New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-01-12
TALK Of CALLING MORGAN
Committee Would Learn OF
Mercantile Marine.
GOTTHEIL ON THE STAND
Calls Government Regulation of
International Freight Ser
vice Impossible.

Washington, Jan. 11.-An investigation
Of the International Mercantile Marine,
the 100000 900 American corporation
controlling numerous foreign and Amer
lean steamship companies, with j. Pier
pont Morgan as the chief witness, is con-
templated by the House Committee on
Merchant Marine in connection with its
hearing of the so-called shipping trust.
Mr.. Morgan is said to have organized this
great company and TO control its stock.
Chairman Alexander Of the committee
announced to-day that Mr.. Morgan prob
ably would be subpGnaed Immediately on
his return from abroad. He sailed for
Egypt on Tuesday. T. \. s. Franklin,
vice-president Of the White Star Line.
one Of the important companies connected
with the International Mercantile Marine,
already has been subpGnaed, and prob
ably will be c lmined in the near future.
The International Mercantile Marine
owns the entire capital stock OF the
Oceanic Steam Navigation Company (the
White Star Line), the International Nav
igation Company (the American and the
Red star lines), the Mississippi and Do
mnion Steamship Company and the Brit
ish and North Atlantic Steam Navigation
Company and owns the controlling inter-
est in Frederick Leyland & Co, with the
shipping business of 1smay, lmrie d co.
and Richard Mills & Co.
The combined sailings Of the various
companies covers forty-fve services from
New York, Philadelphia, Baltimore. Bos-
ton. New Orleans, Galveston. Quebec.
Montreal and Portland to Liverpool. Ply
mouth, Southampton, London. Cherbourg,
Bremen and Antwerp. The corporation
also operates various lines in the distinct
~ foreign service.
: How agreements as to rates and service
are maintained between steamship lines
between New York and the Far East and
India was described to tho committee to-
day by Paul Gottheil whose firm rep
resents a number of the largest North
Atlantic companies. Mr. Gottheil was
questioned Al length concerning alleged
agreements between all Of tho great North
Atlantic lines. including the Hamburg
American, North German Lloyd, Holland
America and Red Star. TO divide up the
merits of Europe. The witness insisted
that while IL was entirely possible that
there was an understanding 10y which
one line would not send It's vessels to the
port OF another. there was strong com
petition between the companies, because
cargocs were destined for points FAR be-
yond the ports at which they were DIS
charged
Chairman Alexander asked II rate
agreements existed among lines trading
between Atlantic ports and the Far East.
and between Japan. China and the Philip
pines and whether there was pooling
arrangement by lines between Atlantic
ports and the Far East Mr. Gottheil said
he had no definite knowledge. but believed
such agreements were stu effective
Rates for these lines were fixed. he said.
AT conferences held In New York evcry
TUESDAY. The witness said a great many
ships under foreign flags probably were
owned by Americans.
AS 10 traffic between the United States
and Baltic ports. the witness said tho
Scandinavian American. Hamburg Amcrt-
can. North German Lloyd and Wilson lines
were in agreement 10 make the same
rates and divide trafnc. The NORWAY
Mexico-Gulf line. he said. was In strict
competition with the Scandinavia Amcri-
can line i'm the trade TO Copenhagen ana
Christiania Between New York and Rot
terdam and Amsterdam the Holland
America and Uraniam companies have d.
rect lines in competition. without rate or
service agreements.