davidaulloa/AmericanStories huggingface dataset:
Evening star., 1938-02-10
Your Income
Tax
NO. 16.
DEDUCTION FOR BAD DEBTS.

DEDUCTION FOR BAD DEBTS.
Bad debts constitute a considerable
item in the returns of many taxpayers
and may be treated in one Of two
ways-either by deduction from gross
income in respect to debts ascertained
to be worthless either in whole or in
part, or by deduction Of a reason
able addition to a reserve for bad
debts. Taxpayers were given an op-
ton for 1921 to select either OF the
two methods. The method used in
the return for 1921 must be used in
returns for subsequent years unless
permission is granted by the COM
missioner Of internal revenue to
change to the other method. Ap-
plication to change must be made at
least 80 days prior to the close Of the
taxable year for which the change is
to be effective. However, a taxpayer
filing first return in 1887 may select
either Of the two methods, subject
to the approval Of the commissioner
upon examination of the return. Per-
mission to adopt the reserve method
is limited to taxpayers having large
number Of accounts where credit is
extended over considerable period
OF time. 1t is not granted for the
purpose of handling one specific debt.
What constitutes a reasonable ad-
dition" to a reserve for bad debts
must be determined in the light of the
facts, and will vary as between classes
OF business and with conditions Of
business prosperity. It will depend
primarily upon the total amount Of
debts outstanding as Of the close Of
the taxable year, those arising cur
rently as well as those arising in
prior taxable years, and the total
amount OF the existing reserve. In
case subsequent realizations upon out
standing debts prove to be more or
less than estimated at the time Of the
creation OF the existing reserve, the
amount of the excess or inadequacy in
the existing reserve should be re-
fected in the determination Of the
reasonable addition necessary in the
taxable year. A taxpayer using the
reserve method should show in his re-
turn the volume of charge sales Cor
other business transactions) for the
year, and the percentage Of the re-
serve to such amount, the total amount
Of notes and accounts receivable 1T
the beginning and end Of the taxable
year. and the total amount Of the
debts ascertained to be worthless and
charged against the reserve during
the taxable year.
Evening star., 1938-02-10

paper containing racing information,
they added, is susceptible to lawful
use and is not in itself q means Of
placing an illegal bet
Objections Answered.
Corporation Counsel Elwood H. Seal
was asked by the committee to refer
the bill back to the district attorneys
office for consideration Of these OBJ
jections, and they were taken up and
answered at the time
When the bill first came before the
House District Committee on February
II. 1897. Chairman Palmisano made
the same complaints he expressed yes
terday when fellow committeeman
forced 1t out Of the pigeonhole to
which it was consigned then. He was
Joined by Representative Sacks, Dem
ocrat, of Pennsylvania in declaring
the measure too drastic and likely to
injure persons who were not profess
sional gamblers.
At that time the corporation coun-
sci explained that he had been asked
to push the legislation because the
police and district attorneys ONCE
had found it impossible to reach the
promoters of the racket under the
present law.
Mr.. Palmisano said then, as he has
said since, that II it was q crime for
numbers writer to have slips In his
possession, 1t also should be crime
for . newspaper to publish racing
news, since that information was
printed for the purpose of melting
gambling.
Deny Rights Curbed.
officials interested in smashing the
numbers racket emphasized today that
the pending legislation does not take
away any constitutional rights or de-
prive any one of due process Of law.
1t merely tightens the existing
gambling laws of the District by plac-
ing numbers slips in the same cate
CORY With other gambling parapher-
malta, such as roulette wheels.
Mr.. Palmisano has agreed, at the
insistence Of committee members, to
hold . hearing before the full COM
mittee at an early date.
In reply to the assertion Of Chair
man Palmisano before the committee
yesterday that during 4 crime investi-
cation by . House committee several
years ago Capt. George M. Little,
head OF the vice squad, sat by and did
nothing when colored man named
Brown testified his boss in the numbers
racket paid $40 q month police pro-
lection, the officer said today:
"The statement of that man was
not evidence. didn't arrest him be-
cause didn't believe him. didn't
regard what he said as Of any i'm
portance."
Capt. Little pointed out that Leslie
G. Garnett, then United States attor-
ney, and one Of his assistants also
were present when Brown made his
charge concerning alleged police pro-
lection. and those officials were not
impressed enough to take any action.
Mr.. Palmisano said Brown should
have been taken before the grand
Jury and forced to divulse who was 70.
csivang the protection money.
Evening star., 1938-02-10
PUERTO RICO STRIKE
is DUE TO END TODAY
Steamship Firms Accept Proposal
to Raise Wages Of Long
shoremen.
! the Associated prexs.

b. the Associated Press.
SAN JUAN, Puerto Rico, Feb. TO-
Longshoremen on strike here since
January were expected to return to
work today following acceptance by
IL steamship companies Of Gov. Blan-
ton Winship's proposal for an imme-
diate wage increase and arbitra ton
of other differences.
Gov. Winship was advised last night
OF acceptance of his proposals by the
steamship companies, with which
negotiations had been conducted In
New York.
The Governors plan for settlement
OF the strike which has paralyzed all
island shipping for more than five
weeks included immediate application
of 25 per cent wage increase, to 40
cents an hour, pending arbitration by
q three-man board of the workers
wage and other demands.
The strikers demanded an increase
OF their 32-cent hourly scale to IS
cents.
Evening star., 1938-02-10

GRAND Jury CITES
DR.. c. 7. BROWN
Prominent Lecturer Charged
With Violation of In
come Tax Laws.

DR.. Grafton Tyler Brown, nationally
prominent allergist and medical lee
turer, with Offices at 1901 street NV,
was indicted today by Federal grand
jury in Baltimore for alleged violation
of the income tax laws.
He is charged with evading pay
ment Of taxes totaling more than
$4,000 on his income for 1881 and 1893.
Evidence accumulated during a
lengthy investigation Of DR.. Browns
financial affairs was presented to the
grand Jury by agents Of the 1ntelli-
gence Unit OF the Internal Revenue
Bureau. The inquiry was directed by
Elmer L. Trey, chief Of the unit.
The unit charged that in 1881 DR.
Brown paid tax OF $4093 on a re-
ported net income of $4,000. whereas
he should have paid the Government
sl.705 on net income of $3l,274.
1t was alleged he paid 1925 IN 1888
on a reported net income Of 1885,
whereas he should have paid 81, ,297 on
q net income Of 1892.
The grand jury proceedings were
instituted after the Internal Revenue
Bureau had rejected a compromise
proposal, it Is said. The Federal evil
dence included many bank records, it
Is understood.
DR.. Brown, native Of the District,
was graduated from Georgetown Uni
versity Medical School in 1919. He
has lectured frequently at his alma
mater and at George Washington Uni
versity Medical School. He has con-
tributed numerous articles to medical
and other scientific journals.
He is member Of the American
Medical Association and is a fellow
of the American College Of Physicians.
His home is at 1915 Thirty-fir
street NV.
Evening star., 1938-02-10
PROTESTS NOLAN
DEFENSE TACTICS
Prosecutor and Counsel for
Former Motor Firm Head
in Dispute.

The false pretense trial Of William
J. Nolan. head Of the bankrupt Nolan
Motor Co., went into its eighteenth
day this morning following charges
late yesterday by the prosecutor that
the defense was trying to impeach
Nolan's testimony concerning the
authenticity of q letter on which the
outcome Of the trial may hinge.
Assistant United States Attorney
John J. Wilson had indicated by his
questions belief that the document
Is not genuine.
The letter is In two parts, which
are held together by piece of tape.
One part bears the signature Of r. M.
Sigwald, former Washington manager
for the Universal Credit Co. The other
has on 1t a typewriter communica-
ton seeming to indicate Mr. Sigwald
knew that IS automobile conditional
sales contracts, which Nolan sold to
Universal Credit for about $4,000.
previously had been discounted at the
Munsey Trust Co.
Forms Basis Of Charges.
This double discounting Of contracts
for the same automobiles forms the
basis Of the Governments charges that
Nolan ;old them to Universal Credit
by false pretenses.
Questioned by Mr. Wilson yesterday
morning as to whether his attorney,
David G. Bress, had asked him If
the letter was genuine, Nolan replied
There was no question in our minds
about that"
On redirect examination yesterday
afternoon, Mr.. Bress attempted to
draw from Nolan an admission that
he, Nolan, produced the questioned
letter and that Bress had asked him
to assure him it was genuine.
Nolan first said he could not remem-
Der whether he or Mr.. Bress located 1t
in files taken from the ONCE Of the
trustee In bankruptcy for the Nolan
Motor Co. Later, when prompted by
his attorney, he admitted he had
found the paper and had shown 1t
to Mr.. Bress
Did I ask you whether this was an
entirely genuine letter." inquired the
attorney.
I'VE discussed about the paper be-
ing cut" Nolan responded.
Did you assure me 1t was senuine?"
Mr.. Bress pressed.
Wilson Protests.
At that point Mr. Wilson leaped up
and vehemently told the court that
this Is an impeachment of Mr.. Bress'
own witness"
During the confusion which ensued
Mr.. Wilson demanded Of Mr.. Bress
DO you still vouch for the genuine
ness of the letter?'
Il am vouching for this letter until
it is shown not to be genuine" Mr.
Bress replied.
Despite what I told you at the
bench this morning." Mr.. Wilson shot
back hotly.
Mr.. Bress protested against the
said at the bench, and following q
conference between the attorneys and
Justice Joseph w. Cox, the latter in
structed the jury to disregard Mr.. Will
sons last remark. since what was said
at the bench was not evidence. The
court then adjourned for the day.
On trial along with Nolan Is Benja-
min D. Jenkins, described As ONCE
manager for the Nolan Motor Co.
Evening star., 1938-02-10
GILBERT DENT RITES
TO BE HELD TOMORROW
Leonardtown Man Was Formerly
Realty Operator in
Washington.

Gilbert Dent, former Washington
realty operator. who died yesterday in
st. Mary's Hospital. Leonardtown, Nd,
will be buried in the cemetery Of
All Saints Episcopal Church, st.
Marys County, after funeral services
in the church at noon tomorrow.
For the last few years Mr.. Dent
had been engaged in the real estate
and insurance business in Southern
Maryland, with offices in Leonardtown.
He was one Of the founders Of the
old firm Of Gardiner & Dent, the name
OF which was later changed to Gilbert
Dent, Inc.
Mr.. Dent also was active in banking
circles and was organizer and flrst
president of the bank at Clinton, Md.
Evening star., 1938-02-10
Bathing Scene
On Cloth Brings
Ban by Egypt

American cotton cloth bearing
trade marks showing men and
women In modern bathing suits
has been barred from Egypt un-
der a decree issued by the Egyp-
tian ministry Of the interior, the
Commerce Department has been
informed.
The trade marks, it was ex-
planned. are regarded as "inde-
cent designs" and importation
Of the cloth bearing them is pro-
hibited In order to safeguard pub
lie morals. The ban was not
made without protest, however,
1t was stated, opposition being
voiced by the rector Of the
Theological University Of Cairo.
Evening star., 1938-02-10
Labor Election Dated.

The Labor Relations Board yesterday
ordered an election to be held before
February % to determine whether the
employees of the Alabama Drydock L
Shipbuilding Co. at Mobile wanted to
be represented by the Industrial Union
Of Marine l. Shipbuilding Workers
&C. I. o. or the local Metal Trades
Council GA. F. of L..
Evening star., 1938-02-10
RACING RESULTS
Hioleoh Pork

FIRST RACE-The University Of Miami
Athletic Fund Purse; $500; 2.year. r.oId
maidenS; claiming; nursery course.
Maetown tRoberts) $50 40 29O
Spanish Bunt LandolD 40 4.sO
Lady Hav Lynch) $50
Also ran-Beau Do. Ballad. Dutch FLAG.
King Joy. Hazardous, Driverin. Layoyer.
Merry Meg, Silent Gift and Lady Ethelyn.
SECOND RACE-Purse. $1,000; claim
ing: 3-year-olds and up; g furlongs.
Spindle Top (Bierman) 1890 1850 S.2O
Early Evening lThompson) 1000 600
Sinsins Slave tScheih) 100
Time, l:l3zS.
Also ran-Nance, Higher Up. Fancy
That, Gold Color. Sought After, Kelt,
Evadne. Temple Fall and Songstop.
DAILY Double paid &ll3.SO for $2.)
Evening star., 1938-02-10
Coberly Takes Sollege Post.

CHESTERTOWN, Md, Feb 10 (P).
-Winton Toller, assistant in the Eng
lish department at Washington Col
lege here, was granted leave Of absence
for the second semester to study for a
doctors degree. James H. Coberly,
formerly of the George Washington
University faculty, took his place.
Evening star., 1938-02-10

Woulu dlIOW tIlc dTIeSI Oh q NuHUcta
player carrying single ticket.
Mr.. Palmisano voiced these same
criticisms when the bill was passed
by the Senate and sent to the House
last February.
At that time members Of the Dis
trict attorneys staff who were instru-
mental in drafting the legislation took
up the objections In detail.
Extends to Gambling Devices.
Section Oil OF the bill, the search
and-seizure clause. they explained, vir-
tually is Identical with q section OF
the District code in effect for many
years, merely broadening it to include
gambling paraphernalia, such as num-
bers tickets, not mentioned specifically
in the original section
As to the use Of this section, the
enforcement officers pointed out the
code as construed by the District courts
does not authorize the issuance OF
search warrants on mere suspicion
information or belief. Several de-
cisions have established the principle
that these warrants are to be issued
only on probable cause established
by facts"
With such precedents, they added,
the courts certainly would not uphold
search OF a mans house on suspicion
unsupported by facts, even II the DO
lice were 10 inclined.
Concerning the Maryland Repre-
sentative's contention that innocent
purchasers Of numbers slips, who had
no connection with the racket, could
be arrested and prosecuted, these on
cials explained that section 1853, max
ing possession Of tickets prima facie
evidence Of guilt, is modelled after q
section OF the New York penal code.
The New York law is typical Of
statutes in many other States and is
no more severe in language or penalties
than these others.
Aimed at Runners.
The section making possession q
crime is aimed at numbers runners,
the officials emphasized, and is not
intended to embarrass innocent per-
sons or enmesh those merely playing
the game.
It must be assumed, they added.
that police and prosecuting onncers
will use reasonable intelligence and
discretion in carrying out such a law,
restricting its application to CONNER
cial gamblers.
Many other such laws could be used
as means Of persecution If police,
prosecutors and courts were so in
clined, it was pointed out, but such
cases would not stand up before juries
and judges II the authorities were
foolish enough to bring them.
In response to Chairman Palmi-
sano's suggestion that possession Of
racing forms also be made a crime II
numbers slips are to be outlaved. the
authorities said there was a clear
distinction between mere predictions
or reports Of races or handicappers'
choices and numbers slips, which were
records and instruments of gambling
a. much . gambling device Is Z rou-
lette wheel. A racing form OF news
Evening star., 1938-02-10

l8. OF 1851 Ches-
pea ke street
NV, who died
Tuesday in Gar
field Hospital,
was the victim
Of an automobile
wreck.
The boy was
riding with sew
eral other youths
in q car which
police said over
turned December
81 at Thirty
eighth street and
Window plac E
NV.
Evening star., 1938-02-10

The disturbance that was over Lake
Michigan Wednesday morning has ad-
vanced rapidly eastward to Nova Scotia,
tending southwark and southwestward TO
Central Virginia. Pressure Is also low at
land. 2952 inches. Another disturbance
is central on the North Pacinc Coast,
TatooSt Island Wash. %. SO inches, with
q trough extending southeaStward to Wyo-
ming Lander. 1854 inches. Pressure
continues high in the Middle and East
Gulf States MontRomery. Ala. 3O.40
inches, with an extension eastward to the
south Of Bermuda. st. Georges, 30.32
inches. Another high-pressure area is
advancing eastward over Ontario. Sioux
Lookout. 30. "a inches. During the last "A
hour, rains have occurred in the Pacing
State> the Ohio. the Lower Missouri and
the Middle Mississippi Valleys. the Lower
Lake region and in the Middle Atlantic and
North Atlantic States. and light rains and
SHOWS in the Northern Plateau and North
Dakota. Temperatures have fallen in the
Lake region. the Ohio. the Lower Missouri
and Middle and Upper Mississippi Valleys
and in Kansas and portions OF Oklahoma,
while they have risen in the Northern
Rocky Mountain region.
River Report.
Potomac and Shenandoah Rivers clear
at Harpers Ferry: Potomac clear 1T Great
Falls today.
Evening star., 1938-02-10
Membership Drive Opens.

3. = Stan Correspondent Of The star.
ALEXANDRIA, Va, Feb. lo-The
local Chamber OF Commerce has
opened q membership drive. with John
Dunn as chairman Of the committee
in charge, D. c. Book, president, an
nOunced today
Evening star., 1938-02-10
THE WEATHER REPORT

District Of cloudy and colder tonight with minimum
IS cloudy slightly COLDER
to moderate north winds shifting to northeast tomorrow
Maryand-Coudy probably
vngmia-Coudy probably portion tonight
tomorrow.
colder tonight rising temperature west portion
Evening star., 1938-02-10
INQUEST IS ORDERED
IN DEATH OF HEDGES
Inquiry to Be Held Wednesday
Night in Hyattsville Before
Justice of Peace Phillips.

Justice Of the Peace George S. Phil
lips today ordered an inquest into the
death Of Jesse H. Hedges, 55-year-old
Washington real estate operator, who
was killed yesterday when struck by a
Baltimore &; Ohio express train at
Sunnyside, Md
The inquiry was set by the Prince
Georges County justice for 8 pm.
Wednesday in the county's Metropoli-
tan Building at Hyattsville
Mr.. Hedges. who lived at 102 East
Kirke street. Chevy Chase, Md, was
instantly killed, his body severed at
the waist and decapitated.
Evening star., 1938-02-10
Numbers Bill Repiued, Officials
Remind Palmisa1,o of Purposes
Say Criticism ANSWERED, With Courts
Serving to Forestou Caprice Ar.
rests-Gangs Chief Prey.

The District Columbia q
national disgrace
conditions
Indifferent, unnformed hostile
ATTORNEY GENERAL CUMMINGS.
Evening star., 1938-02-10
DEATH OF YOUTH, IS,
IS TRACED TO CRASH
Autopsy Shows Infections Caused
BY Traffic Accident Proved
Fatal.

The fifteenth traffic death Of the
year, four less than at this time q
year ago. was recorded today after
an autopsy disclosed John Wade. jr.,
Evening star., 1938-02-10
By CARTER BROOKE JONES

Objections to the numbers racket bill which Chairman Palmano raised
in
Evening star., 1938-02-10

Grows Foot, in Two Days.
The first giraffe to be born st Whip
snake. England. Zoo grew . foot In two
day recently.
Evening star., 1938-02-10

Motor Cycles in Own Section.
Motor cycles were featured In .
special section Of this years Belgium
Motor Show IN Brussels.
Evening star., 1938-06-18
.LUTHERLEAGUES'
SUNSET SERVICE
Ceremonies Tomorrow at
New Site of Christ
Lutheran Church.

A sunset service will be conducted
tomorrow at s O'Clock at the new site
Of the Christ Lutheran Church,
Georgetown and Glenbrook roads,
Bethesda, under the auspices Of the
Luther Leagues Of the various Ameri-
can Lutheran Churches of Washing
ton.
The young people Of the Christ
Lutheran Church, of which the Rev.
Henry J. Whiting is pastor, will con-
duct social after the service.
The program is under the direction
Of the st. Matthew's Luther League
with Gerald Goebel conducting the
service. He will speak on "The Pur-
pose Of the Luther League in the
Church" Luther Leaguers from
Grace Lutheran Church will provide
the musical setting, Henry Crow serv-
ing as director.
Members of the league Of the Faith
Lutheran Church, Arlington, Va, will
present dramatic sketch, Chapel
Grace" by Mary Dickerson Bingham.
The Takoma Lutheran Church League
will present q dramatization Of THE
Candlemaker Of Old st. Johns" by
Robert Moulton Gatke. Harold Bean
will carry the lead.
After the service freside gathering
will be held at which refreshments
will be served. This feature of the
program Is under the direction Of a
group Of the Christ Lutheran Church,
Bethesda.
Evening star., 1938-06-18
DR.. .bLACKWELDER
SELECTS THEMES
ChiIdren's Day Program to
Be Held at $50 AM.
Tomorrow.

DR.. Oscar F. Blackwelder will preach
at the Church Of the Reformation
tomorrow at the $50 matin service
on THE Value of a Good DISPOSE
ton; II o'clock, Can Love Work
in World Like This?" and at 9
pm. on THE Woman Who Lived Be-
yond Her Country" A special pro-
gram has been arranged under the
direction Of Mary A. Weidley, director
of music.
The annual children's day program
in the Sunday school Is at $50 am.
The various departments meet in
joint assembly. John Nordberg will
present the work and needs of the
Loysville Orphans Home for which a
special offering will be received.
A service commemorating the 300th
anniversary Of the landing OF the
Swedes on the Delaware, and the
contribution of Sweden to the religious
and cultural life of America will be
held on the evening of June 26.
Evening star., 1938-06-18
SUNDAY SCHOOL
J CONCLAvES SET
Two Conferences to Meet
simultaneously at
Westminster.

The summer conferences for local
Sunday school workers will be held
at Western Maryland College, West
minister, Md, June "a, Is and 26.
Two conferences will meet slmul-
taneously, administrative officers and
teachers, anG young peoples. The
Rev. T. Guthrie Speers, pastor of the
Brown Memorial Presbyterian Church,
Baltimore, will give the opening and
closing addresses at joint sessions. The
Rev. Raymond w. White, pastor Of
the Rhode Island M. P. Church, will
speak on Saturday evening and the
Rev. Warren D. Bowman, pastor of
the, Washington City Church of the
Brethren, will preach the annual SER
mon on Sunday morning.
Group conferences will be held for
officers and teachers, with the follow
ing leaders: Administrative problems,
the Rev. Raymond w. White; young
peoples, intermediate and senior work,
the Rev. Warren D. Bowman; junior,
primary, beginners work, Mrs. Edward
H. Cox.
The round-table discussion group
leaders for the young people will be
the Rev. F. E. johnson. jr.; the Rev.
H. v. Porter, Mrs. H. v. Porter, Miss
Annabel Spangle, the Rev. A. Lincoln
Smith, the Rev. E. A. Ross, Mrs
Martha Stauffer Ross, the Rev. T. E.
Miller of Baltimore, the Rev. Ralph
NJ Sharpe and the Rev. L. L. Bowers.
William r. Schmucker will lead
the singing, Mrs. Page NICK. Etchison
will assist at the organ and the solo,
lists will be Mrs. Elizabeth Jackson
Everett and Lynn Elmore. The Sun
day school lesson will be taught by
Miss Emma Guschewsky and DR..
Charles E. ReSser
Chester H. Jones is president of
the Young Peoples Conference and
William S. Jones president of the
Administrative Officers and Teachers
Conference. Page NICK Etchison, re-
ligious work director, Y. M. c. A., is
serving as registrar The conferences
are held annually by the District of
Columbia Sunday School Association
with the cooperation of the Religious
Work Department of the Y. M. c. A.