Evening star., 1933-09-30
j. s. CREDIT CHIEF
PLACE IS OFFERED
SOUND MONEY MAN
Move to Avert Initiation Seen
in Choice of Henry
Bruere.

In definite move to avert currency
imitation, at the same time providing
for a freer flow of capital to keep the
recovery program under full speed
President Roosevelt is preparing te
name a co-ordinator for the severa
Government credit agencies as the mi
tial step, and has offered the post to
Henry Bruere, president Of the Bowery
Savings Bank of New York, according
to dispatch today to the New York
Herald Tribune from Theodore c. Wal
len, head of its Washington bureau.
The duties of the co-ordinator will
oe to reconcile the operations of the
Reconstruction Finance Corporation
Federal Reserve Board. Treasury. Pub
lie Works Administration, Home Loan
and Farm Loan Administrations.
The proposal was outlined to Mr.
Bruere by President Roosevelt in a con-
ference Wednesday night in New York
and the banker has taken the tender
of the position under consideration.
Would Thaw Capital.
1.-THE fundamental object" says the
Herald Tribune, "is to offer additional
assurance to timid capital and the ster
presages a redefinition and stabilization
of American monetary policy if the
present difficulties can be overcome
Known phases of the program are the
following:
"Co-ordination of the credit agencies
of the Government under super-ad-
ministrator.
Relaxation of liability provisions OF
the securities act
"A policy Of Government partnership
rather than competition, with CONNER
cial banks in credit extension.
Reconstruction Finance Corporation
assistance to unrestricted banks.
Formation of an Advisory Commit
tee representing business, banks and
investors to consider possibility Of leg
islation to curb violent fluctuations in
stock exchange.
Death of Long Term Capital.
"The administration plan proceeds
from the fact that there Is a dearth OF
long-term capital to start UP the cap
ital goods, industry and other phases
of the recovery program. Whereas new
capital in England in August doubled
the capital brought forth in August
of last year, the showing in this coun-
try was a matter of concern to the
President. In view of the fact that IN
past depressions the new long-term
capital has had to be supplied by the
public, the Presidents attention was
called to the effect Of the Federal Sc.
curities act and the Glass banking act
on the present credit situation IN this
country.
"The President is understood to have
given sympathetic consideration to sug..
gestions that the liability provisions OF
the securities act and the divorcement
of banks and investment aftiliates
might be modified, or held OH, penang
national recovery. Since both acts are
highly explosive subjects, however, ana
Congress specifically insisted upon tne
liability clause of the securities act. the
possibility of a changed attitude, tenn
porarily, on these matters has oeel
kept secret. Nevertheless, the relaxa-
ton of the securities act, at least, Is a
distinct part of the program. =
"The idea Of a credit co-ordinator Il
In furtherance Of the immediate op-
iective to flush business with qulck
credit. Hence the co-ordinator Will ne
the keystone of the present pnaSe. Int
plan to have banks borrow from tne
Government to lend to industry havine
come to naught, in view OF the banks
unwillinpness to assume the risk ir
the face of their own need to qualify