Evening star., 1939-04-16
Industrial Leaders
Desire Action on
Hopkins Plan
Council Disappointed
In Results So Far,
Seek Showdown
BY HENRY PAYNTER,
Asso ociated Press Financial Writer.

members Of Secretary Of Commerce
Harry L. Hopkins Business Advis-
ory Council today predicted a
Showdown" in their attitude to-
ward the Hopkins recovery program
at a council meeting in Washing
ton on Thursday and Friday of this
coming week. This meeting will be
the first full one since Hopkins
illness.
The designation Of E. ]. Noble as
Undersecretary of Commerce, to be,
this week was favorably regarded
IN the financial community. Noble
Is generally considered here as an
"able manager" and in some quar-
tiers as "a very determined leader,
not likely to put up quietly with
unnecessary delay in getting the
program started"
While there Is no disposition to
blame Hopkins, who is generally
admired by industrial leaders he
has dealt with, council members
expressed pointedly their disap-
pointment over the showing of the
program to date.
Illness Is Obstacle.
Hopkins has been very Ill since
the first Of March, and his physical
incapacity, they said, has undoubt-
edly had its effect. But Hopkins
himself is quoted locally as hav-
ing sent word to some industrial
leaders that he had thus far re-
ceived little hope from President
Roosevelt that the program desired
by the council would be quickly put
into effect. Nevertheless Hopkins
will continue, as able, to urge the
President to support the program,
he Is reported to have said.
At least one member of the coun-
Gil attributed this delay to the pre-
occupation Of the President with
the perilous international situation
and urged patience.
Members of the council made 1t
plain that they would continue to
exercise patience. Close friends of
Gen. Robert E. Wood, chairman of
Sears. Roebuck g. Co., pointed to his
restraint as Exemplary"
Wood, they said, had obtained q
four months leave of absence to
serve without pay, in Hopkins Of
flee. as sort of unofiicial business
ambassador to the Government. He
was to have begun his duties April
/, and wound up his own affairs for
that purpose. Despite "irksome' de-
lays, Wood is said to have told his
friends he was determined to 70
through with his part of it.
See Hand in T. v. A. Truce.
Some members of the council said
nothing" had been done thus far
In the program, inaugurated In con-
f1dential talks with big business
heads during the Christmas holiday
period.
This, others said, is not quite
correct.
Utility executives give credit to
Hopkins for pushing speedy settle
ment of the troublesome quarrel be-
tween Tennessee Valley Authority
and Commonwealth & Southern
Corp, and say he has made possible
some hope for Zine OF demarca- .
ton" between private and public
ownership for a period Of time,
which would make possible private
financing and expansion now i'm
possible.
Hopkins also had told the coun-
ell, members said, that he would
endeavor to bring the American
Federation Of Labor and the Con-
gress of Industrial Organizations to-
gether to prevent troublesome juris-
dictional disputes, and subsequently
President Roosevelt, whose friend
ship Hopkins is supposed to have,
took unprecedented steps in this di-
rection, even though they have not
yet brought results.
Hopkins also is credited in Wall
Street with having worked to help
solve the railroads problems, and is
not blamed there for the wrangling
which has delayed that settlement.
He also is said to have promised to
help modify National Labor Rela-
ttons Board procedures step SEEM
ingly well underway.
Exchange Changes Rejected.
On the other hand, Hopkins agreed
with the business leaders, they said,
that primary need was to break
the capital log jam" and get equity
money flowing into industry for
business expansion. Two major i'm
mediate steps were agreed upon,
council members said
l. Modification of the Securities
and Exchange Commission's prac-
tices to encourage greater activity
In the equity field without diminish
ing investor protection. The securi-
ties exchanges made certain pro-
posals with this in mind and "got a
kick in the pants" from Retiring
S. E. c. Commissioner w. o. Doug
las just before Douglas was nomi-
mated to the United States Supreme
Court.
2. Tax revision which would not
reduce the total obtained by the
Government, designed to stimulate
equity investment. Undersecretary
of the Treasury Hanes. with Secre-
tary Morgenthau's approval. drew
up a plan in cooperation with the
council, but nothing yet has come
of it.
In addition Hopkins was said to
have promised to apply his help to
solution of the troublesome bitumi-
nous coal problem, still seemingly Tar
from settlement.