davidaulloa/AmericanStories huggingface dataset:
The times-news., 1938-12-15
CONVICT NAZI
IN SPY CASE
3 Co-Defendants in Canal
Zone Turn Pale as
Verdict Rendered

CRISTOBAL, C. T., Dec. l5.-
(UP)-Hans Heinrich Schackow,
one of four Germans charged
with spying on Panama canal de-
fenses, yesterday was found gull,
ty by a jury in Cristobal district
court.
The jury, composed chiefly OF
Canal Zone employees, deliberated
two hours before reaching a ver-
dict.
Judge Bunk Gardner announc'
ed he would not sentence Schac'
kow until he had ruled on a mo-
ton for a new trial, for which
the defense was given until De-
cember % to apply.
Schackow, who was arrested
October 16 at Fort Randolph
while taking photographs with
three companions, Miss Ingebord
Gutmann, Gisbert Gross and Ed
ward Robert Kuhrig, turned pale
as the jury announced its yer.
dict. Judge Gardner previously
had warned the courtroom against
any demonstration.
Shackow and Miss Gutmann
were employees of the Hapag
Llovd line office in Cristobal.
Kuhrig will be the next de-
fendant to be brought to trial.
some time in January.
The times-news., 1938-12-15
Move To Revoke u. S. Citizenship
And Deport Nazi, Kuhn Associate

Although one source reported
the discrepancies had been detect
ed in testimony Schwinn gave to
the Dies congressional committee,
Schwinn said last night that he
had never appeared before the
81 telegraphed Dies (Represen-
tative Martin Dies, D., Texas)
asking permission to appear and
present evidence | had in my pos
Session but the telegram was not
acknowledged" Schwinn said.
He admitted having been ques-
toned by immigration officials,
but insisted he knew nothing else
about the inquiry which he be-
iieved was a "mistake," and one
which would "not have arisen if
Il had not been for my opposi-
ton to Jews and communists"
The times-news., 1938-12-15
Lima Conferees Revise Defense Program
Christmas Tree
Lights Will Be
On Here Tonight

The lights on Hendersonville' s
community Christmas tree will be
turned on tonight and it will be
illuminated every night through
the holiday period.
The tree, situated on a vacant
lot at Church street and Fifth
avenue, will be the scene of a
Christmas program at 8 p. m. on
Saturday night, December "a,
with the Hendersonville Minister
ial association in charge. Singing
of carols will feature the pro-
gram.
Expense of erecting the tree
and burning the lights will be
borne by the chamber of COM
mercc. which also is co-sponsor
of a contest in which the exterior
of many homes in Hendersonville
and vicinity will be decorated and
lighted. Prizes of $50 will be
awarded.
The times-news., 1938-12-15
MUST
ATTACK MANY
N.C.PRObLEMS
Face Greatest Financial
Needs; May Change
Absentee Ballot Law
REVAMPING SCHOOL
SYSTEM IS LIKELY
BY CHILES COLEMAN
United Press Staff Correspondent

RALEIGH, Dec. 15.-(UP)-
North Cardinals general assem-
bly, for 1899 convenes- in three
weeks faced with a myriad OF
problems ranging from the larg-
est appropriation request in his
tory to re-examination Of the
states policy in dealing with cap
ital offenders.
As always, one Of the chief
legislative objectives will be rails
ing the money to pay for the
widespread activities Of the state
and determining how much is to
be allotted for each specific pur-
pose. -,
Much of the spade work of this
enormous task is being done by
the advisory budget commission.
This groups recommendations to
the assembly will not he revealed
until after January a when the
120 representative and so sena-
tors convene in the century-old
chambers of the state capitol
here, but complete hearings al
ready have been held at which
the various departments of gov
ernment outlined their financial
needs for the next two years.
'' They asked from the general
fund a total appropriation of
$95,861,S0 more than ever be-
fore has been requested. In ad-
dition, the highway department
estimated it's needs from the spe-
cial highway fund at S69,2O3,-
9O2.
Inseparably linked with the fl
nancial problems of the legisla-
ture are a number of other ques-
tions likely to result in long floor
debate and innumerable commit
tee and conference discussions.
These include revamping of the
states educational system, social
security, modification of the sales
tax, homestead exemptions and
several others.
A special study commission has
recommended a sweeping reorgan-
ization of the school system, in
cluding addition of 18th grade,
salary increases and retirement
pay for teachers, and improve
ment of facilities for vocational
education.
Such a program would cost, the
commission estimated, approxi-
mately $1,OOO,OOO. All of it could
not, of course, be put into effect
at once, but many persons believe
the 1889 assembly will take the
first steps.
The sales tax has been a con-
troversial issue since it was
adopted, and while there are in
dications the fight over it's pro-
visions at the forthcoming as
CONTINUED on page three)
The times-news., 1938-12-15
NEW CHARGES MADE GERMANY
AND OTHER POWERS FOSTERING
u. S. ESPIONAGE; QUIZ TO END
Investigator Decares Situ-
alton "Too Grave" to
Be "Overestimated"
BY MACK JOHNSON u
United Press Staff Correspondent

WASHINGTON, Dec. Is. UP)
New charges that Germany and
other powers are fostering syste-
matte espionage in the United
States were made today before
the house committee on un-Amer-
lean activities which ends its work
today.
Chairman Martin Dies, D.,
Texas, said that the future of the
$4,000 inquiry into Fascist,
Communist and Nazi activities de-
pends upon whether the next con-
gress votes additional funds "as
we have only scratched the sur
face with our limited money"
eve will have our report and
our legislative recommendations
ready for congress within two
weeks, he said. "The American
public is behind our efforts to un-
mask subversive activities, and l
don't believe $1,000,0O0 would be
too much to ask to do a thorough
job"
His statement came after John
C.. Metcalf, committee investiga-
tor, testified that he collaborated
with federal agents, police and
military intelligence officers, in
tracing down espionage activities
which have created situation
$50 grave" that it "cannot be
over-stated."
Germany and other counteries
are involved in the espionage ac-
tivities," Metcalf said, Tne
United States will be in presar-
ious condition if it does not heed
the espionage efforts of various
foreign organizations"
He said that some of the "es-
pionage machines" might cause
the United States serious trouble
in event of war and that he felt
the entire situation should be the
subject of a much more exhaus-
tive inquiry than he was able to
Continued on page three)
The times-news., 1938-12-15
BRITAIN and
FRANCE READY
TO POOL Arms
Warn Europe They Will
Stand Together in Un-
provoked Aggression

PARIS, Dec. Is. tUP)-For-
eign Minister Georges Bonnet last
night warned Europe's totalitar-
ian powers particularly Italy, that
Great Britain and France stand
ready spontaneously" to pool
their fighting strength and go to
war in event Of any unprovoked
aggression. ....-......-....
Bonnet's statement before the
foreign affairs committee of the
chamber of deputies coincided
with an announcement by Prime
Minister Neville Chamberlain in
the British House of Commons
pointedly warning Italy against
any atatempt to upset the "status
quo" in the Mediterranean.
France has received assurances,
Bonnet said, of British collabora-
ton amounting virtually to "aut-
omatic aid' if Italy or any other
powers attack Tunisia or at
temps to tamper with the Medl-
terlanean territorial balance.
"I declare in the name of the
French government that all our
land sea and air forces would
spontaneously and Immediately
be utilized for the defense OF
Great Britain in case of unpro-
coked aggression" he added.
Bonnet spoke openly of the
danger of war arising from
Italy's dangerous, although still
unofficial d e m a n ds against
France.
"There cannot be the least
doubt that France will never cede
an inch of here territory to Italy
and any attempt to carry out
such a pretension could only lead
to war;" he said. y.
simultaneously, it was rumored
that Chancellor Adolf Hitler's
personal adjutant, Capt. Fritz
Weidemann, had arrived secretly
in Paris with Der Fuehrer's ans
wer as to whether Germany
would 60 to Italy's aid in event
of war between Italy and France.
The Germany embassy neither
denied nor confirmed the report,
merely stating that no such visit
had been arranged by the en-
bassy.
The times-news., 1938-12-15
CONGRESS TO
CONSIDER FEW
new MEASURES
Legislative Program Likely
to Call For Amend
ing Old Ones
ICKES NOT TO QUIT
POST FOR MAYORALTY
WASHINGTON, Dee. IS. .(UP)
The White House this afternoon
announeed the resignation Of Sec.
retary Of Commerce Roper, effee.
tive December 23.

WASHINGTON. Dec. Is. (UP)
Secretary of Commerce Roper in
tends to resign from the cabinet
in the near future, possibly soon
after the first Of the year, the
United Press was reliably inform
ed today.
For months Roper has denied
flatly his resignation was impend-
ing. ~ -.
Today he continued to decline
comment but it was learned that
he had told close friends he con-
templated resigning at the end Of
President Roosevelt's first term
but the president prevailed on
him to remain. = - '.''..
The death of Roper's son-in-
law, David R. Coker, wealthy seed
grower, about two weeks ago is
believed to have made Roper un-
willing to reconsider his decision
to quit, even if requested by
President Roosevelt. :
responsibilities Of handling
Coker's numerous business enter
prises have fallen on Roper and
it is reported that he believes it
imperative for him. to leave the
government service.
The times-news., 1938-12-15

LOS ANGELES, Dec. Is. (UP)
Herman Schwinn, west coast
leader of the German-American
bund, and an associate of the
New York Nazi leader, Fritz
Kuhn, has been threatened with
deportation proceedings, federal
authorities disclosed last night.
U. S. Attorney Benjamin Har-
rison revealed that steps have
been taken to institute proceed
ings citing Schwinn to show
cause why his American citizen
ship should not be revoked.
The action would be based on
allegations that certain discrep-
ancies existed in the application
the bund leader made out for clt-
izenship papers years ago.
Schwinn already has been ques-
toned in the case.
The times-news., 1938-12-15
JEWS IN reich
PAYING FIRST
PART OF fine
Will Turn Over Hundred
Million Dollars in Kill
ing of Vom Rath

BERLIN, Dec. Is. (UP)-Jew-
ish leaders said last night that
thousands of German Jews would
turn over $1OO,000,000 to the
German government within the
next "a hours-perhaps without
a single default-to meet the first
instalment of a $40O,000,O0O col
lective "fne" imposed after the
assassination in Paris of Ernst
Vom Rath.
The prediction of 100 per cent
payment from every Jew whose
fortune exceeds $4,000 was based
on the fact that, although the
original decree demanded pay
ment in cash, the government re-
Gently relaxed the conditions for
payment.
Under the original announce
ment of the "fine" it was explain
ed that as the only alternative to
cash payment government centers
would be opened where Jews
could liquidate jewelry and other
valuables to raise cash. =.
This plan failed to work and 1t
became apparent t h a t many
Jews would be forced into bank
ruptcy.
Therefore the economics minis
try permitted the Jews to use Sc
curities, land titles and mine roy
alties in addition to cash to meet
the first 25 per cent instalment
of the crushing fine.
The fine will strip the German
Jews of at least 20 per cent OF
their entire wealth, as it was
computed at the time OF Vom
Rath's Staying. In addition, the
Jews must uay about $20o,00O,-
600 for destruction done by Nazis
in the Nov. II wave of anti-Sem-
itic disorders, in which Jewish
shops were the chief targets:
Jews who have reported losses
from the riot destruction will be
allowed to deduct these sums
from the estimates of their total
holdings, thus reducing the ultl'
mate Weld to the government,
The government reserved the
RIGHT to take other measures
against Jewish wealth if the levy
on one-ffth of all Jewish Ida wealth WoS
fails to produce S4O0,OO0,OOO.
The times-news., 1938-12-15
u. s. May FUND
SALE OF GOODS
TO CHINESE
Arrangement W ufd B e
purely Commercial"
No War Measure
Copyright 1898 BY United Press

Copyright 1890 by Oniteo frSss
WASHINGTON, Dec. Is. (UP)
The federal government is con-
sidering financing sale of between
S25,000,000 and S50,00O,000 of
American products to China, it
was learned last night.
The plan, which officials de-
scribed as every complicated" is
expected to be announced shortly.
1t was emphasized meantime that
it will be purely commercial, I"
meaning it will not be a formal
loan which Japan, in view of her
war on China, might construe as
an unfriendly gesture by a neu-
tral power.
The program has been taking
shape for several weeks in discus
SionS between treasury depart
ment officials and members of a
Chinese financial mission headed
by K. P. Chen, Shanghai banker.
The mission came here ostensibly
for the purpose of obtaining fin
ancial aid in the war with Japan.
A usually reliably official indi-
Gated that under the plan the
federal export-import bank would
establish commercial credits for
American exporters, repeatedly
automobile and truck manufac-
turers, and that these would be
underwritten by the reconstruc-
ton finance corporation.
1t remained conjectural how
China proposed to reimburse the
treasury but it was suggested that
Chinese silver shipments would
provide adequate surety.
The treasury has been buying
Chinese silver by agreement since
May, 1886, at prices ranging
from 43 to az cents an ounce.
More than 300,009,000 ounces
have been thus acquired. 1t was
pointed out that there is nothing
to prevent a corollary agreement
to pay for American exports.
The financial mission was re-
ported to have attempted to reach
similar agreements with private
industralists, but to no avail.
The times-news., 1938-12-15

FACING LEFT
Wing REVOLT
President Masses Guns and
Planes; Rebel Guns Are
Trained on Quito

QUITO, Ecuador, Dec. Is (UP)
President Aurelio Narvaez mass
ed artillery and airplanes to sup
port his demands for the immed-
late surrender of dissident army
units, fortified on Ichimbia Hill,
and dominating the capital under
leadership of leftwing political
chieftains.
Orders for the attack was ex-
pected at any hour. Police and
soldiers patroled capital streets
and the presidential palace is
heavily guarded. .
Business was suspended and all
communications are under strict
censorship.
Disaffected troops re f u e d
all demands that they surrender
and in turn demanded the presi-
dent to revoke his decree dissolv-
ing parliament.
The government fatty refused
to free several left-wing assem-
blymen who were arrested when
the assembly was dissolved and
its members "outlawed" by exc
cutive decree.
Larrea Alba, a stormy petrol IN
Ecuadorean politics for several
months, who only a few months
ago returned from exile, was ar
rested by soldiers at San Juan,
near here. Speaker Arrizaga Lii
que of the assembly also was
seized. The soldiers were compell-
ed to use their rifles to subdue
the two men, who were locked up
in the local barracks.
When he dissolved the assem-
bly,, President Mosquera Narvaez
announced that he would rule by
decree and at the same time con-
voked elections for the second
Sunday in May, 1889, when a
complete senate and chamber of
deputies will be chosen by popu-
lar vote.
Although the rest of the coun.
try was said to be quiet, travel
was limited to those in possession
of police passports.
The times-news., 1938-12-15
KHAN OUT TO
SMASH C.L.0.,
| SAYS WIZARD
Wage Educational Drive
Against Lewis And
His Communists"

ATLANTA, Dec. Ia. (UP)-
1ne ku Klux Klan today threat
sS1ed 10 smash the CIO unless the
;;aoor organization changes its
issadership. DR.. Hiram Welsey
Evans, Imperial Klan Wizard,
a'a MS followers enaged in war
SSrainSt me CI0 because of its al
eyed Communistic leanings. The
Mans anti-CI0 campaign is na-
Nonwide.
,SPo6esmen for the CIO and its
$1'!Iate Textile Workers Organic
ing committee, claimed the Klan
5sSortcd TO violence, but Evans
senlec this saying that the fight
~ Al on an educational basis against
LEWIS and his stool pigeon Com
@uriStS."
The times-news., 1938-12-15
Eden Told u. S. Feels Franco Victory
In Spain Contrary To Best Interests

umph, with it's implications re-
garding a possible new, important
base for Germany and Italy. .
Asked point-blank by one OF
the small, highly-infuential groups
assembled in his honor here,
whether Britain would grant bel
lgerant rights to Spain, Eden re-
piled, 81 hope not" ,.l
1t had been made clear to him,
it was said, that British recogni-
ton of Francois status as a belli.
gerent, with it's encouragement OF
starvation-blockade Of Loyallst
Spain already coping with hum
ger, would hardly be conducive
to Anglo-American harmony that
presumably it is Eden's mission
to strengthen and which is no less
desired here.
Officials of influence here, who
CONTINUED on page three).
The times-news., 1938-12-15

WASHINGTON, Dec. Is. (UP)
Regardless of the unofficial
character of his visit, former
British Foreign Secretary An
thony Eden had received intima-
tions that the Roosevelt admins
tration believes victory for Gen
eralissimo Francisco Franco in
Spain would be contrary to Unit
ed States interests, it was learn
ed last night on the eve of his de-
parture from here for New York.
He had also heard plain speak
ing, always friendly, it was
learned, concerning the prevail
ing American attitude toward the
British governments Spanish pol.
icy. It is believed, on the eve OF
his departure for New York, that at
the most pressing message ne will
carry home will be one of Ameri-
can antagonism to a Franco trl-
The times-news., 1938-12-15
FRS. CONGRESSIONAL
PLANS NOT ELABORATE

WASHINGTON, Dec. ID. (Uf)
President Roosevelt will confine
his program for the 18th congress
largely to improving existing New
Deal laws and will not recon-
mend q "lot of new stuff" senate
Majority Leader Alben w. Bark
lev. b., KY, said Wednesday af-
ter a White House conference.
He said that be discussed with
the president the subject OF taxes,
proposed changes In the Wegner
Labor act, the farm program, ma
tioral defense and kindred prob,
lens. The conversation was gen
eraI, he said, and no final decis-
ions were reached. The chief exc
cutive is to review the legislative
(Continued on page three)
The times-news., 1938-12-15
NEW NOTE IS
SENT NAZIS ON
JEWS STATUS

WASHINGTON, Dec. Is
(UP) - Acting Secretary OF
State Sumner Welles today re-
vealed that the United States
ha. sent a new note to Germany
requesting immediate assurance
that American Jews will not be
Disseminated against in the
Reich.
The note expressed 'disappint-
ment' over failure of the Ger
man government to give such
assurances which had been re-
quested previously.
The times-news., 1938-12-15
ICKES TURNS DOWN
CHICAGO MAYORALTY

CHICAGO, Dec, is. UPl-
The headquarters. of the Draft
Ickes for Mayor Club" Of Chica-
go, today announced that Secre-
tary of the Interior Harold J..
Ickes declined to become a can
didate in the 1889 city. election
in Washington. Ickes said he re-
fused the plea to run for mayor
because President Roosevelt
wanted him to stay "in harness"
The times-news., 1938-12-15
FASCISTS BOOST ARMAMENTS
BUDGET ONE THIRD, FRANCE
WARNED OF TUNISIAN DRIVE
Tunis And Corsica May
Become French Sude-
tenlands" "

ROME, Dec. is. (UP)-Pre-
mier Benito Mussolini's cabinet
yesterday ordered 33 per cent
increase in the nations ornaments
budget as an urgent necessity"
while Fascist leaders warned that
T psia and Corsica may become
French Sudetenlands.
The cabinets announcement of
a $l30,308,750 or one-third in
crease, in the arms budget during
the next fiscal year was made url-
der provisions of an extraordinary
appropriation of S526,250,000
which Italy intends to spend on
armaments above the normal de-
fense budgets under a four-year
program. -...-..
The cabinet explained that the
action was IAN urgent necessity in
view of the general situation"
The war ministry obtained S42,-
909,750 more than it's present bud
get, the navy got S40,014,000 more
and the air ministry received an
increase of SAT, 7,385,000.
Military attaches Of foreign en-
bassies were particularly impress
ed with the increase for the air
force, which would play a vital
and perhaps decisive. role in any
war in the Mediterranean.
Experts calculated that the ap-
propriations for the war, navy and
aviation ministries alone represent
35 per cent of the governments
total estimated expenditures for
the 1939-1940 fiscal year. This
figure does not include increases
of about s26,325,000 for the min
istries Of agriculture, public works
and corporations which aid indi-
rectly in improving 1taly's nation
al defense.
The times-news., 1938-12-15
BALFOUR TO HAVE
SERMON in SONG

Rev. C. E. Blythe, pastor, an
nounces that he will preach at
Balfour Baptist church Sunday
night at 7 o'clock when the SER
vice will feature a Sermon in
song" The theme will be, "Where
Is My Wandering Boy Tonight"
luke 15:11-24). The children of
Rev. Mr.. Blythe will furnish the
music. The public is invited.
The times-news., 1938-12-15
Scout Review And
Honor Court Set

The regular court of review for
Boy Scouts will be held Friday
afternoon at $3.50 o'clock at the
high school building, it was an
nounced today.
On Monday night, the Decem-
ber court of honor will be con-
Quoted at the city hall, beginning
at 7:3O o'clock. The public in gen
eral was invited to attend the
Monday night event and parents
of Boy Scouts are asked to at
tend.
The times-news., 1938-12-15
u. S. DEFICIT IS
TWICE LAST YEARS

WASHINGTON, Dec. Is. (UPl
The treasury today announced
that government spending this
fiscal year has passed four billion
dollar mark.
The net deficit vas more than
q billion and half, more than
twice the sum by which the treas
ury went into the red in the cor
responding period Of the previous
fiscal wear.
The times-news., 1938-12-15
NEW CONFEDERATE
PENSION CHECKS
RECEIVED HERE

A total of $3,562.50 in Con.
federate pension checks is avail.
able for veterans and widows Of
veterans, Clerk Of Superior Court
George w. Fletcher announced
today.
Five veterans of the war re-
ceiye checks for $1S2.50 each; 16
Glass A widows receive $3.50 each
and five Class B widows receive
$50 each.
These are semi-annual pay
ments.
The times-news., 1938-12-15
MOUNT MORIAH WILL
HEAR REV. Y. D. JONES

The Rev. Wade Worley, pastor
of Mount Moriah Baptist church,
has announced that the Rev. Yer
gil D. Jones, of Balfour, will
preach at Mount Moriah at II a.
m. Sunday, December 1S. The
general public is invited and peo-
pie of the vicinity are urged by
the pastor to attend.