Norwich bulletin., 1920-11-12
EVIDENCE IN DEFENSE
 OF THE SHIPPING BOARD

B. Clements, executive assistant to Ad- , miral Benson, chairman of the United States Shipping Board, today told the congressional committee Investigating the affairs of the board that considering everything, it is a remarkable tribute to the board that the United States secured as near 100 per cent. value as it did" The witness referred to the work of the board in building up new trades and told of the business connectios established , that were proving remarkably success full. He declared conditions in different trades were such that general operat- ing contract covering everything was, in his opinion. a dream"
 : The United States Shipping Board now { employs 10000 men and at an annual payroll of $1s,o000oO, said Commander Clements. This size of the organization is being gradually reduced, however, he added.
 1 Commander Clements was on. the stand
 all day testifying as to his personal knowledge of the charges contained in the
 report to the committee made by Secre- 1 taries Fisher ard Richardson. Of a ma l jority of the matters, he said, he had 1 but little personal knowledge-his work
 consisting mainly of matters of the fu-
 ture" having particularly to do with trade routes.
 As his examination was drawing to a
 close he said in reply to a question by
 Representative Foster, that the report submitted was substantially correct = in ] solar as his personal knowledge of mat ters alleged were concerned" Later i he modified this statements by saying that the report was Substantially correct
 only as to things which he knew, and that
 his testimony showed there were iso lated cases which had come to hi:
 knowledge. Under the administration of Admira | Benson, the witness asserted. the board
 was always ready to hear and to act upo1 complaints and constructive criticisms I Much of his testimony during the da,
 tended to show that tile Shipping E.oart was preparing, or putting into effect reg : ulations, checking systems and account : ing which would alleviate most of the ir : regularities charged in the committed report He said Chairman Benson ha, instructed the legal department of th : board to. Ego the limit to correct exist } ing abuses. Efforts are under way to bring up tn system of accounting so that the boa Ii 5 will know just where it stands financiali
 in it's relations with it's operators and
 agents an any time
 At present, he testified, no member O , the board could cast balance to ascer
 tain if the government had lost or mad money in its opera;i..a of ships None,
 he explained, is advanced to the oper
 ators on the operators own showing-th l board being protectJd by bond. An OF f orator might have a lot of money dut him or he might have a ' of money du the board This condition. he added,
 possibly due to freight fees being collect : ed both in advance and at p1itt of de
 livery or freight. and the accounts be " ing carried by the operator in the gen eral account of all his ships Day t
 day accounts have not been possible, h
 said, as auditing takes place at termir
 ation of voyages
 z The board now has force of 400 f working to bring its accounting up t date" the witness testified He adde 0 that the board intended to perfect il = system so that it could receive promptl a separate accounting of each ship an - voyage. This action was taken by Af
 miral Benson shortly after he assume the chairmanshp. He further asserte = that he knew personally Of only one cas II where the board had actually suffere ', loss in it's dealings with operators. - On the subject of alleged abuses
 the purchase of Supplies. he added ths o these were being corrf Al. He recite Il one instance where within two week a 70 representatives of the board recovere n | $z,bOU on an account of between S5 OC = to $7,oo0. The witness withheld name
 of parties concerned. He also referre |. to an alleged abuse which had come n his attention recently in Havana. Tn
 instance was where ships but recent from the United States had put in lars
 orders for supplies which they cou and should have purchased at lower pr
 vailine prices prior to sailing" The agel
 Of the board at Havana refused to o. l these acquisitions. new system wher TT by supplies for Shipping Board vesse will be purchased by the board instes
 of it's operators and at wholesale instes > of retail prices, was being prepared. Of alleged favoritism in allocatir ships, political influence and evils es interlocking organizations, Command le Clements claimed to have no person le knowledge.
 He had heard, he said, in a "gossi1 st sort of way of delays in dispatch of u r. Shipping Board vessels and the favoril Ln by operators of ships owned by ther el selves against government vessels a h. signed to them. This he characteriz e. as a natural inclination. He furth pr said that in his opinion better resul
 could be obtained by the board if 20 d ernment ownership were not placed IS, competition with privately owned vesst le through allocating them to vessel-ovni en companies. He said that some If the be es results had been obtained by new col b. panies, having only allocated yesse as Vessels, he said, should be only sold of charateIad to old established lines.
 The commander characterized the Shi
 ping Board as a body of men who sin w it's incention had accomplished a wcndt
 ful achievement