Indianapolis Times, Indianapolis, Marion County, 26 August 1942 — Page 6
USINESS
‘Government Lost $500,000 On Indiana’s Wheat This Season
By ROGER BUDROW
THE GOVERNMENT TOOK A BEATING « on its wheat ‘§nsurance in Indiana this year. It lost more than half a
“million dollars when Hessian fly and winterkill ruined about.
a third of this state’s wheat this year. : p : The loss would have been much greater but only about]
a third of the wheat farmers . Nevertheless, the AAA is pushing its crop insurance harder than ever, capitalizing on the big losses suffered by farmers who didn’t buy 4 the
insurance. 5 The government (Federal Crop Insurance Corp.) won't insure your whole wheat crop. It will guarantee you up to 75 per cent of your normal crop. The rate averages about one bushel an acre. You can pay your premsjum either in wheat or in money. Since 1939 when wheat insurance was started, the government has accumulated 415,000 bushels in Indiana wheat ’ “premiums.” Add to that 354,000 Roger Buarow bushels paid in on this year’s insurance. That makes 769,000 bushels on hand. Then take ‘out 1,250,000 bushels which will have to be paid out on this year’s Josses. It makes the biggest loss the government has taken in Indiana yet. Illinois and Missouri also had big losses. Deficits such as these are made up by bumper crops in other states such as Nebraska. As a result of the wheat failure in Indiana this year, the AAA is driving for a goal of 50,000 farms under insurance next year, coms- + pared with around 35,000 this year. The “premium” won't be raised
Is until next year, however, because
premium rates can’t be fixed until all results are in and tabulated and that can’t be done before the Aug. 81 deadline for next year’s insur- : ance. Ls 88 THE “POCKET AREA” of -the state, incidentally, down around Evansville and Posey county, is the hardest part of the state for selling wheat insurance, the gov‘ernment men say. They aren’t sure why, except that in some areas wheat insurance goes over big and in other areas it just doesn’t. ‘For one thing, farmers themselves do the selling. If the farm“er is a good salesman, he gets results. They are paid $4.50 a day . for their work which is good ex ‘tra cash 10 be picked up in spare ‘fife. But whereas in the depresgion there ‘was competition for these jobs, farmers aren’t so keen after them nowadays.
THE OIL BOOM around Sullivan is “a sight to see,” according to one reader. “New derricks are hoisting their heads in the air in almost any direction you look until it has begun to look like the fields in Oklahoma and Texas,” he writes. ! : # 8 = _ ODDS AND ENDS: Bridgeport Brass will pay a 25-cent dividend on its common stock Sept. 30. . .. Purdue estimates 40,000 “victory gardens” were grown in Indiana this summer. . . . Priorities and other ~ pestrictions will soon put the threeyear boom in the jewelry business - on the skids, according to Dr; Reavis “Cox of the office of civilan supply. . , . . Stokely’s annual stockholders report, which came out yesterday, ' 4s one of the most colorful of all
. corporation reports, reproducing advertisements of its tomato juice and
HAMMOND TANK PLANT SLOWED
Civilian Autos Roll as Usual but M-4s Wait For Rubber Treads.
By RUTH FINNEY Times Special Writer HAMMOND, Ind, Aug. 26—Civillian automobiles are rolling as usual in the Midwest, in spite of the rubber shortage, but the tanks aren’t. Until recently, tank output has been almost up to schedule, in contrast with some other major war items. And today the new M-4, latest and best of the medium tanks, is coming off the production line at the Pullman-Standard Car Manufacturing Co. plant here, But the tanks aren't going anyplace. They're waiting for treads. As a result assembly lines have been slowed down to 50 per cent of capacity. When the treads come and the rest of the material problem is solved, the Hammond plant, a deserted shell two years ago, is ready to go ahead with eight times the tank capacity it had until recently.
Plane Wings Slowed
Not only has welding been substituted for riveting, but new giant jigs have been installed which pick up the armor-plate -hulls of the tanks and turn them from side to side and end over end to permit “down” welding of all parts. That makes for speed. Tanks are not the only : item slowed down by material shortages at this “most versatile arsenal” of the Midwest. The company’s aircraft division, where wings are made for cargo planes and transports, is operating at half capacity, and plant managers give materials as the reason. So far the manpower shortage hasn't hit the Pullman plants in this vicinity too heavily. But company officials see it just ahead. They started hiring women at the aircraft plant eight months ago and now they have them in about 10 per cent of the shop jobs.
Women for Heavy Jobs
Within six months they expect to have to put women to making tanks, howitzer carriages, trench mortars, and other heavy ordnance. When this time comes, women workers will find themselves facing the heaviest work yet, but R. M. Fox, manager at Hammond, believes they can do it after the machinery on the tank hull-welding line has been adjusted to require a little less muscle. The giant jigs or “manipulators” are moved with levers, and so are the multiple tool machines where six processes are performed at once on a single shell, and the machines which cut teeth in the edges of the great tank turrets. But it’s work to test the stoutest female hearts and muscles.
LOCAL ISSUES
Nominal quotations furnished by local uit of of National Association of Securities
"Stocks Bid Ask Belt RR Stk Yds coM.ceecess 5
Bobbs-Merrill com ... Bobbs-Merrill 42% of Circle Theater com Comwlth Loan 5% Df cceccces 92%2 Hook Drug Co com Home T&T Ft Yazoo 7% p
other products in full color. . . .|Ind Asso T
56 wooden grain bins have been bought from the government by Indiana farmers so far . . . and even though they weren't needed for wheat, they will be for the forthcoming soybean crop, the AAA
. gays. . . . Because of the huge alumi- N di
"num plant and other war indusgries, Lafayette is using twice as| much electric power as it did this time last year. . . . Employees at
‘National bank heres the ¥
of the bank here and the 22 in the armed services. . . . It's full of personal items and drawings and features a letter from an ex-em-ployee in the services.
INVESTMENT TRUST BUYS ELECTRIC FIRM
BOSTON, Aug. 26 (U. P.)~Com-
for a more active participa-
jon in the war effort through loans ind stock membership of war indus-
it was announced here today.
Holtzer-Cabot President A. R. ton said that the president, ofind personnel of the electric
By {ormenty, a subsidiary of 1 Co., will not be changed.
; p— OUTPUT SETS NEW RECORD
YORK, Aug. 26
of 13.7 per cent, the Eai-
’| Algers Wins'w w RR at © 9
| Pub Serv 1: Hh 48 69 ceco...108 Pub Tel 4s 5!
quired the Holtzer-Gabot Electric Co . in the first step In ts program
ity production in the week | Aug, 22 rose to a further all-} of 3,673,117,000 kilowatt 3,230,750,000 kilowatt the corresponding 1941 pe-|
Ind Hydro Elec Ind Gen 6
essess 11%2 Indpls Water 5% p ceeseed105 *Indpls Water ZI . com ee 15 incoln Loan Co 5%% pid .. 83 incoln Nat Life Ins com - 28 1 Pub Serv 5%% pid . oe Pub Serv $% pid cece b Se:
Yo % Ht ees sf Ina 5% pfd 2x nd Inc com .. So Ind G&L 4.8% pfd .. Union Title Co com ....
Bonds
American Loan 5s 51 American Loan 5s : 9% Cent Newspaper ian 42-51 .. 3 Ch of Com Bldg Co 4's 51.. Citisens. Ind Tel 4%s 61 .... Consol Fin 5s 50 Crabb-Reynolds-Taylor 4s .... 83 Home T&T Ft Wayne 5s 55..103 Home T&T Ft Wayne = 43 ..103 d Assoc Tel Co aus 1 oe es 105 vo Indpis P&L 3%s 70 .. 210 109 Indpls Railway or 5s 87. 7% 78 Indpls Water Co 3%s 6: Ya 108% Kokomo Water Works 8 58 ..104%a ... Kuhner Packing Co 4%s 49 .. 98 101 Morris 5&10 Stores 5s 50 . 99 102 Muncie Water Works 5s 65 104% see 07% 109 1
106 100 106 106
N Ind
compiled for United Press (1930-32 average equals 100): ;
‘Week 880 cesecocsssscsecsss 157.71
LOCAL PRODUCE
Heavy 3 16c. over: colored,
Ea ame
With cupped ear, a.spectator listened to the ceremonies on the
north steps of the war memorial
yesterday as the army-navy “BE”
award was Peugecsied to the Stickle Steam Specialties Co.
STICKLE PLANT HERE HONORED
Officials Accept Challenge .To Improve Record for
War Production.
By FRANK WIDNER The coveted army-navy “E” award was presented to the Stickle Steam Specialties Co., 2215 Valley ave., yesterday in ceremonies on the north steps of the Indiana world war memorial.
At the same time a challenge was hurled at the company not only to hold ‘its present pace of production but to go even further. The challenge was issued by Col. Henry Hutchings Jr., representing the secretary of war and chief of engineers of the war department. Fred A. Stickle, company president, accepted both the award and the challenge on behalf of his employees. “Many countries have. fallen be-
fore the Nazi might,” Col. Hutch-|4
ings said. “This country has not and with effort such as is shown here, will not,” he ‘continued.
“There Is Much to Do’
"Col. Hutchings said we have
hardly ‘made a dent in the axis}
armor. “There is so much to do,” he said. “I wish I could tell you that vigtory is in sight but I can’t. It is not. Mr. Stickle said that his company couldn't have accomplished the goal without the united efforts of free men. “The workers have sacrificed their evenings, holidays | 7" and Sundays to meet the war department schedule,” he said.
not as an award but as a ‘chal-
lenge. We're not going to rest on|}
our laurels. We're going after some stars to put on this flag.” Alvah C. Waggoner, chairman of |N
the meeting, read a telegram of} ohio
congratulations from Robert P. Patterson, undersecretary of war,
and ga letter from Senator Raymond |E Fe
E. Willis. Deery, Beamer Speak
A color guard and band from. Ft. Harrison took part in the raising of the flag and James E. Deery, city controller, gave the address of welcome, representing Mayor Sullivan.. Attorney General George N. Beamer, ‘representing Governor Schricker, also spoke. Col. Hutchings presented the pennant award and Norman G. Wilson - accepted the “E” pins for the employees. Official guests included Col Hutchings, Comm. G. P. Kraker, U. 8. navy; Col. Walter S. Drysdale, commander of Ft. Harrison;
8 Mr. Beamer, Mr, Deery, Capt. Roy
W. Platte, chief of classification division, selective service system; Lieut. Elmer W. Sherwood, Ft.
»» |Harrison; Lieut. Eugene C. Clem-
ens, assistant area engineer, Camp Atterbury; Charles W. Long, public relations officer, U. §. army; George A. Kuhn, president Indianapolis Chamber of Co: ce, and C. J. Jill, vice president Indianapolis Board of Trade.
GRAIN FUTURES DIP; EXPECT F. D. R. MOVE
CHICAGO, Aug, 26 (U. P)— Overnight news ‘that President
DAILY PRICE INDEX Roosevelt probably would move against the
rising cost of living hy
NEW YORK, Aug. 26 (U. P)— executive actio: Dun & Bradstreet’s daily weighted|jegislation rsten Fates. —_— hit price index of 30 basic commodities, |tures slightly in early dealthgs on|l
the board of trade today. At the end of the first hour,
“It 1 can be assured that we accept this :
Top Is $15.10 Locally as 7000 Hogs Arrive; Vealers Unchanged.
terday’s at the Indianapolis stockyards today, the agricultural mar-
| keting administration r
reported. The top was $15.10 for choice 200 to 210-pounders. = Vealers were steady with a $16 top. Receipts included 1375 cattle, 650 calves, 7000 hogs and 1900 sheep.
HOGS s (1000)
[email protected] [email protected] [email protected] [email protected]
14.00 14.00
se00 essere esscesesenety sssccesescece
"18.70 13.40
"450 pounds’ sss0nssssncts 500 pounds ..seesccsecce
He
Medium-— Slaughter Pigs - Medium and Good: 90- 120 pounds CATTLE (1375) Slaughter oe & Calves
N. Y. Stocks
Complete New York stock quotations are carried daily in the final edition of The Times.
DOW-JONES STOCK AVERAGES
30 INDUSTRIALS Yesterday ... .106.51 Week Ago csssseessscenseses 107.28 Month Ago cosssetassssvess 108.44 Year Ago High, 1942, 114.22; Low, 92.92. High, 1941, 133.59; Low, 106.34. 20 RAILROADS Yesterday ccccccccescccsccess 20.77
sscsssovssscgotnece 27.01
-—0.74 -—0.07 —1.04| Co! +0.52
Year Ago oes High, 1942, 20.01; Low, 28.81. High, 1941, 30.88; Low, 24.25. 15 UTILITIES Yesterday ....coccccecccccccs 11.60 Week Ago cesbecosssscccsssce 11.61 Month AO ccesecsvssecscsser 11.43 Year AGO ..cc.oetcescssoenes 18.57 High, 1942, 14.94; Low, 10.58. High, 1941, 20.65; Low, 13.51
Net Low Last Change un — % - Y%
Ye
=
Am Water W .. Anaconda ..
®
Bendix Avn .... 313% Beth Steel .... Lk, Borden eu shee 15% Borg-Warner oe 28% Bdgpt Brass ... .8 Ches & Ohio .. 33 Chrysler 58% Comwlth & go. T= 32 Cons Cons Oil Corn Prod Curtiss-Wr
Lenses 1id
| Br 8s wr o
rene wie
Du Pont East Kodak .. Gen Xlectris. “ :30v, Gen Foods . 32 Gen Motors «eo 38% Goodrich esse 20
year Hudson oMtor. Harvester.
-
FrHErrbreebererenttt: ld
CREE 5 Regs £8 FE ERE EERRSSEER
Oil Owens Ill Glass Packard Pan An Airwys
.
on RR Fhilips Pet .. 38% Pure Oil arene 9% Radio ....ese00 Rem Rand sosee
Servel Inc Socony-Vac » South Pac «ee. Std Oil Ind ... Std Oil N J .. Stew-War ..... Stokely Br .... Studebaker .... Swift & CO «ees Texas CO ....ee United Airef .. Un Gas Imp .. 1U 8 Subber oe USS 46% US Steet pf’ .e -.109% Warner Bros .. 6 West Union ... 236% West Air Bke .. 15 Westing El .... 68% Woolworth Yellow Tr ..
esc
28 sees 10%
TWO FROM HERE ON WPB COMMITTEES
Times Special WASHINGTON, Aug. 26.—W. R. Sinclair, president of Kingan & Co.,
pa
the WPB advisory committee for the meat canning industry. : Jack Daugherty, vice president of the Hoosier Veneer Co. Inc. Indianapolis, was named to the advisory committee for the hardwood veneer manufacturers.
GLASSES -
Yesterday eeessssscecssssese 157.67 wheat and corn were off %. to 1%
cent a bushel, oats unchanged to
Month G80 esessscssssssesce 157.66 off 1%, rye off % to 5, ad soybeans Year 8g0 cscecsccscscssccse 144.54 unchanged to off %. 1942 high (May 9 ecescssoss 158.34 In the ‘September contracts, 1942 low (Jan. 2).eeeveeseese 151.54 wheat lost % to % cent a bushel
|from the previous $1.17%@1.18, corn off % to % from the previous 83% @%, rye of % to % from the
geet tit, sl viow G% sss soruate wes 190:] Unchanged: at SL. 200; cocks, 116. Le
ERR SE SE Basses Ll FEE
Indianapolis, today was named to}.
pounds pounds pounds pound pound pound 300-1500 pound
cocessens 13. lig 78 5.25 251 ,
ssesensrases 1DASQIGS0 [email protected]
RB 5 1500
eeesescsscens eee0scsssese
IS IS IS ceccccsccsns 8 cecccccvccnse
se60sc0etose eeeseccseses’
[email protected] [email protected]
700-1100 poUNdS cccocsccscce 1100-1300 pounds eswecssessce Common L 700-1100 pounds
Cho 100 600 800 pOUNAS ccceccvocsee 800-1000 pounds sseevssecesy 00d=—
600- 800 pOUNdS ecccescseses 800-1000 pounds esses e0csssse Medium - oa 900 Poses ees0s00000 ese
300 900 poun nae (all weights )
14.25@ 1300 [email protected]
13.25@14 13.25@14. 2
[email protected] [email protected]
Bulls (all weights) (Yearlings Excluded) Beef— -
GOO0d «.sscccsssscscnsessscses 10.5001L98
Sausa I . 00000000000 0000000 0 0 all. 50 Medium @10. » Cutter and common \ CALVES (650) Vealers (all weights),
16.00 He! i508: 13. 30 Feeder & Stocker Cattle & San
Steers Chotce—
500- 800 pounds [email protected]% 800-1050 pounds
[email protected] 11.80013.50 11.50@13.
500- 800 pounds ...ecceccence 800-1050 pounds ccceccsceces Mediume--500-1000 POUNAS cccovccsccece ‘Common==
[email protected] [email protected]
- Calves (heifers) Good and Choice 500 pounds down ....
13.00915.00 [email protected] (1900) Ewes (shorn)
Good and choice Comon and choice
$332 828 4.25@ 5.25 . [email protected] 13.50@14
oan and good 50 Com rere I
MON sesncscessss seve sede —
CHICAGO LIVESTOCK
H ipts, 10 foo; steady to 10 cents % Digher fof" 3s and sholce 180-2, 0 lbs 81d. 95@15. io:
$14 80018; "i0-30 1bs., $14.60
steady food Loe 1bs. Yael “down § isd 50 fhe. 81 5 yy 00-350
$s, 10614 .35; not Chen s “eariy”
fairly active,
330-400 i joo! 14.1
iae* arauna asking
marke 25° cents lower at % mostly steady or upward Wo Sis. =. for best kinds; - fat earlings and sheep steady; good to choice lamb Gils yearlings with No. 1 pelts, $12@1 35; SOG dium to good stapgiiter ewes,
Calves Ree septs, 700. steers and yearli 5 iaedy to strong; top, sis, 60; some hel igher: numerous loads, $1 5.50 to $1 ois; uf [email protected]; fed heifers steady a downy cows steady weak: cutSi. $8. down; most fat cows, the 10:50, Sith strictly good western cows, [email protected]; pulls active at $i 4 to $12; vealers active at $1 5.80 16; choice Stocker yearlings and light f rs, $13.25
OTHER LIVESTOCK
"FT. WAYNE, 26 _P.).—Hogs— Market steady: 200. 00520" Toe Usit, 95; 220-240 .» $14.85; 180-200 1bs., 90; 160-1 260 lbs. 75; - 45; 300-350 4.15; 150-160 s 130-140 Ro 13.26; Ho $11.50; pve, os; lambs, $14. 0: ewes, $5.25 dow!
U. S. STATEMENT
WASHINGTON, Aug. 26 (U. P.).—Government expenses and receipts for the current fiscal year thfough Aug. 24 compared with a year ago: - This Yea 9,249, 410.298. 72 $ 3 aid 066. 17 27, 342,4890.9 4,168,677.84
2,036,562,396 ,583,107,867.50 1,831,074,875.06 Pub. Debt. 85,754, 5. :378.970,019.70
Gold Res. 22,745,660,488.07 INDIANAPOLIS CLEARING HOUSE Cleatings Sevssecesscencseseroess .$8,
CASUALTY FIRM SOLD BALTIMORE, Md. Aug. 26 (U. purchased “more than 95 per cent” of the outstanding shares of the
Pennsylvania Casualty Co., Lancaster, Pa, it was announced today.
on CREDIT TTY
REMAIN STEADY
Hog prices were steady with yes-|
1738 301,320.04 : 131 §
22,7113 ,368,281.88 |
P.).—Commercial Credit Co. has|
Stanley Spilman and part of his tomato crop.
. Times Special RUSHVILLE, Ind, Aug. 26.— One of the smallest—but most prosperous—farmers around here is 14-year-old Stanley Spilman
. who “trucks” his tomato crop to
the canning factory in a rig his father once used to court his mother. Stanley,
son of Mrs. Claude
Spilman, planted half an. acre
"in tomatoes this year on his
father’s farm five miles south of here. He can load seven hampers on the rig and it takes 45 minutes to make the trip to the Milroy canning factory three miles away. His 1ll-year-old pony, Tony, furnishes the power. The project is one sponsored by
the 4-H clubs in the fobd-for-freedom program. Stanley will probably have a crop of two and one-half tons of tomatoes, bringing in $17.50 a ton. Although & great deal smaller than the large trucks that come in to the can= ning factory all day long, Stanley’s arrival attracts: much more attention.
LABOR GETS BID “FROM NELSON
Joint CIO-AFL Committee Invited to Air Views on Speeding Output.
WASHINGTON, Aug. 26 (U. P). Production Chief Donald M. Nelson replied to a storm of labor criticism 5| 125¢ night by inviting a joint C. I. O.-A. F. of L. committee to *“spend a few hours with me in_the frankest kind of talk” on’ labor’s appeal for greater participation in war production. Speaking for more than an hour before some 100 leaders of 20 metal fabricating unions gathered here to discuss material shortages, Mr Nelson declared:
“You have said that you want to participate more fully in the war effort. All right—then I say, tell me how and when and where, and tell me specifically. “I would like to have the men you put on this committee come in prepared to present any suggestions, criticisms and ideas you have
35 to offer. I promise you I will give
‘these suggestions and criticisms the most earnest consideration.” He said he would meet with the group late this week or early next week. The conference then designated the six-man labor policy committee appointed last June to work with WPB’s labor production division in.an advisory capacity to confer with Mr. Nelson.
Issue Joint Appeal Mr. Nelson addressed the meeting directly after reading of a joint statement by the A. F. of L. and C. I O. “on the war production crisis.” It was drawn up after a full day of criticism against the WPB for adopting a “window dress-
5| ing” policy toward labor participa-
tion and called for:
1. “Direct and effective representation of ‘the nation’s organized workers in the (war production) rphoards membership.” 2. Creation of “a production { planning and co-ordination board 5| with authority to plan, co-ordinate and integrate all phases of the war production program with direct representation of organized labor.” 3. Creation of labor-management-government committees to work with each of the WPB industry branches and divisions. 4. Elimination of “overlapping jurisdiction and conflicting functions of the several government
rise agencies responsible for war pro-
Suction, vie
England s Farm Effort to Be Told
Francis Flood, American representative of the British food commission, will speak on England's wartime farm program at 3 p. m. Tuesday in the War Memorial auditorium under the auspices of the agricultural gdjustment administration. Mr. Flood will discuss British farmers’ operations under handicaps, farm labor problems, rationing and England’s industrial output in recent months.
ARGENTINE SHIPS TO USE PACIFIC ROUTE
Buenos Aires, Aug. 26 (U. P.)— The Argentine merchant fleet will open a Pacific ocean route to the United Stateg in mid-September rather than risk running the block-
Mr.|ade the axis has declared in the}
Atlantic. An unspecified number of the fleet’s 31 ships will be assigned to the new route. It was understood that freighters to carry grain to Chile and bring back coal, saltpeter and sulphur also would sail the new route. Ships will enter the Pacific via the strait of Magellan, and stop at Valparaiso, Chile; Callao, Peru; Guayaquil, Ecuador; Buenaventura, Colombia; Blaboa, C. A, Manzanillo, Mexico, and San Francisco. Shipping circles said the move also might foreshadow a decline of Argentine shipping to Brazil, whose waters now are a belligerent zone. However, these circles said Argentina would do its utmost to maintain communications with Brazil, her third largest customer.
STARR TO TEACH TRANSPORT CLASS
Prof. George; W. Starr, director of Indiana University’s bureau of | business research and now on leave of absence from the university to serve as price officer for the OPA in Indiana, will teach principles of trans tion at the I U. extension division here, it was announced today. The class will meet Tuesday evenings to study principal U. 8. railway and traffic routes, principles of railway rates and rate systems, recorisignment, intransit privileges, demurrage and storage, motor freight transportation facilities, rates, services, co-ordination of motor and. rail facilities, regulation of transportation and the movement of freight in the war program, "WAGON WHEAT
Up to the close of the Chicago markel y, Indianapois flour mills and grain elevators Fld $1.19 per bushel for No. red wheat ge ades on their merits). No. 1 yellow shelled corn was 832c per bushel and No. 2 white shelled corn, 88¢c; No. 3 white oats, 43c, and No. 3 red oats, 42c.
FIVE OLD SHIPS: THE PRICE ROSE
Controller General harget “Undue Profits by Ship Firm in Alabama.
Times Special A WASHINGTON, Aug. 26. — How an Alabama steamship company al legedly maneuvered a profit of $1,995,000 out.of the maritime com= mission has been related to cone gress by Controller General Linde say Warren. On June 8, 1940, according to Mr. Warren, the commission sold five old .ships from its laid-up fleet to the Waterman Steamship Corp. for $596,000, or $13.76. a ton, retaining the right to repurchase the vessels. But in late 1941 and early 1942, he said, the commission bought from the same firm five older ships, of about the: same tonnage, for $3,374,700, or $75 a ton—losing $1.995,000 on the deal, since it could have bought back the original ships for their sale price plus a small allowance for repairs made by the corporation.
$625 Monthly, $1000 Expenses Boon Geaslin, general counsel for the maritime commission until he resigned in 1939, was said by Mr. Warren to have been permitted to represent the Waterman concern in its “deals before the commission. And, it was addd, the firm had}. valued his activities so much that it had raised his salary from $625 a month and expenses to $1000 a month and expenses. ‘The controller general said that the corporation tried to “avoid or defer payment of income tax on ) the profit of the sale . . . on the apparent promise the fund would be used in construction of new vessels,” but the spending of the money was halted by a dispute between the commission and the firm as to how much money was to be allotted for building. :
Call Agreement “Framed”
Mr. Warren's report has been referred to the senate commerce com= mittee and to thé house comfittee on expenditures in the executive de ents. : In" addition to other charges, it said: : “The commission's records tend to show that the invitation to bid for the vessels sold to the corpora= tion by. the sales agreement on June 8 ... was ‘framed to. meet Waterman’s designs’ and the corporation was the only bidder under the in
a| vitation.”
The report indicated ‘an effort would be made to recover the Wa= terman concern’s $1,895,000 profit.
<