The Daily Alaska empire Newspaper, January 17, 1935, Page 1

THE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” VOL. XLV., NO. 6860 JUNEAU, ALASKA, DAY, JANUARY- 17, 1935. MEMBER OF ASSOC]ATED PRPBS PRICE TEN CENTS NEW TESTIMONY IN HAUPTMANN CASE ROOSEVELT ASKS MILLIONS FOR SECURITY PLAN Program Calls for Huge Expenditure Start- ing July 1 WAGNER BILL CARRIES| APPROPRIATION CLAUSE [nitial ReqTe—st Hundred| Million — Two Million Yearly Thereafter WASHINGTON, Jan. 17.—A s0- cial security program which calls for appropriations of about one hundred million dollars to finance, starting July 1, was formally pre- sented to Congress today by Presi- dent Roosevelt. The five-point pro- gram is designed as protection against what the Administration terms the hazards of modern exist- ence. Salient Points Salient points of the plan were unfolded in a long report by the Cabinet committee on security and specifically in a bill by Robert F. Wagner of New York which car- ries provisions for financing the setup at the beginning of the fiscal year, July 1. Authorizations for spending two hundred million each year thereafter also were included in the bill. Program Outlined ‘The program provides compulsory unemployment insurance to be paid by employers through' a payroll tax and provides that’ compulsory in- surance against ‘poverty stricken old age for wage earners and small salaried workers be paii by em- ployers and émployees on a 50-50 basis.. Old ‘age pefision is pmvidad for the needy aged to be paid by Federal and State governments and a voluntary Federal annuity system for those who are not included in the compulsory plan. Large Federal grants to States for the aid of needy and ill mothers and children and to be handled through. exten- sion of the Public Health Service is provided. ASKS SWIFT ACTION i WASHINGTON, Jan. 17.—Presi- dent Roosevelt in his social se- curity message ‘on‘ the' program intended to “secure America’s 126, 000,000 against the hazards and vicissitudes of life" asked for swift action. Laks e The President said: "“We can- not afford to neglect the plain duty before us but Federal action is necessary, conditioned upon the actions of a state’s system, except for the money necessary to initiate the plan which should be self-sus- taining, in one sense. Funds for the payment of insurance benefits *hould not come from the proceeds o. general taxation.” ——— b UICTATORSHIP IN LOUISIANA | T0 BE FOUGHT Square Deal Assoclahon ‘Bem? Formed with Military Backing BATON ROUGE. La. Jan. 17— Anticipating refusal of the demand made on Gov. O. K. Allen to as- semble the State Legislature for the purpose of repealing United States Senator Huey P. Long's dictatorship, The Square Deal As- sociation of Louisiana announces it will oppose¢ the Dictator with a home guard army it is seeking to organize in a military way in every Louisiana parish. Ernest J. Bourgeosis, President of The Square Deal Association, said: “It is not our purpose to assassinate or murder anyone, but it is our purpose to have this state so thoroughly organized that when the time arrives, action which will come in the very near future, will find us prepared to give the people of this state the square deal we have been promised.” Must Learn English RIGA, Latvia.—English has been made a compulsory first choice in the study of foreign languges in Latvian primary schools. FISH TRAP TAX, BANKING CHANGE BEFORE HOUSE Eme rgency Appropriation Measure Pushed to Final Passage SIX BILLS, MEMORIAL TOSSED INTO HOPPER Nordale Proposes Six-Day Eight-Hour Schedule in Industry Repeal of the bank stabliza- tion act, increased tax on fish traps, higher mining gross tax and plan to make universal in industry the six-day week and eight-hour day were major proposals intro- duced before the Twelfth Alaska Territorial House of Representa- tives as it convened at 11 o'clock this morning, adjourning shortly after noon until 11 o'clock tomor- | row. SiX measures in all were tossed into the hopper and one House Joint Memorial as the House swung into action and ergency appropriation measure providing some $24,000 to care for deficiencies in certain Territorial offices. Two Fast For Some The measure, brought out by the Ways and Means Committee, was being pushed just a trifle too fast for five members but their plea for time went for naught when two thirds of the House yoted to suspend the rules and push it along on- the grounds that it “was indebtedness that ‘must be met and some persons are now waiting for their money. The line- up on rules suspension found Ner- land, Growden, Green, McCutch- eon and Nordale in opposition but when they lost out, the measure was finally passed by unanimous vote. No objection to the appropria- tions was voiced, the opposing legislators merely asking further time that they might digest the measure. Provisions The bill, House Bill No. 4, pro- vides $500 to the Auditor's of- fice, $1,000 to pay fees for gather- ing vital statistics in the United Statés Commissioner’s office, $250 for. salaries to tax collectors in the Treasurer's office, $3,000 eagle bounty, “$7.500 * seal bounty, $4,000 wolves and coyotes bounty, $3,000 for’ aged residents and $5,000 for relief of destitution. The remaining five bills provide as follows: House Bill No. 1, introduced by Joe Green, of Hyder, making the gross tax two and one half per cent on mining net incomes of $10,000 to $100,000; three percent on incomes $100,000 to $500,000 and (Continued on Page Eighty OFFIGER USED COUNTY FUNDS, CHARGE MADE Deputy Treasurer Arrested for Alleged Appro- priating $3,000 PASCO, Wash.,, Jan. 17—E. D. Sheffield, Deputy Treasurer of Franklin County for the past eight years, has- been arrested on a charge of misappropriating $3,000 of the county's funds during the past six years. Sheffield has held various offices for the past 20 years. A grand larceny charge was filed after the office was turned over to the newly elected Treasurer, C. B. Krudwig, last Monday. Shemelds bond was set at $3,- SAAR VALLEY FOR GERMANY GENEVA, Jan. 17—The League rushed one bill| through to final passage—an em-'r ®e0 00 0 00 000 000 ] . . BILLS . MEMORIALS . . RESOLUTIONS . . INTRODUCED » . IN HOUSE . . . ee 0000000 oo H. B. No. 1, by Green—Increas- ing gross tax on mines. H. B. No. 2, by Green—Repeal- ing bank stabilization act. H. B. No. 3, by Nordale—Provid- ing for eight-hour day, six-day week in certain industries. H. H. B. No. 4 by Ways and Means Committee—Providing emer- gency appropriations for certain Territorial offices. H. B. No. 5, by Growden—Raise bounty of wolves and coyotes from $15 to $20. H. B. No. 6, by Hofman—Provid- ing for increased tax on fish traps. H. J. Memorial No. 1, by Green —Requesting _Congress to amend Transportation act to include Al- aska. H. J. Resolution No. 1, by Bar- onovich—Requesting transfer of fish control from Bureau of Fisheries to Territorial Legislature. e e 0 0 8 00 0 0 0 0 00 BILLS MEMORIALS RESOLUTIONS PASSED BY HOUSE H. B. 4, by Green—Providing | emergency appropriations for cer- tain Territorial offices. ALASKA LINE NOT T0 CHANGE SAIL SCHEDULE DATES Chamber of Commerce Hears Company’s Re- ply to Request That it will be an impossibility to resume the weekly Saturday sailings before March 2—unless freight and passenger business | warrants such a move—was indi- cated in a letter from T. B. Wil- son, vice-president and general manager of the Alaska Steamship Company, read to Juneau's Cham- ber of Commerce, which met this noon at Bailey's Cafe. The reading of the full text of Wilson's response to the Chamber's request for an abolition of the present ten-day schedule was the feature of the session, although discussion of the TIcy Straits mail route situation received consider- able attention from the members. The Icy Strait details are included in a separate article in this issue of The Empire. Wilson explained that npt only has the usual winter slump in Al- aska-Seattle trade hit the steam- ship business, but certain abnormal conditions which occurred this summer forced the Alaska Steam- ship Company to maintain its ten- day schedule until March 2. Wilson showed that trade falls off heavily in the last weeks of December and all through January and February. Not only that, but this summer’s longshore strike sit- uation seriously hampered the com- pany just at the time when it ex- pected to recover from winter op- erating losses. It was pointed out that, during that longshore strike, the Alaska Steamship Company, feeling a def- inite obligation to maintain an Alaskan service, successfully broke .| the deadlock which threatened to harm many of the Territory's in- dustries during the summer. While other steamship companies stopped operations during the strike, Wil- ALASKAG. G, BIVEN LAND President Signs Order for Headquarters Site Near Dillingham WASHINGTON, Jan. 17.—Presi- dent Roosevelt has signed an Exe- cutive Order withdrawing about FOUR ESCAPED - GONVICTS ARE BACK IN GELLS tured After Two Hours, Running Fight LEADER IS BELIEVED CRITICALLY WO! Badly Beaten, Not Ex+ pected to Live SAN QUENTIN PRISON, Cal, Jan 17.—Four convicts Who es~ caped from San Quentin' y¢ after felling the warden, ki ing four prison officials and guards, were captured in a ning fight in which the leader critically wounded. ¥ The band was rounded up in a desperate fight in the valley, 54 miles north of the prison. Warden James B. Holihan was beaten so badly he is not' expected to live. The four prisoners were 'at lib- erty only two hours. They were armed with 45 automatics said to have been furnished them by one of Nations has unanimously voted |23 acres of land, three miles north- annexation of the Saar Basin Ter-|east of Dillingham, t0 be pet apart ritory to Germany as a result of |as a headquarters site for the Al- the plebiscite on January 13. aska Game Commission, Clyde Stevens, a bank robber sus- pect. The four commandeered a state car, then made their get-away. Rudolph Straight, aged 35, con~ victed robber, was the leader . of the band. The other convicts were Alex- ander MacKay, convicted robber; Joe Cristy, 26, of Los Angeles, a kidnaper, and Fred Alenders, aged 27, convicted of assault. PAROLED CONVICT IS CAUGHT WITH BREAKERS SAN QUENTIN, Jan. 17.—Clyde Stevens, patroled convict, and San Francisco bank robber, was caught with the prison breakers when all were rounded up under police and guard fire at Antioch. The break ended when a tire on the breakers' car was shot. The car swerved into a ditch and the convicts leaped out and took refuge in a creamery where they started to shoot it out with the police and guards. Three of the convicts and Stev- erts surrendered when Rudolph Straight, leader of the gang, was critically shot. Straight died this forenoon in the prison hospital from gun wounds. Employees Herded When the convicts ran into the creamery they herded the employ- ees into an ice box. When the automobile went into the ditch and the convicts jumped out and ran into the creamery, the hostages also left the car. They are members of the State Prison Board and are Frank Sykes, chair- man; Warren Atherton, Stockton attorney; Joseph Stephens, Sacra-~ mento banker, and Mark Noon, secretary of the board. One Near Death Athelton, who had been com- manded to don convict’s garb, was seen by one of the pursuing offi- cers who said: “T'll kill you, you dirty dog.” Then Sykes and Stephens scream- ed, “Don't shoot, that’s Atherton.” Warden Holihan this forenoon is reported to have a good chance for recovery. The convicts were brought back face hanging as the result of the break. The prison is reported to be quiet, with practically all convicts remaining in their cells today. ————————— SEARCHING FOR I MEMBERS OF o KIDNAPING GANG 3= One Man J His Mother Are Shot Down in Six-Hour Battle OKLAWAHA, Fla., Jan. 17—Fed- eral agents, after slaying Fred Barker and his mother, Kate Bar- ker, aged 55, in a six-hour gun battle in their rented home, are searching for Alvin Karpis and Arthur Barker, two other members of the gang accused of kidnaping Edward Bremer. The kidnapers collected $200,000 from the abducted St. Paul banker, before he wzs Tileased. Warden Jar;e;—B. Holihan, MESSAGE FROM 60V, TROY IS BIVEN SENATE San Quenlm Prisoners Cap- Upper i Short Ses- sion Refers Deficiency Appropnallon Bill EARLY PRESENTATON OF MEASURES URGED Mrs. Grace Grummett of Juneau Chosen Assist- ant Secretary Gov. John W. Troy’s message to the Twelfth Alaska Territorial Leg- islature was transmitted to the |Senate this afternoon when it convened at 2 o'clock, adjourning rtly afterward until 11 o'clock ‘tomorrow morning. The message was riot read, the Senators agree- ing each member would peruse his own copy. House members , will officially receive the Chief Executive's rec- ommendations tomorrow morning ‘when it meets at the same hour as the Senate. Refer Measure The deficiency appropriation bill which was hurried through the House this morning was transmit- ted to the Senate this afternoon but no action was taken by that body, the matter being referred to the finance committee. Urge Early Bills No bills have yet made their appearance in the BSenate and President Luther C, Hess today urged the Senators, who propose legislation, to do so early thus mm: a jam later on during the M.rs. Grace Grummett of Juneau has been chosen as Assistant Bec- retary by the upper house to work with Miss Jane Farrelly, Secre- tary. ———————— TERRITORIAL C. OF C. WILL MEET FRIDAY Bissisdad Comesmition of Al aska Organization to Convene, 4 PM. At 4 o'clock tomorrow afternoon the biennial meeting of the Ter- ritorial Chamber of Commerce will convene in the Grand Jury room of the Federal and Territor- ial Building according to an an- nouncement made today by F. A. J. Gallwas, Vice President of the organization. ‘Word was received from Robert 8. Bragaw, of Anchorage, Presi- dent of the oOrganization that he would be unable to attend the meeting this year, Mr, Gallwas stated, ‘The r¥port of President Bragaw will be read at the meeting as will the biennial report of the Secretary and Treasurer to the Governor. Among other business to be taken up will be preparations for the election of officers to serve during the coming year. Delegates Here Delegates already in Juneau who will attend the meeting are Sen. James R. Campbell, of Anchorage; Sen. M. E.' 8. Brunnelle, of Cor- dova; @en. Luther C. Hess, and Rep. Andrew Nerland, ‘of Fair- banks; Sen. N. R. Walker and Rep. A. H. Ziegler, of Ketchikan; Sen, James Frawley and Sen. John F. Devine, of Nome; Sen. Henry Ro- den, A!len Shattuck, J. W. Jones, . W. Folta, and Charles E. Naghel and Bxecutive Secretary . “8. 'Whittier, of Juneau; Rep. James E. Pattersop, of Valdez; Cur- tis Shattuck, Skagway proxy; F. A. J. Gallwas and L. W. Kilburn, of Douglas and N. E. Bolshanin, of Sitka, It is expected that delegates from Wrangell, Petersburg and Seward will be named before the convention meets, according to Vice President Gallwas, — e MINK ARE SHIPPED Earl N. Ohmer, President of the Yukon Fur Farms, Inc, said in Petersburg recently that his firm has shipped from Alaska 125 breed- er mink since September. in Governor’s M essage Highlights of Gov. John W. Troy's message to the Legislature today follow: Only through fair treatment of both labor and industry can we hope to work out of this depression and insure future economic welfare. A sales tax, if adopted, ought to be so designed that it would not encourage mail order buying. The Federal Government is planning to retire in a large degree from its direct relief and work relief to the needy, leaving that to the local, State and Territorial and municipal govern= ments. take this into consideration. In planning public expenditures, the Legislature should ‘While you may be able to adjust appropriations to meet the anticipated revenues for this biennium, the time is fast approach« ing when there must be a larger Territorial income. The market value of canned salmon can be increased and sustained and through this the people in the Territory working in the fisheries industry will be benefited through the resulting increased price for raw fish and the ability of the canners to pay better wages. In providing for the taxation on mines, as it must be borne in mind that we must not overburden However, the mines could probably stand tries, any of our industries. in other indus-- more taxation in view of the increased value of gold. Properly developed, the tourist business can become one of our most important industries. If it is possible, the liquor business ought to be in the hands of private individuals to the same extent as the grocery, hard- ware, drug or any other business. Territorial stores would throw open the doors’ for graft in connection with the sale and purchase of liguors. I truly believe that the Legislature ought to provide for some sort of licensing system and that the hard liquor licenses and beer licenses should be handled by the same authority. Such complaints as have been received have been in connec- tion with beer. parlors and have to do with the enforcement rather than the regulation. I believe the Territorial Legislature ought to adopt a memor- ial urging the President and Congress to impose a tariff tax on importations of both pulp and paper. I do not believe it will be possible to get a satisfactory ar- rangement for schools and welfare work in Alaska until there is consolidation of authority for Indian people. both the white people and the Iamnminmvarntflmtmwottheemummmd Territorial Industrial Our greatest hope i ety ih e 15 nmammmeotldd-nduummm Whatever we do let us not forget that Alaska is one Terri- tory and its people one people. Let us not permit sectional ambition nor rivalry to divide us and let us eliminate quarreling and brickering and strife. Full context of the Governor's message will be found begin~ ning on page 5. Governor’s Reception To Legislators Next Thursday Evening Legislators and their wives will meet the residents of Juneau and other Gastineau Channel communities at a Teception at the Governor's House next Thursday even- ing at which Gov. John W, ‘Troy will be host in honor of the members of the Twelfth Territorial Legisla- ture which opened its bien- nial session on January 14. In the receiving line with the honor guests will be the Terriforial officials and their wives. The reception will be from 9 o'clock to 10 o'clock and dancing will begin at 10 and continue un- til midnight. 998 060000000 ———— Murder Is Confessed by Negro Incriminates Himself in ‘Desecration of Graves of Five Women JACKSON, Miss, Jan. 17.—The murder of two persons and the mutilation of their bodies, and the theft of the bodies of five white women from their graves, is the confession made by James Coyner, glant , who District Attorney m l‘n is abnormal. Coyner ta a patrolled Indiana prison convict Coyner luud he killed Mr, and Mrs. A. B. Turner, of Cleve- land, Miss, Rice said. “I just had an impulse to kill somebody,” Coy- ner confessed to Rice. The theft of a body of a girl from a grave in Indiana and the desecration of burial places of four women in Ferndale, Michi- gan, resulted in Coyner's arrest. ——eto— — DR. KASER ILL Mr. E. H. Kaser, of Kayser and Freeburger, -dentists, has been ill at his home for several daya with the flu, SENATE NAMES COMMITTEES FOR SESSION Roden H;:is Finance, Powers Taxation and Frawley Mining Standing committees for the Twelfth session of the Territorial Legislature have been named and will begin functioning today. The complete assignments ' as announced by President Luther C. Hess, of Fairbanks, with the first named acting as chairman, follow: Committee on Finance and Cor- porations, including Printing and Purchasing, Contingent Expenses, Banks and Banking and Public Utilities: Roden, Powers, Walker, Hess. Committee on Taxation and Transportation, including Revenue, Highways and Navigation: Pow- ers, Roden, Walker, Hess. Committee on Rules, Elections and Election Laws: Hess, Roden, Frawley, Devine. Committee on Edication, in- cluding Public Health and Morals and Territorial Offices and Instl- tutions: Brunnelle, Devine, Camp- bell, Powers. Committee on Fisheries, Game and Agriculture: = Walker, Brun- nelle, Campbell, Frawley. Committee on Judiciary and Federal Relations, including Amend- ment, Conflict and Codification of Laws: FPrawley, Roden, Devine, Hess. Committee on Mining, Manufac- turing and Labor: Campbell, Wal- ker, Prawley, Brunnelle. Committee on Engrossment and Enrollment, per Diem and Mileage: Devine, Brunnelle, Powers, Camp- bell. - e, —— FAIRBANKS MAN DIES Benjamin Leach, 40, a resident of Alaska for 10. years, died Jan- uary 2 in St. Joseph's Hospital at Fairbanks, the victim of pneumonia, He was a resident of Anchorage until he moved to Fairbanks about a year ago. Mr, Leach leaves his widow, Mrs. Alice Leach and & brother, Thomas Leach of Hope. Important Features Contained Fi NI]IN?I]F BABY'S BODY IS DETAILED Three Witnesses Describe Scene, Other Import- ant Features |DEFENSE INDICATES , Identification Isshe May Be lm the objections of the defense. Cross-Examined THAT DOUBT EXISTS Brought Up—Reilly Is Mysufinng BULLETIN — l'l.lMlNO’l‘ON 3 FLEMINGTON, N. J, Jan. 17— William J. Allen, negro laborer, took the witness stand this morn- ing in the trial of Bruno Richard Hauptmann, and told of the find- ing of the body of the Lindbergh baby in the brush near the Hope- well home of the Lindberghs. Allen said that as soon as he made the find, he hurried to Hope- well and notified the authorities. Allen identified a photograph showing the glade and the body where it was found and the photo- graph was admitted as evidence Lindbergh Rigid As Col. Charles A. Lindbergh, sit- ting two.seats from Hauptmann, heard the story of the finding of his baby's body, he sat rigid. Both witnesses described the con- dition of the body lying on the surface, Several women dabbed their ‘handkerchiefs to their eyes as the detalls were given. Mrs. Haupt- mann’s eyes glistened. Sergeant Andrew Zapolsky, of the New Jersey State Police, wen: on the stand and told of being called on the case. He sald he wen. to the body and before he turncd it over, saw part of the head and curly hair above the leaves. Hauptmann glanced quickly sev- eral times in the direction of Col. Lindbergh while the testimony was given. Defense’s Attack The defense attacked the au'hen- ticity of the photograph identified (Continued on Puge 'va Vg GEN. JOHNSON T0 CONTINUE TO AID . D. . Former NRA Executive to Give Another Year to President’s Policies NEW YORK, Jan. 17. Jen. Hugh 8. Johnson said he intends to “put everything I have on the ball for what President Franklin D. Roosevelt. stands for.” The former NRA Executive sald all the talk circulated that be is going to work for big business gives him a pain, adding, “I'm not going to take any job. I'm woing to set aside another year fo do just what I have been doing stead- ily for the last two and one half years. I'm going to put everyihing on the ball for what President Franklin D. Roosevelt stands for. I can do it better out of the Gov- ernment than in because I don't have to walk any official tightrope. I could not do it at all on any in- dustrial payroll.” Gen. Johnson said he has been offered some jobs, but added: “They all rested on NRA publicity and some idea of a pull in Washington aud it gives me & faint nausea,” $ i 3 } :