Evening star., 1948-01-10
FOREIGN Aid
Continued From First Page.)

cent of any recovery funds advanced
will be in the form of loans that
may be repaid. The balance of 80 to
so per cent would be in the form
of grants that would not be repaid.
Senator Vandenberg then asked
what will determine whether aid is
extended in the form of loan or a
grant.
Mr.. Douglas said experts of this
Nation will determine the ability
of the recipient nation to repay. He
said advances for capital goods and
equipment will be repaid if the ma
ton is able to do SO.
Senator George, Democrat. of
Georgia and Senator Connally of
Texas, ranking Democrat on the
committee and its former chairman,
questioned Mr.. Douglas closely on
the proposed administration of the
act.
Connally Questions Proposal.
Mr.. Douglas said that no place
an administrator on par with the
Secretary OF State would result in
two Secretaries of State"
Senator George said he doesn't
agree that Is necessarily so and
that he thinks something better
that the State Departments plan
can be worker out.
Senator Connally questioned a
IN nf
the program abroad on foreign serv-
ice status under the State Depart
ment. Mr.. Douglas said this would
work to their advantage through
increased compensation and au-
thority.
Senator Connally caused chuckle
at one point when, to illustrate a
point, he commented:
"Just because a man Is q good
hamburger merchant doesn't mean
he would make good Mayor or a
good Governor"
Senator Connally asked what will
happen If the proposed administra-
tor and Secretary of State cannot
agree?"
The President then must decide
policy, Mr.. Douglas replied.
"Oh, you're going to bother him, y
Senator Connally commented.
Mr.. Douglas told Senator Wiley
that about 900 persons, with 400
overseas and 500 in the proposed
domestic setup would be required
for the program.
The Ambassador resumed his tes-
timony amid growing indications
that the type Of organization to
manage the Marshall Plan may un-
dergo changes in Congress.
Chairman Vandenberg told Mr..
Douglas that unless the agency set
up to handle the four-year program
for European recovery is one which
wins the confidence Of the Ameri-
can people, then you are sunk with
out a trace"
Business Responsibility Urged.
The Senator then added his be-
lief that the people want a new
element of business responsibility
injected into foreign aid.
The chairman's views came late
yesterday while Mr.. Douglas was
exhibiting charts to explain how 1t
is proposed to have single admin
istrator manage the plan, but under
the direction and control OF the
State Department in order to avoid
having two agencies steering over
all foreign policy.
The first two days Of hearings in
dicate a feeling in the committee
that the program is largely an eco
nomic one, even though it also is
designed to stem the spread OF COM
munism that might follow economic
collapse of Western Europe.
George Chides State Department.
Committee members recognize
that basic foreign policy should be
guided by the President and the
State Department. The problem
they appear to be turning over In
their minds is how and where to
draw the line between the business
management of the program and the
foreign policy questions.
Senator George also chided the
State Department yesterday after
noon for presenting what he called
absolute alternatives" such as Sec
retary of State MarshalTs statement
that Congress should undertake to
meet the requirements OF the pro-
gram or not undertake it at all.
Mr.. Douglas said he did not think
any one in the State Department
meant to convey the thought that
Congress should grant the full esti-
mate for the first IS months OF S.
300, ,00O, 900 or nothing.
Senator George agreed that he did
not believe Secretary Marshall
meant to say that literally, but con-
tended that 1t contained an "all or
nothing" inference.
Senator George said he objected
because 1t was propaganda language.
This program has merit and
should be defended on its merits"
said the Georgian, adding that ne
was not sure the program would be
failure If Congress decided to
alolw 5000 100000 instead of &c.
10000 900.
Mr.. Douglas assured the commit
tee the State Departments plea was
that the program be adequate.
Senator Barkley, Democrat, of Ken
lucky joined in to observe that he
did not think the Interpretation
placed on Secretary Marshall's state
ment by some newspapers was jus
titled.
Police Seek Man Who Hit
Nurse Boarding Bus
An unidentified assailant who
struck a nurse on the back OF the