Evening star., 1932-10-05
MILLS SAYS HELP
OF j. s. TEMPORARY
Secretary Holds 1t Is Not
Duty Of Government to Di-
rect Economic Life.
BY the Associated Press.
>0 Ny~rT Ec -

BY the Associated Press.
LOS ANGELES, October 5.-Warned
by Secretary Of the Treasury Ogden L.
Mills that 1t Is not the duty Of the
Government to direct to economic life
Of the Nation. the American Bankers
Association today turned to the task
of considering taxes and their relation
ship to the public welfare.
Gov. M. S. Conner of Mississippi. a
State in which many farms have been
sold for taxes during the past year. was
the principal speaker at today's
program.
Secretary Mills. as guest speaker at
a special meeting Of the association S
fifty-eighth annual convention last
night. said the Governments aim Is to
replace private credit with pubic
credit until private credit again will
perform its normal functions.
No Hat-and Rabbit" Act.
There is nothing of the .hat-and-
rabbit act about it." he said 1T IS not
what is known as managed recovery.
And it is not initiation. Replacing
private credit. which panic destroyed,
with public credit, is not imitation any
more than is restoring bank reserves,
depleted by boarding. through the use
of Federal Reserve credit"
In connection with the Government
program of reconstruction he declared
bankers have an indispensable role 10
play in providing credit Tor the proouc-
tive use of the population.
"It is the responsibility Of the bank
ers. as dispensers Of credit, to encour-
age the return Of normal volume OF
business activity by resuming their nor
NAL attitude Of sympathetic co-opera-
tion with those who are their custo-
mers. whose prosperity means tne
prosperity Of the banks themselves as
we'll as the Nation-the producers ana
distributors of the countrys Weaitn,
the farmers. manufacturers ana mer-
chants of America.
Prosperity Held Normal.
The basic thought underlying the
c;overnment's reconstruction program.
Secretary Mills stated is that pros
nerity is the normal condition OF Amer
ican economic life.
Opening the first general session OF
the convention, Harry J. Haas OF Pnila-
deIphia president of the ASSOCIATION.
stated happier conditions today repre-
sent a fundamentally sound banking.
business and economic condition as
COMPARED with the banking panic Of
In another public address here strong.
lv orpanized "self-serylng mlnoritles
were accused by Secretary Mlils Oh
blocking the Governments enorts 70
reduce taxation.
1T the organized minorities are not
to dominate our Government ano W
make reforms and reduce expenoituIes
An impossible task Mills yesterday
told a Joint meeting OF the ChamDeI VI
Commerce the Clearing house Asso. ~.
citation and the Advertising Clup, "
is evident that the majority must pc
oruanized to cooperate with puphc
officials in the establishment OF souno
nolicy and to give them a sense OF
This. Secretary Mills said, can only De
done by assuring them OF support
aoainst pressures which run counter 10
the real public interest when the time
comes for the public servant TO SUP
NIT his case to the verdict OF the
electorate = ;.
"There is so much we can 40 70
hell, ourselves If we but resolutely ao-
dress ourselves to the task instead OF
Welding to the demoralizing tenoency
to look to the Government Tor heip'
he continued.
Secretary Mills was applauded when
he asserted party machinery had broken
down during the consideration OF lne
last tax bill. !,
I'm order to cure certain abuses In
cident to the control of party ma
chinery," he said, we have well-nigh
DESTROYED our parties. They at least
provided to the candidate who stood up
under pressure the support OF strong
party organization at election time. To-
day the individual alone must bear the
full responsibility for his own failure
at the polls"