Evening Star Newspaper, August 2, 1933, Page 1

WEATHER. (U. 8. Weather Bureau Forecast.) Local thundershowers this afternoon or tonight; not quite so warm tonight; tomorrow fair. Temperatures—Highest, 98, at 2:45 p.m. yesterday; lowest, 78, at 5:15 am. today. Full report on page A-16. Closing N. Y. Markets, Pages13,14&15 Entered as seco post office, Wa No. 32,600. nd class matter shington, D. C. WASHINGTON, D. C., WEDNESDAY, AUGUST 2, 1933—THIRTY PAGES. ‘WITH SUNDAY MORNING EDITION MOLEY S DETACHED FROM 108 T0 LEAD WAR ON KIDNAPERS| Wili Keep Title and Return to State Department Post in Winter. RELATION OF SELECTION TO HULL RETURN DENIED Roosevelt Explains Choice as Due to Request by Cummings for Assistance. By the Assoclated Press. HYDE PARK, N. Y., August 2— President Roosevelt today reques!ed’ Raymond Moley, Assistant Secretary of State, to make a special study of kid- naping and racketeering with the understanding that he retain his State Department office and return to it in the Winter. Mr. Roosevelt sald he was asking Moley to undertake the speclal survey of methods of combatting crime at the request of Attorney General Cummings, who communicated with him today by telephone. Moley is an authority on crime study. Incidentally, the appointment of Moley to this new assignment is timed with the return of Secretary Hull from the London Econcmic Conference, where he and Moley were understood to have had sharp differences. Moley to Retain Office. But, the President insists there is, nothing behind the Moley appointment to the kidnaping survey. He empha- sized that Moley would retain his office as Assistant Secretary of State while making the survey and resume his State Department duties upon completion of the survey, which is expected to last | for a couple of months. Meanwhile, no specific plans have | been outlined by the administration for fightingkidnaping_and racketeering, | other than through co-operation by Federal forces with State officers. Mr. Roosevelt made known his Moley appointment at his regular interview today with newspaper men, in which he discussed a wide range of subjects. The meeting was held in the small study on the first floor of the family resi- dence. Drawn blinds kept the rays o. sun from the room in an effort to ovide some relief from the terrific The President was at his desk in his shirt sleeves with stenographers busy taking dictation. EARLY START PLANNED. Moley to Undertake Study at Once. Leave Is Arranged. BY J. RUSSELL YOUNG, Staff Correspondent cf The Star. HYDE PARK, N. Y., August 2.—Pres- ident Roosevelt has not yet arrived at any definite plan of warfare on kid- naping and other rapidly increasing forms of racketeering, his present aim being to work out a practical and ef- fective form of approaching this great problem. Discussing this subject with news- paper correspondents in his study at Krum Elbow today, the President made it plain that he is concerned, but that he wants the subject carefully studied before taking any definite steps. Law Synopsis Planned. The first definite step in this study stage will be to prepare a synopsis of | all the Federal, State and municipal | laws dealing with kidnaping and other | forms of racketeering. This intense and scientific study is| to be done under the personal direc- tion of Prof. Raymond W. Moley, As- sistant Secretary of State, a recognized expert of crime subjects. The Presi- dent emphasized that Mr. Moley would be loaned by the State Department, so to speak, for a few weeks. According to the President, this pre- | paratory study and the assigning of Prof. Moley to the task, was proposed by At- torney General Cummings, whose de- partment already has started in mo tion the creation of a structure to com- | bat_crime. The President sald he received a| communication from the Department of Justice head yesterday in which he ‘was advised of difficulties being met in approaching the problem, and in which | it was suggested that the President ask Prof. Moley to make a study of | the problem, especially of the various| Federal, State, and municipal laws as | well as international laws. The At- torney General said that because of different laws and enforcement methods in the various States it had been found to be a most difficult task for his de- partment to make the necessary prog- Tess. Information Is Scattered. The President, in explaining the At- torney General's request said that the information being sought by those in charge of the Department of Justice’s campaign is so scattered that it needs 2n expert hand to study it all and work out a synopsis from which it will be possible to intelligently plan for the crusade. The President and Prof. Moley con- ferred regarding this work yesterday, n S " 1S HELD FOR $25,000 Nathan Beckowitz Kidnaping Dis- closed by Police Despite Death Threat. By the Associated Press. NEW YORK, August 2.—Nathan Baskowitz, a Brooklyn real estate and fight promoter, is in the hands of kid- napers who are demanding $25,000 from his family, police disclosed today. Baskowitz, whose brother, Artie, is assoclated with Humbert Fugazy in fight promotions, was seized Monday night outside the home of friends. ‘Three men with guns leaped out of an automobile, pulled Baskowitz from his car and drove away with him. Police were informed that his broth- er received a note demanding ransom end threatening to kill the captive if fthe authorities were notified. Studies Crime RAYMOND W. MOLEY. —Underwood Photo. BONDS KT OVERSUBSCRBED Roosevelt Elated at Treas- ury’s Position for Re- mainder of Year. By the Associated Press. HYDE PARK, N. Y, August 2.— President Roosevelt reported today that THREE ADMIRALS FLY TO HYDE PARK 10 DISCUSS SHIPS Wil Go Into Trammel's Charges of Previous Knowl- edge of Bids. |ADMRS. STANDLEY, LAND KND ROBINSON MAKE TRIP Construction of 21 Vessels for Navy Being Gone Over by Experts and President. By the Assoclated Press. Three high-ranking naval officers left Washington today by planz to dis- cuss bids for new ships made last Wednesday with President Roosevelt at Hyde Park. Secretary of the Navy Swanson said later that the three also had been as- signed to investigate complaints by Chairman Trammell of the Senate Naval Affairs Committee against ship- builders bids for cruisers. The officers were Admiral W. H. Stanley, chief of naval operation; Rear Admiral S. M. Robinson, chief of the Bureau of Engineering, and Rear Admiral E. S. Land, chief of the Bureau of Construction and Repair. The Sec- retary said their appointment with the | President to discuss bids for 21 vessels had been made before the Senator, in a the Treasury offerings of bonds and |letter to the Chief Executive, had urged certificates for the August refinancing | had been oversubscribed by six times | and that the net result was to put the | Treasury in a happy position for gov- | ernmental financing throughout the rest of the year. The President received reports of the | financing from Secretary Woodin and | Undersecretary Acheson of the Treas- | ury. The huge oversubscription was regarded most optimistically. It was pointed out that on August 15, when the new Government paper is sold, the | Treasury will have the largest cash bal- ance in its vaults at any time in the Nation’s history, including war days— about $1,500,000,000. As a result Government financing for the remainder of the year will be much easier than originally anticipated. For the rest of the year about one billion dollars will be required for re- funding and about half a billion for operation of the public works and re- construction finance programs. It was said the huge se to the August offering of $850,000,000 made it prob- able that the Government might con- vert part of the six billlon dollars in 4% Liberty loan bonds which will be- come callable on October 1. GOV. LEHMAN ASKS PARTIAL MORATORIUM Would Prevent Home and Farm Foreclosures for Non-Payment | of Principal. - | By the Assoclated Press. ALBANY, N. Y., August 2.—Swamped with demands for the relief of small home owners facing loss of their prop- rejection of cruiser bids. Ordered Investigation by Trio. Swanson said he had asked the three, however, to investigate the Senator's charges and determine if there was any suspicion of combination in the bidding. Other than the Senator's complaint, he said, he had no reason for any suspicion of the bids. He indicated contracts for the vessels would be let tomorrow or Friday and that vessels to be constructed at Government yards weuld be alloted some time this week. . Asked by newspaper men about the increased Japanese naval budget, the | Secretary said the Tokio government | was not exceeding the London naval | treaty limit by the propcsed construc- tion and was entitied to construct the ships if desired. He remarked the | United States had a similar right if it | wished to build up to the treaty limit. ‘Trammell’s letter to President Roose- velt was made public last night. | Trammell said he had been informed | the four firms which bid on the cruisers | knew in advance what the offers would be and that the position of each of the shipbuilders “would be protected by the remaining shipbuilders.” He named the bidders as the Beth- lehem Shipbuilding Corporation, the New York Shipbuilding Co., the New- port News Shipbuilding & Dry Dock Co., and United Dry Docks, Inc. Asks Thorough Study. The letter follows: “Dear Mr. President: “I have been quite interested in an- alyzing the bids opened by the Navy Department on July 26, 1933, whicn were submitted by the shipbuilders on naval construction. I believe a thor- made. “It is my information that: “On September 16, 1931, Bethlehem Shipbuilding Corporation, bid for one 1,500-ton destroyer $2,728,500. “On July 26, 1933, Bethlehem Ship- building Corporation, bid for an iden- tical destroyer $2,670,000, or a decrease erty because of unemployment, Gov. Herbert H. Lehman asked the New York Legislature today to declare a mora- {torium on home and farm mortgage | foreclosures until May 1, 1934, at least. | The moratorium would apply to fore- closures brought because of the non- payment of principal, provided taxes and interest and other charges had | been paid. The Governor did not advise a gen- eral mortgage foreclosure moratorium because he feared such a move would endanger banks, insurance companies and the holders of guaranteed mortgage certificates. At the same time he de- clared deficiency judgments after fore- elosure sales have been adding to the home owners' burden because they are | “entirely out of line with the fair value of the property.” He asked the law- makers to give the Supreme Court au- thority to determine “the fair value of the real estate foreclosed, irrespective of the price bid, and to limit the deficiency judgments only to the difference be- tween that determined value and the amount of the bond.” GUARDS AT HAVANA U. DUE TO BE RECALLED Action Expected as Step Toward Political Peace—Disturbances in Three Places. By the Assoclated Press. HAVANA, August 2—Withdrawal of soldiers guarding the closed Havana University was looked for today as the next step in the normalizing of the Cuban political situation. The institution was closed two years ago and was placed under military pro- tection following student demonstra- tions against the government. Indications, meanwhile, were that United States Ambassador Welles and opposition and governmental represen- tatives would be ready to submit nex$ week the results of their conversations on_how to settle political differences. Political disturbances occurred last night at Santiago, Camaguey and Guan- abacoa. In Santiago a woman parading wtca Communists was killed by a de- tective. in price of $58,500. “On December 14, 1932, Bethlehem Shipbuilding Corporation bid for one eight-inch gun . (heavy) 10,000-ton cruiser $8,196,000. “On July 26, 193, Bethlehem Ship- building Corporation bid for the same ! cruiser $11,720,000, or an increase in ! price of $3,524,000. “There appear to have been but four bidders on cruisers and eight on de- stroyers. Gulf Industries, Inc., of Pen- sacola, Fla., appears to have submitted | bids on the destroyers. “It is my information that, in addi- tion to the facts outlined above, it was known in advance which of the four concerns bidding on the cruisers would be low on each of the several items, and it appears to have been known in advance that the position of each of the said shipbuilders would be protected by bids submitted by the remaining shipbuilders. For instance: “Bethlehem Shipbuilding Corpora- tion,, $11,720,000. “Newport News Shipbuilding & Dry Dock Co., $13,800,000. “United Dry Docks, Inc., $14,800,000. Protection of Bid. “The bid of the New York Shipbuild- ing Corporation on the two light cruisers was protected by the other three bidders, as follows: “New York Shipbuilding, $11,657,000. “Bethlehem Shipbuilding Corpora- l.iol’;.: 312‘“0&000’;‘ “New York Shipbuilding Corporation, ¥ ewpori, N hipbuilding “Newpo! lews Shipbui & Dry Dock Co., $13,900,000. “United Dry Docks, Inc., no bid. “I am unable to justify in my own mind the increase in cruiser cost, as indicated by the 1932 and 1933 bids, particularly when those bids are com- | pared with the destroyer bids of 1931 and 1933. I am convin that the cruiser bids should be rejected. “Your attention is invited to the fact that Gulf Industries, Inc., of Pensacola, Fla., in its letter to the Secretary of the Navy dated July 29, 1933, stated that it is prepared to submit bids on the cruisers which will save the Gov- ernment millions of dollars, and this is so whether the bidding is reopened by private negotiations or by a call for new bids. “I bespeak your careful and thought- ful consideration of this request that the cruiser bids be rejected.” 200 ON SHIP HALTED BY MISHAP HALF WAY ACROSS LAKE ERIE By the Associated Press. DETROIT, August 2—More than 200 passengers who left Detroit last eve- ning for Buffalo aboard the Detroit & Cleveland Navigation Co. steamer Greater Buffalo, awoke this morning to find themselves still in Lake Erle and headed back for Detroit in tow of their steamer’s sister ship, the Greater Detroit. The Greater Buffalo was in the mid- dle of Lake Erle and had completed about half its run to Buffalo when a crack was discovered in L‘lhlfl o the starboard paddle wheel, at 12:15 am. Capt. L. C. DeNike immediately ordered the engines stopped. The ter Buffalo drifted for an hour until sister ship appeared and took her in tow. Company officials said the Greater Detroit and her huge tow were not ex- pected to reach Detroit until about 1:30 this afternoon. They said the two ves- sels might be lashed together off the mouth of the river and the passengers transferred from the disabled liner to the Greater Detroit at that point. The Greater Buffalo then could be turned over to tugs to be taken to dry li;cn:k ‘without being docked at her wharf | hers. ough study of the matter should be| The Faening Star % PRESIDENT FAVORS MORE BANK CREDIT Sees Liberality Needed to Aid | Recovery, Jones Says in Forum Talk. THE WaY EVERETT WHAT EVER BECAME OF THAT OLD ELEPHANT SHOWIN' YOU WERE AROUN"? “From Press to Homa Within an Hour” The Star’s Carrier system covers eve! city block and the regular edition delivered to city and suburban homes as fast as the papers are printed. Lt By the Assoclated Press. President Roosevelt wants the banks of the country to liberalize credit that | recovery may be facilitated. This message was given last night by Jesse H. Jones, chairman of the | Reconstruction Finance Corporation, in an address in the National Radio | Forum, sponsored by The Star and | broadcast over a coast-to-coast net- | work of the National Broadcasting Co. At the conclusion of his speech, in which he outlined a plan under which | the R. F. C. will aid this expansion of | credit by buying “perferred stock in | sound banks, State and national. to| any reasonable extent, based upon good | business judgment and the use to| which the institution can ,put the capital” Mr. Jones read a letter from President Roosevelt indorsing what he {said “about’ the need for credit and about co-operation in the general scheme of ‘everybody back to work.’” “I congratulate the many bankers who have safely steered their insti- tutions through the troubles of the past four years,” the President’s letter said, “but credit must be made avail- able to all classes of our citizens if business is to be re-established on a permanent, workable basis. Enables Credit Extension. ! “Your plan to provide banks with new and added capital by the purchase of preferred stock on such fair terms as those outlined will enable them to extend this credit without fear of their positions. “It is also interesting to know—as the | | bankers will appreciate—that this can | be done with no added tax burden, and at no cost to the public treasury.” | In his address, Chairman Jones de- | clared repayments of $710.000,000 of | corporation loans was evidence that the country was “inherently sound and re- covery well under way.” Now, he said, there is need for credit, | adding that “it will take a great deal | more credit to carry and handle 10-cent cotton than 5-cent cotton; $1 wheat than 40-cent wheat; 60-cent corn than | 15-cent corn.” Urges Them to Do Part. Arguing that the banks should do! their part, the speaker asserted there | is no shortage of ready money or bank | liquidity and that the policy of “forced | liquidation” of loans should cease and credit begin moving into business channels. “The coffers of the big banks are | filled with Government securities, cash | (Continued on_ 1) POLLARD SEES SURE REPEAL IN VIRGINIA, Governor and Bride at Fair—Will Go to White Sulphur Springs Tomorrow. ' By the Assoclated Press. CHICAGO, August 2—Gov. John G. Pollard of Virginia said today he be- lieved his State would ratify repeal of the eighteenth amendment by a con- siderable majority. “The special session of the State Legislature meeting August 17 to enact beer legislation and name delegates to a u:edpeul convention,” he said, “was cal by 8 two-thirds vote, which seems to indicate the sentiment of the citizens is against prohibition.” The Governor said he planned to ar- rive in White Sulphur Springs, W. Va., tomorrow and would begin work imme- diately on his message to the State Legislature. Pollard said he also planned to hold conferences with groups of Legislators over matters to be considered during the special . The Virginia Governor was married Monday to his former secretary, Violet E. McDougall, at the home of her mother in Winnipeg, Manitoba. The :u;le spent today visiting the World’s North Carolina Seen Wet. NEW YORK, August 2 (#).—Former Gov. O. M. Gardner of North Carolina sailed today on the liner Washington for Europe and said that he believed hissState would vote for repeal of the eighteenth amendment. Tug-of-War Star Dies. WOODSTOCK, Ontario, August 2 (). —Robert T. MclIntosh, last surviv- | ing member of the famous Zorra tug- HYDE PARK, N. Y, August 2— President Roosevelt is watching closely the activities in the strike in the Penn- sylvania coal fields through Secretary Perkins and Gen. Hugh S. Johnson, industrial administrator, with whom he is leaving the situation in so far as it may affect the Federal Government. BROWNSVILLE, Pa., Beset with violence and strikes, Pennsylvania’'s soft coal fields are watching expectantly for peace moves that might lead to a settlement of differences between miners and operatcrs causing walkouts of upward of 30,000 men. Indications that both the State and Federal governments are acting speedily to bring order out of the turbulent mine August 2 (®).— Strike Peace Left to Johnson And Miss Perkins by President Roosevelt Watching Situation Closely. N. R. A. Administrator’s Speech in Penn- sylvania May Deal With Disorders. spreading | | situation are seen in two developments: 1. Gov. Gifford Pinchot ccnferred with union leaders, who zgreed upon a Iplan to establish “union guides” & selected force of 2,000 miners desig- nated to co-operate with National | | Guardsmen and local police in keeping peace. 2. Gen. Hugh S. Johnson, national recovery administrator, speaks at Har- | risburg” today. Informed quarters in| ‘Washington consider his appearance in | the State to have a significant bearing on the strike situation. Plant Closing Threatened. Another 'move viewed with interest is| | In the announcement of the H. C. Prick | Coke Co. that it will close all its work- ings in Fayette County indefinitely. | Fayette County is the center of the | present strike troubles and it was here (Continued on Page 2, Column 1) HUEY LONG FORGES ROUTED BY COURT Judge Orders Recount of Bal- lots as Grand Jury Is Discharged. BULLETIN. NEW ORLEANS, August 2 (#).— Citizens drafted as tellers to recount the votes on constitutional amend- ments in last November's general election said this afternoon that “disparity” had been found in five of the six boxes cn which the re- count had been completed. By the Assoclated Press. NEW ORLEANS, August 2.—The forces of Huey P. Long's political fac- tion were routed today in Criminal Dis- trict Court where they appeared to up- hold the right of a grand jury to return a “no true bill” on investigation of charges of fraud in last November's vote on constitutional amendments, sponsored by Long’s machine. At 10:15 am. Judge Alexander C. ©O’Connell appointed 14 citizens to count the ballots in six contested boxes. The boxes were opened and the count started under the direction of District Attorney Eugene Stanley, who had been blocked in his investigation by Attorney General Gaston L. Poeterie superseding him un- il Judge O'Connell ordered the district attorney to return to the case. Grand Jury Discharged. At 10:30 am., in the next door court of Judge Frank T. Echezabal, the grand jury was discharged from further serv- ice with the judge's explanation that they were not qualified to function further because of the numerous con- troversies in which the jurors had en- gaged. He read the ope sentence law: “The grand jury of the Parish of Orleans shall serve for six months un- less sooner dischared by the court.” He told the jury his action was no reflection on their honesty or; integrity. The grand jury filed out of the room and dispersed without making any re- ply to Judge Echezabal’s order of dis- missal. The jury had announced it would make a report to the court today, but it was dismissed before it could get in a word. Asks Contempt Action. A few minutes later James O'Connor, Assistant Attorney General and former member of Congress, returned to,the court room and filed a petition request- ing the citing for contempt of ccurt or Leonard K. Nicholson, president of the New Orleans Times-Picayune Pub- lishing Co., and J. M. Colomb, a grand juror, because of publication by the Times-Picayune of a statement by the jurcr charging. the grand jury had sought to return a “no true bill” on the election fraud cases without ex- examination of the ballots. The judge (Continued on Page 2, Column 3.) Channel Subdues Swimmer. she gave u miles out of Dover. PEERY NOMINATED | - FOR GOVERNORSHIP Gets Nearly 4-to-1 Vote Over Smith and Deal in Dem- ocrat Primary. By the Associated Press. RICHMOND, Va., August 2.—George Campbell Peery of Tazewell, the “Re- deemer of the Fighting Ninth,” who wrested control of the ninth congres- sional district from the Republicans in | 1922 after a quarter of a century of | control under the Slemps. is the Dem- :ocm;lc nominee for Governor of Vir- ginia. The lanky southwesterner, who stands 6 feet 3 without the aid of shoes, piled up a tremendous majority over | two opponents, Joseph T. Deal of Nor- | folk and State Senator W. Worth | Smith, jr, of Louisa, to win the nomi- nation in yesterday's primary. Returns from 1423 of the State’s /1,685 precincts gave Peery 100,129 Smith. He carried every congressional district except the eighth, Smith’s home, where the Louisa Senator held a substantial lead, and won the home counties of both Deal and Smith. Peery was elected on a platform | based on the continuation of the gov- ernmental policies of Gov. Pollard and former Gov. Harry F. Byrd, now a United States Senator. He was at- tacked by both opponents during the cempalgn as the “candidate of the Byrd-Pollard-Peery machine.” He advocated repeal of the eighteenth amendment, a referendum on State liquor control, lower automobile license fees and continuation of a balanced budget. Liberal support of public edu- cation and legislation to permit tem- porary changes in utility rates pending investigation were other salient planks in his platform. Peery, whose iron-gray hair parted (Continued on Page 2, Column 7.) Speed Flyer Promoted. DESENZANO, Italy, August 2 (#).- The air ministry today promoted Wax rant Officer Francesco Agello to a sec- ond lieutenancy in recognition of his world airplane speed record of 426% miles an hour set in his Red Bullet monoplane, April 10. Agello hopes soon | action by the budget director would | votes to 29,357 for Deal and 28,241 for | Surp! to push the mark well up over 500 in | in & “mystery” ship. He is 30 years old and a knight of crown of Italy. Yesterday’s Circulation, 111,906 (®) Means Associated Pre TWO CENTS. 250 T0 LOSE J0BS IF GAS TAX FUND 1S NOT RELEASED Immediate Lay-off Will Be Necessary, Donovan Tells Senator King. LEGISLATOR TO URGE USE OF D. C. SURPLUS Employment for 716 Men in Dis- trict Service From Two Ac- counts Would Result. Immediate lay-off of 250 per diem employes of the District government will be necessary unless the Budget| Bureau releases- for expenditure the surplus gasoline tax money asked for by the Commissioners, it was made known today in a memorandum pre- pared by District Auditor Donovan at the request of Chairman King of the Senate District Committee. Senator King plans to go to the Budget Bureau within a few days to urge immediate use of both the gas tax and water fund surpluses and he asked District officials for this report as a preliminary step. Under the terms of the 1934 District appropriation act, the budget director is given the power to make available $1,500,000 of the gas tax money and $635,000 of the water fund surplus. The Commissioners have asked for all of the gas tax money referred to in the appropriation act and for; $502,000 of the water fund total. Work for 716 Men. It had previously been announced that the granting of the water fund money would put back to work 466 men already laid off since July 1. The statement that the gas tax money would save the jobs of 250 other per diem workers means that favorable result in work for 716 men in the District service, besides the indirect employment that would be stimulated by carrying on these construction projects at this time. The report submitted to Senator King presented a strong case in sup- port of the expenditure of these funds, pointing out that even if the amounts asked for by the Commissioners are granted in their entirety, there would still be unexpended balances in both funds at the close of the current fiscal year. In the gas tax fund, even if the $1,500,000 is allowed, there would still remain a balance of $320,000 at the close of the year. If all of the water fund money asked for is made avail- able there would still remain a cash surplus to the credit of the Water De- partment of approximately $865,000, it was shown. Earmarked for Bridge. The District appropriation act ear- marked $575,000 of the gas tax money for beginning the Calvert Street Bridge and $45,741 of this fund for the Dis- trict’s share of widening and paving Constitution avenue between North Capitol and Second streets. This would leave approximately $879,000 remaining out of the $1,500,000 which the budget director has discretionary power to re- lease. The report to Senator King shows that the Commisisoners wish to spend this meney for the following pur- poses: For current repairs to streets, $275.- 000; for building curbs and gutters and concrete shoulders on macadam roads, $75,000; for re.sur(ul:x]g and replacing streets, $70,000; for paving major thor- oughfares, $341,360. and for pavin what are known as local residentia streets, $117,900. Effect on Employment. Referring to the effect of obtaining this money on employment, the report stated: “The further allowance of monies for expenditure for street maintenance work, as recommended to the director of the Budget Bureau by the Commis- sioners, is particularly “acute at this time because unless the approval of this expenditure is given by the director, it will necessitate the immediate drop- ping of approximately 250 per diem employes from the pay roll. This action must be taken at once unless the ad-| ditional amount is made available for expenditure.” In emphasizing that both of these lus funds represent money col- lected entirely from local residents, the District auditor stated in the memo- randum: “Tt is desired to particularly empha- size the fact that both the fund of $1,500,000 authorized to be expended from the gasoline tax fund and the $635,000 authorized to be expended from the water revenues are purely and exclusively monies of the District of Columbia, and participated in no part by the Federal Government in its con- tribution to the District of Columbia.” The auditor further emphasized that under basic legislation, both funds must be spent for particular purposes, the gas tax money on highways, which he says includes bridges, and water funds, only on the water supply and distribu- tion system. TANG-YU-LIN GIVES UP CHANGCHUN, Manchuria, August 2 (#)—Japanese general headquarters announced today that Tang Yu-Lin, former governor of Jehol Province, who | fled before a Japanese advance into | that district in March, had offered finally to submit to the Manchukuo government. | The pertly ex-governor, once known ' as the “opium king of Jehol,” is now ‘Takochen. in Southwestern Jehol, with a small following, ieadquarters With one dead and 36 prostrations during the three-day heat wave which struck Washington with full force Monday, a slight, but none the less wel- come respite was -in prospect for the city late this afternoon or tonight. At 2 p.m. today, the official thermom- eter of the Weather Bureau registered 94 degrees, two less than at the same time yesterdav. The forecaster pre- dicted the temperatures would run just about that much less than yesterday until thunder showers late in the day SLIGHT RESPITE FROM HEAT GRI IS PROMISED TONIGHT FOR D. | ‘The drop, however, is not expected to be great and by tomorrow afternoon the prospect is that hot weather again will have the Capital in its grip. Throughout the East similar weather conditions prevailed today and a can- vass by the Associated Press of major cities indicated deaths throughout the section in the past few days will total more than twoscore. | Other sections of efi:e country con- | tinued to enjoy moderhte temperatures. | Yesterday several thousand Govern- | ment employes were given the afternoon | off when working conditions in their became unbearable. The largest (Continued on Page 2, O?mnn 6.) MAJOR “BUY" DRIVE TOSTIMULATENRA. SAYS GEN JOHNSON Start of New Expansion in Government Program to Be When Time Is Ripe. LEADERS OF NATION MOBILIZING OPINION S Industrial Control Administrator Takes Plane to Harrisburg. New Codes in Force. By the Associated Press. A major buyers' drive to_assure that purchasing power bolstered by the N. R. A. wage-raising, Job-creating pro- gram will be used to its utmost in stimulating national recovery was promised today by Hugh S. Johnson, pilot of the industrial control machine, Jjust before he left for Harrisburg, Pa., to make an address. This significant expansion of the Government push to obtain better times will be started when “the time is ripe,” he said, and was taken to mean as soon. as industry and business have com- plied in sufficlent volume with the terms of the voluntary re-employment agree- ment and of the permanent codes of fair practice to put millions of new money into the country’s pay rolls. The movement of industry and busi- ness to join the N. R. A. campaign con- tinued in full swing, fresh reports from all over telling of mounting totals of signed agreements. Mobilizing of Opinion. To speed it, the administration put underway a general mobilization of campaign committees of State, regional and community leaders to awaken full public support. Meantime, Johnson spread the appli- cation of codes by declaring in force— pending final determination — agree- ments submitted by the electrical man- ufacturing, radio, bedding, rayon weav- ing and rayon yarn manufacturing in- dustries. The electrical and two rayon codes have been examined in public hearings already, but have not been finally pro- mulgated. The others still are to be taken lnthenlngs. their dates not yet f ly set. The blanketed industries, the admin- istration said, now employ 250,000 should be able to absorb at least 40, more. Under the modified effec- tive at once, all units of the covered may apply the labor terms their own code in place of the dent's voluntary agreement and still come eligible for the Blue Eagle nia. Already the bulk of the country’ retail trade, employing millions, has been extended the same opportunity. Goes By Army Plane. For his Harrisonburg trip Johnson used a War Department of Jjust as he did on a recent dash to De- troit to get the automobile industry’s code. He expects to be back late to- day. Behind him he left in progress hear- ings on codes for the cotton garment and shirt industry, the millinery trade and cash iron soil pipe industry. Also in progress were negotiations for adjusting terms of the steel and oil codes, while his deputies were engaged with great numbers of industrial dele- gations seeking quick action on agree- ments to bring them into the fold. Acceptances Expected. As city after city blossomed out with blue-eagle posters attesting compliance of merchants and business houses with the higher wage, shorter work week terms of President Roosevelt's volun- tary agreement, recovery officials looked for acceptances from other leading citi- zens invited by telegrams to form boards. ‘The administration began compiling totals of those employers who, already numbering in the hundreds of thou- sands, have joined the movement in the purely voluntary, pre-campaigning stage. A big boost in the total was expected to result shortly from application of the two retail codes now in temporary force pending a hearing set for August 15. Subscribers to these win the blue eagle and get their names on the honor roll of signers by filing certificates of compliance. Rallies to Be Held. Shortly, however, local committees will get the word to take the fleld first with rallies, then with a dcor-to-door canvass of business establishments to bring in those which have not signed and to make sure that the others &re living up to the pledge. Two new codes were on the boards to- day for public hearing, one covering the cotton garment and shirt industry, major division of the textile field, the other on cast iron soil pipe. Continued was examination of a code for the mil- linery industry in which labor-employer arguments over wages and the com- petitive situation between Ecstern and Midwestern cities had shaped up as major issues. “We know .hat unless your goods are moved off your shelves you cannot keep (Continued on Page 3, Column 5.) NEW WOOL dODE SOUGHT Selling Agreement as Supplement to N. R. A. Pact Considered. NEW YORK, August 2 (#).—Members of the board of the National Associa- tion of Wool Manufacturers met here today to consider a selling code for the industry. Officials said a tentative draft of the agreement had been drawn and would be discussed. President Roosevelt yesterday signed a code for the woolen meu which deals with the production end cf the industry. It will go into effect throaghout the in- dustry on August 14. 'Glflle FOR READERSI Amusements Comigcs ... Features . Finance . Radio .. Serial Fiction Society . Sports