Evening Star Newspaper, July 24, 1932, Page 3

b THE SUNDAY HOOVER LAUNCHES HOVENINDLSTRY Seeks Concerted Action of Big Busincss to Boost Employment. long as manufacturers are unwilling to, take risks, it seems to be felt -that| concert of minds would be helpful at| this juncture to overcome the dead | center which this situation presents. A gradual rise in commodity prices o the lat en weeks IS Te- garded as having furnished a go backeround for bringing industrial leaders into a concerted program. (Continued From First Page.) This trend has been remarked for six | weeks and. Federal officials point out, | has been reflected in the curity markets. While p ties have not gone up. said, has there been any general de- cline in that period. A “flattening” of | the price line over a sustained period | is taken as a hopeful sign, coupled with more recent signs of increased activity in the steel and textile ficlds, The prices of hogs, cattle, lard, hides and becf have moved upward. The hog prices have been particularly encour aging to the great live stock markets. Butter and eggs. corn, rubber, sugar and ol have had upturns. The petro- leum price gain was marked. consider- ing the depressed condition of the in- dustry for months, and is ascribed to the excise tax written into the revenue act and to the recent restrictions in California The Department of Labor commodity price index for July 16 5. a slight | increase over the June 18 figure, which was 63.7, the lowest point to which the index dropped. On January 2 it was 68.3. In recent weeks the price level | has remained stable. ! The index price of farm products on | January 2 was 546, and this dropped | 10 454 on June 18 and went up from | that point to 48.7 by July 16 The Index price of food products on January 2 was 68.7, on June 18 it was | 58.5 and on July 16 up to 612 The index price of fuel and lighting, | which_includes coal, oil and electricity, | Wwas 67.8 on January 2 and, unlike the other commodities. showed a steady up- ward turn to July 9 and receded 0.5 to 72.8 on July 16. The Department of Labor figures | in all prices at show the low point e 18, with slight increases since at time. | Bond prices gained in the same period and stock prices remained on a flat line for the six weeks. Municipal and commercial bond issu of recent weeks have been pretty well taken up. | There had been no such issues for months previously i In the building contrzct line there has been a flatt tendency. with the | Price Line “Flattened.” s of securi- | neither, it is| i l t tening stecl and automobile indusiries gaining | perceptibly Administration Takes Action. The administration, meanwhile, is not | only carrying on its greatest construc- | tion program and providing work for as | many as can be employed on useful | public works, it is pointed out, but the | President is credited by administration leaders as looking to the future in his pressing the St. Lawrence seaway treaty 10 a conclusicn znd in his influence t:- | ward settling the Eastern railway con- solidation project. each involving about a 10-year program. with the St. Law- rence plan projecting expenditures up- wards of a half billion d-llars. The intergovernmental debt mora- torium and stand-still agreement and the general reconstruction program for American business are mentioned as | other phases of the President’s action | which brings him t> the point of look- | ing to indusiry for consultation on the | future course i By the end of this year, through a | building program that cost $260,000.000, 350,000,000, $410.000.000. $575.000.000. | $670.000,000 and $616.000.000 in the suc- | cessive fiscal vears from 1928 to 1933, | inclusive, practically all the esesntial | functions cf the Federal Government | will be housed in its own buildings and | be saved enough in rental charges al- | most to pay the interest charges on its| increased capital investment. The President is regarded as having | delayed approach to industrial leaders for another ccmmunity of minds until Coneress had adjourned and ' ended the uncertainty of the legislative situation. He faces the usual business uneasiness ot a presidential campaign year, but apparently has concluded that SPECIAL NOTICES. VACATIONISTS THE_ DAVIDS FER & STORAGE CO.. long-dist ing specialists. have daily mot service han inks. baggage. riages. etc.. Jersey ~ Shore ional 0960, SIBLE FOR ANY Route 1, D. C, 26 WILL SELL 5230 EQUITY IN NEW CHEV- rolet car for 5150, Col. 10168. Ap!. 8 ANY WATCH REPAIRED BY EXPE ‘material cl SCHILL ! | | i TTRANS- to a T I WILL NOT BE,_ RE: debts other than ih JOHN A. RYON. points, 50¢ WHITE. too Jarge. 55 PER DAY, NO o 100" el o Wbt Kl FHRTT WILL 4E SOLD BY PUBLIC Bilck Tedun-Su86; motor o BeVioiec Coach: 105 motor No- 345 e e ok B 1o o e bubky S GANACE, Rainicr, Ma Piano Tuning & Repairing 26 vears with DeMoll Piano Co. and Ma- son & Hamiia. ‘Boscon. | Vctor Norime, Wis. = - P INVALID ROLLING CHAIRS. FOR RENT OR sale. complete line of new and used chairs S e Eies and_adustmente:. reduced | prices. Al airs, wood or metal. | ¢ ED STATES STORA( €O, oot & N et Vioss WANT TO HAUL FULL OR PART LOAD TO or from New York. Richmond. Boston, Pitts- Bireh ana” sl Way. pOMNL. sbecial Tates: | TIONAL DELIVERY ASSN INC. 1317 Y ave_ Nat. 1460. Local moving also. WANTED—LOADS TO NTW YORK : 1O MENLASE Puia TO NORFOLK And_all points North and West. ALLIED VAN LINES We also pack and ship by STEEL LIFT VANS anywhere. SMiTH S TRANSFER & STORAGE CO., 1313 You St_N.W.__ Phone North 3342-3343. CEMENT WORK ‘WALKS, COFING AND LEAKING CELLARS. W MOREEY 3417 MORRISON ST. __ EMERSON 2020 Jack Goldsmith Sign Co. BACK AT THE OLD STAND 924 D ST NW. ST NG 9510, JACK D. GOLDS 1 WM. F 15 HARRY M. ZILE. * ~ Plumbing and Heating. Repairs. remodeline. ne perienced men. low ra‘es Iiberal terms &re featured HEFFRON CO. {UCTION. ON July M N installations Ex- free estimates and 220 L An Important Notice to Good Dressers. As an_inducement to_have you visit our new home. we are offerng to lovers of FINE CLOTHING fifty patterns of the finest West of England suitings at the Extremely Low Price of $67.50 for Sack Suit made to your individual meas- Lo This Quality Sold for $125.00 These suits will be beautifully trimmed, well cut and made in our best manner Satisfaction in every particular is guar- anteed. Sale starts Monday. 8 am. and will prob- sbly continne for a fow days only. T wou.d advise an immediate sclection. G. WARFIELD SIMPSON 209 Hill Building, !, §7th and Eye Sts. N.W, | came | absence of demand for it. i tain Rapidan Ready for Conclaves INFORMALITY WILL BE KEYNOTE AT MOUNTAIN RETREAT. President and Mrs. Hcover are shown below on the front porch of their cottage on the banks of the Rapidan, wl here much of the strategy of the coming campaign is likely to be formulated. Above is a view of the Hoover cottage in its woodland setting. HE HOOVER version of a front- porch campaign will be week end mountain-retreat confer- ences. bringing even more sharply to the news foreground s Rapidan camp Campaigners along their old clothes and thank their lucky stars to be invited to a place so cozy and ccmfortable. Contemplating its rustic beauty and “citified” efficiency. they are almost certain to be amazed at the way a President turni pioneer and wrested a home from the primitive wilderness. Basking in its coolness. guests will find it perhaps hard to believe they are within 100 mi of hot and humid Washington While still Secretary of Commerce Herbert Hoover used to look at the Blue Ridge haze and thingn that there probably lay a place where he could fish for trout. sit in the cool shade and eat and sleep to the sound of rushing waters. Found Spot in Prospecting. The exactions of the presidency made the need for such a retreat imperative. and the President, with Mrs. Hoover, went prospecting and found the spot. Remarkably enough, the Virginia mountains never had been opened to such camping, perhaps due to the hard times which remained after the Civil War, delaying for many vears a mod- ern road-building program Like other pioneers, the President and Mrs. Hoover had plenty of hard- ships. for throughout the first Sum- mer the rain was almost incessant Living in canvas tents. they plodded about in mud. They shivered in sweat- ers. Their cars stuck on the trails Most of their adventures never saw print, but such as did made interesting reading. The President and cabinet members lugged stones to build the little dams that now make Rapidan waters even more rushing. Col. Charles no time should be lost in his new effort. The informal conversations between emissaries of the White House and of the business world are being carried on in the light of the experience to date with the new legisiation. Tne recent s.iffening of commodity prices is being watched as likely to do what the Glass-Steagall bill failed to do—namely, loosen credit both for the lender and the borrower. The Glass-Steagall bill is regarded in administration quarters as having served a good purpose even though it did not bring about the price inflation that was expected when it was enacted and when the Federal Reserve Board went into open bond market to stimu- late business recovery. Act Much Criticizad. This act, in operation now for nearly ive months, has been much criiicized | Congress repeatedly heard the charge it had failed, and the Senate’s insistence on the Borah-Glass currency inflation rider on the home loan bank bill i; traceable to this sentiment in Congress. An additional currency issue of ap- proximately a billion dollars may b2 made under this enactment which be- law Friday. but_admin stration leaders doubt it will inflate commodity es. Commodity prices were show- a gradual increase, Reserve Board ay, at the time Senator Borah pleading that currency inflation was would bring about an increase in com- | modity prices. The credit expansion resulting from the Glass-Steagall bill. which enables the Federal Reserve System to supple ment commercial paper for currency coverage with government securities has ban little used. The new cur- | rency issue it made possible has never been used. treasury officials <ay. in the They main- that, since banks and business generally has available all the currency they can use, there is no need for the new currency issue contemplated by the Borah-Glass amendment. antime the slight upturn in com- modity prices. whether temporary or not, is reported to have moved retailers n the East to give notice of an ad- vance in the prices for meats. Government economists are studying this curve in the commodity prices in toe light of the cperations of the Glass-Steagall bill. Since February 24, when the act became effective, th> Federal Reserve System has placed government securities back of reserve notes to the exient of about $600,000,- 000. Hoped to Loosen Credit. By broadening the rediscount base. the administration hoped to loosen up | credit all along the line, enable banks to maintain_a liquid position at all times and advance credit to their cus- tomers But the credit was not ad- vanced, end the upturn in business, s> confidently expected, did not materi- alize, The banks were charged with hoarding. refusing credit, and other- wise failing to do their upmost to break the jam. The lack of confidence, which, in the view of government offi- cials, is the one thing preventing a noticeable upturn extends into the manufacturing and selling as well as into the strictly banking field. It is asserted that the banks have been helped by the Glass-Steagall bill. The additional funds made available by the open market operations were absorbed, it is explained. in paying off the banks’ indebtzdness to the Reserve banks, in meeting a logs of $500.000.000 in gold and in pioviding an increase of circulation of ebout $200,009,000 against hearding. When the bill was under considera- tion, the Federal Reserve Syvstem was covering Federal Reserve notes to the extent of about 80 pr cent gold, nearly double the minimum gold requirement, which is 40 per-cent. ou’andm‘ notes Called there can take, A. Lindbergh helped, as did Premler Ramsay MacDonald But that's history. There’s no tender- footing now. White House limousines luxuriously speed the guests right to the rustic veranda of Town Hall. recreation- center of the tree-hidden cluster of cot- tages high on the mountain side. Mrs. Hoover. thoughtful hostess. is usually there to give personal greetings. Fili- pino boys bear klinking pitchers of fruit punch. Guests are quartered in wood-brown cottages. each with bed room. living room with fireplace and modern bath— each with its own quaint name done in carved wood letters. The Owl, The Creel Prime Minister Cabin. Ishbel's Cabin, The Slums and Five Tents Mrs. Hoover's secretaries and her close circle of friends, who know the camp and all its landmarks, serve as guides. Walking is a delight along smooth paths. rock-bordered — trails made easy by the Marines, who always take charge of the Summer White House. Eating is lyric, under the trees, beside Hemlock Run—with service as smooth as in any hotel. Sleep. in the mountain quietude, is deep. Pomp is forgotten. Guests Get Straw Hats. Mrs. Hoover, in sports dress and flat- heeled shoes. supplies all her guests with broad-brimmed. rough straw hats— the kind that country people wear— and those who put them on quit being citified right there and become bona fide campers, The most delightful camp spot of all is one the campaigners are likely frequent—the veranda of the Presi dent's Cabinet. It is built over the junction of Laurel Prong and Mill Prong. where they come rushing to- gether over rocks to form the Rapidan Here is an abundance of easy chairs, but somehow guests always want to sit on the home-made wooden stools. carved with handholds in their tops to mak: them easy to move around were about $2.00.000,000 and the 12 Federal Reserve banks held only_about $900.000.000 in eligible paper. So far from the 60 per cent pzper security was lacking for cu'rency coverage, that the huge gold coverage was considered necessary. The “free gold” was down to $430.000,000, which was a drop from $1.700,000,00) last August and from £1.000,000,000 early in 1930. Wih & steady outward flow of gold. chiefly to France, in January and February, only $430.000.000 of “fre= gold.” which means the excess of gold above all legal re- quirements. wzs considered none too much, to say the least The open market operations of the Federal Reserve System are cited as raving corrected this situation: It is maintained they were successful in en- abling the banks to keep themselves liquid at all time: foreign b°lances, amoun o ~bou" $500.000.000 since February without going heavily into debt to the Federal Reserve banks. Currency Supply Ample. Today the currency supplv is consid- ered ampie. Money in circulation is $5.700.000.000. th> gold coverage ratio is 56.3 and the gold supply is increasing Since the internaticnal financial crisis assumed menacing proportion. more than a year ago,. it is pointed out. loans and investments in this country have shown a steady drop. but the Glass- Steagall act is credited with exerting a stabilizing effect. Note is taken of the ! fact that. in recent weeks. the loans and investments in the New York banks have shown a tendency to increase. These banks also have bcught a con- siderable amount of securities, sufficient, it is felt, to offset the continuous drop of loans. Among Government econc- mists this is ccnsidered a sign that credit liquidation may have run its ccurse. On February 24. loans and invest- ments in all districts totaled $19.606.- 000,000. On May 11, $19.140.000,000; on |July 13, $18.478,000,000. The loans | alone were: February 24, $12,600,000.- | 000; May 11. $11,700.000.000; July 13, | $11,149,000,000. The investments were: | February 24, $6.997.000.000: May 11, ’31.023.000.00 July 13, $7.329,000,000. These figures are cited by Govern- ment _experts to show that while loans | continued to decrease, investments, | which are the banks' voluntary acts, were increasing, thus offsetting some of the loan decrease. Net time and demand deposits on February 24, it is pcinted out. were: 1311,000,000.000: on May 11. $11.146.- | 000,000; on July 13, $10.879.000,000. | Time deposits were: February 24, $56,- | 085,000: May 11, $57,009,000; July 13, | $55,029,000. | From these figures the economists | here deduce that the situation in the | earlier period was better than the lat- | ter period. From May to July, however, | there were a number of bank failures |and runs in at least one of the largest financial centers of the country, which resulted in large-scale withdrawal of | deposits. The indebtedness of banks to Re- serve banks it is explained, decreased from $835,000,000 in February to $471,- 000,000 in May. On June 13 it had shown an upward turn to $516,000,000, which nevertheless left it still consid- erably under the February 24 figure. With over $5,000,000000 of actual currency- and the velocity of turnover dropping more than 50 per cent in | three years, it is contended that new currency issues. such as the Borah- Glass plan, will have little effect on | prices, this on the theory that new | paper _currency. without any accelera- | tion of its turnover, can have little ef- | fect. Only a demand for the use of deposit currency in productive enter- prises can make the new credit a | tent factor in enhancing prices, it is maintained, and only a return of con- fidence to business and industry cam bring this- change. ng end to pay off their | STAR, WASHINGTON, D. ¢, JULY 29, 1932 PART ONE ¥ X8 1., 0RDER LSS CHGARD EXCHANE Board of Trade Grain Mart Penalized for Ban on Farmers’ Agency. __(Continued From First Page.) enjoy the full privileges of trading on the contract markets and the statute seems to so provide.” The fact that the Grain Corporation did a large amount of business for non- members of co-operative was argued by the Board cf Trade as a ground for ve- fusal of the clearing privilege, but the commission held that most of this busi- ness arose from transactions carried out by the Grain Stabilization Corporation, a Farm Board controlled enterprise. The board also questioned the status of the Grain Corporation in regard to posiessing adequate financial responsi- | bility, citing the fact that most of its capital had been supplied by loans from the Farm Board; but this, the commis- sion ruled, wat stantial basis. ‘The Grain Corpora- tion, it was concluded, had “sustained the burden of proof with respect to its qualifications for enjoyment of all the | privileges of the Board of Trade, ln‘i cluding the clearing privilege. and the clearing privilege has been un, nied it.” COURT TEST IS PLANNED. justly de- Board o Trade Confident of Vindica- tion of Policy. CHICAGO. July 23 (#.—Not in the least apprehcnsive. the legal machiner of the Chicago Board of Trade moved tonight to appeal to the courts the mat- ter of its suspension as a_contract mar- ket for refusing clearing house rights to the Farmers' National Grain Corpora- fon. Peter B. Carey, president of the board, was emphatic in a statement there would be no recession from the stand denying clearing house privileges to the corporation. ‘Three of President Hoo- ver's cabinet officers ordered the board suspended for 60 days because it “un- corporation Anticipating the suspension, Carey indicated all legal details were perfected to make an appeal to the United States Circuit Court of Appeals here within the 15 days allotted the board before the suspension becomes effective. Abrupt Action Opposed. ) Suspension of business of the Board of Trade. if abruptly put into force, offi- cers said, would tend to bring about a condition of chaos—not cnly in Chi- cago marts, but in grain centers large and small Banks especlally would be affected they declared. since huge loans have been made with grain as collateral. Such loans rarely are obtained unless the grain has been protected by hedging sales. The chief facilities for hedging have been furnished by the Chicago ex- change. Gecrge S. Milnor, a vice president of the Farmers' Nationa! said officers of by the suspension order Ban Declared Hardship. “The Farmers' National has contended throughcut.” he said. “that refusal of the clearing association of the Board cf Trade to aamit it to membership privi- leges has been a hardship. Clearing house privileges. if granted to the Farm- ers’ National. will give it opportunity to compete on an even basis with other co-operatives.” Smouldering since the days of the “pegging” of wheat prices. more than a year ago. the 1l feeling between the board and the Farmers' National flarcd into warfare last May The Board of Trade has & rule pro- hibiting corporations from membership in its clearing hcuse association. To save huge commissions on grain trade, the Farmers' National purchased the Updike Grain Co., possessing & member- ship. company was cited for violations of the | Board of Trade rules and stripped of | trading privileges, forcing the Farmers’ | Naticnal again to clear trade through | other memberships. | See Crop Moving Affected. | Coming at this time, a suspension of |the board, officials said, would be em- |barrassing to business on account of | the harvest movement of wheat. Asids from banks and agricultural interests. | transportation lines weuld be subjected [tc hardship. they !involving millions of bushels of grain would be jeopardized. Latest official figures show in wheat |alone for future delivery to the Chicago | Board of Trade a total of 116,991,000 | bushels and 25.627.000 bushels of corn. | But Carey and other board officers do 1 not expect the suspension to be effected. “We'll fight to the last ditch, and | we'li win,” they said SURVEYS TO DELAY RELIEF ACT LOANS { Governors o-f 7All’ Sfil;;;s and Terri- tories Notified by Finance Corporation. By the Associated Press. ‘The Reconstruction Finance Cor- poration notified Governors of all the States and Territories that loans under the emergency relief act would be de- layed until surveys are made. In a telegram sent to all. George R. Cooksey. secretary of the corporation, said the board wants to consider appli- cations as expeditiously as possible, but added that “the act must b2 con- strued and administered in an orderly manner and with due regard for all sections of the couniry.” as just been enacted.” ‘and naturally the neces- sary procedure for making advance$ e ‘Naturally it will take a little time to formulate policies, make surveys and establish procedure for making sech advences. This will be done as promptly as pessible and appropriate announcement made of the procedure to be followed. “The board feels sure that you will understand the problem that confronts it and earnestly solicits your co-oper- ation.” CUSTOMS UNION URGED IN LETTER TO HOOVER Reciprocal Tariffs With Argen- tina Would Stimulate Trade, Celler Declares. By the Associated Press. President Hoover was urged yesterday by Representative Celler, Democrat, New York, to encourage the establishment of a customs union or reciprocal .tariff dutles between the United States and Argentin In a letter to Mr. Hoover the New Yorker said a report was current that discussions looking to the mutual re- duction of tariffs between the countries had been undertaken by Robert W. Bliss, American Ambassador to Argen- |tina, and Foreign Minister Saavedra Lamas. “Once ycu establish a customs union with Argentina,” Celler said. “other nations will readily follow. You would thereby open wider the channels of in- terna omplaint lacking “'sub- | justly” denled such privileges to the | the organization naturally were gratified | In ensuing investigations, the Updike | said, and contracts | necessary procedure and | under it has not yet been established. | BORMR REFUSES AROLOGYOCRUNP {Charges of Politics in Relief Flour Distribution Supple- mented, He Says. By the Associated Press. Senator Borah of Idaho, under fiery ' demands for apology from Representa- | tive E. H. Crump of Memphis for hav- ing made public charges that thel Tennessean’s “political machine” \\nsi distributing Red Cress flour in exchange | for yotes, maintained yesterday there ! | was justification for the accusations. His stand was taken In the face of a telegraphed report to the Red Cross {from one of its own national workers | that taere was no foundation in the | | charge and that the only brexsdown in | | distribution of the relief flour was un- | connected with politics. The Red Cross | |aiso sald Crump's organization had ! nothing to do with this relief work. | Other Facts Considered. Said Borah: “If I felt that the! charges made in the letters which I |gave out were not well grounded I | should apologize. But from the facts | presented before, and statements since I made the letters public, I feel there | was justification for the charges which | were made. “I am satisfied some one | was doing some of those hungry people an injustice.” | Crump. one time Mayor of Memphis | and widely regarded in Tennessee as ! boss” of that city, twice telegraphed | | Borah for an apolcgy | In the second wire ator: . “Your silence in not correcting a | dastardly falsehood forces one to the | inevitabie corclusion that you are big | {and mighty enough to commit a low and despicable injustice and get away with it. “If you had an ounce of real, manly | courage in your make-up, you would at [ least try to tell the truth and acknowl- edge your error, and I sav to you in & | most positive way you will do it some i | day. You have done me an firreparable injury all over this country. and com- | mon decency on vour part -hould bave | made it unnecessary to call it to your | attention more than once.” Letters Given Out. accusations, denied vigorously from the first, were coniained in letters | from Memphis chapters of tre Loyal | Order of Americans. They said the re- { lief flour had been turned over by the | Red Cross to the Crump organization | and unemployed could not obtain it un- { less they pledged themselves to vote for Crump cancidates. An investigation was | esked. Borah gave cut the letters. | | CRUMP A REAL SCRAPPER. ! he told the | Sel ! Borah Adversary in Relief Wheat Dis- pute Long in Politics. MEMPHIS, Tenn. July 23 (9 — Representative Edward Hull Crump ! Whose political organization here has | been accused of trading relief flour for | votes. has reigned as undisputed czar of Shelby County politics for nearly two decades. First, last and always he's & politi- clan and a scrapper—never happier | than when in the midst of a furious battle with one who has challenged his | position or opinions. ! Forty years ago he came to Mem- phus, & red-headed 3i-year-old Missis- ! sippi lad, who was out in the world on | ! his own His stock in trade was a public school education ard experience | | on a farm and as a “devil” 12 a country Weekly newspaper office. But politics was his calling. Just | after the turn of the century this tall. | i straight-shouldered young man could | | be seen shaking his” fists and flaming | red hair at the “toughs” in the old | | fourth ward | The fourth liked him. He spoke a man’s language and his interests were | | those of the common people. He was made a delegate to the State Demo- cratic convention. Then he became a member of the Board of Public Works. | fire and police commissioner. county { trustee and mayor. Years later, after | he had retired from public life to oper- ate Shelby County politics from behind the scenes, he was elected to Congress. In 1931 he directed a fight to im- peach Gov. Henry H. Horton, but the effort failed. and not yet has he ceased | his bitter attacks upon the Governor | and his political organization. Last | year a survey showed that he had been | elected 14 times himself and had as- sisted in 46 other elections without a | | single defeat. Among his most striking personal | characteristics is his ability to remem- | | ber names and faces and his devotion | to his mother. MILITIA AIRPLANE ' ‘BOMBS’ COAL MINERS, \ o | Sheriff Resents Action When Tell‘j i Gas Affects Several Deputies. By the Associated Pres UHRICHSVILLE, Ohio. July 23— Eight tear-gas bombs were dropped by an Ohio National Guard airplane today | into a group of alleged striking coal miners at Wolford Mine, near here. The bombs made several sheriff’ deputies and miners ill, and brought a | demand from Sheriff Harry C. Smith | that Adjt. Gen, Frank D. Henderson outline the State's policy with regard to use of tear gas in the strike area. “I am not going to send my deputies out to be gassed by the National| Guard,” Smith said. He added that he | would withdraw his deputies from pro- tecting working miners until the situa- tion was clarified. Henderson withheld comment pending a complete report. Lieut. Karl Bushong, pilot of the plane, said he dropped the bombs after a crowd of 75 to 100 pickets ignored orders to turn back from a ! march on the mine. He was not aware, | he said, deputy sheriffs were in the vicinity. HOOVER KEYSTONE CAMPAIGN PLANNED Pennsylvania G. 0. P. Chairman Announces Preparedness to Begin Drive. By the Associated Press. HARRISBURG, Pa., July 23—Gen. Edward Martin, State treasurer and chairman of the Republican State Com- |tive and not destructive enterprises. | understanding | things which work for the | arisen IWAR DEBT REVISION IS URGED BY BORAH IN PLEA FOR TRADE (Continued From First Page.) too, must yield to the dictates of con- science and the demands of justice. With the settlement at Lausanne must | inevitably go sooner or later the war | guilt clause and other changes in the | treaty will come along.” What the world wants and must have | if a veritable collapse is to be avoided, | he said, is the restoration of confidence | aith in government and govern-| mental policies, faith that when money | is invested it will not all be grabbed | for taxes, faith of the laborer that he | may enjoy the legitimate fruits of his labor. Disarmament Need Cited. | “Lausanne is the most important step taken since the war looking 10 the res- toration of confidence in political and business affairs,” he added. “But, im- portant as that step was, other steps must be taken before the foundation for economic_recovery can be regarded s secure. The tesi and the response ‘to Lausanne is Geneva. Those who labored so successfully at Liusanne for eco- nomic recovery must have had in mind —and so all the world has in mind— the question of disarmament. A dis- armament confercnce is in the highest ¢ sense_an econdmic conference. The vast burden of armaments eating up the earnings of the taxpayers in the re- spective countries, drawing constantly from the reservoir of credit which should go to trade and commerce, con- stitutes an all but insuperable barrier 1o the restoration of that confidence which is the basis of economic recovery. “It seems to me that it will be im- possible for Europe to regain the con- fidence of her own business interests, much more difficult to regain the con- fidence or co-operation of American business and American taxpayers so long as the continent remains an armed camp. The people. and cer- tainly the taxpavers, of this country vill not believe co-operation under such circumstances can result in any- . thing but continued economic distress and financial chaos. Any economic or financial scheme, therefore. looking to a full co-operation upon the part of the American people, the American tax- payers, I venture to believe, must rest upon the reasonable assurance that the earnings of the people, the savings of the people. the fruits of any settle- ment had, will be devoted to construc- “In this connection we may refer to the so-called accord of confidence or had between Great Britain and France This has given rise to much criticism in this country. Doubts have been expressed as to whether this was not an open mani- festation of antagonism toward the United States. and as to whether it might not have as its real purpose an | effort to bring undue pressure on the United States for debt cancellation and kindred subjects. It seems to me wiser and likely more in harmony with the facts to give to this accord a higher and more exalted purpose. Peace Basis Widened. “How can there be anying in the nature of permanent peace or disarma- ment in Eurcpe except upon the basi of accord between these two great powers? How can we hope for prog- ress in economic recovery unless these two nations work in closest harmony” 1 carf see & great and permanent good in this accord and I can see no harm {in it. What I should like to sce is amity and more amity, harmony and sull greater harmony. among all nations, and particularly the nations of Europe. It is the only hope for peace and dis- armament. ‘We are advised constantly rope hates us. Probabiy s. But 1 could find it in my heart to forgive all such feeling of hatred if it leads to friendliness and accerd between the nations of Europe. For myself, I am happy to see sny movement 1 Europe which sems (o recognize that thos: true ag- grandizement of nations can be more tully realized through friendship and open understandings than through se- cret_diplomacy and foree, “The adjustment of reparations at Lausanne has brought to the front again the question of the debts owing to the United States from certain gov- ernments in Eurepe. What is to be our attitude toward readjustments or cancellation? Has a new situation which makess it necessarv for our people in their own intetest to re- censider the adjustment of these debts heretofore made?> I do not think it would be correct to say that a new situation has arisen. But I do think that if the poiicies initiated at Lausanne are carried forward. there will come & time when it will be distinctly to the | interest cf the people of the United Sta 1o consider again the question ot debts. In expressing the views do at this time upon this sub- that Eu- whi ject. it is hardly necessary for me to say that I am speaking for no one but myself. World-Wide Trade Crisis. *I feel now. as I have felt from the beginning. that this economic cat- aclysm had iis origin in and during three fateful years. has been sustained and aggravated by and through inter- national conditions superinduced by international policies grow out of the Great War. It would be easy per- haps to show that local or purely na- tional policics have accentuated condi- tions in the respective countrics. But the great dominating forces contribut- ing to our present catastrophe have been international or. if mot wholly international, have been of such a na- ture that their effect was international Therefore. in ccnsidering our problems of domestic concern, we are compelled to consider matters of international concern.” Senator Borah said the debts due the taxpayers of the United States for money loaned to foreign governments are just debts, and that every equity of he debtor has been allowed and a gen- erous reduction made. There can be no reason, therefore. he declared. for urging a reduction or cancellatien of these debts other than that it would be in the interest of the people of the United States to do so. “Upon that theory, and that alene.” he said. “it seems to me the subject is open for discussion. Will reduction or cancellation bring to the people of the United States an equal or greater bene- fit than the amount which they may collect from the debts? Will such a course open foreign markets for the products of the farm and the factory. cause the price level to rise, put an end to unemployment, and thaw out the frozen credits of the bank? I enter- tain the belief that the cancellation of the debts in connection with, and as a vart of. a program including the set- tlement of other war problems would have the effect above indicated. But I am equally clear that the cancellation of these debts with nothing more than the present reparation adjustment would not have the effect above indi- cated. To put an end to this depression is no less a task than that of ending the war, and in my judgment it can only be accomplished with the same breadth and thoroughness as that which ended the war. | “The price of wheat last week was the lowest it had been in 400 years. There is no more accurate barometer of trade, no more sensitive plant to eco- nomic winds, than wheat. I cannot but recall that when the Dawes plan was mittee, today said plans are under way for inauguration of the Republican presidential campaign in Pennsylvania. In the last two weeks he has held conferences with State Republican can- didates, State Committee members and county chairmen, as well as with J. R. Nutt, treasurer of the Republican Na- tional Committce, and James Fiancis Burke. Pittsburgh, general counsel of the National Committee. The gen:ral scope of th> campaign. however, will not be mappsd out until Martin confers with Everett Scnders Republican naticnal chairmen. two weeks hence. Th~ State headqueriers in this eity is already at work on cam- paign detalls, announced to the world much of our | gold hastened abroad and the price of | wheat went up. But, owing to other | conditions and other unsettled prob- | lems, the benefits derived were short- lived. And so, in my jwdgment. it would be again if anything but a thor- ough readjustment of war problems ‘were had. No Altruism Expected. “For myself, when I see a program which in my judgmert will start wheat end cottcn on the mcve, which will give employment to the unemployed and confidence and initiative to busi- ness, I shall be willing. so far as I am | concerned, {0 use the debts in any way, | SENATOR BORAH. reduction or cancellation, to take it a success. But there must be all rea- sonable assurance that it will be a suc- cess. No partial. incomplete program, leaving unsettled problems hanging cver, would justify either reduction or cancellation. " There is no altruism on the part of governments. Nothing could be better illustrative of that than the Imperial Conference at Ottawa. It is natural that it should be so. Individuals may practice altruism. But when you are.dealing with the public interests and public rights, the interest of the public is the criterion “Those who urge that the reparation settlement justifies reduction cr cancel- lation do not, it seems to me. give proper weight and consideration to the distubing effect of other unsettled preblems. The taxpayers of this coun- try at one time camceied some $6,000,- 060,000 of this debt upcn the theory that it would restore economic condi- tions in Europe and greatly benefit the United States. But their hopes were not realized. Two many of the war problems were left unsettled. “I know of no way to bring about or bring into effect 'a program such as | would justify the reduction or cancel- lation of the debts and bring about a better condition, economically and financially, than by means of &n eco- nomic and monetary conference, a con- ference which would be permitted to deal with reparations and debts, dis- armament. the re-establishment of the gold standard 31 nations now being off the gold standard). the stabilization of silver in the Orient, and possibly other questions. 1 _do not overlook tariffs but these will. in my judgment. have to be adjusted through the action of the respzctive governments which will be made possible after the adjustment of other problems.” Hopeful of Better Days. Humanity has suffered long enough from the “crusl and intolerant” policies springing out of the World War, Sen- 2tor Borah said. and a continuation of these policies will soon bring the world to the danger point. But. he added optimistically: “I can but believe that there is evidence of a change.” “I feel that the outlook for relief from the conditions of today is brighter than at any time since the war began. These sacrifices. known to every people. are beginning. it seems to me, to call out the best there is in man, and they are struggling to get control of the situ- ation. “Trouble, when deep enough, duty when stern enough, alwavs reveal hid- den human resources and undiscovered virtues, both as to leaders and as to the multitude, as the sea gives up its treasures to the storm which searches its lowest depths. The great leaders of the world have not appeared in days of ease and comfort and sunshine. And the people are patient and long suffer- ing. But there also comes a time when, if the leaders fail, the people point the way. God knows there has been suffer- g enough, and it is not too much to hope and to believe that better condi- lions are not far off. This is a man- maae depression. Nature has not failed us. We are not the vietims of famine or flood. Seed time and harvest and the industry of the people have con- ly attended all through this de- sicn. We are the victims of un- se and vicious policies. That is now admitted on every hand. And in the admission there is & prophecy of wiser policies and better things.” FACE LARCENY COUNT U. S. Releases Two to New York Authorities. PITTSBURGH., July 23 (#) —Albert Smith, 22, and Stanley Stromberg, 24 of Hudson. N. Y., were turned over by Federal authorities today to deput sheriffs of Columbia County, N. Y., and will be returned there to face grand- larceny charges They were arrested last week for al- leged transportation of a stolen auto- mobile from New York State to Pitts- burgh. Smith's bride, arrested with him. was not held. ROWNING & BAINL S SEVENTH LONDON WELCOMES - BORAH PROPOSAL Held Indication of Awakened American Opinion—Berlin Comment Lacking. LONDON, July 23 (#).—Unofficial | Whitehall opinion tonight welcomed Senator William E. Borah's proposal for a world conference to revise or cancel war debts as an indication of awakened | American public opinion. It was pointed out the suggestion in- dicated Americans were becoming in- terested in the significance of what Mussolini, the Italian premier, has called “the tragic bookkeeping” of the war. While recognizing the official Ameri- can stand that war debts must not be further reduced, the feeling in high quarters here has been that in time America. as the principal creditor na- tion, will have to take some other view of the situation. The Lausanne agreement bonding German reparations at about $712.000.- 00 is considered here to have pointed the way. The “insurgency of Senator Borah™ was noted here, however, and the question wzs raised. “Will the Sen- ator's suggestion have any effect on the administration?” Even the bombshell of a Borah sug- gestlon tonight was not enough to shake Whitehall out of the official silence of the traditional British week end. So official comment will have to come later BALDWIN VIEW STATED. Borah Plan Held Without Rela Ottawa Parley. OTTAWA, July 23 (#.—A statement from the office of Stanley Baldwin, British cabinet member and head of the Imperial Economic_Conference delega- tion, said Senator Borah's statement on war debts had no relation to the sub- Ject matter “before us now.” “The British position was made clear at Lausanne.” the Baldwin office state- ment went on, “and it is scarcely rea- sonable that we should be expected to expand upon that view during a time when we are dealing with essentially British, rather than world problems. “In a world dominated by a mood of economic chaos, it is necessary that we concentrate on one problem at a time. It is hard to see that this new idea from Washington that we should call a new conference to deal with cancella- tion of war debts has any relation to the subject matter before us now.” It was added that comment would have to come from the home govern- ment BERLIN LATE GETTING PLAN. n to Comment Lacking Until Text Is Before Officials. BERLIN, July 23 (£, —The suggestion of Senator William E. Borah for & world conference for revision or cancel- lation of World War debts came to Ber- lin tonight in time for publication in only one newspaper. Vossische Zeitung, and even that organ did not comment Official comment was lacking every- where due to the lateness of reception, and it was understood nothing could pe learned before Monday. WANTED Well Located Apartment House L. W. GROOMES. 1319 Ese St. Bigger and Better Funerals AUHAIf the Usnal Cost Are Done by CHAMBERS Largest in the City A Whole Funeral for as s 365 Phone or write your Address. We will send you a beautiful catalogue of How We Do It. Shorthand Fast as Human Speech, Reads Typing. Business Letter Writ- ing. Secretarial Practice. Gregg Shorthand. Quick Review. Posi- tion Guaranteed. Start Monday. BOYD SCHOOL WRECKING Walter Reed Hospital Bldgs. at 16th, Ga. Ave. and Butter nut St. N.W., and 'National Institute of Health, “E"” and 24th St. NN\W. (rear bldgs.) 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