Evening Star Newspaper, February 18, 1931, Page 1

“From Press to Home Within the Hour” The Star’s cairier system covers every city block and the regular edi- WEATHER. (U. 8. Weather Bureau Forecast.) Cloudy and slightly colder tonight; minimum temperature about 37 degrees; tomorrow partly cloudy. ‘Temperatures—Higl today; lowest. 41, at Full report on page Closing N.Y. Markets, Pages13,14 & 15 46, at today. hest, 1 am. e 9. noon Che Z ITH SUNDAY MORNING EDITION No. 31,704, T ohee “WVe Entered as second class matter o shinston, D, WASHINGTON, D « WEDNESDAY, FEBRUARY 18, 1931—1‘6RTY PAGES. #%# ening Star. tion i3 delivered to Washington homes as fast as the papers are printed. Yesterday’s Circulation, 117,449 TWO CENTS. HOOVER'S “PROTEST! ON BONUS IGNORED; BILL IS REPORTED QUICKLY T0 SENATE Measure Will Come Un To- morrow by_Consent—Veto Considered Likelyin View of President’s Statement. Hoover’s Letter States Objections To Bonus As House Framed It. President Hoover's letter to Senator Smoot today outlined his opposition to the House soldiers' bonus bill as fol- ows: “My dear Senator Smoot: “I have given thought to your request that T should express to you and to the Scnate Finance Committee my views upon the bill passed by the House of Representatives, increasing the loans to World War veterans upon the so-called bonus certificates, In view of the short time remaining in this session for its consideration, I shall comply with your request. “The proposal is to authorize loans upon these certificates up to 50 per cenf of their face value. And to avoid con- fusion, it must be understood that the ‘face value’ is the sum payable at the LETTER TO SMOOT PUTS COST AT ABOUT BILLION | Executive Would Limit Loans to | | Veterans Actually in Need—Sees | Return of Prosperity Possib]y‘ Retarded by Extra Treasury Financing Necessary. BY G. GOULD LINCOLN. President Hoover today hit out strongly in opposition to the House soldiers’ bonus bill. His language, contained in a letter to Senator Smcot, chairman of the Finance Committee, was| interpreted as meaning that if the| bill is sent him in the form it| passed the House he will veto thez measure. | If the measure were amended | so as to provide for loans on their adjusted compensation certificates only to thcse veterans in distress today, it would be more acceptable | based on the additional compensation to veterans of about $1.300,000,000. granted about 6 years ago, plus 25 per cent for deferment, plus 4 per cent compound interest for period. As the ‘face value’ is about $3.423,000.000, loans at 50 per cent thus create a potential liability for the Gov- N SPAN BY ANAR ROVALST ADMIRA Revolution on One Hand and Dictatorship on Other Be- lieved Avoided. By the Associated Press. MADRID, February 18.—After four end of the 20-year period (1945), being | the 20-year | liaasi to the Chief Executive. |days of political turmoil and uncer- CONFEREES AGREE| ON HUSCLE SHOALS AFTER TEN YEARS Compromise Provides U. S. Production of Power and | Nitrate Plant Lease. GOVERNMENT TO BUILD TRANSMISSION LINES Manufacturing Limited to Ferti- lizer and Electrochemical Products Under Pact. The 10-year-old deadlock between | | House and Senate over Muscle Shoals | legislation was definitely broken today.| The Senate conferees and a majority of the House managers signed a com- | promise agreement for operation of the Government's $50,000,000 power and nitrate plant and the report will be submitted to the House tomorrow. The agreement provides for Govern- ment operation of the power plant, lease of the nitrate plants for produc- tion of fertilizer and by-products if possible, and Government construction | of power transmission lines for distri- bution of electricity from Wilson Dam Government to Build Dam. The compromise reached today pro- | vides that the lessee of the nitrate | plant can obtain 15 per cent of ths | amount of power used in production of | | fertilizer for manufacture of electro- | | chemical products off the Government | reservation and as much secondary | | power as the President decides is fair | |and equitable. | ‘The conferees retained the provision | of the original Senate bill for con-| struction by the Government of the | Cove Creek Dam on the Clinch River. | The agreement was signed by Sen- ators McNary, Oregon. and Norris, Ne- braska, Republicans, and Smith, Demo- “The one appealing argument for this | 20y Spain today had a new mon- legislation is for veterans in distress,” | said the President, Within an hour after receiving the letter, the committee reported the bill | without change. | Comes Up Tomorrow. | The Senate agreed by unanimous con- | sent to take up the bonus bill as soon as it meets tomorTow. The reguest for unanimous consent was made by Senator Harrison of Mis- sissippi, a Democrat, soon after the bonus bill had been reported from the finance committee to the Senate. Sen- ator Howell of Nebraska, Republican; Senator Trammell of Florida and Sen- ator Harris of Georgia, both Deomcrats. | suggested it would be wise to take the bill up today. In the end, however, the Harrison proposal prevailed. Senator Smoct declared that there was no intention on his part to delay final action on the bonus bill, and ex- pressed the opinion that it would be brought to a vote before the close of | business tomorrow. i Vote Is 13 to 3. The committee voted 13-3 to report i the L Soon after the Senate met, Chairman | Smoot formally reported the bill on) behalf of the committee. All amendments, of which there were several, were voted down by the com- mittee. The purpose of the majority | of the committee in turning down all| amendments is to speed the passage of | the bill as it was put through thej House. Its passage by the Senate ap-; peared inevitable. Three members of the committee Who | voted against r porting the bill were | Chairman Smoot, Senator Reed of Pennsylvania and Senator Bingham uf‘ Connecticut, all Republicans. Scnator | trouble of the past year still exist, how- ~ace and its | guer, {archist cabinet, avoiding revolution on the one hand and dictatorship on the | other. Either of those possibilities had | seemed imminent, but now it is believed | that the tense atmosphere of the past | week will be cleared and that the situa- | tion is once mcre tranquil, at least for | the time being. | The fundamental causes of all the | ever, and opposition to the monarchy probably will be renewed when the time is ripe. Cabinet Is Sworn in. Admiral Juan Bautista Aznar, the oldest ranking officer in the Spanish | Navy, and generally regarded as a neu- | tral in politics, succeeded where Jose Sanchez Guerra and Melquiades Al- varez had failed. This afterncon he brought a new cabinet to the royal pal ‘were sworn in_be. fore the King. It includes Gen. Beren- | the admiral’s predecessor, and | the Count of Romanones, whose re- fusal to participate in Berenguer’s elec- tion program resulted in the general’s downfall. It was understood the new govern- ment would move immediately for a general election in all municipalities next month, for election of General Councils in May and a national par- liamentary election in June. It was understocd also that there would be a constitutional convention, with power to revise such articles of the 1876 constitution as appears ad- visable. Personnel of Cabinet. ‘The members of the new cabinet are: Premier, Admiral Aznar; secretary of war, Gen. Berenguer; public works, Juan.de la Cierva; treasury, Juan Ven- tosa; economy, Count de Bugallal; labor, Duke cf Maura; interior, Marquis | de Hoyos; justice, Marquis Alhucemas; | foreign affairs, Count de Romanones. This list leaves vacant the ministry | | ture of fertilizer and fertilizer ingre- King of Utah, Democrat, withheld his ote. | of instruction. Admiral Aznar himself | temporarily will act as minister of | These Favoring Bill. { marine, but both portfolios are expected | Those Senators voting to report the bill favorably wer:: Watson, Indian Shortridge, California; Couzzns, Michi- | an; Keyes, New Hampshire; La Fol- | fite, ‘Wisconsin, and Thomas, Idaho, | Republicans; Simmons, North Carolina Harrison, Mississippi: George, Georgia: Walsh, Massachusetis: Barkley, Ken- tucky; Thomas, Oklahoma, and Con- nally, Texas, Democrats. | An’ amendment offered by Senator Reed, proposing that loans should be made only to those who had already borrowed, wzs defeated, 12 to 5. An amendment offered by Senator Walsh, authorizing the Government to pay $150 | cash to veterans in distress was de- | feated, 9 to.8 Senator Thomas proposed an amend- ment to strike out the intefest on loans previcusly made to veterans. This was | Jost, 13 to 3 enator King proposed an amend- ment to place the burden of proof on the veterans to show that they were in necd before they could obtain loans under the bill. This lost, 10 to 7. \ Treasury Burden Stated. After a detailed statement of the financial burd:n which the House bill place upon the country, with the aising_an_additional $1,000.- ed on Page 2. Column 3.) BLEASE WILL RETURN TO PLACE IN SENAT South Carolina Member Denies Cicsing Office Here—Went to Wife's Bedside. T the Associated Press. COLUMBIA, S. C., February 18.— Senator Cole L. Blease denied today he planried to resign from the United States Senate and said he would return to Washington to compléte his term. “I certainly have not resigned,” he said with emphasis. * He said he returned to Columbia to be with Mrs. Blease during her illness. She bas been sick more than three weeks. “I stayed in Washington until I felt it was inhuman to remain there any longer in view of Mrs. Blease’s illness,” the Senator said. ! Officers to Face Dismissal if Per-| | to be filled shortly. The admiral, it was sald in official | circles, is in poor health and was in- | duced to accept the heavy task, which (Continued on Page 2, Column 2 DRY AGENTS WARNED REGARDING PROPERTY sonal Belongings Are De- stroyed in Raids; Special Dispatch to The Star. | BALTIMORE, February 18.—Robert D. Ford, acting prohibition adminis- trator for this district, yesterday threatened with instant dismissal any member of the force found guilty of destroying personal property during | liquor raids. | Five agents, now charged with wreck- | | ing the contents of a house, disciplined at once, he said. Ford's action followed the report of a raid on a Franklintown road home during which, it is said, the agents {used an ax and crowbar in demolish- | niture, six chairs, a radio, an electric heater and a cabinet in connecelon gm the seizure of 114 cases of alleged i beer. |ing a three-plece suite of parler fur- | |crat Scuth Carolina, and Representa- | tives Wurzbach, Republican, Texa: Fisher of Tennessee and Quin of M sissippi, Democrats. Representative Reece, Tennessee, said he would decide before | the report is submitted tomorrow whether he will sign. Text of Compromise. The text of the compromise under which the lessee would operate the | plant follows: “The lessce shall covenant to operate said plant and use said property exclu- | sively in the production and manufac- | Republican, | dients to be used in the manufacture or production of fertilizer. and, if. in the manufacture of fertilizer or fer- tilizer ingredients, a by-product is pro- duced which is not an ingredient of | fertilizer, the lessee shall have authority to sell and dispose of such by-product as the lessee shall see fit, and shall likewise have authority to process such | by-product 5o as to prepare the same | for a market. | “Provided, hovever, that in consid- eration of the lessee complying with the requirements as to the manufacture of fertilizer as prescribed in subsection | D of this section, the lessee shall have the right during the term of the lease to purchase, under provisicns of sec- tion 26 hercof, an amount of primary | power from the corporation equal to 15 per cent of the amount of power used by the lessee in the production of fertilizer, but such 15 per cent of power so purchased shall be entirely inde- pendent of and not used in connection | with the leased premises, nor shall the | power so purchased be used for the| processing or further manufacture of any product produced or manufactured on the Jeased premises except such by- products as are not ingredients of ferti- lizer, and in no way shall said power or any machinery operated by it be connected directly or indirectly with the power used for the production of fertilizer or fertilizer ingredients cn sald leased premises, and no part of the property herein leased shall be used either directly or indirectly for any purpose in connection with the said 15 per cent of power to which the said | lessee is given a preferential right. Year to Let Lease. “Provided further, that the said| lessee shall be entitled to such quantity | of secondary power, subject to aH the | conditions herein set forth applying to said 15 per cent of primafy power, as| in the judgment of the President is| fair and equitable. ot | Under the compromise the President | will have one year after cnactment of | the bill in which to negotiate a lease | for the-nitrate plants. If he fails to| obtain a lease within that time the | Government will operate the plant for | experimental production of fertilizer. 1 e WILLIAMS IS BARRED FROM SCHNEIDER RACE | Lists Closed and Cannot Be Opened, | Say Officials—France, Italy and England Entered. By the Assoclated Press. LONDON, February 18.—Executives | the Schneider Cup race entry list had | | been closed, and that it would be im- | possible to accept the entry of Lieut Al Williams, American fiyer. | 'The list closed December 31, with France and Italy challenging Britain's | right to permanent possession of the cup One of the race officials said: “We would like to accommodate the ( United States, but we could not possibly | alter the rules.” CHURCHES TO TE |Sunday School Pupils Will By the Associated Press. CHICAGO, February 18.—The Inter- national Council of Religious Education announced today that it had inaugu- rated a new method of teaching tem- perance in the Sunday schools, part of which would involve tests of the pupil's instinctive feelings toward the subject. The tests are to be made by asking the pupils to cross out as fast as they Senator Blease tacked a notice on his office door in Washington this weel that his mail Qe forwarded to Columbia, which led to the assumption had decided to return to South Caro- 1ina before the last two wecks of his " term expired.” read them the words which are dis- agreeable to them in the following list: “Anti-Salcon League, bootlegger, beer, alcoholism. siloon, law _enforcement, padlcck, Canadian plan, wine, cocktail, temperance, hootch, propaganda, pros- perity, beer stein, Capone, (rn Guard, . TEMPERANCE BY WORD LIST| **Alcohol Increases Hazpiness” or Is Poison. ACH YOUTHS | Be Asked to Say Whether | home brew, pledge-signing, local option, Volstead, W. Jones law, rum runner, machine gun, law observance, personal liberty and Hoover Commission.” Each word test, the council said, would be followed by another in which the student will be asked to *indicate rapidly the truth or falsity of various statements on the subject, such as: “Alcohol is a poison.” “Alcohol increases happiness.” Sponsors of the idea said the new method would be used in 52 dencmina- tions, representing 85 per cent of the Protestant Church membership in the. United States. racketeer, 0.1, U, | NEW DEFENDS PART IN'POSTAL LEASES Relations With Assistant| Termed “Strained” by For- mer Postmaster General. By the Associated Press. Former Postmaster General New today defended vigorously his conduct in con- | nection_ with postal leases and revealed that relations betweer himself and his first assistant, John H. Bartlett, were badly strained. Before the Senate committee investi- ! gating the leasing of the St. Paul com- mercial postal station and other leases | New praised Bartlett’s ability in business negotiations and said that for this rea- son he had “endured him.” Charge Is Denied. He denied he had attempted to pre- vent a grand jury investigation of the lease or recommended dismissal of the assisant district attorney who prepared the dase for the jury. He said Bartlett had “complete, un- trameled supervision” of every lease made during his regime. New said all circumstances of all| leases, including the St. Paul station lease, were fully known to Bartlett. The committee had previously received testimony that the St. Paul Commercial Station lease was signed with Bart- lett’s rame 1n his absence by a subordi- nate at New's direction. Lease Executed With Good. Chairman Blaine had intimated high Republican officials sought to avert a| grand jury investigation of the lease in 1928 for fear it would have a detri- mental effect on their presidential cam- paign. New said the lease was executed with the late James W. Good, President Hoover's first Secretary of War, acting as_counsel tor Jacob Klup, the lessor. In 1928, Good was Western cam- paign manager for Hoover. Blaine had sought to connect him with an effort to prevent a grand jury investigation of the lease. Bartlett had testified it was well known in the department that he was opposed to the lease. New said it was “absurd to say” he did not consult Bartlett Good's suggestion was that a new lease be executed at lower rental, but without a cancellation clause contained in the lease then current. New said this saved the Government $17,000. Testimony Called Untrue. “As to my interviews with Mr. Good,” New continued, “I am most thankful to be able to say that I am not the type of man to call a man friend in life and then by insinuation and innuendo asperse his good reputation after he is | dead.” New termed “absolutely untrue” Bart- lett’s testimony that the St. Paul lease had been signed with his name (Bart- lett's) by Charles F. Trotter, a subordi- nate, at New's direction. “As a matter of fact, Trotter never did sign it,” New said. “There was nothing irregular or nothing unusual about any feature of that transaction and the lease went to Bartlett's desk | as did every other lease or paper like T “Turning to campaign contributions and Chairman Blaine's assertions that | postal lessors had contributed heavily to the Coolidge and Hoover campaign chests, New said he “never even heard | the subject mentioned” and it “would have made no possible difference.” Officers Die in Blazing Plane. TOKIO, February 18 ().—Two offi- will be | Of the Royal Aero Club said today that | cers and pilots and one petty officer were burned to death today when a plane belonging to the Yokosuba Naval Aviation Station bufst into flames in midair and crashed on top of the Fujieda Agricultural _School in Shi- zuoka prefecture. The plane and school were burned. PERSHING DEMANDS SHOWDOWN on independent American Army. See Tomorrow’s Installment of PERSHING’S MEMOIRS | The Evening Star Jail on Rainy Days Given to Man Who Works on Fair Days By the Associated Press, HAMILTON, Ohio, February 18.—The Chinese who don't fight when it rains will have nothing on_George Bowling. Bowling, in court for carrying concaled weapons, pleaded that his family would starve if he had to go to jail. Judge Alphonse J. Pater sym- pathized. He was pleased to learn that Bowlng works out- doors. ou_cannot work when it rains” decided the court, “therefore, on th: next three rainy days you will be confined in jail.” SEAKTORS 10 AR OFD.C. LK PREES Distributors and Producers | Will Give Testimony Before Capper Group Today. | Local milk distributors and repre- | sentatives of the dairy industry mn Maryland and Virginia are scheduled to be heard belore the Capper subcommit- |tee on food prices this afternoon, fol- lowing yesterday's hearing at which tbe subcommittee obtained data as to the spread between wholesale and re- tail milk prices in different parts of the country. Among those who have been asked to testify today are Henry N. Brawner, jr., | of the Chestnut Farms Dairy; A. L. Thompson of the Thompson Dairy; John McGill, secretary-treasurer of the Maryland-Virginia Milk Producers’ As- | sociation; R. 8. Snader, president of the | Maryland State Dairy Association. The { subcommittee also ‘will Harry Hartke of the National Co-operative | Milk Producers’ Association. | Average Price 15 Cents in D. C. | Ethelbert Stewart of the Bureau of | Labor Statistics told the subcommittee | | yesterday afternoon that in 51 cities of | | the country the average price of milk | per quart is 13.3 cents, and that in Washington the present average is 15 | cents. Stewart said that from Febru- | ary to December, 1929, the average price here was 14.8 cents, and that since January, 1930, the local average has | been 15 cents. * Toward the close of yesterday's meet- | ing Senator Capper called the subcom- mittee's attention to the step taken by the Great Atlantic & Pacific Tea Co. 11 bringing its own bread to Washington from its bakeries in nearby cities at cents for a pound loaf. Senator Capper also read to_the sub- committee an editorial from a Wyoming paper, edited by William C. Deming, former head of the Civil Service Com: mission, in which food prices in Wash- ington and Cheyenne were compared. The Senator said the editorial stated that in a list of 22 articles of food the Washington prices were 18 per cent higher on an average than in Cheyenne. ‘Wide Price Discrepancy. Government statistics showing a wide discrepancy between the prices paid by consumers for milk and dairy products and the prices received by farmers were submitted yesterday. Representatives of the dairy industry testified, however, the consumer was receiving the full benefit of reductions in the wholesale prices of their prod- ucts. Stewart presented a mass of figures which, he said, showed a “very ap- parent” failure of retail prices to fol- lDHk the decline of whclesale prices in milk. His figures also showed that in 1913, when milk was selling for 8.9 cents, the i farmer was getting $1.90 per hundred pounds of milk, and in 1930, with retail milk at 14.2, he was getting $2.53. Prices of milk in the various big cities ranged from 10 cents in Colum- bus, Milwaukee, Minneapolis, St. Paul and Salt. Lake City, to 19 cents in Charleston, S. C., he said. The Government statistician also pre- sented figures he said showed tinued on MISSING MEN FOUND Englishmen Lost in Desert After Car Broke Down. CAIRO, Egypt, February 18 (#).—Two Englishmen lost in the desert between here and Dakhla for two days have been located by a royal air force plane and a rescue party has gone for them. A state telegraph official named New- port and a companion lost their way after their automobile broke down. The plane sighting them dropped food and gn::r and radioed their position to ‘airo. Radio Programs on Page A-12 NINE FOUND GUILTY N GLASSMAN CASE | Two Others Acquitted by Jury| of Charges of Conspiracy to Violate Dry Law. Maryland, and Julius Sanders, indicted | jointly, were acquitted by the jury. The convicted men were immediately ordered into custody and committed to jail pending sentence. Moticns for a new trial are expected to be filed for them. Two Never Apprehended. ‘The indictment, reported August 19, | 1929, contained also the names of Sam- | uel Milestone and Robert Jones, resi- | dents of Baltimore, who were never apprehended. The trial began February 9 and the jury of 1 woman and 11 men had been locked up during the progress cf the trial. | Justice Luhring submitted the case |to the jury late yesterday afternoon and when they had nct reached | agreement at 10 o'clock last night they | were returned to their hotel. Consider: tion was resumed after breakfast this morning. Judge Thanks Jury. | Those convicted with Herbert Glass- | man are Samuel Goldstein, Harry | Behrle, Irving Rosenberg, Alton Cissel | Antonio D’Ambrosio, Jacob Miller, Ha: | vey O'Connor and Francis J. Poston. | Before discharging the jury Justice | Luhring expressed his regret at having kept them locked up during the prog- ress of the trial and thanked them for the services they had rendered. Assistant _United States Attorneys Harold W. Orcutt and James R. Kirk- land conducted the prosecution, while | the defense was represented by Alvin | Newmyer, Harry T. Whelan, Albert W. | Jacobson, E. Russell Kelly, Myron Ehr- ‘lich. Lucien Vandoren and Martin F. | O’Donoghue. MEMORIAL BOULEVARD ACTION IS POSTPONED | Measure Expected to Come Up| Again This Session After Action of Howell. Although the Senate was unable last | night to take up the bill authorizing | additional funds to complete the George | Washington Memorial Boulevard to Mount Vernon, it is expected there will Dbe other opportunities to act on the measure beg)re adjournment. The bill is essential if the memorial highway is to be completed for the Bicenten- nial celebration next vear, officials hav- ing pointed out that work will have to be discontinued soon unless it is en- acted. When the bill was reached on_the call of the calendar last night Sen- !ator Howell of Nebraska asked that |3t be postponed for the time being, | Pos because he was waiting for some ad- ditional information which he had not yet received relating to the bill. NEW LAV URGED TOPREVENTFRALD N REALTY DEALS !Blaine Subcommittee Hits Viciously at Alleged Prac- tices in District. GREATER SAFETY ASKED FOR MORTGAGE HOLDER | Would License Brokers and Sales- men—*Blue Sky” Commission Favored in Report. Striking out viciously at what was described as fraudulent and deceptive practices in real estate transactions in the District of Columbia, the Blaine subcommittee of the Senate, concluding nearly two years of investigations of the local realty business, today laid a voluminous report befcre the Senate, urging enactment of three types of laws, held needed for public protection. The committee urged enactment of |a law to license and regulate real | estate brokers and salesman, creation of a “blue sky” commission to regulate issuance of realty securities pricr to | sale; and revision of the mortgage | foreclosure system, setting up greater | protection for the mortgagor or bor- | rower. Sees Years of Delay. Reciting some of the matters revealed by its investigations, the committee re- perted: “After evidence of fraud has been publicly offered there have been years of delay, and in some cases no action at all, in prosecuting offenders highly yplaced. " 'The mortgage bill was reported to the Senate with amendments designed to prevent losses to investors in mort- gage notes through release of the mort- gage instrument without payment of the funds loaned by individual noteholders. Regulation of Releases. This would provide that before a mortgage lien against a property can be legally removed and in effect, notice of the release of such mortgage must be stamped “cancelled and released” on the mortgage instrument by the recorder of deeds. It also would provide that only trust companies, banks and bufld- ing loan associations, acting under supervision of the controller of currency. may act as trustee under a mortgage Joan transaction amounting to more than $25,000. Investigations in a recent failure in- dicated that in a number of cases the borrowers under mortgage bond deals paid off notes to the mortgage firm as trustee, this being followed by the re- lease of the mortgage nstrument, but it is alleged in some court actions, that the note holders had not been paid off by the investment concern which floated the mortgage notes. Herbert Glassman and eight alleged | | confederates were convicted shortly be- fore noon today of a ccnspiracy to vio- late the national prohibition law after a jury in Criminal Division 3 had de- iiberated over night. David Glassman, brother of the proprietor of two garages, at 2101 Fourteenth street and 1319 L street, said to have been used as depcts for the distribution of liquor transported from Baltimore and other points in Large Losses Alleged. Reporting that the Investigating Com- mittee had found that a very large and probably excess number of real estate brokers and salesmen are operating in the District without legal regulation or supervision of any kind, the committee declared: “The inevitable result has been the commission and perpetration of a vast amount of fraud and criminality by un- scrupulous real estate operators, with attendant losses, amounting to many millions of dollars, to thousands of per- sons both within and without the Dis- trict of Columbia.” The report states that as a result of examination of the operations of the Joseph Shapiro Co., Inc., a num- ber of indictments were returned by a grand jury. “A number of persons who had purchased property, without being informed of the existence of certain deeds of trust which were a lien on the houses, were substantially benefited by the cancellation of such incumbrances.” Other Operations Cited. Referring to investigation of the op- | erations of the Country Club Proper- ties Co., directed by Noel B. Clarke, which sold undeveloped suburban house sites under the “free-lunch, free-lec- ture” promotion system, the committee declared that hundreds of persons had | | been induced to purchase lots to which ! (Continued on Page 2, Column 5.) ELLIOTT’S NAME SENT TO SENATE BY HOOVER President Nominates _Indiana Re- publican to Be Assistant Controller General. President Hoover sent to the Sen- ate this afternoon the nomination of Representative Richard N. Elliott, Republican, of Indiana, to be assistant controller general, filling the vacancy caused by the retirement of Lurtin R. Ginn. Representative Elliott was defeated for re-election last November and as chairman of the House Committee on Public Buildings and Grounds, has been prominently identified with the advancement of the public buildings program in the National Capital. The t to which he is being appointed by the President is for a term of 15 years and carries with it a salary of $8,000 as a minimum. 'TWO BEING CONSIDERED FOR POST OF EXECUTIVE ON BICENTENNIAL o N e Cramton Not Among Those Studied—New Associate Director to Serve Without Pay. Selection of a new associate director for the George Washington Bicenten- nial Celebration has narrowed down to two men, either one of whom would serve without pay, but the appointment is not expected to be made until next week, it was learned today. The two men understood to be under consideration are Capt. Chester Wells, U. 8. N., retired, and Maj. Washington Irving Lincoln Adams of Montclair, N. J,, and New York. Capt. Wells, who had a distinguished career in the Navy, is retired, and now resides at Woodend on Jenes Mill road, Chevy Chase, Md. Maj. Adams, who has been prominent as a publisher and banker, is now re- tired and makes his home at Montclair, N. J. His business was in New York City. He is a past president of the Na- tional Society Sons of the American Revolution, and is much interested in patriotic work. It is understood that Representative Cramton of Michigan, who leaves Con- gress on March 4, is not ene of those being considered at this time. During a discussion of the filling of this vacancy in the Senate two weeks ago it was pointed out that Mr. Cramton had never been a candidate for the place, but that his name was one of %e that has been suggested by ers. . The vacancy on the office of asso- ciate director results from the resig- nation of Lieut. Col. U. S. Grant, 3d. ng without pay. Thé, selec- tion wilk be made by the execufive of the Ge ‘Washingten Bicente 1 Cor n., D. C. ORDERS GUT IN GAS PRESSURE 10 END DANGERS Company Must Act Immed- iately to Comply With Reg- ulations and Report Action. FLOOD OF COMPLAINTS REACHING COMMISSION Higher Gas Bills Stir Washing- tonians to Greater Protest—Sen- ator Howell Backs Investgation. Gas Consumer Urges High Rates To Get Low Bills “Let’s have higher gas rates to get lower bills” is the substance of a suggestion received from a prominent Government official to- day by Richmond B. Keech, peo- ple’s counsel before the Public Utilities Commission. “With the increase of nearly 100 per cent in my gas bf Octcber, when the rate was duced,” he wrote Mr. Keech, “it would be in the interest of econ- un:y to plead for another raise in rates.” Further steps of a drastic nature were taken by the Public Utilities Com- mission today to check the flood of complaints over mounting gas bills and to protect gas consumers against the potential dangers of increased pres- sures, which an investigation showed in some instances were double the maximum allowed. At the same time Senator Howell of Nebraska, who has championed the in- terests of gas consumers in the fight in the Senate against the bill authorizing a merger of the Washington and George- town Gas Light Cos., gave his indorse- ment to the plans for an exhaustive in- vestigation to determine the cause of wholesale complaints over gas bills, which have risen in spite of the lower rate which went into effect last Oc- tober. Developments Come Rapidly. Developments at the commission over the gas situation came rapidly. Its first move was the issuance of«a spe- cial order directing the gas companies to take steps immediately to bring gas pressures within the limits prescribed by the commission’s regulations. This order carried a notation that it should be called to the attention of G. A. G. ‘Wood, mségem of the Washington A. Potter, its chemist, to sible necessary tests which might the effect of the mixed gases. Pilot Lights Carbonized. ‘The chemical tests were ordered, it was said, because of complaints coming to the commission that pilot lights on gas furnaces and gas water heaters were carbonizing and exting flame. This condition, it was is dangerous. The conference was attended by F. A. Woodhead, vice president in charge of operations of the gas company; lDavxd Allen, distribution engineer, and W. M. Russell, chief engineer. The latest order of the commission directing the companies to bring pres- sures within prescribed limits, reads: “The commission hereby orders and directs that you take steps immediatel to bring the gas pressure on consumers’ premises within the District of Colum- bia within the limits prescribed by commission regulations, namely, 2 inches minimum pressure and 8 inches maximum pressure, and a daily pres- sure variation of not exceeding 100 per cent of the daily minimum. These ‘pressure limits are in accordance with a temporary modification of the com- mission’s rules, of which you were ad- vised by letter of January 22. “The commission further directs that you make written report, in duplicate, at intervals of 10 days from the date hereof until such regulations are ~om- DRY AGENTS HELD "IN FATAL SHOOTING Bullet Accidentally Fired “Party,” Says Colored Pro- hibition Officerm at Two Federal prohibition agents are being held by police of the eighth pre- cinct station for investigation into the fatal shooting of Henry Baker, colored, 41 years old, of 736 Girard street, who was killed early this morning by a bullet allegedly fired accidentally from one of the officers’ revolvers. ‘The agents, both colored, are Harold Leroy Maxwell, 30 years old of 1302 R street, and Eugene Jackson, 32, of 2446 Ontario road. With Loretta Young, colored, 19, of 136 W sireet, they are being held on technical charges of investigation. An inquest wiu Ye held at 11 o’'clock tomorrow morning at the District Morgue. . Maxwell told Detective Sergt. N. 8. Hodkinson that his revolver slipped from his shoulder holster while he and Jackson were attending a “party” at the young girl's home, struck the floor bullet mug: penetrated the heart, ac to phy- sicians at the Emergency Hospital, who pronounced Baker dead after he had been carried to that institution in a commandeered machine driven by James W. Gilbert of 1633 Marion street. Anacostia Bridge Closed. Anacostia Bridge, at the foot Eleventh street southeast, will be for a few hours to v after 1 a.m. tomorrow in order to repairs to the draw pin. traffic and pedestrian traffi interrupted.