' HENDERSON gateway TO CENTRAL CAROLINA TWENTY-SECOND YEAR ETHIOPIMI TROOPS MOVING UP TO FRONT NEW TAX SCHEDULE DIGS DEEPLY INTO INCOME OF $50,000 Would Confiscate Three- Quarters of Incomes Over $5,000,000, Under Changes Made FULL COMMITTEE RECEIVES REPORT Doughton Makes Schedules Public as Ways and Means Committee Assembles To Get Plan for Roosevellt’s ‘Wealth Distribution ,, In The United States Washington. July 29.—(APV—Pro posed new taxes tapping incomes as low as $50,000 and taking away three quarters of that portion of an income ever 55.000.tf00 were made public to. dav by the House Ways and Means Committee The new schedule has oeen tenta tively approved by committee Demo crats. who previously had agreed not to levy additional taxes on incomes under $150,000 and to apply the maxi mum 75 percent rate only to incomes over $10,000,000. At present the tax on a $56,000 in come is $9,500. The proposed new schedule would _>»*ke it $9,560. The present levy on $1,000,009. how ever, is $533,000. whereas the new tax would amount to $641,000. The proposed new individual in come tax schedule was made public as irentlnned on Pago Four) AAA Wins First Constitutionality Test In Decision Memphis, Tenn., July 29 (AP) —The agriculture adjustment act. with its processing levies, won a decision of constitutionality in Federal district court here on a finding that the tax ing power is not delegated to the sec retary of agriculture, but an appeal was in prospect today. Federal Judge John D. Martin, of the eastern district of Tennessee, only recently appointed, held the act con otitutional this week-end. expressing his views in an opinion dismissing the suit of a Memphis packed to re cover $6,863 paid in processing taves. He also declined an injunction to restrain the government from collect a penalty of $1,267 for failure to file a tax return within the legal time limit 110 Million Passed For Air Fields Washington. July *29. —(AP)— Tha r® r * ate today passed and sent to the 'h:te House the Wilcox bill author ‘z : -i the establishing of six new army £ ‘" bases in the United States and Alaska. The bill carries no appropriation, ,tbe cost, to be provided for later, been estimated at $110,000,000. ‘-•e air base would be used as pef~ anen t stations for peacetime train- on Page Three!. Four- Year Control OfTobaccoPlanned Washington, July 28.—(AP)—Four 2110,6 yaars of production control will offered growers of flue-cured to acc°, the leaf that goes into the man. ciure of cigarettes, ontracts extending the program p it was announced by J. w 'atson, AAA tobacco chief, will available at county offices in each kct * e flue ' cure d belts around mar u/ raWer * who bedped in developing - P'oerg.m requested that considera Ilftettitersnn iUttht SHspatrfi ONLY DAILY NEWSPAPER PUBLISHED IN THIS SECTION OP NORTH CAROLINA AND VIRGINIA. * WIR ® SERVICE OF THE A.BBOCI ATID PRESS. England Wins All Davis Cup Match Wimbledon, England, July 29. (APT— England won the coveted Davis cup—emblematic of the world’s tennis supremacy—for the third straight time today when the new doubles combination of George Patrick Hughes and C. R. D. Puckey defeated the American pair of W ilmer Allison and Jahnny Van RyU. 6-2, 1-6, 6-8, 6-3, 6-3, in the challenge round doubles match. The victory gave England the nec essary third win in the five match series The; Britons’ victory was the final crushing blow to Amer. ica's hope of recapturing the cup, lost to France in 1927. 20 Millions For Schools Is Possible State Should Get That Much Federal Money If Requests Are Granted "V Df WEATHER i FOR NORTH CAROLINA. > Generally fair tonight and Tuesday; little change in temper • ajture Mussolini Put On Spot By Ethiopian Stand In Maneuvering In League African Empire Makes Major Concession In Dispute With Italy by Refraining from Insistence on Probe of Controversy; II Duce Has 52nd Birthday Geneva, July 29.—(AP) —League of If the Council approves such recom- Nation’s circles said today Ethiopia mendations unanimously, any nation made a major concession in its dis- defying them would be pronounced an pute with Italy by refraining from in- aggressor. sistence that the Council dig to the League sources interpreted Ethio bottem of the controversy. pia’s move in pointing the Council Emperor Haile Selassie, in his latest meeting toward a decisioh on the ar communication to the League, con- bitrators’ powers as a maneuver to tented himself with getting back to put Premier Benito Mussolini •in an the arbitration attempts. He asked awkward diplomatic position. that its session three days hence the League Council define the powers of MUSSOLINI'S BIRTHDAY IS the deadlocked c/nciliation commis- SPENT ON LEAGUE PROPOSAL sion. Rome, July 29.—(AP) — Premier In answer to the Italian contention Benito Mussolini put aside all cele that the commission should restrict brations of his 52nd birthday anniver discussion of frontier incidents, how. sary today to draft Italy’s stand be ever. Ethiopia demanded that no such fore the League of Nations Council in limitations be imposed. the Ethiopian dispute. The “king of kings” has the right While II Duce worked at his ccun to call for a council investigation of try retreat, authorities said Italian the East African crisis under Article delegates were certain to attend the XV of the League covenant. Council session Wednesday. TENSION EASED BY TURNINGERMANY War Minister Cautions Hit ler On Drastic Attitude Taken Recently Berlin, July 29.—(AP) —The tension among Jews, Roman Catholics and the World Whr veterans of the “steel helmets” was considerably eased to day by the news of a “social” visit to General Weyner von Blomberg to Reichfueherer Hitler. Von Blomberg, minister 0 f war, call ed on Der Fuehrer in the latter’s Bavarian mountain home for a long talk. The general feeling prevailed in po (CnnHniiort on Page Four) SMDOTJNTEDDRY As Result, Hoey Is Strong est Gubernatorial Can didate There Dally Dlspntoh Bnreaa, In tne Sir Waller BY J. C. EASKEBVILL. Raleigh, July 29.—Sentiment over the entire State has not gone “wet” and most of the Piedmont and west ern counties are still politically “dry’, regardless of how the individual vot ers may drink, or how much, accord ing to a good many political obser (C-ontSSHisd cm Pau® TttoA __ INIA. WJHI.t.PIH^EVKn^AFTERNOOM FIVE CENTS COPY First 1935 Bale Sold At Atlanta Atlanta, Ga., July 29 (AP)—The first bale of 1935 cotton, from Ter rell county, Ga., was auctioned here for $127.50 today, the pro ceeds going to the Warm Springs Foundation as a tribute to Presi dent Roosevelt. A motorcade of Terrell county citizens joined Atlanta leaders at the sale. The tribute was paid Mr. Roosevelt to show appreciation to the administration for the benefit of the AAA program, the Terrell delegation said. The cotton was bid in by A. L. Belle Isle, Atlanta business man, for 25 cents a pound. GOVERNMENT SUIT IS AN ISSUE NOW Companies Paying Process ing Tax Demand Right To Seek Recovery By CHARLES P. STEWART Central Press Staff Writer Washington, July 29.—There is one thing that Congress and the President can dor egardless of the Supreme Court. The government cannot be sued ex. cept with its own permission. That is an established principle, which the Supreme Court itself has recognized. Ordinarily the government does per mit itself to be sued—in the Federal Court o? Claims. If the court renders a judgment in the claimant’s favor (Ccattaaod ca Page ISirco) 6' PAGES TODAY NAMPraiED War Office Refuses To State Destination of Troop* Marching Out of the Capital SOLDIERS CHEERED BY THE POPULACE Native Army From One Os Provinces Reaches Capital Armed for Modern War fare; Report of Clash on Border Is Denied; Troops Create Strong Impression Addis Ababa. July 29.—(AP)—It was reported without confirmation to day that a number 0 f native Somalis had rebelled in Italian Somaliland and Ijid started for Ethiopia in the regie/, of Usual. (It was at Ualual last Decenmer that both Italians and Ethiopians were slain in a frontier incident.) Rumors were current that Ethio pian troops were headed for the rontier of Eritrea, the Italian colony of the east, but the war office did not confirm this statement. The movement of troops created a profound impression on the popula tion of the capital. The people cheer ed the troops vehemently. Troops under the command of Ded jaonatch Happemikael, former cab inet minister, came in from the Lake Rudolph area. Martial preparations reached a high pitch as an Ethiopian army estimat ed at 10,000 arrived from Gamu pro vince. They were outfitted with new rifles, modern khaki uniforms, ma_ chine guns and artillery, and departed in high spirits for an unannounced destination. Government officials in general nied any knowledge of a clash at Wal kut, as reported in the London press. Two Jailed At Strike In Durham Durham, July 29—(AP) —Two white men were jailed here this morning 0 n open charges as the strike of seam less hosiery workers entered its sec ond week at the Durham Hosiery Mills with renewed intensity. AH was quiet during the two-day week-end holiday, but this morning a crowd of strikers, pickets and specta tors, estimated at 1,000, gathered at the main gate of the No. 1 mill in an effort to prevent the hosiery plants from resuming operations. There was considerable turmoil, but non-strikers gained admittance with police assistance, and there was no trouble. i TENNESSEE BEATS RIDER FOR LIQUOR Nashville, Tenn., July 29 (AP) By a vote of 48 to 41 the Tennes see House of Representatives to day tabled a liquor legalization rider to an old-age pension bill. Depression Is Good To Gas Prexy Washington, July 29. —(AP)—Evi- dence that H. C. Hopson, dominant figure in the Associated Gas am’ Elec tric system took profits of $2,805,000 during the depression, while many of the dividends were unpaid was re ceived today by the Senate lobby com mittee. It also heard from a number of officials of the associated system and affiliated companies that they did not know where to locate Hopson. Even the officials of his personal companies said they nad not seen the utilities magnate for ten days or two weeks. Committee members quickly pointed out that that was about the time the lobby inquiry started. “Is he in the custom of disappear ing like this?” asked Senator Schwel lenbach, Democrat, Washington. “U is not unusual,” replied one of the witnesses, H. A. Stix, accountant for the companies. ‘