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Weather Forecast I c. . . w 7 " Rain tonight; much colder tonight; to* ^ ^ ^9 OH— morrow fair and colder; lowest tonight First in the hews coverage that iKffJSrSSi'f; 1 • builds public confidence First In 7 a m.; 67 at 10:30 a m.; 71 at 2 p.m. . circulation and. advertising that Pull report on page A-2. reflect public confidence. -?Mi"« N” Y,fk MoHl,t»- P°3J IS'- ^ CB M..n. .S P,.„. 87th YEAR, No, 34,663, Sg&aS Tt_WASHINGTON. D. C., MONDAY, MARCH 27, 1939-THIRTY-FOUR PAGES. *#* THREE CENTS. Britain Rejects Economic Action To Halt Germany Disregards Hints Of Co-operation By America By the Associated Press. LONDON. March 27.—The Brit ish government today rejected sug gestions of an economic boycott against Germany or attempts to apply League of Nations penalties “with American co-operation" to halt German territorial expansion. Richard Austen Butler, parlia mentary under-secretary for for eign affairs, told the House of Com mons that Britain was not consider ing the possibility of a boycott. He also said that Foreign Secre tary Viscount Halifax was “unable to consider" steps which Laborite Morgan Price suggested should be taken “with American co-operation to apply economic sanctions against future disturbers of peace in Europe.” Cites U. S. Note to League. Mr. Price made the suggestion “in view of the friendly reply received from the American Government in dicating willingness to co-operate In the economic activities of the League.” His reference was to a United States note to the League February 22 promising greater col laboration with the League's techni cal and non-political activities. Mr. Butler indicated that the United States collaboration in non political work seemed to exclude economic penalties. Replying to further questions, Mr. Butler said Britain had expressed to the Lithuanian government her “sympathy in the situation in which the Lithuanian government has been placed” by the return of Memel to Germany. Denies Rumania Lost Freedom. Prime Minister Chamberlain, meanwhile, told the House that Rumania “has not signed away her economic independence" in her new trade treaty with Germany. He declared that Rumania still was anxious that plans for sending of a British trade commission to Bucharest should be carried out, and added, “That, of course, is our Intention.” He sidestepped a question by Conservative Vyvyan Adams on “whether it was the long-range objective of his majesty's govern ment to restore independence to that part of Czecho-Slovakia which survived the Munich agreement." Mr. Chamberlain pointed out that he already had branded German absorption of Czecho-Slovakia as “devoid of any legality” and added, “I am not prepared to add to this statement.” Answering a question by Mr. Adams on Rumania's status under the trade treaty with Germany. Mr. Chamberlain said that "we must await developments” before coming to a conclusion. “The Rumanian government has informed the British government that the agreement contains no po litical clause and Rumania has not signed away her economic inde pendence." the Prime Minister said, adding that the Bucharest govern ment had informed Britain that the accord “is directed against no third party.” Trade Talks Began February 22. Rumania, Mr. Chamberlain said, Informed Britain that trade negoti ations with Germany began Febru ary 22 “and proceeded along normal lines until an agreement was signed.” The Prime Minister did not ex plain the apparent discrepancy be tween this statement and informa tion the British government was reported to have received March 17 that Germany had addressed a Virtual economic ultimatum to King Carol's country. Mr. Chamberlain faced an in creasingly impatient House of Com mons with new grounds for dis illusionment in his hope of a gen eral European settlement and with out having united the big and little European powers who fear Adolf Hitler. Exchange of Views On Boycott Denied Here ' By the Associated Press. A State Department official said today there have been no exchanges of views between this and the Brit ish governments with reference to an economic boycott of Germany. The recent United States promise of greater co-operation with the League of Nations in its economic activities, he emphasized, did not embrace economic sanctions but merely economic studies and other non-political activities. At London today a member of Parliament suggested that steps be taken “with American co-operation” to apply sanctions against "future disturbers of the peace in Europe.” Tokio Diet Adjourns TOKIO. March 27 ,/P).—The 74th Diet formally ended yesterday after one of the quietest sessions in par liamentary history. Attorney General On 'Civil Liberties' Frank Murphy, Attorney General of the United States, will be the guest speaker to night on the National Radio Forum at 10:30 o'clock over Station WMAL. Attorney General Murphy will speak on “Civil Liber ties.” The National Radio Forum Is arranged by The Star and is heard over a coast-to-coast network of the National Broadcasting Co. Bolting -Horses Kill Soldier, Injure Five Bj the Associated Press. FORT HOYLE. Md., March 27.— A team of artillery horses, fright ened by a yelping dog, bolted into a gun crew today, killing one man and injuring five others. The dead man is Pvt. Joseph E. Callahan of Pittsburgh. With other members of Battery D, 6th Field Ar tillery, he was unhitching the team of six horses assigned to a 75-milli meter gun. The dog, struck by an automobile, ran yelping into the crowd of men and horses, causing the horses to plunge and rear. Others injured were Sergt. Carl Sanders and Pvts. Ray Seiwell, John Bartel, John Kostick and Lloyd Rager. Yankee Clipper Lands in Azores Ahead of Schedule Finishes First Leg of Transocean Survey Hop From Baltimore (Pictures on Page A-3.) By the Associated Press. HORTA, the Azores. March 27.— The 42-ton American flying boat Yankee Clipper, carrying the largest number of persons ever to fly the Atlantic in a heavier-than-air ma chine, glided smoothly to a landing here at 11:06 a.m. (8:06 a.m. E.S.T.) today, completing the first leg of a transoceanic survey flight from Baltimore. The 74-passenger flying liner, with 21 crewmen and technicians aboard, covered the 2.450-mile leg of its maiden ocean flight nearly half an ; hour ahead of schedule, making the j trip in the official time of 17 hours i and 32 minutes. This was at an average speed of 165 miles an hour. The ship had left Baltimore at 2:34 p.m. (E. S. T.) ' Sunday. Capt. Harold E. Gray, in com mand of the ship, said, "It was the most comfortable kind of a journey.” After a stay here, at which Horta's facilities as a base for such large craft will be studied, the trip will be continued to Lisbon. Portugal; Marseilles, France; Southampton, England, and Foynes, Ireland. “I don’t expect to take off for the rest of the trip for a few days,” Capt. i Gray said, “but the exact time de pends on developments and weather reports. “It was an easy landing today, with a calm sea and summer sun shine and a fair west wind. None of us were tired after the long, but pleasant trip.” The clipper alighted in the chan nel on a glassy sea and taxied into the harbor as Horta authorities and the people cheered. She tied up at the Pan-American Airways’ tanker in preparation for refueling. Harvard Man Downs 24 Live Goldfish By the Associated Press. CAMBRIDGE. Mass., March 27.— A Harvard sophomore, Irving M. Clark, 20, of Seattle. Wash., claimed the goldfish eating championship to day. Clark reported he ate 24 live gold fish in a little more than five min utes yesterday, using orange juice as chaser after each fish. "I could have eaten 50,” he declared. Clark was spurred on, he said, by a telephone call from Frank Pope of Franklin and Marshall College who bet him $50 he couldn't eat more than Pope. Pope is reported to have downed a mere three. Famous Colony to Close In New Hampshire By the Associated Press. PETERBOROUGH, N. H„ March 27.—The MacDowell colony, a fa mous gathering spot for artists, writers and musicians, will close this summer, Miss Nina Maud Richard son said today. Miss Richardson said Mrs. Mac Dowell and the Board of Directors felt the money now available would have to be used in the work of clearing fallen trees, remaining after last September's hurricane, and that nothing could be spent in maintaining the colony itself. Summary of Today's Star Page Page Amusements. Radio_A-14 B-14 Short Story..B-6 Comics B-12-13 Society . ...B-3 Editorials _.A-10 Sports A-18-19-20 Finance-A-15 Woman s Page. Lost, Found. B-9 B-8 Obituary ...A-12 Foreign. Daladier drafts reply to Duce's African demands. Page A-l Franco reported smashing ahead on three fronts. Page A-2 Compromise basis between Italy and France doubted. Page A-2 Nanchang captured after short siege, Japanese report. Page A-3 Negotiations open on Magyar-Slovak frontier dispute. Page A-3 Refusal to yield to Duce hard for France, say Nazis. Page A-4 Notional. Urban-rural split complicates action of farm subsidy. Page A-l State has power to tax Federal sal aries, high court rules. Page A-l V'ankee Clipper beats schedule in hop to Azores. Page A-l Neutrality bloc in Congress is win ning support. Page A-l Man in mistake poison case charged with murder. Page A-7 Washington and Vicinity. House committee to ask $10,000 for Washington milk probe. Page A-2 Showers expected to end Washing ton’s "heat wave." Page A-II April 17 set for arguments in anti trust medical case. Page B-l Traffic injuries few despite crowds on highways. Page B-l Editorial and Comment This and That. Page A-10 Answers to Questions. Page A-10 Letters to The Star. Page A-10 David Lawrence. Page A-ll Alsop and Kintner. Page A-ll Frederic William Wile. Page A-ll Jay Franklin. Page A-ll Lemuel Parton. Page A-ll Sports Job as Nats’ cleanup hitter looms for Buddy Lewis. Page A-18 Repeat win for Cubs seen by spring campseers. Page A-18 Browns can lose, Phils can win in Grapefruit League. Page A-18 Pitcher Monte Weaver sold by Nats to Red Sox. Page A-18 American Golf unimpressive in its debut here. Page A-19 D. C. pinmen find slim pickings in national tourney. Page A-20 Helen Jacobs, embryo author, prep ping for Wimbledon. Page A-18 Miscellany Nature's Children. Page B-7 Bedtime Story. Page B-12 Cross-Word Puzzle. Page B-12 Letter-Out. Page B-12 Winning Contract. Page B-13 Uncle Ray’i Corner. Page B-13 Daladier Drafts Reply to Duce's African Claims Italy Expected to Be Asked Exactly What She Wants (Text of Mussolini’s speech on Page A-4.) BACKGROUND— Italo-French tension has been marked ever since demands for colonial adjustment were raised in Chamber of Deputies in Rome November 30. 1938. Italy, in note December 17, denounced Italo French treaty of 1935, but first official'Statement that Italy has colonial demands on France was made yesterday in Premier Mus solini's speech. By the Associated Press. PARIS, March 27—Premier Da ladier, secure in his dictatorial de cree powers, mapped a reply today to Premier Mussolini's African de mands—a reply designed to permit opening negotiations for a French Italian settlement. Sources close to Daladier said the reply would take one of two forms: Either a direct note to Rome through regular diplomatic chan nels. asking Italy just what she wants, or a similar question to be put in a broadcast speec.h on Wednesday. Reconciliation appeared to be closer than at any time since De cember 17 when Mussolini de nounced the 1935 treaty which he initialed at Rome with Pierre Laval, then the French Premier. Hopes Retarded by Fear. Although Mussolini's speech yes terday was far from specific on what he wants in Africa, hopes tor recon ciliation were retarded by the French fear that Mussolini later would ask what M. Daladier's gov ernment. backed by the nation, has said could not and would not be granted: 1. Territorial concessions. 2. Rights in Tunisia, French North African protectorate, beyond those granted to Italy in the 1935 treaty. Mussolini pointed out that in the denunciation of the 1935 treaty ‘'Italian problems with France were clearly set forth, problems ol a colonial character. “These problems have a name.'' he said. "They are called Tunisia, Djibouti and the Suez Canal." Unofficial contact between Italy and France, it has been said, already has shown that France was ready to consider free-port privileges for Italians at Djibouti, French Somali land capital on the Gulf of Aden and terminus of a railway from Ethiopia, and a greater share in control of the Suez Canal. France May Go Far. Thus, unless Italy demanded ter ritory or wished to go a great dis tance beyond the 1935 provisions regarding Italian rights in Tunisia, France was likely to go far in trying to meet 11 Duce s wishes. Paul Baudouin, director of the j Bank of Indo-China. was said to ; have discussed Djibouti and Suez (See FRANCE, Page A-31 Danish Royal Couple Stop in Canal Zone By the Associated Press. CRISTOBAL, C. Z„ March 27.— Crown Prince Frederik and Crown Princess Ingrid of Denmark de clined a military guard of honor and other formalities today when they arrived at Cristobal en route to Los Angeles. The prince and princess w^ent on a shopping and sightseeing tour after being welcomed by United States civil and military authorities. They are to sail tonight on the liner Canada. They plan to spend several weeks visiting fellow countrymen in many States and expect to be in Wash ington, D. C., at the end of April. Irate Fans Burn Stands MEXICO CITY. March 27 OP).— Irate fans burned stands in the Asturias. Park yesterday in protest against an umpire's decision which gave the Asturias soccer team a 3-to-2 victory over the Necaxa eleven. The damage was estimated at $10,000. House Due to Act Today on Proposal For Probe of W. P. A. Log-Rolling on Relief And Farm Parity Off Until Tomorrow BACKGROUND— House Agriculture Committee added to Agriculture Department appropriations bill S250.000.000 not approved by the budget for parity payment to farmers. This compared with S212.000.000 for the same purpose tacked on by Congress last year when it ig nored a warning by President Roosevelt that taxes must be in creased by that amount. The parity payments are in addition to other farm-benefit payments. BULLETIN. 9y a bipartisan vote, the House directed its Appropriations Com mittee today to make a "thorough investigation” of the Works Prog res* Administration. The resolu tion. by Representative Cox, Dem ocrat, of 'Georgia, was supported by Democratic Leader Rayburn, who said he was convinced the inquiry would “reflect credit on the administration of the W. P. A.” By the Associated Press. House leaders scheduled action today on a proposal for a general investigation of the W. P. A. Representative Rayburn of Texas, the Democratic leader, announced the chamber would concentrate on this proposal and legislation affect ing the District of Columbia, leaving until tomorrow further action in the controversy over appropriation of $250,000,000 for "parity", payments to farmers. The W. P. A. inquiry was proposed by Representative Cox, Democrat, of Georgia and approved subsequently by the powerful House Rules Com mittee. Mr. Cox's resolution, authorizing the House Appropria tions Committee to make the in vestigation, did not require Senate nor presidential approval. Mr. Rayburn announced an appro priation bill for the Labor Depart ment would be called up Wednesday apd the controversial relief appro priation Thursday. The latter in volves President Roosevelt's request for an additional $150,000,000 to finance the W. P. A. until July 1. Liberal Bloc Meets. Members of the self-styled House liberal bloc met this morning to dis cuss the position they should take on the $250,000,000 parity payment item in the farm bill and the $150. 000,000 proposed for relief. They had decided already to support the latter. The Senate considered, meantime, the $513,000,000 War Department supply bill. At the meeting of the House bloc, (See W. P. A., Page A-3T Douglas Wins Approval Of Full Committee By the Associated Press. The Senate Judiciary Committee unanimously approved today Presi dent Roosevelt's nomination of Wil liam O. Douglas to be an associate justice of the Supreme Court. The nomination now goes to the Senate, where confirmation appears assured. Wiley Blount Rutledge, jr„ recently nominated to be an associated just ice of the United States Court of Appeals in the District of Colum bia was present at the committee meeting. No action was taken on his nomination because a special Subcommittee, headed by Senator Hughes of Delaware, has not yet met to act on the nomination. Sen ator Hughes said the group may meet late today, with the nominee present. Mr. Rutledge is head of the Law School of the University of Iowa. The sandy-haired 40-year-old Douglas, now chairman of the Se curities and Exchange Commission, was appointed to succeed Associate Justice Louis D. Brandeis, 82, who retired recently. The nominee attended today’s committee meeting in order to meet the members. The committee approved also the nomination of Harry E. Kalodner to be Federal judge for the Eastern Pennsylvania district. Chairman Ashurst, Democrat, of Arizona of the committee said sev eral members had retained the right to oppose Mr. Kalodner s nomination when it comes up for action on the Senate floor. Deadly Mosquito Invades Brazil From Africa By the Associated Press. NEW YORK. March 27.—A new and deadly mosquito immigrant who hitch-hiked from Africa was described in a Rockefeller Founda tion report today as a greater po tential menace to western civiliza tion than a Martian invasion. Dr. Raymond B. Fosdick. presi dent of the foundation, said that the invader—the malaria-bearing anopheles gambiae species—had killed 10 per cent of the population in sections of the state of Ceara in Brazil. Dr Fosdick said the foundation had set aside $100,000 in 1939 to fight the mosquito plague, which he said had caused 50.000 malaria rases in the Jaguaribe Valley of Brazil in 193E, striking down 90 per cent of the residents. "In some parts crops were not planted and salt production was greatly reduced because of lack of labor,” Dr. Fosdick said in his an nual report. "It is estimated that • • • prac tically every person in these effected areas will be on government relief in 1939.” The report said that anophfeles gambiae. formerly found only in Central Africa, apparently had been carried to South America by air planes or naval destroyers between Dakar in West Africa and Natal. Brazil. The mosquito was first discovered in Natal in 1930. The foundation's report said if the scourge spread be yond the well-watered Parnahyba and Sao Francisco Valleys "it is feared it would be impossible to pre vent its spread to a large part of South, Central and perhaps even North America ” "If Orson Welles, in his now fa mous broadcast of October 30. 1938, had announced not that the Mar tians had landed in New Jersey but that a mosquito called anopheles gambiae, a native of Africa, had arrived on the American continent, there would have been no public alarm.” the report declared. “But anopheles gambiae is potentially a much more dangerous invader than the Martians would have been.” Appeals Bench Hits Wagner Act in Voiding Court's Jurisdiction 'Inequalities' Cited in Ruling N. L. R. B. Has Sole Authority In an opinion bearing on the present controversy over whether the Wagner Act should be amended, the United States Court of Appeals ior the District—composed in the majority of New Deal appointees— today ruled that regardless of in equalities and the fact that in some situation employers have no remedy under the National Labor Relations Act. the Labor Board is the sole agency to settle disputes concerning rights of representation. This opinion came as the appellate court instructed District Court to dissolve an injunction in which a C. I. O. affiliate was enjoined and an A. F. L. union favored in dealing with H. Zirkin & Sons. Inc., fur shop. In a section of the opinion bearing on the controversy whether the Wagner Act should be amended to give an employer specific authority to ask the Labor Board to order an election among his employes, the court said: Hits Injunction. In one section of the opinion bear ing on the present controversy whether the Wagner Act should be amended to give an employer spe cific authority to ask the Labor Board to order an election among his employes, the court, composed in the majority of New Deal ap pointees. said: “The union which believes itself to represent a majority may have no incentive to apply for an elec tion ; and the union which appar ently has less than a majority may resist an election, at least until it. is satisfied it has won over enough to constitute a majority. It is clear further that in such a situation there is no remedy for the employer under the National Labor Relations Act That act makes no provision for invocation of the election and certi fication powers of the board by an employer. The result is an ine quality before the law as between an employer and employes in this particular, namely, that while the employer has a substantive right to carry on his business, he lacks a legal remedy for protecting the same against injury through the struggle of competing unions, even though he be indifferent as to the choice of his employes between them, whereas the employes in respect of their substantive rights of self-or ganization and collective bargain ing are afforded a protective remedy under the election and certification powers of the board." In reversing the lower court’s ac tion in permanently enjoining Pur Workers’ Union, Local No. 72, and (See A. P. L., Page A-8.) Mexico Sends Italy Oil TAMPICO, Mexico, March 27 (SP). —The Italian tanker Casco left Tampico today with 60,000 barrels of oil, consigned to Italy and shipped by the government-controlled oil adiminlstration. Another Italian ship was expected to arrive this week for more oil. I 10 District Measures Passed by House In 13 Minutes 8 Go to White House, Other 2 Must Face Senate Action In 13 minutes the House today passed 10 District bills, completely clearing its calendar of all pend^lg local legislation. Eight of the 10 measures have previously been ap proved by rhe Senate and now go to the White Holuse for signature of President Roosevelt. Bills on which legislative action was completed follow: 1. Directing the Commissioners to restore Ralph S. Warner and David R. Thompson to duty on the Metro politan police force. These two offi cers were dismissed several years ago on recommendation of the Po lice Trial Board. 2. Providing for establishment of the position of research assistants in the public schools. 3. Requiring public school teachers to designate beneficiaries under the Teachers Retirement Act. 4. Requiring a division of the sal aries between white and colored school teachers regardless of the manner in which these salaries are distributed in the various salary levels. 5. Reducing from 4 to 2 per cent the allowable margin of error in the measurement of electricity. 6. Fixing March 1 as the date for issuance of licenses to operators of all classes of public vehicles. 7. Giving the Joint Board com posed of the Commissioners and the Public Utilities Commission authority to enforce its orders. 8. To protect banks from unjust claims and liabilities. One of the two bills requiring Senate action would extend from 60 to 90 days the period allowed the Board of Public Welfare to in vestigate adoption cases. The other would authorize the Central Public Heating Plant to furnish steam heat to buildings erected in the Municipal Center area. The only discussion of the Dis trict legislation came when the House had under consideration the bill giving the Joint Board author ity to enforce its regulations. Rep resentative Schulte, Democrat, of Indiana, a member of the District Committee, said he would like to curtail the power of District officials because of their attitude toward members of Congress. Income Tax Ruling May Hit Many U. S. Employes Here ine oovernmeni apparently nas no figures showing how many Fed eral employes would be subject to an income tax by the State under a de cision by the Supreme Court today. A partial indication, however, of the proportion of Federal employes in the States as compared to the District of Columbia is shown in figures by the Civil Service Commis sion on only the executive branch of the Government, which excludes all the military and naval forces, the legislative and Judiciary. These civil service figures show mat during January mere were izu, 309 Federal employes working in the District of Columbia under the exec utive civil service and there were 743,602 Federal Government people working outside the district of Co lumbia in the executive civil service. It was believed that a large num ber of the 120.309 working in the District live in nearby Maryland and Virginia, and by virtue of their residence in these States, probably would become subject to the possi bility of a State tax under the court decision today. U. S., States May Tax Wages Reciprocally, Supreme CourtHolds Sweeping Decision Reverses Old Ruling on Immunity Of Government Officials The Supreme Court approved part of President Roosevelt’s tax recommendations to Congress today by holding that a State can tax the income of ari employe of a Federal agency and that the Federal Government can tax the income of a State employe. The decision on attempts by New York and Utah to tax the income of Federal employes, was described by Government attor neys as “one of the most momentous in many a year.’’ The court specifically overruled previous decisions holding that the Federal and State governments could not tax the "means and instrumentalities” of the other. Justice Stone, who delivered the majority decision in the New York case, said the court had refused “to imply a constitutional prohibition of Federal income taxation of salaries of State em ployes” in last year’s New York Port Authority decision. “We perceive no basis for a difference in result,” he continued, “whether the taxed income be salary or some other form of com pensation, or whether the taxpayer be an employe or an officer of 'Little Steel' Wins Injunction Against Walsh-Healey Act Court of Appeals Upsets Previous Ruling by District Bench B» the As*ociated Press. Seven "Little Steel-’ companies1 won a temporary injunction in the United States Court of Appeals to day against application of labor standards prescribed for them by the Labor Department under the Walsh Healey Act. An injunction previously had been denied in District Court. The companies contended Secre tary Perkins exceeded her authority in decreeing that a basic minimum wage of 62.5 cents an hour should be paid by Government steel contrac tors in 13 Eastern and North Central States. The Walsh-Healey law authorizes the Labor Secretary to prescribe labor standards for employers work ing on Government contracts. The steel companies asserted the requirements set up by the Secre tary were "arbitrary and discrim inatory" and wosld destroy small independent operators. They said 40 steel producers, employing 251)00 men and with an aggregate of $100, 000.000 of capital, were affected. The District Court fixed hearings on the complaint for next Monday. Companies which joined in ob taining the order were Lukens Steel Co.. Alan Wood Steel Co., Central Iron <fc Steel Co.. South Chester Tube Co.. Harrisburg Steel Corp., Eastern Rolling Mill Co. and At lantic Wire Co. High Court Blocks Beard's Suit for Freedom Sam Beard. Washington gambler, today v*is blocked in an attempt to get out of Atlanta Penitentiary when the Supreme Court refused to review a ruling of the Fifth Circuit Court of Appeals denying a writ of habeas corpus. Two sentences of one to three years each were imposed on Beard here in May, 1936, after his estab lishment in the 900 block of G street was raided. One was for setting up a gaming table, the other for keeping a place for gaming. He contended, in seek ing the writ, that this was double punishment covering the same of fense. and argued, too. that his con viction was illegal because it had been obtained through wire-tapping. The habeas corpus first was de nied by the District Court of the Northern District of Georgia, and this finding then was affirmed on appeal. Beard was eligible for parole a year ago. but did not apply: with time off for good behavior, his sen tence would be completed in the fall of 1940. Civilian Pilof Training Urged by High Officials By the Associated Press. High Army and Navy officials as serted today that a proposal by the Civilian Aeronautics Authority to train 20,000 civilian air pilots would be invaluable to the Nation in time of emergency. Rear Admiral Arthur B. Cook, chief of Naval Aeronautics, and Brig. Gen. B. K. Yount of the Army Air Corps told the House Interstate Commerce Committee that the pro gram, calling for a $7,300,000 appro priation for preliminary training of college students, would relieve both military branches of the necessity for much fundamental training. either a State or the National Gov ernment or of its instrumentalities. Important in District. “In no case is there basis for the assumption that any such tangi ble or certain economic burden is imposed on the government con cerned as would Justify a court's declaring that the taxpayer is clothed with the implied constitu tional tax immunity of the govern ment by which he is employed.'’ The decision will be studied with interest in the District of Columbia, where the question of a local income tax has been complicated by some doubt as to the constitutionality of a tax on Federal employes who, in the States, have hitherto been held exempt from local income taxes. The decision is of great import ance to Maryland and Virginia be cause of the number of Federal employes who are resident in those States, though employed in the District. The opinion of the court which reversed a 69-year-old decision, was delivered by Justice Stone and was on a 6-to-2 vote, with Justices Butler and McReynolds dissenting. It was announced that Chief Justice Hughes, who has been ill, was in accord with the majority. Justice Frankfurther wrote a separate opinion concurring. The House has passed a bill asked by President Roosevelt that would permit Federal and State gov ernments to tax the salaries of em ployes of each other In the Senate the legislation is still pending. Utah Case Remanded. The major principle overruled by the court today was laid down in a case in which a Massacnusetts judge was subjected to an income tax on his salary under a Civil War stat ute. The Supreme Court held that the collection was illegal. The case came up irom the New York Court of Appeals, which had held that the State could not tax the salary of James B. O'Keefe, an employe of the Home Owners' Loan Corp. The State Tax Commission appealed the decision. The court was confronted with a similar case from the State of Utah, where it had been held trfct the salary of an employe of the Re construction Finance Corp. was not subject to taxation. Because cer tain questions disposed of by the Supreme Court today had not been given consideration by the Utah court, that case was remanded Back for further proceedings. Chief Justice Hughes took no part in the consideration of this case, in which the opinion was read bv Justice Black. In the dissent. Justice Butler said that he and Justice McReynolas are of the opinion that the H. O. L. C.. as it is an instrumentality of the United States, heretofore deem ed immune from state taxation, "it necessarily results that fixed salaries are the compensation paid to its officer's and employes as such are likewise immune.” From the court's decision, it added, overruling previous opinion, "it ap pears that the United States has al-' ways had power to tax salaries of State officers and employes and that similarly free have been the States to tax the salaries of officers and employes of the United States. The compensation for past as well as future service to be taxed and the rates prescribed in the exertion of the newly-cflsclosed power depends on legislative discretion not subject to judicial revision.” Immunity Claim Studied. "Futile indeed are the vague inti mations that this court may protect against excessive or destructive tax ation,” it said. "Where the power to tax exists, legislators may exert it to destroy, to discourage, to pro tect, or exclusively for the purpose of raising revenue. “Appraisal of lurking or apparent implications of the court's opinion can serve no useful end, for, should occasion arise, they may be ignored or given direction differing from that at first seemingly intended. But safely it may be said that presently marked for destruction is the doc trine of reciprocal immunity that by recent decisions here has been so much impaired.” In his separate opinion. Justice Frankfurter said that for 120 years the Supreme Court has been concerned with the claims of im munity from taxes imposed by one authority in the dual system of ~ (See”DOURTTPage A-13.) Lumber Orders Rise By the Associated Press. The National Lumber Manu facturers’ Association reported last night new orders during the week ended March 18 were 7 per cent greater than those of the corres ponding week last year. Production was 1 per cent above and shipments were 1 per cent below those of the corresponding week last year.