- X (Ik V v V vN. vn. - ov rv 7 J i i I A t : , ..Late City Neiri i C. f I-II Tte Weather 1 r Baca km Af Ita Bnuhnf. Mill v' ' ' ' c,,,y tod7 aad' Baada. j. - I V. I w -; - v ?s" " with riiowm, iBOderaie tu , , A t t " i peratare. Max. temp.- Friday. ' . 1 the saorsing paper Is eaabl :v d .to be first with Ute ev- .i:y; easing and early c anointing ;. ftews occurrences. V-V i ;:'-.' 4S, mla. 80. Rircr 14.1 feeU PCUndqo t6!;S Soatb wind. EIGHTY-EIGHTH TEAR t Sakm, OregoQ. Saturday Bfornbig Fdffr.l ISSJf Price Sc ; ' Newsstands 5e No. 281 saclie IV II I I I V i I Mil f I I I . ' I 1 I I I J 11 1 I II I - 1-1 t-.HIW I I -. "V 1 I I I I I I I X. II I Order in PofUI&mcI ie I Set . A r 4. UCC Activity ration Demand Voiced Pooling of Accounts Is Charged; Merit Basis Deeme4 Mandatory - Campbell States Rating Will Be Retained but not yet Operative Spirited criticism of the admin istration of the Oregon unemploy ment Insurance act which included a demand by J. B. Kraus, Port land attorney, that no refialon in existing statutes on unemploy ment compensation be made until the legislature could conduct a thoroughgoing inTestlgation of the nnemployment commission's ac tivities, featured a hearing Fri day night on proposed amend ments to the present statute. The hearing was held before the house committee on revision of laws. "I claim the commission has misused the trust funds set up for employers in the act and has pooled all the reserves," asserted Kraus. Rep. A. S. Grant, chairman of the committee, called Kraus to order and declared that the com mittee would listen. only to dis cussions which dealt with proposed amendments. "Any investigation of the unemployment commission's activities is a matter for the gov ernor, he said. "Pooling" Principal Issue at Hearing Bone of contention at the hear ing was the alleged "pooling" of all unemployment - reserves into one fund and wiping out of merit ratings for employers with a good .record for steady employment of their wrlrjarav3-r t.sst ' , Ralph M on tag, Portland manu facturer, said the proposed amend ments would eliminate all benefits to employers who were careful In staggering work and would block All of them in at a virtually uni form tax of 2.7 per cent. . Ralph Campbell, attorney for the ; commission, denied the charges. : H said the proposed amendments - would establish a merit system in which taxes would range from 1 to 4 per .cent. He said the existing law "pooled" an the moneys aa did the industrial accident commission statute. "Pooling of the-moneys does not abandon the merit system for em ployers payments, said Camp bell. "The amendments we ask aid the merit system." Merit System Not Operative Tin 1041 ; Campbell explained that .the jnerit system set up in the amend ments would not be operative-until July 1, 1941. Until three years experience has been built up in (Turn to page 2, col. S) Sprague Approves !. Valley Committee ' Governor Charles A. Sprague Friday signed a bill by Sen. Doug las McKay, Marion county, creat ing a three-man commission to co operate with the federal govern ment In connection with the Wil lamette Valley project. The cost of the project was es timated at approximately I3, 000.000, of which an $11,000,000 appropriation has been recom mended by federal officials. ' The commission would be ap pointed by the governor. The bill carries an appropriation of $18, 000 to defray the expenses of the eommlssion during the current blennlum. Legislative Sidelights: : If Oregon's legislators want to finish their task quickly, nowjhat pay has stopped, one method is suggested by an Incident In the Ohio legislature yesterday. A member arose during debate and said: "I observe that the press is no longer taking notes, so X move that further debate be dispensed with. The motion carried. . Discussing lobbying activities by pressure gronps Rep. Frank Hfltoa suggested, in a tails at the Salem Realty board lunch eon, that the two houses adopt, the rules of the Roman Calbolic cardinals, v who are lmprls oneor la room until tbejr com plete ' the elcctkm of a1 pope with no ontslde Interference. : Investis President Robert M. Duncan of the senate- yesterday appointed Sens. W. T. Strayer, . George W. Dunn and F. M. Franciscovkh on ' the per diem committee. ' & fed who admits her age Is GALE LIKE .. NDS DAMAGE SOUTHERN CALIF. 11 fx Strong winds of near gale proportions whipped through Southern California, uprooting trees, felling telephone lines, and In some spots creating dost storms that stalled aoto traffic This was a scene in Los Angeles where a huge tree was hurled down upon a house and garage. AP Telemat. Willamette Speech Teams Win Starts Two Salem Squads Remain in Regional Debating Meet in Linf ield JIcMINNVILLE, Ore., Feb. 17.-(JFy-Ten teams still survived In a regional debate meet at Linf ield college here today after seven rounds of competition had been. completed la division A. T h e y were College of Idaho, Gooding. Idaho; College of Puget Sound, Tacoma; Washington State col lege; Unl vers i ty of Red lands, Calif.; Pacific university, Forest Grove, Ore. (t teams); Willam ette university, Salem, Ore., (t teams), and linf ield ( college (2 teams). In division A for women the survivors were university of Red lands and Pasadena college. In division B: Washington State, U of Redlands, Linf ield and Whitman college, Walla Walla, Wash. In division C: Lin field (3 teams). Northwest Nazarene col lege (2 teams), Pasadena college (2 teams). Whitman, Washington State, Willamette. Division D: Whitman, Pacific university (2 teams), Oregon State college (2 teams). College of Puget Sound (2 teams). Twentr-two colleges and uni versities of the west had teams en tered in the meet. Rep. Dies Declared Recuperating now WASHINGTON. Feb. 17. HJPh Representative Dies (D-Tex), who underwent an operation this morning after an acute attack of appendicitis, was reported .tonight to be out of danger. Dr. Elliott M. Campbel, who performed the operation, said the Texan probably would be able to return to his office within two or three weeks,- OC Elks Are Fined OREGON CITY, Feb. 17.-(P-The Elks temple here pleaded guilty through two attorneys to day to possession of three slot machines and was fined $30 by Justice of the Peace Paul' C. Fischer. " . Here and there behind and in front of the scenes at the 40th legislative assembly. Rep. Christina Munroe of Hood River, who was felicitated upon her 72nd birthday in a resolution adopted In the house Friday morn ing. She was born in Germany, but eame to the United States at an early axe. She taught school in Indian Territory at one time,, but since ; 1023 has been .managing large fruit growing ; interests in Hood River County. 4 - President Bruce Baxter of Wil lamette university, offered the In vocation in the senate Friday morning, Rer. Lynn Wood of Ja son Lee : Methodist f chureh per formed a like service la the house. '--'"The other members may feel the pinch of payless days, bat Rep. John SteeUuunmer has It solved. He officiates at basket ban games one or two nights week " :" r-v ' y, Cost of the junket to Olympla for that state was only S19.CI, report filed in the house revealed. Old Age Aid List Drops in County No new clients were added to the old age assistance rolls In Jan uary and nine cases were closed, leaving 1464 on the active list at the end of the month, according to the relief office's monthly re port. Payments for old age as sistance during the month amounted to 130,025.77. The number of applications pending climbed from 221 on Jan uary 1 to '240 on January 21. Corvallis Quintet Pulps Paper Mill Score Is 38 to 36 in AAU Tourney; College Boys Win 63 to 23 Last Mght's Results Blain's of Albany 48, St. Paul 23. Brooks of Salem 43, Sheri dan 18. Collegians of Monmouth 83, Toledo 23. Corvallla 88, Papermakers 88. Tonight's Games Brooks r. Blain's, 7:SO Corralli v. Monmoath. 8:SO Only the final fray, between the Corvallis Ramblers and Salem's Papermakers, was close as last night eight teams opened fire be fore around 250 basketball fans in Leslie's pavilion.. As a result of the four games Brooks Clothiers of Salem will play .Blain's Clothiers of Albany, and the Ramblers of Corvallis will play Charley's Collegians of Monmouth. The winners wfll be eligible to enter the state AAU tourney that starts In Portland February 28. Though the Ramblers held a (Turn to page 2, coL I) Med ford High Student Condition Still Serious MEDFORD, Feb. 17-tfV-Ralph Coggins, 17, high school student injured last Wednesday when his bicycle crashed Into the rear end of a parked automobile, was still unconscious at a hospital today. Physicians said the youth's con dltion was serious. " Girl's Eye Injured Hiss Audrey Shay, 1030 Sag inaw, suffered a cut on the eye when she fell and broke her glasses about 11 o'clock Friday night The first aid ear was called. Another run was made by the first aid car to the Mellow Moon skat ing rink where Howard Boock had suuerea a oroaen arm. He was taken to the Deaconess hospital. H&Rnn Case Reported ; . Police were searching early this morning for an alleged hit-and- run driver who figured la a col lision with Edgar Nafxiger, Salem route 0, on Court street near Cap itol, Ho one was reported Injured. Late Sp RE RKEL.KT. f5alif-.r FebJ Hs (&)-Callforn!a defeated the VnU erslty of California at Los An geles in a conference basketball game here tonight, 54 to 32. . , in . LOS ANGELES, Feb. 17wflV Universlty of Southern California rallied In the last four minutes of play to defeat Stanford's bas ketball team here tonight,' California Storm Toll Three Lives $500,000 Minimum Dam age Figure Also Is Set in Howling Gale LOS ANGELES, Feb. 17.-MV Southern California counted a toll of three lives and property dam age of at least 1500,000 tonight from a three-day, windstorm, i As the shrieking gale died down, a survey showed citrus groves hardest hit, thousands of urban trees toppled, 2,700 telephones out of order, and losses from num erous tires exceeding $80,000. sixteen buildings were damaged or destroyed by a blase brought under control In Pasadena early today by II fire companies. Bat talion Chief Russell Stone said It started from an electrical short circuit, possibly caused by the high winds. He estimated the loss at $15,000.- A sudden shift in the wind saved many other buildings being men seed by the flames, but it was Pasadena's most disastrous fire in IB years. Losses to the citrus industry ran into many thousands of dol lars, with SO per cent of the fruit in some naval orange groves being blown to the ground. Much fruit remaining on the trees were bruised. Portland Magazine Sold PORTLAND, Feb. 17-P)-Sid nel Bartley, published and editor of the Analyst, official Masonic lodge publication for 11 years,, an nounced today he had purchased the Spectator, Portland news magazine. ShreckTightsHiswayThwugh t Snow to SaietyFoMwing Crash Boy EireckC EpokJuae,17aslu weather obeervatioa pflot, who log for three days after beginning a rovtine fight, Is sboww with y lira, Ehreck, who Is holding tlie compass the (Hot removed from his : plane" after the crash in the snowcorered northerm Idaho mosm- tains, and sued It to guide him In bis 5-mHe straggle througli deep snow, lie was rru-Lr jeiemat, - . .;: ; . Shoots at Son Charge Misses Frank Hughson, 69, and Robert Aerni Found Dead Upon Farm Mental Trouble Blamed; Resident of District Over Fifty Years ALBANY, Feb. 1 7. -(Special ) Frank H. Hughson, 9, farmer of the North Albany community in Benton county for 50 years, killed himself with a shotgun in his farm yard tonight after firing two blasts at his son, Chester Hugh son. When officers arrived to in vestigate they found that earlier tonight, the elder Hughson had shot and killed Robert Aerni, 19, a farm hand on the place. Mem bers of the family said Hughson was out of his mind due to illness of long standing. State Policeman Curtis Cham bers, called shortly after 6 o'clock, was told that the elder Hughson, who had been complaining about the house during the day concern ing young Aerni who had been hired by his wife, left the house about the time Aerni came in from work in the field. Mrs. Hughson heard two shots shortly afterward but thought little of it. About 6 o'clock Chester Hugh son came to the farmhouse from the adjoining place. Noticing milk buckets on the porch indicating the milking had not been begun, he went to the barn. Inside, his father fired at him twice with his shotgun at close range but missed. The son ran and called the state - WnenM)f fJcer Chambers . ar rived, it was nearly an hour before1 either body was found. Hughson evidently had dragged Aerni's body behind a shed and covered it with boards, then had gone be hind the milk house and shot him self fatally, falling behind the watering trough In a place where his body was concealed. Young Aerni, whose parents live on route S, Albany, had worked at the Hughson place tor a number of months. Hudson D. White Is on Way Here ENTERPRISE, FEB. 17.-V Sherlff A. B. Miller left today for Salem with Hudson Dodd White, who pleaded guilty to three charges of sodomy and was sen tenced to 30 years in prison. . A former school teacher, White was Indicted for offenses against two little girls and a boy. . Find Forester's Body EUGENE, , Feb. 17 - (P) - The body of Tom Lewis, 24, Siuslaw national forest employe who was drowned Jan. 2, was recovered today,. He lost his. life when his boat swamped In the swift current. :: With Shotgun, Spanish Peace On Any Terms Loyalists' President Insisting Resistance Useless, Report Is Rome Authorities Aver Shootings Near Duce 'Act of Madman9 (By The Associated Press) A demand that his government make peace on any terms was re ported laid down yesterday (Fri day) by President Manuel Azana of Government Spain. Azana, who conferred in Paris with his foreign minister, Julio Alvares Del Yayo.'was represent ed by an aide as insisting further resistance to the nationalists "is vain." At Burgos, Nationalist General issimo Franco's capital, Britain and France actively were rushing negotiations to end the Spanish conflict. Alvares Del Vayo was believed awaiting outcome of the Burgos consultations before flying back to Madrid to convey Azana's de mands to government military leaders. A sensational stemming from the war occurred in Brussels when nine Spanish nationalist sympa trizers seized the Spanish consul ate in a surprise night raid, only to be ejected by police. US Asks Japan To Explain Late Act International developments In the war in the Orient centered on the action of the- United States in asking Japan for an explana (Turn to page 2, coL 2) William () Douglas Talked for Bench White House Sounding out Sentiment Upon Choice of Ex-Westerner WASHINGTON, Feb. 17-(ff- lnere were aumoritative reports today that the White House Is sounding out sentiment In the sen ate on the possible appointment of William O. Douglas to the su preme court. One well-informed senator said he had substantial reasons to be lieve that Douglas, chairman of the securities and exchange com mission, now tops the list of those being considered by the president for appointment to the place va cated by the retirement of Asso ciate Justice Louis D. Brandeis. This senator said that the ques tion of establishing Douglas as a westerner and thus satisfying the demands of some senators that a western man be appointed to the court was playing a large part In maneuvers behind the scenes. When President Roosevelt sent up the nomination of douglas to be a member of the securities and exchange commission on January IS, 1938, he designated him as "William O. Douglas of Connec ticut." Douglas, who Is 41 years old, has a western and middlswestern background, -however. He wss born in Maine, Minn., and later moved 'farther ' west, attending Whitman college at Walla Walla, Wash., and teaching school at Yakima, Wash. v K0Y Still Seeks KOACs Waye Use CORVALLIS, Feb. 17.-ffHre-gon State college officials said to day' KOY, Arizona radio station, apparently would continue its ef fort to gain a license granting use of the KOAC station's frequency. r Notification was received that KOY officials had filed a petition asking the federal communica tions commission to reverse its recent decision granting KOAC a rehearing. . The college, to .protect " the KOAC regional channel, filed an application to Increase the power of the station to 5000 watts. L. R Brelthaupt, 'emergency represen tative of the : college and state board of higher education, said that if , Oregon did not develop KOAC, the federal: communica tions eommlssion might grant the facility . to - some other station. KOAC Is 'the- Only .education sta tion .with license to operate full time on a regional 'cleared chan- WAftiidPoA PORTLAND. Feb. liflV Tnree-year-oia jimmy hiu savea his ' life : today .when he . trotted around the ' house' saying "nasty. nasty . KUfJ. -i'- f--::v His " guardians, ' Mr. and "Mrs. a .Cv Hunslker, Investigated and found that Jimmy had swallowed a : poisonous disinfectant. ; They promptly gave rst aio. now 41m ,107 t of dangerv Two American Cardinals Will ROME, Feb. 17 - () - Dennis Cardinal Dougherty, Archbishop of Philadelphia, and George Card inal .Mundeleln, Archbishop of Chicago, are expected to arrive here tomorrow night, the first American cardinals ever to com plete a trans-Atlantic crossing In time to vote In the election of a pope. The only time heretofore that an American cardinal balloted on a new pope was in 1914 when the Iste John Cardinal Farley of New York happened to be in Switzer land and reached Rome in time to participate in the election of Pope Benedict XV. United States embassy officials tonight completed arrangements to receive the prelates. It announced that Consul Gen eral Thomas Bowman would greet them when they arrive at Naples on the liner Rex and that Edward L. Reed, counsellor, and Samuel Reber, second secretary of the embassy, would be at the station to welcome them in Rome. Bishop Ralph Hayes, rector of the North American college in Rome, also was expected to be at the station. Townsend Backed By Mott, Angell Latter Congressman Says Pension Better Than Social Security WASHINGTON, Feb. 17.-jP)-The Townsend old-age pension flan was supported at a house ways and means committee ses sion yesterday by Oregon's repub lican congressmen, Homer Angell of Portland and James Mott of Sa lem. While Dr. Francis E. Townsend sat nearby attentive to witnesses supporting his philosophies. Con gressman Mott asserted he saw little , necessity for - creating the special fund .prdrided fot Jn the welrtre bill to handle payments under the proposed transactions tax. Representative Crowther (R New York) asserted he had been a d t 1 s e d Townsend supporters the measure passed without change. "I have heard that." Mott re plied "I've also heard they want 200 a moath, not $150 or 9199, (Turn to page 2, coL 2) Roosevelt Okehed Showing of Ship Army Men's Protest Oyer Display for French Overridden, Report WASHINGTON, Feb. 17-i?V-As a result of the senate military committee's long - standing and still-continuing row over secret proceedings, a transcript of testi mony tsken in its investigation of the sale of war planes to France was made public today, revealing that: President Roosevelt, at a White House conference, personally gave instructions that a newly devel oped warplane be demonstrated for a French military mission. He did so over the protest of the war department, and of Ma. Gen. H. H. Arnold, chief of the army air corps. The aeronautical board of, the army and navy, established to con trol the demonstration or sale of military planes to foreigners, was not consulted. The French mission apparently had prior knowledge of the plane in question, a light bomber, built by the Douglas Aircraft company. Arnold was assured that the sale of such planes to the French would not be permitted to delay the pending administration plane building program. No military secrets were dl (Turn to page 2, col. () Solons Decline And Force The legislature Friday ended Its 40-day pay period but resisted a movement' to adjourn' sine die and to force Governor Charles-A. Sprague to call a special session tor which the members would be paid. Senator- Lyman A. - Ross, after futile efforts to get It sign ers for ' his resolution caUing for adjournment-by m!dnigbt Friday, did not Introduce the resolution." The session was getting into fun swing as the week drew to a close with observers agreeing that two more; weeks would bring the session to an end. Hereafter none of the. members will receive, a S3 daily compensation. V " -, Progress in solving the Vexing problem of handling greater relief demands la 1939 and 194t without- additional' taxes was seen when the house taxation and reve nue committee asked Robert Boyd, state liquor commission attorney, to draft a substitute measure for the bin of Senator Sex EUis which Arrive Tonight Court Decides M&MMillnot Unfair to CIO Board Ruling That AFL Contract Was Void Is Overruled Former AFL Members Charged Closed Shop Discriminatory SAN FRANCISCO, Feb. 17.-C) -The U. S. circuit court today set aside a national labor relations board order which had declared void a closed shop contract be tween the AFL and the M and M Woodworking company of Port land, Ore. The court, in a two to one de cision, held that charges of com pany discrimination against the CIO local 102. International Woodworkers of America, were not supported by the evidence. The suit grew out of a labor dispute in which 4 SO members ot the AFL local 2531, United Brotherhood of Carpenters snd Joiners, assertedly withdrew from the organization Sept. 12, 1937, and affiliated with the CIO. Following an NLRB hearing kof CIO charges that the company had violated the labor act by re stricting employment to AFL unionists, the board directed the company to discharge certain members of the AFL and employ CIO men who were awarded back pay. AFL Closed Shop Contract Held Legal The circuit court decision said the company had acted in com pliance with its closed shop con tract with the AFL, which was legal, and therefore had not dis criminated against the CIO. The company pointed out In its petition to the court that the AFL closed shop contract was made jn February, 1 9 3 6, a ad - bad Hve months to remain in effect wfcea" the 4 SO AFL members withdrew to the CIO In September, 1937. Justices Curtis D. Wilbur and Clifton Mathews said in the ma jority opinion that the withdrawal of the union as a whole was not legal because 39 members did not withdraw, and the by-laws of the AFL nnion stated a local union cannot withdraw as long as It members in good standing object. PORTLAND, Ore Feb. 17-P) -Tom . Malarky, MAM Wood working company official, said to night the plant had been operat ing since April 11, 1938, with 27 employes, 80 per cent of whosa are affiliated with the CIO and the remaining 20 with the AFL. "We can't say what our . posi tion will be until we read the decision," Malarky stated in com menting on a U. S. circuit court order- setting aside a national la bor relations board ruling voiding a closed shop contract between the company and AFL. Father, 7 Children Are Fire Victims MANASSAS, Va., Feb. 17.-P)-A father and seven ot his children burned to death . tonight when their home, at Greenwich, .five miles from here, was dstroyd by fire tonight.;-, . x . Ed Hansborough, 40 a carpen ter, perished with- his five daugh ters and two sons in an attempt to rescue them from the flames. The dead were Harriet. Molly, Beulah, Lena, Ef fie. Buddy Sam. Harriet, the eldest, was 12. Mrs. Hansborough, who was sit ting downstairs with her husband reading when the couple became aware of the blaze, carried her 2-year-old boy, John, from the flam ing home. The father first rushed out of the house for help, but re turned Immediately to aid the children asleep upstairs.' to Adjourn Special Session would have Increased llq a or prices X9 per cent. i- Boyd objected i to the act bei cause "an artificial 'measure to raise Uquor-- prices is not good ' merchandising." At the same time . he Indicated -he 'thought the com-; mission could raise more, money for; relief if it was left free to manipulate prices 'So. 'the law: of.- guusaonr marai .w o a i a on -cancel out; la , the gross receipts- " obtained the higher prices charged, v,' - if extra revenues were secured, fVrtWl ' ttftMAt tar Asirt tfiaa efa mwhs- imv wtuvw eaeauk'- alb v therefrom assumed a larger share ; of' the cost of .relief, counties -might be able to carry; on their relief : burdens from present sources fot two more years, r The PUD legislation Which has moved slowly in 4his session, was -1 further complicated Fridar whea . Edward Wist of Stsppoose said he would sponsor - a bill - which : 4 (Turn to page 2, coL-8) - - -