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  • Location: Mason City, Iowa
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Mason City Globe-Gazette (Newspaper) - June 2, 1933, Mason City, Iowa CvJMf HARLOM c R or IOWA MOINE3 North Iowas DAILY PAPER Edited for the Home THE NEWSPAPER THAT MAKES ALL NORTH IOWANS NEIGHBORS HOME EDITION YOL xxxix FIVE CENTS A COPY ASSOCIATED PBESS LEASED WIRE SERVICE MASON CITY IOWA FRIDAY JUNE 2 1933 THIS PAPER CONSISTS OF TWO SECTIONS SECTION ONE NO 206 Capitol in Limelight Morgan Probe Just One Example of Interest By HERBERT PLUMlttER WASHINGTON June 2 The aside remark of Senator Glass of Virginia at the investigation of the House Morgan by a sen a t e committee that we should have a tent for this circus is il lustrative of the tremendous in terest the public at large is tak ing in happen ings on capital bill these days Of course the Morgan investi gation probably would have drawn a huge crowd at any time But the fact re mains that all records for attend ance at senate investigations have been broken since Mr Morgan took the stand Before the committee decided to shift the scene to the large marble caucus room of the senate the crowd made orderly progress of the hearing almost impossible More than an hour before the hearing started every available seat in the committee room would bo filled Awaiting the Star Hundreds stood in line in the long corridors outside with not a chance of getting in But they waited just the same A glimpse of Morgan ar riving or leaving seemed reward enough With the scene shifted to the marble caucus room there was more space but added difficulties Loud speakers were installed after Chair man Fletcher complained that the noise waa like a freighttrain Such crowds are not confined however to this single incident They are to be observed every day Those in charge of the galleries say that they cant remember when so many people sought admission to house senate regularly Standing Room Only to bevthat a special at tractionwas necessary to bring the crowds out tothe galleries If Borah was scheduled for a speech for ex ample i they could always be ex pected In the senate Or if an im portant vote was pending after long and fiery debate theyd be there to see the finish Now they come regardless The senate was concerned for days with the trial of a California federal judge For the most part it was a dreary and monotonous affair the same as could be seen in any county courthouse Attendance in the gal leries didnt suffer Seats were still at a premium Word of this thing called a new deal has gotten around pretty gen erally And theyre coming person ally to see it worked out SUIT UNSUCCESSFUL Midwest Farm Papers Given Directed Verdict in U S Court INDIANAPOLIS June 2 The Midwest Farm Papers unit o Chicago defendant in a damage suit brought by the In Indlana Farmers Guide Publishing company of Huntington Ind today was successful in its own defense Judge Ealtzell directed a federal court jury to a verdict n favor of the defendants Includec in the Midwest unit are the Wallace Publishing company of DCS Molnes and four other farm paper publish ing concerns The Indiana company allegec that the Farm Papers unit had or ganized to sell farm paper adver tising at a much lower rate than could be maintained by the Indiana Farmers Guide AUNT HET By Robert Quillen DAVIS PEGORA CLASH PROBE Substitute Offered in Senate for House Taxes RISE IN INCOME LEVIES DROPPED IN HARRISON ACT Program for Financing of Public Works Bill Studied WASHINGTON June 2 A complete substitute for the house plan of taxation to finance the 3300000000 public works section of the industrial recovery bill was aid before the seriate finance com mittee today by Chairman Harri son Under Its provisions the existing aw is strengthened against private ankers and partnerships as a re sult of testimony before the senate lanking committee investigating J P Morgan Explaining it was his individual lan Harrison told newspapermen efore going into executive session he substitute would raise 000 and provide A tax on corporate dividends withheld at the source 570000000 Capital Stock Tax Reenactment of the onetenth of one per cent capital stock tax 000000 Removal of the private bankers exemption from the capital loss de duction provision of last years rev enue act and denying the individu al the right to take up in his per sonal return the distributive share of any partnership losses 000 Increase of onehalf cent a gal lon in the gasoline tax The Harrison program eliminates the house income tax increases re duces the house gasoline increase by one quarter of a cent and changes the corporate dividend tax so It would be collected at the source and thereby save additional administrative expense Margin of Safety The committee chairman said the public works bond issue required only an annual revenue of 000000 for interest and sinking fund and his program therefore provides the necessary revenue and allows for a margin of safety of 57000000 In addition to this program Har rison said he advocated extension for three years beyond July 1 1931 of the consolidated return provis ion in the 1932 act whereby corpor ations and chain stores pay a higher rate of tax when filing consolidated returns than if they made individ ual returns for subsidiaries Repealed in 19Z4 The capital stock tax which Har rison would reenact was repealed in 1824 and applies to the net worth of capital stock of corporations The whole purpose of this bill Harrison said is to help unemploy ment and start industries going and it seema to me industry should help In the program He said his plan would make un necessary any general sales tax al though republicans led by Senator Reed R planned to pro pose such a levy In place of what ever democratic program is agreed upon In committee A man is miserable if he marries the wrong woman but a woman like Jane can shut her eyes an enjoy thinkin its the right man kissin her HOPKINS NAMED ON COMMITTEE One of Advisory Group to Aid in Drafting Public Works Program DES MOINES June 2 pointment of an advisory committee consisting of one member from each congressional district has been an nounced by Gov Clyde Herring to assist in formulating a public works program for Iowa Members are E H Mulock of Des Moines chairman Dean C C Wil liams of Iowa City H A Maine Waterloo P F Hopkins Mason City Ed Buhlmann Centcrville Claire Currie Webster City C F Lytle Sioux City H R Green Cedar Rapids and E P Schoentgcn Council Bluffs The committee some of whose members attended a preliminary session at the statehouse yesterday would draw up possible projects which may be undertaken in case the federal public works bill is passed by the national congress A tentative draft of between 30 and 40 projects has already been pre pared Iowa will receive approxi mately 535000000 it has been esti mated Hart Claims Truthfulness of Abduction Event Is Denied by Officers After Affidavits CHARLES CITY lowing examination by several wit nesses County Attorney Jens Grothe and Sheriff B F Atherton yesterday issued a statement as serting that the abduction of W G Hart of Nora Springs as reported on May 23 never took place that the story was a creation of Mr Harts Imagination At Nora Springs however Mr Hart reiterated the truthfulness of the abduction claim and asserted he would take steps to prove it was not faked Mr Hart la president and gen eral manager of the Farmers Mu ual Telephone company of Rock ord Nora Springs Rudd and Floyd He was to have presided at an annual meeting the afternoon of May 23 The reported abduction ccurrei while he was on the way o this meeting at Rudd County Attorney Grothe said to lay he thought the case would now be dropped as the situation was cleared up He expressed the belief Jiat Hart faked the story because he telephone manager feared enough proxies had been gathered o oust him and that by describing he abduction he would obtain sympathy and remain in office Affidavits Are Signed Sheriff Atherton and County At torney Jens Grothe have been in vestigating the reported abduction for Bome time J H Baughey Glen Dean Paul Phillips Henry Hen drickson Andrew Phillips and Her man Bortz all testified under oath hat they saw Mr Hart driving his car on the road at different places and they saw nothing unusual about him nor was any one with him nor any car following him The sheriff had previously interviewed hese men and several others Hart today claimed that he saw all these men duringthe abduction jut that the witnesses were unable o see two men who were crouched low between the front and rear seats He said he was In an old Rco with high doors and it was easy for he two men who were telling him where to drive to keep themselves out of sight Meeting Held I wanted to go to the annual meeting Hart continued It was to my detriment that the meeting was not held Even after I returned to Nora Springs I gave other offi cers the papers and urged them to continue with the meeting instead of postponing it 30 days Hart declaring he was not given a chance to cross examine the wit nesses and was not Informed of the meeting at Charles City when the witnesses affidavits were made claimed the trouble originated be cause of the replacement of three employes at the Nora Springs exchange The statement issued by Attor ney Grothe and Sheriff Atherton was On May 23 W G Hart presi dent and general manager of the Farmers Mutual Telephone com pany reported to the sheriff that he had been abducted by two masked men whom he said forced him at the point of a gun to drive to a point about eight miles north west of St Ansgar The sheriff initiated an Investi gation interviewing witnesses who reside along the route which Mr Hart claims the abductors forced him to take Alleged Crime Doubted The result of this investigation was to create a very serious doubt that the alleged crime was com mitted An affidavit signed by Hart to which he called attention of the GlobeGazette today said that on May 23 about 8 oclock in the morn Turn tn rafre 1 Olnmn 5 RELY ON HER FILES Miss Celeste Jcdel will he In the thick of things nt tho world economic conference in London shes the archivist of tho United States delegation in charge of documents records anod other papers Associated Press photo Protective Tariffs Assailed From All Sides at Convention VIENNA Austria June 2 High protective tariffs were assail ed from all sides at todays session of the congress of the international chamber of commerce with particu lar emphasis on the American var iety of such barriers to Interna tional trade Clark H Minor New York president of the International General Electric company joined other speakers in blaming tariffs for the breakdown of world com merce U S Public Debt Shows Increase in Month of May Sharp Slump in Income Tax Receipts and Boost in Internal Revenue WASHINGTON June 2 nationalpublic debt increased dur ing May to 521835385981 compar ed with 2144120917G at the end of April and on May 31 a year ago The 798000000 increase last year brought the total debt closes to the highest point it has been in half a decade On Aug 31 1919 the debt reach ed ita highest point 526596701648 and compared with a debt of 282044346 on March 31 1917 Deficit for 11 months On May 31 the government had a deficit for the 11 months of the fiscal year of 51684232719 Dur ing the period it had collected from all sources and hac spent 53477500374 The collections totaled slightly more than in the same period of lasi year when they amounted to 770269398 and the expenditures were nearly less than a year ago when they totaled 4 390087799 On May 31 1932 the govcrnmenl had a deficit of A sharp drop was shown in in come tax receipts the total for the 11 months being 5599604898 com pared with 5895978640 last year Increase Due to Beer Miscellaneous internal revenue which includes the new levies In the billion dollar tax bill and the beer revenue showed an increase o nearly 5300000000 For the 1 months this item returned 374359 compared with 256 in the same period of the pre vious year Customs duties also showed sharp drop amounting to 532 as compared with a year ago The total general fund receipt amounted to as com pared with in thi same 11 months of the 1932 year JOE BRAND WIFE IN CRASH 65 Year Old Comedian Hur When Taxicab Runs Into Steel Pillar NEW YORK June 2 Weber 65 year old comedian of th famous team of Weber an Fields and his wife Lillian wer seriously injured today when th taxicab In which they were riding ran into a steel pillar Weber and his wife were taken t Mount Sinai hospital where doctor said the comedian suffered Interna injuries and a fracture of the right ankle He was Immediately operated upon and hospital authorities de scribed his condition as satisfac tory Mrs Weber who is 56 suffered a fracture of the right thigh bruises CAPTURE ONE OF FUGITIVES FROM KANSAS PRISON Wes Close on Trail of Two Companions in Arkansas SILOAM SPRINGS Ark June 2 Bechtel one of the 11 convicts who escaped from the Kan sas penitentiary Tuesday was cap ured this afternoon at a farmhouse ne and onehalf miles from Drip ping Springs Okla He ataultted his dentity Posses were close behind two of his companions The capture was made eight miles northwest of here A posse headed by Floyd Gleen Hint Creek deputy sheriff took Sechtel by surprise as he was eat ng a meal at the farmhouse He of ered no resistance Served Terms Before Bechtel is under sentence of 10 o 21 years in the Kansas prison or bank robbery in Wallace county previously had served prison terms in Idaho and Missouri The captured convict was one of he group of five who kidnaped Mrs M J Wood of Kansas City and two girls in fleeing from the penitentiary The gang comman leercd their automobile near Lans ing Kans and held the women captive for more than 10 hours re leasing them unharmed near Pleas aaitpnKans TuescT Tnight BechteJ four companions all young took advantage of the break by Wilbur Underbill Harvey Bailey and four other desperadoes to make their escape from tile peni tentiary Good Time Allowance TOPEKA Kans June 2 six months good time allowance for approximately 1000 convicts who did not avail themselves of an op portunity to participate in the Memorial day break from Kansas penitentiary was announced today by Gov Alf M Landon Oklahoma Pair Caught STUART Okla June 2 Jim Stribling and H D Bradford who fled from the Oklahoma state prison at McAlestcr late Wednesday were captured last night when they tried to board a train herri STEAL GAS IN IOWA LOGAN June 2 men believed by Sheriff B F Cross to be escaped convicts from the Kansas state penitentiary fled into the Mis souri river hills after stealing 25 gallons of gasoline at a Magnolia garage Magnolia Is a small inland town about five miles west of here The car they were driving was a new coach Chevrolet hearing the Kansas license number 182326 The garage proprietor aaid the men stopped outside his garage about 1 a m and he was unaware of their intentions until they had completed Hilling a drum In the back seat with gasoline from his pump and sped away Officers in Harrison and sur rounding counties were notified to be on the lookout Check of Kansas motor vehicl records showed that license plate were issued to Harry Bur den of Herington Kans on a ca of another make Ford tudor than that used In the robbery here Will Rogers BEVERLY HILLS Cal June prices have advanced 17 per cent in the last month Now thats better news than a speech on Good Relations by Mussolini and Hitler combined Our new ambassador to Eng land got so elated over the Prince of Wales introducing him that he turned over Amer ica to England to be used as they saw fit It takes a strong man to remember what country he la representing when the wine and the flattery start flowing If the republicans ever decide to enter another presidential candidate they better hire this little wop Pecora to run for em He is the best hot I flee right now Yours WILL Copyright 1033 McNaught Syndicate PECORA GLASS SHAKE HANDS Senator Carter Glass left of Virginia and Ferdinand Pecora shook handy after Pccorn had compiled with Glass demand to say definitely what he expected to bring out In the senate hanking committees In vestigation of tho J T Morgan banking house Associated Press BURNS FATAL TO CHILD AT CRESCO 11 Months Old Girl Burned to Death While Asleep Near Oil Stove CRESCO June suffered by Adeline Emma Webster 11 months of age while her parents Mrs and Mrs Calvin Webster were a short distance from the house re sulted in her death yesterday after noon The girl was buried this af ernoon The girl was burned while she was sleeping near an oil stove at the Webster farm 7 miles south west of Crcsco Her brother of age was playing in the louse while his parents were out n the yard How the girl was burned is un tnown but the parents believed be small brother played with pa ers and got them too near the itove The girls bedclothing It is thought was then ignited Hearing screams the parents rushed into the house to find the kitchen full of smoke The clothes were burned off the girl but ahc was still alive She wns rushed to Mercy hospital here where she died 10 minutes later Short services were conducted at he Now Oregon cemetery The Rev W Moench pastor of the Im manuel Lutheran church officiated Surviving are small brother the parents and 3 Persons Still in Serious Condition After Auto Mishap RED OAK June 2 persons were in a serious condi tion and three others were recover ing today after a collision betwecr an automobile and a truck The seriously injured are Leon ard Burris 65 Spicy Burris 57 and John Mason 76 all of Corning Others hurt are Mrs John Mason and Mrs Perry Cummings of Corn ing and C R Mallow of DCS Moinea The accident occurred at the in tersection of highways 34 and 71 here yesterday when the Burris automobile ran Into a truck driven by Mallow ADMINISTRATION FORCES BEATEN Senate Suspends Rules to Take Up Amendment to Limit Vet Cuts WASHINGTON June 2 Overturning administration forces the senate today suspended its rules to permit consideration of an amendment to the Independent of fices bill limiting to 15 per cent any cut in compensation of veter ans with service connected disabili cs The vote suspending the rules was 59 to 21 Before a vole could be had on the Trammel amendment itself Sena tor Robinson the decocratic lead er proposed changing the limit to 25 per cent In Line With Wishes This was in line with administra tion wishes as earlier announced by Senator Byrnes DS who Is n charge of the bill in accepting a proposed similar change by Senator Cutting R N Cutting would not offer his amendment until the Trammell pro posal was disposed of hoping the Florida senators amendment would carry so Robinson offered it as a substitute Amendment Rejected The Robinson 25 per cent amend ment was rejected despite that only a majority was needed to approve it The vote on the Robinson amend ment was 25 ayes and 51 noes A coalition of 24 democrats with 26 republicans and Shipstead the farmerlabor member piled up the votes against the Robinson amend ment Three republicans joined 22 demo crats in voting for the proposal Iowa Named in Suit Brought to Suspend Law on Prison Goods DES MOINES June 2 was notified through Attorney General E L OConnor that the state is a defendant together with 18 others In an Injunction suit brought by Alabama to prevent the defendant state from carryingout the provisions of their laws re garding sale of prison made goods The suit has been filed with the U S supreme court QUESTION ASKED ON INCOME TAX BRINGS PROTEST Reveal Morgan Bankers Pool Made Profit in 1929 Deal WASHINGTON June 2 The senate Investigation of J V Morgan and company was abruptly recessed for the weekend today after John W Davis counsel for the firm protested against a question directed at Thomas S Lament junior partner that was leading up to the subject of his income tax return The white haired Davis former presidential candidate leaped to hia feet to object when Ferdinand Pe cora aggressive senate committee counsel called young Lament to the stand and asked him about sales of stock Dec 30 1930 This is not fair play Davis pro tested asserting that Lament had not been advised he would be ques tioned about the stocks Iamont Sita Quietly While Lament sat quietly at the table and his senior P intently from the background Davis and Pecora argued the question Chairman Fletcher finally ruled the question was pertinent Lament then said he did not recollect about the sales and he was directed to look them up over the weekend Davis asked Chairman Fletcher for a meeting of the committee Monday beforethe resumption of the ppemimahly to decide tinent Inside it Market The suddenCessation of question and answer which through several hours had held the rapt attention of another crowd because of George Morgan partner the inside story of huge market operations to stem tho market fall of late 1029 caught everybody by surprise The question which started the dispute wns an Inquiry by Pecora of Lamont whether he remembered he had sold on Dec 30 1D30 the fol lowing blocks of stock 1500 shares of Continental Oil 200 Durium Products 300 Hall Electric Heat ing 237 P R Mallory company 1000 Shamrock Oil and Gas 500 State Street Investment company Investment corporation of Phil adelphia and 1000 Simms Petrol eum Refuses to Answer After the recess was taken Pe cora refused to reply to questions from newspapermen whether the question had any connection with the question of income taxes but Chairman Fletcher later said it had Previous testimony before the committee had disclosed that the 20 Morgan partners paid a total of income tax in 1930 The senate banking committee Was taken today behind the scenes of financial drama of tho chaotic days of late 20 by a J P Morgan and company partner who told In matteroffact fashion how a few at their the crashing market It was a profitable operation too Expected IMHS George Whitney the Morgan part ner testified that although loss had been expected the shares purchased were sold for more than the cost exclusive of In terest The massive purchases last some three weeks It ended as I recall on Nov 11 said Whitney quietly while cars Turn o Tntlf 1 Column l Zeppo Marx Figures Too Much Robbery Too Much LOS ANGELES June 2 Marx apartment here ast Zeppo Marx of the Brothers Marx comedians figures too much rob bery Is too much He was shy today the following articles of jewelry A platinum ring set with a 12 carat stone and valued at a platinum brace let set with rubies and diamonds valued at same amount a pair of platinum clasps diamond set worth 4000 and a platinum pin Set with diamonds That was the haul of a brace of holdup men who politely invaded night covered Zeppo his wife a guest and a maid with weapons and rifled Mrs Marxs jewel case It wouldnt have been so bad if the same stunt hadnt been pulled in the Mnrxs1 absence about five months ago when the loot was 537500 Im tired said Zeppo tired of being robbed He obtained no description of the robbers The loss was covered by insur Wea IOWA WEATHER Mostly cloudy probably I thunder storms in cast portion Friday night or Saturday anil Friday afternoon or Friday night in HouthwcBt portion cooler in northwest portion Fri day night and In east and nnuth portions Saturday LOCAL STATISTICS GlobeGazette weather figures for 24 hour period ending at 8 oclock Friday morning Maximum Thursday 87 Minimum n Night 6S At 8 A M It Thursday afternoon saw the warmest weather thus far recorded In 1933 The days high mark ex ceeded by 2 degrees the May max imiipL ;