Evening Star Newspaper, June 19, 1936, Page 21

Washington News he Fp WASHINGTON, D. C., FRIDAY, ening Star ‘WITH SUNDAY MORNING Wardman Properties’ Reorganizat MRS NORTON HTS ARRANGEMENTS N TRAINING SCHOOL Conditions Are Condemned in Vigorous Terms After Visit. IMPROVEMENTS DUE UNDER NEW D. C. BILL $100,000 Allotted for Moye Build- ings and Additions to Personnel. Condemning conditions at the Na-! tional Training School for Girls in the | most vigorous terms she could muster, | Chairman Norton of the House Dis- trict Committee said today she would | impress on her committee at the next | session of Congress the necessity of | keeping in closer touch with such in-| stitutions in the District. Mrs, Norton's reaction to the train- ing school was expressed after she and Representative Carpenter, Democrat, of Kansas, a fellow member of the District Committee. had visited the in- stitution and inspected it under guid- ance of Dr. Carrie Weaver Smith, re- cently appointed superintendent. Fol- lowing her declarations of indignation Mrs. Norton paid tribute to Dr. Smith as a “brave woman” for being willing | to take over the administration of an | institution in such deplorable condi- tion. ° “I didn't think any such place could exist,” Mrs. Norton said. “The lack of sanitation is shocking. I don't under- stand why there hasn't been an out- break of disease. “I'm sure that girls who have spent years in this place have returned to the world worse than when they came here. I know I would have if I had been forced to live in any such condi- tions. Persons who rant about commu- nism should turn their efforts to cor- recting such conditions as these be- cause these are the circumstances that breed communism. Fire Hazards Cited. “These girls aren't bad girls so much as they are girls in need of lr.-unmg’ and decent influences. And herel they've been locked in cells every night. Every one of them would have been burned to death if one of these old buildings caught fire. “There seems to have been a com- plete lack of any system about their school work here, and there hasn't been a single qualified teacher in the whole personnel. “The committee should have been fmpressed long ago with these de- plorable conditions. The Board of Public Welfare should have made us realize how things were.” Representative Carpenter agreed with Mrs. Norton’s denunciation and | Visit Training School institution has been in deplora They are shown with Dr. posed changes, Mrs. Norton is Chairman Norton of the House District Committee visited the National Training School for Girls this morning with Rep- resentative Carpenter, Democrat, of Kansas. They agreed the ble condition and badly in need of building and administrative improvements. Carrie Weaver Smith, recently named superintendent, who is supervising many of the pro- on the left. |CHIEF OF CHAPLAINS PLANS CELEBRATION Capt. Edward A. Duff to Have 25th Anniversary as Priest on Sunday. The Navy's chaplain chief, Capt. Edward A. Duff, the first Catholic | priest ever to hold that post, will cele- brate the twenty-fifth anniversary of his ordination to the priesthood Sunday in his na- tive Philadelphia in an elaborate ceremony to be attended by high officials of church and state. Presiding at the mass will be Most Rev. Hugh Lamb, Auxiliary Bishop of Philadelphia, while the sermon will be preached by Most Rev. Bishop Francis C. Kelley of Okla- homa, an Army chaplain in the Spanish-American War. The func- tion will be held at the Church of St. John the Evangelist Present at the service will be Jose- & Capt. Duff. they both joined in the suggestion that further study of the institution be made next Winter after many pro- posed improvements are under way. | The new District appropriation bill | carries $100,000 for & program of build- | ing and personnel improvements at the institution. In addition, the W. P. A. | now is engaged in several projects such as installing screens, painting. build- ing a new store room, outfitting a cen- tral kitchen, building new and repair- ing old roads. Dr. Smith, who took charge of the school last February, said plans on hand for use of the $100,000 involve the building of the 10-room cottages for white girls, remodeling of a barn for a school, construction of & com- bined gymnasium, church and theater | and several other building improve- ments. Principal to Be Hired. A school principal to supervise the pianned vocational education work is to be engaged, as well as a trained case worker to handle the parole system. It is planned, Dr. Smith said, to segregate white and colored girls in living quarters and in most of their school activities. As for the latter, both academic and vocational in- struction is planned with particular emphasis on the vocational. There | will be kitchen training in the cen- tral kitchen, she said, as well as cooking instruction for home work. Maid service training, clerical work, beauty parlor work and sewing also will be taught. At present about 35 girls are en- rolled at the institution. Many were paroled with the consent of the Board of Public Welfare in order that the W. P. A. work might be fa- cilitated. The school will have a capacity of about 80 when the im- provements are completed. Elwood Street, executive director of the Board of Public Welfare, also visited the institution this morning to inspect the W. P. A. work going on. Availability of the $100,000 just ap- propriated will enable the board to put the school in good shape, both from the standpoint of buildings and personnel, he predicted. MRS. JAMES BIRKETT DIES OF LONG ILLNESS Mrs Edna Vaulx Birkett, 73, wife of James Birkett, died today at the home of her son-in-law and daugh- ter, Rev. and Mrs. Robert Lee Lewis, 3506 Lowell street. She had been ill since January. Mrs, Birkett for many years was active in the United Daughters of the Confederacy at Manassas, Va., her former home. Funeral services will be held at 3 pm. Sunday at Manassas, in the church in which she was christened and married. Burial will be in Manas- sas Cemetery. Mrs. Birkett came to this city last Beptember. Her son-in-law is a min- ister at Washington Cathedral. Be- sides her husband and daughter, she leaves a son, James W. Birkett, Fair- fax, Va.; two sisters, Mrs. Claude Cockerille and Mrs. Adam Wilhelm, both of Los Angeles, and two brothers, phus Daniels, American Ambasador to Mexico and former Secretary of the Navy; Postmaster General Farley and other notables. A dinner will follow the mass and Rear Admiral Adolphus Andrews, chief of the Bureau of Navigation, will speak. Also present will be Rear Admiral*W. C. Watts, commandant of the 4th Naval District; Rear Ad- miral Perceval S. Rossiter, Navy sur- geon general; Col. Alva J. Brasted, chief of Army chaplains, and & num- ber of naval chaplains, YOUTH IS DROWNED Colored Boy Falls Into Potomac ‘While at Play. Alvin Jasper, 12, colored, 2508 I street, was drowned today when he fell in the Potomac River at the foot of I street while playing with his brother Cleophus and another com- panion, Efforts of the fire rescue squad to revive the boy were futile, Not a picture of Edison in and talking machine he built. James Weir, local broker, and Robert Weir, Manassas. She also leaves seven grandchildren. LS proud of his inventive genius. daughter of Mr. and Mrs. P. S. ¢ W. E. Raab, 701 Quackenbaugh street, and they are pr Speeder Convicted As Jurors Decide Without Retiring J. Newman Defends Own Case—Not Allowed Character Witnesses. Jaye Newman of the Annapolis Hotel was convicted in Police Court today of third-offense speeding by a jury which broke precedent by reach- | ing its verdict without leaving the jury box. Newman defended himself before the | jury, although he is not a member cf | the bar. He admitted he “might have beep driving 40 or 50 miles an hour.” | Judge Edward M. Curran overruled | Newman when the defendant sought to introduce character witnesses, say- ing a speeding charge does not raise the question of moral turpitude, and hence their testimony would be irrele- vant. It was recalled, however, that in the recent speeding case against A. Hard- ing Paul, Washington attorney, Judge Isaac R. Hitt permitted Paul to intro- duce a character witness before he dis- missed the charge. The court set July 27 as the date for sentencing Newman. The defendant was prosecuted by Assistant Corpora- | tion Counsel George D. Neilson. ZIONCHECK’S RELEASE STILL IS INDEFINITE Representative Zioncheck's chances | of getting out of Gallinger Hospital be- | fore Congress adjourns diminished further today ag the Seattle Represente ative remained in the institution, to which he was committed for mental ob- servation, with no indications concern- ing his release or transfer to another institution. Dr. Edgar A. Bocock, Gallinger su- perintendent, said that, as far as he knew, the Zioncheck situation re- mained unchanged. He has the power to hold Zioncheck another two weeks if it is thought additional time is nec- essary to determine his sanity. ‘There is no way to force the Repre- sentative’s release, even by the ex- traordinary writ of habeas corpus, if his commitment was regular, as as- sumed. Young Washington his youth, but of Bill Raabd, 14, of the 8b grade at the Paul Junior High School, with a radio Bill is the son of Mr. and Mrs. 0;:8'111 Tomorrow—Mattie Moorhead, Moorhead, of the West School. —Star Staff Photo. DEFICIENGY BILL TAKES 200000UT OF CIVIL SERVICE Emergency Conservation Set-up Affected by Meas- ure Awaiting Signature. SOIL CONSERVATION WORKERS ARE SPARED $3,271,000,000 for- Year Begin- ning July 1 Sufficient to Pro- vide Work for 3,000,000, Approximately 20,000 jobs under the emergency conservation work set-up which administers the Civilian Con- servation Corps camps are held per- manently out of civil service by the terms of the deficiency biil, which was ready today for presidential signature and which takes from the President the right he had under the original economy conservation work law to make the places subject to competitive examination. Positions are affected in four old- line agencies—Labor, War, Agricul- ture and Interior, as well as in emer- gency conservation work itself, which is headed by Robert Fechner. 5,000 Soil Workers Spared. It was only by virtue of an amend- ment sponsored by Senator O'Ma- honey, Democrat, of Wyoming, and a fight by the Civil Service Commission that the bill did not deprive about 5,000 soil conservation workers of civic service status that was con- ferred only in recent months, and with this, to block a plan by Presi- dent Roosevelt to create some 4,200 civil service positions for which C. C. C. enrollees now are taking ex- aminations as the first step toward giving them a foothold in Govern- ment service. When the Emergency Conservation Work law was passed in 1933, the per- | sonnel policy was left to the discretion | of the President, who decided that the | administrative staff for the C. C. C. | camps could be set up outside of civil service. This had its effect on Labor, | War, Agriculture and Interior Depart- | ments each of whom exercised certain functions in regard to the camps. Change Made Last April. Last April the Soil Conservation Service &dministered with E. C. W. funds was brought under civil service and the President also by executive order created 4,200 positions of junior assistant technician as civil service posts for the C. C. C. enrolles. ‘When the deficency bill went through the House a few weeks ago the $308,- 000,000 appropriation was so tied up that these positions could not be cre- ated under civil service and the soil conservation jobs would lose their civil service status. The Civil Service Com- | mission protested to the Senate Appro- | oriations Committee and the result was the O'Mahoney amendment to correct this situation. In conference, however, Senator O'Mahoney’s provision to con- tinue the right of the President to bring fit was stricken out and the 20,000 jobs which in time might have acquired a civil service status now are outside un- less new legislation is enacted. President Roosevelt and his aides will have $3,271,000,000 for relief and public works in the next fiscal year, beginning July 1, under the deficiency bill. The sum is estimated as suffi- cient to provide jobs for more than 3,000,000 on the basis of present costs of relief, With this legislation at the White House, legislative steps also are being taken to study long-range relief problems. After legislative action was com- pleted yesterday on the big appropri- ation measure, the Senate passed and sent to the House a resolution calling for a national commission to recom- mend future policies on unemploy- ment. Held Long-Term Charges. Senator Murray, Democrat, of Montana, the author, declared unem- ployment and relief “now appear to be long-term charges against the Na- tional Government.” The $1,425,000,000 item in the de- ficiency bill for the Works Progress Administration is expected to fur- nish pay envelopes for 2,000,000 per- sons in the next year. This money will be spent under the direction of the President, as provided in the bill, instead of by Administrator Harry L. Hopkins. The $300,000,000 fund for Secretary Ickes' Public Works Administration is expected to finance a half billion dol- lars worth of non-Federal public works projects. The exact amount is de- pendent on the number of cities which accept Ickes’ suggestion that they take grants of only 45 per cent and them- selves put up the rest instead of bor- rowing from P. W. A. $246,000,000 for C. C. C. During the year also $246,000,000 will be spent for the 318,505 members of the Civilian Conservation Corps, and about $300,000,000 for reclamation and other heavy engineering projects ex- pected to put 100,000 to work. e PROFIT IS REPORTED Insured Banks Convert Deficit Into Gains in Year. The Federal Deposit Insurance Corporation reported today that the Nation's insured institutions had con- verted a deficit of $5.43 for each $100 of capital account in 1934 to a profit of $3.35 in the succeeding calendar year. The corporation said the 14,116 in- sured banks at the end of 1935 showed profits amounting to $207,000,000, after adding recoveries and deducting assets written off, compared with & deficit of $339,000,000 in 1934, | under civil service jobs that he saw | ion Is Critici Studying Chopawamsic Plans Federal and District social service officials looking over improvement plans for the Chopa- wamsic, Va., area. Capt. C. C. Lowe, senior engineer for the newly constructed boys’ camp, who JUNE 19, 1936. ¥% is with the National Park Service, is pointing out features of the Left to right: Charles M, Fyfe, Capt. Lowe, C. Marshall Finnan, Lewis R. Barrett, Herbert L. Willett, jr.; Miss Mary Edith Coulson and George H. Collingwood. Society and General plan. JUSTIGES T0 AID CLEAR JAIL PLAN Criminal Docket in Good Shape, but Indictments Swell Total. In order to keep the jail as clear as possible throughout the Summer of prisoners awaiting trial, a criminal justice will sit in District Supreme Court during the first two weeks of July and all of September, it was an- nounced today. Officials explained that the crim- inal docket is in unusually good shape, but they wish to keep at a minimum the jail population during the Sum- mer. Ordinarily the Summer recess of both the civik,and criminal divisions of the court begins about July 1 and ends the first of October. This year the recess day falls on June 27, the last Saturday in the month! As in past years, there will be a justice on duty throughout the Summer to sign orders and hear uncontested motions. Nine Justices to Rotate. When the official recess begins this year, however, Justice Daniel W. O'Donoghue will continue to hold Criminal Court for two weeks® Jus- tice Jesse C. Adkins will take the first trick in Motions Court, which will be rotated among all of the nine jus- tices in two-week periods. Before the return of 25 indictments Wednesday, there were but 12 persons in jail awaiting trial, a survey showed Twenty-two additional true bills were reported this morning. Among them was a charge of em- bezzlement against Thomas W. Her- rold, former bookkeeper and cashier for the Navy Cafeteria Association, who allegedly took $6,503.96 of asso- ciation funds. Police quoted Herrold as admitting taking the money April 18 and losing it in the stock market. The associa- tion is composed of Navy Department employes and operates the cafeteria in the Navy Building. Others Indicted. Others indicted were: Stephen E. Bulebosh, Catherine Lawson, Hampton G. Brown, James Brown and Sidney Gray, grand lar- ceny; Eugene R. Skinner, Thomas P. Medley, William Morton, James Allen, Marcellus Hill, Lewis Holmes and George Johnson, housebreaking and larceny; William Dorsey, housebreak- ing; Adrian T. Owens, Benjamin L. Harten, John Wilson, Lamar E. Brown and George Butler, robbery; Louis Proctor, assault with intent to commit robbery; Carl W. Brown, Webster Smallwood and Albert Wesley, assault with & dangerous weapon; Alfred Launi, receiving stolen property, and Lee V. Covington, forgery and uttering. The grand jury ignored a charge of false pretenses against Erma Houston. WILLIAM RYAN, 90, CLAIMED BY DEATH Union Army Veteran and Retired Post Office Clerk Came Here in 1902. William Ryan, 90, Union Army vet- eran -and retired Post Office Depart- ment clerk, died last night at the home of his daughter, Mrs. Stanley L. Wolfe, 6401 Maple avenue, Chevy Chase, Md. He had been ill about 10 days. Mr. Ryan entered the Railway Mail Service as a clerk in 1880. In 1899 he was transferred to the headquar- ters of the service here and for sev- eral years afterward commuted from Baltimore, moving here in 1902. He was retired in 1920. * When only 15 years old Mr. Ryan ran away from his home in Philadel- phia and joined the Army, serving in the 12th Pennsylvania Cavalry. He took part in many major engage- ments, until captured by the Confed- erates near Staunton, Va. He was a member of the King David Lodge of Masons. Besides the daughter, Mr. Ryan leaves two sons, Edgar R. and Gerald Ryan, both of this city; eight grand- children and one great-grandchild. Funeral services will be held at 3 p.m. tomorrow at the residence of his daughter. Burial will be in Rock e BY WILLIAM A. MILLEN. Overnight camps for Government employes and their families, and | persons of moderate incomes, may be available soon within 30 miles of Washington, Lewis R. Barrett, District co-ordina- tor of recreation, said today he be- |lieved such camps would be estab- |lished at Chopawamsic, near Dum- {ries, Va, not far from the United | States Marine Base at Only small service charges would be made, he said. A first hand inspection of the Chopawamsic area, a Federal project already under way, was made yester- day by members of the Recreation Committee of the Council of Social | Agencies. C. Marshall Finnan, su- perintendent of the National Capital Parks, who was recently elected chair- the picnic outing, and outlined plans for the area. Would Serve Large Area. | The Chopawamsic development, | which is being carried out by the National Park Service and the Rural Resettlement Administration, is con- | sidered a camp area not only for | residents of the District, but of this | vicinity as far South as Richmond, Barrett explained. ! A Boys’ camp is nearing complot and shortly after July 1, some underpriviledged boys, under sponsor- ship of the Boys’ Club of Wash- ington, will have a vacation in the greenwood at Chopawamsic. ion 5 camp, under auspices of the Jewish Community Center, for underprivi- groups, will be initiated. Around 65 are expected there, as a beginning. Ultimately, there will be five groups in the Boys' Camp area. Each camp will contain 20 boys, four boys to each cabin, with two leaders for each group. This will enable the be of much greater benefit than herd- ing hundreds of boys together. and completion of three of the units is expected by July 5. Quantico. | man of the committee, was a guest at | Recreation Camp for Persons Of Moderate Income Planned At the same time, a co-educational | leged children from the various Jewish | leaders to know the boys personally | land later, as was done at Shenandoan and this arrangement is calculated to | Park. Five | and the construction of paths for na- groups in the boys’ area are under way | ture-lovers I Barrett Believes Overnight Facilities Can Be Established at Chopacamsic, Va., Near Quantico. A recreation hall is now being | roofed and this contains both inside and outside fireplaces. Temporarily, until the ultimate construction is completed, the recreation hall known | also as a “unit lodge” will be utilized | as a dormitory for some 20 boys and their leaders Civilian Conservation Corps labor is constructing the camps. The wood | for thetm—pine, oak and poplar—was secured on the immediate area. The | trees are so thick that no visible | diminution of the forest is perceptible. Supervising the construction of Boys' Camp is Paul W. Day of Alex andria, Va, the superintenden®, and the senior engineer is Capt. C. C. Lowe of this city, who was formerty at the War Department, in charge of Citizens’ Military Training Camp work. John Jankowski of the Bows’ Club of Washington, has been designated | by Charles M. Fyfe, director of the club, as the camp director. Swimming Pool Constructed. The C. C. C. makes its own shingles for the camp. For the central dining which will accommodate 100 at one time, some 12,000 shingles moved fnto | had to con- struct their own camps, first all, ild sanitary and water facili- ties. Then, the building of roads and trails went forward, as the engineers staked off the camp sites There are a number of streams on the 15,000 acres in the Chopawamsic area and some of these will be dammed up to create swimming pools. The United States has now secured titie to a svf- ficient amount of the land to make the project certain, although the Govern- ment, officials said, is having a hard time in some cases, as there are a number of “squatters” on the prop- erty, who themselves do not have clear title, sufficient to prove in a court of law. Families will be moved off the w The landscaping of roads and trails remains to be accom- plished, as does additional work on the camps. Survivor of Suicide Pact May Find Will to Live if Given Work. Gas Victim’s Funeral to Be Held Tomorrow at 1 O’Clock. ‘The police homicide squad is seek- ing & job for Thomas J. Hodgen, 65- year-old unemployed gardener, in the hope employment will help him forget the saddest chapter in his life and give him will to live. Hodgen now is alone in the world— a suicide pact between himself and his wife having been only half suc- cesssful. While plans are being made to bury Mrs. Hodgen, her husband has virtu- ally recovered, although still confined to Gallinger Hospital, where he has sbeen since he turned on the gas in their third-floor room at 1832 Colum- bia road last Friday. W. W. Chambers is providing a fu- neral for the elderly gardener's wife. She will be buried at 1 p.m. tomorrow in Cedar Hill Cemetery. But the homicide squad, which in- vestigated the case, is reluctant to re- lease Hodgen. “He'’s all right physically,” they say, “but what will he do when he gets out—try to kill himself again? “If somebody needed a gardener and gave Hodgen a job, things might work out. pleasant memories.” Hodgen knows gardening, too. For six years he was in charge of the It would help erase un-| Job Sought for Gardener, 65, Saddened by Death of Wife THOMAS J. HODGEN. Elizabeth’s Hospital. He had to give| up his job because his wife became ill and couldn’t be left alone. Both became despondent and decided to end their worries. The couple was discovered, how- ever, before the gas became fully ef- fective, and they were removed to the hospital after being given first aid by flower plots in the grounds of St.|the fire rescue squad. » | cluded | Hotel and the La Salle Apart | torney PAGE B—1 zed as ‘Model Trickery’ L 4 “DEALS” DECLARED SAMPLE OF “BOND RACKET™ ACTIVITY Sabath Committee Files Supplemental Report in House Today. LEGISLATION SUGGESTED TO AID BONCHOLDERS Mayflower, Shoreham and La Salle Cited in Declaration Tactics Worst Here. BY WILL P. KENNEDY. The reorganization of the Wardman properties “may be cited as a ‘model’ for all prevalent trickery in the real estate bond racket,” according to a supplemental report to the House today from the Sabath Committee investi- gating real estate bondholders’ res organizations. In this instance “may be found practically every abuse prevalent in reorganizations,” the report said. The ‘Wardman properties reorganization ine the Wardman Park Hotel, Davenport Terrace, Chastleton, Carl- ton, Highland Apartments, Cathedral Mansiens, Wardman Park Addition, old Justice Department Building, 2700 Connecticut Avenue. Stoncleigh Court and Boulevard Apartments. This supplemental repcrt also cove lower Hotel, Shor m ents. It found, in general, that conditions in regard to real estate ders’ re- organizations in Washington are similar to those in other cities, but ‘predominating in Washington more than elsewhere” is the practice of ap- pointment of three trustees and three receivers, in addition to the creation of many bondholders’ protective come mittees, and similar groups, for one proceeding. “Why it is necessary to have three receivers on a property, and in some instance to employ attorneys for the receivers, although all three are ate themselves, is beyond all reae the report said. son,” Legislation Suggested. Legislation for Govern super- vision of bondholds committces and others who handle liquidation of de- faulted real estate securities for bondholders was suggested by the com. | mittee. Headed by Representative Sabath, Democrat, of Illinois, the group re- ported that “disclosures indicate gross fraud and dishonesty, and ape parent income-tax evasion, warrante ing the scrutiny of the Justice De- partment and the Internal Rvenue Bureau.” A bill by Sabath has been approved by the House Judiciary Committee. 1t would make the controller ot tne currency a “conservator” to act as a friend of the bondholders in bank- ruptcy actior The commi of a voting tr of a property throughout the plained that voting trusts, usually comprised of former members of bondholders’ pro= tective committees, or their assoc ates, perpetuate themselves indefie nitely. Their fees and expenses cone tinue and the properties never are under direct control of bondholders.” Bankers Action Scored. One of the “gross ‘irregularities® found by the investigators was dure ing the period when strenuous efe forts were being made to protect the name of and save the Wardman Corp. from bankruptcy or receivership, so long as the bankers had a large amount of its debentures and bonds yet to sell. This was “the payment of interest to debenture holders sube stantially held by the bankers them- selves when they knew that default was imminent.” In regard to the Wardman proper- ties, the report concluded that cor trol by the bankers of the three Wa: man corporations, arbitrarily assumed, “has been disastrous to the public, which invested millions of dollars, but profitable to the bankers, who in- vested nothing. Under these circum- stances. the bankers now are in posi« tion to manipulate affairs of the first- mortgage bondholders. It is in their power to regulate income on these bonds and to depress their value so they can purchase them at very low prices, ultimately freezing out original investors. At present market value, it is possible to buy all outstanding bonds for approximately $3,500,000, subject only to about $3,250,000 un- e found that crea on the rcorgzniza | derlying mortgages, which would vest ownership in properties originally valued at $28,000,000. “The anomaly of those investing $11,000.000 1n first-mortgage bonds being subjected to domination and control of a group, largely bankers, who invested only $2,500,000 in sece ond and third mortgages, is so dan- gerous and open to fraudulent manip« ulation that it is repugnant to public policy.” Reviewing the financing of the Mayflower Hotel property, which orig- .| inally cost $2,250,000, but upon which, by an inflated appraisal of $11,000,000, bonds to a total of $9,900,000 were sold, the committee found that after foreclosure proceedings had been halted by a petition to the Disirict Supreme Court and execution of the original plan of reorganization had been prevented. “the trustees under trust indenture failed to protect all bondholders whether depositing or non-depositing.” ‘The report pointed out that “con- trol still remains with original hou =s of issue subject to possible mismone agement, waste and other acts detris mental to the interests of first-mort~ gage bondholders. Those bankers vho sold the original bonds upon fraudu- lent and misleading representaticns again emerge in position to acquire this proper. ' by depressing prices of bonds through deliberate mismanage- ment.”