New-York tribune., 1920-12-14
Gives Plan to
End Defects of
Shipping Board
Martin Cillen, Assistant to
Former Chairman Payne.
Urges Divorce of Board
and Fleet Corporation
Lower Prices Advocated
Would Have Freighters Sold
at 500 to SIPS a Ton;
Favors Federal Licenses

"Constructive suggestions to correct
the conditions and evils surrounding
the Shipping Board and the Emergency
Fleet Corporation" are contained in 9
statement submitted to the Congress
sjcnal committee of investigation into
me Shipping Board by Martin Gillar,
assistant to Judge Payne when the
latter was chairman of the board. M
Gillen was g recent witness before
the Walsh committee.
"The Emergency Fleet Corporation,
with all its activities, should be CON-
pletely eliminated from any connection
with the Shipping Board" says Mr..
Gillen. The Shipping Board has ulti-
matey to do with matters of commerce
snd welfare ot the nation, while the
Emergency Fleet Corporation is funda-
mentally a liquidation affair involving
government finance and appropriation.
ANY reorganization at this time must
keep clear this separation, not only
between the board and the corporation,
but in the committee control Of the
House and Senate as we'll"
Doties of Shipping Board
Mr.. Gillen holds that the Shipping
Board should have full control of the
management of the l,40O government
owned ships, and the Interpretation
and enforcement Of the laws and regu-
lstions laid down under the Jones bill
and it's necessary amendments. Eacn
OF the seven members of the board, he
says. should be selected for q special
ability, so that it shall include, as
chairman, a man experienced in large
executive and corporate work, and
ether members experienced in account
.ng and finance, OF the banker or large
business type; shipping; ship con-
struction; railroad transportation; ad
miralty or commercial law, and rail
road or commercial legal affairs. A
salary of $4,000 a year for the chair
man is suggested and OF $4,000 FOR
each of the other members A skilled
executive managing operator should be
selected for the fleet, Mr.. Gillen says.
The Emergency -leet Corporation, il
is stated, should consist of seven men,
bert who are experienced business men.
1t should be charged with the sale of
approximately AGO ships. worth at
present values abLut $500 900 0O0; the
sale OF surplus material. housing prof.
ects, yards and equipment; the COM
pleticn Of ships stil under construc-
ton and contract; settlement and col
lection Of claim; concerning the Fleet
Corporation; suits for restitution and
prosecution for violations and for all
the accounting # the board and the cor
poration, except the accounting for the
1920 when present operating
agency agreement was put into effect.
Business Men Needed
Members should be selected for spc-
cial ability Mr.. Gillen says, and
should be paid on the same basis as
the Shipping Bo,.rd members. The
chairman should be man Of out
s. Iding executive business ability,
al the others should include men ex
perienced in sales knowledge gained
by handling large units, handling SAL
wage materials, real estate, ship con-
struction, accounting and finance, and
commercial q
The Shipping Board, continues Mr..
Gillen, should receive base appro-
priation as reserve fund for ship
operation, if needed, when the law
IS changed, and if any deficit occurred
from time to time it could be met
~ q new appropriation, so that the
public would know what it cost to
operate the feet The corporation, he
says, should De required to submit to
Congress its budget OF administra-
ION expense for the ensuing twelve
months, its estimated cost for the
completion Of construction under way,
and the estimated cost of the settle
ment Of claims against the govern
ment. for a period Of year. Appro-
prlations, It is urged, should be made
On this basi.
Federal regulation is advocated over
warehouses, docks, stevedore com
pane, supply houses, repair yards,
ngh'erage, to Ing CON panies. and
commission houses furnishing freight
20 prevent the evils that have grown
Up through the destructive charges
created by these subsidiary shipping
Activities"