The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1931-02-18
HOOVER SAYS
BONUS PLAN IS
ALL WRONG
Favorable Report, However,
Is Made by Senate Com
mittee, 1873.
VETO SEEMS CERTAIN
Consideration of Measure
to Be in Order First
Thing Thursday.

~ Cfftfb fftn3
WASHINGTON, Feb. lathe
senate finance committee today voted
a favorable report on the house bill
to increase the loan value of vet
Grams adjusted compensation Ger
tificates The bill was reported
without amendment despite the un-
equivocal opposition of the admin
lstration. The vote was 13 to 3.
Last minute efforts of Mr.. Hoover
and Treasurer Secretary Mellon to
defeat or modify the bill were un-
avaiiing. At brief committee
hearing, letter from Mr. Hoover
TO Chairman Smoot was read, de-
crying the bonus bill and asserting
1T would seriously jeopardize the
equipolse Of the treasury.
The vote on the motion of SEN
stor Harrison (Dem., Miss to re-
port the bill favorably without
changes was as follows:
Yeas Q3-Republicans: Watson,
Shortridge, Couzens, Reyes, La
Toilette, Thomas Qdaho); Demo-
Gratis; Simmons, Harrison, George,
Walsh (Mass), Barley, Thomas
(Okla), Connally.
Nays (O-Republicans Reed,
Bingham, Smoot; Democrats: None.
Report Position Unchanged
Persons close to President Hoo
YER freely predicted that he will veto
the bill. Strong pressure had been
brought to bear on the President
Tuesday night to change his posi-
ton and sign it in view of the over
Whelming sentiment in both houses
of congress which practically insures
passage over e veto. Nevertheless,
his position was understood to be
unchanged.
Chairman Smoot Of the committee
formally reported the bill to the
senate at 1920 p. M, and the sen-
ate agreed to begin consideration of
the bill Immediately upon meeting
Thursday
Ogden Mills, undersecretary of the
treasury. appeared in person TO
oppose the bill General Frank T.
Hines, director of the veterans
bureau, testified as to the probable
cost of its administration.
Hearings Are Cut Short
Chairman Smoot cut short The
hearings, explaining that unless the
bill we're reported promptly at noon
senators would raise the dickens"
Several senators urged representa-
tives of veterans organizations be
,oo,.,1,itfoI fC fncfifV hut ~ ~
of the committee sided with Smoot
for immediate action.
Mr.. Hoover's letter said there
were number of most serious
objections to the bill which he
thought would be liability to the
country. The measure as passed
overwhelmingly by the house would
increase the loan limit on adjusted
service certificates to so per cent
of their face value.
The one appealing argument for
this legislation is for veterans in
Distress the President stated
The welfare of the veterans as a
class is inseparable from that of
the country"
"Will Injure Country
Placing a strain on the savings
needed for rehabilitation of en-
ployment by a measure which calls
on the government for vast sum
beyond the call of distress. and so
adversel affecting our general situa-
ton, in my view, not only win null
lily the benefits to the veteran, but
inflict injury to the country as a
whole" he continued.
II have supported, and the ma
ton should maintain. the important
principle that when men have been
called into jeopardy of their lives
in protection of the nation, then the
nation as a whole incure a special
obligation beyond that to any other
group of its citizens.
These obligations can not be
met wholly with dollars and cents.
But good faith and gratitude require
that protection be given to them,
when in i'll health, distress and in
need.
over 100000 World war veterans
or their defendants today are re-
ceiving monthly allowances for
these reasons.
Veterans Also to Suffer"
The country should not be called
upon, however, either directly or in
directly. to support or make loans
to those who can by their own ef-
forts support themselves" he de-
clared.
BY far the largest part Of the
large sum proposed in this bill is to
be available ito those who arc not in
distress.
The acute depression and unem-
ployment create a situation of I'M
usually economic senSitiveneSS which
is more easily disturbed at this time
than in normal times by the conse-
quences of this legislation, and such
action might quite we'll result in a
prolongation of this period of unem-
ployment and suffering in which,
veterans themselves viii suffer with
others"