Art Appreciation The 48 famous paintings ffered by The Statesmau re being purchased by an ever-increasing number of this paper's readers. Weather Cloudy today, probably rain Monday; Mas. Temp. Saturday 57, Min. 48, river 14 feet, rain .01 Inch, south southwest wind. POUNDDD 1651 EIGHT Y-SKVENTH Y EAR Salem, Oregon, Sunday Morning, November 28, 1937 Price 3c; Newsstands 5c No. 211 aiem Fae 3O.90) I m Popnolatioii TInitM States Shows Concern Over China Open Door Status Warning Sent :ary Hull to Japan Nation to View- Askance any Tampering ' With Chinese Customs England Taking i Similar Stand; Invaders. Make - " Furtlier Progress WASHINGTON, Not.? ZT.-(fPy-Secretary Hull, concerned for the future of China's . commercial ' "open door," -warned. Japan today the United States could not look -with equanimity on any attempt to. tamper -with the Chinese mari time customs system. Acting on his instructions, Am erican Ambassador Joseph C. :Grew formally notified the Tokyo foreign office the American gov ernment would be "very much , concerned" if the Japanese con querors of Shanghai and other . parts of China disturbed the in- : tegrity of the Chinese customs ser vice. The secretary of state announ ced also the state department was maintaining close contact on the subject with other governments, J some . of whom, notably Great .Britain, have lodged similar rep resentations -with the! Japanese : government. v Growing Anxiety I . Is Not Disguised Whether Washington and the other protesting powers contem plate further action with respect to the customs situation was not i made known. But officials here did not attempt to disguise their : growing anxiety over the possible consequences to American trade , and financial investments in Chi na If the customs ports were seized. 'Uppermost In their calculations was the question -whether such big shipping centers as Shanghai and other coastal cities might be treat ed like the interior Chinese cus toms depots which - were taken over In the Japanese conquest of Manchuria in 1932-33. Since then, trade authorities said, American and other foreign exporters have been able to enter the Manchurian market only with the small categories of goods Jap an was unable to supply. Approximately 65 percent of America's annual exports to China proper, amounting In - 1934 to (Turn to page 13, col. 4) dditics ... in the Newt CINCINNATI, Nov. 27HP)-H1" hands caught between the cables and pulley of freight elevator, 10-year-old- J I m-m y -Leadbetter. hung for more than halt hour tody at the top of a 40-foot ele- .haft , KtirrMim ' believed they could save the injured mem bers. '' :.'-L... : :;f- ;: The accident occurred -as Jim my -and a companion were ea gaged . In ? Joy-riding" in, a -vacant build ing On one. trip, as-tbe elevator stood at - the top floor,,' Jimmy rasped the cable to steady; himself. Without warning,' his companion started the cab. Frightened, he continued downward despite the boy's screams, and ran 10 blocks to notify the youngster's mother. - t wyiiu iftu . Ul, LUG life-saving squad had to lash Jim- mv'a body to a shaft suenort be-' s fore' he could cut the cable and free' the lad. . ' ; i INDIANAPOLIS, Jfovi 27-( Maybe it was an early example of the Christmas spirit; ' A robber entered the taxi rab of Wilbur JIart today and demanded hia money, H t re ported to police., f - I '."' . I haven't very mncV Hart answered the robber. "I never earry anything bat small change for fear of being robbed. I bavc family to support.' v The holdup man, hesitated moment, then said,' "Weil,- I've got ' money here, take this," handing Hart a half dollar and leaving. ' KANSAS CITY, -Not.. 87-4V Willlam H. Sawyer 8 0, 41ed happy today. t ' - '7:.' 1- k) " A. daughter. Miss Lena Sawyer, said her father "had Just held on" to testify Is a law salt he won Wednesday when- he was awarded a $1,775 Judgment. Ha was car ried to- the , courtroom and peca i4. tk witaaaa chair tax aa. honx iy secrei Portugal Is Walking Tight Rope With Loss of Colonies Main Fear y! I President General Oarfwonaj 4 ' J. f I J " 1 J ,: A P MjKt'-. It," vfc- I - f m 'Zz : ; jVIew of Lisbon, Portogneae capital 'Off O International observers are bow taking Into consideration the dilem ma of Portugal, Europe's fifth largest empire but weak in military defenses. Always friendly la the past to England which took her side against encroachments, Portugal is leaning toward the fascist entente as a policy she now apparently regards most likely to pre serve her vast colonies. Old Age Aid Will Increase Greatly Over Third of Million to Be Added to Present Total Next Year More than a third of a million dollars in .old age assistance grants will be distributed among approximately 1500 elderly Mar ion county men and women next year, according to statements made yesterday by Glenn C. Niles, executive secretary of the county relief committee. With the county contributing $90,000, the state' the same sum and th3 federal government double that amount, $360,000 will be available for old age assistance here in 1938. Niles estimated the reduction. January 1 in the age limit from 70 to 5 years would bring 600 additional persons into the -old age' assistance eligibility ranks during the coming year. The county aC present' is 'contributing toward the support of 950. men and women who are 70 years of age or older. ' .v I Old age assistance applications will be accepted from persona be tween the ages of 5 and 70 years beginning Wednesday, Niles said, But first' checks will not go out to approved applicants until' the last day of January. - To meet the burden occasioned by the reduced age limit, ' the county court has raised Its old age assistance appropriation for, 19 3 8 (Turn to page 13, coL 1) .; Three Time Loser, 63, Says Drink Caused -Already a three-time loser on check charges, 63-year-old E. O. ; Beach pleaded guilty, told a story of early loss of a beloved wife and a subsequent fight against "drink." then asked no quarter from the court when .he appeared before Circuit Judge L. U. Me Mahan yesterday afternoon on a charge of .forging a check on the Salvation Army here last year. . : "The strangest . case I've ever had," Judge McMahan comment ed.' District Attorney L y I e 3'. Pago and observers at- the "In chambers" aession of the court were Inclined to agree. Beach's tale Bounded like, a Woman's : Christian Temperance union play of pre-prohlbltlon days. ' "I should be punished," Beach told the court, his chin trembling slightly. "But I 'Just can't help saying that Tve-been fighting an awful ' fight In these years past. My wife the only one I ever had died ol conaumiiion nhttIXM Greyhound Finns Ask big Damages Over 6 Million Suit Says Strike Aims to Divert Traffic to Rails SYRACUSE, N. Y., Nov. tS-ff) ( Sunday )-AVrnree buses -were damaged and a bystander was in Jured early this morning in an other outbreak of strike violence at the Syracuse Greyhound term inal. A crbwd estimated by police at 900 gathered about the station as buses prepared to depart for Cleveland and Rochester. As they drove from the building bricks and stones flew, breaking windows and denting the bodies of the machines. CLEVELAND, Nov. 27 - (JP) - isine ureynound bus lines in a $6,300,000 ; damage . suit today charged the brotherhood of rail road trainmen called the 16-state bas drivers' strike to divert traf fic to railroads. j .... ' "That a a smoke screen," coun tered S. R. Harvey, assistant pre sident of the. union. "There are no conflicting Interests whatever be tween drivers and railroad men in the brotherhood. " - - Greyhound service' meanwhile remained paralyzed f at -Philadelphia.' Seven of eight lines running through Newark,' N.- J., suspend ed operations.. The New England Greyhound ' line abandoned Its (Turn to page 13,-coI. 2) , Check 26 years old. I began to drink when I was about 86, but not b c&uie of losing her; why, I doo't know. And when I drank I was a different person; I did thlnga and then didn't know afterwards I had done them. Beach's appearance yesterday, as a man of refinement, who m his youth bad been a salesman of office equipment, and .later of automobiles, puixled his listeners as he proceeded to confess that he had been Jailed first In Connecti cut on a check charge, insufficient funds,' had been caught sawing an iron jail bar in an effort to escape and return to his young wife, the granddaughter ' of a Wisconsin governor, and then had gone to the state prison. In later years he served . sentences in " Texas and Illinois penitentiaries on similar Check offenses. . "finally, I got to working for the Salvation Army, first In Los Passing . (Turn Jo iarj 13 $ bi, t School Tax Is Only Property Levy by State Income Taxes -Virtually Wipe out That Burden Upon Real Estate Permanency Is Doubted; Total Budget Higher Than 1937 Figure Technically sDeaking. there will be a state-property tax of $1,796, 235.69 next year, but the state government will never see any of it. It will be the elementary school tax, levied and apportioned as a state tax but paid to county om- clals and disbursed by county school superintendents and is gen erally considered a local levy. For 1937. the total Btate prop erty tax was $2,817,939.86. This is the second time the state property tax has been eliminated due to Income tax receipts. The first time was In 19 3 z. Both last year and in 1935 the property tax, while hot entirely wiped out was reduced materially within the six per cent limitation. In 1935 the property tax for state nurooses was reduced from around $1,348,950.43 to $903,- 511.63 and in 1936 to 1884.640. Reduced Income - - . Receipts Feared Tax department officials said that while the property tax elim ination for 1938 was cheering news, decreases already looming in next year's income tax receipts, might make it necessary to restore the property tax in future levies. Income tax receipts for 1938 were estimated In the new levy at $4,337,704.67, a reduction of al most half a million dollars from the estimated receipts of $5,300,- 000 for this year. Biennial appropriations were listed in the tax levy at $17,659,- 424.87, or approximately si.ouv, 000 In excess of that Included In previous budgets and tax levies. Included In these were $850,000 tnr ennstrnction of a new library and office building and Increased mlllage for higher education, me half mill levy for the world war veterans state aid commission, amounting, to $449,058.92, not levied last year, also was lnciuaea in this year's tax levy. New Appropriations Shown in Budget In addition to the unusual ap propriations contained in former (Turn to page 13, coi. j More Rain Is Due Soon, Predicted Cloudy conditions today and rain Monday were in the weather bureau forecast for the weekend last night. Only .01 inch of rain fell in the 24 hours ended at 7 a.m. yesterday. '. The Willamette river dropped gradually from Its 16-foot peak of Friday night and by yesterday af ternoon was down to 14.1 foot point. '4-'' . "' V i 1 County officials predicted the Salem-Silverton . highway at the Pnddlnr river bridge would be re opened, for traffic b e f o r the weekend closed. Overflow, water from the river covered the high ways all last week at that point to depths ranging to more than four feet. " . Oregon Gly Will Rest on Laurels, Not Play Vikings -Th Oregon high ichool foot ball championship situation tfU remain at "atatua qno" with both Oregon City and Salem un defeated, it was revealed last ight Coach Harold Hank of Salem high said Coach Harold Disaick of Oregon City had tnrned down Salem's offer of a post-season gam, -v" H - Pimlck was quoted as saying ; he' wat personally' willing to schedule ' the game but that sentiment In Oregon City was against it. the flew there being that Oregon City waa the nn disputed champion ai a result of Its victory dver Bend. 14 to 13, on Thanksgiving day. Accident Shot Fatal t EUGENE. Nov."7.-)-Gordon A... McNeil, 44. . died Friday from an accidental gunshot wound Limit on Farm Program Cost Sought by FR Budget Balancing Issue Stressed by Letter to Senator Barkley McNary Urges That Bill Be Dropped Until It Is Drafted Anew WASHINGTON, Nov. 27.-fl5)-President Roosevelt gave congress a strong hint today that he wanted the cost of the new farm program held to a billion dollars a year. In a letter to Senator Barkley, the democratic leader, the presi dent reinforced earlier budget balancing statements with the emphatic assertion: "It is obvious that a constant increase of expenditures without an equally constant increase in revenue can only result in a con tinuation of deficits. "We cannot hope to continue on a sound basis of financial man agement of government affairs unless the regular annual expend itures, are brought within the revenues." Mr. Roosevelt said he felt "ev ery effort should be made" to keep spending under the new farm program within an already voted $500,000,000 appropriation. But if this were impossible, he added, "I then urge that steps be taken to provide the necessary in crease In revenue to meet any ex penditures under the new farm program in excess of that sum." Barkley told reporters it would be difficult to estimate how much the new program would cost, but if it attained its purpose of stabil izing farm prices and eliminating surpluses the sum probably would be small. "I feel sure," he said, "that if any additional revenue is needed, congress will raise it so as not to make any additional burden on the .treasury." (Turn to page 13, col. 1) Boy, Five, Reports His Parents Slain WHEAT BASIN. Mont., Nov. 27 (JP) "They shot mama and papa last night," Thus did five-year-old Larry Kuntz disclose today a story that two hitch-hikers killed his par ents and left the boy beaten sense less in an automobile 'with the bodies of his father, Mike Kuntz, 38, and his mother, Mrs. Kuntz, 28. ' Directed by kittle Larry, Mike Zlsser and Hubert King found the bodies of Mr. and Mrs. Kuntz in their automobile inside a grain elevator which . Kuntz operated since coming here from Bismarck, N. D., several weeks ago.. Undersheriff Jack Benjamin said both bodies had several bul let wounds. He said no gun could be found. Benjamin'' reported tonight he had arrested a man and his wife at Columbus, Mont, lor Question ing In the double slaying. Ques tioned by P. R. Heily, Still water county attorney,- they gave their names as Hugh Downard, 40, and Mrs. Downard, 28, and denied the slaylngs. The Hunts boy, Sheriff Benja min said, pointed at the couple and said: "That -man looks like the man, but the woman doesn't look the same." : Two Are Injured In Auto Mishaps Jesse Arnold, Janitor at tho state highway building In which the state police office Is housed, was knocked down on the highway between the building and 25 th street last night by an unidenti fied ear and a bone in his left arm broken. . Jle was taken to the Salem Gen eral hospital by a state police offi cer, was treated there and remov ed to the Veterans hospital in Portland. ? Mrs. Victor Hammer was taken to the Salem Deaconess hospital for treatment of leg laceration suffered when the automobile in wbjch, she was a passenger went Into the ditch near Salem. Mrs. Hammer, a resident of route sev en, was able to leave the hospital after, treatment Pittsburgh Suburb Has Costly Blaze : PITTSBURGH, Not. 2 $--Fire swept through, a business and residential block In suburban Homestead early today, destroy ing at least 10 stores and rout ing 30 families. ' " Four women who Jumped from windows were sent to ft hospital. Outlook for Solution Of Lumber Tieup Dim; Peace Session Monday Sawmill Operators Won't Attend, AFL Definitely on Record Refusing to Join in Election; Direct Appeal Is Sent to President , PORTLAND, Ore., Nov. 27 (AP) A new force inject ed itself into the AFL-CIO jurisdictional dispute today when the Industrial Employes' union,' formerly the Iibyal Legion of Loggers and Lumbermen, offered Mayor Joseph K. Carson its help in reopening sawmills, Angus Chisholm, president Woman in Attack Case Surrenders Returns After Flight to Huntington; Qaims Self Defense ';' PORTLAND, Ore... Nov. 27-P) -Her nose bruised, Mrs. Maud M. Hughs, comely 45-year-old bru nette whom Frank Ellithorpe al leged attacked and slashed him 15 times, with a meat cleaver Thanksgiving day, surrendered to police today. e She was held under $10,000 bond, pending charges Detective Al Eichenberger said would be filed. Ellithorpe, manager of a dormitory and mess hall at Ma son City, Wash., was in a critical condition. Eichenberger said Mrs. Huphs admitted striking Ellithorpe, her friend of 10 yeaiiut claimed self defense. Ellithorpe, the detective said,, claimed Mrs. Hughs struck him from behind after he had turned off gas Jets she opened to show how she would "end it all." He alleged that while he lay on a bedroom floor, where a neighbor found him 10 hours later, Mrs. Hughs took $200 from his pock ets, Eichenberger said. Mrs. Hughs asserted, Eichen berger said, that Ellithorpe with her over an unsolicited conversa tion with a stranger in a beer par lor and finally struck her on the nose. She said,: the detective re lated, Ellithorpe used the cleaver to cut telephone wires when she attempted to call police. She said she wrested the cleaver from him and struck hysterically at his legs is self-defense. The money was taken when she decided to flee, she told Eichen berger. She left a Chicago-bound train at Huntington, Ore., and re turned here. Art Center Plan ' To Get Attention The proposal for establishing an art center in Salem, under con sideration, for several months, will be discussed by a local com mittee meeting with a representa tive of the Federal Art project here Monday or Tuesday, it was announced Saturday by Dr. F. G. Franklin. l Dr. Franklin received word from Burt Brown Barker, vice presi dent of the University of Oregon, that the federal project represent ative would be in Portland .Sun day and would come to Salem one of the two following days. In terested persons will be notified In so far as will be possible, after the time and place for the meet ing are determined.. " - Former Educator Dies 1 BELLINGHAM,' Wash., Nov. 27. -)-Dr.' Edward T. Mat hes, first president of the Jiellingham. nor mal school, -twice mayor of Bel-, lingham, business man and civic leader, died tonight at the age of Tl years. , ; . , , Gram Sees Peace Hope, Will Proceed in A rbitration Move Conflicting' terms demanded by non-union Salem restaurant oper ators and the Culinary alliance failed last night to -make State Labor Commissioner C. H. Gram despair of seeing any good come from his proposal for arbitration of the' differences : of : the two groups. 'J - ' Vr "I am satisfied this can .be am icably settled,"; Gram declared in his tint statement since a com mittee from Associated Restau rants of Salem. Ine., met with him at his request last Wednesday. The commissioner said he was "just marking time," had contact ed neither faction but felt certain "there are certain things that can be overcome. - t - r jr Before discussing the situation informally with undisclosed per sons last night. Mr, Gram -announced -he would have to go to Port land Monday morning to take part In the attempt to settle the saw mill dispute but would return here with the expectation of see- closed 106 days ago. specified the IEU had no Ointention of i soliciting members among mill workers here. The na tional labor relations board is hearing charges of company, un ionism against the organization. Meantime, 15 sawmills and wood products companies tele graphed President Roosevelt, La bor Secretary : Frances Perkins, John L. Lewis and William Green and congressmen their first appeal for help. "Steps to bring peace . . . and force the two major unions to conciliate their positions," were demanded. Other developments were Portland council of churches rec ommendation for a local arbitra tion committee; . AFL refusal to participate in an election conduct ed by the NLRB, and an announce ment sawmill operators would not attend a Monday meeting of Charles W. Hope, regional NLRB director; the governor; Mayor Carson and AFL and CIO groups. Governor Martin and Hope re ceived appeals from Tillamook county officials and residents to Intercede in Jurisdictional disputes which have thrown 2000 men out of work there. The Tillamook county court, chamber of commerce and other organizations and Individ uals there, joined Saturday in urging Governor Charles H. Martin to take some action to terminate the present labor controversy. "Tillamook county has been de pending very largely on the sal vage of our fire-killed timber for stabilizing Industry here and also giving the county needed tax mon ey," theletter to Governor Martin read. - - . - , - "When logging operations cease (Turn to page 13 col. 2) Statewide Berry Association Plan Organization Along Lines of Logan Board Urged at Meeting Here Organization of all small fruits producers in Oregon along the effective lines of the present Ore gon Loganberry Control board, was advocated .in a resolution of logan and blackberry growers passed at the statewide conference which was held in Salem Satur day. The resolution was presented by John Ramage of Woodburn. Large attendance and active in terest in the' problems common to berry producers ; featured this meeting, the " crowd of growers from all berry producing sections of the state filling to capacity the auditorium of the YMCA where the- afternoon session, was held. The group met in the forenoon at the chamber of commerce audi torium. ' ' -' The meeting was .presided over by ' Frank Hrubets, president .. of the Salem Berry Growers associa tion and of the loganberry control board.1 A number of technical talks and discussions of the small fruits In dustry were presented by leaders in the industry and Oregon State college horticulturists. O- ing some, sort of compromise de veloped . In the restaurant Situa tion before the close of the week. . While both the anion and the operators have agreed to arbitra tion, the former bas unofficially let It be known that it required a closed shop agreement as one out come and the latter have declared through spokesmen that they . f (Turn to page 13, coL J B A L LAD E of TOD Ay - By a. a Ton can lead a horse to water bit you cannot make him drink; that hoary saying well applies, to Portland's labor row, I think; the mayor and the gov-" ernor may rant throughout the neighborhood, but all they par will scare Induce those men to start in sawing wood. Over Thousand Climb in Past Year Is Shown' Total now 31,333, Based, on Same Indices Use,d In 1937 Estimate Water Patrons, Count of School Pupils, Other Figures Included By STEPHEN C. MERGLER ;j ! Salem has definitely entered the advanced municipal population grouping of 30,000 to 50,000 per--sons by dint of a sharp rate of growth experienced by the capital, i city in the past year. j That conclusion was indicated- i yesterday by a recheck of reason- ably reliable key utility and school; ! census indices upon which The j Oregon Statesman was led to an- ; nounce on November 13, 193,, that Salem's population had; climbed to 29,955 from 26,668 in ' the federal census year of 1930. Yesterday's revision in accord-; ' ance withrthe city's growth showed Salem's probable population today to be '31,333 men, -women and children. That total represented a, growth of 19.3 per. cent in seven. .J years, of 4.4 per cent or 1323 per- '. Sons in the last year alone. This result was given by a study of school ' census totals for the years 1910, 1920, 1930, 1936 and 1937, of Portland General Electric company customer listings for 1930, 1936 and 1937 and of Sa- : lem water department active files ; for the same years. 1937 Water Figure Estimate Was low . A variation crept into the com putations yesterday from those of a year ago in that the index figure obtained from the water depart- 1 ment in 1936 was only an approxi- mation which by an exact count j since that time has been found to I have been low. Salem's population last year with the correction made must have been 30,010 instead of 29,955. -f ' That these three Indices must be approximately correct as ap plied to the city's population to tals is indicated by reports from conservative independent sources, j The Salem postoffice has re-! ported to the federal government i that the city's population is now around 30,000 persons. R. L. Polk tc Co., city directory : compiling agency, whose estimale i a .year ago was under that of The; Statesman's, recently "announced ' its 1937 estimate as 29.812. The Salem Chamber of Commerce bas f since urged the directory firm to - take its counts hereafter in the spring instead of in July and Au gust, the vacation months which 1 take many of the city's residents' to other .places. AH Indices Show ! Gain During Year t In arriving at its 1937 estimate.' The Statesman has computed the city's population on the basis of a 6 per cent consumer growth re ported by -the Portland General Electric company in the last year, a 2.64 per cent increase in active customers listed by the water tie- -partment and a 5.2 per cent gain in school census children. An av erage of j the population totals I gained by applying these percent ages to the respective totals ob tained a year ago gives the new - estimate, 3 1,3 3 3. i ; , t ; As pointed out by Manager W. ?. M. Hamilton of the power com-.' pany last! year,' the city's school . census totals showed a but slight- ly varying ratio to the city's popu lation for the federal census years -1910.' 19210 and .1930. The average ' ratio derived - from .' these three,' or 2.884 residents to every school census child, when applied to the . 1937 school census completed ear-, ly this month supplies; a popula tion estimate from this source of 31,181 persons, or but .4 of 1 per cent below the estimate de-' j veloped from 'The ' Statesman's' ' composite averages. - ' e -ryb o dy KJhuys and uses Ch ri stm a s S e a I s PAINTER.-' 21 Shoppinq w 'Days Left