Evening Star Newspaper, March 13, 1935, Page 2

A—2 == PRIEST DISPUTED ON BARUCH STORY Writer Holds Coughlin Mis- represented Capitalist’s Attitude in Speech. BY DAVID LAWRENCE. Father Coughlin's denunciation of Gen. Johnson was very much like Gen. Johnson's denunciation of Fath- er Coughlin—a series of charges eriticizing motives and appealing to emotions and prejudice. Debate on public affairs of vital moment to the Nation is needed, but these personal attacks have obscured | it and developed instead an anger and indignation on the part of the princi- pals in the controversy over the air which has not cleared up either the future of our banking system or the redistribution of wealth or income. Regrettable, too, is the unjust at- tack by Father Coughlin on a man who had no more to do with influenc- ing Gen. Johnson’s policies in the N. R. A. than did Father Coughlin himself. The assertion, made time | and time again in Father Coughlin’s | speech, that Bernard M. Baruch was responsible for Gen. Johnson's pol- icies and views has no basis in fact. Baruch Not Consulted. Almost everybodv in Washington who knew of the circumstances sur- rounding the selection of Gen. John- son by President Rcosevelt and of the subsequent administration of the N. R. A. by Gen. Johnson knows that Mr. Barucn net only had absolutely nothing to do with the original selec- tion, but was not consulted on N R. A. policies by Gen. Johnson. It is true that Gen. Johnson was associated with Mr. Baruch before he went into the N. R. A. But the buiden of Father Coughlin's attack was that Gen. Johnson in public office was the tool of Mr. Baruch ard that the 1adio speech made by the general was a re- flection of Mr. Baruch's views. The facts now revealed are that Mr. Baruch was one of those who counselled against the Johnson out- burst. What is even more important is that the Roosevelt administration did not intrust to Gen. Johnson the making of banking policies or any- thing that remotely related o the “money-changers in the temple.’ Row Becomes Personal. It is plain that Father Coughlin was irritated by the Johnson attack and made the same mistake that is often made in debate—he looked about for a basis of personal reply and hit upon the idea of tying up Mr. Baruch with Gen. Johnson. Mr. Baruch was the trusted adviser of President Wilson. Indeed, he at one time offered Mr. Baruch the sec- retaryship of the Treasury. During the war, Mr. Baruch was chairman of the all-important War Industries Board. He has been consulted by Re- publican as well as Democratic Presi- dents. He was one of the first public men in the post-war period to recog- nize the importance of bringing & greater return to the farmers of Amer- ica. He has steadfastly refused to become involved in any current bank- ing legislation or in any questions that affected businesses in which he might be an investor. As a matter of fact, Mr. Baruch retired some time ago from active business and finance. In spite of these facts, the impres- sion given the millions of persons in the radio audience was that Father Coughlin was inveighing against Mr. Baruch as the sponsor of Gen. Johnson. Coughlin “Ill-Informed.” With Father Coughlin so {ll-in- formed on a point which is cotnmon knowledge in the National Capital and really easy to verify, questions will arise whether the eminent priest is as careful with other statements that he utters. For example, the charge that banks make $60,000 on $100,000 of de- posits by turning money over and over at 6 per cent is made without regard to the losses sustained by banks. If banking is as profitable as Father Coughlin says it is, then there should have been no losses in the banks that were closed in the bank holiday, and today banks should be among our gilt- edged investments, when, as a matter of fact, the earnings of banks since the 1929 crash have been notoriously low in comparison with other enterprises. Discussion of Issues Needed. What the people would like from Father Coughlin and Gen. Johnson and any other protagonists who have the public eye or the public ear is a frank discussion of issues and not persons. ‘The Detroit clergyman has the right to speak as much as anybody else and to engage in politics if he wishes—there’s no law against it, though citizens may differ ameg themselves as to its wisdom or pro- priety—but the public understanding will be more advanced by a higher plane of debate, with more informa- tion and less invective. Otherwise, the Pittsburgh promoter who offered a purse for a six-round bout between Senator Long and Gen. Johnson will seem to be the person really possessed of logic, as well as a proper sense of values. (Copyright. 1935.) HUBERT D. STEPHENS NEW R. F. C. DIRECTOR Former Senator From Mississippi Will Serve Unexpired Term of Harvey Couch. Former Senator Hubert D. Stephens of Mississippi, who was defeated for re-election last November by Senator Bilbo, today was nominated by Pres- ident Roosevelt to be a member of the board of directors of the Recun- struction Finance Corp. Stephens was given this $10.000-a- year Government post to fill the un- expired portion of Harvey C. Couch’s two-year term. It will expire January 22, next. At the same time the President filled another vacancy on the board of directors caused by the death of John J. Blaine, former Wisconsin Senator. He appointed Charles T. Fisher, jr., of Michigan, whose term also will expire January 22, next. e BYRD PARTY SAILS Explorer to Leave New Zealand for U. 8. Friday. DUNEDIN, New Zealand, March 13 () —The Bear of Oakland and the Jacob Ruppert, ships of Admiral Rich- ard E. Byrd’s second Antarctic ex- pedition, sailed today, homeward bound for the United States. - Admiral Byrd boarded a train at the same time for Wellington, whence he will sail Friday on the 8. 8. Rane itikl. 14 What’s What Behind News In Capital Morgenthau’s Gold Trick Held Only Old Girl-Sawing Act. ] The New Deal's severest monetary critic, Senator Thomas, leaped from his seat to cheer it. Apparently he thought it was the old paper stunt in which the magician tears up a small piece of paper and then throws out buckets full of con- fetti money. The conservative critics applaud- ed it just as much, on the opposite assumption that it was the old il- lusion trick designed to make the inflationists believe they sce money which isn't. Those who have studied New Deal legerdemain from a& less partisan standpoint were inclined to believe it was neither. They knew very well that it was the old girl-sawing act. Mr. Morgenthau was merely cutting the gold-girl up without hurting her. And the conclusion is inescapable that Senator Thomas will not get the best portion. BY PAUL MALLON. HERE seems to be some con- fusion about Mr. Morgenthau's new gold profii trick. The confusion seems to have re- sulted at least partially from the fact that Senator Thomas apparently was taken backstage beforehand. Some of Mr. Morgenthau's assistants 'are ‘supposed to have pointed out the in- flationary possibilities, That is why Mr. Thomas was all ready with his applause as soon as the announce- ment was made. The New Dealers are supposed to have especially desired such a reac- tion, not only to keep the inflation= ists in Congress quiet, but to shake the stock market out of its sound sleep. The market has been snooz- ing lately in utter disregard of in= flationary possibilities. You may consider it highly signifi- cant that the market went right on snoozing the first day after hearing of the new trick and the Thomas cheer. $642,000,000 Debt Retired. The simple fact is that Mr. Morgen- thau sawed off $642,000.000 of his $2,812,000,000 gold profit and used it to retire that insignificant portion of the public debt. The rest of the hocus-pocus was all frill. further centralizing of money control in Federal Reserve by limiting the currency-issuing possibilities of na- working for months toward a central bapk in the Federal Reserve without designating it as such. This helped that cause along. It is true some additional money could possidbly be issued, and prob- ably a little will be. But the cur- rency angle of the thing is wholly show. You may be sure that the new issues, when and if made, will not be sufficient to cause monetary inflation. The thing to remember is that | the big share of Mr. Morgenthau's | 8old profit is tied up in the stabiliza- | tion fund for more than a year yet. He will use it in a year or so, just as he used the $642.000.000 portion of it, to retire debt. That has been expected from the beginning. For the time being, the inflation of Senator Thomas is probably as im- portant as any other inflation. That is what makes it a perfect trick. A confldential letter written by & cabinet officer is being sent around privately by New Dealers to some of the most influential business leaders. It contains eight pages (business letter size, of single-spaced typewritten con- clusions calculated to clear up uncer- tainty rooted in some business minds. While much of it is familiar New Deal argument, some portions of it offer more definite promises than the New Dealers have chosen to offer pub- licly. For instance, it assures business men that no new or additional Federal taxes are now contemplated or likely to be proposed “unless some action of the Congress, like the passage of & cash bonus, will necessitate” extra- budgetary expenditures. Written Two Months Ago. The letter is marked “for informa- tion only and not for release or pub- lication.” It was originally written two months ago, but recently mimeo- graphed copies have been made by the Government for private distribution. One of the most important phases of it is its hint as to what to expect on New Deal labor policy. “We may reasonably judge the Juture developments in constructive industrial regulation on the basis of Australia’s demonstrated experi- ence,” it says. “Australia has ap- plied the principle of industrial regulation by nfeans of fized wages and hours of work. The experience of 20 years shows that the code principle has not interfered with private initiative unduly and cer= tainly has not ruined private busi- nesses.” The cabinet officer says quite plainly that the scarcity doctrine of the A. A, A. was “a temporary expedient.” He says he sees “no reason for any American citizen having the slightest fear that Government competition is going to destroy good utility opera- tions founded on real cash invest- ments.” He implies Mr. Roosevelt will veto the bonus, and concludes with & significant warning that the President is trying to take economic forces in hand reasonably “before it is too late for the forces of reason to be effective.” Canadian in Steel Group. A Canadian citizen is a member of the Steel Code Authority under N. R. A., which may be a good thing, as sev- eral domestic citizens have not proved themselves efficient in settling that situation, One reason why the oppressed N. R. A. is getting some sympathy from une business quarters is that its death would probably cause adop- tion of the 30-hour week at this ses- sion of Congress. Lawyers associated with the Income Tax Bureau under Andrew Mellon say he instructed them to resolve any » L] The most important frill was the | tional banks. The New Deal has been | THE EVENING STAR, BONUS BILL AGTI0 DELAYED BY HOUSE Rules Committee Told Presi- dent Will Veto Measure as Proposed. By the Assoclated Press. A tangle over procedure precipitated & decision today to delay until next week House consideration oi bonus payment legislation. After his Rules Committee heard numerous pleas for and against per- mitting the House to choose directly between the Vinson and Patman bills, Chairman O'Connor said on the floor that the situation would “prevent con- sideration of the bills before next week."” Earller in the day, leaders had re- {terated their previous intention to bring the bills out on the floor for dis- cussion tomorrow and for a final vote next week. Veto Is Predicted. The committee heard predictions that the President would approve -:fillther the Vinson nor the Patman s. Representatives Andrews, Republic- an, of New York, and Cochran, Dem- ocrat, of Missouri, were forecasters of a presidential veto. The latter re- marked: “I do not want to deceive the vet- erans. When either the Vinson bill or | the Patman bill reaches the White | House the veterans will be disap- pointed. ‘The veterans have been led to be- lieve they are going to get their | money. I do not think any kind of bill | would bcome a law over the Presi- dent’s veto.” | Meanwhile, another compromise | plan was advanced as the Rules Com- | mittee prepared to decide the troublous | | problem of how to let the House | choose between the Patman and Vin- | son bills. Measure Like Tydings'. Representative McReynolds, Demo- crat, of Tennessee, generally recog- nized as a “down-the-line” adminis- tration man, introduced the compro- mise proposal. He denied it was an administration bill. But it was known | that his measure, like that introduced | by Senator Tydings, Democrat, of Maryland, had been discussed with officials of the Veterans' Administra- tion. Some members, therefore, feit that the Tydings-McReynolds plan might be the sompromise agreed upon after, and if, the House and Senate passed & cash-payment bill and it was vetoed, The Rules Committee is to decide how to get both the Vinson and the Patman bills before the House without giving either a strategic advantage. The first, approved by the Ways and ‘Meana Committee, does not specify how the money should be raised to pay the $2,000,000,000 bonus. The sec- ond, rejected by the Ways and Means Committee, would call for the issuance | | of new currency. Both would pay, now, the full face value of adjusted compensation cer- tificates. But the Tydings-McReynolds bill would swap negotiable Govern- ment bonds for the certificates. 1f a veteran held the bond until 1945 he | would get the full face value of his certificates. If the bonds were sold now he would not. CENSUS ADDS 500 TEMPORARY FORCE Employes Will Handle Agricul-| tural Tabulations—Peak to Be 1,800. About 500 persons have been added to temporary employment rolis of the Census Bureau to handle tabluation of the agricultural census, it was said today. The peak of this tem- porary employment, about 1800, probably will be reached ‘in April and May, according to William L. Austin, director of the bureau. and new ap- pointments will cease June 1. The new employes are being taken entirely from civil service registry lists, Austin said, the requirements being that they must have passed their civil service exarginations, must have had at least six months’ exper- ience in Census Bureau work, and must have had a good working record during that time. ‘The census, authorized by Congress last Spring, has given employment to about 26,000 enumeraters in the field, these having been active since Jan- uary 2. Early returns, concerned with farms of three or more acres or ones which produced more than $250 in agricultural products in 1934, indi- cate some population movement from urban centers back to the farms. AIRPORTS ALLOWED IN PACIFIC ISLANDS Swanson Permits Pan-American Firm to Advance Trans- oceanic Plans. By the Assoclated Press. Secretary Swanson today issued permits to Pan-American Airways for construction of landing facilities on three islands for its projected Pacific | taxed. passenger line. The islands are Guam, Midway and Wake Islands. Swanson sald the permiis author- ized Pan-American to construct hangars, radio beacons and everything “in an airport.” No other company can use Pan- American’s facilities, but the Navy re- served the right to issue permits to other applicants, ‘The Navy reserved the right to re- voke the permit and take over facili- ties “in an emergency.” Swanson disclosed that another group had begun informal discussions locking to issuance of permits for another line, but declined to name it. Pan-American’s supply ship now is on the West Coast ready to leave for preliminary construction work on the islands, Gold Mining Spurred. Nearly 50 gold mines were started or reopened in Canada in the last year., doubtful cases involving his firms favor of the Government. . A city official appearing before N. R. A. uttered this criticism which now is being widely quoted: “What used to be known as a combination in re- straint of trade is now known as a code authority.” (ertlgfi, 1938, ? loflfi‘flfiflun “L& Like Gibraltar BUT THE OLD ROCK IS NOT WHAT IT USED TO BE. SHINGTON, | | A serles of action pictures of Secretary Ickes, taken yesterday when reporters questioned him about the abandonment of the ad- ministration’s attempt to oust Robert Moses as a member of the New York Bridge Authority. —A. P. Photos. STEEL TESTIMONY WEARIES MELLON Quits Tax Hearing as Mc- Clintic-Marshall Deal Is Traced. By the Assoclated Press. PITTSBURGH, March 13.—The| manifold technical details of how Bethlehem Steel took over the big Mc- Clintic-Marshall steel fabricating firm | apparently holds little interest for An- drew W. Mellon, because he passed up much of that testimony to get in a little work at his office. An attentive listener to most of the testimony involving the Internal Rev- enues Bureau's claim he should pay | $3.089.000 extra on his 1931 income | tax, Mellon has been at almost every | session, despite a cold which has| troubled him some. However, after a few minutes of hearing F. R. Shearer. Government | accountant, cross-question Earle J. Patterson, former McClintic-Marshall secretary-treasurer, Mellon quietly walked out. Interest Retained. The former Treasury Secretary’s in- | terest in the case as a whole shows no sign of lessening, however, and he has said of the Government's claim that he would “rather spend the rest of my days in jail than submit to such tyranny.” Shearer today took Patterson over more and more technical grcund in attempting to prove the Government | contention that Mellon profited by at least $6,000,000 when Bethlehem took | over the fabricating firm and that he | should pay $1,000,000 more tax on the deal than he actually did. Frank J. Hogan, Mellen's counsel, insists tax should have been paid only on the $1.830,000 reported by Mellon, as the rest was non-taxable, as actual cash was not involved. Holding Company Cited. Shearer drew from Patterson testi- mony that while the proposed merger of the $65,000,000 McClintic-Marshall was pending, it was decided to place in one holding company—the newly formed the Union Tonstruction Co.— | assets of a $44,000000 book value which Bethlehem did not want. McClintic-Marshall was formed in | 1900, with backing by A. W. Mellon | and his brother, the late R. B. Mellon. | Patterson also testified to a number of meetings, in which subsidiaries of McClintic-Marshall were ordered liquidated prior to the alleged merger. The Government claims there was no | merger, but an qutright sale of se- curities to Bethlehem and, therefore. a transaction which should have been | LEWIS BROWNE TO TALK Lewis Browne, nationally known au- thor and lecturer, will speak at 8:15 p.m. next Tuesday before the National Jewish Forum in the Jewish Com- munity Center. His lecture will con- sist of an analysis of Jewish problems. Other events scheduled at the center include the Purim Festival for chil- dren next Tuesday afternoon, a talk by Maj. Charles Moore on modern lit- erature Wednesday, March 20, and an | illustrated talk on Palestinian music by Rabbi Theodore Gordon of Balti- | Carolina, |STRIKE IN PAC | representative of Gov. D. C, COTTON‘GRANARY' PLAN CONSIDERED May Prove Government’s Answer to Recent Break in Market. Resort to the “ever normal granary” idea to prevent future breaks in the cotton market appeared possible to- day as Department of Agriculture officials held to their silence on Mon- day’s New Orleans market break that drove the cotton price down $5.95 a bale. ‘The Government's holding or pro- spective holding of 4,691,858 bales of the 11,901,000 bales in the United States represents an ample accumula- tion for the granary experiment, which has as its aim further produc- tion decrease, sharp reduction of the surplus and a rising price. ‘The cotton program, first commodity dealt with in the agricultural adjust- ment move, is definitely running into | difficulties, officials declare, although | they lay the market slump to “techni- cal weakness” and speculative activity. President Is Silent. At his press conference today Presi- dent Roosevelt declined to comment on the collapse in the cotton market, but indicated the administration was continuing its policy of gradual liqui- | dation of the surplus. He recalled past policy statements which provided for control of produc- tion and gradual elimination of the carryover. It was generally assumed the Gov- ernment would continue cotton loans, although the President did not discuss this phase. Meanwhile, Senator Smith of South chairman of the Senate Agriculture Committee, asserted flatly that the Government's 12-cent cotton loan would be renewed to stabilize the widely fluctuating market. Chester C. Davis, agriculture ad- justment administrator, met this pre- diction with: “There is no immediate change contemplated in the Government's cotton policy.” Announcements Withheld. The Commodity Credit Administra- tion, which makes the cotton loans, has adopted the policy of withholding loan announcements until the crop is in. Officials declared announcement now of a guarantee of continuing loans would undoubtedly have the effect of stimulating production this year. Under the “ever normal granary” plan, cotton which may come into the Commodity Credit Corp.'s hands if outstanding loans are not paid, would be purchased by the A. A. A from its processing tax funds and this would be returned to the pro- ducer as a “payment in kind” for a ( KING HOUSE IS SETTLED Agreement Ends Dispute—Thirty to Be Discharged Under Terms. | By the Associated Press. SIOUX FALLS, 8. Dak., March 13 —Sioux Falls' packing house strike, which has kept nearly 1,500 men idle since Saturday, ended today in a com- promise agreement reached at a con- ference called by a representative of Gov. Tom Berry. Packing house officials and union men approved the agreement this morning, after George Philip, personal Berry, had called the opposing factions into con- ference shortly before midnight. The settlement will mean discharge of 30 men. supposedly union leaders, but they will have the right to appeal to the Regional Labor Relations Board at Minneapolis, which may order their reinstatement. Seniority rights, disagreement over which precipitated the trouble, will be established by a vote of the entire plant perscnnel within 60 days. FISH'S CONFESSION ADMITTED IN TRIAL Defense in Grace Budd Murder Case Believes It Will Aid Insanity Plea. By the Assoctated Press. WHITE PLAINS, N. Y, March 13.—Albert Fish's confession that he strangled 10-year-old Grace Budd and then chopped up her body will be introduced in his murder trial to- day at the demand of his own counsel. James Dempsey, jr., defense attor- ney. insisted on its introduction yes- terday, shortly before the jury was locked up for the night. Dempsey. who described the con- fession as lurid, wanted it in the rec- ord to bolster the defense contention that Fish is insane. It will join among the exhibits the letter which led to the 65-year-old house painter's arrest, 2 missive which taunted the dead child’s parents and told of can- nibalism. Five of Fish’s six children were in court yesterday when Mr. and Mrs. Albert Budd, parents of the dead girl; Edward Budd, her brother, and William Korman, a friend of the youth, identified Fish as the man who took Grace from their New York home fotl; L3 ';l;lrty" in 1928, Detective Willlam F. King of New York Missing Pemm‘ Bur:uhl: told how he had followed Fish for six years, finally arresting him last De- more on Thursday, April 4. cember after tracing the letter. The Evening Qla;- Offers Its Readers This Worth-While BOOK at The Evening Star Business Office. or by mail, postpaid It explains the permanent departments of the Federal Government and the Alphabet Bureaus of the New Degl, Every American should read it. Order today. i i-————— Order Form WEDNESDAY, MARCH 13, 1935. U. S. Plans Hearing on Move To Deport John Noted English Writer and ‘Peddler of Marxism’ Must Leave. ‘British Embassy Has No Information on Critic of Capitalism. By the Asscciated Presi. day a deportation hearing probably | lecturer, who was arrested there last night charged with being an alien Communist. The proceedings will be held before the Chicago immigrant inspector. His findings will be forwarded to the Board of Review in Washington. If the board decides Strachey is guilty, it will order his deportation, for which no court action is necessary. Visa Still Good. Strachey still has four months re- maining under his visitor's visa to the United States. Moving today to deport Strachey, the Government enunciated the prin- ciple that any alien who advocates the principles of Communism must be ex- pelled from the country. While denying that the arrest was the beginning of a concerted drive Labor Department officials sald to- | would be held tomorrow in Chicago | for John Strachey, British writer and | member of a famous British family, | Strachey as Red EVELYN JOHN STRACHEY. Copyright, A. }: Wi photo. | Strachey has found himself “a spot | tion authorities and no one seemed | greatly concerned in claiming him for themselves. of the British Fascists, who are led | sured the world that Strechey was unot a Fascist, but she asserted that | he is “positively a Communist.” held that court decisions made it mandatory to deport alien Communists or foreigners who advocate Com- munism. The order for the arrest of the noted interpreter of Marxism came at a time when his books—in which he pirtures a world facing the alternatives of bar- barism or Communism—were bein, sold widly throughout the country. Book store clerks here said they were going fast. Both “The Nature of Capitalist Crisis” and a previous work, “The Coming Struggle for Power” have been reviewed widely in :adical publications and in what Communists term the “capitalistic press.” Lectures in U. S. ‘The young writer, who is a nechew of the late Lytton Strachey, biogra- pher, and son of the late John St. Ioe Strachey, long time conservative editor of the Londcn Spectator, has been writing for thc New Masses and other publications as well as sectur- ing in the United States. “In one of .hesz publications,” said a statement issued by Immigration Commissioner D. W. MacCormack, “he uses the term ‘We Communists’ and in another refers to himself as a ‘Com- munist drummer’ in these words: “‘A Communist drummer, for that is what I am at the moment, peddling Marxism instead of pink pills. He concludes this article with the state- ment, “The Communist party has im- mense opportunities in front of it; but it will need the most consummate political skill to seize its opportunities to the full.” MacCormack held these statements were “obviously irconsistent” with Strachey's negative replies to immi- gration authorities who asked him whether he advocated or believed in the overthrow of the United Stal Governmant by force. : Inconsistency Seen. “Had he given frank answers to the questions put to him and disclosed his political views at the consulate in London or on his arrival at New York,” MacCormack said, “the situa- tion which he has now brought about could have been averted.” The British Embassy, so far as was known, had made no immediate move in the case today. Inquiries there last night brought the reply that there was no information on the case Strachey Las attrcked both Fascism and the “capitalist economists” and has criticized the New Deal. He holds that the aim of the Roosevelt ad- ministration is to restore profits and that it is doing so through a process which raises prices faster than wages. Discussing the views of “capitalist” economists in “The Nature of Capi- talist Crisis,” he contends they went wrong by discarding the “labor theory of value” held by Ricardo and other economists of the old classical school. Karl Marx stuck to and developed this theory—which declares that it is labor alone which gives value to commodi- ties and that the value is determined by the amount of “socially necessary” labor embodied in the commodities. Strachey contends the hope of the | world lies in production for use rather | than for profits. MacCormack's statement said the author had obtained a visitor’s visa at | the American consulate general's office in London on December 6, last. He arrived in New York December 25, the commissioner added. MacCormack said he had received complaints leading to an investigation of his activities and his writings in this country. MAKES BOND, LEAVES. Author Continues on Lecture Tour After Being Freed. CHICAGO, March 13 (#).—Free on $500 bond, Evelyn John St. Loe Strachey, British author and former member of Parliament who was ar- rested last night on charges of illegal entry, was on his way to Cleveland today to continue his lecturing tour. Strachey's freedom was obtained by a Liberty bond furnished by Prof. Robert Morss Lovett, 65-year-old Lib- eral editor and teacher. “The charges against me are abso- lutely false” Strachey said as he boarded the train after posting bond at immigration headquarters. “I will fight them to the last ditch.” “Absurd” was the way Strachey de- scribed the charge after he had been arrested by Schlotfeldt and police in suburban Glencoe last night when he concluded an address at & Jewish | Temple. He was quoted as advocating the overthrow of the capitalistic sys- tem. Not a Member of Party. “The charge as read to me in the‘ warrant is absurd,” he asserted. “I am not a member of the Communist party and, therefore, I will firmly deny that I entered the country through any misstatements. I have never advocated the overthrow of the United States Government by force or violence. “I never advocate anything. All the political talking I do, I do in my own country, Great Britain. Here Ameri- can citizens invite me to lecture to them on the politics and economics of the day from the informative stand- point and not from a matter of po- litical beliefs.” DISOWNED IN LONDON. Political Groups Deny Author Is a Member. LONDON, March 13 (/).—Socialists, Communists and Fascists all jomed today in disowning handsome young Evelyn John St. Loe Strachey, ar- rested in Chicago on charges of en- tering the United Staies by making false statements. As one newspaper headline said, | 4 against radicals, the Labor Department | “That is the way,” she opined, | “those young men who are raised as gentlemen and given Oxford and Eton training usually turn out. He claims to be a friend of my son, but he has done everything he can, to- gether with every other Communist, “w break up my son's political meet- | in| . CTY MARAGER LANSEXPLANED Carruthers Outlines New (4 Proposal to Burleith Citizens’ Group. ! A proposed new governmental set-up for the District which would combine many features of the city-manager form of government was outlined be- | fore the Burleith Citizens' Association last night by L. A. Carruthers, presi | dent of the Forest Hills Citizens’ Asso- ciation and vice president of the Fed- eration of Citizens’ Associations. The plan calls for national representation. | While a brief introduction of the plan was made recently in a radio ad- dress by Carruthers, the details have just been completed, he said. He as- serted that he did not agree in many respects with the tentative plan under | | consideration by the Federation of Citizens’ Associations. Under the Carruthers plan, there | would be a city council of nine mem- | bers who must have been residents of the District five years prior to election. To be eligible to vote. one would have | to be a bona fide resident of the Dis- | trict for at least one year. ‘The federation plan proposes that | only natives of the District shall hold | local office, Carruthers explained. The | council term would be four years and | the head would be known as “mayor.” | Would Elect Manager. The council would elect a city man- |a¢er for the District who would have | the power to appoint all heads of de- | partments and bureaus and have gen- | eral supervision of the city. Together with the heads of departments, he would prepare the annual budget for approval by the council and submis- sion to the Budget Bureau. All loans would be subject to approval of Con- gress, All judges of primary or secondary courts either would be elected by popular vote or be appointed by the council, while judges of the higher courts would be appointed by the | President, as at present, A further recommendation is that the charter providing for home rule include the provisions of initiative, referendum and recall, so a small, disgruntled minority could not force an election. The civil service rule would be employed in the selection of District employes and all employes, with the exception of the city man- ager and the judges of the higher courts, would be required to be boha fide residents of the District. Asks Fund for Hospital. Acting upon a request by Children's Hospital, which pointed out that it faced a deficit, the association adopted a resclution asking that a deficiency bill of $1502040 be passed imme- diately. The resolution also urged that adequate appropriations for the purpose be made in the future and that the per capita allowance for pa- tients be not reduced. Upon the recommendation of the Cathedral Heights - Cleveland Park Citizens’ Association, the Burleith group passed a resolution favoring a future policy of selecting for local office only such persons as are bona fide residents of the District. U. S. SERVICES OFFERED IN NEWSPAPER STRIKE Miss Perkins Says Government Is Ready to Mediate in Newark Case. By the Associated Press. At the request of President Roose- velt, Secretary Perkins has offered { Federal mediation to both sides in the strike of the Newark, N. J, Ledger. A group of editorial employes of the paper, supported by the News- paper Guild, have been on strike for several months, A State court re- cently enjoined the reporters from picketing in an injunction which also prohibited their use of the radio. Mediation was said to be the only course open to the Federal Govern- ment in the case. —_— FOOD PRICES HIGHER An Increase in retail food prices during the last two weeks of February was reported yesterday by the Labor Departmen. The amount of food which cost $1.22 the first two weeks of the month cost $1.223 during the last two. That same amount cost $1.08 & year ago and 90 cents two years ago. Courageous Pilots Paid. Three pilots who went aboard and beached the Greek steamer , Tsiro- pinas when she was sinking after a collision in Bristol Channel, in Eng- land, have been awarded $3,250 by the British admiralty. ? | of bother” to United States immigra- | Lady Mosley, “the dowager queen"” | by her son, Sir Oswald, not only es- | QUIET ISRESTORED INHAVANA STRIKE Curfew Law Forces All Citi- zens Inside at Night. Arrests Made. (Copyright, 1935, by the Assoctated Press ) HAVANA, March 13.—Police and soldiers arrested and jailed treasury department employes today as Havana, under severe martial law, -egained something of the appearance of normal lite. Under threats of arrest, many gov- ernment employes who had boen on strike returned to work and street car nng bus traffic increased. overnment officials said the; e lieved the strike was broken. o A drastic curfew law was enforced after the outbreak of violence in which 24 were injured. The government expressed confi- dence today would see the final col- lapse of the movement against Presie dent Carlos Mendieta's regime and that railroads and mail service would be in operation again by nightfall. Curfew Law Enforced. Col. Jose Pedraza, military gov- ernor of Havana Province, invoked the 9 pm. curfew law yesterday to check the tide of terrorism. { Announcement of the edict was fol- | lowed by a terrific eruption of shoot- ing and bombing. Then followed hours of desolate silence during which not .nore than 100 of the city’s 600,- 000 residents appeared on the streets. The early evening terrorism started with the explosion of a bomb in a telephone manhole. The blast wound- ed a policeman. Another explosion in a street car injured one of the | two army operators. Twenty-Two Hurt. Twenty-two other persons were wounded by explosions in various sece tions of the city. The body of an unidentified man, | bearing eight bullet wounds, was found |in the suburbs. The finding of the body brought the last three days’ | death toll from violence attending the | anti-government agitation to 13. Soldiers and police sped about the | city with sub-machine guns, rifes and | pistols spitting lead as they strove to make the curfew order effective. Eventually the authorities’ eam- paign to give Cuba’s capital a trane quil night produced results. ATTORNEY REVEALS FEES BY GANGSTER Lawyer Says Duffy Posted $100 Weekly Retainer to Avoid “Mulcting.” By the Associated Press. PHILADELPHIA, March 13.—A | lawyer’s testimony that “Mickey” Duffy, slain gang chief. paid him $100 a week to represent friends in court | yesterday marked the close of the first phase of the Philadelphia Bar As- | sociation’s inquiry into alleged links | between gangdom and members of the bar. | " Arthur Werblun, one of eight at- | torneys cited for “unprofessional con- | duct,” said Duffy paid the money “not | to care for underlings” but to avoid | being “mulcted” by a “lot of people.” ‘Werblun testified in his own defense at a hearing before the five president judges of the county courts. Not & ‘(‘nmlnsl proceeding, the inquiry re- | sulted from a court order to show | why the eight attorneys should not | be disciplined. | Asked why the firm's books did not | show the Duffy payments, Werblun | said that during a fit of anger he | tore out the pages. 'KIN TO BE HONOR GUEST AT JACKSON SERVICES Women's Democratic Educational Council to Hold Memorial Services on Friday. Mrs. Florence Jackson Stoddard, great-grandniece of President Jack- son, will be guest of honor Friday at the Women's Democratic Educa- tional Council's memorial services in memory of the 168th birthday of Jackson. A wreath will be placed at the base of the Jackson Statue in La- fayette Square and Representative Richards of South Carolina will speak. Next Monday Assistant Secretary of the Treasury Josephine Roche will speak to the council at its regular meeting at the Mayflower Hotel on “Child Welfare.” Mrs. Roosevelt will 'be guest of honor at a tea given by the council at the Mayflower next Tuesday. Congress in Brief TODAY. Senate. Considers $4,880,000,000 relief bill. Labor Committee hears Prancis Bid- dle on Wagner labor bill Finance Committee hears Donald R. Richberg on N. R. A. Munitions Committee questions Pat- rick J. Huriey. Finance Committee studies slip” income tax publicity bill. House. Debates bill. Rules Committee discusses rule for consideration of bonus. Banking Committee continues hear- ing on omnibus bank bill. Interstate Commerce Committee hears new testimony on holding com= pany regulation. Agriculture Committee farm mortgage legislation. Merchant Marine Committee hears new witnesses on safety at sea pro- gram. “pink deficiency appropriation considers YESTERDAY. Senate. Debated work-relief bill. Munitions Committee heard William B. Shearer denounce critics of big Navy as “anti-American.” Labor Committee heard Secretary Perkins say all labor problems should be kept in Labor Department. She opposed phases of Wagner bill. ° Finance Committee toid by Richberg all “service codes” should be aban- doned. House. Received President’s utilitles mes- sage. Passed H. O. L. C. extension bill, took up deficiency appropriation measure. Banking Committee continued om- nibus bank bill hearing. Interstate Commerce Committes L] took testimony on holding company ?N