Evening star., 1950-10-28
Bell Report Seeks
$3.50 Million Aid,
Philippine Reforms
Continued From First Page0

{ HlIlPPIHC NCiVlmS
Continued From First Page)
survey Of economic conditions in
the Philippines last summer.
In submitting the 53,000-word
report to the Philippine govern
ment, Mr., Truman said the pro-
posals are being studied by
Government officials here. He
added that there must be a def
mite understanding on the reform
measures to be carried out before
the recommendations are sub
mitted to Congress.
"Our two nations have been the
closest of friends over period Of
more than half century," Mr..
Truman wrote. "Our relations
have been marked by a spirit of
straightforwardness and candor
in our dealings with each other.
earnestly hope that we can con-
tinue in this same spirit"
The report laid down seven
point program of reforms that
should be carried out and empha-
sized that the administration of
the proposed quarter of billion
dollar aid program should be un-
der the tight supervision and
control" of an American technical
mission.
Proposed Reforms.
The proposed reforms included:
/. Placing Government finances
on sound basis to avoid further
imitation, with additional taxes,
overhauling of the tax structure
to increase collections from high
incomes and large property hold
ers and the adoption of credit
policies that will encourage pro-
ductive enterprises.
2. Far-reaching steps to in
crease farm production by i'm
proved agricultural methods, es-
tablishment of rural banks for
the benefit of small farmers,
opening of new lands for settle
ment. and the purchase of large
estates for resale to tenant
farmers.
3. Steps to diversity the coun-
try's economy by encouraging
new enterprises. establishment of
Philippine development corpora
ton to coordinate all govern
ment enterprises and give finan-
cial assistance to new undertak-
ings and systematic exploration
Of the islands natural resources.
Would Tax Imports.
4. Imposition of a Is per cent
emergency tax on all imports
other than rice, corn, flour,
canned fish, canned milk and fer
tilizer, continuation of the pres
ent exchange and import controls
and the negotiation of a new COM
mercial treaty with the United
States.
| S. Undertaking an adequate pro-
gram of public health and i'm
proved education, better facilities
for urban housing, establishment
through legislation of the right of
workers to organize free trade
unions" and minimum wages for
a subsistence standard of living
for agricultural and other workers.
| 6. Improvement of public ad-
ministration Ito insure honesty
and efficiency in government" "
placing the civil service on merit
system and the removal of bar
riers against the employment of
foreign technicians.
7. A f1ve-year $3.50 million
American aid program to assist in
economic and social development
of the republic.
Cooperation Pledged.
officials here said there already
had been a pledge of cooperation
from the Philippine government.
The survey was requested by
President Quirino as a basis for
a program to make the republic
self supporting.
There was no indication in the
report or in President Truman's S
letter of sharp feelings stirred up
in the Philippines by the report.
! Mr.. Quirino, in a statement in
Manila yesterday, disavowed a
statement accusing Washington
of harboring grafters worse than
those in the Philippines. The
writer was identified as FREDERICK
Mangahas, personal secretary TO
President Quirino.
Must Boost Revenues.
The Bell report said the Philip
pine government must boost it's
revenues substantially by drastic
reforms in and out of the govern
ment.
THE Government has thus far
attempted to deal with some of
these emergency problems through
import and exchange controls and
through price controls" the re-
port said. Such measures are
directed to the symptoms rather
than the causes of economic dis
order. At best they are measures
that can only delay a breakdown
in the economy; they cannot rem
| Adv tho fund q rnonfn1 I'll e.e.~