The Daily Worker Newspaper, March 21, 1933, Page 3

ee | neh 165 Bee. DAILY WORKER, NEW Y ORK, TUBSDAY, MARCH 21, 1983 ‘uke =e Page Three 1,700 Cou ste nty Labo r Camp Workers Demand $1 a Day ee Delegates from Los Angeles River bottom Workers Also Put Demand, on County Supervisors for Medical Care. Decent Food LOS ANGELES, Cal., March 21.—Delegates representing 1,700 workers in six county labor camps and riverbottom work yesterday presented demands to the County Supervisors for a minimum daily wage of $1 in cash and maintenance, for improved sanitation, for medi- cal care and for decent food and shelter. The demands were formulated by the County | Labor Camps Workers’ Council recently organized for struggle against forced labor and for decent working conditions. Haines Canyon, Oakmont Arroyo, Seco and Charlton Flats camps. Celebrate 1886 May Day in Thunderous Demonstration Against 1933 Fascist Terror By CHARLES ALEXANDER NEW YORK.—Within the next few weeks the proletariat of the world will celebrate May First. On this day in 1866 the American work- ing class raised aloft the banner of the eight-hour day for labor. Valiant and determined, they proclaimed on high their revolutionary purpose— the undying struggle for the eight- hour day. Since then, May Day has become a symbol of solidarity and struggle of the working class the world over. On this day in every country of the world the workers demonstrate their power. countries where capitalism still ex- ists they marshal their forces for its final overthrow. In the land where labor rules, the Soviet Union, they celebrate their victory and gird themselves for the building of the new classless soc:eiy—the Commu- nist society. TOILERS ‘GREET IMPERTALIST AT BOAT THURSDAY! Matsuoka Comes Here to Prepare World Slaughter Japanese agents in the United States continue their business of pur- sing arms and ammunition leals for their war upon the Chi- nese masses. Another Japanese im- perialist agent arrives on official imess. He is the imperialist, Yosu- Matsuoka, who comes this Thurs- day aboard the Leviathan on his way home to Japan. His mission is tho mission he carried out in France—#> place additionel heavy orders for war teriels in the United States for ihe Japanese imperialist murder campaign in China, and plans of an attcok against the Soviet Union, The Leviathan docks at 9 am. Thursdsy 7% Pier 59 North River (W. 18th St.). The American Committee for Struggle Against War, at 104 Fifth Ave., through its chairman, Malcolm Cowley, has issued a call to all peace organizations, workers, and workers’ organizations to mass in demonstra- tion against imperialism at the hour and place where the Leviathan docks Thursday. Among the speakers will be J. B, Matthews, executive secre- tary of the Fellowship of Reconsilia- tion, William Simons of the Anti- Imperialist League of the United States, Donald Henderson, instructor of economics at Columbia University and member of the American Com- pare and others. e Anti-Imperialist League has {ssued a statement supportin; lemonstration. fg Rally to the pier Thursday at 9 a.m. LABOR UNION MEETINGS - NEEDLE TRADES MEETS ‘What is the meaning of the Roosevelt Economy Program for the Workers?” ‘This question will be discussed at an open forum arranged by the fur department of the In- dustrial Union for today, Tuesday, 1 p. m. by ts peleseiicns of the union. George e Communist the discussion, oe ees ATTENTION NEEDLE TRADES UNEM- PLOYED WORKERS The Necdle Trades Unemployed Council ickets from the Emer- A special Rank and File Committee of different trades has been elected to distrib- ite the tick les Unemployed workers who eed will apply to this committee any day during this week. ‘The committee meets at 131 W. 28th St., ote floor, Room 606, between 10 a.m. and UNEMPLOYED DRESSMAKERS’ MEETING POSTPONED TILL WEDNESDAY, 1 P.M., AT 140 W, 38TH STREET Due to the rain, the meeting of dress- makers Unemployed Council scheduled for Monday afternoon has been postponed for Wednesday, 1 p. m, at 140 W, 36th St. A report will be given on the Gibson Cominit- tee and plans for developing the struggle tor jobs and relief for the unemployed dress- makers, A report will also be given on the Albany conference on Labor, Legislation, A meeting of all cutters of the Fur Dept. will take place at Irving Plaza tonight, This meeting will take up latest developments in the trade, particularly as they are re- sted to the aur gutters bE The dressmakers and knitgoods workers will hear a report on the activities of their departments for the past year and will nominate cancidi ecutive council, and pair officers. The dress membership meeting will take piace at Irving Plaza Thursday, 7 ‘The knit- goods meeting will plac the office of the union, Thursday, 7 Active needle trades workers are called to support strikers on the picket ling this morning in front of the follo sh Davis Dress, 240 W. Dress Co, 344 W. 238 W. 26th St. Si; Muffson and Schwartz, bal OFFICE WORKERS ay will speak at the mass mob- ing to launch ® recruiting campaign of the Office Workers Union, 8 p. m., March 22 at Stuyvesant Casino, 9th St. and Second Ave, ® ©. Kat Siisation HOSPITAL WORKERS ‘rhe Hospital Workers League will hold tty regular meeting at which D. Wilks will present his report on the Albany Confer- fmce Wednesday, March 23 at 8 o'clock at \406 B, 14th Room 203, } In_ those} jumers—workers : | farmers—is admitted even by leading .| capitalist politicians in the Souse and 1933, calls not only for solidarity, but must witness the greatest unity of all workers in struggle. Never before in the history of the American working class was the need for unity so urgent. The united struggle of the workers to- day begomes an important factor in the fight of the masses for the very right to live. Unity in struggle today becomes a matter of life and death |for the working class. Why does this need for unity pre- sent itself with such force? An an- swer to this question can easily be found in the frightful conditions fac- ing the toilers of this country. The economic crisis is now in its fourth year, and all the factors point not toward an improvement, but on the contrary a further worsening. The re- cent collapse of the banking struc- jture, the increase in unemployment and wage cuts, the inflation program of the government and big bankers, with the “New Deal” president, Roosevelt, resulting in the loss of savings to hundreds of thousands of anc small depositors, are which cannot be taken by the toiling masses as a phenomenon. These are events of great import. They herald 2 new downward plunge of the econ- omy of American capitalism. They mean further starvation and poverty jfor the masses. In Germany the fascist terror has unleashed its murderers against the working class, Militant workers and their leaders are being virtually Grawn and quartered. The workers of the world must rally to their defense. The glorious traditions of labor's struggles in 1886, the heroic sacri- tices of the Haymarket martyrs, can | best, be kept alive if on May First, 1933, the proletariat join in one unit- ed action. In this connection the ap- |peal of the Communist Party to all organizations of workers, the Socialist Party, the American Federation of Labor, and all other organizations of workers, for one united May Day demonstration is of great import. 'To effect this unity of action on May First, a United Labor May Day Conference of all workers’ organ- izations is called for Sunday, March 26, 1 p.m., at Manhattan Ly- ceum, 66 E. 4th St., New York City. All organizations of labor should elect and send delegates to this conference. By participating in this conference and its deliberations, we will be taking one step forward in effecting the unity of our forces which on May First must horl a united defiant challenge to the sys- tem of unemployment, misery, pov- erty and war, EARLY VOTE IS DUE ON FARM RELIEF’ BILL BorahStatement Shows Fear of Farm Revolt WASHINGTON, March 20.—The Agricultural Committee in the House of Representatives today reported fa- yorably on President Roosevelt's farm reliet” program recently submitted to Congress in the form of a mes- Sage. While minor changes in the bill are looked for, there is little doubt that the bill will be passed by Con- gress with most of its features in- tact when it comes up tomorrow or Wednesday. And this despite the fact that a number of representa- tives and senators—most of them from the farm belt—have expressed mild and guarded criticism of the proposals, the obvicus pu being to evade responsibility before the farmers who are doomed to dissillu- sionment when the law goes into op- eration. A potpourri of several previously brought forward To oon gress, the present farm bill aims to stem growing revolt of the farmers— as revealed in militant action gainst foreclosures and increasing organiza- tions—by raising the prices of basic farm products to the pre-war level. This is to be accomplished, its spon- Sors say, by reducing acreage and by @ tax on the processors, that it, the first and direct wholesale purchaser of farm commodities before they are placed in the hands of the various middlemen and marketing agencies, What Borah Wants That the effect of the bill will be to raise the cost of living to the millions of consi and | May Day, Senate, The conception for the farm bill, Borah of Idaho, admlited “comes chiefly from farm organization lead- ers and does not meet with the needs ot the farmers,” Advocating a “re- financing plan,” Borah admitted that the farmers owe $12,000,000,000 upon which they pay an average rate of interest of 7 and 8 per cent.” What Borah means by’ “refinanc- ing” is a scheme whereBy the federal government, through the Reconstruc- The Council includes workers from the Piuma, Gold Creek, | At its meeting, the Council went on record endors- ing unemployment insurance | and condemning the bosses for their attempts to prevent the| organization of the workers. | In presenting the demands | of the Council to the County Supervisor, the delegates testi- fied that men had signed pay- roll lists without getting paid, The delegates are demanding that they be fed and housed by the county, until the County Supervisors take some action on their demands. LABOR CAMPS IN WAGNER'S BILL Cement andContractor | Companies Back It WASHINGTON, March 20.— The Tammany senator, Robert F. Wag- ner, is pushing his fake unemploy- ment bills through the senate. He Proposes to “‘liberalize” the Recon- struction Finance Corporation Act to make funds more readily available for construction projects, to establish ® nationally co-ordinated system of employment offices.” The bill has the approval of the Roosevelt administration. It is de- signed further to aid the cement trust, the road building contractors and to furnish labor at hunger ra- tions. The “co-ordinated system of employment offices” means to es- tablish a unified procedure in forc- ing into camps tens of thousands of unemployed workers and com- pelling them to work for the ra- tions they now get as unemployed relief, It is estimated that some 200,000 will be in such camps, while the ba- lance of the 16,000,000 are not even considered by the Tammany heroes of the “new deal.” Scandinavian Groups With 11,000 Members DemandU.S, Insurance CHICAGO, Ill, March 20—Over 100 delegates from fifty Scandinavian organizations with a membership of 11,000 met in conference last week st Belmont Hall and determined to i0m™m a permanent organization to struggle for unemployment relief and social insurance. Pledging their sup- port to the Workers Unemployment Insurance Bill, the conference adopt- ed resolutions demanding that relief be extended to all persons in need, condemning the cut in relief to the unemployed in Chicago, and protest- ing against the terror against foreign born workers and the déportation of Oscar Larsen of Salt Lake City, un- employed leader. The conference represented a united front of Scan- dinavian sick benefit societies, work- ers’ clubs, fraternal organizations, sports clubs and other workers’ or- | ganizations, United Front Refused By Union Misleader Big Capitalists Hoarding; Workers Have No Money to Hoard The following schedule shows 1) That hoarding is mainly carried om by big business. 3) That government curtailment of savings withdrawals heiped the capitalists to withdraw their deposits from the banks. (About one billion dollars was withdrawn during three weeks from twenty banks only.) 4) the small depositors. Table of Decrease in Deposits, February 25 to March 18, 1933 New York City Clearing House Members: Bank of New York Trust C Bank of Manhattan . National City Guaranty Trust .. Manufacturers Trust Central Hanover .. Corn Exchange ..... First National Irving Trust . Continental Fifth Avenue Bankers Trust . Title Guarantee Marine Midland Lawyers Trust ... New York Trust Commercial National Bank Public National Bank Total decrease *(.)—Increase, Compiled from weekly statements, prepared by M. Greenbaum, of Clearing House Banks submitted to Federal Reserve Bank. That the biggest banks in the country—namely, the National City Bank and the Chase National Bank—are the heaviest losers of resources, which only proves that the big capitalists have Jost their confidence in their biggest banks. That the statements in the capitalist press that the eurrent deposits exceed withdrawals is a fabrication intended to fool Savings Checking Accounts Accounts 3 649,000 3 8,202,000 2,884,000 25,790,000 21,915,000 212,952,000 7,101,000 27,439,000 758,000 127,991,000 ° (171,000) 30,624,000 3,936,000 77,897,000 1,217,000 12,718,000 940,000 62,323,000 * (2,882,000) 31,723,000 81,000 1,454,000 12,913,000 175,364,000 * (73,000) .... 3,513,000 7,739,000 84,946,000 771,000 = * (1,699,000) (46,000) 6,919,000 * (639,000) 966,000 6,007,000 34,577,000 358,000 6,763,000 . 1,337,000 2,621,000 $64,815,006 — $039,108,000 GRAFT RIDDEN BROOKLYN DRIVES ITS LIBRARIANS HALF TO DEATH Part Time Workers Not Used This Year; One| Million More Books Used, Smaller Staff (By a Worker Correspondent) BROOKLYN, N. Y.—I am writing this letter in order to give a few facts as to the conditions in the Brooklyn Public Library system. The figures I am giving you were recently given by the central office in Brooklyn, They are: 1) There was an increase of 48,000 borrowers in 1932. 2) One million more books were taken in 1932 than in the previous year. 3) Most branches are working with limited staffs of ¢-—- Ubrarians without the usual amount of part-time workers they used to have. These conditions have overtaxed the strength of the librarians and lowered their efficiency and service given to the public, especially to the school children, An’ excelleht example of the utter filth and corruption existing in this borough is revealed in the history of the Central Library Building, which was begun 20 years ago. Com- pare ‘this’ with the record of the Soviet Union. Well, this one build- ing is still being built near the en- trance of Prospect Park. My school librarian told me three years ago of former Mayor Hylan’s administra- tion in which “His Honor’s” personal grudge against the architect held up this much needed building. I suppose it will take them 20 years more to complete this one structure, but I hope by then we will have a new form of government, which will provide for the growing educational and cultural needs of a new people. —Rk. Rising Living Standards in Land of Workers’ Rule American Writes of One Day’s Rest in Six; Death Rate Falls, Birth Rate Rises (By An Agusta Wacker Correspondent in the Soviet Union.) Editor's Note; The letter below was written by an American worker attending school in Moscow. . MOSCOW, U.S.S.R.—Our life here is very interesting and I’m certainly glad we had the opportunity to come over and work here for a while. We work 5 days and every sixth day is free. We have plenty of organized recreation on our rest days, both sports and entertainment. We have the opportunity of going to the best theatres and concerts and we have the best concert music at our own club, We've heard the Red Army symphony orchestra, one of the best in the US.S.R., a number of times. or ee Last Thursday a meeting was call- ed by the United Hebrew Trades of all chandelier, fixture and silver- smith workers for the purpose of or- ganizine these workers into @ union under the leadership of Abramson, the well-known betrayer of the very workers whom he wants to organize, At the meeting which was held in Irving Plaza, about two dozen work- ers showed up, amongst whom were members of the Metal Workers In- dustrial Unicn. ‘These members of the M.W.LU, came forward with a proposal that a joint rank-and-file committee should be elected by the two organizations in order to carry on a campaign of organization among the workers in the shops. The proposal of the M.W.I.U. mem- bers for a united front, met with the approval of the great majority of the workers and only Abramson and « few of the workers mislead by him, took a stand against the proposal. It is very characteristic of the Abremson method of “organization” to appeal to the workers to give 12 a weeks’ wages for “organizational purposes.” The Metal Workers Industrial Union, in spite of Abramson, is fol- lowing a policy of uniting the work- ers in their effort to resist the wage- cutting policy of the bosses. tion Finance Corporation and other agencies would turn millions to the banks and other mortgage holders. This would aid, not the farmers who are starving, but their creditors, who fear that the farmers will complete- ly repudiate their debts, Living Cocts Soar for Farmers ‘What Borah and the other capital- ist politicians failed to mention among other things was the fact that nowhere in the Roosevelt program is there any held for the millions of ruined farmers on the countryside. What is more wit hthe growing in- flation the prices of products which the farmers have to pay—machinery, clothing, shoes, etc—are soaring and are making the pauperization of the tollers o nthe land deeper than ever, This month we were to the famous Bolshoi Opera House where we saw the ballet “Esmeralda.” All in all, it is quite different from being unemployed back home with no chance to have any kind of a cultural life at all, not to speak of the danger of starving to death, Stories Were False I think now of the stories which I heard just before we left, It is true that there are difficulties; major difficulties in fact. Yet, consider what causes them. There is a short- age of most things, not because the workers cannot afford to buy them as at home, but because the demand of the workers is greater than they are able to produce as yet. Consider that before the revolution the peas- ant never dreamt of wearing a pair of factory made boots and today he demands them. This is one example but shows the whole of the diffi- culties and their nature. Yeu've probably heard the saying that “the cultural level of a people can be determined by the amount of soap they consume.” Well, con- sider that before 1917 there were Dry Dock Workers Given Wage-Cut The bosses of the Robbins Dry Dock have put through another 10 per cent cut on the wages of the workers working in Robbins and afi- Mated dry docks last week, The con- ditions of these workers, blacksmiths, riggers, machinists, painters, etc., even before the wage cut was deplor- able. They were working one or two days a week and thcir wages were Jess than the meager relief many workers are receiving. Now, after this wage cut their conditions will be still worse. The Metal Workers Industrial Union called upon the workers of the dry docks through a leaflet, to or- ganize themselyes and force the bos- ses to withdraw the wage cut. e millions here who never even heard of soap, much less used it, and to- day there is such a big demand that the production of thousands of tons of it yearly cannot adequately fill the demand. Death Rate Falls One more positive indication, which cannot be overlooked, is that the death rate is falling and the birth rate rising. That could happen only where the real living conditions of the population are constantly improving. The guarantee, in my opinion, that the difficulties they have now will be overcome, is in the fact that every worker in every fac- tory discusses them, makes sugges- tions, criticizes and becomes a real factor in solving them, | The financial cr | insurance companies in the United States. These institutions since the bank holiday have stopped paying premiums that, = Insurance C Paying; Millions to Lose ompa nies Stop |Whole Complicated Structure Tott ering; 20 Year Pension Policies and Death Benefits Tied Up; Company Heads Make Excuses | NEW YORK, March 20.—Mivions of policy holders of insurance companies are the vietims of capitalist greed and the public the actual condition sis rest have become due, with the re-| sult that tens of thousands | who have twenty-year endowment policies due are unable to collect) them. Their twenty years’ savings| and sacrifice while practicing the capitalist virtue of “thrift” are tied) up and many of them will be swept; away along with the Millions of dollars of small depositors. Death) benefits arc being held up. So bad is the insurance situation that the heads of these concerns are busy explaining that they are still sound—just like the bankers told de- positors their banks were still sound on the very day all closed their doors. Frederick M. Ecker, president of the Metropolitan Life Insurance Com-| pany, is trying to make the policy-| holders believe that the state insur-| ance departments will protect them. | ‘As a matter of fact there is in ef-) jfect in this country the enormous) amount of 103 billion dollars in in-} surance; some 36 per cent of insur- ance company investments is in real to a fraction of | are in railroad, public utilities, fed-) eral, state and municipal bonds—none | of which can ever meet their obliga- tions. The ifievitable outcome will be} wholesale repudiation of these poli-} cies. Thus many who thought they were providing a future ad with | “security” for their widows and or-| phans will discover that all their| sacrifices made through long years of paying for insurance policies were in| vain and that their dependents will; be in the same fix as those who never had any policies. Principal Hates the Communists But Would Riot Over Bank Loss (By a Worker Correspondent) NEW YORK CITY.—I know a| high official in an institution of learning. If you were to say in his presence that you thought the Com- munists were right about anything, he would either think you were making a joke, but a bad one, or that you ought to be put in jail, or maybe tarred and feathered, The National City Bank swindled him out of some of his money. He said: “The White Collar men whose savings have been risked by these scoundrels, should riot in the streets in front of these banks. If there were enough of them, the police wouldn’t dare to do anything!” But this man will not eat one meal less because of his losses. He will not shiver with cold. He will not cancel his winter trip South or his continue to think that exploited or jobless workers, who know actual starvation for themselyes and those who depend on them, should have patience and everything will come/ out all right. What do the workers think? Local 22 Left Wing | Asks United Front for General Strike NEW YORK.—The left wing group of the International Ladies Garment Workers Union passed a resolution calling on all dressmakers to sup- port the proposal of a united front conference between represthtatives of the Needle Trades Workers Indus- trial Union and the International in preparation for a general strike. The decision was passed at the groups meeting Saturday. threatens to deprive them of aii i benefits. of these concerns. Insurance Companies Tottering. ilted in a further weakening o yarice as the tinancial crisis on Desperate efforts are being made to keep from top ef the economic crisis f the whole vast structure of & \ F PuvniBus Woodin Firm Issues | Song to Aid Bankers A new “popular” song, is about |to be launched. The reason it will |be “popular” is that it will have backing of Wall Street as perhaps |no song since the war has had. | Whether they like it or not, mil- | lions of workers, farmers, small business people, ete., will be sub- jected to this song over the radio, | jin the movies and in other public | places. Money in the Bank Again.” This Wall Street-inspired song will shortly be published by the Miller Music Co., Inc. by a curious “coincidence,” this happens to be one of the numerous companies in which Secretary of the Tre: \ury Woodin is interested. In fact, he is interested to the extent of $100,000. | The publication of this song |shows how the bosses use every |instrument at their command, in- jcluding their cultural apparatus, in carrying through their attacks lon the masees. Index Shows Business WASHINGTON, D. C., March 20. —The weekly business index moved to a new Jow record. Automobile pro- duction de@lined more than 15 per cent from the previous week. Freight car loadings sank from 50.6 for the week ending March 4 to March 11; steel mill activity from 165 to 15. The Studebaker automobile corpo ration went bankrupt on Saturday and is now in the hands of a re- ceiver; the plant is closed with all the South Bend part-time workers now out of a job. Considered a Favor to Let High School Subs (By a Worker Correspondent) NEW YORK CITY—This is how the City of New York exploits labor. The Newtown High School has a waiting list of substitutes who do clerical work free of charge. In some cases they work a whole week in order to get one day to work at $7.50. They only allow a certain picked few do this, so that those favorites of the principal can get in three days. This formerly was open to any substitute that was called on by the school, This system is a_ terrible thing, as it brings down the stan- dard of labor to nothing, when these people do this work for no compen- sation except a promise that they will receive the days when a teacher does not s:ow up to work. This saves the city the expense of clerks who would be doing. this work. This is what is going on in a so- called intelligent Department of Education. —H. T. L. It is called, “I'm Putting | | Less Than Ever Before : WorkWeek forNothing | summer trip to Europe. He will still] U. S. TREASURY ORDERS BANKS TO DENY WAGES ‘Gag Rule in House to Rush Glass Bill for Centralized Banks | WASHINGTON, March 20 —The treasury department to- day repealed regulations per- | mitting withdrawals from | closed banks for meeting pay- |rolls and necessaries of life, as it is | now evident even these demand |eannot be m thousands of banks | At the same iime the Glass-Steagal | bill, designed to place state banks or r v tional banks under ial legislation is as today taken under drastic gac h insure a vote before ad- This will further cen- |tralize the power of the administra- |tive department of the government |to embrace state banks and to dic- tate which banks open, which banks will be liquidated on a percentage |basis of paying depositors part of their money, and which banks will | be closed altogether Meanwhile the seems to be sailing for s Over the ek-end there wer conferen: between groups of con- |Sressmen and senators, mostly pro- voked by the avalanche of telegrams and mail that is pouring into th offices from their s Ss and dis- tricts, demanding immediate relief en to save them from ac- | Ss ballyhoo that the passing under the “nex becoming tiresome to millions who have deposits in banks that re- main closed and show no signs of opening. Congressmen watch carefully the increasing number of mass demon- trations and the numerous fights against hunger carried on by workers and farmers and it is certain that a continuation of these state and local struggles, such as hunger marches farmers’ marches, etc., will compe tHe administration to come through with relief. |Arrest Driver But Strike Stands Solid at Pretty Laundry NEW YORK.—Fearing that t drivers of the Pretty Laundry who Temained scabbing will be won over to join the strike, the Pretty Laundry bosses are keeping them constantly under guard as though they were prisoners. One driver of the Pretty Laundry has finally realized that it was ir portant to support the workers strug- gle against the wage cut and has gone out with the inside workers. In order to scare the other drivers and keep them from coming out, Mr. Hartmann, the boss is trying to frame up this worker and two others. He has had them arrested and charged with disorderly conduct. They are being held ur r $500.00 bail each The trial will come up Thursday, a the Magistrates Court, 161st St. and Brook Ave. All worker: ould come to the court to show their solidarity with the strikers. Bankers Take Workers’ Cash in Return jor Windle Paper William Green and Socialist Leaders Back Move of Roosevelt to Wipe Out Small Depositors By J.S. Let. us take up the, banking program which has received the un- animous support of the capitalist press the AFL, and the 8.P. Trim~- med of its trappings and viewing it naked as it really is, this bill wipes out the savings of large sections of the small depositors, embarks on a program of inflation. This is accomp- lished thru the closing of some of the banks permanently and the re- strictions placed upon many of the other banks. The infiation policy has already begun with the issuance of new currency to the amount of 2 billion and with the promise by Speaker Rainey that this may be increased to a total of 11 billions of new currency. Some 19,000 banks were closed thru the Roosevelt bank holiday. To date some 1,000 banks have reopen- ed most of them on a restricted basis, especially the savings bank, where the small depositors are main- ly involved. President Roosevelt in his speech admitted that some banks may never reopen. President Roose- velt admitted that some may suffer losses, But of course he tried to make it appear that the number and sums involved will be trivial, This is of course not the case. With regard to inflation the mass- es already in the last few days have learned the meaning of this thru higher prices on their necessities of life. THE SOUNDNESS OF THE BANKS The government and the press tell us that the banks are sound. They {ave as sound as the whole capitalist system. As proof of the soundness of the banks, we are told that there is more gold and more currency for less deposits than there was during the boom of 1929. They claim that while in 1929 there was about $1.50 for every $10 on deposit in the banks, today there is $2.50 in currency tor every $10 in deposits. That may be true. And if the issuance of new money is speeded up there may soon be as much end even more currency than deposits. And precisely thru this inflation the deposits of the workers and small man will be prac- tically wiped out. ‘The amount of currency in rela- tion to deposits is not the measure of the soundness of the banks and the value of the dollar. In fact as can be seen from the above, the reverse is more true. The question involved here is what are the as- sets of the banks today that make up the difference between the amount of currency and the total deposits. These assets are marked in the banks, books on the basis of values which no longer exist. And this is the real condition of the banks. What was the original value of the assets of the banks based upon? They were based on profits, which the capital- ists hoped to realize in the produc- tive process, on the basis of the ex- ploitation of the workers, The specu- lation in Wall Street and the other exchanges is merely speculation as to the size of the profits, to be ex- tracted from this expioitation. Tie breakdown of industry, the growth of the crisis, the increasing | unemployment, eic., resulted in the | drop in the values of the securities, | bonds, stocks, that form the major jpart of the banks assets. The bank |holiday, the present bank crisis is a result of a further growth of the economic crisis ther agsrevated the cri rought in | its train more layoffs, more shutting |down of factories, more unemploy- ment. The capitalists and the government tell us, that the difficulty arose from the money at the same time, and this would mean to conyert the banks as- sets into cash below the market price. This is not true, What the bank- ers feared was to convert the assets into cash at prevailing market prices which would have exposed the real banking situation. RANKERS TOOK THE P™OPLES MONEY What happened to the deposits of the workers, the farmers, the “small man?” ‘They were pocketed by the big bankers over a period of time in the form of profits, and replaced by assets in the form of paper is worth very little at the present time. The exposure of Mitchell and his associates, the exposure of Harvinan is but a drop in the bucket. Its very intention is to cover uv the real situa- tion. The ban! » the “big” fellows generally, realized the actual situa- tion. Tt is they, who grew pani and withdrew gold from the bi and not the small depositors who have been left holding the bag full It has in turn fur- | that the banks are sound, | fact that all people wanted their | of worthless papers and mortgages in place of their hard earned and hard saved pennies. | NATIONALIZATION Or BANKS The Socialist Party thru its spokes men fully approve the Roosevelt | banking ction They came to | Washington personally to congratu- late Roosevelt on this action. But |they det jed that he go a step farther and nationalize the banks. Thru these actions and proposals the Socialists are “doing their’ bit” to | create confidence in the banks. They also thru their talk about nation- alization wish to cover up the fact, that there is being carried thru a “nationalization of debts” thru | which the masses will be left hold- jing the ba | Nationalization of the banks under | the capitalist dictatorship means new loans to the banks thru the Recons- jtruction Finance Corporation, it means gucranteeing the profits to the bankers ct the expense of the the expropriation of by workers and nment can bring about ation of the banks in It is | the nstiona |the interests of the messes. clear that the Thomas-Hilquit talk of navior tion is ‘t and parcel of the of the small deposi- | tors The Socielist y thru its posi- present banking situe- e-AJIL, leadership ex- the tool of the capi- ofensive ageinst the | Pos talists in their toiling masses,