Paragould soliphone. (Paragould, Ark.) 1918-1950, 1922-01-13
Elk SOLDIER
bonus FROM
ALLIED Debt
This Is Administration Pro
gram as Outlined by
Chairman Fordney; Hard
ing Approves Plan.

RAAA (AGpL CS1S @t~Ahs
Washington, Jan. 11.--Cash bo-
muses. for former soldiers of the
great war will be available as soon
as the S11,000.oo0,000 allied debt
to the United States, or part OF
it, is refunded into long term obli-
cations.
This 10 the administration plan
which Chairman Fordney outlined tO
the House Committee ON Ways and
Means yesterday and in accord with
which the foreign debt refunding
bill is to be pushed through within
the next month and followed with
bonus legislation.
The program which has been ap-
proved by President Harding, pro-
vides for the payment Of bonuses
from the interest on the war loans
or, if such interest is not sufficient
from the proceeds of the sale to
the general public CT long-term So
curities into which the foreign loans
will be refunded.
Under this plan it will be pos
sible to go ahead with soldiers bo-
nus legislation without knowing
what the terms of interest paymente
are to be- Nothing should be done,
however, in the view of the presi-
dent, until the refunding legisia-
ton is passed and definite authority
is vested in a commission to handle
the refunding.
One of the features of the scheme
is that the foreign securities shall
be sold at not less than par and
shall be guaranteed by the United
States government.
Mr.. Fordney indicated to the
Ways and Means Committee that in
view of the approval OF the scheme
by the administration he would not
press his own plan for sales tax
Senate Amendments Questionable.
The administration rsfnnd1ng bill
is in the hands OF the Senate I'll
nance Committee. That committee
few weeks ago amended tha bill
as passed by the House by adding
restrictions which are dispSeasing
to the administration. President
Harding and Secretary OF the Treas
ury Mellon are eager that the com
mittee shall eliminate these objeo-
tionable restrictions and report the
bill to the Senate in the same form
in which il passed the House. There
has been a disposition not to press
the matter while the armament con-
ference is in session, but it is the
intention not to delay action much
longer. The administration hopes
that the measure can be enacted
into law within the next three or
four weeks and then is willing that
the bonus legislation shall &c ahead.
The bonus bill will start in the
House Ways and Means Committee,
because the Senate Finance Commit
tee is too busy with tariff legis-
lation to give it any attention until
after it has passed the House.
It is estimated that it will not
be necessary to sell as much SIS
S1,000,000,00O worth OF the more
than S10,000,00O,000 worth OF for
eign securities which the United
States will have. II funds derived
from the sale of these securities are
used for the soldiers bonus, n Will
mean that ultimately that mach Nd
ditional money must be raised by
taxation or otherwise to retire Lib
erty bonds. The theory presumably
is that this method offers a way
to obtain money in the near future
and that at a later date it may be
less difficult to meet Liberty bond
maturities.
The suggestion that the foreign
securities be sold to the general pub
lie is in line with hope expressed
by President Harding in an address
several months ago that The foreign
securities can be absorbed by the
people.