Evening Star Newspaper, October 9, 1931, Page 1

R. (U. 8. Weather Bureau Forecast.) Fair and continued cool tonight and tomorrow, Temperatures—Highest, 88, at 2:30 p.m. yesterday; lowest, 54, at 7:13 a.m. today. Full report on page 9. Closing N.Y. Markets, Pages13,14 & 15 No. 31,937, ¥intered as second class matter post office, Washington, D. C. he WASHINGTON, D. enit WITH SENDAY MORNING EDITION FRIDAY, OCTOBER 9, 1931—FIFTY PAGES. #%% CARDS AND MACKS DEADLOCKED, 00, IN FOURTH CHAPTER OF SIXTH CONTEST Westerners Threaten in the First When Roettger Sin-| gles, but Double Play Cuts| 0ff Chance to Score. ‘ STREET PICKS DERRINGER AS CONNIE NAMES GROVE| Yefty and Pepper Martin, Sens:]-: tional Rookie Outfielder, Looked Upon as Players to Furnish Drama as Series Reaches Climax in Western Stronghold. Line-Ups. ATHLETICS. CARDINALS, Bishop, 2b. Flowers, 3b Haas, cf. Roettger. rf. Cochrane, c. Frisch, Simmons, 1f, Martin, cf. Foxx, 1b. Hafey, If Miller, rf. Bottomley, 1b. Dykes, 3I ‘Wilson, William Gelber Grove, p. Derring: Umpires—Nallin (A, L., behind the plate; Stark (N. L.. first base; Mc- Gowan (A. L). second base; Klem (N. L), third base Time of game—2:30 pm. Eastern standard. By the Associated Press. ST. LOUIS, October 9.—Lefty Grove and Paul Derringer were pitching in rare form and the Athletics and Cardinals went scoreless in the first four innings of the sixth world series contest here this afternoon. Connie Mack’s pitching ace and Pepper Martin, sensational rooRie outfielaer of the Red Birds, were looked upon as the players to furnish the drama as the series reached its grand climax. FIRST INNING. PHILADELPHIA—Bishop fanned on a called third strike. Haas grounded out. Gelbert to Bottomley. Cochrane lined out to Gelbert. No runs. ST. LOUIS—Flowers grounced out, Bishop to Foxx, on a hard smash. Rocttger smashed a single to center. Frisch bounded to Bishop, and a dou- ble play was completed, Bishop to Wil- liams to Foxx. No runs. SECOND INNING. PHILADELPHIA—Simmons bounced out, Frisch to Bottomley. Foxx drove a single to right. Miller grounded to Gelbert and Foxx was forced out at second, Gelbert to Frisch. Miller beat the relay to first. Miller stole secon:. It was ruled a wild pitch. Dykes | grounded out, Flowers to Bottomley. No stolen base was credited to Miller. No runs. ST. LOUIS—Martin fouled out Foxx. Hafey flied to Haas, who made a pretty running catch in short cen- ter. Bottomley flied out to Miller, who took the ball with his back against the right field barrier. No runs, THIRD INNING. PHILADELPHIA—Williams bounded | out. Gelbert to Bottomley. who made & great stab of the shortstop's wide throw. Grove fanned on a called third strike. Bishop flied out to Roettger, %o made a one-hand stab after mis- Judging the ball. No runs. ST. LOUIS—Wilson skied to_ Haas. Gelbert singled on a drive that Bishop barely stopped with his bare hand back of second. Derringer bunted and was hr out. Bishop to Foxx, Gelbert to second on the sacrifice. grounded out. Willlams to No runs. FOURTH INNING. PHILADELPHIA—Haas struck out, taking a third called strike. Cochrane bounced out, Frisch to Bottomley, on ! a close play. Simmons flied out to Roettger, who made a shoestring catch and turned a somersault. No runs. ST. LOUIS—Roettger fanned, swing- ing. Frisch struck out. also swinging. Martir: lined out to Haas on the first pitched ball. No runs. DOCTOR SEEI&S DIVORCE ON POISON GROUND to Chicago Physician Charges Wife Gave Him Potions Since | 1926. | By the Associated Press. ; CHICAGO, October 9.—Dr. Arnold H. Kegel, former city health commis. sioner, filed suit for divorce yesterday charging that his wife, Mrs. Marie Sahlin Kegel, administered poison to him over the period of five years. The alleged instances of poisoning be- gan in 1926, he said. On many later occasions, the bill asserts, she poured a powerful sleeping potion in drinks which she gave him. He did not learn of the acts, he said, until September 19 of this year. The Kegels were divorced secretly in ‘ September. 1930, but a reconciliation was afected and they were remarried | before the news became public. | Heinrich Bruening succeeded in form- was forthcoming today as to what pres- company asked for a range of 3 to 10 linches and staged a laboratory dem- t May Salt Pepper N|| LEFTY GROVE ~ BRUENING FORMS GERMAN CABNET Chancellor Keeps Curtius’ Post for Self—Retains Six Ministers. By the Associated Press. BERLIN, October 9.—Chancellor ing a new cabinet today. Six of its members, including Dr. Bruening, who remains as chancellor, are carried over from, the old cabinet. The chancellor also has reserved for bhimself the post of foreign minister, vacated by Dr. Jullus Curtius, The new cabinet includes: Dr. Bruening—Chancellor and for- cign minister. Gen. Wilhelm Groener—Defense and interior. Hermann_Dietrich—Finance. Martin Schiele—Food and agricul- ture. Georg Schaetzel—Posts graphs. Gottfried Treviranus—Minister with- out_portfolio. Hermann Walmbold—Economics. Curt Joel—Justice. Julius Dorpmueller—Transportation. Policy to Be Unchanged. With Dr. Bruening in the foreign of- fice there is assurance that his policy of international conciliation and consul- tation will continue unchanged Three of the new appointees have filled other government offices. Dr. Dorpmueller is direztor general of the German railways and Dr. Jocl, now 66, | has been undersecretary in the min- istry of justice for 11 years. In 1926 he | was a candidate for the portfolio of minister of justice. but the opposition | objected violently to what they called | his Rightist tendencies, | Prof. Walmbold, 55 years old, was| minister of agriculture in the Prus- | sian cabinet of 1921, subsequently leav- | g the service of the State to enter | that of a company later merged into | the German dye trust. E | Served Under Kaiser. ! Most_significant of all, perhaps, is the selection of Gen. Groener as min- ister of the interior in addition to the | ministry of defense portfolio which he held in the previous cabinet. As minister of the interior he is the head of the nation's police, and. so and tele- | to_speak, guardian of the constitution. His presence in that post is generally | accepted as a clear indication that Dr. | Bruening intended to fight all sub- | versive elements to the end. Gen. Groener was the former Kaiser's last quartermaster general. GAS PRESSURE ORDER | DUE HERE TOMORROW| Decision on Company's Petition for, Increase Will Follow Hear- ings on Plea. An order deciding the Washington Gas Light Co.’s petition for an increase in the allowable pressures in gas mains will be issued by the Public Utilities Commission tomorrow. No official word sures would be established by the or- der. Report has it that the pressures will be an 8-inch maximum, with a 3-inch minimum. The present stand- ards are 6 inches maximum and 2 inches minimum. The merits of the higher pressures were presented by the company’s wit- nesses at a public hearing last month, at which the fact that the maximum pressures had been exceeded constantly for 15 years was also brought out. The onstration for the commission, designed to show that gas appliances, properly adjusted, burned more efficiently at the 10-inch ‘pressure than at lower pres- sures. It is expected that any increase granted will be conditioned upon an ad- justment of consumers’ appliances to avoid waste of gas through higher pressures. POLI AND SHUBERTS SUING U. S. FOR $268,666 FOR THEATER RAZING PAGE TO PRODUCE |in the passage of the act, concurred in {a printed copy of the procedings be- {for the Nye Committee. certified to by {sidered_essential the production of the fto the grand jury, conferred with Jus-| CANNON EVIDENCE ON COURT'S ORDER House Clerk Agrees to Put “Neck in Noose” for Justice. GRAND JURY TO SCAN MISS BURROUGHS' DATA Vital Report on Campaign Funds Demanded by Rover to D¢ Heard at Special Session. William Tyler Page, clerk of the House of Representatives, will appear tomorrow morning at 10°30 o'clock to present to the District grand jury the original reports made by Miss Ada L. Burroughs, treasurer of the Anti-Smith Democratic Committee of Virginia, of which Bishop James Cannon, jr.. of the Methodist Episcopal Church South was president, After Justice Proctor had diracted him to bring the papers before the grand jury, Mr. Page said he would re- gard the court’s interpretation of the matter as correct and would produce the required papers. ¥ “If the House were In session at this moment,” said Page, “I have not the Jeast doubt it would give its consent to the production of the papers. Now that we have thrashed this matter out, I feel perfectly willing out of abundance of respect for this honorable court and for the dignity of the grand jury to come before that body and if need be to put my official neck in a noose and min counter to the jealous regard of the House of Representatives for its pre- rogatives. Willing for Sacrifice. | “In other words, I feel willing to make | myself a vicarious sacrifice in the in- | terest of justice.” < The grand jury will hold a special | session tomorrow to receive the papers of the files from the House of Repre- sentatives, it not heing customary to hold sessions on Saturdays. Justice Proctor held Mr. Page had misconstrued the resolution of 1879 “in his natural zeal and desire to fulfill his duties to the House” and ruled the Federal currupt practices act, with violation of which Bishop Cannoa has been charged, makes the reports ! from political treasurers required by that act public records and open to public inspection. Essential Basis. This act makes it the esential basis of a prosecution or an inquiry into violations of that criminal statute, the | Justice declared. “It is inconceivable,” he said, “that Congress should pass a criminal statute imposing duties on a grand jury or prosecutor and then make a resolution denying production of papers. Such| action would be obstructive and in many cases utterly destructive of the criminal provisions of the statute. It must be that Congress intended that such papers should be available for production _when necessary, and the House of Representatives, in agreeing the availability of the papers.” Mr. Page appeared before the court promptly at noon and brought with him the clerk of the United States Senate, | which, he said, ‘under statute is au- thorized to be accepted as legal evi- dence. Directed to Testify. i Justice Proctor called attention to! he statement made yesterday by the oreman of the grand jury that he con- | original papers. The court said he could not agree with Mr. Page that the profferred certified copy would consti- tute legal evidence. He pointed out that he was not ad-) vised as to the exact reason that the | grand jury wanted these papers, nndl said he must infer that it was not whimiscal, but based on a substantial fact arising in the inquiry. Assistant United States Attorney John | J. Wilson, who is presenting the matter | tice Proctor this morning and later with United States Attorney Rover. The lat- ter reached the conclusion that he wants a decision of the court on the question of the right of the clerk of the House to refuse the papers. “If in attempting to prosecute under a law passed by both Houses cf Con- gress” sald Rover, “we are to be thwarted by a resolution of only one of the branches. we want to know about it and so shall insist on a ruling | pected to by the ccurt.” This statement is taken to mean thacl the prosecutor considers the original | report vital to the inquiry of the grand Jjury and is not satisfied to have merely certified coples. Denies Probe Halt. Wilson denied today that there had been any halt in the probe by reason of the declinaticn of Mr. Page and the taking of the question under advise- ment by Justice Proctor. He pointed out that the grand jury continued the hearing of evidence until 5 o'clock last evening and resumed this morning at | 10:30 o'clock. E. J. Armbruster of the Bureau of Investigation of Department of Justice will be the principal witness t day. He has traced the financial af- fairs of Bishop Cannon and of the Anti- Smith Committee and will give the grand jurors the benefit of the evi- dence gathered by him. Ernest M. Kull, assistant cashier of Hudson County National Bank of Jer- sey City, appeared today as a witness in place of E. P. Ferguson, president of the bank, who is reported to be ill. The summons on Ferguson called for the Sum Is Claimed as Loss on *‘Fair Market Value” of Lease Until June 30, 1939—Government Files Demurrer. Damages of more than a quarter of a mullion dollars have been asked of the | Government by Sylvester Z. Poli and the Shubert Bros. in a suit filed in the | United States Court of Claims as an| The government. through Assistant Attorney General Charles B. Rugg and W. W. Scott, attorney, has filed a de- murrer asking the court to dismiss the case. It will come up for hearing outgrowth of the demolition of historic Monday morning before the entire old Polf's Theater here in the progress| court of five judges, of the Federal building program. The government's answer _charges, Failing in a previous equity suit filed | among other things, that the lease was 1n the Supreme Court of the District of | “only a lease from month to month, Columbia, the theater interests turned |and could be terminated by a thirty- to the Court of Claims to ask $268.- | day notice to vacate, as was given.” 666.32, which they claimed was their| The unusual lease between the gov- Joss in the “fair market value” of their | ernment and Poli's theater interests lease from November 29, 1930, when | followed reconstruction of the theater the Government took over the property |after the terrible tragedy of the for destruction. to June 30, 1939, thei — «ote of expiration of the lease. (Continued on Page 2, Cu]uqn 5) ¥ production of two $5.,000 cashier's checks made payable to Bishop Cannon October 24, 1928, and which he is said to have deposited in the Continental Trust Co. in this city. These contri- buitons are said to have come from former United States Sepator Joseph S. | Frelinghuysen of New Jersey. MIKLAS IS F;E-ELECTED Defeats Socialist (jandidate for | bank. President of Austria. VIENNA, October 9 (#).—Wilhelm Miklas was re-elected President of the Austrian Republic today by a vote of 109 to 93 in Congress. D{, Renner, Socialist, was his oppo- nent. ‘The Constitution as revised in 1929 provides for a general presidential election, but the Congress, in the inter- est of economy, yesterday approved an mendment permitting election by the national assembly, HOOVER CONFERS WITH CABINET ON MANCHURIA CLASH General Nature of Sino-Japa- nese Strife Discussed as Secret Reports Arrive. CHINESE ARE BITTER OVER CHINCHOW ATTACK Warning Sent by Japan as Zse Obtains League Council Urgency Meeting. | By the Associated Press. President Hoover sought the counsel of his cabinet today on the situation in Manchuria. . Soon after the cabinet meeting ad- journed at the White House it became evident the complexities of the trouble disturbing the Far East had been gone over in some detail. The President made no statement, however. The State Department is keeping a close watch on developments. The views expressed at the cabinet meeting were not disclosed, but no doubt was left that the President con- siders the situation one needing atten- tion. For the most part, the discussion was of a general nature. Wrat, if any, steps are contemplated remained inde- Confidential Reports Received. Even as the cabinet met, confidential Teports were arriving from the Far East. Some were from Laurence Salisbury, jsecond secretary of the Tokio embassy, and George Hanson, consul general at Harbin, who were sent to the affected region several days ago, with the con- sent of both the Chinese and Japanese governments, to supplement the reports of Myrl Myers, consul general at the Manchurian capital of Mukden. After the cabinet meeting Secretar Stimson sought of Cameron Forbes, American Ambassa- dor to Japan, who is in this country on leave. The Secretary said he expected to be busy with the Far Eastern matter for the entire day. He declined to say whether the American Government might be ex- take some further action shortly to bring about peace. . The Secretary added that he was in constant communication with his observers in Manchuria. Japan has notified the Chinese gov- iernment that it will be held account- able for any results flowing from the anti-Japanese agitation growing out of the Manchurian dispute, it was dis- closed last night in a memorandum made public at the Japanese embassy. The communication, already trans- mitted to Nanking by the Tokio gov- ernment, charged that the “anti- Japanese movement in China is con- ducted as an instrument of national policy.” It “also charged that the Chinese government is violating its pledge to the League of Nations that no acts would be taken to aggravate the situ- ation pending efforts to settle the con- trovers; The anti-Japanese movement was asserted to be “not only in contra- vention of the letter and spirit of the treaties existing between the two countries, but constituted a form of hostile act without the use of arms contrary to all standards of justice and friendship.” CHINA WARNED BY JAPAN. To Be Held Responsible for Occur- rences Over Bombing. SHANGHAI October 9 () —Chinese indignation surged high today over the bombing of Chinchow, Manchuria, by, Japanese airplanes. At the same time Japan moved against the burning hos- tility with a sternly worded note of warning. While anti-Japanese feeling was sweeping the whole Yangtze Valley from Chengtu to Shanghai. Mamoru _Shi gemitsu, Japanese Minister to China, left here on a destroyer for Nanking with a note warning the Chinese gov- ernment to “take prompt and effective measures” to halt the wave of hostility or take the consequences. Simultaneously Japan moved strong naval reinforcements toward Shanghai. The cruisers Tokiwa and Tenryu left Sasebo and Kure, Japan, this morning and are due here tomorrow. Counting these two men-of-war, Ja- pan had 20 fighting ships arrayed (Continued on Page 2, Column 1.) MAL S. DAUGHERTY GIVEN NEW TRIAL|™: Appeals Court Cites Errors in Trial on Charge of Misapply- ing Funds. By the Associated Press. AKRON, Ohlo, October 9.—Mal S. Daugherty, former head of the defunct Ohio State Bank at Washington Court House, was granted a new trial on charges of misapplying funds by the Ninth District Court of Appeals today. I He was under sentence of 10 years in prison and a fine of $5,000. Daugherty is a brother of former United States Attorney General Harry Daugherty. Three judges concurred in declaring there had been gross error in admission of evidence and in the charge to the jury in the Common Pleas Court trial and that the judgment was against the weight of evidence. The court declared the common pleas trial judge should have dismissed one of the five counts, one that alleged Daugherty had misapplied credit of the Daugherty has been at liberty under ~$42,000 bond. Daugherty was indicted in Fayette County on 57 counts charging misap- plication of funds and making false re- ports of the bank’s condition. As a result of the closing of the bank, Daugherty filed a petition in bank- ruptcy which has never been finally adjudicated. Daugherty was brought to trial on only one of the 15 indictments and the others are still pending in Fayette County Common Pleas Court. During the senatorial investigation of the Teapot Dome and Elk Hills ofl lease cases almost 10 years ago, Daugh- erty, then head of a national bank at ‘Washington Court House, was sum- moned to produce records of the bank pertaining to certain deposits by per- sons connected with the Harding ad- ministration. ¥ é g Sta “From Press to Home Within the Hour” The Star’s carrier system covers every city block and the regular edi- tion is delivered to Washington homes as fast as the papers are printed. Yesterday’s Circulation, 114,109 TWO CENTS. (#) Mecans Associated Press. THESE PRIZES 3 LA FONTAINES TAX S PROBEDBY U.§ Love Clinic Planned At Northwestern to Advise on Marriage Couples to Receive “Stop™ BANK LAWS STUDY BY CONGRESS SEEN RESULT OF PARLEY T0 RECIEVE CREDIT Conference at White House Regarded as First of Lessons to Come From Crisis. | Bipartisan | |SOME PHASES OF PLAN | ARE ALREADY OPPOSED Senator Glass to Lead Fight on Liberalization of Federal Re- serve Rediscount Provisions to Bar Eligibility of Unmarket- able Paper. By the Associated Press. Microscopic study by Congress of the whole system of national king laws on the basis of the | ban ;last two years’ business events is | certain. | The emergency economic pro- |gram advanced at this week’s bi- partisan White House conference | will be the principal laboratory |lesson from which Congress will (build to guard against future credit strains. | While the congressional con- “Jimmy’s Place” Ownership, or “Go™ Signal From Various Issues Gain $1 to $6 ferees agreed to the general pro- and Income Data Now Being Investigated. | Special agents of the Bureau of° Internal Revenue are iInvestigating the income of James C. La Fontaine, it was learned today by The Star. Although officials of the bureau de- clined to discuss the case, because of the law which forbids them to disclose income tax investigations, they admit- ted that they were looking into La Fon- taine’s Income tax reports. Distriet Attorney Simon E. Sobeloff at Baltimore, headquarters for this col- lection district, also admitted that the case had been called to his attention and that it was under investigation. Property Ownership Traced. La Fontaine years ago by a | grand jury on charges of setting up a gaming table, but the case never came | to trial. It is understood that the | charges grew out of the operation of | “Jimmy's Place.” mecca of Washington | gamblers, on Bladensburg road. just across_the District line. The indict- ment gollowed a raid on the alleged gambling house. Again in 1929 La Fontaine was ar- rested on a warrant charging the same offense, but the complainant failed to appear and the case was dropped. The | arresting officers testified that they had | seen only a few men “sitting around | playing cards.” The internal revenue agents have been tracing the ownership of various properties in their investigation. The Maryland gambling house has been a part of their investigation. | “Jimmy's Place” Closed. | La Fontaine, who lives at 470 Mary- | land avenue southwest, could not be lo- cated today. At his home it was said | that he was out of town. “Jimmy's place,” a large rambling structure of brick and stone—probabl; once the dwelling of some prominent Maryland family—was closed ay. It has been shut down for six weeks now since the Maryland Fall racing season | started at Marlboro. ‘Two men were at work inside the high green board fence that shields the big house from the view of curious passers- by on Bladensburg road a few feet away, sawing huge logs on the “front lawn.” ‘Workmen Non-committal. “Not open toda: hazarded the re- porter by way of starting conversation and feigning ignorance of the habit of closing during grand jury and racing | sessions. “Naw, we're closed up, buddy, for a| couple of months, on account of the | racing, you know.” one of the men re- plied “Where's Mr. LaFontaine?" | Blank stares covered the faces of the | Thelr eyes fairly bulged. “‘Have no idea, buddy.” ":'Is he here? In town, or out of the | ctty?” “‘Search me,” came the laconic answer. “His driver's here. Maybe he can help you " . The man went over to a window of the gaunt, gray building, shouted up to | an open, barred window on the second | loor : “‘Oh, Storti, hey, Storti.” There was no reply. “He’s asleep and I guess nobody can wake Storti up when he goes to sleep.” was indicted several Prince Georges nty Better Automobiles at Lower Prices © A better deal can now be made for a new automobile than for years past. Either rices are lower or values are gher. On account of price adjust- ments many people can now afford a new car or a better one. Yesterday's Advertising. (Local Display) The Evening Star . . . ines. 62,875 21,627 11,497 2d Newspaper . 3d Newspaper . . 4th Newspaper . . 9,886 5th Newspaper..... 6,982 Total ievisipers. ... 49,992 The Star, Daily and Sunday, is the great medium for auto- mobile advertising. Last month | Latin America and what would be | it printed 77,519 lines of new automobile advertising. College’s Experts. By the Associated Press, CHICAGO, October 9.—Northwestern | University of Evanston is going to open | a love clinic with branches in both Evanston and Chicago. Couples contemplating marriage may take their troubles to the clinic and get a “stop” or “go" signal from the experts. Couples alreaay married and won- dering if they made a mistake will be given advice. Prof. Arthur J. Todd, head of the department, of sociology, will direct the clinfc, the purposes of which will be to make folks happier and enable Prof. | Todd and his associates to gather a greater collection of facts to enrich the sciences of psychology, sociology and economics. LEAGUE ADVOCATED FOR PAN AMERICA Customs Union and Mutual Aid Seen in Offing by | Chadbourne. | P o [ By the Associated Press. Formation of a permanent League of American Republics to sponsor com- mercial co-operation _was _advocated today by Thomas L. Chadbourne, author of the Chadbourne sugar pro- duction control plan. In an address delivered before the | Fourth Pan-American Commercial Con- ference he outlined five purposes of the proposed organization: Customs Union Sought. 1. To ascertain the obstacles in the way of a pan-American customs union and how to remove them. 2. To study the efect free trade | would have on commerce between the United States and each of the pan- American countries; what public works | sre advisable in the next 10 vears in | necessary to finance them. | 3. To study the possibility of in- creasing Latin American employment on American ships in pan-American trade. 4. To study means of making manda- tory the study of Spanish and English in the schools of America and Latin America, respectively. 5. To study the public debt of each Latin American republic, looking to a final refunding by the republics de- | siring it. Chadbourne proposed that the group be composed of one man of affairs from | each of the counties in the Union to | ceal with the commercial subjects listed. | A separate group of educators is pro- | d to deal with the cultural, educa- tional and language questions above. Blames Sherman Act. He blamed the Sherman act for much of the present-day overproduction. He seid it insisted upon competition as the life of trade, “although every economist, every business man of normal intelli- gence has come to see that an unbridled, catch-as-catch-can competition is the death of trade and likely to be the d struction of society as at present con- stituted.” Chadbourne cited the Cuban sugar plan, which bears his name, as an ex- ample of successful jnternational co- cperation in industry. By this agree- ment Cuba, Czechoslovakia, Poland, Hungary, Java, Germany and Belgium reduced the world sugar output by 6,- 500,000 tons. Radical revision of the American tariff act, he said, was necessary to remedy present business conditions. Lighter Embargo Favored. A resolution calling for modification of the blanket embargo by this country upon Argentine meats was approved to- day by the Resolutions Committee of the conference. The embargo is imposed under sani- tary regulations which forbid ihe im- portation of meats from sections where the hoof-and-mouth disease is preva- lent. As constructed now, it amounts to a b{nnket embargo against Argentine | meat. Under changes advocated by the resolution, zones in Argentina in which the disease does not exist would be exempted. from the embargo. The resolution must be approved by the conference as a whole. Round Table Committee Meets. LONDON, Qctober 9 (#).—The Fed- eral Structures Committee of the In- dian roundtable conference met briefly teday and anjourned until Tuesday. Radio i’rogr?.; on P;xe C5| | gram advanced by President Hoo- ver, it was apparent today that | there would be some sharp differ- After Early Profit Taking. BY JOHN L. COOLEY, Associated Press Finaucial Writer. NEW YORK, October 9.—Stocks went over the top again today in a buying drive led by rail issues. After considerabye profit taking in the first hour, when sales totaled 500,- 000 shares, the market got into strong hands and rushed upward with a vigor that put the tape several minutes be- hind the active trading on the floor of the Stock Exchange. There was much Wall Street gossip over the possibility of a decision appearing over the week end from the Interstate Commerce Commission on the railroads’ plea for a 15 per cent freight rate increase. Quickly erasing the early losses of $1 to $2, prices of many shares rose buoy- antly above Thursday's close. Union Pacific and Southern Pacific soared $6 each to $121 and nearly $60, respec- tively. Atchison climbed $5 to a price of $119, New York Central, $3 to above Baltimore & Ohio, $3 to around $40, and Delaware & Hydson, more than $4. There were smaller gains by Chesapeake & Ohio, Frisco and Reading. ‘The rest of the market tagged after the rails, but had some difficulty in matching strides with such strong lead- ership. which had reacted $2 to $71. recovered its loss. American Telephone, also down $2 to $135.50, made up most of the decline. Coca Cola turned a $2 loss into a $3 gain. Case rallied $3 to nearly $45. Consolidated Gas of New York, at $74, was nearly $1 higher. American Can, General Motors and General Elec- | tric were steady. Detroit Edison soared | $8 to $130. The formal announcement of comple- tion of the plan to form a $1,000,000,000 credit corporation to lubricate the wheels of the Nation's banking system in spots which the Federal Reserve sys- tem cannot reach, was greeted with wide approval in financial quarters Wall Street was particularly impresse with the speed with which the commit- tee, appointed only two days ago, had worked out the plan. F. H. SMITH COMPANY FILES SUIT ON BOND $481,272.98 Is Sought From Hart-| ford Firm to Cover Pitts’ Defalcations. ‘The F. H. Smith Co. of Wilmington, Del,, brought suit in the District Su- preme Court today against the Hartford Accident & Indemnity Co. of 925 Fif- teenth street, upon an indemnity bond given by that company to protect the F. H. Smith Co. from dishonest acts on the part of any of its officers and em- ployes. The suit, filed through Attorneys Con- rad H. Syme and W. W. Ross, claims from the indemnity company the sum of $481,272.98, the declaration alleging that in 1927 G. Bryan Pitts, former president and chairman of the F. H. Smith Co.’s board, embezzled from the company over $81,000 and that during 1928 he embezzled over $883,000 and over $328,000 during 1929. It is claimed by the Smith Co. that the indemnity bond of $200,000 pro- tected the company to that amount in each of the three years mentioned. United States Steel common, | | ences of opinion over details. The main controversy is ex- {pected to center on the extent to | which Congress will go with the | presidential recommendation for | broadening the base of paper eligible for rediscount by Federai Reserve Banks. Pool Nears Completion. | Meanwhile, in New York formation of the $500,000,000 National Credit Cor- poraticn undertaken by private finan- ciers at the suggestion of President | Hoover is near completicn. ‘With stocks. cotton and grain prices pushed upward already under the stim- ulus of the proposed organization, Mr. Hoover was notified that it would be formally incorporated by tomorrow. | A preliminary hint of opposition to some phases of tne administration's legislative program has come already from Senator Glass of Virginia. The former Democratic Secretary of the | Treasury gave notice that he would | oppose proposals to include railroad, | real .estate and industrial securities in | paper eligible for Federal Reserve redis- | count. rned White House. As chairman of the Senate Banking | $62: Norfolk & Western. $8 to $140: | rnvestigating Committee. Glass has been | studying this very problem and is pre- | pared to co-operate for some liberaliza- i tion of the Federal Reserve System. He will have wide influence on the action of | Congress. He warned the White House | conference to guard against too much | cxpectation in the matter of broadening the base for rediscount. Over in the House, Chairman Mc- | Padden of the Banking Commisee also \xs carefully reserving judgment on just | how far he would be prepared to go in | extending the base of eligible rate. | _Senator Glass contends that banks | T (Continued on Page 5, Column 1) INEW YORK CENTRAL General Superintendents Are | Placed in Lower Positions for Economy. By the Associated Press. NEW YORK, October 9 —The New | York Central announced today the po- | sitions of general superintendent. of which the road has three east of Buf- | falo and three west, have been discon- tinued in the interest of economy. A. E. Lloyd, general superintendent | of the New York terminal district, be- comes superintendent of the same dis- trict. *F. S. Risiey, general superin- tendent at Albany. becomes superin- tendent of the Mohawk and Adiron- dack division: F. E. McCormack, gen- eral superintendent at Buffalo, be- comes superintendent ther Officials here said they were without information yet as to just what would be done in regard to the posts west of Buffalo, but a similar arrangement probably would be made there. Although _indicating other moves in the interest of retrenchment were be- ing studied, officials characterized as a “pipe dream” a report from Albany that all traveling engineers and trav- eling locomotive inspectors would be abolished. i Doctors “Ground” Kingsford-Smith. LONDON, October 9 (#).—Wing Comdr. Charles Kingsford-Smith, who failed last week to break the flight rec- ord between Australia and England, was grounded today by his doctors for three or four months, because he is suf- fering from nervous strain. 'WHAT TO DO WITH VALUABLE ART WILLED CAPITAL FORMS PUZZLE Phrasing of Bequest of Mrs. Julia Van Reuth of Baltimore Presents Troublesome Legal Problem. Where to put a valuable collection | of paintings left to “Washington, the Capital of the United States,” in the will of Mrs. Julia Van Reuth of Balti- more was troubling officials of the city | poss] and national government today. Mrs. Van Reuth’s will was at first in- terpreted to mean that the group of canvasses collected by Felix Van Reuth would go to the National Government, in which case the paintings would au- tomatically be hung in the National Gallery of Art here if approved by the commission of that institution. It was reported today, however, that the will stipulates that the collection shall be- come the property of “Washington, the Capital of the United States,” a phrase | which may be construed to mean the i w) City of Washington, D. C., as distin- guished from other communities in this country named Washington. Equally ible is the decision that the phrase, “Capital of the United States,” is in- tended to qualify the bequest in such a manner as to signify that the city receives the gifts only in its capacity as Capital, and that the National Gov- ernment therefore shall determine the disposition of the property. Unless other facts can be found to interpret the intent of the phrase, it is probabie that a court decision will be required to direct the executor of the will in his actions in regard to the col- Cor i on Page 2, Column 4. « nun“lo Page olumn