The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1935-01-11
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National Topics Interpreted "a fTYTYfTTf&
by William Bruckart AEnxnfAT
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by William Bruckart

forts made in the last session OF con-
gress to strengthen" the agricultural
adjustment act. Professor Tugwell
supported those amendments and, hav-
ing his head out of water, he became
the target. Actually, the best infor-
nation available is that while the voice
was that of Tugwell, the hand was the
hand Of Tolley.
The common gossip now is that Mr..
Tolley is presenting. rather preparing,
proposals for Strengthening" the act
and that he has not taken Mr.. Tugwell
into his plans. This being true, the
suggestion is frequently heard that Mr..
Tolley may commit the administration
In certain directions toward regimen
tation of the farmers to an extent
which Mr.. Roosevelt does not de-
sire to go.
MIR. Tolley Is said to favor inclusion
of the fruit and berry and speciality
crops under federal control This is
believed to come from his California
background, but regardless of its root
it must be admitted its sponsor is MAX
ing Roadway with the plans.
None can tell, however, until the de-
tails of the Tolley program are out in
the open exactly what congressional
reaction will be- Suffice 1t to say at
this time that there are numerous Dem
oerats. important Democrats at that,
who do not go along with Tolley or
with Tugwell, and the prediction is
frequently made that Tolley's name
may receive treatment as rough in con-
gressional debate as did the name of
Professor Tugwell last winter.
With respect to banking legislation
radicals and conservatives likewise
are at each others
DoHRtNg Threats, only this
LEGISLATION fight has become bit
ter already. Cover
nor Eccles of the Federal Reserve
board has been made the target of a
vicious attack by Senator Glass of Vir-
ginia, recognized everywhere as the
outstanding financial authority among
Democrats at the Capitol. Senator
Glass openly charged Governor Ec-
cles with exceeding his authority in
recent ruling requiring state banks
that are not members of the Federal
Reserve board to reduce their in
terest rate paid on time and saw
ings deposits. These banks were
reached through the Federal Deposit
Insurance corporation of which they
are members and with whose regula-
lions they must comply. The Virginia
senator holds that the Federal Re
serve board under the guidance of
Governor Eccles was responsible for
this action and he was not careful in
tearing off the bark in letter stating
his views. Senator Glass has forced
a temporary halt in the order.
While the Eccles-Glass row may be
regarded as purely controversy be-
tween two individuals in positions of
high authority, it is much more than
that. 1t presages trouble on any bank
ing legislation that goes farther afield
than has occurred heretofore because
Senator Glass is an unequivocal fight
er for retention of the independence
of the Federal Reserve system from
treasury domination.
It is not difficult to see why Sena-
tor Glass fears such policy as the In
terest rate reduction. He thinks that
the Federal Deposit Insurance cor
poration already has been figuratively
swallowed by the treasury and he be-
lieves that the administration also de-
sires the treasury to swallow the Fed
eral Reserve board. The next logical
step If the latter is accomplished, is
for the treasury to seek establishment
of central bank where the currency
would be under control Of politicians
instead of responsive to business
needs as it Is now with the twelve re-
gional Federal Reserve banks in OPP
Grafton.
So the administration knowing that
Senator Glass is a fighter who does
not lie down and play dead. watch
fully is waiting on banking legislation.
paid, in the opinion of astute observ-
ers here, to the mass
Radical of radical bills now
R;Is flowing through the
routine channels of
introduction and reference to commit
tees. Some of them, it is true, will be-
come the basis of legislation later on
but every house member or senator
with an idea drafts it into the form
of a bill and presents 1t in order that
at sometime or other his name may
be attached to the legislation. But it
must be remembered that with the
radical strength existing in both
houses of congress some of these bills
may get further through the legisla
tive mill than they ordinarily would
reach. This fact apparently justifies
Mr.. Roosevelts waiting policy. But
at the same time, 1 hear, 1t is subject
ing the administration to a fresh out
burst of criticism among that segment
of the population which would like TO
know what the administration pol
icy is.
For instance, Senator Wheeler, Mon
tana Democrat, has presented a bill
for federal operation of the railroads.
Senator Wheeler says that he does not
expect action on the measure this ses-
sion of congress but he wants to find
out what the reaction is. There is
considerable gossip that in this move.