HENDERSON’S POPULATION 13,873 TWENTY-FIFTH YEAR Hit ASKS NORTH DAKOTA ELECTION PROBE FRANCO IS ADVISED BY ITALY TO CHECK ATTACK ON BRITISH Mussolini Drops Words of Caution* to Spanish In surgent General on Air Raids RESPONSIBILITY IS DENIED BY NATION But Approves Bombing of Contraband Vessels; Brit ish Ambassador to Rome Told by Foreign Minister Ciano Restraining Meas ures Already Taken Home. June 29. (AP)—A spokes man for the Fascist regime declared today that Italy had advised General Francisco Franco, the Spanish insur gent leader, to “use moderation” in his efforts to prevent British and other foreign ships from bringing sup plies to government Spain. The spokesman, the editor Virginio Gayda, said, however, that Italy ap proved of the bombing of vessels car rying contiaband, hut disclaimed Italian responsibility therefor. He disclosed that Foreign Minister Count Galeazzo Ciano had told the Earl of Perth, British ambassador, that Franco already had taken a series of measures to give the British government satisfaction with regard to the long list of bombings of Bri tish ships, against which London had protested vigorously. These measures, Gayda said, were: 1. Franco had given orders that British ships should not he attacked while navigating. 2. He had ordered that the British' (Continued on Page Eight. TWO SPY WITNESSES ARE GIVEN LIBERTY But Suspects in New York Probe Closely Watched; U. S. At torney Sails for Europe New York, June 29 (AP) —Two of the government’s most important wit nesses i n the international spy ring probe. Kate Moog Busch and Senta de Wanger, were released today from the tower cell block in the Federal building. However, their freedom was constricted by a heavy guard of G-Men, who maintained a strict watch on their homes. The woman had been in “protective” custody for a month. Federal offi cials refused to explain he a; release. Both testified before the special grand jury which indicted 18 individuals, including high German war ministry officials on June 20. United States Attorney Lamar Hardy sailed on the Normandie today to discuss the spy question with Eu ropean authorities. Holt Fears' Corruption U. S. Funds Washington, June 29 (AP) —Senator Holt, Democrat, West Virginia ,ex pressed the hope today the adminis tration would not use the new lending spending program to return “favors” to corporations which bought cam paign books in 1936 and 1937. The West Virginian filed in the Congressional Record a list of cor porations and corporate officials he said had purchased the books. Re ceipts, he said, totaled $849,812. Terming the sale a “very question able method of obtaining campaign contributions,” Holt asserted that (Continued on Page Five.) British Destroyers Are Ordered To Italian Port Upon Island of Mallorca London, June 29. —(AP) —Two Bri tish destroyers, the Imogene and the Isis, were ordered suddenly to Mal lorca today from Gibraltar. The Admiralty described the move ment as “routine” in connection with the Nyon anti-piracy patrol. The lt.'dian-operatcd airplane base at Palma, Mallorca, is the source of many of the insurgent air raids'on the coast of government Spain, and Hritish shipping in Spanish waters, Mallorca is 150 miles east of Spain. Observers connected the movement of the destroyers with reports from Rome that Premier Mussolini had in terceded with Insurgent General •Hntiicrstm Datltt iHsmttrh L £4i* E SERVICE OF THE ASSOCIATED PRESS. .Bailey Will Rest At Duke Hospital Charlotte, June 29.—(AP)—Sen ator Bailey, Democrat, North Car olina, informed friends here today that he was entering Duke hos pital at Durham for a period of rest. YANGTZE DEFENSE fifIUEH BY Important Matowcben Boom Barrier to Japanese Drive Up River, Ob structs Japanese CRUCIAL BATTLE IS BELIEVED IMMINENT Botb Sides Cautious in War Bulletins as Fierce Figh ting Continues; Conflicting Reports Given of Air Clashes; Hankow Is Stake In Great Move Shanghai, June 29. —(AP) —Chinese declared today they still held the im portant Matowchen boom, barrier to Japan’s drive up the Yangtze river, against Hankow. But the trend of what may be a crucial battle in de fense of the provisional capital, 170 miles up-river from the boom, was obscured behind cautious communica tions from both sides. Chinese, who earlier had acknowl edged loss of one of several fort 3 (Continued on Page Five.) Prison Planning Triple Execution Friday Forenoon Raleigh, June 29.—(AP)—Pre parations went forward at State Prison today for the electrocution Friday of Wiley Briee, a 'Negro, and the execution by gas of Bill Payne and Wash Turner, desper adoes, all convicted of murder. Paroles Commissioner Edwin Gill indicated that pleas lodged this week for Payne and Turner . would not gain them a respite. Warden 11. H. Wilson said Brice w’ould die first at about 10 o'clock. The Negro was convicted of a slaying in 1926, in Alamance county. Under State law, he must be electrocuted, as that method of execution was in use when the crime was committed. Payne and Turner were sentenc ed for the slaying of George Penn, a highway patrolman, and will be given gas under a 1935 law. No passes to witnesses for the execution of Payne and Turner will be granted the general pub lic, Wilson said. Some 1,500 re quests were received, but the en tire allocation, ten in all, went to the highway patrol. Wilson said he sent five to each division, east and west, and did not know who would get them. Franco in an effort to halt attacks on British vessels. Both Mussolini’s action and the Ad miralty’s were believed to be results of increasing pressure on Prime Min ister Neville Chamberlain at home to do something to stop the attacks. While warships are privileged to call at Mallorca at any time, it was believed the present movement was in the nature of a “gesture” to com mand the insurgents’ attention and at the same time quiet opposition in Par liament. Opposition members of Parliament have been getting more and more sarcastic in asking where the Bri tish navy was while ships flying the Union Jack were being sunk. ONLY DAILY NEWSPAP ER PUBLISHED IN THIS SECTION OF NORTH CAROLINA AND VIRGINIA Death For Spies Set In France Paris, June 29.—(AP)—The French government today issued a decree es tablishing the death penalty in peace time for certain forms of espionage. The law was designed to halt the growing number of spy cases in France in recent years. Sentences of penal servitude for life, hitherto reserved for war-time espionage offenses, also were made applicable to peace-time convictions in a new drive which authorities said emulated Germany’s recent counter espionage activities. There has been a feeling in govern ment quarters for some time that the existing penalties needed stiffen ing. There has been a huge increase in espionage arrests in France in re cent years. In the Strasbourg area alone, near the German border, there were 150 convictions of espionage charges in 1937. Spaniards ' Stalemate Continuing Hendaye.- France, June 29. —(AP) The battle for Valencia today swung on both flanks of a 50-mile front in eastern Spain with neither the gov ernment nor the insurgents able to gain a decisive advantage. General Frahco’s forces held the upper hand in the coastal sector where they attempted to break thro ugh strong government defenses guarding the important Mediterran ean port. Indan , where another insurgent column was pushing east, General Jose Miaja’s defense troops were more than holding their own. The insurgent coastal forces were advancing slowly but steadily toward Nules, about- 25 miles north of Valencia. Fresh troops and heavy artillery enabled the insurgents to push back weary government militiamen to the line of fortifications protecting Nules and the highway to the west. Artana, only 28 miles from Valencia, is the point of the insurgent arrowhead. WEATHER FOR NORTH CAROLINA. Generally fair tonight and Thursday, continued rather cool. HENDERSON, N. C., WEDNESDAY AFTERNO ON, JUNE 29, 1938 Last Survivors of Civil War Who Can Make It Head for Blue and Gray Reunion at Gettysburg President Roosevelt to Address 4,000 Union and Confederate Veterans Who Encamp June 29-July 6 on Famous Battlefield " — BBSS? V 5 i|t o Ka <<^>-^aaw°SSai«BHaMHN WBBEnm- v . •f * many monuments that dot the 1 batUefieldTls 8 North and South ... mellowed by — I—l the years* Drive Upon Depression To Attain Stride by July 1 Britain Stirred by Storm Over National Secret Act London, June 29.—(AP)—Britain’s political storm over the official secret act was intensified today when Dun can Sandys, central figure in the tur moil, told a turbulent House of Com mons he had been ordered to appear before a military court. Sandys, conservative member of the House and son-in-law of Winston Churchill, declared this was “a gross breach of the privileges of this house.” It was Sandys’ charge in the House Monday that the attorney general had threatened him with invocation of the secret act usually used against spies, unless he divulged the source of cer- FACES™ Judge Frizzelle at Snow Hill To Hear Arguments Over Complaints Daily Dispatch Bureau, In the Sir Walter Hotel. Raleigh, June 29.—North Carolina’s 1937 scrap tobacco act will get a searching test Saturday at Snow Hill when constitutionality of the meas ure will be argued before Superior Court Judge J. Paul Frizzelle. Attorney General Harry McMullan for the State, and J. Con Lanier, of Greenville, for the J. B. Ficklen To bacco Company, agreed on the date for a hearing, which will be a com plaint of the company charging that the SI,OOO license fee levied ip the act (and which it paid under protest) is unconstitutional. To Wade Bruton, as sistant attorney general, will likely make the appearance for the State. The suit is nominally against A. J. Maxwell, commissioner of revenue, to whom the license was paid. The State’s 1935 act was held void for lack of clarity and because it did not specifically state that a viola tion thereof was a misdemeanor. That case (State vs Morrison) originated in Robeson county and was fought all the way from recorder’s to Su preme Court, with the State losing every round. Justice Heriot Clarkson wrote the Supreme Court opinion in the matter pointing out that the statute failed (Continued on Page Five.) tain information that brought the controversy into the open and arous ed criticism weakening the position of the government. On the basis of this information, Sandys had framed a question to b? asked in Commons coneerning alleged deficiency in Britain’s defense against aircraft. The military court was in stituted yesterday to inquire into this leakage. Sandys told the House he was or dered to appear before the court in uniform in his capacity as an officer of the territorial army tomorrow morning “for the purpose of giving evidence.” mfisSS O’Mahoney Says It Is Hon est Search for Means To Save America By CHARLES P. STEWART Central Press Columnist Washington, June 29. Senator Joseph C. O’Mahoney of Wyoming talks, in general, like a fairly ad vanced liberal. Nevertheless, he was prominent in the successful congress ional fight against President/ Roose velt's plan to • reorganize (or, as some folk put it, to “pack”) the Federal Supreme Court. This aroused the ire of most New Dealers, who have had a spell of referring to O’Mahoney as at least a very conservative Demo crat, if not an outright reactionary. Now, however, he is leader of what commonly is described as the “mono poly investigation”, to proceed dur ing Congress’ adjournment period, until next January or until an extra session is called, if one is called, ear lier than that. And the quite popular supposition is that this will be a decidedly radical quiz. So what is the senator: A rightist or a leftist? As Stewart Classes Him. From the Wyoming solon’s fashion of expressing himself, I would class him as a liberal, but decidedly a con structive one. He denies that his investigation pro (Continued on Page Eight. PUBLISHED IVVIT AFTERNOON EXCEPT SUNDAY. Full Momentum To Be Reached Quickly, Roose velt Assures Nation In Statement STUDYING SWEDISH LIQUIDATION PLANS United States Still Hunting Solution to Unemployment Problem Without Such Huge Expenditures, Presi dent Says; Various Spend ing Agencies Moving Hyde Park, N. Y., June 29. —(AP) — President Roosevelt gave the nation assurance today that the big Fed eral drive on the depression would reach full momentum fcy July 1. At the same time, the President said, this country, is still searching for a solu tion for the unemployment problem, a solution that would not involve large expenditures of money. Mr. Roosevelt said one matter un der study was how Sweden was able (Continued on Page Five.) Hoover and London Fate Is Shaping Washington, June 29 . (AP) —The congressional election campaign may determine wnether Alf M. Landon or Herbert Hoover will be recogni. ed as the titular leader of the Republican party. Frinds of the two men consider both have a claim to the leadership, Landon as the party’s last standard bearer, and Hoover as its last Pres ident.- Prominent Republicans in Wash ington said today that campaign acti vities of the pair should give the rank and file an effective yardstick for measuring the relative effectiveness of their leadership. In some, cases, one or th e other may have his way about the nomination of Republican candidates, and in others state and county leaders may have an opportunity to observe which one demonstrates the more vote getting power for party nominees. Both Hoover and Landon are ex pected to make a series of addresses during the campaign. Comprehen sive arrangements have not been (Continued on Page Eight. 8 PAGES TODAY FIVE CENTS COPY StopTe, SHEPPARDASSERTS Investigating Chairman Holds President’s Pleas for Candidates Are Not Liable NYE’S PLEA AIMED AT CLEAN ELECTION Wants To Know How Ex tensively Absentee Ballots Are Being Used in Senate Primary of G. O. P., Won by Nye; Williams Speech Is Studied Washington, July 29. —(AP) —Chair- man Sheppard, Democrat, Texas, an nounced today the Senate campaign committee would poll all county auditors in North Dakota at once to determine the extent to which absentee ballots were used in yesterday’s primary elections. At the same time, Sheppard told reporters that he did not believe speeches by President Roosevelt in behalf of candidates in primary elec tions would fall within jurisdiction of the investigating committee. The committee’s action on the North Dakota situation, he said, was in response to a request from Sena tor Nye, Republican, North Dakota, that the survey be made in the cause of clean elections. Nye was leading Governor William Danger for the Republican senatorial nomination by about 16,000 votes when a third of the precincts had re ported. Sheppard told reporters that, al though Nye did not clearly indicate what use could be made of the in formation, he assumed the North Datkota senator wished to compare the number of absentee ballots with (Continued on Pag« Four.) Crop Loss For State 12 Million Raleigh, June 29 (AP)—N. C. State College agricultural experts said to day that rain, hail and wind had caus ed heavy damage to crops in many counties of the State in recent weeks but that “good crops are still to be found in North Carolina.’’ Damage running into the millions of dollars has been done to tobacco arid cotton by rain and hail,’’ John Goodman, assistant director of exten sion, said. Another survey has plac-. ed the loss at $12,000,000 or more, with Johnston, Nash, Beaufort, Halifax and Franklin counties suffering most. Goodman said the best crops could be found where farmers used soil building crops last year and had made provisions for drainage either by ter racing or installing drainagd systems. Pastures lespedeza and legumes have thrived during the wet weather, aid E. C. Blair, extension agronomist. Goodman commented that excessive wet weather was not only hurting field crops, but was reducing honey flow, with indications being that bee* could not produce a normal crop* FDR Signs Flood Bill Grudgingly Say s $386,500,000 Measure Not What He Wants for Na tional Planning Hyde park, N. Y„ June 29.—(AP)— President Roosevelt announced today that he had signed the $386,500,090 omnibus flood control bill “with some reluctance.” Asserting that it “is unnecessary for me to emphasize the importance of carrying on a large and continuing program to eliminate floods, lessen soil erosion, continue reclamation, en courage reforestation and improve navigation”, the President declared the bill he signed “is not a step in the right direction in the set-up pro vided for general government plan ning.” “I am in doubt,” President Roose velt said, “as to the value of some of the projects provided for, and it I is unwise to place recommendations | to the Congress solely in the hands j of the engineer corps of the army in I (Continued on Page Six.)

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