Indianapolis Times, Indianapolis, Marion County, 3 March 1942 — Page 1

FORECAST: Not much change in temperature this afternoon and tonight.

FINAL

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gives Znowane) VOLUME 53 NUMBER 306

's S. Plans To Double ax On Incomes Under $10,000

UB SINKS DEST 0YER. 100 DI

\

y 5 Tax Individual income tax ..... Corporation taxes .. \ Estat and gift taxes is

Ghand ‘total . Less

ore Tax Program ASHINGTON, March 3 (U. P.).—Enactment of

4 the treasury’s war revenue program would result in | these annual increases in tax collections:

©0060 0000000000000

oval of special privileges

foagnes ¥ for interrelated effects. ..

Approximate increase expected ......

. Increase over present yield

cedenees de. $3,200,000,000 cevreseesess 3,060,000,000 330,000,000 1,340,000,000 680,000,000

es 20000000

...$8,610,000,000 1,000,000,000

..$7,610,000,000

8 =» =»

f———————

EASIER TOPAY AND WIN THAN T0 LOSE WAR

Morgenthau Says Only High Rates and Full Rationing Can Stop Inflation.

WASHINGTON, March 3 (U.P).

—Secretary of the Treasury Henry Morgenthau Jr.,

warning that war

i | : Proposed $8 40 128 230 345 470 1,023

. Here is the way the administration wants to increase individual income taxes over present levies:

i i»

Single person

Present

$3

21

69 117 165 221 483

Married with 2 children

Proposed

$32 118 587

Present

$12 58 271

1,990 2,720 4,888 10,418 27,715 69,625 429,610 879,610

1 T 53

345, 73s,

Wasrioron. March 3 (U. P) — United States income taxes— nactment of the treasury’s new projposals—would be lower f Great Britain and Canada on incomes of $25,000 or less. A

even with than those

for a married man with

Proposed U. S. $32 118 587 2,143 9 472

NO LICENSE $31 IN COURT

Drivers Fined by e Niblack.

vers who were arure to have their 1942 and plates paid for nation in municipal

1, ,493 2, 1224 20, 214

_ Says Doctor

_| posed by Frank J. Regester of coun-

.|charges of killing Mr. Mattingly.

abandoned a 16-year romance with

»{under more normal conditions.”

717 1,117 2,475 6,480 19,967 52,160 344,476 731,930

031 1,472 2,143 4,167 9,472 26,537 68,261 428,215 878,215

994 882

654 139

quart, ing the levy on a 15-cent sg sire IE 08 Levy on 3, 15cm]

two children shows: Present Great Britain $530 755 1,665 4,305 14,817

| anada $115 215 735 2,710 10,721

sanity was given at the close of a 48-minute hypothetical question

sel for Mrs, Payne, on trial on

Mr. Regester traced Mrs. Payne's life from her birth, “about 1897,” in Polk township, Monroe county, to July 10, 1939, when Mr. Mattingly

her. Takes Stand Tomorrow

The defendant is scheduled to tell her own story to the jury tomorrow. She appeared this morning in a black | skirt and freshly laundered white blouse. ‘She stated that she had 8 good night's sleep and felt much better than she had since the trial opened. | Half{-way through his question to Dr. Wiltshire, Mr. Regester- said: “We will assume, doctor, that this woman has |entered that period which is commonly known as a change of life. We will assume that the average age for the beginning of this period is 46. We will assume that women in this period commit peculiarities of nature alien to them

corporation, |$3,060,000,000:

is cheaper to win than to lose, today asked congress to double income taxes of persons earning under $10,000 a year and increase other levies to raise an additional $7,600,000,000 annually in war revenues. He said that the nation can halt inflation only by coupling the steep taxes with complete rationing of consumer goods. More price control measures also were recomsmended. “The Sooner we come to complete rationing, the better,” he told the house ways and means committee, which will draft the new bill.

May Begin Collecting in July He proposed to start collecting

some of the high new tax on this year’s income in July instead of waiting until March, 1940,

The administration’s “victory” fax program calls for taxing soft drinks one cent a bottle, increasing the. whisky tax from $1 to $1.50 a

cents and doubling the present gasoline tax of 1%; cents a gallon.

Every Home Affected

“The new taxes wiil be severe, and their impact will be felt in every American home,” he said.

“War is never cheap; but . . . it

is a million times cheaper to win

than to lose. . . . Our task is to make the tax programm an instru-

ment of victory.”

He urged that congress levy these annual increases in taxes: Individual income, $3,200,000,000: inheritance and gift, $330,000,000, and excise, $1,340,000,000. Another $680,000,000 would be realized by taxing income from state and municipal bonds—both existing and future issues, by requiring .husband and wife to file a joint return and through plugging Otter so-called loopholes in present aws.

May Take Some at Source

The treasury requested authority to collect part of the individual income taxes at the source—up to 10 per cent of the taxable portion of salaries. Treasury officials said this withholding form of collection might be put into effect next July 1 which would result in most taxpayers paying on two year’s taxes at the same

time—the final two payments of

(Continued on Page Five)

WEST COAST AREA CLOSED TO ALIENS

210,000 Face Ouster From Military Zones.

SAN FRANCISCO, March 3 (U. P.).—The army today declared the

western half of Washington, Oregon and California and the southern! half of Arizona a military area from

TUESDAY, MARCH 3, 1942

Entered as Second-Class Matter at Postoffice, : Indianapolis. Issued

Ind. daily except Sunday.

PRICE THREE CENTS

There's still a spirit'of fun in

Waikiki.

The U. S. 0. i in » Hawaii

Hawaii despite barbed wire on the

beaches and big guns in the hills. Here Kealani Keaolu, member of a show touring army and navy camps, entices a sailor into a hula at

NAME SHIT i 10

Democrat’s . Vote Breaks Deadlock Between Republicans.

A long-standing Republican deadlock over a county liquor board appointment was ended today when Robert S. Smith, G. O. P. attorney, was nan.ed to the board. His ‘appointment was made possible by tiie vote of the dvmocratic

commissioners, Harry Hohlt. The appointment order was signed by William Bosson, Republican commissioner, and Mr. Hohlt. Commissioner William T. Ayres, the other Republican, refused to sign the order.

Favored Meischke

Mr. Ayres had been backing Charles Meischke Jr., west side grocer, for reappointment, presumably with the support of county G. O. P. Chairman James L. Bradford. Two weeks ago both Mr. Ayres and Mr. Bosson had. signed an appointment -order for Mr. Meischke, but before it was certified, Mr. ‘Bosson withdrew his name and announced he would support Mr: Smith for the job after factional

n, made the viola-|a anor and prescribed

“motorists who were only with failure to have

Mr. Mattingly

Cites Her Conduct

Mr. Regester pulled no punches in his efforts to invalidate prosecution evidence {ending to show that Mrs. Payne slew Mr. Mattingly in fage compounded of hate and jealousy. The lawyer made much of the|. point that Mrs, Payne had harassed both before and

2 fined $1 and costs, or

es FEATURES V. INSIDE PAGES

11 Mllett sisseene 14 19 Movies ....... 6 18 Obituaries ass # 12 ‘Pyle : 16 ‘Questions. «11,12 ... 12 Radio .. 20 13 Mes Ee i 4 9 Serial

after his marriage to his secretary at the Indiana public service commissioni, where he was attorney examiner, The | attorney emphasized Mrs. Payne’s “more than 700 trips in less than two years” to Indianapolis and other towns trying to force an interview with Mr. Mattingly, whom she had accused of unfairly jilting her; her transactions with private detectives, and her assault on Mrs, Mattingly on N. Pennsylvania st. in Indiangpolis. “This very practice,” Mr, Regester said, “proved the absolute disintegration of this defendant's mind, super-inducted by the loss of Mattingly’s love after 3

which enemy aliens and Americanborn Japanese will be ousted -progressively to rid the Pacific coast of a potential fifth column threat. Created in the most drastic step yet taken toward alien control, the area was designated by Lieut. Gen. John L. Dewitt, chief of the western defense command, under authority granted by President Rooseveit and the war department. It affected 140,000 enemy aliens and 70,000 American-born Japanese. Gen. Dewitt emphasized that the proclamation merely sets up prohibited and restricted areas on the coast and does not represent an order for aliens and JapaneseAmericans to move out. Evacuation will be ordered later. Gen. Dewitt said the entire process would be progressive and gradual, aimed at clearing the vital district but avoiding economic hardship to the extent. consistent| with the military urgency Which( impelled the action,

HOURLY TEMPERATURES 6am ...31 am ..33 7a.m ...32 ... 33

constructed according

pressure in the Republican party had been applied in the situation.

Members ‘Were Deadlocked

This left the G. O. P. commissioners deadlocked, forcing Mr. jo Smith's friends to seek the demo-|

latter agreed to vote for Smith after several conferences with leaders. The three other members of the bi-partisan county liquor board are George Kincaid, former Republican county. council member; William Sindlinger, ‘and Lawrence ‘Miller, both Democrats. Their reappointment will be due in a few weeks.

WPB LIMITS SALE OF GAS MASKS IN U. S.

WASHINGTON, March 3 (U. P.).

—Manufacture and sale of gas masks and anti-gas devices. not approved by government agencies was banned today by the war production

Gas masks, in the future must be to army

chemical warfare service specifications.

aia : “hed Arthurdale, Ww.. Va. “will be sold

minority’ ‘member of the county]

cratic help of Mr. Hohlt. The|

Arthurdale Net Loss—2 Million

to present tenants for an estimated $175,000 — $2,471,000 less than the. original construction cost, it was revealed today. The project was a social experiment of Mrs. Franklin D. Roose~ velt in the early days of the New Deal. C. G. Baldwin, administrator of ‘the FSA, told the house appropriations . committee ‘that rhe project, and others like it, had

‘It was ‘one of several projects puilt outside key cities with the idea of supplying low-inco.ne families with a tract of land for subsistence gardening, Mr. Baldwin said:

BRAZIL, U. $. SIGN

MUTUAL AID PACT

Large” Scale Production of

“War Materials Planned.

WASHINGTON, March 3 (U.P). —The United State and Brazil today signed a series of agreements providing for large scale production of strategic war materials, including rubber and iron ore. 1. A program for the mobilization of the productive resources of Brazil and a credit to:Brazil of $100,000,000 to- he made available through the export-import bank. 2. Expanded assistance to Brazil under the lend-lease act. 3. Establishment of a $5,000,000 fund by the Federal Rubber Reserve Co. to-be used in collaboration with the Brazilian government in developing the raw rubber production of the Amazon valley. and ‘ adjacent regions.” 4. Agreements for the development of. the Itabira mining properties: and the Victoria-Minas railroad for the procurement by the United States and Great Britain of the high grade iron ores to be produced in these properties.

NAVY ARRESTS “TALKERS”

SAN FRANCISCO, March 3 (U. P.).~The navy clamped down today on ‘careless talk” about naval

“a number” of enlisted men and civilian employes for gossiping too

freely in hotels and taverns.

JAVA HOLDING;

fdefinite nels Doncemine, the cen-

affairs and disclosed the arrest of

JAP INVADERS PUSHED BACK

Dutch Warn Island Must Fall if More Help

Fails to Come.

By JOE ALEX MORRIS United Press Foreign Editor

Dutch fighters have temporarily halted the Japanese advance in Java. But there was little hope that the do-or-die stand of the cour-

ageous defenders would more than delay the overwhelming force of enemy invaders. - The Japanese already had troops estimated as high as 100,000 men ashore on Java and more were com-

But the Dutch and their allies put up a brave and skillful fight. Today’s Dutch communique said that the Japanese had failed to gain since Sunday on any of three invasion fronts they established on the north coast of Java, and W. H. McDougall, United Press war correspondent, reported from the front that the enemy had been driven back at least seven miles on one sector.

Accurate Reports Impossible

But Mr. McDougall’s dispatches emphasized that there was lack of

lines were so fluid that accurate reports on the trend of ‘battle were impossible. The courage and determination with which the Dutch were fighting on Java was emphasized by dispatches from the front, which told of frequent hand-to-hand clashes and of savage night battles with small enemy groups which were reported using a type of fire bomb or perhaps flame throwers in their attempts to penetrate the jungle and plantation country. Japanese planes, although apparently not operating in great force, were active over Java, according to the dispatches, which did not mention allied air activities on Tuesday. Jap Ships Knocked Out

On Monday, according to the communique, allied planes knocked out a dozen enemy aircraft and three ships lying off the coast. An enemy air raid on an airdrome near Bondoeng this morning killed two persons. The defenders are fighting in tropical heat and torrential rainstorms. Mr. McDougall said that the censor did not permit him to mention American forces in his telephoned dispatch, but a report to the London Star told of Americans participating with Dutch and British troops in one night raid that wiped out a Japanese jungle force after bitter fighting not far from Batavia. “Some of the native soldiers held huge leaves over their heads (Continued on Page Five)

HOME TELEPHONES RESTRICTED BY WPB

TON, March 3 (U.P). i e curtailment of luxuries and conveniences was extended to home telephones today by the war production board. Restrictions | on installations to save critical materials will affect households and business offices if added or new equipment is sought. Telephone companies were directed not to install extension phones in private homes unless essential to public health and safety.

‘NO ENEMY BASES HERE’ TIJUANA, Mexico, March 3 (U. P.).~Gen, Cardenas, former president of , denied today that axis secret bases exist in lower

|California,

Torpedoed Off New Jersey Coast

ATLANTIC:

PHILIPPINES:

JAVA:

LONDON:

MELBOURNE:

MOSCOW:

On the War Fronts

U. 8. destroyer Jacob Jones sunk by enemy suff off New Jersey coast; 100 die.

Jap operations against Gen. Douglas MacArthur at a standstill, but enemy warships shell Zamoanga, and land troops; Japanese warships also attack Cebu, Argao, Misos, Tolong, Dumaguete, Marica Bong and Bugo.

Dutch reports Japanese invaders halted at three beach heads; report bombing of two big transports, sinking of a Japanese tanker and the destruction of 12 enemy planes.

Dutch colonial minister admits Dutch have little hope of saving Java; doubts that reinforcements can arrive in sufficient strength; Gen. Sir Archibald Wavell leaves for India, turning over Dutch Indies command to Gen. Heinter Poorten; government preparing concessions to India.

KUNMING: American airmen re-

port only looters and bodies left in Rangoon.

Jap planes attack Broome and Wyndham on Australian northwest coast; bomb two New Guinea points; Australians decree labor conscription, unify defense forces.

Soviet advance continues at Leningrad, Staraya Russa, Kursk and in Crimea.

| BERLIN: “Admit strong Soviet at-|! nie Si “the ; - gions. o and tot dn ‘some areas the Aghting

he»

SUB SHELLS NYA

GAMP ON ISLAND

‘None of 170 Boys Injured

In Attack Reported

Near Puerto Rico. SAN JUAN, P. R.,, March 3 (U.

P.).—An enemy submarine shelled a national youth administration camp on Mona island, 45 miles west of Puerto Rico last night, the: camp administrator reported today.

Sam Gilstrap, the administrator,

reported that ‘the shelling occurred at 8:30 o'clock last night.

“The boys behaved well,” he mes-

sage said.

There were no casualties or damage. Mona island lies in the Mona

passage, an 80-mile stretch of water that separates Puerto Rico from Haiti. long by about two miles wide.

The island is seven miles

A supplemental report from the

director of the Mona island camp said that 25 to 30 shells were fired, apparently from about two miles off shore. All of them landed on a, cliff at the top of a mountain at the south end of the island. The mountain is covered by almost impenetrable jungle growth.

The only inhabitants of the is-

land are the 170 boys and adult personnel of the NYA camp.

JAPS SHELL SEVEN

1.5, SHP TORN APART BY OWN DEPTH BONBS

Jacob Jones Hit Twice Off Jersey; Only M1 of 125 Or 150 Survive. WASHINGTON, March 8

announced the torpedo sinke ing of the U. S. destroyer

N. J., with loss of more than 100 officers and men. : It was the first known naval loss in the enemy U-boat campaign along the eastern seaboard that has claimed many merchant ships. One or two torpedo hits blew up the destroyer’s own supply of antie submarine depth charges. Explosion of these charges apparently cone tributed to heavy loss of life on the American ship. Only 11 crew members survived

out of a possible complement of 138 to 150 men. The navy indicated that the dead included Lieut. Comm, H. D. Black, skipper of the crafts

Hit by Two Torpedoes

The Jacob Jones was a World War I type of destroyer, ha th heen, commissioned in 1913 rough by enemy action in the tia and the Pacific. In addition, two naval vessels were pounded to

foundland. According to the sketchy ace counts told by the Jacob Jones - vivors, two torpedoes: y struck the destroyer. The first blew up the bow. The second struck the stern, blowing ‘it: up along with all the depth charges,

Sub Not Sighted

Casualties in the first blast, abe cording to the navy, apparently ine cluded all . the personnel on the | bridge and men sleeping in the | forward living compartments. The second torpedo, crashing into the stern, left only the men amidships alive, together with one man in the aft engine room. Details of the action in which the Jacob Jones was sunk were sparse because so few of the survivors wefe ; on deck at the time. Neither the submarine nor torpedo were sighted, according the navy. i The Bist of Kin of thos Io have been notified.

Second of Same Name

It was the second ship so named. Its predecessor, also a destroyer, was sunk by an enemy su on Dec. 6, 1917, while en route to Queenstown, Ireland, from Brest, France, with a loss of 64 officers and men, The announced toll of U. 8. naval vessels since American participas tion in the war now includes the five ships, including the battleship Arizona, lost at Pear! Harbor: the

destroyer Reuben James, off Iceland with a loss S Vpedoed lives;

r

the naval tanker Neches, which

PHILIPPINE PORTS i oe

Land Troops on Tip of Mindanao From Convoy. WASHINGTON, March 3 (U. P.).

—The war department announced|p today Japanese naval forces are

lost by enemy action in wnilosed: waters. ;

MODEL EMPLOYEE STEALS $309,000

TOMS RIVER, N. J, March 3 (0, P.).—Martin G. Schwartz, 53, Tée garded as an upright, model citizen, was held in $25,000 bail for : grand jury today on his that he had embezzled $309 from the Dover Mutual Loan and Building ssoemion, of whieh had been secretary t 2 years. | State banking t ©

d/said he admitted taking the §

ciation’s funds over a 15-year . riod to bet on. hore! rages; 3

NORWEGIAN

9 RESIGN IN P WUT

(U. P.).—The navy today |

Jacob Jones off Cape May, EG

pieces in a severe storm off New- g