The Daily Alaska empire Newspaper, December 1, 1933, Page 1

THE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” OL. XLIIL, NO. 6509. JUNEAU, ALASKA, FRIDAY, DECEMBER 1, 1933, MI:MBER OF ASSOCIATED PRESS PRICE TEN CENTS SMITH KEEPS UP TIRADE 0 $. POLICIES, Secreta rivTckes Comes| Right Back and Ham- mers it in \ WASHINGTON, Dec. Smith the Public Works Adminis- tration is a “failure.” To Harold L. Tckes, Secretary of | the Interior, Smith is nurishing a graudge as the result of disap- pointed ambitions.” Both have made their state- ments. Smith gives his opinion in an editorial in the New Outlook and Ickes in answering. Smith says the P.W.A. is top heavy structure choked bureaucrcy and red tape.” Ickes replied: “Smith, in per- mitting his resentment against| the Administration, has run away | with his judgment. He is appar- ently under an illusion and coin-‘ ing sarcatic phrases. The Public Administration has func-| ed efficiently to date and in of Smith will survive his t mn.b\\r»’ i NRA POLICY TO BE USED HERE 'S ANNOUNCED Johnson Outhnes Plans for Extension of Code System to Alaska WASHINGTON, Dec. 1—In a pronouncement by NRA officials of a policy for Puerto Rico, de- scribed as equally applicable to Al- aska, Gen. Hugh Johnson, Admin- istrator, disclosed the formula for extension of the recovery move- ment to the Territories and pos- sessions of the Nation. Codes already approved for con- tinental United States may be adopted in Alaska, but othcr codes “crazy, with will be adapted exclusively for Territorial industries and trades that e local. Three classes of public hearings will be held in each of which the management, labor and the con- suming public will be represented. The method of procedure at these ‘hearings will be announced in a few days. The delay in carrying NRA into the Terrifories and pos- sessions was due to the desire of the Administration to set prece- dents here and test them as mod- els to be followed with alteration for the. NOTED BANKER PASSES AWAY IN PITTSBURGH . B. Mellon, Brother of Former U. S. Secretary of Treasury, Dies PITTSBURGH, Pa., Dec. 1—R. B. Mellon, aged 75 years, President of the Mellon National Bank, broth- er of Andrew W. Mellon, former Secretary of the Treasury, died here today. He had been in fail- ing health for over a month. Richard Beatty Mellon was A member of the noted family of pusiness men and financiers whose activigies were known in all parts of the world. Like his brother, Andrew W. Mellon, former Secre- tary of the Treasury under Presi- dents Harding, Coolidge and Hoov- er, he was a banker, but his inter- ests reached out in many direc- tions, taking in business, civic, railroad, educational, humanitarian and other projects. Throughout his active life, Rich- ard Mellon held to his father's theory of banking—extension of fi- nancial aid to industrial, mining and commercial projects. Of a quiet, reserved manner, he never sought public position, but Pitts- burgh as a whole knew of the bur- dens he shouldered and credited him with responsibility for the prosperity of many of the indus- trial and mining projects of the district: Born in Pittsburgh on March 19, 1858, Mr. Mellon’s interests cent- 1 1—To Ali Gala But Orderly Receptwn N ' Planned for Bacchus Tuesday; | AT GOV, ROLPH Many States Ready for quuor WASHINGTON, Dec. 1.—Bac- that old Roman Diety of comes out of retirement next Tuesday. Many states are bustling to make his reappearance a gala ev- ent, but orderly and legal withal. A survey of the liquor situation | shows several states are ready with DIMOND SEEKS | BACK PAY FOR RAIL WORKERS Combines tgwith Effort to Eliminate the 15 Per Cent Cut WASHINGTON, Nov. 18.—(Spec- ial Correspondence)—Gen. Hugh S. Johnson is striving to have a sep- arate study made of living costs in Alaska so that it can be con- clusively shown that all Federal' employees there are entitled to immediate restoration of the 15 per cent wage reduction. Delegate Dimond has joined with national officers of several of the railway brotherhoods in an effort to not only rescind the cut as it applies to Alaska Railroad employees but to give them back pay to the full amount of what they would have received had no reduction been placed in effect. A brief has been presented to Secretary of the Interior Ickes by the brotherhoods requesting such action, and it has also been ap- |proved by the Delegate. The others are Arthur J, Lovell,| signing it Vice-President of the Brotherhood of Locomotive Firemen and Er ginemen; G. W. Laughlin, Assi ant Grand Chief of the Brother- hood of Locomotive Engineers; W. G. Johnson, Vice-President of the Order of Railway Conductors; A. F. Stout, National Representative of the Brotherhood of Maintenance of Way Employees; E. L. Harrigan, Deputy President of the Brother- hood of Railroad Trainmen, and L. M. Eddy, Vice-President of the Order of Railroad Telegraphers. Text of Brief The brief sets forth in part: “1. While the members of the organizations whom we represent in the employ of the Alaska Rail- road are in the service of the United States, their wages are not fixed by statute. The wages or compensation of these employees were arrived at by an agreement| negotiated by the organizations and the then Secretary of the Interior, Hon. Hubert N. Work, signed by the then Gerieral Manager, and its pro- visions were faithfully kept, both by the United States and by the several organizations and their members in the employ of the Alaska Railroad, until the passage | of the Economy Act of 1932. . . . “3. The agreement so made in 1925 has never been modified with the consent of the employees of the Alaska Railroad affected, and, in fact, their consent has never been asked. When the Economy Act of 1932 went into effect, the reductions therein prescribed of 8 1-3 per cent of the compensation of the employees of the United States, was applied to all in the service of the Alaska Railroad. . In Separate Class “5. The transportation employees of the Alaska Railroad have never been considered as ordinary United States employees is proved by the fact that they have never enjoyed the usual benefits and privileges granted to Federal employees, such as 30 days annual leave, cumulative for a period of several years, sick leave, or retirement insurance. Until the passage of the Economy Act of 1932 they were considered in a separate class, for it was well known and understood that their wages and hours, for the terms of employment had been arrived at by negotiation and compromise, that were not employed pursuant to the law at a fixed statutory salary, as is the case of other em- | ployees of the United States. More- over, the increases of pay made from time to time for other Fed- eral employees have not been ex- tended to transportation employees of the Alaska Railroad. . . . “7. There is nothing unfair or inequitable in maintaining the rates of compensation for these men as they were before the reductions made by the Economy Act of 1932 and 1933, for the cost of living in the Territory of Alaska -is both "7 iContinued on Page Four) (Continued on Page Two) regulatory legislation for the day on which the Twenty-first Amend- Amendment becomes effective. Other State Legislatures are busy enacting measures to permit con- stituents to quaff liquor on De- cember 5. To some commonwealths the day will mean a big thing. Alaska Rulmg [On Liquor Issued By P. O. Dept. WASHINGTON, Dec. 1.— The Post Office Department has listed Alaska among States and Territories into which liquor advertisements cannot be mailed or liquor orders solicited, under the Reed law of 1917. STOCKS G0 UP EARLY IN DAY - THEN SLUMBER Government Securities Given Boost—Alco- hols in Demand NEW YORK, Dec. 1.—United States Government securities led a moderate rally in bond prices today and a broadened demand for alcohol stocks gave the curb a firm appearance. to around three points the Stock Exchange were pared. After the moderate early rush, stocks went to sleep. The close was steady. two cents. Advances of fractions to around one point were retained by Unit- ed States Steel. Dupont, National Distillers, American ard Oil of New Jersey, U. S. Smelting, Chrysler, Allied Chemi- cal and Alaska Juneau, American Telephone and Telegraph dropped a point following word from Washington that the wage and working hours agreement will be enforced against the company. CLOSING PRICES TODAY NEW YORK, Dec. 1.—Closing quotation of Alaska Juneau mine | stock today is 23, American Can | 98%, American Power and Light 6%, Anaconda 14%, Armour B 2. Bethlehem Steel 33%, Calumet and Hecla 4%, Colorado Fuel and Iron, no sale; Curtiss-Wright 2%, | Fox Films, no sale; General Mot- ors 32%, International Harvester 41: Kennecoft 21%, Chicago and | Milwaukee (preferred) 8%, Stand- ard Oil of California 41%, Unit- ed States Steel 44%, United Cor- poration 5%. GANDHI CONVERT SEEKS THRILLS; */QUITS SEMINARY NEW DELHI, India Dec. 1.— Nila Cram Cook, American woman who fled from Gandhi's Seminary in ‘“search of thrills” has been ofered a movie contract. Despite Ganhi's request she re- turn, she said she was finished with the “rigid life. I want to speed. I want to fly. I want to at- tend a place where there a red hot orchestra and dances.” Red bricks on which she told of sleeping on in the seminary contributed to her change of heart. “A flutter caused by méeting |a man with beautiful eyes and | brow had something to do with |it, too,” she said. is |Juneau Girl on Prom Committee of College OREGON STATE COLLEGE, CORVALLIS, Dec. 1.—Alice Mer- ritt of Juneau, junior in home economics at the Oregon State college, was recently appointed on the programs committee for the Junior Prom, annual all school formal to be held during the win- ter term. Selection of the queen this year is fo be made by the men of the junior class. Maost of the early gains of one | made on| ‘Wheat dropped one to around. Can, Stand-| while| REBUKE AIMED OF CALIFORNIA San Francisco Chamber of .Commerce and Hoover Launch Attack SAN FRANCISCO, Cal, 1.—The public rebuke for James Rolph Jr., Hoover's name was signed, sifies the crossfire of Dec. Gov. ed that the state disgraced in the eyes of the world by the brutal oufburst of primitive lust for vengeance, and the Jlaudation coming from the Governor undermines the very foundations upon which all civ- ilization is built.” COMES RIGHT BACK SACRAMENTO, Cal, Dec. 1.— Gov. Rolph has replied to the San Francisco Chamber of Commerce and Herbert Hoover attack by aim- ing criticism at the Hoover Ad- ministration for the use of troops against the bonus marchers in ‘Washington. “I deplore the use of troops against our own people. Look at the mess we got into when troops were called out in Washington, D. C. against the bonus marchers— men with guns and bombs were sent out to attack good American .citizms. our World War veterans who fought for the United States,” said Gov. Rolph. Trade Tem Slows Down During W eek Caution Ap@s but Con- sumer Demand Is Still Keeping Up I NEW YORK, Dec. 1. — The general trade tempo is slow- er this week and the element of caution appears to be tam- pering with both commercial and industrial operations, said the weekly Dun-Bradstreet Inc. review today. The review said however, that a slower rate of gain, in comporison with that of ear- licr weeks of the past month have ‘“been compensated to some degree by stronger con- fidence in a more stable up- swing.” The slowing down of the consumer demand was not pronounced in the week. AUDIT SHOWS UP FRAUD IN | 1 DEPARTMENT Examiners File Report on Washington State Highway Branch OLYMPIA, Wash, Dec. 1. Fraud, extravagance and favorit- ism in rights-of-way transactions of the State Highway Departmnm during the past biennium is cited in the examiner’s report filed W | the State Auditor as part of the general Highway Department au- dit, The examiners, according to the| State Auditor, promises to “dis- close the most notorius example| of extravagant waste of nL\'I" funds which has yet come out, both in the degree of exorbitance and magnitude of the expendi-| tures.” | | Report Is Made on Chain Store System by Fed. Commission WASHINGTON, Dec. 1. — The suggestion that the stronger abil- ity of cham stores to cut pric under their competitirs may b2 unfair trade practice, is contained in the Federal Trade Commission’s report on its investigation of 1 chain store system of retail dis- tribution. to which Herbert inten- criticism over the San Jose lynching of the two kidnapers and slayers of Broke Chamber of Commerce and declar- very spirit of the Government was violated and the UNITED STATES) » POLICIES GIVEN STRONG DEFENSE Ambassam Bingham Makes Stirring Address to British Audience LONDON, Dec. 1.—American Am- bassador Robert W. Bingham, in a Thanksgiving Day address here, de- fended the American monetary and naval building policies. He said the United States was operating an equalization fund for protection of Hart, the dollar the same as England The statement was issued|was operating a similar fund for through the Presiddnt of the|protection of the pound. Later, Ambassador Bingham ex- plained to the Associated Press, his remarks referred to the fifty mil- lion dollar Reconstruction Finance Corporation fund for buying newly mined gold. The Ambassador's address regarded by many as the most im- portant speech on Anglo-American relations made since he took his post. SENATOR BORAH OFF AGAIN ON ANOTHER ANGLE Is for Rer_n—o—r;tizalion of Silver — A. F. of L. Makes Statement ‘WASHINGTON. Dec. 1.—Disclos- ure that the Government has used only a fraction of its fifty R.itliondobar-fund for gold buying in the slightly more than one month’s operations, caused a vig- orous and new demand from Unit- ed States Senator William E. Borah for remonetization of silver. The exact figures are withheld on the Reconstruction Finance Corporation’s actual outlay for newly mined domestic gold and gold bought abroad but official quarters describe the amount as nothing like the amount yet set aside, estimating that perhaps on-| ly one half has been used. A F. of L. Statement At the same time the American Federation of Labor added anoth- er element to the situation with the statement in the monthly re- port on the review of business that “uncertainty over the dollar’s future and the fear of fiat money will retard business advance. The President’s mefhod of devaluing the dollar by stating fthe gold price daily differs greafly from inflation or fiat money. The Federation also found the beginning of improvement in ba- sic construction, steel and lumber industries, which brightens the horizon. - ALASKA ISLE IS ERUPTING DUTCH HARBOR, Dec. 1.—Re- ports from Kanaga Island said the Sitkin volcano is erupting. WHAT’S THAT? SEATTLE, Dec. 1.—A statement issued by the Coast Guard head- quarters here said perhaps Sitkin Island has turned into a volcano as there is no Sitkin volcano on Kanagan Island listed in the Geo- graphical dictionary. CARLISLE ARRIVES TO SPEND SOMETIME HERE To look after official business here, H. A. Carlisle, Chief Special Agent of the General Land Office and veteran in that service in the Territory, arrived here yesterday from Cordova on the steamer Yu- kon. He was accompanied by Mrs Carlisle. He expects to be here several days, making investigations. He and Mrs. Carlisle are guests at the Gastineau Hotel. B. C. Electiolu C;s; $3,000 per Candidate VICTORIA, B. C, Dec. 1 The British Columbia provincial election cost the rate-payers about $600,000, or more than twi much as an ordinary election. It cost about $3,000 per candidate. ;| to Seattle on business- which will PRESIDENT KEEP§ WELLES lN CUBA' } President Rooseveit and Sumner Welles, ambassador to Cuba, are shown at Warm Springs, Ga., just conditions leading to the President’ to keep Welles in Havana. (Associ was [— ICE CLOSES IN ON TWO BOATS, ARCTIC REGION Relicl Ship with Mssy Aboard in Peril—Ice- breaker Also Held MOSCOW, Dec. 1. nety men| and women aboard a ship jammed and battered by the Arctic ice for| two months, may have to abandon | the craft and take perilous refuge| on ice floes in the east Siberian sea, a wireless from the icebreak- er Chelisukin said. Everything is being made ready to leave the ship should further pounding necessitate abandonment, according to the radio from the| Chelisukin. | Five women have been taken breaker. The ship sailed from Murmansk August 10 to relieve a little col- ony of scientists who spent the previous winter on Davidoff Is- lands and became imbedded in the ice. The Chelisukin was sent to at- tempt a rescue and is also in a perilous position. There is a plane aboard the ship and this may be used to transport the passengers, members of the relief party, with their sup- plies to the island. FRED HAMBERG HERE ON M. S. DOROTHY ON WAY TO ALEUTIANS Fred Hamberg, for many years a resident of Juneau arrived here early this morning on the M. S Dorothy bound for the Aleutian Islands on a fur buying and trad- ing trip. The Dorothy is in com- mand of Capt. Edwin H. Larsen, veteran navigator of the far West- and one child aboard the ice- ern Alaskan waters with a crew of eight. This is the second trip to the Westward Mr. Hamberg has made on the Dorothy during the last year but is the first trip he has had an opportunity to stop in Ju- neau, as the trips are usually made directly to the West from Cape Ominey. The M. S. Dorothy is 107 feet in length with a beam of 22 feet and is powered with a 275 hp. Bolinder engine. Mr. Hamberg, who for a num- ber of years was with Goldstein’s fur store, has been manager and buyer for the raw fur department for the Hudson’s Bay Company in Seattle for the last twelve years. As soon as weather permits, the Dorothy will leave for the West- ward and Mr. Hamberg will take the steamer Northwestern to Ko- diak where he will rejoin the motorship to continue to the west- ernmost of the Aleutian Island groups. He expects to be away for about four months. - e — GEORGE A. LINGO WILL SPEND WEEK IN JUNEAU ON HIS WAY TO SEATTLE George A. Lingo, Territorial Representative from the Fourth Division and Tourist Agent in Mt. McKinley National Park, arrived in Juneau yesterday afternoon on the steamer Yukon. Mr. Lingo plans to remain in Juneau for a week, and continue on the Alaska keep him south for a’ month or six weeks. J before the conference over Cuban 'S announcement that he intended ated Press Photo) (yold Price s Soaring; ! $34.01 Tod(w Upward Mowcment Comes When Dollar, Govern- ment Bonds, Strong WASHINGTON, Dec. 1.—The gold price was raised again to- day by the Reconstruction Fi- nance Corperation for a new high of $34.01, an eight cent increase over last Wednesday’s figure, The upward movement came | at a time when the dollar and government bonds showed strength despite the recent rise of the Reconstruction Finance Corporation quotations. | Today's London price was 32.57. MAN ALSO HURT Husband’ Soughl in Con-v nection with Dynamite | Explosion, Farmhouse TACOMA, Dec. 1. — Mrs. Thel- ma Watson, aged 26, was injured | eritically by a dynamite explosion which shattered a farmhouse near Puyallup Wednesday. The explosion inflicted burns on/ her neck, arms and chest, and| caused internal hemorrhage. | suffered | Gilbert Kough, aged 40, head lacerations. James Watson, estranged husband of the injured woman, against whom Mrs. Watson’s divorce plea charged that she married him under threats and duress, was sought after the injured couple said that he was at the scene of the explosion just previously. Watson and Kough have had en- counters growing out of the latter’s association with Mrs. Watson. CONFESSES TACOMA, Wash., Dec. 1.--James Watson has surrendered and con- fessed to the dynamiting of the Puyallup house of his estranged wife. He is held on bail of $10,- 000. Mrs. Watson was Kough's house- keeper. Watson said: “If it had not been for the four-year-old boy of Mrs. Watson, by a previous mar- riage, I would have blown the| place to smithereens.” When arrested, Watson had sev- eral sticks of dynamite, a revolver and a pint of liquor. - TWO MEN INJURED IN AUTO WRECK ON THANE ROAD TODAY wilford Martinson and H. B. Polson are in St. Ann's Hospital T ving medical care for scalp | chine gun slayer WOMAN INJURED; MAY NOT LIVE; WILLIE SHARKEY, GANGSTER,TAKES OWN LIFE IN CELL Member ofT}uhy Gang, Recently Acquitted, Ab- duction, Is Suicide ST. PAUL, Minn,, Dec. 1.—Willie Sharkey, alleged Chicago gangster, hanged himself by a necktie in his cell in the Ramsey County jail during the night. Sharkey, with three other mem- bers of the Touhy gang, includ- ing Roger Touhy, leader, was re- cently acquitted by a jury in the Federal Court in the $100,000 William Hamm, Jr., kidnaping and ransom case. The members of the gang are now held on charges of the ab- duction of John (The Barber) Factor in Chicago. The gang members will be ta- ken to Chicago tomorrow. Sharkey is believed to have been mentally unsound. BATTERED, NUDE BODY OF VERNE MILLER FOUND Notorious MEeslern Des- perado Is Killed in De- troit—No Clues DETROIT, Mich., Dec. 1.—The police, without clues and theories, seck the slayers of Verne Miller, notorius midwest desperado, for- mer North Dakota sheriff and a { World War hero, whose battered nude body was found on the out- skirts of the city wrapped in blankets. Miller was sought as the ma- at the Union Station in Kansas City last June 17. KING GEORGE GETS THREAT; MAN ARRESTED lllegitimate Son of Duke Clarence to Have Hear- ing December 4 LONDON, Dec. 1. Clarence Guy Gordon Haddon, middle aged man, is charged with attempting to blackmail King George. Haddon told Scofland Yard of- ficials, “I do not see why I should be hounded for being the illegiti- mate son of the Duke Clarence,” who was the eldest son of King Edward the Seventh, then became Prince of Wales and the title be- coming extinct when he died in 1892.” The charge is that Haddon wrote a letter “demanding money from the King with menaces and with- out reasonable or probable cause. Haddon said: “I deny that I pleaded for the right to live.” Haddon will be Reld until De-« cember 4 for a hearing. Runs One Million Dollar Stake Up to Sixty-five Million WASHINGTON, Dec. 1.—The records of the Senate Commit- tee investigating the stock mar- ket and exchanges, disclosed how Harley L. Clarke turned a small stake, estimated at one million dellars in the movie business, into $65,000,000 paper fortune in five years. This was accemplished by the exchange of stock, he becoming President of the General Theatres Equip- ment, Incorporated, the holding company controlling the vast Fox Theatre properties and other companies. vounds, bruises and minor cuts, suffered in an accident this morn- ing, when the Ford car, recently P! hased by Mr. Martinson, in which they were riding, overturned on the Thane road near the Un- ion Oil Dock. The car was badly damaged, ac- cording to reports, but neither Mr. Polson or Mr. Martinson are con- tion. sldered to be in a critical condi- ‘hmm ’