The sun., 1917-03-27
House Leaders Confer With
Secretary Lansing on
Legislation.
ESPIONAGE BILL
AMONG PROPOSALS
Measures Also Will Provide
for Meeting Conditions
Approaching Conflict.
GIFT OF A BILLION
OPPOSED BY ALLIES
Entente Favors Lifting of
Restrictions on Credit
by This Country.

| WASHINGTON, March 2e.-The draft
ing OF resolution containing a fiat
declaration OF war instead OF an indi-
rect formula that state Of war exists
by virtue Of the actions on the part Of
the German Government is under con-
sideration by Congress leaders. The
advisability OF such a resolution was
discussed to-day by members OF the
Foreign Affairs Committee Of the
House after an extended conference
with Secretary Lansing.
Three Democratic members OF the
old committee who will in all probahil-
!,y retain their places during the
forthcoming Congress. Congressman
Flood, Virginia. and Representatives
Harrison and Ragsdale, were called to
the State Department TO discuss pro-
spective legislation. That this will be
more extensive than many members of
Congress anticipate was indicated by
Mr.. Flood. who estimated that the ex-
ira session beginning next Monday
would last three months.
Espionage Bill Discussed.
Tho three Representatives and the
Secretary Of State went over Informally
the legislative programme contemplated
by the Administration. This includes
not only the resolution carrying out the
recomme nd atoms the President Is ex-
pected TO make In his message to Con-
gress but also various measures invest.
ing the Government with authority 10
meet various problems arising out OF a
condition OF war. Among others prob
ably will be the espionage bills giving
the Federal authorities power to sup
press the hostile activities OF foreign
subjects and a censorship bill.
No definite conclusion has been
reached apparently upon any OF these
matters. nor IS there reason to believe
that the policy Of the Administration
in this respect has been fixed. But the
advisability of making a direct deciara.
tlon OF war instead OF putting on Ger
many the responsibility for the opening
Of hostilities In the formal resolution to
be passed by Congress Is under con-
sderaton.
The course TO be followed by the Ad-
m'nistration undoubtedly will be de-
termIned in some measure by the con-
ferences t. be held during the present
week between the executive officials and
members OF Congress, The meeting OF
Secretary Lansing with the three ma
tcrity members Of the iIouse Foreign
Affairs Committee was the frst OF
series which will be held to lay plans
for the approa ching session Mr Lansing
has already discussed tho situation with
senator Lodge. the ranking minority
member Of tho Senate Committee on
Foreign Relations. Later IN the week
he will confer with both Democratic and
Republican members Of the House COM
mttee
Ariies Oppose Gift.
The Governments os tho Entente
Powers attach the greatest importance
to the fnancis, assistance which tho
United States may render after a state
Of war IL formally declared with Ger
many. but do not favor the idea of
81 900. 900 900 or any other lump sum
being presented MS n matter OF sppre-
citation or charity TO any one OF the
Powers. The suggestion made In GER.
tain Quarters here has not struck
circles. Their Governments, according
10 authoritative information, feel that
this measure Ia unwarranted. unneces-
sarv and likely 70 create an unfavorable
IMPRESSION.
One plan which the Entente Govern
ments particularly indorse Is for the
United States TO remove certain restric-
tlons 10 future loans which will have the
effect Of placing badly needed funds at
their disposal, which funds would be
guaranteed by the pledge and honor OF
,ta debtor nation instead OF by collateral
security which they have heretofore had
to advance.
Entente diplomats say that thlr action
could be taken under existing law I'm
tho United Statee by empowering the
Federal Reserve Board to eliminate this
so-called collateral security clause. 1t
ls frankly admitted that both Great
Britain and France have been embar-
ra ssed by the insistence OF the Federal
Reserve Board that such collateral be
required. In some cases American
securities have been advanced az col .
lateral and In other cases other means
have been adopted 10 satisfy the neces- /
sary requirements The feeling mean
while has been prevalent that great !
financial aid would he rendered by the
United States accepting the simple /.
guarantee OF the Government to make
good its obligations.
In erect the guarantee Of The Frenci. /
or British Government in one sense I
would be tantamount to guarantee by |
the United States, II Is said. once the !
United States becomes an active ally of |
tho Entente and pledges its resources,
military, economic and financial. 10 the |