New-York tribune., 1922-06-01
McCumber Plan Adopted
Without SmOoi Insur-
ance Feature, and Pas.
sage Now Seems Sure
What Harding VIII
DO Is Not Known
Democrats To Back Cash
Scheme and Insist on
Action Ahead of Tariff
-. II. T-l,rr.. Wa,hl.oior 49,


FROM ne Tribarrs Wnshir0for Hn--nY
WASHINGTON. May Sl.-Advoeate'
% soldiers bonus legislation won a de-
cisivc victory to-day when the Senate
Finance Committee. by a vote OF 20
4. ordered 'he MeCumber bonus meas
ure reported 20 M. Senate. The Smoot
Insurance plan was defeated by vote
Of 20 3.
The MeCumber bill provides for .
certificate and loan plan and Is much
tho same a. tho bill already passed
by the House. I, Is the intention Of
,hs senate Republican leaders 90 put
u through the Senate, and there is
every indication now that bonus
measure will 60 through Congress and
he submitted 10 the President. What
course ne will take the Finance Com
miitee leaders have not been further
advised. The President has not com
municated his views 10 them since the
White House conference several days
ago. The bill does not provide a
method OF raising MONEY, as the Presi-
dent mas insisted it should.
Plan Tariff First
II Il, the intention Of the Senate Re
publican leaders TO hold the bonus bill
back from consideration by the Sen
ato until the tariff bill has been
passed. However. the Democrats will
make one or more attempts before the
tariff bill goes through 10 have the
measure considered The Republican
Leaders viii ondeavor 70 defeat such
movements.
on the final vote IN the committee
to-day those who voted 70 report the
McCumber plan were: Senators Cur
tis. La Toilette. Sutherland, Mclean.
Watson. Of Indiana. and McCumber,
Republicans. and Gerry. Simmons and
Walsh. OF Massachusetts,, Democrats.
Those who voted against reporting the
bill we're Senators Calder, Dillinghan,
Frelinghnysen and Smoot.
Prior 10 that a vote vas AIKEN on
The Smoot Insurance. plan. This was
dc foA,ed BIZ S 20 ). The five who voted
for the Smoot plan were Senators
Calder. Dillingham;. Frelinahuysen, Nc
Lean and Smoot On the final vote on
The question of reporting the MeCum-
Der plan. Senator Mclean went over
TO TIE support Of those VINO wanted
to report the measure.
Senator Simmons, ranking Democrat
OF tho Finance Committee. made u
l. 4. Of shn ~ =
to-day that the Democrats would Offer
on the floor plan for a cash bonus
and that they would move AZ every op-
portunity to have the bonus bill taken
up ahead OF the passage OF the tarih
bill. This threat has caused no little
uneasiness among the Republican lead
ers. though they hope to block motions
20 take up the bonus measure before
the tariff is disposed OF.
The bill which was ordered reported
Is entitled "the World War adjusted
compensation act" Under II. vet
eran Of that war Is any person who
was a member Of the American military
or naval forces az any time between
April 5. 1917. and November l.. 1918.
Persons dishonornbly discharged, con
scientious objeetors and persons dis
charged because aliens arc not included.
Maximum Is s625
Compensation T. on a basis Of 81
4 day FOR home service and 81 25 for
overseas service when service exceeded
sixty days. The maximum payment
for home service is $500 and for over
seas service s625. Those whose com
pensation Is 500 or less will receive
cash.
Those whose compensation exceeds
$50 are entitled 20 adjusted service
certificates upon which they can bor-
row from any national bank or bank
or trust company 90 per cent Of the
face value Of the certificate. The IN
terest on the loan Is not 70 exceed ?
per cent per annum.
Other options allowed the veteran
are vocational training aid and farm
or home aid.
The chief feature Of the bill is the
adjusted service certificate. which ma
lures IN twenty years from date OF
issue. II the holder dies the govern
ment will pay the sum due 20 the heirs.
4 veteran borrows money on MS
certificate and does not meet his note
in six months maturity the bank
holding note and certificate can pre-
sent them TO the Secretary OF the
Treasury, who cancels the note and
pavs the bank what is due II in prin-
cipal and interest This provision ap-
plies 10 loans maturing before January
is. 1926. After January. 1926, the
Postmaster General is authorized and
directed to instruct postmasters Of the
first. second and third classes 20 take
oprlications for government loans and
collect payments thereon when they
mature. These loans, secured by the
certificates. will be made by the gov
errment through the Secretary Of the
Treasury. The provisions for loans
from banks and trust companies apply
only up 90 January !. 1926.