Evening star., 1932-07-15

Continued From First Page)
prised of the result in view of the
emergency"
1t was explained at the White House
that only Senate confereeS had been
invited to the conference because the
House conferees were discharged yes
terday after that chamber voted to up
hold Speaker Garner in his insistence
upon retention of the publicity clause.
They will be renamed after the House
meets today.
Rainey made his assertion as he
emerged from the Speakers office.
House to Stand Pat"
THE House will stand pat he told
newspaper men. No further conference
on the relief bill was planned until this
afternoon.
However, a quick agreement on the
publicity section still would make pos
sible action on the S2,122, 100000 bill
before the end of the day.
Senate leaders believed President
Hoover's stand has broken the deadlock
over the relief bill and predicted it
would be speedily approved with the
publicity feature included.
The prospective settlement revived
talk of a possible adjournment OF Con-
gresS tonight, though most leaders be-
Ieved tomorrow was more likely.
An unprecedented tangle on procedure
added to the confusion in the relief
situation yesterday, sending House and
Senate leaders scurrying to their par
liamentary experts for advice on how
the bill, substituted and Reconstructed
by each branch, was to be finally passed:
ConfereeS went to work on the bill
early in the day hopeful of reaching an
agreement within an hour. Three and
a half hours later they emerged from
a hot conference room in the Senate
Office Building with word that little
progress had been made.
After a brief recess for lunch they
went back to work again. but within
an hour broke up in fast deadlock
over the publicity clause.
House Sustains Leaders.
Democratic leaders then went back to
the House and were sustained, by vote
of 172 to $50. The Senate confereeS
wanted publicity only on loans made
under the relief act contending it might
be dangerous to make public loans made
by the reconstruction unit to banks.
After the House action, Senate leaders
took the question back to their chamber.
Then the House messaged over to the
Senate a second relief bill exactly the
same as the one that it sent to confer
ence Wednesday. This was offered as
the basis for new legislation if the
parliamentary situation over the con-
ference bill should become inextricably
involved.
The House action in standing upon its
own bill wiped out the results of
partial agreement reached by the con-
ferees.
Under this agreement, the Senate
provision for loans to individuals
through Federal Reserve Banks was re-
tanned. This would have permitted the
12 Federal Reserve Banks to engage in
private banking business if the Federal
Reserve Board approved
The conferees also had agreed to re-
organize the Reconstruction Corpora
tion by eliminating from its board, as
requested by President Hoover, two ex-
off1cio members, Eugene Meyer, gov
ernor of the Federal Reserve Board,
and Paul Bestor, farm loan COM
missioner.
Another provision, preventing loans
to financial institutions the officers of
which had been on the board of the
corporation within a year, also had
been approved, together with $7,000,-
600 construction program for military
sTports.