The Chattanooga news. [volume] (Chattanooga, Tenn.) 1891-1939, 1920-11-17
tMULCTED U. S.
OF s23,0OO,OOo
So Former Shipping Board Of
ficial Says of Norwegians
Who Requisitioned Ships.
-------~~-- aHN
TWO BILLION TOTAL LOSS
No Profitable Merchant Ma
rine Till That Amount Is
e Off Slate.
TWO BILLION TOTAL LOSS

new. work, NOV. 1T,--Martin Gill;
len, a former offielAl OF the United
fore the congregational Investigating
committee that Norwegian interests
mad rnuleted the United States out
of s2s 900 900 on ships that were re.
auls'tloned when Aa.sriea entered
"rhsrs has been a $1,000, ,ooo, 900
loss IN the United States shipping
program. The money 10 gone lust
as though ysu had shot Il away In
nN Must Write II on.
Until the American people realize
that there has been a $4,000, 900, 900 loss
and write II or. lust as the clothine
dealer and all other business firms have
been compelled TO write on depfeca-
ton recently, we cannot establish a
soih. profitable merchant marine, -
Not Dishonest Motives.
u do not believe dishonest motives
controlled the acts OF any shipping
board member or high officer. But
things were lax. Therew as a lack OF
any accounting system. And there wAs
no effort to put a big experienced man
IN charge Of deyising an auditing and
controlling system" se A,tu
v Contrary 20 Principle.
..The state department" said
olilen, "oentrary 20 the principle
made a settlement 60 Nof,senlans
involving a loss OF S2s, ,o0o, 900. This
was In settiement for twenty seven
shlps being built IN American yards
and which were reaulsltloned,b BY the
United ssase. government when We
"Ths Norweelans actually had
paid only S1f,464,5ab on these con.
tracts, and the state department,
py proeess of tradine, settled for
"wc paid for the gambling In ship
that was going on in Nor
way. SHIP tonnage was ordered here
at. $3.50 \ ton and re-sold In Scandi-
nayis at $500 a ton.
The witness said a search OF the rec.
ords showed that there was no data
available on $50 ships reduisitioned by
the government ut the outbreak OF the
war and which were building In AnlF-
team yards. "
who made these Norwegian adjust-
asked Chairman Walsh.
Commissioner Ray Stevens" tho
witness replied. ss..s as A.fl
when the. outrage ciaims OF the Nor
en MA s.srea,s prssiSsn wS,s psR w,ns nsld np
.'badgered' at the peace conference In
Paris. Norwegians complained TO the
president of the United States that his
country didn't pay It's bills"
President Wilson," said Glllon, ''ca-
bled home to get busy on those claims,
but he didn't authorize payment Of
false claims based on shipping gamb-
The Norwegian claims, the witness
said, were subsequently paid and the
United states was q loser 70 the extent
Ssnki kinninr hoard - A .irs--records hank
% ist,S,isieal |. when "a pAse aPeyne came
WIZ pISslbIs so soujd IA e ~ q II fSr kilSs
ding any shipping boarn fnattefs.
The, witness told how millions OF doll
lars of shipping board money was se-
creted and used by private shipping
how the state department
facilitated graft" amounting TO mii-
ions In tho settlement pf ships redui-
sitioneu from foreign firms.
Have government built ships made
money7" asked Representative Henry
steele Of 'Penheyivafiia
mot even interest charges or. depre.
station since the armistice," answered
"Do YOU think government operation
sfNtieff TOr-tlie govcrhnsnty'' nsRedt
1T ha been and II is not. and
lsee ne tf' from loss at this time"
Could our government built mer-
,hant marine be operated Mt profit In
he future?'
THAT depends on what price you Ak
Der deadweight ton." said Olllen.,