East Oregonian : E.O. (Pendleton, OR) 1888-current, 1916-10-30
PARADE AND CHAMBERLAIN
SPEECH GILMAN WILSON DAY
CONTINUED from Page u

the very beginning. campaign OF
criticism Of the president without
single constructive suggestion
Senator Answers Charge.
The senator met the oft repeated
charge that the country had never
suffered a panic under republican adj
ministratlon by citing the panic of
1873, OF 1893 which came so close aft
er republican administration that
there was not time to enact or repeal
statute passed by the prior congress,
and Of 1907, which oregon people still
member as having occurred under
/ Roosevelt's administration. He dis
cussed the absorption of the Tennes-
see Coal & Iron company of the
steel trust" in 1907, by permission OF
] President Roosevelt, and characteriz-
ed it as Surrender TO a group OF
wall street financiers, including I'M
munity from prosecution for violat-
ing the Sherman antitrust law, a sur.
render not in the interest of the peo-
pie but Of the money power of the
nation"
Discusses New Legislation.
He discussed the federal reserve
act, told of the efforts of Wall street
financers to deI pat It by threat Of
a panic worse than that Of 1907. and
of how wilson blocked this threat by
opening the United States treasury TO
tkn ,,aonla 81 tha country
Passing from that act the senator
discussed the rural credits act. which
he said was companion law, since
while the former put the finances OF
the country on a firm basis and made
panics impossible in the future, tho
latter gave the farmer opportunity to
secure adequate credit for the devel'
Opment of his farm.
1.-THE farm loan act goes hand in
hand with the federal reserve bank
act as great piece of constructive
legislation" he said 1T resembles
that act in many ways. It divides tho
country into twelve great farm loan
districts with district loan bank In
each. II provides that each Of these
banks shall have a capital OF $3.50, 600
which capital, II not subscribed In full
by the people of the district. will be
completed by the government. 1t pro,
Vides that ten or more farmers may
band together in a farm loan asso
citation for the purpose of borrowing
money to improve their farms. 1t pro
Lot CO.
up to so per cent of the appraised
value Of his improvements. And 1
puts the lOaning and handling OF thi.
money In the hands of the farmer
themselves.
law Means Much.
The law means great deal tC
the farmers of Oregon, and It wa.
a long time promised the senator
said. "The farms of Oregon are mort
gagged for S35 500 600, and the aver
age rate Of interest is per cent. Thi
means the. farmers of the state arr
paying each year &2,s42.OO0 of tn
profits of their farms to the money
+ lenders without making any payment
TO reduce the principal.
"The farm loan board has fixed tn
interest on farm-loan bonds at pc
cent. and the interest on loans to tn
farmers at from 4 1-2 TO per cent
THE annual interest oregon farm
ers would pay on the existing mort
RACES at per cent would be $1.776,
600. or an annual interest saving o
81, i,O66, 600
VIII DO More.
but the act will do more thal
this'' the senator said. "Tf a mai
horrows Of the school fund at s pc
cent. he must pav al NJ his interest
and nj he end Of 10 years II hts con
tract Is closed. must repay tho nrin
clpai sum. Under the amortization
plan of the rural credits act II tn
borrower were 70 repay 1T the rat
OF 6 per cent on the PRINCIPAL borrow
ed he would nay off both princ'pa
and interest and cxtingu'sh the doh
NJ the end OF 25 to 10 years. as pro
vidpd by the law"
The senator said the same grou