Historical Newspapers of South Carolina

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■■ V" News Review of Current f Events the World Over t v Eugene Black to “Sell” New Deal to the Banka—President Warns Against Food Profiteering— Cotton Textile Strike Voted. By EDWARD W. PICKARD . ^ ©by W«.t*rn N«W«p«p«r U»U».. V • . W ITH th© MDCtlWl of 0M Ammtr ean r«<Seratlon of Labor a atrfka war called la tbo planta of tbo Slnaai- BQm Company of America, which la controlled by Andrew W. Mellon, for mer aocretary of the troadhry. and bla family. Six of the plant* at New Keoatngtoo, Arnold and Logan's Far it, Pa..^ Alcoa. Tena.; Knit SL Leuia, HU and Maaoena, N. T., were dosed, and those at Fairfield, Conn., and Baden, If. C., were about to tkat dowjk. The company normally em ploy* about 15,000 persona. Proposals offered by the werken*: represent*^ live* late In Jdly were flatly rejected by tbe •company. • * E UOENE R. BLACK has resigned as governor of the federal reserve board, and President Roosevelt has given him a new position—contact offi cer between the banks and the government. This means that Mr. Black Is expected to “sell” the New Deal to the financial Insti tutions, which in the past have been among the severest critics of President’s program for recovery. He re- _ turns to his former lugene ff. position of governor Black 0 f Atlanta Federal Reserve bank which he left In May, 1933, to assume the direction of the whole reserve system. Mr. Black himself said his new as signment Is "to muster the strength of our financial Institutions behind re covery in America.” Some observers | allow tmstnesir gresTer freedom, tn Washington thought the move Indi cated that the administration was go ing to make another attempt to thaw out the vast sums In commercial credits that are lying IdleMn the banks. “You can do much good,” President Roosevelt wrote Black in accepting his resignation, "hy presenting the recov- program .to the country’s reserve banks, commercial banks and other finificTal Institutions, by acquainting them with the successive steps taken by the administration which have re sulted In the present prosperous condi tion of these Institutions snd which make possible their co-operation with the administration In Its program of complete .business rehabilitation. M I am pleased to think that your position as governor of the Federal Reserve bank at Atlanta will give you opportonlty to undertake this work and that that bank, together with the federal reserve board, will co-operate with you In its performance.” Among those mentioned as likely to succeed Black as governor of the fed eral reserve board was Marrlner S. Eecles, Utah banker, who Is now a spe cial assistant to Secretary of the Treasury Morgenthau. He Is close to Rexford Ouy Tugwell. / & Dresident roosevelt, it turns * out, la not at all dismayed by the catastrophle drouth that has afflicted a farge part of the country. To ths White House correspondents he Indi cated his belief that the drouth was in a way a blessing, In that It was wip ing out farm surpluses two years soon er than could have been done hy ths Wallaca crop reduction plan, ff* ex pressed the belief that thera wlll be ifllUty of rood for all, and made It clear that the administration would not stand for any profiteering la food prices or grain speculation to the detri ment of the farmer and the public. "Chlselers,’’ It was promised, will be promptly and severely punished. The federal grain futures adminis tration directed by J. M. Mehl, It was revealed, la watching grain trading cloaely. The first evidence of manipu lation will bring punitive action. The consumers council of the AAA nnder Dr. Frederic C. Howe, Is chart ing food prices. Housewives will be warned of any Increase out of line with market supplies. Secretary Wallace has admitted that there will necessarily be Increases In food prices, and figures released hy his department show they are already beginning to go higher. might serve as chairman of the boanfl, provided It did not take all of my time.” Johneon aald he expected the whole reorganization of the NRA to be com pleted within the next 60 or 90 daya The first step, be said, will be the for mal submission of plans to the Presi dent Congress will be asked next winter to enact the revised NRA set up as a permanent government control over industry, Johnson disclosed. It will be the New Deal' for business wiirtrylT fix on the country for all time. This “permanent" NRA, as sketched by Johnson, would consist of a general governing board, a single administra tive officer to carry out the board’s dictates, and a long string of govern ment representatives sitting on code Prince RUDIGER VON STAB, HEMBERG of Austria, who has just been In Italy consulting with Premier Mussolini, says tbe Anatrlaa goverment expects a new Nazi outbreak la that country wtthlo the next few months. He says he has in fer m a 11 © n that a putsch Is being pre pared, and that he distrusts the peace talk of the German goveYnmenL He also doubts the reports ^of the dissolution of the Prince Von Austrian Nazi-Legion Starhemberg j n an <j be lieves the reich is still financing the Nazi In Austria. The prince's state ments are borne out by the fact that BRISBANE THIS WEEK Heir Goebkda Brags One American at Bed Mother Was "Mean” Another Hapahorg • authorlties as umpires In dlsiputes be Austria has sent- ir iiufc TfT GfcflT mpnt ftrapectors measured hla cotton tween employers and’ workers and be tween Industry and the public. Broad ly speaking, the NRA might retreat U NLESS President prevent It. about Roosevelt can half a million workers in the cotton textile Industry will be on strike on or about Septem ber 1, because they are utterly die satisfied with their NRA code. The convention of the United Textile Workers of America In New York vot- Brltaln, France and Italy, asking per mission to enlarge Its army because It fours another Nttzrputschls'lmmTnent Starhemberg asserts that an over whelming majority of the Austrian people are In favor of the Hapsburg restoration, that the Vatican Is for it, and that Italy and 'England are neu tral ; but that France and the little en tente would oppose It np WENTY years #<o, August 16, . . . , . „ . *■ th « Panama canal was if. .S! tr.-,. .M «».«««« «.«. allowance. Medlock complained to bis family for two or three days, then went behind the bars and shot himself through the heart deciding that he. In stead'of the excess cottoh, should be “plowed under." Little Nora Ruth Ntclforos may with confidence recite the prayer: “For- *give us our trespasses, as we forgive those that trespass against us." Re union'a executive council to call this general strike, and If it goes Into ef fect It may later apread te other branches of the Industry. Involving an additional 250,000. Leaders In the out on the anniversary are interesting. During the canal’s existence 80.122 commercial vessels—have—passed' through It.’ Tolls collected strike movement are Norman Thomas^} , 0 ^ former Socialist candidate for Presi dent, snd the younger element in the union. The specific aim will be to obtain a reopening of the textile code and Its revision along lines demanded by the union. Demands will be made for the 80-hour week with 40-hour pay, elimination of the stretch-out system with corresponding readjustment of machine loads, and a universal system of collective bargaining on the basis of free choice of representatives by the workers. E. R. Burke \ t TI/’HILE Harry Hopkins, federal re- V' lief administrator, Is vacationing in Europe, his place Is taken by Au brey Williams, his assistant. Mr. Wil liams has been In con ference with the Pres ident, laying out the plans for drouth re lief and the conserva tion of food supplies. Among the first things the relief sdminlstrs- tlon will do Is to buy op hay sod fruit that otherwise might go to waste. Hay on pub lic lands also will be cut and baled. The complete program was being formulated by Mr. Williams and Secretary Wallace. It was ex pected this would Include expenditure of $350,000,000 left In the special drouth appropriation, and distribution of food and clothing to tbe needy by the aurplua relief corporation. Aid for live stock la to be provided. Mr Roosevelt Is determined that the relief’ administration shall be kept clear of politics. At hla suggestion telegrams were sent to relief directors And workers everywhere telling them te keep out of partisan politics and to resign If they wish to run for office. DRIMARY elections In several states * brought about Interesting results la Nebraska Representative E. R. Burke of Omaha, advocate of the New Deal, won the Demo cratic nomination for senator, defeating Gov. (Carles W. Bryan by au astonishing plural ity of more than 66,- 000. The Republicans nominated Robert O. Simmons. It was pre- dteted by’ friends of Senator Norris, radi cal Republican, that the progressive Re publicans would sup port Rurke, for Simmons, a member of congress, has been attacking the NRA and the AAA. x Ohioans sre given their choice be tween two veteran politicians In the race for the senate. A. V. Donahey, three times governor of the state, waa made the nominee of th« Democrats, running far ahead of Gov. George White and Charles O. West. The last named was the choice of the national admlniatration but he made a poor lowing. Senator Simeon D. Fess. one of the most vociferous opponents of the Roosevelt programs, easily won re- nomlnation hy the Republicans. For governor the Democrats nominated Martin L. Davey, the “tree doctor,” and the Republicans put up Clarence J. Brown. Gov. J. M. Futrell of Arkansas was renominated, as were all hut two of the state’s congressmen who sought re-election. Democrats of Idaho are so well satisfied with Gov. Ben C. Ross, former cowboy, that they renom inated him for » third term. The Re publican nominee there Is Frank L. Stephan. Looking over these primary results and considering the prospects all over the country. Democratic leaders In Washington predicted their -party Aubrey Williams would gain six senate seats. Repub lican campaign managers said the O. O. P. will hold Its own. As for the house, the Democrats admit they will lose at least twenty-five seats, and their opponents claim the Republican gain will he between fifty and sev enty-five seats. mi ft vV HEN tbe NRA is reorganized and * y pat under control of • commis sion—• change that Is toon due—Gen. gh 8. Johnsbn may still be In the despite th# belief that he retire completely. He told •ottethtaf ef the plans for the shake up, and at the same time aald: “If the President wants me to stay, I R ELATIONS between Russia and Japan have been further strained by the arrest of 17 Soviet subjects, all officials and employees of the Chinese Easters railway, by Manchakno au thorities. They are accased of plot ting against Manchukuo and Japan and of being In collusion with bandits In recent attacks on the railway. The Russian consul general at Harbin vainly demanded the release of the prisoners. In Moscow the arrests gave rite to rumors that Japan waa pre paring to declare military law and take over the railway, the tale of which has long been a subject of fruit less negotiation. Tnklo dispatches quoted a foreign office spokesman as saying the govern ment waa considering sending a feu oral warning tn Moncow. tons of cargo vkere carried, and the net tonnage of the ships using the canal was 368.940.519. United States shipping totaled 35.- 123 vessels, which paid $161,668,419 In tolls and carried 177.906,314 tons of cargo. It had 43.8 per_ cent of tha vessels, 47.6 per cent of the tonnage, the same percentage of tolls, and 48.5 per rent of the cargo carried. British shipping was second, with 21.874 ships. $96,022,682 In tolls, and 96.294,912 tons of cargo. The Norwe gians were third, with 4,672 vessels, $16,316,789 tolls, and 20,143,449 tons of cargo. German ship* numbered 3.317: Japanese, 2.858; Dutch. 1.676, and then came the French, Danish, and Swedish. S ENATOR HUEY LONG was march ing rapidly toward victory over his arch foe. Mayor T. Semmes Walmsley of New Orleans, and there didn’t seem to he anything the latter could do to stop the Klngflsh. The state leglsla- -twre; safely In Thr'cbntroj ef Long and his henchman. Goverflfll swiftly pushing through a series of measures designed to put every parish and city of Ixmislena In the grip of those two gentlemen before the state primary on September 1L The legisla tors also passed a bill f#r an investi gation Into the affairs of New Orleans. A BOUT GOO grizzled members of the Grand Army of the Republic were able to attend the sixty-eighth encamp ment at Rochester. N. Y., and many of them lasieted In marcfatTTg~ttl Tim parade, scorning the automobiles that carried thejr feebler brother!. Com mander-In-Chief Russell OL Martin pre sided over the sessions and the chief speaker was Secretary of War Dern. Mr. Dern told the veterans that the world was seething with unrest and that weak nations might become In volved In chaos and war. America, he asserted, Is In the grip of another kind of war—one against economic adver sity intensified by the terrific drouth— but he expressed confidence “American character, American grit" will win out. He added: “We will surmount the obstacles ahead of us. And because #f this pe riod of trial, ours will he a stronger ef propaganda, praising Hitler, says, “There will be no kaiser or king.” Ho might hero added that noae la needed, sine* la Hitler Germany ban a kaiser, king and dictator, “three-in-one." Herr Goebbels boasts: “Hitler doe* not start the day asking ‘What do lead ing bankers say 7 Rather, bankers be gin the day asking ‘What does Hitler say 7 ” Germany has no monopoly of that eondltioa. Herr Goebbels will be sur prised to bear how many banker* and other gentlemen In this country, who once thought tb^y had money, begin the day asking. "What doea Itoonevelt say?" National Topici Interpreted by William Brudaft Washington.—The administration at. One American at least is out of his troubles forever. Mr. Medlock, forty- eight years old, rents cotton land in Greenville county. South Carolina, and thought be knew how much cotton he ought to plant to pay rent for his farm. After he had finished planting, goyern- fields and ordered him to plow under three acres. He had, pone hovQnd bts last haa taken advantage of the au thority given the SUvwr Chief Executive by Problem tb * ,*$ ver purchase law and baa “nationalized” silver. It has placed Itself In the position where It becomes virtually the sole purchaser of silver in the United States and from which position It controls, by license. the release of silver stocks for use In Industry and the arts. Mystery still surrounds the promul gation of the nationalization order. Secretary Morgenthau at the treasury hav continued—to—hold the reasons therefor within his own breast and the result Is that a thousand and one Interpretations have been placed on the action. The action, like so many having to do with the currency, has proved disconcerting, first because of thejsecreey surrounding It apd second-- ly because It has In a way added un certainty in many lines of commercial - endeavor.' That It IS Inflationary In character, there can be no doubt. The extent. however, is another matter and one about which experts disagree. It will mean the obvious flotation of addi tional silver certificates in response to the amount of silver acquired and stored by the treasury. This fact doubtless will frighten many persons. Followers of the administration, how ever, have taken fresh heart from the action and the nationalization order gave such inflationists as Senator turn to the past Thu a, they cannot avoid the conclusion that the nut© In the street^ the Individual on k sal ary or wage basis is going to suffer unless the President’s program in- volves some hitherto unknown and an* disclosed treatment of this phase of the problem. The circumstance Is simply this: Payrolls and wages almost never rise as rapidly as commodity prices—the things you buy in the corner grocery and the clothes and shoes. Neces sarily then the wage earner or the white collar worker haa less In his number of dollars with which ■ the commodities upod wblch the 1 tlonary process has operated to In* ’ crease the prices. As one who has spent some eighteen years as a writer on business and financial topics, it seems to me that probably the worst effect from the sll- ver nationalization order Is the added uncertainty which It creates. The thing that business generally is recog nized as needing most Is assurance and security. Mr. Roosevelt has repeated- Iv made this statem^ ‘t may he that later on he will explain how the silver order provides some new security. In the meantime the sudden acquisi tion by the government of all the sil ver stocks has provided a nice profit for holders of domestic silver and has, through the pyscholdgical effect, pro vided an equally nice profit for the owners of common stocks of corpora tions. ^Authorities tell me that- tbia- -#?• cause she had been disobedient, her mother, as shown In court, held the six-year-old child's fingers over a gfth flame. "Burning them severely.” The totaled child's mother, sentenced to 35 days In Jail, was freed when the little girl told the Judge: ‘J love asy mommy. I was a bad, bad girl and picked things np after she told me not to. She never was mean to me before." It is to be hoped that the mother will never be “mean" to her again. Prince Von Starhemberg, In a pri vate conference, saw Dictator Musso lini, and gossips suggest that Mussolini will encourage Austria to restore a Hapeburg, tbe young Otto, to Austria’s throne. - * Otto, young heir of the Hapsburgs, la extremely good looking, would deep ly Interest any movie director. But, why people as Intelligent as the Austrians should think .of taking on another Hapsburg after what tbe last Hapsburg did to them Is hard to nnderstand. There t* little enough left of Austria now. Do the Austrians want Italy or Germany to take that little, or divide It between them? Never ■foPf ■ P>f»n nnloas yon knam, nll about it. William Bryant, tn the Louisiana penitentiary, read about DlUInger’a “escaping from prison with the aid of a toy pistol, made of wood, terrorizing guards by the dozen, taking away their weapons." A newspaper clipping Sibout that pistol was found on Bryant's body after he had been shot dead, trying tbe same "wooden pistol" escape method. Thomas, the Oklahoma Democrat, cause for great Joy although the sen ator believe* the Inflationary policy ohenld-fae extended almost to |ne point" of free printing press operation. In business'circles, as that opinion is re flected In Washington, there has been a determined stand taken already against what these men fear to he an Important move toward, uncontrolled and unrestrained inflation. Tbe best opinion I have been able to obtain—It amounts to a consensus of authorities lu whom I have faith— is that the action Just taken on silver In and of Itself will not he disastrous The danger, so I am Informed, lies, therefore, not In the purchase of silver and the issuing of silver certificates but In the potentialities of the move ment There can be no doubt that once the silver movement gets thoroughly underway that It Is only a short stei?, easily taken, to the use of printing presses and fiat money. It will be recalled that Mr. Roose velt said In his Inaugural address that he would support an “adequate and sound currency." In the opinion of many observers If he goes no further than the recent silver order he can Still find luntlft'— tlft " fn * ■npnntiwff hts- inaugura! declaration. • • • T ~ result was natural and, therefore, to be expected. e v ie Federal Housing administration newest and regarded hy many as the most potent of ths FHA Maker alphulwtical oreanl- RapiJ Stride,™"™ *'" , rapid strides In th* last few week's toward getting set for operation. To my mind, three men have been responsible chiefly. These are James A. Moffett, the-administra tor, Ward Canady, his assistant, and Lambert St. Clair. The latter came down from New York on a lean from hla own outfit but the fact that he is here three days and In Netf York threw days each week baa not appeared to lessen hla accepted value aa an or ganizer. The law under which the housln* admlniatration operatea waa drafted for the purpose of enabling household ers to make repairs and do the ether odd jobs around a residence and small business building which so easily are allowed to go undone during periods when money la not flowing freely. It la countrywide In Ita scope. It will operate through the medium of th< Obviously the devaluation of the dol lar taken about this time last year has proved Inadequate to Hopt to accomplish price In- Boyat Price* cr « lsM ^ level — a promise which Mr. Roosevelt frequently made during his campaign. His advi<>ors ad mit with some freedom that the gold reduction program has not forced the anticipated price boost This being tme. It Is only natural as many oh- Bryant and hU feUow regarding ’’Mm Chandler, whittled out two toy pistols—two surely would he better than one. They and eleven other con victs that followed them were all killed, wounded or caught. It is a pleasure to bear from the United States Chamber of Commerce that there are “only” seven millions out of work In this country. Mr. Green union labor head, says ten mil lions. but tbe chamber says that Is “exaggeration." On the other hand, statistics show that one family In every ten In New York city Is “getting home relief," which Is our substitute expression for the dole. In New York 671,866 persons are on the dole, 7.9R9 more than the ration, more ready to meet the other . , , , , , crises which He In the fM W . Wc««4 re<!<> " 1 T>1 “ ^ be strong. not Indicate diminished ^unemployment. D.MINI9TRATOR JAMES A. MOF FETT Inaugurated the housing Government says It will "bar profi teering’’ on food, following the drouth. adralnistrtrthm’s billion-doHaf home re- Man y administrations have said that, 5 : "“T- --- ——-■ A _ _ . ▲( 4 t mt ** **Krtaa ** pair program, the first loan being made by a Washington bank to Miss Alma McGrnm, a home owner. In the presence of many bankers and government officials. Mr. Moffett said credit facilities were available In cities and, towns with populations aggregat ing 39,980,568. A booklet Issued by the housing ad ministration explains that any prop erty owner may apply for a' housing loan to any bank, building and loan association, or other finance company approved by the administration for a loan of $100 to $2,000 for Improve ments on the property. Notes are made to run up to three years and the only security Is a good credit standing in the community and a reg ular income. The finance—companies may not charge more than $5 per $100 In fees. Interest, or discounts, and the notes are to be repaid in equal monthly 1a- vtallmenta. Applications may b* made for family residences, apartment build ings, stores, office bnUdings, factories, warehouses, farm buildings, garagsa, or any other kind of housing or but ness property. many times, but there la no “bar.’ Where there Is a scarcity there will be profiteering, and there Is a scarcity. Secretary Wallace says It will In crease the cost of living 6 to 7 per cent next winter. Sikorsky, who made the biggest pas •enger plane'’ now flying successfully, the S-42 Brazilian clipper, predicts “50-ton aircraft” three times as big as S-42. The 50-ton, heavler-tban-alr ship will come, pass and seem like a toy com pared with real airships of the future. Columbus, In his tiny caravel, might have predicted a sailing ship 100 feet long. He could net have dreamed of a ship 1,000 feet long, driven by steam. The San Francisco Chamber of Com merce. reasonably, objects to removal of ths government’s gold from Cali fornia to Colorado, with “earthquake hazard" offered as an excuse. Call f oral a wonders. If the government’s real reason wss fear of attack from •crou th* Pedflc. why U does not say •o. * Ktas FMtuTM Sradiaalw law aneu ssrvmw silver Is Intended to supplement th* action which cut the gold content of the dollar from one hundred cents to slightly below sixty cents. Whether this further change In the monetary structure will accomplish the desired price level, of course remains to be seen. Administration leaders are hope ful. Old-time sound money men and the conservative thought of the coun try are distressed. In some quarters I hear a discus sion of the silver action which places the possible Interpretation upon It that It Is nothing more than confiscation of commercial stocks of bar silver at a pries arbitrarily fixed hy the govern ment. Among this school of thought some hold to the opinion In addition lhaf the step Is nnf particularly sig nificant Fellow observers. I believe, pretty generally have accepted the silver na tionalization as having been partly due-l-tbe-eredtt-wtirBe'employed to the serious agitation for Inflation tnnrtra "xnff Tf»caT organlrsUons and It is the firm conviction of the officials irged with ttrtw respnnstbTTTty tbit offers to loan money will come from the banks In greater number now that a federal agency Is prepared to “In sure” the note which the borrower gives. It must he understood that these loans are not going to he made with reckless abandon; the prospective bor rower must, after sll. have some sup port financially and must be able to show that there Is a reasonable chance of repayment But the point Is that a national campaign Is about to get un derway which will awaken. It Is hoped, hundreds of homeowners to the fact that the roof needs repairing or the front porch steps are In bad shape or that paper or plumbing should be looked after. —^— The law apparently has left several openings which did not • appear to those who drafted It. For example one of the housing officials told roe that he could see no reason why a farmer would he precluded from build ing a pond on his land with the aid of Joans under the act. It occurred to me that this suggestion was very timely because It Is certain that If more farms had had ponds on them a considerable amount of live stock could have been watered during, this current drouth. I do not assume that the housing ad ministration Is going to make an es pecial drive for a pond on every farm but this illustrates the ex'tejit to wblch- about which T reported several weeks ago. It Is easy to understand how this would come about and why the date of August 9 was selected for promulga tion of the new order. Out through the drouth stricken areas and In In dustrial sections where employment Is seasonal, summer doldrums of the first order are existent Discontent along with distress always has and probably always will breed radicalism. The Inflation agitation now surely can be said to be fostered mainly by the left wing and tbe more radical of the politicians. Would It not then be only natural that having the power accord ed him under the silver act. Mr. Roosevelt should seek to alleviate this condition by utilizing the dis cretionary authority for acquisition of •Hver? • OS Everywhere Is the question: what will be the effect upon the man In the street? As far ns 1 ffjt« Man can learn there is tn Street on, J one answer and. that cornea out of history. Without any official explana tion of the reasons for ths current a© generally and obviously In connection with the organization procedure of the housing administra tion I want to call attention to a con dition that exists In Washington about which Individuals throughout the country who are seeking Jobs ought to know. There were more than thirty thousand applicants for Jobe At the housing admlnlstratifin offices. It will employ not to exceed five hundred persons and more than half of the ap pointments already have been made. Among those who showed up at the housing headquarters were several men who had come almost the full distance across the continent. They told the personnel officer tlftit there was no work in their home'towns so they packed their little grips and came to Washington because there was a new agency created. Others had come from lesser distances and had come for the same reason. It seemed to me that a condition like this ought to be disclosed and the housing officials requested that I re port the facta In order that others may not be so misguided as to make the long trek to Washington Just !■ the hope that a Job la here II Isn’t. A Wasters Ksw—a»»i VmXmm. ■ . - > 1 '0 s - r -y " - ^ -24- — - '"■*— jr . .. j *’*• i. fezi w*'* - t—L -v.* ... — T