The herald and news. [volume] (Newberry S.C.) 1903-1937, 1920-10-19
Secretary Of Treasury Says it Would
Not Be In Line With Good Busi-
ness for United States to Ex-
tend Further Credits to
Europe.

Washington, Oct. 14.-Agricultur.
al interests carried their fight fo,
amelioration of credit conditions to-
day to Secretary Houston of the
+, treasury department. They asked fol
rehabilitation of the war finance cor.
poration to foster exports to Europe
and were told by the secretary that
! it was not in line with good business
for the government to extend furthe,
credits to Europe which would be
! the result if the request was granted.
The treasury would not be a
party, Mr.. Houston also declared to
the Withholding of any commodity
from market in order to maintain ar
tifcally high prices.
Senator E. D. Smith of South Car
olina and other spokesmen for the
! delegates in urging restoration of
the finance corporation declared in
favor of extending credit to Ger
many.
Germany" the senator said
| "must live. l see no reason why he!
bonds should not be accepted"
An alarming" Condition.
Later the delegation carried cut
its plan of asking a preferential re-
discount rate on agricultural paper
| at a hearing before the full member
ship of the federal reserve board
They characterized the situation fac
| ing the producers due to the falling
market 'as alarming" and insisted
that one of the main purposes OF the
federal reserve law was to furnish
elasticity of currency for the agri
cultural interests in such emergen
; cies.
"I ask one specific thing" sena
tor Smith, who was again the spckes
man, said in summing lip the case OF
the producers. "Give the agricui
tural interests lower rate of dis
count in this distressing time thar
you do anybody else"
This is the last time," the Soutf
Carolina senator told the board
"that I expect to appear before yor
on this matter
There was distinct feeling Of
optimism among the delegates wher
they left the conference with the
board, although no action was taker
by the board. 1t appeared to res or
the belief that board members were
sv 7athetic towards the problem OF
the farmers.
Some Agency Needed.
The delegates emphasized their feel
ing at both conferences that if they
could secure some agency for tlnanc'
inc the credits of Europe and IN
crease the sale of exports, then
plight would be largely relieved
They asked the reserve board to use
it's influence in having the finance
CORPORATION reestablished for thus
purpose.
The general meetings Of the ag'
riculture conference concluded to-day
but committee representative OF
each of the 80 agricultural conmo'
dities which made up the conference
will remain in Washington until the
statement of credit policy in prepar-
alton by reserve banks and covering
the whole credit situation is made
public. This committee called TO-
night on Secretary Meredith at hls
home, where the situation in which
farmers generally find themselves
was again gone over.
A suggestion that farmers COM
mittee delegate representatives to
meet with the American Bankers as
sociation at it's session here next
week in case the forthcoming policy
of the reserve banks was not viewed
favorably by the growers was Still
pending before the conference COM
mittee. The policy statement is ex-
pected to be issued tomorrow night.
New York, Oct. 14.-The war IL
nance corporation if permitted to
function at this time, could help IN
the present crisis of the cotton mar
kets. in the opinion of Eugene Mey-
er, Jr., former managing director OF
the corporation. The help could be
extended, said Mr.. Meyer in state
ment tonight, by having the war fl
nance corporation do exactly the
things it was doing when it's activities
were suspended by the secretary Of