Indianapolis Times, Volume 45, Number 26, Indianapolis, Marion County, 10 June 1933 Edition 02 — Page 3

JUNE 10, 1933.

‘GREAT GOLD CONSPIRACY’ * IN 1869 SHOWS MISUSE OF METAL IS PERIL TO NATION Jay Gould and Jim Fiske Started Out to Corner Nation’s Supply, Causing- ‘Black Friday’ and Panic of ’73. World recovery, it i* acrr'd, depends largely on the London conference. The I.ondon conference will turn on monetary stability, trade and war debts. All these hinge on gold, fiold hat never played an vital a role aa it doea now. This la the third of four artlclea on the moat romantic and moat sought - after of metals. BV WILLIAM PHILIP SIMMS Scrippa-lloward Foreign Fditor The "Great Gould Conspiracy’’ of 1869, led by Jay Gould and "Jubilee Jim" Fisk—a conspiracy which brought on the terrible * Black Friday’’ and led to the depression of 1873—shows what havoc improperly managed gold can wreak on a country and its currency. During the Civil war the United States found it necessary to increase its output of greenbacks. Their value, in terms of gold, rapidly fell. In 1864, they were worth only 39 cents, and it was some years before currency and gold were on a par. This gave Gould and Fisk, owners of the Erie railway, an idea. They would corner gold. There was little in the land—either inside or outside the United States treasury. By cornering it, they could clean up a fortune.

The story of their conspiracy is told in the musty volumes of the forty-first congress. Fiction is no more fascinating than the report of the committee headed by James A. Garfield, later President of the United States. Gould and Fisk, according to the report, carefully set the stage for the killing. They deliberately flooded the country with propaganda creating the impression that a rise in gold—and a corresponding depreciation of the currency—would raise prices, help the business man, the iarmer and the w-orker, and open up foreign markets for American products. Newspapers Tricked They tricked the newspapers into using their propaganda. They brought pressure on President Grant in the White House through his relatives. To get the support of a certain coterie of brokers in Wall street, they actually let it be understood that the administration itself was “corruptly interested.” "Indeed,” said the Garfield report, ‘the whole gold movement was not an unworthy copy of that conspiracy to lay Rome in ashes and deluge its streets in blood for the purpose of enriching those who w-ere to apply the torch and wield the dagger. “With the great revenues of the Erie railroad at their demand, and having converted the Tenth National bank into a manufactory of certified checks to be used as cash at their pleasure, they terrified all opponents by the gigantic power of their combination, and amazed and dazzled the dissolute gamblers of Wall street by declaring that they had in league with them the chief officers of the national government.” Plotters Play Card On Sept. 12, gold was selling at 135, the lowest in years. Currency was coming back. But on Wednesday, Sept. 22, gold had reachrd 140. The conspiracy was under way. On the Thursday before "Black Friday,” gold closed at 144, and that night the plotters met to plan the next day’s coup.

Big Moment Unmarred Woman’s Sentence Delayed So ‘Baby’ Can Graduate Without Publicity. BY JAMES A. CARVIN Times Staff Writer

THERE were many happy tears shed by fond parents during a recent high school graduation ceremony, but one mother who sat in the auditorium was shedding bitter tears of repentance. Unseen by the hundreds present, and unsuspected by the school companions of one of the graduates, the mother was overshadowed by an impending prison sentence.

Inevitable retribution had been stayed for the present, but in a few short days the penalty will be paid, and the payment may be started even as these words afe read. Indicted for false pretense and grand lai-ceny, charges which grew out of alleged use of others’ charge accounts in downtown department stores, the mother appeared in criminal court on the day set for her trial. No Shrinking From Penalty Before court opened with the eyes of the morbidly curious, who assemble there each day, focused on the defendants, the mother sought a private interview with Criminal Judge Frank P. Baker. "I don’t want to appear in open court,” she pleaded. "My daughter graduates from high school tonight,” and her friends mustn't know about me. What can I do?” There was no shrinking from punishment, no sobbing appeal for leniency—only the plea from a mothers heart that the sins of a mother might not be visited upon an innocent daughter. "If I am sentenced today, it will get in the newspaper. Everybody will know. They'll point at my baby and she mustn't have to stand that —she mustn't—she mustn't!” The Story Is Killed Wild sobbing ended the plea and choked further words. Assured that a plea of guilty would be entered on any date set by the court, Baker granted a continuance. Then he called courthouse newspaper men to his office to explain the circumstances. "I have done all I can. What do you boys say?” The reporters nodded assent, and mentally “killed" the story. That night the daughter was graduated with her class, while her mother smiled at her through tears. HE'S DARN POOR CROOK Bungles Whole Job; Overlooks Money, but Leaves His Shoes. Indianapolis’ most amateur and bungling thief made his bow Friday night. He succeeded in breaking into the poolroom of William Dwyer, 659 East Sixteenth street, but overlooked the hiding place of the money. To top things off, the thief left a pair of shoes and one sock behind him to make it a completely losing venture. Woman Attempts Suicide Miss Patricia Richards, 27, of 128 North East street, was removed to city hospital today, following an attempt at suicide by swallowing three poison tablets.

Gould, however, had got wind that Washington was suspicious, and might step in at the last minute and spoil everything by selling gold—despite attempted pressure on the White House to prevent that very thing. And he played his cards accordingly. Unknown even to his partners, he prepared to unload. On "Black Friday”—Sept. 24, 1869 —the conspirators posted bullies at the door of their headquarters. Revolt against the gold corner w>as in the air. They feared physical violence. The moment the exchange opened, one of the group's straw men began operations. Gold rose to 150. Then to 155 and 160. Finally it reached 164. New York w-ent mad. Failures were occurring every minute. From coast to coast business concerns in need of gold for legitimate purposes crashed. Wires carrying the news, says the report, literally "burned up.” At this precise moment, “Jubilee Jim” Fisk impudently sauntered into the "gold room” of Wall street, where, nonchalantly lighting a 50cent cigar, he offered any part of $50,000 that gold would reach 200! Facing ruin, a group of desperate New Yorkers pooled their resources and swuing into action against the conspirators. It was their onlychance. One of their number offered $1,000,000 at 162. Five minutes later he offered $5,000,000 at 160. The market wavered. Suddenly a rumor swept the street. Washington w r as selling gold. In fifteen minutes gold was down to 133. And Washington had sold only $4,000,000 worth —about all it could afford to sell, so little did it have! So ended “Black Friday.” But the results of the gold conspiracy went on. The depression of 1873 was one of the worst in the country’s history. Next: London and the Money Question.

ASK SIO,OOO FOR DEATH Administrator of Estate Files Suit for Auto Fatality. Damages of SIO,OOO for death of Virgil Van Arsdell in an automobile accident March 2, is asked in a suit filed in superior court five by the Security Trust Company, administrator of Van Arsdell’s estate. The suit alleges Van Arsdell suffered fatal injuries when he was struck by a car owned by Harry Hohlt. and driVen by Carl Hohlt in the 4000 block, West Morris street. The Hohlts and John Becker, a helper, are named defendants.

TRAFFIC DIRECTED BY POLICE DOGS

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Traffic halted at Ohio and Meridian streets Friday afternoon as pedestrians and autoists witnessed something new in traffic handling. Kayo and Buddy, German police dogs appearing at the Rivoli, took over traffic direction with their own signals and in their own manner. The photo shows one of the dogs flashing the stop sign on motorists. B. H. Purdy, ow f ner of the dogs, said they "can do everything but talk."

FLOWERS BRING HAPPINESS TO CITY’S AGED AND CRIPPLED

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“These flow-ers will not have lived in vain if they bring you one ray of the sunshine in which they grew—one breath of the fragrance from the world that is blooming out of doors.” With this message, 120 Girl Scouts today visited patients in lo-

RAINBOW DIVISION IN PARLEY HERE TODAY World War Veterans Gather for Annual Reunion. Convention of the Rainbow Division Veterans’ Association of Indiana was held in the Washington today. More than 200 World war veterans attended. Informal reunions of various units of the One Hundred and Fiftieth Field artillery, “Indiana’s own,” took place this morning. The annual business meeting was to be held this afternoon and a dinner tonight. Present state officers are Fred K. Myles, Ft. Wayne, president; H. H. Maxwell, Indianapolis, vice-presi-dent, and Stuart A. Tomlinson Indianapolis, secretary. Harmon W. Young is chairman of the Indianapolis chapter and John M. Taylor is general convention chairman. BABY'S BIRTH WINS PAROLE m MOTHER McNutt Takes Action When He Learns of Event. Motherhood has freed Mrs. Florence Nance, 26, Frankfort, from the Indiana women's prison where she has been serving a manslaughter sentence. A baby daughter was born to Mrs. Nance at Coleman hospital Wednesday. Learning of the birth Friday afternoon, Governor Paul V. McNutt paroled the woman. She was serving an involuntary manslaughter sentence, minimum to expire in February, 1934, for killing a Frankfort school boy with her car. Death freed Mrs. Daisy Harmon, 52, who was serving a life sentence at the prison for murder of her ward, Anthony Brabender, 13. She is said to have confessed, after conviction, that she killed the boy to collect $4,200 life insurance. She died at the Robert W. Long hospital and the body was taken to Gary by a daughter for burial. ART ALUMNI GATHER Annual Herron Supper-Dance Held; New Officers Elected. One hundred thirty alumni and guests attended the annual alumni supper and dance of the Herron Art school Friday night. Officers elected for the coming year are Oakley Richey, president; Charles Yeager, secretary ,and Cornet Wood, treasurer.

Girl Scouts Miriam Fatout (left) and Jean Meyer.

cal and city hospitals and institutions for the aged and crippled to distribute 2,064 bouquets of flowers donated by the Allied Florists of Indianapolis. Large bunches of roses, larkspur, delphinium and all the seasonable cut flowers as well as

Star Spangled Gold Badge of Office Is Presented to Pleas Greenlee;

PLEAS GREENLEE, secretary to Governor Paul V. McNutt, has joined the ranks of the “star spangled men” at the statehouse. He now carries a gold badge. It bears the title of his office and the great seal of Indiana. Captain Matt Leach of the state police, w-ho presented the badge to Greenlee with ceremony, said he thinks all state officials should carry such ensignia. The badge cost $8 (wholesale) and was bought by Leach, Harry McLain, state insurance commissioner, and Martin Lang, state food and drug department chieftain in the state health board office. MISSING LAD HUNTED 13-l r ear-01d Boy Lost Since Monday Noon, Parents Report. Mr. and Mrs. Edward Williams, 1627 Lawton street, today asked The Times to aid in the search for their

son, Jimmie Williams, 13, w-ho has been missing from his home since Monday at noon. Jimmie weighs about 85 pounds, has blue eyes, and blond hair. When last seen, he w-as wearing gray trousers, a blue turtle - neck sweater and black oxfords. His parents know- of no relatives whom he

may be visiting. Any one having seen an apparently homeless boy answering this description is asked to communicate at once with the parents. PLAN SUMMER SESSION Cathedral High Classes Will Start Work on Thursday. First summer session in the history of Cathedral high school wall open Thursday. Principal will be Brother Daniel, formerly of Reitz Memorial high school, Evansville, and Central Catholic high school, Ft. Wayne. Brother Richard, director of studies for the regular term, will continue in that capacity. Remainder of the faculty will be Brothers Aidan and Owen. Each pupil will be permitted to carry two subjects in which credit for a half year’s work can be earned. CHURCH PARADE TODAY Downtown March to Be Part of Roberts Park Celebration. As part of the Roberts Park M. E. church three-day home-coming celebration, a downtown parade was to be held this afternoon. A dinner w>as served on the lawm at the church Friday night, followed by a band concert and presentation of two plays. An all-day program will culminate the celebration Sunday. Dr. Edwin W. Dunlavy, Chicago, and Dr. Alpha H. Kenna, St. Louis, former pastors, will speak. ASKS SIOOOO DAMAGES Woman Slips on Ice; Charges City With Negligence. Charging negligence in permitting ice to remain on the sidewalk at 717 Orange street, Mrs. Elizabeth Sanders, 338 Sanders street, is suing the city and Mr. and Mrs. David M. Rathford for SIO.OOO damages. In the suit, filed in superior court two, Mrs. Sanders alleges she suffered a fractured left ankle Feb. 13, when she slipped on icy pavement in front of the Rathford home.

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THE INDIANAPOLIS TIMES

MILK PRICES TO BE FIXED AT MEETING Producers and Distributers to Convene Monday. Members of the milk producers’ committee from the Indianapolis area, which w-ill meet w-ith a similar committee representing distributors, w-as announced today. The meeting will be arranged, probably for Monday, by Lieuten-ant-Governor M. Clifford Townsend, state commissioner of agriculture. Both committees are empowered to act on prices and methods of handling milk. The producers’ committeemen are: Ellwood Morris, J. D. Littlejohn, Carl L. Hedges, John Bright Webb, and Leancer Browning. Guy L. Roberts is chairman of the distributors committee. THOUSAND FLOCK TO M'CLORE BEACH Times Plan Meets Success; County Authorities Aid. (Continued From Page One) are Tommy Miller, How-ard Krick and Bill Wiley. Miss Julia Landers, county safety director, lauded The Times for the plan and announced that places in the county, considered unsafe, have been marked. The Times urges that you swim in guarded or private pools, but NOT IN UNGUARDED SECTIONS OF EITHER EAGLE CREEK, FALL CREEK, OR WHITE RIVER. Life guards Jim Clark, Russell Mclntyre, Don Pittman, John Prokl, Bob Jarvis and John Compton will be on duty over the Aveek-end at McClure Beach. At Millersville, Dick Davenport and Alexander Sabo were to be on duty at noon today. Sunday Davenport and Sam Klezmer will be in charge there. The project of The Times and the recreation department is the first municipal attempt to give relief to thousands of heat sufferers. The guards who are on duty are working with the same view-—that; of giving residents an opportunity to swim with safety.

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growing plants were prepared by hundreds of willing hands for Indianapolis shut-ins. The flowers were prepared in the floral shop of Smith & Young. 229 West New York street. Men and women worked from 2 until 8 this morning to have the flowers ready.

BRIDGE PRIZES Expert suggestions by L. STRAUSS & CC.—"The Won Over One System.” Plain Colored Handkerchief Silks and Cottons pa and linens OUC

Cash for Trash Discarded Jewelry 18-Rt., SI 4.40 Or. 14-Kt., $11.20 Oz. I.ess Handling Costs Indiana Gold Refining Cos. 135 W. Market St. (Near Bus Sta.)

STORE! RELIABLE JHOEJ AT LOWEST PRICES

3% Paid on Savings Security Trust Cos. 11l North Pennsylvania Street

GRANT PERMIT FOR OPERATING CITY BREWERY Midwest Cos. to Open Old Capitol Plant on South West Street. Midwest Brewery Company, 408 Fidelity Trust building, was granted a manufacturer's permit today by Paul Fry, state excise director. The company will operate the old Capitol City brewing plant at 1254 South West street. Fry said. A permit previously was granted to the Capitol City Company, which was scheduled to use the name, but whose lease expired on the property, it was explained. N. E. Elliott was listed as president of the Midwest company. John J. Darmodv, president of the Home Brewing Company, which is rehabilitating the old Lieber brewery, 1300 Madison avenue, filed a $2,500 certified check for a permit today. Fry said he will investigate the company before the permit is issued. Should it be granted, it will be the fifth in the Indianapolis district. The only one in operation in Indianapolis is the Indiana Breweries, Inc. The other permit is held |by the T. M. Norton brewery at Anderson. As many as six might be possible here through redistricting, Fry said. Incorporators of the Midwest Company, listed with the secretary of state, are Frank and Edna Borghoff, Clarence C. Arnold and Nathan T. Washburn Jr., all of In- | dianapolis. GARNISHEE RULING NEAR Constitutionality of the state garnishee law may be decided by the supreme court. Judge Clarence E. Weir of superior court four has been ordered in a mandamus action to appear before the high court June 19, and show why he should not issue a garnishee writ asked by Mrs. Mary O. Benson. Weir declined to issue the writ and held the law unconstitutional.

Don’t Worry About Baby and Heat, Doctors Warn

Food Only Thing to Watch, They Say: Tepid Baths Are Recommended. When the mercury hovers around 96, do you w-orry about the baby? Don’t! For Indianapolis physicians, presenting a united front against the onslaught of the heat wave, say that worry is one of the most important things for mothers to avoid in the hot spell. In a bulletin Issued today by the Indiana State Medical Association, summer is referred to as, “the purgatory of motherhood,” because mothers are more apt to have trouble with ther children, especialy those in their second year, than at any other time in the year. “The chief cause of death and sickness among infants is improper food,” says the bulletin. Probably 25 per cent of the deaths of children under one year may be traced to intestinal diseases. The possibility of food becoming unfit for use in hot weather is greater, because at this time the chance of infection from disease germs is greater. “If the child does not retain his food and show-s signs of distress, it is w-ell to consult your physician.” Dr. Herman Morgan, secretary of the city health board, declares that summer is the healthiest season of the year if people will observe a few simple precautions. “Adults should eat the usual foods in moderate amounts,” said Dr. Morgan. “If one feels ill, it is well to keep in the shade. Heat

The ’Economical Voice of Million * iSoap Suds an A SUdd en Stops! tTNDEED, if it were not for those stops in the wash-day program : : : and the numerous trips upstairs to answer telephone calls : : i this business of doing one’s laundry would be over in ’most no time at all. * k A handy, inexpensive extension telephone in the basement is one sure cure for wash-day worries ;:; saves miles of steps ::: and adds the final touch of efficiency to the well-arranged modern household; Indiana Bell Telephone Company

1320'beat rare between Oxford and Cambrige. IVU'HenriiM. Stanley African explorer aM i Cinder of Livingscone, bornWl&fPi'ince cT WaUs Jreported CnOa^ed* endued.. IQ 53 -Prince ofwslfs reported en^a^cd. Vii mm i n_ii i mu — 1

MORGAN PROBE IS RECESSED Income Tax Quiz Passes From Senate Committee to Justice Department. BY LYLE C. WILSON United Presß Staff Correspondent WASHINGTON, June 10.—Examination of income tax records of J. P. Morgan & Cos. partners passed today from the senate stock market committee to the department of justice. Senate investigation of the House of Morgan came to a smashing finale Friday in revelation of the manner in which wealthy individuals may legally offset their income by sales of depreciated securities. A representative of the justice department was an almost unobserved spectator during the last day as Pecora questioned Thomas S. Lamont, William Ewing and Harold Stanley about their personal stock transactions. Let a Times Rental ad locate a tenant for your vacant property. Lowest cost in city, 3 cents a word. Ri. 5551.

prostrations usually follow- some indisposition. Take your sunshine in small doses.” Dr. Morgan feels that children should be watched carefullly in warm w-eather. He stresses the avoidance of raw fruits and vegetables in their diet and recommends tepid baths one to five times a day. “Above all, mothers should not worry in this w-eather. A heat wave is not as bad as a sudden change in temperature.” A noted pediatrician on the staff of Riley hospital told The Times that an electric fan, placed well away from the child, so that the breeze does not play directly on the infant’s body, is helpful. This physician advised cutting down the food of young children and feeding them plenty of liquids. He stressed the importance of a certain amount of sun, but not too much.

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Men’s Summer Suits Linen, Seersucker, etc. Laundered, 51c "-'X PROGRESS LAUNDRY

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ACCOUNTANT IS GIVEN YEAR AS TAX DODGE AID New Trial Is Denied by Judge Baltzell for Louisville Man. Henry J. Dorenkamp, 36. Louisvill* accountant, today was sentenced by Federal Judge Robert C. Baltzell to serve a year and a day at Chillicothe penitentiary on a charge of making a false income tax return. Convicted in connection with an income tax return by which F. Henry Prinz, New- Albany business man, is alleged to have evaded tax on SIOO,OOO, Dorenkamp today pleaded for anew trial. Prinz, indicted for evading the tax, was acquitted by a federal court jury. Denying the plea, Baltzell granted Dorenkamp’s attorneys permission to file a bond of $3,000 for the defendant’s release pending appeal.

With the return of keg; beer, we expect to see the “growler” industry doing a rushing business. tt n tt Tire prices have gone up twice since May Ist. Those who bought are 20 per cent ahead. The future points to further increases. Why wait for a flat or blow-out when you can not only save money by buying tires now hut be sure of safe travel for many thousands of miles. Let us equip your car with a complete set of Miller Gearedto-the-Road Tires now—• the lowest priced tires you can buv because they are GUARANTEED UN WRITING to go the farthest. Terms gladly arranged to fit your purse. e tt tt New York City lias 2,000 men who make a living by selling their blood for transfusions. That’s blood money. a a a No other method of lubrication can give you the same efficient greasing as the MOTO-SWAY system. It permits the service man to accurately locate places which you could only discover (through sound) while on the road. You can easily figure the difference this makes in the riding comfort of the car and in the saving on repair bills. MOTOSWAY lubrication is an added service that is not added to the charge. Y’ou don’t pay a cent more for this new-, better way of lubricating under actual road conditions. u a a We are open until midnight tonight and all day Sunday until 10 P. M. a tt n CHIEF TIRE CHANGER MILLER TIRE DISTRIBUTORS