HENDERSON
jateway to
CENTRAL
CAROLINA
T WENTY-FOURTH YEAR
AMERICANS FACING NEW DANGERS IN CHINA
* * *************** ****** * * * *
France And Britain Seek Annihilation Os Submarine Attackers
NINE-POWER BODY
HI GENEVA HEARS
DRAMATIC SCHEME
Dirigibles, Airplanes and
War Craft Would Be
Utilized in Mediter
ranean Area
SPAIN LAYS UPON
ITALY ALL BLAME
Charged With Inciting Sub
marine Piracy In Sea
Lanes; Underwater Craft
in High Seas Zone Would
Be Subject To Destruction
Without Warning
Geneva, Sept. 10. —(AP) —France
and Great Britain laid before a nine
power conference today a dramatic
plan for automatic annihilation of
any undersea craft lurking on the
Mediterranean high sea route.
Experts of the two powers complet
ed this formula, which embraces also
the use of dirigibles, airplanes and
war craft, to safeguard merchant
shipping, while the League of Nations
Council, in a brief session, formally
placed on its agenda a Spanish gov
ernment charge that Italy is to blame
for piratical attacks on ships in the
inland sea.
The Council session preceded the
meeting of the nine nations at Nyon,
near here —a momentous session de
signed to find security for neutral
ships in the Meditrranean, with or
without the help of Italy and Ger
many, both absent today.
Yvon Del bos, the French foreign
minister, was chosen to open the
Nyon session and get it quickly down
to practical work. A swift technical
study, perhaps led by Britain’s first
sea lord of the Admiralty, Baron
Chatfield, was in order.
The preliminary plan of the British
and French experts would divide the
Mediterranean into territorial waters
and high seas. But along the Mediter
rean sea route all craft found under
■water would be regarded automatical
ly as “piratical,” to ibe open to im
mediate attack by warships of a nine
power international fleet.
British and French men of war
would be the bulwarks of this anti
pirate armada. Planes and dirigibles
(Continued on Page Three.)
Judge Wants
Soldiers On
Marion Case
Marion, Sept. 10 (AP) —Superior
Court Judge Felix Alley said today he
had refused to withdraw his request
to Governor Hoey for National Guards
men at the trial next Monday of Mann
Smith, Negro, charged with criminaV
ly attacking a 12-year-old white girl.
Alley requested the troops Tues
day after a white man, booked by
Sheriff Grady Nichols as Frank And
erson, walked into the court room and
slugged Smith with an iron pipe as he
sat in the prisoner’s dock during selec
tion of a jury. A mistrial resulted.
The judge said a group of Marion
citizens had asked him to withdraw
the request, contending the troops
were not needed. Alley said he denied
the request, because he “held sole
responsibility” for order and protec
tion of the defendant.
Sees Old Time Merchant
As ‘Vanishing American’
Chains Have Crowded Him Out, Says Babson, and
Have Not Furnished “Ba ckbone of Community Cit
izens Instead; But Chains Bring Big Benefits
BY ROGER W. BABSONj,
Copyright 1937, Publishers
Financial Bureau, Inc.
Gloucester, Mass., Sept. 10. When
1 was a boy here in Gloucester, every
store was owned by an independent
Gloucester man. He was active in the
civic, religious and social interests of
the city. Gradually the chain store
stores have been creeping in. Today
most of the local merchants have been
erased from the retail field. Now
Gloucester’s Main Street has become
a chain of chain stores.
I regret the passing of so many in
dependent retailers. I realize,
ever, that no phenomenon is involved
in the success of the chains. They
are a distributing invention, just as
the modern loom is a manufacturing
invention. It is as foolish to trjr £o
iicrtiicrsmt BaUu Btsuafrlt
OF
ASSOCIATED press.
jtgissp JnT
With a huge American flag as identification, this Dollar Line tender
steams on the Whangpoo River, carrying American refugees to the
President Jefferson, waiting in the harbor to take them to safe haven.
American marines aboard the tender add further protection.
SCHOOL ROADS IN
BEST OF CONDITION
More Money Spent on Them
Than* in Any Previous
Year Except 1936
In the Sir Walter Hotel.
Daily Dispatch Unreal).
Raleigh, Sept. 10—The roads over
which North Carolina’s school buses
will operate more than twenty million
miles between now and the end of the
current school term are in the best
condition of their history, in the op
inion of Frank Dunlap, chairman of
the State Highway Commission.
“Os course, I do not mean to say
that there will be no roads closed to
buses at any time this winter,” said
Mr. Dunlap. “That would be too much
to say, but I do believe that the roads,
particularly the country and second
ary roads over which the buses will
(Continued on Page Three.)
OXFORD CCC CAMP
TO BE ABANDONED
One of Those Listed for Discontinu
ance, Despite Appeal by Ox
ford Citizens
Washington, Sept. 10 (AP)—The
CCC announced today 45 CCC camps
would be operated in North Carolina
during the quarter beginning October
1, seven less than in the current
quarter.
Eight of the present camps will be
abandoned, but the program calls for
opening of a new one to be located in
McDowell county.
Camps to be abandoned include a
soil conservation camp at Oxford, in
Granville county. A delegation from
the county was here this week to pro
test the proposed closing.
Other camps to close include one
at Maysville, Jones county, in Croatan
National Forest.
break up merchandizing chains as it
would be to break up power machin
ery. The old-time store of a quarter
of a century ago has been wiped out
as definitely as has the spinning
wheel and the hand loom.
Secret of Chain’s Success.
Unquestionably the chains have eli
minated much waste and duplication
from merchandizing. They understand
the economics of buying and selling.
By faultless —in some cases even ruth
less-purchasing methods, they have
been able to distribute merchandize
more cheaply and more efficiently to
the great advantage of American con
sumers. After all, the chain store is
nothing more nor less than an at
tempt to do for distribution what
(Continued on P*ge Six.),
ONLY DAILY NEWSPAPER PUBLISHED IN THIS SECTION OF NORTH CAROLINA AND VIRGINIA.
Old Glory Protects Refugees
HENDERSON, N. C., FRIDAY AFTERNOON, S EPTEMBER 10, 1937
(Central Press)
Young Party
Group Holds
Quiet Meet
Hoey and Ward
Laud Democratic
Record; Arch Allen
To Be President
Winston-Salem, Sept. 10.—(AP) —
With harmony prevailing, and amidst
a spirit of celebration of victories
won, North Carolina’s Young Demo
crats here today heard speakers paint
vivid pictures of what they termed
successful and beneficial government
by Democrats.
Hundreds of delegates from all
parts of the State arrived last night,
and business was the order of the day
after a morning tour of tobacco fac
to: ies.
D. L. Ward, of New Bern, member
of the legislature from Craven coun
ty, and secretary of the Democratic
State Executive Committee, sounded
the keynote with a challenge to the
Young Democrats to “read the record
of the past and present of the State’s
progress and the party’s service to the
people—and pledge anew your al
legiance to our party, which has done
as much for us.”
The party’s leader in the State,
Governor Clyde Hoey, climaxed the
day with an exhortation to carry on
the work of the Democratic party.
The chief executive outlined “North
Carolina’s record of progress” in em
erging from the financial depression,
and traced accomplishments of his
administration.
“Young Democrats can find much
of which to be proud in the history of
America’s triumphs over the depres
sion and mastery of problems chal
lenging the very existence of demo
cratic principles,” he said. “No state
gives the citizens more for every tax
dollar than does North Carolina.”
Last night John Cassey, of Greens
(Continued on Page Three.)
REA APPEAL TO BE
VERY COMPLICATED
Johnston Rural Electrifica
tion Case on Its Way to
Supreme Court
Daily Dispatch Ilnrenn.
In the Sir Walter Hotel.
Raleigh, Sept. 10.—As counsel for
the various principals in the tri-par
tite Johnston County Rural Electri
fication row prepare to press their
appeals to the Supreme Court it be
comes more and more evident that
this higher tribunal hearing is likely
to be a really complicated affair.
To the lay mind this may seem
strange in view of the fact that the
issues can be very simply defined as:
(1) The plaintiffs (three Johnston
county farmers fronting for the Fed
(Continued on Page Three.).
loSS COURT
FOR SECOND TIME
Appeal Noted From Circuit
Court Which Upheld
Greenwood Power
Fund Grants
NEUTRALITY WOULD
BE COSTLIER TO U. S.
Washington Hesitates To
Invoke Enactment of Re
cent Congress; Justice De
partment Reveals Nazi
Probe in United States Is
Already Under Way
Washington, Sept. 10.—(AP)— The
Duke Power Company appealed to
the Supreme Court today for the sec
ond time in an effort to prevent the
Federal Public Works Administration
from making loans and grants to
publicly-owned hydro-electric plants.
It asked the tribunal to review a
decision by the fourth circuit court of
appeals sustaining a $2,852,000 PWA
loan and grant to Greenwood county,
S. C., for an electric plant at Buzzard
Roost. The court" already has agreed
to review similar litigation brought
by the Alabama Power Company and
the lowa City Light & Power Com
pany to stop the government from
supplying money for projects in those
two states.
Arguments in the latter cases pro
bably will be heard next month. If the
court consents to review the Duke
Power case, it likely will be argued
with the others.
Neutrality Would Be Costly.
Meantime, government officials said
any future application of the neutral
ity act might seriously restrict export
of such things as cotton, wheat, scrap
iron and automobiles, as well as em
bargoing shipments of arms and am
munition. This is a possibility under
the President’s discretionary powers,
they said.
Immediately upon invocation of the
neutrality act by the President, it
would become unlawful to export
arms, ammunition and implements of
war to either of the belligerents. A
similar prohibition would become ef
fective against the extension of loans
or credits to either side in the con
flict.
Nazi Probe Under Way.
Elsewhere in Washington a dis
continued on Page Three.)
ART INSTITUTES OF
TEACHERS PLANNED
Highsmith Announces 18 Such Schools
Over State During Septem
ber and October
Raleigh, Sept. 10. —(AP) —Eighteen
art institutes for public school teach
ers will be held in various North Car
olina municipalities from September
13 to October 2, Henry Highsmith, di
rector of the division of instructional
service of the State Department of
Fublic Instruction, said today.
The institutes, designed to give
teachers additional training in art and
instruction, and to “promote an art
for every child” program, will be held
in the following cities.
Greenville, Sept. 14; Rocky Mount,
Sept. 15; Goldsboro, Sept. 16; New
Bern, Sept. 17; Lumiberton, October 2.
Other cities will have such institutes
also.
Government
Line Broken
Near Gijon
Hendaye, Franco-Spanish Border,
Sept. 10 (AP) —Insurgents reported to
day they had smashed government
resistance in the high Europa moun
tain section, bulwark of the Gijqfh de
fense, after a 15-hour battle.
The defense line broke and fled in
furious nand-to-hand fighting along
mountain trails more than 1,000 feet
above the sea. Five government planes
were shot down.
Insurgent commanders .. said they
had confidential reports a Russian gen
eral, Torcez was sent from Valencia
to organize the defenses of Gijon, last
government-held port in the Spanish
northwest.
Most of the resistance to the insur
gents’ westward drive was made by
the Austurians, deemed the fiercest
fighters in the government’s ranks.
WEATHER
FOB NORTH CAROLINA.
Partly cloudy; showers in north
central portion Saturday; warmer
tonight except on the north coast.
RUSSIA’S FLEET “BOTTLED”
A j
s . .
Map showing “Bottle-Neck”
This map indicates why the Soviet Union is vitally interested in
a “free” Mediterranean. Russian vessels from her Black sea ports
have no other means of reaching the Atlantic except via this tor*
turous route to and through the Mediterranean. And if the Medi
terranean is blocked or is infested by submarines, the vessels of the
Soviet Union are bottled up.
Reform In Civil Service
Discussed By President
Unusual Accident
Fatal smokestack
For weeks Hilda Williams, 20-
year-old Plymouth, Mich., wait
ress, had pleaded Jfichael
Schlemarr, a construction fora
man, to take her to the top of the
240-foot smokestack at the new
plant of the Borroughs Adding
Machine Co., in Plymouth, “to
see the view.” Schlemarr con
sented and no sooner had Hilda
“seen the view” than she missed
her footing, fell down the stack
and was killed instantly. To add
to the tragedy, Schlemarr was so
nerve-wracked over Miss Wil
liams’ plunge, he fell out of a
bucket while descending, dying of
his injuries.
—Central Press
PAYNESEEIT'
IN COUTH CAROLINA
Officers Start Hunt; Myster
ious Pair Hold Up Rocky
Mount Man
Hemingway, S. C., Sept. 10. —(AP) —
Officers of this section were on the
alert today after Bill Payne, North
Carolina prison farm fugitive, was re
ported seen driving through here late
yesterday in a blue sedan bearing
North Carolina license plates.
Police Chief Walter Philips said two
Hemingway residents reported they
saw Payne, accompanied by a woman,
drive into a filling station, and then
continue toward Florence.
They recognized him, they told
Philips, from his pictures. Chief Mc-
Laurin Burch, at Florence,, was noti
fied and his men were instructed to
be on the lookout. There Was a report
at Florence Payne was hiding near
Loris.
ROCKY MOUNT MAN ROBBED
BY MYSTERIOUS COUPLE
Rocky Mount, Sept. 10 —(AP) —Leon
Epstein, well known clothing mer
chant here, picked out a picture of
Eddie Cobb, escaped convict, from
police records this morning as most
nearly resembling one of two white
men who held up and robbed him last
night. . . . ...
The men forced him into their car,
(Continued on Page Three.)
PUBLISHED SVBKY AFTBXNOOM
BYCUPT BITNUAY
Samuel Ordway, Jr., New
York Republican Mem
ber of Commission,
Sees Roosevelt
SAYS CONFERENCE
AN AGREEABLE ONE
No Conflict of Views During
Discussions, He Says;
Breckenridge Long, For
mer Ambassador to Italy,
Has Luncheon Engage
ment With the President
Hyde Park, N. Y., Sept. 10. (AP)—
New reforms in the Federal Civil
Service, including improved techni
que in examining with a view to ob
taining “the best available person
nel,” were advocated by frrynuel Ord
way, Jr., of New York, in a confer
ence with President Roosevelt today.
Ordway, 37-year-old attorney, whose
“hobby” in merit-system reform, will
take office September 15 as the new
Republican member of the Federal
Civil Service Commission. He con
ferred at the summer White House
.shortly before Breckenridge Long,
former ambassador to Italy, arrived
for luncheon with the President.
Talking later with newspaper men,
Ordway said he and the President
iContinued on Page Twol
PRISON CHIEF TO
RUN FOR SHERIFF
L. G. Whitley Resigns as State Dis
ciplinarian To Seek Office
in Wilson County
Raleigh, Sept. 10 (AP) —L. G. Whit
ley, of Wilson, State Prison disciplin
arian, has resigned, effective Novem
ber 1, to run for sheriff of Wilson
county. Until recently, he was assist
ant director of the penal division.
Robert Grady Johnson, director of
not received a formal resignation from
the penal division, said today he had
whitley and hence had made no plans
to fill the vacancy.
How Family Budget Goes
In This Section Shown
Franklinton, Louisburg, Wake Forest, Spring ' Hope,
Nashville and Elm City 1 ncluded in Survey of Costs
On Operating H omes In Area
Washington, Sept. 10. —(AP) — An
Agriculture Department Home Eco
nomics Bureau survey disclosed today
about two-thirds of the income of
white families In southeastern state
towns goes to defray expenses of the
“big three” of the family budget,
food, clothing and shelter.
The report was based on a survey
of 1935-36 living costs of 2,145 native
white families in 33 southeastern
towns. North Carolina towns were
Whitakers, Franklinton, Louisburg,
Nashville, Spring Hope, Wake Forest,
Zebulon and Elm City.
The bureau said a majority of the
families reported at least two-thirds
of their income wentvfor food, cloth
ing and expenses incident to run
ning the house. This proportion de
creased as incomes increased.
8 PAGES
TODAY
FIVE CENTS COPY
JAP WAR MACHINE
STRIKES FOEBUT
New Assault Finds Natives
in Virtually Same Strong
Positions as at
Outset
jap shellTalls
IN MARINE SECTOR
Shrapnel Sprays Interna
tional Settlement and
Many Civilians Are Injur
ed ; Chinese Communists in
North Taking Field Against
Invaders
Shanghai, Sept. 10 (AP)— Japan’s
streamlined war machine struck at
stubborn Chinese defenders on all
fronts today, placing Americans and
other foreigners in serious danger
from the spreading hostilities.
The new assault found China’s arm
ies holding virtually the same posi
tions as when Shanghai warfare start
ed August 13.
United States Marines guarding the
northern boundary of the international
settlement were endangered when a
Japanese shell fragment plowed into
the heart of the barricade.
Shrapnel sprayed the international
settlement causing a number of civil
ian casualties.
High explosives rained down on the
Whangpoo, Shanghai’s outlet to the
Yangtze. One projectile narrowly miss
ed a British destroyer. Another whiz
zed over the French flagship anchored
across from Shanghai at Pootung.
Japan carried the warfare to south
China ports with a bombardment of
Swatow. Americans there took re
fuge in the United States gunboat
Asheville.
The first of 1,200 American war re
fugees left Hankow for Canton, with
a prayer that their train would not
be bombed.
On the northern front powerful Chi
nese communist armies of General
(Continued on Page Three.)
Soviet Hint
Gs Reprisal
Upon Italy
Geneva, Sept. 10. —(Al*)—Soviet
Russia’s foreign commissar warn
ed a nine-nation Mediterranean
conference today that his country
“must and will take its own
measures” against submarine
pirates in that sea. This was in
terpreted as a threat of reprisal
against Italy.
In an impassioned address not long
after the nine powers met to adopt
a collective means of stopping attacks
On neutral vessels, Maxim Litvonoff,
of the Soviet Union, cried:
“The Soviet government cannot al
low any one to destroy its state pro
perty!’’
He linked these words with a thin
ly-veiled accusation of Italy as a
“pirate government.”
Every one, he said, knew whom he
was talking about.
Then Litvinoff brought into the
open his warning that Russia will act
(Continued on Page Three.)
Tables showing how 2145 native
white families in 33 Southeastern
villages spent their 1935-36 incomes,
which have just been compiled by the
Bureau of Home Economics of the
Department of Agriculture, reveal the
proportionate power of that big three
of the family budget, food, clothing,
and shelter.
Gathered under the direction of Dr.
Louise Stanley, these figures show
spending patterns at various income
levels for wage earning, clerical, and
business and professional families in
Georgia, Missississippi, North Caro
lina, and South Carolina villages.
The villages studied are: In Geor
gia: Winder, Commerce, Greensboro,
Jefferson, Comer, Madison, Social
(Ccatinued on Page Six.)