HOUGH the Unit. ed States Is popu- larly supposed to be the richest nation on earth, the government is “up against it" the "it" meaning a billion dollar deficit, with the prospect of another billion deficit during the next fiscal year, The treasury, therefore, is about to Andrew issue long term bonds Melion for $800,000,000, bear- ing 3% per cent Interest. This Is In leu of an increase in taxes, which probably will not be asked until after next year's Presidential election If at all. The reason for this course Is 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 up- ward again, This bond issue announced by Sec retary of the Treasury Andrew Mellon is the largest peace time offering of long term government obligations in the country’s history with the excep- tion of the $£1,000000,000 bond issue of 1024, which was put out to refi- nance World war indebtedness, The Interest rate of 3% per cent on this issue is the lowest of any long term government financing since 1916-17. That the $800,000,000 will be oversubscribed to the extent of hun- dreds of millions of dollars even at 8% per cent interest is not doubted, partly because of the prevailing cheap- ness of money and partly because of the fact that while the treasury may have a deficit the credit of the gov- ernment is A-l, The bonds will be and will bear interest from June 15, 1931, and will mature on June 15, 1040, being redeemable at the option of the treas ury on and after June 15, 1046. They will be issued in both bearer and registered form in denominations of $50. £100, 2500, £1,000, £5,000, 210.000 and $100,000, In addition there will be registered bonds In the 230.000 de nomination. The federal reserve banks will be the officlal agencies for the flotation of the Issue, but all banks will receive subscriptions from in- vestors, The bonds will be exempt from fed. eral, state, and local taxes, except in- heritance taxes and surtaxes. issue dated ERMANY'S hoge flying DO-X, after long delays and vari- ous accidents, finall the At. lantic ocean successfully. It made the flight from Cape Verde islands to Fernan Noronha off the coast of Brazil < hours and 15 minutes. Defying superstition, persons were aboard the DO-X, boat, Crossed by the nt in Washingt that 8. Lindbergh a pleasure crulse of the Orient in their Lockheed plane, ising to Ja- pan and China via the North Pacific and Russia. They probably will follow the route taken by the army flyers in 1924, going to Siberia by way of the Aleutian islands, State de- Colonel I start before long on (G CYERNORS of about half the states tookspart in the annual conferences at French Lick, Ind. and several of them disrupted the program of harmless topics by Injecting thelr own vigoreus opinions into thelr ad- dresses. Pinchot of Pennsylvania, for instance, insisted on making a hot at- tack on the public utility corporations instead of talking about timber: and in the closing session Ritchie of Mary- land, criticising the conference for trying to avoid controversial subjects, urged the return of liquor control to the states as a solution of taxation problems, C. TEAGUE, one *of the original members of the feder. al farm board and its vice chairman, has re sigred, having served one more year than he at first Intended. In his letter to Presi. dent Hoover tender. ing his resignation Mr. Teague declared the board had fully justified itself ang its © © Teague cost to the taxpayers. He sald that without its advice and revolving fund many farmers’ cooperatives would have gone under: and he warmly des fended the emergency operations of the board in stabilizing wheat and cotton, “There are two distinct methods of stabilizing markets,” he pointed out. “Probably the one that has been em- phasized most In publicity has been the stabilization operations on wheat and cotton, which were entirely emer gency operations undertaken to meet emergency conditions and which 1 be- lieve are entirely justified and which will have resulted in benefits to agri culture and business generally far out. weighing any cost to the treasury, “However, In my judgment the greatest benefit will come through an. other type of stabilization of markets which will come through the long time project of developing a system of co- operative control of agricultural prod- ucts, which will effect a better control of production and a better control of distribution and thus have an impor tent Influence in the stabilization of markets.” EPORTING on the general agri. cultural situation, the bureau of agriculture economics of the Depart. ment of Agriculture shows that Amer. Ican farmers are selling their produce at less than prewar prices, but are paying about one-third more than be fore the war for the things they buy. The bureau estimates that farmers now receive 86 per cent of prewar prices and pay 136 per cent for goods bought, In other respects the outlook is not bad. “Farm crops,” says the report, “are recovering from the effects of the continued cool weather. Winter wheat prospects have been improved. Fruit prospects are generally reported fair to good. Live stock growers ap- pear to be keeping up herds and flocks despite somewhat adverse conditions in feed prospects In several sections.” V/ [RGIN now have only one governor, and that is Dr. Paul Pear. son; for Herbert D. Brown, the federal bureau. of effi «lency, has had a spat with and retired from CO governorship which he has exercised for nearly two years. In 10290 ISLANDS chief of the doctor the H. D. Brown congressional committees asked Mr. Brown to In- vestigate the Islands with a view to reducing administration He made three long visits there and his recommendations were displeasing to Capt. Waldo Evans, naval gov. ernor. Also, he obtained £141.000 to he 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, Doctor Pear. son, whom he had selected for the Job. Costs, then OUR eastern and western air lines. whose planes fly about 12.000.000 miles annually, have consolidated thelr management, traffic and sales and now become divisions of the United Afr Lines, with operation, sonaral ian general offices big merger are: The National Alr Transport, operating from New York to Chicago and Chicago to Dallas; Boeing Alr Transport, operating from Chicago to San Francisco: the Pacific Air Transport, operating from Seattle to San Diego, and the Varney Alr Lines, operating from Salt Lake City to Seattle and the Pacific Northwest. P. G. Johnson, president of the Boe ing companies, who was recently made president of the National Air Trans port and the Varney Air Lines is to be president of the new company. the ENNESSEE'S po- litical - financial troubles were ap. proaching a climax during the week with the state legislature preparing to vote on the question of im peaching the gover nor, Henry H. Hor ton. The situation In Nashville was tense. Though the foes of the executive were apparently In the majority, seemed undaunted. Most of the eight articles of im- peachment reported to the legislature by a committee relate to a main charge of conspiracy, alleging plots between the governor and Col. Luke Lea and Rogers Caldwell, two bank- ers who are now under indictment as a result of the bank fallures of last November, Congressman Ed 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, one of the Crump faction, from the speakership, axd the election of Senator A. B. Broadbent of Clarksville to fill his place took much of the thunder away from the defense, for Senator Broad. bent is an independent, an anti-Crump man, and he will be the next gov- ernor if Mr. Horton is forced out, Gov. Horton Horton CANADIAN tax payers are hard hit by the first budget presented to parliament by Premier R. B. Bennett. He announced a deficit of $80,000,000 and sald new taxes would be re quired to meet it, Consequently he proposed imports as follows: Increase in the sales tax from 1 per cent to 4 per cent; reintroduction of J-cent postage; increase of the income tax on corporations and stock companies from 8 to 10 per cent and a new spe- cial excess tax of 1 per cent on all imports. Manufacturers of the United States came off more easily that had been expected. Only about 200 {tems In the tariff against them were altered by the premier, Customs duties were ralsed on anthracite coal, furniture, oranges and the higher priced automo- biles. There was bad news. however, for Americans who have Investments in Canadian companies, for Mr. Ben. nett ordained that beginning next July fn Income tax of 2 per cent must he pald by all foreign Investors recelve ing dividends from Canadian concerns, The only bright spot In Canada’s financial picture, Mr. Bennett stated, was the fact that the dominion's con- version loan of $250,000,000 had been subscribed up to $630,816,500. He em- phasized that during his regime no fewer than 175 American manu. facturers had established plants In Canada and made it clear he wus sticking close to his “Canada First” attitude, His conclusion brought a great ovatior from his followers. ERMANY is ex pecting great benefits to result from the remarkable meet. Ls at Chequers, Eng. land, of Chancellor Heinrich Bruening and Forelgn Minister Jull- us Curtius with Prime Minister Ramsay Mac- Donald and Foreign Minister Arthur Hen dersor,., Chancellor statesmen went Bruening : Thursday on tion from the Englishmen. and four men discussed thoroughly bearing of reparations on the world crisis. It Germans that would find a way out of the present financial wilderness, economic wins the the this conference French and led them to reaffirm the ir contention that reparations and the Allied debts to America were inseparably the Young plan. As it Is put by A. L. Jeune in Le Midi of Paris: * he battlefield of International held the front line so | » Young reserve German connected hy we ' ian brought us 1 } » trenches, it would dence to give them up.” HE general byterian ch Pittsburgh, rebuked ti cil of Churches of for report of its committee of birth tion instructing the council to its pence on all questions relatis assembly sepa h urch, control, morality and delicacy” until the; its constituents I AST June Congre ~ of Massachuseits ment about politica Bishop James Ca bishop dared hin benefit of his offi ham accepted the ds the bishop has sued the congre $500,000 for alleged libel. N A decision surance that the that seems to press of America is and shall continue to be free Supreme cour yf the United held Minnesota statute authorizing the suppressic newspapers and other periodical lishing which the a deem to be defamatory of p cials or other persons or instit the States unconst the matter ubl In the opinion of five mem i Tlef Hughes Justices Holmes, and Roberts—the law, In so far as it suppression, is “an the liberty of the and As Brandeis, Minnesota authorizes such infringement of press guaranteed amendment.” Associate Pierce Sutler, himself a Minnesotan, read a dissent. ing opinion concurred in by Justices court Justice sociate Stone Justice erland asserting that the majority a broader interpretation than any that had ever before been recognized. ELATIONS be tween Premier Mussolini and the Vatican were strained almost to the break ing point and out. wardly it appeared there could be no peaceful settlement of the quarrel, But efforts at conciliation were being carried on quietly by Foreign Minister Dino Grandi on the one hand and Cardinal Gas parri on the other. The trouble cen- ters in the Catholic Action elubs. Mussolini decreed the disbanding of all youth organizations connected with Catholic Action because of al leged political propaganda and closed the clubs and playgrounds. The pope protested against this, both ns head of the Vatican City and as head of the church. He made effective his disap proval by withdrawing his personal representative from the Padua cele. brations, ganceling the diocesan eu. charistic congress in Rome, prohibiting church processions and placing the Catholic Action societies under charge of the bishops. Mussolini gave out a statement saying there was nothing temporary about his acts and that the clubs were permanently closed, Wednesday the directory of the Fas. cist party ordered the leaders of all groups to be ready to defend Fas cigsm against its foes “under whatever banner,” and charged that some sec tions of the Catholic Action society had been “openly and surreptitiously” hostile to Fascism. (@. 1931, Western Newspaper Union.) Dino Grandi / NN BArIT IATL T By ELMO SCOTT WATSON month occurred a trag- edy which shocked whole country as had, perhaps, no other one since the assassination of Abrahams Lincoln, On June 25, 1876, Gen, George Armstrong Cus ter, a dashing cavalry leader during the Civil attacked a big village of Rioux, and Arapahoe strung slong the banks of the Mg Horn river in Montana, the battle was over Custer lay and around him lay the bodies of 212 men and officers, the entire personnel of five companies of his regiment, the Sixth cavalry. Several miles away six other companies were besieged by the Indians on river and it Is possible that only the timely arrival of the forces of Gen erals Terry and Gibbon two days lat. them from the fate which st commander and War, Cheyenne the bluffs overlook er saved had overtaken their their fellow But it when gaged in a hundredth ans ing of the nation, disaster came like the prover from the blus to stun the its 111 tidings and to cast a pall of sorrow over the centennial festivi Logically, the news of the tragedy should not have surprised the Amer. jean publie, for by that time have become accustomed to the blun- troopers, until Jul Americans everywhere were en of the the four was not joyous versary of with fies it should dering policy of our government in ite relat the In fey of allowing itself to volved In red man, of underestims desperation of his submit tamely to and strength semble to resist lone with unnecessary wars res white dom conld as domination, and nadequate force nation the which that of soldiers to subdue the hostil er they had gone on the warps Early In the } had learned =a of the folly of sending an story of the He we bitter insufficient wre and nfederated tribes of hostiles, when the against ended In St. Clair's defeat, worst disaster suffered by na man's army since the days of the un- jut that was forgotten until the series of fail. ures experienced during the long warts with the Seminoles in Florida served to recall it. And our government was short of memory, #0 when Gen, Henry B. Car. expedition (Md North the the Indians of the white lesson a chain of forts along the trail to Montana In the heart of the Sioux country, It turned a deaf ear to his pleas for more men. The result was that Lieut. Col. W. J. Fetterman marched out from Fort Phil Kearney one cold day In December, 1868. with 81 men and none of them eame back alive. The “Fetterman Massacre” or “Fort Phil Kearney Massacre” go. ecalled—though the student of frontier history, If he recognizes the word “massacre” at all as the correct one for this affair, 1s less Inclined to blame the warriors of the great Sioux chief, Red Cloud, than the government offi. cials who Ignored Carrington's re quests—horrified the country for a short time, but within ten years it had forgotten this, Just as it had other Indian disasters, so the time was ripe for still another tragic chapter. And the hero of it was George Armstrong Custer, the “Boy General” of Civil war days, Several factors have entered Into giving the tragedy of 55 years ago such enduring fame while greater ones have been forgotten, One of them is the striking personality of the lead. er who died there-—Custer, the “Bean Sabreur of the American Army” the “Last of the Cavaliers” as he has been called by a recent biographer, a man of vivid personality, the hero of a “success story” of the kind dearly beloved by Americans, Not only had he been an unusually suceessful cave alry leader In the Civil war, but his Indian campaigns In Kansas and Ok- Inhoma In 186768 had added to his rep atation and perpetunted the tradi. tion of “Custer luck.™ So when this outstanding Indian fighter fell a vie tim to the Indians at last and did ft in such dramatic fashion, It was only ural, perl impressio lich mo this dashing Hunt, the biogra ferred to, ha not as & coms ctorious di M1 © 0.000 battle an In scrutable way of ma If Custer needed egides the gods make him a hero, he persons of the had forg: 3 the government offi who and his 81 responsibil cials ten Fetterman For in the anal. ity for what took place on the Little Big Horn goes back to them, Custer himself, during a con. versation with Carrington early In 1876, in regard to the pro posed campaign against hostile Sioux and Cheyennes, remarked that “It will take another Phil Kearney massacre to bring congress up to gen erous support of the army.” Although, from his experience on the plains, he knew full well of the task that lay ahead of the army, he little realized how true his prophecy was nor that he was to make the same sacrifice that Fetterman had made. The general plan of the campaign was to have three army columns con- verge from different directions upon the section In Wyoming and Montana where the hostiles had taken refuge after their refusal to stay on the res. ervations set aside by the government for them. One under General Gibbon was to come eastward from western Montana; another under General Crook was to advance northward from southern Nebraska: and the third un. der General Terry was to proceed westward from Fort Abraham Lincoln in what Is now North Dakota. The principal trouble with this plan was that it didn’t work. It didn’t work be cause the combined three forces Here not large enough for the task ahead of them, even though the government had thought it .might be large enough, especially since the Indians instead of waiting for the three armies to concentrate upon them, made use of some Napoleonic strat egy, unconsciously, perhaps, and by operating “on Interior lines” attacked two of the columns In sevéralty and defeated them in detail. Then, too, it didn’t work because in reality one de. partment of the governmont was ailled with the Indians, Instead of with the army. For It was the inefficiency. to be extremely charitable—of the In. dian department which permitted the Indians to go into the field much bet. ter armed than the soldiers of Crook and Gibbon and Terry, and which al lowed those three to start upon their men. last yris, General the A ———— ¥ writ le expedit] the strengtl From the be . mpa June 17, fon Rosebud force the 4 rogre se before this ered and the Little Big The story of that A battle outlines =a amiliar one—how ter, marching rapidly, reached Little Big Horn sooner than was ex pected, how he great Indian village and, not realizing the numerical strength of its warriors nor the fact that they were flu with a feeling of victory over having stopped Crook, how he decided to at- tack at once without waiting for Ter- ry and Gibbon, were to be on hand for a battle, if Custer found the Indians, by June 26; and finally how adopting the tactics which had brought him victory in other fights with the Indians, he made the fatal division of his command into three parts, one led by Major Reno, one by Major Benteen and the third by him- self, Under the circumstances, the re- sult was almost a foregone conclu. sion, Reno made his attack, was met with a fierce resistance and. outnum- bered, was driven back to the bluffs across the river, suffering heavy losses as he retreated. Benteen, following the route designated for him, got into impossible country and gradually worked back toward the route taken by Reno #0 that he arrived in time to help that officer hold his own against the whooping savages who were swarming about him. Mean while Custer and his five companies, not knowing that hig plan of battle had already been broken up, rode on to his death. For the Indians, having put Reno out of the fight, concen trated on Custer and within a short, time had done him and his men to death, That story has been told and re told countless times, Over it has raged many a bitter controversy and around it has sprang up a great mass of travition, myth, misinformation and just plain “Dunk.” digcovered the who a Useful : ndling Pototo peeling dried thoroughly wily light a fire instead of wood being used
Significant historical Pennsylvania newspapers