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February, 1925 said he made a recommendation to this effect to the board seven or eight months ago, and that this recommendation is in the “course of preparation” to go before the board again. He said some of these vessels had good boilers and extremely bad engines, and that others had bad boilers and bad engines. He referred to the so-called “lakers,” which draw 22 te over 24 feet of water. Mr. Palmer estimated the total sales value of the fleet now at about $210,000,000, but said that it was only a question of time when the values of the laid-up vessels would be eaten up by the costs of caretaking. The select committee of the house investigating the shipping board has heard all its testimony, after being in existence since last winter. Its investigations in- cluded a “junketing” excursion to Eu- rope. The report of this committee now is being prepared, and will be sub- mitted at this session of congress. Whether the Jones bill will be en- acted is problematical. The bill of Sen- ator Jones would revise laws governing the merchant marine and would provide MARINE REVIEW certain aids to shipowners. This bill was referred to the senate commerce com- mittee, of which Senator Jones is chair- man. A bill making identical provisions was introduced in the house by Repre- sentative Lehlbach, Republican, of New Jersey, member of the house merchant marine and fisheries committee. The Jones measure reaffirms the established policy of the United States as embodied in the shipping act of 1920 respecting the merchant marine, providing for the set- ing up of routes, and a merchant fleet for national defense purposes. The name of the United States Shipping Board Emergency Fleet Corp. would be changed under this bill to the United States Fleet Corp. The stock held by the shipping board in this corporation would be trans- ferred to the President to hold and vote. The bill would transfer the power now held by the shipping board for the main- tenance, repair, operation and disposal of property to the Fleet corporation, and this also would apply on contracts and agree- ments relating to vessels, property and claims. Under another of the provisions Board Actually Sells a icism of its policies, and with the hope of allaying public indigna- tion over the tremendous inexcusable losses which are piling up, the shipping board has sold its Pacific coast to Australasia and Pacific coast to east coast of South America lines to a syndicate or- ganized by James Rolph Jr., mayor of San Francisco. Mr. Rolph is acting on behalf of the Pacific Traders Steamship Corp., which will be organized soon in California. The shipping board is engaged in a row with the Emergency Fleet Corp. at present over their respective powers and perquisites at the public trough, and this sale enables the board to slap the wrist of the Fleet corporation, while it is gesturing to the public at the same time. The Rolph interests know how to run ships and their acquisition of this fleet will strengthen the American merchant marine. But the shipping board is only making motions and piecemeal policy will never save the bacon. Five vessels of the 8800-ton type to be selected by the purchaser are involved in the sale of the South American service, with guarantee of 12 sailings per annum between the west coast of the United States and the east coast of South Amer- ica, service to be maintained for a period of five consecutive years. Four vessels are involved in the sale of the service operating between the west coast of the G issn’ by the almost universal crit- United States and Australia and New Zealand, the purchaser agreeing to give a minimum of ten sailings per annum for a period of five years. Low Prices Quoted The terms of the sale are in accord- ance with the board’s established practice in sales for guaranteed operation, calling for 25 per cent cash on delivery of the vessels, the balance of the purchase price in 10 equal annual instalments, with in- terest at 444 per cent per annum, secured by a preferred mortgage. The purchase price of the vessels on the South Ameri- can service is $17.50 per deadweight ton and on the Australian service $12.50. Under the terms laid down by the ship- ping board in accepting the offer steps must be taken at once for the organiza- tion of the corporation, and other terms and conditions are laid down for the protection of the interest of the govern- ment in the transaction, which it is ex- pected will be completed within the next few months. The delivery of the first vessel on each line is to be taken not later than March 31, 1925. Recent Sales of Ships President Palmer of the Emergency Fleet corporation announces the fol- lowing sales of vessel tonnage: Lake Gapspen, lake type cargo, 4225 dead- weight tons, 2698 gross tons, for $71,000 cash to the Lykes Bros. Steamship Co. ALLENTOWN, steel tank steamer, 7057 deadweight tons, 4908 gross tons, for $88,212.50 cash under 41 of the bill, it is provided that when the board finds any lines inadequate, it will report to the President, who shall then direct the secretary of commerce to make recommendations covering the matter. Owners of vessels documented for 10 tax- able years, beginning with the first taxa- ble year ending after June 5, 1920, shall be allowed certain deductions, provided such owners have set up trust funds for investment either in the building in shipyards in the United States of new vessels, of a type approved by the board, or in the installation of internal com- bustion marine engines built in the Unit- ‘ed States, amounts equivalent to the war profits and excess profits taxes imposed by the revenue act of 1921 or by sub- sequent revenue acts, that would have been payable by such owners because of the net earnings of that vessel. T'wo- thirds of the cost of installation to be paid out of ordinary funds or capital of the owner. The bill also would pro- vide that all mails of the United States shall be carried on American merchant vessels “if practicable.” Few Ships agreement to convert the vessel to diesel engine propulsion within one year, to the Atlantic Refin- ing Co., Philadelphia. : Lio, steel tanker, 10,250 deadweight tons, 7,245 gross tons, sold Nov. 12 for $153,750 cash con- sideration and obligation to convert ship to diesel propulsion, to the General Petroleum Corp., San Francisco. LAKE Savus, lake-type cargo, 4225 deadweight ton, 2689 gross tons, sold for $57,820 cash to the Clyde Steamship Co. LAKE FARMINGDALE, lake-type cargo, 4155 dead- weight tons, 2642 gross tons, sold for $60,000 cash to the Cadwalleder-Gibson Lumber Co., Manila, P. I. It is understood that the Laxz FARMINGDALE will be used in the Philippine inter- island trade. Biran, steel cargo, 4755 deadweight tons, 2873 gross tons, sold Nov. 18 for $101,920, to the A. H. Bull Steamship Co., New York. Hannawa, steel cargo, 11,724 deadweight tons, 7582 gross tons, sold Nov. 18 for $344,000, to the Columbia Pacific Shipping Co., Portland, Oreg. PRESIDENT ARTHUR, eX-enemy combination pas- senger and cargo, 10,500 deadweight tons, 10,421 gross tons, sold for $60,000 cash, coupled with obligation to recondition vessel within six months to extent necessary to obtain American Bureau classification and steamboat inspection cer- tificate, to the American Palestine Line, Inc., New York. Lake Fuovitua, lake type cargo, weight tons, 2592 gross tons. Laxn FaRIsTeuL, lake type cargo, 4165 dead- weight tons, 2624 gross tons. Lake Fresco, lake type cargo, 4165 deadweight tons, 2622 gross tons. Lake Fronna, lake type cargo, weight tons, 2616 gross tons. The four vessels above were built by the American Shipbuilding Co., between February and July, 1919. They have a load draft of 24 feet 4%4 inches and are among the group of lakers placed in class E, and of which the shipping board has a total of 167. The sale of these four vessels to the McDougall Terminal Warehouse Co., Duluth, for use on the Great Lakes, for the lump sum of $100,000, payable cash on delivery, was approved by the _ shipping board about the middle of January. The buyers agree to spend $60,00 per ship. 4165 dead- 4165 dead-