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Volume 10,
DEVOTED TO THE CIVIC, ECONOMIC AND SOCIAL DEVELOPMENT OF ALLEGHANY COUNTY
SPARTA, NORTH CjAROLINA,THURSDAY, FEBRUARY 28, 1935.
6 PAGES
Number 41.
Washington Correspondent
THE GOLD CLAUSE CASES
The Supreme Court decision on
the gold clause cases cleared the
way for Congress and the Ad
ministration to go ahead with the
program of the New Deal, al
though the legislative branch of
the government seems to be in no
hurry to puss measures submitted
to it.
By a five to four decision the
Court upheld the power of Con
gress to abrogate the ‘gold clause'
in private contracts and although
the power of Congress to do the
same thing in regard to govern
ment bonds was not upheld the
further opinion of the Court that
holders of these securities can
show no loss and are hence en
titled to no damages amounts to
the same result.
In this connection it is hardly
worth while to attempt to cover
the argument presented by either
the majority or the minority
opinions. However, it might not
be out of the way to give a few
facts concerning the situation.
There are outstanding about $12,
000,000,000 in “gold clause” gov
ernment bonds and about $16,
000,000 of non-gold clause obli
gations. The gold clause bonds
were issued during the war. Prof.
Irving Fisher points out that the
purchasing power of the dollar
is now twice what it was “when
the last Liberty loan was floated,”
and that “persons who lent the
government in 1918 and now get
$1,000 back get twice as much in
purchasing power.”
Obviously this is what the ma
jority of the Court had in mind
when it said the plaintiff in the
bond case “has not shown, or at
tempted to show, that in relation
to buying power he has suffered
any loss whatever” and that to
give him now an increase -of 69
per cent in dollars would “con
stitute not a recoupment of loss
in any proper sense, but an un
justified enrichment.” It is worth
pointing out, we believe, that the
government bonds did not specify
payment in “gold coin of or
equal to the standard of weight
and fineness” existing when the
bonds were sold. The obligation
was payable “in United States
gold coin of the present standard
of value.”
TARIFF LOBBIES ACTIVE
Strongly organized opposition
to all concessions granted in re
ciprocal trade treaties is certain
and tariff lobbies will vigorously
resist any effort to encourage for
eign trade. Representations get
to the President and affected in
terests send out a stream of prop
aganda, emitting shrieks and yells
or real or fancied injury. It
was so in the case of manganese,
; wine, cork, sugar, glass, cement
and matches. It will be so in
regard to almost every commodity
that is touched. The lobbies are
resourceful and acquire publicity
rivaling that of the administra
tion, insofar as the particular is
sue is involved, and Congress
men never fail to hear from those
who think their tariff protection
may be lowered.
battling over the bonus
The bitter battle between fac
tions of veterans over the form
of the bonus bill has been intensi.
fled lately. Recently, Represen
tative Patman queried Commander
Belgrano, asking pertinent ques
tions, and commanders of two vet
erans’ associations have engaged
in debate over the issue. Mean
while, reports of a compromise are
being heard, in the hdfce of pull
ing the President over to quicker
payment by an agreement that
payment of the bonuB shall pre
* elude all future claims. It is said
that the administration is worried
over what the future may hold
when the inevitable demand for
a service pension arises.
FEAR PENSION DEMAND
■ If in the future a plain pension
is given to all who served in the
World War and to their depend
ents if they are dead experts hes
, itate to estimate how much it will
cost. Already the American Le
gion is advancing the idea of a
pension for certain classes and it
is but a step forward to ask for
the same pension plan that now
costs the government $86,000,000
■ a year for the handful of soldiers
who fought in the Spanish-Amer
ican war.
’ At present survivors of World
War veterans only benefit If death
l is attributable to the war. Pen
sions for survivors of other wars
I are far more liberal and, if ex
tended to those of the recent
^conflict, will require an immense
l sum. At this time, and without
including such a pension, the
| Veterans* Bureau estimates that,
P (continued on page ?)
Fury Of Waiter
Descends Upon
Western States
Snow And Hail Follow
Great Dust Storms.
Property, Stock And
Crops Suffer Heavily
Kansas City, Feb. 25.—Sleet,
snow and hail drummed out to
night a dismal finale to a wild
weather display that pounded and
tore from the Rockies to the
Mississippi and beyond.
At least 13 persons died, heavy
property damage was recorded and
stock and crops suffered widely
from devastating dust storms and
tornadoes followed by a blind
ing blizzard.
The wheat belt profited from
the moisture of sleet, snow and
rain—the first precipitation in
some arid sections since last
summer’s drought.
Otherwise, the storm, appar
ently centered tonight in the
Great Lakes region with clearing
weather in prospect elsewhere, left
little on the credit side immedi
ately recognizable as such.
There were no available esti
mates of the widespread- damage
wrought by hailstorms, twisting
winds and highway-choking snow
banks in many states.
In the great tri-state lead and
zinc fields of Kansas, Oklahoma
and Missouri, aid also near Wichi
ta; Kan., mounting reports of
losses pushed estimates of dam
age in Sunday’s tornado past the
quarter-million dollar mark.
Tornadoes also struck in two
sections of western Arkansas. Nine
persons were injured.
Of those dead in the siege of
storms, six died in and near
Chicago in traffic accidents.
A 69-year-old woman, Mrs. El
len Teague, died at Picher, Okla.,
from injuries received in the tor
nado. Her husband and a small
girl were "feared near deaths An
other Oklahoman was found dead
of exposure near Foss. He was
believed to have been struck by
a motorist blinded in the storm.
A Milwaukee woman collapsed
and died battling snowdrifts. A
Wisconsin motorist skidded to his
death in a ditch.
Death struck strangely in Iowa,
Colorado and Nevada.
At Des Moines, a man fell dead
shoveling snow. A young girl
died in Colorado when her motor
car struck a sand drift. At
Loray, Nev., Raymond Abolos.
11, was killed when an icicle
fell, hitting him on the head.
Illustrative of the suddenness
of the cold wave, temperatures
at Frederick, in southwestern
Oklahoma, fell from 77 to 16
degrees above aero during a dust
storm. Similar reports were num
erous.
The midwestem tornado topped
off a series of weather distub
ances. They began with a dust
storm Thursday that swirled over
parts of Colorado, Oklahoma. Kan
sas, Missouri, Texas and Neb
raska.
It accompanied a sudden cold
wave that caused suffering among
livestock in the range, country
and threatened destructive frosts
tonight in the lower Rio Gnmde
truck citrus area of Texas.
Approximately 139 persons were
injured by the freakish twister.
It was described as a brown,
roaring funnel.
A cow was picked up by the
wind from a bamlot, near Wich
ita, and was carried, spinning,
approximately 100 yards. Dropped
unharmed in a field, she walked
back.
When the tornado struck Jop
Ccontinued on back page)
McKnight Is Given
Pounding At Home
At Whitehead
Rev. -C. H. McKnight was
given a very generous community
pounding last Friday night at
his home at Whitehead, The oc
casion was an expression of wel
come to the minister, who has re
cently gone iigp that community.
Thirteen persona were baptised
into the fellowship of the church
at Pine Fork Sunday. This makes
a total of sixteen repent additions
to the church, which, it is said,
had been, practically dormant tvf
several years.
The Rev. Mr. McKnight is
appoint
in the
being requested to H
ments at other churches
Farmers May Apply
For Loans Here In
Crouse’s Office
Farmers of Alleghany county
may file their applications for
loans with Mrs. Octavia Waddell,
who is located in the office of
Floyd Crouse, in the Court
House in Sparta.
Loans are now being made by
the Wilkesboro Production Credit
association to produce crops, pur
chase livestock and also to make
alterations, repairs and improve
ments on farm buildings.
Mrs. Waddell has charge of
the local office, and Will Pugh,
of Whitetop, is the inspector for
the Association in Alleghany
county.
Gold Decision
Looms As Issue
In 1936 Campaign
Many Think Hoover’s
Statement Made Result
Inevitable. Stirs Up
Gold “Hornet's Nest’’
Washington, Feb. 23.—The su
preme court’s gold decision has
become inextricably tangled in
the web of national politics
and looms as an irrepressible
issue for the 1936 presidential
campaign.
That result was made inevit
able, many thought, by a state
ment from Herbert Hoover, titular
head of the Republican party,,
pushing the vast implications of
the verdict—and himself to the
forefront of political discussions.
His urge for a return to the
monetary standards of other days
stirred up, figuratively, a gold
hornet’s nest.
The situation was intensified by
o quick and chilly reply from an
administration spokesman, and by
a torrid senate debate which saw
two factions ’of the Democratic
party battling each other on the
court’s finding that the govern
ment had no right to disregard
the gold payment promise of its
own bonds.
Upholding in private statements
Hoover’s view that the currency
should be made immediately re
deemable in gold, senate Republi
can leaders for the most part
scrupulously avoided taking any
part in the acrid argument which
divided the senators on the other
side of the aisle.
Instead they gleefully watched
the Democrats fight it out among
themselves and complacently not
ted flying pencils and dashing
copy boys in the press gallery
overhead.
Advocates Of
Tax Substitute
Answer Maxwell
Raleigh, Peb. 26.—The dif
ferences between Commissioner
of Revenue Maxwell and the
proponents of the substitute tax
plan center around two <jfaestions:
(1) Has the state recaptured the
tax reductions which corporations
received when property taxes
were reduced? and (2) How do
the total taxes on corporations
in North Carolina compare with
the total taxes on corporations
in other states?
Both Mr. Maxwell and the
proponents of the substitute tax
plan state that corporations are
entitled to no more tax reduc
tions than individuals receive.
They both agree that if cor
poration taxes have been reduced
mdre than individual taxes, the
state should restore a balance by
levying more taxes on corpora
tions. What are the facts in
the case? Have corporation
taxes been reduced more than
taxes on individuals?
Mr. Maxwell has made no
statement as to what the facts
are about reduction. He has very
carefully avoided making a
positive statement that the taxes
of corporations are just as high
proportionately as they formerly
were. He is "under the im
pression” that the taxes on
corporations have been reduced
oiriy about as much as the taxes
on individuals.
The proponents of the sub
stitute plan have presented facts
(continued on back page)
Many Attend Last
Rites For Galax
Officer Saturday
Church Overflows As
Crowd Gathers For
Funeral Of Chief Of
Police Posey Martin
What was perhaps the largest
gathering of people ever to as
semble in Galax for a funeral
congregated there last Saturday
at the Baptist church for the
funeral of Chief of Police Posey
Columbus Martin, 50, who was
slain Thursday night by Howard
Delp. The church was filled be
yond its seating capacity, and it
was necessary for the long line
of Odd Fellows, firemen and
Junior Order members, who fol
lowed the casket into the church,
to continue on into the Sunday
school rooms behind fhe pulpit.
A cordon of police officers from
neighboring towns attended the
services in ,a body, and the list
of active and honorary pall bear
ers was made up largely of of
ficials of the town of Galax with
whom the dead police chief had
been intimately associated in his
work of law enforcement, includ
ing Mayor B. D. Beamer and the
entire mefbership of Town Coun
cil.
The principal speaker at the
funeral services was Rev. L. D.
Mayberry, pastor of the Wythe
ville (Va.) circuit, M. E. Church,
South, and former pastor of the
Galax circuit, who had known the
deceased very intimately. He
spoke very tenderly of him as
an upright ,and trustworthy man,
and of how he sacrificed his
life in the line of; duty while
engaged in trying to make Galax
and community a better place in
which to live.
Rev. John Leslie Hart, pastor
of the Baptist ohwt»***ca,^ scrip
ture lesson and spoke briefly,
later offering a prayer.
Scripture lessons were also
read by Dr. P. L. Cobb, pastor
of the Methodist church, and Rev.
A. C. Meadows, pastor of the
Christian church.
Interment was in Felts ceme
tery, Galax.
Through State Capital Keyholes
By Be** Hinton Silver
UPS AND DOWNS—The Mac
Donald-Lumpkin anti-sales tax
plan to tax corporations more,
tax dividends from all corporation
stocks and levy a tax of from
$5 to $900 on all individual in-1
comes above $1000 per year rises |
and falls in popularity like aj
thermometer. It didn’t have j
much visible support in the early i
days of the present Legislature, j
then its stock rose as the two i
sponsors explained its workings i
and estimated its revenue yield.
It took a drop when the lobby
ists had their day in court before
the finance committee. But mer
chants came to the rescue and
boosted the proposals with their
endorsement. It hasn’t been
adopted yet and you can find
plenty of prognosticators that it
will not become law. On the
other hand, the MoDonald-Lump
kin block is still hopeful and
working industriously.
SPEAKER—The grapevine re
ports renewed rumors that Repre
sentative R. Gregg Cherry, of
Gaston, Chairman of the House
Finance Committee, will be a
candidate for Speaker next ses
sion- Everybody agrees that he
is doing his best to make a rec
ord for speed on the money bill
but sales tax opponents feel that
the matter of a month or So is
not so important if they can get
out from under the tax for the
next two years. They are making
it tough for Mr. Cherry’s political
aspirations and he shows no little
irritation in committee at times.
That isn’t calculated to aid his
chances in Legislative politics.
WORRIED—Senator W. P.
Horton, of Chatham, is worried
•bout the State forcing parents
to send their children to school
in busses that grand juries say
are unsafe and then refusing to
j»y expenses in cases of death or
injury. He has introduced a bill
to require the State to pay up to
$600 damages in school bus ac
indents. From all indications at
present his bill will- pass but it
may be amended to cover only
actual expenses and with maxi
mum or minimum amounts not
mentioned.
MUD-HOLES—It looks like you
boys and girls living off the con
crete may get your roads and
bridges repaired pretty soon,
rhe General Assembly has made
a special immediate appropriation
of $3,000,000 for that purpose.
A lot of folks are still hanging
around the Capitol hoping to get
a slice of your gasoline tax for
this, that and the other and noth
ing but a -stiff fight and constant
vigil is going to prevent a raid
on highway funds before the
Legislature adjourns. The high
way department could do better if
it didn’t have to devote so much
time dealing with propaganda dish
ed out by those who would di
vert road taxes.
BIG SCRAP—The public school
light will be just half over when
the biennial appropriation is
agreed upon. The school machin
ery bill, which is the rules and
regulations of the State system,
must be drafted and it is already
apparent from many individual
bills introduced that considerable
liberalization of the present law
is going to demand. The school
forces want the question of local
supplements arranged differently
for the present law which re
quires local elections. So far
these elections have been so well
for the school, felks.
TRANSPORTATION — Some
thing else that may happen to
your gas tax has been mentioned
more than once in the Legisla
ture. There appears to be some
sentiment for placing transpor
tation of school children on the
back of the State Highway and
(continued on back page)
Police Chief Martin, Galax,
Is Murdered; Slayer Is
Captured In North Carolina
Howard Delp Is Taken To Galax
And Rushed To Wytheville Jail
For Safe-Keeping; Talks Freely
Officer* Evan*, Poe
And Lawson, Of Galax,
Make Arrest Men. Night
Near North Wilkesbic.ro
Howard Delp, for whom an in
tensive and wide-spread search
had been maintained since Thurs
day night, when he allegedly
murdered Chief of Police Posey
Martin, of Galax, Va., and ser
iously wounded Officer Prank Dot
son, was captured Monday night
about 9:30 o’clock near North
Wilkesboro. ,
Delp was picked up while
walking along a highway about
two miles from North Wilkes
boro, between that city and Trap
Hill- Three men made the ar
rest. They were Special Officers
Bill Poe and Earl Lawson and
Officer Marvin Evans, all of
Galax. These officers immediately
rushed the accused murderer of
Chief Martin to Galax, arriving
there at 11:15 o’clock Monday
night. They left with the priso
ner within a few minutes for an
unnamed town, where Delp will
be held for safe-keeping. The
prisoner was under heavy guard.
It became known Tuesday morn
ing that Delp is confined in
Wytheville jail.
Special Officer Tom Taylor
said Monday night that young
Delp talked freely with officers
on the way to Galax. Delp-was
kept in the Galax jail about
fifteen minutes and then whisked
away to Wytheville by the three
officers who arrested him, accom
panied by Town Attorney Jack
Matthews, of Galax.
Nobody in Galax, where excite
ment was high following the
brutal slaying of the popular po
(continued on back page)
Slays Police Chief I
Photo courtesy of
Roanoke (Va.) World-News
Howard Delp (above), alleged
slayer of Chief of Police Posey ]
Martin, of Galax, Va., who was
captured Monday night near
North WiWtfMiboro. He is now
confined in the Wytheville (Va.)
jail. ___
Estimated Number
Of Unemployed In
Dec. 10,830,000
Figures Are Released As
Part Of A Report On The
Operation Of National
Industrial Recovery Act
Washington Feb. 25.-—A New
Deal estimate of the number of
unemployed—the first such com
(continued on back page)
Proponents Of
Anti-Sales Tax
Bill Lose Hope
Raleigh, Feb. 26.—All hope of
anti-sales taxers that the McDOn
ald-Lumpkin substitute measure
might be adopted in committee
went glimmering today when the
joint finance committee, in exe
cutive session, voted down an
amendment by Representative
Lumpkin of Franklin to strike I
oiit the sales tax from the reve
nue bill.
After the meeting, Representa
tive McDonald of Forsyth told
the United Press this move had
been made in order to clear the
atmosphere and help expedite the
revenue bill through committee.
When it reaches the floor, he
said, all sections of the sales
;tax substitute will be offered as
amendments.
Before the committee went into
executive session Dr. McDonald
presented several tables in answer
to statements yesterday of A. J.
Maxwell, commissioner of reve
nue, regarding ad valorem taxes
and corporation taxes in North
Carolina compared with those of
other states. These tables show
this state paid a lower per capita
ad valorem tax in 1934 than all
except one of the 43 states ex
amined.
They showed also that since the
biennium 1931-1932, taxes of all
kinds on corporations in North
(continued on back page)
Dotson Is Badly
Cut By Knife In
Hands Of Delp
Cellmate Of Killer
At Time Of Tragedy
Is Found Shot To
Death Sat. Morning
What was undoubtedly one of
the most shocking tragedies ever
enacted in this section occurred
early last Thursday night at Galax
when Chief of Police Posey Mar
tin was brutally mhrdered and
Officer Frank Dotson was ser
iously wounded.
Chief Martin was killed by
Howard Delp, 22, as the officer
opened a cell door of the Galax
jail to release Dowe Leonard,
Delp’s cellmate. The two had
been arrested late in the after
noon by Officers Martin, Dotson
and J. O. Jones on drunkenness
charges and were placed in jail.
Delp is alleged to have used
a large pocket knife as he struck
Chief Martin a savage blow in
the neck, severing the jugular
vein. The two officers were rush
ed to the nearby Galax hospital
but Chief Martin was dead on
arrival there, and Dotson was in
a serious condition from loss of
blood, although it is thought that,
barring complications, he will re
cover. Officer Dotson was slash
ed across the head and face.
Bond had been provided for
Leonard and Chief Martin was
completing formalities of this ac
tion when he went to the jail to
release Leonard and met his death.
Just before the tragedy Chief
Martin was atttending a dinner
given by the Business Men’s
club at Bluemont hotel when he
was called to his office, which is
separated from the jail cells by
a narrow hall, to arrange bond
for Leonard. Martin and Dotson
prepared the bond in the former’s
office. Then Officer Martin cross
ed the hall and opened the jail
door, asking Leonard to come
into the office and sign the bond.
As Leonard came out of the cell,
officers said, Delp followed him.
Martin pushed Delp back, it was
said, declaring “no one has ar
ranged your bond. You stay here.
We have sixty dollars against
you 'besides this.”
Delp, witnesses said, escaped
into the hallway where it is said
he stabbed Chief Martin, who
staggered through the doorway
into his office saying, “Get a doc
tor, I’m killed,” and calling Dot
son, who was yet in the office.
Dotson rushed out and attempt
ed to put Delp back in the cell,
when the wounds he received were
inflicted by the criminal.
Chief Martin, who was 50 years
of age at the time of his death,
was born in the Snake Creek
community in Carroll county. Ho
was the son of the^late Mr. and
Mrs. Isaac Martin.
Surviving are the widow, who
was, before her marriage, Miss
(continued Qn back page)
"Who to his friends his money lend*.
ose hit money and hit friends."
may Iose 1
FEBRUARY
M-Firtt U. S. lighthouse built
off Virginia coast. 17M.
17—Congress i
of District of
INI.
Party founds*
Wisconsin, 1M4.
Am
MARCH
l—Ysllowttons established
• national park, U71.
W.
2—Avalanche at WsMingtou,
9*. U1A
Wash., kill* 100,1
building lit Vith gas.
'
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