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Henderson daily dispatch. (Henderson, N.C.) 1914-1995, January 20, 1934, Image 1

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Neither Consolidation Nor
Government Ownership
Advisable Now,
He Asserts
Financial Strain of Acquir
ing Great Properties Too
Much and Country Cannot
Stand Forced Consolida
tion; Answer to Query Is
Given To Congress *
Washington, Jan. 20. —(AP) — An
swering the first of a scries of ques
tions a kcd him by Congress, Jascph
B. Eastman, federal coordinator of
4. anspottation, held today the time
was not ripe for either nat km wide
cjn.'-olidation of railroads or govern
ment ownership.
His answer to the query, "Is there
ii. 'd for a radical or maor change
iii tlie organization, conduct or ic
giUaUmi of the railroad industry
which can be accomplished by Fed
i al irgDle ion, was transmitted by
Pi evident Roosevelt to Congress.
The commission submitted the re
po*rt with a synopsis of Eastman's
tudici, but. called attention to the
fact that it neither approved nor dis
afpioved the findings.
Eu tnmn concluded:
“The ultimate solution of the rail
road problem is public ownership and
operation. The. counU-y is not now in
iConttnueil on Hxae Three.)
Cotton Spinning
Industry Operates
73.5 Pet. Capacity
Washington. Jan. 21) 'AP) —-The tot
ton spinning Industry was reported
today by the Census Bureau to have
operated during December at 73.5 per
cent of capacity on a single shift basis
compared with 9G.3 per cent, in Novcin
her last year and 87.2 per cent in De
cember a year ago.
Spinning spindles in place Decem
ber 31 totaled 30,938,3-10 of which 24,-
840.870 were active at some time dur
ing the month, compared with 30,-
881.904. and 25,423.318 for November
last year, and 31,442,174 and 23,776,136
for December a year ago.
Active spindle hours for December
totalled 5,095,047,829. or an average off
163 hours per spindle in place, com
pared with 6,796,420409 and 220 in
November last year, and 0,386,218,252
and 203 in December a year ago.
North Carolina reported 1,064,464,-
797 active spindle hours, and an aver
age of 173 per spindle in place.
Seat Called
Vacant Now
House Committee
Report Favors
Neither Sanders Nor
Mrs. Bolivar Kemp
Washington, Jan. 20. (AP>~- The
Home Elections Committee, which in
stigated the Kemp-Banders content
t'oni the isixt i flon.isiia.na congres
onal district, recommended today
"'at. the seat, be declared vacant.
Chairman Kerr, Democrat., North
Carolina, of the committee, said the
' r port had the unanimous agreement
<Continued on Page I’hree.')
I iales And Bailey, Noted
Criminals, Refuse To Eat
Washlngon. .Fan. 20 (AJP) —(Albert
n ". Cates and Harvey J. Bailey, no
torious criminals, are on hunger
-trike In Leavenworth prison.
The Justice Department today made
♦lie disclosure about the two, who
sre serving sentences for the Urgchel
Bates first to refuse to take food
January 7, and his abstince lasted
•nitil January 19, when he was fed
Bailey /has refused to eat since
January 15.
Hmtimramt tUttln Stsrxafrfi
His Son Kidnaped
. ■■
Adolph Bremer
Wealthy St. Paul, Minn., brewer
end friend of President
hoosevelt, Adolph Bremer is
for S2OO 000 by kidnapertr who »rr
holding his son, Edward G. Bremer,
48. banker and heir to fortune,
under penalty of death. Adolph
renter is prominent Northwestern
( Central l*rcs»)
Will Speed Action In Con
gress as Appropriating
More Work Money
Ilopkius and His Assistants Trying
Best To Stretch Their $400,000,-
000 Allotment as Far
As Possible
Dally Dispatch Ilureatf,
la the Sir Walter Hotel.
Raleigh, Jan. 20—While necessity is
undoubtedly the principal factor in
tlie most recent developments in con
nection with Civil Works Administra
tion projects and the limitations plac
ed both on hours, jobs and materials,
there is also an element of politics
involved, according to opinion in po
litical circles here. For while the
limiting of hours of workers on ru
ral projects from 30 to only 15 hours a
week and of workers in towns of
more than 2,500 population to 24
hours a week was undoubtedly caus
ed by the fact that the WA units in
some states have overspent their al
lotments and that the $400,000,000 al
loted to the CWA in Washington was
being depleted too rapidly, the belief
is also current that this new order is
going, to cause some repurcussion on
Congress and speed action on the new
appropriations. For if the new appro
priation of $1,116,000,000 asked by
President Roosevelt in order to con
tinue the activities of the Civil
Works Administration i 3 not •speedily
enacted, all CWA projects will auto
matically come to an end February
The order from tlie CWA in Wash
ington to tlie effect that no new pro
jects catling for the purchase of any
materials from CWA funds shall he
approved by State CWA heads, is also
attributed to the fact that Adminis
trator Harry Hopkins and his associ
ates are trying their best to stretch
the $400,000,000 as far as possible and
r Continued on Page Three.)
At every meal time, the depart
ment said, "sufficient quantity of
food, sucli as is served to all prison
ers, was placed before Bates.”
He refused it, however, saying that
> he proposed to starve himself to
He has beefi under the constant
supervision of the medical chief of
ficer of tlie prison.
The two men cannot communicate
with each toher, or with other pris
oners, but are permitted books from
the prison library.
Mysterious Missile Reaches
Hands of Minneapolis
Postmaster Bearing
One of Ga'ng Was Drunk
and “Please Forgive Us”
Written in Note; Says Con.
tract Is All Off and Gives
Directions for Finding
Body of Rich Banker
St. Paul. Minn., Jan. 20.—(API-
Branded by police as a fake, an
anonymous note stating that Edward
G. Bremer, wealthy owner and presi
dent of a St. Paul bank, kidnaped
ft • S7OO 000. had been ‘‘bumped off”
was revealed by W. C. Robertson, Min
neapolis postmaster.
The authorities’ statement, however,
did not serve to allay fears of the
Bremer family, who had fresh tin
their minds a threat of death and thr
iblood-stained automobile of the 37-
iyoar old Commercial State Bank head.
Received through the mail today by
Robertson, the note was written hi
long hand by a good penman. It hole
no postmark nor stamp and was ad
die: e l to the Minneapolis post, office.
The note said:
"Very sorry, but. Edward Bremer
is now re sting in peace. Was by ac
cident bumped o-ff. Body near Anoka.
Mipn. Will not be found until after
the snow goes. Contract all off. Please
forgive us. All a mistake by one of
our gang being drunk.
"Please tell Walter Magee, St. Paul.
‘‘One of the gang.”
St. Paul. Minn., Jan. 20. (AP)—A
/failure in old bills was ready for
kidnapers today if they would heed
ihe plea of an aged and ill father
begging tor the return of his wealthy
sop. Edward G. Bremer, held for $200,-
000 ransom.
“Bring me back my boy—please—
the money is waiting for you—but
hurry we want him back," pleaded
Adoph Bremer, personal friend of
President Roosevelt, as he paced the
floor in the office of the Jacob
Schmidt Brewing Company, of which
he is the principal owner.
No contact had (been made by the
abductors, though the family was
hopeful some sign would be made to
day telling them how and when to
tdiver the ransom in $5, $lO and S2O
Far from the brewery property,
eight-year-old Betty Bremer, daugh
ter of tlie missing Commercial State
Bank president, and owner, yesterday
returned to the exclusive Summit
Girls School for the first time since
(her fther was abducted about 8:30 a.
m. Wednesday.
Cloudy, probably occasional
rain tonight and Sunday; not
much change in temperature.
Newest Cuban Head
4 •••’•: Sjjakjc loHßgjSg "V-
iW/*'? '. I 4’? J
L* I
Carlos Mendieta
Here 1b Carlos Mendieta, 60-year
old veteran of Cuban politics, who
has accepted the presidency of
the island republic, succeeding
Carlos Hevia. He is designated to
bead the sixth government turbu
lent Cuba has had in the past five
months, being offered the post
two days after Hevia toojf ofijea,
J .W-l tn«.| s-l-l* ® 3 ,| v rr u,,
This layout shows the relative I treasury department at Washing
value of the output and produc- I ton. California leads the list of
tion of gold and silver in the j gold-producing states. Idaho.
United States during 1933, ac- Utah and Montana are the leading
cording to figures compiled by the | producers of silver.
Auto License Reduction
Would Cripple Highways
Maintenance of Roads and Payment of Bonds and In
terest Must Be Provided for; Officialdom Cold To
ward Agitation for Reducing Prices
Dull} Diwpiiti'h Itureaii,
In tlie Sir Walter Hotel.
II If .1. C. It ASKEItVII,Ij.
Raleigh, Jan. 20. —If the automobile
and truck owners of the Stare want
(to drjtrn oyer cracked and broken
(highways, with washed-lout shoulders
and gradually revert to dirt highway:!
the price of automobile license plates
can be reduced to a flat rate of $3
a year or only $1 a year, according
to current opinion in, State govern
mental circles here. But if the 400,000
automobile and truck owners in the
State want tlie existing highways
kept in good condition or they h
any hope of additional highway con
struction or want any of the old and
worn out. roads rebuilt and modern
ized they must be willing to continue
to pay the present average of $14.60
a year for their automobile licenses,
according to the bulk of opinion here.
The revenue from the sale of auto
;m.a;ile licenses and .titles for 'thS
calendar year ending December 31,
1933 was $5,311,154 according to fig
ures just obtained from the Motor
Vehicle Division of tire Department of
Revenue, from the sale of 408,095 li
censes. If these licenses had been sold
at $3 each, as they are being sold in
Georgia and the price now being ad
vocated by a good many here in North
Carolina, the revenue would have been
only $1,227,285 with a resultant loss
of revenue to the Highway Fund of
$4,083,869 which is more than two
thirds of the total amount alloted to
the State Highway and Public Works
Commission for the maintenance of
60,000 miles of State and county high
ways in the State. For the entire ap
pmpriation for highway maintenance
this year and next year, as made by
(the 1933 general assembly, is only
$6 000,000 a year, from which ap
proximately $750,000 a year must be
taken for the maintence of some 7,-
700 prisoners and nearly 100 prison
units and camps. So in reality the
Highway Commission has only slight
ly more thn $5,000,000 a year avail
able for maintenance or about the
same amount as the revenue received
from the sale of licenses at the pre
sent prices.
“But what about all the money
Modified Approval Given to
Purchase and Marketing
Washington, Jan. 20 (AP) —Secre-
tary lekes, acting as the oil code ad
ministrator, today gave modified ap
proval to the purchase and marketing
agreement submitted to him as a
plan for stabilizing the industry.
The agreement, submitted original
ly by 24 companies as an alternative
to a proposed price-fixing schedule,
became effective immediately.
The secretary approved an order
making a violation of the agreement
also a violation of the oil code and
subject to a fine of SSOO per day for
each day of violation, or six months
In his modification, the secretary
entirely disapproved Section 4 of the
marketing agreement, which provided
for unusually severe penalties for
those violating t^ e marketing agree
the State collects from the gasoli]
tax,” many people ask. “What is that
5 mo vey used for? Wouldn’t the in-
l crease In the revenue from the gas
-3 oline tax offset the loss in revenue
. from any reduction in the price of
j license plates.”
3 These questions are asked only by
5 those who are uninformed and who
„ either do not know the facts or who
1 do not want to know the facts, ac
, cording to those in both the revenue
, and highway departments. For while
3 the revenue from the State gasoline
(tax for the calendar year 2933 a
mounited to $14,711,406, with indica
L tions that it will amount to about the
same for 1934, this total lacks fully
„ $2 000,000 of meeting the yearly buu
f get of $16,767,870 which must he met
trom tiie highway fund for the next
two years, it is pointed out. For the
| expenditures which must be met from
,the highway fund for the present
fiscal year, are as follows:
’ Interest and principal and
. Sinking fund payments ...$ 9,085,110
• IS fate and county main
tenance (Includes prisons). 6,000,000
I Motor Vehicle Bureau and
(State Highway Patrol 379,000
Highway Com. Admiliiatra
t titan 113,650
[ New Highway construction. 190.000
, To State General Fund .... 1,000,000
Total $16,767,860
, From these figures it can be readily
; seen, according to revenue and high
way department officials here, that
. (the $14,711,406 revenue from the gas
oline tax would be entirely inade
. quate to meet these expenses. Since
all of these other obligations are fix
ed with the exception of the amounts
for maintenance and the $1,000,000
! which the 1933 general assembly de
. ckled should ibe transferrea to tli'e
(general fund, provided any money
. was left in the Highway Fund after
. all other obligations are met, any
. further reduction in the budget would
would have to be made in the ap
propriation for maintenaee. This was
deduced from SIO,OOOOO a year to $6,-
(Contlnued on Page Six.)
26-Year-Old Kansas School
Teacher Unharmed by
Prison Fugitives
Bartlesville, Okla., Jan. 20.—(AP) —
Lewis Dresser, 26, Kansas school
teacher, who was abducted by Jim
Clark and another of the seven con
victs who escaped the Kansas peni
tentiary at Lansing yesterday, was re
leased unharmed near Pawhuska,
Okla.. at 5 a. m. today.
Dresser, seized soon after Clark,
Bob (Big Boy) Brady and five other
convicts fled over the wall of the
Lansing prison was freed after a
20-hour ride. He said he could not
identify Clark’s companion.
Upon his release, Dresser drove to
Bar tlesville and reported his presence
to police. 4
Dressers car was returned by the
convicts after he had promised to say
nothing to officers until he had driven
50 or 60 miles from the place where
he was released, he said.
More than a score of heavily-armed
officers immediately concentrated in
the vicinity of Pawhuska to hunt for
the fugitives.
in Party Shakeup
>% •?’
BP|L • ' jjflß .
Arthur F. Mullen, top, Demo
cratic national committeeman
from Nebraska, has announced
that he neither vrill resign his post
nor discontinue his law pi*actice
in Washington, despite President
Roosevelt’s censure of lawyer
politicians who have been lobby
ing before federal departments
and bureaus. Mullen took hia
stand after Robert Jackson, lower
right, secretary of the national
committee and committeeman
from New Hampshire, and Frank
€. Walker, lower left, committee
treasurer, resigned their offices.
Money Bill
Is Pressed
For Votes
Washington, Jan. 20 (AP)—.
Responding to the, administration
call for quick passage of the
Roosevelt dollar revaluation bill,
Democratic leaders exerted strong
pressure today to bring a vote in
the House before adjournment.
Whether the measure would be
sent on to the Senate tonight or
be deferred Until next week pro
duced a difference of opinion a
mong House leaders.
Speaker Rainey doubted wheth
er it could be done, while Rep
resentative Byrns, the Democratic
leader, thought it could.
Greeks Determine
To Oust Insull on
First of February
Athens, Greece, Jan. 20 (AP) —The
Greek government was represented
today as determined to expel Samuel
.Insull, Sr., former Chicago utilities
operator, no matter what, decision
may be taken on his case by the
council of state.
This attitude wa3 staged today by
the secretary of ministry of the in
The council itself, following a hear
ing yesterday, at which attorneys for
Insull spoke, deliberated the case two
hours today. The council members
argued heatedly, but adjourned until
next week without reaching a deci
Durham, Jan. 20 (AP) —Fred B.
Pritchard, 60, Norfolk and Western
railroad freight depot employee here
for 25 years, was instantly killed to
day when struck by a passenger train
as he walked beside the track.
Willie Crumpler, an eye-witness
said Pritchard apparently failed to
hear the engine’s whistle as he walk
ed in the yards.
For It If Cotton Farmer*
Want It, But Compulsory
Control Next Step,
Secretary Says
From Standpoint of Future
of Democratic Government
and Psychology of People
Should Approach It
Thoughtfully, Agriculture
Head Tells Senators
Washington, Jan. 20.—(AP)—Secre
tary Wallace told the Senate AgriciU
turc Committee today he would favor
the Bankhead gin licensing bill if the
cotton farmers wanted it, but assert
ed there were grave dangers of com
pulsory control if the farmers didn’t
want it.
The licensing bill was offered by
iScnator Bankhead, of Alabama, Dem
ocrat, primarily to prevent farmers
from taking advantage of their niegh
bors by refusing to join in the volun
tary acreage program. It would
sign quotas to the producers.
Wallace suggested a referendum of
the producers to determine their at*
titude on the bill, tout in reply to
Senator Capper. Republican, Kansas,
if the principle could be applied to
other commodities, including wheat,
"From the standpoint of adminis
tration, it would simplify matters
enormously, but from the standpoint
cf the future of democratic govern
ment and the psychology of the peo
ple, I can’t help but feel we 9hould
approach this kind of thing thought
“If the people themselves think the
emergency is of such an etraordinary
type that they want such centralized
control in Washington, it would be
easier to administer.”
Only Two Types
Os CWA Projects
Can Keep Going
Dally Dispatch Bureau,
In the Sir Walter Hotel,
Raleigh, Jan. 20.—Only two
types of Civil Works projects can
now continue in North Carolina, It
was pointed out at the office of
Mrs. Thomas O’Berry, iState CWA
administrator today, and these
will be carried on under the re
duced work week schedules. These
two types are as follows:
1. Those which have already
been approved and are now In
process of completion.
2. Those which do not call for
any materials to be provided frtfm
Civil Works funds.
Even in those projects which are
already under way, no materials
may be purchased until the pur
chase order has ueen approved
in Washington, it was pointed out.
Those employed on CWA pro
jects in rural sections ana In
rural sections and in towns of less
than 2,500 population will be per
mitted to work only 15 hours a
week henceforth instead of 30 and
will lienee get only $6.75 a week
instead of $13.50. In towns of 2,-
500 population or more the work
week has been reduced to 24 hours
instead of 30, and the pay hence
reduced fr.om $13.5(1 in $9.80 a
These changes have been made
necessary by the rapid depletion
of the original $400,000,000 appro
priation for the Civil Works Ad
About CWA
Mrs. O’Berry and
Waynick Will B e
Ffinal Arbiter in Pro
test Under Plan
Raleigh, Jan. 20. —(AP) — Special
machinery to check complaints grow
ing out of administration of the Civil
Works Administration will begin Off
Monday. Capus Waynick, National
Reemployment Service manager, and
Mrs. Thomas O’Berry, CWA admin
istrator, have agreed on a set-up for
hearing complaints from the varioUO
counties that have been heard by the
local groups in each county and th4n
referred to the central office here.
Final decision on all complaints will
rest with Mr. Waynick and Mrs.

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