Evening Star Newspaper, August 20, 1935, Page 1

» WEATHER. (U. § Weather Bureau Forecast.) Partly cloudy, probably showers tonight and tomorrow; not much change in tem- perature; gentle east winds. Temperatures —Highest, 86, at 2 p.m. yesterday; lowest, 73, at 5 am. today. Full report on page A-9. Closing N. Y. Markets,Pages 14,15& 16 ch e e R R Entered as seccnd class matter ., post office, Washington, D. C. No. 33,348. CONFEREES ADOP REVSED TAX B FOR 250 MILLON Ban on Free Federal Securi- ties and Silver Proviso Lose Out. SURTAX RATE TO START AT $50,000 NET LEVEL Wild Hog Hunts Pay In Texas With Price Of Tame Meat High By the Associated Press. SAN SABA, Tex., August 20.— The high price of pork has made the hunting of wild hogs a paying sport. The meat brings about 9 cents a pound. Forty-five wild hogs were rounded up on the Henry Taylor ranch near here in one week and other round-ups are being planned. The fierce wild boars offer exciting sport for hunters as they are dangerous to dogs and un- mounted persons. CONGRESS PUTS ON Individual Levies to Increase to 75 Per Cent Maximum on All Over $10,000,000. BY JOHN C. HENRY. The many times revised administra- | tion “soak-the-rich” tax bill under- ! went a new operation this morning and came out of conference in a final | agreement on form calculated to raise about $250.000,000 extra revenue. In reaching their agreement House and Senate conferees agreed to com- promises on several major provisions New Strategy Adopted Forces Action Prior to Adjournment. BULLETIN. BURST OF SPEED| of the bill, but decided on outright elimination of the Borah amendment to ban further issuance of tax-exempt Federal securities and the McCarran | amendment repealing certain sections | of the silver purchase act. They | agreed also on the Senate substitution of increased estate tax rates rather than a new inheritance tax. | On the controversial provision of | Individual surtax rates, the conferees | agreed, it was announced, on the | House schedule, under which surtax | rates would start to increase at the $50.000 net income bracket. The Senate bill had started the increase at the $1.000.000 bracket on the A filibuster against all adminis- tration legislation, designed to force action at this session on neu- trality legislation, was announced today by Chairman Nye of the Senate Munitions Committee. By the Associated Press. Watching warily to avert any filibuster threats, Democratic leaders in Congress today strove to maintain a furious pace which they now hope | may end in adjournment as early as Thursday night. : Moving so fast that on one occasion the Senate was ready to vote on a bill before the measure got to it, Con- WASHINGTON, D. C, ANACOSTIA T0 GET P.WA HOUSING 108 COSTING MILLIONS 700 - Family Project Ap- proved, Land Purchased and Funds Allotted. 55 AREAS INCLUDED; PLAYGROUND PLANNED Electric Kitchens and Central Heating Plants to Be Provided. Rents Will Be Low. The second low-cost housirg project for the District, a 55-acre develop- | ment in Anacostia to cost $3,500,000, | was announced today by the Public Works Administration, which has allotted the money. Options have been obtained on the land, now unimproved, located at the intersection of Anacostia road and Ridge road southeast, and final con- tracts for the sale are expected to be signed late today. The project planned for the north- east has been abandoned, it also was announced. The new project will contain one and two story row houses and two- story flats to accommodate 700 fam- ilies “to rent for the same rents now paid for substandard accommoda- | tions.” There will be 117 three-room flats, 170 two-room flats, 257 two- story row houses and 159 one-story houses. Central Heating Planned All will be completely equipped for | electrical operation, with electric ground that such was the wish of gress yesterday gave final approval to| ranges for cooking and electric re- President Rocsevelt. o Ratio Runs Up to 75 Per Cent. | ‘The House schedule, jumping the | rate on the $50,000 bracket from 30 to 31 per cent. runs up to a maximum of 75 per cent on all net incomes over §10,000,000. It was estimated that $45,000,000 additional revenue would come from this section. In the case of the intercompany dividend tax. imposed in the Senate | and requested by President Roosevelt, the conferees reached a compromise. By its terms the regular corporation taxes would be applied to 10 per cent of the income from intercompany divi- dends. The Senate bill had applied these taxes to 15 per cent of such | income, while the House bill had levied no such tax. The tax thus amounts to about 1'; per cent on all #uch income. | It was estimated that this provision | will yield about $29.000,000. The | original Senate yield was figured at | $39,000,000. Corporation Rates Compromised. | A compromise was reached on the| graduated corporation income taxes with the rate now ranging from 12!5 per cent to 15 per cent, whereas the Senate rates have been 12!; to 151 per cent and the House rates were 131, to 14% per cent. The present ! rate is a flat 13% per cent. | Under the compromise, the 121 per cent rate will apply to taxable corporation income up to $2,000; from there to $15,000 the rate will be 13 per cent; from there to $40,000 it will | be 14 per cent, and from that point | up it will be 15 per cent. | The estimated revenue from the altered provision will be $35,000,000 | where the Senate bill figured to raise $60,000,000 and the House bill only . $15,000,000. In further taxation upon corpora- tions, the conferees reached agree- ment on an increase in the capital stock tax to set the new rate at $1.40 | per $1.000 of adjusted declared value. | The House bill did not impose any increase over the present rate of $1, but the Senate jacked this tax up to $1.50. The compromise is calculated to bring in $44.000,000 additional, as | compared to the $55,000,000 figured on in the Senate measure. Excess Profits Rates. ‘The House conferees receded from their plans for new excess profits rates and the Senate schedule was approved. | ‘This would apply a tax of 6 per cent on profits between 10 and 15 per cent on the declared valuation and of 12 per cent on profits above that level. The house had a range from 5 to 20 per cent on all profits in excess of 8 per cent. The present rate is a flat 5 per cent on all above 12!, per cent profits. ! In this same provision, the House | agreed to the Senate amendment by which corporations would be allowed :1'” privilege of declaring a new valua- | jon. . This section of the bill is expected to raise an additional $10,000,000. It was announced that the House conferees had receded from their in- sistence on the inheritance tax pro- visign as requested by President Roose- velt and included in the bill when it (See TAXES, Page 5. COLONISTS’ SCHOOL PROJECT DROPPED Alaska Settlers Too Busy With Other Buildings to With- stand Winter. By the Associated Press. PALMER, Alaska, August 20.—Ad- ministrative officers of the Govern- ment’s land settlement project in the Matanuska Valley had definitely de- cided today to postpone construction of a large central community school building this year. Lieut. H. V. Martin, second admin- istrative officer, who announced the decision, gave no reason. It was assumed, however, that the necessity for getting colonists, live stock and supplies under permanent shelters before Winter sets in prompted the decision. Lieut. Martin said the building problem was solved and that all homes, barns and storehouses would be fin- ished before snow falls. Sixty-nine cabins remained unfin- ished, 66 unstarted while 19 were under roofs, the weekly construction report howed. Twenty-eight wells were com, ! that is over. the 1935 omnibus banking bill and a railroad pension measure. The House gave its final “O. K.” to a $614,000,000 rivers and harbors bill and passed the Guffey bituminous coal in the Senate today. The chumber approved yesterday a three-year Frazier-Lemke farm moratorium and shot it across to the House. Leaders evidently had adopted a definite strategy in efforts to obtain ministration “must” list. For one 000,000 tax bill until the last mnute, in the appatrent belief that Congress may stampede for home as soon as They want the other decisions made beforehand. Delay Adjournment Resolution. They also are delaying the introduc- tion of a resolution fixing a definite date for adjournment. If such a date ! were fixed with a pile of legislation pending it might be possible for a group to filibuster long enough to block some bill the administration wants, Speaker Byrns went to the White House today and assured President Roosevelt of adjournment by Saturday in reviewing the progress made yes- terday by the House. He said it was now certain that final agreement would be reached on the amendments to the Tennessee Val- |ley Authority, but still described the utilities holding company regulation bill as uncertain. . He was hopeful. however, that a compromise would be worked out on it, too. With the exception of the Guffey coal bill a third deficienéy appropria- tion bill, which has not yet been in- troduced, and a railroad reorganiza- tion bill, most of the major items slated for action this session have gone through both Houses, though several are still tied up in Senate- House conference. Bills in Conference. Among bills already through both Houses and awaiting agreement in conference are: The utilities bill, deadlocked because of a furious fight over the Senate’s provision for compulsory dissolution of certain utility holding companies. Predictions were heard that today's developments might decide, once and for all, whether, the conferees could agree. The bill for a new system of liquor control, which conferees debated again last night, without result. Tennessee Valley amendments broadening the agency’s powers. Sena- tor Norris, Republican, of Nebraska, head of the Senate conferees, said he hoped for an agreement today. A bill to prohibit damage suits in the wake of the New Deal's gold | policy. Rail Pension Bill Speeded. At one point yesterday congressional machinery proved too slow for impa- tient legislators. In the Senate, a vote on the railroad pension legisla- tion, designed to replace a law ruled out by the Supreme Court, was sug- Robinson, Democrat, of Arkansas, said the House had just fin- ished passing such a bill and “it ought to be here any minute now.” When the messenger arrived with it, it sped through the Senate, 76 to 3. —_— Davis Cup Pinyer li]led. OSLO, August 20 (#).—Finn Smith, the Norwegian Davis Cup tennis player, and an aviation officer were killed today in the crash of a mili- tary plane. Readers’ Guide Short Story - Society - Sports -A-11-12-13 Washington Wayside ___B-1. Women's Features -._B-10: frigerators. Heat and hot water will be supplied from a central plant. Playgrounds and other recreational facilities will be supplied and later | | a swimming pool may be built. A | control bill, which came up for debate | community center hall also will be | constructed. ( The present plans call for im- | mediate development of 43 of the 35 acres. The project will be called Anacostia Terrace. The administration’s announcement | quick decisions on the whole ad-| aiq its purpose was to provide neces- | sary housing as pointed out in a | thing they were believed to be Post-| gurvey g year ago by the Public Utili- | | poning final action on the new $250.- | ties Commission. By obtaining options on a large undeveloped tract, officials said, they have avoided the pitfall of condemna- | tion proceedings which threaten to block the successful carrying out of the colored housing project in South- | west Washington. | Funds for the Anacostia project will | come from the $4.300,000 previously | earmarked by P. W. A. for such ex- | penditures in Washington. | Since property owners in the South- | west attacked the Government's con- | demnation suit in court, the utmost | secrecy has been maintained in con- nection with P. W. A. plans for slum clearance and housing programs. In going outside the strict city limits | for his latest venture in housing, previously announced policy to avoid long and costly condemnation pro- ceedings whenever they are threat- | ened. This new project, it is understood, | is to be located on the outskirts of a section which has received little at- | tention in the way of public expendi- tures for improvement. It offers an ideal site by reason of the fact the land can be purchased at a moderate rate. Housing officials explained today it had been “impossible to get to- gether” on the Rhode Island avenue site. Ickes has never officially an- nounced the location, but it was known to residents and business in- terests of the section that the Gov- ernment was trying to purchase a large acreage on the south side of the avenue between Twelfth and Seven- teenth streets northeast. Citizens Opposed Plan. From the beginning it has been a | source of trouble and embarrassment | to officials. The Rhode Island Ave- nue Citizens' Association led a de- termined fight against it on the plea the project would bring “undesirables” | into the section, would tend to lower | property values and add to an already | overcrowded school population. To add to these complications, the Baltimore & Ohio Railroad suddenly remembered, officials said, they had obtained a right of way across the | tract about 50 years ago. Officials said they had placed a high price on this right of way. The undeveloped real estate is the property of a single estate. With one thing or another arising to complicate the situation, the hous- ing division foresaw a long and un- certain wrangle. They decided to abandon the idea of building in Northeast Washington and looked about for some other location in the Eastern section of the District. STOCKS REBOUND AFTER SHARP SAG A T. & T. Shares Cut $4.75 Loss in Half and Other Leaders Turn Upward. By the Associated Press. NEW YORK, August 20.—The stock market rebounded after a further slump in the earlier hours of trading today. Morning losses of $1 to $4, particu- larly in utilities, were regained or reduced in an afternoon rally. The list turned dull on the rally, however, and recuperative power showed signs of weakening in the last hour. American Telephone, after dropping $4.75 to $135.25, recovered more than half its loss. Westinghouse fully regained » loss of $2 to $62. Losses of $1 or more in Consolidated Gas, American Water Works and Western Union were virtually recov- ered. Coppers and flrfl* ‘were firm. N | Ickes is merely carrying forward a | WITH SUNDAY MORNING EDITION TUESDAY, ——mi 0., PLAY PLANS INCLUDE 0P W. P. A. Projects List Big Swimimng Tanks in $572,000 Request. The District today forwarded to the | Federal Works Progress Administra- ition plans for improvement to | District recreational areas at a cost of $572.000. Included in the list of projects are | plans for a large swimming pool tor | the Southwest section and gnotner for the Barry Farms area in South- east Washington, eight waaing pools, | 26 tennis courts, a number of piay- ground shelters, and a variety of other work. ‘The program. drafted by Miss Sybil | Baker, supervisor of the District Play- | ground Department. has the approval lof the District Works Projects Board !and Commissioner Allen, District works administrator. Other Action Later, on later by the Projects Board. Today's program is calculated to an average of 63%persons now on the District relief roster. ‘The locations for the proposed swim- ming and wading pools have not been determined finally. Miss Baker pro- poses a swimming pool at or near the Hoover Playground, in Southeast Washington, and another for the other location should the National Capital Parks Office start one in that section ahead of the District govern- ment. Areas Are Considered. ‘The Playground Department is con- sidering as location for the wading pools the following playgrounds: Hoo- ver, Sherwood, McMillan, Twin Oaks, Burroughs, Phillips, Rose Park and Barry Farms. Locations were not given for the proposed 26 tennis courts. The appli- cation reveals that another work plan- ned includes the following: Fencing a number of playgrounds, surfacing tallation of playground equipment at number of points, construction of 12 shelters and comfort stations, grad- ing of 16 existing or proposed play- ground sites, landscaping and planting of trees, shrubs and sodding for 21 playgrounds, installation of drainage systems for 6 playgrounds and instal- lation of lighting for the playing courts of 10 playgrounds. . Four Feared Lost at Sea. BOSTON, August 20 (#).—The probable loss of four lives in a marine disaster was reported today as four surviving members of the crew of the wrecked New York fishing schooner Juneal reached Boston aboard a Norwegian freighter. The survivors expressed fears that three Brooklyn, N. Y., men and another from Boston had been lost as the Juneal sank off Nantucket yesterday. AUGUST Other works programs for the Play- | ground Department are to be acted | provide steady work for a year for | Barry Farms Playground. The one for | the Southwest may be shifted to an-| work on four other playgrounds, in- | YE GODS! OLIVER TWIST HAD NOTHING Lobby Discovery Of McIntyre and Party Irks Long | Hopson Incident Gives Louisianan Chance on Senate Floor. By the Associated Press. Discovery by a Senate searching party of Marvin H. McIntyre. White House secretary; L. W. Robert, As- sistant Secretary of the Treasury, and Amon G. Carter, Texas publisher, | fraternalizing at a Washington hotel last week with an associate of H. C. Hopeon, utility figure, was ridiculed | in the Senate today by Senator Long, Democrat, of Louisiana. Waving his arms, he recited how agents of congressional committees last week scoured for the utility man (Bee LONG, Page 5. HOPSON DEFENDS | Stockholders’ Reports Show Profit, but Returns to U. S. Claim Losses. BY JAMES E. CHINN. The Senate Lobby Committe> re- vealed today that while the Associated Gas & Electric Co., in its annual re- ports to stockholders in the period between 1925 and 1932, showed profits turn to the Federal Government showed capital losses. corporation, who was on the witness stand for the second successive day, admitted that the evidence uncovered by the committee probably was cor- rect, but defended it on the ground ports should be made in that way. Annual reports of the company, Hopson explained, are set up on the basis of operating profits. and not on capital gains called for in income tax returns. Cash Dividends Phssed. The committee again bombarded the utilities magnate with questions for nearly two hours, concentrating chiefly on the operations of the As- sociated and its vast empire of utility operating companies, and developed that cash dividends had not been paid on its stock for some years. ‘Threatened with contempt proceed- ings if he did not answer questions, Hopson agreed that he and his family had drawn profits of $3,187,000 from the Associated system from 1929- 1933 inclusive. This was brought vut through persistent questioning by Senator Schwellenbach, Democrat, of Washington. Hopson acknowledged that during _ (See LOBBY, Page 4.) BY REX COLLIER. The life of J. Edgar Hoover, direc- tor of the Federal Bureau of Investi- gation, Department of Justice, has been threatened by Alvin Karpis, so- called public enemy No. 1, for whom the G-men are conducting an inten- sive man hunt in connection with the Bremer kidnaping. ‘The threat to the chief of the G-men, it was disclosed at the depart- ment today, arrived several weeks ago. Details were closely guarded by de- partment officials. Karpis, it is understood, wrote a letter to Hoover from a Midwestern city, declaring he intended to Kill the investigation director, apparently in revenge for the slaying by Hoover's men last January near Miami, Fla, of his pal, Pred Barker, and the lat- ter’s mother, Kate (Ma) Barker. Karpis had been with the Barkers at their improvised fortress on Lake Weir, Fla., & day or two before Pederal aggpts surrounded the house and, fol- refusal of the occupants to issues | surrender, riddied the with ma- { chine gun bullets, Karpis Threatens Hoover’s Life InSeeking to Avenge Slain Pal Karpis and Harry Campbell fled from Florida to Atlantic City. where they escaped from police during a gun battle. . Hoover refused to discuss the threat for publication, but another depart- ment official said the threat had been definitely identified as coming from Karpis. Presumably, his handwriting or fingerprints on the letter were identified. The G-men picked up the trail of Karpis and Campbell out of Atlantic City, but missed their quarry. Since then, G-men have been conducting a Nation-wide search for the pair. Hoover has recelved other threats in the past from criminals, but he has never taken them seriously. John Dil- linger sent several post cards taunt- ing him. “Machine Gun” Kel- ly threatened to kill not only Hoover, but every one else who had anything to do with the capture of Harvey Bailey and other members of his kid- naping gang, and Charles “Pretty Boy” Floyd sent indirect nications to Hoover on several 20, 1935—THIRTY-TWO PAGES. ¢ Foening Star FHH The only evening paper in Washington with the Associated Press News and Wirephoto Services. Yesterday’s Circulation, 121,455 Some Returns Not Yet Received. TWO CENTS. (#) Means Associated Pr 7 Z ‘ VS //// . - PRNTERMURDERS WONAN RODNER Charles F. Hisey Believed Angered at Her Refusal of Financial Aid. TAX DISBREPANEY' which ranged as high as $20.000,000 | in 1930, its annual income tax re- | Howard C. Hopson, reputed “master | mind” of the giant utilities hoidln‘| the income tax law provided that re- cide, Charles F. Hisey. 52, of 414 Rit- tenhouse street, a printer, shot an POWERS ARE UNITING TO HALT MUSSOLINI AS DEFIANCE GROWS Great Britain Takes Lead by Calling Emergency Session of Cabinet to Stop War. FEAR SWEEPS SMALLER NATIONS, END OF LEAGUE IS THREATENED Il Duce, Pressing Armed Preparations, Refuses to Give Assurance to Send Envoy to Peace Session. By the Associated Press. PARIS.—Italy defies powers to interfere with its campaign to “disarm” Ethiopia and admits possibility of quitting League of Nations. LONDON.»Cabipet members rush for emergency meeting to face gravest situation since 1914 as lesser nations tremble in fear of Apparently crazed and bent on sui- | League collapse. ADDIS ABABA —Ethiopia carries on war preparations secretly, hiding mobilization as long as age editorial today. concilable.” (Copyright, pute between Italy and Ethiopia policy in the imminent conflict. Thursday. line of policy to be submitted to | all nations in concert, but not as chance for peace exists. ROME.—II Duce orders entire government represented at military maneuvers of 500,000 men al Austrian frontier. VATICAN CITY.—The Vatican newspaper, Asservatore Romano, reflected gloomy views on the Italo-Ethiopian crisis in a front- ria “It is evident there is no possibility of rying conciliation again with success in the face of the opposing parties which cling, more than ever, to positions radically irre- 1935, by the Associated Press) LONDON, August 20.—The British cabiret, summoned to emer- gency session on the international crisis developing from the dis- , is to determine Great Britain's Conference Called for Thursday. The ministers, summoned from their vacations, will meet . Sir Samuel Hoare, foreign secretary, and Anthony Eden, min- ister for League of Nations affairs, already are working on an out- Prime Minister Stanley Baldwin, who is returning from Aix-Les-Bains, France. Informed sources said the policy would still support collective sanctions (measures against an aggressor nation) as an action by a lone-hand affair. Britain and France to Co-operate. It was reiterated that Great Britain snd France had agreed | killed Virgie Lyttle, 26-year-old de-|informally to work in co-operation in the Italo-Ethiopian crisis, | partment store clerk who roomed at | his home, when she refused his offer | of financial aid this morning. | Policeman Robert T. Talbert. 55, | of 467 Luray place arrived a few min- utes later and was met on the stair- way with two shots from Hisey's pis- | tol. one lodging in his right forearm. Despite the wound, the officer gained the top of the stairs, hurled Hisey to the first floor and subdued him. A note addressed to the coroner and written by Hisey was found in the house. Police said it profanely told that he was tired of this life and was getting out of it, ending with the | query, “Savvy?" It directed all his property be given to his wife. Act Attributed to Anger. Homicide detectives were at a loss this morning to ascribe a reasonable motive for the slaying and believe it was the result of a sudden fit of anger, brought on when Miss Lytell is said to have refused his offer to give her $200 to pay off 1 debt. Police said his wife said he had been drinking for several days. He was a linotype operator at the Washington Daily News. After his arrest Hisey maintained a sullen silence. Even when a Walter Reed Hospital orderly asked him if the girl was a Catholic, intending to | summon a priest to administer the last rites of the church, Hisey gave the surly answer that he “wasn't talking | to any one.” The gun with which the murder was committed, a . i 'CLIPPER WILL BEGIN RETURN FROM WAKE Seaplane to Take Of Today for Midway En Route Back to Alameda. By the Assoclated Press. HONOLULU, August 20.—The Pan- American Airways’ pioneering clipper plane today was ready to start its long return journéy over the Pacific from Wake Island, Pan-American offi- cials announced here. The big seaplane, the announce- ment said, was scheduled to hop from Wake at 7:30 a.m., Honolulu time, for 2 1,191:mile flight to Midway Island. It will remain there for a day or two before continuing on to Honolulu. On its third pioneering flight across the ocean on the proposed trans-Pacific commercial air route, the plane reached Wake Island Priday. The trip to the tiny island outpost was a continuation of the clipper’s third trip from Alameda, Calif., to Hono- lulu and its second from here to Midway. POLICE PROBE THREAT: TO.DYNAMITE HOUSE | Extortion Note Sent Wealthy Auto Executive Asks $52,000 by Tonight. By the Associated Press. SACRAMENTO, Calif., August 20. —Police found themselves empty- 7:30 o'clock tonight. The note was found under a door in Miller's home in an exclusive dis- Miller laughingly called it the work f a “crank,” but police treated it lightly. Las night Miller received lephone call instructing him to go an address, blink his automebile ts twice and leave the money the trip, waited Italy Has No Hope Of Preventing War Through Diplomacy By the Associated Press. | PARIS. August 20—Italy acknowl- edged the inevitability of war in East Africa today with what amounted to defilance to other powers to interfere with its campaign. | Italy openly expressed scepticism that “diplomatic channels” would stop Mussolini from “disarming” Ethiopia. Baron Pompeo Aloisi, Italy's dele- gate to the crumbled Paris Confer- ence of representatives of Italy, France and Great Britain indicated, as he quit Paris, that Mussolini would use his “wealth of man power” in his “disarming” drive, ostensibly for the protection of Italian colonies. Little Hope Seen in League. The possibility of Italy's quitting the League of Nations “if she is shown to the door” was expected to | intensify French efforts toward find- {ing a solution of the problem, but | Aloisi predicted failure of the League's | efforts as well as of diplomatic nego- tiations. It was even uncertain whether Italy would be represented at the meeting of the League Council September 4, | Aloisi saying, “Our final decision will , | depend on the progress of affairs.” Fear was expressed by French offi- cials that the Franco-Italian friend- ship, strengthened last January in a Rome conference between Mussolini and Laval, was shattered. They thought it unlikely that Italy would support France in view of France's at- titude against Italy now. Other Pacts Made. | Aligned with Italy, France felt safe against Germany. France had estab- lished a “Little Entente” of Yugo- slavia, Czechoslovakia and Rumania. A virtual military alliance was made with Russia. With Italy and Great | Britain, France guaranteed Austria’s | independence. Though allied with Great Britain, France knows that last June 16 Brit- ain entered a naval pact with Ger- many. France cannot foresee how Italy will behave in Central Europe if France and Britain join against Il Duce in his African colonies. WARRANTS ISSUED FOR GEN. DENHARDT Head of Kentucky National Guard Indicted on Crifinal Contempt Charge. By the Associated Press. HARLAN, Ky, August .20.—Bench warrants for the arrest of Adjt. Gen. Henry H. Denhardt, head of the Ken- tucky National Guard, were issued by Circuit Judge James M. Gilbert to- day immediately after an indict- ment charging criminal contempt was returned by the Harlan County grand Jury. The warrants were ordered for- warded at once to the sheriffs of Franklin and Jefferson Counties as well as Harlan County. Commonwealth’s Attorney Daniel Boone Smith said that since no bond was indorsed on the indictment, Gen. Denhardt, storm center of the centro- versy over the use of troops in the primary here, would be jailed imme- diately upon his arrest. Headquarters of Gen. Denhardt at Prankfort said he was at Fort Knox today. Officers at Fort Knox reported that Gen. Denhardt had left for Frank- fort today. Gen. Denhardt has been at the fort for the past two weeks during the training period of Ken- tucky and National Guards- men, but that there had been no formal agreement. - 4 Authoritative quarters said the British government does not intend to | send troops to the Lake Tsana region of Ethiopia to protect British rights. 1 Although the British are anxious concerning the lake, which is one of the sources of the Blue Nile and, con- sequently the Nile in Egypt, it was emphasized that the British govern- ment dogs not plan to go so far as to occupy the area around the lake, The British said they were without assurances that Italy will be repre- sented in the Council of the League of Nations when it meets September 4. It was guggested that the League would try to force a full inquiry, per- | haps through an investigating com- mission, of Italy's dispute with | Ethiopia. The Dominion Governments, it was | stated. are being consulted on the crisis in the usual manner. Smaller Nations Tremble. | As the British ministers reassembled | because of the breakdown of the tri- | power conference in Paris, which met | to find a solution for Italo-Ethiopian | peace, fear swept the smaller nations of Europe. | Stirred by apprehension that the | League of Nations is on the verge of | destruction as a result of Mussolini's | death blow to the Paris parley, the | little nations are reported planning s united front to save the League. “Where would the brave little Bel- gium of 1914 be today in view of the great powers’ seeming failure to pre- vent invasion of helpless Ethiopia by powerful Italy?"” asked a high Scandi~ navian official, explaining the alarm of the lesser powers at the trend of the crisis. The foreign ministers of Sweden, Norway, Denmark and Finland will convene next Sunday to discuss s common front to support any League action against Italy. ‘The Baltic states, traditionally neutral in European affairs are un- easy. Holland sees in war a threat to her trade in India. Four-Point Program. Sir Samuel summoned to Sandring- ham by King George yesterday to confer on the crisis prier to his majesty’s departure for Balmoral, re- turned to discuss with Eden, Britain's representative at the Paris Conference, four points the cabinet must ponder. ‘These points are: First, the danger-fraught question of sanctions which Premier Pierre (See ETHIOPIA, Page 3.) —— DIFFICULTIES SEEN FOR NAVAL PARLEY Collapse of Stresa Front and Japan's Parity Demands Held Drawbacks. By the Associated Press. LONDON, August 20.—Collapse of the Stresa front and renewed Japae nese demands for equality will make it difficult to hold the preliminary naval conference in October, which the British government had arranged diplomatic circles said today. It is believed Italy will decline to send a delegation to the sessions, and Japanese participation is also con- sidered doubtful. It is felt that Italy will ignore the conference while the dispute with Ethiopia continues, in view of the disruption of the Stress unity of Great Britain, France and itself. Reports from Tokio state that the Japanese again will demand the actual tonnage limitation previously refused It is expected here that unless Japan is able to obtain assurances from Great Britain and the United States that such demands would be considered at the confere it might not par- ticipate.