Evening Star Newspaper, March 1, 1935, Page 2

H.0.L.C. MENACED | BY POLITICS AGAIN Efficiency Threatened by Pending Amendment in Congress. BY DAVID LAWRENCE. Politics—the cancer that is eating into the worth-while things in the New Deel and rapidly bringing them | to-the level of the Old Deal—has | reared its selfishness once more in an | attempt to break down the efficiency of the Home Owners’ Loan Corp. Nothing could be more important than integrity and honesty in the management of a governmental agency which refinances billions of dollars in home mortgages and collects many millions of dollars & month in interest. If politics gets the upper hand the officials in charge will} ind them- selves pressed by local palitis bosses to grant favors to their friends, either in giving them preferential treatment in the handling of their applications for mortgage loans or-'in making easier terms in collecting interest. Amendment Pending. But, unless public opinion says no, there will be adopted by the Senate and House very scon an amendment which on its face looks innocent, but which is a bold-faced attempt to put the Home Owners' Loan Corp. into the hands of the politicians, notwith- standing the courageous fight made by Chairman John H. Fahey to con- duct the affairs of his institution on & business-like basis. ‘The amendment reads as follows: “No person shall be appointed or retained as an officer, employe, agent, or attorney, in any regional or State office of the corporation who was, at the date of the establishment of such office, not a resident of the region or State served by such office. The amendatory provision shall go into effect within 90 days after the date of the enactment thereof.” On its face this appears as a simple effort to give the personnel in local areas a chance at the jobs in the regional and branch offices. But the facts gre that 100 per cent of the employes of the State offices of the H. O. L. C. and about 90 per cent of the employes of the regional offices, including all executives and admin- istrative officers, are actually from | the States or regions where they now are employed. Aimed at Managers. What, then, is the aim of the amendment? The answer is that out af 11 regional managers, all but 2 are from areas other than those in which they are serving. This was | deliberately done by the management in order to eliminate all possibility of local influence or pressure and nearly all of these regional managers were appointed only after they had been trained in the Washington head- quarters of the H. O. L. C. For obviously the H. O. L. C. in its effort | to decentralize and make decisions in the field had to depend on the advice and recommendations of the regional E&nflflels. There is too much at stake %o follow any other plan. = So the amendment really is aimed the nine regional managers who constitute the heart of the H. O. L. C. Once they are in control of the politicians, the rest of the personnel will become political, too. 2 It has been suggested that the H. 0. L. C, rather than lose the services of its nine trained regional managers, would shift them around 0 as to conform to the new require- ment, but this would seem to mean a complete rearrangement and pos- sible demoralization of the work of the offices at a time when every effort is being made to accelerate action on applications and to handle the interest-collecting problem efficiently. H. 0. L. C. Fortunate in Two. In the two regions where the pres- ent managers come from the same areas in which they operate, the H. O. ‘L. C. has been fortunate in getting men of independent means and great ‘ability. who are giving their time to “the public service. ‘ The sifting of 10 per cent of the ’employes of the regional offices who “were not originally residents of the «regions where they now are employed mvould mean considerable confusion and probably the discharge of many technically trained employes. Senator Norris of Nebraska, inde- yendent Republican, warned his fel- jow Senators when the Home Owners’ Loan Corporation law was first before Congress that it must not be made the foot ball of the patronage hunters, but his words were of little avail. Mr. Norris has high ideals of government; he believes in Government control Of many activties, but he has been eonsistent in arguing for a non-poli- tical public service. ‘The reason, however, why the gov- ernmental control idea usually falls to the ground is that the politically minded in Congress regard the new officials and bureaus as their own par- ticular property and as the oppor- !k‘mi!)' for the award of special privi- ge. Congress thus has another test of the virtue of the New Deal, and so Ras President Roosevelt in the amend- | ment pending now, which would de- stroy the morale and the efficiency of one of the few governmental agencies that seems to have been run on a businesslike basis, free from party Politics. (copyright. 1035.) lCongress in Brief l l’y the Assoctated Press. B TODAY. Senate. ~ In recess. “Interstate Commerce Subcommittee bhr-lumes consideration of Guffey coal Munitions Committee hears William B, Shearer in denial he threatened to scandalize shipbuilding industry. House. Jnterstate Commerce Cammittee questions witnesses on holding com- pny regulations. ~~Agriculture Committee holds "ear- fiig on A. A. A. amendments. . Committee continues hear- ftig on omnibus banking measure. ~Ways and Means Committee studies #opial security legislation. ~~JIndian Subcommittee works on ad- mfinistration Indian bill . YESTERDAY. Senate. .Ordered investigation of N. R. A. by mance Committee. . sElections Committee named subcom- m&e to study challenge of Cutting tion. + “Territories Committee voted to in- Wistigate the administration of the House. ~Ways and Means Committee dis- eussed constitutionality of social se- £drity bill. b Committee approved meas- fifes to permit States to enter into ipacts to obtain uniform labor laws o sllow codification of executive Office Subcommittee approved 0 increase rates for airmail car- o | effect on March and April business What’s What Behind News In Capital Industries and Labor Advance—Nervous Talk Resumed. BY PAUL MALLON. The best balanced business picture since the depression started is pre- sented by the chart this month of official Government figures. Industry has surged forward steadily since last September. During the last 60 days it has maintained the level of | about 90 per cent of normal operations. | This has brought factory employment up to 81 per cent of normal and wages to 67 per cent, leaving wages, however, | still somewhat out of line. Retail business has remained about the same during this five- month industrial surge, operating at about 75 per cemt of nmormal. The railroads are still lagging around 65 per cent of normal, but are showing improvement. The general price level has been mount- ing for five months, but only be- cause foods affected by the drought are soaking temporarily. Other prices have mnot shown much change. All this you may see by a glance | at the following chart. It contains | figures compiled by various Govern- ment and private agencies, brought up | to date by expert private estimates for February. Each figure (except prices) is based on the 1923-25 averages as 100. All figures except pay rolls are adjusted for seasonal variations so that they accurately reflect where we stand without regard to seasonal trends. Industrials Easing Up. Behind this bright picture is the fact that certain industrial lines have been easing up slightly during the last two weeks of February. This is noticeable particularly in steel, but not in industry generally. At the same time there has been a renewal of private talk among busi- ness men about uncertainty. This time it is based on Congress. The in- definiteness of N. R. A. reorganization, the latest bank bill, the rail bills, the holding company legislation and the possibility of further tax proposals arc more or less responsible. This feeling of uncertainty may not be entirely Jjustified, but it exists. Whether it will have any important involves a guess on which competent observers are divided. Autos Leveling Off. The reason steel dropped was be- cause automobile production is leveling off. Therein you have the best exam- ple of why it is difficult to gauge the immediate prospects of industry. Steel production reached a maxi- mum of 55 per cent three weeks ago, but it will soon be back around 45 per cent. Automobile production increased by fewer than 500 cars for the week ended February 23. Yet those inside the automobile trade will tell you that production for the first quarter of the year will be around 1.000,000 cars. It was 293,000 for January, probably 350,000 for February and need be only 350,000 for March to approximate 1,000,000 for the quarter. After that, motor car output will depend entirely on sales. No one can hazard even a good guess as to what these will be. The best indication that industry generally is holding up well lies in electric power consumption data. It has varied less than half a point during the last four weeks. An- other hint of underlying strength is the car loading figure, which has Married | |POLTIGAL TRENDS R Copyright, A. P. Wirephoto. Mr. and Mrs. Charles Wesley Frame after their marriage yesterday at the Park Lane Hotel, in New York. The bride is the former Miss Rosalind Kress, daughter of the Kress Chain Stores’ owner. Trame is 28. They are motoring to Miami. She is 24 and MELLON'S REALTY * HOLDINGS PROBED | $20,000,000 Set as Book Value of Joint Account With Brother. | By the Associated Press. PITTSBURGH, March 1.—More de- tails of Andrew W. Mellon's wealth were brought into the records of his $3,089,000 income tax hearing today. Howard M. Johnson, for two decades confidential secretary to the financier, said the book value of a “joint .ac- count” kept by Andrew Z&ellon and his brother, R. B. Mellon. was $20.000,000 in 1931—the year the Government claims the banker underpaid his in- come lax. Witness Mescribes Holdings. The witness deswribed for the Tax Appeal Board the properties owned by this account, which were listed at $8.053,325.66. showing it controlled the $1,200,000 Pittsburgher Hotel, along ‘with numerous other plots of land. ‘The book value on Andrew Mellon's personal holdings after he had trans- ferred to his children’s holding com- panies between $68.000,000 and $100,~ 000,000 had been placed by Johnson previously at $97,000,000. This in- cluded his interest in the joint ac- count. Today's testimony was given under cross-examination by F. R. Shearer, attorney for the Bureau of Internal Revenue. Witness and Lawyer Clash. Shearer and Frank J. Hogan, Mellon attorney, clashed once over Shearer's reference to the joint account as an “organization.” It is the Government’s contention that this joint account actually is & partnership and that certain securities Mellon obtained from it were subject to more income tax than he reported. Among the assets of the joint ac- been showing slightly more than seasonal improvement lately. The one almost hopeless factor is building. After the first brief flush of P. W. A. activity a year ago, build- ing has failed to show anything but slight occasional flurries, which never developed into a trend. The latest favorable flurry is in residential build- ing. January contracts were up to $22,400,000, a 50 per cent improvement over December. The amount, of course, is insignificant. P. W. A. contracts awarded by Sec- retary Ickes in January amounted to $36,000,000, which was about one- third of the volume in that month last year. There will be hope for building after the pending work-reliet bill passes, but not before. Three Prices Near 1926. The prices of only three commodi- | ties are relatively higher than farm and food prices now. That is, only the prices of building materials, hides, leather, and metals are nearer the 1926 level. And food prices are still going up. | The food price level for the January 12 week was 79.7 and by the February 16 week it was up to 83.1 in the official figures. But for the same weeks, all other prices actually decreased slightly, from 71 to 70.2. All of which indicates that nature has her own commodity dollar. The table referred to in Mr. Mallon’s column follows: count was a one-half interest in the “J. M. Guffey Coal.” Johnson said this concern held extensive acreage in North-Central West Virginia and had been held for many years. CANADIAN RADIO BOARD LAYS EXPANSION PLAN Construction Program Is Project- ed to Give Complete Coast- to-Coast Coverage. By the Associated Press. OTTAWA, Ontario, March 1.—A construction program designed to give the National Radio System complete coverage from coast to coast is con- templated by the Canadian Radio Commission. ‘The program, if ratified, would en- tail erection of new stations or in- creasing the power of existing sta- tions in Nova Scotia, Montreal and Toronto districts to cover Northern Ontarjo, Saskatchewan and British Columbia. Action on the plans has been de- layed, it was said, owing to a lack of funds. The program oould be carried out, it is claimed. for some- thing under $1,000,000. With it would be associated a plan to extend hours | of national broadcasting. | e e Protection for Children. SACRAMENTO, Calif., March 1 (#). | —Children born out of wedlock would be able to conceal that fact in the event their parents became legally | married later, under a bill before the State Legislature. The bill provides | for amendment of the birth certificate to delete all record of illegitimacy .;when the parents wed. (1926 equals 100.) Industrial Pact'y em- Year 1929 average . 1930 average 1931 average 1932 average .. 1933— January February March 1934¢— January February March 1 February (est).. 81.0 Retired Manufacturer Dies. WINSTED, Conn., March 1 (#).— John Bateman Adams, 67, a retired manufactuter and native of Rich- production. ployment, Pay rolis. 119 104.8 (Copyright. 1935 Preight Dept. store Bidg. Wholesale loadings. sales, contracts. prices. 106 11 95.3 922 86.0 kbl 3.0 56 64.3 61.0 59.8 60.2 722 736 3.9 1.6 76.5 6.5 69 88 9.4 09.1 88.7 67.5 453 102 922 69 39.5 402 3 56 54 50 64 64 66 59 57 67.0 6,000 Rabbits Caught. Six thousand rabbits were caught in & recent drive in the Cummins dis- trict of Australia. Coffee Crop Is Huge. Nicaragua expects its present coffee crop to weigh over 8,000,000 pounds. R CHINESE TOWNS LOOTED BY REDS Wholesale Executions Mark Flight of 25,000 Be- fore Chiang. (Copyright, 1935, by the Associated Press) SIAN, Shensi, China, March 1.—A reign of terror, accompanied by whole- sale executions and looting of towns, marked the passage of 25000 Com- munist troops through Southwest Shensi Province during the last fort- night, missionary reports disclosed today. The Reds poured into the district from Northern Szechwan Province, whence they were driven by Gen. Chiang Kai Shek's Nationalist gov- ernment forces. Some 25 missionaries abandoned their posts to escape the menace and fled through ice and snow covered mountains in quest of sanctuary. Only two of the fugitives, Miss R. V. Thompson of Nevada, Iowa, and Miss Alma R. Artibey of Chicago, were believed to be Americans. A portion of the scattered Christian workers, many of whom carried their children in their arms as they aban- doned their stations, has been ac- counted for. About one-half their number was reported to have reached Fengsiang, to the westward, and An- kang, in Southeastern Shensi. A group of missionaries left here to enter the mountains in search of their missing associates, while Shao Li Tzu, provincial governor of Shensi, ordered Chinese authorities to afford them every assistance. Despite the period of chaos in Southwest Shensi, Chinese authorities here contend the Nationalist govern- ment will soon exterminate the Red invaders. TWO AMERICANS SAFE. PEIPING, China, March 1 (P).— The United States Legation was in- formed today that the two missing American missionaries, Miss R. V. Thompson of Nevada, Iowa, and Alma R. Artibey of Chicago, had arrived safely at Fengsiang, 90 miles west of —_— DOUBLE CANDIDACY BY LONG POSSIBLE Observers Say He Could Run for Senate After Gov- ernorship. By the Associated Press. BATON ROUGE, La, March 1.— Political Louisiana speculated today over Senator Huey P. Long's an- nouncement that he would be a candi- date for Governor in January, 1936. As the special session of the Legis- lature prepared to speed 23 new bills on to final tomorrow, ending another of the momentous five-day gatherings of law makers, conversa- tion in State House circles centered around the Senator's announced candidacy. The gubernatorial primary is set for January, 1936, the same date as the primary for the United States Senate seat Long now holds. Some observers thought it unlikely that Long would wish to relinquish his seat in the Senate, particularly in view of his presidential aspirations. ‘The senatorial election formerly was scheduled for the Fall of 1936, but by a recent law it was moved up to Jan- uary. It was said, however, that it would be an easy matter for Long to set the Senate date back again so that he could run for Governor in January and then, if he wished, for Senator later in the year. The House yesterday readily passed all of Long’s measures and sent them over to the Senate.which promptly re- ferred them to its Finance Committee, which in turn immediately reported them favorably: The Senate is scheduled to receive the approved bills from the committee tonight. WHOLESALE PRICES RISE Increase Raises Index to 79.6 Per Cent of 1926 Average. A continued rise in wholesale com- ! l | | | D C, CLASH INMIDWEST President Exceedingly Pop- ular, but Many of His Policies Are Disliked. This is the fifth and final article ©f a series contrasting conditions in the Northern States of the Mid- west as Mr. Roosevelt of the edi- torial staff of the New York Her- ald Tribune found them on a re- cent tour and in the Autumn of 1933, BY NICHOLAS ROOSEVELT. Politically the Middle West is full of apparent contradictions. President Roosevelt is overwhelm- ingly popular. But many of his poli- cies are unpopular. The radicals are theoretically strong. But they are divided as to leaders and objectives. In Minnesota Gov. Floyd Olsen, who ran last Autumn on an ultra-radical State-socialistic platform, is losing ground—due in part to the strikes last year, which he had to put down with force. In Wisconsin the La Follettes are popular, except among conserva- tive business men. Everywhere Father Coughlin is regarded as an oracle. Even the redoubtable Huey is begin- ning to arouse interest—apparently for the reason that of all the alluring economic gold bricks yet offered to the American people none has been so0 ingeniously designed to appeal to the economically uninformed as his suggestion that thie topmost limit of personal fortunes be set at $3,000,000, but that everyone be assured of a minimum of at least $15,000. This knocks Townsendism and the forced distribution of weaith into a cocked hat. Conservatism Coming to Fore. But even if the prophets of radical- ism still have their millions of fol- lowers, there are signs that the basic conservatism of the land-owning peo- ple is again coming to the fore. I had an interesting discussion on this point with one of the local leaders of the Progressive machine in Northern Wisconsin. He was a small business man who had never been in politics. He said that he had come to the con- “| clusion that the salvation of America lay in the active participation of the small town business men and farmers in the political life of the country. He saw on the one hand the danger from the great corporate interests and on the other the dangers of State socialism. The only defense against these dangers was, in his mind, the organization of the men and women of small property to protect their own interests against these two threats. With this as an appeal he had built up 8 machine which not only had been instrumental in selecting and electing better types of local political leaders, but which was also carrying on a process of political education through bi-weekly meetings in differ- ent parts of the State to discuss cur- rent political and economic problems of interest to the local community. Feeling Widespread. The feeling expressed and trans- lated into action by this man is wide- spread throughout the country. It is basically a conservative movement, even though it may prefer radical candidates like the La Follettes to the representatives of the old parties. These people, many of whom were for- merly Republicans, and would be glad to support & moderate, conservative party, have the feeling that the pres- ent Republican party is the party not of moderate conservatism but of re- action. They are particularly dis- trustful of its Eastern leaders—so much so that for an outsider merely to mention such names as Henry Fletcher, Ogden Mills or Dave Reed is to risk unpopularity. Vandenberg of Michigan is regarded as more “rea- sonable.”” and a reorganization under his leadership might well meet with a larger favorable response, but the Middle Western Republicans demand ‘Western leadership, not Eastern; pro- gressive, not reactionary. Finding Leaders Is Problem. The great problem of the Repub- lican party in the Middle West, as elsewhere, is to find men to take the lead. The issues will ultimately be- come clearer as the New Deal be- gins to crystallize and it will then be easier for the Republican party to create an effective opposition. For the present, however, opinions differ so sharply as to what the party should stand for that personalities inevitably are very much to the fore. The old familiar leaders are, for the most part, in bad odor. In Wiscon- sin and mlmllulmpon.nm m :‘: younger Republicans are obtain a larger share in the direction of party affairs. They cannot, how- ever, dispense with or completely sup- plant the old leaders. But they feel that most of these leaders have been so frequently and effectively de- nounced as blind and reactionary during the last few years that they have come to be regarded as “dam- aged goods,” and as such must be gradually replaced by other men. Democrats Seize Opportunity. The Democratic party, of course, is making the most of its opportunity. It has captured States, counties and towns in districts which for genera- tions had been solidly Republican. Mr. Farley is not a man to let the grass grow under his feet. As a result he has extended the Tammany system of organization and assistance through- out all of these Republican holds. His task has been facilitated by the tendency of business leaders to support the successful Democratic machine instead .of the Republican party, to which, while it was in power, they usually contributed liberally. The Republicans are thus not only with- out leaders, but also without funds, and, into the bargain, are believed to be the party of reaction. Roosevelt Insures Supremacy. ‘The unknown factor in this situa- tion is how strong the mew Demo- cratic machine in the Middle West will be when Franklin Roosevelt is no longer in the picture. So long as he is in the White House his great personal popularity and prestige in- sure Democratic supremacy. If he were a man of less political astuteness and personal charm it would be easier to predict how long it will be before he loses his popularity as completely as did Mr. Hoover. At present this date seems in a dim future. The more things that he does which are unpopular the greater the tendency to exonerate him from all responsibility for his acts. Mr. t is still supreme. His magic radio voice always recall the velt. And that faith s still unshaken. Hoarding of Goods Ended. Hoarding of consumption goods in mmmmm 1 (¥} FRIDAY, MARCH 1, 1935. oosevelt Enters Last Half Of Term in Confident Spirit Healthy and Cheerful, President Leads Staff Through Maze of Work. Routine Well Ordered. BY J. RUSSELL YOUNG. Franklin Roosevelt is entering upon the last half of his administration, just as confident and hopeful as he was on that historic March 4, two years ago, when he took office, despite the obstacles and reverses he has en- countered recently. He has lost none of his good na- ture or his ability to joke and laugh even when things are not breaking so well. This side of the Presidents nature is void of sham. He is just as ready with his laughter and story telling behind the scenes as he is in public. Of course, Mr. Roosevelt has his serious moments and many times during his days of toil the smile fades away, replaced by a frown, but this is not for long. He is gifted with an uncanny ability to cast off his wor- ries and cares, and from all outward appearances to have completely re- moved from his mind anything of a depressing or serious nature. To those who are close to him this character- istic is one of his greatest assets. Condition Is Excellent. Were it not for this ability to transcend troublesome matters threat- to overwhelm him, he would lack the splendid physical and mental condition he retains today as he en- ters the home stretch of his epoch- making term as Chief Executive. Fortunately for one of his nature, he is surrounded by a group of inti- mate associates who possess somewhat the same characteristics of “the boss.” Probably this is not a coincidence. No doubt these men, who form the presidential secretariat, were selected because of this, as well as other quali- cations. Although Lewis MeHenry Howe, the principal secretary, is 10 years the Prasident's senior, and does not enjoy robust health, he is gifted with a rare sense of humor. His dry and keen wit affords the President. many a hearty laugh in moments when there might be cause to feel blue and de- jected. Col. Marvin Hunter McIntyre, four years the President's senior, and Stephen T. Early, who is in his late 40s, these being the other two members of the secretariat, are fun-loving and ready with a laugh. 5 It is agreed by each in this inter- esting little group that were it not for their more jovial moods, they scarcely could have endured the strain this long. President Inspires Aides. Although everybody around the White House has been working under a strain, no one seems to mind. The President seés to that. He knows how to keep them, as well as himself, in a good humor. The work of the secretaries is heavier than ever before, the execu- tive staff is more than twice as large as was President Hoover’s, and the work of Rudolph Forster, the execu- tive secretary, and that of Maurice Latta, his assistant, has doubled, but the President even has them smiling as they toil. N ‘The mail is three times as great as it was during the previous adminis- tration, but Ira Smith, the chief of the mail division, can smile, as can Capt. Clarence Ingling, head of the file room, which has broken all White House records. In other words, the gond humor, the laughter, the cheerfuluess of the President, premeates the entire place. It is well, too, because there have been some very dark periods, and the work- ing hours have been long, as well as trying. President Sound Sleeper. Mr. Roosevelt has stood it all re- markably well. The strain has left few marks upon him. He may have an extra wrinkle or two. A few more | gray hairs are noticeable, but if any- | thing his bodily health is better today than when he took over the reins of government. Dr. Ross Mclntire, the White House physician, who keeps a constant eye on the President. said only & few days ago that Mr. Roose- velt is in perfect health. having the faculty to jest under all conditions, he has no trouble sleep- ing. With him it is not a question of being able to sleep, but one of get- ting to bed. Seldom, if ever, does he turn in before 11 o'clock. Gen- erally it is near midnight, frequently later. When his head hits the pillow he begins his sleep and wakes up re- Although Mr. Roosevelt wakes up around 7 or 8, he does not actually get out of bed much before 10 or 11. He has mastered the art of doing a good job of work in bed. After his breakfast has been served, he reads his mail, and frequently does some dic- tating and conferring with associates before getting dressed and going to his desk in the executive office. It is before he rises that the Presi- dent has his first conference of the day with his secretaries. With Col. McIntyre he works out at this early hour a schedule of engagements of the day. With Steve Early he goes de Besides | over the news of the day and con- siders what may be discussed with While House correspondents at his daily press conference. With Col. Howe each morning he goes over the political situation, at least to the ex- tent of discussing strategy in dealings with Capitol Hill, Sees Associates in Bed Room. Besides conferring with his secre- taries, the President frequently sees members of his Cabinet and other key associates of the New Deal while in his bed room. Postmaster General Jim Farley seldom misses seeing the “Boss” each morning before the lat- ter leaves his bed room. Mrs. Roose- velt and other members of the family generally come in during this period to say “Good morning.” This includes the grandchildren, as well as the grown-ups. Mr. Roosevelt has fre- quently said that a 10-minute romp with these lively youngsters starts his day off just right. When Mr. Roosevelt gets to the ex- ecutive office, which is generally around 11 o'clock, he remains there until dark. Unlike his predecssors, he | does not return to the White House mansion for luncheon. At 1 o'clock in the afternoon he has a desk lunch served in his office. Always he has one or two friends or associates as guests, and often takes this occasion to hold a conference without loss of time. The President’'s daily office en- gagement list is usually made out for calls of not more than 15 minutes’ duration. Sometimes he can dispose of a caller in five minutes, but he is more apt to run over the 15-minute period, thereby delaying other en- gagements. Usually when the Presi- dent leaves his office and starts back for the White House, which is gen- erally about 6 o'clock, he takes a swim in the specially-built pool. This {is his principal exercise, although occasionally he breaks his daily rou- tine by going for an automobile drive in the afternoon. Rests Before Dinner. Then follows a brief rest in his | strdy on the second floor before mak- | ing ready for dinner, usually held at | 7:45, after which there is an hour or two of motion pictures or music. Usually there are guests for dinner. | Aleng about 10 o'clock the President goes to his study. If he has visitors with whom he | wishes to talk business he will sit them | in easy chairs in front of the open fire. If not, he will sit at the desk, pore over papers, write, or dictate. Mr. Roosevelt is as happy as a| | schoolboy if there is nothing pressing and he can nestle deep in a big chair in the study, read a good book or maga- zine, or perhaps review his stamp collection. He has been known to smilingly remark when indisposed for a day or two with a cold: “Now I can get in some good reading and ! look over my stamps.” But while Mr. Roosevelt and his group of smiling, loyal assistants al- | ways appear to be happy, and can always take time to tell or hear a good story, they have the facuity of working hard and noiselessly—that is, to get their work done without much fuss and without those about them knowing it is being done. HOAX THEORY OUT IN MURDER PROBE London Police Begin Search for Remainder of Corpse in Trunk Mystery. By the Associated Press. LONDON, March 1.—Scotland Yard today discarded the hoax theory re- garding the human legs found last week in a train in Waterloo station, deciding they had a murder mystery to solve. An exhaustive check of hospitals, | morgues and medical schools showed that no bodies or parts of bodies were missing. A large force of detectives was as- signed to make a minute search of the many parts in the London area in the belief that the torso of the man’s body from which the legs were chopped may be hidden there. The hue and cry arising from the mysterious dismemberment killings which started with the Brighton trunk crimes of last Summer will be brought formally to the attention of the House of Commons next Thursday. Japanese Shakespearean Dies. ‘TOKIO, March 1 (#).—Shoyo Tsu- bouchi, noted scholar who translated Shakespeare’s entire works into Jap- anese, died yesterday of pneumonia. The Evening Star Offers Its’ Readers This Worth-While BOOK It explains the permanent partments of the Federal Government and the Alphabet Bureaus of the New Deal. Every American should read it. Order today. Order Form | 'llm. at The Evening Star Business Office, or by mail, i 1 | Street .. 101y, cirnaeaisvanenses. State SR ] PRESDENT PLANS THO MESSAGES New Policy in Dealing With Congress Believgd Indi- cated by Rerrt. _— By the Assoclated Press. Plans are being made [by President Roosevelt to send two sepj@rate special messages to Congress calling for laws to regulate utility holdir® companies and all forms of transpdrtation, ac- cording to reports from official quarters. This intention was described as a further 1llustration of a ‘new policy adopted by the Preisdent)in dealing with Congress. Officials Said the President probably would' not send, the messages urging passage of the legislation until after th¢ congres- sional committees, working,0n special reports regarding the mealures, had formulated the bills. Criticism Recalled., The method followed by Mf. Roose- velt in the last Congress of sending special messages and drafts of “Jegis- lation to Congress at the same Nme aroused in legislative circles the critis cism that he was relegating Congress into a “rubber stamp” category. Whether his message on utility holding companies will ask Congress to lay a complete ban against such organizations or will simply suggest a prohibition of certain practices was not made clear. It is on the former principle that congressional groups are looking, however, after conferring with him. Already considerable opposition has been aroused against the Rayburn bill \ | under which such holding companies would be abolished by 1940. Robert E. Healy, a member of the Security and Exchange Commission and former counsel of the Federal Trade Commission, told a House Commerce Committee yesterday he would propose changes in that section of the bill which calls for holding company abolishment in the next five years. He did not say what changes he would propose other than that they would call for “liberalization” of that section. Views on Transportation. Officials who have followed the transportation proposals during their progress through the several separate committees and Government agencies which studied the problems said they expected the President to send a broad mesage outlining in consider- able detail his views on what should be done. While no official would talk for quotation, these experts confidently predicted that the President would ask for the establishment of a trans- portation Commission which would have authority over all forms of iand, sea and air carriers. Into the Presidential message they expected to see written portions of the findings of almost half a dozen different agencies which have made long studies of the varying phases of the whole picture of hauling. SCORES T0 TESTIFY IN MATRICIDE CASE Typist on Trial in Death of Mother—Former Employer Also Accused. By the Associated Press. LAUREL, Miss,, March 1.—The first of threescore State witnesses was called today in the trial of Ouida Keeton, 30-year-old stenographer, charged with murder in connection with the death of her widowed mother. W. M. Carter, Laurel business man and former employer of Miss Keeton, also has been indicted in connection with the slaying. The State contends Carter struck Mrs. Keeton over the head with a poker on the night of January 21, carried the body away and dismem- bered it. It further contends Ouida carried the victim's legs to a spot on a lonely country road where they were uncovered by a hunting dog. A jury of 12 farmers was completed last night after a day during which the defendant, seated in a wheel chair, apparently collapsed. Doctors revived her. . Jailed for Shooting Dog. OKLAHOMA City, March 1 (#).— Sam Tatum must serve six months in jail because he shot a neighbor’s dog, although the dog recovered. Tatum was sentenced yesterday after he had pleaded guilty to charges of cruelty to animals and carryving concealed weap- ons. He said he had a grudge against the neighbor. Your Income Tax Deduction for Losses Other Than From Sale or Exchange of Capital Assets. Deductions for losses are divided into four classes, and to be allowed must follow closely the wording of the income-tax law. Losses are deductible if incurred (1) in the taxpayer's trade, business or profession; (2) in any | transaction entered into for profit; (3) from fires, storms, shipwreck, or other casualties, or from theft, and (4) from wagering transactions. Business losses result, usually, from 1 the purchase and sale of merchandise. Such losses usually are ascertained by means of inventories, which are re- quired whether in the opinion of the commissioner of internal revenue their use is necessary to determine the in- come of any taxpayer. The term “transaction entered into for profit” means any kind of busi- ness proposition. For example, a tax- payer purchases an automobile to be used solely for business purposes, and which is sold at a lJoss. As this is a business proposition from start to finish, the loss is deductible. But if he had purchased the automobile to be used for pleasure or convenience, the deduction would not be allowed; it was not a transaction entered into for profit. A loss sustained in the theft of an automobile purchased for pleasure or convenience is deductible, as it falls in class 3. If, because of faulty driving but not of “willful negligence,” an au- tomobile maintained for pleasure is damaged, the taxpayer may claim the loss sustained, as it comes within the meaning of the word “casualty.” Where damage results from the faulty driving of an automobile with which the automobile of the taxpayer col- lides, the loss occasioned the tax- payer likewise is deductible. Losses from wagering transactions, whether legal or illegal, are deductible only to the extent of gains from such transactions. The excess of such losses over the gains is not deductible. All losses are deductible only to the extent to which they are not com- pensated for by insurance or other- wise, ;