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' ¥Foreign Ministers ‘?uznco that only Great Britain, the | . been at previous Jefferson Island “ALL THE NEW! THE DAILY ALASKA EMPIR ALL THE TIME” THE ConalT OF CONGRESS " SERIAL RECORD NOV 2 1945 —y SO —— oFY OL. LXV.,NO. 10,079 _ JUNEAU, ALASKA, MONDAY, OCTOBER I, 1945 MEMBER ASSOCIATED PRESS PRICE TEN CENTS =i ———— |} BALKANSIS HOT ISSUE Russians Refuse fo Signb Conference Documents at London Meeting By FLORA LEWIS (AP Correspondent) LONDON, Oct. 1.—The Council of still seeking a foundation for Europe's peace struc- ture, made a last minute effort to reach agreement today after the| Soviet Union reportedly refused to! sign conference documents unless | her Balkan treaty demands were met. | Delegates remained in session un- | til after 1 a. m. cebating the same | subject which has been argued for | more than a week—Soviet Foreign | Commissar V. M. Molotov’s insis- | lowed to design the peace pact with Rumania, Bulgaria and Hun gary. On China’s suggestion the Council agreed to meet again later in the day. So far as is known no decision has been made on the time and place of the next Council meeting. With the conference’s end immin- ent, informed sources -gave these reasons for failure of the minis- ters to agree on major peace prob- lems: 1—Lack of preparation and vance exchange of views. 2—The fact that three of the mem- bers — James F. Byrnes of the United States, Ernest Bevin of Brit-| ain, and Wang Shih-chieh of China — are new appointees. 3—What was descrited as Soviet | sensitivity over publicity which pic- tured the U. S. in a more power- ful economic and military position. 4—Mutual suspicion. 5—The ving interpretations of such words “democracy” among the powers. ad- MOLOTOV NOT JOKING LONDON, Oc. 1-—The bargaining power which the atomic bomb gave the United States at the Council of Foreigmt Ministers is underlined by this story told by a delegate. | Soviet Foreign Commiss Molotov, at a dinner party, | marked that U. S. Secretar) State James F. Byrnes “doesn't need to persuade anyone—he just has to hold up a little bomb.” Mr. Molotov never makes jokes ! just to be funny,” the delegate added. R NORMA IN JUNEAU L. & Norman, of Kodiak, guest at the Hotel Juneau. The Washington Merry - Go-Round By DRFW PEARSON is a WASHINGTON — Insiders got a good look at how the Truman Ad- ministration relaxes, how it thinks, how it regards the future, when Democratic bigwigs let their hair down on Jefferson Island recently. President Truman, himself, rubbed shoulders with 200 Con- gressmen, Cabinet members, poli- ticians, with a sprinkling of lobby- ists thrown in. Putting on no airs, he seemed to enjoy just being one of the gang. Everyone liked him fv:u'= his simplicity. . . . Those who had | parties said they never realized| before the differnc in talking to a| President who could go .and come | as he pleased, who could mingle with the crowd. . The late| President was forced to sit under| a tree while visitors were ushered up to him with a certain amoynt of formality. . . . But Truman was | fortunate enough to be able to| walk around, a paper plate in one hand, a pickel in the other, talking to whoever bumped into him. . . The Secret Service, incidentally, did a great job. At no time was it obvious that a bodyguard was with Truman, yet one man was con-| stantly, unobtrusively there. (Rus-| sian bodyguards,” who offended | people while guarding Molotov at San Francisco, please take note.) * % % LABOR'S BEST FRIEND Jeffersen Island Highlights: Sec- retary of Labor Schwellenbach (Continued on Page Four) | Kuomintang |a 1,485-mile day! PRETTY BOATER —Act: ress Carol Bruce strikes a fetch- ing pose, with a nautical background, in response to requests for a new piclnre from perso CHINESE GETTING TOGETHER Eight- Point Program Be- tween Communists, Nationalists By CLY l).a l*ARVS‘V()RTIl (Asse ed Press Correspondent) CHUNGKING, Oct. 1. point program aimed at erasing dif- ferences of years standing between the Chinese Communists and the Nationalist Govern- ment has emerged from a mumh- long discussion between the | principals. on Final decision hingas, however, whether the Communists will yield in their demands for virtual auton- omy. Although danger of failure is still prevalent, prospects seem brighter. Closely associated with the issues wer2 the policies of Russia and the United States. The recent shifts of | American State Department per-| sonnel have drawn the interest of |war-imposed excess profits tax on | the Kuomintang government, while | U. 8. Marine landings in north; China concerned the Communists. Above all this, it was learned re- | liably that both sides agreed to a political council incorporating all party representation, including section of non-party members. Ne- gotiations presumably are pivoting ' on the selection of members, voting | methods and a specific agenda. Other issues upon which it is understood agreement has been reached are: A policy of peaceful zecnnsnuc- tion under the leadership of Chiang Kai-shek. Recognition of the equal status ut different political parties. Punishment for traitors and d|<-» banding of puppets. Adoption of measures for the de- mocratization of politics and nation- alization of the armies, pending the end of one-party rule. Release of political prisoners. Abolition of laws at variance with the freedoms enjoyed by other democratic countries. Reform of the central govern- ment’s secret police methods to re- strict activities of the intelligence and forbid them to make arrests or order detentions. 'GLOBSTER FLIGHT ISNEAR SCHEDULE KARACHI, India, Oct. 1.—The |second of four Douglas Skymaster .| C-54s being used in relays on the new Glotester run, was readied for departure at 6:15 a. m. today Green- wich time( 1:15 p. m. Monday) for 2ht hop to Calcutta. The flight—first earth-girdling Air Force — was only slightly behind |schedule, with the delay attribut- able to extra long stopovers rather than loss of time in the air. - e SHELDON IN TOWN W. K. Sheldon, Jr.,, of Seattle, has arrived in town and is a at the Baranof Hotel. guest -An eight- | nnel of the USS Jupller. Big Tax Slash Is Proposed First Leglslahon of Kind in 16 Years Laid Be- fore Congress WASHINGTON, Oct. 1—A $5, { 000,000,000 tax reduction for in- dividuals and business in 1946 was | proposed to Congress today by Secretary of the Treasury Vinson. In the first tax-cutting tion to hit Capitol Hill in 16 years, nd Means Committee the Adminis- {tration’s plan for burdens on personal and corporate pocketbooks. He recommended : 1—Repeal of the three per cnnt Incrmal tax on individuals, effective [Jan. 1, thus erasing 12,000,000 low~ lmcmxw persons from the tax rolls ;c(.mpl(‘bel\ and reducing the tax liability for all individuals by $2,- 085,000,000 2—Elimination of the 95 per cent corporations, reducing 1946 cor- | porate burdens by $2,555,000,000. 3—An end, on July 1, 1946, of ithe high wartime excises on such (things as fur coats, jewelry, cos- metics and transportation. The ex: cises under this regulation would | return next July to the 1942 level, thus halving the tax on many of ,the so-called luxury items. Vinson [smd this would result in an annual | reduction of $547,000,000 tax collections. e, — 'DOOLITTLE RAIDER T0 BE MISSIONARY SANTA ANA, Calif, Oct. 1—A bombardier with one of Doolittle’s bombers, who was beaten and half- starved by the Japanese, says he in excise & wants to return to Japm as a mis- sionary. Staff Sgt. Jacob D. DeShazer of Madras, Ore. related that during his 40 months in a Japanese prison camp, of which 3¢ months were in sclitary confinement, he read the Bible and memorized complete | chapters. “I was particularly impressed by parts of Paul's letters,” he said at the separation center here where he is awaiting release from the Army. “They showed me that I should be forgiving and not re- sentful.” DeShazer says he will use his back pay of $5571 to finance his education a missionary. - REYNOLDSONS HERE Mr. and Mrs. L. E. Reynoldson, of Skagway, flew into Juneau yes- terday from Tenakee via Alaska Coastal Airlines, and are registered at the Baranof Hotel. - MR., M:RS ARLIN HERE Mr. and Mrs. Norman W. Arlin, of Anchorage, are guests at the Hotel Juneau. Mr. Arlin is em- ployed with the CAA. - i legisla- | | Vinson laid before the House Ways | INNORTHWEST SAID LAGGING | Five Adva;Ee Loans for Federal Works Agency Alaska Considered by WASHINGTON, Oct. The Federal Works Agency concludes that Pacific Northwest communi- | ties are lagging in their !works planning. | Reporting on the use of interest- | free federal planning loans, FWA said in a letter to Senator Morse (R-Ore.) that the offer of gov- ernment funds there has received | “less consideration than in any other section.” Washington has submitted eight projects, Oregon, seven; Alaska, five. Alaska projects under | tion: Juneau, airport | building, $189,600 and $7,000. Wrangell, water supply $84,000 and $4,000; sewers, nd $2,000. Juneau, library, $60,000 and $2,- 1000; fire station $7,000 and $3.! 000. | > DUTCHKICK ~ ONBRITISH AUTHORITY Claim Puppet Japanese Government Being Giv- en Unlimited Powers considera- $35,000 easing wartime | | LONDON, Oct. government protested today that the British general who is Allied Com- ! mander in the Netherlands East In-| |dies, was allowing the Indonesian | Nationalist Soecarnc—“A puppet in {the hand of the Japanese”—to rule mellcally all the rich island of Java. The Dutch, in an official broad- cast, objected to the decision of Allied Military authorities, ‘heddcd by Lt. Gen. Sir Philip Chris- |tison, to occupy only Batavia and Scerabaja on Java. The official Dutch protest said, | Soerabaja, “whose orientation is op- leuly Fascist, has formerly preached hatred against the Allies. One of his | slogans was: ‘America will be iron- ed out by us, England will be brok- |en open with a crowbar’.” Singapore dispatches Saturday night said Christison was insisting | meet Indonesian Nationalists in a | conference. British War Secretary J. J. Lawson was guoted in New ;Delhi broadcasts as saying British obligations in the East Indies did not include fighting for the Dutch against the natives. The Dutch broadeast said the Netherlands was unable to take over control in the islands because of low shipping priorities in the Allied setup. 28 ARRESTED FOR KILLING WOMAN, LAREDO, Texas, Oct. 1—Mexican | officials were making a thorough | | investigation for more evidence to- day in the vicinity of Reynosa and | Matomoros, Mexico, while question- ing individually 28 men held at | Nuevo Laredo and charged with | the wholesale murder of 37 men and one woman. The 28, all Mexican were arrested in or near can side of the lower Rio Grande redo, They have been the United States for farm work, robbing them of their wages, killing them as they returned to Mexico, Rio Grande. PW PLANNING| publie | 1—The Dutch| nationals, | administration | dam, | l f '\ \ | | { | Reynosa | quotation of Alaska Juueau and Matamoros, cities on the Mexi- stock today is 7%, American Can guards and added that Kramer was charged with United ~States smuggling their 38 countrymen into $4.02%. and throwing the bodies into the as rand scattered after |that Dutch Colonial admmlstramrsim"“‘es NEW PRESIDENTIAI. YACHT TO REPI.ACE ‘POTOMAC’ LUXURY YACHT Williamsburg (above), 245 feet long, which was converted to a gunboat in 1941 and used u a patrol vessel and flagship for the Atlantic Service Force, will become President Truman’s official yacht Guard patrol boat. This is an official U, S. Navy photo. Navy Man Take s Alaskan Boy South; Is Adopted as War Se 'HONOR FORNAVY DEAD AT SEA IS PLANNED, 0CT21 Floy:ars fo Be Scafered on Waters After Dock- side Ceremomes w ’\SHU\GTON Oct. 1 The Na plans to honor the men of all services who died at sea by | scattering flowers upon the waters | on Sunday, Oct. 21. Commodore Sheldon Clark, Presi- dent of the Navy League of the United States, announced last night that Secretary Forrestal had desig- nated the following ports as among those to which flowers may be sent by the public. Corpus Christi, Tex.; Anchorage, Alaska; Dutch Harbor, Alaska; Termiifal Island, Calif.; San Fran- cisco; Portland, Ore; Seattle, Wash.; Honolulu or Pearl Harbor; Guam; Manila; San Juan, P. R.; St. Thomas, V. I.; Pango Pango, Samoa. “It is requested that only one flower be forwarded to the desig- nated points,” the announcement said. “It possible this flower may be wild or home grown and in no case should the expenditure exceed a modest nominal sum.” The flowers will be taken to sea dockside cere- Vicloria Will BeGivenRest SEATTLE, Oct. ship Victoria, 75 years of sailing | behind her, has been put up for a| i well earned rest, Alaska Steamship | Company officials announce. Believed to be one of the oidest active steel vessels in the United States, the Victoria still has her | original hull plates of hand-wrought THIRTY-SEVEN MEN | barton, Scotland, and at that time, Swedish iron an inch and thick. She a half was built in 1870 in’ Dum- known as the Parthia, she was the | pride of the Cunard Line She was purchased in 19 | Alaska Steamship Company named the Victoria. - e STO(K QUOTAIIONS NEW YORK, Oct. — Closing Mine 10 Anaconda 37% Curtiss- Valley. They were taken to Mon- | Wright 7, Imexnnuonul Harvester terrey, then brought to Nuevo La- 91'%, Kennecott 43'%, New York Central 28%, Northern Pacific 29, Steel 76%, Total sales today were shares. Dow, Jones averages today were follows: Industrials, 163.37; rails, | 43; utilities, 34.91. 1,990,000 is hoped that whenever . 1—The Steam- | rvice Souvenir | B o | SEATTLE Oct. 1 Soldiers and sailors are bringing all sorts of war servicé souvenirs home, but Chief Boatswain's Mate Harold G. Wll‘:nn is on his way home to ssouri with a 6-year-old adopted son a gift to his bride. Mrs. | Wilson, the former Kay Tuttle, is |a nurse at Mount Vernon, Mo. They were married a little more than a year ago and will live in Aurora, Mo. . TGS Chief Wilson, ending nine one-half years navy service, got special attention at the Naval sta- | tion here when he appeared with | his foster son, Mickie. “We really | belong to each other. I had the adoption taken care of before I left Alaska—with my wife's consent of course. She was all for it. I sent her a picture of Mickie, and | she loved him right away.” As for Mickie—it was “Daddy” this and “Hi, Chief” that, all the time as he showed amazement at everything—bus rides, movie shows | the “big, pretty” hotel room . and the promise of his first in a train “We're going to have a lot of fun together,” grinned Chief Wilson, squeezing Mickie's arm. They became acquainted months ago — and acquaintance ripened into love—and a very grand thing to see in the strapping sailor's eyes and those of the wide-eyed win- some bo Mickie was a widow’s ‘mite.” She ha One day he was playing on wharf and a Navy steam tug tied alongside. A good dinner | cooking inside. Mickie smelled The boatswain’s mate saw the lof (in his eyes “well, T gue that's about explained the chief. and ride ix more of them. the was ' was it. - 30,000 JEWS ARE BURNED TO DEATH BY NALIS, 1 NIGHT | LUENEBURG, Germany, Oct. 1— |A Jewish physician testifying at i the Belsen War Crimes trial today id 80,000 Jews, representing the entire Ghetto of Lodz, Poland, were gassed or burned to death in one night at the concentration camp Dr. Sigismund Charles Bendell, the witness, said the Germans had | designed a system of trenches with a capacity for the burning of 1,000 human bodies an heur. He said |he was ordered to work in crema-, | torium No. 4 in August, 1944, Asked by the prosecutor who was ,the commandant of the camp dur- ing this period, the witnesse r lied: “Kramer.” Josef Kramer is the chief of 45 defendants. i Bendell said that 500 persons were shot in the neck by S8 present at the mass killing. - | DORMAN McGRAW HEKE Dorman C. McGraw, of Sitka, has Pound | arrived in Juneau after a trip out- disturbance. iside and is a guest at the Baranof Hulk] | - PR Al MRS. WARNER IN TOWN Jis a guest at the Baranof Hotel. . in the minds of alter it is commissioned sometime in October. The present presidential yacht, the Potomac, condemned by the late President Roosevelt as being unfit for sea duty, will be retired, overhauled and returned as a Coast (International Soundphoto) SHINTOISM IS UNDER SCRUTINY Army of Occupation in Jap an fo Conduct Thor- ough Investigation By DUANE HENNESSY (Associated Press Correspondent) TOKYO, Oct. 1.—Shintojsm, in- teerally connected with Japanese " worship of the Emperor, today came under the stern scrutiny of the army of occupation, seeking to prevent any misuse by the government. Col. Ken R. Dyke, rector of (General MacArthur's Civil Infermation and Edueation Section, will conduct the investigation. He said talks with Japanees show clearly that Shintoism was used heavily during the war when new emphasis was put on the govern- ment’s desire that every family have a Shinto shrine in its home. +Shintoism has been taught in the schools and stressed heavily to build, the children, the glorizs of the divine country. “We aren’t trying to interfere with anyones religicn but, we are going to be certain it isn't ysed as a tool for militaris said Dyke. “The government poured a lot of has money into Shinto during the war and largely has been the support of its priests. This state religion looks as if it was used as a puller-upper and morale builder and a channel | for mmluusm (ONSTITUTIONM HALL IS DENIED T0 NEGRO ARTIST NEW YORK, Oct. 1 Hazel Scott, Negro pianist and wife of New York Congressman A. Clayton Pcwell, said last night she had been refused permission to perform at Constitution Hall in Washington, D. C. Miss Scott, a former night club entertainer, told reportess that Charles McClane, Negro promoter, Liad tried to make the Constitution | Hall engagement last week. Whether Mr. McClane was re-| fused Constitution Hall because he | is a Negro or because he wanted to | present. a Negro artist, I do not| know,” she said, adding that her manager, Lawrence Golden, “is getting in touch with McClane” today “to clarify the situation.” HINDU-MOSLEM DISTURBANCES ON IN(REASE BOMBAY, Oct. 1 were ordered out to dian soldiers and police !violence spread to new districts in Bombay's week-long Hindu-Moslem | Casualty figures had | risen’ to 31 killed and 152 injured. Tension increased throughout l.he city and an officlal announcement | said up to & battalion of British sol-| | Mus. Helen Warner, of Ketchikan, diers was being held ready for any| Wash., cmergency. New York, Di- British troopa | reinforce In-| today as| ALLIES TAKE GRIP ON BANKS OF JAPAN | TREATYFOR ~ MacARTHUR IN ANOTHER | BOlD MOVE 'Financial Insfitutions Tak- \ en Over-Seized Assefs Quest of Search By RUSSELL BRIN (Associated Press Corresp nt) | TOKYO, Oct. 1 — American oc- | cupation authorities today began |a quest for untold milllons of dol- |lars in gold, silver and ecurrency | which Japan was believed to have | wrested from the lands it overran |in its try for world domination. | The search paralleled other | probes into imperalistic finaneing, | made possible through General MacArthur’s bold, secret seizure to- |day of 21 government-controlled financial institutions in Tokyo and six other large cities, and the oust- ing of their officials. The Bank of Japan, the nation's largest financlal institution, one- quarter owned by the Japanese imperial household, was closed by an order of the Allied command. . It will open tomorrow, said Col. |R. P. Kramer, MacArthur'’s eco- nomic and scientific chief, “if the Japanese provide full cooperation” in locating the assets of the seized lustllutlons which had office space in the Bank of Japan building. \ Bank officers pleaded last night | that they had had insufficlent time to produce the requestéd assets and records. They had received instrug- earlier, however, to have the re- quested material on hand by last night, Troops On Guard American troops on guard around the bank assured depositors, many of them women Sobbing in fear that that they might lose their life savings, that their funds were safe. Two other banks closed by Mac- Arthur — the Yokohama Specie {Bank and the Hypotec Bank-—re- cpened today with Allied permis- | sion after a check of thelr records. Allied Headquarters sald no trace was found in the three institutions of “hard money” removed from the Philippines and The Netherlands East Indies during the Japanese occupation, Some gold and gold stocks ear- marked for Siam and Indo-China, and some gold set aside for the Federal Reserve Bank of North | China were reported found in the ;bunk of Japan, I Hunt For Missing Funds The hunt for the missing funds that once belonged to the Philip- pines, China and other nations began with a conference of Col. | Kramer and Viscount Keizo Shi- busawa, Governor of the Bank of Japan, and other leading Japanese financial figures. The Japanese denied that the Bank of Japan held any foreign money, denied any knowledge of a possible hiding place, and nmin- tained they had no control over financial activities of field mili- tary commanders. The militarists, the bankers said, \hud the power to either sell their looted assets and plate the money |in a special disbursement fund of | the Finance Mlnistr’, or “keep the ‘ns!sel.s for themselves.” | Other Developments | Shibusawa declared he knew | nothing of reported transfers of | gold and cufrency from the Philip- | pines to Japan. There were these other develop- ments: l Shigenori Togo, Foreign Minister |at the time of Pearl Harbor, who | was scheduled to surrender yester- | day, suffered anoher heart attack !at his home. An American doctor | ordered an’examination. | The First Marine Division—veter- ak of Guadaleanal, Palau and | Okinawa—landed at Tientsin in ‘nuuhern China to help the Chinese disarm 250,000 unconquered Japa- nese troops. They moved 28 miles | upstream from ‘Taku. R - CAPT, MRS. SAWYER HERE Capt. and Mrs, Jim Sawyer, well- | known Alaskans, have arrived here |from Sawyer's Landing and are |guests at the Hotel Juneau. - | LOMAX IN TOWN Russell Lomax, of Edmonds, has arrived in town and is a guest at the Hotel Juneau.