I Salem Faces SERVICE! Any morning which find you at 0:8O o'clock without m ropy of your Statesman pbon 600 and one will be ent you at once. And yoar caJQ will be appreciated. SEVENTY-NINTH YEAR, NO. No Compromise Now in Sight In Controvresy Over Levies In County Long Conferences Between Officials and Attor neys Fruitless Marlon county's efforts to sal vage any more than 23.94 per cent of the taxes levied against the six national banks for the years 1926. 1927 and 1928 ap peared to have met complete de feat when the county court stated this week that Its offer to com promise for a 35 per cent payment had been withdrawn. The rourt had Dreviously been approached by representatives of the eix banks askUtvthat the amounts already paid: be accepted as satisfaction of the county's claims, with the six banks dis tributing among themselves the pro ratio amount each was to pay. As the situation now stands some banks have paid more than 50 per cent of their taxes for the three years while at least one of the national banks has- not paid any tax for tl.e three-year period. Lengthy Sparring Comes To Naught For several weeks the court and the banks sparred through several conferences which make no headway in settling the im passe. The banks held that the 23 94 per -cent already paid was Just that much more In the cof fers of the county treasury than the law would require while the court maintained that 35 per cent represented only the amount al ready paid out for out-of-county taxes during the three years. As the matter now stands, the court Is powerless to act Blnce a leading case has already estab lished the point that nationa.1 banks cannot be taxed In Oregon on their capital stock inasmuch as the tax is considered illegal be cause competing capital escapes all levies. If the court would de mand payment of the national banks it feels assured that its ef forts would only lead to unfavor able decision such as was handed down in the leading case. State Banks May Also Ask Rebate Whether the state banks of Marlon county will come Into the county court and ask for a re mission o f their taxes is not known. The county court of Clat sop county settled with two As toria state banks on the same bas is as it settled with the national banks declaring that it was not fair to penalize competing finan cial institutions by the levy and collection of a tax on one without the levy of a tax on the other. The question logically arising concerns the right of the county court to permit state banks not to pay their taxejwithout an at tempt through litigation being made to compe 'them to contri ute to the tax collector in tull for the amount levied against them. Until a test case is made, there is no guidance for the court in re mitting taxes on state banks any more than in remitting taxes on any other corporation. ARE FORMED HERE Two new boy scout troops have recently bean organized in Mar lon county, reports O. P. West, scout executive for Cascade Coun cil Area. Troop 25 was organized at Stayton Tuesday. nighSf with Rev. Wayne Wright as scoutmas ter and R. G. Wood assistant. The troop numbers 18 members and is sponsored by the Methodist church. The other new group is troop 24 at Silverton. with E. A. Kleeman. scoutmaster. There are 12 charter members. This troop is sponsored by the Christian church and is the second in Silverton. Troop 2fl of Silverton is one of the most live troops in the coun ty. The Stayton troop is the first successful one there. Billboards With Girl Smokers To Be Taken Down PORTLAND. Ore.. May 8 (AP) Official of Foster and Klelser, Pacific coastwide bill board advertising concern, an nounced today they would refuse cigarette advertisements carrying pictures or comely women walking a mile or reaching for a fag rath er than a sweet. The decision was forwarded to the Portland city council which immediately notified all other bill board advertising companies that this type of advertising would not be permitted within the city lim its. Action by the city council fol lowed complaints received from the Women's lorum ana me w est Coast Building ana oaies jpany. OFFER ON BANK TAX RESCINDED By COURT HEREl, . i BOY SCOUT TROOPS One of Its Best Years With Prospects 37 At Court Miss Helen Wills will arise today just m bit perturbed we guess, for this is the day the is to meet Queen Mary. QUEEN Will HOLD HER COURT TODAY Helen Wilis and 15 Other American Girls Will Be Presented LONDON. May 8 (AP) For a brief hour tomorrow, and an other on Friday. London's social season will be at its height as deb utantes from all parts of the world are presented to the first two courts at Buckingham palace. Months of fittings at dressmak ers, weeks of grooming at the hands of hairdressers and taking of lessons from the mistress of ceremonies at court have initiated the young women into all the mys teries and details of presentation at court. For one must have the right style of gown, train and head dress. Long hair must be coiled and bobbed hair padded to hold the ceremonial feathers. And above all one must be expert in the almost obsolete art of the curt, sy. For the first time the queen of England will hold the court alone and the debutants therefore will have only one curtsey to make. The Prince of Wales will occupy a place subordinate to throne and Queen Mary will receive In soli tary state because of the king's illness. Most of the girls to be present ed plan to spend the two hours before being ushered into the throne room in their automobiles on the mall outside the palace. There they will while away the time with friends at rubbers of bridges or in conversation. Helen Wills. American tennis star, is attracting the greatest at tention among the 16 American girls. The serious-faced young star went calmly about her daily tennis games until the eve of her presentation. Governor Is Not Certain Of Running Governor Patterson made 1 1 plain here Wednesday that he has not yet determined whether he will be a candidate for re-election at the republican primary election next May. A newspaper dispatch from Medford quoted the gover nor as saying that he had decided to seek a second term. More than a dozen persons were waiting in the executive depart ment when Governor Patterson re turned to his desk this morning after a week's absence. He pre sided at a meeting of the state bonus commission, attended other meetings and held a large number of private conferences during the day. Tariff Changes Fall Short In Matter of Helping Flax Growers, Bartrum Asserts In an interview of yesterday. Col. W. B. Bartram, superintend, ent of industries at the Oregon state penitentiary and managing director of the plant of the Oregon Linen Mills. Inc., made the state ment that while the increases re ported in the new tariff bill on flax in its primary stages will help a little, the new protective duty rate changes do not go far enough to give the proper encour agement to the establishment of new threshing, retting and scutch ing plants throughout the valley, with free labor. Col. Bartram holds that the pro posed increase of the duty on flax straw from $2 to $3 a Jm It J 111 1 I I 1.1 r-1 I I LI l-l UtiW 1 S- ITI I I I I I I I-J I I 1 I I JT I I I I I II II II II p. ft ROW BETWEEN F 111 Inside Story of Events Just ; Before American Drive Gets First Airing Pershing's Clash With High French Authorities Now Related in Full WASHINGTON, May 8 (AP) On August 30, 1918, Marshal Foch faced General Pershing In France and demanded: "Do you wish to go into bat tle?" "Most assuredly," the American commander replied calmly, "but as an American army." Foch objected that it would take a month to complete such an army. "Give me a sector anywhere you decide," declared Pershing, "and I will take it over at once." This historic scene is pictured vividly in a narrative off the gov ernment presses today, which for the first time gives an official ac count of how it was decided that a million Americans would enter the Argonne as an American ar my, not as French reinforcements. Iocunient Prepared By Arniy War College Headed "The Genesis of the American First Army," the docu ment was prepared by historical section of the army war college. The narrative leading up to the climactic meeting between the French and American command ers recounts in detail from hereto fore unpublished records Persh ing's long battle against allied de mands for American troops as re. placements in their own armies. Its publication led army officers to recall an interview with Mar shal Foch published ill Paris after his death, in which the French commander was quoted as having said Premier Clemenceau had con sidered that Pershing's efforts to build up an autonomous army was preventing the Americans from giving the aid they should have given the allied cause as a whole. "The Tiger" was said to have ac cused General Pershing of being too stubborn. Critical Moment In History Is Related Regarding the meeting between Pershing and Foch, which occur- (Turn to Page 3, Column 3.) ERGLE E5TITE SI Cash assets of $7794.17 in the estate of Edward M. Engle, de ceased, have shrunk to $3944.49 at the present time according to a report of the executor of Engle's will filed in probate court Tues day. Engle's will was a Bubject of litigation and one of the major items of cash expenditure was $1, 000 for attorneys' fees growing out of the lawsuit over the will and another item of $500 attor neys' fees for probate of the will. There are 15 heirs to Engle's property, all of whom will pay in heritance tax on their bequests. Local Teachers Go To Portland To See Funeral Mrs. Lillian S. Van Loan and Mrs. Fred Duncan (Bernice Schroeder) teachers in the Salem high school, were summoned to Portland Wednesday noon, follow ing the death of their father. George L. Schroeder, age 50 years. Mr. Schroeder died sud denly and as the-result of hitting himself over the heart with a piece of two-by-four lumber which he was carrying in repairing a building. Workmen discovered him sitting on a walk, perspiring freely, but when taken to a doc tor's office, no injury was found. He died at the doctor's office. Fred Duncan left for Portland yesterday afternoon also. ton willl amount to nothing, for our country imports no flax straw. And the Increase of the duty on nnhackled flax to from one cent to one and a half cents a pound, and on hackled flax from 2 cents to 3 cents a pound, does not give the Increase that was sought and should have been granted. Col. Bartram attributes the de nial of higher rates on primary flax manufactures to the influence of the predatory Interests appear ing before the ways and means committee, making a showing that In Oregon these primary manu facturers are under convict labor; (Turn to Page 1. Comma 1.) AND GENERAL TOED U No Favor Sways Us: No Fear Shall Awe Salem, Oregon, Thursday SENATE DEFIES E Debenture Clause Retained Despite Hoover's Ex pressed Opposition Defeat in Lower House Now Anticipated Resulting in Lengthy Session WASHINGTON. May 8. (AP) Despite President Hoover's em. piratically expressed objections, the senate voted 47 to 44 today to retain the export debenture plan in Its farm relief bill. Thirteen republican independ. ents joined an almost solid demo cratic vote in defeating an attempt by administration forces to elim inate the disputed provision. The bill, already passed by the house, does not provide for deben tures, and Inclusion of the plan in the senate measure was held by its opponents tonight to compli cate enactment of farm relief leg islation greatly. Republican lead ers contended the house would re ject the provision overwhelmingly, especially in view of the presi dent's position. Extended Session Now In Prospect They were confident that It would be eliminated ultimately by the conference committee of sen ate and house members which must adjust differences between the two measures, but were plain ly concerned over the time it might take to settle the contro versy. The senate has yet to vote on the farm bill Itself. Only two democrats left their party line-up to join with adminis tration republicans in the elimina tion move. They were Wagner of New York and Ransdell of Louis iana. Two other democrats, Walsh of Massachusetts and King of Utah were "paired" with Senators favoring-the plan, Shipstead, farmer labor, Minnesota, and Kendrlck, democrat, Wyoming both of whom are ill in hospitals. Among the re publicans who disregarded the wishes of the president were Bo rah of Idaho and Brookhart of Iowa, who were leading campaign ers for Mr. Hoover prior to the re cent election. Hoover's Letter Is Read by Bingham Just before the roll call was be gun. Senator Bingham, republican, Connecticut read from the letter of the president to Chairman Mc Nary of the senate agriculture committee listing ten reasons why the executive opposed the deben ture plan. "I think it is well for the record to show at this point." he said, "the objections the president has to the proposition we are about to vote upon." The administration forces were doomed to be defeated by one vote even though Senators Walsh and King had declined to pair with the two absent members. benator Walsh had a clerk read a letter from Senator Shipstead In which the Minnesota member said he was never so desirous of voting on a proposal and urged Walsh to pair so he would not be "required to further impair my health by being present." IS CALLED BY DEATH William Slocum, member of Capital Post No. 9, American Le gion, died at the United States Veterans' hospital in Portland Wednesday after an Illness of two years' duration. Funeral services will be held at the Clough-Huston parlors here Friday afternoon at 3 o'clock and burial will be made at the Macleay cemetery. Mrs. John Paris, his mother; John, a brother; and Mrs. E. Weaver, a sister, all of Salem; and Mrs. Edith Warnke, a sister, of oPrtiand, are surviving reia tives. $5500 Garage And Warehouse Will Be Built W. E. Hanson took oat a per mit Wednesday to build a ware house and garage at -455 Marion street at a cost of $5500. H. G Carl has the contract for construc tion of this building, which will be of concrete, one story in height and 40 by 82.94 feet in dimen sions. Plans have been prepared by L. L. Jensen. Rich Merchant Is Found Murdered LOS ANGELES. May 8 (AP) Louis Frahm, 38, wealthy fruit merchant of Downey, Calif., was found shot to death In a track on the outskirts of Maywood, a suburb of Los Angeles, today. A trail of blood along the highway for a half mile showed the spot where the slaying apparently took place. NT ID LEGION MEMBER Excellent for Bumper Fruit Crops and 9t tk Fir Stataa Marek It. lSfL Morning, Hay 9, 1929 Suppose New York does announce the forthcoming debut of a "Business Brain, which, with the aid of cogwheels and electric magnets and gadgets and what nota, can do the work of a flock of clerks. Los Angeles says, "Thanks, we have one already.' Montmorency ran do the work of ten pentons. He is a bookkeeper, adding machine, card sorter, cash register and computator all in one. It takes only throe persons to work him. He eats punched cards and turns them out in complete report sheets of figures, budget reports, sales analyses, statements of labor costs or payroll listings, depending on which button DEMURRER EUED III INJUNCTION SUIT "Expense" Grab By Solons Threshed Out In Circuit Court Wednesday The constitutional provision re lating to the compensation that shall be received by legislators. with particular reference to the word "pay," entered prominently yesterday into the arguments of attorneys in the suit filed by W. W. A. Jones to restrain members of the 1929 legislature from col lecting $5 per day expense money. Payment of the expense money was authorized in a resolution adopted by the legislature during the closing days of the session. Before the resolution was filed with the state department, the re straining order was issued and served on both the secretary of state and state treasurer. Lawrence T. Harris, of counsel for the legislators, said the prin-1 cipal question before the court was whether the lecislature nad authority to adopt the resolution. He argued that any measure ap proved by the legislature and la ter questioned in the courts was presumed to be valid, and could be set aside only when It was found to conflict with the consti tution. Attorney Ross, representing Mr. Jones, held that the constitution is an instrument of limitation and that the resolution authorizing the expense money to legislators was a violation of the constitutional provision fixing the pay of the senators and representatives at 1 3 per day. Teachers to Make Jaunt To California Miss Carlotta Crowley, elemen tary supervisor in the Salem schools, Mrs. Minnie V. Duncan, principal of Washington school, and Mrs. Clara Pomeroy, super visor of penmanship and spelling in the grades, will leave this morn- ing by automobile for a ten-day trip into California. The teachers plan to visit schools and normals at points as far south as San Francisco. Their first stop will be at the state normal school at Ashland, where Miss Crowley will interview candidates for positions in the Salem schools. Stockton, San Francisco, the normal school at San Jose, the normal at Chico will also be visited with a view to learning new teaching practices and methods. The group will also spend a day at Oakland and Berkeley. Deletions Made In Answer To Heart Balm Suit SEATTLE. May 8 (AP) John S. Robinson,, attorney for Mrs. Minnie E. Kennedy, agreed in superior court today without argument to certain deletions in his answer to H. H. Clark's $50, 000 heart balm suit against Mrs. Kennedy. Robinson said that his acquies cence to the Clark attorney's demands in no way "affected the merits of the case nor its final outcome." It was to the particular insinua tion, questioning Clark's sincerity in the suit, that attorney for Clark, Gordon McGauvran, ebject ed, and, it was that part of the answer which was stricken. Old Bookkeeping Work Taboo Oregon State to Hold Election on May 15, is Order CORVALLIS, Ore., May 8 (AP) The date for the new student body election at the Oregon State college was set for next Wednesday, May 15, by student executive committee in conference with the faculty advisory board today. A new election was order, ed yesterday by President Kerr following the finding of gross irregularities In the first vote. Trip Around . Globe Plan Of Zeppelin WASHINGTON, May 8. (AP) The postoffice department was advised today by American diplo matic officers in Germany that plans are being made for the Graf Zeppelin airship to make a round-the-world trip, starting and end ing at Lakehurst, N. J. A U"lp from Germany to the United States and back is due to start May 16, after which the post office department was advised the airship would return to this coun try to start circling the globe. The commander of the Graf Zeppelin, Dr. Hugo Echkener, was said to have stated to American representatives in Germany that he wishes to make the round the world trip an "all American af fair" and that he hopes to carry cousiderable mail to far eastern points from the United States. Quarantine Upon Florida Product Is Ordered Here The Oregon state board of hor ticulture will be asked to place a quarantine against all fruits from Florida as a precaution against spread of the Mediterranean fruit fly, according to announcement made here Wednesday. The fly waa discovered recently in Flor ida. Murder Charged For Texas Judge AMARILLO. Tex., May 8 (AP) R. H. Hamilon, former judge on the Texas supreme court's com mission of appeals, who shot bis son-in-law, Tom Walton, Jr., 21, to death here Saturday, was in dicted for murder by the Potter county grand Jury late today. Pile Dikes to be Placed . Along Edge of River Just North of City, Announced Evidence that permanent im provement making navigation of the Willamette river between Sa lem and Oregon City possible the year around will be started soon, was received by the Salem cham ber of commerce Wednesday In the form of a notice that bids had been called on the placing of pile dikes below the city. Col. G. R. Lukesh, district en gineer for the war department, no tified the chamber of commerce that these bids would be opened in his office, 321 Customhouse building at Portland, on May 17. The-dikes are to be in several sections totaling 1500 linear feet in all, placed at points between COMMUNISTS HOLD BI6 DEMni Red Decorations Plentiful at Funeral of Three Berlin Radicals BERLIN, May 8. (AP) Red shrouds on the coffins, red rib bons on funeral wreaths and red banners and arm bands in the pro cession today marked the Com munist demonstration at the fu neral of three victims of the May day rioting in this city. The rib bons on the wreaths almost uni formly bore the inscription: "Revenge for the heroes of the bloody May day of 1929." Only the bodies of three of the dead had been released by the po lice for burial, but the same dem onstration was given as had been planned for burial of a score or more of the victims in Friedrichs fele cemetery just outside of Ber lin. There were thousands in the procession which wound its slow way to the burial plat. The police, against whom the dead had bought, were not in evi dence. The demonstration was given free rein by the government which leaders of the Reds had pledged themselves to overthrow. Ernst Thaemann, Communist leader In the Reichstag, pro nounced the funeral oration. He said: "On these graves of our dead we swear to carry through the revolution, not only in Germany, but in the whole world. We will destroy governments, defy socia listic laws and set up dictatorship of the proletariat." The hoarse voice of the crowd responded in mass singing of the Internationale. SCOUTMASTERS TO HOLD FIFTH CUSS The fifth of the series of classes for the scoutmasters' training school will be held at the high school gymnasium tonight. This will be the last indoor meeting and next to the last one for the spring school. O. P. West, scout executive, will talk on "Putting the 'Out' in Scouting" and C. L. Newman of the Army and Navy outing goods store will give- a talk on a display of outdoor equipment he will arrange for the event. At the meeting a week ago the Perry Drug company prepared an ex hibit of first aid supplies. Interest and attendance at the school is keeping up well. The final spring session and first out door meeting will be held at In dependence cabin, Sunday, May 19, after which meetings will be discontinued until fall. Windsor Island. 10.5 miles north of Salem, and Weston landing, 26 miles north. The work must be completed within 90 days after the contrac tor receives notice to proceed. Percy Larsen of Salem, who has been employed by the war depart ment engineers to assist In mak ing surveys on the river looking toward the improvement of navi gation, is building a shallow draft power boat, 32 feet long, at the P. J. Larsen auto body shop on South Liberty street. Mr. Larsen expects to use this boat in addi tional work for the war depart ment on the river above and below Salem. Good Prices WEATHER Continued fair today; Ris ing (eniperature and de creasing humidity. Max. tem perature Wednesday MI; Mln. 48; Hirer 4.4; No rain; Wind northwest. PRICE FIVE CENTS M. Alfred Michaelson Freed by Federal Jury After Long Deliberation Spectators Applaud Loudly as Verdict is Read Before Crowded Courtroom KEY WEST, Fla., May 8 (AP) Congressman M. Alfred Michaelson of the seventh Illinois district, Chicago, was acquitted by a jury in federal court here late tonight of charges of prohibition law violation by smuggling and transporting liquor into this coun try from Cuba in baggage. The jury was out four hours and ten minutes, having retired at 8:50 o'clock and returned t 1 o'clock this morning. A round of applause from the spectators greeted the anuoum-e-ment of the verdict. Xot Guilty Verdict Found On Both Counts The Jury found the congress man not guilty on both counts in the indictments. On count charg ed importation of liquor into this country from Cuba, on January 2, 1928. in baggage passed through Key West customs under courtesy of port. The otuer count charged he transported liquor to Jackson ville. . "I am very happy." said Con gressman Michaelson, "but I have nothing to say except that the ver dict bore out my original state ment." It was understood the jury took about ten ballots before reaching its decision. Mrs. Michaelson, who has at tended the court session with her husband since his trial got under way, was not in the court room when the verdict was read, as he retired to her rooms at a hotel. Mr. Michaelson left immediately to inform her of the verdict. Trunks Weren't His Michaelson Asserts Congressman Michaelson tes tified late today that only three of the six trunks he brought in belonged to him, and declared be did not know that any of them contained liquor. Three of the trunks belonged to his brother in law, Walter Gramm, a Chicago coal dealer, he declared, and Gramm testified to the same effect. . i Asked whether any of his trunks contained liquor, Gram in refused to answer, saying be would stand on his constitutional rights. After Gramm's testimony the defense rested and a night session was called by Judge Halsttd JL. Ritter. He denied a defense mo tion for an instructed verdict of not guilty. Michaelson said three other trunks were brought in by mem bers of his party, belonging to Mr. and Mrs. Lester Ryan, also of Chicago. MEET HERE TODAY The Marion county grand Jury will convene today at the call of District Attorney John Carson. John W. Gibson of Woodburn is foreman of the jury. Other mem bers include Charles R. Greeg, Turner; John I. Caplinger. Daisy B. Bailey. Effie R. Ratcllff. Paul E. Hansen and Alonso J. Busick, all of Salem. Important cases for grand Jury investigation are: State vs. George S. Lyons, ac cused of attempting to obtain money by false pretenses in pre senting a claim of about 40 items In connection with a fire at Jef ferson; state vs. William S. Smith, committing an act tending to con tribute to the delinquency of a minor; state vs. Warren J. Chas taln, forgery: state vs. Howard Hockett, larceny at Woodburn; state vs. Fred R. Royston. com mitting an act tending to contri bute to the delinquency of a minor. Dairy Group To Stage Meeting Here June 7th The Oregon Dairy Improvement council will hold its first Quarter ly meeting in the Salem chamber of commerce auditorium June 7. according to word received here Wednesday. This council was or ganised at the dairy convention at Corvallis March 21 and 22, to su pervise the program adopted at that time. Perjury Alleged Against Tracey Hezekiah Tracey was arrested by Sheriff Oscar Bower this week on the charge of perjury. He was sent to Dallas to remain under the custody of Sheriff T. B. Hooker. Bail has been set at 1000 but to date this amount has not been raised. CONGRESSMAN ACQUITTED ON LIQUOR COUNT GRAND JURY Will