The Daily Alaska empire Newspaper, March 4, 1935, Page 1

THE DAILY ALASKA EMPIRE VOL. XLV., NO. 6899. REFINANCING MOVE TAKEN BY TREASURY “ALL THE NEWS Cahada Fourth Libe:;-Loan Bonds, and Other Notes Called in TO EXCHANGE NEW ISSUES FOR OLD Swap Will g;\; Millions in Interest—Action Is Up to Holders WASHINGTON, March 4— A re- financing move was announced Sunday by the Treasury Depart- ment, The Department offers to ex- change 20 to 23-year bonds, paying 27 percent, for one billion eight hundred and fifty million dollars worth “of Fourth Liberties, paying 4%, called for redemption April 15. Also an issue of five year 1% percent notes to be offered in ex- change for five hundred and twen- W. MacKerzie King ty million dollars' worth of Treas-| ury 2% March 15. Will Save Millions It is estimated the swap will save thirty million dollars inier- est annually. In addition to saving the inter- est, the prime move behind the re- ! financing is the desire to drive in- Ye tments into commercial chan- nels through a steady lowering of Federal rates. Holders of the called securities are not required to take advan- tage of the exchange offerings, it is made clear, and may demand and receive cash. Interest on the called Liberties, however, will cease on March 15. Y The issues are the lowest since long before the world war. HOUSE PASSES "WORKMAN BILL interest rates of the new percent notes maturing on Six social and economic veforms Considers “New REVOLT BREAKS L SHIP SUBSIDY PROP! béqi” are included ‘in | the “ilew gleal™, program proposed for Canada by Prine Minister Richard D. Bennett, Unenmployment ‘insmance; old-age “pensions; regulatigns - sefting up minimum. wages ahd ‘maximum working hours, readjustment of | A | wealth through taxation, additional legislation favoring furmers.‘ | and health and" accident insurancé are reforms proposed by the Conservative leadsr. W. MacKenzie King, Liberal leader, will be ) important factor in determining the outcome of Bennett's program. Solution o f Rrarrl DEPENDING ON ROOSEVELT T0 som Money, Lindbergh Case, Is Only Two Fifths Solved; Suppositions|. NEW YORK, March last Saturday night, and one day after the actual kid- naping, the ransom phase in the Lindbergh case, is only two-fifths solved. Of the #$50,000 paid by Col 4—Up to three years|, Charles A. Lindbergh to the ran- som collector in the Bronx ceme- tery on April 2, 1932, only $19,715 have been accounted for. FOR AGGIDENTS START ACTION Now Goes to Senate Where Magnetic Leadership Ex- Various theories have been ad- vanced as to where the other $30,- Similar Measure Is | Under Consideration | 285 are. The most general theory is the money is still hidden somewhere. Patterned after the Washington| | Others believe the money has ac- State plan, the House this morning| WASHINGTON, March 4—Pres- | tually been placed in cliculation. passed the Lingo-Green Work- |ident Roosevelt faced a congres-| Federal Reserve Bank officlals men’s compensation bill setting up sional muddle last Saturday night deelare that it is impossible because an Industrial Accident Commission that many in the Capital fel & close watch was kept for the with a Commissioner to be appoint- | would require from him the snme]“"”m bills. ed by the Governor and approved ' kind of magnetic leadership he dis- | SR b AR TR by the Legislature to administer it, played when he marched into the and appropriating a loan of 350.-‘,Wh1te House two years ago. LIFE, WOMAN pected to Be Displayed, | Present Situation ‘ 000 from the Territorial funds to. Congress has completed ' two carry out its provisions. The Com- months with virtually nothing ac- missioner will receive a salary of | complished. $5,000 a year and making up the Hostile legislative proposals have | Commission with him will be the been boldly pushed forward and | Auditor and Treasurer. Carrying certain amendments the bill now goes to the Senate where a similar measure is under con- sideration today. there was, up to Saturday night, a spirit of revolt in the air. Confidence Expressed The (President’s Congressional | chieftains did little talking public- (Continued on Pngev'rhreel e Folks in South | 7 vcontnued on Page Two) Dakota’s Black Hills Want to Form New State; But It’s Illegal RAPID CITY, 8. D, March 4— lated in ten counties affected. The The folks around these parts would like to form the forty-ninth state in the Union. Residents of the Black Hills of South Dakota, famous for its scen- ery and extensive mineral lands, want to break away from the rest of the state and combine with parts of eastern Wyoming and Montana to form an entirely new common- wealth. That is the gist of the idea be- hind petitions now being circu- petition is directed to the state |legislature, asking that that body: | submit the question to a referen- dum vote in 1936. However, the hitch is that there |15 no legal way that part of a | state can secede. | Circulators of the petition said | there is strong belief here that | the western portion of Scuth Da- | kota has received unfair treatment in the matter of taxes and roads. This belief has been responsible for the secession move, - TELLS OF FIGHT | Mary Kelly, Claiming to Be | Russian Soldier, De- scribes Murder SEATTLE, March 4— Roused from stolidity, Mary Kelly, who says she was a wartime captain in Russia’s Battalion of Death, testi- fied here Saturday in her murder trial that she killed Otto Johnson, with whom she lived for five years, in self defense. She testified that, on January 15, Johnson beat her after he had shouted: “We'll see what kind of a sol- dier you are, and we'll find out who is the strongest in this fight for our lives.” She told the court that he start- ed toward her with a knife. She said she picked up 2 hammer and struck him. The knife fell from his hand, she explained. He stooped to pick it up, and she said she struck him again, she “didn’t know “liow many times,” {B. C,, bank manager, leape JUNEAU, ALASKA, MESSAGE SENT T0 CONGRESS BY PRESIDENT Re commends Termination of Present Ocean ‘Go- ing Mail Contracts WASHINGTON, March 4— % Maintenance of an “pdequate mefchant marine” underirect Government subsidy, was pro- posed to Congres: . todlay by} | message. & The President recommended * fermination of the present ocean | going mail contracts in._favor of the subsidy system and the transfer of “the duties of the Shipping Board to the Inter- = state Cemmerce Commission.. “The Government cwes it to the people to make certain such ships in keeping with cur na- tional pridé and that the.ef= ficlency be maintained,” said the President in his message. INPROVEMENTS H, i iEddalne o Nakat Packing Co., Makes Announcement A radiogram received. today The Empire from H. B. Friele, Vice- President and General Manager of the Nakat Packing Company, ad- | vises that the company has made a decision to make improvements {at their Waterfall cannery, near | Wrangell. | A new, modern, fish house, cost- approximately $12,000 will be | built, according to the mes:age. The contract has been awarded to C. A. Nussbaumer, Wrangell con- tractor, and the construction will be done entirely with local Wran- gell and West Coast men. All lum- ber used will be purchased in Wrangell, except for a few heavy, square timbers, Mr. Friele advises. The message also advised that the Nakat Packing Company has purchased two, and are building four new, modern seine boats, all of which, according to Mr. Friele, the company plans to sell to local fish- ermen on liberal ferms. ————— BONUS ISSUE " FIGHT STARTS One Measu:Expected to Pass Both Houses then Be Vetoed WASHINGTON, March 4.— The fight on the soldiers’ bonus issue started today with the House Ways and Means Committee starting the hearings. Leaders expressed the belief that one of two bonus bills offered will pass the House and also the Sen= ate but will be vetoed. YOUNG MAN LEAPS FROM PLANE, DIES TORONTO, March 4.—J Grant, aged 22, son of a N ng ames C. aimo, o his death from the cockpit of an air- plane over the airport here Satur- day night. Priends said he was de- pressed at the loss job- as bookkeeper a few montl MONDAY, MARCH 4, by ALL THE TIME” 1935. President Rocsevelt in a ‘#pecial & | Court upheld the Government in presses. were (left to right) Photc) FLAT RATE GOLD X MEASORE ON WAY TO SENATE House Measure Calls for 75 Cents an Ounce with | 750-ounce Exemption ) An amendment fixing the gold!| tax at 75 cents an ounce on gross; production over 750 ounces was adopted by the Territorial House this morning to the Green mining tax bill which originally provided Tor a graduated tax of from two| and one-half to five percent on net !income. Provisions for other mines (remain unchanged on net income ias proposed by the author. The bill |would raise approximately $250,000 | year in revenue to the, Territory, it is estimated. The bill will go to the Senate |for further action where another | mining tax bill is under considera-| ;tlon which proposes a graduated | |tax on gross profit. Pass Nerland Bill Approval was given by the House | Treasury officials went to the Bureau e¢f Enzravin & Wi tc see the in gold clause litigatic Besides Marguerite Winkelman, employee ¢! the Burean ¢f Engrav Secretary Morgenthau, Burtau Direc! Bell, Assistant Treasury Secrefary L. D. Robert and Undurecrelary T. J. Coclidge. A W. H Gold Strike Reported by - Government Scraps Dum from Old Trinket Boxes and Sent to Mint ‘WASHINGTON, March biggest gold the Government discloses, was in old trinket boxes where Americans keep the family valuables. Since the Government revalued gold at $35 an ounce, the mint revealed that so many old rings, watch chains and watches poured in that the traffic in scrap gold arose from relative obscurity to big business, 4—The hipgton, T strike of last year,| the Supromo od oif ihe in’cresied parsoms rD. W, 1 Pres firs. “b: g, the fall, Acting Budget Dirc (Asco FREMONT OLDER DIES SUDDENLY, WHEEL OF AUTO As Editor of San Francisco | Newspaper, He Fought Long for T. Mooney SAN FRANCISCO, Cal, March 4.—Fremont Older, aged 78 years, editor of the San Francisco Call- Bulletin, noted champion of the cause of Tom Mooney, convicted of the Preparedness Day Parade bombing in 1916, collapsed at the wheel of his automobile and died at Stockton, Sunday, where he had REBELS DEFEAT GOVERNMENT IN FIRST BATTLES ‘Warships Are Seized by | Insurgents, Put to Sea for Action 'LOYAL TROOPS ARE | RUSHED TO FRONTS Mobolization Orders Are Issued—Martial Law Is Declared ATHENS, Greece, March 4.—Ha- ased on two fronts, the Govern- ment has dispatched infantry, ar- il warships and planes to Macadonia, Crete and the Aegean Sea against the rebels who thus far have swept all hefore them. Twenty-two bombing planes have taken off from Athens to bomb | warships which put to sea under rebel officers. March on Saloniki Loyal troops in Eastern Mace- donia marched on ancient Saloniki, one of the oldest battlefields in the world. The Government is preparing an expedition to Crete to wage a fight to the finish with rebels who have taken possession of the en- tire island. Mobilization 5 |~ Athens is stirred to a fever pitch 'as the Army eclasses of 1932 and '1933 have been called to the col- ors by mobilization orders. Hun- dreds of volunteers are enrolling hourly. Battleships In Action j Seven battleships, partially dis- abled by mutineers, who fled from Salamis arsenal, have been | hurriedly repaired and are now | ready to go into action in the de- | fense of the Government of Pre- mier Panayoti Thaldris. To Engage Rebels | It is widely rumored that the | Government's fleet will go forth | at once and force a naval engage- (ment. with four warships still in the hands of the rebels. Denouncing former premier Eleu- therios Venizelos, who appropriated |a large sum from the Caneas Treas- Last year the scrap gold minted taken his wife and a friend to a ury for revolutionary purposes, as passed the hundred million dollar flower show. He had been active for| o, uo piv 16 be a pirate's hero, Pre- mark with -old watches leading the mml: than 50 years in newspaper ... rpnaldris expressed the con- list. work. viction the revolution will be quell~ One Kentucky Derby cup went to the mint, but the year and the Against Death Penaily Editor Older was a life-long op- ponent of capital -punishment. | ed. Aircraft Roaring Government aircraft is roaring owner of the cup is withheld, Y ‘ Besides using his pen to voice back and forth between Athens his protests against that method and Crete raining bombs on rebel | of expiating crime, he was active strongholds. One observer reported in moves designed to abolish the one bomber scored a direct hit on death penalty in California. | the cruiser Aveoff as it lay in this morning to the Nerland bill i which calls for the election of fiv members to school boards instea }ot three. Andrew Nerland of the| { Fourth Division, auth or of the | measure, explained the purpose of | the act was to eliminate as far as possible political maneuvering which, he said, in some instances ‘had been especially detrimental to |school systems. He said he felt a board of five members would not be so subject to petty politics as one of three members, and the House concurred. Another school bill, providing for fire escapes on school buildings, also was approved when it was brought to the attention of the House by A. E. Karnes, Commis- sjoner of Education, that there were several buildings in towns of the Territory not properly equipped in this respect, $16,000 For Craig .School The House voted $16,000 for the erection of a new school building t Craig, which was recently de- stroyed by fire. | d The Lingo bill setting up a L'he(:k-! ing system in the offices of the| Auditor and Treasurer whereby ac- | curate figures on revenue and an- | ticipated revenue will be available | at all times and requiring the vari- | Ous concerns in the fishing indus- | try to submit statements under cath as to production and other facts relative to their business also Was approved by the House. Other measures which have pass- ed the House and Senate include: H | | One of these attempts in which | Souda Bay, near Canea. Three Mr. Older was a leader, was a 24- | other waships seized by the rebels - u D AR ‘hour protest meeting in San Fran-|are reported damaged. aneny cisco in 1913. Advocates of abolish- | Martial Law f ing the death penalty in the state| Martial law has been declared met in a continuous session of land a state of seige proclaimed. speech~making. One report is that an airplane | *“That meeting had one good with Venizelos aboard, has been result,” Mr., Older sald, discussing shot down. & Extraordinary Session of S tate Legislature Finally Adjourns BATON ROUGE, La., The State Legislature has adjourn- ed after passing United States Sen- ator Huey P. Long's legislation in an extraordinary session. Guarded by troops, the Senator left for Washington, D. C. HOLMES NOW MUCH WEAKER WASHINGTON, March 4 The condition of former Supreme Court Justice Oliver Wendell Holmes was not so good this afternoon and he is decidedly weaker, according an announcement made by physicians. According to Doctors Long Ecker and Clayton, the aged j is kept almost constantly under oxygen tent. The jurist will be 98 vears of age on March 8 his = ing support for the Alaska Inter national Highway; H. J. M. 14 urging the establishment of an air- plane base in the Territory; H. B ow in the |57, creating a department of Mines adequate defen J. M. 12, ask-'with the aim of prometing mininz. Noyih Pacific. March 4.— y Bremerton; the gathering some time later. “A man was sent to witness an execu- tion at San Quentin penitentiary. As the trap was sprung he ex- claimed ‘I protest in the name of the Lord Jesus Christ’" (Continued on Page Two) Governor Martin Advised The Governor General of Crete {has been placed under arrest by | the rebels. Revolt Breaks Friday The revolt broke last Friday. It had been planned for more than (Continued ot. Page Seven) that F. D. R. Favors Air Base Bu ilt at Aleutians CLYMPIA, Wash, March 4.— Clarence D. Martin was »d here Saturday from Wash- ington, D. C., that President Roose- velt is considering the enlargement of the Puget Sound Navy Yard at the development of Fort Lewis, south of Tacoma; and the construction of an air base in the Aleutian Islands. ‘The improvements and construc- 1 would be done with Public Works Administration relief funds in a scheme designed to provide an system in the Governor | Governor Martin said that he | had been informed that the Presi= dent looked with favor on the pro- gram after a conference with the Washington State legislative deles | gation. The report said that Senator Homer T. Bone had urged the ne- cessity of the improvement of the " Pacific Northwest defenses and the establishment of an air base in the Aleutians. However, it was sald that the Senator had requested that they be financed by the Federal Gov- emnment rather than charging them to Jocal PWA dliotments, =