Evening star., 1932-11-27
'PROFL|GATE POLICY
SEEN BY GRANGE IN
u. s. VETERANS AID
Farm Body Also Denounces
Emergency Officers Retire
ment Act of 1923.
TAXPAYERS INTERESTS
DECLARED OVERLOOKED
Would Stop Payments to Those
Without Service Connected Dis
abilities, Says Resolution.

ment Of the bonus, the National Grange
convention at Winston-Salem, N. c.,
struck out at the present prof1igate
policy of paying benefits to veterans
who suffered no service connected dis
ability, the text of the resolution re-
leased yesterday by the Washington Of
flee of the body shows.
The farm organization also denounced
the emergency officers retirement act
of 1928, which was enacted, the Grange
declared, as result of misrepresenta-
tions.
Making definite distinction between
what it regarded as the Nations duty
to the veterans and unreasonable claims
for Government support, the Grange
decided "the time has come when the
welfare of the Nation demands that we
should give proper consideration to the
interests of the taxpayer, while not
forgetting to do justice to the veterans
who have any service-connected dis
ability"
Warning Is Issued.
The statement was concluded with
the warning:
"That there is crying need Of reform
in dealing with problems affecting vet
Grams Is manifest to all who are familiar
with the facts in the case. Unless
present abuses are courageously cor
rected, this and future generations OF
Americans will pay the penalty for our
cowardice and folly"
The Grange reviewed the history Of
the various legislation for the care and
compensation of the World War veterans
and their dependents, pointing out that
the demand for full payment Of the out
standing adjusted compensation certifi-
Gates calls for payment in cash Of an
obligation which does not mature until
1945.
This carries with it a demand for
compound interest covering a period of
13 years which has not been earned"
the statement continued.
Present Value Stressed.
with the Government facing a
financial emergency unparalleled in
times of peace and with taxation al
ready so high that the point Of dimin-
ishing returns has been reached, this
demand cannot be justified and should
not be granted. Certainly, If payment
should be made at this time, the bonus
certificates should be redeemed at their
present worth and net On the basis of
their worth in 1945 with compound in
terest.
while the demand for immediate
payment Of the bonus Is more promi-
nently in the public eye by reason Of
the spectacular campaign that has been
waged in its behalf, more deadly and
demoralizing in the long run, If allowed
to go unchecked, Is the present profit
gate policy of paying benefits from the
public Treasury to many thousands OF
wat yt1s, hoI ~ or q
disability whatever.
THE total cost of this indefensible
practice runs into hundreds of mil
lions of dollars annually, and will in
crease from year to year. unless the
force of an aroused public sentiment
brings It to a stop.
Relation to Budget.
"Iu is idle to talk of balancing the
budget and reducing Federal taxation
without dealing with this question. The
annual disbursements for the benefit of
veterans now are twice as great as the
total cost Of maintaining the Federal
Government when President Mckinley
entered the White House. It must be
kept in mind also that when the Gov
ernment pays out great sums of money
to veterans who have no Just claim, its
ability to make proper provision for
the deserving Is reduced correspond
ingly.
Among the measures adopted for the
relief of veterans was the emergency
officer retirement act, passed over the
veto of the President in 1928. Mem
bers of Congress who voted for this
legislation do not hesitate to say that
it was enacted as a result of misrepre-
sentations on the part Of certain men
who were then prominent in the ad-
ministration of the affairs of the Vet
erans' Bureau
Congress was assured that less than
1000 former officers would receive bene-
fits under the act, but today the list
comprises nearly 1000.
Average $14O Monthly.
"The act places the emergency off,
GERS on the same basis as officers of the
Regular Army, Navy and Marine
Corps, who have been retired for dis
ability after devoting their lives to the
service. These emergency officers re-
ceive retirement pay at the rate OF 10
per cent of the pay they received at
the time of their discharge, averaging
S140 a month and costing the Govern
ment, in the aggregate, about $10,0O0,-
900 a year. Quite a proportion of them
are lawyers and doctors, and many OF
them have been on the pay roll OF the
Veterans Bureau or of some other
agency of government at good salaries,
although supposed to be disabled and
drawing retirement pay on the pretext.
"a congressional joint committee, au-
| thorized at the last session, now is in
vestigating the administration of vet
erans' affairs, with a view to formu-
lating a reasonable national policy In
| this connection, and to bring about
! economy in expenditures"
The statement also emphasized that
approximately one-fourth of the reve-
nues of the Federal Government, or
nearly one billion dollars a year. now
| Is paid out for the relief of veterans
and their families. Brig. Gen. Frank T
Hines, administrator of veterans affairs
the Grange statement added, estimates
| that under present commitments, these
expenditures will reach their peak in
about a dozen years, when the annual
APPROXIMATIONS in this connection viii
total about $4,000, 10000
| The Grange recognized the Govern
ment's sacred obligation" to make
| proper provision for the care of all vet
erans and their dependents who have
4 lust claim, but took the position that
there are reasonable limits beyond
which the Nation cannot go in showing
| its gratitude to the veterans withou
pIacing undue burdens upon the tax.
payers and undermining the very foun.
dations of national well-being ane
security"
Autoist Faces Three Charges.