The Brattleboro daily reformer. (Brattleboro, Vt.) 1913-1955, 1921-01-06
So Says Senator Glass of
Shooting of Laborer
Wilson Veto -
NEEDED FUNDS ARE
NOT AVAILABLE
And Chances Are That War Finance
Corporation Will Nd Come Into Ae-
tive Existence Unless the Republican
Party REEVES 1t After March 4,
BY DAVID LAWRENCE. ri
Especial Despatch to The RefOrmer)
Copyright 1921 --.-

Especial Despatch to The Reformer)
Copyright 1921
WASHINGTON, Jan. 6.-Ten men
may lead horse to water but many
times ten men cannot make him drink.
That's an old saying but it applies eX-
actIy to the situation that has arisen be
tween congress and the treasury de
partment in connection with the final
passage over President Wilson's veto
of the bill to revive the War Finance
corporation and extend financial aid to
agricultural and export enterprises.
Congress may direct the war finance
corporation to resume business but the
sef-same congress has left it to the dis
erection of the corporation as TO how and
when loans shall be made and how the
money shall be raised and it is safe
bet that it will be a new War Finance
b corporation fully responsible to the Ike
publican administration after March
4th which shall carry the burden of
what leading Republicans like Senator
penrOSe former Speaker Joe Cannon and
Chairman Good of the house approprla-
tiOns committee who voted to sustain
President Wilson believe to be unwise ifs
cal policy.
Senator Carter Glass. of Virginia.
one of the authors of the federal reserve
act, was at the treasury building fol
lowing the passage by both houses of the
War Finance bill and meeting the
writer he said: Did yousznotieer the
grain or cotton markets go up as a con-
sequence of the nonsense in congress 8?
OF course not. Well YOU can quote me
as saying the whole thing is the most
miserable impoSture ever praetieed on
the American public by politicians.
Mr.. Glass seems to think that most
members of congress knew the passage
of the bill would not aid the farmers.
; but voted for the measure in order to
give the impression to their constituents
that aid was really being extended.
Where is the money coIIning, from
Queried Mr.. Glass. We'll, the War
Finance act passed during the war au-
thorized the appropriation of FIVE hun
dred millions of dollars as capital stock
for the corporation" suggested the
writer.
Yes" said Mr.. Glass but if you will
read the law you will see that it says
five hundred million dollars" are hereby
appropriated gut of any money III the
treasury not ether wise .Capprofniatcd''
and there is not a cent in the treasury.
Lot of the fellows on the hill seem TO
think the original five hundred million
dollars is still in the treasury. 1t was
turned back into the general fund long
ago, and the only way to get money now
is for the treasury to go out IN the
open market and borrow it"
Mr.. IIOuStGn,- secretary of the treas
ury. has insisted that government bonds
and other obligations would be affected
if the government continued to borrow
money from the general public at high
interest rates, and he has taken the po-
SitiOn which the leading financiers of
the world unanimously adopted at the
BRUSSELS international conference,
namely that the time had passed for
government loans to private individuals.
However. there is Il more practical
reason for the probable failure of the
War Finance corporation to function at
all under the present administration.
The law says three members constitute
a quorum. Secretary Houston himself
and his assistant George r. Cooksey and
Angus Mclean. assistant secretary of
the treasury are the three members of
the War Financ corporation and the
latter two are in absolute accord with
Mr.. Houston. The two vacanSies need
not be filled. Messrs. Houston and Me
Lean. probably will resign on March 4th
and it will become necessary for thc-neXt
adm niStratiOn to create an entirely new
board. Then the responsibility for fur
Their borrowing and the actual extension
Of credit will have to be borne by the
Republican president and his secretary
of thc treasury. Until March 4th there
vii be a natural delay in getting started
any way because it takes considerable
time to examine the applications for
Ioars and to determine whether the Sc
Curity given is acceptable. There is no
chance OF help through the War Finance
corporation for the next two months at
least, and probably for some time after
that as it will take the new secretary
Of tie treasury some time to get his
bearings BY the time spring comes the
entire aeT cultural situation is expected
to have changed and those who have
been holding products for higher prices
on the expectation of immediate aid from
the War Finance corporation to finance
exports, will have had to dispose of their