispense with h the monotonous phrase according to Mortimers Mortimer's I testimony To this end of or this in instalment in- in the rest Is Js all taken from his examination before the tho senate 1 committee as confirmed in spots by other witnesses or by letters I telegrams and documents Forbes Forbe has declared that Mortimers Mortimer's story i Is untrue in bulk and In detail I O. O B B. Hurley had come as ss re reQuested requested requested re- re quested to San Francisco Francieco In the presence o of Mortimer he and Forbes spoke of or the proposed d government government gov gov- hospital at American Lake I Washington one of or the tho projects which had drawn Forbes West Vest Forbes had said to Hurley I lean 1 cannot cannot can can- not give you any work because I 1 still own stock In your our company HOW CODE WORKED I They held eld several private conver conver- I Then Hurley came out of ofa ofa I Ia a conference and mid eald to Mortimer i Forbes has no stock In the com company com com- om- om pany and Wi we are In a position to I figure on the work Hurley was awaiting the party at Tacoma J J. J M. M Black of the Thompson Black combination one of or Mortimers Mortimer's employers in the business of or getting getting getting get get- ting government contracts was al already already already al- al ready in the Northwest From that time forth the business atmosphere thickens Hurley called Mortimer Into his office and imparted to him hima a simple and useful code for tor communication com corn 1 regarding government contracts The key was a standard I pocket dictionary To get the codeword codeword code codeword word you counted back five words from the word you OU wanted to ex express press Man Ian for example became in the code mammilla arrive I became array and August became became became be be- came auditorium This of course did not cover proper names FORBES WAS MADOO There was therefore a t typewritten ten supplementary list disguising the names of ot persons and cities The Tho Chie Chief Forbes was wag McAdoo McAdoo Mc lc Adoo Sweet was Pickles OBrien O'Brien was Fox Mortimer was Moxey l and Hurley was was Ryder Hyder The device of naming Forbes after a a. Democratic leader gave the little circle many a goo good i 1 laugh Mortimer Mortimer Mortimer Morti Morti- mer submitted to the senate senat committee committee com corn several telegrams and letters in this code all aU referring to government government government govern govern- ment contracts ALL HAD CODE Forbes declared to the senate committee that he had no knowledge knowledge knowledge knowl knowl- edge of or this code and it is to be noted that none of the letters or telegrams submitted is la addressed to him or signed by him Mortimer testified to the contrary Mr Mortimer I I 1 know that he was vas supposed to have one Copy of or the code I know lenow that everybody everybody everybody every every- body else had bad one and he knew about It The Chairman How Chairman How do you know he knew about it Mr Mortimer Mortimer Because he asked me If it there was something wrong with one of the messages that he evidently got I got several code messages at the Wardman Vardman Park and ho asked me what the meaning of or it was He was a little mixed up I Iguess Iguess Iguess guess In trying to go back and find what the tho words were and decipher them TALKED THINGS OVER The Tho party had Joined the hospi of ot Tacoma Seattle Se Portland Spokane before the stairs back-stairs negotiators negotiators negotiators ne ne- ne- ne came down to the heart of the business While recreating themselves at Hayden Lake near I Mortimer Mortimer Mort Mort- Spokane Hurley Forbes and imer liner took a little walk and talked things over The bureau was going to build bund three hospitals in the re region rE- rE gion glon of Hurley's business operations at at American Lake Washington Livermore California and St st. Cloud Minn San Diego was WaR also a possibility Direct testimony again Mr Mortimer The Mortimer The direct conversation conversation conversation conver conver- out at Ha Hayden Hajden den Lake which was brought up by Mr Ir Hurley In Forbes Forbes' presence and m my presence was that by the linking together or or the borrowing of ot money from tho the Thompson-Black Thompson combination to finance any deals that would be bo necessary they were to share 33 2 1 per cent without takIng taking taking tak tak- ing any of the work that Is on Livermore or American Lake Laie St St. Cloud Minn or any contract that they would get Major General ORyan that ORyan that was for tOr staying out of Hurley's Hurley territory territory terri tern tory I Mr Mortimer Mortimer Yes A THIRD FOR FORBES Colonel Forbes director of or the I Veterans Veteran's bureau was to get a third of these profits leaving a third to Hurley Mortimer had al already already already al- al ready been promised 35 per cent of the tho profits on any hospital contracts contracts contracts con con- tracts which he might land for the Thompson Black company And he was to be bo taken care caie of ot out of or the Thompson-Black Thompson 33 2 1 per percent I cent The continues Mr Mortimer They The They figured on this basis Senator that each million million mil mu- lion and a half dollar hospital would have profit In it They figured on a 10 per cent net f The Tho Chairman Chairman On On each one one of the three hospitals Mr Mortimer Mortimer On On each one of ot the tho hospitals Which on pap paper r meant 15 L for Hurley or his company for Forbes Forbes' and I less 35 per cent commission to Mortimer for Thompson and Black This agreement was wa no sooner I concluded than Mortimer Montimer had the first of his with I Forbes It arose out of ot a matter I which has no relation with government govern govern- govern 1 ment or company business MOrtimer Mortimer Mortimer Morti MOrti- mer left the tho party for Minnesota His trip cost him Forbes and Sweet had Iad their railroad transportation transportation trans trans- 1 from front the government I ot otherwise Mortimer paid He footed footed foot foot- ed the tho hotel bills at San Francisco I and In the Northwest Northwest and and cannily proof kept the receipts as partial I When no hospital burger of or the cities on their triumphal march favored with parties Mortimer 1 gave them Did your our expenses Include liquor li- li the Senate nate investigators en enl en- en Oh sure replied Mortimer Morti Morti- l mer mar By the end of July 1922 Forbes I was back In Vw Washington ashington This I ride Joy-ride to the Pacific coast was I perhaps his last free care party Already Alread that transaction known in inthe inthe I Ithe the unofficial annuals of or our as the Pontiac Deal was wa under way The President source of or Colonel |