The sun., 1917-03-23
President Will Ask Con-
gress to Authorize
Financial Aid.
TWO PLANS UNDER
CONSIDERATION NOW
Probable Course Will BE
Loan of 81, O,OOO.OOO to
U. S. Government.
ENTENTE BONDS
TO BE COLLATERAL
England, France and Rus
sia Will Be Able to Buy
All Supplies.

WARRINGTON, March 22--When Presi-
dent Wilson goes before the special
session of Congress on April to ask
for power to use the military forces
of this country against Germany's sub
marine campaign he will in all prooa-
bilty lay before the joint session
plan for raising credit of $1,000, ,00o.-
600 in the United states for the benefit
Of the Entente Allies.
The correspondent OF THE Sun is In
position TO state that the President
has definitely decided on this course of
action once the United States is actually
in the conflict. 1t is possible that in
stead OF notifying Congress OF his wishes
in this regard at the opening joint ses-
sion he may address separate COM
munication to both houses few days
after the special session has convened.
Two Plans Considered.
In the minds Of the President and
Administration officials are two plans
for raising this credit, one OF which
will be selected before Congress begins
its work. OF these plans the one which
as the more feasible by prominent
bankers who have been called to WASH
irgton for consultation is official au-
thorIzation by Congress OF a loan 10 the
United States Government of sl.ov0.-
O00, 200. or this amount 1t Ia proposed
to Use s5o0.000.000 by this Government
to finance its own preparations for de.
fence, while the remaining $1,000, ,ooO,oo0
would be turned over to the Allies to
purchase whatever supplies they might
require from this country. The otheI
plan Is to raise a loan similar to the
during the opening months of the war
having 1t guaranteed by the United
States both as to good faith and pay
| ment.
Either OF these loans would pc a direc
| obligation of the Government5 % Grea
Britain and France and others Of th'
allied countries that might require
share in the credit, but in th'
event the former plan is decided
upon---and that appears most likely
! the Government of the United State
would take bonds and notes from TN
foreign Governments as collateral. Will!
in the second plan the loan would b
unsecured. 1t is probable that certail
legislation would have 10 be passed. b.
| Congress before the Government wJu
have the power to carry out fther rlar
but in view OF the support wh,cn ha
been promised to the President il is no
considered likely that any difficult
would be encountered in this respect.
Bankers in Washington.
Definite information obtained By tn
correspondent OF THE Sun to-day q
the plan of action OF this Government i
the event of war explains the visits c
many important bankers and busines
men TO washington within recent week!
and likewise explains the frequent visit
Of members Of the Federal Reserv
Board to the financial district OF Me-
York. Certain Administration Official
have been in almost daily communica
tion, with bankers all over the countr
regarding credits for the Allies, an
many of the most IMPORTANT fnancis
1men in Wall Street have been actin
in an advisory capacity. When tn
United States has actually entered tn
war, II became known to-day, some {
these men will In all probability becom
members Of the ADMINISTRATOR officii
family. To that end there Is likely
be an enlargement OF the Cabinet tp II
clude one OF the most capable financiei
in. the> country.
The recent turn in events and the di
closure of the fact that the Governmei
contemplates providing a huge credit (,
, the Allies are believed to explain in larl
mart the action of the Federal Reser,
. BOARD some weeks ago. when II withdre
its objection to foreign government loai
, in the United States There Is also rel
. son to believe that when w. +, u. Har,
ing governor Of the Federal Reser,
Board, advocated in an address befo
the Quill Club 6f New York that Il
Allies be given credit of $1,000 00O. .0'
in the event Of war with Germany
was acting In an almost official capaci
and speaking with the consent and II
approval Of the Administration.
Credit Plaa Foremost.
II is known that the Administrati,
has given more thought to the credit pli
than to any other action the Unit,
States might take In the event OF Wi
excluding. of course. home defence, r
suggestion OF sending a military expet
tion TO Europe has received but sea
attention from Administration officia
although plans for naval cooperate
with Great Britain have been discuss
thoroughly. The movement to place
most unlimited credit at the disposal
the Allies has the backing OF large bu
ness men and prominent bankers. TIL
are ready to give the fullest cooperate
TO the President. and have assured t
Administration that there would
virtually no limit to the credit the All
might obtain once the plan had the
ncial approval Of the United States Go
srnment.
Tho aid to the Allies, It was point