A Paper with a Prestige of a Half Century. A County, Not a Com munity Paper. ESTABLISHED SEPTEMBER 19, 1878 DIRECTORS SUED FORj^MILUON Receiver of Alamance Insur ance and Real Estate Com pany Charges Directors with Paying out Money Illegally ! as Dividends The following article from Satur day’s Greensboro News gives an ac count of proceedings taken by the receiver of the Alamance Insurance and Real Estate Company to recoup for the creditors of the company money which the receiver declares to have been illegally paid out in dividends to the stockholders, when the company was already practically insolvent. The company was headed by Mr. W. E. Sharpe, who is well known in this county. Also it is assumable that quite a number of Chatham citizens are creditors of the company through the purchase of its bonds. Says The News: • “An action against the directors of the Alamance Insurance and Real Estate Company and its subsidiary, alleging mismanagement and fraud on the part of the operators of these corporations and involving more than a quarter of a million dollars was brought by John M. Coble, receiver of the company, on behalf of all the creditors yesterday in middle district federal court, The defendants are: W. E. Sharpe, John M. Fix, C. V. Sharpe, J. C. Staley, John B. Cheek, S. G. Moore, James N. Williamson, Jr., and Mrs. Maude Holt, administrator of the es tate of W, K. Holt* . n of the corporation permitted dividends to be paid dur ing years when they knew or ought to have known that the company was insolvent, the receiver claims. A re cent audit of the books of the cor poration show that a total of sllß,- 573 was paid in dividends during (the years 1923-28 none of which, the receiver says, should have been paid which materially damaged the claims of other creditors to whom the Ala- Qiance Insurance and Real Estate pwed far in excess of $118,573. - „ This dividend item paid out should $3 an obligation resting oii the di rectors, the plaintiff says. The records of the corporation from 1923 to 1928 are grossly inac curate arid defective in that they do not show the true state of affairs of the corporation. The plaintiff lists a large number of alleged inaccuracies and says that there are far more than he had listed. Included among them are the following: that mis cellaneous accounts of $175,955 shown by an audit to be due were not listed, in the repdrt of the secre tary at all; that the secretary failed to report at one time $552,781 in bonds outstanding. An actual deficit in December 1926 of $110,795 existed when the report of the secretary showed the company to be solvent; the total liabilities of the company, shown by the audit amount to $2,- 275,852 instead of $406,656 as shown in the report made public. The directors either had knowledge of this or could have known it. They failed to have an audit made of their books as should have been done, it is charged. They permitted W. E. Sharpe to practically run the affairs of the corporation, it is claimed, much to the detriment of the claims of the creditors. Mr. Sharpe, acting by the authority of his board of directors issued sec ond mortgages as first mortgages, is sued duplicate bonds on the same property; encumbered land far in ex cess of the value thereof. As an ex ample of the kind of thing that was practised, the plaintiff sets forth the Cameron park incident. He charges that on February 1, 1928, the Na tional Real Estate Company issued bonds in the amount of $12,500,000 on Cameron park in Raleigh and that in October of the same year issued an additional $11,000,000 in bonds alleging that both were first mortgage Sj bonds. The sum of these two was ''' far in - excess of even a speculative value, of :the property, it is charged. The plaintiff further charges that the officers of the company, with the silent consent of the board of direc tors, given either wilfully or negli gently, misappropriated $99,013 paid into the company to be applied on bonds and which were never applied that way. This-item of nearly SIOO,OOO is the second thing that the receiver asks the directors to make good in full. In addition the plaintiff asks for an accounting. The complaint voluminous to the extent of 37 pages has been in course °f preparation for some time under the direction of King, Sapp and King, sf Greensboro,'John S. Thomas, and E. S. W. Dameron, the latter two from Burlington, all of whom repre sent the receiver.” ~ Singular. “We have the safest railway in the world where I come from. A collision on our line is impossible.” , How do you make * that out?” "Why, we’ve only got one train.” Pioneer. Tne Chatham Record Hoover States Take Official Note of Tea Legislatures in Texas and Florida, two of the southern states that last year deserted the democratic party and cast their electoral votes for a republican president, have adopted resolutions condemning Mrs. Hoover’s action in entertaining a negro woman at a White House tea. An anti-Smith democratic rally planned for Roanoke, Va., has “blown-up” because of that tea, and because of the further fact that DePriest, negro congressman and husband of the woman entertained, came to Roanoke and made a speech praising the anti- Smith’s and all others who bolted the party last fall. CULBERSON CUED FOR GALLANTRY Chatham Man Maintained Laison Between Elements of Command Through Showers of Shot and Shell John L. CuU&tftQdfr, of Bynum, who served overseas in the World Was Ss a corporal in Company “H”, 322nd Iftfantry, ha% just been notified that he will bft fcited in War Department General Orders, for gallantry in gctiog. jyjth the following citation? “John L. Culberson (Army serial No. 1865255), formerly corporal, Company H, 322nd Infantry, 81st Division, American Expeditionary Forces. For gallantry in action east of Verdun, France, November 10, 1918. Acting as runner between his Company Command and the two front line platoons, Cpl. Culber son passed through areas swept by enemy machine-gun and artillery fire, and by his disregard for his own personal safety was able to keep up liaison between elements of the com- J’o ££ceive a citation from the War Department for gallantry in action j£_no small honor; and this sitation entitles Corporal Culberson to wear one silver citation star on the ribbon of his Victory medal, and the War Department has directed that such a star be issued to him. Mr. Culberson is a member of Jfes Pittsboro Post of the American Legion, Chatham Post No, 57 and this Post, together with the assistance of Congressman E. W. Pou, helped Mr. Culberson to get this citation at this time. Poe Reunion to Be Gum Springs, July 4 9— The following letter has been j sent out over the signature of Brt : Clarence Poe to descendants of the original Jesse Poe who settled in this , county: “You are cordially and urgently invited to attend the 1929 annual Pbe family reunion, at Gum Springs Bap tist church, 5 miles south of Pitts boro, and on the highway between Moncure and Pittsboro, at 10 a. m., , July 4, and bring dinner. \ This is a reunion of all the de scendants of the original Jesse Poe who came to Chatham county from Culpepper county, Virginia, about 1780, arid of his sons —Gilbert, Bev erley, James, Jesse, Joseph, Hasten, and Willis; and of his daughter, Lucy, first wife of Jordan Tysor. All relatives of the family by marriage are also invited. 1. Reminiscences of Hasten Poe and his descendants and the early history of the Poes, Pattersons and Hackneys in Chatham as shown by old court records will be the subject of the main address by Rev. Dr. Elias Dodson Poe, of Roanoke, Va., and of introductory remarks by C. C. Poe, presiding. 2. Following is the program in detail: 10:00 -Introductory, Horton Poe. 10:30-11:00 —Songs and invoca tion, led by Rev. W. D. Poe, Oxford, N. C. 11:00—Address, Rer. E- D. Poe, Th.D., Roanoke, Va. 12:00—Election of committees and other plans for 1930 reunion,, selec tion of place, etc. 12:30—Dinner. 2:00 p. m.—r-Footrace, sackrace, horse shoe pitching, checkers, mar bles, etc. 3. A $5 gold piece will go as prize to the person who brings and exhibits the most interesting collec tion of old relics, papers, or docu ments that were once owned by old members of the Poe family or fam ilies into which they have intermar ried, or the most interesting written story, item, or reminiscence of old times in which Poes participated. Please come. Please bring dinner. Please bring all interesting stories or items or reminiscences of family his tory you can collect. Please bring, any old relics or documents you know of. (These of course can be , carried back home after you exhibit them.) Please bring a nomination; for next year’s reunion program. i ' TT Twin propellers for airplanes are expected to add power and make , ] steadier flying. PITTSBORO, N. C., CHATHAM COUNTY, THURSDAY, JUNE 20, 1929 SEES LITTLE HOPE I OF FARM RELIEF Editor Bion Butler of Aber deen Pilot Takes Gloomy View of Future of Farming The following article from The Aberdeen Pilot, presumably from the hand of Bion Butler, indicates that the farmer’s plight is too serious to be relieved by any legislative enact ment. With the farmer’s income only a third that of the average of other people, full relief is truly hopeless, but a little help often means the dif ference between sinking and swim ming. But Congress has refused to throw the farmers even the debenture straw. Yet the farmers are not on starvation row. The injustice is that others get too much. It is not a fair division. The Pilot article fol lows : “Possibly Congress may legislate something that will bring farm re lief, but this is suggested merely on the claim of some folks that the day of miracles has not passed. At the last census the Government reported the value of all farm property in the United States as of seventy-eight biL lion dollars. The total value of creßS reported for a recent year was twelve billion dollars. In other gordia erty of dollars produces a return of twelve dollars. This must include interest, taxes, costs of pro duction, depreciation and everything else. As the farm may expect to pay interest and taxes of about seven or eight per cent that takes nearly half of the income, and the balance goes to the farmer for his costs of opera tion and living and wages. There are in the United States over six million farms,. _Thes£ farms pro duce twelve billions of farm stuff of all sorts, or $2,000 on the average to the farm. With interest, taxes and depreciation taken out of this, it is apparent fctfW much the average larmer has to maintain himself. TheSS figures are from the Federal census reports 4.nd are the highest authority onthe subjeetr-.Allow six per cent for the investment, and two qbUara on the hundred for taxes arid preciation, but nothing for repairs 6t extensions, the farmer has on the average throughout the United States about $1,120 a year, and from this he mnst pay his hands, his cost of opera tion, including fertilizers, seed, ma chinery bought and all that sort of stuff. He must pay the gasoline bill for his tractor, his oil, his blacksmith bills, feed and supplies, and every thing that calls for money. And this situation is what the farm relief schemes proposes to re lieve. If anybody believes legislation ; can accomplish much in this direction jhe is a hopeful man. The five hundred ’ffltsllion dollars proposed to be provid ed 1 - by congress to relieve the farmers woutid mean about eight dollars for .each farmer if divided outright dir ectly and in cash, or less than one more' boll of cotton. The annual value of manufactured products' in the United States total about sixty billion dollars, and the products of mines five billion more, or together five and a half times as much as the products of the farms. Forests, fisheries and other agencies add to this total. The thirty million people on the farms get twelve mil lions, while three times as many not on farms get practically six times as much. To equalize the farm income with the income of those not on farms would require about twelve billion dollars a year for the farms, and probably the only way for the farmer to get much relief is to go out to the factory and work there where incomes are twice the income of the farms, to say nothing of the expenses the farmer has to pay to carry on. That is the only farm re lief scheme that will work.” m; .5 zoneob.l $ *************** * * * Kimbolton News * * * *************** Mr. and Mrs. Charlie Webster of Rocky River community spent Sun day with Mr. and Mrs. A. V. Fer guson. Henry Hackney and Dorothy Hack ner of Charlotte and Mrs. Sara JTane Hackney of Ramseur were Sunday visitors here. Mrs. Mittie Russell and Sara- Brewer are spending awhile in Greensboro. Mrs. Sam Hancock and children of Swepsonville are spending the week with Mrs. Brooks McNath. Mr. and Mrs. Jeter Jenks of Pitts boro spent the week-end with Mrs. Claude Pickard. Ossie and Mozelle Brown of San ford spent last week with Joyce Perry. Mr. and Mrs. Lawrence McManes3 of Bear Creek spent Sunday with Mr. and Mrs. A. V. Ferguson. Miss Ina Gilmore of Greensboro spent Sunday with Mrs. C. M. : Pickard. Mr. W. T. Johnson of Pittsboro !was here on a business trip Monday, s He used to be the famous mail carrier jon the Durham-Pittsboro-Siler City star route. FOUNDATION WORK FOR BIG BUILDING Block of Buildings to be Erect ed Next to Farrell Building; To Provide Store Rooms, Of fices, Movie Theatre The outline of the Geddie Fields block of brick buildings to be erected next to Farrell Building here in Pittsboro has been made, and pre liminary work to the foundation lay ing has started. The building is to be even greater than formerly de scribed if the purchase of the small lot adjoining can be purchased, as the prospects are at this writing that it can be. With this sixteen-foot lot the front will be 54 set, while the rear will be the same. Without the , purchase of the small shallow lot, the front will be 54 feet* While ths i rear. The movie theatre will fee la tfie . rear of the stores and approached - through a hallway between the store i rooms. The whole depth of the build l ing will be 184 feet, which carries . it much beyond the rear of any other . building on that side 0 f Main street, j The building will be erected under ► the suprevislon of the owner, €gddlg Fields of Chapel Hill. It | {the expectation to complete the build ing in ninety days. ... DUKE FUNDS FOR i SANFORD HOSPITAL $62,500 Offered to Lee County on Condition of Matching With Similar Sum for Erec tion of Hospital at Sanford. The following (Slipnirig from fcho Sanford Express should be ©f consi derable interest to Chatham Cdunty. Lee and Chatham have co-operated in various enterprises, bridges particu ■ and in trtal£. Ts titers is no getting a hospital for Pitts boro tfcif &9tififcy should co-operate with Le€ §ei whatever advan tages the f)ultd funds give to indi gent patients. If Chatham folks ex pect equal favors they should share expenses. Money could scarcely be better spent. The article follows:’ “J. U. Gunter, chairman of the? Board of County Commissioners, in forms The Express that the com missioners at their recent meeting discussed and endorsed the propos ition made by the Duke Endowment Fund to the effect that the sum of $62,500 will be appropriated to the construction and equipment of a hos pital in Lee county by this Fund provided that like amount is appro priated by the county. The com missioners recently received a com munication from the Duke Endow ment fund making this offer. It was suggested also that they get the en dorsement of the civic and other clubs in the county arid the people generally who are interested in this proposition. They are given six months to decide the matter. At the end of that time should there be no favorable action in the matter the sum offered will go to some other county. If the people of Lee county want a county hospital now is the time to get busy.” $ Congress Adjourns Till the Early Fall Congress has adjourned. The sen ate closed shop last night until Aug ust 19 and the house of representa tives fallowed today and may not come back until the middle of Sep tember. During the recess commit tees will work on tariff and other matters. The main reason for which the session was called—adoption of farm relief—was accomplished, al though the bill as passed was far from satisfactory to farmer repre sentatives. Corner Stone Laid at Orphan’s Home High officers of the Junior Order and thousands of members and friends assembled at Lexington Sun day for the laying of the corner stone of the North Carolina dormi tory at the orphan’s home there. Nine Pullman cars were required to bring the national board to Lexington. The corner stone was laid by E. A. Llewellyn of Ohio, national council lor. Addresses were made by other high ranking officers of the order. i Ray Keech Killed on Altoona Track Ray Keech, holder of America’s > speed record as an automobile driver, , met death in a crash on the Altoona, Pa., track last Friday. He was lead t ing the field when his car collided , with three other racers. Cliff Wood - bury of California was seriously in i' jured. Other drivers in the mix-up 4 came out without hurt to themselves. First Bale of Cotton | Auctions for $3 Pound j The first bale of 1929 cotton J shipped from. Texas by airplane and sold at auction on the floor of the New York cotton exchange Monday, brought the very satisfactory price of $3.00 a pound. The bale brought $1211.00, half of which goes to the United Hosptial fund in New York and half to the Salvation Army in Corpus Cristi, Texas. The sale was attended by many notables in the business and political world. The first bid was $2.00 a pound and the price advanced by 5c and 10c bids. C. C.HALLDISTRICT MANAGER OF CHAIN , 9 Ben Franklin Chain Stores to Hava Headquarters at Pitts hore—Store Here to Open It is gratifying to announce that the Ben Franklin Chain Stores will have district headquarters here for Central Carolina. Mr. C. C. Hall is district manager, and while the Franklin has just entered thl# tewq-- 1 tory it will be a ©f business a« 'miffSger to develop the district. When other stores are lo cated and put into operation, Mr. Hall will h ape the appointment of managers for the individual stores and wiU be in general charge of all of them under the general manager. 1 In the meantime, Mr. Hall’s as sociation the system, he informs us, enables him tio use the buying advantages of the Ben Franklin sys tem for his own store here in Pitts boro, giving hhn and jhe town iddL tional advantages from tlie location of a unit of the Ben Franklin here. It is probable that the Record will carry week an advertisement of tK$ of _ the Pittsboro store. Good Kat been'lßSiife in re arranging the interior of the stored the specified requirements, and. goods'i will be arriving almost immediately to stock the store. As before sfthted, Mr. Roy Riggs bee, a native of the county, will be local manager. “Yellow Bird” Makes It Across Atlantic The French airplane “Yellow Bird” was forced down in Spain last Friday 150 miles from its destination, which was Paris, by shortage of fuel. The plarie took off from Old Orchard, Maine, early Thursday. Jean Asso lant, Chief pilot, Rene LeFevre, navigator, and Armento Lotti, radio operator comprised the crew. Arthur Schreiber, 17 year Old Maine lad, went as a stowaway. He is said to have been the proudest member of the party. Will Rogers expresses what is pretty apt to be the general opinion of the lad when he says that he can’t get enthusiastic about a boy big enough to have good sense stow ing away on a ship like that where every pound of weight counted so greatly, thus imperilling the safety of the whole party just for a little personal glory to himself. Houser Succeeds Ben C. Sharpe Ben C. Sharpe, prohibition en forcement officer for the western dis trict of North Carolina, died last Thursday at his home in Statesville. The post which he had held was im mediately tendered to Mrs. Mary ■ Settle Sharpe, his widow, but she declined it. Announcement was made Saturday afternoon of the appoint ment of Evans L. Houser of Dallas. Mr. Houser has had long experience as a deputy enforcement officer under Mr. Sharpe and is said to be thoroughly familiar with the duties of the office, as well as the territory to be served. Shotguns Banned in Border Patrol 1 9-- Following reports of indiscriminate shooting upon automobiles and motor boats by enforcement agents, pro hibition enforcement officials have ordered patrolmen along the Canadi an border to lay down their shot guns and rifles, and confine their arms to service pistols. Reports of careless firing were aired in the con gress Monday. , 9“— 3 Children Drowned; Foul Play Is Feared # The bodies of Nellie and Frank Powell, 14 and 7, and Oscar Ames, 8, were found lying in the shallow waters of a creek just outside Eliza beth City limits last week. It is be lieved by officers that the girl had been ravished and murdered, and that the little boys were probably !:Ted .o n: even 4 H’.’.lng. tNo j clue has been discovered as to the guilty party or parties. Subscribers at Every Postoffice and All R. F. D. Routes in Great County of Chatham VOLUME 51, NUMBER 38 BERTIE COUNTY HAS ECONOMICAL PLAN Jail Built on County Farm— One Keeper for Both Insti tutions—Prisoners VWork on Farm Greatly Reduce Costs The cost of the county home, the county gang, and the chain gang in many counties of the state has reach ed alarming proportions. It is true that the sums expended on these in stitutions in rural counties rarely reaches the annual total of $30,000, but the per capita cost is excessive. In one county current expenditures amount to as much as fifty dollars per inmate per month in each of these institutions. In this county the inmates of the county home could have been boarded at the best hotel or boarding house in the county for less than thirty-five dollars per month. In another county there are only three inmates in the home, the superintendent is proving ~a home for himself and„ SSitUily, is al lowed the use__of the county farm, is paid $25. merith for each in mates, the county nays in addi t\sft clothing, faSAical attention, and JULY other unusual cost. Jail and Chain Gang The county home is only ofie of the institutions which are costly; the jail is another one. Ordinarily the jailer is given from seventy-five cents to a dollar a. day to board the prisoners in the jail. Medicine, tobacco, clothes, fuel and bedding are all furnished by the county. The jailer is also fur nished with a home. In some counties the cost, when only currnet expendi tures are considered, is from fifty to sixty dollars per month for each - county chain gang is another expensive proposition. In only a few counties has the use of convict labor on the roads proved economical. Many counties do not know what the daily cost of prison labor is, for no cost accounting Jias been done. . Greene and Sampson counties worked their convicts on the roads successfully and have kept the per capita costs at a minimum. At the same time they have clothed, fed, and housed the prisoners adequately. On the other hand, many counties have not had satisfactory results with their chain gangs. The Bertie Plan When Bertie county saw the costs of these institutions rising it under took an interesting experiment. The county home farm contained nearly two hundred acres of good land. Road work for the convicts was not neces sary. The jail facilities at the county seat were not adequate. Therefore the county commissioners combined the three institutions. Since the county home was already established no changes in respect to it were necessary. A modern jail was built on the county home farm, near enough to the superintendent’s cot tage to permit him to look after it. That is, the superintendent of the county home was also made jailer and convict supervisor. The jail was built large enough so that it could house all prisoners, whether serving sen tence or awaiting trial. Those await ing trial are placed in a separate compartment. The jail fully meets the specifications of the State De partment of Public Welfare. Since the county home is only a few miles from the county seat the jail is with in easy reach of the sheriff. Those prisoners who are serving sentence work on the county farm. Low per Inmate Cost It is the plan of the county com missioners that the farm produce the greater portion of the food supply of the jail and the home. The remainder of the crop land is planted in cash crops, mainly peanuts and cotton. In 1928 the surplus from the farm pro duced a revenue of $5,857.59. The cost of the home, other than de preciation and interest on the invest ment, was $7,046.66, or a net cost of $1,189.07. During the year there was an average of thirty inmates in the county hom£, ten working prisoners, and seven prisoners await ing trial. If the total cost of the combined operations is charged to the thirty residents of the home, it amounts to only $39.63 per capita per year. This is a monthly cost of only $3.31. If the seven prisoners awaiting trial are included in the count the per capital cost is reduced to $2.68 per month. If the interest on the investment and depreciation of the buildings were added the cost would not exceed five dollars a month. This is a lower cost than has been found in any of the other; fifty eight counties in which county gov ernment studies have been made. Bertie’s arrangement might not work well in all counties, but it has proved an economical one for that county. —Edward A. Terry. Just as Well. They laughed when I spoke to the waiter in French. You see, it was a dumb waiter.—Judge. War ended? , Daughter—“ Did you have many j love affairs, daddy?” Soilder Farther —“No child; I fell |in the first engagement.”—Answers.