St. Louis Post-Dispatch
September 24, 1929

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4 \ fr my TODAY | hy? Ss NEWS TODAY M7 oT LOUIS POST-DISPATCH The Only Evening Newspaper in St. Louis With the Associated Press News Service NO. ST. LOULS, TUESDAY, SEPT EMBER 24, re —44 PAGES. WALL STREET, — err STOCKS TURN JOWNWARD IN | iT TRADE ined Leading Issues Car- ‘fed 5 to 25 Points Below Ealy Highs Before Buy- ing Checks Decline. “ENGLISH BANK RATE igs Grade i Radesteiale = emer Bought Early z - Some Wide Ranges in| Day’ s Trade. em sens Pm °4.—The | -anarket went into a bad nose ; wal after un earlier outburst strength hed carried nearly a score ienes to record high levels. So eavy were the offerings of stock that many of the leading fwere carried down 5 to points below their early highs before suf- | ‘ficient uying support couid J ~ a selling. | While many observers accepted he decline as further proof of the! market's weakened technical con-| “ition. traders who sought rea-' “pons for the selling attributed it to) ‘fears of a higher Bank of England) Miscount rate on Thursday, to ru- | rof decline in steel output to a} “evel below that of the a g period last year and the state- | ment of Alexander Legge that In- | @rnationa! Llarvester | ' of which he is a large hold- | Pand which company he former- ay Weaded. was selling too high. England's. Gold Moving Out. With the Bank of England jos- ing another £,289,000 gold today on top of yesteriay’s loss of more mn £1,500,000 bringing the losses for the two days to roximately $14,000,000. the bility of a rise in the ban's this week was again a topic } @nsi’crable discussion. Some , ugo it was. stated that ac- mM depended iargely on the mat- Bof the further loss of gold and Btrend of sterling exchange. In interva isterling was de- i but until now the bank red to retai nits gold posi- The discount rates at 'Jon- showed a stiffening tendency my, with gilt-edge securities ry in tone. mane day's news developments Miuded the publication of a series Miusualliy favorable August rail- earnings statements, reports drop in crude oii production week, the offering of new mertn American Co. stock ‘at $100 Bshare and the announcement of eetger terms between Electric md and Share and Electric In- $ @ common | tm 4 ‘ Time Money Firm. > “Bear” and apparently succeeded hing off a iarge number in mace] by timid investors and trad- | m who were nervous as a result the steady liquidation of some | the leading stocks in the past | / Call money held steady ut 8 per m all day. Time money rates somewhat firmer, being ,uot- 2e8i$to 9% per cent, instead of hafiat® per cent basis. Wall believes that the peak of fall mmercia) demands = will be hed in the next fortnight. F nearby bids ard the withdraw- of poot support. J| I. Case ped 39 points, Commercial! Sol- Detroit Edison 21 and and Foundry eo Titan Machine vu. 8. Steel common dropped "~ an early high of 241% to and rallied to 231%. off 5% “Ss net. American & Foreign dropped from 195% to 189 rebounded to 181%, off 6%. Auto dropped from 479 to AMerican Water Works, Con- mated Gas, Sears Roebuck. Gen- = Electric, Johns Manvile. In- Steel, American Can. Westing- Electric. Montgomery Ward erican International the long list of issues to 4 to 8 points lower. the exception of the Ca- Gellar, which sold at a dis- more than 1 cent, the level in a couple of years, ing foreign exchange rates * @ firm undertone. Ster- were firmer ; With . Md rate would be advanced in view of als of goid for shipment Stock prices, with tables and market news, Ube found on Pages 35, 76 aia Ris, fdive in the last hour of trading to- | of || Issues | | be || igupplied to stem the heavy stream || sapeitete catrotaanincaamenanaenmascatemnecnenianeateaes a SOR Sslath pbtetee! Lehi RUB eng otss ~ oe yet. $ > —Photo by Kafiwara TOM P. BARNETT. COLORADO TO FIGHT TO RETAIN $500,000 BANK GOT IN SWINDLE By fhe Associated Press. DENVER, Colo., Sept. 24. HE State of Colorado will |} fight any attempt by six || ee | survived by 'daughters, by a former New York banks to recover $500,000 worth of securities ob- tained by the Bunk of Tellur- ide, Colo., through ulations of Cc. D. Waggoner. nouncement was made today by Robert E. Winvourn, Attor- 7-General, on his return from correspon. | | i | bank president. This an- | New York. | es ‘attempt to purchase another com- traders sold stock heav- | of | Tegethoff, =0p loss” orders, which had been | the Peace, ‘automobile High priced issues melted rather | Pidly, indicating the absence of | evangelical were , . around | in the belief that the Bank | ‘HUGE SEA ELEPHANT BOUGHT i TOM P. BARNETT. NOTED ARCHITECT AND ARTIST, DIES St. Louisan, Taken Ill at Summer Home in Massa- chusetts, Succumbs in Boston ninegital. | | CREMATION THERE WITH BURIAL HERE Designer of Some of Most at the Age of 59. Tom P. Barnett, widely St. Louis architect and artist, last night in a hospital in Boston. fle was 59 years old. Tom the manip- |) Mr. Barnett had been in ill] : health, suffering with diabetes, for | about a year Two weeks ago he went to his summer home at Hock- port, Mass... with Mrs. Barnett, for a rest, and became seriously few days 2Z0. Mr. Barnett, president of P. Barnett Co. in the Building. lived at 3832 boulevard. Besides his Mary Mitchell Barnett, two sons and marriage, he widow. who live in Chicago Active in the Artists’ Guild. As a creative architect, Mr. Bar- nett achieved a considerable repu- ' tation. having designed some of tre impressive structures in St As a painter in oil, he has humerous contests He was most Louis. taken prizes in here and elsewhere. ' staunch supporter of the St. Louis FOR 200 DIES ON TRAIN Animal! Was Being Shipped to St. _ieuis From Germany; Was to Cost $6500. A huge male sea elephant being brought to the Forest Park zoo to replace Mopic, which died there a number weeks ago, died on Pennsylvania Railroad tween New York and Altoona, Pa., early today, Virector Vierheller of the zoo was notified by telegram. The animal, a native of the Ant- | urctic, 0, a species hard to obtain, weighed 3750 pounds and the zoo was to have paid Hagenbeck’s $6500 for him, if delivered here. The sea elephant was being ac- companied from Hamburg, Ger many. by John Steinhoff, who brought Mopie and his mate. Frya. here. Frya is still bere. Authori- have not decided whether to panion for her this winter. About five years ago an rhinoceros being brought to the zoo died at Hoboken, N. J. COUNTY JUSTICE OF PEACE FREED ON LIQUOR CHARGE Witness Not Sure of Contents of | Bottles He Saw in Brentwood Mazistrate’s Automobile. An indictment charging @oseph | hotels, of | Kingsbury place gateway, Brentwood Justice intoxicating liquor iby Prosecuting Attorney today. The prosecutor said only witness against Tegethoff, | Charles F. say whether or not the bottles be | savs he saw in Tegethoff's automo- | bile contained liquor. The indictment wWwas~ July 28, 1928, based on testimony before the grand jury | that Tegethoff had liqucr in his on day in ad 3, Brentwood. indicted jointly | election Tegethoff was with William McManus, since died. All three were mem- bers of the Brentwood Board of Trustees, which was then divided by political dissension. MRS. M’PHERSON TOOK BEAUTY TREATMENTS AT CHURCH COST By the Associated Press , DETROIT, Mich., Sept. “Aimee’s expense account” which included items for. beauty treat- ments during Mrs. McPherson's campaign here July was too much for the congre- gation of Detroit Four Square Gospel Lighthouse, Dr. Dawson MacCuliough. acting pastor of the Detroit temple, said last night. 24.— | body a ! train be- | (;uild and one of the oldest members. Artists’ Guild’s A telegram from Mrs. Barnett to- | day announced that ber husband's tery, Cambridge, Mass., in accord- ance with orn@ of his last requests. and the ashes brought to St. Louis. his native city. for burial Barnett will return to St. Louis Fri- | day. | 1870, | father, Ssvu00d | with transportation of | Louis. and the was dismissed | Club in Chicago. Castien ; . the appointed to serve on the Worlild's | Schmitz. was unable to| he won first returned | Schmitz’s | ure. condemning harshly the ten- the previous April | who has! | iast Barnett was born Feb. 11, in a family of architects. His George I. Barnett of the firm of Barnett, Haynes and Bar- nett, sought to discourage his son from entering the same profession but young Barnett’s natural love of design finally overcame the family objection. Mr. Barnett that as a schoolboy ‘he was inter- ested in nothing but drawing and Mr. sketching and once had his boxed because he drew the design ‘fer a proscenium arch in his copy | book. | After his graduation from St. | Louis University, his father placed |him in the office of a candy com- |pany. He was dismissed for draw- ling pictures of houses in the firm's ledgers. Then the elder Barnett 'found a piace for him in his office. Designed Jefferson Hotel. As a young man, Mr. Barnett de- | signed the Jefferson and Marquette Temple Israel and in Illinois He was the youngest |'Fair Commission. About that time prize in a national ‘contest for a design for the Cook ‘County Courthouse in Chicago. Mr. Barnett was a stern critic of the purely utilitarian in architect- dency toward standardization in | office buildings and apartments During his iater years, Mr. Bar- | nett specialized largely in designing hospitais, churches, memorials and office buildings of types which 'permitted freedom of design. The | City Club Buildiry and the Arcade 'Builcing tn St. Louis, Eden Sem- inary in Webster Groves, and the First Church of Christ. Scientist. and the University Masonic Lodge in “tniversity City are exar. pies of his later work. "Je organized his own company in 1913 and worked in a netion-wide field. - Painter and Sketcher. Mr. Barnett turned to painting and sketching about 25 years ago and continued to practice this form ‘of expression unti!t his reputation as an artist to some extent out- ranked his reputation as an archi- | tect. Examples of his work may be “i am afraid some of the mem-/ found in various galleries includ- bers did not like the size of Mrs. | McPherson's expense account.” Dr. MacCullough said. the beauty treatment | popular.” The congregation voted Sunday to sever connections with Mrs. | McPherson's Angelus Temple and | ‘to repudiate a note for $2756 for) the further | part payment for the rental of the auditorium used in the evangel- ist’s revival. The note was signed by the Rev. George Fink. @ for- mer pastor of the church, who. church members say, tify the congregation istence. . failed to no-| of its ex-jlargely to painting where there is a colony of artists. ing the permanent collection at the ‘St. Louis Art Museum. His water “The items for! studies, winter scenes and black were not) and- white sketches have attract. ed widespread attention and # long ee of prize awards in art compe- titions. Most St. Louvisans are familiar with his studies in St. Louis scenes and a work on fead mining from his brush is among the mural Capitol. He maintained a studio at his home and devoted his summers at Rockport Impressive Buildings in City Victim of Diabetes| known | died | i) a | Arcade | Lindel | he is | two | a | would be cremated Thursday | morning at Mount Auburn Ceme- | Mrs. | requently recalled - ears | the | St. | Athletic | architect | decorations in the Missouri State! TWO ASSOCIATES HELD IN KILLING OF Sebastian Conley, Alton Cigar Stand Owner, and ‘Whitey’ Bates Charged With Murder. GRAY SEDAN OF He Called for Jack Wilson Justice of Peace Fiedler of I Maplewood Testified He) Paid Defendant $200 to | Day of Slaying. Investigation of the case of Jack Wilson, alias Redfield. the | ing gangster,” ‘‘golf- | to death Saturday evening Chouteau Slough, four miles north. of Granite City, took a su4- last night when two v! near west den turn ‘his associates were arrested an? with One of those arrested charged murder. was Wil- GOLFING GANGSTER OF BRIBE-TAKING in Auto After Leaving Him at Country Club on | | | | freeing who was found shot | Prosecuting Attorney of St. County, bribe while in office, | by a jury DRECTEDVERDIGT ONE SHIPBUILDING FIRM PAID SHEARER $18,900 FOR SERVICES UP TO THIS YE: ALQUITS MUELLER Demurrer for Former St. Louis County Prosecuting || Attorney Sustained by Judge Nolte. INDICTMENT BASED FORMER MISSING ON WRONG STATUTE | Dismiss Charge. A directed verdict of Fred E. Mueller. acquittal, former was returned | in Circuit Court at Clay- | ton this morning when Judge | Noite sustained a defense to the State's case because the charge had be... brought under the | | wrong statute. |son's partner in golf games at the | Club. Se- known as “Rass” Rock Springs Country Coniey, | Proprietor of the Metropole cigar stand in Aiton and under ment ‘for trafficking in narcoti-s |The other is “Whitey” Bates, one- 'eyed hanger-on at the cigar stard and, like Wilson, a recent arr'va’' in Aiton. The prisoners ments. They will | today. Bates wes | Comsey# place West Broadway reached Conley by }announced: “‘Whitey 'you.” When Conley | police station, he, too, tained. Went Riding With Conley. Although State’s Attorney Bohm, who swore out the murder 'rants. declined to discuss the evi- dence. it was learned information had been received that Conley and Rates called for Wilson at ‘tain address and 3:30 o'clock -Saturday bastian made be questioned in custody at business, Later police telephone and taken of the de- went to was after- ley’s gray Stutz sedan. “T’ll be right back.” Wilson said, on leaving. but he did not return A witness reported Conley and Wilson rode in front. with Bates in a back seat. Wilson's body was found about 6 p. m. The sedan is missing. This information conflicts | Conley's assertion that he last saw Wilson at noon Saturday. wher Wilson. after plaving eight ho'es of golf..quit to keep an engagre- ment. the nature of which he did not disclose. Room Was Taooted. supplies of narcotics which were stolen after his death was enter- tained by police when it became known that Wilson's room at 848 Washington avenue, Alton, had been looted. Mr. and Mrs. Ear! Miller, whose home he lived. went ou’ | Sunday afternoon at 1 o’clock and when the returned they discovered entered through a 'rear door and taken Wilson's cloth- ing and two traveling bags. which police think may have contained narcotics. Only a basketful! cluding some papers, ‘someone had of articles. in- remained The papers [Indicated Wilson had | been engaged in numerous automo hile deals in Detroit and Cleveland Wilson, 190 East Grand bovlevard Detroit.” , His landlady. Mre. Miller. said he rented the room about the first of July. He drove a car with Detrort license plates and said he repre- sented a milling company. A wom. an about 25 years old and a small boy. whom Wilson introduced as his family, stayed with him for a week. Calls From Conley. Mrs. Miller said Wilson received telephone calis from Coniey. She deciared she last saw him alive about noon Saturday when he drove Conley’s car home. changed from his golf ciothes to street at tire. and drove away “T think Bass is a fine fellow | Wilson's wife, Velma. wrote to him after her departure from Alten. “I'm giad you are with im be- cause you will have company to play golf.”’ she added. Other excerpts from the fetter, found in Witson's room, foilow: “Il gent the telegram and that party didn’t meet me so ! guess it isn’t so hot. “Marie had a ietter from Gertie telling her she was worried sick about me and that sometning had happened and we were in wrong. so something must have been in the papers. “IT jove you. Please write soon. | tove you. Your Yel.” The ietter had been written to -* me in Alton between 32 | A theorv that Wilson possessed | had testiif (a $200 indict- | | Horn, him of bh iedler no state- | 1V9 wants to see /acted The chief witness for cution, Adoiph Fiedler, Justice of the Peace oft ed that he gave bribe to dismiss a liquor / possession charge against Edgar E. and that Mueller had kept informed of the proceedings the grand jury which indicted on tour other charges. telling Fiedler the contents of his indictments before they had been returned in court. “I Knew everything the grand jury was doing,” Fiedter boasted. Under Wrong Statute. The defense demur by William Baer, of Aang a Mueller, was that Mueller was in- dicted under section 3178 of Kevised Statutes. which was in 1835. making the prose- 44U0-pound Maplewood, Mueller e€n- | public officials a felony with seven | years’ imprisonment as the maxi- mum punishment, but that a later war- | a cer. | noon and took him riding in Con- | ' section 3199, / not be sustained, | dictment | Attorney-General! with | ‘argument and sustained the demur- at | | The papers bore the name of “Jack | Jury had been picked yesterday. ' i section 3199. enacted in precedence over this. The makes any corrupt agreemnent with a Prosecuting At- torney a misdemeanor. punishable by three months in jail and a $500— fine. If the prosecution weré under Baer went on, it could because the stat. | misde- | law, took latter statute ute of limitations on a meanor had expired before the in- | dictment was voted. The State | agreed with this. The Mueller in- | was signed by Assistant | Ipleutellus Cun- |! ningham. who had been brought | to Clayton because Mueller had, been disqualified from euvkton | with the grand jury. Assistant | Prosecuting Attorney Bryant | argued in reply to Baer that it} was discretionary which statute | Another Case Pending. Judge Nolte agreed witb Baer’s rer, ordering Mueller’s discharge. At Baer’s request the formality of returning the directed verdict was had. Another Mueller charges against accepted pending that he case an $800 bribe from Fiedler to pro- | South Grand boulevard. tect slot machine operation at Lin- dy Hall. 6310A Easton Weliston. Both sides ready in this yesterday set for trial this week, State's request, in view of the ac- quittal, it was continued to Oct. 21. The State had rested in the first | case this morning. having present- | ed as witnesses only Fiedler and an official to identify a record. The | and it was! but at the} Adolph fiedler Tells Story. Miedier and Mueller exchanged Ziares as he took the stand yester- | day in a courtroom where many politicians and political hangers- on were among the spectators. Fiedier had been a candidate for nomination for Sheriff and Muelier for Circuit Judge when the indict- ments were returned last year. Both lost: they are Republicans. “Il saw Mueller in his office on July 6. 1927. about doing some- thing for Eddie Horn.” Fiedler testified “He had been convicted several times before and I said though there was not much evti- dence in this case he would proh- ably get time. {| said itt would be worth $200 to the man to get the charge nollie prossed. Mueller said that would be ok. so | gave him $200 in $5 and $10 bills, He put tt in his pocket and I teft. Be- fore 1! left he caltl-@ Eddie Smith. his clerk, and told him to nollie proses the case.” Denies Plot to Ruin Muelier. Cross-examined. Fiedier denied that he had boasted to various persons before and after appearing hefore the gxrand jury against Muelier tast year that he would ruin Mueller politically by faine testimony, or that he had gaid of Mueller. “He framed me and I framed him.” Four indictments were pending bribery of | Louis . of a charge of accepting a || deniurrer | | the 1855, | | were arrested 'troit, | the indictment followed. a Brick Co. for cording to Capt. ‘offered to fwrnish him checks. Gontinred on Page 2, Golumn 6; Gentinved on Page 4, Golumn 4. only brunets on the mezzanine and _9724 hesds.ot the sob snckiaiinhinhine ‘Hoover Urges Retention of Flexible Tariff Clause: | By the Associated Press. WASHINGTON, Sept. 24. RESIDENT HOOVER, in a 1p formal] statement today made a plea for the reten- tion in the pending tarif: bill of the flexible provisions which a majority of the Democrats hope to repeal with support from some dozen or more independ- ent Republicans of the Senate. The President in this, his first statement. on the tariff since the Hawley-Smoot bill was drafted by the House Ways and Means Committee, said he had no hesitation in saying that he regarded the flexible tariff “as of the utmost im- portance in justice to the pub- lic; as a protection for the sound progress in our economic system and for the future pro- tection of our farmers and our industries and consumers.” Mr. Hoover asserted that the flexible provision was one of the most progressive steps taken in tariff making in the history of the country. He held it was wrong that there should no remedy for iso- lated cases of injustice that night arise through the failure to protect certain industries. or to destroy the epportunity to revise duties which might prove hither than necessary to pro- tect some industries and, there- he fore. become onerous upon the public. Maintaining that the flexible provision as it is proposed to be amended places no despotic power in the hands of the chief executive, Mr. Hoover said the provision was supported by farm, labor, consumers and manufacturing organizations, and had never hitherto been made a political issue. Despite the cumbersomeness in the methods of determining cost of production as set down in the 1922 tariff act. the Pres- ident said the agricultura! in- dustry especially had received great benefits. -He cited pro- tection of the dairy industry as an instance. “That industry would be | sad plight today.” he said, “if it had not been for the in- creased duties given under the flexible tariff.” The President said it had been proved by half a century of experience that the tariff could not be reviewed by Con- gress more than once in seven or eight years. and that it would be only a destruction of the principle of the flexible tariff to provide that the Tariff Com- mission recommen dations should be made to Congress for action instead of to the execu- tive. THREE MEN ARRESTE UN BAD CHECK CHARGE en ‘One Says Attorney Offered! Him 40 Pct. of Proceeds for Getting Them Cashed. Warrants charging the passing of fictitious payroll checks were sued today against three men who as part of a gang | that has operated in St. Louis, De- | Mich., and Kansas City, Mo.., for the last six months. The men are William is- mer avenue: Charles Hollerbeck and Karl Davis, both waiters. Police Captain Kirk of the Sou- lard Street Station. who arrested Koons in his office in the Mer- 'chants-Laclede Building. said Le had been identified by meyer, parlor at the man less check of 2622 Cherokee avenue, as who had cashed the $29.50 who confessed. ac- Kirk, said Koons pay him 40 per eemt of each one cashed, and act as his lawyer if he eaught. On that occasion, Holler- beck related,..Koons printed a check which “Bavis cashed for $29 | a Sears-Roebuck store, 3700 | Hollerbeck, at Davis told Capt. Kirk he had | avenue, (heard of the check cashing plan | vue sme announced from another waiter. looking for another the men ar- Police are man implicated by | rested. see or CLOUDY TONIGHT, TOMORROW, PROBABLY WITH SHOWERS | —— TEMPFRATURES. 73 66 64 «op. , i Yantepdas's hich 80 «4 (GG @. m.?). eet Official forecast for St. Louis and vicinity: Partly cloudy tonight and tomorrow; orub- ably with show- ers: not nuech change in temperr- ature. Missouri: DR. WABS BOYS STOOD ON THE Part and tomorrow possibly showers in southeast por. tion: sot much change in tem- perature. [linois: cloudy and tomorrow probably with showers: warmer in northweat por. tion tonight. sunrise (tomor mostiy tonight Sunset, 6:66; row). 6:51. Stage of the Mis a fall of 9.1. ppl, 2.8 feet - ‘ a P + " Colur Scheme Waittressts. NEW YORK, Sept. 24.—A mod- ernistic restaurant in the New York Central Buliding has aii bionde waitresses on the main ficor. Koons, 60) /years old, a lawyer of 5889 Bart- A. Ottens- | proprietor of a sott-drink | Wworthe- | Christy-W aish | got Sept. were | 4 | 489 and $374,972, = * ‘ 7 ly cloudy tonight | BIBLE EXPURGATED BY SUNDAY SCHOOL | SOCIETY ‘IN LONDON | : Wording | phar’s Wife and Prodigal Son Changed. | By the Associated Press. | LONDON, Sept. 24.—An expur- gated copy vf the Bible was issued ,today by the National Sunday School Union. Among the changes of phrase. the invitation to Joseph by Poti- |phar’s wife istransiated “His mas- ter’s wife casi her eyes |Joseph and tempted him evil.” and in the atory of | prodigal son “evil companions” ‘substituted for “harlots.” St. John's account of Christ's treatment of the woman taken in aduitery is omitted. STREET CAR REVENUES STILL BELOW LAST YEAR | Passengers and — Receipts i, Third Week of New Fare &i.0“w Gain Over Preceding We. k. | The number of passengers car- 'ried by the Public Service (Co. Street cars and busses in the week 9 to 16, the third week ‘of the new fares, showed an in- | crease of 7.61 per cent over the | preceding week, but still were 6.24 per cent fewer than in the corre- |sponding week of tast year. The | report for the third week was filed today with the City Counselor. Revenue increased 4.90 per cent preceding week, but ways | 1.39 per cent under the correspond- | ing week of last year. The report showed 4,460,035 passengers carried, as compared with 4,144,549 the preceding week and 4,756,992 in the corresponding week last year. The revenue was | $369,762, as compared with $315.- respectively 10-cent fares ‘eo do On the city lines 15 ARE INJURED IN CRUSH AT SALE IN BROOKLYN STORE Crowd Smashes Four Pietc-Giass Windows; several Chitriren Hurt Special ww tne Post-iNspaich. were injured teday when « crowd of 1500 cushed the store of Mays | ine., in Brookiyn and smashed in four plate-giass windows in ap ef- fort to attend « sale Most of the inivred -+ecelwed cuts. bul several euffered broken bunes. Four ambutances wer sulmM- moned and a ‘irst a:d ste’ ion was set up in the store o:fices NEW YORK, Sept. 24.—Eight hundred bettles of tiquor were re- ported to heve been found aboard eek RE Re RIE LE NE tT LD | navy of Stories of Poti- upon, the | is TTS HEADS LENT HIM $2000 ALSO ON HIS NOTES 'H. L. Ferguson and F. P. Palen of Newport News Corporation Tell of Hir- ing Propagandist. -FURTIVE PAYMENTS AROUSE CRITICISM | Senate Committeemen Cen- sure Disbursements to Him by Checks Made Out to “‘Oscar Olsen.” W ASHINGTOS, Sept. 24.—Un- der severe ~ griiling: today by the | Senate committee investigating biz at Geneve, |Homer L. Ferguson, president o/ the Newport News Shipbuilding & Drydock Co.. told of payments by his company to William b. Shearer amounting to a total of $18,900, for work at Geneva and Washington. The paynients were wall mad from the “merchant marine pro- motion fund” of the company an! |} most, if not al), were made Ww | onal through checks drawn to the | order of officials of the company. | The witness said there was noth- | ing in the records to indicate direct payments to Shearer. His teati- |; mony led to severe comments from the committee on the. furtive, na- | ture of the transactions. Ferguson again denied that he knew anything about Shearer's employment by his own and twe other shipbuilding companies io represent them at the Geneva pa- val arms limitation conference of 1927. He said that FF. P. Palen vice president of the company. could teli the committee about tha! phase of Shearer's employment b) the Newport News Co. Lent Shearer $2000. In 1928, the year after the break up of the Geneva conference, Fer- gusen said he and Palen ient Shearer $2000 and took notes for the amount. Palen took twe of Shearer's notes for $500 each aku Ferguson took one note for $1000. Shearer had represented himeeif “broke.” and badly in need of funds. Palen at that time hed fuli confidence in Shearer's integrity. Ferguton suid he approved checkr for the payment of the ioan te Shearer. Fercuson said that Shearer, a year after the Geneyy conference, was “down and out,” and sought cmprormene with the company. Chairman eunietens produced several checks made out to “Oscar Olsen,” dated as tate as March, 1929. all charged against the mer- chant marine fund, propaganda constituted 40 per cent of the total, | commutation fares 43 per cent and | -» | five-cent fares 12 per cent. NEW YORK Sept. 24 --PFifteen! persons. including severa! children, | “What was being done with al) this money?” inquired Shortridge. “It wae paid to Sheare::” said the witness, “in order te get rid of him and carry ovt an employ. ment which he claimed he had with us.” Other checks which also reached Shearer were made out to the order of Palen. lAve and Learn. Ferguson said that he had ap- proved the payment of ail these checks. He said the employment of Shearer was “vexatiOtis and in- distinct.” Shearer claimed an em- ployment at $1000 a month. Fer. guson said he itnaetructed Paien to pey him at the rate of $500 «a month. “Were other companies tnterest- ead itn these payments?” asked Shortridge “No. we were the only one in on this.” “We live and learn.” commented