The Daily Alaska empire Newspaper, February 26, 1940, Page 1

i HE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” VOL. LV., NO. 8346. . JUNEAU, ALASKA, MONDAY, FEBRUARY 26, 1940. AIR SERVICE DEMANDED FORALASKA Esiablishméfitiof Seattle- Juneau Line Strongly Advocated GOV. GRUENING AND DIMOND AT HEARING Both Declare Line Will e, Worth All It Costs U. S. Government WASHINGTON, Feb. 26—Gov. Ernest Gruening, of Alaska, today | urged the Civil Aeronautic Author- | ity to authorize the establishment | of the Pan American Airway Serv-| ice between Seattle and Juneau.| This was done at the hearing which was scheduled for today. Gov. Gruening said the present facilities cannot supply the needed service. | The Alaska Executive traced the| expansion of the air services over the Atlantic and Pacific and said one gap left a lap and “we want it closed.” | Crisis Is Faced Gov. Gruening said: “Alaska faces a crisis as shipping companies have | tried to get additional ships on| the route north unsuccessfully. This| air service is indispensible to Al- aska and we should have had it' ye ago.” | Gov. Gruening said the servicel el will be worth all that it costs : the Government. He said the com- F'RE MuRDER pany has estimated the need of DEATH, SHOT the air mail and asks for a sub- sidy of $330,000 yearly and will Lover DeniesBurning Body of Nosler in Tacoma CLIPPER PLAN be worth all that it costs. He further said no provision was made for the service in the' budget this r but members of the House passengers weekly using the route death of her husband and the ar-| and he believed a daily service rest of her old lover, fireman John would get at least 30 passengers. |Ord, was operated on yesterday but| Type of Plane is still in serious condition. ‘ Apprepriations Committee told hlmi Harold M. Bixby, Pan American| Mrs. Nosler underwent an ab-| vaer There Troops in the third Canadian contingent bid fond farewells to their families and sweethearts before leaving Quebec for England. The Cana- dian troops are being given additional training in R sent to France for active service. OUT BERMUDA; SEIZUREOF MAIL BY BRITISH IS CAUSE ST. MIHIEL ’ T0 FREIGHT | BASE CARGO Al Shipments Are fo (50‘i Through Forf Mason for | Fairbanks Project | ONLY LUMBERWILL BE LOADED ENROUTE Offcials Say No Definite Action Taken Yeton | Anchorage Plan ‘ SAN FRANCISCO, Cal, Feb. 26. —Shiploads of material for the Army air base at Fairbanks, will| leave Fort Mason here approximate- | ly every 25 days, beginning April | 1 and should be completed within a year, according to Major E. M. George, constructing Quarwrmaster.‘ Major George said the Army transport St. Mihiel will be util- ized and indicated he is going to " Fairbanks sbon, commenting, “The War Departments orders” that bids | for materials other than lumber| be based on delivery here rather! than the Pacific Northwest. i Major George said such a p]nnk will “let us make the utmost use of our own facilities” and pointed out the Army had its own docks,| warehouses and repair facilities in| Fort Mason to expedite shipping. | “But we'll pick up lumber on the way,” Major George said, “be- ritain before they ars ES T0 CUT MEMBER ASSOCIATED PRESS PRICE TEN CENTS S Russian gunners who fell in the like over them are the long barrels of guns they had manned. The their would-be conauerers as BIGGEST MORTGAGE HOLDER MISS SYBIL REPORTS ON HIS BUSINESS: GODFREY IS FORECLOSURES BEING MADE MISS JUNEAU After Rout of Red Army at Suomussalmi > T ” T i carnage at Suomussalmi lie grof they routed the Reds’ By PRESTON GROVER WASHINGTON, Feb. 26.—Uncle Sam, who holds more mortgages on American homes than anyone ¥: cause that kind of car doesn't | ; g . 3 NEW YORI, ‘HE0, |30 SR0pe Shd 1o ba m. o the held! Ry i o i bound American clipper planes, go gaid the plan was “direct b ind'cl:u\' . ~gw|lcl el "dl:)? after March 15, will Skip Bermuds, “fron the War Department. T have ooy mamers for o long tme. where the British censorship 1as ¢, evecute my orders.” slow paper” for a long time. resulted in seizure of United States pne Fort Mason office said an- This report covers only the Home mail and which aroused & StOrM giher air base is under considera- Owners Loan Corporation, which of criticism. tion at Anchorage, but no defin- began in 1933 to absorb 1,017,000 Pan American Airways announce- jr. action on the plan has been mortgages that were sour. The re- port does not include such agencie ment came only three days after g,yan publication of news stories that oL, as the Federal Housing Adminis- a consignment of United States tration, which currently is insur- mail was seized at Bermuda by ing mortgages on many new houses British Marines. AlA A I E HOLC began bailing out dis- The announcement said direct tressed home owners at the bot- flights from the United States to Horta, in the Azores, are now pos- IN NEW BILLS tom of the depression. It put $3,- 093,000,000 into the home-rescue business, about $3,000 a home. sible because a better weather re- porting service -is available. | 0“ "AVIGATION\ As a mortgage holder, Uncle |Sam is a softie. He mingles relief NEW BRITISH WORRY o Ao with business. He has to, or he would have four or five times as Lonnox, Feb. 25—bucontinu’ Thrag Measures Are Being American clippers | Drafied by Senate eastbound Pan gave a new worry to the British | many dispossessed homes on his I hands as he has now. But even so he has foreclosed or is foreclosing on 165,000 homes. The rate of Government seeking to sift Unit- furnish two round trips each week from May 15 to Octobér 1. Dimond Makes Appeal Alaska Delegate Anthony J. Di- mond said the air mail service will Triangle Case a deficiency appropriation will bel g made if the certificate is issued to| TACOMA, Wash., Feb. 26.-Mr>v| the line. 3 Hale Nosler, critically injured in: Delegate Dimond said the sum- a strange wedding night fight last mer service will find at least 300 Friday night which resulted in the Vice President, testified that tests have been made on the route and the company had decided that the Boeing type 307 planes would be | best suited. CONTINUANCE IS | MOST NECESSARY| Secrelarm State Hull! Gives Warning-Hits U.S. Senafe - WASHINGTON, Feb. 26—Secre- of State Cordell Hull today de- d that continuance of the re- ciprocal trade program is necessary to help establish sound conditions in the world after the European| wars are over. Secretary Hull is jubilant over the | approval of the Administration’s bill by the House, which was given at a session last Friday night by a vote of 216 to 168, and told the Sen- ate Finance Committee today that “even a temporary abandonment of the program would be construed everywhere as its permanent aban- 1ment.” e - — COURT REFUSES REVIEW CASE OF GUILTY JUDGE WASHINGTON, Feb. 26. — The Supreme Court has denied Martin Manton, former Senior Federall circuit Court Judge of New York. his request to review his convic- tion Manton was found guilty of the charge of conspiracy to sell ju-| dicial favors. ) d 3European WELLES [N | belligerents.” dominal operation for gunshot. ed States mail to Europe through Physicians said she has only a fifty-| contraband Control and censorship. fifty chance to recover. Ord, in a confession, denied pour-‘[opcmng loopholes which the Brit- ing gasoline and setting fire to Nos- | jsh are trying to block for the He said the fire started | pagsage of dollars or military in- when a heater was overturned | formation to the Germans. —ee——— 2 %) Neufralsin =~ ROME:TALKS BigfiSessionr WITH CIANO Scandinavian Countries fo U. 5. Under Secretary of Attempt fo Avoid War State Going to Al Enfanglements Europe’s Capitals | ROME, Feb. 26.—Sumner Welles, COPENHAGEN, Feb. 26—Scan- | Under Secretary of State of the dinavian neutrals sought to avoid United States, conferred for an hour becoming entangled in the European jaifd a quarter with Italian Foreign wars at a week-end conference and 'Minister Count Galleazzo Ciano, af- they agreed to “support each other (ter which he said he had a “very mutually in negotiations with the gratifying and helpfwyl conversa- tion.” Foreign Ministers of Sweden,! The presence of Welles in Rome Denmark and Norway also express- attracted scant attention among the ed the hope the Finnish-Russian |Italians as a whole, most of whom war could “be brought to a peace-fare ignorant of his visit. ful solution which will preserve full | Welles is visiting the Capital independence for Finland.” |cities of Europe as the personal > — representative of President Roose- !velt. obtaining information regard- |ing the European situation and this information will be given direct to Former Mayor of : | President Roosevelt and Secretary Sea"'e Is Dead:or State Cordell Hull It is believed Welles will leave to- morrow for Berlin for a conversa- LOS ANGELES, Cal, Feb. 26— tion with Fuehrer Adolf Hitler. The funeral of Harry White, twice —————— - Mayor of eattle, was held Saturday.| MURPHY SAILS Officials are not commenting on| White died at the home of a sis-| ter following a long iliness. He was 80 years old. Dupont man R. E. Murphy sailed for Ketchikan on the Yukon on routine business. Subcommittee WASHINGTON, Feb. 26.—Three flood pro- $400,000,000 for navigation, |control and many waterway ate Commerce sub-combittee Senator Josiah W. Bailey, of North Carolina, chairman, and all hmve the best chance for passage. Alaska items included in the bill lare for Sitka harbor, Wrangell Narrows, $2,731,000; Mey ers Chuck harbor, $25,000; and Met- |1akatla harbor, $125,000 Terrific ~ Torpedoing . By U-Boa ?Commandertl?ediied with Sinking 16 Ships, To- fal 115,000 Tons BERLIN, Feb. 26.—The German High Command today credited a returning submarine commander, Lieutenant Schultz, with sinking 35,000 tons of shipping on his pres- ent cruise. In all, Lieut. Schultz and his U- Loat crew is given credit with hav- ing torpedoed and sunk 16 ships with a tetal of 115.000 tons. e MANAHAN LEAVES Walter Manahan, Assistant Man- ager of the Northland Transporta- tion Company, sailed on the Yu kon for Ketchikan, completing his turn of Southeast Alaska ports in connection with company business, omnibus bills authorizing more than| | jects, have been drafted by the Sen-| members of the sub-committee said titey believed the navigation bill wi]l; foreclosure is increasing. How fast is will increase, says John H. Fahey, chairman of the agency depends largely on economic con- ditions of the next few years. IT'S GOOD BUSINES “Since the passage of the Mead amendment authorizing the exten- sion of loans to a period not ex- ceeding 25 years,” says Fahey “our field offices have been reviewing |all cases in which foreclosure seemed inevitable in an attempt | to relieve to the utmost the burden of these borrowers and prevent every possible foreclosure. 3 | “It is merely a question of wise | social service in going the limit, | within reason, to prevent fore- closures and to save these homes | for these people. We ought to pre- | vent every foreclosure we can S just as a sound business proposi- | tion.” Nevertheless, foreclosures go on at the rate of more than-a thou- sand a month. Just now they have | hit a low of 800 a month, but Fahey estimates they will amount to 14,000 in 1940 Losses on foreclosures average about $900 a home, for a total loss of $66,896,000 on those already re- sold. Ordinarily, HOLC does not take a deficiency judgment against fore- closed home owners. There are ex- ceptions. Any borrower who has been a pain in the neck to the or- ganization is likely to be pursued by a deficiency judgment. WE'RE RESPONSIBLE PEOPLE However, says Fahey, “the ex- perience of the HOLC has demon- strated all over again that the great mass of the American people respect their obligations and will meet them, if you give them half a chance.” Nevertheless, in the cases oi the borrowers with accounts still out-! standing, HOLC has to pet along 352,000 to keep them out of trou- ble. That is nearly half the num-|was born in Juneau, at 635 Main| ber outstanding, Most of these are always in trouble over their af- fairs and must be picked up and straightened out every few months, Others bought houses far too fancy for their purses during the boom. A fair number chisel until the axe gets them So, as it stands now, the gov- ernment has bought 1,017,000 bad tesquély stiffened in the snow. Tomb- Finns turned the captured cannon on 'FINNS LOSE STRATEGIC ISLAND FORTS __ KOIVISTO 1 GUNS ARE ~ (APTURED ‘Russian Vid:r; Puts Mén- | nerhem Line in Vul- | nerable Position 'FINLAND DECLARED READY FOR PEACE ' ‘Soviet Land Forces March- | ing Within Few Miles of Viipuri HELSINKI, Feb. 26—The Fin+ nish High Command acknowledged today that Finland has surrendered the Islands of Koivisto, armed with great coastal batteries anchoring | the western end of the Mannerheim — | Line. | The strategic islands, 20 miles | south of Kiovisto itself, will pre- 1sumab1y give the Russians an ad- | vantage in the drive on Viipuri, | Pinland’s third largest city, aiding | attack from the sea as well as from the land. Russian land forces have already driven on the isthmus to within seven and a half miles of Viipuri, according to the admission of the Finns tthemselves. | The Pinnish spokesman in Lon- |don declared, “Finland Is always us Choice of ™ o Pecy” e ————— | | - OFPAJALA feet three aud one-half inches, tall, 110 pounds, with brown hair {and blue eyes—will represent the| Capital City as “Miss Juneau” at the | ADMI ED Fairbanks Ice Carnival next month. | She was chosen from among ten 44th Division iU nanimo | Judges fo Represent City at Ice Carnival Sybil Godfrey—20 years old, five local girls who participated in a — style show and beauty parade at H H suvle show and beauty parsce = Two Russian Pilots, Now evening. ! . Miss Godfrey received the unani-| war P"soners' Make imous first choice vote of all nine; [Judges of the contest. 1 S'a'ement A week from tomorrow “Miss Ju-| s——" neau” will travel by PAA Electra| COPENHAGEN, Feb. 26.—Danish to Fairbanks to take part in the Newspapers print reports from Ice Carnival festivities and to vie| North Finland stating that two with beauties from other cities of |Russian pilots, now prisoners of the Territory for the title of “Miss | War, admitted participating in the | Alaska.” }bomhmg of the Swedish village of i Born in Juneau | Pajala last Wednesday. The prisoner-pilots said It will be Miss Godfrey's first| they b and squirm visit to Interior Alaska, though she (has been Outside several times. She Street, and was graduated by the Juneau school She lives with her I mother, Mrs, May D. Godfrey, at 1819 Gold Belt Avenue. For the past "two years Sybil has been society | editor of the Daily Alaska Empir In the style show “Miss Junea |wore a black taffeta “Gone With | the Wind” gown from Leota’s and ! was encored in a gold bathing suit. mortgages. Of these, 62,485 bor-| Other girls who participated in rowers have paid off all their the style show were Naomi Forrest, debts. Another 165,000 were fore-|Maxine Jacobs, Bettye Kemmer, closed. Fahey says 789,500 ac-|Virginia Powers, Liella "Tucker, counts still are on the books. That| Gloria White, Betty Wilms and totals 1,016,985. We are short 15 homes, or mortgages, or borrow- ers. Don't ask us where they are. Ask Fahey. They probably got lost in an “approximately.” f In Helsinki's Hofel Kaemp People Comeand People Go; Everything Always Happens | AP Feature Service HELSINKI, Feb. 26—Helsinki at i“” is scarred by bombs, cold, blacked out with a blackness you | find nowhere else with your eyes | open. ‘The darkness wraps around you It fascinates and misleads you. You see lights where there are no lights. You see shapes where there is only darkness. You step up on a curb, go 53 steps forward and turn left. There's | no light here, but you know when have arrived. brass buttons swings open the door. you A man with You're in the Kaemp Hotel—where communiques and official reports are given to the press. It is an old, dignified hotel with a “Man- nerheim suite” now alive with the | noise and madness that war brings, On the right is the dining room where old friends meet and new ones are found. Statesmen and army officers eat across the table from common soldiers. Waiters serve a company of well-dressed women, chauffeurs, spies, cabinet members past and present, clerks, war-weary citizens, The talk is of bombs and battles. Campaigns are planned and panned \égnnnued on Fage H;) (| identified judge: | Edythe Young Unanimous Choice | Votes were cast by the nine un- on the basis of five | points for the first choice, three for _|the second and one for the third On the very first ballot, 45 points were marked up for Miss Godfrey. !The other points for second and | third choice were about evenly di- vided among the other entrants. | The judges were all members of | the Juneau Chamber of Commerce land none were related to, or had | any personal int in any can- !,dxdnte Members of the committee, ‘Continued ~n Page Eight) \ { ?Duke of Kent | Mentfioned for /Canadian Posl | LONDON, Feb. 26.—Speculating on the choice of a successor to the |late Lord Tweedsmuir as Governor | General of Canada, Reynolds News, |a London newspaper, suggested the | Duke of Kent as “the first favor- | |ite” for the post ! The Duke of Kent, youngest | brother of King George VI, ‘was | named Governor of Australia in | October, 1938, but has never as- i&umed the post dropped bombs without knowing the locality. Moscow last Saturday denied the bombing of Pajala. Murder Case Before Jury ~ ForVerdic Former Convict Is Charged with Killing Boss Gamber LOS ANGELES, Feb. 26. — The | jury frying Pete Pianezzi for the | murder of wealthy gambler Les | Bruneman was locked up for the weekend after hearing final de- fense and prosecution arguments. The state demanded the death penalty for Pianezzi, an ex-convict from . San Francisco. He is ac- cused of being one of three men who fired 16 bullets into Brune- | man’s body in a Los Angeles night |club in 1937. Bruneman was the so-called over- lord of gambling in Southern Cali- fornia and a friend of many Hol- lywood notables. Pianezzi was identified by several | witnesses as one of the gunmen. | Several other witnesses furnished |him with an alibi for the night of the slaying. The jury began consideration of the case today, after receiving the judge’s instructions. ———— The filament of a small, 6-watt 115-volt lamp, such as might be used for a night light, is thinner than human hair. Its diameter is less than five one-thousandths of |an inch, i