Evening Star Newspaper, December 5, 1935, Page 3

T.V. A, ATTACKED AS REVOLUTIONARY Supreme Court Brief Hits Legislation as Fathering Economic Upheaval. By the Associated Press, ‘The Tennessee Valley Authority act | was assailed as unconstitutional and “revolutionary” in a brief filed with the Supreme Court today by James M. | Beck, former solicitor general and | prominent member of the American | Liberty League. Beck, representing a group of Ala- | bama Power Co. stockholders, con- tended that if the legislation were up- | held it would “change the form of the | Federal Government and the social organization of the American people.” Arguments December 19. His briet was filed in preparation for | arguments December 19 on validity of the legislation which was upheld by the Federal Circuit Court of Appeals | at New Orleans when challenged by the stockholders’ group. ‘The brief was presented three dsysl after the December 2 deadline set for its presentation by the high court. It | ‘was indicated at T. V. A, headquarters, | hpwever, that no protest would be| made. The Government must file it,s‘ brief by December 16. The case involves the right of the Federal Government to sell surplus | electric power generated at its Ala- bama dams and to acquire transmis- | sion lines to carry it to nearby cities | for use by mupicipalities in competi- | tion with privately owned utility com- panies. Cause Held Revolutionary. of his demolished car. THE . EVENING STAR, Death at the Crossing Four Denver persons were killed in two grade crossing crashes in their city yesterday. Theodore Waller, his wife and his mother-in-law were killed in this crash. Waller’s lifeless form is shown at the wheel A nearby crash took the life of another man. —Copyright, A. P. Wirephoto. The brief, prepared by Beck and Forney Johnston, Alabama attorney, asserted: “The permanent conduct of a series of co-operative enterprises covering ! the basic requirements and activities of the people by means of Federal property, inextinguishably subsidized | by taxation and supported by Federal borrowing and deficits, would at one stroke accomplish an economic revo- | lution and annul the theory of the Constitution.” “This cause is revolutionary in its importance,” the brief added. “It pre- sents the effort of the Government, through a board of three men, subject to none of the traditional checks, standards or restraints, to establish’ the Government permanently in abso- | lute control of the power of a vast region.” i‘ax Triaf | | (Continued From First Page.) ’ Bureau notified Coulin of a decision in | the case in question, which was of | & compromise nature. | Conlin told how he appeared with McCarter at the Treasury on August 9, 1934, and had a long conference with Secretary Morgenthau, during which Morgeanthau instructed Elmer Irey, chief of the intelligence unit of the Internal Revenue Bureau to con- | duct a thorough investigation of Mc- Elhill's activities in the McCarter tax case. The prosecution is being conducted | by United States Attorney Leslie C.| Garneti and his assistant, George E. | McNeil. Representing the defendants are William E. Leahy, Leo A. Rover and Willlam H. Collins. Justice F. Pickinson Letts is presiding at the trial. McCarter Tells of Deal. McCarter, heralded as the Govern- | ment’s star witness, provided little fireworks for the spectators when he took the stand at yesterday's session. | Describing himself, in response to questions, as president or director of | 30 or 40 corporations, McCarter g:ve his chief occupation as president of | the New Jersey Public Service Cor- poration, which he said is a holding | company. | McCarter said he first met McElhill | in July, 1934, when the tax consultant came to the Newark office of the util- ities man in response to a telephone appointment. “We discussed my 1932 tax return,” | the witness said, “and McElhill said | he thought he could be of some help | to me in getting the matter facilitated at the Treasury. I pointed out I ha an attorney, but McElhill said he be- | lieved, nevertheless, he could be of aid to me in the pending tax claim. | He thought he could expedite the | matter. | Conversation Recorded. “A dictaphone was in my office dur- | ing this conference and Federal agents | heard all that tock place. Sometime later I saw McElhill again, but first T had called up the Secretary of the Treasury and made an appointment | to see Mr. Morgenthau. “I came to Washington and saw Mr. Morgenthau and told him about Mc- Elhill's proposition. Acting under di- rections given me by the Treasury peo- ple, I told McElhill if he could pro- duce a settlement of this tax matter | I would pay him $10,000. He said he | could do it. I said I would give him | until the day after Labor day to do it. | “Later he wrote a letter, putting SPECIAL NOTICES. ANNUAL MEETING OF THE STOCK- olders of the Alonzo O. Bliss Medical Company of the District of Columbia will be heid at_the office of the company. 1811 Columbia Road Northwest. in the city of ‘Washington, District of Columbia, at 10:30 o'clock forenoon on Monday, January 6th, 1076, for the purpose of electinz officers for the ensuing yeer and for such other business as shall come before the meeti JAMES Mc DA sm:A secren OI,DAIRB i THE IIOME PMTE GLABS afl!llenRA'?Cl ‘CO'bggANlY l(‘:! the City of ‘ashington, fo - befihdng lr‘h;‘(;i lect onth“ trustees, at p.m, Polls open from 2 to 3| Slock ».m WILLIAM H. SOMERVELL. Be:mur! THE ANNUAL MEETING OF THE STOCK- Rlndlou of the N-nagfl Cu{nllll Insurance business that may be ttention of the meeting. | the office of the compa and 4t AR’ o-dl to_and from Balto. Phila and Nev Frequent trips fo other Eastern ‘Dsns%adnble Bervlce smee lxn RESPONSEL! FOR ANY | those made by myself. 1 Y FIRST D, S Toperties. .179 -T. Star office. SPEOIAL RN-IDAD RATES ON FULL | d part Iam to all pol: 1t.hln 1000 es; padded vans; nteed Local moving also. Nlllnnll 146(! NAT. DEL. ASSOC.. 1317 N, Y. ave. CHRISTMAS—RIGHT NOW 18 THE TIME to have those old pictures reproduced for Chrlstmas its, . Miniatures, copies and enlargements of superior quality have long ren lpeelllllu of EDMO)] !J 'ON STUDIO, at CHAMBERS & ¢ undert yorld, Complete tuner low up. !u Chabels, twelve parlors. seventeen and ambulances. l'entv flve t H' l-(Jollndb "“‘7‘1.31'2“ 5‘17 lllh E I ., Columbla 2 % &8, Atlantic 6700, Address !$ . : " THOMAS N. McCARTER, Newark, N. J., public utilities mag- nate, whose 1932 income tax is the focal point of the conspiracy trial now going on, shown as he left the court house yesterday. —Star Staff Photo. into writing the agreement between us. i T related everything that happened to 1 Mr. Irey, chief of the Intelligence Unit of the Internal Revenue Bureau, whom Secretary Morgenthav put in charge of the investigation. I wrote McElhill | on S“member 5, calling off the whole matter.” Offered $10,000 as Flat Fee. Under cross-examination, McCarter said McElhill had suggested a 25 per cent commission, but McCarter thought that was too much and of- ered him a flat rate of $10,000 in- tead. “He said he could get the case set- tled in three days,” the witness de- clared. “I told him I wanted to be fair with him and would give him two weeks, or until the day after La- | bor aay.” Leahy brought out that all McCar- ter's dealings with McElhill were un- der direction of the internal revenue | agents. “You trapped him under the direc- tion of the revenue agents, didn't you?” Leahy asked, Tax Returm Disclosed. “We did the things we did under the direction of the Treasury sgents,” McCarter replied. Reading from McCarter's 1932 in- come tax return, Leahy disclosed that McCarter’s gross income for that year was reported as $380,672, but that de- ductions which he claimed brought | the net taxable income down to $32,- 291. One of the deductions which were being questioned by the Treasury was a “bad debt” loss written off by McCarter because of a note he paid for his son. Ira Y. Bain, chief of the appoint- ment section of the Internal Revenue Bureau, testified Hardgrove and Nef- son had been employed by the bureau . | for & number of years prior to their dismissal on August 31, 1934, following discovery of the alleged plot. R S Spegd ON THESE GREAT AMERICAN SHIPS To Cobh, Piymouth, Havre, Homburg WASHINGTON . Dec. 14; Jon. 15; Feb. 12 Pres. ROOSEVELT . Dec. 26; Jan. 22, Feb. 19 MANHATTAN . . Jon. 3; Jon. 29; Feb, 26 Pres. HARDING . . Feb. 5; Mar. 4) Apr. | Also sturdy, comfortable “Americon One Class” liners directto London. Weekly sail ings. Fares from $100, one way. AMERICAN MERCHANT LINES Agents everywhers H UNITED STATES LINES Company’; MWI.&KH'.< ] = Turn your old trinkets, jewelry and watches into MONEY at— A.Kahn Jne. Arthur J. Sundlun, Pres. 43 YEARS at 935 F STREET Colonial Fuel HIND S BLAVED FOR PLANE CRASH Army Investigators Work on Report—Funeral Awaits Relatives. A -gusty wind sweeping across the Anacostia flats was blamed officially today for the plane crash at Bolling Fleld yesterday, which claimed the | lives of two Army fiyers. Investigation of the crash was started immediately by a board com- posed of Maj. A. Hornsey and Capts. L. Lloyd Griffith, J. C. Hodgson and R. Koon. Although their report has not yet been filed, they said the plane undoubtedly was caught in a sud- den blast of wind and swept into the wooded hillside bordering the fleld. Funeral services for the dead fiyers —Maj. George E. Rice and First Lieut. Harry H. Geofffey—are awaiting the arrival of relatives from Mitchel Field, Long Island, where both officers wete statoned. An autopsy by Col. F. H. Foucar at Walter Reed Hospita] disclosed both men died of concussion of the brain. Both also suffered compound frac- ESERVATIONS s 3.8, Mlnltl $50; 8. 8. lllfl‘ls $60 Telephone or eall us WATERS' “IDEAL" TOURS 1517 H St. N.W. 1 1 Also drop in for a cock- tail between dusk and dinner, 20th & R Sts. Luncheon Téa Dinner 0il Service Is Bigger Than the Weather... On the Job 24 Hours Daily. Look for Dealers’ Names in Yellow Sectlon ar FUEL COLONIA OIL METRO. 1814 THOMPSONS Resistance Against ¢ Winter llis What an inexpensive way to build up family resistance against colds and other Winter ills. A quart of Thompson’s Sunshine Vitd- min D Milk per day will sup- ply the normal bodily need for calgium, phosphorus and Vitamin D. Cooking does not change the Vitamin D po- tency. And it costs but lc more per quart than our regu- lar Grade A Pasteurized Milk. AMERICAN MEDICAL ASSN ASK YOUR DOCTOR OR DENTIST THOMPSON’S DAIRY 'DECATUR 1400 Leading 100% Independent D. C. Dairy @ WASHINGTON, D. C, tures of the upper md lower jaws and other severe head injuries. En route here from Mitchel HAM the ship, piloted by Lieut. Geoflrey. was about 50 feet up ‘wi caught by the wind and dashed to the ground. Lieut. Geoffrey, observers said, gunned the motor and att a right bank, b‘u:“‘lhell'uphfl.dw’lllwdths sl “Shot” (Continued From Pirst Page. jury on charges of assault and bat- tery with a dangerous weapon. They where released in their personal recog- nizance pending the posting by each of $200 bonds. The maximum sen- tence, under the law, is two and a half years in the house of correction. A police arms expert testified at the district court trial of the pair, class- mates at the Massachusetts Institute of Technology, that the air pistols the |- police said they took from the youths, were powerful enough to kill a person ifdischarged at the temple or the eye. He said the weapons were dangerous at 50 yards, and that one of them kad fired a pellet that penetrated three- | sixteenths of an inch into a pine board at 50 feet. The other had penetrated one-sixteenth of an inch, he said. At this point, the elder De Florez LET FURNITURE THE NF.E CO KlND THURSDAY, DECEMBER 5, 1935, | was permitted to test one of the wespons. He placed a handkerchief over the palm of one hand and the pistol was discharged at close range, seemingly without harm to his hand: Then the arms expert fired at De Florez’s chest from a distance of about three paces, without apparently in- juring him, Sensational 011 BURNER Offer 25¢ R DAY BUYS A QUIET MAY With Fuel Saving Ther-MAY-lator | PAY FOR IT ON ELECTRIC BILL | Columbia Specialty Co. 1636 Connecticut Avenue, N.W, | Telephone North 7861 Better Heat-- Less Attention ‘. @mrn-(:ousmns 0. 1413 NEW VORK AVE. v i SAY “MEBBY CIIRISTMAS” FORYOU % WE ARE OPEN "TIL 9 P.M. MONDAYS AND SATURDAYS d&g re-C, /m:fma: Sole = SES U= ST AN S oSS LSS LSt S vmmx&%&&&:fi BBINGS STORE-WIDE REDUCTIONS 2-PC. LIVING ROOM SU LOUNGE SOFAS VIRGINIA SOFAS EASY CHAIRS PULL-UP CHAIRS WING CHAIRS BARREL CHAIRS WINDSOR CHAIRS COFFEE TABLES END TABLES BOOK TABLES LAMP TABLES CONSOLE TABLES TEA TABLES BOOKCASES TABLE LAMPS FLOOR LAMPS BOUDOIR LAMPS MIRRORS PICTURES SMOKING STANDS CARD TABLES BRIDGE SETS CEDAR CHESTS BEDROOM SUITES BOUDOIR CHAIRS CHAISE LOUNGES CRICKET CHAIRS BEDDING STUDIO COUCHES DINETTE SUITES BREAKFAST SETS RADIOS needs against this list!!! DAVENPORT BED SUITES SMART LOVE SEATS COLONIAL ROCKERS CHAIRS AND OTTOMANS OCCASIONAL CHAIRS RECLINING CHAIRS TILT-TOP TABLES NESTS OF TABLES DROP-LEAF TABLES OCCASIONAL TABLES KNEEHOLE DESKS WINTHROP DESKS REFLECTOR LAMPS 0ODD BEDROOM PIECES BEDS OF ALL KINDS DINING ROOM SUITES CORNER CABINETS RUGS OF ALL KINDS KITCHEN FURNITURE and lots of other finer tlzmgs now very much Check your ITES L T i i T T o T T R T R TR e B T T B B o T P R T T T T T TR T3 T T TR 0 T T T O o o T REDUCED! The Wonder Couch of the season is now reduced for this sale . . . it's styled just nglnt *..and made just right . . . and, of course, the price is just right, too in assortment of upholsteries. SMART..NEW..FINE LIVING ROOM, BED- ROOM AND DINING ROOM SUITES AT REDUCTIONS OF FROM 10% to 50%. CHAIRS .. TABLES .. LAMPS .. AND MANY OTHER GIFT ITEMS REDUCED FROM 207 to 40% 522.88 Regularly $39.00 2J.Nee Co. e venth o/treet atH