Evening star., 1932-08-26
Six ~Specifics'
Suggested to
Conference.
CENTRAL GROUP
TO BE SET UP
Secretary Tells OF
Progress to
Recovery.


noting economic improvement,
co-ordinated by a Central Com
mittee of business leaders, were
recommended to the Presidents
conference of banking and bust
ness leaders today by Secretary
Of the Treasury Mills.
He told the assembled commit
tees that this program had been
presented to their chairmen in
yesterdays all-day meeting of
Federal Reserve Bank officials and
believed worthy of considera-
ton" by the conference.
I'VE are not setting uA an eco
nomic council to endeavor to di-
Sect the economic policies of the
country" the Treasury Secretary
assured the gathering.
I'VE are creating central organiza-
tion for the purpose of contact and CO.
operation to assist in the task to be
performed by the Reconstruction FL
nance Corporation, Federal Reserve
Banking System, the Home Loan Banks,
the Banking and Industrial Committees
and such voluntary groups as may asso-
ciate themselves with the latter with
view to developing helpful steps looking
to gradual economic rehabilitation and
more Immediately an increasing in en-
ployment.'
Six-Point Program.
The six-point program as outlined by
Mr.. Mills is as fellows
81. The problem of making avail
able credit afirmatively useful to busi-
ness.
"2. To increase employment by the
railroads and stimulation of industry
through expansion of maintenance of
equipment and purchase of new equip
ment in cooperation with the Inter
state Commerce Commission and the
Reconstruction Finance Corporation.
"3. Increased employment through
the sharing work movement
a. The stimulation of the repair
and improvement of home movement.
as. Assistance to home owners with
maturing mortgages.
Is. Active cooperation Of all bank
cLlO A1lduotAldI WIFI lLle
Reconstruction Finance Corporation in
working out the problems incident to
the making of -liquidating loans for
public and semi-public projects and for
slum clearance and housing projects as
provided in the emergency relief act; in
the aiding of live stock loans by the
Reconstruction Finance Corporation
and agricultural credit corporations; In
assisting the establishment of agricul-
ture credit corporations provided for in
the relief act and in facilitating the
adequate functioning of the new home
loan banks"
Mr. Mills said that since first discus
sions of central clearing house organ
ization and definite plan for business
and employment betterment, progress
already had been made He cited as
examples creation of the commodity
finance and American securities cor
porations and the development OF a
apital-eXpenditures movement among
corporations.
Text of Mills Statement.
The full text of Secretary Mills
statement follows:
Some four months ago, at a
time when the Reconstruction Finance
Corporation was already actively engaged
our banking structure and the Federal
Reserve system, with its vast resources
made fully available by the Glass-Stea-
gall bill, was, through vigorous policy,
Stemming the tide of def1ation and
credit contraction, but when dark
clouds still hung heavily over our finan-
cial horizon, there came into being in
each of the II Federal Reserve dis
tricts a banking and industrial commit
tee composed. generally speaking, of
six leading bankers and six leading in
dustrialists and business men.
The first one of these was created in
the New York district under the leader
ship of Mr.. Owen Young. This COM
mittee served as model for the CON-
mittees subsequently organized in the
other districts. In the words of Mr..
Young, the objective of these commit
tees was Ito discover ways and means
of putting excess banking credit to
work afflrmatively to stimulate employ
ment and business recovery" Mr..
Young is here to tell you in person how
the New York committee has been or
ganized, how it has tackled the prob
lens in the second Federal Reserve dis
trict, and what it has been able to
accomplish.
The chairmen of the committees in
the other districts are also present, but
for the purpose of discussion this morn
ing the story of the New York commit
tee may be taken as typical Of the work
Continued on Page S, Column 81