HENDERSON’S
POPULATION
13,873
TWENTY-FIFTH YEAR
ABDUCTORS AGAIN
BEGGED BY LEVINE
TO SEND BOY BACK
i
Guarantees “Complete Safe
ty to Person Who Will
Deal With Me” for
Son’s Return
WRITTEN STATEMENT
GIVEN NEWSPAPERS
Assures Captors Police In
tererence Heretofore Has
Not Been His Choosing
Nor Premediated; Failure
To Pay Ransom Declared
Not His Fault
New York, March 28 (AP) —Guar-
anteeing “complete safety to the per
son who will dval with me,’” Murray
Levine, father of kidnaped Peter
Levine, 12, today made another ap
peal to his son”s captors to get in
touch with him directly.
In a written statement sent to
newspapers, Levine told those hold
ing his boy that police interference
heretofore had been not of his choos
ing, nor premeditated and that failure
to contact and pay ransom was caus
ed by one of a numJber of “unfortu
nate mishaps.”
In each instance Levine pointed
out, those contacted by the kidnap
ers were not aware of his son’s dis
appearance, and when told by tele
phone a note would be found in a
certain place, notified police. “It was
natural for those people to notify the
police,” Levine’s statement said.
“I want to say to the kidnapers, if
my boy is still alive, get in touch
with rmj direct. I can be found at
my office every day, and at home
every evening. Or get in touch with
one of my relatives or friends, whose
name my boy can furnish, or send
to nw a person of your own choos
ing.”
GRADY RACERELIEf^
Rather Have Him in Utility
Contest Than Returning
to Senate
Dully Dispntcli Bureau.
In The Sir Walter 1 Hotel.
Raleigh, March 23. —Entry of Paul
Grady into the race for utility com
missioner is more of a relief than
otherwise to the State’s so-called ad
inistration forces.
This despite the fact that Grady’s
impending leap into the political arena
had been loudly ballyhooed as to be
made from an anti-administration
springboard.
The administration figures things
thus: It is much better to have the
Kenly man running for a position he
probably won’t win (utility commis
sioner) than for a post he could have
almost for the asking (State senator),
and one in which he could be a real
thorn in the flesh to the governor, and
in particular, to Lieutenant Governor
Wilkins F. Horton.
To the surprise of all, Grady launch
ed his candidacy with remarks in
which he referred in glowing terms to
“our great governor” and his works.
All of which would indicate that for
the once, and for political reasons, he
has forgotten the bitter pill of defeat
for the lieutenant governorship, and
a pill which he has heretofore almost
openly charged as being administered
toy the Hoey-Horton administration.
But be all that as it may, the ad
ministrationist leaders breathed a sigh
of relief when it became certain that
the 1939 Satte Senate will not num
ber Grady among its 50 members. As
a senator he would have been in an
ideal position to harry and harass the
lieutenant governor and the admin
istration in general. M
But despite his “snuggling up
tactics, it is quite unlikely that the
administration will help Grady much.
Sentencing
Os Whitney
Is Delayed
New York, March 28. —(AP) The
sentencing of Richard Whitney, Wal
Street broker who pleaded guilty to
two charges of grand larceny after the
failure of his firm was postponed to
day for two weeks-by General Ses
sions Judge Owen Bohan.
The delay was requested by Irwm
Kurtz, Federal bankruptcy referee
and William Douglas, chairman of
the Securities & Exchange Commis
sion to facilitate an SEC indus ry*
federal bankruptcy proceeding, wm.-
eny will be sentenced April L
Hcttitettamt -Bathi SHspafrh
SERVICE OP
THE ASSOCIATED PRESS.
Charge Os Dictatorship
Hurled By Both Sides In
Reorganization Debate
Walsh Says Departments
Bill Argument Precisely
Same Other Dicta
i tors Offer
PROPONENTS CLAIM
DIFFERENT VIEWS
They Say Foes of Bill Are
“Unwitting Promoters of
Dictatorship”; Walsh Says
Trend Inevitable Toward
Totalitarian Government
For United States
Washington, March 28.—(AP) —Sen
ate opponents and proponents of the
government reorganization bill ac
cused each other today of pursuing ?
course which might lead to a dictator
ship.
Senator Walsh, Democrat, Masschu
setts, who moved to send the bill back
to committee, said that “precisely the
same arguments were being advanced
to support the measure that had been
used “to overthrow the democracies of
other countries.”
Senator Green, Democrat, Rhode Is
land, countered with the assertion
that those who opposed the measure
were “unwitting promoters* of a dic
tatorship.” He declared that demo
cracy was on the defensive because
of its cumbersomeness and urged pas
sage of the bill which would give thi
President broad powers to “stream
line” the government by abolishing
agencies and transferring their func
tions. , . .
“Those who oppose making demo
cracy efficient are unwitting promot
ers of a dictatorship here, too.
Green declared.. “All dictators justify
their rule by denouncing the inef
ficiency of government. Democracy *s
on the defensive.”
Walsh asserted that proponents of
the bill “seem blind’’ to the totalitar
ian course which he said it would
fs not too much to say that what
we are now hers considering todav
is the question of plunging a dagger
into the very heart of democracy, he
declared. .
More Production
Os Soybeans Crop
This Year Likely
Chicago. March 28 (AP)-Increas
ed soybean production this year may
be a corollary to decreased corn
acreage throughout the farm belt,
grain traders said today. Several
Srain houses have received reports
suggesting that possibility. Farmers
can plant beans after all of their
corn is in the ground.
J. J. Schreiner, a specialist in tn«
Board of Trade’s soybean figures pit,
said curtailing of the area planted to
corn may mean a greater bean acr
age, a large increase in the latter Dy
ing desirable for food, feed and m
dustrial consumption. ovnpnsiv *
Beans now are the most expen
article listed on the exchange. At yo
cents a bushel for May delivery,
though 65 cents less than a year ago,
beans are more than 13 cents higher
than wheat and almost 40 cents hig
the counter
can consume 53,000,000 bushels an
nuaUy. . ■ —■**—
ONLY DAILY NEWSPAPER PUBLISHED IN THIS SECTION OF NORTH CAROLINA AND VIRGINIA.
Mexican Laborers Dramatize Oil Land Seizure
iWiM iPplB : :■ :> -- ■ ilttk- :: •-
t
Crowds burn foreign-owned “oil companies’* in effigy
After cheering action of President Lazaro Car
denas in expropriating foreign-owned oil properties
in Mexico for alleged failure to comply with labor
laws, laborers gathered in Mexico City’s main plaza
HENDERSON, N. C., MONDAY AFTERNOON, MARCH 28, 1938
I to dramatize the event by burning a coffin repre
senting the companies. President Cardenas prom
ised to begin immediate payment of indemnities tc
British and American oil companies.
Called by Death
«. „ v f.vX.
COLONEL EDWARD M. HOUSE
Entries For
State Races
Are Closed
Few Surprises in Fin
al Lists; Utility and
Senate Races Out
standing
Daily liispateh Bureau.
In the Sir Walter Hotel.
Raleigh, March 28. —Closing of the
lists for all statewide races in this
year’s primary elections was the out
standing event in Raleigh last week.
During the period there were a few
surprise entries and a few surprise
failures to enter after unofficial an
nouncement; Ibut on the whole the
filing came to a close with compara
tive lack of excitement.
When the list was cheeked over m
the office of Election Board Secre
tary Raymond C Maxwell, it was
+ ound that 99 Democrats and 15 Re
publicans had paid good money arm
fully qualified themselves as candi
dates for the 48 offices which will be
voted on in the primaries
There were more would-be district
solicitors than candidates for any
eti er office, but that was natural, in
a-iiK.ch as there are 21 districts in
wVr.ch solicitors will be nominated. No
css than 37 Democrats and five Re
publicans seek them.
Superior court judgeships came next
vjth 28 Democrats in the running for
tne 12 posts to be contested this year.
ot'ng being on a statewide scele so.
'hese offices, no Republican offereu.
leaders of the minority party o'eviou?
y feeling that the entry fees would
be money thrown awav.
Twenty-seven Democrats and gevec
Republicans will engage in scrambles
for the eleven congressional seats
from North Carolina. Two Demo
crats and two Republicans will seek
two Supreme court places. Two Dem
ocrats are entered for utility commis
(Continued on Page Pour.),
mnSate,
CALLED BY DEATH
j*
Was Internationally Known
Figure and Advisor To
President in World
War Era
FAILING "STEADILY
IN LAST FEW^WEEKS
Was Personal Representa
tive of Wilson to European
Governments in 1914, 1915
and 1916; Believed In
League of Nations to Last
as World’s Hope
New York, March 28. —I AP) —Col-
onel Edward M. House, internationally
known as a close advisor to President
Woodrow Wilson during the Worll
War era, died today after a long ill
ness. He was 79 years old.
Colonel House’s physicians said sev
eral weeks ago that he was “failing
steadily,” and that death was only a
matter of time. He was suffering from
a complication of ailments and only
last week had another relapse.
Only memibers of his family, includ
ing the widow, were with him when
he died.
For many years, Colonel House was
active in affairs of the Democratic
party. He climaxed this activity when
he became the personal representative
of President Wlilson to European gov
ernments in 1914, 1915 and 1916.
Colonel House was the last survivor
of the American signatories of the
treaty of Versailles.
To the end, he believed in the Lea
gue of Nations, insisting it held the
Continued on Page Two.)
Contest By
Republicans
Is Averted
Raleigh, March 28. —(AP) —North
Carolina’s Republicans apparently
missed forcing a Statewide primary
June 4 by minutes Saturday when a
special delivery registered letter went
to the home of Raymond Maxwell,
elections board secretary, instead of
to his office.
Maxwell said today that the lettei
contained the pledge and filing fee of
John Hoffman, of Burlington, who
wanted to enter the Republican con
test for the nomination to the United
States Senate against Charles A.
Jonas, of Lincolnton.
The board secretary said he would
ask Attorney General A. A. F. Sea
well to rule on whether Hoffman’s
name should ibe placed on the ballot,
but felt certain it would be held that
he had failed to comply with the re
quirement to have his pledge and fee
in the hands of the election board by
the filing deadline.
The deadline was at 6 o’clock Sat
(Continued on Page Two).
'WEATHER
FOR NORTH CAROLINA.
Mostly cloudy and warmer to
night and Tuesday; occasional
rain in mountains late tonight and
in west and central portions Tues
day.
Supreme Court Upholds Part
OfHoldingCompanyMeasure'
As Government Gets Victory
Insurgents Hoping
Next Major Battle
Will Win The War
Hendaye, France, March 28. —(AP)
—The Spanish insurgent army in
Catalonia marched toward the indus
trial city of Lerida today, pointing for
a major battle by which General
Franco hopes to win the civil war.
Government troops were in retreat
toward the Mediterranean, and a cli
max seemed near after 20 months of
conflict.
Insurgent troops were within 15
miles of Lerida, and insurgent war
planes were bombing it. Lerida is on
y 81 miles from Barcelona and is on
the main highway to that provisional
capital of republican Spain.
New Nanking Government
Dominated By Japanese
Chinese Personnel Subservient to Invaders; Will Re
spect “Just” Foreign Rig hts But No New Ones by
Hankow Government; Chinese Claim Victories
Shanghai, March 28 (AP) —A new
government with Chinese personnel,
but dominated by Japanese, was set
up today at Nanking, former capi
tal of the Chinese nationalists . re
gime, to replace General Chiang Kai-
Shek’s administration.
The new government was descrilb
ed by its sponsors as the “re-formed
government of the republic oi China.”
Japan last week ordered the crea
tion of such a government at Nank
ing “under the umlbrella” of the simi
lar north China regime recently es
tablished at Peiping.
Liang Hung-Tze, chairman of the
executive Yuan, said the new gov
FUG OF MORGAN
TIES TVA IN KNOT
i
Government Program Al
ready Slowing Down Be
cause of Legality Issue
By CHARLES P. STEWART
Central Press Columnist
Washington, March 28. —President
Roosevelt’s removal of Arthur E. Mor
gan as chairman of Tennessee Valley
Authority has done nothing more tha l
tie TVA up into the tightest kind of
a hard knot which will take a deal
of unsnarling.
In the first place,, it will remain un
certain whether Ex-Chairman Mor
gan really is an “ex” or not until the
court’s have decided whether or not
the President was legally entitled to
“fire” him.
It may take two years to settle this
question. In the meantime the validity
of all decisions by Harcourt A. Mor- j
gan (the presidential selection to suc
ceed Arthur E. at the TVA hoard’s
and his fellow member, David
E. Lilienthal, will be doubtful.
The Arthur E. Morgan vacancy can
not be filled with any certainty, either
until it has been judicially determin
ed whether suph a vacancy exists o’”
pot.
To Mark Time?
TVA can do little except mark time
while the controversy rages.
Congress can investigate, but that
will involve indefinite delay, too.
Already the House of Representa
tives has refused an appropriation to
begin work on the proposed Gilberts
ville dam, an essential part of tha
TVA program. This refusal was not
surprising, with so many charges and
counter-charges pending relative to
the big enterprise’s whole manage
ment hanging fire.
Senator George W. Norris, the fath
er of TVA, has a plan pending for a
division of the entire country up into
an octuplette of federal power devel
opment areas, similar to TVA. This
scheme likewise is stalled wnile
present rumpus sizzles.
Congress Can Remove.
Perhaps the President has not th' 1
technical right to remove a TVA di
rector, as he has undertaken to do in
Chairman Morgan’s case. On that
point opinions differ.
However, Congress can remove any
or all of them, under a resolution con
curred in alike by the senators and
representatives.
Not a few legislators favor such a
(Continued on Page Three.)
PUBLISHED IVWT AFTERNOON
EXCEPT SUNDAY.
Coupled With the Lerida campaign
was a series of advances on the entire
135-mile eastern front, stretching from
Boltanan, on the lar north, a short
distance from the French frontier, 1.
Morelia, on the south.
Each advance was to the east, and
each moved the insurgent line closer
to the Mediterranean.
By this steady press eastward, the
insurgents sought to sever the remain
ing major segment of Spanish gov
ernment territory and thereby force
the weakened halves to capitulate.
The Insurgents entered Catalonia’s
northeast corner in a mass offensive
yesterday.
ernment would respect “all just and
vested foreign, rights,” but hereafter
would not recognize any contracts or
treaties made by the national govern
ment at Hankow, or by Chinese pro
vincial governments’ With
powers.
General Chiang Kai-Shek has been
operating the nationalist government
at Hankow while carrying on the
fight against the Papanese invaders^
(Dispatches from Hankow said Chi
nese troops had recaptured Lincheng.
strategic city on the Tientsin-Pukow
railway. Chinese military leaders
said they were convinced the Japa
nese offensive down the railway
against Suchow had been stopped)).
Catalonian
City Falls
To Franco
i
With the Spanish Insurgents in
Catalonia, March 28.—(AP) —General
Francisco Franco’s forces today oc
cupied Fraga, “gateway to Catalonia,”
and advanced northeast along the
main highway toward Lerida and Bar
celona.
Lerida, a textile manufacturing city
lies 15 miles from Fraga, and Bar
celona is on the coast 80 miles to the
east of Lerida.
The movement of heavy artillery to
help insurgent airmen hammber Le
rida’s defenses awaited only the con
struction of pontoon bridges across
the Cinca river, just west of Fraga.
Auto Deaths Drop
Steadily In Past
4-Months Period
Chicago, March 28 (AP)—Auto
mobile traffic fatalities in the
United States for the fourth con*-,
siecutive month showed a de
crease in February the National
Safety Council announced today.
Following an all-time high in
1937 of 39,700 deaths, the council
reported safer driving during Feb
ruary brought about a 16 percent
reduction in fatalities, compared
with February, 1937, and 20 per
cent dess than January of this
year. ;
Among states reporting notice
able decreases for the two-months
period wats/ North Carolina, 29
percent.
LITTLE CHANGEIN
PRICES OF COTTON
Prices at Midday Two Points Net
Higher to One Lower After
Mid -Fluctuations 1
New York, March 28. —(AP) — Cot
ton futures opened unchanged to two
points higher on steady Liverpool
cables and in the absence of selling
pressure. July sold off from 8.84 to
8.78, leaving quotations one point net
higher to one lower shortly after the
first half hour. July sold up from 8.75
to 8.80, leaving prices by midday two
points net higher to one lower.
8' PAGES
, TODAY
FIVE CENTS COPY
NEW YORK COURT’S
RULE SUSTAINED
i
l
Chief Justice Hughes Reads
Decision, With Mcßey
nolds Alone Dis
senting in View
CARDOZO AND REED
NOT PARTICIPATING
Utilities Contended Entire
Act Regulating Holding
Companies Was at Issue,
[But Government Contend
ed Otherwise and Won;
Act Passed in 1935
Washington, March 28. —(AP) —The
Supreme Court held constitutional to
day provisions of the public utility
holding company act requiring inter
state holding companies to register
with the Securities Commission, and
submit financial statements.
Chief Justice Hughes delivered the
decision that represented a victory for
the government.
The court affirmed a ruling by the
Federal Circuit Court of New York
upholding the registration require
ment. Justice Mcßeynolds dissented.
Justice Cardozo and Reed did not par
ticipate.
"To escape the penalty and the en
forcing provisions of the decree,"
Hughes said, “all that the defendants
have to do is to register with the com
mission and assume the obligation t r
file the described registration state
ment. All their rights and remedies
with respect to other provisions of
the statute remain without prejudice."
The litigation directly involved the
Electric Bond & Share Company and
26 subsidiaries. It was picked by the
government as a test case.
The utilities contended that the en
tire act regulating holding companies
was at issue. The government success
fully asserted other provisions could
be tested at the proper time, and “un
der regular judicial procedure."
The holding*company act. passed by
Congress in 1935. After a bitter contest
would bring under government regula
tions companies that control billions
of dollars of interstate gas and elec
tric business. It was aimed at what
the Roosevelt administration called
aibuses, including pryamiding and is
suance of securities with fictitious
values.
Treasury’s
Silver Bids
Cut A Cent
First Change in Price
in Two Years; Pur
chases From Mex
ico Stopped
Washington, March 28. —(AP) Thu
Treasury reduced today from 15 to 44
cents per ourice its price for foreign
produced silver.
The reduction was the first change
in the Treasury’s price for foreign
silver in nearly two years, and fol
lowed a break of slightly more than a
cent in the London silver market to
day because of fears that the United
States’ decision to discontinue pur
chases of Mexican silver might pre
sage an abandonment of its stabilizing
influence on world silver prices.
Heretofore the world’s largest cus
tomer for silver, the United States
Treasury has virtually dictated the
value of silver for more than two
the announcement of the
decision with respect to Mexican sil
ver, had been connected principally
in speculation by observers with that
country’s expropriation of American
oil properties.
Executives of four American oil com
panies conferred with Secretary of
State Hull about the Mexican govern
ment’s expropriation of oil properties
valued at more than $400,000,000.
The oil men asked the official sup
port of the United States government
in their efforts to have the expropria
tion modified. Only a few hours ear
lier, the Treasury had announced it
would discontinue its purchases of sil
ver produced in Mexico, leading to
speculation that this government al
ready was exercising pressure on th *
Mexican government for a reconsil
eration of its oil decision.