Evening star. [volume] (Washington, D.C.) 1854-1972, 1933-04-20
ROOSEVELT TO WIN
BROAD POWERS FOR
CONTROLLED INITIATION
Continued From First Page.)
most statesmanlike move taken by any
Chief Executive In my memory"
Thomas Supports Move.

most statesmanlike move taken by any
Chief Executive In my memory"
Thomas Supports Move.
While the President worked with hi,
advisers at the White House to smooth
out the constitutional difficulties, Sen.
at the Capitol, revealed his view that
the impending proposal would "solvs
every problem so far Is the money
question Is concerned" and be Of ire.
mendous benefit to bargain with for
eign powers for uniform money systems
Careful note was being taken Of the
rising markets, and without apparent
regard to what was happening to the
dollar in letting 1t seek its own level
on foreign exchanges.
At the Treasury, meanwhile, inten-
sive study of how 1000 closed banks OF
the Nation can be aided In reopening
was carried on by Secretary Woodin
and governors Of the IL Federal Re-
serve banks.
Called to Washington to 60 ovel
the financial and economic situation
Of the Nation, the Governors had re-
ported business conditions throughout
the country improved In nearly all lines
recently. They also discussed the Gov
ernment's gold embargo and its effect
upon business.
In an interview Senator Thomas
who agreed upon the plan to give the
President broad discretionary power to
deal with the money question at q
conference last night with Senators
Pittman, Democrat. Of Nevada; Byrnes
Democrat, Of South Carolina, and Ray
mond Moley, Assistant Secretary OF
State-said 1t probably would be de-
termined definitely today whether to
offer 1t as an amendment to the farm
bill.
we won't have to operate the farm
bill with this provision attached"
Thomas told newspaper men. because
1t Will raise commodity prices itself
more than the farm bill"
Congress Backs President.
Representative Byrns, the Democratic
leader, told newspaper men At the
Capitol:
THE temper Of the House is such
that think 1t will stand behind the
President and give him whatever he
wants"
I'VE expect him to want some means
Of bringing about . limited and con-
trolled expansion, which In no event
will affect us as it did Germany"
The measure under consideration in
part would authorize Mr.. Roosevelt to
issue currency and reduce the gold
content of the dollar Doubt has arisen
however. on whether there is power
in Congress to extend this right to
the President to modify the gold ratio
Secretary Woodin and Budget Direc-
tor Douglas met today with the Presi-
dent and Senator Robinson Of Arkansas.
the Democratic leader, at the White
House
1t seemed likely that the conferences
would run throughout the day. although
tentative agreement had been reached
last night on the form of the legisla-
ton.
1t also was stated that while America
Is of the gold standard In international
trade as q result Of Roosevelt's with
drawal Of gold support of the dollar in
foreign exchanges, the United States Is
technically on the gold standard do
mestically.
In seeking the authority proposed BY
Congress, 1t is the idea OF Mr.. Roosevelt
tionary process He wants a new price
level and a greater exchange of money,
but he wants to be able to stop the in
flation within bounds.
1t appeared certain as the day went
along that the President would not send
message to Congress on the new legis-
lation. but rather leave it entirely to
its devisers for introduction there
This conflicted with the impression
in some House quarters. Early plans
for presidential message apparently
had been altered.
"A Bank Relief Bill"
Enthusiastic over the bill, in the draft
ing CT which he has had q prominent
part, Senator Thomas told reporters:
1T will put value back into COM
modities and real estate and there will
be no necessity to refinance farm mort
cages.
1T Is also q bank relief bill, Is 1t will
put value back into the collateral as
basis for approximately $4,000. 0O0, 900
Of frozen deposits.
1T will put value into every security
in the banks and be the salvation Of
every bank in America"
Thomas said the four-fold program
would give the President authority to
issue Treasury notes under the old
greenback law Of 1862. but in greater
and to make them legal tender
for both public and private debts.
It also would authorize the President.
in his discretion, to reduce the gold
content of the dollar. either indie