J ! i j The TTe&tlier ytv. rs ' the climax of the fcasket "ball Mum, the state tour wmwtt, Is here. The SUte brings yo the tonru toent news hovrs ahead. Probably showers Vtoday Wednesday, no. change . fa temperature; Max. Temp. Monday SB, Mln.. 43, river 8.3 feet, raia ,07 inch, north wind. POUNDDD .1651 i EIGHTY-S1XTU YEAR B" ' Salem, Oregon, Tuesday Morning-, March 16, 1937 1 Price 3c; Newsstands 5e No. 301 f pin o atte 1 a 1' i (BCCDinidll P ! - -I- a" I I f i II si S is (Council Authority for $840,154 Job Isn't Opposed . ' - . "City's Share Less Than $500,000 ; Saving in Labor Cost Seen J2th Street Line First; " Employing Men Other . Than WPA Possible The-city council voted without dissent last night to apply for an 1840.154 blanket WPA project enabling the water department to proceed with reconstructing and adding to the distribution sys tem in event the WPA approves. The approval, in resolution form, reserved the city's right to halt the Improvement work at any time as the water commission may recommend. Released for the first time last night, the project application shows the city's share in the ex pense would be $492,564 of which 1455,694 would be the cost of pipe and fittings and the balance large ly labor and superintendence. Ninety-six per cent of the $347, 69 0 W,PA share would go for la bor. - Having With WPA Labor Is Forecast . The resolution cited possible ultimate savings of as much as $400,000 through use of WPA labor. Mayor V. E. Kuhn in answer ing a question byAlderman David O'Hara. pointed out that It was unlikely the whole program would ever be completed under the WPA setup hat he declared, -cwe real ize that the 12 th street feeder main must be completed." " The blanket project, the mayor said, would make It possible to build j the 12th street line, grade and landscape the grounds around the sew Fairmount reser voir and make many other 1m- provements to the water system at low cost. "We can shift the men wher , ever we want and Instead of wast ing money on repairing bad mains, for Instance, we can build new pipelines in the- clty," Mayor Kuhn added. : . Other Workers May Be Employed, Held . Giving the revamping program over to the WPA need not result la exclusion of workmen Ineligi ble for relief work, Frank Koeh- . , ler, resident engineer for Stevens Sr Kohn, told the council , in re plying to a question by Alderman Frank-Pfc-Marshall. - The WPA would consent to non- f WPA laborers working along with relief-assigned crews if desired, W. M. (Jack) Bartlett, district - director of operations, advised the council. The revamping project would en able the water department to rem edy many weaknesses in the pres ent distribution system, such as wo -nout mains, mains of inade quate size, and dead-end mains in which the water tends to stag- nate. . . ' - - ' Sale of not more than $300,000 worth of the 1400,000 ; in city water bonds remaining available is contemplated to finance the pro I am. This would raise the-bonded debt on the water system to 12,400,000. Bank Robbery and Slaying Admitted - - r SACRAMENTO, Calif.. March 1 5-CiP)-Of fleers Perry Gamble and M. W. LInceum said tonight that Stanley Knapp, 19, confessed he participated in the robbery of a Spokane, Wash., bank February 15 which resulted in the fatal shooting of a patron. Detective --. H. Bettinger of Spokane said that Knapp implica ted -his brother Leroy, 21, and Herbert Allen, 21. The officer quoted him as saying: "I pulled the killin' of William Walker, bank patron. "We got $4,500 and beat It out of Spokane. I got $1,300 for my share. Then we split. I don't know where the others are." Officers disclosed that Knapp dictated a 2,000-word confession and admitted a series of crimes In the northwest ranging over several years. , Burglars Abandon Safe On Downtown Sidewalk PORTLAND, March lS.-iV Follce found an unopened. 1400 pound safe on a downtown side walk "today. They decided the yeggs were frightened away or were too weary to lug the safe any farther. It was returned to a xtearby restaurant. Flavors BLAZING MOTORSHIIa i ACHES PORT . r : ' 1 " . " " " -r- J J ; ..V 'St ':Pt-f vC: -'MMlNB1MHMaassssBmaMMssBSs ; HOXOLITLU, March 13 .(P-Fircmca pumped carbon dioxide into the number three hold of the Brit ish motorship Silver-Larch today in an attempt to smother a fire that became so serious passengers were transferred to a navy cruiser and brought here ahead of the crippled freighter. Escorted by the roast guard cutter Roger P. Taney, the Silver-Larch arrived here at 7 a. m. (12:80 p. m., EST)- to day. Her decks were uncomfortably hot, but there were no other signs of the blaze that has been gnawing for five days at a cargo of old newspape rs. Firemen said they might wait until tomorrow . before opening the hatches to see if the use of carbon dioxide was effective (International Illustra ted News. Photos.) . j Bootleg Milk Is Hurting, Charged Enforcement of City Law And. State Crackdown Needs, Co-Op Told With alleged' -bootleg" milk cutting into the business of legiti mate B grade producers on the Sa lem market one of two steps are necessary immediately to straight en the picture out for the produ cer, W. W. Henry, Portland, man ager of the .Oregon Daliy 'Cooper ative association,; told members of the Salem unit of the. Dairy co-op at a meeting at the chamber of commerce here last night. Henry declared the first step to straighten out the situation must be a stricter enforcement of the city ordinance. Secondly, he advocated enforce ment by the milk control board of its resale price and butterfat stan dards for the Salem area. Most, of Seat intra t . Against Ratae Here - Producers present last jight a comparatively small group gave considerable time to a dis cussion of whether or not the price of milk to the consumer should be raised here. The con sensus of opinion was against a move for a raise in the Salem (Turn to page 2, col. 2) Review of Labor Cases Is Refused WASHINGTON, March 15.-) The supreme court, by refusing today to review eight new . cases Involving the Wagner labor rela tions act, caused a new flurry of discussion about the tribunal's views on the legislation. The tribunal's refusal tempor arily left in effect . lower court rulings for - the government . in each of the eight cases: Supreme court attaches pointed out, how ever, that the action could not be interpreted as reflecting the atti tude of the justices toward the Wagner measure. It was said the court's opinion on five pending cases, which may be decided two weeks hence, may decide all the points at Issue in the new disputes. It would thus be unnecessary to review. After a brief session to read an opinion and announce orders, the court ad josrned until March 29. LaGuardia Hits at Fuehrer Again at Anti-Nazi Session NEW ' YORK,! March 15 Before screaming thousands at an antl-nazl meeting Mayor F. H. LaGuardia, who recently pre cipitated an international ex change by . calling Adolf Hitler "a brown shirted fanatic" to night reiterated his denuncia tion of the German reicb leader. - LaGuardia appeared in the great hail of Madison Square Garden late In ' the proceedings Jus at General Hugh 8. John son, former NR A administrator, was well started upon a vltrol'c attack on Hitler. The mayor, standing with out thrust jaw before the micrl phone, called out amid a great, almost continuous roar from the garden's twenty-odd thousand seats: - ; " "When-1 talk about a menace to peace (he previously had re ferred to Hitler as such) I don't need amplification. (This was in reference to the fact be had started to speak: from a side sec- I tion and the demonstrators had WaHfr Seek Examination Of Food Handlers People engaged In the handl ing of other than packaged foods would be required to undergo physical examinations once a year and carry certificates is sued by the health department, under an ordinance introdu ed at the city council session last night and referred to committee. Persons found to have commun icable infectious diseases would be barred from employment such as working in restaurants and elsewhere where foodstuffs not packaged are handled. t The bill provides a maximum penalty of $500 fine and six months In Jail for its violation. Grange to Oppose Packing of Court WASHINGTON, March 15-JP) Spokesmen for national farm organizations reported today that powerful forces on both sides of the supreme court controversy are making a mighty effort to win farm support. One leader expressed belief pri vately that mounting tension re sulting, from this struggle might split the united stand of farm representatives on some pending farm 'measures. Leaders of the farmers' union have spoken publicly on opposite sides of the court Issue. The spearhead in the opposi tion is Louis J. Taber, master of the national grange, which says it has a membership of 800,000. Taber and Fred J. Brenckman, legislative representative, plan to testify against the court legisla tion at senate hearings. Taber said today that a poll of grange leaders and membership on the president's proposal showed the majority "solidly against this program." He added the grange was more nearly unit ed against "packing the supreme court" than on any other ques tion In 25 years. Rain Mars Vacation WARM SPRINGS, Ga.. March li-iP) An overnight downpour that caused a sharp drop In tem perature kept the president close to his vacation cottage on Pine mountain today and caused post ponement of his plans to visit nearby federal projects. demanded he go to the micro phone)." . ' ; 1 "This protest of mine the oth er day was no novelty," he said, adding that he had said similar things about Hitler often before. "And 1. expect to continue to say the same thing and I hope necessity (for saying it) will be but a ahort time." I j Fighting Word Is ' Employed by Mayor l "Dont worry what Mr. Hiiler may say. Pay no attention be cause the opinion of the world Is that Adolf Hitler Is not person ally satisfaktioqsfahig." , This German word, .which many appeared not " to have -caught, was said by several per sons standing close , to the roe trnm and able to speak tbo lan guage " to mean Hitler was not worth meeting on the field of honor. There was from the mayoi no explanation of his meaning. General Johnson shouted In (Turn to page 2, coL 2) Mains Strip of Willson Park Given State No Protest; Goodenough'g Light Payment Scheme Fails of Support j WHAT CITY COUNCIL DID LAST NIGHT Contributed a d d 1 1 lonal 99 feet oC Willson park to capltol site. i Rejected resolution arbitrar ily reducing city's street light-, tng bill, heard of new Portland General Electric company pro posal to provide additional lights at no extra cost. Changed bus loading zones. Authorized manning of Floyd B. McMullen first aid car. Tha atita -r1tn1 ronf rnctlon rntnnilialnn'i rpnii en t for an ad ditional 99-foot strip of land in Willson park drew no protests at - city council last night and an or- . . ... i- dinance conveying a aeea io me state was promptly adopted. There were no speakers for or against the proposal, wnicn win maae nnulhla trrHnr of the BTOundS at the west end of the new cap ltol. The aldermen declined by a (Turn to page 2, col. 4) Deficiency limits Sought By Pierce WASHINGTON, March 15-(ff)-Rep. Walter M. Pierce of La Grande, Ore., ' after conference with farm credit administration officials, predicted today a favor able agriculture department re port on his bill to eliminate de ficiency judgments. , "I look to FCA to suggest some modifications, but I feel sure they will offer something . I .can ac cept," said the former Oregon governor. i Pierce's measure would prohib it deficiency judgments in excess of the normal value of mortgaged premises. Further, federal land banks seeking to foreclose would be required to bid the normal value at the day of sale. Pierce said Land Bank Commis sioner A. S. Goss "Is sympathetic with some sort of legislation to solve this problem." (Goss recently notified Oregon, Idaho and North 'Dakota legisla tures that attempts to outlaw de ficiency judgments would result in withdrawal of FCA lending. North Dakota.' however, passed such a measure.) VANCOUVER, B. C. March 15 -iPf Behind the sparkling goal pending of "Sad Sam" Tim mlns and a tight defense, the Spokane Clippers hung a 2-0 de feat on the Vancouver Lions bere tonight in the first game of the three Pacific i Coast Hockey league" semi-final championship series. - - ;; .T ...x .... , ! DENVER. March 15-(-Two highly regarded-, college teams, only seeded collegiate outfits in the meet, drove Into the third round of the National . A A.U. basketball tournament with con vincing triumphs tonight. Long Island university daz zled a crowd of 4,000 In beating the extra-tall west Texas teach ers, 38 to 30. - " . - ; Central Missouri teachers sent another Texas team, Stepher F. Austin teachers.' out Of basket ball's headline show with a 50 24 victory. Late Sports . Prof ect Strikers Hold Plant Despite Caution Against Defying Law- Is Expressed by Governor Murphy Vote on Abandonment Is , Halted ; Officers of Law Hold Parley DETROIT, March lB.-WVFive thousands sitdown strikers re tained possession of Chrysler cor poration automobile plants to night after a long court evacua tion order while Governor Frank Murphy cautioned against "defi ance of the law." The sitdowners, ordered In an injunction to vacate the plants by 9 a. m. (EST) Wednesday, aban doned at union Instruction a plan to vote on obeyance of the circuit court decision issued this morn ing. In a statement directing, that the constitutional authority of the courts must be respected," Gover nor Murphy and bis conferees on industrial problems said govern ment agencies are "bound to take proper steps" to preserve public authority and "private property." The statement pleaded for peace conferences as against the "use of force by any group." Rally Won't Vote But Strikers May ; Homer Martin, president of the United Automobile Workers of (Turn to page 2, col. 1) Portland Strikes Reported Settled Two Bag Plants' Disputes Near End But Lumber Issue Is Crowing PORTLAND, Ore., March H. (JP) The reported settlement of strikes at two bag manufacturing plants, involving slightly more than 200 employes, highlighted the labor situation here today. Bert W. Shelton, business agent for the warehousemen's branch of the International Longshoremen's association, said the management of the Ames Harris Neville Bag company and striking union mem bers had reached terms ending a five months' dispute, and that about 200 employes would return this week. The union official said the com pany had agreed to recognize the union, give preferential hiring, a (Turn to page 2, col. 1) Reduction Asked, one Rates - The public utilities commis sioner was asked Monday to ex tend the Salem ' telephone ex change base rate area, reducing residential and business service rates In the district. ' The request was made by the Pacific Telephone and Telegraph company. The change would, principally, remove the mileage charge varying -from 25 cents per quarter mile to 50 cents per quarter mile now imposed out side the existing base rate area. Charges in the territory ad joining the proposed extended area also would be reduced. Re ductions totaling 1454.20 a year, and affecting 88 subscribers, would be accomplished. ' Fdur patrons now having" private rur al phones may pay $86 more. King wood Heights near West Salem, as well as Kay's and Ab rams' additions in northeast Sa lem, the state ' fairgrounds and new addition between the Pacif ic highway and Silverton road would be affected as would the property north of the city limits from the Willamette river to the Pacific highway. Spaulding Papers Approved By Fee PORTLAND, Ore., March 1 5 (jP) Federal Judge - James Alger Fee approved today instruments to be executed in connection with the reorganization of. the Charles K. Spaulding Logging company of Salem. : ' j - - - - The action opens the way for final steps in the organization, which Involves the securing of a $350,000 loan from the - reeon structKm flnan corporation. Court Order Teleph Two of State Parole Board Members Quit Dr, Utter and Treece to End Service; System Criticisms Seen No Statements ; Irvine's ' 39-Year Education Work Also Ended J Dr. Floyd L. Utter of Salem and W. H. Treece of Portland re signed Monday as members of the state parole board. The third ma:-ber of the board is W. L. Gosslln, secretary to the governor, who holds office . ex-of ficio. The resignations are, not effective for a 90-day term. Governor Martin made no comments on the resig nations, merely stating he had not yet accepted them. Another position for the gov ernor to fill is the vacancy on the state board of higher education. B. F. Irvine, editor of the Port land Journal, whose terra' ex pired March 2, notified the gov ernor yesterday he would not ac cept reappointment. Irvine has served for 3 9 years on boards dealing with the higher education al institutions, seven years on the present state board and prior to that on . the board of regents of Oregon State college. Present System Faalts Are Sees . . The resignations of Utter and Treece -are regarded as expres sions of dissatisfaction with the present parole organization and failure to reorganize the system along .lines embraced in three bills which met defeat In the sen ate last week after passing the house. While both men gave inter ference of parole board work with personal business as reasons. Dr. Utter is known to be keenly dis appointed over the failure of the parole legislation to pass. Ap pointed shortly - after Governor Martin took office Dr. Utter has devoted a great deal of time to parole board problems and feels drastic reforms are needed. The parole bills would have given the parole board power to determine the sentences of pris oners, under the maximum terms set by judges, and would have made the chairman of the board a full-Ume, salaried official. Treece, in Portland, said his resignation was submitted j inde pendently without knowledge that (Turn to page 2, col. 5) Sheridan Span Is Litigation Theme McMINNVILLE, Ore., March 15 CP) An Injunction suit brought by citizens in an effort to force the construction of a new bridge, halted repairs on the county span over the South Yamhill river at Sheridan today. Circuit Judge Arlie J. Walker signed a temporary order upon petition of V. A. Para, E. M. Huntley, T. R. Parsons and L. R. Sackett. Judge W.'O. Powell and Commissioners T. L. Bockes and Frank Campbell are named defendants. Arguments are set for Tuesday. The complaint alleges that ef forts to repair the -bridge are a' waste of public funds and that a new structure or major repairs to the extent of $10,000 are needed. " Radio Request Okehed WASHINGTON, March 15.-(P) A communication ' commission commissioner recommended today Harold M. Finlay and Eloise Fin lay be authorized to construct a radio station at LaGrande, Ore. Compromise on Cbiirt Issue Proposed byD WASHINGTON, March 15.-JP) Senator Robinson. (D-Ark), the democratic leader, produced to night the first compromise sug gestion to emanate from the ad ministration side of the turbulent debate over President Roosevelt's court reorganization bill. j After predicting the passage of the Roosevelt measure before the session closes, he held out the possibility that at the same time, a constitutional amendment may he proposed to the states, of a nature still to be determined. Some of Leaders - " i Favorable, Report ; I While Robinson would not dis cuss its possible contents, it be came evident that some adminis tration leaders were favorably dis posed toward an amendment of fered today by Senator Norris (Ind-Neb) to limit the terms, of federal Judges, Including those of the supreme court, to nine years. . Some administration backers of the president's proposal to In crease the supreme court to a Resign Parole -1 Board Offices Mi I V Above, ;Dr. Floyd L. Utter of Sa lem; below, W.l H. Treece of Portland, whose resignations as members of the state parole board were announced simul taneously Monday although theyjjacted independently. They will continue to serve until 'Jnnelt was Indicated. Aniy Air Base at Taboma Approved I WASHINGTON, March 15-flV The army j high command dis closed itoday its Intention to es tablish; at I Tacoma, Wash., the largest military air base on the Pacific eoast to complete Its aer ial defense in that area. . An M eventual expenditure of about 115.000,000 is contemplat ed ovr a! period of years, to provid maintenance facilities for sufficient war planes and personnel to meet any emergency. If present plans are carried out, officers said, the Tacoma depot !1U be larger than Ham ilton field, ' at San Francisco, and March fj field .near San Diego, which 'iare ! the army's only air bases 'th the far west. . Selection! of Tacoma as the first stfe to be chosen under the Wilcox;! bill j authorizing army fly ing bases in strategic sections was announced by Generay Malln Craig,: :chlet of staff. k - Organize at Klamath i ; . -KLA3TATH FALLS, Ore., March 1 5 itr- Union representatives from Washington state laid the groundwork for organization , of local sawmill and timber -workers at'ia series of meetings dur ing thlf past week-end. 1 i t . 1i ento Robinson maximum of 15 justices if Incum bents, ejrer 70 years of age do not retire expressed the thought that the . Rcibinson suggestion for an amendment; might increase the support tne blte house measure. ( . - ; , They; expressed hope it might make ;a favorable impression among , those senators roughly a third ; of the senate who have not, yet -committed themselves on the issae and some of whom are backing; constitutional amend ments. ) i - - ".Thejfe Is no inconsistency' In the - president's proposal and in certain amendments to the con stitution that have been proposed," Robinson said in a statement care-, fully dictated to reporters. - I expect! the Plan of the nrest- dent wfil be! approved by the con gress, ft is by no means certain that amendments will not also be considered by the two houses of congress for submission to the states. If j . ' ! "Certain amendments that have - - -(Turn to page 2, col. 2) "Mongokuowls Latest Nation OnWorldMap Japanese; Influence Seen According to Limited Facts Known Now Ten Wanjr Believed Head With Tokyo Advisors in Area Numerous PEIPING, China, March lf-(Tuesday)-(p)-Unconfirmed re ports from the north reached here today that a new nation "similar to Manchoukuo bad been carved out of Chinese ter ritory and had proclaimed iu independence. . Reports from missionaries sta tioned in the vast area to the north of Kalgan declared the Mongol hordes of northern Chi na bad christened the new state in northern Charar province "Mongokuo." The territory embraced by Mongokuo,- according to these unverified reports, was roughly of the size of the state of Ohio, bounded on the west by Suiyuan province, on the north by outer Mongolia, on the east , by Jehol and on the south by the Great WalL - The capital of the area was re ported to have been set up at Chapser. , Leaders of the ' asserted inde pendence movement were not yet clearly known although the Mon gol Prince Ten Wang, who the1 national government has charg ed is under Japanese influence, was believed to be playing a prominent role. Many Assistants Work With Leader Associated with him, the re ports said, were some 100 as sistants charged with carrying out the administrative organisa tion. " :. Numerous Japanese advisors, it was understood here, have been " attached to the new re gime. , A tariff schedule was said to have already been prepared and printed while the collection el. customs was under way. AH merchandise entering the area, the reports said, was subject to duty. . What relation the reported re cent departure of Japanese mil itary advisors from Chahar pro vince had with life reported es tablishment of Mongokuo was not clear,' but the opinion - was widely expressed here they took a prominent part In . getting the movement under way and then left the area just . before the news was disclosed. Purchase of New Pumper Is Voted Purchase of a new COO-galloa fire pump truck to replace "Old Chemical," the city's first piece of motorized fire fighting ap paratus, received preliminary ap proval by the city council last night. City Recorder A. Warren Jones received instructions to call for- bids for , the new truck, esti mated to coat $8000. It would be equipped with a pressure water tank. Instead of a chemical tank. 'Old Chemical" as the sputter ing old chemical and hose wagon has become familiarly known was bought by the city more than 20 years ago and has answered near ly every fire alarm, save for some minor, flue blazes, since that time. It is now costing the city heavily In repair bills and is in such con dition that it endangers a fire man's life on every run, Alder man W. H. Dancy declared. Draining of Mill Creek To Aid Quest of Missing Woman Asked of Council Lloyd Hill and 42 other citi zens petitioned the city council to have Mill creek drained to fa cilitate the search for the body of Lena Gobley, who' the petition says- is believed to have drowned herself In the stream recently. At the request of Councilwemaa Gertrude F. Lobdell, the alder men directed "the proper authori ties' to Investigate the matter. -" Manager Cuyler VanPatten ef the water department said it would be difficult to drain the stream at this time of year. A L L A D! E of TO DA ' By R. a When everything is running swell and opposition's plainly routed, the politician's prone to tell the world just how he'll go about it; no protests cause him then to hearken, he booms ahead with close-shut eyes, but when his hopes of victory darken, he willing then to com promise. - J. I!