Newspaper Page Text
'JULY 10, 1930 STATE G. O. P. IS HARASSED BY RISING TIDE OF SCANDAL LESLIE IS HELD AT FAULT FOR t FAILURE TO ACT Governor Is Rapped for Farreil Appointment, Called Illegal. JAM OVER GAS TAXES Grand Jury May Look Into Oil Remittances and - Insurance Deductions. BY BEN STERN While Governor Harry G. Leslie Is gamboling on the sands at Dunes state park, continuing the rarely interrupted vacation which began Jan. 15. 1929, his entire ad ministration is becoming involved In a series of investigations which eventually may result in probes by the Marion county grand jury. Republican leaders, looking fran tically about for leadership out of j the maze of scandal, declare it is I a direct result of the lack of cxecu tive guidance. Leslies attention has been di rected rejieatedly to various de partments which have been de clared in need of changes in execu tive personnel. “I will make changes when the grass gets green,” Leslie said last winter. Appointment Criticized • The grass is getting sere and yel- | low again and no changes have j been nude,” u friend of the execu tive’s said. I In the face of strong criticism of those close to the administration. \ Leslie has reappointed Representa- j tive Sam Farrell. Hartford City, to, the budget committee. | This appointment is made with: the Governor knowing well that j Farrell’s status is illegal. The statute j creating the budget committee de- | dares that no person engaged directly or indirectly in sales to the | state may be a member. Yet despite the warning. Leslie j appointed the man who helped make possible his expenditure of more than $17,000 for the refurnishing of j the executive mansion. Farrell attracted much attention i recently when he protested: ’ Why j don’t you w r rite something about the big graft that goes on around here?” i in answer to criticism of his action j In selling trucks to the state . , Scandals Are Bared The last seven days have brought i ,o light discrepancies in oil remit- | tances which may rrsult in a grand j j 'ry investigation; alleged illegal tax deductions by the state insurance, department, and more information j on the gasoline tax evasions which j directly or indirectly caused the res- j ignation of the ponderous Bruce j Cooper, former Posey county state | senator, as gas tax auditor. The gas tax evasions investigation j brought into the picture Clarence Fate, investigator for the securities j division of the secretary of state's deDartment. whose son, Joseph Fate, with Malcolm Clark, took over con- j trol of the stations owned by the Dunes Oil Company, one of the al- I leged evaders. Attorney-General James M. Ogden j must decide upon a method of j criminal prosecution of the era- j ployes who allegedly are responsible j for the defrauding the state of j hundreds of thousands of dollars in J gasoline tax money. Politicians Are Hit Defendants probably will be active political workers and other former ; state employes who. investigation j may show, were to receive thousands of dollars in cash and property for . arranging compromises. Cooper, it has been learned, was j assigned during the winter to in- . vestigate the complaints of evasions! and made a report showing nothing wrong. About six months ago, rumors were heard of discrepancies in re- | mittances cf the oil inspectors and it was learned that the board of accounts turned its report over to | Governor Leslie. Since that time the Governor, it is said, has been negotiating with bonding companies to regain some j cf the money due the state. A total of $25,000 in fees is said ; to have been withheld by inspec- j tors. Insurance Probe On According to I. N. Miller, state food and drug commissioner, who heads the inspectors, one employe.' Arthur Reat. Greencastle, has re signed. The board of accounts also is at tempting to collect thousands of dolllars of loss deductions from j several fire insurance companies, • alleged to have been allowed ille- ] gaily, while the books of scores of casualty companies are being ex amined to recover taxes on fire in surance, which it is charged, they have evaded paying. The Indiana law provides for a 3 per cent tax on Are insurance pre miurns and permits deductions of losses in all cases except where companies are operating out of states where such deductions are not allowed. Clarence Wysong, state insurance commissioner, and Jackson ap pointee, who for a long time has j been scheduled for displacement, has j not made a statement. It was re- j ported, however, he is aiding Orr in ; the collections. These illegal de ductions have continued for four years, the length of the commis sioner’s term. “A Good Place to Bank ’ Marion County State Bank 139 East Market Street VONNEGUT'S Headquarter* far cood (rasa aad (srdfa aeeda. Only Ihr brat tape rflrats bo cheap aobatJtrtlaa VONNEGUT'S IM-U4 R. fVaahlßKtOß Street America Helps Revolutionize Russia Anew and thoroughly industrialized Russia, as these pictures show, Is growing out of the chaos left by the World war and the revolution. Lower center is the new chairman of the board of the Amtory Trading Corporation, Peter A. Bog danov, whose job in this country is to introduce American .nen, methods and machines in the Soviet building program. PREPARE FOR PICNIC Rivalry Between Police and Firemen Flares. Rivalry between the police and fire department has developed with preliminary plans for the police and firemen’s field day and picnic. Aug. 5 and 6 at Broad Ripple park. Wide interest is being show in plans for the tug-of-war, which contemplates dragging of the losing side through the pool at the park. Winner will be determined by the side that wins twice out of three attempts. Hod Eller, former big league twirl er. is recruiting a police ball team, with the view of trimming the fire eating nine. Rescue and life-sav ing demonstrations, pistol meet and other contests will be staged by the committee composed of Detective Arthur Lyke and Captain Louis Johnson, police force, and Captain Farenback and Captain Bernard Lynch of the fire department. REPAYS 20-YEAR LOAN Mail Clerk Who Borrowed 35 Cents Finally Eases Conscience. r.u Unite* Press CHICAGO. July 19.—The 35 cents which worried Charles W. Long, railway mail clerk, for twenty years will not worry him any more. Long was stranded with another clerk. Robert A. Baker, between trains fit: a small Arizona town twenty years ago. He borrowed 35 cents from Baker and never has seen him since. During the years that followed, Long often recalled the loan. Each time he recalled it. he determined to repay it. Each time he forgot. The other day, however, he carried out his determination, and sent Baker sl, explaining the 65 cents was interest. Today he had re ceived word that the money was received. French Wheat Supply Ample Pul ititefi Press PARIS, July 19. —Sufficient wheat now is stored in France to last the country until the next harvest with out the necessity of special legisla tion, it was announced after a con ference here Friday night between Fernand David, minister of agri culture. and a delegation from the peasant defense group. Fletcher Ave. so.vin£s & Loan Assn. s.SS’co 10 E. Market 6% 39 Tears. ' ilk CORRECTION! Through error these dresses were quoted yesterday at $5.00. The ad vertisement should have been as follows: SALE OF DRESSES Here is an op- . port unity for G* IP®" Q| C every woman |N I to outfit her- ' self with sev- mm^mm eral dresses at 3?* a remarkably ® low price. Many styles to select from in a range of sizes. 4 Dollar a Week Will Do! Buy on Easy Credit! IfIMGfS! EAYASHIN6TOnIt Open Until 9 o'Clock Saturday Night Lower left is a typical group of workers’ homes and lower right an electric railway station in the Surachan district, with oil fields in the distance. Upper right is the massive refrigerating plant of a modern, American-planned factory, and pictured at the right is a view of one section of the Kolemen sky locomotive plant. $60,000,000 PIPE LINE TO RUN THROUGH CITY Indianapolis on Rilght-of-Way From Tulsa, Okla. A $60,000,000 pipe line and re finery program of the Gulf Pipe Line Company will include Indian apolis, officials of the company said today. They now are obtaining right of-way for the pipe line, from Tulsa, Okla., to Pittsburgh and Cincinnati, via this city.' Refineries will be located in Toledo and Cincinnati, via this city. Refineries will be lo cated in Toledo and Cincinnati. The pipe, an eight-inch line from Tulsa to Indianapolis and Toledo, and six inches to Cincinnati and Pittsburgh, will be laid two feet underground. AIRPORT BUILDING IS PLEDGED BY OCT. 1 Contractors Agree to Double Work ing Forces to Speed Completion. C. T. Caldwell, contractor on the administration building at city air port. today promised the works board to complete the structure by I Oct. 1. E. Kirk McKinney, board presi dent, called in McGuire & Shook, architects, Caldwell and representa tives of the bonding company, in an effort to speed up the project, so the airport will be available this fall. The building originally was scheduled for completion Aug. 1, but several delays were encountered by Caldwell. The contractor agreed to double the working force to rush the com pletion date. HOOVER ASKS ECONOMY Order Issued to Officials in View of Possible Revenue Decrease. Bu United Press WASHINGTON. July 19.—’The or der to reduce every possible govern ment expenditure this year has gone down the line from Prsident Hoover j to cabinet members and officials of [ the various government depart ments. The President is aroused at the prospect that government revenues may decrease this year while con gress has authorized expenditure of $209,000,000 more than was made available for actual expenses last year. THE INDIANAPOLIS TIMES LIST REALTY DEALS Sale of Oil Firm Lease Is Reported by Yelch. Real estate deals of the past two weeks, were announced today by four local realty firms. Robert Allison of the Allison Realty Company, 607 Peoples Bank building, reported seven deals, total ing $40,000. The F. C. Tucker Company, through H. L. Yelch, sales manager, announced the sale of the lease, equipment and stock of the Civic Oil Company, 1009 East New York street, to Gaseteria, Inc., whose home office is at 1801 Madison ave nue. W. H. Keller, of Schmid & Smith, 130 North Delaware street, an nounced the sale of four pieces of property. Henry M. Stackhouse of the Com mercial Credit Realty Company, 223 East Ohio street, announced the sale of a five-room modern bunga low at 2035 South Pennsylvania street, to Otto L. and Florence Kritsch. KIP TO PAY $250,000 Rhinelander's Ex-Wife Waives Her Dower Rights Claims. Bu United Press NEW YORK. July 19.—Alice Jones Rhinelander, former wife of Leonard Kip Rhinelander, will re ceive $250,000 for waiving her dower rights and all claims against the Rhinelander family, according to Samuel F. Swinburne, lier attorney here. Swinburne insisted the $31,500 mentioned in dispatches from Las Vegas, Nev., telling of the settle ment was only a part payment. Business Places Bum Bu United Press VALPARAISO, Ind., July 19. The Williams paint and glass store and the Schlossers cream station were destroyed by fire Friday night. Although officials of the two busi nesses were away from the city and could not determine exact amount of loss, it was thought to amount to several Thousand dollars. Spon taneous combustion is said to have started the fire. 0 FLETCHER AMERICAN COMPANY Affiliated with The FLETCHER AMERICAN NATIONAL BANK SUCCESSOR FOR COOPER UP TO STATEJUJDITOR Bobbitt Ponders Task of Naming' Field Man in Gas Tax Division. State Auditor Archie Bobbitt re turned today from a campaign trip and at once tool: up the matter of appointing a successor to Bruce Cooper as field auditor in the gaso line tax collection division of his office. The new appointee will be a man now employed oy the state and from the third district in southern Indiana, it was learned. Bobbitt comes from English, which is in that district. Cooper came from Stewartsville and at the time of taking over the field auditorship, was a state sena tor, First district Republican chair man and candidate for congress in the primary. New he is none of these. He resigned, under a cloud, after new disclosures in the bootleg gasoline expose in northern Indiana. Big Bribe Reported This new evidence, including, it is said, the charge that a certain state employe received $50,000 for fixing settlements, is to be given At torney-General James M. Ogden next Tuesday. Poole Harrison, J. T. Conner and George Bowen, all of Chicago and alleged “brains” of a million dollar bootleg gasoline business are ex pected to appear at the attorney general’s office at that time and make the charges. Ogden has promised that prosecu tion will follow, if these disclosures are as indicated. Bobbitt, hi explaining for the first time his appointment of Cooper to a position of trust, said that it was "because he was First district chair man ” He admitted that Cooper had the indorsement of Elza O. Rogers, G. 0. P. state chairman and the Repub lican state committee. Cooper had been Rogers’ mouthpiece in the senate, although he was known among his senate colleagues as "the weakest man on the floor.” Clarence Fate of the secretary of state's office is another whose con nection with the gasoline tax set tlements will be discussd with Ogden. Took Over Stations Fate took over several northern Indiana bootleg gasoline stations, after settlement was made in Bob bitt’s office. He is listed as "investigator for the securities commission” under Secretary of State Otto G. Fifield. Records disclose that he gets $125 a month for this service. But he is on another Fifield pay roll for another $125 a month. There he is listed as being engaged in the distribution of automobile license plates. With the combined two pay roll salary of $250 a month, he lives at the Indianapolis Athletic Club when in Indianapolis. / The last examination of the se curities commission by the state board of accounts discloses that Fate had a $1,443.23 expense ac count between Dec. 1, 1928, and Sept. 30, 1929. This money is derived from com panies which have securities up for investigation. Fifield continues to keep these funds, although the board of accounts twice has rec ommended they be turned in to the state treasurer and pass through the state auditor’s office. VISIONS BUSINESS RISE Improved Conditions Late in August Forecast by Stewart. Improvement in business condi tions was forecast by Malcolm M. Stewart of Cincinnati, in a talk be fore the Indianapolis World Trade Club at a luncheon in the Chamber of Commerce, Friday, "All authorities seem to agree that by the end of August buMness in general will pick up,” he said. Stewart is chairman of the middle west foreign trade committee. Veteran Police Officer Finally Buys Uniform FifielcTs Aid Dons Regalia After Years of ‘Service’ in ‘Civvies.’ Friends of Captain Milo Hershey, veteran member of the state police force and political worker for Sec retary of State Otto G. Fifield, sel dom, if ever, have seen him in uni form, despite the department rule that all officers must wear them. It was learned today, however, that, after many years' service in civilian clothes, Captain Hershey finally has purchased a uniform. The purchase is reported to have been made in the general uniform buying done by the state police at a meeting this spring. Reports in Civies Captain Hershey has not yet made a habit of dressing up in his new uniform, if it has been de livered. He continues to report at stateheuse headquarters in "civvies.” What he "reports” is not, disclosed, as he is said never to have made an arrest. The picture of Captain Hershey in uniform was taken when he borrowed an outfit belonging to Captain Joseph Shinn, Coffin po litical ally, to pose for a cut used in the state police edition of the In diana police chiefs’ magazine. Get S2OO a Month Both Hershey and Shinn receive salaries of S2OO a month. Hershey, who resides on a farm in Hamilton county hear the Marion county line, is said to oe engaged at present in "inspection work.” He tours about in a state car accompanied by George Clark, field auditor of the automobile license department. A former friend of D. C. Stephen son, Hershey is said to be caring for a very valuable bird dog belonging to the one time Indiana Ku-Klux Klan czar, while Stephenson serves a life sentence in the Indiana state prison, awaiting action by the Indi ana supreme court. FLIERS STIR PROTEST Mexico Raps Violation of Boundary Rules by Army Aviators. Bu United Press MEXICO CITY, July 19.—The Mexican government was expected today to make representations to the United States over reports that army planes were flying over Mexi can territory, in violation of boun dary regulations. Piedras Negras, Mexican immi gration agent, informed the interior department that numerous planes marked with the emblems of the United States army frequently were sighted over Mexican territory. "AH ADOMSSOfWSTINCnON” w SUMMER ADVANTAGES Overlooking Lake Michi gan ... with parklands ... \ beaches and bridle path close at hand . . . Restfully quiet . . . yet within a few minutes of the Loop stores ... and theatres. Rooms are light.,. airy... foods tempt the lagging summer appe tite. Rates begin at $5.00 per day. Permanent Suites at Special Discounts. d'cTFei tiCTEL. CIiICA6CA Ihulm- Blaeksttm* Manaemnsnt Buy Four Radio at PEARSON’S Choose from R. C. A., Atwater Kent and Philco 128-30 N. Pennsylvania Street Fletcher American t not only sells more securities than any other Indiana invest ment house... but maintains the largest staff of investment specialists to safeguard the interests of the investing public Milo Hershey AWAfiD $24,406 IN PAVINO WORK Nine Contracts for Street Improvements Announced. Public improvement contracts totaling $24,400 were awarded today by the city works board. The nine contracts awarded are: First alley north of Thirty-sixth street. Northwestern to Crescent, concrete paving. Schwert Brothers. $745: alley west of Fay ette street. Walnut street to St. Clair street, concrete paving. R. M. Bowen Com pany. $1,418: first alley south of Sumner street. Stanley to Allen, concrete paving. Abel Brothers. $1,590: Dearborn street, east side. Twenty-third to Twenty-fifth street, concrete walks. Fred G. Janltz. $1,179; Udell street. Harding to Riverside drive, concrete paving. Indiana Asphalt Paving Company. $4,445: first alley west of Dexter. Twenty-first to Twenty-second street, concrete paving. Standard Paving Com pany. $2,980; Manlove avenue, Forty- Sixth to Forty-Eighth, grading and curb, Schwert Brothers. $2,423; Manlove avenue, Fortv-eighth to Fiftv-second street, -grad ing and curbing. Indiana Asphalt Paving Company. $4,106: Baltimore avenue. Forty sixth to Fiftv-second. grading and curb. William D. Vogel, $5,800. Resolutions adopted: Pratt street, Illinois to Senate, treating surface with asphalt; New York street, Ran dolph to Tuxedo, widening roadway to forty-five feet and resurfacing; St. Clairr Massachusetts to High land avenue, Asphaltic resurface. < Y \ J Your Dividends Will Pay the Cost PAGE 3 INSULL HEARING COSTS $64,154- Utilities in Banned Merger Divide Payment. Utilities involved in the $70,000.- 000 Insull utilities merger attempt, today paid the public service com mission $64,154.58 for the investiga tion and hearing which resulted tn their being turned down. Commissioner Howell Ellis, who had the case in charge, reported the total payment divided among the utilities involved as follows: Terre Haute, Indianapolis & East ern Traction Company, $15,729.24; Terre Haute Traction and Light Company, $10,489.09, and the Cen tral Indiana Power Company, $37,936.25. Appointment of William P, Holmes, 3805 West Washington street, as successor to David E. Matthews as chief of the railroad inspection also was announced today by Chairman John W. McCardle of the commission. Holmes is a veteran railroad man and past grand knight of the Indi anapolis Knights of Columbus. REACH MINE WAGE PACT Anthracite Union Delegates to Vote on Agreement Aug. 4. Bu I nitnl Press NEW YORK, July 19.—A tri-dis trict convention oi local union dele gates will be held at Scranton, Pa on Aug. 4 to determine whether the tentative working agreement reached by a joint conference of operators and miners will guide the anthracite coal industry until April 1, 1936. The full scale committee of the workers approved the agreement Friday night. It was announced that their acceptance was unani mous despite the fact that some members of the committee had ex pressed disappointment in private conversations. 666 Relieves a Headache or Neuralgia in 30 minutes, checks a Cold the first day, and checks Malaria in three days. 666 also in Tablets 3-PIECE JACtJUARD VELOUR LIVING ROOM SUITE. frriQ rifl Good -ondltton EASY TERMS Lewis Furniture Cos United Trade-In Store 844 S. Meridian St. Phone Dr. 3227 MODERN HOMES Rent More Easily Why? . . . they're what the public wants, they’re desirable, and . . - largely so, because sanitary plumbing fixtures have been installed. Plan now to have your prop erty remodeled—at least in vest in up-to-date plumbing . . . both the rental and sale value will be increased and tenants secured more quickly. Any plumber will do the work on the convenient payment plan enabling you to start at once. INDIANAPOLIS WATER CO,