MAXIM8 ' ’ ‘or -A MERE MAN -———n-:- meeyefosedlufi. ngpsif-bell b tbesmblunel . a-udlu Fouled III! I £:E:4'r'uown outline I've onus Danni CHARLOTTETOWN, CANADA, SATURDAY, MAY 2, 1936 11; Budgets For Still Army Encounters Obstacles En route To Adan Ababa Retreating" Ethiopians Leave Roads In Almost Impassable Condition—Celebrations Start Throughout Italy. (A. P. By Guardian's Special Wire) _ ROME, May 1—While unexpected difficulties retarded the Italian army's descent upon Addis Ababa, pent-up Fascist eagerness to celebrate the war’s climax tonight burst its bounds. The conviction that a dramatic climax of the war had arrived was particularly widespread in northern Italy. In Turin, Milan and Genoa shops were closed, flags were raised from every staff and spontaneous celebrations were conducted by crowds gathered in the streets. Authoritative sources strove to check the advance’ celebrations, suggesting it might be “seven or eight days” before Marshal Pietro Badogiio’s columns enter the cap- ital of Emperor lialle Selassie. Meanwhile,’ in Ethiopia, Badoglio’s men encountered unexpected obstacles as they sweated and strained to pro- duce the occasion the home population anticipated. As a motorized column approached Addis Ababa its progress was retarded by great holes blasted in the road by the retreating Ethiopians. OMING EVENTS "will be collecting eggs for sea- Icn beginning May (iii. E. Living- stone. L-Mil-5-2-di. "Concert, Dance. Pie Social in whim Road Hall, Tuesday, May sth. L-M10-0-2-ll. ""ummage sale. St. James Hall. Saturday, May 2nd, 8.80 p.m. A L-4330‘ "Concert and Minstrel Show in Tyronne Kali. May 0th. L-4187-5-2-2i. “Wo-He-Io Cake sale Saturday. May 9th at Moore at McLeod's. L-4287. “Don‘t bake for Sunday, remem- ber C. W. L. Pantry sale Moore at McLeod's Saturday, May and. L-4398-5-2-ll. "Remember Protestant Orphan- eiie cake sale at Rogers Hardware today. L-4424 "Dance in Emerald Hall Monday, May 4th. Music by George Chap- Peli and Orchestra. L-4400-5-2-4. "The Clyde River 8. M. B. will present their Pageant and Concert. sunday evening, May aid. s oclock. Silver collection. I.-1201-4-30-5-2. “Come and enjoy yourself at the I one—art plays in Tryone l-fall, ‘Illa-sday. May sin. L-M18-5-2-ii. “Rummage Sale Saturday May 2nd at 6 P. M. Trinity Social Hall lA3Tl—5-I-2i "Dance Lorne Valley Hall Wed- Mlllay May 6th. Webster's music. Admission 250. L4l"I0-I-1-Ii "Four Act Play "Happy valley" Grand View Hell. Monday. May 0th. Admission B00 and loo. Special. between sets. L-4403-B-2-ii. "C. W. 1.. Entertainment and Dance Websters Comer Hell, Mon- llly evening, May 4th. Orchestra music. 1.-«oz-5-2-ii. "Gvll service Examinations. liieciai course by mail. lpeelman examinations. Write Prln. Moran, "Mon Commercial oollsge. ii-«oi-5-2-ll. "Mr. Gordon Ohowan has our- Ohased the Mill Property at Clyde Ver and will be open for business days a week starting May and. Io-“(fl-Ii-2-li. "Ni Oanodisn Northern cu-own Clover gm; “KM tea. wmiso a tide. mllllli. mail». the but oh- 1.-{I'll-I-I-Ii. " an iron. mm mm -..“"*-'..'.Z%.v M TREES I-‘ILLID Trees had been felled across the way and greet avalanches of stone and dirt blasted from bordering mountains added to the _difficulties, Engineering detachment. called up to clear the road labored night and day, while eager troops fretted and fumed at the realization their advance was behind schedule. Although an official communique placed the position of the main column yesterday loo kilometres (62.6 miles) from the capital, news- papers had headlines: “Our troops tits at the gates of Addie Ababs." An advance patrol is preceding the main column. CAPITAL DESERTED ADDIB ABABA, May l—Emperor Halle Selassie today ordered sold- iers to the north to meet the in- vading Italians. 'l‘he Negus called upon every able-bodied citizen to take up arms and Join the regular troops tomorrow in a defence of the capital. This army will be led by ltas Getachou, governor of Katie. and Gofa provinces. Emperor Hsile Selassie told his soldiers to carry enough food to last them for five days. He userted Ethiopia has only made a "strategic retreat" and the war is far from over. This capital is virtually deserted except for a large force of police delegate‘ to maintain order. Thousands of natives have fled and most foreigners have sought rofugo in the various legations. Reappearance of the ruler here disclosed that he has not shaved his beard (as Italian reports said). EFFECT OF SANCTIONB GENEVA, May i—'I'hat sanctions are continuing to hit Italy was shown tonight by new figures is- sued by the League of Nations. Exports from Italy and Italian colonies fell in February. -1980 to 06,737,100 from 016.330.1900 in Feb- ruary, l93b. Imports into Italy from 43 countries for the same period fell to 010,757,200 from 82l,0'll,”0. WAINB BRITAIN ROME. my l—A warning to Great Britain (Rut "closing of the Suez Canal would lead to certain war" with Italy was sounded to- night by Virginia Cisyds. editor of Glennie d'ItIlls. “This war! which Italy in tag (continued on me i0) "Oioein Route. nos Decherty willinekefirst trill outline New hum, Owe mm, oornwsll. York Point, Route, Monday, idly eth. until further onsrnsriu. min-I-l-I "The semi-ennusi meeting of the sun: Producers and Vendors Anor- ltgilii laiill be held in u.tl’10s::l‘l:t\ll; t ‘hinder '- 1- :."::.*-.......~- *- W- " ' ° 3 1.-«oi-‘I-2-ii. one trip weekly notice. llgndd Central BEINGBALANCEU $100,000,000 “Over-all Deficit” Anticipated By Finance Minis- ter. , - (C. P. By Guardian's lal Wire) OTTAWA, May l.——F nee Min- ister Durming today brought down in I packed House of Commons his second budget, exactly six years If- ter he presented his first. It was 3 diflerent kind of budget from Mr. ‘nun '. first one. six years of hard times lay between them, and the Minister presented a depression balance sheet in can- trust to one produced in the com- paratively opulent times of low. Crowds converged on the Parlia- ment Hill an hour before the Home opened. They included industrial- ists, financiers, bankers, big busi- nessmen wnntlng to know how they would be treated and right down the scale to men who haven't had a Job in years-—men who deal in mil- lions and men who rattle copper! In their pockets. Drawn a-I if by 3 lllfllnel. ll|E|1|' hers were in their seats early with an air of subdued xciterneut about them. The coolest man in the House seemed to be the Finance Minister who has been some with- out sleep for days. Not in recent years has there been s budget presented with less ad- vance speculation. Representatives of foreign nations occupied special seats in the galler- ies with the American and British ministers particularly on their toes to learn how their countries would be aflected. The House assembled at 3 p. m. The galleries were jammed. Pour provincial premiers w:' : in the audience: Premier Hepburn of Ontario, Premier Bracken of Man- itoba. Premier Patterson of Sask- atchewan and Premier Pattulio of British Columbia. Impressive Deficit O'I'I‘AWA, May l.—in announcing tax changes and financial prospects for the present year in his budget speech today, Finance Minister Dun- ning said: "I have already announced that the over-all deficit for the last fiscal year is estimated at $162,031,000. The size of that deficit cannot fail to have impressed the House. its seriousness is enhanced by the fact that it is but the latest in a series of deficits which have averaged over $138,000,000 per year during the i (G. P. by Guardian’: Special Wire) HALIFAX, May i—-Dr. D. E. Robertson of Toronto, rapidly re- covering from the effects of im- prisonment in the Moose River gold mine, left hospital here to- day and moved to a hotel under care of a nurse. Alfred Bckddlng, his companion for to days under- ground, remained in hospital for iurther treatment of "trench feet." ALVIN NARPIS SURRENDERS TU F EUERAL M EN Public Enemy No. One Captured In N e w Orleans Apartment. (By Ed Desobry) (Associated Press Staff Writer) (A.P. By Guardian’; Spoclnl Wine) NEW YORK, May l—Notorious Alvin Karpis, public enemy no. one of the United states, was captured tonight at the entrance of a down- town apartment building without the firing of a shot. The Montreal-born Lithuanian- his right name was Raymond Kar- pavicz-—snd two companions were surrounded by a heavily-armed squad of between 15 and 20 offi- cers led by J. Edgar Hoover, chief of the Federal Bureau of Invmti- gaticn. Hopelessly outnumbered the three made no more to escape or reach for guns. Ksrpis, under indictment in the kidnapping of William A. Iiamm. Jr.. wealthy St. Paul. Minn., brew- er, and Edward George Brewer, al- so of St. Paul, was taken into cus- tody along with Fred Hunter, 37, suspect in the $34,000 Cvarretsville, Ohio, mail robbery. and a woman who name was not revealed. . The three were captured as they; emerged from it canal street apart- ‘ ment building. _ "The were in an apartment on the first floor of the building and were leaving the house to en.er an automobile when the agents sur- rounded them," Hoover said. “The agents called upon them to surrender and they‘ were taken without the firing of a shot." The arrests climaxed three years’ search, from coast to coast and even to Cuba, for Kn:-pis. The coup was effected so smoothly and past six depression years. “The magnitude of these deficits. (Continued on Page 10) Sir Edward Beatty lie-elected President (C_ P. By Guardian's Special Wire) ‘ MONTREAL. Mly 1—Ei: Edward Beatty today was ro-elected PIGS‘ ident of the Boy scouts Association of Canada at the annual meeting here. Lord Tweedsmuir is the CW9‘ Scout. Among the provincial presidents and commissioners re-elected were .1. J‘. Morris and J. o. Hyndman of chulotutuwn; A. O. Moavity and W. W. White of Saint John; W. O. Niokereon and w. E. Tibbs. Halifax- slfFlTil*s MANINJURE YESTERDAY uoboneld. Mt. nape former, was seriously lniured 1°!- terdsy when his clothing become entangled in the apeedlns "V-Wheel of 3 ‘nouns engine while he nu only it. McDonald VI! whirled around several times before the machine was brought to s owl). Ifebonsld was wbrlrinii It “'0 farm of in-. Idlirdock Mound. Ub- ton, when the accident occurred. Be um trgatqf by 1 st. Peter‘! physic- fan who found he had suffered sev- ere bruises but no bones were .I"°“‘ quietly that only persons nearby were aware of the federal agents‘ fatest success. _ Witncses said that when the three left the house, agents armed with sawed-off shotguns and other weapons stepped to the sidewalk and crisply commanded them to surrender. when the desperadoes made no more they were grabbed and rushed from the scene. °' "°’ ‘_°‘Ti'“ ‘”"' AGRICULTURAL IMPLEMENT DUTIES BIT Last Reduction Was Followed By In- creased List Prices. (0. r. by Gun-at-nu "- ‘ ' Win) orrraws, my 1—Bea1nnlns tomorrow Canadian duties on farm implements coming from the United States will be 7 1-3 DOT esnt under provisions of the bud- get. The present rate is 12 1-2 D9? cent. It was reduced from 25 Del‘ cent by the Canada.-United some ta-sde lusty which came into ef- fect Jan. 1. Keen expectancy was manifest- by membom of Parliament from agricultural constituencies as to the effect of the cut on the prices of farm implements to the Genui- ian farmers. In January when the tariff was reduced from 39 D01’ cent to 12 1-2 per cent the unple- ment msnufsctuiors in Otmdl increased their list prices. The action caused considerable debate in the Commons, the west- ern members particularly express- ,,,_____ _ - «- BUDGET FALLSinr. nonertson‘BUUNTERVAIL-‘Tax HR mm" M: Leaves_ll_ospltal ; NGLHHTESON iastiqnunes Potato Tariff Revision Made Necessary By U. S. Trade Agree- ment. The reason for reverting to the countervailing duties first imposed in his last budget in 1930 on cut flowers, potatoes and eggs was thus explained by Finance Minister Dunning in his Budget speech: “The late administration in wip- lug out in Sept, 1930, the counter- vailing provisions of the May bud- get did not provide, under the in- termediate tariff. a duty in line with the general tariff on eggs and failed to provide any duty what- soever on potatoes or cut flowers. "The weakness of Canada's bar- gaining position in respect, of these commodities became speedily ap- parent in the Washington nego- 16 By Income Taxes to eight per cent, corporation per cent, and 17 per cent on than $100,000,000." tiatlons." said Mr. Dunning. "So much so that this government de- ‘ clined to bind these items at the existing intermediate rate, thus giving clear indication that it might, at the first opportunity. see fit to recommend to Parliament a revision of these ratings. "In so recommending today, may I make clear that our attitude can- tinues to be that of 1930; we do not desire or intend to raise tar. iffs; we do by the countervailing duties invite other countries to l7:lng their tariffs down to the level of ours . . . “Regarding today's tariff propos- als. may I say that these are formulated on the principle that the most enduring kind of progress is orderly progress-and that ap- luonuilued on Page 10) Excise taxes on automobile: are at a. flat rate of 171,6 per cent, this Duty on farm implements from May 2. ~ The duty on gasoline is reduced cents in effect immediately prior to returning from abroad may bring home, free of tax, personal goods! up to $100 in value, providing they have been 48 hours or more absent from Canada and that such ex- emption shall be given not more often than one in each four month period. Reduction is made in respect to 104 items of the customs schedule (‘High-Low” B u d g e t Highlights (C. P. By Guardian's Special Wire) OTTAWA, May l.-Finance Min- ister Dunning presented a high-low budget to Parliament to.‘.ay—hlgh taxes and low tariffs. Following are the highlights in the tax and tariff changes: Deficit for the current fiscal year to be less than $100,000,000 compar- ed with $lii2.000,000 in the last year. . . . . sales tax increased to eight per cent from six per cent and corpor- ation income tax rate increased to 15 per cent to bring added revenue of $29,000,000. . . . . Three year exemption from cor- poration income tax of any metgin. ferous mine coming into production between now and Jan. 1, 1040. . . . . Drop of ill cents a gallon in gas- oline duty. Automobiles are affected in two ways. tariffs and excise. Cars valued at $050 or less will be free from ex- cise but above that figure will be taxed five per cent on the value in excess of 8030 with no tax exceeding 0250. This impost apblies to both Canadian-made and imported cars. In addition, manufacturers are giv- en a duty rebate on machinery and are exempted, under certain condi- tions. from special tire taxes. I e 0 Materials used in manufacture _of binding twins and fishing mpg ex- (Continued on Page 10) Call Tax Plan An “Outrage” (A. P. By WABHIN 0III'dlen’I Special Wire) OTON, May 1.-Sports- men for business laid down a bar- rage against the administration tax bill before the United States Senate financial oomn-ilt‘se today, while, backstage, the committees experts sought means of raising $337,000,000 additional revenue. Witnesses representing the New York Board of Trade and the Phil- adelphia Chamber of Commerce condemned as unsound and as “an outrage" the administration plan for rains oorporations according to and there are increases in respect to 12 items. BUDGET CHANGES Following is an unofficial sum- mary of the budget. changes: Income Tax: Corporation income tax is being increased from 13% per cent. to 15 per cent and on con- solidated returns from 15 per cent to 17 per cent. No change is being made in the individual income tax schedule. Provision is made to exempt from corporation income tax for a period of three years any metalllferous mine coming into production be- tween now and 1940, The rate of interest on unpaid instalments of income tax is re- duced from six per cent to five per cent, with a reduction from four pcr cent to three per cent in the penalty rate. Payment of the gift tax will in future be required annually instead of at the time of the gift. Also gifts Mor_e_ Levies “Lower Tariffs, Higher Taxes” I Is Keynote Of May Day Budget. (C. I’. By Guardian’s Special Wire) 3 OTTAWA, May 1—Increasing the sales tax from six‘ turns, to produce estimated increased revenue of $29,000,- 000, Finance Minister Dunning in his Budget speech today forecast a total deficit in the current fiscal year of “less per cent, regardless of content, of value in excess of $650 but the tax per automobile may not exceed $250. when imported from United States or other intermediate tariff country 225/; and 30 per cent according to value. 12‘/. per cent to 795 per cent. Before the Canada-United Staios agree- ment came into operation Jan. 1 the duty was 25 per cent. It was then out to 12'»; per cent and the new rate of ‘W. per cent becomes effective The budget provides that tourists I. MERE MAN WedonotsouiuelaI'00l°0P°"' ersseppropeisteit. OIA ——:¢-v PAGES 3! Also Increased. income taxes from 13V; to 15 consolidated income tax re- replaced by I flat rate levy of five All automobiles are made dutiable replacing the present duty of 17%. the United States is reduced from to one cent per gallon from the 2% presentation of the budget, up to $1,000 annually to any one person will be exempt from tax. Investment holding companies wholly owned by non-residents will be taxed at one-half the ordinary corporation rate. The dividends of these companies in future shall be exempt from the five per cent tax on dividends going to non-residents. It is estimated the above changes will produce $6,000,000 additional revenue. SALES TAX The rate of sales tax is increased from six per cent to eight per cent. The following are added to the schedule of exemptions: Certain materials consumed in the process of manufacture commonly known as “consumable materials" but not including lubricating or fuel oils or plant equipment; printing paper and ink used in magazines and periodicals; crushed stone and crushed gravel used in the build- ing or maintenance of provincial. county and township roads; liver extract for use in treatment of anaemia; educational films; hand- made drawlngs and designs for use in a number of manufacturing in- dustries. These changes are estimated to produce $23,000,000 additional rov- cnue. (Continued on Page 15) (C.P. By Guardian's Special Wire) Workers called for peace and condemned war in May Day cele- brations yesterday characterized by parading and speech-making, but there was practically no violence. The day passed quietly in Can- ada. At Toronto, Tom Mann. Bliz- lsli Labor leader, Tim Buck, Com- munist, and James Simpson, vice- president of the Trades and Labor Congress of Canada, rode together in a. parade that converged before the Ontario Legislative buildings for a mass meeting that ended abruptly when labor demonstratons battled with students carrying swastika banners. At Halifax demonstrators were locked out of the Labor Temple. In London a force of 300 police- men watched thousands of workers march in Hyde Park carrying red banners. Celebrations in United States centred in New York, where Oom- munistg and Socialists joined for- ces with trade lmions and other organisations in I. mess demonstn- tion. Police estimated the number of persons in the parade consider- ably below the 200,000 promised. In Germany, millions of Nerds rallied around May Poles and praised the country's change from strikes and rlotg, before Hitler to e "workers' holiday." They enjoyed free beer and sausage: at employ- ers’ expense. 3 (Continued on rose 10) how much of their earnings were turned into surplus. . An niversary Salewilontin May Day Celebrated By Parades Ed Speech-making Italy's Fascists. keyed up to a high pitch of excitement, awaited the call to an “Adunata," or mass mobilization, expected tomornow announcing the fall of Addis Ababa. In Spain, aside from the killing of an alleged Fascist ac Seville and ‘he arrest of a number of Fascists in Barcelona, there was tranquility throughout the country. In Austria and southeast Europe elaborate police precautions, includ- ing the detention of known agita- tors, sssured a quiet observance of the festival. soviet Russia's celebrations cent- red in Red Square, Moscow, where Joseph Stalin reviewed a monster parade of the mechanized Red army. In Bulgaria three were killed in a clash at Dulbolrl between demon- strators and police. All was quiet in Greece except for a 24 hour strike in Athens by streetcar men. Belgium saw labor parades in the chief cities but there were no in- cidents. France was quiet. .A few minor scuffies in provin- An-nu Blbserlntlou neunmi MM flail Canada and I7. I. A. EIJIIIELEF { Increased $29,000,000 Under King Government Budget Sales Tax Boost-ed_To 8 Per Cent; Corporation And Consolidated TARIFFUNANITET EFFECTIVE AS FRUM MAY2 (C. P. by Guardian's Special Wire) OTTAWA, May I-—A1l changes in the customs traiff, schedule an- nounced in today's budget become effective as from May 2. I936. and ‘y to good imported or taken out of warehouse for consumption on and after that date and to 3! '1 previously imported for which no entry for consumption had been made before May 2. The same applies to the excise not and special war revenue act ch nges. Changes in the taxation regulations under the special in- come war tax act will become ei- fectlve as from Jan. 1. What They Mean (c. r. by Guardian's speeiu Wire)‘ OTTAWA, May l-—1"ollowing is an explanation of the headings. “general,” “intermediate.” 8-M1 "preferentlal,” in the Canadlln customs tariff: The general tariff rates 319 those applied to goods crislnallnfl in countries which have no trad- ing arrangemeut with Canada. and are the highest rates. Intermed- iate rate; are accorded 00003110! under trading agreements and 81'! accorded countries with which. Canada. has "most favored nation treaties." of which there are now about 28. The Bntish preferential rates are those accorded British: cctntries under agreements, lat-I est of which were signed at the Ottawa Imperial Economic Con- ference in 1932. For Budget particulars see pages 5 and 10. further »- -—-v¢....L,... CONSIDER ‘THE Suselzuolaa Button IT'S SMALL our IT caames A Luau OF RESPO'NS|B\\.\‘\'Y (C. 1'. By Guardian's Special Wire) TORONTO, May l—M1nimmn and maximum temperatures: so Dawson so Aklavik 2 :5 Edmonton 42 -lo Resins as 34 Toronto so 35 Ottawa 33 72 Montreal 43 74 Quebec 42 72 Saint John 40 so Halifax ed ,_ ea Charlottetown 46 ea Maritime West: Moderate winds; fair and mild; probably more un- settled by Bunday. High tide this morning at 7.47 and tonight at 0.12, Sun sets this evening at 7.06 and clsl Polish towns were reported when police prevented Communists from Joining May Day parades of legal unions. A farmer was killed in the village of Osalj. smith Yugoslavia, by po- lice shots when Peasants stormed s gendarfnerie pu=t in the unsuccess- ful efrort to release 15 companions arrested in a political riot. rises tomorrow morning at 4.40. Full moon Wednesday, May 0, ll.0i am. Bumme side utes later than Charlottetown. [Ill CAI FERRY I:-one unnlen p.40 A. ll. (Exam) . loan 1' rinentlno (lair-) II A. II. 2.55 P. I. Dally except sunagy. _ use All Day Saturda tide eighteen min- '