Evening Star Newspaper, February 7, 1921, Page 1

warmer night. tonight; WEATHER. Rain late tonight and tomorrow: colder Temperature for twenty-four hours tomorrow ended at 2 p.m. today: Highest, 52, at 3 p.m. yesterday; lowest, 29.3, at 4:30 am. today Full report on page 12. 1 Closing New York Stocks, Page 15. he #h No. 28,041. Entered as second-class matter post office Washington, D. C. WASHINGTON, eriny WITH SUNDAY MORNING EDITION D. C., MONDAY, FEBRUARY $486,000 1S VOTED TOBUY A SITE FOR ARGHIVES BUILDING Senate Decides Upon Pur- chase of Property at 12th and B Streets. OHIO AVENUE NOT TO BE BLOCKED BY STRUCTURE Effort to Seize Ground Intended for State Department Build- ing Is Defeated. The Senate today voted an appro- priation of $486,000 to purchase the land lying between 12th and 13th etreets and B and C streets north- west as a site for a national archives ‘building. It added a proviso, however, that no street or avenue shall be closed or used for the erection of the build- ing, on motion of Senator Underwood of Alabama. Ohio avenue runs diagon- ally through the land upon Which it is proposed to erect the structure. Senator Underwood’s motion is to pre;’,ont closing of Ohio avenue to raffic. £ The Senate also provided $10.000 for working drawings in accordance with the plans prepared by the super- vising architect for this building. Long Discussion Follows. The amendment providing for the appropriation precipitated a long dis- | come from “one nation.” cussion. The committee proposal was that the two small blocks lying be- tween 12th and 13th streets and B reets northwest, separated (from London carried a A S ased | Chancellor J. Austen Chamberlain of 1| the British exchequer that such a by Ohio avenue, should be purch for the building to house nationa archives. Senator Robinson . of Arkansas opposed the amendment on the ground that .the government should build the structure on some property already owned by the sov- ernment and thus save a half million dollars. Opposition to the committee’s pro- sal was also expressed by Senator Cnderwood of Alabama, who insisted that to purchase these two small made under “solemn commitments” al- squares and close up Ohio avenue,ready entered into. would work a great hardship on per- sons living south of Pennsylvania avenue, would be intensified by cutting off Ohio avenue. Senator Poindexter, who the public buildings commission in 1917 had recommended the site pro- posed by the committee. He said it was shown in the com- mission’s report an archives building ‘would relieve other uses 805,000 cubic feet. l::&&fia now ‘ccupted | by govern: records in government signed to hold the government records ‘would make available to government officials and the public many records ‘which pow- are great diffi¢uity or are entirely inac- cessible. Other Sites Proposed. A letter read only with ; i i i 1 i | who must use the street' thorized credits going east and west. He pointed out | Great that the present traffic congestion at!amounts, he said, but France, Italy, Pennsylvania avenue and 15th street has | that requests for payments would be strongly favored the erection of an{made by these nations, but added that archives building, pointed out that!“it would be very unfortunate if this H | by Senator Robinson!tion that had paid the interest on its WHITE HOUSE AWAITS WORD OF PRESIDENT'S INAUGURATION ROLE Calling off of the inaugural plans, it was learned today, has caused per- plexity at the White House as to the part President Wilson is expected to take the simple ceremonies that will mark the beginning of the Hard- ing administration. The White House has received no official advices in the matter, and Secretary Tumulty today inquired of newespapermen if they knew who*y procedure is contemplated. An f..- ddressed to the inaugural committe ticularly as to whether Mr. Harding would visit the White House before the inaugu- ration and ride to the Capitol with President_Wilson. formal inquiry cials said that ir- Tespective of any other arrange- | ments, President Wilson would go to his room at the Capitol on the morning of March 4 to sign bills | passed in the closing hours of the present session of Congre LOAN GANGELLATION ASKED BY ONE ALY That Request Was Made of | United States Is Ad- mitted Officially. First official admission that the United States had been requested to cancel loans to allied government was made today by Secretary of the Trea: ury. David F. Houston, in testimony before the Senate judiciary commit- tee. s The Secretary said the request had/ “What nation?” asked Senator Ree! “I prefer not to say,” replied the Secretary. a Recent Associated Press dispatches atement by’ suggestion has been made to the United States. More Advances Possible. Secretary Houston informed _the committee today that while it was his| policy not to establish additional cred. i its for foreign governments, if re- quests were ‘made for advances on! credits already established there was a possibility that payments would be The Treasury Secretary estimated! that $75,000,000 was the total of au- not yet absorbed.| Britain has taken its full Czechoslovakia, have balances with the Treasury. testified that there was no indication Greece and leerial { government failed to keep its pledge in case request was made. Senator Reed, democrat, Missouri, author of the pending bill to pro- hibit further Yoans to foreign gov- ernments, safd the Secretary’s prom- ise that me additional credits would be established would not bind his successor. and that that was what was sought. ¢ Only Greece Has Pald Interest. Mr. Houston testified that the Treasury had not called upon the debtor governments to pay |nterest. on their borrowings during the time negotiations were on for funding, and that Greece was the only debtor na- i WARLIKE STAND, HE SAYS | | program before the change in admin- He a from R Williame of Arkansas, who | borrowings. has been visiting here, suggested that| Nicholas Kelley, assistant secre- the Navy building and the munitions!tary, in charge of foreign loans, was bulldh:.t[ lflit:l‘;-‘bt used for the g6V-| agked by Senator ueaa & pn‘;duce ermment reco: | contractual papers and other docu- Senator Poindexter, however, point- | santa megotiated by the Treasury: ed out that these buildings were not| with the other governments, but he suited for the storing of government | 43 not have them with him. records and also it was proposed eventually to remove them. Senator Underwood heid that the relations committee in executive ses- government should build an archives | Lion to discuss foreign hall on the lot which the government | ¢10¢ he did not believe it desirable \many voices raised in favor of the! purchased some time ago as the site for a State Dlgflm nt buildin, It lies between 14th and 15th streets and B and C streets. Finally Senator Un- derwood offered an amendment pro- viding that no street or avenue shall be closed or used for the erectioh of the archives building. Econemising on Printing. Continuing its consideration of the sundry civil bill, the Senate agreed to the committee amendment provid- ing that any magazine or periodical published now by a department or an establishment of the government may, in the discretion of the head of the department, be continued within the limitation of available appropriation until December 1, 1921, when, if it shall not have been specifically au- thorized by Congress, its publication shall be discontinued. Another committee _amendment adopted establishes a new system for paying for the Congressional Record index. Specific salaries are provided for this work, instead of a lumpgum. Item for Service Mem Debated. The Senate then took up the ques- tion of providing additional hospital| facilities to care for the disabled soldiers and sailors of the world war. An amendment proposed by Senate committee authorizes the ex- penditure of $17.500,000 for this pur- pose, specifying in considerable de- tail how and where the money is to be expended. Senator Robinson of Arkansas pro- posed to increase the amount to ap- ' by He objected | They will proceed, however, with the to the proposal of the committee that | various other Senate amendments to ing., Great there be created a commission com- | the appropriation bill this afternoon. this year posed of two senators, two members | proximately $30,000.900. of the House, the surgeon general of the public health service and other government officials to carry out the provisions of the act relating to the erection of these hospitals. He said that in his opinion sepators and mem- bers of the House would be less quali fled for this work than other gov- ernment officials would be. be left to the Secretary of the Treas- ury and his aids. ARMED MEN IN AUTOS the | He sug- | gested that the selection of the sites| 1 | CONSTANTINOPLE, February 7.—|to pay the salarics and pensions of i _ | the crowd of other officials here. The | | Though most oficials believe an un-| cygtantinople government i torg | derstanding between Angora and|that it must send delegates to Lon- i | Secretary Houston said he was to appear tomorrow before the foreign RVAL ARMANENTS NEANBANKRUPTEY ASSERTS NONDELL House Leader, at Committee Hearing, Argues Need of Limitation. AMERICA ALONE TAKING | Republican Legislator Is Critic of Secretary Daniels’ Program for Navy Second to None. An international agreement for limi- tation of armaments is absolutely sential to the avoidance of bank ruptey by some of the more impor- | tant nations of the world, with its attendant measureless confusion and | distress, Representative Mondell of | Wyoming, republican House leader, declared today before the House naval committee. If an agreement is not reached in the near future, Mr. Mondell said, the fault will be that of America, as in former days the fault was that of Germany. He added, however, that there was no time to work out the | istration next month. “Unbearable to Others.” “The fault will be ours,” he assert- ed, “because, as we are the only great | nation which could maintain enor- ni mous establishui without bankruptey, without being condemnecd to bear indefinitely and | add to today's frightful load_of na- tional debt, it is our duty to Icad the | way toward relief from the present and future burdens of warlike ex- penditures, which, irksome and op- pressive to us, would be unbearable to other nations. “More than that, it is our duty to lead the way, because, strangely enough, we are the only great nation | that since the world war has official- on land and s | {1y taken a position favorable to the | increase rather than the decrease of armaments and warlike expendi- tures.” Assails Daniels’ Proposal. ‘ Mr. Mondell attacked the executive | departments of the government for | their advocacy of increased naval and | military forces and assailed particu- | larly Secretary Daniels' proposal for | avy-second to none. “We have not followed Secretary | Daniels’ ambitious program,” he said. | “We shall not follow it. But that pro- gram is a message that goes out to all the world from alleged peace loving, non-militaristic America, a8 the official announcement of the ad- ministration, accepted abroad as a mandate to, if not an expression of | the will and purpose of, the Amerjcan | people. .. v e, “It is true that the government of Japan, stirred and spurred by the jingo sentiment of the minority op- Dosition, was compelled to and. did | make an announcement of a plan and program of naval construction which, while small compared to ours, was| practically impossible of accomplish- ment in the condition of the indus- tries, the trade and the finances of the nation. But this remains as yet, | in the main, merely an announcement. | a diminutive Roland for our monu- | mental Oliver. | British Attitude. | “As to England, her statesmen and | her people have had the good sense to decline to be carried off their feet or impoverished in their resources by an effort to imitate or follow the fan- tastic program outlined by the ad- ministration. loans, and to make the papers public. D. C. BUDGET CONFEREES SEE EARLY AGREEMENT Senate and House Members Hold First Conference—Are Optimistic. The conferees on the District ap- propriation bill held their first meet- ing at 2 oclock this afternoon. It was the expectation when the con- ferces assembled, that it would be possible to reach a comparatively early agreement on the bill, The controversy over the method of appropriating for the District of Columbia extemds to the appropria- tion bill as well as to the Jone Mapes bill, which is also in confer- ence. The conferees on the Jones- Mapes bill are to meet tomorrow, ac- cording to present plans. They have already had one meeting, and hope has been expressed they, too, would be able to reach an agreement. The inclination of the conferces on the appropriation bill is to leave the settlement of the method of ap- propriating to the conferces on the Jones-Mapes bill. and to be guided the result of that conference. Turk Nationalists Demand Allied Invitation to London By Cable to The Star and Chicago Daily News. Copyright, 1 Constantinople is impossible, the typ- fcally oriental bargaining continues KIDNAP NEW YORK GIRL | between the two capitals. Bekir-Sami Young Woman Carried Away After | Pasha, the new nationalist minister | {oT foreign affairs, in a manifesto is- | Fight With Pistols, a Compan- |gyeqd February 1 and addressed to the | civilized world, claims that the Turks | sincerely desire peace, provided the allies recognize the Angora govern- ment and officially invite the national assembly to send delegates to the| London_conference. On the other hand, the sultan has| received a long telegram from Kemal Pasha demanding immediate recogni- tion of the Angora national assembly and its proclamation as the only legal | legislative body in the empire. Con stantinople being under foreign occu- | pation, the sovereign, according to| Kemal Pasha, must recognize Angora ! as the capital of Turkey, but owing to the relizious importance of Con- | stantinople the sultan must live there. The Angora cabinet is willing | ion Being Wounded. WHITE PLAINS, N. Y., February 7. —Reports that two automobile loads of armed men, accompanied by a wom- an. Kidnaped Miss Anna King, a New York girl, from Scarsdale last mid- night after a fight in which pistols and a shotgun were used, were made today to the police. During the struggle another young woman, the daughter of Mr. and Mrs. Lewis Albohns, whose home was in- vided to seize Miss King, was grazed over the eye by a bullet. The invaders. according to Mr. Al- bohns, claimed that Miss King was the wife of one of the young men in the party. She was taken away in one of the automobiles after a cloak bad been wrapped around hers to send one of its members to Con- stantinople to act as a liaison official. 1f the government here agrees to these conditions, Angora, in returm, | ing to London to explain to the con- “I am glad to know that there are | checking of the growth of militarism, 1t argues well for the future. I.have | a suspicion, however. that all of the | voices we have heard raised in favor | of international agreements are not | wholly sincere. 1 cannot help being | suspicious of a certain class of peo- | ple who fervently urge international agreements for disarmament. Com- | plete disarmament is not possible, and one of the most effective ways in which to head off, thwart, sidetrack and defeat a reform movement is through urging it in a manifestly im- practicable way.” Would Not Destroy Navy. “I have no disposition to destroy the Navy,” said Mr. Mondell, after he finished reading his prepared state- ment. Representative Britten, republican, | Illinois, took vigorous issue with Mr. | Mondell several times. He partic: larly challenged the House leader's statement that the best naval judg- ment of the world had declared the dreadnaught to be obsolete and pro- tested against Mr. Mondell's assertion that in the world war the British bat- tle fleet “hovered cowardly” at its, base because of fear of airplanes and | submarines. Representative Towner, republican, | Towa, declared himself as opposed to any “naval holiday” agreement or any | effort by the United States to disarm | before the other powers took similar action. He urged completion of the ! present naval building program, but no authorization for substantial ad- | ditional construction, and asserted! that, contrary reports notwithstand- ritain’s naval budget for s nearly $500,000,000. will pay the sultan a yearly el ance, and also supply sufficient funds | don to prevail upon the allies to send | a direct invitation to Angora to be | represented at the conference. Both | the notes indicate that the only aims | of the nationalists are recognition by Europe, the transformation of the sultan 'into a mere religious chief and an invitation to the conference as official Turkey. In allied circlés it is not believ. that such recognition can be lé?v:g‘ on the ground that it would only strengthen Kemal Pasha’s prestige among the Mussulmans without any assurance that he would accept the allied terms. It 18 said that a mission is proceed- ference the dangers to the case an understanding wnh‘k":;m{: is not reached. 1f the Constantineple delegates feel the slightest hope that Kemal Pasha's claims may be at least partially met it is believed that they will return to Constantinople and make way for nationalist dele- gates. However, all are pessimistic as to the issue of the conference, even if the nationalists are invited to London, so long as the bolsheviki are in command in Angora, . ~ Wil (27 | EGION HEADS HERE 10 WORK FOR VETS Push Americanization Work, Act on K. of C. Offer and Fight Army Bill Cut. Representatives of twenty organi- zations of national scope who are interested in Americanization work will meet in Washington March 15 to draw up a co-ordinated program for such activities, according to an an- nouncement made here today before the national executive committee of the American Legion, meeting in the Washington Hotel. The announcement was made by Henry J. Ryan of Boston, chairman of the legion’s Americanization com- ! mittee, who said there were at least $,000 disloyal teachers in educational institutions in the United States who should be removesl, of which some 2,000 were in colleges and univer- sities. { Orgnizations Pushing Work. i The organizations which are now doing Americanization work inde- pendently, and which the American Legion hopcs to unite in a way that 7, y FUL L ONUS 1921 —TWENTY-TWO PAGES. Member of the Associated Press The Associated Press is exclusively entitled to the use for republication of all bews dispatchrs credited to it or not otherwise credited in this * ANl rights of publication of special Ppaper and also the local news published heretn. ! dispatches herein are also reserved. Saturda Sunday’s Net Circulation, 91,417 Net Circulation, 90,990 TWOQ CENTS. | FoR POLICEMEN anD FIREM EN. PRESENT. FAY. A 1GLL BONDS 75 o~ IRED 7O WEEP THE RS FILLED TO CONGRE ANARCHY IN NORTHERN ITALY NOW THREATENS TO BECOME OPEN WAR By Cable to The Star and € ‘opyright, 1 ROME, February T7.—The vio- lence and anarchy in agricultural Emilia (northern Italy), amount- ing almost to open war, have reached a pass where public dis- cussion relates chiefly to such de- velopments as the burning of houses of labor in Modena, Bo- logna and Ferrara by armed bands of ‘men assisted by uniformed of- ficers, while military policemen looked on impassively. The inabil- ity of the socialists Lo resist these numerous attacks is a striking fea- ture of the labor struggle. Socialism has conquered Emilia. Seven of the eight deputies chosen at the last election are socialists. Bologna’'s municipal administra- tion is also socialistic, as is that of most of the other cities. For years the soclalist party has sought to reduce all the categories of agricul- tural labor to a single salaried class. The houses of labor claimed exclusive right to provide he various proprietors with workers, and _gradually they became so strong that they imposed theit point of view upon the proprietors ruling them by means of boycotts. GOURT GIVES RIGRT T0 ERECT STORES Ban Put by Commissioners will prevent duplication of effort, in- clude the American Federation of La- bor, Salvation Army, Knights of Co- lumbus, Y. M. C. A, Y. W. C. A, Ameri d Cross, Boy Scouts of America, National Security League, Women's Roosevelt Memorial Asso- |a joint control of the memorial build- | Touis F. Post, in deportation cases. ciation and many large fraternal orders. A report was given showing that the Army appropriation bill, as passed by the House, is so small that 40 per cent of the authorized strength of the National Guard will be prevented from taking any field training next summer, and a resolution was adopted empowering National Commander F. W. Galbraith and the legion's mili- tary policy committee to press the sit- uation on Congress. The report was read by D. Markey of Frederick, Md. Silent on K. of C. Offer. The question of accepting the offer of $5.000,000 by the Knights of Co- lumbus with which to build a memorial in Washington to those who died in the world war will be laid be- fore the committee by Commander Galbraith either late today or some- time tomorrow. Every one of the fifty-five members | of the committee has received scores of letters on the question, some urg- fng that the offer be accepted and | others asking that it be rejected, but the members will not forécast their action. Discussion will center about a clause in the offer which provides for ing, and it is understood that there is some objection to that feature, Hope to Ald 22,000 Il Soldiers. The chief business of the committee | during its three-day meeting here will | be in the interest of the 22,000 war veterans who are now in hospitals, and whose number is increasing at the rate of 1,900 a month. 1t is reported that at least 12,000 of the number are in hospitals unsuited to care for such patients, and that in some cases men with mental dis- orders are in hospitals for the crimi- | nal insane. The tentative program of hospitalization mapped out by the Jegion would call for an appropri tion of $85,000,000, not all of which would have to be appropriated at once, however. Members of the committee said to- day that the legion had not receded a foot from its stand in favor of ad- Justed compensation for all men who Were in the service during the war. The executive committee decided to denaunce the action of Secretary Wilson of the Labor Department in publicly Upholding the action of his assistant, TFre subcommittee investigating Mr. Post's record in this connection was directed to draw up suitable resolu- tions. —_— Ruled Ineffective Under Existing Zone Law. An ordinance adopted by the Dis- trict Commissioners May 26 last, pro- viding that no store could be con- ducted on a residence street without the consent of three-fourths of the property holders within 200 feet, was declared invalid today by the District Court of Appeals, in two decisions rendered by.Justice Van Orsdale. The court held that the ordinance is in conflict with the provision of the zoning law, which it holds was then in effect. The zoning commission, and not the District Commissioners,” under that enactment, have the legislative power to govern the use of property, the court pointed out, the Commissioners being empowered only to enforce regulations adopted by the zoning commission. Section 10 of that act, while saving to the Commissionérs the right to make municipal regulations, as here- tofore, provides that such regulations may not be inconsistent with the pro- visions of the zoning law. The court reversed the decisions of the District Supreme Court, which had refused mandamus writs against the District Commissioners asked by Mollie Schwartz and W. Walton Ed- wards. Mrs. Schwartz sought to erect a drug store in a residence block, and Mr. Edwards wished to construct a building to be used as a delicatessen store. B iToday’s News 4 in Paragraphs Hammond is likely to be offered port- folio of Secretary of Commerce. Page 1 British request for remission of U. 8. loan to allies creates sensation " in London. Page 1 'Harding may name Chamberlain to Shipping Board. Page 2 House passes bill for five hospitals for war veterans. Page 2 German leaders say allled terms are ‘more severe than a victorious Ger- many would have imposed. Page 2 Daniels issues challenge to Mitchell in air-warghip dispute. Page 3; American Legion executive committee opens session here to act on K. of C. offer of $5,000,000 memorial building in D. C. Page 3 MOTHER PLEADS FOR SON. Mrs. Foster Will Seek Aid Here to Stay Electrocution. OSSINING, N. Y., February 7.— Mrs, Anna Foster, mother of Jesse Walker, the Evansville, Ind., youth sentonced to be electrocuted In’ Sing Sing prison next Thursday night, hav- ing been unsuccessful in her efforts to have Gov. Miller save his life, left for Washington today to try and en. list the aid of the United States sen- ators from Indiana, and possibly President Wilson, in her son's case. ‘Mrs. Foster said the people of Evansville are working with her, and hundreds of letters have been sent to the Indiana legislature protesting against the electrocution of her son, who i not twenty-one years of age. Walker and Guy Nichols, both former seamen in the Navy, were| convicted of killing Samuel Wolchaki in his stationery store in Brooklyn, - Atlantic and Pacific fleets steaming toward each other for sham battle in southern waters. Page 4 Prosecutor wants jury of all women or all men for McGammon trial in Cleve- land; brief news of U. S. Page § Edward Chester Barnard, survey expert and U. 8. boundary commis- sion, is dead. Page 17 Federal employes take steps to secure uniform annual and sick leave priv- ileges. Page 12 Three D. C. residents badly hurt when two motor cycles and an auto figure in accident on Conduit road. Page 13 Tenure of D. C. Commissioners holdin; office under recess appolntments near- ing close. Page 13 President refuses to interfere in railroad wage controversy. Page 13 Democratic committeemen ask for meet- ing to organize for fight, Xage 1§ HARNIOND LIKELY TOGET PORTFOLID If Selected for Cabinet Would Be Credited to District. Treasury Post Not Closed. | Special Dispatch to The Star. ST. AUGUSTINE, Fla., February 7.— There is good reason to belleve that ithe movement ncw on foot to make Commerce in the Harding cabinet may jsucceed. The President-elect serious- ly is considering the matter and hun- jdreds of telegrams have poured in upon him suggesting the advisability 1of the appointment. There is some question as to whether Mr. Hammond would accept a cabinet post. but his friends b lev{efihe might be induced £ M. Hammond should be appointed he undoubtedly would be credited to ifew residents of voteless Washingt iever 1o attain such rank. Mr. Ham- mond, of course, has a home in Gloucester, Mass., and that probably I8 his official place of residence, but Ihe spends most of his time in his palatial home in Washington. Massa- |chusetts is to be honored by the ap- ipointment of John W. Weeks as Sec- {§tary of War, and so 3r. Hammond, it s the cabinet, wil cord- {ed from the District. e | ;Some of the telegrams which urge the appointment of Mn Hammond have the frankness to say to the President-elect that the strength the distinguished mining engineer would |16nd to the official family is a most desirable factor. Mr. Hammond prob- ably will be surprised himself to learn of the extent of the movement which is_under way in his behalf. Senator Harding has been casting about for a strong Secret. - apont g ary of Com: Would Please Europe. Mr. Hammond's appointmeni Place in the cabinet a man witn ba ! international point of view. With the climination of Charles G. Dawes, who served under Gen. Pershing in France, it was supposed that. the {last man with a thorough knowledge of Europe had been dropped from consideration. While it is true Mr. Hammond saw no service overseas during the actual period of the war, he has had a wide and interesting experience in Europe and South Africa within recent years, and has an acquaintanceship among the men water which would be a dec assct to the Harding adminisesatise Mr. Hammond numbers his friends not alone among the statemen of Europe, but among the financiers and {business men. There is no doubt but that his appointment would be viewed abroad with the greatest sat- istaction. in the Harding cabinet some one it knows, and some one who knows Europe through actual contact. While it would seem offhand that the selection of Mr. Hammond as Secretary of Commerce .would com- plete the slate for the Harding cab- inet, there are surface indications that the post of Secretary of the Treasury has not yet been definitely decided. Andrew W. Mellon, the multimil- lionaire banker of Pittsburgh un- doubtedly is foremost in the mind of the Presldent-elect at the moment, but the virtual declination of the post by Mr. Dawes has spurred the friends of Charles Dewey Hilles of New York to renewed efforts in his behalf. Not only this, but it has become known that Mr. Hilles has been invited to St. Augustine for a further conference with Mr. Harding and will be here some time this week. . ‘Will Disregard State Lines. James W. Wadsworth, jr., of New York, who has been an enthusiastic backer of Mr. Hilles for the cabinet from the start. The fact that Mr. Hughes, who is to be Secretary of State, also comes from New York, is not regarded as a bar to the ap- pointemnt of Mr. Hilles, for Harding has let it be known that in the search for proper cabinet ma- terial he would disregard state lines in certain necessary instances. It has been_known for a long time that if Mr. Harding should go outside of ac- tual banking circles. for a Secretary of the Treasury his choice would un- questionably be Mr. Hilles. Prior to becoming Secretary to President Taft, Mr. Hilles was an assistant secretary of the Treasury under Franklin Mac- Veagh. He knows the Treasury tho- roughly. , He represents today the younger element in national politics, having just won his way to the position of republican national committeeman for the state of New York. One of the first men to arrive in St. Augustine to greet the President- elect upon his return was Senator James E. Watson of Indiana. Sena- tor Watson had been invited to the “best mind” conferences in_ Marion, but an attack of illness prevented his .Boing to the fromt-porch capital, ,Mr, 2 2 John Hays Ham d i mond Secretary of | g7, Lial mission it was rumored he| jthe District of Columbia—one of the | of power on the other side of the| PERSHING DECLINES TO Gen. John J. Pershing today declined to testify further before the special House committee investigating the conduct of the war. Saturday Repre sentative Henry D. Flood, the ranking democrat, had insisted that Gen. Pershing should be given an oppor- tunity to testify it he so desired ing dec jon as con- | ietter received by Mr. Flood today said do not believe it would serve any Having followed to I am s and completel ed in | Watch U. S. View on Kemis- sion of America’s Loans to Allies. By the Associated Press LONDON, February 7.—Announce- ment by Austen Chamberlain, chan- | Birmingham specch, that Great Brit- ain had proposed to the United States the remission of the allied debt came with as much surprise to the British public as to the Americar and creat- ed something of a sensation. While various economists in private {life had been advocating such a can- cellation, it was not known that the government was formally considering the matter, and much iess that it had made overtures in that connection to the United States. Thus far the press has not ventured much comment, but considerable space is being devoted to news dis- patches giving the American view on the proposals. Tentative, Is Press Decision. | It is.recalled that when Lord Chal- mers, the permanent secretary of the { treasury, was appointed recently to pay a visit to America on an official would make such overtures, but the i report was not confirmed officially, and | the British press discounted it as fan- tastic. It is definitely stated that the Brit- ish suggestion to the American gov- | ernment to write off the obligations i never was.conveyed through the m { dium of the American embassy, leav- ing the assumption that it must have | been tendered by the British ambas- sador at Washington. In one well informed quarter here | the belief is.Held that the interallied debt cancellation question was really the most important part of the mis- sion to wrich Lord Chalmer was del- egated, but that his departure was held up on the advice of Sir Auckland Geddes, the British ambassador at Washington, that the time was inop- portune in view of the domestic po- litical _situation in America. Mr. Chamberlain _had not yet returned from Birmingham today, but his pri- vate secretary declared it was un- likely the chancellor would consider it necessary to amplify his statement. PREMIERS BACK SIMONS. Heads of German States Satisfied ‘With Reichstag Speech. BERLIN, February 5.—The premiers of the several federated states of the | German nation were in session with { the Berlin cabinet here until late this evening over the reparations question, the meeting being followed by the an- nouncement that complete unanimity prevailed among all the participants in the conference. The speech of For- eign Minister Simons in the reichstag had been given unqualified indorse- ment by the representatives of Ba- varia, Baden, Wurttemburg. Saxony and the other states. it was stated. The conference was presided over by Chancellor Fehrenbach. Dr. Simons spoke at length and was followed by other members of the cabinet, after which the visiting premiees were heard. The invitation extended by the en- tente for Germany to send representa- | tives on March \I to the London con- | ference on_reparations is construed | here as indicating that the allies ex- | pect Germany to submit counter pro- {posals and that the negotiations at | Brussels by the experts on financial |and economic affairs are, therefore, | superfiuous for the time being. | Leaders of German industry, ship- TESTIFY REGARDING WAR ] by the testimony of wit an intimate knowledge of the fact Moreover, achievements of the ! i F. speak for th The rec- jord of our Arn.y overse is s0 w known throughout the untry that it would seem unne further to the time of e committee. urse, I am entire willing to ppear if so desired, but 1 can see no reason why I wuld appear at this time to answer legations that have |already been refuted.” | |ONDON AMAZED BY MOVE TO ILL DEBT cellor of the exchequer, in his recent | MIDDLEMAN KEEPS PRIGES HIGH, SAYS - WILLIAS' REPORT !Controller of Currency De- (clares Public Has Not Shared in Full Cut of Costs. IRON, STEEL AND COAL MUST COME DOWN SOON Never in History Were Banks Bet- ter Fixed—Country on Sound- est Base in Years. | The country is now in ma on a sounder basi conomical it has been for years, Controller of the Currency John Skelton Williams iformed Congress today in what he described as his “seventh and last an- {nual report.” Deflation, obviously inevitable @ ‘ar ago, has come, he said, and prices of many basic commodities and raw materials have returned to pre-war {levels or below. “It now remains for the middlemen” the controller de- clared, “to adjust their profits to the new prices before the ultimate con- sumer will receive the benefit of the reduced cost of living.” Labor, however, Mr. Williams sald, must soon determine whether a shut- {down and idleness is preferred to a jlower wage scale which takes into {consideration the lower living |charges. Mills and factories cannot |afford to operate unless they can turn jout commodities for prices the publie {can afford io pay, he asserted, and it 1is better for the manufacturers to op- erate and produce goods at cost or at a very narrow margin of profit than to close down entirely. Participation by labor with capital in the profits he | suggested as the only principle to re- store business. Foreign Conditions Affect U. 8. “When conditions abroad becom: more settled or stabilized.” Controller Williams declared in a summary of the present outlook, “and when at home much needed ‘adjustments are effected in the cogts to the consumer of steel and iron broducts, which are !still quoted about twice their pre-war | prices, and when coal, for which the Rovernment itself has paid in recent {months as much as four times the {pre-war price, and certain other com- modities which are now being kept up artificially or as resuit of monopo- listic control far above the pre-war figures, get back to normal level, our cduntry, resting on a solid foundation, will be prepared to enter upon a new and, Tet us hope, long-enduring era of prosperity and healthy progress.” During the fiscal year ended June v Tesy 30, 1920, the controller said, there were 8,157 ional banks in opera- tion, the highest number ever re- ported, and despite the difficulties en- countered they made the best record in_immunity from failure in about forty years. The percentage of the capital of failed banks to the total capital of all binks, he explained, was about two one thousandths of 1 per cent, or eighteen times better than the average for the entire fifty- | seven years since the inauguration of the system, Have Big Bank Resources. | Combined resources of ail banks in the country on June 30, 1920, includ- ing national, state and federal re- serve, the controller said, aggregated $59.153,704,000, Figures showing for the first time the business of the principal borrow- ers from national banks were pre- sented by the controller. Loans and discounts on November 15, 1920, h said. aggregated $13,764 000,00 which loans to farmers and live stock raisers amounted to $1,998,000,000, or 14 per cent; loans to manufacturing concerns approximated $2,862.000,000, or 21 per cent; to merchants, mercan- tile concerns, ‘individuals in the job- bing business and trading wholesale and, retail, $3,581.000,000, or 26 per cet. Loans reported to bond and stock brokers and dealers in investment securities aggregated $664.000,000; to railroads, shipping companies. eiee- tric lizht. light and power companies, $225 000,000, while the loans to pro- fessional men. including doctors, law- yers, teachers, chemists, engineers and clergymen, amounted to $375.000,000. Miscellaneous loans amounted to about $4,000,000.000, or-30 per cent of the total. Hits High-Salaried Men. Gross earning of the national banks during the past fiscal year ag- gregated $1.109,000.000, while their to- tal expenses were $7136.000,000, of which $175,000.000 was for salaries and wages and $287,000,000 was for interest on deposits. National banks n the city of New York showed earn- Europe would like to see ! | supply Germany with moral backing. | These commentators urge the govern- He will be accompanied by Senator | ping and finance have been arriving |ings on capital stock of 37% per in Berlin during the past few days!cent, Philadelphia national banks 331 for consultations with the govern-|per cent, Chicago 24 per cent, Boston ment’s staff of economic experts, who, |23 per cent, Cleveland 243 per cent, under the direction of Undersecretary |Minneapolis 21% per cent, St. Louis Bergmann of the ministry of eco- 171 per cent, Richmond 20% per cent, nomics, are engaged in the drafting|Dailas 30 per cent, Kansas City 17 of the German counter proposals. |per cent and San Francisco 18 per Much of the press comment in re-icent. Pueblo, Col, with 55 per gard to the situation warns the gov- ' cent, reported the largest earnings in ernment against pinning its faith on any reserve city. Birmingham, Ala., the possibility that the attitude of |was next, with 39% per cent, and the new Washington government will | Atlanta third, with 38% per cent. During the past fiscal year, the controller reported, three presidents, eight cashiers of banks and thirty assistant cashiers, tellers, bookkeep- ers and others of national banks were convicted of criminal violations of the banking law and sentenced to terms of imprisonment running up to ment to _present Germany's case! strictly on its own merits. i Commenting on the conference of the premiers with the cabinet, the Tageblatt says the participants left it with confidence that their inter- | ests would be safeguarded at the Lon- | gix years and varying fines. ! don meeting of the allles. The Lokal| Mr. Williams made public a table Anzeiger, dealing with the disarma- | ghowing the salaries paid the execu- ment question, says Bavaria will sub- | tive officers by all national banks mit to the disarmament requirements, | in the country whose resources were but the various newspa: com- | in excess of $20,000.000 and showed mentators agree that res vations|the largest salary paid any national were made as to disarmament in east | bank president to be $100.000 a year. Prussia. 4 | Discussing excessive salaries, the } controller declared, ‘Such inequalities GERMANY PROMISES REPLY. | would exist to much less extent if LONDON, ' ‘February | tockholders of banks were in- 7.—Germ: nnylg;fmid of the salaries paid to their has given notice that it will reply | oxecutive officers, but. unfortunately, shortly to- the- allied invitation to| it js an exception rather than a rule Mr. | send representatives to the repara- tions conference in London March 1, it was officlally. stated here today. This statement was contained in | the official announcement of the for- mal invitation extended by the allies %o the German government that it be represented at the conference. The date for- the assembling of the con- ference was originally fixed for Feb- ruary 28. S — Watson stopped over in St. Augustine on his way -south- for a ‘recuperative trip, which will continue for two. or three weeks. Senator Watson is par- ticularly pleased over the prospective appointment of John J. Davis of Pitts- burgh as Secretary of Labor. Mr. Davis is a native of Indiana; he own: a farm in Illinois, and has' financial interests in western Penhsylvania; so, like John Hays Hammond, he may be regarded as a national appointee rather than a state representative. (Copyright, 1921.) telegrams. . t the majority of the stockholders ;‘;Ilhe banks are 5o informed.’ — VICTORIA “LOAFS” ALONG. Harding and Party Taking Time as Journey Nears End. ND. Fla., February 7.—Als regtryugr behind her schedule, Pres- ident-elect Harding’s houseboat Vies toria was put on a lelsurely schedule again today and probably will not Somplete her cruise up the coast to St. Augustine until noon tomorrow.' The Victoria spent last night &t anchor twenty miles south of Or- mond and although her skipper thought he could reach his destina- made, the vacation party decided forced run was unnecessary and ar- ranged to come achore here for a game of golf. A short stop also wis made at Daytona to pick up mail and tion by nightfall if no stops were |