The Daily Alaska empire Newspaper, October 2, 1945, Page 1

THE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” VOL. LXV., NO. 10,080 JUNEAU, ALASKA, TUESDAY, OCTOBER 2, 1045 MEMBER ASSOCIATED PRESS PRICE TEN CENTS =——— ] NEW DEMANDS ARE MADE ON JAPANESE DOUBTS WHETHER ALASKA IS READY FOR STATEHOOD Appropriations Subcom- mittee Files Report with House WASHINGTON, Oct. 2—A House Appropriations Sub-Committee ex- pressed “serious doubts” today that Alaska is ready to become a state. The ccmmittee’s report came a few days after President Truman told a news conference he would welcome Alaska’s entry into the Union as a state, whenever the Territory is ready for that step. The committee, headed by Rep. Jed Johnsen (D-Okla.), visited Al- aska this summer. In a report filed with the House, i said: “Although the committee feels that eventually the claims of the Territory must be given serious consideration, it appears that up to the present time, the Territory has not developed to a point where it is ready for statehoed, that it has not enacted tax laws and other legislation, including in many in- stances sccial laws, which would place it on a par with most of the 48 states of the Union and the com- mittee has serious doubts that it is ready to assume the role of a Sovereign State now or in the near future.” Get A Shock The committee said it was “shocked” to learn that while fish- ing interests have taken $50,000,000 to $60,000,000 annually from Al- askan waters, the return to the Tegritory is “only about $1,000,000 a year.” Other Findings Gold mines have yielded some $380,000,000 since they began opera- tions, but have returned “extremely negligible sums” to the Territory. The liquor tax is “negligible.” The Territory “has no basic tax laws, no gas tax, no property or land tax outside of incorporated towns and no Territorial income tax.” Roads Needed Roads are urgently needed but the Territory should accept a full share in construction costs which heretofore have been borne by the Federal Government. The Alaskan Railroad should be permitted to use its $6,000,000 sur- plus to improve the roadbed and purchase modern equipment. Activities other than improve- ment of parks and monuments and involving the health, education and general welfare of the natives o ,,lemm‘d, o;zr "Iv’a{y»er lfiqht) T The Washington Merry - Go - Round By DRFW PEARSON WASHINGTON — Last week this column revealed that two Military Intelligence colonels in Washington warned their superiors that the Germans were about to launch the disastrous Belgian Bulge attack in December 1944, - and urged = that Gen. Eisenhower be put on guard. It was also revealed how this advice had been ignored with the result that American forces in the Ar- dennes Forest were caught off- guard and, their thin line of de- fense wiped out, resulting in 60,000 casualties and weeks of further warfare. An additional chapter to this tragic blunder can now be told. On Dec. 10, 1944, six days before the German surprise attack, Col. B. Albert Dickson, Chief of In- telligence for wrote a strong report to his su- periors warning that a German of- fensive was coming. His report, labelled “No. 37,” is in the files of the War Department und is avail- oble to any Senate Committee wanting to get the real truth re- garding this blunder which cost so many American lives. Col. Dickson reported that from interviewing captured German ~ Pickets Rest Puppies As the elevator strike in New York enters its third day, Margie Walsh left) and Caroline Negus, elevatol enth Avenue and 34th Street. after picketing a building at Seve Wirephoto) r operators, gave their feet a rest (ap Jabs AbandonedAPaper ~ Balloons with Bombs Because No Excitement BIG TOPICS BIG BUILDING PROGRAM IS PUT ~ UP 10 (ONGRESS WASHINGTON, Oct. 2—Congress was askKed today to put up $193,- | 000,000 for new government build- lings in the States and Territories. The . proposed legislation —also | seeks $172,405,000 for buildings in 101 near the District of Columbia. It was submitted jointly by the | Public Building Administration and the Post Office Department. A list of 4,020 eligible projects |ig the States and Territories esti- ‘mated to cost $774,795,000 was sent to House Speaker Rayburn (D-Tex) with the proposed bill. W. Englebert Reynolds, Commi sicner of Publ Buildings, said that if the legislation is approved | projects totaling $193,000,000 out- iside the District of Cclumbia will |be selected from the list on the | basis, of need and equitable dis- tribution. By RUSSELL BRINES (Associated Press Corresponcent) TOKYO, Oct. — Japan’s ex- pensive V-1 weapon—homb-laden paper balloons—intended as retali- ation nst the Doolittle raid on Tokyo, were abandoned because neither the Japanese nor the Am- erican people secemed to pay any attention to them. ‘This explanation was given today in an interview by the stafl officers | technical section, Japanese head- auarters. Nine thousand balloons were launched from three sites near ‘Tokyo before the experiment was abandoned ‘on April 20, 1945. It took more than twd years to complete experimentation, before the first balloon was launched, and cost more than 9,000,000 yerl (more than $2,000,000 at pre-war ex- jchange) to manufacture the strange | weapon—but officers said they {heard of only one landing in Am- erica. And that one, they added wryly, was reported to have been found,; unexplcded, in Wyoming. | Officers said they finally decided the weapon was worthless and the | The proposed projects include yhole experiment useless, because the Second Army,| Federal Court Houses, Post Offices |and miscellaneous office buildings. B SRR ;(riminal Police in Berlin,ijth Bunc | BERLIN, Oct. 2—A former Ger- | man police executive filed charges today with the Allied Komman- dantur that the Criminal Police of Berlin contained both former mem- bers of the Gestapo and under- | world elements. | “The charges were made by Dr. | Anton Haselmeyer, until Aug. 31 director of the criminal section. Haselmeyer was suspended after meaking a detailed report to the police chief of conditions in the | department. | ' He charged that members of his | | staff destroyed records by which | Public Health Service hospital® they had repeatedly listened to the Chungking radio and heard no | further mention of the balloons. | (Actually, there were quite a |number of the balloons reported |found in America) | Intending to “create confusion” by starting forest fires and frighten- ing civilians, the officers said they had no expectation of causing any military damage because the bombs were too small—the balloons car- ried weapons weighing 30 pounds or less—and they were uncontrolled. Japan was so poor, they added, it was necessary to use paper for the balloons. Families working in their homes glued together the five big sheets which made up each balloon. | Northwest Boosters ~ For Air Gateway on risoners, he was convinced they | Nazis and men of the Gestapo| w I w hill ' K ey‘would have been accused. He as-| a 0 as on were planning a big attack. He re- ported a new spirit of jubilant enthusiasm on the part of the Germans he interviewed, a new determination to escape and go pback to fight the offensive. He even reported that the Germans were training men to infiltrate BT R A L (Continued on Page Four) serted. that a “relatively high per-; SEATTLE, Oct. 2—En route to centage”,of the criminal police had New York City by air last night | criminal records. were Seattle-Tacoma representa- | e - tives who will appear at Washing- | CRUTCHER ARRIVES {ton, D. C, to demand an air | Marshall Crutcher arrived yes- gateway to the Orient through the terday from Ketchikan via Alaska Pacific Northwest. They will stop Coastal Airlines and.is a guest at in St. Paul, Minn,, to confer with the Baranof Hotel. iNorthwest Airlines officials, TAX PROPOSAL GIVEN OUT BY COMMITTEE ! - - | Millions of Persons Would Be Dropped from Income Taxation WASHINGTON, Oct. 2 — The House Ways and Means Committee | | has voted to drop 12,000,000 per- sons from inecome taxation in 1946, But the committee refused to re- | peal entirely the three per cent| | normal tax on individuals. Instead of outright repeal of the normal tax, as recommended by the Administration, the committee de- | cided to retain it with a set of | excmptions reducing the burden for | virtually “alf" taxpayers. ! | The “gcommittee voted down two | substitutes to the Administration | program offered by Rep. Knutson | (R-Minn.). One, instead of outright repeal, - would have reduced me} normal tax to two instead of three per cent. The other proposed to put | | the normal tax at one per cent. The normal tax is collected on all personal net income over $500 | | regardless of the number of mx-‘[ payers’ dependents. Its repeal is the top point in the program sub- mitted by Treasury Secretary Vin- | | son, for a peacetime 1946 overall |tax cut of $5,000,000 including re- peal of the 95 per cent excess| profits tax. NORTHWEST ALASKAARE ‘Washington State Unit, Gruening, Barfleft in Important Talkfest | | | | | | WASHINGTON, Oct. 2—Members | | of Washington State's Congres- | | sional unit, along with leaders from | |the home state and Alaska's Gov.| Ernest R. Gruening and Delegate | Bartlett (D), mulled over a score | l‘of topics yesterday of prime in-| terest to the Northwest. | | In the office of Sen. Warren G.| { Magnuson (D-Wash.) they covered such matters as the Columbia | | Basin -appropriation, Alaska high-| | ways, utilization of the Spokane | air depot and Puget Sound ports Columbia Valley Authority bil \Alaska shipping prospects, Navy| activities it the Sound area, Air- jlines to the Orient, Foster Creek | | Dam, disposition of aluminum plants, truck regulations and a proposal to make Puget Sound a| free port. Present, in addition to the Wash- | ington and Alaskan lawmakers, | were Frank T. Bell, former U. S. Commissioner of Fisheries; Former sion; Kirby Billingsley, newspaperman. i — -, { Immigration of | Jews Discussed | At Jew Congress | TELAVIV, Oct. 2—The extraordi- nary Congress of the General Fed- | eration of Jewish Labor reiterated | last night its demands for repeal of the British White Paper limit- ing Jewish immigration to Pales- tine. At the same time the congress, adopted a resolution urging that Jewish survivors of the Nazi purge in Europe be sent to Palestine. D LAIBLIN HERE AGNES Agnes D. Laiblin arrived here yesterday from Seattle via Pan American and is a guest at the Bargnof Hotel. i e, MR., MRS. SNOW HERE Mr. and Mrs. Edward Snow, of Fairbanks, have arrived here and are guests at the Hotel Juneau. CONFERENCE FormerPOWs PATTONIS Nazis on Trial in Germany | Nazi defendants on trial for crimes at the Oswiecim and Belsen concentration camps sit in the prisoners dock during a session of the trial before a British military ccurt in Lueneberg, Germany. Among the pris- eners identified are (1) Josef Kramer, called the “Beast of Belsen,” (2) Fritz Klein, (3) Peter Weingartner. At lower left center is Maj. T. C. Winwood, defense counsel for Kramer and three other defendants. Photo by Peter J. Carroll, Associated Press photographer.’ (AR Wirephoto) BITTERNESS Are PutOn RELIEVED, (ONTINUES K. P.Duties COMMAND Molofov, Bevin in Tift at| Just an Adminisirativ‘a%fisenhoweflcfits Following Foreign Ministers' Ses- | Duty So They Hang Up ‘ Differences Denazi- sion in_London Dishtowels, Efc. | fication Policies BULLETIN—LONDON, Oct.2. | SANTA ANA, Calif,, Oct. 2.—Forty By Wi —The first Five Power Confer- {Army Air Forces veterans, former ence of Foreign Ministers ended prisoners of war, have hung up their (Associated Press Correspondent) tonight, apparently without an dishtowels and put away their FRANKFORT ON THE MAIN, agreement on major issues. potato-peeling knives—theyre off Germany, Oct. 2—It was officlally Divergence cf views between K. P. announced today that Gen. George the representatives of Sovist | The fact that they went on kitchen S. Patton, Jr, who differed with Russia and those of the United police duty Sunday after arriving® Gen. Eisenhower over de-Nazifica- States and Britain appeared | caturday was “an administrative tion policies in Bavaria, had been earlv in the sessions, crror which I have corrected,” said relieved of command of the famed The latest split secmed to Brig. Gen. Arthur E. Easterbrook, Third Army he led through France. center cn Russia’s demand that commanding officer of the air base He will take over the Fifteenth France and China be excluded |here. His statement added: Army, which s reduced now to a from discussions on Balkan “It is not the poliey of this base “paper” organization. peace treaties, based cn the ar- | for liberated prisoners of war to do The Fifteenth, which completed gument that the Potsdam agree- ;K P. It is our poliey to afford them its job as an occupation army in ment contemplated only Russia, ¢very facility a grateful nation can July, now consists of a headquar- Britain and the United States Destow.” ters staff and a few troops doing to determine ihe: Anmong the 40 Who washed coffee research work. A terse statement en the three ups and scraped trays Sunday is Lt. Gen. Lucian K. Truscott, Jr., weeks of work, which were punc- Staff Sgt Jacob D. DeShazer, who commanding the Fifth Army which tuated by several heated con- Participated in Jimmy Doolittle’s s slated for official dissolution Dec. troversies, said only that the Tokyo raid. DeShazer was in a 1, will succeed Patton in command ' council had decided to “term- |Japanese prison camp 40 months, in- of the Third and of the Eastern inate its present session.” icluding 34 months in solitary con- half of the American occupation i finement. | zone. LONDON, Oct. Z—informants The changes will take place about ! high within the counsel of the Oct. 7. Foreign Ministers’ Conference, said today that Soviet Foreign Commissar V. M. Molotov threatened to go ome over the weckend after a heat- ed argument with British Secretary Ernest Bevin. The two have been reported at loggerheads frequently during the sessions which were drawing to a lose. The representatives of the United States, Russia, Great Britain, France GALLAGHER i - Barring Negrofrom | No Reason Given Although no official reason was given for the transfer of the swash- (o ns l i ‘ u 'ion “a“ buckling, pistol-packing Patton, it Foreign came on the heels of his widely Is Sla"ing 'I'ro“ble criticized statement to newsmen Sept. 22 that some Nazis should . 2 - remain in office for the sake of WASHINGTON, C Rep. better administration this winter. Adam C. Powell, Jr, Negro Demo-' This was in conflict with Eisen- crat from New York City, asked hower's stand for immediate elimi- President Truman today to take nation of all Nazis from office, in “immediate action” on what he line with the Potsdam Declara- MacARTHUR SEEKS NEW ACCOUNTING Full Reporf_ on Military Production, Existing Stocks Now Sought | CABINET SHAKE-UP AIIiedAutharifiesContinue Search for Hidden Gold, Silver, Efc. TOKYO, Oct. 2—Pressure mount- ed among Japanese today for top- to-bottom reorganization of their cabinet by the time demobilization is completed in mid-October; and Gen. MacArthur demanded a full accouting of Japan’s military pro- duction as well as existing stocks of war materiel. He asked the Japanese Govern- ment for full information on the annual production of arms, ord- nance, ammunition and automotive equipment from 1841 through Aug- ust, 1945, plus estimates for the remainder of 1945. Ouster Looming Japanese sources reported a ris- Ing sentiment for elimination from the cabinet of ministers once as- sociated with the beaten, war- making regime, as- well as those growing food, housing and fuel shortages. Early reports — strictly without confirmation — have hinted that Emperor Hirohito might abdicate in a thorough government house- cleaning. When his task of carry- ing out the principal surrender terms is finished. Tojo Not Faking Army doctors today reported that former Premier Shigenori Togo, suspected war criminal,’ isn’t fal ing; he does have a heart attack and consequently his appearance at U. S. Eighth Army prison has been delayed. ' Allied occupation authorities con- tinued their search for hidden gold, silver and currency which the Japa- nese wartime administration’s mili- tary commanders plundered in the nations they overran. May Force Reshulile The Tokyo newspaper Mainichi said today that new loud demands for a less tainted, more energetic government may force Premier Prince Higashi-Kuni to shuffle the cabinet even before the end of de- mobilization, set for about Oct. 15. Higashi - Kuni had specifically asked the Army 'and Navy Min- irters to stay on the job until they finish breaking up the armed forces and the repatriation of servicemen from abroad, Rumors Intensified that these two would quit at their earliest opportunity and that others would go out with them or perhaps in advance, Mainichi said. e U. S. Sen. C. C. Dill, a member of and China met more than two hours the State Columbia Basin Commis- |this morning and reconvened for Wenatchee | 2n0ther session lated. called the barring of his wife, tion. Pianist Hazel Scott, from a pro- Lt. Gen. Leonard T. Gerow, posed concert in Constitution Hall. former commander of the Fifteenth It seemed that even the most superficial agree- ment could not be reached. “Hitlerian” | Molotov was reported by persons present at the weekend exchange to have taken exception to a remark by Bevin that the Soviet Commis- sar’s methods were “Hitlerian.” | The clash resulted when Molotov deémanded that the ministers revoke a decision of Sept. 11 on procedure, which permitted France and China to sit in on all discussions. This is the issue which had dead- locked the conference for more than a week with Russia insisting that the Potsdam decision be adhered to with only the foreign ministers of the Big Three discussing and draft- ing peace treaties for the Balkan states. The report was that Molotov said in effect that when the group of ‘The hall is owned by the Daugh- Army, is back in the United States ters of the American Revolution. |for reassignment. The headquarters Powell said Miss Scott, a former which Patton will take over are at| DISCHARGED VETS 10 BREAK STRIKES 1S PROPOSED PLAN night club entertainer, was barred Bad Neuheim in Hesse 17 miles “as a N A pcause she s @ r furt. N:'um % egro, because she is a nurlhcn.:tm:::mt‘:x::lu;l‘““ WASHINGTON, Oct. 2—Chair- Miss 3 |man Rankin (D-Miss.) of the Miss Scott said in New York she' Statements by Patton in the past had been denied permission to play have made him a controversial here, but added that she did not figure in the United States and know whether it was because of Britain. During the drive across| her race. | France and Germany until V-E| - e - Day and the lifting of censorship | SIO(K ouo""o"s |none of his utterances were au-| thorized for quotation. | — | (In Washington it was reported NEW YORK, Oct, 2 — Closing| reliably that Gen. @erow will be quotation of Alaska Juneau Mine named Chief of the Army's Com- stock today is 7%, American Can mand and General Staff School at 107%, Anaconda 37%, Curtiss- Leavenworth Kas. Gerow is due to| Wright 6%, International Har- arrive in Washington today.) | vester 92, Kennecott 43%, New York Recent Utterances Central 28, Northern Pacific 28%,. Patton recently was ques- Gen | required to join a union, lmembenmp in a union or pay powers reached an agreement in i common and that afterwards one Ubited States Steel. 75%. Pound, tioned concerning complaints that| or more realized their mistake, the $4.02%. de-Nazification in Bavaria was not council should reconsider and re-| Sales today totaled 1,800,000 procéeding satisfactorily. He replied | shares. !that conditions in the occupation peal the decision. That Report To this, Bevin was understood to have said he had “never heard any- thing more like Hitlerian methods.”| Persons present said Bevin's re- marks were translated into French' . I (Continued on Page Eight) Dow, Jones averages today were zone might be compared to condi- | as follows: Industrials, 182.85; rails, tions back home between the Re-| 59.22; utilities, 34.77. publicans and the Democrats— when the so-called “outs” com- {plain of the behavior of the so- MR L CLEAVES IN JUNEAU Lloyd W. Cleaves of Anchorage, has arrived in Juneau and is a guest at the Baranof Hotel ” (éo}n;;uued on Page Two) House Veterans’ Committee, urged Congress today to enact legislation he said would permit discharged veterans to “break. these strikes overnight.” “It i time to call a halt” to strikes, Rankin said in announcing he would ask the Rules Committee to send to the House floor for debate a bill approved by Rankin's committee several months ago. It provides that no honorably discharged ex-service man shall be retain union dues as a condition of em- ployment. Rankin said thousands of dis- charged ex-servicemen would be willing to take jobs vacated by strikers but are prohibited from doing so by contracts requiring workers to belong to unions. - MELBA DAVIS IN TOWN Melba Davis, of Seattle, is a guest at the Baranof Hotel.