HENDERSON gateway TO CENTRAL CAROLINA twenty-fourth year JAPANESE CLOSE UP PEIPING GATES AND PRISON FOREIGNERS Meantime, Planes Blast Way for Deep Japanese Thrust Into Territory of Uhinese fHINA MASSING MEN IN SOUTH, HOWEVER japs, Heavily Reinforced, Penetrating Rapidly To South Along Strategic Rail way to Hankow; Normal Rail Service Disrupted By Troop Movement Peiping. China, Aug. 2 (AP)—Japa nese, now completely in control of China’s ancient 4 - api ! tal, closed the „ ates of Peiping today, virtually im prisoning Americans and other sore r within the walls as squadrons ‘ S f Japanese war planes blasted a path for a thrust deep into China. Japanese authorities said their Dla nes had been bombing Chinese armv concentrations at Paotingfu, rapital of Hopeh province, 85 miles to the southwest, so rthe last 24 hours. Japanese scouting planes were rang ing as far south of Tsinan in Shan tung province, some 170 miles below Tientsin. (Authorititative reports to Nanking from northern Shantung province cor roborated a belief that the Chinese central government was massing men on the southern edge of the hostilities zones. They said troops were moving by railroad, evidently toward the Ho peh border). (Native newspapers in Shanghai al so reported the central government ‘■increasing preparations for war con tingencies" at Hsuchow, an important railroad junction in Kiangsu province bordering the Hopeh-Thahar provinces in the south). Although Japanese asserted the area around Peiping was quiet, they erect ed heavy fortifications at both the east and south gates of the city. A United States army officer and mis sionary were halted at the east gate and refused permission to set out on a mission of mercy to Tungchow. They wanted to investigate damage done to the American missionary school at the capital of the east Hopeh autonomus regime. The Japanese army, heavily rein forced, was penetrating rapidly to the south along the strategic railroad to Hankow, which has been the main artery of the reported advance of 50,- 000 central government troops com manded by General Chen Sheng. Reinforcements for the some 25,000 (Continued on Page Three.) Official Prices On Weed Rise Atlanta, Ga., Aug. 2 (AP) — The State Department of Agriculture said today reports from 40 of 58 warehouses showed tobacco brought an average of 25.37 cents a pound for the first two days of auction season last week. Sales in the 4 0 warehouses for the two day period amounted to 9,410,118 pounds for a total of $2,387,510. The report on sales for the first four days of the 1936 selling sea son showed 35,318,196 pounds sold for 86,357,896 or an average of 525.1 l per hundred pounds. ILINCISEN TAMMANY LEADER Third Democratic Candi date for Mayor Injected As Complication New York, Aug. 2 (AP)—Congress man Christopher Sullivan, today wa3 e *ccted leader of Tammany Hall to oc *j u Py the post made vacant by the ea th of James Dooling. Sullivan's election, which was made nnanisous, had been opposed by the action led by James Hines, who is cicndiy to the candidacy of Grover alen for the Democratic nomina uon for the mayoralty. Sullivan is a leader in the same dis lc w 'th Al Marnelli, whose assist- Ce enabled Dooling to get Tam ,s °tf‘ c iul endorsement for Unit a~ „ ates Se nator Royal S. Copeland ination^* * or ma y° nom sert n ®, utlal group outside the hall ad aUI the Democratic picture by Partv’ Cmg d . third candidate for the Yoii B n,jru *nation for mayor of New urn,,' Samuel Friedman said a “influential Democrats” accelt Tam,man y sub-leaders to raiah \i S u pleme Court Justice Jere didate dhone y as a compromise can IHrnitcrsmt Hath} tUsrmfrh ONLY DAILY NEWSPAPER PUBLISHED IN THIS SECTION OF NORTH CAROLINA AND VISHNIA. In Danger Zone rf M ■ \ B R • I Kathleen Todd Among Americans In the danger zone in China is Miss Kathleen Todd of Washington, D. C., a sec retary in the American legation in Peiping. INew Dealers Anger Many By Tactics Policy of REA and Power Commission Are Blocking Pro gress in This State Daily Dlspat«*l* Burean. In the Sir Walter Hotel. BY J. C. BASKERVII.L,, Raleigh, Aug. 2.—More and more dissatisfaction is being expressed here, both in official and lay circles, with the manner in which some es the “New Deal” divisions are func tioning in Washington and the man ner in which they are retarding, in stead of assisting, in economic im provement and development here in North Carolina. The State govern ment generally, as well as the people as a whole, have been becoming in creasingly disgusted with the Federal Rural Electrification Administration ,and the manner (in whidh it has sought to impede rural electrification in the State by power companies and city-owned utilities. Dissatisfaction Spreading This dissatisfaction is now spread ing to the Federal Power Commission, which last week refused to grant a permit to ,the Caroiina Ajluirtfinum Company for the construction of a $6,000,000 dam across the Yadkin river near Tuckertown, with the result that the company was forced to cancel its contract for the construction of the dam, which had already been let, and for some $1,000,000 worth of machin ery and equipment. This project, which the company had planned to start immediately, would have given employment to several thousand men for at least two years and would then have provided increased employment in the aluminum plants at Badm, which were to be enlarged to use the Continued on Page Five.) Treasurer Johnson Gains Draw In Governor's Race . . £ Robert Grady to Prison Post Linking Highway Chairman If Dunlap Doesn t Click Dally Dispatch Hare nil. In the Sir Walter Hotel. By J. C. BASKERVILL Raleigh, Aug. 2—The stock of State Treasurer Charles M. Johnson as a candidate for the _ nation for Governor in 1940 is deli nitely on the up-and-up right now and pxDected to get better as time goes on according to many obs ® r J n “ ers here. The thing that has given Johnson’s stock- the biggest boost of all so far has been the appointment of h's cousin, Robert Grady Johnson „ a director of the prison division of the State Highway and , P Commission, it is agreed. While those who know the backgroand ofthepn_ con situation are convinced that Roo ert Grady was selected for the prison nost almost solely from the stand point of merit and ability and because Governor Clyde R. Hoey and ‘ b ** bers of the highway commission felt he Shew more about the job and. oo»W handle it better than any one else, it is also agreed that, the appointment LEASED wire service of THE ASSOCIATED PRESS. HENDERSON, N. C., MONDAY AFTERNOON, AUGUST 2,1937 INSURGENTS RENEW ARTILLERY ATTACKS ON NIADISUBURB Battles Also Fought In Three Other Sectors as Spearhead Is Driven In Lines HEAVY CASUALTIES BY LOYAL TROOPS 200 Bodies Left Dangling in Barbed Wire After Attack On Rebel Lines; Drive Into Government Defenses West of Madrid Meets Slight Battle Hendaye, Franco-Spanish Frontier, Aug. 2.—(AP) —I nsurgent artillery opened a bombardment of Madrid’s outer defenses today after driving a spearhead into Spanish government lines west of the capital, as battles were fought on three other fronts. General Francisco Franco’s troops pressed hard against government de fenses in eastern and southern Spain. On the northwestern front insurgents reported defeating an attempt to break their lines east of Oviedo in Asturias. Government forces had about 1,000 casualties in the Asturian attacks, the insurgent report said. At Cuero, troops numbering 8,000 rushed against insurgent lines only to be caught in a cross fire of rifles and machine gun bullets. “Two hundred bodies were left dangling in barbed wire entanglements when the attackers re tired,” the advices said. On the Teruel front, where insur gents have tried to cut communica tions between Madrid and Valencia, government capital, Franco s forces conuered new positions in the Carbo nera mountains. Since the offensive started, insurgents have advanced approximately 56 miles. Insurgents reported that a drive into the government’s Madrid lines west of the capital met only slight resistance. Government sources said Italian troops with General Franco’s army apparently had been withdrawn from the Santander front on the Bis cayan coast. Bitter fighting also raged on the southern front, but the government declared insurgent attacks had been repulsed. WINSLOW NAMED TO FARM COMMISSION Raleigh, Aug. 2 (AP)-Govemor Hoey appointed J. E. Winslow, of Greenville, today to serve on the State Farm Commission in lieu of George Watts Hill, of Durham, who was un able to serve. FURTHER DECLINES IN STOCK TRADING Futures Down 18 to 22 Points at Close, With Spot Quiet and Middling 10.96 New York, Aug. 2. —(AP) —Cotton futures opened barely steady, 3 to 8 points lower, on favora v le weather and under hedge selling and liquida tion. After losing 7 to 9 points, the market Tallied partially toward the end of the first hour. December ad vanced to 10.67 and reacted to 10.02 and the market at midday showed net nosses of 6 to 8 points. Cotton futures closed barely steady, 18 to 22 points lower. Spot quiet, middling 10.96. close October “» December ' has some political angles that are al ready reacting to the benefit of Cou sin Charles Johnson. Four Prospective Candidates At the present time there are four potential candidates for the Demo cratic nomination for governor in 1940 it is generally agreed here. They are as follows: State Treasurer Charles M. Johnson; J. M. Broughton, re garded as the “heir apparent,” or “machine” candidate; Willis Smith, former speaker of the House and be lieved likely to run on a middle-of-the road liberal platform; and State Audi tor George Ross Pou. There is as yet no indication as to who will be the candidate of the McDonald “liberals," although they will undoubtedly bring out a candidate eventually. As all those who know anything about North Carolina politics know, the State Highway and Public Works Commission, together with the prison division, is the most politically potent on Page Five) CUMMINGS CLAIMS FDR CAN POSTPONE VACANCY IN COURT Need Not Fill Van Devan ter’s Office Until Con gress Adjourns, At torney Rules ROOSEVELT~HASN’T DECIDED ON TIME Attorney General’s Decision Based on Precedent and Law, White House Secre tary Says; Text of Ruling Not Made Public by Mr. Roosevelt’s Aide Washington* !Aug. |2.—(AP)—The White House announced today At torney General Cummings had held that President could fill the current Supreme Court vacancy whether Con gress was in session, in recess, or had adjourned. The President had requested the in formal opinion by the attorney gen eral. Stephen Early, White House press secretary, said Mr. Roosevelt had not decided when he would appoint a suc cessor to Justice Willis Van Devanter, who retired June 2. Early said Cummings’ opinion was based “bath on precedent and on law.” The text of the opinion was not made public. ‘|r,ht opinion was asked,” Early said, “to clear doubts away which had been expressed in various quar ters regarding the time when an ap pointment to the aourt should be made to comply with the law.” The fact that the vacancy occurred while the Senate was in session was the basis for the uncertainty express ed in some official quarters as to when it should be filled. FLETCHER DELAYING HIS CRACKING DOWN State Labor Commissioner Tells Depu ties To “Educate” Employ ers on New Law Raleigh, Aug. 2 (AP)—Labor Com missioner A. L. Fletcher said today he had instructed his inspectors to try to “educate” employers in the State before “cracking down, on them to enforce the new maximum hours and child labor laws.” With ten instead of seven inspec tors, Fletcher said he expected to complete check of the employers in the State every six months instead of only about once every nine or twelve months, as formerly, with the smaller staff. Fletcher said C. L. Beddingfield, with headquarters at Fayetteville, and J. R. Buella, with offices at Green ville, would check factories to the east. STOCK MARKET FOR DAY IS VERY DULL Mere Handful of Favorites Prominent for Little Life Shown at Slight Gains New York, Aug. 2 (AP)— Except for a handful of favorites, stocks did lit tle more than loaf in today’s market. The tendency was mildly upward at the start. Early gains of fractions to a point or so were later reduced or cancelled in many instances. Near the fourth hour prices were mixed. Wall Street seemingly had eyes principally for Congress and much discussion was heard regarding chances of quick ad journment. No great amount of sell ing followed passage of the wage-hour bill by the Senate, although this deve lopment was far from encouraging to the financial sector. Earnings continued to provide mod est stimulation for individual issues. Bonds and commodities, uneven at the best, furnished no clue for the stock list. Moderate losers were in evidence at the finish. Transfers approvimated 800,000 shares. American Radiator 21 3-4 American Telephone 171 7-8 American Tob B 83 1-4 Anaconda 68 7-8 Atlantic Coast Line 50 3-41 Atlantic Refining 29 3-4 Bendix Aviation 21 Bethlehem Steel 100 1-4 Chrysler 117 3-8 Columbia Gas & Elec 14 3-8 Commercial 14 3-8 DuPont 162 Electric Pow & Light 22 3-4 General Electric 58 1-4 General Motors 58 Liggett & Myers B 102 3-4 Montgomery Ward & Co 63 1-4 Reynolds Tob B 53 Southern Railway .*.... 32 1-8 Standard Oil Co 69 3-4 U S Steel 120 1-8 OUR WEATHER MAH ' FOB NORTH CAROtIVA. Generally fair tonight, slightly warmer in southeast portion; Tuesday partly cloudy. • IK>45 Wagner Housing Bill To Be Passed Speedily By Senate For An Early Adjournment ARMED FORCES OF CHINA, JAPAN /4f/ 1 300 CHINESE I | 90 JAPANESE I AIRPLANES IN AIRPLANES AT scatterSbasbL l Ti^TsrNj||| 60.000 SOLDIERS! jßfcr/ÜB, Taoamct/ FORMING 29TH JBVJ 18,000 JAPANESE CHINESE ARMY ® F-JraTtraNPEIPINS '"pZr"* Z TL SSK2S3SE PEIPING RESERVE FORCES - ft c f B T \ ,r ; 1H SOLDIERS-IN ■—h S -M M Mmi- SHANTUNG H|l Wf 1 PROVINCE /' ! Vc=~.. j* HOPtn |2E^S?SS^^?S| PROVINCE AND CHAHAR tMeIIrACE OFTHE SM? > SOUTH OF THE GREAT VftMi NANKINQ GOVERNMENT r hr _ m V V NANKING.®-^ Comparison of military strength of Chinese and Japanese in the Peiping- Tientsin avea gives the edge to China, although observers say the Chinese forces are far inferior to Japan’s in matter of discipline, organization and equipment. The comparative sizes of the Sino-Japanese armies in China at the start uC hostilities are shown on this map. Major Matters Will Pass By Close, Bankhead Says House Speaker Says Congress Is On Home Stretch, but With General Farm Legislation Left Behind; House May Defeat Wages and Hours Measure Washington, Aug. 2. —(AF) —Speak- er Bankhead said today he felt Con gress was “on the home stretch.” “We now know what the program is,” he told newsmen, “and I think we have a chance to dispose of all the major matters wanted by the ad ministration before adjournment, with the exception of a general farm bill.” • House leaders, he said, hoped to dispose of a sugar bill this week, and take up wage and housing legislation next week. His statement was lajfen as an indication that he believed the House would pass the wage and hour bill. A bitter fight already is developing over it, however. Representative Rankin, Democrat, Mississippi, pre dicted in a statement that “this mea sure is doomed.” He claimed the “op position is growing hourly.” ROOIVELT-LEWIS FRICTION GROWING Neither Will Admit Nor Deny, Yet Each Hurls Jabs At the Other By CHARLES P. STEWART ‘ Central Press Columnist Washington.—Nothing is more obvi ous than that friction has developed between President Roosevelt and President John L. Lewis of the Unit ed Mine Workers, also generalissimo of Labor’s Non-Partisan league and of the Committee on Industrial Or ganization. • When asked whether such is the case each answers, “No comment.” “Sure not,” would be the answer if no friction existed. “Nlo comment” means, ‘ Sure there is friction.” Jabs “A plague on both your houses,” said President Roosevelt, referring to capital and labor alike. This remark was a jab at capital and labor in general. Yet it was not particularly a jab at William Green’s A. F. of L, for the A F. of L. has not caused him muc.i trouble. It was a jab at the Lewis ites who HAVE. The United Minq Workers, pre (Continued on Page Three.) PPBLIBHBD BVBRY ▲FTBKNOOM EXCEPT SUNDAY. The Senate Judiciary Committee recommended a recess studv of the general problem of crurt reform and also approved a proposal