Indianapolis Times, Volume 41, Number 178, Indianapolis, Marion County, 5 December 1929 — Page 1

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HEARING BARES RUDIMENTS OF RATE MAKING Utilities See to It They Are High Enough to ‘Cover Everything.’ PROBE FIXED CHARGES Miscellany of Payment? Made From Revenues, Witness Admits. BY DANIEL M. KIDNEY “A. B. C.” of utility rate making was delved into at the $70,000,000 Insull utilities merger hearing before the public service commission today. The result was the disclosure that while rates are based on “used and useful” property, the utilities see to it, if possible, that they are high enough to cover all fixed charges on securities and a dividend on the common stock. Much questioning by commissioner was required before L. B. Schiesz, comptroller of the Central Indiana Power Company, made these admissions. The matter had to be cleared finally up by Glenn Van Auken of the Insull counsel. With Schiesz on the witness stand. Van Auken brought out the fact that amortization of bond discounts, interest on bonds and preferred stock dividends all are written “below the line” as fixed charges and paid from revenues derived from the utility customers. Questions asked by Chairman John W. McCardle of the commission indicated he considered the •amortization financed by the stockholders. Ask Rate Boost Inquiry by Commissioner Calvin Mclntosh caused Schiesz to admit that if there was no money available to pay common stock dividends, a rate increase would be asked of the commission “unless the matter was temporary.” He declared, however, that in no instance where 6 per cent on the used and unused property has been allowed by the commission in rate making, has such increase been found necessary. In an exhibit oijered this morning, amortization was estimated at $215,000, should the merger set-up be approved. New money, to be derived from securities sale, to finance the merger move was estimated at $14,473,499. An estimate of revenues from the properties disclosed that more than 90 per cent will be derived from electric and interurban sources. These were listed as follows, the estimates being based on present earnings: Electric $9,996,609, gas $232,070, water $112,364, railroads $1,968,103, bus $144,900, ice $99,987, and heat $175,462. On “Open Account” Commissioner Frank Singleton’s questioning brought out that the Central Indiana Power Company has been financing its subsidiary companies on “open account” without. interest. Commissioner Howell Ellis, who is presiding, pointed out that in the set-up offered there is no allowance made for property depreciation, which is customary. Charles W. Spooner, president of Bpooner & Merrill, Inc., Chicago consulting engineers, took the stand and introduced the appraisal made by his company. It embraces forty-seven volumes and a total of 10,000 pages. Thirtyfive of the books are on the Central property and twelve on the T. H„ I. <te E. This evidence will close the Insull side of the case. A recess probably will be taken at the close of this afternoon's or Friday morning’s session. PREPARE MURDER TRIAL rosecution Deny That Victim of Torch Killing Is Alive. Bu Vnited Press MOUNTAIN VIEW, Ark., Dec. 5. —Preparations for prosecution of five men in the torch murder of Connie Franklin last March, proceeded today while authorities scoffed at stories that Franklin still lived. Sheriff Sam Johnson denied reports of Franklin’s survival, characterizing the reports as a “smoke screen to aid the defense.” He holds, he said, charred bones, a belt buckle and a stained cap found at the end of a deer trail in the wooded glens near St. James, where Franklin, a psycopathic war veteran, was supposed to have been tossed upon a fire. INSURANCE MAN KILLED George Babcock, South Bend, Victim of Auto Accident. Bu Vnited Press KOKOMO. Ind., Dec. 5. An automobile collision claimed the life of George Babcock, 42. South Bend, Wednesday night. The coupe in which he was riding with Frank O Hogan, 39, South Bend, collided with a truck eight miles north of Kokomo. Hogan said the truck, driven by C A. Abishal, Wayne, Mich., was parked a third of the way on the highway, and was without lights.

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The Indianapolis Times Partly cloudy tonight and Friday. Lowest temperature about 25.

VOLUME 41—NUMBER 178

Seven-Story Fa 11 Fa ta l to City Man Local Broker Hurtles to Death in Plunge From Eleventh to Fourth Floor of Downtown Building. Plunging from an eleventh-story window of the Fletcher Savings and Trust Company building, Gilbert B. Clippinger, 40, of 3603 North Pennsylvania street, representative here for Dillon, Read & Cos., investment bankers, 1118 Fletcher Savings and Trust building, was killed Instantly at 12:40 o’clock today. No one saw Clippinger fall from the window, but occupants of lower floors saw the body hurtling past their windows. A mail carrier believed the body fell from the fourteenth floor. The body was lifeless when found on the sub-roof on the fourth floor of the building. Police believed that Clippinger fell from the window. • The window sill showed evidence that Clippinger had scraped it in his fall. The Dillon Read & Cos. offices were empty at the time. Charles W. Jewett, former mayor, who occupies room 805 in the building, said that Clippinger probably had been attempting to repair a window in his office which stuck, and had fallen from the window. He fell directly beneath the window and it was pointed out that a leap would have carried him farther from the building. Mr. Clippinger was the son of the Rev. H. M. Clippinger, Methodist Episcopal minister of Greenwood. He was a brother of N. Foster Clipping er, vice-president of the Fletcher Savings and Trust Company. He is survived by the widow, Mrs. Anna Clippinger, and two daughters. Mr. Clippinger was the son-in-law of Judge Ira Ibach of Hammond. TAX IN HOUSE, VAREJNSENATE Decision Seen as Near in Both Problems. Bu Vnited Press WASHINGTON, Dec. s.—Chairman Waterman of the VareWilson recount committee told the senate today that Senator-Elect Va're of Pensylvania was elected to the senate by a majority of more than 120,000 legal votes. Bu Vnited Press WASHINGTON, Dec. 5-Getting down to business, the house took up the $160,000,000 tax reduction resolution today and the senate moved toward a vote upon the three-year-old Vare case. Leaders believe they have a good chance to dispose of both these major problems before night. A somewhat embarrassing, but hardly formidable opposition is hindering the program for adoption of the tax reduction resolution. The farm bloc members have not taken kindly to the admiinstration proposal. Privately they call it “a Wall Street tax reduction,” but thus far no organized attack against it has been lodged. A report was submitted by the privileges and elections committee holding Senator-Elect William S. Vare of Pennsylvania won his election in 1925. It was signed by the Republican members of the committee. The Democrats submitted a minority report, refusing to agree that Vare was elected, but making no strong effort to gain the seat for Vare’s Democratic opponent, William B. Wilson. While such election cases sometimes require weeks for consideration, the Democrats appeared to be willing to vote upon the matter without a lengthy fight. While the Wilson contest seems lost, a majority of the senate appears to be lined up against Vare on the ground he spent $785,000 in his primary campaign. 0. K, ONJEBT PACT Senators Approve Accord With France. Bu United Press WASHINGTON, Dec. 5. The Mellon-Berenger French debt agreement was approved by the senate finance committee today when it voted unanimously to report the debt settlement bill to the senate. Chairman Smoot said the measure would be taken up in the senate after it has passed the house.

Terse Radio Message Tells of Thrilling Rescue of All Hands

Bu United Press YORK, Dec. s.—Smother ■*-N thrilling rescue at sea was revealed today when it was learned from a radio message that the United States liner Republic had saved the captain and crew of the schooner Gander Deal as it foundered in the Atlantic.

M’MANUS IS ACQUITTED BY JUDGE’S ORDER Case Ends as State Fails to Establish Hypothesis of Guilt. PUZZLE STILL UNSOLVED Action Again Leaves Rothstein Killing Mystery Minus Legal Answer. Bu Vnited Press NEW YORK, Dec. s.—The case against George McManus, the smiling gambler, who was charged with the murder of Arnold Rothstein, was ended today, upon instructions of the judge for an acquittal verdict. The district attorney hardly put up a struggle. He admitted he had proved almost nothing, when the defense moved for an instructed verdict. The court agreed and in five minutes it was all over, leaving the mystery of who killed Arnold Rothstein still without legal answer. Judge Charles C. Nott Jr. felt that the district attorney had worked under a tremendous handicap, but that he had failed, nevertheless, to establish a hypothesis of guilt. Smiles to All McManus, when court adjourned, shook hands with all his friends, kissed his wife and smiled on every one. Mrs. McManus, flushed and happy, clung to his arm. The whole proceeding was over in record-breaking time. Judge Nott came into court, wearing his wing black robes, nodded to the jury, seated himself on the bench and looked at the prosecution table. “I would much prefer, gentlemen of the jury, to have you weigh the circumstances of this case and take the responsibility from my shoulders. I rather would pass that responsibility on to you,” the judge said. “But, in view of the facts, I can not do other than instruct you gentlemen to return a verdict of not guilty in this case.” McManus was quiet but his face was aglow. Action Is Swift “The jury will rise,” Instructed the court clerk. McManus stood up and faced the jurors. “I now instruct you,” said the court. “Gentlemen of the jury, to return a verdict of not guilty In the case of the people of the state of New York versus George A. McManus, accused of murder.” "Gentlemen,” the clerk asked, “how do you find this defendant, guilty or not guilty?” “Not guilty,” responded the jurymen in chorus. And that was all. More than a year has elapsed since the killing. The puny evidence in the McManus trial has shown how little the state really knows who killed the biggest gambler on Broadway. Three men remain under indictment. They are Herman Biller, bookmaker, and two men named In the indictments as John Doe and Richard Doe. But as the evidence against all of them was supposed to be much the same as that against McMamls and as none of them are under arrest, or their whereabouts known, it is doubtful if any attempt to revive the indictment can be made.

Invalid Excuse

Spent Four Years in Bed Peddling Booze From Under Covers.

Bu Vnited Press Evanston, m., Dec. s.—if you ever have stayed in bed on doctor’s orders when you felt like getting up, you can sympathize with Odis Pereletti, who went to bed four years ago and got up Wednesday. He wasn’t even sick. It was a handy way to be a bootlegger, however, as he kept a jug of moonshine whisky under the covers and poured out pints for people who came to see how he was getting along. “I’m an invalid. Been in bed four years,” said Pereletti. The bulge in the covers disclosed the jug, however, and. the “sick man” got up and went to court. His fine was SIOO.

Hourly Temperatures 6 a. m 30 10 a. m 41 7a. m 31 11 a. m 45 Ba. m 32 12 (noon).. 47 9a. m 38 Ip. m..... 49

The terse message received by the United States* Lines from Captain A. M. Moore, undramatic as it was, hinted at the danger and heroism involved in the rescue. “Captain and ten seamen all well,” the message read. “Bough

INDIANAPOLIS, THURSDAY, DECEMBER 5, 1929

Bgjjßgjp %• * MtaanHlHF 4yWMSBI■% _. rTT l- *W| ...3 HI Want to read reviews of mJB radio programs written as if A, ~~ U su< h events were theater? WKKK [ML jpf? jlSBk jfi There seems to be a demand 9 for such reviews and so The Hflß * 9pi§P fg Indianapolis Times on Friday B W B .9 in Tli? dramatic department ¥ m . w will have one written by Walter BH JHH M ?. ■ m D. Hickman. 9H M |R9HgBSB(MfIfIMSB There a a mighty big show IBlffi M on the air and hundreds of WSSHk ’' wm Jbl entertainers, reviewed as legiti- t iwiKi jPB mate stars and as concert .B Tißßf 'Mm artists in The Times during [ TWS ""Jpi the last ten years, will broad- 3jHf cast. J9Eap^f' Are the readers entitled to air dramatic reviews? The f WW**. Times thinks so. On Friday, |

Radio Review Want to read reviews of radio programs written as if such events were theater? There seems to be a demand for such reviews and so The Indianapolis Times on Friday in the dramatic department will have one written by Walter D. Hickman. There a a mighty big show on the air and hundreds of entertainers, reviewed as legitimate stars and as concert artists in The Times during the last ten years, will broadcast. Are the readers entitled to air dramatic reviews? The Times thinks so. On Friday, Hickman will tell you of the air theater as projected by the New York Civic Theatre.

BEGIN SALE OF LICENSES SOON Feb. 1, 1930, Set as Deadline for Old Plates. Some folks have pet peeves, cats, and phrases, but at least six thousand Hoosiers favor certain numerical combinations, according to William C. Schmidt, assistant auto license commissioner. That number already have mailed checks to the statehouse requesting certain license plates for 1930, he revealed today. Sale of the new plates will begin Dec. 16, and Feb. 1, 1930, has been set as a deadline for 1929 tags. The state license department has bought 800,000 sets of passenger auto plates for next year. Thus far in 1929, a total of 754,847 have been issued. An increase of at least 50,000 is expected in 1930, said Schmidt. The Belmont State bank, Fountain Square State bank, Forty-Sec-ond Street State bank and the statehouse have been designated as distribution points in the city. SEARCH FOR SCHOONER Five Men Aboard Missing TwoMaster Blown Out to Sea. By Vnited Press NEW ORLEANS, Dec. s.— Search for the two-masted schooner Mystery, blown out to sea Friday, was continued today, after a report to the Tropical Radio Company here Wednesday night that & boat had been sighted. Five men are aboard. Coast guard boats from Mobile and Biloxi were dispatched to the point wheer the boat was reported seen.

weather and westerly gale. Proceeding at reduced speed.” The time was given at 5:30 a. m. Since “derelict” was the term used by Captain Moore in describing the Gander Deal, It was suspected strongly that the ship must have been in sore straits when the Republic reached it, especially In view of the seas that

They Enjoy It —So Far

Top Photo—Contestants in the Times-Lyric-Syivania radio listeners’ endurance meet. Center—A group whiling the hours away with a euchre game. Lower (left to right)—Miss Elsie James, 1411 College avenue, No. 13, and Charles O’Brien, 1528 North Alabama, No. 31; Miss Cecelia Brown, 825 Oxford street, No. 6, and William Reed, 3626 Creston drive, No. 55, taking life easy as they listen to a radio broadcast.

SLEEP? NO, NEVER

Radio Contestants Stick to the Job

DEFYING Old Man Static to do his “demdest” ninety of the ninetyone entrants in The Times-Lyric-Syivania radio listeners’ contest battled Morpheus at 2 p. m. today as the eighteenth hour of the eardrum grind passed. The ninety-one contestants went to the post at 7:51 Wednesday night. At 9:30 a. m. today the ranks of dial spinners began fading, when Marion Taylor, No. 68, spumed ether waves for a “new job.” And as Taylor left the rope-inclosed ballroom floor of the Lyric theater, the sleepy ninety gave Taylor a “cheerio” and a “much-obliged” between card deals, dances and talking bees. For as the ninety listen to from one to six radios at a time, beating out the jazzy “Tip-Toeing Through the Tulips,” o rthe latest weather report, they occupy their minds with rhum games, euchre hands or prac-

ticing the prep step. Shortly before noon today a Virginia reel pepped them up for a lunch served by waitresses from Wheeler’s restaurant. Breakfast was the regulation “bacon and,” toast, pineapple and coffee. And how they swigged the java! “Seconds,” on the coffee urn was a continual cry. Few of the contestants took advantage of the morning’s round of the doctor. “The first forty-eight hours are the hardest; but we’re all right, doc,” shouted Arthur Tudball, 23, of 3233 Bellefontaine street. And Tudball should know, for he just completed a thousand-hour dance marathon Saturday at Munde, he says. Tudball is in a tough spot. The other contestants know of his numerous endurance flights on waxed floors and so they’re watching him. “Look, he’s cat-napping,” wrispers one contestant to another. Tudball’s head jerks upward as if to answer, “No, I’m not.” Over near a group of radios, No.

have been running high for several days. It was believed that the Gander Deal was not equipped with wireless and that the rescue was affected just in time to take the men off the tossing schooner. Sea dogs along the water front voiced terse approval when they heard of the rescue. Captain Moore is an American

Entered as Second-Class Matter at Fostoffiee. Indianapolis

48 and No. 51 are squabbling over a bet they’ve made. “I’ll betcha my pants it lasts 150 hours,” challenges No. 48. “It’s a bet,” replies No. 51. Dancing with a partner is No. 13, Miss Elsie James, 1410 College avenue. “Am I unlucky! I should say not,” she avers in “hoo-hooing” her numerical disadvantage. She wisks away to the blare of WFBM’s radio orchestra and barely misses skidding into Roy Wilson, 43, of 1621 West Michigan street, as he hobbles across the floor. Wilson claims to be the world's best radio listener on two wooden legs. He was the ninety-first entrant in the contest. “And have been in, but I got my hand crushed in a cementmixer. Knew I’d have to stay at home and rest and thought I might as well do it near a good radio program. Proceeds above expenses in the contest will be given to charity.

of twenty-five years’ experience on the high seas. Bora in Maine, he received early experience: on ships that plied that Maine coast. In 1924 he held the post of staff captain on the Leviathan and has been with the United States Lines since the company started. He also commanded a ship during the World wa*

AIR MAIL PILOT, MISSING FOR FOUR DAYS, IS FDUND DEAD; SHIP COMPLETELY WRECKED Rabbit Hunter Makes Discovery Near Small Village, 25 Miles From Cleveland; x Few Feet From Highway. BELIEVED TO HAVE ‘GONE BLIND’ Cruised in Storm Seeking Site for Landing Until Fuel Ran Out Is, Theory; Lindy Among Searching Party. Bv Vnited Press CLEVELAND, Dec. s.—The body of Thomas P. Nelson, in his wrecked plane, was found shortly after noon today near Chagrin Falls, twenty-five miles east of Cleveland. The plane had crashed in a wooded ravine three miles from the village at Chagrin Falls. Nelson's body still was strapped in the cockpit. Joseph Vincent of Cleveland, who had been hunting rabbits in the territory, called officials. The wreckage was only twenty-five feet from the main highway.

CHINESE-SOVIET BREAKJS NEAR Demands of Soviet to Get Flat Turndown. By United Press Terms of the preliminary ChineseRussian agreement for settlement of the Chinese Eastern Railway dispute were rejected today by the Manchurian government, threatening another break in negotiations. Manchuria declined to accept the Soviet demand for reinstatement of the Russian manager and assistant manager of the railway in any capacity. Manchuria also refused the Soviet demand that the Chinese president of the road be dismissed. Comment in Moscow, where reports of the Manchurian action had not been received, continued to attack the procedure of American Secretary of State Stimson under the Kellogg treaty, and stressed the general belief that the Soviet would blame Stimson’s action if Manchuria refused to accept the preliminary agreement. The terms of the agreement were considered the most favorable to China that would be granted by Russia under any circumstances. BELIEVE4DEAD IN GASJBLAST Scores Injured in Ex, at Postoffice. Bu United Press PITTSBURGH, Dec. 5.—A gas blast destroyed the Munhill postoffice shortly after noon today, burying at least four persons under a mass of debris and injuring scores of others. Buildings within a halfmile radius were wrecked or badly damaged by the explosion. The four persons trapped in the two-story frame structure were believed to be dead. Ambulances, police and firemen were summoned from nearby towns and injured persons crowded the Homestead hospital. A street car passing in front of the building at the time of the explosion was wrecked partially. Ten passengers were said to have been hurt. Thousands of persons were attracted to the scene and started digging into the ruins in search of bodies. MERCURY ON RISE Normal Reached First Time Since Thanks Day. With United States weather bureau thermometers standing at 38 degrees at 9 a. m. today, increasing rise in temperature was forecast for this afternoon and Friday by J. H. Armington, meteorologist. The mercury returned to seasonal normal today for the first time since Thanksgiving, when a blizzard forced it down to near zero. Temperatures tonight will not sink below 25 degrees, said Armington, and Friday probably will be fair to partly cloudy. DEMOCRATIC CHIEF DIES Maurice Bloch, New York State Official, Taken by Heart Attack. Bu Vnited Press NEW YORK, Dec. s.—Maurice Bloch, minority leader in the New York state assembly and a leading figure in the state Democratic organization died today of a heart attack in Roosevelt hospital. Bloch was recovering from an operation for appendicitis, when complications set in and he suffered * gnyfrtan* <>44

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Hundreds of persons had passed along this road between Chagrin Falls and Warren, 0., since Nelson was lost in the blizzard of last Monday morning. The discovery ended the search in which thirty-two pilots, led by Colonel Charles A. Lindbergh, had been participating. It was reported to the National Air Transport office, in Cleveland, that the plane was a total wreck, but that there had been no fire. Fliers voiced the opinion that this indicated Nelson had “gone blind” in the snow storm and cruised about trying to find a place to land, until his fuel gave out. JOHN D. SR. ARRIVES SOUTH FOR WINTER Starts Getting in Trim for Golf; Chats With Town Folk. ORMOND BEACH, Fla., Dec. 5. John D. Rockefeller Sr., has arrived at his winter home here and today made preparations for a daily round of golf “to get in shape for General Adelbert Ames, who will be down later.” General Ames, an old links cronie of the 90-year-old millionaire oil magnate, each season plays matches with Rockefeller who said “I’m going to get the jump on him this season, it seems.” Rockefeller apparently was enjoying his usual health on arrival. He posed for photographs and greeted townsmen who referred to him as “neighbor John.” There were no dimes in evidence, however. It was said he had run out, en route. TWO MISSING IN DORY Seaplanes, Coast Guard Seek for Two U. S. Ra-dio Operators. 811 United Press ROCKPORT, Mass., Dec. s.—Two seaplanes and a fleet of coast guard craft today hunted the sea In the vicinity of Cape Ann for two government radio operators, who disappeared Wednesday night, after leaving shore in a nineteen-foot power dory. The missing men are Henry Erwin, 20. of Oklahoma, and William G. Gould, 26, formerly of Virginia, both of whom were attached to the naval compass station in Thatcher’s Island, two miles off shore. STARLINGS ARE SIGHTED Bird Fancier Catches View of Flock of Fifty. What he believed to be the first flock of starlings ever to appear in this vicinity was sighted in University Heights today by R. J. Dearborn, 4100 Otterbein avenue, a bird fancier. There were about fifty in the flock, he said. Imported from Europe in 1896, the starlings slowly have migrated westward from New England, where they are a pest to farmers. CONVICTED OF PERJURY Baseball Pool Man Gets Year and Day in Federal Jail. NEW YORK, Dec. s.—James Otto was sentenced to a year and a day in Atlanta pen by Federal Judge Alfred C. Coxe here today as a result of his conviction on a charge of perjury in connection with hie testimony before the grand jury investigating the Albany baseball pool, of which he formerly was head. TRIBUTE TO MEDILL Bast of Founder of Chicago Tribune Ready for Hall of Fame. Bv United Press CHICAGO, Dec. 5.—A bronze bust of the late Joseph Medill, founder of the Chicago Tribune, is ready to be sent to the University of Illinois Editors’ hall of lame. There it will stand beside those of Elijah P. Lovejoy, abolitionist editor, who was assassinated in 1877; Victor Lawson of the Chicago Daily News and Henry W. Clendenin, publisher of the Illinois State RegiatM at Springfield

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