Evening star., 1933-09-03
BLUE EAGLE LOAN
PLAN 0. K. AWAITED
RooSeveIt's Aides Draft Pro-
E posaI to Help N. R. A.
Merchants.
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Continued From First Pase)
stood in authoritative sources, no i'm
mediate and positive action Is intended
by the administration.
officials expressed belief that even II
Ford should choose to stand indie
pendent of the N. R. A. program pub
lie opinion against him would be suffl-
cient to make his a losing battle. 1t
was pointed out that should the manu-
facturer adept course Of higher wages
and lower maximum hours than are in
cluded in the automobile code. he would
no. be able to display the Blue Eagle Of
N. R. A. without signing certificate OF
compliance with the code.
License Provision Club.
Despite this method. described as
"letting nature take its course" the
administration was depicted as deter
mined, not only in Ford'S case. but in
that of all important employers that
none should deliberately reject the re-
covery program.
Should 1t be necessary, it was said
President Roosevelt was ready to in
woke the licensing provisions of the act
under which he would issue permits to
W OPCL n JdAi oNAl-
tence and fine for operating without a
license is provided
The tentative credit plan to be placed
before President Roosevelt would per-
init business men to set up mortgage
company in their own community
which would become eligible to receive
direct loans from the Reconstruction
Corporation and in turn make loans to
industry to finance the increased pay
rolls and, possibly. larger merchandise
inventories
The plan was evolved in answer to
a demand by the President that some
means be found TO loosen credit for
Blue Eagle members during the period
between their increasing expenditure
Tor Unemployment and their first re-
turns from higher prices.
Jones in Conference.
Jesse Jones. chairman of the cor
poration, conferred with Mr.. Roosevelt
In Hyde Park, N Y, earlier in the
week upon the subject. He declined to
comment UPON the reported proposal
yesterday, however.
In relation to the credit situation
Jones said the Nations banks generally
were not in need Of money, as funds
previously lent to banks by the cor
poration were being repaid faster than
new moneys were borrowed
We have got to get lending agencies
to functioning" he said.
Jones advanced the opinion that
something was holding the banks back
IN making loans to individuals and
small businesses but said he felt they
would loosen as the national recovery
program progressed.
The corporation chairman made clear
however that u'hateypr ,o1a
sented to the President. it would seek
to loosen credit faster than through any
gradual expansion by the banks alone.
The mortgage company plan was
evolved. it was said reliably. when the
corporation found that business men in
large numbers were seeking direct loans
from it They were offering adequate
security. it was said but security that
IN many cases was not sufficiently
liquid for acceptance by banks under
their present policies.
Quick Money Is Aim.
The corporation is authorized to lend
to variety of institutions. including
any bank, trust company. building and
loan association. insurance company
mortgage loan company or credit union
but it was said the mortgage company
plan was chosen as offering the bes.
opportunity for getting money quickly
to business men.
The Reconstruction Corporation late
yesterday made public figures to show
that sl3e.704,891 had been advanced
from its funds to various borrowing
sources during the month ended Au-
gust 29
Since it began operation early in
February, 1882, the corporation has
made total advances of s2,s58841 67e
Total repaymerts since that time
amount to S799, 9,787619
Figures for the past month showed
that repaymentS of ST. 6680l9 had
been made since the end of July. The
biggest lump of advances during the
month were to banks and trust COM
panles which received S55.142,528.
The figures made public by the
corporation yesterday. however were in
the form of balance sheet from the
beginning of operations, and did not
show to whom the advances during the
month had been made.
Price Fixing to President.
Other developments of the crowded
day included:
The Oil-planning Committee decided
to create the machinery. but leave up
to President Roosevelt the question of
price fixing within the industry.
President Henry I. Hartman of the
Chamber Of Commerce of the United
States transmitted to its membership a
statement that most thoughtful busi-
ness men are hopeful America can ex-
pect fair prosperity on a sound basis
within short time adding that hope
mas replaced fear and disbursement. :"
Exports from the United States dur
Ing July showed gains over a year ago
to all grand divisions except Oceania,
Io,o To-,
Tor the same period last year.
Agreements Modified.
The N. R. A. yesterday announced
approval of these modified agreements
pending action upon codes for the in
dustries:
Cigar manufacturing - Minimum
wages, 80 cents an hour for employees
on machine-made cigars, 81 cents an
hour on handmade cigars.
Wood preserving-For employees out
side OF statesmen, factory workers and
similar classes, maximum work week 40
hours; not more than AZ hours in any
one week; for factory workers 40 hours
per week. averaged over three months;
not more than 48 hours in any one week;
10 per cent tolerance for outside classi-
fications Minimum wages, 40 cents
an hour in the Pacific Coast region, 25
cents in the Southern Coast region, and
35 cents elsewhere: learners, 80 per
cent of minimum for three months.
Photo finishing: For factory work
ers, maximum work week 40 hours;
averaged over three months: not more
than A hours in any one week or !0
hours per day Minimum wage, sl5
per week in cities over 100000 popula-
ton; scale to s14 per week in cities OF
less than 25oO0O population; with a
diferential of 81 per week for the
South. including the District of Colum-
bia. This industry claims an increase
of 200 employees due to the agreement,
and an IS per cent increase in wage
rates.
Soap and Glycerine.
Scan and plVcerine: For employees