The Daily Alaska empire Newspaper, October 14, 1938, Page 1

THE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” VOL. LIL, NO. 7923. JUNEAU, ALASKA, FRIDAY, OCTOBER 14, 1938. MEMRBER ASSOCIATED PRESS PRICE TEN CENTS " m———— EX-SOLDIER PLEADS GUILTY TO SPYING Sailing o ALASKA VESSEL PREVENTEDFROM MAKING VOYAGE Structural Changes Are De- manded by Unions—Ne- gotiations in Progress SRR AT Ry w&. SEATTLE, Oct. 14—Demands of the Marine Firemen and Sailors for structural changes aboard the steamer Aleutian of the Alaska Steamship Company, will prevent that vessel sailing on scheduled time at 9 o'clock tomorrow morning The demands include moving the Firemens' mess room up one deck and other alterations aboard ship, which the company refused. | Company officials said the chang- es demanded will mean a loss of $75,000 a year in revenue space. About 70 passengers are booked aboard the Aleutian. Company officials declared the ship will not sail at least until Sun- day night. Negotiations with the unions are | continuin First class mail, three days, is aboard the North Sea, sailing for Southeast Alaska ports this fore- noon. 1 UNION MEA ARE CONVICTED 2 STRAPELESS MODE invades the ballet in this view of Nini Theilade, a leading dancer with the Ballet Russe de Monte/ Carlo. She awaits the opening of her company at the Metropolitan Opera house in New York, after which the company will M)_III: 53; i _cities in United States.. - CZECHS PROMISE LOYAL ATTITUDE, HITLER CLAIMS Hungarian Demands Still Unsettled as Four Pow- ers Consider Problem TAGERTIICATL S i EBAL TENDER FOP FRIVATE DERT (By Associated Press) Germany announced today that Frantisek Chvalovsky, Czechoslo- ;vakla Foreign Minister, had pledged his country to a “loyal attitude” toward Germany after a talk with Hitler. The announcement came as Hun- gary was reported to have can- celled plans for inobilization of her army and sent a delegation to ex- plain to Hitler, Hungary’s minimum territorial demands in Czechoslc- vakia. In the meantime, a Hungaria1 foreign official arrived in Rome | to consult with Italian offficials on Hungary's next move in her terri- torial campaign in Czechoslovakia. For Common Frontier 1 Political circles expressed the be- | lief that it was the wish of Poland and Hungary for a common frontier | at the expense of Czechoslovakia to | mect German opposition. The same | belief was expressed in high Nazi |- circles. Hitler told the Czechoslovakia envoy he hoped that soon it would be possible to find a satisfactory |solution to the Hungarian-Czech | question which Hungary yesterday | turned over to the four Munich | accord powers after a breakdown of direct negotiations. In South China STATE TREASURY STATE EMOLOYEES COUMTY TREASURER COUNTY EMPLOYEES CiTY TREASURER CiTY EMPLOYEES Make Mi STATE FOR USE SCRAMBLED EGGS FOR CALIFORNIA ALONG WITH WOODEN NICKELS californians are not taking—except in fun— above mock money circulated in an attempt to defeat the “$30 every Thursday” pension plan to be _voted on Nov. 8. The pension plan figured in primary campaign of Democratic Sheridan Downey. 'Nation Is Urged to Warning, Europe’s Crisis, f Aleutian Is De ed, Odd Case SURPRISE PLEA ENTERED IN BIG ESPIONAGE CASE {Deserter Admits Stealing U. S. Government Military Codes THREE CO-DEFENDANTS NOW GOING ON TRIAL Judge Warns Jurors Not to Become Excited Over Developments AT EOF CONEUSON IN BANKRUPTING PUBRLICLY OWNED UTILITIES BAY BRIDGE SCHODL TEACHERY ACHOOL DISTRICTS YOU~ME *EVERYQNE ELSE NEW YORF, Oct. 14—Guenther Gustave Rumrich, former United States Army Sergeant, unexpectedly pleaded guilty to esplonage charges in Pederal Court today as he was about to go on trial with three others accused of being spies. Judge John Knox deferred sen- tence until the end of the trial. Rumrich is alleged to have stolen goyernment military and aviation codes. He is a native of Chicago and the son of German parents. He deserted from the Army in 1935. Rumrich entered his plea as the ~ |judge was about to order a jury | empaneled for the first important | espionage trial in the United States | since the World War | The jury of ten men and two wo- | men was finally chosen in an hour and a half and Judge Knox told the veniremen they should exercise the “same fair judgment in bal- ancing the evidence against the de~ fendants as for Americans.” Take |LABORCONCLAV DENOUNCES NEW | | OF CONSPIRACY Various Charges Made— Jury Returns Verdict of Guilty in L. A. Court LOS ANGELES, Cal, Oct. 14 Harry* W. Dail, International Or- ganizer of the AFL Teamsters’ Un- ion, and Exter L. Lewis, President| of the Los Angeles local, have been convicted in the Superior Court of Los Angeles County, of criminally conspiring to direct a reign of labor violence in the Southern Califor- nia’s trucking industry. % Dewey Copeland and David Bel- anger, unionists, have been con- victed of conspiracy, assault and extortion. Dail is a former Seattle leader. labor Parents of Jun Are Shocked at Shooting Tragedy of Last Wednesda SEATTL! Oct. 14 —Parentss of Mrs. Forrest B. Smith, one of the principals in the shooting tragedy at Juneau, Alaska, in which Thomas Oliver Colling, Steward of the steamer Tongas was shot and killed by Forrest B. Smith, reside in this city. The father first heard of the tragedy through Associated Press dispatches and a brief radiogram | from his daughter, last Wednesday While Europe’s statesmen worked for new changes on the mop of the continent, Japanese armies ad- vanced in an effort to redraw the map of Asia. Civilian population lon the South China coast started a mass exodus to the interior in flight from Japanese bombardmen's in Canton, goal of the new Japan- ese South China offensive. Prepara - tions were rushed to send 400,000 men and children to the interior as Japanese forces, which already have taken the great cities of Peiping, Tientsin and £hanghal, | moved nearer Canton. ecau Woman Y ] BLUENOSE IS WINNER OVER ATLIN COUNTRY “L 00KS 600D" T0 MINING MAN Walter Johnson Sees New Prosperity in Every North Camp Walter Johnson, dredge builder, litary BefenseSSSEAMflfls UNION | WASHINGTON, Oct. 14. — Ber- nard M. Baruch, World War Mar-| shal of American Industry, urges this Nation to take warning of Eu- rope’s recent crisis and look to mili- tary defenses. | The financier ana adviser of sev- eral Presidents of the United States, asserted that after a talk with | President Roosevelt, it was made clear that in some respects defens es are i a “desperate” condition. | Baruch said immediate needs list- | ed are full equipment for the Army, | a National Guard of 400,000 and war ‘ plane production on a mass basis. Assistant U. S. Attorney Stump's Scalp Sought by Alaska Delegates KETCHIKAN, Alaska, Oct. 14.— swelled in numbers by the arrival |of more delegates from San Fran- |cisco and Seattle, has denounced “the attempt of the Sailor’'s Union to issue chartérs to fishing groups as disruptive and treacherous to unity in the labor movement.” The action followed a _dispatch | | | from San Francisco yesterday tell- The Labor Unity Conference he:e.l - 6. L. THEBAUD |Annual Fishermen’s Race | Is Run Off North At- and one of Alaska’s most well-| known mining men, visiting in | Juneau on his way Outside after a | summer of travel to widely sep-| . | | Passe“ger Tral" arated properties in which he is| Gasaline Truck NEGRO YOUTH STRUNG UP ON ing plans for a new AFL seafaring union charter for “everything that floats.” Martin Hegeberg, agent of the Copper River and Prince William “Other people may become ex- cited,” he said, “but jurors must re- main detached.” I The co-defendants are Johanna | Hoffman, 26, former hairdresser on the liner Europa; Otto Herman Voss, 36, naturalized German and formerly employed at the Seversky plant, and Eric Glaser, 28, another naturalized German and former | Army private attached to the Mit- chel Aviation Field. “HOT” EVIDENCE | NEW YORK, Oct. 14.—Evidence which a defense lawyer described as “too hot” to send through diplo- matic channels was brought back from Germany by a federal com- mission for the trial of four alleged members of an international es- | pionage ring. | George C. Dix, who returned with [three federal investigators aboard Sound Fishermen’s Union, which is|the German liner Europa, said tha listed in the San Francisco dispatch |testimony taken in Berlin would as one of the applicants, said the|“completely exonerate” his client, statement was false and that his or- | Johanna Hofmann, twenty-six, for- ganization has been r:onlemplnting;mer beauty salon operator on the no such move. (liner Bremen who is awaiting trial The convention passed a resolu-|on charges of being the “pay-off” tion against Assistant United States agent for the spy ring. Attorney W. C. Stump, asking his| The federal men, Assistant U. S. removal because of his conduct in| Attorneys John W. Burke and Les- the case in which two trap watch-|ier C, Dunigan, and Special Agent The convicted men will seek a|Dight, which said she and her young | | interested, can be “given the palm” | new trial | daughter were safe and she prom- lantic Coast | M for a lot of the North's develop- RO e | ised to write explaining the shooting | | ] ment in the mining industry. Fight tu Stan o rap | GLOUCESTER, Mass, Oct. 14— | 0 | This summer, Johnson has Archambault, father of the Ju-|The old Queen of the North Atlan- | gencer reporter, that Smith and his‘dgf(\;"_(xd Capt. Ben Pines’ schooner | t r | daughter “got along fine as far as| Gertrude L. Thebaud, challenger of | he knew.” the International Fishermens’ Tro-| TREE BY OB Alleged Slayer of Foreman, Slugger of Woman, Killed in South Bystanders Are Killed in Accident at Sacramento River Bridge SACRAMENTO, Cal, Oct. 14— itiated development work {neau woman, told a Post-Intelli-|tjc, Capt. Angus Walters' Bluenose N t. y J hl “Smith had a hot temper,” con- | phy, around a 40-mile course, by 12| | tirst time T ever heard of him get- |ting in trouble. Thelma (Mrs. The elapsed time of the Bluenose | {1574 Fioriks. 89 miinutes AR 107 seo-| L7 0 en. Were killed last hightidn |a crash between a gasoline truck 1909, Johnson's dredge building firm has constructed 30 dredges for min- {ing in the North and he has been | Smith) is our only child, the dear-|onds, within five minutes of the | est thing to our hearts. Of Course\‘recgrd. | we are shocked at the shooting and| I cannot imagine the father of a| | beautiful baby doing a thing like|* Atlin district, on Canyon Creek in tinued Archambault, “but this is the| minutes. Correlated Program May Be the Fortymile, on Wattamuse Creek Proposed to Congress in the Goodnews Bay area, and has laid plans for production on Cari- Early in Sessu;n | that. T feel certain that our daugh-| | STOCK QUOTATIONS WASHINGTON, Oct. 14. — IN-|ter is blameless of wrongdoing.” |# bou Creek near Fairbanks. Since his coming to Alaska in formed persons in the Admjnistra-| = archampault said his daughter | ton have disclosed that a broad jey geattle five years ago to work| NEW YORK, Oct. 14. — Closing and new attack on the problem of | gor 3 jingerie sales staff in Alaska | quotation of Alaska Juneau mine unemployment is in the making and| anq there met Smith and they were |stock today is 9%, American Can| this may result, they said, in Pre-|married. Since then, each year she|104%, American Light and Power senting to Congress early Next VEar| p,s yisited her parents during the 6%, Anaconda 407%, Bethlehem Steel a correlated program for restoring| christmas holidays except last 637, Commonwealth and Southern work and opportunities by improv-| christmas, s 1%, Curtiss Wright 5%, General ing conditions in the Nation’s basic| | Motors 50, International Harvester durable goods industries | 6512, Kennecott 497%, New York| At the same time it is learned| Forrest B. Smith, who admitted | central 28, Safeway Stores 17%, that the major objective of me;Iatally shooting Thomas Oliver Cbll«;&,umpm Pacific 20'4, United States Monopoly Investigating Committee | ing here Wednesday' because he al-| gteel 63%, Bremner bid %% asked will be to uncover business prac-|leged Colling was intimate with| 11, Pound $4.73 | tices and faults in the Nation’s eco-| Mrs. Smith, will be held for lhei | nomic structure which are prevent-|grand jury, which convenes Novem- ing people from getting jobs. ber 15, unless he demands a pre- .- | +* | | | | DOW, JONES AVERAGES The following are today’s Dow,| Jones averages: industrials 15145, | down 1.01; rails 30.17, down .37; util- | ket manager, and Herschel Steph- 4 | enson, who were sitting at the flag- Iand a Southern Pacific passenger |train at the west entrance of the Sacramento River bridge. The dead are Chang Lung, mar- interested in more properties than that. Likes Atlin Area Of interest to Juneau, Johnson, holds high hopes for greater ex- pansion in that section with Ju- (Continued on Page Three) man’s station at the scene of the accident. men were sentenced to jail because the trap was being “fished” one | Sunday last summer. The men in the case in question were released later pending a hear- {ing on writ of review by the Dis- trict Court. This week the case was put off until later, which the reso- ’Iutlon points to as admission that | the case is to “be pacified by a | whitewash dismissal of the case.” | RUSTON, La., Oct. 14.—District| Judge E. L. Walker announces he will call a special session of a grand jury to investigate the lynching yesterday of R. C. Williams, a 19- year-old negro, by a mob of several hundred men. | The mob caught the negro, | marched him to the spot where it is said he killed R. M. Blair, 30, A Plane Could Bomb London And Still Be 5 Miles Away five miles before they reached the city. Otherwise their bombs would WASHINGTON, Oct. 14— Nobes|;iready be on the way down and the PE WL, | planes might have turned back for Did you know that a plane could | home without ever having passed drop tons of bombs on London with- l over the city. out passing over the city? It could. glat ‘When a bomber “lines up” on its| BOMB AFTER BOMB target, it may be traveling 250 mnesi‘ Every soldier with a grain of air an hour. With a tailwind 1t might|,noyleqge knows London could be By PRESTON GROVER Jonesboro papermill foreman, last Tuesday and slugged his woman companion, and strung him up from a tree then riddled the dangling body with bullets. Marihe m&s TRYING AGAIN T0 SETTLE Bl FRISCO STRIKE ediator Calls Union and Flies to Hoonah 0“ chanar Trip’ Distributor Assn. Offic- T [ ials to Conference | | | | | John T. MacLaughlin, declined te comment, | Trial of Miss Hofmann and the |three other defendants had been postponed until today, to await | their arrival. Deal Hinted | The federal commission went |abroad to take testimony from Dr. |Ignatz T. Griebl, former New York ;physiclnn and a lieutenant in the United States Army Medical Re- |serve, who fled to Germany after 'he had been indicted on spy | charges. His wife, Mrs, Marie Griebl, held in $5,000 bail as a material witness for the pa hiree months, was sub- sequently released and sailed incog- nito on the Italian liner Conte de |Savoia to rejoin her husband in | Germany. | | | | Federal authorities declined o |discuss whether she had been |granted her freedom as a result of a “deal” with Dr. Griebl to tell ad- |ditional inside facts on the inter- | national plot. 0, up .93. | be doing 300 or more. Under such| pompeq over and over again in - eee liminary hearing in the meantime, A"cnorage vutes | Assistant District George W. Folta fssud today. Smith has been charged ANCHORAGE, Alaska, Oct. 14— By a majority of seven votes, An- chorage taxpayers have approved of a bond issue of $110,000 for con- struction of a gravity water sy tem. The PWA loan will total about $200,000. with manslaughter and is in the | Pederal jail under $10,000 bond. Records of the Department of Justice reveal that Smith’s true name | he is a native of Missouri. On the |stand yesterday at the coroner’s | inquest, Smith said he was not | sure of his true name but that he | believed it was Bonsall, although he ‘had always gone by the name of Forrest B. Smith during his long residence in Juneau, |is Ford Victor Bonsall and that | | ities 23.5 “ — G FRANK BURNS OFFICIAL ENDING STOPOVER HERE John Gaffney, Vice-President of |the Frank Burns Company, with |offices in Seattle, has been in Juneau for a few days en route |south after a summer in the In- terior with headquarters at Fair- banks. Gaffney will go south tonight on the steamer Denali. | conditions a plane 20,000 feet, in the | gpite of the best defense now avail- air must release its bomb as many | sple Planes sweeping in from the as 5 miles before it gets over the North e could be over London be- target. At the moment of release, | fore counter-attacking planes could the bomb is traveling at the Same | gt up to fight them speed as the plane. It continues its| " gpells from modern anti-aircraft forward flight while it is descending, guns could reach these planes be- following a long, downward curve| fore they are in position to drop from the time it leaves the plane tnheir pombs, even though they until is strikes. may do it five miles out. American That means that if enemy planes | three-inch anti-aircraft guns have were flying to bomb London, they would have to be shot down three to (Continued on Page Seven) Alex Holden returned from a ir SAN FRANCISCO, Cal, Oct. 14, to Atlin yesterday afternoon and —A new basis for a settlement in brought in Walter Johnson and A. the dispute which has locked more Dix said Dr. Griebl's testimony proved his contention that Miss Hofmann was “an innocent tool” in the spy syndicate. Foubert, from Atlin, and stopped |than 100 warehouses and thrown at Taku River Lodge to bring in 2,000 men out of work, is beinz; {L. Shirts, explored. | Cope was to fly to Hoonah this| Paul C. Smith, mediator, told | afternoon on a charter trip with of a new approach without dis- Walter Johnson, returning this|closing details, as he called in CIO | evening. International Longshoremen's and Yesterday, Cope returned frojn Warehousemen’s Union and the| Sitka with Dr. T. J. Pyle and Distributors Association officials for | N. A, McEachran, xa conference, He also said he had “got the goods” on Leon G. Turrou, former federal agent whom he previously accused of having permitted Dr. Griebl to leave the country. Tells of Warning Turrou was at the pier to meet Burke and Dunigan. —————— - (Continued on Page Seven) I 1