The Wisconsin tobacco reporter. (Edgerton, Wis.) 1877-1950, 1922-03-10
COMMITTEE D. K.
On BONUS BILL
Final Draft of Compromise Meas
ure Given Out.
DOES NOT SATISFY HARDING
President Serves Warning Upon Con-
gress That the Soldier Bonus Act
Must Garry the Sales Tax
to Get His Approval.


Washington, March 8.-President
Harding served warning upon congress
that the soldier bonus bill must carry
the sales tax.
There was a strong intimatiOn that
the insurance certificate plan, or any
other form of bonus measure that
does not include the sales tax, will be
vetoed If it reaches the White House.
The White House announcement,
coming on the heels of an agreement
among Republican leaders in the house
to force the passage of the insurance
certificate plan, threw the bonus and
sales tax opponents at the capitol into
CONSERVATION.
The program that had been carefully
worked out by Republican House Lead
er MOndell, Chairman FOrdney of the
ways and means committee, Chairman
Campbell of the house rules committee
and other influential leaders, to defeat
the bonus by forcing the certificate
scheme through the house, was halted.
The bonus opponents are without a
program, and it is probable that the
ways and means committee will recon-
slider the whole bonus problem before
permitting the bill to be considered by
the house.
Text of Bank Loan Provision.
Here is the text Of the bank loan
provision of the compromise soldiers
bonus bill:
"(A) That a loan may be made to
any veteran prior to September 30.
1925, upon his adjusted service certifi-
cate only in accordance with the pro-
visions of this section.
"CB) Any national bank, or any
bank or trust company incorporated
under the laws of any state, territory,
possession or District of Columbia
thereafter in this section called 'bank)
is authorized to lend to any veteran
upon his prOmisSOry note secured by
his adjusted service certificate with
or without the consent Of the benefici-
airy thereby any amount not in excess
of 80 per cent of its loan basis Gas de-
fined in subdivision of this sectiOn),
such loan to mature on or before Sep
tember 80, 1925. The rate Of inter-
est charged upon the loan by the bank
shall not exceed by more than , per
cent per annum the rate charged at
the date of the loan for the discount
of commercial paper under section 13
of the federal reserve act by the Fed
eral Reserve bank for the federal re-
serve district in which the bank is
located
"(C) In case of the veterans death
after expiration of the six months
after the maturitv of the loan or in
the case of his death after September
80. 1925. such difference shall be paid
to the beneficiary under certificate, ex-
cept that if such beneficiary dies be-
fore the veteran. and no new bene-
ficiary is named, OF if the beneficiary
in the first instance has not vet been
named then the payment shall be
made to the estate of the veteran.
Provisions Affecting Veterans Death.
"(D) If the veteran lies before the
principal is due the amount of the
unpaid principal and the unpaid inter
est accrued up to the date of his death
shall he Immediately due and payable.
"(E) When any loan is in default,
the bank shall, within 30 days there
after notify the secretary Of the treas
ury of the facts relative to the note,
the name of the veteran and the num-
Der of his certificate.
"F) The loan basis Of any certif-
cate at any time shall, for the pur-
poses of this section, be the amount
of the adjusted service credit, plus in
terest thereon from October 1, 1922. to
such time, at the rate of Az per cent
per annum, compounded annually.
Bars Collection Of Fees.
"(G) No payment upon any note
shall be made under this section by
the secretary of the treasury to any
bank, unless the note, when presented
to him. is accompanied by an affidavit
made by an officer of the bank before
notary public or other officer desig-
mated for the purpose by regulation of
the secretary, and stating that the
bank has not charged or collected, or
attempted to charge or collect, direct
ly or indirectly, any fee or other COM
penSatiOn Except interest as author
lied by this sectiOn), in respect to or
because of any loan made under this