North Carolina Newspapers

HENDERSON’S POPULATION 13,873 TWENTY-SIXTH YEAR TOWNSEND PENSION BILL BEATEN IN HOUSE Justice Department Tightens Watch On West Coast Spies More Espionage Work Going on There Than Ever Before, Murphy Declares; Vanden berg Warns of Ever Expanding Public Debt Washington, June I. (AP) —Attorney General Murphy announced today the Justice Department was tightening its counter espionage activities on the west coast, where the num ber of military, naval and avia tion bases “make special vigil ance” necessary. Asked wny this activity had been quickened, Murphy said: “Because we think it ought to be dorie. We are taking adequate measures.” He added “there is a great deal” more espionage on the west coast than ever before. Wherever neces sary. lie said, efforts will be made to deal with espionage on the east coast. C)thcr developments: Senator Vandenburg, Republican, Michigan, asserted in the Senate that Congress would merely be “post polling the evil day” of a $45,000,- 000 debt by approving legislation to lilt present restrictions on the is suance of government bonds. Never theless, Vandenberg said he thought Congress had no alternative but to enact a bill which would permit the Treasury to issue long term bonds up to the legal debt limit. Such bonds now are restricted to a total of $30,000,000. Herbert E. Gaston, of Oregon and New York, was nominated by Presi dent Roosevelt to be an assistant secretary of the Treasury. Gaston, who has been serving as special as sistant to Secretary Morgenthau, would suceed Wayne Taylor, fiscal assistant secretary, who resigned about six months ago. MANTON DENIES HE SOLD HIS RULINGS New York City, June I. (AP)—Martin T. Manton, former senior judge United States Cir cuit Court, denied today from the witness stand he had been guilty of selling his judicial favors for litigants’ cash. New Submarine Os British Navy Fails To Rise After Dive London, June I.—(AP) —The new British submarine Dhetis, on test trials off Birkenhead, was reported “a few hours overdue” tonight and the British Ad miralty immediately began a search. The submarine built by Camp bell. Laird & Company at Birk enhead, carried members of the firm as she proceeded on accept ance trials. She carried out sur face tests, hut after diving was not seen again. Diversion Unnecessary As State Income Soars Revenue for Fiscal Year Well Above Original Budget Estimates; ' Some Items Decline, But Sales Tax and Other Revenue Are Up Daily Dispatch Bureau, In the Sir Walter Hotel. By HENRY AVERILL Raleigh, June I.—All necessity for or chances of diversion of highway Raids at the end of the current iis— ( ;| 1 year vanished with release of the May revenue report showing that North Carolina’s tax collections have hone soaring far beyond original bud get estimates and even something beyond the last estimates made by ' oounissioner of Revenue Allen J. Maxwell during the General Assem bly session. she commissioner pointed out to (J;',y that should June collections for general fund from all sources 1 un os much as $2,000,000, the State’s 1 enue for the year will be suf -1 cient to leave a surplus of more the $2,200,000 upon which the j 1 biennium spending estimates Wore based. c ' Rthen pointed out that June col- iiintiirrsmt Butin His Palace Seized BjOK&y;: W -SB Bp B Bishop Sigismund Waitz Acting Bishop Sigismund Wait* was forced to seek sanctuary in a seminary when he found himself locked out of his palace at Salzburg. The eviction, carried out by Nazi Storm Troopers, marks new high in the tense Nazi-Vatican relations. Three Near Death From School Gas Blast in Ohio Struc ture Injures 57, With 31 in Hospitals; Four Are Serious Besides Three Near Death Barberton, Ohio, June I.—(AP) — Two small children and a janitor were given scarcely a fighting chance today to survive injuries received when an explosion, apparently caus ed by gas, demolished a makeshift frame school building. Doctors described as serious the condition of four others, including a teacher. Thirty-one of the 57 injur ed were confined to hospitals. The blast occurred at mid-after noon yesterday, blowing out walls and buckling the floors of the two story eight-room structure, a resi dence converted last fall into a tem porary school for first to fifth grade pupils. Those near death were first grad ers, both injured about the head and body, and P. S. White, 59, janitor, critically burned. The State department of industrial (Continued on Page Five) lections from the sales tax and from privilege taxes alone should approx imate the two million mark. The sales levy should bring in at least as much as it did in May, when it yielded $972,429.27, while privilege taxes are quite likely to reach the million mark by reason of the tact that all Schedule B. taxes are due and payable June 1, and it is during this month that the collectors make a concerted drive to get this money into the till. Some Decreases Likely. Elsewhere along the revenue front there is likely to be a falling off. in other items such as franchise, in ; heritance, income, beverage, intan gible, gift and miscellaneous. An inspection of the May report, i coupled with estimates for June, in ! dicate that Mr. Maxwell scored one . of his accustomed bull’s eyes when (Continued on Page Five) ONLY DAILY NEWSPAPER PUBLISHED IN HENDERSON, N. 0., THURSDAY AFTERNOON, JUNE 1, 1939 Bishop’s Palace Taken by Nazis ~ **<* ■k J J Hh HtSsA,. nHI Wm Wm WmSw m .ijIMMIriTO aMfioi ii "ML «|il l'in I n 111 l hii iijNi ni'ii'i 'iWBBJ ji Wi Here is the Salzburg palace of Acting Bishop Sigismund Waitz, Catholic primate of Germany and Bishop of Innsbruck, which has been occupied by black-shirted Naei Storm Troopers as climax to dispute over legality of the religious leader’s appointment. German government had declared Bishop Waitz was given his high church post without Berlin’s consent. Government Will Do No Borrowing Now, Morgenthau Asserts Washington, June I.—(AP)—Sec retary Morgenthau announced today the Treasury will borrow no new money this summer, but will refund a note issue coming due in Septem ber. The Treasury head said the $2,- 464,760,293 cash working balance in the Treasury was sufficient to meet the differences between expenditures and income at least until the next re gular financing date, which is Sep tember 15. On Monday, Morgenthau said, he will announce an offer of a new five- East Finds Relief From Heat Spell (By The Associated Press.) Cloudy skies along the Atlantic seaboard brought relief today from the season’s first widespread heat wave, while rain dispelled threats of drought in other sections of the coun try. The hottest weather of the year was reported in several cities, includ ing Baltimore, where the mercury reached 94; New York City, 92, Newark, 96; Detroit, 90, and Chicago 88. It was 100 degrees At Phoenix, the nation’s hot spot. In Washington Con gress sweltered under a temperature of 95. Two heat deaths accompanied the (Continued on Page Five) Two Naval Fliers Plunge to Death At Pensacola, Fla. Pensacola, Fla., June I.—(AP) —Two fliers from the naval air station here were killed today when their training plane plung ed into Pensacola bay. Navy of ficials identified the men as Joseph S. Fox, 34, Seattle, Wash., lieutenant junior grade naval reserve, flight instructor; Alfred Peter Ivey, 23, Norfolk, ■ Va., aviation machinist’s mate, student at the air station’s train ing school. The pilot of another plane aloft at the time alighted and made futile attenlpts to rescue • them. Fox was married last Friday to Miss Norma Cook. iOsuaJthsih FOR NORTH CAROLINA. Mostly cloudy tonight and Fri day; scattered showers in west and north portions. THIS SECTION OF NORTH CAROLINA AND VIRGINUL year note to the holders of $426,- 554,600 worth of 1 3-8 percent Treas ury notes, which mature September 15. The interest rate on the new notes will not be disclosed until Mon day morning, but Morgenthau said it would be the lowest for a com parable security ever offered by the Treasury. Discussing the reasons why addi tional cash would not be borrowed this month to pay governmental op erating expenses, the Treasury secre tary said the word “ample” in his de scription of the Treasury’s present cash resources should be underlined. Says Raising Os Submarine Will Be Slow Portsmouth, N. H., June I.—(AP) —Asserting he was satisfied with the progress of salvage work on the sunken submarine Squalus, Rear Ad miral C. W. Cole said today it was important that the “public should realize this is a necessarily a slow, tedious task!” In charge of the work since the Squalus sank a week ago Tuesday, the admiral declared the work was proceeding according to routine, with effort now under way to blow out 600 tons of water from the water filled aft compartments which house, the 26 dead. The forward sections of the sub mersible already have been placed undpr air pressure, and when buoy ancy is induced into the remainder of the craft pontoons will be brought out for the actual raising process. For every ten minutes of work by a diver under the 40 fathoms of water, there is 45 minutes of “dead” time while the diver is being lowered and raised. James McDonald, master diver, agreed the task would be slow, but added, “We’ll get her up.” Moseley Approves Hitler Methods In Several Measures Washington, June I—(AP) —Major General George Van Horn Moseley, retired, told a congressional com mittee that while he disliked some of Chancellor Hitler’s methods, he approved his restoration of control of Germany to “the hands of the German people.” Testifying before the House com mittee investigating un-Americanism at a hearing prosaic in contrast to yesterday’s turbulent five-hour ses sion, the ruddy former commander of the fourth army corps, said Hitler had “solved the racial problem” as well as the problems of international finance and trade. Dispatch Britain Confident Russia Eventually Will Enter Accord London Admits, How ever, Insistence oil Guarantees for Baltic States I s Difficult Problem; Poland Takes Calm View; Berlin Silent London, June I.—(AP) —British official sources expressed belief to day that Soviet Russia eventually would be brought into the British- French front, but said Russian insis tence on guarantees for the Baltic states on her borders presented a “difficult problem.” There was no official comment on the speech by Soviet Premier and Foreign Commissar Molotoff, reject ing the latest British-French pro posals, but one spokesman pointed out that Molotoff himself said the negotiations still were under way. The foreign office awaited a for mal note from Moscow before deter mining the specific points at vari ance. Molotoffs speech indicated the main point was how the proposed British-French-Soviet mutual assis tance pact would apply to other Eu ropean states. Molotoff said it must guarantee all countries on Russia’s western borders Finland, Latvia, Poland, Roumania and others. The British-French proposals have provided for Russian military aid in event Britain and France were in volved in war, carrying out guaran tees to Poland, Roumania, Greece and Turkey, but no mention was made of the Baltic nations. The pro posal did provide, however, that sig (Continued on Page Five) Concessions Made Danes by Germany In Mutual Treaty Berlin, June I.—(AP)—Pub lication of the Danish-German treaty today showed that both parties had been left a free hand with other nations in commer cial relations in case of war. The treaty, to last ten years, was signed yesterday at the for eign office by German Foreign Minister von Ribbentrop, and Danish Minister to Berlin Zolli. Freedom in wartime trade was interpreted generally as a con cession to Denmark, and as a de parture from Nazidom’s previous tendency to insist that any coun try with which Germany con cluded a mutual non-aggression accord must not trade with states in conflict with her. Murphy Declares a Third Term More And More Talked Charlotte, June I.—(AP)—Attor ney General Frank Murphy said last night in an interview persons over the country were talking increasing ly about a possible third term for President Roosevelt. The attorney general and J. Edgar Hoover, Federal Bureau of Investigation director, were aboard a plane enroute from Atlanta, Ga., to Washington. “I’m not saying that there is a de mand that the President • run for a third term,” Murphy said, “but I have found that people all over the country are discussing the matter. They are thinking about it and .dis cussing it more than they have ever done before, in my opinion.” U. S. Revenues Drop Sharply In The State Greensboro, June I.—(AP) —With one month still to go before the end of the fiscal year, it became apparent today with the release ‘of the report of May collections that .internal rev enue in North Carolina this year will fall far short of the all-time high of $326,946,571.78 for the year 1937-38. May collections announced by Col lector Charles H. Robertson amount ed to $26,463,277.83, a decrease from collections of $27,145,397 in May of the 1937-38 period. The May collections brought the total for the first eleven months of this fiscal year to $279,188,494, a de crease from the $297,857,768 collect ed during the first eleven months of the previous fiscal period. , PUBLISHED EVERY AFTERNOON EXCEPT SUNDAY. High Court Portia ||||||j|i|gHiS^rs^£igi||i||pSraK Helen Goodner Helen Goodner has been granted permission to practice before the United States Supreme Court, be coming one of youngest, and cer tainly the prettiest, ever to be given this honor. She had already made a name for herself in the capital’s legal field. German Jews May Suicide If Returned Women and Children Denied Admission To Cuba Take Desperate View of Plight At Havana Havana, Cuba, June I.—(AP) —Captain G. Shroeder announc ed today postponement of the departure of the German liner Saint Luis in the hope permis sion would be given 900 Jewish passengers who had been denied permission to enter Cuba. Havana. Cuba, June I.—(AP) —Police in launches and aboard the German liner Saint Luis kept a close guard today at the re quest of the captain, who feared a series of suicide attempts among 917 German Jewish pas sengers denied entrance to Cuba. The passenger refugees were to start back to Germany this afternoon unless a last-minute decision permitted their im migration here. The ship’s representative was instructed to deliver a memoran dum signed by women and chil dren aboard the Saint Luis to the wife of President Bru requesting her aid in seeking permission for all to land. One refugee slashed his wrist (Continued on Page Five) Every Money Grab Now Tied Up With “Defense” By CHARLES P. STEWART Central Press Columnist Washington, June I.—“ Everything is done now,” remarks Senator Ar thur Capper, “in the name of de fense.” It certainly is a fact. Practically every other pro posed governmen tal expenditure is more or less cri ticized as extrava gant, but scarcely a peep is rpised against any re quest for money that’s described as intended for na tionally defensive pu rpos es. The Kansas senator himself doesn’t op- Senator Capper , pose spending, within reason, for honest-to-goodness protection against 8' PAGES TODAY FIVE CENTS COPY Roll Call Is 302-97 Vote For Defeat Both Friend and Foe Expected Result and Both Predict It Will Bob Up Again In Elec tion and in Congress Washington, June I.—(AP)’ —The House defeated the Townsend old age pension bill today on a 302 to 97 roll call vote, which the bill’s backers declared would be remembered “when the next election rolls around.” That the long-discussed proposal would bob up again in political cam paigns and in Congress was deem ed sure by proponents and critics alike. They also had agreed in ad vance ij; had no chance of passing today. In the last few minutes of debate,- Representative Dirksen, speaking to “members with faint hearts and faltering feet,” shouted that the bill was “more absurd than painted on the floor of this House.” He asserted that a Townsend leader had told him the Townsend group did not expect the bill to pass, believed it would take a year to draft a “proper bill,” and thought the Constitutional amendment route was a better way. Derksin said this man told him, “We do not want this bill to pass.” Representative Hendricks, Demo crat,. Florida, who sponsored the bill, demanded to know who the man was. Amid applause, Dirksin said it was a Mr. Jeffrey, whom he (Continued on Page Five) WAKE FARMER KILLS SELF ACCIDENTALLY Raleigh, June I.—(AP) —Wade Boyette. 28, Wake county farmer, accidentally shot and killed him self this morning, Coroner Roy Banks said after an investigation. Banks said Boyette was watch ing for rabbits that had been eat ing his cabbage when his gun ac cidentally discharged. Landon Sees 1940 Win By Republicans Buffalo, N. Y., June I.—(AP) Former Governor Alfred M. Landon of Kansas, predicted today a Repub lican victory in 1940, but declined to discuss Republican presidential can didacies. “If we once started discussing can didacy ;s,” he said during a brief stop over here, “we should have to call the whole roll. Every one can see there is a definite Republican trend, which will bring victory in 1940, and under those circumstances you nevei have much difficulty in getting a good candidate.” Landon said he intended to attend an informal conference of New Eng land governors in Vermont in June, but end not expect to discuss with Vermont’s Governor Aiken any plad for consolidating liberal forces within, the Republican party. possible foreign aggression upon Un cle Sam’s sides of the two big oceans. There isn’t a better pacifist on Capi tol Hill. Still, he doesn’t argue that Uncle Samuel shouldn’t be prepared for emergencies—not with the rest of the world behaving as quarrel somely as in the last two or three years. What he does find fault with is the contention that every imaginable de mand for federal funds has defensive merits. For example, proponents of the Florida ship canal maintained that that project was defensive. Army and navy experts (who ought to know) 1 spoke of it scoffingly as of military value. Nevertheless, its advocates in sisted that it would be wonderfully useful for our warships to scoot through,-*from the Atlantic to the Gulf of Mexico and vice versa. Objectors, of course, asserted that (Continued on Page Four)