The Connecticut labor news., 1922-07-28
CARAVAN DEMANDS HARDING CLEAN UP
 GERMAN CHARGES
Writes President That Daugherty Has Grossly Misled
 Him on Facts.


 single chemical patent right owned by
 the Chemical Foundation, Inc, of
 which he is president, Francis P. Gar
 van, in a spirited and energetic letter
 to President Harding, asserted that the President, grossly misled by the aftorney-general," is, for the first time
 fin American history, attempting to abrogate a solemn Executive order of a predecessor, and is acting, moreover, on information furnished by German agents and interpreted by lawyers whose sole knowledge of the war and It's lessons is derived from association with German clients"
 Absolute legality in the sale of 1, TOO and odd former German patents to the Foundation, and complete publicity in the organization and operation of this QuaSi-public institution, together with the highest of ethical motives, are earnestly maintained by MT. Garvan in his communication, and he asserts with emphasis that no person connected with the Foundation has ever made a dollar out of 1t. or ever could do so under its charter and bylaws, himself feast of all he fortifies that statement with figures which show that the capi- @ml of the institution consisted of $42S,- 0O0, all of which has been spent in the purchase of the patents and in educat- ing the people through schools and colleges and in the encouragement of chemical societies, and says that the Foundation income from licenses bare ly meets the modest running expenses.
 All of these financial details have nMxO h0an Nr noruor minds President Harding, and demands and tell the people whether the Foun- 6ation and it's head have deserved the abuse they have received.
 "Gave All and Got Abuse"
 'It has given it's all," MT. Garvan writes. "You can take away nothing but the opportunity of service. It was all we got from the government. It 1s all we have. -... V "Mr. President, you have had the femerity to impugn the honor of the gentlemen who boast a part in the great work of building up or preserv- ing the possibility of progress in or @anic chemistry for America. You have again been misinformed as to the nature of the trust we bore. That trust was not for the German Kartel, the owner of practically all the important patents, who had received them under the minimizing graciousness of laws they had induced. That trust was for the American people, their industrial Independence and for the safety and health of their children and their chil- dren's children
 < AT, &oAI T. s- 1R T- states that he has forwarded to the Alien Property Custodian the Chemical Foundations formal answer to his demand, an answer "as an American corporation ready at all times to de fend its rights in the courts," but that the public in whose interests the Foun- dation was organized, is entitled to be fully informed as to the circumstances under which the demand was made and the reason why it is unqualifiedly re- fused. The demand itself, Mr. Garvan asserts, together with the letter written by the President and the statement made by Attorney-General Daugherty, demonstrate that you, Mr. President, have been grossly misled by the attor- ney-general, both as to the law and the facts of the case"
 Eliminating "Enemy Interest" Thereupon Mir. Garvan contends CD That the attorney-general has listened exclusively to German agents, which is no investigation; CD, that the United States government has no interest in the suit brought by the Foundation to determine the ownership of funds held by the. treasury; (3), that when Presi- dent Wilson authorized the sale of the oS& . secretary of state nor alien property custodian was, under the law, in the remotest sense trustee for the Ger man enemies; (4, that specific power to sell the patents was granted by Con- gross after full committee hearings on Novembe~ 4, 1918, and on December 3, 1918, President Wilson, vested with power to supervise all sales authorized Acting Secretary of State Frank l.. Polk to approve the sale of the German chemical and other patents; (5), that on February 26 1919, Polk ordered the sale in the public interest, noting that a public sale was not in the best in- terests of the public because 1t would offer opportunity for the patents to get into the hands of spectators and monopolists, and that the Chemical Foundation, obligated to grant non- exclusive licenses, was the best means Tor eliminating alien interests hostile to American industries and of the ad- vancement of chemical and allied in- dustries in the United States;'' (6), l that President Wilson. returning from abroad, confirmed Folks order on Feb ruary 13, 1920, with this comment "My reasons for the foregoing determi- nation and order are stated in the said orders of Frank l.. Polk and in addition thereto, the public interest will be best served by the elimination of any enemy interest adverse to American citizens arising by reason of said choses in action, or rights, inter ests and benefits under said agree ments
 "This sale" MT. Garvan continues, | twas made in the full light of all branches of the government and in the | full light of publicity. The idea of it's formation was the result of the inti- l mate knowledge of the past use of these |