Evening Star Newspaper, October 2, 1935, Page 2

A—2 %% JONES FLAYS TWO ONLOAN METHODS False Statement Charged in Attempt to Block Cen- tral Solution. By the Associated Press. A J. P. Morgan partner and the head of the First National Bank of New York were accused yesterday by Jesse H. Jones, Reconstruction Finance Corp. chairman, of attempting to block a solution of the financial sit- uation of the New York Central Rail- T & letter to Harold S. Vanderbilt of the Finance Committee of the road, made public here, Jones charged that a letter signed by George Whitney of the Morgan firm and Jackson E. Reynolds of the First National, con- tained a statement that was “not true” and that the letter was “ob- viously intended to make impossible my suggestion that the banks and the R. F. C. exchange their demand notes for bonds.” The statement branded by Jones as “not true” was that his proposal that the banks and the R. F. C. take convertible bonds was asking the financial institutions to violate the banking laws forbidding them from owning railroad stocks. In another letter, written Sunday to Vanderbilt, Jones said the controller of the cur- rency had held that the banks could legally accept the convertible bonds. Loans Are Extended. Immediately after writing yester- day's letter, Jones left for New York, but last night it was made known that the corporation has extended until November 30 New York Central Joans totaling $15.600,000 which fell due yesterday. The company owes the R. F. C. a total of $27,500,000 and 10 banks $63,000,000. Jones, Van- | cerbilt, Whitney and Reynolds have | been seeking a means by which the railroad company could place these Joans on a long-time basis. The bank | Joans all are on “demand” notes. *The Reynolds-Whitney letter, dr-‘} culated by you among the 10 lending | banks,” said Jones yesterday, “ob-| viously intended to make impossible my suggestion that the banks and the | R. F. C. exchange their demand notes for bonds, as well as to discredit my | efforts to bring about such a solution. “It imputed to me a proposal that| the banks violate the law—which is ot true; assuming to themselves more | scrupulous ethics. What’s What Behind News In Capital Politicians Flirt With California’s Apostles of Easy Utopia. BY PAUL MALLON. AN FRANCISCO, October 2.— The undertone in California is not hard to hear. It is radical- ism versus democracy, and it does not murmur; it shrieks. All the funny political noises you have heard from here (the red-led dock strike, the Sinclair Epicac hawking and the Towu- send plea to support the aged in style) appear to be only the beginning. The din will be deafening when the forces of communism and fas- cism, now organizing quietly, come to the climax of their Struggle. At least this is what both Communists and conservatives will tell you be- hind their hands, and it seems to be true as far as the northern half of ‘this golden empire is concerned. The inside situation i¢ getting around to this partly because come one seems to have been pouring water into Dr. Sinclair's Epicac. It is not gen- erally known, but more than a couple of persons are supposed to have dropped out of his outfit lately beca::se they believed it was losing its popular potency. The Townsendites seem to be ho'd- ing their lines better, possibly because there are so many elderly retired per- sons settled here with voting wives, sons and daughters. Their peak slsc may have been reached. THE EVENING STAR, WASHINGTON. IMPORTS OF FOOD SHOW SHARP RISE Wheat, Corn and Cattle Lead—Export Balance Is Slumping Badly. By the Associated Press. Heavy increases in American im- ports of foodstuffs during the first half of 1935 were reported today by the Chamber of Commerce of the United States. Chamber statisticians, noting, among other things, a 117 per cent jump in wheat imports, a 11,462 per cent increase in corn imports, and a 356 per cent rise in cattle im- ports, attributed the increases to the drought and higher domestic prices. Their review of imports followed publication last night of an analysis of recent foreign trade which they said indicated the year end would balance in 40 years. An improved showing was predicted for the last four months of this year, but even so chamber experts fig- ured the total favorable balance of exports over imports would fall slight- ly below $100,000,000. Not since 1895, they said, has the excess of exports dropped below that figure. Laat year's favorable trade balance was $778,000,000. Manufactured Articles Lead. The analysis asserted manufactured articles were displacing farm products as the United States’ leading export commodities. In its review of food imports for the first six months, the report said: “Feeding grains, cattle, meats, but- ter, vegetable oil and oil seeds flowed into the United States in the heaviest importation in many years. “Imports of wheat for the half year amounted to 12,179,000 bushels, which | was 117 per cent larger than in the | corresponding half of 1934 and 92 per | cent above the five-year average. | “By-product wheat feeds imported totaled 182,000 tons, an increase of Within and beyond these outAits, tne | 226 per cent over 193¢ and 138 per deep-dyed radicals are coming Strorg. | cent above the five-year average. Corn Communism may be only a dflldiimpofl,ed am to 17,620,000 herring across political paths east of | bushels, 11,462 per cent more than last the Rockies, but around Frisco it is | year and 7,550 per cent above the five- the real, red stuff. You can get an in- | year average. Receipts of oats sight on that by looking behind the | amounted to 10,055,000 bushels, ex- vote at the last A. F. of L. State ceeding last year's quantity by 47,558 Convention. The Borer Within. Harry Bridges is the clever left-wing spearhead, boring from within orgen- ‘ per cent and the five-year average by 6,510 per cent. ! Cattle Imports Gain. | “In the same period, we imported “In order that there may be no mis- | ized labor through his leadership cf 230,581 cattle, 356 per cent more than understanding as to my position or theirs, I am releasing the correspond- ence.” Jones, in his letter of September 29 to Vanderbilt, took the New Yorker and ths bank heads to task for criti- cizing his discussions of the financial | situation of the railroad company with | newspaper men. Vanderbilt said, I cannot see what useful purpose is served by the publication of inter- views such as the one referred to.” Government Official “You and they seem to forget,” Jones answered to this, “that I am a Government official, lending Govern- | ment funds, and that the public is in- terested in R. F. C. activities and in the New York Central's finances. You forget, too, that these interviews to which you object are the result of per- tinent inquiry by the press. But if you will search the newspaper files you will find no statement by me that could be hurtful to the New York Central or to any other Institution that has had occasion to borrow from the R. F. C. “I appreciate that some bankers and corporate officials do not like publicity, but railroads are required by law to | make public their entire activities, as is also the R. F. C. Yours is one of our prominent railroad systems and the condition of its finances is of in- terest to the public. “One very good way to avoid further publicity of this character would be to put your finances in order.” Jones told Vanderbilt he felt he would be derelict in his duty if he did not do what he could to help “correct what I know to be an unhealthy sit- uation” and that he would continue. He said he told Reynolds that if the road would authorize a $90,000,000 convertible bond issue with which to liquidate its current debts, with the approval of the Interstate Commerce Commission, the R. F. C. would take half the issue, which would pay the road’s debt to the R. F. C. and reduce the bank holdings by $30,000,000. 4 Per Cent Interest. ‘The bonds, Jones also thought, «£hould bear 4 per cent interest and .be convertible at an attractively low figure. Reynolds, the R. F. C. chair- Jman said, had held out for 43, per ;cent and & conversion price of $30. The letter from Vanderbilt to Jones Jwas sent to the following heads of ;banks involved in the loans: 1 W. C. Potter, chairman Guaranty "Trust Co. of New York; Lewis E. Pierson, chairman of Irving Trust Co.; Winthrop W. Aldrich, chairman of Chase National Bank; James H. Per- kins, chairman National City Bank of New York; Walter J. Cummings, chairman Continental Illinois Nation- al Bank & Trust Co.; Richard K. Mel- lon, president, Mellon National Bank; H. S. Leyman, chairman First National Bank of Cincinnati; John P, Oleson, chairman First National Bank of Chi- cago; Jackson E. Reynolds, president First National Bank of New York; George Whitney, J. P. Morgan & Co. CASE OF PARALYSIS LISTED IN ARLINGTON Third of Year Involves 8-Year- 0ld Pupil—Other Victims Have Recovered. By a Staff Correspondent of The Star. ARLINGTON COURT HOUSE, Va., October 2—A third case of infantile paralysis in Arlington County was re- ported yesterday by Dr. P. M. Chi- chester, county health officer. This s the only active case at present, the victims of the earlier cases having re- eovered, according to Dr. Chichester. The third victim is an 8-year-old Clarendon boy who was a student at the longshoremen. Formerly he re- | ceived about 400 or 500 votes each year when he ran for some A. F. of L. office. A few weeks ago he received 19.202 votes in his campaign for a vice presi- dency. He was defeated. His ruccess- ful opponents (non-radicais) polled an average of 56,000 votes. But Bridges upswing was enough to make the regular labor leaders whistle in amazement. They are assuming the responsibility for stopping the left wing surge, which seems to be quite a responsibility. On the other side, the business people know what is coming and are getting ready. A new Citizens Voters' Association is being quietly organized by a responsible authority. The backers do not want publicity. The importance of their move may not be widely appreciated, but their pur- pose is to set up a State-wide net- work through which money and work- ers may be obtained to combat the radical trend. The movement 1is non- but largely Republican, are Democratic, but it will be called Fascist. Every one seems to like European political words out here since Fascist methods killed the gen- eral strike. Politiclans Flirting. ‘The regular politicians (Republican and Democratic) are doing consider- able coy flirting with all the wild movements this side of communism. They want the support. A tip on that was offered a few days back, when President Roosevelt appointed s Sinclair man (George Acret) to the Guffey’ Coal Board. Postmaster General Farley is sup- posed to have fixed that. It was the first patronage recognition he has given Sinclair. Of course, he hopes E. P. I. C.-ac will be sold in New Deal bottles next year. A similar explanation lies behind the nmews some time back that Re- publican Gov. Merriam had come out for the Townsend pilan. His pals say he was misquoted, that he never favored $200 a month jor any one, but only a “reasonable” sum. Whatever he favored, it was mindful of the Townsend strength out here. What every visitor asks first is how California comes to be the testing ground for all these fancy ideas. ‘There are few heavy industries here, consequently little industrial unem- ployment. The papers are currently publishing statistics showing that the Pacific Coast States have recovered faster than others. They were the last to feel the depression. (No bank failed in San Francisco.) How radicalism can flourish in such & situation is explained by Califor- nians with the same answer they give to all other local phenomena—the climate. artisan, 1TS THER. CLIMATE (2 Strangely, that seems to be the right answer, at least partly. Not that the weather is so balmy it makes people that way, but transients have been pouring into the State throughout the depression. It is estimated that as many as 200,000 without support came into the State' during the de- pression. The Federal Transient Bu- reau has figures showing that it has been caring for 30,000 to 40,000 in- coming destitutes each month. Also, the expansion of California during the last decade lured all classes of Stonewall Jackson School. WOODSON TO SPEAK Bpecial Dispatch to The Btar. LORTON, Va.,, October 2.—Fairfax County Supt. of Schools W. T. Wood- son is to be the main speaker at unsettled and dissatisfied people, div- ing on investments not yet recovered. At any rate, it is not too much o say that any one could get nearly any kind of movement going in this State, even if its purpose were solely to start an exploration expedition to the moon. Merriam for Vice President. It's purposes | the teachers’ reception to be given| Gov. Merriam is acting very much by the local Community here | like a vice presidential candidate, and Friday night, when Mrs. Elsie A. Da- | he is. His folks are trying to get the vis, elementary supervisor, with sev-| California delegation pledged to him eral members of the School Board, | for President, with a view to trading will be among the guests. it off for the vice presidential nomi- A musical program has been ar-|nation (a la McAdoo-Garner). The ranged by Mrs. E. J. Dwyer follow- | most influential Republicans are pri- ing the presentation of which refresh- | vately working for an uninstructed ments will be served. delegation, or one pledged to Hoover r & | last year and 183 per cent above the five-year period. Imported meat prod- | ucts, chiefly canned, jumped to 58.- 1 000,000 pounds, an increase of 122 per | cent above 1934 and 76 per cent above | the five-year period. Importations of butter amounted to 21,500,000 pounds, | an increase of 7,446 per cent above |Jast year and 2,438 per cent larger than the five-year period. Most of the butter imports came in during the first four months of the year. “For the first time since 1924 cane sugar became our leading import, dis- placing coffee, which had held first | place for several years. During the | half year we imported 3,376,000,000 | pounds of sugar, valued at $73,496,000, | Two-thirds of it came from Cuba. | The quantity was 29 per cent greater than the amount imported in the first half of 193¢ and was 6 per cent larger than the 1930-1934 five-year average.” For the first eight months of 1935, department figures showed, exports | totaled $1,369,000,000, while mports aggregated $1,341,000,000. Ofcials were interested in the fact that for the same period of 1934 exports added up to exactly the same figure as this year, but imports were $31,000,000 less, or $1,110,000,000. Russian Trade Fluctuates. Officiais ssid fluctuations in Russian purchases were the rule rather than the exception because of the fact that one Russian firm buys all that na- tion's imports. This presented, they sald, an entirely different picture than s country of many individual importers with many and varying needs. The department figures for August's commerce with other nations showed little net change from the preceding month, but revealed a deep drop in Russian purchases of American com- | modities. Notwithstanding the trade agree- ment with Russia signed in July, un- der which the Soviet guaranteed to buy $30,000,000 worth of American goods annually, exports fell from $5,520,000 in July to $826,000 in Au- gust. A slash in Soviet purchases of cotten and machinery accounted for the difference, NAVY WORKER RETIRES James V. Niswanner, 62, Served 18 Years in 8ight Shop. James Vernon Niswanner, 62, was retired from Government service this ‘week after serving 18 years as & gen- eral helper in the sight shop, Wash- ington Navy Ysrd. He lives at 506 B street southeast. Employes of the shop presented him with a gift. Mr. Niswanner, who was retired under the age limit law, has held only two jobs during his life, having served 29 years at his former place of employment. SEEK $60,000 DAMAGES Waiters Sue C. James Toole as Result of Auto Collision. ‘Three suits asking a total of $60,- 000 damages have been filed in District Supreme Court against C. James ‘Toole, 5318 Chevy Chase parkway, whose car is said to have been in collision with another machine at Conduit and Canal roads June 29. ‘The three plaintiffs, Edward Baker, John Horris and Raymond A. Powell, all of 3614 Connecticut avenue, were Tiding in the other car. They told the court they are waiters and were forced to lose from 10 to 18 days’ work for impersonal trading purposes. They will win. “ Frisco is already preparing for. s world fair in 1938. There are 11,000 members of the Longshoremen’s Union, but only 4,000 are working. Relief, therefore, is sup- Strong Knox sentiment exists among regular Republicans. 1 ‘The Republican progressive Senator Johnson told a delegation of canners Off the -record the other day that he would support Mr. Roosevelt in '36. The auvp(t:. prohblyx;ll.l')h quiet. - C., WEDNESDAY, OCTOBER 2, 1935. California Throngs Hear Roosevelts show the smallest favorable trade|" President (Continued Prom Pirst Page) fishing grounds. To Be on “Enemy” Ship. the President on a cruiser represent- ing the “enemy” was mapped for the fleet. ‘The naval battle maneuver—the < Al Approximately 75,000 persons gathered in the Los Angeles Memorial Coliseum yesterday to hear Presi- dent Roosevelt speak. The President addressed the cro wd from an automobile, in which he is shown with Mrs. Roosevelt ari® Mayor 8haw of Los Angeles, Pleading for the support of Community Chests throughout the Nation, Mrs. Roosevelt addressed nearly 15, 000 women in the Hollywood bow! a few hours after the President's speech in the coliseum. ~—Copyright, A. P. Wirephotos. first ever witnessed by a Chief Ex- ecutive of the Nation 1l see 130 | fighting ships in action. Aircratt car- ‘ riers, battleships, heavy and light inhabited spots but surrounded by Cruisers, submarines. destroyers and | minesweepers will join in the attack. | With President Roosevelt on the |cruiser Houston will chief of the United States fleet. The |other “enemy” ship will be the | cruiser Portland. aboard which will i be newspaper men. ! Aircraft will give the sensational touch as squadrons dive, “bombing™” the President’s ship, and laying opa- | lescent white smoke curtains. Swarms of destroyers will lay down | great rolling smoke screens. Newest of American naval sea i be Admiral | fighters, the division of heavy cruisers | combination in restraint of trade when | A spectacular battle exerclse with |Joseph Mason Reeves, commander in | will flank the President’s ship. | In the various phases of the naval battle action, ranges will be fore- shortened, so that all the units will be ! within view of the President. D.C. CRAND JORY SWORN IN TODAY Four Women Included New Group—Towson Is Foreman. Norman E. Towson, 34, assistant treasurer of the Washington Loan & Trust Co., was selected by Justice Daniel W. O'Donoghue as foreman of the new District grand jury, which was sworn in this afternoon. There were four women among the jurors, who will serve for the next three months. This was the first grand jury to be chosen since the new jury service law for the District went into effect. Although the law now permits service of Government employes, none Was selected today. There was one notary public, however, but none of the other classes of citizens barred from jury service by the former law. Following the disclosure of the pres- ence of & notary public on the jury, the question of the new law’s validity was widely discussed among court house attaches, who expect it to be challenged before many weeks. If the new law should be invalidated all indictments returned by a grand jury on which sat any persons authorized to serve by the new law might be quashed. ‘The jurors are: Mr, Towson, who lives at 3726 Livingston street; Nils Chalmars, 87, of 1467 Irving street; William J. Fitz- gerald, 34, 5229 Fifth street; Edward Brooke Harry, 40, of 4303 River roa Henry E. Kimball, 42, of 2854 Twenty- eighth street; Julius A. Krentzlin, 50, of 1747 Columbia road; Alfred L. Mallonee, 42, of 3813 Seventh street; Sylvio B. Maynard, 37, of 1620 Newton street northeast, the notary public; Ashton L. McAllister, 38, of 2701 Fourteenth street; Mrs. Eunice V. Mock, 36, of 1164 Abbey piace north- east; Harry R. Ober, ar., 50, 3718 Third street; Thomas J. Rout, 61, of 3511 Fourteenth street; Josiah Mike Schwarts, 41, of 1444 W street; Nastin C. Trivett, 39, of 618 Quebec place; Samuel Alexander, 51, of 1436 Harvard street; Mrs. Florence R. Carbaugh, 41, of 2706 Sixth street northeast; Annie M. Crowther, 55, of 265 Con- cord avenue; Benjamin Krasnick, 42, of 3318 Warder street; 8. Frank Levy, 38, of 2927 Twenty-eighth street; C. Gibson Maxwell, 35, of 1311 Holly street; Thomas White McGuire, 44, of 2138 California street; Miss Evelyn B. Smallwood, 30, 1357 Madison street, and John D, Smoot, 632, of 413 Ritten- house street. BOOK CRITIC TO SPEAK Miss Mary-Carter Roberts to Ad- dress Women’s City Club. Miss Mary-Carter Roberts, book critic of The Star, will address the book review section ef the Women’s City Club, at the organimtion’s first Fall meeting &t 2 p.m. tomorrow at the club house, 736 Jackson place. Miss Roberts will review the out- standing books of the past year, giv- ing a brief resume of the best sellers. » in Jury Foreman NORMAN E. TOWSO! GAS RATE HEARING IS RESUMED HERE Deputy D. C. Tax Assessor Gives Evidence on Value of Plant. Public hearings on the present value of the Washington and Georgetown Gas Light Cos. were resumed today by the Public Utilities Commission with & commission witness, H. D. Scantlin, & deputy District assessor of taxes, on the stand. The present hearing is directed to a finding on the proper rates to be charged for gas service on the basis of present value of the companies, which are in joint ownership. Following conclusion of the hearings, attorneys for the commission and companies are expected to resume conferences on the proposed adoption of a sliding scale arrangement for annual correc- tion of rates, as sponsored by People's Counsel William A. Roberts. Scantlin this morning presented evi- dence to show the cost of reproduction new of the physical properties of the Washington Gas Light Co., as of De- cember 1, 1934, would be $16,241,245. To this, he testified, should be added $2,388, 911 for certain overhéad values, but not including certain intangibles, such as “working capital” and not making allowances for depreciation. Study of evidence before the com- mission revealed that gas company witnesses had claimed the correspond- ing value to be $17,279,010, or less than that stated by the commission witness. The question of how much should be allowed for depreciation has not as yet been covered in testimony. ‘This is expected ta have an important influence on final claims. . RECREATION GAINS SHOWN INDISTRICT 20 Per Cent Increase in Use of Facilities Cited by Miss Baker. Marked growth of interest in recrea- tion here was revealed today in the annual report of the District Play- ground Department, showing & 20 per cent increase in attendance during the year ended June 30. Miss Sibyl Baker, head of the de- partment. informed the Commissioners the grand total of active participants in events at the various municipal recreaMonal facilities in the past year was 4,659,000. This record was taken at the 36 year-round play centers, 59 part-time centers on school grounds and in parks, the three swimming pools on playgrounds and the Monument Grounds pools, a total of 101 centers, Miss Baker said. The attendance was classified as follows: Playgrounds and recreation centers, 4.121,635; Reno tennis courts, 23,000; swimming pools, 253,730; spe- cial play centers, 9,704; extra play- ground activities, 250,931, There were 2,625,367 white participants, 2,023,930 colored and 9,704 unclassified as to race. “Unemployed youth of after-school | age is more than ever before availing itself of playground facilities,” she said. The increase in use of pools, she said, was 35 per cent, due in part to the increase in the number of wad- ing pools and in part to the system of swimming instruction and to ad- vances made in sanitation and safety. The playground program has been considerably advanced, Miss Baker said, due to the emergency works op- erations. Under this program two running tracks were constructed, 10 tennis courts regraded and surfaced, two wading pools installed, two recre- ation buildings erected. Other grad- ing, fencing and wall building projects were completed and more than 2,000 pieces of equipment were built or re- paired. Federation to Meet. FAIRFAX, Va., October 2 (Special). —The Fairfax County Federation of 8chool and Civic Leagues will hold its first meeting of the current session tonight in the Fairfax Elementary School, Mrs. B. H. Wittig, secretary, | has announced. FIRENROA Divorce Granted. ROCKVILLE, Md., October 2 (Spe- cial).—Judge Charles W. Woodward has signed & decree in the circult court here granting to -Margot L. Whiteford of Cedar Grove, Md., an absolute divorce from Harry J. White- ford of Washington. Bingo Party Set. VIENNA, Va, October 2 (Spe- cial) —Betsy Ross Council, Daugh- ters of America, will hold a benefit bingo party in the O. . A. Hall here evening. Friday CODES REVAMPING IS FORWARD STEP Harmonious Business Pacts | Form True Basis of Recovery. BY DAVID LAWRENCE. Obscured by the formal language of | executive orders and legal phrases, the announcement by the White House of action to reorganize the codes of fair competition is perhaps the most im- portant President Roosevelt has taken since the national industrial recovery act was declared unconstitutional. And because the step is in the right direction and affords an opportunity to stabilize competition in many in- dustries, praise for the undertaking must be coupled with a warning not to expect {00 much from the plan until it has had at least two or three years in which to operate. Many persons, including this corre- | spondent, began in the Autumn of 1933 to point out that the system of compulsory codes was not only uncon- stitutional but that the price-fixing features were uneconomic as well as | in conflict with the spirit and letter of our laws against monopolies. Commission Proper Agency. It was asserted then that the New Deal had encompassed too much in its plan to stabilize competition and that it was running the risk of losing by confusion of method and purpose | much of what had been gained over a | BRITISH LABORITES - URGING SANCTIONS Vote in Brighton Parley Is Overwhelming for Firm Attitude. By the Associated Press. BRIGHTON, England, October 2.— The British Labor party backed by an overwhelming majority today its Ex- ecutive Committee’s policy of urging use of military sanctions, if necessary, to restrain Italy’s East African cam- paign. The vote, taken by a card ballot at the party's annual conference, showed 2,168,000 for sanctions to 102,000 against. The vote was greeled with resound- ing cheers from the convention floor, which had been for a day the scene of a bitter contest by relay of speakers, Sanctions Held Only Means. Some argued that sanctions were the only way to prevent Premier Benito Mussolini from proceeding with an Ethiopian campaign while others contended that clamping down even milder, economic sanctions would not only further arouse Italy but would embroil all Europe in war. Herbert Morrison, winding up the debate for adherence for the use of sanctions, asserted “Military sanctions cannot be ruled out. If they are ruled out you may weaken the power for peace of the League. “An aggressor State must be made period of 20 years in developing fair trade practices through the Federal Trade Commission originally set up by President Wilson. The suggestion was made in 1933, | and repeated periodically throughout | 1934 and 1935, that the logical agency to handle the whole subject was not the loosely buillt and inexperienced | N. R. A, but the Federal Trade Com- | mission, and that Mr. Roosevelt had the power by simple executive order to delegate the task to the Trade Com- mission. | Mr. Roosevelt now has done this and to feel that if it rebels against the League, the situation for it will be utterly helpless.” Resource Question Raised. Morrison, referring to the question of Sir S8amuel Hoare, British foreign secretary, raised at Geneva concern- ing world distribution of raw mate- rials, sald: “I would be prepared to say that no individual State shall have crown col= onies at all. All ‘of them should be handed over to the League, adminis- tered under mandates and controlled deserves to be commended for taking | bY the League. the action, belated though it is. His| “It does not follow that the British move marks a signal victory for con- | €rown colonies would no longer be structive criticism and proves that in | under British administration. It may a democracy dissenting voices are often | sound ‘jingo.’ but I still feel that per useful in shaping public policy and haps the British are the most consid- that it is harmful to “yes” the Presi- erate colonial administrators of any dent just because it may be unpopular Sovernment in the world l at the moment to do otherwise. Just what is involved in the Presi- dent's executive order wil not be ap- CLAIMING FALSE ARREST, parent for many months, till busi- nesses and industries become familiar BROTHERS FILE SUIT with the great advantages and oppor- Eemmrme tunities that are opened up by the new . By » Staff Correspondent of The Star. procedure and until they learn just, UPPER MARLBORO, Md. Octo- | how to adapt their own situations to | ber 2.—Alleging malicious prosecu- the requirements of the voluntary code | tion and false arrest, two Hyattsville scheme. men yesterday filed suit in Circuit No Boycotts Involved. | Court for damages totaling $20,000 Pirst of all. the plan is voiuntary. against William E. Redden of Chillum. Nobody is compelled to go to the Trade | One of the plaintiffs, Neil Mathe- Commission. There is no boycott or ' son, says in his declaration he was legalized intimidation. arrested on a charge of stealing a Secondly, the members of an indus- $20 electric motor on complaint of |try or group who do go before the Redden. His brother, Donovan O. J. | Trade Commission do not get im- Matheson, told the court he was | munity from anti-trust prosecution as charged with being an accessory to }n monopoly or price-fixing combina- | the alleged theft. Both men were | tion. and they do not deserve it. { acquitted after a hearing in Police | Third, the industry which proposes Court, their declarations say. | voluntary code does, however, get| They are represented by Attorney { immunity from being prosecuted as a | Walter L. Green. | it seeks only to eliminate practices that o 3 lare unfair, that are wastetul, tnat (@ plured » Ol mean ruinous competition. | 5 To put it another way, what has| I i e nis S’ bty Is Claimed by Man order is something for which friends of A revision of our anti-trust laws have Who Found Leah been clamoring for many years—a s chance to see the Government render affirmative help in getting industries | Camps at Pool He Made | organized for co-operative effort, in- | = = = |stead of " sitting back and appiving| W hen His Land Was negative restraints in the form of law | suits, actual or threatened. D Tne anti-trust laws have ever since | Invaded. 1890 been left to the courts alone to By the Assocated Press interpret and really to sdminister. The | OKLAHOMA CITY, October 2.— decisions revealed, however, a gradu- | Clarence Eggleston, ofl worker, camp- | ally increasing area permitted by the | ed beside Lightning Creek today and courts to businesses that wished 1o act muttered to himself of the law of co-operatively. It is cumbersome and | capture, a phrase made familiar by time-consuming, nevertheless, to wait | the oil pages of the daily press of the for law suits to perform the functions midcontinent petroleum area. ‘or an edministrative tribunal. So, in| Fifteen hundred barrels of ofl had the Federal Trade Commission we now | Clarence Eggleston ‘“captured” and have at last what President Wilson | he proclaimed: designed it to be—an administrative “I know my rights, and I'm going ;body. quasi-judicial in its attitude as to stand on 'em and stay right here!” | between conflicting interests and @& Owner of a 10-acre tract on Light= mediative agency with which industry ning Cleek, Eggleston found a break can sit down and work out its prob- in g pipeline in the rich Oklahoma lems as they touch the laws of com- | City field had allowed the oil to run | petition. N. R. A. Went Too Far. How does this differ from the |N. R. A? The latter was not safe- | guarded with provisions for proper | hearings and careful procedure, nor | did it frown upon price-fixing. As a ' | matter of fact, N. R. A. tried to do too much and to force in industries by | compulsory action or by Blue Eagle ! coercion what actually there was no Federal right to do. The N. R. A. defied the laws of economics and sur- rendered to the emotionalism of a crusade for purchasing power arti-| ficially raised. 4 { A voluntary pact is a different thing. The units in an industry which stay out of the combination will find thenr- selves arrayed against larger units which will be able to produce goods at Jower costs—through the elimina- tion of waste in certain phases of com- petition—and thus in the end the code- | governed group will enjoy advantages in the sale of goods that may eventu- ally drive the recalcitrant or minority group into the code as a matter of self-protection. ‘The danger is that the public may | refuse to pay the high price and may turn to substitutes. Hence, considera- tion of labor provisions, insofar as they relate to maximum hours, turn usually upon rates per hour, and this requires caution lest the N. R, A. blunders be repeated. The drive must be for higher volume at less cost rather than smaller volume, limited output and higher costs. The N. R. A had as its main ob- jective increasing wages without re- gard to the final cost to the consumer. The consumers’ groups and their spokesmen were able to make only a feeble protest against this trend, and N. R. A. finally collapsed because it interfered too much with the laws of economics and price. Co-operation Now Advisable. But Mr. Roosevelt's executive order has stipulated that the labor clauses shall be included only when it is possible to reach an sagreement on standards. And it is hoped that labor and capital will co-operate in seeing that half & loaf is better than none and that some labor standards agreed to by a large group are much more helpful in producing s stabilized in- dustry than are constant friction and dispute. (Copyright. 1935.) Water by Rail. Payta, & small but important town in Peru, has to have its water brought | by rail. ¥ | ad into the creek bed. Eggleston quickly built & board dam | and the oil remained in place. float- |ing undisturbed on the sluggish | waters. “Oil's where you find it,” he mum- bled sleepily last night and this is my property. By gum, it'’s my ofl!” J. Lynn Overlees, superintendent of the Harrell-Davis Oil Co., which pro« duced the ofl, demanded its release. Two distinct court orders forbade removal of the oil by any one em= ployed by Eggleston, but neither ape plied to him and he bedded down be side his dam and sat there today. “This darned oil has damaged some very fine trees on my place,” said Eg- gleston. “Besides, think of the hazard if this blamed stuff should catch fire. “I figure my damage is about $1,500 and they can pay me that or I'll take | the oil.” Irvin S. Cobb Says: It’s Time for Debtor Nations Not to Pay Uncle Sam Again. LOS ANGELES, October 2.—If memory rightly serves this humble scribe, it's almost time for our Gove ernment to go through the laughable routine of send- powers that cumulated in- stallments and| back interest pay- ments are over- due on that little| debt of eleven or| twelve billions, or| ‘whatever it comes to by now. The usual pro- cedure will be followed—that is, the rest of 'em will just ignore the whole theory, and somebody in Paris, where the repudiation idea originated, will denounce Uncle Sam for his hideous greed. *“LaFayette, they ain't there.® (Oopyr'sht 1935. by the North American Ne! r Alliance, Inc.) Dapet [ 8