Evening star. [volume], September 26, 1937, Page A-8, Image 8

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

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Dewey Sends Aide by Plane
With Copy of Warrant
for Extradition.
By the Associated Press.
NEW YORK, September 2b.—
Prosecutor Thomas E. Dewey sped an
assistant by plane to Los Angeles to
night with a certified copy of a war
rant for the extradition of Max Sil
verman, held here, with bail set at a
quarter of a million dollars, as a fugi
tive from the searching inquiries the
special prosecutor has made Into New
York's rackets.
A Dewey investigator trailed Silver
man to his palatial West Coast home
and made an’arrest within two days
after he reached Los Angeles.
Two detectives flew to Los Angeles
this morning with warrants to clinch
the arrest.
Indictment Drafted.
Three assistants worked tonight
drafting an indictment which will be
offered a special rackets grand jury
Monday, an indictment charging 10
felony counts against Silverman as a
conspirator to wreck the business of
bakers and to do bodily injury to bak
ers who refused to comply with price
schedules in the sale of cakes, pies
and Jewish holiday pastries.
Dewey grand juries without excep
tion have voted the indictments he
asked. A copy of any indictment
voted will be rushed to Los Angeles
to support the extradition request
next Friday.
But Silverman, in a county jail cell,
voiced willingness to return to New
York ‘'voluntarily, to straighten out
anything that appears to be worrying
them. They won't need extradition
papers. I have nothing to fear."
Other Activities Questioned.
He left New York 21 months ago.
Besides the connection Dewey lays to
him in the bakery racket, he is wanted
here by Dewey for questioning ia
phases of the flour trucking, garment
and restaurant rackets.
He also was indicted in Brooklyn on
a charge of conspiracy to obstruct
justice by hampering an inquiry into
the murder of Samuel Drukman, a
trucker.
The present Dewey warrant charged
him with a misdemeanor for alleged
activity in the bakery racket. Among
those already convicted in that racket
was Harold Silverman, a son of the
fugitive.
. -
OFFERS ALLOWANCE
McLaughlin Gives Plans Pending
Former Irene Castle's Suit.
CHICAGO, September 25 (/Pj.—At
torney Frederick Burnham said tonight
Maj. Frederic McLaughlin would
offer a temporary allowance to his
wife, Mrs. Irene Castle McLaughlin,
former dancing star, who filed suit
this week for a divorce.
Burnham said McLaughlin, owner
of tlfe Chicago Blackhawk Hockey
Club and president of a coffee import
ing agency, would accept legal service
in the suit Monday.
The attorney said his client would
file an answer denying his wife's
charges of cruelty.
Tax Cut
(Continued From First Page.)
ft budget, it is recalled, can be met
next year if Congress continues, in
one form or another, the $9,000,000
hike in taxes invoked for the present
year.
‘‘Severe Repercussion.'’
“This organization feels strongly the
need of reducing taxes rather than
entering into large capital expendi
tures with their resulting maintenance
and operating expenses,” the board
statement said. “Analysis of the tax ■
burdens of the concerns surveyed j
shows strongly that the community ;
is rapidly reaching a point where
the tax burden on local business and
private individuals will reflect a severe
economic repercussion.
"It is impossible that the people
of the District—and business in
particular—can continue to meet in
creases of 44 per cent, year after
year, or even smaller amounts.”
Reporting that its analysis of the in
dividual tax returns from the ques- !
tionnaires showed some "astonishing” ]
figures for group businesses, the trade
body said:
"One concern paid an increase in
Federal tax of 1.157 per cent, another
846 per cent, another 487 per cent and
another 426 per cent. While income
tax returns played a part in these in
creases, the social security, old-age
pension and Federal unemployment
taxes represent more than 90 per cent
of this jump. Federal taxes paid by
these concerns in 1936 amounted to
approximately $542,000. The amount
to be paid in 1937 will be $776,523 or
an increase of $234,523, which also
represents an increase of 44 per cent.
One Finn's Levies Up 340 Per Cent.
"In the field of local taxes the jump
has also been great, one firm having
an increase of 340 per cent, another
267 per cent, another 244 per cent,
another of 106 per cent and another
Of 329 per cent.
"The local taxes causing the great
est increase are the real estate, Dis
trict of Columbia unemployment and
the business privilege. The business
privilege fax is, of course, a new levy
of considerable proportion, which the
survey shows is not only a burdensome
measure, but in some instances almost
confiscatory. It is particularly so in
the case of the food wholesalers, whose !
taxes have in most instances trebled '
by reason of the business privilege tax
largely because they handle perish
able commodities and therefore have
to make rapid daily turnovers of their
stock.
"Of particular interest to the con
sumer is the fact that 25 per cent
of the firms surveyed operated at a
loas in 1936 and paid no income tax
at all; approximately 25 per cent
also will pay less income tax in 1937
than they did in 1936. This, of course,
indicates that their net profit is de
creasing rapidly. Obviously, there
fore. the burden of paying this in
creased taxation must be passed on
to the consumer if the majority of
businesses are to continue to operate.
Consumer Is Burdened.
Thus the consumer—who in the
majority of instances pays taxes him
self, and in a large portion of the
cases comes under the business privi
lege tax—not only has the increased
burden of his own taxation to carry,
but the increase which comes from
higher cost of living through taxes
passed on through various commodi
ties.”
As an actual example of what Is
happening, the trade body reported
the results of a study made for it by
the Graphic Arts Association of Wash
ington of the accounts of a local
printing establishment. This showed
that in 1936 the concern had a net
profit of $1,886 from a business in
volving net sales of $100,000, and
that this year $100,000 of business
would bring a net return of but $1,089.
Important in this calculation is
the note that the concern would not
have to pay any business privilege tax
since the tangible personal property
tax of $577—which may be deducted
from the business privilege tax bill—
is more than the gross receipts tax on
a $100,000 business. In spite of this
the firm's tax bill this year would
total $2,231 as against $1,434 last
year.
Virginia Governor Really Can Smile
When the Richmond News-Leader printed an Associated Press picture (above) showing Gov.
George Peery with serious mein and pursed Ijps as he stood beside President Roosevelt in Wash
ington last week the caption read “What’s the Matter, Governor?" Whereupon the Governor
asked for another sitting and demonstrated there are lots of smiles in his system.
_____ —Copyright, A. P. Wirephoto.
JEWS’NOMINATIONS
Name of Percy Straus Erroneous
ly Included in ‘Greatest’ List.
CHICAGO. September 25 (/P).—An
Associated Press story naming "the
120 greatest living Jews,',’ compiled in
a poll by the Ivrim, Jewish honor
society, erroneously included the name
of Percy Selden Straus among seven
nominees who have died since the
original compilation.
Mr. Straus, president of R. H.
Macy & Co. of New York, is alive.
The Ivrim's announcement identified
him as former United States Ambas
sador to France, confusing him with
Jesse Isidor Straus, the former Am
bassador, who died last October 4.
A spokesman for the Ivrim said to
day they had intended to name Jesse
Isidor Straus.
Msgr. Guilday to Speak.
Msgr. Peter Guilday, director of the
the first Fall meeting of the Irish
history department of Catholic Uni
versity, will be principal speaker at
History Study Club to be held next
Sunday at 8 p.m. at the home of
Mrs. Nellie B. Kelser, 1500 Newton
street northeast. A musical program
and buffet supper will follow the pro
gram.
Fight for Equality in Control
of Program Pledged
Official.
The voice of the American city
ought to be as loud as the voice of
the Federal Government in developing
the new $526,000,000 slum-clearance
and housing program, Langdon Post,
president of the American Federa
tion of Housing Authorities, said yes
terday.
"We want equality between the
Federal ■ Government and the cities.”
Post, here for a convention of the
federation, told the press, "and the
housing authorities for those cities
are going to be fighting for that
equality.”
Denies Fight With Ickes.
Post hastened to add that he had
never had a "fight'’ with Secretary
Ickes. whose P. W. A. Housing Divi
sion was in charge of the $225,000,
00 housing program of the past three
years and under whose Interior De
partment the Wagner law places the
new United States Housing Authority.
"We have had honest differences
of opinion,” Post said of Ickes, “but
no man has done more than he for
low-rent housing.”
Regrets Delay in Work.
However, Post expressed his im
patience at the failure to name an
administrator for the U. S. H. A. a
month after the law creating it be
came effective.
“A month makes a lot of differ
ence.” he said. "Weeks count. There
are people in Flint and Pontiac and
Detroit, Mich., and in parts of Ohio
living in tents because there isn't
adequate housing. And steel produc
tion in Birmingham. Ala., is down be
cause there aren't enough houses for
the workers the mills need.”
IT. S. Firms Leave Mexico.
Because of new registration require
ments. several American companies
are leaving Mexico.
ACCUSED TRIO RESIGN
CLARKSBURG’S COUNCIL
Three of Six Under Bond on Brib
ery Charges Quit—Places
Are Filled.
By the Associated Press.
CLARKSBURG. W. Va. September
25.—Three of Clarksburg's six city
councilmen, under bond in bribery
charges, resigned tonight, two days
in advance of scheduled impeachment
proceedings.
Their places were immediately filled
at a special meeting. All were Demo
crats.
James P. Garnette was elected to
succeed Ray E. Titchenal, Dr. E. E.
Prather to succeed Thomas P. Corn
well and L. E. Shingleton to succeed
Joe A. Oliverio.
Prank O'Day, M. B. Criss and Frank
Underwood, the others who were"" ar
rested after State Trooper C. E. Mus
grave charged demands of $1,500 each
had Jjeen made In connection with
the city garbage disposal contract,
did not resign.
Unless there are further develop
ments, these three will appear before
Circuit Judge Homer Strosnider Mon
day in the impeachment action.
All six are under bond awaiting
grand jury action.
CHARRED BODY FOUND
Corpge of Woman Discovered in
Burning Auto.
Firemen battling a blaze in a pile
of old automobiles in a junk yard in
the rear of the 2200 block of Eighth
street early today discovered the
charred body of a woman.
Residents of the neighborhood said
they believed the body was that of , a
colored woman who. they said, fre
quently slept in the abandoned auto
mobiles. Cause of the fire, which was
brought under control in half an hour,
was not determined.
Hospitality Room to Open.
The hospitality room of the Jewish
Community Center will be opened offi
cially Wednesday, the Service Council
of the center. 4621 Ninth street, an
nounced today. Miss Sophie Caplan
has been appointed chairman of the
room or the season.
W. H. ROUSE DIES:
VIRGINIA OFFICIAL
Unemployment Compensa
tion Board Member Was
Once Mayor of Bristol.
By the Associated Press.
RICHMOND, Va„ September 26
(Sunday).—W. H. Rouse, a member
of the Virginia Unemployment Com
pensation Commission, died at 12:30
am. today in the Johnston-Wlllis
Hospital after a brief illness.
Rouse, 62, was a Bristol attorney
and one-time Mayor of the city before
becoming a member of the Unemploy
ment Compensation Commission. He
was appointed by Gov. Peery In De
cember, 1936.
Surviving are his widow, Mrs. Trula
Hicks Rouse of Bristol, and one son
by a former marriage, Franklin Rouse
of Nashville, Tenn. They were at
the bedside when he died.
He had received treatment for a
gall bladder ailment and other com
plications which developed into pneu
monia.
The commissioner was born in Chil
hcwie, Va.
Admitted to the Virginia bar in
1901, Rouse turned to the teaching
of English at King College from that
year until 1903 and then established
himself- In the practice of law at
Bristol, where he became city attor
ney in 1905. He was elected Mayor
of the city in June, 1919.
In 1928 he was the Democratic
candidate for Congress from the ninth
Virginia district, but ^vas defeated
by a narrow margin in the Hoover
landslide.
FLOWER SHOW TODAY
Slig# Park Hills Club Exhibiting
at Jesup Blair House.
SLIGO PARK HILLS, Md„ Septem
ber 25 (Special).—Plans have been
completed for the second annual flower
show of Sligo Park Hills Garden Club
tomorrow from 3 to 7 p.m. at Jesup
Blair Community House.
The show is open to all amateur
gardeners and members of nearby
garden clubs, who must file their en
tries not later than noon tomorrow.
Mrs. E. K. Nelson is chairman of the
Committee on Arrangements, assisted
by Mrs. I. A Denison, Mrs. Gilbert H.
Wiley, Paul Stelgner and Delar
Kimble.
Phillips Ends
# Week of Talks
On Financing
Progress Mode in Plan
to Tax A liens and Con
trol “Hot” Money.
Sir Frederick Phillips, undersecre
tary of the British exchequer, yester
day concluded a week of conferences
with Treasury officials dealing with
the problems of the taxing of aliens
and the control of ••hot" money, or
Investment funds shifting from one
country to another as the result of
economic or political conditions.
Although Treasury officials preferred
to confine comment on the conversa
tions to the assertion that they had
been "enlightening." but that no defi
nite program agreed upon, it was
learned that considerable progress has
been made. Virtual agreement has
been reached, it is understood, for an
arrangement by which the two gov
ernments will exchange income tax
data deemed helpful to both, and the
Treasury is said to be sounding out
France, Belgium and Holland on a
similar arrangement,
Roswell Magill, Undersecretary of
thev Treasury; Wayne C. Taylor, As
sistant Secretary of the Treasury, and
William M. Butterworth, second secre
tary of the American Embassy in Lon
don, participated in the conferences.
(Copyright, 1937.)
Poland has had no woman literary
critic for years.
To Seek Bridge Honors
Mrs. Daisy Mott of the Chevy Chase Apartments, winner in
two bridge tournaments and runner-up in two others within
the last two months, is shown above with George J. Kennedy
of New York, with whom she will be paired in the District and
the national bridge championships to be played at the Shore
ham Hotel this Full. Mrs. Mott and Kennedy won the open pair
event in the tri-State championship bridge tournament at the
Summit Hotel, near Uniontown, Pa., last week, and are playing
in the Pennsylvania State championships at the Warwick, phila
delphia, this iveek end. —Star Staff Photo.
FORT WAYNE BISHOP
WILL SPEAK TONIGHT
Most Rev. John F. Noll's Topic,
“Collective Catholic Action,”
Will Keynote Convention.
Most Rev. John P. Knoll. Catholic
Bishop of Port Wayne, Ind., willI
speak on "Collective Catholic Action”
as the keynote address at an open
meeting tonight in connection with
the seventeenth annual convention of i
the National Council of Catholic
Women. The meeting Is to be held at!
the Mayflower Hotel.
Miss Katherine R. Williams of Mil
waukee, national president of the
council, will preside. Miss Mildred
Merrick of Chevy Chase will wel
come visiting delegates, with Mrs.
Thomas E. Ward of Oklahoma City
scheduled to respond for the visitors.
Right Rev. Msgr. Michael J. Ready,
general secretary of the National
Catholic Welfare Conference, will de
liver a memorial address to Right Rev.
Msgr. John J. Burke, first general
secretary, who died in 1926.
The choristers of Immaculate Con
ception Boys' School will feature the j
musical program tonight.
J. R. DAVIES TO SPEAK
Republican Women to Hear Party
Leader Oct. 4.
John R. Davies of New York, presi
dent of the National Republican Club,
will address the first meeting of the
League of Republican Women*Mon
day, October 4. at the Mayflower
Hotel. Mme. Cantaeuzene, who will
preside, urged members of the league
to attend with their friends.
Rose Expert Is Dead.
ALBANY, N. Y., September 25
MY—Dr. Jean Henri Nicolas of New
ark, N. Y„ known to flower lovers of
America and Europe for his research
in roses, died of a heart attack in
his hotel here today. He was 62.
and was on a tour of rose gardens
when stricken.
ROSE TROPHY OFFERED
Growers of Area May Now Com
pete for Nicholson Bowl.
Rose growers of Washington and
ne&rby Maryland and Virginia coun
ties will have their first opportunity
next week to compete for the Nichol- j
son Perpetual Challenge Bowl, award
ed each year by the American Rose
Society to an American or Canadian
grower.
The Potomac Rose Society was
I chosen as this year's recipient of the
trophy for its Fall rose show’ opening
October 9 in the New National Mu
seum.
First donated in 1925 by R. A.
Nicholson of Victoria. British Colum
bia, the bowl has been won by growers
in California, Oregon, New’ York, and
Canada. It is now on exhibition at
1212 F street.
District Winners to Be Given
Free Entry in National
Championships.
Winners of the four championship
events in the seventh annual District
bridge tournament, to be played at
the Shoreham Hotel October 7-10,
will be awarded free entry in the cor
responding event of the national
championships to be held at the
Shoreham November 29-December 5,
it was announced yesterday.
> These awards will be in addition
to the regular trophies and the trophy
replicas for permanent possession of
the winners. They will not be trans
ferable and will lapse if not used by
the District champions.
The four events of the District
tournament in which the winners will
receive free entry into the national
events are the W'omen's pair, mixed
pair, open pair and team of four
championships. There are two other
events in the tournament for inter
mediate players. One of these will
be for The Evening Star Trophy. The
final event will be two separate games,
in which the winner will receive a $0
credit and the runner-up a $3 credit
toward the entry fee in any event of
the national tournament. These
awards were made in appreciation of
the honor of the eleventh national
contract bridge championships being
held here, for the first time south of
the Mason and Dixon line.
The District championships preced
ing the national tournament will be
conducted by the Washington Bridge
League. As in previons years, Rus
sell J. Baldwin, Cleveland, will be the
tournament director. Lewis R. Wat
son. jr.. has been named chairman
of the Tournament Committee and
Mrs. E. B. Swanson vice chairman. *
Other committee members sfre Mrs.
C. B Penr.ebaker, Mrs. Marian Barre,
Miss Frances Skelly, J. D. Granger,
Roy Asteleford, E. B. Swanson. J H.
Lemon, W. M. McIntyre, William
Cheeks and Lewis Tubbs.
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