Indianapolis Times, Volume 43, Number 252, Indianapolis, Marion County, 29 February 1932 — Page 1

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DEBTORS LAW CHANGE URGED BY PRESIDENT Special Congress Message Proposes Revision of Court Procedure. FLAGRANT ABUSE CITED Bankruptcy Statute Gives Unscrupulous Loophole, Asserts Hoover. BY HENRY F. MISSELWITZ United Press Staff Correspondent WASHINGTON, Feb. 29,—President Hoover today sent a special message to congress urging important changes in judicial procedure, designed to facilitate the administration of justice. With the message, he submitted a voluminous report compiled by the attorney-general on the bankruptcy act and its administration in the federal courts. The President particularly stressed the importance of changes in the bankruptcy laws. He pointed to the increase in bankruptcy cases in recent years and urged legislation "to provide remedial processes in voluntary proceedings under which debtors may have the protection of the court without being adjudged bankrupt,” Mr. Hoover, it is understood, considered findings of the Wickersham commission on law enforcement, as well as other material, in Preparing his message. The only mention he made of prohibition is a renewal of his previous recommendations regarding Jaw enforcement in the District of Columbia. fie urged that suggestions of the attorney-general that local police be given authority to act with federal agents in prohibition enforcement in the District of Columbia, be adopted. Mr. Hoover long has had a desire to make Washington a model for prohibition enforcement throughout the country. Should Set Example The President plainly urged that criminal procedure should be speeded up. He held that federal courts could set an example to courts all through the judicial system. He suggested that the laws be changed to "limit the time for making motions to quash Indictments because of disqualifications of grand jurors. The President recommended: That the supreme court be authorized to prescribe uniform rules of practice and procedure in criminal cases. That legislation be enacted permitting an accused person to waive the requirement of indictment by grand jury, and speed up the entire proceedings. That legislation be passed providing that if not less than twelve eligible grand jurors vote for an indictment it shall not be invalidated because of the presence of ineligible jurors. That mast juvenile cases be turned over to state authorities rather than be tried in federal courts. That a corporation operating in one state, but incorporated in another, should be treated as a citizen of any state in which it does b .siness. Supplement Dry Law That, congress act on recom-menda-U ,s by the attorney-general supplementing the prohibition law in the District of Columbia. That the bankruptcy laws be amended materially strengthening them and protecting both debtors and creditors. The powers of the courts would be broadened in acting on -fischarges. The r ‘dent said that a sound bankruptcy vstem should operate: "First, to 'lieve honest but unfortunate debtors of an overwhelming burden of debt. "Second, to effect a prompt and economical liquidation and distribution of insolvent estates: and "Third, to discourage fraud and needless waste of assets by withholding relief from debtors in proper cases.” The report from the justice de- j partmenl condemned the bank- j ruptcy statute on the grounds that in many instances it was functioning under circumstances of fraud and /utility which the courts were powerless to correct. It estimated that through the law, payment of almost $1,000,000,000 in debts is being escaped annually. Cite Huge Increase Solicitor-General Thomas D. Thacher and Lloyd K. Garrison, special assistant attorney-general, who prepared the report, said the present act had had serious unforeseen consequences. They cited the increase of bankruptcy cases from 15,000 with assets of $171,000,000 in 1931 to 60.000, with assets of $1,008,000.000, in the fiscal year 1931. "The bankruptcy court increasingly has become a dumping ground,” they reported to Mr. Hoover, "for the refuse of commercial wreckage and a sanctuary where debtors obtain cancellation of their debts, regardless of how they may have wasted their property.” Asserting that the bankruptcy courts no longer function for the •elief of creditors, but rather only to discharge debtors of obligations, Thatcher and Garrison complained too that credit often is extended carelessly. They sharply rebuked "modem salesmenship” for its tendence to induce sales regardless of the credit risk involved. "The situation is well illustrated," the report continued, "in the case of wage earners who in large numbers reek discharge from their debts in bankruptcy because they have been induced by one group of creditors at the expense of another to buy l xuries they can not aSorcL”

The Indianapolis Times Fair tonight, followed by increasing cloudiness Tuesday; not much change in temperature; lowest tonight about 36.

VOLUME 43—NUMBER 252

‘Fox’ Foxed Two-Year Probe Finally Leads to Conviction of Dope Peddler.

than two years of in--L"* vestigation were ended today for federal narcotic agents, as Federal Judge Robert C. Baltzell sentenced Charles Heck, 138 North Liberty street, to eighteen months in Leavenworth prison, when he pleaded guilty to selling narcotics. Elmer Kruse, narcotic agent for Indiana, bared a tale of intrigue and dope-selling, and how Heck fell into the hands of the law through a "stool pigeon.” "Heck had been peddling this stuff for a long time,” said Kruse. ‘He was a big shot. But we couldn’t lay our hands on him. He was smart. About last June he wised up to the fact that we were on his trial and he slowed up considerably. He started selling only to people he could trust absolutely. Dope peddlers are crafty. They are harder to catch than any other criminal known. "Finally, we got one of our aids at work, a ’doper,’ himself. We use them considerably, taking them from one end of the country to the other. Sometimes they are referred to as • agents, but they’re only operatives in a way. "This man of ours went out to Heck's and posed as a shoplifter, a booster.’ “ ‘You are,’ said Heck. ‘‘Well, say, I can use some shirts and ties and a pair of shoes. Let’s see what you can do.”’ n n n KRUSE, immediately, on receiving the report went on a hurried shopping tour. He purchased six shirts and four ties, as the first "lift,” and the operative returned to Heck's. There Heck received him with wide-open arms and sold some narcotics to the federal aid. Ki'use related. "I need a dress,” said Heck’s wife, acccording to Kruse. Kruse bought the dress and, on this trip, the operative was sent out to the back yard where narcotics were concealed. "Say,” said Heck, "see if you can ‘boost’ me a pair of shoes,” Kruse related. Kruse again went shopping. While he was on this trip, Indianapolis police and federal agents dropped in "on a visit” at Heck’s place a few minutes after the federal men entered the house. The raid was successful, Heck was slated and arraigned before a federal commissioner and bound over to the grand jury. # n tt A WEEK later, Kruse received information Heck had made a trip to Chicago and had left with an ounce of heroin, he said. Kruse called Heck’s wife. "Tell Charley I’ve got some good news for him,” he said. That brought Charley running to the federal building, "all out of breath,” said Kruse. Kruse immediately accused him of the heroin transaction. "Come clean, Charley, for your own good.” Kruse asked him. Heck agreed and went to an apartment on the north side, where he picked up a loaf of bread in front of Kruse, broke it in two and poured out twentyeight capsules of heroin. tt tt tt SATURDAY, when arraigned before Baltzell, Heck pleaded for a few days off so that he could visit his parents. Baltzell consented, ordering Heck to return for sentence this morning. "The whole transaction for the clothes.” said Kruse today, "cost me just $16.18, and we got the merchandise back. On the last trip our man had paid Heck in •hot money’ and we got that back, too. "It was hard work, but it worked. You've got to be foxy with foxy people.” Hourly Temperatures 6a. m 40 10 a. m 50 7 a. m 40 11 a. m 51 Ba. m 43 12 (noon).. 54 9 a. m 47 1 i, m 55

Purdue Student Indicted in Hitch-Hiker Shooting

William H. Blackburn, 20, former Purdue university student, held at Oak Park, 111., was indicted today by the Marion county grand jury in connection with the robbery and shooting of J. Russell Gardner, 50, of 3726 North Meridian street, Jan. 28. The indictment charges Blackburn with inflicting physical injuries in commission of a robbery, and robbery. Gardner, former state highway department employe, was shot three times and beaten badly at Seventy-first street and Keystone avenue after picking up a hitch-hiker near Lafayette. The bullets remain in Gardner’s head, and city hospital physicians say they can not be removed and will be a constant danger to his life. Blackburn was arrested at his Oak Park home after returning from Hollywood. Fla., with his parents. The youth’s father, Ross, asserted the son, hitch-hiking to the Florida city, was sixty miles south of Indianapolis at the time Gardner was attacked.

AVIATION SAFE? ONE OF TIMES MANY BIG FEATURES OF THE WEEK TELLS YOU

In a hurry? Ride a plane, not a train. That’s the new air slogan. Safe? That’s your gamble. Ernie Pyle, aviation editor of Scripps - Howard newspapers, starts a series of stories Tuesday in The Times to tell readers just how safe air travel is. Weather is the main hazard. After that, take your own guess. But read Pyle's four articles. There’s no guess about his facts. And that takes us along to another speed and safety problem—the house to house salesman, who has plenty of speed, but not so much safety—for the buyer. The

HIGH SCHOOL LEGGER GETS 90-DAY TERM First Victim of Police Campaign Also Must Pay SIOO Fine and Costs. JOINT ‘NEVER CLOSED’ Drive Launched by Cops After Liquor Is Blamed by Toy Gun Girl. First victim of the war by authorities to halt sale of liquor to ’teen age boys and girls was convicted today in municipal court. He is John White, Negro, of 531 West North street, charged with operating a blind tiger. Municipal Judge William H. Sheaffer sentenced him ninety days on the state farm and assessed a fine of SIOO and costs, on testimony of policemen that Whites’ alleged speakeasy at the North street address "never was closed” to youthful liquor buyers. Last week city and county authorities and police launched their drive, following statement of Miss Vera Wood, Shortridge high school pupil and confessed toy gun bandit, that she was drunk when she held up eleven persons in a robbery tour last Tuesday night. ‘Place Is Never Closed’ Judges of county and city courts and Mayor Reginald H. Sullivan declared severest punishment would be meted bootleggers who sell intoxicants to high school boys and girls. According to policemen who raided the alleged speakeasy, a Negro man, who did not give his name, “tipped off” police to White's alleged activities. The officers said the unknown man told of White’s "joint” in a note written, the note said, after “announcement of the war in newspapers.” The note said White had “lots of whisky and plenty of trade with high school pupils.” "His place never is closed,” the note said. On this information police obtained a search warrant. When they raided White’s place he is alleged to have attempted to "dump” a small quantity of alcohol in a coffee percolator, but the attempt was frustrated when a raider grabbed the container first. No Comment by Court Sheaffer, who convicted White, was one of the officials joining in the drive against illicit liquor sales to boys and girls. The court did not comment on the case as White was sentenced. White previously was convicted of blind tiger and served a farm term, he told Sheaffer. Charged with the sale of liquor which resulted in the illness of an admitted purchaser, John Smith. Negro, 620 Ogden street, today was fined SIOO and costs and sentenced 180 days in jail. Sheaffer passed sentence after police testified they raided Smith’s home, following illness of Elliott Allen, 628 North Alabama street. Allen became ill Friday and was treated at city hospital. Police said they learned of Allen’s liquor purchase and physicians blamed his sudden illness on the booze.

Guest Tickets For Finders Lost Articles The Indiana Theater will present one pair of tickets to any one returning an article to its owner which has been advertised as lost in The Times "Lost and Found Column. Times "Lost and Found” ads cost but 10 cents a line. Times Lost Ads Get Results Phone Ri. 5551

merous than the frogs in Egypt and Lowell Nussbaum will tell you of their ways and wiles in a series starting Wednesday in The Times. When they can't sell you anything else, they sell you signs telling you to beware of themselves. Heywood Broun is all fed up on Will Rogers’ war jokes and he tells why today on the editorial page. Tuesday he swings over to j the subject of gaining an education in spare moments, and Wednesday he dissects one Bever- j ly Nichols, British ambassador of poetry, who seems to be among us for some uplift purpose. MRS. WALTER *FERGUSON. the nation's greatest woman

INDIANAPOLIS, MONDAY, FEBRUARY 29, 1932

Sub-Deb, in Birthdays, Has 14 Grandchildren

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PUBLISHER IN SENATE RACE Democratic Nomination Is Sought by o’Bannon. Field for the Democratic nomination for United States senator has been increased to three with announcement of candidacy by Lew

M. O’Bannon, Coryd o n newspaper publisher and attorney. One of the outstanding Democratic leaders of the state, O’Bannon enters the race as the result of a senatorial petition which has been circulated in the new Eighth district and also to quiet reports that he is a candidate for Governor, he declared.

O’Bannon

O’Bannon was the Democratic nominee for Lieutenant-Governor in 1924 and, for almost forty years, has been a party worker and leader. In the 1924 campaign as the nominee for Lieutenant-Governor, he stumped the state and in 1928 O'Bannon was permanent chairman of the Democratic state convention. He served as president of the Democratic Editorial Association in 1915 and has headed its resolutions committee since. Other candidates in the race are Speaker Walter Myers, of the house of representatives, and Fred Van Nuys, former state chairman and district attorney.

ATLANTA BACHELORS IN MYSTERY PARTY Georgia Governor Among Guests at Affair Tonight. j By United Press ATLANTA, Ga., Feb. 29—Gover- . nor Richard B. Russell Jr. and some | 100 other Georgia bachelors will ' have dinner tonight as guests of the Rev. Louie D. Newton of the Druid Hills Baptist church. Exact nature of the entertainment to be afforded and the company to be enjoyed is a carefully 1 guarded secret. Invitations were | printed in the form of court sum- | monses, and bore the significant injunction: "Herein fail not on pain of three hundred ‘dates’.”

editorial writer, today discusses the case of Ruth Judd, trunk slayer. Tuesday she considers the subject, "What Is Crime?” "Possession in Marriage” is her theme on Wednesday and Thursday she dwells on the topic, "As Others See Us.” School pupils who have been following the series, "The Child in the Painting,” will be interested Wednesday in the story and picture of "Maria de Medici,” which will appear, as the fourth of the series, on The Times weekly school page. Amos Parrish, Times fashion authority, tells you today of the fashionable new wools; Tuesday, spring brides, something old,

Mrs. W. A. Sherman

Eighty Years Ago Today, Mrs. W. A. Sherman Was Born in Pennsylvania. In birthdays she still is of subdeb age, but three children and fourteen grandchildren reverently call her "Grandmother,” and she is looking forward to celebrating her fifty-eighth wedding anniversary this summer. Eighty years ago today, Mrs. W. A Sherman, 1234 North Sterling avenue, was born on a farm in Pennsylvania, a leap year baby, destined to celebrate the day of her birth only once each four years. In honor of the Feb. 29 anniversary, Mrs. E. K. Shugert, a daughter, 1106 Parker avenue, entertained at tea for her mother this afternoon.

In Windy Weather Copies of The Times are apt to be blown off the porch, even though carriers are trained to give service which prevents this. “Don’t Be Without Your Times” Telephone Riley 5551 and a copy will be delivered by Western Union messenger. This service is free and available to all Home Delivered subscribers of The Times. THE TIMES Circulation Department

Race Hatreds Stirred Anew in Hawaii Attack By United Press HONOLULU, Feb. 29.—News of another brutal assault on a white woman, the wife of a navy man, and a threat to assault a neighbor, created a tense situation here today in a city already inflamed by a series of such attacks. Mrs. H. W. Hope, wife of a submarine machinist’s mate, reported to police that a man broke into her Waikiki beach home and attacked her, after demanding money and threatening her with death. The man also broke into the nearby home of Mrs. D. W. Curry, wife of a chief petty officer, and threatened her, but did not attack her, police said. Five men, whose identities police refused to reveal, were rounded up as suspects. Police first announced Mrs. Hope had identified one of them as her attacker. Later, they said, she had not recognized any, as the intruder had blindfolded her with a stocking before attacking her. Mrs. Hope is a partial cripple, suffering from a leg deformity. Her husband is enroute to San Diego on a subcargo. The intruder seemed to know that husbands of both women were not at home.

something new, something borrowed and something blue; Wednesday, spring blouses; Thursday, men's clothing for spring; Friday, scarfs, and Saturday, long-handled brooms and brushes that save you toil. David Dietz tells you today about the theory that space absorbs the sun’s energy and Tuesday he will show you how chemistry is the one bright industrial spot in the current depression. ana A LL across our more or less fair country there is the music of the thud of the bat against the hurtling horsehide, known in more explicit language as spring

DESTRUCTION OF CHINESE RAIL LINES THREATENED, TO HALT TROOP MOVES

Chinese-Japanese Agreement Reached 4 in Principle’ for Peace at Shanghai

By United Press GENEVA, Feb. 29.—The council of the League of Nations was informed at a public session tonight by Sir John Simon, British foreign secretary, that Japan and China had agreed in principle on "mutual and simultaneous" withdrawal from the Shanghai area. The agreement was reached at a two and onehalf hour conference on the British flagship Kent, Sir John said. Prior to the announcement, it generally was understood that an agreement had been reached, al-

REPORT SOVIET ACTS FOR WAR Russian Troops Massed in East, Consul Hears. B< / T’tiitrd Press TOKIO, Feb. 29.—’The Japanese consul-general at Vladivostok has been informed from “a reliable foreign source” that 100,000 Soviet troops are concentrated in the Soviet maritime provinces and that extensive warlike preparations are under way. Foodstuffs and munitions were said to be moving into the Valdivostok area day and night. The consul-general was informed that three new fortresses were under construction on the frontier. An iodine factory was being converted for manufacture of poison gas. The consul’s informant considered conflict inevitable over the fisheries question or the Manchurian situation. The Soviets, the informant said, hold the Japanese "as detestable as cholera bacilli.” The entrance to Vladivostok bay reportedly was fortified with antiaircraft guns and other weapons. WETS GAIN VOTES Three More Sign Petition for Liquor Ballot. By United Press WASHINGTON, Feb. 29.—Hopes of the house “wet bloc” for a vote on resubmission of the eighteenth amendment improved today with additional signatures to their petition. Three additional names were added soon after the house met, bringing the total to 130 of the necessary 145. Signers today were Representatives Harlan (Dem., O.) and Sullivan (Rep., Pa.), and Niedringhas (Rep., Mo.). SEABURY SPEECH SEEN BID FOR PRESIDENCY Tammany Says Prober Is Making Political Capital of Graft Quiz. By United Press NEW YORK, Feb. 29.—Samuel Seabury’s vigorous speech in Cincinnati last week was considered by many politicians today as a definite m#ve to obtain the Democratic presidential nomination and also an attempt to block the Franklin D. Roosevelt and Alfred E. Smith presidential movements. Friends of Tammany attacked Seabury for "using the Hofstadter investigation of New York City politics as a spring-board for his own political fortunes.

training for major and minor league baseball clubs. The United Press will give a thorough account every day of training camp activities among big league clubs, and Edde Ash, Times sports editor, will give you a story a day of how the Indians are faring down at Sarasota, preparing to cop the A. A. gofalon in the 1932 scramble. An interesting interview on Page 3 today, giving the inside on what Winston Chruchill, famed Briton, thinks about this, that and some other things. S*ock market devotees will read with interest the three articles by Harry Elmer Barnes, the first appearing today on the financial

Entered as Second-Class Matter at I’ostoffice, Indianapolis. Ind.

Ultimatum Sent by Japanese Declares That All Routes Used to Transport Soldiers Will Be Bombed. HOPE FOR TRUCE AGAIN DWINDLES Nipponese Rush More Help to Front and Continue Determined Smash Against Plucky Defenders. BY HERBERT R. EKINS United Press Staff Correspondent (Copyright. 1932, bv United Press) SHANGHAI, Feb. 29.—The Japanese threatened today to blow up all railway lines leading- to Shanghai and destroy troop trains unless the Chinese cease bringing up reinforcements. The Chinese considered the threat to be an ultimatum. They were given until 2 p. m. Tuesday to meet the demands. Otherwise, the Japanese will dispatch their aerial bombing planes to wreck the Shanghai-Nanking and ShanghaiHangchow lines, over which the Chinese may move troops from Nanking and Soochow and from Kiangsi and other concentration points.

Meanwhile, hope for an early truce dwindled. The Japanese claimed important gains in Chapei and the Chinese raked ruined Kiangwan, turning their own deadly artillery on a village they had defended to the death for a week. The heavy gunfire was resumed as Japanese landed more men near Shanghai to beat back the city’s defenders —and as reports were received that a truce was being negotiated in which diplomatic negotiations would push the Chinese back farther than pushed so far by Japanese fighting men. Victories Are Claimed Army and navy headquarters of the attacking forces issued two communiques claiming important victories. Lieutenant-General Kenkichi Uyeda, Japanese military commander, announced at 3 p. m. that all Chinese had been driven from the section east of Hongkew creek after Japanese forces had captured Chouchiati and other villages betwen Lochiachai and the Chinese headquarters at Chenchiatung. The Ninth Japanese division advanced its headquarters to a section controlled by the Sixth brigade in central Kiangwanchen. General Shimomoto, commanding the Twenty-second regiment, which arrived at the battle scene Sunday, is preparing for a general attack on Tazang Tuesday, General Uyeda said. Admiral S. Nomura, ranking naval authority, said in a statement that his marines had recaptured the Japanese cemetery established near Shanghai and that navy planes had renewed their bombing attacks on Chapei and Woosung. Navy planes reconnoitering over the Hangchow district answered Chinese rifle fire with a hail of aerial bombs and machine gun bullets. Casualties Are Heavy The admiral said Japanese naval casualties up to today were 120 killed and 625 wounded. Japanese headquarters announced that only one regiment of the Eleventh division had arrived. The

U. S. Loan to China Is Reported

By United Press TOKIO, Feb. 29.—Sensational reports of a $50,000,000 American loan to the defenders of Shanghai were received by the government today and overshadowed two other developments in the far east crisis: Arrival of the League of Nations commission appointed to investigate the Manchurian situation.

page, which deal with short selling. He takes issue sharply with stock exchange heads who uphold the system. Another feature, now running three or four times a week in The Times, is Dan Thomas’ column of Hollywood gossip, which is attracting many readers. It keeps you in touch with all the latest ‘ scandal'’ in the movie capital. Valuable health advice for business men is contained in the first three of this week’s articles by Dr. Morris Fishbein on the editorial page. Thursday Dr. Fishbein will discuss neart disease; Friday, thallium poisoning, and Saturday, hot baths to combat disease. /

TWO CENTS

though the Japanese delegation had not yet been advised. W.. W. Yen, Chinese delegate, informed the United Press: "I believe the Chinese have accepted the proposal at Shanghai, but we still maintain a conservative attitude at Geneva. It depends on conditions reached at Shanghai, although the Chinese are willing to accept a bona fide arrangement.” An attempt to postpone a general meeting of the assembly on the question failed, the meeting still being scheduled for Thursday.

entire strength of the division, approximately 10,000 men, was expected soon to reinforce the Ninth division commanded by General Kenkichi Uyeda. Japanese marines at Chapei, just outside the international settlement, advanced after aerial and artillery bombardment. They occupied the Ssumon institute and established headquarters under a hail of Chinese bullets. Seven naval airplanes paved the way for the Japanese advance while the Chinese trenches were subjected to heavy artillery fire from the rifle range to the north. The naval engineering corps bridged Hongkew creek at a point opposite the Ssumon institute. The marines crossed the stream, using rifles and machine guns. At midmorning. bombers of the Japanese first flying squadron were raining high explosives on the Chinese lines 200 yards ahead of the institute. Village Is Shelled The Chinese retaliated at Kiangwan by pouring their heavy artillery fire into the ruins of the village they held for a week against Japanese airplanes, artillery, tanks and infantry. The last of the Chinese snipers was cleaned out of the village Saturday. The Chinese, pushed back a few yards at a time in Kiangwan, had time to replenish their artillery over Sunday. Then they launched their determined retaliatory attack this morning. There had been no attempts at infantry advances, but Japanese reply to the fire soon made the engagement a first-class artillery duel. The firing resulted in heavy casualties on both sides. Japanese airplanes had not joined the fighting late in the morning, but warships in the Whangpoo river were shelling the Chinese positions. More Troops Landed A bomb exploded in the yard of a residence in the P’rench concession occupied by several Chinese leaders, creating considerable excitement, but doing no damage. The residence is occupied by Sun Fo, former government head and son of the late Dr. Sun Yat-Sen; Eugene Chen, former foreign minister, and other officials.

A government spokesman’s statement that peace efforts and truce negotioations were progressing at Shanghai and Geneva, with “fair prospects” of success. The report of the American loan or credit came from the Japanese ; consul-general at Shanghai. The loan was negotiated, it was stated, by Chiang Kai-Shek, resigned head of the Chinese government, and commander of troops now defendJ ing Shanghai. Japanese Consul-General Murai i at Shanghai understood that a portion of the loan, either two fifths or three-fifths, reportedly was to be paid in materials, including munitions. The consul-general said he could not vouch for the accuracy of the reports. Members of the- league commission, headed by Lord Lytton of Great Britain, were welcomed by Foreign Minis Kenkichi Yoshizawa and other government officials. The commission appeared to receive an extremely warm popular greeting. The commission members paid compliments to the Japanese scenery, but made no statement regarding their mission.

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