Evening Star Newspaper, November 5, 1928, Page 1

The only evening paper in Washington with the Associated Press news service. (U. 8. Weather Bureau Forecast.) Fair tonight and tomorrow, warmer tomorrow; lowest temperature tonight aboui 45 degrees. Temperature—High- est, 58, at noon today; lowest, 42, at 7:15 a.m. today. Full report on page 9. Closing N. Y. Markets, Pages 14 and 15 @ ¢ Fheni WITH SUNDAY MORNING EDITION o Star. Saturday’s Circulation, 104,350 Sunday’s Circulation, 112,260 Entered as seco post_office, Wa: No. 30,869. " NATION CHECKS OVER TANGLED ISSUES AND BROKEN PARTY LINES WHILE NOMINEES FINISH CAMPAIGNS Candidates Give Final Speeches on Air Today. IMPULSES BRING COMPLEX SPLIT Survey Shows Lead- ers Are Puzzled by Problems. BY BYRON PRICE, Associated Press Stafft Writer. In quieter mood after weeks of agitation and uncertainty, the Na- tion is taking final counsel today over its choice of new leadership in tomorrow’s general election. The long parade is almost end- ed. Its greater and lesser figures have turned homeward, leaving in the lap of the voter the tangled threads of an epochal campaign. The untangling of the complex impulses of class, race and religion remains for the more orderly processes of the ballot box. The final words of the Nation- wide debate fall to the two men upon whom “its responsibilities have rested most heavily. From his home at Palo Alto, Calif., aft- er his trip across the continent from Washington, Mr. Hoover will speak over the radio tonight to the Nation’s millions of voters. Two such addresses were decided on by Gov. Smith—a noonday talk today to the farm country, and one tonight, both delivered from a radio studio in New York City. Final Breathing Spell. Otherwise, the day was set aside as a final breathing spell for can- didates, political workers and vot- ers, disturbed only by the reper- cussions which are peculiar to the day before election. These in- cluded last-minute - arguments here and there over registration and the policing of polling places, and the usual outpouring of pre- dictions of overwhelming victory on both sides. All such predictions continued to point to inch-by- M inch struggles for the East, the border and the debated States of the farm country and the Far West. In a few,places activity continued among contestants for congressional, State - 'and local office, for besides choosing a new President and Vice President, and the country will elect tomorrow the full membership of the House of Representatives, 37 Senators, 34 governors, Legislatures in many States, and a host of city, county and township officials. Many of the State campaigns have developed into spec- tacular battles in themselves, although as a rule the country over, local candi- dacies have been overshadowed by the contest between Smith and Hoover. Party Lines Cut. The issues of this national contest remain, at the end of the campaign, a patchwork of striking contradictions. The Associated Press has asked hun- dreds of political leaders, editors and prominent men and women in business and professional life, distributed through all of the States, for information as to the topics of campaign discussion which have been most prominent in their particular localities. The results of this survey, summarized below, show how the issues have cut across party lines and across one another. This summary does not purport to list all of the issues discussed, or to name them in the order of their im- portance. Neither does it attempt to take account of the vote-drawing pos- sibilities of the personalities of the two presidential nominees, a factor which many informants declared to be in- creasingly prominent in political dis- cussions toward the close of the cam- aign. The attempt is merely to show Jmet subjects as farm relief, prohi- bition, religion and the others have fitted into the general pictures produced by this campaign. Religious Issue. ! Whatever its relative rank in terms | of votes, th religious issue has provided the campaign with its most bitter in- gredients, Every State in the Union has debated it, sometimes to the ac- companiment of egg barrages and legal proceedings. It has been talked of most openly in the South, particularly in Ala- bama. Democratic leaders repeatedly have charged that religion was the real force | behind the Southern bolt from Smith. The Republication national organiza- tion has repeatedly denied raising the issus against Gov. Smith’s Catholicism and has charged that the Democrats sought to belittle the Quaker faith of! ‘These exchanges are con- | tinuing, up to the final hour of the| Mr. Hoover. campaign. % The Smith managers believe have least to fear from this issue in Eastern States like Massachusetts, with their large Catholic population. They expect defections elsewhere, however, and especially in the Southern and Mid- western States, where the Klan once was 2 great power. It is conceded that the issue has had special weight among German and Scandinavian Lutherans in some sections of the Midwest and Northwest, who might reasonably be expected otherwise to vote for Smith. No political leader will venture a guess how sweeping the net result will be. Prohibition Controversy. Conspicuous for the first time in a presidential campaign, the prohibition issue is credited by political leaders of they | nd class matte, shington, D. C. WASHINGTON, D. C., MONDAY, NOVEMBER 5, 1928 —THIRTY-EIGHT PAGES. * P Means Associated Press. TWO CENTS. Great Minds Do Not Choose to Run In Same Channels By the Assoclated Press. Gov. Smith says a Democratic vic- tory is- clearly indicated. Senator Curtis predicts “an over- whelming Republican victory.” Senator Robinson believes “the Demo- crats will win.” The Republican national committee formally predicts Hoover will receive largest vote ever given a Republican presidential candidate. Chairman Work of the Republican national committee estimates that Hoo- ver will receive 400 electoral votes. Chairman Raskob of the Democratic national committee has “an abiding faith” that “an avalanche of votes” will be_cast for Smith. Ralph E. Williams, vice chairman of Republican national committee, expects Hoover to win by electoral vote of 375 to 400. Senator Simmons of North Carolina, a Democrat opposing Smith, predicts Republicans will. carry his State by 30,000 and win also in Virginia, Florida, Oklahoma, Missouri, Kentucky and West Virginia, and possibly in Alabama, Texas, Georgia and Maryland. Josephus Daniels, Wilson’s Secretary of the Navy, expects South to vote solidly for Smith. PRESIDENT T0 GAST VOTE N HOME CITY Leaves Tonight With Mrs. Coolidge for Northamp- ton, Mass. As citizens of the commonwealth of Massachusetts, the President and Mrs. Coolidge are going to place their bal- lots in the box in Northampton, their home town. - ‘They will leave Washington on a spe- cial train tonight and will arrive in Northampton shortly after breakfast tomorrow morning. According to the present schedule they will not remain’ there more than two hours, when they will start upon the 10-hour journey back to Washington. This will be the second time since Mr. Coolidge has been President that he and his wife have journeyed home to vote. The former occasion was.in 1926, when his personal friend, Willlam . Butler, was a candidate for the Senate, and the President’s trip to Massachusetts was ~ generally looked upon as a gesture on his part to aid in the election of Mr. Butler. Could Mail Ballots. It is not necessary for the President and Mrs. Coolidge to take this long trip just for the purpose of voting. Massa- chusetts has an absentee voting law which would permit them to mail their ballots from the White House. They did this in 1924, when the President was a candidate. But the President has been represented as having deter- mined - on votl:LIn person tomorrow because he thi it will serve as a good example to the electorate through- out the Nation to make any sacrifices and go fo any inconvenience in order to exercise the privileges of their franchise. The President and Mrs. Coolidge will be accompanied on the trip by Edward T. Clatk, his personal secretary, and Mrs. Clark, who are residents of North- ampton, and who are making this trip for the sole purpose of voting: Col, Os- mun_Latrobe, military aide; Capt. Wil- son Brown, naval aide; Erwin C. Geis- ser, personal stenographer to ihe Presi- dent, who is a resident of Lawreuce, Mass.,, and who has already sent his vote by mail, and Col. James F. Coupal, the President’s physiclan, who has mailed his ballot to Boston, where he is a legal resident. ‘Will Visit Old Home, All of the voters in Northampton cast their ballots in the City Hall, and it will be to that building that the Presi- dent and Mrs. Coolidge will go directly from the rallroad station tomorrow morning. They will go from the voting place to their little home on Massa- soit street, where they will remain for a short time before going to the Dickin- son Hospital to visit Mrs. Lemira Good- hue, the mother of Mrs. Coolidge, who has been seriously ill for nearly a year. It is thought likely that while the President 18 at his Massasoit home he will receive a few of his old friends and neighbors. Although the President’s special train is scheduled to get back in Wash- ington at an hour that may be in advance of the definite election re- turns, pains have been taken to keep SMITH,INLAST-DAY PLEA T0 FARMERS, - PREDITS VCTORY Hits Hoover’s Attitude on Agricultural Problem, in Radio Address. SAYS EAST JOINS WEST TO RESTORE DEMOCRATS Urges Effective Control of Export- able Surpluses, With Cost Im- posed on Commodities. By the Associated Press. NEW YORK, November 5.-—Appeal- ing for support from the agricultural ‘West, Gov. Smith today delivered an- other blow at Herbert Hoover's attitude on the farm question and declared a solution of this long-vexing problem could be accomplished in but one way— by voting for the Democratic national ticket tomorrow. Speaking over a coast-to-coast radio hook-up from a studio of the National Broadcasting Co., the Democratic presi- dential nominee again affirmed his be- lief that tomorrow’s election would re- turn him victorious in this campaign, and asserted the “industrial East joins with the agricultural West in its desire for a restoration of Democratic gov- ernment. Confident of Victory. “I believe that tomorrow will bring a great Democratic victory,” the gov- ernor said, “and I assure you that that vietory in turn will bring a solution ‘of the agricultural problem that will re- store prosperity to the farm and pro- mote the welfare of the entire country.” He said this was the “great funda- mental, underlying principle for farm relief upon which Mr, Hoover and I differ absolutely.” Refe to Mr. Hoover's. rgference to the Democratic farm . p as State Socialism, the governor said: “You and I and your leaders and all who have been struggling in your behalf—all of us ferred to the Soclalist party because we wish the Government in your behalf to follow the same prin- cipls adopted in the Reserve sysm'::"tor the protection of money and Hoover, he continued, “talked about an extra session of Congress in his £t. Louis speech. “An extra session for what?"” the gov- ernor asked, adding: “Under his advice, the President of the United States vetoed farm relief measures which were twice passed by a Republican Congress. He had nothing to offer in place of it. What has Mr. Hoover got to offer in place of it today? If he is true to what he has always said, he would certainly veto any bill passed upon the principle of the control of the exportable surplus. You certainly do not think he is going to sign a bill, whether it is passed at a special session or a regular session, based upon that flgiple which he calls State Social- Mr. Predicts Largest Vote. In delivering his farm appeal Gov. Smith read from text for the first time since his acceptance speech. It took less than 15 minutes to broadcast the address, which, if delivered extempora- neously, would have consumed half an hour or more. ‘The nominee faced only a few hun- dred people as he made the next to last speech of his campaign in a studio at_Carnegie Hall. In a statement before going on the air Gov. Smith said that election day this year would see “the largest vote in the histoty of the United States,” and he added his belief that radio was vi- tally responsible. The radio, he said, had taken politics into every American home and had changed “the typical political speech from a collection of high-sounding phrases and choice bits of bunk to a clear, logical arguments.” ‘The governor also thought radio was destined to play an important part in bringing about harmonious relations with foreign nations. “Recently I noticed in the news- papers,” he said, “that plans are being made to exchange radio programs bes tween the United States and England, France and Germany. When we as a Nation listen to a concert played in France and when France listens to one of our famous radio orchestras, the bonds of international friendship can- not but be made stronger. Music does not make for hatred or distrust and I be- lieve that the encouragement of this exchange of music between nations is a long step toward world peace.” Gov. Smith’s second speech will be (Continued on Page 4, Column 2.) (Continued on Page 5, Column 3.) garb of political mourning. electing its next ruler and franchised. both parties with having turned many v 9%cut of their normal channels. Gov. ( ntinued on Page 4, Column 1.) Washington’s Day of Humiliation Election Day, November 6th. TOMORROW should see proud Washingtonians in the i TOMORROW half a million country-loving, intelli- | gent, tax-paying American citizens should remember the ignominious status they occupy. TOMORROW the people of the District of Columbia should vow their determination some day to see their na- tional suffrage wrongs righted. ! TOMORROW the Capital City should pay heed to the humiliating fact that while the rest of the Republic is alone are condemned to stand by, mute, helpless and dis- TOMORROW watch for the events of Humiliation Day and ponder deeply their meaning. law-makers, Washingtoinans CALIFORNIA OPENS ARMS 70 HOOVER AS HE SPEEDS HOME Candidate Confident He Will Leave State as President- Elect of Nation. - TRAIN SETS RECORD ON WESTWARD TRIP Nominee Declines to Give Political Speeches in Utah on Sabbath Day. BY REX COLLIER, 8taff Correspondent of The Star. ABOARD HOOVER SPECIAL TRAIN, NEARING PALO ALTO, November 5.— California threw open her arms today to her distinguished ecitizen, Herbert Hoover, and cheered him on toward the goal of his record-breaking trans- continental journey, a little voting booth on the campus of his alma mater, Stan- ford University. Hoover crossed into the land of gold- en sunsets as the nominee of the Re- publican party for the highest office in the Nation. He is confident that he will leave his home State several weeks hence as the President-elect of his country. That confidence has been heightened by the heartiness of welcome which has been extended him as he made his’ journey through one-fourth of the States in the Union on his mis- slon of suffrage. He is convinced that the majority of his fellow Americans will not countenance a change in poli- cles of government during a period of national prosperity and that he will ride %&w White House on a tidal wave of Wants All to Vote. In an eleventh hour effort to clinch this tidal wave the nominee will go be- fore a microphone this evening fr? the :tua of his picturesque Spanish home the university and. urge that' every voter join him in a trip to the polls tomorrow to cast their ballots. Presidents cannot be elected, Hoover realizes, by acclaim or promises of sup- port. e all-important final gesture must be the marking of the ballots. Passive electorate, he points out, is not conductive to good government. This the theme of his 15-minute talk to millions of citizens this evening at 6:45 o'clock, Pacific time. The talk will be shorn of partisan fiavor. Overconfidence 1s not one of Hoover’s traits. That is why he has added to his _predictions of victory the sobering declaration that whatever the outcome of the balloting he will bow to the wishes of the majority, for “the ma- Jority of the American people always do what is right.” ‘The Hoover train sped over the Cali- fornia line while those aboard were eating breakfast. Another State thus was added to the long list pald a flying visit by the nominee since clos- ing his campaign desk in Washington last Thursday. Rallroad time records have tumbled as the seven-car train whizzed west- ward from St. Louis over rolling prairies and rugged mountains. The train has clipped nearly 10 hours off the previous fastest time ever recorded by a train without right-of-way privileges in the run from the Mississippi River to the Pacific Ocean, according to E. H. Mc- Reynolds, assistant to the president of the Missouri Pacific, who is Hoover's railroad adviser. The trip from St. Louis to Salt Lake City was made in 37 hours and 5 minutes, as compared with the previous miark of 45 hours and 13 minutes. The train is due to reach Palo Alta at 1:30 o'clock this aft- ernoon, which would shave an hour and a half off the former time of 25, lAltl)'l:;s between Salt Lake City and Palo Makes Frequent Stops. All day yesterday the train main- tained its speedy pace through the plateaus and mountains and deserts of Utah and Nevada, stopping _infrequently to permit station crowds, in their Sab- bath clothes, to greet the nominee and his gracious wife." The outstanding stops were made av Salt Lake City and Ogden, Utah, where thousands of citizens of the Mormon country struggled to shake hands with both Mr. and Mrs. Hoover. With typical Quaker reverence for the Sabbath day, Hoover frankly told his audiences that i he considered it improper to make po- litical talks on Sunday. The announce- ment, while disappointing to some, was received with cries of “You're right” and “I'm glad to hear you say that, Mr. Hoover.” At Salt Lake City elaborate plans for a parade through the historic home town of Brigham Young and his fol- lowers were canceled shortly before the train's arrival upon receipt of a firm telegram explaining that Mr. Hoover could not agree to any demonstration on the day of worship. Instead, some three or four thousand cheering resi- dents met the train and crowded for- ward with outstretched. hands—eager for Hoover to grasp them. He started out with his right hand, holding his hat in the other, but soon dropped the hat and went at it two-handed. A tall basket of white and purple grapes was handed to Mrs. Hoover, and she expressed her thanks to the crowd. A man near the rear platform asked her if her arm was too sore to do some hand-shaking, too, and she answered by starting in on a fast round of hand- grasping herself. Williams Leaves Train. As the train pulled out of Salt Lake City the glant spires of the Mormon ‘Templ2 could be seen—Ilooming against a background of mountains. The next stop was Ogden, at which point Ralph Williams, vice chairman of the Repub- lican national committee, who had ac- companied the Hoover party from Washington, transferred to another train and headed for his home in Port- land, Oreg., to vote. As he left the train he issued to the small army of newspaper correspond- ents on board a statement predicting that the Republican nominee will re- | (Continued on Pa; Column 6.), THINK OF 1T]. BOLONY! AUTO MISHAPS RISE SHARPLY IN GAPITAL Twice as Many Accidents in Last Quarter as for Same Period in 1927. Traffic accidents in Washingtdh more than doubled during the last three months over the number in the corre- sponding period in 1927, according to a report prépared by the Police De- partment today. In August, September and October of this year 2,009 acci- dents were reported as against 988 in the same months of 1927. Traffic Director William H. Harland sald today that the figures did not represent as much of an increase as at first, lgpnred, because policemen re- cently have been reporting more minor mld’:nu than lgrmerly. u!.l: &“n'fi that he had made a reque ] t to have this policy ed several months ago. The report shows that a total of 28,417 persons were arrested in the past three months, as ¢ompared with 25,859 in the same months of last year. Traffic arrests, however, rose from 10,777 to 11,800 in the same period. The report for last month shows a total of 740 traffic accidents, eight re- sulting fatally and 346 causing personal injury. In October, 1927, 342 accidents were reported resulting in seven deaths and 213 personal injuries. In October there were 9,914 arrests, of which 4,718 were for traffic violations. Of the latter, 1.518 were for miscel- laneous parking rule violations, 833 for light regulations, 620 for speeding, 49 for driving while drunk, and 249 for reckless driving. BIG POWERS REVIVE DISARMAMENT MOVE Negotiations for January Session of Commission at Geneva Re- ported Under Way. By the Associated Press. ; GENEVA, November 5.—Negotiations are understood to be in progress between the interested governments and the League of Nations as to whether the preparatory disarmament commission should be convoked in January, 1929. Proposals to hold a session of the naval experts of the five leading naval powers, including the United States, appear temporarily to have been aban- doned, although the officials of some governments feel that it would be futile to convoke the preparatory commission without preliminary negotiations toward establishing a naval accord. It is believed here that Great Britain would be the likeliest of the powers to approach the United States with any new suggestion. Those in favor of hold- ing a January session think that the naval difficulties can be discussed at that time without any preliminary meeting of experts. SENTENCE UPHELD FOR JURY TAMPERING Rosario Lombardo must serve 45 days in the District jail for jury tam- pering, according to an opinion of the District Court of Appeals rendered by Justice Charles H. Robb. The court affirmed the action of the late Justice | James Francis Smith, who had held Lombardo in contempt of court. Joseph A. Vitale, a brother-in-law of Lombardo, was on trial in the Criminal Court, and during the noon recess Lom- bardo accosted one of the jurors trying the case on the steps of the courthouse. “That is my brother-in-law’s case,” it was testified he said to the juror, “and I think you are trying send him down.” ‘The juror reported the statement to the court, who, after hearing witnesses, in- cluding the accused, held Lombardo in contempt. The trial took place in June, 1927, Assistant United States Attorney Neil Burkinshaw appeared for the Gov- ernment. CRUISER IN COLLISION. LIVERPOOL, England, November 5 | (#).—The new British cruiser London and the White Star Liner Runic were in_collision last night off Greenock. The Runic arrived in the Mersey day, showing damage above the water- line. The cruiser, which was launched only last year, was damaged about the stern above the waterline. She was returning to her port after a series of running trials. The Runic was cutward bound for Australian ports from Clyde. - | Shop No. 2, at the yard, where he has Pedestrians have the right of way *not only at uncontrolled crossings but also when they have entered an inter- section on a green light until they reach the opposite curb, without regard to the change of lights during their passage of the crossing. The District Court of Appeals so held today in an opinion by Justice Josiah H. Van Orsdel affirming the action of the Municipal Court in awarding judg- ments for damages against H. Allen Griffith in favor of Mrs. Annie L.Slay- baugh and her blind daughter, Edith G. Slaybaugh, of 2446 Twentieth street, who were struck by Griffith’s car about PEDESTRIAN'S RIGHT OF WAY UPHELD DESPITE SIGNAL SHIFT Caught on Intersection by Change of Lights, Walker Must Be Protected, Court Rules in Suit. 9 o'clock at night December 4, 1926, at Sixteenth and Euclid streets. “The condition of traffic in our crowded streets,” said Justice Van Orsdel, “is such that travel by pedes- trians is at best difficult and dangerous. If their absolute right to enter upon a | crossing when the signal not sustained they would without protection. - Obligation Upon Driver. “Entering under this invitation, they cannot be charged with contributary negligence if the signal switches when they are-in the street. - Caught in this position, the obligation rests upon the drivers of automobiles not only to ob- (Continued on Page 3, Column 5.) almost, MONCADA ELECTED INNGARAGURVOTE Former Liberal Revolution Leader May Have 25,000 Majority. By the Associated Press. MANAGUA, Nicaragua, November 5—The people of Nicaragua have elected Gen. Jose Maria Moncada presi- dent of the republic by a large majority. Latest returns today indicated that it might reach 25,000. The returns from 275 precincts out of a total of 432 gave the Liberal leader 56,434, as against 37,060 for the Conservative—an actual majority thus far of 19,374. Bluefields, on the Mosquito Coast, which is strongly Liberal, has not yet been reported. The indications are that the Conservatives will control the next Congress, although insufficient returns have been received to form a trustworthy estimate. The elections, which were held yes- terday, were under the supervision of United States officials especially ap- pointed for that purpose, and were carried out throughout the country with no sign of disorder. Held Under U. S. Supervision. The election was conducted under American supervision, and United States Marines and Nicaraguan national guardsmen were out in force to prevent disorders. Throughout the day Marine airplanes flew over the entire country and communicated by panels laid on the ground with virtually every one of the 432 precincts. Each plane carried ma- chine guns and bombs in readiness to disperse gutlaws should they appear. Reports from all parts of the country saild that there had been no disorder. Advices from the northern area, where Gen. Augustino Sandino had opposed the Marines for a long time, showed a heavy vote cast in an orderly manner. Apparently the plan which required each voter to dip the thumb of his right hand in a harmless chemical solution which stained it red was suc- cessful in preventing repeating. Presi- dent Diaz ‘was exempted from this process, but he proudly held up a red- HAVENNER T0 WAME COMMITTEES SOON Plans Reorganization of Féd- eration Groups—May Re- | appoint Clayton. Reorganization of the personnel of the standing committees of the Federa- tion of Citizens' Associations will be the first important move of Dr. George C. Havenner, the newly elected president. Havenner announced today that the committee appointments would be made within the next 10 days or two weeks, and intimated that changes could be expected in the make-up of every com- mittee. Before the assignments are de- termined, he said, he would confer with leaders in the federation to get their advice and counsel. ‘While speculation is rife in federation circles as to whom Havenner will give the committee chairmanships, interest is centered chiefly in the fate of William McK. Clayton, long the chairman of the public utilities committee and a vet- eran in civic affairs of the District. The chairmanship of the utilities com- mittee is regarded as the most important selection the new president will have. to make because of the dominant place now held by public utility questions, in view of the pending transit merger | agreement and the gas company valua- | tion case. May Oust Clayton Aide. Although Havenner declined to dis- cuss the probable appointments, indi- cations are that the chairmanship of the utilities committee will be offered to Clayton. Clayton's co-worker on the committee, Willlam A. Roberts, likely will be ousted as vice chairman, how- ever. Havenner pointed out that all of his appointment would be guided by his personal knowledge of the fitness and qualifications of the delegates, and not in the payment of political debts. “No man or woman in the federation |- has been promised anything,” he de- clared. “As yet I have not had time to consider the composition of the fed- eration’s committees,” sald Havenner. “I know the delegates through long association with them and I hope to be able to select those that will sup- (Continued on Page 2, Column 2.) ""(Continued on Page 2, Column 4.) Navy Yard Employe, David F. Cushwa, who has commuted from Baltimore to the Navy Yard every working day for the past 31 years, traveling more than 760,000 miles and spending approximately 3 years and 4 months on the’ tsrslln. was retired to- day at the age of years. Kflr. Cushwz:, who has lived in Bal- timore during his long tenure at the Navy Yard, was the guest of honor at a celebration today in the office of Gun worked as a gun borer. Admiral of the Yard A. L. Willard, with his entire staff, attended. Ad- miral Willard spoke in glowing terms of Mr. Cushwa's work, laying particular stress on the fact that he has not missed a single working day, except for annual leave, during the entire Radio I’rograms—}?age g period of his service. Mr. Cushw presented with a trayeling bag, an order on a cloth- To and From Work in 31 Years, Is Retiredj Going 760,000 Miles | ing firm for a suit of clothes, an over- coat and a hat. His wife, who came over from Baltimore to attend the! celebration, was presented with a bouquet of American beauty roses. Mr. Cushwa told his fellow workers that he | Phnned to spend the rest of his life | in Baltimore with his family. RNt 1,200:MILE HOP ENDED. Australian Flyers, hndi‘n; at Java, to Start for Englapd. SOURABAYA, Java, November 5 (#). —Completing a water jump of some 1,200 miles from Wyndham, Australia, Tmits s | W.R.E. HELD LIABLE FOR §191.200 TAXES ONPEPCD EARNINGS Court Rules That Dividends From Holdings Are Part of “Gross Receipts.” $7,000,000 PREFERRED STOCK IS NOT AFFECTED Interest From Investments and Rents of Power Company Also Declared Taxable. The dividends received by the Wash- ington Railway & Electric Co. from the stock of the Potomac Electric Power Co., which it owns, form a part of its “gross receipts” and are taxablo under the law at 4 per cent, according to an opinion of the District Court of Appeals rendered today by Justice Charles H. Robb. Interest and divi- dends from investments and rent from lands, buildings and equipment received by the Potomac Electric Power Co. are also held to be taxable as part of “gross earnings” after allowance for cost of raw materials and the like. The decision means that the railway company will be called upon to pay $151,200 to the District tax collector, Trepresenting 4 per cent on the dividends paid by the power company since the case was taken to court in 1925. Total Dividends $3,780,000. TFhe total of dividends paid since the case went to court. ‘o date is $3,780,000. Of this $840,000 was paid in 1925, $960,000 in 1926, $1,080,000 in 1927 and $900,000 thus far in 1928. . The dividend rates in the various years were as fol- lows: 1925, 14 per cent; 1926, 16 per cent; 1927, 18 per cent, and 1928, 20 . per cent. The railway company owns $6,000,000, or the entire issue of common stock in the power company. In addition to this stock issue there is outstanding $5,000,000 of 5% per cent preferred stock and $2,000,000 of 6 per cent pre~ ferred stock not owned by the railway company and therefore not affected by this decision. The ' Commissioners included the power company items in the, assessmen,t but the companies disputed the mat- ter and brought suit in the District Supreme Court for an injunction to prevent the collection of the taxes. The lower court upheld the action of the Commissioners and the companies ap- pealed. “Unless the meaning of ‘gross earn- ings’ in_this statuts,” says Justice Robb, referring to the pow mpany, “is to be o restricted as strate the ap- ’ parent intent of Congress as expressed in the terms of the statute, interest and dividends received from investments and rent ‘from land, buildings and equipment were rightly included as part of the gross carnings of the company.” Ruling on Real Estate Item. One of the items on which ‘the rail- way company claimed exemption was the sum of $3,868.18 received from a real estate firm to reimburse the com- pany for a deficit by reason of the ex- tension of its bus service to Foxhall Village. The deficit occurred during the first year of the extension. The court declares it fails to perceive why it is not a part of gross earnings, since it came to the company in lieu of receipts from passengers, which obviously would have been included in gross earnings. The railway company also claimed exemption from taxation on the rent of equipment and for furnishing pow- er to related utilities; from rent of buildings and other property to related utilitles; for furnishing power to un- related utilities; use of equipment to unrelated companies; use of tracks by unrelated companies; rent of buildings and other property to unrelated utilities. It also asserted it should not pay tax on the excess received over the actual cost of reclaiming oil for unrelated parties; interest on bonds and notes of subsidiary companies and the inter- est and divicends from investments, “The real question,” says Justice | Robb, “involved in these cases is what was the intent of Congress as express- ed in the taxing acts. If that intent clearly appears and constitutional lim- itations have been observed, it is no part of the function of a court to in- quire into the reasonableness of the exercise, eitHer as respects the amount or lgg. property upon which it is im- Tax Assessor Raises Question. The question of Including the power company’s dividends in th‘e cros}:fl re- ceipts of the railway company first ‘yas rauc::ssu; sslogrzs tgr w}xluum P. Richards, 3 n his suggestion the District Commissioners called a con- ference attended by representatives of the Public Utilities Commission and the companies involved. As a result of this conference a decision was made to take m’er hclse to court. e power company now pays divi- dends to the railway l‘ompaslyy repre~ senting $1,200,000 in cash annually. The decision means that these divi- dends in the future must be included in the railway company’s gross receipts. The power company now pays a 5 per cent tax annually on its gross in- come, less the cost of coal, water and lubricants, which are considered the raw materfals in the production of electricity. When the question of the taxation was raised at the conference Public _Utilities Commission officials took the view that inclusion of the dividends in the railway company's gross receipts would amount to double taxation and therefore would be illegal. The District Commissioners disagreed lethdmem, however, and-the suit fol- lowed. YOUTHFUL STRANGLER TO_PLEAD INSANITY By the Associated Press. 4 NEW YORK, Nowember 5.—Vincent T. Rice, 17-year-old tormer high school athlete, was indicted by the Richmond County grand jury today on a charge of first degree murder in the death of Alice Joost, 15-year-old Staten Island schoolgirl. ; ‘Young Rice has confessed, according to police, that he strangled the girl after he had struck- her with his fist as the outcome of a quarrel. Her body, with a cord bound tightly about the neck, was found Fridey night in her home in Port Richmond, Staten Island. the airplane Spirit of Australia arrived today en route to England. The flyers, Capt. Frank Hurley and Flying Officer Molr, intend to start for Singapore, Straits Settlement at dawn tomorrow. Insanity will be the defense plea for the youth, his attorney has indicated. The case was presented to the grand jury this morning and the indictment w‘u bro in after it had heard 15 Wi