Indianapolis Times, Volume 45, Number 204, Indianapolis, Marion County, 4 January 1934 — Page 1

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‘GUESS’ HELD RUINOUS TO LIGHT PAYERS Chamber of Commerce’s 1927 Committee Blamed for ‘Compromise.’ DELVE INTO HISTORY •Guardian Angel’ Group Accused of Fumbling in in the Dark. BY BASIL GALLAGHER Times Staff Writer Today, after seven years of paying high utility rates, Indianapolis consumers, despite the depression and promised benefits from the merger, are in practically the same plight which existed in 1927, according to allegations made today by Sherman Minton, public counselor. Seven years ago, almost to the day, Indianapolis was aroused over the merger proceedings to effect a consolidation of the Merchants Heat and Light Company and the Indianapolis Light and Heat Company, to form the Indianapolis Power and Light Company. Today anew hope is held forth with the order issued several days ago by the public service commission for the company to show cause For a discussion of the Indianapolis Power and Light Company situation, see the editorial page. why electric rates in Indianapolis should not be reduced. Hearing on the order has been set for Feb. 1. On that Jan. 10, 1927, when newspapers in this city screamed in large black type that a $55,000,000 “stock grab" was being foisted on consumers, public opinion was aroused to a high pitch. Then the Chamber of Commerce, ostensibly in the role of "guardian angel” to the public, appointed ill famous “guessing committee,” composed of Emerson W. Chaille, chairman; Henry L. Dithmer, Roy E. Adams, H. C. Atkins, Niles Chapman. L. L. Goodman. A. Kiefer Mayer. F. C. Reilly and Carl A. Taylor. “Compromise” Is Reached Acting as an intervenor in the merger proceedings, the Chamber of Commerce committee “compromised” with the interests promoting the merger of the electric utilities. Public febllng rtm high. Typical of the sentiment was a newspaper cartoon by Charles Kuhn, depicting large beilied capitalists, labelled “Utility Merger Interests,” standing in the Chamber of Commerce “rest room” smoking cigars from a box lebelled “Harley Clarke Specials,” while a be-spectacled youth, tagged “Chamber of Commerce Guessing Committee,” looked hungrily at the box of sleek cigars. On the “guess” submitted to the public service commission by the Chamber of Commerce "guessing committee,” the promoters of the merger were authorized to issue and sell securities totalling $43,060,000. They were authorized to issue and sell $30,000,000 of bonds and $12,000,000 of preferred stock, and 600.000 shares of no par value stock for $1,060,000, as payment for “equity,’' making an aggregate of $43,060,000 of securities which the promoters were authorized to sell on property for which a value of $40,000,000 w r as fixed. “Guessed” Is Charge Opponents of the merger scheme charged at the time that the Chamber of Commerce committee compromised with the promoters at a ’’guess” valuation of the property. The record shows that on Dec. 23. 1926, Albert S. Richey, Worcester, Mass., the expert engineer employed by the Chamber of Commerce, told the public service commission that he would require a minimum of ninety days to make an investigation to determnie the value of properties of the Indianapolis Light and Heat Company and the Merchants Heat and Light Company. Stone & Webster, conceded to be the largest engineering concern in the country, who were employed by the promoters of the merger, devoted more than three months to making their computations, according to reliable information to the public service commission. Yet the “guessing committee” of the Chamber of Commerce started negotiations to compromise with the promoters on the basis of an agreed valuation after their engineer. Richey, had been at work less than a week. The Chamber of Commerce auditor, according to the public service commission investigators, had not even started his work. Petitions Are Studied In the possession of The Times are extracts of the petitions the Chamber of Commerce filed with the public service commission on Dec. 29, 1926. asking that Richey be given access to the utility company's records and books for the purpose of an appraisal. Yet. less than a week after Dec. 29—the day of the request —with Sundays and holidays intervening, the Chamber of Commerce committee had compromised on the merger. In a statement issued by the Chamber of Commerce to the press on Jan. 13. 1927, three days after the merger, the chamber's board of directors aid of the committee “protecting the interests of the public” in the proposed merger: “The board of directors unanimously approves all actions taken by the committee. The board believes the public interest has been protected fully and strongly feels (Turn to Page Three) Held for Child Neglect Hearing screams police entered an apartment at 306 East North street last night and found what they reported to be a “drunken fight.” They arrested Mrs. Maria ,Tr, nningham on charges of child neglect.

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VOLUME 45—NUMBER 204

‘Pay Higher Wages and Avoid Firing Squad,’ Is Warning to Capitalism ‘lndianapolis Industrialists Asleep and Must Awaken or Face Violence,’ Challenges Engineer in Business Forum at Butler. “Indianapolis’ capitalists are asleep, so far as any constructive or creative movement is concerned in solving modern social and economic problems, and they must awaken and co-operate, or face a firing squad."

STATE TO DROP DRY LAW CASES New Nolan Policy at Odds With Washington Attitude. Despite the attitude of the Washington administration recommending prosecution of all persons charged with having violated national prohibition before repeal, no nfore such cases will be tried in Indiana, it was learned today. Val Nolan, district attorney said not more than fifteen cases of liquor law violations remain on the docket of the federal court in the southern district. All of the defendants are fugitives and the indictments charge them with violation of the internal revenue acts, such as possession of unregistered stills, in addition to other prohibition counts. Within the past few weeks, cases of more than one hundred defendants have been dismissed in the local courts with the approval of the attorney-general, Mr. Nolan said. Mast of the defendants were | fugitives. In the northern federal district, Federal Judge Thomas W. Slick announced several weeks ago that holdover liquor law cases in his jurisdiction would not be prose- ; cuted. The position favoring the prosecution of violators of national prohibition was taken Wednesday in a brief filed by the department of justice in the Supreme court, which held that repeal of prohibition | should not release from trial ' zzz \ charged with violations or conspiracy to violate. Hundreds of cases are pending in federal courts in which indictments have been returned and the department of justice would proceed in the usual course, as though the prohibition law had not been repealed. FLOOD FALSE ALARM SCARES LOS ANGELES Air Pilot Mistakes Spillage for Burst Waterway. ! By 1 nited Press LOS ANGELES. Jan. 4.—Water ; being spilled deliberately from a sec- | tion of the Los Angeles aqueduct near Saugus today gave rise to reports that the waterway had burst. Pilot Eddie Blom of United Air I Lines, sighting the water on his morning trip to San Francisco, radioed headquarters that the aqueduct apparently had broken. H. A. Van Norman, general manager of the city water bureau, disclosed, however that he had ordered the spillage. ROOSEVELT AIMS LIKE MUSSOLINI’S, ROME VIEW Emphasis on State Leadership Pleasing to Italians. By United Press ROME, Jan. 4—Fascist Italy, praising President Roosevelt’s messages to congress, saw in it today proof of the soundness of the policies of Premier Benito Mussolini. Great satisfaction was shown at Mr. Roosevelt's references to the leadership of the state in economic affairs. ARMY WILL PURCHASE 100 FIGHTING PLANES Great Expansion and Replacement Program Announced. By I nited Perm WASHINGTON. Jan. 4. The United States army will purchase immediately 100 fighting airplanes as part of a big expansion and replacement program, the war department announced today.

A Better Times — Today The Indianapolis Times begins the fulfillment of a New Year's resolution to give its readers a bigger and better newspaper in 1934. Turn to the editorial page. You will find two editorials on local problems. You also will notice a bigger cartoon. This increase in the cartoon space permits of clearer interpretation of vital issues through an artistic medium. Dr. Harry Elmer Barnes, outstanding historian and economist, makes his first bow today on that page. Mrs. Walter Ferguson, trenchant writer on women's problems, still remains. There is more space devoted to the Message Center, which is an open space forum for our readers. Now look at page four. It is devoted to a succinct report of what is going on in Washington. At no time in the nation's history has news from tne capital been so important. The Times each day will present it all in compact form so that its busy readers may inform themselves fully in the least possible time. Julia Boyd an Indiana girl who has achieved an international reputation as a fashion expert, appears on the woman's page with her daily sketch by which our women readers may keep up-to-the-minute on styles direct from Paris. Those who wish to buy her patterns may do so for a nominal sum. A second woman's page has been added and Gretta Palmer will write daily articles of interest to the modern woman on it. This additional space also guarantees that The Times will cover Indianapolis society even more fully than in the past. On the first page of the SeconjJ section Times readers will find the columns of Hevwood Broun and Westbrook Pegler and Walter D. Hickman's news of the theatrical world. The basketball season is now in full swing. Another sports page has been added to take care of this in the fullest possible manner. This sports section will make every effort to give local sportsmen not only all the local sports news, but fuller coverage of national and international events. Our readers have been growing steadily in numbers. They have been giving us enthusiastic support and constructive criticism.. We feel that we can repay them only by giving them an improved newspaper—a better Times for better times.

The Indianapolis Times Rain probable tonight and tomorrow; somewhat colder tomorrow; lowest temperature tonight above freezing.

u uu-ufy/t-i tiue, ui laur mmg f>tqu<vu. This was the challenge hurled by Samuel S. Wyer, Columbus, 0., con- , suiting engineer, in opening the Butler universP ; forum on the subject “America Moves Forward” at Jordan hall last night. More than two hundred leaders from Indianapolis professions and i industry attended. Mr. Wyer asserted that he himself is a capitalist and now is spending his time trying to teach his class that the only way to save themselves from violence is to make sacrifice of present profits to bring about a more equitable distribution of wealth. This can be accomplished only through high wage payments, he pointed out. Profiteering Brought Fall Present collapse of capitalism came not from profits, but from profiteering, he asserted. "I have spent much time trying to interest Indianapolis capitalists in this matter of saving themselves." Mr. Wyer asserted. “But I have found much less co-operation and understanding here than in New York City.” Other charges made against Indianapolis included the contention that “this city is dirtier than Pittsburgh, because of the smoke nuisance. which could be solved almost over night if the citizens willed to be rid of it.’” Such barbs aroused opposition in the open forum discussion, and two points were developed as to the reason for the so-called “intellectual lethargy” which Mr. Wyer charged is present here. One was that the city has been free from radical movements which dramatize the issues, and the other is that the Indianapolis capitalists have been so kind and co-operative with labor that the problem has not become acute during the depression. Capital Levy Inevitable ; Mr. Wyer said there might be i merit in both views, but that did 1 not excuse the capitalist from facing and solving the problem. Among the solutions which he I claimed must come is the writing off of $80,000,000,000 of what he termed I “dead horse debts.” “Then there must be a capital levy j in America to bring about a better distribution of wealth,” he contended. “This should come voluntarily from the capitalists themselves, but failing this it will be brought about by violence, A capital levy is inevitable.” Declaring that “wage cuts are not j the way out,” the speaker offered the conclusion that in the future, | “capital must take less and the worker more.” Lack Will to Do “We have here in America all the material goods with which to make all of our people comfortable,” Mr Wyer concluded. "We know' how r this can be brought about, but we lack the will to do it.” The address was followed by discussion under the panel system, which in turn w'as followed by questioning from the audience. Leaders in the panel discussion were Raymond Mead, Laurens Henderson, John F. White and Mrs. G. M. Halverson. Miss Hazel Funk was leader of the audience group discussion. Justice Walter E. Treanor of the supreme court presided. The series, which wall continue each Wednesday night in January, was arranged by Dean Albert E. Bailey of the Butler extension division. 3 GENERATIONS BORN Baby Boy, His Uncle and Great Uncle Arrive at Same Time, Place. By United Press WARSAW. Poland. Jan. 4.—Three generations w’ere born almost at the same time yesterday in the homestead of the Wisniewski family in the village of Kruszyna. In one room a boy was born. An uncle of this baby was born in another room and his great uncle in a third. The mothers' ages were 17, 35 and 59 years.

INDIANAPOLIS, THURSDAY, JANUARY 4, 1934

TAG ARRESTS ARE STARTED BY CITY COPS Chief Morrissey Orders All 1933 License Users Haled Into Court. CARS TO BE IMPOUNDED State Request for Aid in Drive Is Granted in Radio Call. Uncertainty over auto license arrests w r as ended at noon today when Police Chief Mike Morrissey issued a general order to all city police to start bringing offending motorists into police headquarters. Acting at the request of state officials, Chief #Morrissey sent out a radio order to all squad cars to keep a sharp lookout for drivers of cars lacking 1934 license plates. Police were ordered to arrest the drivers and take the cars to the nearest garage. Despite definite assurance from state officials that there would be no extension of the license deadline past midnight, Dec. 31, city police forebore to act because license departments w r ere jammed by motorists willing to take out licenses, but unable to obtain them because of the last-minute rush. Chief Morrissey’s order to Indianapolis police follows on the heels of an order yesterday by A1 G. Feeney, state safety director, to state police, directing them to start enforcement. State police are reported to have made several arrests in various parts of the state, but they could not act within city limits without co-operation of municipal police.

Let Down Bandit Strips Victim Before Robbery. INVESTIGATING shouts for help last night on Noble street near the union st.tion elevation, police found J. V . Boyer, 64. of 614 ! North Ear / street, standing with i his overcoat in one hand and his 1 trousers in the other. Mr. Boyer said a- young man, who gave his name as “Pretty Boy,” drew a revolver, forced him behind the Nickel Plate railroad station and robbed him of a watch and fountain pen after stripping : him. BUTLER PREPARES FOR SECOND SEMESTER Regular Term Starts Feb. 5; Night' Classes Feb. 8. Preparation of the second semes- j | ter class schedule has begun at Butier university under the direction j of Dr. Ray C. Friesner, chairman of I the university curriculum commit- ! tee. The new term will open Feb. 5. Work of the evening and ex- i I tension division for the new semes- 1 i ter is being prepared by Dean Al- , bert. E. Bailey, head of the division. Night classes will begin on 1 Feb. 8 for the second semester. THIEVES ENTER OFFICE OF JUVENILE COURT Attaches Busy Checking Records After Prowler’s Visit Juvenile court attaches today j were checking records following dis- ! covery this morning that the office j had been broken into by thieves during the night. Entrance was gained by forcing a window. MAJOR COOK TO TALK AT EXCHANGE SESSION Club to Hear Discussion of Flying Experiences in World War. Major H. Weir Cook will address the Exchange Club at a luncheon | meeting Friday noon in the Washington. He will discuss his experiences as an aviator during the World war. Zeo Leach, president, will preside. Wynekoop Case” Delayed Py United Perms CHICAGO, Jan. 4.—The case of Dr. Alice Lindsay Wynekoop. j charged with the murder of her i daughter-in-law Rheta, was continued for one week when called for trial today before Judge Joseph B. David. Dr. Wynekoop's precarious physical condition was cited as ! the reason for the delay. Hourly Temperatures 6 a. m 32 10 a. m 38 7a. m 33 11 a. m 39 Ba. m 35 12 (noon).. 40 9 a. m 35 1 p. m 40 Times Index Berg Cartoon 14 Bridge 9 Broun 13 Classified 19, 20 Comics 21 Congress Page 4 Crossword Puzzle 22 Curious World 21 Editorial 14 Financial 16 Hickman—Theaters 13 Hunt'ng 6 Lippmann 16 Pegler 13 Radio 22 Sports 18. 19 State News 15 Unknown Blond 21 Woman's Pages 8, 9 .Your Health 7

31-Year-Old Mayor Now Runs Detroit

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Frank Couzens Son of Senator Couzens to Run City on ‘Strict Economy.’ ! By United Prrxs \ DETROIT. Jan. 4.—A young man | just out of his twenties grasped the w'heel of Detroit’s debt-ridden city government today and viewed the i future with confidence. His task was regarded as one of the most difficult to be found in the United States. Frank Couzens, who followed his j senator father's career to become mayor of Detroit w'hen only 31. prej dieted that 1934 will witness a conj tinued, steady climb back to normal business. “Detroit already is feeling the ! surge of national recovery,” he said, i "The economic crisis came swiftly here and recovery is coming almost as rapidly.” Mr. Couzens’ youthful, squarejawed face flushed with enthusiasm jas he talked. He glanced out of the window' of his city hall office, ! | overlooking busy Cadillac square. | “Those thousands of workers out j I there,” he said, pointing, “they’re | | finding werk. The CWA has put 50.000 to w'ork here. Automobile ! factories are turning out their new' | models and recalling additional | thousands of W'orkers. Our street | cars are hauling a third more to and from jobs now than they did a year ago.” “I’m looking forward with a great deal of optimism,” he said. “But I I’m not going to run the city on ! optimism. I’m going to run it on strict economy.” FRENCH AVIATORS MAKE HOP OF 2,010 MILES Travel From Africa to Brazil on Longer Trip Than Lindberghs. j By United Press NATAL, Brazil. Jan. 4.—The French navy seaplane Southern Cross with its crew of five, arrived ! at 7:10 a. m. today (4:10 a. m., In- j dianapolis timc.i, after a 2.010-mile flight from St. Louis, British West Africa. The plane left St. Louis in midj afternoon yesterday, and Com- ; mandant De Bonnet, in charge, reported his progress frequently by wireless. The fight was somewhat longer than the recent one of Colonel and Mrs. Charles A. Lindbergh. They flew 1,834 miles from Bathhurst, further dow'n the African coast than ; St. Louis, to Natal. TWO HURT IN CRASH ON STATE ROAD 35 Kentucky, Scottsburg Men Taken to Hospital After Wreck. | Tw'o persons were injured when an automobile driven by Nelda Stafford; 27, Trafalgar, w T as in collision with a car driven by Sam Kauffman, Kentucky, on State Road 35. a mile south of Southport, early | today. Mr. Kauffman and Charles Stall, 42. Scottsburg, were injured on the head, arms and legs. They were taken to city hospital. Mr. Kauffmans car, completely WTecked, vas jtaken to a garage. A passenger in the other car, Mark Dickson. 45. Trafalgar, was uninjured. Power Lineman Seriously Burned I By United Press ROCHESTER. Ind., Jan. 4. Newton Heminger, 23, lineman for j the Northern Indiana Power Com- i j pany, was burned seriously near Mentone yesterday, when he came in contact with a high tension line he was repairing.

Shots Lend Excitement in Fast Rum-Runner Pursuit

With shots ringing in the air and cans of alcohol crashing in the street, two speeding automobiles staged an exciting chase, reminiscent of rum - running days, through the city streets last night. At the end of the long chase, two men were arrested. 200 gallons of alcohol were seized and a rifle and a shotgun taken by the police. The men arrested were William Scott. 21. of 2045 Central avenue, charged with illegal possession of liquor, transporting liquor without a permit, handling liquor without a permit, speeding, reckless driving and failing to have a driver's license. and Joe Drake, 50. of the Central avenue address, charged with vagrancy, transporting and handling liquor without a permit. The car carrying the alcohol first

NATION MUST BORROW 10 BILLIONS TO BALANCE BUDGET, SAYS ROOSEVELT

HOUSE REUV FOR ACTION (a urn on 1 Taxation Issue Likely to Be Passed Tomorrow or Saturday. By United Press WASHINGTON, Jan. 4.—The house faced its first legislative task of the session today in the $550,j 000.000 liquor tax bill which the ad- ! ministration is anxious to rush : through so that needed new repeal | revenues may begin flow'ing into the treasury. The plan of house leaders was to take up the bill immediately after reading of the President's budget message, pass the measure tomorrow or Saturday, and send it on 1o the senate for action early next week. Sniping by administration opponents. which broke out from individual sources in comments on the President's message yesterday, was ! expected to cause heated debate during liquor tax consideration. A bloc of Republicans was determined to make an issue out of a proposal to increase by $6 a gallon the tax on imported champagne. Effort Is Defeated It w’as learned that an effort was made yesterday in the ways and means committee to amend the bill with such a provision. It was defeated on a straight party vote, it W’as understood, w'ith the Republican minority voting for it. They argued that the doubled rate would help the domestic champagne industry. The liquor tax measure carries a $2 a gallon tax on distilled spirits, under 24 per cent alcoholic content and a flat $5 a barrel tax on beer. In addition it impases occupational taxes and an extra levy of 30 cents on blended whiskies. Ways and means committee members estimated that the whisky tax would raise $300,000,000, the beer tax $160,000,000. and the remaining provisions combined with present import duties $90,000,000. Permits a Drawback The committee in its report to the house said the proposed rates “will return the maximum amount of revenue without incurring the danger of perpetuating illegal liquor traffic by excessive rates.” The bill, as reported out, also carries a $2 a gallon tax on imported perfumes containing distilled spirits, and permits a drawback up to $2 a gallon on distillates exported from the country. The latter provision is designed to stimulate liquor exports. ALLEGED EMBEZZLER PLEADS NOT GUILTY Ex-Lodge Hall Superintendent Released on Bond. Earl Foxw’orthy, formerly Masonic Temple building superintendent, today pleaded not guilty in criminal court to charges of embezzling $7,823 from the Indianapolis Masonic Temple Association. Nto trial date was set. He w'as released on $7,500 bond. The indictment against Foxw'orthy was returned Nov. 1. CONTINUE DILLON TRIAL Defendant Not Connected With Fatal Shooting, Police Say. Trial of Thomas Dillon, 744 ' 2 South Capitol avenue, on a charge of assaulting and threatening with a revolver Raymond J. Walsh, 33. of 949 North Bosart avenue, a few hours before Walsh mysteriously w's slain, today was continued until Jan. 19 in municipal court. Dillon was one of six men arrested on vagrancy charges for investigation after Walsh was shot to death about ten days ago. How’ever. police said he is not believed to have had any knowledge of the shooting, which occurred the night following Dillon's brawl w’ith Walsn, a reputed former hijacker.

was seen by police speeding along Meridian street near Thirty-sixth street. Radio Patrolman Fred Titus i became suspicious of the car and gave chase. As the pursuers hugged close to the rear of the rum-running car, whirling through Meridian street several, five-gallon cans of alcohol rolled from it and burst upon hitting the street. Patrolman Titus fired several shots in the air to halt the speeding car. He said that the chase was the most reckless he ever had witnessed,) dodging in and out between the traffic at better than 50 miles an hour. The chase ended when the rumrunners car failed to negotiate a turn at Fall Creek boulevard ar lj Illinois street and crashed into a tree. I

Entered a Second-Cias* Matter at Postoffice, Indtanapolia

Overall Deficit of $7,309,068,211 Reported by President in His First Annual Finance Message to Congress. USES LOW REVENUE ESTIMATES Chief Executive Puts Bottom Figure on Possible Returns From Liquor Tax; White House Is Well Pleased. BY LYLE C. WILSON I nited Press Staff Correspondent WASHINGTON, Jan. 4.—President Roosevelt reported to congress today in his first annual budget message an overall deficit of .$7,309,068,211 for this fiscal year and the necessity of borrowing $10,000,000,000 by July 1 to balance the treasury books. These figures represent the bill for recovery to that date. They imply emergency expenditure by the government at a rate upward of $1,000,000,000 every thirty days for the next six months.

The President’s tax proposals do not include increased income levies. Mr. Roosevelt is understood to feel that income taxes will not be increased at this session. He recommended that the three cent postal rate for non-local mail be continued in effect and estimated that $150,000,000 annually may be APATHY GREETS BUDGET SPEECH Unconcern Is Displayed by Senators: Message Is Praised, Flayed. Pit United firms WASHINGTON, Jan. 4.—President Roosevelt’s budget message j was received by congressional lead- ; ers today w’ith expressions ranging from “a signal of despair” to praise | for its frankness. The budget message was read in ; the senate with most of the senators | showing a vast amount of unconcern. Newspapers interested several; others chatted, perused private papers or strolled out to the lounge. The figures of the deficit and public debt, setting peace-time records, were read without any indication of interest or concern among the senators. “The amount of the deficit appears to be startling indeed." Speaker Henry T. Rainey said. “President Roosevelt starts out in a frank manner by stating definitely what it is. Expenditure of $8,000,000,000 more in one year than collected, at first glance seems alarming. But the ordinary budget, is practically balanced. There should be no trouble in getting money at a low rate of interest. The trouble j will come when the recovery i rogram proceeds far enough so that investors will find other investments through banks.” Senator Luther Dickinson (Rep., j la.) said: “The budget measure is a confession of broken promises and a signal of despair.” CROUCH PLEADS NOT GUILTY IN BANK CASE Suspect in $25,000 Holdup Sees Mother After Arraignment. Hilton F. Crouch, alleged terror mobster, arrested several weeks ago in Chicago, today was arraigned in criminal court on an indictment charging him with complicity in the $25,000 Massachusetts Avenue State bank robbery Sept. 6. Although Chicago police said Crouch admitted the holdup to them, saying he had received $8,300 of the loot as his share, the prisoner entered a plea of not guilty before Criminal Judge Frank P. Baker today. No date for trial was set, pending conference with his attorneys, whom he refused to name. Crouch's request to be visited by his mother was granted by the court. PRESIDENT RECEIVES PROPOSAL FOR SILVER Unlimited Coinage Proponents Visit Roosevelt. Pit United Press WASHINGTON. Jan. 4.—The proposal calling for free and unlimited cointage of silver was laid before President Roosevelt today by Senators William H. King <Dem., Utah), and Burton K. Wheeler 'Dem., Mont.). Mr. Wheeler and Mr. King left the White House apparently well satisfied with their interview with Mr. Roosevelt. SUBSTITUTES FOOD BILL Senator Copeland Offers Measure to Replace Tugwell’s. Py United Press WASHINGTON. Jan. 4.—A food and drug bill to take the place of the widely criticised Tugwell bill was introduced in the senate today by Senator Royal S. Copeland! tDem., N. YJ. / /t

HOME EDITION PRICE TWO CENTS Outside Marion County, 3 Cents

! 1 ' gained by amendment of administrative sections o fthe income tax law in which J. P. Morgan and others have found loopholes for tax evasion. Deliberately utilizing only the lowest estimates of potential revenue and generally the higher estimates of potential expenditure, the President expects the ultimate facts to be somewhat more favorable than the financial situation is pictured j today in his message. His liquor income estimate at the $2 a gallon rate now proposed, for instance, was for an increase of only $50,000,000 above income at the existing sl.lO rate. The message contains an indirect warning to the states to avoid loading liquor with j burdensome gallonage taxes. Congressional leaders have told Mr. Roosevelt the liquor income | would be far above his estimate. He I told them, in return, that he wanted appropriated an additional $1,166,000,000 at this session of con-’ gress for immediate use to continue the CWA after Feb. 15; to aid home loan banks; and to refinance farm loan's With the old federal land bark system. At the White House conference last Monday night, Mr. Roosevelt informed Democratic congressional leaders that he wanted from this session an appropriation of $2,000,000,000 of emergency funds for use in the next fiscal year. $600,000,000 for Relief He estimates $600,000,000 for relief; $500,000,000 for public works; $500,000,000 for the RFfc; $300,000,000 for the civilian conservation corps; and $100,000,000 for farm credit and home loan aid. The President asked the Democratic leaders for a lump sum appropriation. Failing that .he wants authority to shift itemized allotments from one avenue of expenditure to another. He feels, for instance, that relief needs in the next 1 seal year may vary between $300,000,000 and $800,000,000 and doe 6 not want to be tied to a specific ! sum. The rather mysterious $500,000,000 for the RFC is to be earmarked, the United Press understands, to general emergency needs. This budget takes no account of additional taxes which may be levied at this session. If congress puts i them on—and it must be remembered that an election impends—the proceeds will be so much velvet, to use the language of a high authority. Economy Bill Unchanged Neither is the possibility of war debt payments reckoned in the totals. But the government will continue to seek its due from Europe. Against expenditures for this fiscal year is estimated revenue of $3,259,938,756, considerably more than had been expected. Revenue for the next fiscal year is estimated to be $3,974,665,479 The economy bill is to remain unchanged, except for legislation making return of 5 per cent of the federal employes’ 15 per cent pay cut mandatory as of July 1. The overall deficit figure represents the net increase in public debt estimated for June 30, 1934, when the fiscal year ends. There is in addition S4BB 171,500 allocated to public debt retirement. White House Pleased Mr. Roosevelt said the aggregate of expenditures in this fiscal year and the next would be $16,529,805,667 and that on June 30, 1935. the national debt would be swollen to the unprecedented figure of $31,834,000.000. He promised then to balance the budget within federal income. It is remarked about the White House with considerable satisfaction that comparison of the last Hoover budget wdth this first of the Roosevelt administration shows general expenses of the government nave been cut 5684.913.167 below general federal expenses in the last year of Mr. Hoover's regime. This is exclusive of recovery expenditures. Mr Roosevelt is not awed nor frightened by the need to borrow $10,000,000,090 in the next six months. Os this sum. $6,000,000,000 will be new money and $4,000,000,000 will be to retire maturing government obligations. The President is confident the government's credit is sound and will remain so despite the staggering nature of the recovery bill.