Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-02-03
COMMITTEES HEAR
CASH BONUS FOES
Hines Warns Against Iniur-
ing Aid for Disabled Vet
Grams and Families.

By the Associated Press.
The agitation over veterans cash
payment legislation whirled with re-
newed fury today before Senate and
House committees.
A warning that I'VE have reached a
point in connection with veterans re-
lief when we must give serious consid-
Grafton to where we are going" was
laid before the Senate Finance Com
mittee by Veterans Administrator Hines.
At the other end of the Capitol Rep
resentative Garner of Texas, the minor
ity leader, called attention to unusual
"reinforcements" for Secretary Melons
economic views as the House Ways and
Means Committee called E. d. Duf1eld,
president of the Prudential Life Insur-
ance Co., 20 testify on plans to cash
adjusted compensation certificates.
Danger to Disabled.
Gen. Hines cited a danger of having
public opinion turned against relief
measures for disabled veterans because
of any unwise legislation for the able
bodied"
Pointing out that appropriations ap-
proved by the House recently for veter-
ans relief during 1882, called for an
outlay of nearly 5000, 900, 900, he said
these expenditures will undoubtedly"
increase under existing law and addi-
tional costly legislation will be needed
later.
1T seems to me we should pause and
think of the possible effect the acceler-
alton will have on future legislation for
the disabled and their widows and or
phans," he said.
Hines commended "a great deal of
misunderstanding has arisen among vet
Grams as to just what their certificates
represent" adding that many of them
believe the face value is the value OF
the certificates now.
Says Demand Would End.
II they understood what the present
value represents in cash, he expressed
conviction there would be no serious
demand for cash payment.
: Further, it goes without saying" he
asserted, that the average veteran
would not advocate or favor any pro-
posal which would disrupt or tend to
disrupt the fiscal policies of the Gov
eminent, or which would affect adj
versely the economic situation of the
country"
Duffield said payment of the cash
value OF the certlncaCeS would DELAY
recovery from the depression.
With the present financial condition,
he said the economic structure would
be seriously disturbed" by a Govern
ment bonds issue sufficient to pay of
the certificates. Insurance and other
bond-holding companies including banks,
would be compelled to prepare them
selves by disposing of their present Sc
curitieS at losses.
Senator Couzens, Republican, Mich
igan. asked UnderSecretary Mills Of
the Treasury, what was the difference
between paying $4,000, 100000 now and
in 1945.
Committee Recesses.
Mills answered that the Government
was unprepared now and that 1t would
be ready then to take care Of the sit
uation.
Senator Barley, Democrat, Ken
lucky, interposed that it would take
months to arrange for the payments
and asked if the Treasury could not
prepare itself meanwhile.
81 understood that it was to take
care of a situation now" Mills re-
piled.
The Senate committee recessed after
short executive session until Satur-
day, without taking action.
Senator Barley said he felt ma
jority of the committee favored some
| form of relief for veterans. He added,
however, it was a question as to which
0f the proposals would be reported
favorably or whether a compromise
would be adopted.