New-York tribune., 1920-10-21
Army Vessels
Compete With.
ShippingBoard
Presidents Order Turning
Piers at Hoboken Over to
War. Department Surprise
to Benson's Associates
Transports Carry Cargo
Panama Railroad Boat Cuts
Boards Rates Sharply;
Greater Activity Likely


.n.n,ing from the control Of the Ship
,;no Board FIVE of the former German
owned piers st Hoboken and turning
them over the Var Department for
use. SHIPPING men sec further evil
s.nces Of friction between different
branches OF the government.
No: only does the exemption of the
piers come as surprise to shipping
men, but officials Of the Shipping
Beard are said to have been in COM
,.stc ;gnor~pco of the contemp plation
Of any such move. The Hoboken
terminals are now being used by one
Of the Shipping Boards services to
South America and plans were being
made by local representatives of the
board to use the docks after the first
Of the year for several lines of gov
eminent owned and controlled ships.
which are now handicapped in their
opera.ion by congested docking facili-
ties
Failure Of tie War Department to
notify the Shipping Board of the step
it proposed taking in connection with
the former Hamburg and
North German Lloyd piers is regarded
as in line with recent events, among
which is the operation of a vessel
under the control o. the War Depart
ment in competition with Shipping
Board vessels at consideraly lower
rate than that fixed by the board.
Transports as Cargo Carriers
That the department is Preparing to
extend It's activities in the carrying of
private cargo and that the Hoboken
piers re to be used in this connec-
lion, is the view taken of the present
situation bg many shipping men
In his order the President sets forth
that certain Of the piers have been
leased by the War Department to the
Panama Railroad Steamship Line, a
government-owned enterprise. and
that others are needed in connection
with tha army transport service.
Al the last session of Congress lecis-
latlon was passed giving the War De
prtment the right. if it chose to
exercise 1t. 70 carry passengers and
cargo at not less than the prevailing
commercial rates. This plan is aid
to nave been originated by Secretary
OF War Baker. who is regarded by
snlppme men as q strong advocate Of
government ownership and operation.
The effect ef the War DEPARTMENTS
PARTICIPATION IN commeScial shipping
IS evidenced by the case OF the Ancon.
one OF the vessels belonging t. the
Panama Railroad Steamship Company.
Inc Ancon' which is ordinarily en-
gagged IN carrying supplies for the rail
Toad to the sthmus, chiefly from New
York, recently put into Galveston.
"nlle there she took on 10000 tons Of
sulphur for New York, said to be the
biggest cargo Of the kind on record
Shipping Beard Rates Cut
Vessels belonging to the Shipping
Board and allocated for private opera
ton have been engaged IN the same
trade out Of Galveston a the board s
rate Of S. ton. Privately owned yes
sells have also been observing the same
rate, which mas therefore been the pre-
eaing commercial one
The Ancon, however, took its cargo
Of sulphur al 81 a ton, not only com
7etlng with the vessels owned by an
ether branch Of the government, but
cutting third off the rates of these
vessels
In connection with the Ancon and
other vessels Of the Panama Railroad
steamship Company, the point is made
tnat as there arc no capital charges
made against these vessels for de-
preciation insurance and interest on
investment. they can take cargo profit
ably at lower rates than privately
owned ships Protest made against the
cutting Of rates by the Ancon ELECTED
an admission that the cut had been
made and promise that it would not
occur again
Cargo Brought From Europe
Transports of the War Department
are reported to have arrived at New
York recently from the Mediterranean
With passengers and cargo, one reach
ng here within the last few days from
lreste Other arrivals are reported
from Antwerp
With the use OF additional piers at
hoboken, as we'll as those at the army
base in Brooklyn, shipping men say,
the War Department will be in posi-
ton to enter much more actively INTO
lne carrying of private cargo IN com
petition with the Shipping Boards own
vessels. Outward bound the transports
are chiefly engaged in carrying supplies
to our troops still in Europe, but on
the return voyages they have ample
cargo space to take on considerable
lfelght for private account.
Steps are expected to be taken by the
Shipping Board TO oppose any entry III
swnolesale way into competitive cargo
carrying by .he War Department