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THE EVENING STAR, WASHINGTO D. C, TUESDAY, FEBRUARY 26, 1935. : Y N L N I e ) ) e A3 N | MELLON'S FAMILY GIFTS UNDER FIRE Financiers’ Holdings Traced Through Two Companies in Tax Hearing. By the Associated Press. PITTSBURGH, February 26.—Gov- ernment counsel tried to prove today from Andrew W. Mellon’s own records that he never lost control of millions of dollars worth of securities which he bestowed as gifts within his family. The legal route traversed by the stocks and bonds after Mellon gave them away was traced by Howard M. Johnson, Mellon's secretary, under questioning by Attorney Robert H. Jackson at Mellon’s $3,000,000 in- come-tax inquiry. Jackson, representing the Bureau of Internal Revenue, brought out that within two months after the gifts were made the stocks reached the portfolios of the Coalesced Co., hold- ) ing concern for the Mellon family. Gave Children $13,061,000. Johnson said that early in 1932 the three-times Secretary of the Treasury gave his children stocks costing $13,- 061,000 and that this was transferred to the books of the Coalesced Co. with their value computed at $21,944,000. The Government claims this transac- tion occurred shortly before the gift tax went into effect. Testimony previously disclosed Mel- lon's gifts to his children or the Coalesced Co. exceeded $50,000,000, based on the estimated value of stocks and securities. Jackson questioned Johnson as to whether the gift stocks, after being placed within Coalesced, were kept in the same safety deposit box with other Mellon securities, and the witness re- plied he was not sure. Another Firm Scrutinized. “Now, when the gifts were made, who had the stocks certified and to ‘whom were they turned over?” queried Jackson. “I probably received them,” said Johnson, who is the treasurer of the Coalesced. Another Mellon family corporation —the Ascalot Corp.—will undergo the Government miscroscope after com- pletion of the inquiry concerning Coalesced, That firm is a holding company which owns the personal securities of Mrs. Ailsa Bruce, the financier’s daughter. David K. E. Bruce, Mellon’s son-in-law, is listed as president of Ascalot. Bruce has attended the ses- sions, sitting beside the elderly multi- millionaire, and is expected to testify before the case ends. “Joint Account” to Be Probed. A “joint account,” which Jackson gaid included joint activities of the | former Treasury Secretary and his brother, the late R. B. Mellon, also ‘was to be taken up for more questions by the Government counsel before he finished with Johnson. ‘The secratary then will testify on re- direct examination by Frank J. Hogan, Mellon’s chief counsel. After John- son, said Hogan, will come A. H. Phillips, senior Mellon employe. who is custodian of Mellon's strong box and president of the Coalsced Co. Millions Given to Kin. The Coalesced was mentioned many ! times by Johnson as yesterday's ques- | tioning brought out gifts of millions | of dollars in bank and capital stock | from Mellon to his son, Paul Mellon, | and Mrs. Bruce. It has been testi- fled that Coalesced common, or vot- ing stock, is owned by the son and daughter and the preferred stock by A. W. Mellon. The Government claims the hold- ing firm is a “tax-dodging scheme.” Jackson, in questioning Johnson, in- troduced records of loans made to Mellon by Coalescec in 1932 and 1933, dates subsequent to 1931, the year in question at the hesring. It was brought out that Coalesced was reorganized in December, 1931, being more or less inactive before that time. Jackson also produced a con- tract by which Coalesced agreed to loan Mellon any securities it owned. Some Securities Not Reported. The questioning of Johnson also brought forth statements that $9,- 368,000 in tax-free municipal and Federal Farm Loan bonds were not reported in Mellon’s 1931 income-tax return. The secretary insisted such & report was not necessary. By other interrogation, Jackson claimed to have established that Mel- lon personally directed activities of his financial empire in 1931 and that any action Johnson took himself was along lines of policy laid down by the financier himself. In this connection records were in- troduced to show that Mellon, while still Secretary of the Treasury, had a brokerage marginal account, which in January, 1932, held a balance of $601,50 for the coverage of a total of $2,000,000 in stock purchases. o 26 PAROLE APPEALS SLATED TOMORRROW ditions in the textile industry. They Bridges of New Hampshire. CITY'S CHURCHES UNITE IN GAMPAIGN Stimulation of Religious Life in Capital Is Objective of Drive. Protestant, Catholic and Jewish | leaders joined forces yesterday in &/ new movement to stimulate religious | life in the National Capital. | At the first»meeting of its kind in | [ the nistory of this city. held at the| | Chamber of Commerce of the United | States, a new organization, headed by | | the “Committee on Religious Life in | the Nation's Capital,” launched a| program to stress the importance of | |a democracy of religion and church attendance. Right Rev. James E. Freeman, Bishop of Washington, is chairman of | the committee; vice chairmen are; Msgr. Edward L. Buckey, Rev. Albert | Joscph McCartney and Rabbi Abram | Simon; the treasurer is Dr. Russell J. | Clinchy and secretary Dr. Anson Phelps Stokes. President Roosevelt sent a state- ment wishing the movement every | success. His statement, read by| Rev. Robert W. Brooks, pastor of Lin- coln Congregational Temple, said: “It seems to me highly significant that the ministers of religion in Wash- ington—Protestant, Catholic and Jew- | Ish—have with such unanimity agreed | to co-operate in promoting a move- | ment whose purpose is to encourage | religion and church attendance. with- {out any compromising of their own | convictions or interfering with their | own methods of work and worship. | In a Nation like ours where church and state are and must remain inde- | pendent, it is highly important that | our churches—using the word in the | broadest sense— should feel their re- | sponsibility for strengthening those | spiritual ideals of worship and service | so essential to our highest welfare as | a Nation.” Praised By Freeman. Bishop Freeman, who presided, said he had never attended a meeting, which in his opinion, was “more im- | portant or significant.” “The moral and spiritual well-being | of our citizens is the greatest issue of the day.” said Bishop Freeman. “We all know of the laxity and moral sag | in the life of the Nation. Catholic, Protestant and Hebrew—we have a common responsibility in this mo- mentous hour in bringing our citizens to the feet of God.” The purpose of the co-operative movement, as officially announced, is that of “relating such of the people of Washington as are not now taking | their religious obligations seriously and | joyously, to some local church of their own_choosing.” “The movement will include in its scope all races, creeds, parties and groups, but inasmuch as over one-half of the 500,000 people in the District of Columbia are mainly dependent upon Government employment for family support and one-fifth are in the Government service (Federal and District) it will give special attention to the needs of Government em- ployes.” One Hundred Leaders Present. A memorandum pamphlet of the committee, consisting of 20 pages, Was distributed to all religious leaders to outline the program. It was signed by more than 35 religious leaders of the various denominations. The meeting yesterday was at- Man Convicted of Killing An- other With Fist Seeks Freedom. By the Associated Press. BALTIMORE, February 26.—Gay- lord Lee Clark, parole commissioner, has 26 applications for parole to be heard tomorrow. One applicant is Clarence Naill, serving a six-year sentence for second- degree murder, resulting from strik- ing a man with his fist in a fight which grew out of a base ball game. Naill, it was said, struck Herbert Duvall of Unionville at a ball game in Mount Airy. Duvall died instantly of a fractured skull. Naill was con- victed in Frederick and sent to the Maryland Penitentiary in 1932. SPECIAL NOTICES. BTl ok By See i TLE RO contracit e of Syselt WM. E. HAYES 9417 Nichols . s.e. TECTRIC REFRIGERATION SCHOOL O] ash. new address is 1232 14th n.w. Learn’ this new trade. 'oge CONSULT US ON MOVING AND STORAGE, GUALITY FURNITURE EXCHANGE. phone !«mele 3791, T ANTED_RETURN FROM_BOS- AN Tavidence. HATtord. New Haven New o Atlantic_2100. 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Brasted. Dr. John Cartwright, pastor of the Church of the Immaculate Concep- tion, told of the interest of Arch- bishop Michael J. Curley of Balti- more, and on his own behalf declared: “The Catholic Church will stand shoulder to shoulder with you in this movement. The great differences in our creeds cannot be minimized, but we nevertheless have very specific common grounds. ? “There is a very great spiritual want among our citizenry which has been weaned away from the church gradually. We have a duty in bring- ing them back. Let us perform that duty.” Dr. Abram Simon, Rabbi of Wash- ington Hebrew Congregation, de- clared all «were proud to call Wash- ington the “city beautiful,” but he P | hoped it would also be known as the “city ethical and the city religious.” | said He was convinced that in the long run only as people recognized their obligations to God could they show the highest conception of relation- ship to their fellowmen. Rasmussen Heard. Dr. Carl C. Rasmussen, pastor of Luther Place Memorial Church, as president of W: Federation of Churches, spoke of the privilege of co-operating with representatives of different religious groups. He placed built up. Dr. Anson Phelps Stokes, canon of memorandum of the committee had declined and that additional signa- tures were X 4 are shown here at a luncheon. Saves Invalid JOSEPHINE MAMAKOS. i —Star Staff Photo. INVALID, 63, SAVED FROM FIRE BY GIRL Clothes Fired by Flaming Curtains Ignited in Lighting Pipe. Prancis H. Javins, 65-year-old in- | valid, was saved from death last night | by the heroic efforts of an 18-year- old girl when his clothing caught fire | from flaming window curtains ignited from a match when he tried to light his pipe in his home at 530 Eighth, street southwest. | The girl, Miss Josephine Mamakos, | realizing his helpless condition, dashed | across the street from her home at | 527 Eighth street southwest, burst | through the front door, ran up the steps and smothered the flames with | blankets she picked up nearby. Javins, who is partially paralyzed, was seated in a chair by the window of his home when the match acci- dently lighted the curtains and his clothing. He is unable to move him- self without aid end had been left temporarily by a nurse caring for him. Partly overcome by the smoke, Miss Mamakos was given first aid by fire- men. She had fallen down the steps in her home and lost a heel off a shoe in her hurry to get to the scene. The flames had been seen in the second-story window of the Javins’ home by the girl's mother, Mrs. Eve- lyn Mamakos, who notified her two daughters. The other daughter, Miss Helen Mamakos, ran to a corner and turned in a fire alarm. Meanwhile, members of the Javins household were eating dinner on the first floor and when they heard the commotion at first thought some one was trying to rob the home. Javins was reported slightly improved today in Emergency Hospital. Javins is a partner in the fish and produce business in the new Center Market with his brother, John F. Javins, under the firm name of Charles H. Javins & Sons, although himself inactive for a number of years due to illness. A brother of the girl who made the fescue is Steve Mamakos, well-known local boxer, who recently underwent an operation for appendicitis. PLUNGES TO DEATH Physician, Treated for Cancer, Falls Nine Floors. NEW YORK, February 26 (#).—Dr. William David Tyrrell, 63, a former resident of Elgin, Ill, plunged nine’| stories to his death today at New York Hospital, where he had been under treatment for cancer since July 24. Dr. Tyrrell entered practice in New York in 1899, coming from Elgin, his birthplace. He specialized in children’s diseases and from 1909 to 1918 was an instructor in pediatrics at Cornell Med- ical School, an official of the hospital Hospital officials said a brother of the dead physician lives in Elgin. That Long Tongue Of Dragon Lizard Sets Gore Thinking Senator Gore of Oklahoma has | multiplied indefinitely. New Englanders Cpnfer on Textiles New England officials and representatives of industry conferred with Government officials yesterday on con= Left to right: Russell Mass.; Frank Neild, president of the Neild Co.; Gov. Curley of Massachusetts, Gov. Brann of Maine and Gov. T. Fisher, Boston, A. P. Photo. GERMAN TRADE PRACTIGES SGORED Americans in Berlin Charge Discrimination and Cite Barter Deals. | By the Assoctated Press. BERLIN, February 26.—A bitter complaint of discrimination against | American business was voiced in the American colony of Berlin today after publication of figures showing the | United States’ sales to Germany havé declined in a year to one-sixth of | their previous volume. During that time, the figures dis- close, the volume of United States ex- ports to Germany has shrunk from $15,700,000 in January, 1934, to $2,600,- 000 last December. In the same period German sales in the United States decreased from $6,500,000 to about $5.500,000. In support of their charges of dis- crimination Americans cited a wide variety of barter arrangements which Germany has negotiated with business interests in other countries. Much Goods Exchanged. Under such agreements, it was pointed out, German manufactured products and-other finished goods re- cently have been exchanged for 8,000 tons of Rangoon rice, 2,500 tons of Siamese rice, 12,500 Puerto Rican casings, £20,000 (about $100,000) worth of Australian wool, 55,000 sacks of Brazilian coffee and 30,000 tons of Chilean oats. The examples, it was said, may be They all tend to indicate, American critics said, that Germany is quite willing to barter on an even basis with countries that are not particularly strong financially or that are not large creditors of Ger- many. In the case of the United States, it is contended, the German economic ministry, with an eye to the vast American gold reserves, does every- thing possible to make Americans pay for goods bought in Germany with cash rather than in kind. The effect | of this policy is to swell Germany's foreign exchange portfolio. The American exporter of German goods henceforth will be required to show completed contracts with Ger- man firms for exchange of German products for United States commodi- ties before he will be permitted to bring American goods into the Reich. Business men of other countries, | however, are permitted to deposit pay- ments for their imports in a special account, the so-called sonder konto, and draw on these credits at such subsequent time as they may purchase German products for export. Charge Treaty Violation. Some Americans assert the disparity in these commercial arrangements is a violation of the German-American trade treaty. Although notice of the abrogation of this treaty has been given by Germany, it remains in force until next October 13. Germany, on the other hand, in- sists that the United States does much to throw obstacles in the way of Ger- man exports to the United States. ‘The American anti-dumping laws are cited as one manifestation of this policy. Another is the United States’ asserted refusal to aid Germany in competing in the world markets through a policy of giving the manu- facturer the benefit between the so- called registered or block mark and the ordinary mark. ‘Woman Washes Hair, Dies. Worried because her hair would not grow, Mrs. L. Hunter, aged 37, of Kirkdale, England, washed her hair with a disinfectant used for cleaning sink pipes, and died shortly afterward. The coroner found that death was caused by. blood poisoning resulting from irritation of the scalp. ; Speaker DR. BOYD EDWARDS, Headmaster of Mercersburg Acad- emy, Mercersburg, Pa, who will speak tonight at a dinner of friends and alumni of the academy to be held at the Hay-Adams House, The meeting will have Gen. M. D.C.MANIS HELD IN PIGTURE ‘FRAUD Shepard Accused of Selling Faked Portrait to Cleve- land’s Son. Unable to raise bond of $10,000, George J. Shepard, 57, of 2539 Thir- teenth street, was held at District Jail this morning to await action of the grand jury on charges of using the mails to defraud. The bond was set yesterday afternoon by United States Commissioner Needham C. ‘Turnage aiter a preliminary hearing. ‘Testifying against Shepard yester- day was Richard F. Cleveland ot Bal- timore, son of former President Grover Cleveland, who declared he had paid Shepard $150 in 1832 for what proved to be a fake portrait of the late Presi- dent. Shepard, at that time going under the name of Dr. F. D. Vernon, had represented the portrait as hav- ing been painted by Paul Bersch, Bal- timore artist of about 40 years ago. Experts later informed the younger Cleveland that the portrait was not the work of Bersch It was Shepard’s carelessness in “going to the well too often” that led him to his present predicament, however, police said. Earlier this month he attempted to sell Cleveland another picture, a portrait of Charles Carroll of Carrollton, Md., supposedly 1 the work of Rembrandt Peale. Using the name George J. Shepard, he failed to alter his handwriting from that signed as Vernon and the similarity was noticed by Cleveland. Arrest of the Washington man came about a week ago on a warrant charging him with using the mails to defraud. Cleveland testified to another sus- picious incident in connection with the ordering of two other pictures from Shepard, one of which was ac- companied by a framed receipt pur- porting to show it had once been in the possession of his grandfather, the late Richard F. Cleveland, and that the latter had paid $100 for it. This struck the younger Cleveland as im- probable, he said, because his grand- father was a Presbyterian minister living on a small salary. Carroll Ellsworth, Baltimore expert on disputed works of art, testified that the purported Peale work was a fake. The final witness: yesterday was Isaac N. Chapman, msil carrier, who de- livered special delivery letters to Shep- ard from Cleveland. Turnage declined to reduce the de- fendant's bond, saying he understood other complaints were to be brought. GAMBLERS BEHIND ATTACKS ON HIM, GARNETT RETORTS (Continued From First Page.) under oath. Most of the time he de- voted to a detailed explanation of the Peters-Buckley assault case. Peters, in his sworn testimony. ac- cused Kindleberger of refusing * to issue a warrant against Buckley for an alleged assault on him in the police station because he threatened to “spill everything,” and later gave the grid- fron star a check for $100. Kindleberger Heard. Kindleberger gave his version of the been instigated by Sergt. Raymond Carroll of the eighth precinct. Csr- roll, a member of the Police Associa- tion's Grievance Committee, he said. was angered because he was called into court on his day off last week to testify in a long-continued gambling case. For several hours the committee had listened to Kindleberger's story. related in minute detail. He told of his first meeting with Buckley, of going to Pittsburgh with him, a drink- ing party in a hotel with women present, and finally the arrest of Buckley in Washington and his ap- pearance in Police Court. Peters said he was a station clerk story before Peters took the witness | stand and charged its revival had| As Tornado Swept Kansas Copyright, A. through a district a few miles north This picture, taken in the semi-darkness of a storm which swept shaped cloud from a distance of two miles. houses and other buildings were leveled. P. Wirephoto. of Witchita, Kans., shows the funnel- Four homes, three business Witness } RICHARD F. CLEVELAND. —Star Staff Photo SOCIAL SECURITY SPONSORS FEAR EFFECT OF DELAY (Contirued From First Page.) {of days of work could be reduced so 13,500,000 could be put to work at pre- vailing wages without increasing the appropriation asked by Mr. Roosevelt. Fervent reiteration by Senator Rob- inson that the President and those supporting him had “no intention of breaking down the private wage scale,” and a second prediction by Speaker Byrns that the “House will stand be- hind the President,” apparently had little effect on those insisting upon retention of the wage clause. While this controversy engaged the in the early morning hours of June|genate the H | 13, last year, when he recelved a | Committee made. soms. progress on | telephone call from Kindleberger ask- | the social security legislation wanted ing police be sent to arrest some|py the administration. It approved drunken and disorderly »men across|an initial tax of 2 per cent on pay the street from his home at 3721 Win- | rolls—beginning in 1937—and increas- dom place. Pvt. Raymond C. Redifer | ing 1 per cent each three years to 6 | was sent and brought back Buckley |per cent in the thirteenth year to | and James McGowan, both of whom | create a reserve fund with which the | were charged with intoxication. Government would take tax-cxempt Shortly afterward, Peters testified, | securities off the market and pay an. he went to Buckley's cell to collect | nuities to persons over 65. Commit- $8 for a taxicab driver, and the pris- | tee members estimated this fund would | oner accused him of striking him with | amount to $50,000,000,000 by 1980. | the cell keys. Then Buckley, he said,| The House Committee also decided struck him in the jaw, the blow|that no attempt should be made to necessitating medical treatment. collect taxes for annuities from farm- ‘When the court house opened that | ers, domestics, casuals, churches, hos- | morning Peters declared he went to| pitals, educational institutions and ROME SKEPTIGAL * OF AFRICAN DELAY |Italian Spokesman Declares | Abyssinia Striving to Promote Discord. | | B the Associated Press. | | ROME, February 26—An Italian | government spokesman said today | | that Emperor Haile Selassie of | Ethiopia was campaigning by a series of delays. | He indicated the Italian govern- | ment believed the “King of ngs‘ and Lion of Judah” sought foreign arbitration in the hope of profiting | by dissensions among the white races. ‘The campaign of procrastination was regarded as Oriental end African | tactics. | Even as he spoke, three Italian liners were smashing through high seas in the Mediterranean toward East Africa carrying well-equipped troops. Reports from Massaua, Eritrea, one of the Italian colonies | bordering on Ethiopia, said about 3,000 officers and men already had | debarked there. | | The fundamental difference in the pending negotiations, the spokesman | said, is the desire of Ethiopia to resort to erbitration by a third party. while Italy favors direct conversations. Arbitration was proposed by Ethi- | opia in its last note, the spokesman added. In this communication the | Addis Ababa government referred to | § article 5 in the Italo-Ethiopian treaty, but the Italian spokesman asserted that this article provides for arbi- | tration only after direct negotiations for settlement of any dispute between | the two countries had been attempted. discussion of all the fundamental points of the dispute es presented by | Italy, including the question of in- | demnity for Italian losses at Ualual | and Afdub, were being carried on at | Addis Ababa in connection with con- | ferences over establishment of a {frontier neutral zone. I NOW I EAT MINCE PIE No upset Stomach Thanks to Bell-ans Quicker Relief bec: water, reaches stomach ready to act. Relief since 1897 and Trial is Proof. - D ”7 BrLLANCE The Stein Bedding Co. 1004 Eye St. N.W. ME. 9490 Turn your old " trinkets, jewelry and watches into MONEY at A. Kahn Jne. Arthur J. Sundlun, Pres. 42 YEARS at 935 F STREET 7th & HN.W. 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Buckley came in about that time and warned Kindleberger that if the papers were issued he would go to a newspaper office and “spill everything I know about you.” Explanation Offered. A few minutes later, Peters said, Kindleberger held a conference with Buckley in an adjoining wash room and upon returning announced he would not make out the papers. The policeman declared he asked Kindle- why and was given this reply: “It's not up to you to ask why. I'm running the district attorney’s office.” Peters declared he told Kindleberger it he refused to issue the papers he intended to see v ‘dge John P. Mc- Mahon. Kindlebeger then, according to Peters, called him aside and said Buckley had a sort of “hammer” over his head; he had “roped” him into a trip to Pittsburgh, and if the story leaked out it would break up his home and he probably would lose his job. After hearing that story, Peters said, he felt “sorry” for Kindleberger and decided not to press the charge. “Signed Paper.” Peters saild Buckley subsequently signed a statement saying he had not struck him aend Kindleberger gave him a check for $100, telling him to go away and “get straightened | ! posed Chairman Randolph. “Do you mean to say the Buckley case was nolle while he was in court under the influence of liquor?” “Yes, sir,” replied Peters. It also was developed that the $10 collateral posted for McGowan had been forfeited, but the forfeiture had been set aside and the charge nolle ossed. Kindleberger, in his testimony, de- of the whole cloth.” He admitted, however, he loaned Buckley $100 be- cause he sald he did not have any Kindleberger said he learned later 's father had taken the check away and used it for a payment for son at the Perpetual Building The canceled check was offered in evidence by Kindle- ined the story had remained L] non-profit organizations. — MRS. ANNA S. CHESTER RITES THIS AFTERNOON Widow of Newton Center, Mass., Banker Died at Son-in-Law's Home Here. Funeral services for Mrs. Anna Stiles Chester, widow of Dwight Ches- ter of Newton Center, Mass., were to be conducted at the residence, 2500 Massachusetts avenue, at 5 p.m. to- day by Rev. Dr. Oliver J. Hart, rector of St. John's Episcopal Church. Mrs. Chester, who died Sunday aft- ernoon at the home of her son-in-law, Rear Admiral Emory Scott Land, had lived in Washington for a number of years and was widely known here. Her husband, president of the Newton Trust Co., died in 1914. Since then Mrs. Chester had lived much of the time with Mrs. Land, her only daugh- ter and survivor. The body will be taken tomorrow morning to Newton, Mass., for burial. Recovery ;cheme! Vary. Projects for retrieving prosperity submitted recently to the Unemploy- ment Committee of Edinburgh, Scot- land, range from improving the banks .. | of the River Almond and the seashore to digging subways under city streets. dormant until last week, when a member of the Grievance Committee of the Policemen’s Association called him and asked him why he had nolle prossed the charges against Buckley. “Sergt. Carroll has some grudge against me and brought this matter to the attention of your committee,” leclared. detailed description of the trip to Pittsburgh with Buckley and another friend, -Kindleberger made it plain that he took no part in the festivities, nor did he drink. He explained he was gassed in France during the war and could not drink intoxicating liquors. Friction between Kindleberger and members of the police f scribed by Sergt. Redifer, told of Buckley’s arrest and the incident at Police Court when Peters applied for a warrant. 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