The evening herald. [volume] (Albuquerque, New Mexico) 1914-1922, 1920-02-20
WILSON GAVE
0. K. TO SALE
OF HUN SHIPS
Fact Revealed At Hear
ing OF House Merchant
Marine Committee

" ASH NHI0Nt FEB. 2u.-aIhe SEM
ate commerce committee today order
ed favorably reported Chairman
Jones' bill prohibiting the sale Of the
thirty former German passenger liners
except IA may hereafter be provided
hy congress.
while no record vote wna taken on
the hill, the committee previously
adopted motion, 10 to 3. providing
that the sale be prohibited
The house merchant marine COM
mittee also took a hand In the ship
coniryvcrsy when Chairman Payne ep-
peared TO repeat testimony already
given On the same subject before the
senate commerce committee. some Of
his evidence was supplementary ques-
lions by cOnHnittee members bringing
out the fact that president Wilson had
formally approved the boards Gecis.
ion to sell the vessels, writing action
Of the hoard approved" ON Il COPY of
tte resolution referred 10 him.
Appraised NaaIe.
Navy officials had appraised the
thirty ships at substantially less"
than the sealed bid of f2s. .0OO.0 .0O re-
cciyed Tor the Lovlathan and twenty
otIer ships Of the fleet. MIR. Payne
7AtH an AINlhlHAA NN navy NtiiriNia
on nineteen ships, including the Lew
latham. he added was approximately
$50 0OO. 600
While the committee hearing was
progressing, counsel for the shipping
hoard appeared before Associate Jus
tire lailey IN the district supreme
court to urge that William r. Hearst,
on whose taxpayer petition tempor-
AIRY injunction against the sale has
been issued, should be placed under
s. 900, 600 bond To cover possible ioss-
- To the government due TO the wing
up of tho craft hy legal proceedings.
They estimated the daily prospective
loss at f2n,O0D ana also pointed out
that "a contract 20 sell the swunee for
}2,ouJ.uoa, held up by the injunction.
expired today
Hearst Oppose. High Bond.
Counsel Tor AIR Hearst contended
that only nominal bond should be re-
qulred ~ hoard officials had told
congress uli bids had been rejected
ANA mat no safe would be- made with
out specific permission o. congress
Mr. Hearst sued, 8! WIS stated, not
tor his personal gain. bu. in the puh-
llc Interest 20 prevent lcss 20 the goV-
vrnment ana counsel added that
pond % s. zoo. 600 required of sin
spirited persons in the future from APP
plslng TO the courts In similar cases
Justice Bailey said he would ne
prepared tomorrow 20 fix the bond
and intimated that the expenses at
ready incurred as 10 the proposed sale
probably would govern the amount uf
the bond
Wilson'S Reply
President Wilson la reply TO Sem
utor Brandegcc's resolution. informed
the senate today that hc had no. en-
tered into any agreement or UNDER
standing witL officials Of Great Brit
ain concerning the sale OF former Ger
man liners seized IN American ports
nor had he entered into any agreement
CO.. understanding with respect to what
disposition should be made Of them by
the United States.
AT the same time he transmitted to
the senate COPY OF q proposed
agreement between the allied and as
sociated governments at Paris under
which each ls to retain a. Us own 'tue
complete title Co and use uf all ships
captured. seized or detained during
the war as IA war measure and 10
"own the same frCe from any claim
ot any OF the allied or associated gov
crnmcnts."
This agreement further provides
that In ease the ships 30 retained by
any allied or associated government
are la excess of the claims OF such
governments for war losses In mor-
| lNhAA HilAhH NNtN hhNtl lNlAfNA HAAAA ANA
make "a claim for share Of other
ships Codod under the treaty OF peace.
ships so coded will be distributed
among the other governments on the
| basis of ton for ton and class for class
Of the ships lost ana not replaced by
the enemy vessels seized or captured
by them during the war.
n also provides that since the ships
I 10 be- retained by the United States,
Brazil. China, Cuba and siam would
/ exceed their claims for merchant ton
/ mage loss the commission shall deter
I mine reasonable value of the excess
and those countries shall pay such
sums to the commission FOR the credit
OF Germany In making reparatlon for
. war LOSSES Of merchant ships,
The president said that while he felt
confident that congress would make
the disposal uf funds 10 which he had
agreed he had 10 AUTHORITY 90 bind Il
20 that act. but must depend upon It's
mking the same view IN the matter
that Is taken hy the joint slgnatorics
ot this agreement"