The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1922-09-20

HARDING PLACES
VETOON SOLDIER
BONUS MEASURE
President Says He Is In Ac-
cord With Purpose of Bill,
But Not With Its
Provisions

washington, September 19.-Presi-
dent Harding vetoed the soldiers
bonus bill today. informing Congress
in a written message that while ne
was in accord with "the avowed pur-
pose" OF the measure, he did not sub
scribe to its provisions.
The executives action was regarded
generally in Washington as making
impossible a bonus for the World
war veterans. at least for some time
to come, as 1t appeared to be almost
certain that the veto would be sus-
tanned by the Senate. A vote in the
House was planned for tomorrow
with Senate action to follow later
in the day or Thursday.
Mr.. Harding set forth a number
of reasons for disappearing the bill.
These included:
Failure of Congress to provide a
means of financing.
That inevitably the bonus would
mean increased taxation.
That the Legislation would wipe out
everything thus far accomplished 20
reduced government expenditures
wherever possible.
That a peace bestowal on the ex-
service men was "a perversion of
public funds" and suggested "that
future defense Is to be inspired by
compensation rather than conscious
ness of duty to flag and country"
Would Hurt Credit
That to add one-sixth of the total
sum of the public debt for distrib-
ution among less than five million,
of 100000 people would under
mine confidence on which the ma
tons credit was builded and "es-
tablished the precedent of distribu-
ting public funds whenever the pro-
posal and the number affected make
1t seem politically appealing to do
So"
THAT tho $40 100000, 900 of matur-
ing public debt in, the next six
years would be difficult to meet
without adding the complication of
added borrowings ON account OF a
bonus.
That the adjusted service certifi-
cate plan of payment, with it's bank
and government loan provisions, was
little less than certified inability
of the government TO pay and in
yfted a spractlce of sacrificial bar
ter by the veterans.
That the bonus would not dimin-
ish the later obligations in the way
of pensions to the World war vet
Grams.
Asserting that this obligation
would "cost more billions than
venture to suggest" the President
declared that a rational financial
policy today is necessary to make
the nation ready for the expendi-
lures which is certain to be required
in the coming years.
Mr.. Harding also called attention
to the sums now being expended for
tho care of the diseased. disabled or
dependent and asserted that the total
cost of this work, with insurance
Inability added, probably would ex-
coed $4,000, 100000.
Refers to Debt
ONLY once did the President reier
IN the interest on the foreign DEBT
out of which proponents OF the Dill
have commended it could be paid. He
told Congress that the government
was facing a deficit of s650.000,o00
during the current fiscal year and
further deficit for the year succeed
ing. even after counting upon all IN
terest collections on foreign indebted
ness which the government Is likely
to receive"
AS to the Immediate and ultimate
cost of the bonus, Mr.. Harding said
this was not definitely known.
Treasury estimates, based on what
seemed the most likely exercise of
the opinions, he continued. Figures
the direct cost s795,oo0.0oo for the
first four years and a total cost in
excess of $4,000, 100000. He added
that no estimate of "the large indi-
rect cost" ever had been made.
There was a full attendance OF
members at the reading of the veto
message. many of whom had returned
to the capitol to vote on the question
of overriding the veto.