Evening Star Newspaper, November 25, 1934, Page 3

THE SUNDAY STAR, WASHINGTON, D. C, NOVEMBER 25, INSULL AGQUITTED | OF FRAUD CHARGE 16 Codefendants Are Found Not Guilty—Jury Out 2 Hours 2 Minutes. (Continued From First Page.) American institutions. I am more happy that my f:m's name has been cleared than I am about my own.” Mrs. Insull, waiting in her hotel | for the verdict, heard the verdict by telephone. She said: «I am tremendously happy over | the acquittal of my husband and | on. 2 Stanley Field, the famous Chicago philanthropist and an Insull director, was brief. He said, “I am very much appreciative of this verdict.” Only one of the jurors would com- ment. “After the first two weeks, we had no doubt that the defendants were in- nocent.” Samuel Insull, jr., his father's “chief of staff” and once vice chairman of three Insull concerns, said | 1 appreciate the vindication of the motives of my father and myself and our associates.” Besides another Federal charge— one of fraudulently removing assets from a bankrupt company—Insull faces a State charge of embezzlement, focused on the giant of his utility system, the Middle West Utilities Co. “Going Home for Rest.” “I'm going home for a 1cng rest,” said Insull. in high spirits. “There | are other cases, you know.' Judge Wilkerson's marble and ma- hogany court room Wwas piled high with business records for the eight- weeks’ trial, but the three letters only in which the jurors showed interest concerned Insull's use of stock divi- dends—one of the accounting methods the Government called tricks to de- ceive investors. One was from P. J. McEnroe. a vice president of Insull's Corporation Securities Co., asking the opinion of Arthur Young & Co., accountants, on whether stock dividends. when re- ceived by an Insull company, could properly be entered as income at the current market price. The second was an answer, holding they could not The third was In: letter to the accountants, declaring “You should not have decided & matter of this importance without con- sulting me, especially as I disagree.” Surrounded by Co-defendants. When Insull left the jury box, after thanking the 12 men mselves en route to freedom and their homes, he was surrounded by the other defend- ants for a round of congratulations and handshaking. It was not until every one else had either shaken In- sull by the hand or patted him on the back that his chief of defense,| Attorney Floyd E. Thompson, made | his way to Insull's side Thompson. a former chief of the Ilinois Supreme Court, who had pleaded with me jury to “send this old man home,” put his arm around Insull's shoulders 3 “You know how I feel about this, the attorney said. justice Insull looked at him, put out & hand, and said nothing. Trial Lasted 23 Days. Insull, central figure of the trial and main target for prosecution at- tacks and defense returns, had be- lieved the fate of the case would de- pend on the jurors’ attitude toward him. s After the Government ended its case, although refusing then to be quoted, he had said: “If they con\'icl any they'll convict me." Specifically the charges against him developed in 23 days of testimony by Government witnesses were that he had violated the postal laws in 25 instances while selling the common stock to the Corporation Securities Co., an investment trust launched on October 5, 1929. Government accountants told the jury the stock was worthless during much of the time it was sold to in- vestors, and that the circular offering it falsely stated the corporation’s assets. Charged With Rigging Market. Describing operations by Insull ¢ompanies on the Chicago Stock Ex- change, they declared that Insull had “rigged the market,” inflating the price of “Corp. common” far above its true value, which they set at its “liquidating value.” No estimates were forthcoming as to the cost of the case, which was based on investigation begun in the Fall of 1632. Insull was then in Europe on what he called “a rest” and Prosecutor Leslie E. Salter, who presented the Government's case, called it a flight. Salter tonight took the verdict with & grin. “I said all I had to say in there,” he said, pointing at the court room. one, SPECIAL NOTICES. WEEKLY TRIPS TO AND FROM BALTI- more; also weekly trips on 24 hours’ notice to_any point in United States within a radius of 75 miles of Washington. SMITH'S TRANSFER & STORAGE CO. 1343, 'DISTANT MOVIN| ida_and foreign sp everywhere. P! < ANLINES Geo ARE YOU MOVING? Special Tates based on return loads for long-distance moving east of River. Consult us today for estin TRANSFORTATION | CORP.. "6 15th and H *"hisht and Sunday Shone OTHER OR SISTER_A WORTH- T ChOliimas sift. A7 Eqmonston. copy of that old picture of father or mother, T, miniature or in larger UDIO. 1333 P st. Eanvice copies for 25 years. OAD RATES ON FULL to all points within 1.000 vens. guaranteed service. Nalmnll linU NATL i INC 13 A LD ROLLING CHAIRS—For rent or le; new and used: all styles. l\l sizes: re- uced prices. JUNTTED STATES STORAGE S8R o e e ME TRE ESCAPES. NEW and, erected. repaired; r: ngs, grills. pont Iron Works. Nat. 3766: Ad. 8448 night, EIVE TURKEYS, 25¢ciib; Dressed turkeys 28c Ib. at turkey pen. 6218 3rd st. nw. Delivered an: where in city. Takoma Park or Silver Soring. Md Also_your complete order of strictly fresh groceries or meats at chain store brices. delivered free. Phone Georgia 8660 “Flemming Orem, ! twork Star D _SECOND- His Nogelty Marimba Orchestra en for Ensagements. FPhone Lotis PYTES son 6372 _* THE ~\\"IIOL SHOP, 1661 WISCONSIN AVE Recently opened. Carries a very high grade of Chinese TUgs. fur evening wraps. rose- wood hand-carved furniture and suitable gifts at very reasonable prices. Inspection invited. Also American_antiques. Apples—Sweet Cider Rockville Fruit Farm Drive to Rockville, Md.. two blocks besond court house. then one mile out Potomac_rd. ELECTRICAL =rims a0 wiring. Electric shop on Wheels. Inc.. have shops all over wn to serve you. See your Telephone Di- x!c!nl! for Bnnch nearest you or call Wis- eonsin 4821. No_iob too smali or too large. APPLES and CIDER AT QUAINT ACRES Silver Bnflnl-Culemlle Pike (Route 29). only 5 miles from the District, Open every day 7 a.m. to 8 p. v 'A'cquitte'd in Insull Case No. 1—Samuel Insull, acquitted late yesterday by a Chicago jury. No. 2— Samuel Insull, jr. No. 3—Harold L. Stuart, former president of Corporation Securities , former president of Halsey, Stuart & Co.. brokerage firm No. 4—Stanley Field, director of Corporation Securities. No. 5—John F. O’Keefe, assistant secretary of Corporation Securities. —A. P. Photos. This Changing World Speech of Japanese Ambassador Criticizing Ameri- can Navy Policy Is Considered Violation of Diplomatic Custom. BY CONSTANTINE BROWN. HE Japanese sense of humor is, being questioned in Washing- ton. They have adopted the idea of open diplomacy so | literally that their Ambassa- dors go about making political speeches in the same way as if they were in their own country. Dynamic little Ambassador Saito is | answering as many invitations to make public speeches as are extended to him. He makes good and inter- | esting speeches, but last Friday he went a little bit too far for the taste of most diplomats in Washington | and the American people in general.| Talking before the Academy of Po- litical and Social Science in Phila- | delphia, he stated in plain English that America wants battleships, large cruisers and airplane carriers, because it envisages the possibility of waging an aggressive war. Japan and the Japanese states- men are free to think this, if they want to. Such thoughts have been frequently expressed in Japan with- out anybody in this country taking exception. But it is a thing with- out precedent for an accredited diplomat, who is supposed to foster jriendly relations between his country and the country to which he is assigned to criticize in a public speech the national policy of the country in which he is accepted as a privileged guest. Diplomats, in discussing the remark- able speech of Ambassador Saito, ex- pressed the opinion that if the Ger- man Ambassador at Paris had uttered | such words he would have been given his passports within 48 hours. Last Rite for Naval Parley. Saito last Friday shut the eyelids | of the dead naval conference. He per- formed this duty with the ability re- quired of him by his government. There is little inclination on the part of the other powers to begin a dis- cussion about who is responsible for | the death of the Washington and the London naval agreements. Only this fact is pointed out by the interested governments in dis- cussing the Japanese statement that the lack of naval parity is a slur on Japan’s national honor. France and Italy, two powers at least as proud and with @ history as ancient as that of Japan. are in no way humiliated because Great Britain and the United States have a much larger navy than their own. France's naval requirements, too, are at least as important as those of Japan. France has a far-flung colo- nial empire and is surrounded by more powerful potential enemies, within a few hundred miles of its territorial waters, than Japan will ever be. No Desire for Navy Race. There is no desire on the part of the British and American govern- ments to initiate a naval race. As long as existing ratios remain in force the only ships this country is going to build will be those allowed her by the Londan naval ngreement. But should Japan exceed its ratios the American answer will be prompt and unhesitating. In spite of the financial difficulties of Japan, that country can still spend a good deal of money on its army and navy. The Japanese government has de- vised a cunning way of dumping manufactured goods on foreign mar- kets. Here is one of the most popu- lar methods. * The government allows certain firms to organize lotteries. Four | small | only 50 cents or to five thousand tickets selling be- tween 50 cents and $1 a ticket are sold in Japan. The winner obtains a number of bolts of silk which he is not allowed, under a severe pen= y of a fine and jail sentence, to in Japan. al sell This silk, of which he never obtains physical possession, is sold through an exporting agency a winner obtains the cas commission charged Since the ticket has cost ! a dollar, he does not care how cheap the silkk is sold. Thus, the manufacturer obtains the price he wants, the holder of the lot- agency. | tery ticket gets a substantial return for his dollar and the Japanese gov- ernment obtains foreign exchange and can keep its factories going by dumping Japan's manufactured prod- ucts at a price defying all competi- tion. HULL GETS READY TO END 3-POWER NAVY AGREEMENT (Continued From First Page.) of hopelessness around the cor British qu concerning ted an intimation that an accord this type would have a ception if it were s Americans. The British, however. in an effort avoid prejudicing the existing friendly relations with Japan, I ever men- tioned any sort of ar ord to the Americans, preferring the United States to take the initiative. In ad- dition to this policy, a small but strong group in the cabinet, reportedly head- ed by Neville Chamberlain, chancellor of the exchequer, insists that Britain do everything possible to make rela- tions with Japan closer in every way. which h, e Oppose Full Equality. But the British emphasized this | week in no uncertain terms that they stand strongly with the Am opposition to Japanese demands of full equality. This so improved rela- tions between the two delegations that the Americans fa radiated their appreciation of British co-operation. The Japanese have declined to dis- cuss the political outlook in the Pa- cific in case there should be no naval treaty, but some members of the House of Commons were asking questions about the political outlook in the Pa- cific with the intention of bringing up the matter formally next week, it was understood. United States Ambassador at Large Norman H. Davis played golf with Sir John Simon, the ish foreign secretary, today, discussing the situa- tion on the links. On Monday Davis planned to meet Ambassador Matsu- daira of Japan. BOMBS HURT 7 IN CUBA Explosions Terrify Crowds in Ha- vana Streets. HAVANA, November 24 (P)—Eight bombs exploded in downtown Havana late today, wounding seven persons. The explosions terrified the theater and shopping crowds in the business district. The hour chosen for the attacks was the same picked before when ex- plosions in big department stores killed a half dozen and injured more than a score, mostly women. Many bombs in the last few days have been set off at the homes of political leaders accused of trying to take part in politics after having sup- ported the regime of Gerardo Machado. Special Announcement GOLD, Sitver and Fiat- ? inum _Purchased for Manufacturing Use. Max- imum Price Paid. Federal License WATCH REPAIRING BY EXPERTS The repair of your watch does not complete tha transaction between us, owt. establishes our obliwuon o Mfll owr guar- antae of service Ju "5" tS S | dren | monoxide fumes and brought to the | spot where they were found.” DEATHS OF 3GIRLS BAFFLE PROBERS Monoxide Blamed in View of Lack of Violence—Iden- tities Mystery. (Continued From First Page.) the western section. About 15 miles to ftine south is Gettysburg. The theory that carbon monoxide fumes may have caused death was ex- pressed by Harry L. McElroy, detective chief of the State police. He said the only theory he had was that the chil- “might have been killed by Autopsies show no signs of internal | violence, physicians said. The coroner added, however, that the case may hinge on an analysis of the stomachs and blood. Haegele said one was “criminally attacked before death.” Dr. Stuart said she had been attacked, but he aid not know if it was a criminal case. He sald: “I would judge they had been dead from 24 to 48 hours.” Check-up Begins. ‘Two men found the bodies. A N tion-wide check-up of missing chil- dren began at once Miss Mary A. Parker, superintend- ent of the Children's Home of Balti- more County, Md. flew to Carlisle | | to view the bodies on the theory that | they might be three of five children | who were missing from the institu-| tion. These are { Parker said. Meanwhile, the Maryland children | had been found walking along a rail- road track. l’ A minute examination of the cloth-| ing worn by the girls gave no clues not my girls,” Miss except N. R. A. manufacturers’ code slips sewn into the coats. Police said they will endeavor to learn what re- tail stores handled the garments A thicket about feet deep sep- arated the damp, leaf-maited bier from a main highway. Haegele says he believes the little forms were car- ried there. They lay on an expensive | green blanket with satin hems and were covered with a similar blanket They wore new shoes, green coats with ful collars and silk underwear. Of Good Family. “The girls al rccinated by e same physicia e coroner said ach had a vaccination m igh on ner left He expressed the o from a ‘good fam Wood of the Car laying t Clark Jardine, employed on the James M. Cameron estate at Kings Gap, nearby, found the children and a ought they | were asl re they tucked in beneat! Rain d last night and the coron lieves the bodies after the rain beneath the blanket were wet: the bodies were dry He fixed the time of death at about | 8:30 last night and said he believes the bodies were brought to the woods less than an hour later. | The faces of the children were | swollen as if by exposure Or poison. Blood smeared the faces of the oldest and youngest, but the coroner says ! this migl ave come from a nose bleed caused by exposure or a hemor- rhage at death. He said he is in- clined to believe the children were carried through the underbrush {rom | the roadside | ) mountainside says he be- rought there Although hundreds pressed through to view the bodies, none tify them and they were 10 said her isappeared, 1d on the v dren were not hers wvered the bodies it down a massive y made the d rk said he saw the blankets and walked over to them. He said there e no paths leading to the ume clearing, about 4 feet square. Guaranteed One Ye: = e ANY SHAEE © 2Qc SRYSTAL MAIN SPRINGS. 2! oy MonA & Tue:. Special WINTE Antifreeze. Remove Grease and Adjust Front Bearing: Set Generator to Proper Charging Tighten Axle Nuts. Adjust Brakes. Lubricate Car Thoroughly. Clean and Reset Spark Plugs. Test Coil and Condenser. Tighten Water Pump. Tighten Fan Belt. Adjust Clutch Pedal Clearance. 0il Windshield Wiper. Tighten Cvlinder Head. Tighten All Hose Connections. | be this Completely Cleaned, Ad- justed and Demagnetized Clean Starter and Generator Armatures. Clean and Reset Distributor Points. Test All Ignition and Spark Plug Wires. Set Motor Timing to Specifications. Test All Valve Springs for Tension. ALE Auto Body C HOPKINS FAVORS CONTINUED RELIEF Permanent Program Held Necessary—Sees 5,000, 000 Families on Rolls. By the Associated Press. CHICAGO, November 24 —Declar- ing that the Government must event- ually devise a permanent relief pro- gram to replace present emergency measures, Harry L. Hopkins, Federal administrator, told relief officials from 13 States today that 5,000,000 families will be on relief rolls this Winter. “I believe that funds of relief agen- cies will be gone by February 15, but I can assure you that Congress will continue to care for needy families on the present basis and that we will not abandon in the Winter of 1934 and 1935 the work started in 1933,” Hopkins said. “I propose giving the needy fam- ilies 10 acres of ground and a house and then letting them live on that land with help from relief,” Hopkins said. “I believe there are 4,000,000 families on relief now and that num- ber will be increased during the Winter by ancther million.” Ten per cent of those on relief are from the drought area and they will removed from relief rolls within a year, the administrator declared. Announcing that he was opposed to unemployment insurance, Hopkins told the relief officials that: “Making people self-supporting isl the answer. Give them relief, give them a house and a piece of land and they will work out their own iroubles.” SEVEN POLICEMEN SHOT CHICAGO, November 24 () —Seven policemen were wounded, one seri- ously, late today in a squad room at the Detective Bureau by revolver shots, believed to have been fired acci- dentally. Two explosions were heard from re- volvers. Bullets hit the cement floor | and ricocheted, scattering bits of lead throughout the group of 15 officers assembled as reserves in case of trouble during & hunger march and demonstration by the unemployed. Most seriously hurt was George L. Taylor, colored policeman, struck in the neck by a bit of lead. All the uninjured were locked in a room pend- ing an investigation. DR. VAUGHAN Says: You are invited to take advantage of my complete dental service, bzcked . by long experience, and guaranteed savings. Personal attention. Easy payments. Dr. Vaughan DENTIST 932 F St. v Class r Evening. THE BERLITZ SCHOOL OF LANGUAGES The Lanouage Center of NA. 0270, Between the Mayflower and L st. Instruction. ady BE WISE, HAVE YOUR WATCH REPAIRED WATCH REPAIR FACTORY l "\« ANY WATCH ar. 9c 5c 1 Pout e Proof of Our Relub-luy repairing is our record. Thousands surrounding __ cities. WASHINGTON’S LARGEST WATCH REPAIR FACTORY F. ADAMS Cut this out 804 F ST. NW. Cor. 8th & F National 2032 RIZING SPECIAL Flush Radiator, install Dupont Zerone Wheel Ford--Chevrolet or Plymouth 95.95 ALL OTHERS$ MAKES OF CARS Rate, 95 Y 2020 M St NW. 1934—PART ONE. LIBERALS IN G. 0. P. FIGHT OLD GUARD IN REORGANIZATION (Continued From First Page.) Deal, insisted yesterday that the Re- publican party would live as long as it fought for principle. It must, he said, make the great issue of the day its own—the retention of the control of industry in this country by pri- vate business. “Disguise their purpose as they may,” said Senator Fess, “the New Dealers are working for eventual Gov- | ernment ownership and operation of | industry of all kinds in this country. ‘They may go step by step, taking pub- lic utilivy industries at first. But their aim is Government control of all busi- ness and activities in a form of State socialism. “If the leaders of the party com- promise with this movement of the New Deal Democrats toward State so- cialism, the Republican party will perish as surely as the Whig party perished when it sought to compromise the slavery issue in the first half of the nineteenth century. A new party, ready to fight this movement toward State socialism, will spring up and take the place of the Republican party to oppose the Democrats.” The Ohio Senator has no sympathy with the proposal advanced by Sena- tor Vandenberg of Michigan for a virtual coalition “government during” the period of recovery from the de- pression. The Michigan Senator has wrapped into his proposal for coali- tion government a demand that Re- publicans be allowed to share in the long list of Government jobs, and that Postmaster General James A. Farley should be retired as chairman of the | Democratic National Committee and chief dispenser of Federal patronage. His suggestion brought quick criticism from the Democratic national organ- | ization. | it go at that. {U. S. IS ASKED TO PROBE Should “Sit Tight.” Senator Dickinson expressed the opinion that the Republican party would come back into control as soon as the New Deal “disease” has run its course. In the opinion of the Iowa | Senator, the job of the G. O. P. is to | naped in Montgomery, Ala., or Atlanta, sit tight until the right time comes, and he believes it will come at no dis- tant date. While he admitted frankly that the Republicans had suffered dis- astrous defeats in the congressional elections, he said that the party had fared much better in the contests for local and State offices. It is sound, he said, at its roots. The Iowa Sen- | ator is making no demand for a dras- tic reorganization of the party at this time. He said that many of the so-called old guardsmen have been already eliminated, either by time or failure to be re-elected. Nor was he sure that all of the older and more conservative leaders should be tossed out of the window. He said the Re- publicans should take a firm stand on half a dozen legislative issues and let Between the Borah idea for a gen- eral clean up of the party organiza- tion, the Fess idea, more or less sus- tained by Dickinson, that the .Re-| publicans should seek to build on what they have rather than rebuild, and | the Vandenberg idea for a kind of coalition effort on the part of the| G. O. P. there is wide divergence. ‘When the proposal, edvanced by some of the Republicans, that the old party name be discarded for “liberals” | or some such term, is cast into the | = melting pot along with the other ideas, it would be a bold prognosticator who attempted to say what would come out of it. FLORIDA DEATH CASE|_ By the Associated Press. CHATTANOOGA, Tenn., November | 24—The Department of Justice has been asked to investigate circum- | stances in connection with the death of Albert G. Jacoway, 42, boiler equip- | ment salesman, whose body was found | carly this week in a canal at Miami, | Fla. Acting on the theory he was kid- murdered and his body thrown in mc canal, Jacoway's brothers, Price and W. C. Jacoway, cnmmumcaled with W. A. Rorer, agent in charge of the Bureau of Investigation at Nashville. A3 |LUDWIG LEWISOHN TO LECTURE HERE Appearance of Noted Author in Capjtal Sponsored by Jewish Forum Group. Ludwig Lewisohn, author, will make an address in the National Jewish Forum at the Jewish Community Cen- ter, Sixteenth and Q streets, next Sun- day evening. This is the first lecture tour Lewisohn has made since 1924. He is best known as the author of “Up Stream,” “Mid-Channel” and “Expression in America,” while among his novels are included “The Last Days of Shylock” and “This Pecple.” The program is being held under the chairmanship of Louis Ottenberg. Among those arranging the entertain- ment are David Winer, Miss Jeanne | Porton, Simon Lyon, Abe Shefferman, Frederick William Wile, Isidore Hersh- field, A. Kahn, I. Kahn, Mrs. Harry Bernton and Dr. Abram Simon l & SECRETARIES EARN Mlfluly-m Demond fn ates. BOYD scnom L Graduates win orize b sinners” Re Turn your old trinkets, jewelry and watches into MONEY at |\ A.Kahn Jnc. Arthur J. Srmdlmx, P) es. 42 YE beautiful Sheffield Silver reproduction SILVER-PLATE 50 Gadroon Plain or Beaded Border 16 in. Well and Tree Platter Double Covered Vegetable Dish Water Pitcher Center Piece Relish Dish Gravy Boat and Tr: also Bread Trays...... 16 in. Cold Meat Platter $4.50 Sandwich Tray.....0......93 Il | i | | i Jewelers Statloners Platinumsmiths o AKahn Jne. drthur J. Sundlun, Pres. 42 Years at 935 F St. AN ATTORHEY WANTS TO MAKE THIS A BRIEF CASE He'll value for unusual. us in person. Put $35,000 him. Sales Experts in Investment Properties for 29 Years. 1505 H Street N.W. NAtional 2345 In an Apartment House —His instruetions to us are not to have the money un-invested longer than ten days. To see as many apartment properties as we can in that time and pick the best investment —We are to bring to him the preferred of- ferings this week, if possible. your listing will have to scorch the mail chute getting to us; better still, bring the story to Ask for one of the following always to be found at his desk: Mr. Herbert T. Shannon, Mr. Morton J. Luchs, Mr. Frank J. Luchs, Mr. A, Jasper Moore, Sales Manager. That means —Remember, $35,000 may represent only part of the selling price or all of it, but it must bring an investment value that our expert appraisers can grasp at a glance as