Evening Star Newspaper, June 9, 1933, Page 1

“From Press to Home Within an Hour” The Star’s Carrier system coversevery city block and the regular edition is delivered to city and suburban homes as fast as the papers are printed. WEATHER. (U. 8. Weather Bureau Forecast.) Partly cloudy, possibly local thunder- showers tonight or tomorrow; nct quite 50 warm tonight; gentle southwest winds. ‘Temperatures—Highest, 95, at 5 p.m. vesterday; lowest, 75, at 5:30 a.m. today. Full report on Page Closing N.Y. Markets, Pages 13,14&15 ch ¢ Foeni WITH SUNDAY MORNING EDITION ny Star. Yesterday’s Circulation, 118,208 Entered as seco post_office, No. 32,546. nd class matter Washington, D. C. WASHINGTON, D. C., FRIDAY, JUNE 9, 1933—FORTY s -SIX PAGES. Kok ok (#) Means Associated Press. TWO CENTS. NAVY ADOPTS NEW OPERATING PLAN 10/ INGREAGE SAVINGS t i Al Ships to Spend at Leas : Three Months Per Year in Yards. CREWS TO BE EMPLOYED IN OVERHAULING VESSELS | | Enlisted Personnel to Be Reduced | From 79,700 to 77,000. Trips Cut Down. 1 A new operating schedule for the fieet, superseding the rotating reserve, Frogram, was announced today by the Navy Department, under which: All ships will spend at least three months in Navy Yards, but each vessel is to retain its own ship’s company. Crews of ships must aid in overhaul, by doing 15 to 20 per cent of the work, because of reduced appropriations for overhaul and repairs at Navy yards. Complements of ships would be re- duced to 75 per cent. Navy enlisted personnel reduced from %9,700 to 77,000. Gunnery and engineering exercises to be reduced. Trips cut down and steaming limited. No fleet problem but Summer exercises to be held in Puget Sound, Wash., areu. Platt Plan Dropped. Under the rotating reserve plan, ad- vanced by Admiral William V. Pratt, chief of naval operations, which was later junked when it was estimated that only about $5,500,000 would be saved and the fighting efficiency of the fleét impaired, all ships would have been laid up six months in Navy Yards and their crew taken off and distrib- uted to other vessels in active full commission. Navy Yard workmen would have done most of the overhauling. Navy Department officials explained today that money for the navy yard has been reduced for the coming fiscal year some 25 per cent, but about 10 per cent of this has been secured through the plan of putting civilian workers back on a five-day week and other economies. The five-day-week program becomes effective in the Washington Navy Yard and elsewhere on June 25. Under today’s order, enlisted men on the ships are to be reduced from the present 825 per cent, as the normal complement, to 75 per cent. The authorities pointed out that the hew economies are imperative because of funds for repairs bzing cut and those for enlisted personnel being sliced. Text of New Order. Today’s crder follows: “To meet conditions imposed by drastic economies in all Federal appro- priations and due to other compelling Teasons, department considers during fiscal year 1934 material readiness im- provement of fleet is paramount and accordingly operations must be sub- ordinated. Anticipated increasein funds has not yet been made available and may not be forthcoming. Making due allowance for financial benefits from five-day week basis, present reduction in pay and reduced leave of yard force, bureau’s allotments to force com- manders will provide only 80 to 85 per cent of normal overhaul. ' Department’s study of arrival, conference reports and | costs of yard overhauls, indicate many costly items of work actually done by | yard as being well within capabilities | of ships’ forces, if sufficient time is allotted and security of mooring at docks, with contributory service facilities | are made available. | “In order to enable the fleet to for- | mulate plans for first and second quar- ters, 1934, general provisions of Oper- ating Force plan, 1934, dated May 11, 1933, and assignment of vessels, dated May 16, hereby made effective with | Tfollowing . modifications (a) Battle- ships, carriers, heavy and light cruis- ers assigned in plans to rotating re- us will be retained in full Battleships assigned as as. New York, Arkansas, Oklahoma to Battleship Division 1; Arizona, Nevada, New Mexico, Missis- sippi, Idaho to Battleship Division 3; West Virginia, Maryland, _Colorado, Tennessee to Battleship Division 4. Heavy cruisers as shown. Light cruis- ers Trenton, Memphis, Marblehead to Cruiser Division 2: Concord, Omaha, Cincinnati, ) ikee to Cruiser Di- vision 3. 1 enlisted personnel is gradually decreased to 77, stoppage of new mander in chief United States Fleet is authorized to decrease personnel allow- | ance of ships undergoing overhaul Pu- | get Sound at his discretion. New per- | sonnel wance lists are being pre- | pared by Bureau of Navigation. The overha and nce period at months, plus e as may be neces- to accomplish all apabilities. This | I their datory Savings Not Estimated. yers will be as: mailed the commander- Fl on June The 2 months in full com- months in rotating gned as arines for the present as TS, four in full raft will be retained in full status and operated in ac- loyment plan as submitted s chief U. S. Fleet, letter | 1318, dated May 19, hereby approved.! Prescribed gunnery and engineering ex- ercises will be reduced by the depart- ment to conform to reduced operating, conditions. Quarterly employment schedules may be promulgatea at dis- cretion of commander-in-chief, U. S. Fleet, in advance receipt revisions of operating force plan and assignment of vessels now being made by depart- ment. “If additional funds are provided, they will permit at the most for only 779,700 men and certain restricted opera- tions not originally provided for vessels “listed in rotating reserve status.” No_ estimate was available today at the Navy Department of the savings to be effected by the néw operating schedule. com -i it Ll Peasants Chased From Riches. ANGORA (#)—Turkish peasants plowing near Balikesser ancient tombs containing gold utensils | l and jewels. The governor of the dis- trict drove the peasants away and sent a hurry call to Angora for cxchelologists, | number of Box Score WASHINGTON. AB. R. = ° Myer, 2b.. Manush, 1t Goslin, ... Cronin, ss... Schulte, cf. .. Kuhel, 1b... Bluege, 3b... Sewell, c.... Whitehill, p. 4 3 3 4 O D= OR D I.—c:—wun—a |-.-.-...na=n» olnouooaoo-P gl R s oo 37 1 BOSTO! - = ® - z Johnson, rf.. McManus, 3b. Seeds, If..... Alexander, 1b. Ferrell, ¢ ... Friberg, 2b.. Oliver, cf.... Werber, ss .. s o - CeoOmUuBREE Fothergill cooc000OoRmO=OoD? C OO O D O Lo WK - OP 35 2 72714 3 Fothergill batted for Pipgras in Afth. Hodapp batted for Welland in ninth. SCORE BY INNINGS. 12345617858 Washingten 300020020~ 7 Boston ....00000000 2— 2 SUMMARY. Runs batied in_Cronin (), Schulte (2). woubass " hits—Cronin, " Schulte, Manush, Goslin (2). Stolen bases—Kuhel, C: Left on bases—Washington. Base on balls—Off Whitehill, 1: off Weiland, 1. Stduck out—By Whitehill, 1. T Pi; 7 in 5 innings. Dineen an its—Of Unpires—es Van Grafian. ; Boston. 6. 1; off Pipsras, CRIFFMEN DEFEAT BOSTON SOX, 12 Pound Pipgras and Weiland as Whitehill Pitches Superb Bill. BY JOHN B. KELLER. BOSTON, June 9.—The Nationals de- feated the Bostcn Red Sox here this afterncon in the third game of the current series. ‘The score was 7 to 2. FIRST INNING. WASHINGTON—Alexander made a o biparaes. covering. Brek retinng. the to Pipgras covering doubled against the scoring Manush. Schulte doubled to the right-field cor- ner, scoring Cronin. Kuhe! singled to left, scoring Schulte. Kuhel stole sec- ond. Bluege grounded to Werber. Three runs. BOSTON—Johnson flied to Schulte. McManus lined to Bluege. Seeds sin gled to center. Alexander flied to Schulte. No runs. SECOND INNING. WASHINGTON—Sewell was safe when Werber fumbled. He was caught stealing, Ferrell to Werber. Ferrell went to the pitcher's box for White- hill's pop. Myer got on when Werber fumbled. Friberg went into short cen- ter for Manush’s pop. No runs. BOSTON—Ferrell lined to Cronin. Friberg grounded to Cronin. Oliver flied to Schulte. No runs. THIRD INNING. WASHINGTON — McManush threw out Goslin. Cronin singled to center. McManus threw out Schulte. Kuhel popped to Werber. No runs. BOSTON—Werber rolled to Cronin. Pipgras singled to left. Johnson sin- gled past Bluege, sending Pipgras to second. McManus drilled into a dou- ble play, Cronin to Myer to Kuhel No runs. FOURTH INNING. WASHINGTON—Bluege fouled to Seeds. McManus went back for Sew- | ell’s high one. Whitehill fiied to Oliver. ) No runs. BOSTON—Seeds hoisted to Manush Goslin got_ Alexander’s high one. Fer- rell singled to center. Friberg hoisted to Schulte. No runs. FIFTH INNING. ‘WASHINGTON—Oliver came in for a low catch of Myer’s drive. Manush doubled to center, raising to 16 the umes in which he has hit safely. Goslin popped to Werber. Cro- nin singled to right, scoring Manush. Cronin stole second. Schulte singled to left, scoring Cronin. Friberg threw out Kuhel. Two runs. BOSTON—Myer went back for Oli- ver's fly. Myer also got Werber's pop fly. Fothergill batted for Pipgras and Cronin threw him out. No rums. SIXTH INNING. WASHINGTON—Weiland, a _ left- hander, now pitching for Boston. Bluege grounded to Werber. Oliver went to deep left-center for Sewell’s loft. Weil- and threw out Whitehill. No runs. BOSTON-—Johnson was called out on strikes. McManus was safe on Bluege's fumble. Seeds was safe on Cronin's fumble, McManus going to second. Schulte got Alexander’s long fly in right center. Ferrell walked, filling the bases. Friberg flied to Goslin in deep right. No runs. SEVENTH INNING. WASHINGTON—Weiland threw. out Myer. Oliver came in for Manush's fiy. Goslin doubled to center. Friberg threw out Cronin. No runs. BOSTON—Cronin backed into left for Oliver's fly. Whitehill threw out Werber. He also threw out Weiland, who had bunted. No runs. EIGHTH INNING. WASHINGTON—Alexander made a good running catch of Schulte's foul near the Red Sox dugout. Kuhel bunted and was thrown out by Weiland. Bluege walked. Sewell was safe when ccconooccoon™ MAYBESHATERE WITH 3 MORE DEAD 1100-Degree Mark Today Dis- trict Prospect, Forecast Hinting Thundershowers. 'MANY U. S. EMPLOYES GIVEN AFTERNOON OFF | i —— John W. Durnin, 72, of Chevy Chase Stricken by Cerrebral Hemorrhage. ‘The heat wave, which claimed three { lives and caused five prostrations in the ‘Washington area yesterday, tightened its grip on most of the Eastern half of the country today, bringing reports of deaths that approached the century mark. So far as the Capital itself was con- cerned the day began with every indica- tion that a new June record would be rung up, with the mercury soaring to the 96-degree mark at 1:50 p.m. and threatening to mount to close to 100 before the end of the day. It was 95 at 5 p.m. yesterday. U. S. Employes Let Off. ‘Numerous Government employes, many of them in the temporary buildings, | were released from their offices thi afternoon. Among the employes released were those of the Interstate Commerce Commission in Temporary Building No. 1, at Nineteenth and D streets: all the Interior Department workers who could be spared, about 1,800; the Federal Trade Commission offices in Temporary Building No. 6, Twentieth and Constitu- tion avenue. All public schools in the city were dismissed at 12:15, on orders from the Franklin Building, but employes there ‘were kept at work. One heat prostration was reported almost before the day got under way, and' several more were taken to hos- pitals shortly after noon. Emergency rooms were held in readiness for any eventuality that a combination of high mwnture and high humidity might | 8. Little Hope for Relief. ‘Weather Bureau forecasters held lit- tle hope for relief, predicting a con- tinuation of the heat wave over the week end at least. Their forecast was “partly cloudy, with possible thunder- showers tonight and tomorrow.” ‘The hoped-for rain, admittedly was little more than a possibility, however, and even if it should come, the weather men said, it probably would bring only JUNE HEAT RECORD | | REC MISSISSIFPIANS WHI KNOW To GET 'EM! KoN | | DELEGATION CHIEFS IN SECRET PARLEY Hull and MacDonald Talk for 45 Minutes After Luncheon. By the Associated Press. LONDON, June 9.—Secretary of State Cordell Hull, head of the Ameri- can delegation to the World Economic Conference, and Prime Minister Ram- say MacDonald of Great Britain had a private talk lasting 45 minutes after luncheon today at the home of Ray Atherton, counselor to the American embassy. Considerable secrecy surrounded the lunchecn. Where Mr. Hull had been was not revealed until after he had returned to conference headquarters. It was stated in high American quar- temporary relief. victims ol yesterday’s high tem- were: John W. Durnin, 72, of.3 west | ‘Thorn! street, Chevy Chase, Md. ‘who ¢ of a cerebral hemorrhage be- gcv:d to have been induced by the eat. Hans C. Knutson, 50, of San Fran- cisco, who collapsed and died while walking at ond street and Virgi avenue sou t. Erich Kruse, 28, of Mechlenburg- Schwerin, Germeny, a sailor, who leap- ed from the deck of the S. S. Veedol, tied up at a dock in Alexandria, and drowned before fellow seamen could rescue him. Unable to swim, he is be- | lieved to have jumped overboard in a frenzied effort to escape the heat. First Heat Victim. Today’s first heat victim was John Hatlou, 47, of 507 Eighth street south- west, who was overcome at Seventh street and Virginia avenue southwest. He was taken to Emergency Hospital, where his condition was said to be seri- ous. Among others reported prostrated by today's heat were: ‘Thomas Moran, who was stricken at the Pofomac Electric Power Co. Build- ing. §'lflrry McDougall, 29, of 2117 Third street northeast, overcome in the Kresge Building at Eleventh and G streets. Those prostrated yesterday were: Miss Lillian Cross, 18, a nurse at| Emergency, overcome while on duty and admitted to the hospital as a patient. Her condition also was termed serious. Edward B. Smith, 30, of 234 Tenth; street southeast, a fireman, prostrated | while on duty at No. 1 Truck Company and taken to Emergency, where he, too, is said to be in a serious condition. Sylvester Taylor, 24, colored, overcome | while at work on the new Archives | Building, Seventh street and Pennsyl- vania avenue, also treated at Emergency. | Reginald Stanley, 46, first block of | Fifth and A streets southeast, treated at Casualty. Floy Call, 1200 block of Union court southwest, Casualty. ; Julian Stevenson, 56, colored, Freed- men’s Hospital. Hottest June 8. Yesterday, according to officials of the Weather Bureau, was the hottest June | 8 on record, with the maximum 95 de- sreea. 2 Today started with every indication of being even hotter, however, the mer- cury climbing from 76 at 6 am. to 91 at 10 am.—a 15-degree jump in four | hours. At the same time, the humidity was running unusually high, having reached the 60 per cent mark at 10:30 am. At the same hour yesterday, the temperature was only 79, and the hu- midity was relatively low. Mr. Durnin, a retired feed and build- HOME BILL ACCEPTED Rephrased Measure Is Approved by the House. ‘The administration’s rephrased bill intended to put $2,000,000,000 at the call of debt-pressed home owners was accepted today by the House and sent to the Senate, where approval will make the measure ready for the signature of the President. Johnson muffed his fly, Bluege scoring. Sewell took second on the throw in. Whitehill's pop dropped among Mec- manus, Ferrell, Weiland and Alexander near the pitcher’s box, scoring Sewell. Myer fouled to Ferrell] Two runs. | BOSTON—Johnson flied to Schulte. Manush climbed the bank back of left field for McManus’ drive. Cronin made a flashy stop back of second and threw | out Seeds. No runs. NINTH INNING. ‘WASHINGTON—Alexander took Ma- nush’s grounder and beat him to first. uncovered Goslin doubled to right center and| tnre tried to stretch the hit to a triple, but was out, Oliver to Seeds to McManus. ‘Weiland knocked down Cronin's hopper and threw him out. No runs. BOSTON—Alexander singled to right. k. = el Society Leader in Reno. RENO, Nev., June 9 () —Mrs. Made- leine Force Astor Dick, New York so- ciety woman, is in Reno to file suit for divorce from Willam K. Dick. Her first husband was John Jacob Astor. Ferrell flied to Schulte. Friberg sin- gled to center, Alexander taking sec- ond. Oliver iined to Whitehill, but the gltcher, trying for 8 double 'play, ners advanced on the error. " |took place after a newspaper interview Sixth street northeast, prostrated at — ters that the debt topic was not raised. ‘The meeting between Mr. MacDonald and the American Secretary of State in which Mr. Hull struck out: vigor-| ously at what he described as attempts by “minority groups” in various coun- tries to divert attention from the real purpose of the conference to relatively minor issues. Subjects Limited. | FRANCE’S GOLD GAINS Statement Shows 111,000,000 Francs Added During Week. PARIS, June 9 (#)—France’s im- mense stocks of gold have increased for the third successive week, the state- yesterday. One hundred and eleven million francs were added to the stock during the past week, the statement disclosed. The total gold on hand now is more than 81,000,000,000 of francs, making almost 96 per cent of coverage for the currency and 78.18 per cent on all sight obligations. MATTERN RESUMES FLIGHT 10 PACF named Destination in Eastern Siberia. MOSCOW, June 9 (#).—Jimmy Mattern, round - the - world fiyer, landed at Beloye, Siberia, about 50 miles from Irkutsk, at 3:45 p.m. to- day, Moscow time (7:45 am., East- ern standard time). He intends to remain there until tomorrow. No details were available, Hull, facing a roomful of American and British reporters at his hotel in | his first press conference in Enlllnd.i said that in view of the magnitude and | difficulties of the economic problems facing the parley he does not consider | it within the functions of his delegation | to go outside a well deflned list of | subjects outlined in the formal pro- | gram for discussion. | He spoke out emphatically when | asked about a London newspaper story | directing attention to his reference to | the Irish Free State as an Irish “re- | public” when he spoke at Cobh en route | to England. This reference caused some discussion because of Ireland’s relations with Eng- land and republican sentiment in Ire- land. “I have no doubt that minority groups in every country will be sitting up nights trying to divert attention to some wholly slight consideration and thereby attempting to divert the work of the conference from its real pur- pose.” he said. War Debts Ruled Out. Hull definitely ruled out war debts as a subject for consideration here, say- ing that he would not presume on any | subjects which already were not on the | program of the conference. WALTER JOHNSON TO MANAGE INDIANS “Big Train” to Succeed Roger Peckinpaugh After Tribe’s Bad Showing. By the Assoctated Press. CLEVELAND, June 9.—Walter John- | son, “The Big Train” of base ball for many years, was named manager of the Cleveland Indians today. Johnson will succeed Roger Peckin- paugh, whose regime has been reported frequently to be unsatisfactory to the’ Indians’ management. The team hus been losing more than half of its starts of late, and dropped from first place. to fifth in the American League race. The selection of Johnson came as a complete surprise to the experts, all of whom were picking various base ball figures for Peck’s job. The selection was announced on the heels of an infrequent meeting of the board of directors of the club. In its dramatic announcement, the Cleveland management conjured up be- fore the fans the name of a man whose career with the Senators began back in 1907 and lasted until 1932. Johnson was the Big Train, too, in the days when Tris Speaker was the idol of Cleveland—and Ty Cobb’s star was high in the heavens. Johnson is no novice at base ball management. He began with the Sena- tors in 1929, and although he brought the team in fifth that year, he piloted the Nats into the thick of the pennant race in 1930, '31 and '32. He was suc- ceeded by Joe Cronin. ‘With the exception of Connie Mack, Roger Peckinpaugh was the oldest big | | | wild ‘past second and both run- ‘Werber singled to center, scoring Alexander and . Hodapp batted for Weil- and and forced Werber, Bluege to Myer. TWO ruli league manager in point of continuous one-club service when he was deposed. He came to the Indians almost, five and (Continued on Page 2, Column 1.) & & but the aviator presumably was in good health and his plane was func- tioning well. By the Associated Press. MOSCOW, June 9.—Jimmie Mattern continued his round-the-world flight to- day by hopping off from Krasnoyarsk, Siberia, a little more than four hours after he had arrived there from Belovo Siberia. ‘The American aviator, who believes he still has a chance to establish a globe-girdling record despite setbacks by sickness, rain and plane trouble, ar- rived at Krasnoyarsk at 7:30 a.m. Mos- | cow time (11:30 p.m. Thursday Eastern standard time). He was away again for an unreported destination at 11:55 am. (3:55 am. Eastern standard time), after a hurried attempt to repair the damage his red, white and blue “Century of Progress” suffered during the forced landing at Belovo early Wednesday morning. Objective Unknown. Reports to Moscow were delayed by slow communication facilities so it was not learned what his next objective would be, although it was presumcd | that he will try for a point from which he could take off on the transpacific leg of his adventure. The Texan had apparently recovered from the nausea which had forced him to land, almost unconscious, at Belovo when he departed from that miners’ settlement, waving his thanks to the hospitable Soviet authorities and peo- ple who had helped him. Everything was ready for him on his arrival in Krasnoyarsk, and it was believed that his early getaway was made possible by the presence at the airport of an interpreter and the essen- tials he needed. At Krasnoyarsk, 185 miles from Be- lovo, he had planned to effect perma- nent repairs on his large ship, the tail of which was broken during the land- ing at Belovo. which caused his intense sickness, also was to be repaired. Then he hoped to complete the sev- enth jaunt of his race against the world flight time set in 1931 by Harold " (Continued on Page 3, Column 2.) GEORGIA QUAKE REPORTED | Two Shocks Said to Have Been Felt in Different Sections. EATONTON, Ga., June 9 Sounds resembling . heavy explosions heard here early today caused some residents to report earthquake shocks. Miss Fannie Lee Leverett said two distinet shocks were reported from different sections at 6:30 am. and plastering was shaken down in a home. C. F. McKinley, editor of the Eatonton Messenger, said several citizens had heard the unusual noises but no damage had been reported. _ WILL 0. K. ERICKSON Approval to Seating of Senator| Understood in Elections Report. Full approval of the seating ef Sen- ator John E. Erickson of Montana was understood today to be given in a report prepared for the Senate Elections Com- mittee by a subcommittee headed by Senator King, Democrat of Utah. ment of the Bank of France showed | Leaves Krasnoyarsk for Un-| A leaking gas line, | (P).— | AGGET SUBSTIUTE VETERANPAY PLA {Democratic Steering Group of House Adds Clarify- ing Amendments. BY G. GOULD LINCOLN. President Roosevelt’s substitute for ‘the Connally amendment to the in- | dependent offices bill, dealing with vet- | erans’ compensation, was accepted by | the Democratic Steering Committee of | the House today, with some “clarify- | ing amendments.” 1 Efforts will be made to rush it | through the House so the independent | offices bill may be sent to conference | without further delay. | In view of the fact the special House | Veterans’ Committee had given its ap- proval to the substitute plan before the | Steering Committee acted upen it, its | adoption by the House is regarded as ' | & foregone canclusion. ‘Will Obtain Special Rule. A special rule from the Rules Com- mittee of the House for the considera- tion of the Connally amendment will be obtained this afternoon. This rule would compel the House either to take the | substitute or reject 1t, and would permit | no ;;rlur vote on the Connally amend- | ment. | Chairman Pou of the Rules Commit- | tee, acting as spokesman for the Steer- | ing Committee after its meeting, made the following announcement: “The committee had a harmonious meeting. We substantially agreed to the form of a rule which will probably be reported to the House this afternoon by the Rules Committee. “The Steering Committee unani- mcusly agreed to the report made to it by the Special Veterans’ Committee.” No Vital Changes Made. ‘The report of the Veterans’ Commit- tee approved the President's substitute or the Connally amendment with cer- ain modifications. Pou said that no vital changes had | been made by the committee in the | President’s proposal. When he was | asked whether they would be satisfac- tory to the President, Mr. Pou replied that was a matter the President Klm- self would have to determine. | The President’s proposal, understood | to be the extent to which Mr. Roosevelt is willing to go in increasing the appro- | priations for veterans, gives the “pre- sumptive cases” six months in which to appeal, and puts the burden on the Government, to prove these veterans are not entitled to compensation. They would | remain on the rolls in any case until October 31. Originally the President | had fixed September 1 at the date. Regional boards to pass upon these appeals of the presumptive cases will | be set up. The proposal also looks to aid for the Spanish-American War veterans, many of whom were threaten- | ed with immediate loss of compensation if they could not prove their disabilities service connected. As soon as the House has acted upon | this substitute, the bill will be sent to conference with the Senate, where the fight over the veterans’' compensation may be renewed. President Roosevelt is expected, however, to use his influence (Continued on Page 3, Column 6.) | CONFEREES DISAGREE | ON 3 PCT. POWER LEVY, Gasoline Tax and Postal Rate Re- duction Phases of Bill Are Found Acceptable. By the Assoclated Press. | Senate and House conferees today disagreed on the Johnson amendment to the gasoline tax bill exempting mu- nicipally-owned electric plants from the | 3 per cent power levy and the issue is | to be brought up in the House for final decision. The Senate refused to accept the Tiouse amendment to the bill transfer- | ring the 3 per cent power tax from con- | sumers to producers without exempting | municipally-owned plants. | The conferess were agreed on all other phases of th= bill continuing the |1 cent a gallon gasoline tax for 12 menths from June 30, and reducing | local first-class postage from 3 to 2 cents. I GUIDE FOR READERS I Amusements . Comics .. Features Finance Radio . Serial Fic Society . Sports .. ship proceeded tows a load of 20 SENATE IS NEARING,LAMONT AND EWING VOTE ON COLOSSALIRELATE HOW SALES PUBLIC WORKS BILL Contest Over Major Obstacle Ahead on Industry Control. REED TO LEAD FIGHT EBUI THEIR INGOMES Sales Tax | Former Sold Stocks to Wife, Allowing Loss of $114,807, Late in 1930. !SECOND PARTNER MADE AGAINST SPECIAL LEVIES |SHORT SALES DURING 1928 Minimum Wage Provision for Gov- ernment Contracts Is Stricken Out. By the Associated Press. With a contest over a sales tax the ! major obstacle ahead, the Senate to- day moved slowly toward a vote on the colossal industrial recovery-public works measure designed to speed better times. Resuming consideration of the ad- ministration-proposed bill, the Senate adopted an amendment providing that not less than $50,000,000 of the $3,300,- 000,000 construction money shall be allotted for National Forest, Park and Indian Reservation roads and trails. The change was proposed by Senator Hayden, Democrat, of Arizona and was accepted without a record vote. Senator Reed, Republican, of Penn- sylvania planned to lead an attempt to | substitute a sales tax for the special | levies proposed in the measure for pay- | ing off the public works ccst. Homestead Loans Approved. A committee amendment was ap- proved making available $25,000,000 for loans for purchasing subsistence home- steads and in the “redistribution of the overbalance of population in industrial centers,” Continuing on the public works sec- tion, a committee amendment provid- ing that all Federal construction con- tracts shall contain imum wage rates to be predetermined by the award- | Ing authorities was stricken out at the | Tequest of Senator Copeland, crat, of New York. This left intact, however, the pro- for former service men. Amendments Defeated. The Senate had made way for dis- posal of the bill today thraug} which ran almost to midnight in which were defeated all major amendments to the business section of the bill. The Senators did, however, vote in a vision to allow the President to bar ports, after investigation by the Tariff Commission, if operation of the indus- vislons laying down the 30-hour week | with few exceptions, calling for *just | and reasonable wages” and preference |other property.” Senate Morgan Investigators Re- view Tax Payments by Members of Banking House. By the Assoclated Press. Stock tramsactions whereby partners 1in J. P. Morgan & Co. greatly reduced their income tax payments were re- viewed today by the Senate Investigating Committee. First Thomas 8. Lamont and then William Ewing detailed the means by which losses were recorded against their taxable incomes, The former, in a statement prepared after the committee had met a chal- lenge of its authority by getting wider power, told how he and his wife had exchanged stocks both directly and in- directly, allowing a $114,807 loss for him in 1930. Later he repurchased the stocks at about the same prices Mrs. Lamont had paid. Ferdinand Pecora, committee conn- sel, estimated the deals reduced the young Morgan partner's tax lability that year by $20,000. Davis Upholds Action. “I don’t believe it could possibly have been as much as that,” Lamont commented, while J. P, Morgan and John W. Davis—Morgan counsel—paid close attention in the uncomfortably warm and sparsely filied hearing room. Davis read a statement upholding the legality of the Lamont transactions, de- claring “in all the revenue acts from 1918 to 1932, individuals have been al- iowed unlimited deductions from their incomes on account of losses actually sustained on the sale of securities or Lamont testified that the repurchase of the stocks from his wife on April 8, 1931, was direct. 7 He added that he tore up his wife's note at the time and that he paid her no cash. “The market price at the time I bought these shares back,” he said, “was within $100 or $200 of the price she paid for them.” revealed that in 1928 he made Ewing trial agreements authorized by the bill | short sales on 1ifted prices and wages to a level giving | for his children. foreign products a wide price Only 11 Democrats and 1 margin. Republican | Johns-Manville stock- As trustee, he sold 4,350 shares of delivery voted against this amendment which|by borrowing 1,800 shares from his was not backed by the administration. . night was an_attempt to strike out the entire por- tion of the bill. Senator Fess of Ohio, assistant Republican leader, had joined Clark, denouncing the entire as Communistic. The amendment went down, 49 to 31. 0il Regulation Defeated. Also defeated, without roll call, was the administration ment for special regulation of the oil industry. Senator Thomas, Democrat, in place of a less direct Federal regula- tion provision written by the Senate 'inance Committee, which Secretary of the Interior - Ickes had termed not effective. Earlier in the evening the Senators had rejected, 57 to 31, Senator Reed’s attempt to strike out the authorization for the President to impose a licensing system on industries which refuse to|last week from Davi co-operate voluntarily in the trade agreement plan, and then defeated an- other amendment by Clark to eliminate the suspension of anti-trust laws by which the trade agreements, to restore prices and wages and control produc- tion, are to be made possible. In appealing for adjournment after a session lasting more than 12 hours, Reed said the membership had working the limit any man could bear on the “most sweeping innovation pre- sented to Congress in many years, ap- propriating billions, and changing the method of handling the commerce and industry of the nation.’ First Test of Forces. “Senators have lost their capacity to think,” he said. The vote on the Reed proposal to strike out the licensing provision was the first test of the administration forces as they went into the long night session. In moving elimination of the section, Reed said it would put power into the hands of the President to “sentence to extinction” any business he desired. Senator Gore, Democrat, of Oklahoma, joined in advocacy of re- jecting the section, asserting he was not willing to “trust the President or any of his nominees” with such power. Senator Wagner said it was essential if cut-throat competition was to be eliminated. “"Vhat has dragged indusiry down more than anything else,” said the New Yorker, “is cut-throat competition, long hours and starvation wages. “We are going to lift it up to a wage level of comfort and decency. Most in: dustries are dragged down by a r calcitrant 10 to 15 per cent who worl " (Continued on Page 3, Column 2) CALLES.RETURNING Praises Gen. Trevino for Retiring From Presidential Race. MEXICO CITY, June 9 (#).—Gen. Flutarco Elias Calles, who has been vacationing at Ensenada, Lower Cali- fornia, announced in a telegram last night that he expected to return shortly to Mexico City. ‘The former president congratulated Gen. Manuel Perez Trevino for his “disinterested action in retiring from the presidential race,” providing an ex- ample to “bring fortified strength to the Revolutionary party.” GRAF REACHES RIO Huge Zeppelin Completes Second Ocean Flight of Year. RIO DE JANEIRO, June 9 (#).—The German Dirigible Graf Ze) - supported amend- | | of Oklahoma, had sought its inclusion | bee'n!t wife and the rest from himself. Pecora planned some time y Senator Clark, Democrat, of Missouri, | introduce the industrial - Explains Stock Sales. | Before Lamont began to testity Davis announced he would not interfere with e teatity vis sai is clients desired to with “the utmost frankness.” “Mr. Lamont is ready,” he continued. Pecora thereupen prcpounded the same question which drew a challenge is. He asked if Lamont remembered sell- ing in December, 1930, a block of more than 5,000 shares of assorted stocks. Lamont explained the deals and said complete information cn these was given the Internal Revenue Bureau and he had received no complaint from the Do'lg'elmment. ere was no understanding, he said, hat he would repurchase !.he‘sml:'k. 1 was advised,” he said, “that under these circumstances I was fully within f‘e{u‘::’}s izlh deducti;:gflafmm my income r the year 1930 amor i less Sustained " ity le said he was informed if the deduciions from the d&: :.vle.g additional tax ot $148059 T ena ax of $1,440. $595.57 for his wl?e, e tm Lamont read his statement in a steady, even voice, D“fisl:tl:i;fl - and said he had g a few feet away, mopped his face, i e. Davis sat just The loss sustained from the stock (Continued on Page 4, Column 2.) CONGRESS TO QuIT WORK BY JUNE 17 Leaders See Little Chance of End- ing Session Before Next Thursday. Notwithstanding the fact that the controversy over veterans' compensa- tion is believed in a fair way to be adjusted, perhaps by tomorrow night, Democratie leaders of the House said today they saw no chance of an ad- Journment of the special session of Congress before Thursday or Friday of next week. They fixed Saturday, June 17, as the latest date to which the session might Tun. Congress has still to put through an- other appropriation bill carrying the money for the new activities of th: Government authorized under recently lin com- | lic works and industry control bfll,prnd pa:umd ln.-s.h ong the items of a riation will be provision for the mflm of the securities act. H will be held by the House Appropriations Com- mittee on this bill after it receives estimates from the Budget Bureau. The bill must also be considered in the _sénfl!e Committee and by the Senate itself. The Senate has still to pass the pub- pleted its second transatlantic flight of | unless the House accepts the Senate right of June 3. After a halt of .::o hours the air- Pernambuco with | which the Senate and House __ . deadlocked. ! the year with its arrival here yesterday. | amendments to that measur It left Friedrichshafen, Gengmy. the | will have to s e g to conference. ing made to resuscitate the Glass-Steagall bai bill, over conferees Efforts are S ] L ]