The New York herald., 1921-05-30
BARUCH AT HEAD OF
!. FARM FINANCE PLAN
Will Direct Efforts to Aid
Agriculturists: 500, ,OO0,-
600 Will Be Raised.
TO FIGURE In POLITICS
New Corporation Expected
to Rival Power Behind
A. +. of l..
BLOC EXTENDS TO HOUSE
New Group Follows Upper
Body's Lead in Move for
Tillers Of Soil.
BLOC EXTENDS TO HOUSE
Special Despatch to THE New YORK HERALD.
New York Herald Bureau,
Washington, ID. c., May 20.

Washington, ID. c., May 20.
Friends Of the farmer are rallying to
his rescue in all directions. News of
the organization OF the Farmers Finance
Corporation. a subsidiary of the United
States Grain Growers. Inc, is followed
by the statement that Bernard NJ.
Baruch is the real business head of the
new organization.
Also it was learned to-day that the
formation of the agricultural bloc Of
Senators from more than a dozen States
in the South and West, headed by Sen
ator Kenyon Iowa). and including SEN
ators from the two Dakotas. Nebraska.
Iowa. Wisconsin, Idaho. Kansas. Okla
noma. South Carolina, Alabama, Louisi-
ana, Georgia and New Mexico. probably
will be followed by a similar group or
ganization in the House. where II is now
under consideration.
The movement resulting in the new
corporation is regarded as the biggest
thing in the history of efforts to Or
ganize the farmers of this country, and
while advertised as merely movement
to assist in marketing the farmers
crops. it is regarded as possible politi-
cal movement which by comparison will
dwarf the political effectiveness OF the
American Federation of Labor.
The movement is part Of the effort to
organize the farmers of the country
which has received the support of such
Republican Senators as Capper of Kan
sas. Kenyon Of Iowa and Norris OF
Nebraska.
Capper and Kenyon Help.
1t was approved heartily tonight by
Senators Capper and Kenyon. who said
that the time had come when the farm
ing industry was to be reckoned with
as an economic force. although both
deprecated the suggestion of it's possible
political influence. Mr.. Baruch is a
prominent Democrat.
The success of the movement is de-
pendent in part although not entirely
upon the passage of the cooperative
marketing bill. introduced in the Senate
by Senator Capper and in the House by
Representative Volstead (Minn).
There Is considerable curiosity tc
know how the Harding Administration
will regard the present nationwide
agrarian movement. It is recalled that
President Harding went on record ir
his st. Paul speech in favor OF coopera.
tive marketing and 1t was understood
that the speech was wholly approved by
II. c. Wallace, who was his prediction
adviser on agricultural affairs and who
| has now become Secretary of Agri
| culture.
The present movement. however. goes
farther than was probably contemplated
either by Mr.. Wallace or President Har'
| ding at the time of the st. Paul speech
| The background of the organization
| Is the establishment of the American
Farm Bureau Federation, which wa.
| built up by J. r. Howard young Iowa
farmer Mr.. Howard conceived the ide?
| that II would be possible to bring al
the farm organizations into one group tc
! coordinate action and committee o.
seventeen was appointed last summer tc
bring this about The organization oi
the wheat growers at Chicago, followed
| by the organization of the Farmers
Finance Corporation. announced in New
York yesterday, was the result.
The connection of a Wall Street nnan
cier with the plan is explained by the
farmers who are backing the organic
alton on the ground that Mr.. Barucf
possesses organizing ability, which Il
what the farmers need.
To Sell Capital to Farmers.
Senator Capper is confident that 1t viii
be possible to sell the necessary capita
stock of 500, ,000,0 900 to the farmers o.
the country at 500 a share.
1t Is frankly acknowledged that thu
| purpose of the two organizations is tt
enable the farmers to hold back their
grain until prices are more satisfactory
The Senate bloc Is of gradual growth
| Senator Kenyon told THE NEW YoRE
HERALD to-day. and not any sudder
or sensational development. as init
mated In some quarters He looks upor
/ IL merely as a practical method for safe
/ -. I,. ~ - ~
which he regards as of vital importance
to every industry In the country.
This movement started through the
habit formed by Senators from agricul
tural States of meeting together to tall
matters over" Senator Kenyon said
When this became known other Sen
ators manifested interest and were In
vited In. until at our last meeting abou
twenty Senators were there.
II wish to emphasize II strongly thai
we do not propose any programme bs
which we are to help agriculture at the
expense of other industry. Far from II
Nor are tho se In this group merely q
| consider agricultural problems withou
regard to other questions, as some Sen
ators have intimated. We have tried t.
| impress on all the fact that agriculture
Is essential TO every line OF industry, no
only to agriculture itself but to tn,
laborer. the manufacturer, the middle
MANN short. to the consuming public
IF agriculture fails in this country o.
in any other the effect becomes natior
wide. We have no panacea for nj
troubles of the farmer, for we know a.
well as any one else that laws are no
ali powerful. At the same time IL 4
recognized that there must be stabiliza
tion OF world interests and to some ex
tent Laws on the subject will be helpful
tn all roucerued" I"