New-York tribune., 1921-08-21
Urges Congress to Grant
Further Allowances
and Opposes Specific
Restraints ON Agents
Cites Difficulty in
Getting Good Men
Lasker Hopes for End of
Government Operation
i'm Year if World Trade
Takes Upward Trend
From The Tri6une's Washington Bureau

From The Tribnne's Washington Bureau
WASHINGTON, Aug. 2o.-In a
letter to Senator Wesley L. Jones,
chairman of the Senate Committee
on Commerce, which was read to the
Senate to-day, President Harding
says the Shipping Board situation
was wholly an inheritance from the
previous Administration" that there
had been "unspeakable losses and in
tolerable wastes," but he was hope
full that the cooperation of Congress
and the Administration would lead
to gratifying results. He speaks for
further appropriations by Congress
and urges that specific restraints
shall not be put upon the board in
the matter Of employing agents. He
assures Senator Jones the waste can
be halted almost instantly and says
the losses must be brought to a min
imum at an early day.
President Harding's letter says:
Il could not fail to note the dis
satisfaction expressed in both House
and Senate over the very unsatisfac-
tory condition of the affairs of the
Shipping Board and the reluctance of
Congress to make appropriations for
the continued activities of the board
without putting specific restraints
upon the boards activities in employ
ing agents of relief.
"From your position you are prob
ably as familiar with the affairs of the
board as I am, and hope you will
make it point to lay the exact but
unpleasant truth before your co..
leagues.
Situation Inherited
"The Shipping Board situation IS
wholly an inheritance from the previ-
Gus Administration. 1t would avail
nothing to attempt to outline how this
lntolerable state of affairs came about.
Our great problem is curing the situa
ton. The difficulty of this task be-
comes very apparent to me. and had
its reflex IN the delay in the final Sc
lection of the Shipping Board.
at was no easy thing to bring CO.
pable men to the solution of this task
Chairman Lasker is making a very
heavy sacrifice to give his time and
talents to this most difficult work. He
has been able to bring many disinter-
ested advisers to his assistance, but
it is impossible for the board, in Gre
ating its various departments, to cs-
tablish such organizations by the or
dinary methods of government appoint
ment and compensation.
"Many of the men called to service
have been obliged to completely sac
rifice their private interests and in
some cases the sacrifice is made with
the knowledge that the period of EN-
ployment with the government is only
temporary. Under these conditions.
and because of the fact that hundreds
of millions are involved, it is unavoid
able that some compensations in re-
sponsibe places are much beyond the
ordinary run OF government compensa-
tion
$500, 100000 Claims Pending
There are approximately $780, ,O00,-
600 in claims against the Shipping
Board. No business man would venture
upon the settlement of these claims
without highly capable legal represen-
tation. The staggering losses in op-
Grafton can only be cured by board OF
operators whose members know some
thing concerning the business These
men could not be secured without Civ
ing up private pursuits which are vastly
more profitable than the average Ad-
ministration salary under the govern
ment, and Chairman Lasker has pro-
ceeded with my very hearty approval ir
the requirement of men equal to this
task. If their knowledge Of the busj-
ness will enable US to put an end to
operating losses, as we very much hope
to do, their requirement for govern
ment serIce will be justified hun
dredfold
''The error heretofore committed
seems to have been the employment of
incapable men at excessive salaries,
while the present program calls for
capability, and the compensation is
vastly less than in private pursuits. 7
have been at some pains to assure my
self that there is no overpayment in
selecting men for specific places. and ]
believe | can assure you that this over
payment has been avoided in recent
appointments.
~ do not venture to make promises
for the Shipping Board. I would like
the Congress to know we are speedily
arranging the discontinuance of many
lines of service which are being oper-
ated at loss to the government, and
we are hoping soon TO nave an enc To
all the unfortunate charter contracts
under which the charterers are rnade
whole, and share in the profits, If any,
while the government bears the brunt
of ell the losses. This is very intoler-
able arrangement, and is being ended
as speedily as the situation will permit.
Present Agitation to Blame
at must be kept in mind at all times
that the administrative agents who are
now asking for the confidence and the
cooperation o. Congress are in nowise
responsible 1or the condition of affairs
which have shocked the country and
given the Congress such great concern
''There have only recently been called
to the service of correcting the in
tolerable state OF affairs which we in
herited, after which it is very much
hoped they may make gratifying
progress toward the firm establishment.
of an American merchant marine
Efforts Must Not Fail Now
sWe must not fail in our efforts nov.
There have been unspeakable losses
and unuttcr rable wusfes Thcua fb5no~