The Bismarck Tribune Newspaper, March 29, 1934, Page 1

THE BISMARCK TRIBUNE | BISMARCK, NORTH DAKOTA, THURSDAY, MARCH 29, 1984 The Weather Mowe etait told Prine et hp: North Dakota’s M Oldest Newspaper ESTABLISHED 1878 PRICE FIVE CENTS | Senate Swats Veterans Veto () \orss 6310 27 10 ny ' * INDICATIONS POINT TO INVESTIGATION OF LEADER ‘RACKET’ Numerous Local Persons Serv- ed With Subpoenas to Give Testimony NEWSPAPERMEN ARE CALLED District Attorney Refuses to Talk on Possibilities of Jury Action Service of subpoenas on many Bis- marck residents to appear before a federal grand jury at Fargo on April here Thi formal investigation of The Leader “racket” in which Governor William Langer and others have been accused of mulcting persons on the federal payroll of five per cent of their sal- aries to support the executive's per- sonal political publication. Although the nature of the matters to be investigated was not disclosed’ in the subpoenas, the fact that no- tices to appear were served on many state officials and employes as well gs upon one or more representatives, of every English-language newspaper in Bismarck, was regarded as signifi- pace sae all, it yeti oe or relial source, subpoenas were issued, most of them being served on local residents. Service was made by U. 8, Marshal ©. Gunvaldsen. P. W. Lanier, United States district. attorney, also was in the city Tuesday and Wednesday, but both declined to comment on the = to be presented to the grand ‘Whatever the matter up for in- vestigation may be, it is not proper for me to comment on it at this time,” was Lanier'’s statement. “It will be time enough to disclose what the grand jury does after it has com- Pleted its session.” May Probe Wheat Deal From reliable sources, however, it ‘was learned that the “Leader racket” will hold the grand jury limelight, with a possibility that the jury also may probe into the operations of the state mill and elevator with reference | ing. to the storage of grain there by the government. Much has been sait and printed with reference to handling of Red Cross wheat by tl mill management and a probe may be made to determine the truth or falsity of accusations which have been publicly made. Speculation was rife Thursday as to the possible basis for a prosecution Ri based on the collection of five per cent from federal employes to sup- port the Langer newspaper. Some Jawyers said any prosecution, if in- dictments are voted, probably would ed. be on the basis of an other employe or to solicit funds in a federal building. If it can be proved that this has been done, some lawyers said, not only the man spiracy. If this is the view which by the federal prosecutors grand jury, the way is opened for indictment of everyone alleged have taken part, directly or Ra in the collections from federal em- loyes. In a statement Thursday, Governor Langer reiterated previous assertions that he will welcome investigation by the grand jury and renewed assertions that the whole business is “politically Scooping Molten Glass for World’s Biggest “Eye” . 9 ‘The first step in what fs called man’s most ambitious scheme to fathom the mysteries of the universe at the Corning (N. Y.) Glass Works when workmen poured 20 tons was witnessed by 6,000 persons of molten glass into a mold whic! mirror, which will be fitted ‘nto a telescope 000 and take pictures of nebulae 1,300,000,000 light years away. h it is expected will produce the world’s largest telescopic mirror. The in California, will be 201 inches in diameter, cost $6,000,- Here workmen are seen removing rom the furnace the first ladleful of molten glasa GULL 19 BEADED TOWARD RUMANA TK QUEST POR REFUGE Decision Is Said to Have Fol- lowed Receipt of Instruc- tions From Athens Istanbul, Turkey, March 29.—(P}— Samuel Insull, whose mystery ship, the Maiotis, put in here for provisions early Thursday, will sail this after- ‘noon for Rumania, it was reported from apparently authentic sources. The dicision to deport for Rumania, it was sald, followed wireless instruc- tions from Athens delivered to the 14-year-old fugitive Thursday morn- Insull, asleep when his dingy char- vessel nosed around the golden at 6:30 a. m. Thuraday, remain- the ship in the face of strict police surveillance. Maiotis within five hours com- a » The captain arrival the boat was bound for ‘Authorities of that country Wed- nesday night repeated warnings that Insull would be arrested if he land- . Chelebides, agent here for the . pretty good,” the agent reported, “but the old. man querulously complained of his difficulties and emotions on his trip.” March 20.—(?)—The secret membership lists of the Michigan au- tomobile Soe ene were pre- Thursday for submission Piecident Roosevelt's special labor “If a grand jury investigation has| board. ‘been decided ser be aald, i E : i ci z gre ES : E a ; z : 8 i Hi 8 i na E ij i i a8 | t 1 i E 3 i Fe se ast Fe E iy i i i i Fe 5 a & H 8 rt fe . PEE | Mother Kills Self | And Two Children NTC SRE SA SE SAETETET Morgantown, W. Va., March 29. —@)—When Mrs. O. B. Fawley slew her two children Wednesday night she took extraordinary pains to make sure she herself did not is a8 follows: She went into the bathroom and drank Polson. She slashed her throat with a broken glass. Going down into the cellar, she thrust her head into the furnace into the yard. She managed to crawl under the porch, where she Her husband, returning a short time afterward, found the bodies of his two children, Margaret, 11, and Harold, 23, in the living room. No motive was assigned for the killing. TEN CITIES ASK FOR ND, BRANCH BANKS Industrial Commission Will In- vestigate Possibilities Before Deciding Representatives of 10 North Dakota cities and villages appeared before the industrial commission Wednesday in an effort to induce the Bank of North Dakota to establish branch banks jo their co pergeegy in metro was deferred pending an investigation by Manager Robert Stangler of the Bank of North Dakota and Bank Ex- Y Lefor, who were au- i : ? Es i i E H { | i j ° k i Hy ij bt i iit hi i ty F u i : COMPULSORY COTTON CONTROL SCHEME IS PASSED BY SENAT Bill Would Stabilize Prices by Limiting Production of In- dividual Growers head compulsory cotton bill and re- turned it to the house for action on amendments... 2 nent se vote'on final passage was 46 to 39, The bill is designed to stabilize cotton prices by limiting production in the coming year to 10,000,000 bales and levying a prohibitive tax on the staple produced in excess of quotas allocated to producers. The house tax of 50 per cent of the market value, or not less than 5 cents @ pound, was raised by the senate to 15 per cent or not less than eight cents a pound. Termed an emergency measure, the bill would apply for only one year, as passed by the senate. ‘The house bill would give the meas- ure a two-year life with presidential power to extend it another year. Four Republicans voted with 42 Democrats for the bill. Thirteen Democrats joined 26 Republicans in opposition. Senators Frazier and Nye of North Dakota both voted for the bill. Collier Confident Of Indians’ Support ‘Washington, March 29.—(#)—Com- missioner John Collier of the office of Indian affairs reported Thursday upon his return from a series of con- ferences with various tribes in the west that a large majority of Indians were “strongly in favor” of the pro- posed Wheeler Howard bill. The bill is designed to restore land to the Indians where much of it has been lost through the allotment sys- tem, and to afford the tribes a meas- Federal Grand Jury Called for April I SONS OF MURDERED MAN ARE EXAMINED IN MYSTERY PROBE Other Members of Zirbel Family at Chaseley to Be Quizzed by Officials SATHRE, HEDER IN PICTURE Local Men Join Wells County Of- ficers in Attempt to Fer- ret Out Slayers Harvey, N. D., March 29.—(7)—The two oldest sons of Henry Zirbel, mur- dered Chaseley farmer, were grilled here 12 hours Wednesday night and Thursday by investigators before the inquiry scene was shifted to the farm home where other members of the family will be questioned Thursday afternoon, Zirbel was found dead the night of March 19, his charred body bound with barbed wire. Arriving here late Wednesday to assist J. G. Schmidt, Wells county state's attorney, in the investigation were P, O. Sathre, attorney general for North Dakota and J. A. Heder, assistant attorney general in charge of felonies, Officials said after the grilling the two sons, Raymond, 21, and Carroll, 19, had changed the story told at the coroner's inquest in some details. Also questioned was Leona Braeger, a school teacher staying at the Zirbel home. Her story dovetailed with that told by the family. Sathre after the questioning re- marked: “It is a very unusual story the family tells.” The two youths repeated the previ- ous story that the night of March 19 they discovered their father missing. Fifteon:-minutes-later they went to a burning straw stack, two miles from the home and there found his trussed and charred body. ASK CLARIFICATION OF AIRMAIL RULING Former Carriers Want to Know How They Can Bid Under New Set-Up ‘Washington, March 29.—(?)—Some aviation concerns sought Thursday to fei | have the administration clarify its call for new air mail bids. Out of four air line officials who By F E é indicated he wouldn't bother : i OTTO H. KAHN DIES WHILE AT LUNCH IN WALL STREET OFFICE Heart Disease Blamed for Sud- den Demise of Famed Bank- er and Art Patron HAD BEEN IN POOR HEALTH Resigned Leadership of Metro- politan Opera Following Death of Partner New York, March 29.—(#)—Otto H. Kahn, international banker and pa- tron of the arts, died suddenly of heart disease at 1:45 p. m. Thursday in his private office on the third floor of Kuhn, Loeb & Company, in which er ad @ partner. He was 66 years Death came suddenly as Mr. Kahn was seated in a chair having his luncheon. Without warning, he Pitched forward dead. The banking offices withheld con- firmation of his death until after the market closed. Dr. H. T. Hyman, Kahn's physi- clan, reported to the city medical ex- aminer that the cause of death was cardiac thrombosis. . Long identified with the Metropoli- tan Opera company, Kahn resigned as president and chairman of the board in November, 1931, although re- maining on the board. Indications that he was not in the best of health were given at this time hi since then he had often been i Upon resigning his leadership of the Metropolitan, he announced he was also withdrawing from many of his other varied outside activities because of greater business responsibilities since the death of his close associate, Mortimer L. Schiff. Was. Born in Germany Kahn was born at Mannheim, Ger- many, Feb. 21, 1867, the son of a rich father who also was in the bank- ing business. After serving a year in the German army he entered his father's office and later went to London, where he was @ minor official in the Deutsche bank. In 1893 he came to America on business and while here agreed to Join an American banking house. Two years later he joined the firm of Kuhn, Loeb and company of which he later became the head. Many spectacular financial coups were attributed to him, chief among them being the famous Northern Pa- cific corner of 1901, when Kuhn, Loeb and company helped E. H. Harriman to acquire control of that road de- epite the opposition of James J. Hill and J. P. Morgan and company. When Hill Rebuked Harriman The contest started when Hill re- buked Harriman for demanding par- ticipation in control of the Burling- ton road and the Northern Pacific deal was Harriman’s comeback. Working through Kahn, Harriman had obtained $65,000,000 worth of stock almost before Hill knew what was happening and the result was the memorable corner, during which the stock went to $1,000 a share, with bees cont lortable majority in Harriman’s Having become an English citizen after leaving Germany, Kahn became an American citizen in 1917 and his activities assisted materially in the Teachers to Benefit From Federal Funds Announce Openings For Fargo, N. D., March 29. oo ———_____________» | Dies in New York COUNTY WILL CALL IN 750 REGISTERED WARRANTS APRIL 4 Amount to Be Paid Will Total $89,000 and Cleans Slate to Jan. 5, 1934 County Treasurer Ernest Elness an- nounced Thursday that he would call for payment all warrants registered up to Jan. 5, 1934, on April 1. The total amount of warrants called for payment is $89,000 and the numbers of registered warrants are from 1300 to 2050. The amount of warrants registered to date by the county now outstand- ing totals $134,000, which will leave @ balance of $45,200 in outstanding registered warrants. The county is enabled to call in this amount, Elness said, due to sav- ings in administration inaugurated by the county officials a year ago. An- other factor is the fact that county Poor relief has been taken care of by the federal government pretty largely during the winter months. Tax collections are nearly $175,000. lower for the months of March and April than for the corresponding months last year. Some of this is caused by the holding up of tax pay- ments by the public utility and rail- road companies, ut even with those taxes paid the collections would be approximately $100,000 short of what they were last year, Elness said. WILL DISCHARGE CCC MEN AT FT. LINCOLN Special Train Will Bring 294 Here Over Soo Line Sat- urday Morning Moffit 4-H Garden Club Has Election At a recent meeting of the 4-H Garden club of Moffit, members of War Veterans) ana REFUSE ROOSEVELT LEADERSHIP ON BILL Administration Leaders Look for $228,000,000 Needed to Finance Measure FEDERAL EMPLOYES BENEFIT, Many Democrats Break With President to Support Ve- terans Money Measure Washington, March 29.—(#)—The administration pondered without im- mediate answer Thursday on where to get another $228,000,000—the cost of a surprising overthrow of Presl- dent Roosevelt's first major veto. “What'll we use for money?” That in effect was the query of govern- ment heads after the turbulent cap- Here’s What Bill Does for Veterans of what they were the economy act of 1! Pensation will depen had service origin. Permanently disabled Wor! veterans will get $100 a month stead of $90 as at present. An unestimated number of ish American war veterans stored to the rolls at 75 of their old pensions. Widows dependents also are restored at Federal employes who are now working at 15 per cent they were getting prior to omy act will get back one: this cut as of February 1 and another third July 1. itol scenes that accompanied break between congress and executive. There was no quick spd Several 27, the senate engraved on the statute books the $830,000,000 independent of- fices appropriation bill. In it were the increased payments for veterans and government em- Ployees which had been the bone of contention. February restorat government pay cut, another five per cent adding an- Other $126,000,000 will go into effect July 1. Official Washington listened for veto message he inveighed chiefly against the principle of “a veterans service ” This,