davidaulloa/AmericanStories huggingface dataset:
Evening star., 1937-07-05
TAX ''L0OPHOLES"
LAWS SKETCHED
Committee to Decide To.
morrow on Future Avoid.
ance Probe Course.
1y the Associated P-ess.

1S the Associated Press.
The Treasury has sketched a legis-
| lative program to seal 'loopholes" in
the revenue laws, officials disclosed
today.
They added that the suggestions
will be laid before the Senate House
Committee on Tax Evasion and Avoid
ance whenever the committee IS ready
to receive it.
The committee will decide tomor-
row whether to continue hearings in
Its tax investigation or to begin draft
ing legislation at once.
| Treasury tax ofIicials and attorneys
already have explained to the COM
mittee series Of alleged tax avoid
ance devices. sprinkling their testi-
mony with the names Of leaders in
finance, business and society.
withholding Tax" Increase.
The authorities disclosed that one
major proposal to increase tax
revenues will be an increase in the
withholding tax levied against in
terest, dividends and other income
paid nonresident aliens.
Now 10 per cent, this tax may be
more than doubled in an effort to
put aliens on a tax-paying par with
resident Americans.
Some authorities said foreigners re-
ceiving income from this country may
be given = choice of paying = 20 to
30 per cent withholding tax or the
regular income tax paid by residents.
Other proposals for tightening the
tax structure include:
Modification OF 4 provision allow
ing oil and mining companies to take
tax deductions on account OF deple-
ton in mines or wells.
Increase in the existing surtax rates
on personal holding companies. These
rates now range from 8 to 48 per cent,
compared with surtax range of 4 to
IS per cent on individuals.
Changes in special tax deductions
now allowed personal holding COM
panies.
A requirement that individuals re-
port their holdings in foreign COM
panies, with penalties for failure to
do so.
Property Laws Modification.
Modification by Federal statute Of
community property laws in eight
States. These laws permit husband
and wife to divide income, filing
separate tax reports and paying taxes
in lower brackets.
Restriction Of incorporation Of
yachts. racing stables. estates and
hobby farms"
Limitation of tax reductions for
interest payments to prohibit what
od1ciah call artificial" deductions.
A provision requiring persons who
create foreign corporations to pay
taxes on the corporations income. The
taxes would be prorated according to
each individuals holding of stock in
the foreign company.
In addition to the legislative pro-
gram, the Treasury and State De-
partment are working on proposals
to exchange tax information with
foreign countries.
Treasury officials have told the
congressional committee one OF the
chief diffhculties In checking the
amount OF taxes due from Americans
who set up companies in other coun-
tries has been lack Of cooperation
by officials of those countries.
Methods now are being worked out
by which this Government will give
other nations information about the
holdings Of their nationals here in re-
turn for similar data on Americans
with holdings abroad
France and Canada have displayed
interest, officials said.
Evening star., 1937-07-05
BLUM GIVES REASONS
FOR YIELDING OFFICE
By the Associated Press.


BORDEAU, France. July 5.-Leon
Blum told Socialist meeting here
yesterday that he yielded the premier
ship to Camille Chautemps to avoid
political conflict during period Of
International tension.
Blum, now vice premier, resigned
when Parliament refused to grant him
dictatorial financial powers to deal
with diminished gold reserves and an
anticipated budget deficit.
Referring presumably to the Span
ish non-intervention crisis, Blum
asked How could it be doubted that
France would not be able to bring all
its weight to bear in such formidable
conjecture, if it was engaged in a
lengthy political conflict prolonged,
perhaps, by social conflicts?"
Rather than oppose the Senate in
the face Of internatioAl possibilities.
Blum gave up his ONCE, he asserted.
Evening star., 1937-07-05
80 DRIVERS START
VANDERBILT RACE
Second Annual Running Draws
10000 to $50, 900 Event at
Westbury, N. Y.
BULLETIN.

WESTBURY, Long Island, N. Y.
July 5 P.-Bernd Rosemeyer.
German speed king, WAS leading
the George Vanderbilt Cup field
at the end OF 40 miles at the Rooee-
welt Raceway here today Rudolf
Caracciola, another German, was
second Roeemeyer averaged 85.0l
miles per hour for the II laps.
By the Associated Press.
WESTBURY, N. Y, July 5.-Thirty
crack American and European speed
kings roared away at II o'clock East
ern standard time) today in the sec
ond annual running of the $50 900
George Vanderbilt Cup race at Rooee-
welt Raceway here. A crowd esti-
mated at 10000 cheered the start.
The cars lined up in 10 rows of three
each. The signal that sent the speed
merchants, cream of the home bred
and foreign crop, sprinting away on
the 300-mile test was given by Mrs.
Margaret Emerson, mother OF George
Vanderbilt. the young sportsman who
Is the donor OF the cup.
As they swung around the first lao,
the German Bernd Rosemeyer. the
race favorite, led, followed by Rudolph
Caracciola, another German Rex
Mays, best liked Of the American
drivers. WAS third. Tazio Nuvolari.
winner of last years race, followed
Mays, with Dick Seaman, the lone
British entry, fifth. Giuseppe Farina.
another Italian. sixth; Ernest Delius.
seventh, and Billy Vim. eighth.
Caracciola charged into the lea d
In the third lap with Rosemeyer push
ing him hard. Appearance of the
European drivers on the starting line
disproved the rumors they would
follow A. A. A. rules and wear crash
helmets, as the American pilots are
doing The Europeans clung to their
customary aviation headgear. ..
Evening star., 1937-07-05
BY. LIEUT.. COMDR. CLARENCE (
WILLIAMS,

NlAAAHNlSs
United States Naval Reserve.
LOS ANGELES, July 4 IP.-A cone
Of possibilities is the key to Miss Ear
hart's position.
1t is to be assumed that when she
and Capt. Noonan departed at 10 am
on July from Lac, New Guinea, which
was noon July l, at Rowland Island
(o:30 pm, E. 8. To, that the weather
was clear and that throughout the rest
of the morning and during the after
noon and early evening the plane was
on its course.
The itinerary indicates they left New
Britain about noon that day and
reached Buka Island. $50 miles from
the point Of departure, little before
2 pm. The course led directly over
Buka Island and 20 this was an ex-
cellent check point and should have
given the Ayers an accurate estimate
of their position.
One hour and 20 minutes after leav-
ing Buka Island, they would have
reached Marqueen Island of the Tauu
group, which also would have given =
good check On their position A little
more than I'm hour later they would
have been able to have gotten another
fix on the Nukumanuu group, which
Is little less than 900 miles from Lac.
Could Check for 80 Miles.
Thus, it is seen that for 900 miles
the flyers had opportunities to check
their positions and therefore should
have been on their course.
1t would have been about pm.
when these islands were passed. The
trade winds were, no doubt, blowing
strongly, perhaps at 70 miles an hour
Miss Earhart might have corrected
her base course about 3 degrees to
the right to have overcome the effect
Of this wind, and WAS probably head
ing to the south of Howland Island.
Now let us suppose that when the
sun set the trade winds diminished
in strength. Perhaps they died
altogether. in that event, unless the
pilot chans h back to the hass course,
the plane would havs hsadsd . d.
Evening star., 1937-07-05
Miss Ear1,art Failed to Obey
Itasca's 5OO.Kilocycle Order
Base Ship Repeatedly Asked Her to Use
That Frequency Range to Enable
Use of Direction Finder.

acknowledged nor complied with the
advices.
The Itasca on July 2 was Sta
toned at HoWland Island at the re-
quest of Miss Earhart." the report
said. The Itascss duties were to
keep Earhart advised OF weather con-
ditions at Rowland Island and to act
as homing vessel 80 the plane could
obtain radio bearings on the Itasca
These were the sole radio duties re-
quested by Miss Earhart.
Ten Messages on July :.
Ten messages were received from
the plane on July 2. as follows:
"2:45 am. Cocal time)-Recognized
Earhart voice. Message not clear ex-
cept Cloudy weather, cloudy"
"3:45 am.-Itasca from EArhart.
Itasca broadcasts on 3l05 kilocycles
on hour and half hour. Repeat broad
cast on 3,l05 kilocycles on hour and
half hour. Overcast"
"4:43 am Heard EArhart voice.
Signals unreadable with five listening.
"5:12 am. from Earhart)-Want
bearing on 3l05 kilocycles on hour.
Will whistle in microphone"
Plane Clips on Distance.
"5:l5 am-'About 200 miles out.
WhiSled briefly in microphone.
"545 am-'Please take bearing on
us and report in half hour I will make
noise in microphone. About 100 miles
out
"730 am.-'We must be on you,
but cannot see you Gas Is running
low. Have been unable to reach you
by radio. We are flying at 1000 feet
7:57 am-'We are circling. but
cannot see island. Cannot hear you.
Go ahead on $500 kilocycks with long
counts either now or on schedule.
Time on half hour
"8:03 m.-"EArhart calling Itasca
We received your signals, but unable
to get minimum. Please take bearings
on us and answer on 3,l05 kilocycles.
Earhart made long dashes for brief
period, but emergency high frequency
direction finder could not cut her In
on 3,l05 kilocycles.
Running North and South.
"8:44 am Earhart called the Itasca,
We are on the line OF position 1877
337 Will repeat this message on
6,2l0 kilocycles. We are running
north and SOUTH
There were no other messages
heard from Earhart on 6,2lO or other
frequencies. A high frequency direc-
ton finder was set up on Rowland
Island as an additional emergency
caution without Earhart's request of
knowledge. The Itasca had it manned
throughout the night, but never was
able to secure bearings due to Ear
hart's very brief transmLssions and
her use Of voice.
On % June the Itasca advised
Earhart that the ships direction
finder frequency range is $50 to 270
kilocycles. The 1tasca ship direc-
tion finder manned at 7:25 am. and
Earhart was repeatedly requested to
transmit on 500 kilocycles to enable
ship to cut her in. She neither &C.
knowledged nor complied. though the
1taSca's advice indicates planes abili-
ty to transmit on 500 kilocycles.
The communications were monitored
throughout by oficers."
Evening star., 1937-07-05
RUBBER GROWING
WITHIN j. S. SEEN
u. S. Scientist Says Trees
Have Survived Several
Florida Winters.
By the Associated Press

The United States may obtain an
increasing amount of rubber in the
future from within its own borders
and South and Central America.
Government scientist said yester-
day
Leroy G. Polhamus, expert of the
Agriculture Department., said rubber
now is being produced experimentally
in California and Florida, and that
commercial interests are developing
production in Brazil, Panama and
Costa Rica
The United States uses each year
about 100000 OF the 1000 900 tons
OF crude rubber produced by the
world.
Trees Survive Winter.
Polhamus said rubber trees from
Brazil and Central America have
withstood several Winters in Florida,
where waste lands may be used for
commercial rubber production some
day.
About o5 per cent Of the worlds
rubber supply now comes from the
East Indies. Polhamus said cheap
labor there made commercial pro-
duction in this country impossible.
unless military and economic restric-
tions should send crude prices up to
about 81 a pound, as happened during
the World War.
Golden rod and the guayule plant.
native Of Mexico and the far
Southwest and similar to sage brush.
both have been utilized in producing
rubber in California.
Cost 80 Cents a Pound.
Polhamus said several thousand
acres OF guayule were planted, but
production costs amounted to about
80 cents pound for the rubber. at
a time when depression sent rubber
prices down to and cents.
A small percentage of the worlds
rubber exports now comes from native
trees in Brazil and Bolivia. A large
American automobile manufacturer
tFord Motors) established q CONNER
cial rubber area in Brazil about 1925.
Trees require five to seven years to
reach the production stage, Polhamus
said, and SO the output from this VEN
ture should be rapidly increasing.
Botanist Skeptical.
MIAMI Fla, July (P,.--Walter
M. Buswell, botanist at the University
OF Miami who was associated with
the late Thomas A. Edison in his ex-
periments to produce rubber from
native Florida plants, said today he
doubted production in this State ever
would be practicable except in time
OF war or other emergency.
Buswell said Edison's experiments
showed several varieties of golden rod
yielded rubber "of very good quality"
but the cost was too great to compete
with imported rubber. The rubber
tree can be grown successfully in
Florida, but the labor costs are 50
much higher than in rubber -produc-
Ing countries competition is impos-
siole in normal times, he said.
Evening star., 1937-07-05
COL0REO MEN HELD
IN GROCER SLAYING

In an effort to track down the
roober who shot and fatally wounded
Max Dtchter, 50. in his grocery store
at l27 L street on June ~. police are
holding two colored men for investi-
CATION, 1t WAS revealed today. De-
tective Serst Clyde Strange refused
to reveal what connection the pris-
oners have with the case
Dichter died Saturday at Sibley
Hospital He was shot when he dis
Iegraded the armed robbers command
~ raise his hands and instead threw
scale ut hts ASsailant.
Evening star., 1937-07-05
SEIZURE Of FRENCH
VESSEL IS PROBED
Sloop Turns Back to Port.
.Tregaste| Caught Trying
to Aid Refugees.
By the Associated Press.

By the Associated Press.
PARIS, July S LP)-A French sloop
returned today from a dash to the
Spanish Biscayan shoreline to in
vestigate insurgent seizure of the
French freighter Tregastel. and French
officials expressed hope the incident
would be settled speedily.
The sloop Vanquois put back alone
into Bayonne. Authorities announced
they had learned the Tregastel car
RED neither cargo nor refugees when
she was captured by the insurgent
cruiser Almirante Cervera off San
tander Sunday.
She was taken in charge within
Spanish territorial waters While trying
to enter Santander to pick up refu-
gees, and was escorted to insurgent-
held Bilbao. She had on board
neutral observer of the European Nom
intervention Committee.
Officials were unable to confirm 4
published report that the Tregastel
was fired upon.
1t was believed in naval circles that
both the Vauquois and a submarine
chaser had returned after confirming
that the Tregastel was legally escorted
to Bilbao since insurgents had an
nounced coastal blockade and the
1regastel was within Spanish waters
g. Both the Vauquols and the SUBJ
marine chaser CH-2 were ordered to
the area yesterday. French consuls
at San Sebastian and Bilbao. insur-
gent ports, were ordered to investi-
gate the incident.
The Tregastel was one Of three
vessels under charter to the French
leftist Committee of Popular Aid to
carry food to Santander and bring out
refugees from the war-croWded city.
The committee was organized to aid
the Observation-Disclosures government.
Foreign Minister Yvon Delbos In
structed the Ambassador to London,
Charles Corbin to hold fast to
Frances stand that non-intevention
naval control must be continued
around Spain or else France will re-
sume its freedom to supply the Spanish
government with war materials.
Germany and Italy. which have
Withdrawn from the neutral naval
patrol, want 1t scrapped and belligerent
rights granted to both Spanish sides)
From Minister of State Paul Faure,
speaking at Lorient, came an express
sion of belief that economic misery
In Germany and Italy might keep
them from starting a war and push
them back into International col
taboratlon."
TRIPLE ATTACK ORDERED
Evening star., 1937-07-05

grees too far to the right, heading
at . point more than $50 miles south
OF Howland Island.
On the other hand, there Is pos
sibility that the plane may have been
blown an equal amount north, thus
giving = range OF 16 degrees, which
probably would represent the maxi
mum Emergencies from the base
course.
Prom this point on a reconstruction
Of the hight deserts the theory of
probabilities and follows 4 theory OF
possibilities, any one OF which may
be correct or incorrect for that
matter.
With the maximum northerly
course leading to point we'll to
the north OF Rowland Island and
the maximum southerly course lead
ing to 4 point to the south OF the
island, the era between the two posi-
bic courses may be designated as
the cone of possibilities. In other
words, Miss Earhart and Capt. Moo
nan may have flown anywhere In
this area. They may have come
down somewhere within Its confines
The problem, then, is to assume
the maximum limitations of the
boundary lines Of the cone about 300
miles wide at the base or mouth
and to search in the included area.
However, the plane will not be
found At the spot where 1t landed.
unless by some chance the flyers
were able to find some island or iso-
lated atoll. The current charts in
dicate currents ranging from 10 to
40 miles 4 day. running in . west
erly direction. This would cause
the plane to have drifted to the vest
ward 40 miles each day for the past
two and one-half days, or nearly 100
miles.
Could Drift to Islands.
A specially prepared chart indicates
that on July ~. or 10 days after the
flyers disappeared 1t would be pos
sible for them to reach Hunt Island,
and 4 little later, Byron Island. On
July Is they might reach Clerk Island
or Francis Island, and on July IA
Drummond Island or Sydenham Is
land.
Thereafter. the South Pacific is .
vast wilderness, and while it is con-
ceivable that they might drift to the
Solomon Islands, 1t Is hardly possible
they could endure the privations Incl
dental to such an ordeal.
The search should be concentrated
on the area within the limits OF the
zone Of possibilities. and every effort
should be made to comb the seas in
that section. until at least the middle
OF the month.
The search should be made in the
confidenA expectation OF finding both
Mis- DaTsart and her brave NAVIGATOR
safe and sound.
Evening star., 1937-07-05
King of Gypsies Crowned

WARSAW, Poland, July R.-
Sixty-eight-year-old Janus z. Kwiek
was crowned king of gypsies in all
Europe and beyond the seas yesterday
and pledged himself to seek a national
home to bring the wanderings Of his
people to an end. Several thousand
people paid 20 cents to $3.50 to view
the coronation in An athletic field.
Evening star., 1937-07-05
Base Ball Fan Electrocuted.

ROANOKE RAPIDS. N. c., July 5
GA bolt Of lightning charging 4
wire he held electrocuted Basil Cooper
q, at the base ball park here yester-
day. Observers said Cooper was sup
porting himself by the wire in the
crowded stands during 4 thunder
storm.
Evening star., 1937-07-05
MEN, WOMEN IN TEST
FOR JOB MONOPOLY w
Three-Month Contest Will Decide
Which Sex Does Better Work
IN MIL
BY the Associated Press.

BY the Associated Press.
PROVIDENCE, R. l., July 5.-Five
Woonsocket spinning mills are pre-.
pairing test as the result of an arbi-
tration board award in a labor dis
pute to determine ever q three-month
period whether men or women do the
best work.
II the men win they get the jobs
on one of the two major shifts; II the
women win they get the jobs.
1t all started with strike 10 days
ago. when approximately 800 workers
walked out demanding shorter hours,
higher wages and an agreement thai
men be hired in the future instead OF
women, whenever there was va
cancy. An arbitration board settled
all issues except that Of male versus
female supremacy.
Evening star., 1937-07-05
THREE DIE IN CRASH
Train Strikes Car at Crossing in
Kentucky.

WILLIAMSTOWN, KY, July S
R).-Three persons, apparently a
man, his wife, and child about 2
years old, we're killed last night when
their automobile was struck by =
Southern Railway passenger train
near here
From papers found in the car,
the dead man was identified tentA-
lively as J. G. MacCampbell OF
Potts, PA.
There were no known witnesses to
the accident, which occurred shortly
before midnight.
Evening star., 1937-07-05
By the Associated Press.

BY the Associated Press.
The Coast Guard made public to-
day . report from the cutter 1tasca
telling Of its efforts to help Amelia
Earhart locate Rowland Island last
Friday just before she was forced
down wide of her goal.
The report gave the messages re-
ceived from Miss Earhart and said
the Itasca had repeatedly broadcast
instructions for her to transmit on
500 kilocycles so the ship could use
direction finder, but she neither
Evening star., 1937-07-05

Baby browns in Inch of Water.
TWIN FALLS. Idaho, July S (P.-
An S-month-old baby who drowned
in An inch Of water was 1daho's only
reported Fourth OF July fatality. The
child. son of Mr.. ans Mrs. Ross Mares,
rolled frow . blan down q slight
incline INTO Q shAl1ov stream.
Evening star., 1937-07-05
Beggar Has $537 Cash,

KANSAS CITY, Mo-, July S R.-
Three New Testaments and $537.4s in
cash were hnd in the pockets Of .
man arreste6 here for begging, police
aid today.
Evening star., 1937-07-05

Presentation Of plays recently WAS
revived In Californ first thaater,
an adobe structure at Monterey.
Evening star., 1937-07-05

Lieut., Comdr. Clarence S. Will
iams, United States Naval Reserpe,
tpho mapped Amelia Edrhdrts
hight around the Worid, has rre-
pared this statement for the As
SOctdted Press:)
Evening star., 1937-07-05
Youth Group Has 1000 Hostels.

he Youth Hostel Association main
tAhrA 1000 lodgings IN ~ countries to
accommodate youqg travellers.
Evening star., 1937-07-05

A N OPERATIVE whose eyes always
are filled with stardust and her
nostrils with the scent Of jasmine Is
wondering just what will Be the ro-
mantle ending Of an incident on the
bus this morning.
The four characters in the drama
were q pretty girl. handsome man,
expensive tie and errant breeze. All
the way downtown the hoydenish
zephyr kept grabbing the mans tie
and using the ends Of it to tickle the
girls cheek. Periodically she would
brush away the tie and he would
grab it. holding 1t securely against
his manly chest. Then they both
would relax and the breeze, Watching
its chance. would grab the tie and
start whishing 1t at the girls face.
Instead OF getting angry, Is you
might have. the nice young people
eventually began to treat the thing
as an omen, or something. When our
operative had to leave the bus they
were chatting ayAy with an amiability
fraught with ali sorts Of mad possi-
bilities.
Evening star., 1937-07-05
Washington
Wayside
Tales
Random Observations
of Interesting Events
and Things.

SLIP.
w YE DON'T know If it's Wash
~ ington or just life, but
wv there's something funny
going on in the dry clean.
The Washington times., 1937-03-10

Of a man who has reached .
conclusion"
REP. O'CONNOR CD, New
York. chairman Of the powerful
Rules Committee:
at was a very explicit, frank
statement Of the Presidents
views and what he hopes to 40.
cOmplish."