THE SELECT COMMITTEE TO INQUIRE INTO THE
OPERATIONS, POLICIES, AND AFFAIRS OF THE UNITED

STATES SHIPPING BOARD AND THE UNITED
STATES EMERGENCY FLEET CORPORATION

HOUSE OF REPRESENTATIVES

SIXTY-EIGHTH CONGRESS

FIRST SESSION

PURSUANT TO

House Resolution 186

HE745
.Az
19240
Exhibits

SELECT COMMITTEE TO INQUIRE INTO THE OPERATIONS, POLICIES, AND AFFAIRS OF THE UNITED STATES SHIPPING BOARD AND THE UNITED STATES EMERGENCY FLEET CORPORATION

HOUSE OF REPRESENTATIVES

SIXTY-EIGHTH CONGRESS, FIRST SESSION

WALLACE H. WHITE, JR., Maine, Chairman.

HENRY ALLEN COOPER, Wisconsin.
FREDERICK R. LEHLBACH, New Jersey.
WALTER F. LINEBERGER, California.

II

EWIN L. DAVIS, Tennessee.

WILLIAM B. BANKHEAD, Alabama.
TOM CONNALLY, Texas.

J. FREDERICK RICHARDSON, Assistant and Investigator to the Committee
FREDERIC H. BLACKFORD, Clerk.

LIBRARY OF CONGRESS
RECEIVED

JUN 2 1925

DOCUMENTS DIVISION

06

EXHIBITS TO HEARINGS

EXHIBIT 127

ANSWER TO REQUEST OF SELECT COMMITTEE OF CONGRESS:

Subject

List of owners and stockholders of the Gulf Towing & Wrecking Co., and short résumé of services rendered in connection with Shipping Board vessels operated directly by Shipping Board or under MO-4 Agreement.

(1) The Gulf Towing & Wrecknig Co. is not a corporation, but is a partnership, and the partners are Harry T. Hartwell, Wallace R. Johnson, and Frank W. Grenshaw.

(2) With regard to résumé of services rendered by this company, it is believed that report of Comptroller to executive assistant to Vice President-operations, dated July 2, 1924, setting forth result of all operations for our account by this company-will give the information desired.

From: Operations.

EXHIBIT 128

JANUARY 21, 1925.

To: Mr. James Talbert, assistant counsel.
Subject: Information for select committee of Congress, Gulf Towing & Wrecking
Co.

1. Hereto attached you will find copy of communication we have received from the general comptroller in response to our request that we be furnished with a statement to cover Exhibit 128, as called for on page 4444 of the mimeographed copy of Mr. Sheedy's testimony when he was before the select committee last May.

2. Mr. Curtin of the general comptroller's department, advised the writer yesterday that he had discussed this subject with you and you were in agreement with him in the opinion that the information furnished in response to question 16 of the committee covered the committee's requirements in this respect; accordingly we are transmitting the information as above outlined.

3. This leaves still to be furnished, to complete the exhibits called for in connection with Mr. Sheedy's testimony, Exhibit 124.

D. C. THORNTON, Executive Assistant, Operations.

UNITED STATES SHIPPING BOARD EMERGENCY FLEET CORPORATION

(Interoffice memorandum)

From: General comptroller.
To: Executive assistant, operations.
Subject: Gulf Towing & Wrecking Co.

JANUARY 20, 1925.

Reference is made to your memorandum of the 7th instant, relevant to the above.

Please be advised that this department, in compliance with question 16 aș presented by the select committee, transmitted to Mr. Talbert, on April 1 and October 9, 1924, statements which, collectively, reflected the "Result of vessel operation by managing agents and fiscal years" from the inception of the Fleet Corporation to February 29, 1924.

The said statements indicate the following on tugs assigned the subject com

It is believed this is the information desired by the committee.

D. S. MORRISON,

General Comptroller. 1831

EXHIBIT 130

United States Shipping Board Emergency Fleet Corporation, department of purchases and supplies-Bunker fuel-oil stations owned and

operated

165, 000 3 (55, 000) Revocable permit dated June 9, 1920, from $356, 804. 93 July 1, 1920 2,540,285.98 barrels to $17, 538. 29 $1,461. 52 Philippine government. Cost, $7,297.73 per

Mar. 15, 1924.

Revocable permit from War Department,
Government land, dated Mar. 23, 1921.
Assignment of site by Treasury Department,
Jan. 4, 1921, and Mar. 5, 1921.

1 This does not include rental of site, as amount of rent is in dispute.

2 Completed.

This earned during period Mar. 18, 1922, to Nov. 24, 1923, from delivery of oil for account of Texas Co. and Mexican Petroleum Corporation.

REVOCABLE PERMIT

MANILA, June 9, 1920. GENTLEMEN: I have the honor to advise that revocable permit is hereby granted you to erect fuel-oil tanks on that portion of the Manila reclamation area No. 1 embraced in blocks Nos. 22 and 23 and in that part of Sixth Street lying between said blocks, to construct pipe line connections from such tanks to all the piers in Manila Harbor, and to extend the pipe lines via the Engineer Island and the first breakwater to a loading head at a point due west of piers 3 and 5 on inner side of, and parallel to, the west breakwater, should you desire to construct such loading head. This revocable permit is granted to you under following conditions:

1. That all operations shall be confined to the premises mentioned above and shall be under the control, supervision, and approval of the Director of Public Works or his authorized representatives.

2. That the said blocks Nos. 22 and 23, inclusive of that portion of Sixth Street which lies between the limits of the two blocks in question, shall be used exclusively for the erection of fuel-oil tanks, and such other temporary structures as are necessary for this business, and that the site will not be used for the storage of any other inflammable liquids or light oils, such as gasoline, kerosene, benzine, and the like. Should the grantee use or attempt to use the premises or allow them to be used for any other purpose than as above set forth, then, and in that event, this permit shall at once be revoked.

3. That this provisional permit shall last for only such a period of time as is required by the insular goverment to complete the construction of a proposed government oil depot south of Engineer Island, and for such additional period of time as the governor general may consider proper for the removal of the tanks and other property belonging to the grantee.

4. That notwithstanding the condition immediately preceding, the governor general reserves the right to revoke this permit at any time when public interests so require and to impose such additional conditions as he may deem advisable to impose.

5. That the government of the Philippine Islands does not bind itself to pay for any damage which may be sustained by the grantee in the event this permit is revoked after the operations necessary to carry out the project mentioned herein have already been begun or accomplished.

6. That an annual rental of 6 per centum (6%) of the appraised value of blocks Nos. 22 and 23 and a proportioned value for that area of Sixth Street between blocks Nos. 22 and 23 shall be paid to the director of lands or his authorized representative by the grantee herein.

7. That any violation of any provision of this provisional permit shall constitute sufficient cause for the cancellation of same.

This revocable permit cancels and supersedes the one granted you under date of October 27, 1919.

Very respectfully,

Acting Governor General.

The UNITED STATES SHIPPING BOARD, Manila, P. I.

Reformatory memorandum of agreement amending lease dated September 4, 1919, between Oahu Railway & Land Co. and the United States Shipping Board Emergency Fleet Corporation.

Whereas the Oahu Railway & Land Co., as lessor, and United States Shipping Board Emergency Fleet Corporation, as lessee, on September 4, 1919, executed a lease of certain property situated in Honolulu, city and county of Honolulu, Territory of Hawaii, to be used by the lessee as a fuel bunkering station; and Whereas in said lease the lessee is inadvertently and erroneously referred to as the United States Shipping Board; and

Whereas it is recognized by both the lessor and the lessee that the United States Shipping Board Emergency Fleet Corporation and not the United States Shipping Board is the party lessee in said lease, and was intended to be designated as such;

Now, therefore, it is mutually agreed by the undersigned that said lease of September 4, 1919, be and the same is hereby reformed and amended by substituting in the body of said lease the name of the United States Shipping Board Emergency Fleet Corporation wherever the expressions "United States Shipping Board" or "Shipping Board" appear therein.