THE RECOVERY PLAN.

Manawatu Standard, Volume LIV, Issue 110, 9 April 1934, Page 7

THE RECOVERY PLAN.

AN IMPORTANT RULING. WASHINGTON, April 7. The Controller-General .(Mr J. R. McCarl) issued an important ruling to-day which makes N.R.A. compliance by Mr Henry Ford and bis distributors compulsory if he wishes to bid for Government contracts.

Heretofore, according to a loose interpretation of tlie law, the Government had to prove that Mr Ford was violating the law to bar him from contracts. Now those wishing to do business with the Government must supply certificates of compliance with code regulations. The ruling opens the entire controversy between Mr Ford and the N.R.A. Administrator, (General Hugh Johnson) with the way now apparently open for the latter to force Mr Ford into the N.R.A. Otherwise ho will lose much business. SILVER AGITATION. AMENDMENT TO BILL. WASHINGTON, April 7. The silver agitation in Congress took a definite turn to-day, when a group of senators, ignoring the wishes of Mr H. M. Morgenthau (ActingSecretary of the Treasury) drafted an amendment to the House of Representatives Silver Bill, and declared its acceptance assured. Whereas the former Bill was limited in scope, the proposed amendment would remonetise silver through the nationalisation of all domestic stocks of the metal which would be paid for at the highest daily spot price, with silver certificates printed by the Government to back silver at the old statutory price of 129 cents an ounce, compared with the current price of about 50, thus giving the Government a sizeable profit in the same manner as from gold. The amendment further authorises the Secretary of the Treasury to purchase in the world market up to 50,000,000 ounces monthly at the same price, until “the old statutory price is reached or commodity prices have returned to the 1926 level.”