Page 2 article text (OCR)
^v^^Â£^?^,^j3;Â«7?;is^ TWO MASON CITY GLOBE-GAZETTE APRIL 6 1934 AUTO BOARD IN DETROIT AGAIN Tries More Problems After Success in First Test at Racine. DETROIT, April 6. UP)--The automobile labor board, flushed with the success of its first test, headed back for this heart of the motor industry today to tackle more labor troubles. Last night it settled in Racine, Wis., a strike involving 4,600 automobile workers idle six weeks. The board, created by President Roosevelt and headed by Dr. Leo Wolman, announced these terms of settlement N Officials of the Nash Motor company and the Seaman Body corporation, an affiliate, whose .workers walked out six weeks ago, agree to bargain collectively with their em- ployes. Return to Work. They agree to return all strikers to work as quickly as production schedules permit and to re-employ without discrimination , between union or non-union workers. The company agrees to increase the wage scale 10 per cent. The em- ployes had asked a 20 per cent rise. The new rate is 50 cents an hour for men workers. The agreement is subject to the approval of three unions in the Â· Nash .plants at Racine and Kenosha and the Seaman body plant. As the deliberations shifted back to Michigan today an NRA representative sent by Administrator Hugh S. Johnson was on his way to Detroit from Washington. Edward F. McGrady, NRA labor adviser, was dispatched hurriedly last night when Johnson received reports of new strikes in Michigan. Had Walked Out . Several thousand employes of the Motor Products.corporation and the Ex-Cell-O Aircraft and Tool company had walked out in Detroit but settlement of differences already was well under way. Meanwhile Matthew Smith, general secretary of the mechanics educational society, had announced that tool and diemakers employed in job shops would take a strike vote Saturday if wage increases were not forthcoming. Another problem before the automobile labor board was indicated by the charges of William Collins, American Federation of Labor organizer, that automobile manufacturers are ignoring the board's ruling against solicitation of membership in unions. 3,000 Vote to Strike. INDIANAPOLIS, April 6. (J)--A strike which union officials estimated would affect 3,000 employes 'in three Indianapolis mills., was voted early today by members,of '--ttie American Federation of Hosiery 'Workers. ' .Officials of the Real Silk Hosiery Mills, Inc., expressed belief . not more than 500 of their 3,000 em- ployes 'were Â·union members. J. A. Goodman, chairman of the board, said the strike is "a viola- 'tion of the basic plan of employe . representation determined by the employes themselves at the election last October." He said the employes voted two to one in favor of being represented by the Employes' Mutual Benefit association rather than by the union. .William Smith, Philadelphia, general secretary-treasurer of the union, said the strikers demand the union wage scale, abolition of the bonus and penalty ^system, and "a saner policy of recording efficiency." EXPLAISTS. STAND ON ARMS Davis Tells Britain Nation Would Not Agree to Any Punitive Action. LONDON, April 6. W)--How the United States stands on a proposal for punitive measures to guarantee execution of a disarmament treaty today was explained to Great Britain. Norman H. Davis, American am- fcassador-at-large,' outlined Washington's views in a forenoon conference with Sir John Simon, British foreign minister. Davis made plain, it was understood, that the United States categorically refused to commit itself to punitive action but would not interfere with the carrying out, even through military or economic measures, of a program to enforce disarmament of any European nations. BOOST IN ESTATE LEVY IS DEBATED (Continued From I'aco 1 erty by an individual (not corporations) according to the length of time the person held the property. It stipulates that the following percentages of the recognized gain or loss shall be taken Into account for tax purposes: Scale Is Graduated. One hundred per cent if the asset is held not more than year; 80 per cent between one and two years; 60 per cent between two and five; 40 per cent between five and ten; and 30 per cent if held more than 10 years: Murphy contends that while this scale is an improvement over' exist- law it would discourage realization of gains because the longer the asset was held the less tax would be paid. 18 HURT IN RIOT IN MINNEAPOLIS (Continued ITrom Fage 1) was preceded by a parade dotted with marchers wearing red arm bands and shouting "we want bread. We want work." The chief grievance of the demonstrators was demands for .restoration of CWA pro- iects. The city council, simultaneously, was engaged in a bitter debate over :he farmer-labor party's state platform calling for a sweeping public ownership program and ultimately defeated a motion to grant the demands of the unemployed for increased poor relief allowance and continuation of the CWA on a cash basis. DUBUQUE WOMAN AND SON KILLED DUBUQUE, April 6. Frank A. O|Connor, 58, and her son Gerald, 28, were fatally injured last night when their car crashed into. a freight train on a crossing at Davis Junction, near Rockford, HI. Another son, Francis, 18, who was driving, is in a Rockford hospital, seriously injured. Mr. O'Connor, Dubuque attorney who was recently appointed counsel for the Farm Credit Administration at Omaha, left Des Moines early this morning for Rockford. USED PROFITS TO BOLSTER STOCK Exidence Reveals Action of Cities Service Company in Boom Days. WASHINGTON, April 6. W)-Evidence that Cities Service company obtained more than a billion dollars from American investors during the boom days and used most of it to maintain the price of its stock was before the senate bailing committee today. As It began a drastic revision of the stock market bill in executive session the committee made public testimony 'given it in private by Robert E. Healy, chief counsel of the federal trade commission. Healy said the utility company drew $1,146,518,000 from investors from 1927 to 1930 and used $965,000,000 of it to keep up the "price of the stock. Tells Vivid Story. Te told a vivid story of a high pressure sales campaign conducted by the company while it maintained the market price by market operations. The market regulation bill would end such practices, he said. The trade commission, Healy declared, has uncovered writeups or assets of industrial corporations, totaling more than $1,150,000,00. The bill, he further argued, would disclose such operations. Bought Own Stock, The market operations of the Cities Service company, he said, were "one of the most striking things we have come across in our utilities investigation." . During the entire selling campaign of four years, he added, the company bought more than 73 per cent of all the stock sold pn the market. As Healy's testimony was uncovered the committee closed its doors to vote on the stock bill section by section. There was strong indication the measure was in for serious revision. Named Acting Postmaster. WASHINGTON, April 6. UP)---The postoffice department announced the appointment of George W. Burns as acting postmaster at Columbus Junction, Iowa. IN DAY'S NEWS Jack Hincman was one of five entombed miners to be saved when a fire destroyed the tipple of a coal mine at Swltz City, Ind. (Associated Press photo.) NORTHEAST IOWA CONTEST OPENS Several Hundred Musicians Compete in District at Charles City. CHARLES CITY. April 6.--The Northeast Iowa district music contest opened here Friday and will continue Saturday with several hundred musicians competing. Results included: Baritone-bass -- Cresco, Osage, Dunkerton, Toledo, excellent; Monticello and West Waterloo, good. Cresco, by highest ranking, will go to the state contest. Contralto--Washington high of Cedar Rapids and Lansing, superior; West Waterloo and Cedar Falls, excellent; Chrles City, Nashua and Gladbrook, excellent. WIRT WIRES HE WILL BE THERE Acknowledges House Order to Explain Charges on Tuesday. GARY, Ind., April 6. UP)--Dr. William A. Wirt today announced he would be present next Tuesday to tell a house of representatives committee at Washington details of his charges that certain members of the administration "brain trust" were plotting to overthrow, the government. Dr. Wirt dispatched to Representative A. L. Bulwinkle (D., N. Car.), a telegram announcing he would appear. Bulwinkle, chairman of the select committee of the house named to investigate the charges, summoned the Gary educator yesterday by wire. Wirt's telegram follows: "Accept telegram April 5 as service of subpoena for hearing as a witness before select committee house of representatives. Will be present at committtee rooms 10 a. m., April 10." A spokesman for Wirt announced the doctor would have no public comment to make before appearing at the committee hearing-. SILVER WILL BE SOLD TO CUBA RFC Authorizes 6 Million Loan to Export-Import Bank for Deal. WASHINGTON, April 6. The P.econstruction corporation has authorized a $6,000,000 loan to the Second Export-Import bank to enable it to finance the purchase of $8,000,000 of silver to be resold to Cuba. Jesse H. Jones, chairman of the corporation, said today the bank formed to deal with Cuba has a capital of $2,650,000 and it probably would not need all of the $6,000,000 loan. The silver will be minted into Cuban money and turned over to that government. The plan is designed to assist Cuba in disposing of some of the island's commodities. PROPOSED SALE TO BEH INVALID Minnesota State Supreme Court Rules on Rural Credit Bonds. ST. PAUL, April 6. (.-P)--The Minnesota supreme court today held invalid the proposed sale by the Minnesota Rural Credit Bureau and state .investment board last June of 38,000,000 in rural credit bonds to Carleton D.- Beh and company of Des Moines. The decision, written by Associate Justice Royal A. Stone and approved by all other members of the high court, decreed the contemplated sale invalid because the bonds were issued without competitive bids being called for. Bonds Are Reid. The bonds were issued on the plan they exchanged for old rural credit bonds of the same denomination, but were not turned over and are being held In safety deposit in a Chicago bank, while the old bonds are in the office of State Treasurer Julius Sahmahl. Soon after the old rural credit board authorized the issue of $8,000.000 of 4% per cent coupon bonds and ffave them to the investment board in exchange for the new bonds, with the Ben company designated the successful purchaser by thÂ« board, Senator A. J. .Rockne, Zumbrota; republican leader, obtained a temporary injunction restraining state officials from exchanging the bonds. The high court decision upholds the restraining order. Smaller Denominations Sought In its attempt to consummate the sale, the investment board claimed the action was to refund rural credit bonds coming due, and to enable the board to sen the new bonds and obtain funds to loan to northern Minnesota municipalities. The old bonds were in denominations ranging from $500,000 to $2,000,000 which were too large to sell to private investors, the board claimed. The new bonds were In $1,000 denominations. Doesn't Need Doctor. CHICAGO, April 6. UPi--Mrs. Agnes Petschauer doesn't believe in doctors. She doesn't have to. In the last 102 years she has been treated by one only once. REPORT HOLDING COMPANY ABUSES (Continued from 1'ttce 1) otherwise participate in political activities." lias Large Assets. "It must be borne in mind that the American Telephone and Telegraph company system has assets estimated at 55,000,000,000 and that the gross telephone revenue of the system in the year 1932 was $989,722,645," the report said. This one system in the field of communication has assets to about one-fifth of all the railroads and the average per capita contribution to its telephone service in 1932 was $7.93, the report added. '"The ' American people are entitled to Know if they are being overcharged for this service though they may be satisfied with the quality of the service. Liberal Salary Scale. "This report shows a .very liberal scale of salaries for the officials of the A. T. and T. The generosity with which the management rewards itself, the importance of the industry, and the magnitude of its operations call for actual and not nominal regulation. W. S. Gifford, president of A. T. and T., was reported to have received a $206,250 salary in 1933, and $5,920 for other compensations, including directors' fees. Vice Presidents C. P. Cooper received $74,250, and, $4,160; C- M. Bracelen, $61,875 and '$360; B. Gherardi, $61,875, and $320; A. W. Page, $49,500 and $1,470; F. D. Jewett $45,000; E. F. Carter, $41,250; Assistant Vice President K. W. Waterson, $41,250; Comptroller C. A. Heiss, $41,250; Vice President E. S. Wilson, $33,000; Attorney C. E. Folk, $33,000; Assistant Chief Engineer H. P. Charlesworth, $32,083. The other 104 officers were listed as receiving salaries below $30,000 and above $10,000. ' Police in Cleveland Disclose Extortion Plot Against Mayor CLEVELAND, April 6. (F)--An extortion plot against Mayor Harry L. Davis, threatening him with death and demanding $15,000, was disclosed by police today. Although the mayor said he regarded the threatening letter he received the work of a crank, officers set a trap for the extortionist, but it failed when the writer did not appear. WINNERS NAMED IN MUSIC MEET Madalynne Powell Declared Superior in Soprano at Ames. AMES, April G.--Results of the North Central district music contest! in which Magon City entered 20 events, Included: Piano solo--Clarion and Pocahontas, superior; Roslyn Brogue of Mason City, Swea City and Fort Dodge, excellent. Chamber group of woodwinds, class B and C-- Eldora, superior: Armstrong, excellent. Miscellaneous groups of string instruments, class AA-A--Ames, excellent. Class B-C--Rcmvick, superior. Soprano solo--Madalynnc Powell of Mason City, superior; Ames, Rodman. Eldora, Boxholm, excellent. Contralto solo--Roland, superior. WRIT OF HABEAS CORPUS DENIED Judge Rules Smith Has to Stay in Insane Ward at Anamosa. ANAMOSA, April 6. UP)--John 11. Smith, Perry mystery man and one time candidate for governor, must remain In the insane ward of the state reformatory, District Judge H. C. Ring decided yesterday. The court refused to grant a habeas corpus writ which would have freed Smith from the institution to which he was committed after a sanity hearing in 1931. Dr. R. A. Stewart of Independence, mental specialist, told the court that Smith was in a "clouded state of epileptic insanity." Accidentally Kills Himself. LAURBNS, April 6. W)--Herman Muller, 22, accidentally shot and killed himself at the home of his parents. He was moving his gun when it discharged. Henry R. Rose, a farmer living near Porterville, Cal., delivers his garden truck in a home-made cart "powered" by a Holstein milk cow. // means Baptist Conference Starting Friday at First Baptist Church The three day conference conducted by Dr. Howland Hanson was scheduled to get under way at the First Baptist church Friday evening at 6:15 o'clock beginning with a free supper and pep meeting for all young people. This will be followed by a lecture at 7:30 o'clock on the "Miracle of Me." On Saturday there will be a conference at 10 a. m., for Sunday school teachers and church leaders and at 2:30 p. m., a conference 1'or all young people. Three conference addresses will be held on Sunday. The morning service will be in conjunction with the Sunday school and will begin at 10 o'clock. Other conference addresses are scheduled at 3 and 7:30 D. m, to keep on hand 35O,OOO bales of Turkish tobacco to add something to the taste 1/ie curette tiats MILDER mttaT TASTES BETTER me aqam *j Â© 1934, tiGCrrr Si Mym TOBACCO Co. So important is Turkish tobacco in the Chesterfield blend that we maintain a modern up-to-date tobacco factory in the far-off city of Smyrna. Turkish tobacco adds something to the taste and aroma of a cigarette that no other tobacco can give. It means something that Chesterfield always has ia storage upwards of 350,000 bales of this aromatic Turkish leaf. This Turkish tobacco is blended and cross-blended with ripe mild home-grown tobaccos to give Chesterfields a taste and aroma that is not like other cigarettes. Everything that money can buy is used to make Chesterfield the cigarette that's milder, the cigarette that tastes better.