Evening star., 1952-02-12
ArnaII Is Approved ,
By Senate Committee
As u. 5. Price Chief
By Francis P. DouqIos

The SenateN Banking Commit
tee today approved unanimously
the nomination of Ellis G. Arnall
to be price stabilizer.
The nomination must be ap-
proved by the Senate which prob
ably will not take action until
Monday. Mr.. Arnall. former Gov
ernor of Georgia, was named by
President Truman to succeed Mi
chael v. Disable as head of the
Ofice of Price Sterilization. Mr..
Disable has resigned, effective Fri
day, to return to Ohio and run for
the Democratic nomination for
Senator.
The committee vote came
promptly after a session in which
Mr.. Arnall was questioned chiefly
about his ideas on controlling
prices.
Sees Greatest Pressure Ahead.
He told the committee he fears
the greatest inflationary pressures
are ahead of us.
Imitation, he said. is the best
weapon communism has.
"Give me the means to hold
the line (on prices and I'll try
to do it,"
So amicable was the hearing
that at one point Mr.. Arnall said
with Southern earnestness, II
think you are a wonderful COM
mittee."
He said he would undertake to
administer the law as Congress
gives it to him.. but he added that
he, like the Senators. believes in
as little control as is necessary.
Calls for Stronger Act.
II would like a few months
from now to be able to wipe out
controls, leave the economy on an
even keel, ask to be excused and
go home"
But he urged no weakening of
the control system, saying instead,
Lets strengthen it,"
Senator Capehart, Republican,
of Indiana, took occasion to reply
to President Truman, In a mes
sage to Congress yesterday Mr..
Truman asked for a two-year eX-.
tension of the Defense Production
Act with its controls. He also
asked for repeal of the Capehart
amendment which provides that
price ceilings for manufacturers
and professors must reflect in
creased costs between the start of
the Korean war and last July 26.
One-Year Extension Seen.
The Senator, pointed out the
amendment gives the administra-
ton authority to deny price in
creaseS if they are excessive or un-
reasonable. He said Mr.. Truman
has cited six examples where price
increases under the amendment
have been excessive. He said that
since they had not been denied,
the indication must be that the in
crease were not unreasonable.
Senator Moody, Democrat, of
Michigan, later referring to the
text of the amendment, asserted
that the unreasonable and ex-
ceSsive" provision applied not to
prices, but to costs.
Senators and Representatives
said the law probably will be ex-
tended for one year from the pres
ent expiration date Of June 80.
That would make possible another
look at its operations year hence.
The Presidents chief criticism
Of the controls law as it stands
now was directed at the Capehartl
amendment which was enacted
last year. It directs the Office of
Price Sterilization to set price
ceilings for manufacturers and
professors which will allow for
cost increases between the start of
the Korean war and last July 26.
Bridges Raps Truman.
Senator Capehart was not in
Washington. Senator Bridges, Re-
publican, of New Hampshire said
Mr.. Truman was trying to make
the Capehart amendment and
other amendments to the law
"scapegoats for his administra-
tion'S failure to extinguish the
fires of imitation"
Senator Moody. Democrat. of
Michigan, a member of the Senate
Banking Committee, said he agrees
with the President on the Cape
hart amendment. But he does
not agree with the Presidents re-
quest for stricter credit controls.
He said the effect of these is to
restrict automobiles and other
products to those who can afford
to make high monthly payments.
Bills to carry out Mr.. Truman's
recommendations were introduced
yesterday by Senator Maybank
and Representative Spence, chair
man of the Senate and House
Banking Committees. Senator
Maybank already had introduced
bill extending the law with few
changes.
Partial Text. -
In his message yesterday Mr.
Truman said in part:
I'VE are just now entering the