| Show N news aws review of current events the world over treasury issues long term bonds because of big deficit teague ta retires from federal farm board EDWARD W PICKARD VH T HOUGH the unit 1 I ed states Is popularly lar I 1 y supposed to be the richest nation on earth the government Is up against it the it meaning a 1 billion dollar deficit with the prospect ot of another billion deficit during the next nest fiscal year the treasury therefore Is about to andrew issue long term bonds mellon for SOO bearing 3 per cent interest this Is in lieu ot of an increase in taxes which probably will not be asked until after next years presidential election if at nil all the reason for this course Is 19 obvious it Is expected that there will be further bond issues as well as borrowings on short term certificates of indebtedness the public debt which had been steadily reduced since 1923 now begins to climb upward again this bond issue announced by secretary of the treasury andrew mellon is the largest peace time offering of long term government obligations in the count rys history with the axce exception P of the bond issue of 1024 which was put out to refinance world war indebtedness the interest rate of 3 per cent on this issue Is the lowest of any long term government financing since 1010 1910 17 that the issue will be oversubscribed to the extent of hundreds of millions of dollars even at 3 per cent interest Is not cot doubted partly because of the prevailing cheapness of money and partly because of the fact that while the treasury may have a deficit the credit of the government erni nent Is al A l 1 the bonds will be dated and will bear interest fro mJune 15 1031 and will mature on june 15 1919 1949 being redeemable at the option of the treasury on and after june 15 1910 1940 th they ey will be issued in both bearer and registered form in denominations of 50 1000 and in addition there will be registered bonds in the denomination the federal reserve banks will be the official agencies for the flotation of the issue but all banks will receive subscriptions from investors ve the bonds will be exempt from federal em state and local taxes except inheritance beri tance taxes and surtaxes sur taxes G GERMANYS huge flying bout boat DOX DO X after long delays and various accidents finally crossed the atlantic ocean successfully it made tho the flight froan cape verdo verde islands to fernando Nor noronha onlia off the coast of brazil in 12 hours and 15 minutes defying superstition 13 persons were aboard the DOX DO X it was announced by the state dopart department part ment in washington that colonel and mrs lindbergh will start before long on a pleasure cruise of the orient in their lockheed plane flying to jal pan and china via the north pacific and russia they probably will follow the route taken by the army flyers in 1924 4 going to siberia by way of the aleutian islands of about half the G GOVERNORS states took part in the annual conferences at french lick ind and several of them disrupted the program of harmless topics by injecting their own vigorous opinions into their addresses pinchot of pennsylvania for instance insisted on making a liot hot attack on the public utility corporations instead of talking about timber and in the closing session ritchie of maryland criticizing criticising critic ising the conference for trying to avoid controversial subjects urged the return of liquor control to the states as a solution of taxation problems 0 ona G CO of the orl original anal I 1 members niem beis of the federal P farm board boar dand and its ita vice cb chairman airman has resigned having served fm one more year than he at first intended in his letter to rest resident hoover tendering his resign resignation atlon J sir air tongue teague declared the board had fully C C teague justified justl ned itself and its cost to the taxpayers lie ile said that without its advice and revolving fund many farmers eo co operatives would have flave gone under and ho be warmly ae defended the emergency operations of the board in stabilizing wheat and cotton there are two distinct methods of stabilizing markets he ha pointed out probably the one that lias has been emphasized pha sized most in publicity has been the stabilization operations on wheat and cotton which were entirely emergency operations undertaken to meet emergency conditions and which I 1 believe are entirely justified and which will have bave resulted in benefits to aerl culture and business generally far outweighing any cost to the treasury however in my judgment the creA greatest ere sest test benefit will come through art an other type of of markets which will mill come through the long time project of developing a system of cooperative control of agricultural products which will effect a better control of production and a better control of distribution and thus have tin an important influence in the of markets R RC Er ORTING on the general agricultural situation the bureau of a agriculture gri culture economics of tile tiie department of agriculture shows that american farmers are selling their produce at less than prewar prices but are paying about one third more than before the war for the things they buy the bureau estimates that farmers now receive 80 per cent of prewar prices and pay per cent for goods bought in other respects the outlook Is not bad farm crops says sas the report lare aie recovering from the effects of tile the continued cool weather winter wheat prospects have been improved fruit prospects are generally reported fair to good live stock growers appear to be keeping up herds and locks flocks despite somewhat adverse conditions in feed prospects in several sections V IRGIN ISLANDS now have only one governor and that Is dr paul pearson for herbert D brown chief of the federal bureau of efficiency has bad a spat with the doctor and retired from the co governorship w which I 1 tell he be has exercised tor for 1 nearly two years in ID H D laro brown 1020 congressional committees asked mr crown brown to investigate vesti gate the islands with a view to reducing administration costs he ma made de three long visits there and his recommendations were displeasing to capt waldo evans then naval governor also he obtained to be expended under his sole direction last winter he recommended transfer of the islands to the interior department and when this was done he returned to help the new governor gov arnor doctor pearson whom he had selected for the job FOUR eastern and western air lines whose planes fly about miles annually have consolidated their management operation traffic and sales and now become divisions of tile the united air lines with general offices In Chicago the lines involved in this big merger are the national air transport operating from new york to chicago and chicago to dallas the boeing air transport operating tIng from chicago to san francisco the pacific air transport operating from seattle to san diego and the varney air lines operating from salt lake city to seattle and the pacific northwest P 0 johnson president of the boeing companies who was recently made president of the national air transport and the varney air lines Is to be president of the now company financial po troubles were up pro preaching aching a climax during the week neek with the state legislature preparing to v vote 0 to on the question of 1 impeaching in peti pe the governor henry U H hor bior ton the situation in 1 nashville was tense t though the foes of gov norton horton the executive were a apparently in the majority horton seemed undaunted most of the eight articles of peach ment reported to the legislature by a committee relate to a main charge of conspiracy alleging plots bet between the governor goer nor and col luke lea and rogers caldwell two bankers who ft ho are now under indictment ns a result of the bank fal failures lures of last november congressman ed cd crump the memphis political boss was conducting the fight against the governor though he kept himself in the background the resignation of senator scott fitzhugh ritz hugh one of tile the crump fact faction lon from the and the election of senator A 13 broadbent Bron dbent of Clarks clarksville ville to fill his place took much of the thunder away from the defense for senator broadbent Is tin an independent an anti crump man and lie will nil be the next g governor pv if mr horton Is forced out anadean tax payers are hard hit C CANADIAN by the first budget presented to parliament by premier it II U B bennett lie he announced a deficit of and said new taxes would be re quiren to meet it consequently he proposed imports as follows increase in the sales tax from I 1 per ctet to 4 per cent reintroduction of 3 scent cent postage increase Inc of the income tax on corporations and stock compan companies es from 8 to 10 per cent and a now new bp cial excess tax of 1 per cent W a all imports manufacturers of 0 the united states came off more easily that had been expected only about items in tile the tariff ri aga against dinst them were altered by t the he premier customs duties were wera r raised als ed on anthracite coal furniture oranges and the higher priced automobiles there was bad news however for americans who have investments in companies for mr bennett ordained that beginning next nest july an all income tax of 2 per cent must be ba paid by nil all foreign investors receiving I 1 dividends from canadian concerns the only bright spot tin in canadas financial picture mr air bennett stated we was the fact that the dominions conversion loan of had been subscribed up to he emphasized pha sized that during his regime no fewer than 75 american manufacturers rs had established plants in 10 canada and made it clear he be was sticking close to his canada first attitude nis ills conclusion brought a great ovation from his followers GERMANY ERMANY Is expecting g great r e a t benefits to result from I 1 the he remarkable meeting at england of chancellor heinrich bruening and foreign us curtius with prime minister ramsay maedonald macdonald and foreign minister arthur ilen hen derror der sori sor the german chancellor statesmen went there bruening thursday on invitation imitation from the englishmen and the tour four men discussed thoroughly the bearing of reparations on the world economic crisis it was the hope of the germans that this conference would find a way out of the present financial wilderness the meeting aroused the french and led them to reaffirm their contention that german reparations an and d uie the allied debts to america were inseparably connected by the young plan As it Is put by A L jeune jenne in le midi of paris or the battlefield 0 of f international debts where we held the front line so long until the young plan brought us back to the reserve trenches it would be a great imprudence to give them up THE HE general assembly of the presbyterian by terian church in session at pittsburgh rebuked the federal counell council of churches of christ in america for report of its committee approving of birth control and adopted a motion 0 i instructing the council to hol hold d its pence peace on all questions relating to morality and delicacy until they have been discussed with its constituents L LAST AST june congressman tinkham of af statement about the political activities of bishop james cannon jr which the bishop dared him to repeat without t benefit of his official immunity tinkham accepted the dare and now the bishop lias has sued the congressman for ZOO for alleged libel IN A decision that seems to give as aurance that the press of america la Is and shall continue to be frie free the supreme court of the united states held unconstitutional the minnesota statute authorizing the suppression of newspapers and other periodicals publishing lishing matter which the authorities deem to be defamatory of public officials oan or other persons or institutions in the opinion of five members of the court chief justice hughes and associate justices holmes brandeis andels Br stone and roberts the minnesota law in so far as it authorizes such suppression Is an infringement of the liberty of the press guaranteed by the fourteenth amendment associate justice pierce butler himself a minnesotan read a dissenting opinion concurred in by justices van devanter decanter and sutherland asserting that the majority opinion gives to freedom of the press a broader interpretation than any that had find ever before been recognized b e RELATIONS tween premier mussolini n I 1 and the vatican vatican e strained 4 almost to the breaking point and outwardly it appeared there could be no peaceful settlement of the quarrel but N efforts at conciliation I 1 were being carried on quietly by foreign ni dino brandl i minister dino grandt grandl on the one hand band and cardinal gasparri on the other the hie trouble centers in the catholic action clubs mussolini decreed the disbanding of all youth organizations connected with catholic action because of alleged political propaganda and closed the clubs and playgrounds the pope protested against this both as head bead of the vatican city and as head of the church ile iio made effective his disapproval by withdrawing his fits personal representative from the padua celebrations orations brat ions lons canceling the diocesan eu congress in rome prohibiting church processions professions process ions and placing the catholic action societies under charge of the bishops mussolini gave out it a statement saying there was nothing temporary about his bis acts and that the clubs were permanently closed wednesday the directory of the fascist c party ordered the leaders of all groups to be ready to defend fascism against its toes foes under whatever banner and charged that some sections of the catholic action society had bad been openly and surreptitiously hostile to fascism 04 0 1131 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