Capital journal. (Salem, Or.) 1919-1980, April 21, 1934, Image 1

Capital journal., April 21, 1934, Page 1, Image 1

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Newspaper Page TextC apital AJomraal City Edition VnwtllM, probably with fthowen tonight and Sunday; cooler; changeable winds. Local: Max. 85. mln. 40; rain 0. river -4 ft Partly cloudy, sou- wi do oua MT 46th YEAR, No. 96 SALEM, OREGON, SATURDAY, APRIL 21, 1934 PRICE THREE CENTS WMSIZg? fc D Circulation 1 Oalir avtm dutnbu- uuu for tb Montb ol y 10.013 WUA 4fnnt dally net pa!4 ifcir Uembr Audit BurMU mm sot w wasa shot . ; : : SHOW HOUSES OF CITY VICTIMS OF VANDALISM SignsTorn Down, Frames Destroyed in Theater Lobbies, Drug Stores Well Dressed Young Couple Seen In Act Similar Damage Before Signs were torn down, picture frames destroyed and general dam age done by vandals at the lobby entrances of three Salem theaters last night, end similar damage done at two downtown drug stores. Cash reward lor capture of the vandals Is being offered by Managers Carl Porter of the ELsinore theater and Ott Schmidt of the Grand. Similar damage has been done before. It vas said. At the Elsinore theater the per petrators of the damage were s-'en by Darrel Lash, night clerk of the New Salem hotel across the street. The noise of ripping wood and cardboard was loud enough to awaken Lash, who was asleep In the lobby of the hotel. He describ ed the vandals as a young man and young woman, 19 or 20 years old apparently. After tearing down the signs and pictures they took the (Concluded on page 8, column 8) OREGON HOME OF KIDNAPER Hiecinsvllle, Mo April 21 (Pi A man identified by the Missouri state hiehway patrol as Arthur Vought, 23, wanted for the abduc tion of State Patrolman Chester R. Oliver by three men Thursday, was captured here today after he had kidnaped ft 19-year-old boy. The kidnaped boy. Patrolman H H. Holt said, was Victor Kreuzen stein, son of the Rev. O. B. Kreu senstein of Billingsville. Holt, who with Herbert Cook, Hlppinsvllle constable, captured the man, said the fugitive crawled through a window in the Kreuzen jtein home about 2 a. m. and wait ed until members of the minister's family awakened several hours later. He robbed the family of about $25. The man then said he wanted Victor Krcuzenstein to drive him to Kansas City. B. Marvin Casteel, superintend ent of the state highway patrol men, yesterday said Virgil Marks and James E. Dixon, alias James E Clark, had confessed the Thursday abduction of Oliver and implicated a third man. The patrolman kid naped at Warsaw was released un Harmed. State penitentiary records do not show anyone named Arthur Vought ever confined there, but there was an inmate Kenneth Vaught. He was known outside the prison as "Bla- ckie." and since the man mentioned In the above dispatch was also known as "Blackie," and Is said to have done time in Oregon, it Is be lieved they may be the same man. Vaught was received at the prison from Lane county October 21, 1940, on a three-year sentence for obtain ing money by false pretenses. He was discharged October 19, 1932, and subsequently served a term In the Multnomah county jail. Vaught had been a soldier and in the prison was known as "Sarg." He was 20 years old wnen received there. State Must Furnish Own Gasoline Storage States Oil Manager Statements made by William Einzip, state purchasing agent, that the Union Oil company would provide temporary storage and delivery for 30.000 gallons of first structure gasoline purchased by the state were erroneous, P. H. Schnell, dis trict sales manager of the oil com pany said today. "Such an arrangement would be In direct violation of the code under which our company operates," de clared Sen n ell, We sold the state 30.000 gallons at 5'a cents a gallon f.ob. T a com a. Wash. Once the gasoline is delivered here the matter of storage and de livery to state institutions rests en tirely with the state. Statements to the contrary have caused us con siderable embarrassment.' Yesterday Einzlg said the com pany would provide temporary stor Good Evening! Sips for Supper By DON UPJOHN We heard about a man over at Monitor who awhile back asked the county for permission to move his house through a bridge ai mat place. The bridge Is a covered type bridge 15-feet wide and the house was 16-feet wide so the county hes itated. The man decided to move the house anyway and started on the Job of taking a 16-foot bouse through the 15-foot bridge. The house went through all right, says the report, after it got stuck in the middle and two tractors hauled It out. The bridge is still there but the house will assist to relieve the unemployment situation around Monitor by the time its put back together again. WATCHFUL WAITING The other day Ed Lytle, Roy Foreman, Doc Hockett and John Caughell all received invitations from a female voice over the phone. Each was told that a 16-passenger airplane was to land at the airport that afternoon and he had been signaled out for a special Invitation to take a trip to Seattle and back. Ed Lytle was at the racetrack. Roy Foreman was asleep. But the In vitation was too good. Ed put up his racers, Roy got up and dressed and both hustled to the airport where they found Doc and John. The quartette sat around three or lour hours, so the story goes, wait ing for a 16-passenger plane. Fin ally one of them went to the of fice and asked about the plane and found there wasn't any such plane due. Sure, boys, we were ti id who pulled the trick on you but won't tell. Salem theaters have juffered from vandals this week, lobby displays being ruined and other damage done. Now, If there had been an American Legion convention In town Salem asparagus was so doggonsd good this year the asparagus beetles ate it all up before It could get to the cans. That's the kind of fodder we grow around here. When bigger and better aspara gus beetles are grown they'll be found on Salem asparagus. We saw a lot of candidates stand ing along the curbs this morning watching the big Christian Endeav or parade go by. We know what the candidates were thinking about. Each one was thinking to himself, "Now, if I could only get all those votes." Sure enough there was a likely posse 1 of votes in that pa rade. Our old friend Art Kirkham, chief announcer for KOIN, is scheduled to tell chamber of commerce mem bers Monday about "Radio from the Inside." It would also be in teresting. Art, to take a radio an nouncer apart while you are here and see what makes it work. But, at that. Art hasn't near as many of the well known in ides as a lot of radio announcers we've heard. WOMAN KIDNAPER PUT UNDER ARREST St. Paul, April 21 iry-Indicted on a charge of conspiracy in connec tion with the kidnaping of Charles Boettcher II, of Denver, Colo- Mrs. Alvina Ruth Kohler, a sister-in-law of Verne Sankey, was arrested In St. Paul last night and held.pending arrangements for her removal to Sioux Falls, S. D. Mrs. Kohler, a sister of Fern May Sanky, widow of the outlaw, Indict ed on the same charge, was indicted by the district court in South Da kota last March 24, Werner Annl, head of the district office of the department of Justice here, an nounced this morning. Arrangements were being made to conduct a removal hearing before a federal Judge today. age and deliver gasoline to the var ious state institutions. This arrange ment .according to Einzlg, would permit the state to construct a cen tral 200,000 gallon storage tank and smaller tanks at the Institutions. Later in the day Elnzig said the state might construct a 500,000 to 600,000 gallon tank. Asked how much It would cost, Elnzig estimated a figure of $12,000. This amount, however, was said by some engineering officials to be woefully small. The state's gasoline contract which provide? for the purchase of "(CosKluded on paire , column ) PRICE FIXING POLICY HELD HOT FEASIBLE Cabinet Committee Re ports Adversely Upon Proposal of President More Information Re quired To Make Judge ment Possible (Copyright. 1934. by Asiocltttd Prcu) Washington, April 21 (Ai Presi dent Roosevelt has been advised di rectly by a special cabinet commit tee that the creation of a policy on price-fixing is not yet feasible. Tills conclusion was rested on the White House desk by Secretaries Perkins, Roper, Wallace and Attor ney General Cummings despite de mands of price-fixing's friends and foes that a policy be enunciated. The report, still withheld from publication, was authoritatively described, as recommending that positive steps be taken to get in formation which would make an objective judgment possible. The report is short. It makes no attempt to decide the merits 01 questions as to whether prices have risen too far under NRA price con trol provisions In codes or whether such provisions have been condu cive to monopoly. The document was said authori tatively to state that many factors besides prices, or the misuse of price control methods, may have brought harmful results. Thus It was sain that a specific determination of the part prices have played is at pres- Concluded on page 9. column ) GOLD DOLLAR VALUE UPHELD (CopyrlKlit by Unltrd Prt Washington. April 21 IP Auth. oritative sources today described the administration as determined for the oresent to prevent the American dollar from falling below Its gold parity even though It may become necessary to permit gold exports to Europe. This is expected to be the policy of the administration, at least for the time beine, rather than use of its $2,000,000,000 stabilization fund set up several months ago to con trol the dollar's value. Despite the decline in the dollar, accompanied by widespread rumors of a further devaluation of the dol lar, a raising of the current $35 per ounce buying price for gold or In flationary monetary steps, possibili ties of a large movement of gold out of the United States were dis counted. The government's newly revalued gold stocks on April 18, reached a new record high level of $7,745,744, 495, or about $1.25 for each dollar of American money outstanding. Even though billions of dollars of gold were to leave the United States the American dollar could still be backed by gold a hundred cents on the dollar. Not one cent of the $2,000,000,000 government stabilization fund set up early this year out of the profits of the dollar devaluation Is believed to have been spent in exchange op erations. $179,702,687 PAID FOR ACREAGE CUTS Washington, April 21 Ches ter C Davis, farm administrator, today said American farmers partic ipating in acreage reduction prog rams up to April 1, had received $179,702,687. The payments were made to 1,862,532 farmers who sign ed wheat, cotton and tobacco con tracts, renting portions of their ac reage to the government. The payments were distributed by commodities as follows: $112,472,670 to 1.032.154 cotton growers; $65,632, 728 to 789,614 wheat farmers; and $1,597,288 to 31,764 tobacco produc ers. The administration also spent $52,346,622 for surplus removal op erations involving wheat, hogs and dairy products, and $11,696,150 for administrative expenses. Benefit payments by states In cluded: Idaho $2,284,524; Montana $3,680,986; Oregon $1,789,895; Wash, in g ton $3,916,921. RECTIFYING BILL Washington. April 21 (A't Presi dent Roosevelt today slimed two amendments to the distilled spirits rectifying Industry code, making It possible lor rectifiers to bottle straisht whisky without paying the 30 cent rallonaee tax and ff bid ding rectifiers to buy bootleg liquor. Future Emperor Thl It the first picture of little Prince AkihitoTiugu-No-Miya, taken the day he became' three months eld. He It the heir to the throne of Nippon. (Associated Press Photo). ASTOR TO FACE QUIZ BY SENATE Washington, April 21 (VP) Two or President Roosevelt s companions on his recent fishing trip face re publican questioning when the senate ocean mail Inquiry is re sumed. Chairman Black (D., Ala.), of the senate ocean and air mail Investi gating committee gave a definite promise yesterday that Kermlt Roosevelt and Vincent As tor would be called for questioning as to whether affairs of the Interna tional Mercantile Marine company were discussed during the southern cruise aboard Astor s yacht Nour mahal. Kermlt Roosevelt Is vice-president of the company. Senator Robinson (R., Ind.), who extracted the prom ise from Black, said Astor was a big stockholder. Kermit Roosevelt,! in New York, asserted he had no, business communication with his office during the cruise. Tills development in the ocean mail inquiry came as experts from three federal departments dissected 43 new air mail bids for 21 sky routes, some of them the lowest in postal history. Postmaster-General Parley said it would be "several days" before contracts could be awarded. He or dered determination among other things of whether the bidding com panies which held cancelled con tracts had reorganized sufficiently to meet the department's stern or der. There were prospects of more air mail fireworks ahead today. WARNS RUSSIA WAR PROBABLE Moscow, April 21 fP Under the lash of President Michael Kalinin. Soviet leaders pushed forward to day a vast program for defense against war. Returning from a country-wide tour, the president struck at the vulnerable spots in Russia's de fensive armor. He urged particu larly In a call published In the newspaper La Pravda the training of women and children "and oth ers not fit for military service" to rarrv on should their men be called to fight. "Some think," president Kalinin said, "that since war has not yet been proclaimed against the Soviet union It will not be done at ail Those so thinking have lost their vigilance." He condemned rural Soviets for their inactivity in training women. children and men not physically capable of going to war "to carry out the work of the collective farms when all able-bodied persons are mobilized.' "Imperialists are preparing new wars against the U SS R," one reads, and there are others such as : "Japanese imperialists are organiz ing anti-Soviet provocations In the far east;" "Workers, peasants, red soldiers, strengthen the defenses of our country. Long live the far eastern red armv " OREGON DISTRICTS RECEIVE RFC LOANS Washlneton, April 21 The reconstruction finance corporation today approved loans to assist it; refinancing 12 drainage district throughout the country. The loaa approved include: Canyon creek irrigation district. Madison and Fremont counties Idaho. 120.000. Eacle Point Irrigation district Jarkstn county. Ore. $Et2,000. Srjuaw crck Irrigation district. Desclmt and Jefferson counties Ore, $70,000. i i LEAGUE FACES JAPPOLICIES Hands-Off China Decla ration To Bring World Conference May 14 China To Place Troubles Before Body But Def inite Action Doubtful Geneva, April 21 (LP) Japan's startling "hands off" Chinese dec larations may be raised In what will amount to a world conference when the League of Nations com mittee on Manchukuo meets here May 14, it was indicated today. League of Nation officials, al ready chagrined over the complete defeat of the League's efforts to curb activities of Japan in Man chukuo, frankly took a most seri ous view of the latest Tokyo state ments. Confronted with a new step for ward in Japan's aim to assert full leadership In eastern Asia, League officials seemed Inclined to favor a showdown and to welcome a gen eral discussion of far eastern af fairs at the May 14 meeting the iirst in nearly a year of the Man chukuo committee. From the standpoint of the League as a body, there was no doubt that a strong stand against Japan would be welcomed. But as Geneva is but the shell of the organization, and Its members have their own problems In the far east, there was some speculation wheth er a "strong stand" could be adopt ed. In Its efforts to curb Japan's pen etration Into Manchuria, the League suffered a severe defeat and loss of (Concluded on pnge 9, column 6) MOTTBIDSTO FORMJEW RULE Representative James W. Mott, says information reaching Salem, was yesterday appointed by the chairman of the house roads com mittee as member of a sub-committee of two democrats and one republican to formulate a rule for debate and vote on the roads com mittee bill recently reported. The bill would authorize the appropria tion of $400,000,000 as aid to the states for road construction out of funds to be appropriated In the new public works bill. Application for a rule has been filed by the sub-committee and a hearing on the application has been promised by the rules com mittee the coming week. Representative Mott has con ferred with all republican member;; of the rules committee and re ports them favorable to granting a rule for immediate consideration. Oregon's share of the road money, if the bill Is passed in its present form, will be about $6,000,000. PWA WATER LOAN CONTRACT MAY 5 City Attorney Chris J. Kowltz and Mayor Douglas McKay today received a telegram from the pub lic works administration at Wash ington saying that the contract for loan of $2,500,000 to Salem for a municipal water works system would be mailed on or before May 5. The PWA had previously set April 23 as the date, but the telegram said it had not been possible to complete the contract by that time. No decision has yet been reach ed whether Mayor McKay will go to Washington to represent the city In the negotiations with the PWA. The utilities committee of the city council is to meet Monday and de cide this. Since the city officials are In the dark as to what the contract con tains, particularly with reference to purchase of the existing piani oi the Oreeon-Washing ton Water Ser vice company, there Is considerable sentiment In favor of sending the mayor east. No Damage Caused By Latest Shaker Los Angeles. April 21 P) An earthquake which shook a section of the area devastated by the earth shocks of March, 1633, caused no damage, police reported toriav. Tin disturbance, timed at 8.16:50 and 8: 1A -52 p. m. Inst nit'ht, was felt in Huntington Park, Vernon, Bfl South Gate and May wood. Police said many persons mi took It for an explosion. Protest SERA Set-up For Payment Upon County Projects Dissatisfaction with alleged discrimination in the tiro- posed method of payment under the new SKUA settio is be coming apparent with a move already growing among county rfelief committees to protest to the state relief committee against regulations set up by the federal relief administra tion. Already a letter has gone out from the Lane county relief com- j miiiee, a copy or wnicn nas been received here. Obviously the copy was sent here not only to give the local committee an Idea of the Lane county committee's views but to ; enlist support from the Marion , county committee to the protest. Under regulations as prescribed for this county Salem, West Salem and Silverton have been designated as an urban area, to include the cities and the residential sections outside the city limits proper and immediately adjacent. The balance of the county is to be carried as to work -for-relief basis payable in kind. In other words men employ ed on SERA projects in the urban areas will be paid for their labor In cash. Outside of this district they will receive remuneration in (Concluded on pane 9, column 6) INSULL STATES NOW A PAUPER fCoprrlcht, 1934. by United Prets Aboard S. S. Exilona, off North African Coast, April 21 (IP) Sam uel Insull is a "pauper, but cheer ful because adversity has brought offers of help from scores of un expected friends," he told the Unit ed Press today in an exclusive In terview, aboard . the "prison ship" bearing him back to the United States for trial. Confined to his cabin by the mountainous seas through which the Exilona plunged her way, the aged former utilities magnate, speaking almost in a whisper, scout ed reports of a vast hidden fortune saved from the collapse of his mid dle west utilities empire. "The story that I brought $20,- 000.000 to Europe is nonsense," he said. If I possessed such sums I would have been able to prevent the collapse of my interests, using a little here and there. "During' my stay In Europe I spent carefully; wasted Very little, but even this small expenditure was a heavy drain as I am a virtual pauper." "I am not afraid," the white- haired former utilities magnate said as the vessel sirened its way through the fog-dimmed seas. He expressed extreme gratillra tion for the efforts of friends who are arranging the dr tails of his defense on charges in Chicago. $7,800 A DAY SAVED AIRMAIL CONTRACTS Washington, April 21 Mi The postoffice department expects to save $7800 a day on airman as a re suit of the new bids opened yester day. Department officials estimated the average bid was 30 cents a mile as compared with 42 cents before the old contracts were cancelled. Examining data accompanying the bids, officials found that E. R Breech, former General Motors ex ecutive, was president of three bid ding companies, Eastern Airlines, Inc., TWA, Inc., and General Air lines, Inc. Breech also is chairman of North American Aviation, holding company for the three lines. SEEKS TO ENJOIN LIQUOR BOARD Portland, April 21 A') Action was filed in circuit court here Friday by A. J. Tully, candidate for coun ty commissioner, to enjoin the state liquor commission from prohibit ing the circulation of home rule liquor amendment petitions at places licensed by the commission to sell beer and wine. The liquor control commission re putedly prohibited circulation of the petitions In beer and wine places on grounds such circulation In such establishment was a violation of a provision of the state liquor law a-hich prohibits such placs from making any contribution to a po litical measure. Jackson County Tot Loses Life In Fire Mfdford. Ore . April 21 M'p Two-year-old Dolores Evrhard was burmd to ifath late Friday when the fiimilv rmdence in the west Phoenix district was destroyd b fire. Two other children escaped. Slate ylice believe the children had been playmg with matches. FRENCH POLICE SUPPRESS RIOTS Paris, April 21 wn Police ruled the streets of Paris again today after a night of violence seen by some as setting the stage for seri ous outbreaks to come. Before police and mobile guards could quell a raging mob of 6.0O0 communists, and extremists, at least 200 persons were Injured by clubs, feet and fists. Out of the howling throng, offi cers grabbed 040 persons and bust led them off to jails, but all were released. The mob shouted Its defiance around the city hall in a demon stration against the government's recent decrees slashing the pay of civil employes. Today, although pleased with the improved system of handling riots usea m putting aown the mob, some quarters wondered how long it will be before riots flare again. The disorders were viewed as mere ly a sort of "rehearsal" tot May day. Under the system worked out after the fatal riots of February, the police attacked groups of man ifestants as they emerged from the narrow, medieval streets around the hall. Those who resisted were loaded Into buses and carted away. The 940 taken in custody were rounded up within half an hour in this way. The scheme proved so ef fective that only 2,000 of 3.000 po lice mobilized in preparation for the demonstration were used. Several policemen, attacked when separated from their fellows, were beaten before they could be res cued. One was hurt badly. WHITE HOUSE SILVER PARLEY Washington. April 21 fD Presi dent Roosevelt and senate silver advocates canvassed the monetary question at a White House confer ence today but further conferences will be required to reach a final decision on new legislation to aid the metal. The silver advocates left the White House .smiling and appar ently in a good moot!, but they of fered no comment. Stephen T. Early, a secretary to the president, announced: "There was a thorough discus sion of the whole world monetary question. Including both pold and -silver. There will be further con ferences." Chairman Harrison of the senate finance committee rescrib-d the conference as a "very sympathetic hearinir." "If it is necessary to have legis lation." he said, "I think we can get together on n satisfactory bill." GI II L HUNS AWAY State police were notified today that Anna Lee Smith, 17, of North Bend, an inmate of the girls' in dustrial school, had run away early this mornitiK. Search was imme diately started. Cheering And Singing Christian Endeavorers Stage Big Street Parade ChrorinK find sintfinir as thoy marched, approximately 2,000 Christian Kruleavorers, section of the state, paraded nf the city shortly before noon Sat - urdav. The parade which stretched out over a mile was led by Colonel Carle Abrams, followed by Boy Scouts, carrying the colors. A com bined band made up of musicians from Hubbard and Willamette uni versity provided music. The pa rade was a feature of the 50t.h state convention of Christ iHn Endeavoi which Is tving held upon the cam pus of Willamette university. Beginning lait Thursday nlnht the conversion has grown in In terest daily with the result an alt time record for atfndarve was brokpn Friday afternoon when 1CJ3 deleafs had signed the regis CRIMINOLOGIST TESTIFIES FOR PROSECUTIOH Finger Prints On Revolver Declared Not To Be Horan's Impossible for Manning's Victim To Have Been On His Feet Klamath Falls. April 21 UPy Dr. O. E. Hemrich, California crimin ologist, said today Ralph Horan's fingerprints were not on the gun found clutched in the legislators left hand. This corroborated the testimony of Leigh Ackerman, Klamath Falls police officer. Pho tographs of three prints have been accepted as &tate exhibits. The state completed direct ex amination of the doctor at noon Cross examination will start Mon day morning. Klamath Falls, April 21 (flV-The prosecution's master detective and criminologist, Dr. O. E. Heinrich of Berkeley, led a Jury of men on an exploration trip today designed to attack any defense theory Horace M. Manning engaged in a gun duel with Ralph W. Horan before the young legislator was found shot to death on Lincoln's birthday. The professorial appearing Hein rich, testifying slowly and metho (.Concluded onjntge 9, column 1 RELIEF FROM HEAT COMING Portland. Ore., April 21 OP) Some relief from the heat wave which set several new April records in Oregon Friday was forecast by the weather bureau today. Cloudy and unsettled weather was in store for the weekend with probably occasional local showers. Umatilla topped the Oregon noc spots Friday with a temperature of 99 degrees. Portland, The Dalles, Roseburg, Yakima and Pasco saw the mercury rise to 90. Albany saw a new record established at 87 degrees. Some rain fhowers fell up the valley late in the day and thunder showers appeared on the make in and around Portland but did not materialize. Minimum temperature here dur ing the nicht was 57 decrees, ore degree higher than Friday. RAILROAD UNIONS REJEGTJPROPOSAL Washington, April 21 (LP) Rail road labor leaders today refused to accept immediately President Roose velt's proposal that workers con tinue under the present 10 per cent wage reduction for six months. When Joseph B. Eastman, federal coordinator ol transportation, called upon union leaders fur an answer, they discussed the question briefly and said a final decision could not be reached until they had further instructions from workers. "They just weren't in a position yet to give their answer." Eastman said atNT the conference. The co ordinator has spent a largo part of his time during the las two monttia trying to settle the dispute l etvetn labor and railway managements. representing virtually every through the downtown sections - ter books. An address by Dr. Daniel A. Pol ing, president of International Soc iety of Christian Endeavor and of the World's Christian Endeavor Union, of New York, will bring the convention to a close Sunday night. Dr. Poting was experted to reach Salem In time to deliver the first of the series of three addresses dur ing the Saturday niht meeting at 7:30 o'cloek. After communion services for dMcgnten tn the gymnasium of Will.une'te university, the vIMtors will wek the various churches of Tco'ncluUiU on page 9. column 7)