Evening Star Newspaper, May 6, 1935, Page 2

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BONUS MAY STRIKE ATNATION'S GREDIT Yet Talk of Taxes to Meet Specific Drain Seen Sud- den Caution. BY DAVID LAWRENCE. Does $2,000,000,000 stand between the Treasury of the United States and w serious impairment of the national eredit? — To put it another way, can the | Qederal Government borrow only $2,- | 00,000,000 more than it plans to do Qnder the President’s program? * Members of the Senate, who have e responsibility of voting soon on e soldier bonus plan, have been iscussing with each other in the Jst few days just what Secretary Morgenthau meant in his warning before the Senate Finance Committee with respect to additional expendi- tures and whether. if the situation is | us serious as the Secretary paints it, the President might be justified in using $2,000,000000 out of his $4.- 880,000,000 so-called work-relief fund to pay the soldier bonus. Exact Testimony Cited. The situation can best be described | by quoting the exact text of a portion of the testimony, the printed record of which has just become available: “Senator Bailey (North Carolina)— Let me call your attention to some wvery impressive words here from your | statement (Secretary Morgenthau's): “Moreover, the credit of the United | States Government depends very | largely, in my opinion, upon scrupulous_ adherence to the President’s program.' Scrupulous adherence—that means absolute, does it not?” . “Mr. Morgenthau—I wrote it, and ¥ do not say something I do not be- ve.” was the | Senator Bailey — That was it | strongest word you could use, not? Mr. Morgenthau—T think so. Securities Rates Discussed. Senator Bailey — You say further, *I don't think we can continue to en- Jov the present favorable rates and favorable market for the sale of Gov- ernment securities if the new expen- | ditures are incurred which go far be- ’s Wh What’s What Behind News In Capital Roosevelt Becoming More Hard-boiled in Dealing With Associates. A thinf¥ the President has been stricter in personal dealings with his associates. His public state- ments do not as yet reflect it, but there have been evidences that he is deter- mined to be less easy-going, less pa- tient, harder boiled. In line with this tendency, he seems to be working out a shift of personnel which amounts more or less to an in- side reorganization among his ad- visers. Furthermore, he is tightening up the administration all along the line, BY PAUL MALLON. DIFFERENT inner atmosphere has been noticeable inside the White House lately. For one You can see one phase of it be- hind the new relief set-up. No announcement has been made, dut, as an instance, Business Man Joe Kennedy has been quietly pressed into the relief set-up as a right- hand man. Kennedy is what is known among insiders as “a good man,” that is he is capable. He has a solid business foundation. Apparently he is being pushed up front with Business Man Frank Walker as a restraining influ- ence of the Ickes-Hopkins-Tugwell end of the new relief team. But there is more behind it ‘than | merely pushing business men up front. | Apparently the President has been aroused by the growing criticism of the | | ability of some of the men he has had | in key jobs. What he seems to want is not so much business men as “good | | men.” | In line with this, there appears to | | be more than is generally known in | the rumor that Tom Corcoran might | ver advocated a return to the gold G_STAR HOOVER SAYS .S, ‘100" THREATENED Theory of Security With “Regimentation” Branded as National Menace. By the Associated Press. SAN FRANCISCO, May 6.—Crea- tion of economic and social security through “regimentation™ today bore the arraignment of former President Herbert Hoover that “our people are not ready to be turned into a national 200" Mr. Hoover in an address before the California Conference of Social Work here last night assailed any attempt to make the Government the major source of security efforts. “You may produce an efficient eco- nomic or governmental unit by & manufactuted, regimented, imposed environment,” Mr. Hoover asserted, last night, but “you will not produce a free individual * * * in short, you will not produce an American * * °*. “Our people are not ready to be turned into a national zoo, our citi- zens classified, labeled and directed by a form of self-approved keepers.” Both he and his remarks were given hearty applause by approxi- mately 2,000 delegates gathered at their opening session to hear him. Increased Activity Noted. The speech re-emphasized the in- creasing frequency with which the ex-President recently has made public appearances and statements to punc- ture the seclusion and silence he generally has maintained since his Tetirement from office. Recent utterances have included comment upon the Supreme Court’s| gold clause decision, in which Mr. Hoo- standard. His letter to the California Republican Assembly at Sacramento, and talks made on trips to New York as an insurance company director. WASHINGTO D. C. MONDAY, MAY 6, 1935. Former President and Mrs. Herbert Hoover were just members of “pioneer” Stanford classes when they joined classmates at University day banquet Saturday night. Left to right: Mrs. Hoover, Dr. Ray Lyman Wilbur, Stan- ford president and former Secretary of the Interior; Mrs. R. L. Donald and Mr. Hoover. Only this past week end also Mr. Hoover, together with his wife, took an active part in a reunion of the “pioneer” graduating class of Stan- ford University. The former President said there was need for “far more than economic security if civilization is to march ILINOIS AT GRIPS WITH RELIEF ISSUE Passage of Sales Tax Plan\ Tomorrow Predicted as Thousands Go Hungry. By the Associated Press. CHICAGO, May 6.—Illinois officials | | strove desperately today to end the | stalemate over relief funds as hun- | dreds of thousands faced the prospect of going to bed hungry. Boy, 12, Hunting Abalones Attacked By 9-Foot Octopus By the Associated Press. SAN JOSE, Calif., May 6.—Joe Prentiss, 12, reported he narrow- 1y escaped death in an attack by a 9-foot octopus while he was hunting abalones on the coast yesterday. His father. Charles Prentiss, 8. E. R. A. official, and a friend dashed through surf to the res- cue when Joe yelled for help as a soft, snakelike arm whipped about his wrist. Caught in deep water, Joe said he beat the octopus with the iron bar he used to pry up the mollusks, but he was weakening rapidly when help arrived. Combined efforts of the party PEEK AND HULL DIFFERON TRADE |Special Adviser’s Report Questions Claim That U. S. Is Creditor. By the Associated Press. tween President Roosevelt’s two fore- most advisers on foreign trade were underscored today after George N. Peek had laid on the President’s desk Sharp differences of opinion be-' PLAN MAY FORCE BALANGED BUDGET Tydings Proposal to Make Provision of Revenue Precede All Bills. BY G. GOULD LINCOLN. A budget-balancing proposal which would make impossible excessive Fed- eral Government expenditures over receipts, unless accompanied by new tax legislation, will be offered in the Senate by Senator Millard E. Tydings of Maryland, Democrat. The plan in itself is simple and easily understandable. It would put an effective brake on both Congress and the President in the matter of governmental appropriations. ‘The Maryland Senator is one of those who has taken to task the Roosevelt ad- ministration and the Congress for going ahead with vast Government expenditures which he insists will ultimately bring ruin to the American people cl A joint resolution which Tydings will introduce at the earliest oppor- tunity requires an “automatic bal- ancing” of the budget. It amends the budget and accounting act of 1921, which demands that the President transmit to Congress on the first day of each regular session the budget, s0 that the President must transmit also to the Congress at the same time s budget bill. This bill will allocate to each Government department and other agency, including the Municipal Government of the District of Colum- bia, such sums of money as are needed for the Government for the ensuing year. Budget Given First Rank. 1t is further provided that no other legislation shall be passed by Congress until after the budget bill shall have been passed. In explanation of his resolution, Senator Tydings made the following statement: ““The resolution provides that at the beginning of each session of Congress the President shall transmit to it an itemized account of the estimated rev- enues to be received during the com- ing year. Accompanying this revenue | list shall be one budget in which the | estimated revenues are allocated in detall to the various departments and branches of the Government. If Con- gress decides to increase the amount COUGHLIN INSIRES PATMAN BILL PLEA Wires Flood Capitol—De- feat of Compromise Vir- tually Assured. By the Associated Press. An unprecedented deluge of tele- grams landed on the desks of Senators today in response of yesterday's radio plea of Father Charles E. Coughlin of | Detroit urging support for the Pat- | man cash bonus bill. ‘Telegraph company officials sald the | number of messages exceeded the vol- ume which descended on the Senate as the result of the radio priest's ap- peal to listeners to demand defeat of American adherence to the World Court. At that time 57,000 telegrams poured in. ‘The telegraphic bombardment was expected to play a major part in the bonus fight. The Senate had been expected to vote by nightfall today on a motion to substitute the Vinson cash bonus. bill for the Harrison compromise. but plans were deferred when the Senate adjourned out of respect to Senator Cutting of New Mexico, who was killed in an air crash When action is completed on the Vinson bill, a vote will be taken on the Patman plan. Compromise Defeat Seen. Defeat of the Harrison compromise | which was offered in an effort to pass legislation acceptable to the admini- stration virtually was conceded in the face of the powerful drive for a cash bonus bill. Meanwhile, administration chieftains were considering throwing their sup- port behind the Patman bill on the | theory that a presidential veto of it | could be more easily sustained than a veto of the Vinson plan Senator Harrison. Democrat of Mississippl, has said President Roose- velt would approve his compromise Among the Roosevelt forces it was conceded the full payment proposal would win out. Later, probably Wed- | nesday, the choice is expected to be between the Vinson and Patman bills. | Whichever is selected, some leaders said. the final vote upon its passage will be favorable by around 2 to 1. a report calling into question funda- mentals underlying Secretary Hull's trade policy. Peek did not mention Hull by neme, | or refer specifically to his program Jond the Emits of those which bawe | (8 "IEST PR (U SNEEEE SRS already been outlined. A material de- | Gonija) secretary, Corcoran will not eline in the market price of Govern- | ,1e over the job, but what was at ment securities, which would e Very | ypoyoeiom ™ of “the story is the fact likely to result from large expendi- | ¢ pe hereafter will work more close- allocated to any department it must | take the amount of sald increase from Provides New Currency. some other departmen) or depart- | The Patman bill, estimated to in- ments. No other legislation can pass volve an outlay of $2.201,934,000 forward to social security.” . ressed confi- loosed the octopus from the rocks e said the people must be taught| Gov. Henry Horner expi He st e dence that enough opponents to the| | and it was dragged ashore. to “cling to their family life, to their & | : | | Prentiss brought the creature homes, to their individual self-respect, | sales tax increase plan for raising the | iere= dlong With/the Mmit higio? State's share of the relief burden | both houses until the budget has been tures outside the budget, would wor @ grave injustice upon all purchasers of Government securities, and would tend to slow up the whole recovery program.” That is your considered | opinion given to us? Mr Morgenthau—Freely. Senator Clark (Misouri) —Mr. Secre- tary. the same necessity for additional revenue would exist if Congress were | to pass the Harrison bill as if it passed | the Vinson bill or the Patman bill? Mr. Morgenthau—If you do not mind. Senator, I would rather not get into the different bills. Senator Clark—I understand. but, 4 1 understood your statement a mo- ment ago, your position is that the ge of any of these bonus bills would require additional revenue? Mr. Morgenthau—That is correct. Hines Reveals Estimates. A little later in the same hearings Gen. Hipes, head of the Veterans’ Ad- /ministration and the man in the/Gov- ‘ernment who knows more about the ‘bonus figures and costs than anybody else, testified that each of the three bills would cost & sum over and “bove | the amount actually owed by the Gov- | ernment—that is, the increase in lia- | bility would be $1,500,000,000 with the Patman bill, $1,600,000,000 in addition to the present outstanding certificates in the case of the Vinson bill, and an addition of $550,000,000 more than the present certificates in the case of the Harrison compromise. But even this did not clear up what would be involved as an actual ex- penditure today in the case of the three measures, so the Senators drew from Gen. Hines the statement that | the amount to be paid out to veterans | under the Patman plan would be $1.954.000,000, and $2.016,500.000 under the Vinson plan, whereas the Har-| rison plan would require $950,000,000. | 8o the crux of the whole matter was | that the Secretary of the Treasury predicted that the credit of the Nation | would be impaired unless correspond- ing revenues from taxation were voted. Tax Talk Inconsistent. ‘This, however, is puzzling to mem- bers of Congress, because, up to now, with billions of dollars of deficits and | with $4,800,000,000 for all sorts of Tugwellian plans, no demand for in- creased taxation has been made. Why, they ask, is it suddenly necessary to provide increased taxes just because the Government is going to pay off in advance a large part of what it owes the soldiers anyway? And who is going to say that the fantastic work relief plans are going to put money | into circulation any better than the pavment now of the soldier bonus? The present administration also is committed to a policy of raising prices and cutting down the purchasing pow- er of the dollar. This means that if the veterans get their money a few years hence the dollars will not buy as much as they would today. Such s step by the Federal Government— that is, postponement until matur- {ty—will only lead to demands for ad- justment in later years and, in lieu ©of this, s demand for pensions. ‘The American Legion did not come forth with its demand for cash pay- ment when the administration was engaged in an economy effort just efter March 4, 1933. The Legion revived its demand when the Roose- velt administration began spending billions on unproductive public works, and the veterans intensified their in- terest in the subject when the ad- ministration outlined in vague, general terms its idea on “planned economy” and brain-trust spending. Other Pertinent Questions. But, apart from the banus question, the testimony of Mr. Morgenthau has raised some interesting queries. Does the administration feel it -has come to the limit of public spending and that it will encourage private spend- ing by the removal of Testrictions on business, so that recovery can be ac- celerated? Or does it mean that there is a difference in the Treasury view between a budget out of balance due to “the President’s program” and a ‘budget out of balance when it comes the veterans the certificates | | been evident also in the way the New | message to the convention or ad- 1y on certain matters for the President. Corcoran is a liberal, a young An- thony advocate, and possibly even a | reformer, but he is among those recog- nized among insiders as “‘a good man.” Tighten Up on Press. The tightening-up tendency has Dealers lately have been dealing with the press. They seem to have devel- | oped a new feeling that some Washing- ton dispatches are inaccurate and un- fair. Of course, this is true. but it has always been true. Whether the | situation has grown any worse lately | is hard to determine. Apparently the | administration believes it has. No censorship is noticeable. No orders on the subject have been issued and undoubtedly none will be. At the same time. many of- ficials seem to be closing up in their shell, segregating’ friendly from unfriendly newsmen, watch- ing news accounts and publicity more closely. ‘The only thing significant about it so far is that the New Dealers paid little attention to press inaccuracies or unfairness in the earlier, easier days. Chamber Enmity Not Suddes. There was nothing new about the break between the White House and | the Chamber of Commerce. They have been existing across the park | from each other here for a long time, but they have always been miles apart. They maintained merely a surface cor- diality, while each strenuously re- sisted the presence of the other. The story is being passed around that the “break” was caused because President Roosevelt failed to send a dress it. The truth is the chamber pre- pared the basis of its resolutions, criticizing the New Deal, privately a long time before the convention ‘met. The Resolutions Committee did only what every Convention Resolutions Committee always does, and that is to assemble and approve resolutions prepared in advance. In this instance, the committee sharpened the language of the recommendations somewhat, obut did not alter the meaning. When the full convention approved the critical resolutions, only two changes were made. Both changes | sharpened the criticism. ‘The fanciest stunt of the chamber meeting was the one by which the New Dealers tried to offset the cham- ber break by having the Roper Busi- ness Advisory Council call at the White House at the same time. The idea was to show that not all business was against the New Deal. This caused s ludicrous situation. Some of the chamber leaders are also members of the Roper Council. They (including ex-Presidents Harriman, Lund and others) had to dash out of a convention criticizing the New Deal 10 join the White House conference. At the White House, as Roper coun- cillors, they approved the principle of the Federsl social security program, but, at the chamber, as delegates, their convention had opposed any Fed- eral social security program. In this incident, you may find the real significance of Dusiness support and antagonism to the Wmtbfl 8, @ co-operate occasionally. One recent piece of publicity which the New Dealers did not like very much was the story,about the Presi- dent'’s political conference at the White House. He had a half dosen political advisers in for a confidential chat. Some of them were angry when the sonal inquiries to determine who had told. If they find the culprit, he will not be invited to the next conf It did not get out it is a fact that H g T . ] ¥ 5 H e to their rights, to their individual liberties. “They must be taught. not to change their souls and spirits for the falla-| clous promises of material comforts. It is the unfailing record of mankind that in such an exchange the indivi- | dual finds himself robbed of all that he had, both spiritually and ma-| terially. * * * “We need constant and persistent research and survey, and I would in- | deed suggest that we also need an in- | stitution for guiding foolish persons who are loose on the landscape with only part of the facts and imbued with a great emotion.” Doctrine of Plenty Praised. Mr. Hoover defined what he sald | were outstanding changes in Ameri- | can civilization in the last 50 years. | ‘The first of these, he said. was “America’s triumph in the age-old | struggle to produce a plenty” through | technological development. ‘The second he called “a certain ill- defined but no less positive attitude | of responsibility toward each member | of the community,” citing that “the | public conscience has slowly and sure- | ly crystallized to the fact that we | must find reasonable economic secur- ity for those who have the will to work and we must care for the unfor- tunate.” RAIL PENSIO.N ACT IS RULED INVALID BY SUPREME COURT | ___(Continued From First Page.) features of the act were designed to promote the social security of certain classes of employes and not to regu- late interstate commerce. In signing the measure last June | 30, President Roosevelt said it was “crudely drawn and will require many changes and amendments at the next session of Congress.” Action has been deferred pending a decision by the high court. The legislation would compel both the workers and the employers to contribute to a retirement fund, the latter giving twice as much as the former, unless otherwise specified; the employes would contribute 2 per cent of their compensation. In holding it invalid, the lower court declared the act exceeded the power of Congress in that it made no distinction between emploves “en- gaged in interstate commerce and those not so engaged.” It also ruled that the provision of the act requiring payment of an- nuities based in part on services ren- dered before passage of the legisla- tion constituted an unlawful taking railroads 400,000,000. In addition, the act was neld un- constitutional in so far as it applied to persons who had been employed within & year before passage and who had not returned to railroad service. The decision was 5 to 4. Chief Jus- tice Hughes wrote a dissenting opinion in which Justices Brandeis, Stone and Cardoza joined. MARKET RALLY BRIEF. Sharp Rise of Rails Wiped Out er Repiaced by Losses. NEW YORK, May 6 (P)—Stock ters it was reported that speculators were willing i : T i 5 | would be compelled to change sides to carry through the emergency meas- ures tomorrow. “Unless the bills pass.” he said, “the situation will be desperate.” 50,000 Families in One County. Fifty thousand family heads in Cook County who depended upon work relief received their last checks a week ago today and relief officials said it meant their food supplies were ex- hausted. This group included 175,000 individuals. Another 4.000 families of those on direct relief will be added each day to those without supplies because they last received help a week ago, relief officials said. In downstate counties it was re- ported that 143,000 families depend- ent upon work relief could no longer be given help. Karl Lockner, Communist leader, announced that a demonstration would be staged Tuesday in front of the Chicago home of Representative Benjamin Adamowski, Democratic House leader, who has been in the front for the fight for the tax bills. The demonstration would protest any sales tax increase, Lockner said. and would demand reopening of relief sta- tions with monies from the general tax fund. Delegation to Protest. Lockner said & delegation would be sent to Springfield to appear before the State Assembly. Conferences were scheduled 1n Springfield and Chicago to try to meet the emergency. leaders planned to exert the utmost possible to .win the 14 votes that lacked when the sales tax increase bill came up in the House last week. A companion bill which would extend | the tax to public utilities was not brought up when it became evident it would fail. It, too. must be passed if | the situation is to be met fully. In Chicago, Clayton Smith, presi- dent of the Cook County Board of Supervisors, was to meet with How- ard O. Hunter, regional representative of the F. E. R. A, and Leo Lyons, county director for the Nlinois Emer- gency Relief Commission, to discuss the emergency in the county, The Federal Government has in- sisted that no further funds for re- lief will be granted Illinois until the State gives assurance it will supply $3,000.000 a month as its share, Cook County staved off the crisis one week by voting $1,200.000 for the emergency. Under authority granted in 1932 the county could sell $3.000,- 000 more in bonds for relief funds. STUDENT AVOIDS CROWD| LANDING BROKEN PLANE By the Associated Press. SALISBURY, Md, May 6.—Five hundred feet above the ground Frank E. Carson of New York saw the pro- pellor of his airplane ripped off its shaft—and below him was a crowd in the path of the in-gliding ship. It was a tough spot for a student pilot making his third solo flight, but Carson chose the hard way out. He landed in a peach orchard instead of on the crowded field. He was not hurt, but the plane was badly damaged. “The ship had too much momentum | to land on the field and avoid striking that crowd,” he said after the forced landing yesterday. A Citizen’s Eoome haciosslidfiscadunsasiinse | ] at The Evening Star Business Office, or by mail, postpaid At the capital | e Order Form=— ey 1 Street ...c.ceecccccsccssecccccens - | City. o e e e e e e e abalones. NAZI PUNISHMENT | ' SCORED BY POPE | Pontiff Protests Treatment! Accorded Pilgrims to Rome. | By the Assoclated Press. | VATICAN CITY, May 6.—Pope | | Plus today voiced strong protest against Nazxi Germany's treatment of | [3.000 young Catholics who returned | | to their fatherland after an Easter | pilgrimage to Rome. The Pontifl's | protest came in the course of an ad- | | dress to 130 other German piigrims. | He expressed the hope that they would receive “better treatment” than their youthful predecessors. (The official Observatore Romano | last week printed reports from Ger- | many that the 2,000 German Catho- | lics returning to their native land were treated as political suspects, sub- Jected to close questioning. stripped of | their mementoes of Rome and held for a time in & concentration camp.) | Sees Paganism Goal. His voice resonant, the Pope sa “They wish In the name of so- called positive Christianity to de- Christianize Germany, and they wish | to conduct the country back to bar- baric paganism, and nothing is left undone to turb Christian and Catholic life. “We hope that upon yoyr return to your country you will be treated bet- ter than those plous and splendid | young (men), devoted and faithful to the church and to their country, who | not long ago came to see me, their spiritual father. Condemns Treatment. “We remember them and spesk of them with the honor due them from the Catholic and the civilized world. | “We cannot, however, other than| say, and we should say, the contrary against those who were responsible {for the reception of these youths and | their treatment.” | Shortly after reports of the youths treatment reached Rome it was re- ported the Vatican might file a diplo- matic protest to Berlin, Prelates said today this had not been done. They added, however, that the Pope’s declaration, which was quickly made public, would serve as the “most vigorous protest” possible. e PUPILS TO PARTICIPATE Special Dispateh to The Star. GLENMONT, Md., May 6.—The an- nual Community day celebration of Glenmont Elementary School will be held Thursday. Classes will be dismissed at 12 o'clock to allow the pupils to take part in the program, which will in- clude appropriate exercises, competi- tive athletic events and luncheon. Handbook The Euvening Star Offers Its Readers A complete description of the Federal establish- ment—470 pages, illus- trated. wish it were possible for :m hoao in the Nation to possess it.” ALBEN W. BARKLEY, s e ] of negotiating give-and-take trade adopted by the Congress. treaties with foreign lands. But he “In the event that Congress wishes | would pay the veterans with new cur- | rency. "It already has been passed by the House. The Vinson bill, estimated called pointedly for “a review of all | to make appropriations in excess of ¢, " national policies based tn whole or in | the estimated revenues the Tesolution | tne wethod o woreiat ope part upon our international creditor status.” | Hull, like many other advocates of lowered trade barriers, has stressed America’s transformation from a debtor Nation to a creditor Nation. Only lest Thursday he declared that| American policies of raising tariffs in | post-war days “were not consistent | with our newly achieved creditor position.” Peek Doubts Hull Report, Peek's report, made as special ad- viser on foreign trade, raised a doubt as to whether the United Btates is now as big e creditor as generally supposed. His study sought to show that st | the end of 1934 the United States was | 8 “book creditor” to the extent of $16.897,000.000. But, he said, our | status as & creditor “sppears to de- | pend upon the value of our direct in- vestments in foreign countries and that of the war debts.” ‘War debts comprised $10,304,000,000 of the $16,897,000,000 owed the United States, he said, and the present value of these debts, “with the exception of the Republic of Finland, cannot be estimated.” A second item stressed as doubtful was $7,823,000,000 of direct United | States investments abroad. Peek called these figures “obsolete.” He quoted the Department of Com- merce as saying in 1933 that it was probable the recorded values of direct American investments abroad have to be reduced.” Says Foreigmers Bought Bends. Explaining other figures in his re- port, Peek said foreign countries “had several hundred million dollars in this country last year which might have been used to buy merchandise, or serv- ices, or be applied on the war debts. Instead, the money was used to buy securities.” This recalls statements by Hull and others that foreign countries cannot buy American products unless the ex- change with which to pay for them is made available through imports. Peek’s contention is that last year for- eign nations had exchange which they did not use for the purpose. Peek and Hull have differed before. Hull is conducting his trade negotiations on an “unconditional most - favored- nation” basis. For example, tariff re- ductions granted one country in a reciprocal trade treaty are extended to all nations which accord the United States equality of treatment. Peek, on the other hand, favors bilateral trade agreements, with benefits ex- tended to other nations only condi- tionally. —_— BROTHER ACCIDENTALLY SLAYS ROANOKE GIRL Child Dies From Chest Wound After Bullet Crashes Through Wall of House. By the Associated Press. ROANOKE, Va., May 6—Geraldine Elizabeth Lanter, 10, was accidentally killed in the kitchen of her home by a bullet from a 22-caliber rifie held by her 12-year-old brother yesterday. The gun was fired from the yard, the bullet Hm.n:‘ through the weath- er boarding plast before striking the child in the left “will chest. She was rushed to a hospital, but died within a few minutes after being admitted. Earnest Lanter, jr., her brother, was said to have accidentally dis- charged the rifie while another youth, James Floyd Hobbs, jr, 16, was ar- ranging a target. COMEDY TO BE GIVEN St. Mark’s Players Will Present “For Pete’s Sake.” requires that new taxes must first be provided to raise money for said ex- cess appropriation. 15-Year Liquidation Limit. “In the event that Congress wishes | make excess appropriation and wishes to borrow the money ior such appropriation, then the resolution re- quires that in the act appropriating said money the Congress shall lay | the taxes necessary to liquidate the loan in a period not to exceed 15| years. “In times of war and for one year after its cloge the provisions of the resolution do not apply. “If the resolution passes the Con- | gress and is signed by the President the Federal budget will automatically be kept in balance at all times, The | | resolution closes up the holes in the budget law under which Congress now functions and which permits the | Congress to appropriate large sums of money without providing where the money is to come from.” If the Tydings plan should be adopted, it would compel Congress | to pass laws to raise additional rev- | enue if the Government appropria- tions are made in excess of estimated revenues. Senator Tydings believes that this would be a salutary thing, both because it would bring reduced appropriations and because it would prevent the piling up of huge deficits. It would bring reduced appropriations in all probability because while | spending public money is popular, | taxes are not. Present Program Cited. President Roosevelt sent to Con- gress when it met last January a budget message which set forth rec- ommended expenditures during the fiscal year 1936 at a total of $8,520,- 413,609. The President estimated the revenues for the fiscal year at a total of $3991904639. The estimated deficit for the year, therefore, was $4,528,508,970. Included in the budget was the $4,000,000.000 appropriation recommended for “work relief.” Con- gress already has made that appro- priation in the $4,880,000,000.000 re- lief bill, now a law. But no effort has been made to levy increased taxes. The President, in his budget message, said that he proposed to borrow $4,000,000,000 to take care of the sit- uation. Under the Tydings plan Congress would have tied tax legislation to the President’s relief bill. If the bill au- thorized the borrowing of the money then the taxes would be such as to retire the Government obligations within 15 years. ‘The President in his budget mes- sage of last January said that the plan to raise $4,000,000,000 for work relief and to run the deficit up to such high figures was within the credit structure of the Government. He also insisted | that no inflation would be necessary or would follow this spending program. Debt Abeve $30,000,000,000. Sooner or later, steps must be taken to raise revenue to meet these debts— the public debt already is above the $30.000,000.000 mark. Senator Tydings | insists that a halt must be called to running this debt higher and higher Many of the Senators have feared that when next year rolls around another big appropriation for work relief and relief will be demanded. Unless some plan to bring home to the people through taxation what these expendi- | tures mean, there may be no way to | Lalt them until too late, these critics of big expenditures say. JAPAN SEEKS PACT TOKIO, May 6 () —The foreign Harrison’s compromise bill, it was said. would require an outlay of $1.- | 209.000.000. Senate Republjcan leaders. support- ing the Vinson plan. have predicted it could be passed over a veto easily ‘They were not so sure of the Patman bill on account of its currency expan- sion provision. Either the Patman or Vinson meas- ures, it is estimated, would give the average veteran & net cash payment of about $500. Harrison Plan Payments. The Harrison compromise bill, as re- cently amended, would give about $220 to the average veteran who has a $1,000 bonus certificate, against which he has borrowed $500. A veteran who has a $1,000 certificate and hasn't borrowed anvthing against it could ob- tain $770 under the compromise, or he could hold his certificate until 1945 and get $1,115. Support for Father Coughlin's stand against financing bonus payment with | interest-bearing bonds came in tele- grams addressed to Senators by the Sound Money League. Bearing the names of Robert L. Owen, former Sen- ator from Oklahoma, and others, the league message said payment with bonds would increase taxes while the currency method would “help end the depression.” FIFTEEN RESCUED FROM BURNING BUS Driver and Porter Heroes of Bat- tery Box Accident Near Salisbury, Md. By the Associated Press. SALISBURY. Md, May 8.—The driver and porter of a Norfolk-to-New York Great Eastern bus rescued 15 passengers without serious injury last | midnight when the bus suddenly be- came enveloped in flames, 5 miles south of here. All but one of the passengers were asleep at the time and several had to be carried to safety. When the flames burst from the battery box, near the front, Hugh Hitchens. the driver, made a futile attempt at suppressing it, then joined Earl Hunter, colored porter, in rescu- ing the passengers. Personal effects and some of the baggage were de- stroyed. Another bus, arriving shortly after- ward, carried the passengers on to Philadelphia. ‘The bus interior was soon & charred mass. PR S, DINE AT WEST POINT WEST POINT, N. Y., May 6 (#).— Members of “the Little Congress” : composed of secretaries and clerks of United States Representatives, in- spected the United States Military : Academy yesterday, but a heavy rain caused postponement of a fuli-dress parade scheduled in their honor. The 250 secretaries ate dinner in * the mess hall with the cadet corps, made a tour of inspection of the acad- emy. and met cadets appointed from their districts, office disclosed today that Japan is| 3 negotiating a commercial treaty with Iraq in pursuance of her desire for economic advances in the Near East and closer ties among the all-Asiatic states. ‘The possibility of establishing a Jap- anese Legation at Baghdad is under consideration. Japan’s exports to Iraq tripled dur- ing the first three months of this year :l ":‘ompued with the same period in Fall Kills Blind Woman. CHICAGO, May § UP)—Mrs. Hattie Curtis By the Associated Press. ‘TODAY. Senate. Debates bonus bill. Banking Committee studies omnibus banking bill. Heuse. Takes up miscellaneous legislation. ‘TOMORROW. Senate, On the floor—soldiers’ bonus bill. Pinance Committee, executive, on

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