The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1918-11-23
SUCCESSOR TO
M'ADOo STILL
IN DOUBT IN
WASHINGTON
Resignation Caused by Need to
Replcnish Personal Income,
Secretary of Treasury Says
May Practice Law.
ACTION IS UNEXPECTED
(By Associated Press)

WASHINGTON, Nov. 90. - Giving
necessity for repien1shing his personal
fortune as reason, William McAdoo
mas resigned as secretary of the treas
ury and director-general of railroads.
Ills resignation has been accepted by
President Wilson.
AS secretary of the treasury. Mr..
McAdoo will retire as soon as sue
cessor has been chosen and has quail
ned. He will relinquish his position as
mead OF the government controlled rail
roads January /. unless a director has
not then been selected
The resignation of Mr. McAdoo,
which he. himself. announced at con.
terence with newspaper correspond.
snts. late yesterday was entirely un
expected in Washington. After max
Ing the announcement. Mr. McAdoo
made public his letter Of resignation to
the president bearing the date of No
vember IA, and the latter's letter of
acceptance.
Inadequate Compensation.
Saying he had refused to consider
resignation while the country was at
war; Mr.. McAdoo wrote the president
ibat the inadequate compensation
allowed by law to cabinet members,
and the very burdensome cost of liv-
ing In Washington. have so depleted
my personal resources that | am
obliged to reckon with the facts of
The situation" While emphasizing
that he has not suffered any actual
Impairment of health. he said he needs
"A reasonable period of genuine rest
to replenish" his energies.
Neither In his letter to the president
nor in his statement to newspaper cor
respondents, announcing his resisna-
tfon. did Mr.. McAdoo outline his plans
Tor the future, but It is understood he
intends to take q vacation OF several
months before returning to business,
probably the pra ctice of law
BY the resignation. President Will
con. for the fourth time in nearly six
years OF his term of office Is faced
with the necessity of filing vacancy
IN his cabinet The resignation of Mr..
McAdoo took official Washington so
completely by surprise that even to-
day there was little speculation as to
mis- successor or Successors. 1t is not
known whether the President will fill
separately the Offices of secretary of
the treasury and director general of
railroads. I'm some quarters. 1t was
thought toda, that the president may
decide to make some other member of
the cabinet head Of the nations rail-
road system. In such an event it was
considered likely that place would go
to Secretary of War Baker, Postmas-
ter General Burleson, or Secretary of
the Interior Lane. Should the Presi-
dent decide tc. go oitside his cabinet
Tor directorgeneral. the name of
Walker ID. Hines, assistant director
general Of the board of directors of
the Sante Fe, was mentioned.
For the treasurer secretaryship the
names OF John Shelton Williams,
comptroller of the currency; w. f. G.
Harding, governor of the federal re-
serve board; Russell C.. Leffingwell.
assistant secretary of the treasury and
nj Warodrs. formerly member of
reserve board, and New York
ser, were mentioned today
Tasks of considerable magnitude
y IL face MIR. McAdoo's successor as
secretary of the treasury. Probably
two more liberty loans will have to
be raised, the nation financed through
the reconstruction period, and the re-
vision of revenues arranged and in
creased taxes collected. The new
secretary also will be called upon to
reoc mmend to the pre;1 lent for APP
rcintment new member of the fed
eIal reserve board TO succeed Freder-
lex A, Delaro. who recently resigned.
Previous 10 announcing his resigna-
ION yesterday, Mr. McAdoo stated
specifically that he had no thought
Of going to Europe. which was taken
as meaning he would not be one Of
he American delegates to the peace
conference.
Mr.. McAdoo said he had no idea
who his successors might be, and ad-
ded that he would make no recommen- ,
dations to the president
Regardless Of the appointment to
the treasury post. it is considered i'm /
probable that there will be any great /
change in future fiscal policies of the /
War bonds of snort |
to the sum Of about eight |
billions probably will be floateo in |
1919 as planned by Mr. McAdoo and |
his treasury advisors. Before he
leaves the treasury, Mr.. McAdoo will /
prepare recommendations to congress |
for legislation to change the war fin
ance corporation into peace fin /
ID. thereby permitting it to finance
industries during the readjustment |
period. The future of the capital is
sues committee is uncertain and the /
attitude of Mr.. McAdoo's successor
may have much to do with its course.
AS for the railroads, the new direct
Or general doubtless will have much
70 do with the formulation of policies
'or future management. Mr.. Nc
Adoo recently indicated that he had
planned to continue consultations,
pooling, short hauling and other re-
'orms looking to efficient operation.
'egardless of the fact that the war
is over. Opposition TO this
course row appears to be developing,
md the issue of whether railroads
ire to remain permanently under gov
,rnment direction and even govern
nent ownership. or be returned short
y to their private owners is taking
orm.