Evening Star Newspaper, April 3, 1928, Page 1

4 Late N. Y. Markets, Pages 14 and 15 30,603, post office, MELLONNOW SETS $201 000 000LIMIT - ONTAXREDUCTION 1$290,000,000 Slash Voted by| House Must Be Pared, ; Secretary Says. No. Wasl REPORTS TO SENATE FINANCE COMMITTEE Buggests Anto Tax Be Restored to! Bill—Stresses Increased Fed- eral Expenditures. By the Associated Press The $290.000,000 tax reduction voted by the House must be pared down to $201,000,000 and perhaps to $182.000.- 000, Secretary Mellon told the Senate finance committee today in reporting on the outlook for the Treasury for the next year This is even less than the Treasury Secretary proposed to the House lasi Fall and is necessary, he explained, be- cause of Increased Government ex- penditures rather than due to any drop in revenues, which are expected to | equal last year's on the basis of first returns. The first administration pro- | posal was for a $225.000,000 cut. { To attain the $201,000,000 limitation Mr. Mellon suggested to the committee | that the present automobile tax of 3| per cent, which was repealed by the | House, be to, the bill. saving $66,000,000, and that the existing 1312 per cent corporation levy be red!ltf,u‘ nnxymuperccmnmermmmu 2 | per cent, as voted by the House. The | committee began work today on the | House bill, passed before Chrisunas, | after waiting for the March 15 returns. Propeses Program. The Secretary proposed this pro- Downward revision of suriax rates | appiying on incomes between $14.000 | and $75,000—Iloss in revenue, $30,000.- | corporation tax trom nm cent—ioss, $123,000,000. | Repeal ur’ Pederal estate tax—loss. | | jon of income derived acceptances held by central banks of issue—loss House | foreign Repeal of lax on cerzal beverages - | Joss, $185.000. % - Reduction | th present 10-per po 5 Metion, on the basi of firt | o ‘this year, Yised previous estimates 1o on $40,000.000 more next year in back Bt an increase of $85000000 in ve expenditures for next year the trouble comes, the Secre- The increase 15 #C- by additional o tions for the Veterans' Bureau. Navy, ‘War Drp: “tments, 1 deficiency | and an enlarged public butlding pro-! gram. 400,000,000 Slf"l‘l i He estimated the surplus for - | cal year, ending June 30, at $400,000,000 | and for next year $212,000,000, as com- | estimates of $454,000,000 and | .00, i tober. On the basis | mfwl, the tax cut of $225,000,000 was | yoo 0 the House last Fall | While estimates on receipts for next year were revised 10 calculate decreases of $15,000,000 in customs collections and $10.545,000 in miscellaneous internal| revenue, these were offset by prospec- | tive increases in income tax and L ey rece | ’l[.mxmmu receipls for Mareh lhb: year amounted to $510,868999, com- pered with 8511469432 & year ago, in- | Bicating no apparent change in collsc- tione from this sdurce for this yesr. with & surplus of $600,000,000 and the drop | i the estimgted lus for this year is | eccounted for largely by one item, uo» appropristion of $50,000,000 required by | lfi' recently enacted bill nutrwnan(j settiements of American and German war claims. | In urging restorstion of the p sutomobile levy of 3 per cent, Mr, Mel- lon deciared “the insistent demand for | yepes) of this tax does not come from | the automobile purchasers but from Lhe manufaciurers and deplers, who have organized an ptensive propagands and | of necessity G0 ot Mook at our Lax | problem 45 & whole, but concentrate their, aitentiop on the one tax which Sney believe affects thelr own interests Attacks Hepeal “Tex revision on the basis of meeting | the demands Of special interest,” he seid, “inevitably leads (o serious malud- tered as second class matter | Representative | the Republican fzm in the absence of Speaker hington, D. Dies in Hospital | « WASHINGTON, D. C, AID OF HARDING SOUGHT IN TEAPOT LEASE, HELMG SAYS {Former Oil Man Tells Sena- | tors He Tried to Interest Cabinet Members in Case. SMOOT TO GET CHANCE TO AMPLIFY LATER JAMES A. GALLIVAN. 1 A GALLIVAN DIES * INBAYSTATETRP Representative Is Taken il Suddenly After Dinner for Friends. By the Assoriated Press ARLINGTON. Mass,, April 3.-—James A. Gallivan of Boston, Domocratic Rep- resentative from the elfth Massachu- satts district since 1974, died today at the Ring Hospital in this town. H: come to Bostcn from Wash- ington on Sunday to attend a din- | mer. for George H. Curran, newly elect- ed hcad of the Boston Elks. Shortly efter the dinner he was stricken iil and was taken to the hospital. Few of his friends knew of his illncss. Representative Gallivan, who was 62 years old, was born in and was Boston | graduated from Harvard in 1883. After | from | graduation he entered newspaper work | until 1895, when he was elected to the Massachusetts House of Ropressntatives. At the end of his term he was elected to the State senate. From 1901 to 1914 he served as com- missioner of streets in Boston, and on Lenroot Denies Will Hays Was Present When Smoot and He Talked to Fall. | By the Associated Press The efforts of Birch Helms of New York to have President Harding and | members of his cabinet intervene in the Teapot Dome lease transaction was de-.| scribed to the oil committee today by | Helms. whose oil company sought the property. | Helms testified that he had sent tele- | grams to President Harding, Secretaries | Weeks and Hoover, and to Attorney General Daugherty, in 1922 on- the sub- | ject of the Teapot lease. His telegrams to tke cabinet officers said he under- stood the plans for development of the reserve had their approval. Weeks Avoided Controversy. A letter from Christian A. Herler, an assistant to Hoover, dated May 1, 1922, was introduced, in which it was sald ! Mr. Hoover at no time had any knowl- eage of any arrangements pending in his connection. The witness said Sec- | retary Weeks replied that “for good rea- sons” 1 cannot become involved in the controversy . | Mr. Hoover, the witness said, had don> | all he could about the matter. There was no reply from Daugherty. Helms' testimony was asked for after | the committee had decided to offer to Senator Smoot of Utah and former Senator Lenroot of Wisconsin an op- portunity to answer charges of Albert B. Fall that a Senator, a former Sen- lator and a former cabinet officer had advised him to write the famous Mc- Lean letter. This letter had E. B. Mc- Lean, Washington publisher, as the source of the, $100,000 Fall obtained from E. L. Doheny. While he did not appear before the committee because of the tax hearing before the finance committee, Senator Smoot said he had been misunderstood in part of the statement he gave oyt last night touching the Fall depositions. “What 1 said was that Senator Lens "{Continued on Page 4, Column 1. S THREE STATES PIX Tilson of Connecticut, fioor leader, who was who is today attending the | funeral of Senator Willis in Ohio, an- | nounced that a special committee of 22 members would be appointed tomorrow to attend Mr. Gallivan's funeral. MOTHER DESERTS BOY'S: TAKES CHILD OF TWO Harry Brewer, 5, and Clarence, 7, Held at Detention Home as Po- lice Seek Woman. Two small were being cared for at the House of Detention today while guuu searched for their mother, Mrs. rances Brewer, 25, who left them in {8 rooming house here Saturday nlg: and then disappeared, taking youngest child, 2. with her, After engaging a from Mrs. Hml::lu ?'sm-‘b;’uzfl street, the mother put t| s, Harry, 5, and Clarence, 7, to bed. When they awoke Sunday morning she was . Mrs, O'Bhea found friends of the woman, but they were unable to trace her, so they reported the case to the police, Mrs. Brewer s sald o have come here from Winston-Salem, N. C. PLOT ON AMERICANS RUMORED IN NICARAGUA Handbills Calling on Natives to Kill Reported in Circulation Near Matagalpa. MANAGUA, Nicaragua, April 3 (&), — Advices from Matagalpa today said that handbills were being distributed in the reglon northeast of that town urging the natives to kil the Amerians, especially any Marines they encoun- tered. It was assumed that the hand- bills hdd come from the headguarters of Gen. Augustino Bandino, rebel leader, Marine patrols continued their pur- suit of scattered groups of insurg-nts, oresent | VUt 10 further contacts were reported. | MRS. GOODHUE REMAINS IN CRITICAL CONDITION By s Aveoiiuted Press NORTHAMPTON, Mass, April 3,-— Mis. Lemira Goodiue, 76, mother of Mrs, Calvin Coolidge, today was un- changed In condition, which for more than a week has been critical. She spent a nmy more comfortable day yesterday the previous 24 hours &nd wus sble 0 receive Mrs, Coolidge Justments of the burdens. As & mailer | (yice of , 1t I8 difficult 1 justify the npnlmn:‘lp('l‘m x. Leyied at o low rate, it imposes r hardships, yet by reason oruu broad base on which it rests, it progduces substantial income The cost of our Federal Government is siready borne o & very Jarge extent in- , when we consider the size of our | g population, by the comparstively small number that pay direcl laxes. A fur- ther material reduction iIn indirect se8 will & very ill-bslanced o "WJ%?W ., column 1) Mrs, Goodhue has been at the Dick- | W inson Howpital since sn sttack of in- RAuenza last December. British Officer Guilty, IBRALTAR, April 3 (®)~Comdr M. Daniel wumtwn‘ ity by a el 1 aiscolinesrowing ok of Lhe r \ur‘vlal Ahu.;d lh: %Mnuhw Opk, st Malta, over the playing of & jare b-n‘l. 4 DFLEATES TODAY EWisconsin, New York and‘ 2| Maine Scenes of Contests for Both Parties. By the Associated Press ‘The first of the April crop of dele ! gates to the national political conven- States and Democrats in a like number, From the delegate-choosing standpoint it promised to be the banner day thus far of a pre-convention campaign that }hu been a bit slow in getting under way. On the day's calendar for both Re- publicans and Democrats were the Wis- | consin primaries, with delegations of 26 to be picked by each party, and the rather perfunctory primaries in New York for ratifying slates of 83 district Republican delegates and 86 district Democrats, In addition, Maine Democrats, mak- ing use of the older convention system, assembled to select a Houston delega tion of 12, and Republicans in the sixth Kul)nnl dll'tflcl m‘:bd to- gether to name two conven repre- sentatives, thus completing the Kansas delegation of 23 that will go to Kansas | City bent on bringing about the nomi- | nation of Senator Curtis. the Repub-| lican floor leader, and Kansas' “fa- | vorite son.” Test for La Follette, lican delegates to the list of 216 al- | ready selected, while the Democratic | total of 164 will be increased to 288. In Wisconsin, among the Republi- | eans, today's primaries afforded another | showdown in the sf le between the La Follette faction its more con- | servative foes, with the La Follette | element suporting & slate of conven- on_ del o Senator Nor- | ris of Nuégun a | r in the Senate | Independent Republican group, and the position backing an uninstructed te. In the Wisconsin Democpatic primary BSmith, Reed and Walsh were contend- ing, but on such a different footing that no conclusive test of strength was to be exponu:.m lglm ;mu of d::enm | pledged to , and & F“"“ legply slate put up blwmh followers were in {the fleld, while the Missourl Senator, without & slate, alone was making a bid for the State’s preference vote. New York Unknown. ‘The New York primaries furnished the, iast step in the make-up of the BLow's blican delegation of 90, which will be uninstructed, and because of that, and its size, may be somewhat |of an unknown factor at the Ksnsas City convention. Even after today's voting, New York Democrats still will have o select their delegates at large 0 complete a bloc of 90 votes that are :arm‘n to be cast solidly for Gov. mith, On at least the first ballot at Hous- count on 30 votes from Michigen as & result of yesterday's primaries in that Btate, where he had no opposition, M' the l? i l:l't.l gr'i‘unfl- of L-wfln“a‘m w that te’s 33 delegates to Kansas City to O enigan, delegaten not selected were yésterday, but will be named later at ?uty conventions, In the past 'rom thet Btate have considered #elves hound for at least one baliot the preferential primary result, v § ey Radio Programs—Page 34 | tions, in June, were being picked today, | 1°% Repubiicans making selections in three | . In all, the day will add 111 Repub- |- WITH SUNDAY MORNING EDITION The only evening in Washington wil Associated Press service. per the Yllht“ly'l Circulation, 105,834 —— UESDAY, APRIL 3, 1928 —FORTY-SIX PAGES. LEADERS CLAIM WoNT BE A T oF o JS0ME PLACES ¥ JBUT IT'S GOING " {To BE AWFUL STEPHENSON CALLS i KLAN HEAD SLAYER Deposition Names Hiram W.| Evans as Murderer of At- | lanta Attorney. By the Associated Press | PITTSBURGH, April 3.—Charges that Hiram W. Evans, imperial wizard of the Ku Kilux Kian, is a murderer | are contained in a deposition obtained | for use in a suit to prevent the Klan from functioning in Pennsylvania. The deposition was made by David C. Stephenson, former grand dragon of the Klan in Indiana, in his cell at Michigan City, Ind., where he is serv- ing a life septence for the murder of | Madge Oberholtzer. Stephenson brands Evans as “the murderer” of Capt. Willlam 8. Coburn, an attorney of Atlanta, “who was put out of the way because he was going to bring out some embarrassing mn-l ‘ters In a sult against the Kian." | " “The actual Stephenson | avers, “was comumitted by Phil Fox who was incensed after Evans had him he could prove Coburn had made derogatory remarks about Mrs. Fox. name with something of nal sust?mnon claims he was the victim of an “Evans-fixed jury, of which at jeast two members were paid sums of money by Evans in exchange for their '“mmnm Evans u:'ndtroulfl the courts, Stephenson answered: “Prior 'v:)pthe elections, Evans out the man he thought apt to win and binded him to a promise to be guided by the wishes of the imperial wizard. Denies Evans' Authorship. who, he says. “is inf such an article.” He avers ’:'vm‘ ‘:‘lll’-‘wu imself “the Mussolini of Amfll:l"’hm,gh a “distinct leaning to- uorg"ln'l‘fc l’l}:kxon of Indlana is de- of nt which would dispose of the spoils of his office if elected.” The e?(’ of the deposition is now in charge of United States Clerk of Courts J. Wood Clark. It covers 177 pages. 1t was obtained by Van A, Barrick- man before a notary public and a Klan attorney. TWO JAPANESE PLAN RACE AROUND WORLD' Two Contestants Will Travel in Opposite Directions—One Sails for U. 8. Friday, By the Associated Press TOKIO, April 3.—Ceremonies pra-i liminary to a start of a race around the world by ordinary means of travel by two Japanese were held today at Ueno | Park, race is ujmnmnd by the Japanese newspaper Jiji Shimpo and the contestants will travel in opposite directions. ‘T. Araki will safl for America aboard the steamship Empress of Asia on Fri- day, R, Matsul will start for Siberia shortly afterwards. The present record of circling the world is held by Edward 8. Evans and Linton Wells of America, who in made the trip in 28 4.1.-. 14 hours, minutes and 38 seconds. Hemisphere nations in the constriietion of an international u.a. way linking the two American oconti- | TAXI DRIVERS § FOR GOLDEN ?Takoma Park Citizens Also Indorse Safety | Drive—More Than 3.000 Cards Received at Star Office. The largest operator of taxicabs in Washington today returned to The Evening Star 490 Golden Rule pledge cards containing the signatures of every one of fts drivers “We want to thank you,” said the letter accompanying the cards, from the Black and White Co.. “for vour grea effort to make the streets of Wash-' ington as safe as possible for pedes- trians “We feel that cvery one of our drivers was sincere and earnesi In making the promise to which he affixed his name. ‘“We want to assure vou of our co- | operation to the fullest extent in your important campaign. It will go far e given s promse Lo -arve a8 he have others drive.” He Durpose o the pledee caras was - % DROP PUBLIC CROLP ON MERGER BOARD m; | Provision for Representation' House Measure Provides Flat Is Stricken From Pact, Soon to Go to Congress. The transit merger agreement wili 80 to Congress for ratification the lat- ter part of the 'k minus the pro- vision for the EPpointment of three representatives of the public as mem- bers of the board of directors of the proposed Capital Traction Co. This provision was eliminated by the companies in approving the revised % | merger agreement, it was learned to- day, because of the objection of the Public Utilities Commission to nominat- ing the three public directors. The original merger plan called for & board of 15 directors, composed at the outset of six representatives of the Washington Rallway & Electric Co and an equal number representing the Capital Traction Co. As a result of the change the original board of di-| rectors of the consolidated company, it was explained, will be composed of 12 instead of 15 members, ‘The merger agreement was removed yesterday aftrnoon, when the board of dirctors of the Washington Railway lll!ctflnco.lww t as revised by the Alities comlmlun. The directors of the Capital Traction Co. took similar action Saturday. DUCE MEETS WITH TURK. Premier Arrives Unexpectedly in Milan for Conference. MILAN, Italy, April 3 (#),—Premier Mussolinl arrived here unexpectedly today and recelved Tewfilk Rushdl Bey. the Turkish . foreign minister, for a long conference at the Palace of the Prefecture. v Enroll me as @he Fvening Ffar Golden Rule Safe Drivers Club Name Address 1 agree 1o abide by the Golden you would have others drive,” and at all times be e of pedestrians a IGN PLEDGES RULE CAMPAIGN | plained to the drivers before they | affixed their signatures and they were | not urged to sign if they felt that they could not honestly live up to the| e ting of the Tak { a mee! ‘akoma Citizens’ + Assocfation last night in the resolution . Suter, was as “That we comme; Evening ! tor its on'&n nuuu b to mgg drivers of motor they would have g\"cln.eh the ‘ ':gk‘lf"im"nm ] 'S 1 send to Evening Star Rule pledges.” carte now |sar | _ Since ' " (Continued on Page ¢. Golumn 1)~ e ey EMERGENEY WAGE - BILLINTRODUCED o | $300 Raise for Majority of U. S. Workers. L PR | Providing for a $300 flat increase in salary to all Government employes, .: | ot in the postal service and in cer- | tain skilled trades in the navy yards in order that workers now recelving less than a decent living wage may not suf- fer further if action on the statistical studies have to be resentative Wooarum of Virginia duced an emergency bill in the House ‘nflr 'W:;d on it today. .~ Woodrum, a member House :XI:“: service committee, !:' ol ployes ] especially in the that the committee ma; Into dangerous delays. by an emergency measure introduced, all employes {of a fair increase without plicated figuring. Provides Hourly Increase. ‘The Woodrum bill, in addition to the flat increase of $300 for all pro- vides for an increase of 131, cents an rate. a t the increase shall a) all ctvillan fmpllg{uwutom protect all fleld emj yes. any com- ir support and are urging its preventing utb:l\‘:;‘ ;w":. A Woods rum is h in favor of the Welch bill, and Nas been active in his en- deavors (o get it passed. His m is not intended to take the place of the Welch bill. but to do all in his power ~ (Continued on Page 3. Column ) a member of | Hesse and Inspector Brown|o! | Begin Check of Policeman’s | ing | versation with the policeman on the < | action to take in the affair after In- TWO CENTS. IPROSECUTOR ASKS GAG FOR BLANTON AT STAPLES TRIAL {Ready to Give Up Case Un- | less Texan Ceases “Slander- ous” Accusations. (P) Means Associated Press. ‘BULLETIN At least six men were injured shortly before 3 o'clock this after- noon when a section of the third floor of the Franklin Square Hotel | at Fourteenth and K streets, which 1 is being razed, collapsed upon a dozen men working on the lower floor. Employed by the Charles Tomp- kins Co., building contractors, four of the injured men were dug out of the debris by firemen of the rescue squad and were removed to Emer- gency Hospital 10 minutes after the | collapse. * v | Others are being hunted for. l The injured were: James Reese, | R S 2 ’ 34 years old, Berwyn, Md.; Morsan | LEGISLATOR THREATENS “CLEAN OUT” OF POLICE Lewis, colored, 26, 1109 Fourth street; Aaron Tanner, colored, 57, 445 Sixth-and-a-half street south- west; Fred Pruitt, colored, 1022 Twentieth street; Richard Davis, colored, 32, 1800 Tenth street, and Charles Jones, colored, 2616 I street. RLANTON TRAFFIC INCDENT PROBED Capt. Burlingame Says Efforts Are Made to Intimidate Board and Witnésses. During one of the most tumultous and Statements. ! Maj. Edwin B. Hesse, superintendent of police, and Inspector E. W. Brown, in charge ot the Traffic Bureau, today initiated an investigation of alleged con- flicting statements of Policeman Dalton E. Galimore of the incident Saturday, n which he was reported to have stopped Representative Blanton of Texas for exceeding the speed lim:t. ‘The investigation followed the pub- lication yesterday of an affijavit cigned Galimore in which he Iating the traffic regulations. Inspector Brown. however, told a representative 35 miles an hour on New Hampshire avenue, but that he did not arrést the tative. In a subsequent con- same day Inspector Brown said he ccr- rected the previous statemen: and said that Blanton was driving on Sherman avenue and not on New Hampshwe avenue. ebefil !U 55% farel? gil Inspector Brown. Maj. Hesse said he would decide what Teport. | The inspector indicated that the report | would be in the police superintendent’s | 5 hands tomorrow morning. | WRIGHT AERO SOARS; LIFTS OTHER SHARES Curtiss Also Climbs in Spirited | Session on New York Stock Exchange. els: By the Associated Press. NEW YORK. April 3.—A sensational advance of $30 a share in the common stock of the Wright Aeronautical Cor- | poration to a new high record at $130 started another wild “bull" movement | on the New York Stock Exchange to- day. Early gains in the other specula v vor! ran from $2 to §10 8| with trading again in large volume. ‘The spirited advance in Wright was believed to represent either open market buying for control or the running in of Blanton. A badly trapped short interest. Curtis " that this be Aeroplane quickly jumped more than | sisted Willlams, 823 a share to a new high record aticept Mr. Blanton has m.m Both reacted several dollars on fall sorts o gm.m and takin 569 and $33.121,, respectively, Radio, Eastinan Kodak Rule of Mortordom, “Drive ae yes! "s final quotal a m others. inclug International Business tana Power, Fox 'Pllm‘ A and A children,