The Daily Alaska empire Newspaper, December 15, 1938, Page 1

THE DAILY “ALL THE NEWS ALL THE TIME” ALASKA EMPIRE VOL. LIIL, NO. 7975. JUNEAU, ALASKA, THUR SDAY, DECEMBER 15, 1938. MEMBER A SSOCIATED PRESS PRICE TEN CENTS TWO DEATHS ON PATTERSON VE RIFIED France Arms to Fight Both Germany, Italy Greal B“dgfi' ;Hull and Landon Play on Ship Handed Today To Parliament Almost Eight Hundred and Twenty Million Dollars for National Defense ARMED FORCES TO BE INCREASED TO LIMIT Warning ls Given Italy by Foreign Minister Bon- net in Public Talk PARIS French Arms w. War was warning to Germany and Italy she will fight to protect her Empire. Ordinary and extraordinary bud- gets apportioned almost eight hun- dred and twenty million dollars to the Nation’s armed forces. The sum represents 65 percent of the Govern- ment’s estimated 1939 income. The money will go to build the French Navy that will rival the combined fleets of Italy and Germy and in- crease the personnel, also speed up airplane construction, and buy | better guns and -improve fortifica- tions. “Italy must understand” she never will have an inch of any part of the French territory, no matter what means she uses,“ Foreign Minister Bonnet told the French Foreign Af- fairs Committee of the Chamber of Deputies. Dec. 15. The greatest Budget since the today presented e HIT AND RUN ATTACKS NOW PLAN, CHIANG Chinese War Lord Consoli- dating Forces with | MORRISONIS GIVEN MEDAL Secretary of State Cordell Hull looks on seriously as Alf M. Landon, Republican Presidential nominee in 1936, takes his turn at shuffle- board on the steamship Santa Clara bearing the United States dele- gation to the eighth Pan-American Conference at Lima, Peru. 'GERMANY SLASHES FOREIG DEBT AT EXPENSE OF U. S. INVESTORS Dept. of Com. |Cabinet Official Desires fo | Return to Privafe Life, Personal Reasons PRESIDENTS RESPECTS HIS WISHES, ACCEPTS Second Membe_r of Official | Family fo Leave Position During Recent Months 'ON, Dec. 15.—Presi- dent Roosevelt has accepted the resignation of Secretary of Com- merce Daniel Roper, effective December 23 In a letter WASHINC the President said he knew of the “impelling personal reasons” that prompted Secretary Roper to ask that he be relieved of his duties. “I accept very sincere President | The White House said Secretary Roper has wanted for some time to return to private life and attend to | his personal affairs. | Secretary Roper’s letter of resigna- | tiorr distlosed that he has expressed to the President on several occasions ~——— since March 4, last year, “my desire N to return to private life in order to the with regrets, resignation wrote give needed attention to my personal affairs which I am not able to do while in public office.” Attorney General Cummings also resigned to enter private practice. A, J. PROFIT BELOW THAT OF LAST YEAR 1 Monfhsfioris Shows Production Greater Income Less ) 'ON GROVER | HINGTOR, Dec. 15.—Freshly home from Germany, Ambas- Hugh Wilson at once put his finger on a choice little piece of in- ternational sleight - of -hand by which Germany is wiping out much WA called sador RoperResigns As Secrefary of the | Communists, Report | KWEILIN, Dec. 15.—Generalissi- mo Chiang Kai Shek has disclosed a swing toward the political tactics of the Chinese Communists in a new program to combat the Japa- nese invasion. | Chiang has summoned a political | and military conference in further ance of his plan, one purpose r ported to be to purge the Govern-| ment of “defeatist elements,” before | embarking on the secord phase of | his hit and run attacks on the Jap- anese throughout the occupied ter- ritory. Chiang characterized the new po- | litical program with a slognn‘ “Arousing the masses is more im-| portant than battles. Chiang is quoted as being more | confident of ultimate victory now | than at any time since the war | started. — et SOVIET UNION BUIDING FOR SEA STRENGTH Naval Handbook Reveals Construction Program to Command Baltic | BERLIN, Dec. 15—Weyers' Naval | Handbook says Soviet Russia is making an earnest attempt to be- come the dominating naval power in the Baltic. The handbook credits the Soviet Union with building three battle- ships, two with tonnage of 35000 and the third with a tonnage of 40,000 pounds. The battleshps will | be armed with 16-inch guns and| these would equal or surpass, in size, | those of any battleships now in! service in the navies of the world, FOR HEROISM Signal Corps Man Award- ed Honor for Rescuing Sweum at Taku WASHINGTON, Dec. 15. The War Department announced today the award of the Soldier's Medal for an act of heroism to Malcolm E. Morrison, private first class, U. S. Signal Corps, for rescuing a com- panion from drowning in the glac- ier-cooled waters of Taku Inlet near Juneau last June 9. Malcolm Morrison, born in Haines, was stationed here with the Signal Corps for many years and is now in the Seattle office. The heroic act took place last summer when young Morrison was on a fishing trip with Ed Sweum and their boat capsized. Sweum was overcome in the water and Morrison, a small man, swam with Sweum to shore and took care of him until rescuers arrived. Stock QUOTATIONS NEW YORK, Dec. 15.—Closing quotation of Alaska Juneau mine stock today is 9%, American Can 982, American Light and Power 5%, Anaconda 35%, Bethlehem 5%, Commonwealth and Southern 1%, Curtiss Wright 6%, General Motors 50%%, International Harvest- er 60, Kennecott 44'x, New York Central 19%, Northern Pacific 11%, Safeway Stores 27%, Southern Pa- cific 19, United States Steel 66'%, Bremner bid 1 asked 2%, Pound $4.67%. - DOW, JONES AVERAGES The following are today’s Dow, Jones averages indusfrials rails 31.10, utilities 22.38. Steel | 151.82, 1 of her foreign debt—at the expense of Yankee investors. | German financiers have invent- ed more new financial tricks than the world ever has known in order to put herself in fighting trim, but her methods of ducking interna- tional debts are not new in any . From time to time such tac- tics have been tried by private American concerns, bringing on no| end of public condemnation. Germany pegan faiing in her bond payments back in the twenties and this government sent Charles | Dawes, Owen D. Young and other financial wizards over there to help pull the country out of the hole.| Each time new foreign money, in- cluding some from America, W lent to Germany in an effort to re- | ! vive the country. By 1930 the Am-| erican loans to Germany had reached a peak of $1.200,000. Then the present series of defaults began. In that year $100 bonds slipped to a low of $76, and by 1931 ranged | from a top of $97 to a low of $27.| Present values on various issues| range from $20 to $30. Then began the German maneuvers which| financial men have called, names ranging all the way from plain | chiseling to rank international dis-| honesty. \‘ BONDS DROP—GERMANS BUY | Shrewd German investors started | puying up the German $100 bonds | in this country at $20 to $30. They | were able to get thema at these low | prices only because Germany had | jolted down the value by failing to| pay interest or principal on them.| Of the original top value of $1-| 200,000,000 of German bonds sold| in this country, it is estimated in reliable quarters here that $500,- 000,000- have been bought back by German investors at a total cost to them of perhaps $100,000,000. That means that American inves- tors have taken a loss of $400,000,1 000 on the operation. | Of the German bonds sold in this| country $725,000,000 still are out-| standin i (Continued on Page Five) % SAN FRANCISCO, Cal,, Dec. 15.— Average gold recovery of $1.12 a ton brought Alaska Juneau operat- ing profit to $1,907,500 for the first 11 months of this year, according to report made tod: Production of 4,273,280 tons of ore was somewhat greater than the same period n 1937 when 4,082940 tons averages $1.21 a ton, and left an operating profit of $2,307,500. EASTERN SOCIETY GIVEN REAL STIR Patent Medicine Heiress Is fo Wed Heir fo Tin- plate Forfune PALM BEACH, Florida, Dec. 15.— This southern outpost of eastern society was stirred last night by the announcement that Gloria Baker, patent medicine heiress and much feted New York debutante last sea- son, would wed Henry T. Topping, Jr., heir to the $14,000,000 tinplate fortune. ICKES IS NOT A CANDIDATE FOR CHICAGO MAYOR WASHINGTON, Dec. 15.—Secre- | tary of Interior Harold L. Ickes said today that he is definitely not a candidate for Mayor of Chicago next year on the Liberal Democratic ticket. The decision not to be a candidate was influenced by the request of President Roosevelt who asked him to remain in the Cabinet. g, and of these it is estimat-{ "y o "aaiq if he had chosen to|visit Mrs. Jensen’s father in Los run he is sure he would be elected, Garner Is Boomed for Presi | | | Vice President Jchn Nance Garners’ boyhood nds gathered before ‘ where Garners' mother was born and with signs and aged but sturdy mate for candidacy for President of the United tes in 1940, OFFICERS ARE DESERTING GEN, FRANCO FORCES Offensive H’érld Up Because. Plans Made Known to Loyalists HENDAYE, Dec. 15.—Reports that Gen, Franco’s offensive is held up because of Insurgent officers who crossed to the Government lines with complete plans for the drive. This caused great excitement the border regions, Insurgent sources hotly deny the | | reports, declaring the drive will bo| |launched on schedule 1 The Spanish Government spokes- man said the Loyalists are kept well advised on Insurgent plans only from two fronts. | ATTACKS ARE : Princess Rewards A Girl Clerks for Finding Ring NEW YORK, Dec. 15—~Two young wemen, department store clerks, found a $15,000 diamond ring belonging to Princess Doris Fcerid es Sultaneh, of P s and were rewarded with $500, de- spite the store rules. The Prin- ce: sisted that the two g take the money and to be sure they received it, deposited $250 for each in a bank and gave them the deposit books. -oo STATES START JOB INSURANCE PAYMENTS 500N Six Million More Workers Expected to Be Af- fected by Action ir LAUNCHED | HENDAYE, Dec. 15 Spanish | Insurgent forces this afternoon | launched simultaneous attacks| against the Government lines on the Northern and Western fronts. The attacks were accompanied by heavy 3 ; artillety bocibardments. Batiacies i) WASEINGTON, Dec 15—Federal the mountains near Temps hr-gau\"“d state system of unemployment raInkiE’ Shetls; on Government forti- | compensation will be extended with- ToRiEEiL 4 t-Geo s Urgel, Aniportant | D the next few Waeka 1o «slx mi SounEA IOy lion more workers, including those sower for Barcelona, | hist oity of i sl |in Alaska where it is estimated there { Infantry opened attacks near Val- are 23,000 workers with $641,000 in sequillo, about 30 miles west of the unemployment trust fynd. Poto Blanco. Cannonading is 50| loud that French residents on the other side of the frontier easily hear bursting of shells. oo MRS, ROOSEVELT IS MEMBER OF INSURANCE FIRM Xmas Decorations nemero o | Making Appearance Franklin D. Roosevelt will enter the | praniin D o s | 1N Homes and Shops The extension means that all the States and Alaska with the excep- tion of Montana, will start paying unemployment insurance the first of the year. Previously only 29 states were paying. Alaska starts payments the first of the year and Montana will start payments in July - | Mrs. Roosevelt will not sell insur-| |ance policies but will protect the interests of her son Jimmy, White| The holiday season is | House officials said, and that it is!ficially inaugurated here with eve her purpose in accepling member- | green bows appearing as outside ship to the Board of Sargent and| decorations for practically every | Roosevelt, a Boston firm formed by | shop in the city. young Roosevelt and John Sururnli Colorful lights, silvered trees, off |in 1931. Mrs. Roosevelt will receive set by gift suggestions, adds variety |no salary. to the window displays in Juneau. > ‘ Lights on the Douglas Brige tells JENSENS ARE LEAVING |of the holiday spirit, with numerous FOR TRIP TO § S| wreaths of holly and greens making their appearance in many local Mr. and Mrs. Marcus Jensen are home windows, and the usual Christ- leaving tomorrow on the North mas tree program, under the super- Coast for the south to be absent for vision of the Juneau Woman’s Club, four to six weeks. They will visit scheduled for next Sunday afternoon Mr. Jensen’s parents in Minneap- at 4 o'clock. | olis, then return to the coast and| Juneau is ready for Christmas |while all await, with anticipation, Jthe weather man’s report of “snow.” Angeles, dent in 1940 | | | RESCUE WORK AIDED TODAY WITH MORRIS | Local HalithSkipper fo the log cabin at Detroit, Texas, voices boomed their childhood play- ILLICIT FUR RING BROKEN IN INTERIOR Graphic Taie Unfolded in Apprehension of Five Men, Mt. Foraker After a 600-mile trek by ski and snowshoe and dog team into the forbidding, rugged and dangerous country lying between Lake Min- chumina and the northwest border |of Mount McKinley Natlonal Park | where the roaring torrents feed in the headwaters of the Kuskokwim, | wildlife Agent Jack Benson of McGrath reported to the Alaska Game Commission today the break- ing up of an alleged illicit fur trapping ring, one member of which is alleged to have dared the Agent {to come and get him | In a communication to Executive |Officer Frank Dufresne, Benson re- |ported the arrest and conviction of Archie Holstrom, 27, and Jim Sillib, 59, and the arrest of three others who are being taken into | McGrath by plane to face trial on | charges of pre-season trapping and trapping marten on which there is a closed season. Sillib demanded a jury trial, Ben- son reported, and authorities from Fairbanks we flown to McGrath to try the case. He was convicted by a jury of possession of illegal marten and sentenced to 90 days in jail and fined $250. Holstrom, 27, pleaded guilty on a similar |count, and was fined $100 and sen- tenced to 30 days in jail. The |three yet to be tried are Bob Stone, |and trappers by the name of Akers |{and Wood, Dufresne said | Prior to the opening+of the trap- | ping on, Stone is alleged to have dared Benson in McGrath to |come into the wilderncss country | where he and the oth run their !lines, Dufresne reported. Accepting |the open challenge, Benson, accom- panied by Wayne House, around the first of October began his push into the rapidly freezing wilderness where no game agent had ever be- being of- fore gone. A graphic tale of their | | battle with the elements, of push-|with President Roosevelt, whether ing far up around Mount Foraker into McKinley Park, over miles and |miles of trap line to gather their |evidence and, in the terms of the | mounties “to get their men,” is un- |folded in the account Benson has submitted to his chief here. It is a story of two months of match- ing wits with hardy, rugged men,| who knew their country and were | alive to the circumstances of the| |chase, Dufresne said, in paying |tribute to Benson and House for | their work. e, | Seven thousana growers have ap- plied for wheat crop insurance in | six eastern states, Pilat Guarcer fo Un- charted Harbor SURVIVORS REPORTED IN POOR CONDITION Simmons Is Tuoed Back- Guides Leave on Cuf- fer fgr Scene BULLETIN-—-The cutter Hai- da radioed in this afternoon that rescue efforts are still at a standstill with a “moderate scutheast gale blowing and a heavy sea runnimg.” It was verified today that tweo deaths resulted in the wreck of the motorship Patterson north of Cape Fairweather, Chief Officer Gustaf Swanson and seaman James Moore having been washed overboard and their bodies, unrecovered, according to flashlight messages received by the cutter Haida from survivors on the beach last night. Morris Sails The Coast Guarder Morris, Lt. H. F. Garcia, commanding, returning to its Seward base from overhaul in Seattle, docked in Juneau this morning to take aboard local pilots, a doctor, medical supplies, and three guides who took to the air for Lit- uya Bay and overland hike this morning with pilot Sheldon Sim- mons but were forced back by a sleet storm off Cape Spencer. Sandvik To Pilot Captain Tom Sadvik, skipper of the halibuter Norland, and Captain Tom Smith of the Yakobi, both well known veterans of Alaskan waters, were taken along on the Morris today to pilot that shallow draft patrol boat to an unchartered anchorage within seven miles of the stranded Patterson crew. Captain Sandvik, loath to accept any honor for having been chosen as pilot for the Morris, said he had anchored a number of times within three quarters of a mile of shore just north of Cape Fairweather where the breaker line obscures a “little hole in the wall.” . It is Captain Tom Sandvik’'s be- llef that with favorable wind condi- tions, a landing can be effected at this point with surf boats and the survivors taken aboard the Morris. May Land Lituya If the landing is impossible, the (Continued on Page Eight) - PROGRAM FOR CONGRESS IS SHAPING UP Not BelievJA—ny New Bx- periments Will Be -7 Llaunched WASHINGTON, Dec. 15—A braoad | hi o Roreovelt Administras * tic may concentrate on existing | measures in the new Congress rather than on launching any new experi- ments, came from Senator Alben W. Barkley, majority leader. Asked after a conference today new legislative items will be offered at the approaching session, Senatof Barkley said “I doubt it. I don't know of anything in particular ex- cept what 1ight be done to existing laws in correcting them and amend- ing them to make them better.” SHOPPING DAYS TILL CHRISTMAS