Capital journal., June 21, 1933, Page 4, Image 4

THE CAPITAL JOURNAL SALEM. OREGON
WEDNESDAY, JUNE 21, 1933
CapitalJournal
Salem, Oregon
Established March 1, 18M
An Independent Newspaper Published Every Afternoon Except Sunday
at 13$ S. Commercial street Telephone 4681. News 4881
GEORGE PUTNAM, Editor and Publisher
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The Associated Press Is exclusively entitled to the use (or publication
01 all news dispatches credited to It or not otherwise credited In this
paper and also local news published herein.
" With or withMt offense to friends or foe
1 sketch your world exactly as it goes."
Byron
The Wet Parade
Connecticut, Iowa and New Hampshire have joined the
wet parade, making 14 states which in unbroken succession
have voted for repeal of the 18th amendment to the constitu
tion and the legalization of the manufacture and sale of
liquor.
The repeal majorities are so over-whelming everywhere
that they leave little doubt of the intent of the people to
have done with the prohibition farce as soon as possible. Iowa
has been strongly for prohibition for decades, yet gave a 3
: to 2 vote for repeal and all of the 99 delegates to the state
convention are instructed to vote for repeal.
Connecticut gave a 6 to 1 majority to the twenty-first
amendment, which repeals the eighteenth, the vote being
236,915 to 35,349. New Hampshire voted 2V4 to 1 for re
peal 76,000 to 30,000.
. The first nine million Americans to vote on prohibition
. gave a 4 to 1 lead to repeal, the vote being, for repeal 7,095,
223, against 1,855,414.
California and West Virginia vote on June 27, and there
Is no question that they will be for repeal. A closer battle
will be staged in Arkansas and Alabama, both long rabid
prohibition states, but the sentiment in each has changed
materially in the past few years. After these will come
Tennessee, July 20; Oregon, July 21; Texas, August 26;
Washington, August 29; Vermont, September 5; Maine,
September 11 J Maryland and Minnesota, September 12;
Idaho and New Mexico, September 19; Arizona, October 3;
North Carolina, Ohio, Pennsylvania, and South Carolina,
November 7. Nebraska and South Dakota will vote No
vember 6, 1934
It would not be at all surprising if every state in the
union ratified repeal the Literary Digest poll gave only
Kansas to the drys and it is questionable whether this po
litically dry but otherwise wringing wet commonwealth will
vote to perpetuate its hypocricy.
Roosevelt and the Revolt
John W. Kelly in his capital pageant review in the Ore
gonian, has a graphic account o how President Roosevelt
forced the rebelling democrats into support of the adminis
tration's compromise on the veterans' compensation bill. The
president personally talked to the recalcitrant senators over
the phone, while Postmaster General Farley told what would
happen to their patronage. Others were shown the veto
message already written for the Stciwer-Cutting substitute
to restore $130,000,000 savings.
'The situation was a critical one for the administration,
for the prestige and leadership of the president was at
stake and the entire program, as well, based upon balancing
the budiret. like v to be unset. Yet the power of the veterans
lobby was so grent, that it took a personal appeal to offset it
with members ot the presidents own party, ine rcpuuii
cans, of course, voted solidly against the president, but their
nartv has always been one ol pensions.
The really surprising feature of the special session was
the way those for whom the president has done the most
and treated the best, the progressives, turned against mm
Though Mr. Koosevelt forced onto the statute books many
of the measures thev have long clamored for, farm relief,
eilver. inflation, public works, relief doles, Muscle Shoals,
etc., they were his severest critics and opponents.
though the president recognized the progressives in
appointments, inviting at least two; Johnson of California
and Cutting of New Mexico to sit in his cabinet and offered
appointments to two of them to serve as delegates to the
economic conference, has conferred with them and catered
to them as no republican president ever did, even provid
ing jobs for their lame ducks, like Brookhart and Blaine,
this did not prevent their turning on Mr. Roosevelt and in
augurating the revolt in the closing days.
It is to be hoped the lesson has not been lost and that
in future the president will drop the progressives for the
democrats.
CITY INUNDATED AS WATER SWEEPS THROUGH BREAK
Kelso, Wash., was flooded when a 150-foot section of the Coweeman river dike broke, sending a two
fool wall of water through the city. Upper: shopping by boat as the river overflowed upon the town and
(lower) an aerial view of the community under water. (Associated Press Photos)
The National
Whirligig
By PAUL MALLON
New Banking Plan
Frank A. Vanderlip, former president of the National
City bank, in the current issue of the American Magazine
urges reorganization of commercial banks on a "mutual"
basis, like that now existing among savings banks. He
would make service to. depositors, rather than dividends to
stockholders, the motivating feature of bank management,
Pointing out that there are some 600 mutual savings
Banks which are organized without capital and are not oner
ated for profit, containing one-fourth of all the deposits of
tne country, witn an extraordinary record for solvency, Mr.
Vanderlip says :
The new banking system which I have hi mind would consist o
Danks organized lor tne mutual advantages of their depositors. They
wouia De wunoui siocxnoiaers ana without the necessity of paying divi
dends. Their officers would be selected by the federal reserve board, an
Independent authority neither governmental nor rpresontatlve of mouev.
making stock-holding Interests. All the loans would have to be sell
llquldatlng commercial loans, redlscountable at federal reserve banks,
thus giving the bank an extraordinary liquidity. The federal reserve sys
tern would be tne balancing factor, keeping the proper proportion be
tween loans and deposits in various localities and supervising tho entire
banking system. This plan would glvo promise of affording banking
credit to legitimate commerce in far more ample measure and at lower
rates than under the present system, and in that respect would be o( ad
vantage to the entire social order.
'.The method of selecting officers would provide trained
and efficient management. With all loans self-liquidating,
the. assets would always be rediscountable, meaning the end
of runs and failures. Other institutions would have to care
f or inunction? improperly grafted onto ordinary banking.
1 ! " . :
, : TAYLORS TO LEAVE-
Aurora Mr. and Mrs, James Tay
lor will leave about June '10 for
The Dalles. Tho cherries will soon
be ripe and while. In The Dalles
Mr. Taylor will harvest his cherry
crop.
ATTEND 8 VMM UK SCHOOL
Sublimity Miss Christine Schulte,
public school teacher, left recently
lor Washington, where she will at
tend summer school. Miss Schulte
has taught here for the past five
years and will have tho school back'
tor the cnmlnu vear. 1
' KETUUN FROM PKNDLKTON
Turner Master Prod Mitchell and
son Homer and Mr. and Mrs. George
Crum'e returned Saturday night
from Pendleton wehefe they spent
a week as delegates of Turner Sur
prise granite to the state grange
convention in session there. Reports
will be given by the representatives
at the regular July meeting of Sur
prise grange. They visited with
Prank Porter at Pendletou - while
there; a former Turner resident for
many years.
Washington Some economists
and speculators grew hot when they
heard the administration vas work
ing out plans for temporary currency
stabilization at London.
Apparently they all reached for
telephones and called Washington
when they read we were pressing
the British into an agreement. They
shrieked commodity prices here
miirht be adversely affected. They
pleaded with the administration to
hold off.
That is the underlying reason why
the agreement was not then an
nounced. It is also the reason why
the Cox committee In London ad
journed from Friday until Monday.
They had to have time to think.
There was good ground for the
objections. The only Inflation we
have had so far is based on the
supposition that we are off the
gold standard. Actually the dollar
is still a dollar. Tlieje is just as
much gold behind it as there ever
was.
When we stabilize It, we help
our foreign trade. We make inter
national commerce easier. As a long
time proposition it is a very nec
essary thing. But the Immediate
effect Is to stop the inflation buy
ing wave. With the dollar stabilized
the delusion of inflation is lost. The
only way you can get inflation then
is to revalue the dollar domestically.
tricks' were not used. Horse trading
was torgotten.
Every Democratic Congressman
was put in the glare of an Inner
floodlight and told to decide now
and forever whether he was going
to oe lor mis administration
against It.
If your eye had been at the key-
noie during the House caucus
would have seen the whole picture.
The Democratic leaders trusted
their legislators like errant sons.
In the secrecy of a party meeting
they minced no words. They said
they knew the boys might get in
bad with the veterans back home,
but they could get In worse with
their own administration here.
The grey-haired old party men
lorn me youngsters trom tne north
they must go through a primary
as well as an election next vear.
Mr. Roosevelt would not hesitate
to support them If thev supported
nun. it uiey did not It would be
simple matter for the President to
write a personal letter to some
Democrat In their district recalling
uus vote.
There are Indications that Gov.
Harrison of the New York Federal
Reserve and Dr. Sprague, our ex
change expert, were willing to stab
ilize ot $4 to the pound. The boys
hero thought it should be higher.
They wanted $4.25.
Their private little scheme lor
running up the pound with J. P.
Morgan began to cost big money
after they got It up to s.4.18. It
would have cost plenty to push It
to $4.38.
That is one reason why you saw
It ease off last week-end.
The Idea that the Morgans had
anything: to do with the war debts
agreement is too silly to mention
outside of a partisan political argil.
ment. That is why only senator
Robinson of Indiana mentioned it
in the Senate.
It Is true that the Morgans co
operated fully on the exchange man
ipulation. Nouoay win criticize mai..
For once this country had some
cooperation between the government
and the international hankers m
working out a patriotic foreign pol
icy. It was necessary.
But the administration Kept tne
debts so far away from the Morgans
on the inside that the bankers had
difficulty finding out what was go
ing on. They received most of their
confidential information from Eng
land.
Extreme care was taken so Nor
man Davis and Treasury Secretary
Woodin would not get mixed iu the
debt question. All Uie inside negoti
ations were entrusted to Moley.
What Moley thinks about the Mor
gans could not be printed in a
family newspaper. The feeling Is
mutual. He would be on the Morgan
black list - not the preferred list
like Davis and Woodin.
The presidential advisors whisper
that they see no reason why Davis
should not continue disarmament
work. The truth Is they have no one
else of his ability or txperlence to
take his place. For that reason they
may let him continue. But a great
show will be made of keeping his
hands out of debts.
Woodin has not been feeling well
latelv. He may decide any day now
that he needs a rest.
Washington Is a hot place but it
never saw such heat as the admin
istration turned on In the Veterans
fight. 1
It was done with finesse. There
were no public statements or radio
appeals. The public hardly knew
that-a- major legislative com net
was going on. The usual pressure
The young fellows were also re
minded the vote would be taken in
the open. It would be read, not only
by Mi-. Roosevelt but also by Mr.
Farley. They would probably file it
away ror iuture reference. Unaues-
tionably they would consult it from
time to time to see who their friends
were. Especially if a Congressman
was seeking patronage.
This was too much for most of the
boys. They wisely decided that self
preservation and party loyalty were
one and the same.
That Is why you saw so many
rabid Veterans men supporting the
President.
The stategy was apparently work.
ed out by Vice President Oarner.
He has been using his new chair,
for something besides a parking
place.
His name never got Into the
papers but he did most of the
talking In the White House coun
cils of war. The Senate side was
left to Brynes nad Robinson. Garner
took the House. No one knows it
better. He puts his arguments on
a political plane most Congressmen
can, understand.
The results were entirely satisfactory.
The new French propaganda mill
Is working . . Evidence of Its subtle
suggestions have been noticeable in
certain dispatches from London and
New York on the exchange sit
uatlon . . The French statesmen
are so good at planting misinfor
mation In international conferences
that all their statements should be
read wit-h the tongue in the cheek
. . Mr. Roosevelt s tribute to Con
gress was fully deserved . . No ses
sion in recent years acted so un
selfishly as a whole . . Until the
Veterans fight there was more co
operation than could have been ex
pected. . . The usual belittling of
Congress Is not in order this year
rue a. f. or L. legislative agent
Edward McGrady did not get the
assistant secretaryship of labor be
cause he did not fit into Miss Per
kins' picture . . They put him In the
industrial control setup instead.
after trying to get him to go to
London . . He had been offered
the labor job unofficially and had
accepted when Miss Perkins stepped
in.
NEW OFFICERS
Portland, June 21 tfP) Election ol
..ulcers and appointment of com
mittees were high spots of interest
in the first session of the 81st Ore
gon' Methodist conference which
opened here today at Sunnyslde
Methodist church.
The Rev. Sydney W. Hall of Ash
land was unanimously elected sec
retary following the resignation ot
Dr. A. a Hlsey ot Gresham. The
Rev. Hall was assistant secretary
from 1018 to 1924, and secretary
from 1824 to 1929. He nominated
as his assistants the Rev. E. Q
Ronton of Myrtle Point, Dr. C. I
Andrews ol Astoria, and the Rev
Edward Terry.
The 81st conference was organized
last night with Bishop Titus Lowe
of the northwest area, presiding.
For the first time In the history ol
the Oregon conference, lay dele
gates were added to the standing
committees. Herman Clarke ol Sa
lem, Homer Billings of Ashland.
and L. D. Mahone of Portland were
appointed to a new committee
which will certify credentials of lay
delegates.
The conference organization last
night was attended by more than
100 ministers from all parts of the
state.
On motion of Dr. M. A. Marcy
superintendent of the Salem dis
trict and secretary of the bishops
cabinet, eight ministers were re
ferred to the committee on confer
ence relations with a view to re
tirement. They included Dr. D. H.
ieecn oi AiDany and the Rev, J. C.
Mueler for the Newberg German
chrch. Two others were referred
for disabilty reasons with a view
to possible retirement. They were
me ttev. v. i,. uark of West Salem,
and the Rev. O. W. Pocue of Salem
The anniversaries of the hoard ol
home missions and church exten
sion and tne board of education
win be held tonight.
LEAVE FOR MONTANA
Mehama Mr. and Mrs. Wilson
Stevens and family left for Blrney,
Mont. Friday. They plan to be away
for about a month In which time
they will visit with Stevens' parents
and younger brother, Albert.
SCHOOL BUS VOTE
CANVASSED MONDAY
With 39 districts reporting in un
to this morning and many more ex
pected to come in today. County
Superintendent Fulkerson stated
that the canvass of the vote on the
recent county board of education
election had been fixed by the dis
trict boundary board tentatively for
next Monday. If all of the districts
are in earlier then the canvass will
proceed at once, as soon as the dis
tricts have all reported but she
doubts if they will all be In much
before Saturday afternoon. Satur
day evening Is the last time allowed
under the law for filing of the re
turns. These returns come In sealed
without any notation on the outside
as to the vote in the district re
porting, so no definite return on
the vote is expected until the can
vass. However, Mrs. Fulkerson states
that there is no question that the
lead against transportation Is pil
ing up to a point where there is no
question that it has been defeated
in the county and quite decisively.
FORMER KAISER HAS
CLOSE CALL ON ROAD
Amsterdam, June 21 (JP) The
former German kaiser had a nar
row escape from death while motor
ing recently in Holland, it was re
vealed today.
His automobile was crossing rail
road tracks between Amsterdam and
v&LKEirs Market
178 SOUTH COMMERCIAL STREET
LOW PRICES
Is Not a Sign of Poor Quality Here.
GOVERNMENT INSPECTED MEAT
AM Beef Hamburger Lb. C
Our Own Make Small Link Home Made
Frankfurters Sausage Sliced Bacon
Lb. EC Lb. 12C Lb.
Best Cuts Lean Center Cut , Best Grade
Beef Roasts Pork Roasts Oleo
Lb. 9 Lb. o 3 Lbs- 2&c
Vegetable -- - Tender Choice
Shortening Beef to Boil Leg of Pork
3 Lbs. 22C Lb. 6 Lb. 12y2c
Free Delivery-Open Until 9p.m. Sat. Nite--Dial 8686
Haarlem when the bars were let
down automatically at the moment
when Wilhelm's motorcar was on
the tracks,
One ot the heavy bars hit the
machine, damaging it considerably
The chauffeur was able to move the
car from, the tracks only a few sec
onds before a train hurtled past.
The former ,kB,lsef, unhurt, con
tlnued the drive.
Because ot a War between auto
bus owners on the Island of Cebu,
P. I., the fare on first-class buses
Is about one-half cent a mile.
J
Clearance
of
All Summer
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