The Waterbury Democrat., 1934-03-08
AIR MAIL POLICY WILL BE ALTERED
 SAID PRESIDENT
Must Avoid Evils of Past and Encourage Indus-
 try in Every Way
BY FREDERICK A. STORM United Press Staff COrreSpOndent)

' l United Press Staff COrrespOndent) Washington, March 8- (UP)- | The draft of a new administra-
 ton air mail policy based on "honest payment for honest serv- ice" was before congress today as senate investigators hinted further
 evidence of abuses growing out of
 contract awards.
 The policy, outlined by Presi- l dent Roosevelt in terse sentences,
 called for new mail contracts with
 commercial companies as soon as possible, but only after sweeping legislative reforms.
 MT Roosevelt's views, addressed to the chairman of the senate and
 house postoffice committees and to
 Senator Hugo Black, head of the special air mail Investigating
 group. were being studied along with testimony of Colonel Paul H.
 Henderson, vice-president of the
 United Aircraft and Transport Company, a new witness in the in- quiry.
 Henderson revealed he paid young Lehr Fess, son of Senator Simeon D. Fess, republican, Ohio, several thousand dollars to "ex- pedite" passage of the McNary- Watres air mail in the senate. In presenting his suggestions af- ter a conference with Postmaster General JaJmes A. Farley, Secre- tary of Commerce Daniel c. Roper and others, MT Roosevelt observed:
 We must avoid the evils of the past, and at the same time en- courage the sound development of the aviation industry" He proposed:
 Contracts for not more than three years. with fair and open bidding.
 Six months period grace to allow successful bidder to dualify. Supervision by interstate com- merce commission.
 No award of contracts to com- panies with affiliates connected with competitive routes or in ari- plane manufacturing industry. No contracts with companies, old or new, whose offices were party to obtaining contracts now cancelled.
 The chief executive submitted recommendation to safeguard free competitive bidding against com binations, agreements or under standings, adding that such action would be the basis for cancellation of contracts"
 "No air mail contract should be sublet or sold to any other con- tracting company nor should mail contractor be allowed to merge or consolidate with another company holding an air mail con- tract" MT Roosevelt said.
 He explained that such safe- guards should be provided as will prevent the evil practices of ex- cessive salaries, unearned bonuses. and illegitimate personal expense accounts detrimental to the inter- ests of legitimate stockholders and the public"
 The President also urged statu- tory provision of maximum flying hours for pilots. minimum wages
 and a retirement or annuity sys- tenn.
 New York, March 8 - (UP) -
 The three great aviation combines
 which formerly carried the domes-
 tic air mail studied President
 Roosevelt's air mail letter today in an effort to work out some plan by which they could become eli- gible for new contracts. Experts were of opinion that the
 present operating companies would
 have to divorce themselves com pletely from all connection witt.
 their holding companies and with
 manufacturing fellow-subsidiaries.
 How this could be done no one was prepared to say. Aviation men looked askance at