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Evening star. [volume] (Washington, D.C.) 1854-1972, August 10, 1935, Image 1

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WEATHER.
ftT. 8. Weather Bureau Forecast > V* ■ The OnlV eVemilg DaDer
^££Sf?££5S5S /A Ua in Washin*ton with the
tonight; gentle to moderate southwest M I V 1 I 7 Associated PreSS NeWS
SfiJSsrssrTnssAit and WirePhoto Services
today. Full report on page 2.
Awing W. Y. M.rktli, P»gc» 12 & 13 >V—^ * _■ Ye^^.ggj^ia?15
No. 33,336. _Washington, d. c., Saturday, august 10, 1935—twenty-eight pages. <*> m.,„. A,.oci.t.d Pr.„. two cents.
LAVAL I1EATENS
DICTATORSHIP IF
SIMMS
Veiled Warning in Demand
That Recovery Decrees
Be Accepted.
FATE OF REGIME AND
OF NATION AT STAKE
___
Hioting at Toulon and Blest
Blamed to Professional Agi
tators by Officials.
Bv the Associated Press.
PARIS, August 10.—Premier Pierre
Laval gave warning today that a dic
tatorship of France was not unlikely
if present measures fail in the en
forcement of his recovery decrees,
which have already caused disorder
and bloodshed.
The warning, veiled but unmistak
able, was contained in his insistent
demands that his unpopular decrees
be accepted.
The fate of the regime and the life
of the country are at stake, he told
a gathering of all but one of France's
86 prefects. Lacking dictatorial pow
ers himself, the premier made the
provincial governors share the re
sponsibility of preventing the "dra
matic situation.”
Fear of further disorders over the
government's effort to find a way
out of the depression through de
flation subsided, however, as investi
gating officials blamed a few profes
sional agitators for the rioting at
Toulon and Brest.
Guards Sent to Toulon.
Reinforcements of 1,000 mobile
guards were sent to Toulon to guard
against a recurrence of last night's
rioting w'hen 2 were killed and from
50 to 200 injured. Other ports ap
peared to have settled down to normal
work. j
Trade unions deplored the dis-1
orders because they were exploited by
their "adverseries.” Appeals to end
the street fighting were made by the
Socialist and Communist parties in
posters in Toulon. The posters said
there had been "enough bloodshed."
Opposition to the decrees continued,
however, as left wing and "popular ;
front” posters urged the workers to
hold themselves in readiness to fight
for their demands. A meeting of war
veterans scheduled for Sunday at j
Toulon to protest the decrees and the ,
cutting of pensions was officially for- ;
Bidden.
It is the government's intention to
use persuasion rather than force to ,
carry out its recovery program, official
utterances indicated. The ‘ real work
ers” were exonerated from all blame
for the outbreaks in numerous state
ments by officials, while Laval asked
the country's confidence in decrees
designed to revive trade, reduce the
cost of living and stimulate employ- .
ment.
Whether the decrees will succeed Is
problematical, say even moderate com
mentators, because of their unpopu
larity. but they are generally termed ;
the "first real effort to combat the
depression in France.” The govern- j
ment. having promulgated them, has
indicated its conviction that they
must be firmly enforced. Any alter
native would be to risk even more
serious trouble than the recent spo
radic outbreaks.
Liner Champlain Sails.
The strike of the French Line ended
with the sailing of the liner Champ
lain for New York. More than 800
passengers were held up two days by
the strike. The line agreed to com
pensate the sailors for the wage cuts.
Police sought out the leaders of the
disturbances in Toulon and arrested
40 persons.
Premier Laval summoned the pre- j
fects to organize them in the cam- |
paign to see that living costs are re- ,
duced in line with the wage cuts. A
committee was appointed to set the
tariffs, much in the manner of Great
Britain.
---
WANG STANDS FIRM
ON HIS RESIGNATION
____________
I
Former Chinese Premier and
Foreign Minister Insists
on Retirement.
By the Associated Press.
TSINGTAO. China, August 10.—
Despite the plea of a delegation of
government officials, who arrived from
Nanking today. Wang Chang-Wei,
who resigned as China's premier and
foreign minister, remained firm in
his resolve to remain out of govern
ment service.
He said he would not change his
plans until his health improves.
Dr. Kurt Noll, Wang’s German
physician, said Wang’s illness is "very
real.”
The physician said Wang is suffer
ing from gall trouble, a liver ailment
•nd diabetes.
SPANIARDS HIT ALCOHOL
Psychiatrists Start League, Fear
ing Racial Injury.
MAERID, August 10 (4*).—A move
ment to form an “anti-alcohol league”
in Spain to encourage temperance has
been begun by two well-known psy
chiatrists.
The doctors. Eduardo Varela de
Seijas and Antonio Garcia Munoz in j
a letter calling for public support of i
the movement, declared that while
drunkenness was no problem in Spain,
the amount of alcohol consumed
nevertheless is injurious to the race.
They said temperance was partic
ularly important for the welfare of
children, who otherwise might inherit
feebleness,from alcoholic parents.
(Spaniards draw a sharp line of dis
tinction between "alcohol” and wine,
the latter being considered merely a j
harmless beverage.)
Ethiopia to Turn
66Sachet Kitty” on
Italian Soldiers
Skunk-like Civet Cat
Would Hold Strategic
W ater Places.
By the Associated Press.
ADDIS ABABA, August 10.—The
Civet cat, which smells just as bad as
the United States skunk and grows
three times as big. was drafted today
for possible hostilities against Italy,
Emperor Haile Selassie’s ministry of
commerce not only ordered a speeding
up in the culture of the Civet cat to
obtain funds with which to buy badly
needed munitions, but Ethiopian
tribesmen were reported laying plans
to harass the men of II Duce by post
ing the animals at water wells that
might be used by the Italians.
Civet culture is a major industry
of Ethiopia, for the “sachet kitty”
gives off a secretion that is indis
pensable to perfume manufacturers
(of all people). They are unable to
imitate the fragrance of certain flow- ■
ers without it.
The essence is imported to the
j United States and France in large j
I quantities.

Senate Finance Group, in
Secret Session, Moves
to Ameliorate Levies.
BILLETIN'.
Administration plans to "soak
the rich" today were turned against
families of normal sized incomes
when the Senate Finance Commit
tee reduced the income tax exemp
tion for married couples from
$2,500 to $2,000. At the same time
the exemptions for a single person
was cut from $1,000 to $800. Fur
l ther drastic provisions included the
dropping of the surtax start from
the $4,000 income to the $3,000 in
come.
BY JOHN C. HENRY.
Bearing out predictions that the j
conservative group in the Senate Fi
nance Committee would wield suffi
cient power to force extensive modifi
cations in the pending tax legisla
tion, reports were current today tnat
tentative decisions already have Seen
reached to make several changes.'
Although officially the committee
still is functioning behind its sell- .
imposed veil of secrecy, reports of the
following revisions leaked out last
night and this morning:
That the committee deliberations
yesterday morning concerned prin
cipally the inheritance tax section,
and that the new schedule ot rates re
quested of the consultant experts at .
that time is for application to tqe ex- I
isting estate taxes. Abandonment oi
inheritance tax provisions, if sucn is
finally voted, in favor of revised estate
taxes would be a direct exception to j
the wishes of President Roosevelt as ;
expressed In his message to Congress
on June 19.
6 Per Cent Profit Tax Urged.
That the late afternoon session of !
the committee decided to cut down
the proposed new excess profits rates.
f'»ir version to be a 6 per cent tax i
on profits between 10 and 15 per cent
of adjusted value, with a 12 per cent
tax on ail profits above 15 per cent.
T ie proposed rate, as included in the
House measure, runs from 5 per cent
to 15 per cent on profits between 8
and 25 per cent of value and of 20
per cent on all profits above that mark.
The present law provides a flat 5 per
cent on all profits above 12 fa per cent.
That the committee approved the
House rates for graduation of a corpo
ration income tax from 13 U per cent
to 14 U pc cent after voting down
attempts to substitute the President’s
suggestiL . for a graduation from 10’4
to 16’t per cent. The present rate
is 1334 per cent for ill.
That the committee favored an in
crease in the present capital stock
tax to balance partially the reductions
they will effect in revenue from the
new excess profits levies. The present
capital stock tax is $1 per $1,000. while
that reported as receiving committee
favor is $1.50 per $1,000.
Individual Revision Likely.
It was reported also that the new I
surtax rates on individual incomes will
undergo a thorough overhauling and
probably will be lowered from the
point approved by the House,
While this trend for modification
of the legislation was prevailing in
yesterday’s sessions of the committee,
it was understood that Senator La
Follette, Progressive, of Wisconsin, I
and one or two other members of the |
so-called liberal group still were in- j
sistent on a broader tax program.
Failure to carry their point in the J
committee deliberations undoubtedly j
will mean that they will offer such!
amendments on the floor when the
bill reaches that stage.
The committee was continuing its
executive sessions today.
Gas Routs Nazi Students.
CONSTANZA, Rumania, August 10
(IP).—Soldiers and police used gas
bombs today to blast 30 Nazi students
from a barricade to which they had
retreated after molesting Jewish
guests at a Black Sea resort.
WAR ODDS 5 TO 1
England to Press Italy to
Reveal Full Scope of
Aims in Africa.
ECONOMIC ASSISTANCE
BY LEAGUE POSSIBILITY
New Unit of Reserve Military
Power Is Called Out by
Roman Decree.
By the Associated Press.
LONDON, August 10.—The odds
for war in Ethiopia were rated at 5
to l in diplomatic circles here today
as British ministers put the finishing
touches on a strategy that Anthony
Eden, minister for League affairs, will
follow at the tri-power conference
with Italy and France in Paris next
week.
Great Britain, it was stated in
authoritative quarters, will press Italy
to reveal the full scope of her aims
in Ethiopia, preferably during the
Paris talks, but if not then, certainly
at the League Council session in
Geneva September 4.
It is now apparent, a spokesman
said, that Ethiopia will definitely re
ject any Italian demands for annexa
tion or political sovereignty.
For this reason it was felt that the
lone hope of averting war, with its
possible far - reaching repercussions
over Europe, hinges on a full state
ment of Italy's plans—a statement
whether 11 Duce will limit his activi
ties to frontier protection or whether
he intends to go farther.
Unofficially, there was extreme pes
simism here that the Paris confer
ence, starting either Thursday or Fri
day, can do more than crystallize the
crisis and leave the next step for the j
League.
Peace Basis Seen.
GENEVA, August 10 (A>).—A prece
dent for a possible basis of peaceful
settlement of the Italo-Ethiopian dis
pute was seen today in League of Na
tions circles in the League's past
financial and economic assistance to
Austria. Hungary and Bulgaria.
The suggestion, growing out of a
statement attributed to Emperor Haile
Selassie of Ethiopia that he would
accept economic help, was made as
the League convoked the eighty
eighth session of its Council for Sep
tember 4 with the Italio-Ethiopian
problem foremost on its agenda.
It was remarked in some circles
that the League might appoint a
neutral commissioner as it did In the
case of Hungary, when the late Jere
miah Smith of Cambridge, Mass., was
named. Smith has been succeeded
by Royall Tyler of Boston.
Italy, it was said further, might
be designated to carry out the eco
nomic development of Ethiopia as
an agent o fthe League of Nations.
Prof. Pitman B. Potter, representa
tive for Ethiopia on the Italo-Ethi
opian Conciliation Commission, an
nounced that Count Luigi Aldrovani
Marescotti, Italian conciliator, had
agreed to a suggestion that the com
mission meet August 16 in Paris to
resume arbitration of the Ualual inci
dent of the dispute. The first task of
the commission will be the appoint
ment of a fifth arbitrator.
New Unit Called.
ROME. August 10.—Italy summoned
a new unit of its reserve military pow'
er to the colors today.
A royal decree was published in the
official gazette ordering the subalterns
and technicians of the air force classes
of 1909 and 1910 recalled for service
for an indeterminate time.
The decree was issued while the
mysterious plane disaster in Egypt,
which caused the death of Luigi Razza,
minister of public works, and six oth
ers. continued to evoke expressions of
sorrow and oewilderment.
Dispatches from Tripoli meanwhile
said three steamers which left Naples
early in the week embarked 600 Libyan
native cavalrymen and their horses
and sailed for East Africa last night.
The Libyans were mostly volunteer
veterans of the Italian Libyan cam
paign and received an enthusiastic
(See ETHIOPIA, Page 2.)
BUICK PLANS EXPANSION
AT COST OF $14,000,000
Substantially Increased Produc
tion in 1936 Is Expected by
Motor Company.
By the Associated Press.
FLINT, Mich., August 10.—The
Buick Motor Co. announced today that
$14,500,000 is being expended for ex
pansion and rehabilitation of its
manufacturing facilities.
Harlow H. Curtice, president and
general manager, said the program in
volved the complete modernization of
all Buick’s 30 manufacturing divi
sions in "preparation for a substan
tially increased production in 1936.”
"The changes, additions and im
provements under the new program are
greater than have been made in any
similar period in the last 10 years,'
he said. The program, under way
several months, will be completed
within the next few weeks.
Army Regiment to Ride Taxis
225 Miles to Maneuver Base
By the Associated Press.
BUFFALO, N. Y„ August 10.—For
the first time in the history of the
American Army, a regiment of soldiers
will go to field maneuvers in taxicabs
when the 106th Field Artillery leaves
Buffalo for Pine Camp, near Water
town, next Saturday.
To transport the 700 men of the
regiment. 133 taxis will line up at the
armory at 6 a.m.. each with a civilian
driver ready for the 225-mile ride.
Col. Douglass P. Walker, command
er, explained Uncle Sam wasn't pam
pering his outfit, but the 106th's ov^
motor equipment was so antiquated it
was doubtful if the trucks would hold
together long enough to complete the
journey.
The procession will occupy 4 miles
of highway space, so the caravan will
be split into sections and hold to a
35-mile-an-hour pace.
After measuring a standard taxi
cab, Col. Walker said he had con
cluded five men and their equipment
could be put in each cab, although
they may be crowded a bit. But most
of the men have Indicated a willing
ness to suiter in exchange for a little
style. ^
IF VbU’LL LET1^
THAT FELLOW OUT I
OF TH’HOSPITAL'
I'LL EE FOR YOU!
ROOSEVELT *
SPECIAL
j TREATMENT
j._WARP
7>
feJ-Li
\ S
tzT/
Hog Receipts Hit Record Low;
Half of Chicago’s Pens Closed
A. A. A. Slaughter of 6,000,000 Sous and
Drought Last Year Kite Price to $12.
Yard Employment Is Curtailed.
By the Associated Press.
CHICAGO, August 10.—Nature's ex
cessive co-operation with a man-made
plan for price raising was cited by
meat authorities today to account for
the present position of pork in the food
list.
While housewives dug deeper into
their purses, half of the hog pens in
the world's greatest swine market were
closed because the traffic in porkers
was at the lowest ebb in the 57 years
for which records are available.
It was reportedly the first time part
of the facilities was closed because of
a paucity of receipts.
Pork prices have lofted to levels
reminiscent of the “boom” era. Re
tail purchasers pad in some in
stances four times as much for pork
chops as a year ago. Packers paid
above $12 for pork, the first time in
years hogs had hit the $12 mark.
The cause was attributed to:
1. The 1934 drought, during which
farmers got rid of their hogs as
quickly as possible to avoid losing them
from heat, thirst or starvation.
2. The agricultural adjustment act.
which provided for the destruction of
6,000.000 piggy sows or grown sows
which would have been on the market
this year. In addition, uncounted
prospective litters were destroyed.
Receipts at the Union Stockyards
for the first four days of the week
totaled 33.600 head of hogs, while in
the same period a year ago 88.631
head were received. The estimated
(See HOGS, Page iT
SUBJECT IS CHOSEN CLIPPER BREAKS
FOR HUMAN ICICLE RECORD TO HAWAII
Man Signs Contract to
Have Life Suspended in
Cake of Ice.
By th® Associated Press.
HOLLYWOOD, Calif.. August 10 —
Stephen Simkhovitch, 34, has agreed
to become a human icicle for science
under a contract entered into here
with Dr. Ralphs Willard, the monkey
freezing chemist.
Simkhovitch, powerfully built
scenarist, was chosen for this unique
experiment from among 180 persons
Dr. Willard said had offered them
selves in the interests of medical sci
ence.
The Chemist said the experiment
will begin as soon as a refrigerator
suitable to contain the human jub
ject can be built.
Law May Call Halt.
Informed of the matter. Dr. George
Parrish, city health officer, declared
Dr. Willard was "entering a danger
ous field.”
"The law in most States is so drastic
that a person attempting suicide and
failing, is immediately prosecuted I
am sure the law would not permit
Dr. Willard to carry his human guinea
pig idea any further than the ex
ploitation stage.”
Attorneys who drew the contract
added that if circumstances arise to
prevent making the experiment in
the United States it will be carried
out in Mexico or any other country
where no interference is offered.
Monkey Revived.
Dr. Willard, who said he has
frozen solid and later revived small
animals over a period of six years in
seeking aid for tuberculosis sufferers,
announced he had brought one
Rhesus monkey, named Jekal. from a
frozen state last Monday without ap
parent ill effects.
A second monkey died and a third,
Dr. Willard said, still is frozen, but
is to be revived next week.
“I ask only a quit claim,” Simkho
vitch insisted today. “In event I die
I want it so no claim possibly can
be made against Dr. Willard."
The young scientist insisted he
would not proceed with the experi
ment without the presence of at least
six medical doctors to make exhaustive
physical examinations of Simkhovitch
and watch the entire proceeding.
Wants to Aid Humanity.
Simkhovitch, who said he was the
son of a professor of economic history
at Columbia University, and of Mrs.
Mary K. Simkhovitch. a student of
sociology in New York, declared he
was prompted only by a desire to
"do something for humanity for a
change.’
“I wish also to know something
about the soul and its relation to
the human body.” he said. “I wish
to know what happens when a person
dies and I want to be able to come
back and tell of those happenings.
“Life itself is unimportant where
such vital - matters as these are con
cerned. Some one must make these
experiments some time. Why shouldn’t
I be the one to do It?”
(Wirephoto on Page^A-2.)
Makes Trip From California
in 50 Minutes Less Than
Former Time.
By the Associated Press.
ALAMEDA. Calif., August 10.—The
Pan-American clipper alighted at
Honolulu at 8:09 am.. Pacific time
(11:09 a.m.. Eastern Standard Time'
today, breaking her previous record for
the California-Hawaii run by 50 min
utes, the operating company advised.
She already had had the record at
17 hours 59 minutes, the new record
being 17:09.
The flight completed today was
made at altitudes ranging from 1.300
to 11,000 feet. Pan American Air
ways officials here said the ship had
left her charted course several times
to make special surveys of air con
ditions and that all types of weather
to be expected on the 2,400-mile route
had been encountered.
The final message from the plane,
completing her log, was "All O. K.”
and the landing time.
Except for a heavy fog off Golden
Gate after the take-off at 3 p.m. yes
terday the clipper encountered little
unusual weather, its log revealed.
"Everything O. K." was the repeat
ed message flashed back by Capt. R.
O. D. Sullivan, who reported hourly
to the Alameda base from the time
the clipper jumped an offshore fog
that had crippled surface shipping
and delayed for hours entrance of
part of the United States fleet into
San Francisco Bay.
The 2,400-mile hop to Honolulu was
the first leg of the flight to tiny Wake
Island, a lonely atoll station on the
Pan-America s projected passenger
and mail route to the Orient.
From Hawaii the clipper will fly
1,300 miles to Midway Island, which
is midway across the Pacific, and then
oitt. 100 miles to Wake. The previous
flights were to Honolulu and return
and then to Midway and return.
Readers’ Guide
Page.
Amusements__B-14
Churches_A-7
Comics _B-9
Editorials _ .A-8
Finance...A-12-13
Lost and Found_A-9
Mallon _A-2
Radio _B-7
Real Estate.-B-l-2-3-4-5-6-7
Serial Story_B-10
Service Orders_A-9
Short Story_B-14
Society_A-9
Sports_A-10-11
Vital Statistics_A-9
Washington Wayside_A-4
Women’s Features -B-8
Crowds Prepare to Wel
come Relentless Nazi
Foe of Jews.
By the Associated Press.
I BERLIN. August 10 — Julius Streich
1 er. most uncompromising Nazi foe of
Jews, will carry his anti-Semitic drive
into Berlin Thursday to be welcomed
by a sell-out crowd in the city’s
largest assembly hall, it was learned
today, as further reports were re
ceived of religious strife throughout
the Reich.
Both Jews and Catholics suffered
i in the latest restrictions.
The sell-out for the anti-Semitic
leader was reported to foreign cor
respondents, who, applying for tickets,
were advised that all that remained
was standing room. The hint was
dropped that even if there were seats,
they would not be given to the foreign
newspaper men.
Second Invasion of Berlin.
This will be the second invasion
of Berlin by Streieher, publisher of
the relentlessly anti-Semitic newspa
per. Der Stuermer. A report persists
that he is eager to establish him
1 self here, where most of the Jews
live, publishing his paper here in
| stead of in Nemberg.
Following an address in the Sport
spalast, Berlin’s largest Auditorium,
the ffcry Streieher will speak to an
overflow meeting in the Jewish sec
| tion of the city.
On his prevous visit during the cur
rent strife he spoke to a small gather
ing on the outskirts. His remarks at
that time foreshadowed the adoption
of the later stringent laws governing
the Jews.
In the current issue of his news
paper Streieher reveals, in a semi
official way. why Richard Strauss re
; signed as head of the Reich's musical
i chamber last July 13. At the time
Strauss, who is 71, said he was re
tiring because of advanced age.
Der Stuermer said the resignation
was forced because Strauss employed
Stefan Zweig. a Jew, to write the
; libretto of "The Silent Woman,”
played at Dresden June 24, and also
because Strauss’ son married a Jewess.
“Those things.” commented the
paper, "do not get together in the third
Reich.”
Demonstrations Continue.
Reports of anti-Jewish demonstra- ■
tions in upper Silesia continued to
come across the Polish border to
Beuthen from Korlweska, Huta and
Katowice. The first named town is
plastered with signs of anti-Jewish
sentiments. Attempts are being made
in Katowice to organize a Jewish
boycott.
A Catholic sister teaching in a
school of the Ursuli e order was
evicted froi» the Aachen district by
police. She was accused of impart
ing ideas to children that were harm
ful to the state.
Dr. Bernhard Rust, minister of edu
cation, ordered all class flags banned
in the schools as they were indica
tive of a division of pupils united
under the swastika.
Hans Hinkel, Nazi commissioner for
culture, wielded the ax in the theater
field, ousting Franz Eckardt without
explanation from the chairmanship
of a unit of the Association of German
Stage Members.
Austria Assailed.
Reichsfuehrer Hitler’s paper, Voel
kischer Beobachter, bitt?rl“ assailed
Austria in an editorial captioned “The
Inquisition and Dictatorship of Politi
cal Catholicism.”
This is the first German attack on
Austria since the chancellor tried to
patch up the demolished German
Italian friendship, when he told the
world in a two-hour speech tnat he
“regrets the Austrian Incidents that
led to an estrangement between two
Fascist nations.”
“In Austria today there Is nothing
but a systematic and purposeful at
tempt to create a new platiorm of
political power for the ideals of a
world dictatorship by the Holy See, ’
the paper said. “From this German
soil the struggle between the philos
ophies and the life of Catholicism and
Nazi-ism - began.”
Mussolini Watches Maneuvers.
ROME, August 10 14*).—Premier
Mussolini flew to the Spezla Naval
Training Station today and witnessed
tactical maneuvers of the first naval
squadron from aboard the flag cruiser
Zara. i _
PRESIDENT TO SIGN
SOCIAL SECURITIES
BILL NEXT WEEK
— i
Three Board Members Will
Be Named to Supervise
Huge Program.
PLAN WILL COST U. S.
$95,000,000 FIRST YEAR
Many Phases of Measure Being
Studied to Be Put Into Effect
Immediately.
BY J. A. O’LEARY.
The national social security h|ll is
expected to become a law by the signa
ture of President Roosevelt early next
week, setting in motion a broad pro
gram of old-age benefits, unemploy
ment insurance and a variety of Fed
eral grants to the States for public
welfare purposes.
The first step will be to appoint the
three members of the Social Security
Board, which will function as an in
dependent agency in supervising op
eration of the vast program through
out the country. Early reports have
been to the effect a woman will be
appointed to one of the places.
After a seven-month journey
through the legislative mill on Capitol
Hill, the security measure was com
pleted late yesterday in substantially
the same form in which it was drafted
ii. January by administration forces.
The last move came when the Senate
yielded to the House on the dropping
for the time being of the Clark private
pension amendment to the old-age in
surance section. House and Senate
subcommittees have been named, how
ever, to work out some method of pre
serving private retirement systems at
j the next session of Congress.
$95,000,000 Is Needed.
Before Congress adjourns, It will
have to put through an appropriation
bill to make available the $95,000,000
needed for the first year to cover those
features of the security program call
ing for Federal grants to the States
to help them carry on State welfare
work. These features of the program ■
start as soon as the money is avail
able. and cover the following subjects:
01d-age~-States that give old-age
assistance, or pensions, to needy per
sons 65 or over will be entitled to have
their payments matched by Uncle
Sam, up to a maximum of $15 per
person a month. In other words, the
Federal Government will pay half of
a $30 monthly gratuity to unemploy
ables. The Federal appropriation for
the first year will be $49,750,000
Blind—As in the case of needy aged,
the United States will match State
I pensions to the blind up to $15 a
month. For this year the Federal
appropriation will be $3,000,000.
j Aid to dependent children—For this
1 purpose, sometirses called mothers'
pensions, the Federal Government will
give States a grant equal to one-third
of the State appropriation. For the
first year it will require $24,750,000 in
Federal funds.
Public health—The bill authorizes
$8,000,000 to be distributed annually
to the States on the basis of popula
tion. special health problems and
financial need.
Ollier welfare Activities.
Other welfare activities and the
amounts the Federal Government will
l put up the first year are: Maternal
| and child health work. $3,800,000;
crippled children. $2,850,000: child wel
fare. $1,500,000, and vocational reha
bilitation, $841,000.
The foregoing features of the bill
are in the nature of additions to the
policy of granting Federal subsidies
to the States for various purposes.
The other two main phases of the
bill deal with the future security of
millions of employes in industry, and
take the Federal Government into
new fields of legislation.
One js the Federal contributory
old-age insurance plan, to be financed
by pay roll taxes on employes and em
ployers, starting in January, 1937.
The tax starts at 1 per cent on each
group and increases gradually to 3
j per cent from each after 1948. Em
1 ployes would be retired at 65 on bene
fit payments ranging from $10 to $85
a month, according to wages and
length of service. At the next session
of Congress efforts will be made to
work out Senator Clark's proposal to
exempt from this Federal pay roll tax
retirement plan any industry tnat
operates a private system ot equal or
greater benefit. .
Weekly Allowances.
The other innovation is the Federal
pay roll tax on employers, to induce
the States to enact unemployment
insurance law’s, for the payment of
weekly allcv nces to men laid off
when work is slack. The States are
left free to work out their own laws,
based either on a State-wide pool fund
cr the keeping of separate company ;
reserves. Employers would be ex-1
cused from 90 per cent of the Federal
unemployment tax if their State levies !
that .uch for a State unemployment
law. This Federal tax starts next
y r at 1 per cent of the pay roll and
increases to 3 per cent in 1938.
The Federal unemployment pay roll
tax applies to employers of 8 or more
persons, but States may fix a smaller
number.
YELLOW RIVER FLOOD
IMPERILS 3 PROVINCES
Thousands of Acres of Farmland
Inundated as Water Beaches
Highest Level Since 1931.
By the Associated Press
KAIFENG, Honan Province, China,
August 10.—The Yellow River lm- ;
periled three of the richest provinces
ot North China today as it reached its
highest level since the 1931 floods.
While armies ot workmen toiled at
strengthening dikes, the river, swollen
by the rains which followed typnoons
that struck the China coast, swept
over thousands of acres of fertile farm ]
lands.
Thousands of square miles in Ho- 1
nan. Shantung and Southern Hopei j
were Inundated. r
ROOSEVELT EDICT
TO W.P.A. STRIKERS
CAUSESCONFUSION
‘No Work, No Relief Money’
Ultimatum Tangles Prob
lem of Officials.
U. S., STATE AND CITY
FUNDS ARE INVOLVED
Splitting of Three-Way Knot Will
Mean Financing of Strike
Against Government.
By the Associated Press.
NEW YORK. August 10.—President
Roosevelt's order of "no work, no re
lief money” for New York’s striking
Works Progress Administration em
; ployes today tossed the city’s relief
administration into a snarl of eon
, fusion.
The three-sided partnership of Fed
eral, State and city relief funds led
New York relief administrators Into
a maze of considerations. Their hur
ried analysts of the implications of the
President’s ban brought two immedi
ate complications to the lore:
1. A growing belief that Federal
relief funds cannot be separated from
State and city funds, thus denying
any relief under the President's order,
although it applied specifically to Fed
eral moneys.
2. A knowledge that If they can
split the three-way knot that ties
relief funs, they will be financing a
strike against the Federal Govern
ment.
Walkout Seems Inevitable.
Meanwhile in News York City the
walkout cf skilled workers employed
on various W. P. A. projects scheduled
for Monday appeared inevitable. More
than 15,000 are reported by union
organizers to be ready to walk out
Monday, joining the 2.000 already out.
Added to the skilled workmen, white
collar relief workers pledged their sup
port for the movement for nigher
wages and sought to consolidate their
loosely federated unions into a solid
front.
Before the President's order was
published officials of the Temporary
Emergency Relief Bureau and the
Home Relief Bureau had consistently
said that strikers would be placed on
relief.
Funds Are Denied.
] Frederick I. Daniels, head of the
T. E. R. A., in a letter to Miss Char
i lotte Carr of the Home Relief Bureau
warned her that August relief funds
i had been appropriated and that no
further funds would be forthcoming.
The home relief funds are supplied
in a ratio of approximately $8 by the
T. E. R. A to $3 by the city. Of
, the portion furnished by the T. E.
■ R. A. 60 per cent is Federal money.
At the relief bureau it was said that
there was no means of separating the
various funds.
That the unions were depending
I on home relief money to finance the
j strike was indicated by George
! Meany, president of the State Fed
eration of Labor, which recommended
| the strike.
j "I have been assured by Miss Carr.”
he said, "that whether or not a
| man is on strike will have nothing to
' do with his home relief status.”
Work to Be Continued.
Work on the Astor low-co6t hous
ing project, key project of the W.
P. A„ will be continued on Monday,
Tenement Commissioner Langdon W.
Post said today.
Work on the project was discontin
ued Thursday when some of the 350
men there went on strike.
Post said that any men who re
fused to work would be replaced from
the rolls of the National Re-employ
ment Service and that the only way
for them to get back on the job would
be through the N. R. S.
Relief administrators explained that
only persons on the relief rolls were
listed with the N. R. S. and that if an
applicant was refused relief he could
not secure employment through that
service.
ROOSEVELT WARNS STRIKERS.
Declares Those Who Refuse Jobs Will
Be Cut Off Dole.
By the Associated Press.
The contest between the New Deal
and striking relief workers appeared
headed for an early showdown today
as union leaders predicted the New
York walkout would spread to many
cities and President Roosevelt issued
an ultimatum.
Those who turn down work-relief
jobs will be cut off the dole, the Presi
dent said. Thus they would be de
prived of any form of Federal aid.
After issuing this warning and re
fusing to recognize the New York
trouble as a strike, the President took
Harry L. Hopkins, Works Progress ad
ministrator, with him on a week end
cruise on the yacht Sequoia.
Though the capital assumed the
works program's labor troubles would
be discussed on the trip, there was
no indication of any plan to Increase
(See W. P. A. STRIKE, Page 5.)
WILEY POST AND ROGERS
ARE RESTING AT DAWSON
Flyer and Screen Star Still Are
Secretive About Hop to
Siberia.
By the Associated Press.
DAWSON, Y. T.. August 10.—Their
immediate plans Indefinite. Wiley
Post and Will Rogers rested here to
day after a 3-hour-and-5-mlnute hop
from Juneau, Alaska, yesterday after
noon.
The round-the-world flyer and hia
screen star passenger made the trip
in Post's scarlet, pontoon-equipped
monoplane.
Although Rogers insisted he does
not plan to accompany Post on the
flyer’s projected pleasure jaunt to
Siberia, the flyers indicated Rogers
will fly with Post as far as Nome,
"jumping oft place’’ for a Bering Sea
hop to Siberia, i
t. *

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