Evening journal., 1923-02-07
HARDING ASKS
EARLY ACTION
OF FDEBTPACT.
Warns Congress Money
Must Not Be Applied for
Soldier Bonus
PLEADS ALSO FOR
SHIP SUBSIDY BILL

WASHINGTON, Feb. Omitted
Press) Presenting the agreement
for the repayment of the British
debt to Congress today President
Harding in a brief message charac-
! terized the settlement as the first
clearing of the war clouded skies in
debt -burdened world"
The settlement, he further de-
| clared. in speaking before a joint
/ session is lin effect a plight against
war and war expenditures and
rigid adherence to that prediction
and retrenchment which enhances
stability precisely as it discharges
obligations"
The President earnestly asked
Congress to approve the settlement
speedily. He coupled with this a
warning against spending the money
to be paid by Great Britain for
soldier bonus or any other project,
pointing out that the debt that is
to be paid Is already pledged to the
repayment of investors in American
/ liberty bonds.
He also included a brief but en-
phatc appeal for the ship subsidy
/ bill declaring that ii is as import
ant to stop losses to the government
as to collect obligations owed it. He
( frankly demanded vote in the
Senate on the measure.
Il plead for a decision" said Mr..
Harding. "If no decision is given the
executive branch Of the govern
ment may proceed as best>it can to
/ end the losses in liquidation and
/ humiliation"
/ Cancellation OF the war debts, "as
/ a. fsncied but fallacious contribu-
/ tion toward peace" was denounced
! by the executive.
The President started his message
by submitting the report of the
I American debt funding commission
on the British settlement outlining
i ITS terms This report, he said. itself
contained everything necessary to
the fact that the settlement repre-
sented a fair bargain, just to both
governments. but more important
still. recognition OF the integrity
of agreements and the validity OF
contracts OF which, he said the
world is in great need. Great Britain
he said, had manifested the
highest sense Of financial honor" in
the matter.
The President spoke with gratih-
cation of what he termed the almost
unanimous approval of press and
public of the settlement.
"It means vastly more" he added.
than the mere funding and the ul-
innate discharge of the largest in
ternational loan ever contracted. 1t
is a recommitment OF the English
speaking world to the validity OF
contract. The failure of the British |
undertaking would have spread po-
litical and economic discoura cement |
throughout the world. and general /
repudiation would likely have fol- /
lowed in its wake. But here is kept !
faith-willngly kept. let it he re-
corded-and a covenant of peace no
less effective than II would he II |
Joint British and American opposi- |
ton to war were expressly agreed |
upon. II is a covenant of peace and !
regeneration. II is a new element
Of financial and economic stabiliza-
ton. when the world is sadly need (
ing a reminder of The ways of peace.
"lt is an example OF encourage
ment and inspiration, when the
world is staggering in discourage
ment. and bowed with the sorrows
of wars which humanity is praying
NAV be avoided. II the debtor ma
tion could approach the question in
such a spirit as Britain showed, the
United states should meet 1t in the
same spirit and readily approve Mr'
Harding said. "and with a prompt
ness that will convey fitting appre-
ciation.'
He told Congress that though he
realized the short time remaining IN
the session, but declared that there
is ample time to dispose Of 10th the
debit funding and ship subsidy bills,
even allowing for much debate.
EITHER is fit to be recorded
chapter in great achievement; both
will mark a signal triumph" he said. /
"Roth are inseparately related TO |
our good fortunes at home and our
high place in the world"
The President made no recon- /
mendations to the fern the legisla-
tion approving the settlement should !
take. He left it to Congress to de- |
eide whether to make a general |
amendment Of the debt funding law, !
applying the terms of the British !
settlement to all debtor nations or /
to approve merely the British agree
ment separately changing the terms |
of the law.