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About Capital journal. (Salem, Or.) 1919-1980 | View Entire Issue (Feb. 21, 1934)
Circulation Daily Yrg distribu tion for th Uontb ol January. 1M 9.870 4Ttrag dally Ml pal4 410 altmbtr Aucm Bureau of Circulations C apiiamjounial City Edition Qciwrally cloudy to night and Thursday. Llttl chknr In temp pcratur. cuUrly wind, wind. Local: Mai. 66, mln. 5; rain .16 Inch, riv er 0. cloudy, variable 46th YEAR, No. 45 "son SALEM, OREGON, WEDNESDAY, FEBRUARY 21, 1934 . PRIP.R THRER CIENTK o nuim um nm Lniqn o jo n emuun-Fivm crN-ra (PQq) MUlr WW 00 OW 9UB FATAL RflfPflln) EAST mm. BOOTLEGGERS CAUSE CONCERN TO ROOSEVELT Imports Below Expecta tions High Prices Probed Tariff Lower Johnson Bill Taking State Issues From Federal Courts Favored Washington, Feb. 21 Presi dent Roosevelt and his aides are concerned over continued activity of bootleggers and are Investigat ing the prices of legal liquor. This was made known today as newsmen gathered today at the president's semi-weekly press con ference. Joseph Choate, administrator of the federal alcohol control board, has reported that Imports are be low expectations. The administration Is seeking to determine If there is a shortage of supplies necessitating the high price of liquors, against which many eomolaints are beinjr made. A suggestion has been made for lowering the tariff on liquor Im ports as one method of approaching the problem. Whatever happens, it was em phasized that Mr. Roosevelt wants to put the bootleggers out of busi ness. To that end a serious study Is in progress. In response to questions President Roosevelt said he was very much (Concluded on page 8, column fl) EDITOR ELUDES TWO KIDNAPERS Chicago, Feb. 21 E. P. Adler, publisher of the Davenport, Iowa, Times and head of the Lee syndi cate of newspapers, was attacked by two men in a hotel corridor to day In an apparent attempt at kid naping. Slugged twice. Adler dodged the lull effect of the blows and ran down the corridor from his room, eluding his assailants. Officers said one of Uiem was arrestee. In the room next to Adler's detec tives found a large trunk In which air holes had been poked. They aid it was apparent the two men Intended to lock Adler In the trunk and have him carried out. At 7:30 a. m., today Adler stepped from his room, locked the door and suddenly the two men jumped from the next door and slufmed him with blackjacks. Bo severe were the blows that several stitches had to be taken. Nevertheless Adler broke away from the pair and summoned help. PRIZES AWARDED IN BUTTER CONTEST Corvallla, Ore, Feb. 21 (IB Ralph W. Waggoner of Clatskanle, won the senior cold storage butter con test at the convention of the Ore gon Butter and lee Cream manu facturers association here today. J. H. Bigler of Mount Angel won second place, and A. B. Swan of Carlton, third. In the Junior division, A. C. Mad son of McMinnville was first. Jack A. Wright of Carlton, second, and Walter Grwkop of Clatskanie, third. Salem Liquor Store To Open For Business At 11A.M. On Friday State liquor store No. 1, the first in Oregon outside of Portland, will open for business at 11 o'clock Friday morn injr, Roy Stewart, manager, announced Wednesday aa final details In connection with stocking up were being completed, ine store is located at 337 Court street in the Prime building. Stores at Astoria and probably The Dalle will also be opened at that time. Because of the legal holiday Thursday it Is impossible to open then though the force will on the Job during the day getting every thing In readiness. A special imita tion for women to visit the store, not only the opening day, but any day. Is given by Manager Stewart. The Interior of the store has the appear ance of a drug store and there Is nothing that mieht prevent a wom an from visiting the place, Stewart Good Evening! Sips for Supper By DON UPJOHN "Legal Liquors Add Zest to Every Day Recipes," says headline on the society page of the once bone-dry Statesman today. This will be In teresting advice to earnest house wives in these parts, who strive to please. - However, the Statesman article gives further warning that "gener ally speaking, foods to which liquors of huge alcoholic content have been added should not be heatea 10 a high temperature, as the alcohol will pass off In vapor." This Is a matter of moment, also, to earnest housewives who strive to please as the alcohol passing off into vapor is sure to reduce quite considerably the desired sest urged In the afore mentioned. Zest is the best sauce for any dessert Society news should begin pop ping around here pretty quick, as soon as the zest gets to working as it should. Mr. Pete Stadelman, the new gether the senate Interim committee to meet in Portland next Saturday. It seems tne new secretary 01 state has Joined in the campaign to move the capital to Portland. SAVING HEAT BILLS John Graber reported In at Harry Levy's yesterday and ordered some meat "My wife told me to go out this morning and kill one of the chickens said John. "She said It was time for us farmers to use a little of our own meat around the place. So I pulled out the old gun, spotted a good fat hen, and blazed away. The hen took a couple of Jumps and went back to eating. Next time I took a good bead and blazed away again. The hen Jumped three times and went back to eating. Just then I happened to notice my car parked In the yard. Both back tires were flat. The first bullet went clean through the two of them. And then I noticed the spare tire was also flat. The second bullet took care of that. It cost me 11.80 to get the tires repaired and the hen is still eating." Atta boy, John. Patronize Salem stores. Think how you helped out the tire man, the butcher and sport ing goods store. Oregon liquor store No. 1 opens in Salem, we're advised, at 11 o' clock Friday morning, February 23. An auspicious date. George Wash ington having his birthday set the date back one day. We wonder if the bova couldn't let a friend or two slip through the cordon a day ahead of time luce sometimes hap pen at these two for one sales? Anyway, housewives will be able to start adding legal zest to recipes before the week is up. At last night's wrestling match 950 spectators were counted, ot which 400 were women those of the latter sex being admitted free. Who said bargain sales no longer hold attractions? Herr Hitler announces that golf is the national pastime of Ger many. That's a break for Graham Sharkey, who lately became a cap italist at leisure. SENATE RESTORES' SALARY SLASHES Washington, Feb. 21 UP) The senate by 41 to 40 today voted for full restoration of the 15 per cent government pay cut on July 1. The action was taken on an amendment by Senator Pat McCar ran, Dem., Nev. It was a defeat for the democratic leadership. The senate previously had voted to restore 5 per cent of the reduc tion now and S per cent July 1. says. Portland stores report a large number of feminine callers. The store will be open for business from 11 o'clock In the morning until 8 o'clock in the evening daily ex cept Saturdays, when the hours will be from 10 to 10 o'clock. Doors will be locked on Sundays and holidays. The stock Is not yet complete. Stew art says, because of the inability of distillers to send some brands to the Portland warehouse, but in a short time a complete stock of do mestic and imported spirits, Includ ing tt-rslr.V. Ir.nVinl -HI Kt avail. able. The present stock is highly 1 (feuncluticd oo it 9, column it HOUSE PASSES TAX REVISION BILL 388 TO 7 Republican Proposal for 2 Cent Postage De feated 272 to 132 Most Comprehensive Change In Income Tax Laws Since Wartime Washington, Feb. 21 (LP) The house passed the $258,000,000 tax revision bill today after defeating a republican proposal for restora tion of the two cent postal rates. The measure, drafted after six months study by a subcommittee goes to the senate where lengthy debate is expected on the numer ous controversial provisions which were forced through the house un der a gag rule. The house passed the bill by a vote of 388 to 7. Just before the final vote a re- publican effort to recommit the bill to committee for restoration oi two cent postage rates was defeat- ed. 272 to 132. The bill as passed continues the three cent rate for another year unless the president desires to lower it. All the repub licans present voted for the two cent postage. They were Joined by 16 democrats and four farmer la bor! tes. The measure Is said by experts to constitute tne most comprehen sive change in the income tax laws ever made and had its origin In senate disclosures of iax evasions. It was brought up in the house a week ago under a rule which pro hibited all but committee amendj "(Concluded on page Bicol"umn 1 ASK MESSAGE AGAINST BONUS Washington, Feb. 21 (LP) House administration leaders, alarmed by the soldiers' bonus drive, are pre pared to ask President Roosevelt to send a message to congress rebuking the legislation. It was learned today. They felt. It was understood, that only by such action could the dem ocratic majority be held in line, and the administration saved from an outright defeat in the house when the $2,400,000,000 bonus-inflation bill comes ud March 12. One prominent leader of the bonus group admitted today that a message "if it Is frank enough" would carry enough weight to bring about defeat of the bill. President Roosevelt's threat to veto bonus legislation at this time, relayed to the house by Speaker Henry T. Rainey yesterday came too late to stop the bonus petition from being completed. House leaders said that some members who had signed the peti tion before the presidents stand was made known, had asked if there was "any way in which we can get our names off. Democrats who have publicly fa vored the bonus and at the same time pledged full cooperation with the president were in a quanaary, It was this large group that lead ers hoped to swing by prevailing on the president to discuss the bill in a message. FACTOR IDENTIFIES THREE KIDNAPERS Chicago. Feb. 21 (IP) Jake Factor, victim ot a 70,000 kidnaping plot. today ldcntilled from the witness stand three men accused of parti cipating in the abduction. His story ol 12 days ol capuvuy was me state's last major blow at Roger Touhy, Gustave Schaeiier ana Al bert Kator, for whom prosecutors seek the death penalty. The former Halstcd street barber appeared almost Jaunty as he re peated testimony rrlven in the pre vious trial of the three defendants, which ended with a Jury disagree ment. At the beginning of his testimony he pointed out each ot the gang sters and named them as members of the Rang which took him from his automobile last June 30 and re leased him after payment of the ransom. RARE BIRD DIES East Lansing. Mich.. Feb. SI (IP) Death has removed the male bird in what Michigan State college au thorities said was the only pair of trumpeter swans in North America. The five year old bird was operated upon here after an X-ray revealed a gizzard obstruction. The two birds were brought here from Holland four years ago, and were valued at $2000. Seek Loan Of $4,600,000 For Old Postal Site Portland, Feb. 21 LP The city council today, by a vote of 3 to 2, agreed to apply for a PWA loan of $4,000,000 with, which to acquire tne old postofflce site at Fifth, Sixth. Morrison and Yamhill streets, and erect thereon a civic theater pro ject. The action was taken In the face of a request from the chamber of commerce that the city allow priv ate Interests to purchase the site for an office building. The chamber's request was made when it was learned that the trea sury department contemplated raz ing the building and leasing tne block for a parking lot. 30 HOUR WEEK IMPRACTICABLE Washington, Feb. 21 (flV-The opinion that such a flat work week Limit as 30 hours cannot be ap plied to Industry was expressed to the house labor committee today by Administrator Hugh S. Johnson of the NRA. In his first capltol appearance as Blue Eagle chief, he said the NRA was a "much more llexible and intelligent way" to reach the end sought more employment. Gerard Swope of General Elec tric likewise opposed the flat 30 hour week as provided in the Con nery bill. "I think something has got to be done very promptly," Johnson said, however, "to shorten hours and raise wages." He intends to carry hour reduc tions farther under the NRA. Swope had insisted it be done through the present NBA set-up. Swope favored old age, unemploy ment and life Insurance for work ers, with both employer and employe contributing, and for worker assur ed of keeping his benefits on chang ing Jobs a plan he said had been adopted by General Electric. Asked If the NRA had not failed to employ as many as had been anticipated, Swope said: "The NRA has accomplished a great deal more than I had expected of it. It has done a remarkable Job." FOR FEDERAL HOME BUILDING Washington, Feb. 21 t7P Presi dent Roosevelt is believed by some of his closest associates to the con sidering a request for congress at this session to put a xederai-nn-ancing spur behind home building. Although disinclined to talk be cause formal announcement of the selection of a committee of 16 to get the legislation ready has yet to be made, officials said today the plans contemplate mass production of inexpensive homes by private enterprise, rehabilitation of existing homes, and clearance of slums. The project would require penditure of many billions over a ten year period, while a relatively new Industry develops to produce homes to cost as much as 50 per cent less than at present. The president was said to believe the program offered not only an opportunity to help business but would be of Invaluable social im portance and furnish an outlet for private capital. The newer idea would call for use of federal funds in such a way that part of the risk of building homes on a mass basis, as con trasted to the general individual construction now in use, would be assumed by the trovernmrnt. CANNERY DAMAGE CASE BEING HEARD Portland, Feb. 21 (LP) The plain tiff's case In the suit for $24,000 damages brought by Eva M. Palm- worth, owner of. Spongs landing below Salem, against the Hunt Bros. Packing company and the Reid Murdoch company of Salem, was completed today and the defense offered its first testimony. Mrs. Palmworth asserted that de cayed fruit discharged into the river accumulated on the shores i her resort and made the water unfit for swimming or recreational purposes. As the first witness the defense railed a chemist who testified thai the bacterial count In water taicen near the railroad bridge nar Salem was 2,000.000 to the cubic centi meter. He admitted, on cross ex amination, that the samples were taken about 25 feet from the out let of a sewer. J. C. Fornick. former owner of Spongs landing, testified that he did a poor resort business because of the accumulation of dead fish and slime on the bank of the river. I BROWN ADMITS POSSESSION OF MORE LETTERS Former Postmaster -General To Scan Files for Removed Missives Repeats Denial of Illegal ity In Awarding Mail Contracts Washington, Feb. 21 (LP) Walter F. Brown, postmaster general un der former President Hoover, told the senate air mall investigating committee today that he still had in his possession "some letters" which he removed from the postof flce department when leaving office on March 4, 1933, and offered to examine his personal files to de termine the exact number. Responding to questions by Chair man Hugo L. Black, the former cabinet officer said the letters which he had not returned to Postmaster General James A. Far ley were "extra copies I thought would be good things to have for my protection." Included in the correspondence which Brown said he removed and did not return were copies of let ters written to Senate Majority Leader Joseph T. Robinson and Chairman James M. Mead of the house postofflce committee In Feb ruary, 1933, explaining the status at that time of airmail contract let in the Hoover administration. "How many more have you that you did not return?" asked Biack. "I can't answer that." Brown said, "but I'll be glad to look through my files and see how many. I took only additional copies of letters I thought would be good things to (Concluded on page 9. column fl) PLEA FOR CWA BY LAGUARDIA Washington, Feb. 21 (LP) Mayor Fiorello LaGuardta of New York coupled a warning against "grave dangers" from discontinuance of the CWA with a plea for RFC finan cial aid to free cities from "the money lenders" in testifying today before a house committee. The mayor testified before the banking and currency subcommit tee considering a bill authorizing RFC direct loans to cities. "The federal government must step In and not leave cities at the mercy of money lenders", LaGuar dia said in describing the effect of the depression on municipal fi nances. "It has got so that we are nego tiating not with the bankers but with money lenders who are telling cities how to conduct their govern ment," LaGuardia said. "I want to warn you too of a grave danger so great that It is too dreadful to contemplate that of suddenly discontinuing the CWA program," he said. "There is not a mayor but lives in dread of what would happen. There is not a city that could possibly finance the necessary relief." pii:rce and mott sign Portland, Ore.. Feb. 21 LP Two Oregon representatives and five Washington representatives signed the petition for a vote on the bonus bill, according to a dispatch from the Journal's Washington correspondent. Major General Char les H. Martin of Portland, and Samuel B. Hill of Spokane, were I the only two non-signers. Swedish Prince to Wed Movie Actress Despite Loss of Throne Rights (CopjTliM. 1634. bj UnlUd Presi) London. Feb. 21 (U.R) True to what is becoming a tra dition in Europe's most romantic royal house, Prince Sigvard of Sweden, second son of the crown prince, is in London to day planning to marry Enka patzek beautiful blonde Geunaii motion picture star. King Gustav v., Crown Prince Gustav Adolf, Count Folke Berna dotte, a couitn; the Swedish am bassador to Great Britain, Baron Palmstlerna, even Scotland Yard, have tried to dissuade the prince, third in line of succession to the throne, to abandon his plan to marry a commoner. Though the marriage means not only renunciation to his rlvht of succession to the throne but aband onment of his royal status, Sigvatd Intimatf'd firmly, and with somr heat, that he is a prince only by Abrams, Cheered By Feelers, All Set To Enter Primaries By HARRY" N. CRAIN The gyroscopic attraction of the whirlpool of Dolities centering about the office of secretary of state is strong upon oionei cane ADrams, member of Marion county s house delegation in the legislature and predecessor to William Ein- zig as secretary of the state board of control. Since Gover nor Meier first made known that he had chosen P. J. Stadelman to fill the vacancy caused by the death of Hal E. Hoss and It was noised about that Stadelman had no In' tention of seeking to retain the of fice by election, Abrams has been cautiously edging closer and closer to the rim of the winning tunnel. Today there were Indications tliat he is weakening and is Just about ready to hop in, come what may. For a week he has been "making contacts" with a view to ascertain ing what the reaction to his can didacy might be. Apparently the response has been encouraging. "It's going to be pretty hard to keep out," Abrams said this morn ing. "I'm like the prisoner before the court who said, 'when the evi "(Concluded-on page 9, column 6) RUSSIANS BAR JAP FISHERMEN Tokyo. Feb. 21 W A new diplo matic tilt between Japan and Rus sia over fishing ground In North Pacific waters confronted Tokyo and Moscow today. A foreign office spokesman said Japan will protest strongly to Moscow over "a serious breach of the international agreement," and will consider steps to obtain a remedy." Waters belonging to Russia and fished by Japanese under the treaty arrangements perfected mree years ago were the focal point of the dis pute. Fishing rights have been i source of trouble ever since the Portsmouth treaty was signed in 1905. A recent agreement fixed the ex change rate between the two coun tries at 323 sen (a sen is the Jap anese cent) to one rouble, and al lowed Japanese to purchase at an annual auction In Vladivostok the right to fish on certain grounds. Diplomats saw a new menace to continuation of negotiations with Russia over sale of the Chinese eastern railway to Manchukuo, since the negotiations concern ex change rates and Moscow was re ported to be adamant on the new rate. RULE OF REASON FOR NEWSPAPERS Washington, Feb. 21 Presi dent Roosevelt wants the rule of reason to apply In working out the newspnper code. In an informal discussion of It to day at the White House, the presi dent said the main object was to work out the newspajXT agreement in such a way that more people would be given employment. He has no Idea of regulation re garding working periods of long hours, to be followed by vacations, but expects the publishers them selves to work out the situation. So far as using men 65 or 70 hours a week and permitting them to accumulate long vacations, he does not think that would work so well. In response to inquiries, the presi dent said he also expected ncfc- papcr press associations to work out a code. He has not considered any specific ideas for such a code, but he made It plain he wants one. the accident of birth and that hi.s romance is his own idea and a good one. Sigvard and Erika wcr In Lon don today. Sigvard was located at a small May Fair hotel, and Erika was believed to be at another one under an assumed name. Sigvard. because of the excitement over his romance, remained in his room all morning. His ambition, aside from becom ing Enka's husband. Is to make a name for himself in motion pic tures. It was learned that for months (Concluded on pRga 9, column 4) GRILLS TACTICS OF EXCHANGE Washington, Feb. 21 (LP) The New York stock exchange was de nounced by Chairman Duncan U. Fletcher, Florida democrat, at the senate banking committee hearing today for allegedly propagandist ac tivities against tne pending stock ex change regulation bill, scheduled for hearings by the committee next week. Charging that recent evidence be fore the committee indicated the ex change was unable to cope with im proprieties, Fletcher demanded that representatives of the New York market "prepare to meet these facts" with facts Instead of prpoa ganda. Fletcher said that members of the exchange "realizing they have dis credited themselves by their own re cords" have enlisted the aid of large corporation executives In th fight against the measure. "The representatives of the New York stock exchange instead of ut tering glib generalities must explain away the mass of sworn evidence showing how Its facilities have been used by a relatively small group of men for their own profit at the ex pense of the Investing public." Reverting to evidence of successful profits from the whisky pool last summer, Fletcher said that these ev idences of "pools, manipulations, op tions, puts, calls and market rig ging, left the public holding the bag as usual because it was run as a gambling market for Insiders against outsiders." DAWES VISIONS BETTER TIMES Chicago, Feb. 21 fT) Charles O. Dawes, former republican vice presi dent of the United States, said to day that he saw "continued better conditions" ahead for business and industry of the nation and that he predicted this belief on a feeling that President Roosevelt would car ry through his announced plan for a balanced budget in 19J6. General Dawes made this, his first utterance on national affairs in more than two years, In an address before the Association of Commerce at noon. Before he spoke, he asked that it be made clear that he meant in no way to criticise the president. "Tliis is no time for politics," he said bluntly. "In my Judgment, said Dawes, "wo are facing continued better condi tions in business and Industry In this country, I predicate this chiefly upon my belief that the president will carry throuirh his announced propram of a balanced national bud get in 1936. I believe he will withstand the tremendous political pressure upon him to continue emergency expendi tures after emergencies have passed. He dors not strike one as a man who is afraid." PAYNE QUESTIONED ABOUT SILVERMAN Washington, Feb. 21 (IP) Freder ick 11. Payne of Greenfield, Muss.. assistant feeretary of war in the Hoover administration, was called before the federal grand Jury for questioning In regard to negotia tions with Joseph Silverman, New York trader who has been barred from the war department. Payne appeared to testify under a waiver of immunity from prase rut Ion after authorities had at tempted vainly to obtain a written .statement from him. He was the first Hoover admin istration official to be heard by the grand Jury. Harry H. Wood- ring, assistant secretary of war, has been before the Jury twice and ifc to be called again. It was understood questioning of Pavn centered around transaction with Silverman, to whore funis the nar department has sold larec quantities of surplus supplies In recent years. Authorities alro wished to question Payne about re ports that he had engaged In con ferences with Silverman since the Roosevelt administration came in. BLIZZARD KILLS 25 IN ATLANTIC COASTSTATES Many Towns Isolated, Traffic Demoralized by Heavy Snowfall Cold Wave Extends To Florida With No Relief Apparent Br th AsaocUted Prtu) Cold that knifed to the marrow staggered the east today as it strov to shake off paralysis caused by the "worst blizzard since '88." At least 25 persons lay dead, struck down by the storm. Many towns were still practically Isolated, transportation system crawled at a snail's pace In num erous spots, and whistling wind imperilled shipping. The mercury plunged toward zero, and the cold glazed the land with Ice. hardening snowdrifts that impeded traffic No immediate relief was in sight. The frigid wave extended as far south as Florida. New England, hardest hit by th slashing 60-mile gale, was still bur ted In many places under snow drifts 8 to 12 feet deep. There were at least nine dead there, It in New York City, and six in Penn sylvania, New York will spend $2,000,000 to dig out ot the snow that ma "(Concluded" ohpflne 8, column ) FRENCH JUDGE SLAIN ON TRAIN Dijon, France, Feb. 21 P Poliea announced today they were inves tigating the possibility that Serge "Handsome Alex" Stavisky, founder of the Bayonue Municipal pawn shop, was an International spy sell ing information to the Nazis in Ger many. Dijon, France, Feb. 21 (V-The mutilated body of Judge Albert Prince of the court ot appeals wat found today on a railroad track near here. A blood stained knife lay nearby. Police said they believed the Judge was murdered. Judge Prince was the former chief of the financial section of the Paris courts. Police said they be lieved his death mUht be linked with the notorious Stavisky case the colhipKc of the Bayonne Mun icipal pawnshop which Serge Stav isky founded and whose failure ranged a loss of $40,000,000 to French Investors. The slain man was to have testi fied today in Paris In the Stavisky ca.se. Police revealed he ad been lured from the capital by a fake tele gram which said his mother wat gravely ill in Dijon. Reconstructing nls death, the po lice said assassins killed him in the compartment of the train by which JudKO Prince was hurrying to Dijon, then threw the body ou$ of the coach into the path of an other train. 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