Indianapolis Times, Volume 43, Number 215, Indianapolis, Marion County, 16 January 1932 — Page 3

JAN. 16, 1932_

HOPE FADING FAST FOR COLLECTION OF WAR DEBTS

CAPITOL HILL IN QUANDARY OVER EUROPE STAND Reduction, Cancellation or Repudiation Is Prospect Confronting U. S. 12 BILLIONS INVOLVED Washington May Wait and Let Debtors Take Onus of Defaulting. BY WILLIAM PHILIP SIMMS Scrtopn-Howard Forelin Editor WASHINGTON, Jan. 16—Capitol hill today was trying to make up its mind whether to follow President Hoover’s advice and try to save a few cents on the dollar out of the $12,000,000,000 war debts due this country, or wait and let Europe take the bonus of repudiation. Less than thirty days ago, congress distinctly was hostile to Hoover's proposed revival of the world war foreign debt commission to re-examine Europe’s dwindling capacity to pay. It smacked too much of further debt reduction. But so swlitly has the European financial toboggan descended in that time that it is beginning to be realized by the most optimistic debt-collector that, barring a miracle, America’s choice lies between voluntary reduction or cancellation and point-blank repudiation. Wilson Urged Loans A growing number of officials here, therefore, are inclined to agree with the outspoken conservative London Saturday Review which bluntly declared that “as the Americans never will get the money anyhow, it surely would be wiser to take the only line that can increase the purchasing power of their customers." Individual members of congress are beginning a fresh study of the war debts. How, when and why were they contracted? Where, and for what was the money spent? On what grounds do the British, French and others base their claims for reduction or cancellation? The first Liberty loan authorizing a $3,000,000,000 credit to the allies was passed by congress just eigh- . teen days after we entered the conflict, in April, 1927. 9 1 /2 Billions Loaned "The extension to these governments of the most liberal credits," President Wilson said, “becomes a duty in order that our resources may so far as possible be added to theirs.” Three other Liberty loans totaling $10,000,000,000 followed, and this, plus interest charges, sales abroad of war stores and so on, eventually grew to $11,867,943,000. Os this, $4,600,000,000 went to Britain; $4,025,000,000 to France; $2,042,000,000 to Italy; $420,000,000 to Belgium; $300,000,000 to Russian isince repudiated); $180,000,000 to Poland; $115,000,000 to Czechoslovakia, and the rest, in amounts ranging from $65,000,000 downward, to Jugoslavia, Rumania, Austria, Greece, Esthonia, Finland, Lithuania and Latvia. Os the total, $7,000,000,000 was loaned to the allies prior to the armistice and $2,521,000,000 after that date. The balance is accounted for by interest, relief loans, war supplies sales, and so on. Little Money Exchanged Practically none of the allies received actual money. It was almost exclusively a matter of credits. The allies bought goods or services from Americans and gave chits in payment. Americans cashed the chits at the federal n serve bank, and the bank was reimbursed by the U. S. treasury out of funds realized from the •aie of the Liberty bonds. For munitions and remounts, the • Hies paid $2,700,000,008; for exchange and cotton purchases, $2,644,000,000; food stuffs, $3,000,000,1)00; relief for the occupied regions, mostly in France and Belgium, *538,000.000; redemption of maturing securities, mostly British, $650,000,000; tobacco and other supplies, $760,000,000; transportation and •hipping, $300,000,000; interest, $730,000,000, and miscellaneous. Cancellation Talked Early Hardly had peace been signed than Britain and Fiance began to aggitate for cancellation. They urged that inasmuch as America did not send over appreciable fighting forces for more than a year, her dollars merely took the place of •men in th trenches. The war had become her war as much as theirs. America replied that her men were on the job when the crucial moment came and that the advances were bona flde loans. She also pointed out that, as the above expenditures showed, much of the money went for other than war purposes. Furthermore, she contended, all debt settlements had been on a basis of capacity to pay, and that she had knocked off 28 per cent for Britain; 58 per cent for France; 54 per cent for Belgium; 79 per cent for Italy, etc. etc. In other words, she concluded, she virtually had cancelled the actual war debts already and was asking only that the commercial parts of the obligations be paid. COMMODITY SALES OF A. & P. SHOW INCREASE Dollar Volume Drops Due to Lower Price Ranges. Sales of the Great Atlantic and Pacific Tea Company for the fiveweek period, ending Jan. 2. were $91,310,661. This compares with $100,101,068 for the same period in 1930, and is a decrease of $8,790,407, or 8.78 per cent. December sales, expressed in tons, were 516,171 this year, compared tfi 514,356 in December, 1930. This w a gain in quantity of merchandise sold of 1,816 tons, or 35 per cent. Average weekly sales in December were $18,262,132, compared with $20,020,213 in 1930, a decrease of s.l- - Average weekly tonnage sales were 103.234, compared with 103,871 in December, 1930.

THE MISSUS ALSO ACTS AS COACH

Teaches Child to Walk, While Mate Tutors Runners

Herman Phillips, Butler’s track coach. UG - BU- MA -MA-80-00-DA-DAD." Which, in the “babyese” of Lou Ann Phillips, 9-month-old daughter of the Coach and Mrs. Coach, means that her “daddy” may be the owl’s eyes as a coach for university runnners, but that when it comes to coaching her to walk there’s no one like her mother, Mrs. Louise Phillips. And Mrs. “Coach” has several handicaps thrown in the way of her coaching that her husband is not bothered with when he trains Butler collegians to run. For instance, take a tooth! Lou Ann has two full-grown ones and more conning, and it’s that “coming’’ that bothers the maternal coaching. “But I’m not rushing her along in her walking,” explains Mrs. Phillips. And that advice goes double for her husband in coaching runners.

U, S. DESTROYER TOWED TO PORT Brought Safely In After Collison at Sea. By United Press NEW LONDON, Conn., Jan. I. Her bow water-logged and trailing, the coast guard destroyed Weldon C. Herndon came into port today on the end of a tow line after a thrilling adventure at sea. The Herndon, one of the trim ships in th coast guard navy, displayed twisted and buckled plates. The freighted Lemuel Burrows of Boston had rammed it, endangering her crew of ninety-nine officers and enlisted men in “pea soup" fog off Block island Friday. The 300-foot destroyer was down slightly by the bow, indicating it shipped water into its fire room. It was towed stern-foremost by the coast guard destroyed Acushnet. The Burrows, understood to have suffered slight damage to its prow, did not come into the harbor and was understood to have proceeded to New York, where it will enter drydock. PROPOSED STAMP TAX FOUGHT BY REALTORS Source of Fraud, Board Writes Congressional Committee. Vigorous denunciation of the proposed stamp tax on real estate transfers, now pending before congress, is made by the Indianapolis Real Estate Board in letters being sent to Washington committee members today. Describing a similar tax abolished in 1924 as a “prolific source of fraud,” A. J. Hueber, real estate legislative committe chairman, said: “Our experience shows that the 1924 tax permitted unscruplous persons to establish a fictitious valuation on real estate transfers. “We are opposed unalterably to the federal government taxing real estate. Real property is the main dependence of local governments, and we believe that the federal government should not encroach in this field.” Coal Output Declines. Indiana coal production for the last week of 1931 was 232,000 tons less than the amount mined in the corresponding period of the past three years. In 1923, the December weekly average was 514,000 tons.

Help in School Work Among bulletins offered to the public by our Washington Bureau in the past are a number of titles of particular interest and value in school work. Our Bureau has made a selection of eight of the most useful and valuable of these to students and teachers, and offers them in a single packet. The titles are: 1. Citizenship and Naturalization. 2. The Presidents of the United States. 3 The Presidents’ Wives and Families. 4. Manual for Debaters. 5. Common Errors in English. 6. Choosing a Career. 7. The British Parliamentary System. 8. Countries of Europe Since the World War. You can get this packet by filling out the coupon below and mailing as directed: CLIP COUPON HERE Dept. 7, Washington Bureau, The Indianapolis Times, 1322 New York Avenue, Washington, D. C. 1 want the SCHOOL PACKET of eight bulletins, and Inclose herewith 25 cents in coin, or loose, uncanceled United States postage stamps to cover return postage and handling costs: NAME STREET AND NUMBER CITY STATE I am a reader of The Indianapolis Times (Code No.)

Upper Center—Coach Phillips training a university sprinter. Lower— Mrs. “Coach” training Lou Ann to walk.

Speedy Electric Clock Had 72-Minute Hours

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TIME and, tide may not wait for any man, but in Indianapolis today there are 1,000 timepieces that are not reliable recorders of whether time does or does not tarry for us. A newspaperman, whose name is not printed although he is credited with a discovery that baffled the greatest of the local police force, had an electric clock given him for Christmas. Believing advertising about the accuracy of the electric device, nightly he set his wrist watch by the clock. And each moring his watch was slower than the clock.

PRIVATE DETECTIVE FACES NEW COUNTS

Additional charges of operating a detective agency without a license and impersonating an officer Friday were placed against Thomas J. Reilly, 35, of 3128 Central avenue, former detective, arrested Thursday on a charge gs obtaining money under false pretense in a robbery investigation. • Reilly was arrested again today as he left the court of Municipal Judge William H. Sheaffer following a hearing on charges filed against him Thursday by John Hook, head of the Hook Drug Company. Hook charged that Reilly, posing as a private detective, obtained nearly SI,OOO to conduct a search for John Velonis and John Patrick, who held up and beat J. H. Free, Hook Drug Company collector,

THE INDIANAPOLIS TIMES

Daily he opened his watch, end, peering into its innermost mechanism, advanced the minute hand control a few notches. And daily his watch continued to be slower than the clock. After weeks of study, he made a discovery and rushed to the phone. “Hey, what kind of electric clocks are you selling, anyway?” he asked the electric clock company saleswoman. “The one you sold me has seventy-two minute spaces on it instead of sixty.” “Heavens, we’ve sold 1,000 of those, too,” she answered.

stealing $3,000 from him, more than a year ago. Sheaffer continued the trial on charges of false pretense, carrying concealed weapons and vagrancy until Jan. 26. Both arrests of Reilly were made by Detectives Morris Corbin and Cortland Coleman. It was said that Reilly’s detective license was canceled in 1928 by the secretary of state. Reilly recently figured in the investigation and solution of two murder cases. William George, 2907 Washington boulevard, Reilly’s associate, also was arrested today. He was charged with vagrancy and was held under high bond. Detectives said George assisted Reilly in the Hook company investigation. LICENSES ARE ON SALE Hunting, Fishing Permits Ready at Conservation Bureau. Hooseir hunters and fishermen may buy their 1932 licenses today at the fish and game division headquarters of the state conservation department, according to announcement by Walter Shirts, division head. Resident licenses to fish, hunt and trap are sl. Non-resident fishing licenses are $2.25, and non-resident hunting license $15.50. Persons under 18 may fish without a license. All persons may fish in the county of which they are a resident without a license. MILLS TO SPEAK HERE Treasury Undersecretary To Be on Rotary Program. Ogden I. Mills, undersecretary of the treasury, will be one of the principal speakers at the twentieth district conference of Rotary International at the Claypool Feb. 22 and 23. After returning from nineteen months’ service overseas, Mills was elected to congress from New York, and served until 1927, when he was appointed to the treasury post. Included among the speakers are Governor William H. (Alfalfa Bill) Murray, of Oklahoma, who notified Dr. John H. Beeson, of Crawfordsville, district governor of the Rotary, several weeks ago that he would appear on the program.

Mrs. Phillips, Lou Ann’s coach. HE’S a good guy!” “Say, do you know he was in the Olympic games at Amsterdam, Holland, in 1928. He holds the university’s record for the 440 and 880.” And while “studes” at Butler university are uncorking these comments about Hermon Phillips, the university’s track coach, they might find the modest speedster teaching a group of “frosh” the whyfore of handball, or a track “find" how to pass the baton in a relay. And mayhap if one was a mind-reader, he'd find Phillips wondering how the other coach in the family was getting along with her training of her “track team.” Look to the right and you’ll read how Mrs. “Coach," Phillips’ wife, gets a bouquet or two from her novice.

KILLED AS HE HUNTCFOR JOB Struck by a truck as he was hitch-hiking to Dayton, 0., to seek work, Lester D. Hanscom, 35, of 1333 North Pennsylvania street, was killed instantly Friday afternoon at Cumberland. The truck careened from the National road, struck an automobile and Hanscom, and stopped 4 150 feet away. William Orebaugh, R. R. 8, Box 141, driver of the truck, who told deputy sheriffs the steering gear of the vehicle snapped, and was slated on a charge of involuntary manslaughter. The car which was struck was driven by E. E. Pursley, 106 West North street, an acquaintance of Hanscom’s, who was slowing down to offer Hanscom a ride. The rear of Pursley’s car was wrecked, but he was not hurt, Hanscom’s head was crushed beneath ’a rear wheel of the truck, which hit liim while he stood by the traction tracks. Hanscom’s body was sent to the city morgue. He had been without employment several weeks, it was said. His death was the fourth traffic fatality in Marion county this year.

The City in Brief

Three directors of the James Whitcomb Riley Memorial Association have been re-elected. They are Evans Woollen, president of the Fletcher Trust Company; Peter C. Reilly, president of the Republic Creosoting Company, and Arthur R. Baxter of the Keyless Lock Company. “Free Gold or Free Silver?” will be the topic of a debate by the Scientech Club of Indianapolis at a noon meeting Monday in the Architects and Builders building, Pennsylvania and Vermont streets. C. J. Holloway, superintendent of agencies of the Western and Southern Life Insurance Company, was guest of F. E. Brawley, manager of the Indianapolis agency, during a series of business conferences recently. Os 51,126 living alumni of Cornell university, 104 are residents of Indianapolis and 427 of the state, it was disclosed in statistics in the new alumni directory released today. AIMEE AND HUSBAND WILL VISIT HAVANA “Wealthy Benefactor” Financing Pair’s Belated Honeymoon. By United Press LOS ANGELES, Jan. 16— Mr. and Mrs. David Hutton, the latter more widely known as Aimee Semple McPherson, evangelist, plan a belated honeymoon trip to Havana, starting Jan. 30 with a radio description of their sailing, the couple announced today. “We’ll run a wire down to the boat at San Pedro, have a ‘mike’ down there, and tell everybody about it before we leave,” Hutton said. Hutton applied for passports, in event they wish to continue to South America, and in any event for use in China some time this year. Donation of a wealthy benefactor made the trip possible, Hutton asserted.

Fletcher Ave. Savings & Loan Assn. IQ E. Market St. "“.^£-1;

HIGHER INCOME - TAX URGED BY FARMJ.EADER Federation President Also Asks Congress to Lower Exemptions. By United Press WASHINGTON, Jan. I(5.—A tax program designed to bring in about $1,500,000,000 of additional federal revenue was advocated Friday on behalf of farmers by Chester H. Gray of the American Farm Bureau Federation. Gray’s proposals, made before the house ways and means committee, included higher income taxes than those proposed in the administration’s $920,000,000 tax increase plan and a special levy on income from American investments abroad. Gray estimated these investments totaled $16,000,000,000. Gray would increase the tax on corporate incomes to 15 per cent. The administration proposed a 12% per cent tax. The rate now is 12 per cent. Farmer Little Affected The farm leader also proposed a 10 per cent tax on estates and gifts, which he estimated would yield $1,000,000,000 yearly. He said 80 per cent of the tax should be given the states, leaving the federal government $200,000,000. “Under present conditions Os agriculture, increases or decreases in federal income taxes will have little direct effect on individual farmers,” Gray saiu. “The average of all individuals reporting in 1930 to the treasury showed an income of $5,100. “The average for agriculture for the same year was $598, according to the agriculture department. It would be better for the nation if agriculture could earn enough to come within the income tax bracket.” Asks Lower Exemptions Gray agreed with the administration in advocating increased individual taxes, especially in the higher brackets, and a lowering of present exemptions to SI,OOO for a single person and $2,500 for a married person. In defense of lowered exemptions, which would increase the number of taxpayers, Gray said “This group of our population should be reached if for no other reason than to develop in it a tax consciousness.” The farm bureau representative opposed special sales taxes suggested by Mellon, especially the proposed automobile manufacturers’ tax. He said sales taxes “lie on the shoulders of the average consumer.” In the Air Weather conditions at 9 a. m.: Northeast wind, 16 miles an hour; temperature, 36; barometric pressure, 30.40 at sea level; ceiling, overcast, light rain and fog, light local smoke, estimated 1,500 feet; visibility, three-fourths of a mile; field, soft. Light New Airway By United Press ' WASHINGTON, Jan. 16.—A lighted airway will be established soon from Albany, N. Y., to Boston, via Springfield, Mass., the department of commerce announced today; Establishment of the line has been authorized by the interdepartmental committee on civil airways, said Colonel Clarence M. Young, assistant secretary of commerce for aeronautics. The lighted airway will be 121 miles long. Wings Transparent By United Press WASHINGTON, Jan. 16.—How would you like to fly in an airplane j whose wings you could see through? The navy has such a plane. And the wings aren't made of glass, either. The result is accomplished by a new kind of fabric covering. It is a fine steel-wire screen, stretched over the wing framework like ordinary fabric. The little steel wires are finer than silk threads, so fine that they make the fabric as transparent as a screen door. After the fabric is stretched over the wing, a coat of clear dope is applied. This hardens, just like varnish. The result is a wing you can see through. The navy is trying it out on a plane at the Philadelphia navy yard. Century Starts Line The much-heralded extension of Century Airlines through Indianapolis today was near realization, with start of a series of test runs, carrying freight, Wednesday. Three tri-motored Stinson monoplanes, two carrying a ton of freight each, and the third carry-’ ing officials, landed at municipal airport Wednesday en route from Chicago to Cincinnati. One plane daily will be operated during the test period. No passengers are being carried at present. Postal Veteran Dies. By Times Special RICHMOND, Ind., Jan. 16.—Henry W. Deuker, who served as assistant postmaster of Richmond for twenty years, is dead of heart disease.

Checking Accounts Interest Paid on SAVINGS and Certificates of Deposit NOT TOO LATE TO .JOIN' OIR CHRISTMAS CUB AETNA Trust and Savings Cos. 23 N. Penn. St. Lincoln 7371

Taxes Expert Will Address Realty Board

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Guy Cantwell

“A Tax Program for.lndiana" will be discus-sed by Guy Cantwell, member of the Indiana university extension division lecture staff, before members of the Indianapolis Real Estate Board at Thursday luncheon, Jan. 28, in the Washington. Cantwell will offer facts recently developed by the I. U. bureau of business research on tax reform in other states, and will show how some of these changes might affect the Hoosier tax situation. Investigations of the I. U. bureau of cooperative research on school finance will be given. Cantwell, former president of the Indiana board of agriculture, has been a member of the board since 1922. He is director of the Central States Grain Association and former director of the Indiana Livestock Breeders Association. He is known as a farm institute speaker and served in that capacity for seven years with the Purdue university extension staff. MARTIN BUSIEST ON HIGH COURT Decided 35 of 78 Cases Handed Down in 1931. With some four hundred cases pending before the supreme court, seventy-eight were decided during 1931, a tabulation made today discloses. Cost of the high court to Hoosier taxpayers during the fiscal year was $71,369.84, records complied by Floyd E. Williamson, state auditor, for his annual report show. Judges’ salaries are SIO,OOO a year, and here is how they earned it: Justice Clarence R. Martin decided thirty-five of the seventy-eight cases; Justice David A. Myers, fifteen; Justice Walter E. Treanor, ten; Justice Julius Travis, nine, and Justice Curtis W. Roll, nine. Myers and Travis are veterans on the court, while Treanor ami Roll are newcomers, put on the bench during the last Democratic landslide. Os their total decisions, Martin wrote thirty prevailing, four dissenting, and one concurring opinions; Myers, twelve prevailing and three dissenting; Treanor, eight prevailing, one dissenting and one concurring; Travis, nine prevailing, and Roll, eight prevailing and one dissenting. MERCY FLIGHT ENDS Physicians Say Girl May Not Need ‘Oxygen Room.’ By United Press TUCSON, Ariz., Jan. 16.—The dramatic cross-country flight of Pilot Stuart Reiss, bearing by airplane an “oxygen room” for Alice Hilliard, pneumonia sufferer, may have been an unnecessary bit of valor. Physicians who heard aviators praise Reiss for his dogged flight from New York, in face of weather that forced him down time after time, today said their patient was doing so well she might not need the device. Reiss arrived here just before midnight Thursday. He started Tuesday from New York, after an emergency call came for the apparatus which supplies oxygen and washes carbon dioxide for diseasestricken lungs. Miss Hilliard, 25, is stepdaughter of Judge Robert W. Bingham, editor and publisher of the Louisville Courier-Journal and Times. Butcher for Practice By United Press SAPULPA, Okla., Jan. 16.—Unemployed butchers were asked to butcher 1,000-pound cows donated by dairymen for the community soup kitchen. Volunteers came readily, explaining they wanted to get some practice.

SOUTH AMERICA Visit the gay Latin cities below the equator—the neverending romance of the sea—different scenes, climate, peoples—all combine to attract the traveler to South America. The great Southern Continent is a New World to the Traveler. We Are the Official Agents for ALL Steamship Lines and Principal Tourist Companies RICHARD A. KI'RTZ, Manager Travel Bureau The Leading Travel Bureau of Indianapolis S UNION TRUSTS 120 E. Market St Riley 5341

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PAVING WORK IS RUSHED TO TIE UP ALL FUNDS Highway Board Wants to Forestall Grab at Special Session. Growing demand for a special session of the Indiana legislature has caused the state highway department to speed up its 1932 paving program so that anticipated revenues will be obligated, and the legislators will not be able to divert the money. This program is reported to have the backing of Governor Harry G. Leslie, although during the 1931 regular session the Governor was said to favor bills which would have returned more money from state highway funds to the local governmental unit® or the state general fund. Spent 522.000.000 Today highway officials frankly admitted that they are going to do all in their power to keep every cent they can in their department. They have become accustomed to spending about $22,000,000 a year. Following the announcement that Floyd E. Williamson, state auditor, is ready to distribute some $4,000,000 in the cities, counties and towns fund of the state gasoline tax collections, Ralph Simpson, assistant director of the state highway department, announced that $8,000,000 of the 1932 gas tax already is obligated by his department. He emphasized that the letting of paving contracts will be far ahead of former years with the third of a series to be advertised for March. Total to 250 Miles Ninety-two miles are to be contracted for Feb. 7, and sixty miles already have been awarded, according to figures from William J. Titus, chief engineer. The March letting will bring the total mileage under contract to more than 250 miles, he said. Thus the speeding of contracts is being relied upon to “save the bacon." The state highway department has revenues from several lucrative sources. They include the gas tax (3 of the 4 cents collected), automobile license plate sales and federal aid. Failure to collect the latter in 1930 caused a senate investigation in 1931. But the end of the fiscal yera 1931 found the department with more than $6,500,000 in its own treasury. Barred by Court This was attributed to the fact that it was barred by court action from putting into effect an anticipated blacktop paving programt This year no special money has been se taside for blacktop and it is entered in regular competition, although three times Director John J. Brown has sought a special ruling from Attorney-General James M. Ogden to permit the old method of blacktop use. So far, all efforts have failed, but the concrete boosters, who seem to havg a calm sea now and fair sailing, still are on the alert, expecting blacktop to "chisel in" some new place. That the threat of taking highway funds is well founded was brought home to the officials today when Senator Joe Rand Beckett announced that he wants them to maintain all the county roads and take that burden off the local tax duplicate. VISITOR TO MAKE TALK AT PHYLLIS WHEATLY Miss Elsie Mountain to Be Guest Speaker Jan. 22. Miss Elsie Mountain, executive of the Paseo branch Y. W. C. A. of Kansas City, Mo., will be guest speaker at the annual meeting of the Phyllis Wheatley branch Y. W. C. A. at 6:30 Friday, Jan. 22. Miss May Belcher, branch executive, will give the annual report of the year’s program. Announcement will be made of results of the annual elections, which will be held Thursday and Friday. Nominees for the management committee are Miss Murray Atkins, Miss Eugenia Adams, Mrs. Geneva Towns, Mrs. Lilliarf C. Hall, Mrs. Julia Reed and Mrs. F. B. Ransom. Candidates for the nominating committee for 1932 are Miss Dora O. Atkins, Mrs. Ida Bryant, Mrs. Beulah B. Hayes, Miss Helen Hummons, Mrs. F. B. Ransom, Mrs. Olivia Mitchell and Miss Emma Mae Allison. Former Postmaster Die* By Times Sped* l CHALMERS, Ind. Jan. 16.—Leander F. Davisson, 75, Chalmers postmaster for seventeen years, is dead.

LOANS AT REASONABLE RATES FOR ALL WORTHY PURPOSES The Indianapolis Morris Plan Company Oelavrare and Ohio St . Riley 1530