HENDERSON
GATEWAY TO
CENTRAL
CAROLINA
TWENTY-FOURTH YEAR
Japan Apologizes
To Great Britain
For Naval Attack
Admits Shelling of Gunboat
Was Mistake and Ex
presses Regret For
Incident
emperor ADVISED
OF INVESTIGATION
Tokyo Press Hails Settle
ment of American Panay
Incident as Tribute to
“Coolness and Sincerity”
of Japanese and American;
Peoples
Toko, Dec. 28. —(AP) —Foreign Min
ister Koki Hirota tonight delivered to
the British ambassador, Sir Robert
Craigie, Japan's reply to a protest
against Japanese attacks on the Bri
tish gunboat Ladybird.
The text of the note was' not mad j
public, but the military section of im
perial headquarters issued a state
ment saying the attack was a ‘'mis
take'' and expressing “regrets”. One
sailor was killed in the attack.
The Japanese note was given Am
bassador Craigie after Hirota report
ed details of the government’s inves
tigation to the emperor.
Hirtoa's report on the attack, which
occurred on the Yangtze the same day
the United States gunboat Panay was
gent to the bottom by Japanese bomb"-
included the government’s measures
for amicable settlement with Great
Britain.
With final disposition of the Lady
bird incident, Tokyo newspapers hail
ed settlement of the Panay bombing
as a tribute to the “coolness and sin
cerity" of the Japanese and United
States governments and peoples.
Rightists
Gain Power
In Rumania
Bucharest, Roumania, Dec. 28. —
(AP)—King Carol tonight accepted
the resignation of Premier George
Tatarescu and commissioned Octavian
Goge. anti-Semitic president of the
National Christian party, to form a
hew government.
Tatarescu submitted his resigna
4ion last week after the Liberal party
failed to win a majority in the Cham
ber of Deputies election. The king’s
decision wan announced after a series
of conferences with party leaders.
Goga immediately presented a cab
inet slate which he described as
“rightist. 1 ut representing the various
parties, and all elements of Rou
niania's political life.”
The king disposed of rumors of an
impending dictatorship by announcing
he was determined to stick to the
parliamentary f orm of gov irnment.
AMERICANGUNBOAT
IVINGJEFUGEES
Nearly 300 United States
Citizens Taken from
Province Capital
Shanghai, Dec. 28. —(AP) —The Unit
ed States gunboat Sacramento steam
ed out of Tsingtao harbor today, car
rying American refugees from that
rich Shantung province seaport isolat
ed by advancing Japanese armies.
Dispatches from the threatened city
-aid 280 Americans had evacuated,
many of them on the Sacramento,
which was due in Shanghai Thursday.
Earlier this week Tsingtao' advices
were that there were 300 Americans
there, with the Sacramento, the de
stroyer Pope and the crusier Marble
head standing by to aid them.
Worst Storm Os Year
Rakes The Northwest
With An 8-Foot Snow
Seattle, Wash., Dec. 28.—(AP)
Oales, ice, snow, rain and land slides
crippled communication as the year’s
"Worst and most widespread storm
lashed the Pacific Northwest today.
Traffic was halted on Portland, Ore
gon, streets as 4.47 inches of rain,
heaviest fall since 1911, was recorded
In 24 hours. A small tug boat, the
Hen Hur, overturned and sank in
Portland harbor while trying to move
a heavy barge. Two men aboard were
rescued.
Hmtiiersmt lUttht tltsirafdi
SERVICE OF
THE ASSOCIATED PRESS.
FIERCE ATTACK BY
RELIEF COLUMN ON
BESIEGER TERUEL
Spanish Insurgents Break
Through Government
Outposts North
west of City
TRYING TO RESCUE
6,000 HELD THERE
Provincial Capital Captur
ed Last Week by Govern
ment Surprise Attack After
Rebels Held It 17 Months;
Government Blasts Build
ings
Hendaye, Franco-Spanish Frontier,
Dec. 28.—(AP) —General Muguel Aran
da’s relief column was reported today
to have driven through Spanish gov
ernment outposts northwest of Teruel
in a fierce counter action to deliver
6,000 men, women and children besieg
ed in the fallen city.
Dispatches reaching the French
frontier said Aranda’s men were
“fighting without pause.”
Insurgent sources declared Aranda’s
advance guard might soon reach the
seminary-fortress, the Bank of Spain
building and a civil governor’s palace,
where 3,000 insurgent officers and sol
diers and about that many civilians
fought hunger, thirst and a blasting
siege.
Advices from insurgent and govern
ment sides told of heavy fighting out
side the provincial capital, which was
captured last week in a surprise of
fensive after it had lain seventeen
months in insurgent control.
Barcelona dispatches said opposing
patrols were still fighting inside the
city, with government forces appar
ently controlling the greater territory.
(Teruel, whose insurgent forces long
had threatened to spear into vital gov
ernment territory, is 135 miles east of
Madrid.) .
Reports direct from Teruel said the
three ancient stone-walled buildings
which housed the insurgents were
slowly being blasted apart by govern
ment artillery. The upper floors had
been set afire.
FRENCH DIVISION LANDS
ON MINORCA, SENATOR SAYS
Paris, Dec. 28.(AP) —Senator Henri
Lemery told th e French Senate today
there had been “rumors” a French di
vision had landed on the island
Minorca, last stronghold of the Span
ish government in the Balearic islands
off the Mediterreanean.
H e hoped, Lemery said, to have a
denial from the government.
(Reports of Italian forces based on
Mallorca and Ibiza, Balearic islands
controlled by the Spanish insurgents,
have greatly perturbed French poli
ticians the past several months.)
Lemery, rightist senator from Mar
tinique, declared the Spanish Madrid-
Valencia government’s resistance to
General Franco was possible only by
large numbers of volunteers recruited
on French territory.
Foreign Minister Delfcos said: “l
protest the statement of Senator Le
mery.”
COTTON IS MIXED
IN MIDDAY PRICE
Cables Are Steady and Trade and
Foreign Buying Are Much
In Evidence
New York, Dec. 28. —(AP) —Cotton
futures opened one to three points up
on steady cables, trade and foreign
buying. March eased from 8.35 to 8.28.
leaving prices three to six points net
lower after the first half hour. By
midday March recovered to 8.32 and
the list ranged from two points net
• higher to three lower.
Pioneer residents of the Idaho pan
handle said the two-day snowstorm
was the worst in their memories. The
35-inch snowstorm at Wallace closed
several miles of roadway. The fall
measured 96 inches at Lookout Sum
mit on the Idaho-Montana divide.
Rising waters of the Williamette
river threatened 45 families at Grand
Island and Wheatland, Oregon, as the
Wheatland daw weakened.
Water piled up behind the dam and
cut through a country road.
ONLY DAILY NEWSPAPER PUBLISHED IN THIS SECTION OF JNuRTH CAROLINA AND VIRGINIA,
CHINA RUSHES MILITARY ROAD TO SOVIET UNION
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Route of new highway, designed for speedy shipment of war materials from Russia to heart of China.
A new Sino-Russian super highway, built for shipment of war supplies from the Soviet Union to the heart of central
China in two weeks, is being rushed to completion, Chinese sources reveal. The report strengthens belief that Soviet
plan wide-scale indirect support of China in its war against Japanese invaders. More than 1,000,000 laborers are said
to be working on the highway, which includes a spur from central China to Ulan Bator, capital of Outer Mongolia.
Kidnaped—Freed
■ . . ujggpl
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■■■■■■■■■HaaiaaMauammmaaaiHaHi
“
John Bryan, Jr., 8 years old, is
pictured above. The lad, son of a
Centerville, Ind., bank cashier, was
kidnaped with his nursemaid and
held for $3,800 ransom, but a quick
police net balked the kidnapers.
Neither boy nor nurse was harmed.
TBS
\
May Figure Sharply In 1938
Primary Elections Over
The State
Daily Dispatch Bureau.
In The Sir Walter Hotel.
Raleigh, Dec. 28—There are many
indications that the primaries of 1938
and perhaps even the general election
will find prohibition an extremely live
and politically dangerous issue.
This despite the fact that only in
Sampson county is there any surface
indication that the advocates of coun
ty stores are planning to force their
county board to call an election on
the wet-dry issue.
In Sampson, reports have it, a peti
tion is being circulated for an ABC
election and the prospects for secur
ing the needed number of signatures
are said to be very bright.
Direct store elections, however, are
expected to be comparativly unim
portant. The battle for and against
prohibition will be fought with espe
cial vigor in the nomination of can
didates for the 1939 General Assembly.
The county stores were legalized by
vote of almost as many legislators
from now-dry counties as of those
from counties now having stores. To
keep what they have the wets must
not only have the votes of all legis
lators from wet counties, but they
must get help —and plenty of it—from
solons whose constituents have not
said affirmatively that they favor the
legal sale of liquor.
The United Dry Forces are saying
nothing for publication, but there are
(Continued on Page Eight.)
WEATHER
FOR NORTH CAROLINA.
Cloudy and unsettled tonight
and Wednesday; probably mists or
light rain in south portion; slight
ly colder near coast tonight and
iu north portion Wednesday.
HENDERSON, N. C., TUESDAY AFTERNOON, DECEMBER 28, 1937
Expansion \
. ' I
OverSouth
Very Rapid
Chattanooga, Tcnn., Dec. 28. —(AP)
—The Southern States Industrial
Council said today Southern industry
expanded by $165,000,000 during 1937,
This expansion, tl|e council reported,
gave permanent employment to 67,735
workers. • ■ •
The council’s figures, announced
following its annual survey, were bas
ed on programs either completed or
launched during the year. “Notable
among the new manufacturing enter
prises was the expansion of the paper
and pulp industry,” the report con
tinued, adding that since 1935 some
$85,000,000 had been invested in south
ern plants to provide employment for
13,000. It said production capacity was
doubled in the last two years.
New industries cited by the council
included: Manufacture of china in
Georgia, pottery in Alabama, various
types of chemical plants in southeast
ern states, trailer manufacture and
the manufacture of dairy machinery.
Stating that the expansion program
made no material impression on em
ployment ‘figures for the year, the
council explained numerous plants re
ported complete shutdowns and others
had seasonal lay-offs.
BUFFALO IS AGAIN
SHORT OF CURRENT
Failure of Electrictiy Hampers Indus
try and Affects Many Homes
and Hospitals
Buffalo, N. Y., Dec. 28 (AP) —Buf-
falo and suburbs, with a population of
about 700,000, encountered its second
emergency of a month today when elec
trical service failed in about 100,000
homes.
Hospitals, office buildings and stores
also were affected by the power tie
up. Traffic lights failed. Shoppers
and office workers were marooned in
elevators between floors iin eight
downtown buildings. Six hospitals
were without electric service.
A low, rumbling explosion in a large
electric distributing plant in suburban
Tonawanda, followed by fire, cut off
the electric service for virtually all
residential sections at 9:22 a. m., east
ern standard time.
Colonel William Kelly, president of
the Buffalo Niagara Electric Com
pany, said service would he resumed
this afternoon.
KENNEDYIELVED
INTO LONDON POST
Washington Gossips He Is
Being Dropped from
1940 Limeliglit
By CHARLES P. STEWART
Central Press Columnist
Washington, Dec. 28.—1 s Joseph P.
Kennedy, being shipped over to
London, as Uncle Sam’s ambassador,
mainly to get him out of the political
limelight on this side of the water?
I had occasion to refer to this mat
ter recently. The story then was to
the effect that Kennedy was Presi
dent Roosevelt’s choice for nomina
tion as head of the Democratic ticket
in 1940 and that his selection for the
London embassy was made with a
view to increasing his prestige in an
ticipation of his party’s next national
convention.
As I remarked at the time, this ac
count did not seem to me a probable
one.
Much Discussed Man.
Thomas P. Kennedy has had a tre
mendous amount of publicity of late.
He made wonderfully good as head
(Continued on Page Eight)
Woman Freed In
Death of Mother
Warren, Ohio, Dec. 28. —(AP) —
Miss Louise Campbell was ordeTed
free from the Trumbull county jail
today after Coroner J. C. Henshaw
nil'' 1 (he gunshot death of her
mother was accidental.
The 28-year-old woman had been
in jail without charge since Satur
day. Mrs. Campbell, 55, daughter
in-law of a pioneer Ohio steel mas
ter, James A. Campbell, died Sun
day of internal hemorrhages in
duced by an abdominal wound, de
spite a blood transfusion from- her
daughter.
The verdict of the coroner’s in
quest said: “AH the witnesses in
connection with the fatal shooting
of Mrs. Cordelia Campbell were
fairly examined by Coroner J. C.
Henshaw, and they all stated that
the shoot'ng was accidental.”
The order for the release of the
young, wobaan gave her the oppor
tunity to attend private funeral ser
vices for her mother at a Youngs
town funeral home.
generalltors -
LAY OFF 30,000
Action . Renews Demands in
Congress for Tax Relief
1 to Business
Detroit, Mich., Dec. 28 (AP)—Wil
liam Kundsen, president of General
Motors Corporation, announced today
employment in General Motors plants
throughout the United States would
be reduced by about 30,000 employees,
effective January 1.
The reduction in Michigan, he said,
will approximate 20,000 employees.
Knudsen said “the recession is bus
iness makes a readjustment of the
working force necessary.”
He explained the General Motors
plants would operate on a three-day-a
week basis, each operating a tota
of 24 hours a week. That will be th£
working schedule for those employees
who are retained.
NEWS BRINGS NEW DEMAND
OR FEDERAAL TAX RELIEF
Washington, Dec. 28 —(AP) Senator
Van Nuys, Democrat, Indiana, said to
day the decision of General Motors
Corporation to reduce its working
force by 300,000 January 1 demonstrat
ed that the immediate duty of the on
coming Congress is to take steps to
reassure business. ,
Van Nuys declared the undistribut
ed profits and capital gains taxes
should be revamped early in the ses
sion., This, he predicted, would
"bring an almost immediate benef
ical effect.’
Van Nuys and Senator Adams,
Democrat, Colorado, both termed the
General Motors job cut “unfortunate.”
BAILEYIfESTO
GETTING PUBLICITY
V
“Address to the People” by
U. S. Senators Not Spe
cific, However
Dally Dispatch Boren*,
tn the Sir Walter Hotel.
Raleigh, Dec. 28—Senator Josiah W.
Bailey couldn’t get many fellow mem
bers of the “greatest deliberative body
on earth” to sign “an address to the
people of the United States 1 ; hut his
manifesto is getting unusually wide
spread distribution and publicity
through the medium of fiull page news
paper advertisement under which ap
(Continued on Page Five)
PUBLIBHJDD WSKT AFTERNOON
EXCEPT SUNDAY.
U. S. Will Keep Up
Silver Purchasing
From The Mexicans
DEATH CONTINUES
TO RAVAGE STATE
DURINGJOLIDAYS
fFaj-Jalteville Woman Is
Burned to Death in Fire
That Destroys Home
There
HIT-AND-RUN CAR
KILLS ANGIER BOY
Two Negroes Drown Near
Manteo as Car Leaves
Highway and Dives Into
Canal; Negro Accused in
Drowning of Eight Persons
Near Wallace
Fayetteville, Dec. 28 (AP) —Dep-
uty Sheriff Patrick said today he
had been informed Chastine
Weeks, 24-year-oid son of Mrs.
Nannie Fisher, 49, had shot him
self to death when officers ap
proached him to question him
about a fire at her home that cost
her life.
Patrick said the deputies, Frank
Gray, Ernest Jackson and Wesley
Freeman, came upon Weeks about
approached him to question him,
a mile from the burned house, and
but he fled, carrying a shotgun.
The officers telephoned in, Pat
rick said after a short chase,
Weeks “turned the gun on him
self and blew his brains out.”
Fayetteville, Dec. 28. —(AP) — The
body of Mrs. Nannie Fisher 49-year
old widow, was found early today in
the ashes of her home near here.
The home, on Cedar creek road,
thrc c miles from Fayetteville, burned
shortly after midnight. City firemen
wore called, but the flames had gained
so much headway that they were un
able to extinguish them. At first it
was believed the residence had been
unoccupied for the night, but a mem
ber of the family, on being informed
of the blaze, told officers Mrs. Fisher
was in it.
C.hunty authorities said they would
investigate in. an effort to determine
whether there was any evidence of
foul play.
ANGIER YOUTH IS KILLED
' BY HIT-AND-RUN DRIVER
Angie.r, Dec. 28. (AP) —Chester
Johnson, 17, of near Angier, was dead
today after an unknown hit-and-run
driver ran into him on Highway No.
15-A just inside the Wake county line
late last night as Johnson rode a
bicycle homeward.
Highway Patrol and Wake county
officers sought the driver but his
identity had not teen established, said
Captain Charles Farmer, of th e patrol.
NEGRO ACCUSED IN DEATH
OF EIGHT NEAR WALLACE
Wallace, Dec. 28. (AP) —Alonzo
Whitehead, Negro, was charged today
with fast and reckless driving in the
death by drowning of eight other Ne
(Continufid on Page Four.)
BASKETBALL YOUTH
DIES OF PRACTICE
Gastonia, Dec. 28. —(AP) —Char-
les J. DockeryS, 23-year-old Fire
stone mills basketball player, died
here about noon today, 45 minutes
after he became suddenly ill at a
practice game at the Armory.
Death was attributed to his hav
ing become over-heated. He is
, survived by his parents, Mr. and
Mrs. J. D. Dockery,’ of Chat
tanooga, Tenn., and several broth
ers and sisters. <
Predicts Next Congress
Will Block FDR Program
Another Do-Nothing Session Forecast, With Executive
Dictation Stepped oiTAbo ut As Completely As Dur
ing Extra Sitting Just Ended
By CHARLES P. STEWART
Central Press Columnist
Washington, Dec. 28.—Congress’ re
gular session, beginning Jan. 3, prob
ably will be as unproductive as the
extra session, recently ended.
During the short holiday reces’.
New Deal leaders have worked hard
to put some “pep” into the Roose
veltian program, but the rank and file
of legislators seem as little inclined
as ever to lend support to White
House recommendations. Quite gen
erally they scattered from Washing
ton over Christmas and the New
Year. Probably few of them went
home, except those who live very near
1 Q PAGES
IO TODAY
FIVE CENTS COPY
Present Policy To Hold
Through January, Mexi
cans in Washington
Agree
TRADE BALANCE IN
1937 IS FAVORABLE
Margin of Exports Over Im
ports Is $151,670,000
Through November;
Wheat Crop Insurance
Rider To Be Insisted on in
Farm Bill
Washington, Dec. 28. —(AP)—Treas-
ury and Mexican officials announced
today continuance of United State*
purchases of Mexican silver through
January.
The understanding was reached in
a conference this morning between
Mexican Finance Minister Eduardo
Suarez and Secretary of the Treasury
Morgenthau. The purchases will be
made on the same basis as the past
year, the United States paying 45
cents an ounce for newly-mined Mexi
can silver delivered at New York.
It was understood no permanent
agreement could be reached until Pre
sident Roosevelt announced th e price
to be paid next year for newly-mined
United States silver. His year-old pro
clamation fixing the present domestic
price at 77.57 cents an ounce will ex
pire Friday night.
The Commerce Department announc
ed, maenwhile, United States mer
chandise exports showed a $151,670,-
000 excess of export over imports in
the first eleven months of the year.
Although imports ran ahead of ex
ports during most of the year, the
last few months changed the trend
and November alon e accounted for
$91,456,000 of the export balance.
November foreign trade was slightly
smaller than in October, but, the com
merce Department said, the decline
was seasonal. Exports totalling $314,-
682,000 were five percent under Oc
tober, and imports aggregating $233-
226,000 were one percent below the
previous month.
Other developments:
Senator Pope, Democrat, Idaho, pre
dicted that Senate conferees would in
sist on retention of a wheat crop in
surance rider on the farm bill.
Usually well informed officials said
the President would tell Congress
next week that the 1938-39 budget can
be balanced if relief expenditures can
be held within bounds.
FORMER LIBRARIAN
AT DAVIDSON DIES
Aberdeen, Dec. 28 (AP) —Miss Cor
nelia Shaw, librarian emeritus of Dav
idson College, was found dead in bed
at her home here today, apparently of
natural causes. She was a sister of
the late Superior Court Judge Thomas
J. Shaw, of Greensboro. The funeral
will be held from the home in South
ern Pines, Wednesday afternoon.
TWO LABOR CASES
ARISE FROM STATE
Labor Board To Hear Complaint*
from Erwin Mills Employees
Early In January
Baltimore, Md., Dec. 28 (AP) —Ben-
net Schaufler, regional director of the
National Labor Relations Board, an
nounced today the NLRB would con
sider three new cases in Virginia and
North Carolina early in January.
Schaufler said both North Carolina
cases involved petitions by the TWOC
for a representation vote at the Erwin
mills. One vote will be taken at Dur
ham, the other at Cooleemee, on or
about January 10.
The Virginia case involves a com
plaint brought by the American Fed
eration of Labor against the Titmus
Optical Company of Petersburg. The
union has charged the company with
general discrimination against AFL
workers, Schaufler said. It will be
heard January 6.
by the capital, but they went a-vaca
tioning elsewhere, anyway. Apparent
ly they preferred not to remain here,
to be worked on at leisure by the ad
ministration’s managers. Said manag
ers wanted them to stay, for a. week
or 10 days of fixing between sessions.
It was significant that the lawmak
ers dodged, by absenting themselves
so numerously.
Not that the Republicans had any
reason for going into hiding, The
Democrats were the solons who
sought seclusion from administrative
pressure. But, considering that Demo
rjontinued on Page Five.;