The Daily Alaska empire Newspaper, June 28, 1932, Page 1

THIE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME" OL XL., NO. 6068 VMI'MBER OF ASSOCIATED PRESS PRICE TEN CEN TS WALSH DEFEATS SHOUSE -FOR PERMANENT CHAIRMAN E.H, WILEY 1S CHARGED WITH BOLD HOLD-UP Said to Have ve Confessed to Daring Robbery of Se- attle Post Office IMPLICATE VETERAN; $28,500 1S OBTAINED Former Local__Salvage Op- erator on Islander Wreck Arrested SEATTLE, June 28.—Postal In- spectors announced today that El- bert Huston Wiley, a deep sea sal- vage operator of Olympia, Wash- ington, had confessed the daring $28,500 Seattle Post Office rob- bery of six months ago. The inspectors said Wiley's con- sion implicated Edgar A. Chit- )d, veteran assistant in the Se- attle Post Office. Both Wiley and Chitwood have been placed in jail. y's wife, and Wiley’s brother, estioning. Wiley, his wife and his brother were arrested at the Wiley home in Olympia and brought here. The robbery was one of the quietest and most successful that has ever been pulled off in Seattle. A lone bandit entered the money order department as that office closed for.the day, scopped the re~ ceipts into a satchel, walked out, mingled with the crowd in the lob- | by and disappeared. ALLEGED ROBBER IS WELLKNOWN IN JUNEAU E. H. Wiley, arrested in Seattle for alleged robbery of the Seattle Post, Office, is well known in Ju- neau where for several years he was engaged in attempting to sal-| vage the treasure supposed to be in the hulk of the wreck of the | Islander at the south end of Doug- las Island. He was a quiet, un- assuming man and generally well | liked. His wife is said to be a fascinating woman and the two, it is said, were constantly together. He was the inventor of the diving bell used at the scene of the Islander wreck and was an €x- perienced di DEMOCRATS AT CHICAGO; BILLS BEING DELAYED Senator Moses Unable to Get Quorum—Senate Taking Recess WASHINGTON, June 28.—Unit- ed States Senator George H. Moses, in a formal statement last night, charged that the absence of Demo- cratic members of Congress Who have gone to Chicago to attend the Democratic National Convention, had brought the progress of im-| portant legislation to a standstill. Senator Moses said the appro- priation bills must be passed by the end of the fiscal year, Thurs- day, otherwise the “Government must run its face for necessary ex- pense money until the Congress- jonal idlers can take up their al- loted tasks” Twice yesterday, as presiding of- ficer, Senator Moses counted Sen- ators present but no vote was ord- ered as there was no .quorum. ‘When unable to summon a quorum, the Senate adjourned. “THE FOX” IS UNDER ARREST NEW YORK, June 28—Norman Whitaker, otherwise known as “The Fox,” through whom Gaston B. Means pretended he could effect the return of the Lindbergh baby, was arrested last night as a fugi- tive from Washington, D. C. He is wanted in the Capital City on charges of conspiracy and grand larceny. Spmng Surprises at Democratic Meet JOHN J. RASKOR Chairman of the Democratic National Committee who made a speech from the fleor of the convention yesterday afternoon declaring the time had come to do away with the reign of dry laws. i | DAV -fMllPflclh WALSN Delegate to the cl)nvenflon from Massachusetts who ad- dressed the convention yester- day afternoon in an impromptu speech urging repeal of the Eighteenth Amendment. AGREEMENT ON TWO MEASURES NEARING NOW {Senate, House Conferees Getting Together on Relief, Economy WASHINGTON, June 28—The spirit of give and take over reliel and economy measures pushed Congress a little nearer to a pos- |sible adjournment by next Satur- !(lay. | Conferees are reported to have reached a near agreement on di- rect relief loans to states and ser- jously considering allocating $200,- 000,000 of the $300,000,000 fund on |a basis of population as the Sen- ate Wagner bill provides, letting the Reconstruction Finance Cor- poration dispense the remainder as needed. While so near an agreement on this point, the conferees studied other aspects of the relief bill, particularly those items increasing the capital of the Reconstruction Finance Corporation and providing for public works construction fi- nanced by bond issues. THUMBS DOWN, HOOVER'S PLAN LONDON, June 28—The British Cabinet is understood to have turn- ed down, more or less, diplomatic thumbs on President Hoover's dis- armament proposals. The British Cabinet members agree the plans does mnot provide enough naval Jvessels for the need of the Empire. |Oregon. | Governor a-r;d_ ARC. Of [SILENCE REIGNS ABOUT TRANSFER OF COMMISSION ficials Without Official Information on Move No word had been received here today as to the date of the trans- fer of the Alaska Road Commis- sionu's activities to the Interior Department in accordance with the Senabe bill that yesterday passed the lower House of Congress and which is certain to receive Presi- dential approval since it has been labeled an administration meas- ure. Secretary Wilbur, who informed the Senate Committee the Imter- | ior Depantment would put the work |in the hands of Governor Parks, has not informed the Governor of the next step to be taken nor when it will occur. Alaska Road Commission headquarters were also without official advices on the sub- Ject. | Neither the Governor mor the Commission knew if the bill car- ried an emergency clause to make it immediately effective, or wheth- er the present organization would continue to function for 90 days | which Would cover the active field eason. Until some official advic- es are had from Washington, no | details on the transfer and the new administration will be avail- able. It is understood, however, *irom Secretary Wilbur's letter to the - Comfrittee several -weeks ago; |that the Department plans to re- |tain all of the present civilian | personnel. The Army officers com- | posing the Commission and junior | officers attached to its staff will, of course, be ordered back to Army engineer ogranizations for duty| whenever the transfer is effected. It is believed the change in ad- ministration authority can be made without any serious interruption| to this season's work if it should| be mecessary. It is a Iuregoncl conclusion that there will be little delay in establishing a toll system | on Richardson Highway inasmuch as that is generally regarded Bas| the principal reason why the trans- fer was made by Senator R. B. Howell, its original sponsor. Roads In Fine Shape The Interior Department will re- ceive the roads in fine shape. This was disclosed by Maj. L. E. Atkins Engineer officer and Tke P. Taylor, Senior Engineer, who returned| yesterday from an official inspec- tiori of the more important roads of the system. The damage resulting from the annual Spring breakup, aside from the washouts of bridges and cul—. verts, was the lightest in the Com- mission’s history. This averted the expenditure of considerable sums of money that normally have to| be made to repair the damage| done by the seasonal thaws, it was| pointed out by them. Crews are already engaged in annual mx.in-‘ tenance operations on all existing | roads now in use. The two engineers went over McKinley Park Highway, the Fair- banks road system, Steese Highway, Richardson Highway, and the new route from Gulkana to the Na- besna district. The new road is passable for automobiles out to| Slano, a distance of some 60 miles which was as far as they went. —r———— STRIKERS FIRED ON, MAN KILLED | uncertainly steel |United States Steel 21%. | = SAYS STRIKE This group of bocsters for Gov. Franklin D. Roosevelt's Presi- dential candidacy is the office force which are operating the New York Governor's campaign headquarters at the Democratic Na- tional Convention. They are shown upon their arrival in Chicago. SHARE MARKET HAS UPS, THEN | Allied @hemical Pays: Divi- dends—Many Issues NEW YORK, June 28.—A mix- ture of good and bad news today sent the share market with rather downward dip. After mid-day momentarily. At the opening, the shares push- ed up briskly as shorts were sur- prised by the payment of the regu- lar dividend by Allied Chemical but weakness of Coca Cola, followed by Santa Fe, soon carried the list off. Coca Cola dropped three points and Santa Fe more than two points to the lowest since 1890, as mno action was taken on dividends. American Telephone and TUnion Pacific sagged a point or so. United States Steel, common and preferred, sagged fractionally to new lows after showing gains of ¢ point. Gains of 3% points in Allied Chemical and more than 8 in Au- burn were largely lost. American Can lost upturn. General Foods, Norfolk and West- ern were steady. Rails generally had intervals of firmness. | a decided | the list firmed j a 2 point CLOSING PRICES TODAY NEW YORK, June 28.—Closing quotation of Alaska Juneau Mine stock today is 8%, American Can 31%, Anaconda 3%, Bethlehem 7%, Curtiss-Wright 7%, Fox Films, no sale; General Motors 8, International Harvester 11%, Ken- necott 5%, Packard Motors 1%, MORGANTOWN, West Virginia, June 28.—One man was killed and seven wounded when a gun bat-| tle started at the Maidville Mine| |of the Kelly Creek Colliery Com-| pany late yesterday. Dr. W. S. Howell said a guard fired on a group of men as he was driving past the mine. He stopped and administered aid. { Herbert Vance and J. R. Thomp- | son, guards, have been arrested. The disorder is the first since the strike was called two weeks ago. ————— SOUTH FOR SUMMER Mrs. G. F. Freeburger and daughter Deris left on the Prince | Robert this morning for the South. They will spend the summer |Elwyn Swetmann, druggist, has ar- IS RICH ONE SEWARD, Alaska, June 28.— rived from Nuka Bay and an- nounced that an inspection of the Babcock-Downe stope, the original scene of the recent strike, reveals six inches of ore so rich that it is being milled down on canvass. “The richness of the ore is un- believable,” said Swetmann. The strike was made 200 feet from the portal of the tunnel Swetmann and others are fi- nancing prospectors to go into the district and sounded a caution against a stampede of any but those financed for at least one months in Portland and Seaside, year. DOWNS TODAY AT KANAKANAK Take Dip ! teetering | | Slugging two matrons into uncon- HOSPITAL GOES UPIN FLAMES No Lives Lost Bul Property | Loss Is Heavy in Kan- akanak Disaster The Indian Service hospital nt; Kanakanak, Bristol Bay, was to- y fire Monday af- led by radio-| grams received night by| Charles W. Hawkesworth, Acting| Chief of the Alaska branch of that organization. All patients were saved, but the body of Barney Cupsook, patient who died last Bun- day, could not be rescued and was cremated. Property loss was estimated at approximately $30,000. In addition a large stock of new drugs, for‘ use next year, some other supplies and personal belongings of the| staff, which numbered nine, were | burned. Establish Emergency Station An emergency hospital has been established in the newest of the buildings of the industrial school plant which has just been aban- doned by the bureau. This will be maintained and operated until funds are provided by Congress for @& mew hospital unit, it was an- nounced by Gov. Parks. “The Kanakanak hospital was one of the most important of such institutions maintained in The Ter- ritory for Indians and Eskimos,” he said. “It was the only one west of Seward and served a large area in Southwestern Alaska.” Dr. F. S, Fellows, Director of | Medical Relief and in charge of all the Indian Service hospitals, and is now making an inspection of them, was advised at Nulato of the disaster, Paul Y. Gordon, Director of Education, and N. L. Troast, architect, who are on the North Star at Bethel, were also notified by Mr. Hawkesworth and directed o return to Kanakanak and survey the situation Cause Is Unknown The cause of the fire un- is known. The flames were discov- ered in the basement shortly after 2 p. m. Monday and within two and one-half hours the entire building, constructed of wood, and the two near-by tubercular isola- | (Continuea on Page Eight) SLUG MATRONS, THREE ESCAPE June 28— SACRAMENTO, Cal, sciousness, three girl prisoners es- caped last night from the Detention Home of the Sacramento County J Hospital, {faith in his servants. | million tons of ore in sight,” the IS WITNESS AT HOAXER'S TRIAL Tells of Curtis's Alleged Dealings with Kid- | naping Gang | PROSECUTION HAS POINTED TESTIMONY Storm Prevails During| Hearing Like on Night | Baby Was Stolen FLEMINGTON, N. J, June 28.— | The prosecution of John Curtis Hughes, on obstructing justice charges, came into action late yes- terday after a jury was secured, Col. Charles A. Lindbergh being placed on the stand. In calm even tonés, the Colonel told of fantastic dealings the Nor- | folk boat builder said he had with | a desperate kidnaping gang, of| midnight meetings, waterfront jour- neys, threatening demands relayed by Curtis, and that the kidnapers “would sell the baby to the high- est bidder,” in gangland. Reminder of Tragic Night ‘Thunder crashed, lightning flash- ed and rain beat the windows of the court room as the Colonel tes- tified, reminiscent of the storm af Sourland Hills on the night Baby Lindbergh was snatched ,from his crib, “Col. - Litiaerghtd “reoital | sethid pointed toward proving the prose- ution's contention that #ughes, instead of “imagining” /dealings with supposed kidnapers,’ actually contacted with the intermediar-| les. Defense Objects The testimony proceeded under a barrage of objections of the de- fense attorneys who claimed their client was being persecuted and not prosecuted. Col. Lindbergh told of ‘Curtis aying the gang asked him to withdraw publication of the list of ransom bill numbers paid by Dr. John “Jafsie” Condon. Col. Lindbergh said Curtis took the credit of persuading the gang leader against selling the baby. VARIOUS OPINIONS FLEMINGTON, June 28. — Ed- mund Bruce, on the stand today, asserted faith in Curtis. Col. Lindbergh reaffirmed his Dr. Condon expressed no opinion about Curtis. He said Curtis had told him that he had disclosed a member in the Lindbergh house- hold as having aided in the kid- naping of the baby. Curtis told Condon that he thought the ser- vant was a woman. 600D STRIKE IS REPORTED NEAR CORDOVA iGlacier Eke Breaks, Washing Side of Mountain Away, Ledge Exposed CORDOVA, Alaska, June 28.— Fred Johanson, E. E. Smith and Emil Helekal have reported the discovery of low grade ore estimated to run $3 to the ton They staked 22 claims at Mile 41| on the Copper River and North western Railroad. The reported strike is two and a half miles from the railroad. It was discovered through the break- ing of a huge glacier lake which “washed the entire side of a moun- tain away, exposing a ledge 1800 feet wide and 1500 feet high. We traced the ledge a mile and one half back and estimate 3,000,000 three men claimed. Emil Helekal, Cordova business man, grubstaked Johanson and Smith. The trio said there is plenty of water power available and a per- fect site for a mill and camp, both of which were staked out. The ore is telluride sylvanite and free milling. Experienced men say if the find | holds out, it should prove to be the biggest gold mine in the world, THOMAS ). WALSH of Montan Elected to preside over the Democratic tion. National Conven- JOUETT SHOUSE Defeated for Permanent Chairman of Chicago conven- tion. WETS MAKING PROGRESS FOR REPEAL PLANK Revolt ' Assuming Propor- tions Surpassing Expec- tations Even of Leaders CHICAGO, I, June 28.—Last night and early today, a wet re- volt of surpfising proportions, even to the organizers, was moving on the Democratic National Conven- tion, demanding the repeal of the Eighteenth Amendment and im- mediate modification of the Val- stead Act. ‘The plank proposed by the Smith drive was launched by Senator Da- vid T. Walsh, of Massachusetts, who conceded, to his own astonishment in announcing the preliminary es- timate, that it showeq 20 states and territories behind the repeal, with a total vote of 566, within a dozen votes of a majority necessary | for adoption. However, the Presi- dential minded delegates were not | _SENATOR FROM MONTANA WINS CHAIRMANSHIP [Huey Long—D—elegation Is Seated from State of Louisiana TWO-THIRDS RULE FIGHT IS ALL OFF ‘Prohibition-ls—sue to Be Taken to Floor of Convention BULLETIN — CHICAGO, I, June 28.—United States Senator Thomas J. Walsh, of |Montana, was late this after- noon elected Permanent Chairman of the Democratic National Conven tion over Jouett Shouse. Alaska’s delegation voted for Shouse. The vote was as follows: Walsh . 646 Shouse 548 LONG DELEGATION SEATED CHICAGO, Ill, June 28.—Rally- ing their ranks, which had been shaken, Roosevelt supporters today won by a narrow margin the first test, the seating of Huey Long's Louisiana delegation and moving along toward the election of Roose- velt The supporters of the New York Governor are also backing Senator Thomas J. Walsh as Perm- anent Chairman of the convention. The Long contest was pressed to victory with almost the solid sup- port of the New Yorker's majority, plus a few who broke over from the opposition ranks of favorite sons. Whatever effect this may have eventually it appeared im- pressive toward the selection of Senator Walsh over Jouett Shouse for Permanent Chairman. Close friends of Shouse admitted he counted too many votes and would be defeated. Angry arguments accompanied the vote on seating the Long dele- gation. Alaska For Long Alaska’s six votes were cast to seat the Long delegation in the convention against the former Gov. Sanders's crowd. The Minnesota delegation, sup- porting Roosevelt, was also seated in preference to the anti-Roosevelt faction 'and showing Roosevelt's strength is gaining. Two-Thirds Rule The discussion over the two-thirds rule petered out in the committee which adopted the rules of the last convention requiring a two- thirds majority for nomination. The committee’s action on the two- thirds rule followed the action of the Roosevelt men in calling off all proposals for any change at this convention but the committee (Continuec on rage Eight) —el BRADLEYS HERE FOR SIX WEEKS {A-J Engineer Accompanied polled. | Neutral Plank A neutral plank has been offered by the Roosevelt leaders who | the platform be considered by the con- | ported to have proposed that vention after the nomination | Alaska is counted as fav to the first plank, direct with Hawail and the Phil also in sympathy with it | Major Battle | ‘The major battle, accor to | early morning repo: red today over the proposition under redoubled sive of ring leaders, t was wa h0se enemies of Roosev and those | who are his suppor | It suppor battled des- perat to hold eir lines as| multiplying troubles were brought | right up to the opening of thel second days’ session of the conven- tion, fight on a permanent chair- man, writing of the convention rules and reports of the Croden—‘ (Coulmucd on Page Eight) | Aleutian. G lAugust by Mrs. Bradley and Daughters Arrives To spend six weeks here going ough the Alaska Juneau work- s and studying progress in its ig development program, P. R. Bruilcy, Consulting Engineer for fhe Alaska Juneau Gold Mining Company, and affiliated compan- arrived today on the steamer He was accompanied by Bradley and their two daugh- , Ruth and Frances. This is the first visit Mrs. Brad- ley and the “twins” here in sev- eral years. They are guests at the ineau. Mr. Bradley will not go to the Yukon Territory this year. L. Wernecke, superintendent of the Treadwell-Yukon Company’s plant Mrs. |at Wernecke, will come here in the near future to confer with him. The, Bradleys will return south about the end of the first week in PREIPRO 2 | |