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The Carolina
A newspaper devoted to the upbuilding of rowan roi intv ureater Salisbury
PRICE 2 CENTS.
Washington—J-he outlook foi
adjournment of Congress befor<
June 1 gets slimmer and slimmer,
The main thing that is going tc
eat up time is working out a new
tax bill. That a very large amount
of additional tax revenues must be
found somewhere, and that quickly,
is now regretfully admitted by
members of Congress. At any
time the problem of taxation is a
delicate one. Important new tax
systems have to be discussed and
considered from many angles be
sides the question of whether they
will raise the money needed.
That sort of discussion has al
ready begun in regard to President
Roosevelt’s proposal to levy a tax
upon the undisturbed surplus of
corporations. That would mean
that liquid funds in corporate
treasuries, which are being held as
reserves, either against a falling off
in business or to finance improve
ments and extensions as business
picks up, would be drawn upon as
a new source of revenue.
The President’s proposal is to
abolish the existing taxes on cor
porate incomes, excess profits and
gapital stock, which now produce
a revenue of about $1,000,000 a
year, and instead, levy a tax which
is estimated at about one-third of
their total on the corporate reserves.
This, the Treasury figures, would
amount to about $1,600,000, thus
increasing the Government’s income
by $600,000,000.
VIEWING NEW TAX PLAN
The question of how the Presi
dent’s plan would work out is what
is puzzling members of Congress.
First, would it cropple corporations
which have accumulated large sur
pluses? Second, would it result in
an immediate distribution of large
proportions of those surpluses in the
form of dividends to stockholders,
and so reduce the total to a point
where the expected tax revenue
would not be forthcoming?
It is pointed out on one hand
that these surpluses are the property
of the stockholders and ought to be
distributed to them in the form of
dividends. If they were done, they
would be taxable as individual in
comes.
vJn tne other hand, the argument i
is set up that only the existence of
large undistributed surpluses has
enabled many industries to carry j
on, to keep their plant equipment
up-to-date, continue to employ la- 1
bor, and pay dividends to stock- ‘
holders during even the depths of 1
the depression, when they were ac- ^
tually runing at a loss. 'How far
can that protective reserve be
drawn upon without incurring the ]
risk of serious damage to industries
and increasing unemployment?
These are serious questions, and
are being taken seriously by the
members of both Houses.
LOOKING AHEAD
The best guess now is that the |
President’s plan will not be adopted;
in its entirety, mainly because there
is not time between now and the
political conventions to examine all
of its implications. There prob
ably will be some experimental
tax on undistributed surpluses, but
existing corporation taxes are not
likely to be repealed, although they
(Continued on page Four)
Farmers Urged
To File Cotton
Applications
D. H. Sutton, county agent, has
asked that all farmers of Rowan
county who are growers of cotton
to bring their cotton sales certifi
cates to his office, if they have not
already done so.
The county agent has received
instructions to complete his work
on cotton price adjustment and
farmers should file application for
the 12 cent cotton guarantee by
the government at once.
The application is to assure the
farmer tha1 when he sells his cotton
he will receive 12 cents for it and
there is no obligation attached as
to any reduction of acreage, it is
stated.
The government will pay the dif
ference, if any, on the price the
farmer receives on the day he
makes his sale and the 12 cent
price v^ill be determined by the av
erage of southern spot markets on
that particular day.
I -— —— ■ .-- - ■ « . «■
S^j Chances
Are Excellent
CandidateforDemocratic
Nomination for Gov
ernor Believes He
Will Be Named
Washington—With his candida
cy for the Democratic nomination
for Governor of North Carolina
now fairly well before the people
of the State, Clyde R. Hoey, dis
tinguished .Shelby lawyer, said
that he would bevm a vigorous
campaign April 1, and thereafter
speak almost daily over the State
until the primary June 6
Mr. Hoey came to Washington
to remain two days urging a Recon
struction Finance loan for a group
of cotton mills in Gaston county
now in the hands of a receiver, but
which are slowly getting on their
financial feet.
"I feel very well satisfied as to
my campaign, and believe that I
will be nominated,” said Mr. Hoey
who is opposed for the honor by
John McRae, of Charlotte, R. W.
McDonald and A. H. Graham.
"Should the Legislature of the
State be called to act so that the
State may avail itself of the bene
fits of the social security act, and
to aid tobacco growers?” Mr. Hoey
was asked.
I have made myself plain in re
gard to a session of the Legisla
ture,” responded Mr. Hoey in his
careful may of stating a proposi
tion. "On every occasion, I have
said that if the persons who are re
sponsible and have the matter in
hand feel that it would be to the
j advantage of the State for a special
I session of the Legislature to be.
held, it should convene. I have a
deep interest in the agricultural in
dustry of our State, and hope that
producers of tobacco, cotton and
other products will be given every
advantage that is possible under
the law. If a special session of the
Legislature would help the situa
tion, it should be held. The in
terests of all industries should be
taken into account and the greatest
good to the largest number should
be the controlling element in the
situation.
i am aeepiy interested in tne
application of the social security
law. I want the aged of our State
and others who would be benefitted
to receive their quota under this
great and beneficent law, and I
hope that should those in authority
in our State feel some steps
should be taken that they will act
as soon as they deem it advisable.”
Asked as to repeal of the sales
tax in the State, Mr. Hoey reiter
ated his previously announced
view that the tax should be elimi
nated as to food and clothing, and
on all other items as soon as the fin
ancial condition of the State will
permit.
In regard to the prohibition is
sue, Mr. Hoey said little was be
ing said thus far in the campaign
in regard to the liquor question.
One of the questions to be voted
on in the next elction in North
Carolina is an amendment to the
constitution permitting the Legisla
ture, if it deems such advisable, to .
increase the corporation tax. The
legal limit is now six per cent. Mr.
Hoey said that he was favorable to
the amendment, and would make a
public announcement In regard to
it later, but at present he preferred
to reserve comment. As to coun
ties he would carry in the western
section of the State, Mr. Hoey said
he was confident that he would
carry 48 out of the 5 0 in that sec
tion in the primary, and that he
I would more than break even in tne
eastern part.
Dunn Not To
Seek Re-election
J. Allan Dunn, local attorney
and Rowan’s senator in the last
General Assembly, has announced
that he will not be a candidate to
1 succeed himself due to the press of
private business.
Plans For
County Fair
Under Way
Agricultural Products tc
Be Given Special
Attention
BIG PREMIUM LIST
The Rowan county fair has been
leased for five years to Norman
Chambliss, of Rocky Mount, who
spent Monday in the city inter
viewing interested persons and
those who might help him and his
partner, Mr. Geo. Hamid of New
York City, in the Fair here.
Mr. Chambliss has had a wide
experience managing fairs; the last
three years he has operated the State
Fair at Raleigh.
The Rowan fair has been an
nounced to open on the afternoon
of October 26, of this year with
the World of Mirth shows, which
play at the North Carolina and Vir
ginia State fairs, as the midway at
traction.
D. H. Sutton, county agent, and
Miss Mary Parrish, home demon
stration agent, have conferred with
Mr. Chambliss and are cooperating.
It is expected that the fair will
be exceptionally interesting and
helpful, it has been stated.
Through the support of county
Supt. S. G. Hasty, the vocational
agriculture and home economic
teachers and pupils, the fair prom
ises to have a large display of pro
ducts from the farmers and their
families.
Mr. Chambliss has indicated that
;3,000 in premiums for exhibits .
vill be given. An abundant dis
ilay is desired and special attention
vill be given to farm and home
roducts.
IFC Loan Will Speed
liquidation Of Bank
Raleigh—Gurney P. Hood, State
iank examiner, Tuesday anounced
he RFC has agreed to lend $2,
;00,000 to be used in speeding the
iquidation of the defunct North
Carolina Bank and Trust company.
Hood said "a substantial divi
lend” will be paid to the deposi
ts and other creditors as soon as
jossible.
As there are pending in the Su
preme Court several cases involv
ng claims against the North Caro
ina bank, it was indicated it might
De sometime before the dividend
:ould be paid.
* * «■ a- s:- * *
* EVERYTHING USED *
* FOR BOOKMARKS *
* _ >*
Clinton, Mass.—What does *
* Mr. and Mrs. Public use for *
* bookmarks? *
* The staff of the Bigelow *
* Free Public Library here have *
* a collection. These include:
* Hairpins, boby pins, elastic *
* bands, orange manicure sticks, *
* small combs, matches, razor *
* blades, clippings from maga- *
* zines and newspapers.
* * * * ■?: * * * *
| ST. LOUIS . . . C. R. Reed
(above), Superintendent of Min*
neapolis, Minn., schools, is a
staunch advocate of night schools
for adults, like those in his city
lafbere 9.000 adults are enrolled.
| Navy Investigates
niMiir ..
Hauptmann Clings
To Reprieve Hope
With Staunch Faith
Bruno Richard Hauptmann
clings to faith that he will escape
the electric chair despite the fact
that the date set for his execution
is now less than three weeks distant.
Hauptmann told his wife, Anna, of
his steadfast hope and confidence
upon the occasion of a visit to him
within the past few days.
Hauptmann, convicted of the
Lindbergh baby kidnap-murder, is
under sentence to die the week of
March 30, and will probably be
executed the niglht of Tuesday,!
March 31.
Gov. Harold G. Hoffman, who1
granted a 30-day reprieve on Jan
uary 16, 29 hours before Haupt
mann was to go to his death, said
be would not sign a new reprieve,
ind that Hauptmann’s only chance!
jf sidesteping his fate at the end
jf the month lay in the discovery
>f new evidence.
Even in that case, the governor,
said, he has no legal power to do'
anything, beyond suggesting to At-j
torney General David T. Wilentz
and defense attorneys that theyj
ask; Suepreme Court Justice, to
stay execution.
'___!
Dry Body Sues
To Get $1,000
i
- . !
Gastonia.—The United Dry
Forces of Gaston county have filed
suit here against John A. Wilkins
and R. B. Babington, Jr., executors1
of the estate of the late E. G.
McLurd, to collect $1,000 they
claim was left to the dry cause in
the McLurd will. j
McLurd, prominent Gastonia |
business man who died in Novem
ber, 1933, was an ardent prohibi
tionist and left provision in his
will for a fund of $1,000 for any
organization fdrmed to promote
prohibition enforcement in Gaston
county, the United Drys claim in
their complaint.
The United Dry Forces claim
that all indebtedness of the estate
has been paid off with the excecp
tion of certain listed exceptions,
and that the executors have notified
them they are preparing to close
settlement of the estate.
Peanut In Lungs
Causes Death Of
Young Child
Greensboro—A jieanut that lodg
ed in the lungs of Gerald Stone
Newman recently caused his death
in a local hospital Wednesday
night.
The boy, 22 months of age,
swallowed the peanut and after it
lodged in his lungs an abscess
formed in his lungs. He coughed
and the peanut moved to his wind
pipe, impending respiration to
such an extent to prove fatal.
No man likes to have a woman
buy his neckties. Hie can pick fun
nier ones himself.
Snow Impedes
Traffic In WNC
Flood Menace Arises In
East, Meanwhile, As
Rivers Absorb
Melting Ice
Mountain counties of western
North Carolina spent Wednesday
snowbound as highway department
, crews struggled to open roads
clogged by a 12 to 18-inch fall.
"Every road west of the Blue
Ridge,” was the way the State
Highway department listed the
roads blocked. Officials expected
however, to have main highways in
the vicinity of Asheville opened by
Thursday, but said another day
would be required to open those in
the Boone section.
While the West dug out from
under its snow which marooned be
tween 300 and 400 school children,
stranded motorists on the roads and
damaged communication and power
lines, a flood menace arose in the
East.
Advisory warning that the Roa
noke, Neuse, Tar and Cape Fear
rivers would leave their banks
were issued by the U. S. weather
bureau at Raleigh. j
Extra equipment was sent to the
mountain counties by the State |
Highway department to help in'
clearing roads. The highway work-'
ers were handicapped by having
no machinery designed to handle
deep snows and in some places the (
snow had drifted to a depth of 10
feet or more on the roads.
With all highway traffic para- ,
lyzed by the blizzard which swept ]
the western part of jthe State Tues- j
lay, many communities went with- ,
jut mail. Dairymen could not ,
reach towns to make milk deliver
ies and those without fuel could
get none.
Classes were suspended at Lees-;
McRae college at Banner Elk be-;j
tause of a coal shortage which pre-! ^
vented heating of classrooms.
Scores of automobiles were aban- i
doned on roads as their drivers took ,
shelter in homes and hotels during^
the blizzard. Twenty-five cars
were reported stuck in the snow (
over the eight-mile stretch between
Banner Elk and Elk Park, alone. 1
Despite the conditions, no ex- •
posure deaths were reported.
Reports of children snowbound i
included 48 brought to the court-!
house at Asheville after their bus'
became stalled, 70 in the Valley:
Springs school, 60 in Arden negro|
school, 60 in Fletcher school, andj
30 in the Avery county school near
Newlands. Four buses carrying 100j
children stalled in Madison county |
and the children were taken into:
homes in Marshall.
Won’t Have To
‘Plow Under’
20-Pig Litter
Bluefield, W. V.—A. C. Lock
hart, a farmer of Bishop, Va., al
most swooned when he went to the
barnyard and found a litter of 20
pigs
Recovering his equilibrium, he
proceeded to the nearest telephone
and called the Bluefield Sunset
News, 3 0 miles away, to ask if "the
AAA will do anything to me.”
■He was assured of his immunity,
whereupon he observed:
"Well, these are such fine little
fellers I sure would hate to plow
’em under.”
Bull Born In Antarctic
To Greet Byrd
Winston-Salem—"Iceberg,in
ternationally famous Guernsey bull,
born in Little America, will greet
Admiral Richard E. Byrd when he
arrives here to deliver an address
Friday.
Manager Pyron of Klondike farm
will bring "Iceberg” here Friday
to join Winston-Salem in welcom
ing Admiral Byrd.
E. C. Gregory
Candiate For
State Senate
E. C. Gregory, Sr., has announced
that he will be a cand'dase in the
June primary for the Democratic
nomination from Rowan for state
senator since J. Allen Dunn has
definitely announced that he will
not be in the race due to other du
ties and responsibilities.
Mr. Gregory is reported as hav
ing assured Mr. Dunn of his sup
port should he be a candidate, but
since he isn’t, Mr. Gregory has said
that he will appreciate the support
of his friends for this office.
Plan One Head
For Defenses
Washington—A move began in
the Senate to co-ordinate the three
branches of United States armed
forces—Army, Navy and Air fcrce
—under one head to be known as a
secretary of National Defense.
Senator William D. King (Demo
:rat) of Utah said he would seek
:arly consideration of his bill set
ring up a co-ordinator for Amer
ca’s fighting forces. King said un
ler his plan the existing depart
nents would be run by assistant
ecretaries under head of the sec
etary. There would be added a
Department of Air which would
lave complete control over all avia
ion activities of the Federal Gov
rnment.
PLAN 'CAMPAIGN CLASSES’
Washington—A weekly "cam-'
laign class for the wives of Demo-j
ratic senators and representatives
ras the outcome of a meeting ad
Iressed by Mrs. Franklin D. Roose
velt. Lesson 1 will be held next
donday morning at 10 o’clock, its
opic as given by Louise Lazell,
eacher: "The new farm act andj
he background of all the little!
>igs.” !
[o Write Series
Weeky Articles
For Watchman}
- i
DR. GAITHER CAUBLE
Dr. Gaither Cauble, Chiroprac
tor who is located in Salisbury has
agreed to write a series of articles
concerning the control of health
and beauty, for this paper and the
first of these series are appearing on
page five of this issue. We urge
our readers to give especial atten
tion to these heelpful suggestions,
and to write Dr. Cauble at any
time, and as often as you so desire,
concerning any questions that you
might wish him^tj answer. These
answers will appear each week in
this paper. Your cooperation will
be appreciated by both Dr. Cauble
and The Watchman, and the ser
vice is free to anyone so desiring
to avail themselves of this oppor
tunity.
I For Governor
! Hon. Clyde R. Hoey
Hoey Campaign
Managers For
County Named
T. Kern Carlton and Nelson
Woodson, young lawyers of this
city, have been selected as campaign
managers of Rowan county for
Clyde R. Hoey, who is one of the
candidates for the nomination of
governor.
Mr. Carlton began his practice
at law about eight years ago and
Mr. Woodson was admitted to the
bar in 1932. Both young men are
successful and popular and is is be
lieved that a wise choice of mana
gers for Hoey has been made.
Briefs About Floods
Total dead in six states—3 9.
Pennsylvania—At elast 30 dead.
In the west, Pittsburgh inundated,
fires, explosions and power failure
add to terror, troops on guard;
Johnstown flooded, five dead, 10,-j
500 flee, but dam holds. In the
cast, death and devastation, with
Susquehanna crest due soon.
Massachusetts—Communications
and transportation disrupted; Bos-J
con faces milk shortage, Worcester
» power failure. One death added
to 15 of last week.
Vermont—Four dead, power
Jams threatened.
Maine — Governor estimates
Jamsge at $10,000,000; one dead.
Connecticut—Three dams col
lapse, 200 homeless; dozen build
ings swept away at New Hart
ford.
New Hampshire—Dam swept
away at Claremont, transportation
crippled.
New York—About 2,000 home-j
less, many communities isolated,1
power lines down, highway traf-j
fic paralyzed, 13 5,000 WPA work-j
ers mobilized.
West Virginia — Downtown :
Wheeling and other cities flooded,
rivers still rise; 100 families flee
Moundsville.
Maryland—One dead, Cumber
land streets flooded, damage more
than $1,000,000.
Virginia—Two drowned, Shen
andoah valley damaged by wind.
Georgia —Two killed in wind
storm.
North Carolina—Hundred^ of
school children marooned by snow
drifts.
[ Now Judge Bok
r——*~i
mBkmmm
PHILADELPHIA . . . Above la
Curtis Bok, eon of the late famous
publisher, who has just been sworn
in as judge of the Orphans Court
here.