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News Review of Current
Events the World Over
“Second Revolution” Smashed by Hitler and Its Leaders
Put to Death—Roosevelt Names Five
Boards and Sails Away.
By EDWARD W. PICKARD
© by W•stern Newspaper Union.
r'OUEWARNBD of a railical plot
* within the National Socialist party
to bring about a second revolution In
Germany, Chancellor Adolf Hitler
struck with swiftness
and ruthlessness that
completely smashed
(he revolt on the eve
of the planned coup
d'etat and left the
malcontents, chiefly
members of the Storm
troopers, dazed and
terrified. The Chan¬
cellor himself exhibit¬
ed resolution and per¬
sonal bravery with
Chancellor which the world had
Hitler not credited him.
Flying from Berlin to Munich in the
night, ffftler with only two bodyguards
went direct to the summer home of
Capt. Ernst Koehrn, commander of the
brown shirts and long ids personal
friend. Uoehm and certain of his as
sociutes were found in situations that
conlirmed the often heard stories of
their moral perversion, and as Hitler
was certain also of their complicity in
the revolutionary plot, he personally
arrested Uoehm, tore off his insignia
and offered him a chance to commit
suicide. This Iloehm refused, so on
Hitler’s order lie was shot to death,
as were the others taken with him.
Meanwhile, Gen. Hermann Wilhelm
Goering. premier of Prussia, directed
a series of raids throughout the coun¬
try that resulted In the deaths of nu¬
merous prominent members of the con¬
spiracy and the arrest of scores. Chief
among those shot down was Gen. Kurt
von Schleicher, Hitler’s predecessor as
chancellor and reputed head of the
revolutionary plot. His wife stepped
in the way of the policemen’s bullets
and also died. Well known Storm
troop lenders in Munich and elsewhere
were put to dentil summarily, and so
was Heinrich Klausener, head of the
Catholic Action party.
Vice Chancellor Franz von I'apen,
who had recently attacked tiie radical
tendencies of the Nazis, was put under
heavy guard, and forbidden to leave
his home, and two of his adjutants
killed themselves.
Von i’apen offered to resign from the
cabinet, but President Von Hinden-
berg, his close friend, refused to ac¬
cept the resignation, and the cabinet
urged him to remain as minister with¬
out portfolio to supervise activities In
the Saar. Von Pa pen, however, will
take a protracted leave of absence.
Viktor t,litre was appointed to suc¬
ceed Uoehm ns chief of stuff of nil the
redchswehr units, in¬
cluding the Storm
troops among whom
the disaffection had
existed and the regu
lar army, which was
declared to be entire
ly loyal to Hitler.
President Von Hin
denburg all this time
was at hts estate at
Neudeck, East Pros
sla, and there were
reports of his serious Viktor Lutze
Illness, which were flatly denied. Two
days after the chancellor s drastic ac¬
tion the aged president telegraphed
Hitler and Goering his approval of
their course, congratulated them on
their victory and thanked them In
the name of the nation. Undoubt¬
edly, Hitler's personal position was
strengthened for the time being, and
the leftist elements In ttie Nazi party
were weakened and divided. Goering
and Hitler professed pity for the "mis¬
led" Storm troopers, but the latter
are now out of their uniforms tein
pornrily and may never he ns impor¬
tant ns they have been in the past.
They had become something like a
pretorlan guard that threatened Hit¬
ler's supremacy.
in various European capitals there
were predictions of further outbreaks
In Germany and the return of the
Hohenzollerns.
Hitler's “violent” methods were crit¬
icized by Engelbert Dollfuss, Aus
tria’s dictator, who said: "Does not
the light at last dawn upon us that
one cannot make a people happy with
violent methods?”
Paris Interpreted the affair as a
victory for conservatives and as open¬
ing tiie possibility for a return of the
Hohenzollerns. The violence, it was
claimed, revealed a breakdown in the
unity of the Hitler movement.
in London the view was taken that
Hitler had solidified his position. Some
papers accused him of employing the
methods of gangsters and called the
slaying of storm-troop leaders “brutal
murders."
'T'KADK war between Great Britain
A. and Germany was nverted by the
signing of an agreement protecting
British Interests during the relch’s six
months foreign obligations morato¬
rium, ordered In effect July 1.
Under the accord, Germany agrees
to pay Young and Dawes plan obliga¬
tions when due in October, Novem¬
ber and December, on presentation of
coupons on bonds by the Bank of Eng¬
land.
For six months, beginning July 1,
the German government is to pro¬
vide sterling funds to the Bank of
England for the purchase In full at
the nominal value of all coupons on
these loans held by British subjects
on June 15, when the moratorium was
disclosed.
r A PAN’S cabinet resigned as a result
•J of a financial scandal Involving a
vice minister, and the emperor called
on Prince Saionji, last of the elder
statesmen, for advice In selecting a
new premier. The prince recommend¬
ed Admiral Keisuke Okada for the
place and the emperor made the ap¬
pointment, which was generally con¬
sidered very wise. Okada asked Kokl
Hirota to remain as foreign minister,
and the minister of war and navy also
were reappointed. The new govern¬
ment is expected to follow the general
lines of policy laid down by Salto, re¬
tiring Aemier. One of its chief alms
will be to clean up graft.
Japanese naval circles are con¬
vinced that Okada Is the only rnan
callable of safely piloting the nation
through the naval conference next
year. They feel that Saionji selected
Okada because he realized that the
conference will be of the utmost Im¬
portance to Japan's future.
PRESIDENT ROOSEVELT departed
l on his cruise to the Caribbean and
Hawaii aboard the Houston, accompa¬
nied by his two younger sons, Frank¬
lin, Jr., and John;
Rudolph Forster of
the White House sec¬
retarial staff; Com¬
mander Ross T. Mcln-
tire, naval physician;
Gus Gennerich, per¬
sonal bodyguard;
Richard Jervis, secret
service man, and
Pharmacist’s Mate
George Fox. On ac¬
J. M Landis companying destroy¬
ers are two secret
service men and three representatives
of three big press associations.
Before sailing the President per¬
formed these seven Important acts:
Approved tiie Frazier-I.emke farm
mortgage moratorium bill.
Approved the railroad unemploy¬
ment and pension act involving ad-
ditiomtjgtffurdens of millions of dol¬
lars oiWhe carriers.
Appointed Joseph Kennedy, wealthy
New York stock operator as chairman
of the new securities exchange com¬
mission for a five-year term, and
George C. Jlathews, James M. Landis,
Robert E. Mealy and Ferdinand I’ecora
as mem hers for terms ranging from
four years downward.
Named Eugene O. Sykes, Thad H.
Brown, Paul Walker, Norman Case,
Irvin Stuart, George Henry Payne and
Hampson Gary members of the new
communications commission for terms
ranging from seven years downward.
Set up the new national labor re¬
lations board with Lloyd Garrison,
dean of the University of Wisconsin
law school, chairman, and Prof. Henry
Alvin Mills, head of the economics de¬
partment at the University of Chicago,
nnd Edward S. Smith of Massachu¬
setts, labor relations specialist, as the
other members.
Named James A. Moffett, former
vice president of the Standard Oil
Company of New Jersey and a mem¬
ber of the planning and co-ordinating
committee of the oil conservation
board, as administrator of the new
$1,OiK 1,000.000 housing program.
Appointed five members of a com¬
mission to study federal aviation and
air mail affairs and make recommend¬
ations to Atlanta, the next congress—Clark
Howell, Ga„ publisher; Je¬
rome t'lnrke Hunsnker, New York;
Edward P. Warner, Washington, D.
C.; Franklin K. Lane, Jr„ California,
nnd Albert J. Berres, California.
kyf It. ROOSEVELT went ashore for
* the first time on Ills cruise at
Cape Haitien. Haiti, where he was met
by President Stenio Vincent and other
officials of tiie island republic. At the
Union club lie made an address, partly
in French, in which lie announced the
forthcoming withdrawal of the ma¬
rines, adding that he hoped they would
be remembered ns friends who had
tried to help Haiti. Marine detach¬
ments have been on duty in Haiti,
whose population is 90 per cent col¬
ored, since 1915.
\ 4 MR- MARIE CURIE, co-discoverer
with her husband of radium and
rated as one of the world's greatest
women, passed away at Passy in the
French Alps at the age of sixty-six
years. Her physicians said that her
inability to recover from an attack
of pernicious anemia was probably due
to the fact that her bone structure
was weakened by years of exposure to
radium and X-rays.
The Netherlands was thrown into
mourning by the death of Prince Con¬
sort Henry. He was married to Queen
Wilhelmina in 1901 and the Dutch peo¬
ple had learned to love him deeply.
A TTEM1TS to open tiie port of San
** Francisco, closed for some time
by the dock workers’ strike, resulted
In bloody riots in which several men
were killed and many injured. Gov.
Frank Merriman called out 2.000 Na¬
tional Guardsmen.
>DE COUNTY TIMES: JULY 12, 1934
l plrrffiWr^vlSTER DONALD of Great RAMSAY Britain, wiio MAC- is
in Scotland on a vacation, was bitterly
assailed In the house of lords by Vis¬
count Snowden, former chancellor of
exchequer and once close personal
friend of the premier. Snowden de-
nounced MacDonald as a traitor to his
,
| colleagues in the Labor party and to
the country.
"The cabinet found the prime minis¬
ter such an amenable instrument of
Tory policy,” Snowden declared, "that
it has come to the conclusion that
there are no professions which he
made, no pledges which he gave the
country which he will not repudiate,
no humiliation to which he will not
submit if they only allow him still to
be called prime minister.
“The Tories have no use for Mac¬
Donald except for exhibiting him on
their platform in chains as the one¬
time Socialist who has seen the error
of his ways and found salvation In
the spiritual home of the Tory party.
"He will be used for the same pur¬
poses as the reformed drunkard at
temperance meetings.”
QENATOR BORAH of Idaho, lnde-
^ pendent Republican, opened his
one-man campaign against the New
Deal in a radio address attacking es¬
pecially bureaucracy
and monopoly. Al¬
though his criticism
was directed primari¬
ly against what he
conceives to be these
elements In the New
Deal, he summarily
indicted the national
leadership of the Re¬
publican party on the
ground that it “seems
wholly unwilling to
Senator Borah touch this vital issue”
—namely, the monopolistic trend.
The senator said the Roosevelt
regime was establishing not Nazism,
not Fascism, not Communism, but
"simply that meddlesome, Irritating,
confusing, undermining, destructive
thing called bureaucracy.” And bureau¬
cracy he defined as “that form of gov¬
ernment which steals away man’s
rights In the name of the public In¬
terest and taxes him to denlh to the
name of recovery,” BureaucraopF the
Idaho senator asserted, “has destroyed
every civilization upon which it lias
fastened Its lecherous grip.”
It is the common man who will bo
the chief victim of our new bureaucrat¬
ic form of government, the Idahoan as¬
serted. The influential and powerful
have demonstrated that they “can gen¬
erally obtain all the rights and privi¬
leges they desire under any form of
government.” But the “freedom and
political rights" of the toilers are be¬
ing more and more limited, whether
under European dictatorships or the
American bureaucracy.
X VV xrlNDING up its fiscal year, the
federal government found that,
counting emergency expenses, it had
spent about $4,000,000,000 more than
it had collected. Balancing receipts
against ordinary expenditures, the
government figured it was $28,000,000
"in the black” for the year.
{’resident Roosevelt has estimated
nearly $5,000,000,000 would be added
to the national debt by emergency ex¬
penses during the next 12 months.
This was predicated on recovery that
would make industrial production av¬
erage 98 per cent of the 1923-25 level.
In July, 1935, the President hopes
to start the payoff for the recovery
program. By that time, he has said,
the budget should be balanced.
According to the federal reserve
board’s Index, the Industrial produc¬
tion figure for the year Just ended
was slightly above the 81 per cent av¬
erage on which the President based
his hopes.
'T'WO 1 events in recent days have em-
phasized the friendship that exists
between the United States nnd Can¬
ada. The first was the dedication of
the new International bridge span¬
ning the St. Lawrence between Roose-
veltowu, N. Y„ and Cornwell. Canada.
Secretary of War Dern represented
President Roosevelt at the ceremony,
and the earl of Bessborough. governor
general, was there for the Dominion.
The second event, on July 4, was
the return to the Canadian government
of the nmoe of the parliament of up¬
per Canada that was taken during the
War of 1812, at the battle of York,
and had been in the Naval academy
at Annapolis ever since. On recom¬
mendation of President Roosevelt
congress authorized the restitution of
the mace. Rear Admiral William D.
Leahy, chief of the bureau of naviga¬
tion, accompanied by his aid, Lieut.
Com. Ernest H. von Helmburg, made
the presentation at Toronto and at¬
tended the unveiling of a monument
erected by the United States’ Daugh¬
ters of 1S12. to the memory of General
Pike and others of the United States’
forces killed during that war.
qpHERE was a general scattering of
J. administration chieftains following
the departure of President Roosevelt.
Secretary Roper went to Alaska and
Secretary Morgenthau to a Montana
rauch. Secretary Dern sailed for the
Canal Zone, and Secretary Swanson
and Attorney General Cummings were
down on the tower Potomac on yachts.
Secretary Hull took motor rides In the
Virginia mountains. Secretary Farley
was in New York, and Secretary Wal¬
lace went to Chautauqua. Secretaries
Ickes and Perkins remained at their
job. General Johnson went to Sara
toga Springs for a rest, Harry Hop¬
kins sailed for Europe and Professor
Tugwell went to the Far West Lesser
lights also left Washington.
\ \ F.X1CO elected a new constitu-
1 tlonal president—Gen. Lazaro
Cardenas—and it was the quietest
election in the country’s history.
BRISBANE
THIS WEEK
First Break in Germany
The Kaiser’s Praise
What Next in Germany?
Vatican Resentment
The dictatorial path of Chancellor
Hitler Is not as smooth as with his
colleagues, Mussolini, Kemal I’asha
and Stalin.
A few killings, suicides and arrests
will not put an end to such violent dis¬
satisfaction, and the world wonders
what will happen next.
Old President Hindenburg congratu¬
lates all the survivors. Some of the
dead may be better off than the living.
According to Universal Service,
Roehm, who had fought at the side of
Hitler since the beginning, did not
commit suicide. Left with a loaded
revolver in his prison cell, he refused
to kill himself and, after being given
“ten minutes more,” was shot down by
a firing squad.
The former kaiser expresses amaze¬
ment at Hitler’s energy and strength-
He says Hitler is "stronger than ever.”
It is clear the chancellor does not
lack strength of will or swiftness of
execution. Before he had seized com¬
plete power he predicted “heads will
roll.” They are rolling, and Hitler’s
head man, Goebbels, predicts that
“more heads will roll.”
That the Hitler collapse Is to be
followed by horrible violence is only
too probable. What would come after¬
ward?
Would extreme “red radicalism”
come to the front to take control?
Would there be that union of Russia
and Germany that many Germans ad¬
vocated immediately after the sign¬
ing of the Versailles treaty?
The pope’s government in the Vati¬
can resents, bitterly, and naturally, the
statement that Heinrich Klausener,
head of the Catholic Action party in
Berlin, has committed suicide. An
official of the Vatican recalls that
“only recently Klausener made a noble
speech to Berlin Catholics, which was
read with deepest satisfaction by the
Vatican.” The Vatican official, quoted
by International News Service, adds;
“We must strongly protest against
the attempt to camouflage murder a»
suicide, since the Catholic religion for¬
bids suicide. Militants, like Klausener,
would not dream of taking their own
lives.”
The same official said further: “It
is deplorable that, not content with
killing their adversary, the brown
shirts threw mud at his noble figure.”
Rudyard Kipling, mot as young as
he was, but persistently British and
patriotic, writes a new poem which
says Non Nobis Domine, meaning “Not
Unto Us, O Lord,” should the praise
be given. This new “Recessional”
poem was written for a magnificent
pageant celebrating England’s mar¬
velous recovery from the big war and
depression and dragging in the defeat
of the armada. Kipling might have
written, hut did not write: “Non
Nobis Domine—Give the praise to our
gooselike friend Uncle Sara, for with¬
out him sending us billions of dollars,
and quietly accepting our default, we
should not be so well off.”
This great nation, as mild as a sick
white mouse concerning the gigantic
defaulted debts of France and Eng¬
land, is roaring like a first-class lion
at Germany’s default. It must be a
great comfort to find some one to
whom you dare speak plainly.
Senator McAdoo, praising President
Roosevelt, says, “Rugged Individual¬
ism is dying.” If that were true, it
would be a sad thing for the country,
because some necessary things white
rabbits cannot do.
If rugged individualists had died
earlier, there would be no tunnels
from New York to New Jersey, under
the North river. McAdoo cut them
there, and It was a rugged job.
And if there were no rugged indi¬
vidualism left, there would be no
President Roosevelt. Any man able
to make congress eat out of his hand,
and jump through new era hoops, is
rugged.
Many old men will read this with
sympathy: Fred Schlundt inhaled gas
and kilted himself in a little furnished
room. In his pocket were 6 cents and
this note:
“Don't try to revive me. I want
to be dead. I am over seventy-four.”
President Roosevelt Is said to have
told his subordinates, high and low,
old style and new "brain trust” style,
not to talk politics while he Is away
on his trip to the Virgin Islands and
Hawaii.
The President's order is wise. If all
the different brains recently and sud-
denly injected into politics began ar¬
guing all together some of them might
contradict each other.
Before leaving, the President estab¬
lishes a “steel labor board,” consisting
of three men, well chosen. This board
will deal with the steel strike as “the
national longshoremen’s board” will
deal with the strike of dock laborers
on the Pacific coast. Employers and
employees are said to have requested
the accepted arbitration by presiden¬
tial boards, but Mr. Green, head of the
American Federation of Labor, has not
spoken enthusiastically or definitely oa
the subject
ft. King Feature# S&cdiaat*. Im
WNf n»rrtem
National Topics Interpreted
by William Bruckart
Washington.—Congress took a for¬
mal adjournment, a few weeks ago,
but I found in roam-
T ax Inquiry ing about the Capi-
Significant ™ and * enat *
house ofhee build¬
ings the other day, that there are no
less than eleven of its committees con¬
tinuing In session, and that no less
than eleven of them are conducting
investigations. It is true that only a
few members of each of the commit¬
tees remain in attendance—the others
are out campaigning for re-election—
but, even so, it appears there Is going
to be an extraordinary amount of
searching after truth, or mudslinging,
through the heat of the summer and
the cool of the autumn.
While I am not infallible in my
judgment and conclusions, 1 must con¬
fess that I can see a valid reason for
only one, just a single one, of those
eleven investigations. The ways and
means committee of the house has
started out to do some surveying of
the federal taxation structure, and ev¬
erywhere I have asked I have found
approval of the Idea. There can be
no doubt of a need for that survey,
provided the politicians will accept the
results of those who examined the
facts, because the American taxation
system, both national and state, surely
is of the hit-or-miss type.
But there is another significance to
the tax inquiry. I reported to you re¬
cently that it was going to cost tax¬
payers a total of almost $1,150,000,000
a year in interest on the public debt
of the national government when that
debt reaches the $31,000,000,000 which
President Roosevelt has announced it
will reach. Since that information
was given you, further inquiries con¬
vince me the debt easily may reach
$35,000,000,000 by the winter of 1035-
3G, and the interest alone will be cor¬
respondingly more. This is just the
interest, mind you, and makes no pro¬
vision for retirement of any of the
debt, which would have to take extra
tax dollars.
Since the national debt is so high,
and going higher and the house ways
and means committee is making such
an Intensive study of the tax system,
one can not fail to link the two to¬
gether. The obvious question is: is
the administration becoming concerned
over the sources of funds to pay the
| huge total of debt incurred in spend¬
i ing our way out of the depression?
Concurrently with the house com¬
mittee’s study. Secretary Morgenthau
of the treasury, announced the ap¬
pointment of another brain-trust group
to study tax questions for him. Mr.
Morgenthau holds that our tax system
is full of holes, which undoubtedly It
is, and he feels that the general meth¬
od should be revamped so that the
flow of revenue will not be so depend¬
ent upon prosperous economic condi¬
tions. To that end, the secretary sent
part of the number of professors and
tax experts selected by him over to
England for a study of British tax¬
ation methods. British taxes appar¬
ently are much higher than ours, and
Mr. Morgenthau is desirous of finding
out how the British government gets
away with it.
So, one hears around Washington
a great deal of discussion of what the
future holds in the way of tax levies
upon the rank and file. Mr. Roosevelt
said in his latest radio speech to the
country, it will be remembered, that
relief was his first consideration, that
vast sums had been expended for relief
and that further vast sums will be
expended. All of which leads back to
the observation I made above, namely,
that one cannot help linking these sev¬
eral studies together with an under¬
current of fear that, perhaps, we are
spending too much money.
* * *
While discussing the tax investiga¬
tion, however, it would be unfair to
omit reference to
Double one feature of the
Taxation Evil house committee in¬
vestigation that, I
am told by real tax authorities, can
be of much value. The house committee
was instructed to look into the double
taxation evil that besets the country.
It Is known to everyone, of course,
that there are places and things upon
which the federal government levies
high taxes and that these taxes fall
on top of similar, and sometimes
greater, levies by the states. Conse¬
quently, the committee inquiry may
bring to light how often, and where,
this sort of thing is happening.
For example of double taxation, two
or three common illustrations will
serve to Indicate how severely the
burden obtains. Take the tax on gas¬
oline as one. The federal government
laid a tax on gasoline two years ago,
i and that tax although it was small had
to be paid by users of “gas” in addi¬
tion to the state levies which run as
high in some states as 7 or 8 cents a
gallon, making the tax borne by that
commodity aggregate as much as 10 or
11 cents a gallon in some places. The
tax on cigarettes is another example,
I but this commodity was taxed first
by the federal government and then
the states put their levies on. The re¬
sult Is that in many states the tax
on cigarettes amounts to more than
the selling price of the package would
be if no tax were laid.
Twenty-nine states now collect taxes
on incomes of individuals or corpor¬
ations, and twenty-six of them collect
a tax from both. These taxes, of
course, are aside from the high rates
imposed by congress under federal
C6TT1P come fflV tax Inure laws. in.
These matters naturally constitute
subjects for serious investigation
is the only by congress' it
way which
inform Itself and determine a ii
Such however, unfortunately eanjj 1)0 Cy
be said about most of the other in
ligations that res .
are running through the
summer and fall. There is the
called munitions Investigation. so
far, my searches have Thus
information yielded little
showing that this investi-
gation can produce anything construc¬
tive. It, and several of the other i
vestigations, in n .
my opinion, amount to
little more than fishing expeditions
hope that something a
will be uncovered
so that some members of congress can
be "amazed” or duly “dumbfounded”
by business practices of firms that
have been in business half a century
or more. I guess the senators and
representatives have to have some¬
thing to be “amazed” about every so
often, but it does occur to tne that if
congress really wants to economize,
it could limit its investigations which
roughly will cost close to half a million
dollars this summer and fall,
* * •
Policies of the last several adminis-
(rations in Washington have presented
many puzzling things,
U. S., Greafesfand some of them
Landlord move one ,0 in( Juire
where it all will end.
For example, the Farm Credit admin¬
istration—the FCA of the alphabetical
soup—released a statement to the
press the other day to the effect that
the twelve federal land banks now own
outright 22,078 farms and almost own
thousands of others on which the loans
are In virtual default. I think it can
be said, therefore, that Uncle Sam has
become the greatest landlord in the
world.
While the information is more or
less startling that the federal govern¬
ment, through one of its multifarious
agencies, now owns so much farm
land, the fact gives only an inkling ot
what has happened in others of the
various agencies through which it acts,
As I said, one can hardly help inquir¬
ing where it all will end. I make no
attempt to controvert the policy of
federal loans on farm lands or homes;
1 only can pause and wonder what the
future holds if the course is contin¬
ued.
The farm loan banks have a total of
$82,939,000 tied up in those faros
which they hold. The only way that
money can be withdrawn is by sale of
the lands. If they are sold, the chances
are new mortgages in varying amounts
will have to be placed on them be¬
cause most buyers are not in a po¬
sition to pay the whole sum in cash.
Some of them again will default, and
the government agency again will own
the land. All of which is by way of
saying that the idealist who walls and
gnashes his teeth about the terrible
brute who forecloses has not yet
solved the problem of saving hows
that were bought on a margin oi cash
that was too narrow, or a home that
was bought by an Individual "'ho ran
Into hard luck. federal
The point of it Is that the
government is dabbling into eterj-
thing. It is going beyond what gov¬
ernment ought to do.
When one examines the whole pie
ture respecting government and 18
scope these days, u
Astounding is For rather instance, astounding the
Plcture n . .
construction Fi¬
nance corporation anouneed the other
day that it was willing to help the
Baltimore & Ohio railroad reflmuu
its maturing bonds. I do not kno
what the outcome will be. but it ree
to me that refinancing of a rail rout .
use of government credit is bard.'
function of government. corpo
The Reconstruction Finance
ation is making loans continually,
has loaned money to. or has
stock in nearly 4,509 banks-
nents of this policy contend soon
enough that unless banks those which 0,1 “j .
been made, the
them would have gone on tne
and the depositors would ■»«
fered. But I am function still wonderf«J of g I
it Is the proper jjJ
ment to protect private ac
.
the extent of guaranteeing ou
public funds that I shall get my or ffi0D w>®1 h ^|
back on any old tnvestmen '
into which I have put >«• L
not fee) that govern-j
way. I am inclined to
ment, as such, ou^ht n t0 Jo*'
into things where it is requ ^
sure that people will not
or crooked. to h . more:
And there are going e „.
loans made. The last ‘',, inst olfr
acted a law providing o* jnduStr ies
ikistry, the so-called nu HusineSS
loan legislation, it wn~ ‘ {[)at ta
leaders and bankers t“ 1 ', o**'
to tin use lf
government Is going wrecks^ t j ir oig!>
ing a lot of btisin.-s , {
those loans. The ba ■ • ' survive,
business has a <’ t,arl, ' e *e8. i‘l
a )en pankitfl
which means it can ' ‘
can get money a’ I
houses. If the governi j
make loans only to thos ^
bank loans, the con y c
that v , froffll
often expressed is cy
had better set up a
which It can send supf - coU ntry tol
eral managers at! °' er * Hy
property : toa
run the
own -
£ t>jr Western Ne* ■