The Daily Alaska empire Newspaper, March 17, 1937, Page 1

\ THE DAILY ALASKA VOL. XLIX., NO. 7434, “ALL THE NEWS ALl THE TIME” JUNEAU, ALASKA, WEDNESDAY, MARCH 17, 1937. MEMBER ASSOCIATED PRESS EMPIRE PRICE TEN CENTS COURT ORDER DEFIED BY SITDOWNERS JUSTICE MAKES[Reach Agreement POLICE GRAFT | RETORT TO PLAN ABOUT JUDICIARY for Payrol! Tax for R, fil!’ensinns IS CHARGED IN SAN FRANCISCO McReynolds Said Must/Systems and Unions to Special Investigator Makes Awaken Citizens to Their Obligations, Not Rights FIRSTUTTERANCEFROM COURT ON PROPOSAL' 75-Year-Olm dge Says There Are Difficulties to Be Overcome WASHINGTON, March 17.—Jus- tice James Clark McReynolds ! Each Pay Half of Five Per I Cent—New Act Needed WASHINGTON, March 17.—Rail- ‘roads and major rail labor unions have agreed upon a five percent |payroll tax to finance the retire- iment pension system for approxi- mately one million five hundred thousand workers. Half of the tax will be paid by ithe railroads and half by the em- ployees. | This will replace the similarly di- of lvided seven percent Railway Tax ment of | Report — Huge Sum | Reported Collected SAN FRANCISCO, Cal., March 17. —Charges that the San Francisco police are collecting one million dollars annually in graft and that at 1 $374,000 comes from houses of prostitution, appeared yesterday in the final report on the investi- gation of Edwin Atherton, who has spent $60,000 and more than one |year in his inquiry. The investigator, former Depart- Justice Agent, said the the Supreme Court told a small fra- |Act which the railroads blocked by present laws against prostitution, ternity audience last night that (a court test of its constitutionality. ' As the result of the agreement, gambling and other alleged vices, accounted for the graft system and “evidence of good “P"mmflmmp"‘um present Railroad Retirement he recommended a repeal of these was to accept the outcome of a “imr‘,\u will have to be amended and laws and to provide licensing of tribunal.” erance by any member of the court on its relationship o government since President Roosevelt submit-| ted his recommendations for reor- ganization of the judiciary. He spoke at the Phi Delta Theta fra- ternity dinner. Justice McRayenolds, who is 75, said some attorneys after losing a case complained that the court heard it unfairly. Justices on Spot The Justice said: “A thousand things come be[ore: courts and are settled to the| general satisfaction. If things come the up and are not settled to the sat- isfaction of all, put yourself in the place of the courts and see if you could have dome better, “Even in Christianity .itself we have acrimonious discussions. Con- eregation A says it will not go to Congregation B but if a great con- gregation says it has a great under- lying purpose there is success.” New Deal Legislation The impromptu speech contained the first indirect reference to the President’s reorganization program by any of the nine Justices. In con- clusion Justice McReynolds said the court ruled “against 14 New Deal| laws and supported two. We start-| ed under the Constitution with the| attend to its own affairs and there be left to the Federal government only certain large things. Now, with extraordinary means of com- munication, we have very enlarged difficulties which somehow must be overcome. All these make for fric- tion. We must awaken the citi- zens to their obligations rather than to their so-called rights.” notion that each community musté ExPLD SIUN Is NEW ANGLE INDICATED WASHINGTON, Mar. 17.—Justice | McReynold’s criticism of those who complain about adverse court de- cisions revived talk of asking the| Supreme Court Justices to give in- terviews on the President's court plan. Senator Burke commented on the statement of Justice McRey- nolds and said “it was very well put and very appropriate at this time.” Chairman Ashurst, of the Senate Judiciary Committee declined to make any comment but said if any | of the Justices even hinted they want to be heard they will be asked to testify. ., CHEERS FOR present one. i All pemsicns are to be paid out ;of the United States Treasury ALASKA AIR MAIL BOOST Sub-committee Sanctions Feeder Line to Juneau, Fairbanks Route | WASHINGTON, March 17.—Al- 'said the Senate Sub- Committee | considering the Post Office Approp- |viation bill, has approved of $72,755 |for a weekly air mail service be- dova, Valdez, Seward and Anchor- The line will “feed” the Ju- | age. neau, route set up with a $68,692 appro- priation in the P. O. Bill. R e | { MANILA, March 17.—Constabu- \Jary investigators today studied the‘i possibility that the explosion in the Jfireworks plant, which resulted in| killing 19 workers, was caused by sabotage. One woman survivor told the po- lice the blast started in the rest| room where fireworks ‘are not kept. The safety engineer of the Labor (department said the factory was a “veritable fire trap.” oo e e coumenecerd | ; ( ALASKA FLIER - MISSING NOW Pilot Art Woodley Not Heard from Since Broke Ski on March Tenth \—The Signal Corps here has rad- IS APPROVED tween Tanana Crossing and Cor-f Whitehorse and Fairbanks | It was the first utter- the new tax substituted for the such activities on the theory that the licensing would not increase gambling or prostitution but would reduce the graft tribute. | Principals named by Atherton as jinvoived in the alleged graft, issued sweeping denials of his charges, bitterly assailed the investigator land several damage suits are threat- ened. The report was made public by Superior Judge George Steigler who |recommended action by a grand Jury if that body deemed it exped- |fent. MINING FIRM AT FAIRBANKS I L BO0STS WAGES Fairbanks Exploration An-! nounces Increase of 1214 Per Cent—Starts Now FAIRBANKS, Alaska, March 17. ~—The Fairbanks Exploration Com- |pany, subsidiary of the United States Smelting, Refining and Min- General Manager Roy B. Erling, an increase of approximately 12% per- cent in wages effective immediately. payrol! will receive the full advance and 75 others will receive partial advance. The new scale for common labor will be 71 cents an hour plus board INVESTIGATEW}W nunared men now on the| ;and lodging. The company expects to start operating dredges in this vicinity this week. Dredger operators elsewhere are ready to start as soon as thawing permits. — e Chaplains Are Wan_lgd. Prison Federal Director Seeks Re- ligion to Soften Hard- ened Criminals WASHINGTON, March 17—San- ford Bates, Federal Prison Director, has asked the House Appropriations ing Company, announced through‘MAnRID uN OiIATdnker’s Deck A uuah4 f l>e; Col,lri,rsi'tmprnv i h‘( mM;n Gate {Waters Off Alaskan Coast to Be Fished By Japanese TOKYO, Mar. 17.—Directors of the Japanese Agriculture and Fishing Bureaus said the Gov- ernment intends to encourige Japanese fishermen. to carry, 4 salmon fishing outside the " = ritorial limits of the coast’ of Alaska, The Associated Oil Company’s tanker, Frank H. Buck, settled guickly a fter Gate, but gave no indication of sinking immediately. returned to the stricken vessel when it was found she would float for some t Francisco, which she had left for Henolulu only two hours before the ac cident. The ships crashed in a dense fog. (Associated Press Photo.) > The tanker’s cre w o ne. Liner Damaged in Collision The statement was made by one of the Directors during a dis- cussion of the fishing boat in- surance bill who further stated the full measure will be an- nounced after an investigation of Alaskan fisheries. - - DER HEAVY BOMBING BY ARTILLERY |Action in Retaliation for Government's Disas- i trous Air Raids MADRID, March 17—Insurgent artillery scored direct hits in the| [center of Madrid today in one of the stiffest bombardments of the; ipresent civil war, | ‘The barrage is believed in n-pn-ul‘ for the destructive air raids of the! massed Government fleets the Insurgent’s Guadalajara lines I" It is said that the Governmenti armada, consisting of 25 bombers behind molished the Insurgent advance |forces of which held the towns of iSigueza and Brissnega, northeast of Madrid. Eight towns, held by the Insurgents were bombed and one| ANCHORAGE, Alaska, March 17.|sub-committee for two “up to date|million machine gun bullets were| chaplains to reform hardened crim-| pumped into the disorganized and! sion with the liner President Coolidge just outside the Golden was removed by the Coolidge but the cantain and seven men The Coolidge, her bow stove in, returned to her dock in San and 60 pursuit planes, virtually de-| | ] CLEAR ALL WORK IN TERRITORY U;xdérwfitiné toBe Handled Here Without Going to Seattle Office In oraer vo Iaciutate its work in Alaska, the Juneau office of the Federal Housing Administration has been given complete jurisdiction over all FHA activities in the Ter- ritory and it will no longer be nec- essary to work through the Seattle office, John E. Pegues, FHA Ad- ministrator, announced today on his return from Washington, D. C.,, aboard the Mount McKinley. It is anticipated that at least a million dollars worth of building work will be done through FHA this year, Mr. Pegues said, and in order to eliminate the delay of hav- ]| REFUSE TO QUIT FACTORIES HELD FOR MANY DAYS Twenty Thousand Sym- pathizers Mill Around Various Plants 'GOVERNOR MURFHY PLANS NEW ACTION Corporation Attorneys Un- decided What Steps to Be Taken Next DETROIT, Michigan, March 17. —@Gov. Frank Murphy, acting as thousands of sitdown strikers de- fied the injunction ordering them from the Chrysler plants which they are occupying, proposed the estab- lishment of mediation groups to deal with labor disputes. This was done in an atmosphere of great ten- sion. Twenty thousand union sympa- thizers are demonstrating in the streets outside of the factories closed by the strike. Gov. Murphy, this forenoon brought together in a downtown building, 23 representatives of capi- tal and labor, State, Government and the general public. Two lead- ers of the United Automobile Work- ers of America were absent, as- serting the “sitdown strikes will cease only whén conditions that produced them no longer exist.” The attorneys for the Chrysler Corporation considered “ further. steps” against the strikers but no immediate action has been taken. The corporation could obtain court writs calling for the sheriff to evict and u Circuit Court Judge Allen Camp- bell last Monday. The sitdowners have occuvled the various plants since Monday, March 8. Judge Campbell, at the time the evacuation writ was issued, de- clared that “respect for law and order is menaced and there must be no compromise.” SEALS' INCOME WILL INCREASE SAYSF.T.BELL ing to get approval for underwrit- ing and so on from Seattle, the Housing Administration has named the Juneau office as a complete clearing office for the Territory. Under the set-up, Administrator Pegues is authorized to pass on ar- chitectural, underwriting, inspec- tion and all features of the work. In other words, Alaskans taking ad- vantage of FHA can get final action | in the Juneau office through the | Administrator here instead of hav- The Dollar liner President Coolidge, her bow ripped open in a col- lision with the Associated Oil Company’s tanker, Frank H. Buck, turned back to her San Francisco pier after taking off the tanker’s crew. The collision cccurred just outside the Golden Gate in a thick ing to wait until the papers are sent to Seattle The Juneau office will not be en- larged immediately, Mr. Pegues said, but later it is probable that addi- tional field help will be necessary. “The Administration realized the location of Alaska,” said the Ad- ministrator, “and it wants to give the residents of the Territory the same advantages for early action as are available in the States.” Mr. Pegues found that FHA has put home building throughout the U.S. Commissioner of Fish- eries Bases Belief on Market, Seals’ Habits * WASHINTON, March 17.—Unit- ed States Commissioner of Fisheries Frank T. Bell today told the House Appropriations sub-committee that he expects the growing market for fur and the polygamous habits of seals to offset the expected In- crease in cost to the government of sealing operations in the Pribilof Islands. The Bureau of Fisheries asked the committee to include $168480 for seal in its budget for the fiscal year starting July 1. The total budget for 1938 increased $195,000 over this fiscal year. Commissioner Bell said that the steadily growing seal herd assured a larger income in 1938, Last year's seals ylelded $198,756 profit after treaty payments to Ja- pan and Great Britain. nation back at the top of the list. All construction has been given new life, but home building partic- ularly has been given great im- petus, he reported. Banks and loan |ioed all stations asking the where-|inals at McNeil Island, the Federal retreating insurgents. abouts of Pilot Art Woodley who penitentiary in the State of Wash- The artillery bombardment of |has not been heard from since|ington.” Madrid, according to estimates, re- }March 10. Bates saild some criminals canisulted in at least fatalities. Friends said Woodley broke ajonly be reformed through reugion! | fog. Here is a closcup view of the Coolidge’s damaged prow. The | Frank H. Buck was in a sinking condition. (Associated Press Photo.) | , 'MUSSOLIN Chides British on Nervous- Five-Year-0ld ness—Gives Reasons for Italy’s Rearming TRIPOLI, March Premier Benito Mussolini, visiting here, referred scathingly to the British nervousness over Italy’s as- cendency in the Mediterranean. The Premier told a‘ cheering throng of 100,000 that Italy was forced to rearm to meet the rearma- ment threat of other nations. S e v Rich Gold Deposits Found; Rush Started CANBERRA, Australia, March 17. —Prospectors are dashing by plane to the latest gold strike on Screw River in the district of New Guinea. One hundred miners are reported panning one stream where rich de- posits were found two months ago. 17. — Italian| ski in landing at Napamate a week iago but was not hurt. and he wants one Protestant chap- lain and one Catholic both working full time. | “Woodley is an independent flier, i 5 WASHINGTON, March 17.—Al- aska Delegate Dimond has appealed to the House Sub-Committee to provide at least $796,000 in the De- partment of Interior Appropriations bill for rehabilitation of the Alaska Railroad. “Unless we get the money for the railroad, no one can be held re- sponsible for the lives of the pas- sengers traversing the route,” said the Delegate, He termed the $200,- Delegate Dimond Seeks More Funds for Alaska R. R.; Also Money to Start Other Projects 000 budgeted as “wholly insuffic- fent.” “The Delegate has also asked for $500,000 to begin the long range $2,500,000 air field construction pro- gram and $5000 to purchase and |distribute reindeer to needy Alaska | Indians. ‘While making no specific request, he also told the committee money should be supplied for road con- struction in the Territory. SLAYER MAKES QUEER REQUEST {Wants Defense Money for| Tombstones for Wife, | Children He Killed Kato, 36, Japanese fdrm laborer, charged with first degrse murder for killing his wife and four chil-| dren at his home at Auburn, plead-| ed with the court today asking that| he be permitted to use his money! to buy tombstones for his family in-| stéad of paying attorney’s fees to| defend him. The Judge appointed| defense. Mooney Loses One More Attempt to Gain Freedom DEPUTY COLLECTOR e | California State Senate, by the additionat posiuuion of Deputy| oy i 's etused to p was announced Foday by Collector A James J. Connors. Fort Yukon 15 g gqn Quentin prison. shortly to be designated as a port Mr. Randall was appointed to han- dle the collector’s end of that ser- vice. He also has been appointed representative of the Public Health Service in connection with care of | have failed previously. e ee—— IS OPERATED UPON hospital there, ! Ann’s Hospital, SACRAMENTO, Cal., March 17.— Thomas Mooney's twenty-one year NAMED, FORT YUKON old fight for exoneration in the San | Francisco Preparedness Day Par- Appointment of Ray Randall, ade bombing in 1916 went down to i P . |a new defeat yesterday when the deputy marshal at Fort Yukon to jighan the As- SEATTLE, March 17. — Enechi|Collector of Customs at that Port,| .y resolution asserting his in- ordering his release Repeated attempts of Mooney to of entry for foreign airplanes “"d‘gam a pardon through the courts Mrs. William C. Rogers underwent two attorneys for the Japanese's seamen from the river boats at the an’ operation this afternoon at St. companies are co-operating to the fullest with FHA, he said, and it is one activity that has the solid sup- port of the entire nation. In speaking of the vast volume of business anticipated this year in (Co tinued on Page Five) Roosevelts Far Apart on Anniversary WARM SPRINGS, Georgia, March 17.—The Thirty-Second wed- ding anniversary found the Roose- velts one thousand miles apart but telegraphic exchange of greetings recalled the memorable St. Pat- rick’s Day in New York City when Uncle “Teddy” gave Eleanor to Franklin D. Mrs, Roosevelt is in Oklahoma on a lecture tour and the President is at his temporary headquarters here.| birl Missing Police and County Officials Making Search—Blood- hounds Are Aiding ANACORTES, Wash., March 17.— Police and county officials, aided by bloodhounds, are combing this area for Carol Dodd, aged five years, who has disappeared with her lit- tle dog. Two two were last seen near the little girl's home at 4 o'clock yes- terday afternoon. The police have no theory. The girl's mother is dead. e et e AT GOVERNMENT HOSPITAL Lewis Kitkoon, of Hydaburg, un~ derwent a major operation this morning at the Government Hos~ pital. 4