The Daily Alaska empire Newspaper, December 13, 1934, Page 1

THE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” VOL. XLV., NO. 6830. WARNING IS SOUN SCHLESINGER 1S BELIEVED TOBE ALIVE Prominent Pacific Coast Man Is in South Am- erica, Wife Avers LOS ANGELES, Cal, Dec. 13— Lee Schlesinger, department store executive and member of a well known Pacific Coast family, drove his automwbile into the Columbia River at Vancouver, Washington, and then fled to South America, two years ago, because of financial reverses and not marital difficul- ties. : This is the opinion of Mrs. Schlesinger, expressed in a copy- right interview in the Los Angeles Examiner. Mrs. Schlesinger is living here with her parents. , She said she had been asked to join her hus- band in South America but said she had two children to consider. Schlesinger's auto was found in the Columbia River early one morning and an extensive search was made for Schlesinger's body it was believed he had met with an accident. His body was never found and the tragedy was never fully cleared up. Mrs. Schles- inger’s statement in the Examiner is the first apparent explanation of the “tragedy.” 6. 6. M'GREER | CHOSEN MAYOR OF VANCOUVER L. D. Taylor, Eight Times Chief Executive, Is Badly Defeated VANCOUVER, B. C. Dec. 13.— G. G. McGreer, advocate of mone- tary reform, has been elected May- or of Vancouver in an avalanche of votes, defeating Louis D. Tay- lor, .who since 1910 has been elect- ed Mayor eight times and held of- fice eleven years in all. McGreer polled 34498 votes, majority of 9,021 over Taylor. e ee— CONFERENGE ON NAVAL POLICIES 1S NEARING END Adjournment Is Expected i London — Future Sessions Next Year LONDON, Dec. 13.—Both Japan and the United States are court- ing Great Britain for a future bi- lateral naval accord, according to diplomatic circles. It is said this development is ap- parent with the current conversa- tions of the three powers on the threshold of an adjournment on naval issues. The conference may be resumed again next year if nothing comes of the present one. Great Britain representatives re- fuse to discuss the situation at the present time. — e —— ROSS A. GRIDLEY LEAVES FOR WESTWARD ON ALASKA a Ross A. Gridley, PWA Inspector Engineer, left for the Westward on the steamer Alaska Tuesday af- ternoon for a short trip te sewud] in the -interests of PWA business. He expects to return to Juneau on the southbound trip of the Alaska. “Jingle Bells” Played on Cash Registers WASHINGTON, Dec. 13—The nation’s cash registers MEMBER OF ASSOCIATED PRESS Dictatorship for France Is | Seen on Political Horizon in Parliament’s ‘Last Trial’| By JOHN EVANS ——— — — PARIS, Dec. 13—Dictatorship is on France's political horizon. 5 Even ex-Premier Gaston Dou- | : mergue was suspected by the left , wing of parliament of seeking “too : much personal power.” Edouard |} Herriot, who led his radical social- ists out of the cabinet, definitely charged Doumergue with “admira. tion” for the attempted coup d'eta of Marshal MacMahon, the only | man who ever dissolved the French chamber. That was Herriot's reply to Dou- mergue’s revelations that he knew | § the political factions planned to overthrow his government abou November 15. A week earlier Dou mergue forced the issue and Her riot’s desertion caused the collapse | of the “political truce” cabinet,| formed after the February riots. | Parliament’s “Last Trial” The possibility of dictatorship | got official attention when the new premier, Flandin, in his first ap- pearance before the chamber, warned that “we are now about to make our last trial of parliament in France.” | Privately, many public men say Fance must have a dictatorship to | save the country from swift disin- tegration through the “bankruptey of parliament.” Publicly, nearly all political lead- ers defend the republic. They de- clare for freedom as a principle, but admit freedom must be curbed for a time. “To Save The Republic” Doumergue, likewise, told the country in his radio talks, that his strong measures such as changing the constitution, were intended to save the republic. EDOUARD HERRIOT, Talk of a dictatorship is be- ing hcard in France following recent upheavals. Edouard Her- rict (above) ‘walked out” of the “pclitical truce” Cabinet of Premier Doumergue, forcing the latter’s resignation. throw of cabinets brought public When the left wing of his cabi- (net turned against him, bitter and | disillusioned he declared that poli- | ticians “had learned nothing” from the five weeks’ street fighting last February with a list of 28 dead and thousands wounded. ‘Widespread financial corruption, revealed by the Stavisky case, al- leged governmental waste and in- efficiency and the repeated over- unrest that exploded into riots. So grave is the situation that Flandin, before going to parliament with his new ministry first had the cabinet, as its initial act, prohibit all parades or demonstrations. Crowds nevertheless did form on the boulevards, shouting cutside the hotel where Herriot lives, “Herriot resign!” until police drove them away. for Army Air in Alaska; PEGUES SHOWS PRINCIPLES OF FHA DISCOUNT Complete Explanation of,5 Per Cent Interest Charge Given Additional information was made public today by Director John E. Pegues relating to the discount charges allowable for modernization loans under the provisions of the National Housing Act. In response to many requests, and to clear up misunderstandings, Oregon Senator Is Booster Defense Base Stefansson Aids i | ‘WASHINGTON, Dec. 13.—United States Senator Frederick Steiwer, Republican of Oregon, has joined the list of those predicting that Alaska will be included in any comprehensive plan for Army air efenses. Senator Steiwer said three major bases should be established on the Pacific Coast, one in Alaska and one in Hawail. , ALASKA MILITARY BASE | PITTSBURGH, Pa., Dec. 13.— Vilhjalmer Stefansson, Arctic ex- f plorer, looks to Alaska as the | United States most effective miki- | tary base in case of war with an | Asiatic power. | Stefansson told a group he was | addressing that “in the frozen Arc- tic regions, America will find a new frontier, an Economic Empire [in time of peace and a fortification | in time of war.” B e the Director issued the following | statement: Need for Clarification “I find there is much confusion and uncertainty about the stan- dard 5 per cent discount rate,” Mr. Pegues said. “In fact, a number of interested people, individuals who ments to residential property through this method of financing bhave been given the idea that in an 8 per cent interest rate is also paid. “This is entirely erroneous. Not more than 5 per cent discount can be paid undex the government's in- | sured loan plan. “The most simple and clearest | explanation of the whole plan was | that recently given by Mr. Roger Steffan, Director of Modernization. | addition to the 5 per cent discount, | STOCK PRICE FIRMER TODAY | ] | | NEW YORK, Dec. 13.—Stocks were firm, in spots, in trading to- day. Specialties showed the greatest activity. | Retail store issues were in de- mand and some mietals staged a | mild recovery. Most of the old line leaders grilt- ed lower. ‘Today’s close was irregular. were planning to make improve- | CLOSING PRICES TODAY NEW YORK, Dec. 13.—Closing Newly - Elected President Outlines 1935 Pro- gram of Work i Outlining a nine-point program for 1935, R. E. Robertson took over the office of president of the Ju= neau Chamber of Commerce at the regular weekly meeting of ti organization in Bailey’'s Cafe noon. Robertson, Juneau attorney, had Been elected to succeed C, T. Gard- ner at an election of the Executive Board Tuesday. Speaking briefly after business details had been cleared away and after several distinguished visitors had been welcomed, Robertson thanked the Chamber for his elec- tion and promised a vigorous pur- sual of a definite program for the general betterment of the. eity. “The year 1935 will be an im- portant one for Juneau,” Robertson said. action which we must foliow to continue the good work done in the past. Aviation has been our big objective in 1934. Although much has been done, we must not slack off in this work.” Nine-Point Program Robertson’s included the following measures: 1. Proper guard of local indus- tries and property in regard to probably measures presented at the coming session of the Territorial Legislature. 2. Realization of a small boat harbor for Juneau. 3. Immediate construction of public airplane hangar, £l 4. Purther construction of the Glacier Highway northward. 5. Development of new indus- tries which will serve Alaska con- sumers. 6. «Continued drive toward estab- lishment of a government aviation base here. 7. Co-operation with city gov- ernment officials in greater de- velopment of local community. 2 (Continued on Page Two) e ., PROSPERITY TO RETURN IN 1335 IS DAWES’ VIEW Former Vice-President| Bases Prediction on Steel Trends’ CHICAGO,. Dec. 13.—Real pros- perity to return next summer! That was the well-founded pre- diction made here today by Charles G. Dawes, former Vice-President of the United States and now a Chicago financier. Dawes made his statement fol- lowing an exhaustive study of the economic situation. “A wave of great recovery,” Dawes said, “will begin with a rush for durable goods next June or July.” Dawes based his estimate on graphs showing the trends in the pigiron and steel production prices both preceding and following the depressions of 1873, 1893 and 1929. It was explained that prices are | Loans Made Easy quotation of Alaska Juneau mine “In this Mr. Steffan said ‘On|Stock today is 19%, American Con August 9, twenty-four hours be-|106. American Power and Light fore Modernization Credit flashed 3% Anaconda 11, Armour N 5%, across the country, if a property |Bethlehem Steel 20%, Calumet and owner who had an established re- | Hecla 3, Curtiss-Wright 2%, Gen- lationship with a bank (including | €T Motors 31, International Har- a fair-sized checking account) had vester 37Y%, Kennecott 16%, United taken to the bank ample collateral, ;suu Steel 37%, Pound $4.94%. say government bonds, and had T been granted a small loen at 5 per{ Suicides in Virginia are largely |among the white population; the (Continued on Page Three) majority of homicides are negroes. following the same course in this depression as in the others, which is believed to mean that a gradual increasing production index in the steel industry is a forecast of a positive upward trend. “There are several lines of | | i These photos show scenes at the | | ' House; Battle General Lazaro M. Cardenas as nineteenth presi- dent of the republic of Mexico. president, General Abelardo Rodriguez, left, \Byrn; to Be Speaker of Next nine-point program | embraces his suc: the oath of office City. Cardenas i dent to hold offic inauguration of The retiring Is Started for . DemocraticFloor Leadership WASHINGTON, Dec. 13.—The selection of Representative Joseph W. Byrns, of Tennessee, as the Speaker of the next i drawal of Representative Sam Rayburn, of Texas, A bitter battle for the Democratic Floor Leadership mean- while broke out with Representatives John W. McCormack, of | Massachusetts, and John E. Rankin, of Mississippi, as the lead- | ing contenders for the moment. ") ;_l-lolue, was virtually assured last night by the sudden with- cessor, and right, Cardenas takes in the national stadium in Mexice s 39 years old, the youngest presi e in Mexico. SEARCH RUINS OF HOTEL FOR MORE VIGTIMS House Deadlock Broken by Tragedy—Demo- crats in Majority BULLETIN.—Lansing, Mich.,, Dec. 13.—It was officially an- iMay Be Forced to |Spend Christmas |Under Quarantine HORNE WAYNE, Ontario, Dec. 13.—Thirteen travelers to- day faced the possibility of spending Christmas here in- stead of in London. The thirteen have been quar- antined in a railway passenger coach because a man who occu- pied it for half an hour has been found to have had the smallpox. The coach has been switched to a siding for determination if the passengers could proceed. They may have to stay here if any cases break out. The thirteen are all booked for passage on a steamer bound for London. ———.-—— POST FAILED TO- BREAK RECORD, REGENT FLIGHT nounced this afternoon that the dead in the fire in the Kerns Hotel is 30. LANSING, Mich, Dec. 13.— As/ TWO OFFICERS | | UF GUVERNMENT | the sorrowful task of probing the ! ruins of the fire swept Kerns Ho- | A H E B E s l E G E D | tel went forward, Police said the| | death toll will be at least 26 per-| | sons. | [Relief Recipients in British Columbia Town Protest Twenty-three bodies have been recovered so far with sixteen not | Allowance Cut identified. | D. Knox died today as the result {of injuries received when he jump- ed from a window, making six state | Representatives and one state Sen- NANAIMO, B. C. Dec. 13.—Be- |ator lost in the flames, |sieged by Government relief recip-| The special Legislature continues. ients, including women, two British | The tragedy broke the deadlock, Columbia Government officials, J.|50 each, in the House, giving a ma- F. Carrigan and J. F. Edge are|Jority to t;;' Democrats until the still holding out against the be-| places of the' victims ean be filled. siegers and asserted they have food =t and will not be frightened out. ATTURNEYS FuR HAUPTMANN GET PRICE TEN CENTS NO BLOCKING INQUIRY WILL BE TOLERATED Bitter Fight Predicted in Congress Over Investigation PRESIDENT’S BOARD PLANNING PROGRAM Three Points Brought Out for Taking Profits Out of Future Wars WASHINGTON, Dec. 13. — A warning that any attempt to side- track the Senate Arms and Mu-~ nitions inquiry will lead to a bitter fight in Congress, has been made. This warning came from the members of the Senate’s Investi- gating Committee as President Roosevelt's independent move to make war profitless got under way, War Profit Program At the same time it became clear that the program to be drawn by Bernard ™. Baruch, named yes- terday by the President ds Chair- man of the Special Board, Gen. Hugh 8. Johnson and others, will center around three cardinal points in framing the special legislation, Should war break out prices will be “frozen” immediately to pre- ;vent skyrocketing. Heavy Taxation ‘! War profits will be seized by a | drastic taxation of 95 percent on |all income, figured on the previous three-year average. Machinery will be created for the swift mobilization of the Na- tian’s industrial resources in time of conflict. President’s Conference President Roosevelt announced | vesterday morning that a confer- | ence had been called to map out & ‘program to “take profits out of war.” He said the conference had | been called because the war clouds in Europe have cleared. Later in the day the President announced that Baruch, of New York, Chair- man of the War Industrial Board during the World War, had been named as head of the conference board. Other members, including Gen. Johnson, were announecd later WARTIME PROFITS WASHINGTON, Dec. 13.—Huge wartime profitd, ranging as high as 800 percent, were disclosed to the Senate Munitions Committee |today at the special hearing. The earnings of the Bethlehem Loading ’Company, in 1918, are given as | representing a profit of 362 per- cent and those of the Calumet and Hecla in 1917 as 800 percent. The investigators placed before the committee the figures from the Internal Revenue Bureau show- ing profits of scores of companies that ran from 120 percent of the invested capital to 362 percent. In many cases profits were made on the cost plus the contracts. In some POLICE TO RESCUE NANAIMO, Dec. 13.—Thirty po- lice officers last night dispersed the crowd and set the two besieged officers free. Neither had been harmed. FIVE HUNDRED The unemployed surrounded the ORDER OF COURT | | . offices last Monday after the re- FLEMINGTON, N. J,, Dec. 13— lief allowances had been cut from $21 to $16 monthly and refused to Justice Thomas Trenchard today denied the request of the defense work for this amount. |for particulars on the murder in- |dictment against Bruno Richard BARTLESVILLE, Okla., Dec. 13. —Wiley Post has been informed by the United States Bureau of Stan- dards that he failed to reach a suf- ficient altitude necessary to set a new ‘world’s altitude record in his flight last week. ‘The Bureau failed to inform him how high the instruments showed he had flown, Post said. New Phase of Recovery Béing Debated in W ashington; Two Things AreEspecially Needed By BYRON PRICE (Chief of Bureau, The Associated Press, Washington) Broadly speaking, three possible approaches to the next phase of recovery now are under debate in Washington. They are: 1. A mew program of govern- ment spending, so directed as ta give the maximum stimulus to pri- vate business, 2. Contraction of government spending to the lowest possible point, with a correspondingly larg- er reliance on private business to go it alone. 3. Inflation. The proponents of these various methods are aiming, in general, at exactly the same goal. They agree almost unanimously that two things are needed—revival of production in the basic industries, and a high- er velocity in the circulation of money. A reopening of mills and factories it is felt, would relieve unemploy- (vonimnued on Page Two) PERSONS DROP, "FLOOR CRASH Balcony Collapses at Con- cert Piling One Mass Upon Another LIVERPOOL, England, Dec, 13.— Many deaths were averted as 500 persons were dropped into a terri- fied mass, 14 feet to the floor be- low, when the balcony floor at St. | Clements school collapsed during a’ concert last night. One hundred and fifty persons were injured. Thirty three persons, mostly women and children, are in hospitals. A janitor named Dougherty pre- vented a major disaster by running into the basement and cutting off the gas thus eliminating danger of fire and explosion. ‘ e Mrs. John Nelson has moved into Seward from Mile 12 and will {make her home for the winter at| the Hotel Overland. Hauptmann but directed the State to fulfill the demands of the de- fense for the prosecution’s theory lon how the baby son of Col. Charles A. Lindbergh met death during the kidnaping tragedy. BANDITS KILL 7 AMERICAN Man and Wife, Kidnaped Slain—Fate of Their Baby Unknown SHANGHAI, Dec. 13.—Deaths of Mr. and Mrs. J. C. Stam, American missionaries, of Paterson, New Jer- instances cash was advanced to the companies by the Government to finance their production. - U. $. SENATOR REPORTED ILL, PHILIPPINES MANILA, Dec. 13.—United States Senator William Gibbs McAdoo has been taken ill at Iloilo, Panay Island, after a flight from here. An unconfirmed report said “ap- pendicitis” but physicians said there is nothing to worry about. The Senator needs a rest. — e Oscar Dahl, famous northern placer gold operator, left Seward recently for Moose Pass gold fields where he will begin operations next spring on a large scale. sey, is the report made to the China Inland Mission office. The two were killed by Communist brigands who kidnaped them and their baby. The baby’s fate is not known. . — e, Eric Branholm, who has been employed at the Cleary Hill Mine at Fairbanks, is on his way to his former home in Sweden to spend several months.