The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-03-28
HURLEY PLANS TO
SELL GREAT FLEET


Watereu stOck,' he said. I'VE want to
avoid the stagnation that someti
comes from red tape and bureaucracy,
hut we want no profiteering nor exploit
ing. We want the new feet used for the
benefit of the people of the United states
and not against their larger interests /;
for the development OF the nations COM
merce and not merely for the develop
ment, of the private fortunes Of ship
operators.
mo one will deny that our foreign
trade or the operation OF American ships
will decline unless there 10 a profit for
the men who invest their money, But
whatever assistance the Government is
willing to render should be reciprocated
by those who are benefited. Therefore
the nations shipping policy should GER
tRinly provide for such governmental
representation as will guarantee n square
deal to the public.
II think that the whole nation Is
agreed that there must be no more
scandals OF overcapitalization in any
part of American Industrial or COM
nercial life. The ships built by the
nation should never be made the basis
for any stock jobbing scheme. The mere
possession of large capital must not
give the larger operator an opportunity
10 drive the smaller man out OF bus-
ness. In the plan am ready to submit
for the best thought and impartial dis
cussion of the country believe you will
md that the American theory of en-
couraging competition on fair terms is
amply safeguarded.
In my Judgment any policy which
does not encourage the building and ex-
tensive operation OF ships under the
American flag will not satisfy the Amer-
can people. believe that sound
policy can be put into the form OF
legislation and Il will then form a per-
manent foundation on which further i'm
provements. as the need for them APP
pears, can be erected.
The United States Government now
owns 555 ocean going steel cargo ships
aggregating 3.3S5.475 dead weight tons.
In addition It has under contract 1886
similar vessels of 9.275,00 dead weight
tons. II our present programme be
carried out, there will be under the
American flag next year 1912, 700
dead weight tons of ocean going steel
cargo and passenger ships. This fleet
will be equivalent OF almost half the
merchant tonnage which plies the seas
to-day under the flags of all nations
combined. The Government will own
about 20 per cent. of 1t.
The economic Importance OF this
great feet would be difficult TO over
estimate. Upon its successful operation
under a sound financial and admins
trative plan by vigilant, courageous men
who have the interest OF American in
dustry and commerce at heart depends
more than upon any other factor the
future development OF our overseas
trade and of the domestic industries
which feed it."
In the first part OF his address Mr.
Hurley pictured the great expansion of
our merchant marine after Lloyd
George called for ships, ships and
more ships In the eighteen months
ended March l the Shipping Board
added to our merchant marine, he said
GIG wood and steel vessels aggregating
s,640,406 dead weight tons. There was
never any idea that wooden ships were
as good as steel ships, but he agreed
with Lloyd George, who said TO n Brit
ish committee III these wooden ships
will make but two or three trips, build
them; We mu have ships
Check on Observation-Disclosures
The plan OF ownership and operation
which he outlined applied only to steel
ocean going ships. Coming to Govern
ment ownership. he said that II this
feet, built at Government expense, were
to be used now merely for the adj
vantage OF groups of ship operators with
sufficient capital to buy the ships from
the Government he would advocate re-
tention of the whole feet by the Gov
eminent.
He deemed the problem quite as COM
pick as the railroad problem. Private
ownership offered an Involvement 10
American energy and SKILL but one Of
the phases of unrestricted private con-
troll, which caused me considerable con-
Germ, was the possibility that under
such control ships would be overcapital-
lied as were many OF the railroads" II
there was to be any monopoly 1t must
be a Government monopoly. II there
was to be private initiative the field
must be kept open to the small operator
whose opportunity to compete with the
large operator must be protected BY the
Government.
He hoped that the people of America
whose interest must come first, would
view the problem broadly.
Various Plans Considered.
He then reviewed the various plans
considered. ranging from Government &c
unreg1llated private ownership and op.
Grafton He CONTINUED:
1.-THE argument in favor of Govern
ment ownership and operation is tha
this great fleet which has been created
with taxpayers money should be uset
for national purposes; that the ship:
have not been built to earn profits a!
ships but TO become the servants of thu
nation which built them. 1t is urgeC
commerce OF the nation as a whole. anC
that they should. IL necessary, be placed
in trade routes which may temporarily
prove Improbable but ultimately becom,
OF great value to the nation as an instru
ment through which its foreign commerc
can be Increased.
Private companies would not be dis
posed to serve the national interest IL
this way. The life OF A ship is compare
lively short. Its owner must make /
pay to-day. He cannot be expected T.
take a loss to-day in order to build up
commerce which will become a source o
profit only after the ship now engaged II
that commerce has been strapped. Tn
graz need of this country Is that new
trade routes should be established, arr
IL Is urged that Government ownership
and operation should be retained as
guarantee that all ships will serve tn
nation as a whole and not limited clas
OF private ship owners.
"A further argument in favor OF publ
ownership and operation is that In cas-
OF a national emergency such as has jus
been experienced the Government woul'
he in a position Immediately to CONVEX
Its merchant fleet into a military weapon
For Private Ownership.
1.-The chief argument in favor of pri
nd Go hal