Indianapolis Times, Volume 46, Number 9, Indianapolis, Marion County, 22 May 1934 — Page 1

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ROOSEVELT URGES 75-25 RATIO FOR MONETARY SILVER President Proposes Compromise With Rebels in Congress, Asks Authority to Nationalize Metal. 81-METALLISM CONFERENCES BARED Executive Reveals Parley With Other Nations; 1,300,000,000 Ounces Will Be Needed. Is Unofficial Estimate. H'i r n‘>"i rr> • WASHINGTON. May 22.—President Roosevelt compromised today with silver rebels in congress in a message that asked authority to nationalize the metal and proposed that the executive be directed to purchase silver until the monetary stocks are composed of gold and silver in a ratio of 75 to 25. No time limit on realization of the mandatory silver purcha e feature of this program was intimated in Mr. Roosevelt's message. Nationalization would lie permissive. It was unoflicially estimated the government would have to p U rcha e 100,000.000 (R) ounces of silver to realize the proposed ratio.

In submitting 1 his silver plan, designed to calm the congressional silver storm, Mr. Roosevelt revealed that: 1 Fomcn silver has been purchased with some proceeds of the 5 2.000.000 000 stabilization fund created from part of ihe treasurj - profit through nationalization of gold. 2 Conferences had begun “with some of our neighbors reaardinc coordinated bi-metallism.” The President proposed: 1. Lecislation declaring it to be the policy of this government to increase silver in monetary stocks until the ratio us 25 per cent silver to 75 per cent gold. Tax Profits Suggested 2. That he be authorized and directed b\ congress to make silver purchases necessary to attain "this ultimate objective.” .T Limitation of 50 cents per ouiue on the price which may be paid sot accumulated domestic silver. 4 Authority be given him to nationalize noninduslrial silver on payment ol just compensation. 5. Provision for a 50 per cent rax on profits from silver speculation. In proposing this plan. Mr. Roosevelt explained the United States wan organizing a currency system designed to he both sound and adequa'e. But he emphasized that the country can not achieve aereptance of gold and silver as a permanent measure of value. Concerted Aetinn Needed Concerted action of all nations or at lea-i a large croup is essential. he said to create a world goldsil'cr standard. 'To arrive at that point the mes>age continued, we must seek every possibility for world agreement. although it may turn out that this nation will ultimately have to take such independent artton on this phase of the matter as its interests require.” Mr. Roosevelt believes that at no time since the United States first championed silver in 1878 have conditions been more favorable for international agreement. • Accordingly.” he continued. "1 have begun to confer with some of our neighbors In regard to the use of both gold and silver preferably on a cor-ordinated basis, as a standard of monetary value. . "Such an agreement would constitute an important step forward toward a monetary unit of value more equitable and stable in its purchasing and debt paying power." Stabilization Fund Used Mr Roosevelt pointed out that his proclamation of Dec. 21. 1933. initiated treasury purchase of newly minpd domestic silver in conformity with the London conference silver agreement, designed to absorb surpluses and prevent further debasing of that metal. 'Vo since have acquired other sliver m the interest of stabilization of foreign exchange and the development of a broader metallic base for our currency.’ Mr. Roosevelt added, revealing for the first time that some of the $2,000,000,900 <B* stabilization fund created last winter has been used to purchase silver in world markets. It h.s been variously rumored that the treasury has purchased 65.000 000 ounces through the stabilization fund. It w3s estimated today that approximately 1.300,000.000 ounces of silver would need to be acquired to bring the silver monetary stocks to a 25-75 per cent ratio with the existing gold 5t0ck—57,756,000,000. Elaborate safeguards gre expected to be adopted by the administration to prevent speculators from obtaining any benefit from the likely price r e in the metal should the government inaugurate its ambitious silver buying program. Bill Is Introduced B- I m<rd Print WASHINGTON. May 22.—LreislaMnn carrying out the compromise -t’ver program accepted b\ the Roosevelt administration was introduced In thp senate Today after reading of the President * message recommending increased use of sth er. The Mil declares it to be the policy of the United States to increase the proportion of silver to geid m the monetary stocks, with i

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VOLUME 46—NUMBER 9

the ultimate objective of having and maintaining one-fourth of the monetary value of such stocks in silver.” The bill, introduced by Senator Key Pittman <Dem.. Nev.), veteran leader of the silver bloc, provided a silver purchase plan surrounded with qualifications intended to give the treasury department ample frcpdom in carrying out the program. The senate silver block won its fisht for a clear-cut expression of the intent to purchase silver. The bill carried the provision: “The secretary of the treasury is authorized and directed to purchase silver, at home and abroad, for present or future delivery with any direct obligations, coin, or currency of the United States, authorized by law. or with any iunds in the treasury not otherwise appropriated. at such rates, at such times and upon such terms and conditions as he may deem reasonable and most advantageous to the public interest.” Ti was provided specifically, however, that no purchases of silver shall be made: 1. At a price in excess of the monetary value of silver. 2. Whenever and so long as the monetary value of the stocks of silver is equal to or greater than 25 per cm* of the monetary value of the stocks of gold and silver. 3. At a price in excess of 50 cents a fine ounce. The bill carries a permissive provision lor nationalization of silver, providing that any silver withheld in violation of any nationalization order .shall be forfeited to the United States. The issuance of silver certificates also is approved. Metal Shares Break fi'l L in *nt Pri ss NEW YORK. May 22. Metal shares, particularly those depending mainly on silver production, broke sharply today after President Roosevelt's silver message to congress.

BATTLE TO ABOLISH NBA OPENS IN HOUSE Britten Resolution Would Authorize Probe. Rn I nih il I'r. tt WASHINGTON. May 22—A battle to continue the Darrow board, investigate NRA and abolish the national recovery administration if board charges against it are substantiated broke todav in the house. Representative Fred a. Britten 'Rep.. 111.', introduced a resolution to prevent President Roosevelt abolishing Clarence narrow's national recovery review board May 31 as scheduled. Britten proposed that if bouse investigation substantiated the Darrow board's criticism of NRA. the investigating committee recommend to the house legislation to abolish the national recovery administration. Hourly Temperatures 6 a. m ... 67 10 a. m. ... 70 7 a. m. ... 67 11 a. m 70 Ba. m. ... 69 12 (noon).. 71 9 a. m 68 1 p. m. ... 72

The Show of Shows — A Surprise Awaits You The Indianapolis Times, in association with the outstanding electric refrigerator dealers and distributors, is sponsor of the 1934 electric refrigerator show tomorrow. Thursday, and Friday, at 1525 North Meridian street The third section of today's paper is devoted entirely to news, facts, and interesting information on why an electrical refrigerator is a time-saving a* well as a money-savin? deviep. The merchants of the eitv are displaying the outstanding refrigerators so that you can learn more about their operation and convenience in the home Ellen Beard formerly Patricia Cook, will prepare frozen desserts, and salads and serve her preparations to the guests attending the shou Mrs. Louise Purcell Schilling and her juvenile youngsters will entertain. Other big surprises are in store for those attending the show. Make arrangements not* to attend the show. Remember the plaec is 1525 North Meridian street, the time, tomorrow. Thursday and Friday, from 2:30 p. m. to 9:30 p. m.. daily.

BREMER PRISON. DILLINGER HIDEOUT

This dreary, abandoned lead mine house, near Cuba City, in southwestern Wisconsin, was the prison of Edward G. Bremer, St. Paul kidnap victim, and also the hideout, of John Dillinger after his Little Bohemia (Wis.) escape. United States agents have found. Forty federal officers, acting on a tip. spent threp weeks searching the area to find the rlews on which thev base their information.

Claim Arson Confession in $60,000 City Fire Alleged Pyromaniac Held by Officials; Got ‘Kick’ From Watching Flames, Police Say He Admits. Accused of setting off the $60,000 conflagration at the Talge Mahogany plant, and other fires, for the nervous thrill of watching the flames .spread. Jesse Pettis. 21. Negro. 1421 Cornell avenue, wag slated on arson charges in municipal court three today. He waived examination and was held to the grand jury under $16,000

TRUCK DRIVERS RATTLE POLICE Wild Disorder Breaks Out in Produce Market in Minneapolis. Rn I nihil Putt MINNEAPOLIS. May 22—Wild disorder broke out at the produce market today when nearly 5,000 striking truck drivers battled 1.500 police amid the screeching of ambulance sirens and the cries of shoppers caught in the melee. All available police squad cars were rushed into the market district to combat the second violent outbreak since the truck drivers, joined by sympathizers from other trades, went on strike. Hundreds of minor injuries were reported. The rioting broke out in the market square and the police and special deputies, standing their ground against a barrage of clubs, bricks and stone, finally restored quiet. The outbreak was a sudden development in the unhealthy quiet, that was maintained during ' the morning. A sudden charge by pickets left twenty-two deputies unconscious and bleeding from bruises. One special policeman was seriously injured. All were taken to a hospital ARREST FORECAST IN ROBLES KIDNAP CASE Purchaser of Cage Materials Identified. Says Authorities. fill f hitrrt Pres.* TUCSON. Ariz.. May ??—An arrest was forecast today in the kidnaping of June Robles. 6. who was released from an iron cage in the desert nineteen days after she was abducted. County Authorities said they pxperted to take one suspect into custody "in thp near future." They said they definitely had identified a man who purchased a supply of plasterer's wire used in the prison chamber. BLOODSTAINED CAR OF NAVAL OFFICER FOUND Two Held in Connection With Disappearance of Commander. Bn United Prrxt MARIETTA. Okla.. May 22—The bloodstained car of Commander S. A. Trowbridge. United States navy, has been found near here and two men are held on suspicion of murder in connection with the officer's disappearance. Sheriff S. H. Randolph said today.

Generally fair tonight and tomorrow; cooler tonight.

INDIANAPOLIS, TUESDAY, MAY 22, 1934

bond. Questioned by Bernard Lynch, fire prevention chief, and other arson experts. Pettis told his inquisitors he had suffered from “a bad feeling in the head” for several years and his only relief came from setting off a fire. Search for the Negro started soon after the disastrous blaze at the vacant factory at Thirteenth and Alvord streets Saturday which destroyed the former veneer works and burned ten homes. Persons in the vicinity of the razed plant told investigators of a Negro who had been lurking in the vicinity and had been caught attempting t,o steal machinery. Pettis was arrested yesterday as he was removing charred lumber from the ruins of the veneer plant. In an alleged statement to Chief Lynch and Nish Dinehart of the state fire marshal's office, the Negro is purported to have confessed starting the blaze at the Talge plant. ‘I went to the southeast corner of the building, which is a twostorv frame.’ read the purported confession. “I piled up some cily rags in the center of the room where the machinery was located and started it with an old-fashioned match.”

MONUMENT 0. K„ M'NUIT DECLARES Water Leakage Threat Not Serious, He Says. Governor Paul V. McNutt today denied reports that the Indiana Soldiers and Sailors’ Monument seriously is being imperiled by an enormous leakage of water from the catch basins of the monument. "We are concerned only with the leakage of water,” Governor McNutt stated. “There are no indications that the monument is undermined.” Fifty men will be put to work next Thursday to caulk and repair die two giant basins, which hold 53,000 gallons of water each. The leakage was said to be not less than 9.000 gallons a day. DILLINGER PARAMOUR'S CASE GOES TO JURY Marion Evelyn Frechette Charged With Aiding Outlaw. >/ l nihil Prrxt ST. PAUL. May 22.—A federal jury of eleven men and one woman today began deliberating the case of Marion Evelyn Frechette. John Dillinger's half-Indian sweetheart, and two others charged with harboring the outlaw- and treating his wounds. The case went to the jury at 12:10 p. m. Times Index Page Bridge 9 Broun 11 Classified 16 Comics 17 Crossword Puzzle 15 Curious World . 17 Earl Carroll Series 8 Editorial T 2 Fiinancial 13 Hickman—Theaters 6 Lippmann 11 Pegler 11 Radio 5 Serial Story 17 Sports 14. 15 State News 2 Vital Statistics 13 Winning of the East 11 Woman's Pages . 8. 9 Roy Drowns in Two Feet of Water Rn 1 niied Pmt LAFAYETTE. Ind.. May 22.—Joseph H. Wilson. 5, drowned in two feet of water while wading in Wildcat creek here yesterday. A brother of the child was drowned in Toledo, 0„ in 1928.

RIVAL FACTIONS CONFER WITH NRA BOARD LEADER IN EFFORT TO SETTLE REAL SILK DISPUTE

HOUSE HEARS HE ABUSES TO UIVETERAHS Insane Patients’ Estates Dissipated. Hospital Investigator Says. Bn Times Sin rial WASHINGTON. May 22.—How hundreds of thousands of dollars belonging to estates of insane veterans at the United States hospital at. Marion. Ind.. were dissipated by bankers acting as guardians, was told to the house rifles committee today. Before them was the report of investigations made by Samuel C. Cleland, Ft Wayne attorney, for the Veterans’ bureau, a copy of which was placed in the hands of General Frank T. Hines and Representative Glenn Griswold of Peru. The latter procured appointment of Mr. Cleland from General Hines, who is director of the Veterans' bureau, after making charges on the house floor regarding the dwindled estates. Bankers Are Accused In transmitting the report to the Veterans’ bureau Mr. Cleland wrote: "There isn’t any question but that bankers, acting as guardians, used funds of these wards for their own profit and for the purpose of bringing into their bank cash, in order to prevent the closing of the bank’s door. “Secondly, there isn't any question in my mind but what% number of officers and directors of the banks, individually, profited at the expense of insane veterans.” The Cleland report covers 353 pages and contains much of the material appearing in the Times expose of the situation published some months ago. Committee Hears Cleland Mr. Griswold had Mr. Cleland appear personally before the house committee for questioning regarding the report. He announced that he will seek authorization from the floor lor an investigating committee with full power to summon witnesses and to make similar investigations in veterans hospitals throughout the country. “The situation at Marion is minor compared with what I have been told exists in Chicago, Detroit, and Little Rock. Ark..” Mr. Griswold declared Conclusions Offered After citing each individual transaction, Mr. Cleland offered certain conclusions in the report, among them being: “It is difficult to escape the conclusion that prior to the merger of the First National bank and the Grant Trust and Savings Company there was a general transfer and unloading of bad securities by the Grant Trust and Savings Company into the guardianship estates. “The Grant Trust and Savings Company is guilty of bad faith in making investments in securities at the time the investments were made." is another conclusion contained in the report. In a letter of transmissal of the report to General Hines. Mr. Cleland set out the difficulties encountered in making the investigation without power of subpena. Terming the whole affair a “tragedy of errors,” Mr. Cleland wrote: “Persons involved hedge, tack and evade when approached, all of them concede the situation is bad. All zealously contend that error of .judgment is the most, that can be made of it.” FAIR BILL IS SIGNED Roosevelt Puts Signature on Appropriation of S2oa.oon. Pn L nited Pirns WASHINGTON. May 22.—President Roosevelt today siened a bill appropriating $200,000 for government participation in the Century of Progress Exposition at Chicago this year.

Dillinger Paroled From Prison at Michigan City One Year Ago Today

One year ago today John Dillinger was paroled from the Indiana state prison at Michigan City by Governor Paul V. McNutt. Unknown at that time except by the inmates of the prison and a few acquaintances in Mooresville. his home town. Dillinger today is regarded as Public Enemy No. 1 of the nation. Today he is the ‘ mast wanted” man in the United States. An expeditionary force of federal agents, as large as the posse which pursued Pancho Villa through the southwest, relentlesslv pursues the elusive Hoosier bandit. Enraged at Dillinger's series of desperate forays in a score of states the federal government has set a price of $25,000 on his head. Five states, including Indiana, have offered a $5,000 reward for his death or capture. Dillinger's criminal career during the last year has cost the country

SLAYER OF FATHER

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Looking little like a killer, 15-year-old Steve Verbes. Beaver Pa., farm lad. is shown with the shotgun with which he fatally shot his father, Lawrence Verbes, 47. to save his mother when she was threatened with a pitchfork by the enraged man. The boy is held in Beaver juvenile detention home, where he gave himself up.

ROADS GUARDED AFTER MUNCIE SHOOTING FRAY I State Police on Watch for Reported Machine Gunmen. The “flying squadron" of the state police force, led by Sergeant Ernest Pierce, today was dispatched along roads leading into Indianapolis after reports were received here of a gangster shooting fray in Muncie. Local police were warned to be on the watch for “two roughly | dressed machine gunners” who 1 escaped from deputy sheriffs after j a running gun battle on a country road five miles west of Muncie. Reports received by Captain Matt | Leach of the state police indicated ! that the gunmen were heading to--1 ward Indianapolis. In the encounter outside Muncie, Deputy i Sheriff Les Corn opened fire on the automobile in which the bandits j were reported riding, armed with | submachine guns.

DETROIT REVENUE COLLECTOR QUERIED Morganthau Quizzes Abbott on Campaign Funds. Rn United Prrxt WASHINGTON. May 22—Treasury Secretary Henry Morgenthau Jr. todaly called into conference Horatio J. Abbott, collector of internal revenue at Detroit. The meeting was the result of charges tha Mr. Abl , who is Democratic national co, mif,teemsn from Michigan, sought contributions for political purposes in the Detroit area. Mr. Morganthau's conference with Mr. Abbott closely followed announcedment by Representative Carl M. Wideman 'Don.. Mich.) that he would introduce a resolution in the house today demanding an investigation of Abbott's activities. Ctton Output Limited Rn T. nited Prrxt WASHINGTON. May 22—The 1933 cotton reduction program will limit this year's crop to 13.047.000 bales, the department of agriculture estimated today, with the prediction that without control the yield would have reached 17.000.000 bales.

more than SBOO,OOO. it has been estimated. Indiana has spent many thousand dollars in futile attempts to capture him. Leading his "terror mob” of escaped convicts, including Harry Pierpont and Charles Makley. awaiting death in the electric chair at Columbus, 0.. Dillinger terrorized banks throughout the middle west for more than five months. Not until Dillinger and his gang were captured at Tucson. Ariz., late in January, this year, did the raitis on police arsenals and financial institutions cease momentarily. Political strife has resulted f rom Dillinger's escapades. In the recent primary elections in Indiana. Robert G. Estill, Lake county prosecutor, was defeated because he posed with hi? arm around the desperado following Dillinger's capture a* Tucson. A] Feeney, state safety director, publicly criticised the “political spoils system” which prevented him

rc-red as Second-Clas? Matter at Postoffice. Indianapolis. Ind.

Five Representatives From Capital, Labor Groups Selected for Parley With Father Francis J. Haas. U. S. CONCILIATOR IS HOPEFUL Long, Drawn-Out Strike Problems Discussed; Union Men Demand Pay Raise; Goodman States Case. BY DANIEL M. KIDNEY Times Staff Writer WASHINGTON, May 22.—Capital and labor and Father Francis Joseph Haas sat down together today to try to settle the long, drawn-out Real Silk hosiery mill strike at Indianapolis. The task appeared almost hopeless as the contending groups appeared before the NRA labor board, which was represented by Father Haas, acting chairman. But Father Haas smiieri as though there always can be agreements reached in the most trying cases. He talked to them a bit. and then left the room.

SHANGHAIING OF INSULI HINTED Magnate's Charge of Abduction Has No Weight, Says U. S. Attorney. By United Prrxt CHICAGO. May 22—The government admitted today that Samuel Insull may have been “kidnaped or shanghaied” from Turkey but contended that his charges carried no legal weight in the right of the federal court to try him on criminal charges. The government's answer, contained in a demurrer filed in Judge Philip L. Sullivan’s federal court as the 74-year-old fallen utility czar attacked the jurisdiction of the court, came*' from United States District Attorney Dwight H. Green. Regardless of the manner in which Insull was taken from the j tramp steamer Maiotis after he had ! fled from his pursuers across the ' Mediterranean ocean hp is bound to island trial on two federal indict- ! ments. Mr. Green said. After listening to the arguments Judge Sullivan took the pleas under j advisement gnd called for briefs in Support of the claims made on behalf of Insull and the government. PWA ORDERS SURVEY | OF CHICAGO FIRE AREA United States May Use Ruined Sections in Housing Project. ■ Bn United Prrxt WASHINGTON. May 22—The | public works administration ordered : a survey today to determine the feasibility of using sections of the area near the Chicago stockyards, which was cleared by fire Saturday night, for a housing project. Colonel Horatio B. Hackett. gen-, eral manager of the public works emergency housing corporation leaves for Chicago late today tc inspect the site and to confer with authorities. He will report to Public Works Administrator Harold L. Ickes whether the burned over area might be utilized for low cost ohusing construction. AUTO BIDS TOO LOW. SAYS SAFETY BOARD Purchasing Department Ordered to Buy Six New Cars. Declaring that the' automobile bidders failed to offer a fair allow- | a nee for the police department's I used cars, the safety board today | oordered the city purchasing department to advertise for new bids | for six automobiles and six motorcycles. In submitting the bids for four j Sfcutz cars owned by the police dei partment. the bidders made a uni- ! form offer to the board of SIOO for ! the cars.

from assembling a state police force "capable of dealing with gangsters of the Dillinger type.” Dillinger became “front page” news all over the world when he escaped from the Crown Point jail March 3. using a “wooden pistol” to force his way to liberty. At that time, he stole Sheriff Lillian Holley's official car and escaped to Chicago. With thousands of law enforcement officers throughout Indiana constantly on the alert for him. Dillinger and his gang openly have boasted of more than two-score visits to Indianapolis. On April 4. as first revealed by The Times. Dillinger came to Indianapolis and visited relatives, enjoying a chicken dinner with his aged father at Mooresville, April 8. Today Dillinger still is at large with fourteen murders and a score of robberies in the trail of his reign of terror.

HOME EDITION PRICE TWO CENTS Outside Marion County. 3 Cents

Soon the labor group was in a huddle on one side and the owners and their attorneys on the other. An hour passed. It grew hot in Washington. All had their coats off. The union men contend tha* 85 per cent of the industry is paying the union scale to full-fashioned knitters, and that Real silk at Indianapolis and the Dalton (Ga.) plant are included in the 15 per cent which does not. The Dalton plant is closed down, with all hands on strike. All but a handful of knitters are i on strike at the Real Silk Indian- ; apolis plant, the union men contend. In 35 per cent of the industry, their organization has been given full recognition, they assert. Union recognition really is what they are seeking in Indianapolis, according to the employers, who are fighting it, every step of the way. J. A. Goodman, chairman of the ; board of the company, contends I that more than 60 per cent of the industry is not paying the union | scale to knitters: that his company ! kept the plant open during the depression. while others closed down, and thus employes of Real Silk have not suffered as did employes at other concerns. He also asserts that labor conditions are “different” in Indianapolis than elsewhere. When the hearing opened, the company attitude was that this is just an attempt to settle the strike by arbitration and that actually no new issues are raised since the original decision of the board here, which was in favor of the company contract with E. M. B. A., the company union. Early this afternoon, five representatives from each side were chosen to go irtto conference together in an effort to settle the strike. Father Haas advised that the affair be made a matter of conference rajther than formal hearing and this view was accepted. IMPEACHING OF U. S. JUDGE IS CONSIDERED House Judiciary Committee to Make Report Tomorrow. -/ r nihil Prrxt WASHINGTON. May 22—Chair-, man Hatton Sumners of the house judiciary committee indicated today that the committee would vote tomorrow on whether to recommend impeachment, of Federal Disi trie* Judge Charles E. Woodward of j Chicago. BANK BILL IS HURRIED Proposed Art May Be Brought Up in Hour-; Tomorrow. R’! t n ilrrl Pi-rut WASHINGTON. . May 22. —The house rules committee gave nght-of-way today to the bank guarantee bill with its permissivF deposit payoff” provision. The bll probably will be brought up in the 1 ' house tomorrow.

IT’S THE LAST DAY Today is the. lost day in which skaters can enter the first annual William H. Block Company-Indianapolis Times Roller Skate Derby. Free entry blanks for the derby, which will be held Saturday at Tomlinson nail, may be obtained in the ooys’ department. third floor. Block’s. The blanks will be passed out until 5:30. Block's closing time. Those who can not visit the store today may drop a letter in the mail to The Tunes Roller Skate Derby Editor and the entry will be accepted if the letter is postmarked before midnight. Twelve events will be held, and prizes, provided by the Block company, include eleven silver cups and two medals. Further news concerning the derbv is published in The Times today.