Indianapolis Times, Volume 44, Number 54, Indianapolis, Marion County, 13 July 1932 — Page 14

PAGE 14

JOKER IN BILL KEEPS JOBS FOR CONFESS W Economy Act Provision Is Way for Lawmakers to Retain Pay Rolls. Recently th* United Pre* attraeled nation-wide attention by reporting the nldeapread employment of relative* and other form* of racketeering in congre**. Since then congre** ha* paved an economy and pay reduction law. In response to numerous Inquiries. Raymond Clapper, out:''.: of th" United Pres* Wzsh--1 l- on bere.-.n. lies sought to learn how th' rela'i es art faring under the nev. eeoro -y ir-.iirr. nv RAYMOND CLAPPER Lnitrii Press Staff Correspondent <Co;)vr;ght. 1832. bv United Pressi WASHINGTON, July 13.—A joker has been discovered which serves to protect congressmen’s wives, daughters, sons and other relatives from the full force of the new economy and pay reduction law. The entire house membership is revising its pay roll in accordance with the new economy act. But congressmen fixed the law so they could deal gently with relatives. One middle-western congressman even has increased his wife’s salary. An eastern congressman has taken ofiicn? rertive and substituted another at higher pay. Few Wives Dropped Comparatively few wives and other relatives are being dropped, though the law frowns on double family employment in other departments. Full details of these changes will be reported later. Despite the storm aroused by recent United Press publication of details concerning the way the family pay roll racket operates In congress, most of the 100 or more members indulging in these practices are sitting tight. They are waiting for the excitement to blow over. Despite the opening of the pay roll records to inspection by house resolution, despite the defeat of Senator Smith W. Brookhart (Rep., la.), partly because five other Brookharts were on the federal pay roll, and despite floods of indignant letters from poverty stricken constituents, the majority of congressmen are taking courageous stand on this issue. Standing on Rights They are standing loyally by their right to hire relatives. They took a cut of 10 per cent themselves. In these hard times, campaign contributions come slowly. The thrifty members are trying to make their clerk hire allowances, mileage, allowance for stationery and other petty side revenues of a seat in the hause of representatives carry this year’s election expenses. Many a ; wife and daughter will have to surrender government pin money to help pay for dad’s campaign this year. For a time they had a close call when the economy bill was being considered. But members framed the law so that their clerks come under a special category. Each congressman had been allowed $5,000 for clerk hire. The new law cuts this 81-3 per cent, down to $4,583.33. Split Any Way The joker is contained in the following language: “Such reduced allowance to be apportioned by the representative, delegate or resident i commissioner among his clerks as ! he may determine.” The clerk ofi the house officially has notified each member that the old top limit of $3,900 to any one : clerk stands without reduction. Within that limitation, the same as always has applied, the congressman may split his $4,583.33 any way he wishes. Furthermore, congressmen exempted themselves from the provisions requiring that in dismissing employes, the first to go must be married persons when both are working for the government, and that in hiring new employes, preference, should be given to persons other than those with wife or husband on the government pay roll. Application of the married worker provision to congress would have stricken off the wife of Speaker Garner and numerous others.

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Death Claims Sgt. E. A. Wise, Police Officer

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Edward A. Wise Member of Force 17 Years; End Comes After Short Illness. Sergeant Edward A.. Wise, Indianapolis policeman for seventeen years, died late Tuesday in Methodist hospital after an illness of five weeks. Mr. Wise was bom in Indianapolis, and lived in this city all i his life. He served as a patrolman for ; seven years. He then was promoted !to the mounted division. He was made sergeant two years ago. Mr. Wise was a member of Logan lodge, F. & A. M.; Red Cloud lodge, Improved Order of Red Men, and the Indianapolis Independent Pleasure Club. Funeral arrangements have not been announced. Burial will be in Washington Park cemetery. PRISON BLAZE PROBED Fire Climaxes “Minor Riot” at Stateville; Damage, $3,000. t nit cl Proin JOLIET, 111., July 13.—Stateville 1 prison authorities today investigated i the origin of the C3.OCD fire which climaxed a “miner riot” staged by | convicts Tuesday in protest against the prison menu.

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’HUGE ‘PROTEST VOTE’ IS SEEN FOR SOCIALISTS Liberals Believed Likely to Swell Thomas Ballots to 5,000,000 Mark. BY LEO R. SACK Times Staff Writer WASHINGTON, July 13.—A rising resentment against both major parties and their leaders was reported today as a result of President Hoover's record, unsatisfactory to liberals, the conservative Republican platform, and action of senate Democrats in refusing to carry out

their platform’s immediate beer pledge. Some observers predict Norman Thomas. Socialist presidential candidate, will receive a huge protest vote —perhaps even more than the 5,000.000 received by "Fighting Bob” La Follette in 1924. The Socialist ticket heretofore never has polled more than a million votes for President But Republicans and Democratic politicians both announce receipt of optimistic reports for their own parties. The Democratic claims appear more hopeful than the Republicans. Because they dodged a direct vote on the Bingham amendment, proposing 2.75 per cent beer, lathough their platform pledged “immediate modification of the Volstead law” pending repeal of the eighteenth amendment, Democratic senators have done their party much harm, reports received in Washington indicate. Republican Senator Hiram Bingham, who led the figru for the beer

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THE INDIANAPOLIS TIMES

amendment, already', in taking movie news reels, is Hblding up the Democrats to ridicule. Privately, other Republican senators are congratulating Bingham. They tell him he has made thousands of votes for Hoover. But senate Democrats, like Pat Harrison, who voted to pigeon-hole the beer plan until the next congress, scoff at this. “We have not a discordant situation anywhere, all reports to the contrary notwithstanding.” Harrison says. “All letters and all information I have is that Democrats and independent progressive elements are delighted over the They are pleased not only with the candidates, but with the platform. In sections where the candidates might be weakest the platform strongly appeals and in sections where the platform is weak, the candidates are strong. “I have never seen anything look more beautiful from a political standpoint.”

BILL FOR HOME LOANS STUDIED BY CONFEBEES President May Veto It If Currency Expansion Is Not Stricken Out. By United Frets WASHINGTON, July 13.—A conference committee of senators and representatives today held the fate of President Hoover's project for a system of home loan discount banks to aid home owners threatened with foreclosure. The senate tacked on to the measure an amendment authorizing an expansion of nearly $1,000,000,000

in the nation's currency. If the conference committee does not eliminate this, Mr. Hoover will veto his own bill. The senate passed the bill late Tuesday. The house approved it several weeks ago, but without the currency provision. The home loan measure would set up a system of four banks, somewhat similar to the federal reserve banks, to discount mortgages on home properties. Each bank would have at least $15,000,000 capital. The federal government would give them up to $125,000,000 and they could issue bonds to obtain further funds. The credit made available through

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the home loan bank bill would reach the home owner or prospective builder after a devious process. Building and loan associations and other financial institutions would be eligible to subscribe to membership in the four banks.

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