The Evening herald. (Klamath Falls, Or.) 1906-1942, May 27, 1938, Image 1

The Evening herald., May 27, 1938, Page 1, Image 1

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Newspaper Page Texti a ir- a nri irr WIRE SERVICE Tli Herald mid Now ulscrlb o full leaned wire ervlr of tin Associated I'rui nd llio United Press, th world'! greatest newigatlierlng organisations. For IT hours dully world news comes Into III Herald Now nfflca on lelolyp machine. VYCAintK Ihowera, clearing Saturday High 73; Low 49 PRECIPITATION 2-4 hour to a. m. ......,Trr Htmoii to data ................l.7a Ijut year to data ................ T.I4 IE ASSOCIATED PRESS IN THE SHASTA-CASCADE WONDERLAND UNITED PRESS Normal precipitation . 10.88 Price Five Cents KLAMATH FALLS, ORE., FRIDAY, MAY 27, 1938 Number 8254 Tl ft ' mm JtAIM IS fo)(5?5.5' F. mi Big Stock Editorials On the Day s N ews Ily FRANK JENKINS) -"ORDKI.L HULL, secrolary of tale, speaking In Washington BIkM before last, made thli state ment: "Too many natlom, by mak ing exritHlra fforts Inward . aelf-mfflclency, are steering trnliiht In tlie direction of nn economic, political and social Niagara," TVHAT he meant la thli: " , Too many nations are trying to lire wholly on tholr own re iources, without buying anything from other nations, (The world war got them started that way, for In (he world war having to gel raw matorlali from othor na tion! constituted a wesknn and In this dog-eat-dog world no na tion wanta to feel that It It weak.) The re u It I a hodge-podge of restrictive tariffs that In wrang ling world trade. OUPPOBB every family In Klam- ath county raised Hi own food, spun, wore and fashioned It own clothe from wool, flax er other libera, made It P out f fat leaving and homo-mad lye, lived In homes built of logs by Its own labor as a matter of fact, bought NOTHING from any body. In that event, ther wouldn't be much business In Klamath ounty, would ther? ryELL, that I exactly what " nearly all the nations of the old world ar trying to do. As a result, world commerce Is suf fering terribly. When everybody want td sell but nobody Is will ing to buy, ther Isn't much com mercefor If there Is to be trade there must be DOTH buying and soiling. SECRETARY HULL belloves that If the world Is again to be as prosperous as It was before th great war, the nations must gut over this silly notion of llv Ing wholly within themselves and buying nothing from their neigh bors. That Is the Idea hack of the trad treaties he la trying to ne gotiate. This writer believes Secretary Hull Is RIGHT. COMMUNIST PARTY UUUNI : SHOWS BIG MEMBERSHIP JUMP IN PAST TWO YEARS ' NEW YORK, May 27 (IP) A report of th communist party s organisation commission, read to day at the parly's tenth annual convention, said membership has Increased from 40,000 to 70,000 since 1931. Fifteen hundred delegates from i every state and from Hawaii and Alaska were In attendance. Brenklng down tho member . ship, the report snld 68.1 per cent aro membors of trnde unions, 63 'per cent aro omployod porsons, !and 73.8 per cent are "middle class" farmers, professionals, white collnr and soclnl workers or In unclassified occupations, other than honvy Industries. White people constitute 00.8 per cent of the momborshlp and 31.7 per cont are women. Th average age Is 85. The central committee of the party "portod the 1037 Income ,'Was $208,310 and expenditures $267,720, The greatest dis bursement wont for "Interna tional solidarity," Gorman com munists receiving the highest amount, $8105, and Irish com munists, $1200, I, ICK CRYSTALS m PORTLAND, May 27 m Tho weather bureau and Portland nownpnpora learned from a start led public, yesterday that tho sun -was surrounded by unusually bright hnlos. Wonther officials aid tho rings, caused by lco cry atals In the atmosphere, wore commonplace but ordinarily less potlcosblo. I fill CI II 10 STOP BUSINESS FOREVER ASKED Company Foisted Worth less Securities on Public, Charge, NEW YOKK.jMay 17 (AP) State Attorney General John J. Dennett, Jr., today asked In state supreme court thst sll pminor of the New York Block Exchange firm of Pnlnc, Web ber ft Co., a leading commission house with offices In 11 cltlos, be forever enjoined from engag ing In the securities business In New York Slate on the ground of alloged frauds against the public. 1 tlnnnett, In allegations sworn to by his assistant, John R. O' Hanlon, accused th defendant psrtners of Pain, Webber i Co., of employing fraudulent practices upon the slate and up on th public In connection with substitution of "unmarketable" securities of "little or no val ue" for diversified portfolios of a number of Investment trusts In which the public Invested ap proximately $10,000,000. . 910,000,000 Involved . .. Nineteen Individuals and four aorporatlons ar nsmad as de fendant In addition to th Paine, Webber group. During the past six months, according to O'Hanlon'a support ing affidavit, operation Involved "at least six Investment trusts representing an aggregate pub lic Investment of over 116.000, 000." These trusts, he snld, were: First Income Trading corpora tion, Continental Securities cor poration, Koynolds Investing company, Inc., Insuranshares corporation, of Delaware, Bond ft Share Trndlng corporation, and ilurco, Inc. CHICAGO FIREMAN'S WIFE ASSAULTED, BEATEN TO DEATH BY YOUNG. NEGRO CHICAGO, May 17 (AP) Mrs. Florence Johnson, 84, wife of a city flremnn, was raped and brutally benten to death early today by a negro who en- i or cd hor south side apartment through a window. Hor body was found on the bedroom floor with a paving brick nearby. Hor sister, Margaret Wltten, 28. who was sloeplng In nn ad joining room, snld sho saw the negro scurry through tho hall way and Jump out of a window, A few minutes Inter police suited a negro near the building. He Identified himself as Thomas Crosby, 18, nn automobile wash er. Sergt. Hnrold Fognrty snld Crosby's hand bore scrntchos and his clothing was bloodstained. Dr. F. K. James said Mrs. Johnson was crlmlnnlly assaulted and that death was caused by a skull frncture. CHARLES HOPE RESIGNS AS NLRB REGIONAL DIRECTOR SEATTLE, May 27 VP) Chnrles W. Hope, regional direc tor of tho nntlonnl labor relations board, announced hi resignation todny. "I have submitted my resigna tion as dlroctor of tho nineteenth region to tho national labor re lations bonrd nt Washington," he said In a formal statement. "The fnotors bohlnd this move are pri vate and at this time I do not chnnso to comment further." Ho has been on a vacation In rocont wooks. r MELTING SNOWDRIFTS SLOW M'KENZIE PLOWS BEND, May 27 (ID Stnto high way crews made slow progress to day In tho big cut east of the lava beds and wore doubtful of nponlng the McKonsle highway by Momorlal day, W. S. Hodgo, maintenance en gineer, estimated four tiny would he required to clear the snow. Hot weather had mnde the drifts soggy and difficult to remove. Exchange Firm Accused of Fraud 203 DO ' Staff Photo Two hundred and three Klamath Union high school senior graduated In Impressive exercises at the Pelican theatre Friday af ternoon. Tho picture above shows the seniors on the stage, wit h Rosmond Goddard delivering tbe salutatory. Anna Hanan gave th valedictory, h. C, Oherlte of Tacoma-gave the graduation address. :-. . ., , 1 MAYOR HAGUE REJECTS COURT APPEAL FOR COMPROMISE WITH CIO JERSEY CITY, N. J., May 27 (IP) Mayor Frank Hague today refused to accept a proposed fed oral court decree settling most points In the controversy between Jorscy City and the CIO and others, declaring he would not "onter Into any compromise with these re groups." The decree, drafted In the chambers of Federal Judge Wil liam pint-ir in Newark vesterday. had been tentatively accepted by opposing counsel, juago nam said If It was finally agreed to, he wnnlil man U nthftrttrlfin the Whole case. Including tho dispute over Jersey Clly s ordinance oanuing public speech-making without po lice poi'mlts, would go to trial next Wednesday. Under the decree, Jersoy City officials would bo restrained from Interfering with peaceful picket ing and othor organisational ac tivities of tho CIO, American civil nhni'tina union snfl affiliated or ganisations and Individuals In Now Jersey's second largest city. "I will not, under any circum stances, onter Into any compro .mlso with these red groups," Mayor Hague said In a statement. KOOTENAI FLOOD WATERS RIP OUT DRAINAGE DIKE, COYER IDAHO FARMLANDS Flood waters of the rampant Kootenai river ripped through a dralnnge district dike nenr Bon ners Ferry, Idnho, today and In undated 2000 acros of productive farm land. Destruction of grow ing crops was feared. The Idaho panhandle situation appeared the most serious in a flood picture embracing many parts of eastern Washington and southern British Columbia, Cooler weather during the night and morning, after a week of unseasonable 85-degreo and up weather, promised possible relief thrpurh n rhock on the melting of snow in upper elevations, A total of 30,000 acres In diked districts, virtually all of It In crops, was threatened In tho Bon nnrs Forry area, and 800 to 1000 WPA workors Inborcd fevorlshly to build tho bnrrlors above danger level. Tho dike break lowered the river level temporarily slx-tonths of a foot. . OCTOPUS ATTACKS NETARTS BAY, May 27 UP) Captain Jake Pitdorbaugh said yosterday his troller, Seal, had boon attacked and nearly scut tled two miles off Ocennslde by a 10-foot octopus. The captain said three other men and one woman were aboard whon th octopus stnrtod over tho side. It was killed with gaffs as It clung to the aldo rail. Klamath Falls Official Klamath County Vote Returns Nearly Triple Martin's Lead Over Hess Governor Charles H. Martin's lend in Klamath county was In creased to 62 In official returns tabulated Friday by the office of County Clerk .Mae K. Short and the canvassing board. Unofficial returns hod given the governor a lead of 21 over Henry Hoss In the democratic gubernatorial race, which Hess won In tbe state as a whole. No count was kept of write ins for Martin on the republican ballots in the official canvass, but canvassers estimated he received between 30 and 60 votes. No ef fort was made In this county to Induce republicans to write In Martin's name. No Changes In I,oad The official count showed no changes In lead from The Hcrnld- Nows unofficial count of election night, and only a few minor changes in totals. The official re turns show thst U. B. Reeaer car rled every precinct In the county In the republican county Judge race, whereas the unofficial re turns showed Lcland Casey win ning one precinct. Reeder's total was 2341 against 343 tor Casey, the biggest sweep of the election. In response to requests for a pre cinct tablo on this contest. It is printed elsewhere In today's paper. The largest write-In vote of the election Wns given to Chnrles H. Mack, assessor, by republicans. Mnck received 172 republican votes. Harry Bolvln received 122 write-ins for representative on the republican ticket, and Henry So mon recolved 69. Willis Mahoney received 31 republican write-ins for U. S. senate.- Democrats Support Drlscoll E. E. Drlscoll received 46 demo cratic write-in votes for district attorney, and Hardin Blackmer received 21. Roy Taber received 20 republican write-ins for coun ty Judge, and Guy Morrill received 24. E. E. Beunor received 29 re publican write-ins for county com missioner. William Contou re ceived 30 republican write-tus for surveyor nomination. Othor write ins totaled only a tow votes each. On the basis of approximate figures on the number of ballots cast, republicans voted 43.4 per cent of their registration, demo crats 45.9 per cent. Here are the official returns for the county vote on all offices, with write-ins Indicated by as terisks: DKMOCRAT Short Term Senate Robert A. Miller 2648 U. S. Senate Carl Dnnaugh 979 Willis Mahoney 3816 Congress Wads Crawford ..........2299 Walter Pierce 2220 U. S. Balontlne 6 Governor Henry Hess ........2349 Seniors Graduate 1: if' ' ' ' ' tL r ' ' Charles H. Martin 2411 O. Henry Oleen 196 Secretary of State Emily Edson -.3171 Earl Snell 22 School Snperlntendent John Leonhardt 1477 Rex Putnam ....2336 I,abor Commissioner C. F. Hyde . 2292 Paul Roth 1484 ) State Representative Harry Bolvln 3217 Henry Semon 2936 District Attorney Earl Bradfield .....1442 Don Hamlin 1719 W. Lamar Townsend ...... 1322 Hardin Blackmer 21 E. E. Driscoll 45 County Judge Walter P. Hannon 1529 (!uy Merrill J 1939 Roy Tnber ....1325 U. E. Reeder 10 Commissioner Jack Benner ..........................1456 W. H. Hawkins 1149 Henry Kctsdever , 836 J. B. Lomire 807 J. JI. Phipps 316 Assessor Charles Mack 3915 i Surveyor W. R. Canton 3427 Justice of Fence R. A; LaLonde 1668 Joe. Mahoney 1799 Constablo J. D. Bogley 1497 H. 3. Wilson 1495 MUNICIPAL Recreation JLcvy Yes ' 2897 (Continued on Page Eight) MEXICAN REBEL CHIEF REPORTED CAPTURED MEXICO CITY, May 27 (AP) Telephoned advices from San Luis Potosl state late today said General Saturnino Cedlllo, rebel chieftain, had been captured. The communication was brok en before details could be given. Followers of Cedlllo,- formerly virtually dictator of San Luis Potosl state, first clashed with federal forces a week ago today. Since then the 11,000 federal troops President Lataro Cardenas rushed Into the state have report ed scattered fighting. Lender of the last private army tn Mexico, Cedlllo rallied his forces In the Huasteca hills of northern San Luis Potosl. CARROLL ACQUITTED NEW YORK, May 27 UP) A jury of middle-aged married men tonight I acquitted 16 - year old Donald Carroll of the slaying of his 18-year old sweetheart, Char lotte Mntthlesen. The verdict was rendored at 6:36 p. m. (EST). UTAH SOLON TO DEMAND PROBE OF POLITICAL ACTIVITIES WITHIN WPA WASHINGTON. May 27 (AP) Senator King (D-Utah) dratted today for Introduction In tbe senate a resolution calling for a sweeping senatorial Investigation of alleged political activities with in the works progress administra tion. . King cited charges that threats had been made to deny relief to those who refuse to vote "for certain candidates for public of fice or certain public policies.' King's announcement followed a proposal by Senator Byrd (D- Va) to eliminate a $965,000,000 PWA Item In the pending relief and public works bill. Byrd described the PWA al lotment as "pump priming" and said It would constitute a heavy and unnecessary drain on the treasury. Experience has shown, he said, that "pump priming will not bring prosperity. Another amendment offered by Byrd would limit to five per cent all administrative costs un der the spending-lending pro gram. ... PROBE OF PROPAGANDA ACTIVITIES AWAITS ONLY NAMING OF COMMITTEE . WASHINGTON. May 27 (AP) A broad investigation of un American propaganda In the United States will begin as soon as Speaker Bankhead selects seven-member committee of house members for the task. The house shouted its approval of the Inquiry yesterday in adopt ing a resolution by Representa tive Dies (D-Tex), although crit icism and derision came from some representatives. The resolution did not specify tho groups to be investigated. Dies, however, spoke of "shock ing" information about the naxl movement in proposing the In vestigation, and others mentioned fascists and communists. Representative Maverick (D- Tex) opposed the Inquiry as an "entering wedge to religious per secution. Representative Knut- son (R-Minn) termed it a means of providing "certain congress men room and board for the summer." The committee will report to the house next January. SALEM PRISONER TRIES TO SET JAIL AFIRE SALEM, May 27 UP Sheriff A. C. Burk said yesterday Dan Colyer, 16, Woodburn, fastened match to a long stick and at tempted to fire the Marlon county Jail by Igniting papers stacked on a Bhelf outside his cell. Jnll attendants quickly extin guished the blnxe. The youth was held on a delinquency charge. President Unwilling Business Roosevelt Adopts fiddle Course, Damning With Faint Praise. WASHINGTON, May 27 (AP) Chairman Harrison (D-Miss) of the senate finance committee In dicated to the senate today that he would answer President Roose velt's criticism of the tax bill in a speech tomorrow. ARTHUR DALE HOMESTEADS, W. Va., May 27 UP) President Roosevelt .announced at the Ar thurdale Homesteads school com mencement exercises today that be would permit tbe five billion dollar tax bill to become law without his signature. "If I sign the bill." Mr. Roose velt said In his address to the Arthurdale homesteaders and to the nation over the radio, " and I have until midnight tonight to sign it many people will think I approve the abandon ment of an Important principle of American taxation. Saves "Desirable Feature" - "If I veto the Mll.lt will prevent many of tho desirable features of It from going into effect. "Therefore for the first time since I have been president, I am going to take the third course which is open to me. I am going to let the act go into effect at midnight tonight without my ap proval;" . The' president said he was per mitting the tax measure to become law In that way to call attention to "unwise parts" of the bill. Farther Revision xpected The president indicated strong ly that he expected the new con gress, meeting in January, to fur ther revise tax laws by deviating from his text to say: "I hope that when the new con gress meets next year it will un dertake a broader program of im proving the federal tax system." Mr. Roosevelt spoke from the rostrum of fhe school gymnasium surrounded by the 13 high school graduates 10 girls . and three boys and local and state digni taries. The gymnasium was crowded to overflowing and several hundred persons heard the address by loud speakers outside the building. Remnant The tax measure, which thus becomes law, contains a remnant of the undistributed profits tax, recommended by Mr. Roosevelt and condemned by business. It completely overhauls former capi tal gains taxes also attacked by business by substituting flat rates for a graduated scale. Noting that the legislation re tains the principle of the undis tributed profits tax, the president said: "The penalty for with holding dividends to stockholders is so small only two and a halt per cent at the most that it Is doubtful whether it will wholly eliminate the old tax avoidance practices of the past." Fear Hoarding As to the adoption of the flat rate capital gains tax, the presi dent asserted: "The abandon ment of the principle of progres sive tax payment In accordance with capacity to pay may encour age a small amount of capital to go into productive enterprises, but chiefly it will help those who make large profits in buying and selling existing stocks." "I should like to see a revision of our tax laws which would really encourage new enterprise and new investment and the undertaking by private capital of projects like this that the government has undertaken at Arthurdale." Mr. Roosevelt said, however, there was "no assurance" un taxed savings would go Into such new Investment. "They may be hoarded or lost tn the Inflation or deflation that occurs In the shuffling about of existing Investments," he com mented. Baseball NATIONAL LEAGUE R. H. E. Chicago 5 10 1 Pittsburgh 0 1 Lee and Hartnett; Kllnger, Swift (4), Sewell (9) and Todd. Equally to Veto Aid Plan PRESIDENT TALKS BABIES, COWS WITH RESIDENTS OF RESETTLEMENT PROJECT ARTHURDALE, W. Va., May 27 JP President Roosevelt, with an Important talk on the tax re vision bill less than two hour away, took time today to discus with homesteaders housing prob lems, babies and cow. The entourage of If official cars which followed tbe president on a three mile trip around Ar thurdale heard him discuss tech nical problems of dairying with Manager Percy Martin of th Homestead association milk plant. "You're keeping their horn on, I see, and having no trouble," the president said. As Martin brought his cow up to be praised by the chief execu tive, a visiting photographer said: "Please. Mr. President, would you draw the bull up over closer to tbe car so we can get it in th picture." The president laughed loudly and said: "You're mixed up. If you really want to know th breed of this animal It 1 a West Virginia moose." 100 Policemen Guard Big Tire Plant After Mid night Disorders. : AKRON, O., May 2f VP) Mor than 100 policemen, rifles and tear gas guns at hand, forged a ring of peace around the sprawl ing plants . of Goodyear Tire Rubber company today In th wake of night-long rioting and sniping in which at least 80 per sons were injured., The disorders, which reached their height at midnight when po lice wielded nightsticks and loosed tear and nauseating gases into a crowd of 3000 strike pick ets and sympathizers, tapered oft hour by hour until at dawn only a few score curious persons re mained at the scene. Youth Seriously Wounded Police reported several hundred workers of the 6 a. m. shift, which ordinarily includes about 2000 (Continued on Page Eight) Gilbert De Vaney, Bly, rescued by wife when motorboat sinks in deep water of Gerber reservoir. Page 4. Governor Martin' official mar gin In this county over Henry Hess Is 69; write-in votes shown; official table given. Page 1. Four-H clubbers hnre hava achievement day. Page 7. Showers In prospect. Page ! Two hundred three graduate in high school exercises In Pel ican theatre. Picture on Pag 1 High school year near dims with presentation of awards al general assembly Thursday, Pag 3. Maxln Sharlow of Pelican) City, Erl Fleming of Henley win first prizes In 4-H new contest. Page 12. IN THIS ISSUH City Briofs -.Pag I Comics and Story ..Pag 10 Courthouse Record ..Pag Editorials Pag i Family Doctor Pag 4 Markot, Financial New..Pag I Railroad New .. P Sports t Today's News Digest 1 V