Evening Star Newspaper, May 7, 1931, Page 2

\—2 ¥¥¥ - STATES' REGIMES DRFT T0 SOCALISM Loocal Governments Tend to Tax Experiments Which Increase Public Debts. 1 venth of rends “ arbtlgs 'on"asdrnatistie ernment. BY ASHMUN BROWN. “Present business conditions are an invitation, and individual distress an excuse, to some of those seeking public off.ce to attack our economic structure. * + * Inevitably our Legislatures, jally in the more industrial States, ressed to consider uneconomic s for governmental economic sertes of tn gov- law . will S0 spoke Redfield Proctor, then presi- dent of the New England Council, at & meeting of that ization last September. His warning' has been abundantly fulfilied, for in every - lature in seiston since then just such proposals heve been offered. They give emphasis to the fact, perhaps not accorded due prominence in the pre- vious articles E this series, that the trend toward soclalistic paternalism is and long has heen marked in the State nd local governments. Indeed, State and local ventures into such unsound enterprises as bank deposit guarantee laws, politically controlled rural credit establishments, State-owned and oper- ated cement manufacturing plants, State coal mines, State insurance schemes of all sorts, ranging from in- dustrial accident insurance to hail- storm insurance and even dog-bite in- surance, have contributed largely to the extraordinary increase in public debts and taxation. Costly to Taxpayers. Such experiments, all costly to the t yern,xfil tending to relieve the in- dividual of his sense of responsibility and to instill in his mind the idea of vernmental action for ‘material benefits, have had a large part in developing the increased demands on the Federal Government. The in- dividual feels the pinch of burdensome taxation, the result of advancing State paternalism, and is ripe for the prop- of socialism who tells him Sihorities, desperate in the face of ir indignant taxpayers and vet fear- fur t gm from the policies they have adopted, are overwilling to sur- render authority to the Federal Gov- ernment if only the Federal dollars can be_brought mw&lw the bills. O f (ot siruceare of it & of of Tmmn lnlt‘l?\lfiml s lost sight of, urging of goute Government, a confession of their own inabllity to govern m:;n;ulv::é :;he ext natural step is for sul ler :y the State of authority to the - eral Government. President Hoover once said, more in reference to the second than to the first step, though his remarks are ap- licable to both: Pt 1a & part of the fullness of life that we should live and participate in the government of our local communi- ties; that is, local government that neither” wishes its responsibilities on to a centralized bure-m‘x‘c:u{n T:lfl)l:c'g bureaucracy to dictate a rnnan’. Nor do I believe the peo- of our communities have yet be- come 80 supine or 5o careless of the fundamental advantages of self-govern- ment that they are ready to surrender control of their most intimate concerns to s Government at Washing- to, however gove! ple ‘wise or powerful it may be. Home Is Wholé Object. “I have often said in other connec- tions that, after all, the object of our whole social and economic system is th family and the home, with its inde- , its freedom and its comfort. and if we are to set up more systems of alien regulation and bureaucratic domination we shall inevitably under- mine many of these treasured essentials of our national and family life. 1t is recognized, of course, that in a constituf 1 sense there is far more reason for State and the National Government to go socialistic and to as- sume an extraordinary degree of pater- nalism, for the States P rederal Govo itations than has the al V- ernment. The lgur' trite thou h',"é.i observation may be, is & governmen limited powers, established for certain definite purpose: In the Con- stitution the taxing power of Congress is described in that clause which says that Congress shall have power “to lay and collect taxes, duties, im) and excises, to pay the debts and provide for the common defense and general welfare of the United States.” ents of Federal subsidies 10 the States maintain that even this “gen- eral welfare” phrase gives no authority to Con to grant money to the States for the performance of State duties. 2 Subsidy Measures Unconstitutional. “The (subsidy) measures are uncon- stitutional, in that they inject the Ped- eral Government into activities not del- egated to the central government by the provisions of the Constitution.” declared Prank L. Peckham, vice president of the Sentinels of the Republic, when appear- m ";eeenuy before a senatorial com- “They provide for the diversion from Federal activities to purely State and local activities of funds collected ough the Federal taxing power for Federal purposes. h control over the Federal appropriations of gov- ernmental bureaus in Washington, they assume virtual control over the activi- ties of State and local authorities en- waged in varioys local enterprises. They tend to standardize methods of dealing with various human problems and dis- local experimentation, which has always proved to be the most ef- fective means of trying out and deter- mining the value or uselessness of methods of handling social problems. “They are usually put forward for the avowed rpose stimulating the State and local authorities to embark upon or continue various kinds of so- called soclal weifare work. They ususlly succeed not only in forcing State and e | the Qui THE _EVENING FINANCIAL DISTRICT MOURNS "DEATH OF 1. A. FLEMIN Evening Star Writer Attained Fame by Beat on $10,- 000,000 Wheat Corner. Wrote Feature Each Week Despite Age Until Shortly | Before His Death. | The financial world today mourned | the lcss of one of its most revered fig- ures, I. A. Fleming, venerable financial writer of The Evening Star, who died unexpectedly yesterday at his apart- ment, 2700 Connecticut avenue. Attaining widespread nofe for his famous “beat”-in breaking the news of the $10,000,000 Leiter wheat corner a quarter of a century ago, Mr. Fleming had remained in the front rank ol’ financial writers until his death. Eighty years old, he was probably the oldest journalist in America actively | engaged in writing on economic mm.} Mr. Fleming, affectionately known to his friends in banking and newspaper | circles as “Pop,” was financial editor | of The Star for many years, and dur-| ing the past few years had written a | column far the financial page of Sunday Star under the heading ness News in Retrospect.” Although he had peen in poor health | for several years, he insisted on con-| tributing the feature regularly. He was not equal to the task last week, but | did not become dangerously ill until| this week. heart -trouble, resulting from a break- | down a few days ago. | Funeral services will be held tomor- row at 11 a.m. at All Souls' Episcopal Church, Cathedral avenue near Con- necticut avenue, with Rev. Dr. H, H. D. Sterrett, the rector, officiating. The body will be taken to Chicago for in- terment in Graceland Cemetery. Honorary pallbearers will include the following ~bankers: Howard Moran, John Riordon. Victor B. Devyber, Wilmer J. Waller, W. W. Spaid, Edward | J. McQuade, George W. White and Robert V. Fleming. President Lanler P. McLachlen of the District Bankers’ Association appointed a special com- mittee to represent the association at the funeral. Mr. McLachlen will head | roup, which will include Mr. Mc- , Mr. Fleming, Mr. Moran, Mr. Riordon and Mr. Deyber. | Had Remarkable Career. | Mr. Fleming had a remarkable news- | paper career. He had been actively en- gaged in journalism for well over 60 | years. When age forced him to give | up the daily routine, he spent much | time and energy preparing weekly finan- | cial letters. As he neared the age of | 80, friends su ted that he retire, but | he spurned all such proposals: | Mr. Fle spent his Winters at Melbourne, returning early in March. He complained tha® the lack of | sunshine this year had prevented him | from getting the usual benefits of the visit. Shortly after his return to Wash- ington the dsath of his very close friend, | George O. Walson, proved such a severe blow to him that it appeared to take his strength. The weakening of his heart followed. Born in Chicago on November 29, 1850, Mr. Fleming lived in that city for 53 years and for more than 30 years stood in the front rank of Chicago's financial writers. He was only 15 years 0ld when he began his career of pre- | ring newspaper copy, han grain ':mum. on what is now the Chicago | ard of Trade. His unusual ability | and energy rapidly asserted them- selves, and his inside knowledge of the intricate workings of the grain and stock markets soon brought him into | prominence. | Obtained Many Beats. usi- | captains finance ° scores of news stories ahead of other Jess alert financial writers. In those days the elder Armour and Marshall Pleld were at_the height of their finan- cial power. Probably the most memo- rable “scoop” Mr. Fleming ever ol tained was the first story bringing to public attention the famous Leiter | corner in wheat. News regarding this | “corner” followed some of the most | sensational trading sessions ever wi nessed on the Chicago Grain Exchange, d Mr. Fleming's information about it was flashed to all parts of the world The sensational speculative activities of the Moore brothers furnished an- other famous story which Mr. Fleming covered alone for the Chicago Journal ‘W. H. and T. H. Moore were cOrpor: tion lawyers and started a bull mov ment in Diamond Mal and New | York Biscuit. That was in 1896 Match was pushed up to $225 a share and Biscult to $180 and $200. Heavy Losses Sustained. Trading_became so wild that the Chicago Stock Exchange was closed | until settlements could be made, which | prevented the fall of many financial | housss. In the final adjustments it | was a common report in Chicago that the sponsors of the two stocks had lost $15,000,000, a very large sum for those days. 1"‘he Chicago paper with which Mr. Fleming was connected changed man- agement and the financial writer be- came editor of the Minneapolis Times. Death was attributed m[m G AT 80 i 1. A. FLEMING. This paper was suddenly bought by & rival and Mr. Fleming next found him- self writing for a syndlcate of trade papers, after a few months being asked scome their representative in ‘Washington. - When he first pitched his tent in this city, over 20 years ago, he represented 28 of these papers at one time. He found looking after so many pa- pers a very strenuous life. One d while walking down Pennsylvanta ave- nue, he met his former employer n Chicago, who had come to Washington to live. The chance meeting resulted the financial writer joining the Washington Times staff. Joined Star’s Staff in 1913. About a vear later Mr. Fleming was asked to take the financial editorship of The Star. He was 63" years old at the time and considered the offer the | greatest tribute of his career, starting work on the paper December 21, 1913 In his younger days in Chicago he was very fond of sports and in the 70s was a star base ball player. He was a personal friend of “Pop” Anson, Billy Sunday club often playing professionals. He competed against Anson and Charles Comiskey played on a team which Mr. Fleming managed, the Liberties. In his athletic days he was over 6 feet tall and we’ifhed 197 pounds. Mr. Fleming represented the late C. W. Barron, owner of the Wall Street Jowrnal, at the annual meetings of many big Chicago corporations. Mr. Barron conceived the idea of owning at least one share of stock in a host of the leading corporations of the coun- try, o that he might have a repres:nt- ative obtain at first hand all the an- nual reports. Some corporations were far less open in their business methods | then than now and meetings were often suddenly adjoured when the officials were presented with C. W. Barron's proxies which admitted a press repre. sentative in person. Mr. Fleming was a Republican in politics, and a Presbyterian in religion He cast his first ballot for Gen. Gran when the latter ran for his secont term. He also stood out in the cold November rain for many hours to get a chance to vote for James G. Blaine. Convention Guest Seven Times. ‘The dean of Washington's financial writers always had the interests of the District Bankers' Associstion at heart. He had attended every out-of-town convention the association ever held, with one exception, iliness keeping him away. At the last seven conventions he had been a guest of the association. He presented the association with a Rolf trophy which arouses great interest every year. A charter member of the National Press Club, he was also a member of ‘The Evening Star Club and a life mem- ber of the Chicago Press Club. He is | survived by a brother, John, in Chi. cago, who for years was a business soclate of the Jate Andrew Carnegle. A son, George, and two nieces also sur- vive him. Mr. Fleming made his home with his daughter-in-law, Mrs. Russell S. Flem- ing, whose husband died in 1916. Mrs. Fleming’s devoted tare, in the opinion of physicians, prolonged Mr. Fleming's life many years. Although broken in body, the veteran writer's mind was as cl and active at 80 as at 30. When a physician once told him that continu- ance of work would endanger his health | the veteran editor replied that life without work did not remotely interest him. “I don't want to sit around and play a harp, either in this world or | the next,” he once observed to a friend. HOFSTADTER CALLS PARLEY ON INQUIRY | Head of Legislative Group Accedes to Democratic Threat of Court Action, By the Associated Press. NEW YORK, May 7.—Senator Hof- stadter, chairman of the Legisiative Committee investigating the city gov- ernment, today said he would meet his | tull committee next Thursday to con- States, there s abundant authority in the history of the times to demonstrate the correctness of Mr. Peckham's as- sertion that the effect is to reduce | States “to the condition of stimulant | addicts”; likewise that they, like other | manifestations of a growing paternalism | in both State and national government, | tend to break down that which is “of | the essence of American institutions, namely, the principle of local self-| government and citizen responsibility. | “Creeping Paralysis” of Socialism. | In a recent article Barnard Mullaney of Chicago wrote in Nation's Business an article entitied “Soclalism—Ameri- can Style,” that deals in interesting fashion with prevailing trends. He told of a “creeping paralysis of socialism that has becen making considerable progress in this country recently,” and | reasoned that while most of us would | vote against socalism if we had the chance, we are unwittingly encourag: ing soclalism—otherwise paternalism— | Jocal authorities to adopt methods dic- tated by bureaucrats in Washington, but in reducing States to the conditions of stimulant addicts, unable to continue their activities without constantly en- larged doses of financial stimulant from the Pederal Treasury.” Hughes Sees Danger. Excellent legal arguments have been advanced in rebuttal to demonstrate that the general welfare clause author- izes at least such financial grants as the Pederal Government has been making to the States, But even the present Chief Justice of the United States, Charles Evans Hughes, who once, as & private attorney, wrote a brief uphold- ing -the constitutionality of subsidies, holds that such subsidies should not be —although they are—employed to break down the power d authority of the States. Only last summer, he sald: “However difficult it may be in consti- tutional interpretation to maintain per- fectly, and to the satisfaction of all, this between the State and nation, 1t is of the essence of American insti- it should be fully exercised to meet na- tional needs.” . Whether or not there be constitu- ticnal authority for Federal subsidies to Pl through lack of information and lack | of understanding. | Any review of the announced prin-| ciples of the Soclalist party in America | will bear out his contention. Thus. that party in 1916 issued a series of political demands, often repeated since, among | which were these: “A non-contributory system of old- age pensions, a general system of in- surance by the State of all of its mem- | bers against unemployment dnd in- validism, and a system of compulsory | insurance by employers of their work- ers, without cost to tite latter, against industrial ~ discases, accidents and death. “Government relief of the unem- ployed by the extension of all useful public works. All persons employed on | such works to be engaged directly by | the Government under a work day of not more than 8 hours, and at not less than the prevalling union wage. The | Government also to establish employ- ment bureaus: to lend money to States and municipalities, without interest, for | the purpose of carrying on public works; to contribute money to unem- ployment funds of labor unions and other organizations of workers. “The collective ownershi; ocratic management of rallroads, tele- graphs and telephones, express service, steamboat lines and all other social means of transportation and communi- crliflon and of all large-scale indus- tries.” 11, by North. American | (Copyright. y ihe s sbaper Alliance.) and dem- | % sider demands of Democratic members for representation at private hearings. Democrats, Jed by Senator McNaboe and Assemblyman Cuvillier, demand that Samuel Seabury, counsel to the committee, call off his private hearings unless a minority member be present. It is Seabury’s intention to conduct pri- vate sessions before Hofstadter. Under threat of court action to seek | legal interpretation of committee rules, Chairman Hofstadter decided to call the conference. Mr. Seabury today made public a let- ter from the city Bar Association of- f!fln! its aid in the coming ingul April Circulation Daily... 116,061 'Sunday, 122,435 District of Columbia NG NEW of THE A A does_ solemnly swenr that the actiinl numbe of coples of the paper named sold and dis- tributed during the month of A 1931, was as follows: . e LD, Busine i Biiinese Manager Days. 1 SEEZSemanaws. Less ‘adjustments..... Total daily net circulation Average daily nev pald circula ioh Daily average number o service, eic..,... Daily average net 3 114593 coplos for ptedad SR 1) - 116,061 Copies. 246 19 P! Goples. ot 38 . 134ma2 135,445 sy ; 12 . i Less, adjustments...... Sunday net _circuls t paid Sunds tion...... circulation. 1 for serv- FLEMING NEWBOLD. Business Manager. d sworn to. before me this Subgeribed 7th_day of May, 1931 [ ELMER K. YOUNT. N Public, and other diamond kings of | many years ago, his semi-professional | STAR, WOMAN TREASURER BALKS COMMITTEE Cannon’s Aide in Virginia Campaign Refuses to An- swer Nye Investigators. (Continued From First Page.) vanced by Bishop Cannon himself in his letters to the Nye committee pro- against their investigation of Her statement attacked the Glass resolution adopted by the Senate at its last session, seeking to give the Nye Committee authority to investigate all charges brought against, any one who had part in the 1928 elections. Miss ! Burroughs said in effect that she had been advised that a legislative body such as Congress has no jurisdiction to try any one for violation of the corrupt practices act. She said that the Glass resolution coniemplated no | legislation, but sought to give certain judicial functions to the Senate and its committees. Miss Burroughs quoted a decision rendered by Associate Justice Gray of the Supreme Court in the case of Fitz- gerald versus Green in which the Su- preme Court held that presidential and vice presidential electors. are State officers, just as are members of the State Legislature, and that the regula- tion of such electors should be left to the States and not attempted by Con- gress. Miss Burroughs insisted that the Anti-Smith Democratic Campaign Committee had been interested in the presidential election of 1928, and that the Senate committee had no jurisdic- | tion to go into the activity of the com- | mittee in the campaign for the pres- | idential electors. “I assert,” said Miss Burroughs, “that | T have not knowingly violated any pro- ! visions of the Federal corrupt practices !act, nor have I fraudulently converted | any campaign funds to my private use. | “Belfeving that the committee is with- lout jurisdiction” and. any investigation attempted under Senate resolution No. 403 (the Glass resolution), is, as the Supreme Court has declared, unauthor- ized and unwarranted by law and would constitute a violation of ‘my personal rights as a citizen of the United States, I most respectfully decline to give any testimony in this investigation.” Declines All - Answers. When Miss Burroughs completed the reading of her statement, Chairman Nye asked: “Have you given thorough consider- ation to the possible result of your declination to answer questions of thr committee and have you had advice in the matter?” “1 have,” was the reply. Senator Nye continued: “You were treasurer of the anti- Smith Democratic Committee in 1928. Do you contend that this committee had to do only with the presidential election?” “I decline to. answer &ny further qulestlons," said the witness in a firm voice. Reports Are Cited. After the committee had conferred for several minutes without leaving the room, Chairman Nye returned to the assault. He called attention of Miss Burroughs to the fact that there had been flled with the clerk of the House and with the Secretary of the Senate certain reports of contributions and ex- | penditures from the anti-Smith Demo- | cratic headquarters and that these re- ports had been signed by Miss Bur- | roughs. The first of these was dated September 6, 1928. In reply to his ques- tion about the first report Miss Bur- roughs admitted that she had filed that | report. But when Senator Nye sought | to question her turther about a second | report under date of October 27, 1928, | !}ale witness flatly declined to testify fur- ther, Chaiiman Nye asked the witness also about reports filed on January 22, 1929, and February 15, 1929, asking her whether she had knowledge of these reports. Miss Burroughs would not answer. She was questioned also about a report of 817,364 of unpaid obligations to Bishop Cannon, contained in a sub- sequent report, and was asked why no notation was maqe of these unpaid obligations at an earlier date. “I decline to answer,” sald Miss Bur- b gu, id you handle the Jameson con- tributions to the anti-Smith Demo- ratic campalgn?” asked Senator Nye. “I decline to answer,” said the wit- ness. Stlent on $17,364 Check. Chairman Nye said that the records showed that on February 11, 1929, a check had been drawn to"Bishop Can- non for $17,364, and asked the witness if she knew anything about that. “I decline to answer,” was the reply. The chalrman sought to question Miss Burroughs about the Asheville conference held July 18 and 19, by Southern dry Democrats to organize the anti-Smith Democratic campaign. He asked Miss Burroughs if she was present at the conference. She de- clined to answer, howsver. Nor would she say anything about a letter written by Bishop Cannon to E. C. Jameson in New York, asking for a generous con- tributiorf to the anti-Smith Democratic campaign. In that letter, Bishop Cannon de- clared that the feeling in the South against the “wet, Tammany candidate” (meaning Alfred E. Smith) was not simply a revolt but had the earmarks of a revolution. Bishop Cannon ac- cused Gov. Smith of double-dealing and of insulting the dry Democrats in the | South. He declared: “‘We are satisfied we 'can break the Solid South.” As chairman of the apti-Smith Dem- ocratic headquarters, Bishop = Cannon said that one of his jobs was to raise the money to conduct the céampaign. He said that they were trying to faise a fund of $200,000 and that & mini- mum of $50,000 was needed imme~ diately, adding that he hoped Mr. Jameson would make a contribution. Reads Cannon's Call. “Are you familiar with the signature of Bishop James Cannon, jr.?” Senator Nye asked Miss Burroughs, passing the letter over to her. “I have nothing further to add to my statement and I will not testify,” said Miss Burroughs. At this point, Senator Nye read from a call sent out by Bishop Cannon for the Asheville conference. In this call it was stated that the effort would be to elect dry Democratic senatorial and congressional candidates, and State officers and to defeat the wet Tammany 3 candidate for President. “You still maintain, Miss Burroughs,” said Senator Nye, “that the anti-Smith Democratic headquarters were, inter- ested only in the presidential election?™ “I decline to answer,” said the wit- ness, Chairman Nye told the witness that the record revealed a violation of the corrupt practices act in the handling of the Teport of the anti-Smith Demo- cratic Campaign Committee. But this did not cause Miss Burroughs to waiver in her determination not to answer questions. Ignores Dill's Question. Senatcr Dill of Weshington interrupt- ed to say thgt Miss Burroughs had made the statement to the committee that she had not violated the corrupt practices act. “That is testimony,” sald Senator Dill. “I would like to know why the witness was willing to testify in that regard before this committee and re- fuses to_answer other questions.” ?atn Burroughs remained absolutely quiet. ¢ Senator Nye asked Miss Burroughs if she had knowledge of of the Jameson contributions to any individual. When she made no answer WASHINGTON, b A _Giversion 1. l C., THURSDAY, MAY First Gold Star Mothers Depart [ 1931. LEAVE FOR FRANCE TO VISIT GRAVES OF LOVED ONES. 8ecretary of Wi RECEIVER IS ASKED FOR BERBERIHS Three Creditors File Involun- tary Bankruptcy Action Against F Street Store. berich's Sons, Inc., trading as Berber- ich’s at 1200-02 F street with a branch x 1109 G street, adjudged bankrupt s filed in District Supreme Court to- day by three Ohio corporations, claim- ing to be creditors. The Imperial Shoe Co. presented a claim of $577.50, the Air Mail Shoe Co. $91.05 and the Krippendorf Dittmai Co., $1,853. Their representatives told the court the local corporation is in- solvent, that its indebtedness is $76,000 and that its assets will not exceed $32,000. As an act of bankruptey. it is alleged, the Berberich Co. within the past four months made a payment of between {$800 and $1,000 to the Munsey Trust Co., in an’ attempt to prefer that creditor. Through Attorneys Albert E. Stelnem and Milton D. Korman, the complaining cpeditors asked appointment of a re- ceiver pending the election of a trustee in bankruptcy. They said attachments had been levied against the assets of the F street store, which is conducted not only by the Berberich Corporation but also by the United Shoe Co. and five others, which conduct separate de- partments. The money collected at the store and from charge customers, the court was informed, goes into a general account, and by the marshals’ levies on stock and bank accounts the credi- tors of Berberich are lil to be af- fected adversely, it was said. A receiver is needed., the creditors sald, to take charge of the business and to conduct it in the interest of the creditors and the department lessees. The bankruptey petition has been ex- pected since the recent filing of a suit for $33,600 by tre F:deral-American | National Bank and a sult for $23,000 rent by the landlord. MIDGET OPERATED ON Harry Earls, a midget, with the | Johnny J. Jones circus at Fifteenth and H streets northeast, was said to be “‘do- ing quite well” today at Sibley Hospital, where he underwent an appendicitis operation yesterday. to the institution by an official of the show, who carried him to and from his automobile in his arms i The operation was performed by Dr. Charles Stanley White Se¢nator Nye asked whettier she de- clined to answer on the ground that she might incriminate herself. ment,” was Miss Burroughs’ answer. Affer she had been excused, she was called back to the stand by Chairman Nye, who asked her if she was entirely conversant_with the possible conse- quences of her refusal to estify. Sena- tor Dill also called the witness' atten- tion to the fact that she might be prosecuted. forward with the Cannon inquiry, then began the hearing of Prof. Charles E. Merriam, who holds the chair of po- litical science at the University of Chi- cago. Prof. Merriam had been asked to appear to give his advice to the committee regarding proposed legisla- tion to strengthen the Federal corrupt practices act One of the questions asked Prof. Merriam by the committee was whether Congress had the power to legislate with reference to the election of the President and Vice President of the United States. Prof. Merriam replied | that this s a matter that might have to be determined by the courts. “I think, however,” said Prof. Mer- riam, “that & case might be made for the regulation by Congress of the elec- tion of Presidents and Vice Presidents. In other words, I do mot think that such provision of law should be #bso- lutely excluded from consideration and that 1t might be well worthwhile to give it consideration.” Cannon Sends Protest. A formal protest was sent to the Senate Campaign Punds Committee last night by Bishop James Cannon. Jr., against the inquiry into his use of anti-Smith funds in the 1928 campaign. Bishop Cannon challenged not only the legality of the resolution authoriz- ing the committee inquiry into his ac- tivities, but also said the Federal cor- rupt practices act—which he has been charged with violating by Represent- ative Tinkham, Republican, Massa- chusetts—was unconstitutional Buh‘o& Cannon said he had not know- ingly violated the corrupt practices act, por had he “embezzled any com] ds He successfully challenged the au- thority of the Senate Lobby Committee to inquire into the disposition he made of $65,300 given to him by E. C. Jame- son, New York financler, in 1928, for use in the Virginia cam) against the Democratic presidential nominee— Al e ds C nate Campaign Funds Com- mittee is pre p;:qef _authority of ‘a_resolution- introduced last, session by Senator Gluas( Democrat, Virginia, of Gold Star Mothers from New York, May 6. Government, to visit the graves of loved ones killed in the World War. Front row, left to r | Application to have the Robert Ber- | Earls, who is 29 years old, was taken | “I have nothing to add to my state- | The committee being unable to go | S8/ paign | the Supreme Court had held that “if man, Mrs. Mary K. Bayley, Washington, D. C.; Mrs. M. H. Bentley, Cincinnati, Ohi of the George Washington (the liner on which the Gold Star Mothers sailed), E. tary of the Navy: Comdr. G. W. Simpson, aide to Jahncke. Rear row: Gen. Brig. Gen. A. E. Williams, Fred H. Hauser of the American Legion and Lieut. E. B. Ely.—A. P. Photo. ‘The mothers go to France at the nse of the American ht: Paul Chap- Comdr. George Fried L. Jahncke, Assistant Secre- MANY high Army and Navy officials were on hand to bid bon voyage at the sailing of the first 1931 contingent J. L, De Witt, Pred H. Payne, Assistant |DISRESPECT OF LAW HELD AS WORLD’S T MENACE __(Continued From First Page.) I it evident. as it seems to me, that we | can expect but slight. if any, improve- | ment in our statistical methods .unless an adequate organization is maintained for this purpose in the Department of Justice, with a supervising staff through which accurate, comprehensive and uni- form statistics can be obtained. Pend- | ing such an organization, some improve- | ment may be possible, but I do not think it will amount to much.” ‘The Chief Justice aiso expressed his | conference of the senjor Federal circuit Judges. He said he was anxious that “his instrumentality should be developed. | As the meeting of the institute got under way, Census Director Steuart | called attention to a law passed March 4 to set up a nation-wide system for gathering crime statistics. He said this |law has met all the recommendations {of the Wickersham Commission report | of April 26. “I had been working over that law for three or four years,” Mr. Steuart | said, “an made broad enough to cover the points recommended in the Wickersham re- | port.” - | Under the act of March 4, the ce: | sus director is thorized to compile and publish annually 'statistics relating |to crime and the defective, delinquent |and dependent classes. | _Presentation of reports by Hubert F. Goodrich, dean of the University of ylvania Law Schcol, and William , institute director, fol- |lowed the addresses of the Chief Jus. tice and Mr. Wickersham. | Lewis summed up progress toward resfatement of the law during the past | year, and Dean Goodrich said in at least 11 States bills had been adopted or were pending embcdying the pro- visions of the institute’s code of crim- inal procedure, Tentative drafts of restatement of the law in six flelds—agency, conflict of | laws, contracts, - property, torts ~and trusts—will be considered at the meet- ing. ‘Three proposed statutes dealing with the administration of the criminal law also will be presented. The field of criminal law is the only |one in which the institute has en- deavored to prepare statutes designed for legislative adoption. | Workers designated by the organiza- tion have been engaged since 1923 in a restatement of the common law, defined as a clarification and simplification of | common law decisions. | President and Mrs. Hoover will re- | celve members and guests of the insti- | tute tomorrow afternoon. The meet- ing ends Saturday. Many of the delegates to the insti- tute last night attended a banquet | closing the annual session of the Amer- |ican Judicature Society. John Lord O’'Brian, Assistant Attorney General, was the principal speaker. He dealt largely with the history and work of | his department. . Newton D. Baker was re-elected | president of the soclety. Judge Clar- | ence N. Goodwin was re-elécted chair- man of the board and Herbert Harley was chosen secretary-treasurer. Vice | presidents elected were Henry N. Bates, | Rufus G. Harris, Justin Miller, Philip J. Wickser and John H. Wigmore. | SAVES 18 IN SHIP CRASH Man Cuts Rope Felling Boat When | Craft Tops Over. GUERNSEY, Channel Islands, May 7 (#)—Eighteen survivors from the |Itallan salvage steamer Raffio, which | sank yesterday cff Sark, arrived here | today, . crediting one of thelr number with presence of mind which kept the death toll down to one. | The Raffio | while she was dumping seven tons of | concrete. One man ran astern and cut |a painter, setting a small boat adrift. The castaways climbed in. A man who | was below at the time was drowned. |QUEZON HERE FOR MONTH | Philippine Senate President to Con- fer on Independence. ‘Manuel C. Quezon, president of the Philippines Senate, has arrived here for a month's stay during which he will confer with Filipino officials relative to independence campaign plans. ‘The Filipino leader was accom= panied here by a physician. His visit to the Capital was delayed several months by an illness from which he hn?umcn recuperating at Monrovia, Callf. giving it broad power to inquire into charges of irregularities in campaign expenditures. Tinkham filed a com- plaint against the bishop. ‘The Cannon protest, a lengthy one, cited_several court decisions and_said crime has been committed the grand fury shall investigate, if fravd the courts of equity and law. All the judicial power 18 vested in the courts by the Constitu- «on, Implied powers do not exist in ewher House.” He placed his main reliance in block= ing the committee’s inquiry on his con- tention that the Federal corrupt prac- tices act requiring filing of accounts of ign expenditures is unconstitu- apfireciation of the work of the annual | d I feel fairly confident it was | tipped over and sank | LUCAS BAKES PLE FOR UNTED PARTY |G. 0. P. Committee Executive | Tells of Democratic-Radical | Peril in Article. | A demand for party solidarity, “lest a Democratic-radical coalition may be | placed 1in controt of the Government,” | was made yesterday by Robert H. | Lucas, executive director of the Re- ipubll an National Committee. | 1In a message to young Republicans |in the first issue of the Young Re- | publican, a monthly magazine created | by the National Capital Republican Club and indorsed by the National Committee, Lucas said: | In these times of economic de- | preszion and resulting unemployment, | weakening vitality and lowering re- | sistance, subjecting the public mind |to the infections of radicalism, So- | cialism and Communism, Republicans |are put to the test of party loyalty | and party service. Protection to Laber. | “If it were not for the protection of the Republican policies of tective tariff and restricted imm! on would be much lower and the nt T of unemployed would be greatly in- creased. ‘And yet the Democratic party—the party of fres trade and unrestrictéd im- | migration—by stirring and stimulating | discontent, has hopes of taking over the Government. ~ These hopes are not based upon 2 belief that the Democratic party principles will appeal to a ma- | jority of the voters, but on the theory that in a period of depression the people will vote against the party in power. Committees Disc: Plans. Plans for assisting the Republican Na- tional Committee in conducting the na tional convention of young Republican: | to be held in this city June 11-12 were discussed last night at a joint meeting of the young men’s and young women's membership committees of ‘Young Republicans of the National Capital Re- publican Club, at their headquarters, 1331 G street. Douglas Whitlock, president of the local organization, in a brief talk em- phasized the importance of completing & membership drive which will bring aboit an adequate representation from each of the Republican States by the time the convention meets here. {THREE BELIEVED LOST WHEN SHIP SINKS TUG Former Rum Runner Cut in Two by Early-Morning Crash in Long Island Sound. ROUT CAMERAMEN AT APPLE FESTIVAL State Police Precipitate Near Riot by Attacks at Win- chester Show. | By a Staff Correspondent of The Star. WINCHESTER, Va, May 7.—Re- porters, newspaper photographers and news motion picture operators left Winchester last night with protests against the man-handling accorded them at the coronation of the queen and the pageant which followed in Handley Stadium at the Eighth Annual Apple Blossom Festival. A veritable riot was precipitated when Virginia State police, operating, they said, under instructions given them by festival authorities, swooped down“on the photographers and or- dered them &0 “clear out of it!™ The police undertook to shove the men ily from the field. The motion glec'mre camera of the Universal News 1 operator was knocked from its tripod to the grouna. Protests Save Cameraman. Andrew May, photographer for Har- ris & Ewing of Wash n, was gral bed by the neck and half a hundred feet before protests of news- paper men and nearby witnesses caused liceman to release him. photographer wspaper En! Association of Washington, and Edward O'Hara, photographer for the Associated Press, also of Washin, , were roughly pushed over a wire guard line and into the arms of the milling throng of spectators, where picture-making was impossible. As the two men sought to retrieve their camera cases, containing photographic plates, th were hed backward and their cases kicked violently in the general direc- tion of their forced retrea Reporters who attempted to witness ;h:“lvlmm from vantage points which [d enable them to write adequate descriptions were ordered back of the lines and considered themselves fort: nate if they could worm their way into the packed mob close enough to recognize the various dances from the printed programs. Movie Operators Leave. Incensed by the attacks, the motion picture operators packed up their equipment and left the stadfum. “Still” photographers of several newspapers and newspaper press associations left with thfiremouon picture men, while two or three remained through the two hours of the ceremonies to await a post-coronation, staged for their bene- fit through the graciousness of Miss Patricia Morton, who then was Queen Shenandoah VIII, and Rear Admiral Richard E. Byrd, naval flying explorer and native son of Winchester, who crowned the festival queen. Just as the coronation was the feature of the festival, so was the manhandling accorded mnewspaj en g% _the same ceremonial the climax of a continuous program of shoddy treatment. After re- peated efforts to photograph the Queen and her princesses amid the few apple blossoms, photographers finally were a: sured that an assembly would be ar- ranged for them in a specific orchard at a specific time. After two hours of waiting, word came from festival head- quarters that the “royal party cannot get there.” ble explanations of “not enough time” ®ind “too many social en- gagements” were forthcoming as the weary newsmen returned to town. Passes Prove Futilel tographers and reporters alike fore the State police when d pesses n’ :‘e‘ e wavel wi iven them gz teatlvu.mbnuu and &lch bore sl ot C. W.‘rflum.jmld for As fled the card is an official of the gple Festival and is to be pass tnx#ou lines at any time, unless a parade is State polln:mn replied, is all right, but try to make ‘em work!"” The Queen’s ball last night was Miss Morton's final appearance in the regal robes of queen, for today she and her mother, -Mrs. Edward J. Stroud, will leave for Washington on their way back to their home in Winc! T, England. ‘Winners in the feature parade which climaxed the festival yesterday included Lt Shigh Sormot of Aniagtant Gounty, of County, which was awarded first honors as !?e el eign Wars' Drum and Bi Corps of mnhla:v;‘on won the nux':e‘:: award ;’n section. Other winners included the Bank of Winchester, for the most artistic float: the Northern Virginia Power Co., for the best commercial float; the Girls’ Athlstic Association of Winchester, for the best decorated automobile; York Post of the vererans’ mialeat ns’ mi organization, and the Washington County Boy Scouts, for the best appearance in tion. il BUTLER TELLS DINNER HE WAS SPY FOR U. . AND TRICKED MEXICANS (Continued From Pirst Page.) By the Assoclated Press. | NEW YORK, May 7.—Three men | were belleved to have perished early |today when the Eastern Steamship liner New York rammed and sank the |tugboat Trimcunt in heavy fog off |Raze Rock, Fishers Island, in Long Is- |land Sound. Six others were rescued by the crew of the New York. | ‘The missing men are all members {of the Trimount crew. The tugboat, a former rum runner, was towing the 48-foot motor dredge tender Alice to Providence for repairs when struck by the steamer. The steel bow of the 6,000-toni steamer cut the wooden vessel in half and i sank al- most immediatel After vainly searching for an hour, the steamer proceeded to New York with the rescued men. The steamer, which plies between Boston and New York, had 300 pas- sengers aboard. It was not damaged and the impact was hardly feit. Few passengers were aware of the accident until & blinding flash came from the tug & moment before she sank. One of the passengers was Floyd Gibbons, noted war correspondent and radio speaker. GERMANY SURPRISED BY RUMANIAN ACTION Protests Breaking Off Negotiations on Trade Treaty After Delegation Had Started to Bucharest. By the Associated Press. IENNA, Austria, May 7.— Ru- mania’s action in suddenly breaking off negotiations for a commercial treaty with Germany, although the German representatives already were on the to Bucharest, had its diplomatic sequel today. ‘The German charge d'affaires at Bucharest has informed the Rumanian foreign office that the attitude of M. Ghika, the foreign minister, in connec- tion with the negotiations had “pain- campal tional becauss it seeks to regulate the election of a Fresident. fully surprised” the Gerni: ment. 5 fly with his hat for a ne - “‘gfl',’“ eh t and ran in. . Butler declared that the rels flmu'"e ogluenmz and the United Bhl': “close” at present and that th would be closer in the future. i HAITI INCIDENT CLOSED. Secretary Stimson Says Bellegarde Note Ends Controversy. By the Associated Press. Secretary of State Stimson. an- nounced today that the note of Min- ister Bellegarde of Haiti was consid- ered by the State Department to end satisfactorily the incident caused by the protest of Maj. Gen. Smedley D. Butler, U. 8. M. C., against remarks about him made by the Minister. The Secretary has informed Secretary of the Navy Adams that he considers the Minister’s explanation of the re- marks attributed to him in an interview satisfactorily closed the matter. ‘The r in_the interview pub- lished in the Washington Herald was alleged to have clal that Fort Riviere, for the capture of which Butler was awarded a Congressional Medal of Honor, was non-existent. In his note to the department in re- sponse to a uest for an explanation, the Minister he had not attem) to reflect on the general, but had merely said he did not know of the existence of the fort. REMARKS TO BE IGNORED. State Department Not to Take Action in Mexico Affair. The State Department will ignore references by Maj. Gen. Smedley D. Right 10 the present. Nicaraguan policy c: and former President Huerta of Mexico. Department officials said only basis upon which they could take up the references to Huerta would be on a from the Mexican Gov- Since the referencts were mainly in the nature of a character, such a protest was consid- ered unlikely. general's _indirect So far as the criticism of the Nicaraguan policy was d t officials main- con tained all citizens were entitled to their individual opinions of such pelicies.