The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-12-11
BILL TO RELIEVE
INDUSTRY SLATED
81
TO PASS TO-DAY
ESD
Senate Leaders in Both Par
ties Are Agreed Oh
Measure.
NiU
REVIVES WAR BOARD
REyIVES WAR BOARD
Financial Aid Would Be
Extended Specially to
Farm Interests.
To END TIGHT CREDITS
Restored Confidence and Or
DERBY Processes of Market
ing Are Foreseen.
Special Despatch TO THE New YORK HERALD
New York Herald Bureau.


New York Herald Bureau.
Washington, ID. c., Dec. 10.
Consideration OF legislation directing
the Secretary OF the Treasury to re-
sumo the activities of the War Finance
Corporation TO rescue agriculture and
other industries from temporary
financial embarrassment produced by
the war virtually was completed by
the Senate to-day. Indications pointed
20 the passage OF the measure by a
substantial majority irrespective Of
party lines. A final vote probably will
be reached early tomorrow.
Nearly all the set speeches in favor
OF passing the resolution which directs
resumption Of the War Finance Cor
poration and more liberal credit extern
sions by the Federal Reserve Board.
mot inconsistent with sound banking
principles" were made by Democratic
Senators from cotton States. This
was more notable in view OF the fact
that Secretary OF Agriculture Houston
and Gov. Harding OF the Federal Re-
serve Board consistently have opposed
this form OF relief. not only since Con-
gress rcconvened, but before. when
farm and business organizations rec
commended IL In appeals presented by
their representatives az the Treasury
Department.
senator Cappcr CKan) was the only
- AL nnh
urging passage ~ the resolution to-day.
though u 10 known that nearly all sena-
tors from agricultural states will sup
port u The rest % the time was given
M apparently hy common consent 70
Senators from grain and cotton sections
south 90 the Macon and Dixon line.
senator Calder (N ~. Republican.
suppressed his warm approval OF the reso-
luton hy reading In the senate an edi-
torial from THH NEW NcHK HERALD Of
to-day headed The War Finance Cor
poration" which urged that the corpora
ton be revived under competent direc-
tion. with a mandate from Congress- 70
relieve agriculture and all other Indus
tries from further unnecessary credit
stringency and consequent depression
and paralysis"
Senators Dial Is. c.. smith Ca !.
Helm (Ala.D and Harrison tMiss.l. all
Democrats. voiced their approval A
lively interchange % debate led 20 inter
ruptions from other Senator'S Indicating
that Senator King tUtah) may vote
prnirst g. Senator Hitchcock tNeb) &.
former minority leader. strongly sup
ported the bill
The gist Of the arguments for the
measure were that u would furnish
needed ~ muius 20 restoration OF conf
dence, that by use OF small sums hquida-
ton would be encouraged 80 that orderly
proce~sc. OF marketing would be re-
nfrned and that q would Involve the
lending only o. the Governments credit
for short time rather than lending
actual funds 10 be raised by further
bond issues
During tho speech 81 senator Smith.
his attent on was directed 20 the state
rnent made IN the hearings by secre-
fmry Houston that "ali the money that
the War Finance Corporation has had
was received from the Treasury"
That r. not true" said senator Smith
ernphaticaily The corporation sold lts
own paper and did not receive IL from
the Treasury. The effect OF the act vi
ties OF this corporation was % aid rather
than hinder the Treasury operations and
II can be done again. Thie proposal
simply means lending the Government
credit 10 tho corporation 20 take care ~
interests insolv nE the people ~ the en-
tire country. which becauss % the war
cannot be met by ns banking strength"