Indianapolis Times, Volume 44, Number 234, Indianapolis, Marion County, 8 February 1933 — Page 9

Second Section

END ASKED TO GOVERNMENT IN BUSINESS Federal Competition Seen as Detrimental to Private Firms. COMMITTEE REPORTS Twoscore Fields Affected by U. S. Activities, Says Shannon Group. Jin Snipp*.Howard Xctctpapcr Alliance WASHINGTON, Feb. B.—The Shannon committee today urged congress to restore millions of dollars' worth of business to private hands by eliminating government competition in twoscore fields. Major recommendations in a 500page report to the house included: That the government stop manufacturing its supplies and buy them from private concerns, under contracts safeguarding union labor. Cessation of farm board crop Stabilization activities. Increases in parrel post rates to make the service pay for itself. Possible abolition of federal barge lines. Competition Held Ruinous That disabled war veterans be sent to private and municipal hospitals, where the government would pay for treatment by local physicians, surgeons, and dentists instead of building more federal hospitals. Government competition has reached such magnitude that it threatens to stifle private initiative, 1 the committee warned. It submitted its findings to the house after an eight-month investigation under the leadership of Representative Joseph R. Shannon <Dem., Mo.), the committee collected evidence from thirty-two cities. Additional recommendations included: 1. Restriction of federal-aided farmers’ co-operatives to the sale of products of their own members. 2. Discontinuance of the army transport service and the ship service of the Panama Canal railroad. 3. Award to private companies of munitions manufacturing and battleship building contracts. Advocates Supply Department 4. Establishment of a department of supplies and munitions under civilian control to make all purchases for all executive departments , and to remove military personnel “as far as possible from procurement and production activities:” 5. Centralization of all government architectural supervision in one office, with future policy calling for employment of private, instead of federal, engineers and architects for government construction. 6. Abolition of all army and navy exchanges and commissaries except in isolated areas. 7. Contracting with private firms for construction, reclamation, levee work, flood control and harbor and river dredging. Would F.nd Rand Tours 3. Discontinuance of tours by the marine band and its use at private functions. 9. Abolishment of army and navy uniform and saddle manufacturing plants and the army depot at Jeffersonville. 10. Establishment of a uniform government system of accounting for cost finding. 11. Elimination of government printing office manufacture of items of stationery business. 12. Allotment of “a fair portion” of the war and navy departments’ helium requirements to private concerns. 13. Co-operation by the government with the lumber industry. 14. Inclusion of “creative and administrative'' costs of production in the sale of government maps and lithographic work. Curb on Building 15. Abolition of government competition in sale of serum, virus and , other biological and pharmaceutical preparations. 16. That henceforth no department be allowed to erect and equip any new plants or re-equip old ones for manufacturing without specific permission from congress. 17. Discontinuance of paint and varnish manufacture at the Norfolk, San Francisco. Philadelphia, Charleston and other navy yards. 18. Abolition of prison commissaries and establishments of prison industries which will keep convicts busy at tasks not competing with private industry. 19. Abolition of the postoffice department's practice of printing return addresses on stamped envelopes. 20. No more salvaging of ships by the coast guard except in emergecies. 21. Abolition of private veterinary practice by farm board agents. Restriction on Laundries 22. Discontinuance of government warehousing, except for governmentowned goods. 23. Restriction of army and navy laundries, dyeing and cleaning establishments to service requirements. shall not be established in govern--24. That henceforth restaurants ment buildings at government expense. Members of the committee arc Representatives Shannon. Missouri, chairman: Cox. Georgia, and Pettengill. Indiana. Democrats, and Stafford, Wisconsin, and Rich, Pennsylvania. Republicans. Suicide Attempt Claimed Treatment was given Mrs. Elsie •'Young, 28, of 040 Kenwood avenue, Tuesday night after she was believed to have taken a large quantity of sleeping tablets in a suicide at .cmpt. Her condition is not serious.

Full T.pJispd Wire Service of the United Pres* Association

Roosevelt Turns Guns on Curry

John F. Curry

Farley Will Remain State Chairman, Keep Hands on Patronage. l > g f nitrd Pres * MIAMI, Fla.. Feb. B.—A definite indication that President-Elect Roosevelt will lend himself to a movement to break the power of John F, Curry, leader of Tammany Hall, was seen today in authoritative reports that James A. Farley would retain his position as Democratic state chairman in New York after he becomes postmaster-general in the cabinet in which will assume office March 4. Farley will remlan both state and national chairman, it was understood, and will retain his close 'control over maintenance of the political machinery of the Democratic party. As both New York state and national chairman, Farley would be able to exercise powerful control, through patronage distribution, over 1934 congressional races, it was pointed out. AGREE ON COST OF WATERWAY New York State to Pay $89,000,000 Toward Power Development. Fill Scrippu-Haward Xncspapcr Alliance WASHINGTON. Feb, B.—New York state engineers and United States army engineers have agreed that New’ York stats should pay $89,000,000 toward the cost of the proposed St. Lawrence power and waterway development. That amount was determined as the sum properly due to power, in a secret conference held here Monday between representatives of the New York state power authority and members of the board of army engineers. The remainder of the United States' share of the cost of the project, it was decided, should be assessed as navigation costs and borne by the federal government. The agreement, settling a dispute of several years, paves the way for action on ratification of the treaty with Canada early in the next session of congress. Senator Thomas Walsh <Dem„ Mont.), a leader in the fight for ratification, confirmed reports of the agreement. The Montana senator announced that the Borah subcommittee, of which he is a member, would meet Friday to hear the testimony of the engineers, and predicted that at the conclusion of the hearings the subcommittee would report the treaty back to the full committee on foreign relations, with the recommendation that it be ratified. The full committee, he said, will meet Wednesday of next week. 1.000 to Attend Parley More than 1.000 persons are expected to attend the annual conference of the Indiana Farm Bunau Feb. 27 and 28.

11 Per Cent Wine Urged Pending Dry Law Repeal

Not a Beverage, But a Food, to Be Theory of Congress Drive. BY MAX STERN Times Staff Writer WASHINGTON. Feb. B—A campaign for legal 11 per cent American wine is planned by a nation-wide organization of grapegrowing states. The wine men plan a drive on the special session of the new Democratic congress. While they will support the repeal amendment, they will advocate an interim winelegaliZation measure. t The proposed measure is to fit in under the eighteenth amendment on the following theory: Naturally-fermented and unfortified grape juice is not a beverage but a food. It invariably is drunk with meals in the home and in hotels. When drunk with meals it is non-intoxicating in fact. Its manufacture and sale contemplates no return of the saloon. In making an exception in favor of wire-making for home use Section 29 of the Volstead Act already assumes the nonintoxicating nature of wine. To give this theory more support, the wine proponents will confine their demands to dry wine, that is. wine that is not fortified with sugar or ale ho; end with an alcoholic content of not more than 11 per r

The Indianapolis Times

HUGE BUDGET ; BITE MADE BY ECONOMY AX Grand Total of 45 Millions Set for Biennia! Period of 1933-35. SLASH IS 18 MILLIONS State Institutions to Get Heavy Reduction in Appropriations. Indiana's state government for the biennial period 1933-35 will cost the taxpayers $21,961,166, a decrease of $4,000,160 from the 1931 biennial budget as modified by the special session. These figures were made public i today when the budget bill was introduced in the house of representaI lives. In addition to the direct levy, ini dependent funds are set forth in the budget bill as totaling $23,310,000, making the grand total of proposed expenditures $45,271,166. Under the 1931 biennial budget, as modified by special session cuts, the grand total was $64,143,685. the new budget thus representing a total estimated decrease in expenditures from all sources of $18,872,519.

Many Millions Cut The budget, as prepared by the state budget committee and approved by McNutt, is based on the present departmental setup. Institution total is set out in the new budget at $15,644,310. of which $7,120,000 goes to the four state schools. The departmental total is $6,316,856. The state highway commission, which comes under independent funds and not from direct tax, was cut from the special session budget of $36,600,000 to $21,900,000 for the two years. McNutt pointed out that he took the lead in slashing his own budget by $10,478. This, however, is not disclosed by the budget bill, since expenditures budgeted by Governor McNutt were paid by former Governor Harry G. Leslie from his emergency fund. Architect is Dropped Major items dropped include the S4O per diem consulting architect, who cost $7,000 for the last fiscal year, and an institutional investigator at $3,240. On the grounds that his two secretaries are going to handle more work, he gave each a raise. Pleas Greenlee will get $4,800 a year, where L. O. Chasey, Leslie’s secretary, got $3,560; Wayne Coy will get $3,200, where Gaylord Morton got $2,745. Under the McNutt budget, Indiana university will receive $2,980,000 and Purdue university $2,900,000. The special session gave Purdue $3,377,750 and I. U. $3,230,000. State Teachers college, Terre Haute, was cut from $786,500 to $640,000 and Ball State Teachers college, Muncie, from $740,000 to $600,000. Funds Are Combined McNutt's emergency and military funds are combined in the budget at $125,000 a year. The sum was set with the idea of emergency construction at state institutions, since all construction appropriations were stricken from the bill. The Governor's salary remains at SB,OOO a year and his mansion maintenance fund at SIO,OOO. The maintenance figure was set by the state budget committee, “without recommendation,” the Governor said. Major departmental slashes include all the offices under Secretary of State Frank Mayr Jr„ the total being reduced from $627,510 to $547,500. The health department was cut from $671,775 to $562,280; conservation from $566,377 to $351,400, and public instruction from $503,665 to $492,900. Reductions in penal institution budgets follow: Indiana state prison from $1,118,550 to $1,008,650; reformatory. $9lB - 500 to $743,000: penal farm. $409,000 to $356,300: and women's prison. $108,200 to $86,700. Other institutional reductions included the Central state hospital here, from $1,158,800 to SBOB,OOO. and the Ft, Wayne school and colony, $1,063,429 to $784,000.

cent. This would legalize chiefly four standard brands of wine, claret, burgundy, reisling and sauterne. While California as the nation’s leading grape-producing state had led the wine men’s battles heretofore, the coming drive will be led from the east. Organization plans now center in New York, the second largest grape state. Other states participating will be: Ohio, Illinois, Pennsylvania. New Jersey. Michigan, Missouri, Oklahoma, Alabama. Tennessee and Virginia. It is claimed that the new congress will have a wine bloc of at least 245 votes in the house. This bloc will work with the beer modificationists, but will carry the wine cause as a separate movement. The organization of grape states will, it is said, be headed up by a small general council. Chiefly active in local plans is Attorney Marion DeVries, a former congressman. DeVries wrote the wine bill for the present congress and has been lepresenting the California vintners. In the meantime. California grape men are being organized to save that state’s $350,000,000 grape industry. Wine men are not interested in the pending beer-wine bill, legalizing 3.05 beer and wine. They claim there is no such thing as 3.05 per cent wine.

INDIANAPOLIS, WEDNESDAY, FEBRUARY 8, 1933

Federal Sleuth Snared in Effoii to R uin Fellow Worker

Thi> j? the first of a series of inside stories of the United States bureau of investigation, that far-flung and little known arm of the government that has solved thousands of crimes. The 800 operatives, all college men, working in a secrecy that often leaves them unknown to one another, get convictions in 96 per cent of their cases under the departmental motto. “Get the evidence first." Because of the bureau’s secrecy, credit for arrests usually is passed on to local peace officers and this series, based on information from the files of the bureau of Investigation and other sources, tells for the first time the agents’ part in many famous cases. BY LOU VVEDEMAR United Press Staff Correspondent A PHONE rang on a desk in the United States bureau of investigation offices in Washington. New York was calling. Square-jawed J. Edgar Hoover, director, answered. He listened intently as United States Attorney George Z. Medalie outlined a grave situation. Raid after raid had been planned by the federal narcotic bureau. Raid after raid had failed to get evidence, suspects. There was a leak in the narcotic bureau. Major J. A. Manning, chief of the bureau, wanted aid in tracing it. Would the bureau of investigation help? Mr. Hoover’s answer was a terse affirmative. The case was not ordinary. It mattered much that the drug ring was operating unchecked; it mattered more that there was a traittor in the service of the government. The bureau of investigation is not connected directly with the narcotic bureau, nor with any of the other secret federal organizations; the secret service, the prohibition and customs services, and the intelligence units of the army and navy. Nevertheless, Mr. Hoover's pride of service was stung by the information that any federal operative would be false to the ideals of loyalty. tt tt tt WITHIN ten minutes Mr. Hoover had got in touch with his bureau’s office in flew York, and Special Agent J-37 and a squad of picked men had swung into action. First, J-37 checked, with Major Manning, the names of agents who had had previous knowledge of the futile raids. Two names recurred in each case. Major Manning had kept these men from advance knowledge of another big raid, there was no tipoff, and SI,OOO in narcotics was seized. One agent operated under the name of James Arnold. Earlier in his life he had been associated with a drug addict. He was reticent and uncommunicative. His service record was perfect. The other agent was Richard Nash, 35, handsome and homeloving. He occasionally played dice and took a drink. He made friends quickly. His record was perfect. Major Manning was unwilling to believe either one dishonest. Yet circumstantial evidence said that one was a traitor. As Major Manning’s preliminary investigation had progressed, a narcotic case witness told Medalie that Nash had offered to warn the dope ring of raids for a fee of $25,000. Then he got another report, Arnold had been asked to take SI,OOO and not identify one Pete Ellinois in anothe case. These conflicting reportts were laid before Special Agent J-37. His investigation brought another bit of information—that Arnold was playing a deeper game than Major Manning knew. He sought out Arnold. tt tt tt I WAS in a tough spot,” Arnold told J.-37. “I was going to tell Major Manning about the situation this afternoon. It’s true I've been offered money in the Ellinois case. What had I better do?” "Just go through with it,” said J-37. "Well be right with you.” . "You see," Arnold explained, "I

TAX-EXEMPT LAND TARGET AT HEARING Realtors Lead Attack: Bill Finds No Opponents. From $45,000,000 to $50,000,000 worth of property in Marion county is escaping taxation, supporters of a bill to limit tax exemption of charitable, religious, fraternal, literary, scientific and educational institutions told the ways and means committee of the house of representatives Tuesday afternoon. No one appeared to speak against the bill. Those heard in its support included Representative Thomas A. Hendricks iDem., Indianapolis*. one of its authors; Albert E. Uhl, president of the Indiana Real Estate Association; William H. Bcok, secretary of the Indianapolis Chamber of Commerce civic affairs committee, and Lawrence G. Holmes, secretary of the Indianapolis Real Estate Board. Under provisions of the bill, institutions would be taxed for all income producing property, exemption only such property as is used for their primary purposes. SCOUT TROOP TO HOLD PARENT-SON BANQUET Annual Event to Be Held Thursday at Northwood Church. Boy Scout Troop 78 will hold its annual parent-son banquet at 6:30 Thursday in the Northwood Christian church. F. O. Belzer, scout executive, will speak on ’’The Future of Scouting.” C. V 7. Sorenson will talk on “The Parents’ Po.nt cf View." Second class badges will be awarded Richard Kitchell and Richard Edwards. The troop will receive trophies won in the recent city-wide rally when it tied with Troop 18 for first place. Glenn F. Findley u; scoutmaster.

TRAITOR IN OWN TRAP

i _ f

know this Pete Ellinois. I recognized him when I was trying to make a ‘buy’ from him. He’s wanted as a fugitive from justice.” J-37 learned from Arnold the. various resorts Nash usually frequented. “I have an idea he'll want me to see him at a speakeasy in East Fifty-second street,” Arnold said. He also gave other adresses. To each of these J-37 sent a trusted man, instructed to be on watch during the afternoon and evening for Arnold, Nash, and other narcotic agents. The greatest care had to be used, as charges of bribery were under investigation and also because one federal department was investigating another. The trap worked. One of the Bureau's men was in the room when Nash met Arnold at the East Fifty-second street resort, and overheard his conversation— Nash—“l'm still interested in the Ellinois case.” Arnold—" Yes?” Nash—" When you see Ellinois at the restaurant, on Hamilton street, Brooklyn, failed to identify him. That will give him an out.” Arnold nodded his head. t: tt tt \ BUREAU agent planted by J-37 was outside the restaurant when Arnold and Nash and a third narcotic agent appeared. They went inside and stayed a short time. When they reappeared they were followed by another man. J-37 recognized him as Phillip

Senators Demand Veil Be Stripped From Lobbyists Names of registered lobbyists were demanded by the senate today, in a resolution providing that the secretary of state shall furnish all senators with a complete list of lobbyists who have compiled with the

registration law. Speaking in support of the resolution, Senator Chester A. Perkins (Dem., South Bend*, said that "members of the third house are getting thick around here, and senators should know' who they are, who they represent, and what they want.” Another resolution, providing that systems of taxation should be left to the assembly, was approved today. This calls for submission of an amendment to the state Constitution to voters at the first general election following the assembly of 1935, if the same resolution again is approved by that body. Advocates of an income tax system supported this resolution, claiming it will do away with all doubts as to whether an income tax now would be constitutional. Two measures affecting the 51.50 ! tax limit law' were advanced in the j senate. Both, its is claimed, would j strengthen the present law by proI viding power to make additional 'levies to pay debts of state units contracted prior to Aug. 8. 1932. the date the $1.50 law went into effect. These bills are necessary, their authors claim, to prevent courts from declaring the $1.50 law unconstitutional because it "impairs the obligation of a contract.” Providing that employers shall pay employes at least twice a month, a bill, already approved by the house, today was passed in the senate. A salary' reduction bill, which they claim will save from 58.003.000 to $10,000,004 in governmental units throughout the state, was introduced by the seven Republican senators. It provides for changing the decimal used in the salary reduction formula bill passed at the special session from .99 to .5 and thus add

Major J. A. Manning (inset) and J. Edgar Hoover

A. De Stephano, a former narcotic agent. At this point J-37’s report to Director Hoover reads: “De Stefano gave roll of bills to Nash. Followed them to speakeasy at 449 Pearl street, Manhattan, where another special agent was on watch.” It was Special Agent J-65 who saw the clinching piece of action in this case. Nash and Arnold stood at the bar, talking generalities. Nash reached in his pocket and drew out a roll of bills. Carefully, so gently that Arnold did not feel it, he dropped the money into his brother agent's coat pocket. Since the bureau was informed on every action Nash was taking, there was no reason to make an immediate arrest. So, not knowing that he was in the trap. Nash talked and boasted and gave information. He thought he "had something on" Arnold, so he spoke freely. tt tt tt BUT of De Stefano the bureau wanted to be sure. When he went to a telephone, J-37 touched him on the arm and ushered him to a waiting automobile. All that night, a gay man-about-town in appearance, rather than a government operative, Narcotic Agent Nash was kept close company by bureau men. At the same time members of the narcotic ring, whose names had been found on papers in Nash’s desk, were being arrested. When Nash came cut of a speakeasy in mid-town a little after mid-night J-37 stepped up to him.

another 25 per cent salary cut on all those paid more than SOO a year. The state administration bill to give the state purchasing agent control over purchase of supplies also was presented in the senate. Repeal of the 50-cent mortgage filing fee is provided in a bill reportd favorably today by th esenate finance committee. If adopted, this measure wipes out another of the “emergency laws" passed by the 1932 special session of the assembly. Repeal of the teacher tenure law, advocated by Senator Henry F. Schricker (Dem., Knox) was allowed to rest in the upper house Tuesday. Schricker said that he did not expect to call his measure for final vote, as another bill has been introduced in the house.

Emergency-Work Men Are Used on Garbage Routes

Criticism against increased number of workers on ash ancf garbage collection routes was met today by the sanitary board with the approval of a printed explanation that the majority of the workers are “basket men.” receiving no salaries. “Asa matter of fact, we have been forced to discharge twenty of our regular employes under the 1933 budget,” said Maurice E. Tennant, board president. “We have augmented out 1 depleted force by the use of men supplied from the office of the township trustee. The extra i crews have brought criticism from : taxpayers, who evidently believe these men are on the city payroll.” The board ordered the printing of tags which wi„i be placed on each

Second Section

Eiyered as Second-Class Matter at Indianapolis

“You are under arrest,” he said, “for bribery, attempting to suborn perjury and conspiracy to obstruct justice.” Nash wheeled on Arnold, started to shout hot words and quieted suddenly. "You can’t touch me,” he said. “I have too many friends.” "We’ll see about that,” said J-37. tt tt tt THE bureau's trap had been perfect. Before dawn the entire case had been cleared up, and inside of six weeks it was on trial before Federal Judge John M. Woolsey. Wires had been pulled for Nash vainly. John A. Wilson, assistant United States attorney, was assigned by Medalie to rush the case. Using the bureau’s reports, he drove home points against Nash and De Stefano. The jury was out nine hours and returned with a verdict of guilty against both. In sentencing Nash and De Stefano Judge Woolsey said: "This is a unique case—a conspiracy of one government agent to bribe another. It is so heinous an offense that I shall impose the maximum penalty—five years in Atlanta penitentiary and fines of $13,000 each.” The drug ring never has been so daring since then. The bureau investigation, working like a skilled surgeon against time, had cut a dangerous growth from the government service. And Arnold, congratulated on all sides, went home to his wife—with a salary increase. Next: The White Lady.

$1,250,000 LOANED BY HOMEIOAN BANK Entire Capital to Be Gone by May, Says Cannon. More than $1,250,000 has been loaned bv the Indianapolis Home Lean bank, and, at the present rate, the entire $8,000,000 capital will have been loaned by May. Rotarians were told Tuesday by Fermor S. Cannon, bank director. Cannon declared the home loan bank system is a conservative and fundamentally sound method of putting money into circulation in places where it will be of most value. "Eventually the home loan bank system will place the life blood of credit back into commerce.” he said. "It is the plan of the bank to circulate money in the hands of labor, material men, those who need it for taxes, and those who have been deprived of mortgage accomodations.”

ash can at the time the workers make their collection. The tags will read: “Because of drastic reduction of income, the board of sanitary commissioners has been able to maintain the regular collection of ashes and garbage this winter only through the use of a large number of “emergency-work" men as helpers. These men receive no wages, but perform this work in order to earn their allotments of food and fuel, given to them as unemployment relief by your township trustee. They faithfully are perClearance Week. Read the Want to your gratitude and praise. Except for their help, collections would be made only half a£ oftn as now.”

u.s. is SHOVED ‘ON SPOT’ IN DEBT PARLEY Europe in Position to Make the Terms: What Can We Do? CANCELLATION SOUGHT Can’t Be Collected With Guns: No Way Pay Can Be Forced. Herr is the fir*t of two articles outlining America’s difficulties in the coming war debt negotiations, showing that our government hav legal rights hut Europe is in a position almost to make the terms. BY WILLIAM PHILIP SIMMS Scripps-Howard Fnreisn Fditor WASHINGTON. Feb. 8— On the eve of the important war debt parley here, the United States finds itself in one of the mast difficult spots in its entire century and a half of history. Under British and French leadership, fifteen nations of Europe now are ready to launch a major drive for cancellation or near cancellation. and in the battle most of the ammunition—save our sheer legal rights in the matter—is in the hands of European coalition. Said Senator Carter Glass, Roosevelt administration leader: "Suppose European nations should tell us in plain terms that they are unable to comply with the settlement. Are we going to war to exact payment?” Even Capitol hill's most ardent anti-revisionists are forced to answer “No.” No Swapping, Is Edict Battleships are barred as collection agencies, and when President Jackson tried to make France pay the United States $5,000,000 a century ago, he found that economic reprisals would be a boomerang also. They would hurt us as much as they would hurt France. President-elect Roosevelt's plan is to make Europe give America some adequate exchange for reduction; Similar views are held by members of congress favorable to revision. Unless Europe is willing to give America economic or other advantages in exchange for reduction, they say almost unanimously, she may as well stay home and save steamship fare to Washington. Thoroughly aware, however, that there is little, if anything, the United States can do about it, if they “tell us in plain terms that they are unable to pay,” Britain, France and the other debtor nations are now in. a position almost to dici tate terms. Accordingly, British Cancellor of the Exchequer Neville Chamberlain categorically has stated, with full ! cabinet approval, that Britain does not propose to go to Washington for any “swapping deal.”

Nation Faces Isolation Bluntly, the position of Great Britain—and the dozen other naj tions lined up behind her—is first ! to wipe out the war debt without ; compensation of any kind to AmeriI ca, and after that to tackle trade barriers, maldistribution of gold and I other disturbing world economic and political conditions. If the United States refuses to ; give way on this point, the British : officially have intimated that steps | would have to be taken, the effect i of which would be virtually to isolate it both economically and po- | litically from the rest of the world. I By lifting their tariff walls against 1 American products, what little there i remains of our European trade I would disappear. This step would | be necessary, Britain said in her reI cent debt note to the United States, to give Europe the necessary favorable trade balance to pay the debts. Europe's Ace In Hole By further depreciatin g their | currencies, as British spokesmen j have said they deliberately might l have to do if the debt settlements ! come to naught, the debtor nations i could undersell us elsewhere in the world, notably in Latin-America, and in the Orient, and drive us out of the export business altogether. Meanwhile, in the Far East, apparently with the connivance of Britain and France, the leaders of the European debt coalition, Japan not is only getting a strangle hold on a large chunk of northern China and its trade, but unmistakably is roused against the United States as never before. In that direction we are out on a limb. Europe knows all this, of course, and she knows that America knows. All of which means that this situation, political as well as economic, will be an ace in the hole for Europe when she comes to America next month to play poker for the world’s biggest stakes. Next: The Ace Up Europe’s Sleeve. * DRAFT BILLS FOR NEW JOBLESS RELIEF SETUP Measures to Be Introduced in Legislature Soon, Says McNutt. Bills setting up new unemployment relief machinery for the state organization, headed by Fred Hoke, are being completed today and will be introduced in the legislature shortly, it was announced by Governor Paul V. McNutt. Under the McNutt program, Wayne Coy, under-secretary to the Governor, will handle the direct activities, formerly in charge of Dr. John Hewitt during the Leslie administration. Hewitt has been functioning under the new regime until now. Repeal of the 1932 special session poor relief districting bill affecting Indianapolis, which resulted in holding up of bond issues because of litigation and made necessary borrowing of federal funds, will be provided in a second bill to be introduced under the Hoke plan. A third bill would appropriate $29,000 to pay salaries and traveling expenses of a relief commission. 7