La Grande evening observer. (La Grande, Or.) 1904-1959, January 30, 1931, Page 1, Image 1

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CITY EDITION
'' Full Awoclattd Prrs Leued
i Win Bervlc.
12 PAGES TODAY
THE WEATHER
SEE LOWER LEFT HAND
CORNER OP THIS PAGE.
VOLUME XXIX
jiEMBEn associated PBB8S amp a. b. o. LA GRANDE, OREGON, FRIDAY, JANUARY 30, 1931
EASTERN OREGON'S IJ2ADLNG NEWSPAPER
NUMBER 133
vmtw
COURT RULES
CROSS-STATE
ORDER VOID
Federal Judges Declare I.
C. '.Cr; May. Not Require
This Construction.
APPEAL TO HIGH V
COURT IS LIKELY
Decision Holds Provision
of Transportation Act,
Construed so Broadly,
Unconstitutional.'
MUCH INTEREST HERE
Interest In the cross-state rail
road line order as made by the
Interstate commerce commission,
has.-been keen In La Grande, ti
division point on the O.-W. R. &
N. 'company railroad. In general',,
local sentiment has been with the
railroad company, as many felt,
that building of a cross-state line
would out down on .the amount
of freieht shinned through La
M Grande, -with consequent reduc
tion oi employes, payroll, etc,,, in
this division, ' . .V ;
PORTLAND, Ore., Jan. 30 A
five-thousand word federal court de
cision today. stood in the way. of the
Interstate commerce ( Commission's
enforcement of 'an order that the
Oregon-Washington Railroad & Navi
gation company, construct a 185-mile
cross-state line xrom urane to cres
cent in Central Oregon, - .'
The, decision, written by United
States Circuit Justice Rudkln, was
handed down here" yesterday by Fed
eral , Judge McNary . Circuit ' Justice
Wilbur was the third Judge who heard
the- ease; , -
The decision held that the com
mission may 'j not require railroads
to construct new lines in territory
. they do not profess to serve and that
in the present case the O.-W. R. $
NV does not profess to serve the. ter
ritory through1 which the proposed
road would run.'. 1
Holds Provision Void - .
The. decision held the provision of
the transportation act ( authorizing
the interstate .commerce commission
to require carriers, to extend their
lines, is unconstitutional and void
If It must be construed as broadly
and liberally as was .done by the
commisKon-iwhen lV issued ;lt order
in December. 1929, requiring con
struction of the line.
It was the first time this provision
of the act had been heard in federal
court and attorneys connected with
tho case said they expected It would
be carried to' the supreme court for
final decision..
Construction of .the line had been
sought by Central Oregon Interests,
the Orogon public service commis
sion and the Idaho public utitttles
commission as a means of provid
ing transportation facilities that are
said to be much needed in that part
ol the state.
The petition for an injunction re
straining the commission from en
forcing Its order was filed here last
June a few days before construction
was to have, started.
Arguments on the petition were
heard three times. In each of the
first two cases one oi the Judges
hearing the case died before a de
cision could be reached and be pre
pared. Suit Filed In May
The suit against the United States
to restrain the Interstate commerce
commission from forcing the Oregon
Washlngton Railroad & Navigation
'company to construct the proposed
(Continued on Page Eight)
WALTER HALL
INDICTED ON
STILL CHARGE
Walter Hall was Indicted by the
county grand Jury on charges of ille
gal possession of a still and mash.
His hearing has- -been set for 10
o'clock Saturday morning.
Chester J. Mason, arraigned on a
charge of non-support of a minor
child, was expected to plead his case
before JUdgo J. W. Knowles this
afternoon..
Missionary Play
Staged at Church
With a fair-sized crowd in attend
ance, the missionary play "Theso Be
of India's Household," was presented
in the Christian church- last night.
The play presented Beveral types of
Indian women, ranging from the
Hindu type to the Christian, and
each in turn told of their life as they
live It. , .
Preceding and following the play,
the assembly sang. Mrs. Harry Son
doz introduced the program. Those
taking part were Mrs. A. P. Nelson,
Mrs. J. A. Williams. Mrs. L. S. Weeks.
Mrs. L. M. Parker, Mrs. Rose Edison,
Mrs. Jennie Byer, Mrs. W. h. Hoyt,
Mrs. Russell Parlett. Miss Marion
Nelson gave a pantomime with a
mixed quartet singing.
WKATHKR FORECAST
Oregon: Fair but with valley
fogs tonight and Saturday.
Moderate temperature.
Moderate east and southeast
winds offshore.
WEATHER TODAY
7:30 a. m. 25 above. '
Minimum: 34 above. "
Condition: Clear.
WEATHER YESTERDAY
Maximum 54, minimum 35
above.
Condition: Clear.
WEATHER JAN. 30, 1930
Maximum 41, minimum 24 "
above. . '
Condition: Cloudy, rain .16 of
inch.
Tax Bills Will
Cover Years Of
1929 And 1930
Legislators Begin Action
Ti 1 1 n :
t i' unu wing supreme
Court s Decision Deny
ing a Rehearing. .
SALEM, Jan. 30 ) The senate and
house committee on assessment and
taxation were moving today to get
before the legislature the tax bills
necessitated by the supreme court's
overturning of the Intangibles tax
aet, and Its opinion yesterday deny
ing a rehearing of the case in which
the act was held unconstitutional.
These bills are expected to be two
measures bearing on , Intangibles.
Both have been drawn without the
objectionable features that . caused
the court to upset the old act. One
of them Is made retroactive to levy a
tax on income from intangibles for
the year 1929 and serves that pur
pose only. The other is retroactive
to apply to 1930 intangibles Incomes,
but will, If passed by the legisla
ture and not upset by the courts,
serve as a permanent 'act. ,
The main point on which the court
overturned the 1929 act was that it
was a tax on gross rather than the
net income from intangibles. In oth
er words It did not give the taxpay
ers credit, for example, in interest
he may have paid on money borrowed
to Invest in bonds or other Intangible
securities.
Drawn as Income Tax Acts
Also, because of certain opinions
expressed by the court in its. opinion,
the new bills have been drawn au In
come tax acts rather than, as in
tangibles acts. 1
If the bill that is made retroactive
to cover 1929- incomes Is passed It
will be necessary only for the tax
commission to refund to. the taxpay
ers the difference between an assess
ment against their gross and their
net incomes. This, it is believed, will
affect a very few taxpayers and total
a very small amount.
While the tax commission was dis
appointed that the supreme court
refused to grant a-rehearing of the
intangibles tax case it is encouraged
with a portion of the opinion that
the commission interprets as holding
the personal Income tax act consti
tutional. ' Since the opinion that
held the intangibles act unconsti
tutional contained language uphold-
(Continued on Page Eight) ,
Pendleton High
Invades Den Of
Tigers Tonight
Fresh from a 35 to 20 victory over
Helix High school Wednesday night,
the Pendleton Buckaroos will Invade
Xft Orande tonight and Baker Satur
day night. It will be the Round-Up
City team's first start -against the
Tigers this season,' and as the game
tlmo nears. the outcome is merely
conjecture, with both conceded a
chance to win.
Pendleton's squad this yoar con
sists of Wetherell, Stroble, Hill, Hey
deiv R. Terjeson, Rosenberg, Bauer,
Spafford, L. Terjeson. Cargill and Er
wln. Last year Pendleton came here
and won 35 to 24, with Terjeson.
Rosenberg, Hill and Stroble all play
ing. It was Schannep, however, who
defeated La Grande that night, roll
ing up 14 points, most of them long
shots, fired after a shore advance
from the guard position.
Coach Ira Woodie expects to put
full strength onto the floor against
the Bucks. This morning he had
not announzed his lineup, but fans
expected It to be the same as dur
ing the last two weeks.
Tickets for the game here tonight
and also for the game here tomorrow
nltrht aeainst the strong Wallowa
High school team are obtainable today
at Glass Drugs.
Legion Skit To
Be Staged Soon
For Baker Post
"A. w. O. L. in a French Cafe,"
the American Legion skit which con
vulsed a large La Grande audience
and called forth a shower of eggs on
New Year's Eve at the American -Legion
midnight motlnee at the Lib
erty theatre Is to be taken, cast and
costumes, to Baker Thursday evening
when the Baker post will be host to
a large delegation from La Grande.
Members of the local post and the
auxiliary will accompany the caet to
the Baker meeting.
The cast includes the hero. "Un
conscious," Norman Destlet; and his
friend who is also A. W. O. L., played
by Raymond Williams; two little
French lassies, Walter Palmer and Ed.
Stephenson; Lynn Wright, the mother
of the bar maids; patrons, Henry
Melancon and Hiram T. Smith, Dave
Wylie, Oscar Johnson. Fred Read.
Frank Flannery, Bob Scott. Claude
Holbrook, Mr. Molllnet. Lawrence
Plttlnger. Claude Berry, Harloy Rich
ardson, Merlin Batley, Ralph Winters.
Clarence Bragg. Roy Currey, Walter
Bean. Stanley Mills and Clarence
Green.
The local post has also planned a
meeting for February 4 at the Saca
Jawea Inn.
Alleged Shoplifter
Arrested Thursday
Charged with taking two dresses
from the J. C. Penney Co. store yes
terday afternoon, a man who gave as
his name Mike O Kelley. was arrested
by the police and turned over to
county officers. He was lodged In
the county jau ana it is unaersiooa
that the matter Is being laid before
tho grand Jury, which Is In session
today.
; One Drowned, Two
Others Rescued
MARSHPIELD. Ore.. Jan. 30 OP)
Ray C. Smith. 35. of North Bend,
i drowned last night when he fell from
, a log boom on Isthmus inlet. Julius
Conrad and Peter Neilson. who were
; with him were thrown in the water.
Thelman Smith. 21. employe of the
Port dock, descued Conrad and as
t sisted Neilson to safety. He struggled
twlth Ray Smith until exhausted. The
rescuer was taken from the water in
a semi-conscious condition.
SHEEP CREEK
ROAD HEARING
FEBRUARY 19
State Highway - Commis
sion to Give Project ,
: Consideration Soon
WALLOWA, UNION
BOTH IN SUPPORT
Proposal Also Favored by
Governor , Julius Meier,
According to Report
From Joseph.
JOSEPH. Ore., Jan. 30 (Special)
A special hearing on the proposed
Sheek creek road to the Inuiaha river
will be held by the state highway
commission in Portland February 19
according to word received by County
Judge Edgar Marvin, according to the
Joseph Herald. This special conces
sion was brought about through the
efforts of Governor Meier, who has
expressed himself as heartily .favor
ing the road.
Members of the county court and
others Interested In the project have
been busily engaged in amassing evi
dence to present to the highway com
mission, securing agreemnts for rights
of way and other details. Both the
directors of the Enterprise chamber
of commerce and the Lions club have
drawn up and. sent hearty endorse
ments of the proposed road to the
state highway commission and the
county court. Joseph Commercial
club at Its meeting Monday night al
so voted to send Its endorsement to
the two bodies and It is understood
that the Wallowa chamber of com
merce is also very much In favor of
the road being built. It Is not known
whether the latter organisation has
taken any action or not, but assur
ances have been given that It will.
La Grande Also Act
La Grande chamber of commerce,
Interested in the scenic aspects of the
new road and the possibility of com
pleting an automobile road to a point
overlooking Hell's canyon, voted Tues-
(Continued on Pago Seven)
MERCURY TAKES
11-DEGREE DROP
Colder Weathei' in-Valley
Pleases Fruit Men Tu
lips lip Near The Cove.
Although the mercury took an 11
degree drop last night as compared
with Wednesday night, spring-like
conditions continue in Eastern Ore
gon. Yesterday's maximum was 64
above, the same as on Wednesday.
.. The warm weather, unseasonal in
this locality has caused p ussy w 11- I
lows to snow up, ana at juuus r isn
er's place in the Cove district, tulips
are up and inch an a half. Robins
and grosbeaks continue to make
themselves at homo In the Orande
Rande valley, and squirrels come out
of their winter abode for hoctic scuri
lying hither and yon. ,.
Fruit Men Pleased
Fruit men were pleased with the
drop in temperature last night, inas
much as too much warm, weather, at
this season, almost sure to be fol
lowed by more freezing temperatures,
would be likely to cause considerable
damage. V
Whether it is merely an advance
sample of spring or the real thing,
the small boy about La Orande cares
little, taking full advantage of the
present poriod to get his knucks
down and bank away at somebody's
do-babe or glassy or ugate from the
marble firing line. Marbles are a
pretty sure sign of spring, and they
are in evidence at some of the
schools.
Golfers, confined to putt-putt
courses and Indoor driving tees for
the last several weeks, are beginning
to feel the spring fever and if the
weather remains good over Sunday,
some of them may go out to their
favorite course and attempt a few
drives at least. Just a sort of warm
ing up process for the real golfing
days that will come later on In the
year. '
.More Fair Weather Predicted
The weather man at Portland pre
dicts more fair weather for tonight
and tomorrow, but so far hasn't said
anything In reference to Sunday. He
also predicts moderate temperatures.
One of the first reports of pussy
willows in this valley was made today
by Rufus Poarch, who found some
along the river near the Bowman
Hicks Lumber company mill.
Cumberland Mountain Deputy,
Picturesque Figure, Dies In Cabin
POUNDS. Virginia. Jan. 30 HP)
John W. Wright, 88, the "Devil Judd
Tolliver" of John Fox 'a "Trail of the
Lonesome Pine" and picturesque bad
man of the-Cumberlond mountains,
died at his mountain cabin near here
today.
Wright. better known to mountain
outlaws as "Bad John" Wright, lived
his active life in a day when only a
tough man could survive if he went
hunting for his fellow men. And "Bad
John" was tough In those days.
As a deputy sheriff he is reputed
to have ktlled25 to 30 men who tried
to take his life rather than surrender.
Picturesque F I sure.
No more picturesque figure than
Wright ever roamed the Cumberland
mountains and followed Its trails
through towering forests and the
purple bloom of the rhododendrons.
It was from his life that John Fox
Jr., took the character of "Devil
Judd" Tolliver In "The Troll of the
Lonesome Pine."
Wright whose enormous stature al
so had given him another nickname.
' The Tall sycamore oi me jsixnorn.
was a guard at the Wise county. Va.,
, jail when Fox knew him. The novel -
' (Continued on Pago .Seven)
John W. Davis
May Be Counsel
For Gen. Butler
1924 Nominee For . Presi
; dent Expected to Help
Mussolini Cables Ital
ian Ambassador.
WASHINGTON, 30 IP) Pre
mier Mussolini cabled . to Italian
Ambassador Dc Martino today he had
felt suro that he would obtain "Just
and prompt redress from the fair
ness, the loyalty and the friendship
of the American government and tho
American people whose respect for
the truth Is well known to me" after
the incident In which Major General
Smedlcy D, Butler of the marines,
made derogatory remarks about him.
DAVIS MAY AI1 BL'TLER
WASHINGTON, Jan. 30 (.-- The
expectation that John W. Davis,
prominent Now York lawyer and
1924 democratic nominee for presi
dent, would head the counsel for
Major General Smedley D. Butler
during his courtmartial, was ex
pressed today by friends .of the
marine officer who have been study
ing the case.
Arrangements for counsel were dis
cussed tills morning in the office of
Major Henry Leonard, U.-S. C. C,
retired, a Washington attorney and
friends to Butler. With Major Leon
ard were Lieut. Cql. J. J. Meade,
General Butler's chief of staff; Lieut.
Col. P. P. Archer, quartermaster of
the marine post at Quantico, and
Brig. Gen, Randolph C. Berkeley, act
ing commandant of the post.
The four, men were closeted to
gether for nearly two hours,
- - Hoover Takes No Part
It was said at the White House
today that President Hoover had
taken no part In tho developments
concerning the note of apology sent
to Italy by tho United States govern
ment on account of Butler's remarks
In derogation of Premier Mussolini.
The Butler case was said to have
entered the record at the White
House in no way.
The date and place of the court
martial has not been announced.
Officers at the Quantico, - Va.,
marine post, where Butler Is under
self-arrest as ordered, said by tele
phone today he was continuing to
remrtin in. tho seclusion of his home
and 'would not talk for publication.
.Spectacular Life
General Butler has done spectacu
lar - things. He likes to lead the
cheers at a marine football game but
he did not got two - congressional
medals of honor for. that. He likes
a fast motor car but skillful driving
did not bring -him an army distin
guished sorvice medal, a navy dis
tinguished service medal and a brevet
medal. .
As a young marine of fiCer he risked
his life to rescue a wounderl Br' th
soldier In China. He ua:p dared
death to go to Mexico City as a spy
when the war with that country
seemed certain during President Wil
son's administration. He charged a
bandit fort in Haiti and ho earned
duckboards with the rank and file at
Brest. France. He Is known as a stu
dent of military strategy and a skll-
full handler of men. ;
Newell A ppointed
To Prohi Position
WASHINGTON. Jan. 30 P) Pro
hibition Director Woodcock today an
nounced tho appointment of W. K.
Nowell as acting deputy prohibition
administrator at Portland, Ore.
Newell has been out of the federal
prohibition service since last July. He
was then prohibition director for Ore
gon and was suspend 2d In July,
Woodcock said, for failure to accept
another assignment.
The prohibition director said New
ell had a perfect right to resign at
that time if he did not wish to go
where he was instructed to go, but
that a compromise has been reached
and Newell appointed to the Port
land post.
Alabama Condemns
Thomas Heflin
MONTGOMERY. Ala., Jan. 30 P)
The Alabama senate today adopted
without a dissenting vote tho house
resolution "in condemnation of the
very pofr sportsmanship" of Senator
J. Thomas Heflin in contesting tho
election of last November in which
he was defeated.
Hoover Welcomes
Canadian Premier
WASHINGTON. Jan. 30 fl1) Presi
dent Hoover formally welcomed Pre
mier Bennett, of Canada to the
capital today when tho prime minis
ter paid a. brief call at the White
House.
John W. Wright
HOUSE VOTES
AGAINST DRY
REFERENDUM
Renewal of Prohibition
Question in Senate
; Promised by Upton.
KILL RESOLUTION .
BY 41 TO 16 BALLOT
Alleged Defects in One
. Man Commission Meas
t lire, Drawn by A. E.
r Clark, Are Argued.
SALEM, Jan. 20 (VP) six banking
bills,' amending the code to tighten
regulation and to increase penalties
for bank robberies were sent Into the
legislature today along with a score
of other measures Introduced in both
houses, The house passed five meas
ures while the senate gave favorable
consideration to another.
Two Intangibles tax bills were be
ing prepared for- Introduction today,
and will be the subject of committee
discussion this afternoon. One meas
ure would provide for the collection
of unpaid 1029 Intangible taxes and
the retention of the 4000,000 already
collected, and the other would meet
the supreme court's objections for a
1930 tax. The'Bupreme court recently
declared unconstitutional the 1020
tax and yesterday denied the petition
for a rehearing of tho case.
Five Hearings .
Five public hearings were set for
early next week, It was announced
In the house and senate. One will
be held on the free-text book meas
ure, Tuesday night. '
SALEM, Jan. 30 IP) Renewal of the
prohibition question in the Oregon
legislature today was seen In the
announcement last night that Sena
tor Jay Upton, of Bend, would Intro
duce a sonate resolution similar to
tho referendum proposal defeated by
the house late yesterday. The resolu
tion, Upton announced, may be pre
sented. during the day.
Tho Manning resolution for a ref
erendum of tho state dry law was
killed by a 41 to 16 vote after two
hours of debate and oratory In the
house. The prohibition fight, and
the start of a series of public hear
ings on the utilities measure, fea
tured tho. .day's prolonged : meetings
yesterday and lae nlftht.
Alleged defects in the .one-man
commission measure, as drawn by A.
E. Clark, which also would provide
home rule for cities, were pointed
out at tho hearing, and critics de
clared tho measure failed In Its pur
pose in establishing a consumer's
advocate rather than a Judiciary In
the matter or regulating utilities.
Reports of a substitute bill for that
now In the legislature, gained cre
dence today. Further hearings on
this as wen as mo grange power
district bill and tho hydro -electric
commission measure, will be held at
future dates.
Both houses aro expected to ad
journ after a half day's session, to
return to start the last half of the
limited session next Monday. Ad
journment rests upon the expediency
on the two groups in clearing desks
for tho week.
(Continuod on Pasro Flvo)
Duncan, Flyrin,
Two 'Bad Boys',
Escape Prison
SALEM, Jan. 30 (P An all-night
search by a crew of thirty men failed
to capture two convicts who made
their break for liberty lost night from
the state penitentiary. Early today
prison officials had no word or clues
as to the whereabouts of the pair.
A dense fog aided in their get-away.
Leo Duncan, sentenced from Doug
las county in 1025, to servo 35 years
for assault upon an officer: and Dan
Flynn sentenced from Multnomah
county to 15 years for assault, broke
into tho flax milt, secured a ladder
and climbed over tho wall under cover
of the fog. They turned out the lights
along tho wall and were gone perhaps
five minutes before their absence
was detected by tho lack of light,
officials said. They had been work
ing in the boiler shop.
Shortly after making their escape
two men robbed the clothes line of
Otto Muellhaupt In Salem and se
cured a brown overcoat and other
clothes. MUollhaupt was knocked
down by one of the men when he
went to Investigate tho noise In his
yard.
Tho prison break whh the first since
1925. Warden Jim Lewis termed the
two as "bad boys." Duncan was serv
ing his second term in the peniten
tiary and berore being brought to
Salem, he had escaped from the Doug
las county Jail.
Deputy Warden C. C. Hawlcy gave
out the following description of the
two convicts: Lee Duncan, 20, fair
complexion, blue-gray eyes, light
brown hair, weight 155 pounds,
height five feet seven Inches, medium
build. Dan Flynn, also '26, light
complexion, blue eyes, blond hair,
weight 150 pounds, height five feet
nine Inches and medium build. A
50 reward Is offered for the capture
of each.
R. K. 0:And Pathe
Merger Completed
LOS ANGELES, Jan. 30 (F A
merger of Radio-Kcith-Orpheum pic
tures and Patho studios was an
nounced today by Hiram S. Brown,
president of R. K. O.
The merger brought to a close
negotiations which have been under
way for some months.
Under the plan of consolidation, R.
K. O. acquires title and asset to
Pathe but the two organizations will
continue to operate as distinct pro
ducing and distributing units In the ,
mouon picture lnaumry, i nese ac
tivities. Brown snld, will be Increased
largely.
Time' and Savings Deposits In
Oregon Banks Record Breaker
In The History of This State
GEN. BUTLER
fv '.'AW ;
Major Oenoral Smedlcy Dutlcr,
mi uiu murines, is mcing n court
imirtlul becuuNo of derogatory re
marks ha mndc about Premier
Mussolini, of ltnlv,
THREE MEN WILL
DIE FOR MURDER
Electric Chair Faces Trio
Convicted of Shooting
Ralph Wilcox.
COLUMBUS O., Jan. 30 m Three
young men who killed a gasoline sta
tion attendant in. a frustrated rob
bery calmly waited for death In the
electric chair at he Otyo penitentiary
The condemned men, Earl Sites. 37,
Fred Massa, 27,' and Kenneth Mc
Cartney. 25, all of Mansfield, O.,
were convicted of tho ratal shooting
of Ralph .Wilcox when he rosi steel
their attempt to rob his filling sta
tion at Gallon. ' They were recognized
and tried for -murder while serving
sentences for1' attacking a woman ;
shortly after the killing. ; .- '
. Appeals to tne state supreme court
failed and relatives turned to. the
stato bonrdVot clemoncy as a final
effort. The; board neard their pleas
yesttrday af.if mttu a- decision would
(Continuod ort Page Five)
FLAMES DRIVE
200 INTO COLD
OF WHITE WAY
NEW YORK, Jon. 30 OP)" Dancing
flames levelled a six-story building
on uppor Broudway early today, driv
ing more than 200 persons Into the
cold, injuring 17 others and throwing
tho great white way into a turmoil.
Of the Injured, two firemen were
grievously burned when tho fourth
floor collapsed, catapulting an entlro
hook and ladder company to the floor
below. Two newspaper photographers
were dangerously hurt a block from
tho fire when flsshllght powdor pre
maturely exploded, mangling the
left hand of one and possibly blind
ing tho other.
Most of tho tenants, occupying 100
apartments on the upper flvo floors,
scurried to safety , via elevators, fire
escapes and metal bridges leading to
adjoining I bulldingH. Others were
helped to safety by firemen and fel
low lodgors. Tho majority wore
artists and theatrical folk and many
were elderly..
The scene was tho Lincoln Square
building, known also as tho Mlllor.
which Is located at tho corner of
68th streot and Broadway. -
2-CENT FARES
EFFECTIVE ON
FRISCO LINE
WASHINGTON, Jan. 30 P) ' By
falling to act on protests instituted
against tho action, the Interstate
commerce commission today allowed
tho St. Louis-Ban Francisco railroad
system to put in effect Saturday
night, coach fares over Its entire sys
tem for passengers at tho rato of 2
cents a mile.
Tho passenger rato reduction pro
posed by tho Frisco systsm was ono of
the first Important steps taken by a
major carrier to counter particularly
motor bus competition.
Wide Interest Is
Aroused In Bill
SALEM, Jan. DO ) Stato-wldo In
terest aroused In the bill Introduced
by Senators Crawford and Batley,
providing that all moneys collected
by state department and agencies
bo placed lu the general stule fund
and dispersed by specific legislative
appropriation, caused Senator Moser,
chairman of tho Judiciary commit
tee, to set a public hearing on tho
bill for Tuosday night February 3.
The hearing will be In the senate
chamber.
The bill affects all the self-sustaining
departments, Including somo of
the largest In tho stato government,
such as the fish and game, corpora
tion, Insurance, Industrial accident
departments, and possibly the stato
highway department. There Is some
doubt as to whether it Includes the
highway department.
Voodoo Worshippers
Blamed For Death
HAVANA, Jan. 30 HP) Voodoo
worshippers in the hills of the in
terior were charged yesterday by Mar-
; tano Torres. sub-Inspector of the j
judicial ponce wim naving Kianapea j
ana lacniiceu tne white cmid, Mar
tin Perez. In their weird rites. !
The boy was kidnaped Christmas
eve from a plantation near Artemisa,
Reserve Position.of Banks
is Excellent, Accord
ing to A. A. Schramm'
SALEM, Jan. 30 tt Time ancLsav
ings deposits In all Oregon bmifls at
tho close of business December 31
totaled 128.311. 117.01, a record
breaker In the history of tho state
for any one official bank call, says
a statement today by A. A. Schramm,
state superintendent of banks, rela
tive to the call of that date. This
is an increase of over 2,360,000 com
pared with the last previous call of
September 24 and an Increase of
about 2 .600,000 compared with the
corresponding period a year ago.
"Deposits subject to check on De
cember .31," Schramm sold, "totaled
H50.608.206.57, indicating a decrease
since September of approximately
$14,600,000, although tho decrease
since March 27; 1930, is only approxi
mately 42,600,000. Thus the aggre
gate deposits of both time and sav
ings and subject to check show only
a decrease of approximately 180,
000 for the entire state as compared
with March 27, 1930.
"The reserve position of the banks
Is excellent. , Cash and duo from
banks has Increased almost $1,260,
000 :iico September 24, 1930. Hold
ings of 'other bonds and securities'
have increased In excess of $9,000,000
but with a corresponding decrease In
government bonds, which, no doubt,
Is duo to the hlglv price and low
yield of government securities. As
compared with a -year ago the loans
outstanding have been decreased
slightly more than 16 per cent.
"Total resources of all banks In
tho stato at tho close of business
Decomber 31, 1930, were. 324,938,
649.66." Portland banks showed total de
posits in Its 24 banks of 169,264,
600.42. Among other cities deposits
were as follows: Salem, 10,881,
132.02; Eugeno. 7, 170.300.30; Pendle
ton, $8,647,723.48; Klamath Falls, $S,
921,480.38; Medford, $6,080,971.38;
Baker, $3,604,320.98; , Roseburg, $3,
203,372.70; Corvallls, 3,138,147.66;
La Orande, $2,394,698.86; Grants Pass,
$2,198,203.82; Ashland, $2,098,412.67.
Body of Walter
Case is Brought
To Vancouver
PORTLAND, Ore., Jan. 30 m '
Carrying the body of Walter E. Case,
Varnoy air lines pilot who was killed
In a plane crash on. Bluff mountain,
near Woshougal, Wush.i eight days
ago; ' party. oV"foreBt' rangers and
company cifRiols reaohed Vancouvor,
Wash., today. ' They marched with a
pack train all night long after reach
ing the wreck late yesterday. -
A postal Inspector recovered the
260 pounds of mall carried by the
plane. ,
Leon Cuddoback, vice prosldent of
the Varney company, said It was ap
parent Case had flown tho plane
hoadon Into tho mountain In tho
dense fog which obscured tho course
Ho was found in the cockpit. In
juries indicated ho had been killed
lnstuntly when his head hit tho In
strument board.
Plane 11 timed
Company officials found the plane
badly wrecked. They burned it.
Caso. disappeared Jan. 22, while
flying the Portland-Pasco mall. Tho
plane's olook showed the crash oc
curred at 7:07 a. m., disproving the
many reports the piano had boon
soon and heard In Eastern Washing
ton. It has been established that
Cose left Portland at 6:30 a. m., and
upon roaching Camns, messaged he
was turning back duo to heavy fog.
This was at 6:54 a. m.
His next report was at 7:04 a. m.
whon ho said he was in tho vicinity
of Portland and was flying ovor a
fog bank.
A strong wind from the south was
driving him northward and ho flew
Into tho mountain threo minutes
lutor in tho belief he wits flying
over tho valley country near Port
land. Schneider Death
Called Suicide
PENDLETON, Jan. 30 m All evi
dence lu the hands of Investigators
Thursday pointed to tho sulcido
wicory as tnu inquiry into tho death
of Henry Schneider, 68, continued.
Police hod decided ho committed sul
cido by firing a charge from a shot
gun Into his chest. Later murder
hints wero hoard and the investiga
tion opened.- A bloody stick with a
nail In it was found near tho body.
It had been used to press tho trigger
of tho shotgun. Investigators said
tho man had been In financial
trouble.
Three Women Are
- Buried Under Slide
BERNE. Switzerland. Jan. 30 m
Threo English women, whose names
were not learned and a Swiss guide
wero burled in an avalanche near
Egglshorn on Wednesday, word re
ceived here today said.
They were with a party of six
tourists and three guides. Rescue par
tics found two women and two guides
near Relderalp, The bodies of tho
others have not been recovered.
Phi Beta Sigma
Holds Initiation
' Phi Beta Stjima, honorary educa
tional fraternity, met lata evening
at the Eastern Oregon NormM school
for the purpose of the Initiation of
new members. Membership In the
ornnnixotlon Is limited to those stu
dents of high scholarship attain
ments, of strong personal qualities,
and who' are Interested In the teach
ing profession. The following stu
dents were initiated: Theresa Tabor.
Alberta Voung. Dorothy Cook, Ger
trude Moore, Juanlta Crawford, and
Ava Wood ell.
Two other chapters of the frater
nity have been organized, at Lewis
ton Normal school and at Southern
Oregon normal. Steps are being made
to nationalize In the near future.
John M. Miller, of the department
of education, is the faculty advisor.
SENATE RED
CROSS BILL
IS REJECTED
House Votes Against $25,
. 000,000 Measure For
Relief, Purposes.
SENATE DEMOCRATS
IN STRONG STAND
Determined to Fight to
v Finish $446,000,000
War Department Bill
Passed Today.
WASHINGTON, Jan. 30 (ff)--The
house today rejected the Taylor
amendment to turn" over to the
president- for, distribution the $26,
000,000 voted by the senate for Red
Cross relief The vote was 217 to
151. , :
Although ' several ' other amend
ments remained to be voted upon
the strength shown by the Repub-
1 leans was Indicative of final rejec
tion of the senate proposal to give
tho Red Cross 925,000,000 for relief.
8 (Mill tors To Fight .
Senate Demoorats decided at a
party meeting .today to go to any
limits necessary to obtain their re- .
llof program.
Senator Robinson of ' Arkansas,
minority leader, was strong In sup
port for a finished fight with Presi
dent Hoover and the Red Cross for
his (25,000,000 relief appropriation.
The. party -also determined to In
sist upon the appropriation of 20,
000,000 bushels of farm board wheat;
the fund of 3, 000,000 for medical
supplies In tho drouth area; and the
$5,000,000 appropriation for organiza
tion, of relief corporations.
All of these proposals have been
voted by the senate. -
The Democrats made it clear aftor
their conference . that they are will
ing to force, an extra session of tho
new congress in the spring, If neces
sary to get their programs although
the party leaders have expressed,
themselves as opposed to an. extra
session, unless forced Into it.
The. $44P ,000,000 wan department
appropriation bill was passed today
by v the senate, carrying authoriza
tion for distribution of - 20,000,000
bushels of farm board wheat lor re
lief purposes. ... -.-.
i ...... . t'
BLAST KILLS
TWENTY-EIGHT
COAL MINERS
WHITEHAVEN Cumberland, Entf.,
Jan. 30 iP) Twenty-eight coal min
ers are known to have been -'killed In
an explosion which burled them In
the deep Halg pit here yesterday. Tho
total was computea oy mine oiiiciais
who Issued a casualty 'list at noon.
Sixteen bodies hod been recovered at
that hour. AU the others had been
located and were being brought out
as quickly as possible. ,
Twenty-five miners were brought
out allvo. Twelve of them aro lu .
serioUB condition In a hospital. The
mtno owners said a number of me a
caught on the fringe of tho explosion
turned back into the gas-filled pass
ages and rescued somo of the in
jured. But for them the death toll
wouia nave aeon mgner.
The cause of the accident has not
been determined. , .
Carbon Monoxide
Kills Medford Man
MEDFORD, Ore., Jan. 30 7lP) Ray
mond Crumb, 20, died from carbon
monoxide poisoning, and Nell Hill,
18, was In a precarious condition at
a hospital hero today from effects of
tho gas.
Tho two had parkod their automo
bile in front of the home of the girl's
aunt, Mrs. L. O. Hill of Talent, at
midnight, leaving the engine run
ning. Mrs. Hill was awakened at 4
a. m. by the sound of tho . engine.
Crumb was dead and tho girl un
conscious. It is believed tho boy
and girl fell asleep In the closed
car.
Oscar DePriest
Attends Reception
WASHINGTON, Jan. 30 OP) Oscar
DePriest, negro representative from
Illinois, and Mrs. DePrteHt. last night
attended President Hoover's annual
reception to members of tho houso.
They took a place about midway
of the lino watting to receive Mr. and
Mrs. Hoovers greetings, snooK nanas
with tho president and tho first lady
and then repaired to the cast room,;
There Spcakor Long worth ap
proached and shook hands with them.
The reception Is one of tho regular
series glvon for government officials
and diplomats. -
JOHNNY IOKO TO WKD
NEWARK. N. J., Jail. 30 Ml Doro
thea Scudder, daughter of Edward W.
Scudder, publisher of the Newark
Evening News, and John Doeg, na
tional tennis champion, will be mar
ried late this afternoon.
Doeg, who won the national singles
championship last summer, was a
member of the 1930 Davis Cup team.
He Is the son of Mrs. violet Sutton
Hope Doeg of Santa Monica, Oal.
Wheat, Today
CHICAGO, Jan. 30 HP) Corn fell
today to within a fraction of the bot
tommost prices reached this season,
and dragged other grains down. Ar
gentina was reported shipping corn
out on a large scale. Including some
to the United States and Canada. A
good-sized Increase of the amount of
wheat on ocean passage was expected
to be announced on Monday.
Corn closed unsteady, $ 1 cents
off. wheat unchanged to lower,
oats c down, and provtstona un
changed to 10 cents higher,
JL