Evening star., 1939-01-13
Few Contributions
Indicate 6. H. A.
Won't Repay $4,000
Scarcity Of Donotions
BY Members Seen
Showing Course

~ SVsSuDSsS SSSu
Showing Course
Having received from members
(. only a relatively few dollars toward
:. disputed repayment of $4,000 to
: the Home Owners Loan Corp,
. Group Health Association, Inc,
. medical cooperative Of Government
4. workers, apparently now intends to
. keep the funds, without further at
, tempts to repay the controversial
contribution"
The $4,000 has been one Of the
. sore spots in the controversy raging
around G. H. A., which now has
$500 members and about 5000 pa
tients. The controversy, which has
reached the stage of several court
actions, and indictment by Federal
grand jury of four organizations and
81 doctors Of organized medicine for
restraint of trade against G. H. A.
promises to run on for years.
The Home Owners Loan Corp. has
contended there was ample author
ity under the law setting 1t up for
use Of $4,000 to improve the health
of its own employees. Organized
medicine and its defenders, on the
other hand. have insisted there was
no right in law for use of such
funds.
Senator Told H. o. L. C. Had Power.
The funds were advanced in 1887
to finance the G. H. A. clinic in the
1900 block of I street. Off1cials of
the Medical Society of the District
criticized the use of H. o. L. G. funds
for such a purpose and the fight
ragged for some time in Congress,
with arguments advanced by con-
gressional advocates of G. H. A. on
the one hand, and organized medi-
cine on the other. Acting Controller
General Elliott held In an advisory
opinion rendered to Senator McCar-
ran, Democrat, of Nevada that ex-
penditure of the money was with
out authority of law.
When the matter was referred to
the legislative counsel of the Sen
ate, the Senator was advised that
Under the law setting up H. o. L. c.
the agency had sufficient power to
use its funds for such a purpose.
One move was launched by some
members of G. H. A. to repay the
disputed funds. This took place at
meeting months ago in the Del
partmental Auditorium, which was
addressed by DR.. Hugh Cabot of
Rochester, Mimi, champion Of CO.
operative medicine.
Repayment Was Voted.
When the question of repaying
the H. o. L. c. was brought unex-
pectedly before the gathering of
members of G. H. A., it was put to
a voice vote, which favored repay
ment of the funds.
Since that time some members
of G. H. A. have made contributions
toward repayment, it was learned
today. but the total is very small as
compared to the $4,000 advanced.
The board of trustees of G. H. A.,
however. has never taken any ON
cial action on the matter, it was
learned, and has not attempted to
force collection Of funds for that
purpose.
Some members of G. H. A. are
known to feel strongly that the ex-
penditure was justified in the first
place, as a means of protecting
health of employees, to reduce sick
leave, and save the Government
money from loss because of sick
leave. They take the position that to
repay the money would amount sub
stantially to an admission that the
n. o. L. c. was wrong in the first
place IN advancing the money.
Transaction Held Justified.
These members insist that the
transaction was legal, moral, ethical
and justified by law" and therefore
should not be admitted as wrong in
any sense of the word. The 10000,
they say, is not debt to be repaid.
Meantime, notices went out today
TO the G. H. A. membership for the
annual meeting to be held next
Tuesday night at the departmental
auditorium on Constitution avenue.
Six members will be elected to
the board Of trustees, and officials
will report on the financial status
and progress of Group Health Asso-
citation. William c. Kirkpatrick.
president. will preside. The session
will open at 7:30 pm.
Nominees submitted to the mem
bership for balloting to elect six
members Of the board are as fol-
lows: First term of three years, Row
F. Hendrickson and DR.. Carl c,
Taylor, Department of Agriculture:
second term of three years, Leonard
j. Calhoun, Social Security Board:
third term of three years, A. c.
Edwards, Civil Service Commission,
and Marion L. Ramsey, Rural Elec-
trlf1cation; term of two years, DR..
Max A. Mccall and Robert H.
Shields. Agriculture; first term of
one year. Miss Edith lockwood, De-
partment of Labor, and DR.. Louise
Stanley, Agriculture; second term
OF one year, Cameron G. Garman
and Harry c. Hensley, Farm Credit
Administration.