FIRST DEFEAT

Stratford Evening Post, Volume II, Issue 221, 15 April 1933, Page 7

FIRST DEFEAT

U.S.A. Administration ADVERSE VOTE IN SENATE Presa Association—Copyright Wellington, April 13. —By six votes the Senate to-day handed tlvcadministnUion its first defeat, and inserted a cost of production guarantee into the Farm Relief Bill. A coalition of Democratic and Republican Independents assured the success of the amendment, the voting being 47 to 41 in the face of repeatedly registered disapproval of the administration.

This was followed within a few minutes by the approval by the House of Representatives of a £400,000.000 Farm Mortgage Re-Financing Section of the Relief Bill voted on by that branch of the Legislature separately. The section was passed by 357 votes to 12, after the Speaker, Mr. Rainey, had blocked an attempt to have a big currency inflation plan substituted for the entire plan. The House of Representatives, which long ago approved of the Farm Relief Bill, voted on the Mortgage Bill to shorten the time needed to bring both branches of the Legislature in agreement once the Consolidated Bill gets through the Senate.

The amendment the Senate has added to the Bill is not mandatory, but merely authorises the Secretary of Agriculture, in helping the farmer to get more for his crops, to use the Simpson-Norris plan, under which the farmer would be guaranteed a sufficient price for his crops to cover his cost of production and give him a reasonable profit. The Farm Mortgage Re-Financing Bill would authorise the subscription of £20,000,000 by the Government for the setting up of a permanent system of Federal associations to provide mutual thrift institutions in which people may place their savings and invest their funds, and in order to provide for the financing of homes.