davidaulloa/AmericanStories huggingface dataset:
Evening star., 1935-03-11
MELLON TAX CASE
HEARING DELAYED
Union Trust Co. Transac.
tions Considered for
AdmissabiIity.
BY tha Associated P-ess.

By the Associated Press.
PITTSBURGH, March 1.-THE
Governments effort to introduce
testimony about alleged tax evasion"
transactions by the Union Trust Co.
was deferred at least for few days,
at Andrew w. Melons income tax
hearing today.
Upon this question counsel for the
f1nancier and the Internal Revenue
Bureau argued for nearly two days
before it was taken under advisement
by members of the Board of Tax APP
peals hearing the case.
Hogan Brings Deferment.
Frank j. Hogan. counsel for Mel
Ion. brought about the deferme1r of
the matter with the withdrawal of
Karl r. Korb, vice president OF Union
Trust. from the witness stand, sub
ject to recall.
Hogan has opposed questions put
to Korb concerning the companys
affairs, contending they have nothing
to do with the case of Mellon, who
seeks a refund of $139 900 from the
Government on his 1881 tax return.
Henry Clay McEldowney. the banks
president for 35 years, died last Sat
urday. He was to have been called
as witness.
Turning from the subject Of Union
Trust the attorneys began delving into
highly complicated testimony about
the McClintic Marshall Co., in which
Mellon was heavy Stockholder. and
its merger with the Bethlehem Steel
Corp.
Mellon, almost 80, who says. Il
would rather spend the rest of my
days in jail than submit to such
tyranny" was present as the hearing
went into its fourth week.
Admissibility Argued.
For half week the $3,089, 900 hear
ing before the Board of Tax Appeals
has been begged down while attorneys
argued over admiSsibility of testimony
concerning the securities business of
the Union Trust Co, central banking
institution of the MELONS.
Presiding Member Ernest Van Fos-
san and his two colleagues spent the
week end at Van FoSsans Ohio farm
considering the question. There were
reports the board might lelay its
decision because of the death Sat-
urday OF Henry c. McEldowney. presi-
dent Of the Union Trust. but attor-
neys said they have received no di-
rect word this would happen.
Robert H. Jackson, counsel for the
Revenue Bureau. insists that Carl
R. Cobb. vice president of Union
Trust, should testify concerning cer-
tain bank transactions which Jackson
said would show the bank regularly"
engaged in tax evasion deals for
benefit Of its officers and patrons.
Evening star., 1935-03-11
Welch, California Republican,
DenOunces Conservative G.. O. p.
Foe of Smell Joins Lib.
eral Coalition Camp
of kvale.
Says Party Will Die if
"Do Nothing' Policy
Prevails.

The fire smoldering under Repre-
sentative Bertrand Smell, Republican
leader of the House. famed high
today when Representative Richard
j. WEIGH. a fourth-term Republican,
of California, tentatively moved into
the liberal coalition camp headed by
young Representative Paul Kvale,
Minnesota Farmer-Laborite.
Welch predicted liberalization or
death" for the Republican party, as
he urged return to the popular prin-
ciples of Lincoln and Theodore Roose-
velt.
The party will have to throw of
the group which has its knee in the
Republican stomach. The party today
can't breathe. It Is rapidly losing all
its adherents 1t makes no appeal
to the mass of voters.
Why, there aren't enough Repub-
lican members of Congress from dis
tricts west of the Missouri River to
fill my Office.
Denies Radicalism.
IF the political principles on which
this country was founded are to sur
vive, we must liberalize our aims. I
am no radical. Radicalism Is too
rife today. but I think the one means
of checking 1t is re-establishment OF
strong opposition party with def
mite policy OF advancement and an
end of the standstill principles i'm
posed on the Republican group at the
present time by a small group OF
stand-pat reactionaries."
Welch. a progressive from San
Francisco, who long has fought under
Evening star., 1935-03-11
WESTERN HIGH TEACHER
SINCE 1922 SUCCUMBS
Miss Jessie Blair Edmondson Died
Saturday at Garfield After
Two Months Illness,

Miss Jessie Blair Edmondson. math-
ematicS teacher at Western High
School since 1922, died Saturday in
Garfield Hospital after a two-month
illness.
Miss Edmondson, a member of the
Board of Admissions, was highly re-
garded for her adjustments of study
problems Her chief out-of-school in
terest was the promotion of the &C
tivities of the Girl Reserves.
Born in Almonte. Ontario, Miss Ed
mondson spent her youth in Belvi-
Sere, N. j.. where she gained her first
teaching experience in the local high
school. She was graduate of Wilson
College. at Chambersburg. Pa.
She is survived by her mother and
sister. Miss Beth Edmondson, both
OF Washington. Funeral services will
be held at the Church of the Cove
nant tomorrow at pm. Burial will
be in Oshawa, Ontario.
Evening star., 1935-03-11

fIOuu
figures required Interpretation He
contended that figures showing more
unemployed today than in May, 1894,
did not mean there we're not more
employed also.
He said the unemployment figures
included a theoretical addition OF
several hundred thousand people who
we're supposed to have become en-
ployable during the period.
Pointing out that unemployment
figures showed the jobless had in
creased by more than a million, Byrd
asked:
You don't contend million people
came into the field since May, 1934?"
No" Richberg replied. but you
don't get the exact picture by those
unemployment figures"
Despite the rainy weather another
capac city crowd was on hand to hear
Richberg. after a week end during
which the director of the Emergency
lican, of Idaho exchanged sharp crlt1-
cism of each other ON the subject OF
monopoly.
Richberg said Borah, if given a
change, would help lead us back to
chaos" Borah called Richberg a
friend of monopoly and a pronounced
foe of labor and small business"
Richberg, who is director Of the Ma
tional Emergency Council, declared
that the Idaho Republicans demand
that all of N. r. A. be scrapped except
minimum wages, maximum hours and
q prohibition of child labor would lead
to situation in which:
"Monopolies will flourish, unem-
ployment will increase, farm prices
and wages will fall and relief burdens
will rise"
Borah, a leader among N. r. AS
critics, came back with declaration
that "Richberg is the last person IN
the world to talk about monopones-
"If he is against monopolies and
trusts and combines and wants to
stop their preying upon the people
of this country, let him stop side
stepping and finessing and come out
openly for the restoration OF the Laws
against monopolies and trusts and Tor
their enforcement" Borah said.
Richberg contended that it is what
the most reactionary rulers OF big
business have been urging privately
and sometimes publicly for several
months.
Under this program, wage earners.
consumers and small business men
will be stripped Of any real protection
against unfair competition"
Evening star., 1935-03-11

CONTINUED From First Page)
for payment of a coupon due october
IS. 1884. on a Fourth Liberty Loan
bond. which the Treasury attempted
to call for payment April Is. 1884. and
pay in currency Our claim Is that
the Treasury must either pay the
principal in gold, or continue to pay
interest, at least until the final ma
turity as stated in the bond We have
not insisted that the interest be paid
in gold. but have been denied pay
ment in any kind of money (of the
original gold value). on the ground
that the bond has matured by call.
No claim is made for damages in eX-
cess of the face value of the coupon
sued on.
'The effort of the Government both
to change the value of money. from
time to time, and then to fix the time
as of which it will pay its debt. is.
of course. an even more extreme form
of reputation than that una nimously
denounced by the Supreme Court
in the three opinions filed in the
recent case of Perry VS.. the United
States. We believe that the credit of
the United States cannot long survive
If the Treasury can declare bonds due
and payable when. as, and If. it
pleases, in money of any value it may
happen to fix at the time"
Sl.o7 Involved.
The face value of the coupon on
which suit Is brought is sl.07. It
is a small sum. but because of the
principle involved. it becomes ex-
tremely important.
So important was the question
raised by this suit against the Gov
ernment considered today that the
opinion was expressed the Attorney
General would ask that it be ex-
pedited to the Supreme Court for final
decision.
Not only does the question raised
have bearing on ref1nancing of the
Liberty bonds, but it also affects the
refunding of the 2 per cent consols
and the Panama Canal bonds which
Secretary of the Treasury Morgenthau
called today.
Evening star., 1935-03-11
MINE STOCK DEAL
IS BEING PROBED
Fluctuations of Grandby
Shares Reported Follow.
ing "Information."
By the Associated Press.

BY the ASSOCldtcQ EIcSe
The Securities Commission today
began an investigation into the stock
transactions of Nathan L. Amster.
prominent New York attorney, and
other officials of the CRANKY Consoli-
dated Mining & Smelling Co. Ltd. of
British Columbia, in the shares OF that
company.
AmSter appeared an hour and half
late at the hearing. after Thomas
Lynch. commission counsel, disclosed
he had fruitlessly searched for Amster
since February IS in an effort to
subpoena him. His appearance was
noted In the record without comment
from the commission.
Lynch read figures on Amster's
transactions to show that he engaged
heavily in the market after the COM
pany'S board had transmitted certain
information to stockholders
This information was in q letter
dated November 8, 1884, warning
stockholders that the directors felt
the company's principal operating
company should be closed.
But on November 81 the company
sent out another letter disclosing that
it possessed quick assets of 5000 a
share.
On the first letter the stock fell al
most Immediately from S613 to 81. but
then, after the second letter, moved
up rapidly to SITS.
Lynch said that of the 81, 400 shares
of the company. which were traded
In from November 8 up to but not
including November %, Amster bought
10000.
All but 1900 shares he bought at
between 81 and IS apiece, the bal
ance at between $5.13 and $3.50.
"All Of this" Lynch emphasized.
was before the dissemination of in
formation to stockholders that there
were 5000 quick assets per share"
Evening star., 1935-03-11

Continued From First Page)
ing Office will be completely elimi-
mated" he said.
Il cannot exactly say that there has
been much ado about nothing. but I
think I can fairly say that a noun
tain has been made out of molehill
The Secretary's letter TO the controller
general January 30 was unfortunately
phrased, and the public has got the
impression that the Navy Department
has cut loose entirely from the domi-
nation of the controller general re-
Specting the determine ton of the pro-
priety Of naval expenditures. That is
a wholly mistaken idea
What has occurred is Just this
The law has not expressly provided
for the transportation at public ex-
pense of officers from their last place
of duty to their homes to await
orders either for retirement or TO
new post of duty. No one will serious
ly contend that Congress ever meant
that such travel should be at the ex-
pense of the officer. The law, how
ever. has not recognized it or. at least,
the law is not clear. and the general
accounting Office refused to read
something into the law that was not
there.
Says Letter Misinterpreted.
Some one long since should have
come to Congress to have the law
amended Instead, officers have
sought and have been granted relief
in the Court of Claims. 1t is only as
to cases of this particular kind, abso-
lutely no others, that the Navy De-
partment has announced its inten-
ton to be governed by the uniform
line of judgments rendered by the
Court Of Claims. The department let
ter to the controller general has been
grossly misinterpreted and it is to be
regretted that the department itself
did not issue a clarifying statement
Immediately following the erroneous
impression conveyed by the newspa-
pers on account of the letter not being
more explicit"
Representative Otter, Republican,
of Pennsylvania. who first called the
attention of the subcommittee to the
fact that the Navy Department was
quoted in the newspapers as defying
a ruling of the Attorney General and
who led in the discussion today, with
Secretary Swanson as witness. said:
THE persistence of the Secretary OF
the Navy and his determination to
ignore the controller generals ruling
may result in the House Appropriations
Committee refusing to recommend
appropriations for the transportation
of the class of officers in dispute"
Otter Backed McCarl.
In my opinion said Represent
ative Otter, the controller general
is the final arhiter. The great thing
in this entire case is the establish
ment of a precedent. If the door is
open for peep, it can be opened all
the way, which would ultimately result
in various department heads ignoring
the rulings of the controller general"
Evening star., 1935-03-11
Births Reported.

Lewis and Margaret Smith. girl.
David r. and Mary williams. boy.
Charles p and Valera Reckert. girl.
Herbert r. and MARCEL Bishop. girl.
Msrceilus and Marjorie Landon, girl.
Lawrence and Sarah Seltzer, boy
James r and Gladys Snakenberg. boy.
Thomas and Agnes Hunt. boy.
Morrison and Mary Johnson. girl.
Jesse and Dora Johnson. boy.
Nelson and Louise Jones' boy.
Willis B. and Bessie Ratif. boy.
Eugene and Pearl Hall. boy.
Lucius and Marearet Mckay. boy.
Harry and Natalie Burton, girl.
Joseph and Ruth Webster. boy.
Lin wood and Leucie Smith. boy.
Louis and Esther Syphax, girl.
Evening star., 1935-03-11

the liberal banner of Senator Hiram
Johnson. has supported almost all the
measures proposed by President
Roosevelt.
Raps DO Nothing" Policy.
The President is the only leader
who has offered the country a definite
program. II it falls fiat, heaven
knows what the result will be, but
the only alternative to the administra-
ton policy is opposition based purely
on the principle of reactionary do
nothing"
WEIGH voted present" in the Re-
publican organization caucus last
January which renamed Smell to the
leadership post.
"a refusal to hberalize the Repub-
lican party will mean its end" Welch
went on. And the end OF the Re-
publican party will mean chaos in our
Government. This Nation requires a
two-party system. The dozens of
factional splits that would come with
a one-party House would balk all
action"
Evening star., 1935-03-11
WAGNER-STRESSES|
LABOR BILL NEED
Author of Measure Says 1t
Will Help Balance Eco.
nomic System.
Nv the Assoe,a,sd prss,

BY the Associated Press.
Senator Wagner, Democrat, of New
York told the Senate Labor Commit
tee today his labor disputes bill would
do much to round out "a balanced
economic system"
The first witness to testify at the
opening of hearings on his measure,
the New Yorker said:
Our alternatives are clear. If we
allow section IA (of the recovery
act) to languish, we shall be con-
fronted by intermittent periods Of
peace at the price of economic liberty,
dangerous industrial warfare and dire
depresSions
Claims Balance Possible.
ION the other hand, If we clarity
that law and bolster it by adequate
enforcement agencies, we shall do
much to round out the program for a
balanced economic system founded
upon fair dealing and common busi-
ness sense"
The Wagner bill is supported by the
American Federation Of Labor and
the National Labor Relations Board.
but opposed by many industrialists.
1t would create a permanent Ma
tional Labor Relations Board with
power to carry its decisions to court
for enforcement.
Make a part Of the law the ina
jority rule" by which a majority of
employees in any plant would select
the collective bargaining agency for
all employees
OUTLAW the company dominated
union.
Endorsed by Biddle.
Support for the bill was voiced be-
fore the hearings started by Francis
Biddle, chairman Of the National La
Dor Relations Board He predicted
that, if enacted. it would lead to a
legal fight and would be upheld by the
Supreme Court.
Biddle disagreed with the decision
of Federal Judge John P. Nields in
Wilmington. Del, that labor relations
in manufacturing were not subject to
congressional regulation
Later in the hearings prominent in
dustrial leaders are expected to tell
the committee that they consider the
bill is designed to unionize all in in
dustry
All the bills principal provisions
already are being tested in the courts
in the form of Labor Board decisions
Evening star., 1935-03-11
What's What
Behind News
In Capital
Commodity Br o k er
Gives Capital Crowd
Its Silver Dinners.
BY PAUL MALLON.

BY PAUL MALLON.
~HE only bright spots in an
otherwise dull special lobbying
season In Washington have
l. been two or more mysterious
monetary dinners which have
been held at downtown hotels.
Senators and Representatives. par
ticularly inf1ationists, have attended
in considerable numbers, as have other
distinguished, Washington officials.
1t is not customary in Washington
for guest to inquire who is paying
for free dinner. Especially not at
such elegant ones as these, where
good food was accompanied by the
best wine, cigars and fairly good
after-dinner arguments about why
the Government should do some
thing more for silver.
A few inquisitive guests were prop
erly rebuked for their social error in
inquiring about the purport of these
affairs
What they suspected, hoUeUer, is
true; namely, that Neto York
commodity broker Was the guiding
genius, If not the sole financial
angel, Dho promoted this congress
sional StlUer mama. The last din
ner yaS arranged at the hotel in
his otDn name.
Evening star., 1935-03-11
MRS. HAWLEY RITES SET
Widow of Late Admiral to Be

Widow of Late Admiral to Be
Buried in Arlington Tomorrow.
Funeral services for Mrs. Ella Moore
Hawley, widow of the late Admiral
John Hawley, will be held tomorrow
at IL am. in Arlington.
Mrs. Hawley died last Wednesday
at the age of IS at Coronado. Calf.
She is survived by her brother. Charles
c. Moore of Boston; her daughter,
Mrs. L. B. Anderson of Coronado, and
two granddaughters. Iindon P. An
derson and Carroll Hawley Anderson.
Evening star., 1935-03-11

The philanthropic purposes of the
broker will be suggested if you check
his name on the Morgenthau list of
silver holders. The list says he held
only $4,000 ounces at the time it was
prepared last year.
If this is all he had, he is entitled
to a Silver-tipped halo as the most
diSinterested angel who ever fitted
around the Capitol dome promoting a
political issue
His profit from $4,000 ounces would
not be enough to pay for beer and
sandwiches for the congressional in
flationists.
Silver Rush Is RuShless.
The Treasury is still very secretive
about disclosing the extent of its
headlong rush toward a silver boom.
No figures are being given out. pos
sibiy because the rush has not been
very headlong.
There are lDdys OF proving, h0u-
eUer, that the Government has &C.
CURED Just about 317 900, 900 ounces
OF Siluer since it announced the
siluer-buytng program last year.
The Average price paid tDnS so
cents an ounce. This means the
cost so far has been about $685.
100000. 1t also means that ,oho-
eUer sold the silUeT to the Govern
nlent made profit ranging up to
a maximum of rs cents an ounce.
The amount seized by the Govern
ment was approximately l12,000.000
ounces. The amount it has purchased
since then is about 205 900, 900 ounces.
These figures may be contested, but
you will find they are within per
cent of being exact. They show the
rush has not yet started.
Labor Paradox Explained.
If all the howls of labor against
the N. r. A. were compressed into
one big shrek, you would have the
worlds loudest noise. not excepting
Huey Long. No group has ever been
more vociferous ON any issue
Yet, the other night, labor Cthrough
Spokesman William Green) issued a
statement urging continuance of
N R. A.
The secret of this labor paradox is
simply this:
The industries which want the N.
r. A. are coal, textiles, construction,
canning. oil, and even steel, which
has its fingers crossed about section
Ia. These are generally the highly
competitive industries. They employ
$4,000 900 men.
Against N. r. A. are the less
competitive industries. such as
aluminium, tobacco, packing, ship
ping. telegraphing. They employ
roughly 100000 workers.
AS between $1,000, 900 workers on
one side and 1000, 900 on the other. it
was not difficult for Mr.. Green to
make up his mind.
Evening star., 1935-03-11
Congress in Brief
BY the Associated Press.
TODAY.

SENATE.
Debates $3.50, ,ooo, 900 work and re-
lief bill.
Finance Committee resumes uues-
tioning Of Richberg In N. r. A. In
vestigation.
Labor Committee opens hearing on
Wagner labor disputes bill.
Interstate Commerce Subcommittee
takes up water transportation bill.
Agriculture Committee continues
hearing on A. A. A. amendments.
HOUSE.
Takes up pink slip" measure.
Ways and Means Committee con-
siders economic security bin.
Appropriations Committee works on
Navy appropriation measure.
Evening star., 1935-03-11

Huey Long Slyly changed his figures
in his last radio appearance. Instead
of confiscating all individual wealth
over $4,000. 900. he is now going to
seize all over three or fo'" millions.
Apparently he has been studying
arithmetic. and has discovered that
the figures he has been using for two
years did not even add.
Now all that remains to be ex-
planned is how he is going to split up
the Ford factory, General Motors,
United States Steel and the Brooklyn
Bridge among his followers.
Your share of the split probably
will be a spare part of the good will
Of Ford, a piece Of the overhead of
General Motors and the air under the
bridge.
Smart Showmanship.
Huey's last broadcast was one of
his smartest. He sent out advance
word that he would answer Gen
johnson. BY this device he drum
med up a larger audience than he
ever had or ever could get otherwise
Many fight-lovers sat up just to hear
whether Huey would call the general
anything worse than the general
called him.
Huey barely mentioned johnson.
Instead, he started his old patent
medicine spiel on sharing wealth.
The trick was even worse, because
he persuaded the broadcasting COM
pany to donate the air time free on
the plea that it must give him the
same time and right given Gen. john
son.
The result was he got IS minutes
free air time (Johnson had 40 min
utes) and a larger crowd probably
than Johnson had.
The bro1dcaSting officials Uere
perturbed about the possibility that
Huey mould libel Johnson and get
them tnuotDed in suit. They
pleaded NTH Huey to match his
step.
Don't ,oorry, boys" said Hney,
''tte Ktngtsf neuer hbels any one"
The promise may not add to Huey's
reputation for veracity, as he is now q
defendant In a libel suit and was once
arrested for slander, but 1t seemed to
pacify the broadcasting officials.
The truth Is they are In q very
delicate position. They cannot afford
Evening star., 1935-03-11
Strike on in Jerusalem.

JERUSALEM, March II (By Jewish
Telegraphic Agency "A general strike
Of merchants, artisans and laborers In
Jerusalem was proclaimed yesterday
to take place wednesday as protest
against the high rentals in the city.
Evening star., 1935-03-11

to rent out radio time to demagoeues.
because there are 30 many people
willing to send in their dollars to
finance such broadcasts that. In time.
demagoguery might entirely absorb
the radio. -.
Evening star., 1935-03-11
COST S41,MO,O 600
A YEAR FOR N. R. A.,
ASSERTS RiCHBERG

Continued Prom First Page.)
Evening star., 1935-03-11
SWANSON DEFENDS
TRAVEL PAY ORDER
BEFORE COMMITTEE

Continued From First Page.)
Evening star., 1935-03-11
U. S. REF!NANCING
IS THREATENED By
LIBERTY BOND SUIT

Ccontinued From First Page.)