The Washington times., 1920-06-04

SAYS NUGENT
Conference Report Adopted A.
to IA After Scathing Arraign-
ment by Idaho Member.
COMBINES TO GET FLEET
Permits Purchase by Foreign In
terests II Not Bought by
Americans.

the conference report on the mer-
chant marine bill by a vote of A.
to Ia.
The bill provides for the sale Of
the American merchant marine, and
further provides that ships may be
sold to foreign purchasers if the
Shipping Board is unable to dispose
of them to American purchasers.
The conference report now goes to
the House for final action.
Ten Democrats Vote NO"
Senators opposing the conference
report were:
Democrats: Ashurst. Culberson.
Harris. Harrison, King. Nugent, Reed.
Shepherd, Trammell and Walsh OF
Massachusetts,.
Republicans: Borah, Capper. Ken
yon and Norris.
The charge that there will be IAN
unnecessary loss of one billion dol
lars" to the United States by the sale
of the American merchant marine as
provided under the terms OF the nier-
chant marine bill now before Con-
k5cSk WAS IuAOe IN tue Ccu1sS eHAS
afternoon by Senator Nugent of Idaho.
Senator Nugent was making q
strenuous attack upon the conferences
report laid before the Senate.
81 do not entertain the remotest
doubt that, II the bill becomes q law.
the fleet constructed by the Govern
ment at a cost Of more than $SJOOO'-
OOO, 900 will be dispOsed Of at . loss
OF more than . $1,000 100000 Of the
peoples money, to private shfpDing
corporations that will parcel cut
among themselves the trade routes
and the markets Of the wsrid,' SeAA'
tor Nugent declared.
Few Senators On Floor.
During the consideration Of tho
conference report but few Senators
were on the floor.
These ships were constructed when
it was perfectly apparent that IL the
allies were to win the war II was
vitality necessary to construct ships,
Nugent added "Our government en-
barked upon the most stupenduous
ship program ever undertaken by any
nation and it has not yet entirely
been carried out. 1t is that mag
nificent fleet that under the provisions
| of the shipping bill will be disposed
| of to private interests at a loss or
! one-third."
Nugent referred to the testimony
of former Chairman Payne of the
Shipping Board that the fleet, during
the last fiscal year., operated at a
profit of S166, 6,493, 900 and is now being
| operated at a profit.
| "When the building program Is
complete we will have fleet which
/ IL not disposed of can be operated for
the interest of the whole people Prac-
tically the only reason advanced for
the passage of the bill is that the
Government should not be engaged
| in business; but in order to take the
Government out of business we should
not make a billion dollar contribution
to the shipping trust" Nugent said.
Trusts Spread Propaganda
| That a countrywide propaganda is
being conducted by the committee OF
American ship builders" to have the
ships sold at a loss was charged by
the Idahd Senator. He contended that
| such advertising is the use of the
same tactics followed by the railroad
Executives to pass the Cummins rail-
road bill; by the packers to create
the impression that there is no money
| in their business" and other large
| interests.
| NuEcnI Sdlu lhc
of the bill do not accomplish their
purpose
"The restrictions on sale placing
the sale value at the reproduction
price minus depreciation in itself will
lose the Government s1,O00,00 600.
considering the exorbitant prices paid
| for the building of these ships dur
| ing tho war" Nugcnt declared.
Nugent scored the leasing OF the
thirteen former German ships to the
United States Mail Steamship Com
pany, saying the provisions In the
| lease which permits purchase by the
company at the end OF lve years
would entail further loss OF s1oo.-
00O, ,o0e.
IL have observed that many OF the
strongest supporters of the shipping
hill were among the most active and
enthusiastic advocates OF the rail-
road bill under which the people are
required to pay interest at tho rate or
at least 5th per cent per annum TO the
value of nll railroad property in the
country, Nugent declared.
The tax exemptions provided in the
bill were opposed as class legislation
(which no other enjoyed by Nugent
"whno we desplaced the Federal en-
ployes minimum wage bill because ot
lack OF time, We now take up bill
which gives away one billion OF the
taxpayers money" Nugcnt observed.
Senator Trammel. Democrat, Of
Florida. scored the provisions OF the
>aafarenca report