The Washington herald., 1918-06-03
WAR PROFITS
MAY YIELD UP
j 80 PER CENT
Some Senators Determined
to Go Hard After
Profiteers.
BORAH ASKS FOR FACTS
Hearings on New Revenue
Bill Will Begin
Thursday.
BORAH ASKS FOR FACTS


% per cent Of all war profits is the
aim OF a group of Senators who have
made up their minds to go after the
war profiteers. They intend to bend
every effort to have the new measure
include provisions which will allow
not more than 20 per cent of the war
profits to go into the pockets now
claiming them
Senator Borah's speech in the Sem
ate last Saturday sounded the open
ing of the battle that will be made
against excessive war profits. Today
he will call up his resolution calling
upon Secretary McAdoo to give to
the Senate all the information re-
garding swollen profits in possession
of the Treasury Department. He VIII
ask for immediate action upon the
resolution so that the Senate may
have the groundwork for its action in
applying suitable taxation to the
profiteers.
THE Treasury Department either
has this information or it has not.
Senator Borah said yesterday THE
President has said that the depart
ment has the information. / believe
the President knew what he was talk
ing about. Therefore, l am asking
the Treasury Department to L.. this
Information before the Senate 50 we
may know how to proceed"
Renewal of Fight.
A large number Of Senators are
getting ready to back up Senator
Borah IN his demand for action
AGAINST the PROTECTING class. II VIII
bring a renewal of the fight started
last fall when the revenue bill was
being considered. when BOrah, john
son, of California, and other Sera-
toors tried to have the excess profits
and war profits scales revised up
ward. At that time they were unsuc-
cessful, but now, with the President
openly supporting the issue, they be-
lieve they will have small trouble IN
winning their fight
Il think almost anyone would ad-
INIT that during times like these 20
per cent Of war profits added to the
normal excess profits should be
enough for any man to take as the
profits Of his business" Senator BOrah
continued. In England, long ago
they began to take 80 per cent. The
present law takes an average of 81
per cent The scale runs up to 70
per cent. but the average under our
law is only q. so that we are favor
ing the business interests which are
making these huge profits to that ex-
tent. We should reverse the order
and take 20 per cent. leaving them
20 per cent, which is enough"
Try to DI.suade Bornh.
Some of the conservative Senators
attempted to dissuade Senator Borah
Ak tNa
war profits issue at this time. They
urged that he should not introduce
his resolution until after the revenue
bill had been passed by the House
and had reached the Senate. They
also asked him not to speak on the
subject until later in the session.
Senator Borah replied that he saw
no reason why the issue should not be
made plain at this time. He said the
President had stated that evidence of
profiteering exists and for this rea-
son, IL for no other. he felt that the
Treasury Department should be asked
at once to give this evidence to the
Senate.
The hearings upon the bill before
the Ways and Means Committee of
the House will begin Thursday. Up
to this time. some ten or a dozen
corporations have signified their de-
sire to be heard.
In the meantime. the Treasury es-
Inmates from Mr.. McAdoo are await
ed. 1t is expected they will arrive at
the Capitol today. Daniel c. Roper
Commissioner of Internal Revenue.
has been preparing figures showing
not only what revenue has been re-
ceived from various sources Of taxa
al 80
strating the effect the present bill
has had upon business throughout
the country. These statements and
figures will afford a working basis,
both for the House and Senate COM
nittees. For the Senate committee
expects to start to work on its own
hook. not a great while after the
House committee hearings begin.
Question of Adjournment.
The question of adjournment for
part of the summer seems still a sub
ject of dispute. Some Senator'S, for
instance Sherman, of Illinois. do not
believe there will be an actual recess
nothing more than an occasional
weekend. However. Senator Simmons.
Committee, and Senator Martin, the
Democratic leader. both wish to re-
cess II possible June 20. and failing
that. July l.
Opposition to adjournment Is de-
veloping more IN the House than in
the Senate. Members Of the House
waterpower Committee object to ad-
journment. as they believe that by
remaining here they may yet secure
an agreement upon the administra-
W1IerDOWPF
which has been for a long time hung