Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1917-08-02
SECOND LIBERTY LOAN
CAMPAIGN Is PLANNED
Great Drive for $4,000, 100000
Promises to Overshadow Sue
cess of First Canvass
TO START NOVEMBER Is
Much of First Organization to Be Used,
Important Conferences Already
Having Been Held
WASHINGTON, Aug. 2

WASHINGTON. Aug. 2
To sell the second Liberty Loan bonds a
campaign is being planned which will over
shadow the organization and publicity
which made the first bond issue such a
great success. Much of the first organiza-
tion will be used, conferences with district
Liberty Loan committees and prominent
bankers from all parts of the country al
ready having been held
The second Liberty Loan--for s3,000,-
00O. .000-will be launched November Is,
Treasury officials said today. Before that
time 1t is planned to issue nearly a billion
dollars in Treasury short-tme certificates
to meet immediate needs.
on top of this situation comes the crop
moving season. With labor high, with rail-
road rates at a mark which is enabling IN,
lines to show net revenues in excess of what
they were a year ago, despite the fact they
did not receive the desired fifteen per cent
rate increase, and. with nearly every other
element in the commercial system involved
in an era of unprecedented high prices, the
people soon will be in the midst of vcrt-
table maelstrom of public and private
financing
When the first installment of $4,000, ,OOO,-
600 of the Liberty Loan was offered ana
so freely subscribed. the banks of the coun-
try had no especially pressing demands
upon them but the country now Is tacing
the crop-movng se~son, when the banks
will he called upon by private business Tor
millions Of dollars to handle the harvest.
It is not doubted here that the Govern
ment and people will rise to this OCCASION
but 1t Ia recognized that this seasons
! achievements will be an interesting test OF
| the resourcefuness of the American peopie
| under trying circumstances.
Steps are being taken to meet the eVentu-
| ality Senator owen in the Senate ana
| Representative Fisher In the House nave
| offered bills to amend the Federal Reserve
! act to empower the board to suspend the
| law preventing national banks or member
| banks of the Federal Reserve system TO
| lend to exceed 10 per cent of their capital
and surplus to any one firm or Individual
| The purpose of waving this prohibition Is
| TO enable banks to finance crop movements
| for farmers with heavy harvests. and Tor
| companies who pay the freight and other
! cost of moving crops which they buy'
| Under the terms of the measure, the
| crops will be made security for the loans
The check on this system is a provision
| for regulation by the reserve board. The
| suspension of the prohibition against such
| loans would be abrogated at the end of the
| crop-moving season to prevent abuse of the
| privilege.
| In previous years. the Treasury has de-
posted money with Federal Reserve banks
| to enable them to assist farmers in crop
| moving This was considered desirable
| when there was no Liberty Loan in the held
| to compete for the crop-moving money.
| A reversed situation now will prevail. In
! stead of putting money In the banks to
| help move the crops the Government Will
| be compelled to take out vast sums.