Indianapolis Times, Volume 35, Number 278, Indianapolis, Marion County, 3 April 1924 — Page 1

Home Edition FULL service of the United Press, the NEA Service, the Seripps-Howard Newspaper Alliance and the Scripps-Paine Service.

VOLUME 35—NUMBER 278

BANK DEBTS OF M’CRAY HI LISTED * 1_ Amount of Liabilities Shown -by Witnesses to Have Exceeded Governor's Statement on March 1, 1923, by $200,000. PROSECUTION MAY END EVIDENCE BY FRIDAY ■Total of Obligations Set Out f for Fair Board Compared L With Amount Testified to in I Trial —Plan of Attack Ap- ■ parently Changed. ■ That Governor 'Warren T. McCray's liabilities March 1. 1923. vere more than s2oo.o<X> in ex■ess of the amount given in a inancial statement issued by lim, was indicated by testimony >f bank representatives from all >arts of Indiana, today, in the Criminal Court trial of the Governor on charges of embezzleoent and grand larceny. When court adjourned at noon, ankers bad testified that obligations the Governor amounting to JTS?.■33.12 were held by them March 1. B?S. ■ Attorneys for the prose'-ution said Bfls amount would be Increased sti'.l Sfcrther by witnesses at the afternoon Kesslon. In a statement of liabilities and asI net a placed In evidence Monday, and kaid by I. Newt Brown, former sec-Tretary-treasurer of the Indiana board of agriculture, to have been given to him by the Governor last summer, the Governor’s liabilities were placed at 187.684.1 Sand his assets at 12,218.616.21.

Brown Received Statement This wu 1213.449.72 lee* than the amount of hts liabilities testified to by bankers this morning. The statement of the Governor's liabilities and assets was given to Brown, according to Brown's testi mony, in connection with the board's turning over to McCray 1156.000 of its funds, which McCray is chraged with embezzling. It was believed that the State will conclude its case Friday. Apparently there has been a change in the State's plans as to certain witnesses. It is not believed that Harry M. Moberly of Sheibyville. who was president of the board of agriculture when the money was turned over to McCray, and Thomas. Grant of Lowell, board member, will be placed on the stand by the State. It Is believed that both will be used as important witnesses for the defense. James Flaherty, treasurer and vice president of the Fidelity Trust Company, was the first witness today. He testified that on March 1, 1923, McCray owed the trust company SIO,OOO of direct obligation H. E. Beteoc, rashier of the Columbia State Bank of Columbia City, jj& and., and Frank H. Cuts ha 11, vice president of the Old National Bank of ■Ft. Wayne. Ind., when asked how Pmuch Governor McCray owed their banks March 1, 1923. answered, “Nothing at all.” Judge Rules for State All morning, the State continued to introduce bankers from various Indiana cities. The witnesses testified as to the amount of indebtedness of the Governor to their banks on March 1, 1923, both by his direct notes and on notes he indorsed and discounted. The defense counsel objected that notes Indorsed by McCray were not bis debts, but Special Judge Harry O. Chamberlin held that the obligation would be McCray's on his Indorsement if the notes were worthless on the signatures. When George E. Nlchol, president cf the Farmers Trust Company, of Anderson, testified that McCray owed Ms bank $8 900 on a personal note, and $2,960 indirectly on a note made to the Governor and signed “A. E. Herrlman & Q 0..” which the Governor Indorsed to the trust company, the Governor's total Indebtedness, as shown by the State, for March 1, 1928, was brought up to $693,232.22. Ft. Wayne Bankers Appear George W. Clark, vice president of the Ft. Wayne State Bank of Ft. Wayne, testified the Governor owed hla bank $5,000 direct indebtedness, 'March 1, 1923. Frank J. Mills, as Mstant secretary of the Tri-State Loan Bfcid Trust Comp§ny of Ft. Wayne, •aid the Governor owed his company nothing on that date. Willard M. Thomas, assistant secretary of the Citizens Trust Company ot Ft. Wayr.e, said that on March 1, 1923, his hank held five notes indorsed ty McCray, totaling $14,599.72. Os these notes. Thomas testified, one for (Continued on Page^ll) HOURLY TEMPERATURE 6 a. rrt. 38 10 a. m 4 - • 51 7a. m.^.•... •8911 a. m A. 54 t a. m. •• • • 42 12 (noon) 57 t a, 1 p. m.• 60

The Indianapolis Times

JURY COSTS $1,167

Marion County paid $1,167.70 to obtain the jury trying Governor Warren T. McCray in Criminal Court on charges of embezzlement and grand larceny. Each time a prospective juror ambled into the jury box old John Q. Taxpayer planked down $9.52. And from the manner in which attorneys for both State and defense excused the talesmen because of "fixed opinions,” it seemed probable for a the county would have to float a bond Issue to cover expenses. In all. 129 talesmen were examined before twelve men were discovered who couldn't or didn’t want to produce an alibi or convince all hands they were prejudiced against anybody. The twelve at present are costing $1.95 a day

‘CANNED HEAT’ IS RESPONSIBLE FOR EIGHTEENTH DEATH Murder Indictment Is Sought as Result of Orgies at Toledo. 8v United Press TOLEDO, Ohio, April 3.—The eighteenth victim of canned heat and denatured alcohol orgies since Sunday night. James Carter, 55, Toledo, d.ed at the county jail today. He was being held aa a witness by the federal authorities. Three others in municipal hospital are in a critical condition. Indictment Sought Police Chief Christenson indicated he will try to obtain an Indictment for second degree murder against a druggist and his two clerks, arrested on the testimony of Harry Otis, who later died from the poison. Otis told police he purchased denatured alcohol from Meyer Selsman. the druggist under arrest on a charge of conspiracy to violate the prohibition laws. Selsman's two clerks are held on similar chargee. law Is Strict Under an Ohio law when death results from alcohol sold for beverage purposes, the seller may be found guilty of second degree murder. The fatalities began Sunday night. Six men, police said, staged a "party’’ in a hotel here. “Canned heat’’ or solidified alcohol, was dissolved in rubbing alcohol and denatured alcohol and consumed In large quantities. The six men were dead by Monday night. Twelve others died from denatured alcohol obtained at other "partiee." police said. Most of the victims were laborers. SCOUTS ADMITTED FREE Showing of "The Traitor Within" Opened to Boys. In observance of Scout week, Boy Scouts will be admitted free to Cadle Tabernacle, where the film, "The Traitor Within,” is being shown. The film iWlll be shown until Saturday night.

GUN'S SALUTE PERSHING Bands Play “Hail To The Chief” As General Arrives in United States. Bu United Prms NEW YORK. April 3.—Guns on Governors Island boomed salute, H - boken piers swarmed with khaki and a military band blared “Hail to The Chief,” as Gen. John J. Pershing arrived home from Europe today. The General grinned and said: “It's a grand old place after all. Isn't it?" He had been abroad six months gathering material for a book on America’s part in the World War. TWO WOMEN DIE IN FIRE Patients Carried From Burning Sanitarium by Nurses. k Sv United Pr<** MORGANTOWN, N. C„ April 3. Two women lost their lives in a fire in a private sanitarium today. Two other persons were seriously burned. Thirty-six escaped uninjured. There was no panic among the patients. as they were carried from the burning building by nurses and attendants. 50-50 CLUB WILL MEET Third Ward Organization “Gets Together” at Charles Reed’s. All ward organizations of the Democratic Fifty-Fifty Club will meet at the Democratic Club, E. Vermont St., Friday. William Headrick, attorney, will speak on “The Need of the Hour.” A Third ward meeting was held at the home of Charles Reed, 1726 N. Illinois St., candidate for nomination for coroner Wednesday night. Another meeting of the ward club will be held ther next Tuesday. Lodge Celebrates Founding By United Prets SEYMOUR, Ind., April 3.—Hermion Lodge No. 44 Knights of Pythias, celebrates its fiftieth anniversary Thursday night. Appliance Firm Receiver Asked Andrew J. Peters has filed a petition for a reciever for the Capitol Appliance Company in Superior Court Room 5. His claim for back wages and rrr.ounts alleged due creditors in whose behalf he is also suing total about S9OO. Danger of insolvency is alleged. Hearing has been set for April 12.

each at restaurants, $1.50 at the Washington for room and $2.50 for pay. The State al3o has paid $1,166.77 to A. C. Metcalf, official Criminal Pourt reporter, for reporting and transcribing proceedings before the grand jury which returned Indictments against McCray, $2,400 to Special Prosecutor Clarence W. Nichols and SI,OOO the estate of Charles W. Moores, who died after resigning as special prosecutor. Nichols and Eph Inman, appointed to assist the prosecution, have put in three weeks of trial which will have to be paid for by another special appropriation by the county council, as the $5,000 set aside for the work is exhausted.

CLEAN BP SHOW OR CLOSE DOWN, MANAGER IS TOLD Lieut, Summers Issues Warning on Performance at Broadway, "Keep the show clean or close up. If you don’t I’m going to close you," were orders issued to Glenn Blabk, manager of the Broadway Theater, by IJeut. Charles Summers, special Investigator for Police Chief Rlkhoff. today. Summers visited the theater followfng filing of a report Tuesday by Mrs. A. M. Buck, policewoman, in which she termed the show “too vulgar to describe ” Summers said in a report today to the chief that he saw nothing in the show Wednesday afternoon that would give rise .0 such a report as Mrs. Bu-k submitted. On the other hand, he said, he was known at the theater and that fact might have caused the show to be altered. This caused him to issue his order to the manager. Black ridiculed a report that a sig nal fight from the box office to the stage was Installed to notify the act era of police officers' arrival. Summers said that he went back stage and explained to the actors and actresses the nature of his visit and told them arrests would be made If the performance was not clean. Black assured Summers would be "of the same high calibre'' as the one seen Wednesday by the lieutenant. Chief Hikhoff instructed Mrs. Buck to make arrests in future instances. FAIVULs&.JS. DRIVEN OUT Falling I,adder Injures Fireman Fighting Blaze. Charles Coghill, 1120 N. Capitol Ave„ fireman at Station 6. 122 W. Fifteenth St., was injured about the head early today when a ladder fell on him while he was fighting a blaze at the home of H. H. Lipps, 1735 Hall PI. Coghill was sent home. The fire, which was dissevered by neighbors, started from sparks from the flue. Damage was estimated at $1,500. Awakened by shouts. Nine Lipps, 15. and Doris Lipps. 11. fled in their night clothes. Mr. and Mrs. Lipps were at breakfast.

‘PM A TAX ASSESSOR* Mai, Boys and Police Chase Bogies Collector. “Who are you?” Mrs. Ella Wallace, 7. E. North St., asked a man she found in the dining room of her home today. “Oh, I’m a deputy tax assessor,” he explained nonchalantly. ’Are you?” M"s. Wallace asked. “We’ll see.” She took down the telephone receiver. The “tax assessor" took to his heels. Several men and boys and a police emergency squad gave chase, in vain. BOTTLES AND SCISSORS When a Man Marries, Etc. —Oscar Poole Seeks Divorce. Milk bottles and scissors played an important part in the domestic unhappiness of Oscar Poole of 2626 Ethel St., according to a divorce complaint filed by him in Superior Court today. According to the complaint, Mrs. Lillian Poole harl on "different occasions thrown milk bottles.” and had • drawn scissors and threatened him.” Charges were denied on behalf ■ f defendant. Commissioner Candidate John Schildmier, R. R. G, Box 230, Indianapolis, today filed declaration of candidacy of Democratic nomination, for county commissioner of the First District. Attorney’s Mol her Dies Mrs. Regina K. Sobmollinger, 81, mother of Albert E. Sehmollinger, attorney, Indiana Trust Bldg, died at Tern* Haute, Ind., Wednesday evening. Funeral services will be at home of a daughter, Mrs. Lyda Heiny, Clarksville, Ind., at 2 p. m., Friday. / End of Walk-Out Sought By United Press KANSAS CITY, Mo., April 3.—A sub committee of the joint conference of representatives of the 35,000 striking miners of the southwest and employers toflly was attempting to negotiate an agreement which would end •-< ’.k out.

INDIANAPOLIS, THURSDAY, APRIL 3, 1924

mol FRAUD CASES Certain Papers ‘Seized’ by * Cabinet Member Also Ordered Brought Before Daugherty Committee by Senator Wheeler, ACTION IS PRECEDENT IN SUMMONING OFFICIAL Sale of Government Securities Aired and Aircraft and Bosch Magneto Deals Are Bared by Former Agents of Justice Department, By United Press WASHINGTON, April 3.—Senator Burton K. Wheeler of the Daugherty investigating committee today ordered a subpoena issued for certain papers “seized” by Secretary of War Weeks, when new testimony was given involving the war department in the war frauds case. The subpoena also calls for Weeks' personal appesranee. Wheeler called to the stand Capt. William K. Volandt of the air service and demanded that he hand over records of Thomas F. Lane, former legal adviser In the War Department. “Secretary Weeks has taken those papers and he told me to inform you that if you wanted them you will have to subpoena them front him.” Volandt said. "Well, lb® subpoena will be Issued immediately,” Wheeler said. Lane testified that Volandt "took the papers away from me.” Volandt admitted taking the papers and giving them to Weeks but claimed they "were official records of the department.” Vojandt said Week* ordered the Lane papers turned over to him. Action Unprecedented The action In subpoenaing Weeks ■8 unprecedented In congressional in vestigations. Usually a Cabinet officer is merely “respectfully invited" to appear. The papers were records In investigati iib by I*m In connection with Tinsch Magneto, Standard Aircraft and Wrlght-Martin fraud cases. Lone, In his testimony, assailed A. Mitchel Palmer, former alien property custodian, for snlo of the Bosch Magneto property for $4,150,000. "It should not have been sold for $12,000 000.” said Lane. said he took records In the Bosch case to Assistant Attorney General John W. H. Crim, and Orlm said It was the “rotlenost" case he ever saw. Crim, he said, promised immediate action on "this great fraud." Department Does Nothing The witness said the Department of Justice had done nothing to this day, so far aa he knew. His Bosch Magneto records were among those taken from him by Voandt, said. Going back to the sale of $2,000,000 of Government securities by the Bosch Magneto Company, l.a.ne said, “they were sold through the brokerage firm of Hornblower A Weeks." Secretary of War Weeks was a member of that firm. He was not, however. Secretary of War at that time.

OHIO EDITOR SUMMONED Publisher Will Be Questioned as to Political Deal in 1920. By United Preti WASHINGTON. April 3.—Two witnesses were subpoenaed today to appear before the Senate oil Investigating committee Monday. They are Arthur J. Wolf, publisher of the Columbus Dispatch and the Ohio State Journal of Columbus, Ohio, and J. B. French of Oklahoma City. Senator Walsh will question both "In connection with “reported political deals” at the 1920 < Rbpubllcan convention. Wolf was a member of the Ohip Wood delegation to the convention. French is said to have been a political associate of the late Jake Hajnon. The Federal grand jury which meets here Ap-il 10 will be entrusted with criminal proceedings against at least five men whose names have figured In the oil inquiry. At the same time the committee will take steps to make apparent to the country the concrete results of its months of work. May Change Law They are: 1. Preparation of a report which will sweepingly condemn policies followed with respect to the leasing of naval reserves. 2. Presentation of amendments to the leasing law and probably some original legislation to prevent future disposition of any part of the public resources, without a check by Congress. Cleaning Up Loose Ends The report will apply in the main to the period since Walsh went to Palm Beach in January to question E. B McLean, and Is expected to be one of the most scathing documents over presented to the Senate. It will condemn the turning over of the naval oil lands from the Navy to the Interior Department and the manner in which Teapot Dome and Elk Hills were coed to Sinclair and Dohenjr.

Boy Scout, Governor for an Hour, Likes Feel of Chair but Would Rather Have a Job as Forester

"I don’t believe I’d like to be Governor," said Donald M. Higgins, chief executive of Indiana for an hour today. Higgins. 16. son of Mr. and Mrs Roy E. Hig&ins, 207 S. Arlington Ave., is Boy Scout who “subbed”

WORKMAN KILLED FIRST DAY ON JOB Husband Seeks Bread for Family Only to Die, * After trying once a day for thirty days to obtain work at the Beveriidge Paper Mills, 717 W. Washington St., Hid McCalllster, 30, of 716 CHadwiek St., succeeded at 7 a. m. today. Fifteen minutes later he was crushed to death when a bale of wood pulp fell on him. McCallister, according to Harry Ross. 741 W. Washington St., assistant superintendent, told of his wife and 10-months-old laiby being ill at home with measles. Boss gave him a place in the beater room. On the first trip to the stock room, where large stacks of pulp are stored, a 450-pound bale fell upon him. Coroner Paul F. Robinson said It appeared McCallister had pulled a support from under the bale. $ John Kennedy, 209 Bright St., a fellow workman, found him. Robinson said death came almost instantly. According to friends, McCallister and his family came here seven months ago from Bowling Green. Ky., where his parents live. LOOSENED ANCHORAGE Highway Commission Investigates Bridge Collapse Near Paoli. Investigation of the recent collapse of a ninety-foot bridge between Paoli and West Baden on State Road No. 22, showed part of the anchorage bad been loosened when an automobile crashed into it recently, according to a State highway commission report. John D. Williams, director, and four members of the commission went to the scene of the accident today. SMALLPOX IS INCREASING State Health Board Reports 100 Per Cent More Cases. More than 100 per cent increase was reported today In smallpox cases In the State for the week ending March 29. A decrease was noted in measle cases. The State health board’s report - Measles, 631 cases; smallpox, 138; scarlet fever, 96 whooping cough, 76; Influenza, 50; diphtheria, 34; chickenpox. 49, pneumonia, 20 typhoid, 3, tuberculosis, 9, and meningitis, 1. DRIVER IS EXONERATED Street Cleaning Employe Not to Blame In Death of Passenger. An involuntary manslaughter charge against John Hurd, colored, 642 Douglass St., driver for the city street cleaning department, was dismissed in city court today. Hurd was arrested following the death of Frank Keeler, 60, of 1660 N. Arsenal Ave., of injuries received when he was thrown from a truck driven by Hurd, in im accident at New Jersey St. and Virginia Ave., March 15.

Her Honor, the Mayor, Bans Petting

By United Press COLUMBUS CITY. lowa, April 3. Eva Brets, school teacher-mayor of Columbus City and her cabinet of women today served notice on all law-breakers here to come Into the fold or get out of town. “We shall not tolerate bootlegging or any other form of law breaking,” she declared. Mayor Brets also is against bobbed hair and cigarettes for women. Every elective office town fell to the women. , Two other teacher*, MIM Mary Moor* and Miss Nellie Moore.

Entered as Second-class Matter at Postoffice, Indianapolis. Published Daily Except Sunday.

DONALD M. HIGGINS

for Governor McCray as part of Scout week observance. "I’m more interested in forestry,” said Higgins. "I hope to be a forester some day.” Higgins helped McCray open his mall, sign requisition papers for return of an alleged thief and an al-

M’ADOO WINS IN lOWA Gets Majority of Delegates and Is Assured National Committeeman. By I nitrit Pm* DAVENPORT, lowa, April 3.—Clyde L Herring. MoAdoo leader in lowa, won a sweeping victory in the State Democratic cam us today, electing a majority of the district delegates to the party's national convention in New York. The result virtually assures Herring of election as Democratic national committeeman from lowa, succeeding Wilbur IV. Marsh. Waterloo, conservative dictator since 1914. FIFTX. LAWYERS IN CASE Arguments Open in NorthelilT Wiii litigation. By United Pr si LONDON, April 3. —The little court of chancery presented an unusual sight when an argument reaching three technicalities in the will of the late Lord Northcliffe involving 750,000 pounds began. A total of 50 lawyers represented the litigants, practically filling the courtroom. TUNNEL IS INUNDATED Workers Flee for Lives as Explosion Sends Hole in Roof. By l ulled Pres* NEW YORK, April 3.—Twenty-five workers in the vehicular tunnel being built under the Hudson River, fled today when a compressed air explosion blew a hole in the roof and let in the river. POLICEMAN SENT TO JAIL Fletcher Waives Hearing on Narcotic Charge. Raymond E. Fletcher. 27, of 941 N. Meridian St., former police officer, was arraigned before John W. Kern, United States commissioner, today on Federal charges of violation .of the anti-narcotic act. Fletcher waived examination and upon failure to provide $2,000 bond he was taken to the Marion County jail. Fletcher Is charged with illegal possession and sale of narcotics. He resigned as motorcycle officer on the police force March 28. DANCE CONFERE|p HELD Earl Condor to Consult Three Other laiwyers on Ordinance. Earl Conder, president of the Church Federation, today conferred with Police Chief Rikhoff on revision of dance ordinance. Conder, an attorney, who is on the chief’s committee to revise the ordinance, will consult three other lawyer In the drafting of a bill to supplant the present law, which had been deemed Inadequate and unenforceable. ENDOWMENT OVER TOP Wabash Students Subscribe $50,282 to Building Fund. By Times Special CRAWFORDSVILDE, Ind., April 3. —Wabash College students “went over th? top’ 100 per cent today by subscribing $50,282 to the college sl,000,000 endowment and building fund campaign. The amount represents subscriptions from practically every college man toward what was first adopted as a $50,000 student goal.

occupy the posts of treasurer and assessor, respeefively. "We shalj endeavor to show how a city should be run," Mayor Brets said. "We don’t want bootleggers, petting parties, the mixlt g of grin with automobiles—and I am opposed to women smoking cigarettes or bobbing their hair.” Mayor Brets, for eighteen years a school teacher, isn’t making any promises, but lawbreakers had better get out from under. As if to guard against the rigor of an allspinster regime, the town placed five married women In the ewtwil

leged murderer to Tennessee and sat in a conference of McCray with John D. Williams, director of the State highway commission, and Charles Ziegler, commissioner. "I like the feel of this chair, though, even if it Is a little large for me,” said Higgins.

LA FOLLETTE LEAD NOW TOTALS 80,Offi Smith Ahead of McAdoo in Wisconsin. Hu l ulled Pres* MILWAUKEE, Wis„ April 3. Senator Robert M. La Follette today , increased his lead over President Coolidge in the Wisconsin primary to more than 80.000 in returns from 7,192 of the 2,574 precincts. The < mint for each slate of delegates stood: J.a Follette. 150.109: Coolidge, 69 983 In the Democratic returns Governor A1 Smith of New York had this lead over William Gibbs McAdoo in 971 precincts. Smith, 35.341; McAdco. 24.932. JACK DILLON ARRESTED * Former Prize Fight Champion Held on Blind Tiger Charges. Ernest Price, alias Jack Dillon, 33, Liberty Beach, former light heavyweight prize fight champion, was arrested today on blind tiger charges by Deputy Sheriffs Roland Snider and H. Clausen. GLOBE FLIERS SET TO GO F'light Around World Start Friday Dopends on Weather. By I nitrd Press SEATTLE, April 3. —America’s “round the world” Army flight will be resumed at 6:30 a. m. Friday, weather permitting, Maj. F. L. Martin, commander, said today. * "Willie-wash,” a peculiar type of storm prevalent *near the Alutian Islands, have caused two postponements of the start. Late weather reports were not encouraging. CHICKENS ARE WILLIN’ Seven Hons I>ay Eight Eggs in a Day; One Is Double. Whether it’s a sign of spring or just a plain outright unusual flock of hens aa.n'i be determined, but Mrs. Sam Cunningham, 3147 Ethel St., reported to The Times today that her seven hens laid eight eggs in one day! One egg was larger than a duck egg and contained two yolks. “That’s efficiency,” declared Mrs. Cunningham, as she told of hgr Rhode Island Reds.

FARM PROTECTION URGED “Agriculture Entitled to Equal Opportunity,” Says Meiks. “Agriculture is entitled to an equal opportunity with other industries. If the United States is to maintain its policy of protection, it must apply to all industries,” Scott Meiks, vice president of the Indiana farm bureau, said today in a letter to Representative Richard N. Elliot urging passage of the McNary-Haugen agricultural relief bill now pending before the House. Rifle Shot Victim Improves Paul Borders, 15, of 1326 Olive St., ir improving at his home today after suffering a rifle shot in his left foot Wednesday. Police say his companion, Asa Hudson, 15, of 1422 Ringold St., fell with his rlflt while he and Borders were walking together. One Arrested In Crash A car driven by George Talkington, 816 N. Delaware St., was struck by another driven by John Brown, colored, 407 W. North St., at Vermont St. and Indiana Ave. today, police say. Brown was held. Constable Denies Charge Charles Freeman. 36, of 2049 N. Alabama St., constable in the W. A. Conner justice of peace court, Baldwin Block, was arrested today. An affidavit filed by Slrlen Marcum,££3B E. Ohio St., charges household :furniture was taken. Freeman denied the charge.

Forecast INCREASING cloudiness and warmer is the weather prediction for this vicinity tonight. Friday probably showers is the local forecast.

TWO CENTS

van co. ‘SIISPREFTT’ AT HEARING Plea for Increased Fare Moves Swiftly Before Public Service Commission With Practically No Opposition Offered. GRONINGER SAYS CITY IS NOT ‘CONTENTIOUS* Attorney States Utility Has Been ‘Barely Able' to Meet Fixed Charges as Result ‘Penny Wise and Pound Foolish Policy.’

Company Asks — • Fare of 7 cents cash, four tickets for 25 cents and 1-cent transfer charge, instead of present rate of 5 cents cash and 2-cent transfer charge. Increase in revenue to go to maintenance and replacement fund. * City Asks—- . Same fare as company is asking, with addition of seventeen tickets for sl, double transfer privilege and city rate to Broad Ripple. Increased revenue to go to maintenance and replacement und.

Because of virtually no expressed opposition to proposed car fare increases, the Indianapolis Street Railway Company presented its plea for higher rates to the public seryice commission mofe briefly than usual in‘such cases, at the Statehouse today. Taylor E. Groninger, corporation counsel, told the commission that the city agreed to an increase in fare. He added that he believed the commission shouldi order the company to sejl seventeen tickets for sl. in addition to the proposed rate of 7 cents cash, four tickets for 25 cents and a 1-cent transfer charge, and that he believed Broad Ripple citizens should be given the benefit of city fares. ’ Broad Ripple Represented H. H. Hornbrook, attorney, entered his appearance for the company, William Bosson for citizens of Broad Ripple, and O. H. Mendenhall In behalf of J. W. Losh, who contended the commission had no jurisdiction. The commission overruled Losh’s plea. “For five years or more the Street Railway Company, cooperating with the city ad the public service commission, has been endeavoring to maintain what has not been maintained in many cities, a fare not exceeding a. basic rat* of 5 cents,” Hornbrook said in an opening statement. He asserted that as a result the’ company has barely been able to meet fixed charges and has been embarrassed by Its financial inability to cooperate with the city in street Improvements. He said that because of rapid depreciation of the property, due to’ lack of money, costs of manufacturing current have been too high. "These conditions have been due to a penny wise and pound* foolish policy.” he said. New Rates Experimental He declared the proposed new rates are experimental and only time will tell the exact results obtained. Groninger said “the city is not here in any vlplent attitude of cqntention.” “We agree in a measure with what* Mr. Hornbrook has said,” he continued. He then made his proposal for seventeen tickets for $1 and the Issuance of a transfer on a transfer to allow passengers who must ride three cars to make one trip to pay only one transfer charge. He also suggested that re-routing might help, but said lft had at this time no definite plan to present. “The car company has not received the same treatment as other utilities,’’ he said. “The other utlltitles are making money. This cannot be said of the car company. The city la willing to help the company and expects the company to help itself by improving its service. Bosson spoke briefly in behalf of Broad Ripple citizens. McGowan Testifies Joseph A. McGowan, secretarytreasurer of the company, was the first witness called. He testified that the net earnings of the company after deduction of taxes were $1,072,903 in 1923 as compared with $1,050,441 in 1922. He said the company spent 19.5 per cent of its income to take care of depreciation In 1922 and 22.72 per cent in 1923. The commission ordered it some time ago to use 21 per cent for this purpose. He testified that the net earnings during January and February of this year were $236,747, as compared with $224,410.89 in 1923. He said the Increase was more than accounted for by the extra day in February- The operating income In March, 1824, tprax $127,881, a compared with $816,818 In {(Jontfenud on Pftge 11)