The sun., 1914-08-25

WARRINGTON, Aug. I--The Admins
tration bill proposing the creation of
corporation 60 purchase and operate ships
In the foreign service. with the uhI'ed
States holding 81 per cent. o. the stocN'
was introduced In the House to-day py
Representative Alexander OF Missouri'
Chairman OF the Committee on Merchant
Marine and Fisheries
While the Administration does not
really expect the bill TO be enacted into
law, IL will be pushed in the hope that
soon private capital will recruit the ner.
chant marine to degree OF efficiency that
will enable II TO take care OF Americas 8
oversea trade.
Omcials believe that the law removing
the old restrictions on the admission OF
foreign built ships to American registry
and the passage of the war risk Dill are
the only emergency measures that are
really needed TO Induce priv ate capital
to go into the shipping business on a
comparatively large scale
The bill introduced to-day authorizes
the creation Of siO,000.o00 corporation
that IL to be organized BY shipping
board to be composed of the President.
the Secretary Of the Treasury, the Post
master-General and the Secretary OF
Commerce The stock ls to be Issued in
shares OF the par value NJ 500, and the
bill provides that the United states shall
subscribe for 81 per cent OF the total
issue. II money is needed 10 buy ships
beyond the capital Of Sl0,ooO.00O II is to
be obtained by the issuance OF bonds au-
thorized by various acts OF Congress.
The operation OF the ships Is to be limited
to tho foreign trade.
Full Text Of the Bii.
The text of the bill follows:
BE Il enac ed, &C., that the United
states acting through the Shipping
Board hereafter created. may subscribe
T. the capital stock o: any corporation
now or hereafter organized under the
laws of the United States or any State
thereof. or the District Of Columbia. upon
the terms and conditions herein men
toned.
section a--Thst the object of such cor
porat!on shall be the purchase equipment.
maintenance ard operation of merchant
vessels In the trade between the Atlantic,
Gulf or Pacific ports of the United states
and the ports Of Central and South Amer
lea and elsewhere to meet the require
npnts OF the foreign commerce Of the
rnitd States. The initial capital stock OF
such corporation shall not ne over S10.-
600 900 OF the par value uf 500 per share.
but the Shipping Board. with the approval
OF the President. may consent to or cause
an increase Of the capital stick from
time TO time as interests OF the corpora
ton may rqulre. provided that the United
States shall subscribe for FL per cent oi
each and every Increase. The United
states shall subscribe for 81 per cent OF
such stock at par and the remainder
thereof shall be offered for public sub
scrlption. Such corporation may besin
business as soon as 81 per cent OF such
stock has been subscribed and paid FOR by
the United States.
s3O,OOO.OOO to Purchase ship.
Section 3-That the United States
through the Shipping Board and with the
approval of the President. is authorized &c
purchase vessels suitable IN the judgment
Of the Shipping Board for the purpose o'
such corporation with a view TO trans
ferring them to such corporation, and foi
this purpose the Secretary of the Treas
ury. upon request OF the Shipping Board
may issue and sell or use for such pur
chase or purchases any OF the bonds OF th'
United States now available IN the Treas