Evening Star Newspaper, April 1, 1935, Page 3

THE EVENING STAR, WASHINGTON, D. C. 1 MMESTTANS [ peene 0D SHOOLS HELON ASSUNE LEAD FLYERS HERE College Aviators -Gathermg Here for First Annual Conference. Led by the University of Min- nesota, with a delegation of 17 mem- | bers of its 1934 championship flyinz‘K club, representatives of college mQ' university fiying clubs from all partsl of the country were assembling here| today for the first annual Intercol- legiate Flying Club Conference, to open tomorrow at the Lee House. The University of Minnesota, which won the Grover Loening Intercollegiate Flying Trophy last year, also hopes to win the conference prize for the larg- est delegation. Miss Jean Barnhill, only feminine member of the club, who came here a few months ago to receive the Loening Trophy for her club, did not accompany the group. Richard Jacobs, who, with Miss Barn- hill, attended the trophy presentation, is serving as a member of the Com- mittee on Organization. John Acker= man, head of the aeronautical en- gineering department of the Uni- versity of Minnesota, accompanied the club members. Women Flyers Arrive. Miss Mary Kimball, president of the Smith College Flying Club, only all-feminine group of college fivers. and Miss Annis Reed, a member of the club, are here to represent their club, Miss Kimball, who holds a pri- vate pilot's license, is a sister of Miss | Margaret Kimball, Boston transport pilot. The club shares a Taylor Cub! training airplane with the Amherst Flying Club. | R. E. Hiatt of the Purdue University | Flying Club is en route here from La- fayette, Ind., in the club's plane and; will be met by local aviation and college club officials on his arrival. Max W. Doman led a group of four | members of the William and Mary Flying Club from Williamsburg Va. This club finished second last year in the intercollegiate trophy competi- tion. Amherst Delegates Here. Delegates irom the Amherst club| arriving today iacluded Randall Ear-I ton, son of Bruce Barton; William| Crosby and Girvan Snider. Other | New England representatives on hand‘ include Thomas Foley of Dartmouth, John Howe of Norwich University, George Fox, 3d and A. W. Nelson of | Harvard and Henry R. Palmer, ir. of Brown, president of the New England Intercollegiate Fiying Club. Representatives of Southern and Midwestern colleges and from Penn-‘ sylvania and New York educational| institutions are on the way here. N. 1. Shapter and R. L. Auburn arrived by airline from the University of Michigan, Thomas Kelley and J. B. Simonds from the University of De- | troit and Kenncth Benson and Willis | Sperry from the University of Akron. Delegates alsc are en route from Princeton, New York University, Cor- nell, Virginia Military Instituie, the University of Pennsylvania and other colleges. The University of Maryland and George Washington University also will send a delegation. ‘The conference will open unofficially with a smokor and reception at 8 o'clock tonight at the National Aero- nautic Association headquarters, Du- pont circle. The Aero Club of Wash- ington will act as host to the visitors. Grover Loening to Speak. ‘The delegates will register at the Lee House, Fifteenth and L streets, between 8 and 9 am. tomorrow and the opening session will be called to order at 9:30 am. Addresses of wel- come will be made by representatives of the National Aeronautic Associ- ation, Army Air Corps, Navy Bureau of Aeronautics, Bureau of Air Com- merce, Aero Club of Washington and the Washington Air Derby Associ- ation. Grover Loening also will speak. The first business session, from 10 am. to noon tomorrow, will be fol- lowed by a luncheon at the Lee House. During the afternoon, the delegates will visit a display arranged by the National Advisory Committee for Aeronautics at the National Academy of Sciences and will inspect Bolling Field and the Anacostia Naval Air Station. They will be taken on a sightseeing tour as guests of the local derby association. Tomorrow’s pro- gram will close with a dinner and ball at the Shoreham Hotel. ‘Wednesday's program will include talks on the Commerce Department light airplane program, air mass weather forecasting and naval avi- ation, a second business session, at- tendance at a Rotary Club luncheon, inspection of the Smithsonian Insti- tution's aeronautical museum and a closing business session. e “TRUSTY” DRIVES OFF IN WARDEN’S AUTO Michigan Reformatory Head Is Searching for Chauffeur—Two Other Prisoners Captured. By the Associated Press. IONIA, Mich, April 1.—Warden Harry Jackson of the State Reforma- tory was Jooking for his “trusty” chauffeur last night, who drove off with the warden’s car after taking him across the State to a conference of penal officials at the State prison near Jackson. ‘The chauffeur, Charles Osborn, 26, 'was serving a term for forgery. Two other trusties of the reforma- tory, Roderick Welch and Kenneth Lake, escaped Saturday night, but were recaptured in a few hours. Welch made the mistake of trying to “thumb” a ride with Deputy Sherift Sylvester Dehn, who was out looking for him. Dehn obliged and gave Welch a ride back to the reformatory from which he had fled. Officers Euuh‘upwl'#d‘mawlushewu " & . - | Joseph W. Nicholson, Mlis MARY KIMBALL HOSE PRICE-FIXING CHARGE I3 HEARD {Finance Committee Is Told Evidence Uncovered by Trade Commission. A Federal Trade Commission at- torney told the Senate Finance Com- mittee today he had found price fixing on fire hose by the Rubber Manu- facturers' Association under N. R. A. Harry A. Babcock. the attorney, told the committee the price fixing was found as a result of a complaint by ! the city of Milwaukee that identical bids were submitted on fire hose. He said he found members of the association had fixed prices prior to the code, but “subsequent o the code the agreement was perfected and made 100 per cent.” Before Babcock took the stand Milwaukee’s purchasing agent, told the committee he had been unable to get competitive bids on fire hose under N. R. A. He | said one bidder who quoted a lower price than other bidders was unable to get the hose to deliver and Mil- waukee, defeated, had to pay the “trust price.” Nicholson recommended that and wages, with price fixing elim- |inated. He contended N. R. A. had ! Florida, the | 159,547, As an ex- | ‘eliminated many features for protection of the public.” ample, he said, the companies no longer gave a guarantee on the fire hose. Nicholson charged identical bids were submitted on many other prod- ucts purchased by Milwaukee, He also listed a number of other cities which had received identical bids on fire hose, including Los An- geles, New York. Dallas, Oklahoma Detroit, Flint, Portland, Oreg.; Chicago, San Francisco and Cincin- nati. Babcock said the price fixing dis- closed by his investigation was a vio- lation of the anti-trust laws and was | not permitted by the code. The code authority of the industry, he said, was made up entirely of rep- resentatives from the rubber asso- ciation. Babcock, testifying in reply to ques- tions by Senator Clark, Democrat, of Missouri, said the Trade Commission had expedited its inquiry into the fire | Cause it might prevent the use of hose charges. He said Milwaukee and Mayor La Guardia of New York City previously had protested to N. R. A. and no action had been taken. Testimony also showed New York City had repeatedly rejected identical bids on fire hose in an effort to get competitive bids. “Subsequent to when I deem the conspiracy entered,” Babcock said, “the price for New York was raised from 46 cents a foot to 84 cents.” Babcock submitted to the committee the report he made to the Federal commission recommending prosecu- tion of the case. He and his associate attorney, Al- bert G. Seidman, recommended in the conclusion of the report the is- suance of a formal complaint for violation of the anti-trust laws against the Rubber Manufacturers’ Association, the code authority of the industry; the mechanical divi sion code authority, J. H. Connors, H. N. Young, C. D. Garretson and others. He identified Connors as vice pres- ident of B. F. Goodrich & Co., Gar- retson as president of the Electric Hose & Rubber Co., and Young as an official of the Hamilton Rubber Manu- facturing Co. —_— Poultry Expert Dies. READING, Mass, April 1 (#).— Funeral services will be held here tomorrow for John Henry Robinson, 71, poultry expert and editor, who dled Saturday. He was editor of Farm and Poultry, associate editor of the Reliable Poultry Journal and Everybody's Poultry Magazine and was the author of several books on poultry. The New Package Fits Your Ice Box N. | with 443.395 pupils, Oklahoma, 340,- | R. A. jurisdiction be confined to hours | 809;.Texas, 300,584; Virginia, 229,413; | | ulative value. | fected by the financial emergency, MENACE 3,500,000 Education Report Looks to Work-Relief. Bill for Funds. Almost three and one half million children are faced this year with the prospect of closed schools or school terms curtailed through lack of funds, the Federal Office of Education re- | ported to relief and public works offi- | cials yesterday. A survey, not yet complete, shows 3,429,920 children, or approximately one-eighth of the Nation’s public school population, affected by the deficits in operating funds. Shortages total $31,816,000 and: are spread through 25 States, involving 42,000 schools and 102,116 teachers. The report, prepared by Howard A, Dawson, special consultant in school finance, was transmitted to Secrel of Interior Ickes and Federal Relief Administrator Hopkins. Work-Relief Bill Backed. Federal education officials said they are hopeful some relief may be ex- tended by the Government when the work-relief bill u passed. The survey is expected to be used as a guide for distribution of funds. “The emergency this year is fully as extensive as it was in 1933-34, al- though in many cases the same school | districts are not involved,” stated the report. Last year about $17,000,000 was provided by the Federal Emergency Relief Administration to pay teachers’ salaries and keep schools open. A breakdown of information con- tained in the report shows there are | no available funds to operate schools | in 467 school districts in eight States normally employing 1,745 teachers ane accommodating 57,090 pupils. Three-Month Lapse Seen, Unless additional funds are pro- | vided, the school term will be short- | ened three months on an average for | the three and one - half million | students. Rural schools reported without suffi- | cient funds for normal terms total 37,513, with 2,122,468 elementary pu- pils and 562,712 high school pupils. | There are 4,700 city or independent | schools with shortages. These have | 687,650 elementary pupils and 501,165 secondary pupils. | In point of number of pupils af- Alabama led with 519,145, closely fol- | lowed by Mississippi with 482,685. Other States hard hit included Ohio | Tennessee, 171,897, Arkansas, 171,654; 164,231, and West Virginia, NEW CONFERENCE ON WORKS-RELIEF SOUGHT IN HOUSE (Continued Prom First Page.) ment requiring Senate confirmation of persons chosen to handle the big fund, or any portion of it. It would apply to new employes receiving $5,000 a year or more. Speaker 3yrns, declining to con- firm or deny that he had direct word of the President's attitude, told news- paper men: “I feel very sure that the President is very much opposed to that Girect work requirement because he would rather have a free hand in the ex- penditure of the money and also be- money for worthy projects such as flood control. “I think his disapproval of the | confirmation requirement is mainly on | the ground of the delay it might cause.” Representative Tnylor. Democrat, of Colorado, acting Democratic floor leader, had .aid yesterday it would be “foolish” to “mess the bill up in delay” by sending it back to confer- ence. He said it would be easy to pass the measure “as is” and then alter it by idoption of a simple 1eso- lution. Ickes' protest against the stipula- tion that one-third of the $900,000,000 should be spent directly for wages was attacked by Republicans. They emphasized that the administration leaders had arnounced that the whole objective of the program was to take people off relief and give them jobs. Harry L. Hopkins, relief administra- tor, was back in the Capital waiting for final congressional action. He rode with the President to Florida last week to discuss details of the program. e SENATOR RECOVERS Mrs. Caraway Expected to Leave Hospital Wednesday. Senator Caraway, Democrat, of Arkansas, who has been ill in Emer- gency Hospital for about two weeks, today was expected to return to her home Wednesday. However, her sec- retary said she is not expected at her office before next Monday. 3 Mrs. Caraway was described as “much rested” and almost completely recovered. P Sh————S—SSE e AL P F I R LS SMALL'S HOME FLOWER MARKET Dupont Circle—1503 Connecticut Ave. SPECIAL! BLAME ON STAND Testifies Strange Income Tax Law Made Stock Deal Necessary. (Continued mm First Page.) back to my office and told Mr. Johnson I had sold this block of Pittsburgh Coal stock and asked him to take it to Mr. McEldowney.” Q. What did you say regarding a price? A. I said § was $500,000, and then I asked him to pay the sum of my note at the Union Trust. Previous testimony has shown Mel- lon owed $1,060,000 at the bank and that the $500,000 received from the stock was paid on the note. Q. Did Mr. McEldowney say any- thing regarding applying that on the note? A. No. It was not mentioned. Q. Did you know that part of the stock was held in other than your personal portfolio? Part Belonged to Brother. A. I knew generally that part was in my own portfolio and part in the joint account (of Andrew W. Mellon and his late brother, R. B. Mellon). Q. Say anything to R. B. Mellon regarding the sale? A Yes. I said I wanted to sell my coal common and that I would pick up the part which was in the joint account. . Q. He say anything? A. Not particularly. There was no dissension. Q. “Did you form an opinion in your own mind whether you wanted to hold this stock—regarding its value r lack of value? A. It appealed to me as most avail- able to sell with actual loss then. The coal industry was in a very bad con- dition. The possibility of the com- mon stock with reference to the pre- |ferred was such that it held very little value. The preferred had ac- cumulated compound dividends that had reached a large figure. So that was taking away the value of the common and it was obvious to me that the preferred stock would take up all the possible earnings of the company—that the common was not |a promising thing to hold. Had Speculative Value. Q. Had you come to the conclusion of its intrinsic value? A. I didn’t consider it had any in- trinsic value. The only value I could see was the value of common stock in the market. It has a certain spec- Q. Did you have any repurchase agreement? | A. I had not. Q. Have any thought or intent of re-acquiring Pittsburgh Coal or any of the four other stocks sold to Ascalot (another family holding cor- poration of the Mellons)? A. No. Mellon testified that about a year later Johnson suggested the repur- chase of 2,500 shares of Westinghouse which had been sold, and he agreed. Attorney Hogan asked if he had ever any previous intention of re- purchasing that. “No,” was the reply. Denies Directing Companies. ‘The financier emphatically denied he ever had taken any part in direct- ing the affairs of either of the family holding corporations—aAscalot or Coal- esced. “None, whatever,” he said, ‘nving: both hands downward. He recalled signing his 1931 income | tax return in Washington, but said he “was busy and things were in a | turmoil.” “I was clearing up my own affairs and I only have a general recollection. I merely asked Johnson if it was O. K. and questioned him some in a general way and signed the return.” Hogan asked Mellon if he had confi- dence in Johnson and the banker re- plied “implicit,” adding that he knew the return would be correct and prop- erly made out. “Ever prepare one yourself?” asked Hogan. never have.” “Did you consciously omit swearing in order not to be bound?” “I certainly did not.” Previous testimony had brought out that Mellon did not take the oath in signing his 1931 return in Washington, but that he did later in Pittsburgh upon becoming aware of the omission. Johnson Suggested Sale. Going into the sales of other bonds and securities in years after 1931, where evidence had shown Mellon took income-tax deductions and his family’s holding companies later ac- quired the same stocks, Mellon said Johnson always had suggested the transactions to him. A sale made by Mellon in Decem- LAWYERS' BRIEFS RUSH PRINTING BYRON S. ADAMS ¢ FOR THIS WEEK ONLY! MO ber, 1932, included 40,000 shares of American Locomotive, $219, in par value Missouri Pacific bonds, 3,500 shares of Missouri Pacific preferred, $208,000 of par value United Puerto Rican Sugar bonds and 6,500 shares of United Puerto Rican preferred. Explaining, Mellon said: “That transaction was a matter of my tax returns which was then under consideration. Those stocks were brought to my attention by Mr. John- son. They were stocks which were desirable to sell. Upon recommenda- tion of Mr. Johnson I consented to the sale.” He said he did not know for some time Coalesced later purchased the stock. In 1933, after his return to Amer- ica from London, where he was Am- bassador to the Court of St. James, he said he did learn some stocks sold by him were acquired by Coalesced. Mellon then referred to 33,000 shares of Aluminum, Ltd.; $17,000 in B. & O. bonds, $247,000 in German externals, $196,000 in I. R. T. 5s sold through a broker and bought simul- taneously by Coalesced. He said: “I haven't a distinct recollection, but then I know Mr. Johnson sug- gested to me a sale of those securities and suggested that Coalesced would be interested in obtaining them. “I required some money for some of my purposes and these were avail- able, so I agreed to a sale.” Q. Any reason to keep them? A. No. Q. What was said by Mr. Johnson regarding the sale? A. It was just as I said. That he said that he thought the sale should not be made by me direct to Coalesced, but be preferable to sell to the broker, and at the same time he would give an order for the purchase. Q. Your understanding of that sale was that it would go through the| market? A..I had no definite intention ex- cept that the stocks would be sold at public sale, and Coalesced, knowing they would be available, would put in a bid. Memorial for War Heroes. A tablet in memory of Capt. Thomas Hennessy and Section Comdr. Derm- ody, who were killed in 1921 in an attack on a British military party, was unveiled recently before 8,000 people in the park at Kilkenny, Irish Free State. DR. VAUGHAN Dentist Metropolitan .Theater Blnlg MEtropolitan Your Spring Home Refurnishing Plans— should includ * be surprised at GUARANTEE satisfaction. ,In “Verified Responslble Investment window shades with the modern WASH- ABLE du Pont TONTINE shade fabric. Both the interior and exterior of your home will be vastly improved in appear- ance without a very large outlay. You'll NDAY, APRIL 1, 193! HIGH COURT ASKED TO DISMISS TEST OF LUMBER CODE (Continued From Pirst Page.) essential step toward restoring vital- ity to this code.” The lumber people take the stand that the Justice Department has ig- nored the interest of a great industry in isolating it from governmental support after the Government had imposed on that industry the very provisions which the Justice Depart- ment now professes to fear cannot be supported. The industry also criticized the Gov- ernment on the ground it has done nothing to defend the industry against attacks made upon it hefore the Sen- ate Finance Committee. has done its utmost to install and enforce a system of high wages and short hours which the N. R. A. de- mands. It says, however, that the Government has allowed the industry as'a whole to be persecuted because some concerns resented high wages and short hours. It is also charged that the Government in effect is now abandoning the honest and loyal con- cerns and supporting chiselers. ‘The lumber interests also declare that there will be serious consequences to the N. R. A. in general if the Gov- ernment abandons the lumber industry in this fight. Before today's action the Liberty League and the president of the Na- tional Association of Manufacturers went on record in favor of a quick test of N. R. A. To drop the lumber case, said Presi- | dent C. L. Bardo of the manufacturers’ association will create a public im- pression that the Government “fears { a test of its questioned authority, -yet insists on the exercise of doubtful powers.” “Eighteen Federal courts have handed down decisions denying the power of Congress to regulate local operations,” he said, “but despite this record, the Government hu not | sought to clarify its pow The Liberty League said “the appar- ent disposition of the administration to avoid a final ruling by the Supreme Court during its present term mays } serve to deprive citizens of their con- | stitutional rights.” What Dentistry Should Mean Normal facial expression. com- fort. service and beauty "are what you have every right to expect in a properly fitted dental restoration. Long experience en- ables me to assure these features. Price range is far below what you have been accustomed to paying for this class of dental restora- tions. T jovite you to take ad- vantage of it, A complete dental service in_all its branches. My own personal attention. X-Ray work by trained technic: Free exiractions with other work. 932 F St. N.W. 9576 e replacement of old the low estimate. We WHEN Wanamaker sends a buyer to Paris, a rug expert to authority to Carolin that must pay returns. the Orient, an antique a, money is invested A buyer’s job de- pends on his judgment and experience that _leads him to select “Verified Values.” NICE'S PROGRAM DOOMED BY JAM Most of Governor’s Bills Are Still Detained in Committee. ANNAPOLIS, April 1.—The bulk of the administration’s legislative pro- gram today appeared doomed by the jam sure to develop in the last hours before sine die adjournment at mid- The industry said the lumber code | night. Legislative files show such meas- ures as the State department “sur- vey,” old-age pensions, unemploy- ment insurance and the bills to create three-man parole and conservation commissions locked in committees or on third reading files, For the majority of these measures to pass it would be necessary for the Legislature to work under suspended rules. Eighty votes are necessary to suspend the rules in the House and there are only 24 Republicans in the body. Pension Bill Has Best Chance. The old-age pension bill appeared more sure of passage than any other administration measure. It is up for final Senate passage, but if approved there it still must go through three readings in the House. The State department survey bill, — jew- | elry and watches into MONEY at A.Kahn Jne. Arthur J. Sundlun, Pres. 43 YEARS at 935 F STREET “See Etz and See Better” Our examination of eyes is made in such that there is no excuse for anything but “perfect satis- faction.” We seldom have a complaint and always ready to rectify it if we do. That YOU shall be satisfied is the aim of our work. ETZ Optometrists 1217 G St. N.W. THERE IS for which the Governor obtained an appropriation of $50,000, after bitter debate on the budget, is still in the Senate Finance Committee, un- touched by either branch. The same is true of the unemployment insurance measure. The bills creating the three-man parole and conservation commissions are both in the Senate Finance Com- mittee, along with four measures ter- minating on June 1 the terms of the members of the Racing, Tax and Athletic Commissions and the Wel- fare Board. The bill giving the Governor con- trol of the State police remains in the Senate Finance Committee and & measure creating a department of State police, whose head is to be appointed by the Governor is up for Senate passage. The House Ways and means Com- mittee has the bill authorizing the State Roads Commission to borrow $2,500,000 on its own debentures. The budget, pushed through only after pressure was exerted, is the administration’s most signal success | of_the session. The other measures, their passage depending on suspension of rules, being reported out of committees, given readings in the House or Sen- ate, or both, face defeat in the crush of local bills that usually marks the last day of the session. RTINS LARGE OVERSTUFFED LIVING ROOM CHAIR Fine Construction Priced for One Day... s‘ 1'95 PdJ.Nee Co. FINE FURNITURE @ 7th and H N.W. )\\\\\\\\\\\\\\\\\\\ Boyd’s Home Study, $5 Assistant Statistical ($1.620 year) Course has MANY distinct advantages N N N N N N N N N \ N N \ \ N t \ N BIPIIIIIIIIIIIIIIIII/Y. over resident classes. Course Compiled by 4 Government statisticians. It is the revised course which helped others to make as hizh as 98.2% en their Government examination 3!z years ago. ALL subjects completely covered. solu- tions and answers added. Work as fast as you will—AND on evenings between 7-0 of April 9 and 11 EXTRA explanation will be given to those who wish it. without charge. A Recent Purchaser said: “I actua learned more about computation. tabu- lation and sraphing in one evenink with your €5 course than I did m 3 weeks in a RESIDENT class.” A Briefer course but very eomblete. all subjects covered with answers added. also SAMPLE EXAMINATION completely worked out. Onmly $2.00 Dost paid return mail BOYD SCHOOL Civil Service Specialists 1333 F St.. Opp. Fox Theater (Est. 18 ¥rs.) NG LHARGE forour DRY CLEANING UNLESS YOU Alf_fifi;fw_d' We have such confidence in the quality of our work as being superior to that being done by any in the city today that we to accept your apparel this most unusual other plant are willing subject to and wholly unconditional guar- antee. Examine all articles care- fully and if you are not more . 4 Fasltlens Featuren than satisfied there will be no charge—could you for anything more? Your Easter Ward- robe Should be Cleaned Now OUR PRICES ARE MOST REASONABLE Ladies’ Coats, 75¢ Ladies’ Dresses, Plain .. Hats Cleaned and Blockea D0C Other items of wearing apparel as well as No pen or machine marks will be placed on any articles Cepted by us for dry cleaning. Minor repairs. such as_tightening _but- tons, snaps and beit loops, or sewing seam rips, will be made free of charge. Missing _buttons on men’s garments will be replaced. Trouser cuffs will be turned down and the crease thoroush- Iy brushed. The inside of pockets will be theroushly cleaned and brushed. We will make sure that all articles are ask returned free from odor. We will take all pre- cautions necessary prevent cither shrinkage _or Sretching of. any garment sent to us. All garments will be fauitiessly handled the mo -rnved dry-cleantng method. peries, Etc, cleaned at cor- respondingly low prices. PHONE TODAY—Our representative will call at your convenience. Beautifully Designed BIRD BATH $:89 23 in. tall by 19 in. diameter. Made by the Zanesville Stoneware Company. Also, other unusual values at $3.00; $7.50 and up to $25.00, A Special Inducement to have you visit our # COMPLETE GARDEN. SUPPLY DEPT. ~—and see everything we have for the garden. RN INN R RFCFFFFFFEFrrrree A 4 ! Here Is A SHANNON & LUCHS “Verified Value” A new one-story brick stere with parking lot adjoining. Fronting en maly hizhway. Building mow under eonstruction. 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