Evening Star Newspaper, January 22, 1932, Page 1

WEATHER. (U. 8. Weather Bureau Porecast.) Cloudy, probably rain tonight and to- mortow, colder tomorrow; lowest tem- perature tonight about 46 degrees. Temperatures—Highest, 58, at today; lowest, 41, at 2 am. today. Pull report on page 9 noon ch WITH SUNDAY MORNING EDITION ¢ Foening Star. “From Press t The Star's tion is delivered to carrier every city block and the regular edi- o Home Within the Hour” system covers Washington homes as fast as the papers are printed. Yesterday’s Circulation, 122,282 Closing N.Y. Markets, Pages13,14 & 15 No. 32,042, Entered as sec nd elass matter office o WASHINGTON, D. C, FRIDAY, JANCU JARY 23 1932—FORTY -FOUR PAGES." ¥ ¥ (#) Means Associated TWO CENTS. Press. Washington, D. aune N D Haiti Proposes U. S. DG DD VIIE et Rogmeees L5 FOR HOOVER PUTS f"’:‘ D':‘al(::shlp HIS “HM |N RIN[;,’ O e e ment,MinisterAnnounce: Text Is Withheld. { Action in Pivotal State Held! s, ine associated press . Minister Bellegarde of Haiti said to- Step Toward Pre-empting | day his government had propased re- 5 . : funding its American loan to end con- Party s Nomination. trol by the United States Government over Haitian finances. The Minister said a note on the sub- ject had been sent to the State De- artment, but that he could not make public its text Reports here said the chief conten- tion of the note was that a “financial PROGRESSIVES’ BOOMS SINK INTO DESUETUDE | Other Midwest States Expected to Indorse Prcsident—Probe of Campaigns Looms. G. GOULD LINCOLN. Adopts Resolution Calling on I. C. C. to Study Feasi- bility of Proposal. SLASH DECISION DENIED. dictatorship” was being maintained in the imterest of New York bankers and American holders of Haitian bonds. and that Haiti proposed to set up a fiscal agency without American super- vision or else to refund its loan before |it was due Bellegarde said the note had been BY sent to the State Department in answer ), stion’ of “th - g State | to_references made to Haitian treaty ,.:‘“, G ‘f,f‘“ Republioan %‘:,“_H;bllganon‘\ by President Hoover in his Central Committee of Ohio yesterday | pecent message to Congreds in overwhelmingly recommending the re- | ; i i nomination and re-clection of President| CHILEAN LOANS REVEALED. Herbert Hoover is a long step toward . pre-empting the Republican presidential | TOta! Over 10-Year Period Put in Ex- nomynation for Mr. Hoover. The ac- QAVTI;:_’; °éh‘li;‘1:;'::-u°::‘: i tion is' definite and by a State or-|, Yoa) of more than $571,000,000 has ganization of the G. O. P. It is some- | heen borrowed in the United States in thing that the political leaders canthe last 10 years by the government of | Chile, e Cosac! rate Monopoly, S0k e et 40 | Chilean "cities "and _the Mortgage And. while this drive for the renomi- | Bank an official statement said today. nation of the President is going forward, | _The statement was Chile's reply to the proposals advanced in some quarters |~ (Continued on Page 2, Column 2. for entrance of Senator Hiram Johnson | - of California, Senator Borah or Idaho. | or one of the other Progressives, .nto 8 national contest for the Republican | nomination seem to be sinking into al state of innocuous desuctude. Indeed some of those who have been urging| Senator Johnson to get into the Tace today expressed the opinion that thers - was little hope of persuading him to dn‘ i s0. Nor is there much expectation that | the Borah presidential boom will go| beyond the stage of newspaper specu- | Jation { Ohio is politically one of the pivotal | States. It was Mr. Hoover's victory in the Buckeye State in the presidential | primary contest, including the victory of | his candidates for delegates to ‘the | national convention, which gave him a | big advantage in the pre-convention ] aign in 1928. His friends decided ; S pim- in_ the primary against| The Senate today adopted a reso- the favorite son candidate, the late | lution calling on the Interstate Com- Sepe i i et fa‘m”r‘];“lf!:"‘l‘?’; merce Commission to study the feasi- died during the ary ut | fhe’ foover opposition rallied back of | biliiy “of b tyfioads adepting S the Willis delegate candidates and went | six-hour day. to the polls. The resolution was offered by Chair- President’s Hat in Ring. man Couzens of the Interstate Com- “The State Central Committee of Ohio, | merce Committee, which earlier had né'-e(mg _\]'eslcrdl_v !n: (fnlumbus. "“Sf’é; | approved it unanimously. The commis- ed a resolution not only recommen 3 el the renomination of the President, b"‘:imn%d De asked to report by De also a resolution according to the Hoover ) 1932 campaign manager the right of select- | Couzens said “‘P;’”S hfld x‘;’" w ‘:‘;‘; ing Hoover candidates for delegates to | from Chicago conferences between o the national convention. Only 2 votes | Failroad brotherhoods and executives out of 48 cast in the commitiee meet- | that if Congress took some 1mexe;tl o ing were in opposition to the proposals | the six-hour day an nreemen; m“n e nade by the Hoover adherents. | reached between contending fac {Ofl‘ Tn Ohio Waiter F. Brown, the Post-{ Oouzens said he had been informed master General, is recognized generally | that the principal point of difference % the Hoover manager. He was most |at the Chicago conferences was the six- active in the pre-convention campaign | hour day and there was a lack of in- in 1928 on behalf of Mr. Hoover. It |formation as ‘m _the effect the shorter happens that the chairman of the Re- | Work day would bave on present condi- publican National Committee today is ! tions another Ohioan. Senator Simeon D.| Fess, and Senator Fess in his address 8t a recent meeting of the committee | T declared that the President should be | Union Official Refutes Story of 10 Per renominated and re-elected 4 The action of the Ohio State Com- | Cent Cut Acceptance. mittee probably will be a signal to Re- | BY the Associated Press. publican State committees elsewhere to | CHICAGO, January 22—Still unde- Take similar action, and so without any | cided shout " whether to accept a 10 step taken by himself the President’s|per cent wage reduction, 800 brother- hat is cast into the ring by his sup- | hood and union leaders today studied rters |the arguments of railvay presidents 'he only Republican who has come | that the industry was threatened with forward openly as a candidate to oppose | further - bankruptcies and the loss of the renomiration of President Hoover is | credit former Senator Joseph I, France of | The managements made what was Maryiand. It does not seem at all likely | apparently their final offer when they that former Senator France will make | promised to do “whatever may be prac- any serious effort in Ohio to wrest the | ticable” to stabilize empioyment, reius- delegation away from the President, or | ing most of the other labor proposals, that he would have the slightest chance | including appointment of a commission to do so, | to study » six-hour day, . Smi " v " | It appeared to be labor's next move, Smith Boomed in New Hampshire. | i $P0Uon” spokesman, David B 1t wes in Ohio that a mild boom for | Robertson denied that the move had the nomination of former President | zlready been decided upon and that it | Calvin Coolidge sprung up some months | would b> acceptance of the reduction. ago. But Mr. Coolidge in a signed | published reports had said it was only magazine article eflectually put the |a matter of a few hours. skids under this boom, declaring that | “There is absolutely no basis for the he was for the renomination of the | report in today's press that an agree- President. Ambassador Charles G.|ment to accept the 10 per cent wage Dawes was born in Ohio and has many friends there today His name was brought into the discussi i ago. But Gen atic style de- | clared himself out of the race and his earnest support of President Hoover. The Buckeye State seems firmly com- mitted to the Hoover nomination. Former State irman Fred W.| ner, a Wi presi- | tial primar took the | d in the opposition to he Hoover | renomination at the committee meet- ing yester in Columbus. He had v “one supporter, however, that was | Gomer Jones of Gallipolis | While the Ohio Republicans were | moving to mpt Republican nomination for President Hoover was a movement among the crats of Ne mer Gov. Alfr for the Dem nation. Petitions {riends of Smith to file for gates to the national cor in New Hampshire the President moved forward be a serious contest in New | hire primary between Roosevelt | mith it be followed by country with keen interest. | Column 8) | Dawes i the there | ¢ Demo- | on evelt-for If there | the Continued on Page 2 SUBMARINEE AGROUND British Craft Is Believed Safe and | May Float at High Tide. = | VENTNOR, Isle of Wight, January | 22 (#)—The British submarine Rain- | bow ran sground this afternoon ir denge fog off Dunnofe Point near 1t was expected that she would be re- floated at high tide Admiralty officials said the Rainbow | in no danger and was not damaged, | ng grounded ,on a sandy bottom. A life-saving brigade was called out, but | its services were believed to be un- | necessary, for the sea was quite calm. | The submarine has a full complement of men aboard. She is one of the latest type of undersea craft. She left Ports- | mouth this morning with the sister ships Regulus and the L-22 to carry out maneuvers in the channel Banker Kills Himself. 1 PRINCETON, N. J, January 22 (%) —John W. Leigh, 41, vice president of the Princeton Bank & Trust Co., com- mitted suicide yesterday by shooting | himself with a 32-caliber revolver. Of- &Zn_hb could ascribe no reason for his i n of presiden- | ¢ out wage eduction has been reached,” Robertson id as his followers gathered to listen the presentation of the presidents’ by Daniel Willard, head of the imore & Ohio. 1t is obviously a case of a guess with- any foundation,” Robertson con- | tinued. “We have not accepted the deduction to date.” MRS. HOOVER HAS COLD | First Lady Confined to Room, but Is Not Seriously IIL. Mrs. Hoover today is confined to her | room at the White House because of & old contracted during the past few tated that Mrs. Hoover's | at all serious, but that of her physician, Capt on the advic she will not leave the el . Boone Up ;\\'hw- House for the next two cr th - | days This will necessitate “er can ing all social engagements in the mean- time “AUNT Agents Find Four Justice BY REX COLLIER. A barrel of innnocent-looking shoe grease and a telegram about “‘Aunt Emma"” are among curious clues that have led Federal investigators to a vir- tual solution of the recent Leavenworth prison break The grease, it was learned, hid a small arsenal One of the alleged outside accom- | plices is under arrest in Windsor, On- tario, and another is being sought in this country. & Sanford Bates, Federal superintend- ent of prisons, indicated today admin- istrative changes may be made at Leav- | enworth as a result of the prison plot a highlight of which was the kidnaping of Warden Tom White by armed con- viets, ail of whom subsequently were killed or recaptured. The mystery of how the prisoners | obtained the guns with which they held up the warden in his office and forced him to accompany them as a shield was 3 'EMMA” TELEGRAM, BARREL 'OF GREASE CLUES IN PRISON BREAK Shoe Grease. DEBT STAND OF U. S. FINAL LEGISLATIVE | HT BY HERRIT N CHAVBER ADDRES Ex-Premier Says America Should Co-operate Closer in Aims for Peace. REJECTION OF SECURITY GUARANTEE REGRETTED Laval Says Ministry Will Sur- render None of Tts Repara- tions Rights. y 22.—Criticism of the stand of ths ed States on the repa- rations questions mingled with berations of a midnight speech of former Premier Edouard Herriot in the Cham- ber of Deputies last night and keyed France for another address today byl Premier Pierre Laval The speech of M. Herriot was cheered wildly by the erowded chamber. In the course of it he declared flatly that, | while France is ready to lend a helping | hand to Germany in her difficulties, she | cannot abandon her right to reparations | secured to her by contracts freely en- | By the Assc PARIS, J rever- tered intc | “The United States,” the former pre- mier and Radical leader said, “which often gives us advice, would gain by be- ing closer to us in international negoti- | ations aimed at uniting the whole world to assure peace.” Regret Characterized Talk. Regret, rather than anger, character- ized the American reference, however, | and the general attitude of the former r was quiet and argumentative tather than showy, for all its effect. Premier Laval was applauded by all parties in the Chamber of Deputies to- day when he declared, in the course of | a declaration of policy, that his govern- ment will surrender none of the rights with regard to reparations which it in- | herited: irom its predecessors. He reviewed events in the develop- ment of the reparations problem since | the declaration of a moratorium by | President Hoover, and asserted that un- | der the circumstances it seemed to him | advisable that the international debts conference, tentatively arranged for | Lausanne, be postponed. Before he faced the Chamber for the | first vote of confidence his present | government has sought, he said he| filed a protest with the German gov- | ernment against Chancellor Bruening's | assertion that Germany cannot meet | its reparations payments when the Hoover moratorium expires and will not accept another temporary settlement of the reparations problem. Cites Young Plan Report. He cited the report of the Young Plan Commission, which recently met at Basel, to the effect that while Ger- many is in temporary difficulties the economic power of which she might take advantage in the future is tre- mendous. The premier reiterated that France will not write off the reparations due her and will not accept any reduction in reparations payments unless there is a corresponding Teduction in the war debts she owes. It is unthinkable, he said, to permit | Germany to dictate a settlement of the | reparations prob'em | He went inlo the disarmament issue in some detail, reviewing the French prem | policy and expressing the hope that practical results will ccme out of the conference next month at Geneva The Chamber adjourned in the early morning hours, and met again this aft- ernoon. M. Laval appeared confident he had its support for his foreign policy, | although a vote of confidence was not reached. He told questioners last night that his task would not be dificult, for the House had shown it was almost unanimous in supporting his conten- tion that reparations are sacred and | (Continued on Page 5, Column 1.) } POSTAL RATE INCREASE HOPES ABANDONED Tilton Says Higher Scale Plan Is Dead Issue as Far as De- = partment Is Concerned. By the Associated Press The Post Office given up hope for ob increases as part of tion's method of redu deficit P, Department has ning postal rate the administra- ing the Treasury A. ‘Tilton stant postmaster | general in charge of fiscal affairs, said today the matter w a dead issue” so far as the Post Office Department was concerned Postmaster has recommended Congress that rates on non-local mail be in- creased from and that 8 be resumed General to first Brown the 1921 war m on bulk second cl Opposition n on Capitol Hill to the propose reases and ap- proval of the legislation was considered unlikely. Guns Were Concealed in solved by special agents of the Bureau of Investigation, operating under Direc- tor J. Edgar Hoover, Mr. Bates said. Full details of the conspiracy cannot be disclosed prior to further questioning of Harold Fontaine, under arrest in Windsor, and until other arrests are made, he announced Fontaine is thought to have been the sender of a telegram which reached a participant in the plot shortly before a barrel of grease arrived at the shoe factory of the prison. The message, re- ceived by one of the prisoners who later took flight, is understood to have had to do with the health status of one “Aunt Emma.” “Aunt Emma,” it now appears, wi none other than the hogshead of shae grease, which had been shipped in sur. reptitiously. | Congr | self in the Capital for a long | be from a Federal Reserve district Packed in the grease were f s which later were used in the ouibiest |~ (Continued on Page 2, Column 6.) STEPS ON FINANCE PLAN DUE TODAY House Completes Action on Measure and Sends It to Senate. HALF-BILLION-DOLLAR FUND STUDY BEGINS Dawes Starts Work of Getting Quarters and Preparing for Long Stay in Capital. Senate approval of the revised $2.000.000,000 Reconsiruction Cor= 1. completed congressional n today and the bill now goes to President Hoover. By the Associated Press. One of the remaining barriers to enactment of the reconstruction bill melted today and only Senate approval of the final draft barred its way to the White House. After a brief debate, the House fin- ished with the measure and sent it to the Senate. That branch, too, may dispose of the bill today, though tech- nicalities might delay it until tomorrow. | To lose no time, the House Appro-! priations Committee met to recommend the appropriation of $500,000,000 which i1s needed to give the corporation its| starting capital. This will pass as soon | as the authorizing bill is law, House leaders promising to put it through the very same day Mr. Hoover signs the| pending act Hoover Sends Request. This appropristion and approval by the Scnate of the President's yet un- mede nominations to complete the directorship of the credit egency are the only steps required to put to work | this agency for releasing billions in fresh credit to replace unliquid assets now clogging channels of American | business. The President himself set in motion the move for eppropriation of the money, dispatching a short request to late yesterday immediztely after reading the revised bill and giving | it his high approval Charles G. Dawes, Who is to be the reconstruction unit's president, en- gaged, meanwhile, in final arrange ments for setting up headquarters, en listing personnel and establishing him- ay. He House has been a guest at the W] for several days. One bill of the Hoover economic pro- gram, already out of Congress, waited the President’s signature today. It is| to provide $125.000,000 new capital for | the Federal land banks. Two other units. of the program continued under committee __serutiny, while Senator ss, Democrat, Virginia, incorporated the desired provision for relieving de- positors of closed banks in his long heralded bill to overhaul the country banking laws, curb speculation and chain banking. This measure went| jmmediately to the Banking Commit- tee. Treasury Clears Rule. The Treasury Department late ye: terday made a ruling partially clarify- ing the developing uncertainty as to| the restrictions imposed by the recon- struction bill upon the appointment of its board of directors. The measure stipulates that the Sec- retary of the Treasury, the farm loan commissioner and the governor of the Federal Reserve Boad shall serve as ex-officio members, with four more to be appointed by the President. It sets forth that not more than one shall The Treasury said the geographical | restriction applied only to the lour‘ presidential appointees. This _cleared the way for the appointment of Bernard | M. Baruch, whose eligibility had been | questioned because of the fact he com from New York, the same reserve dis trict as Eugene Meyer, governor of lhE‘ Federal Reserve Board McLean May be Named. Angus W. McLean, former Governor | of North Carolina, who served as a| member of the War Finance Corpora- ( tion, is regarded as a likely choice. The | name of Harvey C. Couch, public utili- ties man of Arkansas, also is prom- | inently mentioned. | In- his letter to Congress asking the $500,000000 appropriation, President | Hoover said: “I have the honor to transmit here- | with for the consideration of Congress | an estimate of appropriation for the | (Continued on Page 2, Column 1.) MOVE TO SHIFT TRIAL OF MASSIE DELAYED Congressional Action on Transfer to California Waits on Grand Jury. By the Associated Press Congressional action to obtain a | California trial for Lieut. Thomas H. Massie and three other Americans charged with murder in Honolulu will be delayed until the grand jury acts in the case. Representative Chapman, Democrat, Kentucky, today received a cablegram | from Frank Thompson, one of the at- torneys for the Americans. in answer to his question whether action should be sought to assure a change of venue. Chapman_declined to make the re- sponse public “The grand jury hasn't done any- thing vet,” he said “We don't intend to endanger the accused Americans, but I am ready to act when conditions demand action.” ABYSSINIAN OFFICIALS APOLOGIZE TO SOUTHARD | i By the Assoclated Press 3 ADDIS ABABA, Abyssinia, January 23— The foreign minister, the mayor and three other cabinet members called today on Addison E. Southerd, thef American Minister, and apologized for ! an assault on the American by a traffic jceman last Sunday. P oliceman and several civillans are in prison as & Tesult of the incident Sentence will be passed later. Radio P;)'}lml on Page C-8 ] 'MAJ. H. L. ROBB TRANSFERRED TO OFFICE OF Relief of Assistant D. C.| Commissioner Comes } as Surprise. ‘ Army Offlce’r Has Been in Charge of Building Here Since July 5, 1930. Maj. Holland L. Robb, Assistant Engi- neer Commissioner for the District, to- day was ordered relieved from all duties | at the District Building and assigned to the Office of the Chief Engineer of the Army m the Munitions Building. The War Department order is effective im- mediately. The transfer of Maj. Robb came as a distinct surprise at the District Build- ing. Maj. Robb himself knew nothing about it until informed early this morn- ing by his secretary, following inquiries by newspaper men ! Maj. Robb has been Assistant Engi- neer Commissioner since July 5, 1930 He will be assigned to duty in the operations and tralning section of the office of the chief of Engineers, it was | t oL Ma). -Gel: Lytle fififo Engin eers. HONOLULU POLICE STAGE MAN HUNT if Woman’s Assailant | Resists Arrest. | —_———— | By the Associated Press | HONOLULU, January 22.— With Honolulu zroused by another assault upon a woman, the grand jury studied evidence today against the four persons accused of lynching the suspected as- sailant of a Navy officer’s wife and the Legislature added to its pile of legal reforms to curb the city's crime wave. Police combed the city for Daniel Lyman, escaped murderer whom MTrs Tnka‘ Okazaki, 29-year-old Japanese, identified as the man who attacked her Wednesday night after binding her escort to a railrdad track Officers were ordered to shoot rather than take chances if Lyman, sought since his escape from prison December 31, offered resistance. The motor car he stole from Mrs. Okazaki's escort wis found in a residential section of the city Dr. Thomas M. Mossman of the Emergency Hospital said tests showed | Mrs. Okazaki had been criminally as- saulted. This announcement followed his report that a preliminary examina- tion did not disclose signs of an assault. Jury to Hear 16 More. Sixteen witnesses remained to appear before the grand jury, which heard a | like number yesterday in its inquiry into the slaying of Joseph Kahahawai, for which Mrs. Granville Fortescue, her | son-in-law, Lieut. Thomas H. Massie, and two Navy enlisted men are held. Members of the Navy shore patrol, | the Japanese maids of Mrs. Fortescue | and Mrs. Massie and Edward Ui cousin of the slain man, who said he| saw his abduction, were among those summoned. James F. Gilliland, city and county attorney, who is presenting the case | to the grand jury, revealed he had re- ceived three threatening letters from | pesons in the continental United States. Judd Measure Advanced. A bill which would relieve Gilliland of prosecution of the Fortescue case and the four surviving men accused of as- saulting Mrs. Massie. encountered some opposition in fthe Legislature. Repre- | sentatives disagreed over the manner in | which a_special prosecutor should be appointed. Gilliland is an elective of- ficial. | The Senate passed, on second read- ing, Gov. Lawrence M. Judd’s measure | to reorganize the city’s police depart-- | ment. 1t also confirmed the appointment of Col. Gordon C. Ross of the National Guard as territorial high sheriff to suc- ceed John C. Lane, resigned. Student Pilot Killed. CHAMPAIGN, 111, January 22 ().— Robert Showers, 22, was killed yester- day in his final flight preparatory to | taking his examination for a private pilot’s license today. | Florida Bank Robbed. JACKSONVILLE, Fla, January 22| (/).—Overpowering five employes as| they came to work today, two bandits | robbed the Springfield Atlantic Bank | here of between $12,000 and $15,000 and | escaped, i CHIEF ENGINEER MAJ. H. L. ROBB, His d'.}fl(‘s at the District Building put him in charge of the District's pub- the cabinet were believed to have held As such he is|out for free trade and the Conserv- called upon to see the execution of | atives for a protection tariff. Un- | der_the present law. as interpreted by | lic_building program. building contracts by contractors. (Continued on Page 2, Column 4. COMMISSION GETS VACATED OFFICES Civil Service Units to Share Old Patent Building With McCarl Group. The Civil Service Commission is to be moved into the Patent Office Build- ing, it was announced this morning. The transfer will be effected so soon as the necessary renovation is com- pleted at the Patent Office, which Is being vacated due to the completion of the new Department of Commerce Building, which allowed the transfer of the Patent Office force there The -new move will put all Civil Service Commission activitles, with one exception, under one roof. The com- mission will still maintain its examina- tion rooms at Eighteenth and D streets. The transfer will vacate three build- ings now occupied by the Civil Service Commission—the principal headquar- ters at 1724 F street, and some addi- tional forces and the headquarters of the Fourth Civil Service District, at 1723 and 1725 F street. The former building is owned by the Victor J. Evans estate and under a con- tinuing lease the commission is per- mitted to vacate at any time. It has been paying an annual rental of $24, 592. The other two buildings are Gos ernment-owned. The Civil Service Commission has been in its present location since July . 1011, when it was removed from Eighth and E streets. Its quarters at the Patent Office, between Seventh, Ninth, F and G streets, will be on the first and second floods. Trotzky Leases Villa. ISTANBUL, Turkey, January 22 (P). —Leon Trotzky, whom the Soviet Rus- sians call “Judas” Trotzky, has taken a two-year lease on a villa on the Island of Prinkipo, a move which appears to discredit published reports that he in- tended going to Germany to live Student Paper Says Undergraduates Know of Violations, but Are Unwilling to Report to Faculty. By the Associated Press. BALTIMORE, January 22.— The News Letter, student publication at Johns Hopkins University, sald today | that instructors in the undergraduate department were of the opinion that unless students reported cheating at examinations, the honor system would be greatly endangered. “Though a great number of faculty members are convinced of the system’s success,” the publication says, “many students disagree. Violations are more numerous than believed. | “Undergraduates who believe the sys- tem has been unsuccessful at Hopkins, declare they are not willing to report those whom they observe cheating dur- __ | clcse of the cabinet meeting this aft- JOHNS HOPKINS HONOR SYSTEM HELD ENDANGERED BY CHEATS MACDONALD SAVES CABINET ON TARIF Failure of Ministry to Resign in Split Unprecedented in British History. By the Associated Press LONDON, January 22. — Great | Britain’s cabinet split on the tariff is- , sue tcday, but contrary to precedent, | the government will not resign. | The break was precipitated by the | report of the committee on the balance of trade, but it really was caused by differences between the basic political theories of the free traders and the protectionists. It was understood that the commit- tee, backed by a cabinet majority, pro- | posed a flat rate tariff of i0 to 15 per | cent on manufactured and partially manufactured imports. The Liberals in Communique Issued. | An official communique issued at the ernoon said: “The cabinet has considered the re- port of its committee on the balance of trade, but after prolonged discussion it has been found impossible to reach a unanimous conclusion on the com- mittee’s recommendations. | “However, the cabinet is deeply im- pressed with the paramount importance of maintaining national unity in the presence of the grave problems which confront this country and the whole | world. “Accordingly, it has determined that some modification of the usual minis- terial practice is required, and has de- | cided that the ministers who find them- | selves unable to support the conclusion, | reached by a majority of their col- | | leagues on the subject of import duties and cognate matters, are to be at lib- erty to express their views by speech and vote. “The cabinet, being essentially united on all other matters of policy, believes that by this special provision it is best interpreting the will of the nation and | the needs of the time.” | Action Unprecedented. _ The cabinet action is unprecedented | | in British constitutional procedure and | means that the tariff wjll be thrown |into the House of Commons for free | vote. With the preponderant Conserv- ative majority, the indications are en- actment, of a tariff is now only a mat- ter of time. Mr. MacDonald appears to have saved his national government from the crisis which developed so suddenly |and for the moment can turn his at- tention to pressing international prob- ms. Strong protests came quickly from the opposition George Lansbury, leader of the La- bor party in the Commons, described | the cabinet’s communique as “the most | amazing statement ever issued by a | British ministry,” and declared that thinking people would “marvel at the impudence of men who take such a step in the name of national unity.” MISSING FLYER FOUND Otto Graff of New Y_m'k Did Not Know He Was “Lost” in Texas. DALLAS, Tex. January 22 (#).—Otto | Graff, New York business man aviator, | for whom a search was conducted by | fiyers between Dallas and El Paso for nearly two days, was located today at | the Curtiss-Wright Field, between Dal- |las and Fort Worth. He landed there lat 5:15 p.m. Wednesday. He did mot know he was “lost Under the honor system, responsibility for honesty in written examinations and general discipline i left to the in- dividual. Examinations are taken without supervision, and may even be worked out in dormitories. | " Thomas F. Bubbard, associate in civil | engineering at the school, is quoted as asserting that he knew of one definite infraction of the code. “But since that man was a good foot | ball_player, the whole thing was white- washed” he said in the publication “That brought some doubts to my mind, but I am for the system.” “In_theory the honor system is all right,” said Dr. David Moore Robinson, “But in practice it breaks down. We FEDERAL PAY CUT FIGHT N CONGRESS DELAYED MONTHS !Representative Wood Not to Press Amendments to Ap- propriation Bills. SNELL, ,IN CHARGE, PROMISES FAIR PLAY Cranfield Scores Reduction as Un- just and Inopportune—La Guardia Hits Plan. BY WILL P. K DY. The flare-up in the House started by Representative William R. Wood of In- diana, former chairman of the House Appropriations Committee, threatening amendments to all the appropriation bills for ruthless reduction in salary of Government employes has subsided for the present at least. No action looking toward reduction in the Government pay roll by a blan- ket cut will be taken for several months, it was authoritatively stated by leaders, both on the Democratic and Republican sides, today. The new Republican leader, Bertrand D. Spell of New York, took charge of the situation yesterday on the minority side, and as a result of a conference with him Representative Wood has an- nounced that he will not make any further effort at present to offer salary- reduction amendments. Agitation “Embarrassing.” It was whispered about the corridors today that some of the Republican lead- ers have received word from the White House that the agitation on salary re- ductions this time was proving embar- rassing to the President. Minority Leader Snell said Mr. Wood and he were now in agreement that there should be no attempt at pay- slashing until those proposing it were fortified with facts and figures to sup- port their contention. It is not intended to offer the pro- posed amendments until the legislative, executive and judicial appropriation bill comes up in the House. It is the present intention that when that bill is being prepared in subcommittee, during the hearing to have testimony taken regard- ing any need there may be for a blanket reduction of salary, the amount of sav- ing that might be made in this way to help balance the budget and reliable testimony as to how such a procedure might demoralize the personnel or crip- ple Government activity. Assurance of Fair Play. Minarity Leader Snell said today that “if Government salaries are to be cut, we should deal with this question in a straightforward, businesslike way. The problem should be carefully considered from all viewpoints and in relation to the economic condition of the country and the condition of the Federal Treas- ury at that time. Several months from now the situation may appear qute different from at present, and at that time we can have at east a better ar- ray of facts to show*how much can be saved in Governmen aries toward (Continued on Page 5, Column 5. TAMMANY LEADER INDICTED ON FEES Deputy Clerk of New York Is Charged With Receiving $135,000 Illegally. By the Associated Press. NEW YORK, January 22—Two in- dictments against Deputy City Clerk { James J. McCormick, Tammany leader of the twenty-second Assembly district, were fi'led with Judge George L. Don- nellan in General Sessions Court today by a grand jury. ‘The indictments were the outgrowth of McCormick’s testimony before the Hofstadter Legislative Committee that he received about $135,000 in fees from couples he married In the municipal chapel. Each indictment charges he asked for and received a gratuity for performing an official act, which is a felony under section 182 of the penal law, and with viclating a section of the penal law which makes it a misdemeanor and defines as extortion an act of A public official in accepting such an illegal fee. ARMY PLANE CRASHES NEXT TO INFANTRYMEN Two in Craft Escape in Smash, While Flying Down Line of Marching Troops. Thrown momentarily out of control while flying down the length of & column of marching Infantry during simulated combat maneuvers at Lin- colnville, Md., in the vicinity of Fort Washington, ' an _ Army _observation plane flown' by Lieut. James A. Willis. Army Air Corps, of Bolling Field, ¢ carrying as observer Lieut. J. R. Re- gan, Infantry, Fort Washington, plowed into the ground besic: the road today and was badly smashed. Lieut. Regan escaped with minor cuts and bruises while the pilot was unhurt. The plane was flying down the length of the column at an altitude of approximately 50 feet to permit close range, photograph for record pur- poses by Lieut. Regan. _ A sudden air bump dropped one wing of the plane and before Lieut Willls could pull it out by sheer motor power the wing tip dug into the ground and the plane cartwheeled and fin- ished upside down on the ground be- side the road. The upper wing, & lower wing tip, rudder and propeller were smashed and the motor prob- ably was damaged. The plane was dismantied and taken to Bolling Field by truck for repairs. TWO DIE IN COLLISION BEAUMONT, Tex., January 22 (#).— A member of the Winnie, Tex, High School basket ball team, and the school principal were killed last night, and nine men were injured, one seriously, in a collision between an automobile car- rying students and a construction com- pany truck. PFrancis McBride, 16, of Bancroft, Tex., and L. G. Rogers, 29, the princi- ing the examinations, it is that attitude | know that it is abused here and that |pal, were killed. C. E. Teer, 35, con- the faculty wants changed,” it sald of the poll. X cheating goes on. Yet it probably is better than the old system.” struction worker, is in a critical condi- tion. &