The Post-Crescent from Appleton, Wisconsin • 1

Pub; JUIi "A- TT WEATHER Fair tonight; little change In APPLETON FQST-LRESCENT FINAL EDITION temperature. fHE D4ILT POST ESTABLISHED SIXTEEN PAGES APPLETON, WISCONSIN, FRIDAY, JANUARY 1, 1937 CRF.SCENT ESTABLISHED ISM PRICE THREE CENTS State Hist. Society Camp. Of Wisconsin. eek Three in Babson Sees 3 '37 as First Year No Progress in ules as World Gaiety Cheers Of Prosperity Since '29 tart of Year; Heavy Spending 55 Normal Line on the way into a new prosperity era.

A moment's retrospect shows the tremendous distance that we have covered since we touched bottom in March, 1933. The total gain in business has been 78 per cent! Nearly a third of this rise has come during 1936 alone. 1936 Remarkable Year The year just closed has been a remarkable one in many ways. While it is generally believed that elections do not change the basic course of business, most analysts concede that they are temporarily upsetting. The tide of recovery was running so strong in 1936, however, that it swept over every obstacle and washed out the old year in a burst of glory.

There are scarcely any figures on record that can match 1936's steady gains in jobs, payrolls, industrial activity, profits, and dividends. Genuine Business Expansion, Is His Forecast for Year LABOR TROUBLES Shortage of Skilled Workers Seen, Higher Living Costs BY ROGER W. BABSON Babson Park, Mass. I predict that 1937 will be our first year of real prosperity since 1929! It will be a year of genuine business expansion, considerable real estate activity, constant labor troubles, shortages of skilled workers, rising prices and living costs, and brisk retail trade. Nearly every line will enjoy good gains in both volume and profits with the heavy industries showing the greatest percentage improvement.

Tuck this forecast away for a check-up next December and I predict that you will find general business around 8 per cent above today's figures and not far from the 1929 peaks! Business At Normal A year ago at this time my forecast was: "By next Christmas general business, as measured by the Babsonchart, should be hugging the 'X-Y' Normal Line and heading into another period of Statistically, that is exactly where business is today. We are right square on normal! For the first time in fourteen years, we are crossing the "X-Y" 6 City Officials Ousted in Florida Governor Scholtz Charges Excessive Expenditure of Funds Tallahassee, Fla. Governor Dave Scholtz removed Daytona Beach's woman mayor-commissioner, Mrs. Irene Armstrong, and five other city officials today on a charge of excessive expenditure ol municipal funds. He charged them with malfeas- ance and misfeasanse in office, ne- gleet of duty and incompetency.

He Topping off the year was a real post-election boom. Wave after wave of wage boosts and bonuses and dividend increases and extras lifted Christmas trade back to old-time levels. 8 Per Cent Gain For '37 The momentum picked up by this surge of buying will carry into the New Year. Business in 1936 was good. Business in 1937 will be better.

My estimate is for a 10 per cent gain in the first six months over the initial half of 1936. It is harder to make a definite prediction for the second half, but I think a 5 per cent gain over the closing months of the old year is within reason. This would put my Babsonchart Index about 5 per cent above normal by the Fourth of July and approaching 10 per cent over normal by next Christmas. The entire year's gain should average about 7 to 8 per cent above 1936. Business will be above the X-Y line in other words, in a prosperity era for the first entire twelve month period since 1929! Unless Labor Holds Whip-Hand It is seldom that there is no 1936 was an exception.

Then there was no "but" to my bullishness. Today, however, there is one major question in my mind the labor problem. If this issue is not handled properly, business could receive a very rude set-back. Workers are in the most strategic position today they have ever held. Labor leaders can tie prosperity in a knot if they called a general walk-out or they can give prosperity a boost if they keep their heads.

Turn to Page 3, Col. 1 Held for Murder Of 30 Years Ago Prisoner Named by Victim Of Shooting Is Arrested in Ontario New Castle, Pa. IT) A name whispered by a dying man 30 years ago held a man in jail in northern Ontario today. District Attorney Mont Ailey said Francisco Romeo whispered as he died: "Rocco Rocco Esposito." Romeo had been shot. Esposito disappeared.

Ailey said the whispered name provided ground for presentation of murder charges to a grand jury and the return of an indictment charging Esposito with the slaying. A long search began. Officers frequently forgot about the old indictment, then new information would turn up and they'd look for Esposito again. Word from Ontario authorities that Esposito was living in Kirk-land Lake, a little mining town, came a few days ago. A special investigator for the Pennsylvania justice department, Frank Costa, went across the international boundary and with Constable Alex Wilson of the Ontario provincial police located and arrested Esposito.

Dozen Shells Fascists' Greeting to Loyalists Madrid fascist shells exploded in Madrid on the 12 strokes of midnight, a greeting from insurgent artillery to the new year. The symbolic gesture was not lost on Madrid's inhabitants whose custom dictates they eat 12 lucky grapes as the ebbing year is tolled out and the new year in. Militiamen ate their grapes disdainfully as the shells burst in the center of the city. With each explosion they shouted: "Long live the republic." The last day of the old year saw little military activity. Mud-soaked trenches were quiet despite fair weather but government leaders prepared for new fascist onslaughts soon.

Youth Questioned in Fatal Auto Accident Chippewa Falls Sheriff Conrad Thomson said today an 18-year-old Bloomer youth would be questioned in connection with the death of Eva Schenses, 19, whose body was found in a highway ditch Wednesday night. The sheriff said the youth admitted running into a woman or a girl while driving home from a tavern. He said the boy had been drinking. Fragments of glass were found near Miss Schenese's body, indicating she had been struck by an said they lacked the sund If 7eird Murder Of Gangster in South Dakota Body Blown to Bits as High Explosive Is Set Off WOMAN IN ESCAPE Shot Eight Times but Creeps Away Before Blast Sioux Fails, S. D.

3V-A weird ile of a gangland execution by gh explosive sent police on an tensive manhunt today for three inner convicts who they said ew one member of their gang to ath and attempted to kill his oman companion to prevent them im "squawking" Helen Seiler, 25, Sioux City, suf- ing from eight bullet wounds, i State's Attorney Louis N. Crill the strange slaying and identi-d the victim of the blast as rold Baker, a member of a band ich recently staged a $37,000 bery of a jewelry store in Sioujc she told Crill, was beaten i shot, then left in an explosive rehouse east of here while ee members or tne gang urea and fled after shooting her when sne mea 10 escape snow-covered fields. ire than a ton and a half of mite and nearly four tons of ms powder ripped loose in errific explosion that follow- Plate glass windows in more a score of business nouses were broken by the resulting ssion which was felt for 50 around, and threatened pan- lomentarily to thousands of Year's revelers. Crawled into Ditch legs and feet frozen, Miss told Crill she had been ed to die with Baker in the but that she recovered con- lsness Deiore me explosion w- ed and ran. She managed to 1 into a roadside ditch just be- the blast.

Passing motorists ght her to a hospital here nthough her condition was de- bed as critical, physicians said i had a chance to recover. ised on tfcfs woman's po- laid a dragnet lor toward 51, Harry "Sum" Reeves, William Nesbeta, 32, who they sve fled toward Sioux City, Baker, police identification IT. saia JLOOin was rtuemi Jc i from the South Dakota pen ary and that he beuevea tne two also had servea time. Tells of Attack ri Seiler said she and BaKcr re enticed into the country by fieir three companions iu ime soup" for a safecracking job horA hpv were attacKeo. ne aid Baker was beaten ana snoi) nr! that, she was struck over tne nead with a hammer and shot.

I was not entirely unconscious, frill said she related. 1 Knew i when they shot me and when they shot Baker. I saw tnem ugnx a fuse and then I crawled out of the building. I don't know now xar i had gone wnen was expiuucu. The next thing 1 knew I saw lights and then a man picked me up and brought me to the hospital.

"I wanted to turn myseu over iu Ve Sioux City police. I guess Xat whv thev wanted to kill aker and me." Police today planned to scour the r-a around the 35-foot crater by the blast in an effort to icate parts of Bakers body. Paroled Convict State's Attorney Crill said Sioux ity officers told him Baker was paroled convict from a Califor- ia penitentiary, but had no other formation about rum. Windows in virtually every farm sidence near the powder house ere broken, but the principal Vmage was caused in ram ft. here panes of glass in downtown ores crumbled like paper.

One lass company, called to make re- airs, estimated me uamege av i.000. Deputy Sheriff E. H. Weiden ich. after visiting the scene of the Kplosion.

said the blast excavat- fd a crater 35 feet long, 25 feet fleet) and -25 feet wide. Signs a inile away were blown down by ne Diasi, ne smju. uncuwij ne explosive depot, he said, show it had contained 300 25-pound cans of powder and 3,300 pounds of dy namite. Reports from Dell Rapids, 20 miles away, showed some windows were broken there by the force of the explosion. The blast also was elt in Pipestone, 51 miles away, ind in Doon, Iowa, 40 miles dis tant.

James Roosevelt Will Be Fathers Secretary Washington av-James Roosevelt ill be the first president's son no rve iiis father as a secretary since ie ciays or nnarew jauKsun, it as oiaumers ai uie vime touse could ascertain today. Andrew Jackson Donaldson, an dopted son, filled that position for Old Hickory" more than 100 years James, the president's eldest son, id he would not be a full-fledged cretary. The only vacancy of that rsnklis the post held by the late ouisi McHenry Howe, and James xprelsed the belief his job would ot be that important. He cannot step inio an entirely ew position without congressional uthorization, he explained, so he ill fill a smaller paying job that vacant in the office of Rudolph orster, executive officer. Search for ov Kidnap Victim No Direct Word From Charles Mattson Since His Abduction FAMILY IS GLOOMY Official Believes Kidnaper Is Amateur Rather Than 'Big Timer' Tacoma, Wash.

VP) New Fears today surrounded the search for Charles Mattson, 10-year-old kidnap victim, as the fahter, Dr. W. W. Mattson said he had received no direct word from the boy since his abduction Sunday night. The fears replaced an attitude of confidence previously noted in members of the family, close friends and officers.

i An official active from the start in the search for Charles was the most pessimistic. Offering no explanation, he asserted he believed the kidnaper never answered overtures begun by the family Tuesday afternoon. He expressed doubt the kidnaper would be able to return Charles safely even if the $28,000 ransom were paid. The official expressed the belief the kidnaper was an amateur rather than a "big time" gangster. No professional kidnaper would ask a ransom so low as $28,000, he pointed out, and no seasoned criminal would take the chance of seizing the vboy before witnesses as this man did.

William and Muriel Mattson and Virginia Chatfield were present when Charles was seized. All three have asserted they could identify the kidnaper. Fears Harm to Boy An amateur, the official reasoned, would be much more likely to harm his captive than a professional would be, simply because he might not understand the severe punishment attached to such an act. A second official, refusing to comment on the eventful outcome of the search, predicted the boy would not be returned in less than 48 hours no matter how well negotiations progressed. Like most of those giving information on the Mattson search, both these men refused to allow use of their names.

Dr. Mattson himself injected one pessimistic note into the search. Asked "have you had any direct word from Charles?" he answered an interviewer: "No, nothing. No. There isn't a thing." Reports Contradictory The physician's flat negative came in the face of persistent reports, well-established, that the family had made contact with the kidnaper.

Observers were quick to point out Dr. Mattson's statement did not deny he had received word from the kidnaper. Dr. Mattson, former University of Washington and Pennsylvania football lineman, was interviewed as he sat with his family on the eve of the new year and his fifty-first birthday. Mrs.

Mattson, William, 16: Mu riel, 14, and Mr. and Mrs. Charles Fletcher, grandparents of the kidnaped boy, made obvious efforts 'O keep the conversation on other subjects than the kidnaping. They talked of the decorated Christmas tree outside, of the radio, of knitting and of Happy, the lonesome spaniel puppy left behind when Charles was seized by a lone masked man. Blizzard-Marooned Victims are Sought Phoenix, Ariz.

Blizzard-marooned victims were sought in three western states today. A family believed caught by snow storms in the high Sierra mountains was hunted in California's Lake Ta-hoe region. The four were Carl A. Deisenroth, 35, Oakland chain store executive, his wife and two sons who left Saturday on a mountain outing. One of the most severe in recent years handicapped more than 100 Indians seeking two lost Indian girls in the remote Keams canyon country of Navajoland in New Mexico.

Little hope was held they had survived, In northern Arizona, snow plows battled 5-foot drifts of snow near Fredonia, seeking to rescue James Pointer, a highway maintenance man, reported critically ill at De motte lake. contemplate a $47,000,000,000 revol ving fund by 1980, but the necessity and soundness of that provision has been challenged. The 1 per cent rate has three years to run, increasing gradually thereafter until 3 per cent is reached in 1949. Some sources apparent ly plan an attempt to reduce the rates to .05 per cent for both employes 'nd employers, with increases at longer intervals to assure a more moderate but still workable revolving pension fund. John G.

Winant, chairman of the security board, and experts have been working on revisions to recommend to congress. Prospects are that few fundamental changes will advocated, however, until the supreme court has passed on constitutional questions Involving the federal pension principle. eport 3 Persons Hurt In 7 Accidents As Old Year Ends Girl Suffers Broken Ankle In 'Hit-and-Kun Accident Two persons were slightly injured in four accidents which inaugurated the new year in Appleton while one person was injured in three accidents which closed the old year. Rosemarie St. Louis.

18, 1430 E. Wisconsin avenue, suffered a broken ankle and other bruises when she was injured in an accident involving a hit and run driver at 3:20 this morning. The accident occurred ahead of the East Wisconsin Wrecking company, E. Wisconsin avenue. Robert Foster, 712 E.

Brewster street, witnessed the crash. Little damage was recorded in an accident at Harding avenue and Highway 10 when cars driven by Stephen Zebik, route 1. Menasha, and Joseph Hobins, 1303 W. Prospect avenue, collided at 3:50 this morning. Dorothy Deschler, 802 W.

Spring street, suffered scalp lacerations in an accident involving cars driven by William Winius. Little Chute, and Wilmer Wolf, St. Nazianz. Winius was driving north on Richmond street and Wolf was traveling south on the same street at the time of the crash. Miss Deschler was taken to a local physician by Wolf.

Norbert Timmers, route 3, Appleton, driving east on College avenue collided with a parked car owned by Edward Stelow, S. Park street, Neenah, at 3:50 this morning. The accident occured on E. College avenue. Both cars were damaged.

Hilfert Sonkowsky, 1329 W. Wisconsin avenue, was slightly injured at 7:45 Thursday night in an accident involving a car driven by Wilbur Steenis, 205 N. Locust street. Steenis was driving south on Oneida street at the time while Sonkowsky was standing in the center of the street at Wisconsin avenue, George Stewart, 1336 W. Second street, suffered a minor knee injury in an accident on the north side of the Second street crossing at Outagamie street, according to police.

The accident occurred at 5:40 Thursday afternoon. Little damage resulted from an accident involving a motorcycle driven by Sheridan Johnson, route 2. Appleon and a car driven by Wilbur Reick, 1235 W. Lawrence street, at 7:55 last night. Johnson was turning west from State street on W.

College avenue at the time of the crash. Pope Pius Spends Cheerful Holiday Hopes to Besume Duties Has Good Night, Almost Free From Pain Vatican City Pius, almost free from pain and refreshed by a good night's sleep, spent a cheerful New Year's day. The spirits of the 79-year-old holy father, seriously ill for nearly a month, brightened with hope for his recovery and the possibility ne might again turn to administration of church affairs. His doctors, although cheered by the pontiff's progress, were cautious in their optimism. They pointed out periods of comparative strength for patients suffering the pope's complications of circulatory, respiratory and cardiac ailments sometimes turn abruptly into a relapse.

The holy father slept virtually all night for the first time in weeks, awakened early, he listened to mass said by his secretaries. Except for his physician, his only visitor was Eugenio Cardinal Pacelli papal secretary of state. Payment of Fine Frees Woman in Cruelty Case Milwaukee CP) Mrs. Howard Burks, 25, was released from the house of correction late yesterday after her husband paid a $50 fine impofed upon her on a charge of cruelty to their daughter, Marion, 5. Marion and her brother.

Howard, 7, were sent to the county home for dependent children, Detectives testified they found the girl, scantily clad, sleeping on a floor in an unhealed room, Burks said he was sure his wife "had been taught a lesson" and that now "she would make a record that will win back our babies for us." Two Milnaukeeans are Killed in Accidents Milwaukee CDTwo Milwaukee men were killed in automomible accidents during heavy traffic last night. Elmer Anderson died when his car overturned on a highway curve west of here shortly before midnight. Bain Abge. 38. was injured fatally in a collision of two automobiles.

Many Countries Celebrate Emergence From Den reion I HOPEFUL Diplomat Believe War fart May be Avoided This Year BY CHARLES E. HARXER Associ Press Staff Writer From Red square to Times square and the rest of the way around the world, the new year began official-j ly today after a collective welcora-i ing eve with few precedents for lavish spending. In China following ancient custom, everyone paid off his debt3; in the rest of the world, almost everyone added a few. The additional debts for caused mainly by such things as cover charges, ranging from 113 rubles about $57.50 at the Metrople ho-tel in Moscow, to what-have-you? sections of the globe. The large-scale monetary extraction was attributed to international emergence from the depression with everyone using New Year's eve as an excellent excuse to celebrate the fact.

Mrs. Edward B. McLean's $50,000 party at Washington drew many a capital bigwig. Six hundred and twenty guests celebrated the coming of age of her son Jock, who will be 21 Jan. 30.

War Continues Not all was hilarity, however The chill dawn meant only another day of fighting for the weary soldiers of Spain; rebel planes dropped 12 bombs at midnight into Madrid. One hundred thousand Chinese narcotic addicts were granted a three days' delay in the death sentences imposed on them. Government leaders of Japan warned their people of "more difficulties to experience in the future." Premier Blum of France appealed for an international "will for peace." Babies played a part the ushering in of the new year. At least four in the United States managed to be born at 12:01 a. in their respective time zones and were promptly reported aJ3h first babies of the year" from Havre de Grace, Cleveland and Wichita, Kans.

First Birth Chief contender for the first birth honor seemed to be a four pound, two and a half ounce daughter born a few seconds after midnight to Mrs. Benjamin Blau in Detroit Her twin sister, weighing four pounds, four ounces, was born at 12:20 a. in, The- little island of Manhattan waspacked for the night with perhaps as many millions as it accommodates every business day. From tranquil old Trinity church, with its watch night service and thousands grouped outside singing 'Auld Lang Syne." to Harlem and its bands, the celebration flowed. Liquor flowed, too, in the same ratio as the crowds.

After 20 years in which high jinks were frowned upon, soviet Russia cut loose in pre-revolution-ary gaiety. The prices in Moscow's hot spots were enough to make a Broadway night club operator green with admiration and Moscow reported the hot spots filled. It was a lonely New Year's day for the duke of Windsor, in hii Austrian exile. However, he talked by long distance telephone with. Mrs.

Wallis Warf ield Simpson in Connes at midnight. King George issued to the British empire a New Year's greeting in which he spoke of his "brother whose brilliant qualities gave promise of another historic reign a reign cut short in circumstances upon which, from their very sadness, none of us woild wish to dwell." HOFE FOR PEACE London motif of fear was buried under joyous hope today as Europe greeted 1937. Diplomatic circles saw the possibility of definite achievement of the strict non-intervention in the Spanish civil war for which they labored so frutlessly in 1936. Indications from Rome and Berlin led them to believe Europe'! two great fascist powers would give priority to the problem of foreign volunteers in the peninsula. Other countries already have expressed adherence in principle to the new Franco-British "hands off" demands.

Romans faced the new year with an army of 1,000,000 men ready for the call to arms but despite the tent sion. jubiliant Romans paved the city's ancient streets with broken glass and crockery in a celebration almost as old as Rome itself. For days old household utensils have been gathered in piles and at the last stroke of midnight they were hurled from house windowi to the avenues below in a ymbotiq shattering of old things to make way for the new. Armed men in Spain were not so hopeful of what the year held in store as they ate their dozen grape in memory of the dying year which has seen their sunny land devastated by a war between brothers. Parisians pronounced their "rt vellton" the gayerf Unre 1929 in celebration lasting until lonj after aawn.

Hopes 'Doors Not Closed' in Strike Of Auto Workers Head of Union Comments On Letter From General Motors Detroit (T) Homer Martin, president of the United Automobile Workers of America, said today ne hoped General Motors corporation's letter answering his request for a conference on labor conditions "is not intended to close the doors to further efforts to reach an understanding." He issued a statement commenting on the communication he received last night from William S. Knudsen, executive vice president of General Motors, in which Knudsen said the corporation was willing to meet with union representatives but insisted that collective bargaining must be discussed with individual plant managers. The gigantic automobile industry is the largest of several feeling the pinch of labor disputes as they opened the books for a new calendar year. Executives, hoping business will continue at, the pace it maintained in 1936, were concerned over the possible effects of continued or expanding strikes on the 1937 outlook. Thirty thousand employes of General Motors alone were idle when factories closed for an extended holiday weekend.

Strikes have halted production in a few auto parts plants, and in the flat glass industrywhose biggest customer is the automobile manufacturer other thousands were out. I The effects of these shutdowns! were reaching other industries which furnish the automotive industry with materials, the largest being the steel business. With automobile and parts production curtailed, the steel trade found one of its chief markets shrinking. The tire manufacturing trade was another affected. Three Persons are Cleared by Court Jackson, Ky.

George W. Little set free yesterday three persons accused with Mrs. Viola Wickline of murdering Johnny Shepherd in a courtroom crowded for his examining trial on a charge of killing her son, Harvey Gabbard. Judge Little heard eight witnesses in the same court, which again was packed with hill folk whom deputies searched for weapons. Cleared by his ruling were Mrs.

Wickline's husband, William; Buck Gabbard. a kinsman and Mrs. Mat-tie Downs Haddix, a neighbor. Mrs. Wickline waived examining trial.

She is held without bond. Held at Winchester is Noah Shepherd, Johnny's brother, who was accused as an accessor in the Harvey Gabbard slaying. Harvey was reported slain after a row over a sister of the Shepherd boys. Island Group Greets New Year With Party Duluth, Minn. OV-Two women and 115 men toasted the new year on Isle Royale last night, 20 miles from the nearest bar and 30 miles from the nearest night club.

They rang in 1937 with a stray mandolin and a mouth organ after ringing out the old year with radio music. They are the CCC boys and su pervisors recruited by the national park service to burn slash and Brush on the island this winter to remove a major fire hazard, and to herd moose in preparation for shipping the animals to the mainland when navigation opens next spring. Twins Born Different Years to Nebraska Pair Seottsbluff, Neb. GTV-Twins were born here in different years to Mr, and Mrs. Leland Carson of Seottsbluff.

Harry Charles Carson was born at 11:45 last night and a girl, Ilene Mae, at 12:02 this morning. The boy was the last baby born in Seottsbluff in 1936, and the girl the first born In 1937. KILLED BY BULLET Manitowoc, Wis. Ze-lewski, 16, was killed yesterday when a revolver he was handling discharged accidentally. The shot entered the boy's chest.

SUCCUMBS Colonel Daniel W. MacCormaek, 57, died today at Washington. He was commissioner of immigration and naturalization. Commissioner of Immigration Dies At U. S.

Capital Combined Federal Naturalization and Immigration Agencies Washington Colonel Daniel W. MacCormack, 57, commissioner of immigration and naturalization, died today. MacCormack left the presidency of the Fiduciary Trust company of New York to accept, the immigration post under Secretary of Labor Perkins in 1933. After four months in office, he reorganized the work to combine the immigration and naturalization agencies into one service. Secretary Perkins called the consolidation "a remarkable piece of work," and praised MacCormack for humanizing the service.

MacCormack recently had said he would press for consideration in congress of a bill to prevent breaking up of familes in deportation cases, strengthening other sections of the law to deport more criminal aliens. A native of Scotland, he came to the United States at the age of 9. He served with the American forces in the Philippine insurrection, and from 1905 to 1917 was an executive in the Panama canal organization-After the World war, in which he was a captain, he served on a peace conference mission to Russia. In 1922 he went to Persia as govern ment director of internal revenue. While there he directed relief during a famine, and in 1927 represent-: ed Persia in the League of Nations council.

He returned to New York the next year to enter the banking business. Four Od Executives Win Removal Hearings Tulsa, Okla. ov-Four oil executives were granted removal hearings on Jan. 26 after they posted bonds of $5,000 each on new indictments returned by a Madison, federal grand jury charging violation of the anti-trust law. They were W.

G- Skelly and James Nagle of the Skelly Oil company, O. J. Tuttle of the Empire Oil and Refining company and Ira A. Smith, buyer for the Standard Oil company. Blames 'Employer Trouble'' for Labor Disorders in U.

5. Washington L. Lewis, chairman of the committee for industrial organization, declared last night industrial relations problems are created not by labor trouble, but by "employer trouble." "That is something from which the wage earners are suffering," he told a radio audience. He said employers who talk about possible labor trouble interfering with industrial progress "'ignore the fact that unless people have money with which to buy, the wheels of industry slow down, and profits, and likewise capital, disappear." Asserting "the stage is set," the mine labor leader, who heads a drive to unionize mass production industries, said: "Industry can go forward with profit to its and with security to our citizenship; or it can elect to destroy itself by blindly following its unreasoning preju dices, and refusing to conform to the modern concept of proper Industrial relations." Lewis sajd employers' failure to deal with their employes through collective bargaining and to grant "reasonable conditions' leads to labor unrest. He blamed "employer trouble" for recent strikes, "especially in the automotive industry." judgment and ability required." Daytona Beach is the governor's home city.

Sheriff S. E. Stone and Adjutant General Vivian B. Collins of the national guard were directed to represent him at the Daytona Beach city hall and preserve order at the installation of new officials this morning. Scholtz acted on the eve of expiration of his term next Tuesday.

Mrs. Armstrong succeeded to of- recenuy wnen rar nusoana re signed as mayor wnn me an nouncement that he did so because ne believed governor bnoitz in-: tended to remove him. I At that time, the governor said: don't know what they're talking aD0Ut, Those fellows must have guiity At Least 5 Senators To he Absent 1st Day Washington There will be at least five absentees from the senate's opening session Tuesday. Senator Morris, sponsor of Nebraska's one-house legislature, plans to be in Lincoln to see that body convene. Senator-elect Herring of Iowa intends retaining his post as governor until Jan.

15 to send a message to the legislature. Senator Shipstead (F.L-Minn.) is ill at a Rochester, hospital, and is not expected for several weeks. Senator LaFollette (P-Wis.) plans to remain at Madison until Jan. 7 to see his brother re-inaugurated as Wisconsin's governor. Senator-elect Smathers of New Jersey may not arrive for several weeks, as he is interested in pending measures in that state's legislature of which he is a member.

Senator Johnson, has been resting in Florida for several weeks. His office was no, certain he would return in time for the opening session. Star Shells High Above Pike's Peak Welcome iVetu Year Colorado Springs, Colo. av-Star shells, bursting high above snow-crowned Pike's peak, gave 1937 a brilliant, illuminated reception in the early darkness today. Fourteen intrepid climbers, who spent two days struggling through snow and cold to reach the summit set off fireworks which wire witnessed by thousands living within a hundred miles of the mountain.

Clear, cold weather as the hour-long ceremonies began on the stroke of midnight helped make visible here the entire upper portion of the peak and even the scars and canons on the mountain's face. It was the sixteenth annual celebration of the AdAmAn club. The hikers five club members and nine guest helpers were joined at the mountain summit for the demonstration by three lcoal motorcyclists who managed to work their craft within a mile of the top the first time the feat ever had been accomplished in mid-winter. They walked the remaining milt. Payments on U.

S. Social Security Accounts Become Effective Today Washington mTaxes to build the huge old age pension fund called for in the social security act became effective today. More than 23,000,000 workers In business and industry henceforth will find 1 per cent of their first in wages deducted by the employer for payment to the treasury, The employers must match that contribution. The first payments fall due at the end of February. Latest estimates at the security board Indicated 2,500,000 employers had registered.

Besides making the monthly tax returns, each is required to keep records of wages paid so that the internal revenue bureau can check on the reports. With congress about to convene, the tax question is among the principal interests of those who fathered the security ct. The present rates.