The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1933-04-22
c. 0. PLIGHT
ON INITIATION
HELD FUTILE
Vote May Be held Up Until
Wednesday, but Pas
sage Is Certain.
ORDERS PROMPT ACTION
Roosevelt Lets Congress
Know That Measure Must
Rush Through.
BY RAY TUCKER
Times Special Writer

WASHINGTON, April 22-Despite
Republican threats of filibuster,
President Roosevelt today advised
Democratic leaders on Capitol Hill
that he desired prompt passage of
the Thomas inflationary amend
ment.
President Roosevelt repudiates
suggestions that he wants the four
point dollar manipulation measure
as threat in his conferences with
Premier Ramsay Macdonald of
England, who arrived here Friday
night, or with other European
statesmen on their way to the cap
ital.
But he thinks it only fair that
Europes representatives know the
extent of the power for economic
fighting and bargaining that con-
greSs will vest in him.
Though Republican opposition as
reflected in a joint statement issued
by G. o. P. leaders of senate and
house may hold up passage for a
few days, they have no hope of
blocking the administrations pro-
gram.
Passage by Wednesday Sure
In White House circles it is
pointed out that the measure will
not be needed for next weeks pre-
liminary conferences, provided the
program becomes law before the
world conference in June.
Passage by Wednesday at the
latest is conceded even by Repub-
licans.
Prompt action is desired by the
administration for the effect it will
have on domestic price levels.
These have begun to rise, but a
continued boost may depend upon
definite enactment of the infla-
tionary measure into law.
1t generally is believed the only
feature of the amendment to be
used Immediately is that by which
federal reserve banks may extend
$3,000000,000 additional credit
through purchase and holding of
federal obligations. This will leave
member banks in better position
to finance the nations private
credit needs.
Federal Reserve Cooperation
Federal reserve governors have
promised the administration full
cooperation in executing initiation
airy provisions affecting them. They
did so under threat of an even more
drastic move that would have de-
creased their control over banking
and currency.
Both President Roosevelt and Will
H Woodin, secretary of the treas
ury, delivered a virtual ultimatum
ordering the reserve banks to eX-
tend credit more generously, and
to give greater assistance in OPEN
ing closed banks in which $1,000 ,00O
worth of buying power is locked up
Faced with these threats, the
twelve governors, who resisted in
fiationary processes during tn
Hoover administration, capitulated
If the reserve banks move toward
imitation by buying $4,000 ,00C
worth of federal obligations in OPEN
market operations, this may be the
only kind of initiation tried out i'm
mediately.
G.. o. P. Fights New Dual
If this does not succeed. the
treasury is empowered to buy ma
turing obligations with new cur
rency to the extent of $3.000000,0 900
worth. and this move will be made
On this basis. the total initiation OF
the currency would be about s6,000,-
100000, or slightly more.
Opinions differ as to the amount
possible under the Thomas amend
ment.
The two other features of the bill
the revaluation of the gold dol
lar and issuance of silver GER
tificates up to the maximum Of
500 900, 900 that may be paid by
foreign nations on war debtS-ob-
viously are for use in diplomatic
negotiations.
The Republican offensive against
imitation chiefly is significant be-
cause it marks their first serious at
tack on the new deal"
Enlisted in the fight are such
eminentS of the Hoover admins
tration as Ogden L. Mills, former
treasury secretary; Andrew w Mel
hon, former ambassador and treas
ury secretary, and Senator Davic
A. Reed (Rep., Pa, political anc
economic spokesman for the Mellor
interests.
Protest Is Issued
Moreover, Mr.. Mills returns Il
the political fray after spending
several months with eX-PreSident
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