The Mason City Globe-Gazette from Mason City, Iowa on February 23, 1934 · Page 1
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February 23, 1934

The Mason City Globe-Gazette from Mason City, Iowa · Page 1

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Friday, February 23, 1934
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North Iowa's DAILY PAPER Edited for the Home C O . M P I S W E M a A R T ;: - ;j T O F I D /; 1 · ".-, | ,., r ; | , "THK NEWSPAPER THAT MAKES ALT. NORTH IOWANS NEIGHBORS" H O M E E D I T I O N VOL. XL FIVE CENTS A COP* ASSOCIATED PKEuS LEASED WIRE SERVICE! MASON CITY, IOWA, FRIDAY, FEBRUARY 23, 1934 THIS PAPER. CONSISTS OF TWO SECTIONS SECTION ONE NO. 118 Undisturbed by Criticism No Misgivings Seen on Mail Contract Cancelation. TOUHY AND 2 AIDES CONVICTED By HERBERT A S H I N G T O N , Feb. 23. UR--If the democrats are concerned ' over criticism leveled at them because of cancelation o£ airmail contracts, they have managed so far to keep it well concealed. 1 Everyone from t h e p r e s i d e n t down apparently is undisturbed. Were there misgivings or alarm over the subject in administration circles it would have been quickly detected in Washington. Observers here are quick to note ·when politicians are whistling to keep up their courage. They haven't heard a treble so far. At Mr. Roosevelt's first press conference after the contracts had been canceled, he seemed not only willing but eager to discuss the question. The correspondents who crowded around his desk pumped him with query after query, all of which he answered with ease. The first avalanche of criticism, including the telegram of Colonel Lindbergh, already had descended on his hend at the time, too. Senate Threat Fades. In the senate, where reactions to policy quickly find expression, democrats have found it scarcely necessary to make a serious defense of the move. Robinson of Indiana, a republi- ca.., did call attention to the charge made earlier by Representative Fisti of New York that only one company had been spared and said that it hac been suggested this company was a L contributor to the democratic i.'tional campaign fund. '.i Black of Alabama, chairman of he ; sinate; committee investigating l- contracts,, promptly, nssurec ' he 'desired to submit .names "Cow or : hereafter, I 'Juld be very glad, indeed, to sum- ion them, notify the senator to be present, and I shall be very glad to ask the witness myself to wha 1 party he contributed, or permit that privilege to be given to the senator.' That's how sure of their ground they all seem to be. Confidence in President. Criticism of the administration In this instance has been both wide spread and vigorous. Perhaps no since the abandonment of the golf standard last May has a "new deal' move been so attacked. The serenity and calm may be ex plained in two ways. The presiden believes he has the "goods" on the airmail carriers, developed by th Black investigation, and can win hi: cose in the courts. Also, he and hi: whole administration feel that th' country is with him in this contro versy. As expressed by Joe Robin son, democratic leader, on the floo of the senate recently in reply to s republican jibe at the president: "I believe that the country has more confidence in Franklin D Roosevelt, president of the Unitec States, than it has in any other on man or in any other one group o men in the United States." New Belgian King Crowned at Brussels EOPOLD TAKES OATH OF OFFICE TOBE4THRULER Foreign Diplomats and Representatives at Ceremonies, BRUSSELS, Feb. 23'. U'l--A new king of the Belgians, Leopold III, vas enthroned today when the former crown prince took the oath to defend the constitution before both houses of parliament. He officially became king, succeeding his father, the late Albert I, at the conclusion of the reciting of the oath at ' 11 o'clock this morning. The 32 year old monarch spoke the brief oath in French and repeated it in Flemish before the leglis- .atora and assembled dignitaries. Cheer New Ruler. A splendid array of foreign rep resentatives and diplomats in the lavishly decorated chamber of deputies, cheered the new ruler with the same enthusiasm as did thousands of people who watched him on his ride to parliament from the royal castle at suburban Laeken. Thousands of Belgians ecstatically shouting "Vive le roi" and, waving flags and handkerchiefs, hailed Leopold III on his triumphant ride. Some sections along the brilliant route showed less enthusiasm than others, but there'Were no organized counter manifestations. Solid, Pushing Throng. Scattered anti-royalist elements among. the crowds which pressed in a solid, cheering, pushing throng along the streets were drowned out in the roar of acclaim. The new ruler was a striking figure as he dismounted to be greeted by a special delegation and escorted to the special throne erected in the chamber. After the seating-in ceremony, the accession of Leopold m to the throne was announced to the waiting thousands outside by trumpeters. They sounded a fanfarp from the steps of the parliament building. A great cheer went up from the multitudes when the kin'g emerged Remounts His Horse. Amid shouts of acclamation, Iw remounted his horse and headed the procession which moved through the streets of Brussels tu the royal palace in the same order as it had come from Laeken. Queen Astrid, because of the fact she is expecting the birth of a child, did not participate in the procession from the royal castle. She was borne by motor directly to the parliament building. There she had (Turn t« Vnsc 2, Column y) $15,000 Loss Caused by Fire in Railroad Chute at Des Moines DES MOINES, Feb. 23. (#)--Fire today destroyed the Chicago Great Y/esteru railroad coal chute at S. W. Thirteenth street. C. J. Foster, assistant superintendent t'*r the road estimated the loss at $15,000. Approximately . 80 tons were in the chute bins at the time of the fire. Foster said it was believed the fire was started by defective wiring. Sfit Wea FORECAST Iowa: Partly cloudy and continued colil Friday night and Saturday. ^ MINNESOTA: Generally fair \ ind continued cold Friday night and Saturday. LOCAL STATISTICS Globe-Gazette weather figures for 24 hour period ending at 8 o'clock Friday morning: Maximum Thursday 17 Above Minimum in Night 4 Below At 8 A. M. Friday 1 Below Trace of snow. The cold wave predicted for Wednesday was continued over into Thursday with a minimum In the night 4 degrees lower than any previous February temperature. MRS.MASS1EIN DIVORCE ACTION Extreme Mental Cruelty Is Charged Against Young Naval Officer. RENO, Nov., Feb. 23. LW--Mrs. Thalia Massie, central figure in the sensational Honolulu attack case of 1932, filed suit for divorce from Liexit. Thomas Hedges Massie, young naval officer, in district court here today. Her complaint charged "extreme cruelty, entirely mental in character," and alleged that "said cruelty destroyed the purpose of the marriage and injured and impaired" her general health. They married at Washington, D. C., Nov. 24, 1927. There are no children. Mrs. Massie did not ask for alimony. The divorce, she said, would be sought "entirely at the Insistence of Lieutenant Massie." He is stationed aboard the U. S. S. Oklahoma at San Pedro, Cal. Plan to Pay Pound Rates for Air mail \ House Group Votes as Brown Explains His Missing Files. ' WASHINGTON, Feb. 23. L1-- The house postoffice committee today voted to establish a fixed price a pound for airmail, eliminating competitive bidding. The figure, Chairman Mead said, will be fixed probably at around 2 mills a pound mile as against the 4.2 mills average for 1932. "Under competitive bidding," he told newspapermen, "we are supposed to have had a number of companies getting together and agreeing who should make the lowest bid and what his bid should be. "That brought us rates averaging 4.2 a pound-mile. Would Cut Rate. "Under the new system, the rate automatically would be around 2 mills a pound while with the best available carrier selected." Representative Kelly (R-Pa.), author of the bill now before the committee, said this change would result in a reduction from the S'°,- 000,000 spent for airmail in 1932 to around ?9,000,000. Mead added that the committee "probably will adopt an amendment permitting 1 these contractors whose contracts have been canceled to come back in the government service under very severe stipulations and restrictions." Lett to Secretory. Meanwhile Walter -F. Brown, postmaster general under President Hoover, told seriate airmail lur vestlgators that he ihad:left to the judgment of his secretary what 'ol iiis personal correspondence' should be burned when he left office. On the stand for the fifth consecutive day, Brown previously had explained details of the award of airmail contracts during his admin- stration. "I told my secretary, Kenneth \IcPherson," Brown said, "I'd like "or him to go over my personal cor- ·espondence and use Ms own judgment in sorting out papers that might be of value to me and to dis- )ose of the part that had no value. : had no place to store it without a ood deal of expense." Brown said emphatically, however, that he told McPherson to sort over only his personal papers. Never Saw Files. He said he never saw his office lies while postmaster general, caving that to subordinates. Department employes have told the committee that official correspondence was put into the furnace at the direction of Brown's secretary at the end of the Hoover administration. A few days after that testimony, Brown turned over a. sheaf of letters to Postmaster General Farley, saying lie hi- ' found them unexpectedly in a chest of personal correspondence and odds and ends left over from his days in office. He said at tho time the letters were those which the department employes had testified were burned. Hous'e Quits for Day Out of Respect for Late Joseph Hooper WASHINGTON. Feb. 23. After hearing eulogies of the lat Representative .Joseph L. Hooper Michigan republican member who died suddenly after yesterday's ses sion, the house adjuorned today ou of respect to him. 20 LARGE FIRMS PUT 20 BILLIONS IN 1929 MARKET Senate Stock P r o b e r s Give Statistics of Their Survey. WASHINGTON, Feb. 23. M')-Statistics showing that a group of 20 large corporations poured more than 520,000,000,000 into the speculative boom market of 192!) were made public today, by the senate stock market investigating committee. The committee gave out the results of a survey showing that the selected group of corporations had almost a billion dollars in the market at one time near the peak of the boom in the fall of that frenzied speculative year. The twenty billion figure was a cumulative total of all moneys advanced, with the amounts in at any one time varying greatly. Standard OH-Biggest. The largest total during the eriod wan $17,672,520,000 for the tanclard Oil company of New Jerey. This company apparently had a apid turnover of loans, however, ecause its biggest single day's ad- ance was 597,824,000, less than ome of the others. On the other side of the capilol he constitutionality of the Fletcher- rlaybuni "bill- for regulating stock exchanges was, challenged by Thomas B. Gay, counsel for the New fork stock exchange. Uniler State, Control. Gay contended that however ne- :essary the control of the so- tailed abuses and conduct of stock ixchanges, congress was without onstitutional power to do it be- :ause transactions were of uii intra- itatc and not interstate character ind hence should be controlled by he states. The survey total wag made pubic by the committee as it called ·eprescntatives of some of the lompauies for questioning about he loans. The survey covered 20 of tho big- jest corporations in the country, nit the total included only 17 ol :hem as the others did not give the iggregate of their loans. Give Brokers' Loans. Representatives of cities Service company and Electric Bond and Share testified to the committee thai their brokers' loans during the year aggregated 5285,000,000 and §867,- 000,000 respectively. Their daily average for the year was ?10,000,000 and $100,000,000 respectively. R. P. Rcsor, assistant treasurer o: Standard Oil, testified his com lany's daily average of loans fo: ·he year was $69,000,000. ReicKbank President Promises Mark Will Not Be Devaluated BERLIN, Feb. 23. (-T)--There will no devaluation of the.mark Dr. Hjalmar Schacht, president o£ the reichbank has promised German bankers. Such a move, he told a group oi bank executives yesterday, woulc only result in further devaluation by the United States and Great Britain. The central bank president warned his hearers they would be out of a job unless they catch the nazi spirit. "The men who today head German banks," he said, "can fulfil their tasks only if, with a full heart they devote themselves to the'spirt' of the new state." More Than 2,000 on Strike in Racine and 5 Plants Close Dowr RACINE, Wis., Feb. 23. f/P- Morc than 2,000 industrial worker, of Racine were on strike today a a labor demonstration gained mo mentum. Five large plants in th state's second largest industria center were virtually idle. They ar two plants of the J. I. Case com pany, the Eisendrath Tannery, th Nash plant and the factory of th Oater Clipper company. CONFESSES PLOT Soon lifter a confederate had committed suicide, Jack Lacy (ubovo), ulliis Wymnii, confessed to Chicago authorities that he huil participated In a plot to kidnap E. 1'. Adler, mid- west newspaper executive. (Associated Press Photo). New Chapters in Criminal Career TAX BILL OVER FINAL HURDLE On Way to Statute Book After Senate Approval of Report. DES MOINES, Feb. 23.--Iowa' new $20,000,000 tax bill was on it way to the statute books today after the state senate's action in pushing it over the last hurdle to final legislative approval. A senate vote of 29 to 21 yesterday adopted a conference committee report which previously had been approved by the house and the bill was sent on its way to the governor. It becomes effective upon publication. The governor is expected to sign the measure promptly to add to Iowa's 87 year old tax system the three new levies which it creates-an individual net income tax of 1 to 5 per cent, a co-porafion net income tax of 2 per cent and a retail sales tax of 2 per cent. Will Yield $20,000,000. While the individual and corporation net income levies are intended as permanent additions to the state tax system the retail sales tax, as finally approved, is self expiring at the end of three years. Sponsors estimated tlmt the new taxes will produce nearly $20,000,000 a year, placing receipts of the retail sales levy at about $14,000,000, income from amusements $320,- .(Tusn li FAge V, Column t). Man Who Sought to Kidnap Adler Suspected of Bank Robbery. CHICAGO, Feb. 23. MV--New chapters in the criminal career o John Lacy were uncovered by pro secutors today as they prepared ti ask the grand jury to indict him for kidnaping conspiracy. Morose after learning his part ner in the bungled kidnap attempt Charles W. Mayo of Birmingham Ala., had committed suicide in a cell, Lacy was said to have given information which led authoritiei to suspect him of bank robbery. Five years ago, Prosecutor Ma Coghlan "said, Lacy deserted hi wire and two children in Tinle; Park, southwest of Chicago. Following that, he served a terrr in the North Dakota state prisoi for forgery. in Bank Robbery. Coghlan said he believed Lacy re turned to Tlnley Park a year and participated in a bank rob bery. The prosecutor said ho believe Lacy had never lived in Davenport, the home of 1C. P. Adler, newspaper publisher whom Mayo anci Lacy selected as their first kidnap victim. A bizarre plot to carry Adler out of the Morrison hotel here in a huge trunk was frustrated when Adler put up a fight and frightened away the would-be abductors. Lacy used the name of Norman Wyman during his residence in Tinley Park, Coghlan said, and that probably was his true name. Of Prominent Family. "We believe Lacy is a member of a prominent family in Fort Worth, Tex.," Coghlan said. "His only request to authorities is that his family be kept ignorant of the present case. We have agreed to that." Coghlan said Lacy made his first visit to Davenport three weeks ago with Mayo, adding that neither of them appeared to have criminal connections in either Davenport or Des Moines. "They planned the kidnaping on the first trip to Davenport,'' Coghlan said. "They returned there a week ago -yesterday and spent the (Turn to I'aKe 2, Column fl) HOUSE REJECTS AMENDMENTS TO ITS LIQUOR ACT Measure Expected to Be Sent to Conference Committee. DES MOINES, Feb. 23. (/P--The louse of representatives today refused by a vote of 2 to 03 to concur p. senate amendments to the liquor control bill. The measure immediately was messaged back to the other branch. If the senate refused to recede 'rom its amendments, the measure :hcn goes to a conference committee. It generally is expected the bill tvill wind up in conference. Meanwhile the house and senate continued to work today on bills of general character. Two in Favor. The two house members voting for concurrence in senate amendments were Crouch and Hartman. These absent or not voting were Alcsch, Bowers, Donlon, Grell, Jenkins, Koch, McDermott, Mam'ece, Moore of Benton, Ostby, Porter, Sheridan and VViese. Representative McCleery of Linn asked whether the bill had been received from the senate, and, informed that it had, requested that it be taken up at once. Representative Fabritz of Wapello, chairman of the house Uquor control, committee, told the house that the senate had made a number of amendments and that he very seriously questioned whether the house would accept them. Wise to Refuse. He said he believed it wise, to refuse to concur. McCreery then asked Fabritz to request the conference committee if necessary be named to expedite matters by staying in the city over the week-end, with a view of bringing back a report Monday. Fabritz said if on the committee, he was willing to work 24 hours a day, and Speaker Miller advised the Liin representative that he would urge that the committee exert every effort to make its report speedily. The "major differences were on increasing the commission personnel from three to five and their salaries from ?3,fiOO to $5,000; permitting pale by licensed hotels, restaurants and clubs for consumption on premises of wine of natural fermentation; permitting drug stores to sell liquor for medicinal purposes on prescription from a licensed physician; and permitting vineyardists to sell wine for consumption off the premises. GILS Tax Refund. The senate rlevoted its entire morning in f u r t h e r discussion of the new gasoline tax refund hill. The measure had been explained briefly by special Assistant Attorney General Leon Powers on the day before. Possibility that a provision of the bill might 'be deemed unconstitutional and that this would endanger the $11,000,000 which the state collects under the present gasoline tax law, was voiced by speakers at another point in the discussion. The section in question would allow the state treasurer to change the specifications from time to time. Senator George Patterson of Burt and others argued that this might be construed as an attempt to dele- KOGER TOIIIIV BEER BILL NOW UP TO SENATE New 4 Per Cent Law Given Approval of House by 62 to 42 Vote. DES MOINES, Feb. 23. C.T-- A bill to permit the retail sale of beer of 4 per cent alcoholic content by weight today had reached the half way mark in the Iowa legislature. Passed' by the house late yesterday by a vote of G2 to 42, the meas- Mrs. Vallee Enjoined From Suing Husband Except in New York NEW YORK, Feb. 23. f/T)--Rudy Vallee, orchestra leader, today was granted a temporary injunction, restraining his wife, Fay Webb Vallee, from suing him in California or anywhere else than New York for divorce and maintenance. Supreme Court Justice Barnard L. Shientag who granted the injunction, said in hla decision that Mra. Vallce's California action was an obvious attempt to harrass her husband. (Turn In Patre Z, CVilnmn 8) BWftits consideration by-the senate. The bill, considerably amendec from the form in which it was introduced, was the subject of a three day's debate and makes a numbet of changes from tho present law other than raising the alcoholic content. The outstanding- proposals and changes contained in the house measure include: May r.Imiumcturc. Brewers may manufacture beer of higher than 4 per cent alcoholic content for shipment outside the state. Free beer and free lunches with the exception of crackers, pretzels and cheese are banned in retail establishments. Refrigerated beer may be sold in any quantity for consumption off the premises. Prohibits all outdoor advertising of beer. No retail beer establishment may be within 200 feet of a building used for school purposes. Issuo Licenses County boards of supervisors may Issue licenses to persons in villages incorporated prior to Jmi. 1, 1034 find to incorporated golf and country clubii having a bonu fide membership of 50 or to clubs affiliated with a nationally incorporated organization. 6'cea from such permits would accrue to tlic county- Blanket permits costing $100 are provided for railway and parlor car companies with a $5 fee for each duplicate permit. Brewers would not be required to pay the tax of 51.24 a barrel for beverage shipped outside the state. Brewers failing to make their report and pay their tax by the tenth of each calendar month would be subject to a 10 per cent penalty. Labels of all beer containers are required to state the alcoholic con(Turn In rnjte 2, Column 7) SET SENTENCES OFKIDNAPERSAT 99 YEARS APIECE Jury Finds 3 Gangsters Guilty of Abduction of Factor. CHICAGO, Feb. 23. (/W--Tile law, after three trials, has put the finger on Roger Touhy, one of the last and most notorious of the dry era desperadoes. A jury convicted Touhy and two others early today for the abduction of John (Jak the Barber) Factor, and fixed tha prison sentences of all three at OB years. Those convicted with him were Albert Kntov and Gustav Schaefer--lesser fellows in a once mighty combine against law and order. With today's verdict, authorities said, the last of the gangs which uring prohibition gave Chicago an luwclcomc reputation us a capital }f crime, has been destroyed. Only ·emnants of the "big shot" gangs remain and their trail is kept con- itantly hot. Deliberated fl Hours. Touhy, Kator and Schneter, in shackles, heard the "bad news" ·shortly after midnight today when a criminal court jury, after six hours deliberation, returned Its verdict. A previous trial ended in a jury disagreement. Before that, in St. Paul, Touhy was acquitted of a federal charge of kidnaping William Hamm, Jr. The verdict marked one of tha few victories in state courts for the prosecution of major kldnaplngs. The others In recent crime: history were the convictions of the kidnapers 'or August Lu'eri 'Alton banlifer, and of James Hackett, Blue Island Hi., gambler. The sentences in those cases ranged from life Imprisonment to five years. The conviction of the Touhy gangsters came after a seven day trial. Sentence \Vns Issue. The first ballots resulted in an unanimous verdict of guilty. The second was taken after arguments between tlie jurors as to whiit the sentence would be. One half of them were reported to have held out fur the death penalty. A second vote, however, resulted in an unanimous verdict of 99 years in prison. The state had asked for the death penalty "or at least 09 years" and unless the sentence is made invalid by a new trial or a reversal by the supreme court the Touhy men will go to prison to remain for at least 33 years--the required time before they would he eligible for parole. Hearing on a motion for a new trial is set for Saturday. The luck whicii carried Roger Toughy, the curly headed leader of the Touhy gang, through two other kidnaping trials--went steadily from bad to worse during the seven flny-i of Iii.v second trial. Olhcrs Are Captured. The day before it opened, two Touhy followers were seized in Baltimore, In the middle of the trial one of thorn.--Isaac Costncr, a Tennessee bad man who was imported for the kidnaping--confessed and implicated the others. Next day another--Walter A. Henrichsen--followed his example, and admitted collecting the suitcase full oC cash (Turn i P:nn 2, Column 8) Careers for Women Army Flyer's Leg Broken in Jump With Parachute Chicago Bound Pilot* Not Carrying Any Airmail. FIIEMONT, Ohio, Feb. 23. (.TV- Army Pilot Norman Burnett bailed out of his ship seven miles north of Fremont early today and suffered a broken left leg in hla parachute descent. Burnett was out of Cleveland for Chicago. He did not have a load of mail with him. He was found at 7 a. m., (EST) by Irwin Bowersox, a farmer, three hours after the accident. Burnett said he encountered a. blizzard. lost iiis bearings, and decided to take to his chute. Fails to Call. He thought he was far away from habitation, and failed to call out for help until daylight. When he started yelling at 7 a. m,, Bowersox heard .the cry, and responded with assistance, sending the flyer in a motor car to Memorial hospital. Hospital attendants said they were uncertain as to the full extent of the flyer's injuries, but believed he was suffering from exposure and shock In addition to the fracture. Near Farmhouse. The flyer came down on the Bowersox farm, and in reality, he was but" a few hundred yards from the farmhouse when he fell. The plane was not found immediately, but a group of farmers and rural officers started out in search of the wreckage. Their tank was made difficult by the snowstorm. The flyer left Cleveland at 3:lf a. m., and crashed shortly thereafter. Weather conditions when he departed were reported favorable. w c are seeking economic independence--in business and civic pursuits, in the arts and professions. For the first time In American history we have a woman in the cabinet, another as minister to Denmark. To assist women in determining careers, our Washington Information bureau oCfers a booklet of practical suggestions, questions and answers on feminine vocations. Send G cents in coin to the Globe-Gazette Washington Information bureau, to co*'cr cost, postage and handling. Use coupon. Mason City filohe-Oaze.H» Information Hurrau, FrcclBrlc .1. Hasklii, Director, Washington, D. C. I inclose R cents in coin (carefully wrapped) for tho booklet, "Careers for Women." Name ,,.... Street City State (MMl in W a s h i n g t o n , IX C.)

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