New-York tribune., 1919-03-10
Urges Precautions BE Taken
TO Prevent Enemy From
Rccuperaiing in Markets
Reports on Seizures
Provision Made for u. S.
Firms to Regain Losses in
Sale of German Property


Alien Enemy Property Custodian, in
his report, covering the activities of
that office for the sixteen months end
ed February Is, made public last
night.
81 do not advocate any trade boy
colt out of spirit of revenge or
retaliation for injuries done the
United States," the report says. "Thc
military arm of the German war
machine has been palsied by the tre-
mendous hammering Of the Allied
powers. But her territory was not in
yaded and if she can get out of the
war with her home territory intact, re-
build stable government and still
have her foreign markets subject to
her exploitation by means no less foul
and unfair than those which she has
employed on the field of battle we shall
not be safe from future onslaughts diff
ferent in method, but with the same
purpose that moved Ter on that fatal
day when she set out to conquer the
world"
Great good will result to this coun-
try from the Americanization of enemy
owned concerns, the report states
Foreign capital should be welcomed, but
only if it becomes promptly naturalized.
German Propaganda Spread
an most of the German-owned in
dustries in America their first love was
the Fatherland," Mr. Palmer saws.
"They spread German propaganda be-
fore America was awake to its sgnifi-
cance. This is now all in the past. In
dustrlal, commercial and scientific de-
velopment, stilled or throttled here bv
the selfish conduct of the German in
dustrial interests, now should have full
play"
Practically all the known enemy
owned property now has been taken
over, the report says. The prop
erty Of each enemy person taken over
IS treated as separate trust There
are now being administered 1926 Of
these trusts which, with about 5000
cases not yet appraised have an aggre-
gate value of $500, ,945,724.75. When the
values of all shall have been adjusted
the total property in the hands of the
custodian will reach 100000, 900, it is
asserted
The total amount of government
funds expended by the custodian is
about $l,0o0,000, so that the cost of ad-
minlstering these trusts has been about
one seventh of l per cent of the prin-
cipal OF the trust estates. This record,
IL IS sald, never has been approached by
any trust company. In one sense. the
report asserts, the office has cost the
government less than nothing, as about
SlVVo,oVo concealed and unreported in
come and excess profit taxes have been
collected by the custodian.
Made Act Fighting Force
The custodian sets forth that he has
Tied to make the trading with the
enemy act fighting force in the war.
and tnat the sale of the great shipping
ana dock interests at New York and in
tine Virgin Islands, the LIQUIDATION of
enemy interests in metal, textile, chem
icai' electrical and other industries be-
iore the armlstlce was signed, helped
orihg 10 the German government reali-
zatlon tnat. regardless of possible mill
tary Victories. she already had lost tthe
war The selling programme, the report
continues, was accompanied by fair
houce that while account would be
given after the war for the proceeds
from enemy properties, those proper
separated
from their former owners forever.
There is no question, Mr.. Palmer
declares, of the legality and wisdom
OF continuing the liquidation Of en-
emy-owned property after the armi-
s''ce- All American citizens whose
property has been seized in enemy
countries Will thus be able to present
lnelr CLAIMS to this government, which
VIII see to it that they are reim-
pursed, paying them from the funds
resulting from the sale of enemy
properties here. German subjects suf-
1erng losses here doubtless will be
looked after likewise by their own
government.
BY the simple process Of offsetting
and adjusting these claims between
the United States and the allied ma
uons on the one hand and the Cen
tral Powers on the other each gov
ernment Will have sufficient property
belonging to the enemy to liquidate
the claims of its own nationals"
Case of "The Evening Mail,
In connection with the case of "The
New York Evening Mail" Mr.. Palmer
rays:
After painstaking Investigation,
concluded that "The New York Eve
nail wac PAiSildot1 Win money
'uppied by the German government,
and its capital stock was in fact enemy
owned, although DR.. Edward Rumcly
was the record holder thereof / have
not yet made Il demand for this stock
70 be delivered to the Alien Prop
efty Custodian. because Of the fnan-
eial condition Of the company. 1t is
heaWiy burdened with debt and opcr-
s}ed at a loss, 80 that | was unwill-
mg u assume the responsibility which
m'Xot follow from the position Of a
t''ckhoider Besides, the large in
sfrests Of the American creditors Of
tae company might be very seriously
!eopardized b. the seizure and public
e@'e 'l the enemy yowncd stock Of the
s''poration Suggeatious have been
maze 70 me for the satisfaction Of the
enemy interest in the company by
private sale Of American interests. but
W % the present have been unwill-
~ 70 recommend to the President
shat private sale Of this property
snould be made"
wv