Imperial Valley press., 1919-08-22
Official File of u. S. Federal
Farm Loan Board Reveals
Feeling of C-M Ranch
Owners Toward Valley.
PREVENTS LOANS
BY LAND BANK
His Opinion Causes Presi-
dent Joyce of Farm Loan
Bank to Turn Down Ap-
plicatiOns from Here.

| lty OF Harry Chandler who represents
the controlling interest in the great
C-M ranch below the border to the res
idents of the valley and his willing
ness when it comes his way to use his
influence to thwart it's development
is shown in letter on the correspon-
dence files of the Federal Farm Land
Board which shows how he made it
impossible for Imperial valley farm
ers to secure amortised loans at low
rate of interest from the Federal Re-
serve bank. The letter follows:
THE FEDERAL LAND BANK OF
BERKELEY
address all communications to the
Bank"
District No. II.
California, Nevada, Utah, Arizona.
Berkeley, Calf, Aug. IA, 1913
Judge Chas. E. Lobdell,
Member Farm Loan Board,
! Washington, d. C.
My dear Judge:
Following the suggestion you made
during your last visit here, | recently
went to Los Angeles and had long
conversation with Mr.. Harry Chandler
of the Los Angeles "Times."
You will probably recall that Mr..
Chandler and his associates are large
land owners in the Imperial valley and
especially have tremendous holdings
across the line in Lower California,
Mexico. These lands are deriving their
water through the main canal which
supplies the most of Imperial valley.
1t will be impossible for me to re-
cite all the subjects and points discus
sed, but l simply want to say that l
finally asked him this question: If he
were in my position, knowing all the
circumstances, conditions, menaces
and uncertainties which exist in the
Imperial valley, and knowing the type
of farmers with which we have to
deal, would he make long term loans
in that country? Or if he were in the
mortgage business, would he lend his
own money there on the same terms
as our loans are made?
He answered flatly that he would
not; that the situation was indeterm-
mate; that the farmers generally were
undecided, were pioneers and largely
of that class of people who make no
permanent homes; that very few of
them had any conception of the dan
gers that constantly menaced them,
both from flood and from lack of wa
ter; that they were contentious, quar-
relsome and unreasonable. know pos
itively that Mr.. Chandler would not
wanted to be quoted in this. and that
he gave me his views as man to man
and on account of the very friendly
relations we have maintained for
many years past.
| | do not want to make any further
loans in the Imperial valley until the
water conditions are settled, and this
may require two or three years. Fur
thermore, l believe it would be unwise
to give our reason for refusing to
make these loans that it is on account
of an unfavorable report made by our
Engineer This would, Of course do
that country a great deal Of damage.
My idea at present is that the situ-
alton should be handled with tact and
diplomacy; that methods be used
which would cause the least comment
and friction, and that these methods
, must be evolved from time to time to
fit the situations as they confront us.
1t seems necessary for me to add that
/ feel competent to handle the matter
in such way that your board will not
be embarrassed, and that our bank
will not be subjected to any great
amount Of adverse criticism.
Mr. Chandler is in position now to
advise with his associates to show that
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