The Bismarck tribune., 1935-04-17

&10 C0IU Il1O UAAIs WIllCI1 lag 4OI0CesOV
President Roosevelt would approve II
passed by congress, would cost the
government $500. 100000 more than
The present law.
It would advance the maturity date
bf the adjusted service certificates
from 1945 to 1898 and offer to ex-
change for them negotiable bonds,
readily convertible into cash.
The bonds, which the veterans
,kould get In exchange for their Ger
,tificates, would bear interest at per
cent, which Harrison said In . state
}nent would make 1t possible for the
boldiers to "find . ready market for
ehem."
Offer Special Incentive
As an incentive for veterans to ex-
.khange their certificates for bonds, the
bill would extend to them the right
TO hold the certificates until the old
maturity date Of 1945 and obtain 4
per cent interest, compounded an.
hually.
Harrison said II al veterans took
advantage Of the exchange offer, the
compromise plan would cost the gov
ernment $500, 100000 more than the
present law. He estimated the total
cost would be $500 900. 900, or ST.
D00 900 900 less than the cost of the
Patman bill which passed the house.
The Patman measure would expand
The currency to cash the certificates.
In IN effort to head off future de-
tnands from the veterans, the bill
would declare . policy against gener-
bl pension legislation, In these words:
Statement Of Policy
THAT in view Of the generous ben.
efits accorded by the. government to
veterans Of the World War, in the form
pf insurance. compensation. disability
allowances. disqualification, voca-
tioual rehabilitation, adjusted COM
pension (as uberauzed by this act).
preference Of various kinds, under
legislation Of general application. and
other benefits and allowances, many
bf which have not been granted to
veterans Of prior wars, 1t Is hereby
expressly declared to be the policy of
congress that there should not be any
general pension laws enacted for We
terans Of the World War or their de-
pendents; and nothing In this oct
should be construed as indicating .
tendency toward contrary policy, or
rs implying that favorable consider
tion will be given at any time to q
change In the policy hereby declar-
3D."
Harrison introduced the bill after
D conference on the subject Sunday
with President Roosevelt at the White
House.
Though the White House has guard
ID against committing the chief exc
eutive to the compromise, Harrison
Ind his advisors on Capitol Hill were
confident he would approve the mea-
sure.
As he introduced the bill. Harrison
issued the following explanatory state
Amends 1924 Statute
The bill seeks to amend the World
War adjusted compensation act OF
May 10. 1924. 50 as to permit veter-
nns who 50 desire to surrender their
certificates and In lieu thereof receive
negotiable bonds. The rate Of interest
which the bonds will pay Is 3 per cent,
md as government obligations bear.
ing this rate are now greatly in de-
5mand, such veterans Is may desire to
convert these securities into cash will
find q ready market for them.
!: $50 as to protect the veterans against
being defrauded by unscrupulous per-
Sons attempting to gain possession on
( the bonds ct less than their real value.
I: there Is . provision making 1t . fraud
10 purchase or otherwise obtain pos.
session Of the bonds in exchange for
any consideration less than the par
kalue Of the bonds.
The adjusted service certificates
issued under the present law are Moth
ing more or less than 20-year endoW-
ment insurance policies. The matur-
tty face values Of the adjusted Service
certificates are based upon the adjust
I'd service credits, that Is, the $l.O0 or
1l.26 . day (together with an addi-
tional grant because Of deferment Of
payment) with interest compounded
ht the rate Of per cent from the dates
Df issue. None Of these certificates
were issued earlier than Jan. /. 1925.
To Get Interest From 1918
1.-THE proposed bin will give to the
Veterans tho amount Of their adjusted
service credits with interest COM
pounded from November II, 1918, In.
stead Of only from l025. Those vet
brans who do not desire to cash their
certificates in exchange for these nego-
table bonds shall have the option Of
obtaining the same benefits . carried
IN the original act.
TT further gives to those veterans
Rho desire 70 carry on their invest
1neut the privilege Of holding them
efter tbs date when their surrender
value approximates their maturity
value. and to obtain I per cent COM
pounded annually up until l946.
III the bill have introduced should
become q law. and all veterans should
take advantage Of exchanging their
certificates for negotiable bonds, the
additional cost to the government
would be approximately five hundred
million dollars more than u would cost
hinder the original act.
Can 2etain Insurance
"While the time at which the ma
turity value may be procured will be
BTS3Cly 3CC0ScI2UC0s UaC vCtC10410 WA
have the benefits Of retaining the
Insurance protection until the date Of
the maturity value Is reached. Even
hfter the date Of the maturity value
k reached. the proposal gives to the
veteran the right to retain hts certi-
kicate until January I, 1915. Ct per
bent interest compounded annually.
sThe bin commits the congrees to Z
declaration q policy against general
pension legislation. Il does not affect
Misting law granting benefits to World
/ Snl,pciia1 |.