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

ATLANTIC FLIER HURT IN CRASH HERE

ROOSEVELT MOVES TO BUILD UP U. S. NATIONAL DEFENSE Startling Shift in American Foreign Policy, of World-Wide Significance, Now Is in Full Swing. EUROPE BICKERING BRINGS ACTION Help World Best by Being Practical, Face Situation as It Is, Not as We Want It, Is View. BY WILLIAM PHILIP SIMMS Scripns-Iloward 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] arms 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 direc- : tion of consultation and co-opera-tion being frustrated by the ceaseless bickering of a war-del?’ 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 j is right and what is fair the stand- j ard 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. Help World Being Practical This last applies to the coming war debt negotiations here, if and ; when held under White House au- 1 spices, as well as to what takes place at London. Recent world trends, in Europe, and Asia, are said to have con- 1 verted the administration to the j belief that. America best can help | the world as well as herself, by be- 1 ing practical—by facing the situa-1 tion as it is. instead of as we would j like it to be. The American policy of refrain-1 ing to build anywhere near up to the naval treaty quota, for example, | Is cited as a total failure as an international gesture. Look to Own Defenses Instead of Influencing other powers to follow our example, it appears, Uncle Sam's 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 1921, when the; United States suggested reduction and limitation of battleships, the other nations hurriedly complied. Thp 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 disarmament, the United Sta*es might have to look to its own defenses. Navy Second to None In line with this, 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 Atlantic and two on the Pacific coasts. Bids shortly will be opened on the 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 pro- ' vided by the industrial recovery act. HOURLY TEMPERATURES 6 a. m 76 8 a. m 83 7 a. m 78 9 a. m 86 10 a. m 87

Jake the Barber Kidnaped by Gang Before Eyes of Wife and Youna Son

Bu r nitrd Press CHICAGO. July I.—John (Jake the Barber! Factor, once hunted on three continents as alleged perpetrator of multi-million dollar financial swindles, was kidnaped today before the eyes of his wife and the 19-year-old son. who himself was abducted for SIOO,OOO ransom less than three months ago. Factor was seized by nearly a dozen heavily armed men as he. his wife and son and the family of A. L. Epstein, an attorney, were leaving a fashionable night club in a north shore suburb. The kidnapers, diiving three automobiles. Jerked Factor from the automobile his son was driving, commanded the son to drive away, placed Epstein and Factor in their car. and escaped under guard of the other two machines. A half-mile away Epstein was ordered out of the car. He walked

The Indianapolis Times Slightly cloudy; local showers tonight and Sunday; somewhat lower temperatures. * , T ' *i- Dl A *,• A I

VOLUME 45—NUMBER 44

ITALIAN FLIERS ARE IN HOLLAND Armada Ends First Leg of Chicago Flight: One Plane Crashes. Bj/ I ii itnl Pith* AMSTERDAM. Holland. July I. An Italian air armada, bound for the Chicago exposition on a sevenstage 7.100-mile trans-Atlantic flight., arrived at Amsterdam, its first objective, at. 1:09 p. m. <5:42 a. m. C. S. TANARUS.) today Twenty-four royal Italian air force "S-55-X" seaplanes, accompanied by a twenty-fifth plane, carrying spare parts, took off from Lake Orbetello, on the Mediterranean coast of Italy, at 5:54 a m. (10.54 p. m. C .S. TANARUS.). General Italo Balbo. air minister and hero of the flight of twelve planes to South America, commanded in person and before he stepped into his plane he threw a dramatic challenge at fate: “This time—Chicago! Next timeround the world!” But there was a mishap here at the end of the first stage of the flight when the seventeenth Italian plane capsized on landing. The water was rough. The aviators were seen atop the plane, apparently unworried. After more than half an hour's effort to reach the plane by boat, it was announced that one member of the crew was missing and the others injured, and that the plane was wrecked. General Balbo landed first. Within three minutes fifteen planes had landed while Dutch airplanes circled over the airport. In the Air Weather conditions at 0 a. m.: Northwest wind, 20 miles an hour; temperature. 87; barometric pressure, 29.91 at sea level; genera! condition, broken clouds; ceiling, estimated 6.000 feet; visibility, 15 miles. 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 io Crossword Puzzle 7 Dietz On Science io Editorial 4 Financial 7 Herblock Cartoon 4 Hickman Theater Reviews 2 Obituaries 3 Serial Story 9 Sports 6 Woman's Page 5

to Niles Center, another suburb, and notified police. During the ride in the kidnapers' car. scarcely a word was said, Epstein reported. Epstein met Factor's son Jerome at the former's home in Chicago a few hours later, and both immediately began efforts to obtain Factor's release. Six hours after the abduction. William Bleet. Factor's secretary, said he had not received a communication from the abductors. Lieutenant Leo Carr of the Chicago police department, who led the search for Jerome while he was captive, was assigned to the case. As related by Epstein, the party left the night club in three cars. In the first were two friends of Jerome. A short distance from the night club they were halted for speeding. A moment later the second automobile containing Mrs. Epstein. Mrs. Factor and her chauffeur drove up. Mrs. Factor, hysterical. to2l the

I American National Bank Opening in 2 Weeks to Release Millions in Cash Half of Restricted Funds to Be Made Available to Depositors Immediately; Full Amount of Stock Issue Is Subscribed. 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 holi- j day, the deposits will be available under reorganization plans which culminated Friday with the sub- j scription 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 new officers and anew board of directors is one of the important details to be consummated. Appointment 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. Bopp in Custoday of Assets Prediction was made that a number of the state banks will be able i to attain a Class A rating with the released deposits. During the re- ; organization period, the FletcherAmerican 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.

LINCOLN STATUE TO BE ERECTED IN PARK Funds to Be Derived From Henry Long Estate. Southeast quarter of University park will be graced by a statue of Abraham Lincoln, work on which will start immediately, according to an order issued by Probate Judge Smiley N. Chambers today. Chambers ordered payment of $16,800 to the city for the statue under the terms of the will of Henry C. Long, who died in 1901. Sum of SIO,OOO was willed, with the provision that the city should receive the principal and income on the death of Mrs. Long. She died in June. 1916. The money since has been held in trust by the Union Trust Company.

officer who halted the first car. that her husband had been kidnaped. The officer set out in pursuit of the abductors' car, but failed to find a trace of it. "Factor Jerome and myself were j just leaving the driveway when, three cars pulled up.” Epstein re- j lated. "Two drove on either side j of our car and the third stopped. “There must have been nearly a ] dozen men altogether. All were; heavily armed with shotguns and pistols. The men in the third car got out. came over to ours and told us to get out. ' They ordered Jerome to get back in and drive eastward, the same way as other members of our party had gone. “Factor and I were ordered to get into the third car. With the other two acting as guards, the kidnapers drove away to the west. “About a half mile away. I was let out and the three cars sped away.” 1

INDIANAPOLS, SATURDAY, JULY 1, 1933

GASOLINE PRICE UP HALF CENT Major Companies Announce Raise After Tank Car Increase. The general economic inflation, with a consequent rise in tank car prices, was given as the reason for a rise of one-half a cent to one cent a gallon for gasoline announced today by leading gasoline distributing companies. The rise will be effective for all but the cheapest grades of gasoline. Standard Oil Company and Lincoln Oil Refining Company announce rises of half cent a gallon for two better grades of gasoline and no advance on a cheaper grade. Shell Petroleum Corporation and Sinclair Refining Company announced a rise of 1 cent a gallon on two grades of more expensive gasoline and no rise on cheaper grades. Today's rise in price is the fourth since June 16. Total rise in price is the fourth since June 16. Total rises ranging from 2’/ 2 to 3 cents a gallon. FACES ATTACK CHARGE Luther Lancaster, 66, of 2824 McPherson street, was arrested late Friday on a charge of attempting criminal assaults on girls in a city playground. Police called to the playground at Broadway and Fall Creek boulevard were told by Mrs. Incena Tiernan, 3825 Graceland avenue, a matron, and Connie Apostle, an instructor, of 3766 Ruckle street that Lancaster had attempted to attack six girls. CLUB MEETING IS SET 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.

4. —.. i CE TRACK i + —*’—""—’■—■*—’•—""——"* ■ *+ BY O . BEVI LL A +

LATONIA RACE TRACK, COVINGTON, Ky„ July I.—Here is the Latonia Derby setup: P. P. Horse Weight Jockey Odds 1— Gold Basis 118 Gilbert Elston 3-1 2 Head Play 126 Lee Humphries 6-5 3 Bobsled 118 Jimmy Smith 25-1 4 Sun Envoy 114 Jack Mayer 50-1 5 Sweeprush 118 Bob Finnerty 12-1 6 Jovius 118 Tommy Malley 3-1 7 Navanod 118 H. W. Fisher 15-1 As the sun went down Friday, a most welcome rain was falling, which looks very much like it will upset the old dope bucket for the Latonia Derby today. Incidentally, a poorer field never went postward in this big event than will greet Starter Bill Hamilton in the sixth race.

A muddy truck and I can’t see Head Play getting around the field in front for the iong mile and a half, and give away as much weight as eight pounds. Your guess in this race is as good as any one. Sweeprush will be my pick, not on class, but on conditions, Jovius second, and Head Play for what’s left. The best thing of the entire day would be to forget about the big race. Coming right back on good things, Contraband looks mighty fittin’ in the first race and should have little trouble getting down front. The third looks like a kick for Madelon and Prince Farthing will be at home in the going in the seventh. The best thing of the day will be Monty M. Dont’ ask why. A .t Arlington Park, Ladfield in the third figures much the best of the others. Our old friend Charley O has Barnswallow to hand a walloping to in the fourth and we can't see why he can’t turn the trick. Miss Patience should regain her form in the sixth. Today’s Selections At Latonia—1. Contraband. Nell Kuhlman, Bay Angon. 2. Legality, King Cicero, Catus Rose. 3. Madelon, Oswego Princess, Imelda. 4. Monty M.. Prince Drake, Yankee Waters. 5. Otherwise, Billy Jones, Shaker Lady. 6. Sweeprush. Jovius. Head Play. 7. Prince Farthing, Respond. 8. Scarley Brigade, Peacock Blue. Arouse. Best—Monty M. Track Muddy. At Arlington Park—1. Dr. Parrish, Fmcic, Long us,

GROSS INCOME TAX PAYMENT IS DUE TODAY Money Must Reach State Collectors by July 15 to Avoid Penalty. LEVY OF ONE PER CENT Blanks Available at All Auto License Branches and Many Business Places. First installment of the gross 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 gross receipts, except revenue from the United States government. Army of Collectors Ready 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 are 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. No Legal Loopholes Jackson has been busy for some months getting ready for the huge collection task and making speeches to business men advising them to be sure and pass the tax cn to the consumer. He lias 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.

2. Fighting Bob, Postscript, Peedeque. 3. Ladfield, Etcetera, Portcodine. 4. Charley 0., Barnswallow, At Top. 5. Gallant Sir. Mr. Sponge. Pairbypair. 6. Miss Patience. Calumet Entry, Dartle. 7. Blue Lad, Watch Tower, Twisted Threads. 8. Fingal, Ebony Lady, Monell. Best—Ladfield. Track—Heavy.

Widow of Legs Diamond, Slain Gang Chief, Is Found Murdered

Bil United Press NEW YORK. July I.—Mrs. Alice Kenny Diamond, widow of Jack ! 'Legs* Diamond, one of New York's 1 most notorious gangsters, was found dead Friday in a Brooklyn apartment, apparently murdered. , Mrs. Diamond had been living at j the apartment house under the name of Alice Kenny. Arthur Bowie, an employe of the building, entered her apartment late today with a passkey and found her body. He immediately summoned police. A physician from the Kings county hospital said she had been dead perhaps for days. She was last seer.i around the apartment house last Monday. Detectives said Mrs. Diamond had been shot in the head and no gun was found in the apartment. Her body was found lying between the

RACERS IN CRACKUPS

* -'V

Russell N. Boardman

Ijr

Russell Thaw

Beer 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.

INDICT VOTE OFFICIALS Every One of 1,048 Louisiana Commissioners Accused of Fraud. Bp United Press NEW ORLEANS, La., July I.—lnj dictments charging fraud were drawn up Friday against every one j of the 1,048 election commissioners ! who acted in the Nov. 8 general election in New Orleans. The bills were presented en masse to the Orleans parish grand jury by James O'Conner, assistant attorneygeneral. IT'S A ‘PANE’ TO HIM Man Shoves Arm Through Window in Argument With Wife. Gesticulation is not a good method of lending emphasis to arguments, Peter Szonolia, 46. of 3010 West Tenth street, learned Friday night. Peter was arguing with Mrs. j Szonolia. police were told, and thrust his right arm through a I window pane. An artery was ! severed. Car Operator’s Watch Stolen Oliver Beem. 819 North Dearborn ] street, f.perator of an East Wash- ] ington .treet car, told police he was I robbed of a S3O watch Friday night ] when he stepped off his car at I Washington street and Audubon ] road. The watch was hanging near 1 the operator’s seat in the car.

! dining room and a kitchenette. Three coffee cups were on the dining table. The back of her dress had been torn, indicating there had been a struggle. Neighbors had observed that the shades in the apartment had been drawn and the lights had been turned on for two days. Save for a brief period during which she sought to capitalize on her name as a vaudeville performer, Mrs. Diamond had been out of the limelight since ner husband was shot to death by two gunmen in a rooming house at Albany early on the morning of Dec. 18. 1931. Less was known about her than about Legs Diamond, though the • New York underworld admired her because of the manner in which she stayed by her husband when- | ever he was in trouble. After his assassination, she solicI ited funds to pay for his funeral. Diamond was buried without benefit

Entered as Second-Class Matter it Postoffice. Indianapolis

CRACKUP PLACES BOARDMAN PLANE OUT OF AIR RACE Victim Rushed to City Hospital, Where He Is Suffering From Serious Head Injuries; Falls From Twenty-Five Feet. RUSSELL THAW’S SHIP DAMAGED Son of Harry K. Rushes Repairs to Broken ~ Wing to Rejoin Dash to West Coast for SIO,OOO Purse. Russell Boardman, trans-Atlantic flier who with John Polando, of Lynn, Mass., flew to Instabul, Turkey, was injured severely when his Gee Bee sportster plane cracked up on the southwest corner of the municipal airport today in the 1933 national air races. Boardman was rushed to city hospital where he is suffering from head injuries. As he took off on the long jump to Los Angeles as a contestant for the SIO,OOO Bendix purse at 8:25 a. m. several hundred persons gathered on the field saw him lift his stubby plane about 25 feet into the air and then crash.

SOME RELIEF IN HEATFORESEEN Somewhat Lower Temperatures, Is Forecast Made 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 that has stiflled Indianapolis for days, according to J. H. Armington, United States weather observer. The central and northern portions of the state are the more likely to get the benefit of lower temperature, according to Armington. The forecast for the week-end is: “Slightly cloudy; local showers tonight and Sunday; somewhat lower temperatures.” The mercury started off today to bear out the hope revealed by Armington’s prediction as it was 10 degrees cooler today than Friday at 6 a. m. with a mark of 76. Temperatures up to 9 a. m. today all were lower than they were Friday. Friday saw the June 30 heat record equalled when the mercury touched 97 twice. A somewhat freakish thunderstorm brought a 4degree drop in an hour, but the mercury bounded upward again to 97 at 3:30 p. m. June saw seventeen days that had temperatures of 90 degrees or more. Cloudburst at Rushville 3)/ J'nited 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. One hundred large trees in Memorial park were blown down. Fences were destroyed at the ball park and the slate roof of the Rush county courthouse was damaged. Overflow from a small creek flooded several blocks.

of clergy, and the Roman Catholic church refused permission for his burial on consecrated ground. The funeral was conducted from the home of Mrs. Diamond's sister in Queens and a 13-year-old niece of the slain gangster read the service, standing in the rain beside his grave. Mrs. Diamond, almost hysterical, tossed flowers on the casket and shrieked: "Goodbye, boy!” Shortly after Legs had been buried, Marion Roberts, former Ziegfeld beauty, who admittedly had been his sweetheart, appeared as a star in burlesque shows. Her connection with Diamond widely was advertised at the time. Mrs. Diamond, who married the gangster in 1917 when he was a nobody, retaliated by going on the stage herself. Her theatrical career, however, was short-lived, because of oppoistion from clergy-men in New Jersey, where she was making a tour.

EXTRA PRICE TWO CENTS Outside Marion County, 3 Cents

Officials at the field said he had apparently been caught in a head wind as he took off which caused his plane to side slip. A short time before Boardman’s crack-up, Russell Thaw, piloting another Gee Bee sportster, damaged a wing while attempting to land at the airport. He was not hurt. Airport mechanics set to work to repair his ship so that he might continue the race to Los Angeles. Thaw is a son of Harry K. Thaw, defendant is a celebrated murder case several years ago. Rcscoe Turner, present holder of the east to west cross-country speed title, was the first race flier to rive in Indianapolis today. Flyir golden Gilmore special, he pul ship down at the Municipal ai? at 6:05 and took off at 6:19. Forced Down in Wheat Fielc. He told officials here that he almost run out of gas near lumbus, 0., but managed to r the field there. At Indianapoli took on 151 gallons of gas wired ahead to St. Louis to ready Lo fuel his plane again. 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. 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. James Wedell of Patterson, La., flying one of his own WedellWilliams speed planes, is believed Lo have passed south of Indianapolis early today. Thaw Rushes Repairs The remaining entrant. Amelia Earhart Putnam in her red Lockheed Vega monoplane, was not sighted here, but she is believed to have flown south of Indianapolis too high to be recognized. Thaw paced anxiously up and down near the hangars as mechanics rushed to repair a damaged wing on his plane. He talked with Boardman just before the latter took off on his ill-fated dash from Indianapolis. There was doubt at the field as to the possibility of Thaw being able to continue in the race. Ruth Nichols Fails to Start Seeking to fly from New York to Los Angeles in twelve hours or less, the six speed pilots, competitors in the Bendix air race, tool" off from Floyd Bennett field, New York, early this morning for the west coast. Ruth Nichols was unable to start today because her plane was not ready. She expects to leave New York Sunday morning. While Amelia Earhart was flying into the dawn above Manhattan the five other starters were on the lin© warming their motors. In rapid succession Turner Gelbach, Thaw, Wedell and Boardman took off in the order named. The pilots all headed for South Bend, where they w'ere flagged as they passed over the airport. Boardman and Turner announced that they would land at Indianapolis, Wichita, Kan., and Albuquerque, N. M., to refuel. Seek New Speed Mark Miss Earhart announced only on© refueling stop—Wichita. She will decide there, she said, if a second one is needed. Other pilots planned to choose their refueling spots enroute depending on the gasoline consumption. The winner in the women's division of the trans-continental race will receive $2,500. The prizes in the men's division are: First. $4,050; second, $2,250, and third, $1,350. The fliers will seek to best Major Doolittle’s land plane speed record of 294 miles an hour.