The New York herald., 1922-11-28
STANDARD OIL ships
. NOT TO GET SUBSIDY
Bill to Exempt Firms Car
rying Own Goods on
Own Vessels.
ACTION BY COMMITTEE
Shippers on American Craft
to Get No Deductions on
Income Levies.
SIX AMENDMENTS PASS
81 Others Fail in House Bal
loting-Sale of Leviathan
Is Restricted.
SIX AMENDMENTS PASS

WASHINGTON, Nov. 2i.-Thirty- seven
shots in the shape Of amendments
were fired at the Administration ship
ping bill in the House to-day and six
struck spots more or less vital.
At adjournment tonight the bill had
covered exactly one third of It's tenn
pestuous voyage toward the Senate.
Representative Graham (Ill.), a Re-
publican, went home with three Of the
half dozen amendments in his shoot
ing bag. all put through with the aid
Of Republican votes.
Early in the fight Representative Ed
monds (Pa.), ranking Republican of the
Merchant Marine Committee, which
framed the bill, formally announced
that the section under which the Stand
ard OIL Company. for example. would
share in the Government subsidy for
transporting its own goods In its own
ships would be stricken out bodily.
This in the view Of Western Repub-
licans, added TO it's chance Of passage.
Rated as the most important amend
ment to stand up was the Graham pro-
posal which cut out of the bill the pro-
NiSlOH ulueT WHICH Shippers SenOlI1B
their goods abroad IN American vessels
would receive as per cent income tax
rebate, which In some instances. 1t was
charged. would have enabled some ship
pers to escape all income tax payments.
1t was adopted by a vote of 56 to A..
Stepping in unexpectedly, Representa-
tive Oliver (Dem.. Ala.) presented an
amendment acceptance Of which vir-
tually fixed an upset price for the sale
of the steamship Leviathan. the biggest
of the Government fleet. This provided
that the Leviathan, now being recondi-
toned. should not be sold at less than
the cost of reconditioning. Figures OBJ
tanned tonight from the Appropriations
Committee showed that this cost Is esti-
mated at $s,166.000. First declared de-
feated the Oliver PROPOSAL won. 81 to
IS, by man to man count as members
marched down the aisle.
The fight to riddle the bill was begun
five minutes after the actual reading
started. On his feet first. Mr.. Graham
put forward an amendment to strike out
section permitting the Shipping Board
to sell ships without advertisement or
| competitive sale. Declaring that the
worst scandal in the Government
reached into the sale of vast surplus
stocks "by negotiated sale" Mr.. Graham
! called upon RepuDllcanS 10 take tne sec
tion and throw 1t out.
| Representative Mondell (Wyo.). the
Republican leader, asserted that while
he saw no reason why it should not
remain. he was not opposed to III
| elimination. Mr.. Edmonds also took
| this view. A dozen members were eager
! to discuss II, but a vote was demanded
and the motion was adopted almost
! unanimously.
The other Graham amendment In.
creased the rate OF interest on rnpait
/ balances for ships bought from thu
Government from not less than pei
cent. to not less than Az per cent
Representative Frear tRep.. Wis.,
sought to make It per cent, ou
| failed.
An amendment by Representative,
Blanton (Dem.. Tex.) providing that nj
| Government employee should be inter.
ested financially in the purchase OF Gov
ernment ships was passed with littlt
| opposition.
Representative Davis (Tenn.), Demo
cratic member of the Merchant Marine
Committee. got through an amendment
providing that prospective ship. con-
structors, borrowing from the Shipping
Board revolving fund. should pay not
less than AZ per cent interest instead
of per cent, as stipulated in the bill.
Touching briefly on the plan to elmi'
nate the section dealing with subsidy
| for industrial ships, Mr.. Edmonds said
he was preparing an amendment to pro.
| tect Industrial ships.
1T will take industrial ships, like
those of the Standard Oil Company" he
said. away from being the recipients OF
| any subsidy. This matter was taken ur
with five or six Republicans In the COM
mittee which drew the bill and we fought
two days over II.
"we considered II was absolutely vital
for our war purposes that we should
have those ships. However. 1t seems to
be the sentiment OF the House that we
are not going to have any more wars and
that we do not need the ships. So that
section will come out"