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‘WEATHER, . 8. Weather Bureau Forecast) and colder, with lowest tempera- ture about 25 degrees tonight; tomor- row increasing cloudiness with slowly rising temperature. Temperatures—High- est, 58, at 3:30 p.m. yesterday; lowest, 35, at 9:00 a.m. today. Full Closing N.Y. Markets, Pages 13,14&15 No. 32,398, i The only evening paper in Washington with the Associated Press news service. WITH SUNDAY MORNING EDITION Yesterday’s Circulation, 119,458 Entered as second class matte: post office, Washington, D. C. PEACE TALKS OPEN "5,k N NORTH CHIA A Cereopbic ot TROOPS CONTINUE * INVASION OF JEHOL Shanghai Dispatch Casts D. C, THURSDAY, JANUARY 12, 1933—THIRTY-EIGHT PAGES. ¥R$ UP Means Associated Press. TWO CENTS. WASHINGTON, KREUGER'S FAME MISLED EXCHANEE, - ALTSCHUL ADMITS Asks Law to Compel Inde- Associated Press Science Editor. 1 NEW YORK, January 12—auguste, Pendent Audits of Stock- Piccard, Belgian stratosphere fiyer, ar- | A H rived in America today end the first | Selling Companies. | thing he did was to refuse to talk to| - MT.C.ELIMINATED WHEELER INTENDS IN HOUSE REPORT, T0 BLOCK SENATE ONARMY FUNDBILL 70 GET INFLATION Appropriations Committee|Breaks Long’s Filibuster to Urges $31,584,000 Slash Warn Congress Against in Military Work. Spirit of Anarchy. 1T'S A WASTE OTIME To DO ANYTHING TILL THE BOSS GITS HERE Extracted Thorns From Rose Bushes to Protect Children, He Says. Doubts on Negotiations, but Tokio Reports Discussions | Under British Auspices. JAPANESE PLANES SCOUT BIG CITIES OF PROVINCE Second Movement From Chinchow Undertaken to Forestall Chinese Reids on Smell Detachments of Invading Army; 130,000 Men Revorted in Defending Force. Br yfie Associated Press. Chinese and Japanese military leaders are reported to have met in the presence of British naval officers at Shanhaikwan to dis- cuss peace terms, but meanwhile there were indications that troop rovements were continuing in the Northern Chinese province orl Jehol. A Japanese advance gn Ling- Yuan, in Southern Jehol about 100 miles from Shanhaikwan, was s2id to be continuing, dnd Japa- nese troop movements from Mukden to Chinchow, in Southern Manchuria, also were reported. From Chinchow dispatches de- | seribed the Japanese movements as calculated to forestall the pos- sibility of a Chinese offensive. The Chinese force ir Jehol was esti- mated at 130,000 men, including Chang Hsiao-Liang’s regulars and organizations of volunteers. Japanese planes, it was re- ported, reconnoitered Jehol City, newspapermen until they quit smoking. The next, as soon as the smoke was cleared from the room on the steamer Champlain, was to deny a report that to protect his children back home in Belgium he had extracted the teeth of a viclous dog which belonged to a neighbor. The denial was brought forth by ‘a rising storm of protest wired "~ (Continued on Page 2, Column 4) JAPAN'S EXPULSION Leading Powers May Take Drastic Step to Preserve Geneva’s Prestige. BY CONSTANTINE BROWN. A movement to disbar Japan from membership in the League of Nations is reported to be in progress at present at Geneva. The matter, according to réliable information received in Wash- ington, is now being discussed also in some of the chancelleries of the lead- ing powers, members of the league, A suggestion that such a step might be taken in order to save the much lower prestige of the Society of Nations was made some time ago by some of the minor powers. But certain naticns were reluctant to agree to such a drastic measure, in the hope that Japan would not continue her military activities in China, and that with a certain amount of delay, the Manchurian question might be for- | gotten or settled in a manner to satisfy everybody. Other Nations Roused. ‘The new Japanese aggression against China, much more unjustified than the invasion of Manchuria, appears to have roused even those nations which were the provincial capital, and Chao- yang, the next largest city, near the Manchurian border. PEACE DISCUSSIONS BEGIN, Military Officers Confer 2t Chinwangtae Under British Sponsorship, ‘TOKIO, January 12 (#).—A (Japanese) news from wangtao, China, said Japanese and Chi- nese military officers met in the - ence of British naval officers today to discuss peace terms. Results of the meeting were not divulged. A Chinese officer representing Gen. Ho Chu-Kuo, Shanhaikwan who lost that city to the week, was reported Rengo Japanese is a trol torcevreguhrly stationed in_the treaty port under provisions of the Box- er protocol of 1901. The meeting was reported held at the Japanese com- mander's headquarters. Further par- leys were expected. PLANES SCOUT JEHOL. Preparations for Invasion by Japanese Reported Advancing. SHANGHAL January 12 UP)—Japa- Dese airplanes were reported scouting today over Jehol (Cheng-Te), former Summer residence of the Manchu em- perors and now the capital of Jehol Province, and Chao-Yang, near the Manchurian border. These are the two principal cities of Jehol, about 140 ml(l;m , apart. hiinese newspapers, which rted? the sighting of the planes, goan-, nounced receipt of dispatche: from Southern Jehol and Manchuria stating that Japanese were engaged in feverish preparations for an invasion of Jehol. Military leaders predicted sharp fight- ing if a Japanese expedition already in the ancient Chirese province continued an advance toward Lingyuan, about 100 miles northeast of Jehol City. More Troops Move. The Kuomin (Government) News Agency stated that 35 trainloads of Japanese troops departed from Mukden, Manchuria, for Chinchow, Japanese army base east of the Jehol border, and for Tahushan and Kowpangtse, The official agency said “the army will advance into stern Jehol” from those points. Further Chinese advices stated Jap- anese aerial raids between Suichung, 25 miles north of Shanhaikwan in Man- churia, and Lingyuan “wreaked con- siderable damage.” As the result of a blizzard sweeping North Asia and bringing sleet and snow, temperatures in Southern Jehol we: ntinued on Column 8.) EIGHT MAKE ESCAPE FROM CAROLINA JAIL Saw Way Through Cell Block Roof During Absence of Officers. By the Associated Press GASTONIA, N. C, January 12— Prank Williams, wanted in Aurora, L, for slaying a policeman, and George Martin, one of his confederates in the recent Merchants & Farmers' Bank robbery at Stanly, were among eight prisoners who escaped from the county 3ail here early today. Federal authorities here sald Wwil- liams was known in Aurora and other cities in all parts of the country, where favoring a policy of “wait and see.” The powers with little or no interest in the Far East see in the new military activities of Japan a direct challenge to everything the League of Nations stands for and fear that if this chal- lenge were not taken up at once, the :.me ‘would become completely use- The major powers which have been advocating a “go slow” policy see in the Japanese attitude toward China, and especially in the threatened inva- sion of what is called the Boxer terri- tory, a direct challenge to their treaty r!{hu and prerogatives in that portion of the Far East, and are at a loss to know what could be done not to com- plicate the situation, and yet defend the rights of their nationals. Feared Japanese Action. Japan is a proud race. So far, every time there was a possibility of the League of Nations intervening strongly in the Sino-Japanese dispute, the Japanese threatened to leave the League. The League was afraid that such a move by Japan might disrupt that im- portant body altogether, and has systematically yielded to the Japanese threats. This gave the Japanese na- tion an exaggerated idea of its might and importance. Now that Japan has gone further than even her best friends at Geneva expected her to go, the move to expel Japan from the concert of international powers is gaining ground. The theory upon which the advocates of this move are working is that the expulsion of the Japanese Empire from ing the threat of Japan to leave that organization voluntarily, would have a powerful moral effect on the Japanese people themselves. If the Japanese government and the Japanzse nation is informed by the League that they are not considered worthy of remaining members of the League, this would be the first time in history that a nation has been found to act so unethically that it actually had to be expelled from that interna- tional organization. Won't Affect Army. Naturally, nobody believes that such a move will have an immediate effect upon the operations of the Japanese army in China, but it is thought‘that eventually the Japanese people, who are bound to smart under such reproval from the rest of the civilized world, will try to change their attitude tcwards in- ternational pacts and agreements. ‘This is by no means certain, but still it is considered by many members of the League as the only dignified action that body can take in face of the re- peated slaps it has received from Japan during the last 12 months. LEAGUE CONSIDERS the League of Nations, thus forestall- | WINKLER MAKES ATTACK | ON LEE, HIGGINSON & CO. | Criticizes Brokers for Failing to Prevent Substitution of In- ferior Collateral. By the Associated Press. Drastic legislation to require inde- | pendent audits of compsnies seeking to | | recommended to the Senate stock mar- ket investigators today by Frank Alt- schul, chairman of the Stock List Com- mittee of the New York Stock Ex- change. Called as a witness in the inquiry into the Kreuger and Toll financial collapse, Altschul readily agreed the exchange had been misled by the repu- tation of Sweden’s “match king,” Ivar Kreuger, He said the exchange had made a rule since the Kreuger fiasco that se- curities would not be listed without in- dependent audits, and that he person- ally favored applying the rule to allj companies seeking ‘public funds, in- cluding those already listed. ‘Winkler Assails Brokers. Earlier the committee was told by Dr. Max Winkler, New York economist and president of the American Council of Foreign Bondholders, that Lee, Hig- gingon & Co., which marketed Kreuger and Toll securities in this country, did not fulfill their duty to their customers. It was their duty, Winkler said, to | prevent the substitution of inferior se- curities as ccllateral. ‘Winkler said the bonds would be worth about $490 today instead of $140 if inferior collateral had not been sub- stituted. ‘Testimony also was presented by the economist that the assets in the Kreuger and Toll securities have been kept in this side of the ocean. The substitution was described as one which cost American investors around $10,000,000 in decreased values of the bonds. nds. Winkler appeared as an expert wit- ness as the committee pursued its in- quiry into the financial empire that came tumbling down after the suicide of Ivar Kreuger, the Swedish match magnate. Exchange Officials Called. John Marrinan, committee investi- gator, explained that Winkler was called as an expert and that he would be followed by officials of the New York Stock Exchange. “I would have accorded the deben- tures the rating of an adequately pro- tected business man's investment on basis of the proopectus,” Winkler testified. Under the debenture agreement, ‘Winkler testified, the bonds of a “minor subdivision in China” could have been substituted for the sound collateral, but that in any substitution the ratio of pay value would have had to be main- tained. “Is it unusual to permit a substitu- tion on the basis of par rather than market value?” Senator Fletcher, Demo- crat, of Florida, asked. “It would have been except for the clause requiring maintenance of the ratio.” Senator _ Couzens, (Continued on Page 5, Column 1.) 'FRENGH CABINET'S DEATH BLOW SEEN Socialists’ Opposition to Cheron Fiscal Measures Believed Paul-Boncour’s Doom. Republican, of | By the Assoctated press. PARIS, January 12.—The Socialists in the Chamber of Deputies today dealt what parliamentary circles believe may be a death blow to the Paul-Boncour cabinet when they decided to vote against fiscal measures sponsored by Finance Minister Cheron. Former Premier Herriot, acting for the radical Socialists, visited M. Paul- Boncour and warned against the perils of insisting upon the Cheron program. ‘The finance minister proposes to cover an estimated budget deficit of 10,541,- 000,000 francs by extensive economies and new taxes which would transform the deficit into an estimated surplus of 238,000,000 francs. The decision may not come before January 17, when the measures are debated in the Chamber. NEEDY CHANCE | Poverty-Stricken Persons Grow Produce or Cut Timber on 650-Acre Tract Provided by Benefactor. By the Associated Press. FERTILE ACRES SETTLEMENT, Wash., January 12.—Seventy-one pov- erty-stricken persons and Otto G. Hen- sel, owner of the 650 acres of farming and timber land, got together and this settlement was formed. ‘The landowners offered the 71 per- scns the acreage, aid in building their houses and & shingle mill, with pay- ments deferred for two years. They agreed to make it a community propo- sition—he told them to “go to it.” They did and now produce in Fertile Acres almost everything they need. Most of them are either growing produce or he has criminal records as William von dy. Martin was said to be wanted in Los Angeles, where he was said to have a long police record under the alias of ‘Thomas Sharkey. ‘The men and six prisoners held for lesser. ‘crimes sawed their way out through the roof of their cell block while officers were several miles away |ports it the scene of an automobile theft, resulted in a chase and a wreck iich proved fatal to Reid Davis, the cutting timber for their shingle mill. Cash derived from these enterprises, with barter and exchange of services by the specialists. forms the financiel struc- ture of the settlement. - Leon Durocher, appointed by. Hensel to superiritend the work ‘of farming, clearing land and building, an_informal Advisory Couficil. “We ?ect to be entirely porting within another year,” rocher today. -sup- A Du- “In the meant cutting shingle boits and -~ . - CO-OPERATIVE COMMUNITY GIVES are | farm | TO EARN RELIEF supplies for what cash we need. We produce shingles, vegetables, strawber- ries, chickens, fence posts and cord- wood, and next year we will have more berries. “The settlers are clearing their own land, to make individual homes possible more quickly. At our community store we have a gathering every few weeks, sell their securities to the jpublic wu] ! ‘&\\) \W ; ON THE “l BUDGET - BALANCING FARM. BANKRUPTCY LAWS REVSION EXPECTED Sentiment for Reform Grows |~ Following Recommenda- tion by Hoover. By the Associated Press. Strong sentiment for helping finan- clally embarrassed individuals and cor- porations through bankruptcy reform measures developed in Congress today, Sweden, while the securities are on |forecasting enactment this session of | such legislation. President Hoover recommended sweep- ing revision of existing laws to accom- plish this end and today a number of leaders gave support to the movement. Two bills already drafted are to'be taken up by the House Judiciary Com- mittee tomorrow and speedy approval 1s expected. ‘The sponsors of those measures are Representatives McKeown (Democrat, Oklahoma) and La Guardia (Repub- lican, New 'fi]:rk). Soon m:lr Mr. Hoover's special message urgently re- questing the changes was received yes- terday, the House members met with Senator Hastings (Republican, Dela- ‘ware) and Solicitor General Thacher, and general approval of the more im- portant details of their proposals was given. Supported by House Leaders. Speaker Garner and other House leaders gave their support to the princi- ples embodied in the bills and the Chief Executive's call for such legislation as- sures the backing of many Republicans. Garner said that if the Judiciary Committee reported the McKeown-La Guardia bill tomorrow the measure would be given early House considera- jon. He added that after congressional action on the bankruptcy law, the Democrats would determine whether additional farm mortgage legislation was to be had at this session. He said there was considerable support for the McKeown-La Guardia proposal. Hastings, McKeown and La Guardia were members of a joint committee which studied general bankruptcy legis- lation recommended by the administra- tion last session. McKeon'’s bill affects individuals and corporations; La Guardia’s railroad cor- porations. Persons unable to pay their debts would be given either an exten- sion of time on application to the Fed- eral courts, or a sort of installment plan arrangement with each creditor getting his share during the period agreed upon. The consent of a major- ity of the creditors would be necessary to the arrangements and the debts could not be scaled down. The ar- rangement would be binding on the minority creditors. Drastic Scaling Down Possible. In the case of corporations, including railroads the reorganization might re- sult in the drastic scaling down of these indebtedness. An application for such a reorganization could be voluntary, or it could be brought about by 25 per cent of the creditors provided their claims amounted to at least 10 per cent. The Interstate Commerce Commission would supervise the reorganization of railroad corporations, with the Federal courts aiding. In his special message yesterday, Mr. Hoover urged prompt overhauling of the bankruptcy laws, saying such action would eliminate great losses in formal lbnnkrupu:y proceedings under existing aw. Text of Message. '{'he President’s message follows in 10 “On February 29 last I addressed the Congress on the urgent necessity for revision of the bankruptcy laws, and presented detailed proposals to that end. These proposals were based upon most searching inquiries into the whole subject which had been undertaken by the Attorney General at my direction. “While it is desirable that the whole ful | matter should be dealt with, some por- tions of these proposals as an ameliora- tion of the present situation are proving more urgent every day. With view to early action, the department, commit- tees and members of the Congress have been collaborating in further develop- with dances and programs. There is good school bus service to Arlington, and our ‘doctoring’ is done there, too, but the women seem to be handy in application of home remedies. We have some good mechanics for repair work, and clothing is made over in the homes. “We have 22 farms being worked now and in the Spring more settlers are coming. Eventually we will try for a plant to make rubber articles out of old automobile tires. The only outside ald we receive is a small amount of flour Red Cross.” One of the sery for hewing homes out of the wil- ment of such parts of these as have, out of the present situation, be- come of most pressing need. I urge that the matter be given attention at this session, for effective legislation would have most helpful economic and social results in the welfare and recovery of the Nation. “The process of forced lquidation through foreclosure and sale 'l)‘f the assets %mvlflnfl M‘m porate cebtors, who through no of their own are unable in the present ems to of their del settlers, Mrs. ¥ ‘Thomas, said: “Most of the settlers here has | were unemployed in Seattle who had not Radio Programs @& Page C-3. 14 Voters Perish In Storm En Route To Polling Place By the Associated Press. BUCHAREST, Rumania, Jan- uary 12—Fourteen voters. en route to a polling place in a rural district in Western Rumania, who lost their way in a blizzard, were found dead today. A number of others who are missing also were believed dead. ROOSEVELT BUSY REGEVING CALLERS President-elect Declines to Talk, but Continues Prep- aration for Office. By the Assoclated Press. NEW YORK, January 12—With an eye on Congress, President-elect Roose- velt drove ahead silently today on the “process of preparing myself” for the task after March 4. Callers, plenty of them and all of them, were recejved at the Roosevelt home here. Mr. Roosevelt is waiting until he is President before he talks or |* acts. But he is anxious that this dying ses- sion of Congfess, the last of the Hoover administration, makes sure of balanc- ing the budget and enacting farm relief. Approves Farm Bill. ‘The principle of the pending agricul- ture bill before the House meets the ideas of the President-elect. He under- stands that the leaders of organized agriculture are behind the measure. During the campaign he gave assurance that if the several farm organizations would agree on Federal help he would support them. Details of raising new taxes, if they are necessary, and cutting appropria- tions, are left by him to Congress, but he wants that done before he assumes the presidency. There is no doubt here that if the Democratic program for this session fails, Roosevelt will call an extra ses- sion of the new Congress immediately, but he is not saying anything about that. He expects this Congress to do the work. Declines to Talk. William G. McAdoo, Senator-elect from California and former Secretary of the Treasury, was on the calling list, but he and the President-elect got their hours mixed and Mr. McAdoo will meet Roosevelt Saturday at Hyde Park. Informed that contesting Democratic leaders at Washington were using his name to support their cause, Mr. Roose- velt remarked: “I guess I will have to subscribe to the Congressional Record.” That was the end of any commitments on his behalf—he will talk after March 4. Farm relief was among the principal subjects of today's conferences with Harry H. Woodring, former Governor of Kansas, and Jensen Wood, repre- sentative of the creamery industry. Senator James Hamilton Lewis of Illinols and Richard Washburn Child, former Ambassador to Italy, were others given a place on the Roosevelt list for the day. A proposed visit today by Mayor Curley of Boston was postponed until tomorrow. REICH ECONO.MICS HEAD SEES RECOVERY ON WAY Hermann Warmbold Testifies Be- fore Reichstag Committee. Slump Near End. By the Associated Press. BERLIN, January 12. — Hermann Warmbold, minister of economics, told the Reichstag Ways and Means Com- mittee today “there are signs justifying the assumption that the downward trend of the world's economy is reach- ing an end.” This is exemplified, he said, by the steady upward movement of quotations on_long- German loans abroad. Germany is tr‘ln( to hasten the up- ward movement by an active t; unmrm - icy and the whole nation is in insisting f.ha’:e lnh:ld ‘German exchange be “The road to economic world recov- proportion as quick, ive solutions are found regarding the regulation of debts, the exchange of goods and the stabilization of currencies.” Box Factory Burns. LEXINGTON, N. C. January 12 (P). —A $150,000 fire today destroyed the large box plant of the C. M. Wall & FARM RELIEF VOTE - DELAYED IN HOUSE iShower of Amendments Of- | fered to Change Emer- gency Measure. By the Associated Press. The House plugged persistently today to get through a shower of amendments and reach a final vote on the emergency farm relief bill. Much remained to be done on the 25- page allotment measure. Reading, under which amendments are in order, was not quite at the half-way mark. But its Democratic sponsors were en- couraged by increased success in ward- cleared was the tariff section. - d the tariff controversy as the mlnrml in the bill's path/ now,” said tative Jones of Texas, author of the bill. Impending opposition already had been hinted at on the floor by Repre. sentative Treadway of Massachusetts, -} on the power- “Ways He and criticized the Agriculture Committee for “assuming itives” and “writ- ing & tariff bul” Jones Defends Tariff Jmth rev.lled that sln‘c:h “msun ‘:Au;: was the majer purpose of the imeasure, his committee was justified in proposing a 5-cent-a-pound tariff on short staple cotton and jute and in in- creasing existing tariffs by the amount of the processing taxes levied on hens- bacco and hogs. Similar tariff increases have not ‘Zet been provided for the three commodifies put in'the bill on the House fioor—dairy products, rice and peanuts. But when the proper section is reached, they will be offered as amendments. One in particular—by Representative Andresen (Republican, of Minnesota)— seemed certain to meet strong opposi- tion. Designed to supplement a 5-cent- a-pound processing tax and boynty on butter fat, it would levy this amount of tariff on animal and vegetable oll importations “from any foreign country or possession of the United States.” Sponsors of the bill interpreted this language as proposing a tariff on Phil- ippine imports, a step Congress repeat- edly has refused to_tal granting of independence. Meanwhile the prediction that the bill would be passed by the House by a substantial majority was made by Rep- resentative Rainey of Illinois, the Demo- cratic floor leader. “Most of the Democrats and a large number of the Republicans are going to vote for the bill when it comes to a final vote,” he said. Before reaching the tariff provisions (Continued on Page 2, Column 6.) GUARDS BOMB HOUSE, KILLING 19 SPANIARDS Extremists Fire on Attackers, Wounding Six—Government Drive Pressed. By the Assoclated Press. MADRID, January 12.—Nineteen ex- tremists engaged in anti-government activities were reported killed today when civil guards and assault guards bombed a house at Casa Viejas. ‘The government announced the house was destroyed by hand grenades and it was impossible to determine whether more had been killed. The extremists fired upon the guards, wounding 6. Elsewhere in the same city three houses were reported to have been burned in the drive against the ex- tremists. ABOLITION OF CAMPS WOULD SAVE MILLION Obstacles to Reduction of Trainees From 37,500 to 13,000 Are Cited by Chairman Collins. By the Associated Press. The continuing drive for economy 1an | pension of C. M. T. C. fited commodities—wheat, cotton, to- | Eivin brought to the House today from its Appropriations Committee a bill recom- mending $31,584,000 less to carry on the military activities of the War De- partment next year than was allowed for this. ‘The same measure also allowed $79,- 324,000 less for non-military work, but much of this reduction was due to non- recurring emergency construction au- thorized last session and not continued in the new bill. As submitted to the House, the bill would allow $273,079,000 for military and $72,743,000 for non-military ac- tivities for the 1934 fiscal year. This ‘was an apparent reduction of $110,000,- 000 from this year, but $50,000,000 of this- was accounted for by non- recurring emergency construction, Principal Items in Bill Among the principal items in the bill are $39,388,000 for rivers and harbors maintenance work, without specific allocations in the bill; $225,484 for Muscle Shoals; $19,653,000 for issippi River flood control not speci lly allocated; $768,480 for flood control on the Sacramento River, Calif.; $11,106000 for the Panama Canal: $3,354,000 for the Reserve Offi- sers’ Tra Corps; $35,000,000 for the Natlonal Guard; $2,344,000 for West Point; $2,035,000 for seacoast dztenm” H Quartermaster Corps, and $128,165,000 for pay of the Army. Excluded from the bill was $1,000,000 asked by the Budget Bureau for con- tinuation of Citizens' Military Training Camps. In a statement, chairman Col- lins of the Appropriations Subcom- mittee, which recommended the sus- . C. activities, said: ““The budget includes $1,000,000 for this component, which would occasion a reduction in the number of trainees from 37,500 to 13,000. To effect this Teduction would cause injustice and discrimination than at all vegiments with light com- mercial vehicles, continue the officer of E\Ile-“ Army at 12,000 instead Training Corps from 42 to 30 days and cut recruiting ex- penses in half. Likewise, it would allow the Air Corps to make contracts for new planes to the extent of $3,000,000 in addition to g an outright appropriation of $23,537,000 to that branch. Although the bill made no specific allocations of funds for rivers and har- bors or flood control works, the com- mittee allowed, without change, the amounts asked by the Budget Bureau. 377,000 Youths Drilled. ‘The year's suspension of Citizens’ Military Camps, which have drilled '377,000 Americans in the arts of warfare, would cut $1,000,000 from the expenses of the Government in the next fiscal . A similar recom- mendation last session was defeated by the House after hectic debate. There are indications of another uproar this year. When the War Department drafted its estimates for the next fiscal year, it was shown in hearings made public today, it ed $2,000,000 for the C. M. T. C.,, agi $2,603,000 this year. But the Budget Bureau, at the suggestion of President Hoover, reduced the re- quest to $1,000,000. And the appropria- tions subcommitiee went the Budget Bureau one better, voting to leave out all money for the C. M. T. C. Sex of War Hurley reluctantly supported the $1,000,000 , in- stead of $2,000,000 because “that is my chief’s word, and regardless of what my personal attitude is, I must, and I do, support the budget.” ‘The $1,000,000, according to Maj. Gen. Charles H. Bridges, adjutant general, would have been used to train 13,000 candidates against the 37,500 being trained this year. submitted figures sho the C. M. T. C. was established in 1921, more than 689,000 youths had ap- plied for the training and 377,000 trained at the Summer camps. Advance in Air Shown. Hearings on the supply bill devel- oped that an advance in the past year from fourth to third rank in the world’s military air strength has been made by the United States, in the opinion of F. Trubee Davison, Assistant Secretary of ‘War for Aviation. “Our tactical position is very much better today than it was at the begin- ning of the 5-year program, in spite of all the difficulties we have gone through, particularly in the last three or four years,” Davison told the committee. “That has reflected a change in our relative air strength, as compared with (Continued on Page 2, Column 8.) TWO MEN BATTLE RABID DOG; CHILDREN PLAYING NEARBY SAVED Canine Imprisoned When Trapped in Cab of Truck by CLOTURE RESOLUTION SOUGHT BY LEADERS Montanan Says He Would Invoke Drastic Step Against All Legislation Offered. The Senate shortly before 3 o'clock temporarily laid aside the banking bill and resumed work for the third time on the deficiency bill after Sen- ator Long had announced he had no desire to hold up the District re- lief fund if those in charge of that bill were ready to proceed. An open threat to block all Senate business in order to force currency in- flation was made in the Senate today by Senator Wheeler, Montana Demo- crat, while a drastic cloture resolution was being prepared to break the fili- buster against the Glass bank bill and allow consideration of thé deficiency bill which carries an appropriation of $625,000 for District relief. Senators Long, Democrat, of Louisi- ana. and Thomas, Democrat, of Okla- homa. echoed Wheeler's sentiments. Meanwhile, Senator Fletcher of Florida, ranking Democrat on the Banking Committee, was preparing a cloture resolution to break Long's fili- buster against the bank revision bill sponsored by Senator Glass, Democrat, of Virginia. ‘Would Make Rule General. ‘Wheeler interrupted Long’s filibuster to say that unless legislation to inflate the currency is enacted he would be “perfectly willing to stop all legislation until Congress wakes up to the necessity of xi‘:‘"' something.” ¥ : ghe %m D unable to make the appeal in the Senate. Washington Awaits Senate. “Washington has no board of alder- men except the Senate, and in the pending deficiency bill there is $625,- 000 to come from District for relief work. The amount we appro- priated last June for this purpose not as great as we thought necessary, having cut down in conference. “The House promised that if an addi- tional amount was found to be necessary it could be obtained through this de- ficiency bill, and the House has kept its agreement. It is now up to the Senate, and this money could be made available immediately if it were not for this filibuster.” Senator Bingham said that, contrary to his general policy, he would vote to invoke cloture if it is proposed on the pending bank bill in order that the way may be opened to relieve these needy people in Washington through action on the deficiency bill. In resuming his filibuster against the banking bill, Senator Long declared the fight is one between “Liberals and Conservatives.” Glass to Force Vote. As Long began his attack upon the bill where he left off yesterday, Sena- tor Bingham asked if he would “yield for a brief appeal in behalf of the poor people of the cpuntry.” In declining to do so Long asserted the Connecticut Senator “hasn't the “When I want any advice about poor people,” he said, “I want it to come (Continued on Page 2, Column 5.) TWO SLAIN ON BRIDGE Deputy and Prisoner Shot on Way to Jail—Mistake Suspected.