The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1920-02-24
INJUNCTION IS
!: NOW|N EFFECT
Court Order Keeps American
Flag Flying Over Seized
Merchant Ships.
HEARST FURNISHES BOND
Shipping Board Loses on All
Efforts to Hamper Relief
Measure.
HEARST FURNISHES BOND
BENSON EXPECTED
!, TO RETAIN SHIPS

Sweeping changes In the policy
Of the Shipping Board toward
sales OF former German ships nre
Understood to have been discuss
ed today at a conference Of Ad-
nairnl w. 8. Benson, Chairman
Payne. and other members of the
board. Benson soon will succeed
Payne as chairman.
When Payne leaves the board
to become Secretary of the Inter
Ter, II II believed that his policy
of selling the former German
ships will be abandoned, and that
Benson will institute new policy
:. of retaining some Of the vessels
for the army transport service,
and disposins of the others under
such regulations that tAey Will
always fly the United States flag
and be ready for navy service In
time of war.
One of those mt the conference
today was Raymond b. stevens,
member od the Shipping Board,
who opposed the sale.
Justice Bailey, of the District Su-
preme Court, today signed formal
decree enjoining the Shipping Board
from selling the ex-German fleet
seized by this country during the
war.
The injunction was granted last
week on petition of William Ran
dolph Hearst, who, through counsel,
contended that the board was with
out legal authority to dispose of the
fleet, which includes some of the fin
est passenger ships afloat.
No Appeal Filed.
Counsel for the Shipping Board to-
day gave no notification of an appeal
from the courts ruling sustaining
the Hearst petition.
At the original hearing on the in
junction petition. Judge b. c. Ames,
OF the Department of Justice. and
District Attorney John f. Laskey
representing the Shipping Board, filed
no written answer to the courts rule.
but sought to have Judge John Bar
ton Payne, chairman of the board,
take the stand and give an oral
answer.
Counsel for Mr.. Hearst objected to
such a procedure and were sustained
by the court. The case proceeded
without an answer and the legal
questions involved were argued.
After the court had ruled for the
plaintiff, Shipping Board counsel
sought to have the court fix bond
for Mr.. Hearst at S5,000,000. Again
they were overruled, the court fixing
She nominal bond of $4,000, which
was furnished the court today by Mr.
Hearst.
Injunction in Full Force.
Chairman Payne announced that an
Immediate appeal would be asked
but no notification OF appeal was
Eiven today when the final decree
was signed that made the injunction
operative.
Judge Ames was not in court today
when the injunction decree was
signed. District Attorney Laskey ap.
poared for the Shipping Board.
Ansell e Bailey, of Washington
former Gov. Joseph W. Folk and
" illlaTt n. tptI oius VI ANt" ioIN
counsel for Mr.. Hearst, were all in
court today.
THE order il acceptable to US
Paid General Ansell, after it's approva
by the court. at enectually halt,
the sale OF the fleet, and accom-
plishes all that we set out to do
Counsel for the Shipping Board hat
no comment to make on the court
action. There remain ten days II
which to take an appeal, but. IL 4,
said, no appeal will be taken. sine,
Judge Payne has intimated he will
await action of Congress on meas
cres now pending which would de-
fine the future merchant marine pol.
icy OF the United States.
May Lead to Navy Probe.
The disclosures brought about 10y
The injunction proceedings initiated
by Mr.. Hearst may lead to probe oi
the proposed sale OF naval ships with.
cut Any provision for their future
rcatstry under the American nag.
soGotor Jones, chairman of tn,
senate Commerce Committee, ha,