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on LEVYCHARGES s Grand Jury Accuses Him Of Fraud, Conspiracy, H False Statements .... YORK. June 3.— M , gchenck, who ran a stake l«sep' 'ir,0 millions and mastery ^ f "tl>e film industry’s great e!one was indicted today by orpoi-adf’ -^ra))d jury f0r income I ronspiracy, and making ^/‘!tate.ne. *s to government in lllse -v ^ Russian immigrant 1116.1° ions' ago dreamed of !C' " ’and success as he doled and pills in a dingy China drugstore was charged in m with having defrauded ? Lyevnment of more than ;,,wioo in taxes from 193o to 1937. Twentv-four counts were speci r . ip \w0 indictments against ^ -(k 57-year-old chairman of liu'in! and executive director ‘ aith-Century-Fox film cor r.' Hollywood. Schenek termed . „ hal.„ps "unfair” and said he thf Clio1:-'- . ,, .. 'vnnfidcm that when all the ■ are finally determined full vindication will result-’’ He added that two New York inditine fnms had advised hlm I for the years in question he . d "overpaid rather than under 'id n,v taxes” and said charges Ip had “made false statements to -uvernment agent about another 'noil's personal tax are not true-' „ . ^ . Nuiicd as co-defendant in a con spiracy indictment was Schenck’s r'yitni-a-year bookkeeper, Joseph H Moskowitz, who was accused n aiding his employer in evading income taxes. SChenck was charged with hav ir; fraudulently deducted from his jross income "losses” from the purported sale of stock to his Hol lywood friends and with having claimed as business expenses ex oenditures which actually were personal—in many instances the of lavish entertainments. He was charged with perjuring himself in statements to an in [ernal revenue agent, during an in vfaication of the income of Wil liam Bioff. western representative ;i,e International Alliance of Theatrical Stage Employes and Moving Picture Operators. Ulinnesota Gale Results In Deaths Of Five Men MINNEAPOLIS. June 3—(tf)—A ;ale which at times reached a cekity of 60 miles an hour churn ed Minnesota’s lakes along the Canadian border into sea - like waves Sunday, causing the deaths of at least five persons. Communication lines were dam aged. trees smashed to the ground and many craft upset. Heavy rains accompanied the wind. Jorma Broman, 19, Fort Fran cis. Ont.. was drowned in Rainy ake when his canoe upset; Frank T. Sansom. 57. and Charles P. 3enassi. 42. both of Duluth, drown ed in Clearwater lake in another canoe capsizing, while Helmer Nel son. 61. and Carl Engman. drown ed in Lake Superior at Grand Mar sis when they drove off a dead end street in the storm. 1 British air raid wardens are competing with each other to get gas masks to newborn babies. One "ade a new mark by supplying a 'cask to a 40-second-old baby, but •' seconds were knocked off that record within a day. 2 French Caissons Go Rolling Along — By Horse Power ~~| •einforce def'enses alZedth«asl^t“PerhaPS hc'r\ ca'leagUe,8 beleaguered in Flanders, pernaps to e niorce neienses along the Somme—moves a column of French horse-drawn artillery. STATE’S SENIORS WARNED BY HOEY Seifert Elected Alumni Presi dent To Succeed Colonel George Gillette RALEIGH, June 3—(A*)—N. C. State college seniors were warned by Governor Hoey today that they would be forced to give up some of their liberties while the nation went through a period of building up its national defenses. Speaking at the college’s 51st commencement, the governor urged Americans to “insist upon a complete return of all these rights as soon as the crisis passes. Degrees were presented a rec ord graduating class of 358 per sons, 26 more than last year’s group. Governor Hoey was intro duced by Frank P. Graham, presi dent of the University of North Carolina, of which N. C. state is a unit. Col. J. W. Harrelson, dean of administration at the college, presided. An honorary degree of doctor of textile science was conferred on Charles A. Cannon, Concord industrialist, Clement L. Garner, native of Carteret county and now chief of the division of geodesy in the U. S. coast and geodetic survey, received an honorary de gree of doctor of engineering. “It is so easy to lose rights, when once they are denied, unless there shall be a complete restor ation,” said Hoey. "It behooves us to guard sacredly our heritages of liberty and freedom and our guaranties of all civil liberty. Al ready. before the war crises de veloped, we have been gradually conferring upon boards and bu reaus the rights and powers which are being arbitrarily exercised to the detriment of the business life of the nation and the individual rights of the citizen.” The governor said that the Uni ted States, with its great wealth and resources, had become the “have nation” of the world. This, he said has aroused jealousy among some nations and has caused some of the South Ameri 'Japan Expresses Concern Over Developments In Dutch Indies TOKYO, June 3,—<JP)—Japan has the same vital concern over de velopments in The Netherlands East Indies that the United States has in events in Mexico and South America and cannot remain “un concerned at any developments’ which might change the status quo in those rich islands, Foreign Minister Hachiro Arita declared to day. The minister addressed a meet ing of the Institute of the Pacific, an organization composed of numerous highly-placed military and government officials. He re-emphasized the economic importance of the East Indies to Japan and told the Institute that it “is but natural that Japan should entertain the most serious concern over the maintenance of the economic status quo there as well as the political.” Although the Indies belong to a European nation, they are inti mately linked with the destiny of East Asia, Arita said. “Japan as the stabilizing power in this part of the world has more than a passing interest not only in the Chinese continent but in areas to the south,” he asserted. “Our situation may be likened to that of the United States which cannot remain indifferent to de velopments in Mexico and Vene zuela. Earlier, Premier Admiral Mit sumasa Yonai told newsmen that there is a “way of improving the aggravated relations between Ja pan and the United States,” but that “of course such a method is neither being considered nor be ing taken." The premier said he wras not in a position to disclose the nature of the way to better relations, but many of his hearers interpreted his statement to mean that Japan did not intend to conciliate the United States by backing down from her policies toward China or on other issues in the Far East. can countries to view the United States with suspicion. “We must adopt a broad policy of international good will,” Hoey continued, “with special reference to our relation to our southern neighbors in this western world.” Urging a rearmament program, the governor said all Americans must be prepared to foot the bill of national security. The average man, as well as the rich, must pay for rearmament, he asserted. Earlier today, the college’s gen eral alumni association met and elected D. W. (Dutch) Seifert of Weldon as its president. Seifert defeated H. N. Gurley of Newton. He succeeds Col. George W. Gillette of Wilmington. M. L. Shepherd of Raleigh was re-elected secretary, with Miss Maud Schaub of Raleigh continu ing as assistant secretary and A. F. Bowen of Raleigh as treasurer. Gillette was elected chairman of the executive committee. T. K. Mial of New York and Raymond Maxwell of New Bern were elected association vice presidents. Executive committeemen elected were: 3. B. Everett of Palmyra, Buxton White of Elizabeth City, F. P. McLendon of Greensboro, L. C. Atkisson of Greensboro and Clyde R. Hoey, Jr., of Canton. A. F. Floyd of Raleigh was named for a five-year term on the athletic council. 1 SWORN IN WASHINGTON, June 3 —GD—J. Monroe John3on of South Carolina, Assistant Secretary of Commerce, was sworn in today as a member of the Interstate Commerce Com mission to which he was recently apointed by President Roosevelt. Johnson succeeds Marion M. Caskie who resigned to enter pri vate business. 2 FOUR BOYS DROWN PITTSBURGH, June 3-UPl Four boys were drowned late to day when their home made John boat capsized in the roaring wat ers below a dam in the Allegheny river at nearby Aspinwall. The victims were Jack Meiser, 15; Wil liam Yester, 16; John Lambert, 18; Charles Gasda 17, all of Sharpsburg, Pa. 1 PROTEST DELIVERED BUENOS AIRES, June 3.—(iP»— Foreign Minister Cantilo reported tonight that a protest has been delivered in Berlin over the sink ing by a U-boat of the Argentine freighter Uruguay, May 27 off the Spanish coast. The protest de mands material compensation for the ship together with satisfaction for the injury to the Argentine flag. SUPPORTS ROOSEVELT LOUISVILLE, Ky., June 3.—(*-T*)— William Green, president of the American Federation of Labor, de tlared today that labor is “solidly behind the President" in defense preparation but is opposed to in volvement “in the European oon :iict.“ Mrs. Roosevelt Says Action Against Reds Is Up To Congress WASHINGTON, June 3—<«— Mrs. Franklin D. Roosevelt said today it was up to con gress to decide whether the communist party in America should be outlawed. Replying to press conference questions, she said that as long as the communist party could get on the election ballot, its candidates should have the same radio privileges as can didates of other recognized parties. But if this country follows the course of Switzerland— which the first lady described as a level - headed country— and outlaws the communists, “that is another question.” In the house today, Rep. Cox (D - Ga.), objected to a broadcast from the commu nist party convention in New York yesterday, and declared that “it is about time the broadcasters’ trust was inves tigated.” 1 OBITUARIES S. S. KING Funeral rites for S. S. King, brother of Mrs. J. H. Garrett, of 208 Wright street, who died on May 26 at his home in Rocking ham, were held from the late resi dence on May 28. WILLIAM B. HARRISON LITHONIA, Ga., June 3. — UP) - Willia^n B. Harrison, 68, comptroller general of Georgia, died suddenly to day while on a fishing trip near here. Harrison, long a key figure in Georgia politics, was ousted from of fice in 1936 by National Guardsmen on order of former Governor Eugene Talmadge but later was reinstated by the general assembly. Harrison objected to efforts of Talmadge to direct fiscal affairs of the state after the legislature adjourned with out passing an appropriation bill. MRS. AGATHA RUSS Funeral services for Mrs. Agatha Russ, 58, who died at her home at Myrtle Grove sound yesterday afternoon at 12:40 o’clock after a short illness, were held from the late residence yesterday afternoon at 6 o’clock. The Rev. George Saunders con ducted the services. Interment fol lowed in the Bonham cemetery at Myrtle Grove sound. Active pallbearers were: C. L. Bowden, H. G. Lewis, Henry Wil liams, ii. C. Johnson, George Bry an and Owen Burriss. Honorary pallbearers were: Charlie Blake, Clifton Warren, Jennings Russ, Leo English, Lionel Potter, Clar ence Bonham, J. D. Burriss, L. W. Morgan, A. L. Fryar, J. T. Brown, J. B. Williams, W. I. Wil son and J. D. Lodor, U.S. AIR TRAINING PROGRAM WIDENED CAA Makes Plans To Provide 45,000 New Pilots By July 1, 1941 WASHINGTON, June 3—I#)—1The Civil Aeronautics authority ex panded its primary training pro gram for civilians today to pro vide 45,000 new pilots by July 1, 1941 — a reservoir of prospective fighter pilots for the army and navy. Chairman Robert H. Hinckley said 15,000 civilians would be giv en training in each of the three quarters of the year beginning June 15 in the 550 training centers and others to be established in every section of the nation. The $5,000,000 which congress has appropriated for the 1940-41 training period will be used im mediately, Hinckley said, and an additional $32,000,000 will be asked to finance the expanded program. “I don’t think that under the present emergency we can wait,” Hinckley continued. "The civil aeronautics authority can under take this task at such short notice because we are already mobilized to ao so. He said that 9,800 new pilots would be turned out by June 30 under the 1939-40 training program in which colleges and flying schools participated and that 90 percent of them had expressed a desire to enter the air services. “While college training is desir able, it will not be required and it is estimated that a substantial por tion of this summer’s trainees will be made up of young Americans not now enrolled in regular college courses,” Hinckley said. In addition to the primary train ing, the authority plans this sum mer to extend secondary instruc tion of 45 hours to 1,000 students who have already taken their ele mentary training consisting of a ground course of 72 hours and a flight course of 35 to 50 hours. During the fall semester of the coming school year, 3,000 more will be given secondary training. An additional 1,000 primary in structors will be given "refresher” courses of 15 hours. During the spring of 1941 the number of sec ondary trainees will be stepped up to 5,000. 1 Examinations For U. S. Position Announcec The United States Civil Serivc* commission has announced oper competitive examinations for th position of instrument maker ii the federal service. The examinations cover fou grades, with salaries ranging frorr $1,800 to $2,600 per year, less a re tirement deduction of three an< one-half per cent. Applications must be filed wit! the commission’s Washington of ftce not later than July 1 if re ceived from states east of Colo rado, and not later than July 5 1940, if received from Colorado anc states westward. Applicants must have completed a 4-year apprenticeship as instru ment maker, or must have had certain experience in the trade, ir either case including work with high-precision physical, geodetic, or similar scientific instruments. Certain substitution of apprentice ship or practical experience in the machinist or toolmaker trades may be allowed for part of this require ment. For the three higher grades additional journeyman experience as instrument maker is necessary. Applicants must not have passed their fiftieth birthday. Full information may be obtain ed from A. B. Bradshaw, secre tary of the board of U. S. civil service examiners, at the post of fice or customhouse in this city, or from the secretary of the board of U. S. civil service examiners at any first- or second-class post office. 1 WANTS ROOSEVELT HARTFORD, Conn., June 3.—<JD —Homer Cummings urged tonight "with the fervency of prayer” that President Roosevelt be re-elected "for our country’s sake.’’ The former U. S. attorney general, in a prepared speech opening the two-day demo cratic state convention, coupled the plea with the assertion that the third term tradition "must, of course, yield to the public good.” PLANES DOWNED STOCKHOLM, June 3.—<JP)—The Allies were reported to have shot down sijr German planes today in the area around the far northern port of Narvik, which was wrested from the Germans last week. In tense fighting was said to be in progress along the entire Narvik front with positions changing hands frequently. DEMONSTRATION LONDON, June 3—I#!—A large scale demonstration in Barcelona in which Spanish students carried banners and shouted “Gibraltar is Spanish” was reported on the wave length of the Madrid radio tonight and heard in London. 1 A teacher In Indiana uses his sportplane to give his students prac tical illustrations of geography and the phenomena of climate. Also, fuel consumption and aerial navigation provide interesting problems in arith metic. KEEP HANDY IN HOME Moroline is a “one-jar ready-aid kit". Use as a dressing for minoi burns, bruises and irritations. Safe. A M Always Demand - Moroline WHITE PETROLEUM JELLY I_ WAR INTERPRETIVE B¥ KIRKE L. SIMPSON Associated Press Writer The French interpret the Ger man bombing of Paris and the Rhone valley as a political move, not a military measure—and there are factors which lend a color of credibility to that interpretation. It remains to be seen, however, whether the raids are aimed pri marily at French or Italian mor ale. They might be an attempt to encourage hesitating Italy to jump into the war; or they could be a prelude to a Hitler demand on France to surrender or suffer the consequences of "complete war”. Whatever the German motive, the raids also serve to distract the German people’s attention from the obvious fact that the huge Nazi war machine, crushingly victor ous in the low countries and north ern France, is closing its grip at Dunkerque on an all but empty trap. For days Hitler’s high com mand has promised the German public that up to a million Allied troops in Flanders would be an nilated or captured. Fulfillment of that pledge has been balked at Dunkerque by a miracle of Fran co-British valor that has thrilled the world. Despite the terrible price in lives and abandoned stores and fighting equipment, the last scenes of the Battle of Flanders are turning in to a moral victory for the Allies that could influence the ultimate outcome of the war even more than could the physical triumph by Germany. The events at Dun kerque have already geared Fran co-British public opinion, stunned at first by the disaster in Flanders, to a new fighting tension. Dunkerque demonstrated some thing else. It proved that, a reso lute defense in floodable terrain could stall the Nazi war machine, for all its air superiority and its massive armored divisions. That is vital for the French, par ticularly. They are standing along a largely floodable defense line from the Channel to the Maginot fortifications, and they know now exactly what to expect and much more about how to meet it than they did a month ago. From its British-held left flank, guarded from blitzkrieg assault down the Channel coast by the wide water of the Meuse estuary the new front in northwest ern France extends to a point east of Rethel. The Somme and Aisne rivers and their canal sys tems impose a far stronger bar rier against, the Germans than did tne Meuse Little ' Maginot line de fenses. The new line can be flooded wide ly at many points against armored division .^attack, as the other could not. Back of it the ground rises generally 300 feet or more. It of fers perfect ground for massed French 75's and heavier guns and the French learned by bitter experience how best to use such guns. there can be no surprise tricks left now in the German warmak ing bag. whether in dive-bombers or massive mobile forts. Moreover, a purged and battle - hardened French leadership is in command. The weak link for the French— the place where flood waters can not be loosed—is in higher ground from the Aisne - Ardennes conflu ence east of Rethel to the point where the defense line joins the still intact Maginot fortiflcations along the Chiers river, north of the Meuse. It is a narrow strip and there have been insistant re ports that Generalissimo Weygand has massed heavy forces on that front, either for defense or in hope of assuming the offensive. Against the background of what is happening still about Dunker que, the strength of the new French position on the Somme-Oise-Aisne line seems impressive. The initial punch of the Nazi at tack has failed to score a knocic out. With its men and machines worn, the 'German army cannot hope soon to duplicate the power of that first blow. Nor can it rea sonably expect to be aided agaiij by such happenings as accompa nied the Flanders victory, collpase of the French defense on the Meuse, and the Leopold surrender order to the Belgian army. Nazi air superiority and the stun ning power of German mechanized divisions, now depleted 40 per cent according to some computations, have scored a heavy though cost ly victory. But they have not won the war. It seems possible that continued Italian hesitation over taking the plunge into the war can be traced In part to the miracle of Dunkerque, as well as rising Allied hopes of balking the enemy despite four weeks of appaling verses. This seems true, at least: Nazi air power was not enough to pre vent rescue of the great majority of Franco-British army survivors in Flanders. It raises a question for Italy as to whether German Italian air power could cope with the heavy Franco-British naval preponderance in the Mediterra nean. If not, Italy as a war partner could become as much of a lia bility for Germany as she was for the Allies in the World War on the Piavo front. Yet Berlin ap pears to be beckoning Rome urg ently to come in by repeated Nazi bombing raids down the Rhone valley to the Mediterranean and air blows at Paris. Is it because, for all his victories in Flanders, Hitler sees his hopes of a short war fading, his armies slowing to a halt just short of full victory as did those of Kaiser Wil helm in 1914? Only Hitler knows. 1 Nearly all icing conditions lie be llow the 1(1,000 feet level. M LIKE THE FAST PACE IN SPORTS, BUT\ 1 WANT My CIGARETTE SLOW-BURNING. [SMOKE CAMELS. 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