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r 0-19 (Rew. 10-2457) f° c: Y { . —_ O Tolson —__ VICTORY_CARRIERS INCORPORATED posraman GRACE NATIONAL BANK OF NEW YORK Mohr TRUSTEE, ALEXANDER 5, ONASSIS Neuse a MISCELLANEOUS - CIVIL SUIT Qigsen _ Tenn —____ Bureau File (63-4720) —— ele. Room Statement which was entered into by Department while Brownell was Holloman ——___ Attorney General related to the tanker investigation involving Onassis and °°’ others in 1951-1952, Bureau conducted extensive investigation into this Wa «i matter. Re ei ie ae . : rn . Tey, 7 . 1 Defends Ships Settl rownell Defends Ships Settlement : / Ausccinted Press jsistants in whom I had confi- indicted the Onassis interestsithis country for Amer an -4 p27 Former Attorney General dence,” Brownell said. Heitor the very thing you ad.'flag operation. + Herbe rownell yesterday,added that while he was At-.i.44 them to do.” But plans to build ee defended the Goveroment’s'torney General he was “ad- The Greek magnate’s trou-(t#Dkers at a cost of $50 mil ‘+1955 = settlement of suits|ministratively responsible.” : Hon have not been carried against Aristotle StyOnassis’) Brownell was & member of bles with the U. 8. Govern-out. The Government was told —— shipping interests. ..-. © {|m New York law firm, Lord, ment began shortly afterjit would be impractical to { “T have no reason to think it'Day and Lord which he said World War II when Onassis(bufid the vessels at this time. was not entirely in the publicjthe Greek-born Onassis con-linterests bought 23 surplus; The Justice Departmegt: | interest,” Brownell told a)sulted from time to time from-V,, S. ships. ; |filed sult last month alleging, , House Merchant Marine Sub-|1948-50 on interpretation of| Later the Government filed|breach of contract on | committee inquiring into ship-ithe law on citizenship require-isuit saying the ships were tankers, ping deals of the fabulously/ments in the buying of surplus'bought on false representa) =~ wealthy Onassis, American ships. tion that they would remain ' . The suits involved surplus! But, Brownell said, he did.in American hands. ® ‘ . JU. S. ships bought by Onassisinot participate in the advising! In 1955 a civil sult was set- i _ shortly after the end of Worldjand has never met Onassis. |tled in negotiation and the ! War II. ae And, he said, the Govern-jcriminal charge was dropped. Brownell, who was Attorney ment's case against Onassis/The Onassis companies paid 2 General from 1953 to 1957,\was not based on the advice|/penalties of some $7 million. said he did not participate in'given by Lord, Day and Lord,!In return Onassis retrieved 14 handling of ine Government's but on a series of acis .by/Of the ships and was pgr- cige. oe . Onassis interests after 1951. |mitted to transfer them td a xs ‘My participation was re-| Rep. Herbert Zelenko (D-\foreign flag subsidiary with Wash. Post and A \ stticted to approval of the'N. Y.) has contended that asjthe stipulation that he bulld ‘ racommendations from my as-iAttorney General Brownell\equivalent tanker tonnage §n Times Herald soe one : we ee ee eee wench es a a oa Wash. News On 5/22/58, Civil Division of the Department requested Bureau to Wash, Star conduct investigation regarding Onassis’ owned interests in the Ne tterald — United States cancelling contracts with Maritime Administration to wy, y, Journal- build three super tankers at a cost of $51,000,000, Department — American requested Bureau to audit trust fund and the corporations involved, N.Y. Mirror Bureau investigation completed and investigation reflected that N. Y. Daily News —_ Onassis’ corporations have made no payments into the trust fund N. Y. Times which was to be used to build the new tankers. | ray worker ——— New Leader WEAmIm 5 __ NOT PPCORDED _ | Date fe Pe EY.9R BOA? 1958