Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1915-09-14

New York. Sept. 1.-THE report that
the Anglo-French financial commission
contemplates borrowing a billion dol
lars here without collateral Of any sort
oNershadows all other topics In the n.
hancial section today. Heretofore the
opinion has prevailed that Great Brit.
ain and France would secure tho nam.
moth loan by American securities. dol
lar for dollar All calculations OF
American fnanciers prior to the COM
missions arrival had been based on
that assumption. 1t was tho concensus
OF opinion that the commission would
find Its task moro difficult than would
be the case II the credit loan were Sc
cured by collateral of American bonds
and stocks. as ut first suggested.
Might So Unneutrai.
Whether strict Interpretation OF
American neutrality would permit tho
issuance OF a straight commercial loan
on bonds of two of the allied warning,
nations was topic for conjecture. The
belief prevailed that the washington
administration would not interfere.
The plan Of tho commission was as
follows:
THE establishment here o. a huge
credit loan from the proceeds OF which
would be paid all bills OF exports to
Great Britain and Franco and prob
ably Russia.
ITO fix the amount of this loan at an
nearly billion dollars as possible"
Dio or Lose Export Trade.
Lord Reading, chairman of tho COM
mission. in the only statement he has
made. did not refer to tho plan, but
confined his remarks to the general,
situation. II the commission fails it
is said wholesale curtnilment of Amer
lean exports would follow. Tho wheat !
the allies will need. 1t was said. could
be bought in Canada. Argentine. Aus
tralia. India and Russia, should tho
Dardaneles be forced by next March.
Irrespective of the Russian supply,
the visible export supply in Canada.
Australia. Argentine and India. was
placed at 325.o00.00O bushels. Cotton
already Is held In large quantities in
Great Britain and by stinting tho sup
ply could be made to last until tho
great fields OF Egypt. now idle, could
be made to produce sufficient to take
the place of what would otherwise be
bought from the southern states. Meats
would be bought from Argentina and
nations OF Europe.
Views Of Commission.
Here is the reported attitude Of tho
commission:
The credit OF Great Britain and
France has never been questioned
They are able to pay for anything they
promise to pay for. Their bonds are
the standard OF world Investment
Those countries rCUniYe Oplv ma
thing from the United States-muni-
tions OF war. True they would like to
have many other things--whent. cotton,
corn. meats. manufactured goods-but
they can exist without some of them
and the others they can buy elsewhere
II necessary. But for war munitions
they are prepared to pay In gold X
they have to. And they will pay In
gold rather than submit to terms that
they think are onerous In establishing a
credit here.
Financiers Worried.
American exports would dwindle to
the leanest figures of the leanest years.
Il was said for all Europe that could
import goods would import from what
ever other markets 1t could find.
Such was the dark picture held by
fnanciers who spoke OF the possible
failure to establish the hoped Tor credit
here.
1t Is moro to the interest OF the
United States than to Great Britain
and Francc. they said. that the loan
be forthcoming.
Before tho commission reached New
York the belief was prevalent In some
quarters here that Europe was virtual
ly on her krees to the United States
begging for money. and that American
bankers were in q position to dictate
terms. Those who held this view are
said to have awakened with something
OF shock to find that instead OF being
masters of the situation the American
bankers would be to great extent
suppltants themselves for favorable
terms.
Whether the commission could bor-
row the money on the terms linked
with its name today, was not go much
a matter Of interest as to what might
happen to cripple American Industry
if IL should fall.