New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1915-01-22
u. S. INSURES
DACIA'S CARGO
Action Expected to Give Vessel
Preferred Status if Seized
bv British.

Washington. Jan. 2l.-The steamer
Dacia. with her cargo a. ll.Ouo nA''s
of Texas cotton and with the stars
srd Sfripcs fyinC from her tatrall' II
due 20 sail IN few hours on the ms
Ian Of her voyage 90 ROTTERDAM l"'S
sts.encr, was made al the TREASURY
Department to-day after the War MSS
Insurance Bureau had written pol'l
Of insurance against the risks OF Wal
ON the cargo.
Outside the thrcc-mile limit, some
where m the Gulf Of Mexico q hrluSn
cruiser ,~ waiting 60 sclzc inc iaCl"
and convoy her without delay 70 'n'
nearest British prize court The DAG"
viii hardly be compelled 90 cross N'c
Atlantic before she is placed no court
ON charges that she rs fundamen'H! ~
8 German ship and that the transfer
10 American registry was NOT nona
fde. There is prize court AZ haIliaN'
Y s. but the shin could be conveyed
TO any prize court nm any quarter ol
the Empire. ..,.
The treasury Department gave OUT
tho following statement tonight
"Tbo Rureau Of War Risk Insurance
Will grant insurance on the cargo OF
tho steamship Dacia. from Galveston
"a potferdsm. After careful cons dcra-
so, nj tho matter the conclusion was
rcacbed that unon the merits OF the
cssc the insurance should be granted.
n must be understood. however. thar
This docs not establish precedent
and that each case OF similar CHAR
setcr that may arise must be judged
uron its merits.
Positive information that the Brit
.sb Government intended 10 seize tne
pacia as a prize Of war prevented 'he
issuance Of insurance on the steamer
herself Nevertheless, formal accept
ance OF the fact that the Daca rs an
American ship IS embodied m the &C
coptarcc Of the risk on her cargo,
which is American-owned cotton ana
nor-contrabsnd. for, unless she were
an American-owned ship under the Ia"
She could not have even her cargo con
sidered as an acceptable rlsk ny the
Federal Bureau. The law SAYS;
"That the said Bureau Of War RISK
Insurance, subject 20 the genera dlteO-
ton OF the Secretary Of the Treasury
shall. as soon as practicable. make pro
visions for the insurance ny the united
States OF American vessels, their
freight and passage moneys. and car
goes shipped or 70 be shipped therein,
against loss or damage by the risks OF
var. whenever II shall appear 10 the
Secretary that American vessels, snip
pers or importers IN American vessels
arc unable IN any trade 10 secure ade-
nuate war risk insurance on rcaSona-
bio terms.
The insurance premium on the
Dacia's cargo was Said 20 be per cent
The formal acceptance OF the pacia
as An American ship by the United
states Government Is expected TO give
bcr a profcrred status IN inc British
prize courts. I'm tho opinion Of admin
istration officials, this status viii be
that the United states goVernmeenl,t
stands as cuarantor Of he good faith
Of the transaction by which the Dacla
came into the hands Of American own
crs. l.. leaves the issue 5 20 her BE-
ing compelled 20 take out neutral reg
istrv 70 avoid the "r SKIS % war m nc
balance. Also II fails 10 dispose Of the
question which Great Britain may De
expected 20 raise. that The benetclarles
Of the sale, the recipients OF the our
chase price, are subjects OF a belliger-
cnt power. and that this power will,
through receipt Of the purchase money.
become the recipient of contraband OF
war. for money is considered contra
band Of war in all international lurls~
prudence.
The risks against which the United
States government has insured the car
GO arc condemnation by a .belliGerent
nrize court. loss or damage from the
attacks OF bclligerent warsmps and de-
struction by a mine or IRE.