The Government Week

Last week the U. S. Government did the following for and to U. S. Business:

P: Rushed by airmail to Franklin Roosevelt at Warm Springs, Ga. was the special report on the railroad crisis prepared by Interstate Commerce Commissioners Walter M. W. Splawn, Joseph B. Eastman and Charles D. Mahttie. Meantime, in Washington, the Association of American Railroads and the Railway Labor Executives Association "decided to wait and see what the President is going to do'' before discussing wage cuts. Said R.L.E.A. President George L. Harrison after the meeting: "They told us how poor they were." Said A.A.R. President J. J. Pelley: "And they told us how poor they were."

P: In San Francisco the U. S. Circuit Court of Appeals upheld the Securities & Exchange Commission rule that the issuer of stock may not avoid registering it with SEC merely by limiting the offering to company stockholders. The case grew out of an attempt by small, unimportant Sunbeam Gold Mines Co., a Nevada corporation with headquarters in Tacoma. to sell unregistered securities by mail to its stockholders. SEC was pleased because it was the first time the matter had been considered by a court of appeals.

P: Speaking at Gainesville, Ga., Franklin Roosevelt roundly declared that wages and the standard of living in the deep South are too low.

P: Continuing his efforts to satisfy the demand for more credit facilities, first enunciated by the small businessmen's conference in February, Franklin Roosevelt appointed Secretary of the Treasury Henry Morgenthau Jr. head of a committee to study the problem and prepare a program for its solution. The committee: James Roosevelt, SEC Chairman William O. Douglas, RFC Chairman Jesse H. Jones, and Vice Chairman Ronald Ransom of the Federal Reserve Board.

P: Meanwhile, introduced in Congress by Senator Carter Glass with Franklin Roosevelt's approval was a bill to restore to RFC the power to make loans to "any business enterprise" which is unable to find funds elsewhere. RFC's original power to make self-liquidating loans was given to PWA in 1933 and RFC lending power is now limited by numerous restrictions. The Glass amendment is suggested only as an emergency measure to expire in a year's time.

P: The U. S. Supreme Court declared constitutional the registration requirements of the Public Utility Act of 1935 .

This file is automatically generated by a robot program, so reader's discretion is required.