Indianapolis Times, Volume 43, Number 182, Indianapolis, Marion County, 9 December 1931 — Page 1

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THREE KINDS JffLOVE CLEAVER STRAMAN ®y DouauOAv, oooa+4 amo CO.

CHAPTER ONE WHEN, in 1916, Professor Fenwick and his wife Ann died of influenza during the same week in late March, their acquaintances thanked a merciful Providence that the three little girls had those perfectly charming grandparents who were willing and glad to take them right in and give them a good home. The nurse in the house at the time, one sturdy Gladys Clapp, was the only person who felt the least apprehension as to the tranquil future of the Fenwicks’ daughters— Ann, 14 years old; Cecily, 8 years old, and baby, Mary Frances, 1 year old on the third of last February. Poor old Gladys was merely a practical nurse—a mysterious trouble with her left knee had prevented her from completing her hospital training—and still was incumbered with a capacity for interest, unprofessional but sympathetic and almost affectionate, for a few of her patients. It was a nuisance, because even after the double funeral she could not put the Fenwick family entirely out of her memory. For several months she spoke of them, from time to time, and praised pretty, frail Mrs. Fenwick. Said she was just as common as an old shoe, though she was a professor’s wife; said she knew beans when the bag was open; challenged her listeners to show her another mother with common sense enough to send her children away and refuse to kiss them goodby for fear of contagion, though they bawled to be kiss and; mentioned nothing about the morning of that same day when Mrs. Fenwick had hung her head and bitten her fist and cried, right in front of the doctor, and argued, *‘l agree with you, Dr. Elm —but I haven’t any place to send the girls. There is no place for them to go.” a a a IN the end Gladys herself had taken the three children across the city from the trim brown bungalow tightly fenced in its neat yard near the campus of the small Oregon college, to the suburb where the Fenwick mansion—incorrigibly incorrect Victorian Gothic —stood'ln its block of unpruned trees and shrubs and weedy lawn. The children's grandmother had thrown the two front doors wide open as Gladys came, carrying the baby up the steps, with Ann and Cecily lagging behind. “Welcome,” she had called, in her creamy sweet voice. “Welcome, welcome home, my darlings!” And In spite of her flesh, and she was extraordinarily fat, and disregarding the fancy, lacy, perfumed, rosecolored silk thing she was wearing, she had gone right down on her knees to embrace Ann and Cecily, and they had to stoop far over to her while she cooed and shed tears into their white necks—tears that trickled wetly on to their little stomachs and made them squirm unbecomingly. Gladys stood and sniffed the heavy heliotrope perfume, and held the baby, and admired the stainedglass squares in the door, until the baby, one of those stern, big-eyed babies who never cry, began to scream with sudden high fury, as if Gladys had pinched her, or picked her, or had done some embarrassing thing of that sort.

B B B ANN, whom Gladys said was so pretty that she fairly took your breath away, though actually she was not pretty at all, but purely and logically beautiful from the point of brown hair on her wide forehead to the curve of her perfect chin, went to the blushing Gladys and tugged at her arm and said, “I’ll take the baby.” Grand—the grandfather, you know—entered. He had a round white beard, and flowing white hair and, just now, tears stood in his kindly blue eyes, and he knew it. It was he who took the baby, murmuring something that sounded to Gladys’ scripturally unaccustomed ears like, “the yeast of tease.” He was a tall man, and he made a grand picture standing there with that blessed baby—shocked to momentary silence—in his arms. Reluctantly Gladys turned from it to close the two front doors, which had been forgotten, and which were allowing gusts of the rainy March wind to sweep into the hall. She spoke to Rosalie—the grandmother, you know—who was still billowing pink silk and lace about on the floor. “Did the valises and things get here all right?” B B B THERE had been nothing amusing, in oO far as Gladys could see, connected with her question, but Rosalie gurgled some laughter before she said, “They are all unpacked. and the darling, dainty little things are in place in the three little cozy rooms.” <The rooms were enormous; but, since they needed for the time to be small and cozy, in Rosalie’s mind they were small and cozy.) “Three?" questioned Gladys. “The baby isn't going to be put off in a room by herself, is she?’’ Rosalie’s manner grew grave and charmingly judicial. “You think it unw.se?" Grand answered before Gladys had a chance to do so. “Give yourself no uneasiness, my good woman—my very good woman,” he added with a flattering smile. “Everything shall be arranged for the best comfort and good of all. “This shall be done. It may not be done ftoday. It may not be done tomorrow. But soon, very soon, it shall be accomplished. Convey that message, if you will be so kind, ‘All (Turn to Page Fifteen)

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The Indianapolis Times Partly cloudy tonight, followed by fair Thursday; not much change in temperature, lowest tonight about 32.

VOLUME 43—NUMBER 182

CORONER LET FRIEND FLEE, JORY IS TOLD Kin of Crash Victim Says Vehling Refused to Arrest Driver. BARES ROW OVER BODY Charges Official Demanded Immediate Embalming for Young Woman. BY DICK MILLER “He wasn’t arrested, because his father is a friend of mine.” That was the explanation Coroner Fred W. Vehling is charged with offering for his failure to arrest the operator of an automobile involved in an accident Oct. 31, which resulted in the death of a young woman. Miss Edna Hartsock, 818 Parkway avenue, was killed when the j car in which she was riding on Rockville road struck an improperly parked car owned by Samuel Lugar, R. R. 3, Box 915. It never has been determined if Lugar, who left the scene shortly after the accident, or another man was at the wheel of the car. Paul Behler of Beech Grove, brother-in-law of the dead woman, made the charge that Vehling blocked arrest of the driver by deputy sheriffs. Appears Before Jury Today Behler appeared before the county grand jury, probing alleged illegal activities of Vehling, and reiterated the charge. According to Behler, Vehling had instructed the driver of the car to leave the scene of the accident. Behler said Vehling offered the “friendship” explanation when he asked the coroner for information bearing on the case. Behier said when he arrived at the scene of the accident near Tremont station on the Rockville road, Vehling had pronounced the young woman dead, after examining her. Thought Him Doctor Seeing Vehling with a stethoscope, Behler said he believed the coroner to be a doctor and did not know he was an undertaker until Tftteri Behler also charged Vehling demanded immediate embalming of the young woman’s body. Behler said he, himself, threatened to take the body in his automobile to the city morgue. Behler charged Vehling became irate when Behler demanded time to decide the selection of an undertaker. Behler said he refused Vehling’s proposal to take the bodj? to Vehling’s undertaking establishment at 702 Virginia avenue. Vehling also was charged with keeping for several days a diamond ring worn by Miss Hartsook, not heeding pleas of the family to return the girl's property. Charges Secret Autopsy Henry O. Goett, city clerk, testified before the grand jury today. He told them of an alleged “ridiculous, illegal and outlandish” secret autopsy Vehling performed on the body of Mrs. Margaret Makemson, 78, of 338 East Morris street. Mrs. Makemson died after a fall at her home and Goett, a friend of the family, did not learn of the autopsy, performed shortly after her death, until last week. G. H. Hermann, south side undertaker, today related incidents to the grand jury in connection with alleged improper activities of the coroner, relative to two death cases several months ago. RAIN RESPITE IS DUE Unsettled Conditions to Move Elsewhere. Respite from sleet and rain which blanketed Indianapolis Tuesday night and early today was promised in the next twenty-four hours by the weather bureau. With temperatures climbing, unsettled conditions are forecast to move elsewhere, granting Indianapolis fair weather Thursday. Lowest temperature tonight will be near freezing. The sleet which fell Tuesday night in Indianapolis made driving and walking hazardous. Rain, totaling .21 inch, fell early today and aided in clearing the streets of ice, but traffic was impeded in early hours by a heavy fog. Rain fell in the southern part of the state with in the north. Weather bureau officials said Chicago reported five inches of snow today.

Tatters and rats, feet on the ground. Clothint like bats, cold all around— A boy It mar be. or mavbe a tirl— Waitin’ for rou to just take a whirl—at Clothe * A . Child A ND what a kick you’ll get if •L*- you heed the doggerel. Noses at chilly window panes of homes alone with their poverty will greet you as you go to see your Clothe-a-Child boy or girl. You'll find life that’s scant and muggy. You’ll meet children to whom Christmas is a time ot wondering if they’ll be remembered with a pair of new shoes, a stocking cap, and not a time of figuring on the clean, warm clothing they’ll surely get. jjtae woman who called the

Big Chief Jim By United Press ALBUQUERQUE, N. M., Dec. 9.—Mayor Jimmy Walker of New York was en route east today, having stopped off in Albuquerque just an hour—but long enough to acquire an Indian blanket, an Apache devil mask, and anew name. He may be Mayor Walker in New York, but he’s Hosten-Be-Jay-Tso to the Indians of Nev Mexico. In English that means Chief Big Heart. Walker passed through Albuquerque on his return trip to New York from the west coast, where he made a plea for the pardon of Thomas Mooney. The blanket, the devil mask, and the new name were presented him on his arrival here. Des Chentieme Begay, Navajo medicine man, sprinkled the mayor’s faultlessly combed hair with sacred pollen of the corn plant, and made the presentations while 5,000 persons watched.

ROMEO NAMES MYSTERY MAN Tells Own Story of Death of Elderly Nurse. By United Press CLARKSBURG. W. Va., Dec. 9. Shaken somewhat from the composure with which he has watched the state’s efforts to convict him of the murder of Mrs. Dorothy Lemke, Harry Powers, matrimonial agent, today told his own version of the elderly nurse’s death. With completion of the state’s case, defense attorneys questioned Powers at length on his early life and finally drew from him a somewhat involved story of two mysterious men the state claims are mythical. The so-called Bluebeard testified he met Mrs. Lemke “right here in Clarksburg,” and was introduced to her by “Charles S. Rogers of Pittsburgh.” The second mystery man named by Powers was “Cecil Johnson,” whom. Powers testified, Mrs. Lemke met and disappeared with in Uniontown, Pa. Although Powers is indicted for the murders of Mrs. Asta Eicher and her three children, as well as that of Mrs. Lemke, the jury was instructed to consider only evidence relating to the latter slaying.

GETS 20-YEAR TERM Gangster Starts to Prison for Long Stretch. When detectives opened two suit cases in criminal court and displayed guns, shells and explosives, they clinched the automobile banditry case against Raleigh Munsey, 31-year-old member of the alleged Forest Strother mob. Munsey today started service of a twenty-year prison term assessed by Earl Cox, special criminal judge, late Tuesday, on Munsey’s conviction for the $34 safe robbery at the Muesing-Merrick Coal Company, on Aug. 19. The suit cases and their contents were confiscated by police in a raid on Munsey’s hideout at 1403 Broadway. The implements of crime, displayed to the court, also included dynamite caps, electric explosive fuses, 475 feet of time fuse, sledges, pry bars and other burglary tools. Four other members of the gang, including Strother, still are to be tried. Strother was the surprise witness in the trial when he testified about the coal company robbery. GIRL KILLER GETS LIFE Maude Lowther Saved From Death Penalty Given Her Lover. By United Press WOOSTER, 0., Dec. 9.—Mrs. Maude Lowther, quarter-blooded Indian house maid of Ashtabula, was sentenced to life imprisonment today for the murder of her lover’s wife, Mrs. Clara Smith, whom they feared would discover their illicit romance. The santence saved the comely 24-year-old hill girl from the death penalty. Her lover, Tilby Smith, was put to death three weeks ago in the Ohio penitentiary. The girl herself, first had been sentenced to death. City Man Guilty in Mann Act Case By United Press DETROIT, Dec. 9.—Convicted of violating the Mann act, Vernon Wells of Indianapolis, today was under a sentence of one year and a day in Leavenworth penitentiary. He was convicted on charges of transporting Jaqueline Snyder, 20, to Detroit from her home in Columbus, O.

YOU’LL GET REAL JOY IF YOU JOIN THE CLOTHE-A-CHILD CAMPAIGN

Call Riley 5551 — 0 r write —and ask for the Clothe-A-Child editor of The Indianapolis Times. He will give you the name of a needy school child between the ages of 6 and 12 years. Each child has been checked for need by the Christmas Clearing House and the social service department

Clothe-a-Child editor of The Times for a boy’s name got that ’•kick,” and here’s how, as she telephoned breathlessly to The Times; “I-I-I’-ve clothed my boy. I’ve got him with me now. He—he—he—if—l’m all out of breath —it’s because I’m so excited—he's got his new things on. He's nice, too. He’s —he’s all boy. This is nice, too. He—fe--he’s glad, and I,

INDIANAPOLIS, WEDNESDAY, DECEMBER 9,1931

MIESSE BARES j UTILITIES’ AIDj TO TAXOROUP Witness Reveals Source of Association Funds Under Severe Cross-Quiz. OWN INCOME IS LARGE Testifies Memory Failed Him in Filing Return With Assessor. Majority of the public utilities operating in Indiana, including the Indianapolis Power and Light Company, are large contributors to the Indiana Taxpayers’ Association, Harry Miesse, its secretary, admitted under cross-examination, in the hearing on the city lax levy appeal before Judge John Kern today. Under cross-examination, Miesse also testified that he is an agent here for the New York Central railroad; and that the son of James Showalter, chairman of the state tax board, is an employe of the taxpayers’ association, at $125 a month. Injection of personalities and partisan politics into the hearing by Miesse brought a rebuke from Judge Kern. Miesse took the witness stand when his attorney, Louis Eubank, former supreme court judge, sought the court’s permisison for a group of ten taxpayers to intervene, and also have Kern’s decision, that the state tax board’s action in reducing the city’s levy is unconstitutional, appealed to the supreme court. Attorneys Admit Error Edward Knight, corporation counsel, and James E. Decry, city attorney, told the court that they had learned that they were in error regarding their charges Saturday that Miesse had committed perjury by signing the petition and declaring in it that he was one of the original objectors. His name was contained on a petition filed in September, they said, but Harry Dunn, county auditor, had not given them a certified copy of that document when they asked for the filed remonstrances. Miesse testified that he has represented the New York Central railroad for eight or nine years, when the matter of its tax valuation has come before the state tax board, and that he has assisted the general tax and land agent of the railroad in tax matters. Denying that he is paid a percentage on all valuation reductions which he obtains for the railroad, or that he has been paid bonuses, Miesse said that his salary is $340 a month. Salary Goes Higher ’He admitted that the Indiana Taxpayers’ Association has been organized for a like number of years, and that at first his salary from the association ranged from $1,200 to $1,400 a year, but this year it will be $5,000. Declaring that he did not know the exact amount the New York Central railroad contributed to the Indiana Taxpayers’ Association, Miesse writhed visibly under the attempts of the city’s attorneys to learn how much was contributed by the utilities, including the Indianapolis Power and Light Company. He was asked to bring his records into court at the next hearing. Questioning revealed that, instead of filing his tax return with the assessor by May 1, as required by law, Miesese had presented his statement in September, after the appeal from the city levy was filed. “I was away during the summer and forgot that the document had not been filed,” he explained. Says He Paid SSOO Tax He declared that he paid approximately SSOO in taxes, of which part was on a house owned jointly by himself and Mrs. Miesse, and the remainder on diamonds valued at S3OO and personal property, including an automobile and furniture, valued at $1,400. Continued examination brought out that he did not list any cash in the bank or stocks or bonds, and it later was revealed that he owned six shares of stock in the New York Central railroad, but had not listed them because they were nontaxable. ON WATCH FOFbANDITS Deputies, Police Guard Highways for Cincinnati Bank Robbers. State roads leading into Indianapolis were being guarded by deputy sheriffs and police in an effort to apprehend four gunmen who robbed the Peoples Savings and Trust Company, Cincinnati, of $7,000 as it opened today.

well—l-I-I’m glad, too. Merry Christmas to you!” ana TUST the same to you. Miss! " And we know you will have that Christmas and a much merrier one because of the boy you made a wee bit wanner for the coming school months. Relief agencies of the Community Fund supply the names of needy children to Tfre Times.

Tax Increase of Billion a Year Is Advocated in Hoover Budget Message

‘LITTLE MAN’ TO SHARE IN LEVYBURDEN Hoover-Mellon Plan Dips Into Pockets of Both Big and Small. BY MARSHALL M’NEIL Times Staff Corresnondent WASHINGTON, Dec. 9.—The rich ad poor alike will share the burden of new taxation under the recommendations made to congress today by President Herbert Hoover and Treasury Secretary Andrew Mellon. To balance the federal budget, they suggested that * the internal revenue act of 1924 be reinstated, with certain specified changes. This would increase taxes in practically every category, lower exemptions, levy certain sales taxes on luxuries and necessities, ranging from autos, trucks and radios to radio messages and theater tickets. The President and his secretary estimated the new taxes would yield $390,000,000 in the remainder of this fiscal year ending June 30, and 1 $920,000,000 in the succeeding twelve months. Both urged that the new and higher levies be imposed for a two-year period only. Makes Total of 3,600,000 Under the Hoover-Mellon plan, 1,700,000 persons would be brought back into the taxpaying group, making a total of about 3,600,000. If the ,1924 act is re-enacted, the married man who has one child would have an exemption of $2,500 because he is a husband and S4OO because he is a father. This $2,900 compares with a total exemption now for a man in a similar status of $3,900. A husband, and a father of a dependant child, who has gross income of $5,000, and no other exemptions or deductions, would pay taxes on a net income of $2,100 under the 1924 act, as against $l,lOO under the present law. On this $2,100, under the HooverMellon plan, this man would be subject to a direct federal levy of 2 per cent, which would amount to $42, while under the present law he would be subject to l!a per cent on $l,lOO, or $16.50. Both of these taxes would be subject also to an earned income tax credit of 25 per cent, so that under the HooverMellon plan, the net tax would be $31.50, while under the present law the net tax is $12.38. 2 Cents for Each Check In addition, this man would pay certain taxes on things he purchased, under the new tax plan. This average man of $5,000 gross income would have to pay $630 for a S6OO auto; each check he drew on his account at the bank would cost him 2 cents additional; a message to a relative or friend sent by telegraph would cost him from 5 to 10 cents, depending on how many words he used, and new tubes for his radio, or anew spring for his phonograph motor, would cost him the sale price, plus 5 per cent. Mellon estimated that these miscellaneous taxes would produce $205,000,000 additional revenue in the six months from next January to next June, and $514,000,000 in the succeeding twelve months. Normal income tax rates would be fixed at 2, 4 and 6 per cent, Mellon explained, comparing with VA, 3 and 5 per cem now. Increase for High Brackets Surtax rates would be fixed at 1 per cent, beginning with incomes over SIO,OOO, graduated up to 37 per cent on incomes between SIOO,OOO and $200,000, and reaching 40 per cent on incomes, in excess of $500,000, as compared with the present maximum rate of 20 per cent on incomes in excess of SIOO,OOO. The Hoover-Mellon plan also would increase corporation income tax rates from 12 to l2Vz per cent and eliminate the present $3,000 exemption provided for domestic corporations with incomes of $25,000 or less. This, Mellon said, probably would result in an increase of about $27,000,000 in corporation- income tax receipts during the last half of this fiscal year, and about $60,000,000 in the next fiscal year.

of the Indianapolis public schools. Community Fund relief agencies are providing the names of worthy children to be clothed. The Times gives you the name of a child. You clothe the youngster — that’s your Christmas, that’s the child’s Christmas, and that’s our Christmas.

You receive these names when you call. Each child has been checked for worthiness by those agencies and the social service department of the public schools to prevent duplication of aid and to insure that your own Clothe-a-Child boy or girl will be truly yours, and yours alone, for Christmas. You take the child and outfit him or her as you feel a child

Here's Tax Hike Effect

INCOME' 1951 1032 ON h ==^=^ tV ooo ; ooo ISO. Pei? S>QO I'll, 20 x ' v* c St i =*£*==== U as'o.oo o ?7J. Cffi f %. £58.00 |, ,goo \MEEK I I f \ ? ' 255, ?^ao ° 5100,000 ?a4ooo 5425 42,000 maooo f j2soo too,ooo pfrttgHlM

Here’s what the tax increase advocated in President Hoover’s budget will mean if it is adopted by congress. In the income tax chart shown above, figures given are for single men with no special exemptions. Lowering of the exemption from $1,500 to SI,OOO will hit the small salaried man, while the large increase in the surtax will hit the very rich. The tax for the very richiiis i figured on net income after all deductions. Theater tax would be' 10 per cent on all admissions of 50 cents or more, whereas the present tax begins with admissions of $3. This is expected to boost this revenue from $4,000,000 to $80,000,000. Automobile tax will be on a percentage basis, with $lO probably the lowest tax on any car.

MESSAGE AROUSES CONGRESS STORM

Greater Burden Should Be Placed on Rich, Say Hoover Opponents. By United Press WASHINGTON, Dec. 9.—The most drastic tax program in the peace-time history of the United States was presented to congress today by President Hoover and Secretary of Treasury Mellon. The administration proposals for a greater tax burden on all classes of society evoked immediate protests from Democratic leaders of the house, who said they would formulate another plan increasing the taxes upon the wealthy. Senator Couzens (Rep., Mich.) wealthiest man in congress, criticised the administration plan, because he felt it did not levy a sufficient burden upon the rich. Neither senate nor house was organized for legislation. Committees must be completed before the session can begin to function. The house, with nothing to do, probably will adjourn Thursday until next Monday. Senator Johnson (Rep., Cal.) opened an attack on the Hoover war debt moratorium, introducing a resolution to authorize an investigation of international banking in the United States. Representative Sabath (Dem., 111.) introduced a bill for creation of a national relief finance corporation similar in its functions to the war finance corporation, capitalized at $1,000,000,000. The first sign of a break in the deadlock over election of a president pro tem. of the senate came on the fourth ballot today. Senator Brookhart, independent Republican, lowa, deserted the banner of Senator

# should be outfitted. You see to it that they’re warm and comfortable for the ensuing winter months. a a a AND because of your help you enable relief agencies of the Community Fund to spread their yearly allotment of money over a wider territory during the days when and its spirit are asleep.

Entered as Second-Class Matter at Postoffice. Indianapolis. Ind.

Man of Small Salary Feels - New Tax Load

lty United Press WASHINGTON, Dec. 9.—The married man with one child and an income of $5,000 a year would pay a little less than three times as much federal taxes as he does now, under the proposed new tax schedule of the administration. Taking the case or a hypothetical man as described above his tax under the old and new plans, his annual tax would work out about like this: Item. Tays. Plan. Now New Income of $5,00 a year.. $16.50 $12.00 Draws 20 checks a month, or 210 a year Nothing 1.80 Calls Ion; distance or telegraphs once a week Nothing 2.60 Takes family to theater, circus, baseball or football game once a month, overage cost $3 Nothing 3.60 Buys radio and some phonograph records for SIOO Nothing 5.00 Buys S6OO automobile.. Nothing 30.00 Smokes one package of popular-priced cirgarets daily 21.90 25.55 Writes an average of one letter a day 7.30 10.95 $45.70 $124.50 Moses (Rep., N. H.), for whom he had been voting. Brookhart cast his vote for Senator Jones (Rep., Wash.). Fourth ballot totals were: Moses, 32; Pittman, 43; Norris, 6; Jones, 5; Capper, 1; La Follette, 1.

It’s your Christmas, given to yourself, to the child, and because it’s your Christmas it’s ours, too. Just call Riley 5551, or write the Clothe-A-Child editor of The Indianapolis Times. Pledges to the movement are nearing the 100 mark. New donors, bringing the total to seventy-eight children pledged to be clothed, follow: St. Philip'! A. C. bowline leagues No I and So. 2. Rough Notes Bowling league. Chamber of Commerce Mister. Credit Women’s Social Club of H. P. Wasson Sc Cos. (two bors and girl). Ladies’ Auxiliary to Indiana Firemen's Association, (two boys). Ashworth Gee and Virginia Martindale. Cnirersal Club (another nair of (wins and a boy). Girls of the Insurance department. Railroad Men's Building and Loan Company. Donors’ list on Page

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NATION MOST CARRY HEAVY LOADJVE SAYS Asks Re-Enactment of 1924 Law to Raise Huge Revenue. Text of Hoover message and Mellon report on Page 12. BY RAYMOND CLAPPER. United Press Staff Correspondent WASHINGTON, Dec. 9. —A proposal to raise almost $1,000,000,000 a year in additional taxes by reenacting approximately the 1924 internal revenue act for a two-year period was laid before congress by President Hoover in his budget message today. Mr. Hoover said this action is necessary to maintain public confidence and the financial Integrity of the federal government. He would provide that the tax increase definitely terminate July 1, 1934. Without specifying details, Mr. Hoover said the 1924 law should be rc-enacted with such changes as might be appropriate in the light of altered conditions. A return to the 1924 law would tend to increase federal taxes from top to bottom, with the heaviest jumps on wealthy groups, but reaching down to include thousands of small income earners not now taxed. Would Revive Sales Taxes It would revive numerous stamp and sales taxes such as the 1924 law levied on automobiles, jewelry, certain amusement places, stock | transactions and legal papers. It would raise the minimum in- ! come tax rate from 1% per cent to 2 per cent. Exemptions would be | lowered from $1,500 to SI,OOO on single persons and from $3,500 to $2,500 on married persons. The maximum surtax rate would be increased from 20 per cent on incomes of more than SIOO,OOO to a rate of 40 per cent on incomes more than $500,000. “We can not maintain public confidence nor stability of the federal government without undertaking some temporary tax increases,” Mr. Hoover said. ‘Has Great Advantage* “The plan of approximately reenacting the revenue act of 1924 has the great advantage that the government is equipped by experience with similar legislation for its systematic and economical collection. “The public has paid such taxes in the past and has found them not intolerable and has found that they do not prevent increased prosperity. By providing a definite date for termination of the temporary increase it will allow taxpayers to look forward to definite relief.” The President believes the tax increase should be arranged to raise about $920,000,000 a year. This would not permit balancing of the budget for the current fiscal year, which is almost half over, but it would do so for the next year, except that it would not cover the $500,000,000 for retirement of the public debt. Cites Necessity of Step The necessity for this course was impressed on Mr. Hoover by the rapid rate at which the government is running into debt, due to sharp falling off in income taxes. His budget message forecast an estimated total deficit of $4,442,000,000 for the three-year period ending June 30, 1933. After deducting payments toward debt redemption this still would leave a net increase in the national debt of $3,247,000,000. The deficit for the year ended last June was $902,000,000; for the current fiscal year it is estimated at $2,123,000,000 and for next year $1,417,000,000. Meantime, Mr. Hoover has squeezed down still further his budget requests for appropriations for the year beginning in July—cutting them $365,000,000 below the amount being spent this year. He described this as a "drastic curtailment.” He emphasized that national defense would not be jeopardized. The budget calls for a grand net total of $3,942,754,614.22. Led by Garner in 1924 The 1924 tax law was the first big tax reduction measure under the Coolidge regime. It was revised in congress by a coalition of Democrats and Republican insurgents under the leadership of Representative John N. Garner, who as the new Speaker, will have a guiding hand in shaping the current revision. Mr. Hoover also asked congress to consider the effect o f the capital gains and losses tax, which has been criticised as encouraging speculation and impeding economic recovery. He appealed for his program as a necessary factor in rebuilding prosperity, and he urged all citizens as a patriotic duty to refrain from urging measures on congress which would add to government expenses. Hourly Temperatures 6 6a. m 35 10 a. m 40 7a. m 37 11 a. m 40 Ba. m 39 12 (noon).. 9a. m 40 Ip. m..... A

Outside Marion County 3 Cents