The New York herald. [volume] (New York, N.Y.) 1920-1924, 1921-04-05
SELF-HELP URGED
ON COTTON BANKERS
Administration Cooperation Is
Assured in Solving Ey-
port Problem.
CREDIT PLANS OFFERED
Syndicate Of Resources Sug-
gested as Preliminary to
Federal Assistance.
CREDIT PLANS OFFERED
Special D.ssa,cn 10 rHz Nrw YorN HERALD.
New York Herald Bureau.
Washington, ID. g., April 4.

spcciGl Despatch 10 TIRE New YORK HERALD.
New York Herald Bureau,
Washington, ID. O., April =. )
Bankers from the Southern States, IN
Guiding Missouri and Oklahoma. were
told by Administration readers to-day
that the salvation OF the cotton and
other agricultural industries OF their
States must he worked out by them
relves with the cooperation and assist
ance OF the Federal Government. The
policy OF the Government, as outlined at
the conference by Secretary Hoover. Is
not one OF regulation but of cooperation
and assistance.
That policy on the part of the Admin
istration is interesting in showing that
business may expect cooperation from
the Government In procuring trade IN
foreign countries and that II Will not
be subjected to lot OF regulatory meas
ures The Administration officials gave
assurance that II the bankers and cotton
growers of the South would do their
part the Federal Government would DO
everything within its power to assist
them. It was made plain, however. that
the first steps must be taken by inc
growers and bankers.
Secretary Mellon, Secretary Hoover,
Gov. Harding OF the Federal Reserve
Board, Comptroller or the Currency
Crissinger and George Livingston, Chief
OF thu Bureau OF Markets, addressed the
conference, which had been called by
the managing director OF the War
Finance Corporation. Eugene Meyer, Jr.,
at the suggestion Of President Harding.
It's purpose was to work out some kind
Of a long term credit arrangement so as
to help the critical condition of the
South.
The bankers In executive session with
the War Finance Corpora ton. went into
the situation of the South fully. At the
conclusion of the meeting il was stated
that while no definite proposition had
been agreed upon the various possibili-
ties OF the usefulness Of tho Webb
Pomersne export corporations and OF the
Edge law corporations. and the posi-
bilities OF the War Finance Corporation
In cooperation with such corporations,
pointed the way by which foreign credits
might be extended on safe basis. 4
small committee was appointed to keep
In touch with the War Finance Corpora
ton as to what help it could render.
The bankers were fully impressed
with the idea that IL they returned home,
syndcated their resources. issued notes
TO secure the cotton growers. and then
came 70 the War Finance Corporation.
up by the paper of the various bankers,
the corporation would lend its cooper
alton. Some of the bankers said they
saw way out Of their present difficult
ties by joining the Federal International
Banking Corporation OF New Orleans. a
corporation with a capital Of $1,000. 600
subscribed by the cotton growers and
their banks.
Secretary Hoover told the cotton
bankers that collective thought. collec-
tive action and collective resources or
their part would mend the in1portan:
broken link in the chain OF credit The
proposal for a reduction in the cotton
acreage did not meet approval of the Ad.
minstrntion officials. Secretary Melior
said that in two years world conditions
would have so improved that the present
surplus OF cotton could be consumed.
Gov. Harding told the bankers they
showed a lack OF confidence. He said
they should not insist upon gilt edge Sc
curity for future payment for the cot.
ton they might and could ship abroad
He said they should be willing to take q
| little risk.