263 



When the contract is negotiated with Fouke, consideration is given 

 in the contract for the fact that Fouke will advertise. 



Mr. Potter. And that is worked into the formula for computing 

 the Fouke share ? 



Mr. KiRKNESS. Yes, that is correct. 



Mr. DiNGELL. I find myself hard put to figure out how advertising 

 sealskins contributes to the conservation of the seal. 



Mr. KiRKNESS. It does not contribute to the conservation except you 

 get more money. 



Mr. Pollock. It contributes to the sale of the furs. It brings more 

 money to the Treasury and maybe then you can do more research. 



Mr. DiNGELL. I have been defending this from the conservation end 

 and I come to the conclusion that maybe you are not as interested in 

 the conservation of the seal as I thought you were. 



Mr. Pollock. Several of us would like to comment. 



I would ask Mr. Kirkness to respond. 



Mr. KiRKNESS. I think Congress itself asked us to do this in the Fur 

 Seal Act of 1966. 



Mr. DiNGELL. Is there a specific section in that statute that tells 

 you to advertise seal skins ? 



Mr. KiRKNESS. Not sj>ecifically advertise. 



Mr. DiNGELL. If there is, I would like to know about it. We may 

 want to repeal it at this particular time and if it is not, you folks 

 have some more explaining to do. 



Where in the statute are you direced to advertise the sealskins ? 



Mr. KiRKNESS. There is no specific place in the contract that says 

 you shall advertise sealskins. 



Mr. DiNGELL. Where are you directed to take action by advertising 

 seal skins? 



Mr. KiRKNESS. The Secretary is instructed to harvest, process and 

 sell sealskins and, therefore, presumably, to get the most money for the 

 product that is possible. 



Mr. Pelly. They are sold at auction, are they not? 



Is there any reason why you have to advertise like you were selling 

 on the retail market ? That is an awfully large expense it seems to me 



All you have to do is send out a letter to all the fur buyers when 

 you are going to hold your auction and that is all there should be to it. 



Mr. DiNGELL. It has always been my impression that you advertise 

 the auction, but that you did not advertise the product. If I am in 

 error on that, I will be glad to correct my judgment. 



Do you have a comment? 



Mr. KiRKNESS. Mr. Chairman, as I said, at the time the U.S. Govern- 

 ment felt it was advantageous that Mr. Fouke, who was the dealer, who 

 handles the sealskins, advertise these so they would bring the highest 

 price. 



Mr. DiNGELL. I am of the impression it is not in the best interests 

 of the seals. 



I have some question as to whether it is in the best interests of the 

 Federal Government. 



I think that that quarter of a million dollars could be better spent 

 by the natives than by the Fouke Co. or by Madison Avenue. 



If I am in error, I would like for you to correct me. If you folks are 

 in error, go back to the drawing board and correct it. 



67-765 O - 71 - 18 



