Evening journal., 1919-02-11
GLASS WARNS new
I0lII IllU TIL
LUAN MAI TAIL
Secretary of Treasury Asks
Blanket Authority
on Issue
WANTS LIMIT RAISED
TO SIS, 900. 900, GOO

WASHINGTON. Feb. ii.--Sscreiary Of
The Treasury Glass yesterday asked
Consress for blanket authority to Ok
The terms snd interest rate or Inc VIC
tory Liberts Loan--a function reserved
by the legislative branch In all previ-
GUS bond authorizations.
In a letter TO Chairman Kitchin, or
the Ways and Means Committee, Secre-
tary Glass stated that the Victory Loan
cannot be Coated successfully under the
limitations imposed on previous Issues
and that he is not now able TO conclude
what the terms OF the forthcoming loan
should be.
After outlining the nations progress
toward readiustment from a war basis,
Secretary Glass said that he hopes that
the whole financial situation Will have
changed sufficiently 10 the two months
remaining before the loan Is launched
sthat we may look forward TO the sue
cessful issue Of the Victory Liberty
Loan on terms which today would seem
qalte impossible"
Secretary Glass submitted a draft OF
a bin amending previous loan authori-
zation acts and carrying the following
provlsions:
Increase OF the authorized issue OF
bonds from 10000. 100000 10 s25O00,0 ,000.
600 ThN would permit a total issue
Of $500 100000 In new bonds, as only
$1,000 200. 600 have been issued TO date.
Removal OF the limitation as to In
terest. "A te so far as regards bonds ma
TURNS not more than 10 years from
date Of lsA'ue.
Aufhorin'ng the Issuance OF not TO ex-
Deed. $4,000 100000 iof interest-bearlng,
noncirculatin,g notes having maturities
from one 10 Ave years.
AUTHORIZING the issue Of bonds and
nhtes payable az a premium.
CSnferring authority on the Secretary
Of the Treasury 10 dSermlne exemp-
tIons srom taxation In respect TO future
bond Issues and 10 enlarge The eXemp-
tions OF existing Liberty Bonds In the
hsrds Of Nlbscrlbers for new bonds and
notes.
ExcfnptIng from income surtsxes and
profits taxes all Issues OF liberty bonds
and bonds OF the war finance corpora
ton held sbrHad.
Extensian Of the period for conversion
of 4 per cent Liberty Bonds.
Creation Of a 21a per cent cumulative
sinking fund for the retirement OF the
war debt
Continuance ot the existing authority
Tor extension OF credits to foreign gov
ernments sftar he war.
Extension Of the War Finance Corpo-
rations authority so as to permit II to
make loans IN aid OF American com
merce. thereby supplementing the aid
which may hr given by the Treasury
an direct loans TO foreign governments.
Secretary Ghss's letter TO Chairman
Kitchen follows:
"NoV that the revenue bill has passed
lis House ! desire, In accordance with
me intmatl0n contained in my letter OF
.Ilrsary IS to you and my talk with you
4 gd Mr.. Fordney, 10 ask the chairman
Sr the Ways and Means Committee for
rma4'ate enactment OF legislation
IT ending the Liberty Bond acts so as
70 make possible the funding by Vic
'ory Liberty Loan In the spring OF the
boating debt which has been incurred |
ana pil be incurred up 10 that time. /
The Victory Liberty Loan could not be
issuad successfully now that hostllities 4
have eeased within the limitations im- /
posed py existing laws.
After, most careful consideration OF /
the mattSr and after receiving and con-
sidering the views OF bankers. Liberty |
Loan workers and Others whose views