(JAHCO) Office copy No. 3321 CLEVELAND, OHIO, October 14, 1941. Pay to order of Joseph Zorn. Union Bank of Commerce 6-15, Cleveland, Ohio. JACK & HEINTZ, INC., EXHIBIT No. 76 809 Hanna Building, Cleveland, Ohio. Issue: United States of America 21⁄2 percent Treasury bonds of 1967/72 (interim certificates) dated October 20, 1941. Nos.: 26825, 9220, 27245/6, at $500 each; 64599/601, inclusive; 38625/26, 64324, 93552, 93545, 64325, 38627, 104383/84; 104408, 59692/94, inclusive, 40961, 57851, at $1,000 each; 11095, 22857, 23334, 22145, 20172, 14471, 18640, 23704, 15306, 22660, 23332, at $5,000 each; 58348, 41389/94, inclusive, 30815/16, 21111/12, 55017, 57074, 58363, 59861, at $10,000 each. Date: January 16, 1942. Date: January 17, 1942. Sk. account No.: 334. No. 1418. Maturity: September 15, 1972 (redeemable on and after Interest periods: September 15 Date: January 23, 1942. Sk. account No.: 334. No. 1422. Maturity: September 15, 1972 (redeemable on and after September 15, 1967). Interest periods: September 15 and March 15. Coupons attached: March 15, 1942, and SCA. Par value: $325,000. Date: February 10, 1942. Sk. account No.: 334. No. 1446. Maturity: September 15, 1972 (redeemable on and after September 15, 1967). Interest periods: March 15 and September 15. Coupons attached: March 15, 1942, and SCA. Par value: $250,000. EXHIBIT No. 77 MEMORANDUM-ADVANCES UNDER WAR AND NAVY CONTRACTS By contract, funds equal to 30 percent of each contract have been, or are to be, advanced to the contractor to facilitate the performance of the contract. As of October 31, 1941, the unliquidated advances were: War Department. Navy Department....... Total_____ $2, 417, 511. 25 5, 880. 00 2, 423, 391. 25 (See p. 8 of The investment of the company of $329,945.38, as contrasted with a capitalization of $100,000 was probably financed in part by these advances. Navy auditors' report.) Mr. J. EDGAR HOOVER, EXHIBIT No. 83 MARCH 25, 1942. Director, Federal Bureau of Investigation, Washington, D. C. MY DEAR MR. HOOVER: I am enclosing a copy of the verbatim record of the hearing held Monday, March 23, 1942, before the Naval Affairs Investigating Committee concerning Jack & Heintz, Inc., of Bedford, Ohio. In sending you this transcript I do not mean to suggest that this company has violated any civil or criminal statute of the United States. However, I do believe the actions of the company should be brought to your attention. Very truly yours, EDMUND M. TOLAND, General Counsel. MARCH 25, 1942. Hon. GUY T. HELVERING, Commissioner, Bureau of Internal Revenue, Washington, D. C. DEAR COMMISSIONER: I am enclosing a copy of the verbatim record of the hearing held Monday, March 23, 1942, before the Naval Affairs Investigating Committee concerning Jack & Heintz, Inc., of Bedford, Ohio. In sending you this transcript I do not mean to suggest that this company has violated any civil or criminal statute of the United States. However, I do believe the actions of the company should be brought to your attention. Very truly yours, CARL VINSON, Chairman. MY DEAR MR. SECRETARY: At the hearing of the Naval Affairs Investigating Committee on Monday, March 23, 1942, certain matters were developed with regard to Jack & Heintz, Inc., Bedford, Ohio, a Bureau of Aeronautics contractor, that I believe should be called to your attention. These matters relate principally to the fiscal aspects of the contracts held by that company, especially with regard to the tremendous salaries and bonuses being paid from profits derived from Government contracts. It is my recommendation to you that the Navy Department assign an officer to Jack & Heintz, Inc., to oversee its financial operations in order that huge and unconscionable profits may not be realized from Bureau of Aeronautics contracts and dissipated through the payment of huge salaries and bonuses and the furnishing of free services to employees. I am enclosing a copy of the hearing. Very truly yours, CARL VINSON, Chairman. Hon. HENRY L. STIMSON, Secretary of War, Washington, D. C. MARCH 25, 1942. MY DEAR MR. SECRETARY: At the hearing of the Naval Affairs Investigating Committee on Monday, March 23, 1942, certain matters were developed with regard to Jack & Heintz, Inc., Bedford, Ohio, an Army Air Corps contractor, that I believe should be called to your attention. These matters relate principally to the fiscal aspects of the contracts held by that company, especially with regard to the tremendous salaries and bonuses being paid from profits derived from Government contracts. It is my recommendation to you that the War Department assign an officer to Jack & Heintz, Inc., to oversee its financial operations in order that huge and unconscionable profits may not be realized from Army Air Corps contracts and dissipated through the payment of huge salaries and bonuses and the furnishing of free services of employees. I am enclosing a copy of the hearing. CARL VINSON, Chairman. EXHIBIT No. 86 APRIL 3, 1942. Hon. ROBERT P. PATTERSON, Under Secretary of War, Washington, D. C. DEAR JUDGE PATTERSON: It has come to the attention of the committee that Jack & Heintz, Inc., of Bedford, Ohio, has entered into certain negotiations with the Army Air Corps leading to renegotiation of its contracts and refund of part of the excessive profits derived therefrom. I would greatly appreciate your furnishing me within the next few days complete information concerning this matter, especially a report on the details of the renegotiation of the contracts and the amount and character of the refund expected. This report should include a statement of the total amount saved by the War Department through the renegotiation of the contracts and the refund thereon. Thank you very much for your cooperation in this matter. Very truly yours, EDMUND M. TOLAND, General Counsel. |