Evening star., 1941-09-18
Moreenthuu DiscIoses
Soviets Got Credit
A Month Ago
(Tert OF lenSe-lend request on
Page A-6.)
By the Associated Press.


gress today for an additional
S5,905,0OO,0O0 for the lease-lend
program so there might be mo
interruption in the flow of aid to
those countries whose defense is
vital to our own"
. At almost the same time, Secre-
tary Morgenthau disclosed that
United States financial aid to Rus
sia began a month ago with a
S10,0OO,0OO Treasury advance to the
Soviet.
In letter to Speaker Rayburn.
the President recommended speedy
action. The appropriation would
bring the total of lease-lend funds
to sl2 .985, 900 900.
Mr.. Roosevelt noted that of the
original $1,000 100000 last March
280,O0O,000 had 5een allocated.
He sent to Mr. Rayburn a letter
from Budget Director Harold D.
Smith which contained a proposed
appropriation measure showing the
projected breakdown of the $685.
100000.
The largest single item. rejecting
a determination to supply vital
needs for the enemies of the Axis,
was 875,000000 for agricultural,
industrial and other commodities
and articles"
Billion More for Guns.
The next biggest of the subdlvl-
sions was 81 S1190,000,000 for ordnance
and ordnance stores of various kinds,
including armor and ammunition.
For planes and aeronautical mate
rial. including engines, parts and ac-
cessories. it was suggested that $685.
100000 be laid down.
One stipulation contemplated IN
the draft of the legislation sent
along by the Budget Bureau would
forbid use of any of the lease-lend
funds to pay any person who advo-
Gates, or belongs to an organization
which advocates, the overthrow OF
the United States Government by
force or violence"
An affidavit would be considered
prima facie evidence that the per-
son making it was not such an
advocate.
The measure also would let the
President authorize contracts with
foreign governments for the United
States to supply them with defense
articles, information or services,
which would be paid by these gov
ernments. This would apply to any
country whose defense the President
deems vital to the defense of this
Nation.
If the Chief Executive considered
any defense article covered by the
act to be necessary for the defense
of this country it could be retained
rather than handed over to foreign
government.
Other specific items in the Budget
Bureaus breakdown were:
Tanks, armored cars and other
eutomotive vehicles, 1886 100000;
vessels of various descriptions, plus
equipment and supplies, 100000 900;
miscellaneous military and naval
equipment, S155,000,000; facilities
and equipment for manufacturing
defense articles, including land
acquisition, s375,000000.
Testing or repairing defense items
for other governments, such as dam
aged vessels, S175,000000.
Necessary services and expenses,
s285 100000.
Administrative expenses, sl0,-
100000.
The proposed bill also carried Ian
guage which would permit the shift
ing of the various funds from one
category to another, provided that
no consolidated item should be
boosted more than 80 per cent. This
would not apply to the s10,000,000 for
administrative expenses.
Credits Already Given SOvietS.
Mr.. Morgenthau made his dis
closure that credits already had
been granted Russia at a press
conference today after Federal
Loan Administrator Jesse Jones
announced yesterday that a Re-
construction Finance Corp sub
sidiary was buying S100,00O000 of
minerals from Russia and paying for
part of it in advance in order to
provide the Russians with cash to
pay for war supply purchases in this
country.
Mr.. Morgenthau said that on
August IS Russian Ambassador
Constantine Oumansky informed
him that the Russians were shipping
S10.00O,000 of gold to the United
States in the next 80 days. but
needed the money Immediately to
pay American manufacturers for
goods already ordered.
With the approval of the State
Department, Mr. Morgenthau re-
lated, he paid Mr.. cumansky the
s1O,0O0,00O in advance on the Am
bassador's promise to deliver an
: equivalent amount of gold in 80
days.
Mr.. Morgenthau said no further
requests for Russian aid had come to
the Treasury and he could not pre-
dict what action would be taken on
any further request because, you
know, the Treasury is on a day-to-
day policy
Asked whether Russian credit was
good. Mr.. MOrgenthau said. "they