OCEAN MAILS

Dominion, Volume 27, Issue 226, 21 June 1934, Page 9

OCEAN MAILS

Revision of American Contract System

REPORTED INTENTION

Figures Cause President

Concern

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(Received June 20. 9.55 p.m )

New York, June 19.

Tiie Washington correspondent of Hie "New York Times” says that be has learned that President Roosevelt, at tiie next session of Congress, is completely revising the system of granting ocean mail contracts. Since Hie revelations by tiie Senatorial Committee no new contracts have been let and none extended. In the meantime, it: is understood, the Presi dent lias been extremely exercised ar figures which indicate that Hie Government: paid about 100.000.000 dollars for carrying mails which, at ordinary rates, would not exceed 15.000.000.

Of the 43 contracts now in operation less than one-third are considered essential or necessary.

NO STATEMENT YET

Mr. Thomas Questioned

London, June 19.

In tiie House of Commons, Mr. 11. L. Boyce (C.) asked what communications bad been received from Hie Australian and New Zealand Governments in relation to the unfair competition of subsidised foreign shipping The Dominions Secretary. Mr. .1 11. Thomas, replied: “Communications are still passing, and I cannot make a statement.” Mr. Runeimau. President of the Board of Trade, replying to Mr. Boyce, said that his information suggested that the Matson Line paid lower wages than New Zealand shipowners.