The Archive · 1939

Y. at Panama City

Asked whether he could reveal details of the War Department's draft plans for industrial mobilization in case of war, the President replied in slow, measured phrases "We are not in war. I do not t think we are going to wat. Therefore I do not think it is a matter of public interest." The President repeatedly emphasized that all Administration moves were proceeding on a peace rather a war basis because the Administration expects the United President said. the neutrality to remain aloof from the European war.

Senator Hirman Johnson, isola-auf other satirees Hat retioiist Republican of California aha author of the Johnson Act, contradicted Senator Pittman, ' however, andi insisted Germany was within the purview of" thè neutrality "act. He said "Germany owes {He United States $3,000,000,000 for the costs of id the he "Army of occupation and satisfaction of various mixed claims awards. He said Germany also was being and held responsible for Austria's $24,- credits in the United States et the 000,000 defaulted debt to the United States. "It is nonsense to think President's discretion, Johnson Act Modified about additional German borrowing in the United States," Senator Johnson said. " is obvious that Ger-general purpose in the this struggle is well known. It is to {he Fedeem Europe from the perpetual and recurring fear of German aggression and to enable the peoples of Europe to preserve their independence and liberties." it" Says that "the pact be-ra cb Altered the great question at issue.

tween Russia end Germany has not The war is being fought for freedom, and every" which has taken proclamation lace since it began has only served to make that fact more much other t im suggesting The "Evening" News" is typical of t was re~] that Herr" pd got rather a poor does Hitler get for his dreams "The new bill would act in modification of the Johnson Act," Senator' "Pittman said, referring to the Act prohibiting American loans to nations in arrears in their debt payments to the United States. "He said the new bill would open the way for the Allies to obtain three month" commercial credits in the United States, thereby equalizing 1 he situation. between the Allies and in this respect. He said Germany owes no Great War debt tothe United States and therefore "is not affected by the new Act, can't borrow any money Amendment io Be Fought Senator Jabnson "seid he would inthodtice "an. amendment to the Neutrality ' Act guaranteeing that the Administration's bill would not modify the Johnson Act regulating loans to "defaulting debtor nations.

Senator Pittman said later that he would oppose such an amendment on the grounds that the Johnson Act was enacted in peace time.

"We are faced with a certain condition in Europe now," Senator On your way TO and FROM the theatre drop in at the

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