The Morning Tulsa daily world. [volume] (Tulsa, Okla.) 1919-1927, 1921-03-06
New Treasurer Discusses
Situation With Hous-
ton, Predecessor
70 Be NO CANCELLING
Harding Made Clear His OBJ
lection to ANY Such Plan
in Inaugural Message

WAsuSGTON NBr,n o.
s.u..p.a t,u billion debt Co. hc
riw staIcs wnA AT tho top of
30, ,r.udsr today as ON, of tine
most u.rnn' problems pressing for
adjustment lrdrr the new admin.
'efra.or TUs vital question. Co..
uathsr with others Of Rtoat moment
,Y1s. .nu.routod tine ncW secretary
pf .bc treasury. Andrew W Melton
vlcr hc took over the affairs uf
office. Secretary Mellon FIRST day
v1e devoted partly to study of
dout mater.
Secretary Mellon, lu % series Of
conferences with David T.. Houston.
the retiring secretary, ana with other
officials. was made rouvorsiut with
tho status of foreign loans and went
at some length into the various
phases OF negotiations previously be.
gun by foreign governments rela-
tive TO tho funding ~ the uutHmnd-
ing obligations
Harding AgniDst Cancellation.
President Hastings Inaugural
Wterancc indicating that HuggoA-
tons for cancellation of tho debts
viii meet with rejection apparently
started tho new secretary of the
treasury upon "A clearly defined
policy.
Secretary Melons conferences to-
day were largely To enable the new
treasury head To grasp the problems
with which hc must soon grapple.
II IN probable that he will con-
tinuc In conferences for several days
with former Secretary Houston and
others who have been actively idon-
tilted with tho loan and other
problems
The plans OF several OF the for
eign governments to enter At once
upon negotiations looking Go the
conversion into long time obliga-
tions OF tho demand notes now held
10y this government were before Sec
rctary Mellon. The British. French
and Italian gov:rnmenta have mott.
fled the treasury department OF
their willingness to begin conferences
IN the very near future.
Meet Foreigners later.
At the treasury u was suggested
that conferences with the foreign
envoys probably would not be com
menccd until the whole question OF
debt settlement terms had been dis
cusscd by President Hardin gand his
cabinet.
In what respect tho previous plans
OF the treasury might he changed
was left to conjecture. Tho prob'
ability. u was stated. was that en-
tircly new discussions would be In
augurated without reference to any
tentative understanding which may
have been reached previously be
tween representatives OF this and
other governments.
Thus far the general outline ol
the plan for adjusting the foreign
loans has been TO fund them int
obligations with maturities running
as far as 30 years, with reason
able defcrment OF the interest, for u
period OF years. pending Europc''
rehabilitation. No official announce
nont was ever made by the treasury
Of any agreement relative TO tho rate
Of interest the long time bonds
should bear. though II was sug
Reated that the thcHsury's purpos'
was TO make the rate equivalent
To the rates borne by the United
states government bonds,
Former Secretary Houston said
today that he will hold himself II
readiness to assist hls successor n
all matters which may arise relattV,
90 the loan and other questions
which will he at the fore front de
mandlng consideration. houst oI
will postpone for several days 1il
dennrturp frum N0RhiuEton