Evening star., 1935-03-11
Figures Given Senate by
Co-ordinator, Third
Time on Stand.
LESS THAN ! PER CENT
OF SALES, HE SAYS
Opening of Hearings to Business
Men With Legitimate Com
plants Demanded by King.
BY the Associated Press.

Inc annual cost OF operating N. r.
AS vast code structure was estimated
at s4l,000,000 today by Donald r.
Richberg.
The recovery co-ordinator gave this
figure to the Senate Finance Com
mittee. where he occupied the witness
stand for the third successive session.
Putting a cigar as a large crowd
strained to hear his testimony. Rich
berg answered stream of questions.
Details Promised.
Senator Byrd CDemocrat) of Vir-
ginia. recent administration critic,
asked about the cost of operating N.
r. AS 700 codes. Richberg said he
would furnish a detailed list. but esti-
mated the aggregate at SAL .00O, 900 a
year, or less than ! per cent of the
sales involved.
Senator Clark DemocraD OF Mis-
souri, asked If the co6e authorities in
raising this money were exercising
the right, in effect. to levy taxes"
Il don't think they have the au-
thority," Richberg said. explaining
that in most cases he believed the
costs were met by voluntary contribu-
tions
Opening OF the Senate's N. r. A.
investigation to business men with
Legitimate and valid complaints" was
demanded earlier by Senator King,
Democrat of Utah
We are proceeding on the theory
the organization must be heard fully
and completely before hearing COM
plants" King said.
I regard it as important Nat we
bring witnesses who have legitimate
and valid complaints. particularly in
view Of Mr.. Richberg's statement last
night that N. R. A. is such a beneficial
organization and necessary to prevent
monopoly.
There is too much effort on the
part OF N. r. A. and its officials to
bolster up the organization
Demands Counsel.
King also demanded that the COM
mittee employ counsel.
Chairman Harrison replied counsel
would be employed to help the COM
mittee assemble its data, but not to
question witnesses.
King insisted the counsel should also
be permitted to question witnesses. but
Senator Barkley, Democrat, of Ken
lucky. objected.
IF members of the Senate are not
qualified to ask intelligent questions. -
Barkley said. I'VE better get a new
committee"
Before Kings protest, Harrison OBJ
tanned the committees approval of
the schedule of witnesses drawn up
by subcommittee Saturday.
The list includes Clarence Darrow,
N. R. A. critic: S. Clay williams, re-
tiring chairman of the Recovery
Board; Sidney Hillman. a board men,
Der; Leon Henderson. economic ad-
viSer and Francis Biddle. chairman
of National Labor Relations Board,
Not Opposed to Inquiry.
Richberg told the committee if It
endeavored TO go into every complaint
the work could net be completed in
the life of its members He added.
however, ne was not opposed to gen.
eral investigation of the subject.
He cited figures showing there had
been 1l8,440 labor complaints up to
February l6 last AMI 81 ,667 trade pfac-
tice complaints. Richberg said a total
OF $1,000 labor complaints had been
closed, while some $4,000 were still
pending. OF trade practice complaints
he said $4,000 we're closed and some
5000 still pending.
Adjustments were made in the re-
mainder IN both groups of complaints.
He testified that of 81 1913 cases in
volving wage complaints of 10000 en-
ployes, there had been adjustments
meaning wage restitutions of s2,245,-
$50 through field Office work alone.
N addition, code authorities had re-
ported wage restitutions of s732, ,26S
to $4,000 employees in 1900 cases.
Richberg presented a table showing
gains in both employment and pay
rolls in scores of industries He said
much publicity had been given an
N. r. A. report that interest and divi-
dends were so per cent higher than
III AOzOs 4ACLl llc lCSJllleu lIldI the
same report showed profits we're only
81 per cent of the 1925 level.
THE maintenance of interest and
dividends has not meant the main
tenance of profits" he argued.
Interpretation Required.
Senator Byrd, Democrat. of Vir-
oif1ia asked Richberp how he ac-
ccounted for the fact that in May,
1884, there was low point of 9,O0O,-
600 unemployed and that since. al
though N. r. A. has been in full op-
Grafton, unemployment is increasing
day by day"
Richberg said the unemployment
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