davidaulloa/AmericanStories huggingface dataset:
The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-08-14
NECESSARIES MAY
ESCAPE WAR TAXES
Income Tax May Be Increased
and intoxicating Liquors
Bear Bigger Burden.

WAsHiS0roS. Aug. is--Democratic
leaders are holding daily conferences on
the subject o, emergency legislation 10
relieve the prospective deficit OF about
800. 900. 900 in the Government revenues.
Senator Simmons and Represent alive
Underwood were at the Treasury Depart
ment again to-day for a talk with Sec
rotary McAdoo and will resume the sub
ject tomorrow.
No definite plan OF taxation has YET
been devised, but It seems unlikely that
any OF the necessaries OF life will be
taxed The income tax may be increased
a stamp tax imposed on legal documents.
such as was levied IN tho Spanish Ameri-
can war. and beer ana probably intoxl-
eating liquor may bear heavier rate.
while II Is conceded that a higher rate
on coffee would yield much revenue the
action would be opposed by large class
of people who still regard coffee as a
necessity The Democrats at this time are
not disposed to tax coffee or tea
Beer would yield a good revenue. and a
domestic tax may be laid high enough "a
yield considerable return. The tax or.
the domestic product would be a good
revenue producer In view OF the foreign
beers being practically shut out by the
war
Louisiana men IN Congress are pointing
out that now would he a good time 10 hsll
the sliding reduction Of the duty on sugar.
The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-08-14
BANK NOTES WON'T Be
USED FOR RESERVES
McAdOO and Williams Figure
on Plan to Pay England
$13O,OOO,OOO in Gold.
GRAIN SALES MAY PAY SUM
Comptroller will Relax Rules
Regarding Reserves Owing
to War Conditions.
GRAIN SALES MAY PAY SUM

WASHINGTON, Aug l3--Secretary of
the Treasury McAdoo and Comptroller
OF the Currency williams were In touch
to-day with Vice President Eldridge Of
the National city Bank and other New
York city bankers in regard To the stu
alton which has arisen from Great Brit
aims demand for payment of a balance
amounting to si3o.000,Ooo owing to her
from the United States
IL Is understood that as result OF the
Views OF the Treasury officials and Gov.
IIamin OF the Federal Reseye Board
bankers have abandoned III idea OF
amending the reserve act as TO permit
the use OF bank notes az a part OF the
bank reserves FOR u limited period. This
idea originated at a meeting OF the snip
ping committee or the New York Cham
her OF Commerce called yesterday to dis
cuss the situation growing out OF the
necessary drain upon the gold resources
OF TIM country.
No definite decision has been reached as
yet In regard 20 means OF meeting the
situation There will be further confer
ences tomorrow on this subject.
The reserve requirements under the new
law will automatically release about
$500, 100000 OF gold now tied up In the
reserves.
Under the proposed legislation these
banks that were able TO qualify immedi-
atoly would be able 10 take advantage of
their proportion OF this release.
There We're also indications to-day that
the Comptroller may deem II cxpedient to
adopt a tolerant attitude toward a partial
depletion OF the gold reserves OF certain
banks IN order to help them meet the
emergency arising out OF the present In
ternational obligation. OF course no an
nouncement will be made that the Comp
q pllor Will show such tolerance, but 70 II
mi 'ly that ne would taken into considcra-
ton the purposes 90 which the reserve
gold had been put '7 considering such
cases
officials do not believe however that Il
will be necessary for the banks 20 utilize
p. serve gold for payment OF all OF the
$3.50. 600. 900 which is due England IN the
next ninety days They are confident that
before that time ships will be found TO
transport enough grain to Europe To Gre
at a credit there adequate TO account for
q large part Of this sum
They do not believe that Great Brit
aims plan 70 deposit huge sum OF
American gold IN Canada as the basis for
bills OF exchange to be issued by the
Bank OF England ever will be fully CON
sunimated
Gov. Hamlin said that the board lad
MOI taken up the question Of emergency
measures 90 meet the situation. lie said
II was a matter FOR the Comptroller to
handle.
The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-08-14

1t was reported yesterday in the imam
c.al district that a syndicate OF bankers
headed by J. r. Morgan a Co. had In
CURED OF the State Department regard
ing the probable attitude Of the United
States toward American bankers floating
French war loan OF several hundred
millions OF dollars. Henry i. Dawson
Of J. r. Morgan 4 Co. when asked as
to the truth Of the report said that the
firm declined to discuss the matter.
The transaction as reported here did
not constitute a loan OF actual cash. but
provided for the opening of an enormous
credit balance In this country for the
account Of France. against which the
French Government would be able to pur-
chase supplies. grain and whatever II
needed here II was also reported that
the bankers were considering the same
proposition as regards England.
Other prominent bankers when oues-
toned regarding the report late last night
said that they had heard rumors TO the
effect that France also had asked the
state Department at Washington what
It's attitude would be In case our bankers
should float big war loan for that
country They said that they did not
believe the matter had gone further as
The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-08-14
CAPEL COURT LIKELY
TO REOPEN SHORTLY
Credit Machinery Moves and
Bill Markets Congestion
Is Relieved.
BANK BUYS MORE GOLD
Decision TO indemnify for Dis
counting Losses Warmly
Welcomed.
BANK BUYS MORE GOLD
Special cabi. D,spotck 10 THz srS


LONDON, Aug. lathe action OF the
British Treasury Department In agreeing
to indemnify the Bank Of England for all
losses in the discounting OF bills re-
lieved Immediately the congestion in the
bill market to-day. IL set the credit ma
ch.nery giong again and II Is expected
that II will be followed by the re-openins
OF Capel Court.
The Governments decision was reached
at a conference between Government rep
resentatlves and some OF the principal
bankers and other business men Of Lon
don. The following official announce
ment OF tho decision was made:
The Bank Of England is prepared on
the application Of a holder OF an approved
bill OF exchange accepted before August
TO discount f. at any time before its
due date AZ the bank rate without re-
course to such holder. and upon It's ma
turity the bank will. in order to assist
IN the resumption OF normal business
operations, give the aocertor opportunity
upon further notice of postponing pay
ment. interest being payable meantime at
2 per cent over tn. bank rate
Varying arrangements viii be made to
carry the scheme into effect so as to pre-
serve all existing obligations. The bank
will be prepared, In pursuit Of this pur.
pose. TO approve such bills OF exchange
as customarily are discounted by them
and also good trade bills and acceptances
OF foreign colonial Arms and bank
agencies established In Great Britain"
The banks did an enormous bill bust
ness. II Is impossible to give an cstl-
mate OF the aggregate amount outstaud-
ing. but Il Is known that acceptances by
German banks In London approximate
$4,000. 900 $4,000. 0OO).
There Ia no more talk OF an extended
moratorium. Bank paper of all dates
is freely discounted at about So.
Besides consols transactions have
started again IN Canadian and other CO.
ionial Stoke and here Is no d ficulty T.
placing any first class stock.
Call money IL az ga to
The Bank Of England URht to-day
$4,000 gold eagles and $4,000 81
zoo. Ooo) in bar gold. II received fl3o.-
900 $3.50. 000) worth Of gold from South
America. Its reserve IL now fl5.53o. oo0
Cs77.s5o. ooo). an Increase of $3.50. 600
Cs27,Slb. 0O0l Government securities held
by the bank amount 20 f23Oil. zoe Gle
POS .OO0D, an increase Of fi2.OO0.0Oo $3.50
OOO, 0OoD. Private deposits have reached
the unprecedented total Of fS3.326, 600
Cs416.63o, OoO). an increase Of f26. SIC, o0C
tSi32.SS0.O00J.
The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-08-14
To Call More Belgian Rescryists.

BRUssELs. uE l3-The 1914 class OF
Relglan reser lists will auon he called 20
the colors according to an of1cial an.
ununCemcnt here TODAY.
The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-08-14
MUST HOLD INSURANCE MONEY.
Hn sbrouck Issues warning 20 For-
eign Companies' Managers.

ALBANY. Aug i3-Stato Supcrinten-
dent OF Insurance Frank Hasbrouck
warned to-day the managers and trustees
OF foreign fire insurance corporations with
branches in this country against releasing
securities or moneys held to cover losses
in the United states.
I'm view Of the general uneaslness ex-
sting at present, with reference to for
eign fire Insurance companies incident to
the war situation" says the warning OF
Superintendent Hasbrouck, 1--WE deem il
advisable to suggest to YOU that all funds
OF your company which may be in your
possession as United States manager shall
be held by the United States branch for
the protection OF the company's United
states policyholders.
please inform the department OF your
intentions and of the position of your
home office with regard to remittances at
this time
The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-08-14
Der MUDA ISLANDS
FEAR GERMAN FLEET
Erect Breastworks and Mobilize,
Expecting Bombardment,
Reports Liner.

The Bermuda Islands are under mar
t,al law ana the inhabitants fear an
attack by a German feet. according TO
the officers OF the Quebec liner Ber-
mudian, which arrived from Bermuda
yesterday.
Volunteer infantry is under arms in the
islands, and additional earthworks are
being thrown up hastily by citizens
pressed into service. the Bermudians
officers say. The censorship at Bermuda
ls so strict that private mail Is read
before It In allowed to 10 to foreign coun-
tries.
The Bermudtan brought c27 passengers
from the islands She reports that the
German tankship Leda, which was bound
from Rotterdam for Baton Rouge, has
been captured by the British cruiser
SUFFOLK and Ia In tho harbor at Hamilton.
When the Bermudian left Hamilton the
French cruisers Condo and Descartes were
coalng for a cruise.
According To those on the Bermudian.
extensive preparations are being made
for the defence OF the islands. The Lin
colnshire Regiment OF regulars and the
Royal Artillery have been reinforced by
the armng OF the volunteer infantry and
by a negro organization, the Bermuda
Militia ARTILLERY.
CO., =, ,no po,ru1,o,,s nss.e,rer,
-, -.
sal" '"ey "8u "'e" p''7'eu '"''
TO help In the construction or earthworks
along the coast. John Todd OF Elmira,
y Y said n. worked several hours in
,.o,,,n ho,,a b,u. 70 a,rerqtben IN.
a "'0"
detence OF fiani"'oh'
There was n large party OF American
school teachers among the Bermudians
nass.ngers md many Of the women
-, ,,,,,. 80 -. h,r .,o,,,, ~, n,
P' " 49,,
The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-08-14
Unsound. Says DAWSON.

Henry i. Dawson OF ]. r. Morgan &
CO. made the following statement yestcr-
day In regard to the proposition 70 use
national bank notes as "A part OF the ma
toual banks reserves
II think the proposal to use national
bank notes as pa; Of the reserve is both
unsound and unnecessary. II would open
the way to imitation and instead OF bet
tering tho situation IN any way would
make II JUS. so much more difficult 20
conserve the Countrys resources in the way
IN which they ought to he conserved at
time when the world is confronted with
tho conditions which the war In Europe
has brought about
ION both sides OF the war every effort
r. being made to reopen commercial and
financial intercourse between this country
and Europe and each day some progress
has been made In that direction. Any
agitation of this subject now will, In my
opinion, tend to retard tho accomplish
ment OF the results desired. The action
Of the British Government and the Bank
of ENGLAND is the greatest step yet taken
toward relieving the exchange situation.
at is not "A question OF whether or not
we are going to meet our obligations. or
course We are going To meet them when
they become due and where they be-
come due, but that can and viii be done
without resort 10 any such proposal as
the use OF bank notes as reserve"
Bankers everywhere admit the desir-
ability and the necessity of meeting our
debts but contend that az far as pos
sih.r We ought 10 meet them with grain
shipments, cotton and other commodities
and goods. II IS conceded that some pay
monts will have to be made in gold and
that such steps may entail some hardship
"a, present, but that II will rebound to
our credit and bettermcnt in the future.
The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-08-14
British Governments Dis
count Guarantee Brings
Relief Quickly.
BANKERS CRITICISE
NOTE RESERVE PLAN
II. i. Dawson Asserts For
eign Obligations Can BE
Met Without 1t.

The unprecedented high rates In foreign
exchange existing for tho last two weeks
broke somewhat yesterday and business
was done I'm .hat line at figures closer
20 the normal. The announcement Of the
Bank OF England that. being guaranteed
against loss by the British Government. II
would discount at the bank rate any ap-
proved bills II accepted before August 4.
tho date Of the declaration of the mora
torium. was generally looked upon as
causing the break In exchange rates
Bankers are now generally decryins as
unsound the plan proposed on Wednesday
20 make bank notes part OF the legal
reserve OF national banks.
Jacob II. Schiff OF Kuhn. Loeb 4 Com
pany made notable speech at a special
meeting OF the Chamber OF Commerce
yesterday calling upon the country to pre-
serve It's financial integrity and pay Its
debts to Europe
In conservative banking circles the ac-
ton Of the Bank Of England In offering
10 discount bills NJ the bank rate pro-
vided they had been accepted before the
declaration OF the moratorium is generally
looked upon as another evidence Of the
skill and diplomacy which Is being exer.
cised by the British Government and Eng.
lands premier financial institution in
meeting the present difficulties What
England has done since the crisis in
finance and politics became so acute. /,
appears. has met with a large measure OF
appreciation here.
The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-08-14
SOCIALISTS HAVE A PLAN.
Want Government 10 Take over All
Food and shipping.

The local branches OF the Socialist
party decided Yesterday to ask the Gov
eminent to take over control of the
supplies of meat and wheat and trans
portation facilities with view 10 checking
the sharp rises in food prices AT a
meeting in the Rand School, 40 East
Nineteenth street, the plan was forwarded
to the National Committee on Immediate
Action with a request for an appeal to the
Government.
The meeting also recommended that
with view TO shortening the present war
our Government forbid the shipment from
American territory OF money, funds or
the munitions of war to the belligerent
Powers OF Europe
The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-08-14
GOVERNMENT is SOUNDED
Presence OF Mr.. Morgan In Capital
Believed 60 Bear out Rumor.

WAsHiNGTos, Aug l3.-The presence
OF ]. +. Morgan in Washington. where he
comes to attend the important conference
OF bankers at the Treasury Department
tomorrow, Is believed here also to have
significance In connection with the report
that the French Government IL negotiating
for the floating Of large loan In this
country. No denial of the report was
made by the State Department. although
Secretary Bryan refused to confirm II.
The understanding is that the matter
has gone no further than a diplomatic
inquiry. France IA believed TO have
sounded the Washington Government with
an idea TO ascertain It's attitude toward a
private loan BY France In the United
States.
The belief In washington Is that this
Government will not commit itself to
such a loan.
The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-08-14
LOWER EXCHANGE HELPS TRADE-FRENCH LOAN
MORGANS MAY FLOAT HUGE
WAR LOAN FOR FRANCE
State Department Reported to Have Been Sounded
on Its Probable Attitude Toward
Such Transaction.

YET than an interchange OF diplomatic
correspondence.
Only last week J. p Morgan 4 Co,
through their Paris house. Morgan,
Hariee & Co, succeeded in establishing
a $4,000, 900 credit balance here to the
credit OF the French Government
The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-08-14

II was pointed out yesterday that the
hndncIcrs OF England had trimmed their
sails with consummate skill To- meet what
ever difficulties might arise. As soon as
It was seen tina; war was Inevitable the
Bank OF England Increased its discount,
rate, finally bringing II up 10 10 per
cent The next step was a declaration Of
4 moratorium, which was followed by
bank holidays that L. stcd nearly a week
with the exchange market picking up
even aa little as II did yesterday, bank
ere admitted that there was a better
outlook for grain shipments and the re-
sumption ~ general trade between this
country and parts of Europe Provided
that American exporters can be given
some assurance that they will not have
10 bear the loss OF their cargocs in case
OF capture or other seizure and that the
risk and insurance rates are to be shout
dered by the British Government. the
feeling Is that shipping will be resumed in
some measure.
Well known bankers here said vester-
day that tho plan proposed on Wednes-
day TO make bank notes legal reserve
for rational banks was fundamentally
unsound. This plan was proposed in
order that the banks might pay the coun-
try's obligations to Europ-, and TO Eng
ldHu III particular, without Iurtner weak
oning their already depleted gold re-
serves. which are now about So. 200. 600
below the requirements OF the national
bank act. The notes are a liability and
as such cannot be rated AS an asset the
bankers said. II is also pointed out that
the banks Of the city are already upon a
Clearing House certificate basis and are
resortlng to the use of emergency cur
rency under the provisions OF the Aldrch-
Nreeland act.
The plan OF asking the Federal Reserve
Board to declare itself operative and eX,
ercise that provision of the new banking
act which permits tho board TO suspend
any and every reserve requirement IN case
Of emergency for period OF thirty days is
also criticised on the ground that In such
situation as now exists the finances OF
tho country should not BE- shifted from IN,
control Of a system which IL operative
and has stood for half a century to q
system which Is not yet completely or
IaniZed
The Cecil Whig. [volume] (Elkton, Md.) 1841-current, 1914-03-21
FolloD directions on the inside Of tt'
red end green wrapper.
Feis & Co., Philadelphia.

better for the housewife to use other
fats and oils for cooking and leave
butter for strictly table purposes.
In 1886 law was passed prohibit
ing the manufacture of oleomargar-
inc, with tax of = cents against it.
There is no objection to the Govern
ment taxing this or any other food
product, but it is true that much of
this legislation was unduly influenced
by commercial interests. In spite of
restrictive legislation, the production
of ole0margarine continued
In 1902 Congress taxed it one-fourth
cent a pound uncolored and 10 cents a
pound is colOred with the same color
used to deepen the tint of dairy but
ter. There is no more reason for a
tax on oleomargarine than there is
for tax on other foods. By very
careful test, oleomargarine has been
found to be pure, clarified cooking
fat, and as such it should be used by
the housekeeper who wishes to reduce
her expenses and at the same time
utilize a good food product.
There are so many kinds of food
adulteration that the housewife should
know the definition of each term, th"+
she may the better arm herself
against fraud.
Substitution is the offering of an
article other than the genuine one.
When the housewife pays for olive oil
and vanilla she is often given sub
stitute. She receives bottle of cot
tonseed oil or vanilla made of Tokay
bean essence.
Preservatives are chemicals used to
keep" various kinds Of manufactured
foods. Benzoate of soda in catsup,
etc, sulphides in meat, and formalde-
hyde in milk are chemicals which are
injurious to digestion and are only
used to keep" goods of poor quality.
Good, pure products need no preser-
yatives need no personalities.
Artificial coloring is used chiefly in
CONNECTIONS and bakery products, pick
les, ice cream, etc They are general
ly coal tar products, the same as are
used to color dress goods and ribbons,
and thus delcterious.
The Cecil Whig. [volume] (Elkton, Md.) 1841-current, 1914-03-21
OLEOMARGARINE

On no one food product are house
keepers more uniformed than on
oleomargarine. Many of them feel
that oleomargarine is a poor butter
substitute or that it is part inferior
butter. On the contrary, oleomargar-
inc is made of oleo oil, vegetable oil,
milk and salt. Oleo oil is the oil ex-
pressed from suet or beef fat, and is
used only after the animals are
slaughtered under Government in
spection.
These materials in liquid state are
mechanically made into an emulsion,
chilled in water and worked and pack
ed into packages. In each factory a
Government Inspector is Stationed,
whose duty it is to see that only pro-
per materials are used; that the fac
tory and utensils are clean and in d
sanitary condition. Many scientists
also concur in that oleomargarine has
a high food value and the same ele-
ments chemically as butter.
Housewives who sneer at oleomar-
garine are caught in the process but
ter" trap, and will use this worked
over and inferior grade Of butter just
because it is called butter, rather than
in the first place choose such re-
liable product as oleomargarine. All
is not butter that is yellow, and it is