The Rock Island Argus and daily union. (Rock Island, Ill.) 1920-1923, 1921-01-03
., S. SENATE IGNORES
PRESIDENTS ACTION
ON CR0NNA RESOLUTION
Executive Says Revival of
Var Finance Would
Hurt Business.

Hurt Business.
washingtea, Jan. a-The re-.
olutien 10 revive Tie war -
nanco corporation was passed
today By the senate over Presi-
dent Wilson's veto.
Tho vote to override 0e
president was = 10 :, o. 10
more than the required two.
thirds majority.
Tho veto was taken imnedl.
ately after tho presidents vcts
message was read. Similar ae.
ton by the house was forecast
by supporters Of the resoluaen,
Which was designed - IN I'D
to farmers and eth0ry IN tAo
present period sf declining
prices.
Those voting to sustain the presi-
den's veto were, Elkins and Suth-
erland Of West Virginia, and Keys
Of New Hampshire, Republican, and
Grey, Rhode Island, and Thomas.
Colorado, Democrats. Senator Pen
rose, Republican Of Pennsylvania,
announced he was paired on the
question, but that II he could vote
he would vote to sustain the prest-
dent. Senator Glass, Democrat.
Virginia, made . similar announce
ment.
Revival Of the finance corpora-s
ton ut this time, the president de-
clared, would exert no beneficial
influence on the situation, would
raise false hopes among the very
people" who would eJpect most.
and would be hurtfui to the natural !
and orderly processes of business
and finance.
Conteuding that under the isw
no direct advances could be made
to producers Nby the corporation,
the executive declared even II they
could be they would not accomplish
the objects in view.
President Wilson's message Veto
ing the Gronna resolution to re-
vive the war finance corporation
follows:
ITO the Senate Of the United
States:
II am returning without my sig
nature s. J. res, 212, Joint resolu-
tion directing the war finance cor
poration to take certain action for
the relief of the present depression
| in the agricultural sections OF the
country, and for other purpoee2
"The joint resolution directs the
revival Of the activities Of the war
finance corporation. This corpora
tion is . governmental agency. lts
capital stock il owned entirely BY
the United States. 1t was created
during hostilities for war purposes.
The temporary powers which It Is
now proposed to revive were con-
'fcrred In March, 1919, 10 assist It
necessary In the financing q ex-
ports. The general powers Of the
corporation expire six months aseeF
the termination OF the war. and tAe
special powers with respect to To
financing Of exports expire one
year after the termination Of the
war. While We are technically
still in . state Of war, II unQues-
tionably was presumed. when this
added power was granted. that
peace would have been formally
proclaimed before this time and
that the addition Of one year would
have expired.
I'm May, 1920. TN view Of the fact
that export trade had not been in
terrupted but had greatly expanded
and that exports were being psAr
vately financed in large volumoe,
the war finance corporation. ct thu
request of the secretary OF The
treasury, and with my approval,
!. suspended the making Of advances
This resolution was passed d
the congress apparently in visvs q
the recent sudden and considerable
fall in prices, especially Of agri.
cultural commodities. with thu
thought that some European coun'
tries to which certain pf0ducti
were customarily shipped befors
the war might again be enabled Il
resume their importation. and thai
larger masses Of domestic export!
60 European countries genereli,
might be stimulated. with the re
kulting enhancement fdomesti'
prices. .s
No Beneficial In6ueace.
~ am in full sympathy with ~
lery sound proposal to promote Tor
eign trade along sound business
lines. I am not convinced that d
method proposed is wise. thas tn
benefits, II any, would Offset u
Q evils which would result. or thu
. the same or larger advantages a.
I not be secured without resort t
: government intervention. On U
y contrary, I apprehend that the n
sumption Of the corporations ackis
, tiles It this time would exert q
; beneficial influence on the situAtto
: IN which improvement II souGhl
II would raise false hopes among q
very people Who would expe
most, and vould be hprtful 70 {,
natural and orderly process
. business and finance.
10 large government credits ~
? extsnded during the ~. To- q1ft1
y. EBeeplaA eoVeENMsA1e ~ y
q vftA - d - 6nno e.l
9 es6sed several 1eclS M