Indianapolis Times, Volume 44, Number 251, Indianapolis, Marion County, 28 February 1933 — Page 1

[s WAW D

CITY SKIP ELECTION MEASURE PASSED BY STATE SENATE Approval Won by Strategy of Rewriting Bill Originally Relating to Insanity Inquests; Vote Is 37-8. G. 0. P. LEADERS TAUNT DEMOCRATS Afraid of Municipal Ballot Test, They Declare; Draft Reaches Stage of Engrossment in House. By the process of completely rewriting a bill relating originally to insanity inquests, the Indiana senate today approved the administration plan of postponing city elections until the general election in November, 1934. The house advanced a like bill to engrossment one step from a passage vote. This surprise move by the forces of Governor Paul V. McNutt caught most antagonistic senators unprepared to register protests against postponement of city elections, which had been gathering supporters throughout the fore-

noon. Under suspension of rules,] the election moratorium bill,] after being amended to apply equally to election in Indianapolis of school board mem bers, was gaveled through by a vote of 37 to K. Only one Democrat. Senator Willard M. Anderson of Martinsville, voted in the negative. Senator L. L. Shull <Rop.. Sharpsville), minority leader, attempted to ridicule the bill, by saying that the “Democrats are afraid to allow the people to vote next November. Scoffs at Thrift Talk Shull also declared that all talk by Democrats of saving money by postponing the city elections was insincere. “You Democrats are afraid to let l the people vote, vou fear you will j be repudiated because you have failed to remember “the forgotten man." You now are returning to the dark ages of petty politics by adding length and confusion to ballots which already are so confusing vhat the voters hardly know how to use them.” Senator Anderson Ketchum (Dorn.. Greensburg>, majority floor leader, defended the measure, as i •wel las the speed with which it was considered, and claimed the only motive behind the bill was economy. “At least $300,000 will be saved to the taxpayers by throwing the city elections back to the general election of 1934,” Ketchum said. “The Democrats have inherited staggering burdens from the Republicans and this is just another step in our program to effect constructive economies wherever passible." School Provision Inserted Important change in the election holiday measure in the house was inclusion in its provisions of school commissioners, affecting Indianapolis. The amendment was offered by Representative Edward H. Stein, Bloomfield. Democratic floor leader. Effort to postpone the bill indefinitely. made by Representative Fied S. Galloway (Dem., Indianapolis*, a candidate for mayor,, was blocked easily. Another measure, fixing salaries of mayors in more than 100 Indiana cities, and reclassifying citiese on a population basis, was amended so that minimum salaries will be 80 per cent of the maximum, the latter only being fixed in the original bill. Representative John F. Ryan (Dem., Terre Haute) offered the amendment, and was supported on the floor by Representative J. Clynn Ellyson (Dem.. Hammond). Had Mayor at Mercy Ellyson pointed out that in case a council consisting of a majority ot one political party and a mayor of the opposing party were in office, the council might fix the mayor's salary as low as 5 a year. Two other one providing that the limit of taxation shall be 1 in townships, and that the present 1.50 limit in cities and towns shall stand, and one for issuance of anticipatory delinquent tax warrants, were advanceed to engrossment without amendment. Under provisions of the $1 law (tax adjustment boards are forbidden to reduce levies which are necessary to pay bonded debts or interest incurred prior to enactment of the $1.50 tax limit law in the 1932 special session. However, tax boards created by the 1932 act may raise the rate above $1 in rural districts and more than $1.50 in cities and towns when an “emergency" or "necessity” exists. The city salary measure divided cities into five classes, from 3.000 to 250,000 population, with eighteen cities under 3.000 being reduced to status of towns. Makes Radical Changes The measure would require mayors in the smaller towns to serve as city judges and places "ith the city clerk the duties of city treasurer. In third-class cities, office of city controller and city judge would be abolished and their duties transferred to the city clerk and mayor, respectively. In all cities, except Indianapolis, the works and safety boards would be combined, and the system of election of councilmen by wards would be abolished. The bill fixes maximum salaries only and allows councils to effect further reductions. Under the maximums fixed for Indianapolis, the mayor's salary is increased S3OO annually.

The Indianapolis Times Generally fair tonight and Wednesday; not much change in temperature; lowest tonight about freezing.

VOLUME 44—NUMBER 251

GHINESEfRONT LINE CRUSHED Japanese Smash Through, Drive for Secondary Jeho! Defense. BY MILES W. VAUGHN United Pres* Staff Correspondent TOKIO, Feb. 28. —The Chinese front line, extending from Kailu through Peipiao to Chaoyang, has been smashed completely, dispatches from the front said today. Chinese forces defending the line were scattered and demoralized, and the Japanese army is engaged in mopping up the last points of resistance. the reports said. The Japanese main army now is converging in a general sweeping movement against the Chinese second line of defense, which extends from Linhsi through Chihfeng to Lingyuan. The main attack on the second line of Chinese defenders of Chengtehfu may be expected before the end of the week. This line extends roughly 100 kilometers from northeast to southwest, running through Chengtehfu. Peiping Is Restless BY RANDALL GOULD United Press Staff Correspondent PEIPING, Feb. 28. —A Japanese force of 4,000 men has left Shanhaikwan to reinforce the attacking j army operating against Chengtehfu and the southern Jehol sector, ac- | cording to military information rej ceived at the Chinese headquarters today. A force of 500 Nipponese has been j left to guard the city at the extrem- ■ ity of the great wall. Peiping was calm today, but a i spirit of unrest has attacked t’/> ; Chinese residents, and they are dig(Turn to Page Seven) FORD'S SECRETARY IS MISSING: SEARCH ON Quiet Investigation" Being Made by Police, They Admit. j I'll rnil'll Press DETROIT, Feb, 28.—Detroit police ! disclosed today that they wpre I making a "quiet investigation" into the disappearance of Ernest G. Liebold, general secretary to Henry | Ford. The disappearance of the Ford ooial, active in the reorganization ! of two banks here, was reported at 2 a. m. Liebold was in his small coupe when last seen. All Detroit police and all posts of the Michigan state police immediately were supplied with descriptions of the missing man and his machine. Hoffman said. Liebold has been assisting Edsel B. Ford, son of the motor car manufacturer. in reorganiation plans | of the First National bank and the I Guardian National Bank of Commerce. for whose rthabilitation the Fords invested millions. , Liebold has ben secretary to Ford for twenty years.

Roosevelt’s Cabinet Is Analyzed as Industrious Group Who Will Work Well Together for ‘New Deal’

BY RAY TUCKER Times Staff Writer WASHINGTON, Feb. 28—Presi-dent-elect Franklin D. Roosevelts cabinet is recognized here today as a collection of workaday, but not unusually brilliant advisors, who will look to him for guidance on every policy affecting each individual's department. The most striking characteristic of the group as seen by Capitol Hill observers is its co-operativeness. There is no figure likely to dominate the President or the administration. in the politicians' opinion, as Charles Evans Hughes did in the Harding cabinet and Andrew W. Mellon under Calvin Coolidge. With the possible exception of Senator Thomas J. Walsh <D.. Mont.) and Senator Cordell Hull (D.. Tenn ), there are no members who have been before the national public in a leading role. These choices

Mrs. F. R. Picks Blue for Inaugural

1 ' | | ilpHl ' i||| s .ylf- 1 iim-nmmmutttttmm —Clip >■ 1..... Ml 'I

Inauguration will be a “blue” day for Mrs. Franklin D. Roosevelt! For the costume she will wear at the ceremony will be of blue shades that have been named for her, and above pictures, especially posed by her, show how she will appear when she becomes the First Lady of the Land. The gown (left) is of Eleanor blue erystelle velvet —a two-piece peplum dress with an unusual doubledraped surplice front. The long sleeves taper to tight cuffs.

AL SMITH HITS INFLATION TALK Only ‘a Shot in the Arm’ He Tells Senators at Hearing. By United Press WASHINGTON, Feb. 28.—Alfred E. Smith, more dignified and serious than in recent appearances at the capital, warned the senate finance committee today that currency inflation was only* “a shot in the arm” which would injure rather than help the country. Smith favored recognition of the Soviet government of Russia, saying "There is no use trading with them under cover.” "We're doing it under cover through the Amtorg,” he said. Smith urged enactment of a 1 per cent manufacturers’ sales tax to help balance the budget so that "the government would be able to throw in a white chip whenever it needed it." He favored lower interest rates on Reconstruction Finance Corporation loans, a speeding up of government functions, and a public bond issue to finance the building of public roads. Peering through gold rimmed spectacles at the committee mem(Turn to Page Three) DEADLINE ON AUTO LICENSES IS EXTENDED Fifteen More Days Granted Because of Banking “Holiday.” Governor Paul V. McNutt today announced extension for fifteen more days of she deadline for purchasing auto license plates because of the partial bank holiday in Indianapolis and other Indiana cities. The Governor said he feared hundreds of motorists having bank deposits would be unable to make the purchase before Wednesday, the original deadline. It is the third time extension granted motorists by the state.

for the state and justice departments respectively have made their records in congress, and the former is the best known personality because of his prominence in the Teapot Dome investigation and prosecution. Many have commented on the striking similarity between Mr. Roosevelt's crbinet and that chosen by Woodrow Wilson when he took office. The only notable personality in the latter's was William Jennings Bryan, and Mr. Wilson rocn developed into a super-President who completely dominated the men around him. More than any recent r resident, Roosevelt has assembled a group of personal f Hs around him. rhe only two with whom he has not been on close terms for years are Harold Ickes of Illinois, secretary of the interior, and Henry A. Wallace of lowa, secretary of .agriculture.

INDIANAPOLIS, TUESDAY, FEBRUARY 28, 1933

RATIFICATION CERTAIN, IS VIEW OF M'NUTT Prompt State Action on Repeal Is Seen by Governor. “Indiana is wet and will ratify prohibition repeal.” This as the view expressed by Governor Paul V. McNutt in commenting upon the bill now’ pending in the senate for a repeal convention of 400 delegates. The beer control bill, which he is waiting to sign together with the Wright law repeal, will checkmate all possibility of the return of the open saloon, McNutt said. This assures a favorable vote on amendment repeal which otherwise might fail, he declared. He also indicated that prompt action will be taken in calling the convention, after the bill is passed. EMBARGO IS ASSAILED Senator “Jim Him” Lewis Warns U. S. to “Steer Clear.” By United Press WASHINGTON, Feb. 28.—Warning the United States to avoid connection with any arms embargo against Japan and China, Senator J. Hamilton Lewis (Dem., 111.) said in the senate today that the Philippines “could be made the subject of immediate assault” if either country were offendede. Lewis said that not only W’as true of Japan and China, but “of their ally, Soviet Russia."

NEED CASH? If you arc short of ready cash at Hie present, take a look around your attic, maybe there is an old piece of furniture. a baby buggy, old organ. etc., that is just in the way, collecting dust. A for sale ad in The Times will convert quickly these unused articles into spendable cash. The cost of a Times Want Ail is ever so small, just 3 cents a word, with a liberal discount for prompt payment. Call RI-5551, or Bring Your Ad to Times Want Ad Headquarters, 214 West Maryland Street. Yes! You Can Char ye It'

The others have been intimate associates in New’ York, like James A. Farley, Frances Perkins and William H: Woodin, r they are old cronies from the days when he ~erved under Mr. Wilson as assistant navy secretary. He and ex-Goverr.or George ri. Dern of Utah, the selection for secretary of war, struck up a strong friendship during the pre-conven-tion and presidential campaign. Senator Claude A. Swranson iDem., Va.), who will Ivad the navy department. was ranking Democrat on the senate appropriations committee from 1912 to 1920. and frequently gave advice to the then hustling young assistant navy secretary. This relationship is counted on to lead to more effective teamwork than recent administrations have developed, and a lack of the friction which develops even in the best of all possible cabinets.

The skirt, straight-line, but flaring slightly at the bottom, is ten inches from the floor. The gown and coat, as well as the matching accessories, were made by Arnold Constable, New York, and the above pictures are copyrighted by that firm. The coat (shown right) is made of a darker shade of erystelle velvet, called Anna blue. It is threequarter length with shirred scarf collar and epaulet shoulders. The hat is of Anna blue Milan straw, and purse and pumps are of matching blue kid.

MAYOR GERMAX IS HOLDING OWN Special Oxygen Room Is Ordered Sent From N. Y. by Piane. By United Press MIAMI, Fla., Feb. 28.—The pneumonic area in Mayor Anton J. Cermak’s right lung apparently is remaining stationary, physicians said today. Hope for success in Mayor Cermak's battle to live rested heavily today on special oxygen apparatus, ordered from New York and Chicago. The Chicago device, which permits use of nasal tube for administering oxygen, arrived by airplane this morning. A special oxygen room was ordered by plane from New York. “Mr. Cermak is holding his own in his struggle to live,” said Dr. E. S. Nichol, one of the attending physicians, who added that the mayor should live "at least another twenty-four hours.” ‘•That adds to his chances for ultimate recovery, because of the strength he should gain in ttiat period.” Dr. Frank Jirka, son-in-law of the mayor, said the oxygen room had been ordered sent here because Cermak has chafed at the close confinement of the oxygen tent now in use. The larger room should have a favorable psychological effect, he said. It is expected Wednesday. WARSAW ATTORNEY DIES Father of Kosciusko Circuit Judge Is Taken at Home. By United Press WARSAW, Ind„ Feb. 28.—Richard Vanderveer, 65, an attorney, died at his Milford home, near here today. He is survived by his son Donald. Kosciusko circuit court judge, and a daughter Helen, South Bend school teacher.

This liaison w’as noted and commented on during the period when the group was being chosen. Not in years has so little real, inside information leaked out as to the per- j sonalities of a cabinet and the 1 places they would occupy. Until a few weeks ago, only two of the eventual nominees were agreed upon by the press and politicians as final choices—Farley and Miss Perkins. As between liberals and conservatives, the cabinet is thought to be well-balanced. Senator Walsh. Miss Perkins, Wallace and Ickes are regarded as of progressive tendencies in their respective spheres. Farley is difficult of classification, and the rest incline toward the conservative side. Senator Hull always has been an advocate of low tariffs and gen(Turn to Page Fivej

PARTIAL ‘CASH HOLIDAY’ TO END SOON, CITY BANKERS PREDICT; OPTIMISM RISES

Be Calm! City Makes Preparations to Tide Over Period of Bank Tieup.

THROUGHOUT Indianapolis today are thousands of residents who were paid Saturday and who placed their money in checking and savings accounts. They intended to write checks or make withdrawals during the week to avoid carrying that money with them over the week-end. So with but a few dollars for necessities, they find the “pocket bank” will last only through Wednesday. In the meantime, the banks’ 5 per cent withdrawal restriction continues and first of the month bills are looming. The man who didn’t cash his check may be able to, if some arrangement has been made with his employer and the bank or if his employer has sufficient funds to offset the restriction. u tt THE A. and P. Tea Company, with scores of stores in Indianapolis, today has made arrangements to distribute books to all established business houses. These can be turned over to employes by heads of companies, to assure purchase of food. The arrangement, in dollars and cents, then will be worked out between the employer and employe in future pay. In addition, both the Kroger Grocery Company and the Standard Grocery Company may take similar action. Your utility bills are payable by check, except in cases where the company believes it necessary to consider each case individually. However, the best plan is t? appear in person with your shsck and bill at the offices of the gas, light, phone or water company. In such instances, where there may be difficulty, you will be on hand to aid. Os course, if your check was in the mail Friday, it is acceptable. u a m DOWNTOWN and residential district merchants fully realize the situation which exists. Banking officials recommend that wholesale dealers continue to do business with retail concerns by accepting signed checks as guarantee of payment. It is the general understanding for the reputable customer that his merchant whether he be druggist or grocer, coal mah or ice man, milk man or bread man will assist in overcoming the temporary trouble. Checks may come back to you. If any does take it to your creditor and meet him face to face on the problem. Without exception it is reported both parties in these difficulties will make every effort to cooperate. Hourly Temperatures 6a. m 33 10 a. m 45 7a. m 34 11 a. m 45 Ba. m 37 12 (noon).. 45 9 a. m 42 1 p. m 47

Take It With a Smile That’s How the Crowd Feels About This Little Matter of Only 5 Per Cent. BY ARCH STEINEL THE blind beggar held up by the bank building Pt Pennsylvania and market streets, dug his grit-ty hand into his aluminum cup and counted 15 cents feelingly. “No so bad. Just as good as other days,” he muttered.

Miss Mamie, the little blond in the “underwear” department—you know the one who always winks her eyes unknowingly when you pass—was giving a sister clerk the lowdown: Now, I says to my landlady, I’ll pay you Saturday. And what do you know the old battle-ax took it with a smile and ‘That’s all right, Mamie.’ ” In the pawnshop of Uncle Abe on Indiana avenue, a watch was trying to be turned into a thin card of redemption. “Sorry” said Uncle as he fingered the watch, “it’s no good to me. You got to have a good watch nowadays to get anything.” ‘But 1 got to pay the grocer,” retorted a worried woman. ‘“Listen, sister! You’ve got to do nothing. Talk it over with him. He’ll give you time,” added Uncle w’isely. a a a SO it went throughout today in the city’s downtown area. Money! How about this check? Is it good? Has Mr. So and So got cash in the bank? Queries, good-natured ones, and questions of how to go about doing business. Lines in front of windows of paying tellers of banks were shorter than on Monday. Lines were lengthening at the receiving windows. Early shoppers and clerks going to work found themselves the butt of a joke at Meridian and Washington streets, when they observed a group of soldiers guarding an armored car. “Money coming in to be used . . . Maybe martial law has been declared . . . Naw, it may be a stickup's happened and they’ve called out the guard . . .” Then someone crossed the

Entered a* Second-Class Matter at Postoflice, Indianapolis

Momentary Shock Passes and Preparations Are Made to Proceed as Usual With Business and Paying* of Bills. TEACHERS WILL RECEIVE CHECKS Financial Leaders Declare No Need Exists for Sending Large Consignments of Money Here. An optimistic attitude was displayed in local banking circles today, as Indianapolis entered on the second day of its partial bank holiday. Belief was expressed that certain adjustments would be made permitting the brinks soon to rescind their rule of limiting withdrawals to 5 per cent of the balance as of Saturday. There is no limit on withdrawals of funds deposited on and after Monday. These funds are credited separately.

THREE STATES PROTECT BANKS Pennsylvania, Arkansas and Ohio Take Legal Action on Withdrawals. By United Press Three states, Pennsylvania, Ohio and Arkansas, authorized emergency banking status Monday night, hurriedly passing legislation which enables banks to limit withdrawals by depositors. In Maryland, bankers and legislators were unable to agree on the Jorm of similar legislation,-and the bank holiday declared by Governor Albert C. Ritchie, scheduled to end Wednesday, was expected to be extended until Thursday, to give time for legislative action. In Pennsylvania, both houses of the legislature passed and Governor Gifford Pinchot promptly signed a bill permitting the state secretary of banking to impose arbitrary limits on the percentage of deposits which any bank may pay. Two bills were jammed through the Ohio legislature at a night session, and Governor George White signed them at once. One authorizes the state superintendent of banks to limit withdrawals from any bank for sixty days if he considers the action necessary. The limitation may be extended for further sixty-day periods. The other, designed to speed liquidation of banks forced to close, permits the superintendent of banking to take charge of any institution after adoption of a resolution by the directors requesting such action. The Arkansas Legislature passed its limitation law Monday and the governor signed it Monday night. The clearing house association of Little Rock promptly authorized six banks there to limit withdrawals to 5 per cent for an indefinite period.

street and mingled his report of the doings with the crowd. Sheepishly, laughing at themselves, they dirfted into stores. “Just the Ft. Benjamin Harrison boys down to get their pay roll,” vouchsafed a bystander. a a a AT the city market, Rosie of the banana stand basked in the morning sun, stretched her arms, and remarked: “Just like any Tuesday morning.” The butcher and the baker were worrying Ed at the North Illinois street lunchroom. “They don t want to take my check. It’s good, too. The money has been put in since last Saturday. They'll get my business later—like heck they will,’’ he exclaimed. Heads of department stores cryptically said, “Were being liberal in the payment of bills.” a a a AT banks, officials rubbed pleased hands as they unsnarled minor difficulties and praised the pioneer spirit with which city folk adjusted themselves to the hold orded on checking accounts. The only untoward crowd on sidewalks was occasioned by a street hawker of stain-remover at Washington and Pennsylvania streets, who made an eight of diamonds become an entire deck. “Do that to my lunch money,” called one youth, and the crowd laughed. And so it was throughout the mile square. Everything was going on as usual. The beggar and the banker were having just as good a business day as usual.

HOME EDITION PRICE TWO CENTS Outside Marion County, 3 Cents

Good - natured acceptance of the plan by the public was reported today by bankers. It appeared that the withdrawal limitation would work far less of a hardship on the average citizen of Indianapolis than at first anticipated. Through arrangements made at a conference of city, ebunty, and school officials with clearing house officials, pay checks of various employes will be honored. The school city will issue pay checks to teachers and other school employes this week amounting to about $440,000. It was understood that the majority of private corporations have been given assurance by the banks that their pay rolls will be met. No efforts were being made,' it was reported, to obtain large sums of cash for local banks from outside sources, to cancel the limitation of withdrawals order. Large Firms Withdraw This would be merely “pouring sand in a rathole,” one banker explained, adding that the only reason for the limitation locally was to prevent injury to banks by withdrawal of large sums of cash by hoarders, thus crippling local banks’ liquid assets. One cause of the local action, it was reported, was withdrawal of large accounts in Indianapolis and Indiana banks by large out-of-state corporations, which feared Indiana would, follow the action of Michigan and Maryland in declaring banking moratoriums. There is no reason for a banking moratorium in Indiana at this time and will not be unless it is brought on by mass hysteria, local bankers asserted. There is no shortage of money here, it was said, banks of Indianapolis and other cities, generally speaking, being in sound financial condition. However, it was added, the banks can not stand the continuous punishment of steady withdrawals by pessimistic depositors. Postal money order clerks at the federal building were rushed Monday and today, issuing money orders to cities in Indiana and other states where temporary banking restrictions prevent or make difficult the cashing of checks. Luther F. Symons, state banking examiner, said reports to the state banking department indicate more than one-third of banks In the state have adopted the 5 per cent limit. Complete Report Soon Symons expects to have a complete report on the situation by this afternoon. The state met its regular pay roll today but employes were cashing most of their checks at the treasurer's office. The checks are good in any bank since the money is drawn a little from each of the state depositories. Muncie bankers announced they would place no limit on withdrawals, despite the fact that such action was being taken in surrounding counties. The shortage of cash apparently has resulted in practically no interference with the normal business operations in Indianapolis. Public uitility companies and many other firms, confident that the limitation will be withdrawn or modified soon, were accepting checks from their patrons. Coupon Books in Groceries Chain grocery companies were preparing to assure patrons of needed food by supplying coupon books for groceries to some firms, to be distributed in lieu of cash, or by other methods. Western Union and Postal Telegraph officials reported heavy demands for money order payments here Monday and today, particularly for company pay rolls. Both firms reported they have sufficient cash available to pay all telegraphic money orders. SUCCESSOR TO HULL IN SENATE IS NAMED Secretary of State-Designate Resigns, Governor Announces. By United Press NASHVILLE. Tenn.. Feb. 28. Governor Hill McAlister of Tennessee today announced receipt of the formaf resignation of United States Senator Cordell Hull of Tennessee. secretary of state-designate : in the Roosevelt cabinet. The Governor simultaneously anj nounced that he would appoint as j Hull's successor Judge Nathan L. i Bachman of Chattanooga, who will take office March 4.