Evening Star Newspaper, October 1, 1936, Page 21

URGES APPROVAL FOR GAS COMBINE Roberts Asks Commission to Back Purchase at $1,375,000 Price. FEARS DOOR MAY OPEN TOA.F.G. E.OTHERWISE Figure Maximum, but Negotia- tions to Lower It Would Be Un- der Bad Conditions, He Says. People’s Counsel William A. Rob- erts today urged the Public Utilities Commission to approve the petition of the Washington Gas Light Co. to buy, from its parent holding trust, the Hyattsville and Alexandria gas companies for $1,375,000. Roberts raised the fear that if the scquisitions are not approved the door would be opened for the Associ- ated Gas and Electric Co,, the giant utilities holding company, to step into the gas utilities field here. Howard C. Hopson, who led Senate and House lobby committee agents on a perplex- ing chase more than a year ago, when they were seeking him as a witness, §s & -dominating figure in the A G & E Members of the commission had no statement to make immediately on the Roberts brief, but the way s mow clear for the commission to veach a prompt decision on the case. The company decided not to file a brief. Yesterday predictions were heard that the commission would re- fect the petition primarily because the company insisted it wanted an answer on the price. Thinks Price Is Maximum. “The price of $1,375,000 would ap- pear to be the maximum reasonable price which should be paid to the Hyattsville and Alexandria properties,” Roberts said. While previously he had stated he thought the price from $100,000 to $200,000 too high, he said in his brief: *I know of no way in which the re- ductfon in price can be effected ex- cept by rejection of the application and the subsequent negotiations by the officials of the Washington com- pany and the controlling majority stockholders, the Washington and Suburban companies. It would ap- pear that any such negotiations would occur under most disadvantageous cir- cumstances.” Roberts approved the methods of financing proposed in the application &8 the “most practical available in the present cash position of the Washing- ton company.” The plan is for the company to obtain bank loans so as to be able to pay cash to the trust, which con- trols the Hyattsville, Alexandria and Richmond gas concerns in addition to holding 84 per cent of the 130,000 shares of common stock of the Wash- ington company. The bank loans later would be replaced by sale to the pub- lic of $3,000,000 of preferred stock in the Washington company, part of ‘which would be used to make needed ‘Washington company improvements. Move Sequel to Stock Plan. The purchase of the two suburban eoncerns from the trust is a sequel to the move of the trust to sell to the public its stock in the Washington company. Apparently suggesting a means of trying to block any feared sale of large blocks of the Washing- ton company stock to another hold- ing trust or company, Roberts pro- posed that the commission required the Washington company to provide detailed information of the progress | of the dissolution of the Washington | and Suburban companies. Nearly two years ago the A. G. & E. acquired control of the Virginia Public Service Co., which serves electric power to a larger area of Virginia. “It has been definitely determined to be most desirable,” Roberts contin- ued, “that central control of the ‘Washington company and of its sub- sidiaries should terminate at the earliest feasible moment. In the dis- solution of the Washington and Sur- burban Companies (the hold trust) compliance must be had with the pub- lic -utility act of 1935, which involves the sale of the Alexandria and Hy- attsville properties. It follows that this sale must take place to some third persons if not to the Washington com- pany. Acquisition Held Undesirable. “Among other equities of the Wash- ington & Suburban Cos. is control of the New York & Richmond Gas Co. of Staten Island. It is well known there have been bids for this company on behalf of the Associated Gas & Electric Co., which quite recently ac- quired the ownership of the electric power property operating adjacent to Washington in Northern Virginia. “This corporation is the logical petitioner for the Alexandria Gas Co for the purpose of eliminating com- petition in the area in which it operates. It is extremely undersirable both in the interest of the residents of Alexandria and of the Washington company and its consumers that such an acquisition take place. . “The Hyattsville property, although small, is shown by the evidence before this commission to be a justifiable purchase at the price proposed. Finan- eial doubt is confined to the allocation of $500,000 in cash for the Alexandria :$30,000 note now held by the Rosslyn Foening Star WASHINGTON, D. C, THURSDAY, OCTOBER -1, 1936. Woodrow Wilson mgh School yesterday was given the cadet brigade staff of the Was bers of the staff are shown above. ington High School Cadet Corps. Mem= Left to right: Melvin Williams, major and quartermaster; George E. Flather, jr., colonel and brigade commander, and Charles Davis, major and adjutant. —Star Staff Photo. Wilson High Student Given Two Honors "In Few Hours George E. Flather, Jr., Cadet Corps Commander and Student Council President—Picks -Classmates. Honors apparently don't come singly to young George E. Flather, jr, a member of Woodrow Wilson High School's first senior class. Yesterday, after 48 hours of “sitting on pins and needles” he learned that he had won the annual competitive examination for brigade commander of the Washington High School Cadet Corps.. Within a few hours, Woodrow Wilson's Student Council met for its | annual election, and Flather was elected its president. Flather expressed more satisfaction at the honor given his school in win- ning the right to have the cadet brigade staff than either of the two | distinctions he had won for himself. | Classmates Designated. Since he will command the corps | from all the six high schools with cadet units, two of his classmates were designated brigade adjutant and quartermaster. Charles Davis was made major and adjutant, and Mel- vin Williams was selected to be major and quartermaster. | The pride of the Woodrow Wilson | student body came from the fact that this is only the second year of the school's existence. Last year, its own cadet Units were so limited that they were attached to Western High School; in fact, most of the officers at the new schoel were Western seniors. Flather, however, was an exception. A junior at Wilson, he was made captain of a “rookie” company, and surprised the entire corps when his company won the annual competition at Griffith Stadium for recruit units. Davis was a sergeant in that company. Williams, however, was enrolled at Western, and as a sergeant competed | against his two colleagues. He trans- ferred to Wilson this Fall. Active in Athletics. All three of the new brigade staff are also active in athletics, and al- though Wilson is not regarded as strong enough to compete with the other city high schools, the school is organizing a foot ball team. All three are on the squad. They also go in for basket ball, and Flather is captain of the golf team. ‘They passed up base ball and.track last Spring because they interfere with drill. None of the boys, however, are looking forward to a military career fter gracuation. “It’s just a part of school, being s cadet” ssid Flather. “I probably couldn't pass the examination for the Army because of my eyes.” He wears glasses when he reads. “Were you surprised when Wood- row Wilson beat out the older schools?” they were asked. “Well,” Flather answered, “we were sitting on pins and needles for a | while.” More Respect Appreciated. “Maybe,” put in Williams, “they will learn to respect us a little more.” A group of their fellow students clustered around. “I'll tell you who was surprised,” one of them shouted, “it was Western, Central, Eastern, Roosevelt and Tech.” Flather is the son of Mr. and Mrs. George E. Flather, 3750 Jocelyn street; Davis is the son of Comdr. C. C. Davis and Mrs. Davis, 3808 Seventh street, and Willlams is the son of Mr. and Mrs. Paul M. Williams, 2035 Northampton street. THRE UNTS OV RED CROS QU Some Returns Heavier Than Last Year—Total Mem- bers, 2,559. Red Cross membership campaigners today continued to report good prog- ress in the drive to enroll 65,000 Washingtonians by October 16. Total enrollment was 2,559 at the close of the third day of campaigning yesterday, an increase of more than 500 over the aggregate reported Tues- day night. There has been some tardiness of reports, indicating en- rollment actually has been greater than recorded figures show. Most house-to-house canvassers have been kept indoors by the rain. They hope to roll up an impressive membership as soon as bad weather yields to good. 100 Per Cent Enroliments. The first solicitation unit to re- port 100 per cent enroliment during the campaign was that for the office of Elwood H. Seal, District corpora- tion counsel. Two other groups went “over the top” before the drive was opened Sunday. Lloyd B. Wilson, general roll call chairman. said last night that returns from financial institutions, real estate and insurance companies were greater than at this stage of the 1935 drive. The Government solicitation divi- sion continued to lead all others and predictdd increasing returns within the next few days. ‘The bulk of yesterday’s memberships came from the Agriculture Depart- ment, National Advisory Commission, Riggs National Bank, G. M. P. Murphy Co., Anacostia Bank, Chesapeake & Potomac Telephone Cc. Friendship Branch of the Riggs Bank, Securities Savings Bank, E. A. Pierce & Co., Demonets, Inc.; Glasscock, Downing & BSeebold, Wire Rope & Strand As- sociation, Randall Preparatory School, Arcade Laundry and Societa Vittorio Emanuéle IL Hotels and Apartments. The apartment house solicitation company, a subsidiary of the Wash- e 'HEAVY ADVANCE SALE 'FOR CONCERTS REPORTED A record number of advance res- tions for concerts of the National phony Orchestra was reported” foday as the orchestra association opened its downtown box office in Garfinckel's Department Store. ' The orchestra starts Its sixth sea- A}"p October 25 in Constitution Hall. afternoon of 12 and the midweek group | broad be made today if weather permits, Saul, chairman of the cam- mittee of the Washington Board of Trade. Cereus Blooms in Daylight. stole & march on jtself fimmum EDUCATION WEEK WILL STARTNOV. 9 Roosevelt Designates Date and Urges National Observance. Declaring that time and experience have demonstrated that universal ed- ucation is essential to national prog- ress, President Roosevelt today is- sued a proclamation designating the week of November 9 as American Ed- ucation week, and urged that it be observed throughout the United States. Ofher views of the President re- garding education, expressed in this proclamation, were: “An opportunity to all of our peo- ple to obtain the education that will best it them for their life work and their responsibilities as citizens is the ideal of American education. It is an ideal which has been a vital factor in our national development since 1647, when the General Court.of Massachusetts enacted the historic message providing for an elementary school in every township of 50 house- holders’ and a grammar school in every town of 100 families ‘to instruct youth so farr as they may be fited for ye university.’ In the expansion of the Nation the school has moved with the frontier, and time and expe- rience have demonstrated that uni- versal education is essential to na- tional progress. “It is accordingly with a feeling of earnest gratification that we note the improvement which has taken- place with respect to the educational situs- tion in the United States. Teaching positiohs which were eliminated dur- ing the depression years are being restored and teachers’ salaries have returned to pre-depression levels in an encouraging number of school systems, colleges and universities. - There has been a steady increase in the attend- ance of students at elementary schools, high schools and colleges. “It {s particularly appropriate, therefore, that & time be set 8] BARED BY SURVEY Trade Commission Reports National Dairy Operates in 27 States. REGULATION ATTACKED IN TWO SUITS HERE Justice Wheat Gives U. 8. Nine Days to Answer Injunction Plea of 12 Farmers. BY BLAIR BOLLES. National Dairy Products Corp., par- ent concern of the largest milk dis- tributor and of the largest ice cream plant in the District, controls more than one-tenth of the milk business, more than one-fifth of the ice cream business and one-third of the cheese business of the United States, the Federal Trade Commission reported today in the course of a milk study ordered- by Congress. The information was made public as Agricultural Adjustment Admin- istration lawyers began preparation of & defense of the legality of Federal regulation of milk distributors for presentation in District Court here October 8. ‘The regulation, as it applies to Washington, was attacked yesterday in two suits by 12 Maryland and Vir- ginia farmers who contended it was| unconstitutional. Chief Justice Al-| fred A. Wheat gave the Government | nine days to show cause why Secre- | tary Wallace should not be enjoined from enforcing the order establishing the control. The Federal Trade Commission’s report is one of a series prepared according to a House resolution of June, 1934. The study. leading to today's disclosures was to determine the existence and extent of “unfair monopoly and price-depressing prac- tices,” with- emphasis on the New York milkshed, where the National Dairy has its headquarters. Extensive Ice Cream Trade. Chestnut Farms-Chevy Chase Dai- ries and Southern Dairles, Inc., ice cream handler, of Washington, and National's 356 . other subsidiaries, bought 3,737,942,202 pounds of fluid milk and sold 37,550,988 gallons of ice cream two years ago. National's ice cream operations extend through 27 States, the commission reported, ranging from 2 pey cent of the total business in Montana to 52 per cent in Connecticut, . “Subsidiaries of _National Dairy Products Corp. have granted special discounts to chain ‘stores handling their products,” the report said in & discussion of monopoly practices in the milk industry. “For example, Chestnut Farms-Chevy Chase Dairy Co. had a special contract with a large chain store system in Wash- ington, D. C., granting § per cent dis- count on all purchasés of milk and cream.” The store was not named. National's strength, the commission declared, enables it “to obtain special discounts and allowances on pur- chases of supplies for its subsidiaries. For example, it has a special arrange- ment with sugar brokers whereby its subsidiaries receive a rebate of 5 cents a bag on their requirements of sugar. It also has an arrangement with the National Biscuit Co. for a special rebate on the purchase of ice cream cones for its subsidiaries.” National became & leader of the United States cheese industry, the re- port disclosed, through its acquisition of Breakstone Bros, Inc, and of Kraft-Phenix Cheese Corp. Through Kraft, National dominates C. A. Straubel Co., “one of the few active members of the Wisconsin Cheese Exchange, whose activities fix the basis for the price of cheese through- out the United States.” Borden Aid Received. Kraft-Phenix received aid, too, from National's leading rival, the Borden Co., the report indicated. i documents found in the files of the Borden Co. discloses that at times the company refrained from competing with other large companies, including Kraft-Phenix Cheese Corp., Carnation Co. and Pet Milk Co.,” said the report. ‘The commission report charges that the National Dairy near-monopoly ex- tends also into the co-operative fleld. As an example, the report cites Shef- field Producers’ Co-operative Associa- tion, with a membership of 15,000 dairy farmers, and declares that the association is “dominated and con- trolled” by its only customer, Sheffield Farms Co., & subsidiary of National. The first suit against the milk agreement here was filed by Sefton Darr for 11 Montgomery and Fred- erick County, Md., farmers, producing Widened and improved under a P. W. A. grant, F street between Seventh and Ninth streets is shown after being reopened to traffic. The portico steps on the old Patent Office Building were rearranged and the north street curb moved back to eliminate the “bottle neck” that caused street car and automobile traffic to snarl. connecttng the city’s chief downtown shopping areas. north cur NEWLIQUOR SQUAD T0BE CONSIDERED Plans Will Be Laid to Co- Operate With Treasury Agents. Creation of & new headquarters squad to co-operate with Treasury agents in the suppression of the illi- cit liquor trade will be considered by Police Chief Ernest W. Brown this afternoon at a conference with rep- resentatives of the Federal tax unit, Treasury Department. Maj. Brown said today he was un- certain whether & new squad would be organized. As an alternative, sev- eral men and a new sergeant may be added to the present vice squad, which now is charged with enforeing liquor, vice and gambling laws. Vice Squad Undermanned. The police chief said the present vice squad is undermanned and should be strengthened if it is to cover such a wide field of enforcement. It was understood that Sergt. A. B. Clarke of the Fourth precinct and “others” are under consideration for the proposed new post at headquarters. The vice or liquor squad is com- manded by Lieut. George M. Little. Whether & hew squad is formed or the present squad strengthened, it was said that several men with be de- tailed to work exclusively with Fed- eral agents to put down the trafic in untaxed liquor. Promotions Announced. Several promotions were announced. Acting Lieut. N. O. Holmes of the second precinet will become a full lieutenant, remaining at his present station. Sergt. Clarence H. Lutz of No. 8 precinct is to be promoted to acting lieutenant and transferred to No. 2 precinct. Pvt. James C. Pipkin will be pro- moted to a sergeantship at No. 8 pre- cinct. These and other officers, whose pro- motions were announced yesterday, were to be sworn in today by Chief Clerk Howard Crawford. The latter | officers are Lieut. George Darnell and Precinct Detectives William El- lery, Willlam G. Fawcett, Robert V. Murray and Fred Antonelli. U. of M. Freshmen Elect. COLLEGE PARK, Md, October’ 1 Widening the street makes Dotted available another thoroughfare line shows jormer position of —Star Staff Photo. VENDOR’S CASE PUT OFF Hearing in Peanut Peddler's Trial | Is Continued. | Hearing on & charge that Steve Vasilakos peddled peanuts near the White House in violation of a police regulation was continued in Police Court today until October 8 on rec- Elwood Seal. Mrs. Roosevelt intervened in behalf ! his arrest a fortnight ago. He is now selling peanuts at the stand he has occupied for s quarter of a century. HODVER IS BAGKED Police Chiefs’ Association Urges Interference Not Be Made. BEfforts of “certain groups” to in- duce President Roosevelt and Attorney Hoover’s attacks on parole maladmin- istration are condemned in messages sent to the White House and the Department of Justice by the Inter- national Association of OChiefs of Police. Declaring that Hoover “through his courageous and frank expressions has brought to light conditions which should be remedied in the public interest” the police chiefs urged the President and the Attorney General “not to interfere in the constructive The association’s stand was prompted by a recent request to the White House by the National Probation As- sociation that the Federal Bureau of Investigation director be prevented from issuing statements ‘“‘derogatory and destructive to the advancement of probation and parole.” The defense of Hoover by the police vention last week in Kansas City. “It is the firm opinion of this associa- tion,” the police officials declared, “that definite abuses do exist in the administration of parole in the United States, which tend to affect police work and efficiency adversely, in that these abuses bring about conditions which make the enforcement of the laws a District Cost Above Average For School Plant Operation opera- | were: m_?. $1098; 1932, $10.64, and “Southern region” the av- 1930, $7.09; 1932, $737, - | Government's ommendation of Corporation “Counsel | of the veteran street vendor following | ONPAROLE STAND General Cummings to halt J. Edgar | chiefs was authorised at their con- ! POLE T REPORT SERMEESTOLS. TCost to District to Be Esti- mated for Fiscal Rela- tions Study. Metropolitan police officials were rushing to completion today a com- | prehensive report designed to show the cost to the District of providing police service for various activities dis- tinctly Federal in character. The report will be submitted to J. L. Jacobs, Chicago efficiency engineer | and tax expert, who is making a study | of fiscal relations between the Federal and District governments at the direc- tion of President Roosevelt. Other departments of the municipal govern- ment are preparing similar reports which, when combined, will give Jacobs a complete picture of the bene- fits received by the United States at the expense of the District. The Police Department report will cover a 10-year period. It will outline the ramifications of various services provided -for the Federal Government | and estimate the cost. { President’s Escort Cited. The cost of services to the White House, which includes a motor cycle escort for the President while traveling in the District, will be cited in the report, as will the protection provided for foreign embassies and legations when such service is requested. The figures also will include the cost of & police detail assigned fo the Senate wing of the Capitol when Congress is in session, as well as the cost of pro- tecting and escorting foreign visitors who come to Washington. In addition, police officials planned to figure, if possible, the cost of patroling streets around Federal build- ings and the expense involved in handling the bonus marchers and the so-called “hunger marchers” who in- vaded Washington several times in recent years. Officials pointed out that the ex- pense of handlnig both the bonus and hunger marchers should be charged to the United States, because none of these demonstrations would have oc- curred in Washington if it had not been the seat of the Government. Edwards Gathers Data. Inspector L. I. Edwards, assistant superintendent and personnel officer, is in charge of gathering data to go into the report. As soon as it is completed it will be transmitted to Maj. Daniel J. Donovan, auditor and budget officer, who is acting as liaison officer between the District and Jacobs and his advisory committee. Aside from the Police Department reports are being prepared for Jacobs by the Board of Education, the Public Library, the tax assessor and follow- ing departments: Highway, water, sewer, electrical, fire and health. The information is being gathered by all of these departments at the request of Jacobs, and will follow sug- gestions he made at a conference with various District officials several weeks 2g0. Later Jacobs proposes to call on civic organizations to submit any data they may have relating to the fiscal- relations question which will aid him and his advisory committee in deter- mining & fair share of the Federal expense toward the maintenance of the operation &nd District. Society and Genéra] IMMEDIATE AGTION RECOMMENDED ON DRIVERS' PERMITS Delay Caused by State Of- ficials After Conviction Is Opposed. COURT POWER FAVORED TO SUSPEND OR REVOKE Representatives From 11 States Gather Here to Discuss Traffic Laws. Immediate suspension or revocation of drivers'’ permits by the court in which conviction is obtained, instead of delayed action by a State safety or motor commissioner, was recommend- ed to the accident prevention confer- ence subcommittee on uniform traffic regulations today. Secretary of Commerce Roper greeted the representatives of the 11 States now having driver licensing laws, who were invited to open the two-day session in the Commerce Department Bullding. Representative O'Neal of Kentucky, chairman cf the conference subcommittee, presided. Legislature to Act. The recommendation that permits be suspended or revoked by the court at the same time the offending driver is convicted came from George W. | Fleming representative of Mayor Ed- | ward Kelly of Chicago. This pro= | vision is included in the drivers’ li- cense law which the Illinois Legisla« ture is expected to pass at its next session. | Explaining that various forces which | heretofore have opposed any form of driver’s license have been enlisted in its support after a long campaign of education, Fleming said he was un- able to understand why so many | States permit a driver convicted of speeding or reckless driving to con- tinue to operate a car on the streets |of cities and State highways for a | week to 10 days before the suspension or revocation becomes effective. He said: | “If a driver deserves to have his driving permit suspended or revoked, we are in favor of doing it right away | and, upon conviction, having him surs render it immediately to the court. “A driver who is dangerous to the community should not be permitted to operate a car on the highway while the mechanics of the law are being carried out. Any delay may result in more accidents.” Stricter Enforcement. Fleming also pointed out that efforts | to increase safety in Chitago took the | form of stricter enforcement of traf- | fic regulations. During the past two years, he said, fixing of tickets de- creased from 86 per cent to 4 per cent, and revenues from fines went up from $68.000 to $386,000. Besides Ilinois, the States not hav- ing driver license laws are Florida, Georgia, Louisiana, Mississippi, Mis- souri, New Mexico, Oklahoma, South | Dakota, Tennessee and Wyoming. | Need for further effort toward in- | creasing safety was brought home to | the conference by the announcement | of Labert St. Clair, conference director, that during the past year two mem- bers have been fatally injured in auto- mobile accidents. Secretary Roper in greeting the opening session declared that acci- dent prevention was “the greatest challenge before us, not only from the standpoint of life, but of industry.” Nation-Wide Action Stressed. ‘The Secretary stressed the need for | attacking the problem on a Nation- | wide front, and added that during his recent visit to Europe he found not only officials connected with highway traffic, but industrialists looking to the United States for guidance in formu- lating safety legislation. In Great Britain, where the num- ber of automobiles is rapidly increas- ing and bringing & corresponding in- crease in traffic casualties, largely be- cause of narrow roads and streets, American safety methods are being studied, He pointed out. Indorsing Fleming’s recommenda~ tion for immediate suspension or revocation of permits of drivers con~ victed of serious traffic offenses, Asher Frank, State safety director of Florida, said that a State motor patrol is neces~ sary to enforce the laws placed on the statute books. The need for driver license laws in all States is demonstrated, he said, by the record of tourist traffic casualties in Florida during the past year. Of the 24 tourists killed in traffic accidents in Florida last year, none had a driver’s license, he asserted. The meeting will continue tomorrow, with representatives from 30 other States, all of which have driver license laws of one type or another. Discussion will be directed toward finding a law suitable for Nation-wide application. GAS FIRMS’ MERGER URGED AT HEARING Maryland P. 8. C. Also Weighs Proposed $400,000 Sanitary Bond Issue. By the Associated Press. BALTIMORE, October 1.—The Pub- lic Service Commission heard repre- sentatives of the Washington Gas Light Co. argue today for permis- schedule. One was an application by the Washington Suburban Sanita~y Commission to issue $400,000 in bonds. The other was an application of the Lavale Water Co. to issue $65,000 in notes to provide funds for improve- ment and extension of the company’s present plant near Cumberiand. Y AR Required to Attend School. All boys and girls up to 18 in Austris will be required to attend school, drill, engage in gymnastics and hesr see A