Evening journal., 1922-07-28
ISTRUSTEE OF
ALIENPR0PERTY
Position Taken BY Custod-
Ian Miller at Senate
Hearing
AMERICAN CLAIMS
WILL BE SETTLED

WASHINGTON July 2s.-A hear
ing was held by a subcommittee OF
the Senate committee on judiciary.
consisting Of Senator Cummins. of
Iowa. chairman; Senator Sterling. of
South Dakota, and Senator Over
map. OF North Carolina. today at
which time Senator Underwood pre-
sented the bill covering the disposi-
ton of the alien property and the
payment OF American claims. Sena-
tor Underwood asked that A. Nit
chell Palmer and Francis p. Gar
van. former Allen Property Gus
todians and Colonel W. Miller, the
present custodian. be called as wit
nesses. The hearing drew a consid-
erable crowd of on-lookers and re-
porters into the committee room.
Senator Underwood called upon
Mr. Palmer former Alien Property
Custodian and former Attorney Cen
eraI to take the stand first. Mr..
Palmer occupied an hour and half
on the stand. His two main points
were that under the present treaty
with Germany and the Treaty of
Versailles he alien property now
In the hands of this Government
had been automatically confiscated
by the action of the German Gov
ernment agreeing to these treaties
and in reality the property today is
on deposit in this country with the
permission Of the German Govern
ment for the settlement of American
NJ 14n 40
was that under no construction Of
the Trading with the Enemy Act
was the Alien Property Custodian to
be considered as common-law
trustee or as a guardian of these
properties for the people to whom
they may be eventually returned. He
entered into an exhaustive explana
;ion of his varlOu acts as Alien I
Property Custodian and advocated I
the passage Of the Underwood bill.
Francis P. Garvan who succeeded 1
Mir Palmer as Alien Property Gus /
rodian took the stand for a few min
utes and reiterated in part what Mr.. 4
Palmer had said. Senator Under
wood then called on the presem
Custodian Colonel Miller.
Mr. Miller at the outset made Il
plan that the administration or
President Harding was committed
to a policy OF satisfaction OF Ameri-
can claims and cited the Knox Por-
ter peace resolution and the treaty
OF peace with Germany both OF
which were adopted under the ad-
OF President Harding.
= ha ..auofsrar., ]
treaty with Germany state unequi-
vocaily that the sequestered prop
erty be retained until such time as
the claims are satisfied" stated Col. 1
Miller This administration, how I
ever. takes the ground that the alien |
property seized under the Trading !
with the Enemy Act is held by the
Custodian as a trustee TO be admin
istered as carefully and as properly |
as any other trust funds are by a /
trust company or a guardian"
He took issue with Mr. Palmer's
that the Alien Property
Custodian was not TO be considered
S a. common-law trustee and fur
her-stated that this administra- I
ion,f through the Alien Property
'ustodian is administering the prop ,
rtysas trustee for the former own
RS, who may be the ultimate own
RS, -aDd is also administering the
property as trustee for the Ameri-
an people, and until the adjudica-
ion--of the claims of Americans
igaiest the former enemy powers" v
'lr. Miller explained that the pres I
mt administration had recently y
'dopted the policy OF returning !
mailer trusts under $4,000 to :
heir former owners because of the 5
nsistent demand in Congress that
'ome steps be taken to clear up in
'art, the alien property situation.
jnder tho WiDslow resolution, which
President Harding approved. and
vh Oh was drawn up by the present
'ustodian's office, 93 per cent. of
he trusts Will be returned to the
oorer classes in Germany. Austria
nd Hungary. and there will still
emain over 5000. 900. 600 of assets
be held as a guarantee for the
aynent of American claims. Col.
iller stated that had not such leg
lation been proposed by this adj
AZ i7ti atAoil tHe tenpe3 or Congress
ould have undoubtedly resulted in
e Passage of a bill unconditionally
turning all the alien property.
lie State Department is negotiat-
e a treaty with Germany which
III provide for a war claims tri- !
mai to hear the claims on both
les and settle them at which time l
e question of payment will be c
ssermined upon and the property
elo as a guarantee will only be
- =. as last resort.
ne question by Senator Under
40 as TO the effect Of the Winslow Z
: S,osSsu,'on So,o.l,,'o9n on the patent situation. ;
-o.onei .,s' Miller stated. would be set, "
~ ~ oy suit in the courts against o
w., ~ chemical Foundation and RI
~ 'Ye'e ~. n no way involve the rigb,s
7, Nsnerieans or the War and Na~Y @ d
~ p''r'inept patents taken ovor ~. II
ne ne Government from cernsD,. sTr oy
.he sh ume the United states en- en,.-a az
MRS RRaV ~r,-,e.