Evening Star Newspaper, June 1, 1932, Page 1

T——— e WA 8 Weather By Partly cloudy. slig bly local showers partly cloudy. gentle west winds at uoon today today w low Temperatures Full report on page 9 HER ireau Foreeast ) htly warmer tonight to moderate Highest 80 At 5 am est, 56, b ¢ Foening Star. WITH SUNDAY MORNING EDITION “From Press The every tion Star's car city deliy as th red te par Within an Hour” block and the regular edi- to Home rier system covers » Washington homes vers are printed Yesterday’s Circulation, 122,229 | W WASHINGTON, D. (., WEDNESDAY, JUNE 1 s 1932—THIRTY-SIX PAGES, *%x% (#) Means Associated Press. TWO ('EXTS.* HOUSE RUSHES TAX BILL FOR CONFERENCE ACTION; ECONOMY BEFORE SENATE 238,605,000 ~ Expense Cut Is Proposed. Britten Plans to Offer Sales Levy Again, CONFEREES GET MEASURE EARLY $1.115.000,000 Now Included in Rev- enue Schedules. B ociated The billio tax bill was sent to conference today between the Senate and House for adjust- ment of differences between the two branches. The House did this by unanimous consent as soon as the bill reached there from the Senate, a few minutes after noon. Thus Congress was speeding to conclusion its greatest peace-time task—that of balancing off a gap- ing Treasury deficit to preserve the American dollar from foreign attacks pictured by President Hoover. The House acted unarimously, instructing its conferees to stand by this or that provision of the original House bill. This will expedite action by the conference ilouse Conferees. rees appointed Reoresentatives Cc Crisp, Georgia; Rainey, Oregon, and Tread- tts latter _two . the first three, Dem- not for th> nother ~ the was ind be made gencral manufacturers ritten. Republican, of apermen today he i sible means” to insert the sales 1 the bill. It has Been rejected both by the House and Senate. ard Means Com then zmend it to eliminate the necessities of life,” Britten said. What with all our nuisance and other excise taxes, it s to me that we might well put in the sales get a sound and se i Britten later introduced a resolution providing for a rule which would make in order a sales tax amendment. He explained the adoption of the rule would mean imposition of a 2.25 per cent tax on the sale of every sold in the United States by a larze manufacturer or producer thereof, ex- cepting foreign and garcen products, food, clothing. school books and bool of religious reading. and material man ufactured exclusively for use in houses of_worship. ) The acceptance of this tax, Britten said, would provide $400,000.000 in reve- nue and would make unnecessary any increase in the existing income fax rates in either the upper or lower brackets. It would also make unneces- sary, he said. a lot of nuisance taxes and stamp taxes now carried in the bill The revenue measure, designed to raise $1.115.000.000, was passed by the Senate 20 minutes after midnight at the conclusion of a 14-hour dramatic session without parallel in recent Con- gresses. Responding to a suddenly-planned and personally-delivered plea of Presi- dent Hoover, the Scnate swiftly built up the bill by $280.000,000 with the cleventh hour addition of taxes on gasoline and electricity and increased income rates. Passed Bill, 72 to 11 It turned a deaf ear to the President” call for a manufacturers’ sales tax, de- feating this by the decisive margin of 53 to 27 just before passing the bill by the cven wider margin of 72 to 11 The bill was dispatched to the House for a conference to adjust many differ- ences, none of which were expected to (Continued on Page 4, Column 4.) 72 il \ GLASS BILL GIVEN COMMITTEE’S 0. K., Virginian's Substitute for Golds- borough Stabilization Act Wins Approval. | | By the Associated Press The Senate Banking Committee to- day reperted as a substitute for the Goldsborough dollar stabilization bill a proposal by Senator Glass, Demo- crat, of Virginia, to make all Govern- | ment bonds eligible for the issuance of currency. ! Chairman Norbeck said this wo “permit the issuarice of probably billicn dollars more of currency. He added it was thought the substitute 1 would “bring about a quicker ex- P nsion (of currency) than the Golds- | borough bill” | Norberk said virtua developed in the com | proposed by Senator Glass, a former Democratic Secretary of the Treasury. It will be reported immediately to the Senate | “A discussion in the committee,” Nor- | beck said. “led to the view that infla- ticn might be a very good thing. but that inflation as provided in the Golds- borough bill might not be the best way. The measure, sponsored by Repre- sentative Goldsborough, Democrat, of Maryland, which passed the House, would direct the Federal Reserve Board to stabilize the purchasing power of the dollar at the 1921-1929 level by continuing its open market operations. The Glass amendment provides, Nor- | beck explained. secure curren: v no opposition ittee to the plan | on their (Gov- | Midinas to the extent 100 Per Cent Tax On Crime Incomes Included in Bill By the Associated Press, Invoking the age that the powsr to power Lo destroy, wrote into the revenue biil las night a 100 per cent tax on all incomes obtained by crime. If tni: outrizht confiscation of the remains in the . bootlcgge! t the merc: vages of sin Senator Glenn of Illinois put the harsh provision into the bill without meeting an objection, He called upon the Government to end the “part with crime. which he cl - cises share of vie same 2 that e man who earns 1comes . ves by income to the I Bureau and pay fear that the used to prosecute them the: declaring their Revenue without cturns could be Where failed to do so, the Gov used tho income n gang leaders. .. CLERKSFIGHT PAY T PROPOSHL Steward Assails Appropria- tions Committee Plan as *Outrageous.” Federal emp day es were preparing to- for a vigorous counter attac the proposal of the Senate App: tions Committes to cut their pay per cent and subject them to furlous out in these branches where hin the 10 pay mployes Luther C. ling the “ou cam Steward. the p Appropriations Con i and declaring the nized 1d oppos2 it thetr £ forward-locking seckin the support all legislators. of Suffered Wage Losses. meont {rem 3 an ex- completed by the “employes of United Stat ed treme: due to de of th> dolk of living.” At the e 1913, ines in the purchasing power ar and increase in the cost same time. W president of the Americar of Labor, irsued a A. F. of L. Feadqua:ters tomorrow n of the Emergency Committee, formed three weeks ago with city-wide repre- sentation to combat Fe As proposed by the Sen tee, _lhe pay reduction lopping off cf the Governmen $121.000, much of which m from that class of workers g $2.000 or less annually. The cut in the rict alo; was estimated at $13.000.- h m Gri Federation I for a meeting at nt pay roll rust come Ia additio the Government establishments are menaced by the blanket 10 per ¢ cut in 21l appropriations ordered the Senate—a move that has previ been considered as endangering jobs of thousands of werkers. The force of this, however. would be lessened somewkat by furlough proyision. and another w would allow Interchangability of ap priations within a department or es lishment, up to 12 per cent. Blames “Selfish Interests.” In_announcing the determination of the Federation of Federal Employes t) battle the pay t. President Stewa said it would bring’ the wages of thou cands “bencath the level of bare sul sistence.” and denounced the proposal as “inspired by selfish interests which (Continued on Page 4, Column 2) 4,000 CHINESE REDS DIE IN SEVERE WUHAN FIGHT 3,000 Killed in Battle and 1,000 Others Driven Into Han River and Drowned. lik hich ¥ tab- By the Associated Press. HANGKOW. China, June 1.7&[)1‘137‘"‘ authorities announced today that pro- vincial troops defending the Wuhan di trict had adminictered a crushing de- feat to the Chinese Communists who have menaced the area for many wecks. Three thousand of the enemy wcre killed and another thousand were driven into the Han River. where they drowncd, the bulletin s Scores of bodies were “ating down the Yangtze toward this city, it was reported. The battle centered at a point about 60 miles northwest of here. The mili- tary authorities said the victory defi- ulg nitely removed the Communist threat. ' Justice f PAY REDUCTION PART OF PLAN McKellar Wants 10 Per Cent Taken From All Funds. BY J. A. O'LEARY. Carrying a flat 10 per cent cut in salaries of all Federal and Dis- trict employes, reduction of an- nual leave from 30 to 15 days and other restrictions on Government personnel, the long-awaited econ- omy program takes the stage in the Senate this afternoon. As it emerged from the Appro- priations Committee at midnight, the measure called for a total saving in Government expendi- tures with a House total of only $5: 272,740. Approximately one-half of the total to be saved was taken from salaries through the 10 per cent cut, which it is estimated will amount to $121,050,000. | An important development to- day was the statement o Senator McKellar. Democrat, of Tennes- see. that the Senate would go on with the policy of cutting the of the various appropriation for the coming fiscal year by This would mean tion of other items of ex- penciture besides the salary al- lowances. Policy Will Continue. mitiee expected begin work on the o'clock this afterncon, Jones also the general the totals of 1 bilis Whil ile t the variou: another agreed be 2 85 nued on Page 5. member that there through the Column 1. ALLEGED DYNAMITER LYNCHED IN KENTUCKY Mob Binds Jailer, Seizes Prisoner and Hangs Him to a Tree. PRINCETON. Ky. June 1 48 removed from the by a mob late last night. and was found hanging from a tree es from here tcday. The party entered Jailer O m nd him, took his ki Walter M was county his bod. three Iynching Jones' and departed with the prisoner without | arousing any citizens. Merrick was to have been tried June 13 on a charge of dynamiting the store of M. P'Poole at Hopson. near here, last February. P'Poole was seriously injured, and was in a hospital at Nashville. Tenn.. two months. A boy near the building suffered a broken arm Intense feeling over the explosion caused fear of mob violence after Mer- as arrested in February, but v d to have subsided. Merrick. according to his fellow prisoners. said nothing and made no sound when taken The explosion, officers charged, was set off by Merrick as a result of his son being whipped by a school teacher Merrick carried the case to court, where P'Poole, as chairman of the County School Board, sided with the teacher. COMMITTEE APPROVES ; BILL ON KIDNAPING By the Associated Press. The Cochran bill to make interstate kidnaping a Federal crime punishable by death wds approved today by the | House Judiciary Committee. The bill was amended by the commit- tee to provide that the death penalty | should not apply when a jury recem- mends mercy. The committee also strengthened it by adding a section that violators of the law may be arrested at any place in the United States by any peace officer of a State or its subdivisions where these | officers have been designated by the Governor and Federal Department of the purpose. STRANGE 40-FOOT SEA MONSTER SIGHTED TWICE OFF VANCOUVER ‘Blue-and-Whi!e Leviathan, Unlike Known Marine Ani- mals, Is Not a Whale, Seamen Declare. By the Associated Press. VANCOUVER, British Columbia. June 1—The sighting of a 40-foot bulbous sea menster, blue and white in color, has been duly recorded n the log of the sicamer Princess Adelaids, Twice during the past week. while the Princess Adelaide was plyiig the that national banks|waiers betwe:n Vanccuver Island and | the British Columbia 1 inland. offcors here 13 ) | Tt was sighted swimming with great | speed m waters about 100 railes north | of ere, they said. The creaturs was first seen off Cape | Mudge last Thursday morning at 4 oclock. Later it was observed between Cape Mudge and the mouth of the | Campbe!l River, about 5 miles north of | its previous position. The creature was not a whale, offi- oecause it did not blow, snd 1 to recognize it as any other of $238,605.000, as comp:\rvdt CONFERENCE SRR NN N ) ~ ECONOMIC PARLEY Mellon’s Suggestion Inspires Britain to Consult With Other Nations. | | By the Associated Precs ! LONDON The British gov- | ernment is consulting the natio | Europe about the value of a worid conference in amelior. the general economic crisis. This was revealed today by Sir John | Simon, the foreign minister. in parli | ment The consultation was said. by a request from . Mellon, the United States j dor. who ask ment belie | consider the t modity prices wo June 1 he ins an on | June 16 must tha § ation “It has to be remembered,” he said. “that the terms of reference of the conference at Lausanne i | the obiects to be sought se! ment of reparations natura ficult may prolong the present world crisis, | Overlapping Is Feared. | um hercfore, the United States sentatives ne to end pa C | tappa other {than war debt and reparations isst there is a danger of an overlapping. 2nd the questions of time and place ‘main 1> be consid ven if er conference were decided on | the time, the importance | ¢f co-operation by the United States |in such a discussion is so great th his majesty's government are los T time in consulting the other govern- ments w to the suzg: (apparen Melion) which has been made.” i U. S. TO JOIN PARLEY. g | Formally Accept Britain's Bid to Dis- | cuss Economics. | By the Assoc The United States has formally con sented to take part in an inteinational cconomic conference to consider methods of stabilizing world commodity | prices. | This willingness was expressed vester- i day to Sir Ronald Lindsay, British Am- bassador, in response to an invitaticn presented by Great Britain. The meet | will be held in London after the La sanne Conference and will be on eco. | nomic topics only | Its date and definite agenda are yet te be set | _The British Ambassador asked Acting | Secrctary of State William R. Castle, jr., a fortnight ago to give consider: | tion to such a conference. Meanwhile, Ambassador Melion discussed the sub- ject with Sir John Simon, British for- eign secretarv, in London. Yesterday, after Secretary Stimson and Secretary | Mills talked with President Hoover con- cerning _the proposed conference, the | (Continued on Page 2. Column 3) Summer Shopping It seems that Summer is at last upon us ard the stores are full of attractive Summer things at prices lower than for many years. The Star is the great market place for all that is newest and best and is the daily shopping guide in most of the homes in/ Washington. Yesterday's Advertising (Local Display) Lines. The Evening Star. . . 51,101 ... 18,090 8,204 4,155 2d Newspaper 3d Newspaper 4th Newspaper 5th Newspaper 2,052 Total .33,401 The Star’s circulation yesterday was 122,229, an increase over the | corresponding day last year of | nearly 6,000 copies and an in- crease in the last three or four | years of cver 15.090. (Other fane newspapers) ... FUROPE CONSIDERS Watwood, | ush popped to McManus. [Box Score | HTLERWONTWAR WASHINGTON. AB. R. H. 3 1 1 o o [ E. Myer, 2b. « Manush, If. West, cf Cronin, s Reynolds, rf.. Judge, 1h Bluege, 3h.. Spencer, ¢ P ) 1 0 o0 [ Nazis Adopt Policy of Neu- trality and Await Elec- tion Time. Brown the A BERLIN o June 1.— Adolf -eved former Austr o ihreat Hitler, BOSTON. AB. R. o0 1 0 0 o 0 o 0 who 1 h Oliver, of he anus, 2b. Webb, rf..... Joiley, If.. . Pickering, 3b Van Camp, 1b. as today inclined leaders of his indicated dquarters a e to ounced late Nazis would not support a cabinet formed by Fran Papen, former officer of the gen: who was Connolly, ... Weiland, p. Moore, p Reder former mar . Heinrich Bruening as 827 Reder batted for Weiland in eizhtl Watwood ras for Jolley in ninth. SCORE BY INNI k. 1 £56 7 % 9—R Washington 2 0 0 0 0 0 0 0 0~ 2 Boston ... 00000000 1~ 1 SUMMARY: ted in—Cronin. Fevnalde, hiis—Cronin. Manush. {ts—West, Rhine. most litical speeche cision of the Nazi po: o be formally made. i tende leaders Runs b, T Ti Stolen base—Mver. Sacrifice—Judge Dovble plass—Bluege to Myer ta Judge. Mc- Manus to Rbyne ta Van Camn Left on bases—Washinzion. 4 Boston. Base on ball—Of Weiland. 4 Struck out—By by by Moore. 1 Off Weiland. € in R ianings her—By Weiland (Revnolds). Messrs. Nallin and Guthrie. ATIONALS BEAT Cronin’s Double and Reyn- olds’ Single in First In- ning Bring Victory." Jotley. hiee-base 10 Brown Weitand. man n: Could Have B-aten Cabinet. to cppose the would sting it on in tre Reichstag have 143 € S Commun- 68 Centris's to draw upon The Prussian Di-t, whose first session broke up in a fight a week 2go, met agein tocay to complote organization time the police took unusual pre- icns to prevent ansther riot strong policc guard was placed at all the entrances ACCUSED JUDGE FREED Last Mancuso Indictment Quashed BY JOHN B. KELLER, BOSTON. June 1.—Flushed with a inning victory over the Ame League champions in Philadelphia yes- terday, the Nationals continued their winning w here this afternoon, de- feating the Boston Red Sox in the opening game of a series. The score was 2 to 1. in Gotham Court. NEW YORK. June 1 () .—The last of three indictments against former Genceral Sessions Judge Francis X Mancuso, growing out of his connection with the defunct City Trust Co., was quashed today The indictment dismissed today charged Mancuso gave perjured testi- money before the grand jury which in- dicted him last January. . Mancuso was acquitted in March of another perjury indictment. Last week he was freed by a directed verdict of a charg> of par- ticipating in the alleged fraudulent in- solvency. FIRST INNING. WASHINGTON—Myer walked. Manush was out at first, McManus to Weiland, who covered first; Myer taking second. West popped to McManus nin doubled to the embankment in left field, scoring Myer. Reynolds singled to left. scoring Cronin. and when Jolley fumbled the ball Reynolds took second on the error. McManus threw out Judge. Two runs. BOSTON—Oliver lined to West. Mc- Manus hoisted to Reynolds. Cronin threw out Webb. No runs SECOND INNING. WASHINGTON—Connolly made a good catch of Bluege's foul. Spencer popped to McManus. Brown bounced out to Van Camp. No runs. BOSTON—Manush was charged with an error when he dropped Jolley's after a long run. Mvyer then threw out Jolley. Cronin threw out Pickering from deep short. - Myer threw out Van Camp. No runs. THIRD INNING. WASHINGTON—Myer fanned. Man- West, tripled Rhyne threw out | | Despite the passage of the re;rnfie 4 Sl bill by the Senate last night and the e Y| expectation that the measure will be Cionin. N IAKs, | finally isposed of within another week, BOSTON—Myer tossed out Rhyne. Senator Watson of Indiana, the R Myer went back for Connolly’s looper. | publican icader. took the view today Wetland was called out on strikss. No| that it would be impossible for Con- runs. | gress to complete its labors and ad- | journ before July 1. |~ A number of Senators, however, still are hopeful that the great desire of | many members of Congress to wind up | business here and go home may speed {up legislation and make an adjourn- ment possible by mid-June. Confronting the Congress still are the economy program, which comes up for consideration in the Senate today in connection with the legislative appro- | priation bill; the relief program, the | approriation bills, the home loan bank o bill and the Philippine bill Radio P:-zrams om Page C-8 " Ai"(he leaders have agreed that the b FOURTH INNING. WASHINGTON—Reynolds singled to | right. Judge sacrificed. Van Camp to McManus, who covered first. Bluege sent a short fly to Jolley. Rhyne got Brown’s foul. No runs. BOSTON—Oiiver beat out a grounder | to deep short. McManus drove into a double play, Bluege tp Myer to Jucge. Webb beat out a grounder back of sec- " (Continued cn Page 2, Column 1.) e ONPAPEN CABINET WATSON SEES ADJOURNMENT AS IMPOSSIBLE BEFORE JULY 1 Eccnemy Program, Relief Measures and Appropriation Bills Remain for Disposition. A F. L. SUPPORTS GARNER PROGRAM T0 PROVIDE RELIEF Labor Indorses Direct Aid, Spokesrtnan Tells House Committee. |ASKS U. S. BUILDING | WORK BE PROLONGED Declares Purchasing Power of “Masses” Has Declined by 11 Billions a Year. coliar workers 8,000,000 men Th s 8.000,000 men out average man betwee in dir e $100,000.000 | for d dequate 1 priate more | less Con gotten behind the m hope f pro- Upper and the | sction Cor- v for the sale n foreign m Opposes Waterways. posal v ttee decided five Wag ).000.000 Demo- SEABURY DEMANDS WALKER REMOVAL ON BOND CHARGES ‘Declares Mayor Received Securities of Firm Which Got City Contract. INSISTS OWNERSHIP VIOLATED CHARTER ‘Execunve Had Testified Money | Represented His Profits From a Pool NEW YORK, to hold stock in a company ract,” Seah said, grounds for rewroval s0 hield and is so provided section 1533 of the city charter.” Included in $2i Seabury 500 Batch. d 10 bonds of the Bronze & Steel Co. were 1 that wo profits of £1.000.000 a cab company T age house was i Awarded City Contract. J_ Rosenbloom, tre: - & St ua a city cont standards f d the contract was 1 the in securities— the 10 Reliance ted in Walker Bank. ced documentary evi- t <n December 29, of the Peliance bonds, $30 cach. were deposited in & bank account g to the mayor testified that fay 6 the com- 1929. cut of & ompanics. He cent e ure bonds and 75.000 shares of no-par valtie stock were issued. sue. Rosenbloom testified, ryritten by J. A. Sisto & Co., bought cut the whol issue and o -dol O! lar i e deb vertible into common stock at the op= i the Democ: abroad; of a 4 t Reconstruc- | $300.000.009 « tien Corpo ed to States f $500.000,000 b struction. PARROT MAY SERVE AS SLAYING “WITNESS" Green and Gold Bird Brought to Trial of Mississippi Man in Min- strel Show Double Killing. By the Associated CONROE. Tex and gold par:ot nt anteroom of the ccurt house here to- day where Durrell Kendall of Missis- sippi is on trial for a double ax mu and it appeared an attempt woul made by the prosecution to introduce the bird as a “witness Screams of the parrot led to the dis- covery of the bodies of Kendall's two! alleged victims, L. H. Brownlee and | Martha Smith, in a minstrel show tent at New Caney. Tex.. December 10. Ken- | dall was a motion picture projectionist | for the show, which was operated by Brownlee and the woman | Authorities believed the two had been | dead several days before the cries of | the starving parrot. part of the tent| show menagerie, led New Caney resi- dents to go into the tent and inves- tigate. | T ond 1s | | economy program. the approriation bills and the relief program must be passed before an adjournment is taken. At the | beginning of the consideration of the economy program, it was clearly indi- cated the economy program would meet serious opposition and probably lead to long debate. With the President and Speaker Garner of the House far apart on the relief program, the prospects for a protracted fight on relief measures | seems bright. _However. the_chances ’(ur an agreement between the President | and the Senate Democrats, who have worked out a relief program of their | own. appear much brighter. | The Senate Appropriations Commit- | tee still has six major_appropriation | bills to report to the Senate, among | them the Army bill, which is likely to |lead to much debate because of the | efforts to curtail personnel. | which are convertible tion of the holder Democrats Deny Charge. Assemblyman Louis A. Cu tic minority on mittee protested there was that the bond coupons were the mayor The ier of the com- no_proof cashed by d shows." replied Seabury, date 1 have e deposited by the mayor He says he turned tonds over to Mrs. Walker, where n Senator Joh ing; that men in his Democrat, contention stock in« and said it val under the cit was grounds for charter Quotes City Charter. honors will remember the ¢ to the effect that these bonds, into stock, were subsequently turned over by Mavor Walker to Mrs. Walker." Seabury <aid. He then read into the record section 1533 of the city charter. which states that any city official who is a stock- holder in or is directly or indirectly interested in any corporation having a contract with the Citv of New York (Continued on Page 2. Column 2 RECEIVER SOUGHT FOR WARNER BROS. ‘Looting Operation” Charged in Suit Filed in Court in “Your Delaware. Br the Associated Press WILMINGTON, Del., June 1.—A suit for a receivership was filed against Warner Bros. Pictures, Inc, in the Uniied States District Court here today by Harry Koplar of University City, near St. Louis, Mo. The suit also asked for an accounting from Harry M. Warner, Albert Warner and Jack L. Warner and other officers and directors of the corporation. The bill of complaint asked that “if it be made to appear at the hearing that the negligence of the individual defendants, in failing to enforce the personal liability of former directors should have aggravated the corporation’s loss that the present directors be ordered to account for losses sustained in their negligence.” The bill also asked that the three Warner brothers be charged with the value of 100.000 shares of Warner Bros. stock alleged to have been received by them from the corporation in 1929. It is alleged.payment of this stock was a “looting operation” and that the cor- poration was damaged to the extent of $13.000,000. ‘This is the third receivership proceed- ing brought againsi the company ‘a r22en’ mon'hs ¢