Evening star., 1921-08-28
ALIENS WCT|M|zED,
LASKER CHARGES
s1!,2oo.ooo Diverted by Ship
Line, Official De-
Clares.
U. S. REGAINS 9 VESSELS
Americans Will Not Be Driven
From Seas" by Change Of Man.
agement, Asserts Board Head.
By the Associated Press.

By the Associated Press.
NEW YORK. August 27.-Charges
that the United States Mail Steam
ship Company had diverted through
prior uses $1,20O.000 obtained from
immigrants were made today by
Chairman Lasker of the Shipping
Board after the government had re-
gained possession of nine ships
originally chartered to the company.
Mr.. Lasker announced that. with
the vessels restored to the board by
court order they would be operated
by a special committee until the
board decided whether to sell them
or charter them to another company.
Will Protect Immigrants.
He declared that the s1.200, 900
represented advance money collected
from immigrants for passage, hotel
expenses. railroad fares and immi-
grafton head taxes, and that decision
temporarily to operate the vessels as
patriotic service was reached
because "the government feels that
it could not permit fraud and hard
ships to be worked on thousands Of
immigrants" Diversion Of the funds.
he asserted, was an "unconscionahle
act''
The fight for possession of the nine
vessels has been in progress since
they were seized by the board last
month on the ground of non-payment
nf hn "
regained possession of the ships
through injunction proceedings. but
when the case came up today before
Federal Judge M-nton he ordered re-
ceivers for the company. appointed
after the seizure. to return the craft
to the board. The receivers re-
quested that the decree be issued.
and informed the court that they
intended to dispose Of the company's 8
assets for the benefit Of creditors.
Committee to Operate Ships.
The committee which will operate
the vessels comprises w. Averill
Hartman, Kermet Roosevelt and A.
v. Moore, who will serve without
compensa ton. Mr. Lasker. in his
statement. declared that the board
had started its action to maintain
the American flag flying on the
seas and to protect innocent immi-
grants who we discovered were being
f1eeced."
mo so-called allen shipping in
terests will be permitted to drive the
Ao0 rrs
long as American citizens are willing
and able to operate American ships
for America" Mr.. Lasker added.
The nine vessels which Judge Man
ton ordered returned to the govern
ment are former German liners.
The Agamemnon. Susquehanna,
President Grant and America now are
in New York; the George Washing
ton and Princess Matoika bound for
this port; the Mount Vernon in Bos-
ton, the Potomac in Bremen and the
Pocahontas in Naples.
Conditions Amaze Lasker.
Mr.. Lasker's statement said that
the receivers on examination Of the
affairs of the company, found condi-
tions even worse than had been rep
resented by the Shipping Board.
at was impossible for the receiv-
ers," the statement said, ito further
operate the ships with the company's
income already diverted through
prior uses. The government, con-
sistent with it's policy to do every
thing possible to keep it's premier
fleet on the seas, consented to the
return of the ships and agreed that
it would honor these immigrants
tickets. making good the cash deposit
and taking an assignment from the
immigrants of their claim against the
United States Mail Steamship Com
pany. Inc.
"The Shipping Board agreed with
Judge Manton that the operators
would continue to use such facilities
from the receivers as would be prac-
tical. including the docks Of the
North German Lloyd Company at
Bremen, Germany, and other terminal
facilities.
Had the United States Mail Com
pany been permitted to continue with
the ships the losses would quickly
have been mounted into untold and
immeasursble sums. Rarely has a
like condition of commercial chicane
been unearthed. We feel that the
conditions unfolded more than justi-
fy the seizure in July"