"The legislation does not designate the length of the loans. The
rules for the loans, which will determine the interest rates, the
length of time the loans will run, the size of the installment
repayments, and other administrative details, will be taken care of
by the Executive Department."

Congressman John L. Pilcher (Democrat, Georgia) made the point that the
manager of the Development Loan Fund, appointed by the President, could
lend money to:

"any foreign government or foreign government agency, to any
corporation, any individual or any group of persons."

Congressman Carnahan:

"That is correct."

Congressman Pilcher:

"In other words, it would be possible for an individual to borrow
$1 million or $5 million to set up some business in some foreign
country, if the manager so agreed; is that correct?"

Congressman Carnahan:

"If they met the criteria set up for loans."

Congressman Pilcher:

"The manager ... has the authority to collect or compromise any
obligation in this fund. In other words, he can make a loan this
month and if he so desires he can turn around and compromise it or
cancel it next month which is a straight out grant in the disguise
of a soft-loan program."

Congressman Porter Hardy, Jr. (Democrat, Virginia) said:

"The manager of the Fund has almost unlimited authority to do
anything he pleases."

Congressman Barratt O'Hara (Democrat, Illinois), trying to quiet fears
that this bill was granting unlimited, uncontrollable power to some
appointed manager, said that the blank-check grant of authority was not
really being made to the fund manager at all. The power was being given
to the President of the United States, and the manager would merely
"perform such functions with respect to this title as the President may
direct."

Congressman Gross said:

"That is more power than any President should ask for or want the
responsibility for."

Congressman Leon H. Gavin (Republican, Pennsylvania) pointed out that we
already have 5 or 6 lending agencies in this field: The International
Co-operation Administration; the Export-Import Bank; the International
Bank; the International Monetary Fund; the International Development
Corporation; and the World Bank. Why, then, do we need this new one, the
Development Loan Fund?

Congressman Walter H. Judd (Republican, Minnesota) had already answ