Evening star., 1931-12-17
VOTE ON DEBT PLAN
|SEEN BY SATURDAY
Victory for Moratorium in
House Expected Despite
Opposition.
Continued From First Page.)

! Continued From First Page)
| ternatlonal bankers were very active in
| conferrlng with important Government
ofhcials, particularly officials of the Fed
| eial Reserve Bank of New York, at or
ABOUT the time of the declaration of
the moratorium.
| 1t ought to be clear to any one
that the New York international bank
ers, tearing a. loss of these private debts,
were extremely anxious to secure
priority and just as willing and in
SlStent TO see that reparation payments
were reduced or Cancelled
Despite the amount of opposition
which has shown itself, victory for the
debt plan was not expected to prove
difficult.
Mr. Dawson, called to testify re-
gardlng press reports that the countries
mad mad the funds on deposit, said:
Ihey did not have funds with us
| and did not offer any,"
Have Working Funds.
Dawson said he assumed any such
J deposits would have been made with
| the house he represents.
"Of course they have current working
! funds" he said.
He added he did not know whether
funds had been deposited in any other
| bank, but tntlmated it was unlikely.
He said he would have known about
| it If the three countries had offered to
make deposits for payments.
Opponents of ratification Of the
| Presidents plan to suspend debt pay
| mentS for one year had cited press re-
| ports that the funds were on deposit as
evidence that the suspension was un-
| necessary.
Representative Rankin, the Mississippi
Democrat who first raised the question
| before the committee, asked permission
| to quiz the witness
Questioned by Rankin.
Representative Treadway, q Massa
| chusetts Republican, raised the question
! of permitting non-Committee member
to participate, but Chairman Collier
| ruled Rankin could question Dawson
if the committee did not object Ran
kin then proceeded to cross examine
Rankin asked if j. P Morgan g. Co
would not have paid the December Is
debt payments if requested to do sc
! by the countries.
Davic > :, "a in assent, but later
added
Assuming they had the funds with
us"
Are not your financial relations with
these countries such that YOU woulc
have met the payment at their request
anyhow"
Dawson declined to answer
Il came down here to answer one
question" he said, addressing the com.
mittee rather than Rankin.
Il was called at o'clock last nigh
and am not prepared to enter into &
discussion Of this subject"
Rankin told the committee he die
not consider that the press report thai
funds were on deposit to meet the pay
mentS had been contradicted.
Committee Ends Hearing.
The committee then ended the hear
ing.
Earlier. Representative Patman, g
Texas Democrat, spoke briefly in op.
position to the moratorium proposal.
Patman called the moratorium ar
entering wedge for cancellation"
Chairman Collier, before the fury Of
| opposition climaxed by the attack oi
Representative McFadden yesterday
had hoped to get the measure on the
floor today, but it became impossible
The prospect in the Senate was still
| somewhat uncertain. with an investi-
cation of foreign bond sales slated t
open tomorrow and with amendments
ready to alter the value of the ratif.
cation.
Stands BY His Guns
McFadden stuck by his guns under
the denunciation of his fellows yester.
day and delivered one more blow at the
international debt agreement He ap.
peared before the House committee after
the administration witnesses had wounc
up their case. In calm, precise Ian
guage, which contrasted with his heated
utterances on the floor, he charged that
international bankers, with permission
Of the administration, had loaded the
small banks of the country with foreign
securities causing many failures.
This idea lies also behind the resolu-
ton Of Senator johnson Of California
under which the investigation by the
Senate Finance Committee is to be
started tomorrow. Thomas W. Lamont
partner of the Morgan firm, and Charles
E. Mitchell of the National City Bank
Of New York, have been called as first
witnesses.
! McFadden wanted these men called
before the House committee also, but
the time schedule of that group was
counted upon 10 prevent such extended
hearings