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About The Oregon statesman. (Salem, Or.) 1916-1980 | View Entire Issue (April 20, 1933)
t jr 1 t I fe. t i:; if I. ft A' Burk and Williams Report Discovery Near Silver Falls; Identify . - Auto Parties on Spot Traced To Reynolds; Others in "j Case are Sentenced At least one of the men who perpetrated the Philomath bank robbery January 4 and obtained 92809 cash and $1700 in blank travelers' checks visited the Silver Creek region in this county April 12 and there lost 1180 worth of the stolen checks, Sheriff A. C. Burk announced last night follow ing a trip he and Newell Williams, chief . criminal deputy, made to that section on other business. While driving along one of the old, little-used Silver Creek roads, Bark and Williams espied a head light lens and rim, which was lat er declared to be from a car used by Perry Reynolds, one of the five men being held at Tacoma, Wash., In the northwest cleanup of payroll and bank robberies. Reynolds, Burk said, is known to have visited relatives in the Sil ver creek region a week ago yes terday. Check Numbers Tally With Record Near the auto lens, Burk and William found a billfold con taining nine $20 travelers'; checks numbered 801-9. Telehoning of ficials of the Philomath bank, the sheriff was Informed that these numbers corresponded with those cf the stolen checks. "Reynolds must have been hid ing out up there," the sheriff commented. "He was driving a 1923 Chevrolet coupe over the rough roads and lost tie head light lens and rim." Sheriff Burk notified Portland law enforcement officers of his find upon his return here. Rey nolds, he said, had been' accused f participation In the Philomath holdup but had denied complicity. The checks found on .the old road were in good condition de spite exposure to snow and rain. TACOMA, April 19. (AP) Four men, James De Long, Frank Butler, Carl Brehan and Phil Wal lace, were sentenced today to terms of 10 to 25 years in the state penitentiary after pleading guilty to the $4500 J. S. O'Day payroll robbery of a month ago. tn all probability they will be tak en to prison secretly, under heav ily armed guard. Sheriff Fremont Campbell, Jr., said later. The sheriff decided upon the secret departure for prison, he aid, after receiving a warning letter from Deputy Warden E. C II alley, of the Oregon peniten tiary. The men were arrested In If re and at Portland several days ko. Meanwhile Prosecutor Bertil Johnson was preparing an In formation charging Perry Rey nolds, 25. also with the O'Day payroll and Pirate Inn holdups. Reynolds has steadfastly denied any part In the two crimes. Prose cutor Johnson said two burglary charges might also be filed jralr.st Mm. Funeral services for Waterbury Maynard Coburn, 77, who died at his residence on route 5 yester day, will be held from the chapel f W. .T Rigdon Son Friday, April 21, at 1:30 p. m. Coburn tad been confined to his bed ever since he was injured . In an acci dent last November. He was born at Stockbrldge, N. YM July 23, 1855, the only on of Mrs. Ellen M. White, early Salem pioneer who died In 1917 He came to Salem in 1874 and was married to Susie E. Quimby In 1882. He Is survived by his widow and the followlnz children: J. M. Co- burn, Mrs. Hester Drager, Mrs Carolyn Orabenhorst, Mrs. Lena P. Grabenhorst and Mrs. Harriett Wechter. Seventeen grandchildren also survive. , Coburn had resided on a farm In Prtngle for 41 years. All of his children were present at the time of ia death. 1 Building Picks Up; Five $1000 JobsUndertaken The fifth building permit this month for a new construction Job costing $1000 or more was issued . resterday to William Heppmer for erection of a $1000 dwelling at J015 Maple avenue. A. H. Zlnk is the builder. The other-permit Is sued yesterday went to W. A. Me . Clary to build a $45 garage at 1125 South , Commercial' street bringing the total value of this ireek's permits to $1175. ? l M .4 l T have been granted this month, or lL' ... at wv. -a fog iur luau uuiiu( jambu, j. v sore than In February and -four ore .than during January, i : Beauty Quest Proves Fatal; Face Rejuvenators V; n 4 :f t If &J Woman's eternal hope of thwarting the passage of time cost the life of Mrs. Aline Farnum, 81. She died in Los Angeles after an assert ed "face rejuvenation" operation. C. B. White and a nam were arrested In connection with her death. DUST 1 I Deaths Caused; Wheat Crop In Midwest Imperiled By Driving Sand (By the Associated Press) Dust storms and floods were contrasting sides of the national weather picture today, with death and property damage involved In each. Mr. and Mrs. Jake Mutx were killed by a gale which destroyed their farm home near Chiekasha, (Turn to page 2, col. 3) TlX TIB TO The $15,034.63 tax turnover for the city of Salem filed Wednesday by Sheriff A. C. Burk dispelled late March fears that the muni cipal government could not meet heavy bond payments this month, City Treasurer C. O. Rice an nounced yesterday on hearing of the turnover. Yesterday he sent a $19,000 instalment on a 20-year $480,000 sewer bond issue to New York holders of the bonds, leaving about $5000 available cash In the treasury in addition to the new taxes. The new funds, the treasurer said, will enable the city to pay the final $5000 instalment on this bond issue and $5000 due on an other Issue May 1 and also to re tire a sizeable amount of city gen eral fund warrants. Large tax turnovers anticipated from the county In May will do much to Improve the city's cash condition, according to Mr. Rice. BARKING AWAKES MAN BEND, April 19. (AP) Brownie, a year-old police dog, was burned to death today after he had saved his master, Barry M. Robinson, from a like fate. Half suffocated by smoke, Rob inson, alone In his home, awoke to find his dog barking loudly on his bed. He found the living room in flames and the fire threatening his bedroom. He attempted to car ry the dog through .the flaming room to the door, but the animal broke away and bid under . the bed. Firemen recovered his char red body. WON'T RAISE TURKEYS ALBANY April It. (AP) Sheriff Shelton almost went into the turkey raising business, but he sighed with relief today when he was assured the plunge would not bo necessary. He was- about to be called on to care tor $0,500 of the young gobblers that had been attached while In the process of hatching. The owner, however, arranged a bond at the last min ute to the satisfaction of nis credi tor, ?.J v JACKS UP WRECKED CAR PENDLETON. April IS. (AP) Prompt action by his wife saved the life of T. B. Bontboy, Pendle ton undetraker, last night when M FINANCE are Under Arrest m 1 X Senator Spaulding Speaks For Canalization, Sees Low Rate Benefit Not only a great saving to ship pers in general, but also the open ing up of the northwest Oregon timber belt because of lower freight rates will result if canal ization of the Willamette river as far as Salem, Is realized, Senator C. K. Spaulding told the Salem Retail Credit association yester day noon. At first skeptical, but now a firm advocate of canalization, the senator said he hoped to see ad option of the resident engineer's favorable report on canalization at the hearing slated for Washing ton, D. C, May 14. The river pro ject was reopened recently. In spite of adverse report of divi sion engineers. An expenditure of $8,000,000 Is estimated necessary to improve the river to Salem, Including changing of the locks st Oregon City, completion of an eight-foot channel, and construction of a 30 to 37-foot dam at New Era. 4 The river project realized, a saving of tip 00 per million feet of timber is possible on shipment, and on freight in general saving would be seven mills per ton mile. Lower freight rates by water al so have a bearing on the Spauld ing Logging company's recent rate case. In which the company seeks to bring cost of hauling over the Valley & Sllatz road to a reason able figure. Spaulding said today the hauling cost from Helmlck Is $190, to Salem, while deep water hauling would cost not to exceed 25 cents per thousand. - If a Joint reasonable freight rate comes as result of the Valley (Turn to page 2, col. 4). BE MIT FAV1STMH1 Dog Saves Master, Dies Wife Rescues Mortician Sheriff Dodges New Job Harry Riley Faces Noose their automobile overturned be tween Boardman 'and Arlington arier a ure had blown out. . . Bomboy was thrown under the machine and was in danger of suf focation. His wife, injured and bruised, crawled under the, car, found the tire Jack and raised the machine sufficiently high to per mit ner to drag her husband out. He suffered chest Injuries and possible broken ribs. NO LICENSING ASKED BURNS, Anrll 19 (AP Har ry R. Riley, 4o, was convicted by a circuit court Jury here shortly before last midnight of first de gree murder for the death of his wife, Hilda Thornburg Riley. The Jury Ud not make any recommen dation for lite Imprisonment and the death penalty, attorneys said, is therefore mandatory on the court. Mrs.' Riley was shot to death at the home of her parents here last fall after a discussion which resulted, police said, when Riley attempted to effect a reconcilia tion with her. Carey Thornburg, Mrs. Riley's father, was also fa tally shot and Mrs. Thornburg was seriously wonnded. Riley was tried only for his wife's death. Circuit Judge Wood set 10 a, xn Thursday for sentence." - SITU ROAD SUGGESTED AS TOLL PROJECT One of $15,000,000 Pro gram Discussed at Meet ings Held in Portland State Funds or Credit not Available Says Chief Of Highway Board PORTLAND, Ore., April 19 (AP) A road and bridge con struction program In Oregon roughly estimated by state offi cials to cost more than $15,000, 000 .was given Initial considera tion when the state highway commission and the executive committee of the governor's ad vistory committee on Reconstruc tion Finance corporation self-liquidating projects held separ ate meetings here today. Construction of six toll roads at an estimated cost of $11,500 000 and of five bridges at an estimated cost of $3,400,000 was proposed. No action was yet tak en on the matter, however. The proposal is to build such projects with Reconstruction Finance cor poration funds. Roads proposed under this pro gram Include the Weed-Klamath Falls road, Wolf Creek, Wilson rivr?, santlam, Umpqua and Wil lamette roads. The five bridges wer proposed to take the place of ferries now in use on the Oregon Coast highway. All Financing Would Be Based on Tolls Under the plan as presented to the commission and by the same advocates to the executive committee of the advisory com mittee, cost of all the projects would be paid through tolls, thereby relieving the state from financing and at the same time launching in Oregon a develop ment program which had been urged by Governor Meier. Should the loans be obtained, the state would let contracts and supervise construction. Upstate delegations favoring the various projects would go first to one meeting and then an other. Late in the afternoon the two bodies held a joint meeting for a brief discussion of the pro posed program. Nothing definite (Turn to page 2, col. 1) Aurora Case Expected to Close Today PORTLAND. April II. (AP) -The trial of four former offi cials of the Willamette Valley Mortgage & Loan company of Au rora drew to its conclusion today when attorneys started closing ar guments in federal court here. The defendants. Dr. B. F. Giesy of Aurora, president of the com pany; Zeno Schwab, cashier; Wil liam Phoenix, manager, and Gor don- Watt, attorney, are charged with participating in a conspiracy to defraud through the mail. Belief was expressed that the case will reach the jury by noon tomorrow. The government alleged that the defendants used the mall to transmit worthless mortgage cer tificates as substitutes for good ones. Defense attorneys endeavor ed to show that the substituted certificates were fully protected by the value of the property on which they were based. Kowitz to File Brief in Water Bond Suit Today Chris J. Kowitx, city attorney. win rue mis morning his final Drier in supreme court on the legal phases of the I2.S00.000 water bond Issue annroved br Sa lem citizens December IS. 1931. The bond vote was demurred out of court In the circuit court here And from this decision the city appealed. The suit alms to test the legality of the rote by which the city voted to proceed with the acquisition and operation of a municipal water system. The Oregon-Washington Water Ser vice company is one of the de fendants in the test case. Eowlts win "accomoanv the brief with a motion to the court asking that the time for argu ment be advanced. Development of Columbia Talked BOISE. April 19 (AP) Op ening of the channel of the Co lumbia and Snake rivers for ship ping,, as a huge federal employ ment project, -will be discussed at a meeting in Portland Fri day of three Pacific northwest governors, C. Ban - Ross., gover nor of Idaho, announced .today. . Attending the- meeting, the governor said, win be Governor Julius Meier of Oregon and Gov ernor C. D. Martin f Washing ton. - - Nation Mans COAST LUMBER OUTLOOK Or TWO MOVES Gold Embargo and British Action Against Russia To Help Industry U. S. Position Criticized As not Necessary in European Press SEATTLE, April II. (AP) The abandonment of the gold standard by the United States, coupled with Great Britain's em bargo declared on Russian lumber, was looked upon here tonight in financial circles as giving Pacific northwest lumbermen the hope of increased markets. One immediate business con sequence of the gold standard change, through the enabling of British buyers of northwest lum ber to obtain dollars cheaper in terms of the pound sterling, will result In the opening of an Olym pic peninsula logging camp, and the putting of 150 men to work. The purchase, made by London buyers, was financed today through a Seattle bank, but the names of the logging company and further details, other than that seven or eight miles of logging track would have to be laid, were withheld. LONDON. April 20. (Thurs day) (AP) America's aband onment of the gold standard was a sensation here. While no authoritative voice was heard on what was described as the most Important even In world's economics since Great Britain took the step in 1931, opinions were abundantly express ed In financial quarters. Some of these were denuncia tory of the United States' action, while others were restrained pend (Turn to page 2, col. 3) POLICE RADIO TO Ell ON I FFIDAY Official testing of Salem's po lice radio station, KGZR, can be started at 12 noon tomorrow, under federal radio commission regulations. The transmitter was Bet up at police headquarters at noon yesterday and officials at Washington, D. C, so notified by telegram. Although a 10-day testing per iod Is required. It Is probable that the new station can be used as soon as It Is fully adjusted In calling officers patrolling the city In cars. This is expected to be gin Friday evening. The 50-watt station will be in charge of Don Poujade, licensed operator, with the desk sergeant on duty-doing the announcing. Preliminary tests of the trans mitter indicate that its broad casts will easily cover the Wil lamette valley, contacting sher iffs, state police and officers of other municipalities, as well as communicating official lnforma tlon to the Portland police de partment. Baker Woman is State Leader of Royal Neighbors CORVALLIS. Ore., April 19 (AP) Mrs. Mabel Ragsdale of Baker was elected head of the Oregon group. Royal Neighbors of America, at the state convention which was concluded here today. Mrs. Esta Oler of Corvallls was chosen secretary-treasurer. Delegates to the national con vention elected were Mrs. Auaeiia Glover of Klamath Falls and Mrs. Nellie Redlinger. Mrs. Sarah Pet erson of Salem was elected alter nate delegate. Medford was chos en as the site for next years con vention. Late Sports SEATTLE. April 19 (AP) Adolph Schacht, veteran trainer with .the Seattle Indians of the Coast league, today received. word that ke had been "signed" by the Chicago White Sou and he will leave ' Monday- tor the east. A "Schacht day" will be held on Sat. urday. v-I've been with three er four major league dabs," Manager O sorgo Barns said tonight, "and Schacht Is the . greatest trainer I've ever seen. - .He Is also a boxing referee. Hie salary was reported $5,9 09 a year. off Gold Standard ControMedJnflation Stocks, Commodities Rocket, Sales Boom As Dollar 'Managed' Roosevelt Move Interpreted as Intended to Restore Former Levels; Bonds Decline Temporarily in Rush for Cash By CLAUDE A. JAGGER (Copyright, 1933, -the Associated Press.) NEW YORK, April 19 (AP) With latest moves in Washington interpreted in Wall and La Salle streets to day as indicating determination to restore commodity prices through a managed dollar, stocks and staples boomed. With gold exports definitely stopped, and the dollar de clining swiftly in terms of other leading currencies, there ; - was a rush In the New York stock NOTED on Wheat Most Marked; Milk And Eggs Rise Today Is Forecast Made PORTLAND, Ore., April 19 AP) Either sharp advances in the market or else keen demand for products was noticed here to day, shortly after announcement from Washington, D. C, that the United States had gone off the gold standard temporarily. The advances in wheat all but overshadowed others in import ance, with a resumption of trad ing sales to the Atlantic coast es timated from 5,000 to 15,000 tons. On the Portland futures mar kets advances for the day were 1 1-4 to 2 1-4 cents a bushel with the July and September options scoring the greatest rise. Sales on the exchange amounted to 95,000 bushels, within a fraction of rec ord volume. On the merchants exchange cash wheat advanced 1 cent a bushel and Montana spring and winter wheat were up 3 cents each. Announcement was made that a rise of at least 20 cents a barrel in the price of patent or family flour wiU be made within 48 hours. Opening values on Willamette valley wool were named at an ad vance of 2 cents a pound over the initial figures for 1932. The no- (Turn to page 2, ool. 1) ROOSEVELT RIGHT NEW YORK, April 19 (AP) J. P. Morgan. In one of his rare public statements today, en dorsed President Roosevelt's ac tion In suspending gold exports. "I welcome the reported action of the president," he said In a written statement, "and the se cretary of the treasury In plac ing an embargo on gold exports "It had become evident that the effort to maintain the ex change value of the dollar at a premium as against depreciated foreign currencies was having a deflationary effect npon already severely deflated American prices and wages and employment. "It seems to me clear that the way out of the depression is to combat and overcome tbe dena tionary forces. Therefore, I re gard the action now taken as be ing the best possible course un der existing circumstances." Ml Sales lax Defendei not Populai at SILVKRTON HILLS, April 19 (Special) When M. S. Schrock master of Claekamas county Po mona grange, spoke In favor of the sales tax before ISO members of the Marlon county Pomona grange In session here today, he virtually poked a hole la a hor net's nest for outside of a mere halt doten or so the grangers present were emphatically oppos ed to the sales tax. Mr. Schrock first explained the sales tax and then later asked If anyone present wished to ask questions or com ment and seemingly most every one did. Mr. Schrock endeavored to explain that should the sale! tax be defeated the burden of raising the necessary funds would fall on property, The Marlon county . Pomona grange opened Its session early Wednesday morning and met again after the noonday luncheon 1-and In the evening following sup per at the halL Out of the II granges la the county, only Scotts Mills and BattevlXle tailed-1 answer the exchange, in the Chicago board of trade, and other domestic mar kets, to convert funds into shares and commodities. In the bond market, highest grade Issues declined, as invest ors converted their funds into speculative media to take advant age of rising prices. Other bonds, however, particularly industrial and foreign issues, were mostly strong. The turnover was close to S20.000.000 par value, the largest for any day since Septem ber, 1931. In the share market, prices registered the most sweeping ad vances' since March 15, the day (Turn to page 2, col. 2) E Thousands Expected Here to View Blooms; old Route To be Followed Salem Cherrians' annual Blos som day has been definitely set for Sunday, April 23, it was an nounced yesterday following a check with orchardlsts in the two heavy-blooming areas. King wood and Orchard Heights. The event has in past years attracted as high, as 10.000 per sons., and this year Cherrians an ticipate that tb previous re cord will be broken, given a fair break from the weather. The tine turn in weather con ditions yesterday and promising barometer readings determined the definite date for the coming Sunday. Cherry blossoms in the Rosedale district are already out and prune buds are swelling up and will be In full blossom by Sunday, with milder weather prevailing. The usual Blossom Day route will be followed again this year, and the linen mills, state insti tution grounds and chamber of (Turn to page 2, col. 7) Yankee Sailors In Trouble for Taking Pictures TOKYO, April 20 Thursday (AP) A Rengo (Japanese) news agency dispatch from Mukden, Manchuria, today said a Japanese detachment of Chinwangtao last Sunday picked up two American sailors whom they alleged they fonnd taking pictures of Japanese troops. According to a Japanese mili tary report, the sailors were re leased Immediately, but the cam era was retained. Japanese offi cers said the camera will be re turned shortly snd the affair set tled without difficulty. Grange Meet roll call. The fifth degree was conferred on a group of candi dates at the morning session and Mr. Schrock gave the obligations. i Mr. and Mrs. Schrock and Marie Flint MeCalL state lecturer were introduced at the morning ses sion. Memorial services were held for Elisabeth McKay of Surprise grange, Fred Wlntermantle ot Ankeny, Milton Brown of Salem, James Kenyon of Butteville, Mrs. Rogers of Woodburn and Clara H. Waldo of Maeleay. Mrs. J. T. C Tekenburg of Maeleay read a paper In tribute to Mrs. Waldo. The resolutions committee com posed of Seymour Jones, O. W. Ferris and O. D." Bowen Intro duced . eight , resolutions which were all aeted upon ' favorably. They pertained largely to grange matters and the endeavor to cur tail grange expenses. F olio win r the noonday lunch- un th twtiira hour vti held during which a vocal solo was giv- j en by Roswell Wright of Ankeny (Tarn to page S. eoL'l) 4 UMDAYTOB SUNDAY 1 ROOSEVELT IB, . ASK AUTHORITY FOR EXPANSION Stocks, Commodity Prices Shoot Upward as Dollar Falls on Exchanges Impending Economic Parley Figures in Discussion Of Federal Policy WASHINGTON, April 19 (Ap) In a day of historic finan cial action. President Roosevelt moved boldly forward tonight for controlled Inflation on sn Inter national scale. He swung the United States off the gold standard in world trade as an opening shot and tonight sanctioned legislation giv ing him broad authority to carry through his program to lift Am erican prices, stabilise the world exchanges on a revised gold bas is and expand the use of curren cy. The swiftly executed maneouv ?rs by the confident president brought a turbulent reaction throughout the world. American stock and commodity prices shot uti-rn. ,n aoiiar fell off la the world exchanges. Wall street quotations on foreign currency rose spectacularl. Adrfeors Called In To Talk Procedure Quietly pointing for his next plays in the complicated field of international finance. Mr. Roose velt called in advisers tonight to outline procedure. From capltol hill came a bill by Senator Thomas (D. Okla.) extending to the president auth ority to Issue new currency, to modify the gold ratios and con tent of the dollar and to estab Hsh a dollar stabiHration board. It was understood Mr. Roose velt gave his sanction to the measure although further details are being worked out To speed action, the proposal probably will be submitted as an amendment tomorrow to th ending farm commodity bin. Genomic Parleys Al-o are Talked For an hour and a half to night, the president went over the general program. Including the forthcoming economic par leys, with Secr-tary Wood In. Un dersecretary Phillips and Assis tant Secretary Moley of the stated department. Director Douglas of the budget. Chairman Pitt man of the senate foreign relations committee, and Senator Byrns of Ro"th Carolina. Secretary Woodin, who said late this afternoon that Issuance could he made tonight of regula tions under which gold exports would be prohibited, but the shloment of ear-marked cold p?r m'tted. announced after the White House meeting, the regula tions were not ready. The secre tary did not Indicate when they would be made public. In his first move, the president adroitly put himself Into a posi tion to negotiate for a revised world gold standard by withdraw ing support of the American dol lar In foreign exchanges to com bat the depreciated currencies at the foreign nations now off Uw standard. He has tn mind bringing all na tions back to the gold Btandard at a measure of stability but he It considering a new standard wh-re-Jy the present ratio of 40 per cent gold reserve ror currency would be reduced. He will Insist upon common ac (Turn to page 2, col. S) The Day in Washington (By the Associated Press) President Roosevelt with drew gold support for Asaeri caa dollar la foreign exchangee which Secretary Woodia tater- preted aa temporary swapenatoai of gold standard. Governors ot 12 federal re serve banks studying mesne et putting idle currency In circula tion reported promising outlooks to Secretary Woodia. Senate voted smgar case and beets Into fan bill and took at poasmts. Rons banking committee re ported $199,000,999 senate bill for relief to states. - 1 Presidet . Roosevelt kept t White Hows stady with a alight cold. House military committee an- I proved administration plan fer : Tennessee .Taller development. , h