The Birmingham age-herald., 1922-07-02
RETURN OF ALIEN PATENTSDEMANDED
 BY ADMINISTRATION
Chemical Foundation Said to Have Secured Property Dur ing War For Mere Nomi-
 nal Sum
By Associated Press

at By Associated Press
 Washington. July 1-Instructions were issued today by President Harding that demand be made on the Chemical Foundation, Inc, for immediate return to the government of all patents, trade marks, copy rights. contracts and other property transferred to 1t by alien property custodians of the Wilson administra- tion.
 The instructions contained in let- ter written by Mir. Harding to Thomas ". Miller, alien property custodian, which was made public at the White House were wholly un- i expected although the special foun- dation numbers of times has been under the fire of republican members of Congress.
 In addition to the instructions that a demand be made for return of the assignments made by the alien prop s erty custodian's office under the pre- vious administration, the President ordered MT. Miller to take any action advised or approved by the Attorney General to respect fully the rights or interest of the Pnited States gov aernment in the properties.
 t-+si4 Action Justified
 Supplementary to the Presidents letter a statement was made by Att torney General Daugherty that the action taken by MT. Harding was Justified by the records" of the de- partment of justice, which he said had flor many months been conduct ing an Investigation 'in the face Of much interference. The Attorney General added that tho instructions as to return to the government of ' property taken over by the founda- ton would be carried over with all dispatch
 Notable among the attacks on the chemical foundation in Congress was that made by Representative Frear, republican, Wisconsin, who charged that "the dye monopoly headed by the Chemical Foundation company" had sought to influence three mem bers of President Harding's cabinet in an effort to perpetuate fits pres ent exclusive power" in this coun- try through retention of the dye em- bargo.
 MT. Frear at that time further charged that Francis F. Garvan and ' Joseph Choate, Jr., while employed by the government In the allen prop erty custodian's office, conceived the idea of seizing alien patents then
 
 ing them over to themselves and , their associates In a private capacity under the name of the Chemical ' Foundation company" at a private sale" for $250. 900, or about two per cent of their actual value.
 Charges Denied
 The Frear charges were denied by MT. Garvan and his assistants. The { President in his letter to Mir. Miller l,4- to the fact that the Chemical Foun- dation has brought suit against the United States for an accounting al- legged to be due the said Chemical . 'Foundation on royalties due 1t for the < usee of certain patents originally seized under the authority of the alien property custodian and sold to the Chemical Foundation during the previous administration.
 f Ut appears that the sale was made : at so nearly a nominal sum that 1, there is reason to believe that this s ,Government has not faithfully ob . served the trust which was Implied /. in the seizure of the property" the l, letter said. adding that full in- - 'vestigation becomes a public duty"
 Custodian to Proceed
 The alien property custodian's of- ~ flee was instructed to proceed forth
 
 "r Make written demand upon i, the Chemical Foundation, Inc, to im- . ,mediately return to the alien prop erty custodian all patents, trade marks, copyrights, contracts, appli cations or other properties or rights e -transferred to it by the alien prop erty custodian as aforesaid and to account to 1t for any and all rents profits. license fees or other pro- ceeds thereof realized by said Chem ical Foundation. Inc, from said prop erty or rights or any of them from sthe~ date of transfer thereof, to the Chemical Foundation, Inc, to the date of restoration.
 "2. Take any other action which may be advised or approved by the Attorney General by suit or other wise to fully and in every way re- spect the rights or interest of the United States and any other person or corporation interested therein, in and to the properties and rights aforesaid and any proceeds, income or profit therefrom in the hands of the Chemical Foundation, Inc, or It's officers. or employees"