Money Flowed

If credit can save the Northwest wheat belt, it will be saved. A fortnight ago the President called a conference of bankers and others at Washington to consider the financial difficulties of the Northwest (TIME, Feb. 18). The bankers proposed a $10,000,000 corporation to aid in refunding the farm debts of the threatened section. Last week the bankers reassembled in Chicago to announce subscriptions to the capital stock of the organization. The regional allotment for raising the capital was:

New York $5,000,000

Chicago 2,000,000

Minneapolis 1,000,000

Cleveland 700,000

Detroit 700,000

Pittsburgh 600,000

John McHugh, President of the Mechanics and Metals National Bank, announced that New York's quota was oversubscribed. Ralph Van Vechten. President of the Continental and Commercial National Bank, announced that Chicago's quota was oversubscribed. The other cities followed, piling on their oversubscriptions. Money flowed. No official list of subscribers was given out, but it was understood that the Chicago, Milwaukee and St. Paul had pledged $100,000; the Rock Island Lines, $100,000; J. P. Morgan and Co., $500,000; the National City Bank (Manhattan), $500,000; Kuhn, Loeb & Co., $250,000; Henry Ford, U. S. Steel Corp., General Motors, Allied Chemical and Dye, Kennecott Copper, Anaconda Copper, American Radiator, U. S. Rub-ber--all subscribed money, money, more than needed.

C. T. Jaffray of Minneapolis, President of the Soo Lines, was chosen for chairman of the new corporation, which is to be incorporated in Delaware. With its $10,000,000 capital it can lend as much as $100,000,000 by securing loans from the War Finance Corporation. It was hoped to put the new corporation in motion within ten days. "Big business" and "the moneyed interests" voted their confidence in the financial soundness of the Northwest, and voted their good will as well. Possibly they expected a little less radicalism and opposition in return.