Evening Star Newspaper, February 19, 1925, Page 1

WEATHER. (U. 8. Weather Bureau Fair tonight and tomorrow, slight- 1y coldér tomorrow; lowest tempera- ture tonight near freezin Temperatures—Highest, 42, at 2:10 p.m. vesterday; a.m. today. lowest, Closing N. Y. Stocks and 29,514. No. post_office, WEEKS FAGES QUIZ ON VARIANGE FOUND N ARCRAFT PROBE Department Says 1,200 Planes Are Ready—Only 19 Mitchell Asserts. COMMITTEE SEEKS EXACT KNOWLEDGE ON ISSUE Votes Down Proposal to Give Gen- eral, Facing Demotion, Vote of Confidence. The House aircraft investigating committee today voted to recall Secre- tary Weeks before it to explain a War Department news release that the Army has 1,200 planes that can be used for an emergency in the face of testimony by Brig. William Mitchell that there are only 19 mod- ern airplanes to compete with a mods ern enemy. Secretary Gen Weeks would make no comment on the committee’s decision | to recall him to the stand beyond in- dicating that he would be prepared to appear whenever the committee desired. Tt was said at the War De- partment ‘that the report showing 1.200 serviceable Army airplanes was prepared by Maj. Gen. Patrick, the Air Service chief, and that it showed that 700 of them are of post-war types: The committee also voted down the proposal of Representative Reid of 1llinois that Gen. Mitchell be given a vote of confidence on the grounds that he has rendered ‘‘great and good service to the country in his testi- mony, which has been fearless and fair.” Objection was made by Rep- resentative Prall of New York on the grounds that the committee was not sitting as a judge, and it would be better to wait until a final report was | made and then include any mendation it saw fit. “But it will be too late then,” de- clared Representative Reid, “for this fellow (pointing to Gen. Mitchell, who was on the stand) will be out in the sticks”. " recom- Fears Effect of Action. Representative Prall replied: “If he Is going to be punished he will be.” To which Representative Reid said: “1f he is punished vou never can get| another Army officer to come and say green is green.’ The discussion about Gen. Mitchell was originated by Representative Reid while Gen. Mitchell was testify- ing. The Illinols remmigtee read from morning papers a story to the effect that the House aircraft committee late yesterday afternoon here had been informed that Gen. Mitchell | would be told today that he would not be reappointed assistant chief of the Army Air Service and would lose his rank of brigadier general. Representative Reld declared he knew nothing about the committee recelving that information. and then Representative Perkins of New Jer- wey, the committee examiner, stated the body had been so informed on authority which had heretofore been considered excellent. Praises Gen. Mitchell. move, then,” declared Represen- tative Reid “that the committee thinks Gen. Mitchell has rendered a great and intelligent service to the country and that he should continue in his present office. He knows a thousand times more than any one who has testified here and it is on a subject of most importance to the people today.” Representative Reid questioned Gen. Mitchell about the report and about his chances for reappointment, _to which Gen. Mitchell replied "he “hadn’t given it a thought,” and that In “no way, shape or form” had in- formation been glven him he would or would not continue in office. In reply to questioning from Representa- tive Reid, Gen. Mitchell said he would have to go wherever the War Depart- ment sent him, and with the rank of colonel, and he would be concerned with only the duties under that office. After receiving the testimony from Gen. Mitchell that the 19 Curtiss PW-$ pursuit planes at Selfridge Field, Mich., constitute America's aerial fighting force and comparing this statement with the alleged official ‘War Department announcement, Rep- resentative Reid declared, “I don't think Secretary Weeks knows his job or what it is all about in his depart- ment and that he should be recalled to explain.” Seen Force Deficient. The committee unanimously went on record as believing the present war strength of the United States in the alr was sadly deficient and below the figure cited by the War Depart ment. The committee late yesterday aft- ernoon received information that Gen. Mitchell was due to be relleved of his present duties. Inquiry at the White House and the War Department could | not substantiate this rumor, although nothing definite was given one way or the other on”the future of the present assistant chief of the Army Air Service. Mitchell appeared on the stand at the request of Representa- tive Perkins, who wanted him to make a statement on certain defense questions. The general dclared that all information on aeronautics fur- nished by the War and Navy Depart- ments “comes to you strained through non-flying eyes.” * Says Condition “Pitiful.” He declared the condition American Air Service is “most pitiful example in the world because It is left under the War and Navy Depart- ments. We are not capable of putting up an air battle against any present third-rate power, and there are no concrete plans for the defense of the Atlantic coast.” Representative Perkins Interrupted Gen. Mitchell at this point to de- clare: “I waht to go on the record now as believing America Is helpless in the air.” Declaring there is a lack of co- operation between the Army and Navy in the question of defense, Gen. Mitchell said when he was in the Hawalian Islands last year he found that the commanding gereral of the Army forces and the admiral of the naval contingent “wouldn’t go to the same social functions together.” He said_that the former commanding (Continued on Page 2, Column 1) of the Full report on page 7. Bonds, Page 28 Entered as second class matter Washington, D. C. Battleship Ahead of Plane, - Naval Board Tells Coolidge Opposes Unified Air Service, Asks 5-5-3 Ratio Strictly Kept—Results of Attack S. S. Washington Given. Forecast.) at 5:30 ch on U. . Opposition to a united air force. | faith in the supremacy of the battle- ship over “apparent threats against 1t recognition of airplanes as an es- sentlal part of the fleet, and recom- mendations that the Navy be kept right up within the limits of the of the lengthy report submitted President Coolldge by a speclal board appointed to determine the result of the development of aviation on development of the Navy, and made public today. The report was signed { by Admiral E. W. Eberle, senfor mem- ber: Maj. Gen. John A. Lejeune, com- mandant of the Marine Corps; Rear | Admiral C.'S. Williams, Rear Admiral |H. P. Jones, Rear Admiral Joseph | Strauss, Rear Admiral A. T. Long Rear Admiral W. W. Phelps, Rear Admiral H. H. Hough and Commander W. W. Smyth, secretary. The board's original report was made January 17, and contained cer- tain recommendations approximating {an expenditure of $80,000.000 annual- 1y for three years, which the Presi- dent felt was not warranted. A fur- | ther report was requested, and from this the President has forwarded to Congress estimates for appropriations which include: - Modernization of { three of the six coal-burning battle- ships, continuation of the construc- tion of the aircraft carriers, Lexing- 1 BRITAIN BACKING ARMS PARLEY CALL i Kellogg Reported Bearing Chamberlain Message to President on Topic. By the Associated Press. LONDON, February 19.—The Daily | Sketch says that Foreign Secretary | Chamberlain, if he wished, might | have added to his statement in House of Commons yesterday. that | American Ambassador Kellogg was | taking & message from Mr. Chamber- lain to President Coolidge stating that | Great Britaln would welcome Amer- {fcan initiative in calling a new | armament conterence. | This message, the paper adds. sug- | gests that the government recog- MAL yiser that the Gemeva protocol and its corollary, the proposed armament | conterencs under the auspices of the { League of Nations, are to all Intents | dead. { MOVE WINS SUPPORT. British Cabinet Evinces Keen In- terest in Parley. By Cable to The Star and Chic: LONDON, February 19.—Amb; sador Kellogg's proposal for a new conference on the reduction of arma- ments has stirred unusual interest among the British ministers of the cabinet, the majority of whom would welcome any agreement between the naval powers aimed at reducing ex- pensive bujlding programs. At the moment there is a heated { controversy raging within the cab- inet qver the naval estimates and the prospect of further proportional re- ductions strengthens the hands of those who, like Winston Churchill, [insist upon heavy cuts being made {ih all buflding programs. If there is any chance of President Coolidge’s calling a conference, it is likely that British opinion would {favor some early step in that direc- | tion. The general trend of expert opinfon outside the Navy circles upholds the policy of expanding the air services and reducing the Navy. | Alr Force Trebled. | Since the last conservative govern |ment was in power Great Britaln's lair force has been trebled in size | and plans now ready to be presented |to Parliament contemplate tne ad- | dition of seven new squadrons and {2 large number of new planes, to- gether with grants for a commercial air service. Opposing this new treni in the national defense stand all those wno are stanch advocates of sea power and who for generations have seized {on every new move in inrernational politics as a reason for enlarging |rather than reducing the naval forces. Nothing shor: of a new Washing- ton conference will induce them to forego the bullding plans already {mapped out. Therefore, all news from Washington regarding the chances of calling another meeting are read with avidity. Ambassador Kellogg has been made | perfectly®famillar with the situation g0 Daily News i existing in the cabinet and will be | able to tell President Coolidge when | the time is ripe for more definite tion. In view of the efforts made by Winston Churchill to reduce n- val expenditures, it might strength=n his hand to have definite plans for a conference under way before mak- ing a Statement on the budget. (Copyright, 1825, by Chicago Daily News Co.) p; Prisoner Killed in Riot. SAN QUENTIN, Calif, 19.--Rioting” between Mexican and American- prisoners in the San Quen- | tin prison here yesterday caused the death of Antonio Hernandez, fean, who, it is belleved, was tram- pled and beaten so seriously that he dled a few hours later. Zahniser Rejects Terms With Griffs; Starts for Home Speclal Dispatch to The Star. TAMPA, Fla., February 19.—Fail- ing to agree with e terms of his 1925 contract, as tehdered him this niorning by President Grimth, Paul Zahnizer, for two years a member of the Nationals, checked out at the hotel here today and declared his intention of leaving at once for his home in lowa, naval treaty are the sallent features | to ! the | the | February | a Mex- | WASHINGTON, ton and Saratoga; $3,000,000 for air- planes for the carriers (which amount {is in addition to the $1,000,000 for this purpose Included in the budget for 1926), laying down and beginning | construction of two 10.000-ton cruis- | ers. and construction of gunboats for | patrol service on the Yangtze River. Modernization Asked. The board had recommended that the six coal-burning battleships be modernized and that seven other dreadnaughts also be modernized: that the elght 10,000-ton crulsers al- ready authorized by Congress be built without delay; that a progres- sive and adequate airplane bullding program be authorized to insure the | fleet a complete outfit, with 50 per cent replacements in reserve, as well as the necessary training planes, at a total expenditure for the first year of $20,000,000; that the fleet submarines already authorized by Congress be laid down during the fiscal year 1827 and that an afrcraft carrier of about 23,000 tons be au- thorized and laid down without un- necessary delay In arriving at its conclusion, the board heard many witnesses, includ- ing the chiefs and assistant chiefs of the aeronautical services of the Army and Navy and many civillan aero- nautical authorjties and representa- tives of the airtraft industry. A summary of the hitherto un- (Continued on Page 4, Column 2.) VOTEONLUNP SUN ASEDUEIN HOUSE Conferees Get Instructions to Bring Bill Back if Senate Insists on Increase. | The District appropriation bill was sent to conference by the House to- day after an agreement that the lump sum amount contributed by the Fed- eral Government must be brought back to the House for separate vote. | it was also provided that the House amendment abolishing the white and Basin, but that If an agreement is not reached this subject shall be brought back to the House for a separate vote. The conferees on the part of the House are Representatives Charles R, Davis, Minnesota; Frank H. Funk, 11 linois, and Willlam A. Ayres, Kansas. When Representative Davis asked the House to send the District bill to conference, Representative Louis C. Cramton of Michigan, author of the lump sum appropriation plan, object- ed until he received assurances that there would be no agreement to in- crease the amount (39,000,000 whit- ten into the measure in the House to $11,000,000 by the Senate without for a separate vote. Cramton Is Reassured. “If the Senate Is going to. make a | practice of increasing the lump sum | above the House amount,” said Rep- resentative Cramton, “we will have to resort to the practice of lowering | that amount to four or five million | dollars. Representative Davis sald that he | had the assurance of the other two | conferees that they were of the same | mind on this question. Action was delayed for a few min- utes until Representative Davis could receive similar assurances from the conferees on the Senate provi- sions for abolishing the Tidal Basin bathing beaches. Representative Byrns of Tennessee, ranking Demo- crat on the appropriations committee, sald he desired the House to concur in this amendment, but if they did not reach an agreement abolishing the bathing beaches he would object to the conference until he received assurance that the House would be glven an gpportunity to vote on this item. A few minutes later Representative Davis announced that he was au- thorized to make such a promise. SENATE PASSES D. C. BILL. Sends Measure to Conference Car- rying About $32,000,000. The District appropriation bill, car- rying nearly $32,000,000, and with the contribution of the Federal Govern- ment toward the upkeep of the Na- tional Capital increased to $11,000,000, was passed by the Senate late yester- day, and now goes to conference. The bill was before the Senate near- ly five hours yesterday, while Sena- tors discussed the advisability of eliminating the white bathing beach, in operation for a decade, and the col- ored bathing beach now in process of construction, both in the Tidal Basin. The Senate voted to strike from the bill the items for the maintenance and operation of both beaches, and to cover {back into the Treasury that part of the appropriation which has not | yet been expended for the colored bathing beach. 5 | If the House agrees to the Senate | amendments, there will be no bathing 1in the Tidal Basin this season. | Beachen Called Eyesore. | _The action of the Senate was predi- cated on the assumption that the bath- |ing beaches were an eyesore, and | marred the beauty of the Tidal-Basin and Potomac Park, and that the bath- ing was insanitary in the Tidal Basin. The first vote indicating the sentiment of the Senate was on a committes amendment providing $6,000 for the operation of the colored bathing beach. The amendment was lost by a_vote of 53 to 22. Then Senator Walsh of Montana moved to strike from the bill an ftem of $12,000 for | the operation of the white bathing beach, and to cover into the Treas- ury the unexpended balance of the ap- propriation made for the construction of the colored bathing beach. This was carried without a record vote. The move to do away with the tidal bathing beach was strongly re- sisted by Senator Norris of Nebraska, ~ “(Continued on Page 2, Column 5.) e OF 280 2 Solumn ) Radio Programs—Page 40. ¢ Foening THURSDAY, FEBRUARY 19, three remaining | conferees may concur in the Senate | colored bathing beaches in the Tidal | bringing this item back to the House | Ll D. C ) ST DM LOANS PRONIED FRENCH Y 1., BANKERS Bond Issue to Be Floated After Budget Is Balanced and Voted. DEVASTATED SECTIONS TO RECEIVE $35,000,000 Details of Financing Plan With- held, But Morgan Firm Is Be- lieved Behind Move. By the Associnted Press, PARIS, February 19.—Promise of a $100,000,000 loan for the improve- ment of French finances and another $35,000,000 for the devastated regions, to be floated in the United States as { so0n as the.budget is definitely bal- anced and voted, was one of the reme- dies for France's troubled financial and economic situation advanced by Finance Minister Clementel in an ad- | dress before the Chamber of Deputies | today. M. Clementel gave no details and re- frained from saying whether assur-| ance of the loans came through the Morgan group, which has handled all the French financing operations in the United States. He limited himsel# to the simple declaration: 1 “M. Loucher (former French minis- | ter of commerce) has advocated a for- | elgn loan. We have the promise that| when our budget Is definitely and! | Ainally voted and balanced one loan | ! of $100,000,00 for the French treasury | and another of $35,000,000 for the! devastated regions will be issued In| the United States.” i Industry Only Selution. M. Tlementel began his speech on| the financlal and economic situation | by remarking that the addresses made ! on the subject by Premier Herriot and | | M. Viollette, the budget reporter, had | made it unnecessary for him to de-| liver “a real speech” and he would ! content himself with giving the broad outlines of the government's financlal | | policy. H “You are right not to expect any miracles—not to look to me as a man with a magic wand,” sald the finance minister. “In a conversation with a particularly competent personality | recently I was told I might comsult the spirits of Colbert, Turgot and | Rouvier and they would all reply {that there was no instant panacea. The remedy can only be found in the patient, continued arduous effort of the French nation, In its savings, its ecomomy, its labor, its love of the individual property which It has + crested, -ite- unswerving support of Alsting Institutions. Believes U. 8. Will Be Lenlent. | The finance minister said the inven- | tory published by him last December was an attémpt to give the world an honest settlement of France's finan- cial and economic situation. 1 “It grieves me,” he continued, i o ! note that the American prdsa inter- preted this inventory, in which the interallied debts were mentioned | | ‘bour memoire'—for reference—as | repudiation. Repudiation of debts is| not § French word. France asks only | | that account be taken of the condi- tions under which the debts were contracted and be allowed sufficient delay to permit the franc to regain some of its value. “Exchanges of views have taken | place between Paris and Washington. We have gone no further. We have no doubt, however, that when real | negotiations begin our great American | friends will give us such facilities | for payment as we expect from them." M. Clementel also expressed the hope that a similar equitable solutfon would be reached with Great Britain, and he thanked the British gover: ment for the cordiality of its last debt note and settiement proposal. New Taxes Held Vital. Absolute sincerity. will also govern the balancing of the 1925 budget, in which are now Incorporated all the so-called recoverable expenses and extraordinary expenditures, the min- ister declared. In conformity with such sincerity, he added, the country must be told that the remedy was ad- | ditfonal taxation and prompter collec- | tion of existing taxg: A new tax on insurance companies and another on sales by business houses and on business turnovers would be among the fiscal measures adopted. The tax on exports would be malintained, he sald, because cer- tain foreign countries considered ex- emption from such a tax to consti-| tute dumping and were collecting it themselves. M. Clemente] admitted that unless| the wartime postal censorship were | re-established it would be practically impossible for the government to pre- vent the exportation of capital from the country. The government was not prepared to relmpose the censorship, but was studying new measures of control, by which it was hoped to bring such exports to & minimum. “The exports will cease automati- cally when confidence is re-estab- lished,” M. Clementel declared. Special Measures Planned. The official report giving the text of one passage in Finance Minister Clementel's speech quotes him as saying with reference to measures to meet the situation: “Perhaps we shall have to create special resources; perhaps I shall | have to demand a fresh effort under the form of which are to be sough: an increase in the rate of the income tax, a speclal contribution or other measures to be decided by agree- ment with the nation. . Dawes Plagp Helps. X The Dawes plan, functioning nor- mally sooner than had been antici- pated, the minister said, would also be of much assistance to the French treasury. ‘Already this year.,” he continued, “we have been able to fnscribe 1,250, our budget. The government intends applying to the devastated regions the entire Dawes annulities, with the exception of 20 per cent for amortiza- tion of the debt fumd.” At this point the minister said some- what guardedly: “The allies, as a matter of fact, are ‘demanding this from us in connection with their claims until the devastated regions are _gntirely reconstructed, and during fOur years we can thu dispose of the full and. complete (Continued on Page.2, Column 1) ' | Senator McKellar 000,000 francs on -the credit side of | * IMPosSIBLE To H CIR.C—ULAT- SILVER D OLLA SENATE APPROVES TRAFFIC MEASURE Seven Other D. C. Bills Pass- ed and Prospects Brighten | for Still Further Action. The program of importamt District legislation beforg Congress made con- siderable progress at last night's ses- sion of the Senate, when eight Dis- trict bills, including the traffic regu- Iation bill, were passed. oSenator Ball, chairman of the Dis- trict committee, much encouraged by the success of the public school build- Ing Dill, the traffic bill and others which have been put through within the last four or five davs, will seek early consideration of the public wel- fare bill, which has passed the House and is now off the Senate calendar. Other important measures for which he hopes to obtain consideration in the Senate before adjournment are the street rallway merger bitl and the rent bill. There is opposition to both these measures, however. Chance for Welfare Bill The public welfare bill, it is be- lieved, has a good chance of becoming a law, although there is some opposi- tion to the measure as it now stands. The bill was called on the calenfar last nizht, but on objection of Sena- tor King of Utah it was not taken up. Senator McKellar of Tennessee is desirous of attachinz to the street raflway merger bill an amendment which would compel the combination company to charge fares no: i~ excess of 5 cents, with six tickets fo. a quar- ter, and which would prevent the Pub- le ‘Utilities Commission from facreas- ing the rate of fare. He has objected each time the merger bill was called up for consideration. Rent Bill Has Enemie: The rent bill has not a few enemies in the Senate, and action upon it at this session is not now expected The traffic regulation bill was put through last night after Senator Ball, t Tennessee, Sena- tor King of UtaM, and others had reached Informal agreements regard- ing varlous contested provisions. It had been debated at two previous night sessions of the Senate. It will be considered in the House on Mon- day. The bill as finally passed provides for a traffic director. who shall be an assistant chief of police. It provides for 100 additional policemen in the District, and for two additional Police Court judges, and provides for more drastic punishment of violations of trafic laws and regulations. Provisions of Bil If the bill is passed by the House and is approved by the President, it will become effective 60 days after that approval. The impounding of autdmobiles of motorists who continue to violate parking regulations Is provided for. The director of traffic is empowered to designate boulevard highways. The proposal to shift the burden of proof to the defendant in cases of reckless driving ‘was eliminated from the bill. Proposed mandatory Jjail sentences for recklessness, “hitting and running” and driving while drung likewise were stricken from the measure. A compromise amendment agreed to fix the penalty for fleeing from the scene of an accident at from $100 to $500 fine or imprisonment from 60 days to .6 months, or both fine and imprisonment, in the discretion of the court. A second offender would be subject to & fine of from 3500 to $1,000 or im- prisonment of from 6 months to 1 year, or both. Woman of 102 Tells Court She Will Not Stop Drinking Now By the Associated Press. SAN PEDRO, Calif, February 19 —Mrs. S. Nuncey, a little woman of 102 years, was haled into police court here charged with illegal possession of liquor. T have been drinking liquor all life and I don't intend to stop now.” she told the court The judge gave her the alterna- tive of paying a $100 fine or going to jall for 30 days. She promptly chose the Jail term. BURKE EXONERATED BY HOUSE HEARING Indian- Affairs Commissioner Found Not Guilty of Okla- homan’s Charges. Charles H. BuYke, commissioner of Indian affairs, was exonerated by a House subcommittee today of charges of maladministration pre- ferred against him by Hugh L. Murphy, former judge of Okmuigee County, Okla At the same time the Oklahoma courts were vindicated of charges brought against them by the Indian Rights Association of Philadelphi The subcommittee, appointed the Indian affairs committee, present- ed the report to the full committee. It recommended that the case of Jackson Barnett, wealthy Creek In- dian, about the management of whose estate much of the testimony cen- tered, was held by the report to be 4 question that should be left for the courts to decide. . The Barnett case formed the major | basis for the Murphy charge. The Oklahoma judge asserted that the commissioner of Indian affairs had permitted distribution of a $550,000 “gift” to Barnett's wife and a similar sum to Bacone College, Okla. il- legally. B Held Lengthy Inquiry. The charges of Murphy involved supervision of the estates and finances of Saber and Martha Jackson, Jack- son Barnctt and Richmond Bruner, all Oklahcma Indians. The commit- tee inquired into the charges when they were inserted in the Congre:- sihnal Record Ranresentative Howard, Democrat, Oklahoma. The committee in its examination of the OKlanoma courts, against which charges of maladministration Witk reference particularly to guarc- 1ans’ fees were made by the Indian Rights Association, spent several days in that State taking testimony. Returning to Washington, its hear- ings were conducted here for nearly a month. WAHLBERG CALLED IN JURY OIL PROBE Former Private Secretary of Sin- clair to Be Questioned by Gov- ernment Counsel. G. D. Wahlberg, who, as former The penalty for driving under the influence of liquor or drugs would be the same, except that in cases of sec- ond or subsequent offenses the fine would be from $200 to $1,000 or from 6 months to 1 year in jair, or both. The use of a smoke acreen would be made a felony, punishable by im- prisonment-of from 1 to b years. The director would be given juris- diction over the issuance of drivers' permits, which would be renewable annually upon payment of a fee,of $1. Other District Measures. Other District measures p: the Senate last night were: A blll to accept from Mrs. Anne Archbold a gift of 28 acres of land lying along the Foundry Branch be- tween the Glover parkway and Reser- voir road, to be used as a public park. The bill has passed the House. A bill to authorize the Rock Creek and Potomac Parkway Commission to dispose of certain parcels of land not desired for the parkway. This bill now goes to the Hou: A joint resolution to transfer the ey (Contirued on Page 2, Column 4.) ed by private secretary to Harry F. Sinclair, figured in one of the dramatic chap- ters of the Teapot Dome investigation, was brought before a Federal grand jury here today by the Government's oll counsel in the new proceeding rel- ative to ol leases. It was Wahlberg who was named by Archie Roosevelt as his authority for the report about transfer of $6: 000 from Sinclair to. Albert B. Fall, but when called before the Senate committee WahlBerg testified that he had said “six or elght cows,” not “sixty-elght thousand. The Government counsel would not reveal what line of investigation they were pursuing. Bank Buys Czar’s Jewels. PARIS, February 19.—Le Journal's Rome correspondent reports that the Banca Commerciale Italiana has bought for 500,000 lira part of the jewels from the Russlan imperial crown, which the Soviet government put on sale In Parls. Star. 1925 -FORTY-SIX PAGES. | | | | | | | | | | | nuity | may | existing ~ when | Robert E. The Star’s every city block and the regular edi- tion is delivered to Washington homes as fast as the papers are printed. Yesterday’s Circulation, 104,512 “From Press to Home Within the Hour” carrier system covers RETIREMENT BILL TWO CENTS. COOLIDGE FAVORS ABOLITION OF U. . INHERITANCE TAX President Advocates Policy of Federal Government’s Gradual Withdrawal. SEES CLOSE APPROACH TOWARD CONFISCATION Combination of States With Nation Sometimes Hakss Total Collection Exceed Actual Value. jradual withdrawal of the Federal Government from the inheritance tax field and greater economy in tax col- lection were recommended for public consideration by President Coolidge {in an address at the opening session today of the National Tax Associa- tion’s national inheritance and estate tax conference. The President condemned the pres- ent Federal inheritance tax, amount- |ing In its highest bracket to 40 per |cent, declaring tnat in some instances it, with the State levies, “closely ap- | proaches, if it is not actually, con- fiscation.” | “If we are to adopt =ocialism, it hould be presented to the people of i thiz country as socialism, and not un- der the guise of a law to collect revenue,” he said. “The people are | quite able to determine for them- selves the desirability of a particu- {lar public policy and do not to INSENATE TONIGHT Members Reach Agreement Tending to Quick Disposal of Stanfield Plan. The Stanfield civil service for passage at ate tonight. The Senate today agreed to hold a night session beginning at 8 o'clock, at which three bills should be con- sidered in the following order: First, the House bill to authorize the mors comblete endowment of agricultural experiment stations. Second, the civil service retirement bill. Third, the MacFadden banking bill bill liberalizing the tirement act a session of the Sen- Agree on Retirement Bill. An agreement, it was said today, has been reached on the civil service retirement bill, which will make passage possible without delay. Under this agreement the maximum an- remains $1,200 as provided in the Stanfield bill. The percentage contribution by the employes of the Government to the retirement fund will be 313 per cent, as in the Stan- field bill. Under existing law the maximum annuity is $720 and the contribution is 2z per cent. The Senators interested in the bill have agreed on a flat, horizontal, vol- untary age of retirement at 63 years The involuntary age of retirement is left at 70 years of age. retire voluntarily 30 years of employment. In the bill as originally reported the voluntary age of retirement for mechanics, la- borers, city and rural letter carriers, post office clerks and railway postal clerks was placed at 58 years. In the existing law ployes may retire at 62. at 63 Accede to Amendments. Senator Stanfield, chairman of the civil service committee; Senator Smoot of Utah and others have agreed to the amendments indicated and rep- resentatives of the employes’ organi- zations said today they thought the bill would pass with the proposed | amendments. According to the Government ac- tuary the cost of retirement will amount to 8 per cent of the Govern- ment pay roll with the employes put- ting up 312 per cent and the Govern- ment 413 per cent until the deficit the law went into operation in 1820, owing to the fact that there had been no previous con- tributions by employes, is wiped out Then the cost will be 6 the pay roll with the employes con- tributing 31 per cent and the Gov- | ENFORCED PARENTHOOD MEASURE WITHDRAWN Bachelor Proposed Bill Providing Annulment of Childless Marriages After Three Years. By the Associated Press. LINCOLN, Neb., February 18.—The Pinto bill,” introduced in the Ne- raska House by Representative Hines, and which would provide annulment of all marriages in cases where no children were born within three years after marriage, has been withdrawn by its author. While Dr. A. S. Pinto, Omaha health commissioner, who favored the plan, did not frame the measure, it carried all general provisions made by him recently and which brought both con- demnation and commendatidn. Mr. Hines, who said he was spon- soring a bill repealing the provision for 10 days' notice for marriage li- censes,declared that he had introduced the annulment bill in an effort to show “what radical changes might be made in the marriage law if serious| consideration were given fanatical amendments already before the Ne- braska House.” Representative Hines is but 23 ard single. LAND SLIDES INTO SEA. 130,000 Tons of Earth Go Down, Forming Peninsula and Islands. MOSCOW, February 19.—A tre- mundous landslide occurred yesterda on the Black Sea coast near Sebasto- pol, about 130,000 tons of earth siip- ping into the sea. A peninsula 150 meters long and several islande were formed by the slide, is slated | its | certain classes of em- | per cent of | have such policies forced upon them by indirection. Economy in Revenue. Establishment of “economy in 1in- come of revenue" Is an equal neces- sity with economy in outgo of revenue, Mr. Coolidge said, adding that the i first field for the practice of economy in inheritance tax collections lay in tate co-operation. Declaring there is “competition be- tween States to reach in inheritance taxes not only the property of its own citizens, but the property of citizens of other States” the President, by way of illustration, showed how a share of stock upon death of its owner might be made subject to seven separate and distinct inherit- ance taxes by the Federal and various | State governments 1 May Exceed Principa “All this means," only an actual amount of tax which may under particular circumstances exceed 100 per cent of the value of the stock, but the expense, delay and inconvenience of getting clearances of the States who claim a right to tax the property is a serious burden to the heir who is to receive the stock. Particularly is this expense dispro- portionate to a tax paid by a small estate which has but a few shares of stock. In many cases the expense alone must exceed the total value of the shares which it is sought to trans- fer. Looking at it from the stand- point of State revenue, I am told it is probable that the full cost to execu- tors of ascertaining the tax and ob- taining the necessary transfers is in the aggregate nearly as much as the tax received by the States upon this property of non-resident decedents. is extravagance in he added, “not The President's Specch. The President’s speech in full follows: “Acknowledgment is due to tha National Tax Association for a real public service in bringing this con- ference together. The subject of taxation is at all times and in all its phases difficult and complex. It may be doubted if any of its aspects present more difficulty, or more ! sharply challenge our practical ex- perience or economic judgments, than that which concerns taxation of es- | tates of decedents. “When, on June 2, last, I signed the revenue act of 1924, 1 adverted briefly to this subject of inheritance taxes By that act, the highest bracket of Fedeéral estate tax was raised from 5 to 40 per cent I pointed out then that when the inheritance taxes lev- ied by the States be added to this, & substantial confiscation of capital may result; and I suggested the danger of having the States and the Federal Government thus combining to get the utmost possible revenue from inheritance taxes. To take an excessive proportion of estates in this way for the costs of Government can only mean that Government will | be living off the capital of the com- munity. Thix we should seek to avold. Therefore, T suggested that it might be better if the fleld of in- | heritance taxation could be left to the States Realizing, however, the zreat practical difficulties, 1 sug- gested that a_conference of State and Federal {axing authorities be | held to consider the whole subject. Extravagance In Collection. “Taxation is the means emploved by a State to obtain the revenue with which to conduct its necessary oper- ations. A State may be extravagant in the way It spends its revenue. So, 100, extravagance may exist in the way it collects its revenue. 1 have | often urfnd economy in outgo of | revenue; ¥ it is equally necessary that we establish economy in income | of revenue. The burden of taxation is not what the State takes, but what the taxpayer gives “The first field for the practice of economy in inlferitance tax collection lies in State co-operation. There is competition between States to reach in inheritance taxes not only the property of its own citizens, but the property of the citizens of other | States which by any construction can | be brought within the grasp of the | tax gatherer. A share of stock repre- | sents a most conspicuous example of | multiple inheritance taxation. It is | possible that the same share of {stock. upon the death of its owner, I may be subject to taxation, first, by the Federal Government; then by the State where its owner was domiciled; | then by some other State which may |also claim him as a citizen; again in the State where the certificate of | stock was kept; in the State where the certificate of stock must be trans- ferred on the corporation’s books; in the State or States where Is organ- ized the corporation whose capital stock is Involved; and, finally, in the State or States where this corpora- ton owns property. All this means not only an actual amount of tax which may under particular circum- stances exceed 100 per cent of the value of the stock, but the expanse, delay and_inconvenience of getting " (Continued on Page 5, Column 6)