! HENDERSON
<; ATE WAY TO
CENTRAL
CAROLINA
TWENTY-SECOND YEAR
LONG’S PROPOSAL ON RELIEF BILL SMOTHERED
********** * * * * * *********-*******"*** #
Hill Liquor Bill Sent ToFinance Committee By Senates
SPENDING BILL IS
OFFERED IN HOUSE
AS DEBATE OPENS
Appropriations and Revenue
Measures Both on Calen
dar for Night Ses
sion Tonight
1 IQUOR BILL WAITS
REVENUE MEASURES
Will Be Held In Finance
Committee Until It Be
comes Evident Sufficient
Money Can Be Raised In
No Other Way Than By
Liquor Tax
TL.Yuli. March I».—(AP»—'The Hill
; n pn.- iiu tlie establishment of a
;• it' v-Um of liquor stores was re
• r■• ,j to the Senate Finance Com
n •.this afternoon on motion of its
; - after two long sessions of
s ;to debate on the measure.
-• no; Kolyer, of Surry, made the
a to send the bill to tbe taxing
2 :p a Hot Senator Gravely, of Nash,
i I ■•f'Yied an amendment to put re
'•" from the proposed stores into i
S*a?o general fund instead of se- I
.1 You them for welfare and relief
ptll pOf'S.
T’ move to send the measure to
urce group was understood to
been taken bv proponents of the
Iy: to hold it there until the revenue
ill. whali is short of the proposed
.pjt: iipi lations, is under consideration.
>"n.'itof Teague, of Wayne, a dry
•‘t'l'.'id the re-reference and sought
adjourn the Senate but was voted
•I'o.vn 26 ro 21.
hum diatclv after sending the bill
' ■ the committee, the Senate adjourn
i. til tomorrow without having j
• -d the bill. It heard nearly three
■ it- of debate on the bill.
T ' biennial appropriations bill was
■■ported to the House today by Re
(Continued on Page Four)
~7 Children Hurt
W lien Cattle Truck
11 its School Truck
•faekvm. Tenn., March 14.
1 'l’i Twenty-seven children were
injured today when a school bus
•oertiirned nine miles south of
•hielison.
\ triii k loaded with livestock
‘■rushed into the rear of the truck
end both vehicles tumbled down
;i ill-foot embankment. Some of
1 •»«■« hildren were seriously injur
ed
The 27 injured, most of them
suffering from cuts and bruises,
"« r«* brought to hospitals here in
f*'e ambulances. All probably wfll
recover. The accident occurred at
*:•’<» a. in. There were about 40
• lilldren in all in the bus. Some
••senped without being scratched.
Revenue Bill
MayComeUp
Next Monday
I Inuse Probably
"on't Tac k1 e
Money Measure Be
fore First of Week
Daily Uispatek Hurras,
In llie Sir Waller Hotel.
UV j. <: UASKERVIU.
f!; d<.ig)i Match 14—The revenue
1,111 1 in ihe House at last—but not
■'•'> one is attempting to predict
' " u the House will finish its con
,i‘ 1 Jition of the money-raising mea
‘ : ' much loss when it will be com
by the Senate. But the prevail
opinion is that the House will
'a ad at least two weeks on the bill,
1,01 longer. The measure was re
-1 ''d Wednesday afternoon by
"i innn Gregg Cherry, of the finance
, " n l> and it is now on the calendar,
'•"mot he taken up, however, until
minted eopies of the bill, cover
(Gaattuucd or Page Three)
Hrititrrsmt Daily Dispatch
ONLY DAILY NEWSPAPER PUBLISHED IN THIS SECTION OF NORTH CAROLINA AND VIRGINIA. *
leased wire service of
THE ASSOCIATED PRESS.
|||p |||
' .v.. . %
Robert Dobvyzinski shows how other boys who were playing “cowboy and
injun” at Brockton, Mass., tied him and playmate Edward Smith to tree
and started brush lire around them, in emulation of savage captives
being “burned at stake.” Wind caused clothing of Smith boy to ignita
and ha was burned fatally before playmates could recue him.
Dividend Tax May |
Raise $1,100,000
• i v *. • i
New Tax Policy For State and Is Expected To Be Ap
proved by Legislature; Graduated Basis for Domestic
Stocks, Flat Six Percent on Foreign
Diiily l)j.i|iiitcli llaren*,
In (he Sir Walter Hotel.
By C. A. PAUL
Raleigh, March 14. —The stock di- i
vidend tax incorporated in the rev
enue bill now before the lower house
of the legislature is a. new departure
in tax-levying in North Carofina in
sofar as domestic stocks are concern
ed. There is no change in the levy
against dividends from stocks in for
eign corporations.
i
Daily Hiniiateh llarea*,
In the Sir Walter Hotel,
By C. A. PAUL
Raleigh. March 14. —The stock di
vidend tax incorporated in the rev
enue bill now before the lower house
of the legislature is a. new departure
in tax-levying in North Carofina in
sofar as domestic stocks are concern
ed. There is no change in the levy
against dividends from stocks in for
eign corporations.
ROADS COMMITTEE j
KILLS MANY BILLS
May Approve Highway Re
quest for Limitation Upon
Heavy Trucks
Unily l>i'*i>:i t<-h liurran,
111 •he Sjr Walter Hotel.
By C. A. PAUL
Raleigh, March 14.—The joint leg- I
islative roads committee went on a j
bill-killincr spree at its first meeting
in several weeks. It killed in rapid
succession two hills by Representative
Cooper, of New Hanover, which would
have given automobile license buyers
30 days of grace at the beginning
of the new license year and prescribe
an 8-hour day for highway employees
a bill by Representatives Ervin. Scholl
and Tonaissen of Mecklenburg, which
would have required all automobiles
sold in the State after next January
1 to be equipped with safety glass
throughout, a similar bill by Repre
sentative Klutz, of Catawba, which
wouki have required school buses and
public passenger vehhicles to be so
equipped, and a bill to require the
highway department lo maintain all
roads over which rural mail routes
extended.
Reported favorably was the high
way commission’s bill introduced by
Senate Roads Chairman Spence.
(Continued on Page Four)
Billions Dominated
By Thirty Men!
The American Telephone & Tele-
I graph Co., has assets of nearly five
billion dollars, with a vast number
of investors, yet the huge organiza
tion with its great wealth is com
pletely dominated by 30 men. The
second installment of the absorb
ing story of the world’s largest cor
poration appears today.
Reenacting Tragic Game
HENDERSON, N. C. THURSDAY AFTERNOON, MARCH 14, 1935
Under present law dividends from
| stock in domestic North Carolina
chartered corporations are specifical
i ly exempt from taxation. The theory
behind the exemption is that the cor
poration itself pays an income tax.
Thus, say opponents of the new levy,
to tax dividends after they have reach
ed the hands of the stockholder would
be double taxation because the cor
(Continued on Page Two.)
i
Money Bill
To Provide
$ 31,417,000
Daily lli*|iat<‘li Hareaa,
In the S»- Walter Hotel.
Raleigh. March 14.—The revenue
bill, now on the House calendar, will
provide $31,417,000 a year in revenue,
or approximately S2.OOO,CKU a yealr
more revenue than the bill recommend
ed by Governor J. C. B. Ehringhaus
and the Budget Advisory Commission.
The budget bill v ould have yielded
approximately $29,442,000 .including
the $1,000,000 a year diversion from
the highway fund. But according to
the finance committees, this revenue
was overestimated at least $300,000 a
year, especially in the estimate from
the Schedule B or licenses taxes. So
the budget bill actually would not
have yielded more than $29142,000 with
(Continued on Page Four)
BRITISH COMMUNIST
PUT UNDER ARREST
Chicagd, March 14 (AP)—lm
migration officials agreed today
to postpone the “trial” of Evelyn
John St. Loe Strachey, British
writer and lecturer, arrested here
on the charge of “actively advo
cating communism.”
A hearing into Strachey’s de
portation as an undesirable alien
was tentatively set for Thurs
day, Mareh 21.
Wi4THEir
FOR NORTH CAROLINA.
Fair, slightly colder in east
portion; possibly light frost in
central and west portions tonight;
Friday fair, slowly rising tempera
ture in the interior.
STRONG MOVES TO
REDUCE SATES TAX
TO I PCNT. BEGUN
Proponents Said To Need
Less Than Dozen More
Votes To Have
Majority
WOULD PUT BUDGET
OUT OF ALIGNMENT
Might Throw It Out of Joint
By Three Million Dollars;
Anti-Sales Taxers Expect
ed To Attempt To Put
Their Measures Across On
Floor
Daily Dinpntch Riirraii,
In (b* S|r Wnltor Hotel,
nv j. C. HASHISHVILX.
Ttaleigh, March It—A strong effort
is being made among house members
to reduce the sales tax rate from three
per cent to two per cent, and at the
present time those interested in this
move need to get only from eight to
ten more votes to get a majority, it
was learned from a reliable source
today. The backers of this move
maintain there are at least 20 mem
beis of the House who will nt vote
for the thre per cent sales tax under
any conditions but who will vote for
the two per cent levy. Most of these
are concdeed to be former anti-sales
tax members who now realize that
there is no possibility of removing
the sales tax entirely, but who will
not vote for a sales tax of more than
two per cent.
The contention of the group back
ing the two per cent sales tax move
is that with the exemptions removed
and with .the tax Applied to meal
checks in restaurants, cases, hotel din
ing rooms and even to hotel rooni
charges, the two per cent sales tax
will bring in a great deal more than
the present thre per cent sal6s tax is
yielding. They also maintain that if
the Revenue Department will increase
(Continued On Pasre Four.)
“DeLawd”,
Leader Os
Play , Dead
New York, March 14 (AP)--Rich
ard Berry Harrison, who appeared in
the role of “De Lawd" in “The Green
Pastures,” died at 8:20 a. m., today
in the Fifth Avenue hospital.
Death resulted from a paralytic
stroke suffered on March 2 as he pre
pared for a matinee performance in
his dressing room. He was 70 years
old.
Harrison, Canadian-born son of for
mer slaves, was snatched from ob
scurity at 66 to become the star of one
of the most successful plays of the
American theatre. In the five years
he starred in the play, never missing
a performance until stricken as he
(Continued on Page Fom)
W age, Hours
An Essential
Os The NBA
Clay Williams Tells
Senate Committee
That Is Fundamen
tal Principle
Washington, March 14.—(AP)— S.
Clay Williams, chairman of the Na
tional Recovery Board, today termed
control of minimum wages and maxi
mum hours the “fundamental” prin
ciple of NRA.
He was the second witness In the
•Senate Finance Committee’s inves
tigation of NRA’s code structure, and
testified before a full committee room
(Goatluusd <£» poge
GRUESOME STORIES
OF CONVICT CAMPS
WILL BE PRESSED
Legislative Committee Will
Go to Bottom of Deaths
Resulting From
Confinement
BURIAL IN SECRET
GRAVES IS ALLEGED
Some Prisoners Reported To
Have Escaped Said To
Have Died from Horrible
Treatment and Thus Dis
appeared ; Legislative
Group Thoroughly Aroused
Raleigh, March 14 (AP) The leg
islature’s committee on penal institu
tions prepared today to try to estab
lish or disprove testimony given it in
Charlotte yesterday that convicts
have died from being chained in soli
tary confinement and being buried in
unmarked graves under the cover of
darkness at night.
“We learned some very astounding
things, and we will follow up every
lead." Representative R. E. Sentelle.
of Brunswick, chairman of the House
committee, said this morning. Asked
if hee believed there was any truth in
the testimony of a Negro former con
vict that prisoners who died shortly
after they came out of solitary con
finement were buried in secret holes
at night in the section between Boone
and Blowing Rock in 1930, Sentelle
replied:
“I am rather inclined to believe
there was some basis of fact in his
story. Os course, the weight of the
(Continued on Page Four)
Auto Tags
Costs Are
To Be Cut
Daily Di»iint«‘h Bureaa,
In the Kir Walter Hotel.
Raleigh. March 14—Cheaper auto
mobile licenses son the owners of the
smaller, lighter weights cars will re
sult if the bill reported favorably by
the joint committee on roads is en
acted. The bill as amended by the
committee will make the minimum
liccense $9 a year instead of $12.50 a
year as at present, but will reduce the
licensing base only five cents per 100
pounds, or from 55 cents per 100 to
50 cents per hundred. The original
bill as introduced by Snator White,
of Robeson county, would have made
the minimum pi*ice of licenses $9 and
reduced the licensing base rate from
55 cents to 40 cents per 100 pounds.
The bill if passed in this form, will
reduce the expected highway revenue
$530,000 a year if based on this year’s
license sales, and $620,000 a year if
based on the estimated sales for next
year, according to Chairman C. W.
Tatem, of the House Roads Commit
tee. The reduction in revenue would
have amounted to at least $1,500,000 a
year if the bill had been approved as
introduced, reducing *the licensing
base rate from 55 cents to 40 cents
per 100 pounds.
Tobacco Grading Bill Is
Now In Committee Hands
Flannagan, Its Author, To Resist Changes That Would
Nullify It, But Willing for Goveriment To Pay for
Service; Hits at Opponents of the Measure
Washington, March 14 (AP) —After
four lengthy public hearings, the
Flannagan bill to provide compulsory
Federal tobacco inspection and grad
ing, today was in the hands of a
House Agriculture sub-committee for
action.
Marking conclusion of the hearing
last night was an assertion by Repre
sentative Flannagan, Democrat, Vir
ginia, that his bill had been “unquali
fiedly endorsed” by Secretary Wallace
of the Agriculture Department.
PUBLISHED EVERY AFTBRNOOM
EXCEPT SUNDAY.
Huge Sum To Aid
College Students
Heavily Defeated
Under Suspicion
iHsl JspF
Ilk :
Christopher Stephano, Philadel
phian who has been on visit in
Greece with his family, is declared
in reports to be under suspicion of
having financed the Greek revolu
tion. Relatives in Philadelphia
deny it.
'Central Press]
lAP WITHDRAWAL IS
British Admiralty Head
Tells Commons He Hopes
For Arms Meeting
WON’T CUT ANY MORE
Britain lias Slashed Her Strength At
Sea by Nearly Half Since 1914;
United States Gains Fifth
Japan Third
London, March 14.—(AP) —Sir Bol
ton Eyres-Monsell, first lord of the
British Admiralty, told the House of
Commons today that Great Britain
was disappointed by Japan’s renuncia
tion of the Washington naval treaty
of 1922, but there v?„s no need to
treat the situation “too tragically.”
Sir Bolton said he hoped a naval
conference would be held this year,
and introduced the government’s
(Continued on Page Four)
PREPARE DECREE IN
REYNOLDS’ HEARING
Winston-Salem, March 14 .
GAP) — The hearing on settlement
of Smith Reynolds’ $30,000,000
trust estate was recessed this
morning until 2:30 p. m. to permit
attorneys to confer on the form
of decree to be submitted to .Judge
Clayton Moore.
Flannagan also announced he would
resist vigorously any attempt to
amend his measure to make it effec
tive in the event of enactment only
after approved in a referendum of
growers.
Such an amendment as has been
proposed by Representative Burch,
Democrat, Virginia, who also has sug
gested that the government l i requir
ed to meet the cost of grau e*. ail
(Gciitinasd or ZTcc?*,
8 PAGES
TODAY
FIVE CENTS COPY j
Administration Contends
Funds Already Given
Cause and President
Can Allot More
ALL FACTIONS ARE
SPLIT UPON VOTE
Treasury Calls First Liberty
Loan Bonds* Labor Urges
Wagner Bill To Prevent
Strikes; Utilities Regula
tion Stoutly Opposed By
Corporation Man
Washington, March 14.—(AP)—The
Senate today rejected an amendment
to the $4,880,000,000 relief bill by
Senator Long, Democrat, Louisiana,
proposing an allowance up to SIOO
- to give needy youth a college
or other educational training.
The vote against the Long amend
ment was 58 to 27.
The Louisianan previously had lost,
75 to 5, a similar amendment provid
ing a. billion dollars.
Administration forces contended the
Emergency Relief Administration al
ready had advanced SIOO,OOO for edu
cational purposes and the President
could use any part of the pending ap
propriation for that purpose.
All factions split on the vote, even
three Republican independents. Eight-'
-:eu Republicans and nin® Democrats'
voted for the Long amendment, Fifty-,,
! two Democrats, five Republicans, and
j LaFollette, Progressive, Wisdfllhslri,;
j voted against it. : "qe
From its appropriations coiiiihjitee, ,
i the House received and began a de
! bate on the $118,112,878 stipply bill fdt*
1 running the Department of Agfictll-'
! ture during the fiscal year beginning
! July 1.
i Blocks down Pennsylvania Avenue
I from the busy Capitol Secretary Mor
genthau called for payment June 15
the entire issue of the Treasury’s
outstanding first Liberty Loan bonds
—an aggregate of $1,933,000,000.
Before the Munitions committee,
James E. Vanzandt, head of the Vet
erans of Foreign Wars, denounced as
“mounmental gall” previous testimony
against cash payment of the soldier!?’
bonus, by Eugene C. Grace, president
(Continued on Page Four)
Ist Liberty
Loan Called
By Treasury
$1,933,000,000 Issue
To Be Redeemed as
Result of Court’s
Gold Decision
Washington, March 14 (AP) —Thft
Treasury today called for payment on
June 15 its entire issue of outstand
ing first Liberty Loan bonds, aggre
gating approximately $1,933i,000,000.
This issue, which is of 1932-47 ma
turity, consists of three series:
A total of $1,392,226,250 bearing in
terest at the rate of 3 1-2 percent; $5,-
002,450 of converted four percent
bonds, and $535,981,250 of converted
4 1-2 percent bonds.
The administration’s determination
to refund more of the outstanding
gold clause bonds was not a surprise
to financial quarters. While a sav
ed the chief objective, the Treasury
ing in interest charges was consider
had been expected to retire all gold
clause bonds as rapidly as possible,
In view of the Supreme Court deci
sion that government abrogation of
gold payments on these securities was
invalid.
It was not learned immediately what
securities would be offei'ed in ex
chang for the so-called first Liberties,
but recently the Treasury refunded a
portion of its Fourth Liberty 4 1-4’s,
with an off issue of 20-25-ytar 2 7-8
percent bonds, the lowest in r • u
pon for long time paper v > \ ' inu
memory of tne ur -ra
sonneL ,