Show news review of current events the world over eastman East inan Pore foresees sees government ownership Owners bip and operation operate on of railways progress 0 of presidents money bill american recon recognition for Alen mendieta dieta by EDWARD W PICKARD HEN the railroad problem of the united states Is solved it will be found that the solution Is government ownership and operation in the opinion of 0 joseph B MOM eastman federal coordinator ot of traus t r n D s por port atlon tation the conclusion Is set forth in his first report made to the interstate commerce cow commission mission and transmitted to president roosevelt vice president garner and speaker rainey mr J B eastman eastman says the so lution he foresees vau bould I 1 d not be inconsistent with our theory 0 of government explaining that thai when governments acquire private property they normally pay more than it is worth sir mr eastman reaches the conclusion that the remedy should not be applied to railroads now because the country Is not financially in a condition to stand the strain of an acquisition of 0 these great properties the coordinator co having set up what he wishes to be the objective of future national railroad policy then proceeds to make recommendations within the limits ol of existing laws he Is decidedly skeptical of the prince plan for consolidation of the roads tor for his assistant william B poland has made studies that show the economies under this scheme would be less than one third of the original estimates most significant of the recommendations recommends on consolidations Is that proposals for compulsory consolidations should be given a trial prodded ded that the commission and the coordinator co find the proposed mergers to be in the public interest mr eastman throws the weight of his approval behind a method of compulsory consolidation through exchange of securities without the use of cash execution of such a method which the coordinators co legal assistant leslie craven believes can be accomplished would accelerate the merging of eastern railroads into the four systems previously agreed upon mr eastman says that beor reorganization aniza of railroads now bankrupt SI should DUld be effected as speedily as practicable and in a manner which N will III result in a very material reduction in fixed charges lie ile calls attention to the fact that some of the most successful reorganizations in railroad history tool took place in tile the midst of financial depressions pres press lons wall street theory has been that reorganizations should be postponed as long as possible many of the railroads vital lems can be dealt with adequately by the carriers but there Is as yet insufficient organization and leadership in the industry for effective operation cooperation co la in such undertakings it Is quite possible mr eastman baiers bAi ees unit a study of these problems will pave the way to a much larger use of motor vehicles as an adjunct to railroad service and to a revamping and simplification of the freight rate structure ARLOS MENDIETA Is quite satisfactory C CARLOS to the united states as president of cuba in view of the fact that he bas the backing of a majority of the cuban people pw and apparently is ca I 1 pable of restoring order to in the island so president roosevelt informed the diplomatic envoys of the other latin american countries whom lie he had bad summoned to the white house the president virtually invited the other nations ca rios cars to take tile same al e corse but made it cair that his mind was made up any way next day jefferson caffery Cuff ery acting for the tbt united states government went to the state department in havana and handed to secretary of state cosme cosine de la ia torriente Torr lente a document notifying the cubans that the united states was ready to resume diplomatic relations the cubans went wild with joy and the 21 gun salute from the american warship wyoming in the harbor was answered by salutes from the forts mr caffery will be our ambassador to cuba and manuel marquez sterling will be the cuban ambassador to washington recognition of the mendieta Mend leta regime came from practically all other na eions president president roosevelt plans to do sev eral favors to culla cula that should make mendieta Mend leta solid with his people the warships in cuban waters will be elfr wl h drawn draun the platt blatt amendment to ane tn cuban S constitution permitting pa 3 the united unites to to intervene in cubar cuban Ss affairs to maintain law and order will wil be junked bunked arid and congress will be asked aske to give e cubala C big preferential P deduc tion in the american sugar tariff tar IT sur Is the islands chief to in aurtry a r nud fr for five years ars lt it has ha been T and the resulting de in a severe vt re a slump jump arn has bar caused much of the po PRESIDENT nOOSE ROOSEVEL VELTIS TS money bill went through the house with a rush the vote being to 40 sixty eight republicans joined the obedient democrats in supporting the measure james R claiborne of missouri and george B terrell of texas were the cal democrats recorded in the negative the senate received the bill and referred it to the banking and currency committee which held a hearing that was chely while it lasted prof george warren author of the dollar depreciation and gold purchase program explained ex to the committee the theory of commodity price regulation by manipulation of the currency then taking up consideration of the measure the committee heard the vl vigorous objections of senators glass gore and mcadoo to several features of the bill notably the proposed se seizure of the federal reserve bank gold and the granting of financial power to the secretary of the treasury it was confidently predicted by the administration leaders that the bill would be put through the senate unchanged but stubborn fights over varl various proposed amendments were certain the vote on a plan to limit the use rise of the stabilization fund was expected to be close advocates of the of silver who are fairly numerous in the senate prepared a compromise silver plan to be offered as an amendment to the devaluation measure 1 PLANS LANS of the american legion to ask congress for more liberal treatment ment of veterans have stirred up a row in washington the legion la Is urging enactment of a four point program to cost a year gen frank T 44 hines administrator 00 of the veterans bureau thought this figure figore was too low estimating the cost at a considerably higher total the legion representatives d e blared the government gen F T estimates were erro hines leous and by inference accused general nines hines of ulterior motives and lack of integrity in a letter to edward A hayes commander of the legion hines denounced the criticism of his estimates as wholly uncalled for and said the le lesions ions own rehabilitation I 1 committee had admitted they were more nearly correct than its own estimates meanwhile the president had bad announced new modifications of his executive regulations concerning payments to disabled war veterans the changes adding more than annually there were intimations at the white house that mr Rook roosevelt velt bould seek to persuade the democrats in congress not to go beyond this liberalization G GRAFT RAFT and favoritism have been rife alfe in the use of CIVA funds according to the numerous complaints that have been received by president roosevelt and administrator harry L hopkins and audit of the books has been ordered in many localities the unfortunate state of affairs was admitted by the president who thus forestalled the revelation of the facts by congressional committees or republican organizations at the same time he made it plain that he was standing firmly behind mr air hopkins the ousting of whom was tentatively planned by a group of house bouse democrats more than persons were given jobs by the CIVA and mr air roosevelt Is asking for an appropriation of to carry on the work to may 1 but he insists that the organization be abandoned on that date according to his previous plan protests against this course in congress and all over the country have been numerous and loud it is now considered likely that after may 1 continued employment fer more than of the workers will be found in seasonal season nl employment public works and a revival of industry senators nye and korah borah who have boen been attacking theara the on the ground that its codes fostered monopolies and tended to ruin small business concerns won a COT concession CessiOn from administrator johnson Jo linson the general agreed to the establishment of a board of outstanding citizens to which small manufacturers and other business men can bring their complaints of ruinous operation of the codes all the code authorities have been summoned to meet in washington february 15 to consider code revisions HAT recovery outlays can be end THAT td d by june 30 1935 Is the be belief lef of the president and he gave eap exp expression re slon to this when nhen lie he announced b bis 3 approval of the bill extending the life ire of the reconstruction finance corporation for another year ile he enjoined jesse jones chairman of the R P F C not to withdraw more than from tile the treasury in the next fiscal year except with prior presidential approval developments in japan indicate tj that tile the military clique Is losing out and that foreign Bl minister inister KOM hirota will be able to carry out his plans to establish more friendly relations with the united states gen sadao araki who had been minister of war since december 1931 1031 and who conducted the campaign against agal not china has resigned ostensibly because of III health and has been succeeded by gen denjuro hayashi KOM hirota last october araki declared in an interview that it if people believe the foreign policy toward the united states will cha change tige they are absolutely wrong it was then predicted that there would be a split in the e cabinet abinet and this appears to have come with the less warlike ministers led by Ill rOta having baring the upper hand told the diet at its opening that japan fervently desires american friendship and added that piat no question exists between japan and tile the united unite states that Is intrinsically difficult of solution S HUEY 11 LONG of lou illana sustained another adoth C r severe blow in the new orleans democratic mayoral primary which Is equivalent to an election the y c candidate a n d I 1 john klorer was soundly beaten by T semmes walmsley R the present incumbent and now one of longs L 0 n gs bitterest foes there was wag a third candidate and walmsley did not obtain a clear major ity lt but klorer an T T semmes c bounced that he W almsley krould not force a run off primary nis his chief issue in the race was a drastic reduction in electric rates in new orleans and as the present city administration has promised to belr bring this about klorer said he be would take it at its word the campaign tor for the ruination nomination no was exceedingly stormy with prospects of violence that did not develop when the day came walmsley and long in their speeches denounced each other without reserve and the mayor promised to follow the senator to washington if necessary and give hirn him a good thrashing having won the fight at the polls he probably will abandon this project though he be and his organization have bare pledged themselves to exterminate huey from public life i tonn n H mccooey McCOO ET for almost a w quarter of a century the big tammany boss of brooklyn died of heart disease and his demise probably means the end of Tamm anys domination of the democratic party in new york at least tor for a time it was wag expected that a leader satisfactory to the supporters of president roosevelt would be selected to succeed mccooey another once notable political leader passed away when edward J brundage of chicago committed suicide presumably because of financial troubles highly respected as a lawyer and a man he be formerly was prominent in the republican party in illinois and had been attorney general of the state aclin DE DC PRIEST of chicago the 0 OSCAR only negro in congress injected the race question into the house of represent representatives athes to the great distress of speaker rainey and the other democratic A leaders louis morris secretary to mr air de priest and his son were refused service sen ice in the grill of 0 the house restaurant the in manager a n a g e r informing them that tills this was in accordance with ith his orders from representative lindsay C oscar do D warren of north carolinn carolina priest democrat chairman of the committee on accounts which directs the affairs of the restaurant mr air de priest hearing bearing of this was exceedingly wroth and insisted on demanding it special investigation to determine by what authority the committee controls slid and manages the conduct of the house restaurant and by what authority said committee or any member thereof issued and enforced rules or instructions whereby any citizen of the united states Is discriminated against on account of race color or creed ARL VINSON chairman of the C CARL house naval affairs committee announced that his committee was about to introduce a alii authorizing a aso five year ship construction program and assistant secretary of the navy henry L roosevelt gave out word that the president would throw the full support of the administration behind legislation designed to bring the navy up to treaty strength the house appropriations committee recommended a fund of for restoring restores tle the great lakes naval station to its former status as the navys major interior training post FURTHER information about the earthquake in india loads leads to tile the belief that it was the greatest disaster that country ever suffered sulTer cd that the loss of life was appalling Is shown by the statement of the rajah of that the dead there alone numbered an engineer was quoted as i having declared after a survey that I 1 the names of both and mui pur might as well be erased from the map 0 by western newspaper union |