News "Photos Three photo services briny pictures o( world new vents to readers of The Orejfon Statesman la every" Issue. ;..". '' PCUNDDD 1651 The Weather Unsettled, light rain to day and Wednesday. Norma temperature. Max. temp. Monday 89, mln. 28. RItct -s8 feet. South wind. EIGHTY-EIGHTH? YEAR Salem, Oregon, Tuesday Morning, December 27, 1938 Prict Sc; Newsstands St No. 235 .Roevc. 4 'I V ay Ask Gfealt V None Left Out As Christmas Feast Enjoyed Hundreds of Families In Salem Vicinity Aided by "Welfare Groups Hotel de Minto Also Is Host as Delectable Dinner Served Big-hearted Salem feasted on Christmas day without forgetting that many of Its families could not proride . themselves . with a generous Yule table. Churches, school children, vet erans, fraternal and service clubs and organized charities Joined hands to make the day a real merry .-Christmas for all; yester day, their leaders expressed a be lief they had achieved that goal. The Salvation Army distributed more than 150 baskets containing meat, staple groceries and fruit to as many families, with the Red Cross assisting, as a clearing house to avoid duplication of effort. Ad jutant - John M. Allen reported yesterday. From the new army V 11 .1aVI.. . n J , t.jjl.. .1.. unit viuiuiug buu vcuuuig mtai were delivered to families need ing such articles. A crowd of children that packed the hall, Saturday night enjoyed a Christ mas program and the arrival of Santa Claus, arranged for with the aid of the Klwanis club. . " . Many Given Baskets '"L By Catholic Charities More than 350 men, women and children enjoyed Christmas viands delivered to 74 families by the Catholic Charities of Salem, an other Community Chest affiliate. Rev. T. J. Bernards, director, an nounced last night. The charities board, T. A. Wind ishar, August E. Huckestein, Cyril A. Suing and Daniel McClelland, along with other Catholic laymen, assisted. Salem's transient visitors also were not forgotten, according to Patrolman Hobart Kiggins of the eity police force, who has 'charge of Hotel de Minto. Twenty-six hungry knights of the thumb and rails were treated Sunday to a sumptuous dinner that included roast turkey, duck , and goose nuts, candies, cakes, pies and the other customary trimmings. After dinner they enjoyed cigars and cigarettes. "The men were more than amp ly provided for,"r Off icer Kiggins commented. "The many contribu tors to this dinner would have had their thanks in full had they been able to see "the 'guests' gather Joyously around the 'hotel' tables. From school rooms and church groups also came generous dona tions of foodstuffs and clothing distributed to needy families through private an dpublic agen cies. - . More Receive Toys Than Ever Before " So many boys and girls found the Salem Elks lodge and the eity tire department a true Santa Claus Saturday, when toys, cloth ing and candy were given away to all comers at the Elks club Saturday, that the committee yes terday had not been able to com plete Its count of registration cards. "More boys and girls than we ever had before," reported Lou Thomas at the Elks office. "There were between 1500 and 1600. We ran out of candy before they topped coming but sent out for more so that none had to go away disappointed." Others on the Elks committee were Robert Cole, chairman; Wil liam Hammond, Joseph Kreuger and Percy Blundell. The hundreds, or possibly thou sands, of ' toys given away were the handiwork of Salem's fire men, who for three months bad been busy in their station -shops repairing and repainting, toys brought in by townsfolk. Needy war veterans' families were supplied with a large num ber of Christmas dinner baskets through the Associated Veterans, headed by Hans Hofstetter. Thirteen other families late last week received large boxes of food- staffs, elothing. candy and toys. the -gift of the Salem Lions club and auxiliary. Cash donations to charities were made by the Rotary tlab. .... Elliott Roosevelt Attacks Mexicans --Observing that "it would ap pear on the surface that the 'good neighbor policy has - gone far enough," Elliott Roosevelt assert ml in a broadcast tonlxht , that Mexican sales of oil from expro nrittai) nronertiea to Germany. Ja pan and Italy has created a prob lem for this nation which must be met. - -- V-'T "If Mexico wants- to be a friend and a good neighbor, she might how. It first of all bv lnvltinr an oil man representative from each r ttifc fnrolra nation affected bv expropriation measures to come to MevtMi eitv and sit with Mexican officials. In all of their dealings efeiase Pirog ? o ram HARRi . OPKINS TAKES CABINET OATH 'if - s V -- if - T- -; ' 'lh- -ill f- rvll 1 . , J', ' 4 J .2r: A' r 1kv$ A-- Y. 'Ifr-'Wf. llait .:::':-:-; : J". 1 V The meeting room of the cabinet was the locale for Harry L. Hopkins' receiving of the oath of office, and attending a cabinet session in his new capacity as secretary of commerce. Telephoto shows Hop- kins, former W PA administrator (center) being sworn In by Associate Justice Stanley Reed of the U. 'S. anpreme court, while President Roosevelt who named Hopkins to the post looks on. (Acme . Telephoto). " Bomb Threat jote Held Crank's Job Police Search Portland Store but Find not aHSingle Clue PORTLAND, Ore., Dec. 2e-AJ) -Detective Captain John J. Kee- gan expressed belief today that the extortion-bomb threat tha; forced evacuation of the Sear3, Roebuck & Co. s t o r e at the height of the last-minute Christ mas rush Saturday was probably a hoax perpetiated by a crank. Police searched the store but fcund no time bomb the extor tion note, slipped into a cashier's cage, said was set to explode at 3 p. m. They questions a part- time employe of the store they thought manifested undue inter est in the plot but exonerated him. The note made its appearance shortly before 2 p. m. Saturday when 5000 last-minute shoppers jammed the store. It demanded payment of $2500 at an east Portland address to a man who was described. It stated that when the money was paid the store would be given the loca tion of the bomb by telephone in time to prevent Its explosion. Police and store executives hustled the customers and 300 employes from the store and locked the doors for the day while detectives began their fruitless search. Harry Richmah's Wife Hospitalized, Pneumonia NEW YORK. Dec. 26.-flV-Ha- sel Forbes Richman, wife of Har ry RIchman. night club entertain er and actor, who was admitted to Mount Sinai hospital yesterday suffering from, bronchial pneumo nia, was reported today to have passed a "comfortable night." Only one Infant Is Santa's Gift On Salem's Yule Just one Christmas baby, , fitting symbol of the season, arrived In Salem on December 5,-a check of local hospitals yesterday revealed. Mr. and Mrs. E. L. Smith of Gervais were presented with a 9 H -pound baby girl, Mary Lee, born Christmas noon at the Bungalow maternity home. A baby boy born to Mr. and Mrs. Yoshikasu Horikoshl, route 7, jnst missed the day by a few hours. He was born at Deaconess hospital Monday night. Coulee Dam Cost Nears $95,000,000 GRAND COULEE, Dec. 26-()-Estimates of the US bureau of reclamation and Consolidated Builders, Inc., Indicated today the total expenditures in construction of Grand Coulee dam to the end of the year would bo $95,000,000. The figure for equipment, ma terials and supplies. Including ac tual expenditures and items for which contracts have been made, is about $56,000,000 and for wages and salaries nearly $29, 000,000. The figures for 1938 alone were estimated at $f22,000,000 and $7,000,000 respectively. The CBI listed the hourly pay rate of $1.09 for the year, with average weekly pay checks of $40.33. The average number of men at work on the project during the year was listed at 3169. Stork vs. Santa PORTLAND. Ore., Dec. 26-y-Santa got stiff compeUtlon from the stork In Portland. Twelve babies eight boys and four girls were born Christmas day. Insurgents Report Capture ic Loyalist Of Strateg City HENDAYE, France (At the Spanish Frontier ) , Dec. 2 The Spanish Insurgent ' military command reported .tonight the capture of Borjas Blancas, strate gic town 1C miles southeast of Lerlda ion the main Catalonian highway to Tarragona on the Mediterranean coast. , Insurgent radio stations broad cast a report from Gen. Francisco Franco's -. general headquarters that this Important position fell In the fourth day of their general offensive Into the heart of the government stronghold In north eastern Spain. 1 - -i - Borjas Blancas Is approximate ly 35 air miles from Tarragona and is In the center of the Insurg ent campaign on the southern end of the Catalonian front- -r - Elsewhere in . Catalonia' Fran co's troops reported a slow but steady advance In t h e I r thrust aimed alUmately at Barcelona, the government capital. Jnst south of Borjas Blancas, the insurgents reported they pene trated the province of Tarragona In the vicinity of the Sierra De La Llena, where the government has erected a strongly fortified line. The Insurgent columns in the mountain and those at Borjas Blancas apparently were endeav oring to form a Junction at Mont- blanch, 20 miles to the east for-a combined push against Tarragona, 20 miles south southeast. Montblanch is a Junction on the curving main Lerlda-Tarragona highway. y : Insurgent planes, flying ahead of the land forces, bombed Reks, about 10 miles from Tarragona on the highway. Government ad vices said nine persons were killed. ' ' Government dispatches said the northern defenses of Catalonia around Tremp, famed hydroelec tric center, were . holding - firm against relentless Insurgent as saults. , Several Italian troops were reported taken prisoner In the Segrt river sector, r Insurgent advices said. - how ever, that of 27 divisions taking part In the Catalonian offensive only one was made , up of Ital ians.";'-;-. - i : The battle lines, along which were arrayed -600,000 men on both sides, began to take clear form as Gen. - Franco used his time-tried tactics of snr-oundlng and slashing oft broad govern ment sectors In a criss-cross pro gress toward his final goal. Pan-America Meet Held Achievement Note of Optimism Sounded as Delegates Prepare for Last Session," LIMA, Dec. 2 6-GPHJnited States delegates today hailed the eighth Pan-American confer ence which closes tomorrow as a remarkable monument of achieve ment and an excellent example for future assemblies of the western world'3 21 republics. This note of optimism was reg istered as the various delegations which produced some 130 resolu tions and declarations, including the momentuous "Lima declara tion" for new world solidarity and defense. Amid the hurry and bustle of preparations for the final session there were evidences that the United States delegation did not Intend to rest on the gains made heje for improving Latin Ameri can relations. Many of the Washington dele gates already were laying plans for technical Pan American con ferences to be. held shortly. Among them were assemblies on the Pan-American highway and on Intellectual cooperation, both of which will be held in Santiago, Chile. France Takes Italian Note S For Its Word Next Move in Argument Over African Territory up to Italians Daladier Plans Journey to View Corsica and Tunisia Areas PARIS, Dec. 2$.-(yrp)-France told Italy today that she accepted the Italian note renouncing the Its 5 Laval-Mussollnl territorial treaty but that the accord must stand as the only basis for ne gotiations between the two powers. Thus, the next more in tha co lonial Issue was put squarely up to Italy as Premier Daladier, de Spite fascist cries of "provoca tion,' disclosed plans to make his tour of Corsica and Tunisia a nighty "hands off demonstration" to Premier Mussolini's legions. : ; The French note was sent to Italian Foreign Minister Count Qaleaxxo Ciano by Andre Fran- eola-Poncet, French ambassador to Rome. It answered Italy's note which declared annulled the 1935 pact. The pact gave more than 44,000 square miles of territory to Italian Libya and Italian Somali- land at the expense of Tunisia and French Somallland. Daladier to See Military Sights Daladier arranged to travel ny warship and to review huge pa rades in Corsica, France's Med iterranean island department, and Tunisia, her North African pro tectorate. In a tour of military fanfare. Both territories have been prominent In the fascist territor ial clamor raised in the Italian chamber of deputies last Novem ber 30 and given official encour agement by the. Italian govern ment's renunciaUon of the1936 treaty, "which also assured ottlsen shlp rights of Italian subjects In Tunisia until 1965. Daladier announced his trip tentatively scheduled to start Jan uary 2, after the tension over col onies arose and touched oil an gry demonstrations on both sides. Desnite the pointed warning yesterday of Virglnlo Gayda, au thoritative Italian editor, that It aly would consider such a voyage an unfriendly act. Daladier con ferred on arrangements with Erik Labonne, resident-general In Tu nisia, the French possession ,most coveted by Italy. Protest Renewed Against Bombings WASHINGTON. Dec. 2.-flV State department officials said to day that because the Japanese MvrritriTit fallixt tn Tftnlv satis factorily to earlier protests against tea bombings or American property in China, United States Ambassador Joseph C. Grew made a renewed protest today. They said the ambassador's lat est protest covered the numerous bom bin ka in recent months which the Tokyo government previously nad promised to investigate, urew called the. matter to the attention of Foreign Minister Hachlro Art- ta, repeating his requests that Japanese warplanes cease sucn ai tacks. Nazis Are Silent On King Proposal BERLIN, Dec. 26.-P,t--The propaganda ministry said today nothing was known of United States Senator William H. King's proposal that Washington sever diplomatic relations and commer cial Ues with Germany. The propaganda ministry was one of the few government offices manned during the Christmas hol iday which ends tomorrow. Since all newspapers closed shop for the holiday, there was no published comment on the propo sal made by senator King, Utah democrat, la a Washington inter Yiew yesterday. Bernarr McFadden Safe . ; . At Plane Noset Over WESTFIELD, Mass., Dec 2 tSt Bernarr MacFadden. - maga zine publisher, escaped unhurt to day when his five-passenger canut plane nosed over as ne was iana lng at Barnes airport, . Japanese Troops Claim Victories SHANGHAI, Dec. 26-tf)-The Japanese, striving to pacify un conquered south Shansi province in north China, announced today their forces had captured four towns and killed COO Chinese in a new offensjxe. They reported they had won control of hilly regions north of the Fen river radiating from Lin fen, city which lies abcut 10 miles east of the Yellow river and about 200 miles northwest of Kaifeng. Severe fighting - was reported nnder way near the Juncture of Shansi, Shensl and Honan prov inces, near the point where the Tellow river turns eastward after flowing from the north. British Bank Head Kidnaped by Arabs 1 JERUSALEM, Dec. 2-ifP)-Re-belllous Arabs today kidnapped a British bank manager, Louis Le Bouvier, near Jericho. The abduction, was one of sev eral Christmas disorders In the Holy Land in which fonr persons were killed and five Injured. A royal air force armored ear found Bouvier's abandoned auto mobile beside the Jerusalem-Jericho road. Troops started a search of the surrounding area. Blizzard Crimps Europe Airliners PARIS. Dee. 2$-()--A bliuard caused suspension of all air trans port services between the conti nent and England today for the first time In 10 years. German, Belgian, Netherlands, Swiss and French air lines oper ating from Le Bonrget air field to central eastern Europe were also grounded. Heavy . snow fell in northern France and on the English chan nel following several days of freezing weather. 450 Lives Is Holiday's Cost With Traffic Tops In Reason for Tragedy . Accidents in Traffic Cause Loss of 341 Persons During Christmas Holidays; Fire Takes Lives of 21 People (By The Associated Press) The nation paid with more than 450 lives for its holiday weekend. At least 341 of the violent deaths were caused by traffic accidents. The total death count for the weekend, however, was short of the 600 fatalities reported last Christinas. Fire claimed 21 lives this year;0 gunshot wounds 13; suicides 15; Purse Is Snatched Two men snatched a purse from Mrs. J. F. Hughes. 667 Vista ave nue, as she was standing on the corner of South Commercial and Judson streets last night, accord ing to a police report, . ' - train accidents 12; drowning S; and miscellaneous causes, the rest. Largest death tolls by states in cluded: California 25; Illinois 22; Michigan 26; Missouri 16; New Jersey 13; New York, includ ing New York city, 27; Pennsyl vania 26; Texas 35; Ohio 42; In diana 17. Seven states Delaware, Iowa, Nebraska, Nevada, Rhode Island, Wyoming and Vermont and the District of Columbia reported no violent deaths. Northern States Get Cold Weather North Dakota Mercury Is Below Zero as Whole Midwest Freezes CHICAGO, Dec. 26-(ff)-Wlnd, rain and snow ushered the sever est cold wave of the season into the northern states tonight. Temperatures had dropped be low sero in North Dakota and were falling steadily as far east as North Carolina. Readings of 10 below were forecast for the entire state of Nebraska. Snow swept through the Dako tas and Into Minnesota, where it drifted and halted highway traf fic in some sections. Flurries were reported in Wisconsin, Indiana, Illinois, Iowa and Michigan, with more snow predicted for tonight. Kansas and Missouri were out of the path of the storm, but the mercury dropped 20 degrees at Kansas City, and near sero tem peratures were forecast for both states during the night. Eastern states, the weather bu reau reported, would feel the worst of the cold wave tomorrow night. Snow tomorrow was fore cast for Tennessee, Kentucky, Virginia, Maryland, Pennsylvania and most of New England. New York City and New Eng land generally enjoyed clear, crisp weather today. Tempera tures hovered around the freezing mark. Storm warnings were issued by the weather bureau for Lake Mi chigan, over which strong north west winds will blow, and for the Atlantic coast from Cape Hatter as to Sandy Hook, N. J. Sub-zero temperatures were re ported In Colorado, Montana and (Turn to Page 2, Col. 1) Father and Sons Die at Crossing WEST MANCHESTER, O., Dec. 26.-(P)-A father and three sons were killed tonight when an auto mobile In which they were riding was struck 'by. a fast passenger train during a. blinding snow storm. ; . - A : The dead were: Oca Stivers, 60, the father; and Noah, 28, Oscar, 15, and Cletus, 12. Coroner Walter McCool said he had not been able to determine who was driving the auto. Europe Gets Thaw As Christmas EnB Snow Falls in France as Prelude to Predicted Rain for Today LONDON, Dec. 26-P)-Most of Europe, blanketed under snow, today faced the prospect of a gen eral thaw bringing a slushy end to Its "white Christmas." Britain suffered first as warm winds sent temperatures up and turned streets and roads Into bog-llke lanes. Snow fell throughout central France as a prelude to predicted rain tomorrow, and the storm caused suspension of all transport service between the continent and England for the first time in ten years. South toward Switzerland and east through Germany and central Europe and north through Scan dinavia the cold and snow held. BUDAPEST, Hungary, Dec. 26 -(jPJ-Three Hungarian peasants were frozen to death today along the Rumanian border where snow blacked trains and disrupted elec tric service to 36 villages. ROME, Dec 26-(P)-Tempera-tures fell to12 degrees at Milan today and snow cloaked the sum mit of Vesuvius. Similar temperatures were re ported along the Italian Riviera, while snow' slides blocked roads and severed telephone lines In valleys around Rovereto. "Truce" Is Talked In Chinese Circle HONGKONG, Dec. 26-;p)-Re-ports that Wang Chlng-Wel, for-, mer president of the Chinese ex ecutive Yuan, was en route to Hongkong to discuss '"truce" terms with Japanese emissaries have caused lively discussion in diplomatic circles here. First reports were that Wang, who Is head of the so-called "peace party," would arrive today, but tonight his whereabouts were a mystery. He has left Chungking, provisional Chinese capital, on a "sick leave," and was supposed to be coming here by way of Hanoi, French Indo-China. The reports of impending "truce" negotiations could not be confirmed. . OSC barometer's Editor Suspended From College - ' ,- ' - CORVALLIS, Ore, Dec 26-ff) Dick Kennedy of - Portland, edi tor of The Barometer, Oregon State college student newspaper, has been suspended from school for the next two terms, George W. Peary, college president, said to day. : Peary said Kennedy had violat ed a college regulation. Congress Eager to Find out Roosevelt Reaction to Vote WASHINGTON, Dec. 26HP) Congress will be back in town next week eager to learn, first of all, what policy changes President Roosevelt may have adopted as a consequence of the obviously con servative trend of last fall's elec- Uons. - .. For, upon the president's re action to November's voting de pends much - history to be. made in the near f uture-7-the course of legislation for two years to come, and a chain -of influences both great and small reaching Into the presidential campaigns of 1940. Moreover, the third term question is still a: very lively issue. -:t " Congress will return with Its republican voting strength great ly increased,' but with the demo cratic party still holding a "paper majority" In both house. That is, when tha new deal democrats and conservative democrats vote ; to gether they will command the situgUon. ; '- :-r: But, last year, even before the recent republican gain of II seats in. the house, an Informal coali tion of republicans and conserva tive democrats beat the presi dent's rovernmental reorranlxa- tlon bill and blocked the, wage! hour bill tor months. Since the election, the possibility of such a combination standing squarely in the. path of the new deal has become a very real threat to the president. ; : Whether it develops zrom. a possibility into, an actuality de pends, by all accounts, upon the future course of . Mr. Roosevelt and the new deal. V Itthe president, with the con servative wing of the party still smarting at the attempted party "purge" of last summer, and with the republican conservatives anx ious ' to test their new voting strength," insists upon a militant-; ly liberal course, he will encoun ter, most observers believe, a mil itant opposition. 1 - v -; a : "We've got him stopped," was the laconic , way In which, one re publican senator recently put 1L- ; A stalemate might , 2nd the president battling' the congress and the congress battling the pres ident, over tha radio and la the newspapers. Such a controversy, if It ever got going, could rival the fight over the supreme court tor intensity. And It would lead di rectly into, the 1140 presidential campaign, -. - j ' Executive May Report Nation In Great Need Report Given That Pair of Messages on Needs of Defense Due ' Quadrupled 'Air Fleet Is f Contemplated bv Head -of Republic ' By EDWARD E. BOMAR WASHINGTON. Dec. 2S.-P-President Roosevelt was reported authoritatively today to have de cided on a double-barreled recom mendation to congress for nation al defense reinforcements of un precedented peacetime magni tude. Persons close to the admlnistra- -tlon said the chief executive In- tended to report, in the annual message he will deliver personally ' to a joint senate-house session on January 4, that the security of the nation and its neighbors was threatened by the armed might of aggressive dictator states. A week later, nnder present ar rangements, a special message will present detailed recommenda tions for an army air force of some 10,000 planes and numer ous oilier measures.- Quadrupled Air Fleet In Offing Thus, the administration eon templates a Quadrupled military air fleet of at least 18.000 air craft. Including the minifhum of 3,000 congress authorized for the navy In this year's billion-dollar fleet expansion act. The magnitude of the air pro gram has caused surprise here, es pecially in view of the fact that some high army officers were ad vocating, at least up to recently, a comparatively small air force of high quality. Early in October Maj. Gen. Hen ry H.' Arnold, new chief of the army air corps, declared that the country didn't need a. great many more military airplanes, but need- , ed faster ones. Under the devel opment program being carried on at that time, the army was to have 2,320 craft by 1940. Gen. Arnold. In an interview, called this "a very good figure as things: now stand." These "remarks were made about the time of the signing of the Munich four -power accord. If UCtuci SSJU jiivaiiuuo wa, . aav- ford and the post-Munich events abroad have now cnangea Arn old's mind is not known. He could not be reached for comment to night. Discord Rumor . ' Denied by Craig . There have been reports that some other high officers of the army could not see eye to eye with the administration on ae- fense plans. These were denied ten days ago by Gen.. Malta Craig, chief of staff, who said: "The administration and the war department have been work ing in Intimate accord on a pro gram .regarding which absolutely no decision has yet been finally made." Shortly before that a retired officer, Maj. Gen. George Van Horn Moseley, had told the New York board of trade that '.'fear and hysteria" were being engen dered in support of heavy expen ditures tor national defense. Supporting the president's forth coming proposals, congressional circles have heard, will be "start ling evidence'- that Germany's aerial force and aircraft factories geared, to war demands threaten to upset completely the world of military and political power. Developments Are -Reported " . " : From. usually well-Informed ad ministration and leislative sources come reports of these develop ments: 1. Details , of the new-rearmament program are " complete. They were shaped in close cooper ation with Gen. Malin Craig; army -chief of staff, and other military advisors, since , Euroeps uneasy peace, agreement was reached at Munich. War And navy depart ment budgets already hare been approved:,, ": '..,-..": v ;.:.-.,.'- 2. Convinced .that American air power must be quickly augment ed, Mr. Roosevelt has been un moved by arguments of some con gressional critics that the United (Turn o Page. 2, Col. 1) rwVtlifYnvr TKnnnrlt or iiuuua j a 1 at uira Claim Four laves ' PORTLAND, Ore!, Dec. Hp Auto accidents and fire took fonr lives over the Christmas weekend ' in Oregon. :.' - ; Mrs. Marie Llesman, 40," Port land, was struck and killed by a car as she dismounted from m baa. v Carl Tittle, 45, farmer, was burned to death when : his log caDin near uamascus, nonneast era Clackamas county, "was de- , stroyed by fire, - - ' At North Bend Adolph Aslack sen, 40. was strnck by a ear and fatally Injured. - ' . 0 A man. Identified as J. J. Me Guire, about It, was struck and killed by a ear at a Portland ln-v-tersectlon. . , .