The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-04-12
WILSON SEXES
SHIPPING LINES
Clyde, Mallory. Merchants and
Miners and Southern
Vessels Taken.
GIVES 100000 TONNAGE
McAdOO Is Instructed to Es-
tablish Compensation for
Use During War.
GIVES 100000 TONNAGE

WASHINGTON. April 1l-Ieadisg At
lantic and Gulf steamship lines will be
unified Saturday under control of the
Railroad Administration.
President Wilson by proclamation to-
day commandeered the Clyde. Mallory.
Merchants and Miners and Southern
the supervision OF Director General Nc.
Adoo. who aiready has control OF the
railway owned lines. the Ocean. Old
Dominion. Southern. Baltimore Steam
Packet and Chesapeake steamship COM
panies.
This action adds -S3 toas;whSe >.s-
sells averaging $500 tons each /, Ike
s other coas;w!se ships a.reauy under
Government management. making a
total OF III vessels. asgressting nearly
100000 tons These will he asxignsd
betweerr Hampion Roads and Eew Eng.
land. co..on from Oe South 10 New
England nrd c.he- .,aHic which will
result IN .s,e9inx rail transportation.
Under private management. It Is
said. tdany o. th~ ships taken OVER
under tie proclamation to-day have
heen r.nnins on irnex.ble schedules
and routes, often carr! ing light "argoes
at least one way and have not lent
themselves entirely 10 the exigencies of
railway and port congestion.
One OF tho first steps o, the Govern
ment will he TO place a greate- number
of the vessels IN the coal carrying trade
between Hampton Roads and New Eng
land to provide for reserve OF fuel for
next winter.
Reorganization Is Planned.
road Admin.s.rail lion may be met with
Teorsanixauon OF the marine transpor-
tat!on division. it was said tonight
One branch may he given charge OF
ocean shipping. ard another of lakes
traffic and inland waterways. the greater
use OF which In planned hy the Railroad
Administration as soon as a survey now
beng made 10 completed.
sOf the 63 ships now Communicated
30 belong to the clyde Line. IA to the
Mallory, - to the Merchants and Miners
and s to the Southern.
The President specified that the COM
paIties are 10 he compensated at a
Just aud reasonable" rate to lie agreed
upon between them and D!rector-Gen-
eral McAdoo. This probably will he
on a hxed rental basis. such as the
Shipping Board uses in compensat ling
owners OF comma ndeered oceangoing
vesselk
Tine comma ndeerinR action WAS taken
under the clause o. the 1915 army ap-
preparation law which granted to the
President authority TO take over the
railroads Or any other transportation
lines. 1t is specified that the companies
shall not pay dividends in excess OF the
usual rate In the three years ended last
June 30. except with The Director-Geu-
erals approval
The Government operation IS to be-
come effective at I2;ol O'Clock Saturday
morning. and applies TO all the wharves.
docks. warehouses and other operating
facilities OF The lines as well rs 10 the
ships. For the present running sGhed-
ules crews aud company homogeneous
will be maintained
Some Lines Have Heen Free.
Coastwise shipping was included in
the order last October placing under
control Of the shipping Board all Anieri-
can vessels o. .,5u0 tons and over. When
the Governme,'t took over the railroads
In pecember the coastwiSe shipping was
released b. tine board. and the railroad
owned stcn rsh!p lines thereupon passed
to the control OF the Railroad Admins
trat ON. leaving some OF the ilnes. free
10 tONtLtuo nutN'GSb WIt''OUt ally 1ON-
errn,sNt supervision other than that ex-
crc'scd BY the Interstate Commerce
Commission.
1T has heen the view OF the Shipping
Board tiiat coastwise shipping IL an ele-
ment Of internal transportation and
therefore should be controlled by the
Railroad Administration. SO that the two
MODES OF tratfic might be coordinated to
tho highest possible degree. This step
has been advocated, especially since the
experience OF last winter IN moving coal
to New England,
Two methods OF operation used by the
Shipping Board may he followed by the
Railroad Administrator IN handling the
coastwise vessels. One IL 20 take the
vessels an bare boat" basiA the Rail-
road Administration furnishing crews
and assuming all direction Of the vcs-
sells. The other Ii TO return the vessels
to their owners for mana cement by them.
The Shipping Board pays S4.15 a ton
for bare boat leasing and 81 where the
company furnishes crew and pays all
other expenses, All income from the
ships, which In regulated 6y the char.
tering committee OF the board. accyues
to the United states Government.