HENDERSON’S
POPULATION
13,873
twenty-fifth year
ffillio CHINA
ON U. SJOWIPLAINT
Will Investigate Washing
ton’s Alleged Interfer
ence With Rights
of Americans
TO HASTEN RETURN
OF MISSIONARIES
Business People To Be Per
mitted To Resume Opera
tions, Tokyo Advises; Jap
anese Planes Spread Trail
of Destruction in Many
Towns and Villages
Washington, June 2. — (AP)—
Japan agreed today to meet al
most all demands for restitution
of American property in China
and for the right of unhindered
return of Americans to their posts
there.
The State Department, on the
basis of a telegram from the Am
erican eonsul general at Shanghai
announced that the Japanese re
stored to the American Southern
Ttaptist Mission yesterday thfUr
high school properties in the
Chapel district of Shanghai.
The Japanese military author
ities have agreed to the return of
American missionaries to Nanking
and have issued ten passes for
this purpose.
Tck- o. .Tune 2.—(AP) —Japan assur
ed the United States today that a
commission would he dispatched im
mediately to China to investigate what
Washington had protested as inter
ference with American rights in .)*-
panese-occupied ter r i cory.
The commission would includ} a
c.ilonel, representing the army s.aff.
and ’’vo foreign office officials.
The director of the American sec
tion of the foreign office saw Yosai
zawa, who announced the inquiry, and
promised to expedite return of Amer
ican missionaries and business men
to their posts.
Eugene Dooman, counsellor of the
United States Embassy, conferred
with Yosshizawa after delivery of
(Continued on Page Four.)
LILY PONS MARRIES
ANDRE KOSTALANETZ
Norwalk, Conn., June 2 (AP) —Lily
Pons, French opera star, and Andre
Kostelanetz, orchestra leader were
married at her Silvermime home here
today shortly after getting their wed
ding license. Miss Pons gave her age
as 33, Kostelanetz said he was 36.
STATE INSTITUTIONS
HAVE 19,582 INMATES
Approximately Half Confined in State
Prison and in Various
Prison Camps
Raleigh, June 2.—There were 19,-
. r >B2 inmates of State penal, charitable
and correctional institutions on May
1, according to a report made public
today by Dr. ,1. Wallace Nygard, di
rector of the division of institutions
and corrections of the State Board of
Charities and Public Welfare.
By far the largest number, 9,728,
were confined to the Central Prison
and the various prison camps of the
State. There were 7,290 mental pa
tients as follows: State Hospital at
Morganton, 2,262; State Hospital at
Raleigh, 2,228; State Hospital at
Goldsboro, 2,094, and Caswell Train
ing School, 696.
A total of 936 juvenile delinquents
were in five state institutions for that
type of offender; there were 1,542 phy
sical defectives, and four Confederate
veterans and 42 widows of Confed
erate soldiers were in the two homes
maintained for such persons.
scoilMim
MARKET FACILITIES
Says Farmers Need To
Know How To Dispose
of Crops When Made
Dally lJlapateta Rnrcna,
In The Sir XVnltt-r
Raleigh, June 2.—When the 1939
General Assembly meets, the North
Carolina Department of Agriculture
plans to bring to its attention the
vital importance of working out a
coordinated, well-balanced program of
improving the services rendered far
mers in marketing their crops, Com
missioner W. Kerr Scott told this bu
reau’s representative today.
“President Roosevelt says that a
Third of the nation is ill-clothed and
a Third of the nation is ill-fed, and
yet North Carolina must call upon
the Federal Surplus Commodity Cor
poration virtually every month to ob
tain help needed on chaotic, badly
demoralized markets,” said Mr. Scott
!' stressing the pressing importance
of the subject.
‘The challenge to North Carolina
agricultural planning is the fact that
of $19,000,000 spent annually for farm
v. (Continued on Page Three.)
fmtfersmt Hat hi Btsaatrh
L iron E P<,- WIRE SERVICE OF
THE ASSOCIATED PRESS.
BRITAIN PREPARING
PEACE PROPOSAL IN
SPANISH CIVIL WAR
Learning to Walk
i ... '■
Still a bit unsteady, Gloria Barton
nevertheless smiles happily as her
anxious mother watches her take a
few steps. Last summer, Gloria,
who lives at Port Richmond, Staten
Island, N. Y., was stricken with in
fantile paralysis. After a long siege
in an “iron lung” Gloria, now 9
years old, is learning to walk with
out crutch or braces.
(Central Press J
Hancock Has
s4o,oooGift,
Gossip Says
Story Not Vouched
for but Comes from
Responsible Source
In State
Daily Dtupateh Bureau,
In the Sir Walter Hotel.
Raleigh, June 2. After jogging
along like an old family Dobbin for
weeks and weeks, the senatorial cam
paign, in its last stages, is beginning
to show signs of animation and spir’t
—what with numerous charges and
countercharges, rumors and counter
rumors.
Latest “right from the feed box”
story to reach this correspondent, who
passes it on only for whatever it may
or may not be worth and without
guarantee, is that Frank Hancock has
received a $40,000 campaign contri
bution —Which accounts for the mary
Hancock advertisements appearing in
the public prints all of a sudden and
which will account for the activities
of hundreds of ward heelers, come
voting day.
In connection with the gift story,
the name of a prominent and tobac
co-chewing citizen of Mecklennburg
(Continued on Page Four.)
MCMULLAN SEEKS TO
AID STATE WORKERS
Asks Tar Heel Congressmen To Op
pose Bill for Collecting In
come Tax From Them
Raleigh,' June 2 (AP)—Attorney
General Harry McMullan wrote the
members of the North Carolina con
gressional delegation today asking
them to support a bill to prohibit col
lection of Federal income taxes on
State and local public employees for
salaries back to 1926.
McMullan said Senator Lonergan,
Democrat, Conecticut, had introduced
such a measure. McMullan had been
informed that a United States Su
preme Court decision last week in the
case of the New York Port Authority
had left the way open for the Treas
ury to levy income taxes on State
employees, heretofore regarded as
exempted for all years back to 1936.
The bill proposed would permit such
levies only after May 23, 1938.
ONLY DAILY NEWSPAP ER PUBLISHED IN THIS SECTION OF NORTH CAROLINA AND VIRGINIA.
Non-Intervention Commit
tee Urged To Speed Up
Plan for Withdraw
ing Foreigners
SEEK SAFEGUARD
TO EUROPEAN PEACE
Russia Withdraws Opposi
tion Provided Adequate
Sea Patrol Is Arranged;
German and Italian Aid
Has Been Reaching Franco
From Sea Routes
NAVY ASKS MORE MONEY.
Londor. June 2.'—(AP) — The
Britfsh Admiralty, simultaneous
ly with reported moves by Pr ; me
Minister Chamberlain to mediate
the Spanish civil war and Czecho
slovak Sudeten difficulties, today
issued a $12,052,000 supplement nr'
naval estimate.
Tile estimate boosted the or’-
p i' ll $618,535,000 naval estimate
for lU3B and will be used to start
this year’s schedule on new nauii
const* action.
London, June ? -(AP) —Grrut Bri
ti.in urged the non-intervenGcn r.ub
'■■rmmittee to greater speed today on
hie proposal for withdrawing foreign
t’tops from Span, hoping ti pave
the vay quickly for a truce in the
Spanish civil war.
F'rime Minister Chamberlain was
reported to have ordered fresh dip
lomatic activity by Britain’s repre
(Continued on Page Four.)
MORE INDICTMENTS
NEAR IN NEW YORK
Financial District Hears Dewey Is
Not Through With Invest
ment Trust Scandals
New r York, June 2. —(AP) —Fin-
ancial circles today were stirred
by reports there would be further
indictments in District Attorney
Thomas Dewey’s investigation of
a ring which he charged pyramid
ed $5 into control of investment
trusts with assets of $16,000,000.
Six indictments were announc
ed yesterday by the district attor
ney, who denounced the alleged
loot ng of seven investment trusts
by the group as “the biggest fin
ancial steal in years.”
Insurgent
Drive Now
Is Slower
Hendaye, France, June 2.—(AP)-
The insurgent power drive against
the Teruel highway appears to be
stalling again before increasing gov
ernment resistance. In many sections
of the mountainous front, which
guards the highway to the coast, gov
ernment counter 'offensives in the
last two days have recaptured ter
ritories lost to General Franco’s
forces.
Insurgents who previously claimed
they had taken Mora de Rubios re
ported today they had forced entry,
but that government defenders were
still holding to its center, with bitter
fighting centering on the outskirts.
Wfr.h government resistance, the
insurgents said they were advancing
slowly on two wings of the central
front.
Much of the government resistance
was attributed to its revised air
coi ps.
By CHARLES F. STEWART
Central Press Columnist
Washington, June 2. —When Presi
dent Roosevelt leaves the White House
in 1941 or 1945 or whenever he does,
he can point backward to one accom
plishment that not even his bitterest
critic can find fault with.
His administration is solidifying the
Americas, North, South and Central,
in admirable fashion.
Uncle Sam was not overly popular
from the Rio Grande to Cape Horn
at the time of “F. D.’s” first inau
guration. President Hoover did, in
deed, try hard to improve Pan Amer
ican relations hut he had rather to
cold a personality to appeal to our
southern neighbors. They were appre
ciative of his obviously kindly feeling
toward them but they did not wax
enthusiastic.
President Roosevelt’s tone has ex
HENDERSON, N. C., THURSDAY AFTERNOOON, JUNE 2, 1938
“Good Neighbor” Program
Scores In Latin-America
Even Bitterest Critics of R oosevelt Can Find No Fault
With His Attitude Towa rd Central and South
America; Trips to Lat in Nations Get Results
Fights Auto Firms
' illllflMWlllii '
fsjjSsßj&y ) | >;
gnrmrm]f?n||[WK|^ nr| . .m&SSBBBfIHfIHI
James R. Fleming
tJ. S. District Attorney James R.
Fleming of South Bend, Ind., who
obtained the federal indictments
against three large automobile
companies, charging them with
conspiracy to violate the Sherman
anti-trust law, says that sep
arate trials for the three firms—
General Motors Corp., Ford Motor
Co. and Chrysler Corp.—will be
gin in October. The indictments,
charging conspiracy to promote
monopoly by coercing dealers to
finance car sales through the
companies’ own firms, include
Alfred P. Sloan, Jr., Edsel Ford
and Walter P. Chrysler. Fleming
ordered the 60 persons indicted to
make their pleas within two or
three weeks or face arrest.
r:s
Head G-Man Arrives from
Washington and Takes
Charge of Search for
Abductors
BOATS AND DIVERS
COVERING LOWLANDS
Parents of Five-Year-Old
James Cash Secluded In
Home, Stricken With
Grief; Federal Men Trying
To Track Down Man Who
Took SIO,OOO Ransom
Princeton, Fla., June 2. — (AP) —.Ed-
gar Hoover, chief of the Federal Bu
reau of Investigation, took charge of
the James B. Cash, Jr., kidnaping
case today while small [boats and
divers augumented a huge possee
combing this area in the rain for a
trace of the five-year-old victim.
Arriving at Miami from Washing
ton, Hoover hastened immediately to
the F. B. I. office, where agents have
been questioning several suspects for
(Continued on Page Four.)
PITT YOUTH FREED
IN AUTO FATALITY
Tyree Stokes, 19, Absolved of Death
©f Thomas A. Etheridge, 25,
in Collision
Greenville, June 2.— (AP) —A coron
er’s jury exonerated Tyree Stokes, 19.
of Grimosiand, today after holding
an inquest into the death of Thomas
A. Etheridge, Jr., 25, in an automobile
motorcycle collision near Grimesland
last night.
Etheridge was coming from Wash
ington to Greenville on his motorcycle
when the collision occurred. He was
manager of a dry cleaning estab
lishment here.
Funeral services will be held to
morrow.
actly the right appeal to the Latin
American temperament. Here some of
us find a bit to sniff at in the mel
lifluousness of the “My Friends” with
which he begins most of his talks to
us. To the Latin American ear these
words are the sweetest music. The
Latin American simply loves that
kind of stuff. He is a sentimental
chap—hard-boiled in certain respects,
but he dotes on sugary politeness.
In the Past—
In the past years Uncle Samuel’s
attitude toward our southern neigh
bors'has been more or less bullying.
It has been protective, ifcfut intra-
Americanly there has been a sugges
tion of “Papa spank if you children
don’t mind him.”
The Latin Americas wanted protec
tion, but they resented the threat of
(Continued on Page Five.)
Barkley Declares Roosevelt
Not To Allot Utility Money
If Firms Sell Out Holdings
VICTIM. OF FLORIDA KIDNAPING
Ur x N ° \ /-' §| |
■hRII ,
| -t|f||
P \ : }, |gHgSgg&*v' * y .
<§§£v; ; .
Princeton, Fla., —James Bailey Cash, Jr., 5-year-old victim of kid
napers here, is shown in a recent photograph. While his mother
was helping her husband lock the store, “Skeegie,” as he was
called by his parents, was snatched by kidnapers Saturday night.
A SIO,OOO ransom demanded by the kidnapers was paid by the
father, but “Skeegie” was not returned. Wednesday the frantic
father was scouring the countryside seeking his son.
Heavy Fines
Imposed For
Oil Concerns
Wisconsin Judge As
sesses 13 Compan
ies and 11 Officials
; $385,000
Madison, Wis., June 2 (AP) —Fede-
ral Judge Patrick Stone today assess
ed fines of $360,000 and $25,000 costs
against 13 major oil companies and
eleven of their officials on charges of
illegally fixing the margin of profits
for independent wholesale gasoline
jobbers in the midwest.
The judge accepted the defendant’s
pleas of nole contendere by which
they were willing to accept penalties
without standing trial.
Eight other companies and a like
number of officials who refused to en
ter nole contendere pleas will go on
trial in Madison September 26.
In the case of each company and in
dividual whose pleas were accepted
the court imposed a fine of $15,000.
The costs of $25,000 are to be split
among the defendants.
The /companies entering pleas were
the Socony Vacuum Oil Company,
Inc.; Wadhams Oil Company, Stand
fContinued on Page Four.'*
WEATHER
FOR NORTH CAROLINA.
Cloudy, thundershowers this aft
ernoon and tonight; slightly war
mer in central portion tonight;
Friday partly cloudy, possibly
thunder showers near coast.
PUBLISHED IVHT A KTIENOO*
■XCHPT SUNDAY.
Auto Crash Near
Charlotte Fatal
Charlotte, June 2.—(AP)—Al
bert Henderson, of Hendersonville
was killed and two other men in
jured in an automobile-truck col-
I'shn on the Charlctite-SaMsbury
highway near here early today.
Finley Pace, of Hendersonville,
a passenger in Henderson’s auto
mobile, and Calvin Reach, of Con
cord, riding in the truck, were in
jured.
Sergeant Clyde Hunter, of the
Mecklenburg county rural police,
safd Earl Williams, of Concord,
the truck driver, had been arrest
ed and charged with manslaughter.
Bond was set at SI,OOO, he said.
Hunter »said Henderson’s car,
headed north, skidded and collid
ed with the southbound truck,
owned by an oil company.
ROOSEVELT SPEAKS
AT NAVALACADEMY
Urges 1938 Graduates To
Acquire Full Knowledge
of Civilization
Annapolis, Md., June 2. —(AP)--
President Roosevelt advised the
Navy’s graduating imidshipmen to
day to acquire a well-rounded know
ledge of modern civilization, in ad
dition to their training as officers of
the navy.
“That applies,” the President said,
“to all of world thought and world
problems, but it applies, of course,
with special emphasis to the thought
Continued ©a Page Five.)
8 PAGES
TODAY
FIVE CENTS COPY
STATEMENT GIVEN
mm
Seek Elimination of Ban pit
Loans for Concerns To
Compete With Pri
vate Firms
MORGENTHAU URGES
ROOSEVELT POWEfI
Urged Unlimited Authority
To President in Spending
Huge Relief Fund; Trea#-
ury Will Need No Borrow
ing June 15, Treasury Sec
retary Says
Washington, June 2.—(AP)—(Ma
jority Leader Barkley told the Sen
ate today President Roosevelt doss
not want to use public funds to build
public utility plants competing with
privately owned systems until prj
vite utilities have been given an op
portunity to sell their holdings at a
‘•reasonable price.”
Barkley’s statement came during
Senate debate on a proposal to for
bid the use of PWA funds for corf
structing plants which would com
pete with privately-owned systems.
The restriction was recommended
by the Senate Appropriations Com
mittee as an amendment to the
ministration’s 83,000,000,000 lending
npending measure.
If the restriction of PWA allot
ments is eliminated, Barkley asstiri
cd he was ‘‘authorized to say” tjiat
the President would not allocate funds
for building public systems unless mu
nicipalities have in good faith made
an offer to purchase existing private
plants.
Earlier Secretary Morgcnthau ggid
Congress should give the President
virtually unlimited authority to deter
mine how funds should be spent 'in
the new relief public works program-
Meanwhile, Commissioner George
Payne, of the Communications Com
mission, charging that the coitimis
sion has been ‘‘susceptible to outside
pressure,” asked the House BlflM
Committee to authorize a congres
sional investigation of the radio ‘in
dustry.
“Some of the lawyers who practice
before the commission,” Payrie sgid,
“have become arrogant and are. lb •
the habit of commanding, rather tlsan
of asking or pleading. Their
and pressure are altogether too
great.”
Other developments included:
Secretary Morgenthau announced
(Continued on Page Three.)
THINKS LEVINE LAD
DECAPITATED FIRST
Westchester Medical Examiner Con
vinced He Was Dead When
Thrown Into Sound
New Rochelle, N. Y., June 2 (AP) —
Revising an original police theory,
Dr. Amos Squire, Westchester coun
ty medical examiner, said today hs
was convinced the kidnapers decapi
tated 12-year-old Peter Levine before
dumping his body into Long Island
Sound.
Dr. Squires said a check of 1.200
drowning cases had failed to disclose
a single incident in which a head had
become detached from a body by nat
ural causes after immersion of only
three months.
Police and Federal agents, still with
out a tangible clue as to the identity
of the slayer, continued dragging wat
ers of the sound near the place where
the boy’s wine-bound torso drifted
ashore last Sunday.
Pittsburgh *s
Bread Supply
Is Threatened
Pittsburgh, Pa., June 2. —(AP)--
Bread supply became a problem to
day for several hundred thousand fa
milies in the Pittsburgh district as
the ovens of 35 major baking com
panies cooled because of a strike of
1,100 truck drivers.
Also idle were 2,400 inside employees
and leaders of the American Federa
tion of Labor bakery truck drivers
union, predicted they would join the
drivers in the sympathy walkout.
Fighting broke out and two men
were hurt as 58 trucking companies
formed picket lines on main highways
to prevent freight movements by
, seven firms which signed a union con
tract. Cab windows on a truck bear-
Conlinued on Page five.;