Evening star., 1924-12-25
NEW MOVE IS MADE
!. To GIVE FREE HAND
TOFLEET DIRECTOR
Palmer Claims Shipping
Board Has .Interfered With
His Management.
LACK OF COOPERATION
BLAMED FOR TROUBLES
Emergency Corporation Head Tells
of Numerous Causes for
Friction.
BY G. GOULD LINCOLN.


third-providing for the operation Of
the merchant fleet by the Emergency
Fleet Corporation. The first of these
resolutions was adopted September
80, 1921, and the second January 10.
1924.
This latest resolution, 1T is declared.
goes further than any OF the others
in granting power to the Emergency
Fleet Corporation. 1t is said that it
is designed to meet the recommenda-
| tions of President Coolidge that the
operation of the merchant fleet be
transferred absolutely to the Fleet
! Corporation, and that the board not
interfere with such operation. But
so was the resolution Of January 10,
1924, after the President had laid be-
fore the board personally his reasons
for desiring such a transfer OF au-
| thority.
Seeks New Legislation.
And now the President has made his
recommendations to Congress with a
view to legislation to divorce the
operation of the fleet from the board,
and legislation is in preparation to
carry out the recommendation. Ap-
parently the President convinced
himself that the desired division of
authority was not forthcoming under
the resolution of last Januar-.
As matter of fact, the Shipping
Board could leave the operation Of the
merchant fleet to the Fleet Corporation
| under the resolution of January 10,
| 1924, exactly as we'll as II can under
the new resolution. 1t could have
been done under the resolution of
1921. The whole matter at issue is
one of cooperation.
ch Do .,F la
Fleet Corporation, appearing recently
before the House committee investi-
|, eating the Shipping Board and all
questions relating to the merchant
marine, stated in detail just how the
Shipping Board had failed to keep it's
hands off the operating end of the
feet, Notwithstanding the resolution
Of January 10, 1924.
r--t Details Needed Steps.
The resolution just adopted by the
Shipping Board sets forth in detail
the things which shall be done by the
Emergency Fleet Corporation and the
powers to be retained by the Shipping
Board. II has been the contention
OF the Shipping Board right along
that under the merchant marine act
Congress placed upon the board GER
tain powers and duties which the
board cannot turn over to the Fleet
Corporation or any one else so long
as the statute remains the same. This
view of the matter is Interpreted in
some quarters as an Invitation to
legislate if the Presidents plan is to
be carried out fully.
One clause Of the new resolution
sets forth clearly this view of the
situation. The board says:
BE is further resolved, The right
and duty OF the Shipping Board to
exercise any and all powers of super
vision and control vested in or i'm
posed upon it by law remain in full
force and effect"
From the very language of the
resolution itself, 1t becomes apparent
that the Shipping Board must CO.
operate to the fullest extent with the
Emerge gency Fleet Corporation if the
operation Of the fleet is to be con-
Quoted by the corporation without
interference by the board.
PersonneI In Same.
The personnel of the board is ex-
actly the same as it was when the
resolution of January, 1924, was
adopted, with the exception of Com
missioner w. S. Hill, who was ap-
pointed later to fill the vacancy
caused by the resignation of Chair
IHdu fSOWdT r. Z dEley.
In his testimony before the House
committee President Palmer Of the
Fleet Corporation did not mince mat
ters. He called the attention of tho
committee to the recommendations
made by Senator Jones of Washing
ton. chairman of the Senate commit
tee on commerce, to President Cool
idge last December providing for the
complete divorce Of the operation Of
the ships from the Shipping Board,
recommendations which were adopted
by the President.
After the President had made 1t
clear to the board what he wanted
with regard to the operation Of the
ships, Mr.. Palmer was appointed
president Of the Fleet Corporations the
selection being made by the Presi-
dent himself, although the actual
election under the law was made by
the Shipping Board. 1t is interesting
in this connection that the resigna-
tion of Mr.. Palmer, under the rules Of
the Shipping Board, is now in the
hands Of the board, to be used when
ever the board sees fit. This is true
under the new resolution adopted.
Difference of Resolutions
Mr.. Palmer told the House commit
tee that the resolution adopted jan
uary 10, 1924, was entirely unlike the
draft Of a resolution which he had
prepared to carry out the recon-
mendations of Senator Jones, which
was to the effect that the Shipping
Board would have duties in respect
to all American flag shipping similar
to those discharged by the Interstate
Commerce Commission with reference
to the railroads, and that the Shipping
Board have only the same relation to
the operation of the Government neet,
under the Fleet Corporation, as it
would have to the fleets of private
American owners. This resolution
was rejected, and the board adopted
its own.
This resolution of the board con-
tanned the very language already
quoted from the new resolution, re-
tanning ali powers and duties under
the law imposed on the board.
with tho wording Of the resolu-
tion," Mr. Palmer said, "the board
could still continue to pass on oper-
ating matters, and the question Of the
degree of cooperation on the part
Of the board Immediately became the
important factor
Mr.. Palmer told how he had vis-