Evening star., 1942-10-29
Senators Ask Probe
OF Farm Price
Control Program
Reed Says Henderson
Sold Roosevelt Policy
To Force Wheat Down

sCenatOr' Heed, Republican, OF
Kansas charged Price Adminis-
traitor Leon Henderson today
with selling" President Roose-
velt a farm subsidy policy, with
out congressional authority, "to
bring the price of wheat down."
Describing Mr.. Henderson as a
good actor who produces melodrama
as rare and precious as any of the
old 100000 cent circuit" Senator
Reed told the Senate he believed
neither James F. Byrnes, economic
ssabllization director, nor Secretary
OF Agriculture Wickard wanted to
include benefit payments in figuring
the ceiling prices of farm products,
as they had done.
Il think Mr.. Henderson sold the
President on it, Senator Reed said.
4 feel sorry for those boys" he
added, referring to Director Byrnes
and Secretary Wickard.
Senator Reed charged that Messrs.
Byrnes, Wickard and Henderson ARE
gong to give subsidies to bring
the price of wheat down." which he
characterized as ridiculous, alb
sHed, silly, unfair and unreasonable
policy"
Gillette Urges Inquiry.
Since no farmer could get cent"
OF subsidy unless he put his wheat
under Commodity Credit Corp.
loan" Senator Reed said, the pur-
pose was to force farmers to accept
loans and Government regimenta-
tion.
Senator Gillette, Democrat, of
Iowa, joined Senator Reed in pro-
posing an investigation by the SEN
ate Investigating Committee of the
administration of the Price Con-
troll Act.
=, The two Senators introduced a
resolution calling on the committee
to make full and complete. con-
tlnuing study and Investigation" of
the maximum prices fixed on agri-
cultural commodities, the payment
OF subsidies and the operations of
the Commodity Credit Corp. in
maintaining minimum or maximum
prices on farm products.
The resolution was an outeroWth
OF an attack made by Senate Farm
Bloc members on the action of the
OPA and the Department of Agri-
culture in carrying out a directive
by President Roosevelt to calculate
Government benefit payments as a
part OF crop returns to farmers in
liking agricultural price ceilings.
Charges Ceilings Below Parity.
Senator Gillette charged in a
statement that farm price ceilings
IN some instances were being fixed
at only so per cent of parity, whereas
Congress had stipulated that they
should not 60 below that point
Parity is a price level calculated to
give farmers purchasing power equal
to that of a past favorable period.
usually 1909-14.
The farming sections have been
led to believe that price ceilings on
commodities processed from farm
products would be imposed under
the express wording of the statute
at a level which reflects to the
producers of the raw materials a
parity price for such materials -"
Senator Gillette declared, adding:
THE administrative officials under
direction of the President are i'm
posing ceilings which allow prices
Tor the raw materials in MANY in
stances running from 60 to IS per
cent of parity. This is true as to
potatoes, wheat and many other
tarm commodities.
THE producers of raw materials
are entitled to know exactly the
conditions under which they are
asked to produce under the Ma
tlon'S need. The laws ought not to
be left where such a wide variance
of Interpretation is possible"
Senators Gillette and Reed also
Joined in offering a resolution which
would speed disposal by an emer-
gency court of appeals of protests
flied against price fixing orders.
Some farm State Senators termed
the administration Of the price
control law "high-handed and il
legal"