Evening star., 1922-07-11
DYE DEMAND FORMAL.
Alien Property Custodian Also
Seeks an Accounting.
By the Associated Press.

BY the Associated Press.
| NEW YORK, July 11-Thomas w
Miller. alien property custodian
through his secretary. Fred H. Will
son. has made formal demand upon
Francis P. Garvan. president of the
Chemical Foundation. for the return
to Washington of the 400 German
patents and processes seized during
the war and now controlled by the
foundation.
Mr.. Miller also demanded an ac-
| counting Of all money received in
connection with the patents and re-
quired that no licenses for their use
be granted henceforth.
Mr.. GarVan. before leaving for
Washington, would not state what ac-
tion the foundation would take on the
request, but said that on his return he
would draft courteous reply" In
another quarter 1t was pointed out
! that the requisition of the alien prop
erty custodian simply made a bald
demand for the property, that no
charge of fraud was made and that
no legal authority for the demand was
specified.
The Chemical Foundation, Mr.. Gar
van said, had expended its entire
paid-in capital Of $43S,0OO as wei as
receipts. for the sale of license rights
to the patents.
Treasury Is Low.
There was only a small amount
OF money in the treasury for
running expenses at present. he
stated. OF the original paid-in capt.
| tai, he said. s25o.OOO had been paid
10 the government for the patents. The
$50 stockholders. who are all chemical
| manufacturers. he asserted. had not
realized cent on their investment,
! which he declared was made to safe
guard America and her industries from
renewing Of the 'Stranglehold' which
the German chemical combine had Sc
| cured here by reason of the patents.
Ninety-two per cent Of the founda-
tion's income from the 400 patents
had been obtained from sixty-two OF
the patents. of which only about 400
nave ever been inquired about by man
ufacturers. he said The licensees pay
from l to s per cent of the selling price
of their products manufactured under
the patents for the right to use the pat
ented processes. according to Mr.. Gar
van.
In response to questions Mr. Garvan
said that he had no personal interest in
the foundation. He was paid no salary.
he asserted, and had never received an
expense account.
Responsibility OF once.
Pressed to explain his motive in
lcldlllliS sutii a PoSilicii, lt Sdlu
LAS alien property custodian I saw
the Importance OF this job unfolded
before me. 1t was job that came
to me. and it is "a job I am going to
finish for the purpose of the public
interest and the benefit of American
industry
MY heartfelt motive is the devel-
opment Of medicine. That is the thing
which is the ultimate goal of the
foundation. Industry. after it is
given it's freedom. can take care of
itself Once the industry is deve,-
oped national defense will be secure.
But the main thing is the develop
ment of research in this country on
the chemistry of the human BODY.
War. we hope. we will never have to
use the industry for. but you must
remember that the chemical industries
ganic chemistry"
The records and books of the founda-
ton are at the command for inspection
Of any reputable newspaper in the
country. he said, and asserted that he
had made this offer to several hundred
newspapers more than a year ago. Mr.
Garvan said no stockholder has any say
at all about the corporation. all common
stock amounting to $4,000 having been
placed for seventeen years in the hands
Of the following trustees: Otto T. Ban
nard. Judge George l.. Ingraham. Cleve-
land H. Dodge, Benjamin Griswold of
Brown Bros. Baltimore and Bradley
w. Palmer OF Boston. The only finan-
cial return to any stockholders would be
to the holders of the s4o0. 900 preferred
stock, who would get back the actual
cash they had paid in plus per cent
interest, he stated.