AMERICAN SCANDAL
WASTE OF PUBLIC. MONEY WAR CONTRACT METHODS WASHINGTON, June 23. The House Military Committee reported that years of investigation had uncovered evidence revealing a sordid picture of excessive commissions to brokers, excessive profits to vendors and exorbitant salaries, bonuses and fees for management in many War Department contracts. The chairman (Mr A. J. May) recommended ending, except in unique cases, the cost plus fixed fee method, under which the incentive towards extravagance. Disregard for economy appeared to have been the rule rather than the exception. There was evidence of widespread inexcusable waste of public funds, amounting to millions of dollars. The investigations revealed every conceivable typo of extravagant waste. The time nad come when the contractors' honeymoon at the nation's expense must end. Unbelievable red tape, top-heavy organisation, and lack of orientation on the part of the State to the war were st'.ll rampant in war-time Washington. The report pointed out faults in viitually every branch of the War Department, especially the Air Corps.
Permanent link to this item
https://paperspast.natlib.govt.nz/newspapers/ODT19420625.2.61
Bibliographic details
Otago Daily Times, Issue 24951, 25 June 1942, Page 5
Word Count
166AMERICAN SCANDAL Otago Daily Times, Issue 24951, 25 June 1942, Page 5
Using This Item
Allied Press Ltd is the copyright owner for the Otago Daily Times. You can reproduce in-copyright material from this newspaper for non-commercial use under a Creative Commons New Zealand BY-NC-SA licence. This newspaper is not available for commercial use without the consent of Allied Press Ltd. For advice on reproduction of out-of-copyright material from this newspaper, please refer to the Copyright guide.
Log in