f - v, M CIRCULATION ! ; : THE. WEATHER , . 'f i,Oold, Uiowers , ,or snor f : flnrriet -today and Bunday; Max. Temp Friday' 42 MIb; 1. rlTer 5,4 feet, rala Ji J Inch. Soatheast -wind..." " IP DistrlbaUoa Average . Not. 33 ; 7622 .Net paid, daily, Sunday, 723 2 EIGIITY-THIRD YEAR Salem, Oregon, Saturday Morning, December 16, 1933 No. 221 BTIGEFOR, EDUCftTlOg Well Founded Report Says . Kerr4 Will End Service .-" About June, 1934- Probe of Morse to be Mere ' Gesture; Harmony Held Current Objective - By SHELDON F. SACKETT ---An armistice has been called ln ' the Held of higher education In Oregon If one tan fully acredit re- -. ports seeping Out to the- news . front In the last fortnight. Nor is this cessation ol hostilities the t calm before a neir battle, anthori ties declare. ': - ' ' Rather the yarlona factions in the flareup of six weeks past are reported to be In substantial agreement on these points: , 1. Dr. W. J. Kerr iriU termin ate his terrice! as .chancellor of higher education on or about June SO. 1934. 2. No extensive Inrestlgatlon will be made by the state board of. education Into affairs at Eugene. J. A casual checkup of Dean Wayne B. Morse may be made meanwhile and his wrists slapped, : His remoTal froin the Eugene tac " nlty Is not contemplated. ; 4. Quietly th8 board win at once start the quest for an out-of-state man as chancellor, his services to begin the school year of 1984-35. 6. There will be public com? mendatlon by the hoard In dne time of the work ' of Dr. Kerr. In no sense will. his retirement be . held an ouster. . Governor JuUqs L, Meier will , be in no hurry to appoint a suc cessor to Roscoe Uelson, resigned board member. v ' 7. During the armistice period disgruntled Eugene townsmen and faculty members will keep silent and. work for a successful school year,193S-34. . '; Confirmation is JPot ' Possible at Present These conclusLon-ar e not . the result of gn esses, but neither can they be confirmed by statements -from board members. Following ' the lead of Vice-Chairman Willard Marks,, board of higher education .- members are keeping mum and trying to keep the higher educa tional controversy out of the press. Nor has Chancellor W. J. Kerr made any public statement on his position since his declaration that he would not resign under fire. It Is certain he has not ratified the : proposed armtlstlce by submitting a written resignation.-.' ' But the verified facta remain that the armistice above outlined . Is in effect. One notes how qniet higher educational affairs were, kept in the special session. There - was not a peep- on the floor of either house about them. No bills dealing with the vexing higher educational ,. system were intro dueed. ' - While .investigation of Dean Morse, as ordered by the board, is still the order of Te day, George Macleod, who heads the investl . gating committee, has been In no harry to pnsh the matter through. It Is definitely establlsed that Eu gene faculty members have been consulted' and that their respon sible leaders have agreed that all would be Quiet on the Eugene see- tor if new deal would result by next school year - No one,: having witnessed the shuttlecock affairs of the board of - higher education,' can predict la December what the group will do . In May. The peace-at-any-price negotiations may by then be thrown to the winds. Dr. Kerr has ' hundreds of friends urging him to stand by the ship until be is re moved as. captain; a situation Ms - snDDortera think will never oecnr. Dut all patties in the higher edu- . cation 1 mlxup are in essential nrreement ; that constant, - open, bitter warfare hurts the entire " higher educational system. Thus the armistice and stalemate now effective.- :. . irLLWRiGirr silled . i , V BEND, Ore., Dec.; 15. . (P) BJalmar Hill, 43, a Portland mill- . wright, , was .fatally injured., last .'night when -his automobile orer turned on The Dalles-California highway south of here. BUY CHRISTMAS SEALS 1 SEOPHKQ DJOTS to anusTJiAS Four M il l ion Placed On Jobs Under Civil Works Plan.: Claimed Goal Reached Declares hollowing orate Reports; Cheese "and Lard Purchase for Needy Planned WASHINGTON, Dec. 15 today by the civil works to give employment to 4,000,000 persons on public projects. Harry L. Hopkins, the the goal had been reached through the day-and-night co operation of state and local boards and their associates. LINDBERGHS READY E I Will Leave Santo Domingo This Morning; Havana Stop Not Certain SANTO DOMINGO. Dominican Republic, .Dec 15. (A) Col. and Mrs. Lindbergh, 900 miles from the United States, were entertain ed tonight by H. P. Arthur Scho- enfeld, the United States minis ter, and planned to leave at 7 m. tomorrow en what will probably be the last leg of their homeward Journey. They arrived-In their hydro- monoplane at 10:45 a. m. from San Juan, P. R., 300 miles away after a two-hour flight. Mr. and Mrs. Schoenfeld greet ed them at San Pedro de Marcois. the Pan-American airways har bor, and brought them into the capital where they called on President Trujillo at the palace. It was considered likely the would make their flight to Miami by way of Havana. Whether they would land in Cuba was not Indi cated, but the regular airways route across the Caribbean in cludes stop at the Cuban cap ital. San Pedro is on the southern coast of this republic. They alight ed there because-of the good air port and facilities. The Lindberghs took off from the harbor at San Juan at 8:50 m. (E. S. T.) They were the guests overnight of Acting-Gov ernor Benjamin J. Horton and Mrs. Horton upon arriving from Port-of-Spain, Trinidad. GUY FITCH PHELPS CALLED AT AGE G2 BOISE, Idaho., Dec. 15. (JPi Guy Fitch Phelps. 62, of Wash ington, D. C., author and lecturer. died here today at the home of his sister, Mrs. Frank Colthorp. Author of a number of novels, serials and books of poetry, Phelps had a reputation extending not only through literary circles' In America but to France. In Paris after he had served with Ameri can troops In the world war, he was lecturer on classical exhibits In the Louvre museum. Born In Coyville, Kan., he came with his parents to Idaho, grow ing up In mining camps and on cattle ranches. He is survived by five children. Gene, Savilla, Joyce and Kathleen of Salem, Ore., and Naomi of New York; two brothers, Eugene - C. Phelps of Mountain Home, . and Wayne U. Phelps of Tillamook, ore., and his sister here, Funeral arrangements have not been made. Late Sports CORVALLIS,. Dec 15. ftp) The Oregon State college basket ball team had little trouble in de feating Multnomah "club of , Port land, 44 to 22; In their first game this season here tonight. The .Orangemen, with tour lettermen in Jthe starting lineup, led, 26 to 6, at half, time, and held' a 20-polnt lead most of the way through the game despite a rally by the visitors at the start of the second half. - - PORTLAND, . Dec. 15. UP) . Displaying some ' of the best hockey seen by Portland fans In years - the Portland Buckaroos de feated the Vancouver Lions, S to 1, in their northwest- professional hockey league game at the. coli seum here tonight. - ; - NEW YORK, Dec 15. WP) Tony Cansonerl, New Pork's light weight . Idot, kept" his ; winning streak- intact tonight as he gate Cleto Local elll, European cham pion, a fierce J : beating In ' 10 rounds, but try as he would, he couldn't put away jLhe gamest little foreigner the faithful have cheered in a long, long time. . Tony. won an easy decision, but all the cheers of a erowd of 1000 went to Cleto, lantern.. Jawed, hawk faced warrior from the land of Cansoneii's antecedents, mak M L6 Administrator Hopkins (AP) Success was claimed administration in ite effort administrator, told . reporters His statement, Hopkins ex plained, was based on telephone reports rxom state leaders con cerning the ambitions effort which started a month ago. To morrow was the deadline set. It also was made known that the federal surplus relief corpor ation, which Hopkins heads, plans to spend approximately $3,000,000 for cheese and an nrt- determined amount for lard lor distribution to the needy unem ployed. Butter purchases are al so contemplated. Families still on relief rolls were estimated by Hopkins at 1,600,000, but he said the exact number would not be known un til state administrators report In January. Hopkins said he could give no definite employment figures eith er for individual states or for the country as a whole. The drought areas In the west and the tier of states along the northern section of the country were permitted to exceed their quotas on the theory that wea ther conditions would prevent them from carrying on work as steadily as farther south. Plans for the employment pro gram provided for taking . Z,- 000,000 men off relief rolls and 2.000,000 from the United States unemployment service lists. ARE UNIMPORTANT Cooperation in Wagner Law Not Necessary Now is Meier's Attitude Three measures were vetoed yesterday by Governor Meier, none of which was considered a major enactment of the special session. Disapproval was given house bill 102, by the unemployment committee, providing foe the co operation of the state with the federal government in the estab lishment of employment offices. "The Wagner bill; which Is the federal act referred to in this measure, provides that In the con duct of the employment offices established thereunder SO per cent of the financial support shall come from state or local sources, the federal government providing the remainder. The Wagner bill is so drawn that the state is not required to provide for coopera tion until the first regular legis lative session after June 6? 1933, the governor said In his veto mes sage. "While I am entirely in sympa thy . with the provisions of the Wagner bill, I feel that the pres ent need is being met by the na tional re-employment service without cost to the state and that acceptance of the terms of the Wagner bill can be deferred un til the next regular legislative ses sion. -.- - ' Senate bill 65, by the banking committee, to regular the garnish ment of banks and trust compan- - (Turn to page 2, cot 2) - VETOED FLOODS DEVASTATE NORTHWEST TOWNS AND , r ' ; .- . .. . ii 1 I .; ft ( T $ . , " .. ..... ' ::, t ,- . n H -:: ; ' " ; v- .v.-' jl .. . N . - - : I? . , J; At left, an aerial view' cnhflWbite River Valley, Washington (left), . which was Jnnndntcd when a severe storm sent the river rushing from Its banks; The town of Kenton, Wash, in the background, was tit the path of the flood. The new S300.000 Longacrea race track r la shown almost completely submerged. Thousands of acre of farm -land and homes were under 10 AFFIXES gU Effective at Once, Stores May Not Be Opened Till ; V New Year Starts r All Bills Signed or Turned Over to Hoss Excepting Three Given Veto All bills which passed at the special session had , received the governor's signature or had been passed to the secretary of state without signature by last night save three measures which Gover nor Meier vetoed. The Knox liquor control meas ure became effective at once yes terday when signed. It gives the state complete control over all phases of the liquor business In Oregon. While the state liquor commission has already been named, it was -considered unlike ly yesterday that it would be ready to put the measure Into effect before the turn of the year. Governor Meier affixed his signature to an accompanying li quor bill, b7 Beckman, imposing a privilege tax on the manufac ture and distribution of bever ages of not more than 14 per cent alcoholic content. The tax amounts to 62 cents a barrel on beer up to four per cent by weight, to $1 a barrel on beer over four per cent, and 25 cents a gallon for wine. . - The sales or privilege tax bill received favorable consideration by the governor. This law pro vides for a 1 per cent gross tax on all retail sales of personal property and utility services. All revenues derived from this act will go Into a fund for the relief of the public schools. Officials declared that the operation of this law would return to the state approximately f 4,600,000 a year. The act will remain in operation for a Period of two years. The bill was introduced br Renresen tative McPhilllps and was one tt the most controversial Issues of the special legislative session. The governor also signed house bill 14, by Abrams, author (Turn to page 2, col. 1) Governor Meier Friday night announced the appointment of the three members of the so-called Btate milk control committee, cre ated by an act of the special leg islative session. Members of the commission are E. G. Harlan of Eugene, repre senting the first congressional district: Burge Mason of Klamath Falls, of the second congression al district, nd O. M. Plummer, Portland of the third congression al district. Plummer has been manager of the Pacifle Interna tional livestock exposition for many years. The commission has authority to fix milk prices, regulate the milk Industry, and provide me thods for disposing of surplus stocks. The measure was introduced bv Senator Ireland of Washing ton county and' later was sent to the senate agricultural committee which conducted a number of public hearings. The bill was op nosed by the chain stores and several groups of Independent dla- distrlbutors. - water in westers Washington v. J THREE NAMED ON MILK COMMITTEE Youth Arrested In Lynch Probe .i ii.H ' -.. . . .: . t -:-. . t. ,:- i : -a i j i - " - ' , :. Y - I ' V- A- v - -f f : . r , ITfl yf iA. L J Hero or slayer. Just as yon look at ft. This la Anthony Cataldl, who . has declared be led the mob that Ijnched Jack Holmes and Thomas Thurmond, kldnap-er-sayers of Brooke Hart at San JToee, CaL Cetaldl, arrested In the lynching cae, has been promised pardon by Governor Rolph If be Is convicted. Norblad One of Speakers at Christening Today in Bremerton Yard BREMERTON, Wash., Dec. 16. JPi The 10,000 - ton cruiser Astoria, newest addition to Uncle Sam's fighting forces, got her first taste of salt water today when the giant building dock at the Puget Sound navy yard started filling in preparation for tbeahip'i chris tening tomorrow. ' 2- Closed; before JinfflcUnt water enters the dock to float the ves sel, the valves will be reopened at 2 p. m. tomorrow and the big fighting craft wilHlft herself from the supporting blocks. At the ship floats free, Miss Leila C. Mc Kay of Portland, Ore., will chris ten her with the first bottle of champagne to crash against the bow of a United States battleship in more than 13 years. Miss McKay, sponsor of the (Turn to page 2, col. 4) LIQUOR PLAN FAILS OLYMPIA, Wash., Dec. 16. (JP) Following a two hour argu ment tonight senate liberals lost In an attempt to amend the Steele liquor control bill, to allow the sale of 22 per cent drinks by the glass In hotels, restaurants, clubs and on trains, boats and planes, Only 10 votes were cast for the amendment, redrafted for the liquor control committee and pre sented by Senator Garrett (D Pierce). Opponents mustered SI votes. Meanwhile, in the house liquor control committee, another at tempt was made to postpone con sideration of the tame measure, but after more than hour of fili bustering. Chairman J. T. Ledger- wood, (D., Garfield), managed to maneuver the bit linto a position ior reaoang. CRUISER ASTORIA TO BE LAUNCHED HIGHER PERCENTAGE At the right fa a scene on flooded Lincoln avenue,' in Tacoma, Wash. Huadreds of families were rendered homeless, bridges were swept away aitd property loss reached nearly 4, OOO ,000 after six days of imprecedeBted rata cowpled with sttddenly meltinir snew la the Cas cade Udvntains: Many Tacoma sections of the city were under six T LOOSE BY Jul No Trace of Mob as Sheriff Answers Summons to Take Body Away Youth of 20 Charged With Attack on Girl of 11 Is Not Indicted COLUMBIA, Tenn Dec. 15. Upt The body of Cord Cheek, 20 year old negro whom the. grand Jury refused to indict after his ar rest for an attempted attack on an 11-year old girl, was found bang ing from the limb of a tree near here tonight. . Sheriff Claude Godwin said the lynching was "handled In a very quiet manner" and that "no one knew anything about it." The sheriff said he received an anonymous telephone call that he could find a "dead negro at the forks of the road" In the Glen dale section of the county and to "come and get him." When Sheriff Godwin arrived the negro apparently had been dead only a short time, the offi cers said, but there was no trace of those responsible for his death. The alleged attempted attack on the child occurred In the Glen dale section about a month ago. Cheek was arrested and taken first to Pulaski and then to Nash ville for safe keeping. But the Maury county grand Jury Wednesday refused to return an Indictment, Sheriff Godwin said, and orders were sent to Nashville to release' Cheek. DABS MEET TO 1 Clearing Charge on Checks Mainly Considered Sixty bankers from Clackamas, Polk -and Marlon counties gath ered at the Marion hotel here Fri day night to hear, provisions of the pending NRA code for bankers explained. Joseph Keber of Mt. Angel, president of the Marlon County Bankers' association, pre sided. The principal speaker was John Ferguson of the First National bank of Marshfield. He explained the operations of a check clearing charge made by Coos county banks for the last eight months. A sim ilar charge Is to be made by all Oregon banks beginning January (Turn to page 2, coL 1) Auto Tax Moneys Allotted County For Road Upkeep Marion county yesterday was sent 151,697 from the state, the sum constituting Its share of the second halt of 1933 receipts un der the state motor vehicle act. By law passed at the 1233 ses sion. 11,800,000 of state high way funds are apportioned se annually to the counties Yes terday's remittance constituted the second payment of the Tear to this county. The moneys go into the county road fund and provide much relief for real prop erty la the maintenance and con struction of county roads. COUNTRYSIDE homes were inundated and whole feet of water as result of overriew ID D M Fayiiients Siriill Pffltlat OnOrii Light Snowfall Failsr to Deter Holiday Buying viiirrles of snow which melted when they struck ground yester day afternoon In Salem did not deter 'a brisk Christmas ; trade which prevailed . throughout the downtown district. Considerable was experienced. The weather was sharp hat the thermometer stood several Several degrees above freezing. A possibility of snow was Indicated in weather reports. The slight storm brought great activity among the squirrels In Willson park which were busy throughout the afternoon taking stacks or leaves to trees. Caretak ers have helped these statehouse pets by constructing several wooa en houses which are lodged in numerous trees M about the park grounds. OLDWlET McKay Welcomes; Dubach Is Principal Sueaker at Opening Banquet Appealing to 90 high school youths from various parts oi Oregon gathered in tne uuwng room of the First Presbyterian church last night for a banquet meeting, to be not too quicx to condemn and overthrow Am erican institutions. Mayor Doug las McKay welcomed the Willam ette Valley Older Boys' confer ence to Salem, and was enthusi astically received. The ' address of the evening. give by TJ. G. Dubach, dean ot (Turn to page z, col j Fred Kiddle Is Governor Early Today Fred E. Kiddle, state senator from LaGrande, Is acting gover- . . nor of Oregon toaay ana unui Julius L. Meier returns from Cali fornia for which he left by train last night Under the Oregon law, as soon as Governor Meier crosses the sUte line at Klamath Falls at 7 a.m. today, Mr. Kiddle, pre sident of the senate, becomes act ing governor. Mr. Kiddle is in LaGranae to day but expected to return to Salem tomorrow to serve during the absence of Governor Meier who will be in San Francisco un til after Christmas. Mrs. Meier accompanied the governor on his trip. Earl Snell, speaker of the house, left Friday night for his home at Arlington, lie will not return- to Salem until the house Journal is ready for his signature. son ISAITO IS SELECTED J TOKYO. Dec 16. (Saturday) (p) Hiroshi Saito, Japanese minister to the Ketnerianas, nas been selected as the new ambas sador to Washington, the Associat ed Press learned today. Saito is the present Japanese minister to the Netherlands and 4 former Japanese consul general in New York. He would succeed ex-Ambassador Katsujl Debuchi, who has Just returned to Tokyo following upon bis resignation at Washington. .r ' :'; Salto's name had been promin ently mentioned, in the Japanese press as the government's likely choice for the post,, but no con firmation had proceeded from of ficial sources. - ; BUI Permitting1 Sub-Par Sale of Bonds is Signed ' The Abrams bill permitting eit- ies to sell their bonds for. less than 95 per cent ofjpar ralue was signed by Governor Julius tL Me ier yesterday.' Such sales must be confined to bonds used to buy ex isting "utility plans .where federal moneys tor improving the plant can be obtained. - v - . . . ? The new law, while not .desig nating Salem specifically, is so re stricted it .is thought few 'cities other than Salem can utilise the enactment which goes' out of ef fect in 1SJ. -Liocai Danes in tne main op posed the bill, holding It would weaken the . market for Salem's till 1 1 ion to Insist ginal Amounts , - : y L: France Defaults Again And Claims Status Much Changed Finland Only Debtor To Pay in Full; Tokens Given WASHINGTON, Dec. 15. () , Despite the collection of only $8, 895,123 of the 6152.000,000 due. today on war debt payments, the United States was said authorita tively not to have changed Its at titude that full repayment of the loans should be made. It was made known in highest quarters that the position of this administration had not altered in the slightest and that it still con sidered war debs and German reparations to be entirely separ ate questions. This explanation was given af ter France, one of the defaulting nations, had informed the United States in a note that it considered the Hoover moratorium and the Lausanne agreement had brought about changes that necessitated new arrangements before war debt payments could be resumed. President Roosevelt was said to hold the view that the United States was not in any way bound by the Lausanne agreement, by which European nations agreed on reductions in German repara tions contingent on a scaling down of American debt payments. The' United States did not sign that agreement. Belgium, another defaulting country, as well as France, linked reparations with war debts and contended they were unable to pay more until Germany made repara tions payments to them. The treasury announced to- night the receipt of 28,89 5,123 . in paymehts'from six nations.'" All payments were made at tne New York Federal Reserve bank except in the case of Lithuania which paid at the treasury. The amounts: Great Britain, 67,500. 000; Italy, 61,000,000; Finland.' 6229,623; Czechoslovakia, 6150, 000; Latvia, 68500; Lithuania, 67000. Finland's payment, the only in-, stallment in full, consisted of 6209,000 of 6 per cent treasury bonds which were accepted at par, 61567.50 accrued interest there on and cash of 619,055.50. More Men Given CWA Jobs Here; Payroll is High One hundred more men throughout- the county were as signed to work yesterday on CWA projects by the Marion county reemployment office, 250 Court street The men will work on pro jects approved by state CWA, headquarters Wednesday. More, men will be placed today and by the fore part of next week 2400 men are expected to be on CWA projects throughout the county. The payroll for CWA workers today will exceed 610,000. (Work ers will be paid tor all time put in up to Thursday night of this week. World News at : a Glance (By the -Associated Press) Domestic: i. ' r. ' WASHINGTON. Treasury de-' partment asks congress to ease tax burden on small Income earn-" ef and to plug loopholes Open to wealthy." sJ'J'sirL ' WASHINGTON. Import on eta' for French wines ., increased:; as" France reciprocates on American products; , government opens new drive against ram runners. WASHINGTON Treasury moves to simplify federal-state tax setup on national basis. . ' " NEW HAVEN.' Yale econom ists call for speedy return to tree gold - standard, foresee "disas trous results from present mone tary policy. -yv?r ' " WASHINGTON. Civil works administration says it has attained goal oy putting 4,000,000 to work. , i CHICAGO. "Torch, slaying; climaxes quarrel over a woman. ; MEM PHIS-Ex-Eenator ..James A. Reed of Missouri, honeymoon ing with the former Mrs. Nell O. Donnelly, assails , the "new deal? NEW. YORKrfGary Cooper: ot the films marries Sandra Shaw, of ParkV avenue and the films. ': . r : WASHINGTON. Federal Lbank deposits insurance lawready for operation January 1 ; president asks Indulgence of congress dur ing trial period. 3 Foreign: : PARIS. France, Poland and three Little Entente nations agree to unite against German rearms- ing hit Am&sJtan debut. obligations.