The Washington herald., 1915-02-19
GERMANS MAY
retain SHIPS
Sickel Tells Senators Ham,
burg-American Liners
Cannot Be Sold.
CAN SELL FREIGHTERS
No Communication with u. S. Off,
Gals. Though He Says McAdoo
Talked of Purchase Bill.

William q. Sickel. vice director OF
the Hamburg American Line. and one
of the board of three that directs the
companys affairs in This country. told
the Senate investigating committee
yesterday that neither Kuhn. Loeb <
Co, nor any other banking house in
the United States had made loan
upon the ships of his company in
termed in American !arbors. or had
any connection whatever with the
company looking to the sale or leas-
ing OF any of It's ships to this govern
ment.
lie made the further sweeping
statement that never had he or his
associates had any negotiations for
tho saIc or charter OF the company's
ships 10 any person or persons direct
Iy or indirectly connected with the
American government save in the one
instance of the disposal of the ship
Hamburg for Red Cross purposes. tn"
name Of the vessel afterward being
changed to the Red Cross.
Bankers Would Not Lend Money.
MIR Sickel testified that in the early
days of tn" war. when il WAS impos-
:5ible to communicate with Germany
by cable he and his fellow directors
had negotiated with KuhG. Loeb x
60. and other New York banks, in
Guiding the Hanover National. and
the Tuion Trust Company. for loan
Of 500. 600. but had been advised
that not more than Sl."a0, 600 could
he secured and in the end the entire
negotiations had fallen through. \
loan of 100000 from n New York
merchant. whose name Mr.. Sickcl
would not make public, was then Sc
cured about August II.
Communication with the home Of
fees being re-esta blishcd. Mr.. Sickel
said that funds were forthcoming as
needed. the loan was repaid and there
WAS no further occasion for making
loans.
At the beginning OF tho war the Ham
burC-tmeriCau people let il he known
that they would sell about twenty of
their ships informed in American and
caribbean harhors, thes" ships represent
ing less than third Of tn. total tonnage
of the company in those waters. BY the
middle of November. however. the cont
l,any or'i"red that only TN" older. smaller
and less desirable freightcIS be offered
for sale. There were nine of these with
total tonnage Of about :n.ma
At least Il" different firms or indi-
viduals negotiated with tn, Hamburg
American officials relative to these ships
Mir. Sickcl said. This list includes nearly
all the shipbrokcrS of New York. other
steamship companies. shippers and spec
Ulators. q. ". Morse was the only indt-
vidual named 10y Mr.. Sckel However.
Of the lot none had any connection with
this Goycrnmcnt. far as the witness
knew.
y" Occasion to Sell ships.
Mr. Sirkcl testified that there was A
steady adVace in the value of ships from
about September Il until the first week in
December. when there was further ad
vance in price almost sensational in
C1arartcr This was due. he said to tn.
reduction in TIA" worlds tonnage. His
company had disposed of no ships save
tn" one Red Cross vessel. primarily for
the reason that people in a position {"
buy were deferred by the uncertainty as
I" EnCland'S attitude toward ships trans
ferrpd from the German To neutral flag.
His principals in Germany had given HIM
positive" orders to sell no passenger
steamers no combination passenger and
freight steamers and to consider offers
only for a few of their older and smaller
frriGhters.
Mr. Sir<cI said that his company had
no occasion I" sell its ships that his adj |
vices from Germany were that the com |
pany could stand its present troubles for |
at least fiV. vars. and that once the war |
WAS over the company did not care to |
ilnd itself a steamship company without |
any ships.
Mr.. Sirkel's one interview with Secrc- |
tary McAd"n was held during tn" latter |
part Of November or carly in December, |
according to- his best recollection. He had |
hcem called to Washington to advise
with the Secretary of the Treasury rcla
tv. to the general foreign shipping stu
alton. and the interview had been con-
fined to that subject. with the exception
of a few references TO the ship-purchas-
bill
Nv" went over every feature i'll regard
to tn" transportation o freight to for
-ign countries said Mr.. Sickel. "ano
AT no time did We talk of the possible
purchase by the government of our ships
or OF any other ships.
They did discuss the ship-purchasc
bill said Mr.. Sickcl ''SeCretary Me
Adoo did most of the talking on that
subject. he said. The Secretary seemed
to he advocating to me the passage of
the bill. and | merely pointed out what 1
To he its defects