Evening Star Newspaper, June 30, 1933, Page 4

r X4 NG_STAR, WASHINGT D. C., FRIDAY, JUNE 30, 1933. SWITH CRITICIZES RECOVERY STATUTE #This Is the Field Day for i New School of Planners,” v He Writes. Home Mortga Editor’s mote: This is another of & series of articles prepared by staff writers of the iated Press to explain in the imporiant laws enacted The mainspring of the home mort- NEW YORK, June 30.—Former GOV. | gage relief law will be a $200,000,000 Alfred E. Smith, writing in the New | Government-owned “homeowners” loan Outlook vesterday, asserted he might be | corporation.” Officials say it should be *old-fashioned, but he could not under- stand how the national recovery ean possibly work.” “I have never hesitated to recom- mend the extension of Government a¢ tivities to meet the needs of a growing population in an age of industrial in- vention,” wrote Smith, Democratic presidential nominee in 1928. “but this plan goes beyond anything my imagina- tion can’follow.” At the bottom of the cause of the de- pression, said Smith, is human nature. He added that it was only by raising the general level of human character throughout the world that a new soclety free from the causes of depression could be brought about. A Job for the Doctor. every county. . The corporation is to help owners |of homes valued at no more than $20,000, and on which the mortgages do Dot exceed 80 per cent of the present value. It has power to issue up to | $2,000,000,000 in bonds to take up such mortgages, Should Ask Exchange. A homeowner who cannot meet | mortgage payments should first ask the | holder of the morigage to agree, rather | than face default, to exchange the mortgage for 18-year bonds, issued by the Homeowners’ Loan Corporation, and bearing 4 per cent interest. On these bonds the Federal Government guarantees interest, but not principal. operating by August, with agents in| ge Relief Law Mainspring Held to Be $200,000,000 Government- Owned Loan Corporation W hich Should ‘Be Operating by August. per cent. The debt is to be paid off in 15 years. ‘The corporation expects to accumu- late a surplus which will enable it to Day off its 18-year bonds when they | fall due. | It the mortgage covers less than 80 per cent of the value of the property, as appralsed by the agent of the cor- | poration, it can lend up to that total to meet taxes and repairs. If the mcrigage holder won't accept the 18-year bonds, then the corpora- tion can lend money to the home own- | er. up to 40 per cent of the current real value of the property, to help him take up the mortgage. The county agent arranges this. Such loans would be at 6 per cent for 15 years. May Postpone Payments. ‘The corporation is authorized to post- | pone the first payments three years or | even longer. Those who have lost their homes dur- ing the past two years can, if they get the mortgage holder to agree, still avail themseives of the benefits of the law. ‘Through the county agent the cor- poration can advance up to 50 per cent FOUR HOME BASES ISAIMOF U. 5. NAVY Secretary Swanson Issues Declaration of Policy for Department. ‘The goal of two main home bases | on both Atlantic and Pacific coasts was one of the paramount proncuncements set forth in the revised United States naval policy, approved by Secretary of the Navy Claude A. Swanson on May | 10 and published yesterday by the Navy Department. This restatement of naval policy is considered stronger than that appearing over the signature of former Adams; under date of June 1, | following the London Naval Treaty. Navy's General Board. The former statement urged develop- | cisco Bay area, but the Roosevelt ad- | ministration’s naval policy, issued yes- terday as news-came of the adjourn- | ment of the Geneva Disarmament Con- | ference, stated: “To further the de- Secretary of the Navy Charles Francis 1931, | | The new policy was drawn up by the ment of a great base in the 8an Fran- | |of assessed value on unencumbered | velopment of two main home bases on “Viewed from this angle,” Smith con- $inued. “the job is one for the philoso- pher, the priest and the doctor, rather than the statesman, lawyer or business executive. “I do not mean to say that we must spinelessly accept present conditions. I do mean to imply that there is such & thing as putting too much faith in po- If the mortgage holder agrees, the agreement is taken to the county agent for his approval and that of his su- perior officers. Upon such approval the mortgage {holder takes his bonds and the cor- | poration takes over the mortgage, au- tomatically reducing the interest to 5 homes to meet taxes and repairs. The corporation also can establish Federal savings and loan associations where none exist. While the loan system is being or- ganized, President Rcosevelt has asked | mortgage holders to refrain from seek- | ing to dispossess home owners. litical and scientific schemes of salv tion. This is the field day for the aca- demic planner, for the man who has | been reading in the library, writing | books and lecturing to students, and | who now has a great big laboratory for | experiment.” ‘The first article of the recovery act. said Smith, provides for the control of business and “is obviously the work of the new school of social and economic planners.” The act, he continued, con- templating agreements governing all branches of industry, abrogates the Bherman anti-trust law. “The act is labeled as & temporary emergency measure so as to get it by the United States Supreme Court,” said Smith. “Little Man” in Danger. “If its terms are carried out literally, the tendency will undoubtealy be to cripple initiative, legalize and even of- ficially encourage moropoly, raise prices and require higher tariffs to maintain the new structure. In such & triumph of bureaucracy. the littie man would be lost in the shuffle. “On the other hand,” he continued, “the powers may not actually be used. It may be just another case of giv- ing the radicals the machine and let- ting the conservatives run it. If this 1s so, in the end it will not satisfy either group, and both groups are likely to feel that they have been handed the bologna. “I am in favor of applying the curb to industry where necessary. but not of placing the heavy, paralyzing hand of the Government upon all the busi- ness enterprises of the Nation. I be- lfeve in good public administration, but I know its limitations. I am in favor of restoring conditions which make business leadership possible rather than of looking to the Government to pro- vide it.” Films Codes to Be Drafted. NEW YORK, June 30 (#)—Two or- ganizations representing motion picture interests said yesterday they would submit codes of fair trade practices to the Industrial Recovery Ad- ministration. Tre Independent Theater Owners’ Association of Greater New York an- nounced that 1,100 owners have been asked to name a committee to draft a code. The National Association of the Mo- tion Picture Industry made public a summary of & code which it said “will not be found by the independent the- ater owners at variance with their aims and aspirations.” Employers Quote Johnsen. CHICAGO. June 30 (#).—The Em- loyers’ Association of Chicago advised its members today that the industrial reccvery act did not require them to unionize their employes. The assoclation quoted Gen. Hugh Johnson, administrator of the industrial act, as saying: “This administration is not going to be used as a means of wunicnizing any industry.” Rail Committee Named. NEW YORK, June 30 (#).—The Fastern railroads vesterday committee of presidents to work in con- junction with the Federal co-ordinator of transportation. These men were chosen: F. E. Willlamson, New York Central; W. W. Atterbury, Pennsylvania; Dan- fel Willard, Baltimore & Ohio: J. J. Bernet, Chesapeake & Ohio, and J. J. Pelley, New Haven. Canners Complete Code. CHICAGO, June 30 (#)—Approving the principle of a minimum wage and declaring themselves in favor of higher prices for the farmers, the National Canners’ Association finished a code yesterday. which brings the industry under Federal supervision. Grocers Fix Agreement. ATLANTIC CITY, N. J, June 30 (®).—A master code of fair practices and competition for the retail grocery industry, in accordance with the in- dustrial recovery act, was adopted by the National Retail Groc: Association last night at the closing session of the thirly-sixth annual convention. ) A minimum wage scale for male adults over 18 was set at $18 a week in the North and $15 in the South; for inexperienced junior clerks under 18, $12 in the North and $11 in the South; for female help over 18, within the metropolitan area of a pop- ulation of over a million, $11: over 250,000, $10. and other sections, $9; for managers, $30 The code stipulated a six-day week with & maximum of 9 hours a day and 48 hours a week for female help and independent | named & T0.BE CONSIDERED, ‘Cabinet Board Will Meet To- morrow to Take Up Widely- Scattered Program. By the Associated Press. | | The cabinet board in charge of the| | $3,300,000,000 public works fund will | | meet tomorrow to take up a widely- | | scattered Mederal building program on | which excavations can start in two weeks following presidential approval. ‘The program is composed of works requested by 60 or 70 governmental | projects proposed directly by the cabi- | net beard. | highway allotment and $238.000,000 for | | naval construction were lump-sum pro- | vi ns. After the bocrd acts President Roose- | velt must sanction the recommendations | before construction starts. but Dcnald H. Sawyer, the public works adminis- trator, said “the dirt will be ready to fly” within two weeks of the Chiet | Executive’s approval. | Pending final action, the board with- held details, but members said the act included allotments for the Army for flood control. rivers and harbors anc housing work, for the Reclamatiol Bureau, National Park Service roads and ; trails, the Indian Office and for the | other agencies. To speed along its campaign to get | the money moving as quickly as possi- ble, the board today asked a subcem- mittee to look into the question of | | having employment agencies in the ' various States supply men for wielding ' the picks and shovels. A preposal that special offices b main- tained for labor for the public works | | program is under consideration of the | subcommittee. As a further help in its work, the board set up & special labor advisory board to co-operate. The members are: Isadore Lubin, labor economist of the | Brookings Institution, ~Washington, chairman; Michael J. McDonough, building and trade department of the | American Federation of Labor; William Bowen, Bricklayers' Union; Harry | Roach, Electrical Workers' Union; George Orris. United Brotherhood of | Carpenters and Joiners, and John Coe fleld of the Plumbers’ Union. | The cabinet board decided today to charge the same interest rates to States, citles, counties and other political sub- divisions that are charged private in- | terests for construction loans. The ques- tion of fixing the amount was referred to a subcommittee, with discussion of | | rates ranging from 3!, to 5 per cent. | Ickes said, “the rate should be small.” Federal agencies seeking a share in | the fund were warned to ask for enough to supply the board with “the accurate | and complete total cost,” instead of just | enough to start the project. | ‘The Federal program was recommend- ed to the board by a subcommittee, and Ickes explained the various projects had they can be started immediately.” 10 hours a day, or 54 hours a week, for male help. The lime industry also adopted a | code for fair competition under the | national recovery act. Furriers Adopt Pact. | ! Manufacturing Furriers of America | announced adoption yesterday of & code of fair competition under the in- | dustrial recovery act. providing for a 35-hour week and employment of no persons under 16. A minimum wage scale was adopted for the metropolitan New York area, as follows: $50 for | cutters, $41 for operators. $39 for i nailers and $38 for finishers. Funeral Code Planned. LAKE GEORGE, N. Y. June 30 (#) —America’s funeral directors will draft a code of fair trade practices at reglonal meetings in New York, At- lanta, Chicago, Kansas City and San | Francisco July 20, John W. Mattle of | ! Rochester, president of the National Funeral Directors’ Association, an-| nounced today. | The BANK for the Bank offers the INDIVIDUAL she facilities of & SAVINGS BANK with the added feature of offering a plan to make loans on a practical basis, which enables the borrower to liquidate his ob- ligation by means of weekly, semi- monthly eor monthlydeposits. It is not heces- sary to have had an account at this Benk in order to borrow. $300 1,200 96,000 $500 INDIVIDUAL Loans are pass- ed within a day er two after filing application— with few excep- tions. $180 MORRIS PLAN notes are usually made for 1 year; 28 S $100 MORRIS PLAN BANK Under Supeivision U. S. Treasury 1408 H Street N. W., Washington, D. C. «Character and Earning Power Are the Basis of Credit” NEW YORK, June 30 (#)—The Retall | - 'MARKET NEWS SERVICE DISCONTINUANCE HI ‘West Virginia Horticulture Society Committee Protests to Wallace and Douglas. Special Dispatch to The Star. MARTINSBURG, W. Va., June 30.— Protests have been made to Secretary | of Agriculture Wallace and Director of the Budget Douglas against the pro- posed elimination of the United States Department of Agriculture Market News Service, by direction of the West Virginia Horticulture Society Execu- tive Committee, in a session here Wed- nesday. Growers have been advised that the service will be discontinued today. The protest sent by the soclety to the offi- clals named, as well as to United States Senator Harry Flood Byrd of Virginia. & fruit grower himself, points out that most vitally important service the de- Its previous $400,000,000 Partment has rendered for the fruit! growers; that without the reports the growers and sales agencies would be very largely in the dark concerning the market, and that the discontinuance now would cost the fruit men heavily in cash returns from their fruit. each coast.” Naval plained that these bases would prob- 1ably be at Bremerton, Wash., and at San Francisco. on the Pacific Coast, and at Hampton Roads, Va.. and Nara- gansett Bay, R. I, on the Atlantic. | Fundamental Policy. | In the new document. the funda- | mental naval policy of the United States {is thus set forth: “To maintain the Navy in sufficient strength to support the national policies and commerce, |and to guard the Continental and over- | seas possessions of the United States.” The general naval policy includes: “To create, maintain and operate a Navy second to none and in conformity with treaty provisions” and “to develop the Navy to a maximum in battle strength and ability to control the sea in de- {fense of the Nation and its interests” {and “to organize the Navy for opera- tions in either or both oceans so that expansion only will be necessary in the event of war.” Of the Marine Corps, the pew policy said: “To maintain the Marine Corps in strength sufficient to furnish detach- ments to vessels of the fleet, guards for | shore stations, garrisons for outlying positions, and to provide expeditionary forces in immediate readiness.” | "For the first time, officials asserted, it Is set down as part of the naval pol- icy: “To protect American lives and property.” precedent and tradition, however, this has been American practice, but this is the first time it has been set down. agencies and will be the first list of | the market reports were probably mei Bullding Declaration. Of fleet building and maintenance policy, the new policy has this to say: “To build and mainiain a fleet of all classes of fighting ships of the max- imum war efliciency as permitted by ireaty provisions: to replace overage " ships under continuing programs” and Y g authorities ex- | They pointed out that by | “to e and maintain designs for | new ship construction of all types.” Concerning capital ships, it says: “To replace existing capital ships when treaty provisions permit.” Of aircraft | carriers, cruisers, destroyers and sub- marines the policy asserts: “To bulld and maintain the maximum effective tonnage in these types that sccords with treaty provisions.” Relating to aircraft, the policy states: “To develop naval aviation primarily for operations with the fleet” and “to build and maintain airplanes to the full complements authorized for afrcraft carriers and tenders, hattleships, cruis- ers and Marine expeditionary forces.” Of lighter-than-air craft the policy says: “To maintain as necessary the rigid airships now bullt and building to determine their usefulness for naval and | other governmental purposes and their commercial value” and “to build only such non-rigid airships as may necessary for training purposes.” No Time Limit Fixed. Under the head of fleet operating policy, the document says: “To as- semble the United States Fleet for a period of not less than two months at least once a year” and “to keep in commission, fully manned and in active training, & maximum number of fight- ing ships.” The shore establishment policy is: “To maintain a shore estab- lishment sufficient to sustain the forces |afloat in peace and capable of expan- sion to meet their needs in emergency.” A new item appearing in the policy is: “To maintain and operate hydro- graphic and astronomical facilities necessary for the preparation and dis- semination of information of value to the Navy and to other governmental and commercial interests.” Inasmuch as the Navy has been criticized in Congress for shifting air officers to purely sea duty, the policy says: avoid frequent shifting of personnel. The Navy Department made it clear | the new policy is for guidance in_the future and does not have to be realized at any stated time in the near future. 0’MAHONEY DISCUSSES NATIONAL RECOVERY ACT First Assistant Postmaster General Addresses Kiwanis Club Luncheon. Importance of the national recovery act to the future economic welfare of | the country was emphasized by First | Assistant Postmaster General Joseph C. O'Meahoney yesterday at the Kiwanis Club weekly luncheon at the Mayflower Hotel. The present ills of the Nation, the speaker said, are due to an abuse of power by men in strategic posts. He said one of the primary purposes of the recovery act is to guarantee a fair wage for labor and a fair profit for capital, with neither taking the ad- vantage of the other. Other guests of the club were Chief Inspector K. P. Aldrich, Deputy Firs Assistant Postmaster General Vincen. | Burke and J. Austin Latimer, aide to | Postmaster General Farley. Alvin Hell. in charge of the Program Committee. presided in the absence of | President Dewey Zirkin. < . be em- ‘Warsaw- ‘Three thousand men will ployed in constructing the Radom railway line in Poland o€ 7 WILSON'S * WHITES ® WHITE WITH BROWN OR © BLACK ® WHITE SPORT OXFORDS ¢ LINENS ¢ BLONDS ® GREYS been under study “for a long time, and _ neal THOUSANDS OF PAIRS OF THE SEASON'S NEWEST, SMARTEST sHOES NOW REDUCED TO: 95 594 LOWEST PRICES IN WILSON'S HISTORY " STREET N.W HEAD OF W.C.T.U. 10 URGE EDUCATION Will Ask Convention to Adopt Voluntary Abstinence Campaign. By the Assoclated Press. MILWAUKEE, June 30.—Mrs. Ella A. be | Boole of Brooklyn, national president of the Women's Christian Temperance Union, today planned to urge the con- vention of the organization to stress a campaign for voluntary abstinence from liquor. commenm:f in advance on the pro- posal she will make, Mrs. Boole said there is to be no let-up in aggressive efforts to enforce and retain prohibition legislation, but that more attenticn would be given educational campaigns stressing the evils of use of alcoholic beverages. She suggested - resumption of pledge-signing among all groups of persons_ striving for social weltare. Mrs. Boole recommends that members of the union and others interested in promotion of temperance refuse to deal with merchants who sell beer. vocates personal visits to merchants to ask them not to take out licenses to handle beer. Financial support for prohibition en- terprises becomes increasingly essential, Mrs. Boole sald. She advocated en- ergetic membership campaigns by all | chapters of the union. Directors of called on States which have voted to repeal the eighteenth amendment to enforce its provisions as long as it re- mains in the Constitution. ‘The child labor amendment to the Constitution has been approved by many States, but because it has not yet been accepted by 36 States children still labor in sweat shops, a resolution of the directors will say. If the child labor amendment cannot be anticipated by human conduct the repeal of prohibi- tion cannot be regarded s fact until it is accomplished, the directors con- tended. 236,742 FOR REPEAL. Official Connecticut Vote Shows 34,816 Against Proposal. HARTFORD, Conn., June 30 (#)— Connecticut cast 236,742 votes for re- peal and 34816 against In the special | (lection June 20, official returns showed | last night. WOLL PREDICTS REPEAL. NEW YORK, June 30 () —Matthew Jll, president of the National Labor “mittee for Modification and Repeal. N - NOTE: She ad- | predicted yesterday the repeal of the eighteenth amendment by next Jan- uary, but warned against overconfidence on the part of anti-prohibitionists. “We lost at Jeast 50,000 repeal votes in West Virginia on Tuesday due to overconfidence alone,” he said in a statement. “Repeal of the eighteenth amendmen is more important even than modifica- tion of the Volstead act. So long as the eighteenth amendment is law, there is always danger of nullifying the right to manufacture and sell wholesale becr en:;er through legislation or judicial action.” BREWERY IS CLOSED. Government Acts Against Harrison, N. J., Beer Plant. PHILADELPHIA, June 30 (#).—The | 3.2 per cent beer permit of the Harri- son Beverage Co., of Harrison, N. J., | was revoked yesterday by Dr. Ambrose Philadelphia area. The header in the case, Burt W. An- | drews, recommended the revocation on | the allegation by the Government that | the evidence showed the permit was ob- | tained “by fraud, deceit, concealment | and misrepresentation.” | It was further charged that the evi- that the | dence “proved conclusively” real owners and operators of the brew- | ery were “Max Hassel, Reading, Pa, | beer baron, and his aide, Max Green-: berg,” who were slain recently in an | Elizabeth, N. J., hotel suite. | Dr. Hunsberger immediately issued an order revoking the permit and closing the brewery. DRY BATTLE LAUNCHED. | Hunsberger, permit supervisor of the | TAX STAMP DUE ON 32 BEVERAGES: Internal Revenue Bureau Says Dealers Must Make New Purchases. Pointing out that special taxes on | legal malt Hquors, wines and fermented ‘!rult juices are payable on a fiscal | year basis beginning July 1 of each | year, the Bureau of Internal Revenue sald today that every dealer in these beverages is required to purchase a new | special tax stamp beginning tomorrow. | Btating that there appears to be con- | siderable misunderstanding on the part of dealers as to their liability for spe- |cial tax in connection with the sale of 3.2 beverages, the bureau released today the following statement: “Purchasers of special tax stamps, at the rate of $20 per year, bear- |ing the title ‘Retail Dealer in Fer- mented Liquors,’ may legally engage only in the sale, in less quantities than five gallons at one time, of fermented (malt) liquors of 3.2 per cent alcoholic | the union yesterday content by weight. “Every person who sells or offers for sale fermented malt liquors in quan- ton Today. lmesuo( m!:u tle“hml: five gallons at one time, who does not OLYMPIC, Wash, June 30 (.— | yines and fermented fruit ju?ce:, = Washington's impending battle over | considered a wholesale dealer in malt prohibition repeal officially started to- | liquor and, as such, is required to pur- | Opening of Filing Period in Washing- | chase a special tax stamp at the rate | day with the opening of the filing pe- riod for delegates to the State c venticn. Ninety-nine delegates from 46 legis- lative districts will be elected August 'é:, llnd the convention will begin Octo- T3 All candidates for delegates must file close | of $50 per year. “Purchasers of special tax stamps, at | the rate of $25 per year, bearing the title ‘Retail Liquor Dealer' may engage not only in the sale of fermented (malt) | liquors, but also in the sale of 3.2 per | cent wines and fermented fruit juices, | in less quantities than five gallons at | The filing period will ay, | - July 30, one time, without incurring additional KAHN DEFIES HEAT Banker Wears Vest at Bession of | Senate Committee. Despjte intense heat, Otto H. Kahn ' wore & vest today at the session of | the Senate Banking Committee. ‘The reason, as the New York banker | told newspapermen: “I don't feel | dressed without one.” | Kahn. senior partner of Kuhn, Loeb | & Co., has been questioned on income | tax matters and the financial set-up of the giant banking house. THOUSANDS OF WOMEN’S AND MISSES’ SILK AND COTTON co and liability. “A wholesale liquor dealer shall pay $100 per year. Such dealers may not only sell wines and fermented fruit Juices containing not more than 3.2 per cent of alcohol by weight, but may like- wise sell fermented malt liquors of like alcoholic strength in quantities of not less than five gallons dt one time, with- out incurring additional special tax liability. _“A qualified wholesale dealer in malt liquor and a qualified wholesale liquor dealer cannot sell in quantities of less than five gallons without incurring liability as a retail dealer, nor can & cualified retail dealer in malt liquor, or a qualified retail liquor dealer, sell in quantities of five gallons or more at one time. without incurring liability for special tax & wholesale dealer.” % Silks Cottons Chiffons Triple Sheers ¥279 Wilson promises you sensational grand opening values to the large woman and the cute { Turbans Sailors and Flops miss. MATERIALS Crepes Rough Straws Poplins Leghorns and Softies