Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-01-27
Fail to Reach
Vote on War
Debts Allies

Washington, Jan. 26-The allied
debt refunding bill was subjected
again today to running attack from
both the Republican and Democratic
sides of the Senate and was defended
at some length by majority party
leaders. When the Senate adjourned
the end of the debate was not in
sight but those in charge of the
measure thought a final vote might
be reached tomorrow.
In the first vote on an amendment
to the bill late today, an amend
ment was approved providing that
the refunding bonds should not bear
interest at less than 4 IA per cent.
The amendment was suggested by
Senator Simmons, Democrat, North
Carolina, as a substitute for the
original finance committee amend
ment which would have provided
that the rate of interest should not
be less than that provided for by
existing law. The attack on the
measure today was opened by Sena-
tor johnson, Republican,, California,
who warned TIE Senate that if the
reported plan of the administration
to Sell the foreign bonds to the
American people was carried out
you went need League of Nations
to drag you into every imbroglio
across the water. With the bonds
distributed among the people, he as
serted, there would be constant pres
sure on the government to interfere
in the affairs of the debtor nations.
Supporting his amendment requir-
ing.
. Supporting his amendment requiring
congressional approval of agreements
entered into with the debtor nations
by the proposed debt-refunding COM
mission, the California senator said
Congress was responsible to the peo-
pie and should not surrender its DOW
err to supervise the debt refunGing. Ir
this connection he attacked the secret
sessions of the arms conference, de-
claring that "a real disarmament rro-
gram would have resulted Rad the
sessions been held in the open for one
week after Secretary Hughes had
made himself hero by his masterfu
presentation to the world of the things
America would do"
Opposing. the johnson amendment
Senator Watson. Republican, Indiana
declared that vote of the Senate to
accept it would be nothing less thai,
"a vote of a lack of confidence in the
president OF the United States" SEN
ator Borah. Republican, Idaho. took
issue with the Indiana senator. de-
claring that Congress had caused the
creation of a debt and that it was
responsible to the people for what hap
pened to. it.
Senator Watson told the Senate that
the secretary of the treasury had au-
thority to refund that portion of the
foreign debt represented by direct ad-
Vanccs from the treasury to the allied
nations. but he did not have the au-
thority to refund the deferred inter
est and the other obligations growing
cut of the sale of American war ma
terial and relief supplies to France,
Poland and other nations.
Closing the days discussion, Sena-
tor Hef1in. Democrat, Alabama. wanted
20 know what the Wall Street inter-
ests were behind the proposition tkat
the government unit off to some far
distant time the collection of the IN
terest." He said it had been suggested
that the holders of British and other
foreign bonds sold in this country dur
ing the. war wanted the government
to defer it's interest collections so that
the privately held bonds" could be
taken care Of by the foreign nations.