davidaulloa/AmericanStories huggingface dataset:
Evening star., 1947-11-13

| GUS refusal to answer on the ground
that testimony might tend to in
criminate him. Senator Ferguson
said he saw nothing in the testi-
mony about Gen. Eaker that might
incriminate Gen. Meyers.
When Senator Ferguson asked
why Gen. Meyers had bought the
stock in Gen. Eakers' name, Gen.
Meyers replied:
"II be damned If I know"
In reply to another question by
Senator Ferguson, Gen. Meyers said
he believed the Air Force had a
rule that Officers could not hold
stock with a company for which
they were contractual officers" :"
There was no testimony that Gen.
Eaker was contractual officer in
connection with Republics con-
tracts.
Gen. Meyers told the committee
he presumed Gen. Eaker had fur
nished the money to buy the stock,
which he said amounted to rough
ly around $1,000" for 100 shares.
Eaker Seeks to Testify.
Gen. Eaker later told newsmen he
has asked Senator Ferguson for per-
mission to appear before the COM
mittee and make a statement under
oath, adding that, in the meantime,
he would have no further comment.
Before leaving the stand, Gen.
Meyers made an impassioned speech
asserting he had been "crucif1ed in
the press of the country" by false
assertions that he asked or took fav-
ors, loans or job from Mr.. Hughes
during the war.
Last night Gen. Meyers issued a
brief statement about denials by
former Secretary of the Treasurer
Morgenthau and Federal Reserve
Board Chairman Mariner Eccles
that they ever discussed with him a
Government bond purchase plan by
which he said he and his wife sub
sequently made 100000 in paper
profit" .
Il have read the statements made
by Mr.. Morgenthau and Mr.. Eccles
in regard to my testimony today"
he stated. II want to say that there
is no reason in the world why either
of them should remember these con-
versations with me, since the con-
versations referred only to Govern
ment bonds generally and not in
any way to my own specific trans
action"
Gen. Meyers denied he had told Mr..
Mccarthy he expected to make ST.
100000 profit. But he said that, if
$250,000 were borrowed. a total of
$25, 100000 in bonds could nave been
purchased on margin. He conceded
also, under questioning that these
bonds have not deprecated and. in
effect, are guaranteed by the Gov
ernment.
Evening star., 1947-11-13
Millions Were Made
In Bond Speculation,
III. ). Officials Believe

Government officials say they be-
lieve millions probably were made in
speculation in Government Bonds
issued during the war despite Treas
ury efforts to prevent such specula-
ton.
The Government itself did not
lose any money, however, since it
sold the bonds only for cash and at
100 par values, they said. These
officials added that despite Treas.
ury opposition to such speculation,
it was not illegal.
Speculation became a center Of
interest with testimony yesterday
by Maj. Gen. Bennett E. Meyers
before the Senate War Investigating
Subcommittee on his transactions in
Government bonds during the war.
The speculator would put up $10,-
900 from his own account, officials
said, and borrow $4,000 from his
bank. The bank, in turn, would buy
s10O,0 900 in War Bonds which would
be held as collateral for the loan.
Most of these bonds bore 21a per
cent interest and were negotiable.
The speculation was not possible
in the nontransferable E, F and
G bonds.
Officials explained that profits
on bonds were possible whenever
the bonds rose above 100-par in
the market after the Government
had sold them. Frequently the
bonds went up to 102 and some
times 103, giving the buyer a profit
of 81, or So on each 500 invested
if he put up his own money.
Persons who bought bonds with
borrowed money instead of their
own funds were known as free
riders" When bond went to $102,
for instance, their profit would be
50 less whatever they had to pay
to the lender of the money used in
buying the bonds.
Thus they got free ride" max
ing profit without putting up
money of their own. In some cases
purchasers used their own money
to cover part of the purchase price,
and borrowed the remainder.
The Treasury, officials said, re-
fused to sell bonds to any one buy
ing them with borrowed money, but
officials acknowledged that with the
Government borrowing billions on
bonds to finance the gigantic war
cost they could not police" bond
sales 100 per cent,
Evening star., 1947-11-13

finding out and correcting any such
situation that existed.
1--WE thought" Col. Nuckols said
at would be bad for public rela'
tions if it got out that Air Force
officers were interested in stock
deals"
The witness declared his job was
merely to look at the public rela'
tions angle" He admitted that se
far as he knew there was no ofdcia
investigation to determine whether
the replies presumably sent to Gen
Stratemeyer we're ever officially in
vestigated to determine their &C.
tcuracy.
Method Questioned.
did you think" Senator Fergu-
son demanded, you would get all
the facts through such an apologetic
letter."
Personally, think so," Col
Nuckols replied. "You would have
got as honest a reply from that
letter as you would have from a
letter couched in formal military
terminology."
(Although it was not brought out
in the testimony, Col. Nuckols' plan
for a survey by the Associated Press
was not carried out, committee
counsel said. Nor was there any
indication the Associated Press was
even contacted)
Committee Counsel William P
Rogers reminded the witness that
the present Mayor of New York City
William O'Dwyer, was attached tc
the Air Forces at that time. Mr.
Rogers wanted to know why the Air
Force command did not use Mr.
ODwyer's investigative experience
to look into the reports that some
Air Force procurement officers owned
stock in aircraft companies.
Were those sort of cocktail ru-
mors?" Mr.. Rogers asked. They
must have been sort of definite
weren't they, for your public rela-
tions office to persuade Gen. Strate-
meyer and Gen. Arnold to write that
letter."
mo sir" Col. Nuckols answered
Evening star., 1947-11-13

II do not think those rumors were
very definite
Col. Nuckols, who said he be-
lieved his proposed survey by the
Associated Press might have shown
that high-ranking Air Force officers
owned little or no stock in con-
Germs of contractors with whom the
Air Force was doing business ex-
planned that the public relations
office had nothing to do with the
investigation.
"You weren't going to do anything
about the rumors but to alibi them
by asking the public to compare
stock holdings if it were shown
that the officers holdings were very
small" Senator Ferguson COM
mented.
Hatch Sums Up Views.
Senator Hatch, Democrat, of New
Mexico, then interrupted to sum-
marize his view of the matter as
follows:
1.-The situation as I understand it
from your testimony, Colonel, is
that there were rumors that pro-
curement officers held aircraft
stock. It was contemplated that
this would have a bad effect on
public relations. Therefore, it was
referred to your department. I can
understand that, from public re-
lations standpoint.
What I cannot understand was
that a matter involving rumors OF
aircraft company stock holdings by
AAF procurement officers appar-
emily was not investigated"
"It was referred to in a memo
randum to the Air Force chief of
staff" the witness replied.
Col. Nuckols had not gotten far
into his story before Chairman
Ferguson called a recess until 2 pm
Evening star., 1947-11-13
Hughes
Continued From First Page

thereof with regard to procurement
Positive steps are to be taker
which, while not calling attention tt
these rumors or assuming any de-
fensive attitude, will counteract
them.
Confidential Information.
I'm this connection, Gen. Arnolc
desires that you supply conf1dentially
certain information with regard tt
your past, or present holdings, il
any, of securities in aircraft or air.
craft accessory companies.
This request is by no means to be
regarded in the nature of an inves.
tigation. Information received ir
reply will be used with the greatest
discretion and then only with the
direct knowledge and consent Of
Gen. Arnold. Your secret reply
should be addressed directly to me-
The letter was signed by Gen
stratemeyer.
The subcommittee members ham
mered Col. Nuckols in an effort tt
determine whether the air forc'
attitude at the time was merely tt
counteract the rumors instead o
Evening star., 1947-11-13

Gen. Meyers was not in the COM
mittee room as the hearings began
but his attorney, John H. Amen, sat
making notes, Gen. Meyers disclosed
his bond dealings yesterday while
testifying concerning his relations
with Mr.. Hughes, setting off TO-
days phase of the subcommittee
investigation.
Meanwhile, Neil S. Mccarthy, for
mer Hughes company official, was
travelling by train from California
to be asked Saturday whether he
offered $25O000 loan in behalf of
Mr.. Hughes in 1914 to Glen Meyers
Mr.. Hughes also promised re
view" of much of the testimony at
the inquiry into his $40,o0o,000 in
contracts for a big flying boat and
photo reconnaissance planes. This
will be formal statement, he said,
although he might be recalled briefly
to the stand.
Another New Witness Likely.
Senator Ferguson said one other
new witness besides Mr.. Mccarthy
might testify Saturday.
Mr.. Mccarthy, summoned at the
request of Gen. Meyers, was regard
ed as a key witness. In a subcom-
mittee closed session last month, he
said the former Air Force officer
asked for Hughes loan of 5000, 900
Evening star., 1947-11-13
Two Marshall Proposals
Up for Final Vote Today

NEW YORK, Nov. 13 P)-Secre-
tary of State Marshall's last two
major proposals before the United
Nations come up for final vote in
the General Assembly today with
assurance of passage.
Russia. however, has announced
she will boycott both of the new
u. N. organs which would be created
by the American resolutions.
One of the proposals sets up a
year-aYound Little Assembly, to
implement Gen. Marshall's plan for
overhauling U. N. machinery and
the other establishes a U. N. COM
mission to supervise voting and Gre
alton of a government in Korea,
The third key item in Gen. Mar
shall's program-a watchdog COM
mission for the Balkans-already
has been approved and boycotted by
the Soviet bloc.
Ukraine Named to Council.
The United Nations Assembly to-
day elected the Soviet Ukraine to
the Security Council seat which Po-
land will vacate December 81.
The long deadlock between the
Ukraine and India over the seat
actually ended yesterday, when In
dia withdrew from the contest, but
IS nations abstained rather than
vote for the Russian state.
The final vote was "a for the
Ukraine and 2 for India. On the
basis of those present and voting
26 were needed for election.
The United States had supported
India throughout the II previous
ballots. The balloting was secret
Informed quarters had said in ad-
vance, however, that the United
States would abstain rather than
vote for the Ukraine.
The Assembly also was to elect
two more nations to the Trusteeship
Council and indications were that
the Philippines and Norway would
be chosen over Siam and Costa Rica.
The present membership of this
Council is Australia, Belgium,
France, New Zealand, Britain,
China, United States, Russia, Iraq
and Mexico. Russia has boycotted
the Council since it was organized.
American Delegate John Foster
Dulles was scheduled to speak on the
interim Assembly and Korean issues.
It also was probable that Soviet
Deputy Foreign Minister Andrei Y.
Vishinsky would take the floor to re-
iterate the intention of the Soviet
bloc to boycott both groups and re-
fuse to cooperate on the grounds
that the new commissions are illegal
and contrary to the U. N. Charter.
Evening star., 1947-11-13
Metal Workers Strike
In Argentine Mills
By the Assoeiofed Press

BUENOS AIRES, Nov. Is. - En-
ployes of large Argentine metal mills
went on full strike today after a
48-hour sitdown demonstration for
higher wages.
However, the Metal Workers Union
announced some 200 small plants
would meet its demands and 10000
of the 10000 men who participated
in the sitdown strike returned to
work.
Evening star., 1947-11-13
John T. Chottowoy Dies
Composed Red Winq'
BY the Associated Press

MILFORD, Conn, Nov. 13.-John
Thurland Chattaway, IS, whose
songs, Mandy Lee" and "Redwing, -
still are popular quartet favorites,
died in his Fort Trumbull Beach
home here yesterday.
Mr.. Chattaway, who was born at
Springfield, Mass, wrote articles for
a music publishing firm before he
started his career as composer and
| lyricist in 1895.
Evening star., 1947-11-13
Prices Of New Homes
ToContinuet 10 Rise for
7 Years, Realtors Told
By the Assoeiofsd Press

SAN FRANCISCO, Nov. l3. -
Speakers told the National Associa-
ton of Real Estate Boards today
the price of new homes will continue
to rise for two more years.
They expressed belief that farm
lands as well will be higher next
year, and commercial buildings will
continue 'in considerable volume
despite the fact costs will remain
high.
Convention delegates, meanwhile,
debated a proposal to join forces in
political action with the National
Homer Owners Foundation, once
turned down by the directors Of the
national association.
Arthur w. Binnes, Philadelphia
president of the foundation, outlined
the question as whether the con-
vention should withdraw from politi-
cal action or unite with his organi-
zation land campaign politically as
vigorously as we know how"
Says Prices Will Advance.
The prices Of new homes will
steadily advance, Mrs. Lillian R
Moebus, Brooklyn, N. Y, told pane
discussion on real estate brokerage
problems. She is president of the
women's council of the National AS.
sociation of Real Estate Boards, here
for its 40th annual convention.
Most experts, she declared, be.
lieve that two years from now the
public will be paying much higher
prices for homes than ever before
Labor costs will not come down un-
til the law of supply and demand
has been met, she said.
j. Earl Miller, president of the
Ohio Association of Real Estate
Boards and of the Miller Realty Co.
Geneva, Ohio, forecast higher prices
for farm lands in 1948 than this year
Farm brokers throughout the Ma
ton have, within the last few
months, been experiencing new and
greater demand for farms" he said,
adding that there are two classes
of buyers: Professional men pur-
chasing for investment or security,
and farmers interested in acquiring
new farms rather than in expanding
their present holdings.
Farm Prices to Stay High.
Prices of farm products in 1947
will buy and pay for higher priced
land, he declared.
mo one believes that farm prices
will stay at the present level" but
every indication points to the fact
they will stay higher than most agri-
cultural economists predicted for
1948, 1949 and 1885," he concluded.
There seems no doubt but that the
United States has assumed the re-
sponsibility of feeding the world"
Evening star., 1947-11-13
Britain Reported Set
TO Reject U. S.-Soviet
Proposal on Palestine
BY the Assoeiofed Press

LONDON, Nov. 13.-Britain
has decided against accepting,
or substantially sharing in, the
Soviet-American plan for parti-
tioning Palestine, high White
hall sources said today.
Under tile Soviet-American plan
Britain would be asked by the
United Nations Assembly to con-
tinue to be responsible for law and
order in Palestine until May l, 1948.
= "a British U. N. delegation
spokesman at Lake Success, N. Y,
: said Britain would make an Of
fetal declaration on the plan to
a subcommittee on Palestine
meeting at pm. today)
Disclosure of the British decision
came a few hours after the British
cabinets regular weekly meeting.
Delegation Instructed.
The informants said this country's
delegation at Lake Success has been
instructed to inform the United
Nations:
l. Britain will not be party to
the use of force in the implementa-
.tion of any solution in the Holy
Land.
2. Britain will not be prepared to
make any substantial contribution
toward implementation of a settle
nent not acceptable to both Arabs
and Jews.
3. Britain will not single-handed
carry out the Soviet-American par
tition plan which would require this
country to remain as mandatory
until next May, when the process of
transferring power to the Arab and
Jewish states should begin.
Evening star., 1947-11-13

, tain in 1898. The start of World
War II found him a temporary
colonel.
Gen. Meyers became a temporary
brigadier general on February Is
1912, and temporary major general
two years later. He retired Au-
gust 81, 1945, because of physical
disabilities.
At the time of his retirement Gen
Meyers was in command of the All
Technical Service Command.
Gen. Meyers. native of Buffalo
N. Y, first served at Love Field
Tex, in 1919 and 1920, after which
he bcame commanding officer OF
the surplus property district in De-
troit. When this work was COM
pleted he was given a similar as
signment at Buffalo. He Joined the
23d Bombardment Squadron at Luke
Field, Hawaii, as an intelligence Of
ficer in late 1923.
He first moved to Wright Field
at Dayton, Ohio, in June, 1927
Here he was to spend much of his
Army career and to come into closer
contact with Howard Hughes. Re-
turning to Wright Field after an
absence of a few months to take
a special course at Kelly Field, Tex
he became chief of the plans divi-
sion of the industrial war plans
section
After taking a course at the Army
Industrial College here, Gen. Meyers
became chief of the plans division
at Wright Field. He was graduated
Evening star., 1947-11-13
Boy, 6, Is Injured
When Hit by Truck

A 6-year-old boy told police to-
day he was struck by large black
truck as he was playing near his
home yesterday afternoon but that
the driver did not stop to help him
He suffered serious head injuries.
The boy, John Mackey, colored
1854 Half street Sc, was taken tc
Gallinger Hospital. Physicians there
reported his condition was fair.
Evening star., 1947-11-13

Mrs. Bennett E. Meyers lis
tens as her husband testifies
at Senate subcommittee in
quiry on Howard Hughes plane
contracts. -AP Photo.
from Babson Institute, Wellesley
Mass, in 1882 with distinction, aftel
which he again returned to Wright
Field as executive of the f1elc
service section.
Moving to Washington in Sep.
tember, 1910, Gen. Meyers, then 6
major, was made assistant executive
of the Office of the Chief of the Ali
Corps. He became executive officer
of the Materiel Command in thai
Office later that year and in March
1912, was named deputy to the
assistant chief of air staff.
Gen. Meyers took over the Ma
teriel Command at Wright Field ir
June, 1914, and the following month
was named deputy director, Army
Air Forces Materiel and Services al
Patterson Field, Ohio. This Later
was redesignated the Air Technica
Service Command and was trans
ferred to Wright Field. In May
1945. he was placed in command o1
the Air Technical Service Command
He was rated as a senior pilot
combat observer and technical OBJ.
server.
Evening star., 1947-11-13
New Wire Service Planned

HAMBURG (P).-Telegraph serv-
ices between Germany and Portuga.
and Iceland are under consideration
the postal and Accommodation
branch of the British Control Com
mission has announced.
Evening star., 1947-11-13
By John A. Giles

Mai. Gen. Bennett E. Meyers, So,
a storm center in the Hughes inveS-
tigation, first enlisted as private In
the aviation section of the Signal
Reserve, the nucleus of the now in
dependent Air Force.
Before his enlistment Gen. Meyers
worked as a bookkeeper and ac-
countant while attending night
school. Before that he had been a
messenger.
Thrice married and the father of
four sons, Gen. Meyers is now mar
ried to the former LA Rhodes; film
actress who Is the mother of his
twin 4-year -old sons. Mrs. Meyers,
native of Oklahoma, is the former
wife of Arthur S. Lyons, theatrical
agent.
Previously the general had been
married to Martha McDougall, from
whom he was divorced in Honolulu
in 1927 after eight years of mar
riage and the birth of son, and to
Mary Brownwell, from whom he
was divorced in Xenia, Ohio, in 1941
after 10 years and the birth OF a
second son.
During the war Gen. Meyers lived
at the Hotel 2400 here
His rise in rank was almost paral-
lei to that of the rise in Importance
of air power. He was first COM
missioned a temporary second lieu
tenant in the Army's Air Service
July %, 1918, moved up to first lieu
tenant two years later and to cap
Montana labor news., 1947-08-28
ALIAS SUM MONS

No. 42129
In the District Court Of the Second
judicial District OF the State of
Montana. In and for the
County OF Silver Bow
MAURICE CAMERON, Plaintiff,
MARJORIE cAMERoiN, Defendant.
The State Of Montana Sends Greet
ings to the Above Named Defendant:
You are hereby summoned to answer
the complaint in this action, which Is
filed in the office OF the Clerk OF this
Court. a copy Of which Is herewith
served upon you, and to file your an
swer and serve a copy thereof upon
the plaintiffs attorney. within twenty
days after the service Of this summons,
exclusive of the day of service; and in
case Of you failure to appear or an
swer, Judgment will be taken against
you by default for the relief demanded
in the complaint.
married at Butte, Montana, on or about
the 18th day Of September, 1912, and
ever since said date have been and now
are husband and wife.
That plaintiff has been for more thar
one year Immediately prior to the com
mencement Of this action, and still is,
an actual and bona fide resident OF the
State Of Montana.
THAT one child was born as issue Of
said marriage. said child being a son,
to-wit. Gerald Cameron, a minor, and
now in the temporary custody OF plain
tiff.
That defendant, disregarding the sol
emnity Of her marriage lows, has been
and now is guilty of Wilful Desertion
Of and toward plaintiff In this. to-wit:
| That at Butte. Montana. and on or
about May II, 1916, the said defendant,
with the intent in her to desert and
abandon plaintiff and to live separate
and apart from plaintiff, did, without
just or sufficient cause or provocation
therefore. wilfully voluntarily, wrong
fully and knowingly desert and aband-
on plaintiff. That said desertion has
persisted and continued in ever since
the said 18th day Of May. 1916. and for
more than one year last past and i'm
m%ediately prior to the commencement
Of this action, and was and Is without
the consent of plaintiff and against
his wishes.
WHEREFORE. plaintiff prays for an
absolute divorce and for the care, GUS
tody and control of Gerald Cameron,
the minor son Of plaintiff n defend
ant.
(For further particulars see Com
plant on file herein.)
Witness my hand and the seal Of
said Court this ath day Of August, AID,
1947.
Court ELMER SHEA, Clerk.
SeaD BY JOHN SULLIVAN,
Deputy Clerk.
COYLE & YBARRA,
514 Silver Bow Block
Butte, Montana
Attorneys for Plaintiff.
First publication August Z, 1947--4t
Montana labor news., 1947-08-28

num-. LaVor Taylor. pres.-sec.-treas.
Phone 2-1S93. Pc. Box 1922.
Stationary Engineers No. So Of the I.U.
of H., n. & S.W.-Meets every Thurs.
1880 pm. office and meeting place
Miners hall. Box 68. John Gilbert,
pres; F.. G. CRANE. v.p.; John e.
Riley, rec. Sec: Henry Young. sec.
treas.
Teachers-Meets LIST and Sd Wed. 1880
pm. in Study Hall A. Of Butte HIS.
Gisela Granting. pres; Chas. Davis.
v.p.; Cecilia Harrington. rec. sec.:
Mona Cronin. FIN. sec.
Teamsters-Meets Thursday at TN E.
Park ST. Lee Earcammen, pres; KEN
meth Davis, v.p. w. j. Mcintosh. Sec
treas: L. II. Bradley, rec. sec; Frank
j. Birmingham. bus. agent; Arthur
Speraw. Art Rosar and Frank j. Biz
mingham, trustees; Frank ]. Bir-
mingham, George Brown inc Frank
ing Trades Council.
Butte Stage Employees & Operators
Union. Local ED Curran. pres;
Earl Wiles. vp: Carl Fredericks.
treas: Denny Sullivan. 1913 N. Excel
sior. sec'y.: Rene Rouleau. 412 w.
Park, bus. agent. Union meets End
Tuesday each month at Musicians
hall.
Typographical-Meets 80 Sun. of mo. at
Carpenters hall Roy Nelson. pres.
$40 w. 0alenG: G. r. Aultman. sec.,
405 W. Quarts.
women's observation-disclosures Har-
rington, pres: l. Aattausch. sec.-
treas; Martha Youchim. bus. agent,
Phone 6768. Meets LIST and I'd Fri. /
pm: I'd and last Fri. s:3o pm. Car
penters' hall.
Workingmens' Union. FLU. 1895 =
Meets 1st and ID Mon II ~ E. Park
ct. J. Driscoll. sec. P.O. Box Its.