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HEARINGS

BEFORE THE

COMMITTEE ON THE
MERCHANT MARINE AND FISHERIES

HOUSE OF REPRESENTATIVES

SEVENTY-SEVENTH CONGRESS

SECOND SESSION

PURSUANT TO AUTHORITY OF

H. Res. 281

A RESOLUTION AUTHORIZING INVESTIGATION OF THE
NATIONAL DEFENSE PROGRAM AS IT RELATES TO
THE COMMITTEE ON THE MERCHANT

MARINE AND FISHERIES

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COMMITTEE ON THE MERCHANT MARINE AND FISHERIES

SCHUYLER OTIS BLAND, Virginia, Chairman ROBERT RAMSPECK, Georgia

RICHARD J. WELCII, California JOSEPH J. MANSFIELD, Texas

FRANCIS D. CULKIN, New York EDWARD J. HART, New Jersey

J. C. OLIVER, Maine JAMES A. O'LEARY, New York

JOSEPH J, O'BRIEN, New York FRANK W, BOYKIN, Alabama

FRED BRADLEY, Michigan J. HARDIN PETERSON, Florida

JAMES E. VAN ZINDT, Pennsylvania
MICHAEL J. KENNEDY, New York

GORDON CANFIELD, New Jersey
HERBERT C. BONNER, North Carolina
JAMES DOMENGEAUX, Louisiana

ANTHONY J. DIMOND, Alaska
HENRY M. JACKSON, Washington

SAMUEL W. KING, Hawaii
JOHN B. SULLIVAN, Missouri
JOHN A. MEYER, Maryland
WINDER R. HARRIS, Virginia

ELSIE N. KEEFER, Clerk

ELIZABETH N. BELL, Assistant Clerk
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WATERMAN STEAMSHIP CORPORATION

TUESDAY, DECEMBER 15, 1942

HOUSE OF REPRESENTATIVES,
COMMITTEE ON THE MERCHANT MARINE AND FISHERIES,

Washington, D.C.
(The committee met, pursuant to notice, at 10:30 a. m., Hon.
Schuyler 0. Bland, chairman, presiding for consideration of House
Document No. 840).

The CHAIRMAN. All right, gentlemen, the committee will come to order. The purpose of the meeting of the committee this morning is to consider the report of the General Accounting Office with reference to the Waterman Steamship Co. and matters pertaining thereto.

I stated when the report on the Tampa Shipbuilding Co. was being considered last week that the purpose of these hearings is to consider not only this report but other reports that emanate from the General Accounting Office, or otherwise, affecting the merchant marine. This is not an isolated case as it is my purpose, insofar as the business of the committee will permit to consider all reports coming in with a view to the necessity for remedial or corrective legislation or action. If there has been waste, extravagance, negligance, corruption or fraud, this committee wishes to know it and to take appropriate action for the protection of the public interest. If there has been procedure by the Maritime Commission which is proper in business practice but without legislation to support it, so that the Accounting Office must, in the exercise of its duties and functions, report against such action, and where remedial legislation is desirable for the future, then this Committee wishes to know it in order that it may cure any omissions or any possible lapses or mistakes or imperfections in the law. If it is desired then to furnish relief, that relief then shall be granted if it is within the scope of the committee or the Congress to grant it.

If there has been waste, if there has been extravagance, if there has been money expended that ought not to have been expended in the opinion of this committee, then we wish to provide such procedure, if possible, to return to the public treasury that which has been taken away from the public improperly. In other words, the purpose of these hearings is not to impeach the General Accounting Office in any way in its findings. but to cooperate and help to the end that the people of the United States shall be protected in their expenditures in these very broad policies which necessarily must obtain in the Maritime Commission.

It has been generally the desire on the part of the people interested in these reports to have a full and open hearing, but insofar

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