Indianapolis Times, Indianapolis, Marion County, 21 July 1950 — Page 4

Increase in Fiscal Year's Military

U.S. Aid

Spending May Top

$25 Billion; $10 Million Needed in Korea

Stall Writer

By JIM G. LUCAS, Seripps-Howsrd WASHINGTON, July Z1—The United States will double—and may even treble—its 31 billion-a-year arms contribution to North defenses.

year.

month this year.

a a

President Truman's announcement that be will ask for another $10 billion to fight Red aggression in Kores

tary from! : 313500000 to

ment plans to increase the size of our Armed’ Forces to approximately 3 million men. When the ™~ rean War, started, we had 1.370.000. Con-| iron has Jlimited the Armed 'orces to 2,005,000 men, but Presfdent Truman asked that all re strictions be lifted. Congress undoubtedly will grant h! request. Other Nations Must Help The President also sald he would ask for more foreign mili-| tary ald money. He sald the) Korean war means other free nations “must step up their common: security programs.” As soon as! new plans are ready, he sald, he will ask Congres: “for such funds 8s are shown to be necessary.” Last year, we gave North As Pact npations—with

lantic exception of Portugal, Iceland and Canada—arms worth $1 billion. Most of that came from our warehouses. This year, Congress has tentatively approved another $1 billion. Mr. Truman asked the

IR Reports Profit For Third Month

Sets 6-Month Period - Losses at $5502 The eity’s transit system, bol stered by an economy drive and

& personnel shakeup, today listed & profit for the third straight

Previously, the city's busses streetcars were operating at a loss for nearly two years. Despite the three-month gain the, Indianapolis Railways report Jof Sune showed a net profit of

utual defense assistance pro-.

The expanded—and speeded-up-—m = {5 ill boost mtNazy spending Well over 325 billion this Sacal

new money be provided imunediately. Much of it will go for recoiliess rifles, antisubmarine weapons, antitank guns, antiafr-’ graft, gle. There also will be de- 2 liveries from our arsenals. The North Atlantic Pact stand{5 mailtary group-—-with members from all nations—meets in.

before the President's speech. 5 However, it was pointed out that “since the theme of the Presdent’s speech was speed.” the new pro-3 gram undoubtedly will be discussed rflily. New Estimates Coming Mr. Truman said he will submit pew estimates after consulting with other treaty nations. That will be a mere formality. Actually, it was learned, a meet[ing is unnecessary. In their requests, each nation told us what it needed to defend its borders, much as our own armed Forces submitted “asking budgets” which were later pared. The extra $10 billion President Truman wants would boost our military spending 80 per cent. If we increase North Atlantic defenses In that ratio, we would the add another $800 million. However, Pentagon sources say it will be “considerably more than a billion dollars.” That would mean a total of $2 billion for the year, May Takes More But these sources put emphasis on the word “considerably” and say it may go above $2 billion extra. The final decision will depend on “the level of preparedness we establish as desirable and seek to reach and maintain.” | The Pentagon emphasizes that North Atlantic Pact nations from now on will get the same muni tions as our own Armed Forces. Deliveries will be much faster, In addition, Mr. Truman obvi-| ously expects the pact nations 'S to make a greater contribution = = to their own security. The ship- = = ment of munitions-making ma- = chinery to Western Europe will & have first priority. The expanded foreign aid pro: gram undoubtedly will be super-| imposed on the $1 billion already = authorized. Deliveries will continue for several years. Many of! the major weapons will not come!= off the assembly lines until 1951 = and early 1952,

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