The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1932-04-13
LEADERS VOICE
BONUS APPEAL
FOR VETERANS
Foreign Wars Chief Asserts
SO Per Cent Favor
Payment.
BANKERS JOIN ATTACK
Initiation Plan Is Menace to
Nation, FinanCierS
Declare.

bW T. mum ffiae
WASHINGTON, April 13.-High
officials of veterans organizations
today urged immediate and favor
able congressional action on the
$4,000, 100000 cash bonus.
Appearing before the house ways
and means committee, Darold D.
De Coe, commander in-chief of the
Veterans of Foreign Wars, asserted
that 90 per cent Of the veterans of
the World war are backing the
bonus.
Wallace j. Howells of Detroit, an
organizer of the veterans political
organization, told the committee Of
the plight of Detroit veterans.
There are 1900 veterans in De-
troit alone who have not paid their
taxes in two years" he said. The
payment Of the bonus would be a
tremendous help to them and to vet
Grams in every section Of the coun-
try"
Backfire is Charged
While representatives of veterans
organizations were presenting their
arguments in favor Of his bill, Rep
resentative Patman (Dem., Tex
took notice of bankers opposition to
his proposal.
It was his opinion, he said, that a
meeting Tuesday of the federal re-
serve board and members of federal
reserve banks was held for the pur-
pose of starting backfire against
the bonus
George w. Armstrong, Ft. Worth
tTex) manufacturer, appeared be-
fore the committee to urge the cur
rency imitation feature of the Pat
man bill. He said it would raise
prices and wages 300 per cent.
Armstrong said he was author of
several financial books, including
THE Ubiquitous Dawes Plan" and
To He'll With Wall Street
Political and financial leaders, so
often at odds, are united in their
steadfast opposition to the bonus.
The congressional leadership,
both Democratic and Republican,
solidly is supporting President Hoo
er's war on the bonus plan. High
administration sources confidently
believe the bonus will be defeated,
despite the political power of the
veterans vote.
Will Oppose Imitation
Important business and financial
figures are preparing to descend on
the house ways and means COM
mittee to oppose the initiation which
would be involved in paying the
bonus with new issue of cur
rency.
The opening gun in the finan-
ciers' campaign was fired Tuesday,
with bonus advocate pulling the
trigger, Senator Thomas (Dem.,
Okla) introduced in the committee
record a letter from Charles E.
Mitchell, chairman of the board of
the powerful National City bank
of New York, who declared infla-
zion would be extremely dangerous.
Thomas advocates imitation as a
remedy for depression and desired
10 show that the bonus would bring
it about.
Called Peril to Nation
Mitchell declared that the Pat
man bill and similar paper money
imitation plans would be "gravely
damaging both to the credit of the
United States government and the
stability of our monetary system"
J. H, Chase, chairman of the
board Of the federal reserve bank
of New York. in another letter,
Joined Mitchell in condemnation of
the bonus bills.
L regard the proposed legislation
as dangerous in the extreme"
Mitchell said,' it will affect govern
ment financing, make it more cost
~, If 1t does not lead to the printing
of paper money for other govern
ment expenditures as we'll as for
the bonus payments, which would
result in complete decentralization.
Depreciation of the currency i'm
mediately will affect the purchasing
power of all wages and cause wage
controversies everywhere through
out the country