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WEATHER. (U. 8. Weather Bureau Forecast.) Fair tonight and tomorrow; warmer tomorrow; gentle becoming variable. Tem] est, 86, at 1 p.m.; lowest, at 2 pm. Closing N.Y. Markets—Sales—Page 16 85th YEAR. No. 34,0 Full report on page B-6. slightly northwest winds peratures: High- 67, at 6 am.; 79 Entered as second class matter 99. post office, Washington, D. C. U. S. MARINES FORTIFY LEGATION IN PEIPING 'AS TENSION INCREASES Bomb Thre at?Parker Wins Davis Cup for U. S.| Is Heard in Capital. | | SECRECY VEILS TROOP MOVE Japan Reports 500 Chinese Slain in Battle. BACKGROUND— Tension in North China has in- creased momentarily since “night- maneuvering” Japanese and Chi- nese troops clashed at Marco Polo Bridge on July 7. China accused Tokio of seeking “incident” to justify “er in taking over provinces of Hopeh and Chahar as she took Manchuria. Provinces were willing to negotiate peace, but Nanking central government re- fused to recognize provincial settie- ment. Chinese have been warned to withdraw troops from battle zome, with final test of two ulti- matums coming tomorrow. BULLETIN, NANKING, China, July 28 (Wednesday) (#).—Chinese mili- tary headquarters stated early today that Japanese forces had attacked Peiping shortly before midnight. By the Assoclated Press. PEIPING, July 27—United States Marines prepared sandbag fortifica- tions for the gates of the International | Legation Quarter this afternoon after 8 Japanese ultimatum for evacua- tion of Chinese troops from the tense region west of Peiping had expired ‘in an atmosphere of strict Japanese military secrecy. The American contingent was as xigned to guard four gates of the | Legation Quarter against any hostili- ties that might break out if China failed to comply with Japan's de- mands. Foreign circles seemed alarmed over | the impending deadline of a second | Japanese ultimatum tomorrow noon, | demanding evacuation of China’s 37th | Division troops from Peiping itself. Meanwhile, the Chinese Central | clinched the cup with an astonishing | making the final score four victories | | Great. Britain's unsuccessful cup de- GUARD OFFICERS | the officers filed suit in United States | ch WASHINGTON, D. C., TUESDAY, S SEN N SEMATE ONWAGEHOURBLL And Budge Milwaukee Underdog Runs Hare Ragged in Three Sets. By the Associated Press. WIMBLEDON, England, July 27.— Sorrel-topped Don Budge, undefeated this year, whipped Henry Wilfred | (Bunny) Austin today, 8—6, 3—6, 6—4, 6—3, as the United States com- pleted its rout of Great Britain's Davis Cup forces and regained the Mterna- tional tennis trophy for the first time since 1927, Budge's victory came after 21-year- old Frankie Parker of Milwaukee had straight-set triumph Edgar Hare, 6—2, over Charles 6—4, 6—2, thus for the United States against one for fenders. Great Britain, losing the cup after| | holding it since 1933, when France | relinquished its six-year monepoly on | the trophy, could win only one match | in the challenge round, Austin beat- ing Parker in the opening singles match Saturday. Budge's singles triumph over Hare on Saturday and the doubles victory (See TENNIS, Page A-3) | Anti-Lynching Legislation Backers Hope to At- Completes Rout tach Rider. UNION RESPONSIBILITY MAY BE DEBATE TOPIC | Copeland Fails in Effort to Tack Lynch Bill on to Train- Limit Measure. BACKGROUND— Administration seeks to eliminate child labor and sweatshop condi- tions in industry through bill now pending to vest regulatory control in five-man Labor Standards Board. Much of industry, particularly from South, " fought bul in hearings. Senate committee thoroughly re- wrote measure, but House group has not yet reported. | By the Associatea Press. Administration leaders forecast to- day a Senate vote on the wage and hour bill by Thursday despite new at- tempts to amend it. Exponents of anti-lynching legisla- | tion said they again would submit the | Wagner-Van Nuys bill to the Senate, | this time as a rider to the labor stand- | | ards measure | Senator Copeland, Democrat, of | New York, submitted the anti-lynching FRANK PARKER. measure yesterday as an amendment SUING FOR PAY Disbursing Officer Refused Settlement Because of “Unofficial Promotions.” ' A bloodless civil war between 13 offi- cers of the District National Guard and Maj. James R. Lusby, Guard dis- | bursing officer, broke out today after District Court for pay being held up because of “unofficial promotions.” Approximately $2,500 involved in the | litigation is available, according to Maj. Lusby, but cannot be paid the officers until their promotions are rec- to the McCarran train limit bill. The | amendment was tabled, 41-34, before the train bill was passed. The anti-lynching bill would im- | pose penalties on peace officers and - political subdivisions for failure to | protect prisoners from mobs. Proposals by Senator Vandenberg, | Republican, of Michigan, to increase responsibility of labor unions through amendments to the wage-hour bill also | may prolong debate. $1,500,000 Cash Revealed Vandenberg drafied the amend- £ ments originally to make changes in Available to Pay 30 Per | the national 1abor relations act. Black First Speaker. JULY VOTE BY THURSDAY| government, in a sharp statement | Ognized by the War Department and generally interpreted as amounting to | What appears to be a somewhat mud- | rejection of Japanese terms for set- | dled situation is cleared up. { tling the North China dispute, de- | The plaintiffs are Lieut. Col Walter | clared any future developments depend W. Burns. 629 F street; Maj. Le Roy | Cent Dividend. BACKGROUND— Some 16,000 local investors faced losses approaching $200,000 when | the controller of the currency an- | nounced last July 18 that the Fidel- | ity Building & Loan Association was being closed and its aflairs placed in the hands of a receiver. | The action was taken, he said, be- | cause of some “apparent irregular- | ities and losses” disclosed during a routine examination by agents of the controller’s office. BY HAROLD B. ROGERS. | Another effort was launched today The Senate took up the wage-hour measure late yesterday but deferred debate until today. Chairman Black of the Senate Labor Committee, co- author of the bill, was to speak first. The bill would give to a five-man labor standards board power to fix minimum wages no higher than 40 cents an hour and a maximum work week no shorter than 40 hours for each industry engaged in interstate commerce. Goods manufactured in violation of the board’s wage-hour orders and those produced by child labor would be barred from interstate commerce. | The age limit for children is 16; for those in hazardous industries, 18 on Japan. The statement, issued by the foreign office, said China had exhausted every effort for peace with Japan and could not accept responsibility for what happened in North China from now on. It charged that the Japanese North | China Army made an "unpro\‘oked: attack on the Chinese garrison at | Langfang™ and then “presented im- | possible demands and staged provoca- | tive acts on the outskirts of Peiping.” | Bombing Rumor Heard. It was rumored Japanese military | feaders had threatened to bomb this | ancient capital if China failed to | comply, but other reports declared Japan had given foreign powers assur- | ances the city, with a heavy interna- tional population, would be spared such action. (This dispatch from the Associated Press correspondent in Peiping, sent raon after the fir't noon deadline ex- pired. was delayed 10!, hours in | reaching New York.) By midafternoon the legation quar- ter had taken on the aspect of ex-! pected siege. The streets were jammed | with baggage-laden cars and all hotels | were crowded with foreigners and wealthy Chinese. Provision stores were rationing bread and other neces- sities. There was no confirmation for one report that Gen. Sung Cheh-yuan, the | Chinese North China warload, had or- dered the 37th Division to withdra: Apparently the Sino-Japanese dead- lock held. Japanese authorities piled sandbag fortifications around windows angd doors of the Yokohama Specie Bank's offices, and all police forces of the foreign quarter were standing by for instant action. The strictest secrecy also veiled the actions of Chinese military forces, and authorities declined to disclose whether soldiers of the 37th Division had quit the area west of Peiping, as Japan demanded. (Unconfirmed reports at Nanking said China had rejected the Japanese demands.) (Peiping dispatches gave no con- firmation of Japanese reports that 800 Chinese had been “virtually anni- hilated” by Japanese bombing planes and infantry in a clash 12 miles east of the ancient capital.) Semi-Emergency Exists. A state of semi-emergency existed in the Peiping legation quarter as thou- sands of Japanese nationals, ordered to concentration points by their Em- bassy, poured into the crowded section after being subjected to stern scrutiny. The British Embassy advised all British women and children to take refuge in the quarter against possible outbreaks, and it was understood the German and French Embassies had taken similar precautions. The United States Marines arranged 8 system of signals—blue and white flags by day and red and white lights at night—to summon Americans to the compound in the event of danger. American Embassy officials, how- ever, took no precautionary action fur- ther than those under instructions issued two weeks ago, shortly after the North China tension arose. Japanese planes circled low over the city while a detachment of 300 Jap- “ anese troops reached the embassy to reinforce the guards on duty there. The Japanese detachment was (See CHINA, Page A-5) | c. Johnson, | attended camp from July 10 to 19, | S. Mann, 5447 Thirtieth place; Capt. ! James F. Angier, Takoma Park, Md.: Capt, Anthony B. C. Graves, 224 Cromwell terrace northeast: First Lieut. James H. Heizer. 433 Evarts street northeast: First Lieut. Augustus Clarendon, Va.; First Theodore W. Lowrie, Relay, Md., and Second Lieuts. Charles R.| Heig, 1474 Chapin street; John A Bartelt, 3525 Davenport street; Charles | P. Reichel, 1106 Oates street north- east; George V., Selwin, 707 Jefferson | street; Park F. Anderson, 1301 Fif- | teenth street, and Norwood S. Soth- | oron, 1512 Twenty-first street. Based on Previous Rank. The pay sought, however, is based | on the rank the plaintiffs held prior to their promotions. Filed yesterday through Lieuts. Anderson and Soth- oron as attorneys, the suit states the plaintiffs are officers in the Coast Ar- tillery Corps of the District and mem- bers of the 260th Coast Artillery, Dis- trict National Guard. It is further stated the officers per- formed training duties under author- ity of the War Department at Fort | Story, Va., from July 10 to 24, with | the exception of Lieut. Sothoron, who | Lieut. inclusive. Despite these services, the suit says, Maj. Lusby, named defendant, has re- fused to pay the officers their regular compensation. The officers asked the court for a writ of mandamus to com- pel Maj. Lusby to pay each of the plaintiffs the pay and allowances which they are due under the law. Recognized by Bureau. The petition for the writ also states that the officers have been recognized by the National Guard Bureau of the War Department as officers in the rank for which they are seeking pay. On July 24, the petition continued, other members of the 260th Coast Artillery received pay and that under the provisions of the national defense act each of the petitioners is entitled to pay for his services. Maj. Lusby said today the services of the 13 officers were pertormed under grades not recognized by the War Department and that they will not be paid until such recognition is forthcoming. “Technically,” Maj. Lusby added, “when an officer accepts a promotion he is no longer entitled to pay for his former grade.” REICH, HARVEST SHORT, LIMITS USE OF GRAIN By the Associnted Press. BERLIN, July 27.—Germany fought a short grain harvest today with an order forbidding the use of wheat or rye for anything but bread. None may be used as animal fodder, Walter Darre, the Reich commissioner for agriculture, proclaimed. The de- cree followed a “bread council” be- tween provincial governors and Nazi party and peasant leaders. The Third Reich, it was explained, faces a grain harvest which may be from 10 to 15 per cent below average. Henceforth each farmer who pro- duces bread grains must deliver his whole harvest to the government market organization, keeping back on)y enough to furnish bread for his wn family. ] | ture” of the First Federal Savings & | ganization that the door had not for- to reorganize the Fidelity Building & | Loan Asociation. whose $1.500,000 in On the House side Chairman Nor- ton of the Labor Committee said she | cash is considered sufficient to pay the | hoped to report the bill out late thu' 16,000 stockholders an immediate divi- = week. dend of 30 per cent. This estimate | Vandenberg's came from an unofficial but highly | authoritative source. Despite withdrawal from the “pic- amendments would forbid unions to coerce workers into becoming members and prohibit com- | pulsory union assessments for political | purposes or strikes called without the | aporoval of a majority of employes. | They would prevent non-citizens |from serving as union officials and | would permit employers to ask the | National Labor Board for collective | bargaining elections, Both parties would be required to sign a written contract, setting forth Loan Association, it was announced following an important conference of Treasury officials and some leading shareholders at the Fidelity headquar- ters that the Treasury still considers there is a possibility for reorganization. Furthermore, certain shareholders are detemined to go ahead in a fresh i i the collective bargaining agreement. effort either to form a new committee | ', €0 S T POET TR BEECS S or to attempt to get the First Federal | . -1 . ; oA T i G titare | tices” could be forbidden to collect dues or to serve as bargaining ageiits. Further Negotiation Possible. After the anti-lynching bill was Although withdrawal of the First | tabled yesterday, several Senators, in- Federal was formally announced yes- | cluding Van Nuys, said they voted to terday in a letter by H. P. Somerville, | table Copeland’s proposal because they its president, there were indications | favor both the anti-lynch and train from others connected with the or- |limit bills. They said they feared consideration s~of the anti-lynching issue 1n the form of a rider would jeopardize both measures. Van Nuys called it an effort to “lynch both bills.” ‘The Senate Judiciary Committee recently approved the Wagner-Van (See WAGE-HOUR, Page A-5.) mally been closed to further negotia- tion. The basis for new negotiations was not disclosed. One of the objections to the Treasury's proposed plan raised by Somerville in his letter was against (See FIDELITY, Page A-5.) Summary of Today’s Star Pa(e,‘ Comics _.B-14-15 Drama _B-16 Editorials A-8 Finance ... _A-15 Lost & Found B-10 Obituary ____A-10 FOREIGN. U. S. Marines fortify legation quarter at Peiping. Page A-1 Japanese report annihilation of Chi- nese regiment. Page A-1 NATIONAL. Senate vote on wage-hour bill is seen by Thursday. Page A-1 Court bill is rushed as key to Congress adjournment. Page A-1 U. 8. regains Davis Cup as Parker ‘wins, Page A-1 Ford lays firings to “planned ineffi- ciency.” Page A-4 Democrats in red despite sales of cam- paign book. Page A-5 Senator McGill farm aid program. Page A-7 WASHINGTON AND VICINITY. Fidelity may be reopened under new plan launched today. Page A-1 Fight over tax bill in conference forecast. Page A-1 Contributions give care for 100 tuber- cular children at camp. Page A-% .Randall H. Hagner dies in New York. Page A-2 Congress takes increasing interest in painters’ strike. Page A-2 Rankin charges Labor Board with be- ing ‘“communistic.” Page A-2 Group of Senate freshmen prepare to fight adjournment. Page A-4 Corcoran opens exhibition of 16th cen- Page, Radio __ A-11 Serial Story..B-10 Short Story...B-6 Sports ___A-12-14 Society -B-2 Woman's Pg. B-8 House to pass main D. C. bills, Palmisano says. Page B-1 D. C. reorganizing bill would cut city jobs by 1,000. Page B-1 Daring bandit robs bank-bound clerk of $200 on street. Page B-1 Change is sought in school hours as safety move. Page B-1 EDITORIALS AND COMMENT. Editorials. Page This and That. Page Political Mill. Page Stars, Men and Atoms. Page Answers to Questions, Page David Lawrence, Page H. R. Baukhage, Page Jay Franklin. Page Mark Sullivan. Page Delia Pynchon. Page SPORTS. Chisox, loop's club, test Griffmen. Page A-12 Di Maggio hailed by Mack as coming homer king. “Page A-12 Dempsey would tax ring deadheads to aid needy. Page A-13 Frye fires 74 per cent ringers in tour- ney prelim, Page A-13 Rippy, Oliveri D. C. muny golf title hopes. Page A-14 Melvin Tarpley rated potential park net champ. Page A-14 MISCELLANY. Young Washington Shipping news. Traffic convictions. Vital statistics. Service orders, City news in brief. Dorothy Dix. Betsy Caswell. Nature's Children. b@bobdaddninie >>>>.>>>>>> “hottest” urges Page A-10 Page A-16 27, SAY, BILL GOT SOMETHING IN THAT BILL To OF FREIGHT ¢ Foening Star WITH SUNDAY MORNING EDITION 1937—THIRTY-FOUR PAGES. %%% YOU SAID IT ALBEN ! THERE DOESNT McCARRANS REALLY ANY END TO THIS ONE! LIMIT THE LENGTH The only Yesterday’s in Washington wit Associated Press News and Wirephoto Services. evening paper the Circulation, 137,003 (8Bome returns not yet received.) K (®) Means Associated Pre: TWO CENT, Nomination of Justice Department Lawyer Sent to Senate. BY J. RUSSELL YOUNG. Hobart Newman, a special attorney | in the claims section of the Justice | Department, was appointed by Presi- | dent Roosevelt today to be judge of | the Police Court to succeed Judge Isaac R. Hiit, Republican, whose term expired more than six months ago. Newman's nomination was sent to the Senate by the President, and. from all indications, will meet with | early confirmation | When asked if he has any definite | program for the post, Newman smil- e hardly had time to make any | plans. IUs even hard to believe that this thing has finally gone through.” He did indicate, however, that he expects 1o follow what he termed “the general reorganization” program of | Judges Edward M. Curran and Walter | | J. Casey and said he was in accord with their views. work during their short time there,” he added. Newman, a native of Washington, was admitted to the bar here nine | “I think they have done some good to Succeed Hitt | | | HOBART NEWMAN. —Star Staff Photo. years ago. He is 34 and received his law degree in 1928 at National Uni- versity Law School | __He is the son o Enon Newman, for | (See’ NEWMAN, Page A-3) NOMINEES ASKED FOR WAGE FIXING Board Asks Employers and Employes to Name Rep- resentatives. BACKGROUND— Minimum wage legislation in Dis~ trict dates back to World War days, when Congress passed law govern- ing wages of women here. Mini~ mum Wage Board functioned under this law until 1923, when Supreme Court ruled such legislation invalid. Law remained dormant until sur- prise reversal of ruling by Supreme Court this Spring, resulting in re- vival of act and appointment of new board. ‘Taking its first step toward fixing minimum wages for approximately 20,000 women employed in local retail stores, the Minimum Wage Board to- day called upon employers and em- ployes to nominate candidates to represent them at a wage-fixing con- ference. Both employers 'and employes were urged to nominate nine candidates each, from whom the board will elect three persons to represent each group at the conference. The board in turn will nominate nine persons to repre- sent the general public, and from this group will elect three to participate in the conference. ‘The board asked employers to nom- inate their representatives not later than August 15. Woman employes will meet August 4 at the Depart- mental Auditorium, on Constitution avenue, to map out procedure for naming their nominees at s subse- quent meeting. Co-operation of retail merchants in announcing the meeting of employes was urged by the board. ‘The nine persons selected from the 27 nominees to represent employers, employes and the general public will hold hearings and conduct investiga- tions before recommending to the board the amount of the minimum wage to be paid in the retail mercan- tile industry. The Bureau of the Census has re- ported that there are 4,815 retail es- tablishments in ‘the District employ- ing 32,000 persons, of whem 20,000 are women. ‘The Minimum Wage Board, how- ever, has the names of only 2,000 em- ployers, according to Miss Gwen Geach, executive secretary. She urged all retail employers who failed to get the notices mailed today to commuai- cate immediately with the board so they can be kept informed of its ac- tivities. 2Ol el Fortune Is Claimed. PERTH, West Australia, July 27 ().—Mrs. Annie Houston of Mel- tury masterpieces. Page A-4 Driver cleared in traffic death of Frank W. Dowling. Te B-1 » Cross-word Puzsle, Bedtime S8tories. Letter-Out. Page B-15 re B-15 bourne advanced & claim today to the estimated $25,000,000 estate left by the late Lady Robert Hou.u}ep ACTION ON COURT Senate Committee Holds Up Vote to Approve Re- ceivership Bill. BACKGROUND— Presidential proposal for reor- ganization of Federal judiciary has been greatest obstacle to Congress doing anything else during past 3iz months and is now serving same purpose with regard to adjourn- ment. In face of opposition, ad- ministration forces comsented to curtailment of measure’s scope, and Judiciary Committee is expected to report out bill with relatively few controversial features. By the Associated Press. The Senate Judiciary Committee in- terrupted its consideration of a new court bill today to approve unani- mously & bill by Senator Borah, Re- publican, of Idaho, to regulate re- ceivership and bankruptcy fees. ‘The Borah measure would prohibit interested parties in receivership, bankruptcy or reorganization proceed- ings from agreeing on fees and would forbid judges to approve fees resulting from'such agreement. Violators would be subject to a fine of $10,000 or five years in jail, or both. Court Bill Progressing. Chairman Ashurst said the commit- tee was making rapid progress with the new court bill and could complete approval of the measure later today. Talk of adjournment, meanwhile, in- creased. Few Senators forecast an adjournment date further away than MEASURE DELAYED Hobart Newman Is A ppointed f AIRPURI PUB[_IB”Y | Police Judge | - CUTSLINE'S TRADE Slump Forces Eastern Air to Abandon 6 Daily Trips, Menaces Whole Service. BACKGROUND— For 10 years the airport question has been a chromic public issue here. It was dormant this year until three weeks ago, when a group of pilots declared they would no longer land at Hoover-Washington Airport on the ground it was too dangerous. A commission of ez- perts then suggested Camp Springs, Md., as a good site. Other experts complained Camp Springs was too far away. The debate pricked Con- gress into action. Because of unfavorable publicity in the Washington airport situation, it | has been necessary for Eastern Air Lines to abandon six of its round-trip schedules between Washington and | New York and the whole local service ' between the two cities is threatened. Capt. Edward V. Rickenbacker, World | War ace and general manager of the ! line, told the House Military Affairs Committee today. Rickenbacker said passenger travel | between Washington and New York ! has been falling off steadily since airline pilots on July 6 delivered an | ultimatum in which they declared Washington Airport was unsafe and announced their intention of refusing to fly unless conditions are improved. Rickenbacker, appearing before the committee in support of the May bill. which would close Military road and permit the use of Arlington Farm and the Boundary Channel lagoon to en- large the airport, said the whole Eastern Air Lines training schedule and expansion program has been threatened as a result of the airport agitation here. 1t probably will be necessary to dis- charge pilots and personnel who are being trained on the Washington-New York ‘“‘merry-go-round,” he said. Eastern Air Lines has been operating 15 round trips between Washington trips to points farther South, making 20 round-trip schedules a day between the two cities. May Bill Only Hope, Before Rickenbacker testified, Rep- resentative Nichols of Oklahoma, a member of the District Airport Com- mission, told the committee the only | hope for solution of the airport prob- lem lies in enactment of the May bill. “Washington Airport is the only thing in the way of an airport available | for the District at this time or for some years to come,” Nichols said. “I have given up hope of seeing any public air- port built for the District in the imme- diate future. Washington Airport is operating and serving a positive need. But it is dangerous and this bill offers the only means of eliminating the hazards.” Nichols denounced the stand taken by Arlington County in connection ‘with the closing of Military road. He sald the offer of the airport manage- ment to spent $25,000 to construct a substitute road is “more than fair.” “What is the interest of Arlington County?” Nichols asked. “Military road was built by the United States (See COURT, Page A-4.) (See AIRPORT, Page A-3) The 25 per cent increase in water rates ordered by Congress eflective July 1 has been made retroactive, and District consumers will be forced to pay $389.000 extra for water consumed during the last fiscal year, it was dis- closed at the District Building today. Date of the compilation of water bills, rather than the period during which the water was consumed, should be used as the basis for applying the increase, District Auditor Daniel Dono- van has instructed Edward H. Grove, water registrar. Donovan pointed out that when Con- gress ordered a 25 per cent decrease in water rates, effective July 1, 1934, the Commissioners decided that all bills sent out after that date should carry the reduced rate. As a result some consumers obtained benefits of the re- duction for 11 months to that date. The same consumers now will be forced to pay the increase for 11 months | prior to July 1 of this year, Groves said. &Y 25% Boost in D. C. Water Rate Retroactive—Users Must Pay | Congress removed the 25 per cent | water rate decrease provision in the | current appropriation bill with the result that rates returned to the base fixed on July 1, 1930. Groves pointed out that each section of the city is assigned a different “year” for taxing purposes by the wa- ter department. Bills are now being sent to consumers in the Northwest “county section,” which embraces the area north of Florida avenue, for the year extending from April 30, 1936, until April 30, 1937, The 25 per cent reduction has been applied to all these bills because they should have been in the hands of consumers by July 1. Groves explained. He said the reduc- tion, however, would not apply to wa- ter consumed in May and June of this year by those consumers. Large busihess establishments, which are billed quarterly, will be charged the increased rate for water used during the three months ending June 30 of this ‘ar. Groves said. and New York and five additional | TRADE UNIT ISSUES TAXBILL WARNING; GONFERENCE LAGS {Work on Court Bill Delays Meeting on D. C. Measure. “ECONOMIC STRESS” FEARED BY COMMITTEE City Heads Told They Should Cut Levy Next Year if Collections Exceed Expectations. BACKGROUND— With District facing deficit of some $7,000,000 in present fiscal year, Conmgress has decided to 1m- pose added tares on residents of Capital rather than increase Fed- eral contribution House and Senate have passed two widely divergent bills, with major compromise probably neces- sary on both sides as conjerees at= tempt reconciliation of difierences. While the time of the next meeting of House and Senate conferees on the | District tax bill was uncertain because of other obligations of conference com- mittee members, the District Commis- sioners were warned todav by a com- mittee from the Board of Trade that any increase in tax burden by more than $8,000,000 dur present | fiscal year would result “severe economic stress.” | The committee called on the Com- l missioners while they were considering provisions of the local tax bi Cap g+ the in ing 1n conference | which would levy increased taxes to- taling approximately $12.000.000. The | Commissioners were preparing to ap- pear before the congressional confer- | ence committee and urge elimi | and reduction of some of the proposed | new levies | The time | uncertain early ‘P\Pr because e of the Senate | group were working on the judiciary | reorganization bill for which the Sen- | ate is waiting impatiently. Chairman King of the District Committee said he would attempt to arrange the tax | conference for late th afternoon, but if not successful will plan to have | it tomorrow on of the conference s afternoon was ho Committee Displays Chart. ‘The Board of Trade comm before the Com oners showing how $8 500,000 raised gh new and taxes. “If, after due care. mor raised than is expected unde revenue measure,” the committee told the city heads, “the Commissioners should forthwith take steps lookng to & reduction in the tax burden next vear, rather than to bring appropria- tions up to a level which might be created through greater revenue cole lections than is expected.” The Board of Trade representatives submited the following table to show the Commissioners how sufficient new revenue could be raised. ttee laid a chart could be increased money s e new | Tax. Business privilege (3-10ths of 1 per cent) ~$3.000.000 Automobile weight 1.500.000 Insurance benE 200,000 | Estate and inheritance (ex- | cluding revenue from Dies amendment ) s Tangible, real and personal cent in- ~ 2500,000 £00,000 | Collection of personal | increase 500,000 | _-_$8.500,000 | Chart of Sources Submitted. The committee submitted a second | chart listing 16 sources which would be subject to the business privilege tax and which have taxable gross re= ceipts totaling $970.876.000. Heading the list was retail business, with prod- ucts estimated to be worth $330,813.« 000, and wholesale business with prod= ucts estimated to be worth $242.729. Lowest revenue-producing units listed on the chart were radio stations, with an estimated annual income of $740.- 000 from the sale of time. The com= mittee estimated that local physicians have a gross income of $15,000.000, which would be taxable under provi- sions of the business privilege levy, while dentists, lawyers and miscel- laneous professions have a $50,000,- 000 annual taxable income. The committee emphasized to the Commissioners its belief that the com- munity should be allowed time to ad- just itself to the drastic revenue in- creases demanded under the current " (See D. C. TAXES, Page A-5.) 'D. C. COACH, ACTOR SAVE CAMERAMAN Leo Carillo and Roy Baker, Red- skins Pros’ Assistant Mentor, Dive for Dietz. By the Associated Press. SEATTLE, July 27—Actor Ieo Carillo and Roy Baker, former South- ern California foot ball star, were credited today with saving Camerman William Dietz from drowning While taking scenes for “The Bar- rier” Dietz entered the rapids of a stream near here in a boat rowed by Baker, now a coach of the Washing- ton, D. C, professional foot ball team, ‘The boat overturned and a whirl- ing log knocked Dietz unconscious. Baker dived after him. Carillo jumped into the stream from a set nearby and between them they pulled the cameraman to shore. Baker, who for several seasons has been assistant coach and trainer of the Washington Redskins, professional foot ball team, is a Southern Cali- fornia backfield star of a decade ago and works during the off season as & physical trainer for Warner Bros.» First National.