Evening star. [volume] (Washington, D.C.) 1854-1972, 1920-04-14
MAKES SUGGESTION
4 ON MONEY LENDING
W. Gwynne Gardeners Plan
in Lieu of Increasing In
terest Rates.

Former Commissioner w. Gwynne
Gardiner today advised that those
phflanthropists who are advocating
an increase from. to 2 and per cent
should form 4 business association
and raise a capital OF $4,000 or 500.
600 and conduct such an enterprise
properly. as an example to other com
munities.
He said they must ye. the best bust
ness men Of the community to back
such an enterprise. and suggested
John Joy Edison. william T. Galliher.
Henry P. Blair and others should be
interested in the project. MY. Gardi-
ner said that II such an enterprise
were started with business men behind
IL. he himself would put in $4,000
and match his chances with the
others. Mr.. Gardiner made the sus
gestion at hearing given by a sub
committee OF the House District com
mittee.
This matter was brought up when
Mr.. Gardner Du. into the record Of
the meeting a statement regarding the
ti"&,!ty Savings Company, signed by
Its 1ldi.cr. which showed that that
Ing, 'tH'to.t Is now making small loans
at > Fe. csns per annum and has been
doing 50 stree July l. 1912. Henry p
hiair ne said was president Of that
Institution. This Is a licensed bank
Under the supervision and Jurisdiction
and subject to the examination of the
controller OF the currency.
Used as Object Lesson.
Mr.. Gardiner referred to this insti-
tuition as showing that small loans are
now being made in Washington at a
much lower rate than those who are
urging legislation before 4 subcom-
mittee of the House District commit
tee are advocating.
In rpnlv IN ouoottoA So
Focht of the subcommittee, Mr.. Gardi-
ner said he knew the officers Of this
institution as responsible citizens,
and he thought 1t would be a good
idea to have the president of that in
stitution invited to testify at the
nearing. 1t was in reply to a sug-
gestion from Representative Focht
that Mr.. Gardiner proposed that the
interests now advocating an increas Sc
In the moneylending rate should 20
into the business themselves.
Mr.. Gardiner said he opposed any
plan which would permit a poor man
to mortgage his bed. Mr. Gardiner
said in reply to questions from Mr..
Focht in regard to the general repu-
tation Of pawnbrokers and loan
sharks that the police told him the
pawnbrokers gave them little trouble
but that their trouble was with the
mon who mortgaged their furniture
as security.
Eavors Dyer Bill. With Changer
Mr.. Gardiner said he favored the
Dyer bill with some changes. He and
Representative Johnson Of Kentucky
went over the bill carefully and
agreed upon many changes in phrase
ology. They also agreed that there
should be some provision so that the
money lender could not get over or
3 per cent on a fraction Of a month.
Representative Johnson suggested
that the rate should be fixed upon
total Indebtedness, so as to dodge the
possibility of the money lender split
ting loans up into small sums.
At the opening of the hearing today
Representative johnson questioned
Chairman Focht as to whether the
testimony would be printed as taken
down at the hearing or whether wit
nesses would be allowed to tamper
with 1t afterward." Mr.. Focht said
witnesses would have an opportunity
to read over the testimony and make
changes in grammar, but they should
not be allowed to materially change
their testimony. 1t was agreed that
II any changes are to be made the
committee must be advised.