Evening Star Newspaper, November 3, 1935, Page 2

T.E.LODGENAMED FEDERATION HEAD Succeeds James G. Yaden as President by Unanimous Vote of Delegates. “Thomas E. Lodge, veteran delegate to the Federation of Citizens’ Associa- tions, last night was elected the or- ganization’s president to succeed James G. Yaden, president for the past five years. Lodge, youngest delegate ever to at~ tain this honor, was selected by unan- imous vote after two other nominees L. A. Carruthers and Fred A. Emery, had withdrawn. After their with- drawal George E. Sullivan moved that the federation instruct its secretary to cast a unanimous ballot for Lodge. ‘The federation immediately approved the motion. Carruthers Defeated. Carruthers, retiring federation first vice president, was defeated for re- election by Henry N. Stull by a mar- gin of one vote. The new first vice president polled 40 votes while Car- ruthers received 39. Eighty votes were cast, but one ballot for Mr. Emery was declared invalid because Emery was not a candidate. Mrs. George Corbin, delegate from fhe District of Columbia Congress of Parents and Teachers, was elected sec- ond vice president. She succeeds Mrs. Etta L. Taggert, who had given no- tice she would not be a candidate for re-election. A second ballot was needed to decide this election. In the first ballot Mrs. Corbin received 24 yotes and Mrs. Harvey W. Wiley 23, Mrs. Marle F. Maddox, 12, and Mrs, Elizabeth Sullivan, 17. A majority vote ‘was required. After the first ballot, Mrs. Wiley withdrew from the election, and on the second vote Mrs. Corbin was elected. Two Are Re-elected. David Babp secretary of the federa- tion for 11 years, and A. H. Gregory, treasurer for many years, were de- “clared re-elected by a unanimous vote. ‘The following were elected to the Executive Committee: Kenneth P. Armstrong. Carruthers, William McK. Clayton, Mrs. Corbin, George R. Ellis, Emery, Elaine Eppley, Edwin S. Hege, Mr. Stull, Mr. Sullivan, Jesse C. Suter and Mrs. Wiley, Asked to Make Speech. Asked to make a speech when escorted to the president’s chair, Lodge said: “I'm going to make the shortest speech on record. I thank you all.” | He sat down and was applauded | loudly. Yaden, retiring president, had an- nounced he would not be a candidate for re-election to the office which he has held longer than any of his predecessors. Unable to attend the meeting last night he then informed delegates by letter he is in Kentucky to exercise his voting privilege Tuesday, He wrote: “I sincerely wish every delegate in _the federation had the right to vote on next Tuesday, and I shall continue .In the future to do what little I can 5 to see that you get the right to vote. #+ “As I step aside as president I wish “to assure you I am turning over to the incoming president a federation which 1 have striven to the very best of my ability to build up both as to useful- ness to the city of Washington and as to prestige. I sincerely hope and trust that as the years go by we may continue to make it more use- ful and more powerful. This we can :do by performing the same construc- +tive work—work that will appeal to +the Congress, the District Commis- | sioners and to the governing author- ities as sane, sound and sensible.” Named Delegate in 1926. The new president came to the " federation as a delegate of the Amer- ican University Park Citizens' Asso- ciation in 1926 and has been serving | in that capacity since. For the past five years he has been chairman of | the Laws and Legislation Committee. | Dispute arose over the question of sectionalism in the selection of offi- cers during the nomination of can- “didates for first vice president when “Clayton, member of the Brightwood “Citizens’ Association, held the North- east section should be accorded the Thonor of having one of its delegates ‘es first vice president, since Lodge is a delegate from a civic unit in Northwest Washington. Suter, however, declared “section- alism should have no place in the federation. The selection of officers should be baced entirely upon the merits and abilities of the candidates.” Restaurant’s Identity Sought. Acting on a proposal by A. F. E. Bcheer of the Dahlgren Terrace unit, the federation voted to request Dr. George C. Ruhland, District health officer, to make public the names of restaurants and stores guilty of vio- lating sanitation rules. H. L. Willett, jr., spoke on behalf of the Community Chest, and L. B. Free of the Corporation Counsel’s Of- fice told the federation a number of new bills affecting District residents are being prepared for introduction at the next Congress. These include, he said, a bill prepared by the bar asso- ciation to bring into existence a new corporation law; bills affecting the narcotic and drug trades and a bill which would make possible a “drunk farm” for the cure of habitual drunks. Suter was named chairman of a committee chosen to study a number of proposed changes in the constitu- tion and by-laws recommended by Suter.and several other delegates. 150 MILE SPEED SOUGHT WITH NEW BOAT DESIGN “Hydrofoil” Has Step Arrange- | | | THE SUNDAY STAR Named to Head Organized Citizens Gregory, treasurer. BALLOTING FAVORS BALDWIN REGIME Conservative Gains in City Voting Believed Index to Nov. 14 Poll. By the Associated Press. LONDON, November 2.—Predictions of a government victory in the na- tional elections November 14 came to- night from two cabinet members in the wake of significant Conservative gains in municipal elections. J. Ramsay MacDonald, lord presi- dent of the Council and former prime minister, and Sir Kingsley Wood, min- ister of health, asserted in speeches that the municipal balloting pointed the way to success of the government of Prime Minister Stanley Baldwin. With nominations for seats in the House of Commons closing Monday, it appeared that 42 members of Parlia- ment, of whom 25 are members of the national government, will be re- elected without opposition. Approximately 580 candidates on the government side and 708 Socialists and Liberals have filed candidacies for the remainder of the 615 seats in Com- mens. The government now enjoys a topheavy majority of 419, which it is generally expected will be cut to between 150 and 200 at the elections. Gains Made in 32 Cities. Latest returns show the Conserva- tives made a net gain of 32 munici- palities—the Liberals losing 2, the Socialists 24 and the Independents 6— in about 100 principal centers yester- day. Prime Minister Baldwin, who was formally adopted as a Unionist candi- date from the Bewdley division, sent a communication to Bewdley saying: “After all its trials and tribulations Britain once again is leading the world along the path of progress and recov- ery. Her prestge stands as high as it ever did among the nations of the world.” The United British Party, which had considered entering a number of candidates, including one to oppose Baldwin, decided today it would enter no candidates “in view of the con- fusion and the issues at stake.” Churchill Attacks Labor. Winston Churchill, whe is expected to be offered a cabinet post if the National government is re-elected, in a speech at Harlow, Essex tonight at- tacked what he described as a pro- posal by Labor leaders to break up the British Empire. “There is loose talk about European dictators requiring room for their surplus populations to expand,” he said. “As they are always urging the breeding of children on a very large scale, the difficulty seems plausible. “It should be stated that none of the British crown colonies is for sale. There never has been a more callous or ignorant proposal than that made by George Lansbury and Herbert Morrison (both Labor leaders) to hand over scme crown colonies to the national body. “The crown colonies are not cattle to be sold at auction. They are our children in the last extremity, and old England must die with and for them.” — AMERICAN UTILITIES CO. REORGANIZATION FOUGHT National Benevolent Association of Christian Church Attacks Bankruptcy Act. By the Associated Press. ‘WILMINGTON, Del., November 2.— The National Benevolent Association of the Christian Church, engaged in charity work, with headquarters in 8t. Louis, Mo., entered an objection today in the United States District ment of Underwater Surfaces. By the Assoclated Press. DETROIT, Nevember 2—One of the strangest crafts ever seen in the Detroit River, a “hydrofoil,” which the owner hopes will be capable of a speed of 150 miles an hour, under- ‘went preliminary tests today. The boat was designed and con- structed by Edward S. Evans, who established a new around-the-world record & few years 8go. ‘The unusual-appearing craft is equipped with outriggers, with & step arrangement on their underwater sur- faces which Evans contends lift the boat up as the speed is increased, greatly lessening “skin friction,” and permitting higher top speeds then in conventional design. ‘The preliminary tests today were conducted secretly and the results were not announced, but shore ob- servers said the hydrofoil seemed to rise out of the water even at the mod- erate speeds. The tubular outriggers are placed ‘on each side near the bow, with a Court to the proposed reorganization of the American Utilities Co. and attacked the constitutionality of the methods of reorganization as provid- ed for under the 77-B clause of the national bankruptcy act. A hearing on the plan was held be- fore Judge John P, Nields, with Charles F. Richards of Wilmington outlining the plan to the court. The benevolent association claims that American Utilities Co. is indebted to it in the sum of $18,400. The attack on section 77-B is made on the ground that it is contrary to the fifth amendment to the Constitu- tio because “by its terms it author- izes the deprivation of creditors of their property without due process of aw.” Firestone Sees Prosperity. GASTONIA, N. C., November 2 (#). —Harvey 8. Firestone, sr., chairman of the board of the Firestone Tire & Rubber Co., asserted today “The United States is definitely on the way back to prosperity.” Firestone addressed a luncheon in League of Nations or some other inter- | Standing a: Italy, Needing Gold, Bans Medals’ Use; Diplomas Ordered By the Associated Press. ROME, November 2.— The Fascist party made its small con- tribution to the Italian gold re- serve today by forbidding the use of gold and silver medals as prizes for sporting competitions and other contests. A winner from now on will get what is called “the diploma of the gold medal.” (ZECHS ARREST 28 Police Accuse Reich Radio of Trying to Help Some Escape. By the Associated Press. PRAHA, Czechoslovakia, November 2.~Twenty-eight persons were ar- ing for Germany. The suspects were charged with “military high treason” for allegedly selling secrets to the Reich. | Onme of those arrested, the news- | paper Prager Tagblatt said, was a Czech army major. The official police announcement said: “Two German broadcasting stations snnounced the arrest of Anna Dienal, charged with being one of the leaders, shortly after she was taken, probably to warn her accomplices.” Germans Deny Charge. (The National Broadcasting Station in Berlin and the German propaganda | ministry flatly denied the charges that | German broadcasting stations had at- tempted to tip off the woman's accom- | plices. Officials denied there was any | such broadcast from Germany.) Four women were among those seized | sweetheart of the chief of the Ger- man spy center at Dresden.” Those caught were Czechs, Germans and Austrians. The newspaper Tag- manufactured in Czechoslovakia was among the products being sold to the Third Reich. Face Three Years to Life. The police announcement said: “The Praha political police announces the uncovering of & ring of spying for | Germany. It operated throughout | Czechoslovakia, chiefly in those parts inhabited by Germans. Twenty- eight persons have been arrested. “The charge of military high trea- son is punishable by from three years to life sentences. “Among those arresied are four | women, all of different employment, but all living in the German part of | Bohemia. There were two Germans | and one Austrian. The arrested were connected with German spy centers other German cities. They gave news of a military nature, mostly in ex- change for money. German Radio Accused. “Those arrested were industrial spies. One of the women, Anna Die- nal, was the sweetheart of the chief of the German spy center at Dresden called Helm. “The relationship of German radio states is characteristic. Some hours after the arrest of Dienal, who played a leading role in Praha night life, the national broadcasting station and the Leipzig station announced her ar- rest, probably to warn her accomplices. But the secret police had already acted and all suspects had been ar- rested “A butcher named Adolf Burger of Weipert is among the accused for hav- ing lured a Cgech citizen, Anton Secher, over the German border into the hands of the German secret police.” PEDESTRIAN IS KILLED ON MEMORIAL HIGHWAY Clarendon Man Victimof Hit-and- Bun Driver Near Alex- andria. By & Staft Correspondent of The Star. ALEXANDRIA, Va., November 2.— Thomas Woods, 67, of Clarendon, Va., was instantly killed tonight when he was struck by an automobile operated by a hit-and-run driver on the Mount lV:emtm Memorial Highway just below ere. A pedestrian, Woods was hit while walking across the highway at & point just north of the Washington & Old Dominion Railway tracks. He was pronounced dead on arrival at the Alexandria Hospital. Dr. Llewellyn Powell, city coroner, said he sustained AS GERMAN SPIES | rested by police tonight in what they | called a round-up of a spy ring work- | | and police said one of them was “the | blatt said a secret poison gas being | in Annaberg, Saxony, Dresden and | Thomas E. Lodge (center, seated), elected to the presidency of the Federation of Citizens' Associations last night, is shown with the other officers named with him. At the left is Harry N. Stull, first vice president, and to the right, Mrs, George Corbin, second vice president. re David Babp, secretary, and A. H. ~Star Staff Photo. A.P. TAPS “THIRTY" 10 MORSE SYSTEM Automatic Printer Replaces Last Telegraph Circuit at Newark. By the Associated Press. last Morse telegraph circuit used by the Associated Press went out of ex- istence tonight. “Thirty,” the traditional good-night of the telegraph operator, was tapped out at midnight in the Newark Bu- reau of the Associated Press—three dots, dash, dot and a long dash. For New Jersey members of the Associated Press the passing of the | State Morse wire, which will be su- perceded by an automatic printer circuit. will be a step forward in | convenience and greater efficiency. Marks Steady Advance. For the A. P. the abandonment of the old Morse wire will mark the end of a steady advance toward com- plete printerization of the facilities for news transmission to members. The first Morse wire used by the Associated Press was installed in Chi- cago in 1884. The number increased i steadily until 1928, when the peak | was reached and 1,300 operators were | sending their dots and dashes in va- Tious parts of the country. Automatic printers were invented in 1900, but the first ones were not satisfactory, and it was not until 1914 that printers were used in New York City. Philadelphis and Boston | got their first experience with print- | ers the next year. First Printer in 1916. The first Morse wire was replaced by a printer in 1916 between New York and Boston. Thereafter the | replacements were carried out sys- | tematically. Now there are 3.000 au- | tomatic printers in the service of the | Associated Press, representing an in- | vestment of $2,500.000. set up in 1922. It was used exten- sively during the Lindbergh kidnaping investigation in 1932 to carry news from Trenton to the Newark Bureau | of the Associated Press for relay to | the world at large. It was also used to carry major portions of the story of the Morro Castle disaster in September, 1934. and the story of the crash of the Navy dirigible Akron in April, 1933. PILOTS SEEK PROBE OF MISSING PLANES Fear Two Ships May Have Been Taken by Cuban Revolu- tionaries. By the Associated Press. MEXICO CITY, November 2—The Union of Aerial Transports, an organi- zation of airplane pilots, requested to- night that the Department of Com- munications investigate the disap- pearance of two airplanes, one piloted by an American, in the last three weeks. Officials of the union termed the disappearance “ piracy” and said they had “good reasons to suspect” the pilots had been made prisoners while in the air and the planes taken over for use by Cuban revolutionists. Both planes disappeared while flying from Merida, Yucatam, to Payo Obispo, Quintana Roo, and an extensive search by land and air has failed to locate |any trace of them. The plane piloted by Donald Car- diff, American fiyer, has been unre- ported since it left Merida Thursday. Aboard the ship were a copilot and three passengers. be the subject of an address delivered by Senator Rush D. Holt of West Virginia in the National Radio Forum tomorrow at 10:30 pm. ‘The National Radio Forum is ar- ranged by The Washington Star and broadcast over the network of the National Broadcasting Co. Senator Holt, who, like Henry Clay, was elected to the Senate before he reached the constitutional age for Senate service—30 years—has made & long study of the utility problem, both gas and electric power. Senator Couzens of Michigan at the last session of Congress introduced a resolution for an inquiry into the gas utilities and- that resolution is still pending. i Cigarettes Popular. More than 5,000, third attached to the rudder post at|his honor attended by 150 Gaston|s skull fracture, crushed chest and | cigareties were smoked in the County textile executives, of both axms. ‘, NEWARK, N. J, November 2.—The | The New Jersey Morse wire was ,\ AROUSED CITIZENS HUNT TERRORISTS Milwaukee Police Flooded by Tips in Search for Bombers. By the Associated Press. MILWAUKEE, November 2—An aroused citizenry turned sleuth today to help Milwaukee's police track down terrorists who in the last week have bombed two police stations, two banks and a suburban village hall. Grimly determined to erase what they considered a civic blot, house- holders flooded the police and sheriff’s departments with bits of information, theories and suggestions. “The co-operation we .are getting from the public is magnificent,” Chief of Police Jacob Laubenheimer said. “With 1,000 police on the job and an entire city coming forward with tips, I'm sure we'll get- this gang before long.” None Yet Arrested. He said, however, that so far no im- portant clues had been turned up and that no one was under arrest. Sheriff J. J. Shinners echoed the chief’s tribute to the public. On the | lookout for suspicious persons, his dep- uties stopped several hundred cars entering the city 1gst night. The oc- cupants readily submitted to the in- convenience, Shinners said. Police activity last night climaxed in three pool-hall raids in which 43 men were seized. The raids came only a few hours after a psychiatrist sug- gested such tactics, expressing an| opinion the bombers might prove to| be two or three neurotic youths mis- takenly eager to be “heroes” of the headlines. Those taken in the raids and 60 others on whom suspicion had been cast were released after interrogation. Buildings Closely Guarded. Municipal and county buildings as well as numerous semi-public struc- tures continued under heavy guard, but Laubenheimer said he believed the proffered help of 9,000 war vet- erans would not be needed. The City Council will vote Monday on a resolution to post a $5,000 re- ward. The Wisconsin News has offered | a similar amount. Some one telephoned the city editor | today that “unless your paper pulls| | down that $5,000 reward you won't | have a paper in 24 hours.” Police said they believe the blasting | was done with dynamite stolen from Today, a man {a C. C. C. camp here. | interested in the case inserted a classi- | fled advertisement in the Journal say- | ing: “Party volunteering informa- | tion about stolen goods please give | further information.” The advertiser said he had received an anonymous | letter telling him of the dynamite | E. CO. STOCK BID JUMPS $50 TO $400 | W.R. | Washington Exchange Members | Attribute Rise to Move by North American Co. On the Washington Stock Exchange yesterday, the bid on Washington Railway & Electric common stock ad- vanced from $350 to $400 a share, with none offered at any price. There | have been no sales in this issue for several months on the exchange. Members of the exchange said the $50 jump in the bid price might have | been due to the North American Co.'s move or to the latest dividend action by the railway & electric directors. The W. R. & E. directors have just { declared a dividend of $9 a share on the common stock. As the regular | quarterly dividend due at this time is | $3, the directors added the equivalent | of a $6 extra. | On March 11 of the present year, | the board declared a special dividend | of $20 per share so that $26 in extras has been voted so far in 1935. Pay- ment will be made on November 30. Millions Profit If New Shares Bring $30 Each ' The Wall Street Journal yester- day said that the North Ameri- can Co., the holding company which controls the Washington Railway & Electric Co., planned to enter into an underwriting agreement under which it wiil sell the 1554925 participating shares, which it would receive in exchange for common stock of the Washington Railway, at a maximum price of $30 per par- ticipating share. The North American owns 62.- 197 shares of W. R. & E. common stock. Computed on yesterday's asked price of $400 for W. R. & E. on the Washington Stock Exchange, this common stock is worth $24,- 878,800. If the company offers them at $30 a share, the participating shares would bring $46,647,750. On this basis the North American Co. by divesting itself of control of the Washington Railway & Electric would make a profit of $21,768,950 over the present value of the stock. ‘While no definite figures can be obtained as to what the stock cost the North American its market WASHINGTON, D. €., NOVEMBER 3, '1935—PART ONE. SOVIETS KILL TWO INRAIDING PARTY Border Patrol Repulses Manchukuoans Trying to Cut Railroad. By the Associated Press. MOSCOW, November 4 (Sunday).— A raid across the border from Man- chukuo to cut the railroad line to Viadivostok failed when a Soviet border patrol fought the raiders, kill- ing two and wounding three, official Russian advices from Kharbarovsk said today. The official Tass news agency charged that the raid, which occurred October 26, was organized by army officials in Manchukuo. It is another in a series of border incidents which have kept Soviet- Japanese relations tense. Delayed Soviet accounts said six men, described as “Korean bandits,” madé up the raiding party which crossed the border at Poltavko, a point on the railroad line. Only one mem- ber of the band escaped back to Man- chukuo, eluding hot pursuit. ‘The raiders abandoned a quantity of anti-Soviet literature, Tass report- ed, and tools with which they planned to pry up rails. Several pistols were found in their possession. One of the wounded prisoners was quoted as having said that army of- ficers organized the raid and that another party of seven or eight men was to make a second raid five days after the return of the first group. No casualties were reported on the Russian side. Russia recently made a strong pro- test to Tokio after what was called here a raid by a party of Japanese and Manchukuoan soldiers, in which one Soviet officer was killed. Probe (Continued From First Page.) the voting power in the railway com- pany. The railway company in turn owns | all of the common stock of the power company and 57 per cent of the tran- sit company. The railway company, | therefore, is only a holding company, | but since its holdings are confined to| two utilities in the same area, which | constitute an integrated system within | the meaning of the holding act, it does | not have to change its relationship to those two companies, In order to divest itself of control in Washington, the North American | offers to exchange its 62,197 shares of | common stock for 1,554,925 partici- | pating certificates, at the ratio of 25 | certificates for each share of common stock deposited. It would then offer these certificates for sale to the gen- eral public at a price as yet unan- nounced. | If the North American succeeds in | this move, it would leave itself with its preferred stock representing only | 815 per cent of the total voting power. Other holders of the common stock of | the railway company also would be | offered the opportunity of exchanging | one share of common for 25 certifi- cates. | Four Keep Directorships. Resignations of Ham, Fleming and Callahan as members of the board leave four remaining members who constitute a majority. They are Dr. McClellan, A. G. Neal, vice president and general manager of the railway company; Eugene E. Thompson of Washington and F. W. Doolittle of New York, who is also a vice president of the North American. These four, according to Dr. McClellan, are sup- | tees for several weeks, is to be the first | porting the proposed transaction and do not intend to resign. Ham, in explaining why he had re- signed both as president and a director of the railway company, said: “The securities act of 1933 as amended provides certain civil liabili- ties against every person who signs a registration statement, and against every officer and director named in a registration statement. “Because of the severe and unusual liabilities and penalties involved on the part of any director or officer signing such registration statement or taking any other act in connection therewith, I could not feel like expos- ing myself to such onerous liabilities and penalties and would not care to be called upon to defend any suits under | the provisions of the said act. “I have lately voluntarily retired from some of my former activities, but am remaining as a director and chair- man of the board of directors of the Potomac Electric Power Co. and of the Capital Transit Co. “'A reading of the registration state- | ment will show that it has been pre- | pared with the utmost care, and there- fore there might be only a remote chance of any liability thereunder on the part of any officer or director signing the same, but notwithstanding this, as above stated, I do not care to assume that liability.” Fleming Hits Requirements. Fleming declared his resignation was “due to the stringent requirements of law in connection with the filing of the registration certificate with the Securities Exchange Commission which was necessary in this transaction.” He also explained he believed all matters in connection with the trans- action were being prepared and han- dled wih the “greatest care,” but that the detailed information required in filing the registration certificate was of such a nature it would be impos- sible for him in his judgment to pass upon it in a manner which to his mind l):e was charged with doing under the W, value since 1917 has ranged from $17 to $1,000 a share. Holt to Discuss Utilities HE public utility problem willg ’ Moreover, Fleming said, he did not want his resignation to be viewed as a reflection on the transaction. Callahan was reached at an Atlan- tic City hotel and admitted he had resigned, but declined to make any comment. Dr. McClellan explained that the three vacancies caused by the resigna- tion would not immediately be filled. He said it would be unfair to ask prominent business men who bad not been directors in the past and were now unfamiliar with the company to as- sume the new responsibility required by strict regulations of the securi- | ties act. Roberts Plans Conferences. Soon after the North American re- vealed its plan to the securities com- mission the Public Utilities Commis- sion, as well as Roberts, started an inquiry to determine the ultimate effect of the plan. Roberts also con- fered with Dr. McClellan, and tomor- row he will discuss the proposal with members of the securities commission. A cursory study of the plan has con- vinced however, that the North American is anxious to get out of the Washington field at this time because of a good securities market. He said he was convinced, too, that North American obviously feared the of the Associated. been made by Chairman Q'Gonnor of the House Lobby Commite The three directors of the Wash- ington Railway & Electric Co., who have resigned. Reading from top to bottom: Robert V. Fleming, William F. Ham and Daniel J. Callahan. s tee to look into the Associated’s latest activities in the Washington area when the inquiry is resumed, but the latest development in connection with the North American, according to William H. Collins, committee counsel, is ex- pected to bring this to the attention of the investigators. Howard C. Hopson, reputed “master mind” of the Associated, who last Summer eluded process servers of both the House and Senate Lobby Commit- | witness called by the committee wnen | the inquiry is renewed. Income Quiz Slated. | ness stand primarily to answer ques- | tions about his personal income and i the names of the banks from which the | Associated borrowed $1,000,000 to fignt | the utilities bill. Collins said he also would be questioned about his com- pany’s latest acquisition—the Virginia Public Service Co.—which vitally af- fects sections of nearby Virginia, espe- cially Arlington and Fairfax Counties. The Associated took over control of the Virginia Public Service Co. about common stock from the Chase Na- tional Bank of New York. In that move it became a competitor of the Braddock Light & Power Co., sub- | sidiary of the Potomac Electric Power | Co., which supplies a small section of Arlington County with electricity. The committee is expected to go deeply into the details of Associated’s purchase of the Virginia company and the reason for its expansion into a aew territory—information which has not yet been made public, D. C. To Watch Probe. Developments during the investiga- | tion of the Associated's acquisition of the Virginia utility will be watched closely by the District Public Utilities Commission as well as the Public Util- ities Commission of Arlington County in view of a move initiated more than a year ago to have the Potomac Electric Power Co. extend its serv- ice throughout Arlington County. The District commission also is interested because the Chase National Bank, from which Associated purchased the common stock of the Virginia com- pany, controls indirectly the stock of the Washington, Georgetown, Rosslyn and Alexandria gas companies. “Iopson has been excused as a wit- ness before the Senate Lobby Com- mittee, but at the time the House Committee released him it was under- stood he was to be recalled to testify regarding his personal income and other financial matters. The com- mittee told him at that time it wanted & complete statement of his income from the time he set out to develop the Associated into one of the coun- try’s largest utility holding companies, as well as a detailed statement show- ing the names of the banks from which it borrowed the $1,000,000 and how it was expended. The Senate Committee endeavored to show Hopson and J. L Mange, president of the Associated, received $29,000,000 over a 13-year period. Hopson, however, repeatedly referred these earnings as mere paper profits, and insisted they had been reinvested in the securities of the company and subsequently deflated to a small portion of their original value in the stock market crash of 1929. After the committee finishes its in- vestigation of the Associated, it plans to turn to several other large utility holding companies which took part in the intensive fight to defeat the Wheeler-Rayburn bill. Found Guilty of Slaying Boy. DUBUQUE, Iowa, November 2 (#). —A District Court jury today found Marlo Heins, 29, hiher.‘o(m::o chil- dren, guilty of the lust of his 6-year-old nephew, David Peter Fox. The jurors decreed that Heinz be hriaged. Hopson is to be returned to the wit- | six weeks ago by purchase of the|. MOUNTAINEERS £0 1025 FARMSTEADS Rural Resettlement to Take 350 Shenandoah Park Fam- ilies to New Sites. Preparatory to transplanting 350 mountaineer families from the Shene andoah National Park area to nearby valleys, the Rural Resettlement Ade ministraticn announced yesterday work would begin within two weeks on the first homesteads unit. The initial tract is located near Luray, Va., and is called the Ida Val- ley site. An allotment of $46,678 has been made for the construction of 25 farmsteads to house the first group of families ousted from their mountain homes by the national park devele opment. The project is the second Rural Resettlement venture to be instituted in the Washington vicinity, the other being Tugwelltown, a suburban low- rental housing development started at Berwyn Heights, Md., two weeks ago. There is no similarity between the | two, however, as the Tugwelltown | dwellings will be rented, while those in | Ida Valley and approximately eight other sites to be started later will be sold outright on a long-term basis. The Berwyn Heights community is primarily for low-income groups of city dwellers, while the Virginia project is for dispossessed moun- taineers. 343 Acres Set Aside. About 343 acres, costing $11,000, have been set aside for the first unit | near Luray. The defunct Subsistence { Homesteads Corp., whose activities | were absorbed by R. R. A, started | this project and seven house founda- | tions were laid before a technical { obstruction of funds halted work. The original allotment to transplant ocgu- | pants of the Shenandoah Park area | totaled $900,000. This has been trans- ferred to Rural Resettlement. FEighteen of the first 25 families to be moved out of the park area will be given tracts of from 715 to 12 acres | and the rest 113 to 2!¢ acres. This ! latter groun is composed of families too old to manage larger farms. Requisitions for materials and | equipment for the project have been submitted to the Procurement Divi- sion and a superintendent of build- ing construction has been appointed. | A project office has been established at Luray. Officials said relief labor would be used “to the fullest possible extent.” Whichever of the future dwellers are skilled or semi-skilled | laborers will assist in construction work. Each of the farmsteads, the Reset- tlement Administration announced, will include a two, three, four or five room house, combined pouitry house and barn, a hog pen, and a vegetable | storage house. Houses will be wired | for electricity. Also available will be a 40-acre community pasture, & com- munity house and a work shop. Incomes Guaranteed. Officials said plans had been worked out to enable the transplanted families | to obtain incomes from farming op- erations and outside labor which would | be more than sufficient to pay for | their homes. Cost of the farmsteads, including interest, will approximate | $2,000. The land will be taxable, it | is understood. | The total area of all sites, includ- | ing the first unit to be started soon, | will amount to about 4,116 acres. | Although all private property in | the park area was condemned to make | way for conversion of the land into public domain, most of the dispossessed families readily accepted the re- muneration offered by the Govern= | ment, officials declared. An excep- tion was Melancthon Cliser, “rugged | individualist,” who ran a filling sta- tion on the park territory and had | to be evicted by force about a month | ago. The State of Virginia, not the | Federal Government, was,responsible | for the condemnation proceedings. All lands now under option in ane ticipation of the transplantation proc- ¢ s are “within reasonable distance” of the homes of the affected families, officials said. Because 75 of the 350 families to be moved are considered -ble to help themselves, the Fed- eral Relief Administration has granted Virginia $150,000 to dole out to this group. In effect, the money is a di- rect gift to these poorest of families, for they will pay it back to the Fed=- eral Government as part of the pure chase price of their valley farms. Elizabethan Dialect. ‘The people to be transplanted, an investigation has shown, are the prod- uc’ «f an early Ameriean civilization, some of whom speak a decided Eliza- bethan dialect. Among some of the inhabitants the territory is still known as “the Virginia Free State.” A study conducted a few years ago revealed that some folk had never heard of President Hoover, who had a vacation camp nearby, much less of Abraham Lincoln and the Civil War. Many had not heard of the World War. At one time these families received & substantial income from the thou- sands of chestnut trees in the vicini- ty. The recen‘ chestnut blight, which destroyed virtually all of the coun- try’s chestnut trees, dissipated this su rce of revenue and now the maxi- mum cash income in the mountain hollows does not exceed $160 an- nually, investigators have reported. Cash income now is secured largely through picking apples in the valley, £lling wood to the resort at Skyland, drying apples for Baltimore and Rich- mond markets and growing broom corn for sale as brooms. Basket weaving is another occupation of the near-p:imitive Virginia mountain communities. —_— M’NAIR IN LOUISIANA TO EXPLAIN TAX PLAN New Orleans Visit of Pittsburgh Mayor Follows Speeches in Other Southern Cities. By the Associated Prace. NEW ORLEANS, November 2.—Wil- liam N. McNair, 55-year-old mayor of Pittsburgh and advocate of the “sin- gle tax plan,” came to New Orleans today to confer with leaders on his plan and to explain it Monday in an address before a city trade organi- zation. Since last Tuesday Mayor McNair has visited Cincinnati, Memphis and Jackson, Miss., preaching his tax plan. He flew here last night from Jack- son, where he was introduced to the Mississippi Legislature, and said he might go to Mobile, Ala., after his conference to confer with leaders of & “single tax” colony near there.