Evening Star Newspaper, March 13, 1924, Page 1

WEATHER. Fair tonight, temperature nenr freesing; tomorrow increasing cloudi- ness, followed by snow by tomorrow night. Temperature for twenty-four hours ended at 2 p.m. today: Highest, 46, at 4 p.m. vesterday; lowest, 33, at 6:30 a.m. today. Full report on Closing N. Y. Stocks and Bonds, Page 28 No. 29,171. page 2. Entered as second-class matter vost office Washington, D. (% - INJUNGTION 1SSURD TOU, S INSUT T0 . RECEIVERS NAMED Rear Admiral Strauss Chosen for Government; A. E. Watts to Act for Sinclaip Interests Under Ruling. DEFENDANTS ARE GIVEN 30 DAYS TO MAKE PLEA Federal Counsel Charges Fall and Sinclair Conspired to Defrand Nation in Leasing of Reserve. Ask Contracts Be Canceled and That Reserve Be Returned. By the Associated Press, CHEYEN , Wyo., March 13— Federal Judge T. Blake Kennedy to- day granted a temporary injunction halting further development work by | the Mammoth Oil Company on the | Teapot Dome oil reserve. Judge Kennedy named Rear Ad-| miral Joseph Strauss of the United States Navy A. E. Watts, vice | president of the Sinclair Consoli- | dated Oil Corporation, as joint re- ceivers for the Teapot Dome prop-; erty pending the final outcome of | the litigation. Granting of the injunction and ap- pointment of receivers followed the filing by Atlee Pomerene and Owen J. Roberts, special government coun- sel, of a bill in equity seeking annul- ment of the Teapot Dome lease to Harry F. Sinclair and the Mammoth | Oil Company ou the ground of fraud | and irregularity. Judge Kennedy granted the de- fendants thirty days in which to! plead in answer to the government complaint, No date was set for further hearing in the case. Opposing counsel stated | that on account of the involved na- ture ot the action it would be impos- | sible at this time to state when they Wouid be ready for further hearings. Details of the injunction and re- ceivership will be set forth in an or- der requested by government counsel | and which will be signed by Judge | Kennedy after its revision in part. | Pipe line and storage facilities and | the pump station and workingmen's | quarters, property of the Sinclair Yipe Line Company and seventeen storage tanks belonging to the Sin- clair Crude Oil Purchasing Corpora. | tion, are excepted from the terms of the receivership. U. S. Asks Exelusion. Government counsel asked that these properties be excluded, as operation of some of them would be essential to disposal of oil impounded | by the receivership. i The temporary injunction halts the drilling of new wells, and the re- ceivers will be directed to continue the operation of the wells and equip- ment only to such extent as they shall | decm necessary to prevent loss or damage. The government's special counsel pe- titioned the United States district court o do three specific things: 1. Tssue a temporary injunction stop- ping oil production. 2. Appoint a receiver to take charge | of the properties. 3. Enter a final decree canceling the leases and contracts, returning the properties to the government and en- forcing an accounting. Former Secretary Fall was charged | ‘with making “false representations’ to | the late President Harding, whicn re- sulted in the transfer of the lands from the Navy to the Interior Department. The government denies that there was any warrant of law for leasing the lands at all Sinclair Aecused, The bill further alleges that Fall and Harry F. Sinclair, the latter acting for the Mammoth Oil Company, “did com- bine, conspire and confederate to de- fraud the United States.” The result of these alleged acts, the government's bill recites, was to lease the Teapot lands to the Mammoth Ol Company “at an inadequate, improper end fraudulent consideration.” Former_Secretary Denby, in connec- Continued on Yage 2, Column 2.) HOWARD U. GRANT SLASHED $300,000 Conferees’ Omit Medical School Item—$207,000 for Maintenance Remains. The conferees of the Senate and House on the Interior Department ap- Propriation bill have agreed to al-| low the $207,000 inserted by the Sen- ate for the maintenance of Howard TUniversity to remain in the bill. The Senate amendment providing $500,- 000 for the construction and equip- ment of an addition to the Howard Tniversity Medical School, however, will be omitted from the bill by the conferees, it was learned today. . enator Phipps of Colorado, who sponsored the amendment for the ad- dition to the medical school and who | xlso was instrumental in having the creages for the maintenance of the university adopted in the Senate, said today that he would introduce a sep- «rate bill authorizing the construc- tion of the proposed addition to the medical school. This bill will be referred to the Senate committee on public buildings and grounds. Senator Phipps Will en- deaver to obtain favorable action on the Bl by the committee, believing st the addition to the macdlcal feevel should bu comstructed. 5 loil deal at the Chicago i tag p @h £ WITH SUNDAY MORNING EDITION Fhoening Star. WASHINGTON, D. €, THURSDAY, MARCH 13, 1924-FORTY-EIGHT PAGES. TESTIFIES FALL ASKED | MARINES CLEAR TEAPOT Roosevelt Says Former Secretary Told RECOVER TEAPOT: Him Harding Approved Method of Ousting Squatters From Reser Turning its attention to the use of marines to clear Teapot Dome of trespassers after it had been leased to Harry F. Sinclair, the oil com- mittee was told today that the order for the marino expedition had been issued at the request of Albert B. all. Theodore Roosevelt, who, as acting Secretary of the Navy, Signed the order, said Fall had told him Presi- dent 'Harding desired that pursued. Later a leiter o Mr. Harding to Fall, 1922, was put into the re the President said that unles G. Darden of the Mutual Oil pany withdrew from ‘Teapot he should be ejected. May Call Wood Saturday. Little additional information was received from examination of the messages which were supplied from the Washington office of the Western Union. Tomorrow the committee will take up the report of the accountants who have audited brokers’' books and will call several other witnesses in the hope of clearing the way for an in- quiry Saturday into the Leonard Wood, jr., story about an attempted convention Coni- Dome 20. n. Lejeune was the first witness, He said orders for marines to clear CAPTALS BEAUTY DECLARED I PRI BY SEMATOR KING Writes to President Urging Appointment of Strong Men as City Heads. Protesting that the “beauty of the city is being marred” through lack of proper enforcement of the zoning law, and calling upon the District Commissioners to inform him whether contracts for materials have been let to the National Electric Supply Com- pany and the Galliher Lumber Com- pany, with or without competitive bids, Senator King of Utah, demo- cratic ranking member of the Senate Distr{® "committee, today made pub- lic a letter addressed by him to the board of District Commissioners. Confers With Slemp. Senator King also announced today that he has written a letter to Presi- dent Coolidge urging him to appoint the best and strongest men available as District of Columbia Commission- ers. He also talked today over the tele- phone with Secretary Slemp in regard to the appointment of District Com- mission: In his letter to the President Sena- tor King told of his great interest in the National Capital and its develop- ment and of his conviction that the Capital should not be commercialized. He said that he believed the city should be kept to a high standard and that it should be made the most beautiful city in the world, a city of which all Americans could be proud. Senator King suggested no possible candidates for the commissionerships. He said that he was interested only | in getting the best men for the po- sitions and that Le did not care what their politics were, 50 long as they were men capable of assuming the great responsibilities which their po- sitions carry with them. Senator King was asked whether his letter to the President should be construed as opposition on his part to the reappointment of Commission- ers Rudolph and Oyster. “No,” replied Senator King, and added that of all the candidates so far suggested of whom he had heard the incumbents, in his opinion, are the best. His letter to the President was not made publi Senator King also calls in his letter | to the Commissioners for information | regarding the sale of school sites to the government in recent years, and the names of those making the sales, and whether the greater number of such sales were made by one person or com- pany. His letter follows: Has Received Complaints. “Many complaints have come to me in regard to the non-enforcement of the zoning regulations, as a result of which the beauty of the city is being marred and buildings are being con- ~ (Continued on Page 2, Column 7.) SERBIA SENDS ARMY TO BULGAR FRONTIER| Sofia Sees Significance in Attitude on Efforts to Suppress Mace- donian Move. By the Aesociated Press. Bulgarian foreign office declares the Serbian government is moving. troops to the Bulgarian frontier. Up to the' sent in both the House and Senate,!cal engineer and an electrical engi- | present four divisions have thus ad- | which, of course, no human being | vanced, it is charged, being sent from the cities of Nish, Vrania, Uskub and Ishtip. Three classes of reservists have also been called up in circum- stances similar to those of last Sep- tember, when Serbia prepared to in- tervene in Bulgaria at the time of the communist troubles here. ‘What the foreign office regards as a disquieting feature is the lack of any acknowledgment from Serbia of Bul- garia's efforts to suppress the Mace- donian movement by arresting hun- dreds of Macedonians and interning them far from the frontler. The foreign minister declares that while the situation on the whole is better, yet to say that the danger of tragic complications had passed would be to ignore the patent facts. It was significant, he added, that the con- centration’ of Serbian forces was in ihe region within striking distance of uik Coal mines, course | the Teapot reserve of trespassers were issued by Theodore Roosevelt, then acting secretary of the Navy. This was in July. 1922, Gen. Lejeune said, and George K. Shuler, then a captain of marines, was selected, aft- er a conference with Secretary Fall, to command the detail sent to Teapot. Four enlisted men were selected to accompany Shuler, who now is treas- lurer of New York state. Lejeune said, so ¢ and discretion” be ¢ to av phed on August on had been ac | 1l wrote the mending Shuler for his wor Osked whether he did not regard th as an extraordi v use of the Marine Corps, the general said he did | not_consider that point at all | simply obeyed orders. Fall Made Request. Assistant Secretary Rooseveit tes- tified that the request for the clear- |ing of Teapot Dome came from Fall, who was quoted as saying that he and the President wanted the “squat- ters” ejected, as they were about to take out oil on which the government would get no royalty. Fail told him, Roosevelt said, that | T (Continued on Page 3, Column 3.) MELLON OPPOSES i REDUCING U. 5. DEBT Declares Money Paid by Na- tions Must Go Toward Re- tiring World War Bonds. Secretary Mellon opposed today be- fore the Senate finance committce a proposal to decrease the fund sup- plied for the reduction of the public debt as a means of making greater surplus available for tax reduction. He pointed out that the money paid by IEngland and other nations on their loans to this country must be applied under the law to the retire- ment of the bonds which made pos- sible the loans. The present law will make it possi- ble, he said, to completely retire the public debt of $20,000,000,000 in about thirty-five years. Chairman Smoot sup- liported Mr. Mellon's views. | Further cousideration will be given tomorrow by the committee to con- ditions of the Treasury and Under- secretary Winston will be asked to testify. ~ Upon completion of this study which will attempt to determine the amount of revenue which must be raised next year to meet the actual operating expenses of the govern- ment, the rate schedules of the House revenue bill will be taken up. Revision of many of the rates which were reduced by the House will be necessary lest a_Treasury deficit re- sult, Secretary Mellon has told the committee. Plea Comes Too Late. Compliance with the President's re- quest for reduction of income tax payable this year was impossible, Representative Longworth, the re- publican leader, told him yesterday, explaining the parliamentary situa- tion was too involved to permit speedy consideration of such a reso- lution. Mr. Longworth, indicated should be delayed or if it should fail of enactment the proposed separate resolution then would be pressed. Most of the small tax payers already have made thel® first payments, he added, and, there- fore, separate’ action now would be of little benefit. Democrats in both the Senate and House criticized the President for his request. Preccding the death of the resolu- tion proposal an attack on the Presi- dent's request was made in the |Senate after a suggestion from Sen- “tor Reed, republican, Pennsylvania, that action on the resolution be in- stituted there. Chairman Smoot re- plied _that although the - Constitution specifies only thal revenue raising measures must originate in the House, a resolution asking a reduc- tion in revenue“ would undoubtedly be considered by the House as un- constitutional if action on it were first taken in the Senate. Hull Attacks Coolidge. Mr. Longworth declared the pro- posal dgad after a conference with republican leaders, including advo- cates of the proposal who had started an eleventh-hour move to put it in motion. In a formal statement Representa- revenue bill democratic national committee and a member of the ways and means com- mittee, declared the appeal of the President came too late. “It is not unfair to say,” Mr. Hull | asserted, “that the utterly belated tax | yesterday is in harmony with his | past record of delay when confronted jeither by an important problem or { by an emergency situation.” | A statement issued by House Lead- jer Longworth declared that the pro- lmeunze of President Coolidge on | posai to pass a resolution providing istration of engineers in the District. | vote SOFIA, Bulgarla, March 13—The|for Immediate tax reduction ~at this The bill calls for the appolntment of | In the final vote, which came after 1ty |2 board of registration to be com-| jlate date is an absolute impossibil {unless it could be conceived that icould be passed by unanimous con- would' assert for a moment.” Open to Debate, “Let us assume” Mr. Lohgworth added, “that every republican 'was favorable to the proposition and that it had been favorably reported by the ways and means committee. The President's message was received yes- terday, allowing three days for | passage of the resolution by both the i House and Senate. As soon as the | resolution was before the House it | would be open to unlimited debate and practically unlimited amepdment because it would involve the whole question of income-tax legislation. A situation similar to that when the rovenue bill was' before the House might have developed. Certain it is that the debate would have lasted through this week. The_republican leader declard fu; »sevelt had ordered that men of | sen, Gen- | id trouble. plish- | com- | He| CUT IN FUND FOR later, however, that if action on the| tive Hull, Tennessee, chairman of the! SMITH GOT PLEDGE OF PROTECTION BY WOMAN, ON STAND Attorney General’s Promise Given in Deal Involving Car- pentier - Dempsey Fight Films, Says Witness. | CHARGES BOTH HAD OIL VENTURE WITH DARDEN House on K Street Where Al- leged Meetings Took Place Not Definitely Located by Ex-Wife. McLean May Be Called Again. The direct_statement that Attorney General Daugherty had told Jesse W. Smith, his “bumper and friend, that he would prevent prosecution for transportation of the Carpentier- Dempsey fight films and that the At- torney General and Smith were to | receive $180.000, was the first sensa- tion sprung today when the Senate | committee resumed its investigation. Miss Roxie Stinson, divorced wife of Smith, told the committee Smith had told her he was the go-between in the negotiations between picture companies and the Attorney General. Tells of K-Street House. From the fight pictures the testi- mony veered to “a deal” in which Smith and Daugherty, said, had each put $2,400 with Col. J. G. Darden, who Smith told her, she sald, “had been trying for years to get some leases through the govern- ment The committee has sub- poenaed Darden, but has been unable to find him. | The mysterious “little green house on K street,” which the witness said she understood was owned by Ed- ward B. McLean, the Washington publisher, again figured in the testi- mony, as did the “shack” near Co- lumbus, owned by Daugherty, Smith and others, ‘There were meetings and “deals” at both places, Miss Stinson suid, because they could be “‘private, Room is Jammed. Thes committee room was jammed long before the hearing started. Every seat in the room was filled and the walls were lined with those standing. There were many women in the crowd and ‘2 number of sena- tors aside from those on the commit- tee. Miss Stinson waited patiently for her questioning to_begin while the hearing was delayed in getting under way. The jam of senators, representa- tives and other spectators was so great the committee had difficulty in getting into the room. In the preliminaries it developed | that the books of the Midland Na- tional Bank, of which the Attorney General's brother is president, could not be brought to Washington. An examiner will be sent to make a report. Will Issue Subpoenas. Mr. Daugherty s counsel asked that subpoenas be issued for Mal Daugh- v, John Price, former attorney i gencral of Ohio; James W. Holcomb and Henry T. Ellis of Cleveland; Sam- i uel Ungerleider, Mrs. R. A. Hayes and E. H. Moore of Cleveland. Snator Wheeler said the subpoenas probably would be issued, but the in- tween him and Mr. Howland, in which Senator Wheeler again reiterated that Mr. Howland, the Attorney General's counsel, would not “run” the inves- | tigation. The senator said Mr. How- {land was “not going to run any bluft {here” “Senator Ashurst declared that “the defense might as well leave now,” that it was not “running the {committee,” and said he had not for- (Continued on Page 4, Column : BALL REPORTS BILL FOR PARK SYSTEM Provides for Commission and Com- prehensive Development in District. l Senator Ball, chairman of the Dis- trict committee, toda. reported to | the Senate favorably a bill providing ifor a comprehensive development of the National Capital, and providing |for the creation of a park commis- I sion, in accordance with the directions of the committee yesterday. He also formally reported a bill providing for a commission to design ;& flag for the District of Columbia. Senator Ball introduced a bill pro- | viding for the examination and reg- !posed of a civil engineer, a mechani- neer, appointed by the District Com- missioners. - —_— ‘GOLDEN RULE’ REQUIRED IN BUSINESS, GARY AVERS By the Assiciated Press. BUENOS AIRES, March 13.—Elbert H. Gary, chairman of the United States Steel Corporation, at a banquet given in his honor by the Argentine bankers and business ngn, said na- tions, like corporations, such as the United _States Steel Corporation, which_desired to prosper in a solid way, must recognize the rights of others to prosper and not seek to do business by extracting from others ore than they are able.to 3 "He {h‘e‘ e (et PUCh ang South America always woul 0~ her in the defense of right and Fatice, ~ DAUGHERTY, SAYS the witness | | | cident resulted in another brush be- - the park and playground system of | NN \\‘ 1 HoPE ISNT PLAYING COMMITTEE TOGET BONUS BILL TODAY House Subcommittee Is Shaping Up Measure. Wants Vote Monday. The new soldier bonus bill provid- ‘ing for paid-up twenty-year endow- ment policies received the finishing { touches today from the subcommittee jof the House ways and means com- | mittee, which ~yesterday agreed on idetails of the insurance provision. | Chairman Green planned to get final | jaction by the whole committec on | the measure before nightfall and, he ! said, would seck to bring it before ilhe House for a vote Monday under | suspension of the rules. {* The insurance policies provided for in the bill are based on §1 for cach {day of home service and $1.25 a day | for overseas service, plus 25 per cent {of this total, and interest compound- led at 4 per cent for twenty years. The maximum amounts of the poli- cies under this scheme would total {31,400 for veterans who served full | time in the Unitea States, §1,900 for those who spent the maximum time i overseas. i Cont at Two Billions. ! Cost of the bonus under the plan jwas estimated at approximately $2,- 100,000,000, with $9,000,000 the max- Imum expenditure in any one vear. Dependents of veterans who have died since the war would be eligible to recelve payments on the basis of $1 ia day for home and $1.25 a day for { overseas service. These payments | would be made in ten annual install- Veterans not entitled to more |, ments. {than $50 would be paid in cash. | Undgr previous agreement, all vel- lerans up to the rank of captain in | the Army and Marine Corps and lieu- tenant scnior grade :n the Navy iwould be eligible to the policies. The policies would be made effec- five nmext January 1, and after two years loans could be asked at state and federal banks on 90 per cent of the cash value of the policy at the time. The dependents of those who have died_since the war who would be eligible to receive payments from the government would be fathers and mothers and children under eighteen 1 years of age. Yo was estimated that $16,000,000 | would be expended immediately in | payments to_those not entitled to ! more than $50, and that cash pay- ments to dependents of deceased vet- | erans would amount to about $125, 000,000. The insurance policies, it was sald, would cost $1,831,000,000, spread over a period of twenty years. ‘SENATE DEFEATS . FARMER AID BILL '$20,000,000 Credit for Northwest Banks Beaten , -in Non-Partisan Vote. l The Norbeck-Burtness bill, first of ; !the special farm relief measures to be | {taken up at this session of Congress, | i was defeated in the Senate today by a | of 32 to 41. } l | | more than a week of debate, 23 demo- !crats and 18 republicans were r corded against the bill, and 10 demo- crats, 2 farmer-labor and 20 repub- licans for it. X Previously a proposed appropriation of $20,000,000 to bolster the credit of banks 1in the northwest was defeated as an amendment to the bill. The Senate debated the measure for five hours yestreday. Beyond placing on record the attitude of practically every semator present, the only ac- |complishment of the day was the |adoption of an amendment by Senator Walsh, democrat, Montana, giving the Secretary of Agriculture discretionary !power fn the selection of an agency through which the $50,000,000 to be, appropriated would be distributed. Senator Walsh first proposed that use of .xils‘gll: B‘o“"(‘l‘.”?‘ .“::lh (!}e Farm Loan rd, be made compul- sory, but the amendment was h}'l] » tie vote, TWE PRESIDENT} Kenyon Believed To Have Declined Post in Cabinet Judge William Kenyon of Towa conferred with President Coolidge again today regarding the President's tender to him of the post of Secretary of the Navy, and all outward' indications were that he declined to accept. Neither he nor White House offi- jals would make any immediate tement. but an announcement was promised before the day was over. WILL PROBE DEATH OF MRS. BOTELER Assistant Prosecutor De- clares Coroner’s Verdict Leaves Questions Open. Following an informal conference with Deptuy Coroner Herbet E. Mar- tyn today, Assistant District Attorney A. N. Presmont announced that he would request assistance from the de- tective bureau in furthering an in- vestigation into circumstances ante- dating the death of Mrs. Alice Teresa Boteler at 217 F street, Sunday, which the coroner's jury yesterday found to be accidentally caused by carbon monoxide gas. The object of Mr. Presmont at pres- ent, he stated, is to discover the cause for the monoxide gas poison- ing. This, he declared, was not brought out to his satisfaction. He discussed with the deputy coroner the reactions of poisonous gases on per- sons. He went into the case infor- mally with him as the result of a voluntary visit of Dr. Martyn to his office. My object,” Mr. Presmont said, “is to make this investigation a thor- ough, but nevertheless a speedy one Whether the case is to go to the grand jury will depend upon the find- ings of this inquiry, which is being| handled independently by this office. 1 want to clear up certain non-cor- related angles.” Meanwhile James Henry Windsor, who was in the same apartment on F street the night before the woman was found dead, is at liberty on $2,500 'bond. He found the body. At the time, he said, he discovered five gas burners in a stove open. This reputed statement, Presmont held. is not borne out either by persons who subsequently ‘visited the apartment and failed to detect strong odors of gas, or by the post-mortem examina- tion of the District chemist or the deputy coroner, who found no posi- tive evidence of illuminating gas hav- ing caused the death. These points, Presmont declared, were ones around which his invstigation will center. ———mgeea MEXICO TO ACCEPT LOAN FOR VAST GRANTS By the Associated Press. MEXICO CITY, March 13.—An agree- ment on a loan to the Mexican govern- ment” by, American interests in return for vast concessions is expected within 2 week, ‘according to Leon Salinas, un- dersceretary of the treasury. He intimated that the concessions would involve the coastwise steamship traffic, which at present is under gov- ’ | ernment control. Dwelling Formerly Home Had Been Deserted fo “From Press to Home Within the Hour” _The Star’s carrier svstem covers every city block and the regular edition is delivered to Washington homes as fast WILL PaSS THE BiLL RebucinG SIS0 LOW READY FOR FRANCE American Bank Group Ar-g ranges for Big Credit to Stop Decline of Exchange. By the Assoc'ated Press. | NEW YORK, March 15.—The group of American bankers, headed by J. P. | ! Morgan & Co., which announced yes- | terday that arrangements haa been made for the establishment of banking credit of not less than $100,- 000,000 in favor of the Bank of France, has received assurances from | | the French government that it will issue no other loans without having | assured the service of the loan by normal budgetary receipts. _Should the credit not be liquidated at maturity in other ways, gold equal in amount to the loan will be shipped to the Morgan firm in New York. This 80ld security is being held by the Bank of France. It is undersrnodl that the loan will not run for mor than one year. The group establishing the credit is limited to bankers of New York {and neighboring cities. Applications to share in the loan were declared to have largely exceeded the amount re- quired by the French government. 'To Stabilize Excl Ee. ! - Stabilization of the Fremch ex- change will be one of the principal uses to which the French government will apply the loan. The official announcement made by J. P. Morgan & Co. contained the fol- lowing statement from the governor of the Bank of France: “After having conferred with the government, I am in a position to as. sure you that complete measures are financial situation. As a matter of fact, the government will insist that the senate (the chamber of deputies | having already voted favorably) take a rapid decision on the vote relative to the increase of the taxes, realizing |lhc equilibrium of the totality of the budget, and ratify a p for sup- | " (Continued on Page 4, Column 6.) DETROIT PLANS BIG | WELCOME TO DENBY | Escort of Autos and Planes Will | His Home City. By the Associated Press, DETROIT, Mich., March 13.—An es- cort of automobiles and airplanes, the latter from Selfridge Field, Mount Clem- ens, will meet Edwin Denby and escort him to the city hall when he arrives from Washington this afternoon. A sa- lute of bombs will greet the former | Secretary of the Navy when he alights from the train, and thousands of per- sons are expected to be at the railroad station to greet him. “Welcome home, Ned,” is the slogan of the reception planned for the former Secre.ary, who resigned in_connection with crificism regarding the Teapot Dome oil investigation. Acting Mayor | Joseph A. Martin will officially wel- come Denby at the city hall, and a tes- | timonial dinner at the board of com- | vening. l Workman Finds $100,000 Gold Coins Behind Secret Panel in Old House! merce is planned for the e: of Ann Arbor Banker, But r Some Time—Money Deposited in Iron Box. By the Aseoclated Press. ANN AREOR, Mich., March 13.— Gold coin estimated at about $100,000 has been found here in a secret compartment of an old house which was being torn down, according to Adrian Leever, who is demolishing the building to make way for the erection of an apartment house. The money, In an iron box, was found on the second floor in a panel in the wall, according to the statement of Leever., The house wae built in 1360 by Jackson D. Knight, who was at that time president of the First National Bank here. Knight and his wife have becn dead for about thirty years. The house then was occupled by Knight's only daugh- ter, Clara, who died some time ago. Upon per ‘death it was sold to Wil- llam Nelson, who is having it torn down. Papers found with the gold are sald to have indicated the last time the secret panel was opened was in 1878. The money is being held by Lesver pending claim by heirs of Knight. ~As far as can be ascer- tained “Knight has no hear rela- tives lving. {names of j mentioned in the Chicago grand jury ireport und the nature of charges Eoing to be taken to ameliorate the | Meet Retired Secretary in ! as the papers are printed. Yesterday’s Circulation, 103,133 TWO CENTS. JURY PROBE BEGUN OF CHARGES MONEY PAID MEMBERS OF HOUSE IMPROPERLY Mortimer, Central Figure in Veterans’ Bureau Inquiry, One of First Witnesses Called for Questioning. | MRS. WILLEBRANDT ONE OF FEDERAL COUNSEL Woman Assistant Attorney Gen- ; eral’s Presence Laid to Allegation of Liquor Withdrawal Irregu- larities—House Investigation Is to Get Started by Week End. Grand jury proceedings were be- gun here today in the case of the two members of Congress referred a recent Chicago grand jury report as having improperly accept- ed money. One . of the witnesses called was Elias H. Mortimer, who was a cen- tral figure in the Veterans' Bureau investigation here sorge months ago, and who also appeared before the Chicago grand jury. Counsel for Gevernment, Assistant Attorneys General Davis, { Willebrandt and Seyvmour appeared aided by J. W. H. Crim, special as- stant to the Attorney General, in charge of the case, in presentation of the evidence. Mrs. Willebrandt, one of the assist- ant attorneyvs general called into the case, is in charge of prohibition pros- ecutions, and it is understood that some of the evidence previously pro- duced at Chicago related to alleged irregularities in liquor withdrawals. There was every evidence that the Department of Justice was prepared to ask for quick grand jury action. Attorney General Daughérty has re- fused to disc.ose to the House the names of the men accused, and he apparently is hastening legal procesd- ings so that they may not be handi- capped by a concurrent hearing by a House committee on the same evi- dence. Hoeuse Inquiry to Begin. While the case was being placed before the grand jury here, another inquiry to determine officially the the two representatives against them is to start soon by a i special House committee. The committee, headed by Repre- sentative Theodore E. Burton, repub. lican, Ohio, was appointed late yes terday under a resolution by Repr sentative Garrett, the democratic leader, which reversed the vote of the House Tuesday to leave investi- gation of the matter for the present in the hands of the Department of Justice. Others on Committee. Other members of the committee as announced by Speaker Gillett are | Representatives Purnell, Indiana, and Michener, Michigan, republicans, and | Wingo. Arkansas, and Moore, Vir- nia. democrat g Attorney General Daugherty, in re- £ last week to disclose the in- | formation sought pending study of !the case by Department of Justice | officials, suggested that he was ready { to turn over all evidence now avail- able and suspend the department's in- quiry to give House investigators a hand. O phe committee does mot expect to get its inquiry under way before the end of the week. It was decided to- day to hold public hearings, but first the committec, in_ executive session, plans to go over the evidence and to determine what witnesses should be called. | &t | fusin Will Call Mortimer. | Although declaring the committee | intended to exa: mine witnesses in the open, S0 that there could be mno charge of “star chamber’ proceed- ings, Chairman Burton today said it might be found advisable to question some witnesses in a preliminary way iin private, to determine whether they could present any cvidence bearing directly on the case. One of the witnesses to be called probably will be Mortimer. f Lack Formal Notice. | What effect the initiation of grand |jury proceedings may have on the {House inquiry is not yet apparent | Members of the committee had not !been Informed today of the- move |taken by the Justice Department, and i they still w. hoping Attorncy Gen- leral Daugherty would send to the Capitol all the facts In his possession. Chairman Burton pointed aut that while the department was interested !in the punishment of any crime com- imitted, the House wanted the evi- dence in order to decide whether the {accused members should be deprived of their seats—a question over whict: grand jury has jurisdiction. Ino i LABOR GOVERNMENT { BEATEN IN COMMONS Adverse Vote on Army Estimates Discussion Not Con- sidered Vital. By the Associated Press. LONDON, March 13.—The Macdonald labor government received a setback in the house of commons today when the proposal of J. R. Clynes, deputy Jeader in the house, for the suspen- sion of the 11 o'clock adjournment: rule to discuss the army estimates was defeated by a vote of 234 to 207 The government, however, does noi | consider this a vital defeat. ] e Rail President Resignms. Ga., March 13.—James A Blair, jr., New York, resigned as president of the Macon, Dublin and Savannah Railroad at the annuai meeting here yesterday. S. Davier Warfield was elected president and other officers were re-oleciads MACON,