The evening world. [volume] (New York, N.Y.) 1887-1931, 1921-02-15
cash PATRIOTISM"
IS CHARGED IN B. Ri.
S17,OOO,OOO LOAN
CONTINUED From Third pageJ

enc B. Z. r. receivership. Mir. Craig
made no public announcement OF his
action in indorsing the loan Even his
associates on the Board OF Estimate
and Apportionment appear to have
been in ignorance OF it.
"In my statement ssuei one week
ago / pointed out the fact that the let
ter Of Comptroller craig &c the War
Finance Corporation, addressed to the
Treasury, Washington, ID. c., was
dated June IS, 1918, just one day after
the letter to him from Eugene Meyer
Jr. Mr.. Cralg's explanation Is that
-rhe Eugene Meyer letter in June IA,
1918. while appearing on a Washing
ton letterhead, was delivered by mes
senger to my office
TT would be OF interest to know in
whose hands we're these investmenl
securities prior to the time Of the
transfer of the Si7, 900. eOO quota to the
United States Government through
the War Finance Corporation. The
abatement that a default in so large
& maturity as that represented by the
y. e. y. siT-year notes would in all
probability have unsettled the invest
ment market and handicapped the
fotation OF the next Liberty Loan
might have implied threat that UNI
less the loan were made. financial
patriotism would unsettle the invest
ment market and handicap the
fotation OF the Liberty Loan.
The Government loan OF 81, 900, 600
was made, according to the cores
pondence. for the purpose OF staving
on financial collapse Of the &. 4. T
Yet a few months after the 81, 600 900
was paid over to the r. T.. T., that
company was thrown into the hands
" receiver Then. a few months
AFTER the receiver was appointed he
Issued SIS, 900, 900 in receivers cer.ifi-
Gates. These receivers certificates
became a priority loan, taking pre-
Cedence over the Governments S1T,-
100000 loan. This $4,000 900 loan Of
he receiver must be met before the
Government can expect to get back
a penny OF its $4,000, 900 investment
What Investigation Of the inan-
cial condition Oc the b. r. r. was
made by the directors Of the War
Finance Corporation Or its advisors
before spending so much Of the pub
les money in then tUttCr,ng cor
poration? Did the same haste pre-
vail as in securing the approval Of
Comptroller Craig. speaking for the
'city authorities?
AN this I hope to learn from the
correspondence and une -Namination
Of the records OF bha War Finance
Corporation as provided for IN my
resolution Of inquiry, introduced in
the House of Representatives on
Feb. 2.
Did the completion of the subway
system and the putting into effect Of
a scent fare, in accordance with the
then pending contracts with the City
Of New York and the Malbone street
disaster, in which ninety persons
were killed and 25O more injured,
coming so close, one upon the other,
furnish the Incentive for the receiver
ship?
was the receiver appointed TO
break down aud avoid the terms Of
the scent fare contract?
WAS the receiver appointed to
avoid the consequences OF the Nal
bone Street disaster"
The people are entitled to salts
factory answers to these questions.
1T is my purpose 10 do everything
in my power toward reporting out
my resolutions in Congress to the end
that light may be thrown upon the
question Of the loan OF the Govern
ment and the facts and circumstances
surrounding the B. r. T. receiver
ship"