The Hartford herald. [volume] (Hartford, Ky.) 1875-1926, 1921-06-29
iNfl. 26
HARDING ASKS REFUND
RIGHT ON ALLY DEBT
Urges Congress to Vest Full
Power In Treasury to
Meet Emergencies

NdSulHBIOn, June Z0.-CnreStr1ct-
ed authority for the Secretary of the
Treasury in refunding the approxi-
mately $4,000, ,O0O, 900 owed by the
Allied nations to this country was
asked by President Warren G. Har-
ding today in the first administra-
tion bill sent to Congress.
The bill. drafted at the Treasury
Department, was forwarded by the
President to chairmen of Senate and
House committee with urgent recon-
mendations for enactment. 1t was
introduced Immediately in the Sen
ate by Senator Boise Penrose and
committee hearings ordered for next
Wednesday.
Complete powers for settling with
the Allied nations would be vested
in Secretary A. w. Mellon under the
bill.
Authority Unlimited
With the Presidents approval, he
would he authorized to refund or
convert and to extend the time of
payment of the principal or the in
trest, or both, of any obligation of
any foreign Government now owing
to the United States, or any obliga-
tion of any foreign Government here
after received by the Unitd States
(including obligations held by the
United States Grain Corporation)
arising out of the European war,
into bonds or other obligations of
such, or of any other, foreign gov
ernment and from time to time to
receive bonds and obligations of
any foreign Government in substi-
tut!cr for those now or hereafter
held by the United States, in such
form, and of such terms, conditions,
date or dates of maturity. and rate
or rates of interest and with such
security, if any, as shall be deemed
for the best interest of the United
States and to adjust and settle any
and all claims not now represented
by bonds or obligations, which the
United States now has or hereafter
may have against any foreign Gov
ernment and to accept securities
therefor"
Announced AT White House
Announcement of the Admiristra-
tion refunding plan was made at the
White House and a letter from Mr..
Mellon to the President. outlining
the bill. presented needs for the
blanket powers requested. Citing
that the treasury now was without
authority TO convert, refund or defer
payment of the allied debts and in
terest, Mr.. Mellon said that diverse
required a general grant
of powers to the Treasury.
In this connection he said that il
might be advisable, in the case of ma
ions owing debts to other countries
n addition to the United States,
to consider comprehensively the
entire debt of such countries-so as
% work out a refunding plan rea-
'onably within the ability of such
country to carry out"
No Plan Is Outlined
No plans for disposition of tlx,
lllied securities was given by Mr..
Penrose said he pre-
umed they would be offerd to Amer
can bankers and the public az times
md in quantities without disturb
nee. of finance.
The Administration bill was re-
eived by most Republican leaders
With approval. II was pronounced
" Mr.. Penrose to be the most inn
ortant bill of the present Congress.
ome Democrats. however, declared
hey would oppose any grant Of un-
United powers over the allied debts
the Secretary or Treasury and in
lmations OF similar position were
iven by some Republicans.
FIRM nyssnIUhS