Evening Star Newspaper, January 23, 1932, Page 1

WEATHER. (U. 8. Weather Bureau Forecast.) rrob.bly ending tomor- Rain tonight, row morning; col tem| bout 45 der e mperatures—Highest, 61, at yesterday; lowest, 51 Full report on page Closing N.Y. Markets, Pages13,14 & 15 late tonight; lowest degrees. 3 pm. , 8t 7 a. tods 4. Che emn WITH SUNDAY MORNING EDITION The only evening paper in Washington with the Associated service. Press news Yesterday’s Circulation, 121,584 No. 32,043. Entered as second class matt: post office, Washington, er 5 WASHINGTON, D. €., SATURDAY, JANUARY 23, 1932—TWENTY-EIGHT () Means Associated ¥ % mem e TWO CENTS, Pres; JAPAN MAY SEIZE MILITARY POSTS IN SHANGHAI DISTRICT Disbanding of All Anti-Tokio Organizations Demanded by Foreign Office. ELEVEN NAVY VESSELS CONCENTRATED AT CITY Landing Party of Marines on Board to Enforce End of Chi- nese Hostility. By the Associated Press. TOKIO, January 23.—Japanese au- thorities here have decided to occupy with troops all Chinese barracks, fort- resses and other military establishments in the Shanghai district in China unless the Chinese authorities there meet Jap- anese demands. The foreign office and naval authori- ties were working together today watch- ing developments at Shanghal with grave concern. It was estimated here that, with the arrival late today of ad- ditional warships, Japan has a landing Yorce of approximately 1,700 at Shang- hal to protect Japanese subjects in case ©bf emergency. The demands which have been pre- Bented to the Chinese by the Japanese consul general at Shanghai include dis- banding of anti-Japanese organizations, which are held largely responsible for the boycott against Japanese goods and the cessation of what Japan considers pther provocative steps sponsored by these societies, and which, it is contend- ed here, the Chinese government never periously attempted to prevent. 11 SHIPS AT SHANGHAL Japanese Naval Force Prepared to Take Hand in Tense Situation. SHANGHAI, China, January 23 (). —FEleven Japanese warships frowned on Shanghai today as a result of a|off tense situation between Chinese and Jananese residents, which bas been owing_during the week. “’x‘he R.upnnm cruiser O-1, with 500 marines aboard, and the 15th Japanese Destroyer Flotilla, consisting of the Destroyers Hagi, Susuki, Puji and Kuzu arrived from Japan at 5:30 pm. and hor in the Whangpoo River international settlement. The marines remained aboard, buf were expected to be landed as soon &s quarters were prepured.for them, aug- menting the Japanesé marine force al- Teady on shore, The arrival of these ships, brought here by the tense sifuation which de- weloped out of yesterday's controversy and Sino-Japanese clashes earlier in the week, brought the number of Japa- nese navy craft at Shanghai to 11. Aimed at Societies. The Japanese sircraft carrier Notoro was expected to arrive from Chingwang- tao early tomorrow. Japanese Tesidents demanded, after first clashes, that the Chinese a % horities suppress anti-Japanese soci- eties, which they said were chiefly re- sponsible for promoting the boycott against Japanese which has had a serious Teaction egainst Japanese ade = ‘Authorities of the international set- tlement requested Japanese Admiral Shiosawa yesterday for a statement of his intentions in a conference aboard his flagship in the river. "The Chinese language newspaper, the Republican _Daily News, which was warned yesterday by Japanese naval officers that it had until noon today to apologize for printing an article they said was offensive to them, declared today it was willing to print the Japa- nese version of the article in question, but rejected the demands for an #pology. U. S. Consul Denies Warning. A delegation of naval officers Visited | the offices of the paper again, after | they recelved the reply, and presented | the same demands, declaring if they| were again refused, they would under- | take to bring about cessation of publi- cation of the newspaper. Edwin 8. Cunningham, United States consul general here, denied today he Tad in any way issued a warning to the Japanese against independent ac- tion against Chinese within the inter- | ~Gontinued on Page 2, Column 4) MACK SELLS BOLEY T0 CLEVELAND CLUB Indians Take on Veteran Infielder for Use in Case Montague Doesn’t Make Grade. CLEVELAND, January 23-—Joe Bo- ey, veteran shortstop of the Athletics, has been purchased by the Cleveland Indians to bolster their infield, it was announced today by Billy Evans, gen- eral manager of the Tribe. Shottstop has long been a sore spét with the Indians and Boley was ac- guired as an ace in the hole in the event Eddle Montague, groomed for the Job, fails to come through. Boley, & member of the once invinci- ble Baltimore Orioles, was bought by Philadelphia five years ago for $50,000, graduating to the majors along Wwith Bob Grove and George Earnshaw. Last year, handicapped by leg injuries, he Jost his post to Dib Willlams. The purchase price was mnot an- nounced, but it was understood half of the amount is to be paid now and the deal eompleted May 15. “We took Boley as an extra protec- tion at short,” Evans said. “We expect Montague to be our regular shortstop. If he falls to come through we will have & dependable man in reserve. Boley has slowed up but he can still play major league ball” Al B Woman Laborite Dies. LONDON, January 23 (#).—Dr. Marion Phillips, chief woman worker of the Labor party and member of Parliament for Sunderland, died here this morning after a long illness. Radle Pingrams. o Poge. B4 ' Thousands of Bees Scatter Shoppers And Stop Business By the Associated Press. WAR, W. Va., January 23— Summer weather had January business at a standst§l in War yesterday until Beekeeper J. H. Atwell was called. Thousands of bees circled and droned in the business district and shoppers and business men sought what shelter was at hand. Atwell “swarmed” them and in 8 few minutes hed them in & ve. BARCELONATTIED UP BY REBEL STRIKERS Demonstration Called Pre- lude to Move for Soviet Re- public—Troops Rule City. By the Associated Press BARCELONA, Spain, January 23.— Shops were closed, trolley cars stop- ped running and the streets of this city were deserted by all save soldiers and police today as a general strike was declared by the extremists respon- sible for disorders during the past few days in Catalonia. The leaders described it as a prelude to a nation-wide strike aimed at the establishment of & republic, Soviet in character. The strike was called late last night at a secret meeting of the “Revolu- tionary Committee.” Workers who re- ceived the order then did not report at their jobs this morning and as the word circulated factories closed, until all industrial activities in the vicinity were brought to a halt. Police Force Doubled. ‘The police force was doubled, but most of the regular troops and the civil guard remained in barracks, prepared for action i mecessary. stoyers and other naval craft were in the harbor. In the nearby village of Pueblo Nuevo a mob of strikers attacked a detach- ment of the civil guard, but was driven Reports from Manresa, where there were serious fights earlier in the week, said the situation there was quiet and many small factories had resumed operations although the large textile mills were still idle. Two bombs ex- loded there this morning, but caused ittle damage. Mobilized at Malaga. ‘The government has mobilized police t | and military forces throughout the An- dalusian region, particularly at Malaga, Seville, Cordoba and Granada. The strike at Malaga continued; at Seville soldiers were posted on the rooftops and civil guards patrolled the streets, the river. Afrplanes soared over the Seville region scouting for strike gatherings. Some of the strikers were back to work at Corunna today, but business was still tied up at Vigo, Santiago and Villagarcia. SEVILLE, Spain, January 23 (#)— The destroyer Lazaga arrived in the Guadalquivir River yesterday as a pre- caution against the threatened strike in this district. It was reported the ship would be used as a prison in case of necessity. HAWKS IN FLYING Round-Trip Record Is Sought by Pilot Taking Off at Agua Caliente. By the Associated Press. AGUA CALIENTE, Mexico, January 23.—Off to a flying start, Capt. Frank M. Hawks, speed pilot, raced at 300 miles per hour out of the sky to lightly touch his wheels at the airport here at 4:11:15 a.m. today and be off on an attempt to set a lasting record for a round-trip flight to Vancouver, British Columbia. Hawks planned to fly for Oakland, Calif., stop briefly for fuel and proceed to Portland, Oreg., for another stop. He expects to refuel at the same cities on the journey back from Vancouver. After having spent the night in San Diego, Calif., about 15 miles from here, Hawks took off from Lindbergh Field at 8 minutes after 4. At just a quarter after 4 he was back over San Diego, en route to Oakland. The official timer and a handful of spectators were astonished at the speed at which Hawks dived for the fleld here, after circling the beacon marker. 'The night was clear and lighted by a brilliant moon, but the plane quickly disappeared to the North. When he passed over San Diego Hawks was flying very high. There has been no round-trip, three-flag speed attempt completed over the route Hawks took today. Six weeks ago Jimmy Weddell, youthful New Orleans aviator, brought a plane he built to the West to attempt one. He set a record of 6 hours 42’4 min- utes in flying to Vancouver, but upon arriving there decided against trying the return flight. ‘Thee de- | while several gunboats lay nearby in | START FOR CANADA | LWAL TOCONER WITH HACDONAL N VEK ONDEBTS |Premier Announces He Has Invited Briton to France for Parley. |DEFINITE DATE DUE TO BE PICKED TODAY | | Vote of Confidence by Deputies ! Precedes His Call for Repa- | | | functioning for the first time as foreign minister, said today he expected to con- | fer with Prime Minister MacDonald of | Great Britain on reparations within a week. The announcement followed a vote of confidence given his ministry | yesterday in the Chamber of Deputies. He had asked Mr. MacDonald to | come to Paris, he said, but is willing to | accept some other meeting place if the | British prime minister is too occupied. He implied a definite date and place would be decided upon today. Talks With Venizelos. | ‘This afterncon he talked with Pre- ,mier Venizelos of Greece, & country which is deeply concerned in whatever decision France reaches in handling the reparations problem. Greece is one of the recipients of the German payments. M. Venizelos also talked with Pierre | Flandin, the minister of finance, leav- ing with him a memorandum stating that Greece would like to have the In- ternational Committee on Greek Finances make an inquiry into the gen- eral financial position of his country. The Greek premier arrived from Rome this morning. Protest to Bruening. Government_suporters sent a protest to Chancellor Heinrich Bruening against his recent declaration that Germany is unable to make reparations payments. The newspaper Le Matin again today outlined possible lines of action it said France could take in case Germany re- fuses to pay. The commercial treaty of 1927 could be canceled, it said, and a 26 per cent surtax could be placed on German im- ports to France, which amounted last year to more than $240,000,000. ALL CABINETS BAFFLED. rations Conference. By the Associated Press. PARIS, January 23.—Premier Laval, European Situation Called Most Deli- cate Since World War. BY WILLIAM BIRD By Cable to The Star. PARIS, January 23 (C.P.A.).—Opin- fon in all the countries of Europe today agrees on one thing—namely, that the international situation has never been more delicate since the war. Beyond that there is little agreement on anything and few signs that con- structive measures are being planned to bring about any agreement. ‘The French, British and German cabinets seem utterly bafled by the virtual stone wall that has arisen across the path of international understand- mg. Heretofore, even in times of severe stress, somebody had been able to come forward and indicate a breach in the wall through which a glimmer of light could be seen and through which communications could pass. To- day, in the worst crisis since 1914, nobody can even hint at a possible method of solution. Laval Faces Paradox. Premier Laval was in the paradoxical situation this week of asking President Hoover to prolong last Summer's mor- atorium, after Laval himself only three months ago exacted Hoover's promise that no further moratorium proposals would come from Washington. Chancellor Bruening in turn flatly rejects a moratorium extension. Even Premier Mussolini can think of no way | out, except an all-around cancellation. | The French Chamber has listened all | week to Deputies of every political col- or telling Laval how to handle the sit- | uation, but nobody got anywhere near a practicable plan and the most ap- | plauded speech was Pierre Forgeot's, | recommending that the United States | not only forego war debts, but sign an international securtty paot. The British cabinet, having domestic | troubles and threatened with disruption | over tariffs, has not yet decided wheth- er to side with France against Ger- many or with the United States against everybody. The truth is that France is not near- |1y so worried about Germany's Young | plan default as about a solution of the | war debt problem. The Hague treaty |of 1930 Trequires the International Court to grant Germany's debters “en- | tire liberty of action” if Germany vol- untarily destroys the Young plan. Reluctant to Take Lead. | Such a judgment by the Hague tribunal would at least give France | complete moral satisfaction, even if no | advantage were taken of the court’s permission to reoccupy the Rhineland. But France does not want, in her turn, to be placed in the position of | defaulting to the United States and England and thus losing such moral compensation as she would derive from | Germany's default. | Secretary Stimson’s plain hint in his note, which disclosed this week that | the United States would view with dis- favor any joint action by European | " (Continued on Page 2, Column 6. By the Associated Press. A man who was a soldier for 40 years today told the House Expendi- tures Committee that another war is likely and that the efficlency of the Army and Navy would be endangered by consolidation. The witness—once a major general and assistant chief of staff of the Army, but now Representative Martin, Demo- crat, Oregon — expressed unqualified opposition to pending bills for the merg- ing of the fense. The proposals have the support of Democratic leaders in the House, 4n- k] MARTIN, EX-MAJOR GENERAL OPPOSES ARMY-NAVY MERGER Oregon Representative Tells Hearing War Is Likely and Service Consolidation Would Impair Defense. cluding Speaker Garner and Chair- man Byrns of the Appropriations Com- mittee, who introduced one of the bills. Martin said it was unfortunate that the committee so far had heard econ- omy as & primary argument for the consolidation. “Efficlency must be paramount: a —— @-”"\Q'\\fi WHEN DO WE EAT? ,Many Rumors Circulated as 10,000 WORKERS STRIKE N INDIA Walkout Protests Jailing of Official of*Union Gandhi Organized. By the Associated Press. AHMEDABAD, India, January 23— | Seventy thousand mill workers went out | on strike here today in protest against the imprisonment for one year under | the new emergency ordinances, of the secretary of the Ahmedabad Mill Hands' | Union, of which Mahatma Gandhi is the organizer and head. | The strike paralyzed 76 textile mills, | all of whose employes are ‘“untouch- | ables.” The entire police force of Ahmedabad was called out immediately and began a vigilant.patrol of the mill area in an- | ticipation of a possible outbreak. An attempt to burn the police station was frustrated, and the situation was very tense. e mahatma expressed the hope this trade union would be a ‘“model for the whole world.” The president of the union is Miss Anasuyu Sarabhai, daugh- ter of the largest mill owner here, and | relations between operatives and mill| owners have been amicable. All processions and meetings have been banned by the distrjct magistrate. BULLION FLOW CHECKED. Business Men Heed Gandhi Warning. Merchants May Boycott Parley. BOMBAY, India, January 23 (#).— Heeding a warning from Mr. Gandhi to check shipments of gold out of the country, Indian business men with Nationalists sympathies have succeeded in damming the flow of bullion. It was announced today that this week’s gold shipments from India were only 13- 000,000 rupees, as compared with 36,- 000,000 & week ago. The sharp decline | was attributed to picketing of the banks and the gavernment mint. ‘The government also has resorted to economic measures of & sort. It was announced today that life grants of money will be made to cer- tain persons on condition that the recipients “continue their good conduct, showing steadfast loyalty to the King- Emperor and rendering active service to the legal government. The first individuals to benefit from this device received grants today of 250 rupees (about $65), which will be paid | annually as long as they live. Half that sum will be continued through the next generation. There has been & rush of applicants. It developed today that Indian mer- chants probably will refuse to particl- pate in the deliberations of the round table conference committees which are | on the way from London now. The powerful Federation of Indian | Chambers of Commerce, after a special | meeting today, sent a telegram to the viceroy asserting, it was understood, that the merchants will refrain from co-operation with the government until the series of sweeping emergency de- crecs recently enacted is lifted. This would amount to a boycott of the con- ference committees. WORK IN FLOOD AREA TURNS TO REFUGEES Thousands Homeless and in Need | of Aid—Yazoo River 8till | Threatens. By the Associated Press. GLENDORA, Miss, January 23— Flood dangers in the Mississippi Delta's wide stretch of inundated back country became a secondary consideration today as rellef workers directed efforts toward {mprovement of conditions in refugee camps housing thousands of homeless. National Red Cross workers assigned to the area said it was essential to move vast quantities of food and medical supplies to meet the needs of the desti- tute, suffering from food deficiency and long exposure to cold and wetness, jmmediately, and all boats in the area andered to this end. weg;nfil;:m; Krick, disaster relief di- rector of the Red Cross, ‘went directly to Crowder, little Quitman County town which has had its population trebled by an influx of refugees, to aid in an or- derly evacuation of the overflow crowd. He said tha Red Cross was attempting to reassign the homeless to centers cheap Army and Navy are th | costly things In the world» he sap “This_consolidation is fundamentally nsou=d.” He said if conditions g0 on as they lu ar and_Navy Departments | are in the world today, tho ver info s department of national de- | will lcad to war, adding that e whoss | srimphrevs County seat. Levee workers, | War proved the American Army and Navy could function satisf; 1m¢y now are orgenized, SO where supplies could be handled more jously. exg_e;lleit g'lfu{o River seemed the most today, with new rises send- threatening to0aY, & levees at Belzon, however, were continuing to pile sacks | among convicts and reorganization of in an effort to prevent a break in the dyke, b Mayor Tests Food To See That Poor Get Good Quality By the Associated Press. GREEN BAY, Wis, January 23.—Mayor John W. Diener has | & new job. He's official taster and tester, | with his wife acting as chief as- sistant. Mayor Diener came into his new position after the city open- ed a department store for the poor. Complaints were made that the quality of the goods was not as good at it might be. He therefore adopted the sim- ple procedure of taking home samples to serve to his own fam- ily as a “jury.” CUARDENDS LI AT LEAVENNORTH Il Health Blamed for Second | AT CROLP TAKES FHT T0CONGRESS Opposition to Tax Increase Plan Most Strongly Or- ganized So Far. The most strongly organized oppo- sition so far offered to the administra- tion tax increase plan was to be pre- sented to Congress today by leaders, of the automobile industry., Combined for an intensive fight on the proposed 5 per cent sales tax on automobiles, car manufacturers sent their delegation before the House Ways | and Means Committee, with George Graham scheduled to act as spokes- man. Mr. Graham is vice president of | the Rockne Motors Corporation, a Stu- | debaker subsidiary. Ruinous Effects Feared. eady & group o‘h:‘xhu% country’s best it X au e ..had . told Suicide Since Recent fl‘k",s,,,.m g e Daring Break. By the Associated Press LEAVENWORTH, Kans., January 23.— William E. Brinson, for 11 years & guard at the Federal Penitentiary here, com- mitted suicide this morning by shooting himself in the head with a pistol. Brinson, 52, killed himself on the porch at the home of a brother-in-law, Antone Wolff. Fred Zerbst, who has been in charge of the penitentiary since the wounding of Warden T. B. White more than & month ago by escaping prisoners who took him as hostage, said Brinson had given prison officials no trouble. Coroner T. N. Sexton sald Brinson, & World War veteran, had been ill. Brinson is the second guard to end his life_since the desperate break for liberty December 11 by seven convicts, three of whom were killed and four re- | captured. W. Suberkrup committed suicide De- cember 20 by inhaling automobile ex- haust fumes. Prison authorities said his act had no connection Wwith affairs of the prison. Another guard, C. E. Carlson, was ar- rested recently and awaits trial on charges of smuggling money to con- victs and secretly maliing letters for them. The investigation of the prison break has led to the arrest at Windsor, Can- ada, of Harry Fontaine, former Leaven- worth convict. He is charged with having smuggled into the prison the firearms and explosives used in_ the | break. The weapons are alleged to have | been shipped to the prison shoe factory | in a barrel labeled shoe polish. | It became known today that numer- ous guards have asked for transfer from Leavenworth. The recent unrest the guard system following the Decem- ber break are reported to have in- fluenced some guards to seek other posts. RAIL LABOR AWAITS PLAN FOR DISTRESS Union Men Want Specific Answers on Program for Relief. By the Associated Press. CHICAGO, January 23.—The rail- roads and union labor have returned to the bargaining stage in their nego- tiations for a voluntary $215,000,000 wage cut and unemployment relief. The workers’ representatives planned to draft a statistical reply today to the arguments of carriers they needed the money to restere credit and prevent further bankruptcles. What was supposed to be the final | plea of the rails was made yesterday for two hours by Daniel Willard, president of the Baltimore & Ohio line, but the 800 union chairmen who heard him an- nounced afterward they were not ready to vote on the cut. They first wanted specific answers from the rails on all points of their program for relieving distress among their 700,000 jobless and stabilizing work in the future, their leaders said. ‘Willard assured them individual rail- roads would do everything practicable to put men back to work, but since the start of the negotiations the work- ers have insisted on a guarantee of em- ployment for the same number at work as in 1930, Today's session was postponed till 2 pm. when labor leaders found they could not have their reply ready for a morning meeting.,It Was reported their enswer to the rallroads’ statistical ar- guments contained many figures and | x;:eded & close check -before suhmmon‘ the managements, 0] would destroy the newly-brightened prospects for this important industry. Spokesman for the industry said today 44,000 car dealers were joining in the protest against the sales tax proposal, assailing 1t as “discriminatory.” Also appearing before the Ways and Means Committee today was a spokes- man for the New York and Chicago Stock Exchanges, protesting against “being singled out for a tax increase.” William S. Bennet of Chicago, testi- fying for both markets, said the pro- posed increase from 2 to 3 cents a share on stock transfers would reduce stock values from $100,000,000 to $150,000,000. Tmposed as War Tax. “This was imposed as a war-time tax,” Bennett said, “and no effort has been made to have it removed since 1924. It is an irritation and & nuisance and should have been repealed with the other nuisance taxes. “But retained, there is no reason for an increase. “We object to being singled out for an increase. We think it is time for others to take a share in the honor and distinction of supporting the Govern- ment.” Bennett put in the record a letter from Richard Whitney, president of the New York Exchange, opposing the increased levy recommended by Secre- | tary Mellon. Back of these protests also appeared strenuous opposition of the Chamber of Commerce of the United States, ex- pressed yesterday by a special Federal Taxation Committee. In its report the committee termed “wholly unwarrant- ed” the general tax policy which would make the proposed increase in rates retroactive. The special committee has just com- | pleted a critical survey of the financial condition of the Government, which un- reservedly assailed mounting expendi- tures and called for a program under which prospective taxation would be held "(Continued on Page 2, Column 1) VATICAN WALL CRACKS Possibility of Another Collapse | the Stirs Fears—Property Removed. VATICAN CITY, January 23 ().— New cracks appeared today in the Vati- can palace close to the wing of th library which collapsed several weeks ago., All the valuable contents of the endangered portion have been removed. Thin strips of glass cemented over the old cracks were broken and engi- neers feared that the ancient wall was in danger. HAWAN JURY ENDS - SESSION SUDDENLY IN MURDER PROBE No Report Is Made in | Fortescue Case. | | | | ENEW POLICE COMMISSION CREATED FOR HONOLULU Territorial Legislator Planned Talk by Telephone Today With Senator La Follette. By the Associated Press. HONOLULU, January 23.—Unex- pected adjournment of the grand jury without returning any indictment in the “honor” slaying of Joseph Kaha- hawai engendered varied rumors today as to the cause, while the territorial Legislature turned to its second major task in legislation to tighten law en- forcement. Its first such task was completed yesterday when Gov. Lawrence M. Judd signed & bill placing the Honolulu force, effective February 1, under an appoint- ed commission instead of the present elected sheriff. The Governor promptly nominated the new police commission and the Senate confirmed his selec- tions. The territorial Senate at its meeting today agreed to consider a bill to pro- vide for appointment of a public prose- cutor. Prosecutions at present are un- der the elected city and county attor- ney. ‘Would Talk to La Follette. The interest of the National Govern- ment in the local situation was recog- nized, however, in the action of Senater Charles A Rice in placing a_long- distance radiophone call for United States Senator Robert M. La Follette in Washington, D. C., for 6 am., Hono- Julu time, or 11:30 a.m., in Washington. Senator Rice sald he wanted to ask about interviews quoting Senator La | Follette as favoring election of the Honolulu prosecutor, but with the proviso that the Governor, whp is an appointee of the President of the | Unitea States, might remove the prose- | cuting official for cause. The sudden adjournment to Tuesday of the grand jury was a sensation here. |~ Members of the grand jury told in- quirers they were under oath not to disclose what had happened in their two hours of deliberation. Neither Cir- cuit Judge Albert M. Cristy, who en- tered the jury room twice during the two-hour period, nor Deputy City and County Attorney Grifith Wight, who presented the evidence, yiould reveal the cause of the adjournment. e grand jury had examined 23 witnesess. Dismiss Motion Pending. On the Circuit Court calendar, mean- while, is the motion for dismissal of the Police Court charge of murder re- turned in the Kahahawai slaying against Lieut. Thomas H. Massie, U. S. N, whose wife Kahahawai and four others were charged with assaulting last Sep- tember; Mrs. Granville Fortescue, soci- ety woman of New York and Wash- ington, Mrs. Massie's mother, and two Navy enlisted men, Albert O. Jones and E. J. Lord. ‘When the motion was filed Wednes- day on the plea that territorial officials were delaying the case, the Circuit Court deferred action to give the grand jury the right of way. Among the rumors created by the latter body’s recess was one saying some of the jurors wanted to apply the “unwritten law” to the Kahahawal killing. | Another said that failure of the | prosecutor to_prod an actual wit- | "(Continued on Page 2, Column 7.) JURY TO PROBE D. C. HOTEL BOND FRAUD U. S. Investigation of American Mortgage Co. Opens Monday | in Pittsburgh. | By the Associated Press. PITTSBURGH, January 23—With a long list of cases awaiting disposition, a Federal grand jury will convene in Pittsburgh - Monday preliminary to a | special session of United States Dis- | trict Court. There are 150 bills of indictment listed, a majority of them dealing with offenses against the prohibition act. Particular interest centers around the American Bond & Mortgage Co. ase. The defendants, residents of Chicago, New York and Washington, are charged with selling wogthless bonds of a Washington, D. C., hotel to residents of the Pittsburgh district. | _ ‘The American Bond & Mortgage Co. ‘flnlnced the Mayflower Hotel here. It/ |lost its controlling interest, however, after receivers appointed by the local | court replaced Charles C. Moore, trus- | tee of the property, and an official of | the company. | MOTORIST CITED PARKING IS Wholesale Setting Aside of Curb Space Unjust to Public, Judge Hitt Declares. Characterizing the wholesale setting aside of curb space for busses in the vicinity of Eleventh and Twelfth streets and Pennsylvania avenue as ‘‘unreason- able and unjust to the citizens of the District,” Judge Iseac R. Hitt in Traf- fic Court today dismissed a charge against a man who had been arrested for parking in one of the spaces. Max L. Shulman, an attorney, of 2200 Flegler place, told the judge he parked his machine last night on the south side of the avenu about mid- way between Twelfth and Thirteenth streets, and approximately 10 feet in- side the area police sign which showed the space had been reserved for busses. Upon returning from the theater sev- eral hours later, Shulman said, he found a ticket on the car. The attorney said he paced off the distance from his car to the Twelith street curb and found it to be about FOR BUS ZONE FREED BY COURT SECOND FINANCE FLOW STARTED BY PRESIDENT'S PEN Bill Adding $125,000,000 to Capital of Federal Land Banks Signed. TWO BILLION MEASURE WILL GO TO SENATE Machinery Speeded and Democratie Leaders Are Consulted at White House. The House today passed, without debate, the $500,000,000 appropri- ation to provide capital for the Reconstruction PFinance Corpora=- tion. Since the Senate is in adjournment, final congressional ap- proval cannot be had until Monday. By the Associated Press. A second stream of credit designed to loosen the obstacles to business re- covery, today came into being. President Hoover, only a few hours after afirming his name to the recon- struction finance corporation measure, which will turn $2,000,000,000 into the channels of industry, signed a bill to add $125,000,000 to the capital of Fed- eral Land Banks. In a statement, issued as he signed the Land Bank measure, he said: “I am glad to sign the third of our reconstruction measures—that providing additional capital to the Federal Land Banks. Benefits Are Foreseen. “It should (a) reinforce the credit of the Federal Land Banks system, and reinsure investors in land banks bonds; (b) best enable the banks to obtain capital for farmers at reasonable rates; and (c) above all bring relief and hope to many borrowers from the banks who have done their honest best, but, be- cause of circumstances berond their control, have been unable temporarily to make the grade.” The land bank bill sets aside $35,- 000,000 of the $125,000,000 to be used in extending the time of pay- ments by overburdened farmers. Moratorium Bill First. In referring to the land banks bill as the third, the President had the moratorium in mind as the first. Only two things are necessary to start the Reconstruction Corporation to functioning. The $500,000,000 capital must be . and the Federal capital will be added § 000,000 of additional funds to be by the corporation, itself, on securities undetrwrmen by the Federal Govern- men ‘The congressional act which created tie $2,000,000,000 Government credit agency became law last night with a minimum of ceremony and a maximum of dispatch, as dent Hoover affixed his signature. A few hours before Con- gress had given final approval. The speed which during on: day transformed the corporation from a paper proposal awaiting sanction into a living force for business improvement swung today behind the required appro- priation of funds and completion of the directorate. Confers With Democrats. ‘The House took up for immediate passage the $500,000,000 appropriation, 50 it could be sent to the Senate for action Monday. After a late night con- ference with Democratic leaders in Con- gress, President Hoover prepared nom- inations to fill the seven-man board of the corporation. Charles G. Dawes already has been named president, and Eugene Meyer, chairman of the board; Secretary Mel- lon and Paul Bestor, farm loan com- missioner, are ex-officlo members under the law. There remained to be named three Democrats, as a bi-partisan board is required. Harvey C. Couch. public utility man of Pine Bluff. Ark., was understood to be one of the choic PFrom the White House conference, i developed the Democratic leaders were in full understanding with Mr. Hooves and the nominations might come today. Senator Robinson of Arkansas, Speaker Garner and Senator Glass of Virginia were those who went over the list of possibilities with the Chief Executive. Upon signing, the President issued & concise statement on the corporation’s purpose, paying tribute to the men of both parties in Congress who forgot politics to put the bill through. Aids Small Banks. Mr. Hoover emphasized this was not an aid to big industries or big banks, but to the great number of smaller ones. The big corporations, he main- tained, can take care of themselves. The bill was placed before President Hoover in his study in the White Houss at 6:06 p.m. yesterday. He signed % before a minute had elapsed, with two secretaries as his only witnesses. He used two pens. Immediately afterward the following statement was given out at the White House_offices: “I have signed the Reconstruction Finance Corporation act. “It brings into belng a powerful or- ganization with adequate resources, able to strengthen weaknesses that meay de- velop in our credit, banking and rail- (Continued on Page 3, Column 4.) . GIRL RIDER IS INJURED WHEN THROWN BY MOUNT 200 feet, the entire space being reserved for the Alexandria and Arlington busses. Then, he said, sought out the officer who had given him the ticket, R. L. Coffren, Traffic Bureau, and asked him to appear in court today. A driver told him the busses ran every 30 min- utes at the time he was arrested. “While I realize,” the judge said in dismissing the case, “that the Public Utilities Commission and the Police Department, have the authority to set aside space for busses, however, it seems to me such wholesale reservation of curb space as has been made in this vicinity is unreasonable and unjust to {x}"iet car-owning citizens of the Dis- The judge said he thought it fair to reserve space -for two or three of the large vehicles, but that apparently space had been provided at this one place for a half-dozen or more, ! 4 Rosemary Ryon, 19, of New York, Taken to Emergency Hospital From Club Show. Nineteen-year-old Rosemary Ryon of New York was thrown from her horse and hurt today while participal in the horse show being held at the - ing and Hunt Club, Twenty-second and P streets. She is not belleved to be seriously injured. ‘The accident occurred as the girl attempted to put her mount over a 3-foot jump. The animal and its rider went over its head. The horse pushed the ballustrade over on Miss Ryan and then fell on her. Horse show attendants went to her aid and summoned the Fire Rescue Squad, which took her to Emergency Hospital. Therg. physiclans sald she may have two or more broken Fil e