Chicago Tribune from Chicago, Illinois • 2

I TAX INCREASES IN NEW. BILL LOOK TO FARLEY AS IN ILLINOIS CAMP opens. Several days ago the Hornet forces reported from Springfield that Mr. Farley had told them he would come to Illinois some time after the convention in the role of peacemaker, if needed. 741111 CONGRESS IN 2D SESSION SPENDS OVER TEN BILLIONS BARE MILLIONS IN AAA CHECKS PAID PRODUCERS HICH COLIIMID OF DEMOCRATS IN PHILADELPIIIA ID.

June greatest spending body in modern history, the 74th congress now rushing to adjournment has passed appropriations of more than 10 billion 69 million dollars during the second session. The figures were given to the house today by Representative John Taber Rep. N. ranking minority member of the house appropriations committee. They were as follows: Big Payments to Sugar Firms, Report Shows.

Convention Crowd Peak Expected Tomorrow. One peace plan which some of the Democrats discussed yesterday con- cerned a theoretical program under which If Gov. Horner refrained from 1 Opposing the reelection of Mr. Nash i as national committeeman, Hornet might be made chairman of the Illi, i nois delegation. Differ All Along TAne.

As affairs stand, the Kelly-Nash! wing appears to have a majority ol, the 58 delegate votes on the mattet of electing a national committeeman Whether the Horner camp will pit a candidate against Nash is yet to ix determined. A contest appears quite likely ovet the position of Illinois member ot the convention resolutions committee The Kelly-Nash camp has been talking of Judge Norman Jones of th, Illinois Supreme court for the post 1 The other side has been advancing they name of Michael L. Igoe, United States district attorney, who played a prominent part in opening the fight for a dripping wet plank in the national platform four years ago at the Chi- i cago convention. 1 Washington, D. June showing the drastic tax increases corporations will have to pay under the conference report on President Roosevelt's reform proposals were submitted in a minority report by Senators David I.

Walsh Mass. and Walter F. George This table shows the present tax, the new tax, the increase, and the percentage of increase for corporations which find it necessary to build up their reserves and can make no distribution of dividends: Net Present Tax Under Income. Tax. New Bill.

Increase. Per et. 1,000 125 144.40 19.40 15.52 2,000 250 288.80 38.80 15.52 3,000 380 461.10 81.10 21.34 4,000 510 633.40 123.40 24.20 5,000 640 805.70 165.70 25.89 10,000 1,290 2,082.00 792.00 61.40 20,000 9,640 5,236.00 2,596.00 98.33 50,000 6,940 15,163.10 8,223.10 118.49 100,000 14,440 31,502.80 17,062.80 118.16 200,000 29,440 63,927.80 34,487.80 117.13 300,000 44,440 96,352.80 51,912.80 116.82 400.000 59,440 128.777.80 69,337.80 116.65 500,000 74,440 161,202.80 86,762.80 116.55 1,000,000 149,440 323,327.80 173.887.80 116.36 The following table shows the increased taxation for corporations which distribute 50 per cent of their earnings in dividends: Net Present Tax Under Income. Tax. New Bill Increase.

Per et, 10,000 1,290 1,353.60 63.60 4.93 90,000 9,640 3,160.80 520.80 19.73 50,000 6,940 9,519.40 2,579.40 37.17 100,000 14,440 20,302.00 5,862.00 40.60 300,000 44,440 63,052.00 18,612.00 41.88 400,000 59,440 84,427.00 24,987.00 42.04 500,000 74,440 105,802.00 31,362.00 42.13 1,000,000 149,440 212,677.00 63,237.00 42.32 yor Heads East and Horner Follows. (Picture on back page.) Whether harmony or hostility is to pervade the Illinois delegation to the Democratic national convention which opens'at Philadelphia on Tuesday was being widely discussed yesterday among Democratic chieftains. Mayor Kelly left yesterday, bound for Atlantic City for a brief visit before the convention. He is expected to hold conferences with National Committeeman Pat A. Nash on Sunday at Atlantic City.

Gov. Horner is to depart tomorrow afternoon on the convention special, which will carry both Kelly-Nash and Horner delegates, alternates, and friends. Farley May Make Peace. Conjectures among some of the local Democrats were that Postmaster General James A. Farley may seek to bring about peace between the rival Illinois groups before the convention 368,234,000 195,565,606 43,500,000 Continued from first pagea 2,934,751,000 110,460,195 626,546,533 First deficiency bill Agriculture District of Columbia Independent offices, including bonus payment In 'nor Legislative Navy State, justice, commerce and labor.

TreasuryPostoffice War Second delicieney, Including relief Permanent appropriations, including interest on debt, etc. 315,012,409 992,524,802 572,446,8 IL 2,675,397,538 Philadelphia, June The Democratic high command moved into Philadelphia today forecasting a serenely peaceful national convention, while thickening throngs in hotel lob. Ides told that the big party meeting was only a few days away. With a siren blowing motorcycle police escort leading the way James A. Farley, chairman of the national committee, drew up, to the Bellevue-Stratford, spent a few minutes joshing with newspaper correspondents, and then established himself in sumptuous headquarters.

W. Forbes Morgan, secretary of the national committee, arrived with the chairman and was located near by. Charles Michelson, chief of the national committee's publicity star, was located next door. New Deal headquarters were complete. Grand total $10,069.710,521 The 74th congress, in first session ended nearly a year ago, passed appropriations of $9,579,756,510.

age payments in the five states was about $100. $274,130 to California. In California, which also has never been considered a corn-hog state, nine more large operators got a total of $274,130, one operator, Fontana Farms Company, taking $155,575. In New Jersey the Jersey feed farms got $48,752. In the same state a contracting company, the Riddle Contracting Company, is listed as having received $14,720 for killing little pigs or plowing under corn land.

The highest tobacco check went to the American Sumatra Tobacco company, which got $41,454 under the 1934 program. The Clarence Le Bus estate in Kentucky got $19,976 in the same year. The biggest rice payment under the 1933 program went to the Louisiana Irrigation and Mill company at $73,659. A payment of $64,799 went to the Acadia Vermillion Rice Irrigation company. More than two dozen companies in Louisiana, Arkansas, California, and Texas got more than $10,000.

123 BILLS SENT TO ROOSEVELT FOR FINAL O. K. Has 10 Days to Decide After Congress Quits. TWO HELD THIRD SOUGHT IN $10 000 BOND FRAUD QUIZ The filing of a petition for a writ of habeas corpus before Chief Justice Denis J. Normoyle in Criminal court yesterday disclosed that the state's attorney's office has two men in custody and is seeking a third in an investigation of a forged bond fraud.

Meyer Goldstein, 40 years old, 4429 North Lawndale avenue, is the man for whom the writ was filed. It was made returnable today. First Assistant State's Attorney Wilbert F. Crowley admitted that Goldstein had been in custody for several days, but refused to disclose the identities of the second man held and the third sought. Goldstein, identified as the head of a wholesale tailoring company, was arrested when he offered as collateral for a $7,000 bank loan $10,000 in forged bonds of the American Telephone and Telegraph company, Crowley said.

Goldstein denied knowing the bonds were spurious, but is being held, Crowley said, because investigators are not satisfied with his stal ements. The second man in custody is reported to be an ex-bootlegger. IChiengo Tribune Press Service. Washington, D. June Roosevelt had before him today 123 bills passed by a congress speeding toward adjournment.

The great majority of the bills are unimportant relief measures. In the batch, however, is the 2 billion 400 million dollar deficiency bill which carries 1 billion 425 million dollars for continuance of WPA and the Robinson-Patman bill for the tightening of anti-trust laws which would bar unfair price discriminations through use of faked discounts and rebates. The bill is known as the anti-chain store bill. 1- 7' 747,7 -T Senators Bennett C. Clark Mo.

and Homer T. Bone his assistants in the filibuster, and the conservative Democrats are not expected to talk more than a few hours on the tax bill. However, there remains the threat of the filibuster on the Guffey coal bill. The Day's Activities. While the senate was waiting for a possible break in the filibuster, developments in the adjournment drive included: 1.

The house passed and sent to conference a modified version of the Copeland-'rugwell food and drug bill. The principal difference is that the senate measure gives Secretary of Agriculture Wallace dictatorial powers over the advertisment of foods, drugs, and cosmetics, while the house bill retains control of advertising in the federal trade commission. 2. The senate passed the new composite ship subsidy bill, providing for both construction and operating subsidies based upon the difference between costs at home and abroad. The house promptly refused to pass it as amended.

3. The house killed the Ramspeck bill designed to perpetuate the jobs of New Deal postmasters by blanketing them under the civil service. The measure died for lack of the necessary two-thirds vote under a suspension of the rules. House Passes NRA Bill. 4.

The house passed and sent to the White House the Walsh-Healy bill requiring NRA wage and hour standards on all government contracts. 5. The house passed and sent to the White House a senate bill prohibiting the transportation of strike breakers from state to state. 6. The senate adopted and sent to the White House a conference report on the George bill permitting PVVA low cost housing projects to pay 5 per cent of gross rent receipts in lieu of taxes.

7. The senate ratified a long pending treaty governing standards of safety at sea, after Senator Robert La Follette Radical, Wis. was satisfied that it in no way contravened the seamen's act. The ship subsidy bill. a composite sponsored by Senators Royal S.

Copeland N. Y.1, Ernest W. Gibson and Joseph F. Guffey differs substantially from the measure passed by the house last 3-ear, but that body was expected to concur without a conference. Word was received from the White House that no conference was desired.

Senator Hugo L. Black of Alabama, the New Deal's No. 1 inquisitor and mail contract wrecker, was leading the filibuster against the treasurypostolfice conference report, but his strategy was designed merely to delay action until the house accepted the senate amendments to the ship subsidy bill. This the house refused to do tonight by a 11S to 83 standing vote. The filibuster against the New Guffey-Vinson coal bill gave administration leaders far more concern, for Senator Borah of Idaho.

arch foe of price fixing and monopolies, said he would speak indebnitly." A unanimous consent request by Senator Matthew M. Neely W. Va. to call up the bill for consideration was blocked by his col. league, Senator Holt, who also declared that he Would filibuster the bill as long as he could stand on his feet.

Minority Rakes Measure. The conference report on the tax bill, which graduates the existing corporation income tax structure from 8 to 15 per cent and superimposes graduated undistributed earnings taxes reaching a maximum of 27 per cent, was severely indicted in a minority conference report hied by two Democratic senators, George and Walsh. The minority report says the conference report retains the entire plan of the house bill, which the senate finance committee rejected unanimously, and superimposes it upon the existing corporation income tax structure; that it is a merger of two bills which in tax theory are diametrically opposite. "It cannot be too often reiterated, nor too strongly emphasized, that the theory and concept e7 a tax on a sliding scale on undistributed corporate earnings is to penalize the accumulation of corporate surpluses and reserves," the report states. We submit that such a policy Is contrary to every dictate of prudence, contrary to every sound business principle, contrary to the experience of the past, inimical to the real welfare of the stockholders, and will tend to promote insecurity for the work Form "Stilts rurpose." In the report the large checks were given under states by crops and years.

Under the manner of presentation no effort was made to give the totals by crops and by years or even by states. At the AAA office it was said ambiguously that the form of presentation was not adopted because it was confusing, but because it suited their purposes. The report substantiated in every particular the charges made by Senator Vandenberg at the time he demanded support of his resolution. The senator first asked for a report on all payments above $10,000 and when he met with evasion, presented his resolution, which a adopted late in April after prolonged partisan debate when Wallace exerted every political effort to conceal the list. 0 0000 0 0 0 0 0000 0 0 SEIISAT on ,,.:1 0 ailor 111111iN, 0 0 4011 0 0 0 0 0 0- 0 '71 0 sb dlOPF 0 A till 1144 ,1 1111 it LIKE A ell.4,11-tirlori illk-iiilti, 1..:.1 1 1 --si 4' 1.tAik 1 i 7 4,1 Ill 6 iliW'30 '1, 01 .27 1 I 1 EILI 0 A 1100,1 4 5 l' 11 ir' 4 1: 1.4 1 (Ell 3,,,,,, tiitilA Miga i iLiiikl.

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,4.... kt ..4, 0 vi. wiml 0 vipt COMFORT 0 0 0 0 ID 4I) 0 tiA 0 0 1- c) 0 0 0 0 0 0 0 0 0 -0- 0 0 0 1 .0 6C DO- 011.iiiii1111111.41 19 1 tili .1 0 0 0 0 ,..,0 6 0 4 littiOraeiiliNgillial.11111:PIllil::::;N:- 0 0 0 0 0 0 6 0 0 0 giiiiiiii 0 s. 00 1.ilziejni.,,TiPli 0 6 iit Aglgillir0 GO 4 14ilpili.0:!;''' stNILtek NA.s 41:0.91 ACC 1 cti.6 0 11 tk At ers of industry. It is a spendthrift policy." Senator Arthur H.

Vandenberg speaking on the senate floor, denounced the tax measure as "the latest and the worst of the serial assaults that are being made on thrift and prudence, at a moment when these old fashioned 'horse and buggy' virtues are prerequisite to the restoration of the national character and equilibrium." "This is a blind and sinister speculation in the rights and resources of 125 million people," Senator Vandenberg added. Short and Heated Debate. The debate on the tax bill was acrimonious but short, since only one hour's discussion was allowed. Representative Allen T. Treadway Mass.

declared that not a single member of congress knew what was in the conference report and yet the members were being asked to vote on it. "The Democrats are more interested in preparing for their obituary services at the Philadelphia convention next week than they are in writing a tax bill," shouted Treadway. "There never was a tax bill prepared like this one in this country or any other." Representative Samuel B. Felten-gill Ind. asserted that under the bill corporations with $10,000 net income would pay 61 per cent higher taxes and concerns with $20,000 would pay 100 per cent more than under existing rates.

Dividends from Workers. "You are forcing I he little corporations to make distributions to their stockholders instead of their workers," declared Pettinglit. "At the same time you are asking business to put men back to work." The bill was described as a Hungarian goulash, a pot pourri" of surtaxes, normal taxes, excise taxes, and tarifs by Representative Frank Crowther N. Y.1. "This is the fifth tax bill under I his administration," said Crowther.

"Under the NRA bill there were taxes. Then the nuisance taxes were continued and the 3 cent postage stamp extended. In 1934 we had the so-called loophole tax, in 1935 the soak the rich' tax, and now in 1936 we have the a soak the corporation' tax. "You know these new taxes won't balance the budget, but you don't dare to go into this next campaign without making a political gesture." Farley in Blue Room. Punsters found material for obvious remarks when the breezily Optimistic Farley was established in the Blue room, and a troublesome political issue was translated into wisecracks when it was observed that the Gold room had been reserved for Michelson.

Downstairs and In other hotels the lobbies were beginning to teem with convention crowds, although the peak of the influx was not expected until Sunday. Delegates, newspaper men, and political camp followers stood in groups renewing old acquaintanceships, discussing campaign prospects, and worrying about tickets to the convention, an absorbing topic for all arrivals. Expect Smooth Sailing. Confident in their control of the situation, party leaders foresaw little difficulty in smoothly obtaining adoption of their program, calling first of all for the renomination of President Roosevelt and Vice President Garner, abrogation of the traditional two-thirds nominating rule, and the adoption of a New Deal platform. There were possibilities of a mild fight against dropping the two-thirds rule, emanating principally from the south, but party leaders counted an easy majority.

With the two-thirds rule another old standby, a rule under which some state delegations cast their votes as a unit, was expected ter go, attended by some objections. Senator Robert Wagner of New York, who will be the chairman of the platform committee, has been assembling suggestions for a week or more. Some thought a disagreement might develop over the monetary plank. Wagner was expected in town Sunday. Hall Is Completed.

At the convention hall a regiment of Philadelphia police was assembled receiving assignments for the convention. Engineers were busy adjusting the loud speaker system and painters were spreading gray-green and white paint upon the newly completed platform, stage boxes, and press work benches. A special police guard was established over the vital units of the speech amplification system to prevent tampering, playful or malicious. S. S.

Theodore Roosevelt to Start Trips Tomorrow The S. S. Theodore Roosevelt will open the excursion season tomorrow, beginning daily trips across Lake Michigan between Chicago, St. Joseph and South Haven. Sailing time from Chicago has been advanced from 10 to 9 a.

m. to allow for the stop at South Haven, which is to have lake service for the first time in several years. The ship will carry automobiles, and will make the crossing to St. Joseph in three and a half hours. Ten Days to Act.

The White House teemed with activity as the staf examined the bills and presented recommendations to the President. Mr. Roosevelt is expected to act on the bills before he goes to Philadelphia to accept the Democratic nomination in a speech June 27. He has ten days after adjournment of congress in which to sign or veto the bills. In the morning Mr.

Roosevelt had his semi-weekly press conference which consisted chiefly of negative answers to questions put to him. He cut his appointments down in order to devote himself to the work put befoie him by congress. Confers on Money Plank. In the afternoon he discussed the financial plank of the Democratic convention with Bernard Baruch, New York financier. Mr.

Baruch refused to say any more about his visit than that it embraced discussion of he wording of the Democratic money plank. He said he would not attend ti convention as he plans to leave fcr Europe June 24. "There is no news in my visit," he said, except my gout. I am going to Europe to attend to my BONUS CASH RUSH ENDS STATIONS CLOSE TONIGHT Nearly 60 per cent of the approximately 100,000 veterans in and Cicero who have received bonuses delivered by the Chicago post-office have certified their bonds for cashing, Postmaster Ernest J. Eructgen said yesterday.

The peak of the rush for certification has passed and the special certification stations established in armories and schools will be discontinued tonight, the postmaster said, as the regular postal stations can easily handle the remainder. Of the 103,034 bonus packages received here for veterans served by the Chicago postoffice, 96 per cent have been delivered. Hold Oak Park Program at Brookfield Zoo Today A special progam has been arranged at the Chicago Zoological park in Brookfield for Oak Park day, which will be observed today. The exercises will begin at 10 a. m.

and continue to 7 p. in. Prizes will be given to the oldest person, the youngest child, and the largest family attending. Dr. H.

J. Stewart is chairman of 1he Oak Park committee in charge of the arrangements. Loses His Life in Effort to Save Goat from Drowning 3 Held After Admitting Part in Fatal Car Crash Pekin, June Ralph Goar said today that three Peoria, young men confessed that they were riding in the ear which early last Sunday another automobile, causing an accident which resulted in the death of Mrs. Margaret Frederick, 39, of Peoria. Orlando Allen, 21, the driver, and his companions, Kenneth Painter, 23, and Leslie B.

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