The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1922-02-11
INDIRECT
ATTACK
ON FORD
Secretary o { w a T.
Weeks Insinuates in
Statement to House
Committee T h a t
c. h e a p Fertilizer
Cannot Be Produced

CdllllOC De L IOQUCCU
Washington. Feb. s.-Opening
sessions Of the house military COM
mittecs investigation OF the Ford
contract offer for purchase and
lease OF the government properties
at Muscle Shoals, Ala, revolvcd to-
/ day principally about the clauses
relating 10 manufacture OF fcrtil-
izers for the nations agricultural
needs. Secretary Weeks. Of the
war department, appearing as the
first witness, repeatedly declared
his doubt as TO whether fertilizers
could be manufactured chcaply at
Muscle Shoals and expressed his be-
lief that amendments to safeguard
better the governments interests
in the $l0G. 100000, investment al
ready made should be incorporated
in the offer as it was drafted.
To alter existing government
policies regarding the lease OF real
estate or other properties and per-
NIT q l00-year lease Of the water
power machinery and dams in Ala
bama, the secretary asserted re-
peatedly, would be an unwise act
and should not be permitted. He
advocated 4 reduction in the time
clause from 100 years TO so. in the
event congress should decide to ac-
cept the offer.
another often lecited suggestion.
involving q change in present Ian
sua3c OF the Offer, the secretary
pointed out. would require 4 fixed
capitalization for the operating
company Mr., Ford is 10 create. The
secretary said no provision existed
in the offer guaranteeing d capi-
talization which the government
might recover, in whole or in part.
in the event the. contract was vlo-
lated. a provision OF some sort was
advisable. ne said, which would per
nit the government to impose
through legal means Il penalty or
corIcit should the company fail TO
carry out the terms OF the offer.
Anything might happen in the
next 100 years he said. While !
have, not the slightest doubts as TO
the solrency Of Mr.. Ford. nor OF
his intentions to execute the agree
lncnt in good faith. neither he nol
] will be here during the life OF
the contract In considering this
question We are providing for the
future generations"
Regarding the manufacture OF
fertilizers and their cheap delivery
TO the farmers OF the country. Mr..
Weeks said there was no reason
able certainty in his mind that
tina, was possible.
y If ! thought that development
Of the project by Mr.. Ford would
!, effect 4 material reduction in the
cost OF fertilizer" be said. II would
vote for his proposition. il l were
in congress. But, ! am SO in doubt
as 10 that. should hesitate to give
any advice unless assured Of i
guarantee.
Asked what the annual consump-
ton Of fertilizer was, the secre-
tary said it approXimatcd 1900
600 tons and the Muscle Shoals
plants could only produce at L max
ilnum 100000 tons. That amount,
he asserted. would not, in his opin-
ion, affect .he existing marker.
The war secretary previously
had told the, committee that Mr..
Ford had declined 10 guarantee fey
tilizcr production over 4 given
number of Years and had informed
him in conversations that he would
not manufacture the commodity at
Z loss.
Although pressed repeatedly by
several committee members. the
secretary did not express an opin-
ion as 70 whether the OTTER should
be accepted or rejected 10y con-
eress. AT one point he was asked
whether the properties should be
salvascd or Mr.. Ford's offer ac-
cepted but he replied only that the
government would not salvage the
project in any event and repeated
his intention TO complete the Will
son dam if the offer WIS rejected.
He said the dam could be COM
pleted without taking Il dollar from
the treasury by n bond issue based
on commercial value OF the prof.
cct az a water power development.