The Bismarck Tribune Newspaper, February 19, 1935, Page 1

% va] THE BISMARCK TRIBUNE The Weather we 5 Wair toate ane jednesday; TABLISHED 1878 BISMARCK, NORTH DAKOTA, TUESDAY, FEBRUARY 19, 1935 PRICE FIVE CENTS | More Fights Ahead of Dollar »Army Fliers Leave City After Brief Visit ; ta BiG CROWD GREETS SQUADRON LANDING HERE AT NOON HOUR Head Eastward Early in After- hoon, to Spend Night at Far- go Before Continuing 13 AIRPLANES IN PATROL Officers and Men Are Guests of Association of Com- merce at Luncheon ‘Thirteen airplanes. of the army snowbird squadron ranging in size from tiny pursuit models with big engines, to bi-motored transport ships with still bigger engines, stopped off in Bismarck Tuesday long enough to refuel and permit the 15 officers and Association of Commerce. Early in the afternoon they headed eastward to spend the night at Fargo before continuing on to St. Paul and then to their home base at Selfridge Field, Mich. A crowd of more than 1,000 persons ‘was at the municipal airport waiting for the ‘Snow-birds’ to arrive from Miles City, Mont., where they had spent the night. sina a arrive were two low- ig mon ine attack ships, piloted by First Lieutenant Henry M. Bailey and Second Lieutenant Harvey P. Huglin. They made the 285 from Miles City in an minutes, explaining that they pushed their motors hard they had a tail wind. arrived in groups, all mation. i One was lost early on the tour, which began February 1, and four others still are in Montana. They may pass through Bismarck with the next day or two. One attack ship and two transports were left at Glasgow, Mont., because of motor trouble and one bomber is undergoing some repeirs at Great Falls, Mont. At the luncheon in their honor, given at the Prince hotel, duced Mayor A. P. Lenhart, who bade the visitors welcome. Major Ralph Royce. who also commanded the arc- tic patrol when it was through here in 1930, expressed his appreciation and. commented briefly on the results of the experiment thus far. Comparatively mild weather is no’ disappointment to them, Major Royce said, since the idea is to test out var- which may be bitter cold or relatively mild. At the end of the tour, he detailed reports will i were at luncheon and officers at the Fort also provided transportation to and from the city. Among those who greeted the squad- ron here was James Guthrie, son of J. W. Guthrie, Bismarck, who received ago at Brooks Field and Kelly Field, ‘Texas. A number of the visitors were in training with him, Guthrie said, and for this group it was a real re- union. Young Guthrie has been di- the ordinary introduction of + | tion, Identify ‘Newsboy’ As Missing Mayor MILITARY PROGRAM, LARGEST SINCE “21, IS GIVEN CONGRESS House Committee Approves Ex- penditures of $138,131,482 by Army for Year AIR FLEET TOTAL 1,445 Budget for National Defense Approximately $100,000,- 000 Higher Than Usual 18 years was started through con- Gress Tuesday. ‘The house appropriations commit- tee approved expenditure of $318,131,- 482 by thé army during the fiscal year ending June 30, 1936. It told the war department it might pledge an addi- tional $7,686,753 for airplanes. The total recommended was $48,615,548 more than the 1935 appropriations. Smt committee said it stood ready After being identified by several persons as John 8. Schnepp, former mayor of Springfield, Ul, a man who gave his name as John Mason (above), 70-year-old Los Angeles “newsboy,” walved extradition on a | Authority the bill gives him to increase $400,000 embezzlement charge. (Ae. Savane strength from 118,750 to RETAIL SALES, B REVENUE PROPOSALS ARE GIVEN SENATE Third Bill Presented Calls for Tax on Seating Capacity of Theatres Largest Program Since ‘21 get for national defense is approxi- mately $100,000,000 in excess of the largest regular annual appropriation made for national defense since the enactment of the budget law in 1921. ‘The committee's action on the ‘navy supply bill has not yet been reported, but the budget approved by President Roosevelt called for $792,000,000 for and navy, they are slated to receive $20,000,000 each from public works funds to be brought in under a sep- Sloe of thls money will be for con- duced in the North Dakota senate |Slice money jo 00m struction at military posts, erecting an Monday as the time Umit expired for |it in Sl all ca le: . defenses. Rivers and harbors and related non- military activities of the war depart- ment were allowed $60,567,966, a $134,- 878 cut under the previous year. Both of the measures, the two per cent retail sales tax proposal and a bill doubling the tax on beer, were ‘communication service; and sales of % 400 this tickets of admissions." to Places” of | ous* compared with £26,376, amusement and athletic events. ‘The committee said frankly it was $2,000, proposing “to pinch off a little sooner Monies collected would be credited/than otherwise would happen the to the “retail sales tax fund” from |ighter-than-air activities in the army, which monies would be allocated to/ apart from free balloons.” the state board of equalization and! No mention was made of the recent the “state public welfare fund,” with|crash of the Macon, giant navy dir- the remaining money going to the committee's action on war de- ev imately $1,000,000 each Iperiee With approxi nt funds followed a presenta- anticipated for the needs of the/tion of the service's needs by General schools and the public welfare fund./ Douglas MacArthur, chief of staff, $2,000,000 of the rev-/and other army officials. MacArthur Approximately enue would be a replacement tax/stressed the need of increasing the v = MELLON’ PLAN FOR *lcontends $3,241,250 Pur- since general levies would otherwise |enlisted strength, pointing out that the be needed, proponents of the sales/present regular army is only a little tax measure claim. tainers. A third revenue measure for a tax on the seating capacity of moving picture theatres, was sponsored Trout of Renville, Thatcher of Bottineau. Cent on each seat in theatres, due ~ January 10 of each year. approved by | $33,690,666, Senators C. W. Fine of Benson, Walter | 1935. William ore than three times as large as the i Pictures of the new state capitol structure, Bismarck’s main street in The state's equalization fund 8180/1995 and 1935 and @ reproduction of was named the beneficiary of all collected under a bill proposing regulation and licensing of all retail fees the | te statue of Sakakawea, the Indian rected to take an examination in|coal dealers, presented by the same e Farmer, weel magazine April for the purpose of qualifying for | trio. esata at Bt. Paul. il @ regular commission in the flying] Based on the size of the town in|" an editorial description of the service. which the dealer operates, the li-|.over. contains words of praise for ‘The 15 officers in the group were: jcense fee is graduated from $5 in| whet is termed, “one of the nation’s Pursuit flight—Major Royce, First |towns of less than 500 population to| most remarkable capitols” and com- Lieutenants Earl E. Partridge, T. H.|$60 in cities of 16,000 to 20,000 pop-|ments on the rapid growth of the Taylor and Paul M. Jacobs, and ulation or over. city of Bismarck. Lieutenants Clark N. Piper and Joe/ Working with = determination to W. Kelly. cleer. 2s Calender of Bll’ Seanees, aS ry Bom Arthur/ pending on final passage, solons , Hamiion and nd Lieut: Birrell passed te bls, and one. site| Hauptmann aired ‘Walsh. indefinitely post Te- Attack Flight—Ist Lieut. Henry M./ ferred several to various committees.| 4 _ of Mystery Bailey and 2nd Lieut. Harvey P. Hug-| On the schedule for final action ln. Tuesday are only three bills, but Atlantic City, N. J. Feb. 19. Observation Flight—Captain Calvin |committee work Monday and Tues-| —<#)—Supreme Court Justice E. Giffin and First Lieutenants Isaac|day was expected to bring out num-| Thomas W. Trenchard, who pre- W. Ott, Reuben Kyle, Jr. and F. D.|/erous measures referred to the com-| sided at the Hauptmann trial in Klein. mittees for detailed study. Flemington, has had his fill of Attached to the group as s naval 50 to 60 Items Studied mysteries. observer was James R. Lee, lieutenant,| Senator A. F. Bonser of Richland, Here for s rest, the aged jurist Junior grade. chairman of the committee on state} dropped into a book store for affairs, announced a meeting at] something to read. The clerk U. 8 CANNOT FOLLOW EUROPE |which members would consider the} recommended s mystery thriller. Geneva, Feb. 10.—(#)—Hugh Wil-|bulk of 50 to 60 items of legislation. “Not on your life,” said Jus- son, United States representative in| Most other committees also were! tice Trenchard, “I've had enough the disaribament conterenee, Geciared |Weeking 50 90 Ba Ba gl CAT. Nees Sa Re OF Tuesday that wanted Argument developed Monday ” tighten up its control of civil aviation, |two proposals both of which finally A book on birth control finally well and good, but that the United|were indefinitely postponed. They; was chosen, the justice remarking States cannot follow Europe in any|contemplated @ raise in the fee for} that the subject frequently harsh, supervision of civil aircratty (Continued on Ba) cropped up in cases before lela, Robert E. Wood (above), Chica- businessman, wae asked resident Roosevelt to form an ad- visory committee to consult with him in the spending of the pro. posed $4,880,000,000 work reliet fund. The senate is still consider. ing the measure. (: lated Prese Photo} ART GALLERY TOLD IN U. §. TAX FIGHT chase of Paintings Entities Him to Deductions Pittsburgh, Feb. 19—(#)—The tech- nical pros and cons of Andrew W. Mellon's income tax case were light- ened Tuesday by a touch of the ar- tistic with the revelation he owns six ‘of the world’s best paintings for in- clusion in a national gallery he ex- pects to establish in Washington. Opening the fight against conten- tions of the government that Mellon owes more than $3,000,000 income tax planes | for 1931, Frank J. Hogan, the finan- cier’s counsel, made known Monday that in 1931 the former treasury sec- retary spent $3,241,250 for paintings, for which he should have been al- lowed some deduction. ‘The head of the Mellon financial empire, Hogan disclosed, has so far Spent a total of $19,000,000 for pic- tures and hopes through his gallery to make Washington a cultural center Had will outshine even London and is, Hogan said the following masters were purchased in 1931 from the hermitage collection in Petrograd: 7] & s BE “a i E s 3 Fa 8 Bince 1924, the German government has built 1,751,685 apartments and to house the poorer population of cme Mae Tae ee: Raper Ny by absent, Chancellor wi briegs. September peals existing in the rd, cancells in Reilly. Flemington.’ Hauptmann, tiggestion of delay. HAUPTMANN'S CASE GIVEN HIGH COURT; DELAYS EXECUTION Appeal Will Be Heard at Next Term of Errors and Ap- peals Tribunal ORDER COUNTY PAY COSTS Convict Breaks With Reilly; C. Lloyd Fisher Becomes Chief of Defense the state's highest tribunal, the court of errors and appeals. Chancellor Luther A. Campbell denied the ap- lication of defense counsel for an appeal to the supreme court which Hauptmann’s urgent plea for prompt action on an appeal stirred up ward J. Reilly, chief defense counsel. Over the objection of Reilly, Haupt- mann from the death house in state prison requested C. Lloyd Fisher, Flemington attorney and associate defense counsel, to start appeal pro- cedure Tuesday. Fisher was signed on by Hauptmann, then, as “my chief New Jersey counsel.” Crystalizes Ill Feeling Hauptmann’s action tended to crys- talize an uncertain state of affairs in ranks of counsel. Dur- ing the trial, reports of ill feeling between Fisher and Reilly were cur- rent. Reilly, after telephoning Egbert Rosecrans, another New Jersey de- fense counsel, said all appellate ac- tion would be delayed rayon Justice “inspired and the appointment with led man is scheduled to die within four weeks.” Reilly, “He and of New York, retorted: (Hauptmann) . T am sick and this double-crossing at who has sworn he is ® pauper, displayed impatience at C > can't have: ROOSEVELT TO VISIT Washington, Feb. 19.—(#)—Freed from any anxiety about the gold cases, President Roosevelt will leave Satur- day to visit his old alma mater, Har- vard, and see his son Franklin initiat- ed into that college's Fly club. The president was initiated into the Fly club some 30 years ago. Even Learned Supreme Court Minds Couldn’t Agree on Gold Questions * & But the potentialities were con- somewhat unclear and were divided. John M. Perry, 8 New Yorker who considerable law him- self, contended the government owed him $1.69 in devalued dollars for every old dollar he invested in government bonds. Chief Jus- tice Hughes, reading the majority report said the nt acted ut ul 3 ; | & £ i] 4 £ ef i ; FnGhE i i] [i He aE | 8 i eg: H § € i f z Wins Government’s Fight for Gold Clauses © ATTORNEY GENERAL HOMER 8. CUMMINGS One of the first administration leaders to express jubilation over the decision handed down by the supreme court in the gold cases, At- torney General Homer 8. Cummings, after a conference with the president late Monday, announced that no new legislative or admin- istrative action on the monetary situation was considered necessary. Before the decision was made public, the attorney general had an- nounced that the administration was prepared to meet “any emer- gency” which ht result from the court's ruling. | Belfield Man Uses | Dole to Speculate ° oJ Chicago, Feb. 19.—(7)—James J. Cherry, assistant state’s at- torney in charge of the “blue sky" division, announced Tues- day a Belfield, N. D. man had sent in a federal relief check to speculate in wheat on the Win- nipeg market through a Chicago grain trader. Cherry said he found a $11.25 relief check made out to An- drew T. Sterling of Belfield, along with some correspondence, in raids on two offices operated by C. D. Danley, a trader. The raids were made, Cherry said, after receipt of a number of complaints, one from the Kan- aas City better business bureau, telling of advertisements offering an option on 5,000 bushels of wheat for $10. Cherry said Danley would not. be prosecuted as he contended he reimbursed the amount. Italy Rejects Terms ’ Offered by Ethiopia Rome, Feb. 19.—(7)—Ethopia was accused by a government spokesman. Tuesday of putting unacceptable con- ditions in the way of concluding a Preliminary agreement for establish- ment of a frontier neutral zone in the region of recent Italo-Ethiopian hos- tilities. As & consequence, the spokesman said, Italy may find it necessary to take “precautionary measures of a stronger nature.” ‘The official source said it was not true as had been previously reported at Addis Ababa that an agreement had been reached on creation of a neutral zone. “We suggested to the Ethiopian gov- ernment,” he continued, “creation of @ neutral zone and they have more or less agreed in principle, but with certain conditions. “These conditions, however, we can- not accept. So we have replied to that effect and hope to get a settle- ment without these conditions.” Cream Price Case Is Heard at Beach Beach, N. D., Feb, 19.—Charges of HE by tory it, was bound over to the district after prelimindry hearing be- Justice of the Peace A. M. Stod- Dickinson firm is charged paying a different price at its than was paid to shippers from nm Valley county. H. L. Peter- , inspector for the regulatory de- it asserted that the price at door’ for No, 1 sour gill wit cream on Sept. 21, 1934, was 21 cents, | only to Smith while C. and ©. T. Bryant paid in Golden | |day to give the lawmakers some facts "'BOTTINEAU GROUP SAYS LAWMAKERS Assert Forestry School Needed to Aid Proposed Shelter- belt Development Contending that facts regarding! the usefulness and activities of the) State School of Forestry at Bottineau | have been misrepresented to the leg-} islature, a delegation from that com-: munity appeared in Bismarck Mon-{ on the situation there. | The forestry school is one of the number which it has been proposed | to close in the interests of economy. | The Bottineau men said bluntly they thought it would be poor econ- | omy to close this institution in view) of the fact that it is training men for work which North Dakota needs and for whom there will be increas- ing demand as the proposed federal} shelterbelt project gets under way. William E. Dyer, editor of the Bot- tineau Courant and a member of the delegation, said 35 square miles of trees have been authorized for plant- ing in North Dakota this year and 500 square miles have been authorized for next year. One of the major handicaps in the shelterbelt project is the lack of trained men, he said, and it is this shortage which the for- estry school can supply. Registration Is Rising Registration at the school now is 152 of whom 46 are in the forestry school. The remainder are taking junior college work or high school courses, but many are expected to transfer to the forestry school as soon as preliminary educational require- ments are met. Commenting on allegations that the forestry school is attended largely by high school students, Dyer denied that such was the fact and said the only basis for the report was @ co- operative arrangement between the joreelry school and Bottineau high school. reduction in the number of teachers and the elimination of music, eco- that ‘bra, students by the high school instruc- mercial instruction. Interest in the school and the de- been received for next year. Claim that the school is ARE MISINFORMED, or Reduced appropriations forced a algel be taught to forestry school tors and the college would accept some high school students for com-| these mand for its training is indicated, cations for entrance already ve i i ‘MONEY BLOG OPENS “NEW DRIVE 10 CUT ~ VAWUEBY 28 CENTS Experts See Potential Legal Battles by Bondholders to Recover Losses ADMINISTRATION JUBILANT. Some Democratic Leaders View Decision as Definite Brake on Inflation Washington, Feb. 19.—()—Amid the New Deal jubilation and world ex- citement over the 5 to 4 supreme court decision, under which all debt- ors could continue Tuesday to pay their gold clause obligations with pres- ent paper money on @ dollar-for-dol- lar basis, there arose these develop- ments: 1. Some experts saw potentialittes for fyture legal battles by holders of government gold bonds who might go {into court seeking to show they had suffered actual losses in Power by the government's abroga- tion of the gold clauses. This view was based on the idea that the supreme court left the door ajar for future litigation when it ruled that congress acted unconstitu- tionally in wiping out the gold clause in government bonds but that John M. Perry of New York, the petitioner in the case, had not shown or sought to show that he suffered damages. Reactions Abroad To Gold Decision | (By the Associated Press) || London—Financial markets in- | terpreted the supreme court de- | cision on gold clauses in bonds ; a8 removing recent uncertainty | | and stabilizing the market. The stock exchange supported trans- || Atlantic issues. Paris—French financial sources Said the supreme court decision would contribute to the stability of all currencies. Berlin—The German press saw the decision as a victory for Pres- 1} ident Roosevelt. Stockholm—Prof. Gustav Cas- sel, gold authority, said the decie || sion “has the greatest moral sige i| nificance.” Rome—The stock exchange, isolated by government regula» tion, showed no important changes. Moscow—The Soviet unton ;| Showed no interest whatsoever in {| the supreme court's findings, the reyepeners not even mentioning i Capetown—Union of South Africa. markets firmed and the government is expected to hava an $11,000,000 surplus due to gold taxation. ; _ Geneva—League of nations exe | parts said the court decision | would stimulate the stabilimation of conditions in the United Stetes | and abroad. | See More Legislation 2. While President Roosevelt war “gratified,” secretary Morgenthau de- clared himself “very much pleased” and the administration tossed aside all its elaborate plans to meet an ad- verse decision, there was much specu- lation over the possibility of a new legislative step. Observers watched to see if the government would make j@ny move to withdraw from holders of United States bonds the privilege of suing in the court of claims to col- lect damages. 3. Senate inflationists, led by Sen- ator Thomas (Dem. Okla) started a new movement to drive the value of the dollar still further down. Thomas praised the court decision, declaring it shows congress has “unrestrictable Power in handling money.” | 4. Some other Democratic legisla- jtors thought the decision might be | viewed as @ brake on any inflationary tendencies. 5. A firm opinion that a bond- holder would find it impossible to Prove damages unless congress later jorders the bonds redeemed in gold and Permits a free market in that metal was expressed by an administration ing that governm: of its wn bonds was end might constitute breach of contract a 8 Fs sitet Blue iit gee