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Mason City Globe-Gazette (Newspaper) - November 17, 1939, Mason City, Iowa NORTH IOWAS DAILY PAPER EDITED FOR THE HOME H 4 R L G N R HIST V F M D f r c F i p D E s u o i VOL XLVI THE NEWSPAPER THAT MAKES ALL NORTH IOWANS NEIGHBORS ASSOCIATED PRESS AND UNITED PRESS FULL LEASED WIRES FIVE CENTS A COPV MAION CITY THC BRIGHT SPOT Consumers to Resist More Tax By CHARLES P STEWART Central Press Columnist Tax conscious consumers will be heard from when congress takes up farm money bills at the session opening Jan 4 Strong re sistance by the keeper of the family purse will be aimed at any revenue raising scheme which advances the cost of liv ing Consumer interest is in creasing daily Practically all the womens or g anizations have programs designed to Li Charles P Stewart cover needs for information and guidance Study forums have been devised to give club women more knowledge on buying to discuss labeling and standards to inquire into prices Tax consciousness is becoming acute and vocal and written resistance will flow con gressward against any revenue measure which tends to cut down the supply of essential foods on the daily table Immediate targets for the club women and consumer groups to shoot at already are before con gress Bills left over from the last regular session will come up for early consideration in 1940 Foremost on the calendar will be food and clothing processing tax measures affecting wheat rice and cotton Theyre not called processing taxes They camou flage as wheat rice and cotton certificate allotment plans All levy on the manufacturer He cant absorb the cost so the levy is passed on to the bread the pudding and the garments that the consumer eats and wears Club women as such may be well enough off to meet the addi tional tax cost but how about their fellow Americans whose pocketbooks are less corpulent A spirit of fraternity between the lowly and the betteroff is grow ing Ultimate Consumer Now lets see what confronts the ultimate consumer at the coming congress At the last regular session there was appropriated out of the fed eral treasury something in excess of for farm benefit payments Twothirds was ear marked for soil conservation The balance is required for crop con trol and other farm aid payable during the current fiscal year ending next June 30 Agriculture department econo mists admit that farm prices have improved since the wars out break They predict continued im provement in only on the supposition that the war will continue for nt leas a year They express doubt that congress will be as generous with the peoples money at the next session so methods to raise a portion of the funds through taxing the com modity are being explored Direct taxation schemes have been evolved by Senator Wheeler of Montana as to wheat by Senator Ellender of Louisiana as to rice by Senator Lee of Oklahoma as to cotton The three measures authorize the agriculture secretary to fix Iho allotment that wheat rice and cotton farmers may grow and to pay these producers by certifi on the they market The certificates in turn must be paid for by flour and rice millers and cotton manufacturers when they sell the processed goods lo the ultimate user Thus the cer tificate becomes a tax on each pound of flour and rice and each yard of cotton which finds its way to the consuming public The bur den is limited only by thc needs of the consumer Hundreds of Millions When the original processing tax scheme was tried in NRA days I9343G the governments sum of out of the American citizens food and clothing budget Flours contribu tion was the largest item Cotton was a close second Rice eaters were the least affected The wheat flour Millers Na tional Federation calculates that 155 pounds of flour are consumed annually by each of Americas 130000000 people The Food Re search Institute of Stanford Uni versity estimates that we get away with about 103000000 bar rels of flour annually This is put at equivalent to something like 471000000 bushels of wheat It makes the human brain reel to distinguish between pounds busheis and barrels expert reckoning but its an MASON CITY IOWA FRIDAY NOVEMBER 17 1939 THIS PAPER CONSISTS OF TWO SECTIONS SECTION ONE NO 34 LONDON SEES GERMAN SPLIT GeneralMotors Loses FIRM IS GUILTY BUT OFFICIALS GET CLEAN BILL Indiana Jury Brings in Verdict After 17 Hours Deliberation SOUTH BEND Indiana Judge Walter C Lindley imposed fines of 5000 each Friday on Gen eral Motors corporation and three affiliates convicted Thursday night by a jury oi violating the Sherman anti trust law Prior to imposing the fines the maximum pro vided by law the judge over ruled motions for a new trial and arrest of judgment Defense attorneys said they were unable to understand why the companies were convicted while 17 codefendants all offi cials of the firms were acquitted A federal court jury of Hoosier farmers and merchants returned the verdict Thursday night after 17 hours and 15 minutes delib eration marking another victory for the department of justice in its antimonopoly offensive The individuals acquitted in cluded Alfred P Sloan G 31 C board chairman and William S Knudsen G M C president two of the countrys leading indus trialists The that G M C the individuals and the General Motors Sales corpora tion the General Motors Accept ance corporation and the General Motors Acceptance corporation of Indiana conspired to restrain in terstate commerce in violation of the Sherman antitrust act by forcing retail dealers lo use the G M C affiliates in financing automobile sales Dealer witnesses had testified they were ordered to finance through G M A C under penalty of losing their fran chises Corporation officials in cluding Sloan and Knudsen had denied such orders had been given The verdict affected not only the G M C companies but also the Ford Motor company and Chrysler corporation a g a inst which similar indictments had been returned 3 The indictments against Ford and Chrysler had been set aside under a consent decree Under the decree the companies agreed to cease alleged violation of the Sherman net with a provision that the decree would be permanent if G M C and codefendants were found guilty Judge Waller Linriley made no comment when thc verdict was returned but immediately nd journed court until 10 a m Fri day and instructed defense attor neys to make heir motions at that time Chief Defense Counsel John Thomas Smith declined to say what motions would be made but indications were he would ask a new trial I dont understand how four corporations could be found guil ty of the charge and the officials of the corporations found inno cent he said Bridge Worker Loses Balance Falls Drowns DAVENPORT Mizlo a mainteaiancc man on the Betten dorfMoline suspension bridge was drowned Friday morning when he fell into the Mississippi river Mizlo was working on a window in the bridge office when he lost his balance and fell 50 feet into the water Searchers hampered by a heavy fog have not recoveredthe body The certificate plan envisions a tax on each bushel of wheat milled into flour If Secretary Wallace fixes the lax at only cento a bushel this means that he ultimate consumer is confronted with an annual icvy approximati ing 5142500000 i Beginning in This Issue of the MASON CITY GLOBEGAZETTE Is a New and Thrilling Serial by Miss Marie Blizard TELL BILL GOODBYE Is the Title of This Dynamic Yarn TURN TO COMIC PAGE Capone Mobs Hand Seen in Chicago Death Former Gangster Stares Blankly at Walls in Hospital BULLETIN WASHINGTON ney General Frank Murphy said Friday that Alphonse Capone no longer is under federal guard Should the onetime gangr chief tain attempt to resort to his former activities Murphy said the department of justice will be ready to bring him under stirveilliancc CHICAGO UR Investigation of the shotgun assassination of Edward J OHare millionaire race track magnate pointed di rectly at the powerful Capone syndicate and official sources ex pressed fear the slaying had marked the opening of a new era of gangland warfare in Chicago States Attorney Thomas J Courtney and his assistant Capt Dan Gilbert said they had no doubt OHare was slain by the mob in revenge for twotiming its leader Scarface Al Capone That was the concensus of official Chicago based on these develop ments 1 An unimpeachable source re vealed that OHare in 1931 sup plied the government with the witnesses whose testimony con victed Capone of income tax fraud and sent him to prison 2 Chief Deputy Coroner An thony Prusinski found a letter among OHares personal effects dated Oct G 1937 and signed which informedhim two convicts released from Al catraz had heard Capone big swear he was going to have OHare The letter con firmed information obtained from a high federal source at Wash ington that OHare had informed officials that Capone had threat ened his life 3 Investigators received reports that trigger men who worked for the Capone syndicate during the prohibition era when there were more than 4000 homicides in Chicago were returning to the city Police had reported during the course of the OHare investi gation that several members of the Capone mob had been seen recently at Sportsmans park race track of which OHare was presi dent and which Capone had con trolled before he was sent to prison Cap ones Mind a Blank BALTIMORE W Broken flabby and ailing Scarface Al Capone stares vacantly at the ceil ing of a hospital suite free of prison cells in which he lived for seven years but sen tenced now to a lingering brain disease Police Commissioner Robert E Stanton said no city police are on duty in the hospital and no requests have been made for them Only thc regular patrol man who covers a beat ot four blocks is in the vicinity Supervising Nurse Lizette C Gunther said Capone had a good night and ate breakfast The gangster chief came here secretly Thursday from the federal prison at Lewisburg Pa and en tered the general hospital as the patient of Dr Joseph E Moore former director of the syphilis di vision of the Johns Hopkins medi cal clinic He was suffering from paresis of the it was learned that while his con dition was serious he was in no immediate danger Dr Moore and hospital officials declined to discuss the case At torney General Murphy said Ca pone would be under treatment possibly three weeks and planned to go to Miami after his dis charge Murphy added that rela tives had assured him the racke teer who served his time for in come tax evasion would go straight Hospital attendants said Ca pone looked pale and weak His wife mother and brother Ralph were with him when he arrived and arrangements were made for the latter to occupy the second bedroom of the suite Al Capone Leaves Pen Enters Hospital Tllis JapsAdvance in China But Reports on New Drive Differ Widely HONGKONG re ports a steady advance in western Kwangtung province toward Chi nas back door links with French IndoChina and British Burma but the Chinese minimized both the effectiveness nnd extent of the campaign The Japanese said their forces which landed Wednesday 45 miles west of the treaty port o Pakhoi on the Guif of Tonking and 35 miles east of the IndoChinese border had driven northward 30 miics to Yamshien about 25 miles from Kwangsi province one of their objectives They said Chinese resistance was negligible LOOK INSIDE FOR The Chinese however declared the Japanese landing and at tempted advance were resisted stubbornly with Chinese gunners sinking a number of Japanese landing boats They did not ac knowledge the Japanese report of an inland advance Chinese reports of the drives scope varied Some said the Japa nese military was assembling strongly in the Pakhoi area and others that thc landing forces were largely seamen weakly supported by thc army without which an in land campaign would be impos sible V A Japanese militaryspokesman said the object was to cut across Kwangsi province and then Yun nan Chinas extreme southwest ern province thus severing the highways and railroads which have kept the Chinese government linked with the outside world since Japan closed the coast The site of the landing in south ern Kwangtung province is com paratively open country but in land tiie terrain becomes increas ingly rugged The indicated route Kwangsi is 230 miles or more and Yunnan is 500 miles broad YOUNG Swope Young Step Out of G E Positions PAGE 1 Tough Gophers Ready to Test Hawk Eleven PAGE n Ackley Justice Takes 52 License Fees PAGE New US Trade Pact Blacklists Germany WASHINGTON President Rouevclt Friday proclaimed a reciprocal trade agreement be tween the United States and Ven ezuela in which German products specifically were blacklisted from receiving any concessions in tariff rates WEATHER FORFOOTBftLL IowaFootball Give Eddie Anderson Auto in Appreciation HUUETIX DKS MOINES Ed tlie Anderson and his stalwart bane of Hawkeyesirot an exe cutive urilcr from Governor George A Friday to heal Minnesota Iowa fav ors neutrality but not this Sat urday Beat Minnesota the governor wired DES MOINES foot ball teams will have good playing conditions for the final weekend of the gridiron sport in the Hawk eye state the weather bureau forecast Friday The bureau said it probably would he cloudy nt Iowa City where approximately 50000 will watch I own and Minnesota meet in the feature of the universitys homecoming celebration It isnt very likely to rain at Iowa City There might be a trace but thechances are for good pkrying conditions the weather man said NEW CAR FOR EDDIK IOWA CITY fans of Iowa will present lo Dr Ed ward N Anderson University of Iowa footbill coach a new li0 Quick sedan at the pep meeting Friday night preceding Iowas homecoming game with Minneso ta The car a twotoned blue and gray four door sedan is tiie large streamlined model put out by thc Buick people It will be presented to Anderson by Dr Karl E Lcib chairman of the board in control of athletics at the university in behalf of the fans of thc state By THE ASSOCIATED FttESS PRAGUE 1200 stu dents removed as nazi guards occupy schools planes reconnoiter over west English coast for first time and over Shetland is lands military authorities believe Hitler and his gen era staff disagree B E R L I Roosevelts name injected anew into peace talk western front quiet PARIS German flyers scout over southeastern France Daladier goes to London for allied supreme war council meeting Japanese report30mile advance in new south China campaign The Weather FORECAST IOWA Fair in north in creasing cloudiness in south portion Friday night anil Sat urday possibly rain in extreme southeast portion cooler Satur day MINNESOTA Generally fair tonight and Saturday somc jvual colderiii north Friday night and in east and extreme south Saturday IN MASON CITY GlobeGazette weather figures for 2i hour period ending at f oclock Friday morning Maximum Thursday Minimum in Night At 8 A M Friday VICARAGO Maximum 52 Minimum LSU PRESIDENT CLOSE TO DEATH Loss of Blood From Suicide Attempt in Jail May Be Fatal BATON KOUGE La James Monroe Smith former president of Louisiana State Uni versity convicted o embezzling state funds is in a critical condi tion from loss of blood follovvmr a suicide attempt Physicians gave an intravenou injection Thursday night when lie iailed lo rally He had lost a large amount of blootl before he was discovered in his jail cell with a bleeding foot Sheriff Newman II Debrctton said he had lashed an artery with a razor Smith was to have been taken to Angola state penitentiary Fri day to begin an eight to 24year term He also must serve two and a half years in a federal pris on North Dakola Follows F U K BJSMAKCK Da kota will celebrate Nov 23 as Thanksgiving day Gov John Moses Thursday proclaimed the date as official Holland Fights for Icacc THE HAGUE planes and antiaircraft guns drove oft foreign aircraft sighted Friday at various places along thc coast going westward Nationality of the planes was not determined None was damaged Britain France to Pool Resources Kansan Honored WASHINGTON F D Farrell of Kansas State col lege was elected president Friday of the Association of Land Grant Colleges and Universities at the close of its annual session He suc ccjdcd Julian A Burruss presi dent of Virginia Polytechnic in slitutc LONDON meeting of tile supreme allied war counci in London Friday was followed by an announcement that plans hail been completed for common action in a variety of fields in cluding food and military sup plies and economic warfare A coordinating committee is to be established for pooling the two nations economic resources Premier Daladier and Marshal Gamelin represented France Prime Minister Chamberlain spoke for Britain y FREDERICK KUH I Lmtcd Press Staff Correspondent LONDON announce ment that Grest Britain and France have decided to establish a joint supreme council pooling thc resources of both em pires is now ready The same thing was done in thc World war but not until early in 1917 when the war was two and a half years old and special sig nificance was attached to thc plan now because Paul Rcynaud French minister of finance and national economy who is here ne gotiating it is said to envision a complete economic federation of Great Britain and France as the first step toward a United States of Europe after the war Although Keynauds scheme is believed a remote one now tiie creation of a joint economic coun cil at this early date would be regarded as n triumph of allied strategy especially since the war has apparently settled down to economics and starvation The plan Is said to involve mak ing nli materialsfrom the British dominions and colonies available to France under favorable condi tions and all the French wheat fruits and vegetables from home and Algiers available to Britain on thc same terms It was believed that the Uvo Rovnniments would create a joint committee tantamount to an allied ecomonic general staff probably stationed in London Britain according to neutral embassies here may al so extend credits on which France can draw for ncccssary commoditics French circles say France has mobilized onefifth of her man power for thc war compared to Britains oncfortyfifth although tiiis discrepancy will dwindle as tiie British war machine is ex panded A joint economic council it was said would substantially compensate France for the differ ences in the number of British and French troops under arms Hcynaucis federation plan which he discussed with leading British officials was said to provide a common customs union a common currency and a pooling of all re sources While little was expected to come of it now the subject was touched upon Thursday by Wlad islaw Sikorski premier of the Polish government quartered in France in a speech at a foreign press association luncheon Referring to the need for a united ami consolidated Europe he said it can be said with cer tainty that thc convulsions which are shaking ihe old continent lead now to the emergence oE tiie idea of European solidarity This i idea wiH sooner or later unite all of free s at SEEN AS CAUSE OFWARSDELAY British Hint They Will Retaliate If Cities Are Bombed LONDON British military authorities expressed conviction Friday that what they called Germanys indecisive tactics on the western front were the result of disagreement between Adolf Hitler and his gen era staff Thceso authorities did not dis close what information they had to support this view but said they considered it bolstered because Germany had not organized di rect hard blows against Britain and France which they said was the usual German plan There were hints also of sharp retaliation against any bombard ment of British cities V Asked what British policy would lie toward any bombing of open cities or any use of Kas mie source referred ques tioners to international law and to provisions for retaliation where thc law is violated A German warplane Friday flew over the Shetland islands olf thc northern Scottish coast scene ot a nazi air bombing Monday Alarms sounded in 13 towns over a wide area also in south west Lancashire Cheshire and North Wales after an unidentified plane flew over the region An allclear signal was given in a few minutes however The war office announceed that 20000 men were needed for home defense battalions of the British army V Germanys first stroke against British shipping in the Indian ocean started naval experts guess ing where lie nazi pocket battle ships arc roving A royal air force casualty list Thursday iiised the toll of Brit ish airmen killed since the start of the war from 135 to 165 in cluding 7 killed in action and 23 in active service War Continues to Be Mostly Words By THE ASSOCIATED PKESS Europes conflict continued Fri day to be fought mainly on the verbal front British military authorities of fered the conviction that dis agreement between Adolf Hitler mid his general stalf caused in decisive tactics by the nazis on the wesern front German authorities already had hinted their tactics would be riljiiiRec from the defensive to the at the same time weighed anew how the naiis would feel toward a mediation of fer by President Roosevelt President Roosevelts name was injected into informal peace talk in Germany Oct 6 Ger man authorities said Hitler would accept an armistice if proposed by the American exec utive with a view to a ffcncral European settlement Berlin introduced President Roosevelts name again Friday saying Germany would not be in terested in any mediation offer but would be likely to respond if he asked thc belligerents to out liiic their war aims as a move ward rinding a common basis for mediation French and Gorman communi ques recorded minor activity on the western front but warplancs were busy A German scouting plane flew over tiie western coast of Eng land and Wales but the British announced it was driven away by aircraft It brought thc war to the west coast for the first time Anti aircraft guns went into action in the industrial center of Manches ter and the shipping area along the Mersey Air alarms were sounded in Lyon and Marseille asGerman airplanes continued flight over southeastern France Hitlers blackshirted elite Rtinrris occupied Czech high schools and a technical institute and took away some 1200 stu j dent i There was no immediate ex planiiliui but L000 students i demonstrated un Wednesday i against tiie government Germany i set up in the protectorate A meeting ot thc allied supreme I V11 council was planned in Lon don French Premier Daladier i left Paris to attend ;