Evening star. [volume], June 09, 1937, Page A-11, Image 11

About Evening star. [volume] (Washington, D.C.) 1854-1972

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Mr. Roosevelt,
Mr. Morgan
Their Views on Tax
Avoidance Coincide,
Observer Contends.
BY DAVID LAWRENCE.
IT ISN'T often that President Roose
velt and J. P. Morgan agree on
Questions of public policy, but
after examining the President's
Utterances and those of the veteran
financier this week, one is forced to
the conclusion that their minds are
pretty wen in
agreement on the
all - important
point, namely,
that a man is
justified in com
plying with the
letter of the law
and avoiding
taxes.
Mr. Roosevelt
was asked by the
press correspond
ents for his views
on the matter of
taxation by the
States of the sal
aries of Federal
David Lawrence.
officials and he said he tnougnt fed
eral employes ought to pay such taxes,
but that because of the precedents of
constitutional law they didn't pay
»uch taxes.
Likewise, the President pointed out
that he didn’t believe in tax-exempt
securities, but here, too, there would
have to be a constitutional change in
order to get rid of the exemptions.
What the President probably had in
mind was that States and cities could
not be compelled except by constitu
tional amendment to stop issuing se
curities expmpt from Federal taxa
tion, but, of course, it doesn't require
any constitutional amendment to
cause federally issued securities here
after to eliminate the tax exemption
feature.
What the President contends, of
course, is that as long as there is no
constitutional amendment forbidding
the States to issue tax-exempt securi
ties, the Federal Government feels
compelled to avail itself of tax ex
emption as a comparative inducement
In the sale of its own bonds.
Affirms Morgan s Mana.
In other words, Mr. Roosevelt af
firmed the principle that nobody is
compelled to pay taxes that are not
set forth in the laws of the land.
This is the way J. P. Morgan ex
pressed it in a newspaper interview:
"Anybody's justified in doing any
thing as long as the law doesn't say
It's wrong."
Now if 'Ey chance this is an erroneous
Interpretation of the President's view,
either as it relates to the payment of
taxes on income from tax-exempt se
curities held by Government officials
rr as it relates to the payment of
taxes to their home States by Federal
officials on their salaries, then the
question really arises from a moral
viewpoint:
Should a Federal official, in view of
the President's pronouncement that
it. is morally wrong to practice tax
avoidance, pay taxes anyhow, even
Chough he knows there's a loophole in
constitutional law?
Every Federal official and every per
son who holds tax-exempt securities
must answer the query for himself.
It so happens that there ts in the
Treasury Department a certain ac
count known as "the conscience
fund." Into it are paid annually
thousands of dollars by persons who
think they really owe the Government
something they previously didn't pay.
Example or Hypocrisy.
If President Roosevelt himself feels
that Federal officials should pay taxes
to their State governments, even
though they are protected by a loop
hole in constitutional lav.’ from the
legal necessity of doing so, he can
set an example by offering to pay
to the State of New York a tax on
his Federal salary, or he can pay into
the “conscience fund” of the Treas
ury taxes on any tax-free bonds that
happen to be a part of the estate
from which he derives an income.
There is, however, little likelihood
that any such move will be sponsored
by the administration because the
truth is that almost everybody inside
the New Deal believes in tax avoid
ance just as much as does J. P. Mor
gan, and the whole episode is just
another example of the hypocrisy
which is to be found in the constantly
maintained atmosphere of politics in
the National Capital. Nearly every
thing hereabouts is considered from
the angle of politics. Govcrnment-by
headline is the rule rather than the
exception, and explains many of the
presidential utterances that seek the
front pages. Thus far Mr. Roosevelt
has proved himself an expert in win
ning headlines, especially in the in
terviews and messages intensifying
class warfare precipitated by the
use of the taxing power to redistribute
wealth, a policy originally sponsored
by the late Senator Huey Long of
Louisiana.
-•
YACHT TO BE READY
FOR ROOSEVELT CRUISE
Chartering of Sewanna by Presi
dent’s Son Forecasts Trip Along
Eastern Seaboard.
Prospects are that President Roose
velt will take some sailing cruises
this Summer aboard the two-masted
achooner yacht Sewanna, the sturdy
craft in which he sailed up the New
England coast last Summer for a
brief vacation at his mother's Sum
mer home on Campobello Island, New
Brunswick.
The Sewanna has been chartered
by James Roosevelt, the President's
eldest son and a member of his sec
retariat, who is understood to have
made arrangements to keep the
achooner at Annapolis. It is thought
likely the President on some of his
week-end water excursions will go out
to come point in Chesapeake Bay and
then transfer from the presidential
yacht Potomac to the Sewanna to
insure the thrill of handling the
helm and acting as skipper for a sail
on these broad waters. There also is
a possibility the President later on
may again take the Sewanna up the
Atlantic Coast to Campobello.
CLUB TO HOLD PICNIC
The anual picnic of the Insurance
Women's Club of Washington will be
held in Rock Creek Park Saturday.
Members will meet at the home of
the club president, Miss Betty Gib
bon, 1531 Park road, from where
transportation to the picnic grounds
will be provided.
* <
What’s Back of It All
Spain Recalls Envoy for Parley Which May Effect
Prosecution of War.
BY H. R. BAVKHAGE.
DON FERNANDO DE LOS RIOS, Ambassador of the Spanish Re
public and gentle, black-bearded intellectual who is a disciple in
word and deed of "vital democracy,” turns homeward today.
It is, he assures us, "hasta la vista” and not "adios," for he
has been called to a conference in Valencia with most of his republic’s other
foreign representatives.
The official purpose of the meeting is to obtain a first-hand
report of world sentiment toward the battling nation.
What is not officially announced and, in fact, is hardly whispered,
is the possible effect of this report on the prosecution of the war. If the
report goes as some preliminary Indications seems to signify, the reins may
be tightened on the generals. “Show force” but don’t use it; conduct a de
fensive rather than offensive campaign—may be the orders of the day.
* * * *
There is nothing to indicate
that the battle which De los Rios
has been conducting here has gone
against him—like his colleagues
elsewhere, he is fighting for moral
support. The favor of neutral
countries is as important to loyalist
Spain as the support of Mussolini
and Hitler are to Gen. Franco.
Of course, when they are try
ing to be as neutral as the United
States is these days, no belligerent's
job is made any easier.
» *
It seems to be the age of professors.
Senor de los Rios is, by profession, an educator. He has been rector of
the University of Madrid, lecturing also in many foreign countries, including
the United States. He was called to help write the new republic's laws in
the cortes, later becoming a member of the cabinet. He has had a strange
experience, an experience which proves the fundamental truth that lies
behind all myth and folk-lore.
Like Pygmalion, like Frankenstein, he has seen the product
of his genius leap into life. Not the work of cold marble, nor the
anthro-mechanical monster, recently seen as through a film, darkly.
Prof, de los Rios' creature was the spoken and printed word.
' Either a vital democracy or an historical tragedy,” he told his students,
must be the inevitable result of the process of history. He sees that phrase
live in all its torment today.
Don Fernando has helped to create what he believes is a ‘‘vital
democracy” in a land enchained beyond her time with the fetters of
another era
Revolution rose to destroy the citadel. The "historical tragedy”
was foreshadowed: the Spanish scene achieved its "world dimension."
That sums up the De los Rios philosophy.
* * * *
"The whole psychology of fascism,” the Ambassador explains, "is
fear of vital liberty.”
All "liberal" goiernments are by no means "democratic," he
points out. and his black brows rise. Nations write the precepts of
liberty into their pronunciamentos and shout them from the
rostrum. But when principles become practices, the frightened
citizens often rush to the arms of a Mussolini or Hitler.
Sitting in the Embassy's formal reception room, almost in the depths
of a great divan, the "vitality" of which the Ambassador speaks gradually
nows into ms wnoie personality.
He Is not simply the professor
turned diplomat.
He does more than expound or
defend. He marches forward, car
rying sword and banner for a liv
ing cause.
* * * *
Don Fernando's Spanish ac
cent is marked. But the pro
fundity of his learning is evident.
I His vocabulary is wide, expressive,
picturesque.
^ sure.
* l C'^-T
^YOO
WE.OAv'E
k PU^TV OP
I MfcN.tTG
i Know, ne says with the emphatic gesture and convincing assurance
, that he believes what he says, “we have plenty of men. I know they are
trained.''
He does not say it. he doesn't even imply it. But recalling what
he does say about the “world dimension” of the Spanish battlefield
gives weight to the. reports that perhaps a decisive military victory
is not desired, at least until the sentiment in certain countries can
be changed.
The implication is that “Liberals" not as “vitally democratic" as the
Spanish Republic find an out-and-out Loyalist victory distasteful, and as
dangerous to them as a triumph of the friends of Italy and Germany.
For partisans might openly intervene on the part of the loser. A draw
might be settled diplomatically.
(Copyright, IPS?. by the North American Newspaper Alliance. Inc i
| PATRIOT LAW PASSED
—--- —
Requires Students to Pledge Al
legiance to Flag Daily,
! SPRINGFIELD, 111., June 9 (/?)—
Over objections that it constituted
"compulsory patriotism.” the House
of Representatives today passed. 81
j to 18, a bill requiring that public
school students pledge allegiance to
the flag each school day.
Sponsored by Representative John
A. Pelka. Chicago Republican, the
bill provides that each school room
must have a flag.
AIR GUNS OUTLAWED
B B's and Powerful Pistols Ban
ned in Gotham.
NEW YORK, June 9 (&).—Mayor
La Guardia signed New York City’s
new "Sullivan law" yesterday, for
bidding the sale or possession even of
air or spring guns, except in licensed
amusement places and rifle and pistol
ranges.
The law strikes at Bobby's B B gun
as well as at the $10 and $15 high
powered air pistols which have be
come popular in recent months.
CTHE opinions of the writers on this page are their own, not
x necessarily The Star’s. Such opinions are presented in
The Star’s effort to give all sides of questions of interest to its
readers, although such opinions may be contradictory among
themselves and directly opposed to The Star’s.
Hitler Over New Orleans
Police Seize Strange Books to be Classed as
Communistic Propaganda.
BY DOROTHY THOMPSON.
I WONDER sometimes why I be
come upset about persecutions,
suppressions, invasions of private
rights, book-burnings, interference
with liberty of conscience, arbitrary
police actions and censorship in Italy,
Germany and Russia, when I read
what goes on in
my own country.
The New Orleans
police have just
raided a book
store In that city,
and carried off
armfuls of litera
ture, which they
decided was
"c o m m u nlstic.”
They have lodged
it in the prop
erty custodian's
offices, and that’s
that.
Like a great
many self - ap
Dorothy Thompson,
poimea censors, vney tuspmy a iiiuic
than average high rate of illiteracy,
because if they could read and write
it would be difficult to find any grounds
for this wholesale, unconstitutional,
idiotic and arbitrary confiscation of
property, without due process of law.
or even without due process of ordinary !
cerebration.
The books carted out of the shop
include the following: "Green Mar
gins,” a novel by E. P. O'Donnell It
is a Literary Guild book, and won an
award from a publisher, Houghton,
Miflin of Boston. It deals with people,
mostly of French descent, who are
trappers and fishermen. "Stubborn
Roots," a novel by Elma Godchaux.
The author is a member of a famous
French-Jewish family, who have lived
in Louisiana for over a hundred years
as large sugar planters and refiners,
and are people of wealth and culture.
The novel concerns life on a Louisiana
sugar plantation.
Book on Brandeis Seised.
A favorable biography of Justice
Brandeis was also seized as red propa
ganda. Since Justic" Brandeis is one
of the greatest living defenders of
the small capitalists and the wide
spread distribution of private property,
this particular seizure has a quite
charming irony about it. Charles
Beard's classic American history, "The
Rise of American Civilization," was
also considered dangerous literature by
the scholarly New' Orleans police.
Ernst Henri's "Hitler Over Russia”
was confiscated. M. Henri Is a Com
munist. His book Is anti-Fascist
from a Communist standpoint. This
column does not agree with the in
terpretation of fascism which M.
Henri's book sets forth. But it sug
gests that some indignant author
ought, to write a book right now
called "Hitler Over New Orleans."
Paul de Kruif. well known as a
writer for the bolshevistic Ladies’
Home Journal and glorifier of our
, great men of science, was consid
| cred to be making dangerous propa
ganda in his book. "Men Against
Death.” Aldous Huxley's "More Sim
ple Science” also was seized. So
were works of Upton Sinclair, John
Dos Passos, Emil Ludwig. Grace
Lumpkin and Henri Barbusse. The
New Orleans police certainly have
catholic tastes.
Such Censors!
And this gallant defense of the
New Orleans public against corrup
i tion from the literate, this protec
; tion of the citizenry from Paul de
Kruif and Aldous Huxley, is carried
i out by a government whose corrup
tion, Cynicism and dishonesty is a
scandal of American life. New Or
leans is as corrupt as, or morp cor
rupt than, it was in Huey Long's days.
It is recking with gambling, prosti
i tution, slot machines and gang rule,
and private business with nolitical
racketeering everywhere goes hand
in hand. A gang without a moral in
a carload presumes to supervise the
private reading matter of the public
in the interests of the public mor
ality.
And, incidentally, while the Gov.
ernment is getting worked up about
tax evasions on the part of the rich,
how about reopening the income tax
cases against some of Huey's old
gang, who are still riding high? The
cases against them were quietly
dropped when the gang, which under
Huey had been fighting the admin
istration in Washington, kissed and
made up with it after Huey's death,
tdopyrlght, 1937.)
-+ - „
COLUMBUS U. TO GIVE
DIPLOMAS TO 250
Record-Breaking Class to Be
Graduated Tonight in Con
tinental Hall.
A record-breaking group of more
than 250 students in law and ac
countancy will be graduated from
Columbus University tonight in Me
morial Continental Hall.
Diplomas to the class, the thir
teenth to be graduated from the in
stitution, will be presented by Dr.
John R. Fitzpatrick, dean of the Law
School, and James D. Cushman, dean
of the School of Accountancy.
William G. Feely, member of the
Board of Trustees, will give the prin
cipal address, with George E. Her
ring, chairman of the board, presid
ing. The invocation will be delivered
by Right Rev. Msgr. Francis High
land, secretary to the apostolic dele
gate.
Prizes for excellence in debating
under the auspices of the Pi Chi
Sorority, legal society, will be awarded
Miss Mary Rase Walker and Miss
Mary J. Kelly, freshmen. First prize
of $30 for debates conducted by the
School of Accountancy will be award
ed to the team of Miss Mary Repetti
and Francis Grimes, freshmen. The
second prize will be awarded to George
Loving, teamed with William Parker,
seniors in the School of Accountancy.
RED CROSS CHAPTER
HEARS FOOD SECRETS
Women of Many Nations Compare
Recipes at luncheon Meeting
Here.
The cooking secrets of many na
tions were compared today at a
luncheon of the District Chapter,
American Red Cross, and the Ameri
canization School of the District in
the local Red Cross Chapter House,
1730 E street.
Recipes of the favorite dishes of
their native lands were revealed by
women from Italy. Germany, Eng
land, Greece. Norway, Russia, Switz
erland. Holland, Belgium, France and
Estonia.
One of the most succulent dishes
was a fish pudding prepared by Mrs.
Hildur Bettum. formerly of Norway,
who attended the luncheon in native
costume.
The food and nutrition class was
organized by Miss Dorothy J. Don
nally of the Americanization School
for a group of women who have ap
plied for United States citizenship
papers. Mrs. William G. Finn, the
class instructor, is a student of home
economics and a graduate of the
towa State Agricultural College.
This Changing World
Germany Working to Consolidate Its Political Posi
tions With Balkan Nations "Just in Case.”
BY CONSTANTINE BROWN.
The guns have been silent for a week and it is likely that they will re
main so—except in Spain—for another little while.
In the meantime Foreign Secretary von Neurath 1s proceeding to
Belgrade, Sofia and Budapest in an endeavor to consolidate the Reich's
political position in the Balkans, in the event of “something breaking out.”
With these three countries lined up around the Berlin-Rome axis, the Reich
need not worry about food and certain raw materials. Rumania, still
hesitant, will either be left in the air or will by necessity mount the band
wagon. ,
The rulers of the Balkan states are being told that the Mussolini
Hitler combination is unbeatable. That it does not want war but
it stands /or an equitable readjustment o) the war treaties. The
Communist scare is played up lor all it's worth.
The Southeastern European states are more'afraid of communism in
general and Russia in particular than are the others. And since they are
all convinced that if war comes it will be directed against the Soviets, they
gladly hop on the German-Italian bandwagon.
* * * a.
The display of naval force
staged by Mussolini on the occasion
of the visit of Field Marshal Blom
berg has improsaed not only the
German war leader but other ob
servers who were all prepared to
say hooey to the Italian navy.
Parades mean mighty little in
actual warfare. The worst armies
and navies in the world can put up
a good show when they are told
they must show what they can do.
But according to neutral observers the gunnery of the Italian
ships, the correctness of their movements in a narrow stretch of sea
where some 150 units were maneuvering proved that the post-war
nai'y of II Duce is more than a parade navy.
* * * *
There were many—about 75—submarines; there were new and old
cruisers and brand-new destroyers. Until the contrary is proved in an
actual battle, the opinion of the foreign observers is that the Italian navy
could hold its own against any reputable navy.
* * * *
This brings bark the memory of a report of the French general stafT of
some five years ago. The French war department sent military observers
during some minor maneuvers of the Italians in Libya. They were, as
soldiers, enthusiastic over the performance of the colonial troops—native
and metropolitan. They were particularly full of praise for the organiza
tion of the Italian commissariat and road service.
The French reported that it would be a mistake to compare
the Italian troops of the World War with the new soldiers of II
Duce. This situation was, of course, overlooked when the Ethiopian
campaign started. At that time the wish was father to the thought
and the same general staff officers predicted the defeat of the
Italian expeditionary force.
Naval observers are now of the opinion that the navy has made as
much progress as the army and in the event of another world conflagration
the Italian armed forces must be reckoned with.
★ * * *
Thp reason there are so many conflicting views about the prospects
of another conflagration is that the official observers—diplomat*, etc.—
are taking literally the assurances given by the high officials of the countries
to which they are accredited and discount the general feeling of the man
in the street. The ordinary observer mixes with the common people and
gets a much more gloomy slant on the European situation than the diplomat
who has contacts with either officials or people close to them.
* * * *
This does not mean that our diplomats are "cooky pushers" whose
chief objective in life is to attend
tea and cocktail parties and social
gatherings. The new type of
American diplomat—there are still
a number of exceptions—is a hard
working man who takes his job
L seriously. The young generation is
anxious to get the truth and the
rich man type lias a tendency to
k disappear. Of course, ambassador
ships are still handed out to heavy
contributors to the party chest;
mrj ncijueiuiy rpgaiQ ineir joos in me ngnt oi tne tun
' or publicity back home they can get out of them. Hence, a number of
unjustified "undiplomatic" speeches and statements.
But even that tradition that only a rich man can be an ambas
sador of the United States in a foreign country begins to disappear,
* * * *
Many a poor man can manage to live almost anywhere in the world
on $18,000 a year. The State Department is gradually discovering that
brains and energy for a high ranking diplomat are greater assets than an
unlimited amount of cash. And under the new conditions which prevail
all over the world, when social functions are becoming less important,
when government heads have even a smaller income than the pay of an
American ambassador, there is really no reason why a man should not
be sent to an Important embassy because he has not “at least $40,000
a year" on and above his salary.
GREETERS PLAN CRUISE
Annual ‘‘Show Boat-’ to Sail
Monday Night.
The second annual "show boat"
cruise of the local Hotel Greeters’
Association will be held Monday night j
aboard the excursion steamer City
j of Washington.
Elaborate plans are being made for
a floor show by Frank Orbello. pro
gram chairman, who has just re
turned from New York, where he
i booked some well-known entertainers.
C. J. Cook, president of the asso
-— .
f I
ON DRAUGHT—IN BOTTLES
* “ o*l^
f IN COPPER-COLORED
_KSgLJNIP
CANS
3 RINGS never fail to bring a feeling of great
satisfaction. When you see them, you can be
sure they mark the place where you'll find
America’s finest ale and beer. Call for Ballan.
tine's, and make the 3 rings yourself, as Peter
Ballantine did in 18401 He tested his brews 3
ways —one drink to fudge PURITY ... a
second for BODY... a third for FLAVOR. The
3 moisture rings left by his glass, as he made
the test, became his trademark. Look for the
3 rings of quality, then ask for “Ballantlne'sl"
AMERICA’S FINEST SINCE 1840
i
■pM^ It s a good place that offers you m
B&llantineIs
Copr., igJ7. P. Ballantine k Soos, Newark, N. J.
\ 1
ALE &
elation, Is In charge of arrangements
for the excursion.
Headline Folk
and What
They Do
Dr. Kopetzky Advocates
Socialized Medicine.
Once Was Foe.
TODAY'S No. X oddity in the
news is the advocacy of so
cialized medicine by one of its
foes of long standing. At the
Atlantic City convention of the Amer
ican Medical Association Dr. Samuel
J. Kopetzky, distinguished New York
physician and surgeon, Introduces a
resolution recognizing the principle
‘‘that the health of the people is the
direct concern of government” and
urging the formulation of a national
health policy, "directed toward all
groups of the population.” Informed
appraisals of this proceeding construe
it as a long step in the direction of
socialized medicine.
Dr. Kopetzky was engaged last year
in a public controversy with Mayor
La Guardia in which he disputed the
Mayor's charge of maladministration
in medical relief. On May 23, 1938,
he was quoted as saying:
Even if his (the Mayor's! charges
are unfounded, the warning against
State medicine stands, for thi Mayor's
outburst is a foretaste of what may
be expected if medical practice cornea
under bureaucratic control.”
Dr. Kopetzky is a former president
of the New' York Medical Society, has
been editor of the Medical Week sines
i it was established in 1920 and is
speaker of the house of delegates of
the New York State Medical Society.
In 1934 he was made a member of
the French Legion of Honor in rec
ognition of his collaboration with
French medical research. He haa
been for many years a leader in ex
pounding basic medical policies. Ha
has vigorously opposed the great
foundations as "undermining the eco
nomic stability of the medical pro
fession.”
Dr. Kopetzky was born in New
York City in 1876, took his medical
degree at the Manhattan Eye and Ear
Hospital and did post-graduate work
in Berlin. He is active in Jewish
philanthropic and cultural move
ments. He was a colene! in the Med
ical Corps in the World W'ar, cited
for gallantry in the Argonne.
For the last few months this writer's
desk has been engulfed by attacks on
socialized medicine from official or
quasi-official sources. A prominent
j New York physician was asked about
| this apparent change of base by many
; doctors.
"Like everybody these days, they
i have the governmental jitters." he
| said. "They propose to start some
j thing rational and controllable them
selves before the politicians plaster
: on them their own ideas of what
! ought to be done. The idea seems to
be ‘if you can’t lick 'em, join 'em.”’
MINNESOTANS TO SAIL
Members of the Minnesota State So
ciety and the University of Minne
sota Alumni Association will hold a
' moonlight cruise on board the ex
cursion steamer Potomac, which sails
from the Seventh street wharf at
8 30 p.m. tomorrow.
A seven-piece orchestra will pro
j vide dance music. Tickets can be
j secured at the boat or from officers
j of either organization. Members of
I Congress from Minnesota are expect
j ed to attend.
FRENCH. shrinercurnER
fat COOL &kiect
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