Historical Newspapers of South Carolina

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ff- News Review of Current Events the World Over President Returns From Vacation to Face Critical Test of • • ■ • ■ His Administration Policies as Poes Stand Finn on Prevailing Wage Clause. By EDWARD W. PICKARD O, Weatern Newspaper Union. . ■ ■ ^ Mr: 1) 'MS* § P RESIDENT ROOSEVELT ended hie vacation at Hyde Park and left for Waahinfton where his administration faces serious trouble, involving the prestige of the White House. Capitol Hill Is full of lively curiosity over the President’s program, and whether he will fight the pres ent congressional de fiance of his leader ship and go before the people with one of his famed fireside talks. or whether he will « ... gree to a compromise. w *« Mr Mr. RooMT.1t at the end of his second year in office faces a predicate in his relations to congress similar to that which confronted Mr. Hoover in 1931. Unless he regains control his entire program Is likely to bog down. The fight hinges on the ”$4,880,600,000 work, relief program, the first item in the President’s budget message and the principal mainstay of his program. Se cret conferences at which slices of pork were reported to have beeifedpn gled before the avid eyes of revolting senators were said to have been held. A few supporters of the McCarran prevailing wage amendment which wrecked the bill and forced its recom mission to the appropriations commit tee were said to be wavering under the pressure. Senator Robert F. Wag ner, who voted for the amendment, act ed as peacemaker. He intimated the possibility of a compromise by paying more than the so-called security wage of $50 a month, but still lower than the prevailing rates. Other leaders de clared they would not budge from their positions. 0 -Secretary Ickes has been no help to the President in quelling the re volt In his recent testimony, Ickes was reluctant to tell a senate committee about allocation of $238,000,000 for a naval shipbuilding program. The sen ators finally pried out Information which would indicate that the navy and the speculators knew all about the appropriation, but none of the mem bers of congress knew about it The money was to be spent at executive discretion, and senators feel this does not auger well for the proposal to hand to Mr. Itosevelt unlimited power in spending the proposed five billion dollar appropriation. Since next year will bring another Presidential election,, a third of the senators win be up for re-election, and all of the house members. They are watching closely the present situation because, if the President Is slipping, the^ want their own records back home in good order. \/|USSOLINI has sent 5,000 more Italian troops to east Africa, making 10,000 that have been dis patched for the possible war with the empire of Ethiopia. With the latest contingent went Gen. Rudolfo Graziani, who will be In command of the expedi tionary army. The soldiers were given a fine send-off at Naples, Crown Prince Humbert being present Mussolini has set European govern ments buzzing In a speech in which he roared defiance at Italy’s foes, assert ing that be could put eight million armed men In the field if necessary. Newspapers during the past few weeks have openly referred to the possibility of a war between Italy and Germany over Austria, and It was thought that II Duce’s speech was made to Impress upon the Nazis that he was prepared to defend Brenner pass, although a part of the troops are being used in Ethiopia. " * Britain Is keeping a close watch on Ethiopian developments, Sir John Simon, foreign secretary, told the house of commons. Simon said that the agree ment of 1908 between Italy, France and Great Britain to preserve the political and territorial status quo In Ethiopia is In force and that Britain has drawn Italy’s attention' to this fact. He added, that the whole trouble is over the fron tier between Ethiopia and Italian Somaliland which has never been prop erly defined. T HE Blue Eagle lost another tall feather the other day,>-when Fed eral Judge Nields at Wilmington, Del., held that the collective bargaining pro vision of N1RA is unconstitutional when applied to companies not engaged in interstate commerce. The admlnls tratton and organized labor immediate ly Joined in a fight to preserve the va ndlty of Section 7-A, and announced that an Immediate appeal would be tak en before the United States Supreme court The Wagner labor relations bill mak ing Section 7-A the law of the land and outlawing company uniona may have to be revised, if Judge Nields la upheld by the high court The ruling also gives support to opposition now forming In congress against extension of NBA unless it la reorganised, lodge N#!ds’ ruling was on an in junction suit brought by the govern- ^bent against the Welrton Bled com pany to enjoin the steel Arm from al leged violations of Section 7-A of NIRA and the labor section of the fair com petition code of the iron and steel in dustry. He upheld the right of em ployees to form company onions for collective bargaining, thus upsetting the claim of the Amalgamated Associ ation of Iron, Steel and Tin Workers, that the company Intimidated employ ees and dominated the company union. The court held that the company is primarily engaged in itate, not inter state commerce, whlci congress is not empowered to regulate. - Judge Nields stated: * “Power to enact Section 7-A was not conferred upon cohgress by the ‘gen eral welfare’ recital in the preamble of the Constitution, nor by the welfare clause, Article 1, Section 8, of the Con stitution.** Unless the Supreme court reverses Judge Nields, the decision will prevent the New Deal from interfering with employee-employer relationships of g. vast majority of American business. New Deal policies received another Jolt the same day when Judge Charles L. Dawson on application of 35 west ern Kentucky coal operators issued a writ enjoining the government from enforcing the bituminous coal code, re affirming an earlier decision that the national industrial recovery act was unconstitutional. Judge Dawson de clared that the coal mining is an in trastate business, and beyond the pow er of congress to regulate. He had previously Issued a temper ary writ, on petition of the operators on the ground of Invalidity of the code, but the court of appeal remanded the case for a finding of fact on the ques tion of Irreparable, Injury. “When the government unconstitutionally Inter feres with the right of a citizen to do business in his own way, ihat interfer ence constitutes an Injury to the prop erty rights of the citizen,” said Judge Dawson, who labeled as fallacious the government lawyers’ contention that gains resulting from the coal code should offset losses. A SWEEPING Investigation oft NRA ** and charges of graft and corrup tion was started by the senate, when It passed the Nye-McCarran resolution for a finance committee inquiry a series of floor conferences the sponsors, administration leaders, eral Democrats, and westerfi slvea Sponsors of-the bin original! demanded a special committee to in vestigate NBA, bat finally agreed to the finance committee handling the in quiry. Since the finance committee is headed by Senator Pat Harrison, ad ministration follower, this may mean little. However, It Is understood' that Harrison agreed that counsel and pro fessional investigators bft employed, and also yielded to demands that the committee confer with McCarran and Nye In planning the Investigation. If Harrison attempts to “whitewash” the NBA, It Is rumored that Nye will take the floor to demand that t^e inquiry be placed In the bands of the Judiciary committee. / T HE irrepressible Huey Long an nounced in Baton Bodge that he will be a candidate for governor of Louisiana in 1938. That may be Just •mnore Klngflsh conversation. However, it Is known that Long has not preferred the office he now holds, and there is some possibility that lie may seek the chief executive’s chair of his state. When asked what would become of his candidacy for the presidency, he said that being elected governor and being a candidate for president would not Interfere with each other. FEDERAL JUDGE W. I. GRUBB of r Alabama gave the New Deal a sharp rap that threatens the great electric power development in the Ten nessee valley. He ruled that the Ten nessee Valley Authority has no legal authority to dispose of surplus power generated at hydro-electric plants on the Tennessee river. The administra tion is depending on this enterprise to bring about the lowering of private power plant rates, and It was believed there would be an Immediate appeal from the decision. ‘ / In Washington especial note was taken of the fact that Judge Grubb made permanent an Injunction re straining 14 north Alabama cities and towns from negotiating with the Public Works administration for loans to build electric distribution systems. There was speculation as to what ef fect, If any, this might have nationally on PWA’s policy of giving financial encouragement to municipal power de velopments. Senator Huey Long I Carlos Mendieta NTERNAL troubles continue to rock Cuba, and President Carlos Mendi- eta’s regime appears tottering. Manuel Despalgne, the only .member of Mendi- eta’s cabinet who was in office, has resigned as secretary of the treasury, completing the rout of the min istry brought about by the school strike. And twelve assistant cabi net secretaries have also deserted the ad ministration The cabinet resigna tions'began over differ ences of opinion .as to how to deal with the strike of several hundred thousand stu dents and teachers Which, has devel oped into a national movement to oust the Mendieta administration. Commu nist-led labor organizations are ready to throw their strength behind a revo lutionary general strike, and the situa tion is becoming critical. Although armed forces are being held In readi ness to quell disorders, there is some doqbt as to their loyalty to the presi dent. Col. Fulgenclo Batista, army chief of staff, was reported ready .to throw hie support to Dr. Carlos Mftnuel de la Cruz for president If the Mendi eta government falls, but leaders of the antl-Mendieta movement have indi cated Batista’s choice would not be acceptable to them. Terrorism continues rampant Bomb ing has become general, railroads have been blown up, and Havana has suf fered considerable damage to property. F |08SIBILITIES of a merger of Dem ocrats with Republicans in fighting for repeal of the “pink slip" or income ti»- publicity section of the 1934 rev enue act was seen as Representative BfelL Missouri, pleaded for immediate passage of his bill eliminating the publicity provision. “Not only is there fear on the part of the people of the country on ac count of gangsters and racketeers,” Bell asserted “but there also Is concern among business men, because their competitors will have the opportunity eft noting into their secret Uea." D etermined not to accept the McCarran-Federation of Labor prevailing wage amendment, the ad ministration forces in the senate sent the work relief bill back to the committee. What will happen now to the President’s big program is problemat ical Senator Byrnes of South Carolina, one of the administration men, declared the measure had\met Its death. f Insisting he Was ex pressing his own be-' lief and not talking for the President, Byrnes said, “There is no prospect” of reviving the works program and “The cominittee probably will do nothing about it” “The President stated that If the McCarran amendment were adopted he would not sign the bill,” Byrnes said. “The senate adopted it, therefore, so as far as the works part is concerned, the bill Is gone.” • ; - He expressed the thought the com mittee would .report out an appropria tion of $880,000,000 or $1,880,000,000 to carry out the present relief program for six months or a year. Adoption of the McCarran amend- paent by the senate was brought about, only after a hard fight and by means of a rather tricky shifting of pairs in which Huey Long tqok a leading part It won by a margin of one vote, where upon Senator Robinson, Democratic leader, moved^that the bill be sent back to the committee. This was done, Sen ator Glass expressing the hope that the committee would report out a bill “that will not be quite so controver sial.” Senator Long, who loses no oppor tunity to pester . the administration and to display his political shrewdness, has started a movement for the specifi cation of $2,500,000,000 of the work re lief measure’s total for the purpose of highway construction. Highway cpm- mlsslons in every state were asked by him to Indorse this plan. Long said he had disctissed It with some other sen ators and that they liked it V-i t ANCELLOR “HITLER has been forced to abandon his intensive campaign against the Jews. Economic pressure has caused Der Fuehrer to give up public manifestations of his cherished anti-Semitic policy, speeches at a meeting of political leaders and Nazi party members Indicated. Boy cotts, foreign exchange difficulties and other troubles cannot be risked by the reich at the present moment T HE Saarland after fifteen years un der League of Nations rule returned to Germany. Baron Pompep Aloisl. Italian chairman of the league’s Saar committee, took over the reins froqa- Col. Geqffrey Knox, British chairman of the territorial governing commission. The next day, Aloisl formally surren dered the Saar to Germany, and the German flag was hoisted over the ter ritory for the first time since the World war. BRISBANE THIS WEEK What Is Ahead? Muscles Soon Old ’ The Moon Polls Us To Toochen Your Legs In 1914, as the worid gradually moved toward war, no one In Europe ▲rthar Brlabaaa . — — . Washington.—^Although It has been realized what was several weeks since the Supreme court “ ‘of the United States Call It rendered its history- Repudiation decision in the gold cases, there is- no slackening In the disturbance from_ the effects of the administra tion’s gold policies, even In the light of the court ruling. While the court held that congress had no power to enact legislation invalidating the gold clause in government bonds, it said In the same breath that collection from the government by a bond holder was another story. Since the govern ment has taken gold out of circulation, collection appears virtually impossible but the appearance is not going to stop bond holders from seeking what they regard as justice. It Is now 'apparent that the govern ment’s action is going to be regarded both here and abroad as repudiation. Hat is a nasty word when applied to governments and its repercussions likely will be heard tor ft good many years. happening or going to happen. In 1935, as this country moves toward the result of various theories, experiments and efforts, nobody has the vaguest idea of what is really about to happen. Almost anything -utight happen. It is possible, and fortunately prob able, that what has happened before will happen again, that business and Industry will gradually find their way back to normal, and, with officially shortened hours making labor scarce, the slogan may change from “Let the government support me” to "Give me a chance to work and climb to the top.” _ . That” may come, and something very different may come. Once in so often it Is necessary for nations and individuals to learn wis dom through first-class .failure. That may be on the program for this coun try at this moment The wise man will make his arrangements Time passes quickly; age comes loon If you depend for success on muscles, legs, arms or eyes. Fifteen years ago Babe Ruth, “home run king,” was bought by "the Yankees” for $125,000, highest price ever paid up to that time for a baseball player. Now, only forty-one years old, he is released and goes to the “Boston Braves," who are not asked to pay even a penny for the man that has drawn millions of men and dollars to the club that "owned” him. • As we go around the sun, with the moon circling round our little earth, and oflr sun doubtless revolving around some other great central star unknown to us, the moon is always pulling at the earth, as a child pulls at its moth er’s skirt That pull gradually causes the earth to “slow down” in speed, turning on its axis. Doctor Nicholson, astronomer at Wil-. son observatory, says this constant pull of the moon will eventually make the earth turn so slowly that Its day will be 47 days long Instead of 24 hours. C ELEBRATING the seventeenth an niversary of the establishment of its army of 980,000 men, Soviet Russia renewed its defiance of “Imperialistic” nations. All over the country there were fetes, and the speakers took oc casion not only 'to glorify the Red warriors but also to attack Germany and Japan. CHANCELLOR KURT SCHUSCH- ^ NIGG of Austria paid a visit to Ramsay MacDonald, British prime min ister, and was toM that while Britain is all for maintaining rhe independence of Austria, return of the Hapsburgs in Austria and more ^British "loans were strictly tabooed./ Incidentally, Britain hinted that Austria might be a little more popular if it were a little leas rough with the Socialists and trade unionists. Austria saw the light, and gave a Aalf promise to be a little gentl^f. Everything was very friendly, but the . Austrians came to London without Invitation, and little effort was made to conceal official Britain’s feel ing that they would rather they had stayed at home. “Out of the mouths of babes and sucklings.” Jack Dempsey, who really seemed to like fighting, apart from the profit, In his championship days, discussing other fighters In his "sere and yellow leaf’’ at forty, says men - that refuse to do "road work" should know that “you can’t toughen your legs in a chair or posing for pictures.” Legs are not important, but brains are. Young gentlemen should know that you cannot toughen your brains, or make them work better, without thinking. ' Chancellor Hitler orders every man In Germany, young or old, to take physical training and be ready to fight. The Spartans trained men early, even taugfit the young to murder working slaves for practice. They did not last 'teiitg ... ^ In New York a boy of. fifteen, his father “on relief,” leaves- home and a message saying: “I am going to get a Job of my own and^help myself.” That expresses the feeling of mil lions of Americans compelled to be on the dole or relief against their will. It is to be hoped "that depression, relief and dole will end before too. many Americans lose the habit of work and the desire for it Mr.-Jamqs J. Walker, once mayor of New York, writing a column for the London Sunday Dispatch, supplies one paragraph that he probably meant Others might remember it: , “After all, the counting of time Is not so important as making time count” Senator Carter Glass, who takes money seriously, says, J ‘We are on a flat money basis.” Possibly, but we seem to be doing better than when were on a gold basis. Do you notice much difference? la money more plentiful, are prices lower? Is not money scarce, is not everything dearer, on the contrary? Who knows anything about money - ?' Nobody. Senator Thomas of Oklahoma, for Instance, says the United StatesTs still **oq the gold basis.” Former President Hoover wants to go back to the goM basis, even If we have to be content with a 59-cent dollar, based on the new kind of “expensive gold.” e National Topics Interpreted by William Druckart National Press Building Washington, D,-C While the repudiation of the gold payments will affect comparatively few people directly, the significance of the action in a political way is becoming more and more apparent The repudia tion in its effect on the bond holders may be only temporary, but its effect politically will be far-flung. I think It Is generally considered now that the gold question will become a paramount issue In the next political campaign and it Is not impossible that it will continue to be an issue over a period of years. This is so because, admittedly, actual damage has been done to American prestige in foreign lands! It is made to appear, therefore, that there will be a combination of in ternational and domestic influences at work henceforth with respect to this government’s gold policies. Domestically, the issue was born in the presentation In congress of two bills designed to resJpj^jpartially at least, the status of this government as regards the gold policies to that ob taining before the devaluation of the dollar. Simultaneously, former Presi dent Herbert Hoover, in one of the few expressions made since retiring from office, declared his belief that the return of gold payments was necessary and vital to stabilizing conditions and re-establishing the United Stares in world favor. Of course, with the abundant Demo cratic majority in congress, the gold bills will get nowhere very fast. Like wise, Mr. Hoover’s expression can and will result only In providing ammuni tion for New Deal supporters, whose answer to criticism usually is a ques tion whether It ts^desired to return to the conditious that caused the depres sion. - Nevertheless, I hear considerable dis cussion to the effect that these ripples must be considered as only the begin ning. They will have the effect of caus ing many people to think about the problem. Discussions will take plac^ in the homes and in the shops. There will be those who contend for sound money of the old style. Equally vehe ment defenders of the New Deal will arise. Thus, the Issue becomes Joined and it Is not outside the realm of pos-. sibility that monetary questions will be come as important In 1936 as they were in the Bryan free silver days. Now as to the practical operation of the gold rulings: . There . can be no Operation of doubt that the Con- Gold Rulinga stitUition gives con gress power to coin money and regulate Its value. The Supreme coyrt always has sustained this power. So. when congress, by resolution, allowed President Roose- velt to seize all of the gold in this country and hold it in the treasury, it accomplished indirectly that which It could not do directly. In this way it forced the invalidation of thousands of private contracts wherein one party promised to make pay merits in gold. Congress made such payments impos sible and those v^ho were to be paid have nothing left but disillusionment! As to the gold payment clause in the government bonds the Supreme court said that qongress bad no right to en act legislation the effect of which was to void that payment It would seem, . . therefore, 'ihat -gome way should .! Wiley Pest failed In his effort to fly the continent In .eight hoars because of a mechanical accident His plan was to travel 40,000 feet up in the strato sphere, where alight atmospheric resist ance makes high speed possible. He will try it again. American flyers for tunately are not easily discouraged. If they were, the flying machine would not have been Invented here. •l KIbc FMitarw SyndleAt*. IN. WNU Barrio* found Jo force the governmenfto make gdod. That way lies only through the .Court of Cftfths of the United States, and when that court is denied jurisdiction In suits to recover, the bond bolder is left with a right, but that right la unenforceable since the government can be sued only with Its permission. ? . On top of these circumstances, and as a long range proposition, consider, able attention baa Men directed to the relatlonshla ^between the gold clause decisions aid Inflation. There is a di rect link. This link, without doubt, should be watched by an of those who think of the future of this nation. Inflation of the credit has been go ing on continuously since Mr. Roose velt took office. The federal govern ment has set no limit to the borrowing which It will undertake In its pro gram tor recovery. The Supreme court has said directly that govern ment securities are worth whatever the administration and congreas de termine 'them to be worth because the dollar can be valued up or down as cir cumstances warrant But the value which the 1 President and congress place upon the dollar may differ materially from the value which the public places upon tfte cur rency. The public will view the doi- ~ lar in terms of its purchasing power. Public confidence in the currency, therefore, becomes an absolute neces sity and once It is shaken. If history means anything, It takes a long hard pull to get It back. So, If congress show* a willingness to repudiate obligations as has shown already, the publle Sooner or later begins to wonder what the end will be. Throughout history, wherever and whenever such a condition has arisen, the public seeks to convert this doubt- . ful currency Into material things, those of a utilitariah value, which It may use.* Money, being inedible, Is sought to be exchanged for things to eat, to wear, to sustain life and comfort This is what is meant In expressions “the flight from the dollars,” or “the flight” from any other currency about which we Ji ave heard so much since the World war. • • • The situation in congress In the last few weeks has provided a test for President Roosevelt’s Up to the political acumen. It President has been far mor * . a test of his skill than otherwise would have been the efise because for almost two years he has had a congress so obedient to his * command as to merit the description of a rubber stamp legislative body. Now, however, the President is faced with the necessity for political maneu vers of the highest order and upon the results of his tactics much will de pend. He can cement tjie links of the Democratic party or he can cause them to disintegrate by the courses he fol lows. Soriie curiosity has been aroused by the fact that for the first time since he became President, Mr. Roosevelt omit ted in several instances lately to send administration drafts of bills fot 1 con gressional consideration. His practice hitherto had been to have the bill* drafted in executive departments and submitted with a recommendation that they be enacted- in that form. Until some of the factions in congress began to feel their oats this plan worked very well. A change has come over some of them, however, and they are now In sisting upon preparation of the legis lation themselves. Another significant development— and this links to circumstances of sev eral months ago—was the presentation by Senator Wagner of New York of a blll tb settle labor disputes.* This bill does not have adralftlstratlon approval. Indeed, it is quMa contrary in some or its phases to the policies which Mr. Roosevelt has sponsored In his deal ings with organized labor. It seems important, therefore, that Senator W a K n Pr. wb o f°r so long was regard ed as Mr. Roosevelt’s alter ego in the senate, should deliberately offer legis- latjon to which the adminis'tration had not agreed. With further reference to Senator Wagner, who comes from the President’s home state of New York, it Is interesting, even if unimportant, that Senator' Wagner did not support the President In the latter’s efforts to force the $5,000,000,000 work relief bill through the senate. Since Senator Wagner has been ponslstently • New Dealer many observers are asking with some logic whether the New Deal sup porters have begun to crack up. V • • • It will be recalled that in asking for an extension of the national industrial . recovery ^act for a Extension period of tw r o years, of NRA President Roosevelt merely outlined in his message the fundamentals of the plan he was recommending. He carefully avoided reference to any draft of sufeb a bill. It occasioned some surprise that this was so but closer analysis of the situation should have developed reasons therefor. Most of these rea sons are traceable directly to i£e cir cumstances I mentioned above, name ly, the necessity for tactical skill Id maneuvering the political strength available to the President Observers here generally are, agreed that Mr. Roosevelt cap turn on full steam and hold a powerful majority In both house'and senate. But, the ques tion is whether this Is the wiser course from s political standpoint In this* connection the expression has been heard several times lately among Dem ocrats who have been regarded as among the leaders that It might not be well to prod stubborn mules too far. The best Information I can gather la that while Mr. Roosevelt did not effer a draft of NRA extension legislation, a bill will be forthcoming In a couple of weeks from the senate finance com mittee that will have had prior ap proval from tlje White House. Some thing of the same course Is scheduled for‘the house side. Thus, the picture becomes "complete. The fine Italian hand of the admlnlstratioli comes Into view.' ” V The story we get around Washington ts that this course of action will be used more sod more as a means 4ft avoiding open disputes and stubt ness pn the floors of the boose and •. WMtara Notionm Un!«m tJbom- daat