The Waterbury Democrat., 1935-04-17


  | would not be vetoed if approved | by congress.
 Supporters of the Patman bill for immediate cash payment of the bonus. which has passed the house, opposed the compromise but may | find it is the only type of legislation possible. Veterans organizations also would prefer immediate pay ment but may surrender to the compromise.
 Harrison Explains Bill In a statement explaining his measure, Harrison said:
 "The bill seeks to amend the World War adjusted compensation act of May 19, 1924, so as to per init veterans who 80 desire to sur render their certificates and in lieu thereof receive negotiable bonds. Tho rate of interest which the bonds will pay Is 2 per cent, and as government obligations bearing this rate are now selling at pre- mlum and arc greatly in demand, such veterans as may desire to con vert these securities into cash will Ilnu IL Ftuuy IIlhThSl lOT tilSii.
 "So as to protect tho veterans against being defrauded by un- scrupulous persons attempting to gain possession of the bonds at less than their real value, there Is provision making 1t q fraud to pur- chase or otherwise obtain possess sion Of the bonds in exchange for any consideration less than the par value of the bonds.
 20 Year Endowment "The adjusted service~certincate issued under the present law are nothing more or less than 20-year endowment insurance policies. The maturity face values of the adjust ed service certificates are based upon the adjusted service credits, that Is. the $1.00 or $1.25 a day (together with an aditlonal grant because of deferment of paymenD with interest compounded at the rate of per cent from the dates of issue. None of these certificates | were issued earlier than January 1, 1925.
 Full Amount With Interest "The proposed bill will give to
 
 adjusted service credits with inter- l est compounded from November II, 1918. instead of only from 1925 Those veterans who do not desire to cash in their certificates in ex- | change for these negotiable bonds shall have the option of obtaining the same benefits as carried In the original act. It further gives to those veterans who desire to carry on their investment the privilege of holding them after the date | when their surrender value ap7 proxlmates their maturity value, and to obtain per cent compound- ed annually up until 1945. "If the bill I have introduced | should become n law, and ali vet erans should take advantage by ex- | changing their certificates for negotiable bonds, the additional cost to the government would be approximately 0O,000,00O more | than 1t would cost under the orig ! inal act. While the time at which the maturity value may be procur- ed wil lbe greatly accelerated, the veterans will have the benefit of | aReaiHilB tItt lIbuTuHGc pTOlcCLiOU | until the date of the maturity value is reached Even after the date of the maturity value Is reached, the proposal gives to tho veteran the right to retain his certificate until January 1, 1045. at per cent in- terest compounded annually. The bill commits the congress to q declaration of policy against general pension legislation. It does not affect existing law granting benefits to World War veterans Consequently, 1t would in no way affect allowances now being paid"
 How Bili Would Act Washington, April 17--WP)-- Here Is how veteran would go about getting hls money under the Harrison compromise bonus bill inc troduced today, if the measure is passed by congress and signed by President Roosevelt.
 He would take his adjusted serv- Ice certificate to the veterans bu- reau. There accountants would he