Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1915-04-01
PRESIDENT AND CABINET CON.
CIDER QUESTION OF PRoPRI.
ETY. or DEALS.
AL WARNING NATIONS
ACCORDED LIKE TREATMENT
Secretary Bryan Promises to Make .
Statement Regarding Attitude Of
Government Towards "crsdit" Deals
-DisapprovaI Of Loans Avoided by
Technical Finaneisrins.
ro.Laurhlin in Chicago tribune

/ Mclaughlin In Chicago iripune.l
Washington, April 1. President
Wilson and his cabinet had under con-
sideration questions arising out OF
credit loans obtained by belligerents
in the. United States. A statement
about the matter viii be issued by
Secretary of State Bryan today.
Legally no objection can be offered
to loans of any kind. At the begin
ming of the war, however, the presi-
dent disapproved loans to belligerents
which contemplated Withdrawals OF
money from the United States. He
did SO because of the possibility that
the government would be forced to
borrow in consequence Of lack of funds
from taxes to meet expenditures and
also in order to assure the country
being in condition to make loans to
neutrals in case they should apply for
them.
Finally, the president realized that
investments in the securities of one
belligerent or another would produce
partisanship and increase bitterness
on the part of American citizens, who
should be neutrals.
Absolved From Immortality.
Loans have bene made to the Scan
dinavian countries and Switzerland
since the war began, and certain South
American countries have approached
American bankers with view of OBJ
ktaining money.
sequently Russia got around the presi-
NJ w H..
fishing credits in the United States for
the purchase Of supplies. particularly
munitions of war.
Now Germany is negotiating a
credit Of $10,000,000 in Chicago and
New York.
Therefore nations on both sides Of
the war have arranged for credit loans
and the United States can not be
charged with unneutral conduct.
Quotes Bryan on Loans.
With the proceeds of the credit loans
the allies have purchased munitions
! of war. These munitions have been
shipped to England, France and Rus
STA. and their use has aroused intense
bitterness in Germany.
The bitterness of the German people
\ toward the United States is due, first,
to their belief that had not the Ameri-
\ can factories sold guns and rifles and
ammunition to the allies their cause
would now have been Victorious; and,
second. to the publication Of letters
stating that German soldiers had been
killed or wounded by American SHELLS
or American bullets.
I In his letter to Senator Stone Secre-
tary Bryan said:
There is clearly defined differ
/! erence between a war loan and the
purchase of arms and ammunition. The
policy of disappearing Of war loans
affects all governments alike, so that
the disapproval is not an unneutral
act. The case is entirely different in
the matter of arms and ammunition,
because prohibition of export not only
might not, but in this case would not.
operate equally upon the nations at
i war"
Germanys Sale Of Munitions.
Moreover, the fact is not lost sight
! of that Germany sold guns and am
Z lnunition to Huerta last year, to both
sides during the Balkan wars, to Tur-
key during the war Of that country
\ with Italy and to Russia during the
Russo-Japanese war. Again, If the
United States were to refuse to sell
munitions to the allies they would be
resentful and regard such refusal as
Il in the interest Of Germany. II the lat
ter country should gain command Of
the sea the United States would sell
1 her with much activity as it is SELL
ing to Great Britain, France and Rus
STA.
Germany does not regard her own
conduct in the part, however, as any
extenuation for the action Of the
United States. 1t is known that EN-
peror William feels the matter so
4 keenly that he has made as condi-
i ton OF his reception Of Ambassador
/ Gerard the prohibition by President
Wilson of the export Of arms to the
allies. Germany was keenly inter-
ested during the winter in the resO-
luton adopted in the senate by Sena-
tor Hitchcock authorizing the president
to stop the sale of munitions of war.
The. fact that congress did not act
upon the measure was a cause of real
/ regret in Berlin.
Opposes Arms Embargo.
The administration realizes that II
would play trump card so far as Ger
many is concerned to declare that no
further exports Of munitions
would be permitted. The president
made it clear in the closing days OF
the session that be Is opposed to an
embargo Of any kind. But there Is a
feeling in administration circles that
the bankers ought to go slow in max
ing credit loans: that 1t would be in
the interest of peace il it were made
l as difficult as possible for foreign ma
tions to obtain supplies with which to
carry on military an dnaval operations.
/ and that the better plan would be to
1 force the belligerents to spend the
money they have in getting munitions
and thereby exhaust their resources
/ the sooner. e 20 ~ I
On the other hand the more money
the belngerents spend IN the United
4 states the more profitable will become
4 industrial operations and the quicker
4 this country will escape from the de-
i preston with which 1t has been ahfict-
1 ed
New York bankers have laid all the
j facts in connection with their opera
lions before the president and secre-
i tary Bryan. These have been care
fully considered. It was intended to
j issue a statement this afternoon, but
lit was determined to reflect on the
matter, because the announcement 81
! the policy Of the administration Will
l. ~ - U.