Evening Star Newspaper, May 27, 1937, Page 1

WEATHER. (U. 8. Weather Burea Showers and thunderstorms this after- noon and night, probably row morning; winds. p.m. yesterday; lowest, 70, day. Full report on page A-23. Closing N.Y. Markets—Sales—Page 22 85th YEAR. No. INCOME TAX APPROVED cooler tomorrow; gentle Temperatures—Highest, 84, at 38 33,994. u Forecast.) clearing tomor- , at 6:30 a.m. to- Entered as second class matter post office, Washington, D. C. b WITH SUNDAY MORNING EDITION ¢ Foening Stat WASHINGTON, D. C, THURSDAY, MAY 27, 1937—FIFTY-EIGHT PAGES. ®¥ BY D. C. SUBCOMMITTEE IN 5-POINT PROGRAM Sales P l‘OpOSal‘T‘These Little Farm Sites Cost U. S. From $6,000 to $10,000 Scrapped in New Plan. $6,149.000 SET AS REVENUE Corporation, Auto’ and Inheritance Levies Made. BACKGROUND— To offset threatened deficit of nearly $8,000,000, District is faced with flock of new tazes. After suggestions from Commis- sioners and members of both House and Senate cither sales tax or in- dividual income tar has loomed as major possibility. House action ex- pected soon. BY JAMES E. CHINN, Scrapping a proposed 2 per cent' gales tax in favor of an income tax, | the special tax subcommittee of the House District Committee today adopted a five-point taxation program designed to raise $6,149,000 to keep the District out of the red in the new fiscal year, beginning July 1. The final approved program follows:; | 1. An income tax affecting cor- porations as well as individuals, 2. A weight tax on motor vehicles. | 3. An estate and inheritance tax. | 4. A business privilege tax. 5. An increase in the tax on in- surance premium receipts. Foreign Corporations Fee. The subcommittee also agreed to sponsor legislation to compel foreign corporations doing business District to pay a license fee and maintain a service officer in the city, and authorizing the commissioners to require automobile owners to pay for the privilege of parking at a curb by | the installation of park-o-meters. The subcommittee also ignored a recommendation of the Commissioners | to increase the local gasoline tax from | 2 to 3 cents a gallon in adopting its | pr ogram. | All details of the five-point tax pro- | gram as well as the proposed legisla- | tion establishing park-o-meters and | licensing foreign corporations will be | worked out by the Commissioners at the direction of the subcommittee. | ‘The Commissioners will be given until | Tuesday to put the program in shape for consideration of the sub-commit- | tee. Rates Not Fixed. i Since the subcommittee failed to fix | rates for the new tax schedules, it isi believed the Commissioners will folow B0 far as is possible, the details con- tained in their original tax program. | On the basis of that program the new taxes were estimated to yield: Income tax, $5000,000, or $2,500,000 if the present tax on in- tangible personal property is re- Dpealed, or credit is allowed on the income tax payment for intangible tax payments. Weight tax on motor vehicles, $1.500,000. Estate and inheritance tax, $800,- 000. Increase in insurance premium receipts, $200,000. Business privilege tax, $2,000,- 000. While this program' would produce an estimated $7,000,000 if the intan- gible tax is repealed, the subcommit- tee will definitely instruct the Com- | missioners to keep the figure down to $6,149,000, the actual amount of the anticipated shortage on the basis of the 1938 District appropriation bill as '1t passed the House. Provisions for Deficit. If the deficit should reach $8,000,000 as predicted by the Commissioners, the subcommittee said the Commis- sloners would be in a position to raise the additional amount by increasing the real estate levy or adopting park-o-meters, or both. The sales tax plan of the Commis sioners was junked by the subcom- mittee, largely at the insistence of Representative Dirksen, Republican, of Illinois, who reiterated his warning (See TAX, Page A-3) SHOWERS ARE FORECAST FOR WASHINGTON TODAY Warm Spell Yesterday Resulted in One Prostration When Mercury Rose to 84. Bhowers and thunderstorms were in prospect today following yesterday's warm spell which resulted in one heat prostration when the mercury rose to | 84 under a bright sun. The forecast is for “showers and thunderstorms this afternoon and to- night; probably clearing and cooler tomorrow.” Police reported that James Hivel, 28, Arlington, Va, was treated ai Emergency Hospital for prostration after he was found unconscious yes- terday afternoon at Wisconsin avenue and K street. e W. P. A. WORKERS QuIT Demonstration Staged Against Prospective Cut. NEW YORK, May 27 (#).—A one- day work stoppage demonstration of W. P. A. workers was staged today in protest against the prospective cut in the W. P. A. rolls. The Workers' Alliance, union or- ganization of W. P. A. workers, claimed 10,000 left their jobs. Administration officials, on the other hand, esti- mated the number at 802. There was no disorder. BACKGROUND— On Monday Senator Harry F. Byrd of Virginia wrote Secretary of Agriculture Wallace asking that work be stopped on the Shenandoah homesteads, being set up for families about to be evicted from the Shen= andoah National Park. He claimed it was an unezampled waste of money. Mr. Wallace declined to give up the project. BY THOMAS R. HENRY, Staff Correspondent of The 8tar. the Blue Ridge Mountains in $6,000 to almost $10,000 each. L URAY, Va. May 27.—It is almost inconceivable that the Resettlement Administration farms and homesteads scattered about the foothills of five Virginia counties have cost from But Senator Harry F. Byrd of Virginia has the R. A.’s own estimates, signed by Dr. Rexford G. Tugwell, which run almost as high as that and ad- mittedly do not cover even the costs Type of the 401 houses at the Ida, Va., project.—Star Staff Photo. | his own on the values of farm land in that locality and the prices actually | | paid the owners—in no case excessive. to date. He has, moreover, figures of These are the basis of his letter to Secretary of Agriculture Henry A. Wall difference of opinion. ace asking that the $1,500,000 Shenandoah Homesteads project be aban- doned before any more money is wasted on it. ministration can refute these alleged costs there seems to be little room !or} Unless the Resettlement Ad- For the most advanced of the projects, for example, Senator Byrd's fig- ures show that the actual cost of the ticular project there are between 10 land was $24.70 an acre. In this par- and 20 acres of land to each home- in the | stead. This accounts for, at most, $500. Now, says Senator Byrd, the costs have already run well over $6,000 per homestead, with more to come—and | this is the cheapest, most economically managed of the lot. $5,000 to Be Accounted For. That leaves more than $5000 to be accounted for in bufldings and overhead. Even if one cuts Senator Byrd's Two thousand dollars would be a figures in half, it's incomprehensible. exhorbitant price for such places in (See HENRY, “Page A-5) REORGANIZING BILL DRAFTING 15 SPLIT Senate Will Prepare One, While House Group Plans Four Measures. BACKGROUND— At instance of Senator Byrd of Virginia, Senate last year autho- Tized survey of departmental set-up directed at reorganization. Later President asked Congress for sim- ilar survey. This Winter President asked leg- islation embracing definite revision of governmental structure, while Byrd and other individuals in Con- gress proposed other reorganiza- tions as avenue to economy. Senate and House members of the Joint Committee on Government Re- | organization today decided to proceed | with independent consideration of bills intended to carry out the President’s governmental reorganization program. | Senator Robinson, majority leader, said the Senate committee will pre- pare only one bill, while the House ! group is expected to draft four sepa- rate measures. The draft of the Sen- | ate bill may be completed within 10 days, Senator Robinson eaid, but he ‘rwas unwilling to forecast final action | at this session. { Chairman Cochran of the House | committee emphatically denied that !an agreement had been reached to | postpone action on the reorganization | measures until next session. He said he hoped the House bills could be | “agreed upon for submission to the | House in the near future.” Senator Robinson was not willing |to compare the contemplated Senate measure with the Brownlow bill. It was understood, however, that under the proposed measure the President would be given general authority to Congress reserving control over cer- tain important bureaus. The meeting of the joint commit- tee, first held in several weeks, re- sutled from the Persident's insistence to the House group 10 days ago that he wanted action on his entire pro- gram of reorganization at this ses- | sion, After the meeting, it was believed in some quarters that one or more of the proposed House measures might be enacted before adjournment, but that there is little likelihood the whole reorganization program, especially if it is embodied in a single bill, could be forced through to passage. “It was unanimously agreed that the Senate and House groups meet separately until further notice,”.Rep- resentative Cochran said, as he left the meeting. “This action was taken with 8 view to expediting considera- tion of the proposed legislation. Each group will consider their own bill and Will exchange suggestions from time to time. The House group will meet early next week. Other Democratic members of the House Committee were authority for the statement that the House group will (See REORGANIZATION, Page A-16) Airline Control Recommended. A House Interstate Commerce sub- committee recommended today enact- ment of a bill placing sirlines under regulation of the Interstate Com- merce Commission, WAGE, HOUR BLL MAYBETIGHTENED Plan to Include Employers of Eight or Even Fewer Workers. (Further details on wage-hour legis- lation on Page A-6.) sweeping than originally intended by making it applicable to employers of eight or even fewer persons developed today as Representative Connery of Massachusetts, chairman of the House Labor Committee and co-sponsor of the legislation, disclosed receipt of numerous complaints about sweatshop conditions in small industrial estab- lishments. - As originally prepared for introduc- tion, the Black-Connery bill specified that concerns employing less than 15 persons would be exempt. Although a last-minute change resulted in the 15 figure being eliminated and none substituted, early reports of such a line of demarkation resulted in the protests acknowledged today by Con- nery. The probability of making the Proposed act more inclusive in ap- plication was discussed this morning at a quietly arranged conference be- tween Black, Connery and Ben Co- hen, administration brain-truster, who s credited with having prepared the draft of the measure as finally introduced. With joint hearings scheduled to start next Tuesday with the appear- ance of Robert Jackson of the Jus- tice Department and Dr. Claudius Murchison, head of the Cotton Tex- tile Institute, it was arranged to hear Secretary of Labor Perkins on the following Friday morning. BAKER UNDER KNIFE IN SEA OPERATION Banker Peritonitis Victim—Con- . dition “Good,” Companion Reports. B3 the Associated Press. NEW YORK, May 27.—George F. Baker, chairman of the First National Bank, underwent a midocean opera- tion today for’ peritonitis. The operation was performed in mid- Pacific aboard Baker’s steam yacht the Viking, apparently by a physician hailed from a passing liner. Jackson Reynolds, former president of the First National Bank, announced: “Mr. George F. Baker, cruising in the South Pacific, has undergone an operation aboard his yacht, the Viking, for peritonitis. “He came through the operation in good condition and is expected in Honolulu on Saturday.” —_— Japanese Plane Crashes. OSAKA, Japan, May 27 (®).—A civilian airplane crashed into & house- top today, killing all five of its occu- pants. The machine, which belonged to the Japan Aviation Research Insti- tute, struck & tall cement factory chimney and hurtied to the roof be- low, 2 Probability that the administration | wage and hour bill will be made more | HOUSE IN'FUROR ON RELIEF STRIKE BAN AMENDMENT Fuller Proposal Shouted Down Amid a Flood of Criticism. CRAZY TO LISTEN TO IT, DECLARES MAVERICK Texan Denounces Earmarking of $1,500,000,000 Fund for Floog and Other Projects. BACKGROUND— Failing in past years, some mem- bers of Congress are making a de- termined fight at this session to have relief funds earmarked for purposes of erpenditure. Hereto- Jore supporters of President have mustered enough voting strength to give him free hand in disbursing the money, earmarking serving only as guide to indicate how Congress would like to see the money spent, P> the Assoclated Press. A storm of controversy broke on the House floor today over an attempt to | write into the $1,500,000,000 relief bill | an amendment denying relief workers | the right to strike Although the proposal. by Repre- sentative Fuller, Democrat, of Ar- kansas was shouted down, it pre- cipitated a flood of criticism. “This is the most ridiculous thing {I ever heard of,” declared Repre- | sentative Maverick, Democrat, of {Texas. “What are we? Are we the | | House of Lords back in 15182 Why, | we must be crazy even to listen to things like that.” The stocky Texan vehemently de- nounced previous amendments ear- marking the bill for flood control, public works and other specific proj- ects. “We've earmarked and earmarked,” he shouted, “until the bill hasn't got any ears left. We've earmarked until it’s no longer a relief bill. Called Pork-Barrel Bill. “It's a pork-barrel bill and a dis- grace to Congress and the Democratic party if we pass it.” Fuller had proposed an amendment which would have made ineligiole for | relief any person who went on strike or incited or encouraged strikes. Fuller said most of the earmarking | of the bill was due to the “animosity | pand rulings” of Harry L. Hopkins, | works progress administrator. The bill swept past the first at- tempt to amend it today. A proposal by Representative Rich, | Republican, of Pennsylvania to set | up an advisory board of five Senators and five Representatives to co-operate with the President in determining how the money should be spent was ruled out of order. A possibility developed, meanwhile, that plans to push the bill to final action today might go astray. Action Held Imperative, Representative Woodrum, Demo- crat, of Virginia, said it was impera- tive that the House act today on conference reports on the independent offices and second deficiency appro- priation bills. Some Government agencies will run out of funds June | 1 unless these bills become law by then, he said. The Virginian announced he would ask that the House interrupt consid- eration of the relief bill, if need be, to assure action on the reports, which may take two or three hours. Asserting that the Soclal Security Board would not have money to pay to the States for old-age pensions unless the House took up the reports, Wood- rum remarked that many members were getting telegrams from home urging action. After the Rich amendment was thrust aside, the House defeated, 67 to T4, another by Representative Col- mer, Democrat, of Mississippi that LITTLE JACK HORNER! The only Yesterday’s evening paper in Washington with the Associated Press and Wirephoto Services. News circulation, 141,296 {Bome returns not vet raceived ) (P) Means Associated Pre: ,~ 2 %5 7% % 774 724 MYSTERY CLOUDS COURTBILL FUTURE Report Seen in Few Days, but Leaders Refuse to Comment on Plans. BACKGROUND— For three months and two weeks the country was rocked over the question of whether the President would gain sufficient senatorial support for his Supreme Court plan. Last week the Semate Ju- diciary Committee voted to report it adversely. The Supreme Court continued Monday its record of up- holding New Deal laws. Justice Van Devanter, conservative, an- nounced his retirement from the court, BY G. GOULD LINCOLN. Mystery clouds the future of Presi- dent Roosevelt's court bill—at least on Capitol Hill. Chairman Ashurst of the Senate | Judiclary Committee is asked: “Will You or any other proponent of the bill, move to have the Senate take it up | for consideration, after it has been reported?” “No comment, no comment at all,” is the reply of the chairman, who in- troduced the bill and who had charge of the measure in committee, until a majority of his colleagues took it away from him, voting to report it adversely. The committee majority, opposed to the President's plan for the Supreme | Court, hopes to make its report to the | It has | Senate some time next week. been delayed by the illness of Senator King of Utah, chairman of a subcom- mittee which will draft the report. King was back at the Capitol today for the first time in a week. Senator McCarran of Nevada and Senator O'Mahoney of Wyoming have been working on the report, however. Report to Be Ready Soon. King said that he fully expected to have the court bill report ready within & few days. As soon as it is presented 1t goes to the Senate calendar. After that, any Senator can move to take it up. McCarran says that no opponent will make such a motion. If any of the administration leaders in the Senate intend to make a motion to call up the court bill, it has yet to be disclosed. ' The President, at the (See RELIEF, Page A-14.) Summary of Page. Amusements .C-2 Comics .C-1 Editorials ___A-12 Financial ___A-21 Lost & Found A-3 Obituary -__A-14 FOREIGN. “Objective untruth” charged to Pope by Nazi paper. Page A-10 Mrs. Merryman directs plans for Monts wedding. Page A-2 British are stirred by arms bribery charges. Page A-2 NATIONAL. Separate action on reorganization bills planned. Page A-1 Next step in court plan consideration is mystery. Page A-1 A. F. of L. to fight President's wage and hour bill. Page A-1 C. 1. O. bargaining war on steel forces 70,000 to idleness. A-1 House in major-battle today over relief earmarking. Page A-1 Cochrane improved after passing “good night.” Page A-2 Utility interests seek ruling on Fed- eral grants. Page A-17 Fair trade practice act may be intro- duced next session. Short Story..A-19 Society - Sports a Woman's Pg. C-5 tion in House. WASHINGTON AND VICINITY. Lost deaf mute child found in woods by policeman. Page A-1 Income tax main feature of committee plan for D. C. Page A-1 Bankers session told Washington is leading in recovery. Page A-2 ‘Washington midshipman among 10 to win commendation. Page A-2 Tomlinson expected to take stand in robbery trial. Page A-14 Cummings awaits report in Jordon inquiry. Page B-1 Pine Arts Commission approves site for auditorium, Page B-1 Senator Clark speaker at Memorial day services, . Page B-1. . (See JUDICIARY, Page A-4.) Today’s Star Licensing of chicken killing places here planned. Page B-1 Auto club urges establishment of single highway fund. Page B-1 EDITORIAL AND COMMENT. Editorials. Page A-12 This and That. PageA-12 Stars, Men and Atoms. Page A-12 Answers to Questions, Page A-12 David Lawrence. Page A-13 Paul Mallon. Page A-13 Mark Sullivan. Page A-13 Jay Franklin. Page A-13 Delia Pynchon. Page A-13 FINANCIAL. Bond changes small (table). Philip Morris net gains. Stocks rise unevenly (table). Curb list mixed (table). Clearings off seasonally. Anaconda doubles dividend. SPORTS. Fans will have nio say in selection of all-star teams. Page D-1 Foulis, unknown, adds spice to P. G. A. title golf. Page D-1 Yanks showing form that carried them to 1936 flag. FageD-2 Columbia picked to carry off honors in I. C.-4A track meet. Page D-2 Mary Cootes, Edith Clarke reach finals in Star tennis. Page D-3 Europe fears U. 8. netmen, but is not minimizing Britains, Page D-¢ MISCELLANY. Shipping News. Vital Statistics. City News in Brief. Young Washington. After Dark. Traffic. Convictions, Service Orders. Dorothy Dix. Betsy Caswell. Bedtime Story. Nature’s Children, Crossword Puszle, Latter-Out, . Page A-21 Page A-21 Page A-22 Page A-23 Page A-23 Page A-23 Page B-2 Page B-2 Page B-2 Page B-2 Page B-10 Page B-14 Page B-14 C-5 C-5 Cc-¢ C-8 C-1 -B-8 Youth,19, Admits Firearm Thefts Over Four Years Charles S. Taylor, 19, son of a bank teller, today was charged with house- breaking, grand larceny and petty larceny after detectives said he con- fessed a series of robberies extending | over a four-year period. | Thirsting for scientific knowledge of firearms and armaments, the youth is said to have admitted robbing the home of Col. Calvin Goddard, na- tionally known ballistics expert, at 3533 Quebec street; the Bureau of Standards, the Naval Air Station and Bolling Field, police said. youth’s home at 3808 Veazey street, mental bomb, taken from the Bureau tank. Other articles recovered from pawn shops and second-hand stores include several valuable cameras, tion and other articles, , ‘Taylor was arrested Tuesday by De- tective Sergt. Eugene Lambert and Eighth Precinct Policeman A. G. Keene. The policemen said the youth has been co-operating with them in the recovery of stolen articles. | Col. Goddard told police young Tay- lor visited his home to view his col- lection of firearms. When Taylor left, Col. Goddard reported, he discovered & valuable revolver was missing. gun later was recovered in Baltimore. Young Taylor also is accused of robbing the home of Dr. Francis N. Strawbridge, 4323 Reno road, and Wal- ter Kroening, 4115 Wisconsin avenue. FRENCH ACT ON TARIFF Bill to Raise or Lower Duties Is Approved. PARIS, May 27 (#).—The Chamber of Deputies Tariff Committee ap- proved in principle today a bill giving the government full power to raise or lower duties. Premier Leon Blum had asked a free hand to change tariff and nego- tiate accords similar to the Franco- American trade treaty. An opposition amendment which would have permitted the government only to raise tariffs was defeated, 10 to 9. . ‘The measure now goes to the Cham- ber, where a similar project previously was approved; later it was defeated in the Senate, o Clipper Leaves Bermuda. NEW YORK, May 27 (#).—The Ber- muda clipper left the Imperial Air- ways base at Hamilton Harbor, Ber- muda, at 8 am. (E. D. T.) today bound for New York by way of Balti- more. Officials of the Pan-America Air- ways said the giant plane would land at Baltimore between 2 p.m. and 2:30 p.m. ¢E. D. T.) after a survey flight over the harbor. Lost Girl, 3, Un Only Smiles (Picture on Page A-2.) The woodcraft which Policeman R. J. Poquette learned as a boy in the Wisconsin north woods was the factor that brought to an end at 6 a.m. today an all-night search by nearly 300 per- sons for a pretty 3-year-old deaf mute girl who had strayed from her home and become lost in a large wood tract in Southeast Washington. Climaxing a search which began at T o'clock last night when little Alice Kocher wandered from her home at 2507 Thirty-second street southeast, Poquette found the child, deep in the woods. & .mile from her home, lying asleep on a bed of leaves. “She looked startled and afraid when I first awakened her,” Poquette said, “then she began to smile She amiled all with her eyes, and I've never seen such & smile in my life.” Poquette wrapped the child in his coat and ran nearly three-quarters of a mile through the woods to s road, where he got & ride in & car and took the child to her home. Aside from numerous mosquito bites and the usual effects of exposure, little Alice appeared to have suffered no fll ef- fects, her mother said. ‘The woods where the child was found had been combed all night by & small army of C. C. C. boys, policemen, mem- bers of the fire rescue squad and per- sons living in the neighborhood. “From the experience I've had with persons getting lost in the woods near -0y - Wisconsin heme,” Poquetie seid, police said, was an unloaded experi- | binoculars, rifles, revolvers, ammuni- | AF.OFLTOFIGHT - WAGE, HOUR BILL ‘Leaders Fear Pegging of Pay Under Government Regulation. By the Associated Press. CINCINNATI, May 27.—American Federation of Labor opposition to the | administration’s wage and hour bill | appeared likely today in the light of Included in the loot found in the | sentiment expressed privately by Fed- | | eration chieftains. | William Green, A. F. of L. president, expects the Federation's Executive | measure before the end of its current | meeting. Hotel lobby talk plainly indicated most of the council members felt men's | wages should be fixed by collective bargaining rather than by Federal law. A rigid minimum, they said, would tend to peg wages and would make every effort to raise pay doubly hard. Sentiment Otherwise Divided. Sentiment on the hours and child | labor provisions was divided. Some f the more conservative leaders op- | pose Federal regulation of hours, even | though the federation is on record for the Black-Connery 30-hour week { bill. Green, among others, expressed | doubt as to the wisdom of a child Thbor bill, saying that its enactment might hurt the chances of the child | labor movement. A few leaders expressed the opinion that the council might ignore the bill | officially and allow individual unions to lobby as they chose, for or against | the measure. Push Fight Against Lewis. Meantime, the council pushed for- ward with its campaign against John L. Lewis' rebel Committee for Indus- trial Organization on many fronts. Traditional A. F. of L. craft lines were forgotten for the time being in the battle's heat. Arthur Wharton, president of the Machinists’ Union and ordinarily a staunch defender of organization by craft, announced he would issue an | industrial union charter to the Chev- rolet truck and body workers in In- dianapolis. This move signaled the start of a new A. F. of L. invasion of the auto- mobile industry. Whether this cam- paign would be left to Wharton was not made clear. Green sald he did not know anything about the new charter. International officers of the Progres- sive Miners of America, rival to an expected invitation to apply formally for an A . F. of L. charter. An order to all city central bodies and State federations to clean out C. I O, locals was to be issued within a few days. able to Cry, When Rescued “I knew everyone, when they’re lost, wanders in circles to the left. There was a long draw going through the woods with a very steep bank on the left side. It seemed logical the child she entered the woods, and, being unable to swing up the bank to the left, would wander down the draw until the land became flat on the left. I found her in exactly such a place.” Far into the night, giant search- lights of the fire rescue squad had stabbed through the woods guiding searchers who had been warned by the child's mother that her little girl could understand no word spoken to her and could make no sound except “a weak little cry.” ‘The hunt was abandoned by some about midnight, but others continued. Her father, Frederick Kocher, said Alice strayed from a group of children playing in the back yard and couldn’t have been gone more than five minutes before her disappearance was noticed. She was clad only in a little white organdie dress and white socks and shoes. Poquette, who said his paternal great-great-grandfather was one of the first French woodsmen to come down into Wisconsin from Canada, spent the first 16 years of his life in the forests of his home State. From 1921 to 1923, he was a night guide for the United States Army forces, quelling the forays of bandits in the hill country of Cuba. Poquette is attached to the eleventh precinct, | Lewis’ United Mine Workers, awaited | would go down this draw from where | TWO CENTS. T0000 MEN IDLE IN'FIVE STATES AS (.1.0. PUSHES WAR ONSTEELINDUSTRY Fires Banked in Furnaces That Had Been Operating on Highest Production Rate Since 1929. 32,000 WORKERS 0UT IN MAHONING VALLEY Inland, Republic and Youngstown Are Objects of Drive for Collece tive Bargaining—Republic Is Only Concern Attempting to Operate. BACKGROUND— Striking first at automotive in- dustry in drive to become sole bar- gaining agent for labor, Committee of Industrial Organization turned to steel. First major victory was | gained several months ago, when United States Steel Corp. signed a contract of recognition. Last week, after brief strike, Jones & Laughlin signed and workers voted C. I. O. bargaining unit. Inland, Republic and Youngstown, the three largest independent producers, refused to sign contracts, resulting in strike call last night. B3 the Assoctated Press. YOUNGSTOWN, Ohio, May 27— | An orderly strike of more than 70,000 workers—called by the Committee for Industrial Organization to enforce its demand for bargaining contracts— | crippled steel operations today in five States. Fires were banked in great fur- naces that had been operating for weeks at the highest production rate since 1929. Smoke died down in giant | stacks that only a dav before had been writing a story of Great Lakes prosperity unequaled since the depres- of Standards, and an empty oxygen | Council to declare its stand on the Sion. In Ohio’s Mahoning Valley alone 32,000 workers were idle, and the Steel Workers' Organizing Committee claimed a “100 per cent tie-up” of plants of Republic Steel Corp., and Youngstown Sheet & Tube Co., vast independent steel producers, which have expressed willingness to bargain | with the C. I. O, affiliate, but have in- sisted signing of a contract would |lead to a closed shop. | In the Chicago area, where 25000 | were affected, the strike order from 8. W. 0. C.'s chairman, Philip Murray, | shut down plants of the Inland Steel ‘Co —third of the three independents i against which S W. O. C. was aiming in 1its current chapter of the organizing effort John L. Lewis started with the signing of a contract by giant United States Steel Corp. | Fifteen thousand more men were | idle in Ohio plants outside the Mahon= ing Val Several Mills Operating. Republic spokesmen said several of |its mills were operating, but union leaders countered with claims that jonly a few men remained in the plants. In the Buffalo area C. I. O. leaders claimed a two-thirds shute down; the companies said most men were working. The first test of the strike's effece tiveness came at 11 o'clock last night, when the shifts changed. The second BRADY HUNT TURNS TO INDIANAPOLIS Federal Men Join Search for Trio Suspected in Hold-up and Shootings. By the Assoctated Press. INDIANAPOLIS, May 27—Search | for the Brady gangsters turned to In- dianapolis today following a report to police that two men believed to be members of the mob had made an audacious attempt to obtain an ap- pointment with an Indianapolis at- torney who handles criminal cases, Lemuel Trotter, night watchman at the Indiana State Fair Grounds, in- formed police two men resembling Al | Brady and James Dalhover formed |him to admit them to an exposition ! building, where they made a telephone call to the attorney. The lawyer de- nied knowing the identity of the caller and said he refused to make an appointment. Brady and Dalhover, with Clarence |Lee Shaffer, jr, form the nucleus of | the Brady gang, object of an intense hunt by Federal, State and local offi- cers following the hold-up Tuesday of the Goodland, Ind., State Bank and the wounding of two officers who were pursuing the bandits. A special squad of Federal oper- atives, working under orders from Washington, joined the manhunt. * State Police Captain Matt Leach said he was convinced the men were in a hideout and would remain there until the excitement of the chase ha¢ subsided. MACDONALD RESIGNS Presents Resignation to King After Audience at Palace. LONDON, May 27 (#).—Ramsay MacDonald, thrice prime minister, of« fered his resignation today as lord president of the council after an audi~ ence with King George VI at Bucking- ham Palace. It was understood the white-haired, elderly statesman did not hand over his seal of office. This will be done in the general exchange of seals between outgoing and incoming ministers when & new cabinet is formed after the re- tirement this week of Prime Minister Stanley Baldwin,