The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1923-02-03
HARDING WRITES
HIS MESSAGE
ON DEBT
Opposes Plan for Bonus Rider.
Speedy Action by Congress
Is Expected.
By Fl. X. REYNOLDS.
international News Service.

International News Service.
With the final agreement for the
funding OF the 5000, 0O0, 900 British
debt on his desk and with Admin
istration leaders in both the Senate
and House prepared to put through
a resolution of ratification before
the end of next week. President
Harding today began work on the
special message in which he will
ask Congress to formally approve
the settlement reached by the
Anglo-American debt negotiators.
The President has not yet decided
whether or not he will appear be-
fore Congress in person, but the
impression prevails that he will
not only for the effect 1t will, have
upon Congress, but also for the
favorable impression that would
thus be produced abroad
Senator Henry Cabot Lodge, Re-
publican leader of the Senate
called at the White House today
to discuss the details OF the debt
settlement with the President.
Congress will receive the report OF
the American Debt Funding Com
mission and the Presidents message
of transmittal about the middle Of
next week immediately thereafter
the resolution or ratification or pros
posed amendments to the funding
act will bw introduced In the House
Ny CONGRESSMAN Theodore Burton
(Rep) of Ohio, a member Of the
American commission.
Speedy Agreement Expected.
Administration leaders expect the
House to approve the British agree
ment twenty-four hours after 1t il
introduced and the way IL being
cleared for similar speedy action in
the Senate, though some delay ii
looked for because of the opposition
in the farm bloc"
President Harding probably win
| tell Congress In transmitting the
/ debt agreement that he does not be-
lieve the soldiers bonus or other ir-
relevant legislation should be at.
tached to the ratification resolution.
He has already voiced his disap
prevail OF such procedure on the
ground that it would be unseeTnIx
| to decide what is going to be done
with the money paid by Great Brit
ain before this Government has for
mally put its o. *. on the terms for
settlement.
Vet Bloc to Stand Firm.
| For the past few days administers
ton leaders in the Senate and House
have been prevailing upon advocates
of the bonus to hold off until the
debt agreement is disposed OF, but
/ there were indications today that
| members OF the veterans bloc"
would not pass up the opportunity
afforded by the British settlement to
wage fight for compensation legiss
lation. 3
It is improbable that their efforts
will succeed. but they intend to lay.
! the foundation for a stronger bonus
battle to follow action on the debt
agreement.
Bursum Leads Fight.
This new fight viii be led by Sen.
ator Bursum Rep.) of New MexfcO
with a bill which has received the
approval of the American Legion.
The Bursum bill would return an!
payments made by service men for
| adding cash bonus of $40 a month
for service of more than sixty days,
Immediate payments in cash are
provided for claims of $50 or less
and half of all claims over $50 on
| October 1. 1923. The remaining
half would be paid in three years.
| or on October 1, 1926, carrying 4
per cent interest until hquidated.
The War Department estimates
the total outlay contemplated by.
the Busum bill at 81 200, 900, 900 for
payments, interest and administra-
ton. It's cost thee first year would
be $3.50, 100000
Senator's Finance Plan.
Senator Bursum's plan is to make
an appropriation for the first years
payment and then to use money re-
ceived from Great Britain to make
all deferred payments. using Subse.
quent debt payments after three
years to pay back the $3.50, 000, 600
required for the first year. ia
This measure" Senator Bursum
said today, lis drawn as a bill to
pay debt just as any other claim
against the Government. 1t is an
obligation and not a gift. The debt
payments can be used to wipe out
this obligation to our soldiers and
in seven years the whole obligation
would be paid Off"
In connection with Bursum's
statement, 1t was pointed out, how
even, that Great Britain was not
obligated to make annual payments
in discharging the principal OF her
debt, but was permitted to make
these payments in three-year Pc
RODS. The first years installment
will be $4,000, 900 and these pay
ments will be increased until they
reach a total of $175 100000 at the
end Of sixty-two years.