North Carolina Newspapers

HENDERSON’S POPULATION 13,873 TWENTY-FIFTH YEAR FINANCE, INDUSTRY, LABOR SEEK ACCORD **’********¥#* *♦ *********;*; *****♦♦**,*,« War And Unrest Accentuate Crises On Two Great Continents MORE MODERATE GOVERNMENT FOR FRANCE EXPECTED All Exchange Transactions Throughout Country In definitely Suspend ed There LABOR unrest and LOW MONEY CAUSE Chinese Forces Spurred To Desperate Counter-Attacks by Presence of General Chiang; Spanish Conflict Quiet Pending Start of New Battles (Bv The Associated Press.) The people’s front government of Franc- collapsed in a factional strug gle today, tired infantrymen at Teruel, Spain, rested in slush and mud for battles to come, and in the Orient a half million Chinese and Japanese soldiers were locked in a see-saw bat tle to determine the fate of central China. The Bank of France ordered all ex change transactions suspended “until further notice,’’ while President Al bert Lebrun sought a new government to replace that of the resigned Camille Chautemps. He first invited Chau temps to form a new cabinet, tut the latter declined. Socialist members of the second people’s front regime, formed last June, resigned in sympathy with the opposition of the extreme left segment of the front, the communists, who opposed the policies, especially regard ing labor, of Chautemps, a radical so cialist. The radical socialists are the most conservative of the three parties that had formed the leftist-inclined peo ple’s front. The crisis was precipitated by grow ing labor unrest and the fall of the franc, which in unofficial tiading dropped to 30.20 francs to the dollar. Some observers felt the new govern ment would be a middle-of-the-road cabinet, carrying out the policies of a sphere of opinion somewhere between the “leftism” of the former* working union of socialists, communists and (Continued on Page Five) Wayne Man Perishes In Truck Fire Clinton, Jan. 14.— (AP)— Roy Coley, middle-aged Mount Olive man, was burned to death when his truck wrecked and caught fire here early today. His companion, Charles New man, 18, of Greenville, S. C., escaped with severe bruises and lacerations. Police Chief E. L. Cherry said the big truck, driven by Coley, left the road and crashed head-on into a large oak tree just inside the town limits. The driver was wedged in the cab when the engine was driven back in to the truck. , • - Coley was returning to Mount Olive with an empty truck from Greenville. Newman, the sheriff said, was hitch hiking to Washington to visit an un cle. He was brought to a hospital a~ Fayetteville. Riots Occur In Michigan Strike Area Pickets and Depu ti e s at Foundry Clash With Blood shed After Dispute New Haven, Mich., Jan. 14. (AP) Peace-makers in a foundry workers dispute, which erupted into riot and bloodshed, sought speedy action today to forestall further threats of violence With this viHage of 800 inhabitants tense, union and company representa tives prepared for new conferences m the wake of last night’s fighting a the strike-bound New Haven foundry. A handful of pickets of the UAWA, obedient to a truce, patroled the foun dry area and Malcomb cbunty deputies who had been reinforced by other of ficers on emergency calls to neighbor (Continued on F&ff® Six.£ V. « V IBHI m w-w w - - Hmthrrsmi -Daily Dispatch ONLY DAILY NEWSPAPER PUBLISHED IN THIS SECTION OF NORTH CAROLINA AND VIRGINIA. K S S^T S #,?VICE a OF China’s Elder Statesmen—Puppets of Japan W- : ps* *,n Here is a group of Chinese elder statesmen selected by Japan to organize a new government in Peiping, now renamed Peking, to replace the “deposed” Nanking Nationalist regime. From the left, they are Marshal Chi Hsueh-yuan, minister of public safety; Wang Keh-min, president of the executive council; Kiang Chao-tsung, mayor of Peking; Tung K’ang, president of the judicial council; T’ang Erh-ho, presi dent of the legislative council, and Wang Yi-t’ang, minister of rehabilitation. (Central Press) EMPLOYMENT OFF LITTLE FOR STATE IN MID-DECEMBER 440 Manufacturing Estab lishments Show Sag of Only 4.6 Percent Under November NOT AS SERIOUS AS IDLE RUMORS STATE Weekly Earnings of Those Working Went Up, Though Few People Were Cut Off and Payrolls Dropped Some, Fletcher Says; Knit Goods Best Paid Raleigh, Jan. 14.—(AP)—Major A. L. Fletcher, State labor commissioner, reported today that complete reports from 440 manufacturing enterprises in North Carolina showed they used only 4.6 percent less employees in a mid- December week than they did during the comparable November week. For the purposes of the labor sta tistics, all employers report detailed data on their work week ending the nearest the fifteenth of December, as compared with the similar week of November. “There is no doubt the recession has made itself felt in North Carolina, but the cold figures certified by the employers show that during Decem ber the unemployment was nothing like as serious or widespread as idle rumors would have made our people believe,” said Fletcher. “The manu facturing plants cut off a few people, the payrolls dropped some, but the weekly earnings of those working went up.” . Fletcher noted that because of sea sonal conditions employees increased in retail trade establishments and dropped slightly in wholesale houses. The 440 manufacturing enterprises said their December employees total ed 111,325 .down 4.6 Percent from No vember, the payrolls totaled $1,639,431. down 2.3 percent, and the man-hours of labor showed a drop, with the av erage work week being 6.9 percent off. But the average weekly earnings jumped 2.3 percent to $17.27. The highest paid industrial workers were in knit goods, as they averaged sl7 77 weekly for 38.2 hours, the earn ings being up 2.1 percent over Novem ber in 64 plants. Highway 1 Re-Routed In Raleigh Raleigh, Jan. 14.—(AP)—The High way and Public Works Commission voted today to reroute U. S. Route No. 1 through Raleigh, Chairman Frank Dunlap, said, and then disposed of routine business. Route 1 will enter Raleigh from the north as now, turning wesson Eden ton street to Salisbury street, turn ing south on Salisbury for a block, and leaving the city out Hillsboro street to the west. Now the route leaves the city by Western boulevard to the west. The route of the high way had been the subject of a local controversy for some months, and finally Sandhills section towns asked its routing as approved by the com -1 mission. HENDERSON, N. C., FRIDAY AFTERNOON, JANUARY 14, 1938 Federal Sales Tax Soon • Inevitable, Bab son Says Present Tax System Heading United States Straight Toward Bankruptcy and Inflation; Gives Ten Re commendations for Reforms in Taxes BY ROGER W. BAB SON, Copyright 1938, Publishers Financial Bureau, Inc. Babson Park, Fla., Jan. 14. —The biggest problem facing the nation to day is not the recession; not the job less, not the railroads. It is our taxa tion system. If we continue at the rate we are going, we will ultimately com mit suicide by taxation. Government spending is eating up our present as sets. Taxes are hindering us from building up new capital. More than any other “reform” our taxing meth ods, from Federal down, need a com plete and thorough overhauling dur ing 1938. Our present system is just a bij piece ot patchwork. Its only basic po licy is to conceal taxes from the ul timate payer—the consumer. It is short-sighted, unequitable, unreason-1 TooSSng Judicial Contests To Be Among Outstanding in Coming Primaries Daily Dispatch Rnrean, In the Sir Walter Hotel. . Raleigh, Jan. 14.—Hotly contested races for superior court judgeships are certain this spring in at least five districts. Twelve districts elect judges this year and it is likely that the fighting will extend to more than the five pre dicted, for while judges are presum ably out of politics while on the bench they usually get right out and scuffle for their place there just like any other politician. The districts in which primary cam paigns already seem certain are first, second, sixth, eighth and tenth. Other districts which elect this year are fifth, Judge J. Paul Frizzelle, Snow Hill; ninth, Judge N. A. Sinclair, Fay etteville; twelfth, Judge H. Hoyle Sink, Lexington; fourteenth.- Judge W. F. Harding, Charlotte; sixteenth, Judge Wilson Warlick, Newton; nine teenth, Judge A. Hall Johnston, Ashe ville; and twenty-first, Judge E. C. Bivens, Mt. Airy. The prospective contests shape up about like this: First: Judge Walter L. Small, of EUzabeth City, has been physically (Continued on Page Six.) ROCKY MOUNT TRIO ADMITS ROBBERIES Confess Theft of Alderman’s Car Jan. 7 and Breaking Into Two Stores at Lucama Rocky Mount, Jan. 14.—(AP)— Three men arrested here last night have confessed stealing Alderman J. E. Johnson’s automobile January 7, and using it in two Wilson county store robberies January 9, Police Of ficer H. C. Sellers said today. The men, booked as L. A. Taylor, 28; Marshall Sullivan, 22, and Bertie ‘Rooks, 24, all of Rocky Mount, were in jail here in default of $3,900 bond each. The policeman said the men had confessed robbing two stores at Lu cama, taking a safe containing a- I round $75 from one, and a small a -1 mount of merchandise from the othex*, able! It penalizes initiative and thrift. It handicaps industrial growth. <- hinders the normal operation of bus:- i ness. It retards new building. It en courages loose fiscal policies. It sos ters sit-down strikes of capital. It is (heading the United States straight toward bankruptcy and inflation. There are at least ten different steps that should be taken immediately to relieve the current crisis: 1. Broaden The Income Tax Base: Five years ago the income tax was the major source of Federal Govern ment internal receipts. Despite the passing of many new revenue laws, it still contributes 40 per cent. Yet in 1928 only 4,070,000 filed income returns and of these only 2,523,000 paid a tax. Hence, the burden of income taxes is (Continued on Page Six.' CLAIM RAIL RATES” LOWEST IN WORLD American Railroads Say They Must Have More Money To Live By CHARLES P. STEWART Central Press Staff Writer Washington, Jan. 14. —The railroads as we know, have been beseeching the Interstate Commerce Commission re cently to allow them to make a con siderable increase in their passenger and freight carrying charges. At present rates, they say, they can not continue to operate and “break even”, to say nothing of having a small profit margin left over. The shippers’ counter-argument is that they are trying to fix their tar iffs upon a basis of fictitiously inflat ed valuations of their properties; that the transportation figures they seek to impose will make prices so high as to slow up business generally. This reasoning hurts the feelings of the Association of American Rail roads, from which I have received a complaint of unfair treatment in some newspapers. Naturally I invited the association (Continued on Page Three.) VIRGINIA SALES OF TOBACCO ARE HEAVY 20,137,419 Pounds for $16.94 Average in December; Season 88,789,562 Pounds Richmond, Va., Jan. 14. —(AP) — Virginia producers sold 20,137,419 pounds of leaf tobacco in December for $3,412,462, for an average of $16.94 per hundredweight, Henry Taylor, Federal-State crop statistician, an nounced today. Total seasonal sales, he reported, were 88,789,562 pounds, which is 2.5 percent of above sales through Decem ber of last year. The average price to day is $24.38, compared with $22.58 for the same period last year, and $20,- 78 for 1935. WEATHER FOR NORTH CAROLINA. Rain in east and central por tions this afternoon and on north east coast tonight; Saturday gen erally fair and slightly colder. stpSe* President of American Newspaper Publishers Speaks at Florida In dustries Day DR. CHARLESHERTY HONORED AT EVENT Stahlman, Nashville Pub lisher, Predicts Billion Dol lar Annual Paper Business in South; Secretary Roper Urges Cooperation of All Agencies Fernand: na, Fla., Jar.. 14.—(AP)— ■James Stahlman, president of the American Newspaper Publishers As sociation, predicted today that “with in the next ten or fifteen years the South will experience an industrial, economic and social rehabilitation such as it has never heretofore knowih Ho spoke at the celebration of Flor ida Industries Day, honoring Dr. Charles Herty, of Savannah, Ga., for research into the use of Southern pine for making newsprint, kraft paper and fibre board. The rehabilitation, Stahlman said, will come about through the applica tion of Dr. Herty’s research to the many uses to which southern pine can and will be put.” “I predict, he added, “that within thL per.od, we will see kraft, newsprint, rayon, cellophane and col lateral industries using southern pine, with an annual turn-over of not less than one billion dollars. “I see depleted farm lands and eroded hillsides turned into gorgeous groves of waving slash pine.” Secretary of Commerce Daniel Roper, another speaker, called for co operation “through the conference table method”, to build confidence Roper said the “success of the future depends upon sincere cooperation and constructive criticism between busi ness, industry, labor and govern ment.” “The complexities of modern civili zation,” he declared, “naturally re quire more regular activity on the part of the government than under our former economic system of agrar ian and handicraft production. We are in the midst of a social situation that, in the sweep and pervasiveness of its influence, more radically differs from that knov/n to the founding fathers than their social situation dif fered from conditions in the stone age.” TARBORO MAN PUT ON RURAL BOARDS Governor Hoey Announces Naming of C. A. Johnson; Important Meeting Arranged Raleigh, Jan. 14 (AP) Governor Hoey said today C. A. Johnson of Tarboro, has been elected a director of the North Carolina Rural Rehabi litation Corporation. The directors wil hold “an unusual ly important meeting here January 25 to consider future policy of the cor poration,” Hoey saiu. Johnson succeeded the late Leland Kitchin, of Scotland Neck. MONAGHAN CASE IN RALEIGH NEAR END Raleigh, Jan. 14-(AP>—Judge N. A. Sinclair charged the jury this after noon in the case of Frank C. Monag han, charged with second degree mur der in the highway death of Larry Davis, of LumJberton and Winston- Salem. Attorneys presented argu ments this morning,. D ean Noe Continues His “Fast” Memphis, Tenn. Jan. 14 (AP)— The Very Rev. Israel Harding Noe entered his thirteenth day of abstinence from food and water today, his vigor ap parently unimpaired and his spirit unbroken. The pale and thin dean of St. Mary s Episcopal Cathedral has shown no public sign of weakness, although med ical friends predict inevitable collapse. One physician said the 46-year-old clergyman could ‘last only a few days.” But the dean told his Bible class last night his next lesson would be two weeks hence, explaining he would at tend a meeting of the church in Knox (Continued on Page Four.). PUBLISHED IVBKT A.FTSKNOOM EXCEPT SUNDAY. C. 1. O. Revolt? 1% nfl . ' 'jy" ♦ »|r \ David Dubinsky ... assails Lewis f Rebellion high in the ranks ot the C. L O. broke out when David Dubinsky, president of the Inter national Ladies Garment Work ers union, assailed John L. Lewis’ “one-man rule” of the organiza tion. Dubinsky, who heads the third largest affiliate of the C. L 0., demanded resumption of peace negotiations with the A. F. of L., at a rally of the I. L. G. W. in New York. Mira" CLIPPER TRAGEDY All Possible Evidence Is Sought as to Cause of Crash in South Seas on Tuesday HUGE NEW SHIP IS BEING CONSTRUCTED Will Carry 72 Passengers and Have Weight of 40 Tons; Will Be Ready for Tests In March; Califor- Service Goes on Uninterrupted San Francisco, Cal., Jan. 14.—(AP) —Naval authorities, seeking all possi ble evidence of what caused the Samoan Clipper tragedy, planned an other search today of the South Seas area where the 21-ton flying boat crashed and burned Tuesday, killing Captain Edwin Musick, and six crew men. A navy plane from Pago Pago, Am erican Samoa, flew yesterday over the spot 12 miles out where the craft struck after turning back on a flight to Auckland, New Zealand, because of motor trouble. In dumping gasoline before an em ergency landing the huge plane caught fire and presumably was shat tered by a mid-air explosion. Charred bits of wreckage and a few pieces of tattered clothing were all that searchers recovered. Officials said a 40-ton, 72-passenger plane being built expressly for the route, would be ready for tests in March. They declined to reveal plans for service on the line pending com pletion of the new air giant. Operation of Pan-American Califor nia-Manila service went on uninter rupted. Louisiana Trio Hang As Killers New Orleans, La., Jan. 14 (AP)— Joseph Ugarte, 27; Owen Cauche, 29, and Anthony Dallao, 33, were hanged in that order shortly after noon today for killing a bank guard in a s3,iuu hold-up. ' , . .. Q Freshly shaved and bathed, tne three men had paced their small cells here early in the day, often kneeling to pray. They had known the noon hour 'signalled the time , for their hanging. . . .. . „ I The three, condemned to die for a hold-up murder, saw all tout one thread holding them to life cut away last night when the Ijouisiana Board (jf pardons declined to interfere in their case. The men’s mothers said boodlbye to them before midnight. The three were convicted of slay ing Pierre N. Rizan, a bank guard, during a hold-up here New Year’s eve in 1930. The bandits escaped -wdm Q PAGES O TODAY FIVE CENTS COPY REPRESENTATIVES OF THREE GROUPS Definite Program of Action With Government Is Goal of White House Conference DISCUSSIONSWILL BE CONTINUED SOON Roosevelt Says He Favors Elimination of All Holding Companies; German Am bassador Protests to Hull on Dodd’s Attack Upon Adolf Hitler Washington, Jan. 14.—(AP)— Six representatives of finance, industry and labor declared after an hour and a quarter White House conference to day they were desirous of working out with the administration a “de finite program of action” in dealing with the present economic situation. John Lewis, CIO chairman, acted as - spokesman for the group as they left President Roosevelt’s office. “We attended this conference with the President, and discussed with him the gravity of the existing economic and industrial situation in this coun try,” he said. “The discussions will be continued at the President’s discretions.” Others at the conference were Owen Young, General Electric Company chairman; Thomas Lamont, a partner of the J. F. Morgan banking house; Philip Murray, chairman of the CIO steel organizing committee; Charles Taussing, president of the American Molasses Company; and A. A. Berle, of New York, former administration advisor. The President sftld, meantime, he favored the elimination of all holding companies. He made the statement at a press conference in expressing un alterable opposition to the modifica tion of the “death sentence” in the utility holding company act. which had been proposed by Wendell Will kie, head of the Commonwealth & South Corporation, as one condition to an “understanding” with the ad ministration. Other developments: German Ambassador Hans Dieck hoff protested to Secretary Hull a gainst William Dodd’s address in New York last night, in which the former American envoy to Berlin attacked (Continued on Page Eight.) FURTHER DECLINES IN COTTON PRICES Disappointing Cables and Liquidation Depress Market During Fore noon Period New York, Jan. 14.—(AP) —Cotton futures opened unchanged to four points down on disappointing cables and liquidation. March, after the first half hour, was 8.54, with the list three to fie points net lower. The January option expired at noon today. By mid day March was selling at 8.53, and the list was four to seven points net lower Trading in January contracts ended at noon with a final price of 8.46, or eight points net lower. Grady Sure For Godwin Certiorari Jurist Suggests That Course to Defense; Probation Order Still Stands New Bern, Jan. 14 (AP) —Under- standing that Solicitor Claude Can nady of Harnett county had refused to permit Mrs. Sina Pope Godwin’s counsel an extra week in which to perfect an appeal, Judge Henry A. Grady said here this afternoon he de cided to suggest to the defense that it apply for a writ of certiorari. That, Grady said, he is sure will be granted, especially if he recomlmends it, and will be the same thing as an appeal. Neither the order placing the twree convicted defendant, charged with the slaying of her third husband, on pro bation, nor the order for a hearing in Greenvilie, at which defense attor neys have been ordered to show cause why that order should not be set (Continued on Page Five.)