davidaulloa/AmericanStories huggingface dataset:
The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-07-14

Even all this would not knock the bond
out; for there is still another security,
security that can't go TO flinders, that cant
smash, that can't burn. AS security for
these farm lapd bonds there are pledged
United States Government bonds, or guar
anteed first mortgages on the farm lands
against which the bonds are issued. The
bonds are nothing but notes issued against
certain group of land values, pooled by
the Federal land banks and guaranteed
by Uncle Sam.
The Federal land bank issues money on
mortgages up to so per cent. of the land
values and 20 per cent. of the improve
ments. Then it sells bonds against these
pooled values That is, it issues bonds
against only so per cent. of its pooled
values, and Uncle Sam holds the stock Of
these Federal land banks.
| cant see any spot where an adverse
fate could squeeze these bonds below face
value. In fact, in normal and prosperous
times, when farming prospers, l cant
see why these bonds will not sell at the
real value of the mortgaged farms against
which they are issued, which would be 100
per cent. above par.
But this is not all that appealed to the
young bond house man who cleared $780,
100000 for his clients in three years.
These farm land bonds are exempt from
Federal taxes. They are exempt from
State taxes. They are exempt from mu-
nicipal taxes. They are exempt from
local taxes, and. O brother who had to
borrow from the bank to pay your income
tax, they are exempt from income taxi
Could Sell 100000, 900 Easily.
Now you know why those Federal land
bonds made such sweet and tasty morsel
the week Wall Street was swallowing he
role bitters in income and corporation
taxes. Surely, it was n stroke of genius
that sent the president of the farm loan
bank down to Wall Street to sell his wares
that very week. AS President Leonard
Robinson of the Springfield or First Fed
eral District said. Il could have sold 500
100000 of those bonds as easily as two or
one"
But these are not the best points in
favor of the Federal land bonds with the
conservative investor Do you happen
TO own outright any other bonds or stocks
just now-say rails or ndustrials7 Could
you sell them now for as much as YOU
paid? In nine out of ten eases on the
exchange just now, if YOU were compelled
TO realize cash quickly, you couldn't sell
except at loss. Well, these farm land
bonds are redeemable at par five years
from date Of issue, and they are redeema-
bic in gold They are acceptable at par
as security for all Government paper.
They can be passed in as postal savings
deposits, and they are a legal investment
for trust funds, for savings banks, for in
surance companies, which, as you know,
cannot buy all other forms of bonds.
The interest is payable by each and
every Federal land bank. Against the
bonds as security in the bank issuing them
o., foJJn,,;,, .o1,.l
The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-07-14

81 could as easily sold $6,0OO,0O0 as ST.
100000, and $6O,OOO,OOO as $4,000, 900"
The day after the sale the land bank
bonds were quoted at 1925.
This was the month of the Liberty Loan
drive. 1t was also the month when most
people were borrowing money to pay
their income tax and most corporations
were wringing out the last drop of blood
TO pay their excess profits and corpora
ton taxes 1t was also the month wheE
the public utilities were urging an In
crease in fares because they could not sell
Londs TO raise the money they needed.
Yet the land bank bonds went faster than
the land banks could supply them and
went up 81 plus over night.
Again, why?
And the land bank could have sold
;.6O,OO0.G0O more than it needed TO sell,
and this land bank represented only one
of twelve big districts betting the entire
country.
Again, butcher and baker and candle
stick maker, who have been telling the
farmer how TO do it for forty years, why,
if the poor dub farmer has been such
dclinquent-why are these land bonds SO
good?
Wis. Man Jumped for Bonds.
Why, hot air artist; why, kid glove the
orist; why, windy uplifter, if farming has
been the one industry on the blink, did
farm land bank bonds sell higher than
Liberty bonds or allied bonds or hot cakes
of griddle TO a hungry mobf Why did
one Of the most brilliant, clarvoyant &C.
muses. of tinaEce-a man, who has cleared
$l50,000,000 for his clients in three years
and is himself barely 40-why did he
jump for these farm bank bonds, these
clodhopper bonds. these Rube and Rural
ania scraps of paper, like hungry trout
for a fly? :.
Let us see why,
OF course. theoretically, laad is the
basic industry that can never run away.
but it can run away with an awful lot of
money, as investors of three decades ago
learned to their cost. when they loaned on
land up to twO-thirds of its value and saw
the land decline TO less than a tenth Of its
value. That was the era of the '90s, when
the farmers loan and investment banks
went broke like popcorn on a red stove
lid. What has happened to render the
investment so secure to-day, when it
wasn't secure thirty years ago?
First, the United States Government
owns over $S,SOO,OOO of the original issue
of the $9,O0O,O0O capital stock of these
twelve Federal land banks, created by the
act of 1916.
Second, each of the twelve banks is re-
sponsible for its own land bonds.
Third all twelve banks are responsible
for each bond.
That is, Uncle Sam is behind the bonds.
Twelve banks bossed by Uncle Sam are
behind the bonds. The special bank is
suing it is behind each bond. For that
bond to default, Uncle Sam would have to
go TO flinders. Twelve banks, with the
Government behind them, would have to
smash.
The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-07-14

what the S5O,OO0,O0O he had put into the
strong box in 1913 had amounted to by
1916.
1t isn't surprising when allied bonds
were put on the market by the great Wall
Street banks that this young mans firm
was invited TO join the four or five big
firms handling the sales of these foreign
bonds. He hadn't worn COW bell when
he made his moves, nor yet honked mo-
tor horn. | know his firm has not even a
press agent, but the Street knew he had
made as clever moves as the most sklliul
chess players about the international
financial board Also, it isn't surprising
when the United States went to war that
he was one of the four or five bankers
called to Washington to confer with the
Treasury on the financing of the war.
Yet all he had done from the first was
to foresee signs, read them Alright and
either discount them or cash in on them.
Sounds simple, but that is all he had done.
Likewise it is all Joseph did when he
stored corn LOT Egypt.
Personally have always wondered
whether Joseph got private tip from
some astrologic weather man or kept a
record of crop cycles when he was in
prison Yet that young bond house man
hadn't a weather sign more or less to
work on than you or |, if we had had the
ewes to see | relate the facts because
he has lately been up to some more clair
voyant tricks, and l want to trace the
facts he has been working on.
We all know that Congress in July of
1916 passed an act establishing Federal
land banks TO finance farm mortgages.
We all know, too, that land is a tounda-
ton industry and fundamentally agri-
culture is the soundest form of invest
ment Stocks and bonds may take to
themselves wings and fly away. Land
can't.
Why 1t Didn't Ring True.
Why, the butcher and the baker and
the candlestick maker have been telling
farmers that for twenty five wears, but
the ballyhoO didn't always seem TO ring
true; for the butcher and the baker and
the candlestick maker didn't go out and
farm themselves and make farming pay.
In fact, the public had a sneaking sus-
picion they didn't believe it; for when
n city man went farming it was a horse
Joke among his friends how deeply he
could go into the hole each year. | be-
Iieve this is commonly called subsoiing
Yet what has this young bond house
man been up to? The president of one
of the twelve district Federal land banks
came to Wall Street the other day to sell
some land bank bonds He was offering
them at l0l-5 per cents. The bond house
man asked for a quarter of million of
these land bonds Then he consulted his
clients. Two DAYS later he asked for an
ether quarter million of them
The next day he wanted all the presi-
dent of the Federal land bank had to sell,
but the president had already sold all he
had to sell. Some other Wall Street firms
had been reading the weather signs, too,
and, declared the Federal land bank man,
The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-07-14

! eaes4 IS apPRaisGo ON
4 THE LOAN COMMITTEE
8 AND LOAN - APPROVED ~
Z rtE eoaRD OF DIRECTORS
The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-07-14

(Continaed on following poge.)
The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-07-14

FORMS aTrESrEp ~ TIE
SECRETARY raCasUaEa
| AND JRnNShfiTTEp TO
rHg FEOGRal LAND BANK
The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-07-14

ELL OUT APPLICATION BLANK
ASKING Foa NOT r4oeG THAN
5oh o. rHr VALUE OF the LAND
2o1 o. rxs valuI or the oU,lpHss5
The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-07-14

SUBSCRIBE FOR 5HaRES
IN TINE NATIONAL FARM LOAN
ASSOCIATION. 10 IN AMOUNT
eeval 70 IS foR Iacn zoo o. toAs
The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-07-14

GICcr a PaCSioGNr
a VICE PRESIDENT a
Observation-Disclosures AND
A LOAN cosAAirrgg o. rnRCI
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
MAY PARADE TO
PROTEST RENTS

An antircnt hog demonstration
and parade by thousands Of ship
yard and metal workers was fore
casted by s. l.. Boldly. business rep
reHentative OF Seattle union en-
gineers Tuesday morning.
Boldly. who is n leader in the
metal trades council. said:
THE shipyard workers especially
have been suffering the affliction OF
ever Increasing rents for months.
They're tired OF inaction and unless
something is done speedily they're
going To get out on the streets Of
Seattle and give this city a demon
stratlon that will be long remem-
bercu.
THE metal trades council meets
this evening and we're going 10
make "A thoro probe OF the rent sit.
uation and take action OF some
kind"
Boldly alleged that real estate
firms and large landlords in the
city had entered into an agreement
to further boost rents September /.
Il tried TO pay my own rent for
IL months in advance" he said, and
the company refused to accept the
money. They even refused 10 &C.
ccpt advance payments for three
months"
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
GAS MASKS TO
HELP FIGHT ON
SUBS NEAR U. S,

WASHINGTON. Aug. is.-G~r.
man u-hoats now appear TO be op.r-
ating all along the Atlantic coast.
From New England 10 the caro-
iinas. the ara zcav~nscrH are exact
ing their toll Of fishing snaeks and
other snail vessels. and have even
gassed a lighthouse
The navy department today added
another victim In the Norwegian
steamer Sonorrtad. torr~doed off
Fire island yesterday morning.
Tho navy is taking all measures to
meet tho spectacular terrorist efforts
OF German u-boat commanders
Thus far. however. there IL no direct
evidence that any of the enemy sub
marines have bcen sunk. There I.
some cause TO believe that n destroy.
or which had brush with one Of
them dIspoaed Of IL
Secretary Daniels stated today that
all possible precautions had t-cn
taken to protect coast stations from
further gas attacks by U.boats
Asked whether gas -sasks had
been issued. Daniels said:
"oh. yes; We are doing all thos~
things"
The sonorstad. II was later reveal.
ed. was sunk only IS miles Off rirv
island
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
United Press
Summary Of
War Events

PICARDY fRONT-Thc French
have made gains on a wide front. in
creasing the danger OF enemy troops
In Roye, L-assigny. Ribecourt and
other places In this area Ribecourt
is being encircled. Americans and
British made gains north OF the
Somme.
VESLE-AISNE Amcri
can and French troops. by counter
attacks. have won back ground tenn
porarily lost in the Fismette sector,
north Of the Nesle river.
FLANDERS FRONT-A German
attack in the Merris sector was re
pulsed last night. The British took
prisoners In patrol encounters near
Nieux Berauin.
VOSGES AND UPPER AI.SACE
FRONTS-Attempted German raids
broke down last night.
ITALIAN FRONT-Italian and
Austrian airplanes recently engaged
in an air battle over the Adige valley,
in which Emperor Karl was review
ing his troops.
OBSERVATION-DISCLOSURES Won Hert.
ling and Foreign Minister Won
Hintze have been summoned TO great
headquarters.
RI SSIA-German troops are re-
ported marching on Petrograd. with
the intention of occupying IL.
NEUTRALITY-SUSPICIOUS. of Ger.
man landsturm are leaving for Rus.
STA
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
Schooner Crews
Arrive in Port
After Sub Loss

AN ATLANTIC PORT. Aug. Ia
The fshsnE schooner AcuShla arriv-
ed here today with IL men from tn.
fishing vessels Progress. Star Buck
and Helena May. all sunk by sub
marine off Georges Banks. The men
were picked up 40 miles southeast OF
Capc Cod
The crew Of tho schooner Mary A.
Sennett. which was brought to this
port. told % tho sinking Of the
schooners Old Timer and Cruiser
They declared tho crews OF these YES.
sells were shciled when they left their
ships and probably were killed.
The fishing vessels known To have
been sunk are the Progress. Helena
May. Earl and Netue. Reliance. Mary
\. Sennett. Star Buck. Kate Palmer.
Cruiser and Old Timer.
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
YANKS FIGHTING
HARD ON vESLE

WITH THE AMERICAN ARMIES
IN FRANCE. Aug. i2.-tNightt-
The Americans continue TO harass
the Germans north OF the Vesle,
varying heavy artillery lombard
ments with lightning like thrusts.
There was some infantry fighting
On the right wing Of the American
sector last night. but this morning
they were practically unbothcred
save for a German feint which failed
to develop into an attack.
The doughboys attempted to storm
the German positions on the heights
north Of the river last night, but
could not maintain their gains on ac-
count OF the heavy machine gun fire.
This was the second attack Of the
day, the Americans going over the
top from hastily dug trenches in the
morning.
Advancing north Of Fismette, they
drose the boches from a wood. cap
turing machine guns. which they
turned ON the fleeing enemy. The
Germans later counter-attacked and
drove the Americans from the wood.
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
CityCa nRegulate
Bread Loaf Size;
Why Not Rents?

Editor The Star: large number of the cities
in the United States have passed ordinances regu-
atng not merely the size but also price of loaf of
bread The bakers Immediately contended that such
ordinance unconstitutional and the supreme
court of the United States in passing upon the issues
held that such an ordinance the proper exercise
of the police power" conferred upon municipalities
and states.
II the supreme court will go TO such extreme
in protecting the exercise of the police power of
city. why should The Star apprehend that an ordi-
nance regulating the Rent Hog" should be held
unconstitutional? The controlling of the rents in
this city would be nothing than the prevention
of the fraud now being perpetrated upon the peo-
pie, made possible by virtue of the
Is there any particular reason to believe that
federal judge would refuse TO issue injunction
straining rental agency from increasing the rents
and compelling them to show cause why injunction
should not be made permanent? What is the pur-
pose and object of the federal legislation against
war profiteerng? Let's get opinion from the
United States district attorney.
The bar associations of the various states have
admonished the attorneys not to render services to
the Stacker or Hun. Why not bring pressure upon
the attorneys of Seattle to refuse to prosecute any
case on behalf of the Rent Hog II you can bring
that about, it would be much more effective than
statutes and ordinances.
The hardships caused by the Seattle Rent Hog
ana lnc herman Drute IN Belgium are on par and
equally condemnabe. for they both select the woman
and children as their victims One dollar increase
in rent dollar less food for the little ones
The Star is the only Seattle paper which has
the courage of its convictions, and it is up to you
to get the city to pass proper ordinance and get
injunction proceeding started in the federal court
1t would be interesting to find out how the cand-
dates for election to the legislature stand on this
question.
The Star has the facilities to compile list of
the owners OF the apartment houses in Seattle Let's
have their names and little family history of each
one. 1t is safe to say that the majority of them
have family trees which sprouted in Germany and
which they endeavoring to camoufage with
Liberty Bonds and Thrift Stamps purchased with
money extorted from their tenants. That is another
reason why they have placed their buildings in the
hands of agents A LAWYER
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
Six Men Struck by
Hun Sub Gas Wave

WASHINGTON. Aug i3-Six men
at the coast guard station. on Smith
Island. North Carolina. were Easscd
Saturday by n chemical wave sent
shorewards from German subma.
rine. the naval department has
learned
All the victims recovered after n
halfhours Illness \ flock of chick.
ems was killed and other animals
along the coast line exhibited signs
OF distress. The effect or the gas on
vegetation will be determined by an
investigation.
This is the first shore attack OF
any nature made by the submarines.
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
KAUFMAN Gets
5-YEAR Term

W. H. Kaufman. former county
assessor OF Bellingham and at one
time candidate for governor OF
Washington. was sentenced at Ia
coma Tuesday to five years in the
penitentiary.
Kaufman recently was convicted
OF making seditious remarks in
speech at Olympia in which he said
the war was started by profiteers."
and declared that Liberty bonds
were not a safe investment.
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
Asks Ship
Board for
: Big Loan
Petitions u. S. Body for
$500, 900 to Buy More
Street Cars Here
ADDRESSES COU NCIl

Seattle must own every mile OF
ear line in the city. There's not
.nough room here for the Puget
Sound Traction. Light 4 Power com
fsany and ourselves am in favor
OF taking over the traction company
at the earliest moment and paying
them for their equipment
This wa. the declaration Of Mayor
Hanson Monday afternoon before
the first city council meeting held
since his return from the East.
on top OF this statement. the may.
nx. Tuesday morning sent a telegram
70 A. NJ Taylor. chairman OF the di-
vision Of transportation OF the fed.
erai shipping board at Philadelphia.
requesting a loan TO the city Of $780,
900 TO purchase street cars 10 relieve
the transportation problems faced by
the city. The money would be repaid
After the war. according 10 the may.
o. plans.
sfhe mayor announced that the
traction company had been offered
money by the government at Phila-
deiphia TO improve Seattie's traction
system and build an elevated railway
here. and that they had refused. al
tho the money was offered at per
cent.
The refusal had been based on the
claim that the government should
absorb the difference in equipment
costs as they stand now and win
stand after the war. This the gov
ernment had refused to do.
Mayor Hanson forccasted the res
ignation OF c. J. Shepherd. Seattle
manager Of the federal reserve bank
OF san Francisco. whom the mayor
alleged had tried 10 block the Skagt;
plans in favor Of private power
n<-s nership.
An ordinance appropriaung sioo,'
600 TO be spent In development Of
the Skagit power site was introduced
at Mondays city council meeting BY
Councilman c. n. Fitzgerald.
The bill also directed the board OF
public works TO proceed with the
skagit project as rapidly as posi-
BILE
The 500 900 Is advanced TO the
board as a loan and will be repaid
to the city general fund when the
first Issue OF s1.50o.00o In power
bonds is sold.
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
Want KERENSkY
FOR RUSS CHIEF

WASHINGTON. Aug. i3.-Keren.
sky. one time hero OF the Russian
revolution. il being eroomed as the
possible leader to drive out the Bol.
sheviki and rc-establish his country.
/; was Indicated today.
lie is about 10 go TO Archangel. IL
Ia learned authoritatively. TO throw
his weight with the new government
OF the northern province. Observers
in some quarters expect an attempt
TO extend this government under
Keronsky's leadership. to all OF Rus
sia.
II is doubtful, however. Just how
the allied governments would take TO
kercnsky as the new Russian leader.
altho some groups in France. Great
Britain and America are working in
his favor.
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
MOONEY PLEA IS
SENT TO WILSON

WASHINGTON. Aug. 13.-presi.
dent Wilson today was formally pc.
titioncd by representatives OF labor
thruout the country TO use his pow.
ers as commander-in-ch OF the
army. to take Thomas J. Mooney
from control OF the California state
courts and see that he gets a new
trial.
\ memorial was left AT the White
House. and the president. IL was un.
derstood. will reply To the appeal
within few days.
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
Say Patrol Boat
Chased Submarine

AN ATLANTIC PORT. Aug. Ia
Passengers arriving today aboard a
British steamer reported they re
ceived wireless yesterday from a
l.. S. patrol boat, stating that a
U-boat had been sighted off Fire
Island on the New York coast. and
that other patrol boats were pursu-
Ing a.
Another wireless received nj n.
m from an unidentified Danish
steamer Is declared to have stated
that the steamer had been attacked
by a U-bont Off Nantucket light and
was sinking.
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
Huns Report More
Bolshevik Trouble

AMSTERDAM. Aug. i3.--Russian
dispatches received via Germany
detail the spread OF the anti Bolshe.
vik government
The Nialka Soviet has been over
thrown by social revolutionaries.
The Ural district has decided TO abol.
ish Bolshevik rule. \ revolution
has broken out in Kazan, and NJ.
Olshins<y, the Bolshevik leader. has
been shot while on the street.
In Saratoff. % townships have de
clarod against the Bolsheviks. In
Rysan and Novogorod, revolutionary
elements are reported to be slaugh-
terlng Bolsheviki.
The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1918-08-13
City LagS
Behind i'm
W.S.Quota
County Chairman Clarke
Calls Attention to NegIi-
gence in Backing U. S.
NOW S3,OOO,OOO SHORT

Seattle iA behind It's War Savings
stamp quota IL Is 81 900 900 behind
We arc asked to secure and cover
this amount by pledges" today de
clarcd {. H. Clarke. county chair.
man. in order that the treasury de
partmcnt may be assured OF def.
inlte amount from this city. IL is n
demand that must b. satisfied Tho
increase In hank deposits and In saw.
ings deposits in the bank since tho
first Of the year establishes the fact
clearly that the people Of Seattle
have the resources with which TO
meet this demand"
War Savings Stamps are a short
time loan to the government 1--WE
year loan. subject to call on ten
days notice. value absolutely guar.
antecd with interest added. No lndi.
vidual In permitted 10 inves, more
than $1,000 In these stamps.
War Thrift Stamps cost IS cents
each. These may b. saved until a
sufficient amount Ia obtained 10 So
cure War Savings Stamp. which
costs Stie The government pledges
to pay s. for this stamp in 1924.
Volunteer workers TO classify the
pledge cards secured June ~ are
needed II Seattle Is to equal her
stamp drive quota
only two offered their services
yesterday" said Chairman c. II.
Clarke at war stamp headquarters
IN the Lyon building. We must
have more"
Out OF 200 industrial War Savings
societies only small percentage
have passed the pledged sum up to
date.
Among the high scores now in the
$4,000 club are Frederick a Nelson
with Si3.70o and n membership OF
s7i. and the Ancs shipyards with
81 $50 and a membership OF ss.