Evening Star Newspaper, September 3, 1931, Page 2

A 5 12 COBLENTE BANKSH | FAIL IN MARYLAND President Blames PublicityI as Resul of Smith Co. Indictments Here. ‘(Continued From First Page.) “of several Borrowing companies which % have large holdings in Washington refll! estate, where values have been ab- | < normally depressed.” i . Another factor has been the miser- | able publicity to which I have been per- ; sonally subjected in connection Wwith % the investigation of the affairs of & * Washington real estate firm. While the T bank itself was in no wise connected . with this matter, the attendant pub- 1 licity, affecting me as president, very ¢ naturally disturbed public confidence t and c’auied a slow but steady seepage of depositors. “In my judgment, the assets of the bank are sufficient, if liquidated in nor- . mal times and in an ordinary fashion, to pay all depositors in full and leave a substantial sum for stockholders, In the ast 15 years the Central Trust Co. has gld a wonderful growth, and has de- * veloped a system of station banks which are exceptionally clean and well- i managed. | KING ALEXANDER. FREDERICK IS CALM “I personally regret more than I can . say, the necessity which prompts the actlon taken by our’directors. T have back of the institution in vari- ways practically all of my personal worth. ‘The loss and inconvenience which this occasions me, does not con- cern me. I am, however, deeply dis- _ tressed that, notwithstanding the saeri- fices and burdens made and borne, and the tireless and unceasing suppart of a capable organization, ~ the staunch friends of the institution, of whom 4 their are thousands, should in any way suffer inconvenience and possible loss. “In conclusion, I want to say that I . pledge every bit of energy and re- > gourcefulness that I may possess aid in the liquidating of the assets of the bank, or in any proper reorganiza- tion thereof, to the end that both de- positors and stockholders may suffer a minimum degree of inconvenience and loss, if an: Bank’s June Statement. ‘The statement of the Central Trust Co. of June 30, 1931, follows: Resources: Loans and discounts (se- * cured by collaterals, etc.), $13,541,- 072.84; mortgages -and judgments, $1,- 511,235.27;, bonds and stocks, $2,527,- 893.89; real estate, furniture and fix- tures (Main offices and all stations), $467,717.79; cash and reserve, .$555,- . Total, $18,603,744.66. : Capital stock, $1,500,000; surplus, undivided profits reserve, $2,038,162.41; deposits subject to check, $2,568,054.71; deposits, $11,520,617.12; demand loans payable, $318,000; time loans payable, $356,000; continued lia- bilities, $42,162.31; rediscount and ac- ceptances, $251,748.10. Total, $18,603,- COBLENTZ LOST HEAVILY. Smith Co. and Wardman Losses Placed at $2,225,000. Emory L. Coblentz has long been a prominent figure in Washington finan- cial circles, his principal associates be- ing the F. H. Smith Co. and Harry ‘Wardman, He is known to have incurred heavy personal losses as & result of his deal- ings with both of these real estate and promotion houses. His business relations with the Smith Co. have attracted greater public at- tention here, although his operations with Wardman were no less extensive. Coblents held junior mortgeges on a number of properties financed here . through Wardman, and when a plan of reorganization was put 1928 he was issued $2,225,000 in- debentures ! 1n lley of his mortgage holdings. Loss Believed Ileavy. ‘The reorganized properties, however, recently went into the hands of receiv- . ers, rendering the debentures held by Coblentz virtually worthless. In some - quarters he was said to have sustained a loss equivalent to the face value of the debentures. The Maryland banker and politician first came into prominence in connec- tion with the Smith Co. at the recent trial of G. Bryan Pitts and two other officers on conspiracy-embezzlement . charges. - On December 13 last he took the witness stand in District Supreme Court and identified his signature on & number of requisitions purpo: to authorize the taking of money by Pitts, Wwhich the Government claimed had been embezzled. A subsequent indictment charged these requisitions were fradulent, that they been prepared and ante-dated in Florida on the eve of the trial, and that their only purpose was to mask the alleged embezzlements by Pitts. . 'This indictment charged Coblentz with “alding in the commission of perjury.” Likely to Stand Trial. It is expected the banker will have to stand trial in Washington on this charge at an early date. While Cobientz was on the stand, he was questioned by Assistant Attorney General Nugent Dodds concerning three * notes of minor Smith Co. employes for $414,000, which had been held by the « Central Trust Co. This testimony was admitted over the-strenuous objections of defense counsel. The notes on their faces secured loans » of $140,000, $138,000 and $136,000 to i two stenographers and a clerk in the ; employe of the Smith Co. Coblentz - sald the notes_were in the bank, but © denied he knew the makers were em- ployes of the company. Security Called Worthless. Dodds brought out the only collateral security for the notes were general ! mortgage bonds of the Arlington Hotel, } which he described as “not worth three feathers.” Colblentz said the notes were taken out of the bank prior to the trial by “a syndicate of resopnsible persons negotlating & land deal.” He did not name the individuals in the land deal and wos not pressed on that point. He further admitted on cross- ex- | amination that he was at Pitt's home in Florida a short while before the trial began. At one time, Coblentz said, he had control of the Law and Finance Build- ing of Pittsburgh, but sold out his interest to Pitts. COUNTY FUNDS SAFE. |3 i { } Treasurer Declares Spects Bonds Cover Depoths. By a Staff Correspondde.t of The Star. ROCKVILLE, Md., September 3.— Montgomery County treasurer’s funds amounting to $50,000 are on deposit in the Poolesville Branch of the Central Trust Co. of Frederick, Md., J. Forrest ‘Walker, county treasurer, stated today. ‘The funds of the county, Treasurer ‘Walker said, are protected by a special depository bond, filed with the county about four weeks ago, which contains the names of about 15 directors and stockholders of the bank, who, the treasurer said, are personally responsible for the county's funds and who are well able to make good any Joss that might occur. The county commissioners yecently required all banks in which county funds are on deposit to put up depos- itory boi for amounts of money on deposit,” and the Poolesville institu- tion was among the banks furnishing this type of bond. B e RET TP —— o Observers of bird life have found that the mysterious blue goose travels each year 3,600 miles from Baffin Is- land, north of Hudson Bay, to the Mis- sissippt Delta and back again, L] h OVER BANK CLOSING IFirst Excitement Subsides as Runs Fail to Develop at Other Houses. By a Staff Correspondent to The Star. FREDERICY, Md, September 3.— Excitement caw® last night by the to | first reports tites ene Central Trust Co. of Maryland would not open its doors had subsided today and a feeling almost of confidence had taken its place. There was no disorder, although peo- ple stood in groups on street corners discussing the closing. ‘The closing of the Central Trust c? apparently had no effect on Frederick's five other banks, which continued to do business as usual. Nothing akin to a Tun developed and no accounts were closed out. Company Pays 450. Trouble that was expected at the Ox PFiber Brush Works, which employs 450 men and off through the Cen- tral Trust €o., failed to materialize when all the employes were paid at noon with funds dragwn from the Farm- ers' & Mechanics' National Bank of Prederick. News that the Central Trust Co. would not open this morning became general around midnight. Hundreds of people left their homes and congregated downtown in the hope of obtaining definite information. Several automo- ) THE EVENING STAR, WASHINGTON, D. C., THURSDAY, SEPTEMBER 3, 1931 Pilot Lives to Tell the Tale LOCAL FLYER ESCAPES SERIOUS INJURY AS PLANE HITS HOUSE. KING ALEXANDER * ECONOMIC OUTLOOK ENDS IRON RULE| ~ CHEERS STIMSON Jugoslavia Returns to Con- [Secretary, Back From Eu- stitutional Government After | rope, Says Debt Holiday More Than Two Years. Paved Way for Peace. By the Assoclated Press. By the Assoclated Press. BELGRADE, Jugoslavia, September| NEW YORK, September 3.—Secretary 3—Jugcslavia, Kingdom of the Serbs, |of State Henry L. Stimson returned Croats and Slovenes, returned to const- | from abroad today with an optimistic tutional government today after more | prediction that a lasting structure of than two years of dictatorship under the iron fist of King Alexander. Gen. Peter Zivkovitch, president of the Jugosiavian cabinet, today handed King Alexander his resignation and that of his mi in formance after two years of dictatorship. The lfln’ immediately gave him a mandate to form a new government, and the general retonstituted a cabinet of the same members, who were sworn in forthwith. ‘The King issued decrees at an extra- ordinary sessicn of the cabinet last night proclaiming a new constitution of 1921 and appoint a new mi ;:greunhuve of the traditional politi- es. His proclamation as posted in the streets sald that he was convinced that obtained during the dic» p permitted a definite or- tion of state institutions and that ded out a2 unational e The new constitution assures civil lib- erties and political rights similar to those in Western European ccuntries, as well as liberty of the ‘Reconsti- tution of the anclent province of Slo- vendi, long a sore in the terzitorial changes growing out of the World War, also is provided for. Legislative power will be vested in & Chamber and a Senate. The Chamber will be elected by universal, direct suf- frage and secret ballot for four years, meeting in ordinary session on October 20 of each year. The Senate member- ship will sit for six years, half being chesen by the people and half appointed by the sovereign. NANKING PERILED IN GROWING HAVOC Torrents Breaking Through Dikes of Grand Canal, Taking Many Lives. By the Associated Press. SHANGHAI, September 3. — Fresh tidings of disaster, enlarging the picture of death, ruin and starvation over- millions in China's flooded areas, piled up here today. Nanking, the national capital, was threatened. Torrents continued to pour biles, in which were men who had not: through the broken dykes of the Grand taken time to change from their pa- jamas, cruised through the streets. An extra detail of police was called out, but their services were not re- quired. This morning only one officer was on_duty in front of the Central Trust Co. Building at North Market and Church streets. At 9 o'clock, when the bank should have opened. the crowd there numbered less than 50, and at noon had dwindled to hardly more than a dozen. Preston Lane Arrives. Preston Lane, attorney general of Maryland, arrived here and was closet- ed with State Bank Commissioner George W- Page. His arrival seemed to hearten the people, who felt a reor- nization wmx.&e be effected and the epositors paid off in full. The closing of the bank was a - ticularly hard blow to the working classes since the trust company made unusual efforts to obtain small deposits. It is estimated these deposits total one-third of the funds in Fred- erick banks. A crew of colored men, at work installing a pipe line to the city filtration plant, threw down their shovels and picks and refused to work when they discovered the Central Trust Co. had closed. The North Carolina firm employing them is said to have banked at the Central Trust Co. Many depositors from . the outlying farm districts arrived in Frederick this morning, some of them coming from adjoining counties. One depositor who came from Rock- ville represented the general feeling here. “I have known the Central Trust Co. was shaky for some time,” he said, “but I just put off from day to day drawing out my money.” —e COUPLE IS SEIZED IN DUFFY MURDER Paul Corbo and Dancer Deny Knowledge of Philadelphia Racketeer Case. By the Associated Press. NEW YORK, September 3.—Paul Corbo, 27, and Miss Vivian Lee, 19, 8 dancer, were arrested today in connec- tion with the slaying of Mickey Duffy, Philadelphia racketeer, in Atlantic City. They denied knowledge of the killing, but were held as fugitives from justice for Atlantic City, N. J., authorities. ‘Two New York detectives went to a hotel early today and ascended to Carbo’s room. With pistols drawn, one of the- detectives shouted through the door, “Telegram, sir.” Carbo, unarmed and dressed in & lounging robe, opened the door. “Oh, 1 suppose this is for the Duff; murder I read about in the papers,’ police quoted him as saying. From a huge assortment of clothes he picked out a gray suit, sport shoes and tives, -with Miss Lee, a night elub dancer. Carbo sald he was in a Manhattan hospital on the.night Duffy was killed. He is known to police under several aliases. He once served 14 months for the slaying of a Bronx butcher, but was paroled on his plea of self-defense. DEMAND CHIANG RESIGN Chinese Peoples Party in America Acts in Convention. SAN FRANCISCO, September 3 (&), —The . Kuomintang (Chinese People’s party) in America, at its fifth annua! convention just closed here, made a for- | room mal demand that Chiang Kai-shek, head of the Chinese Nationalist gov- ernment, resign and be punished. The })nrty's declaration condemned Chiang for “violating party discipline in his high-handed treatment last March of Hu Han-min, former president of Chiang’s Legislative Council.” The ‘convention 'Ivnu nnendedhl:y ';G delegates represen ese e United States, 4 Guatemals, Costa Rica, N and Chile. Tropical Storm Reported. tory today tropical disturbance of tensity somewhat to the north of the inican Republic and moving in & Small vessels off the eastern end of Cuba were warned the winds would be .dangerous after tonight. Canal, north of here, inundating whole cities. Wuhu, another inundsted city on the Yangtze River, repor 4,000 'de'l‘d and 200,000 homeless and desti- ute. Citles in the lowlands of Northern Kiamgsu Province, 30 miles east of the Grand Canal, were feeling the full weight of the flood waters. A magistrate reported that the Tity of Hinghwa, in that area, had become the center of a lake with a 35-mile radius in which entire villages had dis- appeared. “Countless people must have perish- ed,” the magistrate said, adding that last week trees and house tops had been visible above the flood waters, but Snal} had disappeared. K Portions of Hinghwa were under 20 feet of water, while the district offices, in the highest part of the city, were submerged 3 feet. The nearby clties of Taichow and Tungtali were similarly afflicted, as the flood waters surged eastward. Calamity rode into the Nanking dis- trict on the rising waters of the Yangtze and threatened to tighten ite grip still further there. Three important dykes broke, inundating the suburbs outside the Nanking west wall and drove crowds of refugees into the city. More than 1,000 refugees were encamped on Nan- king’s famous walls, the longest in China. The river rose 8 inches and measures were taken dykes. At Wuhuy, 50 miles up the river, the water was rising one of the most sorely st: n cities. The official Koumin News Agency said the whole city was submerged. All dwellers in silk shirt and acccmpanied the detec- | p, one-story houses were forced to perch on their roofs. ARMS PARLEY PLANS HELD AT STANDSTILL Paris Newspaper Regrets U. §. Is Not Taking More Active Part in Program. By the Associated Press. PARIS, September 3.—The semi-offi- | three other persons seriously wounded | They halve clal newspaper Le Temps said edi- torially that preparations for next year’s disarmament conference were making little progress if any. expressed regret that the United States was not taking a’ more active part in the efforts by the League of Nations to attain disarmament and security. Unless there is some plan for mutual assistance in time of war, such as the | chine gun fought with police in one of | Woods on the 590-yard eleventh, how- proposal by Joseph Paul-Boncour that all armed forces be placed at the dis- posal of the League, little can be ex- pected from the Disarmament Confer- ence, said the newspaper. “In the United States,” it asserted, “the people seem to be convinced that if all countries in Europe disarm simul- uneoufs.lj":‘g‘ro's‘perlty will be reborn as Y a . It urged that the American people armament an titude depended largely upon the oul come of next year's conference. GRAND JURY WIDENS PROBE TO DETERMINE THIRD DEGREE POLICY (Continued From First Page.) alleged instances of the third degr Hoover lppeum me“mnn’ e: &x{ky‘ 0 Y Leo Rover, viho of the Bureau of Investigation. Bureau agents are said to have un- covered important evidence in a num- ber of additional cases. During Keith's additional cases of bru- tality develop, they will be presented to the grand jury. Officials do not intend to gruent more than the first group of five cases this week, however. The grand jury will defer making report on the whole scope of its in- vestigation until Department of Justice has completed preparation the addil cases. [ peace and econamic prosperity will be bullt on the foundation laid by Presi- dent Hoover's debt moratorium and the recent seven-power conference in Lon- don. During his two-month stay in Europe the Becretary of State attended the London Conference.and held “informal conversations” with the prime ministers of England, Prance, Germany and Italy. Asked by newspaper men for his views about' the general financial situation throughout the world, Stimson replied: “I think there is now good reason to Mr. Hmver'u” l:mwflru:pu "v‘eu as the ;emmmnnmhm o'(u the umlc,uhcol:- erence, are beginn! !M the foundations of political good 'u{ upon which s lasting structure of :Wm prosperity can Recent Events Appraised. Revie! in Europe of State month the close of ence in London has given us a chance to begin to appraise the result of that conference and of the various meetings which have preceded and have fol- lowed it. “From the information which has come to me I belleve that Germany has received a new spirit of courage and confidence. The result of the re- cent plebiscite in Prussia; the fact that on the day when the German banks reopened the deposits exceeded the withdrawals, together with many other similar indications, all point to more hopeful conditions and spirit. “Even more encouraging have been the meetings of the French and Ger- man ministers and -the friendly and eonciliatory spirit in which Prime Minister Laval and Chancellor Bruen- ing have begun to discuss the vital political questions which divide their '| countries. “The same is true of the meetings which have been held between the ministers of Germany and Britain and of Germany and Italy. Such informal meet] continue the most effective method of approaching and discussing these political problems, and until they are thus approached in such a spirit any thorough economic rehabilitation of Central Europe is almost impossible. Debt Holiday Helpful. “It was very evident in each of the countries I visited that the spirit and policy of the President’s moratorium was highly appreciated and was proving helpful in many directions.” Stimson said his trip abroad fulfilled his “highest expectations.” He explained that when he sailed for Naples, June 28, it was for the dual purpose of taking a rest and meeting foreign ministers, whose posts were similar to his. “I did not at the time have any spe- cial missions. I wished nm})!y to get acquainted with ministers of foreign af- fairs so that I might talk informally with them. “I felt that would be helpful just as it is in business where one talks di- rectly with a person and comes to know them rather than to attempt to decide important questions through corre- spondence. 5 Took Rest in Scotland. “From Naples I went lo Rome and then to Paris. I had expected to go on to Germany from Paris, but received a cable from President Hoover thati he wanted me to represent the United States at the Seven-Power Conference in London.” After the London Conference the Sec- retary went to Berlin and then tcok a three-week rest in Scotland, where h: did “a little fishing and grouse shoot- ing Among the foreign leaders 111:)‘:. ‘whom 1o |he hatl conversed during abroad, he said, were Minister of For- eign Affairs Grandi in Italy, Briand and Laval in Paris, Chancellor Bruening and Curtius in Berlin, Prime Minister Mac- Donald and Henderson in London. Before returning to Washington Sat- urday he and Mrs. Stimson, who ac- companied to Europe, will rest at their country home, at Huntington, CIVIL GUARD KILLED IN BARCELONA STRIKE Three Persons Wounded—Syndi- calists Seek Dismissal of Gov- ernor for Refusal to Free Men. By the Assoclated Press. BARCELONA, Spein, September 3.— One civil guard was reported killed and here in street fighting which ncoo':?a- nied a general strike that began today. ‘The strike was called by syndicalists is an effort to force the dismissal and 1t | punishment of Civil Gov. Anguera de | Howell, out. Sojo, because the governor had re to release political prisoners. Almost ‘all business houses, including banks, were closed and service of pub- lic_utilitids stopped. Strikers in an automobile with a ma- numerous street ishes. President Francisco Macia of the Catalonian Free State government called a meeting of his cabinet to decide whether to order m law. AUSTRO-GERMAN CUSTOMS COMPACT PROJECT DROPPED (Continued From First Page.) factor dominates the economic ecrisis affecting most nations today, and it is for the politicians above all to influence men’s minds by spreading throughout the world a general fe of confl- dence. . “It would seem to be necessary to dis- card every preconceived opinion, to be guided by experience and to seek reme- dies wherever there seems to be a chance of finding them.” The committee advocated the follow- ing definite steps: Development of Europe as a single market for the world’s products, en- ging a gn-mmpem economic and union. Active encouragement by the League of Nations for the issue of State loans of an international character. Co-operation nmm'su the L& Pinance Committee, World needy nations. - tion by the Pan-l f '.h%o creation n of “an be of = ICARTHY HAS 7UP | round good enough for a lead 2 | at lunchtime with indigestion. A physi- i Howell, in—3 7 Bolstad, in—4 Stinson monoplane of the Ludington Air Line that crashed into a house and garage at 14-pissenger of Logan Field, Baltimore, Md. yesterday, during a test flight just after Pilot Earl Smith of Wash- of the mmffia discharged cuts and Three investigations were underway the Departmen! LEAD FOR 18 HOLES Assumes Role of Favorite With Ouimet in Amateur. Howell Trails. By the Associated Press. BEVERLY COUNTRY CLUB, Chi- cago, September 3.—Maurice J. Mc- Carthy, jr, of New York and Francis Ouimet of Boston, 38-year-old veteran of many a golfing war, assumed the roles of favorites today in the United States amateur championship by as- suming overwhelming leads in the | quarter-final matches. At the eighteenth hole, or half-way stage of the all-day battle among the “last eight,” McCarthy furnished the biggest sensation by shooting Beverly's layout in 71, even par, to gain a lead of 7 up on Fay Coleman of Los Angeles, last title hope of the Far West. Ouimet, not so spectacular, but equally as steady, shook off his 21-year- | old rival, diminutive Paul Jackson of Kansas City, and led by 6 up. The vet- eran Bostonian, in one of his greatest| comeback bids, negotiated the round in 74 and lost only one hole. ‘The other two matches were both| closely fought, and the tide turned in | each om the inward nine holes. Billy Howell Trails. Tester Bolstad of St. Paul, former public links champion, afier being down to Billy Howell of Richmond at the turn advantage of the! young Virginlan's wildness and was| up himself at the end of the round. Howell's 44 on the last nine, his worst golf of the tournament, was costly, as Bolstad found his 80 for the Chicago’s distrlet champion, Jack | Westland, overhauled his big rival, Ar- | thur (Ducky) Yates of Rochester, N. Y., and was 1 up after 18 holes of | ding-dong golf. Yates led by a hole at the turn, but lost it for the second time at the home | hole, after puliing all square at the seventeenth. Westland’s 77 and his| rival's 79 for the round represented er- ratic play. Bolsiad Taken I Lester Bolstad was taken ill suddenly cian was called to treat him at the club house, and the start of his second | round with Billy Howell was postponed | a half hour. Howell stayed two up after posting | 4-5-4 for the first three holes, as Bol- stad exhibited poor iron play and posted 5-7-4. Howell recovered nicely from a trap to capture the long second hole, & 545-yarder. Both missed the 187-yard third from the tee. Bolstad pitched dead for a birdie 3 on the 365-yard fourth, winning back a hole. He and Howell were both in- accurate off the tees on the next two holes, going one over par on each for halves, 5-4. Howell, although needing three putts on the fifth, saved a half by laying Bol- stad a dead stymie. The Virginia youth also took three putts on the short sixth, enabling Bolstad to get a half, despite his tee shot into g trap. Both got good par 5s on the 558-yard seventh and Howell remained 1 up. Howell Ont in 39. Howell captured the eighth with a par 4, Bolstad driving into the rough and missing the green with his second shot. the ninth in orthodox lashion and the Virginian made the turn 2 up. He was out in 39, three over par, to Bolstad's erratic 42. Par, out.. 45344354436 45445454439 Bolstad, out ... 57435455 ¢—42 Starting back, Bolstad hooked to the trees on the 173-yard tenth and lost the hole as Howell got his par 3. The Southern boy got tangled up with the ever, and took a 7 as Bolstad got back hole with a fine par 5. Howell's game went to pleces for the first time on the homeward fxournexi to square the sixteent! Both were in rough all the way to the home green, but Bolstad finally pitched his fourth 10 feet from the and holed out for a par 5. Howell missed his putt !x;ua 6_feet for a § mgu‘r;lw:'davn at the half-way stage. back in 44 for l?edflmm of 83 to Bol- stad's 80. Par, in— Maurice McCarthy, first hole with Coleman in a 20-foot putt for a birdie to second hole. McCarthy halved the third h015 in 4s by laying Coleman a stymie. Ioth were short of the green from the tee. Coleman chipped only 3 feet away, while McCarthy, from 8 feet, putted to the lip of the cup and blocked the Cali- fornian’s good chance for & winning 3. After halving the fifth and sixth in tion par 4s, McCarthy took the sixth from Coleman by canning a 30- foot putt for a deuce. This put New Yorker 2 up. the Coleman and McCarthy halved the | Both , Hlong seventh in par 5s, but the New | fifteen ague's gg]x;kzr went !;-p at the eighth where| McCarthy ormd officials in aid- | shot, Bo:h’.bne ly reached the 429- mfinuin with his second yard ninth green with their seco: 40 feet away. McCarthy holed a $- footer for par 4, and Coleman grant long-term | missed one from 6 feet. ts. - &wwmmt by the commission of commercial treaties embodying ential tariff rates without injury to other nations. Creation of an international place- and the convocation of labor conference. of Profound study of the Soviet non- mmhmmm". McCarthy, prefer- cal‘:mm. out. Imisssd_his drive g0t fato '® trap, taking out in 35, 1 under cCarthy kept his margin of 4 up th the fifteenth hole. He dropped the th with a 6, but won the final, ment bureau to reduce unemployment | thirteenth from Coleman. b technical ‘Three compl ) ' of Commerce, the Maryland Aviation 21700 block of Euciid street. two passengers from New York. His motor ha discover the fault. The motor failed before the ship gained altitude and the bruises, but was not seriously hurt. today as a Southern Indiana Village Will Levy No Taxes in 1932 By the Associated Press. SIDNEY, Ind., September 3.— Some good news came out of this town today. The town board found that so much money was collected for taxes this Fall, that the amount will be more than enough to care for everything in 1932. T;mre!on no tax was levied for 1932. Sidney is a small incorporated town in the southeast part of Kosciusko County. POLICE BEAT HIM, MAN TELLS COURT Fred Gonzales Makes Charge at Trial on Accusation of Possessing Weapon. Charges that two second precinct po- licemen beat and choked him to obtain his admission to ownership of a re- volver were made in Police Court today by Fred Gonzales, 21, colored, of the Gonzales was charged with possession of a dan- gerous weapon. ‘The jury, after several hours’ deliber- ation, was unable to reach a decision and was dismissed by Judge Gus A. Schuldt. _ Assistant District Attorney Milford F. Schwartz announced after trial that the Gonzales charges would be reported to his superior, United States Attorney Rover, and that the case would probably be retried on Sep- tember 16. Gonzales was arrested when a gang of eight colored men rushed Policeman Earl L. Baker as the latter was stand- ing in front of 2130 Eighth street the night of August 27. The officer said he grabbed Gonzales, who was in front of the group, with one hand, and drew his service revolver with the other.. Seven of the men ran when confronted by nis gun, he said Baker declared he Gonzales to the precinct, with his gun in the man’s side, when a pistol dropped to the ground, apparently coming from Gonzales’ pocket. He picked up the gun, which was presented in court as evi- dence, and declared that the prisoner, upon reaching the precinct, willingly admitted owning it. He denied Gon- zales’ charges that anotber officer was with him at the time the confession was made. Gonzales charged that Baker poked him in the back with his fist, while an- other officer, whom he did not know, choked him. It was then, he said, that he told them the gun was his. Gonzales sald he was merely a specta- tor when the men tried to “gang” the polieeman, and that he was pushed in front of the bunch and toward the officer by the men. The pistol, he con- tended, must have been dropped by one of the others, who fled in the same flwflm in which the officer walked CRIPPLED DIRIGIBLE, NEARING SEA IN STORM, SAVED BY GROUND CREW (Continued From PFirst Page.) the fleld, where they managed to catch lines lowered from the dirigible. Soon after the men had caught the full force. large surface, caught th swayed the ground crew all around the fleld. Aided by 30 more men, who saw their yugm,l ey finally got the craft In addition to Pilot Miller, those on board were Maj. W. R. Wadsworth, 15 in the Army Lighter-than-air the | under control would certainly have drifted out over the ocean. With only after the brought under control, the tinued to hold her until the mooring mast could be brought to North Beach from Teterboro and ibled. The craft, a small ship with two en- gines, is being used in the metropolitan ares for advertising purposes. hole to McCarthy's easy par 4s on the fourteen! off with the last morning round rough all way on the teenth, was in a trap on the rd seventeenth and falled to me ‘in the re| three sho on ' the eighteenth. The Oalifornian then missed a 5-foot wuxhw i n— 3634444353671 n— 3536445464079 three down. McCarthy Coleman result of the crash. They are being made by the Commission and the technicians of the air line. had started to walk | been act followed. Smith received aeronautics branch —A. P. Photo. CHINESE-MEXICAN AFFAIRS CRITIGAL {U. S. Asked to Arbitrate Dis- 1 pute Over Expulsion of Na- tionals From Sonora. By the Associated Press. | NANKING, China, September 3.—C. T. Wang, foreign Minister of the Na- }tionalist government, said today rela- | tions between China and Mexico had | been strained “to the breaking point” !'since negotiations with Mexico City regarding the anti-Chinese movement in Sonora and Sinaloa has proved abor- tive. “Desirous of obtaining & satisfactory settlement,” saild Wang, “China re- ! quested the American Government, which accepted, to arbitrate the pres- | ent dispute in accordance with the in- ternational convention at the second conference at The Hague. “The American Government further consented to grant temporary residence in United States territory to Chinese nationals compelled to evacuate Sonora and Sinaloa in order to avoild untoward incidents.” “Repeated representations,” said Wang, “were made to the Mexican government by Samuel S. Young, the Chinese Minis- ter, resulting in many assurances from the Mexican President that adequate measures would be taken to protect Chinese residents. “During the negotiations the Amer- | fean Ambassador also was requested to | exercise his offices, However, ! neither the federal government of | Mexico nor the governors of the Mex- ijcan states have been able to arrest the development of anti-Chinese ac- tivities. “The Chinese government has exer- cised much restraint over the situation and hopes a satisfactory settlement may yet result.” FEARS FOR LIVES. | Vice Consul Says He Has Received Reports of Property Seizure. NOGALES, ‘Ariz., September 3 (F).— C. K. Wong, Chinese vice consul at Nogales, Sonora, expressed fear today for the lives and property of Chinese in isolated sections under deportation proceedings designed to clear the Mex- ican state of members of the race by Saturday. Wong sald he had received reports of the seizure of property of Chinese at Imuris, Pacoachi and Cananea and that all Orientals had been forced off tieir farms at interior points. Passes have been obtained, Wong said, for approximately 800" of his countrymen to leave Mexico by way of border points. U. S. WILLING TO AID. Advises Chinese Legation, Asking Ex- pulsion Details. The State Department advised the Chinese legation today that if it should submit the details of the Chinese-Mex- ican expulsion controversy the American Government might be able to employ its good of in seeking a solution. Legation- officials discussed with the State Department the Mexican move to expel Chinese from Mexico. Depart- ment officials said, however, the ques- tion of mediation or arbitration was not involved. The course which would be pursued under international law if the facts warranted would be the em- ployment of good offices. aned permisenfor_“goups ot or groups of gl:‘l;uu leaving Mexico under J: ex- w order to cross American ter- Department officials withheld further d | comment, but it was indicated one of the complications that made the prob- lem more difficult was the fact the action was described as having been taken by individual Mexican states and not by the federal government of that country. That govmment was described as entirely friendly to the Chinese. The American Government in the employ- ment of its good offices could deal only with the federal 1t. it was gen considered t time should be granted and adequate notice given in cases of whole- sale expulsions. —_— "< [EDWINA BOOTH BEATS $50,000 ALIENATION SUIT Los Angeles Ruling in Action by Former Wife of Duncan Renal- do, Favors Blond Actress. ggaéfi. badly and the test was to | had h: IDEFENDS USTING OF 4 MIDSHIPMEN Rear Admr. Upham' -Says ‘Mavy ‘Leaned Over Back- ward’ in Dealing With Men. Answering criticism that the virtual dismissal of four midshipmen, accused of having liquor in their possession while on the recent European cruise, was too severe, Rear Admiral Frank B. Upham, chief of the Bureau of Naviga- tlon, sald today, the department “leaned over backward” in permitting the quartet to resign, instead of dis- missing them out right. “There is a great difference, ]Olk\ know,” he said. “These men showed a flagrant flout- ing of the law of the country and of naval regulations and thereby proved they were not fit to be leaders, because they could not learn to obey. Says They Knew Better. “It would be different if these boys were just new at the academy, but thoy had been three years at the game and were o:xutk&g:s:ucoixd cruise abroad and Wi mn_xr_ag. earn what discipline “There are thousands of boys in this country who would make y‘mlmdm officers. _Therefore, why d we educate, give salaries to and then offer & lifetime career to men who have clearly shown their unfitness to lead because they couldn't learn to obey? “For three years we have been drill- ing into their heads the need for dis- cipline, but they have said, in effect, ‘To hell with your regulations.’ ” Praises Admiral Hart. Declaring that Rear Admiral Thomas C. Hart, superintendent of the Naval Academy, has the “milk of human kind- ness in his heart,” the chief of the Bureau of Navigation defended him for his recommendation and added that six junfor classmen would be given lesser punishment, as the superintend- ent had taken into account their youth and the fact they have been at the academy a comparatively short while. Answering a question as to whether smuggling liquor aboard is considered the most serious offense in the Navy, Rear Admiral Upham said there were others far more serious, but asked, “How long would a civilian establishment put up with that sort of conduct?” Political influence was brought to bear upon the department, it ‘was learned, in an effort to have the four men retained in the corps of midship- men. _Politiclans have said the resign- ing of the four men was too severe s punishment. Favors Discipline. Recently Assistant Secretary Ernest Lee Jahncke was quoted as saying he favored disciplining erring midshipmen, instead of dismissin em, thereby casting a cloud over ir careers. Secretary Adams said the quartet given opportunity to resign _included Colwell Edward Beers of Keysville, Mo.; George Rickards Fink of Haddon Heights, N. J.; Earl Snowden Schweit- zer of McKeesport, Pa., and John Rob- ert Parks of Columbia, Mo. £ Mr. Adams revealed “there were sev- eral cases not handled in this way,” and that half a dozen cases are still pending. One of these, the Secretary asserted, may require dismissal. The names of these midshipmen were not divulged. The exact nature of the charges was withheld. It was learned, however, that they included bringing liquor aboard the training ships, intoxication, the tell- ing of falsehoods and conduct unbe- coming future officers. Secretary Adams, asked about a published report that some of the erring midshipmen had waved swords around in Denmark, to the chagrin of police, asserted he had heard nothing of it. The infractions of discipline occurrea in Europe during the cruise, in which the battleships U. S. S. Arkansas and U. S. 8. Wyoming participated. The cruise was in charge of Rear Admiral Claude C. Bloch, until recently come mandant of the Washington Navy Yard. Schweitzer, one of those going out, stood high on the scholastic list, be- mf placed tenth, last year. Beers is said to have been a member of the track CHARGES POLICE INJURED POWERS Lawyer Has Doctor Examine Slay- er as State Prepares to Bring Him to Trial. governmen! Acting Secretary of State Castle said | of t while By the Associated Press. CLARKSBURG, W. Va., September 3.—Harrison County authorities pushed plans today to bring Harry F. Powers, 42-year.old matrimonial agent and con- fessed slayer of two women and three children, to justice. Murder warrants were ready for serv- ice and while the date for arraignment of the chubby killer was not disclosed, arrangements were being made to Te- move the prisoner from the little stone jail to the nearby office of a magistrate. Powers’ trial probably will be held dur- ing the November term of court. Meanwhile the prisoner was closely guarded and everything handed through the bars to him was scrutinized by jail attaches. Powers is not permitted to ‘wear a belt. For more than an hour yesterday a physician, engaged by Powers’ counsel, J. Ed Law, Clarksburg, examined Pow- ers. Law said the examination was to determine injuries he claims the pris- oner recelved while being questioned by police Saturday. Announcement of his confessions in the sl of Mrs, Asta Eicher and her three dren of Park , T, and Mrs. Dorothy P. Lemke orcester, Mass., followed the ques- tioning. The bodies were found buried in a ditch near Powers’ garage in Quiet Dell, 6 miles from here. Mr. and Mrs. Charles FI of Northboro, Mass., are expected here tomorrow to claim the body of Mrs. Lemke. Mrs. Flemming is Mrs, Lemke’s Detectives today continued communi- cation with officials in a score of cities, g Powers’ past. Dk e BAND CONCERT. By the United States Marine Band this evening at the Sylvan Theater, Monu- ment Grounds, at 7:30 o'clock. Taylor Branson, leader; ur Witcomb, sec- ond leader. Ovvrt;xre. 'Insohmhc < xr'y’l Solo for cornet, “King Carnivel”.. First movement, “Symphony No. 2, Brahms “Whistler and His Dog”........Pryor “The Swanky Drum Major”. Myddleton Solo for clarinet, “Fantasia lndRAndw :&: el Musician, Lugaresi Terzo. Chanson Negre, “Le Bananier,” Gottschalk Finale, “Songs of Scotland”.....Lampe Marines’ hymn, "m“m { Monte- “The Star Spangled Banner.” Notice—This concert will close the outdoor concert season of the United