HENDERSON GATEWAY TO CENTRAL CAROLINA TWENTY-FOURTH YEAR MSEVELT ASKS FOR RELIEF BILL IT JiHE BRITISH FREIGHTER RUNS BLOCKADE TO TAKE BILBAO FOOD International Patrol of Spain’s Coastal Waters At Last Put Into Operation insurgent fire on MADRID CONTINUES 100 Killed in City in Inten sive Shelling by Rebels; Ships of Neutrals Are Halt ed as New Complications Arise in Civil Warfare Campaign (By The Associated Press.) A British freighter today ran the Spanish insurgent attempted block ade and carried a week’s food supply to the inhabitants of insurgent-be sieged Bilbao, capital of northern Spain’s Basque provinces. The international patrol of Spain’s coastal waters and boundaries went into effect last midnight, but it was designed only to keep volunteers and munitions from Spain. In addition, the British ship, the Seven Seas Spray, left St. Jean de Luz, Fiance, an hour before the con trol scheme went into operation. The vessel's owner reported she had reach ed Bilbao safely despite the British government’s refusal to protect Brit ish craft going all the way into the port The British officials have con tended the harbor was dangerously mined. For the ninth consecutive day, Madrid felt the force of steady insur gent shelling, which government au thorities said took “many victims.’’ Projectiles smashed into buildings along a principal thoroughfare and scattered masonry and glass along the streets. Before today’s shelling, 100 had been killed in the city in eight days of bombardment. At Hendaye, France, insurgent sources reported an insurgent war ship had seized a merchant vessel trying to take airplanes and war ma terials to Bilbao and Santander on the Spanish coast. The vessel came from a Mexican port, it was said, but Continued on Page Two.) CHARLOTTE MAN IS CROSSING VICTIM Beaufort, S. C., April 20.—>(AP) — Floyd McCulloch, of Charlotte, N. C., was killed and his brother, Kermit, seriously injured in a grade crossing wreck near here early today. Kermit was taken to a Walterboro hospital and was identified after com munication with relatives in Charlotte Floyd had been identified by his drivers license. MODERNIZATION OF PLANTS QUESTIONED AM*A Head Says Press Criticism Is Prom Those Who Would Ban Free Discussion New York, April 20 (AP)—Jerome D. Barnum, publisher of the Syracuse, N. Y., Post-Standard, told The Ameri can Newspaper Publishers Associa tion today criticism of the press fre quently “comes from sources that do not want full and free discussion.” Talbot Patrick, of Goldsboro, N. C. News-Argus, and A. L. Glassmann, f the Ogden, Utah, Standard-Examiner, led a discussion on the question: “In the face of increasing taxes and un certainty of the future, is it advis able to modernize newspaper plants?’ Patrick suggested publishers would be wise to study the possibilities of new equipment, machinery and meth ods of production being developed be fore undertaking any revision or mod ernization. Arms Cost Hikes Tax In Britain f London, April 20 (AP)—Chancellor °f the Exchequer Neville Chamber lain told a tense House of Commons today that British income taxes would be increased 2.5 percent to 25 percent to pay the nation’s re-armament bills. Gasps of astonishment greeted the Chancellor's declaration, made as he read his sixth budget message before a parliamentary assembly packed to the roof. The tax will produce an expected <«s.oooo pounds sterling (about sl.- “'5.000,000), Chamberlain said. Bri ’ain s armament bill eventually will be 500,000,000. , HrrtrJrrsmt Bail}} BispatrfywfY ONLY DAILY NEWSPAPER PUBLISHED IN THIS SECTION OF NORTH CAROLINA AND VIRGINIA. leased wire service of THE ASSOCIATED PRESS. Slain G-Man jm Wayne W. Baker, 27, the G-man who died after being shot four times by bank robbers in the Topeka, Kan., Post Office is shown above. (Central Press) HIGHWAY PROGRAM AT CROSS ROADS IN NEW APPOINTMENTS Whether It Is to Become Political Tool or Be Real Business Is Great Issue SOUND LEADERS ARE FOR WAYNICK AGAIN But Western Carolina Fac tion, Old State Prison Group and Contractors and Material Men Are Fight ing Retention of Way nick in Office Dally Dlapatch Bareaa, In the Sir Walter Hotel. By J. C. BASKERVILL Raleigh, April 20.—Much more is involved in the contest for the chair manship of the State Highway and Public Works Commission than the public genera’ly realizes, since the basic factor involved is whether the chairmanship shall henceforth be made a political football, and depend upon which way the Chairman uses his political influence in campaigns, or whetner the highway department shall fundamentally remain a road building organization rather than a political machine, those who have been studying the situation closely are convinced. The cost item is also involved, since it is conservatively estimated that it costs the State at least $1,000,000 every time there is a change in the chairmanship of the State Highway Commission, due to the inexperience and lack of road building knowledge by any new chair man. The reappointment of Chairman Capus M. Waynick of the present com mission is being urged by the people of the State who do not want to see any more politics enter into the ad ministration of the highway depart ment and by those who want effi ciency, economy and ability to be held above purely political considerations. It is known that the reappointment of Waynick is being urged by the only two living former chairmen —E. H. Jeffress, of Greensiboro, and Rufus L. Doughton, of Sparta—also by such well-known former members of the commission as Charles A. Cannon, of Concord; John Sprunt Hill, of Dur ham; Luther Hodges, of Leaksville- Spray—men who are also outstanding business men in the State who have also stood for the business adminis tration of highway affairs. They are maintaining, it is understood Way nick is giving the §tate highway de partment a sound and efficient busi ness administration, that he has a sound and solid background of exper ience and that there is hence no rea son for Governor Clyde R. Hoey to make a change at this time. In ad dition to these men, all of whom have had experience in former highway administrations, it is known that hun dreds of the substantial business men of the State are backing Waynick. The opposition to the reappoint ment of Waynick, however, is regard ed as being almost entirely on poli (Continued on Page Two) HENDERSON, N. C., TUESDAY (AFTERNOON, APRIL 20, 1937/ Disease Turns Man Black Physicians at Santa Ana, Cal., are studying the case of William L. Morrison, a white man who is gradually turning black. Morrison told doctors he first noticed the change when he was burning smudge pots in his orange groves last January. Since then he has turned as dark as a Negro. The picture at the left was taken before the disease attacked him. At right. Morrison is shown as he is today. (Central Press) Weed Act Might Be Voluntary Washington, April 20 (AP)—Amend ment of the Federal tobacco grading act to make its provisions voluntary instead of compulsory appeared like ly today. Publication of House Appropriations Committee hearings on the 1938 Ag riculture Department supply bill show ed M. G. White, Agriculture Depart ment solicitor, already has given an opinion that the service could be made voluntary under the 1935 in spection act. The act as now enforced requires compulsory government grading on tobacco markets where two-thirds of the growers vote in favor of it. Be cause of this feature, the constitution ality of the act is being contested in the courts of North and South Caro lina, where growers on a number of markets voted for government grad ing. Representative William B. Umstead of Durham, N. C., the committee hearings disclosed, suggested the pos sibility of voluntary grading. OPERATING INCOME OF A. C. L. UP HIGH 71 Percent Increase in 1936 Over 1935, Stockholders Are Told at Meeting Richmond, Va., April 20.—(AP) — The net operating income of the At lantic Coast Line railroad increased 71 percent in 1936 over the preceding year, the board of directors of the road reported to the annual meeting of stockholders here today. From an operating deficit of $2,- 529,455.35 in 1935, the road’s net in come rose to $1,915,155.06 above total expenses in 1936. The directors’ re port attributed the increase to im proved economic conditions in the southeastern states. Officers were re-elected, including Director F. K. Borden, Goldsboro. fi SSISM Defend Action in Topeka Slaying by Pleading Need of Secrecy Kansas City, April 20—(AP)—Nec essity for secrecy was the answer to day of a Federal Bureau of Investiga tion official to criticisms growing out of the slaying of a Federal agent in a gun battle Friday at the crowded Topeka, Kans., post office. Two New York gunmen, Alfred Power and Robert Suhay, escaped the trap set for them there, but later were captured in Nebraska and are held here on a charge of murdering the agent, W. W. Baker. Topeka’s chief of police, Frank Stone, Sr., declared Federal officers should have “taken us into their con-' fidence,” pointing out had his men been present the gunmen wanted for bank robbery “wouldn’t have known to have fired upon.” Taking cognizance of similar cri ticism in a Topeka newspaper, W. H. Lester, administrative assistant to Edgar Hoover, said last night at Win field, Kans.: “The National Guard might have been helpful, too, but such a plan would not have been conducive to secrecy.” Then he added, “We couldn’t get to first base without the help of local officers.’ State Has Large U. S. Balance Yet Washington, April 20.—(AP) — The National Emergency Council submitted to Congress today Treasury department report show ing North Carolina had an unob ligated balance of $4,446,000 out of the $81,365,000 allocated to the State from 1935 and 1936 relief ap propriation. An additional $9,066,000 had been obligated hut not spent, making a total unexpended balance of $13,- 512,000. The report covered ac lief activities through March 31. The greatest unobligated balance was $3,242,000 credited to the Ag riculture Department. Os this a mount, $2,063,000! represented un obligated funds allocated for rural rehabilitation and $772,000 unob ligated funds for public roads, in cluding grade crossings. The total unexpended balance for the Agriculture Department was $9,608,000, which included $5,070,000 of road funds; $9,428,000 of rural rehabilitation funds, and $1,439,000 of rural resettlement allocation. CONGRESSMAf UNTIL THE AUTUMN V Next Year’s Budget Is Im mediate Pressing Prob lem That Awaits THEN LABOR PROBLEM Supreme Court Issue Must Also Be Threshed Out; Legislation for Agriculture Also To Be Acted Upon By CHARLES P. STEWART Central Press Columnist Washington, April 20.—1 tis hard to see how Congress can get through with its work without a session run ning all summer and maybe well on into the autumn. In fact, the lawmakers might toil the year through, and still have plenty of problems confronting them, to be puzzled over in 1938. FINANCES PRESSING The legislators simply will have to decide on some sort of a financial pro gram before July 1, for, on June 30, the current fiscal year ends; and the government cannot go on into the next fiscal year under no financial system at all. From now until the end of June is none too long for Capitol Hill to wres tle with that issue, disregarding every thing else. That comes first. While the fight is pending there will be considerable chatter on other subjects, but no action; all real at tention will be concentrated upon the budget—and it will need to he. REDUCTION—OR TAXES One of the chief financial spokes men for the administration is Sen ator Pat Harrison of Mississippi. . Pat forecasts no tax increase, but there has got to be one if the govern ment is to live within its income, un (Continued on Page Six.) OUR MMI FOR north CAROLINA. Mostly cloudy tonight and Wed nesday. PRESIDENT MS 11-2 BILLIONS IN NEXT FISCAL TEAR Deficit at End of Present Fiscal Year Will Be Over $2,500,000,000, He Says ANOTHER BIG LOSS NEXT YEAR LIKELY Borah Drops Opposition to Neutrality Bill; Capital- Labor Meeting Begun; More Criticism of Roose velt Court Plan Given To Committee Washington, April 20.—(AP)—Pre sident Roosevelt recommended today Congress appropriate $1,500,000,000 for work relief for the fiscal year 1938. He asked the money be made avail able early in June so its use may be planned before the start of the fiscal year July 1. In a special relief message to Con gress, Mr. Roosevelt reviewed the na tional budget situation in the light of lower returns from income taxes than were expected, when the last previous budget estimates were made in Jan uary. He figured the deficit at the end of this fiscal year would be $2,557,000,- 000, an increase of $309,000,600 over the January forecast. He estimated also at the end of the 1938 fiscal year there would be a net deficit of $418,000,000. His state ment aroused talk as to whether ad ditional taxes might be called for at the next session of Congress. Admin istration leaders generally look for no new taxes at this session. While principle interest in Con gress was on the President’s message, this was a 'busy day generally both on Capitol Hill and downtown. Senator Borah, Republican, Idaho, announced a group of his colleagues had withdrawn insistence on a man datory “cash and carry” policy in the proposed permanent neutrality bill, thus leaving the way open for assign ment of discretionary authority to the President. In an effort to clarify the rela tionship between capital and labor, 27 representatives of workers and em ployers met with Secretary Perkins, who personally appealed for agree ment on a national policy to reduce strikes and lockouts. The Senate civil liberties commit tee resumed its investigation of con ditions in Harlan county, Kentucky, with testimony by a mountain preach er, who said deputy sheriffs had once driven striking miners back to work at gunpoint. William Eddy, president of Hobart College, and Colonel Frederick Allen, of Charleston, S. C., director of the Constitutional Democracy Association criticized the Roosevelt court bill at Senate hearings. LARGE FRACTIONAL GAINS FOR STOCKS Buyers Lift Bids and Selected Issues Hit Rallying Trail for Higher Levels New York, April 20 (AP) —'Stock buyers lifted their bids in today’s mar ket and selected issues hit the rally ing trail for gains of fractions to two or more points. While there were a few active flurries on the upside, dealings on the whole were quiet. There was an assortment of lowers near the fourth hour, but favored steels, rails, farm implements and others were near their best levels of the day. United States government securities slipped. Other bonds were uneven. Commodities were mixed. TectS ? P. Rocky Mount Publisher At tains High Post in News Association I New York, April 2K). —<(AP) —IThe smalltown newspaper with its year by year fundamental content of births marriages and deaths was translated into personality today as small town publishers met in convention. The smaller daily was listed Us a modern town crier as the problems it presented were laid for study be fore a part of the annual convention of the American Newspaper Publish ers Association. New directors elected by the mem bership of The Associated Press at the annual meeting yesterday are: Clark Howell, Jr., of the Atlanta, Ga., Constitution; William Pape, of the Waterbury, Conn., Republican; Houston Harte, of the San Angelo, Texas, Standard, and J. L. Home, of the Rocky Mount, N. C. Telegram. PUBLISHED EVERY AFTERNOON EXCEPT SUNDAY. CAPITAL AND LABOR SEEK TO FORMULATE NEW LABOR POLICY Target for C. J. O. gore.. X : ' : ' Ernest T. Weir Ernest T. Weir, as chairman of the board of the National Steel Co., becomes target of the C. I. O. as the Steel Workers Organizing committee announced it would file charges of coercion and in timidation with the National Labor Relations Board against the Weirton Steel Co., a subsidiary of National Steel. The C. I. O. alleges “deplorable” conditions at Weirton plants. —Central Press RooseveltTo Talk Aug. 18 Near Manteo President Is To Par ticipate in Virginia Dare Celebration on Island Washington, April 20 (AP) — Representative Lindsay Warren, of Washington, N. C., said today President Roosevelt had agreed to make an address August 18 on Roanoke Island, N. C., commemo rating the 250th anniversary of the birth of the first child of English parentage on the American conti nent, Virginia Dare. The celebration to run about two months, from July 1, also will mark the 350th anniversary of the disappearance of Sir Walter Raleigh’s Lost Cplony. Warren said the President had also approved a special stamp for the occasion. HEALTHY NET GAIN SHOWN BY COTTON Early Selling Overcome by Steadier Market Toward Close of Trad ing For Day New York, April 20 (AP) —Cotton futures opened barely steady, unchang ed to four lower. Liquidation and New Orleans selling offset the in fluence of steadier Liverpool cables. July, which had eased from 13.20 to 13.13 .rallied to 13.25 and prices late in the first hour ranged from two points higher to four lower. At mid day the market was within a few points of the best and prices showed net gains of about 10 to 14 points. CLARK GABLE HAS STAND AS WITNESS Calm and Silent, Actor Is In Court On Charges of Being Father of Young Girl Los Anegeles, Cal., April 20.—(AF) —Clark Gable, calm and silent, came into Federal court today to tell a jury he is not the father of 13-year-old Gwendoline Norton. The film star’s appearance at the Federal building precipitated an in vasion of wome-' and deputy mar shals prepared t idle a full house. “This will bt 3 first time I’ve ever been on ui6 witness stand,’ Gable said. Gable is chief government witness in the trial of Mrs. Violet Norton, charged with trying to extort money from him to care for her daughter, Gwendoline. Prosecutor Jack Powell disclosed Mae West would not be put on the stand, as she was in San Francisco. FIVE CENTS COPY Greater Legal Responsibi lity on Labor Organiza tions May Be One of Results RIVAL LABOR UNITS CONTINUE STRUGGLE Green’s A. F. of L. Expected To Expel Lewis’ Ten C. I. O. Groups; U. At W. A. Also Mapping Plans To Organize Ford Plants Un der the Wagner Act Oshawa, Ontario, April 20. (AP) —General Motors of Canada agreed today to resume negotia tions with a committee of its 3,- 700 striking employees this after noon. (By The Associated Press.) Representatives of capital and la bor sat down with government of ficials irl Washington today in an un precedented conference that was con sidered a possible forerunner to for mulation of a national policy on strikes and lockouts. At the same time two rival labor groups met in the capital to study unionization campaigns which have been intensified since Supreme Court validation of the Wagner labor rela tions act. Informed observers predicted one of the groups, the American Federa tion of Labor executive council, would consider expulsion of ten unions al ready under suspension for support ing the John Lewis C. I. O. The second gioup, the executive committee of the U. A. W. A., weigh ed a demand from striking General Motors employees of Oshawa, Ontario, for a sympathy strike in the corpora tion’s United States plants. The U. A. W. A. committee was expected also to consider its campaign to organize workers of the Ford Motor Company. Homer Martin, presi dent of the union, said formal charges of discrimination and intimidation would be filed soon with the National Labor Relations Board. Imposition of greater legal respon sibility upon labor organizations in view of the concessions gained by the Wagner act was .believed one objec tive of some industrialists at the con ference called by Secertary Perkins. The General Motors Canadian strike persisted as the major active industrial dispute. MUSICIAN ARRAIGNED IN HAMMER SLAYING Rosenbaum Gray and Unshaven as He Appears in Magistrate’s Hearing in New York New York, April 20.—-(AP)—Trem bling and close to collapse, Misha Rosenbaum, 30, musician and Broad way booking agent, accused of the hammer slaying of Julia Nissenbaum, 25, night club violinist and dancer, was arraigned in homicide court to day. His face was gray and unshaven as he faced Magistrate Alexander Brough. He wore shoes a policeman had let him have and clothes other policemen had handed him when his own, stained with blood, were turned over to the city police laboratory for analysis. Rosenbaum was arrested in Moun taindale, N. Y., yesterday and police said he confessed he attacked Miss Nissenbaum after a quarrel. Samuel Leibowitz, his attorney, de nied such a confession was made. BLUEILDINT CUT TOBACCO CROP « Not As Bad As Some Have Thought, Kerr Scott Says in Statement Dally Dlapateb Bnreaa, In the Sir Walter Hotel. By J. C. BASKfCRVILL Raleigh, April 20.—While blue mold in tobacco beds is rather serious in some sections of the State, it is not as serious as some people have thought and is not likely to have any effect whatever upon the total acreage planted to tobacco this spring, in the opinion of Commissioner of Agricul ture W. Kerr Scott. As a result, he sees no reason to become alarmed over the situation. “Every spring there is always a lot of talk about the possibility of a short tobacco crop as the result of blue mold getting into the plant beds, (Continued on Page Two).