Current By EDWARD W. PICKARD RESIDENT ROOSEVELT ended his vacation at Hyde Park and left for Washington where his administration faces serious trouble, involving the prestige of the White House. Capitol HI Is full of lively curlosity over the President's program, and whether he will fight the pres. ent congressional de flance of his leader ship and go before the people with one of his famed fireside talks, or whether he will gree to a compromise. Mr. Roosevelt at the end of his second year in office faces a predicate In his relations to congress similar to that which confronted Mr. Hoover In 1631 Unless he repains control his entire program Is likely to bog down, The fight hinges on the $4,8%0,000.000 work- relief program, the first item in the President's budget message and the principal mainstay of his program, Se ecret conferences at which slices of pork were reported to have been dan gled before the avid eves of revolting senators were sald to have been held A few supporters of the McCarran prevailing wage amendment which wrecked the bill and forced its recom mission to the appropriations commit. tee were sald to be wavering under the pressure, Senator Robert F. Wag- nor, who voted for the amendment, act ed as peacemaker. He intimated the possibility of a compromise by paying more than the so-called security wage of 850 a month, but still lower than the prevailing rates. Other leaders de clared they would not budge from thelr positions. Secretary Ickes has been no to the President in quelling the re volt. In his recent testimony, Ickes was reluctant to tell a senate committee about allocation of $238.000.000 for a naval shipbullding program. The sen. ators finally pried out Information which would indicate that the navy and the speculators knew all about the appropriation, but none of the mem- bers of congress knew about It. The money was to be spent at executive discretion, and senators feel this does not auger well for the proposal to hand to Mr. Rosevelt unlimited power in spending the proposed five billion dollar appropriation. Since next year will bring another Presidential election, a third of the senators will be up for re-election, and all of the house members. They are watching closely the present situation because, If the President Is slipping, they want their own records back home in good order. Sen. Wagner help ss USSOLINI has sent 5,000 more Italian troops to east Africa, making 10,000 that have been dis patched for the possible war with the empire of Ethiopia. With the Iatest contingent went Gen. Rudolfo Graziani, who will be In command of the expedi- tionary army. The soldiers were given a fine send-off at Naples, Crown Prince Humbert being present. Mussolin! has set European govern- ments buzzing in a speech In which he roared deflance at Italy's foes, assert ing that he could put eight million armed men In the field If necessary. Newspapers during the past few weeks have openly referred to the possibility of a war between Italy and Germany over Austria, and It was thought that 11 Duce’s speech was made to impress upon the Nazis that he was prepared to defend Brenner pass, although a part of the troops are being used In Ethiopia. Britain is keeping a close watch on Ethiopian developments, Sir John Simon, foreign secretary, told the house of commons. Simon sald that the agree. ment of 1908 between Italy, France and Great Britain to preserve the political and territorial status quo ‘in Ethiopia is in force and that Britain has drawn Italy's attention to this fact. He added, that the whole trouble is over the fron. tier between Ethiopia ahd [Italian Somaliland which has never been prop erly defined HE Blue Eagle lost another tall feather the other day, when Fed eral Judge Nields at Wilmington, Del, held that the collective bargaining pro- vision of NIRA Is unconstitutional when anplied to companies not engaged in interstate commerce. The adminis tration and organized labor immediate 1y joined in a fight to preserve the va lidity of Section 7-A, and announced that an immediate appeal would be tak- en before the United States Supreme court, The Wagner labor relations bill mak- ing Section 7-A the law of the land and outlawing company unions may have to be revised, If Judge Nields is apheld by the high court. The ruling also gives support to opposition now forming In congress against extension of KRA unless it Is reorganized. Judge Nields' ruling was on an in junction sult brought by the govern ment against the Weirton Steel com pany to enjoin the steel firm from al 1eged violations of Section 7-A of NIRA td the labor section of the falr com: petition code of the iron and steel In- dustry. He upheld the right of em- ployees to form company unions for collective bargaining, thus upsetting the claim of the Amalgamated Assocl- ation of Iron, Steel and Tin Workers, that the company intimidated employ- ees and dominated the company union, The court held that the company is primarily engaged In state, not inter state commerce, which congress Is not empowered to regulate. Judge Nlelds stated: “Power to enact Section 7-A was not conferred upon congress by the ‘gen. eral welfare’ recital in the preamble of the Constitution, nor by the welfare clause, Article 1, Section 8, of the Con- stitution.” Unless the Supreme court reverses Judge Nlields, the decision will prevent the New Deal from interfering with employee-employer relationships of a vast majority of American business, New Deal policies received another Jolt the same day when Judge Charles IL. Dawson on application of 85 west ern Kentucky coal operators lssued » writ enjoining the government from enforcing the bituminous coal code, re affirming an earller decision that the national Industrial recovery act was unconstitutional. Judge Dawson de clared that the coal mining Is an in trastate business, and beyond the pow- er of congress to regulate, He had previously issued a tempor ary writ, on petition of the operators on the ground of invalidity of the code, but the court of appeal remanded the case for a finding of fact on the ques tion of irreparable injury, “When the government unconstitutionally Inter feres with the right of a citizen to do business in his own way, that interfer ence constitutes an Injury to the prop- erty rights of the citizen,” sald Judge Dawson, who labeled as fallacious the government lawyers’ contention that gains resulting from the coal code CEDERAL JUDGE W. I. GRUBB of Alabama gave the New Deal a sharp rap that threatens the great electric power development in the Ten. nessee valley. He ruled that the Ten- nessee Valley Authority has no legal authority to dispose of surpius power generated at hydro-electric plants on the Tennessee river. The administra- tion is depending on this enterprise to bring about the lowering of private power plant rates, and It was believed there would be an immediate appeal from the decision, In Washington especial note was taken of the fact that Judge Grubb made permanent ano Injunction re straining 14 north Alabama cities and towns from negotiating with the Public Works administration for Joana to build electric distribution aystems There was speculation as to what ef- fect, if any, this might have nationally on PWA's policy of giving financial encouragement to municipal power de- velopments, NTERNAL troubles continue to rock Cuba, and President Carlos Mendi- eta's regime appears tottering. Manuel Despaigne, the only member of Mendl- eta’'s cabinet who was in office, has resigned a8 secretary of the treasury, completing ! the rout of the min- istry brought about by the school strike, And twelve assistant cabl- net secretaries have also deserted the ad- ministration The cabinet resigna- orion, Sor vega aves ier Mendieta ,'w to deal with the strike of several hundred thousand stu- dents and teachers which has devel oped into a national movement to oust the Mendieta administration. Commu- nist-led labor organizations are ready to throw their strength behind a revo. jutionary general strike, and the situa. tion 1s becoming critical. Although armed forces are being held In readl- ness to quell disorders, there is some doubt as to thelr loyalty to the presi- dent. Col. Fulgencio Batista, army chief of staff, was reported ready to throw _ his support to Dr. Carlos Manuel de la Cruz for president if the Mendl eta government falls, but leaders of the anti-Mendieta movement have indi cated Batista's cholce would not be acceptable to them. Terrorism continues rampant. Bomb ing has become general, raliroads have been blown up, and Havana has suf- fered considerable damage to property. POastiLIIES of a merger of Dem- ocrats with Republicans In fighting for repeal of the “pink slip” or income tax publicity section of the 1034 rev. enue act was seen as Representative Bell, Missouri, pleaded for Immediate passage of his bill eliminating the publicity provision, “Not only Is there fear on the part of the people of the country on ae count of gangsters and racketeers,” Bell asserted "but there also is concern among business men, because their competitors will have the opportunity of nosing into their secret files” SWEEPING investigation of NRA and charges of graft and corrup- tion was started by the senate, when it passed the Nye-McCarran resolution for a finance committee inquiry after a series of floor conferences between the sponsors, administration leaders, lib- eral Democrats, and western progres- sives. Sponsors of the bill originally demanded a special committee to in- vestigate NRA, but finally agreed to the finance committee handling the In- quiry. headed by Senator Pat Harrison, ad ministration follower, this may mean little. However, it is understood that Harrison agreed that counsel and pro- fessional Investigators be employed, and also ylelded to demands that the committee confer with McCarran and Nye In planning the Investigation. If Harrison attempts to “whitewash” the NRA, It Is rumored that Nye will take the floor to demand that the Inquiry be placed in the hands of the judiclary committee, HE Irrepressible Huey Long an- nounced In Baton Rouge that he will be a candidate for governor of Louisiana In 1038. That may be just more Kingfish conversation, However it Is known that Long has not preferred the office he now holds, and there Is some possibility that he may seek the chief executive's chair of his state When asked what would become of his candidacy for the presidency, he sald that being elected governor and being a candidate for president would not interfere with each other, ETERMINED not to accept the McCarran-Federation of Labor prevailing wage amendment, the ad ministration forces In the senate sent . the work rellef bill back to the committee, What will happen now to the President's big program is probleimat- ileal. Senator Byrnes of South Carolina, one of the sdministration men, deciared the measure had met its death, Insisting he was ex- N pressing his own be. Senator Huey ior and not talking Long for the President, Byrnes sald, “There Is no prospect” of reviving the works program and “The committee probably will do nothing about it" “The President stated that if the McCarran amendment were adopted be would pot sign the bill," Byroes sald “The senate adopted it, therefore, 80 as far as the works part is concerned, the bill is gone.” He expressed the thought the com- mittee would report out an appropria- tion of $880,000,000 or $1.880,000.000 to carry out the present relief program for six months or a year, Adoption of the McCarran amend- ment by the senate was brought about only after a hard fight and by means of a rather tricky shifting of pairs in which Huey Long took a leading part it won by a margin of one vole, where upon Senator Robinson, Democratic leader, moved that the bill be sent back to the committee. This was done, Sen ator Glass expressing the hope that the committee would report out a bill “that will not be quite so controver sial™ Senator Long. who loses no oppor. tunity to pester the administration and to display his political shrewdness, has started a movement for the specifi cation of $2.500,000,000 of the work re Hef measure’s total for the purpose of highway construction. Highway com missions in every state were asked by him to Indorse this plan. Long said he had discussed It with some other sen ators and that they liked It HANCELLOR HITLER has been forced to abandon his Intensive campalgn against the Jews, Economie pressure has caused Der Fuehrer to give up public manifestations of his cherished anti-Semitic policy, speeches at & meeting of political leaders and Nazi party members indicated. Boy- cotta, foreign exchange difficulties and other troubles cannot be risked by the reich at the present moment. HE Saarland after fifteen years un- der League of Nations rule returned to Germany. Baron Pompeo Aloisi, Italian chairman of the league's Saar committee, took over the reins from Col. Geoffrey Knox, British chairman of the territorial governing commission. The next day, Aloisi formally surren- dered the Saar to Germany, and the German flag was hoisted over the ter ritory for the first time since the World War, renewed its defiance of “imperialistic” and Japan HANCELLOR KURT SCHUSCH. NIGG of Austria pald a visit to Ramsay MacDonald, British prime min ister, and was told that while Britain 1s all for malotaining the Independence of Austria, return of the Hapsburgs in Austria and more British loans were strictly tabooed. Incidentally, Britain binted that Austria might be a little more popular If it were a little lows rough with the Socialists and trade unionists, Austria saw the light, and gave a half promise to be » little gentler, Everything was very friendly, but the Austrians came to London without invitation, and little effort was made to conceal official Britain's feel ing that they would rather they had stayed at home, 5 Bo SEEN« HEARD around the National Capital Washington.—Increasing evidence of dent Roosevelt from both the extreme conservative and the extreme radical sides 1s obvious to the most casual ob- It is dificult to prove any given case, members of the house are honestly and enthusiastically for the particular thing that the White House thinks would hamstring its program. Proof of the real underlying desires of any given senator being so difficult to obtain, it would be very misleading to name names. The Interesting point sbout the whole situation, however, lies not in any particular move against the ad- ministration which may gain unexpect- ed support, but in the possible conse quences for 1066. It muddies what until now had been a very clear view of what seemed cer- tain to happen, and which In all prob- ability still is very sure. It is only the fact that there is now a bit of a cloud on the horizon—which may or may not grow—that is really interesting at all The cloud Is the possibility that a group of the extremists may get to- gether and form a third party next year, For such a move to get any- where it must surmount several rather tall hurdles. One is whether they could even get together on a candidate, there being no such person in the of- fing as the elder La Follette was In 1024. With that hurdle surmounted, and assuming--which is much easier—that the third party leaders could agree on a platform, the next hurdle Is some- thing over which the radicals have no control whatever—what the regular Re- publicans will do. Big Handicap For. the only possible Importance of a third party entering the field would not be the possibility of electing its own candidates, but of giving the Re- publicans a chance to beat Roosevelt, just as the elder La Follette's candi dacy io 1024 assured the election of Calvin Coolidge by a landslide. The third party would draw votes from the New Deal. It would not get any of the 13.000000 men and women who voted the Republican ticket last No- vember, Even with this big handicap, how- ever, the Republicans would have to make a good showing to win, a big: ger showing, In fact, than there is any apparent probability at this time of their making. Their difficuities re volve not only around the candidate, but the platform, What could they tional convention agree on in a na- as to platform? Talks with half a dozen leading Re publican survivors in the house and senate indicate almost that number of widely varying views as to the proper course to be taken as to issues. And the same is true with respect to candl- dates, with the notable difference that here it 1s not a case of warmly advo eating different candidates, but of cold- ly rejecting nearly all candidates in sight, There Is not the personal angle which usually is so apparent at this stage of the Presidential term among the outs. No one is screaming for this or that candidate. All unite in saying they do not know what candidate would make a good run, There Is less opposition to Senator Arthur H. Vandenberg of Michigan, and to Frank Knog, the publisher, than to most, but even those who like these particular men disagree as to what the platform should be, Altogether, even with more success for the radicals than is now antici pated, the picture is not very discon- certing to the New Deal. Actually, the far more Important clement is whether business can revive sufficiently by No- vember, 1086, for America to sce Its path leading out of the present dif. culties, The Baby Bonds Anticipated objections from the life insurance companies to the baby bonds the government proposes to sell at post offices have not materialized, most rep. resentatives of the companies saying there is no strictly insurance feature, in that the amount of return is not changed by the death of the holder. Actually the baby bonds present an fdeal arrangement for the purchaser the purchaser figures that ten years there is no reasonable possibility that the money will be required before that time, For example, If a father has a son now six years old, and is figuring on providing a sum of money for that hence, the bonds might be very attrac tive. The rate of interest would not be high. It would be slightly under 8 per cent. But the money would be as safe as anything ean be—the direct obligation of the government If on the other hand he should find it necessary to use the money before the expiration of that ten years, he would be forced to take a lower rate of Interest. For during the first year no Interest whatever accumulates. And for the next six years the rate Is only a little above 2 per cent. It Is only In the last three years, when the rate per year goes over 4 per cent, that the average ls pushed up—and then not quite to 8 per cent. The government is figuring on & very - waiting for safe investment. Every banker, broker and Insurance man loan which cannot be filled. And the gov- at around 1 per cent repeatedly. Different Proposition But, bankers and point out, this baby bond issue pre- sents an entirely different proposition, In the case of people taking short term government loans, thelr motive is to obtain a little return on their money while they are waiting. They hope that by the end of the period of that loan they may find some safe invest ment, which will yleld them a larger return. Proof of this Is in the fact that for long term bonds the govern. ment has to pay from two to four times as much interest. But in the case of the baby bonds there Is no return at all during the first year, and only a very small return for the next six years. Moreover, the holder is compelled, if he wants to cash in before the higher interest rate be- comes effective, to take the price fixed in advance by the government. Other investors might be willing to pay more, but the bonds are not transferable. One of the government's objects here is to save money, of course, Every person cashing the bonds In before ma- turity takes a very low interest rate. Another object is to keep the bonds out of the hands of the banks. There has been a great deal of criticism of government financing on the score that it was loading the banks up with gov- ernment bonds, and thus restricting the amount of money which could better be employed at stimulating industry. Not being negotiable, these baby bonds will stay out of the banks, thus serving this purpose. But the fact that the bonds are not negotiable also lessens their attractiveness to inves tors. This might not interest the chap who buys just one bond for $18.75. But it would Interest considerably the man or woman with a few thousand dollars to invest. Hence the prediction that the total sales will not figure heavily in the government's fiscal plans. In fact, this is frankly sdmitted by some administration officials. They ad- mit they would like to see certain oth- er effects. Just holding a bond of any sort. they point out, has the effect of making the holder just a little more conservative. And Incidentally making him in a way a partner in the New Deal. Gold Clause Decision One of the most significant things about the gold clause decision of the Supreme court was not only the se- crecy which shrouded what that de cision wonld be—indicated by the fact that some of the first news flashes were very misieading—but also the moves the administration had planned to coun teract the effects in case the decision should have gone 100 per cent against the government. For It can now be stated that not even the speaker of the house, nor leading administration senators, had the slightest idea what would be done. Just three people really knew. They were: President Roosevelt, Secretary of the Treasury Morgenthau, and At- torney General Cummings, And that Cummings knew Is the writ- er's guess. Cummings does not admit it. So it might be possible that the third person who knew was not Cum- mings, but some other lawyer on whose judgment the President and Morgen- thay could rely. Legal advice was produced for the treasury in plenty, but those furnish- ing it were not sure how it would be used. Bome of the decisions asked for were as to public utility rates. For in- stance, in many past decisions, courts have ruled that contracts between util. ity companies and thelr customers did not bind either side If a legal body, which had the right to change rates, should change them. Inference of the employees supply- ing this Information assumed, and still assumes, that this was for calculating the court's decison, in advance, rather than deciding what to do should the court rule otherwise than it did what would be done in the event of a decision against the government may never be known, and will not be unless leak out, there are some excelient guesses. Some Deductions One high treasury official, known fot his shrewdness, made some interesting deductions In advance. For example, be had the idea, stressed In the ma- jority opinion by the court, that the amount of damages would have to be determined in court—that certainly no court would force a company to pay the full $1.60 for each dollar of a gold clause bond. “And,” this official added In a con- versation several days before the de- cision, “1 do not think it will be pos sible actually to demonstrate damages to the extent of the decision.” Now this was not just a haphazard opinion. Nor was it a “leak” from the court. It grew in that official's mind as a result of various questions he had to answer for Secretary Morgenthau. The administration was sure of sev. eral things about the decision—that 1s as to what it could do in this or that event—but it was hoping there would be some such loophole as forcing hold. ers of the bonds to demand their dam- ages through the courts Instead of a flat order to pay $1.00. Copyright.~WNU Services, CRUTCHES FOR EYELIDS “lyelld erutches” are now being by persons suffering from the permanent drooping or paralysis writes W. of the ufting muscles, A. Bummers, Lansdale, Collier's Weekly. These crutches, which are made of plat. num and attached to the ordinary Read the offer made by the Postum Company in another part of this pa. per. They will send a full week's sup- ply of health giving Postum free to anyone who writes for it.—Ady, Nothing Finer Friendship is the highest degree of perfection in soclety. Montaigne, Dr. Pierce's Favorite Prescription makes weak women st . No aleohol. Bold by druggists in tablets or liquid.—Ady, Root of Justice Where doth justice dwell? First, In the conscience, CONSTIPATION Can be Helped! (Use what Doctors do) Why do the bowels usually move regularly and thoroughly, long efter a physician has rm you treatment for constipation Because the doctor gives a liguid laxative that can always be taken in the right amount. You can gradually reduce the dose. Reduced dosage is the secret of real and safe relief from constipation. Ask your doctor about this. Ask > d ist how popular liquid axatives have become. The night liquid laxative gives the right kind of help, and the right amount of help. When the dose is repeated, instead of more each time, you take less. Until the bowels are moving regularly and thoroughly without any belp at all The liquid laxative generally used is Dr. Caldwell's Syrup Pepsin. It contains senna and cascara, and these are natural laxatives that form no habit — even in children. Your druggist has it; ask for— vo. (Lldrells | SYRUP PEPSIN Be Wise! The legal penalty for flirting is marriage. Exchange. aR A MOTHER'S ADVICE DO) we Parker's Hair ta Bair soft and rors. Matha FEEL TIRED, ACHY- “ALL WORN 0T?”
Significant historical Pennsylvania newspapers