Evening Star Newspaper, June 25, 1935, Page 2

INSURANCE BLOW SEENINTAX PLAN Use of VériousDevices Is Expected to Avoid In- heritance Levy. BY DAVID LAWRENCE. What is to become of incentive if the President’s tax program is adopted by Congress? Many people will answer that ques- tion in different ways, Some will not find it worth while to continue life insurance, some will seek by various devices to transfer what they have to foreign countries, some will at- tempt to spread ownership of their estates by gift or sale in such manner @s to reduce the inheritance taxes. But of one thing the average man may be sure: When the soak-the- rich fury has spent itself, and the budget is still unbalanced, the next step will be to soak the poor. Already Senator La Follette is pro- posing to reduce the exemptions for married men who get $2500 a year and for unmarried men getting $1,000 @ year. Certainly there are taxes and taxes to come to pay for the New Deal, and, while the rich are perhaps uncomfortable in thought just now, it is nothing compared to What the man of moderate means is going to have to pay when it is discovered that, even if all the income of the people who get $50,000 a year were confiscated 100 per cent, it prob- ably wouldn't be enough to pay the current deficits of government, Life Insurance Aspect. One of the most interesting aspects of the proposal to tax inheritances on the same basis as income taxes relates to life insurance. A business man in the Middle West, who asked that his name be withheld from pub- licity, sent me a copy of a letter he has just sent to all the different life insurance companies with which he had policies. Here is what he wrote: “I have read with great interest the President's contemplated plan for | inheritance taxation. I will reflect to you in this letter the results of my thinking which likely parallels that of the average property holder in the Nation today. “Assume for the sake of argument that our estate including life insur- ance is about $3,000,000, and of this three million there is in the neigh- borhood of one million of life in- surance. The Federal estate tax first of all is about $800,000 on three mil- Yon dollars. Then if the inheritance tax schedule now proposed were to parallel income tax rates, there would be an additional 63 per cent taken by the Government during the transi- tion of the estate to my wife and daughter, thus leaving them approxi- mately $800,000. Loss Is Three-Fourths. “I now pay annually about $20,000 In life insurance premiums. The estate tax and the inheritance tax if it is paid on this basis will take nearly three-fourths of ‘this million of life insurance. In other words, I am left in a position of paying $20.000 a year in life insurance premiums for $250,- 000 worth of life insurance that I actually would be able to make de- livery on those for whom it is in- tended. Obviously, no sahe thinking person would continue such a practice. “Much more easily could I go to Holland once a year and put guilders in a box br build a home in Canada with a steel compartment under the basement floor or any one of a hundred other possibilities rather than work my life away on ‘heads you win, tails T lose’ basis in & business in which the mortality rate is vastly against my making any money any- way, and if by chance I am success- ful. then to give it to the Goverment and be unable to protect after I am gone those I love, “As a result of the above thinking, | faturally T would immediately cancel my insurance, take the cash values and cease playing a game in which I have no ¢hance to win. smaller man in his way and the larger man in his way think exactly the same 8s I do? Most assuredly big capital, the capital which ventures forth with hundreds of millions that make pos- | sible our great industries, our great improvements, our great development will instantly cease in so far as any expansion is concerned. It will likely degrade exactly as the railroad has from Leningrad to Moscow, merely flow along as best it can on momentum with no thought or incentive whatever of rebuilding or developing. Tax Severe for Small Man. “The small man will likewise cancel his insurance, because his inheritance tax, while not as prohibitive as the larger one, is yet so severe that it very quickly would double and treble his actual cost of insurance. “Thus if the above reasoning will bring an almost universal cancellation of life insurance down to a point of $5,000 or even $25,000 policies, where, then, does that leave the insurance company and their stockholders? Where does it leave the landowner who is expecting to renew his mort- gage with the insurance company when it matures? Where does it leave the vast army of people that are con- nected directly or indirectly with in- surance companies? And where, in- cidentally, has the incentive gone to eave money, where has the incentive gone to develop a business that would if left alone employ a large part of the millions of persons that are today on Federal relief rolls? “What inducement is here for me to continue year after year as I do? What inducement is there to work and worry and intensively pilot a big organization through litization, through Government harassment, and find ultimately that I have worked a lifetime for my Government? “The answer is that I won't do it, and I am no different from any aver- age, normal American citizen. If this new inheritance tax law passes there is little doubt that what I will imme- diately cancel all my life insurance. ‘Throughout the United States are thousands of life insurance agents who have been telling the American people to build up an estate, to pay premiums annually against the 'has- What will their answer Won't the | What’s What Behind News In Capital Hull Turns Guns on Plan to Turn Cotton Program Into Export Subsidy. BY PAUL MALLON. R. HULL, the silent Secretary of State, is silent only in public. About once s month his mountain blood rises. ‘When it does he goes a-gunning alone in his own quiet but relentless way, avoiding publicity and thus perpetu- ating his reputation as an easy-going OR. This time he is after the inner - circlers who are trying to turn the A. A. A, cotton program into an export subsidy plan. He has pre- pared a confidential memorandum which has been sent to the cabinet Textile Committee and others in the top circle. It offers jormidable opposition to a 7-cent Government subsidy on cotton exports, sug- gested by the cotton textile insti- tute and favored by Mr. Hull's old antagonist, George Peeck, and sev- eral cotton Congressmen. It means there is going to be trou- ble. As Mr. Hull has never yet failed to win a New Deal argument, the odds are distinctly in his favor. SECRETARY. HuLL The confidential Huli memo says the subsidy plan would encourage for- eign nations to retaliate and thus| would start a new international tariff | war. He thinks it violates the spirit of | | our own anti-dumping statute for the | Government to permit unlimited pro- duction here and then dump cotton | | abroad for 7 cents a pound less than | our domestic price. It would cost the | Treasury a third of customs revenues | | (about $100,000.000 & Year) to gec rid | | of the processing tax that way, he | says. It reminds him of the Coolidge- | Hoover policy of lending money abroad | to finance an abnormal export market. As you can see, he is hot about it. Committee Befuddled. The cabinet Textile Committee al- ready was in confusion before Mr. Hull’s blast arrived. It has discovered that the Supreme Court clipped its powers by the N. R. A. decision, just as the decision affected nearly every other New Deal agency. The decision | stopped it from doing anything about | wages, hours, production control. The | |only ideas it could play with were | Japanese imports, the processing tax and the subsidy scheme, which is con- | tamned in the A. A. A. amendments now being passed in Congress. Now with Mr. Hull on a rampage against the subsidy and the A. A. A. inclined to agree with him, the com- | mittee is out in the middle of the car tracks with no place to go. Next President. When Lewis Douglas (President Roosevelt's ex-director of the budget) appeared at Amherst College recently to deliver a commencement address, he was introduced as “the next President of the United States” Many people have been introduced that way who never became President, but it is a further indication of a probable surge for Douglas, of which you were warned two months ago. One of those supposed to be in- terested confldentially in Douglas is Frank Stearns, the Boston friend of Calvin Coolidge. Douglas is in the same position Mr. Hoover was once in. He can be a | Democrat or a Republican, and he is fyoung enough to wait five years or more. On N. R. A. Flying Trapeze. | ‘There are about 3,500 men on the flying trapeze down at N. R. A. They are the ones who will be thrown out of jobs. A net has been put up for some of them by Prof. Tugwell. Robert Straus, son of the Paris Ambassador, and John Swope, son of the utilities mag- nate (yes, there is a son of a utilities magnate in this administration), have | both landed in Tugwell's Resettlement Administration. This is undoubtedly a record leap for two such young con- servatives. Still another small group has negotiated a jump to rural elec- trification. These are men with pull beyond the | ordinary, The regular patronage ma- chine here is overtaxed as a result of N. R. A. dismantlement. It is against the law for any one to tell you who are the millionaires to be affected by Mr. Roosevelt's newly pro- posed wealth taxes. But it is all right to tell you where they are, or rather | where the leading ones were in 1932. Persons with ‘incomes of more than a million dollars that year were divided as follows: Delaware, 1 (undoubtedly @ Du Pont); Micl igan, 1 (probably Hemry Ford); Pennsylvania, 2 (certainly Mellon was one); North Carolina, 2 (sup- posedly including a Reynolds); New York, 8 (surely including J. D. Rockefeller, jr, and a Morgan partner or two): New Jersey, 4, and Illinois, 2; total, 20. In 1933 there were 46. Back in 1929 there were over 500. It would thus appear that, if Presi- dent Roosevelt is going to get any sizable revenue from these sources he will first have to put business back to the 1929 level. Coal Dispute, Coal operators, opposing the Guffey- Snyder bill, dispute the assertion re- cently made in this column that a majority of operators, as represented by tonnage, want the bill. They claim 65 per cent against it. The pro-Guffey crowd claims 55 per cent for it The mine workers claim for it. You may take these contentions but if the figures you will find of things wrong with the ¢oal business: namely, that there are 20 to 30 cent too many operators. Holding Firm Bill Safe, The White House has mnot been worrying as much about the House insurrection against the holding com- panies’ bill as you may think. Every- thing is supposed to be fixed for Vice President Garner to name men favor- Per | endar. NEW CRISIS TODAY IN COAL CONFLICT Committee of Operators and Miners Reports To- night on Solution. By the Associated Press. The complicated maneuvers began nearly four months ago between the United Mine Workes and Appalachian bituminous coal operators in an at- tempt to reach a new -and-hour agreement will reach another crisis sometime this evening. For the second time, each side has rejected the offers of the other, and the joint conference temporarily has turned over the whole matter to a committee of nine operators and nine miners. This committee is to report back tonight. ‘The operators have offered to con- tinue present hours and wages until next April but they will not consent to the miners’ demand for a 30, in- stead of a 35-hour week and an in- crease of about 10 per cent in pay. Insist on Price Protection. Some operators have said they couldn’t commit themselves to any wage scale without some such legisla~ tive protection of their price strycture as is contained in the Guffey bill. Others have opposed the measure bitterly. “How many times do you think we're going to extend this (wage hour) contract?” John L. Lewls, president of the Mine Workers, roared at the prbducers today. “We extended it once, we extended it twice—and riow you say extend it thrice—for a good long time. I think you're all washed up on these exten- sions, myself.” ‘The pros and cons have been argued so much that Charles O'Neill of New York, Central Pennsylvania operator, appearing yesterday before the con- ference, said he saw no reason for again presenting the operators’ rea- sons for opposing the union's re- quests, That story, including competition from fuel oil and natural gas and from had been presented as long ago as February. ‘Third Session in Balance. old wages-and-hours contracts have tion in Congress on the Guffey coal stabilization bill, which sets up a “little N. R. A.” for the bituminous in- dustry. Whether a third extension will be granted awsits the session this eve- ning. The Guffey bill, now on President Roosevelt's “must” list of legislation, is in the hands of a House Ways and Means Subcommittee, which has not finished its public hearings. Another measure of interest to em- ployers and labor, the Wagner indus- trial disputes bill, meanwhile ad- vanced nearer final action. . {GRAND JURY PROBES STOCK OPERATOR Missing Broker's Dealings Said to Be “Greatest Since Ponzi.” By the Associated Press. NEW YORK, June 25.—Testimony revealing a one-man “investment | service” which operated from coast to coast and promised investors profits as high as 1,860 per cent was presented yesterday to the grand jury investi- gating the business affairs of William )1". Peterson, missing New York stock | broker. Department of Justice agents con- ferred with Assistant Attorney Gen- eral Ambrose V. McCall who obtained | & court order requiring Peterson’s ap- | pearance and submission of the books and records of the Isco Service Corp., allegedly operated by Peterson. McCall said that from his informa- tion at least a hundred persons, resi- | dent in localities from New York to California, dealt with Peterson in sums ranging from $1,000 to $100,000. He characterized the service’s op- erations as “the greaest in this coun- try since the days of Ponzi.” Peterson was reported missing from his Pifth avenue hotel a week ago by his wife, Hilda. BID TO LONG CANCELED ON DEMOCRATS’ DEMAND Duluth Mayor Heeds Protests, Withdrawing Invitation for July 4 Address. By the Associated Press. DULUTH, Minn, June 25.—Mayor 8. F. Snively heeded the protest of leading Democrats of Duluth yester- cay and revoked an invitation to Sen- ator Huey P. Long to come here July 4 to explain his “share-the-wealth” program. A delegation which included A. G. McKnight, former N. R. A. counsel at Washington, Collector of Customs J. L. Travers, Postmaster Glen 8. Merritt, and Patrick Burke, 8t. Louis County Democratic chairman, moved into the crowded city council cham- ber and declared the mayor's invita- tion was “an affront to President Roosevelt, the best friend Minnesota has had in the presidency in many years.” Explaining that at the time he for- warded his invitation at the behest of the Lakeview Community Club, sponsor of the July 4 celebration, he did “not realize it's political signifi- cance” the mayor withdrew his offi- cial invitation. Takes up measures on private cal- Finance Committee considers the ‘'wealth tax legislation. House— Takes up ship subsidy bill. TOMORROW. Senate: May debate tax resolution, District Subcommittee meets at 3 p.m. on local social security bill. Appropriation Subcommittee con- gnl_m work on second deficiency bill. louse, the hydro-electric industry, he said, | The two previous extensions of the | been agreed to by miners to allow ac- | New Junior Cabinet Member Takes Oath South Carolina. Elevated DR. ALFRED SZE. CHINA NAMES SZE AMBASSADORHERE Present Minister Is Elevated | to New Post by Nan- king Government. 85 the Associated Press. NANKING, June 25.—The Nanking | Nationalist government today ap- pointed Alfred Sze, present Minister to Washington, to be the first Chinese Ambassador to the United States. The United States recently elevated its legation in Nanking to the status of an embassy. Dr. Sao-ke Alfred Sze, who fought China’s battles before the League of Nations Council in 1931, served pre- viously as Chinese Minister to Wash- | ington from 1921 to 1929. He re- sumed this post in 1933, Born at Chentseh, Kiangsu, in 1877, he attended the Central High | School in Washington and was gradu- | ated from Cornell University in 1901. He took his master of arts degree at | Cornell in 1902. He served as Minister to Great| Britain from 1914 to 1921 and was a | delegate to the Peace Conference at | Paris in 1918 and 1919. He led the | Chinese at the Washington Arms Con- ference and was China's delegate to the League of Nations. SON JAMES TO OCCUPY ROOSEVELT’S HOUSE For Rent Sign Taken Off New York Home—No Demand for Place, Says Realty Firm. By the Associated Press. NEW YORK, June 25—The “For Rent” sign has been removed from 49 East Sixty-fifth street and the town house of the President is to be occu- pled by his eldest son, James, and family. John Rosevelt, another son of the President, confirmed this bit of real estate news today as he packed for an Upstate vacation. “James is the first to take it over with any permanence since grandma and my father lived in it,” John said. “Of course, I'll use it as a swell old hangout.” The real estate firm which adver- tised the President’s house for rent, asking $6,000, said there was no de- mand for houses of that type. It has five floors. GROWERS TO VOTE ) Tobacco Men to Participate in A. A. A, Referenda in July. Announcement of referenda in July for growers of three types of tobacco to determine whether they want ad- justment programs in 1936 was made yesterday by the A. A. A. Growers of burley, fire cured and successor to the ousted Ewing Y. Mitchell, !lt least half the foreign water-borne | dark air cured tobacco will participate in the referends. The A. A. A. said that & decision to conduct the. bal- loting was reached sfter conferences with growers’ advisory committees. The final voting day will be July 27. Britain Perfects Which Fly and Land Pilotless| By the Associated Press. LONDON, June 25—Great Britain today claimed the of the first entirely robot airplanes in the world. The air ministry revealed that s number of pilotless machines were in regular use for gunnery practice over land and sea. SHIP SUBSIDY BILL PRESSED IN HOUSE Administration Measure Hit by Amendment Flurry From Minority. By the Assoclated Press. A bill to subsidize shipping was called up for action in the House to- day, with administration leaders press- ing for a vote on it before nightfall. First, however, it faced a flurry of amendments from a dissatisfied mi- nority of the Merchant and Marine Committee. That committee recom- mended the bill to the House last week | with a statement that it was necessary | to avoid possible Government owner- ship and operation of some shipping | lines. | ‘The bill provides for Government absorption of the differences in costs between American and foreign ship construction and operation, and in- creases the liability of ship owners for loss of life or injury to passengers at sea. Attacked by Minority. ‘Two committee members, Repre- sentative Wearin, Democrat, of Jowa, and Representative Brewster, Repub- | lican, of Maine, contended in & minor- ity report, however: ‘“The method by which both the construction subsidy and the operating subsidy are to be computed is unworkable and produc- | tive of fraud.” They maintained that | foreign costs would be impossible to compute accurately. Wearin and Brewster criticized the bill, too, for not following the specific recommendations of President Roose- velt in a message to Congress March 4. Instead of placing administration of | the proposed act in the Interstate | Commerce Committee, the measure would create a five-man Federal mari- time authority, to which would be | transferred the quasi-judicial powers | of the present bureau of steamboat inspection. Roper Has No Objections. Secretary Roper, nevertheless, has said he has no objections to the bill. Its purpose as outlined by the com- mittee is to develop a Merchant Ma- rine that is: | Capable of carrying all domestic and commerce of the United States, cap- able of serving as.an auxiliary in time of war, owned by citizens of the United | States and composed of the most suit- | able vessels manned by a trained per- | sonnel. —_— THOUSANDS OF HERONS| DIE IN ROOKERY BLAZE By the Associated Press, BEAUFORT, N. C, June 25— Thousands of young herons perished in Lenoxville rookery near here yes- terday as the result of a forest fire creeping through the Eastern part of Carteret County. - As the fledgings, ranging in age from the newly-hatched to the near- flying stage, were burned or suffocated, great flocks of mature birds, of varied colors, perched in nearby trees and| surveyed the tragic end of their younsg. The origin of the fire was not known tonight. Small mill owners of the vicinity began setting back-fires to protect their property. Weekly Traffic Report Number of traffic violations re- ported by the traffic safety ob- servers from June 16 to June 32, 1935, inclusive: Violation. Weaving recklessly ...... Driving in a reckless man- Failing to yield right of way.. 14 Faliling to obey stop sign..... Failing to obey traffic signal B s ‘Turned left from wrong lane. ‘Turned right from wrong iane Driving through safety sone. Driving-passing on wrong side Of street.....oo0eecinncnnns Pulling from curb without sig- naling Passing s Radio Planes An air ministry official said: “They can be controlled so finely y one aboard they and John Monroe Johnson, new Assistant Secretary of Commerce, is shown taking the oath-of office today as Left to right are: Secretary of Commerce Roper, E. W, Libbey, chief clerk of the’Commerce Department, who administered the oath; Col. Johnson and Senator James F. Byrnes of —Star Staff Photo. Heads Camp MISS MARGARET H. CRAIG. MISS CRAIG NAMIED HEALTH CAPHEAD Nurses and Councilors Ap- pointed by Tuberculosis Association. Miss Margaret H. Cralg, a teacher at the Special Health School for ‘Tuberculous Children at Thirteenth and Allison streets, has been appointed superintendent of the Children’s Health Camp to be conducted by the Tuberculosis Association on the grounds adjacent to the school after July 1. ‘The appointment was announced by Mrs. Ernest R. Grant, managing di- rector of the association. Miss Craig, a graduate of George Washington University, for four years was health councillor of Camp Ma- toaka for Girls on Chesapeake Bay. Formerly she had charge of the child health activities of the Tuberculosis Association, including the nutrition clinics and weight surveys in the Washington public schools until this work was taken over by the school authorities. The staff of nurses and councilors engaged to work with Miss Craig at the Children's Hea.th Camp for about 60 children diagnosed as having the chi'dhood type of tuberculosis in- cludes the following: Miss Eleanor Ciowley, graduate of ‘Wilson Teachers’ Coliege and George Washington University, with three years' experience at Camp Matoaka; Miss Isabel Conway, graduate of Wil- son Teachers’ Coliege, with experience at Camp Matoaka and Camp Good Will; Miss Lillie James, graduate of Wilson Teachers’ College; Miss Sara Shriner, R. N, whose nursing experi- ence includes ilree years at Walter Reed Hospital besides teachinz and | public health work; Miss Geneva Bryan, R. N., an experienced nurse, who was with tioe camp last season, and Miss Mabel E. Johnson, K. N., studying at Howard University and two years a volunieer at the Tubercu- losis Clinic. The camp dietitian is Miss Nellie B. Berry, who has had ex- perience in 4-H Camps. 15 SUFFER TYPHOID AS PICNIC AFTERMATH 28 Others, Listed as “Doubtful,” Are in Philadelphia Hospitals. Carrier Is Blamed. By the Associated Press. PHILADELPHIA, June 25.—Fifteen persohs suffering typhoid fever and 28 others listed as “doubtful” are in hos- pitals as the aftermath of a Memorial day picnie. All the victims are among members of 66 families who attended the picnie, sponsored by an American Legion post. With the cause of the outbreak still an end.” Dr. Johnson said & check-up has eliminated city water and food eaten at the picnic, adding the source of the infection was “quite possible” a typhoid carrier, explaining he meant one who carries the virus, but who himself is Omaha Votes on Liquor. dispensing . places tween 8 am. and 8 pm, the polls will be open. A light vote was predicted LOGAN GRILLED -IN'LOBBY PROBE Admits Hiring Man in Em- ploy of Rival Group to Gain Information. John A. Logan, mansging director of the Food & Grocery Stores of America, Inc, whose files were re- cently seized by the Patman investi- gating committee of the House of Representatives, was called to the stand this morning when the “super lobhy” hearings were reopened. With two truck loads of records taken from Logan’'s office, committee members had Logan admit today he had employed a man named John E. Barr of Takoma Park, Md.,, to furnish information from a rival organiza- tion—the Anti-Chain Store League, which -also was employing him. Barr, working for Leon Ackerman, then president of the Anti-Chain Store League, was hired by Logan at $50 & week. It was sald by Logan thet he em- ployed Barr to give him inside facts about Nazi propaganda which was to be spread by the Anti-Chain Store League, though records before the committee contained no evidence of such activity. Spends Unpleasant Hour. Chairman Patman of the committee and Representative Sol Bloom gave Logan an unpleasant hour trying to make him produce concrete evidence of Nazi propaganda on the part of the Anti-Chain Store League. Logan had said that the league pro- posed to publish a weekly newspaper in Washington, a journal with 2,000, 000 circulation, copies of which would be distributed tnroughout the country to independent stores—s literature laden with Naziism. Logan also charged that the Anti- Chain Store League had made an at- tempt to use the names of certain members of Congress to secure mem- bership in the organization. One of the names thus mentioned was that of Patman himself. Patman then | proceeded to give Logan a lecture on what was what in that connection. League’s prospectus. Refuses to Be Trapped. Though committee members re- him say he employed Barr to get |“the low-down” on the Anti-Chain | Store League's activities, Logan re- peatedly stated he employed Barr because the league was dissemminat- ing Nazi propaganda. “Yet,” Bloom declared, “there is no mention of Nazi propaganda in all the files this committee has seized and no mention was ever made of | Nazi propaganda until this morning.” Bloom directly charged Logan with evasion. “What Barr actually did,” Bloom | asserted, “was to get up for his boss— Ackerman—information to show how the Anti-Chain Store League could combat chain-store influence and then prepare an answer to these | arguments for you.” LEHMAN TAKES LEAD IN INQUIRY ON VICE Orders Special Prosecutor Be Named and Calls for Extraor- dinary Court Session. By the Associated Press. NEW YORK, June 35—A high- powered drive against vice and crime in the Nation's metropolis was in pros- pect today, with Gov. Herbert H. Leh- man taking the lead. The Governor stepped into the con- troversy between District Attorney | William C. Dodge and the March | grand jury over a vice investigation | by telling Dodge he wanted a special | prosecutor to do the job. | In a letter to the district attorney | last night, he outlined a plan that pro- | vided, besides the special prosecutor, | for the drawing of a special grand jury and the convening of the Su- extraordinary session. The Governor warned Dodge that if he did not accept the plan, he would direct the attorney general to super- sede the district attorney. Lehman, who is a Democrat and a friend of President Roosevelt, sub- mitted the names of four men, all Re- publicans, from whom the district at- torney could chose a vice prosecutor. Dodge is a Tammany Democrat. ‘The four named by the Governor | are Charles Evans Hughes, jr. son of the Chief Justice; George Z. Med- alie, former United States attorney: (Thomas D. Thacher, former United States solicitor general, and Charles A. Tuttle, also a former Federal at- torney. et BAPTIST CONVENTION RULED BY HARMONY Liberals and Fundamentalists Adopt Social Action Group Report Unanimously. By the Assoclated Press. COLORADO SPRINGS, June 25.— ‘Two thousand delegates at the North- ern Baptist National Convention worked toward an early adjournment amid an atmosphere of harmony to- day. Leaders sought unanimous approval of resolutions and of the officers nom- inated Monday. The choice of Dr. J. H. Franklin, president of the Croser Theological Seminary, Chester, Pa, as president, was considered a fore- gone conclusion. The last apparent barrier to har- mony in the six-day convention was removed when the much-discussed re- port of the Social Action Commission was’ approved by both liberals and fundamentalists without a dissenting vote. The convention suthorized the Gen- eral Council to make the report avail- able to member churches, The Social Action Commission was continued for another year, with the commission's educational program and peace plebi- scite proposals being optional among churches. CROWD AT MORGAN SALE Second Auction Draws Throng to Bid on Miniatures. LONDON, June 25 (#).—The second He said Logan had misinterpreted the | meaning of the "Anti-Chain Store peatedly tried to trip Logan, make | preme Court for New York County in | HOLDING FIRM BILL JETO1S FORECAST Presidential Disapproval Is Expected in Absence of “Death Sentence.” By the Associated Press. Presidential veto of the utility hold- ing company bill is forecast by some legislators unless administration lead- | ers are successful in their House floor | fight to restore the “death sentence” for such holding firms as the Govern- ment calls “unnecessary.” Debate on the measure opens tomor- row. First, however, the Rules Com- mittee was to meet late this afternoon to decide whether four or eight hours of discussion should be allowed. Mandatery Abolition Oppesed. Private surveys of House sentiment have shown a majority opposed to mandatory abolition of holding com- panies by 1942, as asked by President Roosevelt. Administration hopes are pinned, it was said. on later confer- ences between the House and Senate. The Senate approved mandatory abolition by a one-vote margin. After weeks of delay the House Interstate Commerce Committee drafted a com- promise measure giving the Securities Commission permissive authority to abolish the holding companies. | _Chairman ‘Rayburn of the House | Committee is leading the right to re- store the “sentence.” Several legisla- tors. who did not want their names | published, predicted that if Rayburn’s | fight is not successful Mr. Roosevelt | will veto the legislation. He has re- peatedly insisted on this provision. Vote Today Expected. | The general expectation was that | the Rules Committee would vote out | an “open” rule today to leave the legis- lation open for amendment and give administration chieftains a chance to insert the mandatory provisions. Another stiff battle was sighted to- day on the T. V. A, extension bill, in which many recommendations of the Tennessee Valley Authority have been | ignored. Arthur E. Morgan, T. V. A, chair- man, called on the President yester- day and upon leaving said changes voted by the House Military Affairs Committee would be “worse than nothing.” ROOSEVELT SIGNS NAVY BUILDING BILL Fund Cut to $20,680,000, but Yet Provides Record Spending for Peace-Time. By the Associated Press. President Roosevelt today signed the Navy appropriation bill providing a record peace-time fund for naval con- struction. ‘The $460,000,000 bill carried, among other things, an appropriation for starting 24 new warships and for pur- chasing 555 airplanes, Of the planes, 282 are for replacements and 273 for outright increases in the naval ajr strength, in line with the Navy's plan to have 2,000 planes by 1942. The sum available for construction of new warships was cut from $29,380,- 000, as asked by the Navy Department, to $20,690,000. Assirance was given by the department that the reduction would not delay inauguration of con- struction of the new vessels, the total cost of which was estimated at $197,- 427,000, —_— COTTON GARMENT MILLS WEIGH VOLUNTARY CODE Industry Considers 8 Plans. at Session—Report Shows Em- ployment Static. By the Associated Press. NEW YORK, June 25—Formation of a voluntary code to replace the | N. R. A. in accordance with the sug- | gestion of President Roosevelt was taken under consideration yesterday at an emergency convention of the cotton garment industry. Three plans were considered at an executive session of the 10 member associations, which represent employ- ers who in April, 1935, had 160,000 persons on their pay rolls A repart from Dr. Alfred Cahen, statistician of the industry, showed that in the past year wages had in- creased 9.2 per cent. The employment | index for the entire industry remained static, with a slight increase in the | North, a small decline in the border States (Maryland, District of Columbia, West Virginia, Kentucky, Southern Missouri), and & marked decrease in the South. CLAIMING TO BE HIS SON; MAN VISITS NEW MAYOR Brings Records to Prove He Was Born to Wife After Short- lived Marriage. By the Associated Press. . MINNEAPOLIS, June 25.—Pos- sible existence of a son he never has known was laid before Mayor-elect Thomas E. Latimer of Minneapalis yesterday in the appearance of & young man who claimed to be his kinsman by a short-lived marriage nearly 30 years ago. The young man, who said his name was Ira H. Latimer of Chicago brought records to the new mayor. His story, the mayor said, harks to & marriage 1. 1905 between Latimer and a May Helser at Columbus, Ohio. “We didn't hit it off very well and after about three months we sepa- rated,” the mayor-elect related. “Some time later I heard that a child had been born, but I was given to under- stand it died” FORD OFFICIALS SILENT ABOUT $300 DIESEL CAR Experiments . Reported on Mg chine to Compete With Japanese Auto Abroad. By the Associated Press. NEW YORK, June 25.—~The New York World-Telegram says officials of the Ford Motor Co. plant at Edge- water, N. J, refused to discuss re- ports of experiments now conducted at the plant on a four-cylinder su- tomobile with a Diessl motor, to sell throng | for approximately $300. to Christie’s auction rooms today de- spite the sweltering heat. . The first day of the sale of the $2,- 000,000 coliection realized sbout $135,- 000, “It was reported,” the World-Tele- - gram says, “that the car is being daveloped to meet foreign competition of & new Japanese ear scheduled to be 3 y