Evening Star Newspaper, October 24, 1937, Page 1

WEATHER. (U, 8. Weather Bureau Forecast.) Partly cloudy, slightly colder today; to- morrow fair, slowly rising temperature; moderate west and northwest winds. Temperatures yesterday—Highest, 60, at 1a.m.; lowest, 44, at 10 p.m. Full Report on Page B-3. Full Associated Press News and Wirephotos Sunday Morning and Every Afternoon. S WITH DAILY EVENING EDITION B (®) Means Associated Press. No. 1,701—No. 34,144, Entered as second class matter post office, Washington, D. C. Yy Star WASHINGTON, D. C, SUNDAY MORNING, OCTOBER ‘24, 1937—128 PAGES. AELANDCIO. MEET TOMORROW T0 DISCUSS PEACE Harrison and Murray Head Rival Groups Opening Session at 10 A.M. HUGE OBSTACLES STAND “IN WAY OF AGREEMENT Presence of Opposing Unions Within Single Industry Only One of Major Problems. BACKGROUND— American labor movement split in Fall of 1935 when John L. Lewis led eight A. F. of L. unions in formation of Committee for In- dustrial Organization to invade mass production industries. In Summer of 1936 federation sus- pended insurgents. In last two years impetus of C. I. O. drive has brought it nearly 4,000,000 mem- bers, with A. F. of L. also picking up replacements for ousted afiliates at equally speedy rate. BY JOHN C. HENRY. Thirteen men will meet tomorrow morning in the Willard Hotel to de- bate an issue secondary to none in _its importance to the economic life of the Nation. Specifically, the issue is whether the American labor movement, now claiming nearly 8,000,000 organized followers, shall be fused into one co- ordinated and militant army or shall continue in two hostile divisions clashing bitterly with each other as they move “indirectly ahead in their campaign for improved wages and working standards. At the meeting tomorrow, scheduled -~ to begin at 10 am. three men Wil represent the parent body of organ- ized labor, the American Federation . 0f Labor; 10 will represent the virile offshoot of this parent body, the Committee for Industrial Organiza- tion. Heading the first group will be George Harrison, president of the Railway Clerks and a conciliator of marked success on several important occasions in the past few years: heading the C. I O. delegation will be Philip Murray, head of the Steel Workers' Organizing Committee and | a labor leader respected most highly, | not only by his associates but by | § that part of industry which knows | him best. Tremendous Obstacles. Tremendous obstacles stand be- tween the two delegations as they | make the first fact-to-face effort in two years to find a basis for peace rather than strife; so tremendous, in fact, that plans for intensified war have been projected by both fac- tions beyond their immediate efforts | for peace. In brief, the major obstacles to | merger of the two factions into one | are: 1. Presence of powerful rival unions within a single industry. Examples are found in the maritime industry, the electrical workers’ in- dustry and even among Govern- ment employes, with both the C. 1 0. and the A. F. of L. having ef- fective representation in these fields. The only apparent solution to such a situation would be for one union in each field to absorb its rival, a development almost un- believable. 2. Differences in political phil- osophy. The A. F. of L. tradition- ally has remained politically “inde- pendent” to aid its friends and pun- ish its enemies. The C. I O. is openly bidding for independent po- litical power with its own leaders holding or running for public office. Rivals Are Bitter. 3. Personial bitterness. John L. Lewis, C. I. O. chieftain, and Wil- liam Green, A. F. of L. president, have called each other many harsh names; some of their associates have more than matched them in invective. . 4. Difficulty of devising single administrative organization that would assure each faction of suf- ficient power to prevent its event- ual destruction within the unified movement. Facing tomorrow’s session, also, Is the question of just what the nego- tiating committees are empowered to do. Spokesmen for the A. F. of L. con- tend their committee has been and still is authorized to negotiate a full settlement of the differences. The C. I O. answer is that the federation representatives are merely messengers of the A. F. of L. Executive Council, a “closed corporation,” which they contend does not truly represent the rank and file of the federation mem- bership and which “usurped” powers beyond its rightful due in suspending the original C. I. O. unions. On the other hand, the C. I. O. negotiating committee of 10 was des- ignated at the recent Atlantic City conference for the sole purpose of negotiating toward further confer- ences between enlarged committees from each faction. Preliminary Conferences. In a final telegram, Philip Murray informed the A. F. of L that his com- mittee would come in “with or with- out commitments as you prefer” but the “without commitment” reference still is not interpreted to mean his present committee may go beyond dis- cussion of terms and circumstances of further meetings. Despite their designation of a 10- man committee to engage in pre- liminary conferences, the C. I. O. leadership still is insistent that peace negotiations eventually should be vest- GEORGE HARRISON. Head Labor Peace Declegates PHILIP MURRAY. INCREASED TAXES ARE SEEN CERTAIN President Stresses Fact He Wants Farm Bill and Balanced Budget. BACKGROUND— With farm legislation at the top of the “must” list for the special session of Congress, administra- tion leaders have spent long hours irying to devise some satisfactory means of financing the program. With a congressional election in the offing, the prospect of higher taxes has been an unhappy one, but they have long been regarded as inevitable. BY G. GOULD LINCOLN. President Roosevelt, informing con- gressional leaders yesterday that new costs incident to the farm bill soon to be enacted must be met by new taxes, virtually settled the question of in- creased taxes—in favor of increased taxes. At the same time the President made it extremely clear he intended to have a balanced budget for the fiscal year 1939. What he said to the congres- sional leaders in regard to new costs for farm aid, necessarily applies to any other new activities which Congress may place on the Government. It will have to find new revenue. The farm program, including its crop control features, is believed cer- tain to bring increased and new costs. What form the new taxes, needed to offset the new costs, will take is still undetermined. Revival of the process- ing taxes—perhaps under a different name—which went out with the old A. A. A. when the Supreme Court in- validated that act, is predicted in some quarters. Such taxes would go into the general funds of the Treas- ury, it is believed. Has Twin Objective. The President wants farm legisla- tion. At the same time he wants to balance the budget in the fiscal year 1939. 1In letters to Chairman Marvin Jones of the House Agricultural Com- mittee and Chairman Ellison D. Smith of the Senate Committee, the Presi- dent said yesterday, “it is especially important that any new legislation should not unbalance the expected balancing of the budget. In other words, no additional Federal expendi- tures from the general fund of the Treasury should be made over and above existing planned expenditures. The only question to this would be the incurring of additional obligations on the part of the Treasury, backed 100 per cent by receipts from new taxes.” The farm legislation desired by the President must be permanent. He out- lined to the committee chairmen his views on the proposed legislation, his prinicipal points being that it should safeguard farm incomes as well as soil fertility; provide for storage of food supplies in an ever-normal granary; provide for control of surplus crops and at the same time preserve export markets “that are still open to our farmers”; should protect both con- sumers and farmers from extreme ups and downs in prices of farm prod- ucts; should be financed by sound fis- cal methods, and the local adminis- tration should be kept in the hands of the farmers. $700,000,000 a Year. ‘This is a large order, but one which Chairman Jones of the House com- mittee believes can be effected. At the same time it is going to cost more than the big bill for the farmers which the Federal Government already is footing. Estimates have been made that to maintain an “ever-normal granary” would cost $700,000,000 a year. This is the judgment of farm advisers of the administration. Other estimates go considerably beyond this figure. If the estimates of $700,000,000 are correct, they mean an expendi- ture of about $200,000,000 more a year ¢See FARM, Page A-4.) Nine of the country’s major col- lege elevens, five of ‘which had not even been tied in previous games, were beaten for the first time of the season yesterday. One, Syracuse, was beaten by a team of the Washington metropolitan area, Maryland, which applied a 13-0 whitewash at Baltimore. Another spot- less record was marred here at Griffith Stadium, where George Washington was overpowered by Alabama, which ed in two large groups, preferably 100 from each side. One reason for this insistence, it is understood, is the fact that the smaller affiliates of the C. I. O. have demanded repre- sentation as protection against their being bargained off in the eventual settlement. At the other extreme, the A. F. of L ds firm on its three-man rep- (See LABOR, Page A-14) maintained its 1.000 percentage be- fore approximately 25,000 fans, 19-0. Wisconsin, Northwestern and Lou- isiana State—all undefeated and un- tied until yesterday, had their slates marred. Pitt'’s powerhouse wrecked Wisconsin, 21-0; Ohio State upset Northwestern, 7-0, and Vanderbilt nosed out L. 8. U, 7-6. Navy, Harvard, Tulane and Boston College—all of whom had been ‘tied A MARKET T0 PLAY ROLE IN CONGRESS {Stocks’ Actions Takes Play Away From Other Issues on Session Agenda. BACKGROUND— The sharp break in the stock market last week, following a com- paratively steady season, has proved a source of grave concern to those charged with carrying out the President’s demand for a balanced budget. With the stock market viewed by many as a “business barometer,” the break has been interpreted in some quarters as the forerunner of a business recession that may lead to higher rather than reduced governmental ex- penditures. BY KIRKE L. SIMPSON, Associated Press Staff Writer. Leaping shadows of the stock mar- ket's fantastic gyrations of last week are falling sharply across the pic- ture of the coming special session of Congress as drawn by President Roosevelt in his fireside chat. Swooping ups and downs on the security exchanges have displaced not only the President’s five-point program for the session in Washing- ton on and off the record discussion, but even pushed into the background foreign policy debate. Not even or- ganized labor’s pessimistically viewed stage from the stock market. As gathering Congressional spokes- men view it, the downward plunges of the market and its euqally breathtaking upward swing are tend- ing to force the question of tax re- vision into the special session agenda even ahead of crop control, wage-hour, Government reorganization and other legislative objectives outlined by the President. Tax Revision Question. Whether Mr. Roosevelt will touch at all on the market decline or tax revision in his message to Congress when it convenes November 15 re- mains undisclosed. Administration leaders from the White House down have maintained silence on the sub- ject. Actually tax revision proposals, like the program to balance next year’s budget, have been and presum- ably still are, under presidential plans, matter for the regular session to deal with when it convenes after the first of the year. Mr. Roosevelt has said he has not yet even begun to study his budgetary recommendations for that session. The long-awaited Treasury studies of the existing tax structure with a view to general overhauling will be laid before congressional committees, however, even before the special ses- sion convenes. They are not expected to include recommendations for ac- tion at this stage. Those would be reserved to follow the President’s budget message of next January. Studies Under Survey. Yet the fact that the Treasury studies are under survey in commit- tee, against the background of the market slump, even if already dis- counted to some extent by hints as to what they show, is virtually cer- tain to fasten both congressional and public attention on that phase of the special session work even more than upon its scheduled legislative program. Since the President disclosed his expectation of a balanced budget next year in repeated public references to the subject, the acid test at the White House in weighing projects for either the special session or the regular is the budgetary angle. That was not only clearly implied in the revised estimate on the current budgetary sit- uation with its swollen deficit and dwindled tax collection outlook; it was flatly stated to administration advocates of the corn loan proposal. They were told by the President to find the money within the current budget estimates and are still look- ing for it, hopefully, they say. It was stressed again in his outline of the farm plan. Nine Major Foot Ball Elevens Beaten First Time This Season but not beaten—fell from the unde- the last period to beat the Middies, 9-7; Dartmouth walloped Harvard, 20-2;" North Carolina stopped Tulane, 13-0, and Detroit whipped B. C., 14-0. Although botn were out of the championship picture, Brown pulled an upset by defeating Columbia, 7-8, for its first major victery since 1933. Georgetown surprised by holding Pennsylvania to a 0-0 tie; Catholic University lost to St. Louis University, 7-2; American University was rout- ed by William and Mary, 38-0, and Gallaudet overcame Wilson Teachers in an intracity clash, 19-6. At Laurel, Mrs. E. Friendly’s Ja- cola won the $24,430 Selima Stakes, beating Creole Maid by six lengths. Nansemond piaced third. (For complete details see sports pagesd peace conference, opening here this | week, could take the center of the | feated ranks. Notre Dame rallied in | MARYLAND AREA PUTS FLOOD GOST AT QVER §00,000 Officials Checking Results of Worst Damage by Water Since 1933. NUMBER OF RESIDENTS REMOVED FROM HOMES Many Business Houses in Blad- ensburg Are Forced to Close for Day. Bs a Staff Correspondent of The Star. BLADENSBURG, Md., October 23.— With damages estimated at more than $500,000 tonight, officials began checking the results of this section’s worst flood since 1933. Swollen by 3 inches of rain within less than 24 hours, the Northeastern Branch of the Anacostia River spread over a large portion of Bladensburg and extended into Colmar Manor, Riverdale, Brentwood and Edmonston. More than 6 feet of water covered the Baltimore boulevard around the Peace Cross. Firemen and members of the rescue squads from Riverdale, Hyattsville and Bladensburg spent the day removing residents from their flooded homes. Doctor Rowed to Patient. Dr. Darrell C. Crain, answering a call to treat Mrs. Mary A. Manning, suffering with pneumonia in Bladens- burg, had to be rowed to the home by rescue workers. In the same block, the body of Tom Lee was awaiting burial, but the high water forced a postponement of the funeral until tomorrow. A wreath on the front door was only slightly above the lapping flood water. Vincent A. Osterman, president of the Bladensburg Town Commissioners, who has been active in the drive to get flood control measures along the Northeastern Branch, said the dam- age probably woulc be far greater than that of 1933, when the loss was esti- mated at approximately $500,000. Answer Post Office Call. ‘The first call firemen had to answer this morning was to the Bladensburg Post Office. Water running into the building forced Postmaster Howard Brown to vacate. Clarence Gasch, chief of the rescue squad, said nearly 20 families had been moved from their homes in the path of the flood and that three men in a boat still were busy taking others out to safety. No casualties were re- ported, however, Business houses in the Bladensburg area had 2 and 3 feet of water on their floors at the peak of the flood. All business was suspended in most of the places throughout the day. Kept Busy With Traftic, As a result of the routing of traffic from the Bladensburg road over Rhode Island avenue through Hyattsville, sev- eral policemen were kept busy entan- gling snarls as thousands of persons started their drive from Washington to Baltimore for the Maryland-Syra- cuse foot ball game .nd to the Laurel race track. The line of cars and trucks was almost solid in double lanes from College Park to Mount Rainier. Although much of the area around the race track at Laurel was under water and the roads leading to the track was mostly mud, the races went off on schedule. Traffic was routed over Whisky Bottom road, leading off the Baltimore boulevard between Laurel and the State police station. High water over the tracks of the Baltimore & Ohio Railroad between Hyattsville and a point beyond Bla- .densburg forced suspension of services over the freight spur early today. Service will not be resumed until the water recedes, officials of .the road said. The heavy rains of yesterday morn- ing swelled Rock Creek into a tur- bulent stream which covered Beach drive in some sections. This road was closed from Military road north into Maryland, and barricades also were placed along Rock Creek and Potomac parkway at the low point under Mas- sachusetts Avenue Bridge. Park police said they believed the barricades could be removed this morning. e AL Archbishop Simeon Dies. SOFIA, Bulgaria, October 23 (#).— Archbishop Simeon, 98, for 65 years Archbishop of Varna, died of pneu- monia today. With Today's Paper The Sunday Star Gives You A Picture Magaziné Frankly, this is an experi- ment. To illustrate more forcibly what we are doing today, the picture section next Sunday, and thereafter until a change in policy is definitely made, will be brought out in the standard full-page roto- gravure size. We want you to tell us which you like the better. After you compare this week’s section with next week’s section, let us have your opinion. Please send a letter or a card to The Sunday Editor, The Star, Washington, D. C. A THE MODERN MERCURY! FIVE CENTS EN CENTS l T FLSFWHERE il e CHINA AND JAPAN CLAIN ADVANCES Defenders Counter Nippon’s Assertion Army Nears Soochow Creek. BACKGROUND— Four days ago Japan launched a new intensified drive against Chinese defenses at Shanghai as delegates begin gathering for Nine- Power Conference at Brussels to seek peaceful settlement of the Sino-Japanese controversy. Prog- gress of troops continues in North China in spite of sharp blow deait Japan's armies several days ago by newly formed th8 Army, composed of Communist forces from North- west provinces. By the Associated Press. SHANGHALI, October 24 (Sunday) — The battle north of Shanghai con- tinued for the fourth day today with a Japanese announcement that the Chinese forces were retreating along the entire front.countered by a Chinese assertion they not only were holding their own but advancing. A communique issued by the Japa- nese Third Fleet reported the invad- ing forces were advancing toward Soo- chow Creek. A Japanese spokesman added they had not yet occupied Tazang, north- west of the International Settlement and immediate objective in the drive on the Chinese settlement of Chapei, but expected to do so quickly. The report drew a crisp comment of “nonsense” from a Chinese spokes- man who declared the Chinese were holding their own and advancing. British and American troops in the International Settlement reported they saw no signs of the Chinese withdraw- ing from Chapei. The Japanese sought to smash the 25-mile front northwest of this city, the contending forces fighting through a maze of creeks and canals. Twelve miles to the northwest the hattle surged about the keypoint in the Chinese defenses, with the roar clearly audible in Shanghai. Japanese Leave Tientsin. Chinese dispatches reported the de- parture of several trainloads of Japa- nese troops from Tientsin, headed eastward toward the coast, ostensibly “going home after the victory.” Chi- nese said these forces, withdrawn from Hopeh Province fronts, actually would be sent to Tsingtao, chief port of Shantung Province. One Japanese .column already has invaded Shantung, advancing from the north along the Tientsin-Pukow Railway to a point 30 miles north of Tsinan, the provincial capital. A Japanese Army spokesman in Peiping declared Japanese forces in Shansi Province, southwest of Peiping, “very soon” would begin a major drive to capture Taiyuanfu, capital of the province. On the front north of Shanghai the moonlit battle lines swayed back and forth through clusters of thatched farm villages—specks on a military map—from which the terror-stricken natives fled, driving their oxen and pigs befor: them. Details of the fighting did not mat- ter, a Japanese spokesman said, be- cause the Japanese Army was slowly but surely pushing the Chinese back and achieving their general objectives. Heavy losses were admitted by both sides. Declares Japanese Halted. In midafternoon yesterday, in the 70th hour of the furious battle, a Chinese spokesman said the threat to Tazang, the back door to the Chinese positions in Chapei on the northern border of the International Settle- ment, had been definitely checked and the Japanese forces halted a mile and & quarter east of the town. ‘A Chinese spokesman asserted “the worst is now over and we are confi- dent of holding out indefinitely in Chapei,” the left flank of the Chinese line, where it is protected by the neu- trality of the foreign areas of Shang- hai. Cures Insomnia by Sea Trips. LIVERPOOL, England, October 23 (®)—A retired American banker em- barked today for his 102nd ocean crossing because shipboard is the only place he can get a good night's sleep. Horace E. Smith, 71, of Haver- ford, Pa., boarded the liner Scythia to take another insomnis cure. He explained he could sleep only one or two hours at home, but he could sleep round the clock at ses. ] Point—Competit BY ROBERT B. 1a nip and tuck affair yesterday, desti | finitesimal lead. | brook to the indoor riding hall at Fort: Myer. There the American officers, | | who were behind, 23 faults to 20, at | | the end of the first session Thursday, | managed to make up ground and eke out an advantage of a single point. Because of clearing skies and strong winds which have dried the Meadow- brook course, it was decided last night to transfer the meet back to the East- West highway exhibition grounds. The $500 hunter stake will be run off at| 1 pm, and the show will begin of- ficially at 1:45. The ladies’ hunter and local hunter divisions have been canceled because of the press of time. Since the Americans’ one-point margin can be wiped out by the slight- est error under the international rules, none would dare predict which team will emerge victorfous this afternoon. | The American riders owed their good | fortune yesterday to a magnificent | showing put up by the old tail-swish- ing, bucking jumper Dakota, which made only one mistake under a superb | ride by Lieut. Franklin Wing, jr., and | to the Belgians' misfortune in having | | their brilliant fencer, Whisky, crack | the last jump after making an other- wise clean round of the big fences. Tbrahim Not at Best. Tbrahim, the Belgian fencer rated as the hottest opposition to Dakota, was not at his best yesterday, having suffered a slight injury Friday, and like most of the horses trying the tor- turous route of nine fences, he had difficulty with the double-oxer set almost in front of the officigl box, occupied by Gov. Harry Nice of Mary- land, guest of honor on “Maryland day.” Old Dakota and Whisky flew the jump, however, and the issue today may again be decided by the ability of these two to keep down the fault scores of their respective teams. Gov. Nice's journey over for “Mary- land day” was rewarded with the sight of the Maryland Interstate team holding its lead in the three- way competition for the Governor's Cup, a parade of the foxhounds of the Redland Hunt, which hunts the country between Rockville and How- ard County, and even a third-place victory in the handy hunter class for an officer stationed at Fort Hoyle, Md.—Capt. Bernard F. Luebbermann. This was about as hotly contested a class as has been seen in a local show in many a year, and the winning margin held by Lieut. R. E. Weber, riding the Fort Myer horse team’s Eyes Delight, was only one second better than the time turned in by Capt. H. A. Luebbermann (a brother of the third place winner, incidental- ly), who had the mount on Fort Myer's great old horse Sandy. Chief Attractions. Since there have been numerous shake-ups in the program so far, and all hunter classes were called off yes- terday, there was no telling what might happen to the hunter divisions today, but at least as many as possible will be sandwiched into the day’s divertissement. Meanwhile, the last U.S. Team Leads Horse Show;| Title at Stake in Events Today| Americans Hold Margin of Single to Meadowbrook. Despite a revolutionary change of locale, the battle for international honors between the Army teams of the United States and Belgium remained Meadowbrook showground this afternoon with the Americans holding an in- Because of drenching rains, the show was moved yesterday from Meadow- ion Moved Back PHILLIPS, JR. ned to go into its final stage at the NN BEAT WONAN AND TARE ER 540 Victim of Seat Pleasant Robbery Refuses to Stay in Hospital. By a Staft Correspondent of The Star. SEAT PLEASANT, Md., October 23.—Beaten on the head with a ham- mer and pistol butt and robbed of about $400 by two masked white men, Mrs. Anna W. Prye, 79, today refused to remain in Sibley Hospital, where | her wounds were treated, and insisted | on returning home. Her right eye was discolored and | almost closed from a blow with &/ small hammer wielded by one of the | men, who hid in a closet off the living room of her home on Chapel road. On the back of her head was a huge lump, where the other man struck her with the butt of his pistol. . “Well, I guess it's better for them to take my money than my life,” she said. Her son, Readus Frye, part owner of the Hayloft Inn, on the Marlboro pike, brought her home about noon and left shortly afterward. He had not been away more than five minutes when the two men stepped out of the living room closet and demanded her money. Two men whom she employs on her 60-acre truck farm were out in the field, and at first she refused, she said. After they had beaten her she went and got all the money she had in the house, about $400, and gave it to them, she related. The men went out the back door, but she was dazed and could not be sure whether they escaped in a car. When her son returned at about 5 pm. he summoned a physician and she was taken to the hospital where X-ray photographs showed no evi- dence of a skull fracture. On her return home Mrs. Frye recalled that it was just about this time 40 years ago that she was the victim of her first hold-up in the big yellow house which gave Seat Pleas- ant its name, and two men attempted to rob her husband, now dead, but they were finally frightened away. “They didn't get anything that time,” she said. “I guess they made up for it today.” — MILK STRIKE CALLED IN NEW YORK STATE Farmers’ Union Official Hits Deal- phases of the interstate and interna- tional competitions will be the chief attractions, with whatever other jump- ing classes, and, unduobtedly, the $500 hunter stake thrown in to make a full show. ‘The summaries: . Interstate team jumping for the Governor's Cup—First, Maryland, 26 faults; second, District of Columbia, 4815 faults; third, Virginia, 60 faults. Total faults for two days. Military - clvilian handy hunter class—First, Eyes Delight, Fort Myer team, ridden by Lieut. R. E. Weber; second, Sandy, Fort Myer team, ridden by Capt. H. A. Luebbermann; third, Billy, owned and ridden by Capt. Bernard Luebbermann; fourth, Rusty, Fort Myer team, ridden by Capt. ‘Trapnell. International team jumping—United States Army team (Dakota, Masque- rader, King Hi, Renzo), 27 faults; Belgian team (Ibrahim, Acrdbate, Wiskey, Ramona), 25 faults.- Total faults for two days—United States Army team, 47; Belgian team, 48. ! ers Supplying Metropolitan Markets. By the Associated Press. OANTON, N. Y., October 23.—A Dairy Farmers' Union official said to- night a State-wide milk strike has been called against all dealers supply- ing fluid milk to metropolitan markets to take effect Thursday morning. Carl M. Peters, chairman of the St. Lawrence County unit of the Dairy Farmers’ Union, said bulletins an- nouncing the strike were received at union headquarters here. The bulle- tins were sent under the direction of Archie Wright of Ogdensburg, chair- man of the Dairy Farmers' Union, Peters said. Dealers affected in the Northern New York area, Mr. Peters said, are the Dairymen’s League, Brown & Baily Condensed Milk Co., and Sheffleld Farms Condensed Milk Co. The Shefeld company has been the object of a State-wide boycott since August 1. 1 2 TOBACGO TAX PLAN REVIVED IN CITY'S HUNT FOR REVENUF D. C. Heads Consider Seven Other Proposals to Balance 1939 Budget. “LEAK” IN CONFERENCE PROVOKES “GAG” ORDER Commissioners and Members of Special Committee “Muzzled.” Levy on Foreign Firms Studied. BACKGROUND— A sales tax to meet the District’s urgent financing needs was advo- cated during the lsat session of Congress, but was abandoned on theory it woudl place burden on those least able to pay. A business privilege tar and a boost in the real estate levy were substituted, but they have met vigorous protest A special sales tax on cigarettes and other forms of tobacco was revived suddenly yesterday as the Commis sioners continued to seek a panace for the District’s prospective ta: dilemma in the coming fiscal year. Since the widely denounced bus'- ness privilege tax and the 25- raise in the real estate levy are to e pire automatically on June 30, the District faces the problem of finding a new source of at least $5,000,000 in revenue to balance the proposed 1939 budget. The tobacco tax wes injected into the puzzling tax picture at a storm; two-hour session between the Commis- | sioners and their Special Tax Com- mittee of six District officials. Seven Other Plans Considered. The Commissioners and the Tax Committee also considered deven other proposed forms of taxation, but failed to make a definite selection of the ones Congress will be asked to ap- prove. As a result, the Tax Commit- tee was instructed to resume its studies and return with a program showing what each of the proposed tax plans might yield in additional revenue. The joint conference was marked by verbal explosions for nearly an hour, these resulting from a so-called “leak” over the committee’s behind- closed-door deliberations. The out- come was application by the Commis- sioners of a rigid “gag” order. Hereafter, no one at the District Building, except the Commissioners themselves, they said, may talk alout the activities of the Tax Committee. The clamp is so tight even Commis- sioner George E. Allen declared he had been “muzzled.” Randolph for Sales Tax. Meanwhile, it was learned that adoption of a sales tax, to replace the business privilege levy, will be advo- cated in the coming session by Rep- resentative Randolph. Democrat, of | West Virgina, one of the most active members of the House District Com- mittee. Declaring the business privilege tax “a very serious mistake,” Randolph agreed with Chairman Palmisano of the District Committee as opposed to Representative Kennedy, Democrat, of Maryland, who is drafting a new tax bill for the District. A sales tax on tobacco was first proposed nearly a year ago as a po- tential source of additional revenue, but ultimately was discarded for other forms of “emergency” taxation which Congress adopted to keep the Dis- trict out of the red in the current fiscal year. At that time, there were rough estimates showing a 2-cent sales tax on cigarettes alone would pro- duce about $600,000 a year. Inclu- sion of pipe and chewing tobacco ar cigars, it is believed, would increc the return to $1,000,000 a year. May Tax Foreign Firms. The Commissioners also have re vived the proposed tax on foreign corporations deing business in Wash- ington as another possible source of revenue. Like the tobacco tax, it was considered last year and abandoned The other tax plans considered were 1. A general sales tex of 1 and 2 per cent. 2. Revision and continuation of the business privilege tax. 3. An income tax. 4. An increase in the real and pe sonal property tax above the $1 base. 5. A special sales tax on beer. 6. An increase in the tax on publ utility corporations. Just prior to yesterday's conferencc (See TAXES, Page A-5) Husband Shoots Wife in Hospital With New Baby By the Associated Press. SPRINGFIELD, Ohio, October 23.— The mother of a week-old baby we wounded slightly and the maternit: ward of Springfield City Hospite thrown into turmoil tonight, Polic Lieut. Harry Shuman said, by a 22 year-old man who fired five shot from a revolver. Shuman said the motHer, Mrs. Leo- nard Compton, 20, was wounded i» the hand as she lay on a bed ex posed to the gunfire. Four othc mothers in the ward were made frant and started screaming. Interne R. T. Marshall, attracte by the clamor, rushed into the warc and disarmed the man, who, Shumar said, was identified as Mrs. Compton’: husband. Shuman said Compton tolc him he wanted to shoot his wife be- cause of the baby. The man was taken to the city jail for questioning. Radio Programs, Page F-7. Complete Tndex, Pags A-. »