HENDERSON’S POPULATION 13,873 TWENTY-FIFTH YEAR SECOND BIG WAR IN ORIENT FEARED BEGUN ********** ******** ***«* '*- * v v T ▼ T T T y y y y t y y y y y y Friends And Foes Os Roosevelt Divide Victories Fights Russians jgPHp. >V\i MU IRlf r* V ' v l‘ffi'•:# A v Marshal Prince Kanin (above), chief of the Japanese general staff, has hastened back to Tokyo from a vacation to plunge into a series of emergency conferences in the wake of the bloodiest battle yet waged in the present Jap-Soviet crisis. (Central Press) Italy Bans Alien Jews From Schools And Plans Stronger Armed Forces Hope For Clipper All But Abandoned Manila, P. L, Aug. 3.—(AP)- C’haiices of finding the Hawaii Clip per and the 15 men she carried when she vanished last Friday ap peared hopeless to most observers today as a fleet of 13 naval ships completed the fifth day of fruitless search. The aerial and sea patrol has ex hausted practically every possible search area where the plane might have crashed or drifted in th< Pacific ocean east of the Philip pines or on the islands themselves The army transport Meigs, which discovered the only possible clue uncovered as t« the Clipper's fate, backtracked the distance from Manila to Guam. The samples taken from the oil slick found by the transjiort were brought here for anaysis. Legislature To Be Very Perfunctory Everything Will Be Cut and Dried for Rubber - Stamping by the Extra Session Daiy Dispatch Bureau, In The Sir Walter Hotel. Raleigh, August 3. —Those who want jobs for ithe special session next week, end those who are breathlessly ex pecting fireworks and thrills from the gathering of the lawmakers here are doomed to sad disappointment and complete disillusionment, ac cording to all signs and portents. If the session isn’t one of the most perfunctory, cut and dried affairs on record, there is going to be than mild surprise in informed circles. There will be very, very few jilums for attaches. Secretary of State Thad Eure says he isn’t even going to set up an enrollment staff, because there "will be so few bills passed he can take care of them with his regular office force with no trouble ait all. As for excitement, there’ll be just about none at all. Workmen are busy repairing wiring in *’hc Capitol and there may be some liitlc trouble about lights in the House and Senate chambers, but they'll be abl € to get all they need (Continued on Page Five.) mmm, wenderso*** fetwatt Hatlit Utspatrit LEASED WIRE SERVICE OF THE ASSOCIATED PRESS. New War Scare Here ~^T371 ;cf r vfJ S' M area of f JF SO'/lET- B*& JAPANESE £ CLASHES Map of border clashes • • • on Soviet-Manchukuoan frontier World diplomatic centers were tense as new border clashes be tween Japanese and Russians oc curred at disputed borderline be tween Manchukuo and Siberia. Map shows region. Russia as serts that Japanese militarists have violated the Soviet frontier. —Central Press No Details Revealed of Program for In creasing Nation’s De fenses, Decided on by Mussolini. Rome, Aug. 3. —(AP)—The govern ment announced today all foreign Jews would be barred from Italian schools, beginning with the fall term. A communique issued by the govern ment said: “Beginning with the scholastic year 1938-39, the admission of foreign Hebrew students, including those re siding in Italy, to all Italian schools of all grades is prohibited.” At the same time, it announced a new program to increase the effi ciency of the nation’s armed forces. A communique said: “At recent meetings held by II Duce with the minister of finance and the chief of the general staff of war and air, a further program to increase the efficiency of our armed forces was concluded.” It gave no further details The ban on Jewish students pre sumably does not apply to the 47,000 Jews who are Italian citizens. The fascist race doctrine issued July 14 by a group of fascist professors proclaimed Italians were an Aryan race and denied Jews were members of the Italian race. Bethel Hill Professor Is Given Award Raleigh, Aug. 3. —>(AP) —A. G. Bul lard, vocational agricultural teacher at the Bethel Hill high school in Per son county, received today the cer tificate awarded the man adjudged annually to have been the outstand ing such teacher in the State. Roy Thomas, director of the work, made the presentation at the joint session of Farm and Home Week at N. C. State College. Dr. O. E. Baker, of the United States Department of Agriculture, dis cussed the problem he said had been created by the “drain of $34,000,000,- 000 in wealth from farms to urban communities during the decade be fore the depression. The agricultural economist offered no solutions to the problem, but pointed out that farm youth and farm wealth had been drifting steadily to the cities for 100 years until the de pression. The depression, he said, forced young people to stay on the farm and the result was that produc tion per person dropped after increas ingly steadily f°r years, and natural ly, therefore, the standard of living on the farm was going downward. The speaker warned that failure of farm youth to find jobs or work in (Continued on Page Eight. ONLY DAILY NEWSPAPER PUBLISHED IN THIS SECTION OF NORTHC AR OLINA AND VIRGInS. HENDERSON, N. C., WEDNESDAY AFTERNO ON, AUGUST 3,1938 President’s Foes On Top In Virginia Clark and Magill Senate Victories Ex pected; West Virgin ia for Roosevelt (By The Associated Press.) Roosevelt backers and anti-admin istration candidates divided the Dem ocratic honors today in four primary elections. Senator Bennett Champ Clark, of Missouri, foe of the court bill and other White House measures, won a landslide renomination. So did Sena ator Magill, of Kansas, loyal follower of the President. Their victories were not unexpected, however, for both had the active backing of their State party organizations. President Roosevelt had taken no part in either race. The same division extended to nominations for House seats in two other states. Three West Virginia re presentatives who have supported the President defeated their opponents, but in Virginia two avowed New Dealers lost out. Representative Smith of Virginia, whose district in cludes the “home town” of George Washington and Thomas Jefferson, won a three-to-one victory over Wil liam Dodd, Jr., son of the former am bassador to Germany. The vote, with ten precincts missing, was: Smith, 19,601; Dodd, 6,530. Smith, a rules committee member fought the wage-hour bill, claimed the right to vote as he thought best on administration measures, while the 32-year-old Dodd had said “a vote for me is a vote for Roosevelt.” The only other Virginia House race was much closer. Representative Hamilton, calling himself pro-Roose (Continucd on Page Eight) Border Belt Markets Open On Tomorrow Florence, S. C., August 3.—(AP) —Mounting piles of tobacco flow ed today into warehouses of 16 South Carolina and North Caro lina market towns as optimistic growers prepared expectantly for tomorrow’s opening of the 1938 auction season. The farmers found cheer in the reports of prices paid on the Georgia-Florida markets, which opened July 28, and when an average of’ around 25 cents a pound has been established. Last year’s opening prices in the nine South Carolina markets and the seven North Carolina border mar kets approached 30 cents. So far there have been no re ports of organized opjiosition in this territory to the Federal quo tas, against which som e Georgia and Florida growers have taken legal action. Muni League To Advocate Big Spending Special Session To Be Asked To Allow Cities, Towns To Grab PWA Funds Daily Disi>ateh Bureau, In The Sir Walter Hotel. Raleigh, Aug. 3.—The North Caro lina League of Municipalities will ask next week’s special session of the General Assembly to enact laws per mitting local governmental units to issue revenue bonds in order to par ticipate in PWA grants for many and varied purposes, Pat Healy, Jr., said today. He is hopeful the pl-oposed legisla tion can be put in such form that it will escape the bitter opposition of power interests which killed similar (Continued on Page Eight. WINNERS IN PR IMARY ELECTION S ON TUESDAY I • - • Senator Bennett Champ Clark Senator Clark, of Missouri, New Deal opponent; Senator Magill, of Kansas, supporter of Roosevelt, and Rep resentative Howard W. Smith, of Virginia, who has frequently voted against Root-eve.t measures, were winners in Democratic primaries in theii states Tuesday. Clark and Magill were slated to win, hut there was uncertainty about Smith, who was opposed by William E. Dodd, Jr., son of the former ambassador to Germany. Dodd ran as a 100 percent New Dealer. Legislature Next Week May Be Asked For Money For Broad Road Program Raleigh, August 3,—(AP) —The spe cial session of the legislature next week may be asked to authorize a highway improvement at State insti tutions. Governor Hoey said he had asked the Advisory Budget Commission to hear all requests for buildings for institutions, and then hear Chairman Frank Dunlap, of the highway and public works commission, on plan* to eliminate dangerous curves and widen narrow highways. The money for the highways, as well as from the buildings, would have to come from Capital, Labor Find Interest Very Similar By CHARLES P. STEWART Central Press Columnist Washington, Aug. 3.—Government testimony and labor’s testimony rela tive to reported price fixing by the country’s steel companies is rather conflicting. From official sources the complaint has come repeatedly that the com panies, whpn invited to submit bid£ on steel required for government pur poses, pretty regularly submit iden tical ones, which officialdom inter prets as indicative of collusion among them. However, this rule is not invari able. Occasionally a company under bids its rivals and gets a big gov ernment contract. Chairman Philip Murray, of the Steel Workers’ Organizing Commit tee, explains how, according to his account, the low-bidding companies make their bargains profitable to themselves. They do it, he says, by underpaying their labor. * Confusing? The implication is that high steel prices, with a minimum of compet itive price-cutting, represents the ideal situation from the organized workers’ standpoint. Nevertheless, it can’t but mean price collusion among the better wage-paying companies in short monopoly. Which seems to place or ganized labor on the monopolists’ side Philip Murray does not express it that way, but it sounds so. It is confusing to be told first that the steel companies keep prices high by not competing and then to be told that some of them do compete suc cessfully with others at labor’s ex pense. Still, that is what it amounts to. At the same time, the companies which pay the better wages are blam ed as monopolistic, whereas the ones (Continued on Page Five) WEATHER FOR NORTH CAROLINA. Partly cloudy and somewhat un settled tonight and Thursday; pos sibly scattered showers in central portion Thursday.' Senator Magill, Kansas a bond issue which could not exceed $6,366,227, Governor Hoey said, but that amount would represent only 55 percent of the possible building pro gram if the PWA would match all the funds. Hoey said he emphasized to the budget makers that they should recom mend to the special session of the leg islature only such buildings as it was found were necessary. He said no worthy cause should be denied because the need was not immediate, if there would be a real need in a year or so. A. C. L. Offers New Appeals About Trains Raleigh, Aug. 3. —(AP) —The At lantic Coast Line railroad continued to present testimony today that op eration of passenger trains on three Eastern North Carolina branch lines was a losing proposition. The railroad has petitioned the Utilities Commission to be allowed to stop service between Kinston and Weldon, Washington and Parmele and between Tarboro and Plymouth. C. M. Cobb, superintendent of the Norfolk division, underwent a gruell ing examination regarding sanitary facilities afforded on the involved trains. L. F. Ormond, assistant comp troller, was recalled for more finan cial testimony. L. White, in charge of mail opera tions for the railroad, testified he be lieved proposed star mail routes would give better service than the present trains. He was examined as to income from mail contracts. . Auto Dealers Talk Safety Raleigh, August 3.—Automobile dealers of North Carolina, at their annual convention in Greensboro next week, will be told that there is great virtue in the slogan “More Safety, More Sales” and will make safety on the highways one of the main topics of discussion. The safety-sales tie-up will be given the dealers by David Beecroft, a uni form motor vehicle code consultant, who will talk on the general subject “Periodic Inspection of Motor Ve hicles,” a euphonious method of ad vocating compulsory inspection of such vehicles. Mr. Beecroft will be introduced by Major Arthur Fulk, of the State High way Patrol. His address will be made at the Tuesday morning session of the dealers at Sedgefield Manor. On Monday, Commissioner of Reve nue A. J. Maxwell will give his views on safety, laying particular emphasis (Continued on Page Eight. PUBLISHED EVERY AFTERNOON EXCEPT SUNDAY Rep. Smith, Virginia Youth Names Ex-Sheriff As Murderer Paul Dwyer, 18, Serv ing Life Term for Killing He Blames on Maine Official. South Paris, Maine, Aug. 3. —(AP) — Paul Dwyer, 18-year-old convicted slayer of a country doctor, today nam ed former deputy sheriff Francis I. Carroll as the man who committed the murder for which Dwyer is now serving life sentence. Dwyer was called to the stand to accuse Carroll, father of five children, of the brutal murder of Dr. James Littlefield, for which Dwyer was sen tenced to life imprisonment eight months ago. Special Prosecutor R. M. Ingalls, who painted Carroll, a World War veteran, as a “vicious” killer, who had threatened to shoot the boy if he told the truth, had planned to place Dwyer on the stand yesterday, but as his name was called, the youth faltered — stricken with indigestion brought on from heat and nervousness. Ingalls described to an all-male jury yesterday the State’s version of the Littlefield murder. He carefully es chewed, however, mentioning how Lydia Littlefield, the physician’s elder ly spouse, whom Dwyer had confessed garroting ,met her death. Neither- Dwyer nor pretty 18-year old Barbara Carroll, the defendant’s daughter, and Dwyerls one-time sweetheart, were in the court room during the grim recital. “Lame Ducks” Will Be Back Daily Dispatch Bureau, In The Sir Walter Hotel. Raleigh, Aug. 3. —The session of the General Assembly next week will be the first lame duck meeting of the legislature of North Carolina, in many, many years —so many in fact that on short notice your correspon dent has been unable to find any one who knows when the last onr: was held. Next week, however, the eligible list of senators will contain two who ran for renomination and were defeated in the primary voting. In addition there will be one senator who tried to get into the next House, but failed. On the House side there will be no less than 23 members who met defeat in the primary or convention for re nomination, and two who wanted to go across the rotunda into the Sen ate but couldn’t win their constituents approval. It is from these casualties of the election wars that trouble might come next week in confining the session to the agenda laid before rt by the govarnor and the budget authorities. Consensus of observers is that there will be no trouble, but ah agree that the possibility of it lies in these legis lators who have already lost out and who may have some pot or personal (Continued on Page Eight. 8 PAGES TODAY FIVE CENTS COPY Soviets See Opportunity To Get Japs Each Side Accuses Other and Sounds Warning; Both Claim Peaceful Motives Tokyo. Aug. 3.—(AP)—The Japan ese government directed it s second protest in 24 hours to Soviet Russia today in an effort by diplomacy to end bitter fighting on the Russian-Siberia Japanese-Manchoukuo frontier. The fighting was still in progress early today between large forces of well equipped troops with airplanes and tanks, and it was felt in authori tative circles that the exchange in gunfire marked the first round of the Far East’s second unofficial war. A later communique said the bat tle ended at 10 a. m., and that the Russian troops had retreated some 1,- 500 yards from Japanese positions. A “general lull’’ prevailed along the border following the battle, the com munique said. A foreign office spokes man said Japan hoped to localize the trouble and settle it by the diplomatic methods, but the presence of large forces in the frontier area indicated the battle, which began Sunday, might be merely a prelude to major operations. Those who held that a second unde clared war in the Orient had begun argued that Russia believed Japan was near financial exhaustion and a “now or never moment” had arrived to fight a preventive war to forestall attack by Japan in the future. RUSSIA BLAMES JAPAN AS RESPONSIBLE FOR TROUBLE Moscow, Aug. 3.—(AP)—Soviet Rus sia threw on Jupan’s shoulders today (Continued on Page Eight. Says Voting Serious Blow To New Deal Washington, August 3. — (AP) John Hamilton said today the New Deal “suffered a crushing and humi lating defeat” in yesterday’s Virginia Democratic primary. Referring to the victory of Repre sentative Smith, over William Dodd, Jr., the Republican national chairman said the issue presented was “New Deal vs. anti-New Deal.” H