Evening star., 1934-04-15
President Orders Johnson
Ruling on All Assess
mentS on Business.
N0N-PAYMENT OPENS
WOLATORS TO SUIT
New Emblems With Serial Mum.
bers Will Be Distributed Soon,
White House Says.
BY the Associated Press.

BY the Associated Press.
President Roosevelt yesterday issued
an order under which future display
of the Blue Eagle will be allowed only
to those firms which contribute to ex-
penses Of code administration, where-
ever such outlays are required.
To protect employers from rack
eteering by organizers of industrial
groups, the President required that
all code authority rates of assess
ments and budgets of expenditures
must be approved by Administrator
Hugh S. Johnson before penny can
be collected.
The executive order does not COM
mand that every firm under every
code pay dues, but substantially leaves
this government controlled method Of
financing administration the only
avenue which may be followed.
To Ask Approval.
Industries, under the order, will
not be required to, but will have the
right to apply to N. R. A. for ap-
proval Of a financing plan, which
shall be put into effect if Johnson
Shall find approval by him Of such
clause is necessary"
Non-payment will constitute vio-
lation Of the code, subject the firm
involved to withdrawal of the Eagle,
deprivation Of all other code privi-
leges and expose it to suit fer collec-
ton on the part of the code authority.
pTnciIa9&Fc Il
road for early distribution of the new
code eagle" the same Blue Eagle
symbol shown in the past. but with
a serial number and the name of the
coded industry added to record af-
hrmat1ve compliance with the proper
code by the firm displaying it.
Eagle Held Up.
The code eagle has been held I'D
for months pending settlement of the
question as to how proper financing
OF industrial self-government was to
be obtained without invasion of the
individual firms constitutional rights.
President RooSevelt's new rule was
supplemented by regulations issued by
Administrative Officer G. A. Lynch in
the name of Hugh S. johnson, who
is still out of the city.
Lynch's order provides that, with
certain exceptions, employers will be
required to contribute to the support
of only one code authority regardless
Of the number actually affecting their
business.
1t also allows every firm a 15-day
period, following notification of as
seSsment by the code authority, dur
ing which a protest may be made to
N. R. A. Further, it details the pro-
cedure under which rates and budgets
will be approved.
Big Hurdle Cleared.
The presidential decision clears one
Of the N. R. AS biggest enforce
ment hurdles, but will impose upon
the Recovery Administration an added
volume of responsibility.
Despite the most vigorous attempts
at prosecution of violators, now under
way, N. R. A. leaders never have be-
lieved it would be possible for the
Government to enforce code COM
pliance. For the industrial governing
bodies to uncover violators and bring
them to compliance requires, in most
cases, a well-Supported Treasury.
Many industries, faced with difficulty
of collecting assessments from many
small firms. wanted the Government
to withhold the Blue Eagle from nom
contributors.
At the same time N. r. A. received
Continued on Page 4, Column So