The news magazine of the South Pacific · since 1930

Pacific Islands Monthly, 25 May 1938Vol. VIII, No. 10

Some P.A.A. History

pp. 52-54 · Read in the full issue

Letter to the Editor, IN the March issue of “P.1.M.”, Mr.

Harold Gatty objects to my refer ences to certain aspects of the acti vities of Pan American Airways in the Pacific, the division which employs him.

To keep the record straight, I beg to quote from two significant letters. The first was written by Dr. Dana Coman (see Feb. “P.1.M.” story) to a man in New York wh,o. so Dr. Coman told me, was “treasurer” of the Coman Expedition and “go-between” for it and its relations with Pan American. A copy of the letter with

the man’s name was given to me by Dr Coman, who on July 23, 1935, wrote:— general we found upon arrival (in Honolulu) a strong rumor of Pan American interest in our investiga tion. . . Throughout the period, both be fore and after Mr. Gatty left for Aus tralasia we had the protection and most invaluable aid of an intelligent news paperman, Mr. John Williams (Dr. Coman is a psychiatrist!), who continued to keep off too persistent inquiries from the many news services here. . . He knew the facts of the expedition enterprise and would publicise them at a dignified and pro per moment. Premature publicity would only impede the smooth organisation of a legitimate and important expedition.

Due to his access to important contacts otherwise practically unobtainable, he facilitated the establishment of essential co-operation for the sound organisation of our venture. . .

Writing to me on December 20 1935 the New York head office of Pan’Ame rican said this:— We very much appreciate the sympathetic attitude you have taken and are grateful for the interesting informa tion which you have given in this con nection (the N.Z. air route) . , . We were particularly concerned at the time with anyone connected with the purely com mercial aspects of the expedition (Co mans) discussing aeronautical matters in a positive tone that could not entirely be substantiated We are sure you appreci ate the situation. With the other aero nautical activity (Orient route) in the Pacific, such mention was sufficient to cause . . . greatly distorted aspects. .

According to the general Scheme behind the Coman expedition, Mr, Gatty’s job was to visit New Zealand and persuade the Government to sign an agreement with Pan American. As Dr. Coman and the company admit in their letters, I did whatever I could (without compensation.) I was (and am still) anxious to see avi ation get going properly in the Pacific.

To this end, prior to Mr. Gatty’s arrival in New Zealand, I made satisfactory ar rangements so that without waste of time he was able to get “next to’’ Mr.

Gordon Coates, then Prime Minister, and so expedite th,e Scheme, which py 1935 had changed greatly from the original 1933-34 version. Through the courtesy of certain N.Z. newspaper influences which I have the honour of representing here, the real purpose behind Mr. Gattys’ visit to N.Z. was kept secret and announcement with held for many weeks until Mr. Gatty agreed, at the most auspicious moment, to announce his association with Pan American and the plan for a service to Auckland. This was somewhat embarras sing to me because, at Mr. Gatty’s re quest, in the Honolulu papers, I had de nied that he was associated with Pan American. Mr. Gatty continued this de nial (via me) upon his return to Hono lulu—for reasons best known to himself.

By this time (end of 1935) the Coman Expedition had won much publicity for itself. Vital navigation tables had dis appeared from the expedition’s schooner during a visit to Pago Pago; a Pan Ame rican employee aboard was sensationally rescued from drowning in the surf at Baker Island and his coral wounds ef fectively treated by Hawaiian lads on the island; the schooner had engine trouble which necessitated aid from Honolulu, etc. I know all this because almost night ly I maintained radio contact with the expedition and have before me now full notes of all the topsy-turvy business.

These notes, incidentally, go back to early 1934, when I first began to help Mr.

Gatty work on the trans-Pacific Scheme.

Dr. Coman, a most excellent fellow and companion, probably to-day chuckles at many angles of those years, as he in 1935 chuckled at many angles of the first Byrd Antarctic expedition, of which he was medical adviser.

Returning to details of Mr. Gatty’s let ter: The same year of the Coman Expe dition (1935), Mr. Donald Douglas ap peared on Pan American's board of direc tors. This position must have its advan tages, which, I imagine Mr. Douglas ap preciates. They may be worth more to him than actual cash stock in the com pany. Anyhow, he sells plenty of his 'planes to the company. My February “P.1.M.” story was not based upon a let ter which unwarrantedly Mr. Gatty sug gests I obtained through some unethical means. (These personal touches are un like the good-mannered replies to critics which his company issues from its head office.) In reporting, one cannot cover a story from one source alone. Thus, when Mr.

Gatty gave out information, there were natural checks, which in th,e N.Z. ser vice instance meant checks with three U.S. Government Departments that keen ly watched the Coman Expedition’s acti vities. Perhaps Mr. Gatty had read into my story things that were not intended.

There is no law against the principle of capitalistic enterprise, although to-day President Roosevelt is moving to prohibit such enterprise when it climaxes in mo nopolies. Often enough, he has said he is trying to save capitalism, but capital ism will not be saved!

I have reported Pacific aviation, from its bold beginning with the Rodgers U.S. navy flight from California to near Ha waii, in 1925. Pan American operates on a U.S. subsidy of 8,000,000 dollars annual ly. This great network has been under fire and investigation in Washington for at least four years, as Congressional records amply testify. Aircraft builders, defence experts and some observers feel that the network has retarded the besc expansion of U.S. international aviation. While the company uses the huge subsidy, it is long-headed enough to expect the critic ism and close Washington interest which is perfectly legitimate. The first of the competition which the critics demand now is being organised.

I feel that aviation is at an important stage of its rapid growth, particularly in America, the home of so-called “rugged individualism”, which in Australia is called “open slather”.

More and more Washington is going to discipline airline operations, especially those airlines that use great amounts of public money. Transport in America is washed up. One-third of the railroads are bankrupt with the balance operating on public subsidy. The same applies to

the merchant marine. The Government is determined to stave off similar conditions in air transport, which has been too politically ridden and at the mercy of powerful Washington lobbyists representing the major companies.

In regard to international aviation, such as the N.Z. route, I feel the Governments should get together (they foot the eventual bills) and arrange a long-range mutual programme. There has been the extraordinary delay in the N.Z. service solely because there was not enough of both Governments in the Scheme. It was very natural, of course, for the pri-

vate interests behind the original Scheme to try and obtain all the monopolies they could and other “first in” rights. There was nothing illegal about that.

U.S. Government approval of the N.Z. service will not be complete until the post office subsidy is approved by Congress.

The delay in making the grant prob ably best proves that much yet remains to be done before the N.Z. service can start. It depends upon the present Gov ernment conversations, which should have started in 1934.

I am, etc..

John Williams.

Honolulu, April 19, 1938.

Miss Nancy MacKenzie, of Taveuni, Fiji, recently arrived in Australia from Suva to be married to Mr. Charles Pocock, of the Bank of New South Wales staff 0 . T t t * o • x ii Sergeant H. Irwin, Senior Constable in the Samoan Police Department, was in New Zealand in April spending furlough.

Captain A. Campbell, commander of the Burns Philo liner “Nentuna” left t e uins, rmip imer JNeptuna left Sydney early in May by the Otranto for England to take over the new vessel “Bulolo” which will replace the “Montoro” on the Sydney-Papua-New Guinea run. He was accompanied by Mrs. Campbell. At present the “Neptuna” is under the command of Canfom p v » i command oi Laptain t. Vogelmann.