The Indianapolis times. [volume], July 29, 1927, Home Edition, Image 1

About The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965

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SCRIPPS-HOWARD
U. S. BAN HITS
PRISONGOODS
SALE TACTICS
Commission Scores System
Used by Chicago Jobber
at Michigan City.
LAW EVASION IS SEEN
LNo Record of License or
Labeling of Products by
i Manufacturer/
The Federal Trade Commission
has ordered discontinued the prac
tice of a jobber selling shirts, shoes
and binder twine, manufactured in
the Indiana State Prison, as goods
manufactured by the jobber, accord
ing to a dispatch from Washington
today.
The commission severely condemns
the arrangement between the Com
monwealth Manufacturing Company
of Chicago and the Indiana State
Prison trustees, whereby the Com
monwealth concern disposes of from
18,000 to 20,000 pounds of binder
twine and 50,000 dozen shirts a year,
and from fifty to sixty pairs of shoes
a day, all made within the prison
walls, under advertising and mark
ings indicating the goods were made
by the Commonwealth firm.
Unfair Competition Bared
The commisison declares it found
that the Commonwealth firm, rather
than having a factory in Michigan
City, merely has an office force and
outstanding capital stock of only
$5,000.
The unfair competition which
this imposes on jobbers and sales
agents who do not resort to such
practices is stressed by the commis
sion.
Indiana law requires that all
prison-made goods be plainly
marked as such and that any per
son selling them must file SSOO bond
and take out a license from the
State to engage in such business.
There is no record that this has
been done by the Commonwealth or
any other firm in Indiana.
Hits at Methods
The trade commission’s report
does not specifically call attention
to this Indiana law, but the com
mission asserts that it found that
the Commonwealth concern was
using, in its advertising, such
phrases as “Commonwealth Manu
facturing Company, Manufactur
ers,” “Buy direct from the manu
facturer,” “$6.50 a dozen, F. O. B.
factory,” “Mills, Michigan City, In
diana.”
The Comomnwealth Manufactur
ing Company is owned by Harry
Dushoff, excepting two shares of
stock held by office employes for the
purpose of complying with in
corporation laws.
Dushoff began operations with the
prison about 1920, when E. J. Fo
garty was warden.
For years the State furnished the
material, machinery and labor of
convicts, boxed goods and shipped
then? to Dushoff’s customers. All
that Dushoff did was keep books and
collect.
Pocketed His Profits
When he collected, he paid the
State the manufacturing cost plus
some overhead, pocketing his profit.
Three years ago this was changed.
Dushoff began furnishing the ma
terials for the shirts and some
equipment. Prisoners still box the
goods. Dushoff now pays monthly
for the manufactured goods and
they are shipped at his instructions.
If the trade commission’s order is
complied with, the State must
market its surplus goods through
the regular State sales agency, es
tablished for this purpose, or a large
number of prisoners may be thrown
Into idleness.
Roberts Answers
Henry Roberts, State sales agent,
whose office is supposed to dispose
of the products of all State institu
tions, said that some of the prac
tices complained of by the Federal
Trade commission have been discon
tinued.
Roberts contends that his office
Is selling the entire binder twine
output of the prison to farmers o f
Indiana and the northwest, and that
all prison-made shoes at presept
are going to inmates of other State
Institutions.
He admitted that contracts where
by shirts are sold through private
agencies still are in existence.
ANTI-AMERICAN FREED
Horatio Bottomley’s Fraud Sentence
Shortened By Good Behavior.
United Press
LONDON, July 29.—IJoratio Bot
tomley; publisher distinguished for
anti-Americanism and a former
member of Parliament, was secretly
released from Maidstone Prison to
day and left for him home, “The
Dicker,” near Hailsham, Sussex.
Bottomley was sentenced to
prison May 29, 1922, on charges of
fraud. His sentence was seven years.
The charge was that he had
fraudulently converted to his own
use $25,000 of a sum subscribed to
the victory bond club of which he
was the founder and president. His
period of imprisonment was short
fiped by good behavior.
*lHer Office Supply M* 061&
Complete Wire Reports of UNITED PRESS, The Greatest World-Wide News Service
The Indianapolis Times
Mostly cloudy tonight and Saturday, probably showers; somewhat cooler tonight.
VOLUME 39—NUMBER 68
v
Dawes’ Life
Periled by
Train Crash
Engineer Killed and Three
Trainmen Injured in
• Trestle Wreck.
B GREENVILLE, Miss., July 29.
The engineer was killed and three
trainmen were injured near Head,
Miss., today, when the locomotive
drawing the special train of Vice
President Charles G. Dawes crashed
through a flood-weakened trestle.
The Vice President was not awak
ened by the accident, but cries c*
trainmen aroused him. With other
members of his party he rushed out
to help with rescue work.
Engineer Sam Jones was trapped
in the cab of the locomotive as it
sank into the water, completely sub
merged. The fireman and a second
engineer swam ashore safely. A
member of the train crew dived into
the locomotive to recover Jones’
body.
FLOCK INSISTS
AIMEEREMAIN
Resignation Refused, but
Associate to Preach.
Bit United Press . .
, LOS ANGELES. July 29. Her
resignation refused by followers of
the Four Square Gospel, Aimee
Semple McPherson announced today
that an associate pastor will be ap
pointed to take charge of Angelus
Temple while she conducts a world
wide evangelistic campaign.
“I suggested to my committee that
I resign, but this was immediately
and overwhelmingly vetoed,” Mrs.
McPherson said. “My congregation
insisted that I remain as pastor,
but be supplemented during my
world campaign by an associate
pastor.’^.
The evangelist stated that she had
received calls from more than fifty
of her branch churches complaining
that she had spent all her time on
the Pacifld Coast and urging that
she spend “three or four weeks in
each city, leaving workers behind to
carry on.”
“My first thought is to make An
gelus Temple the center of this
worldwide activity,” she said. “This
will necessitate having an associate
pastor so that I can feel free in
spending a portion of my time in
the field.” *
She made no announcement re
garding the outcome of the dispute
with her mother, Mrs. Minnie Ken
nedy.
RULES ON DRUGLESS
Gilliom Says All Schools Un
der Board’s Control.
, /
Indiana’s board of medical regis
tration and examination has the
power to rule for or against drugless
healing schools, just as it has Ju
risdiction over schools of medicine,
Attorney General Arthur L. Gilliom
ruled today.
The ruling was requested by Dr.
E. M. Shanklin, president, following
discovery of a drug less healing diplo
ma mill here.
The attorney general also ruled
that a dentist registered in one
county cannot maintain an office in
another at the s4me time.
BANKS AflE PROSPERING
Healthy Condition Reported by As
sistant Examiner Barr.
Despite occasional dlosures, In
diana banks are generally in a
healthy condition, Assistant Bank
Examiner Thomas D. Barr declared
upon his return from the conven
tion of the National Association of
Supervisors of State Banks at Rich
mond, Vt.
A report submitted at the con
vention showed that 844 State bank
ing institutions in Indiana had
$48,263,031 capital -at the close of
the year. Total surplus was $25,-
022, 749. Resources of the entire
130,544 and undivided profits, $14,-
022,749. Resources of the entire
group amounted to $740,928,347.
Tax Refund Claim Application
Tax Refund Claim Department, %
Indianapolis Times. *
Will you kindly prepare my Horizontal Tax Increase REFUND
claim from the following information?
Lot Number ..................... Addition
Township ...j
Name of individual or company appearing on 1919 tax receipt
*••• ••••••••• •••♦•••••••*••** ••••••••SSStSSSSSMm
Name of individual or company appearing on 1920 tax receipt ......
Name of Individual or company appearing on 1921 tax receipt ....
When my claim is ready you can cal! me at this telephone.
I am a subscriber of The Indianapolis Times.
Name of Claimant >JIM m> *ik Ml •* t•• •-
ymmmnmmmanuM
STEVE CHECKS
TURNED OVER
BY CITYBANK
Grand Jury Is Given Papers;
Contributions to G. 0. P.
Campaign Shown.
RECALL MISS MEADE
Prosecutors Quiz Strader,
Former Secretary of
Ex-Klan Dragon.
The unclaimed cancelled checks of
D. C. Stephenson, including several
contributions to the Republican
campaign fund of 1924, located by
The Times, today were subponaed
from the Indiana National Bank by
the Marion County grand jury.
Deputy Prosecutor William H.
Sheaffer went to the bank for the
checks.
Miss Mildred Meade, former con
fidante of Stephenson, was before
the jury this morning. She was
brought in by a bailiff, who had
found her at her place of employ
ment. She said she did not know
the jury wanted to see her.
Special Prosecutor Emsley W.
Johnson and Deputy Shaeffer re
turned from Mt. Washington, Pa.,
home of Foster Stirader, D. C. Ste
phenson’s former secretary.
The prosecutors heard Strader’s
story, first told last October to a
Times reporter, who located Strader
when he was wahted by the grand
jury then in session, and sought
throughout the country.
Strader was traced to the small
town near Pittsburgh by a long dis
tance telephone clew from Chicago
to Pittsburgh.
Believe Story Corroborated
When located, Strader refused to
appear Jtefore the Indiana grand
jury, but told his version of Ste
phensonism to The Times corre
spondent. This story is believed to
have been corroborated by the
prosecutors.
State Representative Russell V.
Duncan, questioned! Wednesday and
Thursday, was to be before the|
jurors again today.
Two Anderson, Ind., persons,
prominently mentioned during the
early stages of the investigation,
also may testify today.
The straw suitcase full of Ste
phepson papers was brought to the
grand jury room again today by De->
tective Jesse McMuririe.
The jury continued its session this
afternoon and it was indicated that
a session will be held Saturday. The
jury usually adjourns from Friday
to Monday.
Decide Later on Adjourning
No decision has been reached re
garding adjournment through Au
gust. Judge Collins, in structing the
jurors Thursday, left adjournment
to their discretion.
“A decision wil be reached today,”
Special Prosecutor John W. Holtz
man said. “A week’s recess may
be taken to permit prosecutors >
arrange the data in more convenient
form,” he added.
MRS. PULITZER IS DEAD
Famous Publisher’s Widow Suc
cumbs at Deauville, France.
Bu United Press
NEW YORK, July 29.—Mrs. Jo
seph Pulitzer, widow of the founder
of the St. Louis Post-Dispatch and
the New York World, died at Deau
ville, France, today, cables received
by the World said.
A son, Herbert Pulitzer, and his
wife were at her bedside when the
end came.
JACKSON HOME MONDAY
Governor May Break Silence on
Bribe Story.
Governor Jackson is expected to
return to the Statehouse Monday
from Mackinac Island, Mich., and
speculation is rife as to whether or
not he will break his long precedent
of silence and answer The Times’
story regarding the SIO,OOO bribe
and prosecution immunity which he
offered Governor McCray.
Jackson has said he may issue a
statement when he returns.
INDIANAPOLIS, FRIDAY, JULY 29, 1927
First Picture of Vessel Disaster
, WUL <PW win gjfi \| Jf
fCopyright. 1937. NTSA, Inc.)
Rescue crews toiled Thursday night and today, seeking the bodies of victims of the Lake Michigan disaster
yesterday, when more than a score died in the capsizing of the pleasure boat Favorite. Pitcure above
shows Lincoln Park life guards grappling for bodies, with Johnny Weismuller, famous swimmer, in the
foreground.
TIMES GIVES FREE
TAX REFUND HELP
The Times today offers free assistance to any of its sub
scribers who have claims against Marion County as result of
the Supreme Court ruling that refunds are due taxpayers for
1919, 1920 and 1921.
Many persons, especially the citizens who pay on small
amounts will otherwise be put to expense to recover w hat is
due them.
The Times docs not believe that any taxpayer should be
put to the expense of hiring expert investigators and assistance
in recovering from the government what it now is admitted was
taken from him without warrant of law.
Because there apparently is no official way of giving this
assistance, The Times proposes to give this service to all its sub
scribers.
This offer is prompted by the fact that taxpayers are be
ing offered such aid on a basis of a percentage of the amounts
recovered or a flat fee which would amount, in many cases, to
as much as the refund.
The Times believes that all money which was overpaid
should go back to those who paid it and has arranged a capable
bureau to take care of the applications of such of its sub
scribers as may desire to take advantage of this offer.
There is printed today a blank covering the necessary facts
from which the claims can be searched from the records.
Send or bring this to The Times and you will he notified
when the proper applications are ready for your signature and
the necessary notary seal.
County Auditor Harry Dunn, when told of the plans of The
Times today, said: “I certainly welcome this assistance. It
will help us. It also will save those who take advantage of it
not only the cost of hiring others to make the search, but the
neeessarily long delays and waits which one unaccustomed to
looking into these matters would encounter, if he attempted to
go through tre records for himself.
“I know the man whom you propose to place in charge of
your bureau and know that he is qualified fully for this work.
The Times is happy to give this service to the members of
its big family.
il you have a refund coming to you, fill out the blank print
ed today and send it to The Times.
The only limitation on the offer is that it is tendered to
Times subscribers.
The Times is printed in their interest and this is just an
other public service which it offers.
This bureau will be maintained during the month of
August. If yon wish to avail yourself of its aid, send in your
blank at once.
COOL FOR TWO DAYS
Downpour Brings Mercury
Drop for Week-End.
Lower temperatures are predicted
for Indianapolis this week-end.
The downpour Thursday night
brought a mercury drop which
Meteorologist J. H. Armington ex
pected to continue for two days.
Anew heat record for the season
was set Thursday when the mercury
soared to 95.2 at 3:15 p. m. Temp
erature was not expected to go above
85 today.
,High winds which accompanied
the rain, blew down several trees
m *********
Is isattereg 1 > juu
PASSPORTS ARRANGED
Bud and Lena Ready to Start Eu
rope Trip Sunday.
By United Press
NEW YORK, July 29 —With pass
ports arranged, Bud and Lena Stll
man today settled down for three
days of comparative quiet pending
their departure for Europe on the
Olympic at midnight Sunday.
The honeymoonem are at the ho
tel rooms of a friend, but may go
today to the apartment of the
bridegroom’s father, James A. Still
man.
Hourly Temperatures
6 a. m. 71 10 a. m 78
7 a. m ut ... 71 11 a. m 80
9a. m™, l3 (noon), 82
8 % 111 mtawrt 8Q
Entered as Second-Class Mstter
at ' Postoffice, Indlanapoll*
EXPECT FORD’S
NEWCAR SOON
Tentative Delivery Date Is
Given as Aug. 15.
Bu United Press
DETROIT, July 29.-Detroit deal
ers for Ford automobiles today were
informing prospective purchasers of
the new Ford car that deliveries
could be expected Aug. 15. Mean
while, officials of the Ford Motor
Company denied at the Dearborn
experimental laboratories that they
knew when the new car would be
offered.
Dealers here, however, were ac
cepting deposits on the new car un
der a tacit agreement that if the
car is unsatisfactory or delivery is
too late the deposit will be re
funded.
The price will be about the same
as for the present model, it was
said, “or at least not more than SSO
higher.”
The new car will be “lighter and
roomier," the dealers told prospec
tive purchasers. 1
Ford will celebrate his 64th birth
day tomorrow, and it was consid
ered possible that he may announce
the car at that time. On his birth
day last year he exhibited for the
first time his fabric flivver mono
plane.
FAMOUS SALOONS BURN
Tiajuana Blase Causes Losses Esti
mated at $300,000.
Bu United Press
TIAJUANA, Baja, Cal., July 29.
Six bars, including the Red Mill,
known to thousands of tourists, were
destroyed by an early morning fire
today.
The blaze, which razed half a
block of buildings, is believed to
have started from a cigaret tossed
into rubbish in the rear of the Red
Mill.
The damage was estimated at
$300,000.
LIQUOR IN DRY’S AUTO
Son of Anti-Saloon League Head
Admis “Soiling” Lips.
By Times Special
RICHMOND, Va., July 29.—After
admitting he took “one drink of
two swallows” last Saturday night,
Carroll V. Hepburn, 23-year-old son
of the Virginia Anti-Saloon League
superintendent, today was held in
SSOO bond for the grand jury on a
charge of driving an Anti-Saloon
League automobile while drunk.
Charges of transporting liquor
also were made. Policemen testified
to finding two quarts in the car.
Dr. David Hepburn, the Anti-Sa
loon League chef, stood beside his
son during the arraignment.
ATTACK VICTIM DIES
Dr, James C. Walton Beaten on
iHead, Succumbs.
r. James Carlisle Walton, of
5234 E. Walnut St., died today at
his home as result of being slugged
last Monday afternoon, Coroner
Charles H. Keever announced today.
Dr. Walton was found in his car
near E. Tenth St. and Arlington
He had shgpd4 the head
SS4 . .. /.
27 BODIES RECOVERED FROM
LAKE AFTER CAPSIZING OF
CHICAGO EXCURSION VESSEL
Survivors Tell Story of Terror oh Frail
Craft as It Plunged Beneath Waves
During Terrific Gale.
FOUR INVESTIGATIONS LAUNCHED
Seek to Establish Blame for Disaster; Ma
jority of Dead Are Small Children;’
75 on Board at Time of Sinking.
By Edwin L. Heckler
United Pres* Staff Correspondent
CHICAGO, July 29 Four separate investigations began
today into the sinking of the excursion steamer Favorite, which
cost the lives of twenty-seven persons, twenty-five of them
women and children.
Fred J. Meno, supterintendent of Federal steamship in
spection service, was ordered from Detroit to Chicago by Dick
erson Hoover, chief steamship inspector in Washington, to con
duct the Federal investigation. He arrived today.
Meno said he would aid local steamship inspectors in ex
amining facts connected with the accident.
Sheldon Clark, former commodore of the Chicago Yacht
Club, was to he called as foreman of the coroner’s jury official
ly probing the wreck. Coroner Oscar Wolff announced every
member of the jury would be a licensed skipper.
Other investigations were
started by State’s Attorney
Robert E. Crowe and Michael
Hughes, police chief. Crowe ap
pointed two assistants to at
tend all hearings and take steps >
to prosecute any person found j
guilty of' negligence.
Twenty-seven bodies from the ex
cursion tug had been recovered to
day.
Fifteen of the dead were small
children, ten were women and two
men were drowned. Divers searched
the bottom of Lake Michigan, near
the place where the vessel went
down, for additional bodies.
The little boat on which some
seventy-five persons embarked yes
terday afternoon had been raised
early today by derrick crews who
worked throughout the night to
bring it to the surface.
The small steamer capsized In a
squall midway on its “run” of half
a dozen miles between the Chicago
municipal pier and Lincoln Pork..
The crowd aboard was composed
almost entirely of children and their
mothers, who had paid a quarter for
the ride in the cooling lake breeze
—a brief respite from the intense
heat which gripped the city.
Gale Hits Vessel
The puffing little boat skirted the
shore line less than a mile from
the beach, going smoothly. A sud
den cloudburst driven by a hard
wind hit the vessel. All the crowd
on deck rushed to the side oppo
site the direction of the wind, to
escape the rain.
The boat dipped suddenly on that
side, shipped water, righted again
and started to sink.
Two Negro musicians strumming
banjos and singing about “four-leaf
clovers" continued their tune a mo
ment after the ship first toppled.
Then they stopped. The laughing
and shouting of the children was
quiet for a second.
Then those on board sensed the
tragedy. Those nearest the railing
tried to get back, but were thrown
overboard. Mothers screamed and
clung to their children. Some of
the youngsters had become sepa
rated from their parents. The lat
ter refused to leave the vessel un
til they found the little ones.
The smallest of the children were
thrown Into the water. The older
ones and the few adults aboard
jumped on or entered the few life
boats available.
Boat Reaches Bottom
' It was only a minute or two from
the time of the first intimation of
the accident until the boat settled
on the bottom, quieting the screams
of those in the cabin who had been
unable to reach the deck.
When-the boat settled on the bot
tom, the water was “alive” with hu
manity. Capt. Arthur Olson had
rushed along the rail, cut the life
boats loose and thrown life pre
servers into the lake.
The women and children made
for these. Most of those who were
fortunate enough to find something
to cling to or could swim at all'were
rescued. Some of the smaller tots
were driven under by the rain
The boat was in relatively shallow
water and the super-structure pro
truded above the surface.
Literally thousands of persons
were on the beach opposite the
sinking boat and their cries brought
police and fire boats to the scene at
quickly as humanly possible.
William Hofnauer, millionaire
yachtsman, cruising near the scene,
was the outstanding hero of the res
cue. His big boat was the first to
reach the Favorite. He and his
crew pulled struggling women and
children from the water.
Hofnauer's yacht soon was joined
by other vessels in the vicinity,
HOME
Outride Marion
County 8 Cents
TWO CENTS
The Death List
CHICAGO]* July 29.—Dead
in sinking of the excursion
steamer Favorite are:
Charles Abernathy Jr.. 3;
Robert Abernathy, 4; Mrs.
Amanda Berndt; Mrs. Pearl
Carpenter; Robert Erickson, 6;
Mrs. May Fenlon, 46; Vincent
Fenlon, 10; Mrs. Fanny Hen
dricks, 40; Mary Jeanette
Hendricks, 6; Mrs. Fanny
Holmes; Harry Koutnec. 7;
Mrs. Olga Koutnec, 33; George
Murray, 6; Margaret Murray,
8; Anthony Parenti, 8 months;
Mrs. Mabel Parcntl, 23; Mrs.
Cecilia Polen, 38; Bessie’ Poz
ner, 9; Nathan Pozner, 40; Mrs.
Sarah Resnick, 24; Bernard
Resnick, 5; Albert Resnick, 3;
Eileen Schlauder, 5; Mrs. Clara
Young, 34; Lois Young, 5;
Mike Citra, 7; Rose Polen, 14.
tom and trapped in the vessel. They
found most of the victims in or near
the vessel. Some were trapned in
the cabin, others on the stairway
leading to the deck.
A few were caught on the side of
the Favorite and pulled under, while
others refused to leave the sinking
ship and were sucked under when
it went down.
Storm Beats Down
The electrical storm which raged
during the time of the accident was
of cloudburst proportions. Water in
great gusts beat on the lake surface
and hampered the work of rescue.
The storm was of short duration
and was confined to a small section
of the city, but it probably was most
severe at the scene of the tragedy.
Sinking of the Favorite recalled
the ill-fated steamer Eastland*
which tipped over in the Chicago
River twelve years ago last Sunday,
carrying hundreds of excursionist*
to their death. The accident yester
day was the first major marine acci
dent near Chicago since the East
land sank.
Oddly enough, sinking of thi
Eastland was due to the same pri
mary cause as the more recent
tragedy—rushing of passengers to
one side of the vessel, overbalanc
ing it.
Several Score on Board
Immediately after rescue work
was completed, machinery for fix
ing responslbilty for the accident
was put in motion. The boat was
sixty-five feet long over ail and was
purchased by Captain Olson three
years ago for $1,500, he saia.
There were sixty paid passenger*
and an unknown number of chil
dren under 12 who did not pay far*
Investigations were to be con
ducted by both the county coroner
and Capt. John F. Hansen, head of
the Chicago Board of Steamship In
spectors.
Olson, his engineer and three deck
hands were arrested and questioned.
They said safety of the boat had
been approved by Federal Inspectors
and it had not been loaded beyond
capacity.
Charles T. Abernathy, one of the
few men on the ship, claimed four
of five life-preservers he attempted
to fasten to members of his family
had straps which broke when he
pulled on them slightly. Abernathy’s
two children were drowned.
There were more than sufficient
life prservers for all on board. If
they had been used.
Scenes on shore as the rescue
boats landed were the most traglA
L. B. Hendricks of Storting, 111,
had corns to Chicago with his wife
and two children for a short vaca
tion. He remained on ths beach
watching the Favorite while hto wife
and the girls made the trip. He saw
the boat sink.
The first rescue craft brought the
bodies of Mm. Hendricks and qm
of ths daughters, Mtef