' ' ' -! - - . i 1 . w r s- : . . .. "" '' ' S. T. . fli rfS rsVTi Legislative- New ' The Statrsmaa prorldew Complete coTfrase daily of aU - iaporUat ereati and treads la th Ores cm legis lative session. ..... t : The A7est!icr I Rain or liht mow today and Saturday, not quite sa cold; Max Temp. , Thursday SXS, Ilia. 17, river 0; south erly winds r . II I POUNDQD 1651 EIGHTY-SIXTH YEAR Salem Oregon, Friday Morning," January 22. 1937 Price 3c; Newsstands 5e No. ZZ3 on O- 1 I : i-i 0 (Diemiu oy a-iv-iv: vv tmw a ex j 1 1. 1 -r N-JX N" yjj - . ;- i: ' . . .Btotlh Major TTh tt(0 Flood Lewes Rain and Snow Point ti Even Higher Levels Ten States Report Huge Damage; Relief Work Is Being Rushed j Entire Populace Leaves Two Towns; Ohio Has Greatest Exodus CHICAGO, Jan. 21.-)-Near-iy 80,000. persons were unoffi cially estimated homeless tonight In the flooded areas of the mid west, j . f J Meantime, rain or snow con tinued to 'fall over a wide sec tion, resulting in predictions j by meteorologists that most of the rivers, . already i running - above flood ; stages, would reach even higher levels, i Red Cross and 'relief agencies rushed food, clothing and tents and blankets Into every zone that called for assistance. - Ted states had reported heavy damage. Kntire Population . Leaves Two Towns The entire population of Lau renceburg and Aurora. Ind.. were moving out. Flood waters of the Ohio river threatened to crush newly built levees. Calif for help were sent to Indianapolis. A special relief train was being made up to take supplies to the Stricken areas. j j . . . i Three Indiana towns and five In Kentucky were without elec tricity when flood waters of the Ohio river cut! off the electric light and power i eompany at Troy, Ind. f . ..vsi..-:-: ' "'' At Portsmouth, . O., a boulde estimated to weigh ix lont, loosened by rains, rolled 150 feet downa bill and crashed Into an apartment bouse, i One woman as injured. The j lives of eight families were endangered, j One death was reported at Ty lerton. Miss., Where a f our months old negro drowned to overflow water. The mother; sav ed an older child. ! A man and woman, both 111 of pneumonia, were isolated In their homes near Kennett, Mo., where the St. Francis river was'ottt of its banks. " ! Flood Is Declared - j Worst Since 1013 j j Thousands of persons stood in a downpour that ranged from one to more than ! three inches and watched the Inexorable advance of water In the middle and lower Ohio river valley called the worst since the disastrous 1913 flood. I i j The overburdened Ohio swelled steadily from Pittsburgh to Cairo, III. But the worst, meterologlsts warned,, was yet to come. More rain, turning to snow as temper atures fell, was forecast. The Mis sissippi edged up hourly. ! Hundreds Joined - the ve?odus from Kentucky lowlands. A pas senger train was ditched by wash ed out rails near slaughters. Sev eral persons were hurt. J " Residents of Hazelton, Ind., gathered on knolls to see waters of the White River Howing through homes and buildings' they had quit before the levee collaps ed. '! :-.!'- Streams were on the upsurge In ten states Ohio, : Indiana, (West Virginia, Illinois. Tennessee; Mls souri. Arkansas, Pennsylvania, Kentucky and North Carolina. Pittsburgh In the path of the 1300,000.000 floods last March prepared for a rise of six feet over the 25 feet flood stage at the Junction of the Monongahela, Al legheny and Ohio. . - i - d:- Resource Museum McKay's Proposal Creation of j an "Oregon re sources museum commission Is .proposed in a. bill which will be introduced today by Senators McKay and Duncan. The muse um would be established in Sa lem." i - 1 A commission of five ;mem bers, to be appointed by .the gov ernor, each for a three year term. Is proposed. Members would serve without pay. The duties of the commission would be: ; To collect and display In a suitable place at the capltol ' In Salem an exhibit of such pro ducts of the mines, mills, fields, streams and forests of the state of Oregon and such other arti cles and products which it may deem annronriate. as wIU ais- play the natural resources of the state of Oregon and weir mui- aatlon. - An appropriation p to $3S,- Million Do Via Error Not Quite so Serious As New Sources Found ' ' ' ' 'aassssasMsa , '4 ; ' 4 . 'j Deficit Even if , Administration Budget Adopted Is j Faced But Other Possible Income Signted ; f j S Tax Limitation Is Cause of Mistake WITH the discovery that the state budget as compiled by Wallace S. WTiarton was off in its estimate of receipts - available for expenditure by; approximately a million dollars, the ways and means committees of the legislature suffered a sick headache yesterday. After they had a meet ing; in the afternoon with Mr. Wharton and members of the Townsend Tester Is Down to $50 Three-Fourths of $200 Is Gone in Six Days; Boy I - Receives Mittens CHELAN, Wash., Jan. M-CPH Part 'of a Townsend test dollir was set aside tonight to buy mit tens for a cold youngster's hands by C. C Fleming, 63-year-old ex perimental, tester. ; A bitter cold wind chilled Che lan streets. Ronnie, 5-year-old grandson of the pensioner was following Fleming as he contin ued his rounds attempting to spend the $200 "pension given him last : Saturday night. "Grandpa, Ronnie said at lest, "My hands are so cold. Will they let you buy me mittens with some of that.moneyt" , "They certainly will. Grandpa assured him. "We'll get the best mittens money can buy. You. know we re "icn, now. His riches were J60.21. til that remained cl the $200. He has mora than three weeas to spend then to keep within the 30-day limit set by Isom Lamb, Chelan county Townsend manager, sponsor of the test.!" His expenditures since Satur day night totaled $149.79. A new bed. complete with mattress and springs took $28.46 today. A blan ket, $2.71; medicines $1.30; purse, 93 cents. Board Bills Legal .':;-! O Court Is Advised The county court yesterday was advised orally by District Attor ney Lyle J. Page that payments to Sheriff A. C. Burk of board bills for seven prisoners whose sentences Governor Martin last fall commuted from the peniten tiary to the county jail could leg ally be paid. Although Commis sioner : Leroy Hewlett was re ported to have said he was will ing to approve the bill, other court members were not ready to do so. Sheriff A. C. Burk said he understood a written opinion was wanted. ; The bill, approximately $300 at the first of the month, is now nearing the $400 mark. Burk's staff was wondering if the court would pay i Interest on the bill, which has been held op since the governor Issued his commutation order, i-,! j: Attorney General L H. Van Winkle last week ruled the gov ernor was within his authority in the action. The county court yesterday received a copy of the ruling. !.!!-: Around The (Lobby NOT often Is It that any mem ber sees his or her bill recelv the unanimous approval ot either house In a legislative ses sion. To Daisy Bevans, that honor was accorded yesterday, on the first bill she has espoused since entering; the session. Without a single dissenting vote the hoase passed her bill to require physical examinations of both parties to a marriage contract. Fr qatps that reach the beart of the matter, sometisaee with a sting, bat practically al ways with a smile. Senator W. H. Strayer, Is wlthont a pey After members of the ways and mean committee had overcome the blow that the 4mUlloa dol lar, error to the bads bad givra them yesterday, t bey be gaa to gt rathaslastic ajrata aa they discovered a netnber of swexpended funds aad smtap ped orces which may enable them to approve the budget practically as originally rec ommended. As the fhrurea spww hiRh and higher. It was Stray er. I move we adJosOTi & twi wealthy. that . Homeless 5" Otax commission and learned that while the : error dtd exist there were some unreported sourees of Income which would help extln- guish the loss, the legislators commenced to cheer up. - 1 - In fact as reports of new sums kept coming in Sen. Strayer sol emnly proposed: '"I think we had better adjourn before we get too rich." . The error came about In in eluding the entire amount of es timated receipts from income and excise taxes, $8,500,000 as avail able for expenditure within the six per cent limitation. Actually, under the provision of the consti tution restricting spending to a (Turn to Page 2, Col. 7) Court Spectators Called to Testify Investigation Possibility of Perjury Hinted in Divorce Case Here -V - ; ! : Ms Surprise developments , came rapidly in the Edna Horton- vs. O. H. Horton divorce trial before" Circuit Judge Arlie G. Walker of McMlnnville, who was sitting here on assignment by the supreme court In place of Judge L. G. Le welling. I s Before main proceedings In the trial terminated,; two men were unexpectedly called to the stand by George Rhoten, attorney for Mrs. Horton, as hostile witnesses, the court Indicated possibility of perjury would be Investigated, one of the witnesses was named party defendant and money con cerning which he testified was impounded. i Charles Tindall and Martin Nelson were the two so-called hostile witnesses, who had been Interested spectators at one time or another during the day. They testified concerning bonus money which Mr. Horton received last year and Nelson, stating Horton had turned over part of tho money to him, estimated he still (Turn to Page 2, Col. 8) Wallace Suggests Welfare Program Members of the Marion county Toung Democrats were urged by Former Senator; N. G. Wallace, now public, utilities commissioner, to support legislation bettering the care of underprivileged chil dren In the state; at the organiza tion's monthly meeting at the courthouse last night. r A brief address by Wallace was followed by discussions of legis lative matters presented by Frank Tlerney. house reading: clerk, and Representative Bills Barnes of Multnomah county. " s Happenings Around the Legislative Halls, Including Some That House and Senate Spectators Missed. brovghit the members oat of the cloade aad closed the meeting. From the ways and means to the senate alcoholic eontrol went Senator Strayer at 5:30 o'clock. WhUe members of the " liquor commission outlined - proposed changes in the Knox law the clock Ucked np to C o'clock. "May I ask to be excused. Senator Stray er addressed Senator Stadelman, chairman of the committee, MI have formed a -habit of eating at 6 o'clock and I don't find these matters Important enough to change that habit." The senator was excused, while the other sen ators sat on doubtless wishing they could hare gone with the eastern Oregon man as, he closed the door oa the deliberations, j , L: - S-,.-r-s-?- r I'.: Senator Bex EBJe was called to Pendleton Tharsday after . noon by the death of bis bro- ; tber-la-Uw, Dr. Bf O. Parker, a retired physlclaa aad sargeaa of peadleton ' : , For greater convenience of leg islators Attorney General Tan (Tarn to Page 1. Col: 2) " -. liquor Ad Ban Voted Down in Surprise Move ?J ssaswaMst .'.;: Rapid-Fire Action Taken While Some Members Vote Wrong Way Measure First Is Given Special Order Spot Next Thursday In a series of quick shifting parliamentarian moves that left some house members so daxed that they didn't know which way they, were voting, the house of representatives yesterday steam rollered House Bill 9, for prohi bition of liquor advertising In Oregon, to defeat by the indef inite postponement route. So rap id were the tactics that Repre sentative Harrison, . one of the sponsors ot the bill, had to rote three times before he got his ballot cast correctly. There were only 10 votes In favor ot the measure. Defeat of the bill came In the opening minutes ot the afternoon session. The house had voted ia the morning session to make the bill, which came before the house on divided committee reports, a special order of business next Thursday at 2 o'clock. Repre sentatlve Hyde, lone signer ot the minority report that the bill does pass, asked for the special order. -')"'-. Immediate" Action Moved by Dawson After the noon recess. Repre sentative Dawson, chairman ot the alcoholic control committee, and one of the signers ot the majority . report, moved tor y consideration " of thrbt ,Ty .... (Turn to Page 1, CoL 8) Feeding Strikers Worry to Oregon PORTLAND, Ore., Jan." llHJf) The question of feeding! needy maritime strikers and their fam ilies came to the fore In Oregon tonight with receipt of word from Washington that no federal funds for such work would be forth coming. On receipt of a dispatch from the Oregonian's Washington corT respondent quoting federal offic ials as saying persons Involved in the maritime controversy must look to their respective states for aid, Ben T. Osborne, executive secretary of the Oregon Federa tion of Labor, said: "I feel that anybody who Is hungry should be fed." He said the Oregon delegation In congress and WPA Administra tor Harry Hopkins had been urged to allocate funds. Japanese Cabinet Seeking Election TOKYO. Jan. 22.-(FtIday)-(ff) -Premier Koki HIrota's cabinet decided today to ask the throne for dissolution of the diet, the Do mel (Japanese) News agency re ported. The ministers also requested a general election, the president, for a new parliament. Thus, it sought to take to the country the issue ot charged army domination and fascist tendencies rather than resign.' its only alter native In the Impasse. Previous authoritative reports had intimated the cabinet might resign.' ... Editor W'dl Meet in . - " La Grande 1 Decision EUGENE. Jan. 21-(ff)-DIree-tors of the Oregon Editorial asso ciation." meetlag here on the open ing day of the Oregon Press con ference. ' selected . La Grande as the scene of .their summer meet ing, with the date set tentatively tor some time In June. Ferry Boat Sinks But All Reach Land, Belief PORTCMOUTH, Ohio. Jan. 22. (FridayXHCflVrbe ferry boat Cap tain John sank tonight In flood waters of the Scioto river. Twenty-fire persons aboard her leaped into the water and Sheriff Earl Brandell said he believed, all reached -safety .. ., Coast Leaders x o r ormuiate - Demand Today Deadlock Period Now in Excess o Previous Maritime Tie-Up Negotiations Nearly 'Are At End, Cannot Result In Accord, Found SAN FRANCISCO, Jan. 2 lv- -Government labor conciliators announced flatly tonight further federal action would be necessary to end the maritime strike. They made such a report to Secretary of Labor Perkins while San Francisco's Mayor Angelo J. Rossi caUed a conference of state, city and ; county authorities for tomorrow j to formulate demands that the . government Intervene. With the tieup in its 34th day a single meeting took - place -between shipowners and represen tatives of a striking union, but' apparently It made little progress. Cannot Result In Complete Accord . The conciliators, E. P. Marsh and E. H. Fitzgerald, who took ap the government's peacemaking when Assistant Secretary of La bor Edward F. McGrady left the scene at the turn ot the year, said negotiations were "nearly at aa end and could net result la com plete agreements. "We feel," said the concilia tors' statement, "that pnbUc In terest Is paramount and that some action toward a speedy settlement of the 'disastrous controversy must be taken.- "We have therefore advised Washington that we feel some further federal aeUoa mast be taken.' . -r. : I Business interests np and down the Pacific coast as weU as . In HawaU have seen urging presi dential or other governmental ao Uon, for -weeks while peace pros pects have waxed and waned around the conference tables. -Ryaa Says Outlook Decidedly Brighter Despite the pessimistic picture, Joseph P. Ryan, president of the International Longshoremen's as sociation, said in New York the prospects were brighter for settle ment of the costly deadlock. "Now that we have stopped In dulging In personalities - which cost us three months ot wasted effort, we should get somewhere." Shipowners, In making separate peace proposals' to all striking onions, offered the longshoremen virtually the same terms as their old working agreement, with no appreciable wage increase. Threats Received By Silverton Folk . 8ILVERTON, Jan. 21. Silver ton is being flattered by extor tion letters. One citizen received a request for "$5000 or else." Other annonymous letters and re quests' are being received. Only, Judge Alt O. Nelson, who reported the matter of ex tortion : and anonymops letters, states this Is not the kind of "flattery" and authorities are making a thorough Investigation in- an effort to locate the. source. Judge Nelson urged that all cit izens receiving such letters, whether they appeared of Im portance or not, . turn them over to authorities at once that fur ther .Investigation ..may be made. Judge Nelson refused to re veal the recipients of the letters. Meeting on Joint Building Tuesday Alderman W. H. Dancy ar ranged with the county court yesterday for a Joint meeting next .Tuesday night of the Salem council special ..committee and the -courthouse building commit tee to discuss the possibility of erecting a combined . city - hall and courthouse. Reprosenta tires of Whitehouse Church . and Knighton it - HowelL Portland architects selected by the coun ty committee, also have been asked to attend. : -: At least, one member of - the county court has expressed In terest In a ' suggestion, ; .. which Mayor V. E. Kuhn brought oat yesterday, that in event It was decided to attempt' the : joint building project, the city might hold a special bond election in advance of the countywlde elec tion to , authorize the construc tion program. Connty Commis sioner Leroy Hewlett has said holding a special city election in advance might solve some prob lems confronting the court ' by clarifying the public mind rela tive to th rttva nart la the pro- Pleasure Expressed at Progress ' Toward Strike ' Peace Short-Lived Governor Frank Murphy ot Michigan, left, shakes hands with Homer Martin, president of the United Automobile Workers ef America, after they bad arranged a trace In the General Motors strike. Bat their hope were shattered when negotiation broke dowa with both sides claiming the other violated the agreement. SKglitly Warmer feather looming Snow Falls Here, in Many Parts of State; Flu ! " Spread Unabated PORTLAND, Ore., Jan. 21.-P -The weatherman's welcome words, "not quite so cold, heart ened stove-stokers, physicians and the populace In general in the tin stricken northwest tonight bat cheers were withheld until win ter deals a definitely different sort of hand than that passed out so far this season. - Snow fell In most parts of Ore-, gon and Washington late - today, ranging in depth from two Inches In; Portland to a foot in eastern portions. Highways were In the most treacherous condition of the year, but none were reported closed. v A sleet-like snow also' fell at Seattle. , j Temperatures In general were reported slightly above last night's readings but the rise was far from a "break" In the weather. . - I Physicians, swamped with calls for influenza and pneumonia, were hoping for rain, pneumonia caused one death and influenza three others in Portland today. ) Worst . hit by illness, were Seattle, Portland , Baker, Ore and Pendleton, Ore.", but no point (Turn to page IS, coL 7) Townsend Test in Oregon Proposed EUGENE. Ore., Jan. 21-0)- Anotner izoo Townsend test plan appeared In prospect here today. - Charles Paine, Townsend lead er, said donations totalling that amount would be sought and that It would be. turned over to a per son . chosen' at a" drawing. The money would be deposited In ia bank and script issued, each store accepting it paying the 2 per cent transaction tax Into a fund. . Paine predicted the tax would equal the original 9200 within five or six months. . ; I Suggested Knox Law Changes Hit Chain Store Beer Selling A proposal which if adopted would directly affect the retail sale of beer in the . chain stores was Included In a ' list of sug gested changes . to the Knox liquor law placed before the sen ate alcoholic traffic "' commute last night. -Numerous revisions or . the law,- mostly administra tive, were placed before the com mute for consideration by Arthur- K. McMahan. chairman of the liquor commission, and Aus tin FlegeL attorney.. , j At the present time wholesal ers cannot retail for consumption on the premises. Tout can sell Al coholic package goods. Soma chain i stores with, wholesale per mit have . been retailing pack age goods.' The suggested change would permit any. retail sale of alcoholic beverages, whatsoever by wholesale dealers, t ' Sale to Drink May V -I Be Penal Offense ft,C' -.i- Xncluded among the proposals presented by the commission to Senator P. J. Stadelman and his senate . committee was the mak Inr of - al i ef liquor to intoxi l -..vvyy.:-i:i Legion's District Conference Held Many Activities Enjoyed at Mt. Angel; Over 100 . at Two Gatherings j MT. ANGEL," Jan. 21. A day Of business sessions, .banquets, mass meetings; speeches and In troductions, left tired Mt:' Angel residents with only the cleaning top to do tomorrow as an after math of the host's role to the dis trict conference of the American Legion and Its auxiliary. Some 80 legion members, rep resenting five posts, took part in the afternoon business session at the city halL With District Com mander Roy Davenport of Silver ion In the guiding seat, the group thoroughly discussed every phase of the Legion's 1937 national, state and district programs. I Meanwhile the auxiliary met at the St. Mary's school auditorium. With 54 women, representing six posts, present. Chief speaker was State Commander Guy Cordon, who praised the auxiliary for its work. A membership report by Mrs. Mae Waters, state vice-president, revealed that there are 5, 418 auxiliary members in the state. Many at Banquet; '! A Alcnin Is Speaker Davenport was toastmsster for the huge banquet held in the, St. Mary's school dining hall in early evening. "Following introductions of Legion and Auxiliary, officers present to some 100 guests. Fath er. Alcuin delivered the main ad dress. - i-' He praised the legion highly, saying "I like you for what you have : done, -are doing and are striving for. : Father Alcuin pic tured the legion men as "conser vative progressives." ; : Mrs. Georgia Weber, chairman of the Portland veteran's hospital Committee for the auxiliary,- re ported that 351 disabled vets are being cared for In the Rose City institution. - .4 The-huge mass meeting In the evening,-final event on the pro gram, featured addresses by State Auxiliary President Blanche (Turn to page 13, col 8) cated - persons a penal offense. Conviction would carry a maxi mum fine of 500 or six months Imprisonment or both. - ' i As a health measure McMa han asked that the Knox law be revised to prohibit , the - sale of unpasteurized beer in sealed containers. The - perishability of unpasteurized beer and the dan ger of sale of beer not In a pure condition was stressed . by the commissioner. This revision would also prohibit the filling ot the purchaser's, jug. also,- com monly known as " "rushing the growler. . v . : - - i A new classification bf beer licenses ' to replace the single classification now in the law was proposed by the commission.! The new: classifications.' if accepted by the commute and the legisya ture, would be as follows: j 1 Unrestricted retail .draught or bottled beer a" suggested li cense fee of 3100. . This license would permit "proper" dancing and entertainment. - ' ' 2 Restricted . retail , draught '(Turn to Page 2, CoL 5) . Sloan Asserts IOther Hop Of Peace! Left Unions "Intervened for" ' Roosevelt Is Remark Of John Li Lewis Inability to Bring Hen . , Ont of Plants Cited ' On Employer Side WASHINGTON, JanJ IIHJP General Motors! management and labor unions directing the strike in the company's plant tonight virtually left up to the president the next government move for peace. j j Alfred P. Sloan. Jr company president, told j reporters tonight that he was leaving the capital, where labor department officiate had sought to Induce both sides to negotiate tor settlement of the strike.'. , i . He said, however, that "any time the president sends for us, well be there." . AT few hours earlier. John L. Lewis, generalissimo of the strike. told reporters that there would be "no half baked compromise," then when asked If it was time for President Roosevelt to Inter vene, said. . - .j ; 'f Labor intervened - : i ' - For F. R., Recalled I I "That's up to the president , but labor Intervened for him." (Lewis, president of the united mine workers as well as advocate of Industrial unionization gave Mr. Roosevelt both moral aad fi nancial support during theipresW dentlal campaign). i f Sloan, In a press conference. Indicated that so far as he was concerned, efforts by Secretary Perkins to bring the two;, sides Into negotiations were off. "I dont think at the moment anything further could be ac complished in . Washington," he said, but later added eompany officials would.be glad to retora to Washington tomorrow it Mr. Roosevelt.requested U.- . t Can't Get Men Out Of Plants, Stated 1 When asked to what General Motors ' particularly objected in Lewis Statement, Sloan made an answer, and then withdrew it as . "off the record." John Thomae Smith, - company counsel, t b e a said that "it was plain from Mr, Lewis' statement It was impossi ble to get the men out of the seized plants. j (Some of the plants are occu pied . by "sitnlown" strikers). Sloan said, the ' corporation would continue- its efforts to get its employes back to work. - Sloan denied that the company had violated the Wagner; labor'" disputes act. Hugh Jory Rites 1 Set on Saturday Funeral . services will be held" tomorrow afternoon at 1:30, la the W. T. Rigdon parlors for Hugh Franklin Jory, 81, wh passed away here Wednesday, at the home ot his cousin, Lewis H. Jory. -. i . ! . Hugh Jory was the son ot John H. and Caroline Jory, pioneers to Oregon In 1247. He was bora on his father's .donation land claim six miles south of Salem. In 1855. His wife, Emma Anderson Jory, whom he married in '1883, pre ceded him In death in May; 1930. Hugh , was the last of Joba and Caroline's tea children. Interment will be at the Lee Mission cem etery. . : i M ' ' Snow Storm Near Eugene Is Sevens ' The Pacific highway was open from Salem south and motor trav el - without chains was - possible yesterday but a heavy snowstorm was In. progress around EugeaQ late In the afternoon. Deputy D. G. Honeycutt reported on his re turn from an official business trip to Klamath Falls. The Green springs highway from Ashland to Klamath Fall was In good driv ing - condition i though, there was nearly three feet "of snow on the summit.- j ! ; S Honeycutt r said . the tempera-tire-was IS degrees below zero ia Klamath Falls and 24 below on the outskirts." , ALL A D E V TODAy By R. C Motor strike and maritime are In hopeless deadlock now; "Mr. President." they chime, "help us etld this fearful row." . What's a million, more or less. In a state's expenditures; legislator. though, con f csi they must loo V around fox curves. 200 would be provyxao." IVTV " ' fc- -