Evening star. [volume] (Washington, D.C.) 1854-1972, 1942-04-03
Standard Forced
To Cut Off Axis
Oil, Ber|eSays
Testifies Sale Halted
When Subsidiary in
BruziI Was BIuckIisted
By the Associated Press.

BY the Associated Press.
Assistant Secretary of State
Berle testified before the Senate
Defense Investigating Committee
today that Standard Oil Co. New
Jersey refused to stop selling
aviation gasoline to German and
Italian airlines in South Amer
lea until its Brazilian subsidiary
was placed on the blacklist"
Mr.. Berle said lin fairness to
Standard OIL" that the company
had co-operated Fundamentally
with the State Department since
then.
Senator Mead, Democrat, of New
York. declared it was "regrettable"
that the department had to use
so much force" to bring about CO.
operation. He said Mr.. Berries testi-
mony did not bear out the sentiment
expressed by Standard Oil officials
who have appeared before the COM
mittee.
The blacklist" Is a listing Of
business firms prepared by the State
Department with which trading by
United States firms is forbidden on
grounds those blacklisted have had
dealings with enemy powers.
Commerce Official Testifies.
Earlier a Commerce Department
official testified that the oil COM
pany had provided the fuel supply
for a German-Italian airline which
served as a means of delivering Axis
propaganda and spies to this hemi-
sphere and returning valuable COM
modities to Axis countries.
William La Varre. chief of the
American Republics Office for the
Commerce Department, told the
committee that the airline, which he
referred to as 'Lati," was established
under German auspices in the fall
of 1889 to operate between Rome,
Africa, Brazil and Argentina.
1t was established, he said. be-
cause of German dissatisfaction with
Axis propaganda progress in Latin
America and was to furnish means
for sending both men and materials
through the British blockade.
Propaganda and propaganda agents,
he said, were thus enabled to reach
not only all Latin American coun.
tries, but the United States as well.
List Submitted.
Mr.. La Varre submitted q list Of
German and italian representatives
who had Travelled to and from South
America on the airline, terming it
the most notorious record of en-
emies that ever travelled on any
line"
Chairman Truman said before the
committee meeting the inquiry into
the Italian air line grew out Of
records of the oil company which
Thurman Arnold, antitrust chief,
turned over to the committee last
week.
Company Executive Committee
minutes said Standard had been ad-
vised Secretary of State Hull would
refuse an export license for ship.
ment Of aviation gasoline from the
United States to Brazil for use of
the line but that since the ship
ments emanated from outside the
United States, Mr.. Hull said he
could only express the hope that it
would not be necessary for such.
shipments to originate from any
other place in the Western Hemi-
sphere"
Regular Customer.
while there Is no contract cover
ing this business" the minutes said,
"the customer has been a regular
customer. In view of the complica-
tons surrounding this matter, COM
mittee was of the opinion that the
quotation should be given fob.
ArubA ="
Aruba is the oil refining city of
the northern coast of Venezuela. It
is a Dutch colony.
w. S. Parish, Standard president,
testified that no delivery was made
except in conformity with the policy
of the department" and that de-
liveries to the airline were dis
cussed with the State Department
and with the American Embassy at
Rio de Janeiro.
The consent decree that broke up
the 13-year alliance of Standard and
the I. G. Farbenindustrie, German
dye trust, definitely ended their re-
lationship, despite the fact that
there was a provision for renegoti-
alton in the event it was involun-
tarily terminated, Standard officials
said yesterday.
The question was raised by Sen
ator OMahoney, Democrat, of
(See RUBBER, Page A-l6)