The Bismarck Tribune Newspaper, February 3, 1934, Page 1

t a ESTABLISHED 1873 Set Date for League Sanventied Dollar Drops in Relation to Foreign Money Touhy Kidnap Jury UNOLE SANS UNIT STILL WELL ABOVE NEW GOLD PARITY Bear-Selling of French Franc Futures in New York Is Confusing Factor COMMODITY PRICES JUMP Gold Consignments from Europe To New York Gather Mo- mentum Saturday (By The Associated Press) The sweeping and unexpected ad- vance of the dollar in terms of for- eign currencies was finally reversed Saturday, but it still held well above its new gold parity in terms of for- eign currencies. A fresh flurry of selling appeared in the French franc and other for- eign currencies for a time in New York, after the dollar had declined in London and Paris, but this soon was absorbed. Exchange dealers in New York re- ported much speculative bear-selling of French franc futures, which was regarded as a highly confusing factor. Foreign exchange departments of the New York banks still were in tur- moil, with some maintaining con- stant telephone connection with Lon- don and Paris. The French franc closed in New York at 6.33 cents, still 30 of one cent under its new parity, but*.10 of @ cent over Friday's final level. The Pound sterling finished at $4.93':, up 513 cents. In terms of the French franc, the dollar still was at a premium of near- ly 5 per cent, and at a premium of more than 2 per cent over sterling, based on the London gold price, which. declined moderately. The drop in the London gold market, however, was attributed largely to lack of fast steamship sailings for New York. Securities and commodity markets again turned upward in New York and Chicago. Many stocks gained from $1 to $3 a share in the New York stock exchange in the largest trading for a Saturday since July, and bonds continued to climb. Cot- ton gained 70 to 95 cents a bale, wheat more than a cent a bushel, and silver about a cent an ounce. Further gold consignments to New York from Europe were announced, the largest. being $5,750,000 consigned to Lazard Freres, and $5,000,000 to the National City Bank. It was esti- mated that some $40,000,000 in gold had been consigned to New York from London and Paris this week. COMMUNISTS SEE WORLD REVOLUTION + Report to Internationale Says Elements of Crisis Growing Everywhe: Moscow, Feb. 3.—()—Delegates to the all-union Communist party con- gress cheered Saturday when the Communist. Internationale presented its report that a world revolution and victory for Communism throughout the world was approaching. The report was delivered to the congress by D. Z. Manuilsky, a mem- ber of the executive committee of the Communist Internationale. He de- clared: “The elements of a revolutionary crisis are growing everywhere al- , though somewhat irregularly. “The forces of a proletarian revolu- tion are increasing but a great maj- ority of countries are not yet ripe for an immediate revolutionary over- throw of capitalism. “Meanwhile, however, mass strikes, Peasants’ revolts, and military rebel- Nons are lightning flashes in an elec- tri heralding the Manuilsky called the Communist parties in China and Germany the “chief military detachments of the Communist Internationale” and men- tioned France, Poland and Czecho- slovakia as among the countries where the Communists have grown considerably in the last few years. ‘The published text of the report does not mention the United States. Bismarck Trundlers Go to State Tourney Bismarck is represented in a bowl- ing tournament at Jamestown this week-end by the Capital Cafe team. The squad includes Frank Hummel, Tony Schneidér, Adam Brown, “Peg” Larson, Steve Walery and Nick Zappas. The players are scheduled to meet ® Fargo team in their first march Sunday. It is understood that Mandan has cent a group of trundlers to this state- wide tourney also, North Dakota’s Oldest Newspaper’ Kidnaper Caught | | Verne Sankey, kidnap gang king, hunted for more than two years, 1s shown here in two poses as he was grilled by federal agents in Chicago on the Lindbergh kidnap ing case and other abductions. Sankey, captured as he sat in @ barber chair in a Chicago shop, is said to have admitted his guilt in the Bohn ction in St. Paul and the Boettcher kidnaping in Denver. ERSTWHILE CABINET AIR MAIL OFFICIAL THE BISMARCK TRIBUNE BISMARCK, NORTH DAKOTA, SATURDAY, FEBRUARY 3, 1934 _Kidnaper Caught _[\((QVERNMENT SPENT $100,000 10 GRAB NOTORIOUS SANKEY Taking Every Precaution to Ciroumvent Escape of Ac- cused Kidnaper INS. D. PENITENTIARY CELL Both Sankey and Gordon Al- corn Face Quick Prosecu- tion for Abduction Sioux Falls, 8. D., Feb. 3—(P)}— Alert guards and menacing guns held in a prison cell Friday the $100,000 captive of the United States govern- ment, Verne Sankey, alleged kid- naper. Every precaution was taken to cir- cumvent escape of the man accused of the abduction of Charles Boettcher, second, Denver, Colo, as he lan- guished in a cell after a hurried trip to the penitentiary here from Chi- cago, where he was captured Wednes- day. “It must have cost at least $100,000 to catch him,” said Olaf Eiden, fed- eral district attorney, “and we won't take any chances on him getting away again.” Extra vigilance also was used to prevent the escape of Gordon Alcorn as he traveled toward Sioux Falls by train after his arrest in Chicago Thursday. Alcorn, department of justice operatives said, also confessed to the Boettcher abduction. prompt trials at a special term of court, Life terms in prison cells would follow conviction. Investigators worked secretly, at the Sankey ragch at Gannvalley, 8. D., and fara ing Sankey, who has dented the Lindbergh baby kidnap- ing. | On his arrival Friday Sankey said PAGES MONDAY QUID "ence exec William P. MacCracken Refuses To Open Files to Sena- torial Probe Washington, Feb. 3.—()—Under arrest by the senate but free on the Personal bond of his attorney, Wil- lam P. MacCracken, a cabinet figure of the Hoover administration, Satur- Gay studied the answers he will give when facing the senate Monday. Senate air mail investigators, up in arms at the refusal of the former assistant secretary of commerce for aeronautics to open his files, probably would have sumomned him to the chamber floor Saturday, but the sen- ate was in recess. Not for years had the senate ordered the arrest of an outsider. McCracken told investigators that. he was standing upon the privilege of @ lawyer in not disclosing the affairs of a client. Frank J. Hogan, MacCracken’s até torney, said the files would be turned over to the senate. But by the time he spoke, investigators already were pering through them. What had angered the senators most was the testimony of MacCracken himself that after refusing to place his air mail correspondence before the investigating committee the offi- cials of two airways companies had taken letters from the files. Chairman Black of the senate com- mittee said the letters had been de- stroyed. Despite the obvious ire of the sen- ste, the actual arrest of MacCracken ty Chesley Jurney, geant-at-arms, was almost remini- scent of good fellows getting i Tight now, perhaps a little later I will have something to say.” Mrs. Sankey, however, said: “I am still for Verne. I know he has done wrong and that he may have to spend the rest of his life in prison, but I'm still for him.” She (had begun divorce proceedings some time ago, but apparently they were held in abeyance now as she chafed at imprisonment in the county jail. Mrs, Sankey was placed in custod: charged with conspiracy to kidnap for ransom, an accusation on which she had been free on bond of $5,000. Sankey’s bond has been fixed at $100,000. CONGRESS PREPARES FOR BUSIEST WEEK Growing Pile of Legislation Is Threat to Early Spring Adjournment é its busiest weeks, a drive through a growing pile of legislation toward the administration decree of an early spring adjournment. ‘With both the senate and house in recess Saturday, President Roosevelt studied over what further legislative suggestions he will toss into the con- machine. Secretary Roper is compiling a re- port recommending some changes the securities acts. Democratic leaders are expecting a tg and raise or lower import duties by 50 per cent without senate ratifica- hg ‘The White House stamp also been placed on job insurance leg- oe committee had a subpoena outstand- ing covering ‘s air mail/the senate-approved Smith $45,000, lence. 000 crop loan bill and the J “Yes,” Brittin answered, explaining | bill penalize prit he wanted to avoid public examina-/ transactions with defaulting debtors. at ny them to my office and tore tn 2,208 them to my afte sod tore Bremer Still Missing pers.” 18th Consecutive Day |t: - Paul, Feb 3 3.—(?)—Edward G. i injident Franklin Leissman, tax} William H. Payne. i} N.D. FARMERS HAVE Reaches No’ NMerdict| RACHVED $720,887 Ballot Eight to Four | to Four for Con- | Most Beautiful AS BONUS ONT ON WHEAT viction After 25 Hours of Deliberation SET NEW TRIAL FOR FEB. 13 Need Factor for Witness, Ask Britain to Delay Proceed- ing Against Him Chicago, Feb. 3.—(7)—The guilt or innocence of Roger Touhy and his two associates, alleged kidnapers of John Factor, the speculator, remained undetermined Saturday, due to the failure of the jury that tried them to reach an agreement. They are to be tried again beginning Feb. 13. Hopelessly deadlocked after more than 25 hours of deliberation, the jury ‘was discharged Friday night by Judge Feinberg, with the jurors’ final ballot reported eight to four in favor of a conviction. “I'm sorry they didn't bring in a verdict,” said Touhy. “It would have been a verdict of not guilty.” The other defendants, Albert Kator and Gustav Schaeffer, expressed sim- ilar opinions. Prosecution attorneys were not discouraged. State's Attorney Thomas J. Court- ney announced his intention to ob- tain the permission of the British government for Factor to remain in Chicago to testify at the next trial. Factor was under instructions to! surrender in federal court Saturday on @ warrant for extradition to Eng- land, where he is wanted for an alleged $7,000,000 stock swindle, but federal officials expressed the belief that he would be permitted to stay in Chicago for the trial. ‘The jury's inability to agree gave two of the three defendants—Touhy and Schafer—their second escape from a conviction on a charge of kidnaping. The other came when they were re- cently acquitted at St. Paul, Minn. where they were tried in the federal court on a charge of “snatching” Wil- ham Hamm, Jr., a wealthy brewer. Kator was not involved in the St. Paul trial. SCOUT HONOR COURT WILL BE HELD HERE Awards to Be Given to Out- standing Members in Mis- souri Valley Council Twelve hundred Boy Scouts in the Missouri Valley Area council are tak- ing part in the Scout Court of Honor which will be held next Wednesday in Bismarck, Paul O. Netiand, executive announced. Awards will be presented at the court to individual outstanding Scout- ers, and to exemplary troops of the area, One Boy Scout in the Missouri Valley will receive the Silver Beaver award for prominent service to Amer- ican boyhood. ‘The Court of Honor especially hon- ors Supreme Court Justice A. M. Christianson, president of the council. ‘The climax of Wednesday's program will be the presentation of the Pres- D. Roosevelt award to troops, Netland said. At 8 o'clock in the evening the council goes on the air over the local broadcasting station. Music during the session will be furnished by the Boy Scout band. On Monday and Tuesday of next week the board of review will meet to check over prospective recipients of awards. The board includes Charles William F. N. D. Men to Protest Grain Rate Increases F. P. Aughnay, traffic expert. of of the North Dakota board of railroad mission against increases in grain rates requested by the oral t will begin Feb. commie, wil, wn the I. C. C. is of extreme import- ance to Norin Dakota Nori Beko signed a decree returning the Cuban McGraw and/ectrie Co. properties to its Ameri- ! i | port. ee | J o ‘The most beautiful co-ed at the University of Kentucky smiles at you here—Miss Ruby Dunn of Cynthiana, Ky. named for the honor by the student publication, the Kentuckian. Ruby is talented as well as comely, being a mezzc- soprano soloist of ability. HORRIFIED PUPILS SEE REJECTED MAN ‘KILL TEACHER, SELF Mercer and eetepertan Were Among First Slope Counties to Receive Checks ARE FIRST INSTALLMENTS Kansas Is Far in Lead, With $14,529,392 Already Sent To Central State Washington, Feb. 3.—(4)—The farm administration announced Sat- urday that 519,644 farmers in 35 states have received a total of $43,- 716,794 to date in wheat benefit pay- jments in return for their agreements to curtail acreage by 15 per cent dur- ing 1934, Kansas, largest wheat growing state, continued far in advance in to- tal cash received with more than four times the amount of any other state, $14,529,392. ‘The payments, the administration said, are the first installment of the total payment of 28 cents a bushel on the 15 per cent reduction of the aver- age production during the base pe- riod. The additional eight-cent-a- bushel payment will be made next summer after growers have given proof that they complied fully with the terms of contracts they signed. County payments announced as made since Jan. 21, and up to Jan. 30, include: North Dakota: Foster county—1,142 checks totaling $68,848; La Moure— 2,144 and $135,361; Mercer—1,284 and $106,077; Logan—2,084 and $134,976; Steele—1,476 and $88,964; previously announced, 2,839 and $186,66); total 10,969, $720,887. South Dakota: Potter county—1,253 checks totaling $67,049; Deuel—26 and $568; Bon Homme—102 and $2,628; miscellaneous—29 and $600; previous- ly announced—55,848 and $2,743,875; total—57,258 and $2,814,720. 20 Child Witnesses Tell Details Of Double Tragedy in Country School Harlan, Ia., Feb. 3—()—The bullet- | scarred bodies of a rural school teach- er and a 28-year-old farmer Saturday bore evidence of the double tragedy that was enacted befdre the horrified eyes of 20 pupils. The story of how Miss Margaret Graves, 23, the school “marm” of Mon- toe School, No. 2, near here, was shot to death Friday by Herman Seick, a rejected suitor, who then fired a blast through his own heart, was told by the child witnesses. It was during the last class of the day that they said Seick stalked into the room with a shotgun. Miss Graves saw him, they said, and screamed as she crouched under a desk for safety. But, by that time Seick was close upon her and, as he pulled the trigger of the gun, a rain of slugs poured into the teacher's back. His victim staggered to her feet screaming, “run for help,” as she made her way to the door and fell dead on the steps. The children, who had hidden be- hind their desks, ran. As they did so they said Seick went to the school yard and shot himself through the heart. “Murder and suicide’—was what Coroner Herman Bocken wrote in his He added that there would be no inquest. —————EE a Around the World | (By The Associated Press) RETURNS ELECTRIC PROPERTY Havana—President Carlos Mendieta ‘can ownership Saturday. The cabinet met at 9 a. m. to consider the ques- tion of the electric company and con- ferred with company representatives. The guard of soldiers around the pro- perties was increased following em- Ployes threats of a strike. attempt to overthrow Japan's civilian government in 1932, were given prison sentences SAYS RELATIONS PEACEFUL London—Hiroshi! Saito, new Japanese ambassador to Washington, departed for the United States declaring “there is no real outstanding difficulty” be- tween the two countries, He is for- mer minister to the Ni INSULL STANDS PAT NORTH DAKOTA ASKS EIGHT MILLIONS IN PWA GRANTS, LOANS 20 Projects at Cost of $1,571,- 370 Have Been Approved At Washington Devils Lake, N. D., Feb. 3—(P)— Concluding a meeting at the state headquarters here, the North Dakota’ public works board Saturday forward- ed to Washington six applications for loans and grants totaling $442,791.45. With Saturday's requests, 81 proj- ects totaling $5,315,843.40 have been forwarded to Was! . Of these, 20 projects totaling $1,571,370 have been approved at Washington, Henry ah secretary of the state board, as reported approximately three million dollars worth of projects are now being considered, which, if ap- Proved, will swell the total of applica~ tions forwarded to Washington to over eight million dolars. Of applications forwarded and amount requested, 10 are for water works asking $329,800, of which three have been approved at Washington amounting to $139,000; one hospital, $100,000 requested; two swimming pools, $12,250 asked; one bridge, $3,900, which have not been approved at Washington; 11 halls in villages, asking $130,579 of which $60,970 for six have been approved; one steam heat plant improvement project, ask- ing $16,500; two irrigation projects, $127,300 and seven sewer systems re- questing $97,840 have not yet been ap- Proved; five sewer disposal plants asking $1,082,325, of which four total- approved; 22 been approved of 10 asked, totaling $593,265.45 and seven municipal light plants, totaling $1,470,361.95, none of which has been approved st Wash- ington. Projects forwarded Saturday for Joan and grants included: Devils Lake paving project, $112,775.45; Grafton, school building, $137,316; irrigat irrigatt | 2,567,396; Minnesota, 279,834; Wiscon- Saas | Former Solon Dies | Pad shade tnd Bed dad | Washington, Feb. 3.—(?)}—GilBert M. Hitchcock, Omaha newspaper publisher who represented Nebraska for nearly two decades in the Unit- ed States senate and house, died early Saturday from heart disease at his new home here. He was 74. ROOSEVELT ORDERS SECRET SERVICE 10 HALT CONSPIRACIES Asks Crushing Blow to Crooked Government Official-Under- world Alliance | New York, Feb. 3—(#)—The Daily News says President Roosevelt has or- dered the secret service “to end the alliance of crooked government of- ficals and tae underworld.” Such action is without precedent, since President Lincoln gave Allan Pinkerton, founder of the service, the {double duty of spying behind the Con- federate lines and tracking down ene- mies of the Union in official Wash- ington. Orders for the action by the secret service, whose duties are usually con- fined to protecting the president's per- son, trapping counterfeiters and act- ing as intelligence officers for the {state department, were issued by Sec- retary of the Treasury Morgenthau, the News says. Already, the News adds, the secret service detail has evidence of cus- Port duties that total $100,000,000; an underground railroad for transporting criminals in and out of the United States; a $50,000 bribe to a customs pa- trol which resulted in a camouflaged rum runner sailing unmolested up the Hudson River as far as Haverstraw, N. ¥., where she went aground, and a traffic in smuggled drugs and alien girls. William H. Moran, chief of the secret service and a government agent |for 51 years, is heading the investiga- jtion, which is being conducted by a hand-picked group of his smartest veteran operatives, the News says. States Must Perfect Grasshopper Drives Washington, Feb. 3.—(#)—If and when congress appropriates money for grasshopper control, the eight western and midwestern states in which the extermination campaign will center must agree to set up effi- cient cooperating organizations or they get none of the money. President Roosevelt has asked a/ $2,354,983 supplemental fund for pur- chase and spreading of poison bait in Montana, North Dakota; South Dakota, Minnesota, Wisconsin, Wyo- ming, Idaho and Nebraska, and neither house is expected to balk at the request. “This is an encouraging start,” said H. R. Sumner of Minneapolis, secretary of the Northwest Crop Im- provement association, “but the fight is less than half won.” Sumner said unless the appropria- tion 1s approved by March 1 might as well not have the moni ‘There are an estimated 13,000,000 acres in approximately 300 counties in which poison will be needed, Sum- ner said. The North Dakota acreage is the largest, estimated at 5,447,520. Acres that probably will need poison in the other states include: Montana, 3,587,316; South Dakota, sin, 320,000. New Dollar Blow to Americans Abroad toms frauds and illegal refunds of im-| La! PRICE FIVE CENT NONPARTISAN CHIEFS SELECT VALLEY CITY AS MEBTING PLACE Gathering on March 6 to Be Preceded by Precinct and County Gatherings LANGER RAPPED AT RALLY, Sell Out of Political Group Charged at Session of ‘Committee of 100° (By The Associated Press) The executive committee of the Nonpartisan League, in session here Friday night, set the state league nominating convention for March 6 at Valley City. County conventions will be held Feb. 27 and precinct meetings Feb. 17, The dates are the same as those sought by county league chairmen recently at a meeting in Gov, Wil- liam Langer’s office. Members of the executive commit- tee are John Nystul, Fargo, chairs man; E. G. Larson, Valley City, and C. N. Lee, Bismarck. At the meeting of the executive committee, Lee urged that Bismarck he selected for the indorsement con- vention, but he was out-voted by the other two members, who favored Val- ley City. Following the meeting of the ex- ecutive committee, a Nonpartisan League “committee of 100” met and the gathering swung into an anti- Langer rally. The executive com- mittee members were invited to par- ticipate in the meeting. Speaker after speaker took the platform to assail the state adminis- tration and at the session’s conclu- sion an organization had been formed to plan against possible renomination of the governor. State officials taking the platform to assail the governor included Lieu- tenant-Governor Ole Olson, New Rockford; Alfred 8. Dale, John Husby, |S. A. Olsness and Fay Harding, while Robert Byrne, secretary of state, was represented by proxy by Charles Leissman, his deputy, The state ‘officials reiterated their stand taken at a meeting in Fargo some time ago that they would not accept nomination from a meatiog which also indorsed Talk of Throughout the session consider- able talk was heard of a second nom- inating convention. H. C. Kiehn of Minot, an official of the North Dakota Federation of bor, assailed the state administra- tion in scathing remarks, declaring that when the administration went into office he had hopes of much benefit for labor, but to date labor had received nothing. He spoke particularly of state in- dustries at the penitentiary. “We ride around in automobiles bearing license tags manufactured at the state prison, sleep under blankets made at the prison, and we are even buried in coffins made by convicts,” he declared. State Senator G. A. Jones of Ward county branded the state adminis- cae as “political racketeers” and ©. K. Lageson of Grand Forks, chairman of the Grand Forks county league committee, and Senator John Miklethun of Barnes county spoke against the governor. Miklethur: assailed Langer’s veto of measures passed by the 1933 legisla- ture and attacked appointments which he said were “political” rather than tor efficiency.” Would Clear Good Name Miklethun said the gathering should pledge itself to seek a restoration of the confidence of the people of North Dakota in the Nonpartisan Several legislators who voted in fa- regrets. Miklethun was chairman of the meeting when the “committee of 100" (Continued on Page 6) Emergency Chiefs to Defy Political Boss Feb. 3.—(P)—Orders from President Roosevelt to oy. the “political boss” were carried Satur- day by the 48 state directors of the even if you e biggest political cond hl MS es in carrying out this On capitol hili Democratic house leaders made ready to bring up Mu... day Roosevelt's request for $950,000,000 for relief purposes—roughly §450,- 000,000 to continue the civil works