Imperial Valley press., 1933-10-27
JOHNSON AND
FORD FIRM At
LOGGERHEADS
Administrator Makes Threat OF
Prosecution If Law Is Not
Compiled With.
ANSWER IS CAUSTIC ONE
Statement By Company Sug-
gests Code For Curbing Out
bursts By General.

WASHINGTON, Oct. 27 W.P)-
Recovery Administrator johnson
said today he would recommend
prosecution of the Ford Motor
company if it failed to submit re-
ports due soon under provisions of
automobile code.
AS provided in the code, the
National Automobile Chamber of
Commerce has called FOR reports on
operations for period ending Oct
ober Is. Several large companies
including Ford have not yet sub
mitted their reports. Johnson said
he understood the chamber would
set deadline around November 7.
johnson said that failure to sub
nit reports would be a clear-cut
violation of the code "and as soon
as I get such case I will act
promptly and turn 1t over to the
attorney general -
Although Ford is considered to
have complied technicallyy with
provisions of the code so far,
Johnson said the Ford company
was not eligible to bid on govern
ment contracts.
The war department. Wednesday
disclosed that the Ford company
would be banned from receiving
any part of contract for $4,000
600 worth of motive equipment be-
cause it did not fly the blue eagle.
johnson said the Ford company
never had been in sympathy with
the recovery program and for that
reason should be denied share in
government business.
"Fdsel Ford told me when I
was in Detroit,'' johnson said,
"that they never would submit to
collective bargaining as required IN
the CODE"
Since that time the Ford COM
pany, under pressure from the ma
tional labor board, has permitted
, representatives of strikers in two
eastern plants to confer with their
officials. The strikers demands,
however, have been referred to
the Ford home office at Dearborn,
Mich, and the strike dispute still
is hanging fire.
Johnson expected this policy to
be followed by all other govern
ment agencies including the war
and navy departments which are
preparing to let the contracts for
millions of dollars worth of auto
motive and airplane equipment
johnson said that the fact that
Ford dealer might have signed a
retail code and be displaying the
blue eagle would make no differ
ence in the barring Of Ford bids.
ga billion dollar corporation
can't hide behind $4,000 deal
err johnson declared.
DEARBORN, Mich, Oct. q. W.p)
Because the automobile code is
law under the National Recovery
Act, the Ford motor company in
tends to submit reports due under
the code provisions, the United
Press learned today from an unim-
peachable source.
The Ford company is complying
with the law, it was said at COM
pany headquarters here, and does
not plan to violate the code through
failure to submit the reports.
AS the reports are not due for
some time, the company feels that
MIRA Administrator johnson was
not justified in stating he would
recommend prosecution if the re-
ports are not submitted.
The United Press learned that
while Ford intends to comply with
the law, he does not regard signing
the automobile code and flying the
blue eagle as necessary under the
law.
The text of the Ford statement:
"Mr. johnson IS vocabulary has
got him down again. Before as
suming the airs of a dictator, he
should fortify himself with evi-
dence that Henry Ford has refused
compliance with government re-
quirements.
"The public has known the Ford
motor company for 80 years and is
not dependent on Mr.. Johnson for
information concerning it.
"It is an act of injustice for
Mi. johnson to intimate that any
refusal has been made of any
proper demand on the Ford motor
company, especially since Mr.
johnson knows that even his or
iginal signers have not yet had
time to file the report which he
charges this company with refus-
ing.
"We suggest code of fair
publicity for Mr.. johnson inter-
views.'