RECOVERY CODES

Greymouth Evening Star, 16 October 1933, Page 5

RECOVERY CODES

OPPOSITION DEVELOPING.

[by CABLE-PRESS ASSN. —COPYRIGHT.]

WASHINGTON, October 13.

Mr Johnson, head of the National Recovery Act Administration, in a press interview to-day, admitted that the N.R.A. was faced with a serious enforcement problem. As regards the recalling of the Blue Eagle emblems from the alleged Code violators, he I referred to the right of the President to take such steps under the Agreements signed, but he admitted that he did not know if such action could be enforced in the courts. He deprecated the possibility that those losing the emblems, with their names published, might have grounds for a libel suit against the Government, and he indicated that more withdrawals of the emblems would follow proper complaints. Meanwhile, according to reports from New Rochelle, New York, from one who has lost his blue eagle has reported that increased business resulted. The proprietors of a beauty saloon there were asked to give up their blue eagle on charges of paying their employees less than the minimum wage specified in the Code. They did so, after which their business was immediately stimulated. They announced that they would cut prices, wages, and would hire more operators in direct contradiction of the N.R.A. policy. Mr Johnston, to-day, indicated that the Administration considers the dispute at the captive coal mines to be closed. He declared that the executives’ acceptance of the check off was satisfactory, and those miners still refusing to return to work would be considered as Code violators.

HOLLYWOOD SALARIES.

WASHINGTON, October 14.

Under Presidential influence, a provision was written into the revised Motion Picture Code, late on Friday, I by Sol Rosenblatt, a N.R.A. Deputy Administrator, calling for the assessment of fines up to ten thousand dollars against producers found to have hired talent at unreasonably high salaries. This revision followed the disclosure that White House is opposed to the payment to film people of salaries five or six times as large as the President’s salary. As originally proposed, this code contained nothing which could be interpreted as an attempt to fix a minimum. It did, however, provide for checks on competitive bidding for stars’ services, a practice that is generally held accountable for the size of some of the Hollywood salaries. The purpose of the new provision is described as intended “to avoid the payment of sums unreasonably in excess of the fair value of personal service, which results in unfair and destructive competition.”

MEDICAL CODE.

CHICAGO, October 13

At the annual Convocation, ceremonies of the College of Surgeons to-night, Dr. Allan was among the four receiving an honorary fellowship; 622 ordinary fellowships were conferred, which included Dr. Thomas D. Stout, of Wellington. Other honorary fellowships were conferred on the Surgeon-Generals of the American Army and Navy, and Professor Beckwith, of White House. Tho University of Birmingham, in a survey presented to the College, showed annual losses to industry through accidents and disease, and outlined a “medical code” presented to the N.R.A. for tho consideration of such conditions. It was estimated fhaf-five billion dollars was the annual cost of death duties and injuries in the nation’s industries, and it was estimated that, at least, a billion could be saved annually through an effective health and safety programme.

BANKER EVADES TAX.

WASHINGTON, October 13

Mr James Forrestall, in the DillonRead Company, told the Senate to-day that he paid no income tax in 1929 on 864,000 dollars slock profit, by means of setting up with his wife a personal company in Canada. The -tax, he declared, xvould have been 95,000 dollars. However, it. was disclosed that the banker this year paid 6000 dollars tax on the Canadian company, after, re'cent disclosures before the Committee concerning the incomes of other bankers.

It was also revealed to-day that a 300,000 dollars loan, only half of which bad been repaid, was made to Director Couch of the Reconstruction Finance Corporation by the Dillon Reed firm in 1928.

DOLLAR VALUE.

WASHINGTON, October 15

The Government’s re-financing programme, regarding the calling of part of the Fourth Liberty Loan, raised'the dollar to-day to an indicated gold value of 69.13 cents. Sterling broke 137.8 cents down to 4.53 i, with the •result that American domestic security and commodity prices came sharply down.

NEW YORK, October 15.

An Associated Press copyrighted despatch from Washington states; — It was learned, to-night, that a high authority of the Government considers prices are not yet high enough to warrant stabilisation of the dollar, and' “it xvould be absurd to attempt in the present circumstances to stabilise the dollar against foreign exchange.” The correspondent adds: The President plans to provide dollars of constant purchasing power, but this must await a higher price level.

AVAR DEBT NEGOTIATIONS

WASHINGTON, October 14

The Anglo-American war debt negotiations on Friday reached the stage of discussion of the methods of solving the intricate problem. In a txvo hours’ session, many avenues of approach were scrutinised, so the officials said, but everything was very tentative. The British delegates, it was added, have not yet made a formal proposal for a settlement. The next meeting will he held on Tuesday.