Evening Star Newspaper, April 25, 1933, Page 6

A—6 THE EVENING STAR. WASHINGTON, D. C., TUESDAY, CUMMINGS SCORES FINANCIAL CRIMES Justice Department Probing to Find “Worst,” He Says on Radio Forum. Charging that “financial crimes” had been committed in high places grow- | ing out of banking irregularities and ! income tax evasions, Attorney General Cummings last night declared Department of Justice was making ex- tensive investigations to discover the | the | “worst,” and would “remedy." “Those who have considered it le gitimate to gamble with other peopl money,” warned the Attorney General, “must abdicate their leadership and those who have thought that the cen- ter of Government is located in the financial district must learn that its proper seat is at Washington.” In a speech considered one of the most sharply-worded attacks against illegal financial practices since Presi dent Roosevelt's famocus inaugural ex: corfation of the “money changers, Attorney General Cummings spoke di- rectly to the American people in the National Radio Forum, arranged by ‘The Washington Star, and broadcast over a nation-wide network of the Na- tional Broadcasting Co. Asks Public Support. It was & brief part of his address that Attorney General Cummings de- voted to financial irregularities, but he spoke incisively, and called lic support of his policies. not a program of partisanshi said; “it is a program of patriotism which I am confident the people of America, without respect to previous Eany affiliation, will welcome with gla earts.” The legalized beer industry, Mr. Cummings declared, “should be kept free from the control of racketeers.” Already, he pcinted out, it has become apparent that “the bootlegging inter- ests will seek to levy a toll on the manufacture and distribution of legal beer as they have done for years.” Pre- dicting the honest beer industry would be “preved upon” by outside influences, he said that those who were endeav- oring honestly to live within the law would find a friend in the Department then apply of Justice. The eighteenth amendment, | he warned. however, had not been re. pealed, and he pledged the depart ment to see that “it- is respected and enforced.” “Minor offenders may well be left to the judgment and discretion of local cowrts,” he sald, “so that the work of the Bureau of Prohibition may be con- centrated upon the activities of com- mercial violators, racketeers and groups of offenders who make it their busi- ness, by conspiracy and violence, to de- fraud the Government, terrorize legiti- mate business, and bring the law into disrespect.” “Amazed” at “Dead Wood.” “Amazed” at the amount of “dead wood” he said he had found in the Department of Justice, the Attorney General said already he had saved an amount in excess of $200,000 by the elimination of a large number of “to- tally unnecessary” employes, both in Washington and in the fleld, “This process of elimination,” he said, “I expect to continue,” explaining that substantial savings could be made in the offices of practically every United States District Attorney. Under the economy program, the speaker said he planned to save $8,500,000 from the appropriation for the department for the coming fiscal year. In criticizing the ‘“enthusiastic ‘manner in which many people indorse thembelves for at- tachment to the public service,” the Attorney General said, however, that due to the specialized work which many lawyers in the department were doing, “there can be no indiscriminate removal from the service of thcse who are efficiently and faithfully discharg- ing their duties.” Great care would be taken in making recommendation to the President for candidates for appointment as Federal judges, district attorneys and United stlndzes marshals, the Aftorney General sl Explains Organization. The chief law officer explained the the | | “Financial Criminals”! ATTORNEY GENERAL CUMMINGS. —Star Staff Photo. | cupied by it and the general dutles it has to perform. Take Government for Granted. In times of great prosperity, when | things appear to run themselves, our people are inclined to take our Govern- | ment for granted. When trouble de- velops we appreciate more acutely the ! extent to which our welfare is depend- | ent upon the proper functioning and economical acministration of the various departments of our Government. Such | periods result in a sharp awakening of | public interest. We are passing through uch a period at the present time. Clearly there should be a thorough over- hauling of every department of our | Government. This is a process which cannot be accomplished by a wave of the hand. It is going to require per- sistent, intelligent and unrelenting ef- fort over a very considerable period of time. | ‘When this administration came into | power on the 4th of March, public af- | fairs were in a deplorable and, let me add, well-nigh desperate condition. The incoming administration and all the de- partments thereof were, therefore, un- der necessity of dealing not only with an immediate crisis calling for the ut- most swiftness and precision in_action, both administrative and legislative, but they were required also to meet the im- perative problem of departmental econo- my so that the national budget might be balanced. In other words, each and every department had to undertake a cleansing process and had to bring itself into efficient co-ordination with the Na- tional Government as & whole. More- over, each department was required ‘to extend its activities and, at the same time, cut its expenditures by sub- stantially 25 per cent. Difficult as this program may seem, and as impossible as it appeared to many people before it was undertaken, it has now advanced to a stage which enables us to say that the results aimed at will be achieved. It is & source of gratification to realize | that the people of this country, without | respect to partisanship, are thoroughly | 2&1 accord with this program of regenera- | on. Detection Not Sole Duty. ‘There seems to be an impression in many quarters that the chief duty of the Department of Justice is to detect and punish violators of the Federal criminal laws. This, of course, is one of its essential functions, but there are others of great importance. For in-, stance, the department defends all civil ‘ claims’ against the Government. | involves the consideration of an end- | less number of cases dealing with suits based on contracts, claims made for the | refund of taxes asserted to have been | overpaid, and various other matters of | a similar nature. In addition to this { the department represents the United States in innumerable civil suits to re- | cover moneys claimed to be due to the Government; it proceeds in matters of | land condemnations, and in other types | | volving novel and difficult problems | attorney and counsellor at law. | allocated to sundry subdivisions. of litigation too muiltifarious to men- tion. | Moreover, the Attorney General acts as adviser to the President and to the heads of the various executive depart-| ments in matters involving questions of law and is frequently called upon | for both written and oral opinions. In addition to this the services of the department are invoked in connection with the drafting of new legislation, especially with reference to matters in- In a word, the Attorney General, together with the available machinery of the Department of Justice, is at the dis- posal of the Government of the United States in performing the funl'tiuns_nn( he client is the United States of America and this client is advised from time to time and, when necessary, represented in the courts of the land. f 12 Important Divisions. For purposes of convenience, the work of the Department of Justice is ‘There are many of these and 12 of them are of outstanding significance. One of these great subdivisions is under the direction of an official known as the solicitor general. It is a post of very great importance and one which has con- sistently been held by lawyers of the first rank. There is a department pre- sided over by an official known as the Assistant to the Attorney General, who has charge of anti-trusi matters. There are seven Assistant Attorneys General, | amongst whom there are allocated mat- ters dealing with the United States cus- tom laws, suits in the Court of Claims, matters_dealing with admiralty ques- tions, finance, taxation, prohibition, commerce, public lands, administrative functions, civil litigation and criminal prosecutions. In ad n to all of the foregoing there are three remaining de- partments of very great consequence. One of these deals with the matters af- fecting the enforcement of prohibition | and the official in charge is known as Anolher‘ | | the director of prohibition. large department is known as the Bureau of Invesjigation and is in charge of the director” of the Bureau of In- vestigation. Last, but far from being least, is the official known as the di- rector of the Bureau of Prisons. To his care all Federal prisoners are com- mitted. He has charge of the manage- ment of the Federal prisons, and he| must deal intimately with one of the| most difficult and perplexing of ad- ministrative and social problems. During the year ended June 30, 1932, there were commenced in the United States District Courts alone 126,363 cases to which the Government was a party, as compared with 22,541 in the fiscal year of 1914. While the prohibition law has undoubtedly brought about the greatest proportion of this increase, other factors have contributed in no small degree. New penal statutes, the enforcement tpr which devolves upon the Department of Justice, are con- stantly being enacted. The revenue laws are frequently changed, thereby resulting in the raising of new ques- tions for judicial determination. The questions which can arise in the Cus- toms Department seem to be without end. Literally the suits there are legion. ‘The engineering and construction pro- Jects of the Government have multiplied enormously in recent years. Thus, there has been an inevitable enlargement of the functions of the Department of Justice. It has grown as the Nation has grown. The new legislation en- acted by the present Congress will un- doubtedly, in due course bring new re- sponsibilities and dutles to the Depart- ment of Justice. Moreover, and I say this advisedly, financial crimes which have been committed in high places, growing out of banking irregularities and income tax evasions, will require unexampled activity upon the part of the Department of Justice. Conditions too long concealed, some of which lie at the very heart of our present dif- ficulties, must be brought to light and corrected. We have reached a stage where we want to know the worst and must know it before the remedy can be applied. Already extensive investiga- tions are under way along the lines in- dicated and their developments will be made known in due course, Gamblers Must Quit. I have sald before, and I sa in, that those who have consldyer:g‘ it legiggate to gamble with other people’s money must abdicate their leadership, and those who have thought that the center of government is located in the financial district must learn that its proper seat is at Washington. This is not a program of partisanship, it is a program of patriotism which I am ¢ fident the people of America, without respect to previous party afliation, will welcome with glad hearts. I would not be frank if I did not say that I am amazed at the extent of the dead wood in the Department of Justice. An amount in excess of $20f 000 has already been saved by th elimination of a large number of totall; unnecessary employes both in Wash- ington and in the fleld. This process of elimination I expect to continue. Substantial savings can also be made in the offices of practically every United States district attorney. These savings will have to do with the num- ber and compensation of assistant | United States attorneys, and employe: fees paid to jurors ard witnesses. Those | who remain in the service will have to work a little harder and at a lower remuneration, but, if they are made of the right stuff, they will realize that they are taking part, in a construc- tive and honorable way, in a great re- generative national program: and 1 shall confidently expect their hearty co- operation and support. The appropriations for the Depart- ment of Justice for the fiscal year end- ing June 30, 1933, total $45966,000. From present indications there is every reason to believe that when June 30 next is reached, there will remain about a million dollars of these appropriations unexpended. This, in itself, is no mean End Constipation Now Thanks to modern science. a non-habit: forming preparation has h gently but thoroughly clea: tract. Drives Min-Rol-Psyllia. A pleasant fruit flavored combination of pure mineral. oil, Psyllis d phenolphthal Does not gripe. Recommended by | ohysicians. Get a bottle for 89 today at Peoples Drug Stores. MIN-ROL-PSYLLIA achievement. The Congress has appro- priated $41,550,000 for the fiscal year e June 30, 1934, There would be no lculty, I am sure, in lving within the amount allowed, but under the plans of economy inaugu- rated by the administration and steadfastly carried forward by the very efficlent director of the budget, Mr. Douglas, the Department of Justice has been requested to reduce this amount by about and eight and one-half mil- lon dollars. This goal it will be our purpose to reach. It will require care- ful management, strict economy, lm- ited expenditures, reduced el, and savings in many directions. We have set our hands to this plow and we shall not turn back. Dry Law Difficult Question. One of the most difficult questions we shall have to deal with is the mat- ter of the enforcement of the prohi- bition law. The Congress has reduced the appropriation for this branch of our activities from about ten and one- quarter million dollars to about eight and one-half million dollars. This revised appropriation must further be reduced in order to bring about the additional savings which the economy program requires. The enactment of the 3.2 beer legislation, it is to be hoped, will reduce the number of minor offenders, resulting not only in a direct saving, but in the indirect saving which is re- flected in the costs of our courts and in the expense of maintaining prison- ers. It must not be forgotten, how- ever, that the elghteenth amendment has not been repesled and so long as it remains the law of the land it will be the duty of the Department of Jus- tice to use its utmost efforts to see i that it is respected and enforced. Minor i offenders may well be left to the judg- ment and discretion of local courts so that the work of the Bureau of Pro- hibition may be concentrated upon the activities of commercial violator: racketeers, and groups of offenders who | make it their business, by conspiracy and violence, to defraud the Govern- ment, terrorize legitimate business, and bring the law into disrespect. It is highly important that the legitimate, legalized beer shculd be kept free from the control of racketeers. It is to be anticipated, jand, indeed, it has already become ap- jparent, that the bootlegging interests will seek to levy a tol on the manu- facture and distribution of legal beer |as they have done for years with re- gard to illegal liquor and even more |innccent enterprises. No matter how honest the beer industry itself may be there remains the danger that it will be preyed upon by outside influences. This. in itself, constitutes a very sub- law will find a friend in the Depart- | ment of Justice; others will proceed at their peril There is Finest other aspect of the work industry | stantial problem. Those who are en- | deavoring honestly to live within the ' APRIL 25, 1933. of the Department of Justice to which I ocught to draw your attention. It branch of the Covernment, neverthe- less,. the activities of the department result in the covering into the Treas- ury of & large amount of money of additional revenues, and various forms of taxes. Moreover, - this department saves the Government substantial sums of money in defending, with success, suits brought against it. For instance, during the fiscal year now drawing to a close cases were brought against the United States involving more than $470,000,000. In these cases judgments were rendered against the Government for only $5,500,000, or a matter of & little more than 1 per cent of the amount claimed. ‘Heretofore, I have remarked upon the question of the elimination of unneces- sary employes. One of the most vexa- tious problems I have to dea} with| grows out of the enthusiastic manner in which many people indorse them- selves for attachment to the public | service. It must not be forgotten that the work of a lawyer employed by the d?unmenz 1s specialized to & very con- siderable degree requiring intimate knowledge of the branches of the hw1 uliar to governmental administra- tion. It is manifest, therefore,. that! there can be no indiscriminate removal from the service of those who are-efi- ciently and faithfully discharging their | duties. Such changes as are to be} | ment of the service and for that pur- pose_alone. One of the most important functions the Attorney General is called upon td. | perform has to do with_the recoms | mendation to the President of candi- | dates for appointment as Federal | judges, district attorneys and United States marshals. These officials are con- | cerned. in & most intimate fashion, with | | the rights, the liberty and the welfare of | | our le in all parts of the country. In particular the members of the judi- | clary (whose appointments run during | good behavior and therefore in most instances for life) must be selected with | 'Acids Cause Tooth Decay ids attack teeth and cause decay. To effectively fight this dangerous acid con- dition brush your teeth twice i pure milk of magnesia which coun- ity. This splendid den. tifrice also possesses safe cleansing and polishing agents which assure glistening white teeth. Get a gen- erous S0c tube for $9c today at Peoples Drug Store of GRAHAM \i;\.", TOOTH PASTE WRINGER WASHER No wringer type washer ever was built to equal this No. 36 Apex with its vacuum- type protected tub and exclusive Apex Double Dasher that washes a few dainty cannot be called & self-supporting | in through the settlement of judgments, | be the imposition of fines, thes collection | impart; 3 1 the utmost care. 8o far as I am con- | and almost ineradicable mark upon the cerned, there will be no undue haste very structure of our Goyvernment. I making such appointments. Each |am not saying these things to magnify person under consideration will be the tasks of the Department of Justice, studiously investigated 8s to his char- | but merely to state, in direct and sim- acter, capacity, knowledge of law, ple language, what purpose it is we and all other attributes which should are supposed to serve and how we are by an upright, honest, and | endeavoring to meet the dutis imposed ial judge. articular re- | upon us. sponsibility lies heavily upon me. From| In brief, I aim at a sane, wholesome personal experience I ow, and in| administration. The Department of every fiber of my being feel, that the | Justice belongs to the people of Amer- | made will be designed for the hetter-|. discharge of this duty is a solemn re- | ica. sponsibility. Many mistakes may It is their servant, ministering tc be | their needs, and I bespeak for it the repaired, but an error in the selection | support and the good opinion of all of such an official leaves a permanent law-abiding citizens. Gem.makes a SpeCIaltYOf beards that crumple the edge of usual blades. Yours may be rough, but the surgical steel of which Gems are made, is so much tougher that the heaviest stubble can’t stand up against it for an eye-wink. A dollar was never intended to own a razor like the Gem. Five times as good as its price. MICROMATIC RAZOR only. and BLADES He thinks coffee is doing this organization of the Department of Jus- | tice, the scope of its business in the Pansy Clumps garments as thorough- courts, the increase in its cases and the saving which results from success- ful defense of suits against the Gov: ernment. For the fiscal year now clos- ing, lLe said cases were brought against the United States involving more than $470.000,000. When the new administration came nto power, the Attorney General said, “public affairs were in a deplorable, and, let me add, well-nigh desperate condition. The incoming administra- tion and all the departments were, therefore, under necessity of dealing ot only with an immediate crisis call- ing for the utmost swiftness and pre- cision in action, both administrative and legislative, but they were required also to meet the imperative problem of departmental economy so that the pational budget might be balanced.” Text of Speech. ‘The text of Attorney General Cum- mings’ speech follows: When Edmund Randolph of Virginia was appointed Attorney General by Presidenxt Washington, pursuant to an act of the First Congress adopted on September 24, 1789, a department of law, subsequently designated as the De- partment of Justice, had its origin. From a very modest beginning it has de- veloped to its present rather overwhelm- ing proportions. The Attorney General of the United States, it has frequently been remarked, is at the head of the largest law office in the world. About 9,000 employes and officials fall within its direct supervision. It is a complicated mechanism dealing with questions affecting hundreds of millions of dollars and the mest sacred of human rights. Its functions have never been more important or more vital than they are today. On a later occasion I shall discuss the wider purposes and the special activi- ties of the department Tonight let me draw your attention to the fleld oc- (uticura TAL(UM POWDER ] T It embodies the Cutiemra rinciples of protecting and nefitingtheskin. Antiseptic, fragrant, srophylacfic,. deo- dorizing s2d refreshing, it isa rfect powder for dusting, or baby, for after shaving. 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