The herald and news. [volume] (Newberry S.C.) 1903-1937, 1918-02-12
GVERhAN BILL THE SOLUTION
Administration Believes That il will
Silence Critics and Remedy Cause
OF Any Inefficiency.

! OF Any Inefieiency.
! Washington, Feb. 7th.-The ad-
ministration believes that it has found
a solution for Americas tangled war
supply problem. From sources close
to the White House it is learned. t2ar
the nomination of Bernard NJ Baruch,
as head of the war industries board,
and the extension of the boards pow
er under the Overman bill to the point
where it will become virtual minis
try of munitions, is 9unted On to 81
!ence critics who insist that the war
machine has broken down.
The plan. first made public by the
international News Service last night
IS today put forward b. frie~9s CT 5le
administration as tie utilization OF
the powers Of man who cut profit
earing out Of war sales to our allies
here and saved our associates in the
war billions of dollars.
Before America entered the war
end before the allied purchasing com
mission was formed with Mr. Baruch
at the head, shrewd American busi-
! ness men reaped a vast harvest OF
profits On commissions and subcom-
missions in the placing CT contracts
for the hard-pressed belligerent ma
tions. With the Capitalization OF this
! expenditure in the hands OF Mr..
Hsruch a new policy was adopted.
While a fair profit was allowed to the
men who made the munitions the
brokers and fly by nights who had
! previously reaped commissions were
eliminated Contracts with them were
! ruthtessly shattered.
There can be no contract not based
On equity" was the motto applied
by the new power. 1t was no longer
possible for dealers in munitions 70
play one allied purchaser against the
ether and members of the allies mis-
sions here admit that the plan was
tremendouly effective.
The administration hopes to apply
TIE same plan to the problem Of sup
ply for the army, navy and shipping
board. 1t feels that all Of the JUS
criticisms against our war preDara
ticns that has been brought cut IL
congress and elsewhere reduces It
self to the failure Of such unofficial
bodies Of purchasing committee OF the
Council of National Defense properly
to coordinate the needs Of the bu"-
ing departments and the resources
for which they were to be supplied.
Again the criticism that this may be
dangerous relaxation OF needed safe
guards the :, administration will urge
that the plan as applied to the allies
was carried out successfully VITA
practically no such safeguards. Allied
funds were placed in the hands OF the
Baruch commission without restrict
ion.
Members of the Baruch commission
have high praise for the allied mis-
sions here. The allied missions are
equally pleased with the Baruch COM
mission.
The experience of the Italians was
mentioned here tonight as an example
Since General Tozzi and Mr. Baruch
started passing On contracts scores OF
millions have been saved to Italy III
one contract alone s1,3G0,000 OF "vel-
vet" was shaved off. In another series
of contracts $2O,G0O,000 was saved
There has been no criticism OF ex-
tortionate prices in American con-
tracts. it is pointed out. The crit1-
cism has been rather that the produc-
ton has failed The complete co-op-