The Daily Alaska empire Newspaper, April 13, 1938, Page 1

T HE ALL THE TIME” DAILY ALASKA EMPIRE “ALL THE NEWS VOL. LI, NO. 7766. JUNEAU, ALASKA, WEDNESDAY, APRIL 13, 1938. MEMBER ASSOCIATED PRESS SALMON PACT MONSTER RELIEF PLAN IS DRAWN UP LAST NIGHT President Prepares Message to Congress and Nation BUILDING PROGRAM WILL BE LAUNCHED WPA to Carry Heavy Load of Relief Work for Seven Months WASHINGTON, April 13.—Presi- dent Roosevelt and his economic ad- visors today worked at top speed to e a new recovery-relief pro- gram. It was apparently agreed upon at a lengthy night conference in the Whitehouse, but while the conferees did not disclose the details of the pla stone of the bill will probably be the proposal to spend a billion and a half dollars on public works as & means of reviving business and in- dustry. This appropriation, in addition tc a billion and a quarter dollars ap- propriation for relief, would let WPA carry the peak of the unemployed load from July 1 Both public works relief prope- sals are expected to be covered in Pl(“ld?nt Roosevelt’s message to ‘ongress tomorrow noon. Ofllcxal sources disclosed the pres- | idential message will discuss not only but. also conditions abroad. I¢ is @also said the Congressional message will probably be followed by a Fireside Chat tomorrow night of 45 minutes, starting at 7:30 p.m Pacific Coast Standard Time. The President may explain to the nation his views of the economic situation and his reasons for the new program. Roosevelt told a press conference vesterday that he and Garner had not had an argument over pump priming or anything else when they met Monday in legislative confer- ence. 2eports were that Vice-Presidenl Garner had sharply expressed his dislike of “spending for recovery” plans. The reports are also that coolness has been created between Garner and the President. BIG HIGHWAY BROUGHT ONE STEP CLOSER Five-Man Commission Nam- ed for International Road Project WASHINGTON, April 13. The proposed Seattle-to- Fs,nbanks High- way was brought a step nearer today with approval by the Budget Bureau of Representative Warren Magnuson’s bill to create -a five- man investigation commission. The commission will adjust in- ternational problems in connection with construction of the proposed link and agree upon costs. Magnuson said: “It seems to me that if we are going to embark on a vast public works program, we have here the most feasible and beneficial project on the contin- ent.” It is said the cost of the big highway would be $13,000,000 for the 1,083 miles of construction. LAD KILLS HIS STEPFATHER IN ATTACK, MOTHER ABILENE, Tex., April 13.—Fif- teen-year-old Daniel Arnold has been released on bail in the fatal shooting of his stepfather, Blenard Owens. Young Arnold told authorities that he shot his stepfather after Owens’ threatened to kill the boy’s mother. 1 to next February a| it was indicated that the key-| Aiming to eliminate counterfeiters by educating people in the detection of Warring on Counterfeiters FORECASTS SETTLEMENT PULP MARKETS REACHING OUT T0 NEW FIELDS Forester Sa) “Alaska Is One of Few Potential Reglon Left WASHINGTON, z\])lll 13.—Chniet Forester F. A. Silcox today said at hearings on the Depariment of Agriculture Appropriations Bill, tha ty survey of world condi- tions with respect to softwood pulp; indicates production areas are now confined to Southeastern and Northwestern United States, includ- ing Alaska and Russia."” Silcox said the current situation in the South indicated the need for regional application of the sustained yield principal. “We recently have seen a hund- red million dollars invested in pulp and paper mills in the South,” said Silcox. It is estimated that the influx of new pulp mills into the South has about ddubled the existing pulp de- mands on the foresters there. Silcox said one factor bringing about the higher price of newsprint, 1s the fact that the supply of Canad- ian spruce getting farther and farther away from the mill ‘In Canada they are coming is to ! the limit in the matter of exhausting bogus money, the U. S. Secret Service has inaugurated a series of lec- tures in New York for the purpose. An operative is pictured illustrating a Mexico’s Seizure of Oil - Concessions Has Meaning; | State affairs of this country.| point. Similar training courses for small business men will be established throughout the country. Trouble Started Years Ag_m CONGRESSIONAL INVESTIGATORS ON PROBE EARLY They Come figm Any- where, Serve, Then Drop, Perhaps Out of Sight By PRESTON GROVER WASHINGTON, April 13.—Days before the TVA investigation could take shape, nimble-witted Congres- sional investigators began to digest the possibilities for making it into headlines. Back of every Congressional vestigation that amounts to weight proportions is, the c¢ investigators. They are kecner than hacksaws and like no other type of investigator, They are a breed unto themselves. They blow in from some unex- pected corner, operate for the most part without more than casual pub- licity, then filter off into some other work. An investigator with three yea experience is a veteran. Five year experience makes an old master. And all this happens usually while in- pir . | his .| of a centur) the man is in his late twenties or | in his thirties, Noted in the recent crop ar Fer- dinand Pecora, whose flashing in- vestigation of big financial names put across the securities and ex- change legislation. Now he is on the New York Siate Supreme Cour( Stephen Raushenbush headed the Senate Munitions Committee in- vestigation. Out of it grew the ballyhoo for the neutrality bill, public ownership of munitions fac- tories, and war-profits legislation. Now he is a motive cog in the Na- tional Peace Conference machiner Alger Hiss, one of Harvar brighter young lawye helped Rausenbush, as did Larry La- rouche. Hiss now is in the State Department reciprocal trade divi- sion, Larouche in the Indian serv- ice. THE PRESENT CROP Busiest of present investigators are Herbert A. Blomquist, head of the Lobby Committee staff; Max Lowenthal, master of the, hounds for Senator Wheeler’s Railroad In- vestigation Committee; and Robert Wohlforth, doing it for the Senate Civil Liberties Committee. They don’t come from the placid civil service ranks. Blomquist came (Continued on Page Five) L M. BEATTY Service Writer By MORGA AP Feature WASHINGTON, April 13 A revolut vy firecracker whose fuse has been sputtering in Mexico for a generation, has just exploded in the faces of American and British oil companies—and their govern- ments That's the Lazaro Cardenas’ propriate foreign oil holdings and empower native workers to run them in the name of the Mexican government, The fuse was lighted early in| this century when Francisco Ma- dero and a group of revolutionists or patriots, according to your point of view—promised to make the nation “Mexico for Mexi- cans.” meaning of President decision to ex- a BACK TO THE INDIANS First, they proposed to give the land back to the Indians. Indians and mestizos (half-breeds) com- prise close to 90 per cent of the population Next, they promised to kick out the foreigners and take over the! vast mineral resources of the coun- try—mostly silver and oil. The revolutionary causc seemed | hopeless in those days. Dictator Porfirio Diaz had been entrenching ruthless regime for a quarter ) He fostered accumulation of prop- erty by a comparatively few fam- ilies. He invited foreign capital to help him develop the country— in return for rich profits. RIPE FOR REVOLUTION In 1911, the fiery Madero and his revolutionists turned out Diaz, and set themselves to liberating Mexico. But Mexicans of 1211 e not ready for freedom. A succession of military conquests and uprisings followed. Each new president also had to keep a weather eye on the United States. Uncle Sam was policing the Amer] , and a revolutionist in bad odor to the north had better lock out for rivals who could smuggle in rifles or get money from people who had investmenis in Mexico. Moreover, a leader thrust into power by a military faction had to find quick money to run the gov- ernment and pay off his support- ers. The simplest way was to tax| landowners and foreign capitalists. He also needed popularity, and the popular thing was to promise to give the land back to the In- dians and drive out foreigners, | | THE DILEMMA Here ma. If a leader drove out foreign- |tion. Visitors will be extended wel- tence, |come at both services. (Continued on Page Four) | their forest capital,” Silcox said. The Chief Forester also declared that the per capita consumption of paper is increasing and that Rus- sia will use all the pulp she can produce within the next few dec- ades. INSURGENTS GOING DOWN TOWARD SEA Port of Vmaroz Is Next of Genel‘al Fl‘fln(‘O.S Objectives HENDAYE, Franco-Spanish Bor- der, April 13—The Insurgent arm- ies today blasted their way through the last of Government Spain’s defenses in the southern sector of the Catalan front. Insurgent forces are now driving downhill toward the little port of Vinaroz on the Mediterranean Sea. Elsewhere, however, Insurgents appeared checked, especially north- ward of the Catalan front toward |the French border. The Catalan front mountain bat- | tle has developed into one of the most brilliant tactical maneuvers of Franco's !‘ntlrc Catalan campaign BRITAIN PLANS FOR SAVING OF FUEL, WARTIME CLASGOW, April 13. — If war comes, Britain will power her vehi- | cles with gas as far as possible, con- serving gasoline for military use. Two methods are being developed —self-generating fuel plants fed by charcoal or coke and carried on the vehicle; bottles of gas which have to be replaced after they are exhuusted. Buses equipped with are already in operation The fuel plants are being manu- factured in Glasgow. The first of a chain of public fill- ing stations for gas-driven vehicles was opened recently at Chester- fiela. each type - e — LENTEN SERVICE SET TONIGHT AT LUTHERAN CHURCH Lenten devotional scervices will be brought to a close tonight in the Resurrection Lutheran Church with Pastor John L. Cauble speak- ing upon, “Returning from Beneath the Cross.” The service will begin promptly at 7:45 o'clock, and the general public is invited. Thursday at 7:45 p.m., Sacrament of the Lord's the Holy Supper Loyalist Spain Split by Drive of Insurgents bt T Smashing forward with terrific force, Gen Fran- cisto Franco's insurgent leaders were successful in driting a wedge between the rich-Gatalopian prov- ince where the coastal capital of Barcelona is lo- cated and the Madrid-Valencia sector. United State Strong Loy- Great Britain Warned that Japan Will Join Naval Building Pace; Boa CHINESE STILL HOLD JAPANESE IN FIRM CHECK Forces of Defenders Becom- ¢ ing More Versed Military Strategy SHANGHAIL April ing European military increasing skill, or en neces using the big swords of their an- cestors, the Chinese today tem- porarily, at least, stalled the Japan- ese war machine on the Central China front. The real test of the new Chinese !resistance is yet to come, but re- ports indicated that China has everything in her favor. Army observers say forces have the advantage in num- bers, and in geographical position Evident improvement in the train- ing of soldiers has been noted, with fresh Chinese troops now in front line trenches, well schooled in man- euvering of the European type. Japanese reinforcements, continue to pour into Shantu Province, which probably means a smashing drive to regain what left of Taierchwang, the long embatbled strategic town in Southern Shan- tung. CAPONE'S CASE HEARD IN WEST Legal Baltlte—(;\'er Release to Be in San Fran- cisco Court CHICAGO, April 13—Defense at- torneys announce that the legal battle to free Capone from Alcatraz Island Prison will be transferred Lo a San Francisco Federal Court The gangster is serving ten year: at Aleatraz for income tax evasion. The one-time gang leader’s moth- 14—Employ- tactics wit Chinése is |will be administered to the mem- er, petitioned for his release on the were the horns of a dilem- bers and friends of the congrega- ground that he served his sen- allowing time off for good | behavior. { TOKYO, April ¢ Marine Minister Yonai h warnea the United States’ and Great Bri- tain that Japan is ready to follow the naval building pace set by ihe larger powers, regardles: the cost Admiral Japanese of Japan de- of Wash- Yonai said plored the big navy plans ington and London. . How , the Nipponese Marine Minister ar ed, Tokyo would keep up with ar Al race in order to her navy on equal terms any other in the world The Cabinet officer said cently toured Japan's ship; munitions works. The trip. had convinced him that Te ble of winning any naval chose to ente; e, PARIS GROLP VOTES POWER ep h he ard; re- and caps race she TO DALADIER : Senate Askgt—o Give Pre- mier Unusual Powers of Decree BULLE —PARIS, April 13. —The French Senate has voted 288 to 1 to e Premier Dala- dier decree powers until July 3L PARIS, April 13 Finance to 0 to recommend that the Senate approved = Premier Daladier’s bill giving the Cabinet powers to gov- ern France by decree until July 31 The bill was approved by the Chamber of Deputies yesterday, 508 to 12 Premier Daladier said he was de- termined to end “political strikes.” He told the Senate Finance Com- mittee that one of his first derees would be to require a government rolled vote of all workers be- fore any strike is declared. Strikers are beginning to return — The Senate 5 S to work in aviation plants, fearing they will be mobilized and sent back to work as soldiers - Baron Joseph Lister, founder of antiseptic surgery, was born at Up- ton, Essex, in 1827, , Committee voted today 35° MEDIATOR AND UNION LEADER PREDICT PEAGE Proposal Based on Cheney's Plan of 1936 Wage and Fact Finding Commission COMPLETE ACCORD IS REACHED SAYS MARSH Senator Walker Sends En- thusiastic Comment on Settlement to Governor SEATTLE, April 13—Members of the Alaska Fishermen's Union in Seattle and Bellingham Wwill vote tonight on a formula for a peace pact that it is hoped will end the deadlock between the canneries and labor that has threatened to close Alaska salmon canneries for the 1938 season. The proposal provides that the men will work on the basis of the best offer of the packers until such a time as a fact finding com- mission determines if packers are financially able to pay more. Pro- vision is made in the proposal that if the commission’s findings are favorable to the fishermen, the can- ners will pay up to ten per cent increase over 1937. The men will go to work on the 1936 scale, which is ten to twenty per cent under 1937, alist fortifications between Lerida and Barcelona checked the rebel advance in that direction and are experted to be the scéne of the next major struggle. Franco 1s demanding threat of new and merciless attacks on Barcelona unconditional surrender on LUCAS TAKES LEAD IN RACE ILL, SENATOR Gov. Homer s 'acked Can- didate Appears Win- ning Over Igoe CHICAGO, 1ll., April 13.—Repre- centative Scott W. Lucas, backed by Gov. Henry Horner's recently developed power cratic politics, has assumed a grow ing lead in the Democratic Party’s Senatorial nomination over Michael Igoe, United States District Attor- ney, adherent of the faction dom- inated by Mayor Edward J. Kelly, Chicago, and Democratic Na tiongl Committeeman Patrick A. Nash. of Has 25,000 Lead Lucas, who is serving his second term in the National House from the district of the late Speaker Rainey, held practically a 25,000 lead early this afternoon as returns were counted from 7211 of the State's 8,286 precincts from yester- day’s State-wide primaries for| United States Senator, 27 Congr men, three State officers, Legisla- ture and county officers., Igoe scored heavily in County but the “down State” is cutting into him. How They Stand Luca's early afternoon vote is approximately 674,000 and Igoe's vote 649.000. Both Democratic fac- tions had the support of President Roosevelt Political experts attribute the huge total. Democratic ballot to Rt‘pul)- lican voters who crossed the pa lines to participate in the heate Democratic internal fight. State Senator Richard Lyo ter foe of the New Deal, of the Republican Senatorial nom- Cook vote is ‘| ination. Attempted to Get Large Sum From Ford, So DETROIT, Mich., April 13 A Federal grand jury has indicted Wesley Earl Gray, 22, arrested last month in Texas on a charge of at- tempting to extort $10,000 from | Henry Ford and son, Edsel. in Illinois Demo- of | but | wherever justified. Proposal Recommended George Lane, publicity chairman for the coordinating committee of the Maritime Federation of the Pacific said the preposal had been recommended to the union for adoption. Collector of Customs Saul Haas, member of the committee which has been working on a settlement of the wage dispute between the canneries and union, announced that the plan for settlement was based chiefly upon the proposal made Monday by Federal Mediator Joseph Cheney. Bonls May Leave Saturday nion leaders said today that buuu could begin leaving for Al- aska Saturday. Ernest Marsh, Department of La- bor Conciliator, forecast acceptance of the peace proposal. “Operators and labor union lead- ers seem to have reached complete accord,” Marsh said. The peace proposal reached at a conference last night applies to cannery operations in all sections Alaska except the Bering Sea and part of Bristol Bay, agreements for which are negotiated annually at San Francisco. Amendments Suggested Two amendments to the original settlement formula offered by Med- iator Cheney were made by the unions, according to George Lane. The first amendment would re- quire that the fact finding board have access to cost and sales rec- ords pertaining to the 1937 pack and also to investment and la- bility records and “any other per= tinent information.” The second amendment would not limit the maximum wage award to the 1937 schedule as maximum, would give boosts or cuts, The proposed amendments were submitted by the Machinists and Radio Telegraphists Unions and will be voted on today by the (Continued on Page Eight) Vernon Spencer s Acquitted of Charge, Murder SAULT STE. MARIE, Ont., April 13.—The former New York Giant outfielder, Vernon Spencer, has been acquitted of the murder of a Pontiag, Mich., stenographer, Helen Grier. A jury brought in a verdict of not guilty after deliberating less than four hours. Justice McTague had told the jurymen before they retired that his conscience would never permit him to convict Spencer on the evidence presented during the trial. The prosecution charged that the ball player shot Miss Grier last October in a secluded cabin. The defense claimed that the Michigan woman took her own life, L