Evening Star Newspaper, April 10, 1932, Page 1

WEATHER. (U 8. Weather Bureau Porecast.) Cloudy, probably preceded by rain to- day; tomorrow possibly rain; not much change in temperature. Temperature—Highest, 47, at 3 pm. yesterday; lowest, 43, at 10 p.m. yester- day. Full report on page 7. he WITH DAILY EVENING EDITION Sunlay Star, “From Press to Home Within the Hour™ The Star is delivered every evening and Sunday morning to Washington homes by The Star’s exclusive carrier service. Phone National 5000 to start immediate dellvery. (#) Means Associated Press. No. 1,412—No. 32,121, Entered as second class matter post office, Washington, D. C = WASHINGTON, D. €., SUNDAY MORNING, APRIL 10, 1932—104 PAGES. #*% FIVE CE TEN CENTS IN WASHINGTON AND SUBURBS ELSEWHERE LINDBERGH PAYS BUT FAILS TO GET BABY PRESIDENT PROPOSES FURLOUGHS ‘ TO CUT U. S. PAY ROLL $45,000,000; | ECONOMY PROGRAM IS DRAFTED Proposals Agreed on Tentatively at Parley. HOUSE GROUP ASKS 11 PER CENT SLASH Sick Leave Reduction to Two Weeks Urged by Hoover. A national economy program calling for a reduction in Govern- ment expenditures of from $160,- 000,000 to $210,000,000, exclusive of possible savings affecting income of Federal employes, was agreed on tentatively yesterday at a spe- cial conference between the Presi- dent and members of the Special| existing laws which would prevent the | Specific appropriation to any other spe- Economy Committee of the House. In reply to a suggestion of the committee that all Government | ization and consolidation of Govern- |Such a procedure will add economy salaries be cut 11 per cent, with an exemption of $1,000, the Presi- dent made a counter proposal for a five-day week for per diem em- ployes and compulsory furloughs without pay for all Civil Service employes. Under the salary slashing plan of the committee, a saving of $67,000,000 was estimated. The furlough and five-day week coun- ter proposal of the President is expected to save $45,000,000. No agreement was reached on the two proposals. In addition the President advocated & further saving of $35,000,000 through reducing annual and sick leave next year to two weeks. The conference approved the retire- ment of superannuated employes, elim- ination for one year of extra pay for overtime and night work and suspen- | sion for one year of automatic promo- tions. | Another proposal of the committee that Saturday half holidays be abol- ished was not agreed to. It was esti- mated that this would save $10,000,000. Both sides agreed, however, to reduce salaries of the President, the Cabinet and members of Congress by unspeci- fied amounts. The retirement of super- annuated employes is expected to save $3,000,000 and the suspension for one year of extra pay for overtime and of automatic promotions for civilian em- ployes $10,750,000, In addition it is planned to save an indefinite sum through limitation of pay of retired Army and Navy officers employed by the Government. A wide range of supplemental econ- omies was approved during the 5is- hour parley in the cabinet room. These ran the. gamut from elimination of non-essential land naval stations and Army and Navy transports to revision of veterans' legisiation, one-year sus- pension of ship line operations of the Shipping Board and of vocational edu- cational payments to the States, shift- ing of Philippine Scout upkeep to the island government, ban on filling of any but “key” vacancies in Civil Serv- ice, reduction of printing, establish- ment of fees for services by certain bureaus and holding up of $750,000 appropriation for Federal Triangle heating plant __The conference, it was announced, (Continued on Page 3, Column 1. = s JOSEPH LEITER NEAR DEATH OF PNEUMONIA Capitalist and Sportsman, 64, at Chicago Home—Family Shield- ing Illness Details. By the Associated Press CHICAGO, April 9.—Joseph Leiter, 64, capitalist and sportsman, is near death at his Chicago home from pneumonia, A member of the family tonight de- clined to reveal details of the multi- millionaire’s ilincss, but stated his con- dition is exceedingly grave. He has been ill for several weeks, it was said, tut his condition became critical only recently Leiter is the son of the late Levi Leiter, ploneer Chicago merchant who was the partner of Marshall Field in the latter’s first business venture. He Is widely known as a racing enthusiast 8nd maintains a home in Washington, D. C, as well as here. | A year ago, Leiter's stewardship of his father's $30,000,000 estate was up- held in Appellate Court in an attack | upon it by his sister, Lady Marguerite Hyde, and his nieces, Lady Cynthia :A:A;\;e and (Lnd;‘l. Alexandra Metcalf, ghters of the late ooy Lady Mary — STIMSON RECUPERATING FROM INFLUENZA ATTACK Dinner to Be Given by Knt’er of Liner ¥s Postponed at Sec- retary's Request. By the Assoclated Press. ABOARD 8. S. ISLE DE FRANCE, April 9-—Secretary of State Stimson, bound for Europe and the Disarmament Conference at Geneva, denfed himself to visitors today and rested in his state Toom, recuperating from an attack of influenza. Cupt. Blancart, master of the liner, was to have been host at dinner tonight to Mr. Stimson, Norman Davis, his as- sistant, American delegation, but the Secretary asked that it be postponed. Frank B. Kellogg, former Secretary of State and now a member of the World Court, is also a passenger. He Wwas up early this morning to enjoy & ©cool, sunny day. and other members of the| HE following statement was fs- | sued last night at the conclu- sion of the President's confer- ence with the Economy Committee of the House of Representatives. As a result of mutual exchange of views by the administration and the Economy Committee, the following was tentatively agreed upon as a na- tional economy program. The total of the savings so far ar- rived at would amount to somewhere | from- $160,000.000 to $210,000,000. This does not inchitle the savings to be made | | from consolidations (group 2) nor from reductions in appropriations (group 3). | The conferences will continue. | Reductions in expenses require ac- | | tion in three directions: | Class 1. The amendment or repeal of realization of savings. Class 2. Legislation for the reorgan- ment functions, so as to eliminate Schedule of Methods Tentatively Agreed Upon to Reduce Ex- Penses Listed in White House Statement After Conference. Reductions overlap. unnecessary bureaus and com- missions and waste. Class 3. Reduction of appropriations which are within the authority of the existing laws creating and specifying various activities of the Government ‘This class being under consideration by the Appropriations Committee of Con- gress was not dealt with in the confer- ence. Group 1. The savings which can be effected | only by the amendment or repeal of existing laws or by the granting of ad- ditional authority in certain cases. 1. Authorize for one year the head of any department or independent es- tablishment, with the approvai of the director of the budget, to transfer some percentage, to be determined. <f any cific appropriation within the depart-| ment or the independent establishment. (Continued on Page 3, Column 2.) SALARY CUT FOES - PLANFINSH FIGHT Bitter House Battle Also to Be Staged Against En- forced Furloughs. BY WILL P. KENNEDY. A bitter fight in the House against either the proposal of the President for enforced furloughs without pay for of the Special Economy Committee for an 11 per cent cut on all salaries with 2 $1,000 exemption was promised last night by some of the most active mem- | bers who have already won notable vic- | tories against both the Republican and Democratic leadership—or bipartisan | measures. | | They put both the fiat 11 per cent | |slash and the staggered furloughs | without pay in the same class, declar- | ing that either proposal is a reduction | of salaries that are already on the | starvation border line. | “We can defeat the 11 per cent re- | duction proposal of the Economy Com- mittee,” declared both Chairman Con- | nery of the House Committee on Labor, | who has been directing the efforts of labor leaders from 48 States who have | been making a_poll of members, and | Representative F. H. La Guardia, Re- | publican, of New York, who led the fights that defeated the sales tax and protected the interests of the postal employes. “The President’s proposal is merely a subterfuge, to do indirectly what can- not be done directly,” declared Mr La Guardia. “It is essentially a sal- ary reduction proposal, although the resident does not say openly ‘cut sal- arfes’ It takes the low salaried man | who is scarcely getting a living wage | and cuts his pay under a living wage. | | (Continued on Page 3, Column 5.) CELLMATES SEE | MAN HANG HIMSELF First Precinct Prisoner, Arrested | on Drunk Charge, at First | Thought Jesting. | | While two fellow prisoners looked on, apparently believing he was only joking, Neil V. Johnson, 32, of the 400 block of Fourth street, hanged himsell with his shirt in a cell at the first precinct Police station last night, Johnson, a laborer, had been ar-| rested on a charge of drunkenness | | shortly after 8 o'clock. He was dead lit!le more than an hour later. The other prisoners in the,_cell, ac- | cording to police, were James R. Green, | 500 block of Sixth street, and Jere- miah Quigley, of the first block of second street. Both had been booked on drunkenness charges. Quigley and Green are said to have | told police that after Johnson had been in the cell a short time, he sud denly arose and said, “‘Well, good-by, old pals, I'm going.” They said they laughed and told him they guessed he “wasn't going anywhere." “Yes, I am. Just watch me," John- son was said to have responded. The two men apparently did not take him seriously even when he stood on his cot and ripped off his shirt. They did not call for aid until it was too late, and efforts to revive the man were not made until Policeman R. E. Maust came to the cell room to lock up another prisoner. The fire rescue squad then was summoned, but attempts to save John- son were futile, —— MYSTERY LASTS 32 YEARS PHILADELPHIA, April 9 (#)—An attempt to solve a mystery almost 32 years old was begun today by Miss Esther McGowan of Pittsburgh, who came here to learn who abandoned her | in this city on July 27, 1900. | | Women in Official Life—Page 8. Records show that when she was 9 | years old she was found in the Mana- yunk section by a special policeman | and placed by agents of a children aid society in St. Joseph's Home for | Orphan Children. { BILLION APPROVED QHI10 INAUGURATE S NAUCURATE HER FOR WAR VETERANS Allowance Voted by House After Pleas Against Cash Bonus Payment. By the Associated Press. A Dbillion-dollar allowance for next year's veterans' expenses was approved yesterday by the House just after an Government employes or the proposal appeal for definite assurances that more than twice this sum will not be voted to cash the soldiers’ bonus. Representetive Dyer of Missouri, vet- eran administration Republican, said on the floor “It is our duty to say to the world and to America that we are not going to further harass finances by voting to pay the bonus at this time.” Debate on the bonus issue—consider- ation of which formally begins tomorrow before the Ways and Means Commit- tee—flered up whes the huge 1933 ap- propriation for the Veterans' Bureau was reached in the independent offices supply bill. Largest Single Allotment. This figure of $949,237,795, the larg- est single allotment of any Feéderal agency, was approved without protest It represents a $169,572,912 cut under current appropriations, $51,161,732 un- der Budget Bureau estimates and in- cludes $100,000,000 for the increased | loans on the veterans' certificates voted | last year. But “the proposed full cash payment| of the bonus was attacked and de-| fended, in the first important debate | of the issue on the floor this session. Representative Bulwinkle, Democrat, (Continued on Page 4, Column 4.) TODAY’S STAR PART ONE—24 PAGES. General News—Local, National Foreign. Schools and Colleges—Page B-6. The Home Gardener—Page B-5. PART TWO—8 PAGES. Editorials and Editorial Features. News of the Clubs—Page 6. American Legion—Page 6. Naval Reserves—Page 6. ) Serial Story, “Martin's Summer”— Page 6. Spanish War Veterans—Page 6. Marine Corps News—Page 6. Veterans of Foreign Wars—Page 6. American Gold Star Mothers—Page 6. Y. W. C. A. News—Page 7. W. C. T. U. Notes—Page 8. PART THREE—I12 PAGES. Society Section. and Kathleen Norris' Article—Page 8. PART FOUR—S PAGES. Amusement Section—Stage, Screen, Music and Radio, Music News—Page 3. In the Motor World—Page 4. Radio—Page 5. Aviation—Page 6, Disabled American Veterans—Page 6. Organized Reserves—Page 6. Army and Navy News—Page 7. Y. M. C. A. News—Page 1. District National Guard—Page 7. Praternities—Page 7. Public Library—Page 8. PART FIVE—4 PAGES. Sports Section. * PART SIX—I12 PAGES. Pinancial News and Classified Adver- tising. D A. R. Activities—Page 12. Parent-Teacher Activities—Page 12. Community Centers—Page 12. PART SEVEN—20 PAGES. Magazine Section. Notes of Arts and Artists—Page 14. Reviews of New Books—Page 15. Cross-word Puzzle—Page 16. Bridge Forum—] 17 The Boys' and Girls' Page—Page 18 | Highlights of History—Page 19, Those Were the Happy Days—Page 20. GRAPHIC SECTION—S PAGES. World Events in Pictures. COLORED SECTION—8 PAGES. Keeping Up With the Joneses; Tarzan; Mr. and Mrs.; The Timid Soul; Moon Mullins; Reg'lar Pellers; Little Or- phan Annie, and Mutt and Jefl, STOCK INQUIRY [ | Whitney Appears Tomorrow‘ in Answer to Summons of Committee. BY G. GOULD LINCOLN. i President Hoover is “absolutely” back | of the Senate investigation of the New | York Stock Exchange, which is to be | opened tomorrow morning at 10:30 o'clock, it was revealed late yesterday by Senator Walcott of Connecticut. Senator Walcott, a member of the | Banking and Currency Commitee and | a prime mover in the demand for a | Stock Exchange investigation, in- formed some of his colleagues of the President’s position in the matter. The Stock Exchange inquiry is a move, it was said, in the interest of stabilizing the finances of the country. “Bear” Raid Feared. | The dramatic suddenness with which | the resolution calling for the appear- | ance of Richard Whitney, president of the New York Stock Exchange, was put | Friday at a meeting of the committee | was explained yesterday as a move to | head off a billion dollar “bear” raid on the exchange, which, it was said, was scheduled to ‘take place yesterday. } Some of the members of the com- mittee were tipped off by wire that the raid was coming, and immediately the (Continued on Page 2, Column 4.) BRIDGE GAME DEPLORED | Too Much of a Habit Says Towa Mission Society. SIOUX CITY, Iowa, April 9 (#).—| Bridge was condemned today because | of the “vitiating hold it gets on the in- dividual's time and attitude” by the Women'’s Missionary Society of the Towa | Lutheran Conference. The resolution “deplored and sin- cerely regretted” the existence of the| game. ICKET or B o) ICE CREAM snorgz °F CAMPAIGN GULCH 'URES OF THE SPRING DI Butler Would Invite Whole U. S. Senate To Visit Home State By the Assoclated Press. BELLEFONTE, Pa., April §.— Maj. Gen. Smedley D. Butler, campaigning for the Republican senatorial nomination, declared here . today that if elected he would invite the entire United States Senate to Pennsylvania to learn why s0 many thousands of its workers are jobless. “One trip through Pennsyl- vania,” sald Butler, “will give the Senate a splendid idea of what is wrong with the whole United tates. They will learn that de- ite all the intense interest in balancing the national budget nothing has been accomplished toward balancing the budgets of a vast army of those who are looked to by the national budget balancers to supply the taxes.” HAWAIL WILL RELY ONLOGAL ALIENITS Prosecution Ready for De- fense Move in Massie Case. Trial to Be Speeded. By the Associated Press. HONOLULU, April 9—The prosecu- tion in the trial of Mrs. Granville For- tescue and three Navy men accused of lynching Joseph Kahahawai made known today it was ready for any move by the defense to bring alienists into the case when the trial is resumed Monday. John C. Kelley, public prosecutor, said If it were necessary for the Territory to introduce the testimony of adenists he would rely on Dr. Robert Faus and Dr. S. D. Porteus, local psychologists. Dr. Edward Huntington Williams and Dr. James Orbison, Los Angeles alien- ists, arrived here shoftly after the open- ' (Continued on Page 2, Column 7.) “BEAR" TRADERS ARE JOLTED BY SUMMONS FROM SENATE Flurry to Cover Short Contracts Follows Sudden News of Inquiry, but Stubborn Liquidation Still Progresses. By the Associated Press. NEW YORK, April 9.—Stock market bears, who were complacently beginning to believe that the threat of a senatorial investigation had been a bluff, received a jolt today. There was a brief but feverish flurry to cover short contracts when the stock market opened, as bears had learned overnight that the investigation was | actually to begin on Monday. But nothing in the nature of a bear stampede occurred, and after stocks had been bid up $1 to $5 a share in the first few minutes it became sp- parent that the stubborn liquidation of the past several days was still in prog- ress, and advances were more than half lost. Many prominent shares, how- ever, closed with gains of $1 to $2 or more. In the meantime, the Stock Exchange was busily preparing the information which Richard Whitney, president of the exchange, was requested to provide when he appears as the first witness before the Senate Committee on Bank- ing and Currency on Monday. ‘The exchange ordered all members to submit detailed reports of short ac- counts, including names of owners, (Continued on Page 2, Column 5. ) THE GRIDIRON C CRIDIRON LUBACTS CONVENTION ROLES Stirring Scenes in Chicago . Foretold Before Hoover and Cabinet. | - i | The Gridiron Club gave its guests | prophetic previews of the Republican {and Democratic National Conventions | at its annual Spring dinner in the Wil- lard Hotel last night. The newspaper |club ushered in its own forty-eighth year and at the same time celebrated a century of alleged progress in politics, for the first political naticnal convention in | this country was held in 1832. Some | of the scenes depicted by the club were | | both synthetic and syncopated. | ' Notable authorities from the pages of | “Mother Goose,” “The Arabian Nights” and “Alice in Wonderland,” assisted | Diogenes, Calamity Jane Democrac | the Shadow and even Gunga Din, fur- nished bewildering enlightenment for President Hoover, the guest of honol members of his cabinet and administra- | tion and other guests, including leaders | of both political parties and several | Democratic aspirants for the presi- dency. The keynote was sounded by Walker Buel of the Cleveland Plain Dealer in his inauguration speech as he took over the presidency of the Gridiron Club after Mother Ohio had exhibited other offspring from her famous presi- dential succession down to Postmaster General Walter F. Brown, Senator | Simeon D. Fess, chairman of the Re- | | publican National Committee; Joseph ! R. Nutt. treasurer of the Republican | | National Committee. and the well | known Anti-Saloon League. Sees Big Year Ahead. “We usher in the Spring-time of a great vear,” said President Buel, “the centennial ‘anniversary of the first na- tional political conventions; the Bi-| centennial observance of the birth of the-Father of His Country, and the| quadrennial assurance of at least two! political parties that the minarets of | Bagdad are just around the corner. | “All the world turns to Uncle Sam. | as the man with the magic hat which | can produce the bunnies. Congress produces taxes and more taves, the! (Continued on Page 14, Column 1.) | FACES CONTEMPT CASE FOR OBEDIENCE T0 JUDGE Chicago Criminal Court Clerk Fails to Follow Order of Lower Bench. By the Associated Press. CHICAGO, April 9.—George Seif, clerk of the Criminal Court, must show cause Monday why he should not be cited for contempt of court for disobey- ing one judge to obey another. Circuit Judge Michael Feinberg today ordered Seif to appear before him peér- sonally to explain why he refused yesterday to send a clerk to his court- room to attend the needs of a special grand jury Judge Feinberg impaneled to investigate himself, State's Attorney John A. Swanson, an alleged alliance of “Scarface” Al Capone with poli- ticlans, and other charges raised in the current State’s attorneyship primary cam) Judge Harry P. Fisher, chief justice of the Criminal Court, ordered Seif io | ignore Judge Feinberg's instructions. He also declared Judge Feinberg's ial grand jury illegal and ordered impaneling of one under his own supervision, | try to injure those returning the baby. $50,000 IS DELIVERED AFTER CONTACT WITH KIDNAPERS OF CHILD 'Negotiators for Money Identified Themselves as Actual Persons Who Stole Colonel’s Son. U. S. TREASURY ISSUES LETTER IN EFFORT TO TRACE CURRENCY Norfolk Intermediaries Declare New De- velopment Is Not Connected With Negotiations Conducted by Them. By the Associated Press. TRENTON, N. J, April 9.—Col. Charles A Lindbergh through State police tonight authorized a statement that a ransom of $50,000 was paid “to the kidnapers (of his son) properly identified as such upon their agreement to notify him as to the exact where- abouts of the baby, but the baby was not found at the point desig- nated.” “Several days were permitted to elapse,” said the statement, “to give the kidnapers every opportunity to keep their agreement. I was not intended to use the number on the species in which the ransom was paid, but inasmuch as the kidnapers have failed to keep their agreement and have not communicated since the ransom was paid it is felt that every remaining possible means must be utilized to accomplish the return of the baby, and to this end the co-opera- tion of the Federal Government was requested in tracing the bills used.” The statement was signed by-Col. H. Norman Schwarzkopf for Col. Lindbergh. Serial Numbers Circulated. Earlier in the day it was learned at Washington that a circular of nearly 60 pages, giving the serial numbers, kind of currency and denominations of $5, $10 and $20 notes, had been distributed through 1 the country by the Treasury asking that it be notified if any of the i bills are received. t This information, however, was withheld by press assoeiations on the ground that the efforts of the Treasury might be injurious to the Lindbergh search if published. | The circular, directed chiefly to banks and firms where large amounts of money pass over the counter, was sent from the office of Walter O. Woods, Treasurer of the United States. The serial numbers given in the Woods money circular are for _bmé totaling $50,000: Half in twenties, $15,000 in tens and $10,000 in fives. The Woods circular said: “April 6, 1932. “To the President (of the banking institution addressed): “There is inclosed a list of the serial numbers of certain United States notes of the $5 denomination, United States gold certificates of the $10 denomination, and United States gold certificates and Fed- eral Reserve notes of the $20 denomination. “If any of the currency so listed is received by your bank it will be appreciated if you will take note of the source from which you |received it and immediately notify the Treasurer of the United States, Washington, D. C., by telegraph. “Very truly yours, “W. O. WOODS, Treasurer of the United States.” Two Theories Advanced. NEW YORK, April 9 (#.—Col. Charles A. Lindbergh has paid a ransom of $50,000 for his kidnaped son, but the baby has not been returned. This was disclosed tonight in a statement issued through the New Jersey State police. It had become known earlier in the day that a circular giving details of the currency had been distributed to banks through the country by the Treasury with a request for telegraphic notification if any of the bills were seen. The date of the circular, Wednesday, April 6, coincides with re- liable information that the payment of the ransom was effected Monday on an airplane flight which Col. Lindbergh and Col. Henry Breckinridge, his attorney, made in the neighborHood of the island of Marthas Vineyard, Mass. The pair carried a suitcase, suitable for holding currency and a blanket. As the statement pointed out, “sev- eral days” elapsed between the payment and the action by the Government. Tonight's statement lent itself to twp theories: One, that the ransom had been paid to the real kidhapers and they “double-, crossed” the colonel, became fearful of completing negotiations of for some unknown reason decided not to complete thé transaction. The other was that clever criminals had succeeded in forging a satisfactory identification of themselves as the kidnapers and seized upon the opportunity to extort $50,000. In consideration of these theories it was recalled, however, that Col. and Mrs. Lindbergh have publicly pledged themselves not to Also from the start of the world-wide official and private search certain intimate characteris- tics of the baby have been withheld for the purpose of clinehing identification of the child at the proper time. Norfolk Connection Doubted. At Norfolk, Va, the Very Rev. H. Dobson-Peacock, one of three men there who have been seeking the child's return since eight days after the infant was kidnaped March 1, said he did not believe there was any connection between their efforts and the failure of the ransom payment announced tonight In some quarters Col. Lindbergh's flight Monday to Marthas Vineyard and the absence at the same time of John Hughes Curtis, one of the Norfolk intermediaries, had been connected. Curtis said that he had seen Col. Lindbergh at an undisclosed place last week end, and asserted the baby was safe. ’ A pilot believed to be the colonel and three associates were seen in an amphibian plane off the Massachusetts Coast on Sunday. The colonel was absent from his home at that time, his first trip since the kidnaping. The disclosure of the failure of the ransom payment and the fixing of the approximate time of its delivery seemed to explain the air of optimism which prevailed at the colonel’'s New Jersey estate last Monday. y Tonight there was every indication that this feeling had been replaced by one of decided pessimism. 3 Police Remain Silent. In response to a series of midnight emergency questions regard- ing the time and place of the ransom payment and the identification offered by the kidnapers, New Jersey State police made this state- ment: “We can give no further information at this time, feeling it might interfere with the proceedings of the investigation.” . “In what channel will the investigation proceed mow?” police were asked. - “The police authority has been working during the past weeE in continuation of this investigation and no change is anticipated. “So far as we know (Morris) Rosner is in New York,” police said in response to a question about the whereabouts of Rosner, who at one time figured in the case as an undercover man for Col. Lindbergh. Abraham Kessleman, attorney for Salvy Spitale and Irving Bitz, originally designated as the Lindbergh's “go-betweens,” said he knew beyond question that his clients had no part in the failure of the ransom payment. (Continued on Page 2, Column 1.)