Indianapolis Times, Volume 45, Number 44, Indianapolis, Marion County, 1 July 1933 Edition 02 — Page 1

CITY LAWYER INDICTED AS BANDITS’ AID Sol Bodner Is Accused of Receiving From Gang of Bank Robbers. CHARGES ARE DENIED ‘Whole Thing Is Lie,’ Says Attorney: Bond Is Set at SI,OOO. (Flrtur* on Fa** 3) Charted with being a receiver of stolen goods from a bandit gang ; engaged in bank and filling station ; holdups, So! C Bodner, 5429 Central avenue, was indicted today by the Marion county grand jury. "The whole thing is a lie,” Bod-; ner said when he was arrested in his offices on the twelfth floor of the Meyer-Kiser bank building. 'l'm surprised the grand jury; would accept the word of two con- ! victed criminals to blast a proses- j sional man's reputation," Bodner | continued after the capias was read to him. ' The bank robbers are un- j mitigated liars.” No mention of bank robbers was contained in the capias which specifically charged receiving stolen I good?, it was pointed out to the attorney. "I know it,” said Bodner.” but i the rumor has been going all over j town and I've heard it.” Bond Fixed at Si.ooo Bodner's bond was fixed at SI,OOO and arraignment was set for July 5. j He provided bond shortly after his arrest,. The receiving stolen goods indictment with the goods set forth as $l5O of the funds stolen from the Burlington State bank, was based on information supplied the grand jury by A1 G. Feeney, director of the state department of safety, and Captain Matt Leach of the state poi lice. The information was obtained i from two alleged confessions by I two Indianapolis clients of Bodner who are said to have admitted a series of roberies, along with other members of a gang. They are Harold Keil, 1209 North Mount street, and John Stroll, former Indianapolis police sergeant. The alleged confessions charge that Bodner knew of and discussed the robberies with Keil and Stroh and took much of the loot for attorney fees. Another Lawyer Implicated The purported confessions also | allege that Bodner burned a coin I sack in his office with the name of 1 the Burlington State bank on it.: Thomas .Howard and Louis Reece. Indianapolis, were convicted of participation in the Burlington robbery and sentenced several weeks ago in Carroll circuit court at Del- 1 phi, Ind. Their convictions were on evidence supplied by Keil and Stroh The alleged confession of these two men also implicates another attorney and prominent police court bondsman, according to Leach, but testimony is not sufficiently strong for arrests. Handled Unsuccessful Defense Leach'says that the confessions charge that Bodner talked to Keil and stroh in his office after the Burlington bank job and admonished them for failing to disguise themselves. Bodner, according to the alleged confessions, advised them that “no matter where you get into trouble, we will get you out." Bodner handled the unsuccessful defense at Delphi for all four bank robbbers Bodner is well known as a police court lawyer and was one of the four attorneys who recently had the lion's share of business in one of the municipal courts. Claimed Attorney Got Loot Keil confessed to bank robberies at Reynolds, Morgantown twice, Centerville, Kempton and twice at Burlington. He also confessed folding up several Indianapolis filling stations and the Buckeye Finance Company office here Keil's confession estimated his total share of the loot from various jobs at about $7,000, most of which he gave to Bodner, he is said to have stated. Stroh, the former police officer, also is said to have confessed to numerous robberies and payments to Bodner. according to Leach. LAKE RACE IS FEATURE Camp Gridley Cutter Crew to Oppose North Judson Sea Scouts. A cutter race between crews of Camp Gridley and the North Judson Sea Scouts will be held on Bass Lake as a feature of a July 4 celebration. Boxing bouts and fireworks will also be on the program. Times Index Beer Return—Has It Helped— A Series 10 Book-A-Day 9 Bridge 10 Broun Column 4 Classified 7. 8 Comics 9 Conservation 10 Crossword Puzzle 7 Curious World 7 Dietz On Science 10 Editorial 4 Financial 7 Herblock Cartoon 4 Hickman Theater Reviews 2 Obituaries 3 Radio 7 Serial Story 9 Bports 6 Vital Statistics 7 Woman's Page 5

The Indianapolis Times Slightly cloudy; local showers tonight and Sunday; somewhat lower temperatures. j? 33

VOLUME 45—NUMBER 44

Heads of 2 Closed Banks Are Cleared Grand Jury Report Finds No Acts of ‘Criminal Nature.’ Officers of two defunct local banks under investigation were absolved of any acts of criminal nature in the final report of the Marion county grand jury filed today. For several weeks the grand jury has been probing affairs of the State Savings and Trust Company and the Washington Bank and Trust Company, following sensational charges made in circuit court hearings. The State Savings investigation was ordered by Prosecutor Herbert E. Wilson, following receipt of letters sent by Circuit Judge Earl R. Cox to Wilson and Criminal Judge Frank P. Baker. In his communications, Cox charged that documentary evidence showed that false statements had been given by bank officers, which, if presented in their true light, would have closed the institution tw r o years before its receivership. When informed of the grand jury report, Cox made no comment, ex(Turn to Page Three) JAKE FACTOR IS KIDNAP VICTIM More Than $200,000 Ransom Believed to Be Asked by Abductors. By l tiifrd Prrs* CHICAGO, July I,—Certainty grew r today that the kidnapers of John (Jake the Barber) Factor, known variously on two continents as.a multi-millionaire stock broker and super-swindler, have contacted his attorney and demanded a ransom of $200,000. While police fastened on the Touhy gang, most vigorous gunmenracketeers of the post-Capone era, as the most likely perpetrators of today's pre-dawn abduction at the Dells, suburban Monte Carlo, Gale Gilbert, attorney, began an audit of Factor’s valuable securities. Estimates of the ransom asked ranged from SIOO,OOO, the amount demanded when the former west side barber’s son Jerome was abducted some two months ago, to $1,000,000. Ironically, Factor was seized on his first pleasure excursion in many weeks and on the first occasion he had left the protection of the downtwn business section. A notorious lover of gambling and fine food, the suave, dapper stock promoter took a chance and went to the Dells with his wife and Jerome and another family. Since his son was freed by kidnapers that police believe had nothing to do with today’s abduction, Factor had been unusually wary. His laughing ‘ I'm not worried about kidnapers” proved a false note. He was snatched from an automobile by nearly a dozen armed men, while Mrs. Factor, Jerome and A. L. Epstein, attorney, and those with him looked on.

lieer Facts What is the truth about beer? Has the return of legal brew produced expected revenues, diminished bootlegging, crime and racketeering, and brought better business? The NEA service has conducted an impartial nationwide survey for The Times, in an attempt to find answers to these questions. The results are offered in four stories, dealing with various sections of the country, which should be of especial interest in view of the repeal elections now being held. The first story appears today on Page 10.

Payment of Gross State Income Tax Is Due Today

First installment of the grass receipts, income and sales tax. is due today. It must be paid at the statehouse on or before July 15, to avoid penalties. Blanks can be procured at the various automobile license branches and numerous business houses throughout the city. Each retail merchant and individual must add up all income for May and June, deduct $166.67, and pay 1 per cent tax on the balance. The deduction represents onesixth of the SI,OOO annual exemption. All moneys are taxable as grass receipts, except revenue from the United States government. Wholesalers and manufacturers pay one-fourth of 1 per cent. Until ruling by the supreme court the latter will only pay that amount on state business, interstate commerce being exempt for the present by ruling of Collector Clarence A. Jackson. Jackson has an army of employes ready to collect the tax in the house of representatives. New offices ..re being equipped in the former state library quarters. It has been estimated that when all tax collection agencies for the state are assembled in a single group almost an entire floor will be occupied. Jackson has been busy for some . months getting ready for the huge

NEW BANK TO OPEN WITHIN NEXT 2 WEEKS American National Will Release $10,000,000 to Old Depositors. SUBSCRIBE STOCK ISSUE Half of Restricted Funds to Be Available for Use at Once. Within the next two weeks, opening of the new American National bank will release approximately $10,000,000 to depositors in the Fletcher American National bank, it was announced today. Restricted since the national holiday, the deposits will be available under reorganization plans which culminated Friday with the ' subscription of the final blocks of a $1,800,000 stock issue. Work is being started today on checking stock subscriptions and depositors’ consents to the reorganization program, which releases 50 per cent of deposits immediately, and holds the remainder pending liquidation of the Fletcher American assets. Open in 10-Day Period Payment in full for stock subscriptions is necessary before the government, through the reconstruction finance corporation, matches the issue with purchase of-$1,800,000 worth of preferred stock and authorizes a $1,200,000 loan, secured by bank assets. Faced with a mass of organization details, officials declared today that every effort would be made to open the new bank within a ten-day period. Election of npw officers and anew board of directors is one of the important details to be consummated. / ppointment of Frank C. Bopp as conservator of Fletcher American assets, announced officially Friday, is an important step already taken, officials said. Half of Deposits Available Regarded as state-wide in importance, sale of the entire common stock issue without an extension of time was hailed by reorganization officials as indicative of improved business conditions and increasing confidence. Opening of the new bank will affect 288 state banks in eighty-five counties of the state, all of which had deposits with the Fletcher American. Half of their deposits will be available with the reopening, and are expected to aid materially in relieving strained financial positions of money of the smaller institutions. Bop in Custody of Assets Prediction was made that a number of the state banks will be able to attain a Class A rating with the released deposits. During the reorganization period, the Fletcher - American will continue its operation on the restricted basis which has applied since the bank holiday. Liquidation of $11,740,000 in “frozen assets” on a basis of 58 per cent, will permit payment of all obligations in full Fletcher American officials said today. The assets will be in custody of Bopp. as conservator, and Lucius French and Roy C. Shaneberger, trustees, who will conduct the liquidation and repay the government loan. DEPARTS VIA WINDOW Woman Leaves Party Quickest Way; Leg Cut. When Muss Louise Bason. Negro, 20, of 38 '2 West Tenth street, wants to leave a party she does not stand on ceremony. A party at which she was a guest Friday night got too rough, she told police, so she kicked her way through a window. At city hospital she was treated for severe laceration of the left leg.

collection task and making speeches to business men advising them to be sure and pass the tax on to the consumer. He has pointed out that even J. P. Morgan would have to pay the tax if he lived in Indiana, since there are no legal loopholes. Nevertheless, many taxpayers plan filing protests with their returns in case the law finally should be declared unconstitutional. Leroy Sanders, legal counsel for the tax division, reported today that protests are useless and unnecessary.

Roosevelt Moves to Build Up U. S. Defense

BY WILLIAM rHII.IP SIMMS . SrriDDs-Howard Foreign Editor WASHINGTON. July I.—A shift in American foreign policy startling in direction and import, and world-wide in significance, is now in full swing under President Roosevelt's leadership. 1. Confronted by the almost certain failure of the Geneva aim* conference, the United States plans to abandon its attitude of watchful waiting, and proceed to strengthen its own national defenses. 2. Its every effort in the direction of consultation and co-opera-

INDIANAPOLS, SATURDAY, JULY 1, 1933

Famous Flier Hurt in Plane Crash

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Upper—Front view of Russell Boardman’s speed plane a moment after the famous flier had been lifted, unconscious and critically injured, from underneath the ship. Center —Rear view of the plane. Lower Left—Boardman, snapped as he rested a moment while service crews refueled his plane for the fateful takeoff.

FLYING ARMADA AT AMSTERDAM Italian Air Fleet Loses Seaplane in Crash: Fear One Dead. By United Press AMSTERDAM. July 1. —Commanding the greatest long distance air armada in aviation history, General Italo Balbo led the Italian squadron of twenty-four planes to a landing on the Dutch coast today, ending the first stage of a flight to Chicago with loss of one plane which crashed. The seaplane, Udini, which capsized and partly was submerged with one man missing and apparently dead, was the only incident to mar the perfect flight in “V” formation from Orbetello over the Alps to Amsterdam. The squadron roared along the coast line just before 1 p. m., the planes within a few minutes of the leader, and keeping in close formation. At 1 p. m. the lead plane dipped, and touched the water. Then plane after plane settled smoothly to the surface so that within fifteen minutes the entire squadron—twentyfive planes counting one supply craft—had landed. But the Udini came down in the center of the fleet. It hit the water hard and fast. There was a crash of splintering wood, and the plane nosed over. Four of the crew of five were rescued. The squadron will start the second stage of its flight Sunday morning, with Londonderry, Ireland. as the next scheduled stop, General Balbo said today. HOURLY TEMPERATURES 6a. m 76 10 a. m 87 7a. m 78 11 a. m 92 Ba. m 83 12 (noon) .. 91 9a. m 86 Ip. m.... 91

tion being frustrated by the ceaseless bickering of a war-debt Europe. the administration will warn Europe that if she refuses to listen to reason, and her everlasting feuds lead to war, she can stew in her own juice. 3. Economically speaking. the United States will try to make what is right and what is fair the standard of its foreign relations, but it will insist that others hold to the same standard in all their dealings touching the well-being of the American people. This last applies to the coming war debt negotiations here, if and

Lower Right—Boardman taking a drink of water during a chat with his friend and competitor, Russell Thaw, who had been forced out of the race a short time before when his Gee Bee Sportster tipped on its side as he was landing, damaging the tip of the left wing. During the conversation, Boardman promised to keep Thaw in touch with his progress by wire at each stop.

BATHER DROWNED IN RIVER: MANY LOOK ON Unidentified Man Goes Down Here Without Giving Outcry. An unidentified man wearing an orange colored bathing suit was drowned today in White river, near Henry street, while many bathers watched. Harry Passwater, 54, of 770 West Henry street, told police that he saw the man sink in the middle of the stream without an outcry. Police are dragging the river for the body. CLUB IS SET Breakfast Group to Hold Session at Rescue Mission. The Breakfast Club meeting in the Wheeler City Rescue Mission will be sponsored Sunday by E. A. Schwartz of Buffalo, N. Y. Schwartz is a former resident of Indianapolis. Members of the mission staff will conduct the services.

Some Relief From Heat Is Forecast for Sunday

The city gladly said farewell today to one of the hottest Junes it has experienced, with the prospect of slightly cooler weather arriving for tonight and Sunday. Week-end visitors to the southern section of the state are likely to encounter the same heat wave i that has stifled Indianapolis for days, according to J. H. Armington, United States weather observer. The central anc ; northern porj tions of the state aie the more likely to get the benefit of lower temperature, according to Armington. The forecast for the week-end is: j “Slightly cloudy; local showers to- : night and Sunday; somewhat lower j temperatures.” Friday saw the June 30 heat recI ord equaled when the mercury touched 97 twice. A somewhat I freakish thunderstorm brought a 4degree drop in an hour, but the

when held under White House auspices, as well as to what takes place at London. Recent world trends, in Europe and Asia, are said to have converted the administration to the belief that America best can help the world as well as herself, by-be-ing practical—by facing the situation as it is, instead of as we would like it to be. The American policy of refraining to build anywhere near up to 1 the naval treaty quota, for example, j is cited as a total failure as an international gesture. 1 Instead of influencing other pow-

STUDEBAKER CO. HEAD ENDS LIFE Albert Russell Erskine Puts Bullet Into Heart at South Bend. By United Pi rns SOUTH BEND Ind., July I.—Albert Russell Erskine 62-year-old automobile magnate, shot himself to death today. Erskine ended his life with a pistol, shooting himself in the heart. He was president of the Studebaker Corporation. Erskine apparently had shot himself sometime between 9 and 10 this morning. The body was found by his son, Albert Russell Erskine Jr.

mercury bounded upward again to 97 at 3:30 p. m. Cloudburst at Rushville By United Press RUSHVILLE, Ind., July 1. A cloudburst accompanied by cyclonic winds climaxed two weeks of hot, dry weather in Rushville and vicinity late Friday, destroying crops and causing property damage estimated at more than $75,000. During the four-hour storm, houses and business buildings were unroofed, streets were flooded, telephone communication was disrupted and electric lines were blown down. No one was injured. Buildings unroofed included the Rushville Furniture Factory; a twostory business and apartment building downtown; American Legion hall, and several smaller structures.

ers to follow our example, it appears, Uncle Sams pleas for tonnage reduction were attributed to avarice. He was too stingy to build up to quota. In contrast with this picture, it is recalled that in 1521, when the United States suggested reduction and limitation of battleships, the other nations hurriedly complied. The United States then had, built and building, the greatest fleet of dreadnaughts ever conceived by man. A few weeks ago the President let drop the hint that unless the rest of the powers did something about

Entered * Second-Class Matter at rostoffice. lndiauapolia

ATLANTIC FLIER IS INJURED IN CRASH AT CITY AIRPORT Russell Boardman Suffers Skull Fracture and Probable Broken Neck and Lung Puncture in Race Accident. YOUNG THAW ALSO IN CRACKUP, Third Aviator Trying for Bendix 510,000 Purse Is Forced Down in Wheat Field Near New Bethel. Russell Boardman, trans-Atlantic flier, was injured critically at municipal airport here today when his Gee Bee Sportster racing plane crashed as he was taking off. after refueling here, in the Bendix Transcontinental air race. The famous pilot, who with John Polando, flew non-stop to Istanbul, Turkey, in 1930, was rushed to city hospital where his condition was regarded as grave. He sustained a skull fracture and probably a broken neck and lung puncture. Both wrists and his shoulder bone were broken. His chances for recovery were said to be slight. Boardman landed here at 8:14 a. m., and twelve minutes later, after taking on 200 gallons of gasoline, roared down the southwest runway.

As he neared the end of the concrete runway, a horrified shout arose from the field attendants and several hundred spectators. After leaving the ground and reaching an altitude estimated at less than twenty-five feet, the tricky little racing plane turned upside down, sideways and landed on its top. pinning Boardman in the enclosed cockpit, and sliding several hundred feet in a cloud of dust. Field attendants rushed to the accident scene in cars and lifted the tail of the plane, which did not catch fire, despite its hot exhaust pipe and heavy gasoline load, and Boardman, unconscious, fell out of the inverted cockpit. Plane Badly Damaged He was given first aid on the field by a physician, while awaiting arrival of a city hospital ambulance. Kis plane, which has been described as “all engine,” having an 850-horse power motor, short, stocky fuselage and clipped wings, was damaged badly. Edward M. Johnson, airport assistant superintendent, said apparently the plane stalled, not having enough speed when the wheels left the ground, and because of the tremendous torque created by the powerful motor, executed a snap roll, flipping over on its back and falling. Racing planes of this type, with heavy motors and small wing surface, frequently are difficult to control at relatively low speeds. Officials of the airport weather bureau said that just as Boardman was taking off, the 14-mile-an-hour wind veered from west by southwest to west by northwest, possibly a factor in the accident. Indiana Jinx to Race Indiana proved a jinx to the race, three of the six entrants who left Floyd Bennett Field, N. Y., for Los Angeles and a SIO,OOO purse, being forced out of the race here. A short time before Boardman's accident, Russell Thaw, flying another Gee Bee sportster, was forced out of the race at municipal airport when his plane tipped while landing to refuel, damaging a wing. Thaw is a son of Harry K. Thaw, defendant in a celebrated murder case several years ago. He was uninjured. When his team mate, Boardman, was injured, Thaw gave up efforts to repair his plane, and rushed to Boardman’s side at city hospital. Lee Gehlbach of Patterson, La., telephoned to the local airport from New Bethel, Ir.d., that his plane had been forced down in a wheat field a miles out of the town, and the propelior and one wing were damaged. Turner Arrives First Gehlbach, flying at an altitude of 4,000 feet, was forced down when he tried to switch from an empty to a full gasoline tank. He is awaiting word from the owner of the plane as to whether it shall continue in the race. Rcscoe Turner, present holder of the east to west cross-country speed title, was the first race flier to arrive in Indianapolis today. Flying a golden Gilmore special, he put his ship down at the Municipal airport at 6:05 and took off at 6:19. He told officials here that he had almost run out of gas near Columbus, 0., but managed to make the field there. At Indianapolis he took on 151 gallons of gas and

disarmament, the United States might have to look to its own defenses. In line with thus, Navy Secretary Claude A. Swanson just has announced America's return to her policy of a navy second to none, and for the developement of four firstclass naval bases—two on the Atj lantic and two on the Pacific coasts. Bids shortly will be opened on the j first of a three-year program of | thirty-two ships and 290 airplanes at a total cost of $250,000,000. As about 85 per cent of the cost goes : for labor, the money will be provided by the industrial recovery act.

_ PACK 3 HOME EDITION PRICE TWO CENTS Outside Marion County, S Cents

wired ahead to St. Louis to be ready to fuel his plane again. James Wedell of Patterson, La., flying one of his own WedellWiiliams speed planes, is believed to have passed south of Indianapolis early today. Thaw Rushes Repairs The remaining entrant, Amelia Earhart Putnam in her red Lock- ; heed Vega monoplane, was not sighted here, but she is believed to have flown south of Indianapolis too high to be recognized. Boardinan, with Polando, set world record for a nonstop distance flight when they flew July 28 to 30, 1931, to Turkey, covering a distance of 5.011 miles in 49 hours 20 minutes. His brother, Earl Boardman. was notified of the accident by longdistance telephone and immediate- | ly left Albuquerque, N. M., by plane for Indianapolis. He was flying his own plane. He had planned tc meet his brother here, and had been in frequent telephone com- ! munication with the airport, seeking details of his brother’s progress in the race. First Injury at Airport This was the first accident at municipal airport in which any one ; was injured since the airport was ; opened two and one-half years ago. Boardman's racing plane was con- ! structed solely for speed, with the i safety factor practically ignored, j The present east-west transcon- ’ tinental air record of 12 hours 33 minutes, was set by Turner Nov. 14, 1932, averaging 199 miles an hour against strong headwinds. The west-east record was set Aug. 29, 1932, by James G. Haizlip, 10 hours and 19 minutes. Turner, on the same day, made the west-east flight in 10 hours 58 minutes. The ! east-west air crossing is slower than ! the west-east flight because of the : prevailing headwinds. Seeking to fly from New York to j Los Angeles in twelve hours or less, I the six speed pilots, competitors f n the Bendix air race, took off from | Floyd Bennett field. New York, early this morning for the west coast. Ruth Nichols Fails to Start Ruth Nichols was unable to start j today because her plane was not j ready. She expects to leave New I York Sunday morning. While Amelia Earhart was flying I into the dawn above Manhattan the five other starters were on the Una ' warming their motors. In rapid succession Turner Gel- | bach, Thaw, Wedell and Boardman ! took off in the order named. The pilots all headed for South I Bend, where they were flagged as i they passed over the airport. Board- , man and Turner announced that | they would land at Indianapolis, i Wichita, Kan., and Albuquerque, N. ! M., to refuel. Miss Earhart announced only one refueling stop—Wichita. She will decide there, she said, if a second 1 one is needed. Other pilots planned to choose their refueling spots enroute depending on the gasoline coni sumption.

Death Notices • Starting today, The Times offers a NEW, improved service for the publication of Death Notices in the want ad columns. Death Notices can be phoned in as late as 8 A. M. and will appear in the very FIRST EDITION at 10:30 A M. Notices will continue to be accepted under the former arrangement as late as 12:15 P. M. and will appear on the same day in the Home edition on sale at 2 P. M. Suburban readers and out-of-town subscribers will be able to read the news of these notices on the same day that the notice is phoned in. The Indianapolis Times Riley 5551