Evening Star Newspaper, March 11, 1935, Page 1

WEATHER. (U. 8. Weather Bursau Forecast.) Rain tonight and tomorrow; mild tem- » -n The only evening aper the in Washington wit Associated Press News and Wirephoto Services. perature followed by colder late tomorrow; lowest temperature tonight about 54 de- grees. Temperatures—Highest, 56, at 10 a.m. today; lowest, 49, at noon yesterday. Full report on page A-3. Closing N. Y. Markets, Pages 14,15 & 16 SATURDAY'S SUNDAY'S Creuintion. ~ 125,776 ¢ 0000, Some Returns Not Yet Received Slar 1935—THIRTY PAGES. WITH SUNDAY MORNING EDITION 136,918 ¢ Epening ki U®) Means Associated Press. WASHINGTON, D. C, No. 33,186. MONDAY, MARCH 11, TWO CENTS. Entered as second class matter post office, Washington, D. C. Doctor Ridicules TUG. THEY CANT SAY WE HAVEN'T GREECE REPORTS REBELS ROUTED IN CAPTURE OF SERES Macedonia Torn by War, Despite Drive to Halt Uprising at Once. CONFLICTING CLAIMS PUZZLE FOREIGN CITIES Government Says Revolt Will Be| Put Down Soon—Sons Ad- mit Venizelos' Part. By the Associated Press. The Greek government reported sweeping victories against rebel forces on the eleventh day of the rebellion‘} but James A. Mills of the Associated | Press foreign staff, emerged from | Macedonia to report that he round! no more signs of peace there Lhan" when the revolt broke out. His story | will be found on page A-3. 1 Diplomatic sources in London like- wise were puzzled by the conflicting | claims from Athens and Macedonia, but held that the danger of \\'1de»l spread trouble in the Balkans ap- peared to be definitely past. In Paris, two sons of former Premier Eleutherios Venizelos of Greece said definitely that their father was lead- | ing the rebellion. They claimed he | had made Crete independent of the | Athens government and would keep it | %0. no matter what happened in Macedonia. End of Rebellion Seen. (Copyright. 1935, by the Associated Press.) ATHENS, March 11.—The Greek government today reported the smash- ing of armed rebel opposition in | Macedonia, the capture of 3,000 rebel | soldiers and the virtual end of the Macedonian rebellion. | The light cruiser Helle, originally built in the United States for the Chinese government and second vessel Man’s Belief He Is Turning Ape Medical Science Co-oper- | ates to Solve Riddle of Shrinking Bones. By the Associated Press. LOS ANGELES, March 11.—George Bocklet, 49, former Chicago commer- cial artist, whose skeleton has shrunk more than 4 inches during the past stven vears, causing him to feel as if he were “reverting to the ape type,’ will be given every care known to medical science to prevent further deformation of his bones. Seven years ago Bocklet stood 5 feet 712 inches in height. He then wore a size 675 hat. Today he stands ap- proximately 5 feet 3 inches and wears | a hat size 81 Dr. Frank G. Nolan. who is attend- ing Bocklet. today completed arrange- ments to bring the afflicted man from his home in Azusa. Calif., to Los An- geles, where he will be placed in a sanitarium. Dr. Nolan said all indications were | that Bocklet was suffering from | osteomalacia deformis. “There is nothing in his disease that | could be said to be reversing the evo- | lutionary process,” Dr. Nolan said. SIGNS OF BUSINESS RECOVERY HALED Industrialists, Labor and U. S. Experts Agree Up- swing at Hand. By the Assoclated Press. From many sources today came in- | creasing evidence that business again is definitely on the upswing. | 1. Declaring production in March | has been “definitely ascending,” the | Chamber of Commerce of the United | States said “if the trends of the first week persist, the results from the month will demonstrate a continua- tion of substantial improvement over | a four-month period.” Unless the | MENDIETA FORCES DECLARE STATE OF WARTOENDREVOLT Seize Weapon Forged by One of Enemies to Es- cape Overthrow. ALL PEOPLE BARRED FROM STREETS AT NIGHT Railroads and Other Transporta- tion Paralyzed and Business Is at Standstill. (Copyright, 1935, by the Associated Press.) HAVANA, March 11.—The govern- ment of President Carlos Mendieta, seizing a weapon forged more than a year ago By one of its enemies, de- clared existenec of a state of war throughout Cuba today in its grim battle to escape overthrow. The decree provides for trials in councils of war for all persons arrest- ed for acts against the public order, prohibits all persons from appearing | on the streets at night without a spe- | cial military pass and gives the mil- itary powers 2lmost unlimited au- | thority. It was made effective im- mediately. The decree is one used for the first time in Cuban history by order of Dr. | Antonio Guiteras, secretary of war in the cabinet of former President Ra- mon Grau San Martin in November. | 1933, at the time the Grau govern- ment was beset by difficulties akin to those the Mendieta regime now faces. Mendieta’s advisers took explicit care to make plain it was Guiteras' weapon they were employing. Tne official announcement of the move said the cabinet had decided to put into force “decree No. 2,581, signed and promulgated by Grau San ! Martin as President and Dr. Antonio Guiteras as secretary of war and in- terior.” Relieve Guiteras Is Leader. The e-binet's action in mentioning Guiteras by name was regarded as in the rebel “flect.” was reported in a | trends are disturbed, it said. 700.000 | confirmation of reports the govern- message to the ministry of marine to be in government hands again in the port of Kavalla. workers will have obtained jobs be- | tween January 1 and March 31. | 2. The American Federation of | ment believes the former war secre- tary is a leading factor in the out- breaks which have harassed the popu- The crew of the Helle reported by Labor’s monthly survey of business |jace as well as the administration for radio, as announced by the ministry | “From the Helle at 4:30 am.: The cruiser was abandoned at 3 am. by | all her officers on the active list. We said “currents of revival are steadily gaining strength.” It declared total income of warkers as a group “has been slowly increasing through re- the last two days. The full effects of the fast-spreading strikes were felt this morning after the week end’s suspension of commer- place ourselves at the orders of the |€mployment,” and that there has been | cia) activity. government's fleet and are waiting | with steam up for instructions.” Officers Abandoned. “a real increase in total workers" buying power.” It added. however. that because of rising living costs “the last two years have not raised | Railroads and all other transporta- tion facilities were paralyzed. The government's business was at a stand- still, since most of its employes have The crew further reported that it |the general standard of living” and ‘uu their posts. | had thrown its officers, accused of ordering the ship into the rebellion, overboard into the harbor. The min- istry ordered the vessel to proceed to the Gulf of Saloniki. The government dispatches did not |they hoped was a new harbinger that | ing Diario de la Marina and Avance, mention a single clash with the rebels |the frozen stream of capital is thaw- | and virtually every other line of com- but painted a picture of a rapid series of capitulations and surrenders of “the average worker is actually worse | off in real income than he was two | years ago.” ‘ 3. Members of the Securities and Exchange Commission hailed what ing. This was a $45,000,000 re-| funding bond issue by the Pacific | At least half the dockworkers re- mained away from their jobs and more were expected to join the move- ment during the day. Only two newspapers were publish- | mercial activity was affected. | Ice men, brewery men and some | villages into the government's hands. | Gas & Electric Co.. the largest issue | tobacco workers, as well as several These reports said that the revolu- | tionary officers and regiments of their | commands were fleeing eastward from | Macedonia while 3,000 had surrend- | ered to government forces. i Seres, where the government troops met unexpected resistance last night, was reported by Gen. George Kondy- | the timely arrival of an aitplane from | than lis, minister of war, to have been abandoned early this morning before the advante of his forces who marched triumphantly into town. | Other Cities Taken. Later advices said Drama, Kavalla | and a host of smaller rebel centers ! had capitulated. | The rebel, Gen. Demetrius Kama- | nos, who had been variously reported | suing for peace and fleeing to Alex- | andropolis to board a rebel ship, was | stated to be fleeing toward Gum- | uryiina. | Gen. Gialyseras of the government | forces reported that he had taken | Axe'xandmpous, cutting off Kamanos' | exit, | The government declared that ' Kamancs has sent frantic radiograms to Crete asking aid from former Pre- mier Venizelos, the leader of the re- bellion in Crete, but that his pleas had been ignored. Athens went wild with excitement. All the local newspapers issued extras | declaring that the men and women | in the erstwhile rebel cities had strewn flowers in the paths of the loyal troops. FLEE TO OLD TRENCHES. | i Rebels Retire From Saloniki Battle- | fields. | (Copyright. 1935. by the Associated Press.) | SALONIKI, Greece, March 11.— Under pressure from government | troops, the Greek rebels retired today, after desultory fighting, to the oid ! line occupied by the Bulgarians dur- ing the World War, running from | Drama to Demirhissar around the | spurs of the Balkan Mountains, Here they are using the old Bul- garian-German trenches with con- crete shelters and powerful earth- | works which military experts declare make them almost invulnerable. | The rebels have been forced to| evacuate Seres, which is located an | a broad plain without natural pro- | tection, but they said they intended to make a determined stand at Drama | whose high hills already have been heavily fortified by the rebels. It is believed here that a number of Americans living in Seres managed to escape before the fighting there | began, although no word had reached here concerning them early this eve- ning. In today’s operations the govern- ment employed all its airplanes, which total only 27. The machines dropped only occasional bombs and they landed in open spaces and caused no casual- ties. Guide for Readers Amusements Comics ... ! | Features Finance .. Lost and Found Radio Serial Story Short Story Society . Sports .. . B-2,3 A-11,12,13 'the yet to be registered under the se- curities act. Although the proceeds will be used to retire old securities, | Commissioner James M. Landis said | such financing is “always the begin- | ning of a capital flow.” | The flotation was made possible by the West Coast, bearing necessary papers. | 4. Charles G. Dawes, former Vice | President, said at Tucson, Ariz., that the depression will be over in another two months and that the country will | reajize it not later than July. The panics of 1873 and 1893 each lasted about five and one-half years, he said, and this slump would follow suit. He called, however, for a balanced budget, declaring that if Government borrow- ing is continued after recovery an- other smash may result. 5. The Department of Commerce | reported industrial production in the | first two months of 1935 was the| (Continued on Page 3, Column 5.) COTTON PLUNGES $7 AT NEW YORK| Uneasiness Over Crop Curb and U. S. Loans Felt—Stocks Also Sag. By the Associated Press. NEW YORK, March 11.—A wide open break in the New York Cotton | Exchange today carried futures down | more than $7 a bale. Trade buying appeared on the de- | cline and served to check the down- | ward movement, although rallies were | feeble. Old and new contracts alike were carried down by the selling. The March position broke $6.65 a bale to | a basis of 10.62 cents a pound: May was down $7.50 a bale to 10.58 cents: July was down $8.30 a bale to 10.50, | and October $7.50 to 10.44. Traders said there were no new de- velopments affecting the staple which would account for the slump, but the | market for some time had been showing signs of uneasiness over crop | control uncertainties and lack of in- formation respecting the Govern- ment’s intentions with respect to loans on the new crop. Selling came from many quarters and in sufficient volume to catch many stop-loss orders. There were indica- tions of heavy liquidation of stale speculative accounts. Today’s break was the sharpest wit- nessed in the Cotton Exchange since | September 8, 1927, when losses ran to about $10 a bale. It exceeded even the sharp setback in July. 1933, when the inflation boom then under way was pricked. The decline in cotton also disturbed other speculative markets. Wheat futures at Chicago dropped well over 2 cents a bushel and corn sbout as much, When the decline in cotton was checked. however, grain prices came’ back a little. The stock market was also unset- tled. Early gains running to as much as $1 a share in some of the indus- trial issues were converted into losses of somewhat greater extent. Some stocks lost as much as $1 to $2, although recessions were moderate for most part. score produce employes, joined the strike. Bakers and butchers were scheduled to strike today. Disorders Continue. | Last night's disorders. although | scattered and somewhat less violent the uproarious shooting and | bombings of Saturday night, continued to keep the city on edge. A 2-year-old baby was wounded in the course of the night’s disturbances | and the headquarters of the National | Medical Federation were wrecked. Unidentified mobsters invaded the building, sacking and looting it, de- stroying furniture and fixtures and heaving the debris through windows into the streets. Sporadic sniping at soldiers, police (Continued on Page 3, Column 1.) N MURDER SUSPECT MUTILATES HIMSELF| Albert Fish Brought to Trial for, Kidnap-Death of Budd Girl. By the Associated Press. WHITE PLAINS, N. Y., March 11.— Suffering from the effects of his latest i self-torture, Albert Fish was brought | here today to stand trial for the first- degree murder six years ago of Grace Budd. 10-year-old kidnaped New York irl. 4 Fish was in pain after jabbing and cutting himself in the pelvic region | with a sliver of chicken bone Satur- day night. Mr. and Mrs. Albert Budd, the slain child’s parents, and her brother, Ed- ward, will be witnesses. A constant guard will be maintained over Fish, Warden George A. Casey said, scouting the suggestion that Fish's acts were suicidal. He said the prisoner, pronounced sane by alienists, used the chicken bone to try to cut out some of more than a score of needles which he previously pushed into his flesh. TOWNSEND PLAN BEFORE CALIFORNIA ASSEMBLY How Far to Go in Memorializing Congress to Adopt Old-Age Pension Is Question. By the Assoclated Press. SACRAMENTO, Calif., March 11.— The Assembly of the California Leg- islature met here today to discuss how far it wishes to go in memorializ- ing Congress to adopt the Townsend old-age pension plan. Gov. Frank F. Merriam has in- dorsed the basic principles of the plan, but has made no expression on the $200-a-month pension feature, re- garded by Townsend supporters as the heart of the program. Last week the Assembly voted down an administra- tion-indorsed resolution asking Obn- gress to incorporate the major fea- tures of the plan in any national leg- islation benefitingsthe aged. Support- ers of the Townsend program voted against the resolution, to sanction anything but outright ap- proval of the plan in full. WITH GOLD ‘PROFIT' GREATLY RELIEVED THE FARMER— SOME OFEM HAD TEIR POCKETS PICKED AT A NORTH CARQLINA CONVENTION! U.S. T0 PARE DEBT Thomas and Treasury Differf on Whether Currency Will Be Increased. By the Associated Press. The Government's decision to use | part of its $2.812.000,000 devaluation “profit” to reduce the public debt led to conflicting interpretations today. The Treasury held that the “total amount of outstanding currency should not be changed” as a result of the plan to retire some Government bonds with $642.000,000 of the profit arising from trimming the dollar’s gold valuc last year. On the other hand. Senator Thomas, Democrat, of Oklahoma, a leader of the currency ‘expansion bloc in Con- gress, foresaw 2 $46,000,000 increase in the amount of money in circulation. Thomas Praises Plan. Declaring that for the first time, the public debt will be cut by the issuance of Government obligations which bear no interest, Thomas praised the move y saying: “It is along the lines of what we have been clamoring for.” He also praised the plan as a step toward one single type of currency | | and the concentration in the hands of | the Government of the power to issue money. Under the Treasury plan. the na- tional banks will lose the power to 1ssue currency against certain Govern- ment bonds, a right which they have had since they were created after the Civil War. Gold Stock to Be Set Aside. The bonds to be retired are the per cent “consols” of 1930 and the 2 per cent Panama Canal loan bonds of 1916-36 and 1918-38. which na- tional banks have been permitted to use as backing for currency. | They will be paid off in the main by the issuance of certificates against gold held in the Treasury. The gold covered by the certificates will be set | aside from the Government’s other | stocks. Certificate-holders will not be able to obtain the yellow metal itself, of course. since it is unlawful for an individual or corporation to possess monetary gold. | Only a portion of the profit result- | ing to the Government from devalu- | ing the dollar is involved. - The total | profit has been figured at $2,812,000,- | 9 the exchange value of the dollar. Some of the $2,000,000.000 in the | stabilization fund evertually may be | applied on the public debt. However, | Stand on Moses And Grants Loan 1.600,000 Allotted to New York, but Secre- tary Fails in Ouster. By the Associated Press Public Works Administrator Ickes | today reversed his stand against Rob- ert W. Moses and granted $1.600.000 | for the tri-borough bridge project in New Yprk. Decision on the allotment had been held up for weeks on Ickes' insistence that Moses resign either as New York park commissicner or as a member of the Bridge Authority. He did neither. Ickes had announced. in his much- debated order No. 129 of December 29 that Moses would have to abandon one of the two positions before P. W. A would advance further funds to the $44.200.000 project Ickes had said as late as last Friday that “the order stands like the Rock | of Gibraltar.” Ickes explainedl his action today by declaring the contested order was “non-retroactive” and did not affect Moses because he was in office before the ruling was handed down. He told reporters he reached his decision after several weeks of conferences and ex- changes of letters with Mayor Fiorello La Guardia of New York. La Guardia, he said, agreed to his theory that no official should hold a P. W. A. position and a municipal office at the same time. SWANSON TRAVEL PAY ORDER Navy Secretary Duty Is Im- posed by Statutes, Not McCarl. Secretary of the Navy Swanson to- day defended his position in his cou- troversy with Controller General Mc- Carl before the Naval Subcommittee of the House Appropriations Commit- tee. Contending he was justified in ordering payment of travel allowances | 000. Of that sum, $2,000.000,000 Was | for officers and their dependents to | put into a fund to be used to stabilize | return home after retirement. Swan- son quoted a decision of the Supreme Court in which McCarl was a de- fendant, that “a duty today plainly imposed by the statues, cannot be ONDEFENDS SEWATE Y 4G [ONGFORADNOTE | Administration Chafes Un-! der Senator’s Delay by Fight on Farley.. By the Associated Press. | The administration’s $4,880,000,000 relief bill started its seventh week | in the Senate today facing fresh delays in a threat of Senator Long, Demo- crat of Louisiana, to force a Senate test of his proposed investigation of Postmaster General Farley. Administration leaders were pre- pared to resort to drastic measures if Long held the floor in an effort to “try his case” in the Senate in the face of an adverse committee report on his inquiry resolution. Long has served notice he would reply in considerable detail to the com- mittee. The drive for a Farley in- vestigation received support from Chase Mellen, jr, New York county | Republican chairman. He sent letters to Republican members of Congress asking them to vote for the inquiry on the ground that if Farley has nothing to hide there “is no point in COST $41000000 AYEARFORN.R.A, ASSERTS RICHBERG Figures Given Senate by Co-ordinator, Third Time on Stand. LESS THAN 1 PER CENT OF SALES, HE SAYS Opening of Hearings to Business Men With “Legitimate Com- plaints” Demanded by King. By the Associated Press. The annual cost of operating N. R A.’s vast code structure was estimated at $41,000,000 today by Donald R Richberg. The recovery co-ordinator gave this | figure to the Senate Finance Com- mittee, where he occupied the witness stand for the third successive session Puffing a cigar as a large crowd strained to hear his testimony. Rich- berg answered a stream of questions. Details Promised, Senator Byrd (Democrat) of Vir- ginia, recent administration critic. asked about the cost of operating N. R. A’s 700 codes. Richberg said he would furnish a detailed list, but esti- mated the aggregate at $41.000,000 a year, or less than 1 per cent of the sales involved. Senator Clark (Democrat) of Mis- souri asked if the code authorities in raising this money were “exercising the right, in effect, to levy taxes.” “I don’t think they have the au- thority.” Richberg said, explaining that in most cases he believed tne costs were met by voluntary contribu- tions. Opening of the Senate's N. R. A investigation to business men with “legitimate and valid complaints” was demanded earlier by Senator King, Democrat of Utah. “We are proceeding on the theory the organization must be heard fully and completely before hearing com- plaints,” King said. “I regard it as important wat we bring witnesses who have legitimate and valid complaints, particularly in view of Mr. Richberg’s statement last night that N. R. A. is such a beneficial organization and necessary to prevent monopoly. “There is too much effort on the part of N. R. A. and its officials to bolster up the organjzation.” | Demands Counsel. | King also demanded that the com- mittee employ counsel. Chairman Harrison replied counsel would be employed to help the com- mittee assemble its data, but not to his efforts to cause the investigation | JUestion witnesses. to be sidetracked.” Glass Seeks Action. Meanwhile. Senator Glass, Demo- crat. of Virginia, chairman of the Appropriations Committee, was pre- pared to ask for early action on his amendment to the Senate rules to prohibit a Senator from talking on | extraneous subjects while an appro- priation bill is pending. The veteran Virginia Senator, al- though he has been critical of some | parts of the bill. is irked over the side debates which have helped to ‘postpone a final test Once the legislation gets in an un- | blocked track again, administration leaders contend. the Senate will sus- tain the committee in twice turning amendment. Democrat, of Nevada, has been hop- ing he could offset the two votes that have switched to the administration’s | side since his amendment first was adopted on the floor by 44 to 43. ments will be disposed of quickly and in_the administration's favor. Inflation amendments and a bonus rider probably will be the subject of | a few speeches, but the latter may not be offered at all in view of the promise of Chairman Harrison of the Finance Committee that the Senate | will have an opportunity to vote on | money in the fund will be available | affected by a contrary decision of the (h€ bonus as a separate matter after in the near future only for certain | stated purposes, unless President | Roosevelt should exercise his author- ity to terminate stabilization opera- controller general.” Cites Opinions. Swanson told the committee “it is the House acts on the Patman sand | Vinson bulls. A vote on the prevailing wage amendment is not expected before tions ahead of schedule. Congress set | my opinion that in these cases it is | tomorrow at the earliest. January 30, 1936, for the expiration | of these activities, but gave Mr. Roosevelt the right to end them earlier or continue them a year longer. | Secretary Morgenthau at present | has power under tne gold reserve act of 1934, to use portions of the stabili- zation fund for investment in direct obligations of the United States. In announcing its plan the Treas- | mentioned. and the expiration next July 22 of authorization for the is- suance of national bank notes against | other bonds, would accomplish “a simplification of the currency system through the elimination of national bank notes.” More than $500,000,000 of the bonds being called were report- ed to be on deposit with the Treas- urer of the United States as security for this type of currency. Rapid Retirement Expected. “National bank notes will be retired as rapidly as they are presented to the ,” said the official state- ment. “It is expected that the great majority will be canceled within a year. This will leave as permanent circulation Federal reserve notes, sil-* ver certificates and United States notes. Additional Federal reserve notes will be issued to replace the national bank notes as they are re- tired and as demand arises.” The statement did not agree with Senator Thomas’ prediction that a $46,000,000 increase in “currency in circulation will result from the move. “National bank notes merely will be replaced by Federal reserve notes,” it | said. “The effect on member bank reserves will be immaterial.” In financlal circles it was said ‘Thomas evidently based his predic- tion on the fact that, for every $100 of national bank notes issued, $105 of collateral has been required. Gold certificates replacing other securities under the debt reduction program would secure & larger amount of Fed- eral reserve notes if the banks should want them, it’ was said. \ l ury said retirement of the bonds | the duty of the disbursing officers to pay travel allowances in such cases is | plainly prescribed as to the interpre- | tation of the statutes by the opinions | of two Attorney Generals and at least 11 decisions of the Court of Claims. | If I did not direct disbursing officers to so pay. even though the controller general ruled to the contrary, I con- sider I would be neglecting my duty,” he said. The Navy Secretary laid before the | membérs of the subcommittee a let- | ter to Swanson from Attorney Gen- eral Cummings dated January 15 which said, “I must advise you that you should accept the opinion of the Attorney General and the decisions of the Court of Claims as controlling in the administration of the statutes and instruct your subordinates accord- ingly.” The statute referred to was one authorizing travel allowances to the dependents of officers ordered to make a permanent change of station. At the hearing today no reference was made to the gttitude of Presi- dent Roosevelt in supporting Secre- tary Swanson in his fight with McCarl. Cary to Seek Amendment. Chairman Cary of the subcommittee said he intends to try to amend the existing law so*as to make the class of travel in question thoroughly legal. “If that is done, and I am sure it will be, this difference between the Navy Department and the general account- " (Continued on Page 3, Column 7.) Washington Wayside A daily column of random observations of interesting neople, events and things in the Nation's Capital begins in today's Star. Turn to Page A-6. The McCarran group was reported | in some quarters as being anxious to | win another day’s delay in the hope Rev. Father Charles E. Coughlin will | say something on the subject in & radio address tonight. Heart Disease Proves Fatal to Maj. Abram Stoutenburgh. NEW YORK, March 11 (#).—Maj. | Abram Stoutenburgh, 53, for 25 years dean of cadets at Culver Military Academy. Culver, Ind., died suddenly early today at St. Luke's Hospital after a heart attack. He had been here for the last year, taking a post-graduate course at Co- lumbia University. He was a native of Cayuga County. N. Y. and was graduated from Hobart College. Embarrasses By a Staft Correspondent of The Star. TAKOMA PARK, Md., March 11.— Edison E. Burrows, 30, of 2 Manor circle, played a practical joke on the police here today, and now is wonder- | ing if it was worthwhile. Burrows was one of 25 local motor- ists rounded up here last December for driving with District of Columbia tags. He was ordered by Justice of the Peace Albert L. Wilson to appear in Rockville Police Court January 21 and, unable to produce the necessary $25 collateral, he was obliged to leave his car in.the possession of police. morning back the McCarran prevailing wage | But Senator McCarran, | If McCarran loses Democratic lead- | ers feel several remaining amend- | ;CULVER DEAN DIES AT 53 | | ai King insisted the counsel should also be permitted to question witnesses, but | Senator Barkley, Democrat, of Ken- | tucky, objected. “If members of the Senate are not ! | qualified to ask intelligent questions,” | Barkley said, “we better get a new | committee.” Before King's protest, Harrison ob- tained the committee’s approval of the schedule of witnesses drawn up by a subcommittee Saturday. The list includes Clarence Darrow, N. R. A. critic: S. Clay Williams, re- tiring chairman of the Recovery Board: Sidney Hillman, a board mej ber; Leon Henderson. economic ad- | viser, and Francis Biddle. chairman | of National Labor Relations Board. Not Opposed to Inquiry. Richberg told the committee if it endeavored to go into every complaint | the work could nct be completed in | the life of its members. He added, however, he was not opposed to gen- | eral investigation of the subject He cited figures showing there had | been 118,440 labor complaints up to February 16 last and 31,667 trade prac- tice complaints. Richberg said a total of 97,000 labor complaints had been closed, while some 14,000 were still pending. Of trade practice complaints he said 24.000 were closed and some 3,000 still pending. Adjustments were made in the re- mainder in both grcups of complaints. He testified that of 21,638 cases in- volving wage complaints of 90,000 em- | ployes, there had been adjustments meaning wage restitutions of $2,245,~ 380 through field office work alone. n addition, code authorities had re- ported wage restitutions of $732,268 to 84,000 employes in 2.900 cases. Richberg presented a table showing gains in both employment and pay rolls in scores of industries. He said much publicity had been given an dends were 50 per cent higher than in 1926. same report showed profits were only | 32 per cent of the 1926 level. “The maintenance of interest and vidends has not meant the main- tenance of profits,” he argued. Interpretation Required. Senator Byrd, Democrat. of Vir- ginia asked Richberg how he ac- ccounted for the fact that in May, 1934, there was a low point of 9,001 000 unemployed and that since. al though N. R. A. has been in full op. eration, “unemployment is increasing day by day.” Richberg said the unemployment “(Continued on Page 2, Colu 2,500 Pennies for Collateral Practical Joker heaved his canvas bag onto the desk. “There's my collateral,” he said, “2,500 nice round copper pennies.” But Policeman Frank Lane was in no way abashed. Studiously he re- plied, “I'm sorry, but we cannot ac- cept collateral here; you will have to deposit it with Justice Wilson.” Justice Wilson resides at 15 Syca- more street, five blocks from the police station up a steep hill. Burrows left, no longer smiling. Justice Wilson was also polite. “Come back, Mr. Burrows, in a couple of days,” he said, “and by that time I'll have the collateral counted.” Mr. Burrows is still without his car and Justice Wilson says the collateral weighs exactly 17% pounds. ¢ N. R. A. report that interest and divi- | Then he testified that the | U. 3. REFINANCING 15 THREATENED BY LIBERTY BOND SUIT New Gold Policy Test Pos- sible in Court of Claims Action. [RIGHT TO PAY PRIOR TO | MATURITY CHALLENGED | Robert A. Taft Is Plaintiff in Move—8$50 Gold Liberty Lien Basis of Complaint. BY G. GOULD LINCOLN. | A suit fled toaay in the United States Court of Claims may upset the whele prozram of the administration for refinancing outstanding Govern- ment bonds. It is likely to bring a new test on the gold policy of the Government. The Dixie Termiral Co. of Cincin- | nati is suing the Government to test the right of the Treasury to call gold bonds for payment in advance of their maturity, 'mless the Government pays the bonds in gold Robert A. Taft, son of the late Chief Justice and President of the United States, as president and counsel of the Dixie Terminal Co. filed the suit in the Court of Claims Gold Payment Pledged. ‘The petition sets forth that the company is the owner of a $50 bond of the fourth Liberty loan. known as the fourth Liberty loan 4!, per cent gold bond of 1933-38. Under the terms of the bond, the Government promised to pay the bearer on October 15, 1938, the principal sum of $50, in gold coin of the standard value on the date of issuance, October 24, 1918, and to pay interest on the principal sum in like gold coin at the rate of 4'; per cent per annum until the principal should be payable upon presentation and sur- render of the interest coupons as they mature. The petition cit he fact that on October 12, 1933, the Government, through the Secretary of the Treas- ury, called for redemption on April 15. 1934. of this bond. and other bonds. The company is the holder of three interest coupons formerly tached to the bond. maturing April 15, 1933, Octciber 15, 1933, and April 15, 1934. Payment Refused. Through Taft, the company pre- sented these coupons at the Treasury Department today and demanded payment in gold dollars. Payment was refused except in legal tender currency equal to the face value of the bond, which at present is con- siderably less than the gold value. Following this. Taft also presented to the Treasurer of the United States the bond, and demanded that it be redeemed by the payment of 50 gold dollars. This demand also was re- fused. although the offer was made to pay $50 in legal tender. Taft de- clined to accept payment of that na- ture. Then Taft presented to the Treasury Department another interest coupon through October 15, 1934, calling for the payment of $1.07, either in gokd coins or legal tender. The Treasury Department refused payment of this | coupon on the grounds that the bond to which it had been attached had been previously called for redemption. Calling Bonds at Stake. If the contention of the terminal company should be sustained by the | courts, it would mean that the Gov- | ernment could not call its gold bonds | before the date of maturity and at the | same time cease to pay interest on | these bonds, in accordance with the | terms of the bonds, before they ma- ture. Only by the satisfving of the terms of the bonds. which calls for payment of the interest in gold or its equivalent, would the contract be ful- filled In its petition the company claims the Government had no right to call the gold bond for redemption except on the payment of 50 gold dollars. It |says also that the Government has announced publicly that it will not pay the fourth Liberty loan bonds in gold dollars, “and has thereby for feited. while such repudiation con- tinues, any rights -or privileges con- ferred on it by the terms of said bonds, | including the right or privilege to re- deem the said bond before the ma- turity thereof.” Test Suit. Following the filing of the suit, Taft made this statement “The suit filed today in the United | States Court of Claims by the Dixie Terminal Co. of Cincinnati, of which | T am president and counsel, is for the purpose of testing the right of the Treasury to call gold bonds for pay- {ment in advance of their maturity | unless the Government performs its agreement to pay in gold “Since the Supreme Court has de- cided that the gold clause in the United States bond is valid, it is our contention that the Government has forfeited any right to call the bonds before their maturity, that the Treas- ury can exercise privileges given in its bonds only after the performance of them according to their terms in ac- cordance with the decision of the Su- preme Court. it takes the form of a claim € 2, Column 6.) R. F. C. WILL ENTER MORTGAGE FIELD By the Associated Press. To prod private mortgage organiza- tions into activity in New York, Cleveland, St. Louis and other Federal Reserve cities, the Reconstruction Finance Corporation plans soon to set up a Federal mortgage company to lend on business property and apart- ment houses. Once the private companies get started, sald Chairman Jones today, the Federal company will be dissolved, Attorneys for the corporation are now working on the articles of incor- poration for the new company, the - name and amount of capit vk prma- pital not yet