Evening star., 1933-12-11
|lGOLD-RUNN|NG RING
/ SUSPECTED BY US.
Total of ST, 900, 900 Believed
10 Rave Reached Canada
In Last Six Months.
Continued From First Page.)

4 FTOn EdSc.J
amount of gold purchased in the for
eign markets.
The chairman turned from gold to
the corporations preferred stock-buy-
ing program, and said that up to today
the Corporation Board has approved
purchases of preferred stock and capi-
tai notes in 1872 banks totaling
$40 ,000,0 -
The corporation, he said is working
Gay and night to get as many State
banks into the plan as possible and is
recommending that all who apply join
the Federal Deposit Insurance Corpo-
ration.
Meanwhile, Senator Thomas of Okla
homa, a leading Senate imitation advo-
cate, hailed what he interpreted as
signs of improving business conditions
and increasing public confidence, but
urged that President Roosevelt speed UP
dis monetary program. He disclaimed
any personal intention Of urging man.
datory imitation legislation at the COM
ing session and said he knew of no
group which was planning to raise
cain and set the printing presses in
motion"
His request that the currency plans
be expedited apparently was occasioned
by the fact the gold price had remained
unchanged at S34.01 and the recent
disclosure that gold purchases abroad
had been negligible. He asked that
the dollar be stabilized in terms of gold
as soon as possible.
NORMAN Thomas and Louis Wald-
man, chairmen of the Public Affairs
Committee of the Socialist party, said
yesterday survey of Socialist senti-
Ianent revealed opposition to imitation
Rs a Government policy.
Fear Later Disaster.
In a statement they said:
\ "Conceding that some advantage to
certain sections of the population, not
fably in the agricultural area, may tenn
porarily result from process of infia-
Sion, the sentiment expressed was that
any good that would come of it would
be more than offset by the disastrous
consequences 10 at least three groups
of the population: The civil service
and wage and salaried workers, whose
incomes are fixed, the workers whose
wages have been fixed by codes or COL
Elective agreements. and for whom read
1ustment would be delayed while the
cost of living would leap, and to those
having savings accounts and insurance
policies, most of whom are not wealthy
and many of whom have no other
means OF existence during old age and
disability"
Senator Thomas statement followed
one by the United States Chamber of
Commerce, saying that improving busi-
ness conditions had greatly diminished
the probability of legislation requiring
the President to institute a direct in
,f1ation of the currency. Several re-
turning members of Congress, notably
Speaker Rainey, brought the same word
from their home districts.
G1
work things out satisfactorily" the
Speaker said. The way things are
going now is very encouraging.
Prices are going up, there is better
spirit, confidence is returning The
world seems to be on the upturn.
Il do want to get the dollar down
to- point where prices viii lreach a
proper level and the Government will
be able to collect more taxes. The ad-
ministration should speed up its pro-
gram bit"
Outline Recommendations.
The statement of Norman Thomas
and Waldman said the few advantages
that might be gained from initiation
could be achieved by sounder methods
without the dangers of imitation and
made the following recommendations:
4. That interest on all indebted
1lcoS,
ing farm mortgages, should be reduced
by legislation to 2 or at the most 2la
per cent, to equalize the amount re-
ceived by the holder of the bond to
the amount intended to be paid by
the borrower at the time the obligation
was incurred.
2. Reduction of the capital structure
of all business and utilities affected
with a public interest, which, in eff
feet. would include all business. The
committee said this would be form
of liquidation of excess financial burden
now borne by the Nation.
8. A capital levy, scientifically as
sessed and applied
4. Sharp increase Of the inheritance
taxes the income from which would
be used primarily for the retirement of
Government bonds.
5. Government borrowing through
bond issues, (which Is imitation, coupled
with other infationary measures al
ready undertaken, justify a policy of
financing the public works program,
which the next Congress may have to
enlarge, by the issuance of currency
instead of bonds-a method of financ-
Ing more honest and less burdensome.
1t will also save the Nation about
$4,000, 100000 for what we are now
borrowing