Evening Star Newspaper, March 12, 1935, Page 2

GOLD “WRITE-UP” SETS PRECEDENT But Faith in U. S. Believed| | ~ - o for Outbreak Millions Involved in Taft’s Undiminished by Use of “Paper Profit.” BY DAVID LAWRENCE. Strange things are happening in Government finance, strange not merely because they are unprecedent- ed but because they involve creating value by & stroke of the pen and not by thrift or the process of earning. The so-called “gold profit” never bothered anybody so long as it was just a bookkeeping profit. but, now that the Government intends to spend the profit, it will have to justify the procedure to the many persons who will want it explained. If a public utility Lolding company buys a property and finds that the plant has been carried on the books for much less than it is worth. it promptly “writes up” the value and issues securities to the public. New Dealers Imitate Utilities. “This practice of “write up” has been severely condemned by the Roose- velt administration, and particularly by the Federal Trade Commission. It has been as stoutly defended by the utilities. Now the Treasury decided one day to acquire title to some property. It happened to be vellow metal worth previously $20.67 an ounce. The Treasury suddenly decided to pay $35 an ounce in world markets for gold All the metal in its own vaults and in the Federal Reserve banks was therefore immediately given the bene- fit of a “write up” of an additional $14.33 an ounce. This made a hand- some profit of about $2,800,000,000 for the Treasury just by the stroke of the governmental pen. So far so good. But now the Gov- ernment is going to pay out some of that profit. Does it pay out gold? No, because it is unlawful to circulate gold. Does it issue notes backed by gold? No, because the holder of a| Government bond or a Government currency certificate cannot demand gold. Is there any difference between money paid out of the Treasury in the form of bonds or in the form of “gold certificates’? ‘Gold Notes Not Legal. It all depends upon what you mean by gold certificates. In the days be- fore the United States departed from the gold standard, a gold certificate was a piece of currency redeemable in gold. Today a “gold certificate” is a piece of currency theoretically backed by gold, but the Government has the option of actually redeeming | it in gold or refusing to do so. The “gold certificates” are not law- ful money in the sense that they can be circulated freely. They may be used under certain conditions to pay balances abroad; that is, they may be- | come licenses to export gold provided you can satisfy the Treasury that it | is really an export transaction you are making. So externally they are redeemable in gold under specific conditions. Within the United States, however, the Treasury has just printed & piece of currency and called it money be- cause it uses the name “gold certifi- cate.” There is nothing to prevent the Treasury from saying that its $8,000,000,000 of gold on the present basis of $35 an ounce is a reserve cn which can be erected an issue of cur- rency two and & half times the re- serve. Redemption Held Impractical. For instance, a 40 per cent gold reserve has in normal times been con- sidered ample. The theory has been that in case of demand, everybody wouldn't want gold at the same time and that a dollar of gold for every two dollars and a half of paper money was a safe ratio to maintain. It would be possible for the Treasury to issue about $20,000,000,000 in cur- rency based on a 40 per cent gold reserve. ‘This is far in excess of the money now in circulation, which is about $5,500,000,000. But the present administration has Teiterated that there isn’t enough gold to redeem outstanding currencies and bonds at any one time, so it feels redemption in gold cannot be prac- tical. This is equivalent to saying that the gold reserve will not be used. Hence the faith of the people | in the Government's capacity to repay in dollars acceptable to the public is | really what's at issue. If a Govern- | ment can create nearly $3,000,000,000 of value by an executive order, why | cannot it create more if need be to | wipe out the bonded debt of nearly $30,000,000,000? And if the Govern- ment issues paper money out of its “gold profit” once, why cannot it do 80 continuously? Peril in Inflation. Inflation has always been defended 83 a legitimate thing to do, provided you don't do too much of it or let 1t get beyond control. The expetience of the world with inflation or flat money is that those who sponsor it always sincerely believe the; it within contlz)l. i If no more “gold profit” is utilized than that which the Treasury has ixsued to pay off the 2 per cent bonds outstanding, there is no danger to the credit of the United States, If non-interest bearing pieces of paper are issued to pay off bonds, then the | situation would become one of great concern and would result in a soaring of prices. As the value of the pieces of paper meant less and less in goods or food or necessities of life. ‘The financial markets have inter- preted the Treasury's act as an iso- lated step and not as a part of an inflation policy. Prices have not risen. The faith of the people in the Treasury’s ability to keep from ext:}l::éngl theyl non-interest-bearing me of paying off debt is uUnimpaired. S = —_— NAMED TO BOARD ‘W. U. Varney Placed on Better Housing Campaign Body. By a Staft Correspondent of The Star. CLARENDON, Va, March 12— Walter U. Varney, president of the . Arlington-Fairfax Counties Firemen's Association and counsel for the Old Dominion Bank of Cherrydale, yes- terday was named to the advisory board of the Arlington County Better Housing Campaign by the general chairman, George M. Yeatman. { Lenten Service Under the Auspices of the Washington Federation of Churches Epiphany Episcopal Charch Tomorrow at 4:45 p.m. Preacher: Dr. Joseph M. M. Gray The public What’s What Behind News In Capital in Europe Is Seen in Greek Revolt. BY PAUL MALLON. N THE hidden possibilities behind the Greek revolt you have the l best possible inside view of Eu- rope today. The Greek trouble sounded no louder in world affairs than a remote quarrel in a remote family. What made it more important than it ap- peared to be was the fact that there are sensitive diplomatic amplifiers throughout Europe which at any time may catch up such insignificant sounds and transmit them into shriek- ing gun thunder in every capital in the world. One 1is across the Greek border in Bulgaria. Since the war, Bul- garia has been living in hopes of reclaiming a commerial outlet to the Aegean Sea through Greece. She sensed the opportunity pre- sented by internal strife in Greece. Her troops moved up to the Thra- cian_border at the first sound of the Greek distpute. This troop movement was heard at once in Turkey. The Turks have a secret alliance with the Greeks to prevent just such a step. Immediate- ly Turkey began to concenrate troops on her Bulgarian frontier. Bulgaria would immediately draw in mest of the other Balkan powers. They are bound by treaty to come to Turkey's assistance. But that would be only the begin- ing. Behind Turkey stands France. Th French are friends of the Turks and have been cool toward Bul- garia since Bulgaria refused to join in the Little Entente pact of French allies. Bulgaria has greater hidden power behind her also. Italy has been back- ing her as a wedge in the anti-Italian Little Entente, and as a threat against Yugoslavia, Italy’s traditional enemy, which borders on Bulgaria. Behind France and Italy the ampli- fication possibilities are obvious and endless. Secret Line-up Shifts. Best United States authorities agreed the maximum amplification possibilities probably would not be reached this time, but they cannot tell | when the next far-away match- | scratch will split their eardrums at home. The secret line-up in Europe con- stantly shifts, but never changes. The system is substantially the same as it was 21 years ago, when it promoted the World War. Old Law Dug Up. A clever Congressman has dug up privately an old forgotten law which says: “No money appropriated by any act (of Congress) shall be used for the compensation of any publicity expert, unless specifically appropriated for that purpose.” best part of the New Deal press agent system, because money was not specif- new publicity men (N.R. A, P, W. A, A.A A,F.H A, etc.). The law went into effect October 22, 1913 (title 5, and has never been repealed, but— Apparently the New Dealers knew about it, even if no one else did. At least they appear to have taken steps to circumvent it. For onme thing, they have very naively neglected to designate most of their publicity men as such on the pay roll. Instead, these em- ployes are generally called “ad- ministrative assistants” or other fancy things. Also, some of the New Deal appro- priations carry blanket authority to hire and fire anyone. The Federal Housing Administration act, for in- stance, authorizes employment “. . without regard to the provisions of other iaws . .” Thus a planned sensational explo- sion may fail to explode, although you very probably will hear something said on the subject in Congress shortly. VOTES WITH THESE Legal cat-skinning tricks these days are got confined to New Dealers. The Tennessee Valley Authority re- cently has received information that a power company in a Southern city has found a neat device to qualify its voiers in the referendum on build- ing a municipal power plant. The power company is supposed to have 156 employes living outside the city limits, who could not vote under the city law. These employes are sup- posed to have chipped in to buy a $50 lot in the city. Thus they all become city property holders and eligible voters, although their holding amounts to about 35 cents each. Another Sensation Fails. Another sensation which has failed to register involved a bribery charge against a Congressman by a Com- merce Department official. The mat- ter has been kept private and prob- ably will remain so, because it seems to have been based on a misunder- standing. The Congressman went to the official and urged the reappoint- ment of an employe in the air-field inspection service, probably say- ings “It would be worth $1,000 to me to get this job.” ‘The official thought the Congress- man was offering him a $1,000 bribe and reported the matter to his su- periors. A hullabaloo ensued. Com- merce Secretary Roper, after investi- gation, concluded that his subordinate had misunderstood the Congrestman. Roper then reappointed the airfield employe whom the Congressman had indorsed. If the appointment really was worth $1,000 to the Congressman, he got it without even having to offer a cigar. (Copyright. 1935) — Dinner to Be Given. COLLINGTON, Md, March 12 (Special).—A spaghetti dinner and dance will be in White Marsh Hall March 18. J | prepare the Any trouble between Turkey and | This would seem to illegalize the | ically appropriated for most of the | No 54, and annotated statues, U. S.) | THE EVENING HUGEU. 5. SAVING AT STAKE IN SUIT Effort to Ban Call of Bonds. By the Associated Press, Millions of dollars in savings to the ‘Treasury through cheaper interest rates today were involved in Robert A. Taft's challenge of the Govern- ment's right to call gold bonds before maturity. ‘The Treasury’s gold bond debt was $14,565,000,000. Of these, $1,945,000,~ 000 were under call for redemption prior to their mathrity dates, the holder to receive either devalued dol- lars or a new security paying lower interest and lacking the gold clause. How much interest might be saved through the New Deal’s policy of re- funding such issues could not be esti- mated accurately, since it depended on market rates for money at the time of refunding flotations. But ex- perts believed that if present easy money conditions continued the sav- ing would mount into many millions. In a suit flled in the Court of Claims, Taft contended the Govern- ment had no right to call its gold clause bonds in advance of maturity without refunding them in gold. Roosevelt Confers. The Capital wondered if one answer to Taft's challenge might be an act of Congress closing the Court of Claims to suits such as his. Presi- dent Roosevelt conferred with mone- tary and legal advisers late yesterday. It was intimated afterward that their discussion concerned legislation to prevent the court from entertaining suits to collect the old gold value of Government bonds. Some Government attorneys ex- pressed confidence that, even if Taft's action is not blocked by a congres- sfonal ban against such litigtion, it could be defeated in the courts. They acknowledged the Supreme Court rule recently that Congress had no right to nullify the gold payment promises contained in Government bonds prior to June, 1930. They| counted heavily, however, on this language in one of the court’s de- cisions: “¢ * * The payment to the plain- Ufl of the amount which he demands would appear to constitute not a re- | | coupment of loss in any proper sense, | but an unjust enrichment.” The Government attorneys, who de- clined to be quoted by name, agreed that Taft's suit has raised an issue slightly different from that fought out in the celebrated contest before the Supreme Court. Some observers contended that, should Taft’s suit be successful, the | | Treasury would be required to pay out | | $1.69 of the present currency for | each $1 of gold bonds called for re- | | demption before maturity The White House conference was | attended by Secretary Morgenthau, | Attorney General Cummings, Angus | MacLean, assistant solicitor general; Herman Oliphant, Treasury counsel, | and Stanley Reed, counsel for the | Reconstruction Corp. Secretary Hull | joined the group just before it ad- | journed. i May Close Door. Although details of the conference were not disclosed, it was recalled that administration officials have been considering the advisability of addi- tional protection against gold litiga- tion ever since the Supreme Court decisions. Officials have pointed out that an amendment to the Court of Claims : act, forkidding the court to hear suits | for collection under the gold clause, | would close the last door to such ef- forts. The Government cannot be sued unless it consents through an act of Congress. Secretary Morgenthau said at his press conference that the White House discussions concerned “strictly a legal matter.” It was said in of- cial quarters also that the conference concerned “nothing for anybody to get jumpy about.” —— WARSHIPS PROJECTED French Naval Minister Seeks to Meet Italian' Program. PARIS, March 12 (#)—Francols Pietri, naval minister, presented to the Chamber of Deputies today a bill call- ing for the building of a giant 35,000~ ton battleship and two destroyers, in answer to the building program of Italy. ‘The program is necessary, the naval minister previously said, in order to maintain French sea power and pres- tige over Italy. ‘The battleship is expected to cost $47,000,000. Licenses Issued. UPPER MARLBORO, Md, March 12 (Special).—Marriage licenses have been issued here to the following: Emerson B. Slocum, 23, and Gwen- dollyn Ivadella Amann, 22, both of Washington; Edward Clifton Emer- son, 24, University Park, Md., and Geraldine Radford Worley, 23, Hy- attsville, Md.; Wiilie Armstead Welch, 25, Lanham, Md,, and Caleste White, 29, East Riverdale, Md. Congress in Brief By the Associated Press. ‘TODAY. Senate. Debates $4,880,000,000 work-relief bill. Finance Committee questions Rich- berg in N. R. A. study. Munitions Committee hears Willla} B. Bhearer, big Navy edvocate. Labor Committee hears Secretary Perkins and Francis Biddle on Wagner bill. House, Resumes work on H. O. L. C ex- pansion bill. Rules Committee considers rule fop House consideration of bonus. Banking Committee continues hear- ing on omnibus bank bill. Agriculture Committee considers farm mortgage situation. Labor Committee starts hearings on Wagner-Connery labor disputes bill. YESTERDAY. Senate. Debated work-relief bill. Commerce Subcommittee heard . Eastman. Pinance Committee heard Donald R. Richberg on N. R. A. Passed measure to repeal income tax publicity. Appropriations Subcommittee heard Secretary Swanson assert he had not defied Controller General McOarl. STAR, WASHINGTO D. C, TUESDAY, MARCH 12, 193 Byrd Brings Back a Few Antarctic “Natives” Three husky penguins, brought back by the Byrd Antarctic Exposition and in tow of two members of the view of civilization when the expositic Admiral Byrd is shown at right as he party, shown as they got their first on arrived at Dunedin, New Zealand. was greeted by the mayor of Dunedin on arrival M. Dustin, a member of inset displaying artistic locks which stay in the Antarctic regions. the Aviation Corps, is shown in the he developed during the 18-month —Wide World Photos. FOOD PRICE RISE HELD NEAR PEAK A. A. A, Adviser Revises His Estimate of Big Jump. Meat to Cost More. ‘The cost of food, up one-third since President Roosevelt took office, has about reached its peak. This cheering news came today from | Girl, 17, Only Slightly Bruised In 4-Story Plunge Into Alley Modesta Light Treated for Hysteria After Narrow Escape. Planned to Jump, but * Know It Was Fool- ish,” She Says. Louis H. Bean, economic adviser to ~ Modesta Light, 17, of 510 I street, | the A. A. A, A slightly increasing price of meat may carry the average one or two points beyond the present level of 7 | to 8 per cent above the last half of 1934, said Bean, but no further. | Marketgoers breathed a sigh of re- | lief at this, for Bean, two weeks ago, forecast & rise of 11 per cent during the first half of 1935 over the last| half of 1934, and an additional 1 per | cent rise in the last half of 1935. Meat Rising Rapidly. Meat dishes, however. already well above last year's quotations, still are going up. But the price will stop far short of the 32 per cent increase in price he earlier predicted, Bean promised Bean was deluged with protests from indignant housewives after his first gloomy forecast. The People's Lobby objected vigorously to a pro- ~ective food bill, increased $172 per family above last year, despite lagging buying power. | Seasonal Output to Aid. | Seasonal upturn in production will | keep prices within sight of earth, said | Bean. With Spring at hand, the out- put of milk, eggs and similar products | 18 due for a marked rise. Much higher prices will automatic- ally lower the tariff wall on foods. | This will force costs down at once, Bean declared. Asked if he still expected a further rise during the latter half of the year because of other drought or insect damage, the economist said it is still too early to estimate the effect of such | factors. DRIVER’S ESCAPE ONLY TEMPORARY Attempts Flight While Following Police Officers’ Car, Po- lice Alleges. | B a Staff Correspondent of The Star. BETHESDA, Md., March 11.— Charles P. Simms. who lives at 2022 Columbia road, Washington, escaped from the long arm of the Bethesda police last night—but only tempo- rarily. He was driving south along Wis- consin avenue near the District line shortly before midnight, patrol car, judged to be a “reckless manner.” They stopped him and told him to turn around and follow them | to the local police station. Simms complied, until Bradley Lane loomed invitingly on his right. Spin- ning his wheel, he headed eastward and “stepped on it,” police asserted. One of the officers, glancing back, saw him go. They gave chase. At the intersection of Connecticut avenue Simms’ car, police said, grazed a car sald to have been driven by Mrs. Lottie B. Row of 14 East Woodbine street, and sped southward on Connecticut avenue. The officers followed, but no longer hurriedly. They knew where they would find Mr. Simms, for they had taken the routine precaution of hold- ing his operator’s permit when they apprehended him. ‘When they arrived at 2022 Columnbia road Stmms was there, and so was his car. This time he followed to the local station house, where Justice of the Peace Alfred Wilson heard charges preferred against him of reck- less driving and failing to stop after an accident. Simms collateral for appearance in Rockville Police| Court on March 15. B — FARMER SUED $10,000 Asked as Damages in Fatal Accident. Special Dispateh to The Star. ROCKVILLE, Md., March 12—Al- bert Hahn, well known Potomac dis- trict farmer, is named defendant in & suit for $10,000 damages filed in the Circuit Court here yesterday as the outgrowth of a fatal automobile acci- dent on the River road, near Potomac, on last April 6. . The were instituted by the State of Maryland “to the use of” Margaret, Myrtle and Earle Hatcher, young children of Webster Hatcher of near Potomac, wWho, it is charged, was killed by an automobile operated by tbe defendant’s son, Carl Hahn. “ 4-H Council to Meet. RITCHIE, Md., March 13 (Special). —The Pringe Georges County ¢-H Co ) o'clock. in what | Policemen Day and Briggs, from their | will meet Thursday | G Ritchie School at 'l:!ol | escaped with minor bruises early to- day in a plunge from the rear fourth floor porch of her home to a narrow | brick alley below. Found in the alley, still conscious, the girl was taken to Emergency Hos- | pital, treated for hysteria and trans- | ferred to Gallinger Hospital. Her fall was broken by a roof two stories below and projecting boards | on porches beneath. At Gallinger Hospital Miss Light | said she had gone to the porch in- tending to jump, but lost her balance land fell. “I know it was foolish,” she added. Mrs. Fanny Light, the girl's mother, said they had quarreled about Mo- desta’s keeping company with & boy to whom she objected. Shortly after the argument a | MODESTA LIGHT. | younger sister, Marcella, 15, heard a noise and asked? “Where is Modesta? | bumping noise.” | Mrs. Light and James Ricci, an- | other resident of the I street address, | then went to the rear porch and saw | the girl in the alley below. Mrs. { Light and Ricci summoned a taxicab and took her to the hospital. I heard a TRAVEL PAY FIGHT AGREEMENT SEEN Carey Says Law Ihtended Dependents of Officers to Be Included. Out of the clash between Becretary | Swanson of the Navy Department and Controller General McCarl over the payment by the department of travel allowance to dependents of officers ordered home to await retirement may | come a definite provision making such payments legal without appeal to the courts. Existing law has been interpreted as intending that transportation should be at Government expense, but without definitely saying so. This assurance was given today by Chair- man Glover H, Cary of Kentucky, chairman of the subcommittee which yesterday called Secretary Swanson to personally appear before thém and explain his alleged “defiance” of the controller general’s ruling, “It is my purpose to endeavor to amend the existing law so as to make the class of travel in question thoroughly legal,” said Representative Cary. “If that were done, and I am sure it will be, this différence be- tween the Navy Department and the general accounting office will be completely eliminated.” Chairman Cary, summarizing the controller general’s position, said: “No one will seriously contend that the Congress ever meant that such travel should be at the expense- of the officer. The law is not clear, how- ever, and the general accounting office refused to read something into the law that was not there. Some one long sinee should have come to Con- gress to have the law amended.” He also justified the position of Secretary Swanson by saying, “Officers have sought and been granted relief in the Court of Claims. It is only as to cases of this particular kind— absolutely no others—that the Navy Department has announced its inten- tions to be governed by the uniform line of judgments rendered by the Court of Claims.” Secretary Swanson told the sub- eommittee drafting the Navy eppro- priation bill that his position was based on opinions by two attorneys general and at least 11 court decisions. DAIRYMEN TO FORM GROUP IN MONTGOMERY Producer-Distributors’ Associa- tion Will Be Organized Monday. Special Dispateh to The Star. ROCKVILLE, Md., March 12.~Milk producer-distributors of Montgomery County will meet here next Monday afternoon to organize the Mon! County Milk Producer.Distributors’ Association. Formation of the association was decided upon at a recent meeting of the milk producer-distributors of the county, held here to consider the milk control bill pending in the General Assembly. ——— Grange Meets Tonight. under | aguinst ANTI-JEWISH WAVE - REVIVED IN REICH Evidence of New Drive on Race Is Indicated in Publications. | By the Associated Press. BERLIN, March 12.—Evidence that | 8 new wave of anti-Semitism is sweep- |ing Germany is contained in weekly | publications appearing on the news- stands. Both Jewish and anti-Semitic pub- lications indicate the recent efforts {of Dr. Hjalmar Schacht, Reich min- | ister of economics, and Julius Lip- pert, state commisioner for Berlin, to | assure Jews of at least economic equal- | ity, have not been strongly supported by the Nazi party. The current Deutsche Wochenschau warns the automobile industry against | failure to resist a Jewish invasion, be- | cause “Jews destroyed our economic | life—then shall they be allowed to participate in its recovery?” Nobleman’s League Berated. Braunschweiger Zeitung berates the League of German Noblemen for hav- ing declared, in its official organ, that “strict application of the Aryan clause has entailed a regrettable loss of valu- | able members.” At Angermuende, orders were issued by police that Jewish organizations which train young Jews to be farmers’| or artisans in Palestine should be given preferred treatment, compared with organizations which encourage Jews to remain in the country of their birth and consider themselves Ger- mans. Jews Barred in Contest. This policy finds a counterpart in instructions issued in various places to the effect that Jewish speakers must not urge Jews $o remain in Germany. In connection with a nation-wide contest among German boys and girls for decorating show windows, which will take place next week, it is stipu- lated that Jewish youths are barred from participation. The propaganda ministry of® Dr. Paul Joseph Goebbels has advised pub- lishers that Jews must no longer have anything to do even with the com- mercial aspects of the publishing business. THREE WIVES CARRY TROUBLES TO COURT By a Staft Correspondent of The Star. UPPER MARLBORO, Md, March 13.—Three wives carried their troubles to the Circuit Court yesterday, two asking for divorces and the third seek- ing alimony. Cruelty and rude conduct were charged to John Carlton Lewis of College Park in & suit for a limited divorce, separate maintenance and custody of her daughter, brought by ;l:i Helen Seymour Lewis of College An absolute divorce from Richard C. Keller of Charlotte, N, O. was asked by Mrs, Diors Fay Keller of Riverdale on charges of desertion. Custody of her three children, tem- porary and permanent alimony and counsel’s fees are sought by Mrs. Hazel C. Koontz, 200 block of Massa- chusetts avenue, in & suit against Koontz of M4, Mrs. Koon! Ednah R. Kerwin of Largo alleging alienation of ber $80, CORGORAN EXHIBIT SETS NEW RECORD More Than 450 Paintings Selected for Biennial Show Opening Soon. American art is on the upgrade. More than 450 paintings—the largest group ever selected for any of the Corcoran Art Gallery's biennial shows —have been accepted by a jury of dis- tinguished artists for inclusion in the Fourteenth Biennial Exhibition of | Contemporary American Oil Paintings | at the Corcoran Gallery March 24 to | | May 5. ‘The sharp increase in the number of | | pictures deemed worthy of exhibition | 1s attributed by C. Powell Minniger- ode, director of the gallery, to the higher average of quality and appeal prevailing in the paintings submitted this year. At the last biennial show | in December of 1932, 343 paintings were accepted. [ Four Rooms Added. ‘The unprecedented size of this year’s selection makes it necessary for the gallery to add four exhibition rooms to | the space usually reserved for the | notable show—the biggest event of its kind in America. Four of the finest galleries in the ing the Clark wing, today were set aside for the exhibition, in addition to | the galleries customarily alloted the |show in the main building, on the | second floor. Jonas Lie Heads Group. Director Minnigerode pointed out | that the rules of the exhibition place no limit on the number of pictures that may be chosen by the jury, ex- cept that the gallery is not obligated to show more than two works by any one artist. The jury, headed by Jonas Lie, noted landscape and marine painter of New York City, made its selection | morrow and Thursday it will super- intend the hanging of the exhibits. Upon completion of the hanging, | probably Friday morning, the judges will choose the four outstanding pic- tures for the W. A, Clark prize ;aw:rds, totaling $5,000. CHANGE CONSIDERED Council May Take Control of C itol Heights Firemen. Special Dispateh to The Star. CAPITOL HEIGHTS, Md. March ‘12.—Adv1.sabmty of placing the local trol of the mayor and council will be decided at a meeting of the town au- thorities last night. | Councilmen Wallace Rollins, Row- land Thompson and William Sweeney were named to the committee, which is to confer with trustees of the Fire | Department and report at the next meeting. It was decided that only those de- linquent tax properties on which the would be advertised this year. —— KIDNAP HOAX ADMITTED Girl, 18, Returns and Confesse: She Wrote Notes. GRAND RAPIDS, Mich.,, March 12 (#)—Miss Helen Jean Banninga, 18, returned home this morning and De- tective Inspector Frank O'Malley said she admitted engineering her own “kidnaping.” ‘The girl disappeared last Tuesday. O'Malley said the girl, after ques- tioning, admitted writing two notes to her parents demanding $5,500 for her safe return because she “wanted some pretty clothes.” She was de- tained while her story was investigat- ed. The girl said she spent the week alone in Detroit. Bu Price $1 at The Evening Star Business Office, or by mail, postpaid | western part of the building, adjoin- i of pictures yesterday. Today and to- | Volunteer Fire Department under con- | studied by a special committee, it was | amount in arrears is more than $10 | ] o DEFICIENCY BILL ASKS $112.260.809 Hawaiian Air Base Plan Is Included—$60,000,000 for Crop Loans. By the Associated Press. Funds for an air base in Hawall, greater Coast Guard anti-smuggling activities and for more liberal pen- sions and other veterans’ compensa- tions contributed to a $112,260,809 total in the session’s first big defi- ciency bill presented today to the House. The measure, still $161,992 below budget estimates, would reappropriate in addition $60,000,000 from emer- gency drought funds for making crop production loans to farmers under the 1935-36 act recently passed. ‘The Appropriations Committee rec- ommended speed on the bill, particu- larly to make immediately available the so-called “seed loans” money, which members have been urging. ' Awards Cover 2,300 Acres. A total of $1,091,238 would be pro- vided to satisfy condemnation awards for 2,300 acres already obtained in the vicinity of Fort Kamehameha, Hawaii. It was disclosed at hearings by Maj. Gen. L. H. Bash, Army quartermaster general, that the site was needed be- cause it was suitable for the “new-tvpe bombers” it was “‘understood” were to be stationed there. Conceding an error in judgment in slashing Coast Guard funds for 1935, the committee allowed $1,332,504 for repair of vessels, purchase of fuel and other expenses incident to keeping the fleet active against smuggling op- erations estimated to be losing the Treasury $50,000,000 to $60,000,000 & year. For final settlement of the noted I'm Alone case, the bill would pro- vide $50,666.50—$25,000 to the govern- ment of Canada “for the wrong done that government by the firing upon and sinking of & Oanadian vessel” and $25,666.50 to pay members of the crew. $110,000 for Commission. The Federal Trade Commission was allowed $110.000 for investigations until next June 30. The budget recommended that amount for con- tinuing the milk-shed inquiry, but the commission pleaded that with such restrictions, it could not go ahead with its utilities study. The bill imposed 1o limits on the use of the money. ‘The Veterans’ Administration drew $94,650.000 to take care of widows | and children’s pensions and other more liberal compensation under laws passed last session. Of this, $36,- 326472 was for Spanish-American War veterans, $53,798,146 for World War compensation purposes, $3,123,323 for wars prior to 1898 and $1,394,006 for peace-time service. Other items in the measure included: For the new Archives Building, $75.000 for this year and $400,000 for next. Government exhibits in the Califor- nia Pacific International Exposition, $350,000. Salaries and other expenses of the high commissioner to the Philippines after the constitution is adopted, $165,000. Drills to Be Increased. To increase Naval Reserve and militia drills from 36 to 48 a year, $175,000. For drafting rules of practice for | Federal courts, $40,000. United States participation in the narcotics limitation agreement, $12,- 086. Forest Service, $2,348,000 for this year because “the past year was the most difficult one in the national forests due to drought conditions.” | Post Office Department, $3.049,000 | to cover increased personnel expenses. War Department deficiency for in- i creased travel and forage costs, $6,- | 683,124, The measure also would reappro- ipriate $200,000 for participation in the coming international naval con- ference, the general disarmament conference and the international monetary and economic conference. - . BAND CONCERTS. the United States Soldiers’ | Home Band Orchestra in Stanley Hall | this evening at 5:30 o'clock. John 8. M. Zimmermann, bandmaster; By " | Anton Pointner, assistant leader. | March, glieri) Overture, “Morning, | Night in Vienna” ... | Suite d' orchestra, “S tiques” .. - “In the Woods “In the Mountains.” “In the Village.” | Bcenes from comic opera, | _caccio” | Chinese one (Bersa- Eilenberg Noon and .... Buppe cenes Poe- ......Godard “Italian Riflemen” “Boc- i R step, “Ching-Ling-Ting" | Cebb | Valse intermezzo, “Springtime.” | Drumm | Finale, “Salute to Williamsport.* Vandersioot | “The Star Spangled Banner.” | By the United States Navy Band Orchestra this evening at 8 o'clock in | the Navy Yard Sail Loft. Lieut. Charles Benter, leader; Alexander | Morris, assistant leader. Overture, “Der Freischutz.” Von Weber Selections, “Eileen” ........ Herbert Nocturne No. 3, “Liebestraume.” | _ (“Dreams of Love”) ... .. Lisgt Fantasia, “Boris Godounow.’ Mussorgsky Jarnefelt | “Praeludium” . Suite de ballet, “Carnival March.” “Harlequin and Columbine.” “Anties of the Clowns.” “The Mandolin Serenaders.” “Grand Parade.” “Valse (Opus 64, No. 2)” ....Chopin “Bacchanale,” from “Samson and Delilah” .....Saint-Saens “The Star Spangled Banner.” The Evening Star Offers Its Readers This Worth-While BOOK It explains the permanent departments of the Federal Government and the Alphabet reaus of the New Deal, Every American should vead it. Order today. e Ovder Form = == !Iluu cesen | s . . sesesesessncnscss. SALO .00 e e e e e e e e e o e