Evening star., 1935-02-16
President Definitely Has De.
cided to Seek Permanency
for Parts of Act.
KING SUBCOMMITTEE
PREPARES FOR INQUIRY
Expect Cummings to Testify in
Investigation of Charges
of Monopoly"
BY the Associated Press.

BY the Associated Press.
President Roosevelt intends to send
his recommendations for the new
N. r. A. to Congress on Monday.
His message is expected to propose
a one-year extension of the National
Recovery Administration with author
ity to make it two years If deemed
advisable.
Mr.. Roosevelt definitely has decided
to seek permanency for some of the
fundamental principles of the emerg-
ency N. I. r. A., which expires
June l6.
In this group are the provisions for
abolition of child labor, the right Of
labor to bargain collectively and the
maintenance Of minimum wages.
AS word of the N. r. A. message
came from the White House, a Senate
Judiciary Subcommittee assembled to
investigate charges of monopoly"
under N. r. A. This meeting and an
other proposal for an inquiry before
the Senate Finance Committee fore
cast an harassed journey through
Congress for any new N. r. A. legis-
lation.
Expects to Call Cummings.
King hoped to have Attorney Gen.
eral Cummings or representative Of
the Justice Department as the first
witness.
The Utah Senator indicated he
wanted to find out what official
studies already had been made into
allegations that the blue eagle unit
has tended toward oppression of small
business.
Russell Hardy. special assistant to
the Attorney General on antitrust
cases, was the Judiciary Subcommit-
tees first witness. 1t locked its doors
before starting the questioning.
Chairman King explained news
paper men were excluded because the
first meeting was merely preliminary
consultation" Later. he said, the
hearings would probably be opened.
On the subcommittee, branch Of
the Judiciary Committee, are Sena-
tors McGill. Democrat, of Kansas,
and Borah. Republican. of Idaho. fire.
quent critics of N. r. A. The Judici-
ary Committee already has author
lied the inquiry. but the Senate has
still to act on request for $4,000 to
finance the investigation
We're going ahead anyway" King
said. If we get the money. so much
the better. but If not we'll do the
best we can without it."
Inquiry May Be Broadened.
Members already have indicated
that this inquiry may be broadened
to delve into other accusations against
the blue eagle if an attempt at
sweeping investigation, started by
Senators Nye. Republican, Of North
Dakota, and McCarran, Democrat, of
Nevada. fails. Over the protests of
Nye and McCarran, their resolution
was turned over yesterday to the
Finance Committee. headed by Sen
ator Harrison, Democrat, of Missis-
sippi, a prominent administration
leader.
Harrison's intentions, as expressed
yesterday are to take no action on
the resolution until the committee re-
ceives President Roosevelt's recon-
mendations for the new recovery act.
The President said yesterday he ex-
pected to send them to Capitol Hill
very soon.
Harrison's plan to await this action
and then call N. r. A. officials to go
into the question in detail met with
no favor in Nye's eyes.
"a mere perfunctory questioning of
N. r. A. officials will not be sufficient"
he declared.
Nye asserted yesterday the recon-
| mendations of the Darrow Board had
been completely ignored. To deter
mine whether the situation had i'm
proved within year, he added, he
selected from his correspondence Of
a year ago what he considered to be
the 500 outstanding cases Of N. r. A.
oppression of small business.
A night letter was sent to each last
Saturday with request for immedi-
ate statement by mail. A total Of
460 replies had been received. he
added, with "only two reporting an
improvement" in their situation.
Il was especially impressed" he
continued, "by the fact that in 20
cases the telegraph company reported
the night letters unbelievable be-
cause the firms TO whom they were
addressed had gone out Of business"
Provisions of Resolution.
The resolution under which the
King subcommittee is operating au-
thorizes 1t to determine:
Whether the national industrial
recovery act has encouraged or pro-
NOTED monopolistic practices; whether
the national industrial recovery act
or rules, regulations and codes issued
under it had intended to nullify the
antitrust laws; whether, in that
event, legislation Is needed to restore
the antitrust laws to the position
which they occupied prior to the date
Of enactment Of the national indus
trial recovery act, and whether the
antitrust laws, If properly enforced,
are adequate to control monopolistic
practices"
Borahs membership on the sub
committee was considered significant,
for he has hurled numerous charges
Of monopoly against N. r. A., and
with Nye, year ago, was successful
in having the Darrow Board appointed
to review the situation.
The report of the latter, charging
extensive oppression Of small business
men, aroused storm Of controversy
between the board and Nye and Borah
on the one hand. and Gen. Hugh S.
johnson, then N. r. A. head. and
Donald Richberg, N. r. A. counsel.