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About The Oregon statesman. (Salem, Or.) 1916-1980 | View Entire Issue (June 18, 1935)
FIRST IN SPORT Morning -newspapers al ways ; lead la sports news ad The Statesman Is no ex ception. Read the sports news while it Is fresh. THE WEATHEK Cloudy today with rata by tonight, Wednesday as settled; Max. Temp. Monday 77, Min. 48, river -.4 foot, changeable winds, clody. FOUNDEP tdSl EIGHTY-FIFTH YEAR Salem, Oregon, Tuesday Morning:, Jane 18, 1935 No. 71 1! Jap anese at Tientsin If, ill 1011 TODAY Election, of Officers Will Be Final Event; Large Crowd at Sessions Pensions Talked; Changes in Banking Laws Given . Carefur Scrutiny - -I . y - . .- Election f ... officers for , , the uregon Banters' association will bring the 30th annual convention of that body to a close this noon. Last night 268 bankers, their wires and friends enjoyed the an nual contention banquet at the Marion hotel, at which Dr. Bruce Baxter, president of Willamette university, gave the feature ad dress. Eugene Courtney, The Dalles, was ttiastmaster. Yesterday morning's sessions were crowded with -eports and addresses, and the afternoon was' given over to social events and golf. In the men 'a golf tourna ment, complete results reported elsewhere, C. E. Johnson of Canbjr took the silver trophy cup for low grosav and Frank McGarvey of Bend the silver trophy cup for low net. A plan for old age retirement or pension for employes of the banks which ar members of the state bankers association "was en dorsed by the association execu tive council at a meeting Sunday night. McGarey of Bend was chairman of the insurance com mittee presenting this report. Changes in Banking Laws Get Attention A thorough review cf the pajt year, including a study of changes in banking laws, was given yester day morning by Frederick Green wood, of the Bank 6 California. 'Portland, in his address as presi dent of the state linkers. Both Greenwood and T. P. Cra mer, secretary of the association, laid stress upon the need for bankers to attef '.ore; o . the public .relations phase of their business. Greenwood tduched briefly in his report upon the na tional banking act now 'before congress, and indicated his belief that the need Is for s fnrther e moval of the Federal Reserve sys tem from governmental influence, rather than bringing It more closely under govern n-ental con trol which the banking ct as now drawn up apparently wi'l do. I Cramer in his report, gave full praise to the work of the state police 1r -pprehending, in the past year, robbers of th- banks at Oakland and Redmond. A highlight of the morning session Monday was a careful study of the national banking act of 1935, now before congress, pre sented by Albert C. Agnew, coun sel of the Federal Reserve bank of San Francisco. Agnew present ed salient divisions and amend ments to date of the act, offering non-partisan argument pro and con for such steps as are propos ed, but gave no personal opinion on relative merits of any or all of the act, except to say that en actment of that section which deals with federal reserves would bring fundamental ebanges to the banking system of the country. Schramm Is Praised For Administration Agnew, before expounding -the proposed bank act, paid high' tri bute to the "earnest, able nd ef ficient" administration of A. A. Schramm as state superintendent of banks, . - , - ' Other features on the program yesterday morning were an ad dress by Russell G. Smith, cashier of the Bank, of America. San Francisco, on 'Merchandising a Bank for Profit; report of D. W. Eyre, state treasurer; welcoming (Turn to Page 2, Col. 7) Hundreds of children flocked to Salem playgrounds on the opening day, yesterday, and many enjoyed first plunges of the season in the swimming pools. Gurnee Flesher. Leslie field director, is serving as ' recreation superintendent in the absence of 'Vernon Gllmore. who for eight days will be attend ing a Red-Cross lifesaving school. Flesher will be at the playgrounds office, 434 North High street -from 10 to 11 a.m. daily.,. While instruction in swimming, tennis and music will be started at a later date, . the playground programs at dinger and Leslie field will jetart at 10 a.m. each day with supervised play until noon in sand boxes, slides, swings, croquet and. ball games for chil dren up to 10 years, - dancing, tumbling and rhythnv activities. Professor R. W. Hans Seits ba been appointed to direct the mu sical division of the program. He will form an orchestra, a chorus and conduct classes in music the ory.' He said yesterday he would meet with persons interested at the Leslie building at 7:30 o'clock tonight. - - PUDS HAVE crowd it on Worn led 0 ver A bsence Oj Chinese Negotiator Warn of Complications if Demands are Not Carried Out Promptly; Withdrawal of Native Troops Proceeds Rapidly TIENTSIN, China, June 18 (Tuesday) (AP) Japanese military leaders today voiced concern over the continued absence from north China of General Yo Hing Chin, Chinese war minister, saying complications might result if the Chi nese are slow in carrying out Japanese demands. While the Japanese were expressing anxiety here, the scarth named on Refunding Note Issue Sold; Bollman and Inglis are Elected at Dallas SILVERTON, June 17-(Spe-cial)-W. P. Scarth, lone candidate for the vacancy on the Silverton school board left by Dr. R. Klein sorge, who did not seek reelec tion, was sworn in office here to night after election board an nounced he had received 64 of the 66 votes cast The other two bal lots were thrown out The board reelected Merlin Conrad chairman and Superin tendent Robert Goetz clerk. . To the Coolidge & McClaine bank was awarded the $40,000 district note issue refunding a like issue bearing 6 per cent. One- half the new issue bears 3 and the other half 3 per cent mean ing a saving in the next year of 11200. . Two teachers were elected, Ste ven Butler, University of Califor nia graduate, to fill the music di rector Tacancy left by the resig nation of Calvin Storey, who went to Chehalis, "Wash., and Harriett Smith of Ashland, to take the place formerly held by Ruth Scott in the Eugene Field school, But ler has tor several weeks been ' guest at the E. O. Minor heme here. DALLAS, June 17 The Dallas school district chose two new di rectors here today with 544 citi zens turning out for what proved to be a most closely contested election. Dr. L. A. Bollman led the ticket with 391 votes and J. A. Inglis came second with 257. C. L. Cryder, incumbent, polled 146 votes, and A. B. Starbuck, other member standing for elec tion, received 152 votes. G. H. Kurre won 127 votes. The district approved a special levy of $9501.57 by a vote of 226 to 151. The increase was said to have been caused by a larger num ber of pupils in attendance at the (Turn to Page 2, Col. 1) NON-HIGH DISTRICT VOTE NOT COUNTED Outcome of the vote yesterday for a member to the non-high school board from 27 rural schools in the Silverton area will not be known until today when the ballots are tabulated at the office of the county school super intendent. - This sone, number four, was the' only one voting yesterday. Ernest Werner, incumbent, was up against A. E. Kinsey in the ballot and advance data pointed to a close race. Under an amendment enacted at the last legislature, candidates for the non-high school board are elected from within the zone they represent and by that tone only. This changes a previous situation whereby it was possible for one cone to name the member sitting on the board as ' representative from another zone. - This latter situation actually has occurred in the county in prior elections. Strikers Lose But Are Allowed P ickets PORTLAND. Ore., June -Striking lumber workers today lost a circuit court fight for an Injunction to halt law enforce ment " officers from dispersing pickets at the Bridal Veil lumber nlant. and then were granted per mission by officers-to "peacefully picket" A pair of pickets was station ed at the mill gates Immediately and tonight, the. sheriff's office said there had been no complaints concerning conduct of pickets. The 'first concerted move -toward attempting general reopen ing .of strike-closed lumber .mills in Portland was made tonight when nine mills advertised in a Portland newspaper inviting ap plications for jobs. "The undersigned mills are now open' to applications for all posi tions," the notice said. "Former employes will be given preference and may apply in person, by tele phone or letter." The mills were Clark & Wilson general was in Nanking, spending both night and day in conference with the highest national govern ment officials, presumably about the situation here. Although Nanking officials de clined to reveal the nature of the conversations, it was believed the whole situation resulting from the imperial government's de mands in North China was being thoroughly discussed. In event of untoward inci dents here, In the absence of Ho Ting Chin, the Japanese said they will have no one with whom to negotiate. The Chinese troops continued to withdraw in great numbers (Turn to Page 2. Col. 2) Hi' LONG "SHE W1TH1PURNED Seen as Presidential Boom; One Unidentified Solon Apparently Joinsln WASHINGTON, June IT.-ffl- Senator Long's "Share the Wealth" program was drowned under a chorus of "noes" in the senate today after the Louisianan apparently seeking the founda tion for a presidential bid had offered it as a substitute for the Roosevelt social security plan. . Point by point, Long sought to match his proposal against thai of the administration. Morethaii one of his colleagues asserted privately that the southerner was looking toward 1936 in so doing. It was the first time Long had been able to get it officially be fore the senate. And it did not stay there long. As soon as he had concluded his explanation of the plan the senate voted. There was no re cord ballot, but apparently one other senator, who could not be identified from the gallery, voted with Long. The senate also rejected with out a record vote an amendment by Senator Vandenberg (R-Mich.l to permit tariff Increases to com pensate for increased costs of production under the heavy taxes provided in the administration bill. The Louisiana democrat's pro gram in brief called for sizeable pensions to all people over 60 years of age with, an income of less than $500 a year and prop erty valued at less than $3000. He proposed to finance it with a capital levy that he estimated would raise $165,000,000,000 and whittle private fortunes down (Turn to Page 2, Col. 4) Application for Leslie Project Loan Due Today Application papers, for a PWA loan for construction of the pro posed addition to Leslie junior high school probably will be tak en to the state public works ad ministration offices at Portland this afternoon; Lyle P. Bartho lomew, architect, and School Clerk W. H. Burghardt's - staff hoped to complete the application data this morning. Bartholomew last night had not completed the revision of cost es timates. A year ago the project was estimated at $65,000. in Court Lumber company," Inmaa-Poulsen Lumber company, Jones Lumber company, Ralph L. Smith Lumber company. Eastern & Western Lumber company, Multnomah Lumber & Box company, Portland Lumber mills, West Oregon Lum ber company and Southeast Fort land Lumber company. , The action was similar to that of the Long - Bell . and Weyer haeuser mills at Longview, Wash., which recently published announ cements that they had closed their payrolls and were paying off, the men. . ,, - 'v. The anion's appeals for a tem porary injunction to restrain county and state officers from in terfering In the picketing of the Bridal Veil mill on the Columbia river was denied by Circuit Judge James W. Crawford, but Sheriff Martin , T. . Pratt, of Multnomah county, announced Immediately after the decision that with union assurance that peace will be main (Turn to Page 2, Col. 2) BONDS IS S OLD IT GDDD RATE Premium of $3.70 OffeTed Along With Interest at 3.25 Per Cent Consolidation of Traffic Regulations Adopted After Long Delay The City of Salem's- debt re funding program moved- a step nearer completion last night when general obligation bonds totalling 173,000 to replace an equal amount of 6 per cent Bancroft bonds, were sold at a premium of $3.70 per $1000 for bonds bear ing 3 per cent interest. A Port land syndicate including Camp & Co., Inc., Atkinson, Jones & Co., and Hemphill, Fenton & Camp bell, Inc., purchased the Issue. The bonds are serial, all being paid within the next ten years. The bid compared favorably with the price received April 5 when the city sold $130,000 of 34 per cent refunding bonds for a premium of $4.50 a thousand. A syndicate headed by Conrad, Bruce & Co., bid 34 per cent in terest and a $2.70 a thousand pre mium on the issue; Blyth & Co., Inc., and Jaxtheimer & Co., bid ding Jointly, were low with an of fer of $1.50 a thousand premium on the bonds at 34 per cent. More Bonds Up For Refunding Later By the end of August, the city will have sold $300,000 more re funding bonds and thereby will have reduced its annual interest on street improvement obligations $20,000. A total of nearly $800, 000 in Bancroft bonds will have been called. These all bore 6 per cent annual interest while the refunding issues will bear an av erage interest rate of 3 M per cent if the present favorable bond mar ket continues. The winning bidders last night paid the city an aggregate pre mium of $640.10 on the $173,000 issue." The runnerups up In the bidding offering a premium Of $467.10 and the third high group offered a premium of $259.50. After prolonged delay, the coun cil adopted its consolidated traf fic ordinance which repeals all ex isting ordinances on the" regula tion of traffic in the city and re places them with a carefully framed unit ordinance which was drawn by a committee headed by Alderman Cuyler Van Patten. The ordinance, which received seven votes but not a majority, a fort night ago, came up on a motion (Turn to Page 2, Col. 1) World News at a Glance (By the Associated Press) Domestic: Omaha Full power of mar tial law unleashed as governor orders trolleys off streets after company ignores order. Washington Eyeing quick ad journment, congressional leaders pass "nuisance" taxes, and rush "must" legislation. Washington Huey Long's "share-the-wealth" amendment to social security bill rejected by senate. Washington Monetary link with France seen after Secretary Morgenthau admits aiding franc. - Washington Senator. Norrls introduces constitutional amend ment limiting supreme -court's power. San Francisco State supreme court doors opened first :iime to Tom Mooney by' "habeas corpus writ. Washington . Roosevelt fore- casts employment pickup, ordenMNtrbitrate higher wages and short work -relief officials to "slow up or drop" job projects where pos sible. Chicago Judge Landis rules "Alabama" Pitts may play ball. Foreign: London British navy held up as "measuring rod" for other powers, German assents, France protests German program, Italy holds off decision. Mexico, D.,F. - Calles with draws from troubled political scene. London - England announces inquiry into Sino-Japanese friction.-- . v "' ;- Midway Islands Pan Ameri can, clipper flies "blind" toward Honolulu. Brasov, Rumania National peasant party leaders score King Carol, Madame Lupescu and gov ernment, warning of revolt. Flood Control Fund Allotted . Allocation of $300,000 for flood, control along the Willam ette river, covering territory from Independence south to Junction City, was made yesterday by the president and the allotment board. -. This information was received yesterday in a wire from Senator McNary to the Salem' chamber of commerce. Chosen- 'ds School Directors ANNUAL SCHOOL MEETING HELD; ONE TAXPAYER W. H. Burghardt Elected for 22d Year as Clerk of Salem District Cash Balance is Shown on Financial Report With Position Improved A single taxpayer attended the annual Salem school meeting last night to hear the clerk's report of the district's financial condi tion. Three directors, the super intendent and a reporter complet ed the- usual "crowd", which was told that the district ended its year with a $192.17 cash balance on its books and $177,016.23 in debtedness. The first act of the directors was to re-elect W. H. Burghardt as clerk. He is entering his 22d year in that office, which now pays a salary of $1080 a year. Back of the debt stood a $16, 908,836 assessed valuation, a de crease in taxable wealth of $1, 218,688 in the year; 12 buildings valued at $608,302.25, grounds appraised at $125,000, furniture and equipment at $132,801.22. The district carries $619,000 in (Turn to Page 2, Col. 3) NUISANCE TAX Bill IS July 15 Set as Tentative Adjournment Date as House Speeds Up WASHINGTON, June 11-m- Congressional leaders set their gunsights on a July 15 adjourn ment today, slapping $501,991,- 000 "nuisance" tax bill through the house in 40 minutes and then plunging the representatives into immediate consideration of farm adjustment law amendments. - The house, however, was so far behind the senate which planned to vote on the social security pro gram by tomorrow night that Speaker Byrns took the floor for the second time this session In an effort to pitch the tempo of ac tion at four "must" bills in this week's six legislative days. Amid applause, Byrns urged members to "come a little earlier and stay a little later" so the house may act promptly on eight and possibly nine more "must" (Turn to Page 2, Col. 4) COCHRAN DEMANDS FULL ABBITRATION OMAHA, Neb., Jan n.-yp-Governor jt. . L. Cochran lata to night' bluntly refused to accept the proposal of the 'Omaha and Council Bluffs Street -Railway company that the riot-studded street car strike be arbitrated with reservations. .. The company, in a counter ac tio to the governor's demand for Immediate arbitration, offered" to er hours, but not the question or a closed shop, seniority rights for the striking men or the question of taking back 68 of the 268 strikers. Cochran, military dictator of Omaha during the occupation of the city by tha national guard, crisply informed the company his demand had been for arbitration of all issues. A prolonged peri od of discussion followed in which neither the governor nor the company would give way. Patrol Boat and Steamer Collide In Coos Harbor MARSHFIELD, Ore, June 17. -0P-The coast" guard patrol boat Pulaski was rammed .by the prow of the coastwise steamship Phyl lis in the Coos Bay haxbor late today, jarring the crew at mess. Lieut. S, P. Mehlman, com mander of the coast guard craft, estimated damage at $1500 to $2000. - - The Pulaski, moored at the port dock, on the west side of the bay, was considerably shocked by the impact. Crew members hav ing - their evening - meal were strewn all over the mess balL .. Numerous improvements In ap pointments and equipment were made. on the Pulaski at Seattle recently. BARELY ADOPTED These Two Win School Board Jobs In Hotly Contested Election Here . 1 " - "v. . I' LAW ON PICKETING L BE E The state laws relating to pick eting as Interpreted in a recent opinion of Attorney General Van Winkle and upheld in all details by Judge Crawford of the Mult nomah county circuit court, will be enforced to the letter. This was Indicated at the con clusion of a conference here Mon day attended by Charles P, Pray, superintendent of . state police; Martin Pratt, Mnltnomah county sheriff, and Harry Niles, chief of police of Portland. The confer ence was held in Pray's office. "The conference was held primarily- to discuss Van Winkle's op inion and Judge .Crawford's rul ing in the injunction proceedings involving the operation of pick ets," Pray said. "How the vari ous agencies will proceed to en force the picketing laws did not enter into the discussion. k "It is my opinion, Pray de clared, "that the officers will meet the conditions as they arise." Pray said the opinion of the attorney general, sustained by Judge Crawford, had done much to clarify the strike situation as far as the law enforcement agen cies mere concerned. . Burk A Hacks I - f : . f- '-' " - " ' '"- . -. . i - . J - " ' ' - N(Sf "'" W ' C la ims J ury Was Coerced Sheriff A. C. Burk opened his legal fight yesterday to clear him self of two Indictments brought by the Marion county grand jury this month, when he moved - to quash the indictments on the grounds that Judge L. H. McMa han had subjected the grand jury to undue Influence and cooercion. Sheriff Burk charged in his mo tions that the indictments against him were not returned with the voluntary concurrence of five of the grand Jurors. - The' sheriff also contended through his counsel that the grand jury returning the indict ments was drawn from an original panel -made up in October, 1933, and not from a jury list made in 1934 or 1935 as required by law. The sheriff further contends that the "pretended grand Jury" was not properly sworn and impaneled for the May, 1935, term of court. Accompanying the motions . to quash Is an affidavit from Burk in which he says that the matters involved In the two indictments' 4 H .".IV. Above, Mrs. David Wright, re elected to the Salem, school board for a second term; be low, Percy A7 Cupper, former state engineer, who polled the highest vote. ORDERS FOR RELIEF SETUP HANDED OUT Private Employment Given Stress as Roosevelt Addresses Group WASHINGTON, June 17.-P)-Personal orders to aid the return of relief workers to private pay rolls and "to stop" projects even at a loss as industrial employ ment mounts today were given work relief officials by President Roosevelt. To two score state workers progress directors gathered about his desk, the president definitely set smaller and less expensive projects for the bulk of the $4, 000,000,000 funds, ordered poli tics be outlawed in the program and surveyed- the recovery out look in these words: "We all hope there is going to be a very definite and distinct (Turn to Page 2, Col. 2) Townsend Group Conventions are Scheduled, Word Townsend pension plan conven tions are- being organized by con gressional districts with the first in Oregon to be held at Portland July 6, more than 550 local pen sion club members were told at their meeting: in the Salem high school auditorium last night" by Frank Arbuckle .of Los Angeles, ex-California state senator now serving as assistant field director out of national Townsend plan headquarters. He outlined organ ization plans and later delivered a stirring address in support of the pension movement. This movement, he declared, has become one of the American people "to take back in their own hands their own government . . . and spend their own money." ndiclments; were submitted T to a previous grand jury and after that body had fully investigated, the charges were dismissed. The latter ac tion, Burk contends, caused the sheriff to summon a new jury. ; The motions to quash will be argued here before-Judge Fred W. Wilson of The Dalles. He was assigned to the case when Judge McMahan and Judge L. G. Level ling each disqualified themselves. Biirk is charged in the Indict ments with negligently permitting a prisoner-to escape and in. vol untarily permitting, a prisoner to escape." ' ' Strained relations nave existed for months between - Judge Mc Mahan and the sheriff. The latter cbntends in his motion to quash that the grand jury did not pre sent' its report ' properly because Judge McMahan, in appearing be fore the grand jury, had interest ed himself in the case and because of this prejudice, was wholly dis qualified to receive the jury' re port.. , RECORD BALLOT TOTAL OF 192B T Single Shooting' Feature to a " - oi, tiecuon; lownsena , Group Plays Part Electioneering at Polls is Mentioned; No Formal Complaint Lodged Sinale-shootln for Percv A. Cupper and strong support for Mrs. David Wright, incumbent. yesterday elected these two to tne two open positions on the Sa lem school board in an election that brought out exactly enouch voters to tie the standing record, laze ballots. Dr. B. F. Pound, incumbent, ran third and Profrat- sor Herman Clark fourth. The final, count: Cupper 967. Mrs. Wright 958. Dr. Pound 693. Clark 602. Excess enthusiasm for certain candidates at the noils dnrlnr th afternoon brought' complaints to fliary l.. ruiaerson, county school superintendent that electioneer ing was being carried on about the voting place but no formal complaint was received by the district attorney's office. Comments aloud such as, "I'm single-shooting; that makes , my aen1Uit4a i:W.1 a . t m were heard about the polls but nothing else that might be con sidered electioneering was report ed to the election board. Booths were not provided the voters. . , Many Await Chance To Vote at Opening: As the polls opened at 2 p. m. more than 150 citizens awaited opportunity to rote. Otto Hoppes, election judge, estimated he crowded 160 voters inside the school administration building just before the doors were closed at 7 p. m. Three would-be voters arrived at 7:40 and on being de nied the privilege of casting their ballots expressed indignation, say (Turn to Page 2, Col. 4) BID WILL START lUIUbHIS JULY- a Reorganized and wearing new uniforms, the Salem Municipal band probably will present its first concert In Willson park the night of Tuesday, July 9, Harry Mills, secretary of the executive board, announced last night, For two months the 24 musicians nave been rehearsing under the baton of Henry StoudenmeyerY aewly named director. Each band member will pity for his own uniform from the salary he will receive for the tea park concerts this summer, Mills said. The outfits are the latest arasi cians union ; reulation i type black double breasted, lapel coats with gold buttons and sleeve braid, black trousers and" Persh ing hats. The summer concerts, for which the city pays $1000, will be given on Tuesday; and Friday nights. Mills declared the band this season would be "the best ever in Salem and give music lovers a real treat." The bandmen recently elected Charles Pabst president, William H. Mills first Tice president, Ralph Burroughs second vice-president, Mills secretary and Charles Olson treasurer, compris ing the executive board, and John Graber, honorary manager. Troutdale Road Issue Faced by Highway Board Information from Washington that the federal. government prob ably will not-authorize the full bridge grant of $4,200,000 for construction of a new highway between Troutdale and Cascade next meeting of the state highway commission, R. H, Baldock, state highway engineer ' said yesterday. Officials said it probably would be necessary to issue general ob ligation bonds to take : up - the bridge revenue bonds and allow the operation of the bridges free of tolls. The bonds would be paid out of current revenues of the commission., -- - The highway commission had offered, to repay the bridge loan In return for a complete grant sufficient to construct the Trout-dale-Cascade Locks highway. . JUS MATCHED