Indianapolis Times, Volume 44, Number 124, Indianapolis, Marion County, 3 October 1932 — Page 2

PAGE 2

JAPAN'S CLAIM TO MANCHURIA GETS SETBACK Lytton Report to Geneva Is Strong Indictment of Nippon Troops Use. (Continued*From Page One) after a strong autonomous government, with an effective police force is organized there. Lord Lytton s commission, ap-' pointed to make an objective neutral investigation into China's perilous quarrel with Japan, failed to take seriously Japans claim that the new state of Manchukuo was of Chinese origin. Co-operation Is Urged Finally, says the report, "as the maintenance of the peace of th P far east is a matter of international concern," settlement of the controversy must be in line with the covenant of the league, the nine-power treaty and the Kellogg pact. China and the rest of the world should co-operate in her international reconstruction as suggested by the late Dr. Sun Yat-Scn. Dr. Sun, then president of the Nationalist government at Canton, outlined his plan eleven years ago, and begged the world to help put China on her feet. Far from least among the com- ; mission's finds was that Russia, no less than Japan, is interested In the future of Manchuria and eastern Asia and no settlement which fails to take this fact into account can last. Japan, too, is warned that the nine-power treaty is as pertinent today, and just as necessary, as it was when it was signed at Washington in 1922. Ten Conditions Laid Down Ten conditions of a satisfactory solution are laid down. 1. Both China and Japan are | members of the league, and entitled , to the same consideration. 2. To make peace between two of the neighboring countries with- j out regard for the interests of the j third (Russia) neither would be I just nor wise, nor in the interest j of peace. 3. Any solution should conform to the provisions of the covenant of the League of Nations, the Kellogg pact and the nine-power treaty. 4. Japan's rights and interests in Manchuria are facts and must not be ignored if a satisfactory settlement is to be reached. 5. There should be new treaties restating the respective rights and interests of China and Japan in Manchuria. 6. Asa corollary to the above, provision should be made for facilitating the prompt settlement of minor disputes as they arise. Autonomy Is Proposed 7. "The government of Manchuria should be modified in such a way as to secure, consistently with the sovereignty and administrative integrity of China, a large measure of j autonomy designed to meet the local; conditions and special characteristics of the three provinces. The new civil regime must be constituted and conducted as to satisfy the essential requirements of good government." 8. “The internal order of the country should be secured by an effective local gendarmerie foree. | and security against external aggression should be provided by the withdrawal of all armed forces j other than gendarmerie, and by the conclusion of a treaty of nonaggression between the countries interested." 8. Anew commercial treaty is de- | sir able between the two countries as an added help to bring about better relations. Now Era of Friendship 10. "Since the present, political instability in China is an obstacle to the friendship with Japan and an anxiety to the rest of the world; as the maintenance of peace in the far east is a matter of international concern; and since the conditions enumerated above, can not be fulfilled without a strong central government in China, the final requisite for a satisfactory solution is temporary international co-opera-tion of China as suggested by the late Dr. Sun Yat-Sen.” If the present situation can be modified in some such manner as the above, the report asserts, it might be made the starting point of anew era of friendship and cooperation between Japan and China. "If such a rapprochement is not secured," it adds, “no solution, whatever its nature, can be fruit-, fuL” Must Not Turn Back Whatever happens there can be no returning to the status quo. the commission warns. That merely would plunge the two countries back into their old and perilous quarrel. Nor, if the world wants peace, can the present regime in Manchuria be permitted to continue. "About the feeling of the people of Manchuria toward the present i regime there can really be no doubt," it states, "and China would not voluntarily accept as a lasting solution the complete separation of her three eastern provinces." Nor would the present situation r be to the lasting benefit of Japan, in the commission's opinion. Though she claims pressure of population as a reason for expansion, she is not sendirtg many emigrants to Manchuria. China Is Vital Outlet And while she asserts China is a vital outlet for her products, surely a friendly China, with a mounting standard of living, and increasing purchasing power, would be better for her than a hostile China, armed with the boycott. Strategic reasons, the report indicates, may be the main motive behind Japanese policy. She may fear being attacked by a third power (Russia). For that reason she may feel it essential to entrench herself in Manchuria. If such be the case, the commis- ; slon suggests, Japan may be disillusioned. It would seem perilous to face the Russians on one side, while hostile Chinese surrounded her on the other th>ee. Japanese security, it is suggested, would seem safer in having the good will of the world backed by the peace machinery. This would cost her nothing whereas long mih-1

She’s Best of- 60,000

By Times fiprrinl NEW YORK, Oct. 3.—The most coveted role of 1932 in the movie world today belonged to Kathleen Burke, 19-year-old Chicago girl. Miss Burke, "120 pounds of clawing tiger girl," as the press agents have it, has been selected in a nation-wide contest as the cinema "Panther Girl.” More than 60,000 competitors entered the contest, which has been under way in all principal cities of the country for several months.

State-Controlled Bank Urged by Ward Hiner

Political Scandals Would Be Outlawed by Plan, He Asserts. Establishment of a state-con-trolled banking institution with subsidiaries in the ninety-two counties of Indiana to handle state tax funds and prevent lasses through insolvency was recommended by Ward B. Hiner. National part candidate for Governor; in an address Saturday night over WFBM. The institution would receive all tax money, would supervise distribution and eliminate confusion resulting from the present system of depositing in privately owned institions. Hiner declared. Deposits would be subject to a 2 per cent a year interest rate and would be safeguarded and guaranteed by the state, it was pointed out. The institution would not be permitted to enter the loan field in competition with private banks.

tary occupation of Manchuria would be a “heavy financial burden." Conclusions Are Unanimous The league commission's conclusions. it is understood, were by unanimous agreement. Throughout the report it was plain they wanted to keep a balance between the Chinese and Japanese, in other words to be fair. Five nations were represented. Brigadier-General Frank McCoy represented America; General Claudel. France; Count Aldrovandi, Italy; Herr Von Schnee, Germany, and Lord Lytton, chairman, Great Britain. Japanese Win Clash Bii 1 uifril rivs* TSITSIHAR. Oct. 3.—Japanese troops repulsed with heavy losses today the rebellious Chinese soliders under General Li Haiching. who had seized the city of Anganchi and caused panic stricken residents to flee in terror, according to reports received here. Fighting continued in scattered areas after two detachments of Japanese soldiers routed 2.000 of the rebellious forces, killing an estimated three hundred. Japanese planes bombed guerilla forces who attempted to surround a Japanese detachment northeast of Tahsing, inflicting heavy casualties. HINDENBURG 85 TODAY German President Makes Gifts to 3,000 Invalid War Veterans. Bti I'nilai rrcs* BERLIN, Oct. 3.—President Paul Von Hindenburg remembered veterans of German wars on his eighty-fifth birthday while he received congratulations of the nation and the heads of world powers. The field marshal issued a list of 3.000 invalid veterans of the wars of 1869. 1871 and the World war. who will receive 150 marks each from a fund collected from public subscriptions in honor of the presidents birthday.

Kathleen Burke

"I realize the bankers of the state are going to jump on my neck fully equipped with spurs, and every kind of pressure will be brought to bear to defeat any candidate or party that indorses this kind of a bank,” Hiner declared. “When this plan is propertly carried out, every unit of government in the state can draw vouchers and drafts on the bank of Indiana. Had this been a law during the administration of Governor Warren McCray, the scandal that made Indiana notorious, whereby banks claimed they were forced to loan McCray money, would not have existed, and, to tell the truth, it is a political scheme today. “Certain banks get their money from political friends in the statehouse. which are depositories of the people. This new institution would take state finances out of politics. The state auditor would be given a direct check on state funds without running all over the state to investigate.” Hiner declared.

MAYOR DALE TO GIVE NEW FEDERAL BOND Munoie Boss to Appear in Court Tuesday, His Attorney Asserts. Bit l nitrd Brest MUNCIE. Ind., Oct. 3.—George R. Dale, Muncie’s “ousted” mayor, will appear in court Tuesday and give anew bond to replace the one which was posted for him last spring after his indictment on charges of conspiracy to violate the prohibition laws, his attorney, William A. McClellan, announced. Dale has been absent from the city since last week and McClellan said he had been in Chicago arranging the bond. William F. France, former safety board president, signed the original bond. He was ousted from office by Dale last week when he tried to get Dale to go to Chicago and surrender to the federal court of appeals. •GRAND HOTEL’ DRAMA LANDS TWO ON FARM Battle Waged Without Grinding Cameras, City Court Is Told. Without benefit of kleig lights or sound effects, the Grand 110161. 105 South Illinois street, was the scene of a film-like drama all its own last week, according to a story aired today before Municipal Judge William H. Sheaffer. And as result Don Carson, 30, expugilist, and Lawrence Nichols, 33, participants in a brawl in the hotel lobby last week, were convicted of assault and battery, fined $1 and costs, and sentenced to thirty days on the state farm. The fight, witnesses testified, started on the third floor, raged into the first floor corridor, then back again, with several persons receiving bruises from flying fists. Lost! One memory. It belongs tq Major Hoople. If you find it you can keep it, but please return the S9OO that was lost with it. The Major's waiting for it on the Comic , Pa**- *

THE INDIANAPOLIS TIMES

SUPREME COURT CONVENES FOR NEW SESSION All Members of Nation’s Highest Tribunal Present for Ceremonies. By Tutted Fret* WASHINGTON. Oct. 3—The supreme court today convened for a new term in the ancient senate chamber in the capitol where it has deliberated for many years. All members of the bench were present for the brief opening ceremonies. Justice Louis D. Brandeis, leader of the court's so-called "liberal" group, came to the chamber arm in arm with Justice George Sutherland, leader of the “conservative" faction. Both were laughing. All the justices appeared rested and in excellent health after the summer recess. The court abandoned its usual custom of calling on President Hoover immediately after the opening session and informing him they were ready for business. The visit was postponed probably until next Tuesday because the President was preparing to leave in midafternocn for Des Moines, la. The court will devote most of th week to a series of conferences on new cases which have accumulated during this summer. 7 PARTIES TO BE ON BALLOT Five Tickets Approved by Election Chiefs. State election commissioners have approved the certification for the ballot of the Democrat, Socialist, Socialist-Labcr, Communist and Prohibtion parties, J. Otto Lee. commission clerk, announced today. The Republican and NationalLiberty party certifications have not yet been received. Parties will appear on the ballot as follows; Democrat, Republican, Prohibition, Socialist, Socialist-Labor, Communist and National Liberty. Green sample ballots are to be printed and 15,000 distributed to county clerks before the election, Lee said. Voting will be in 3,691 precincts. Marion county has 331. VICE QUIZ LAUNCHED City Is Thrown in Turmoil by ‘Wide-Open’ Charges By T nited Ptrss EVANSVILLE. Ind., Oct. 3.—Airing of charges that gambling houses and other forms of vice are operating wide open in Evansville were started here today. The charges, which resulted in an upheaval of city officials that i caused two members of the safety board to resign, and brought suspension of Police Chief Emmett Bell, were made by patrolman Clyde Schuetz a week ago. Schuetz was suspended at once. He explained he had been informed i secretly that department heads were attempting to discharge him. Mayor Frank Griese arranged for the public hearing today after the board members resigned. Emra Ireland, former ci*” judge, was placed temporarily in charge of the police department, pending outcome of the hearing. NEGRO LEADER - NAMED F. B. Ransom Is Chosen to Head State Democratic Bureau. Appointment of F. B. Ransom of Indianapolis, one of the outstanding Negro attorneys of the state, to be state director of the Democratic Negro activities, was announced today. Ransom, who is the general manager of the Madame C. J. Walker estate, is conceded to be one of the leaders of his race in Indiana.

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15-CENT STATE TAX RATE GETS OFFICIAL 0. K. Action Taken Despite Plea of Zoercher, Warning of Big Deficit. Despite the warning of Phil Zoercher, veteran tax commissioner, that there will be a deficit of nearly $1,500,000 in the state general fund, the statutory 15-cent tax rate was approved officially in the office of Governor Harry G. Leslie today. For the first time, reporters were barred from the conference where the decision was made. Zoercher’s fellow-commissioners. Chairman James E. Showalter, and Pliny Wolfard, recommended the 15-cent rate, since no other w'ould meet approval of Governor Leslie or Floyd E. Williamson, state auditor. The 15 cent-rate, part of the $1.50 property-tax limitation law. was upheld in an opinion from AttorneyGeneral James M. Ogden. Far Below Needs Zoercher pointed out that adherence to the 15-cent rate necessitates a 4.5 cent limit to the general fund levy, which is scarcely sufficient now at 7 cents and must be made to met an additional bill ion-dollar drop in assessed valuations in the state. The 15 cents will be divided as follows: Fixed levies, 8.1 cents; teachers’ retirement fund. 2.4 cents, and state revenue, 4.5 cents. Fixed levies include the state tuition tax, 7 cents; war memorial, .4 cent; forestry, .2 cent; George Rogers Clark memorial, .15 cent and the state board of agriculture, .35 cent. Commenting on the 4.5 cent general fund levy Zoercher said: "A state rate of 4.5 cents will leave a deficit on Oct. 1, 1933, of about $1,034,825 to $1,384,825, which deficit can be foreseen plainly and will not be a casual deficit. This was evident to the legislature when it passed the law limiting the total rate for all purposes to 15 cents on each $100.” Suggests 12.5-Cent Levy Declaring that he did not agree with the attorney-general’s opinion, Zoercher asserted that after voting the 15-cent rate, the special session passed a $12,009,700 budget bill and this should supplant the former action. The new budget represented a saving of $2,415,977 over regular session appropriations, he pointed out. He suggested a 12.5-cent common fund levy to "save the situation." This would bring the total rate to 23 cents. Present rate is 29 cents. In making his plea. Zoercher emphasized that he was not opposed to property tax limitation at $1.50, but that, first, revenues should be augmented by levies on intangibles and income and luxury sales taxes. Widening Bids Received Bids for widening and paving of East New York street between Highland and Arsenal avenues, were received today by the board of works. Contracts will b e let Wednesday and work will be started soon, board members said.

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Addresses Prison Parley

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6,000 March in G. O. P. Torch Parade in Irvington

Twice That Number Attend Saturday Night Rally at Old Butler Campus. Six thousand persons partic ; in the four-mile long old-time torchlight parade in the rally of the Irvington Republican Club Saturday night. At least twice that number attended the rally on the old Butler campus and heard Senators James E. Watson and Arthur R. Robinson and Raymond S. Springer, Governor nominee, defend the party record. All of the "props” which featured the political parades of fifty years ago were brought out to give color to the occasion. Led by Ivan C. Morgan, state chairman, and Bert Morgan, nominee for secretary of state, mounted on elephants, led the parade. Marchers carried torchers, wore red, white and blue oilcloth capes, and were followed by a team of oxen, decorated floats, and approximately 1,300 automobiles. The largest out-of-town delegation came from Fayette county, home of Springer, and Hancock county, home of Dale Spencer, Eleventh district Republican congressional nominee. Watson defended the record of the present administration toward agriculture and attacked Franklin D. Roosevelt for his criticism of President Hoover and his treatment of the farmer. Watson charged Roosevelt with not being explicit in his proposed remedies to aid the farmer, and declared that the Democratic nominee’s tariff policy would be disastrous to American agriculture. Springer also spoke.

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Miss Elizabeth Munger, superintendent of the Connecticut state farm for women at Niantic, Conn., spoke this morning at- the opening session of the sixty - second annual congress of the A m e r lean Prison Association at the Claypool. Her subject was "Effects on Discipline."

REGAL STORE SYSTEM TO BE MADE NATIONAL Plan Now Used Here to Include 150 Cincinnati Groceries. F. C. Buddenbaum, general manager of Regal Stores, Inc., Indianapolis, announced today that the initial step to expand the Regal independent plan of store operation to one of national scope was made in a transaction whereby nearly 150 retail groceries in Cincinnati and surrounding territory, will function under the system used here for seven years. National headquarters will remain in Indianapolis. Sale of the Regal franchise was made to the Arthur Baer Company of Cincinnati as the first step to introduce the system in that area. In the Regal plan, individually-owned retail groceries grouped together, to buy collectively. Other executives of the Regal organization will leave for Cincinnati to assist retailers there. Guy Humphrey, store display manager, will take charge of rearranging the 150 Cincinnati stores to conform to the Regal policy. P. B. Miller, sales director, will take charge of the opening sales program and continue an extensive advertising campaign from this city. Since the Regal plan was adopted here eight years ago it has been extended to 150 stores. Ogden to Speak in Washington Attoreny-General James M. Ogden will leave for Washington, D. C.. the last of this week to attend the national convention of attor-neys-general. He will speak next Monday night at the convention on "The Attorney-General as a Law Enforcement Officer.”

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STATE LEGIUN CHIEFS TO AID BGNUS BATTLE Intensive Fight for Payment at Once Is Promised by Commander Nelson. An intensive fight for immediate cash payment of the soldiers’ bonus will be made by the Indiana department of the American Legion, as mandated by the national convention at Portland. Ore.. William O. Nelson, Anderson, newly elected state commander, stated Sunday. Nelson and other new department officers were installed in their offices at the meeting. “Even critics of the legion's action in asking bonus payments should get some consolation in the fact that it will take the initiative of the movement away from a disorganized group such as visited Washington last summer," said Nelson. ‘The Legion's action places the fight in the hands of intelligent and representative men from each state, such as make up tfie national executive committee of the legion." Nelson's stand was backed by three former state commanders, Fred A. Wiecking of Bluffton. Floyd L. Young of Vincennes and Clarence A. Jackson of Newcastle. Denounces Economy League Jackson denounced the National Economy League, which has announced its intention of seeking a deacrese in benefits to' ex-soldiers. “I have it authoritatively,” Jackson declared, "that Admirad Richard E. Byrd, who heads this organization, draws not only retirement pay but disability allowance as well from the government. And he was able enough to fly over both poles, "Half a dozen leaders in the organization are getting $5,000 to $21,500 a year retirement pay and disability allowance,” he said. Officials were installed by Wiecking. Besides Nelson, those who took office were J. E. McCurdy of Laport, northern vice-commander; Maurice Harr of Princeton, southern vice-commander; Howard P. Robinson of Franklin, finance officer; Wilbur Donner of Greencastle, judge advocate; the Rev. S. J. Ryder of Ft. Waye, chaplin, and Karl Burkhardt of Peru, sergeant-at-arms. Seek 33,000 New Members. Ollie A. Davis of Tipton, state adjutant, announced that 33,000 new members will be the aim of the Legion membership drive this year. Bowman Elder, chairman of the finance committee, announced the budget for the coming year. It was adopted. Report of the national convention was presented by Dr. A. C. Arnett of Lafayette, national executive committeeman from Indiana. Date for the annual fall conference was set for Nov. 13 in Indianapolis. More than 800 post commanders will attend. HOSPITAL HEAD NAMED Mrs. Esther Fraser Appointed Manager of Methodist’s Hotel. Mrs. Esther Fraser, Princeton, has been appointed manager of the Methodist hospital hotel and tearoom department, which just has been moved from the sixth floor to the west wing of the main floor, where all rooms have baths.

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.OCT. 3, 1932.