Evening Star Newspaper, December 22, 1931, Page 2

BODY OF KIDNAPED CHILD RECOVERED Marks Indicate Little Marian McLean Was Strangled by Abductor. (Continued From First Page.) sireet. Marian's clothes were torn, and the coroner and police said she had been slain after being attacked: No trace has been found of the child’s killer. Al the city’s man-hunting power renewed the intensive search for Marian’s slayer as soon as the body was reported found. Firemen and Boy Scouts had Joined in search for the child shortly before the body was found. The cellar where the body was dis- covered is very dark and is accessible only by a narfow stairway. The child was lying on her back close to the stair- way. Marian was clad in the blue chinchilla coat which she wore when she last was seen on Thursday. Discovery of the body resulted as po- lice had theorized—that the gitl was abducted by a degenerate and that she | never would be found alive. The girl, too ill to go to school, had been confined in her fourth-floor tene- ment home for a month until last Thursday, when her mother, Mrs. Mil- dred McLean, permitted Marian to go down on to a narrow street for fresh air. Plays With Toys. There she plaved around a doorstep for an hour with her toys, and then walked up street half a square to where a friend, Julius Servizi, 17, was washing his auto. Marian watched him polish the car, and then broke out into a hearty little Jaugh when Servizi's dog jumped onto the clean fenders with muddy paws. The childish giggle was the last known act of the girl, for the newt minute she hopped and skipped down an alley near her home, where she disappeared after a stranger approached her. Coroner Kearns was of the opinion Marian was killed at some other spot than where the body was found. He believed the abductor, knowing all buildings near the girl's home were to be searched by 100 firemen, taken from their regular work for that purpose flung the body into the West Twelfth street building to keep the scene of the slaying a secret. The coroner was positive Marian had not been dead long. “Marian's eyes were bloodshot. in- dicating she had been crying.” Kearns said. “Tear-drop streaks were plainly seen on her cheeks.” FAMOUS CASE RECALLE Disappearance of Melvin Horst in 1928 Still Unsolved. WOOSTER, Ohio. December 22 (#)— The tragedy of 6-year-old Marian Mc- Lean, whose body was found at Cin- cinnati today, recalls the strange dis- appearance of 4-year-old Melvin Horst, perhaps the most mysterious kidnaping in_Ohio's history Melvin was lured away from near his home in Orrville, Ohio, December 27 1928. No trace of him was ever found despite a country-wide search. Ponds and streams were dragged. burial places were dug up and hundreds of clues were traced Junior Hannah. 10, one of Melvin's playmates, testified the boy was coaxed away by a man who offered &n orange as the lure. On the strength of J second trigkm o Then cai Mrs. Raymond Horst, in a state o frantic mixed anxiety and hope. Later Jugior Hannah sprang & new sensation by telling officers he had taken Melvin to = garage in Orrville and that Earl Conald, former railroad brakeman, had slain the lad there. Con- ald accused Junior's father. Charles Hannah, with the slleged killing, and the latter reaccused Conald. The elder Hannah then ‘confessed” the killing and named several accom plices. They proved alibis. Them Con- ald withdrew his accusation of Hannah, d Hannah retracted his accusation ©of Conald and both men wche released. Search for Melvin has gone on. how- ever, but his fate has remained one of Ohio’s greatest mysteries. THREE OTHER GIRLS SLAIN, Previous Kidnapings Parallel Marian McLean Case. CINCINNATI, Ohio, December 22 (#). —The fate of Marian McLean was the same as that of three other small girls kidnaped here during the last 16 years —they never were seen alive again Elizabeth Nolte, 11, was abducted June 15, 1915. Two days later her Eome and her mutilated body, wrapped in a pillow slip, rolled on to the kitchen floor. Emily Gump, 9, was stolen from her home November 9. 1919, and Freda Ahornberger. 9, was abducted one Sun- day in August, 1921, Neither of the girls ever was found. WALTON EXPLAINS OIL DEAL TO JURY Ousted Oklahoma Governor Tried to Help Ex-Convict, He Tells Court. By the Associated P OKLAHOMA CITY, —J. €. Walton, ousted Governor of Oklaboma. testifying for the defense Yesterday in the trial of eight persons charged with mail fraud in promoting stock sales of the Universal Oil & Gas Co., said he thought he was helping a man that was “down” when he aided . E. J, Gox in orgenising the company. g Walton said Cox toid him of being Tuined” by the Government and that he nad been a& victim of “judicial hysterta.” Cox, long & spectacular oil promoter, served three years in Leavenworth Fed- eral Prison upon conviction of mail fraud_ai Fort Worth in 1924, siong with Dr; Frederick A. Cook, Arctic ex- plorer; Walton, against whom charges in the case were dismissed Saturday with two other defendants, told the jury he ask- ed Cox whether he had learned enough from past experiences to stay within the law, and that Cox told him he never had broken the law Upon being asked by Government at- torneys if he had not made changes in litecature prepared by Cox in con- nectionwith the promotion, Walton ad- mitted he had made several alterations. — . $3,000,000 SUIT STUDIED Verd}lct in Case Against State for - Arrest Due February 22. VIENNA, December 22 () —A mixed court of arbitration concluded its de- Lberation today in the case of George Salem, an Egyptian naturalized in the United - States, who asked $3,000.000 damages from: the Egyptian govern- ment, charging false arrest. . A verdict is expected about February 22. Salem was arrested in Egypt in 1918 on a charge of forgery, which was dis- missed in 1921. The American consul reported the charge to be without foun- dn]t(on n‘d l:dr. Salem s}lllhquuently said , telzure”Sf his papers had caused him * DapgE lomes in Teal estate, December 32, unior’s testimony | Elias Arnold and his grown son Arthur | were given prison sentences on kidnap- | ing charges. but later won freedom on C @ series of false clues! which kept; Melvin's parents, Mr. and arents opened the back door of their | Churchill Leaves INSTON CHURCHILL. noted of the exchequer in the Bri Hospital, New York December 13, when he was st MOTHER CRIES WHEN TOLD HE YOU.“ as Sh By the Associated Press CINCINNATI, Ohio. December 22.— “My baby! My baby!" With an intuition that only mcthers can understand, Mrs. Mildred McLean, mother of Marian McLean, shrieked these words today when the telephone rang to mform her that the body of her child had been found. She knew. she said, even telephone had been answel message it conveyed before the | d, what her sister-in-law, Mrs. Joe Dedens, Els- | mere. Ky., and had gone next d.or to | the home of a neighbor, Miss Eula | Yelton. Police called the news to Miss Yelton asking her to break it gently to the mother, “Oh, T know she’ Lean cried to Miss Yeiton. from your face. I've always felt they never would find Marian alive.” GRANT T0 FEED JOBLESS WORKERS z F Acts Upon Learning Men Have Not Eaten in Sev- eral Days. Officials of the Office of Public Build- ings and Public Parks, discovering that previously unemployed men, put to work in the parks yesterday,” have not | had food, some of thm for as long | as two or three days, Vi U. 8. | Grant, 3d. the director. togay arranged to feed them coffee and sandwiches at lunch time, starting tomorrow The colonel. who is tre president of the Welfare and Recteational | sociation of ~Public Buildings | Grounds. Inc., took up the matt | feeding these ‘men with Lis associutes jand a plan was speedily adopted 1 Grant Resnonds to Plea. who are sent to the parks the District Unemploymeat . do not receive their pay until they complete the week's work They work for five days, six hours a day, and receive 45 cents an hour for it At present, there are 200 men at work in the parks, They started yesterday, | replacing another batch of 200, who | worked last week. Employes of the Of- | fice of Public Buildings and Publig Parks—mainly the foremen that super- vise the job—have been sharing their | own lunches with the unemployed work- efs and giving them car tokens 10 ride to and from work. Touched by these conditions, as soon as they learned of the plight of the men working under welfare association, and & ready re- sponse was met | previously unemployed men working in he parks will be fed at noon, and that the hiring of these men is done by the District Unemployment Committee, and the park division has nothing to do with this. Funds for their payment come from the Community Chest by way of the District Unemployment Committee, Work Despite Rain. Despite the downpour of rain today. the unemployed asked to be put (o | work, so that they would not lose their daily allowance. ~ Accordingly, officials of the park division had them at work cleaning out the refiecting pool of the Lincoln Memorial. 1t is necessary to | clean out this basin periodically, owing to the debris that collects in the bot- jtom. The water was drained out, and | the unemployed tackied the job in heavy | downpour and seemed to be glad to be | glven an opportunity to do this work, offictals asserted. | ] Praised for Labors. | __First Lieut. F. B. Butler, U. 8. Army, | assistant director of public buildings i and public parks, today paid tribute to the previously unemployed in the parks. “The willingness with which these men perform the tasks assigned to them is very exemplary,” said Lieut. | Butler. “Through their medium & great | deal of useful work is being accom- plished, which would otherwise go un- | done. | for which we have received no appro- priation; but which are important. “Typical of the type of work belng carried forward by these men is that of cleaning up the old Patterson tract. Already the improvement can be noted along New York avenue. As a result of this work we expect to be able to open up a picnic grove there next sea- son for the enjoyment of the public.” TRl Thomas Stewart of St. Andrews. Scotland, famed for making cleeks used by golfers throughout the world, has where he has been confined since the night of Repeats Marian’s Last Words, “I Love Her Agony. Mrs. McLean had been staying with, helr urisdiction, official of the park | division appealed to Col. Grant and the | Officials polited out that only the the high caliber of work being done by | We are concentrating on things | British statesman and former chancellor tish government, leaving the Lenox Hill ruck by an automobile on Fifth avenue. —Wide World Photo. FOR REVENGE R “BABY" IS DEAD e Screams in “The last thing Marian said to me before she went out to play on the day she was kidnaped was ‘Mother— (05 (01 e NANKING MINISTERS] IOHNSON ASSALS | QUIT POSTS IN BODY Whole Government Resigns as Rumors of Splits Are Circulated. (Continued From First Page.) the government may be established at an early date. “I can assure you that 1 have noi other plans. .1 am going into retire- ment to take a rest. Send no tele- grams or letters, for if any are sent I, shall not open them.” SECRECY SURROUNDS MARCH. Japanese Punitive Expedition Progress- | ing Toward Fakumen Unopposed. MUKDEN, Manchuria, December 22 () —Secrecy surrounded the progress | of the Japanese punitive expedition int¢ Southern Manchuria, but unofficial sources indicated the Japanese battalion | is progressing unopposed in the direc-| tion of Fakumen and that it expects to occupy the place tonight or Wed- nesday morning. Japanese authorities declined to com- ment on the expedition, but the belief was held in authorltative quarters that it is merely a preliminary to a major offensive against Chinchow in which the Japanese forces will converge from three directions. Results of Expeditions. The Supingkai expedition, these sources said, will continue south along the Tungligo-Tahushan railway and will probably meet another force in the vicinity of Changwu, which is advanc- ing slong the Yingkow-Kowpangtze rallway, while the main Japanese strength would descend the Peiping- Mukden railway The belief was expressed that the major action will await the arrivai of considérable re-enforcements which are now on the way from Japan and which are not expected for three or four days Chinese reports said a Japanese force estimated at 3,000 already is moving northwest from' Yingkow, but these re- ports could not be confirmed. Two Japanese Killed. | Two Japanese were killed in & fight | early today when Chinese bandits at- tacked a station at Kaolimen, 25 miles northwest of Antung, according to an| official announcement Japanese police and railway employes beat back the attacks. the announce- | ment said. It added that bandit forays on the Antung-Mukden Railway have | been frequent recently because the| that section have been moved westward | to the Dalren-Changchun trunk line. CLASH SEEN INEVITABLE I love you! Please tell Santa to bring me lots of toys'' I never saw her again “Marian was a bright little girl. Why. when she was only 4 years old she won a gold piece for guessing the number of bottle caps that were con- tained in a big glass jar “Marian could count all the way up to 100, and she knew her alphabet, 100." Then memories faded and Mus with revenge. “Oh. I hope they found the monster who was so horrible to my baby,” she exclaimed. “I hope they torturé him (il he writhes in agony. The electric chair would b2 too good for him— much too good for him.” of her McLean little girl was seized |CANNON REVEALED ONLY HALF OF FUND, COMMITTEE HOLDS (Continued From First Page.) total of 827550 in cash having bee: 1eceived from E. C. Jameson alone. Jameson, New York financier and Re- publican, contributed $65,300 to Bishop Cannon. | Cites Refusals to Talk. | The committee report, submitted to the Senate today by Chairman Ny Tecited the refusal Burroughs, treasurer, and Rev. J. Sid- ney Peters, secretary, of the Anti-Smith Committee to testily. However, it with- held a recommendation of action against them pending a court decision which is to be rendered on a demurrer chal- lenging jurisdiction of the committee. Mr. Peters' testimony was particu- larly desired by the committee,” said the Teport, “in order to establish the facts with reference to the solicitation by mail of contributions to pay off an alleged deficit of some $6.500, which was more than covered by two contribu- tions totaling $7,300 made by Mr. E. C. Jameson subsequent to the close of the campaign.” The report of the Cannon inquiry was 19 printed pages in length It told the story of the 10 benk accounts main- tzined by the bishop during the 1928 | campaign and sought to trace the funds irom one account to anether and to their ultimate destination. A chart to show this movement of funds was at- tached. Referring to “loans” refunded to Bishop Cannon from anti-Smith funds. the committee states: "It may be noted !that the report which had been filed by Miss Burroughs under date of De- cember 31, 1928, had listed no unpaid obligations and had stated the amount due on iv.ns was $7,004.31, whereas on February 11, 1929, alleged refunds 2mounting to $17.308.11 were listed as having been paid (o Bishop Cannon.” No Separate Committee. The committee further noted a re- payment of a “loan” of $5,000 to the anti-Smith Democrats of North Caro- lina. which, it said, “is clear did not Tepresent a personal advance of funds by Bishop Cannon,” Quoting the testimony of district workels in Virginla for the anti-Smith Dcmocrats “that they knew of no sepa- 1ate Virginia committee nor of any con- | siderable amounts of money sent into | their districts by Bishop Cannon,” the | committee concluded “there was no sep- 'arately organized committee of Virginia Democrats.” | _ Cannon, in challenging senatorial in- | vestigation. has contended the unre- ported funds went into a strictly State organization, requiring no Federal re- port. i CANNON SUES FOR $300,000. | { Files Action for Damages Against At- lanta Constitution, Charging Libel. ATLANTA, Ga., December 22 (#).— | Bishop James Cannon, jr., of the Meth- odist Episcopal Church South. through an attorney, filed suit in Federal Court here today against the Constitution Publishing Co.. publishers of the Atlanta Constitution, charging libel and asking $300,000. The suit contains five counts; each alleging the character of the bishop had been damaged ‘by articles appear- |ing in the newspaper. The first count | charged that an editorial appeared on October 24, 1931, while the bishop was attending the World Methodist Confer- ence here. The dates of the others also were given. Clark Howell, editor of the Constitu- tion, made the following comment on the suit: | Cannon compliments the *Bishop Constitution in the size of the judg- of Miss Ada L./ Attitude of Washington Believed BII(‘ki of Chang's Determined Stand. TOKIO, December 22 (#).—Washing- | | ton’s concern and tha gue of | Nations regirding Chinchow has stiff- | ened the attitude of Chang Hsueh- Liang and delayed withdrawal of the Chinese army south of the great wall a war office spokesman said today It was chiefly on account of the in- terest exhibited by America and in:| League that Chang remained at Chib- | chow instead of shifting his government | to Lungchow, the statement said. | Clash’ Seen Unavoidable. | | On the contrary, it asserted. Chang | appears to be not only adding to his| own_forces, but | bandits to create disturbatces along the South Manchuria Railway and a clash| seems unavoidable. | The spokesman said the Chinese ac- | tivities had extended beyond Chinchow | to Kirin, Tunhua and Changchun and | { that the army at Chinchow and Tabu- | shan numbers 35.000. In addition, it ! was estimated the entire Chinese force of all categories in the area west of | | Mukden numbers more than 100,000, | This force is gradually moving east- | ! ward, the spokesman said, planning to trike at the Japanese i ‘Under the circumstances, aid the | statement, “the Japanese Kwantung | army was forced to take drastic meas- | ures against the bandits as a means of | self-defense. It has done its utmost to | solve this trying situation peacefully, ! | but Chang Hsueh-Liang has deliberately ! | provoked disturbances from his strong- heid at Chinchow. Action Held Inevitable. “This being the case, & defensive ac- tion by the Japanese is unavoidable, to say nothing of the right to attack ban- dits, recognized by the League of Na- | tions Council | “It is a matter of deep regret that | 1 the Japanese are going to launch dras- tic military operations against bandits | in the district west of the Liao River, !but it is inevitable in the interests of peace and order in Manchuria."” 'SENATE BILL ASKS ECONOMIC COUNCIL | La Follette Proposes Group of Nine to Study Conditions and Make Recommendations. An economic council of nine mem- bers, to be named by the President, Wwas urged today in & bill introduced by Senator La Follette, Republican, ‘Wisconsin. > The council would keep informed of business and economic conditions and make recommendations to the President and Congress. An annual appropriation of $500,000 was asked. Among the major dutfes of the council would be organization of councils and associations in major branches of industry, labor and finance, ONE DEAD, 2 HURT IN $500,000 FIRE Flames Rage Four Hours in Center of Business District of Auburn, N. Y. y the Associated Press. AUBURN, N. Y. December 22.— One fireman was killed, two were in- jured and damage estimatec at $500,- 000 was done by a fire that destroyed & five-story byilding housing the His- Jop Department Store and spread to adjoining structures in the heart of the business district here yesterday. It Iasted for nearly four hours and was deacribed by Mayor Charles D. Osborne as the worst in the city's history. Fire Lieut, Irving Dwyer, 40, was found buried under tons of bricks after the Hislop Building roof caved in. Firemen said the fire originated in the explosion of a gas boller in the basement of the Hislop Building. ‘Thomas A. Hislop, young son of the owner of the department store, was rescued from the basement by his father. Charles Doyle, raido announcer, was ment he asks against it. If the case ever comes to trial, which I doubt, we will then probably be able to develop some of the details of the b p's activ- ities which he has so far lnaedtd in concealing from even s0 a vestigating as the Senate Int w rescued by police. e Steel companies of Luxembourg are ceding lnrzep;flau of land to be rented at & minimum rate to their workers for cultivating gardena, + Johnson, | agreed that TUESDAY. Dk HOOVER ON DEBTS Moratorium Action Called First Step in Dictatorship " in United States. ___(Continued From First Page) first suggested last June by President Hoover. His contention was, therefore, that members of Congress who had sub- scribed to the original proposal for a moratorium made by the President should not necessarily feel themselves | bound to approve the agreement which was finally entered into. In sarcastic vein, the California Sen- ator referred to the action of the Pres- ident in attempting to bring about the moratorium as “extra-legal and extra- Judicial.” “The President did not permit this matter to come before the Congress,” said Senator Johnson, “the poor miser- able Congress, which only represents the people. With the happy and blythe acquiescence 62 Senators and 276 Representatives had given to him, the President proceeded with his ne- gotiations.” Senator Johnson sald that by an agreement entered into with France on July 6 a treaty was made which, effect, made France a preferred creditor Quotes From British Reports. “If any of you here are jealous of the prerogative of a Senator,” said Senator “think now of the Constitu- tion of the United States. Congress could not act in this emergency, Con- gress could not be called to deal with the crisis, and the Executive did thg ob.” **Senator Johnson quoted from reports of the British parliamentary proceed- ngs to show that the moratorium agreement which was finally entered into was & new agreement and differ- ent from that first proposed by Presi- dent Hoover. He quoted from those re- ports o show that Great Britain, Bel- ! glum, Italy and others would have pre- ferred to have a suspension of all inter- governmental debts, but had been will- ing to accept the principles laid down in the Franco-American agreement, al- though they have had the effect of im- posing “an additional burden on Ger- many " “We were asked to forgive our debt- ors, 80 as to give aid to Germany,” Sen- ator Johnson continued. “All of these | nations understood that a new plan had | been adopted. It is only the Congress of the United States which seems to be dealing with the old plan, & proposal vpon which you legislated by telegram The American people are the only peo- Japanese troops which normally guard!pie who do not understand what this | new plan is. France succeeded in main- taining the provisions of the Young plan in connection with reparations and obtained unconditional payments from Germany.’ Catches Smoot Off Guard. Senator Johnson pulled a fast one or Senator Smoot, chairman of the nance Committee. The California Sen- ator began by reading from the Presi- dent’s moratorium message to Congress &nd then interpolated some paragraphs { of his own in which he made the Presi- dent say he did not hold those members of Congress who had agreed by tele- gram to support his original mora- torium proposal to their pledge, since Moratorium Not New War Debt Funding Agreements of 1923 and 1926 Provided for Postponements—Restudy Is Held Needed. President Hoover's proposal of a year's moratorium on payment of war debts owing to the United States. offered last July “after consultation with leaders of both political parties in the Congress, Erants no_new privileges 1o the debtor natlons. Provisions in the debt-funding agreements made several years ago. per- mitting postponements of payments at the option_of the debtor nations, have ht of in the recent discus- debts. Those funding Harding and Coolidge. were approved by Congress. In & notable contribution to the generai discussion of the moratorium proposal, Charles €y, Who was Assistant sury {rom 1924 to . Tecalls those apparently forgotten postponement. or moratorium. options. His article herewith emphasizes these agreements. BY CHARLES S. DEWEY. | Special Dispatch to The Star CHICAGO. December 22 (NANA). -At & time when so many confusing | statements are being made relative to the President's “moratorium” in inter- national debt payments and the entire | subject of the debts themselves is be- | fore the public, a few simple and basic | explanations are in order. The World War Foreign Debt Com- mission was composed of eight members, | namely, Secretaries A. W. Mellon, Frank | B. Kellogg, Herbert Hoover, Senator | | Reed Smoot. Representatives T. E. Bur- |ton and C. R. Crisp and Messrs. Richard Olney and Edward N. Hurley. A most representative body of men. Their de- | cisions were debated and approved by | both Houses of Congress. President Hoover’s one-year mors | torium, as far as it concerns the post- | ponement of payments to us on ac- fcount of war debts, grants no new | privilege. Each one of the war-deb: funding agreements entered into be- | | tween the United States and the follow- s an option to | ing list of countries, g | postpone payments for a period of two | vears. In the case of Great Britain, | France, Italy, Finland, Poland, Hungary, | Lithuania, Latvia and Esthonia this option may be exercised at the present time. In the case of Belgium, Caecho- slovakia, Jugoslavia and Rumania, all of whose debts are relatively small, the option to_postpone paymerts does not become effective for several years. | | “Capacity to Pay” Defined. As has been stated, Congress approved all of these debt agreements, and the President’s moratorium only put into | general effect a payment holiday the possible necessity of which alread; had been foreseen. The second point being disc the recreation of the World War for- eign Debt Commission to restudy our | debtors’ “capacity to pay” When the | foreign debts were funded in 1925 and 11926 "Europe’s economic condition had {not yet become stabilized. It was be- lieved, nevertheless, that the different countries to which our Government had extended credit should fund their | debts and commence making payments, [but under terms and in amounts that would not retard their recovery. and |each should pay according to its ca- {pacity. “Capacity to pay” was very | carefully defined by the Debt Commis- sion in 1925 and I quote directly from its report of that year: “While the integrity of international | obligations must be maintained, it is axiomatic that no can = | d s b. the agreement finally entered into was | very different In that agreement France obtained the right to collect the unconditional reparation pavment. although it was to ing read his interpolated paragraphs into the President’s message, Senator Johnson said he wished to praise the President: that he always wished to praise the President when he had done something which Senator Johnson con- sidered fair and just Turning to Senator Smoot. Senator | Johnson asked if he, too, did not agrer with what the President had said and considered it fair and just Senator Smoot. who had been talking with Senator Reed of Pennsylvania and apparently was not fully cognizant of what Senator Johnson had been saying, the President had been fair and just. Bankers' Testimony Cited. “But the President never said that.” sald Senator Johnson. giving his first indication that after all he had not been quoting from the President’s message, Senator Johnson declared the mora- | torium was in the interest of the inter- national bankers of America instead of the American people. He called at- tention to the testimony given by in- | ternational bankers before the Senate | Finance Committee showing that they had floated billions of dollars of foreign bonds in this country, upon the sale of which they had made millions of dollars. He sald the international bankers favored the Hoover moratorium on in- tergovernmental debts so that they could get the interest on the foreign bonds which had been floated in this country. The California Senator praised the House for adding the fifth section to the moratorium resolution. This is the section which declares it 1o be against the policy of the Congress to cancel or 3 it was a policy which should have been formally enunciated {long ago. “I regret as a Republican.” said Sen- ator Johnson, “that when this section was considered in the Ways and Means Committee of the House all of the Re- publican members of ‘he committee save one voted against it.” Would Stop Giving. Senator Johnson pictured the United States, in view of the President's re- port on the finances of the country, as being in worse shape financially than the governments of Europe. He said that is was time that this country stopped playing Santa Claus to other nations. The Hoover moratorium, he said, imposed an additional tax burden of $250,000,000 on the American people, since that was the amount which would not be received this year from our foreign debtors because of the moratorium. This, he said, meant an additional tax burden of $2 for every man, woman and child in the country: an additional tax burden of $10 for every family of five, or probably an additional tax bur~ den of $30 for every taxable person in the United States. The California Senator insisted that under present con- ditions this was & burden which should not be placed upon the American peo- ple and that it was time to stop paying other people’s debts and to look after their own financial stability. He charged that the whole moratorium plan was in the interest of the interna- tional bankers, who wished to be able to collect their money from abroad, even though the American people were forced to pay heavier taxes to make this pos- sible. Senator Nye of North Dakota criti- cized the moratorium after Senator Johnson had completed his speech. The North Dakota Senator proposed an amendment to the moratorium resolu- tion authorizing the Federal land banks to suspend the payments due them by the American farmers. Senator Nye said that this Government should be as generous to the American farmers as it is to the peoples of Europe. Prussian Unit Dissolved. BERLIN, December 22 .(&).—Disso- lution of the East Prussian Chamber of Commerce was ordered today by the Prussian government because of its' re- cent demand for the resignation of President von Hindenburg. The organization thereupon submitted an explanation that its resolution had not been directed against the President, but merely against the Bruening gove erpmept. L also s encouraging | PErmit their use by the Germans. Hav- | - FOR RELIEF BLS Says Congressional Leaders Have Given Him Assurance of Passage After Recess. By the Assoclated Press Assurances by congressional leaders have made President Hoover confident that his urgent recommendation for a $500,000,000 Reconstruction Corporatio: will be made law after the holidays. He said as much today in announci that his efforts for a shortened holiday recess had not been successful. He added that after the customary recess he had been told there would be “amply sufficient cohesion of view” to assure passage of & corporation bill. Leaders Promise Action. The text of President Hoover's re- marks follow “Leaders of both houses have as- sured me that Congress will devote itself to the economic emergency pro- gram which I have proposed for the amelioration of agriculture, unemploy=- ment and credit situations. “I had urged that the proposed con- gressional holidays should be shortened. but leaders have informed me they do not believe it possible to secure a quorum before January 4. “They assure me. howcver. that the measures which are uncompleted be-| fore the holidays will receive immediate | attention after reconvening. and I am | assured that the Reconstruction Fi- nance Corporation will be the first to receive consideration and that it has sufficient support to be passed by @on- gress.” { | Would Aid Banks. Meanwhile Melvin A. Traylor, presi- | dent of the First National Bank of | Chicago, was telling a Senate Commit- | tee the greatest step that could be| taken toward prosperity would be the | aid of the Government in “unfreezing” the assets of closed banks | He said be did not believe the recon- | struction corporation made any pro- vision for this. “It the assets in the closed banks were made available,” Traglor said, “it | would stimulate public confidence great- | 1y and it is altogether possible it would add a billion dollars to the amount of currency in this country in a very short time.” He estimated these frozen assets at $2,000,000,000, with another three- | quarters of a billion tied up through hoarding resulting from the psycho- | logical effect of the failure of banks. Senator Glass, Democrat, Virginia, agreed with Traylor tkat the bill does not ‘permit loans to closed banks. He sald it calls for loans to banks, but that | 8 bank “ceases to be & bank” when it | ceases to function. The slender, outspoken Traylor said “if you restrict the operation of this corporation to collateral that is reason- ably liquid you are not going to reach the situation that needs help.” Traylor proposed that a closed bank | with assets of $1,000.000, for example, | should pledge the entire amount to the Proposed corporation as security and Teceive @ $250,000 loan, which would permit paying depositors immediately 25 cents on the dollar. The failure of these frozen assets to get back into circulation, he said, is as “big & handicap to the return of pros- Perity as is unemployment.” Bank Management Defended. The failure of banks in many parts of the country, Traylor said, did not result from any mismanagement on the part of bankers. Senator Glass asked him how then he accounted for the fact that large quantities of “worthless foreign se- curities” were pted. ed that the amount I acce) The banker repli Of these securities held in the coun- |a constant quantity. |he felt serious consideration should be try's banks was not large and that the investments Jooked all right at the time. -4 1o mWare JeNeD-10. quired to pay to another government sums in excess of its capacity to pay. The commission in its settlement with Great Britain on June 9, 1923, and in subsequent negotiations or settlements has adhered to the principle that the adjustments made with each govern- ment must be measured by the ability | of the particular government to put, eside and transfer to the United States | the payments called for under the funding agreement, Looks to Best Interests. “Nor does the principle of capacity to pay require the foreign debtor to pay to the -full limit of its present or future capacity. It must be permitted to pre- serve and improve its economic posi- tion, to bring its budget into balance and to place its finances and currency on a sound basis, and to maintain and, i possible, to improve the standard of living of 'its citizens. No settlement which is oppressive and retards the recovery and development of the foreign debtor is to the best interest of the United States or Europe.” The capacity to make payment is not Great Britain | funded its debt in June, 1923; France during April, 1926. In comparing the two settlements it was evidently the opinion of the debt commission that QGreat Britain's capacity to pay was far greater than that of France. The former was charged 3 per cent interest during the first 10 years and 3', per cent thereafter, as compared with no interest payment by France during the first four years, then at a rate of only 1 per cent for the following 10 years, 2 per cent for the next 10, etc Now, eight years later, Great Britain has gome off the gold standard and France is the second richest country in the world. When one remembers the stress laid upon the formula of “capacity to pay” during the debt negotiations it is not to be wondered that the Presi- dent, who was a member of the com- mission, appreciates the necessity for a restudy. That he is correct should be obvious to any one in possession of the facts. | | ‘Would Avoid Insolvency. Even & most superficial study proves | that at the present time almost in every case the relationship has been | lost ‘between the capacity of the dif- ferent nations to pay and the sums! required to be paid under their debt | agreements | 1 believe we are practical enough to | realize that when a debt becomes bur- | densome to such a degree that it| crushes initiative. default becomes in-| evitable. A wise creditor will keep| constantlv informed of the condition | of his debtor and while expecting as | much payment on account of the debt | as is possible. will not attempt to take | s0 much that the debtor will become insoivent It may be found that if & restudy of | our foreign debts is made at the pres-, ent time means will be discovered | whereby debt pavments may be made easler for the debtors, and in exchange for any revision that might favor the! debtors, we should ask more favorable | customs regulations on their part which, as they exist today. unfavorably | affect our exports and, as a result, our mndustries. (Copyrigh; American N | said n IFALL'S CONDITION HELD UNCHANGEG Prison Physician Says Health Is Same as When He Began Sentence. By the Associated Press SANTA FE, N. Mex., December 22.— Dr. E. W. Piske, physician at the New Mexico State Prison, sald today Albert B. Fall had undergone no serious change in health since his commitment to serve a year and a day on con- viction of accepting a bribe. Informed that Senator Bronson Cut- ting, Republican, of New Mexico had told President Hoover he found the condition of the former Becretary of the Interior “bad” on a recent visit, Dr Fiske indicated Fall apparently was as strong as he was when he entered the penitentiary last Summer The physician said he examined the former Secretary three or four months ago, at a time when friends reported he ‘was il with a severe attack of pneumonia “At that found Mr. cold.” Senator Cutting reminded President Hoover in Washington yesterday that Fall, convicted of accepting a bribe from Edward L. Doheny in connection with a naval oil lease, had become eligible for a parole November 21 The President is understood to have indicated the matter was one for con- sideration of the Federal Parc x before which a Fall petition h fled. From the Justice Departm came word the board would not before January 1 PAROLE ACTION DELAYED, time.” Dr Fall suffe Fiske said. “I g from a bad Mitchell Says Board Will Not Meet Until January, By the Assoc Action by the Parole Board before January on liberating Albert B. F: from prison was declared impossible by Attorney General Mitchell today. Asked about rep the board had submitted a Hoover upon the Secretary of the I year in a New M no such repo: and “none To a: ted Press the statu parole application, the Atto used the long-distar reach a member of informed three of widely separated would not gather Januery 1 Mitchell said he w report on Fall, conv a bribe from Edward not rea Only yesterday two former political enemies of Fall 1 he White sect They wer lican, of N crat. of The atti torney is that de taken by bo General and_P the Par o pendent body and can without consu Chief Executive or the Justice Depart- ment head. UNEMPLOYED MAN Judge Florence E. Allen of the United States Circuit Court in Ohio, who has been mentioned &s the likely woman member of the American delegation to the forthcoming disarmament confer- ence in Geneva bankers or the banking system were responsible for the faflures.” he said, “than to say you gentlemen here are responsible for the deficit in the Treasury.” I Pleads for Insurance Concerns. Previously. Frederick Ecker, presi- dent of the Metropolitan Life Insurance Co., urged that the corporation be set up to give credit aid to both railroads and life insurance companies He said 32 per cent of the total $1.300.000.000 invested by life insurance companies is being required to meet loan applications this year. Speaking in a low, serious tone, Ecker reminded that insurance companies have large holdings of railroad bonds. He asserted the ptesent “refl emer- gency is greater than that of 1920 which followed the return of the roads to private operation after the war. The bill under consideration would permit the Government to make loans to railroads and insurance companies as well as banking jnstitutions Senator Couzens, chairman of the Senate Interstate Commerce Committee, has, however, urged elimination fron. the ‘megsure of the railroad provisioas, He Would have re-enacted sections of the 1920 transportation act which would permit the Interstate Commerce CGommission to lend money to the car- ers, A suggestion has been made that the Couzens proposal be incorporated into the corporation measures. “Must Have Ralilroads.” Senator Blaine, Republican, Wiscon- sin, asked Ecker if the railroad emer- gency were not one “that is going to increase as time goes on.” He pointed to the competition of trucks, busses and pipe lines and the prospect of a St. Lawrence waterway. “Why not give aid to other trans- portation agencies.” Blaine _asked, “rather than pour money into defunct institutions?” Ecker replied, “We must have the railroads,” adding that the solution of their problem lies in “co-ordination of all our transportation facilities.” Ecker told the Banking Subcommittee given to re-enactment of the 1920 trans- | port of a pistol portation act. Covering ground previously touched upon by Daniel Willard, president of the Baltimore & Ohio Raflroad, Ecker said carrier obligations totaling $243,000,000 fall due in the next year. “There are only two roads with obli- gations totaling $23,000,000 or $24,000,- 000 that are in such condition as to be able to meet their obligations,” he said, without naming the lines. . Pigs m"— . killed by electricity in g v u:;‘ ucceastul, 3 Bad o SHOOTS HIMSELF Maid Says He Informed Her of Act After She Heard Shot Fired. Norman Doer, 27 years old, a roomer at the home of Mrs. Regina Crouch, 649 Maryland avenue northeast, this after- noon was admitted to Casualty Hospital in a critical condition from a pistol bullet wound in his chest. Police he told them he shot hi Doer’s explanation was unemployed. At 1:30 o'clock this a the Crouch home } As sl hallway of the house she said Doer coming down the stai “Please call Miss Grinder at Joseph Phillips Provision Co.. 416 Moor street northeast, for me." he ask The maid said she calied the pr sion house and on getting Miss Grind on the telephone, she said Doer told her to inform Miss Grinder that “T have just shot m please no- tify my brother.’ The maid then said she notified po- lice, who took the wounded man to the hospital and started an investigation OFFICERS NOMINATE in Reserve Association Plans for Com- ing Election, Nominations for officers of the Re- serve Officers’ Assoclation of the District of Columbia were made at a recent meeting. Those named were Col. J. Miller Kenyon for president. Lieut. Col Thomas H. Shanton for first vice presi- dent, Capt. Arthur C. Adair for second vice president and Maj. Roy E. Hughes for treasurer, The national commander, Col. L. Kemper Willlamws of New Orleans. ad- dressed the meeting. Maj. Bennett A Motler, national secretary, outlined activities for the coming vear. Maj Charles Demonet, president, presided. A buffet supper was served after the meeting. iAND CONCERT. By the United States Soldiers” Home Band this evening at Stanley Hall at 5:20 o'clock; John S. M. Zimmermann, bandmaster: Anton_Pointner, assistant. March, “A Signal From Mars,” Taylor Overture, “The Hand of Fellowship.” Bigge Entr'acte— “The Lotus Dream” ..Schroeder “Napoli—Tarantella” .....Mezzacapo Scenes from grand opera, “The Masked Ball” (Un Balle Maschera) ....Verdi Brazilian tango, “Tango des Amours” (Tango of Love Milton Waltz suite, “Ly ......Lincke Finale, “Fuil o’ Pep”..... . Morse “The Star Spangled Banner.”