CUT BY SENATE

Otago Daily Times, Issue 27383, 8 May 1950, Page 5

CUT BY SENATE

European Recovery Bill THIRD YEAR’S FUNDS NZPA—Copyright WASHINGTON May 5. The Senate today cut 250,000,000 dollars from the European- recovery funds for—l9so-51—the third year of the programme. The cut reduced the total to the 2,850,000,u00 dollars which the House had previously approved. The cut was made on a 47—33 vote, and the reduced Bill was passed by 60 votes to 8. The reduction of 500 000,000 dollars proposed by Senator Irving Ives (Republican, New York) was rejected. President Truman asked for 3,100,000,000 dollars for the European Recovery Programme, which was presented to Congress in an over-all Foreign Aid Bill calling for 3,372,450,000 dollars. The Bill includes aid for Korea, non-Communist China, Arab refugees from Palestine, and a four-point programme. The Economic Co-operation Administration had tentatively allocated 687,000,000 dollars for Britain, and unless Congress later restores the 250,000.000-dollar cut made today in the European recovery funds her share will be reduced. Senator Scott Lucas. Democratic leader in the Senate, defended Britain against Republican attacks. Thumping his desk, he denounced Republicans who had criticised the British Socialist Government. Senator Lucas 'said: ‘it is always poor old England; yet today, if an aggressor started to march, England would be the one country in Europe upon which we could depend, and I don’t mean maybe. Just as soon as we begin to live in the isolationist shell, then we will begin to live in a garrison State. Never before in the history of this country have we needed allies as we need them now."