Iteniteramt UaUy jBiapIirfy
ONLY DAILY NEWSPAPER PUBLISHED IN THIS SECTION OF NORTH CAROLINA AND VIRGINIA
r\\IV''Y-SEVENTH YEAR ^imB"ssoc!!fTEDRrREls0F HENDERSON, N. C., SATURDAY AFTERNOON, DECEMBER 21, 1940 ' Ll''',s" nceV/slIsdat bl!NU0N FIVE CENTS COP'i
Solemn Nazi Warning To U. S.
********* ********** ** **************
Germany Asks Recall Of U. S. Em bossy Employees
Americans Accused of
Aiding British Offi
ce, s to Flee Occupied
F a cc: German An
n urccment Says Re
. 0 :: T-!eeded.
Dee. 21— (AP>—'The Ger
it lecme^ted the State
• • day to "recall Cecil M. '
. 1 L.»ngh W. Hunt, secre- j
■ I'nited States embassy ;
embassy employee. !
eV. ">ee£an. uti tin* ground ;
-iiisuuned British ol
• escaped.
! announcement stated
• ted States government
. . u- German request and
»» it. Life Jl—(AF)—
Sr.jiuiy iiuii said today tnat
t!..- >ut-- department would '
!w with toe request of the |
(...m,-veri>;n:ni and witu- |
ii:.ttwo ot'i'icers and an tm
m tJic .-American embassy 1
in I'uri^.
fv. » -secretaries of the cmoas- \ r
sv. i k il M. I'. Cross and Leigh j '
and the : eeennonbt. .Mrs.
ihzaiioth Deegan. will be as
xi, . elsewhere.
trie reich government
urted invest.Rations,
ic-.-ment ^aid Mrs. Dee- ,
.1 the English officer in
enable him to flee. |
:.;:-it:e»" investigations
.-.used that embassy sec
. - .-a and Hunt aiso were
... announcement assert- ;
I
•....re. Cross was charged!
.:.g hidden lor months in j
-sy o.aiding an unnamed j
.. „• tizen in the employ of the j
-0. The agent finally was
■ atj. ae the building, the
..r.ce nt declared, and con
. r.age against Germany. :
Uvtgun, a former resident of [
lie. X. C. was crrested by '
Gc:.:-.ans in Paris December 5!
charg-.- oi conniving to help '
•fixers escape. She was a j
-•'•n.vt at the Par is
embassy. T
• :i States protested. She was f
•d December 14. I2
. appointed to the consular, *
from Rhode Island, was as- ;
t i post in Paris as a first i I
;.<ry l(r:d consul February 14, j *
. .. ..ec-nd secretary and con- ! ^
; gtied to Paris December *
?t' v. . appointed from the j ^
*ict of Columbia. I ♦
Hal Kemp
is Dead
a. Cal., Dec. 21.—(AP)— Hal '
. orchestra leader, died to- J
: complications that dev eloped :
■; ".tries he sultered in an au-|
!c accident Wednesday.
■: was caused by pneumonia. I
v-,cian announced yesterday!
condition was grave and
■ placed in an oxygen tenf. j
1 ;is;d leader lived in Beverly j
ii wife was at his bedside. •
'•« <L' Kemp's lungs was punctur- ,
several ribs broken when his j
• 'i another collided near here. I
'• d;.y pneumonia developed in ;
ned lung and spread to the j
ip was a native of Charlotte, j
Harmon Trophy for Plane Designer
Major Alexander P. Severs ky. (kit). lnr-d wtrplanc designer and
it.ldcr of many records, is \vn as he was pnvrnvjd with the Harmon
Yophy by President Roo-evclt in the White Hois?. The trophy i.s awarded
nnually tor outstanding achievement in aviation. The trophy is at leit.
Big Business r ears I
Sales Tax Changes
Possible Spread of $8,
000,000 Through Re
duced Income and In
creased Expenditures
Gives Jitters to Busi
ness Tycoons.
Daiiy DisnatcTj Tliirean.
In the Sir Motel
Bv HENRY AVERILL
Raleigh, Dcc. 21.—Big business in
forth Carolina is getting a bit fear
ul at the prospcct of exemption of
il foods for home consumption from
he state's three per cent sales tax.
Nobody has gone before a micro
hone to broadcast this fear and no
ody is writing letters to the editor
bout it—but there are definite and
nmistakable indications that the hir
er financial interests are apprehen
ive that they wiil be handed more
>f the tax load to carry in order that
he next governor's pledge to "take
he tax off the table" may be re
icemed.
Adding to the worry which these
>ig business interests always feel on j
he eve of a General Assembly i- the
art that the coining occupant <>!' the:
jubernatorial office. J. melville
Jroughton of Raleigh, does not ap- j
>ear to be taking them into his con-j
iden.ee as to his intentions along
mancial lines.
What they see on the surface is
his: (1) A gubernatorial pledge to
emove the tax from fo'ids for home
;onsi:mption. They are aware that
Representative Jim Vogler ol' Meck
enburg-has written numerous legisl
ators that he is preparing a bill for
his purpose "at the request of the
ncoming governor."
This exemption is estimated lo re
u;ce sales tax receipts by a minimum
$1,200,000 annually, and some es
• ma tore contend it will cut ol'f ap
proximately $1,500,000. No matte; j
vhicii figure is taken, there result.
i big hole in sales tax revenue.
(2) A gubernatorial opposition to
iiversion of highway funds which I
las extended as far as opposition to
he existing provision of the revenue
ict for "contingent" diversion. Hence,
f the governor's wishes are followed
here will be no "estimate" of $2,
>00.000 each year available for gen
ial fund expenditures.
(3) The certainty that a state re
irement system will be established
,t a cost of approximately $1,800,000
i year.
(4) The certainty that there will
je demands for more money to rim
he schools, with the possibility this
iVill extend so far as state support
for a nine months term. If the lat
:er pos.-ibility becomes a fact, it
A'ouid cost at least $3,250,000 a year.
In addition, there will, as always,
je demands for increased expendi
iContiuued on Page Two)
Convenient
Absence
Stewart Says Wash
ington Correspondents
Believe FDR Avoided
Recent Banquet.
By CHARLFS P. STEWART
Central Press Columnist
"W.T hlvr-to'i, ?'. — President i
Ror so", i It": -jhsf ncf> m his Caribbean [
cruise furnished him with a first-1
rate excuse for non-attendance at
the newspapermen's Gridiron club j
riinnnr in \Vaship.s!ti;n a few evenings j
President
Rooseveit
ago. Nevertheless, i
it's quite common)
tall: among the i
capital's scribes
he could have
so shaped his plans
as to be on hand
;t the feed if he'd
-ared to do so. As
; was, ho only
missed it rather
i.tiT wly. The sus
•■j-ii'us correspon
dents' theory is ]
that he did it pur
posely.
These Gridiron
banquets generally are iceognizea
as exceedingly important events and
it's considered quite an honor to be
invited to them. Probably the hon
or's the other way around when the
invitee is as big an individual as our
President. For all that, our presi
dents always have been glaa to
come, ever since the club's been in
exister.ee. F. D. U. himself invari
ably lias accepted enthusiastically
hitherto.
To be sure, at each succeeding
feast the club's management makes
it a practice to put on a program in
connection with which the country's
public men are lampooned terrifi
cally. though, tmd naturedly. May
be a few of them have been a trifle
stung occasionally, but, if so, they've
been too good sports to show it. F.
D. R. included. Indeed, victims of
the joshing never could have af
forded to manifest resentment. It ]
would have made them ridiculous to
do it.
But thr> general imoression in ;
Washington's news circles is that
President Roosevelt has been pret
ty sore at the press since the last j
campaign. Ho doesn't say so, but '
hie manner, at his conl'crences with 1
No Changes
Vichy Government
Refuses to lake Back
Laval; Italians Kept
on Defensive in Al
bania and Africa; Oth
m. on Steps of First
(By The Associated Pres>-.)
In Vichv. Franco, informed rnurces '
said the French ambn-endor in Ger
man-occupied Paris. :>cti:y; on orders'
of Chief of State P"t'>in, toid the
German-, that Fn nf1 vould not J
make any changes in her cabinet or'
take brck the ousted vice premier,'
Pierre Laval.
From Athens came a report thai |
British bombers iiad successfully at- 1
tacked oil tanks and railways at'
Brindisi on the heel of the Italian
boot.
Dispatches from the Greek froni:
in Albania said the Greeks had cap
tured an Italian colonel and two bat
talions near Tepelcni and had oc
cupied two villages and two strate
gically important heights in the area.
German airmen singled out the |
Liverpool industrial and shipping
district last night and early today for
mother mass bombing—one of the
heaviest Liverpool has undergone.
Reports from the Libyan and Al
banian battlefronts meanwhile in
dicated British and Greek troops
were keeping Italy strictly on the de~
tensive.
Blocks of homes and buildings J
were smashed during the nazi laid
on Liverpool and a number of per
rons were injured when a bomb
struck a hotel. A British communique
leported, however, that casualties
were not believed large.
London and scattered sections of
Britain also were raided and some
bombs from unidentified planes fell
in neutral Eire.
The British reported their own!
planes attacked Berlin and the nazi
"invasion ports" during the night.
Reinforcements for the army of the;
Nile moved up steadi'y through east
ern Libya as British bombers and
warships poundec the bristling ltai-;
ian defense works around Bardia j
v\ here 20,000 fascist troops are re
ported trapped.
Japan had a surprise cabinet .shake
up today in a move viewed by ob-1
servers as aimed at stricter enforce-:
ment of economic restrictions.
Premier Prince Konoye appointed
new ministers of justice and homej
affairs, apparently with the inten-i
!ion of strengthening home front de
partments.
No Military
Matter In
Stolen Case
Camden, N. J., D. e. 21.—(AP)—'
The .New York Shipbuilding Corpor
ation announced today that a brief
case containing "production sched-1
ulcs" was stolen Thursday from icne !
of its en /Joyces, Walter Keefer, at'
a restaurant near Schnectady, N. Y. i
Fred Cornell, the corporation's j
public relations representative, said
the brief case contained "no blue
prints, ship construction plans" or
other matter of "military value".
Previously New York slate police
had reported that they understood
the stolen papers were plans for
"obstruction of naval vessels". The
corporation holds more than 5500,
000,000 worth of Navy contracts.
Cornell said Keefer was employed
as an "expediter"—to speed up pro- j
duction of materials needed in con- i
nection with ship construction—and
was returning from a conference
with Genera lElectric officials when
the theft occurred.
"He carried absolutely no blue
prints or ship building plans," Cor
nell added.
the correspondents, has indicated it.
In a number of instances he's been
decidedly snappish in answer to
questions they've put to him.
Papers Opposed Him
It's understandable. The evidence
was overwhelming that the newspa-!
pers predominantly were against his '
third election. Perhaps a newspaper 1
is somewhat impersonal. However,
the papers' Washington representa
(Continued on Page Seven J
On Mystery Visit to London
, C. /'. Rudiopholo
Colonel William Donovan, former assistant United States attorney
general, on his second visit to Europe this year, is shown leaving 10
Downing Street, London, after lunching with Prime Minister Winston
Churchill. Donovan refused to give any explanation of his visit.
Roosevelt Names
'High Command'
Corbeit Gets
B ig U. S.
Contract
Ilaleioh, Dec. 21.— (AP) —
Governor I'ocy was iniorn:«cd
today that the Coruett Truck
Company of Henderson had t,crn
awarded a Sl.505,000 .contract
to supply 201) trucks for the
transporiation 01 anti-aircraft
guns.
.3. Y. Anderson, industrial ; n
giner in the State Department of
Conservation and Development,
received word from the firm
that it had been given the n«rk.
Toe state's office in Washing- I
ton a'dde in ohtaining tin* eon- |
tracts, ifoej alvi revealed that ,
ai t«e request of the water trans- j
por j 'ion branch of the War 1
Deparlmtnl. the North Carolina
office in Washington was •ur- j
vcynig the state's three boat I
building concerns lo determine !
what fc;i:d of boats and haw many
they could produce.
The office has been trying to
get ship contrasts for the com
panies.
Award Contracts
For X aval Vessels;
Washington, Dec. 21.— (AP)—Sec-1
retnry Knox ar.nopnc-."l todaj' the 1
awarding of contracts io private
shipyards for 21 ;;:ViT: na! mine 1 liv
ers, tenders and other naval vessel
estimated to cost f^iio.Tfia.oOO.
Additional contrail totaling
600,000 were awarded ;>t the same
time to expand faeilitie at the ship
yards receiving the orders.
LOmikoft
FOR NORTH C AROLINA.
Generally fair tonight and
Sunday, slightly colder tonight.
EXTENDED FORECAST.
For period ending December
25, Southeastern States.
Rain first part and again to
ward close of period: amounts
probably moderate to heavy.
Temperature near normal north
portion and above south portion.
Cooler north and central por
tions about Sunday.
Knudsen, H i 1 i m a n ,
Stimson and Knox
Named to Defense
Board Charged With
Responsibility
of Arming America.
Washington. Dcc. 21.— (AP)—Four
men personally selected by President
Roosevelt as a defense "high com
mand" shouldered the concentrated
responsibility today of arming Amer
ica.
To the new organization—to be
known as the Office of Production
Management for Defense—the Presi
dent late yesterday named William
S. Knudsen pad Sidney Hillman of
the prc-.-eni defense commission, War
Secretary Stimson and Secretary of
the Navy Knox. Knudsen will be di
rector.
Although the present defense ad
\ isory commission will be retained,
it wax expected that the new board
would take over most of its duties,
leaving the seven defense commis
sioners to coordinate Ihe civil life of
the nation with the activities of the
new ooard.
Mr. Roosevelt's decision to create
the new office followed widely voiced
demands for a greater centralization
nI authority.
The prospects were that the new
;.ftup would be functioning by Jan
uary 1.
The board, Mr. Roosevelt said, will
represent all three of the elements
involved in every process of produc
tion—labor, management, and the
buyer-user.
Big Danish-born Knudsen, one of
the nation's outstanding production
experts, will represent management.
Hillman. a union man of 30 year*,
will handle labor problems and will
be assistant director of the board.
Secretaries Knox and Stimson will
present the viewpoint of the buyer
user—the Army ana Navy.
It was learned from usually well
informed quarters outside the White
House that the President was con
sidering a "fireside chat" on the
status of the defense program. There
were no indications when it might
be given.
The new four-man board will be
given full responsibility to make de
cisions of policy without conferring
with the President.
The board. Mr. Roosevelt indicat
ed. will have all the powers which
Vie president constitutionally can
turn over to subordinates.
Peaceable
Relations
In Balance
German Government
Awaits Reaction to
Proposal of British
Shipping Minister
Cross Concerning As
signment of Ships.
(15>' the Associated Press)
Tiie question of continued
peaceable relations between Ger
many and the United Slates
bangs; in 'he balance as the Ger
man government awaits reaction
to the Cross shipping proposal,
an official foreign office spokes
man intimated todav in a sol
cm;! press conference.
Ronald H. Cross. Briltsn min
ister of shipping, said yesterday
in London that tlu assignment
Washington. !)?c. 21.—(AP) —
Secretary Hull declined today to
comment on statements made i-i
Bcilin to the effect that Ger
many would consider it an un
friendly act if the United State<
requisitioned foreign flag shir. >
now in American ports and s:)ld
them to the British government.
The secretary was ashed at his
press cc'rifercncc if he would
give the views of the American
government on the auestion ai d
replied in the negative .
of a "certain number oi enemy
:,hips in the United Sl.itse and
addition of United States ships
to iiic Brit^ih service "are the
only way I can see for replace
ment of any consequence".
' The entire attention of the
German government is centered
upon the American reaction to
the Cross proposal," the spokes
can asserted.
"Thai prnpisal is noimng oili
er than inciting America to com
mit a warlike act." ho said, "f
speak with tremendous earnest
ness in my capacity as your offi
cial informant and spokesman.
' Our interest is extraordi
nary," he continued, "because in
an increasing manner one nation
(meaning Germany) has shown
restraint to the point of self-ef
facement, while on the other
side there lias heen a systematic
policy of pin pricks, challenges,
humiliations and even moral ag
gression.
"Tli" Reich government is
therefore centering its entire
tention upon this problem".
The Fnglish-Amcrican discus
f-ions ovrr the I'niied States'
ps-rsfane" to Or'-at Britain have
become inereasnialy 'nteresMng,
the Germm snok«*vman addpd,
heraus" it is unVurfhl" f«ir Ger
many to let things drift further.
Posse Hunts
Murderer
Of Trooper
Ringgold, Ga., Dec. 21—(AP)—
Fifty officers followed a dim blood
trail through rough Georgia hills to
day, hunting a man who killed a
state trooper while being cautioned
against reckless driving.
Corporal Fred Black, 29-year old
former college football player was
struck down by three revolver bul
lets last night before he could draw
his gun but as the slayer ran toward
nearby woods Patrolman B. R. Fan
emptied his pistol at the fleeing man.
Clear blood traces were found
leading away from the highway.
Captain D. F. Simmons hurried to
this north Georgia village to head a
force of 25 patrolmen and a like
number of local officers in a man
hunt that got under way almost at
once. Bloodhounds were brought to
day to trail the fugitive.
Fan said he and Black stopped
the car about three miles north of
here and cautioned the driver against
reckless driving. Black told the
motorist that he would prefer no
charges, but as he walked away to
the front of the car to inspect the
licence plates the man jumped out
with his gun banging. Later it wa«
learned that the automobile had oe-n
stolen December 10 in Miami, Okia.