The Washington times., 1920-02-16
BIDDING SLOW
!. ON 80 Ships
Only One Offer During First
Hour Of "Auction"-Board
Takes Recess.


The United States Shipping Board
today officially admitted that the ex-
pose by the Hearst newspapers.
backed by public opinion Of the en-
tire country, had effectively blocked
the sale at this time Of thirty former
German vessels seized by the United
States during the war.
Commissioner Thomas A. Scott, IN
charge Of the auction sale" OF the
board, announced at the opening OF
today's meeting with heads Of ship
companies that final action on any
bids would be deferred until sfter
court action on-ths Injunction suit
brought By willism Randolph Hearst
. - 1k,xatA SnhIa1A-Has being argusd
Il the time before Justice Bailey IN
the District Supreme Court. was
brought to restrain the shipping
Board from disposing OF the vessels.
Mr.. Scott also announced to the
shin interests that the board had
been blocked by Congressional &C
ton, Judge John Barton Payne, head
Of the board. having promised the
Senate Commerce Committee that the
vessels would not be sold until Con-
gressional approval had been oo-
tanned. The committee acted on ma
terial furnished in the Hearst ex-
pose.
Bidding Up Six Ships.
The first sign of life in the auction
saie came when the American snip
and Commerce Corporation through
General George w. Goethals. onereo
a lump sum Of $10,oo0.000 Tor the
George Washington, Martha Washing
ton America. President Grant, MAnse-
mond. and Callao, for the Hamburg
and Bremen service. The bid promptly
was raised to 3l0,5o0, 600 by the inter-
national Mercantile Marine, through
p A. 8. Franklin. Both bidders stipu-
lated that S2,5oo.0oo would De IN cash
ON delivery OF the ships, the balance
10 be remitted over a period OF ten
wears. and the Caliao to be delivered
nfter she is reconditioned by the
Shipping Board. a..
General Goethals then raised his
hid 70 slo.75o. 900, whereupon Frank
lin etumped to Sl0,S50.ooo. The sue
cessiye bids then were as follows:
Goethals, S11,000,0o0: Franklin, w.
100. 900; Goethals, 311.a50,oo0; Frank
lin. Sll,35o,0 900; Goethals, &1l.soo.ooo;
FRANKLIN, S11,60o,o 900.
General Goethals stated that his
hid, would include repairs on the
Martha washington at the expense Of
the shipping Board. Franklin rnsde
the same stipulation. Commission
er Scott, stated that repair on the
Martha Washington were started on
Fehruary 4, and that the estimated
cost would be 81 ,4s5,354.
FRANKLIN asked II there was any
,,keliho ood Of the Shipping Board COM
netting in the Hamburg service. Scott
said he thought II was not 1fkrly
that there would be any such com
netition Commissioner stevens, who
aid Of course the board could Civ
no assurances as to this competition,
added you'll have to trust to the
Governments sense OF fair play In
this matter.
In the competitive bidding between
Coethals and Franklin a fnal bid OF
s13,IOO,O00 was offered by Franklin
Refuses To Name Owners. I.
At the opening OF the AFTERNOON
.c.sior, Con,missiorer Scott began In
ovtry into the ownership OF the coY-
p.ri~- represented mt the sale. Frank
lin WINS asked TO name the owners
Of the International Mercantile Ma
rtne.
u am surprised mt such question
repIied Mr.. franklin. "THis infor-
nation II filed with the shippsnH
hoard. I do not care to, discuss II
In pubiie.-
only one bid was offered today In
the first hour of the public auction.
Philip Deronde bid 100000 for the
Black Arrow to go into the Black
sea service. Tho Shipping Board re-
Gently rejected a bid of so2b,0o0 for
the same ship. Defonde representsd
tho Oriental Navigation Company.
Previous TO the opening of the auc-
tion ten bids were received by mall
and wire. ...N..
These included offers by;
International Mcrchanule Marlne.
Munson Steamship Company. ~
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