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Show News Review of Current Events the World Over Administration's Billion Dollar Housing Bill Introduced Intro-duced Epidemic of Sit-Down Strikes Townsend Convicted of Contempt of House. By EDWARD W. PICKARD (cj Western .Vewapaper Union, OKNATOR ROBERT F. WAGNER K J i.f Ni.-w York and Representative Henry R. Steayall of Alabama introduced intro-duced simultaneously in the senate and house the ad- ' ;' . 1 ministration bill set-: set-: ' tinH up a program for the construction ' J ' homes for "fami- y J lies of low income." , ' Under the measure , v f. the government may ', "V lend to state or local I housing authorities I....; 7 $1,000,000,000, from Y-Y, .J July 1, 1937. to July ' 1, 1941, the money Sen. Wagner for thi3 purp0se to be raised by bond issues and the loans to be supervised by a new department, the United States Housing Hous-ing authority. To supplement the loans congress is asked to appropriate appropri-ate $50,000,000 to be paid in outright out-right grants. The loans are to bear interest at not less than the going federal rate and are to be payable over such a period, not to exceed 60 years, as the authority may determine. de-termine. Competition with private industry is guarded against, according to the authors, "by insuring that housing projects shall be at all times available avail-able only to families who are in the low income groups." The four year program calls for the construction of 375,000 family dwelling units at an average cost of $4,000 a unit. Wagner and Steagall insisted that the bill called for "decentralization." "de-centralization." "All the direction, planning, and management in connection with publicly assisted housing projects are to be vested in local authorities, springing from the initiative of the people in the communities concerned," con-cerned," they stated. "The federal government will merely extend its financial aid through the medium of these agencies. The only exception to the strictly decentralized administration admin-istration is that the federal government govern-ment may set up a few demonstrative demonstra-tive projects in order that local areas without adequate instrumentalities instrumen-talities of their own may benefit by an experience in low rent housing." TT AVING virtually countenanced the sit-down strike in the case of the General Motors controversy, the administration found itself embarrassed em-barrassed by that favorite maneuver ma-neuver of John Lewis' Committee for Industrial Organization. Out in Monica, Calif., about 200 employees of the Douglas Aircraft Air-craft corporation went on strike and "sat down" in the big plant, completely com-pletely stopping work on $24,000,000 worth of airplanes the company is building for the government. The men defied a trespass warning and an order to evacuate the plant sent them by the police, and Mr. Douglas Doug-las refused to negotiate with the union until the strikers got out of the buildings. The situation was complicated by a quarrel over worker representation between the Automobile Workers' union, a C. I. O. group, and the Machinists' union, allied with the A. F. of L. Finally the strikers were indicted for conspiring to violate two old California laws against forcible entry en-try and trespassing, and when 300 armed deputies appeared at the plant they surrendered and were taken to Los Angeles for arraignment. arraign-ment. Another big government job was halted for a time by a sit-down strike of employees of the Electric Boat company at Groton, Conn., which is building submarines for the navy. There, however, the local and state police soon evicted the trespassers and arrested them, and the rest of the employees, a large majority, resumed work. Speaking "not as an officer of the administration," Secretary of Commerce Com-merce Daniel C. Roper said that any sit-down strike "that undertakes under-takes to take over private property proper-ty is a very serious and fundamental fundamen-tal thing and in my opinion will not be long endured by the courts." There was almost an epidemic of strikes throughout the country, many of them of the sit-down variety. vari-ety. Some were settled in short order but others are still on at this writing. Among these was the strike at the Fansteel Metallurgical corporation cor-poration in North Chicago, where the disgruntled workers refused to leave the plant. Gov. Henry Horner Hor-ner was striving earnestly to bring about a settlement. John L. Lewis' threat, during the General Motors strike, that "Ford and Chrysler are next," is being carried out. The United Automobile Workers union sent to Walter P. Chrysler demands that the U. A. W. be recognized by his corporation as the sole collective bargaining agency. OPEN warfare by the government govern-ment on private power interests inter-ests will be started soon if the recommendations rec-ommendations of President Roose-t Roose-t velt to congressional leaders are acted upon favorably. In letters to Vice President Garner and Speaker Bankhead, the President urged that prompt action be taken to provide for the sale of electric power from the $51,000,000 Bonneville Bonne-ville project on the Columbia river in Oregon; and he intimated this might be taken as the forerunner of a national power policy. The recommendations rec-ommendations were in accord with a report from the committee on national na-tional power policy and also with the position Mr. Roosevelt took in the controversy with Dr. Arthur E. Morgan, TVA chairman, who favored fa-vored co-operation with existing power companies and consideration for their investment. Here is what the President proposed: pro-posed: 1. That not less than 50 per cent of the power generated at Bonneville Bonne-ville be reserved for sale to public authorities, such as states, districts, counties, municipalities and other sub-divisions and to co-operative associations as-sociations of citizens. 2. That the government construct its own transmission lines, sub-stations and other facilities for transporting trans-porting power so as to make the government project independent of existing utility companies. 3. That the federal government control the re-sale rates to consumers consum-ers through regulation by the federal fed-eral power commission. 4. That the power be sold at rates low enough to promote the widest use of electrical energy, particularly par-ticularly to domestic and rural consumers. These rates, the President Presi-dent insisted, should be fixed with relation to only that part of the total to-tal $51,000,000 Bonneville investment that the government saw fit to charge to power generation. 5. That the federal agency administering ad-ministering the project be authorized author-ized to acquire by eminent domain if need be, land, franchises, existing exist-ing transmission lines. JR. FRANCIS E. TOWNSEND, the elderly Californian who devised de-vised the old age pension plan, bearing his name, was found guilty of contempt of the ss""ss!m: house of representa-jf representa-jf 0 I tives because he re 's " A fused to testify be- v a fore a house com- "N 1 vestigating h i s k ' scheme last spring i n anc "took a walk" V " J out of the commit- tee room. The ver-1 ver-1 sJ""'NJ diet, rendered by a L.i.issil J111'' 'n the District Dr. Townsend of Columbia court, made the doctor liable li-able to a sentence of one to twelve years in jail or a fine of from $100 to $1,000, or both. Judge Peyton Gordon deferred sentence until he could pass on a motion for a new trial. Townsend seemed rather to welcome wel-come the verdict, saying he had expected it. "Lord bless you, I'll be all the more active," he said when asked what effect a conviction convic-tion would have on his movement. "I think it will be the general opinion opin-ion that I have been the victim of an injustice. Our organization will be spurred on to greater efforts." ef-forts." FOLLOWING the example set by the five operating railway brotherhoods broth-erhoods engineers, firemen, conductors, con-ductors, trainmen and switchmen the sixteen non-operating brotherhoods, brother-hoods, with a membership of 800,-000, 800,-000, have voted to demand wage increases in-creases averaging 30 cents an hour. This action was taken at a meeting in Chicago of the general chairmen chair-men of the brotherhoods. Besides the pay increase, the men ask the guarantee of full time employment for all regularly assigned workers and two-thirds time for "standby" employees. The non-operating brotherhoods embrace the clerks, telegraphers, carmen, shop laborers, machinists, blacksmiths, dispatchers, boiler-makers, boiler-makers, drop forgers, sheet metal workers, electrical workers, freight handlers, express and station employees, em-ployees, maintenance of way men, signal men and sleeping car conductors. con-ductors. D LANS for the complete blockade of Spain by the other European powers, in order to starve out the civil war, met with difficulties owing ow-ing to the bringing up of points- involving in-volving the national honor of France and Russia. The French made certain objections to the land patrol and the Russians to the sea patrol. The Spanish loyalists were making mak-ing a desperate effort to capture Oviedo, where the insurgent garrison garri-son was attacked by dynamite throwing Basques. The defenders, numbering about 12.000 men, were hard pressed and it seemed impossible im-possible that relief forces could reach the city in time to save them. In the Madrid sector, too. the rebels were getting the worst of it, for the government forces were about ready to make a mass arsault on Pinzarron hill from which the Franco artillery has been shelling the Madrid-Valencia road. IN ORDER to curb "unwarranted speculation" by members, all securities exchanges are asked to adopt certain regulations suggested by the securities and exchange commission. com-mission. The proposed rules would put exchange members on the same trading basis as the general public. pub-lic. They would have to put up the 55 per cent margin required of other securities purchasers, and would be required to do this by 5 p. m. of the day of purchases. In announcing the commission's step. Chairman James M. Landis told reporters: "This procedure is in accordance with a plan of the commission to give the exchanges the opportunity to regulate the trading activities of their own members. This course, which has been adopted by the commission com-mission on previous occasions, will allow greater flexibility in the administration ad-ministration of the rules and will permit minor adaptations to the various va-rious exigencies of individual exchanges. ex-changes. While the responsibility for the enforcement of these rules will thus lie with the exchanges, the commission will observe both their enforcement and thei effectiveness." ef-fectiveness." HAIRMAN HENRY F. ASHURST ' of Arizona gathered together the members of his judiciary committee com-mittee and began formal consider- rr , ation of president r'S Roosevelt's proposi-f proposi-f " tion for federal ju-.. ju-.. 5 diciary reform, in- i V ' c'uding the packing SfeJ 01 1116 Supreme .,, ".,..., court It was under- . J stood the committee j Hi' :Y would arrange for 'V" '-' ; 't public hearings a t ! !,' which opponents i " J1 ' and proponents of the plan would be Sen. Ashurst privileged to speak their minds. Not long before, Mr. Ashurst and several other senators were called to the White House to discuss the strategy of the fight the administration faces. The Arizona senator and Majority Leader Joe Robinson of Arkansas, who was among the conferees, only recently were vociferous in declaring a constitutional con-stitutional amendment was the only proper way to accomplish the President's Pres-ident's purpose. B'it now they are obediently supporting the admini-istration admini-istration measure. Senators Frazier of North Dakota, Bone of Washington and Nye of North Dakota also were summoned to 'the White House, but what they heard there did not change their stand against the President's plan. Mr. Nye, indeed, soon after delivered de-livered a radio address against it. He did not especially defend the Supreme court, but said he thought there are better ways of attaining the objective .in conformity to the Constitution than the way of packing the court proposed by Mr. Roosevelt. Roose-velt. Ex-President Herbert Hoover in an address before the Union League club of Chicago uttered solemn warning that the President's plan was a serious threat against the ultimate safeguard of liberty, and condemned any such "quick and revolutionary change in the Constitution." Con-stitution." At this writing 42 senators have declared against the bill; 32 are on record for it, and the rest have not committed themselves. The administration ad-ministration leaders expected to pick up at least 12 from the noncommittal non-committal g;oup, and claimed more. JOHN G. WINANT, who as chairman chair-man of the social security board had a lot of trouble with certain senators over patronage and whose reappointment to . membership on the board had not been "S confirmed by the ' senate, sent his res- ? 1 ignation to the tt,- President. Mr. Roos- ; ' ' V evelt said Mr. Win- - f s ant was retiring to I ' attend to pressing " private business and 't mh would be back in the j federal service be- 1 s fore very long. The Arthur J. former governor of Altmeyer New Hampshire has been considered a logical candidate for the post of secretary of social welfare if that department is created by congress. Succeeding Mr. Winant as chairman chair-man is Arthur J. Altmeyer, already a member of the board. To fill the vacancy in the membership the President nominated Murray W. Latimer of New York. OFFERING to make peace with the Chinese communists aainst whom it has waged war for ten years, the National government at Nanking announced the terms on which those reds would be allowed participation in national affairs. The Kuomintang's demands are: Abolition Aboli-tion of the communist army and its incorporation in the National government gov-ernment forces; dissolution of the Chinese communist state and its unification with the central government; govern-ment; cessation of red propaganda opposed to Kuomintang principles, and stoppage of the class struggle which divides society into antagonistic antagonis-tic classes and invites mutual destruction. de-struction. That the Nanking government is steadily growing stronger is made evident in the more conciliatory attitude at-titude adopted lately by Japan. A spokesman for Hayashi s new cabinet cab-inet in Tokio indicated Japan was willing to abate its demands for simultaneous settlement of ail pending pend-ing Sino-Ja panese incidents and negotiate separate settlements for each. |