The Birmingham age-herald., 1914-10-15
$150,000,000 FUND TO
 AID PLANTER NOW
 VIRTUALLY ASSURED
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and direct the loaning of the fund. The outline of the plan as agreed upon is as follows:
 "1 Organize S150,00O,000 cotton loan fund throughout the United States W hich fund shall be turned over to and managed by the federal reserve board at Washington and loaned to the Na- tional Currency association or to the federal reserve banks.
 Loans to. Be Secured
 "2 All loans to be made payable be- fore one year at the option of the bor- rower. with the right to the federal reserve board to extend any or all such loans made for two periods of six months each. interest on such loans to be at rate of per cent per annum. "3 All loans to be made at not to exceed cents per pound, middlins basis, to be secured by approved ware house receipts for cotton properly in- sured.
 "4. The fund to be called for by the federal reserve board in such install. ments may be necessary. f'5 New York financial institutions will subscribe S56000,O00 under above condi- tions toward such fund. provided the bal ance of the country subscribes not lees than s10O.00OOO0.
 "The details are to be worked out by d | reserve board, which unauestionably will have the support of every part of the country.
 'It is recognized that the caring for the surplus cotton crops is national problem. one which interests all manufac- turing industries, commercial estabish- ments, agricultural resources. transporta- ton companies and financial interests and which will undoubtedly receive uni versal support throughout the nation.
 "The task put up on the federal re- serve board. while onerous, was readily accepted by Secretary McAdoo, who rec ognized the gravity of the situation the necessity for action. as well as the prac- ticability of the plan to meet the sit uation. and it is understood that through bis guiding influence the entire fund of s150 OO0.O00 was made available to the cot ton growers of the south at a very mod crate rate interest when 1t is con- sdered tht the loan is made to run d year if the borrower so desires and the borrower can pay the lender any time
 To Contribute Part
 "The committee had telegraphic ad- vices from Arkansas. Georgia, Louisiana. Mississippi, South Carolina. Oklahoma, Texas and Tennessee that each of these states unque sitonably would contribute their proportionate part of the so0.0oo,0O0 which was allotted to the south as it's share of the fund. It is expected that all the eastern, northern and western parts of the country will be asked to contribute now that New York has spok- ien, particularly the management of the fund will be placed in charge of the federal reserve board at Wash iigton.
 'The President Secretary McAdoo and the federal reserve board having already approved the plan of raising the S15O,000. coo fund to loan on the surplus cotton crop, it is generally understood that all departments of the government will he put behind the surplus cotton crop to rapidly increase it's export and also to develop the sale of the product to the New England and southern cotton manu- facturers."
 .>~~~~~~~~~~~~~~~~~~> s100. .O00. 900 to cover the deficit in the treasury occasioned by the stoppage of |importations caused by the war in Eu- rope.
 Sympathize With Planter Every sane and patriotic citizen, whether of Massachusetts or Missis- sippi, Virginia. or California, deeply sympathizes with cotton planters and would do 'anything within the limita- tions of reason and safe economies to aid them in their distress, but it can not be expected that Congress will re- sort to measures for the relief of any single American product, the enactment of which measures would wreck and ruin the entire financial and commer- cial fabric of the country. T can assure you that it Is not pleasant for me-a southern man and chairman of the banking and currency committee of the House. to submit to the reproaches and upbraidings of my southern colleagues for being unwil- ling to help their desperate schemes of relief, but I simply cannot with any regard for my oath as a representative in Congress or with any appreciation of the responsibilities of my position yield my judgment to such unreasonable and dangerous suggestions.
 These things ought not to be done and I feel confident will not be done. If done. they would not help the cot ton producer because the latter would be seriously injured by universal coll striction of credit and impairment of confidence that would inevitably en- sue"