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design for a box in which to pack the vane assemblies for the 100 series bomb fuze originated by Mr. Gross and accepted by the Ordnance Department.

2. Mr. Gross' design eliminated the use of four steel carriage bolts in each box, substituting a packing assembly made up entirely from wood. It is estimated that this substitution has resulted in a saving of approximately 35 tons of steel per month at this plant alone and the saving will be made in all plants loading the 100 series bomb fuze. Such a saving is in accordance with the national policy for conservation of critical materials. Due to decrease in the size of the box (approximately 0.64 cubic foot) there has been a considerable saving in shipping space. Since this is an overseas item, the space saved in cargo ships is an item of prime importance.

3. This new design was accepted and incorporated in revised packing drawing 76-16-166 for the M100 series bomb fuzes under date of February 15, 1943. No recommendation for a suggestion award under provisions of War Department Orders I, June 2, 1943, has been or can be made since the box was accepted prior to June 2, 1943.

4. A citation has been presented Mr. Gross under date of April 29, 1943, a copy of which is attached. It is not believed that an additional citation would be necessary in this case.

5. Reference is made to letter from field director of ammunition plants, St. Louis, Mo., dated March 16, 1944, and other papers relating thereto, copies of which are attached.

CHARLES G. TOLSON,
Major, Ordnance Department,
Commanding.

WAR DEPARTMENT, ARKANSAS ORDNANCE PLANT, Little Rock, Ark., April 29, 1943.

Memo to: Mr. Fred E. Gross, ordnance inspector, Arkansas ordnance plant.
Subject: Citation for meritorious service.

1. It has been noted that your design for a packing box, involving the substitution of wood for steel and thereby saving thousands of pounds of critical war material, has been approved by the Chief of Ordnance and has been incorporated in standard ordnance drawings.

2. The work you performed in designing the new packing box was not required by your regular duty; yet work such as this has a direct bearing upon the conduct of the war. Inventive, conscientious Americans are this country's greatest asset, and the allied leaders are counting upon them to provide a quick solution of the technical problems that the demands of war have created. Without workers who do more than is required by their regular duties, without their constant attempts to improve production methods, it is doubtful if the United Nations could prosecute the present conflict successfully.

3. It affords me great pleasure at this time, as commanding officer, to extend to you my personal congratulations for meritorious service rendered this establishment over and above your regular appointed duties.

ROBERT A. KOHLOSS, Jr., Lieutenant Colonel, Ordnance Department, Commanding.

Subject: Recommendation for citation,

WAR DEPARTMENT, ARKANSAS ORDNANCE PLANT, Little Rock, Ark., March 30, 1943.

Fred E. Gross, ordnance inspector, Arkansas ordnance plant.

To: Chief of Ordnance, Washington, D. C.

Through: Field director of ammunition plants,

3637 Lindell Boulevard,

St. Louis, Mo.

1. Under date of November 26, 1942, this office submitted a sketch and photographs showing a new design for packing the vane assemblies for the 100 series bomb fuze. This new design of box was originated and designed by Mr. Fred E. Gross, an ordnance inspector employed at this plant.

2. The above-mentioned letter was forwarded through channels to the Chief of Ordnance for consideration. Under date of February 15, 1943, this new design was incorporated in the revised packing drawing 76-16-166 for the M100 series bomb fuzes, being mandatory on all future contracts and mandatory on current contracts as soon as the change-over can be completed without interfering with production.

3. Mr. Gross' design eliminated the use of four steel carriage bolts in each box, substituting a packing assembly made up entirely from wood. Based on present schedules at this plant alone, this substitution will result in a net saving of approximately 35 tons of steel per month. Such a saving is in accordance with the national policy for conservation of critical materials.

4. It is therefore recommended that appropriate recognition be given Mr. Fred E. Gross for his efforts to further the war program in conservation of critical materials.

ROBERT A. KOHLOSS, Jr., Lieutenant Colonel, Ordnance Department, Commanding.

O

80TH CONGRESS 2d Session

}

HOUSE OF REPRESENTATIVES

REPORT No. 1634

NEW AMSTERDAM CASUALTY CO.

APRIL 1, 1948.-Committed to the Committee of the Whole House and ordered to be printed

Mr. REEVES, from the Committee on the Judiciary, submitted the

following

REPORT

[To accompany H. R. 2785]

The Committee on the Judiciary, to whom was referred the bill (H. R. 2785) for the relief of New Amsterdam Casualty Co., having considered the same, report favorably thereon without amendment and recommend that the bill do pass.

The purpose of the proposed legislation is to pay the sum of $1,378.65 to New Amsterdam Casualty Co., in full settlement of all claims against the United States for reimbursement growing out of a suit for damages against F. E. Cameron, a contractor, whom the company had insured against liability. Said Cameron had a contract to move stone on the Newfound Gap Highway in the Great Smoky Mountains National Park, and on July 6, 1936, Homer Ownby, one of his employees was injured by being struck by a stone which was hurled by a blast in a stone quarry which was operated by the Federal Govern

ment.

STATEMENT

It appears that during the year 1936 F. E. Cameron, a contractor had a contract for hauling stone on the Newfound Gap Highway in the Great Smoky Mountains National Park, and, that, on July 6, 1936, Homer Ownby, one of his drivers, was injured by being struck by a stone hurled by a blast in the stone quarry which was operated by the Federal Government.

The contractor, Mr. Cameron, had nothing to do with the operation of the stone quarry, but was held liable to his employee under the workmen's compensation law of Tennessee. The New Amsterdam Casualty Co. paid Homer Ownby as a result of the injury received in the accident.

The Commissioner of Public Roads calls the attention of the committee to the fact that this company submitted a statement filed claim

H. Repts., 80–2, vol. 2- -92

in the amount of $990 ($930 for injury and $60 for salary for 6 weeks of time lost.) However, this case was settled in the chancery court and the cost of court, doctor bills, and attorney fees in defending the case amounted to a total of $1,378.65.

Your committee is of the opinion that in view of the fact that this company was compelled to pay this judgment for the injuries sustained by the employee of F. E. Cameron should be reimbursed. The injury to the said Ownby was due to the act of the agents of the Federal Government, for which the Federal Government is responsible, and should, therefore, reimburse this company in the sum of $1,378.65. Therefore, your committee recommend favorable consideration to the bill.

The Congress has recognized the right of subrogation from time to time and has enacted into law claims, to wit:

Private Law 266, Seventy-sixth Congress (H. R. 3363): In this case Anna E. Hurley, who was the owner of property in Kansas City, Kans. sustained a loss due to the crashing of a United States Navy plane into her home. The American Insurance Co. of New Jersey were required by reason of the terms of policies issued to the said Anna E. Hurley to pay for this damage. The American Insurance Co., in this law was reimbursed in the sum of $1,300 under their subrogation claims. The law was approved January 17, 1940.

Private Law 142, Seventy-seventh Congress (H. R. 3523): In this case a United States Navy airplane crashed into the residence and garage owned by Commander H. S. Kendall in Coronado, Calif., the accident happening on December 5, 1938. By reason of the accident the Equitable Insurance Alliance, the Fidelity & Guarantee Fire Corp., and the Hartford Fire Insurance Co. were compelled to pay said damages on account of liability incurred under contracts of insurance. The law provided for reimbursement under the subrogation claims presented by these companies for the entire amount paid out under their insurance contracts. This law was approved July 30,

1941.

Private Law 529, Seventy-seventh Congress (H. R. 5651): In this case Frank Hall, New Paris, Ohio, sustained damages by fire to his property on or aout February 18, 1939, by reason of negligence of an agent of the Soil Conservation Service, United States Department of Agriculture. The Home Insurance Co., and the American Insurance Co., were required by reason of the terms of policies issued to the said Frank Hall to pay for this damage. The Home Insurance Co., in this law was reimbursed in the sum of $297.42; and the American Insurance Co. was paid the sum of $3,544.25 under their subrogation claims. This law was approved December 2, 1942.

Private Law 276, Seventy-seventh Congress (H. R. 3118): This case presents a new type of assignment: It was for the relief of the State Compensation Fund of California. Frank Ross, of Davis, Calif., sustained personal injuries on December 2, 1937, when an automobile which he was driving was struck by a United States Civilian Conservation Corps truck. The State compensation insurance fund paid Mr. Ross for compensation and medical treatment the sum of $1,684.98. This law completely reimbursed the State Compensation Fund of California the entire amount they were compelled to pay by reason of this accident. This law was approved February 16, 1942.

Private Law 430, Seventy-eighth Congress (S. 1278): In this case a civilian vehicle was transporting a number of local shipments of freight at the time of the accident, all of which were destroyed by the collision and the ensuing fire. The Yellow Cab Co. paid its patrons a total of $8,067.34 for freight lost in the wreck. This amount was subsequently recovered by the company from its insurer, the Equitable Fire and Marine Insurance Co., amounting to $7,901.83. These losses were sustained as a result of a collision between the Yellow Cab Co. truck and a United States Army vehicle. This law was approved in favor of the Equitable Insurance Co. on December 6, 1944.

Hon. DAN R. McGEHEE,

Chairman, Committee on Claims,

House of Representatives.

APRIL 22, 1943.

MY DEAR MR. MCGEHEE: Receipt is acknowledged of your letter of March 23, 1943, enclosing three copies of H. R. 1427 for the relief of the New Amsterdam Casualty Co., and requesting to be furnished with a report of the facts in the case together with our opinion as to the merits of the bill.

H. R. 1427 is identical with H. R. 1551 which was introduced during the Seventy-sixth Congress, first session, on January 3, 1939, by Mr. Taylor of Tennessee. On July 28, 1939, with the approval of the Bureau of the Budget, we sent to Hon. Ambrose J. Kennedy, who was then chairman of the House Committee on Claims, a full statement of the facts, including copies of pertinent correspondence, together with an adverse recommendation.

This bill, H. R. 1427, would authorize and direct the Secretary of the Treasury to pay $1,378.65 to the New Amsterdam Casualty Co. for reimbursement growing out of a suit for damages against F. E. Cameron, a contractor, whom said company had insured against liability for injury to his employees. The bill recites that F. E. Cameron had a contract for hauling stone on the Newfound Gap Highway in the Great Smoky Mountains National Park, and that, on July 6, 1936, Homer Ownby, one of his truck drivers, was injured by being struck by a stone hurled by a blast in a stone quarry which was operated by the Federal Government.

The Bureau of Public Roads (now Public Roads Administration) was operating a quarry for producing stone to be used in the construction of the highway mentioned in the bill. F. E. Cameron had a contract for hauling this stone from the quarry and spreading it on the highway. This was in 1936. Homer Ownby, one of the truck drivers employed by F. E. Cameron on this work, was hit by a fragment of stone thrown by a blast in the stone quarry on July 6, 1936. However, the reports and statements which we have received from the field concerning this accident clearly indicate that Mr. Ownby was warned that a blast would go off at the quarry and that he should seek cover to avoid possible injury, but that he failed to heed the warning and was hit by a rock fragment which was thrown by the blast. If he had sought cover as did the other employees of Mr. Cameron after receiving the warning, he would not have been injured. It, therefore, appears that his injury was due to his own carelessness in failing to heed the warning which was given him.

A statement dated June 1, 1939, has been obtained from Mr. Ownby, three copies of which are enclosed herewith. Statements also have been obtained from Gerald M. Lethco, who was employed by the Bureau of Public Roads at the quarry from which Mr. Ownby was hauling stone, and from W. F. Robertson, who was employed by Mr. Cameron. Three copies of each of these statements are enclosed herewith. In addition, there are enclosed three copies of letter of May 1, 1939, to Maj. J. R. Eakin, Superintendent, National Park Service, Gatlinburg, Tenn., from Mr. J. L. Humbard, senior highway construction supervisor who was in charge of the highway construction work and the quarry operations that were being conducted for the Bureau of Public Roads, together with three copies of letter of June 1, 1939, from Mr. Humbard to Mr. F. B. Cameron, requesting him to furnish certain information concerning the circumstances surrounding Mr. Ownby's injury.

Particular attention is invited to the fact that Mr. Ownby, in his statement, recites that the New Amsterdam Casualty Co. paid him $930 for the injury and $60 for salary for 6 weeks of time which he lost, or a total of $990; whereas the

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