The Bismarck Tribune Newspaper, January 4, 1933, Page 1

North Dakota’s ., Oldest Newspaper ‘{ 4 ESTABLISHED 1873 METHOD OF ACTION T0 BE DETERMINED AT GOTHAM PARLEY Conference With Democratic Leaders in Congress Set For Thursday NEW TAXES ARE FORECAST Drastic Economy Also Seen As Requisite to Putting Fi- nances in Order New York, Jan. 4.—()—Balancing of the federal budget by this congress 4s demanded by President-Elect Roosevelt and the ways for doing ic will be decided at Thugsday night’s conference with Democratic congres- sional leaders here. Roosevelt realizes that the outgo ‘and income of government expendi- tures for his first year’s administra- tidn must be decided by the present congress, or, at least, before July 2 ‘when the government year begins, 80 he is taking a hand. There is @ conviction in congres- sional circles that new taxes in addi- tion to the proposed levy on beer and drastic economy are necessary to make ends meet. This new levy wili be considered Thursday night. The president-elect is also insistent on farm relief legislation but he is re- fraining from public discussion of the “allotment plan” measure now befors ‘the house. Since Roosevelt has banned the manufacturers’ sales tax recommend- ed by President Hoover, it is believed the Democratic congressional finan- cial chieftains will bring a substitute proposal, possibiy a levy on interstate shipments. It is regarded as significant thas the ranking members of the senate and house Interstate Commerce com- mittees—Senator Pittman, of Nevada, and Rep. Rayburn, of Texas—are in- cluded in the budget parley. At New York Home The President-Blect came to New York early last night by automobile and established himself at the fam- , ily’s home where he will conduct con- ferences in the next two weeks on the organization of the new Democratic administration, More than a score of visitors were on his calendar for Wednesday. Because of the congressional prob- Jems on his door step, the President- Elect has deferred until next month, at the earliest, announcement of his cabinet. Eleven of the leaders who will at- tend the conference met Tuesday at ‘Washington and discussed the ques- making income balance expen- t Pa wy ‘York. Although their membership was cut down from 211 in the present house to i I i : : i : a8 gee i 4 { 3 3 ag 8 | g L : gtie 3 5 : E Ss 8 ay rit at au a i] i ag s é i THE BISMARCK TRIBUNE BISMARCK, NORTH DAKOTA, WEDNESDAY, JANUARY 4, 1933 > | Leads Democrats ° J..M. THOMPSON J. M. Thompson of Burleigh county is the Democratic leader of the state house of representatives. He received 11 votes as their candidate for speak-~ er Tuesday, giving his own vote to Mrs. Minnie D. Craig, Nonpartisan candidate, as a courtesy. Later he moved that Mrs. Craig's selection be made unanimous. Mrs. Craig passed her own vote on the roll call. SAY LATEST FIGHT INMANCHURIA WAS: THREE-DAY AFFAIR Tokyo Warns Commanders Not to Extend Battle Zone; Chinese Entrenched (By The Associated Press) Shanhaikwan, scene of the latest outbreak of hostilities between China and Japan, is in the hands of the Japanese after a three-day battle. Word from Tokyo said the Japanese command had been warned that noth- ing must be done to extend the battle zone and that every effort must be made to “localize” the hostilities. Chang Hsiao-Liang, the Chinese commander-in-chief, reported to his government, however, that the troops which evacuated Shanhaikwan were entrenching northwest of there, await- ing re-inforcements and preparing to resist any Japanese advance up the Lan river into Jehol. Fragmentary reports of the fighting jat Shanhaikwan indicated that the Chinese had put up a good defense. The casualties were variously estimat- ed at between 300 and 2,000. Japanese men-of-war lay off Ching- wangtao, not far from Shanhaikwan, and two British vessels were ordered mithere Wednesday to protect foreign residents. There was a report, which a spokes- man ‘for General Chang denied, that the Chinese commander had received from General Nakamura of the Jap- anese force three demands for settle- ment of the situation at Shanhaikwan —that General Chang and the Chin- ese commander at Shanhaikwan apol- ogize to the Japanese; that the Jap- nese be given control of the Shan- haikwan railway station, and that the Shanhaikwan area be made a neu- tral zone. Marshal Chang was warned by General Nakamura and Japanese of- ficials here that he soa. be held responsible for developments arising from the Shanhaikwan incident and that “further action” against the Ja- panese would result in a grave situa- tion in #11 North China. Next immediate movements by the & os it Bie ess iiv8, Farm BANKS AT LINTON STRASBURG, HAGUE 10 SEEK HOLIDAY Three Institutions Close Wed- nesday; Plan to Ask For Moratorium ‘Three banks in Emmons county failed to open Tuesday as officers of the institutions began efforts to effect a three-year moratorium onj withdrawal of deposits. They are the First National Bank of Linton, the First State Bank of Strasburg and the First State Bank of Hague. M. T. Barger, president of the Lin- ton institution, explained that of- ficers of the three institutions are confident 90 per cent of their deposi- tors will agree to the moratorium Plan to enable the banks to reopen soon. Jones Is Pushing Relief Bill Democrats Seek to Clear Every Obstacle From Road to White House DEBATE TO BE LIMITED Final Vote in House Expected to Be Had By First of Next Week At Latest ‘Washington, Jan. 4.—(?)—Farm re- Nef was rushed swiftly along in con- gress Wednesday with the Democratic leadership seeking to clear every ob- stacle from the road to the white lRouse. Chairman Jones of the house agri- culture committee obtained from the rules group a rule for eight hours of general debate on the emergency measure designed to increase farm prices. Consideration of the measure will begin Thursday. |. ‘The rules committee acted after brief statements by Chairman Jones and Representative Haugen (Rep., Towa) ranking minority member of the committee. ‘The length of time for debate is ex- pected to prevent final action this Prevailing low prices for farm crops week. = have crippled liquidation of all kinds of paper in the three communities, Barger said, and directors of the in- stitutions deemed the three- year moratorium would put the banks on a firm basis in view of present conditions, Under the plan, depositors will be asked to sign agreements that they will not withdraw deposits for three years. If conditions should warrant, Barger said, the banks would open up their vaults for withdrawals earlier “Jones told the rules committee the bill, which levies a processing fee on wheat, cotton, tobacco and hogs us- ing the funds to pay the farmer a jbounty on his share of the domestic consumption, was proposed as an ex- periment. Meanwhile, as the senate debated minor legislation and the house work- {ed on the first deficiency bill, a senate judiciary subcommittee was called to- gether to complete the drafting of a than three years from now. One Bank Still Open Tuesday's development leaves Em- mons county, North Dakota’s leading corn-producing county, with only one financial institution open—the Bank of Hazelton. This bank, Barger said, also is on the “holiday” system, de- positors in the Hazelton institution agreeing not to withdraw deposits for a@ three-year period when the insti- tution reopened about a year ago. The Linton bank is capitalized at $25,000 while each of the Strasburg and Hague banks has capital of $15,- 000 and surplus of $15,000. Thomas McCrory and L. D. See- man are vice presidents of the Lin- ton bank and J. D. Meier is cashier. 8. A. Fischer, Strasburg, is president of the Strasburg and Hague banks, while J. S. Fischer is cashier at Strasburg and J. J. Jaeger is cashier at Hague. A year ago three banks in Mc- Intosh county immediately east of Emmons, instituted a similar “holi- day” plan and depositors cooperated wholeheartedly by signing the neces- sary agreements quickly. These banks were the Ashley State Bank at Ash- ley, First State Bank of Wishek and the Danzig State Bank of Danzig. MAIL ROBBERS GET $100,000 IN RAID determined Value Also Are Taken Minneapolis, Jan. 4.—(P)—At least $100,000 in cash and bonds of un- determined value were stolen from the mail room of a local depot last night, a postal inspector announced ‘Wednesday. R. H. Griggs of St. Paul, chief northwest postal inspector, said con- tents of the pouches beyond the cash had not been determined definitely. Police said they had an unconfirm- tined for Chicago, another for Aber- deen, 8. D., and the third for Portal, vestigat Currency Remains in Banks Over Holidays New York, Jan. 4.—(P)—A financial Phenomenon of the holiday season the small amount of currency bd it es bly reflected Presuinal a ‘vol Christmas recent years, 33 i a $3 z EF {prohibition repeal resolution. Chairman Blaine of the subcommit- tee hoped to decide Wednesday the method of ratification by states so that the way would be cleared for tional phases of the house 3.2 per cent beer bill. The prohibition resolution, as tentatively drawn, provides for re- peal of the eighteenth amendment, protection for dry states and gives congress power to rule against the ‘saloon. A new group of witnesses appeared before the senate manufacturers com- mittee to tell of what they consider to in providing for the nation’s needy. The committee is holding hearings on the La Follette-Costigan bill for a $500,000,000 bond issue for outright grants to states. At the same time the joint commit- tee on veterans’ legislation continued hearing testimony from those who would reduce by approximately halt a billion the benefits the federal gov: ernment gives to former soldiers. Northwest Farmers Get Big Sum in Loans Fargo, N. D., Jan. 4.- gregating $15,000, will have been pli farmers by the regional agricultural credit corporation by April 1, John W. Barton of Minneapolis, general man- ager, told the Fargo Kiwanis club Tuesday. He based the prediction on the number of applications being re- ceived and the average daily volume of loans approved. Barton announced a new type of farm credit is to be extended to north. west farmers who can qualify, “poul: try” loans. Forms are being prepared and the blanks will be ready in a few days. This financing will be available to in- dividuals, partnerships or corporations primarily engaged in the poultry bus- iness. tarmers upto Jan. 1 totaled $1,696,107, Drop Is Recorded in Auto Thefts in 1932 Auto thefts in North Dakota declin- ed sharply in 1932 in comparison with the previous year, according to Ted Millner of Bismarck, representative a8 polis com! companies. He said that in 1931, a total of 816 reported wit per cent recovered. orrect Form for hearings Saturday on the constitu: | be the need for additional federal aid | ith about | in 1932.1, the government collected from all| the duties of Tax Commissioner Iver with about 92 | sources $1,022,885,840 and spent $2,-| Acker who tendered his resignation ———— Rushes Farm Bill it ° REP. MARVIN JONES |Rep. Marvin Jones, Texas, chairman ‘of the house agricultural committee, jis rusting the new farm relief bill, ‘incorporating the allotment plan, be-j; fore the lower house of congress. TLLUINOIS GUARDSMEN | ARE ORDERED BACK INTO MINING AREA Troops Called Out As Local Of- ficials Fail to Quell Riots; Two Dead Taylorville, Ill, Jan. 4—(?)—Five companies of the national guard were ordered here today to quell disturb- ances in the troubled central Illinois ‘coal fields. It was the second time troops were called to restore order in Christian county. Officials of the county, helpless in the face of two killings and repeated |Ambushings of members of the United ;Mine Workers of America, asked the troops to resume occupation of the ;county which they left only ten days lago. Fighting broke out anew Wed- nesday among factions of miners. ‘Thirty or more persons suspected of participating in street fighting at nearby Kincaid Tuesday night, when the two were killed and about a do- zen others injured, were arrested. Orders were issued by Sheriff Charles Weineke banning picketing at the mines of Christian county and prohibiting public meetings of the Progressive Union, which was organ- ized in opposition to the United Mine Workers of America. The anti-picketing and anti-public meeting edicts came following a con- ference attended by the sheriff, State’s Attorney John W. Coale and .'Major O. E, Davenport of the Illi- nois national guard. ! Accounts varied regarding the fight in which Vincent Rodems, working miner from Springfield, and Mrs. Emma Cumeriato. 51, mother of three grown children, met death. Author- ities said apparently Mrs. Cumerlato was struck by a stray bullet as she stood on a porch watching the fight. For four months factions of miners have warred in this area. Last night’s melee occurred at mine No. 7 of the Peabody Coal company which em-! ploys workers under a $5 daily basic (wage contract by the old United line Workers Union. | Dozens of workers emerged from the pits about 5:30 p. m. because |Picketing activities had been renew- jed. special deputies were on hand. ‘The deputies sh the pickets back | Cuts in Expenses Langer Would Bring Appropria- tions $3,758,796 Below Last Biennium WANTS CHAIN STORE TAX Use of County Gasoline Funds For Poor Relief Also Is Suggested (By The Associated Press) Drastic reductions in state expen- ditures to bring them $3,758,796 be- low the appropriations allowed for the last biennium, opening of new avenues of revenue, abolition of the capitol commission, a tax on chain stores, and use of counties’ share of the gasoline tax for poor relief are among recommendations made by Governor William Langer in his in- augural message to a joint sessicn of the North Dakota legislative assem- blies late Wednesday afternoon. The governor, pointing to the rec- ommendations of the state budget board for reduction of the state ap- Ppropriations by $2,804,527 below those of two years ago, called for an addi- tional slash of $1,071,434. Abolition of all inspectors, whose duties would be assigned to eight men attached to the tax commission- er’s office, was recommended. Con- solidation of 17 minor boards to be placed under direction of the indus- trial commission was urged. Langer would consolidate the of- fice of receiver of closed banks with that of the state examiner, and turn- ed over closed banks for liquidation to a depositors and stockholders com- mittee. Abolition of deputy game wardens, Placed by Langer at 1,100, was re- commended. Would Redeposit Funds Re-deposit of stationary reserves of the Bank of North Dakota in state and national banks within North Da- kota was favored by Langer. “I am to be the servant not of any particular party nor of any particular group,” Langer’s message said in the opening remarks. “Irrespective of any party, of any creed, or of any group, I wilf be the servant of all the people of this state. “It is said that a public job is a private graft, that honesty is a mere name and expediency is the law of political life. I am aware of the ele- ment of truth in this statement and I know only too well that it is a com- mon thought in the public mind, and it is for the reason that I wish to as- sure you that, as I am entering the office of governor, I am determined to,.make honesty not only the slogan of my administration, but that I shall do my utmost to see that its prin- ciples shall be reduced to practice in the conduct of state affairs. “I am not unmindful of the temp- tations that are placed before public servants and I am not unmindful of the weakness of human nature, and I am utterly conscious of my personal limitations, but I have an abiding faith in God and my fellow men, and it is upon this faith that I base my confidence to be able to carry out my pledge of honesty to the people of North Dakota. “Our state constitution prescribes that the governor, at the commence- ment of each session, communicate to the legislative assembly, by message, information as to the condition of the state and shall recommend such measures as he deems expedient. Seeks “The thought that is uppermost in every man’s mind is of the devastat- ing effect of this depressed condi- tion. Statesmen and scholars are earnestly striving to find a solution. Is it reasonable for us to think that from mine property, and across a highway as the workers started out the gates. Suddenly a shot sounded, from |where no one apparently knew, but it ‘signalized a fight which lasted for ed LA minutes. Witnesses said | near! bullets splattered the streets. bs DEFICIT EXCEEDS BILLION Washington, Jan. 4.—()—The gov- Minnea: pany handling recovery of stolen cars for 10 in- ernment ended the first half of its| Pointed by Governor William Langer |1932 fiscal year on December 30 with & deficit of $1,155,286,502. In the six months starting last July + 182,172,342. Addressing New Speaker Bothering Solons ‘The house, however, is being conducted on rules of order adopted at the last session and these rules specify that “every member previous to his speaking shall rise from his seat, and re- we cannot in some measure aid in that solution? We must face the Problem as it confronts us in North . ‘There can be no return to (Continued on page seven) F. A. Vogel Is Named State Tax Chieftain F. A. Vogel, Bismarck, was ap- ‘Tuesday as state tax commissioner. Vogel filed his oath of office with the secretary of state and took over Monday, effective as soon as a suc- cessor was named and qualifies. Fred W. Cathro of Bottineau, for- missioner by Grand Forks, income deputy; and Al- bert Hartel, New Rockford, cashier. Banks to Close at Noon on Saturdays Bismarck banks will close at 12 o'clock noon instead of | Heads R.R. Board | Pay Harding, above, Wednesday fore- noon was elected president of the North Dakota state railroad commis- sion for the next two years. Harding has been serving in this capacity for the last two months, following the resignation of Commissioner Ben C. Larkin. Harding first was elected as commissioner in 1922 and has been in the office since that time. The third member of the commission is C. W. McDonnell. SHARP REVISION OF SCHOOL SYSTEM IS PROPOSED BY BOARD Governmental Survey Bod y| Would Consolidate Facilities | Wherever Possible Adoption of the Montana system office of commissioner of agricul- ture, adoption of a state support sys- tem of elementary education. con- solidation of smaller elementary schools and utilization of prison la- bor for reforestation and water con- servation mark the highlights of the closing recommendations of the gov- ernmental survey commission to re- lieve the state tax burden. The commission explains that the act under which it was created con- fined its study to matters which may be classed as strictly governmental and “for this reason, it has not con- ducted a survey of such industries or departments as the Bank of North Dakota, state mill and elevator, state hail insurance department, state bonding fund, state fire and torna- do fund, and workmen's compensa- tion bureau, feeling that a survey of such non-governmental functions is not within its province.” Pointing out that the cost of edu- cation in North Dakota is the high- est in the U. S. with the percentage of cost to income at 6.13 per cent or a total of $18,641,250 out of the in- come of $304,024,600 in 1928, the com- mission says these figures indicate “something is wrong somewhere.” “The somewhere,” it adds, “is our system of administration. -There is no centralized authority qualified to administer higher education. Too Many Unorganized Units “There are too many unorganized units of education. There is no con- trol of inter-campus competition. There is no unified budgetary sys- tem. There is no coordinated super- vision that will eliminate waste of (Continued on page eight? — OO | Solberg Is ‘Baby’ | | Of N .D. Lawmakers} ————_—_—_______—_ _-o A 26-year-old farm youth of Zahl claims the honor of being the youngest member of North Dakota's twenty-third legislative asembly. He is Harvey R. Solberg, rep- resenting the forty-fifth district, FgekE ne z of higher education, abolition of the} Weather Report hi 3 Oe ee PRICE FIVE CENTS Huge Crowd Attends Inaugural ' Roosevelt to Offer Budget-Balancing Plan Recommeds Sharp LANGER 1S 700 ILL 10 APPEAR: MESSAC” IS READ TO SOLOK Special Trains Bring Approxi- mately 600 From New Rockford, Slope Area CITY AUDITORIUM PACKED Wife and Parents of New Gov- ernor on Platform With New State Officials Bismarck buzzed with interest Wednesday as visitors came here from all parts of the state to attend inaugural ceremonies for new state officers. Special trains came from New Rockford and from the western Part of the state, bringing approxi- mately 600 persons. The city auditorium, where the ceremony was held, was packed to capacity as the affair was held be- fore a joint assembly of the house and senate. On the platform as the ceremony began were all state officers except William Langer, the new governor. His wife and parents held places of honor but it appeared doubtless that he would be able to appear. Word from his physician was to the effect that he was too ill to stand the strain and arrangements were made to have his message read to the legislature. Announcement to this effect was made as the proceedings opened. - Governor George F. Shafer pre- sented his message preceding the reading of that sent by his successor. Senator O. E. Erickson, Kidder county, said Langer had asked that E. H. Brant of Linton, Nonpartisan gubernatorial candidate in 1930, read the message. New state officials were their offices with additional appoint- ments announced Wednesday. Arthur E. Thompson, newly elected | | Text of Messages Are in This Issu The text of the message sent the state legislature by William Langer appears on page of this edition of The Tribune, The text of Governor George ¥. ‘ie message as he leaves of-| fice appears on Page 2. superintendent of public announced that E. P. Crain ae tiem beers reappointed director of certification. R. B. Murphy previously had been named deputy. Crain served under former Super- intendent Neil P. MacDonald and lat- er became motor vehicle registrar un. der Governor Lynn J. Frazier. Others On Job In the attorney general's office, newly appointed assistants, Milton Higgins and Charles A. Verrett, were on the job. Harold Shaft and R. J. Kamplia, assistants under the previ- ous administration, have been retain- ed. R.C. Morton, chief inspector un- der the attorney general, has not been retained. His position will not be filled at least for the time being, it was said. Adam Lefor of Dickinson is men- tioned as deputy to state treasurer Alfred Dale. Hundreds of visitors arrived in the Capital City Wednesday for the in- augural ceremonies at 2 p. m. Two special trains brought several hundred persons here to witness the inauguration. The special train ori- ginating at New Rockford brought the boys band from that city. An- other train came from Beach in the western part of the state bringing ad- ditional visitors. Others Assume Duties Mrs. Berta E. Baker became state auditor with R. R. Smith as her dep- uty, and John Husby took over the office of commissioner of agriculture and labor, with Roy Arntson, Bise marck, his deputy and Ole P. Shel: stad, Cooperstown, dairy commission- er. . The two assemblies convened at 12:45 p. m. Wednesday and transacte ed business in the respective houses until 2 p. m., when a joint session for inauguration of state officials was held in the city auditorium. Olson Is in Chair Lieutenant-Governor Ole H. Ole son, presiding officer of the band played the national anthem, and Rev. Walter E Vater of Bismarck gave the invoca-