The sun., 1918-11-20
WASHINGTON HALTS
Big MARINE DEAL
Government Desires to Fur.
Their Consider Whole Nat
ter of Transfer.
100 VESSELS INVOLVED
All Under British Flag, but
Holding Company Is Re-
garded as American.
100 VESSELS INVOLVED

Negotiations for the sale by the In.
ternational Mercantile Marine Company
OF the ships II controls through It's Brit.
ish subsidiaries have been held up BY
washington, II became known yesterday
following a special meeting OF the board
OF directors of the company. AT the
close of the meeting President p. A. S
FRANKLIN gave out the following state
ment:
'"While during the course OF these ne
gotlations we have kept the authorities
in washington fully Informed we have
to-day been requested that we take no
further steps to complete the transaction
Until our Government has the oppor-
tunity to further consider the whole
matter"
The formal announcement OF Wash
ington's attitude concerning the nego-
tiations, which have been going on fsr
over a year, thus confirms rlmor
which had been going the rounds OF tire
financial district for several days, a.
since the unexpected break in Marine
preferred last week. These rumors have
since been added to and at the presen;
stage give more definite reasons for
Washington's interest in the proposed
Marine deal.
The Federal authorities are appre-
hensiye, II Is said, that the sudden
withdrawal OF so great an amount o.
tonnage as Is involved in the negotia-
tons may considerably hamper the re-
turn of American troops from Franc.
and otherwise create a shortage OF ship
ping available for American use. Rumors
even 20 80 far as to say that the United
States Government had made an offer Of
$125, 900. 900, the proposed sale price.
to the International Mercantile Marine
90 ha Oyif al
coo tons involved in the deal. No YER
fication OF. these rumors could be OBJ
tanned at the offices of the company,
Deal May Go Through Later.
Despite the unexpected turn OF evsn,s
Wall Street looks for the consummatiou
OF the deal as II was originally planned
1t Is of course impossible to sag hov
long the settlement Of the matter vii
be delayed. The estimate in some quar-
ters is that II will take weeks or months
while others consider 1t a matter o.
days. Those who look for an indefnitc
holding up OF the plans for the sale o.
the ships point out that, as WIS recently
officially stated. 1t will take elsht months
to bring back the American fighting
forces from France II the return is
made at the rate of 100000 a month l.
would be difficult to maintain this heavy
transportation rate, 1t is pointed out. IN
view of the fact that more than half Of
the British tonnage available for the
transportation of troops to France has
been withdrawn, and it would be almost
impossible to bring the men back IL
that time II further tonnage Is with
drawn.
The Governments request thus halts
the completion of the Marine deal. which
was near at hand, and which awaited
only the clearing up of minor details
Negotiations for the sale of the ships
were begun late in 1917 and immedi-
ately aroused considerable interest no.
alone because Of the magnitude of tho
tonnage involved but also because tn
money obtained through the sale would
make available funds for the distribu-
ton OF all. or at least part, OF the Sc,
back dividend due on the preferred stoch
The first announcement that the dea.
whereby the International Mercantile
Marine Company would reIinqulsh COT
troll of its British subsidiaries, ana
through them Of its entire fleet under
British registry, was made last May
Many details remained to be settled
however, and the matter dragged o.
until last week, when again the Ana
settlement was expected.