HENDERSON’S
POPULATION
13,873
twenty-fifth year
FDR SAYS SOUTH IS COUNTRY’S PROBLEM
AMERICA’S HOLIDAY
TOLL OF DEATHS IS
NOW PLACED AT 515
'Change Prexy
♦ jsSg& ig- -
William McC. Martin, Jr., 31-year
old stock broker from St. Louis and
chairman of the governing commit
tee of the New York Stock Ex
change, is pictured after he was
unanimously selected to serve as the
first paid president of the exchange.
His salary is $48,000 a year.
<Central Press)
STATE’S OFFICIALS ~
HAPPY A! BALANCE
Capital’s Week Also Includ
ed Extermination of
Three Criminals
Daily Dispatch Bureau,
In the Sir Walter Hotel.
Raleigh, July 5. —End of the fiscal
year. Bill Payne and Wash Turner at
tracted most attention and filled most
newspaper space in' Raleigh last week
as the State’s high officials joined in
a hallelujah chorus of praise for
their conduct of the State’s fiscal
matter and the two notorious bad
men went wherever they’ll spend
eternity, chocked to death with
cyanide fumes.
On the side there was the still mys
terious shot which did not hit So
licitor William Y. Bickett, as well as
a city board row over appropriations
for an anti-syphilis campaign, pre
liminary steps in a slums clearance
program for the city. Echoes of elec
tion fraud disclosures, and a talkfest
in which county liquor board mem
bers made little or no progress in the
direction of changing the State Li
quor Board’s mind on the subject of
liquor prices in North Carolina.
State Solvent, and To Spare: Re
ports and estimates given out at the
ond of the fiscal year, which closed
June 30, indicate that North Carolina
is entirely solvent with something to
(Continued on Pag\2 Four.)
R ATTACKED
Raleigh and Asheville
Health Boards Resist De
mands of State
Raleigh, July 5. —Dr. Carl V. Rey
nolds and the State Board of Health
a >o running into some trouble with
their proposed gigantic campaign a
gainst syphilis—at least in securing
cooperation of all the cities and coun
tics.
City boards of both Raleigh and
■Asheville are bucking against the cost.
their participation in the drive —
hi both cases it is contended that the
existing city clinics can and will pro
'■'ide the same service Reynolds pro
poses and at much less cost.
In Wake the health board wants
something like $8,500 from county and
eity combined. Mayor George Iseley
quotes Dr. Sidney Smith of the pre
sent clinic to the effect that the same
Work as Reynolds proposes can be
done for $2,500.
As a result, partisans of the cam
paign are charging that the real op
position to the city appropriation
com. & venereal specialists of
Raleigi, »hn prefer to keep the busi
, .(Continued on Page Three.)
Linthcrsmt tlatltt Dtsuatrlt
WIRE SERVICE OF
THE ASSOCIATED PRESS.
Only Three Persons Killed
by Fireworks, But Auto
Dead Are 256, Over
Half Total
140 PERSONS DROWN
WHILE IN BATHING
New York. Leads With 39
Fatalities, Pennsylvania
Has 33 and Michgian 27;
Thirteen Deaths in North
Carolina from All Causes
During Holiday
(By The Associated Press.)
The toll of America’s holiday deaths
—at least 515 died violently celebrat
ing the 162nd anniversary of indepen
dence—showed today that the nation
has practically eliminated fireworks
fatalities, but has failed to quell the
menace of the motor car.
Only three persons were killed by
fireworks—all of the “homemade” va
riety. Motor crashes on packed high
ways, however, claimed at least 256
lives, half of the entire number.
The rush for beaches and lakes and
river resorts to escape immoderate
heat in some sections of the country
resulted in 140 drownings.
Reports from 46 states and the Dis
trict of Columbia also showed 27 per
sons were shot to death, 20 commit
ted suicide, 18 were killed by train
and 50 died in various mishaps, such
as falls, lightning and home accidents.
The toll of 515 was below that of
the Fourth of July week-end in 1937,
when 563 were killed, but more than
doubled the number for Memorial Day
d—2so. h* - -,v -
Neva York, with 39 deaths, led the
states: Pennsylvania was second, with
33, Michigan third, with 27.
Meanwhile, the holiday week-end’s
toll of accidental deaths in the Car
olinas 3tood at 21 on the basis of re
ports tabulated today. North Carolina
had 13, South Carolina 8.
Victims in North Carolina includ
ed: Drowned, Carol Briggs, of Crad
dock, Va., at Bay View; automobile
accident, Weldon Parrott and Herman
Hickling, near Elizabethtown; George
Edwards at Roanoke Rapids; scald
ing, Ernest White, 5, Negro, Colerain.
STOCKS DECLINE ON
WAVES OF SELLING
Profit-Sellers Have Their Inning In
New York Exchange, With
Losses Written Up
New York, July 5. —(AP) — Profit
sellers had their innings with the
stock market today, and at the worst
leading issues were knocked down
one., to more than three points. Ac
tivity was greatest just after the
opening, when the list churned rapid
ly. and for a brief period the ticker
tape fell, behihd. From the first hour
on, volumne dwindled appreciably,
and at the close quotations were
above the low marks in many cases.
Transfers were around 1,7000,000
shares.
American Radiator 15 1-8
American Telephone 142
American Tob B 79
Anaconda 34 7-8
Atlahtic Coast Line 22 1-2
Atlantic Refining 24 5-3
Bendix Aviation 14 1-8
Bethlehem Steel 60 1-2
Chrysler 65 3-4
Columbia Gas & Elec Co .... 8 1-8
Commercial Solvents 8 7-8
Continental Oil Co 10
Curtiss Wright 5
DuPont 1"2
Electric Pow & Light 12 1-4
General Electric 42 1-8
General Motors 38 1-8
Liggett & Myers B 100 1-4
Montgomery Ward & Co . -.. 43 1-2
Reynolds Tob B 41 1-2
Southern Railway 18
Standard Oil N J 54 3-4
U S Steel 59 3-4
SLUMP FOR COTTON
SrUE TO LIQUIDATION
.Favorable Weather Conditions Also
Blamed for Setback In Prices
During Day
New York, July 5. —(AP) —Cotton
futures opened off one to four points.
Higher Liverpool cables were offset,
by favorable weather and July liqui
dation, against 55 notices. October
eased from 9.02 to 8.95 shortly after
the first half hour, when the list was
six to eight points bet lower. October
eased to 8.88, and at midday was with
in a point of the low, with the list
10 to 15 points net lower.
Futures closed eight to ten points
lower. Spot quiet, middling 9.03.
Open Close
July 9-00 8.93
October 9.00 8.92
December 9.08 9.00
... 9.14 9.08
‘May ..9.X6 9.10
ONLY DAILY NEWSPAP ER PUBLISHED IN THIS SECTION OF NukT'H CAROLINA AND VIRGINIA.
Lewis E. Teague, of High Point, defeated Oscar Barker, of Durham,
for Congress in the run-off primary last Saturday in the sixth district:
and W. O. Burgin, of Davidson county, has a slender margin over C. B.
Deane, of Rockingham, for the nomi nation in the eighth district, in the
run-off of Saturday. Both won Demo cratic nominations.
Last Mail Bandit
Gets Prison Term
Asheville, July 5 (AP) —Rufus
Costner was sentenced to 20 years
in the Federal penitentiary today
for his part in the $105,000 mail
truck robbery in Charlotte five
years ago.
Costner was charged by the
United States government as being
the fifth member of a gang who
held up and robbed th e mail truck.
Detectivq Chief Frank Little
john of Charlotte, said Costnef ad
mitted participation in the robbery
and led officers to the spot where
SB,OOO was hidden.
Rufus’ brother, Ike* Costner, Bas
il Banghart and Ludwig (Dutch)
Schmidt are serving long prison
terms for the robbery. Another
suspect, “Ice” Connors, was shot
to death iiu Chicago some time
ago.
TSSaI
Many Important Congress
Committees Headed by
Foes of Roosevelt
By CHARLES P. STEWART
Central Press Columnist
Washington, July s—The New Deal
ers’ objection to the seniority rule,
under which chairmanships of con
gressional committees are determined,
is understandable.
Each proposa 1 of a new piece of
legislation is referred, upon its intro
duction, to its appropriate committee
in the Senate or House of Represen
tatives.
The committee to which such re
ference is made has a deal to say con
cerning that bill’s fate. The commit
tee can report on it favorably or un
favorably and its report counts con
siderably. However, if a majority of
the committeemen are hostile to the
measure, they generally do not both
er to report at all; the bill never gets
out of the hands. It is
“buried in committee,” as the saying
is; Congress, as a whole, never gets
(Continued on Page Five.)
Carolina Power’s
Profits Increase
In 1937 Over 1936
Raleigh, July 5 (AP) The
Carolina Power & Light Company,
operating in North Carolina and
the Pee Dee section of South Caro
lina, reported today it made a
1937 net profit of $2,564,680.84, an
increase of about $450,000 over the
1936 profit.
The report was filed with Utili
ties Commissioner Stanley Win
borne.
The company operates in the
eastern North Carolina around
Raleigh and around Asheville in
the western part of the State.
It listed 1937 income at $12,-
770,051.48 in 1930, and said expen
penses last year were only $9,632,-
150.46, as compared with $9,654,-
683.60 the year before.
WEATHER
FOR NORTH CAROLINA.
Fair tonight and Wednesday,
with moderate temperature,
HENDERSON, N.C., TUESDAY AFTERNOON, JULY 5, 1938
Winners In Con gress Contests
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W. O. BURGIN
Burgin Has
Slight Gain
In Returns
«*
Charlotte, July s.—(AP) —Official
primary returns from Union county
today increased the slender lead of
W. O. Burgin, of Lexington, over C
B. Deane, of Rocl ingham, for the
Democratic nomination to Congress
fr&m the eighth - fester
The election board announced the
vote as: Deane, 2,557; Burgin, 2,427.
The unofficial figures were: Deane,
2,573; Burgin, 2,419. Deane thus lost
16 votes and his opponent gained
eight.
On the unofficial votes for the dis
trict, Burgin had a lead of 25 votes.
The Union vote, therefore, made his
vote lead 49. Deane had four Monroe
ballot boxes impounded this morning.
The Union Election Board announced
it would conduct a hearing in the
matter this afternoon.
Official returns from Hoke were
identical with the unofficial figures:
Deane, 589; Burgin 316. *
Monroe, July 5 (AP) —'Ballot boxes
of four Monroe precincts were im
pounded today upon the request of C.
B. Deane, of Rockingham, who trail
ed W. O. Burgin, of Lexington, in un
official returns fr<frn Saturday’s run
off primary for the eighth district
congressional nomination,
F. H. Lee, chairman of the Union
County Election Board, said he would
confer with the county attorney on
the next stop to be taken.
Lea said Deane charged that some
votes cast for him were not counted,
and that «some votes were placed in
wrong ballot boxes.
Union county reported 2,573 votes
for the Deane and 2;417 for Burgin in
the unofficial returns.
Burgin had a lead *of only 25 votes
over the district in the unofficial re
turns.
CALLS ISSUED FOR
BANKS’ CONDITION
Washington, July 5 (AP) —The
comptroller of the currency issued a
call today for the condition of all na
tional banks at the close of business
Thursday, June 30.
Raleigh, July S—(AP5 —(AP) —Gurney P.
Hood, State bank commissioner, is
sued a call today for all State banks
to report on their condition as of the
close of business June 30.
Count Asks $5,000,000
And Their Son As Terms
For Divorcing Barbara
London, July s.—(AP)—Countess
Barbara Hutton Haugwitz - Revent
low’s battery of noted legal talent ac
cused her titled Danish husband of
demanding *55,000,000 and their two
year-old son, Dance, in return for a
divorce in a tense hearing in Bow
street court.
In the course of two and a half
hours of sensational testimony to sup
port charges against the handsome
Count, he also was accused of threat
ening to shoot an unnamed Mayfair
society man “like a dog.”
The golden-haired, black-clad Wool
worth heiress kept her eyes on the
back of her husband’s head as her
attorneys declared he threatened to
“put her on the spot”, and had laugh
ed at a proffered gift of $250,000 as
“an insult.”
The hearing was adjourned until
Capture of Hankow, 160
Miles Down Yangtze from
Capital City, Is An
nounced by Japs
CHINESE WITHDREW
LEAVING SUPPLiES
Little Fighting Occurs Aft
er Piercing of Outer De
fense of City; Route To
Hankow Exceedingly Dif
ficult for Invaders, on
Whatever Course
Shanghai, July s.—(AF) —The Jap
anc?e army, which in a year’s fight
ing has crashed its way 450 miles up
•he Yangtze river into the heart of
China, established positions today for
another major effort to reach Han
kow, provisional capital of General
Chi an g Kai-Shek’s government.
The Japanese command announced
today the capture of Hukow, 16.1
miles from the China capital, and a
main harrier to the Japanese advance.
Chinese withdrew, leaving munition
supplies, and there was little fighting
after Japanese pierced Hukow’s outer
defenses, military officials said. Oe
cupation of the city puts the Japan
ese in position for a Hankow offensive
along two possible routes, both ex
tremely difficult.
The one choice was a 150-mile drive
up the Yangtze river, winding thro
ugh a mountainous area with its
strong Chinese defenses. The other
was a land and water detour to the
west, in an effort to sever the Can
ton-Hankow railroad, disrupt trans
portation of supplies and force the
evacuation of Hankow.
Defense Counsel
Quits And Delays
Fort Bragg Trial
Fayetteville, July 5. —(AP) — The
trial of Bill Cross and three other
men on charges growing out of the
slaying of a Fort Bragg ranger last
October was delayed temporarily
when the case was called at a special
term of Cumberland County Superior
Court here today.
Walter Siler, attorney for Cross,
told Judge Luther Hamilton that
“differences of opinion” between him
self and his client made it impos
sible for him to continue to repre
sent Cross. Judge Hamilton then ap
pointed W. D. Ellis and James Mcßae
to act as attorneys for Cross. A re
cess was taken to permit them to
confer with him.
Cross is charged by the State with
fatally shooting Sergeant J. S. Mott.
His co-defendants, S. M. Rush, Jesse
Crotts and Walt Ruth, are charged
with -being accessories. All of the
men are from Asheboro.
The slaying occurred near the edge
of Fort Bragg reservation when the
ranger approached some hunters who
questioned him about the killing of a
deer.
LOCAL BONDS SOLD
BY STATE’S BOARD
Raleigh, July s.—(AP)—The Local
Government Commission sold $42,000
Asheboro bonds today to William
Green Company of Winston-Salem.
A SIO,OOO Kinston revenue antici
pation note was sold the Concord Na
tional at a premium of $5.52,
with interest at 2 1-2 percent and the
First Citizens Bank and Trust Com
pany of Louisburg took a $4,560 bond
anticipation note at par with six per
cent interest.
July 13. Today’s testimony was on the
countess’ charges that her husband
had placed her in fear of her life or
bodily harm. He was released on hail
of 2,000 pounds ($10,000) as in the
case of his first hearing last Friday
immediately after returning from
France to face his wife’s charges.
William Mitchell, solicitor for the
countess, who has charged that her
husband threatened her, testified he
told the count that the heiress would
offer 50,000 pounds ($250,000) as “an
out-and-out gift.”
“The only ground on which the
countess wanted divorce was ’’incom
patibility,” Mitchell added. “There was
no one else concerned at all. The
count said 50,000 pounds was laugh
able. He said it was an insult. I told
him ‘I wish some one would insult
me’.” r - _
t>(JHLOJUUDi ‘ IVHKT * fTBBNOON
EXCEPT SUNDAY.
Economic Troubles
Os Nation Are Due
To Conditions Here
• Baffling Film Death
Ring D. Gray
. . . his death is mystery
Investigation into the baffling Holly
wood murder of King D. Gray, 53,
motion picture cameraman, turns to
ward a “dear daddy” Fetter from a
mysterious woman in Pennsylvania
and a secret post office lock box. The
writer of the letter lives in New
Castle, Pa., police said. Gray’s body
was found in his auto parked in front
of the Hollywood post office. The
murder gun was missing. Gray, mar
ried and with tv o sons, was describ
ed as not having an enemy in the
world.
IYT ' nn * * *-'***'»■
INew Tension
For France
With Japan
Japan Claims France
Has No Right to Is
lands Seized Off
China Coast
Paris, July 5. (AP) New dip
lomatic tension between France and
Japan appeared likely today to re
sult from French occupation of the
strategic Paracel island in the South
China Sea, about 150 miles southeast
of the Chinese island of Hainan,
which Japan has been reported plan
ning to r>eize.
Reports from Tokyo said the Jap
anese foreign office was studying the
situation with “great care.” It was
thought here that Japan might pro
test against occupation of the island,
which the Japanese contend belongs
to China.
The French foreign office said the
occupation was a routine police mat
ter of the French coloiiy of Indo-
China, which claims jurisdiction there
It was said at the foreign office, how
ever, that the Paracels would serve
as “excellent seaplane bases” in war
time.
Tells Harrowing
Experiences Had
In River’s Wilds
Cerro, N. M., July 5 (AP)—While ho
sought his wife to inform her of his
safety, A. S. Hunt described today
how he groped through a pitch dark
wilderness, crawling with rattlesnakes
after he and a boating companion
were dumped into the roaring Rio
Grand river.
Hunt said he was joined today in
the search for the body of E. R.
Wakefield, whom he saw swept down
the cascading stream when their craft
upset Sunday in the Black Canyon
near here.
When ditch riders reported seeing
Hunt wander off from the opposite
side of the river after the crash, Mrs.
Hunt came here from Denver and
engaged guides to aid irf the search.
Hunt turned up in a northern New
Mexico sheep camp yesterday, but
his wife’s whereabout were unknown.
He was taken to Antonito, Col.
FOUR PLAYERS OF
CINCINNATI CHOSEN
Cincinnati, Ohio, July 5. —(AP)Four
members of the hometown Reds, in
cluding young Johnny Vander Meer,
hero of two consecutive no-hit pitch
ing performances this season, were
named today as starters for the Na
tional League team in the all-s K-r
baseball game with the American
League team tomorrow.
8 PAGES
TODAY
FIVE CENTS COPY
Unbalance for Nation An
Whole Blamed on South
and It Can and Must
Be Righted
PURPOES NEAREST
TO HIS HEART NOW
Describes Conditions In Let
ter to Group of Southern
ers Called to Capital To
Lay Plans for Improve
ment; To Start on Politi
cal Trip Soon
Washington, July 5. —(AP) —Presi-
dent Roosevelt asked a group of south
erners today to begin a survey of
methods to improve southern econo
mic conditions —which he described
as “the nation’s No. 1 economic pro
blem.”
“We have an economic unbalance in
the nation as a whole due to this very
candition of the South,” he said in a
letter to those at a meeting called by
the National Economic Council.
“It is an unbalance that can and
must be righted, for the sake of the
South and the nation. No purpose is
closer to my heart at this moment
than that which caused me to call
you to Washington.
“That purpose is to obtain a state
ment —or perhaps I should say a re
statement as of today—of the econo
mic conditions of the South, a pic
ture of the South in relation to the
rest of the country, in order that we
may do something about it; in order
that we may not only carry forward
the work that has been begun toward
the rehabilitation of the South, but.
that the program of such work may
(Continued on Page Two.)
Road Funds
Apportioned
Over State
Raleigh, July s.(AP)—Vance Baise,
chief engineer of the highway and
public works commission, said today
that $7,515,000 had been allocated for
maintenance of State highways and
county roads in North Carolina for
the fiscal year 1938-39.
State highways will get $2,938,500
and county highways $4,576,500.
Reserves of ten percent were set up
in each fund from the total legisla
tive appropriation, which was $9,300,-
000. In addition, $211,500 was set aside
for bridge maintenance on State
highways and $643,500 for bridges on
county roads. Bridge tenders, ferries
and the like will cost $39,690 on State
highways and $32,380 on county roads.
By districts, the allotments, includ
ing bridge tender and ferries funds,
county road funds next, follow:
First division, $295,016 and $432,862.
Second division, $289,389 and $433,-
069,
Third, $294,878 and $428,533.
Fourtji, $277,188 and $464,591.
Fifth, $296,090 and $508,760.
Sixth, $298,328 and $461,000.
Seventh, $279,523 and $499,126.
Eighth, $283,733 and $449,732.
Ninth, $283,086 and $466,999.
Tenth, $341,269 and $431,828.
Insurgents
Make Gains
In The East
Hendaye, France, July 5. — (AP)—
Insurgents swung down the Mediter
ranean coast toward Valencia today
and occupied Burriana, important
highway point 20 miles north of
Sagunto. They also marched into a
section slightly to the cast and di
rectly on the coast.
Insurgents have been just outside
Burriana since the capture of Vil
lareal June 17.
Occupation of the town followed in
surgent reports they had smashed
government lines south of Teruel in
the Sarrion sector.
Dispatches from General Varella’s
field headquarters said his insur
gents had advanced 12 miles since
their sudden, relentless offensive
south of the highway started Satur
day.
Thousands of government troops de
fending almost surrounded positions
in the Unversalles mountains were in
danger of being trapped. On the ex
treme eastern flank of the 50-mile
Castellon de la Plana front, along the
Mediterranean coast, insurgents were
reported to have stormed the height*
near Nules, strategic city on the
coastal highway 14 miles north of
Sagunto.