Evening Star Newspaper, May 21, 1933, Page 1

“From Press to Home _ Within the Hour” The Star is delivered every evening and Sunday morning to city and suburban homes by The Star’s exclusive carrier serv ice. Phone National 5000 to start delivery. WEATHER. (U. 8. Weather Bureau Forecast.) he WASHINGTON, D. C, unday Stac, WITH DAILY EVENING EDITION UP) Means Associated Press. FIVE CENTS IN WASHINGTON AND SUBURBS TEN CENTS ELSEWHERE Entered as second class matter post office, Washington, D. C. No. 1,470—No. 32,527. SUNDAY MORNING, MAY 21, 1933—NINETY-TWO PAGES. FOUR-POWER PEAGE 2 EXPECTED UNDER NEW LAW Leading Industries of Nation Look For- ward to Higher Commodity Scale and Pay Rates. TREATY DISUSSED BY FASHT CHEF Duce Takes Up Salvaging of Proposed Pact With His 'QUICK WAGE, (Copyright. 1033, by the Assoclated Press.) | Many of the Nation's leading mdus-, tries are locking forward to increasing Lieutenants. SECRET SESSION HELD; MEET AGAIN TOMORROW Belief Grows Italo-German Conces- sion Has Been Submitted to French and British. | By the Associated Press. | ROME, May 21.—After a two and a half hour’s secret session in which Pre- mier Mussolini discussed his plan for salvaging the proposed four-power peace pact, the Fascist Grand Council was dismissed early this morning until Mon- day when the discussion will be re- sumed. ‘The brief communique issued at the close of the meeting did not disclose the status of the negotiations but merely said that the debate would be resumed Monday night at 10 o'clock. Reports Gain Credence. ‘This attitude of secrecy lent impor- tance to reports circulated before the meeting that a recent Italo-German concession for adoption of the pact had been submitted to the French and British governments. In that case the Duce would be un- able to make a public statement on the subject until answers had been re- ceived from London and Paris. Shortly before the meeting of the Grand Council Premier Mussolini had . held conferences with Capt. Goering, Chancellor Hitler's right hand man, and with the British and French ambas- sadors. | Mention of Pact Avoided. ‘The official communique issued after the meeting studiously avoided mention of the pact and likewise any reference to Pre nt Roosevelt’s initiative or Chancellor Hitler's speech. The announcement sald that Signor Mussolini and others spoke. It added that Guido Jung, the finance minister, reported on his conferences at Wash- ington and afterward submitted to questioning. ‘The Duce, th:lo comltm.x’n(que said, nex- pressed satisfaction at Jung's report. The German ammdceh toward the Mus- | debt : Minister | that, date. © Subsequently, when the memorandum containing _ alterations was prepared, the chancellor insisted that the pact be returned to its form. The original Mussolini. proposal called upon Britain, France, Germany and Italy to pursue a common policy for peace. The French objections were based on criticism that the pact might result in a four-power dictatorship over Europe, to the detriment of smaller nations. Diplomats said that Chancellor Hit- fer now is willing to accept the French amendments. In his speech before the Reichstag Wednesday, he agreed to the pact proposal, but without men- tioning the original form. Informed circles said that Premier Mussolini was pressing his pact at this moment for three reasons: . The political situation has im- proved after the Roosevelt message and the Hitler Reichstag speech. 2. He desires to have the pact con- cluded before the World Economic Con- ference opens in London in the belief that it will increase the chances of suc- cess at the conference. 3. At the disarmament conference hopes are Toseate at present, but there | 7 still is a long road to travel and there- fore Italy considers the pact necessary in order to exert a beneficent influence on the parley and make possible definite arms reduction. Early Agreement Seen. It was learned in diplomatic circles that Capt. Goering’s presence in Rome today was primarily to co-operate with | Premier Mussolini in efforts to rehabili- tate the four-power peace scheme. Diplomatic circles regard the last- minute decision to continue the council meeting on Monday ss & result of the Duce's conferences with Goering and the British and French Ambassadors. ‘They are inclined to the view that a far-reaching agreement will be pos- sible shortly. A definite statement may be issued &t the conclusion of Monday's meet- ing, or perhaps in the Chamber of Deputies early in the week. It is understood that Premier Mus- lini will receive the Prench and Brit- h Ambassadors again today (Sunday). | DOUBTS LEGALITY OF INDUSTRY BILL Reed Predicts Courts Will Declare Federal Control Measure " Unconstitutional. i | he Associated Press. MORRISVILLE, Pa, May 20.—Sena- d A. Reed of Pennsylvania to- redicted President Roosevelt’s in- al req ry bill will pass Congress to be “bowled out by the courts as onstitutional.” 1 cannot imagine men being willing to invest in new industries and bear all the responsibility for failure without having any say &s to how that industry wages and raising commodity pnces‘ immediately the new business control bill becomes law. Already some of these industries have drawn @b detailed plans to proceed with Nation-wide adjustments of & sweeping character within a matter of hours after the new legislation relieves them of present Sherman law restric- tions. ‘The steel, coal, oil, lumber, automo- bile, utilities, textile and asbestos trades are among those of which the leaders have indicated they expest to be ready to file wage and procuction agreements quickly for approval of | Hugh S. Johnson, once he is definitely | appointed administrator of the new | law. Meanwhile, Henry I. Harriman, presi- dent of the Chamber of Commerce of the United States, in an interview last night forecast & speedy business up- turn as a result of the legislation. Forecasts Wage Increases. “In my opinion,” he sald, “the wages of 10,000,000 men will be raised within six months after enactment of this bill, PRICE BOOST and within that time many industries now using red ink will be using black.” | Friday, President Willlam Green of the American Federation of Labor es- timated before the House Ways and Means Committee that 4,000,000 per- sons now idle, would be put to work as a direct result of the $3,300,000,000 public works program and the new co- operation between trade units. At his office in the State Department Ercparations Tor putting the bl ato preparations for puf effect quickly, in compliance with the administration’s desire for speed. He not only is setting up an organization for industry into *| er- ship” with the Government, but is handling the exploratory details of the public works progrs Working with him in this latter phrse is a represcniative of the Budgei B reau and an officer from the Army En- gineers Corps. Hearings Tomorrow. Speaker Rainey expects House action on the legislation by May 27, but there has been no indication of how long the Senate would take to complete en- actment. The House Ways and Means Committee plans to report the meas- ure early next week, and hearings are to be started in the Senate Monday, with Senator Wagner of New York, a drafter of the legisiation, as the first witness. ‘The industrial provisions of the bill give President Roosevelt wide powers (Continued on Page 2, Column 8.) PARIS IS CONFIDENT U.S. WILL OVERLOOK DEFAULT AT PARLEY Refusal to Pay on June 15 Be- lieved Nearly Certain by High Officials. By the Associated Press. PARIS, May 20.—Belief that Prance will default on her debt payment: due to the United States June 15 approached certainty tonight in quarters close to the government. 4 In the same quarters it was expected that Great Britain and other debtor nations would also fajl to make their payments to the United States on It is predicted i tnformed quarters that in ‘the event of & réport on the debt payment President Roosevelt will maké a statement designed to prevent the default seriously affecting the Eco- nomic Conference. 2 Premier Edouard Daladier was de- scribed as being convinced President Roosevelt will not modify his demand that Prance must pay the interest in- stallment defaulted last December be- fore the American, Government will make any move for & new settlement. The head of the French government is likewise convinced, it is understood, his Parliament will decline to pay either the interest or the principal, since it no longer has any hopes for the declara- tion of a moratorium. Interest in parliamentary and govern- mental circles over the debt question is becoming more intense daily with the approach of the opening of the London Economic Conference, June 12, and the | debt payment date three days later. The amount of the French install- lrse.notogut for payment June 15 is $40,~ The composition of the French dele- gatlon to the London conference was studied today at a cabinet session which was devoted mostly to the outlining of | (Continued on Page 2, Column 7.) — HELD IN MAIL ROBBERY Four Suspected in $234,000 Sacra- mento Post Office Job. SACRAMENTO, Calif., May 20 (#).— ‘With the arrest in Reno, Nev., today of Sammie Anderson, alias Ray Louis Deekon, Sacramento police said they have in custody three other men suspected with Deekon of having staged the $234,000 post office robbery here February 9. William Wheeler, A. M. Clark and Lawrence Naeff were arrested last week | after the pclice had traced the motor car used to kidnap and rob a Japanese produce dealer. Investigation, police | said, uncovered evidence that may con- | nect them with the post office robbery. Walter Nelson, inspector of police, said Clark and Wheeler have been identified as two men who staged three recent kidnapings and robberies here. HARRIMAN SLASHES SELF WHEN FOUND “IN MENTAL DAZE' Inflicts Wound Above Heart but Condition Is Not Held Serious. By the Associated Press. NEW. YORK, May 20.—Joseph W. Harriman, indicted founder of a Fifth avenue beank bearing his name, who penned a sheaf of suicide notes and then disappeared from & nursing home 24 hours before, . stabbed himself over the heart in an obscure Long Island inn where he was found today. _The 68-year-old man, who was de- scribed ‘s ‘béing in a “mental daze,” stabbed himself while police walted out- side his room for him to his clothes. Officers said on the floor, bleeding from the wound. At a Mineola hospital, where he was taken in a fire department ambulance, his condition was said to be not serious. One of the policemen who acted as | stretcher .bearers said: “He didn’t seem to know what it was | all about. He was in'a daze.” Usel Assumed Name at Inn. Harrinis® went to the Old Orchard Inn at Roslyn late yesterday and regis- tered ynder the name of “A. T. Thomas, Louisville.” - Inspector Harold King of the Nassau County mm‘.e identified him, however, by the initials “J. W. H.” in his hat band and in several garments. Another note, described by King as indicating “suicidal intent,” was found on the floor when the inspector en- tered the room earlier in the day. It asked his relatives “be informed.” “Are you Mr. Harriman?” inquired Harriman answered, “I am A. T. Taomas of Louisville.” “You're not Joseph W. Harriman of New York?” “No." “Why did you come here?” “My son died around here some time ago,” Harriman replied. His only son, Alan, was killed in an automobile accident near Roslyn, and is buried in the Locust Valley Cemetery. “I dont feel like dressing yet,” Har- riman replied to King’s suggestion he arise. “My stomach is upset., That's why I came here.” Arrived in Taxicab. King learned the banker had arrived at the inn in a taxicab after stopping first at Locust Valley. Police had guarded the cemetery all night because of their knowledge of how deeply Har- riman had mourned his son’s death. (Continued on Page 2, Column 1.) COAL OUTPU:I' INCREASES Bituminous Production Gain Over Last Week. Bituminous coal production, one of the barometers of industrial activity, increased lagt week. The Bureau of Mines reported yester- day that 5,080,000 tons were mined during the six-day period, compared with 4,810,000 tons the previous week. Production this year has been above that for the corresponding period last year, for the last four weeks. Shows Results Credited to Headway | [Foreclosures on real estate through- decrease, the Federal Home Loan Bank is run,” declared the Senator. “This industry recovery bill its &x:werfl in the President’s hands which think are beyond any man’s capacity. “I concede Mr. Roosevelt’s sincerity end honest. desire to rehabilitate indus- try, but T do not think any one man, or any group of Washington bureau- crats, can manage the commerce and industry of this Nation.” Reed nlso expressed doubts about the outcome of the Geneva arms parley. “I am very skeptical of the desire of some European nations to disarm,” he rcommented. Reed declared any attempt of the don Economic Conference to fix iffs by treaty, which he said he had been told “is in the wind,” would mean American industries to indicated yesterday in statistics gathered in 48 States. ‘The board said its survey comprised 44.9 per cent of the total population of the country and was made in 660 repre- sentative communities. In April, ac- carding to the report, there were 13,431 foreclosures, a drop of 162 compared with March, and 1,181 compared with the January total of 14,612. ‘The report said these figures included both farm and commercial properiies | as well as homes. | “This decline in foreclosures in the mrmmnnmolhhhyenlseon:& DROP IN REALTY FORECLOSURES SHOWN IN GOVERNMENT SURVEY by Home Loan Bank Chief. out the United States have begun to|USLY on Relief in Mortgage Field | inc: in April by 627 over the Jan- Stevenson attributed the results to “the headway that is being made to re- lieve distress in the mortgage fleld.” He said his bank system, whose active lending_opera uary 15, last, already loans mounting to $43,944,738 to mem- ber institutions for home financing pur- poses. ‘“Home financing _institutions have undoubtedly been influenced to refrain from foreclosures through anticipation | of the increased availability of % by the extension of the Home Bank system, as its membership in- creased and loans mounted,” the chair- man by the legis- ment KANSAS CITY YOUTH ISORATORY WINNER: D. C. GIRL IS SECOND John Milton Phillips, 17, Is National Champion, After Close Contest. TWO BALLOTS REQUIRED TO MAKE FIRST AWARD Grace Mary Colliffiower Makes Strong Bid for Title—Florida Boy Is Third. Jchn Milton Phillips, 17, of Kansas City, Mo., speaking for the Midwest, won the Tenth National Oratorical Contest in Constitution Hall last night. Grace Mary Collifiower, also 17, the St. Cecilia’s Academy girl who cham- pioned the District of Columbia and nelghboring countles of Maryland and Virginia, won second place. The contest, presenting the keenest competition of any of the annual meets, was decided by the narrowest margin. The first ballot resulted in a com- parative tie for first place between Miss Collifiower and Mr. Phillips. The second ballot, taken on the three top contestants as determined by the in- itial ballot. gave the Kansas City boy the champlonship by a single unit. H received a low-point total of 8 and Miss Colliflower received a total of 9 units. Good Sportsmanship. Phillips won the championship with a prepared oration on “The Living Con- stitution” and an extemporaneous ad- dress on “How Does Congress Act a Check on the Supreme Court?” Miss Colliflower won her honors with a prepared oration on “Thomas Jeffer- son: Father of Constitutional Democ- racy,” and an extemporaneous speech on the assignment, “Compare the Lead- ership of Jefferson with that of Frank- nnADehno Roosevelt."” y note of keen sportsmanship and goodfellowship marked the nnnguncf- ment of the verdict by Fleming New- bold, business manager of The Wash- ington Star, when Samuel King, the 17- year-old Scotch-Hawalilan boy who Journeyed all the way from Honolulu to spokesman for _the Pacific zone, walked directly to the two first-place winners and looped Hawalian leis about their necks. King had brought the col- orful garlands ail the way from his island home with him to salute those Who would defeat him. His gesture won tremendous applause from the sudience, Florida Boy Third. The only place announced st the end of the contest was third, and this Wwas captured by George W. Oliver, jr., 17, of Lake Wales, Fla., champion cf the Southern zone. He uséd a pre- pared oration on “The of the Constitution in the Regulation of Business” and an extemporaneous ad- dress on the query, “If the Federal Re- serve System is so Marvelous, Why Have So Many Banks Fa!led Under It?" The verdict was rendered by a board of scholars, composed of Dr. Cloyd Heck Marvin, president of George Wash- ington University; Dr. Hayden John- son, chancellor of National University; Dr. W. Coleman Nevils, president of Georgetown University;, Dr. Lucius Clark, dean of American University’s Graduate School; Dr. James Hugh Ryan, rector of Catholic University, and Roy ‘St. Lewis, Assistant Attorney General. Presided over by Randolph Leigh, director general of the contest, the finals were opened at 8 o'clock by Right Rev. James E. Freeman, Bishop of Washington, who in his brief intro- ductory address paid tribute to the work which the young orators had done and were doing in the contest. The study and orations which that study produces, Bishop Freeman de- clared, “is an encouragement and in- spiration to the sluggish and careless citizen who is content to drift along, on the flowing and erratic tides of an (Continued on Page 3, Column 4.) TODAY’S STAR PART ONE—20 PAGES, General News—Local, National Foreign. and PART TWO—8 PAGES. Editorials and Editorial Features. News of the Clubs—Page 4. Stamps—Page 5. Parent-Teacher Activities—Page 5. American Legion—Page 5. Italian War Veterans—Page 5. The Home Gardener—Page 6. Public Library—Page 6. PART THREE—8 PAGES. Society Section. PART FOUR—8 PAGES. Amusement Section—Stage, Screen and Music. Marine Corps News—Page 3. In the Motor World—Page 4. Aviation—Page 4. D. C. Naval Reserves—Page 4. American Legion Auxiliary—Page 4. Spanish War Veterans—Page 4. Serial Story, “Valiant Dust”—Page 5. Fraternities—Page 5. Organized Reserves—Page 5. Yachting—Page 6. Community Center Activities—Page 6. District N?flmnl Guard—Page 6. Veterans of Foreign Wars—Page 6. Y. W. C. A. Notes—Page 6. Radio—Page 7. D. A. R. Activities—Page 8. American Gold Star Mothers—Page 8. PART FIVE— PAGES. Sports Section. PART SIX—I14 PAGES. Hfi::l:h] News and Classified Adver- 8. Community Chest News—Page 13. evmgle% American Veterans—Page 14. U. Notes—Page 14. PART SEVEN—16 PAGES. e Sectlon. Reviews of New Books—] 11. Notes of Art and Artists—Page 12. Crossword Puzzle—Page 13. Boys' and Girls' Page—Page 14. Highlights of History—Page 15. ‘Those Were the Happy Days—Page 16. GRAPHIC SECTION—§ PAGES. World Events in Pictures. COLORED SECTION—$ PAGES. Holly of Hollywood; Ki " PUBLIC WORKS BILL / ped e —_ Ny / I'M LEADIN MY CABINET COLLEAGUES, AT LEAST H HOUSE TO EXPEDITE | Approval During Week s Goal Set by Democratic Leaders. BY G. GOULD LINCOLN. Passage by the House during the| coming week of the administration’s ! public werks and industries bill is the | goal set by the Democratic leaders of | that body. | This measure, the most ambitious of | the whole Roosevelt recovery program, | is to be whipped into shape by the Ways and Means Committee, perhaps during tomorrow and Tuesday. ‘When it is brought to the floor of | the House it will be considered under a special rule and forced to early action. The expectation of the Democratic leaders is that the tax section of the bill. providing revenue to meet the | Ainancing of -the -$3,300,000,000 public | works program, will-be minus the man- } ufacturers’ sales tax. i “The sentiment of the great ma- | ! jortity of the members of the House | today is against a general sales tax,”| | Majority Leader Byrns said yesterday. Boosted Income Rates Seen. At the same. time it appeared more and more likely. that the bill, when it comes from committee, will carry pro-| vision for increasing the normal in- come tax rates. This increase in the | normal rates—from 4 to 6 per cent on | the first $4,000 of taxable income and | from 8 to 10 per cent on the second | $4.000 — will be in combination with other taxes to raise the needed $220,- 000,000. | ! The Democratic leaders expect Presi- | dent Roosevelt during the week to send | to Congress a special message asking | authority to enter into reciprocal tariff | agreements with the foreign powers. | They say they will be able to put a reso- | lution granting this power through the | House without much difficulty. And | when they have heard from the Presi- dent on that subject, they believe that they will have had the entire program of the administration for the present session. They do not look now for a request from the President to deal with the foreign debts to this country grow- ing out of the World War. Indeed, there are some of them who insist that | the President has never considered ask- | ing any power to deal with the war | debts except perhaps to postpone the Ju}r;: 15 pns;mmt. | REICH FIGHT ON JEWS ON “LEVEL OF KULTUR' { [ German Justice Commissioner Sees Their Banning From Legal Development. By the Assoclated Press. BERLIN, May 20.—The Nazis will bar Jews “for all time" from taking part in shaping the development of German legal machinery, Hans PFrank, Reich commissioner of justice, told candidates for the bar tonight in a wildly applauded speech. “Germany is about to become a na- tion of masters (merrenvolk),” Com- missioner Frank said, “and the world will have to get used to it. “We won't infringe upon the rights of other nations, but we will reserve the ht to pick our associates.” Explajning that the Germanic law would be substituted for Roman law, Herr Frank added: “Our introducing the race as a legal conception is a tremendous step in juridicial progress. 3 “We are anti-semitic, but not bar- barians. “Our fight aginst Jewry is being in a manner corresponding to the high level of our kultur. All the | world's atrocity lies will . OPPOSES NON-HAWAIIAN Island Chamber Seeks Resident for Governorship. Blind Farmer Uses Nose in Lieu of Eyes In Onion Cultivation By the Associated Press. VALDOSTA, Ga., May 20— Z. R. Hutchinson’s sense of smell is very keen and he specializes in growing oniors, so blindness isn't much of a handicap to his work on the farm. His nose guides him in lleu of eyes, and thereby he plants, cultivates and harvests his crop with the proficiency of one who sees. He alone produced a 25-acre crop of onions this season and was the first farmer in Brooks County to ship a solid carload to Northern markets. He has nine other carloads ready to sell as market conditions demand. BAPTISTS ELECT DODD PRESIDENT | Pay-as-You-Go Plan Adopted to Solve $6,000,000 De- ficit in 5 Years. After electing Dr. M. E. Dodd of Shreveport, La, as president of the 1934 convention, which is to meet in Fort Worth, Tex., the Southern Bap- tist Convention- solved its biggest prob- lem last night by voting unanimously a pay-as-you-go plan for wiping out its $6,000,000 indebtedness in five years. Under this debt-paying plan, 100,000 Baptists would be enrolled in the club to give $1 a month until the debt is eliminated. This would raise $1,200,000 a year. Once adopted, the plan was speedily put into action last night, the conven- tidn giving its approval by a rising vote and each of the approximately 2,000 persons in the hall signing pledge cards to enroll at $1 a month. Dr. Frank Tripp, St. Joseph, Mo., who framed the “Baptist 100,000 Club,” out- lined and championed it in a ringing speech. He warned the convention that they faced a real debt emergency which must be met as other business enterprises are meeting similar emer- gencies by setting up the necessary machinery. “The installment plan of debt paying is an American institution,” he de- clared. “The American Red Cross is | (Continued on Page 2, Column 4) TROOPS WIN IN ECUADOR Rebels Thrown Back and Rio Bamba Occupied After Battle. QUITO, Ecuador, May 20 (#).—After a seven-hour combat the Government forces from Quito today defeated the rebels near the town of San Andres, proceeding thereafter to occupy Rio Bamba. In the meantime, other government forces from Guayaquil are approaching the rebel strongholds, advancing slowly because the rebels have torn up the | railway line. BANKERSATTAGKED N CUARANTY PLE Steagall Holds Bill’s Foes En- trenched Deep in U. S. Treasury. By the Associated Press. A warning that bankers who “have got their arms up to the shoulders in the Treasury” are opposing the measure began House debate yesterday on the broad Glass-Steagall bank reform bill That statement was made by Chair- man Steagall, co-author of the bill, in starting four hours of debate that will continue tomorrow. After explaining the bill with its pro- visions for &' deposit insurance system, the separation of banks and security affiliates and its general plugging of holes in the Federal Reserve sct, Stea- gall told the House: “This bill will establish & ¢antrol to see to it that hereafter the facilities of the Pederal Reserve are devoted > marily to the things for which Y were' intended.” Holds Some Are Honest. He criticized “international bankers,” “most high finance” and “‘mismanage- ment,” but added that “some bankers are honest, thank heaven.” telegrams they had received from bank- ers protesting against the deposit insur- ance feature of plied: “I would advise you gentlemen to go down to the Treasury and see how many of the bankers opposing this bill have got their arms up to the shoulders in the Treasury of the United States. That can't go on forever.” The general public, he said, doesn't understand technicalities of banking, but “demands the right to put the fruits |of its toll into a bank and have that | money as safe as though it were in- vested in a Government bond.” Points to Guaranty. “This bill will give that guaranty,” he said. Representative Patman, Democrat, Texas, opposing the deposit insurance provisions, argued that “not more than one-third of the 12,000 State banks in the country will be able to qualify for membership in the insurance fund.” When the House on Monday resumes and only slightly different bill, that sponsored by Senator Glass, Dembocrat, of Virginia, will be taken up ‘again in the Senate. BRUIN TREED BY COW Threatened Attack on Calf Creates Commotion on Ranch. KLAMATH FALLS, Oreg., May 20 | (#)—It happened when a brown bear | threatened the wrong cow’s ecalf. “Bossy” turned on the intruder. At- | tracted by the commotion, ranch hands | found the bear had sought refuge in a | tree. Today they were preparing a new 1bear rug for the Ralph Darling Ranch here. ffREFINANCiNG PROCESS SIMPLE UNDER HOME OWNERS LOAN BILL Either Mortgagor or Mort ernment for Relief. By the Associated Press. If you own a $15,000 home with a $10,000 mortgage on it, this is the way you would go about gettifig relief under the administration bill approved yester- day by & Senate subcommi ittee. Although the bill is still subject to be about the i 3 §2:B‘. gagee May Approach Gov- if necessary, whigh would be added to your debt, provided the total obligation did not exceed 80 per cent of the ap- | praised value of your home. If you are out of a job and tem) rarily unable to pay anything; ig,s hi 05 g 5 : 8 g3 of | be combined. DOUGLAS TAX PLAN DUE TOMORROW IN HOUSE COMMITTEE | |Method of $3,300,000,000 Public Works Support to Be Drafted. \ MODIFIED OR LUXURY EXCISE TAX SCHEDULED Doughton Wants Program Big Enough to Bring in $220,000,- 000 Yearly to Fund Bonds. By the Associated Press. A tax program designed to assure sufficient revenue to back the projected $3,300,000,000 public works program of the administration’s industrial control bill is to be drafted in executive ses- slon tomorrow by the House Ways and Means Committee, which yesterday completed hearings on the gigantic measure. Although Democratic House leaders decided to put the administration ofl control bill into the industrial measure as an amendment, Chairman Doughton of the Ways and Means Committee Just night said the first thing on the pro- gram was to determine how $220,000,000 could be raised annually for the in- terest and sinking fund requirements of the bond issue. Hearings on the Mar- land bill, to give the Secretary of the Interior control over oil production, will have to await until Tuesday, Doughton said. Based on Douglas Schedule. Indications are that the new revenue program will be based on a schedule submilted by Lewis W. Douglas, di- rector & ‘the budget, to the committee, calling for increased income taxes, sub- Jecting coporate dividends to the taxes and either an increase in the gasoline tax or a modified or luxury excise tax. Doughton said that with the excep- tion of minor amendments, the indus- trial section and public works title of the measure would not be revised. The whole question revolves, he said, on the taxation program. He said he wanted to get a program that would insure sufficient revenue to bring in $220,000,000 & Yyear to fund ‘wanted it to be “the least burdensome, the least objectionable and. the least offensive” program possible. favor an amendment to the taxatfor provision, calling for the immediate cans cellation of the new taxes in the event treasury revenues, either through the repeal of the eighteentlr amendment of When several members asked about comm Inclusion of Ol Bill “If the President wants to delay this Ehfl:‘mx the inclusion “Koul:‘ bill, ’s up to him,” Dough said. He lxfled the President had given the committee only until early this | week to decide upon a tax program and | that it was his intention to have it com- leted before the President carried out hs,:lwd intention of submitting one own. of oil control President Roosevelt's letter Rainey, re the two measures . He also said that Seq: itary Ickes was prepared to come {fore the committee Monday to explain | the measure. | Subsequently, hearings on the oil considération of the bill, its companion | He committee should agree upon a tax | program Monday, and so notified the pmembers at the end of today's session. Doughton said “the tax program will be a compromise and the judgment of no one man of this committee will pre- vail.” Asked whether he thought the sales tax had any chance of being in- cluded, Doughton said that there was some sentiment in the committee for it, but that he felt it would have little chance of being approved by the House if reported out by the committee. Rankin Fights Sales Tax. A vigorous protest against any at- tempt to include the sales levy was made in a statement by Rej tative Rankin, Democrat, of ippi, who quoted President Roosevelt as saying that he was “horrified” at the sug- gestion. Rankin . asked for increased inheritance taxes and restoration of the war-time excess profit taxes. In this he was joined by Representative Kvale, aiho sagweetod & man ne ta also suggested a gross income ' levy in addition to the existing net tax. dlD witnesses were industries advocated the manufacturers’ excise levies in preference to the in- | crease in gasoline taxes. FIVE MEN DROWNED AS BOAT TURNS OVER Three of Victims Had Been Res- cued From Sinking Craft Shortly Before Accident. i 5§ i £ aery ] i i I