Evening star., 1933-11-19
CURRENCY POLICIES
CAUSE FIRST BREAK
WITH u. S. CHAMBER
Continued From First Page.)

| Such measures are not conducive to
stability. We believe it should be en-
/ phasized that the present fiscal policies
! have developed widespread confusion
/ and disquiet."
Unless there is an early return to the
gold basis and an end to experimental
tion, the organizations officers said.
there will be instability of employ
ment, because of inability of any one
to make forward commitments on a
basis OF reasonable business risk. instead
of speculative hazard"
Even as the President was speakine
new demands were being pressed upon
him for a broadening of the monetary
base to improve the status of silver.
On Capitol Hill, Senators Thomas.
/ Democrat, CT Oklahoma; Smith, Demo-
crat, of South Carolina, and Harrison.
Democrat Of Mississippi, acting as a
/ committee representing group of
Senators that met Friday, began seek
ing a method for increasing money in
circulation by wider use of silver. Their
plan will be put before the Chief Exec
utive.
Rumor Sprea6ers Raped.
President Roosevelt already has been
asked by Senator Pittman, Democrat,
OF Nevada, one of the most vigorous ad-
/ VocateS of remonetizlng of silver, to
provide for a limited free coinage Of
domestically produced metal for circu-
lation in the silver producing States.
The Senatorial Committee approved
Of what President Roosevelt has done
to raise commodity prices by lowering
the buying power of the dollar, but ad-
Vocated legal action against unnamed
persons they accused of undermining
confidence in the national financial
structure by spreading rumors
senators Thomas and Smith have
presented proposal to boost silver to
around rs cents en- ounce through pur-
chasing, with the issuance OF silver
certificates backed by a Treasury re-
serve of the ounce of silver and 25 cents
in gold Thomas said this was sound
money under any definition that might
be applied"
Pittmans plan. which he presented
to President Roosevelt several weeks
ago, calls for authorizing free coinage
OF domestic silver for two years, or
more, as the President may determine
at a bullion rate Of around CAS- cents
an ounce.
Illustrates Plan.
He said that through a minting
charge, the Government could lift and
control the price of silver.
AS an illustration. the Nevadan said
producer could bring 1000 ounces of
the metal to the mint, the Government
take 500 ounces as its minting charge,
and fer the other 500 give the silver
producer Gas silver dollars of silver GER
tificates.
Reported lending of bonds by some
New York banks to depress the market
TVr1c Io-% nm
to be one of the rumorS which prompted
the monetary conference to request
Federal investigation.
Thomas explained that If Treasury
and Justice Department investigators
should find SubStantiation of the re-
ports, it would be conspiracy against
the Government and a congressional
investigation probably would result.
He SAID the rumors had it that GER
tain large New York banks were lend
ing bonds at fractional rate of inter-
est with the evident knowledge the per-
sons using them would sell the bonds
short to depress the market. He gave
no intimation of the concerns involved
U. S. Competition Hit.
The board Of directors of the Chamber
OF Commerce also adopted resolutions
in competition with business and with
the subject of self-regulation by indus
Try under the recovery act. The resolu-
tons read in part:
The use of funds by the Federal
Emergency Administration of public
works to finance business units designed
to compete with or duplicate existing
units now rendering adequate service
at reasonable cost is contrary to sound
public policy, destructive. of savings in
vestmentS therein, made in good faith
by all parts of our people, including
wage earners and farmers, and causes an
lnequitable shift in the basis of taxa
ton, through removal Of extensive prop
erty values. and the income thereof,
from local, State and Federal taxation
We ask the Federal Emergency Ad-
TniniStratiOn Of Public Works to an.
ReGnce FoI,ns, Py policy against such use of
ment will greatly contribute to the
restoration of confidence in large
aggregate Of existing investments and
encourage existing business enterprise
TO proceed with needed plans for ex-
tensions and betterment of service,
thus furthering employment"
Only IL Absent.
Only II members of the chamber
were absent. Present were:
President, Henry l. Hartman, chair
man of the board New England Power
Association, Boston, Mass.
Vice presidents: Matthew S. Sloan
Brooklyn, N. Y; JuniuS P. Fishburn,
president Times World Corporation
Roanoke, Va; Felix M McWhirter
president the Peoples State Bank, IN
dianapolis, Ind; F. Peavey Heffelfinger,
vice president and general manager
Monarch Elevator Co, Minneapolis,
Mimi; William " Hodges, Hodges, Will
son & Rogers, Denver, Colo; Paul
Shoup. vice chairman Southern Pacific
Co, New York
Senior council: John w OLeary,
president Machinery and Allied Prod
ucts institute, Chicago; Lewis E. Pierson,
chairman Of board, Irving Trust Co.,
New York; William Butterworth, chair
man of board, Deere & Co., Moline, Ill;
Sllas H. Strawn, Winston, Strawn &
Shaw, Chicago.
Treasurer, Robert V. Fleming, presi-
dent, Riggs National Bank, Washing
ton, D. c.
Secretary, D. A. Skinner, Chamber of
Commerce of the U. S. A, Washing
ton, D. c.
Directors Present.
Directors, Harry C. Abel, vice presi-
dent, New orleans Public Service, Inc,
New Orleans, La. Chester l. Barnard
president, New Jersey Bell Telephone
Co, Newark, N. j.. Jesse A. Bloch, vice
president, Bloch Brothers Tobacco Co.,
Wheeling, w. Va; Charles E. Bockus,
president, Clinchf1eld Coal Co, New
York; Fred H. Clausen, president, Van
Brunt Manufacturing Co., Horizon,
Wis; J. S. Crutchfield, president, Amer
lean Fruit Growers, Inc, Pittsburgh,
Pa; William r. Dawes, president,
Central Illinois Securities Corporation,
Chicago.
j. Walter Drake, Detroit, Mich;
David F. Edwards, president, Saco-
Lowell Shops, Boston, Mass; j. w.
Evans Evans r. Co Houston Tex.