Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1917-08-10
WAR BOARD POLICY
MEETS OPPOSITION
Many Protests Against Selling
Supplies to Allies at American
Governments Prices.
STEEL MEN DECLINE ORDER
Administration Hopes Industry
Will Be Brought Over
Through Negotiations.
STEEL MEN DECLINE ORDER


ernments war purchasing program
was gone over in detail to-day by the
new War Industries Board It calls
for an elimination of excessive profit
on war materials sold to the American
and the allied governments. and con-
templates protection for the American
people against extortionate charges.
At a morning session. Herbert
Hoover. who will sit on the boards
purchasing committee TO handle the
buying OF food was called in. and in
length with Colonel W. w Littell. in
charge Of the construction Of army
cantonments.
One subject given especial considera-
ton to-day was that of compelling
American producers to sell war sup
plies to the allies at the same price
charged the American governme ent
Protests against this policy, It was said
to-day. are SO general the government
is taking steps to force compliance.
and. il necessary. will seek legisla-
ton to accomplish it.
Reports to-day that steel producers
had claimed TO supply the War De-
partment with an order OF rails for
France because OF the low price offered
indicated that open opposition to the
announced policy is appearing. The
War Department declined either to
deny or confirm the rumor, although 1t
was learned that there had been some
sort OF hitch
HOPE THAT NO NEW LAWS
WILL BE REQUIRED
The hope Of the war board and the
administration is that industry will be
brought over through negotiations, and
that no new laws will be required.
This applies also to the administra-
tions expressed intent of seeing that
the general public also obtains it's
goods at reasonable prices. Under the
food bill just passed by Congress. the
government has entire power over the
production and distribution OF foods,
feeds and fuel. and is not doubtful
about it's ability to deal with the
producers.
Officials believe manufacturers who
decline to sell at prices prescribed
could be handled by denying them the
use Of the railroads In Transporting
their goods. Control of exports, IL is
said. might be used on producers who
failed to make fair prices to the allied
government.
Scores of contracts already have been
let by the War Industries Board. both
for the United States and its allies 1t
became known tonight. While other
government boards have been discuss
ing the problems before them. the war
board has been working, and, while no
announcement has been made of its
accomplishments. il can be stated on
high authority that hundreds of mil
lions of dollars worth of materials al
ready have been contracted for. The
prices in many cases have not been
specified, the manufacturers agreeing
to abide by the price set by the gov
ernment after il is in possession OF
the figures on cost OF production. now
being procured by the Federal Trade
Commission.
BUILDING UP A HUGE
PURCHASING ORGANIZATION
On contracts let for the use Of the
United States. it was stated all manu-
factufers had shown desire to as
sist in every way in getting the ma
terials out and rely upon the govern
ment TO give fair price. On con-
tracts for the allies. however. there
has been a disposition on the part
of some manufacturers TO question the
authority of the United States TO fix
prices. While the war board is wait
ing on the Federal Trade Commission
to give the figures cost of produc-
ton and make suggestions TO fair
prices. it is building up Il huge pur-
chasing organization such as has never
been dreamed of before. When com
pleted. it will he practically a clear
ing house for the world, so far as ma
terials entering into the war arc con-
cerned.