The Republican. [volume] (Oakland, Md.) 1877-current, 1946-08-01
Rep. Beall Tells
Why He Opposed
Loan To Britain
Says Congress- Lacks Authority
To Tax American Citizens

measure because "such power is not
vested in Congress under the Con-
stitution or by law"
Under the terms of this bill, which
the House passed PIG to 1855, the
/ United States will lend Great Britain
$3,750,OOO,OOO. The measure previous
ly had passed the Senate and follow
/ ing passage by the House was sent to
President Truman for his signature.
Rep. Roe Also Opposed
! Also voting against the bill was
Rep. Roe, of Maryland. and Rep.
Bailey, of West Virginia, both Demo-
Gratis. Rep. Ellis, Republican, of West
Virginia, also opposed the bill, while
the following Democrats voted for it;
Baldwin, Sasser, Fallon and
DAlesandro, Of Maryland; Randolph,
Nicely Kee and Hendrick, Of West
Virginia
In his statement Rep. Beall de-
clared when considering the pro-
posed loan to Great Britain, l want to
remember that | am representing the
people Of my district and all of the
United States. | mast do as | would
if | were a bank official and the
custodian of a trust fund. The money
we are asked to lend is not mine. 1t
is the money to be taken from the
4 ,,,al,icop
an order to make a loan to Bri-
tian we must collect taxes from all
people subject to taxation. Our gov
ernment will then take the taXpay-
ers money and make an extension of
credit or a gift to Britain. What
power or authority does Congress
have to tax the people and raise
money for the purpose Of extending
credit, giving or loaning money to
foreign country? Such power is not
vested in Congress under the Consti-
tuition or by any law.
Pays No Interest
an the first place, the United
States Government does not have
50, 750OO0.0 1000. We can get it only by
creating fiat money or by selling our
bonds to our own people, and if we
DO we must pay interest on those
bonds Great Britain pays US no inter-
est for 5 years under the terms Of
this agreement and after years she
does not pay interest unless she feels
like she is able to pay it. 1t is all
OPTIONAL with her. For the first time
n the history Of the world, the debtor
IS to sit in the drivers seat and hold
the whip hand. Up until now l have
always heard that "beggars should
not be choosers.'
ENGLAND is putting up no secur
ity-not even turning over any island
defense bases. England can post col
lateral and the loan should be made
en- a business basis. With between 3
and 4 billion in gilt edge securities
she holds in this country her rail
road and other holdings in South
America, her gold and diamond mines
in South Africa and other investments
all over the world there is no reason
why collateral cannot be posted.
in making the gift to England we
will be obligated to open our Ameri-
can markets to low wage foreign
products in competition with our own
labols, agriculture and industry.
81 do not see how the proposed
loan would help stop England's
sooalistc trend. The chairman of the
British Labor Party now in power,
the Hon. Harold Laski, was recently
quoted in the New York Times. TO
those who say we have to choose, as |
90 not believe we have to choose, be-
tween the Soviet Union and the
United States, with it passion for
free enterprise which is not free and
IS not enterprise, we the Labor Party
stand f0resquare behind the Soviet
Union. lHlS SAME hdShl IdIhS @OOuC
what he calls our rotten, decadent,
capitalistic SYSTEM even though it
has twice saved the British empire.
Unemployment Not Severe
unemployment is not severe in
England-at the present time being
down to less than 100000 men and
women whereas her prewar aver
age unemployment ran close to q
100000. AS late as April 4, 1916,
the London Times reported that the
increase in unemployment which oc-
Cured last fall was beginning to
slacken. England would use the loan
to extend social benefits and security
to her own people with our money
when we have not done good job
for our own veterans and old age
pensioners.
1T has been claimed that the loan
was necessary to reestablish Eng
lands export business. Statistics will
show that during the first three
months of 1916 exports exceeded the
same period in 1888. The month of
May, 1916, exceeded the same month
in 1888, which was her biggest year
in exports.
England is applying to use for a
loan at the same time she is negotiat-
ing loans to other countries. Greece is