The Bismarck Tribune Newspaper, October 19, 1934, Page 2

mamas agmetdor SPZ2zHNePaet Sereanc 3 2985 sega S8 a € = © wes FRSSeeress SSSSS4_ RESPS Nye Cites Benator’s Speeches Make Start- ling Disclosures, Urge Moodie’s Election | With Senator Gerald P. Nye again; on the stump in this campaign, at-/ tacking the record of the Langer ad-} ministration and supporting Demo-! cratic Thomas H. Moodie for gover-} nor and James H. Sinclair for con- gress, it is interesting to note the ex-/ planation of Nye’s position as con-| tained in excerpts from his speech-| €s. ‘These excerpts, as prepared by the; senator and distributed to North Da-| kota newspapers, follow: | Langer gave us a moratorium and saved many of our homes! It is surprising to a lot of folks to find that the moratorium and our homes are as secure now with Langer out! as with Langer in, and this without \state of North Dakota. Facts, Figures Of Langer Machine Costs | Resold Slot Machines | In any event, these were the af-| fidavits of a purchaser of these con- fiscated slot machines that he would not operate or sell them wjthin the Tam told that some of these same machines! were among those picked up by the Regulatory Department under Sid-; ney Papke'’s administration when a raid was made in North Dakota one} recent evening netting more than fifty slot machines. Another affidavit before me fe-) veals sale by the Regulatory Depart- ment of five slot machihes in July of this year but for which there is no receipt shown of funds involving; this purchase. These machines may| be showing up in later raids which) will be undertaken by the Regula- tory Department. Of course, these! matters are as nothing compared with the moratorium and should be; forgotten or, at least, overlooked! A young attorney by the name of j was to the effect that printed or delivered for sale. The sum total of the record available so many stamps had been sold, as revealed by the accounts and so many stamps were on hard. In the furnace at the Capitol were found these stamps after that check indicating that someone had some stamps that hadn't been accounted for in the audit. Is this more “strategy?” Let me say that additional stamps have found in the ventilating system of| the Capitol. How many other fur- naces and ventilating systems were resorted to in these trying hours in the life of the Langer machine I cannot undertake to estimate. It is but fair for me to say here that Commissioner Owen is not mneces- serily responsible for this. In fact, knowing him as I do, I am sure he had no knowledge of any wrong do- ing in this connection. Gove by Frederic J.Haskin I A Condensed Chapter from the Authors New Book keeeeeee Today teekaeeke been | THE UNITED Sraaton TARIFF | COMMISSIO! z Washington, D. C., Oct. 19.—The United States Tariff Commission which, for years, had been plod- ding along doing useful, but what would appear to the average citizen as dull, statistical work, into a new position in 1934 as one of the implements in the American) government's struggle to bring about industrial recovery. was swung The story goes deeply into econom- Need For Big Shakeup jics. The American worker obtains the overwhelming bulk of his employ- the national guard constantly on the go. Yet, a great many good people feel that Langer'’s moratorium over- shadows all the things which are leveled at the Langer machine in the ‘way of charges. We are told that the charges of graft and corruption are of such little consequence that they Wepre rnoe ie Ustetied (0. rative business is perhaps well reveal- Had $40,000 Income led by the story. of the experience of So intense are some people in theit)tne Northwest Marble Works which Strutz came to Bismarck early in the |Langer administration and bought or assumed charge of the law prac-| tice of Governor Langer. Much has been said of the practice of this office in pardon matters of which there may be more to be said. That the law office, under Mr. Struts did do a luc- Tt ought to be doubly apparent that | there is need in this preat state of ours for a complete shaking up of the machine that has existed. That machine can be destroyed through the election of Tom Moodie for gov- ernor, a man who has none of the machine-building desires so often com- mon_ to those in politics and whose sole ' purpose is that of restoring the government of North Dakota to that status which will win again the re- ment in the producing of articles for dumestic consumption, but the for- eign trade of the United States has always had an important function the whole fabric of material pros- Perity. So long as American produc- ers of crops and manufactured wares could find an outlet for surpluses in foreign markets, a safety valve ex- isted. was no effectual demand here could Production for which there defense of Langerism that they rally; to the contribution of funds to the Langer Defense Fund in the face of Mr. Langer’s own testimony to the effect that his income last year was at least $40,000. No one pretends to know how much income he is en- joying this year, but it is safe to esti- mate that it is sufficient to afford the ordinary man a feeling of great secur- ity against bills of grocers, lawyers and courts. Part of the Langer income of last year affords an interesting study. Elaborate funds are raised ostensibly for the purpose of supporting the North Dakota Leader. It developed that at least $19,000 of these funds were diverted to the personal ac- count of Mr. Langer. Lars Siljan, Langer campaign manager in May published his explanation of this diversion. He said that the transfer of the funds was for “strategic rea- sons.” Imagine his consternation when Langer himself, under oath, de- clared that this was money which the Nonpartisan League owed Langer and that he had only collected a righteous debt! Nonpartisans never knew that the League owed Langer a penny. No executive committee of the League had ever been presented a bill for anything owing Langer. The con- sternation, too, of the managers of the Leader must have been a sight to behold! Evidently the Leader paid the bill wholly unmindful of the fact that there was a moratorium on, which would protéct them against the forced payment of any such bill for $19,000. Indeed it required “strat- egy” to collect this “debt.” Raises Question ‘There is of record testimony con- terning the investments of Mr. Lan- ger in the grain market during that period when he, Langer, was moving embargoes against the shipment of grain from the state to increase grain prices. Was there any relationship) between his market investments and his embargoes? Of course it’s small stuff, but it ought to be remembered that Lan- ger made a good fellow of himself last year when he “personally” ad- vanoed $1,500 to make it possible for the North Dakota Legion to take its crack band to the national conven- tion. Now it develops that the “good fellow” was not Langer at all but the! people of the state who contributed to| the Langer Leader funds. More “strategy!” How much was raise’ by assess- ment, subscriptions, advertising and contributions for the Leader ought to be answered by a state investi- gating committee which at the same time would ascertain how much of this was raised in direct violation, not of federal, but of state law. Much of it was so raised. The assessment racket was not confined to state employees.. Busi- ness institutions which were commodated by the Langer admin- istration were made to kick in with their assessments too. The case of the Lehigh Briquetting plant is one in point. This institt.tion, whose suc- Dakota. The loan was amply secured and drew a profitable rate of inter-| sales est. But, in addition, the administra- tion demanded and secured an assess- ment of five per cent against the ‘wages of those who were employed in the Briquetting company's plant at Lehigh. Such a program would ulti- mately bring the state to a point where it would accommodate no one unless they, in return, agreed to kick in an assessment to help support a newspaper, pay personal debts, and do the other necessary things in maintaining a well-oiled political machine. Blasts Langer Economy ‘The economy practices of the Lan- ger administration have been a sight to behold! From April 1, 1933 to July 20, 1934, the receipts of the state Regulatory Department were $241,000. During the same period the expense of running this department was $201,- 000. It was quite likely that if the administration could have had the balance of its term in which to oper- ate, they could easily have balanced this budget. Whereas 5.9 per cent of the funds needed to meet the relief needs in North Dakota are required to administer these funds, in the con- duct of the now abandoned office of Beer Commissioner the cost of ad- ministration and collection represents 21 per cent of the whole income, To| be sure, you can’t build a political machine if you are going to be so strict in your economies that place had a contract for furnishing mar- ble for the new state capitol building. The Northwest Marble Works had been granted the contract for marble, but the advent of the Langer admin- istration was occasion for a readver- tising for bids. The Northwest Marble Works appeared to have been advised that Mr. Strutz would be the attorney of greatest use to them in accomplish- ing an understanding with the new administration. In any event, Mr. Strutz was retained and did get the contract straightened out for the Northwest Marble Works who paid Mr. Strutz $2,500 to make secure a contract that already was secure, How Machine Was Built While Langer and the national guard were busy on moratoriums, the Langer forces were at work building so complete a machine at state expense as would function smoothly when the hour for action struck, The bills which workers upon the state highways presented for services during the closing days of the primary campaign in June con- stitute what would be an amusing study were it not for the fact that this study reveals many men commit- ting perjury in accomplishing the Payment of expenses for political services rendered. One such high- way worker had difficulty making out his statement so that he could be both honest and at the same time comply with the request which the highway officials had made upon him as to the form in which he should submit his bill for political work. He finally wrote a note to ac- company his statement that he didn’t know what other account to charge it to than “smoothing surfaces.” Smoothig surfaces of this kind~has cost North Dakota a pretty penny during the last 18 months. But why should we worry about things like this when we have a moratorium! Upon the advent of the selection of Ludvig Pederson to be manager of the mill and elevator, I thought so highly of the selection that I wrote Mr. Pederson congratulating him and expressing the belief that he would be @ most conscientious man- ager of that institution. So Conduct the mill that the advant- age of its existence would revert to flour consumers in the state rather than flour consumers in the’east. The recent audit of the mill and elevator reveals @ condition which I doubt Mr. Pederson had any knowledge of. According to this audit there were at least 38 sales by the mill in the of flour during June and July of year at prices which ranged all way from $.93 to $1.25 « barrel than was the price being flour consumers of the same right at Grand Forks. These for the mill and elevator and if the eastern jobbers weren't made to con- tribute handsomely to the campaign and defense fund somecne overlooked a good bet because they, above all, who need not have known of the Leader Raids Mill Funds Of course, we must again be re- minded that Langer gave us a mora- torlum and we should kick into the discard any evidence or proof which would make it appear that the State Highway Department has paid from its funds for hall rent for political meetings! This they have done and Proof is available for all who might vn i Still, proof of matters of th Ind is hardly necessary -when we look back to the experience of July which found men ‘om Bismarck making & raid upon the Mill and Elevator funds to the tune of $3,500 in the name of advance payment to North Dakota Leader for advertising. It ought to be said that very credit- able work was done by state officials and the manager of the mill and elevator in recovering these funds but their recovery does not lessen the purpose of some of those who hsve been manning the machinery of the state during the Langer era. Give them a new lease on life for two years more and only heaven can Prophesy what the result to the People of the state and to its insti- tutions will be! ‘The evidence before me of the means resorted to to cover up the loose- ness which accompanied the handling and sale of beer revenue stamps ought to convince one and all that can’t be made for twenty beer com- missioners to do @ job that three men do in our more populous neighbor state of Minnesota. This is just a little more “strategy!” Then again, what's this compared with the mora- torium—a we have come to @ point in North Dakota where all caution has been thrown to the winds in the urge to be sold abroad.’ Therefore, Ameri- spect of the people of the state and of the federal government to which our state must look for long for large measure of help. I support Moodie not because he is a Democrat, but because I know so well the splendid result that will flow for all through a:. administration of government at his hands. We Nonpertisans in his election will find whatever chance is left to salvage and rebuild the Nonpartisan League which has been so thoroughly disgraced by the Lan- ger administration. The purposes of the League have been among others that of affording clean and respon- sive government to the people of the state. That is why I, as a Leaguer, feel I am doing the best thing for the cause and for my state in ad- vocating the election of the Repub- lican ticket with those exceptions which I hope will find the majority of people supporting Thomas Moodie for governor in the Democratic column and James Sinclair for con- gress in the independent column. Moorhead Teachers Forfeit Victories Mankato, Minn., Oct. 19—(P)— Moorhead Teachers college's two northern teachers conference football victories over Duluth and Winona, Friday were declared forfeited by the loop executive committee. An investigetion by the committee revealed that Vincent Yatchak, regu- lar Moorhead fullback, attended Pur- Cue university last fall and therefare was ineligible for conference compe- tition under the “student migrant” rule. Yatchak, who graduated from Wakefield, Mich. high school the spring of 1933, enrolled at Purdue the following fall and withdrew Dec, 20. Macco Gotta, Moorhead halfback, who attended Michigan state college in 1932, also is ineligible, according to Morris, secretary of the confer- ence, can workmen cculd be employed not only to make things and produce food for their own consumption, but en- joyed the extra work of manufactur- ing and producing for many other people of the world. The domestic market was protected by the imposition of customs duties which prevented many of the wares made by cheap foreign labor from entering the American market in free competition, Pericds, regarded as chiefly import- ant as a source of federal revenue, and in some years it has produced some-three quarters of a billion dol- lars. In other periods its chief value was considered its keeping out competitive goods. The tariff was, in some effectiveness in When the depression of the thir- Mutual Tariff Concessions During the era in which this tariff duel of the nations had been going on, each government enswering a tariff increase of a neighbor with one still higher, like players in a poker game. the leading economists of the world had been pointing out that world recovery could not be lachteved in such an_ atmosphere. Many proposals were advanced for a change of direction and various in- ternational conferences were held. The great London Trade Conference, in June of 1933, was devoted almost wholly to these problems. The Am- erican delegation proposed drastic Paring down of all tariffs in order to Permit the free flow of world trade. Although the whole world wanted something done because all nations| were suffering, that conference fuiled. Pressure for a remedy con- tinued, however. The shipping in- dustry, dependent for its very life on the carrying business of the world, was almost dormant. Hundreds of thousands .of tons of shipping rusted, tied up in the harbors of the world. It was the United States which came forward with an act of congress which aimed at the difficulty by going around the plan of international con- ferences, meetings susceptible of en- countering failure through political Jealousies. This act provided a meth- THE BISMARCK TRIBUNE. FRIDAY, OCTOBER 19, 1934 The pics Tesentative to stand for the interests of industry, In entering into a reciprocal agree- ment, in which America gives up some real or fancied tariff advantage in return for a similar advantage to be vouchsafed by a@ foreign nation, all the information bearing upon the matter must be in hand. Just how much trade advantage the domestic producers would lose by lowering the tariff so as to permit foreign com- Petition, and just how much exporters would gain by an agreement admitting American goods to a foreign land, are facts which have to be weighed against each other, This is where tite importance of the tariff commission has been enhanced and it has become one of the working cogs in the recovery gear. The com- mission wd created in 1916'as a fact- finding body. Through the long years of American history up to that point, tariff acts had been put together Piecemeal by congress. It was con- sidered that an expert commission should be provided to give expert ad- vice and compile reliable economic in- formation. The aim was to take tar- iff-making out of the political field and place it in a sort of scientific laboratory. The commission has no affirmative tariff-making powers. It exists to furnish facts when called upon by congress or the president, but the decision on a tariff matter is like- ly to be guided by the character of the information furnished, so, there- fore, the commission is latently pow- erful. \ (Copyright 1934) INSULL CASE GOES INTO FINAL STAGES Prosecution Charges Utilities Magnate Held ‘Empty Bag’ to Public Chicago, Oct. 19.—()—That Samuel but could not because of high tariffs, and the United States had machi and manufactures which she wanted cause of high Spanish tariffs, a give- to sell to Spain, but could not be- pushing Insull, Sr. packed up his troubles in his kit bag and then sold the bag to the public is the gist of the mail fraud case which prosecutors now are boriously into its final phases, ties fell upon the United States it struck down foreign trade as well as domestic trade. less domestic demand but less foreign Gemand. greater falling off in the foreign demand. 40 per cent. of American workmen directly. only was their employment in pro- ducing for Americans reduced, their extra jobs producing for foreigners also failed. So it was that a part of the program to rehabilitate the na- tion and build up employment was Not only was there Indeed, there was at Exports dropped to around This affected the jobs Not and-take arrangement could be amicably reached whereby mutual re- visions would be made, bringing mu- tual benefits, commissioners and attaches abroad especially fitted to handle commercial problems. By a system of nice politico-commercial nations, policies of had been raising their tariff walls higher and higher. ‘country as England, fhee-trader of the world, placed heavy tariffs on many imports from alien nations, while at the same time en- tering into an imperial preference|and commerce departments on these arrangement whereby such nations as; mutual tariff concessions. The tariff Canada, Australia, and South Africa, as members of the British family of nations, enjoyed France set up new barriers, so did Germany, £0 did Spain. epidemic of high tariffs swept the } world. recovery of foreign markets. Ever since the world war, foréign self-conscious under new intensive nationalism, Even such a the traditional special privileges. A sort of iprocal, the United States are brought into conference, Works With Many Government Departments So much a part of the r ef- fort was this regarded that an inter- ‘departmental committee was created with representatives from all inter- ested sections to advise with the state commission, of course, has a key rep- resentative on’the committee, but so does the department of agriculture because of the vital importance of farm products to foreign trade. The that when Insull lost a costly battle cler, the utilifies “war debt” on this one of his 80-odd corporations. document of the federal trade com- mission which they promise will show that Insull organized the Corporation Securities Company to take over stock They put this construction on the management of the last company or- Ganized by Insull, the Corporation Se- curities Co., of Chicago, an investment trust, and its sale of a hundred mil- lion dollars in stock. U. 8. Attorney Dwight H. Green has piled up his case on two connected points—the first that the “Corp” was used to hold In- ‘sull’s worries and the second, that it held little else. Prosecutors added evidence Thursday with Cyrus Eaton, Cleveland finan- magnate shoved the They already had in evidence a he had acquired as a necessary re-| sult of trying to reorganize another concern—the giant Middle West Utili- ties Co., two billion dollar holding ' concern, Bending efforts to prove that Insull | and the 16 who are on trial with him treasury is represented because it|knew their company was not sound, | handles the customs. The national |Green’s attorneys have submitted evi- | On the sunny slopes of Smyrna . . in the fertile fields of Macedonia . . from the shores of the Black Sea . . that’s where the best kinds grow . . the kinds used in making Chesterfields. HERE are about as many kinds of Turkish tobacco as there are kinds of apples—but they all have a spicy aroma and flavor which seems to “season” a cigarette better than any other kind that grows. The right Turkish is costly—but it adds some- thing to Chesterfield’s milder better taste. make politics the first service of pub- le servants. I hold before you ap- Proximately $70.00 worth of beer moratorium as effective} revenue stamps which were recover-d from the furnace at the State Capi- under Governor Olson without the ex- Pensive use of the national guard as it ‘al effective under ger! tol at Bismarck shortly after the Lan-| administration of Governor Olson lobacco dence they count upon to show that the stock was given an artificial lus- ter by stock market rigging. On this point J. D. Scheinman, a Chicago broker, who although saying he had received no orders to violate stock, exchange regulations, told of using “dummy accounts” which bought and sold Insull stock to each. other, giving the appearance of a lively market. Originally the order came from Insull, Sr., the broker said. ——_—_ CARLOADINGS INCREASE Washington, Oct, 19.—(?)—The As- sociation of American Railroad re- Ported Friday that carloadings for the week ended October 13 totaled 635,639 cars, an increase of 4,321 above the preceding week, but 35,041 below the corresponding week in 1933, Underwood Airport Dedication Planned Underwood, N. D., Oct. 19.—Dedica- tion ceremonies for the recently com- Pleted Underwood airport will be held next Wednesday. Twenty planes are expected to par- ticipate in the air show following the dedication program. Races of various kinds, bomb di contests, dead stick landings and stunt features ara on the air show progres, Hugh McCullough, Washburn attor- ney, and H. W. Samuelson, et Underwood, will deliver the main talks at the dedication. Following the avia- tion events, @ program of sports will jbe held. Attention, MOTHERS, towhat every doctor knows to be a fact, and what they say to avoid Ht you have children who are occasionally consti you know this,” siaiad If you are “not yourself” because of a constipated “condition, don’t blame it on your blood condition, or your age, but first try this treat- ment that safely relieves sluggish- ness in children or adults. ‘The Proper Treatment You can’t safely relieve the bowels with any medicine if you can’t regu- late the dose. To regulate dosage, u should she eh laxative. en necessary to re you can ually reduce the dose. ‘And that is the secret of safe relief from a sluggish, constipated condition at any age. A liquid laxative can be measured. Its action can be thus controlled. If properly made, of such natural laxa- ive elements as senna and cascaras it forms no habit —even in the youngest child. And such a laxative will help the bowels to help them- selves, Dr. Caldwell’s Syrup Pepsin is an approved liquid laxative containing J any laxative is dipsetic (makes you thirsty). IF it affects your appetite. IF you need more today than the first time you took it. IF it drains the system (by too watery a movement). WF a bad “burning” is felt. UF there is severe griping. herbs, active senna, and cascara, and is the one widely used. You store Why obtain it at any, drug not make the has attracted so much attention of late? It helps nearly ne who tries it. It may make lel better ight. The chil- will like it, too; Syrup Pepsin has a delightful taste. If you will risk sixty cents to dis- cover rhe folk eee action of 4 "s Syrup Pepsin, we fe jousehold. had checked out the Beer Commis- 1 have before me two photographs] sioner and his office which was sub- ving sale by the| sequently combined with the Regu- Regulatory Department of con-| latory Department to the Great sav- machines. The signatures |ing of the state. It should be re- both of these affidavits! membered that at the time check was forgeries. I$ is apparent | being made of the eBer Commissioner's that the same man signed both, but Office, neither that office nor the one is signed Gant;” the other| printer had full record of the number ts gigned ‘J. Predggnt.’ of beer revenue stamps that had been When you go on your next cruise, stop at Smyrna and visit our tobacco factory, We think you will find it in- teresting, MONDAY ROSA WEDNESDAY NINO MARTINI SATURDAY CRETE PONSELLE STUECKCOLD KOSTELANETZ ORCHESTRA AND CHORUS 8PM (car) COLUMBIA NETWORK « @ 1934, Lisssre & Dévana Tesscco Ce,