Evening star. [volume], July 27, 1937, Image 1

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

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83th YEAR. No. 34,055. gra." SSSS.'rg_WASHINGTON, D. C, TUESDAY, JULY 27, ]937-THIRTY-FOUR PAGES. **» K ... .. TWO CENTS.
U. S. MARINES FORTIFY
LEGATION IN PEIPING
AS TENSION INCREASES
*
. — —— —
- Bomb Threat
Is Heard in
Capital.
SECRECY VEILS
TROOP MOVES
Japan Reports 500
Chinese Slain
in Battle.
BACKGROUND—
Tension in North China has in
creased momentarily since "night
maneuvering" Japanese and Chi
nese troops clashed at Marco Polo
Bridge on July 7.
China accused Tokio of seeking
"incident.'' to justify her in taking
over provinces of Hopeh and Chahar
at she took Manchuria. Provinces
icere willing to negotiate peace, but
Nanking central government re
fused to recognize provincial settle
ment. Chinese have been learned
to withdraw troops from battle
zone, with final test of two ulti
matums coming tomorrow.
BILLETIN’.
NANKING, China, July 28
(Wednesday) (/Pi.—Chinese mili
tary headquarters stated early
► today that Japanese forces had
attacked Peiping shortly before
midnight.
By ihe Associated Press.
• PEIPING. July 27— United States
Marines prepared sandbag fortifica
tions for the gates of the International
Legation Quarter this afternoon after
a Japanese ultimatum for evacua
tion of Chinese troops from the tense
region west of Peiping had expired in
an atmosphere of strict Japanese
military secrecy.
The American contingent was as
signed to guard four gates of the
Legation Quarter against any hostili
ties that might break out if China
failed to comply with Japan's de
mands.
Foreign circles seemed alarmed over
* the impending deadline of a second
Japanese ultimatum tomorrow noon,
demanding evacuation of China's 37th
Dl ision troops from Peiping itself.
Meanwhile, the Chinese Central
government, in a sharp statement
generally interpreted as amounting to
rejection of Japanese terms for set
tling the North China dispute, de- i
dared any future developments depend
on Japan.
The statement, issued by the foreign
office, said China had exhausted every
effort for peace with Japan and could
* not accept responsibility for what
happened in North China from
now on.
u cnargea tnat tne Japanese Monn
China Army made an "unprovoked
attack on the Chinese garrison at
Dangfang” and then "presented im
possible demands and staged provoca
tive acts on the outskirts of Peiping."
Bombing Rumor Heard.
It was rumored Japanese military
leaders had threatened to bomb this
ancient capital if China failed to
comply, but other reports declared
Japan had given foreign powers assur- ;
ances the city, with a heavy interna
tional population, would be spared
! such action.
(This dispatch from the Associated
Press correspondent in Peiping, sent
S(Y>n after the Art noon deadline ex
pired. was delayed 10 ’ 2 hours in
reaching New York.)
By midafternoon the legation quar
ter had taken on the aspect of ex
* peered siege. The streets were jammed
with baggage-laden cars and all hotels j
wfrp crowded with foreigners and
wealthy Chinese. Provision stores
were rationing bread and other neces
sities.
There was no confirmation for one
report that Gen. Sung Cheh-yuan, the
Chinese North China warload, had or
dered the 37th Division to withdraw.
Apparently the Sino-Japanese dead
lock held.
Japanese authorities piled sandbag
fortifications around windows and
doors of the Yokohama Specie Bank's
offices, and all police forces of the
foreign quarter were standing by for
. Instant action.
The strictest secrecy also veiled the
actions of Chinese military forces, and
authorities declined to disclose whether
soldiers of the 37th Division had quit
the area west of Peiping, as Japan
demanded. (Unconfirmed reports at
Nanking said China had rejected the
Japanese demands.)
' (Peiping dispatches gave no con
firmation of Japanese reports that 800
Chinese had been “virtually anni
hilated” by Japanese bombing planes
and infantry in a clash 12 miles east
of the ancient capital.)
Semi-Emergency Exists.
A state of semi-emergency existed in
the Peiping legation quarter as thou
sands of Japanese nationals, ordered
to concentration points by their Em
bassy. poured into the crowded section
after being subjected to stem scrutiny.
The British Embassy ldvised all
British women and children to take
. refuge in the quarter against possible
outbreaks, and it was understood the
| German and French Embassies had
taken similar precautions.
The United States Marines arranged
a system of signals—blue and white
flags by day and red and white lights
at night—to summon Americans to
the compound in the event of danger.
American Embassy officials, how
ever, took no precautionary action fur
ther than those under instructions
issued two weeks ago. shortly after the
North China tension arose.
Japanese planes circled low over the
I city while a detachment of 300 Jap
anesa troops reached the embassy to
reinforce the guards on duty there.
The Japanese detachment was
' (See CHINA, Page A-5.) |
. ‘ \
Parker Wins Davis Clip for V. S.
And Budge Completes Rout
Milwaukee V nderdog
Runs Hare Ragged
in Three Sets.
By jhp Associated Press.
WIMBLEDON, England, July 27.—
I Sorrel-topped Don Budge, undefeated
this year, whipped Henry Wilfred
(Bunny i Austin today, 8—6, 3—6,
6—4. 6—3. as the United States com
pleted its rout of Great Britain's Davis
Cup forces and regained the Interna
tional tennis trophy for the first time
since 1927.
Budge's victory came after 21-year
old Frankie Parker of Milwaukee had
clinched the cup with an astonishing
straight-set triumph aver Charles
Edgar Hare. 6—2, 6—4. 6—2. thus
making the final score four victories
for the United States against one for
Great Britain's unsuccessful cup de
fenders.
Great Britain, losing the cup after
holding it since 1933, when France
relinquished its six-year monopoly on
the trophy, could win only one match j
in the challenge round, Austin beat
ing Parker in the opening singles
match Saturday.
Budge's singles triumph over Hare
on Saturday and the doubles victory
i See TENNIS,” Page”A-3.)~ I
FRANK PARKER.
GUARD OFFICERS
SUING FOR PAY
Disbursing Officer Refused
Settlement Because of
‘‘Unofficial Promotions.”
A bloodless civil war between 13 offi
cers of the District National Guard
and Ma.i. James R. Lusby, Guard dis
bursing officer, broke out today after
the officers filed suit in United States
District Court for pay being held up
because of "unofficial promotions."
Approximately $2,500 involved in the
litigation is available, according to
Maj. Lusby. but cannot be paid the
officers until their promotions are rec
ognized by the War Department and
what appears to be a somewhat mud
dled situation is cleared up.
The plaintiffs are Lieut. Col. Walter
W. Burns. 629 F street: Maj. Le Roy
S. Mann. 5447 Thirtieth place: Capt.
James F. Angier, Takoma Park. Md.:
Capt. Anthony B. C. Graves, 224
Cromwell terrace northeast; First
Lieut. James H. Heizer. 433 Evarts
street northeast; First Lieut. Augustus
C. Johnson. Clarendon, Va.: First
Lieut. Theodore W. Lowrie, Relay,
Md., and Second Lieuts. Charles R.
Heig, 1474 Chapin street; John A.
Bartelt, 3525 Davenport street; Charles
P. Reichel, 1106 Oates street north-:
east; George V. Selwin, 707 Jefferson
street: Park F. Anderson. 1301 Fif
teenth street, and Norwood S. Soth- :
ornn In 19 Tu’onttt.firct ctraot
Based on Previous Rank.
The pay sought, however, is based I
on the rank the plaintiffs held prior
to their promotions. Filed yesterday
through Lieuts. Anderson and Soth
oron as attorneys, the suit states the
plaintiffs are officers in the Coast Ar
tillery Corps of the District and mem
bers of the 260th Coast Artillery, Dis
trict National Guard.
It is further stated the officers per
formed training duties under author
ity of the War Department at Fort
Story, Va.. from July 10 to 24, with
the exception of Lieut. Sothoron. who
attended camp from July 10 to 19,
inclusive.
Despite these services, the suit says,
Maj, Lusby, named defendant, has re
fused to pay the officers their regular
compensation. The officers asked the
court for a writ of mandamus to com
pel Maj. Lusby to pay each of the
plaintiffs the pay and allowances
which they are due under the law.
Recognised by Bureau.
The petition for the writ also stales
that the officers have been recognized
by the National Guard Bureau of the
War Department as officers in the
rank for which they are seeking pay.
On July 24, the petition continued,
other members of the 260th Coast
Artillery received pay and that under
the provisions of the national defense
act each of the petitioners is entitled
to pay for his services.
Maj. Lusby said today the services
of the 13 officers were performed
under grades not recognized by the
War Department and that they will
not be paid until such recognition
is forthcoming.
'Technically,” Maj. Lusby added,
"when an officer accepts a promotion
he is no longer entitled to pay for
his former grade.”
*-•
REICH, HARVEST SHORT,
LIMITS USE OF GRAIN
By the Associated Press.
BERLIN, July 27.—Germany fought
a short grain harvest today with an
order forbidding the use of wheat or
rye for anything but bread.
None may be used as animal fodder.
Walter Darre, the Reich commissioner
for agriculture, proclaimed. The de
cree followed a “bread council” be
tween provincial governors and Nazi
party and peasant leaders.
The Third Reich, it was explained,
faces a grain harvest which may be
from 10 to 15 per cent below average.
Henceforth each farmer who pro
duces bread grains must deliver his
whole harvest to the government
market organization, keeping back
only enough to furnish bread for his
pwn family.
I
E
10 OPEN FIDELITY
$1,500,000 Cash Revealed
Available to Pay 30 Per
Cent Dividend.
i
BACKGROUND—
Some 16.000 local investors faced
losses approaching t200.000 when
the controller of the currency an- j
flounced last July IS that the Fidel
ity Building & Loan Association
was being closed and its affairs
placed in the hands of a receiver.
The action uas taken, he said, be
cause of some apparent irregular
ities and losses" disclosed during a
routine examination by agents of
the controller s office.
BY HAROLD B. ROGERS.
Another effort was launched today
to reorganize the Fidelity Building As ]
Loan Asociation. whose *1.500.000 in j
cash is considered sufficient to pay the
16.000 stockholders an immediate divi- :
dend of 30 per cent. This estimate |
came from an unofficial but highly ;
authoritative source.
Despite withdrawal from the "pic
ture" of the First Federal Savings &
Loan Association, it was announced 1
following an important conference of I
Treasury officials and some leading
shareholders at the Fidelity headquar- i
ters that the Treasury still considers
there is a possibility for reorganization.
Furthermore, certain shareholders are
detemined to go ahead in a fresh
effort either to form a new committee
or to attempt to get the First Federal
to re-enter the picture.
Further Negotiation Possible.
Although withdrawal of the First
Federal was formally announced yes
terday in a letter by H. P. Somerville,
its president, there were indications
from others connected with the or
ganization that the door had not for
mally been closed to further negotia
tion.
The basis for new negotiations was
not disclosed. One of the objections
to the Treasury's proposed plan raised
by Somerville in his letter was against
(See FIDELITY ,~Page~A^5.)
IS SEEN IN SENA1E
Anti-Lynching Legislation
Backers Hope to At
tach Rider.
UNION RESPONSIBILITY
MAY BE DEBATE TOPIC
Copeland Fails in Effort to Tack
Lynch Bill on to Train
Limit Measure.
BACKGROUND—
Administration seeks to eliminate
child labor and sweatshop condi
tions in industry through bill now
pending to vest regulatory control
in five-man Labor Standards Board.
Much 0/ industry, particularly from
South, fought bill in hearings.
Senate committee thoroughly re
wrote measure, but House group
has not yet reported.
Bj Ihe Associated Press.
Administration leaders forecast to
day a Senate vote on the wage and
hour bill by Thursday despite new at
tempts to amend it.
Exponents of anti-lvnching legisla
tion said they again would submit the ,
Wagner-Van Nuys bill to the Senate, j
tilts time as a rider to the labor stand- '
ards measure.
Senator Copeland, Democrat, of
New York, submitted the anti-lynching
measure yesterday as an amendment
to the McCarran train limit bill. The
amendment was tabled. 41-34, before
the train bill was passed.
The anti-lynching bill would im
pose penalties on peace officers and
political subdivisions for failure to
protect prisoners from mobs.
Proposals by Senator Vandenberg,
Republican, of Michigan, to increase
responsibility of labor unions through
amendments to the wage-hour bill also
may prolong debate,
Vandenberg drafted the amend
ments originally to make changes in
the national labor relations act.
DU -.1. f:_t _
-- .... ...—.
The Senate took up the wage-hour
measure late yesterday but deferred
debate until today. Chairman Black
of the Senate Labor Committee, co
author of the bill, was to speak first.
The bill would give to a five-man
labor standards board power to fix
minimum wages no higher than 40
cents an hour and a maximum work
week no shorter than 40 hours for |
each industry engaged in Interstate
commerce.
Goods manufactured in violation of !
the boards wage-hour orders and 1
those produced by child labor would
be barred from interstate commerce.
The age limit for children is 16: for
those in hazardous industries, 18.
On the House side Chairman Nor
ton of the Labor Committee said she
hoped to report the bill out late this
week.
Vandenberg's amendments would
forbid unions to coerce workers into
becoming members and prohibit com
pulsory union assessments for political
purposes or strikes called without the
approval of a majority of employes.
They would prevent non-citizens
from serving as union officials and
would permit employers to ask the
National Labor Board for collective
bargaining elections.
Both parties would be required to
tign a written contract, setting forth
the collective bargaining agreement.
Unions guilty of "unfair labor prac
tices” could be forbidden to collect
dues or to serve as bargaining ageuts.
After the anti-lynching bill was
tabled yesterday, several Senators, in
cluding Van Nuys. said they voted to
table Copeland's proposal because they
favor both the anti-lynch and train
limit bills. They said they feared
consideration • of the anti-lynching
issue in the form of a rider would
jeopardize both measures.
Van Nuys called it an effort to
'lynch both bills.”
The Senate Judiciary Committee
recently approved the Wagner-Van
(See WAGE-HOURTPage A-5/)
/^SAY.BILL —
f McCARRANS REALLY
( GOT SOMETHING j
) IN THAT BILL TO (
\ LIMIT THE LENGTH )
' OF FREIGHT /<
TRAINS
/yousAifc^V
/ ITALBEN* A
I THERE DOESNT )
( SEEM TO BE /
ANY EKIDTO r
W \ THIS ONE ! A
Hobart Newman Is Appointed
Police Judge to Succeed Hitt
—- *
Nomination of Justice
Department Lawyer
Sent to Senate.
BY J. RUSSELL YOUNG.
Hobart Newman, a special attorney
in the claims section of the Justice
Department, was appointed by Presi
dent Roosevelt today to be judge of
the Police Court to succeed Judge
Isaac R. Hiit, Republican, whose term
expired more than six months ago.
Newmans nomination was sent to
the Senate by the President, and.
from all indications, will meet with
early confirmation.
When asked if he has any definite ;
program for the past, Newman smil- j
inglv replied:
"I've hardly had time to make any
plans. It's even hard to believe that
this thing has finally gone through."
He did indicate, however, that he
expects to follow what he termed "the
general reorganization" program of
Judges Edward M. Curran and Walter ;
J. Casey and said fie was In accord
with their views.
“I think they have done some good
work during their short time there," ,
he added.
Newman, a native of Washington. I
was admitted to the bar here nine |
Page. Page.
Comics _.B-14-15 Radio _A-ll
Drama _B-16 Serial Story B-10
Editorials .. A-8 Short Story __B-6
Finance A-15 Sports ..-A-12-14
Lost & Found B-10 Society _B-2
Obituary-A-10 Woman's Pg. B-8
FOREIGN.
U. S. Marines fortify legation quarter
at Peiping. Page A-l
Japanese report annihilation of Chi
nese regiment. Page A-l
NATIONAL.
Senate vote on wage-hour bill is seen
by Thursday. Page A-l
Court bill is rushed as key to Congress
adjournment. Page A-l
U. S. regains Davis Cup as Parker
wins. Page A-l
Ford lays firings to “planned ineffi
ciency.” Page A-4
Democrats in red despite sales of cam
paign book. Page A-5
Senator McGill urges farm aid
program. Page A-7
WASHINGTON AND VICINITY.
Fidelity may be reopened under new
plan launched today. Page A-l
Fight over tax bill In conference
forecast. Page A-l
Contributions give care for 100 tuber
cular children at camp. Page A-2
Randall H. Hagner dies in New
York. Page A-2
Congress takes increasing interest in
painters’ strike. Page A-2
Rankin charges Labor Board with be
ing "communistic.” Page A-2
Group of Senate freshmen prepare to
fight adjournment. Page A-4
Corcoran opens exhibition of 16th cen
tury masterpieces. Page A-4
Driver cleared in traffic death of Frank
W. Dowling. Page B-l
B
*
Summary of Today’s Star
House to pass main D. C. bills,
Palmisano says. Page B-l
D. C. reorganizing bill would cut city
jobs by 1,000. Page B-l
Daring bandit robs bank-bound clerk
of $200 on street. Page B-l
Change is sought in school hours as
safety move. Page B-l
EDITORIALS AND COMMENT.
Editorials. Page A-8
This and That. Page A-8
Political Mill. Page A-8
Stars, Men and Atoms. Page A-8
Answers to Questions. Page A-8
David Lawrence. Page A-9
H. R. Baukhage. Page A-9
Jay Franklin. Page A-9
Mark Sullivan. Page A-t
Delia Pynchon. Page A-9
SPORTS.
Chisox, loop’s “hottest" club, test
Griffmen. Page A-12
Di Maggio hailed by Mack as coming
homer king. Page A-12
Dempsey would tax ring deadheads to
aid needy. Page A-13
Frye fires 74 per cent ringers in tour
ney prelim. Page A-13
Rippy, Oliver! D. C. muny golf title
hopes. Page A-14
Melvin Tarpley rated potential park
net champ. Page A-14
MISCELLANY.
Young Washington Page A-10
Shipping news. Page A-16
Traffic convictions. Page A-16
Vital statistics. Page A-16
Service orders. Page A-16
City news in brief. Page A-16
Dorothy Dix. Page B-8
Betsy Caswell. Page B-8
Nature's Children. Page B-14
Cross-word Puzsle. Page B-14
Bedtime Storiea. Page B-15
Letter-Out. ^ge B-15
HOBART NEWMAN.
—Star Staff Photo.
years ago. He is 34 and received his
law degree in 1928 at National Uni
versity Law School.
_He is the son Oi Enon Newman, for
(See’ NEWMAN. Page ~A-3 >
Board Asks Employers and
Employes to Name Rep
resentatives.
BACKGROUND—
Minimum wage legislation in Dis
trict dates back to World War dags,
when Congress passed law govern
ing wages of women here. Mini
mum Wage Board functioned under
this law until 1923, when Supreme
Court ruled such legislation invalid.
Law remained dormant until sur
prise reversal of ruling by Supreme
Court this Spring, resulting in re
vival of act and appointment of
new board.
Taking It* first step toward fixing
minimum wages for approximately
20.000 women employed In local retail
stores, the Minimum Wage Board to
day called upon employers and em
ployes to nominate candidates to
represent them at a wage-fixing con
ference.
Both employers 'and employes were
urged to nominate nine candidates
each, from whom the board will elect
three persons to represent each group
at the conference. The board in turn
will nominate nine persons to repre
sent the general public, and from this
group will elect three to participate
In the conference.
The board asked employer* to nom
inate their representatives not later
than August 15. Woman employes
will meet August 4 at the Depart
mental Auditorium, on Constitution
avenue, to map out procedure for
naming their nominees at a subse
quent meeting.
Co-operation of retail merchants in
announcing the meeting of employes
was urged by the board.
The nine persons selected from the
27 nominees to represent employers,
employes and the general public will
hold hearings and conduct Investiga
tions before recommending to the
board the amount of the minimum
wage to be paid in the retail mercan
tile industry.
The Bureau of the Census has re
ported that there are 4,815 retail es
tablishments In the District employ
ing 32,000 persons, of whom 20,000 are
women.
The Minimum Wage Board, how
ever, has the names of only 2,000 em
ployers, according to Miss Owen
Oeach, executive secretary. She urged
all retail employers who failed to get
the notices mailed today to communi
cate immediately with the board so
they can be kept informed of its ac
tivities.
-•
Fortune Is Claimed.
PERTH, West Australia, July 27
f/P).—Mrs. Annie Houston of Mel
bourne advanced a claim today to the
estimated $25,000,000 estate left by the
late Lady Robert Houa^ji.
ACTION ON COURT
Senate Committee Holds Up
Vote to Approve Re
ceivership Bill.
BACKGROUND—
Presidential proposal for reor
ganization of Federal judiciary has
been greatest obstacle to Congress
doing anything else during past
six months and is now serving same
purpose with regard to adjourn
ment. In face of opposition, ad
ministration forces consented to
curtailment of measure’s scope, and
Judiciary Committee is expected to
report out bill with relatively few
controversial features.
Bs the Associated Press.
The Senate Judiciary Committee in
terrupted its consideration of a new
court bill today to approve unani
mously a bill by Senator Borah. Re
publican, of Idaho, to regulate re
ceivership and bankruptcy fees.
The Borah measure would prohibit
interested parties in receivership,
bankruptcy or reorganization proceed
ings from agreeing on fees and would
forbid judges to approve fees resulting
from'such agreement.
Violators would be subject to a fine
of $10,000 or five years in jail, or both.
Court Bill Progressing.
Chairman Ashurst said the commit
tee was making rapid progress with
the new court bill and could complete
approval of the measure later today.
Talk of adjournment, meanwhile, in
creased. Pew Senators forecast an
adjournment date further away than
(See COURT. Page A-C)
CUTS LINE’S TRADE
Slump Forces Eastern Air to
Abandon 6 Daily Trips,
Menaces Whole Service.
BACKGROUND—
For 10 years the airport Question
has been a chronic public issue
here. It was dormant this year
until three weeks ago. when a group
of pilots declared they would no
longer land at Hoover-Washmgton
Airport on the ground it was too
dangerous. A commission of ex
perts then suggested Camp Springs,
Md . as a good site. Other experts
complained Camp Springs was too
far away. The debate pricked Con
gress into action.
Because of unfavorable publicity in
the Washington airport situation, it
has been necessary for Eastern Air
Lines to abandon six of its round-trip
schedules between Washington and
New York and the whole local service
between the two cities is threatened.
Capt. Edward V. Rickenbacker, World
War ace and general manager of the
line, told the House Military Affairs
Committee today.
Rickenbacker said passenger travel
between Washington and New York
has been falling off steadily since
airline pilots on July 6 delivered an
ultimatum in which they declared
Washington Airport was unsafe and
announced their intention of refusing
to fly unless conditions are improved.
Rickenbacker. appearing before the:
committee in support of the May bill,
which would close Military road and
permit the use of Arlington Farm and
the Boundary Channel lagoon to en-1
large the airport, said the whole i
Eastern Air Lines training schedule
and expansion program has been
threatened as a result of the airport
agitation here.
It probably will be necessary to dis
charge pilots and personnel who are '
being trained on the Washington-New :
York “merry-go-round,” he said.
Eastern Air Lines has been operating ■
15 round trips between Washington J
and New York and five additional
trips to points farther South, making
20 round-trip schedules a day between
the two cities.
May Bill Only Hope.
Before Rickenbacker testified, Rep
resentative Nichols of Oklahoma, a
member of the District Airport Com
mission, told the committee the only
hope for solution of the airport prob
lem lies in enactment of the May bill.
“Washington Airport is the only
thing in the way of an airport available
for the District at this time or for some
years to come,” Nichols said. “I have
given up hope of seeing any public air
port built for the District in the imme
diate future. Washington Airport is
operating and serving a positive need.
But it is dangerous and this bill offers
the only means of eliminating the
hazards.”
Nichols denounced the stand taken
by Arlington County in connection
with the closing of Military road. He
said the offer of the airport manage
ment to spent $25,000 to construct a
substitute rood is “more than fair.”
“What is the interest of Arlington
County?” Nichols asked. “Military
road was built by the United States
(See "AIRPORT,~Page A-3.)
CONFERENCE FAGS
Work on Court Bill Delays
Meeting on D. C.
Measure.
'/ECONOMIC STRESS”
FEARED BY COMMITTEE
City Heads Told They Should Cut
Levy Next Year if Collections
Exceed Expectations.
BACKGROUND—
With District facing deficit of
some S7,000,000 in present fiscal
year, Congress has decided to im
pose added taxes on residents of
Capital rather than increase Fed
eral contribution.
House and Senate have passed
two widely divergent hills, with
major compromise probably neces
sary on both sides as conferees at
tempt reconciliation of differences.
While the time of the next meeting
of House and Senate conferees on the
District tax bill was uncertain because
of other obligations of conference com
mittee members, the District Commis
sioners were warned today by a com
mittee from the Board of Trade that
any increase in tax burden bv more
than $8,000,000 during-the present
fiscal year would result in “severe
economic stress."
The committee called on the Com
missioners while they were considering
provisions of the local tax bill pend
ing in conference on Capitol Hill,
which would levy increased taxes to
taling approximately $12,000,000. The
Commissioners were preparing to ap
pear before the congressional confer
ence committee and urge elimination
and reduction of some of the proposed
new levies.
The time of the conference was
uncertain early this afternoon, how
ever. because three of the Senate
group were working on the judiciary
reorganization bill for which the Sen
ate is waiting impatiently. Chairman
King of the District Committee said
he would attempt to arrange the tax
conference for late this afternoon,
but if not successful will plan to hat#
it tomorrow,
Committee Displays Chart.
The Board of Trade committee laid
before the Commissioners a chart
showing how $8 500.000 could be
raised through new and increased
taxes.
"If. after due care, more money Is
raised than is expected under the new
revenue measure." the committee told
the city heads, “the Commissioners
should forthwith take steps looletng to
a reduction in the tax burden next
year, rather than to bring appropria
tions up to a level which might b«
created through greater revenue col*
lections than is expected."
The Board of Trade representatives
submited the following table to show
the Commissioners how sufficient new
revenue could be raised.
Estimated
Tax. yield.
Business privilege (3-10ths
of 1 per cent t _$3,000.00(1
Automobile weight _ 1.500.000
Insurance _ 200,000
Estate and inheritance (ex
cluding revenue from Dies
amendment i _ . 800,000
Tangible, real and personal
property (20 cent in
crease i _ . 2.500.000
Collection of personal tax
increase _ 500,000
Total .$8,500,000
Chart of Sources Submitted.
The committee submitted a second
chart listing 16 sources which would
be subject to the business privilege
tax and which have taxable gross re
ceipts totaling $970,876,000. Heading
the list was retail business, with prod*
ucts estimated to be worth $330,813.*
000, and wholesale business with prod
ucts estimated to be worth $242,729.
Lowest revenue-producing units listed
on the chart were radio stations, with
an estimated annual income of $740.
000 from the sale of time. The com
mittee estimated that local physicians
have a grass income of $15,000,000,
which would be taxable under provi
sions of the business privilege levy,
while dentists, lawyers and miscel
laneous professions have a $50,000,
000 annual taxable income.
The committee emphasized to thp
Commissioners its belief that thp com
munity should be allowed timp to ad
just itself to the drastic revenup in
creases demanded under the current
(See d7c7TAXES,""Page’ A^5.)
■--—• .— —
D. C. COACH, ACTOR
SAVE CAMERAMAN
Leo Carillo and Roy Baker, Red
skins Pros' Assistant Mentor,
Dive for Dietz.
By the Associated Press.
SEATTLE. July 27—Actor Ieo
Carillo and Roy Baker, formpr South
ern California foot ball star, were
credited today with saving Camerman
William Dietz from drowning.
While taking scenes for "The Bar*
rier" Dietz entered the rapids of a
stream near here in a boat rowed by
Baker, now’ a coach of the Washing
ton, D. C., professional foot ball team.
The boat overturned and a whirl
ing log knocked Dietz unconscious.
Baker dived after him. Carillo jumped
into the stream from a set nearby
and between them they pulled the
cameraman to shore.
Baker, who for several seasons has
been assistant coach and trainer of
the Washington Redskins, professional
foot ball team, is a Southern Cali
fornia backfleld star of a decade ago
and works during the off season as a
physical trainer for Warner Bros.
First National.
25 % Boost in D. C. Water Rate
Retroactive—Users Must Pay
The 25 per cent increase in water
rates ordered by Congress effective
July 1 has been made retroactive, and
District consumers will be forced to
pay $389,000 extra for water consumed
during the last fiscal year, it was dis
closed at the District Building today.
Date of the compilation of water
bills, rather than the period during
which the water was consumed, should
be used as the basis for applying the
increase, District Auditor Daniel Dono
van has instructed Edward H. Orove,
water registrar.
Donovan pointed out that when Con
gress ordered a 25 per cent decrease in
water rates, effective July 1, 1934, the
Commissioners decided that all bills
sent out after that date should carry
the reduced rate. As a result some
consumers obtained benefits of the re
duction for 11 months to that date.
The same consumers now will be forced
to pay the increase for 11 months
prior to July 1 of this year, Groves
said. A
*
Congress removed the 25 per cent
water rate decrease provision in the
current appropriation bill with the
result that rates returned to the base
fixed on July 1. 1930.
Groves pointed out that each section
of the city is assigned a different
“year” for taxing purposes by the wa
ter department. Bills are now being
sent to consumers in the Northwest
"county section.” which embraces the
area north of Florida avenue, for the
year extending from April 30, 1936,
until April 30. 1937. The 25 per cent
reduction has been applied to all these
bills because they should have been
in the hands of consumers by July 1.
Groves explained. He said the reduc
tion, however, would not apply to wa
ter consumed in May and June of this
year by those consumers.
Large business establishments,
which are billed quarterly, will be
charged the increased rate for water
used during the three months ending
June 30 of this j^ar, Groves said.