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in Washington with the Associated Press News and Wirephoto Services. Closini New YorkM&rketi. Pan 18 Yeiterday s Circulation, 137,775 ncw lor* marftCU, rage to < Borne returru not m received)_ No. 33,624. " WASHINGTON, D. C., FRIDAY, MAY 22, 1936-FIFTY-EIGHT PAGES. *** op> m..*. Aa.eci.t.d Pr..., TWO CENTS. ft — — ■ ■ - . - - - —- - ■ . - - -. ------ COMPROMISE OIL RECONSIDERED BY SENATE GROUP DUE TO TAX ON TAXES Finance Committee Finds Correction of Situation Would Reduce Revenue Yield by Millions. ALTERNATE SUGGESTION REJECTED BY MEMBERS Turn Down Boosted Levy on Un distributed Corporate Earnings. Lack of Special Treatment for Debt-Bidden Is Cited as Dis cussion Is Beopened. BACKGROUND— President Roosevelt more than two months ago handed Congress a bitter pill in asking for new and bigger taxes. After listening to at tacks from business leaders on the proposal for a levy on corporate surpluses, the House passed a rev enue bill which met the White House wishes. But many Senators disliked the corporate surplus basis on the grounds several corporations would escape taxation. At their in sistence, the House bill was pulled apart and yesterday put together again in new style. BULLETIN. The Senate Finance Com mittee, in another stormy session, agreed today to elimi nate from its new compro mise corporation tax plan a “tax on taxes.” It was esti • mated this decision would mean a loss of $40,000,000 in revenue. By tor Associated Press. The Senate Finance Commit tee agreed today to reconsider its day-old compromise plan for taxing corporations. The sudden decision to backtrack on the agreement voted yesterday, 18 to 1, was prompted by definite word that the compromise plan embraced a tax on taxes. Some committee sources said that to correct this situation would reduce by millions the revenue yield, esti , • mated at from $500,000,000 to $600, 000,000, and necessitate turning to some other device for raising money. One suggestion for regaining this loss was to place a 9 instead of 7 per cent levy on undistributed corporation earnings, but a number of members objected to that. The compromise plan called for a flat 18 per cent tax on total corpora tion net income and a 7 per cent tax on undistributed income, together with retention of existing capital stock and . excess profits taxes and application of the normal 4 per cent income tax to dividends. Decide to Reopen Matter. The decision to reopen the whole matter came when committeemen found they had approved a proposi tion under which money used to pay taxes, since it would ndt be dis tributed, would in itself be subject to the 7 per cent tax. Another complaint was that it made no provision for special treatment for debt-ridden corporations and another was that corporations would have to pay a tax on tax money they turned into the Treasury. There were hints that the compro mise, reached only after a prolonged battle, might be torn wide open again with the idea of rewriting it. Such re writing, it was felt, might further re duce the anticipated yield of the bill, which already falls short of Presi- I dent Roosevelt’s revenue goal. The "compromise” adopted yester day represented a sharp whittling down of President Roosevelt's original suggestion for stiff taxes on income which corporations fail to distribute in the form of dividends. Administra tion officials had suggested that such taxes should average 33 ^ per cent. Some who voted for the compromise Indicated they experienced misgivings • *“• (See TAXES, Page A-5.) TWO GYPSIES MULCT WOMAN OF $1,100 Pair Hunted Here—Laurel House ^ wife Victim of “Blessed"’ Money Dodge. Two gypsy women who worked a flim-flam game on a Laurel woman Monday and made off with $1,100 were being sought by Prince Georges and Washington police today. D. L. Burgess of Laurel, husband of the victim, told Prince Georges County police today that the gypsies, attired in brown dresses, came to the Burgess home and offered to "bless” any money Mrs. Burgess might have. Prom a money belt she removed $1,100 which she had been saving for a year to build a new home, police were told. The gypsies wrapped a cloth around the money, “blessed” it and returned k what appeared to Mrs. Burgess to be the same roll with instructions not to open it for nine days nor to tell her husband or any one else about the "blessing,” Burgess told police. Today, however. Mrs. Burgess be came uneasy and decided to open the roll. She found only a wad of paper and some cigarette stubs. Her hus band gave the roll to police, who broadcast a lookout for the women and the car in which they were riding. Blum Sees Titulescu. f PARIS, May 22 OP).—Foreign Min ister Nicholas Titulescu of Rumania arrived here today and was received by Leon Blum in an Interview at the home of France's prospective premier.4 * 4 IN LYDDANE TRIAL Case Moves Toward Jury. Defendant’s Husband Barred as Witness. BY W. H. SHIPPEN. JR.. Staff Correspondent of The Star. HAGERSTOWN, Md.. May 22 Closing arguments by seven lawyers were begun this afternoon at Mrs. Anne M. Lyddane's second trial on charges of conspiring to murder her husband. The prosecution sprung a surprise this morning by winning the exclusion of Francis (Slom) Lyddane as a de fense witness. The husband, accord ing to the State, was to have been the victim of the alleged plot. The judges barred Lyddane from testifying on the ground he was "in competent" as the husband of the defendant. The final witness took the stand shortly before noon. He was Ira N. Gullickson, identification expert and photographer of the Washington Po lice Department. Four defense attorneys and three State prosecutors were to argue the case. Appear for Mrs. Lyddane. Appearing for Mrs. Lyddane are State Senator Stedman Prescott of Montgomery County, William Preston Lane, Jr., former attorney general of Maryland; Kenneth Lyddane, a cou sin of the accused woman, and Robert Peter, jr, of Rockville. Opposed to these four were State’s Attorney James H. Pugh of Mont gomery County, Martin L. Ingram. State’s attorney of Washington County, and John E. Oxley, a special assistant to Pugh. The trial judges said the attorneys would be allowed as much time as they wished in the final pleas. The case was to reach the jury to night or tomorrow morning. After he was barred as a witness Lyddane went across the court room to his wife and took a seat beside her. The defense had banked heavily on Lyddane's expected testimony. He was to have corroborated his wife’s story in many details. Judges David A. Robb and Frank O. Wagaman excused the jury while the question of Lyddane's admissibility was argued by Pugh and Defense At torney Stedman Prescott. At Mrs. Lyddane’s first trial in Rockville last June, Lyddane took the stand and did all he could to defend her. That trial resulted in a dead locked jury. Mr. and Mrs. Lyddane since have (See LYDDANE. Page 4.) Senator Continues Lone Hand Fight for Old Party Favor. Senator Borah, one of the leading candidates for the Republican nomi nation. will enter no combination or alliance against the nomination of any other candidate, nor will he enter a combination in support of any can didate. He is making his fight for the nomination. On that he will stand. The Idaho Senator, almost single handed, has made a remarkable cam- ! palgn in the preconvention period against the old O. O. P. organization in many of the States. It is his con- j tention that, if the Republican party permits the leaders of these organ!- | rations to dominate longer, the Re-! publicans who left the party in 1932 will not return In 1936. With this as his campaign slogan, the Idaho Senator entered the pri maries in a number of States and sought the preference of the Re- » publican voters for the presidential | nomination. The remarkable run he made in Illinois and in Ohio, despite the fact that he was defeated by candidates backed by the Republican , State organizations, he holds is evi dence that many of the rank and file believe as he does. On Radio May 28. Senator Borah is to deliver a radio address the night of May 28 in which he plans to set forth his position further. He has given no intimation of what he plans to say. It is ex pected, however, that he will again sound a battle cry against the old guard Republicans. What he will do in the campaign, in the event he himself is not nominated for Presi dent, remains to be seen. It may be that much will depend upon the can didate nominated and the character of the platform adopted in Cleveland. Senator Borah entered the primaries in Wisconsin, New York (for district delegates), Illinois, Pennsylvania, South Dakota. Ohio. West Virginia. Oregon, New Jersey and Nebraska, 10 States. He won in Wisconsin, Oregon, Nebraska, West Virginia and Pennsyl vania. In Illinois he carried the State outside of Cook County—Chicago. His delegate candidates received about 40 per cent of the Republican vote, cast in Ohio. He lost in South Dakota and New Jersey to Gov. Landon of Kansas. Col. Prank Knox had the majority of the ‘ votes in the prefer ence primary in Illinois, and Robert A. Taft, the favorite son candidate, (See BORAH, Page A-12.) BYRNSSAYSCOURT mi IS POSSIBLE FOR DR. TOWNSEND Speaker of House Brands Pension Leader’s “Walk” as “Plain Contempt.” COMMITTEE’S WISHES TO BE GIVEN BACKING 0. A. R. P. Founder, in Baltimore, Says He'd “Rather Go to Jail" Than Resume Testimony. BACKGROUND— When the House agreed to spend tSO,000 of tax money to discover what made the Townsend plan go around, the doctor who perfected the system for giving pensions of $200 a month to all over 60 and his organizer, Robert Clements, said they welcomed the inquiry. Almost at once Clements resigned. He and lesser O. A. R. P. fry were interro gated by the committee on the money-making possibilities of the plan. This week, up until yester day, Townsend himself has been on the stand. BY JOHN C. HENRY. A court trial for Dr. Francis E. Townsend was projected as a possi bility today by Speaker Byrns. who termed the old-age pension advocate's defiance of a House investigating com mittee “a plain case of contempt.” While the investigating group head-! ed by Representative Bell, Democrat, of Missouri planned action to have the House seize Townsend and punish him on a contempt charge, Byrns told reporters: “I expect the House to take what ever action is recommended by the committee.” As Speaker Byrns spoke. Townsend, in Baltimore, said he’d "rather go to jail” than submit to further congres sional investigation of his plan to pay $200 a month to every one past 60. Amid an uproar, the elderly re tired doctor bolted the hearing yes terday, protested against "this com munistic dictatorship in Washington” and established headquarters in a Bal timore hotel. u. a. Attorney ;*iay un case. Alter a conference with the group, headed by Bell, Byrns said he believed that instead of arresting and bringing Townsend before the bar of the House, the committee possibly would offer a resolution referring the case to the United States attorney’s office. This step, he said, would be with a view to having an indictment brought against the physician in District courts, charging Townsend with contempt of the House. Byrns said he did not expect the committee to bring the matter before the House until some time next week Dr. James E. Pope, leader of a rival old-age pension movement, will appear before the Investigating Committee at 2:30 p.m. today. The decision to shift their attention to the Pope plan was announced by the committee in a two-minute ses sion this morning. After .raking ihe announcement the committee recessed. Chairman Bell then told reporters that the matter of Dr. Townsend’s defiance had been “referred to coun sel” for decision as to what contempt action, if any, is to be taken. Sullivan declined comment and Bell refused to make definite that some action would be brought against the recalcitrant witness. Two Courses Open. It is understood that two possibili ties are available In contempt action. In either case the committee would report to the House witli recommen dation that the witness « cited. The House then could decide whether to try the defendant itself or refer the case to the United Stales attorney. Both procedures have been followed in previous cases. Both Sheridan Downey, Townsend’s ' (See TOWNSEND. PagerA-21 BRITISH SECRETARY REPORTED RESIGNED High Colonial Official Linked to Budget Leak Probe—Son Brokerage Employe. Br the Associated Press. LONDON, May 22 —Official and po litical quarters heard rumors late to day that J. H. Thomas, colonial secre tary, had resigned as a result of the British budget leak scandal. The resignation which, it was ru mored, had already been accepted by King Edward, was considered a sensa tional aftermath to the 10-day judicial inquiry in which his name and that of his son, Leslie, were mentioned promi nently. Various witnesses, appearing before the inquiry, testified they had heard Indirectly that friends of Thomas were informed of certain tax increases to be made last month in the government budget for the 1936-37 fiscal year. Leslie Thomas was employed by an insurance brokerage house which was said to have dealt in Insurance against Increases in taxes. The statement of the budget always is guarded carefully previous to its an nouncement in tbe House of Commons by the chancellor of the exchequer. ANDREW SERIOUSLY ILL Condition of Representative Not Critical, Doctor Reports. GLOUCESTER, Mass., May 22 («. —The condition of Representative A. Piatt Andrew, who has been suffering from influenza and high Mood pres sure, was “serious, but not critical,“ his attending physician said today. Dr. Ira B. Hull said a New York blood specialist would some here to day to examine the Representative, who has been ill several weeks. .No visitors have been permitted to •m Andrew for the last lew weeks. i / Folks, looks likeN ( IT'S ALL OVER NOW. I \ E*C£PT the BRICK* J \ THROW INGt_S Improper Spacing Is Held Root of Transportation Evils Utilities Commission Is Opposed to Radical Changes, Believing Serv ice Is Improving Here, This is the sixth of a series of articles on Washington's transpor tation problem. BY JOHN H. CLINE. Improper spacing of busses and street cars, in the opinion of the Public Utilities Commission, is the root of all evils in Washington's mass transportation system. The commission is opposed to any radical change in the modes of mass transportation here, believing that the service has been improving and will continue to improve. "The Capital Transit Co. has enough equipment to carry all passengers in reasonable comfort." Chairman Riley E. Eigen declared. "The company, however, must maintain an even spac ing of vehicles—otherwise broken schedules and crowding will result.” Charged with the duty of requiring the company to furnish a satisfactory standard of service, the commission has issued three important orders ! since the merger of the Capital Trac tion Co. and the Washington Railway and Electric Co. on December 1. 1933. These orders pertained to rerouting, maximum loads and ventilation of busses. The loading or ‘‘standee" order and the ventilation order were novel ex- ! periments in utility regulation, and ! the commission believes they will ! prove of considerable help in improv ing the service. Rerouting, however, has been the j biggest step toward effectuating the 1 primary purpose of the merger—es- ' tabiishment of a unified, co-ordinated, well-planned transit system. This pro “(See TRANSPORTATION, Page ST % To Visit Mother in Hyde Park—Voices Hope Leh man Will Run. President Roosevelt will leave Wash ington tonight for Hyde Park, N. Y., to spend the week end with his 82 year-old mother, Mrs. Sara Delano Roosevelt, who is confined to her bed with a broken hip, suffered in a fall more than a week ago. Despite Mrs. Roosevelt’s advanced age, her physicians do not believe her condition serious. The President, however, is concerned and is anxious to see his mother and talk with her. Mr. Roosevelt will arrive at Hyde Park tomorrow morning, after an overnight train journey, in time to have breakfast at his mother's home. He probably will return to Washington Tuesday. While away, the President is ex pected to give some personal attention to the New York political situation re sulting from the announcement sev eral days ago by Gov. Lehman that he would not be a candidate to suc ceed himself. It is known that Mr. Roosevelt is especially anxious to have Gov. Lehman run again and the im pression is that he will find an oppor tunity during his stay at Hyde Park to go over the matter with the New York executive. Hopes for Reconsideration. Today at his press conference the President said: ‘‘I can re-express my feelings by saying I hope very much that Gov. Lehman will reconsider his determination to not be a candidate, because New York State needs him.” This comment followed a long talk with Edward J. Flynn, secretary of State of New York and Democratic leader of the Bronx. Flynn, after the conference, had told newspaper men Gov.' Lehman would be renominated by the Demo cratic convention next Fall. Without going Into detail, Flynn intimated the popular New York Governor would be drafted if necessary. Mr. Roosevelt also told his press conference today that his contem plated trip to Arkansas and Texas and Vincennes, Ind., In the early part of June appears fairly definite. Speeches Are Scheduled. His plans, which include a speech or two in Arkansas for his old friend. Senator Robinson, Democratic leader, and an address at the Texas Cen tennial celebration at Dallas, and one in Vincennes, were contingent upon the time Congress would ad journ. As the time approaches, the President feels he will be able to get away, If not on June 8. the date originally set, at least a day or two later. The President explained today that if Congress does not succeed in ad journing by June 8 and decides to take three-day recesses until it does adjourn, he feels sure he can get away from Washington long enough to make this trip. While the details have not yet been worked out, the President said he expects to be In Arkansas June 10, Dallas, Tex., June 11, and Fort Worth (Bee ROOSEVELT, ^ac* A-X), BRITON, MU Kristy and MacKay Die as Mercy Plea of London Government Fails. BULLETIN. SAN QUENTIN PRISON. Calif.. May 22 I*5).—Alexander MacKay. a British subject, and Joseph Kristy were hanged together today for their part in a violent prison break. The trap dropped its double bur den at 41* minutes after 10 am. Both were pronounced dead nine minutes later. By the Associated Press. SAN QUENTIN PRISON, Calif., May 22.—The gallows were made ready today for Alexander Mackay and Jos eph Kristy amid an eleventh-hour flurry of effort to break their date with death. The British government's second mercy plea for Mackay, a subject of King Edward VIII, awaited response from the Department of State in Washington, where it was cabled by Foreign Secretary Anthony Eden. Pictured by their attorney as re signed and holding no fear of death, the two prison breakers were scheduled to drop through the trap shortly after 10 a m. (1 p.m., Eastern standard time). The office of Gov. Frank F. Merriam. who may grant as many reprieves as he wishes, but no commutation, was watched closely and attorneys for the doomed men looked eagerly for word from Washington. The Governor, before retiring early today at his Long Beach home, issued a statement, saying: "I see no reason yet to grant a third reprieve to Alexander Mackay and Joseph Kristy, but I am leaving it open until the last minute.” He said he had received several com munications about the case, including (See HANGING, Page 4.) Senator to Be Opposed. CHARLESTON. S. C., May 22 (JP).— In a blistering attack on the Roosevelt administration, Thomas P. Stoney, former mayor of Charleston, formally announced today he would oppose United States Senator James F. Byrnes in the South Carolina Democratic( primary of August 25. P.W.A. POWER PLAN Says Loans Can Be Repaid Only by Taking Business From Firms. By tbc Associated Press. Dean Acheson, attorney for four utility firms, told the District Supreme Court today that the Government's investment in Public Works Adminis tration power projects could be repaid “only by taking business away from private power companies.” Terming the $200,000,000 P. W. A. power program “a process of robbing Peter to pay Paul.” Acheson asked the court to forbid Government financing of 10 municipal electric plants in Alabama, Texas, Oklahoma and Iowa. nc tummeu up evxucxice presexiiea in a three-week injunction hearing by the Alabama Power Co., the Texas Utilities Co., the Oklahoma Utilities Co. and the Iowa Light & Power Co. Decision Due Soon. Chief Justice Alfred A. Wheat an nounced he would hand down a deci sion “within a very few days." He was expected by some to rule on the con stitutionality of the entire P. W. A. electrification program. As Acheson opened his argument, Wheat asked both Government and utility attorneys to discuss three main issues—the constitutionality of the 1935 relief act, the right of the utility companies to bring suit and whether P W. A. has authority to finance local plants. Speaking in a slow, conversational vein. Acheson told the court his clients would lose a total investment of SI.187,000 If the 10 power projects were completed. Denies Cities Could Build. He conceded that all the towns had planned to build municipal electric plants before P. W. A. was established, but argued the plants could never be constructed without Government aid. “These 10 cities were beggars.'* said Acheson. "and it took P. W. A. to make their dreams come true.” The case involves P. W. A. allot ments totaling $2,444,000 to the cities of Decatur. Guntersville. Hartselle, Russellville, Sheffield. Florence and Tuscumbia. all in Alabama; Plainview, Tex.; Hominy, Okla., and Iowa City. Iowa. FIRE CREW FINDS BODY OF WOMAN Mountain Discovery Lacks Iden tification—May Have Been Soaked in Oil. By the Associated Press. CHESTERFIELD, N. H.. May 22 — The charred and broken body of an unidentified woman, apparently slain, Sheriff Frank J. Bennett said, by set ting fire to her oil-soaked body, was found today on lonely Mount Wan tastiquet. A .22-caliber pistol was found a few feet from the body. One shoe, black ened by smoke, and possibly her teeth, Acting Medical Examiner Norris Robertson said, were the only clues to the woman's identity. She apparently was between 20 and 40 years old. If she was shot, the fire had removed all trace of the wound. Forest fire fighters discovered the body, with arms and legs broken, in a wild section about 6 or 7 miles from this village. Bennett said a forest fire which started Wednesday apparently was ignited by the flaming body. The fire fighters came upon the body in a slight depression on the mountain. ROOSEVELT FIRM ON D. C. BUDGET: PERSONAL ACTION IN ROW IS HINTED Held Certain to Reject Any Alternative to Providing $5,700,000 Sum as Fed eral Share in Measure. HOUSE CONFEREES REJECT PROPOSALS Blanton Refuses Flan to Let President Serve as Arbiter. Executive Scoffs at Talk of Funds for Local Government Being Taken From Relief Till. BACKGROUND— The Federal Government's finan cial obligation in contributing toward the support of the District is an issue around which rages an annual congressional fight. This year the battle is so hot there is fear the Capital will get no money at all. for the question of the obli gation is part of the larger matter of the year's appropriation of money to run the government of Washing ton. Center of the dispute over whether the District shall have $2,700,000 or $5.700.000 is Repre sentative Blanton, who comes from Abilene, Tex. President Roosevelt Indicated strongly today that he is going to maintain a firm stand in sup port of his budget recommenda tion that the Federal Govern ment continue paying $5,700,000 as its share of the expense of the District government. Mr. Roosevelt gave this impression at the press conference at the White House today when questioned about the dispute between the Senate and House conferees over the District sup ply bill. The President also gave the im pression he might take a hand per sonally in settling the present im passe rather than have the supply bill fail to pass before adjournment While this is only the impression given by the President, he did make it plain he would not sanction any pro posal to have relief funds under his command allocated to the District Government for its support in the event the appropriation bill does not pass. To Reject Alternatives. There is no mistaking the fact the President would reject any such pro posal. He said, however, that no member of the Senate or House has yet taken the matter up w.th him. Mr. Roosevelt's views were exprcsstd in answer to a direct question as to whether there was any chance of the administration's leaving the District without funds as the result of the dispute between the Senate and House conferees. He replied by saying the District must have money to carry on and the suggestion that the bill can fail an< that he can run the city out of relief funds sounded preposterous to him. While the President did not use the word preposterous, from his tone and expression, it was evident that was his opinion. Attitude on Relief Funds. To amplify his attitude toward such a suggestion, the President stated that the wording of the relief bill certainly does not contemplate running a city of nearly 600.000 people. He added he doubted if he could get by the con troller, even if he attempted such a thing. Meanwhile. House and Senate con ferees marked time following yester day’s session, in which the House (See LUMP SUM, Page 5.) HINDENBURG NEARS COAST OF IRELAND Averages 90 M.P.H.—Expected to Beach German Base at 6 P.M. Today. By tjw Associated Press. BERLIN. May 22 —The Zeppelin Hindenburg. hurrying heme from her second North American visit, vi'e iessed today she was ave'agtrg 90 miles an hour, near the c.iest «f Northern Ireland She was expected to reach her Frankfort-on-Main harbor at mid night (6 p.m. Eastern standard tune). Her course was along *n> regular Northern Atlantic shipping >oute and her commander expected to reach Northern Ireland at 5 p.m. (11 a m. Eastern standard time). The Hindenburg will replace Ihe Graf Zeppelin on its South American trip May 25. resuming the North American service June 19. The Graf will remain in its hangar un.il June 8. Readers* Guide Page. Amusements_ B-17 Answers to Questions_A-10 Comics C-7 Death Notices ..A-12 Editorial J.A-10 Finance .. A-17 Lost and Found .. A-3 News Comment Features A-11 Radio .— C-4 Serial Story_'C-3 Short Story_B-13 Society . B-3-4 Sports_D-l-2-3-4 Washington Wayside— A-2 Women’s Features_C-5-6 k ‘I’d Rather Qo to Jail’ Dr. Townsend, in Striped Pa jamas, Gives Views on House Probers. DR. FRANCIS E. TOWNSEND, As he greeted interviewers in Baltimore today, lounging in bed in gayly-striped pajamas. —Copyright, A. P. Wirephoto. By the Associated Press. Baltimore, May 22. — Dr. Francis E. Townsend asserted today he’d “rather go to jail" than submit to further con gressional inquiry into his old-age revolving pension plan. The elderly California physician, who walked out on the congressional committee probing his plan to give the aged $200-a-month pensions, lounged in bed in gaily-striped pa jamas and said: “If they want to cite me for con tempt 111 go over there and tell them just how much contempt I do have for the whole proceedings. “But I won’t face further investiga tion by the Bell committee and I won’t face an investigation by Con gress itself, or by any group in which there are men of that type. “I’d rather go to jail and spend : the rest of my days there.” No Merger, He Says. He added there would be no coali tion between his movement and the share-our-wealth movement headed by the Rev. Oerald L. K. Smith, for mer chief organizer for the late Huey Long. Rev. Mr. Smith, former foot ball player and a 6-footer, physically fore stalled efforts to stop Dr. Townsend's “walk-out” yesterday and accompan ied him to Baltimore. The husky minister had indicated a desire to join the Townsend organi zation against what he termed “this (See DOCTORrPage-A~-2.) 4 Pupils Refuse Flag Salute, Proving Problem in Oxon Hill Bj * Stan Correspondent ot rbe Star OXON HILL, Md„ May 22.—Four Oxon Hill elementary school pupils who have been refusing to salute the flag have created a problem vexing to county authorities. The children belong to a religious sect known as Jehovah’s Witnesses and decline to pledge allegiance to the flag on the ground that “it is in viola tion of God’s specific commandment.” As a temporary expedient school of ficials have ordered the children to re mains in the auditorium while their fellow students salute the flag at ex ercises in the individual class rooms The children are: Fred Ludke, 12, in the sixth grade; his sister, Anna 1 Louise. 10. in the fifth; his brother, Walter, 8, in the second, and a young er sister, 7, in the first. They reside with their parents on a farm about 2 miles from the school. The father, A. A. Ludke, is employed in the City Post Office in Washington. Mrs. Ludke said today that her chil dren “abide by every law of the land and are in no sense "Reds.” Their scholastic records are good. The mother claims the older chil dren refuse to salute the flag because of their religious training. The younger ones merely follow the ex ample of their elders, she says. Mis. Ludke asserts the children have never Helen Hayes Wins 1936 Medal For Role in “Victoria Resina” By the Associated Press. NEW YORK, May 22 —Helen Hayes, who Is playing the role of Queen Victoria on Broadway in the drama, "Victoria Regina," was announced winner today of the medal awarded annually by the Drama League of New York for the most distinguished performance of the year. The medal, called the Delia Austrian Prize after an early member of Jhe Drama League of America, was awarded last year to Katharine OornelL * * Miss Hayes will receive the medal at the New York League's twentieth an nual luncheon 12:30 E. S. T. today) In the presence of a number of actors. Channlng Pollock will be master of ceremonies. Miss Hayes came to drama from Washington, D. C. Laurence Housman. author of “Vic toria Regina." told Miss Hayes after seeing her In the play several months ago, "you were just like the Queen. God bless her!” The actress is the wife of Charles MacArthur, the writer, and has a 6 yaar-oM daugl^r, Mary.