Evening star., 1943-05-14
Radio, to dominate the North Afri-

Radio, to dominate the North Afri-
can communications field.
A high light of this hearing was
its disclosure that the Government,
| through Army operated transmit
ters, has sent the bulk of the vast
newspaper file coming out Of Algiers
free of charge, although both RCA
and Press Wireless assert they would
have relieved the Government of
this expensive job if they had been
given the chance.
Charges S20,O0O,O0 Debt.
In letter to his shareholders on
May 6, President Joseph Pierson of
Press Wireless voiced the further
startling charge that "Mackay
Radio interests already are indebted
to the Government Reconstruction
Finance Corp, it is believeO in ex-
cess of $20,000,000-probably more
than twice their physical assets
and continue to exist only by reason
of a S500,000 monthly Government
subsidy. With its monopoly.of COM
mercial communications in North
Africa and operation there of three
Owl transmitting and receiving
stations, no room remains for any
other communications service"
Probing behind the scenes has re-
vealed a deep-seated suspicion both
in radio and Congressional circles
that the Roosevelt administration is
plotting a monopoly of all interna-
tional telegraphic communications
after the war.
1t is pointed out that consolida-
ton of the Western Union and
Postal Telegraph companies, en-
bracing all domestic wire facilities,
already is approaching consumma-
ton, and that this is logical pre-
liminary to making the communica-
tions monopoly worldwide.
Two Theories.
One theory is that the Govern
ment, in its discrimination in favor
of Mackay Radio is moved solely
by a desire to get back the money
it has loaned to the company if and
when a consolidation of privately
owned radio communication facili-
ties occurs.
There are others, however, who
assert that officials, highly placed
in the New Deal, for a long time
have been urging Government own
ership and operation of telegraphic
facilities as complete as now ap
plies to the post office. Holders of
the latter opinion conjecture that
the Governments current dealings
with Mackay are designed to make
that company the nucleus for an
al-embracing public monopoly of
international communications.
Returning to Mr.. Persons report
to his shareholders on the current
Algerian development. he relates
that Admiral Luke McNamee, U S.N.,
retired, president of Mackay Radio
Co., was the first witness called in
the FEC hearing.
Holds Activity Secret.
admiral McNamee," he said,
"disclosed that he had been trying
to raid the operating staffs Of Press
Wireless and RCA for operators al
salaries paid by the Office Of War
Information for some mission in
North Africa about which he could
reveal nothing, pleading wartime
secrecy. Both Press Wireless and
RCA counsel then said that, if secret
operations we're afoot giving MacKay
extra legal advantages which their
clients could not enjoy because they
could not possibly get in on the deal,
there was no purpose of the present
hearing.
The counsel for FEC then said
he would disclose some phases of
the public operations in private
conference of lawyers. His reVela-
tions were that the Government
(our inference: the Office of War
Information) was back of MacKay' S
activities"
Previously Filed.
After developing that both Press
Wireless and RCA had filed appli-
cations for the North African serv-
ice far ahead Of MacKay, and that
the two complaining companies
were denied the right to send their
experts to investigate the field,
while MacKay's man was given a
passport, Mr. Pierson cites among
facts and views not developed at
the hearing" the following:
"MacKay interests have an order
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