Saturday news. (Watertown, S.D.) 19??-19??, 1915-09-16
Adminiistr Ell
Not Fut sure ois
Loans to NE 4Ilies
Washington gIli Take No Part With
Reference to proposed siIltor,
Loan 10 the IIics.


Washing ton Sept roIn
official quart tors II was learned toaay
that the United States goaernnasn
neither VIII approve nor dsaa oge
the loan which 3 being nego gotiated 81
repres atiyes pf Isng land alld
France IN this country The position
taken Is that: the matter Has not been
drawn to the attention 81 the goy yerns
ment by the bankers and that aele
fore, they are free tos act 81 their
own accord, mas snuch Is tllese ii no
legal obstacle In the a of the TIA ilss ss
action
Commenting On the foregoing the
ST Paul Dispatch news column ns con
tain the following;
American bankers have not antici
spated q collateral loan from Emf land
aud France, according to u. Bailey
president Of the First National bank
MFR Bailey said yesterday that AN
loan made BY England and France
ought to be sound, regardle of III
ture loans
Little Trouble Foreseef1.
Mr. Bailey's view Is held bg other
leading bankers Of St Paul and li:ile
trouble Is expected In fioating the 81 ,s
900, 900 900 On which James n HI
iii. r. Dawson, j. Fl Morgan and other
American financiers are working il
New York.
ss Loan is Necessary.
Theodore Schulze, president of the
Foot, schulxa co, said yesterday that
the loan Is absolutely neeessary #
the prosperity Of this country is to-
continue. w. B. Dean and othes
prominent business men, say that the
proposed loan Of 81 o0e,0Do'o00 to the
English and French governments Is
necessary and important
Federal Banks In Loan.
That the federal reserve banks win
have to take a hand III the $1,O00.O00,
900 loaK to the allied governments is1
certain. Many banks are preparing to-
take a large amount of The loan and
this. will necessitate rediscounting in
the government banks. +
Theodore Void, governor Of the
Ninth Regional reserve bank said
last night that he does not anticipate
heavy rediscounting Mr. Wold's
view is not held by bankers who ex-
pect to take d part Of the loan.
Holds Loan Necessary.
Mr.. Void said that the loan is abso-
lutely necessary. but that very little
II any Of the money will 30 out Of
the country.
1T will be used as a credit balance.
Mr. Void said. At the loan is not
made we cannot maintain prices for
our crops. Z 81 Nc
Bankers are unwilling to be quoteds
in the matter because many persons
do not understand that the loan is5
not strictly a war loan. Expression
scondemning the loan was heard from
many Germans IN st. Paul and Min
neapolis Monday.
Force Vast Rediscounts. i
B e Is almost certain that the loan
VII run between $3.50, ,000, 900 and 81
ocs9,ooo, 900. Bankers say ii viii Be 4
impossible to make a loan this size
without vast sums being rediscountad
u the final analysis the United
States government will be carrying i
large part Of the loan. Just what &
embarrassment might be caused the d
government at Washington IS q mat
Ter of concern with bankers.
fi ne loan coming during the crop
MOVING season viii tend to make the
'edlsco counting much greater fhan il s
you'd be during the winter.
ammunition, all the Lublin- Chelm ina
nd thss Rnssian positions could have
zen effectively defended Russia
"a aalls oillcers even go SO FAR Al II, say