South Bend news-times. (South Bend, Ind.) 1913-1938, 1917-04-11
Ways and Means Committee
is Unanimous in PIedging
Support to Recommended
ton of Administration.
WILL BE GREATEST IN
HISTORY OF THE WORLD
Three Billion Are to be Loaned
to the AIIieS-WiiI Bear
Three and a Half Per-
cent Interest.
International Vow. Services :

international News Services;
WASHINGTON. April The
administration won its first victory
this afternoon in its battle to line
congress up for its way OF conduct
ing the war with Germany. Follow
ing a somewhat lengthy session %
the ways and means committee OF
the house that body unanimously
agreed 20 favorably report the bond
and certificate issue bin carrying
with il am issue of $1,000. OOO.0 900
The republican opposition. which
manifested itself earlier I'm the day
in a demand for additional facts re-
garding the necessity of such an
enormous credit. faded away and the
committee report was unanimous
Rep Rainey announced that the
measure would be taken up and IN
doubtedly passed on Friday Origin
ally il had been intended 20 seek ac-
ton tomorrow. but it was finally de-
cided 10 postpone 10 an additional
day.
Republicans declare that no par
tisanship will bee shown in the de-
members. as indeed, democrat hnan-
cial experts, are impressed 10y the
scope of this undertaking. conceded
TO be the greatest bond issue I'm the
history of the world Republican
criticism of the measure has been
directed against the unlimited power
which the bill confers upon the
president in administering the fabu-
lous amount of money made avail
able by the bond issue This phase
of the legislation is sure 20 come UP
for scrutiny when debate on the bill
is opened in the house.
Redeemable i'm Year
The bill 20 be reported 20 the
house is, with the exception OF very
minor changes, the one which was
sent up 20 the house by Sec'y Nc
Adoo. It provides for a bond issue
outright of $1,000, OOO.0 900. with
80. 600. O0O. 600 additional I'm certin-
Gates Of indebtedness. The latter
certificates are redeemable az the
expiration Of one year and will be
taken care OF by the revenues 90 be
raised by the first annual install
ment OF the war taxes vet 20 bc de-
vised
Three billion dollars Of the bonds
are 10 be the basis OF "A loan 20 the
allies under terms 70 be stipulated
hy the president and the secretary
of the treasury. The securities
which the president is 10 purchase
are left entirely in the executive
discretion.
The only limitation is that the
obligations Of foreign governments
20 be acquired shall not exceed three
billion dollars.
To Establish Credit
The title Of the bin sets forth that
il IS for the purpose Of establish
ing credit On the United States for
foreign governments The admin
.etration itself viii be- The Judge 20
the securities 20 be purchased This
phase OF the bin caused some com
ment among republican members ~
the ways and means committee.
Both the bonds and the certihcates
Of indebtednel- are 90 bear interest
ar 90 per cent DO order 20 obtain
uniformly bonds already author
ICED but NOT set sold for such eE-
penditures as the purchase ~ the
Panama canal. Alaskan railroad and
the government nitrate and armor
plante are 20 he converted from
@ 20 an per cent FINANCIAL experts
figure that the financial measure
which is 70 be brought before the
house today Iays per capita Habu-
sly OF SO on every American re-
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