The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-11-20
SAYS FOREIGN MINDS.
GUIDE SHIP POLICIES
British Firms Favored Over
Him, Testifies Luckenbach
at Hearing Here.
NAMES KERR AND CLEGG
U. s. Still Owes His Line MANY
Millions He Says Pre-
senting Figures.

EQBdT r. lllChtuDhSH, pIcclucht VI
the Luckenbach Steamship Company,
testifying yesterday before the Walsh
committee, charged that the United
States Shipping Board Disseminated
against his company In the ALLEGATION
OF ships; that he has not been reim-
bursed for the s4.s17,00 which he had
to pay to recondition ships requisi-
toned by the Government and re-
turned to him on five days notice, and
that the policies Of the Shipping Board
are guided largely by foreign interests
and by men who always have been
opposed to the upbuilding of an
American merchant marine.
Among the alleged favored firms"
in the ALLEGATION of ships Mr.. Lucken-
bach said were subjects Of Great
Britain. He said the feeling that for
eign shippers were given preference
by the Shipping Board over old estab-
lished American lines was shared gen.
orally by the heads of other steamship
companies who have been in business
for many years.
The Kerr Steamship Company or
this city, he said, was allowed to make
three "free trips" exempt from Gov
eminent regulation with vessels the
firm purchased from Austrians ut a
time when freight rates were the high
est in the worlds history.
Calls II "sltpping hoard"
Kerr and Clegg said Mr.. Lucken-
bach. "are British subjects, opposed to
everything American. They nave
taken Kermit Roosevelt in with them
to wave the American flag
Mr.. Luckenbach said his quarrel Win
the Shipping Board began back in 1917,
and that II still exists. He expressed
contempt for it's methods and policies, re-
ferring to It as the Slipping Board" He
sa id that his company was founded SIXTY
Ave years ago by his father. and that II
had been successful from the beginning.
1--WE always have fought. with few
others, for the ipbuilding of merchant
marine" said Mr.. Luckenbach. mot "a
cent Of foreign money ever has been in
vested in our lines. Our company Is
strictly family affair and yet the Slip
ping Board is showing favoritism to new
compa MES which arc incompetent and TO
foreign interests who certainly do not
have the interests of American shipping
at heart"
Mr.. Luckenbach said that his expert
ence with the ships built by the Slip
ping Board" showed that they had not
been properl yinspected while they we're
being built, as there came to light many
evidences of bad workmanship. includ-
ing leaky depths and loose rivets.
He said his company had bought
S22. 100000 worth of ships from the
Shipping Board and that. though this
was more than any other company
vored class" but had been compelled to
pay what other companies had not
Moreover. he said. his company and not
the Government had to pay for the
large number OF rivets which had been
replaced on these ships. Half OF the
ships he bought. he said. had to be
placed in dry dock because Of leaky
rivets.
When the war began. Mr.. Luckenbach
said, the Government took over n num-
Der OF ships which he had under con-
struction In the Fore River shipyards
After they were seized. he said. he was
told that the original contract which
he had signed for their construction had
been destroyed and that new one had
been prepared on the cost plus basis
He wanted to know what the Shipping
Board would allow on each vessel. and