Evening journal., 1922-07-03
WANT TO keep
GERMAN PATENTS.
Garvan Says Foundation
Won't Give Up Without
Fight
HARDING'S ORDER
RIDICULOUS, HE SAYS

( NEW YORK. July S.-"America'
( best legal minds. including severa
e staunch and true Harding Repub
., licans. approved the Chemical Foun
, dation title to the 400 German
chemical patents it bought from thu
Alien Property Custodian and OF
that united opinion $50 of the big
sest chemical concerns Of the coun
TRY invested $3.50. 100000 for the de-
velopment of the patents for mar
kets in this country"
That was the reply which Francis
p. Caravan, president OF the Founda
ton and former Alien Property
custodian. gave yesterday TO the
charges made by President Harding
in his orders to Thomas w. Miller
Alien Property Custodian, to obtain
the return of those patents to the
Government and to Daugherty's
statement concerning the PRESIDENT
order.
MIR. Caravan characterized the
Presidents action and Attorney
General Daugherty's statement as
utterly ridiculous" and said that
whatever happened the patents
would remain the property of the
Chemical Foundation.
Il am proud 10 claim credit for
being the founder in the Cheml cai
Foundation" Mr.. Glrv.n said. This
is rot the first tine il has been at
tackled. The Germans have been
qu'te active with their propaganda.
and their campaign rs to get thns,
patents back so that fhe can cnca
more control the entire dye market
and a large part of the rest IN the
chemical market and the billions of
dollars In American industry that
are dependent on dyes and otner
chemicals.
Acknowledgement Daugherty SAYS
that after many months Of investi-
cation by the officials of the Depart
ment OF Justice. and in the face of
much interference. the point was
finally reached when 1t was possible
to make a report to the President.
What sort of investigation was
this? What interference was made?
We did not even know that there was
an investigation. We would have
been glad to place all we had at the
disposal of the investigators. None
of the members of the Foundation
was called TO testify who were the
witnesses called? l don't know, but
I have my suspicious.
1.-THE charge has been that the
Alien Property Custodian could have
realized at least s1O.0O0,0OO for the
patents for which the Chemical
Foundation paid s25O,OOO. That is
only a half truth and as such Is dan
gerous.
First of all let me tell you that
only 6s OF the 400 patents are MAX
ing any return TO the Chemical Foun-
dation.
I'VE could have sold at least one
Of these patents for 100000 600 II we
had wanted to revert to the same
as when Germany held
control There is medicine for
which 100000 persons. according
10 the latest figures. in America have
need. We could have sold that for
price to an individual If we had
wanted to give him full control over
the remedy and allow him to fix
what price ne wanted in selling it.
I'VE could have sold all of the
patents that way. probably, ana re-
nelved much more than $25O,OOO
and then we could have seen them
-esold into German hands and the
products returned back to the Faith
,rland. so that the United States
would have to pay through the
nose.
I'VE formed the foundation to
-oster the American chemical IN
iustry. We have done that. the
dupont interestes alone invested $lS'-
100 600 in plant and research for the
,evelopment in the patents Tor
which they hold formulate. The $50
that hold licenses have
invested at least s15O,O00,O0O in that
way.
Those companies did not go into
his thing blindfolded. They consult ]
"A counsel-the best to be had-and
,ur titles to the patents were scrut-
nized. They passed muster. All
ave TO say is that the Chemical
will keep possession of
hose patents until the last one runs
,ut II years from now
WASHINGTON. July 3.-Presi-
lent Harding's order directing Alien
property Custodian Miller to de-
nand of the Chemical Foundation
he return OF the German patents,
etc. that were obtained
" 1t during the incumbencies of
francis p. Gravin and A. Mitchell
PALMER. will prec.pitate the biggest
egal battle that the capital has eX-
,erlenced in years.
Nobody has the least idea that Mr..
farvin who is president of the
,hemical Foundation. will comply
With Mfller's demand. and the next
tep will be a suit. which Will bring
ut the whole story.
The sale of the enemy patents was
~ direct order OF President Will
ON. President Harding though he
oes not make the direct charge inn
lied in his communication with
colonel Miller that the transaction
vas fraudulent.
The common stock in the Chemi-
al foundation is held by FIVE trus-
ees: Otto Barnard, president of
few York Trust Company and once
he Republican candidate for Mayor
( New York; Cleveland II. Dodge.
f New York. George L. Ingraham,
Justice of the Appellate Division of