New-York tribune., 1922-04-23
Six Republican Finance
committeeman May Rec.
ommend Issue of Ger.
tihcates of Indebtedness
Smoot Fights for
Paid-U p Insurance
Plan for Cash AlIotments.
Depending on Allied
Debt, Grows in Favor

FROM me Jrtbhhe' S Washington Bureau
WASHINGTON, April ga confer
ence OF SIX of the Republican members
OF the Senate Finance Committee on
the bonus bill to-day left the question
OF how the bill will be shaped in this
committee still undecided. However.
the committeeman are going ahead with
the effort to pass q bill They expect
TO report one from the Finance Commit
tee and that the Senate will pass it.
1t is also known that Chairman Nc
Cumoer and most of the committee
men are proceeding on the theory that
the president will not veto the bill
Adaptation Of the House plan, with
use Of certificates of indebtedness in
stead of loan certificates. at least in
part, seemed probable after the meet
ing to-day, Increase of the maximum
or cash payment TO $10O instead of $50
is strongly favored. The Senate plan
OF provldlng for q straight cash bonus
end meeting it with certificates Of in
debtedncss which would be taken care
Of by the foreign debt is said 70 bave
developed strong support
"pP"0o d'u-tp Insurance Plan
IN the Finance Committee conference
To-Day plan proposed by Senator
Shoot tor the issue of paid-up insur-
ahce 10 the veterans was lost by tie
vote Senators Calder and Freling-
huysen supported Senator Smoot. Sen
ators McCumber, Watson and Suther-
land voted against it. Senators Curtis
Mclean, Dillingham; and La Toilette. of
the Republican membership Of the
committee, were absent.
inc result Of to-days conference
though the insurance plan was turned
down, was on the whole indecisive.
Strong sentiment developed for the is
sue of certificates of Indebtedness to
meet any cash payments which NAV
be made and for the avoidance Of any
taxation features. Senator McCum
bers objections to attaching bonus
rider to the tariff bill are shared by
majority Of those at the conference
Will Hear Legion Views
1t was decided definitely that be-
fore any bill is shaped up the officers
OF the American Legion Will be asked
tor their views. Commander Hanford
MacNider probably will be called in
next week. 1t is the view of the
leaders of the committee that the bill
ought, as TAR as practicable, meet the
wishes Of the Legion
Whether the House plan Of issuing
certlflcates on which loans can be OBJ
telneo VIII be followed was not de-
clded at to- days meeting. The adop
tion of the House plan in this respect,
with the maximum cash payment raised
to Sl0O instead of $50, has some advo-
Gates. The Senators, however, are not
informed what this would cost Ex-
pert figures will be obtained regard
ing it,
As for the insurance plan which was
rejected in the meeting to-day, it is
not deemed likely that a full attend
ancc of the Republican Senators on
tho committee would change the result
and indorse it, though Senator Smoot
will fight hard for it.
Smoot's Insurance Plan
he Smoot plan is to issue paid-up
insurance, in twenty-year policies. The
amount of these would depend on the
length of service, based on 81 a day
for home service and s1.25 for foreign
service, compounded at AZ per cent
The face value of the policy would be
payable to the family or beneficiary
at death, but the policy would have no
loan value. 1t is estimated the ulti-
mate cost of tins would be $500 ,000,-
600 or about sl50,O00, 900 a year for
twenty years. The cost at the outset
under the insurance plan would be met
by issue Of certificates of Indebtedness.
One Of the arguments for the insur-
ance plan is that it would, as Senator
Smoot contends, obviate granting Of
pensions.
1t was the contentious of those at
The conference that payments on the
interest and principal OF the British
debt would soon be forthcoming and
would meet the short term certificates
Chairman McCumber has abandoned
his purpose to see the President be
fore the bill is shaped by the commit
tee. Instead, he will wait until the
committee has agreed or how to re
wise the measure and then confer with
the President,
In a reply to the Pocatello, Idaho
post Of the American Legion, which has
threatened to punish him politically
for opposing the bonus, Senator Borah
to-day sharply declared he would not
charge to the taxpayers his political
expenses" and that his course will not
be changed by the threats against him.
III ] should vote for it," Senator
Continued on page threo)