◆ SpookStack

_) my .¥ The vessels are subject to private fleet mortgages of approximately $8,500,000 held by the First National City Bank as trustee for Metro- politan Life Insurance Corpany and to Maritime Administration mortgages of approximately $5,500,000, " The settlement requires the registered mn mortgages as they become 7 ~ J _— Te owners to pay off the Maritime Administrati due. t Commencing April 1951, the staff of the Subcommittee of the Senate Committee on Government Operations, representatives of the Maritime Adninistration, ‘and the General Accounting Office, began an inquiry into the circumstances relating to the sale, chartering and resale of me = Government-owned surplus tanker vessels. In June 1951, the Secretary of Commerce forverded to the Berertmeant ; of Commerce forvarde he Department ef Just 3 dealing with the activities of numerous companies which had purchased * ' and chartered surplus tankers for consideration of the possible violetion ef : of various provisions of the shipping lave requiring United States af citizenship and other statutes relating to false statenents, SAE In February and March 1952, the Subcamittee on Investigations of ay the Senate Comittee on Government Operations held public hearings in nf : connection with the circumstances surrounding the sale by the Maritime % 2 Commission of Government-owned surplus tanker vessels and rate an interim ei report on May 29, 1952, recomending that the Department take prompt action. at During this period, the Department of Jystice made an examination of a the Maritime Commission Reports, and conducted a further investigation of = it its own into the acquisition and chartering of a large number of tankers A é and cargo vessels, including the vessels involved in this settlement. | : ° . . 4 : . : ree ows Do ge 5 Publ ‘ ~ 7 ie nies * oan team *