The Bridgeport evening farmer., 1915-01-07
Chairman of House Marine Committee Points Out Syndicate Control of Ship ping.
Government Is Arayed Against Monopolistic Domination ,f Coastwise and Foreign Shipping.

rons of maritime commerce" was the characterization which Representative Alexander, chairman of the House Marine Committee applied to the ad- ministration ship purchase bill in a speech here tonight before the BoS- ton Chamber of Commerce.
 After a long explanation of the terms of the pending bill to authorize the government to create an American Merchant Marine by purchase, and an exhaustive review of merchant ma rine situation during which he sub mitted at length statistics and state ments on ocean freight rates and prac tieally every phase of. the subject, MT. Alexander launched into an analysis of what he contended was the opposi- ton to the measure.
 ITO sum up the entire situation he said, "an investigation will prove that over go per cent. of the coast wise and practically the entire foreign American shipping is allied through interIocking directorates with the Ma tionaI City Bank, United States Trust Company, National Bank Of Commerce and Guaranty Trust Company, all of which have for their fountain head the Rockefeller r-Morgan-Pe Perkins in terests.
 stIt is against this aggregation that the administration, representing @the American people, finds itself. The shipping interests realize that the en- trance of the Government into the field will break the chain by which they. have the independents shut out. Government-owned vessels are what they most far. for it means break Water,-a bunker-a protection for the independent who now dares, at his peril, to invest a dollar in shipping against tn powerful organization but who would be willing to invest if fair l<aU was a vod ha same interests own, or are interested in, several of the big Eastern news papers. The vision of these papers is colored and others are affected by revenues of steamship advertising. Therefore, you find a stalwart opposi- ton by the Eastern newspapers to the Government policy
 The new navigation law is good, but of what benefit is it when the small investor meets the death throt- tie of under bidding competition such as Congressi onal investigation proves is in vogue The Alexander bill is spoken of as an emergency measure. It should not be so-calIed. European governments have in the past laid the foundation for their mer- chant marine by government protec- ton. The bill for& the government ownership of vessels which will brlng relief to the American people should
 
 of American shipping, proc1aiming freedom from the Fseuda.l Barons of Maritime Commerce
 'sThe cry of paterna,lism has been raised, the criticisms of government ownership has been advanced, and several of the large news and financial papers Of the Eastern cities appear daily with editorials denouncing the administration policy. These pa pers. being the recipients of large in comes from advertising contracts with the steamship, companies, are natur- ally opposed to a plan inimicable to the interests of their customers. This fact may affect their vision. The greatest opposing power, however, to I the policy of the government is the l steamship companies themselves. An investigation of the shipping l question and the interests that are in- VolVed reveals some very interesting l facts In the report of the proceed l ingS of the committees on the Mer- chant Marine in the investi sation of 1 Shipping Combinations the methods 1 of the shipping interests are fully set l forth. It is shown that a regular .sys- l tenn of agreements and pools prevail l against which the independent ship I per has no chance to live. The Com I nnittee, in it's recommendations, states l The Committee believes that the dis advantages and abuses connected witt l steamship agreements and conferences l as now conducted are inherent. an6 can only be eliminated by effective 1 government control; and 1t is sucL control that the Committee recon. l Inends as the means of preserving tc American exporters and importers tht | advantage enumerated, and of pre-. lventing the abuses complained of
 Tn the investigation by the Com 1 rnittee it developed that certain ships were regularly used solely for thespdr 1 pose of killing competition The l shipping interests, look with concerI I upon the entrance of the governmen into the field, therefore, they oppos, I the governments policy of purchasing l ships. It is believed that it is not s. 1 much government competition that f l feared, for it is generally aeknowIedR ed that there is sufficient business. bu | they fear that the entrance of the gov | ernment-owned ships will mean gov | ernment regulation of rates and ser ltously interfere with the existing con trol of the conference lines over tn
 foreign commerce of the Unite, | States.
 -eThe question arises as to who com prises the American shipping inter ests. An examination of the person
 neI of those interests in the variou
 steamship lines reveals a system of in
 terlocking directorates> and a. com
 munity of interest probably unparal
 leIed in the history of modern anan
 ceering. By consulting Moody
 Manual of Railways and Corporation
 and the volume entitled The Director
 of Directors, one can. readily appre
 ciate that the administration, in it
 desire to benefit the people, Ina Il stepped on the toes of the most pow
 erful financial interest in the coun
 try.
 .'The same interests are associate
 both in the foreisn and coastwis
 shipping. The most prominent for
 eign shipping corporations, eontro1Ie l by American interests, are owned b
 the International Mercantile Marine l a. New Jersey corp oration. This com II pany owns the capital stock of tn .I Oceanic Steam Navigation Company
 Ltd. known a.s the White Star Line