(2 of 2)
Banks throughout the land were aghast at the idea of having their R. F. C. loans broadcast, thus revealing their uncertain condition. The R. F. C. was bitterly opposed. President Hoover summoned Senate conferees to the White House to hear R. F. C. officials explain how public confidence would be rocked by exposing borrowers in the Press. Declared the President : "The responsibility for whatever might happen must necessarily rest upon Congress."
"We're perfectly delighted to have the responsibility!" exclaimed Speaker Garner. "The Democrats are always willing to work publicly and in the open while the Republicans do so in secrecy. . . . The President said he was looking for a panic just around the corner. If it comes, he'll have this publicity feature as an excuse to offer the country."
For two days the publicity provision deadlocked the conference. The House flatly refused (172-to-150) to back down even if it meant no relief bill at all. Finally, assured that the President would not veto the measure, and comforted by individual opinions that the clause did not necessarily mean full publicity, the Senate gave ground, the bill passed. Representative Rainey, Speaker Garner's legislative handyman, summed up Democratic opinion on relief thus: "We're going to give President Hoover what he asked for and if it doesn't do the trick, God help him in November."
All that remained for the R. F. C. to do, before it embarked on this new phase of relief, was to raise $1,800,000,000 in cash, either by selling its own securities or appealing to its financial godmother, the U. S. Treasury.