Pueblo chieftain., 1921-07-06
Secretary mellon WANTS
SCOPE TO USE JUDGMENT.
Has No Intention Of Cancelling Debts, But Wants
Field to Use Collection Methods As
Dictated By Experience.

debate the Senate became very suspi-
cious of foreign statesmen. This sus-
piclon extended not only to the Re-
publican senators but to the majority
of the Democratic senators as well.
Many of these Democratic senators
who supported the League of Nations
as a party measure nevertheless were
fun of suspicion that President Wilson
had been subjected at Paris to pro-
cesses of sleight of hand.
The Senate got, and still holds, the
idea that any American statesman
dealing with European statesmen Is In
the position of countryman come to
town. Many of the Senators think that
by some process of juggling some of
the nations who owe us these billions
and are capable OF paying them, are
going to evade paying them.
The Senate wants everything that is
to be done about those foreign debts
to be subject to their scrutiny. of
course. Secretary Mellon is as insistent
as the Senate that these debts shall
be paid The difference between Sec
retary Mellon and the Senate is that
he is in better position to know just
how and Hhen to press for payment
than the Senate can possibly be. He
has had more experience than the SEN
ate In distinguishing between those
debtors who can pay with reasonable
carried along for a time This is eS-
actly the sort of thing that Secretary
Mellon has been doing for the forty
or fifty years of his experience as a
professional banker. He has sat in
his office In FittshurE for a life time
dealing with difficult debtors and the
general verdict on his experience Is
that he has been rather more success
ful than the average in collecting every
thing that was due him.
Secretary Mellon has no Idea of for
giving any of. those foreign debts that
are possible of collection. Neither has
President Harding, 1t is one OF the
first principles OF tho administration
that the $40. 900, ,oon 900 due va from var
ious European countries shall he re-
rsrdcd as a valued asset. Tho admin
istration sticks to this principle against
the advice Of some American bankers
and business men VINO think II would
he good business for us to cancel these
debts
All that Secretary Mellon md Presl-
dent Harding are seeking Is an su-
enable them to handle each OF the dif-
forent debtors according to the cir
cums'snces with the purpose Of col
leciing all this money as soon as II
is practicable 10 collect.
President Harding in requesting this
lcEiSla'irn rom the senate UnNNnn'o1
" never anticipate tho opposition that
srose He thought he was merely ask
ing for the kind Of routine authorize e
tion often granted tho executive de-
pnrtments As 1t happens this is the
only legislation that Harding asked
directly OF Congress. In the beginning
Of the session Harding asked Congress
to reverse the taxes and pass a tariff
bill. Thereafter he scrIpulously re-
Trained from interference or pressure.
When Secretary Mellon asked him.
and he in turn ssr"d Congress. to giva
tho executive authority to handle tho
foreign debts in the executives dis
cretion he probably never thought of
II as request for legislation in the
ordinary sense.
What plans Secretary Mellon may
have after he gets the authorization
arc probably not known got even TO
himself. They depend on tho varying
circumstances Of tho different debtors
and on future circumstances as they
may arise.
Copyright. 1921. by the New York
Eyaning Post ruc)