HENDERSON,
GATEWAY TO
CENTRAL
CAROLINA.
TWENTIETH YEAR
SUPREME COURT JUSTICES ON MORGAN FAVORED LISTS
T X / u v v o u ■ ®
Arms Meet Warned Not To Count Too Much On U. S.
DAVIS SPEAKS TO
AVERT ERRONEOUS
IDEAS OF EUROPE
Told Not To Count In Ad
vance Upon America
Helping Punish Viola
tor of Agreement
UNITED STATES IN
FAVOR SUPERVISION
But America Unable To Ac
cept Implied Obligation To
Join Other Countries In
Bringing Pressure Against
Another Nation; Strong
For Moral Pressure
Geneva, June 1. —(AP) —Desiring to
prevent any erroneous belief that Eu
rope can count in advance upon the
United States participating in punish
ment of a nation violating the dis
armanent convention now in negotia
tion, Norman It. Davis, American
ambassador-at-laige, today explained
the attitude of h s government to the
arms conference.
Mr. Davis said the United States
was wholeheartedly for supervision
of armaments, but was unable to ac
rept the implied obligation that it
would join other nations in bringing
pressure against a country in violat
ing the arms agreement.
He made it clear that the Wash
ington government was strong for
moral pressure, but could make no
promise beforehand to punish any
body .
North Wilkesboro
%
Night Policeman
Is Fatally Shot
> North Witkesboro, June I.
(AP)—James Grayson, 22, night
t policeman here, died in a hospital
early today from gunshot wounds •,
received last night as he walked
his main street heat- Glenn Walsh
24, of Summitt and a boy with
h m who refused to give his name,
were arrested.
Silas Reynolds, deputy sheriff,
who arrested Walsh and his com
panion charged Walsh with mur
der. Walsh denied the charge.
Says Press
Prevented
U. S. Chaos
New York Times Of
ficial Tells Business
Men Part Newspap
ers Have Played
New York. June 1. — (AP) —The part
f h9t newspapers have played during
’be present, crisis was outlined today
toy Louis Wiley, business manager of
the New York Times, in an address
before the Chamber of Commerce of
the State of New York
He said that had there been no news
Tapers to tell the various develop
ments in Washington during the ear
lv weeks of the Roosevelt %dministrar
•icn wp should have been in chaos.”
(Continued on Page Four.)
Reynolds Tobacco Head And
Others Get Lobby Expenses
Raleigh June 1 (AP) — ; S. Clay
"Williams, president of the R. J. Rey
nolds Tobacco Company of Winston
*>‘dem was paid $241.51 in expenses
incurred for lobbying during the 1933
legislature, the company reported <to
to stacev W. Wlade, secretary of
s-itote. 1
Williams was not paid any fee, as
if an executive officer of the com-
) j; 'ny on regular salaryy. the report
•' <l. He incurred $16.51 in holtel and
I > ant-portalicp * expenses „ paid Uhie
Shipman Service Agency $175 tor “re-
I' f 4t service" on bills introduced and
...... HENDERSON, N. C.
Imtitersfltt tlatht Btarratch
F OF I TH? A a ß^ WlR * »®RYICB
UF THE ASSOCIATED PRESS.
A view .of the .State Penitentiary at Lansing, Kansas, from which eleven convicts
escaped, taking with (them Warden Kirk Prather and three, prison guards.
SESb
/
Large and Small Tax-Payers
Feel He Has Always
Treated Them With
Every Courtesy
GOVERNOR ISNOT
GREATLY POPULAR
Merchants Upon Whom F
Forced Sales Tax Still Hold
It Against Him; Moreover
IMaxwell Helped Ehring
haus Forces To Balance
the Budget i
Dnlly iHm,witch Rtirena,
In the Sir Walter Hotel,
BY J. C. BASKERVIM,.
Raleigh, June I—The most certain
thing in all the present uncertainty
concerning the executive appoint
ments is that Commissioner of Re
venue A. J. Maxwell will undoubtedly
be reappointed to that post, accord
ing to opinion here today. But this is
not based on anything more than cer
tain trends and surface idincations.
For if Governor Ehringhaus has told
any one in North Carolina what he
expects to do or the names of any
of those he expects to appoint, no
one has heard of it. If he had told
even one person, it is believed it
would have leaked out some way.
There has been a growing convic
tion in political circles here recently
(however, that Commissioner Maxwell
is going to be reappointed as head
of the Department of Revenue. It
is also true that there are surface in
dications pointing also to the ap
pointment of Chairman E. B. Jef
fress of the State Highway Commis
sion as chairman of the new State
Highway and Public Works Commis
sion, despite the tremendous demand
from friends of Superintendent George
Ross Pou, of the State Prison, that
he be made the head of the highway
iprison department. The reappoint
ment of Colonel’J. W. Harrelson as
director of the Department of Con
servation and Development is also re
garded as likely by a good many ob
s Continued on Page Three I
spent SSO on telephone calls.
The United Mortgage Corporation,
of Asheville, reported it had paid O.
L. Henry, of Lumiberton $938.45 to
lobby for it, and also incurred lobby
ing expenses of $802.73 through the
work of Francis J, Hazel of Ashe
ville.
John Fuller, of Durham, reported
incurring $168.18 in expenses working
for the Liggett and Myers Tobacco
Company, and $91.30 for the Mort
gage Service Corporation. He paid
R. Pearson Upchurch, of Raleigh, a
total of $175 for bill reporting serv
ice fin the two i„;^ t ~ .
ONLY DAILY NEWSPAPER PUBLISHED IN THE SECTION OP NORTH CAROLINA AND VIRGINIA. ' «■
117 Students Are Given
Diplomas At Wake Forest
Douglas Freeman, Finals Speaker; Rev. McNeil Poteat,
Horace Flack, of Baltimore, Get Honorary Degrees;
Hoyle Lee “Summa Cum Laude’ 1 of His Class
Wake Forest, June 1 (AP) —Wlake
Forest College today brought its
99th academic year to a close by
awarding degrees ,to 117 students and
conferring honorary ‘degrees on four
persons.
Dr. Douglas Freemjan, editor of the
Richmond News Leader delivered the
commencement address, and urged
the graduates to “develop your apti
itudes. ” ■* j
President Thurman D. Kitchen, of
the college, counselled the graduates
to be courageous.
Dr. Freeman received the degree
Sharp Cut
In Interest
Is Expected
Saving at Rate of
SIBO,OOO Annually
Expected by Gover
nor Ehringhaus ?
Dally Dispatch Bnrean,
In the Sir Walter Hotel.
HY .1. C. HASKERVILL.
Ralegh, June I—Announcement
that North Carolina has again been
alble to borrow money at 4 1-2 per
cent interest instead of six per cent
as it has had to pay for the past sev
eral yeans, is expected to be mode by
Governor J. C. B. Ehringhaus when
he returns today or tomorrow from
New York, where he went with State
treasurer Charles M. Johnson to
make Arrangements for the renewal
of $5,670,000 wonth of North Caro
lina notes that fall due June 15.
Ihesei notes, held by New York
banks, have been bearing six per
cent interest since they were first
sold more than a year ago, and for a
time it looked as if the State could
not sell them, at" all. But now that
the State budget has been balanced,
the New York bankers are looking
with a great deal more favor on North
arolina notes ’ as well as on State
bonds. Governor! Ehringhaus and
State Treasurer Joftins on were confi
dent, when they left here Tuesday
night that they would be able to
come back today or tomorrow and
announce! they had been able to do
something the Stat© had not been
able to do for more than two years—
obtain an interest rate of only 4 1-2
per cent o North Carolina borrow
ings.
“We are going to New York to re
new these notes at an interest rte of
not more than 4 1-2 per cent, and ex
gj (Continued on Page Three.), y
HENDERSON, N. C., THURSDAY AFTERNOON, JUNE 1, 1933
of doctor of •literature’; Horace Flack
a city official of Baltimore, Md., and
an alumnus, ws given the honorary
title of doctor of laws, and th e degree
of doctor of divinity was conferred
on Rev. E. Mic Neill Poteat Jr., of
Raleigh. ,
P. Hoyle Lee, of Fallslton one of
the 115 men receiving collegiate de
grees, was announced as having won
the distinction of having “surnma
cum iaude’ inscribed on his diploma.
This signifes a scholastc average of
98 percent, and only four others in
the 7.000 Wake Forest alumni have
dene as well,
Sherwood
Is Jobless
And Broke
Mystery Man Os
Mayor Walker Case
Returns To Deny
Story .of Safety Box
New York, June I.—(AP)—The New
York American says today in a copy
right article that Russell P. Sher
wood, long hunted “mystery man’’ of
the James J. Walker case, has re
turned to deny that a now famous
safe deposit box which he rented ever
held wealth belonging to Walker.
Grown gray, thin and nerve-racked
since he vanished 21 months ago,
iSherwood was found living with his
wife in a fashionable suburb of New
York. His exact whereabouts were not
disclosed, but there were reports that
he has been living in New Jersey, near
Summitt.
Sherwood, displaying emotion, de
nied he ever was Walker’s fiscal
agent. He disappeared, he said, be
cause he feared Investigator Samuel
|3eabury, then digging away at the
inquiry which culminated in Walker’s
resignation as mayor, would pry into
“my friend Jim’s private affairs.”
The long missing witness, described
by Seabury as rising from an obscure
accountant’s post to handle one mil
lion dollars in various brokerage ca
counts, said he is now broke and job
less.
Newspapers said he is living in a
S2OO a month apartment.
WFlthTr
FOR NORTH CAROLINA.
(Continued cool torjigh*:
Friday fair; slowly rising tem
perature. _ _
ROOSEVEraES
President Advises New Offi
• cers To Friends
With Their Country
men in America
SPEAKS HIS LOVE
FOR THE U. S. NAVY
Thinks More of It Than Any
Other Branch of Govern
ment, He Tells Annapolis
Recalls Going to
Sleep During Address on
Last Visit There
Annapolis, Md., June I.—(AP)
President Roosevelt today handed the
commissions to the 1933 Naval Aca
demy graduating - class with an in
junction to the new officers to make
friends with their countrymen.
Departing from his brief prepared
(speech, Mr. Roosevelt djisclosed to
the cheering assemblage in Dahlgren
hall that “I love the United States
Navy more than any other branch of
the government.”
The former assistant secretary of
the navy beamed his interest in the
occasion with a broad smile as he
handed over the neatly rolled com
missions to the white-clad graduates.
He recalled that on his first visit here
on a similar occasion as assistant sec
retary he had “disgraced” himself by
“going sound asleep during the prin
cipal address.”
As the President concluded h!s
short talk, a cheer leader took the
platform and the midshipmen reared
a “navy” for him.
“Remember to cultivate the friend
ship of people,” Mr. Roosevelt told,
the graduates. “Not in your own class
or profession, but the average run of
folks, the same folks you would have
known and liked and affiliated with
had you not been chosen o enter and
to graduate from a hgh specialized
institution of higher education.”
Believe Escaped
Kansas Convicts
Hemmed In Woods
Siloam Springs, Ark., June 1. —
(AP) —Officers today were closing in
on a densely woded section near here
in the belief some of the Kansas State
Prison convicts had taken refuge in
the hills after exchanging several
shots with Chief of Police Bob La-
Follette here last night.
An automobile stolen here shortly
before the shooting and bearing bul
let marks was found a abandohed in
•a lane five miles north of here by
a posse early today. Another car bear
ing Kansas license plates was found
abandoned near the city last night.
Officers said the car found today
was the one from which the group of
men exchanged shots with the police
chief.
[LaFollette driving with one hand
and firing his automatic pi
the other, engaged in a running gun
battle with the group for a consider
able distance.
The finding of the car early today
led to the belief of officers that the
men suspected of being some of the
Kansas convicts who escaped Tuesday
after kidnaping the warden were in
hiding along Spavinaw creek.
SsTOIS
One of Duties Will Be Lay
ing Out City Boundaries
For Elections
In the Sir Walter Hotel.
Daily Dispatch Unreal,
BY J. C. BASKKRVILt.
Raleigh, June I—TThe1 —TTh e first meeting
of the State. School Conimlssion
since its organization last week, will
be held here tomorrow, it w<as an
nounced today by Leßoy Martin, exe
cutive secretary. The principal tasks
before the commission at this meet
ing will 'be to dit|?rmtine the size
and boundaries of the various city
administrative units in the State, so
that these units may go ahead with
their plans for calling an election to
determine whether or not th»sy shall
be permitted to levy supplemental
(Continued On Page Four./.
PUBUSHED EVERT AFTERNOON
EXCEPT SUNDAY.
Name Os Owen J, Roberts
Included In Statements
Given Senate Committee
Mitchell Shared
In $140,939 Split
New York, June I—(AP)—The
government brought forth evidence
today that in 1930 Charles E. Mit.
chell and associates in the National
City Company divided $140,938.98,
to which it was testified they felt
they were “morally entitled.”
Mitchell is on trial for income
tax evasion and today’s testimony
Iby /Fqank J. Maguire, assistant
secretary and treasurer of the
company, dealt with a management
fund from which large sums were
paid to the officers.
The government charges that
Mitcheii was in fault in not listing
on his 1929 return $669,666.66 he
received that year from the fund.
His defense is that the money was
not income, but merely an advance
to be paid back later. %
JAPANESE
FREE UNDER TRUCE,
TO GOFLSEWHERE
Will Be Used Against Chi
nese Bandits in Manchu
ria and For Offen
sive in Mongolia
ARMISTICE HALTS
TWO YEAR STRIFE
Chinese Estimated To Have
Lost 50,000 Men and Jap
anese 10,000 in Campaigns
Waged in Manchuria, Je
hol Province and North
China Territory
Tientsin, China, June I.—(AP)
Japanese military leaders their san
guinary five months offensive in
North China ended with a truce to
day considered employing their ef
fective ware machine in two new
tasks.
The armistice, brief, simple and con
sidered moderate, released most of the
estimated 50,000 invadJero {for ®ei*>
vice against Chinese bandits in Man
churia and for a proposed campaign
•for the eventual acquisition of the
Kalgan area in Chahar province, In
ner Mongolia
Political aspects of the Japanese
drive south of the Oreat Wall and the
treaty signed yesterday, by which the
invaders agreed to evacuate an area
in North China about the size of Con
necticut, also remained for considera
tion .
It is assumed that a Chinese Na
tional government representative and
the Japanese minister to China will
soon confer on the political aspects
of the situation.
The armistice came after nearly
two years of intermittent warfare in
Manchuria, the Chinese province of
•Jchol and in North China during
which it is estimated China lost more
than 50,000 men and the Japanese 10,-
000.
Durham Bankers ’ Alleged
Shortages Told To Court
Durham, June 1. —(AP) —B. G.
Proctor, former cashier, and Eric
Copeland, former assistant cashier of
the First National Bank, which closed
here some months ago went on trial
today on 20 charges of embezzling
$1,160 and making false entries in the
bank’s accouns.
The first witness for the govern
ment was S. L. Proctor, a relati /e
of the prisoner, and head bookkeeper
in charge of the cash journal of the
bank.
He listed the personnel of the bank,
said there were three other tellers and
that they choked thir accoountg with
O PAGES
Q TODAY
FIVE CENTS COPY
Governor Pinchot of Penn
sylvania Demands Resig
nation of Two Just
ices jin State
atterburyThead of
PENNSYLVANIA, ONE
Ex-Senator Pepper, of Penn
sylvania, Shared Benefac
tions of Banking House;
Morgan Partners Paid
$51,538,000 Income Taxes
From 1917 Trough 1929
Washington, June I.—(AP)—A new
list of selected clients of J. P. Mor
gan and Company was placed before
Senate investigators today and It in
cluded the name of Owen J. Roberts,
now associate justice of the Supreme
Court, and W. W. Atterbury, presi
dent of the Pennsylvania railroad.
The transactions involved took place
before Roberts was appointed to the
court.
The latest list, the fourth presented
was of persons sold 82,000 units of
stock in the United Corporation—
Morgan utilities stock holding com
pany —in January, 1929, at $75 each,
although the price almost at once on
the public market was $99.
The list dealt with clients who pur
chased through Drexel and Company,
Morgan affiliate, and included Penn
sylvania. Supreme Court Justices John
W. Kephart and W(illiam O. Shaffer.
Governor Gifford Pinchot has de
manded their resignations for being
on a previous list.
Former Senator Pepper, of Pennsy
lvania, was also on the list.
Yesterday a. list was presented of
those who dealt directly through the
Morgan firm.
Atterbury was listed today for 2,-
500 units and Roberts for 100.
The total units sold to those on the
list was in an amount making total
possible paper profits of nearly $2,-
000,000.
With J. P. Morgan closely follow
ing the testimony, the new list was
placde dn /the record suddeindy by
Ferdinand Pecora, committee coun
sel, just after a Morgan witness had,
(Continued on Page Four.)
Agreements
In Principal
Looked For
That Rather Than
Specific Treaties Is
Hope of U. S. Econo
nomic Delegation
Aboard Steamship President Roose
velt, With American Delegation to
the London Economio Conference,
June I.—(AP) —Broad agreements in
principle, rather than specific treat
lies, are expected from the London
economic conference by the Ameri
can delegates who are proce3ding to
this meeting aboard the steamship
President Roosevelt today.
"Gentlemen’s agreements” for the
conservation of gold, and for the co
ordination of internal policies is hop
ed for as an early accomplishment.
Cordell Hull, American secretary of
stote, and chief of the delegation, and
his colleagues spent a quiet day
aboard ship, banning conferences or
formal statements.
Copeland at the end of each day’*
business.
The bookkeeper testified that or
December 24, 1929, and again on Jan
uary 6, 1930, there was a differenc
of SIOO between the amount Procto
reported to Copeland he paid out o:
interest and the amount he designate
on h ! s personal interest ledger
This evidence was directed*to shov
that on these dates Proctor failed tc
account for the SIOO. , '"*• *
District Attorney Fisher said the ter
counts of making false entries ,in the
bank’s records corresponded exactly
with the tea embezzlement counts.