Evening star., 1946-08-18

institution division, said they had
approved the transaction.
The school, according to It's in
corporation papers, was set up to
train young men and women for
business and Government careers
in Latin America: to teach persons
from other countries the American
language and to familiarize them
with American business and social
customs; to aid in creating and
maintaining goodwill and under
standing between the United States
and other countries, and to conduct
research in these fields.
Mr.. Slaughter said If the investi-
gators discover that the Thunder
bird transaction was not an iso-
lated case but was "symptomatic OF
a general condition" the committee
will meet here before its planned
hearing in mid-september.
Before the Government gives
anything away" he declared, 'it
ought to be something where the
public interest is so overwhelming
that there is no question. The
War Assets administrator was given
discretion on discounts so he could
take into consideration how much
the public interest was involved,
but nobody dreamed of 100 per cent
discounts"
Property May Be Regained.
Pointing out that Mr.. Whittet had
said the Government could get
back the property If the institute
was not maintained for 10 years
under the terms for which it was
incorporated. Mr.. Slaughter said he
had asked WAA to produce the deed
Of sale to see If it included the 10
year reversion clause.
Meanwhile, the committee was
studying the appraisal of the Tnun-
ierbird property prepared by Babcock
and Allies, Los Angeles consulting en-
gineers, who recommended on May
20, 1946-six weeks after Gen.
Yount's institute put in its bid
that the highest and best use of
the property lis a private boarding
school," Mr.. Slaughter said he
wanted to know who selected the
appraisers and indicated they might
be brought here for questioning.
History Of Property Given.
The appraisal gave brief history
OF the property, types of purchasers
to seek, why it should not be put on
sale as flying school and how much
money could be made out of 1t as a
private boarding school,
Here are highlights from the ap-
praisal:
The field first was improved by
Southwest Airways, Inc, in l94l,
When the war came, Defense
Plants Corp, purchased the lease
hold and built additional buildings.
After the war, Defense Plants Corp.
exercised its purchase option on the
fourth of the land which had build
lngs on 1t and the remaining 480
acres reverted to the original pri-
pate owners.
Buildings on the property include
eight barracks, four hangers, ad-
ministration and hospital building
kitchen, mess and recreation build
ing, operations building, ground
school, two swimming pools, several
auxiliary buildings, sewage disposal
system, water system and other
utilities.
Market Value Cited.
The fair market value" of the
property If it was used as a private
school was estimated at from $685.
200 to $449, 100. AS a private school
it could earn IL per cent to Is per
cent on its investment. Furnish
ings and equipment to put it In
operation as a private school would
cost between $4,000 and $4,000.
In figuring expenses Of operation
OF typical school," the appraisers
estimated the school presidents sal
ary would be between $1,000 and
$4,000 and tuition would cost be-
tween 81 200 and 81 400.
Granting that the property might
have other uses besides being made
into a private school, the appraisers
raised objections to all of them.
They included use as a flying cen
ter, agricultural produce packing
plant, private or public hospital and
resort hotel.
War Department records show the
airfleld went out of the hands of
the AAF last year. 1t was declared
surplus on June IA, 1945, in a letter
from AAF headquarters to the Un-
dersecretary OF War. War Depart
ment officials assumed he turned
over the information to Defense
Plants Corp. which subsequently
notified the WAA.
Younts Record Outlined.
War Department records also show
That Gen. Yount-a 1907 West Point
graduate-WaS cnypuno pdioo oapar,I