Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1918-02-23

< "Stnry is no idler and in such quiet mo-
ments as may remain after he disposes Of
the foreign ambassadors who come to him
for financial aid, or after exhaustng
speech or two on Liberty Bonds or war-sav-
lngs stamps. lie coniures new methods OF
finance in order that the outgo of today may
be replaced by the income of tomorrow.
1t was observed after the taking over of
the railroads that there We're new financial
heldS to conquer: that there was misdirecton
or waste of investments That many men and
many enterprises capable OF giving efficient
war service were unable to obtain funds in
the ordinary banking channels Of profit In
bank loans. or through lack of confidence
ana that large sums of money were being
used Tor other than war purposes that is
10 say they were being applied to so-c"lled
nonessent'al industries. Hence. the necessity
Tor the War Finance Corporation bill. an
other great measure, equal in Importance
some think, TO the railroad control bill
Who is to head the War Finance Corpora
ton? Answer: Mr.. McAdoo. What In brief
Is the purpose of the War Finance Corpora
ton? First to obtain $500 O0O. 900 from the
Treasury to start it in business Second, with
the capital thus secured to issue as high as
$4'OO0,OOOOO0 of bonds or certificates to be
used TO aid banks, corporations or indus.
tries, Whlch on their own account, or by
lendlng money to others--legitimate pro-
moters included--are engaged in the pro-
duction OF war munitions from the rarm or
factory or intend to do so. Third, to give
or refuse license TO any individual or cor
poration doing a business OF 100000 or
over before any such individual or corpora
ton or enterprise can issue securities of
any kind.
"The Big Stick"
NO mincing of words about it, the War
FINANCE Corporation is to be the big Stick
over the Investment market, even to the ex-
tent OF Withdrawing support from new issues
OF state, county or municipal loans for public
| improvements, IL, in the judgment of the Sec.
| retary or the Treasury. head of the Federal
lteserve system. Director General of Rail.
roads and chairman of the War Finance
Corporation. such investment might tend To
uiEert the hnanclal resources from war chan
| nels' Assist water power company whose
paper banks no longer accept? Yes, IL that
| companys needs can be proved up to the
| war FINANCE Corporation as being helpful in
| the prosecution OF the war. Assist company
which desires to construct and operate a
| tourist hotel In Yellowstone Park? No
PROBABLY not. That might be held to be nom
| essential Help the railroads? II they can
tons. yes, II by such advances transporta-
| tion for war purposes may be facilitated
Such. IN general way. is the meaning of
the new War Finance Corporation There is
ereat aeai or concern about 1t. and much
| complaining on the part of investors who
think their rights to do business may be in
vaded or temporarily denied but the con-
sensus OF opinion is that Mr.. McAdoo will
have his way. The President is behind him
and the people are supposed to be behind ths
| President. ~
Responsibility wears well with Mr. Nc
| Adoo. He Keeps his public engagements. an.
pears cheerfully before committees of the
| House and Senate, speaks freely and an
swers inquiries in rare good humor. He
| appears to be confident of his every move
No man In public life who comes before such
powerful bodies as the Ways and Means Com.
mittee OF the House and the Finance COR,
mittee OF the Senate Is more adept unde,
cross-examnation than Mr.. McAdoo.
-'' j. HAMPTON MOORE.