The Modesto Bee from Modesto, California • 1

Weather Forecast San Joaquin Valloy: Unsettled and cool tonight find Saturday becoming fair with morning frosts north northerly wind Modesto report on Page 14 aad RilrtU FOUR NEWS SEll VK'EN The AMuflateil lrcna Tlie United Internntionnl Ncui Pervlce McClntohy Newipnperi Service 17 SIXTEEN PACES MODESTO STANISLAUS COUNTY CALIFORNIA FRIDAY JANUARY 20 1939 ftBUICEi Five Cents Per Copy 8Bc Monthly lly Carrier VOL XL Bribery Quiz Principals Narcotic Agent Is Linked In Extortion Schacht Nazi Bank President Is Ousted Defeat Of Proposal For One House Legislature In State Is Predicted Assembly Speaker Donnelly And Senate President Pro Tem Seatvell Comes Out Flatfootcdly Against Scheme Of Los Angeles Solon Deputy Sheriffs Will Be Quizzed In Pardon Sale Scope Of Megladdery Inquiry Is Broadened To Include Tulare County Murder Case 9 Officer Is Charged With Taking $5000 From San Jose Resident mmr Denies Accusation Removal Of Financial Wizard Causes Consternation In Banking Circles Funk Is Appointed Discharged Official Long Has Been Regarded As Brake On Hitler Policies Norton Says He Was Framed As Authorities Search For Confederate at Oakland investigating charges with pardon of a San Quentin convict left formerly Governor Frank Helen De Vine right mystery 3 Prominent Persons Die In NY Blaze 1) WASHINGTON Jan A senate appropriations subcommittee approved today a $725000-000 appropriation for the same sum voted by the house In its drive to obtain $875000-000 the full amount asked by the president the White House has sent out this week hundreds of letters designed to place squarely 1 ort congress responsibility for any reduction in federal relief activities The signed by Stephen Early the press secretary have gone to persons who have written or telegraphed the chief executive about the pending WPA appropriation The letters said a money reduction would (See SENATE Page 8 Col 2) By HERBERT PHILLIPS McClatehy Newspapers Service SACRAMENTO Jan 20 The proposal of Assemblyman Samuel Yorty of Los Angeles County for a unicameral legislature already has hit rough sledding in both the senate and assembly In both legislative houses the prediction was made today that Yorty's scheme for a one house law making body with representation based upon population will be soundly trounced at the present session Assembly Speaker Pro Tem Hugh Donnelly of Stanislaus County and Senate President Pro Tem Jerrold Seawell of Placer County came out flatfootedly against the proposition and announced they will bring to bear ail the influence at their disposal to smother it Would Be Serious Blow a legislative setup would he a serious blow to rural California said Donnelly "and I shall oppose it In my judgment it will have no chance of approval in tlie assembly once the members have considered its adverse effect upon large and important sections of our Said Senator Seawell: the assembly sends us a unicameral legislature bill I am sure the senate will defeat it overwhelmingly Personally I am in favor of 1 ho checks and balances of the present two house system and I am confident a large majority of the present legislature and the people of California feel the same way about it" Follow Federal Flan Following the federal government plan the California senate is districted on a geographical basis while the lower legislative house representation is in line with population figures Thus the assembly is controlled by the large centers of population and the senate is dominated numerically by members from rural or small city districts The unicameral plan now in operation in Nebraska began to he boosted in California following senate-assembly deadlocks on a number of important issues in recent years Yorty who had some of his labor Olson Leaves Hospital Bed Sees Newsmen SACRAMENTO Jan Governor Culbert Olson chatted with newspaper men today in his executive mansion bedroom happy to be out of the hospital for the first time since his nervous exhaustion collapse thiiteen days ago at his inaugural barbecue Aftor shaking hands with a score of newsmen while sitting up in bed the governor spoke briefly about his health and said he would stay in bed another week or so to complete his return to normal health Is Feeling Fine "I'm feeling fine and (he doctors tell me that if I don't hurry around loo fast I'll be 100 per cent Olson said not going away but will do my work from tne governor's house here feeling belter cacli day i See GOVERNOR Page 8 Col Simplification Of Unemployed Compensation Act Is Aim Of Measures SACRAMENTO Jan 20 (IP) OAKLAND Jan (P) Superior Judge Mark Lee Megladdery and three new witnesses were called today for the Alameda County Grand investigation of charges executive clemency was purchased for convicted murderer The judge former secretary to ex Governor Merriam who was subpenaed to appear Monday stood on his constitutional rights and refused to answer key questions yesterday New witnesses awaiting to testify today were Deputy Sheriffs Harold Webb and James Landon of Alameda County Harry Powell Dublin Canyon rancher and James Owen assistant cashier of a Sacramento bank where Megladdery had an account Sift Asserted Bribe The gland jury is investigating assertions that Megladdery while he was secretary accepted money or promises of obtaining a pardon for Clarence Leddy Santa Clara County convict whose life sentence was commuted to time served just before Merriam went out of office Officials said the scope of the inquiry should be extended to include the case of a Joe Salvadore convicted of a double murder in Tulare County for the slaying of his wife and another man Salvadore was sentenced to serve thirty five years but Merriam commuted the sentence to ten years which would permit the release in 1941 Judge Will Resign Megladdery who has vigorously denied any wrongdoing said he would resign from the bench to which he was appointed by Merriam The judge was called back to the stand after further testimony by Wright Oakland druggist who said yesterday he was appointed to the state pharmacy board by Merriam He told of holding $345 worth of checks he had cashed at various times for Megladdery but which were returned by the bank Labor Representatives Declare Situation Is Beyond Their Power To Remedy Members of the Stanislaus SAN JOSE Jan 20 George Norton 35 a state narcotics agent was held here today on charges of extorting $5000 from Joseph Lo Curto San Jose after holding him and his wife captive for ten hours Norton denied the charges and said ho had been "framed" for at-teoipting to trap To Curto with opium in his possession Lo Curto convicted as a bootlegger during prohibition days gave authorities statements which led to arrest Charges Attack IO Curto said that Norton and a confederate called at his home the night of January 3rd He said Norton struck him and then searched the house He returned from his search Lo Curto said with three empty opium tins Lo Curto said he had never seen them before During the course of the search Lo Curto said Norton's confederate said ttio matter might he "fixed Bomb Outrages Are Blamed On up" He said the two men talked Irish Republican Army "turkey to him and handcuffed him and his wife Informs Attorney After being kept awake all night Lo Curto said he was escorted to his bank by the two men Ho said they waited for him to withdraw $5000 and then left Lo Curto went to an attorney and told him of the asserted happenings Norton said the story told by Lo Curto was fabricated in an attempt to "get even" with him for raiding the Lo Curto home tn search of narcotics He said his innocence would he proven in court Seek Companion Authorities meanwhile sought the asserted companion named by Lo Curto Two officers were sent to Woodland on reports he might be near there Norton it was learned was arrested several days ago in another city hut was held incommunicado while attempts were made to locate his alleged confederate Chief of Police William Black signed the warrant on which Norton was arrested Bail was set at $20000 bond or $10000 cash Summoned before a grand jury of "pardon sale" in connection are Mark Lee Megladdery Merrlam's secretary and Mrs LONDON Jan Great Britain gave guns to her usually unarmed police today to strengthen the guard agiinst terrorists who for five days have touched off bombs at power and water supply centers An explosion at the rear of the Tralee Ireland hotel where slept 25 year old Frank Chamberlain only son of the prime minister led to the almost unprecedented order for city and county peace officers in the British Isles tn strap guns beside their traditional blackjacks Only a few picked men are permitted to carry guns in peacetime Escapes Unharmed The pqlice blame the king hating Irish Republican Army for the terrorism and today 15000 armed regulars and reserves of the Royal Ulster Constabulary patrolled the Northern Ireland district where the premier's son was presumed to have been an intendeef victim of the hotel blast He was however NEW YORK Jan iTP) Three persons including a 90 year old woman died of smoke poisoning today in a mysterious fire which badly damaged a four story house in the aristocraMc hill section of Brooklyn The police sought a prowler whose footsteps awakened a fourth (member of the family thus saving his life all socially prominent Mrs Amelia Clement State Supreme Court Clement her a graduate of Yale 1905 and the son's Clement 60 a retired brother of George awakened by sounds and went downstairs Overcome by the not catch sight of By JOSEPH YV GHIGG JR BERLIN Jan Hitler today dismissed Dr Hjalmar Schacht ns president of the Reichs-bank and named Walther Funk minister of economics in his place Funk was mandated to Nazify the Reichs a completely The dismissal from the finance post of leading financier and his replacement by one of Hitler's closest confidants caused const erna tion in banking and industrial circles It was evident that the move was one of world importance but just what would follow no one knew Removal of Schacht was viewed ss eliminating the conservative group once in control of Germany's financial policy Schacht had long been regarded as a brake on the policies of Hitler and Funk in regard to financial and spending problems He was a stern foe of reckless government expenditures Talks With Goering Hitler was understood to have decided on the change late last night after a long conference with Field Marshal Hermann Goering No 2 Nazi and linked with Schacht as leader of the socalled moderate element in the Nazi setup Coincident with removal there were three other developments of international importance any or all of which might have horn linked with it: George Rtiblep director of the Hitler-governmental commission on refugees was notified that his negotiations heir for mass emigration of Germany's 500000 Jews were discontinued Warns Great Britain 2 Germany notified Great Britain that she was determined despite British urgings to the contrary to match the British Empire Navy in submarine strength and to build five new 10000 ton eight inch gun cruisers 3 The government published figures which disclosed an increasingly unfavorable trade balance Imports for 1033 were $2120800000 Exports were $2 217600000 There was thus a trade deficit of $173 200000 Hitler ordered Funk to retain his post as economics minister Schacht was retained as a minister without portfolio In the cabinet CONSUL IS NAMED BERLIN Jan 20 -UP) -Fuehrer Adolf Hitler today named Captain Fritz Wiedemann one of his adjutants to be consul general in San Francisco Wiedemann succeeds Mannfrcd County Board of Supervisors and the Assistant District Attorney Ralph inside "the wiS I who is questioning the wit- consider the walkout of about thirty carpenters and laborers employed in the construction of the (See ONE Page 9 Col 6) CALAF IS TAKEN unharmed The Ulster government was reported ready to send members of its cabinet to London to discuss the outbreak with British ministers The police in England Scotland and Wales were given guns and kept constant watch at airports railroads prisons docks electric plants and gas works Threats Received Anonymous warnings received bv the police threatened the key air- hppn reserved port at Hendon London suburb and the crack London to Holyhead train the Irish Mail A ten foot hole was torn in the roof of a suburban train coach by an object dropped from a bridge only a few hundred yards outside one of London's busiest terminals A passenger said noise was just like an explosion" No one was injured although splinters of wood fell among the The victims were 90 widow of Justice Nathaniel son George 54 University in wife Grace 51 Arthur maritime lawyer said he was of the prowler to investigate smoke he did the intruder Wife Of Residence Obtain VEGAS Mrs Rhea for the required residence after a long Clark Gable A property arranged her freed from Lombard his would be fornia law divorce to Plans It was would sue on be heard is customary Mrs Gable Movie Star Takes Up new hall of records In Nevada To Divorce Urgency bills to simplify the administration of the unemployment compensation act were given unanimous passage by the assembly today Elmer Lore North Hollywood Democrat introduced the bills (which reduce the waiting period for (unemployment benefits from four to two weeks on involuntary quits and from eight to four weeks on Occupation Of Town Brings voluntary quits or discharges for MARTIN FIS 15 The board took the position It had followed all PWA rules iff regard to contracts for the work The workers left the job Wednes-IAS New Jan 20 (IPi day afternoon because the Modesto Gable arrives today Electric Company which had three six weeks Nevada men on the project is an open which she may ob-Jshop Representatives of the elec-tain expected divorce from trie concern say the men working the actor on the hall of records however settlement has been were union men getting the union living quarters havelscale and Gable will be Will Meet Again his second marriage! Today's meeting of the super-Hollywood believes he and Carole visors was of an informal nature constant companion They decided to meet again on married by April Cali- Monday at 2 at which time for they plan to discuss the labor con- requires a year (nesses said Wright told today how Megladdery once proposed the pharmacist open a drug store in the San Francisco Ferry Terminal Building and that the two split profits should Megladdery succeed in getting the concession The ferry terminal is state property and thus concessions must be obtained through negotiations with state authorities Rejects Proposal Wright said he turned down the proposition The nature of testimony to be brought out from Deputies Webb and Landon Rancher Powell and Banker Owen was not disclosed ahead of their appearance Hoyt said Megladdery refused to Army Within Barcelona Province Would Hit Aliens They also allow computation of Action Is Retaliatory Move Against Factional Bloc In Union unemployment compensation bene HENDAYE Fiance Jan 20 (P) fits on the basis of earnings in "the Spanish insurgents said today first four out of the last five had smashed a new gap in tors" instead of the "first eight out government lines defending Barcelona Generalissimo Francisco high command at Burgos reported capture of Calaf important communications center on a railroad and become final it ion with the eight contractors on Private Hearing (the job expected that Mrs Gable No formal action was taken by routine grounds of the supervisors while meeting to-incompatability Her petition will day privately by a judge as Issues Statement in this state A statement on the walkout hp knew 8 Rosenthal of Los married him in 1931 termed a "job action" by union Angeles but said he "didn at Santa Ana Calif She was a men was issued today by At Green ny conversations with Rosenthal wealthy Texas widow 41 mother business representative of the build- (he subject of fixing sardine Gable was 30 He (ing trades and YV Kiser busi- reduction plant quotas answer questions concerning the fixing of quotas for sardine reduction plants basing his refusal on the ground that to answer them might incriminate him The district attorney said Meglad-dcry answered when asked if of two children DETROIT Jan UP) President Homer Martin of the United Automobile Workers Union today suspended fifteen high officers and executive board members in a retaliatory move against a factional bloc which threatened to oust him from office Martin announced the suspensions after disclosing that ten of his ranking supporters had been removed of the last nine quarters" which permits computation on a one year instead of a two year base The assembly vote followed introduction in the senate of a bill bv highway connecting the govern- S('nl0'- Swing of San Ber-mont capital and Lerida jnardlno to require all aliens be Occupation of Calaf they said from state relief rolls by brought insurgent troops weil pmhpI 1939 giving the state in the borders of Barcelona Prov- 'plpf administrator broad powers it a point about forty five arrange a moans for their return i cy mitivn am to native lands passengers Prison Guarded A special guard was placed about CHANCELLOR Pg 8 Col hostile Brixton Prison where eight men awaited a continuance of hear- inga on charges they illegally pos In The Bee Today had been married to Josephine Dillon a speech teacher who took him from a lineman job and made an actor out of him Within a year after his last separation Gable was keeping company with Miss Lombard She ness representative of the chauf-( Refuses To Answer feui teamsters and helpers union1 The judge aleo refused to answer The statement follows: (Hoyt said when asked if he had "We greatly regret the construe- talked with Edwin Geary Motion work on the hall of records has one time law partner in been temporarily halted This sit-Oakland regarding the sardine sessed firearms and explosives The Daily Mail said Prime Minister Eamon Dc Valera of Ireland sent an apology to Premier Cham about fifteen miles west of Fran- Roth senate and assembly re-co's next objective Manresa cessed for the weekend after a busy! Make Steady Advance half day of bill introducing There General Garcia Valino's Maestraz-j wore sixty hills introduced in the gos army corps on the left wing of assembly and forty eight in the sen- a Franco's big push in Catalonia iate bringing the grand total to I fjL took Calaf the reports said while 1 1675 for both houses the insurgents' central ami right Summarize Benefits wine columns moved steadily for- ward in a converging movement to- Tkp unemployment reserves com Those suspended by Martin Vice Presidents tichard Frankem lortimer and Ed tary-Treasurcr George Addes Board Bombers Charles Oshawa Out: Delmond Detroit Morris Field Detroit from office last night by the Thoso Discharged nation is one that is beyond our power to remedy It is a well recognized principle of the American Federation of Labor that union men are not permitted to work on the same job with employes of a contractor who is listed as unfair to organized labor "We hope the contractor who is responsible for holding up the construction work by remaining on the unfair list will cooperate with the union in order that this needless tieup will permit the men to tesume work and the construction of the hall of records go on lo a speedy completion" Surprise To Officials The supervisors and other county plant quotas He maintained further silence when asked if Geary had ever been attorney for any of the plants Megladdery again refused to answer when Hoyt asked him if rented a safety deposit box but denied he jointly rented a box with anyone the judge at first refused tn answer questions about his bank accounts Hoyt said but later stated he had two active accounts and that there be more" Admits Deposits The witness said he had on occasions deposited money to the account of Wyman former executive in the state welfare depart- are: Thomas E-exutive Mil-land Garst Fred ward Barcelona mission summarized the benefits of Pipper Atlanta Go Walter Rou- Franco's forces also opened antllP urgency bills as follows: thor Detroit president of the pow- a it il lory bombardment on the town Undue delay in benefit pay- erful west side local: Paul Miley of Tgualnda twenty eight miles ments and hardships to workers west of Barcelona and key point in would result it the present laws the Catalonian "Maginot line" (Continued Insurgent dispatches said the 2 Speedy and accurate computa-bombardment was "intense and do- lions will result structive" and Franco's observers: 3 Waiting period is reduced from i reported great columns of smoke four to two weeks were seen pouring from govern- 4 Benefit checks can he mailed moot fortifications after direct hits from three to five weeks earlier The object of the assault was to 5 Workers will draw the same clear a path to the Manrnsu-Ba ree- amount of benefits for one year's Ilona Highway the main inland earnings as they now draw for the route connecting the capital with (two years' comparable earnings the French frontier at Puigcorda 6 Administration costs will be 'Manresa is about twelve miles reduced about $50000 each month northeast of Igualada and about totaling $600000 per year and op-twenty five miles northwest of Bar- orations will be simplified eclona Commission Chairman James AL Cnnn Oclldlc gzAlvMI SACRAMENTO Jail 20 Charles Haggerty deputy (ary of state said today it will be Tuesday or Wednesday before Jesse Carter winner of a special elec- tion in Shasta and Trinity Coun ties can he seated as state senator berlain for the explosion which on- showed equal interest in his hob-dangered his son (De Valera hint- hies of fishing and hunting Friends self escaped from a British jail in said Mrs Gable was willing to give 1919 when he was a leader of the him his freedom but wanted him Irish uprisings to request the divorce Court Will Hear Missing Girl May Arguments In San Be Kidnap Victim Into namacrpCase HOLLISTER Jan 20-GP)- jose uamdgc shpriff Manuel Hubler led his depu- SAN FRANCISCO Jan 20 'VU ties today in a hunt for Diana The California Supreme Court Stanley 15 Hollister grammar today agreed to hear arguments in sohool pupil who disappeared in $20000 damage case involving the Wednesday night under circum-C disfigurement (if a San Jose Kllllstances that caused her father to jn an automobile accident express a fear she had been kid- The court previously had upheld naned score-(an appellate court ruling which le- sheriff Hubler said the girl's (versed a $20000 judgment father Archie Stanley 55 vegetable grower told him Diana van- the girl Louise Sparrer daughtoi Books and Fiction Cartoon City News In Brief Classified Advertising Club News Comics County Valley News Crossword Puzzle Curious World Editorials Financial News Markets Glorifying Yourself Health Household Arts In New York Katherine Kitchen Louella Parsons Mary Hamp'on News Behind The News Public Thinks Que-tions And Answers Radio Serial Story Side Glances Social News Sports Turlock News Twenty Years Ago Vital Statistics Weather Your Baby And Mine of Max Sparrer of San Jose In vacating its previous ruling the officials connected with the building mPnt hu( thp sums had not totaled program said the walkout came to mnl0 thnn $300 Hoyt said them as a surprise and Hoyt said Megladdery refused to were not aware of it until yesterday answer when asked whether the de-morning posits had been made as payments They said they had believed all on a 0an which Wyman told about differences had been adjusted in testimony before the grand jury They also declared they were 3ur-ivefdpr(ay Megladdery vigorously denied be I Sec ASSEMBLY Page 8 Col 8) court set the hearing of arguments for the April calendar Miss Sparrer lost her right eye and her face was scarred in 1936 when an automobile driven by Alfred Kersgard a school friend skidded off a winding road between San Jose and Los Gatos ITALY' GU I YY ARISING LONDON Jan 20 HNS) An Carter a Democrat defeated a field of three Republicans with a plurality of the votes east He will succeed the late John MeColl as senator from the fifth district Mc-Coll was killed in an automobile accident (See INJURED Page 11 Col 2) ished several hours after he had discharged a Filipino ranch worker for making advances to the girl Tlie Filipino Hubler reported could not be found Hubler said he learned th Filipino had withdrawn all his money from a bank Convicted Men File Appeal With Court SAN FRANCISCO Jan 20 UP) The state supreme court had before it today an appeal from three men convicted of second degree murder of George YV Alberts chief engineer of the freighter Point 1 obos (See BOARD Pagp 8 Col 2) 266906 Insurance Claims Are Okehed WASHINGTON Jan 20-The Social Security Board announced today it certified in December 16124 old age insurance claims averaging $6563 Total of certifications since the system was established at the start of 1937 is 266906 the board Don't Rise -Tune by Mystery Control Betty Grable Criticises Coogan For His emphatic warning that Italy will Mr Atnr Await more than match any French inter- ASIUI rtWallS vention in the Spanish war has been A CAT Cil delivered to Britain by the Italian rri dl I JlOiK Government it was revealed today1 SANTA MONICA Jan 20 (T) International News Service learned I Mary Astor and her husband that when Italian Foreign Minister Manuel Cumpo are expecting Count Galeazzo Cinno received Brit -jln addition to their family "in isli Ambassador Lord Perth: junp or July" the actress said to-YVcdncsday evening he made plain av the Italian position on this matter Marilyn Thorpe Miss Astor's (daughter by her first marriage to FLIGHT COUGHING Dr Franklin Thorpe now Is 6'j ALHAMBRA Jan 20 Sev- years old an year old Lawrence Moore who A bitter custody battle over Mart-took a forty seven minute ail planellvn with Miss Astor's famous diary ride to a bight of 14000 feet figuring prominently In the pro-stopped coughing today and his erodings was waged between the parents believe the flight may eurcjuctrcss and Dr Thorpe two years a severe ten day siege of whoop ago The actress gained custody of ing rough 'the child CHILDREN go for BETSY ROSS BREAD Makes ALL Foods Taste Better Alberts was slain three years ago said in his quarters aboard the ship Certification and payments by Prosecutors blamed maritime labor states include: strife California: December certifica- Eai 1 King Ernest Ramsay and tions 1143 total to date 16626 Frank 1 Conner all serving terms! December payments $73888 total in San Quentin for the murder ap-'to date $741577 December aver-pealed to the supreme court lage $6464 III BBAR1) KKAVY he believes his mother and stepfather Arthur Bernstein owe him Jackie is suing tlie Bernsteins for nil accounting of the fortune he earned as a child star "Such silly talk!" exclaimed Betty "The lease expired on our house I thought we might to move to a smaller place or live with my mother The first thing I knew Jackie was selling the furniture Boom! And all my si uff was moved out Then he said he was going to San Francisco to see about an net But he didn't ask me to go with him "I don't understand why Jackie said something to defend me 1 still iove him am! he knows i it Maybe lie moved out to get sympathy Maybe it was his idea He didn't talk very much If tie thinks doing the I right thing to help his case Even though Miss Grable insists HOLLYWOOD Jan 20 -Ti Actress Belly (liable look time out today from her business of looking fetching (and very) to to deny that her separation from Jackie Coogan was he i idea -and to cite him i for several lit Ic "errors L- 1 "In the first place" she said with emphasis "Jackie suggested the a-i a ion 'until we get things Ironed out' 1 didn't I'd go back to him iti i minute if ask me People have hern saying Betty declared that she left Jack because lie didn't have any money ieXDOIXGE The Cm That Gives You Most for Your Money TAKE A LOOK DURING THIS MID-WINTER SALE ou can buy regular $785 nationally advertised shoes lor as low hs $389 "Get Acquainted Ofler' This week we will 1 ive double value for your old radio on the purchase of a MYSTERY CONTROL Y09 10th Street Phone VI THAT'S ALL DODGE ASKS MacBRIDE SUTTONS pier ierf hoop 931 Tenth Street DON'T MISS THIS OPPORTUNITY! Phone 25G Rth and Eye Sts nml she wouldn't live with him until lunii if) lie gets lUu money 1 Sce ACIliJiiiS Col 2j.