Evening star., 1947-08-06
|Greek Reconstruction
with u. 5. Materials
lis Ordered Rushed
By the Associoted Press

of Greek highways, railroads and
ports as a part of the $500, ,000, ,00C
program to bolster that nation
against Communism.
Representing the physical start
on civilian aspects of the program
contracts totaling $82, AGO. 900 were
awarded yesterday to American con-
struction and engineering firms fol
OBSERVATION-DISCLOSURES projects.
simultaneously, the department
announced that an advance group
of American contractors has left
by plane for Athens to start the
work.
In another development. it was
disclosed that part of a $4,000, ,00C
tag-end lot of lease-lend goods
originally destined for Russia may
wind up in Greece and Turkey under
the American aid program, with
the rest likely to be dumped or
the surplus property market, where
conceivably, Russia could buy il
again at cut-rate prices.
Cost PLUS Basis Used.
The Greek construction contract.
were negotiated on a cost-plus'
fxed-fee basis without bids. The
department said they were awarded
in accordance with the companies
experience in overseas work ane
with past performance on Govern
ment contracts.
Congress last spring voted funds
for the Greek aid project along with
100000, 900 to modernize Turkish
defenses.
Greek highways, railroads anc
ports were Systematically wrecked
by German troops as they evacuat.
ed the country after a four-yeal
occupation. Since then further de-
struction has been carried out anc
repair work hindered by military
operations against guerrilla forces.
The State Department said "the
restoration of the Greek highway
system presents the most difficult
single public reconstruction prob.
lem" For this work roughly $10,'
300 900 has been allotted in dollar!
and $38, 100000 for expenditure
locally in drachma.
Drachma to Be Used.
Workers paid in drachma (th'
Greek currency can purchase bad.
ly needed consumer goods, such a!
food and clothing, from stocks
which will be provided by thi!
country. Dwight Griswold, admin
istrator of the aid program, ha!
said $4,000, 900 worth of such good
will be shipped to Greece.
To repair Greek railroads, abou
So 500 900 in dollars and $6,50O. 900 il
drachma have been allotted. Fol
restoration of the ports of Piraeus
.Salonica and Volos and the clearing
of the Corinth Canal, the depart
ment said some $11, 800, 900 in dol.
lars and $5,900,000 in drachma hae
been assigned.
The situation with regard to tn,
lease-lend goods came to light a!
officials disclosed privately that con
gressional action in blocking th'
shipments is causing an epidemic o
headaches in both State and Treas
ury Departments.
The State Department pleaded
with the lawmakers to let the dea
60 through, lest this Government
lay itself open to charges of "fagran
discrimination" and "welshing" OF
it's contract with the Russians.
Disapproval Demanded.
But Congress took the position
that Soviet actions in Eastern Eu
rope in the last few months needle.
some sign of official American dis
approval.
The situation goes back to "
day, when the United States orderel
a halt to the wartime mutual ali
program under which this countr,
supplies its Allies with more thai
$50, 900 100000 worth of fighting AM
home-front equipment.
But while the lend-lease arrange
ment as such came to an abrupt hall
various nations contracted on a tim
payment basis for materials costin
81 POI 100000. Under this deal Rus
sia was to receive $3.50. .000, 900 worth
All were to be delivered by las
December 81.
Because of strikes and other de
laying factors, however, some $34,
100000 worth remained in thi
country when the deadline fell.
Thereupon the Controller Gen
eral ruled that, unless Congres
decreed otherwise, no more appro
priated moneys could be used t
pay the operating expenses of tn
program. Hence the goods bega
piling up in warehouses across tn
country.
Contesting the ruling, the mori
bund Lend-Lease Administratio
asked the II nations involved t
put up s873,211 in operating fund
Russia contributed $725 900 of thi
amount.
simultaneously the agency ap
pealed to Congress for the specifi
! approval the Controller Genera
demanded.
This came-for all countries say
Russia-just before the lawmaker
recessed for the year late last month
Australia, Belgium, Guatemala
China. France, Saudi Arabia, Brazi
Peru, the United Kingdom and tn
Netherlands were named specifi
cally in a clause appropriatin
$500,00 for lend-lease liquidation
expenses.
But Russia was pointedly omitted
Russia's undelivered order in
cludes about $4,000, 600 In storag
and some 100000 still in tn
process Of delivery by manufac
turers, who must be Reimbursed
The largest single item is S6,971 IS
worth OF oil refining equipment.
Mrs. Beatrice s. Brown
To Be Buried Today
Funeral services for Mrs. Beatric
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