Richmond Palladium (Daily), Volume 46, Number 173, 1 June 1921 — Page 1

RICHMOND P AULAJD fit;. VOL. XLVI., No. 173 Palladium. list. 1831. Consolidated with Sun-Telegram, 1907. RICHMOND, 1ND., WEDNESDAY EVENING, JUNE 1, 1921. SINGLE COPY 3 CENTS Gary Sounds the Optimistic Keynote of Our Future Prosperity

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SHIPPING BODY TO HAVE JOB OF MARKETING Policy of New Board, Sectional in Its Personnel, Under Control of Congress, To Be National.

FIRST MONEY IS DEPOSITED BY GERMANY First Installment of Reparation Payment of $35,733,000 Placed in New York Bank Through Agents. credits Transferred

74 KILLED IN TULSA RIOTS; CALMHILITIA State and City Authorities Establish Martial Law After Whites and Negroes Clash for 24 Hours. NEGRO SECTION FIRED

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TO ENCOURAGE PORTS

HY MARK SILUVAX WASHINGTON, June 1. The job that the new shipping board has is by far the most difficult of our after-the-war problems. The first of many difficult decisions on fundamental policy which they must take is whether this institution shall be conducted from a national point of view or from a sectional point of view. Many things dene by congress have the tendency to express the aggroKate of various sectional interests. They are one variation or another of the process call "log rolling." The s-hipping board as it has been organized by act of congress, has this sectional point of view. One member must come from the North Pacific coast, one from the south Pacific coast; one from the Gulf coast, one from the South Atlantic coast and one from the North Atlantic coast, one from the Great Lakes and on? from the interior. Cares for Ports. This sectional distribution of peronnel is merely expressive of something deeper. What was wanted by the interests which came together ir. congress to pass the act was that the ports f the various parts of the country should be adequately cared for. The point of view was not national i but sectional. It was not to achieve the most direct and economical man-; agement, but how best to build up the ports on all coasts of the country. The new shipping board must determine whether they are to fall in with this policy or whether they are to conduct the institution from the purely national point of view. The method which takes care of all the ports of the country is of course the most expensive, and is the one which puts us at the greatest disadvantage il competition with other nations. Must Nourish Ports It is recognized that the prosperity of the smaller ports of the country isj a proper thing to nourish and stimu late, not merely as a concession to local pride and local power in congress, but from the broadest point of view. In order to do this, and at the same time, not sutfer the awkwardness and expense involved in such a policy, a suggestion has been made iO the new shipping board from such a quarter that it may well save weight with them. This suggestion is that if local ports want to build their own shipping and want to establish ocean routes they should be encouraged to do so, of their own initiative and under their own direction. Concretely, the suggestion is this: (he shipping board owns a great many i more ships than it can use. It owns ! more ships than it can, under present I conditions, sell at almost any price. I In fact, many ships which were sold a year or two ago on the installment ' p'an are now falling back on the ship-! ping board's hands. It is proposed j that this surplus of ships shall be put I at the disposal of seacoast cities, as a matter of local pride and self interest . want to develop the importance of their ports. Provides Ships In working the plan out the Chamber of Commerce and similar organizations of a city would he told that the government is willing to donate bhips outright of the Chamber of Commerce will organize an operating i rmpany with local capital. By this i

r'an the government would provide ' shown by a vote of about 5 to 1 that Oc ships and the local communities ! they believe they are capable of sev.f.uld take all the responsibility of i lecting their own officers. The vote, operation. which went so overwhelmingly against It would be hard to .magine a fairer! the adoption of the new plan, shows proposal to any city which is ambitious ! that the enfranchised public desire to to bui'd up its shipping and to sell ! continue to live under a democracy iis local products in foreign markets, j and not toward a monarchy," Mr. It Is surely a better plan than for the j Freeman said. federal government to assume all the j "The special election in Richmond awkwardness and the inherent waste ; will bear out the same sentiments, involved in the present, point of view. ' Our organization believes in the fl Marketing Organization 'people and believes they will show J It can be taken for granted that so good judgment in selecting their offifar as is possible under the control i cers to direct their policy, and adcf a law and a congress which is sec-j minister the affairs of their city, tional in its point of view, the policy Says No Excuse of the new shipping board will be na- "Under the safeguards thrown tional. The conception which has in-1 around city officials by the present fluenced President Harding has not j laws of Indiana, there is no excuse or been a shipping board which shall t necessity for city manager govern-

merelv manaee shins. His conception has been a board which shall have as its fundamental duty the marketing of America's surplus abroad in the most effective and economic way. It is a merchandising organization on a na-j tional scale rather than merely a transportation organization. (Copyright 1921 by the New York Evening Post, Inc.) PEACE RESOLUTION REPORTED FRIDAY

iRr Associated Press) WASHINGTON. June 1. The house foreign affairs committee will meet Friday to report a peace resolution which is not expected, however, to reach the house in time for consideration this week. Republican members of the committee, already have agreed, it is said, sm to report the Porter resolution, which merely provides for a termination ov war, in place of the Knox resolution, passed by the senate, repealing the declaaration of war. declaration of war. would oppose the peace measure, regardless of the form In which it is presented.

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Rose Moriarty Ohio women feel that they have received unusual recognition in the appointment of one of their sex to a position on the Ohio industrial commission. Rose Moriarty of Cleveland was recently appointed to the commission by Governor Davis and the senate confirmed her appointment without a dissenting vote. She is the first woman ever to hold a position on the Ohio commission and the first woman in the country to hold a position on such a commission. SAY VOTE AT MARION HAS NO SIGNIFICANCE AS TO CHOICE HERE Leaders in the campaign to adopt a city manager form of government in Richmond place little significance Qn the reguU of thg election in Marlon while opponents say that it is indicative of the general tend of feeling throughout the state. Those favoring the move state that there was no great effort made in Marion to present the question in an intelligent manner to the voters, and that the small number of votes cast is evidence that no great interest was aroused. Leaders here state that the conditions are much different in Richmond than in Marion, and that the decision of Marion not to accept the proposed form of munlCipal government should not influence a voter in Richmond 7 . - Issue Statement - In a statement from headquarters of the advocates of the new form it is said that "the Marion voters evidently had not had the proposition presented to them clearly enough to enable them to appreciate the numerous advantages they would receive under a strictly business administration." "Richmond has been progressive in adopting good things for the city in the past, while numerous other cities over the state have rejected them at first onlv to come around to them later. Richmond undoubtedly will take the lead in the state in regard to adopting the city manager form of government, and be reaping the benefitp several years before many reactionary cities of the state are able to get on the same wagon. See Success Here. "Indications in Richmond now are that the new form will be adopted here, and the vote will be a referendum on whether good government for Richmond is desired above the wastes and extravagances of the present system," the statement concluded. Gath Freeman, chairman of the anticity manager organization, stated that the vote in Marion was indicative that the people of that city had thoroughly examined the law and discovered the weakness of the theory. Comments on Vote. "Citizens of Marion have clearly ment in this state"Marion is about the same size as i Richmond and the conditions there I are quite similar. The vote there is indicative of what will result at Richmond's election. We expect to win by as large a majority as was obtained In Marion. "The people of Richmond will not confuse, 'change' with 'progress' any more 'than they did In Marion. To change to the city manager form would be re-act ionary, as it is not representative of the people but Is an arbitrary and autocratic form of government." Georgian Senator Would Make Bonds Legal Tender WASHINGTION, June 1. Federal bonds would be made legal tender under a bill introduced by Senator Watson, Democrat, Georgia, who declared today the general industrial and financial depression was due to contraction of the circulating currency. HURRY OIL REQUESTS People who want their streets oiled this year are requested to get their petitions in to the city engineer by the last of this week if possible. Work on the oiling of streets of the city started Wednesday morning.

(By Associated Press) NEW YORK. June 1. The first installment of Germany's reparation payment to the allies to be made through the United States. $3 sTSs.OOO today was in the federal reserve bank of New York. The German government through four New York banking institutions completed the deposit yesterday. The banks representing Germany were: Hallgarten and company; Equitable Trust company; Speyer and company and the Guaranty Trust company. The payments were not made in actual cash or gold, but in the transfer of the banking credits of the four financial houses. The bankers for several days have been sending a series of their own checks, against the balances of the German government in their instutions, to the federal reserve bank. The credit thus transferred was placed in the federal reserve bank to the credit of the Bank of England and the Bank of France. Recall Purchases. Financial men today in discussing the payment recalled that Germany recently has been buying dollars by the sale of exchange abroad causing a tremendous decline in the exchanges of all countries. This dollar credit acquired by Germany was believed to have been assembled in New York to meet the allied reparations payments. The amount thus acquired in the past week alone was estimated by various bankers as being from $10,000,000 to $20,000,000. Another factor in the assemblage of German-owned dollars here was declared to be the United States currency spent in Germany by the American army of occupation. It learned that several bales of paper money have arrived from Hamburg in the last few weeks, and returning soldiers have declared that American money disappeared completely after it was once spent in a German shop. It was recalled that about a month ago the reparations commission announced that payments made by Germany would be exchanged into the American dollar:- as the - exchange least subject to fluctuation.

STILLMAN HEARINGS HELD NEXT WEEK POTJGHKEEPSIE, N. Y., June 1. Hearings in the divorce suit instituted by James A. Stillman, against the former Fifi Potter, were postponed today until June 7. 8 and 9, shortly after the attorneys had gathered here for a scheduled session. The hearings next week will be held here. The postponement was reuested by counsel for Mrs. Stillman who said that she .was ill at her home in New York and that one of her attorneys could not take part in any proceed ings this week because of other engagements. Mr. Stillman's coansel announced that he was opposed to any further delays and intended to carry on his fight. Both sides denied that the postponement was made for the purpose of carrying on negotiations for the settlement of the suit out of court. SELECTS SCOn BONE AS ALASKAN GOVERNOR WASHINGTON June 1 Scott C. Bone, a former Seattle publisher, who was publicity manager for the Republican national committee in the 1920 campaign, was nominated today by President Harding to be governor of Alaska. Scott C. Bone, who was appointed governor of Alaska, Wednesday, by President Harding, is in New York at present, it was learned today from Mrs. Bone, who is in this city visiting her daughter, Mrs. John Starr, of the Hotel Westcott. It is understood Mr. Bone has been under consideration some time for the post, his appointment having been desired by the Alaskans. Weather Forecast MOORE'S LOCAL FORECAST. Cool tonight; mostly fair, excepting for widely scattered thunderstorms. Although the weather will be mostly fair for the next 36 hours, conditions are fovorable for scattered local thundershowers for Wayne and adjacent counties. It will be cool tonight, but no unusual low temperature. For Indiana, by the United States Weather Bureau Generally fair tonight and Thursday except probable showers in extreme north portion; warmer in north portion Thursday. Temperatures for Yesterday. Maximum 90 Minimum 48 Today. Noon t.81 Weather Conditions Local thunderstorms occurred last night in eastern Indiana, although it was generally fair. The cool wave has overspread the Great Lakes, resulting in coot breezes as far south as the Ohio river. No general rains in any portion of the United States, although there are numerous places receiving thundershowers. TheT three storm centers are j now over the Rock Mountain states.

Wie ' Steel Co 'Our resources are so Great-our facilities for carrying on la A U u yf &ff Air J JO sails factory vjeKnooj that before us ts the greatest 13 7IR?mJ. A m J ' prosperity this country has euer itJttnesseet B fTm, Twr -rrZ ' yhis is the time for encouragement-a Ume to oe hopeful- a tune k 3hJt H sj ' ' to be optimiitic-ancL we'll alt come out Alt n'Pnr- V ffZf i wimSZLrrf I nave never Jojt my faith in the future of me industry JEA -T&agga3yggg'!?-or the, future of America " -,.mSSSSacmCeS-.

NEW CLASSIFICATION FOR HIGH SCHOOLS OF STATE ANNOUNCED High schools of the state have been placed under new classifications by the state board of education and notices of this have been sent to all school superintendents and township trustees of Wayne county by Superintendent C. O. Williams. In the past high schools have been under the classification of either commissioned of certified 8Cho6!sT"Under the new ruling they will be either first class, second class or third class commissioned schools, and accredited high schools. Richmond high school will be the only first class commissioned high school in the county. Most of the others will come in the second class. There have been no certified high schools in this county and will be no accredited schools, according to Mr. Williams. Recall New Ruling. Township trustees and school boards have had their attention called to the recent ruling of the state board regarding the housing of schools in school buildings that have been condemned by the state board of health. Notice has been given that the state board of education will not reissue a commission to any of these schools until the necessary steps have been taken to provide a school building which is approved by the state board of health as being adequate to accommodate such commissioned high schools. Several schools in this county have been condemned, among them those of Williamsburg. Whitewater and Hagerstown. All these school boards have plans for new schools, but the contracts have not been let yet. Members of the state board say the new classifications are designed to encourage local communities to give their best efforts to the support of their schools to raise them to higher standards cf efficiency. First Class Requirements. To be in the first class it is required that a nine months term and conformity to requirements of the state board of education relative to buildings, teachers' training and courses of study, and the school term for the elementary grades in connection thereto is also nine months. They shall be known as honor high schools. Second class high schools will differ only in that the term of school will be eight months in length. All other commissioned high schools which do not meet, the requirements for second class will be known as commissioned high schools of the third class. High schools which do not meet the requirements for commissioned classification may be accredited for one, two, three or four years of high school work, if in the opinion of the inspector the schools are meeting the requirements which have been established for accredited high schools. A graduate from any school accredited for four years of work who desires to graduate from a commissioned high school sha be required to earn at least four additional credits In one semester in a commissioned high school to be eligible to receive a diploma there from. Attention is further directed to the ruling of the state board of accounts requiring that all teachers hold a license in all subjects they teach before they can receive pay. Girls Fataly Injured by Freight Train (By Ansoclat! Press) MOORESVILLE, Ind.. June 1. Hazel Stevens, IS, daughter of Mr. i and Mrs. Whit Stevens, of Mooresville, was killed and her sister. Mrs. Jennie Colee, 25, was injured fatally, when they were struck by a freight train here early today. The young women were walking along the track on their way to work and it is believed they failed to hear the train whistle.

NEARLY $400,000,000 IS CUT FROM RAIL WAGE RATE INCREASE GRANTED LAST YEAR

(By Associated Press) CHICAGO, June 1 Approximately two thirds of the wage increase granted railroad employes last July by the railroad labor board was ordered deducted beginning July 1 in the board's decision announced today. From the increase last year of $800,000,000 a year In salaries of railroad labor nearly $400,000,000 will be cut, it is estimated, by the reductions directed by the board. In the case of the general class ot maintenance of way laborers, the entire increase of 6 cents an hour -was withdrawn while in others of the classes having the larger number of employes the cuts ranged from 13 to 8 and from 10 to 6 cents an hour as compared with the award of last July. Although the wage cuts are to apply on the 104 roads which had filed petitions for the decreases, the board's announcement said that application of other roads would cause the same reductions to be placed in effect on those lines. The decreases, it is estimated, eventually will affect two million men. The general average decrease is placed at 12 per cent as compared with an average of 21 per cent increase granted last July. Withhold Comment Union leaders withheld comment on the board's decision but it had been freely stated at sessions of the railroad employes' leaders here during the board's hearings on the decreases that cuts of 10 and 12 per cent would meet little opposition. Leaders of the four big railroad brotherhoods have called a meeting MARION VOTES DOWN CITY MANAGER PLAN MARION, Ind., June 1. In a special election held in Marion Tuesday on the question of establishing the city manager form of government, the ; proposition was overwhelmingly dei feated, the vote being about five to ! one against the measure. The vote ! was 5,745 against and 1,552 for. Only I rm ni-efiTift the First in th Fifth ward, where the vote stood 200 for and 149 against, did the proposition have a majority. Only about half of the polled vote was cast and it is estimated women cast half of it. In seme precincts the ratio was more than seven to one ! against. The election was the climax of a hotly contested campaign in which speakers from cities where this form of government has been tried out were brought here and spoke for and against the plan. Marion is the first city in Indiana to vote on the measure. Dates for special elections on the plan have been set in several other cities in the state. What I Think of the City Manager System Every day a reporter -will auk a prrwo picked at random, his opln Ion on the proposed plan. "The point that appeals most to me in the city manager form of government," said a former county official Wednesday, "is the fact that it will enable us to get rid of an undesirable officer. "Under the present system a man is elected for four years, and. no matter how bad his administration is, the people have no means whereby they can remove him until his term ot office expires. "The proposed system will give the people an opportunity to judge a man on his ability to manage the city's affairs. If the city manager is a failure, he can be discharged, a better man substituted. "This fact alone is sufficient to induce me to vote for the new system at the election on June 14."

here for July 1, when the wage de

creases are effective to discuss the award. H. F. Byram, president of the Chicago, Milwaukee and St. Paul, and M. Felton, president of the Chicago Great Western, declared that the reductions granted were "not sufficient to meet the demands of the situation." In a supplemental memorandum the board points out that during government control the wages of railway employes were increased from an average of $78 a month, in December, 1917, to $116 In January, 1920, and to $141 by the increase of last July. About 10 per cent of the railway employes, chiefly those unskilled, the board said had thus received increases approximately 100 per cent, while the average increase over the pay prior to federal control was 81 per cent. The board estimates the present cut would mean "an average monthly, salary of about $125 for all employesV but such an average means, of course, that while some workers would earn a sum considerably in excess of this, many thousands would fall far short of that figure." RAVARIAN STAND ON DISBANDING GUARDS DISPLEASES BERLIN (By Associated Press) BERLIN, June 1. Refusal of Premier van Kahr of Bavaria, to disband civilian gfards, or Einwohnerwehr of that state, which has come upon the eve of Chancellor Wirth's program speech before the Reichstag, has caused great dissatisfaction in government circles here. It is viewed as embarrassing to the new chancellor, who had intended to inform the German parliament that his cabinet was bending every effort to fulfill the conditions of the latest allied ultimatum. Hope was held in cabinet circles that the Bavarian Issue, one of the knottiest problems encountered since the new ministry was selected, had passed the critical stage. There is an impression here that Premier von Kahr and his coalition cabinet were ready to yield to demands from Berlin, but that local pressure was too powerful for them to take such a step. , Leaders of the Einwohnerwehr are declared to be influential, and they have opposed disbandment of that organization, as they would be without employment if the guards should be dissolved. Even if the Einwohnerwehr formally disbands it does not follow that the Bavarian or central governments have solved the difficulty of gathering in the arms left in possession of members of the guard. Trouble in this direction is said to await the authorities, especially those in rural sections. GERMANY PROTESTS NEW CURRENCY ORDER By Associated Press! WASHINGTON. June 1. Germany has addressed a note of protest to the league of nations against the establishment of the French franc as the official currency in the Saar district, which is under the administration of the league, according to advices received here today In official circles. The commission of government of the league of nations in the Saar district directed that beginning in May, the French franc instead of the German mark, should be the official currency for both posts and railroads. The German protest is understood to have been based on the charge that the order constituted a fundamental and illegal alteration of the treaty of Versailles.

(By Associated Press) TULSA, Okla., June 1. Nine white men are known to have been killed in the race clash that broke out here last night and raged until noon today with Chief of Police Gustafson estimating the negro dead at 65. In addition scores of whites and negroes have been wounded, and virtually the entire negro quarter is a mass of ruins, the result of fires. The loss is expected to be large. Fire department officials expressed the belief early this afternoon the whites residence district would be saved from the flames that are (fill raging in the negro section. With martial law in effect in the city and county, three or more companies of national guardsmen were placed at strategic points in the negro quarter. Believed Under Control. Orders were issued to disarm all citizens and approximately 6,000 negroes were under guard in detention camps. Officials expressed the belief that the situation is under control. All available national guardsmen gathered here from Oklahoma City and other towns were placed on duty at once in the negro quarters and orders were issued to disarm all citizens. Later it was announced credentials will be given to men chosen as special officers. Quarters Afire. Nearly 10 square blocks of the negro section of Tulsa, where an armed conflict has been in progress between white men and negroes since early last night, were in flames today. The fire was reported spreading and threatening to wipe out the whites' residences in the Standpipe and Sunset Hill additions. Detachments of guardsmen were scattered throughout the city prepared to meet all emergency with machine guns ready for action. Round Up Negroes. Guards surrounded the armory, while others assisted in rounding up negroes and segregating them in the jail, convention hall, baseball park, and other places, which had been turned into prison camps. State troops under the command of Adjutant-General Barrett arrived at 9 o'clock to take charge of the situation augmenting local units of guardsmen who were called out last night. At this time there were reports of sporadic shooting and the situation seemed to be easing. Gunfire Breaks Out. Continuous gunfire broke out shortly after daylight near the negro quarter of Tulsa, the scene of all night race disturbances in which hundreds of armed white men and negroes took part and which resulted in the death and injury of an unknown number of persons and the calling out of Oklahoma National Guard, units to put down the disorder. The firing come from a Epot where throughout the early morning hours five hundred white men and a thousand negroes faced each other across railroad tracks. First reports to police headquarters said that the bodies of from six to ten negroes could be seen lying in a space described as "no man's land." The police also had a report that three railroad switchmen and a brakeman had been shot to death. Refused Rides. The trainmen were killed it was reported because they refused to permit members of the opposing crowds to ride upon a switch engine passing between the lines. The engineer was reported to have escaped. Officials had hoped that with -the coming of dawn the trouble, which be-

jgan over the arrest of a negro late J yesterday for an alleged attack upon !a white girl, would be out. On the contrary, however, the early morning gun fire was taken as an indication that the riots had been renewed. The trouble is said to have its inception over the arrest late yesterday of a negro for an alleged attack upon a white girl. The negro was taken to the court house and lodged in the jail on the upper floor of the building. Early in the night motor cars containing armed negroes appeared on the streets headed for the court house. A crowd of 200 negroes surrounded the building. Armed white men soon began gathering. Call for Troops The crowds soon reached such proportions that the authorities realized the situation was beyond their control and a call was sent to Governor Robertson for troops. The governor directed Adjutant General Charles F. Barrett to take any steps necessary to handle the trouble. The adjutant general ordered out three companies of guardsmen and sent instructions to commanding officers in a number of nearby towns to be prepared to rush men here on immediate notice. The local guardsmen were thrown about the courthouse and prevented the crowds from breaking through. National guardsmen were patrolling the downtown streets and every effort was being made to induce the crowds to disband. ' : Dick Howland, the negro -charged with assault, was removed from the county jail during the night to take a place of safety unrepealed, It was learned this morning. - MIDDIES TO BE GRADUATED ANNAPOLIS, MdL, June 1 Two hundred and sixty midshipmen will receive their diplomas of graduation from President Harding, at commencement ceremonies at the naval academy Thursday. : .. .