OCR Text |
Show Weather Forecast UTAH: Fair tonight and Thursday; Thurs-day; little change in temperature. Maximum temp., Tuesday .... 86 Minimum temp., Tuesday .... 5 Evening Hera Your Newspaper. With no private axes to grind; no selfish personal interests to serve, and no financial strings leading to any other source of power or influence. PROVO, UTAH COUNTY, UTAH, WEDNESDAY, JANUARY 1.0,, 1934 FORTY-EIGHTH YEAR, NO. 97 DEMURRER IN BANK SUIT OVERRULED MERRY GO-ROUND A Daily Picture of What's Going On in National Affairs Kv DREW PEARSON and IIOBERT S. AIXEN Id. The rerifotfxi TfninR RfnFifnv fro W sbmM mbM tMmd WASHINGTON The behind-the-scenes struggle over Koo.srveiL's monetary policy has taken an unexpected iiirn. !th sides of the issue inflationists ami "sound" njtoneyites have dropped temporarily their bitter hostility against each other and have unit-t-l in an effort to force a showdown show-down with the president. They want an end to protracted monetary mone-tary uncertainty, insist that he decide de-cide for either stabilization or inflation. in-flation. Inflationists say that if the Presi dent has no intention of inflating they want to know it. They believe be-lieve they have the votes in Congress to force his hand, and are prepared to act. The "sound" money men heartily heart-ily agree with the demands for a, definite decision. Some of them say caustically it would be worth) the price of the $3,000,000,000 in, "greenbacks" which the President can issue under the Thomas act, to end the present uncertainty. In hopes of forcing a showdown both groups have privately suggested sug-gested to Roosevelt that he sumJ nion them to a round-table dis i-ussion at the White House. This has met with generai approval irj inner- Administration circles except ex-cept in one quarter. The commodity dollar advocates, led by ProfsSoT'Tjeorge Warren, author of the gold manipulated progfam, vant no such conference. 1 u. TEASELESS ARTILLERY The troubles of George Dern, erudite secretary of war, are in- creasing. This time it's on account of a teapot tempest raised by generals' wives. Mrs. Dern is a charming hostess, host-ess, but some of the generals' wives want to remind her that Utah is not Washington, and es-" is not a major general. peciaHy that a brigadier general At -her recent army . teas. -Mrs. Dern made the tragic error of asking the wives of brigadier generals to officiate behind the tea urn, completely neglecting the wives of major general for whom this high honor usually is reserved. And at her last tea she com- mitted the even more tragic errotf of inviting the wives of officers of every branch of the army except ex-cept the artillery. Added to this, the wife of the assistant secretary of war, Mrs. (Continued on Page Three) Provo Driver May Lose License To Operate His Car Provo city furnished one of the first cases in Utah in which aj driver's license will probably be revoked because of drunken driving. driv-ing. Judge Don RrTSTlertson of the ily court. Wednesday sent the. results of a case involving Edward F. Carter of Provo who was found guilty and sentenced on a drunk-1 en driving charge on January 5. Judge Ellertson sentenced Carter to 30 days in the city jail. Convictions of driving an automobile auto-mobile while intoxicated is one! of the provisions under which the licenses, whicn went into effect this year, may be revoked. There, are other provisions also, such as a manslaughter accident whilo striving a motor vehicle. c Carter was arrested by the Provo police after his car had collided col-lided with a parked machine on First South at 245 West. Milk Producers of Provo Plan Meeting A special meeting of all milk -producers and distributors will be held Thursday night, January 11 at 8 o'clock in the city and county coun-ty building. The meeting is for the purpose of effecting a permanent per-manent organization and also to elect representatives to act on a board of control. Store Front Is Smashed By Car An automobile driven by Harold iosHard, 39, of 401 South Seventh: East, crashed into the Garden City Candy Kitchen at 124 West Center Wednesday noon when Bosh-ard Bosh-ard mistook the high gear for reverse on his car. Boshards car was parked in front of the building when he started it and stepped on the accelerator. Intending to back out. The car plunged into the building front, tearing tear-ing out the tiled front and) breaking a plate glass window. NAVY PLANES OFF ON HOP TO HONOLULU Six Planes Roar Away From San Francisco On Non-Stop Trip SAN FRANCISCO, Jan. 10 (U.R) The Unted States navy hurled a challenge to space and ocean elements today when six seaplanes roared away from Paradise cove on San Francisco bay in a nonstop non-stop flight to Honolulu, 2150 miles away. The time of the take-off of the first plane was 12:05 p. m., Pacific Pa-cific time, the others foUowing one at a time. As each plane took off it idled above, until all the planes were in the air, after which the graceful formation headed through Golden Gate, out over the Pacific, flying in a beautiful formation. for-mation. Olsen Replaces Startup As Head Of School Board Board Approves $14,000 C. W. A. Project For Repair of Buildings. Ole E. Olsen, Jr., was installed in-stalled as president of the Provo city board of education Tuesday night, to succeed George A. Startup, member from the Second district, who retired vfrom service. His place on the board will be filled by Clarence Beesley who took his seat Tuesday night after he had qualified for the office by signing the oath of office. Approve Project The board by a unanimous vote approved a proposed building renovation program to be sponsored spon-sored as a CWA project. The labor to be furnished by the CWA is estimated at $11,096.80 and the cost of the materials, one-fourth of which may be furnished by the CWA is figured at approximately $2400. The project, if carried out will furnish a small amount of work for skilled as well as unskilled labor during the winter season. Repairs will be made at every building and the program includes in-cludes much of the regular summer sum-mer renovation program. A financial report given by J. Fred Fechser, clerk, and superintendent superin-tendent H. A. Dixon shows that the utmost economy will have to be practiced if the school district is to finish the school year "out of (Continued on Page Three) Haws Services Set For Thursday Funeral services for Mrs. Luella Haws, resident , of Provo for 81 years who passed away at her home Sunday will be held Thursday Thurs-day at 1 p. m. in the Pleasant View ward with Bishop Ekins in charge. Friends may call at the home 1200 North University avenue from 10 a. m. until time for the; services. Interment will be held in the Provo city cemetery under the direction of the Hatch Mortuary. Mortu-ary. BIRTHDAYS TODAY' The Herald extends the heartiest hearti-est congratulations today to Reed Smoot, former senator of the United States who is celebrating his 72nd birthday anniversary at the home of; his son Harlow E. Smoot in Provo tonight. Challenge ww U, i. 4M rft wfi S; 0 tr iWi 1M iWi KfJ R )1 Mctiimiis Averill Perry Roberts Davis Guinn I KAUAt GAHN&k HAkoOk J . SANDPIPER HONOLULU (i , ' C, '-BREESB. ' WHtPPOORWJU.y , JGHTt . PEUCAN 'jfV C I hC"""" Challenging a 2400-mile expanse of" the Pacific for t he longest non-stop over-water mass formation flight on record, six huge U. S. naval patrol flying boats, c ommanded by the officers pictured above, and carrying carry-ing 30 men, roared ..out . of San Francisco today w ith Pearl Harbor, Hawaii, as their goal. Their route, patrolled by auxiliary craft, is shown in the diagonal strip; the Hawaiian islands in the map, left; and one of the flying boats, lower right. The officers are, left to right: Lieut. Com. K. McGinnis, squadron commander; Lieutenants J. K. Aveflll, Buffalo, N. Y.; J. Perry, Greenville, S. C; H. J. Roberts, St. Louis, Mo.; F. A. Davis, Norfolk, Va., and T. D. G uinn, Atlanta, Ga. REED SMOOT IS 72 YEARS OLD SALT LAKE CITY, Jan. 10 (U.R) Celebrating his 72nd birthday former for-mer Senator Reed Smoot today expressed ex-pressed hope for the nation's econ- omic future. Found at his hobby golf Senator Sen-ator Smoot was hearty and happy smiling and joking as he toured the 37-hole course. He scored "birdies" on the first and third holes, attesting his ability in the game on which he has never had a lesson. Dinner In Prov Tonight, the former national financier will be honored at a dinner in Provo, at -the home of his son, Harlow E. Smoot. He refused to comment on specific spec-ific political matters, but said: "If there was a time in the history of. our country where a judgment of the higJiest order is necessary, it is at the present moment. mo-ment. We may not all agree, and I know we do not, that the legislation legis-lation passed is such that it would be the best for the recovery of the country, but as far as I am concerned, con-cerned, I shall do everything in my power to support that legislation, legisla-tion, even though I know it could be improved." Scouting Added To Leadership Program Scouting has been added to the list of departments in Leadership week at B. Y. U., January 29 to February 2, announces Dr. Lowry Nelson. A. A. Anderson, scout executive of Timpanogos council, will be in charge. The program for the week follows: fol-lows: Monday, working relationship relation-ship of the tjroop and troop committee. com-mittee. Tuesday, troop organization organiza-tion and its official interrelation. Wednesday, character values of scouting and how obtained. Thursday, Thurs-day, troop administration. Friday, philosophy of troop program building. Extends Pay Cut WASHINGTON, Jan. 10 U.R- President Roosevelt today signed an executive order continuing the 15 per cent cut for federal employes em-ployes until June 30, 1934, Pacific In Hawaii Flight Water Rate Collections Improving Collections in Provo city's 1933 general fund fell $27,054 below those of 1932 while" 1933 waterworks water-works collections were $7,453 above those f 1932, it is shown in a report issuei from the office of Mrs. Mary F. Smith, city auditor. audi-tor. Tabulations made by Maurine Hicks, deputy city auditor, show that waterworks collections fell $2,355 under the estimated revenue rev-enue in 1933 and collections in the general fund fell below the estimated esti-mated revenue by $7,399 at the end of the year. Collections in the city general fund were $144,600 in 1933 while the revenue was estimated at $152,000. Collections in the waterworks water-works fund were $49,JTT as compared com-pared with the estimated revenue of $51,900. Nearly every department in the general fund in 1933 fell below that of 1932 although a drive for street lighting fees by City Treasurer Treas-urer Terry Oldroyd brought results. re-sults. Here's a comparison of general fund collections for the two years, 1933 listed first and 1932 second: Taxes $97,011, $102,932; license $6330, $6752; departmental fees $3883, $4354; fines and forfeits (Continued on' Page Three) Provo Organizes For Roosevelt Endowment Provo city will join with every other city in the United States on Tuesday, January 30, in a nation-wide birthday - party ball in honor of President Franklin Delano De-lano Roosevelt a party with a humane purpose that will rever- berate through the entire country. The purpose of the party is to establish an endowment for the, Georgia Warm Springs foundation, created in 1926 by President Roosevelt in order that this foun-i dation may carry on its national crusade against infantile paraly-f-Jt. p fording to Judge George; 9. Ballif, who, was appointed chairman of tne ban by a spec - HOOVER AIDE BURNS FILES WASHINGTON, Jan. 9 I:.H A thorough search of the postofficej department for missing documents relating to ocean and airmail sub sidies were underway today as a senate investigating committee prepared to inquire further into startling testimony that official files were destroyed when former Postmaster General Walter F Brown retired from the department depart-ment last March. Aided by postal inspectors, committee com-mittee investigators hoped to discover dis-cover copies of some of the documents docu-ments required for the air mail inquiry. in-quiry. It was believed possiblq that duplicates may be stored away in some offices in the department. de-partment. The committee received a frank admission from John Mayer, a stenographer of 18 years experience exper-ience m the department, that on orders from Brown's secretary ha tossed official and personal files into a furnace just a few days before be-fore the Roosevelt administration entered the capital. K1WANIS SPEAKER Clark Webb, assistant efficiency ! engineer of the Pacific StatesCast Iron Pipe plant, will speak at the Thursday noon meeting of the Provo Kiwanis club. Walter Hed- quist is chairman of the meeting. Dean Henriod, George S. Ballif and Dr. Madison W. Merrill will be inducted into the club. - ial committee from the chamber of commerce. Judge Ballif has in turn selected select-ed a large committee representa- tives of the leading civic clubs iri Provo, to help formulate plans fotf the big dancing party. This com- mittee, will meet in the city court room Thursday evening at 7:3Q o'clock to further the plans foU the community enterprise. During some part of the dance there will probably be a short broadcast from the president him- self, brought to the listeners, Judge Ballif stated. There will (Continued on Page Three) President's Message Urges Bolstering Of Agricultural Credit Home Loan Corporation Bonds Not Affected; Af-fected; New Plan Will Increase Nation's Debt Liability; Will Aid Securities By LYLK C. WILSOX United Press Staff Correspondent WASHINGTON. Jan. 10 (U.R) President Roosevelt today to-day asked congress in a special message to authorize a government gov-ernment guarantee of the principal, as well as the interest, on $2,000,000,000 of Farm Credit administration bonds. An interest guarantee was provided in the legislation which merged nine farm finance agencies in the Farm Credit Cred-it administration. The president told congress today that a moral obligation to guarantee the principal already existed and should be recognized by law. Corporation Proposed --5 VETERAN PAY IS CURTAILED Appropriation Bill Continued Cuts Asks WASHINGTON Jan. 10 lR Continued curtailment of veterans' benefits was provided for today in the $566,435,693 independent offices of-fices appropriation bill, first of the supply bills for the new fiscal year to be reported to the house by its appropriations committee. The total recommended for the establishments covered in the measure was $59,206,592 less than appropriations for the present fiscal year ending June 30 and $7,144,200 less than budget estimates. esti-mates. Veterans Largest Item The largest provision Was $525,-155,891 $525,-155,891 for the veterans administration, admin-istration, a reduction oi $56,832,-109 $56,832,-109 from the present year, made possible by contemplated continuance continu-ance of the economy act's pension and "disability allowance decreases. Among increases over appropriations appropri-ations for the present fiscal year recommended was $50,000 for alterations alter-ations at the White House, $426,-000 $426,-000 additional for the civil service commission, $67,303 additional for the federal power commission, $57,730 additional for the federal trade commission, $240,907 for the interstate commerce commission. The bill provided for restoration on July 1 of five per cent of the 15 per cent government pay cut as asked by the president. The committee in its report estimated this would cost $63,217,499, but that the continued 10 per cent reduction re-duction would still make possible salary savings of $160,000,000 annually. an-nually. Suspected Darky Gets Into Trouble Denying Identity LOS ANGELES, Jan. 10 U.E) Abraham White, a black,, may be wise in his own way but he proved himself him-self no Solomon when called upon to defend himself against robbery charges. The negro was tripped up by his own tongue after he had been identified as a house bandit. He denied it. "Have you anything to say for f yourself?" the court asked sternly. The black White did. "All I got to say," he said "is that it 'pears funny I should be identified by a guy who kept hiihead under the bedclothes lu the time I was there." Abraham's attorney was reported re-ported recovering today from a mild stroke of apoplexy. i RED CROSS POSTPONED The regular monthly directors meeting of tfte Utah County chapter Red Cross has been postponed post-poned for one week. Next meeting meet-ing will be held January 17 at the public library. creation or a corporation to la-sue la-sue the bonds was proposed in the message .to keep the refinancing of agricultural credit on a self-sustaining self-sustaining basis. The president pointed out that a government guarantee would put the farm bonds on a par with treasury securities. se-curities. Conceding that "technical responsibilities re-sponsibilities of the government would be increased by $2,000,000,-000 $2,000,000,-000 if the federal guarantee were authorized, Mr. Roosevelt urged that it was desirable formally to acknowledge the obligation already al-ready existing on the government to make up any deficiency in the principal sum of the bonds. The last sentence of the brief message emphasized that if the bonds were guaranteed, they would be backed not only by the credit of the government, but by the physical property securing them. The message did not recommend a similar guarantee for bonds of the Home Owners' Loan Corporation, Corpor-ation, although Mr. Roosevelt revealed re-vealed last week that they might be included. Congressional leaders lead-ers also had understood that some action would be taken toward a guarantee of the latter category of securities. A federal guarantee would not increase the national debt by $2,- j 000,000,000, or add to the immediate immed-iate deficit prospect. It would, however, increase the national debt liability, a potential obligation. obliga-tion. Beet Sugar Group In S. L. Meeting SALT LAKE CITY, Jan. 10 H'.i; United States Beet Sugar association members met here today to discuss matters of vital importance to the industry. W. D. Lippitt, president of the Great Western Sugar company, and president of the association, will preside. The assembly was scheduled to include the Costigan bill, introduced intro-duced Monday, in the senate on its agenda. The proposed bill makes sugar a basic commodity like wheat, corn and cotton, thus becoming be-coming amendable to the processing process-ing tax, the sugar marketing agreement and the stabilization pact, recently scrapped by Secretary Secre-tary of Agriculture H. A. Wallace. May Lose Projects WASHINGTON, Jan. 10 IM! -Public works administrator Ickes today warned political subdivisions which have received PWA allotments allot-ments and have faned to execute properly bond purchase contracts and grant agreements sent to them prior to December 1, that unless they act their allotments may be cancelled. EDGEMONT SCHOOL Adult school in Edgemont ward will begin class instruction Thursday Thurs-day at one o'clock in the ward house. Mrs. Emma Wakefield will be in charge. ' TONIGHT Crest theater, "Wild Boys of the Road." Paramount theater, Clara Bow in "Hoopla." Orpheum. "Night Flight." Mass meeting, Municipal power survey, district court room, 8 p. ra. Judge Rules Liability Of Stockholders Is Self Enforcing Stockholders of the Provo Commercial and Savings bank' who have resisted the payment pay-ment of their double liability on the ground that the liability liabil-ity of the directors constitute a prior claim, lost the first round of their fight, Wednesday, Wed-nesday, when Judge Martin M. Larson over-ruled the demurrer filed by Dr. Fred W. Taylor and two groups of stockholders, defendants de-fendants in a suit by the state bank commissioner to collect the stock assessments due. The court granted the defend-" ants 15 days in which to file answer. Liability Constitutional The contention taken by Edwin Hatch, attorney for the demurring stockholders, that the liability" cannot be enforced until the question ques-tion of the directors' liability has been determined was not sustained sustain-ed by Judge Larson. He points out that the double liability is part of the state constitution,, providing pro-viding for a special fund to pay the depositors without the necessity neces-sity of long and vexatious delays and litigations. Furthermore, says fhe ruling, "the stockholders who complain should bear in mind that it is they who choose the directors of the bank, not the depositors. In effect, they vouch for the integrity integ-rity of the directors. Stockholders Agent "Should the stockholder be heard to urge the derelictions of the directors, his agents, as it were, chosen and vested with power by him, as a defense to the constitutional liability placed upon him for the protection of the depositor?" de-positor?" asks the court. The court further ruled in answer an-swer to a question raised by the defendants that the determination of the liability of the stockholders stockhold-ers requires no act of court or commissioner, being fixed by the constitution whenever a bank becomes be-comes insolvent. Similarly the court ruled adversely ad-versely on the question raised in the demurrer that the proceedings by which the necessity of the levy for liability on the stockholders stockhold-ers is determined and the proceeding pro-ceeding to enforce that liability contravene the provisions of both state and federal constitutions relating re-lating to due process of law and (Continued on Page Three) Hospital Board Head To Speak Dr. John R. Llewellyn of Salt Lake, chairman of the Utah state board of insanity, will discuss the needs of the Utah State Hospital in a talk before the Provo Lions club Thursday night at Keeleys. Four new members will be initiated, in-itiated, at the Thursday meeting, M. S. Smart, Elmer E. Jacob, Douglas Peck, Paul Crandall and L. S. Fotheringham. J. B. Ley-shon Ley-shon is chairman of the meeting. RIVERSIDE, Calif., Jan. 9 The Republican national committee come out strongly yesterday against Roosevelt's economic policy. Just two days ago the deficit of the Republican Republi-can national committee had been published. It was the biggest on record. There ain't nothing like one brake man telling another one how to run his business. California's supreme court ruled yesterday that if male students pf a state university took all the advantages of free education, that a little military training would not be asking too much of them. If you are going to let out conscientious con-scientious objectors, nobody would take anything but football, foot-ball, swimming, theatricals and saxaphone playing (all of which the states provide.) Yours, Tt54. UcNaurhC?y7icate, Inc. ROGERS r |