market, tells me that you've got to have something, something more than what we had if you want to deter that sort of activity in the future. Mr. CONYERS. Would the gentleman yield at that point? This is one of the questions that the members of this subcommittee and the full committee are constantly involved, in terms of Federal and criminal law. If one approaches incarceration from the point of view of removing those who have violated criminal laws from our society, based on their probability or possibility of continuing to injure or threaten the peace of others, you have one basis for incarceration. There are those who also look at incarceration after examining the Federal and State prisons and penitentiaries to find them a crime against everyone, and that to willingly, and in many cases, inflict that penalty which is far more than what is written in the statutes as an additional violation, indeed, is a violation of the States upon its citizens. Then you reach this notion of trying to deal with those who consider themselves above and beyond the range of criminal sanctions generally, and, so, there is this predilection to say, "Let's lock up executive and corporate criminals because we lock up street criminals." Now, the problem that is raised here that causes me to bring it to your attention for comment is that there are many who are saying that we are locking up street criminals for the wrong reasons; so that we are now caught with the interesting notion that since we're locking up people who frequently should not be incarcerated, certainly not to some of the incredible lengths of time that they are, do we make all ends of justice wrong by evening it out and also start locking up white collar criminals, or do we consider the possibility of going to the motive for executive criminality in the first place, which is usually mercenary and prompt to increase profit taking, and there, we are engaged with the large and intriguing question of exacting large monetary fines from the individual and from the corporation, frequently making sure that the fines that would be levied against the individual will not be reimbursable by the corporate entity. Mr. CASTLEMAN. I still favor holding to the incarceration of these people. I think they would be deterred by that threat better than any other kind of criminal you will ever find. And the history of having been jailed for such things might prevent such promotions. as we have seen in the past, such as the vice president of Firestone who got that memorandum in 1972 becoming the president of Firestone later on, and the promotion of Vandiver Brown of JohnsManville to become the top lawyer in Johns-Manville partly, I suppose, for his role in doing such a splendid job of managing the suppression of medical knowledge about the hazards of asbestos. The fact that these people had a criminal record would not make it less likely that they would be promoted. Mr. CONYERS. No; but if they had to cost their corporation $22 million, that might make them even less likely to have been promoted. In other words, I haven't yet been persuaded that incarcerating people who commit ordinary common crime has had any tendency to reduce the amount of crime committed. Maybe there are some studies to that effect, but as we continue, there has been an incredible increase in the amount of maximum sentences, mandatory minimums, and commissions of crime with a weapon which carry additional inflexible incarceration. We have very little example of a person saying, "This would get me 14 minimum if I take this gun and do this." We don't find evidence that threatening and imposing longer sentencing really is any deterrent. I just wonder that since we have neither exacting, really significant, monitoring of damages against corporate executives, whether that may not be as good as incarceration which, in one view, may be seen to continue a questionable pattern in the American juridical system. We have the longest sentences for crimes of any nation in the Western World. Mr. CASTLEMAN. But if you allow-if you encourage the existence of death merchants in the marketplace by not making them go to jail as criminals the same as you would anyone else who killed somebody, aren't you creating a privileged class? Incorporation has a limited liability; a corporation could even go bankrupt and the individual who is the director of the corporation still doesn't face any personal-you know, doesn't face what I would call serious personal retribution or penalties for what he does as officer of the corporation. Mr. CONYERS. Well, murder is one thing; these penalties that we are tracing here may be another. After all, the incarceration maximum is 2 years. Mr. CASTLEMAN. That is the minimum. Mr. CONYERS. If we're going to really look at it as murder, then I would have to want to change the 2-year maximum-2-year minimum. I'm sorry; I stand corrected. Mr. CASTLEMAN. I mean if it's a 2-year maximum, I wouldn't be testifying in favor of it, Mr. Conyers. The idea is preventive, not revenge. The idea is to prevent these things from happening in the first place and to guarantee that somebody will go to jail if he does start doing this. I think it is going to do a lot of good. And any kind of fines, as in the case of Firestone, as I just recounted, don't seem to have done so much good. Fines and recalls just don't seem to have accomplished that result. Now, do you wish to put larger fines into this bill as an alternative to incarceration, or as an adjunct? You know, that might be perfectly justified. Mr. CONYERS. Are there any other questions of my colleagues? If not, I want to express on behalf of all of us our appreciation for the experience and the very well-reasoned opinion that you have brought here today. We appreciate it, and we hope that you will continue to watch us as we wind our way through this legislation. Thank you very much, Mr. Castleman. The subcommittee stands adjourned. [Whereupon, at 3:45 p.m., the hearing was adjourned.] Additional Material NOVEMBER 16, 1948. Mr. U. E. Bowes, DEAR MR. BOWES: Enclosed you will find three copies of a report on the results of animal experiments with Kaylo dust. As is our custom we have summarized briefly material previously presented, including our interim report dated October 30, 1947, and have given detailed discussion only of subsequent developments. When all experiments have been completed, we expect to prepare a final report which will include details of each phase so that all data will be available in one place. However, the experimental study of the effects of inhaled Kaylo dust on normal uninfected animals is now finished and conclusions expressed on that subject are final rather than tentative. In the report issued one year ago, which describes the findings in animals that inhaled Kaylo dust for periods up to 30 months, the following tentative conclusion was made: "In consequence of the experimental studies with guinea pigs to determine the biological activity of Kaylo, it may be tentatively concluded that Kaylo alone fails to produce significant pulmonary damage when inhaled into the lung.' During the 30 to 36 months period, however, definite indication of tissue reaction appeared in the lungs of animals inhaling Kaylo dust and therefore, I regret to say, our tentative conclusion quoted above must be altered. In all animals sacrificed after more than 30 months of exposure to Kaylo dust unmistakable evidence of asbestosis has developed, showing that Kaylo on inhalation is capable of producing asbestosis and must be regarded as a potentially-hazardous material. It should be noted that since neither silicosis nor the diffuse pulmonary fibrosis caused by inhaled diatomaceous earth was observed, the quartz and diatomaceous earth components of the dust apparently do not produce their typical lesions. In order to present more information on the subject asbestosis, certain evidence derived from our experimental work with asbestos dust has been discussed. As these findings have not yet been released for publication, I request that, while using them as required in formulating a safety program, you regard them as confidential. The new series of experiments with respect to the influence of Kaylo on tuberculous infection are well under way and are progressing satisfactorily. It is, of course, too early to expect significant results on which to base even tentative conclusions. At this time may I review briefly the financial arrangement for conducting the investigation with Kaylo? The research program up to this year was carried on under a contract, initiated in 1945, by which the experiments would be subsidized with a grant of $5,000. per year. As pointed out in my letter of March 3, 1948, the contract terminated officially on February 15, 1948, but the investigation would be continued without charge until June because the orignial experiments were started late. Since a check was received which took care of the subsidy up to November 15, 1947, there is due on the old contract the sum of $1,250. for the final quarter of the contract (from November 15, 1947 to February 15, 1948). We have delayed sending an invoice for the final quarter until all work could be finished and a final report submitted. Following the termination of the experiment in June, it has required several months to do the histological work, study the tissue sections, collate the data and prepare the report which accompanies this letter. We are including in the report a brief review of the new experiments in which the effect of inhaled Kaylo dust on tuberculous infection is being studied. Your purchase order AS-170 authorizing this experiment at $5,000. for one year is dated February 3, 1948, but owing to a shortage of animals and other unavoidable delays the actual experimental work did not get under way until May. Hence we have concluded that financial support for this new program should be dated from May 1, 1948. For reasons outlined in my letter of March 3, I suggested a two-year contract at $7,000. per year. Your letter of March 31 acknowledged this but failed to confirm the extra amount of $2,000. involved. Nevertheless, we have proceeded at the old rate and are endeavoring to absorb the increased cost from our Foundation reserve. In a few days our accounting department will forward a statement of the payments now due in support of the research program, as follows: Original experiment, begun Feb. 15, 1945, at rate of $5,000 annually: $1,250 New experiment, begun May 1, 1948, at rate of $5,000 annually: For first quarter (May 1, 1948 to Aug. 1, 1948).. 1,250 3,750 I realize that our findings regarding Kaylo are less favorable than anticipated. However, since Kaylo is capable of producing asbestosis, it is better to discover it now in animals rather than later in individual workers. Thus the company, being forewarned, will be in a better position to institute adequate control measures for safeguarding exposed employees and protecting its own interests. Sincerely yours, Encs. (3). ARTHUR J. VORWALD, M. D., Director. OWENS-ILLINOIS GLASS CO., Toledo, Ohio, December 12, 1950. Dr. ARTHUR J. VORWALD, Director, the Saranac Laboratory, Saranac Lake, N.Y. DEAR ART: Some time ago we mentioned to you that our Kaylo Division wants to gather together in brochure form material on the health aspects of Kaylo dust, and wants to consider the possibility of publishing some of your experimental findings. As we recall it, you mentioned during the visit that Dr. Shook and I made to Saranac last July that the animal experiments were all completed (and no new ones need be started) and that the results of the several years' program would be written up in final report form. Could you let us know how this project stands? Could you also let us know how we stand on the finances? Our accounting department reports that they have paid two invoices this year-one in January for $1,250 and one in May for $1,250. We still feel that before this can be finally completed, it would be desirable for one of your engineers to visit our Sayreville plant and, among other things, take some gross air samples for composition analysis. Any time such a trip can be worked into your schedule conveniently, let us know. One more point—you mentioned last July that all the asbestos work carried on through the years at Saranac was being written up and would be published. Has this been done yet? Best wishes to you and Mrs. Vorwald for a merry Christmas-with lots of snow in the Adirondack hills—and a happy New Year. Sincerely yours, BILL, Industrial Relations Division. HYDROUS CALCIUM SILICATE HEAT INSULATION (By E. C. Shuman, director of research, Kaylo Division, Owens-Illinois Glass Co.) EXTREMELY LIGHT WEIGHT-11 LB. PER CUBIC FOOT-MAKES HANDLING EASY; SIMPLIFIED DIMENSIONAL STANDARDS FACILITATES NESTING AND APPLICATION Always among the first to recognize and adopt improved materials and methods, the oil industry has quickly accepted a new heat insulation material of the hydrous calcium silicate type. A chemically reacted mixture of lime and silica, containing small amounts of asbestos fiber for hinging action, the new material looks quite similar to other rigid insulating materials commonly used in industry. It is not glass. In outward appearance, its distinguising characteristics are an almost chalky whiteness and a comparatively smooth surfact texture, even when sawed. Property made hydrous calcium silicate is different form other insulating materials now on the market because of its unique combination of physical characteristics. Although it has a density of only 11 lb. per cubic foot, it has an average flexural strength in excess of 50 psi and a compressive strength of 150 psi. Insolubility in water and incombustibility are two more of its outsanding characteristics. It is effective throughout the entire temperature range from zero to 1200 F. Because its thermal conductivity is conservatively stated at 0.39 at 100 mean or 0.54 at 500 mean temperature, it is frequent practice to specify 2-in. less thickness for Kaylo insulation than for "combination" insulating materials in the range from 500 to 1200 surface temperature. This new material is produced under patents numbered Re. 23,228, 2,547,127, and other pending patent applications. Hydrous calcium silicate insulation has been used principally in the medium and high termperature range, because it is in this range that the material performs to greatest advantage. It may be used also as a low temperature insulation, provided proper vapor seals are employed. Hydrous calcium silicate insulation products of certain types have been manufactured and sold commercially by Owens-Illinois Glass Company since 1943. The story of how this company researched and developed the non-glass insulating material is interesting. It is also an inspiring example of the American Way. Without the vision, the resources, and technical know-how of "big business," this material would not be on the market today. Development of hydrous calcium silicate products began in 1938. The company wanted materials of construction to supplement its Insulux glass block, already well-established, and it had a great deal of manufacturing and engineering experience with the two principal markets used in hydrous calcium silicates-lime and sand. Many other companies and groups have experimented with various hydrous calcium silicate products. Work had been done in Germany in the early 1930's. Several independent research organizations and manufacuring companies in the United States and Canada had attempted to develop commercial materials during this period. One group was able to produce experimentally limited quantities of a calcium silicate product which they called Microporite. It was a structural material, and there is an experimental house on Long Island today, which is built almost entirely of this material, except those parts that are exposed to weather. Until the company's physicists, chemists, and engineers studied the component materials and learned the details of their reactions, however, no one had produced a stable, uniform product with the advantages now found in the hydrous calcium silicate. Research had reached the pilot plant stage of manufacturing by the outset of World War II. Hydrous calcium silicate heat insulation, then being made at a converted brick plant at Berlin, New Jersey, was approved by the U.S. Navy, which used it for marine insulation. Even in those early days, the material proved stronger, more durable, and easier to handle than others tested. After the War, construction began on a quarter-mile-long manufacturing plant at Sayreville, New Jersey, and manufacturing of hydrous calcium silicate begin there in March, 1948. The original plant at Berlin, New Jersey, where the forerunner of today's hydrous calcium silicate heat insulation was first produced, has been remodeled and enlarged almost continually to become a sizeable and modern factory, from the outside looking much like a typical glass plant. The glassman who enters it, however, finds himself in strange surroundings. The Sayreville, New Jersey, plant, although little changed on the outside since its construction, has undergone extensive change within during the past four years as the company has perfected improved processes. OTHER CALCIUM SILICATES Calcium silcates, of course, are not new to the chemist. Portland cement may be called a calcium silicate, for example. Even some types of glass can be called calcium silicates, although being fusion products, they are not typical members of the family. Kaylo insulation, however, is a chemically reacted product, and is a permanently set and stable product when it leaves the plant. Portland cement is an incompletely reacted chemical compound insofar as ultimate use is concerend and does not reach its permanent set until mixed with water. Glass is a fused product using no water, its raw materials melted and blended at high temperatures. The manufacturing of hydrous calcium silicate insulation is essentially a chemical reaction operation. Lime, silica, asbestos, and water are mixed to form a slurry that is poured into metal molds to shape the desired product. The reaction of this slurry is accelerated by the use of elevated temperatures in large pressure vessels called indurators. After induration, or hardening, the material is dried to practical commercial limits. It should be noted that, because a chemical reaction is involved, there is no "binder" in any Kaylo insulation. The millions of tiny air spaces per cubic inch that are left in the material after the moisture is driven off give this insulation its light weight and low thermal conductivity. Every cubic foot of insulation contains so many tiny air spaces that the total area of the surface surrounding them is about 100 acres. By varying the proportion of water in the formulation it is possible to obtain products in various densities. As the density increases, strength becomes greater |