MEDFORD MAIL TRIBUNE, MEDFORD, OREGON. MONDAY. FEBRUARY 18. 1935
BRUNO POSES AFTER CONVICTION
ACTIVES INSTALL
Held For Treason
DEW AIDED RESCUE
G.P.
LITHIA SPRINGS
F
PAGE TEX
1 1 f 1 1
ROOSEVELT'S VIEWl
(Continued rrom page one)
Here 1 the language in which tne
court denied holder of federal gold
bonds to sue for redrew In the court
of claim:
"In Tlew of the adjustment of the
Internal economy to the tingle meas
ure of value as established by chc
legislation of the congress, and the
universal availability and use
throughout the country of the ltgl
tender currency In meeting all en
gagement, the payment of the plain
tiff of the amount which he demands
would appear to constitute not a re
coupment of loss in any proper enw
but an unjustified enrichment,
position Untenable
"Plaintiff leems to make bis case
solely upon the theory that by reason
of the change In the weight of ths
dollar he 1 entitled to one dollar and
sixty-nine cent In the present cur
rency for every dollar promised by
the bond, regardless of any actual
loss he has suffered with respect to
any transaction In which his dollars
may be used. We think that position
Is untenable."
While President Roosevelt with
held comment, elation was evident
among his advisors both In congress
and downtown.
"We are not concerned with coruc
quences," said the court, "In the
sense that conaequencee, however cr
lous, may excuse an invasion of con
stitutional right.
"We are concerned with the con
stitutional power of the congress
over the monetary system of the
country and its attempted frustra
tlon.
"Exercising that power, the con
gress has undertaken to establish I
uniform currency, and parity between
kLnds of currency, and to make that
currency, dollar for dollar, legel ten
der for the payment or debt.
"In the light of abundant exper
ience, the oongress was entitled to
choose auch a uniform monetary sys
tem, and to reject a dual system
with respeot to all obligations within
the range of the exercise of It con
stitutional authority.
"The contention that these gold
clauses ere valid contract and can
not be struck down proceeds upon tho
assumption that private parties, and
states and municipal 1 ties may make
and enforce contract which mpy
limit that authority.
Must Face pact
"Dismissing that untenable as
sumption, the facts must be faced.
"We think that It Is clearly ahown
that these (gold) clause Interfere
with the exertion of the power grant
ed to the congress and certainly it !i
not established that the congresa ar
bitrarily or capriciously decided that
such an Interference existed."
While there was a little uncertainly
at the White House as to the exact
ruling on federal bonds, there was no
Indication that presidential actton
was Imminent.
The court's position on private
bond applied as well to bonds Issued
by state and municipalities.
Regarding gold certificates, Hughes
specified the court of claims had no
Jurisdiction.
A to whether holders had the right
to recover actual damages when gold
coin Is not paid, tho court reminded
that the plaintiff admitted congress
had power to regulate currency and
deliver gold.
Cannot Repudiate Debts
As to federal bonds, Hughes said
the law was not a valid act when It
applied dollar for dollar in payment
of government bonds. The question
being whether congress can invalidate
the pledge which the government
made when it pledged Its credit In
Issuing bonds.
Congress can not ignore the prom
ise which the government had made,
he said, and congress can not repudl
dlste the government's obligations.
But, It developed subsequently,
those who consider themselves to
have suffered wrongly from the con
tested law can not sue for the addi
tional money they believe their due.
"The constitution Is gone." Mc
Hejnolds stated In delivering one of
the dlwntn.
His emphatic view was that It could
not be disclosed at this time what ,
would be the effect "of what hsu
been done here this day."
He pointed out that solemn prom
ise the government hsd made In ttic
Ml of Its bonds tlmt purchasers
would receive payment In gold.
His opinion was in reference to the
federsl bond rase. His words were
listened to with rapt attention by the
crowded courtroom.
Oonsre5s. in the view of the disin
ters, hsd enacted the deputed law to
rle the price of agricultural commo
dities. The minority asserted the gov
ernment was insisting ttist all credi
tors must accept 81 cents on the
dollar.
"Clod knows I do not want to tn!k
about such matters but it Is my
duly." declared McReynolds.
1 rlttrlre Majority
He crltlcl.-ed the majority by ssyinj
It "In one breath" ssvs congress had 1
says congress had
no power to repudiate the gold bond
obligations, but at the same time!
reaches the conclusion because the
government bond holder can not ac
cept gold, he must accept a 60 per
cent legal tender dollar for each gold
dollar the government promised to
pay.
Congress Is without power, accord
ing to the decision, to repudiate Its
gold obllcstlona In Its own bonds, he
contended, but csn not be compelhM
to psy In devalued doners the vsltie
of the gold celled.
This mesns coiu-rrhs csn pay In 60
cent dollsrs, he continued, adding
cryptically:
"Thl Is Nero In his worst form.
"We are confronted with a dollj:
which hsa been reduced to 80 cents
which may be 30 cent tomorrow, 10
cent the next dsy and one cent the
dar following.
"We have tried lo preeut lis en
trance Into our legal system but have
tried In rain. W are told the gov.
mmetH bad bl4 chU of it Unuu
i
, i , ' . ,'v. vr? i iiiaaian i
I - - - ' i III! J '
i m ' - 'mum it
LsW ills 21 w 1st ' ' -
Thla wii on of the flrat pictures taken of Brunc Richard Haupt
mann after ha had been convicted of the Lindbergh baby murder In
Flemlngton, N. J. The priaoner la wearing wrinkled and baggy trousers
In his cell. (Associated Press Photo)
tlons 93,900,000,000 which la now re
posing In the treasury."
Agreeing with the majority on the
main lMuea, Justice Stone neverthe
less presented a brief dissent on one
point Indicating; he frit the court had
gone too fur on the federsl bond
esse.
fly Melbourne ChrlMpnwn
Associated Press Staff Writer.
WASHINGTON, Wa. 18. (AP)
Sixty-nine billion dollars was the
ultimate stake In the legal maneuver
ing that took the celebrated "gold
clause" caMs Into the supreme court.
The Immediate ateke of those who
refused to accept the government's
emphatic "no" In anawer to their de
mands for payment In gold, was only
9ee.000.000, a small aum compared
with tho vast total Involved In all
public and private conti-ncts.
One of the men who through coun
sel, has told the supreme court that
congress hsd no right to deprive him
of his gold or the equivalent In legal
currency wsnted to gsln only US. 60.
uul that man personified thou-
sanda of holders of bonds, mortgages
and other contracts containing; prom
ises to pay an estimated 9100.000.000,
000 In gold or Its equivalent airni,.
000.000,000 of present devalued cur
rency. Xlnry of Cnnc
Here Is the atory behind these his
toric cases:
Last February Norman C. Norman
of New York presented an Interest
coupon on a Baltimore and Ohio rail
road bond, which had a face value of
23.80 and demanded payment In gold
or Its equivalent 3B. 10 In legal ten
der. Payment was refused and Norman.
determined to get the additional
916.00, sued In the supreme court of
New York county.
He was among the first to hammer
at the constitutionality of "nubile
resolution number 10" approved June
3, 1033, under which congress declared
provisions of contract obligations re.
quiring payment In gold, or "In an
amount of money measured thereby"
to be against "public policy."
jusc as strong an attack on the
resolution was mndo by the Bankers
Trust company of New York and WII.
nam II. Blxby. trustee under a mort
gage of the Iron Mountain railway,
who asked In the United Slates dis
trict court at St. Louis In December.
1033, that the mortgage of 9.14.S4R.000
bo made payable In gold com. the
equivalent or which under present
lawful currency would be 958.38fl.120.
llonlil IMiri'ii-c Iielit
In 1017 the Missouri raclflc Rail.
road company acquired the mortgage
property of the Iron Mountain road.
llie Missouri Paclllc Is now In receiv
ership. Indebted to the Reconstruc
tion Corporation for t J3 134 800. The
Missouri Paolflc contended that If it
were forced to pay In cold or It.
equivalent Its total bonded d-bl
would be Increased from 9 138.000 (M0
lo 9743.000,000.
In another cum P. Eugene Noitz, ol
w York, went to treasury denan.
nient representatives on Jan! 17. HW.
and demanded that the 9108 300 gold
ne neld be redeemed tn
gold coin which at thst time had a
slue of 933 13 sn ounce.
Oovernment scents shook their
heads and ottered Nortz 9108 300 m
di'llar-for-dollar currency. Under pro
tect he accepted but filed a claim n,
the United States court of claims tv
984 334 damages. Thst. ho said. w.ia
the difference between the msrk-t
value of the gold and the face
amount which he received.
Mpress Contract ( laluinl
Norte, sought to nrm that ...)- .....
tiftcAtfs iitvitntH n '"
tract on inf piirt rf the vnlted fltstes"
an argument dlsniited hv
counsel who asserted thst gold certl-
ncsiea were money and nothing more.
X)
X)
On Hotrw.rtoM Cowls Aolcv, Fir,
t lawful mterr rates sorl liSertl atv. convenient
rrTMvtnrrtt terms. (,HmV. courteous, confitientiil
servtcr. No irvloivti re,miml. .rrull wecUv of
mnnihlv pjymenrs, 'on can pay loan off m full at
any rune.
OREGON. WASHINGTON
MORTGAGE COMPANY
ee , I). Tlieni.u or L. J. Illlry
4 r. tentral. I.l.en.e No. 51-K.7
Th court of claims certified the
case directly to the supreme court as
It did the controversy involving John
M. Perry, also of New York, who went
to the legal mat with his (10.000 Lib
erty bond.
Perry's bond was payable on or
after April 15, 10.14, and on May 31
he presented It with a demand for
$16,931 In legnl tende- currency.
He was offered dollnr-for-dollar In
lefral tender currency, the kind the
grocery and drygoods store give in
change, perry wasn't satisfied and
told his troubles to the supreme
court.
Meteorological Report
February 18, 1035
rorecasls
Medford and vicinity: Unsettled
with rain tonight snd Tuesday. Mod
erate temperature.
Oregon: Unsettled with rain Tues
day and rain west portion tonight.
Snow over mountains. Moderate tem
perature. Temperature a year ago today:
Highest, 50: lowest, 40
Total monthly precipitation. 1.31
or an Inch; deflclenty for month.
0.14 of an Inch. Total precipitation
since September I, 1034. 11.84 Inches:
excess for the season, 0.16 of an Inch.
Relative humidity at 5 p. m. yes
terday, 34 per cent: S a. m. today, 85
per cent.
Sunrise tomorrow, 7:01 a. m.
Sunset tomorrow, 6:40 p. m.
Observation Taken ot 5 A. M.,
rioih Meridian Time
55 Efe 33"""
a o s i sg s
h jS B
S s 8
Bolso 36 32 .... Cloudy
Boston .. 34 23 .52 Clear
Chicago 30 30 T Cloudy
Denver 80 40 .... Clear
Kureka 02 46 .... Cloudy
Helena 50 40 T cloudy
I.os Angeles 78 58 .... Clear
MKUPOKD 83 37 .... Cloudy
New York 40 28 .08 Clear
Phoenix 88 44 .... clear
Portland 82 47 .... cloudy
Reno 62 33 .... Clear
rtoseburg 58 40 T cloudy
Salt Lske city .... 44 38 .... clesr
San Francisco .... 64 52 .... Clear
Seattle 50 44 .03 cloudy
Spokane 44 34 T Cloudy
Wnlla Walla 54
Washington. DO 48 3t .... Clear
Helping millions to
END COLDS
SOONER
"I
( CHAPPED!
T qulrklv r1tv ift
chapping and roughness,
spplv soothing.
cooling Menlholalum.
BANQUET MEETING
Members of Medford Active club
Installed the Active club Internation
al of Ashland Saturday evening with
an Installation banquet at the Llthla
hotel. Rolls needy acted as toast
master and Mayor Thornton S. Wiley
of Ashland made the address of wel
come. Among the main apeakers of the
evening waa Dr. B. O. Barkwell, presl
dent of the Ashland Chamber of
Commerce, who welcomed the new or
ganization and lta many young men
uivinoers on ocnaii of tne chamber.
Oeorge M. Slmona of Aberdeen,
wasn.. president or Active clnh In.
ternatlonal, presented the charter to
the Ashland club and spoke on the
growth and civic prominence of the
organization. Spekklng for the newly
organized club, he pledged the Ash
land membera to uphold the Ideals
of the Active International.
William McAllister of Medford.
truatee of Active International, pre
aented the following membera of the
Ashland club with their plna and
membership certificates.
Frank J. VanDyke, preatdent; Rolla
Reedy, vice-president; Wlllard Eber
hard, aecretary; Ctordon MacCracken,
treasurer: Elmer Blegel, sergeant-at-arma;
Dr. Wayne Wells, Earl Leever.
Donald Faber, Harold Teale, and
Hobert Dodge trustees; Stanley Arn
old, John Billings, Angus Bowmer.
Wilbur Bushnell,' Oeorge Hall, Leon
ard Hall, Howard Hobson, Bob Ingle,
Kenneth Madden and Dr. Harvey
Woods, charter members.
Wlllard Eberhard. aecretarv of th.
club, read telegrama from various Ac
tive ciud cnapters, congratulating the
Ashland organization upon receiving
lta charter and welcoming the mem
bera Into the International.
The following members of the We.
natchee. Wash., Active club were In
troduced: Gordon Pratt, president ot
the Wenatchee club and former Mod
ford Actlvlan; Virgil McBee, past
president of tho Wenatchee club, and
Ed Douglas, treasurer of Active In
ternal. After their Introduction
Charles Mann of Tacoma, editor of
the "Actlvlan", and historian of Ac
tive International, spoke on advance
menta being mado by the organiza
tion, statlnir that It has increased nr.
per cent during the last 13 months.
Professor Irvlmr R. Vlnlnrr mv,
address on "Capitalizing on Enthusl-
bmh.
Guests from the Medford AMlro
club were: Dr. L. L. Sanders. Chester
Hubbard, Wm. McAllister, Bruce
Bauer, Harold Larson. Glen Fabrlck.
Carl Johnson, Dr. B. C. Wilson, O. Z.
Dean, Kenneth O. Denman, Dr.
Dwlght Flndlcy, J. A. Moore. Jay
Oelse, Earl Sims. Lea Welsenberger,
Jack Butler, Leslie Van Dorcn. Ken
neth Anderson, Dr. Stanley Phillips,
Take a cigarette gk like CHESTERFIELD
tgr vvf . . am? tM t,
You know I like that cigarette
I like the way it tastes. . . there's
plenty of taste there.
Chesterfield is mild, not strong
. . . and that's another thing I
tie in a cigarette.
What's more, They Satisfy . . .
and that's what I like a cigarette
to do.
I get a lot of pleasure out of
Chesterfield . . . you know I like
that cigarette.
. a,
h'4l v J
milk 'JLr&
Richard Roidcrer (above), for
merly of Cleveland and Chicago, it
another United States citizen who
haa run afoul of Nazi officials in
Germany. He it expected to be ar
raigned In Berlin on a c hago of
treaeon because o' writings found
In his notebook at he was about to
enti" the eountry. (Associated
Press Photo)
Jack Walker, Wm. Heath, Al Seekatz.
John Niedermeyer.
After installation a dancing party
was held at Lithla hotel ball room,
enjoyed by Ashland and Medford Ac
tlvlans and their lady guests.
2 HORSES KILLED
Lyle Hurd, forest service employee
at the spike camp near Talent, struck
three horses loose on the Jacksonville
highway near Oak Grove at 5 o'clock
this morning, killing two of the
horses, almost completely demolishing
the front end of his car. and giving
Hurd severe cuts about the head.
Hurd was driving to Talent to re
port to work from his home on the
Applegate. when the accident occur
red. It was stated by Hurd that he
didn't see the horses until about 30
feet from them, when they ran out
of the driveway of the Pennington
home. The horses belong to Charles
Campbell, local men's clothier and
dairy msn. Campbell stated today
that the horses were supposed to Ik
In a pasture three-fourths of a nv.le
away, and could give no explanation
of their being at large.
WI(Mlninn norovers Dr. E. D. Wied
man. educational coordinator for the
Medford CCC district, was back ou
the Job Monday after an illness of
over a week. Dr. Wicdman was taken
to the hospital with pneumonia Just
after the educational conference
opened hero Feb. 8.
A fact of local interest concerning
the Maron disaster last week U that
La-A-ell Dew, former Medford high
school student and graduate of An
napolis. r.M in command of a life
boat from the U. B. 8. Richmond
which picked up 30 of the dirigible's
men shortly after the crash.
In a letter to his parents, Mr. and
Mrs. I. A. Dew of the Jacksonville
highway. Ensign Dew described the
rescue briefly, stating that the men
his boat picked up had been packed
In their tiny rubber lifeboats for an
hour and a half and were "very glad
to see' their rescuers. Mrs. Dew said
her son limited his description of
the rescue to only four lines In the
letter, but said the men were ex
tremely fortunate that tne sea was
not rough and that the Richmond
was on hand.
Ensign Dew Is in San Francisco,
where he will be until February 23
before returning to San Diego, where
his ship Is stationed during maneuv
ers In the Pacific.
4-H CLUB LEADERS
There will be a meeting for all 4-H
club leaders of Jackson county at the
county court house auditorium Tues
day evening. February 19, at 8 o'clock,
Mabel c. Mack, county home demon
stration agent, announced today. The
purpose of the meeting is to discuss
Leadership problems in subject mat
ter and organization and to discuss
the organization of a. county local
leaders' association.
H. C. Seymour, state club elader
of Corvallls, will be the principal
speaker. Mr. Seymour will discuss
county and state lenders' associa
tions. VIOLA TOLLEFSON
TAKEN BY DEATH
Viola D. Tollefson, passed away at
her residence 20 Washington street,
at 5 p. m. Sunday.
She w.ys born at Minneapolis, Minn
May 25, 1893 and was aged 35. Sne
hod been a resident of Medford lo:
the past eight years. Besides her hus
band, Alivcn Tollefson, she leaves
her mother. Maude Darling and two
sisters. Dorrls Owens and Faith Ha
han, all of Minnesota
Funeral services will be held at the
Conger chapel at 2 p. m.. Wednesday
with the Rev. R. Peterson officiating.
Interment will be in the Siskiyou
memorial park.
A. C. Hslr!gj5. a Grants Pass
ycuth. wlio sliecedly patwd s lorded
cnerk amounting to 1 38. upon t.ie
proprietor of a Central Point servlre
nation, was ordered held to await
action of the grand Jury by Justl-v
of the Peace W. R. Coleman Satur
day afternoon.
The accused youth failed to taiie
up the small check, the authorities
said, though given opportunity co
do so.
Thomas H. Emmons, charged wl,h
operating an auto without a muff
ler, was fined $5 ana costs. Emmons
denied he was traveling at s, high rate
of speed on the. Pacific highway near
Central Point, aa charged by the
state police.
Al Mueael, charged with exceeding
the speed limit In his auto, was
scheduled for a hearing late todjy
Muesel, the court records show, was
charged with the same offense several
weeks ago. and assessed a fine ani
costs.
-
fc-r
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MwW
A
MONDAY
LL'CREZIA
BORI
KOMtLAMT."
6 P.M. (p. i ;
An order granting the state bank
superintendent, in charge of liquida
tion of the Citizens' National bank of
Ashland, right to sell to the city of
Ashland 56.75 acres of land for a
proffered price of aiOOOO has been
signed by Circuit Judge H. D. Norton.
The land embodies the Llthla springs,
owned by the Pompadour Mineral
Springs company, and upon which an
encumbrance of $17,142 exists as a
Judgment. Ashland voters at a re
cent election approved of the pur
chase by the city.
Another order giving the state bank ,
superintendent the right to accept V
$180 from, the California-Oregon Box
company, as a six months' payment
of Interest on a note held by the
bank, was signed. The order makes
the Interest rate fl per cent. Instead
of 8 per cent, and provides for inter
est payment at that rate In the future.
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BEAUTY
SECRET
gladly!
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purifies, freshens dull skins.
Purifies body pores, roo. Stops
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say millions
IPVf Tr SATIRDAY
,i Y RICHARD
" ' - BO.NELLI
AM) C110RI S
I i. 'liiH .NETWORK
il A . Ui IgAAttAOv
ta