Evening star., 1952-06-23
Sawyer Calls for Proof
]0f Warren's S CHARGES
lon Subsidized Liner

1IlC luxury 1lIIcT OIllJSQ OLdUSS
continued to be caught in q cross
fire between Secretary of Com
merce Sawyer and Controller
General Lindsay c. Warren today
as she was to make her first ap-
pearance in New York harbor.
Secretary Sawyer. ip letter to
a House Merchant Marine sub
committee, demanded that Mr..
Warren stop ''nonsensical histri-
onics" or prove his charges that
Government sale of the $40 mil
lion ship to the United States
lines for $28 million was give
away.
He described as silly and un-
true" a statement by Mr.. Warren
before the committee last week
that the subsidies provided by the
Government were not only excess
sive but also without authority Of
the law.
Asks Court Action il Needed.
II have already said that if the
United States Lines owes money
to the Government, the Govern
ment should get it back" Sec
retary Sawyer stated in the letter
he made public yesterday, Il don't
want the taxpayer to lose a dime
to which he is entitled. If, as Mr..
Warren claims. the contract is in
any respect illegal, am not only
willing but anxious to have that
Established.
This should not be done by the
wholly arbitrary action Of Mr..
Warren or myself. 1t can be done
sensibly and properly where it
should be done, in court. Letter
writing and words of criticism
may give a sense of exaltation but
they don't solve proplems."
The controversy has been going
on since 1949. The Justice De-
partment last week at the order
Of President Truman began an
investigation to determine whether
the $42 million in subsidies and
defense allowances by the Gov
eminent were too high.
Inefficiency CHARGED.
Mr.. Warren, testifying before
the House group last week, did
not charge that fraud entered in
to the contract for sale of the
vessel. But he insisted there had
been inefficiency. misinterpreta-
tion Of the subsidy law. and other
serious shortcomings by the old
Maritime Commission. He said
he thought the United States
Lines should pay an additional
$40 million.
The Government formally
turned over the ship to the United
States Lines last week in Newport
News, Va. The liner broke records
on a trial run and was due to re-
ceive noisy welcome when she
arrives at New York today with
guests, including Secretary Saw
yer and many members of Con-
gress. Her maiden voyage to Eu-
rope begins July 3.
Calls Results Fortunate.
Besides defending his stand
that the Government was obliged
to turn over the ship under the
1949 contract, Mr.. Sawyer added:
Il don't think the results are
unfortunate. think at this crit
Iical juncture in our history we are
Extremely fortunate-and not un-
fortunate to have this great
transport ship available. If a
world war should engulf us to-
morrow challenge Mr.. Warren
to say that he would regard the
existence and availability Of this
ship as unfortunate"
At a press conference aboard
the liner today, Mr.. Sawyer said
he was convinced that the United
States can not expect to get a
ship as magnificent as this with
out paying substantial prem
/ ium."
I'VE are careless with Uncle
Sans money when it comes to
other parts of the world" he
said. 1--WE spent $3.50 million on
ship subsidies since 1896. In this
country we spent about that
much in one year to support the
price Of potatoes. The chances
are we spent as much in three
years in Europe on ships and ship
building as We spent here in le
years."