The Washington herald., 1920-02-19
CONTINUED FROM PAGE ONE.

oi4 years VI hcftA' - "oAAo ~ A&
possible. absolutely. impossible. to
do business on such a basis.
.sThe banks of Minneapolis and
Duluth alone have loaned $50, ,0oo, 900
on wheat. This is typical of the
amount of money loaned on wheat
paper throughout the Central West,
the value of this paper.
as this bill would do. and you invite
chaos"
L w. ForbelI, of the New York
Exchange, on behalf of the
Grain Dealers National Association,
protested against the Gronna bill.
saying 1t would overthrow the en-
tire Industrial and credit fabric of
the country.
J. G. McHugh. secretary of the
Chamber of Commerce.
presented a brief protesting against
the bill, which was signed by a
of grain and produce eX-
changes. In presenting the briei.
McHugh said the farmers and grain
dealers were determined to fight
the Gronna bill to a finish IL II was
carried to the floors of the House
and Senate.
Text of Resolutions.
The brief begins with the fol-
lowing resolutions. which were
at a meeting of grain deal
ers in February. 1919:
Resolved. it is the sense Of the
In, Ia NhaN he ~ ~ ha
farmers for the 1919 wheat crop
should be made good.
Resolved. it is the sense of the
grain trade that for the purpose of
carrying out the above guaranty, a
sufficient sum Sc appropriated from
the funds in the United States
Treasury not otherwise appropri-
ated.
"Resloved. II is the opinion of the
grain trade that the consumers of
wheat and of wheat products in the
United States are entitled to buy
the same upon a price basis ap-
that at which our
wheat and wheat products are sold
for export.
Trading Restored.
Resolved. that trading in wheat
shall be restored to it's normal pre-
war channels as soon as practicable,
IN order that the law OF supply and
demand may again become opera
tive.
Resolved. if a governmental
agency be established for the handI-
ing of the 1919 wheat crop, that
said agency be confined In it's op-
erations solely to wheat and wheat
products, and that any license sys-
tenn adopted should apply solely to
The people engaged in handling
wheat and wheat products. and that
is regulation of transportation be
to transportation of wheat
and wheat products.
Resolved. that the method of ap-
plication of the guaranteed price
FOR wheat under the Presidents
shall not be made the
subject of Congressional legislation,
but should be regarded as a detail
TO be solved by the agency to which
the handling of the 1919 wheat crop
may be committed"
Gave President Power.
McHugh reminded Senator Gronna
that following this meeting Con-
= ANSS PeiHStu an AT " lit
President to carry out the price
for the wheat crops of
1918 and 1919.
Under the provisions of this
act" said McHugh. the President
has provided for governmental
agency charged with the RESPONSE
bility of protecting the guaranteed
minimum prices and enabling the
people to purchase wheat products
at a reasonable price.
The Grain Corporation was the
result of this legislation and has
performed the acts and duties pre-
scribed by the law.
THE Gronna bill proposes to re-
peal the act of March 4. 1919, known
as the wheat guarantee act. and
the act of August 10. 1917, known
rs the food and fuel act.
I'VE wish at this time to reaffirm
bur resolutions of Il year ago, and
ask for a continuance of the pres
mt governmental machinery during
the full term Of the guarantee pro-
sided by the Presidential proclama-
ion of September 9. 1918. and the
wheat guarantee act of March 4,
1919.
Would Harm Credit.
I'VE believe that the passage of the
ironna bill, or any similar legislation,
would jeopardize the interests of the
producers and all other holders of
wheat and wheat products. and might
lnduly enhance the liabilities of the
I'VE believe that the transfer of the
luties and obligations resting on the
resent governmental agency at this
ime to any other governmental agency
would inevitably result in a chaotic
ondition throughout the grain trade,
by severe losses to both
he producers of wheat and the hand
ers of wheat products.
The bill does not undertake to annul
he price guarantee upon wheat or
wheat products in so far as such
may have become effective
,rior to the passage of this bill. Its
would. however. create n very
erious question as to the applicability
Il such guarantee to any wheat or
wheat products purchased or manufac-
ured after such passage.
Insures Government.
1.-The act approved March 4. 1919,
which is expressly repealed by the
ill, contains express authority to do
he things deemed necessary for CIV
ng to the wheat producers the full
'enefit of the price guarantee for pro-
Getting the consumer from profiteer-
ng in wheat and wheat products and
or insuring the government against
liability or loss in car
ying out the price guarantees.
From an examination of the
,owers conferred by the 1919 act, it
s apparent that they must be exer-
Used by some governmental agency