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Evening star. [volume] (Washington, D.C.) 1854-1972, February 11, 1938, Image 1

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WEATHER.
|U. 8. Weather Bureau Forecast.*
Cloudy, with snow or rain tonight; to
morrow cloudy and warmer, preceded by
rain: minimum temperature tonight about
32. Temperatures today—Highest, 37, at
midnight; lowest. 28, at 1 p.m.; 29 at 3
p.m. Full report on page A-2.
Closing New York Markets, Page 16
The only evening paper
in Washington with the
Associated Press News
and Wirephoto Services.
Meant Aitociated Pratt.
86th YEAR. No. 64,254.
- ■ ■—
WASHINGTON. D. C., FRIDAY, FEBRUARY 11, 1938-FORTY-EIGHT PAGES.
Entered as second class matter rn rT7)T^Tp /"-T^X^rpo
post office, Washington. D. C. 1 JillJLCj lo.
. PLANS FOR BIGGER
FLEET DISCLOSED
4
Vinson Wants Navy Ade
quate to Protect Both
Coasts at Once.
“FUNDAMENTAL” POLICY,
CHAIRMAN DECLARES
* _____
Hagood Charges National Defense
Made "Political Football"
by Congress' Neglect.
BACKGROUND—
On January 28. President Roose
I'elt informed Congress efforts to
establish peace throughout the
world were bringing little result.
Assuring that continuance of such
efforts would be first thought, he.
recommended that, forces of na
tional defense be strengthened.
, meanwhile, by $800.000.000 of naval
building. Navy spokesmen support,
proposal, but peace advocates this
week have, been highly critical.
B» thp Associated Press
Chairman Vinson fold the Home
Naval Committee today he would try
to amend the pending S800.000.000
naval expansion bill so as to author
ise a fleet big enough to protect the
Atlantic and Pacific Coasts at the
fame time.
Representative Vinson made public
the text of an amendment he had
prepared which would declare it to
. be "the fundamental naval policy" of
this country to maintain a fleet ade
quate to defend boih roasts and all
insular possessions. It also would pro
vide that the Navy should b' ". uffi
cient in strength to guarantee our
national security, but not for sg.res
tlon."
The proposal, which evoked both
criticism and approval in the com
mittee. went into a record replete witn
testimony by Admiral William D.
Leahy, chief of naval operations,
that the fleet now is inadequate 10
. defend the Pacific and Atlantic Coasts
from simultaneous attacks.
Charges “Political Football."
Representative Vinson made known
his plans during interrogation of Maj.
Gen. Johnson Hagood, retired Army
officer, who told the committee this
country’s national defense and se
curity "is being made the football of
politics" because Congress had ne
glected its duties to make the rules ;
and regulations for the land and
naval forces.
• Mr. Vinson's amendment defined
adequate naval defense as "not on!v
the protection of our continental coast
line, the Canal Zone. Alaska. Hawaii
and our insular possessions, but al-o
a defense that will keep any potential
enemy away from our shores."
Asserting the United Stales “looks
with apprehension and disfavor" on
naval building throughout the world,
the amendment declared:
• “In the event of international
agreement for the further limitations
of naval armament, to which the
United States is signatory, the Presi
dent is hereby authorized and em-,
powered to suspend so murh of its
naval construction as liar, been au
thorized as may be necessary to bring
♦ he naval armament of the United
States within the limitations as
agreed upon." '
A stipulation was included, how
ever. which would exclude from the
limitation provisions vessels actually
under construction.
Says Congress Neglectful.
Gen. Hagood, whose retirement fol
lowed his temporary suspension by
President Roosevelt for criticism of
some administration policies, said that
Congress for the last 100 years had
been "neglectful" of the duly imposed
on it by the Constitution to make the
rules for regulation of the Army and
Navy.
He said that, for the past 100
years, it had let this power "drift
more and more into the hands of
thp Executive."
, "The result of it is." he said, “that
no one today knows for what purpose
the land and naval forces are to be
used.”
Refuse to Call Kroek.
Gen. Hagood testified on the pro
posed $800,000,000 naval expansion
shortly after the committee had re
fused. 14 to 2. to call Arthur Krock,
Washington correspondent of the New
York Times, to testify who had "ex
pertly informed" him the United States
and British Fleets would "automati
. rally” co-operate in the Pacific should
thp occasion demand.
Gen. Hagood. questioned as to
what constitutes national policy, said
he had been trying to find out.
“I’ve commanded three field armies
and all the troops in the Philippine
(See DEFENSE, Page A-3.)
Twin Sisters, 5,
Forced to Pass
Off Bogus Bills
Bt the Associated Press.
TUCUMCARI, N. Mex., Feb. 11 —
How a modern ' Svengali" used his
pretty, 5-year-old twin daughters as
innocent "fronts" for a counterfeit
bill-passing scheme was disclosed by
United States Secret Service agents
here today.
The "Svengali,” they said, was
» Charles L. Baker, ex-convict who
pleaded guilty to counterfeiting charges
m Denver yesterday after he had been
arrested for trying to pass bogus bills
at Trinidad, Colo.
The agents said Baker had passed
many spurious bills in Texas and New
Mexico by sending the girls, Wilma
and Velma, into stores for small pur
, chases. His downfall came, they said,
when he attempted to work without
them.
The girls were known as model
school pupils. The agents said there
wa* no question they had ‘‘simply been
imposed upon and used” by their
father and that no action would be
taken against them.
*
■ ■ — —— in.—.i ■"■i ■■ ■ ■ ——mm
j British A.A.A. Votes
To Boycott Olympics
Set for Tokio in ’40
By the Associated Press.
CHELMSFORD, England, Feb.
11—The General Committee of
the British A. A. A. today passed
by unanimous vote a resolution
against Britain attending the 1940
Olympics in Tokio.
H. F. Pash, member of the com
mittee, expressed hope the United
States %nd other countries would
follow the British lead.
"It isn’t a question of politics,
as some people think, but a mat
ter of humanity and fair play,”
Pash said. "What has happened
in China has set the feelings of
all lovers of sport against those
responsible.
"I am very glad to find the
resolution passed unanimously
that in the event the Olympic
games arc held in Tokio in 1940
they should not receive the sup
port of Britisth competitors."
SYDNEY. Feb. 11 </P>.—The
British Empire Games Federation
placed on record its disinclina
tion to participate in Olympic
games proposed to be held in any
country at war.
Rumanian Dictator to Rule
Without Parliament for
Time Being.
BACKGROUND—
Octavian Goga was named Ru
manian premier about six weeks
ago. after government of George
i Tatarescu had failed to obtain suf
ficient support at polls. Intense
drive against Jews has been ear
ned on since then, draicivo warn
ings from several powers that mi
norities treaties signed at end of
war must be respected.
By the Associated Press.
BUCHAREST. Rumania, Feb-. 11.—
A new government with dictatorial
powers governed Rumania today, com- .
missioned by King Carol to restore
confidence shaken by the six-week ad
ministration of the anti-Semitic Pre
mier Octavian Goga.
Sixty-eight-year-old Dr. Miron
Cristca, patriarch of the Rumanian
Orthodox Church, is the new premier
and he will rule without a parliament'
by decree until a new constitution is
promulgated.
He acted quickly upon taking the '
oath of fealty to the King with four
sweeping decrees which:
1. Named military garrison com- i
mandants of large cities as prefects of
their districts.
2. Made nation-wide a “state of
siege." by which persons charged with
serious crimes may be tried before
military court. (Bucharest and other
larger cities have been under such1
•'siege" for a number of years.)
3. Postponed indefinitely Chamber .
and Senate elections, set for March.
4. Ordered higher officials of vil
lages to call assemblies for the naming
of mayors and two assistants to each :
mayor.
Much Authority in Army.
As the new government took form ;
it became apparent the King and his
new premier had concentrated much
authority in the army and some circles j
described the new regime as "a semi- |
military dictatorship.”
The army was given the right of j
search and control of a tightened!
press censorship, under which news- !
papers were not permitted to publish
photographs of political leaders nor
anything conceming foreign affairs
except official statements.
Army control, however, was not ab
solute. and the police and gendarmerie ■
remained under direction of the in- I
terior ministry.
Business generally received the new
government with evident relief. Gov
ernment bonds rose 2 to 3 points and
the stock market turned upward.
The new cabinet, which met at the
palace throughout the night, went at
noon to the patriarch premier's pal
ace and then in a body to the Cathe
dral to pray.
The decree naming military com
mandants as prefects placed the na
tion's civil administration under mili
tary control. Telegrams from the pre
mier's office authorized the com
mandants to assume the prefectural
duties and to “preserve order.”
The hand of the King was evident
in every move of the new government,
(See BUCHAREST,
PRESIDENT VISIONS
500,000 INCREASE
IN RELIEF ROLLS
Acting W. P. A. Head Ex
presses Roosevelt View as
Appropriation Answer.
TELLS HOUSE GROUP
OF EXTRA FUND NEED
Unemployment Declared Spotty
and Not Necessarily Confined
to Industrial Centers.
Bj thf Associaied Press.
Aubrey Williams, acting administra
tor of the Works Progress Administra
tion. said today President Roosevelt’s
request to Congress for an additional
$250,000,000 emergency relief appro
priation contemplated an immediate
increase of 500.000 persons on the
relief rolls.
Mr. Williams made this statement
to reporters just before explaining to
the House Appropriations Committee
the President’s request for extra relief
money.
If this appropriation is approved,"
Mr. Williams said, “we will be able
to add a necessary 500.000 persons to
the present total and we'll not have
to discharge another 450.000 we other
1 wise would have to fire."
1.950,000 on Rolls Now.
The President, in transmitting his
request for the funds to Congress yes
terday, said 1,950,000 persons cur
rently were on the rolls.
Mr. Williams said unemployment
conditions were “generally spotty” and
remarked: “It is not quite accurate to
say that the need is primarily in in
dustrial centers.”
Many members of Congress agreed
| that a supplementary appropriation
was justified by recent gains in un
! emolovment, while others demanded
information why the original *1,500.
000,000 fund was not made to last a
full year, until next June 30.
If the Appropriations Committee
approves the $250,000,000 fund quickly
the House will debate it next Tuesday.
Roost to Be Asked.
Democratic Leader Barkley pre
dicted Senate acceptance of the
measure immediately after the House
passes it.
Nevertheless, administration chief
tains found indications of some trouble
: ahead.
Senator King. Democrat, of Utah,
asserted, for instance, that he would
vote against the extra fund because
j the original $1,500,000,000 “would be
sufficient if properly allocated and
widely and economically expended.”
Some House members, in contrast,
were discussing the chances of boost
ing the appropriation to as much as
$500,000,000. Representatives of the
Workers’ Alliance of America asked
Mr. Roosevelt to set the figure at
$550,000,000.
-•
NEW JOB FOR WEST
IN R. F. C. EXPECTED
Indications Given That White
House Contact Man Will Get
Another Post.
-i ilie Associated Press
Responsible authorities indicated to
day the administration expects to find
a new job for Charles West in the
Reconstruction Finance Corp. when j
he leaves his present position as Un- !
dersecretary of the Interior.
Mr. West and Secretary of Interior i
Ickes, whose relations have been re- |
ported none too friendly for many
months, recently came to an open
break when the Secretary deprived
Mr. West of all his office force except
a receptionist.
The Undersecretary has been active
as White House contact man with
Congress.
President Roosevelt was asked at his
press conference about reports that
Mr. West would be appointed con
troller of the currency to succeed
J. F. T. O’Connor if the latter enters
the race for the California governor
ship.
The President replied that he had
no news of that.
Elsewhere in the Capital, however,
administration officials said that while
there was no prospect of Mr. West’s
becoming controller, the present plan
was to find a spot for him in the R. F. C.
Summary of Today's Star
Page. Page.
Amusements B-16 Radio .C-4
Comics -C-8-9 Serial Story.B-I9
Editorial.A-8 Society ..B-3
Finance ..A-15 Sports_C-l-2
Lost*Found C-4 Woman’s Pg...C-3
Obituary_A-10
FOREIGN.
Arctic storm destroys ice campers’
shelter. Page A-l
Repairing damage by Goga first job of
Rumanian chief. Page A-l
Soviets reported refusing China large
scale aid. Page A-4
Manchukuo seeks help of American
capital. page g.g
Reich attributes wave of rumors to
Polish-Jewish sources. Page A-5
NATIONAL.
Court grants temporary injunction
against Coal Commission. Page A-l
Guffey offers plan to outlaw' sit-down
strikes by seamen. Page A-l
Approval of Jackson nomination faces
delay. Page A-l
W. P. A. quizzed on $250,000,000 fund
Increase asked. Page A-l
Naval expansion bill vote awaits dead
line of Japan’s reply. Page A-l
Cummings gives Senate group "hot oil”
case reports. Page A-2
State medicine and U. S. subsidies hit
by ©r. Fishbein. • PageA-12
New R. F. c. unit may lend $211,000,
000 in housing drive. Page A-1C
WASHINGTON AND FICINITT.
Sponsor sees death of D. C. income tax
proposal. Page A-l
I 4
Chinese waiter again arrested in Soo
•laying. Page A-5
Autopsy shows death of man, 88, was
due to auto injuries. Page A-IS
Police make 14 more arrests in "drift
ing criminal" drive. Page A-14
D. C. bill hearings recessed until citi
zens appear Monday. Page B-I
Justice Stephens defends D. C.
courts. Page B-l
EDITORIAL AND COMMENT.
This and That. Page A-8
Editorials. Page A-8
Answers to Questions. Page A-8
Political Mill. Page A-8
Washington Observations. Page A-8
David Lawrence. Page A-9
The Capital Parade. Page A-9
Dorothy Thompson. Page A-9
Constantine Brown. Page A-9
Lemuel Parton. Page A-9
FINANCIAL.
Rail bonds rise (table). PageA-15
Retail trade improves. Page A-1S
Freight loadings gain. Page A-18
D. C. store sales lag. Page A-18
Stocks edge up (table). Page A-18
Curb shares higher (table). Page A-17
MISCELLANY.
Shipping News. Page A-17
Vital Statistics. Page B-6
Service Orders. PageB-14
Bedtime Story. Page B-18
City News in Brief. Page C-4
Cross-word Puzzle. Page C-8
Letter-Out. Page C-8
Winning Contract. Page C-9
Nature’s Children. Page C-18
4
^ NO o
ALLIES
FOR
vYOU!
nO"N
BATTLESHIPS)
FOR. /
YOU! J
THE WORLD’S WHIPPING BOY?
I
I
Austin Injects Merits of
Madison Trial Into
Hearings.
By JOHN C. HENRY.
Entangled in the merits of anti
trust law convictions recently re
turned against 18 oil companies in a
United States court In Madison, Wis,
Senate committee action on the nom
ination of Robert H. Jackson as So
licitor General headed into an in
definite delay today.
With Mr. Jackson appearing before
a Judiciary Subcommittee, the oil
case controversy was introduced by
Senator Austin, Republican, of Ver
mont. most persistent interrogator of
the nominee, in submitting to the com
mittee a part of the defense record in
the oil eases. Specifically, the Sen
ator's exhibit was a letter written in
1934 from Petroleum Administrator
Ickes to C. E. Arnott of the N. R. A.,
in which Mr. Ickes suggested effort?
to “stabilise the price level” through
“co-operative effort?” of the oil com
panies.
Mr. Arnott. later going into the
service of one of the defendant oil
companies, produced the latter in the
recent trial in attempting to show
Government approval for the policies
on w’hich the concerns were being
tried.
Allowed in Record.
Despite protest by Senator Norris.
Republican, of Nebraska, against
"trying” the oil cases again, and the 1
fact that the four members of the
committee apparently were evenly di
vided on admitting the letter, it fi
nally was allowed to go into the rec
ord. When Senator Austin announced
he would like to turn next to the part
Mr. Jackson played in the automobile
cases dismissed by Judge Ferdinand
A. Geiger, it was decided the com
mittee should recess until next Tues
day. i
Pointing out the basic conflict be- j
tween the anti-trust laws and the
national recovery act under which the
Petroleum Administration was func- j
tioning. Mr. Jackson insisted he was
lending his strength to upholding the
former, a non-partisan enactment,
rather than devoting himself to the
New Deal theory.
Not New Laws.
'The anti-trust laws are not what I
consider New Deal legislation.” Mr.
Jackson said. "They have been on the
books for years and my anti-trust views
are very well expressed in the Repub
lican platform declaration against
monopolies."
Under questioning by Chairman
McGill, Mr. Jackson pointed out that
he had nothing to do personally with
selection of jurisdiction for the oil
cases recently decided in favor of the
Government in Madison.
"You’d be lacking in your duty if
you’d go where you knew you would
have an unfriendly judge,” Senator
Norris observed to Mr. Jackson.
"There's nothing wrong about picking
the most favorable forum when you
can.”
The witness admitted he did "shop
around” whenever such a privilege
was available.
"Do you favor conducting these
cases in such way as to give the
courts the impression they ought to
do what the Government wants in
Washington?” Senator Austin in
quired.
“We go to them and tell them what
we want,” Mr. Jackson replied, "but
it is the function of the judiciary to
decide.”
Won’t Be Moved.
"If it is true that Mr. Jackson is so
imbued with the New Deal philosophy
that he goes around the country seek
ing a forum where it will be upheld,
there is grave question whether he
should be confirmed as Solicitor Gen
eral.” Senator Austin remarked.
"Do you feel he should select a fo
rum that would reflect your ideas
and no others?” Senator Dieterlch,
Democrat, of Illinois asked of Sen
ator Austin.
"Not at all,” the Vermonter replied,
“and I'm not going to be moved from
my position by this type of argu
ment.”
Slain in Poker Game.
MARTINSVILLE, Va., Feb. 11 OP).—
Jess Ramsey, 33-year-old filling sta
tion operator, was slain here early to
day in what Sheriff J. M. Davis was
told was a poker game quarrel. The
sheriff said Dick Warren, 36, a Mar
tinsville eity fireman, was sought.
Moderate Snow
D. C. Prospect
This Afternoon
At. least, a moderate" snow was in
prospect this afternoon as the skies
cleared somewhat following a light
flurry which whitened the city about j
noon. The mercury continued around ,
the freezing point.
The forecaster said there is little
prospect of a heavy snow. He expects
more precipitation, with the tempera
ture getting above freezing late to
night or early tomorrow'.
The current outlook is for "snow
or rain tonight; tomorrow cloudy and
warmer, accompanied by rain. The
low tonight is expected to be around
32 degrees.
The snow and below-freezing tem
peratures terminated four days of
springlike weather in w'hich early
shrubs and plants displayed buds
ordinarily not glimpsed here until the
middle of March.
Mrs. Franklin D. Roosevelt, accom
panied by Mrs. Ruth Bryan Kohde,
former American Minister to Denmark,
arrived at Washington Airport in the
middle of the snowstorm earlv this
afternoon in an American Airlines
plane from New York. Although vis
ibility was destricted to less than a
mile in Washington, the pilot had little
difficulty in landing. The storm at
that, time was described as local.
BILL SEEKS TO BAN
MARMOT-INS
Guffey Plan Also Would Ex
tend Wage Minima to
All U. S. Ships.
BACKGROUND—
The Senate Commerce Commit
tee. conducting broad survey of •
maritime labor conditions, two days
ago approved resolution calling for
investigation of shipping industry.
Various labor mediation plans un
der study by committee have been
opposed by both A. F. of L. and
C. 1.0. maritime union spokesman.
Meanwhile, an early deportation
hearing awaits Austrian-born Barry
Bridges, West Coast Longshore
men's leader, whose, status in the
United States has been under fire.
By the Associated Press.
Senator Guffey, Democrat, of Penn
sylvania proposed today to outlaw ait
down strikes by seamen and extend
minimum wage provisions to all ships
flying the American flag.
He made the proposal in broad new
legislation which he said would pro
vide "amicable settlement of all dis
putes and to promote peace in our
maritime industry."
Senator Guffey’s proposals were of
fered as amendments to the Merchant
Marine Act as a substitute for pro
posals advanced by Joseph P. Ken
nedy, chairman of the Maritime Com
mission.
Mr. Kennedy's suggestion to pat
tern mediation of maritime labor dis
putes after the Government plan now
operating for railroads had brought
protests from Secretary Perkins and
spokesmen for organised labor.
Stabilization Seen.
Chairman Copeland of the Senate
Commerce Committee said Senator
Guffey s substitute proposals would
be given full consideration by the
committee, which is considering nu
merous amendments to the Merchant
Marine Act.
Senator Guffey said his proposals
would “stabilize the present unsatis
factory situation without unduly re
stricting the rights of labor.”
Senator Guffey's proposals provide
that when any regulation of the Mari
time Commission, or provisions of the
proposed law, is violated, that com
plaints shall be made to consular or
customs officials. They could act
through the Bureau of Marine Inspec
tion and Navigation of the Commerce
Department.
This bureau, which controls licens
ing of officers and seamen, then could
take complains td the Federal courts.
Special Mediation Bbard.
If port committees, composed of
union and shipowner represents
tives and a representative from the
(See MARITIME, Pace j£rj
A
D. a INCOME TAX
Wood, Who Insisted on
Pi?n, Confident It Will i
Not Pass.
From the man who aided in making
an income tax one of the features of
the 1939 District revenue bill—Repre
sentative Wood, Democrat, of Missouri
—came the prediction today of its
death in the House.
Mr. Wood joined with Representa
tive Dirksen, Republican, of Illinois,
in Insisting that an income tax plan
be written Into the new tax pro
gram. Both are members of the
Fiscal Affairs Subcommittee of the
House District Committee, which
wrote the tax bill.
Although still favoring an income
tax for the District, Mr. Wood is
confident it will not be written into
law this year. He said his conversa
tions with other House members in
the last few days convinced him it
hasn’t a chance of being approved.
Fublie Hearings Monday.
The House last year rebelled against
an income tax for the District and
approved in its stead the present
business privilege tax on gross re
ceipts.
Public hearings on the new tax bill
will start before the Fiscal Affairs
Subcommittee Monday at 10 a.m. and
probably will last throughout the
week. The chairman, Representative
Nichols, Democrat, of Oklahoma, said
the subcommittee would welcome the
views of representatives of every busi
ness and civic organisation interested
in the tax program.
Question of Surplus.
Mr. Nichols is particularly anxious
to learn whether the taxpayers of
the District want to build up a sur
plus in the general revenue fund, as
contemplated by the present bill, or
to raise only a sufficient amount of
funds to balance the 1939 budget.
According to present indications the
anticipated budget deficit in the com
ing fiscal year will not exceed $3,000.
000. The bill is estimated to raise
at least $6,600,000.
In addition to a 1 per cent tax on
Incomes of all persons who work in
the District, it provides for continua
tion of the business privilege tax un-1
der a graduated acale, as well as the
present $1.75 levy on real and per
sonal property.
-+..
AMNESTY GRANTED 1,000
BY JAPANESE EMPEROR
B7 the Associated Preaa.
TOKIO, Feb. 11.—Clemency was
granted to approximately 1,000 political
prisoners and offenders and full civil
rights of 300,000 persons were restored
today in amnesty from the throne.
The terms of six military officers and
civilians involved in the army insurrec
tion of 1936 and three naval officers
involved in the assassination of Pre
mier Tsuyoshi Inukai and the accom
panying revolutionary plot in 1932
were reduced.
About half of those whose civil rights
were restored were charged with viola
tion of the election laws.
The act of clemency came from the
throne in honor of the 2,538th anni
versary of the founding of the empire,
when the first earthly emperor, Jtmmu
Tenno, ascended the throne.
Police Are Microphone Stars
As Traffic Trials Go on Air
(Picture* on Page B~t.l
Washington’s first attempt to get
the public traffic-hazard conscious by
broadcasting proceedings from Traffic
Court went off smoothly before a
packed courtroom today, with the
District's traffic policemen carrying
off top honors as “mike” heroes.
The general opinion of the an
nouncers from three stations who
handled the 45-minute broadcast was
that the policemen who testified
against the defendants displayed the
most sang froid and the beat radio
voices in the broadcast.
Each defendant spoke into three
microphones as he "told it to the
judge.” Judge Hobart Newman, who
presided, also had three microphones
before him, as did the policemen who
testified. The clerk assisting Judge
Newman had one microphone.
A
The first defendant to appear on
the program was 20-year-old Reed
Gale, 1448 Girard street N.W., who
was charged with exceeding the 22
mlle speed limit on Q street N.W.
He said his speedometer was broken
and pleaded guilty. Judge Newman
said that was too bad and fined him
810.
1 The time-worn alibis of the defend
ants and the monotonous meting out
of lines by the judge went on as usual
today as though there hadn't been a
microphone in the building. The rou
tine procedure is as follows: The clerk
tells the defendant what the charge
is and asks him how he pleads. The
defendant replies and the policeman
then takes the stand to tell the judge
his version of the case. The Judge
hears the story, then asks the defend
ant whether he has anything to say,
(See BROADCASTS, Page A-5.)
1
COURT ENJOINS
PRICE FIXING ON
RAILROAD COAL
i ■ i •;
Storm Destroys
Shelter on Ice,
4 Await Rescue
Scientists Construct
Snttw Hut and Re
pair Radio.
by ihe Associated Press.
MOSCOW, Feb. 11.—Four Russian
scientists adrift on an ice floe off the
eastern coast of Greenland reported
today that an Arctic storm had
wrecked the silk tent which had shel
tered them while waiting for rescue.
The tent was ripped and the radio
mast which also had served as tent
pole was blown down. Loaded sleds
were overturned. The radio, however,
was set up in a new position and the
campers built a snow hut in which
to wait for relief.
Killed Three Bears for Meat.
The men had fresh meat—three
polar bears they killed last Tuesday
when their small floe drifted within
sight of the bleak, mountainous coast
of Greenland.
I. T. Spirin. director of Soviet aerial
plans to rescue the campers, said the :
land nearest the floe was tiny Traill1
Island, only 38 miles south of the
camp yesterday. |
Spirin said the floe might reach the 1
island but more likely would be car- I
ried past it by the Arctic current
which in eight months had moved the
campers more than 1.000 miles from
their original North Pole position.
Icebreakers in Race.
The principal rescue ship, the ice
brtaker Murman, meanwhile was
rapidly overtaking the slower ice- i
breaker Taimyr in the race to succor
the four men.
Spirin. whose aerial expedition was
standing by to aid in the rescue, esti
mated the Taimyr was 190 miles from
the floe at the ship's last reported posi- 1
tion—71.50 degrees north latitude and
10.18 degrees west longitude. The
Murman then was at 72 05 north, 5.25
west.
BRITISH SPY PLOT
HEARINGS CLOSED!
!

Prosecutor Reveals Real Names of
“Stevens” Couple Linked to
Four Defendants.
Br th* Associated Press.
LONDON, Feb. 11.—Secret hearing!! 1
of four men charged with theft of
Britain’s armament secrets were or
dered today after blond 'Miss X.”
British counter-espionage heroine, and
other witnesses had piled up new evi- j
dence against them.
“Mias X.” smartly clad in green, and
two man agents w'hose names also were
withheld described movements of a
mysterious “Mr. Stevens of Moscow"
and Mrs. Stevens. She had testified
previously that the couple had taken j
part in the copying of arms plans and
later disappeared.
Before the hearings were made se
cret Prosecutor G. B. McClure de
clared “Stevens’ ” real name was 1
Brandes. The couple was said to have
received secret military information j
supplied by the defendants—P. E.
Glading. former Woolwich Arsenal
employe; Albert Williams, former
Woolwich inspector; George Who
mack. assistant gun section foreman
at Woolwich, and C. W. Munday, as- ;
sistant chemist.
All four have been held without bail
under the official secrets act.
■' ■ •-—
BANDITS CAPTURE TRIO
Bank President, Son and Wife
Held During $215 Bobbery.
BURNETTTSVILLE, Ind., Feb. 11 <>P).
—Three men seized John C. Duffv. 77.
president of the Burnettsville State
Bank, and his son George, the cashier,
from their separate homes early today,
took them to the bank and attempted
to blow the safe. Failing in that, they
ransacked safety boxes and obtained
$215.
The elder Duffy's wife. 75, also was
forced to go along to the bank. After
being held captive for about two hours
the three were returned to their homes
by the robbers, who then fled.
FIRE HITS IOWA CITY
COUNCIL BLUFFS. Iowa, Feb. 11
(JP).—The city’s most disastrous fire in
more than a decade caused damage es
timated by firemen at $185,000 to
buildings in the business section before
it was brought under control early to
day. Fire companies from nearby
Omaha. Nebr., augmented the city’s
flre-flghting foaces.
Edict Severe Blow.
Halt on Further
Schedules Seen.
TEMPORARY STAY
GIVEN 209 ROADS
Lack of Public Hearing*
Held Illegal Course
of Action.
BACKGROUND—
Issuance by the Bituminous Coal
Commission of minimum price
orders without first, holding hear
ings has been attacked widely bv
consumers and coal producers as on
unconstitutional denial of due
process, as well as a violation of the
Coal Act. The position of the Com
mission has been that no hearings
were necessary until after the prices
were set. The commission began
such a hearing last Tuesday, at
’i hich consumers have been airing
their complaints.
By WILLIAM S. TARVER.
In a ruling expected to halt for the
time being all price-fixing by the Na
tional Bituminous Coal Commission,
the United States Court of Appeals to
day granted a temporary injunction
to 209 major railroads, three coal com
panies and the city of Cleveland
against application of minimum coal
prices so far as it affects them.
The order, which struck a sever0
blow at one of the New Deal's p°t
projects, was signed by Justices Har
old M. Stephens. Justin Miller and
Henry W. Edgerron, ail appointed b
President Roosevelt. No date for a
final hearing has been set.
The court's order will affect almost
all coal sold to railroads throughout
the country, and the Coal Commission,
it was learned, considered issuing an
order to suspend the entire minimum
price schedule.
"Without prejudice to an ultimate
ruling." the court continued. *'we ar°
unable at thp present stage of the
proceedings to conclude that the right
of review sought is clearly without
foundation."
The court quoted a section of the
Coal Act providing that “no order
subject to review" should be made
without notice, hearing an issuance
of findings of fact.
The railroads and th° coal com
panics contend they were not con
sulted before minimum prices were
fixed No language of the Coal Act
or any necessary inference to b°
drawn from it supports the conten
tion of the Coal Commission that thp
act contemplates a giving of notice
and holding of hearings only after the
issuance of price orders, the court
declared
The commission made no comment
immediately, but coal men expressed
doubt that the remainder of the mini
mum price structure would hold up i!
producers were allowed to sell rail
road roal at any price they chose.
3.000 Concerns File Suit.
Shortly after the court's ruling in
the appeal by the railroads, some 3.000
New York concerns, comprising the As
sociated Industries of New York State
and representing investments totalin.
about $4,000,000,000, petitioned the
Court of Appeals to declare void mini
mum coal prices for the State of New
York. The allegations in the New York
petition were similar in principle to
those in the proceeding by the rail
roads.
The Associated Industries contend
ed in its petition that it was deprived
of due process of law by the comm;. -
sion's price-fixing procedure in tha’
interested parties were denied an op
portunity to be heard.
Through Attorney Wilbur I,a Roe.
jr„ the association told the court its
members consumed approximately 12.
000,000 tons of coal annually and that
the increased prices ordered by the
Coal Commission would cost associa
tion members about $5,500,000 a year.
The 209 railroads had contended the
advanced prices set by the commis
sion would cost them $20.000.(Wio
yearly.
“No Public Hearing.”
The decision to stay the price-fixin •
orders was announced in an opinion
by the entire court, which said alle
gations by complainants and conces
sions by the commission make It ap
pear that minimum»price orders were
issued and made effective “without
notice of hearing, without affording
a hearing to interested parties, and
that if the orders are invalid, they
(the complainants* are suffering ir
reparable and continuing damage."
Considering these circumstances, the
court declared, denial of temporary
relief would be "extraordinary” un
less the ultimate right of review by
the court, which the railroads claim.
Is clearly without legal foundation.
Roads Clearly Aggrieved.
The railroads achieved a status of
"aggrieved parties" under the section
of the coal act permitting appeals from
orders to the Court of Appeals by filing
a petition with the commission re
questing suspension and review of the
minimuqi price edicts, it was stated.
The petition to the commission was
in the name of the Association of
American Railroads, the American
Short Line Railroad Association, the
members of both organizations and
the consumer’s counsel. Unless it can
be shown that the injury claimed by
the railroads is not of “a legally recog
nizable type,” the roads clearly are
aggrieved persons under the act, the
opinion stated.
The opinion of the court concerned,
besides the railroads, the Saxton Coal
Mining Co., the Enos Coal Mining Co.
and the St. Louis & O’Fallon Coal Co.,
all of which sell large percentages of
their product to railroads.
The court stated that its order
should be effective also as to the city
of Cleveland, which contends tha
(See-X)Al7Page aT3 )
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