The Birmingham age-herald., 1921-06-24
TREASURY SEEKING. COMPLETE POWERS IN ALLIED DEBTS
Bill Introduced at Presidents Request Allows Unrestrict- ed Authority In Refund-
 ing Ten Billions
By Associated Press

" dSIln6 lOi JuNt N~ III N7Nt+-N ed authority for the Secretary of the Treasury in refunding the spproxi- mately ten billion dollars owed by the allied nations to this country was asked by President Harding today in the first administration bill sent to Congress.
 The bill, drafted at the treasury department. was forwarded by the President to chairmen of Senate and House committees with urgent rec concentrations for enactment. It was introduced immediately in the Senate by Senator Penrose and com piittee hearings ordered for next Wednesday.
 Complete powers for settling with the allied nations would be vested in Secretary Mellon under the bill With the Presidents approval he would be authorized to accept the securities of debtor or other nations in exchange for their notes. The bill also would confer unlimited author ity to defer payment of interest or principal, and to settle outstanding claims against the United States.
 Bill Is Outlined
 Announcement of the administra- tion refunding plan was made at the White House, and 8 letter from Sec retary Mellon to the President, out lining the bill, presented needs for the blanket powers required. Citng that the treasury now was without authority to convert, refund or defer payment of the allied debts and in- te-est, Secretary Mellon said that di- verse conditions required general grant of powers to the treasury. Tn jhis connection he said that 1t mignl be advisable, in the case Of nations ewing debts to other countries in ad- ditlon 10 the United States. Ito con- slider comprehensiyely the entire debt of such countries. so as to work out a refunding plan reasonably within the ability of such country to carry out"
 To Be offered Bankers
 No plans for disposition of the all lied securities was given by Secre- tary Mellon Senator. Penrose sala he presumed they would be offered to American bankers and the pupilc at times and in quantities Vlthou' disturbance of finance.
 The administration bill was re- ceiyed by most republican leaders
  Senator Penrose to be the most inn portant' bill of the present Congress. Some democrats, however, declared they would oppose any grant of un- limited powers over the allied debts to the Secretary of the Treasury and .ntlnlations of a similar position ere given by some republicans
 In the course of speech on bonus and other Legislation. senator Bo- M Txle Inc r.afn fft tEe foreign debt and asked if any member of the Senate finance com mittee expected "to see dollar of in terest on our foreign debt in 1922"
 Why, in the financial quarters hich influence the foreign policy of the United States, no matter what rarty is in administration" he said, "the proposal is now being discussed to postpone even the paying oe in- terest on this foreign debt for ten years. France, Belgium, EnglanI lave their own burdens. The sug- gestion that interest be postponed for ten years arises from the quarters where 1t is hoped that they can be kept solvent enough to pay the in terest on private debts they owe in the United States
 What Allies Owe U. s.
 Secretary Mellon prefaced his let ter to the President with a table sum- marking the war debt of foreign gov ernrnents to the United States as fol- lows:
 Obligations for advances made un- der the various Liberty bons acts s9,- <:5,225,329.24; obligations received from the American relief administra- tion SS4,09S, S,96S.55; obligations re- ceived from the Secretary of War and from the Secretary of the Navy oh account of the sale of surplus war materials $565,04S, ,413.S0; obligations held by the United States grain cor poration s56Se.s7s.0s; total s1o,141,- 2s7,5S5.6S
 Total debts by countries as showo n ene sta tements accompanying Sec retary Melons letter were as fol- lows:
 Great Britain. s4,16s.31S S,35s France. $a,35o,762,sso; Italy, $1,64s, ,os4.O5o. Belgium, $375,2S9,147; Russia. s1s2- 6o1,297; Poland, $135, 5,661 ,659; Czecho- Slovakia, $4s1,179,527; Serbia, s51.- 153,15s; Roumania, s36,12s,494; Aus tria, s24o55.70S; Greece, s15,ooo, 900. Esthonia, $13.sss,144; Cuba, s9,o25.- 500; Armenia. $1I,3ss, ,s17; Finlani $s,2S1,926; Letvia, $5,132,2S6; Lithu- mia, s4,ss1,S27; Hungary. s1,ss5,S3s; Liberia, $26.000
 Advances under the Liberty loan act included:
 Great Britain, s4,16s,s1s; France. $z,s5o,762; Italy, s1,64S,0 S,034050; Bel gium, $s47,691,5ss; Russia, s1s7.7as.- I6O: Cxecho-Slovakia, S61 .256, ,206; Ser ba, $26,175,139; Rumania. s23,205, ,sl9; Greece, s15,o0o,D00; Cuba, s9,025, 800. Liberia. s26.000.
 Obligations received on account of sales of surplus war materials in- olnded:
 France, s4oo, ,ooo. .ooo: Poland, s5s,-
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