Evening Star Newspaper, January 25, 1935, Page 14

"A—14 »» THE EVENING NENCANS EAVE | HEREFOR OTHAN Representatives Attending Road Builders’ Sessions to Be Auto Club’s Guests. ‘The four representatives of the Mex- fcan government who have been in ‘Washington attending the thirty-sec- ond annual convention of the Amer- ican Road Builders' Association this week will go to New York this after- noon, where they will be guests of the New York Automobile Club. Included in the party are Guillermo Gonzalez de Alcala, engineer and son of the director general of highways of Mexico, Jose L. Gonzalez; Eduardo ‘Villasenor, new Mexican consul gen- eral in New York: Jose Rivera R. manager of the Mexican Automobile Association, and William Harrison Furlong, assistant general manager of | the San Antonio, Tex., Chamber of | Commerce and official representative of the Mexican highways director. A warning to tourists planning a trip into Mexico was issued by members of the party before leaving Washington. Furlong, who has made 13 trips over the Laredo-Mexico City highway dur- | ing the past 21 months, said the road had been definitely closed by barriers and no cars are allowed to pass be- yond Tamas Unchle on the way to Mexico City from Monterrey. He said Senor Gonzalez recently made a tour of inspection of the highway and de- cided that it was impassable. Hereto- fore cars have been allowed to pass, but many of them were stuck in iso- lated areas for several days at a time, Furlong said. One tourist, with a family of three, was isolated for 13/ days, he said. | More than 8000 men are now at work on the highway and it is ex- pected that it will be completed in| late May. Misspelled Word On Bronze Tablet In Roper’s Office ‘Thier’ for ‘Their’ Mars Memorial to Chinese Commission. Despite the overtime operation of the brain trusters and highly trained technical experts, the Government still is laboring under the curse of misspelling. On an expensive bronze tablet in | the reception room in the office of | Secretary Roper there is one word | that, some day, may have to be cor- rected. The tablet commemorates the visit, in 1919, of the Chinese Commission, headed by the President of China. In the middle of the elaborate tribute to the distinguished visitors is the word “their,” spelled “thier.” Al- though the tablet was photographed, along with the President, for the newspapers, the correction never has been made. TWO DRY BILLS OFFERED Benator Sheppard Moves for Re-| turn of National Prohibition. | Senator Sheppard, veteran Texas | advocate of the dry cause, yesterday moved for a return of prohibition by introduction of two joint resolutions calling for constitutional amendments to sweep away the :-epealing twenty- first amendment. One of the proposals called for a blanket return to prohibition. The other proposed amendment would give Congress power to re-enact national prohibition. R Swims River in Cold. KNOXVILLE, Tenn. (#).—While Knoxville was blanketed with its heaviest snow in 35 years, Carl New- man, 19, thought it a good time to swim the Tennessee River. So New- man dived in, never minding the sub- freezing weather and snow. “The water was fairly warm,” was New- man’s only comment. EDUCATIONAL. 30YD :nlrflnc " _Pays. “Special usiness. Secrefarial and Review Courses. 2-10 Months. o 1z learn. Position guaranteed graBuates. | Onnlw Dally. Inguire NAt. 233 333 5t. N.W. Accountancy Pace Courses: B C.S. and M.C.S. Degrees. C.P.A. Preparation. Day and Even ingClasses: Coeducational. Send for 28th Yea: Book. BENJAMIN FRANELIN UNIVERSITY TRANSPORTATION BLDG MET 2518 WashingtonCollegeofLav Second Semester Begins February 4 New Classes Both Day and Evening 2000 G St. N.W. MEt. 4585 The Temple School SECRETARIAL TRAINING Beginners’ and Advanced Classes Day and Evening Sessions Day Classes forming every Monday Reviews, Principles, Pitman Shorthand January 28. Beginners’ Class Business English and Spelling. February 4, 7:45 P.M. 1420 K St. N.W., NATIONAL 3258 MAHONY! ART scHOOL * Color. Commerels . _Interior e ik 7R.1.Ave Vlrfl-ln Ilrzcl pt. !hl.. Mt, Vernon Place me Vernon 2nd TERM 78" I mlwmu for admission now be- New pupils recelved for private and ch-k:'.’ll» Witnesses YOUTHS TO TESTIFY AT KENNAMER TRIAL. Randall Morton (upper) a stu- dent in the University of Kansas, and Preston Cochrane, son of a Tulsa, Okla, lawyer, who are listed as witnesses in the coming trial of Phil Kennamer, accused of killing John Gorrell at Kansas City. Morton is expected to be questioned about his conversation with Kennamer shortly before Gor- rell was slain. Cochrane is expected to be questioned about code notes believed sent to him by Kennamer while the accused youth was being held in jail. —A. P. Photos. JOURNALIST TO SPEAK Sir Willmott Lewis to Broadcast Sunday Night. Sir Willmott Lewis, Washington | correspondent of the London Times, | will be the guest speaker of the Na- | tional Home Library Foundation in | a radio broadcast over a National Broadcasting Co. network Sunday | night. | Sir Willmott's subject will be “What the World Must Do to Survive.” The address is scheduled for 10:30 p.m. Eastern standard time. | IDA BAILERY ALLEN, America’s foremost cooking an- thority, Former Direc- tor of National Radio- Home Makers Club. Advertising Motion On Works Measure Passed, ThenKilled House Almost Includes Item in $4,880,000,000 Relief Program. By the Assoclated Press. The House came within inches yes- terday of voting a big advertising bill for the President. In fact, it did so once and then thought better of it. Representative Bacon, Republican, of New York, offered a motion to re- quire newspaper publication of every order or regulation ued by the President under the $4,880,000,000 work-relief resolution. “The citizens,” he said, “should be put on notice as to what rules and regulations they are expected to fol- low.” His amendment was adopted, 151 to 141. But an hour or so later Rep- resentative Woodrum, Democrat, of Virginia, talked about the “red tape” and said that “if that amendment prevails there will be no work and no STAR, WASHINGTON, D. C, FRIDAY, JANUARY 25, 1935. ing from their leaders, voted lslln,' and this time the Bacon amendment | lost, 277 to 126. ‘Under Bacon's proposal, each presi- dential order would have to have been printed in at least one newspaper in every town of 50,000 or more popu- lation before it could become effective. | QUAKERS TO CONFER ! American Friends Service Group Meets Tomorrow and Sunday. The American Friends' Service Committee, National Quaker organiza- tion, will hold a conference at the Friends’ Meeting House, 2111 Florida avenue, tomorrow and Sunday. | “The Individual and the State” will | be the subject of the meeting at 7:30 | p.m. tomorrow. Henry J. Cadbury of Harvard University will be chairman. | DIVIDEND 1S DECLARED The Credit Union of Treasury Lodge, National Federation of Federal Employes, has declared its usual 6 per cent dividend, amounting to $655.50, it was announced today. Total assets at the close of business December 31 were $22,059.15. ! The Credit Union is headed by E. C. Hooper, as president, with John W. DEMURRER IN LIBEL OVERRULED BY COURT Suit Against Former Army Air Corps Head May Go to Trial Next Summer. By a Staff Correspondent of The Star. ALEXANDRIA, Va., January 25.— The demurrer filed by counsel for former Brig. Gen. William Mitchell in the $200,000 libel suit brought against the former Army Air Corps head last Summer by the Curtiss-Wright Corp. !u overruled yesterday by Judge uther B. Way of the United States Court for the Eastern District of Vir- ginia, it was learned here today. Gardner L. Boothe, attorney for the airplane company, was informed today of Judge Way’s action. The suit will now be brought into court for trial, probably some time this Summer, Mr. Boothe said. Arguments were presented on the suit in the United States Court here last year, and briefs were submitted | || in September. The demurrer, which Judge Way took under advisement, followed. The Curtiss-Wright Corp. in its suit | claims that former Brig. Gen. Mitchell iibeled it in an address in a New York hotel. —_— Saved From Rubbish Heap. Four dust-coated paintings, being ||} carried to a rubbish heap at Honolulu, were found to have values of $300 to $1,000 each. ON THE TOR BAY’IPRSON °Il.< QVggRKS LUMBIA relief created under this resolution.” | Ginder, vice president; A. D. Sart- The Democrats, who had been hea: Now Is the Time well, treasurer, and W. To Buy a Fine = Washing Machine! > A few that are slightly used Example (1) TWO-TUB WASHER AND DRYER $1 Weekly Pays ARTHUR JORDAN PIANO COMPANY 1239.G Street ~ Cor. 13 NW. HOME of the CHICKERING PIANO Tl Zailhoyy Wlose sas THE NEW NUCOA IS DELICIOUS SPREAD ON BREAD AND SAVES YOU If3 TO I/g!” IDEAL FOR EVERY TABLE AND COOKING USE! Delicious on " bread or rolls For seasoning vegetables Candies, PERFECT FOR ALL COOKING, TOO! You'll be delighted with this wonder- ful new product, made with pure whole milk and finest American vegetable oils. HOUSANDS of enthusiastic women will tell you how delicious the amazing New Nucoa is on bread... Yet, it saves you /5 to }2 over the spread you are probably now using. And you’ll find, too, that it is marvelous as a short- ening, as a seasoning for vegetables, for making sauces and candies and for frying! The New Nucoa is made only from cultured whole milk, finest American vegetable oils and a little salt: All bi2nded by a special process to give you an amaz- ing new margarine!—a margarine perfect both as a spread for bread and for every cooking purpose! Why not get a package of the New Nucoa—today? Your whole family will love its delightful flavor . .3 and you’ll find it makes a real saving in your food ex- pense! Try it! If you are not in every way delighted, you get double your money back! DOUBLE YOUR MONEY BACK! Perry, clerk. or Health conomy Inspect Your Heating Plant Thoroughly ® Do your heating arrangements keep your home at an even temperature—70°? ® Have the flues and boilers been cleaned recently? ® Is coal gas emitted from your furnace or stoves? Should you desire advice for comfort and plenty of heat, call Miller! of the Finest Quality R. S. MILLER | 805 Third St. N.W. An Appeal to Reason Government competition, unfair taxation, and unjust rate reductions hinder recovery and threaten the investments of millions of persons in the country’s second largest industry. The majority of utility securities were sound when issued by the companies and bought by the public. RICES and values of securities were based upon trends of earnings established over a decade or more. Values of utility property and the rates of return which utilities were allowed to earn on these values were believed to be just and fair by all groups connected with the in- dustry, including customers, investors, bankers, security dealers, employes, and managements. Where rates charged customers were contested, they were passed upon by commissions and courts. Great changes have taken place. Attempts are now made to force unwarranted rate reductions through political agitation and threats of Gov- ernment competition. Unfair increases in taxes ~—Federal, State, and munieipal—which, be- cause of the fixed rates, cannot be passed to consumers as is done in practically every other industry, are taking away millions from in- vestors. Rate Reductions Are of Minor Importance To Family Budget Political agitators are attempting to lead an un- informed public to believe that a radical reduc- tion in domestic electric rates is one of the most important necessities facing the people of this country. Actually the monthly electric ,bill is one of the smallest items in the family budget, ranking in amount well below tobacco and soft drinks. If electric rates of domestic consumers in the United States were cut in half it would mean a saving of less than 5 cents a day to the average American family. On the other hand, such a reduction, if made immediately, would spell bankruptey for practically every electric company, both operat- ing and holding, in the country. Can it be pos- sible that so relatively unimportant a saving Jjustifies an effort to wreck one of the country’s greatest industries? Use Increases 25% During Depression That electricity does not take an unreasonably large part of family budgets is shown by the fact that domestic use per customer has in- creased 25% during the depression. This clearly indicates most customers have no criticism of the price they pay. They have been encouraged to use more electricity by constantly declining rates, and by the introduction of better appli- ances and better means of financing them. Rates should be fair, but they should be fair both to the customer and to the utility. Ef- ficient management should not be penalized and inefficient management encouraged. This is the necessary result where lower rates are de- manded for companies with efficient manage- ment because of the fact that their earnings are better than those of comparable companies with inefficient management. In such cases, rate proceedings have become mere attempts to re- duce earnings or profits rather than efforts to establish fair rates. 1t is also unfair to saddle utilities with the large expense of repeated rate proceedings, once their rates have been established on a fair basis, merely because they may be able through un- usual effort to overcome in some degree the ef- fect of the rate reductions on their earnings. Charges of Overcapitalization It has been charged that overcapitalization of utility companies has acted as a barrier to the establishment of just rates. Nothing could be further from the fact. Rates should be, and are established at levels calculated to produce a fair rate of return on the sound value of oper- ating properties devoted to the public service The law of the land does not permit the estab- lishment of rate schedules based on capitaliza- tion. Therefore, the charge that capitalization has any bearing on rates is merely a smoke screen designed by agitators to mislead con- sumers. The utility industry has not asked. nor does it receive, any consideration of its capi- talization from rate-making bodies. Security holders in such companies as mav be overcapitalized can only expect a proportion- ately low income from their securities, but by and large the utility industry of this country, if allowed to earn a fair rate of return on the value of its operating properties, can pay all fixed charges on its interest-bearing obligations as well as reasonable dividends on its stocks. Similar charges of overcapitalization were made against the railroads until millions of dollars had been spent in valuations of railroad prop- erty which showed that they were actually undercapitalized. Power To Tax Is Power To Destroy The power to tax is the power to destroy. The power to regulate is the power to harass, hobble, and finally stiffe. No one objects to just taxa- tion or fair regulation. Utilities realize they must bear their fair share of the cost of re- covery. But taxation should not be used to the extent of irreparably injuring an industry, when, during a depression the entire country is being urged to do its utmost to bring about restoration and recovery. A possible increase in Federal income taxes alone of several million dollars is seen as the result of a change in the method of making up Federal tax returns. This change was made in the middle of last year, and was retroactive. Retroactive changes are admittedly unfair. This was recognized when railroads were not subject to this unfair burden. Competition by Federal Government The Federal Government is going into direct competition with established utility companies. It is pouring hundreds of millions of taxpayers’ dollars into huge power developments. Utility companies fear these projects not as yardsticks to measure their efficiency but as competing sources of power which may make it difficult for them to exist. Cities and towns are encouraged to build their own electric plants by the offer of an outright gift from the Federal Govern- ment of 30 per cent of the cost if they do so. ORI In this campaign the public is being led to be- lieve that the financial structure of an entire industry (which it is recognized is opera.ted about 80% through holding companies) was deliberately created through a well-organized system of dishonesty, deception, inflation, and fraud by these holding companies. T here may have been some whose judgment was unsound or whose practices needed cor- rection. But does this justify indicting an entire industry and all the people in it? This is an appeal to the public to refuse to support acts which unjustly affect their neighbors’ goods. It is also an appeal for action by those whose income depends in any way upon investments in public utilities. The in- vestors must organize to combat the injustice that is being done to them and to demand that their representatives in government respect their in- terests. Only through the insistence of security owners upon their rights and with the continuance of the improvement now discernible in the utility industry can utility investments be protected from danger. ASSOCIATED GAS & ELECTRIC SYSTEM I you don’t feel that the new NUCOA is all that Mrs. Allen has said about it here, return the package and unused portion of NUCOA, with your name and address, and your grocer will give you double your money back. Ithaca @ New York ‘1 I Phone Nat. 517 Anthracite and Bituminous Coal