The Washington herald., 1917-04-18
SENATE PASSES BILL
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AhOOLO DfLL
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ernments. He thought that the 100000
900 would be far more useful in bringing
the war to an end II the expenditure was
made wholly within the United States.
He declared that the principle of the
proposed loan to our allies was bad
smoot Upholdx Loan.
On this point Senator smoot, OF Utah.
took violently opposite grounds. He said
that already the warning nations of Eu-
rope had expended the stupendous total
OF sos. Ooo, 10000 in the course Of the pres
ent world war. He thought that the
greatest benefits to the United States
would accrue through this loan to France
and her allies, now feeling the strain of
the war TO the utmost and deeply in
need OF the sinews OF war.
i vote for the loan to the allies" said
smoot" even IL I did not expect that we
wonld ever get back penny Of IT,"
senator Stone OF Missouri, advocated
a change in the bill which would de-
crease the amount of the bond issue by
5, ,oOooOoooo and increase the issue of GER.
tincates OF Indebtedness from s2,coe, 900, 900
to 5000 10000.
Senator Stone advanced the argument
that "it were better to pay as we CO."
and called the BILL in its present form, "a
mortgage on those who come after us,
and who have no part In what we are
doing today"
IL Senators Absent.
Shortly after o'clock, the votes on the
numerous minor amendments having
been taken. the Senate settled down to
the fnal vote on the measure itself. In
the call Of the roll eighty-four Senators
YAGn0ndaH -
the twelve absentees were called, coli
leagues or personal friends of each arose
70 announce that were the absentee on
hand he would have voted "aye"
The Senators absent from the chamber
at the time the vote was taken, all of
whom were either Ill or called from their
seats by imperative public business, were
Senators Bankhead. Gofr, Hollis. Husting.
Lane, Martin, Newlands, Smith, of Mich
igan: Smith. Of South Carolina; TiIlman,
Underwood and Warren.
Extensive arrangements already are I'M
oer way for the sale Of the bonds SEQ
retary McAdoo announced yesterday that
very shortly he would call upon the fnan-
cial leaders of the United States to help
the government dispose Of the securities
Conferences In addition to those con-
Quoted yesterday. will be held with lead
ing bankers OF the nation to work out
some feasible arrangement
Already tremendous difficulties are
looming up.
VIII Hold Conferences.
Secretary McAdoo Yesterday announced
that during the next few weeks he will
hold conferences with the leading in
vestment bankers OF the country with a
view to getting advice on the best means
Of handling the war bond issue. Already
word has reached the administration that
q big issue Of war bonds at once.
Secretary McAdoo yesterday held con-
ference with the members OF the Federal
Reserve Advisory Council, of which ]. p.
Morgan and other big bankers OF the
country are members The Secretary
asked these councillors to file with him
written suggestions as to how the dim
culties lying in the way of q successful
bond issue may be overridden. The mem
bers OF the council agreed TO do this. and
the Secretary will be equipped with their
advice within a short time
Most OF these councillors, who repre-
sent ths banking sentiment Of the coun-
try, feel that serious economic disorders
would result from the unloading Of a
huge bond issue on the country at this
time. II is understood that their recon-
mendations to the Secretary will include
q caution against putting out too large
a bond issue at hrst. 1t will be suggested
that smaller lots than the 5000 ooo, 900 at
FIRST contemplated be declared
oversubscription Sought.
The conference yesterday afforded the
administration the first direct word from
the outside banking world as to the ef-
feet of the war financing. The bankers
told Secretary McAdoo that It Is highly
important that the frst issue be over
subscribed. Otherwise the bonds are
likely to fall below par and make
second issue unpopular
Secretary McAdoo also held q con-
ference with the War Finance COMMITTEES
OF the Chamber of Commerce OF the
United States. This body. headed by w.
d. Simmons, Of st. Louis. Is seeking to
aid the nation In the raising Of funds
to prosecute the war. The committee
members told Secretary McAdoo that the
chamber Is preparing to issue a ref
erendum TO the thousands Of business
men who are members Of the organiza-
ton in order that the exact views OF the
business community, OF the nation may
be compiled and digested as a guide TO
government financing and conduct Of
business.
The referendum will ask the business
men how many bonds should be issued,
what the maturity and rate should be,
and how they should be marketed. The
machinery of the chamber will be speed
ed up to get the returns from this ref
erendum at the earliest possible date.