Show DOLLAR OLLAR I PLANS MAY BRING MONEY WAR AI or England Fears Race for Trade Will Be Result Ultimate Stabilization of Currency Seen as s. s Possible Outcome Congress to Speed Presidents President's Proposal I h I D Bj Dr Waited United Press WASHINGTON Jan 16 President 16 President Roosevelt's money money plans app e appeared red today day likely to lead the two mos powerful powerful- world powers into a multibillion dollar battle over foreign exchange exchange ex ex- change but toward ultimate international currency stab Great Britain and the United States possessed o or soon to be of ot huge equalization funds would be the antagonists ts France still on the gold standard is a third party vitally vitally vi vi- I tally Itally interested in the outcome out out- I come come whatever it may be London dispatches reflected the fea fear of British financiers that the American equalization fund policy will lead to a race for depreciated currency The goal would be foreign trade Great Britain has a equalization fund Mr Roosevelt proposes for lor the United Unit UniV ed States We e have a. a as many many- blue chips a athe as the other fellow was was' Secretary of at Treasury cryptic ref reC A to th these e vast sums Runs Buns Into Delays Meanwhile the presidents president's gold legislation encountered delays in in- congress but everything pointed toward toward toward to to- ward reasonably quick adoption Action in the house was held up by bitter fight as to whether the measure should go to the banking or orthe orthe orthe the coinage committee Speaker J Rainey l Icy said aid both commit t- t tees had besieged him so much that he had bad to take more time to decide which should have havethe the bill bm He said b both th promised promis-ed speedy a action n Senate Republicans Republicans' in their in-their their first caucus of of the session determined to exert exert- every to force forc forc the senate sen zen ate banking committee to hold exhaustive ex cx- public hearings on the bill Chairman Fletcher of t the co committee said the Republicans c could uld have as many hearings as they wanted Urges Currency Agency 1 Creati Creation n of a federal financial authority authority au flu to issue currency without a fixed legal minimum o of metal reserve re xe serve was urged today by Frank A. A Vand New York financier ier made his recommendation tion to the house coinage committee at hearings on on dollar legislation The proposed mechanism would be called the federal finance authority but It would have neither fixed capital capital cap cap- ital nor the right to receive deposits proposed authority would be endowed by congress with the sole power to issue currency without a fixed legal minimum of metal meW reserve It would woul i however be forced t to publish weekly the ratio ra tb tio o of reserve to localities This practice tice is followed by the Bank o of England England En En- gland and the Bank of ot France Prance Would Withdraw Power The power of issuing currency would be taken away from the federal fed era eral reserve banks under the plan The reserve banks would continue to operate as a central reservoir forthe forthe for forthe the reserve of member banks The new organization said would have the power to buy and sell gold in an open free tree gold market to which would be admitted gold from all sources also urged restoration of the gold standard I would return to a gold standard standard standard stand stand- ard but it would be a limited stand ard in so far as redemption Is concerned concerned con con- he said aid Urges Bank Dank Reform In addition to the federal authority authority authority author author- ity urged reformation of ot the general banking system with a complete separation of commercial banking and investment banking He lie also recommended establishment of mutual commercial banks The Rev Charles E. E Coughlin Detroit Detroit De De- troit priest followed and predicted there would be revolution unless congress enacts the monetary legislation asked yesterday by President President dent Roosevelt RoosevelL Asserting that the president prefers prefers pre prefers fers preservation of human rights to financial tradition the priest added I If congress refuses to follow through and give the president the legislation he ic asks I predict a revolution that Continued d on Page Pase Two MONEY CONTEST MAY BE WAGED World Stabilization Seen as Possible Outcome of Dollar Plans Continued from rage Pago One will make the French revolution look silly Gentlemen its it's Roosevelt or ruin Governor Black of at the federal reserve reserve re reo re- re serve board meantime disclosed that the board on December 29 mended to the president that congress be asked for the new v legislation un der which the treasury will take over the reserve banks bank's gold holdings On the tho surface at least this disposed of indications of ot reserve board opposition tion ion to the new program Black explained that the legal questions ques ques- tion involved in the administrations administration's gold program were first the allocation allocation alloca alloca- tion of at the billions of profit prom on the reserve re me- serve systems system's gold consequent upon devaluation and second the transfer of the title tille to the reserve systems system's gold to the government prior to de de- de valuation Held Partly Responsible It is notable that Mr Roosevelt attributes attributes at at- tributes some responsibility for last autumns autumn's dangerous commodity price slump here to foreign efforts to increase increase in in- crease the exchange value of the dollar dol dol- lar But the disposition of at the cap cap capi tal is to look beyond a possible bil lion dollar foreign exchange battle bame to the ultimate international currency stabilization which may flow from American policy Mr Roosevelt hopes his hI policies will hasten such auch agree gree- ments menu Only when foreign nations proved to be unable or unwilling to join in monetary discussion with worldwide objectives did Mr Roosevelt decide to go part of the way alone Request for ultimate dollar revaluation between between be be- tween 50 and 0 O 0 cents represents about as far as he is La likely to proceed proceed proceed pro pro- without France and England Secretary believes t a way three-way agreement among the United United Unit Unit- ed States France ran e and Great Britain I would permit international monetary adjustment The position of at France Erance in inthis this Hili international monetary triangle is becoming increasingly Interesting There seems reason to believe that thai she ultimately will be driven from the gold standard The TI R F C ceased I Its gold purchases abroad at noon yesterday Jesse H. H Jones Joncs chairman in a brIef statement today said that all gold purchases initiated abroad prior to noon yesterday will be completed and that certificates of mints or assay offices for domestic newly mined P issued prior to midnight last night will be honored The treasury will take over the I IR R H F C gold under arrangements arrangement yet to be worked out he said Jones declined de de- de dined to elaborate He had nothing to say as asio to the probable price the treasury treasury treasury treas treas- ury will pay tho the corporation for its gold although it was pointed out unofficially un un- officially in government financial circles circles cirdes cir cir- cir cir- cles des that the whole matter would be one of bookkeeping anyhow LONDON Jan 16 P The The day following following following fol fol- fol- fol lowing President Roosevelt's monetary mone mona tary message found the United States dollar gaining 3 2 1 cents to the pound with a close at t to the pound compared compared com corn pared with the overnight quotation of 1 12 The dollars dollar's fluctuations were Irregular Irregular Irregular Ir Ir- Ir- Ir regular as the tho presidents president's gold program program pro pro- gram grain was given a mixed reception on the market some traders anticipating further devaluation The French franc frane exchange was most affected and strengthened rapIdly rapIdly rapIdly rap- rap Idly to 2018 to the pound then receded receded re re- re ceded to close at as compared to y yesterdays yesterday's overnight figure at |