Evening Star Newspaper, September 20, 1936, Page 3

PUBLICITY BANNED ONU.S. TAXCOST Federal Statute Makes Men- tion of Levy’s Expense to Buyer lllegal. BY REX COLLIER. It's & crime to tell a lie, or even to tell the truth, about tax-boosted commodity prices—that is, if you're a merchant or other business man en- @aged in selling or leasing products to the public. Some keen-eyed friend of the New Deal, with a knack for digging little known facts out of dusty legal volumes, has discovered an obscure, never- enforced Federal law with & believe- {t-or-not provision against so much as hinting at how much taxes a cus- tomer is paying when he buys a specific article. The statute promptly was tossed into the lap of Attorney General Cummings, along with complaints of its flagrant violation by unsuspecting storekeepers in the Midwest, with the result that Cummings has issued a “general warning” against infractions of the law. Effect of Proviso. The proviso thereby has bobbed right into the middle of the G. O. P. campaign against New Deal taxation, with implications of far-reaching prosecutions, especially among filling station owners who post “price-plus- tax” signs, and theater managers who give similar information on ticket booths and on the tickets themselves. It all started because somebody, no one seems to know just who or why, injected the tax publicity ban into a revenue bill back in 1918. Presumably the provision was a war-time measure designed to prevent criticism of the Government for levying war taxes. *The provision was re-enacted, perhaps blindly, in 1920, 1924 and 1926 and is still in force, Cummings says. The law is in two parts, the first making it an offense to suggest that Federal taxes have any effect on prices and the second prohibiting mis- representations as to amount of taxes involved in price fixing. The first eount would seem to cover all possible gz\u Containing money. n::tr;e::‘r_l ‘,2' wiil Industries stores’ o - SA¥Dy TDrover identifcation. Call Mr. Met, 8556, d Grady. safes mer.. ally, 8-9 LOST. ELAC CHOW DOG on A SToTnity of 17 Commiunicate with P Gillespie. Montello st.. Brockton. Mass._Reward BRIEF_CASE_ blac tween Hotel Willar artment Bldg. last Thursday dor return to desk. Wardman Park Hofel. Sept. X, name Mass ave. n.W. OND RING. 115 carats, with 8 smal sapphires: Thursday bet. 1 and synagogue. 14th Hals Mrs. Madden. sts. Reward. s part German shepherd. 8; answers 1o name Bo} t n 204-W. ulm blue Case. Reward, Cleveland LAAS'B—O! ord, in_Pa. ave. street car. Thursdsy, Phone Wisconsin 1570. Re- war: GOLD WEDDING RING. engraved © Sed® E.’ Woodward ed.. Bewl Reward.__Clev. C_CHARM—Gold _Scottish Rn.e nic charm from watch fob. Sept. finder please return to rce Commission Blde. eoton 5. nw.. the present address of the woer. whose hame is engraved therein? ewa! ) rotarstate or 3604 Liv- OOK. black. comnmin( Md_op- ator's permit and small sum of money. i Maryiand "Club Gardens, ~cigareti tand. Hflhlde 0600. cont; nlnml eyeglasses. keys and fone; lost Saturday morning. September ‘m er please return keys and glasses, Sfgently needed. to 3156 15th st. n.W. m.u Green zipper purse. con- 3 diamond " pracelets. '3 diamond t¥o 10 bills. between Cham- iag st. Re- evel: lady’s. Thursday. between SPECTACLES. riculture Bidz. and Library of Conaress. ward. Phone Alexandria 417-W. * AN AND BLACK MONGREL PU] jeet. chest. tip on tail nn ring nnund neck: “Spor”. tag. No. 1 chil idren’s ining plat d Vt. ave, and 201 1ady's. Bdulovn amonds and 4 WATCH. Reward. ~ Dupont Circle Abts.. sapohires. . 819, WATER BPAN] “Barney”; lost Sept. ‘Wyoming. Apt_109 WRIST WATCH. lady's. old: on P or 8 sts_bet. Con Reward. North 5951 Am. named IEL. brown, curly. ‘The 18, Reward. Bulova u{fi 1stn st nwe SP!(.'IAI. NO'I'IC'ES. srapes. greenings. mont-Sandy_Spring, ANY ONE_ KNOWING _THE 'S OF ANY OF THE F¢ ERSONS, PLEASE COMMUNICATE WITH MATTHEWS. 317_7th ST. A‘uflmumn D. C., TELEPHONE A Name e liam Former address. ::;n(l NS'iYork ave. n.w., Wash., D. C. 1620 mh st. n.w., Wash, D, C. DAVIS, Lotti i1 54 -t . Be; Weah., D. C. 3220 Beech“ft.. Mt. Rainier, Md. ‘Wash., D. C. TURNIN( Seotember 21. wi el lond: Half Fates. Phon _Col. 3 . fONG-DISTANCE MOVING: _INSURED. padded vans: furniture especially: return Prices. Maine-Fla wayvoints, Dist, 5511 s WILL NOT BE RESPONSIBLE FOR ebia contracted by any ene other than n CHARLES O. GRANT. 10 Naylor T, AND WATERPROOFING. HAVE gour work done elore Wincer Weather ar- ves _Lincoln 7601-J. NOT BE RESPONSIBLE FOR ANY bt coniracted by any one other {han myself, " PIERCE DAVENPORT. 113 NOT BE RESPONSIBLE FOR contucted by any one other unn AN EA’ 8521, 14th BE RESPONSIBLE FOR ANY by any one other’ than F. BUCKLEY. 1404 WILL N E RESPONSIBLE FOR A ¥ gebis ennlrlcted or oUher then by mysel vlm! HITE. 642 llm stone fyiee hroc st n < NG LO Ao, ana to 'other East- Service Since ntur B 500, SPECIAL ru{-rx N FULL and part !!’d-l vto all points withln 1.000 guaranteed lll nul ru S'I’ORAOI ggfiamm ml’l’fl KO— dmproved, fie%unsaor VACUUM ACES for $2.50. Puml:e parts. Estimates on plumbing and heating gve. ne. Phone Hillside GRAPES ARE RIPE AT QUAINT ACRES. Thousands of batkets of Concords and Niaga: ted on Silver Soring. Coles- Ville' nnu (Roate 26 only 5 District. Open 7 a.m. till 8 p. u’llel from FREE SAMPI.ES AND ESTIMATES | It you need reprints and reproductions of books. reports. foreign language get our free samples and lanograph process. Jou money and give matter ete. estimates on method we can Fou quicker service. AS! Col umlnl Planograph Co. 50 L 8t Metropolitan_4892 s one of the largest CHAMBERS Bosnens the e Complete funerals as low as $75 lor: m!lm = “m‘:,;'gfis-.m: i 3 i cwfi_ A fiv \ua THE SUNDAY STAR, WASHINGTION, D. C. SEP’i‘EMBER 20, What Price Taxes? Don’t Ask—There’s a Law $36.50 a year is the average cigarette smoker's tribute to Government. 10c taxes wrapped in each package. Six cents is the Federal tax and local taxes run up to 4 cents according to the locality. The tax is the joker. Revenue plus invisible taxes account for about 12 cents in the price of playing —— Just consider that you are paying for the va on of a bureaucrat when youtake your own holiday. Eliminate government taxes and make your = two. You'd enjoy the movies more if you could get rid of that 5 cents Federal tax in an admission ticket. vacation last three weeks instead of Here are some examples of efforts by the G. O. P. and plain business men, just trying to make a living, to tell the public about the relation of taxes to prices. With the exception of the familiar gasoline sign, the theater and boring ticket coupons, contingencies, and the second proviso has caused some confusion in inter- pretation of the meaning of the statute. Purpose of Law. Some persons think it was intended to apply only to false statements about the part that taxes play in rais- ing prices, while others cannot get away from the fact that the first sec- tion places no narrow construction on the offense. Here is the exact wording of the law, known as title 26, Internal Reve- nue, United States Statutes, section 1187—"False Statements in Connec- tion With Sales or Leases”: “Whoever in connection with the n | sale or lease, or offer for sale or lease, of any article, or for the purpose of making such sale or lease, makes any statement, written or oral, “(1) Intended or calculated to lead any person to believe that any part of the price at which such article is sold or leased, or offered for sale or lease, consists of a tax imposed under the authority of the United States, or “(2) Ascribing a paggicular part of such price to a tax imposed under the authority of the United States, knowing that such statement is false, or that the tax is not so great as the portion of such price ascribed to such tax, “Shall be guilty of a misdemeanor, and upon conviction thereof, shall be punished by a fine of not more than $1,000 or by imprisonment not exceed- ing one year, or both.” Violations Are Seen. It seems clear to those who have pondered this language that the post- ing of prices showing tax proportions by storekeepers, gasoline dealers, the- ater proprietors or other business men is a violation of the law. Cummings, in discussing the statute with newspaper men, said he knew of | no prosecution ever undertaken under it, and he expressed the “hope” that nobody would put him into the “em- barrassing” position of making an issue of it. Conjecture as to the status under the law of a series of illustrated leaf- lets on taxation published and widely distributed by the Republican Na- tional Committee has arisen. The leaflets set forth vividly how Federal taxes are contributing to living costs, citing the proportion of taxes paid by the purchaser of automobiles, food and other articles. The G. O. P. chiefs are said to be quite willing for the New Deal to make an issue of the leaflets, which so far have not received a great deal of newspaper publicity. P.-l. STRIKE TALK ENDS N. L. R. B. Official Announces Conference Adjourned. SEATTLE, September 19 (#).— Charles W. Hope, regional’ director for the National Labor Relations Board, announced tonight that negotiations on the Seattle Post-Intelligencer news- room strike had been broken off. Executives of the Hearst-owned Post-Intelligencer and leaders of the striking Seat{le chapter of the Amer- ican Newspaper Guild adjourned a R |conference & few minutes before | Hope's announcement. A Labor Relations Board hearing on the case of Frank M. Lynch, news photographer, and Everhardt Arm- strong, whose dismissals by the news- paper precipitated the strike August 13, will be resumed at 10 a.m. Mon- day, Hope said. . .. Two Hurt in Plane Crash. GREENVILLE, N. C., September 19 (#)—An airplane crashed here today and both the pilot, E. F. Pullen of Rocky Mount, and his passenger, Ledger E. Ross, 36, of Greenville, were seriously injured. Ross suffered brok- en legs, a crushed hip, and possible in- ternal injuries. Pullen was found to have broken his back. Physicians said their recovery was doubtful. , ) Spain (Continued From Pirst Page.) pushing ahead in methodical advances destined to culminate in the fall of Bilbao, Santander, Malaga, and finally, Toledo and Madrid. 4,000 Dead Reported Left. A Fascist radio broadcast reported “great slaughter” had attended in- surgent victories near Toledo, where their comrades were fighting for their lives within the besieged and dyna- mited fortress Alcazar. Retreating government troops, the broadcast said, left more than 4,000 dead in fields. It was asserted that Mola's army was cracking the defense of Bilbao, having routed the government forces at Penarroya and Villa Luenda. During the Fascist occupation of | Ronda, it was declared, the govern- ment forces executed 800 hostages be- fore they fled. Capture of Ronda, the Fascist lead- ers said, was preparatory to an at- tack on Malaga, where the govern- ment men are believed to be atill strongly entrenched. FASCISTS DEFEND RUINS, Alcazar Blast Survivors Keep Up Bit- ter Resistance. (Copyright, 1936, by the Associa‘ed Press.) ‘TOLEDO, Spain, September 19.— With shot, shell and crude smoke bombs, government militiamen to- night fought to rout surviving Fas- cists from the dungeons of their dy- namited citadel, the Alcazar. Fighting their way inch by inch behind a rolling smoke barrage the government militiamen rushed one aft- er another of the Fascist “pillboxes, hastily fashioned from piles of the Jagged debris. How many were still alive within the blood-spattered fortress no one on the outside knew, although militia- men said they thought at least 1,200 of the besieged men, women and chil- dren had been blown to bits when two TNT mines were touched off yes- terday. ‘Those still alive kept up a bitter re- sistance, their hail of bullets cutting through the stifling pall of smoke laid down by tins of ignited gasoline hurled at them by the government attackers. Artillery Pounds at Turrets, From a distance government artil- lery pounded away at the crumbling walls and turrets still jutting from the wreckage of the famous old cadet school. Behind the, gaunt walls of the re- maining towers and walls the defend- ers poured a deadly fire at the at- tackers. Two remaining dynamite mines were set tonight, but government offi- clals delayed touching them off, fear- ing that the two tons of TNT would surely crush like paper boxes the cav- erns sheltering the women and chil- dren. Late in the day, with smoke mak- ing defenders gasp and choke above the crackling rifle fire, watchers thought the defenders surely could not hold out much longer. It was the sixtieth day of the siege of Alcazar. As the Fascist defenders were forced back, foot by foot, they began in their desperation mounting machine guns in more exposed places. From behind other parapets machine gunners swept their fire out into the.city of Toledo, over sections which had been consid= ered areas of safety. ‘The narrow, tortuous streets lead- 60,000 People Can’t Be Wrong ANY MAKE Cleaned and Adjusted guaranteed one year Est. 1918 BRING THIS COUPON Monday and Tuesday Spnhl ANY SHAPE CRYSTAL ANY MAIN SPRING. FREE Bring ‘wateh, regulated to the second free of charge. Washingtow’s Largest Watch R'par Coum 804 F St N.W. ton dresy costing 50 amount to 68. oot the material pictured above is put out by the Republican Na- tional Committee. But it comes pretty close to being in violation of law, as Attorney General Cummings pointed out the other day, and which the accompanying article discusses. ing from the Alcazar into the square were closed by an armored car which kept up a fierce barrage over the heads of more than 100 assault guards. The guards scurried across the ex- posed area to the ruins, where they took up pesitions and opened fire on the Fascist machine gun nests. Steel-helmeted figured were limned against the murk and smoke, carry- ing all sorts of fighting equipment, including tools to dig away the debris and set up parapets. The streets of ancient Toledo to- night were as the trenches of a war, filled with an army of civilians. Fascist and government shots spat- tered overhead, chipping bits of stone and plaster from the upper walls of dwellings. As the afternoon wore on the fight- ing became more and more intense. The dull booming of hand grenades grew louder as advance forces tossed bombs with mechanical regularity every minute or so into the smoking ruins. During the night the Fascists had taken up positions in the former head- quarters of the military governor which for some weeks has been a mass of wreckage. Government troops spent most of the day driving them back into the cellars of the Alcazar. Everything Going Like Plan. “Everything is going according to plan,” said Gen. Asensio, government.| military commander. “Operations are developing normally, and it is only & question of time —. Late in the evening Gen. Asensio decided to make a second determined onslaught on the ruins soon after dawn tomorrow. As a prelude to the attack he or- dered his forces to station gasoline tanks and trucks all around the fortress and to be ready to spray the ruins promptly at 5 am. “Then we will throw in a few hand grenades and the whole place will blaze up,” he told the Associated Press. “It will blaze much more ef- fectively than today, when all we could do was to throw in pails of gasoline.” Asensio said he was sure the Fas- cists would try to make a sortie during the night. ‘Watch Vainly for White Flag. Government leaders watched in vain for a white flag signaling that the male defenders were willing to sur- render their woman and children, al- ready promised protection by the gov- ernment. Every one of the male defenders is doomed, no matter what decision they may make for their families, the gov- ernment leaders reasserted. Government attackers managed to “rescue” 20 women and children. The rest who might still be alive were be- lieved to have been herded into deep dungeons beneath the fortress— caverns all but impregnable. SYNDICALIST DEMAND REFUSED. Popular Front Government Bars Gen- eral Conscription. MADRID, September 19 (#).—The Socialist-Communist government to- day turned down Syndicalists’ de- Mrs. W2 mands for general conscription and & de-centralized government. “There is only one point in our pro- gram,” a government spokesman said, “and that is to win victory.” The Socialists, flatly refusing to consider the proposals, asserted that “those pushing such demands should be regarded as traitors.” Said the Communists: “We cannot allow duality of power to exist.” The Syndicalists, not represented in the government, but nonetheless a powerful component of the “Popular Front,” Friday presented an eight- point program to reorganize the gov- ernment into regional committees in- :l‘ependmt of the Madrid administra- on. They also demanded that the pres- ent voluntary enlistments be swelled by compulsory conscription of all able-bodied men. Power (Continued From Pirst Page.) purposes of the confersnce, the Presi- dent said: “The public interest demands that | the power that is being or soon will be | generated by the Tennessee Valley Au- thority and at the Bonneville Dam and other public works projects should | be made to serve the greatest number of our people at the lowest cost and, as far as possible, without injury to existing actual investment. To this end, I have for several months been conferring informally with representa- tives of the Federal Power Commission, the National Resources Committee, the Tennessee Valley Authority and the Rural Electrification Administration, as well as with utility executives, en- gineers and economists. “These discussions indicate agree- ment to a remarkable degree that this objective can best be attained by co- operative pooling of power facilities within each region, including those of the Federal projects, the privately owned utilities and the municipal plants, through the joint use of the| existing transmission line networks under the control of the members of the pool. Such & pool, it appears, will smooth out the peaks and valleys of separate system operations, reduce the amount of necessary reserve capacity and postpone the need for investment in new generating facilities. Investment Necessary. «I am advised that by this means investment in transmission lines and generating facilities could be kept to a minimum, service strengthened and large economies in operation effected. If so, these great savings, based on fair contractual relations between the pub- lic and private agencies participating, should make it possible to bring cheap and abundant power to the gate of every community §8 the reKan at uni- formly low rates. “Engineers and rate experts tell me that by such pools power could be made available throughout great re- glons at rates as low as, if not lower than, the wholesale rate at which the T. V. A. is now supplying power to communities, private utilities and in- is a Constant Cleaner Opened. for Charge A;Gdl;t; of Tontine Nhades and So many particular women clean all sround their shades . .. but forget the dust and germs that accumulate on them. Genuine TONTINE shades may be scrubbed as often as you like with soap and water without cracking or fraying. Let us esti- mate on installing them DISTRICT 33243328 1936—PART ONE. LONG-TERM PAPER INDEBTINGREASES Proportion Higher Than in Recent Years, Morgen- thau Report Says. By the Assoclated Press. Exclusive of eertain special obliga- tions, Secretary Morgenthau said yes- terday, long-term securities now com- prise more than half of the entire interest-bearing public debt. In s formal statement the Treas- ury chief added that the proportion of long-term obligations had been increased steadily and, at the same time, average security maturities lengthened, bringing a reduction in interest rates. Not including postal savings, ad- justed service bonds and other spe- cial issues, Morgenthau said current long-term obligations constitute 55.3 per cent on June 30, 1935, and 44.7 per cent on June 30, 1934. Average Maturity. Average maturity of the interest- bearing debt at present was listed at nine years and eight months, compared with seven years and seven months on December 31, 1934. Morgenthau said the average yield on long-term bonds was 3.66 per cent in 1932, 331 per cent in 1933 and 3.10 per cent in 1934, In 1935 and 1936, Morgenthau con- tinued, no Tredsury bonds were of- fered to yield more than 2.875 per eent, and more than $5,000,000,000 of bonds were issued at a 2.75 per cent rate. Between June 30, 1933, and the present, he said, the percentage of debt maturing {n less than one year was reduced from 156 to 11.6, while the percentage maturing in 15 years or more was increased from 185 to 279. 5 to 15 Year Maturity. Debt maturing in from 5 to 15 years now constitutes 27.4 per cent of the total. Saying that obligations maturing in from one to five years comprize about one-third of the interest-bearing debt, Morgenthau added: “This fact is regarded as of con- siderable significance, since, if con- ditions remain substantially as favor- able as they are now, it will be pos- sible to refund- this large fraction of | the public debt on far better terms | than were possible even a year ago.” | “Hebrew” Word Eliminated. BERLIN, September 19 (Jewish Telegraphic Agency) —Nazi ~ church authorities ordered all German | churches to eliminate the word “hallelujah” from prayers because “the word is Hebrew and alien.” dustries. The regional network would also promote rapid expansion of the Government's rural electrification pro- gram. “There {is every reason why we should thoroughly explore the possi- bilities of working out a sound plan for such regional power pools. I am, | therefore, calling a conference to con- | sider this subject and attempt to de- | vise a plan that will promote the pub- lic and private interests involved, “We are not without actual experi- ence in the advantages, as well as the difficulties of such a plan. For two| and one half years a group of private utilities in the Southeast and the T. | V. A. have been jointly using trans- mission lines and exchanging power on a contractual basis. This experi- ence is relevant in weighing the pos- sibilities of a more comprehensive re- gional power poll. The impending ex- | piration of this arrangement makes early consideration of future plans ap- | propriate, “I hope and believe that, with the | co-operation of those interested, we CHILE ENVOY AID WOMEN, CHILDREN Madrid Diplomat Striving to Free Non-Combatants From Alcazar. Br the Assoclated Press. MADRID, September 19.—Chilean Ambassador Aurelio Nunez Morgado, dean of the diplomatic corps still in Madrid, made an eleventh-hour effort tonight to obtain the release of the women and children facing death in the besieged Alcazar fortress at ‘Toledo. Supported by all the foreign diplomats here, Nunez Morgado sent messages to Louis Rivas Vicuna, president of the League of Nations Council, and to Spanish Foreign Minister Julio Alvarez- Delvayo, de- manding & “24-hour armistice” in Toledo to get the women and children out of the old military school, where they have held out beside their Fascist men. He urged that the Rascist high command at Burgos be asked to give the commander of the Alcazar de- fenders authority to release the women and children. He estimated there were 300 of them in the old structure, battered and almost com- pletely wrecked by government dyna- mite and shells. ‘The blowing up of a large section of the fort and the use of gasoline to burn out the Fascists moved the Am- bassador to take this step. He had made a previous attempt, unsuccess- fully, to get the men in the Alcazar to send out their women and children. Nunez Morgado announced he planned to lead the entire diplomatic corps to the stricken city on a day to be decided on. The diplomats would take extra automobiles to transport the women and children to Madrid. Premier Pranciso Largo Caballero has approved the plan and has given full facilities for its execution, the Chilean Ambassador said. Largo Caballero assisted in Nunez Mor- gado's earlier rescue effort, R MINK COAT STOLEN FROM SHOW WINDOW Thief Breaks Glass on F Street. Jewels, Cash Taken in Other Burglaries. A $500 mink coat, $100 worth of jewelry and more than $100 in cash comprised the loot in burglaries and hold-ups reported yesterday. The coat was stolen from Frank R. Jellef's, 1216 F street, by a thief who broke a show window before dawn. Mrs. Clara Hannon, 1108 L street, reported three watches, a ruby and diamond ring and other jewelry were taken from a dresser in her apart- ment. Harry Gorham, 60, of 940 N street told police he was beaten about the head and dragged into an alley near | his home last night by four colored | men who robbed him of $18 and his | gold watch. He was treated at Gar- field Hospital. Raymond Jackson, 2120 H street, | reported he was assaulted and robbed of $40 by a taxi driver and another man after he had engaged the cab to take him to his home. The hold- up, Jackson said, occurred near the Tidal Basin. Mrs. Frank Zirkle, 1450 Clifton street, reported the theft of $50 from & dresser. 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Water Heaters Lime on Foot Ball Field Burns Eleven Players in Contest By the Associated Press, OKMULGEE, Okla., September 19.—Five members of the Okmul- gee High School team and six members of the Wetumka frot ball team were being treated to- night for burns believed caused by the use of unslacked lime in marking the high school foot ball fleld. ‘The most seriously burned was Billy Richards, 16, who was taken to the hospital. Officials at the Okmulgee High School said the fleld was marked with lime from their usual sup- ply, but that they believed they may have received unslacked lime by mistake. WREATH FOR UNKNOWN French Delegate to Visit Tomb on Way to Legion Session. Here on his way to the American Legion Convention in Cleveland, Vice tor Beauregard, official delegate of the French War Delegates, will place a wreath on the Tomb of the Unknown Soldier in Arlington National Ceme- tery at 1020 am. today. He will be accompanied by Lieut. Col. E. Lombard, military attache to the Prench Embassy, and Legion offi- cials. 230 Serum Shots. Seven-year-old Frank Marconi of Canonsburg, Pa., had 230 serum “shots” in various parts of his body over a period of 20 days to halt locke jaw. DR. VAUGHAN SAYS: Right new, before cold weather sets in, s the ideal time to put your teeth and h in perfect condition. 1 shall be to serve you with a complete dental service at prices considerably less than 68 YEARS’ SERVICE In connection with Dr. Frank J. Rowell and his long and sue- 68 years combined perience. having cessfully served the f satisfied patients. We b r consideration when ose facts. n to let us ser Service. our low brices with other wo: 1 Dr. Vaughan, Dentist ofllct Open & AM. to 6 P.M. 932 F St. N.W ME. 9576 Metropolitan Theater Bullding Dr. Rowell, Surgeon. Associated. 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