The Weather Partly cloudy Wednesday, fol- lowed by rani at night; Thurs- day snow flurries. I99MlMmQm=-=f P- ----RENEW AL A Aw AV w A ArNff N A, at AIC PMROW ---Iw qw aiI Editorials False Prophets Hinder Con- structive A c t i o n; Spectator's Proposal To Abolish Fraterni- ties. VOL. XLIII No. 113 ANN ARBOR, MICHIGAN, WEDNESDAY, MARCH 8, 1933 PRICE FIVE CENTS Roosevelt BankPlan Is Devised State And Local Clearing Houses Authorized To Issue Scrip Certificates;} National Plan Possiblej Strong Banks May Open Immediately Congressional, L e a d e r s Promise Quick Action! On Relief Proposals Of President And Cabinet T ll.... L. Ti .. ".., ...-. Ti'..::. 7-I.. .. ' !Y1] C 6 e/" !1. l1 !\. Yle .Y1 flk 7rYe _ I "1 "'l 7 .r"'ti r r -YY' w _ _ i-priir 'atiur e r or,imii fJ.J00J rostponement tO(i Crisis "i t'(l I 'I ! l1't 1'Y1AP_ In Fraternities Issue Ready Full Amount Secured By Cash Deposits, Stocks, Government Bonds Meets Denied Yost Expects Swimming, Track, Wrestling Meets To Be Held This Week -/ end Sororities Averted By Re-Opening Of Trust Funds I Five Per Cent Draft Sloul Know Final 'Further Cut In Allowed Depositors Decision By Today Union Taproom Scrip Expected To Clarify Michigan Teams Ready To Prices Possible Difficulty; Comstock Go To Urbana And Usual Business Is Transacted B y University Merchants Will Continue Extension Of Credit To Those Houses 'Willing To Give Co-Operation' Attempt At Uniform G WASHINGTON, March 7.--(A')- The nation's banks were put on a re- stricted operating basis today to al- low the transaction of the normal functions' necessary to human exist- ence as President Roosevelt and his cabinet devised a plan to be made effective after the holiday. -Conditional authority also was granted for state and local clearing house associations to issue certifi- cates to be used as scrip during the period. This was made subject to sub- stitution of a national scrip plan. Keeping a close grip, meanwhile, on the nation's gold supply, President Roosevelt studied a system for com- plete opening in the near future of thestrong banks of the country and a gradual extension of the plan to other institutions that prove their sound- ness. . Leaders Promise Action Continued support for the Presi- dent in his emergency action was echoed from Capitol Hill where lead- ers. promised quick action on Thurs-j day for whatever he proposes. The drive in Congress for legislation guar- anteeing bank deposits to a degree gathered momentum. E Every emphasis was given in the day of bustling activity to making sure of relief for the people so far as protection of the gold supply from hoarders and foreign raiders wouldI permit. Institutions were open for limited business. Each institution may exercise its usual banking func- tions to such extent as the situation shall permit and as "shall be abso- lutely necessary to meet the needs of1 its community for food, medicine, other necessities of life, for the re- lief of distress, for the payment ofj usual salaries and wages, for neces- sary current expenditures, for the purpose of maintaining employment, and for other sinilar essential pur- poses." Roosevelt in Conference Remaining at his desk through the noon hour to eat his lunch, Mr.' Roosevelt went into a two-hour con- ference with his cabinet at 2 p. m. . I -AssocIated Press Photo Adolf Hitler, Nazi leader and chan- cellor of Germany, is confronted with a, (lark future, according to Prof.. James K. Pollock. Large minorities not in sympathy with the Hitler gov- ernment may prove an opposition of major importance, he believes. j Curtailment Of Senior Honors IS Considered Literary College Would Alter Award Methods; Committee Appointed Revision of the present method of graduating students with honors will shortly be under consideration by a committee of faculty members of the literary college, it was announced yesterday by Dean John R. Effinger. The dean was authorized, at the March meeting of the college faculty last Monday afternoon, to appoint such a committee. Under the present method, a student may be graduated with distinction or with high distinc- tion, on a basis of his general scho- lastic standing; or, on recommenda- tion of a given department, he may be awarded distinction in that de- partment. The proposed measure would eliminate the first two meth- ods in favor of the third. "It was thought," said Dean Ef- finger, "that we have gone beyond the stage where an, honor rating on the basis of high grades is of any value. Outstanding work in a given field of interest, it was believed, is more meritorious." The faculty also approved a plan proposed by the Committee of the University Council on Co-Operation with Educational Institutions, where- by the literary college will appoint three members of a University com- mittee which is to consider possible restatement of requirements for ad- mission to the University. The com- mittee will be further composed, if all schools and college approve the proj- Considers State Issue Chicago By Auto Cafeteria Will Continue To' Meet Any Drop In Food DETROIT, March 7.--(.P-Detroit Rumors that Western Conference Clearing House Association officials t r a c k, swimming, and wrestling Cposts With Reductions tonight announced that Detroit banks meets, scheduled for this week-end, will issue $26,000,000 in scrip by Mon- had been indefinitely postponed on Further food price reductions in day morning. The decision came fol- account of the financial situation, the Union taproom in addition to lowing an all-day session with bank were denied "with reservations" late those made recently are possible, ac- and civic leaders present. last night by Fielding H. Yost, di- cording to a statement made yester- Cash deposits or government bonds rector of athletics. day by Paul Buckley, manager of the will guarantee one-third of the scrip He said although he had looked for Union. issue, with the remaining two-thirds communications from Major J. J. Prices in the cafeteria have been secured by stocks listed on the New Griffiths, commissioner of conference cut several times since last Septem- York stock exchange. The issue rep- athletics, about this point, he had re- ber. Mr. Buckley said, the last reduc- resents five per cent of the profits in ceived none. However he added that tion taking effect March 1. If food! all Detroit banks at the time they today would be the logical time for prices go any lower the Union will closed on Feb. 11. such a communication and that he accomodate itself to the new stand- Following communication with Sec- would spend the whole day in his of- ardshstated. retary Woodin's office at Washington fice awaiting any message. bhe special dinners, which at the early this morning, Detroit banks "The question as to just how we are now 40; all pies, vegetables and continued to release five per cent will get together enough cash to take 1fruitsare now eight cents instead of depositors' account on demand, the swimming and track teams to f1 0; individu meats wee recentl as they had been doing prior to Sec- Chicago and the wrestling team to reduced three cents and other prices retary Woodin's rules announced un- Urbana had not been decided. We hae beere d nhprprint der President Roosevelt's proclama- will probably scrape up all the avail- these. d tion. able cash from the department and 'We are now operating right on Accord was reached upon the scrip as we are going to travel by auto, it the arn Frank euenzeghtman issue following a session of several will not take much," he added. ager of the taproom, said yesterday, hours. A group of civic leaders, head- As Michigan is favored to win both and we will not reduce food prices ed by Mayor Frank Murphy, was the swimming and track meets, a any further unless the cost goes I i s I I, 1, I, I' (1 I' l E I Operating Needs Insured Plan fails At Parley Indefinitely; Holiday Has Little Effect On Schools Chapters Slash Operating Expenses In Attempt. To Conditions of University finances, and regular transaction of University Conserve C a s h; Await business remained essentially un- ! Scri-) Deficits Reported changed yesterday, according to John C. Christensen, controller and assist- 3v THOMAS CONNELLAN ant secretary of the University. Fears of having to close board de- Mr. Christensen reiterated that the Fpartments in fraternity and sorority University will remain open and fol- houses were allayed yesterday sith low its curricular activities without the opening of "trust fund" accounts any change. "As a state institution," and the announcement that local he pointed out, "Michigan enjoys se- merchants would continue to extend curity from the ordinary pressure credit "if the houses were willing to which may be exerted by creditors co-operate." on small private businesses. There is Mi enough coal in the bins now to last o llars tied up by the second the University until July 1 and every dbanking holiday" had access to this other operating need is insured in- money yesterday as the banks opene definitely.''nthe trust funds, and other houses The cashier's office continued to is- thihtrustxfusadtherchuses sue checks during the early part of souiceshaderexhated their cash nre the bank holiday in payment of Uni- sore we versity bills and at present the only with local merchants. A meeting last night of representa- problem facing Cashier Harold A. tives from fraternities, sororities and Mills is the handling of these tem- ecat aldt rn ot porarily useless checks. The situa- merchants failed to bring forth a Lion is being slowly worked out how- uniform plan of extending credit, and r i called in to be advised as to the de- cision reached, and the public an- nouncement followed within a few minutes. In addition to the Mayor, Council- man Frank Couzens, Corporation Counsel Clarence E. Wilcox, William J. Norton, the Rev. Father E. J. Hickey and .Ralph C. Wilson. attend-. ed the brief joint session. The decision of the Clearing House Association was expected to clarify the banking situation considerably. It will provide a form of exchange which will take the place of checks in commercial transations. Detroiters have been accustomed to transact 90 per cent of their business by check. The issuance of State scrip may result from several meetings held in Lansing Tuesday. Decision as to such an issue rests with Gov. William A. Comstock, who returned from Wash- ington Tuesday. No progress in the attempt to ef- fect release of upstate banks' re- serve deposits in Detroit's national banks was made by Gov. Comstock during his visit to Washington. cancellation of the contests wouldi make a tremendous difference in the year's record. Nelson Kellogg, athletic director of Purdue, is the chairman of the com- mittee that would determine this matter. He has called a special meet- ing of the athletic directors of the Big Ten tjmneet .in Chicago Friday, but Mr. Yost said "he wil have to act quickly if we are to cancel the meets." Mr. Yost was unresponsive about the possibility of further curtailment of athletics by the athletic directors at their special meeting. "No one but Mr. Kellogg knows what topics are to be discussed," he said. Coach Yost denied that this com- mittee would lay further demands before the faculty meeting concern- ing post-season football games, as down, as this would necessitate a re- ever, and in most instances check duction in quality." holders have been asked to retain the paper until a definite and general ac- Diack Denied Right Lion can be taken. T p F 'University business, like that of To Run For Mavo' every institution in the nation, will be affected by the expected action City of the federal government and plans CiyAttorney Wa'illia n La4ird ea- _d te utrmsneesrlhig terday ruled that Archibald Diack, fthe future mus necessarily hinge '33M, who received one vote for the on that action, Mr. Christensen said. Socialist mayoral nomination, the . l only ballot cast on that ticket, could PossObility of Law not ben.Includedon the ballot for . the general election in April. He said CubClosing Denied that the law required a candidate to ; receive 15 per cent of the votes cast Current rumors that the Lawyers' for any office on his ticket in his Club is about to close are denied in a voting district, and that he must re- statement posted in the club lobby ceive at least 10 votes. by Prof. Grover C. Grismore of the In the sixth ward Republican con-Law School, director of the club. test for constable, none of the four La*col ietro h cu. recipients of votes qualified. It would Professor Grismore's statement is have been necessary for a candidate as follows:.j to receive about 35 votes to qualify. "It has come to our attention that F. J. Glen, tailor, received two and there are various rumors in circula- Edwin Smith, Prof. 0. J. Campbell tion that the Lawyers' Club or its of the English department and Glenn dining room is about to close. All Winters, '34, one each. There is, then, such rumors are wholly withoutt no Republican candidate for con- foundation. The Lawyers' Club has7 stable in the sixth ward. The vote no intention of closing any of its cast for Diack and for the constable departments. candidates will not be included in the "Neither is there any reason at '. i rnn' 1n ornruenAh fuuiec yi.. !'L Lt, preent to-ear-thtsuch. cours it was finally decided to let each house take up the problem with its creditors. Houses Cut Expenses amendments to the resolution that awaits the latter's May meeting. LeserParts in JiG*, Cast 1M d~ i ' ~ bK A I i i i i I l i Fraternities and sororities slashed operating expenses yesterday in or- der to conserve their cash surpluses to tide them over until the financial condition of the country is stablmzed, It was the general consensus of opin- ion among those present at the meet- ing that some form of scrip would be available to carry on business in Ann Arbor by the end of the week. Regular customers of independent grocery stores and meat markets were able to make purchases on a credit basis yesterday and from all indica- tions will be able to do so for the next three or four days, if they make some cash payments. Grocers said that although they were willing to carry charge accounts for houses which had been prompt in paying their bills, they would be forced to drop those which had been deliquent. Rumors that several houses had closed their board departments Were unsubstaniated late last night. It was the consensus of opinion among the merchants at the meeting that several of the weaker houses would be forced to close their doors. One House $7,000 in Debt One house was reported to be $7,- 000 in debt for house expenses alone, and plans were going forward last night among the merchants to call a meeting of representatives of the fraternities, the University, and mer- chants to investigate the financial standing of all houses. A local accountant also reported he had been forced tb stop handling the accounts of two fraternities, and said that he could see "no hope for them continuing." Gargoyle And Technic 1sme Call Fm-T rvnJIN There was no statement and no hint ect, of two members fror that there would be one before he gineering college, one from sends his message to Congress Thurs- cation school, one from the day noon. pharmacy, one from t The President linked his discus- school, and one from th s.ions today very closely with the gov- school. ernment reorganization program by The committee, said Dean which he intends to balance the bud- will consider either a simp get as a former bulwark to national ment of the entrance req credit. or actual changes. "These .Lewis Douglas, his director of the tatives," it was explained budget, was the luncheon hour visi- report back to their severa tor. He was preceded by Swagar inasmuch as each schoolc Sherley of Kentucky, with whom he with the approval of the has been working on the reorganiza- Regents, has the right to: tion setup. It was believed a tempo- its own entrance recuireme rary program was submitted by them. Late in the day, Frank F. Hines, di- rector of the veteran's administra- Sharfm an C tion, was called in. g uc i c111 1'Cil X 1 v LK 5report to be submitted by City Clerk presentoferhasuhacre n the en- Women Are AarrhedrForrFred Perry to the Common Council will be necessary. Members of the ithe edu- A call for try-outs for the Gargoyle I lmior'Roles In 'Love ;Thursday night, club may rest assured that before college of business staff was issued yesterday Tchg o m ay kind s re ade a he music by Charles M. Rush, '33, business On The Run' chanoesdTanetimeanym w are made, at e nursing manager. All freshmen who are _________n tie, bmoedthatite scholastically eligible are invited to Additional members of the cast, On IMarital Rxelationshipsspreading of all such unfounded ru- n Effinger, meet at 4 p. m. today in Room 100 besides those in leading roles of "Love I mors will cease, since they simpl le restate- of the Student Publications Build- on the Run," the 1934 musical revue. The second talk on marital rela- 'tend to create unnecessary unresi uirements, ing, Maynard Street, Rush said, have been announced by Russell Mc- tionships, scheduled for this evening, tend disconrentsa represen- Students in the Colleges of Engi- Cracken, of the Play Production has been cancelled due to the inabil- an iscontent." , "are to veering and Architecture who wish staff, director of this year's play. ity of the speaker to keep his ap-AT I faculties, to tryout for the Michigan Technic, Mary Ann Mathewson, Charlotte pointment, it was announced yes- RP SILENT ON CHARGES or college, official publication of the two col- Simpson, Elizabeth Griffith, Jacque- terday afternoon by the Student Prosecutor Albert J. Rapp, who re- Board of leges, will report at 7:30 p. m. today line Favran, .'Ruth Campbell and Christian Association, sponsor of the cently cleared Claramon M. Pray determine in Room 3046 East Engineering Jeanette Detwiler have been named series. The next talk will be given former county clerk, of the dishon- ants." Building.for the six major roles. Those to have March 17 by Dr. Howard Cummings, esty charges which were being circu- minor parts in the personnel of the local physician, on "The Physiologi- lated about him yesterday refused to show are as follows: Charlotte John- cal Aspects of Marriage." reveal the exact nature of the charge onfident Of Upturn son, Harriet Jennings and Alice Goodenow will be cast as the "De-j al Financial Situation pression Sisters," or the "ThreePollock Gravely Concerned Over I aeDorothy Ann Williams willO 1 play the part of Virginia, and Jose-~G rm n 11 1'utur Of GrmanUnder Na'zis seem, the economic rehabilitation and business phine Woodhans, the part of Sue. OtheF tnre Ger nt acuterecovery.Others in the cast are Katherine e e e ;t e e Y .t 7, In Nation Several houses demanded cash for .one week in advance from their mem- bers for badhls claiming it was the only possible way they could con- tinue. Others were urging the mem-" bers to pay as much as they could. on their house-bills and in that way keep their credit good. Housebill items--room rent, dues, meals. taxes- wrya#-. -t4,... -' Local Banks To Await Federal Action On Scrip Banking officials in Ann Arbor have discussed the possibilities of issuing local scrip, but intend to wait and see what the federal government does before printing the new currency, C., J. Walz, president of the Ann Arbor Clearing House Association, said last night.1 While waiting for governmental ac- tion, the local banks will continue under the same plan in effect for over a week, he said. People will be allowed to withdraw five per cent of their total accounts and to write checks on their "trust funds." Mr. Walz said he believed federal scrip was preferable to anything printed locally, for the federal cur-; rency could be exchanged between nfim ie nal sri ' se would ba e "Paradoxical as it may I banking outlook. in the nre stage of the emergency, is more promising of orderly and equitable and constructive developments than, at any time since the processes of demoralization set in," said Prof. I. L. Sharfman of the economics depart- ment in a statement issued yester- day. "There can be no denying that the situation is critical," the economist stated," and there can be no denying that it will exert most far-reachingt effects upon our credit structure and' economic life. But the sources of re- assurance are potent and numerous. The bewilderment of the past sev- eral weeks has given way to resolute -fnnrr ho rnnf>',, of nr.- f ,n' n 'The-immediate need is for the re- MacGregor as Kate, Emily Campbell establishment of a medium of ex- as Joan, Lillian Dietrick as Marge, change, so that commercial and in- Ruth Latchaw as Tom, Betty Lyons dustrial enterprise may resume its as Dave, Lucille Lucas as Alan, Betty functioning; and those in authority Bergener as Jim, Else Sparre as Dick, are straining every nerve to provide Myrtle Cooper as Spike, and Eliza- such a medium with the utmost beto as Jer ty s promptness, designed as far as pos- Additional roles are the "Dolly Sis-3 sible to be free of the artificial bar- ters," Jean Henning and Katherine riers to trade which would spring { MacGregor; "Finklebein," Marion from lack of parity between the cer- Foley; "Billy Divine," Mary Fitzpat- tificates of a variety of issuing units. I rick, "Madame Galli-West," Margaret There is every reason to believe that Beckett;Porter, Jean Van Cleaf; such action will be taken by Congress Landlady, Mary McCarthy; Landlord, as soon as it convenes. Mary Monks; Headwaiter, Barbara! "More permanently, it will be Rose; "Kathie," Helen Gray; "Franz," necessary to establish a strong na- Lucille Lucas; Cabaret Singer, Geor- tional banking system, probably with gia Giesman; and Russian girl, some sort of deposit guarantee and Esther Kouchnerkavich. --h - - .. f. ~.,IThe nersonnel of all dancing and By C. hART SCHAAF 1 Grave concern as to both the do- mestic and international future of Germany was expressed yesterday by1 James K. Pollock of the political science department. Professor Pollock bases his anxiety on the fact that I even though a majority of Germans indicated theii' approval of the HitlerJ aaai, , u- were cuG to a niini- inet," he said, "and since 44 per cent mum in number of houses yesterday. of the vote was cast by this party, Many houses cut their board bills 10 Hitler may well be expected to see to 20 per cent until the situation the fact reflected in the membership clears up. of the governing group." The chain stores continued to ac- Such additional Nazis, Professor cept cash sales only, according to re- Pollock said, could not replace the ports late yesterday afternoon. As present nationalist members, Hugen- soon as some form of scrip is put berg, Von Papen, Seldte, Von Neu- into use, however, it is believed that rath and Von Krosigk, since Hitler they will return to their former sys- has promised President Lindenberg tern of charging to fraternities aJnd that he will retain these men, sororities. Complete Transition ___r__tes government in last Sunday's elec-I tions, there is still a very large and] powerful minority utterly irreconcil- able to it. . Professor Pollock termed Hitler's I The other victory of the Nazis Sun- victory Sunday "smashing," pointing i day, in Prussia, where they were out that it will continue the Hitler elected to 204 of the 530 seats in the cabinet in power indefinitely, and I Prussian Landtag, was commented on said that if the Communists are ex- by Professor Pollock as of equal sig- cluded from the Reichstag, the Nazis nificance with the all-G e r m a n Scout Aquinto Decoratedi For Rescuing Two Boys Boy Scouts from Washtenaw and Livingston counties assembled at St.