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THE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” VOL. LXVIL, NO. 10,340 MEMBE JUNEAU, ALASKA, MONDAY, AUGUST 5, 1946 R ASSOCIATED PRESS PRICE TEN CENTS = BALANCING | | OF BUDGET ~ PLANNED | Truman Hasmpes of Pro- posal But Protests Any Tax Reduction New Budget At a Glance Outgo: — $41,500,000,000, up $5,500,000,000. Income: — $39,600,000,000, up $8,100,000,000. Deficit:— $1,900,000,000, down $2,600,000,000. | Year-end debt:—$261,000,000,- | 000, down $10,000,000,000. | Gy -~ o s - - - By D. HAROLD OLIVER WASHINGTON, Aug. 5. — Presi-| dent Truman is still hopeful he can balance the Federal budget for this| fiscal year despite a big jump in unanticipated outlays. But he dis- agrees with some Republicans that| taxes can be cut again after next; January. ¢ » In a new budget estimate plac- ing both income and outgo well above January predictions but trimming earlier deficit forecasts from $4,50,000,000 to $1,900,000,000 for the fiscal year ending June 30, 1947, the President said: Jimmy Doyle, 4, refuses to be comforted by a New York City police- |were riding with Clarence Sloppy, man after being picked up in a railrcad terminal clad only in under- |44, of Clarkston, along a straight | | No Tax Reduction | “In view of action the Congressi has taken on price controls, I must, He refused to tell where he lived Photo) d repeat—with added emphasis—m; » recommendation of last Januar}‘ that no tax reduction be made un-| . til the inflationary situation has’ 1 passed.” i - At another point he said: “Our, A - h tax policy should be designed not only to check inflation, but to pre-| sent any particular - group rmmv profiting by it.” i 5 Rep. Knutson (Minn.), ranking Republican on the House Ways and Means Committee, declared last Lot B i hat if his party wins con : 5 e e souse 1 the November YifONS Irate Over Ameri- elections it would cut taxes by 20; percent. Knutson would become' chairman of that tax-levying com: mittee if the Republicans organize| the House. can Boarding of Sal- vage Prize LONDON, Aug. 5—The derelict s-%ges;s r:!edu;?{m: nd\mnerirun freighter American Far- Rep. Reed of New York, secol mer limped toward England today ranking RBDH:UC:" membt;r °fp“c‘e; under her own power and in escort committee and chairman of a SPec-|of 3 U. S, destroyer, with the Bri- fal Republican tax study group, al-| tish loudly claiming her as perhaps s so suggested a 20 percent cut INla $4500,000 salvage prize. levies. . | A maritime legal battle was shap- Rep. Taber of New York, wholing up in the din of British news- would head the Appropriations| paper headlines which complained Comurittee under a Republican ma-| american ships had taken over the jority, has promisdd a balanced | colision-battered freighter after a budget wln:l a redutce;i tax l‘flu’—m‘f midget British vessel had her i the Republicans take over €| tow. House next qalluflrgl e e The 8358 ton American Farmer In 1;15 rev}szt: b!\\xl LeTmfl enl";st‘ic iand the freighter William J. Riddle Saturday night, Mr. Trumal ~ collided 700 miles west of Lands mated expenditures this fiscal year| pnq Wednesday. The American Far- N at $41,500,000,000, a net increase of | jpop g operated by $500,000,000 over the January esti-| siates Line. i ,000,000, S mate, and receipts at $39,600,00 The William J. Kiadle 1 cperated by the Moore-McCormack Lines iand belongs to the War Shipping | Administration. the United (Continued on Page Five) | lof 50 d si rs and the e tons came alongside, attached tow- By DREW PEARSON |lines and started puffing and heav ing away toward Wales. Soon after % PARIS—(by wireless)—It’s hot in|wards the U. S. destroyer Perry, the galleries of the Palace of Lux-|the U. S. Lines freighter American embourg. In the top gallery S]x,lflanger * hundreds of newsmen — Chinese, | Elizabete radioed its home office: Slamese, Greek, Indian, New Zea-| “A crew from the American landers, watching a man speak far Ranger boarded the derelict and below. Newsmen from all over thelordered our crew to leave, hauled world watching the peace. It's|down our ensign and hoisted the their peace. What's done here vlv'lH] American flag.” The British Admir- affect their countries from Balu-|alty said it thought the message chistan to Iceland, from Saskatche- | referred to the British Merchant wan to Samoa, and they are watch-| Marine flag and not the Union ing. | Jack. Far below, under the klieg lights,| The Farmer carrled 32,000,000 sits Jimmy Byrnes—patient, polite| worth of wheat and dried eggs for Jimmy Byrnes—never leaving l\ibiEngland and London papers esti- seat, never failing to listen. . . .A mated the ship was worth $2,500,000 and a tug arrived. The oy JONES ACT He Seeks Undivided Love (19 MEET wear and carrying a stick with a gunnysack—{ramp fashicn—bec he feared his mother loved their dog “Weofy” more than she did h Ruins Still Dot Hiroshima One Year Later i DEATHON = : ~ HIGHWAYS ol Tragedy Runs Wild in Pa- i cific Northwest Dur- ing Past Weekend (BY THE ASSOCIATED PRESS) Death and destruction rode hand ' in hand on Pacific northwest high- |8 ways over the weekend with 19! traffic deaths—seven in a two-car ccllision near Colton, Wash.—bear- | {ing a major portion of the two: state toll of 23 violent and fatall accidents occurring Saturday and Sunday. Sixteen of the deaths oc curred in Washington The tragic crash in southe: Washington instantly killed six of | § the nine occupants of the two cars.' The seventh, Jack L. Fullerton, Jr., ! of Vancouver, Wash., died in Br ant and Wiesman Clinic in Colfax Sole survivors were two hitch { hikers, Stan Hensen and Robert| Snranck of Mankato, Minn.,, who| are expected to recover from ser-| lious injuries. They told Deput; i Sheriff Melvin Nickerson that tk . 3@ » ] g 2] patches amid simple new structures, as Con- v of ruined buildings and vacant 0, almost one year after the atomic bomb blast there last August 6. struction during the last year has been largely in homes, rather than in bridges, apartments and office buildings, because of the shortage of materials. "Boom and Bust” Cyde use |stretch of highway shortly after| pn. | midnight Sunday morning when : but his mother found him. (Ap |lights suddenly loomed up directly | slx STATES H AI d i i d I ‘in front of them, then the ca as rea y ar e , S { crashea. ! Others killed in- the crash besides Fullerton and Sloppy were: Slop- ;p,\"« wife, 32; Louis E. Kephart, 64, { Clarkston, Ella Mae Richards, 26, EARTHQUAKE, HIGH LINING Up | Vancouver, and Fred Clower, 39, kL et vlglA“rg':G?oi 1':5%{5, b e 1 ot Pl - Iiwoitant Primaries Held y h\;::ung wives were killed as the car TomOITOW Ny Truman's | Secy. WASHINGTON, Aug tary of Commerce Henry VERSATILE RIVERS CALLS "FORSUBSIDY, ~ COMPETITION ‘Labor Evils in Alaska Ship- | ping Repeatedly Criti- cized by Witnesses | Removal of the Johes Act dis- crimination against Alaska’s being served by other than . American | ships with U. S. operators suffi- ciently subsidized so that they may hold a fair share of Alaska’s trade in competition with Canadian lines, today was advanced as Alaska's number one solution to its trans- | portation problem | That solution was one of four | alternatives proposed to a Sub- | Committee on Merchant Marine land Fisheries of the Congressional | House of Representatives here to- Ie by Ralph J. Rivers, Attorney General of Alaska, who stated it as the official view of the Territory. Mr., Rivers was the first witness to appear before the Sub-Commit- tee headed by Rep, Henry M. Jack- son (D-Wash.) which opened pub- lic hearings on Alaska's water transportation and fisheries prob- lems here this morning in the Sen- ate Chamber at the Federal Build- ing. | Attorn General Rivers also | called for maintenance and utiliza- tion of port facilities developed by in seeing the short haul ‘lmmtrd Rupert opened up, from Prince " r i the U. S. Army during wartime at N ! Prince Rupert, B. C. Alaska is in- 5.—Secre- Rivers declared. A, Wal- lace warned Saturday that what he Criticises Puget Sounders The Attorney General previously | tin which they were riding with| called “the boom and bust e” had bitingly criticized what lhe | their husbands sideswiped another.! H H already had started. He declared terméd “protective custody” which CIUDAD TRUJILLO, DominicaniTwo of the men escaped with min-| Suppo" llmellghfed that present full employment can-!the controlling interests of the Pu- Republic, Aug 5—An intense earth- or injuries, while a third, Ray r s not last long, and that there wiil get Sound area are trying to main- ‘!makc and abnormally high waves. Heavilin, 16, received a fractured! WASHINGT( Aug. 5—Voters ke an inevitable decline not only! tain over Alaska. caused heavy damage in 11 tuwusfhlp. in six states mark primary election {in employment, but in preducion The Puget Sound area no longer of this Caribbean Republic Sunday! The dead were Margaret Craw- ballots tomorrow, but President | and purchasing power, "is a “foundling,” Rivers declared. and took at least two lives. ,ford, 18, Jeannette Jones, 20, and Truman's if-he’s-right-I'm-wrong The Commerce Sacretary told a It is now time to give Alaska a New tremors were felt today.|Anne Mae Heavilin, 16, all of Red-'tag on Rep. Roger C. Slaughter newsman that although the post-|“break” especially as the national This capital city was only slightly|mond. Mrs. Crawford and Mrs. pinpointed national attention on war goal outlined in his book. x- | defense of the United States is damaged. Although communications Jones were mothers. Missouri’s Fifth District ty Million Jo! has been ac : ie: result | with outlying points had not yet | ughter’s renomination bid is ed, it is the of inflaticne ! been reestablished, incomplete ac-| DEATH LIST GROWS a Demccratic contest, but the Ro- pressure. He offered some ci counts showed this damage: SEATTLE, Aug. 5—At least 24 puplicans tossed in a barb when fort, however, by declaring th; Matanzas—Completely flooded byypersous fiied in weekend accidents GOP National Chairman Carroll careful planning can cushion high waves which followed the}ll Washington and Oregon accord- Reece said at Salt Lake City last| economic shock that is coming. o, Dhetafls #4I aokiigs ing to latest reports received up to week that “The PAC, the Pender- Wallace szid he believed t the noon hour today. t machine and the Prosident” Loom period will last perhaps o 1gua and Miches—Partly flood- | e iy s ed by the rush of water from the! havegEbRbingg W B P sea. i 2 | tempt. Moca—Municipal palace and mar- | Mr. Truman announced his op- | a L] pesition to Slaughter at a rews ket place destroyed. . Ban anciios e Muootis-28 tol conference here last month in which he cited the Missouri Demo- 35 private homes destroyed, many: u dbion: to-adiiintstration other buildings damaked, one kill- SPERRIOTY UE DUIERIESLEAS C or mayke even two years. that period, he ascerted, there w Lo steadily rising employmer prices, inventories and plant inves ment. Next he foresaw the bust readjustment period, to ke follow the During | dismantlement of v- | concerned in Alaska's development ry into a strong buffer state. Indicat- m-'ed Seattle pressure opposed to the at port facilities at Prince Rupert be- ing left intact to serve Alaska in competition with Puget Sound is hoinot in the national interest, Rivers ne ' maintained. 1f the “vandalism” of Prince Rupert i1l port facilities should occur, it would nt, be at the behest of Seattle and Ta- t- coma, the Attorney General charg- or ed by inference. W~ On that point, Rivers was ed by a period of the kind that he brought up sharply by Sub-Com- d ures, adding that if ter said some people like to think of mittee Chairman Jackson, who in- - . S ariting I e { was right the President was wrong as normal. He said that in this serted his understanding that the Santiago — Severe damage to a, Challenge Taken U period, when purchasing power willl U. S. Army installations at Prince church, crphanage, stadium and! | JERSIDS SOREN 3 D). i fact ! i Slaughter t up the challenge wane, the stronger industries will Rupert must be turned over to the actory. N ty o X 1 ithi; - ' ¢ s § . oby be in a more favorable price sit-| Canadian Government within a y i saving that co far as he is cc él.‘(ilbml), th'e lc}:\gntryds 1;029?” cernediMite 5 Predasat | specified time. agricultural area, thousands of dol-| BULLETIN—Rome, Aug b Pittn e Viok 8 test oo Wa said that it will be| Rivers Counters lars damage reported. Allied Headquarters tonight an- || "l "o oo Sl e this third pericd that the| Riy countered that he hopes Old churches, dwellings and pub-{ nounced that v. 5. Army Ma- cratic party.” of full employment will be-|this is so, as the United States lic buildings were reported wreck-, jor Woods, wif¢ and son, have “ most vital He _explained Aymy, which had built up facilities At his nearby hceme in Inde- ed ff'z\c!v(ecl”anld ;v!hvf'w‘lse[ltlamage;ij been returned unharmed. No pendence, Mr. Truman will vote to- must be k2pt in the'at Prince Rupert sufficient to manyielcn Ao LG north fupther details of detainment |, .00 O Fourth District Con mer 5' pockets and business| handle immense quantities of cargo coast where the quake and high or release were given. gressional race, wkere Rep. C. Jos- must be financed withowt depend-|had found that port to be on the waves did their worst. - oing - a] ¢ rencmina- _ on a high volume of defic (Puerto Rico felt a fluctuation| TRIESTE, Aug, 5—An American D' Bel‘; L“[’r‘\ da I",[’I’L generBeT Olsa San Juan, Hellywoed film ha by b gE TR of several inches in the tide, but Army major and his wife and i")’“;‘ ]“be me;)‘;,ls,,,ll;rt -(&u)m‘f[‘ly- starlet frem Puerto Rico, is a T e the effects were negligible. The child were taken into custody by '° where Slaughter fs battling| Shapely senorita whose smooth weather bureau there said a major, Yugoslav troops near the old Ital- shock was felt at Trinadid.) 1ian battlefield of Caporetto in d (Slight tremors were felt in Cuba.'Puted Venezia Giulia yesterday, The Virgin Islands had only g mild military scurces said today. (Ioséd voice and nimble tces keep fast company. In her first feature role she sings with Bing Crosby and with Enos A. Axtell, the President’s friend, and Jerome Walsh, form OPA lawyer. . | of most it ort route” between Alaska and eastern and middle western of the United States. Rail the East and Midwest the | sectic Plants Are i o more to Prince Rupert than ! to Seattle, while water freight costs there to Southeast Alaska ! from k 3 ¢ j identified as, Walsh has the bacKing dances with Fred Astaire. (AP opened under Guard‘pur could be two-thirds the costs i “"ffl“fi“ e IGcTz:Ze nvl:&‘g;s, waasve:g:::n:? {ne|0f the Railroad Brotherhoods. The| phot) | —_— | trom Seattle, Rivers had declared. {South Pacific, whose family re- Cresident asked the Kansas City _ S il | CONNERSVILLE, Md., Aug. 5.—| Attorney General.Rivers was one |cently joined him here. His home | Pencergast organization to support Two plants of the Rex Manufac- of several witnesses to appear be- EDGAR FORD MAKES;fldd,-efis was not available immed- AXtell Lo . | - turing Company in Connersville, | fore the Sub-Committee at its |iately and headquarters of the 88th Another Truman's Friend | Indiana, were re-opened today,' transportation inguiry today; but, INSPE("O" or FED iDivision, the American Occupation| T1iS race has overshadowed In 0|ng p’ with 130 state police and 200 state| though all criticized present con- # |Force in Venezia Giulia, refused to ! al interest the bid of an- guardsmen on hand to preserve or-|ditions .and service, his was the i © of Mr. Truman's friends, Sen- der | only well-developed solution of- {comment. 0L STINA 8 / JA'[S I“ AlASKA:‘ The report said the Woods were 20T Frank l Briggs (D), for in a four-way contes stcpped by Yugoslav soldiers while f{‘-‘l"“‘“a""" e Marvin Casteel, St. Joseph, fo - other three candidat touting’ 56" ades, nesr the Demar- pute between AFL and CIO unior Edgar Ford, Repres! . Higts v Governor Ralph Gates sent th g ‘s cation Line in Venezia Giulia wherz " Y : jovernor Ralph Gates sent t‘rl T'v ;A(m\n;t_\c (?.v\erlrxie:n‘;alaczfgcxe,}wo Yugoslav soldiers recently were 1; thw‘ai' ypd“?l, l‘Su(;)zi. xslx‘xr;x:igx;ltl WASHINGTON, Aug. 5—The OPA State guards and police to th ashingten D. C., arrived last Pri-'yineq G0 20 deirmish with American RoLert 1. Young, also - Joseph, | told consumers they can ex-|Scene to uphold a court order that|sponsible for day and is making his last visit in | dex i i ‘The plants had been tied up for| fered two weeks by a jurisdictional dis i man speaks into the microphone.! additional. He’s interpreting Molotov . . . in| The Hudson Steamship Co., French. Another man speaks. which operates the Elizabete for » He's interpreting Molotov in Eng-,the Briish Ministry of Transport, g Nish. . . It takes hours. When, you asked the British government to wonder, will diplomacy ever become | intervene, claiming, the Farmer as 7 modernized? Fifteen years ago theja prize. An Admiralty spokesman Pan American Union adopted ear- | said he received a report and E. J. phones and simultaneous transla-| K. Goldsmith, Director for Hudson, tion. Delegates could pick up an|said he had conferred with Trea- earphone and get a speech trans-|sury lawyers, adding: g ' w h. ’ Puffed T d Wales I The a s ln g lon} A pass‘l‘nge shi:v:;;k o“a :;n crew I night hop, he said, turned into a hundredth birthday today by inations of their parties in primar bak- |moved price controls from 52 more Central 23, Northern Pacific 26 lated simultaneously in English,| “Messages from the Elizabete Pl e, k ies held Saturday to vie for U. S ; Hioe ropirdle. L 5. 5 -8 o o Prench, Spanish, Portuguese, with |suggested that the American Far-|SIX day excursion. X ing ples for a party tonight With senator in November. W. Howes)items. They are most minor food Lw m’]_l?!'w;rfuvl&do :04 S'sn.m no waste of time. . . But the|mer might have been our prize.| Ford was born and raised in 45 members of her family repre- \feade, Paintsville, won a Repub-|items and include everything from, ;)x s mx.y‘ e 700, \d‘ S. French don't go in for moderniza-| Lloyds have been informed because | Washington D. C. and now has his senting four generations. can nomination over four oppon-|\MmPorted crepes suzette to evapor- W; - SN BYSTANRS SPERN A | home there with his wife and four | ehildven, (Continued on Page Four) (Conn—m}rd on Page Eight) is her only recipe for longe “Hard work never hurt any! ated goats' milk and chewing to-|as follows 6253 hody"'s (Continued on Page Eight) haces, utilities 41,50, industrials 201.93, l'i'lllal Labor Difficulties was advanced by that aggravated labor are “90 percent” re- the mounting costs .| Repeatedly it 1e! witnesses he | difficulties T o ey far, DAtrols and that the family was and James P. Quinn of Kansas Olty. | o o " uee”or cotton clothing to Pickets were not to interfere with|of the Alaska service. e i g TP Still being held. James P. Kem of Kansas City, aincrease very soon by six to eight Workers returning to their jobs., | Criticism of labor's position in shal’s office In the Ell_ ory. 1 classmate of Senator Robert Taft percent. | - - — | the shipping view became so in- Hord “has - been | DIASREE I“CMA" Girl! (R-Ohio) 1s seeking the Republican | ; LR ¢« STOCK QUOTATIONS | icwse that Rep. Jackson, just be- finding survey of conditions which a " H Senid B i e G s The price agency expects the cost fore recess was taken at 1 o'clock lexist in the jails in the effort to . Se 2 ¥lof household linens to go up 17 Ay X ; s i You Said It organization support | e rest ot b itis] “NEW YORE, Aug. 5. Olosing) bis -afterncon, was maved.lo el promote further improvements. | o oes T Democrat, John | PEFCent as a result of higher textile ) . Aug. 5. SIN{ (hat Jabor SpoRBRoLoRbS GOV T | He left Washington D. C. about e ¥ % 'ceilings that have been ordered in- quotation of Alaska Juneau mine vy 4 i s 5 Young Brown, Lexington attorney A . s appear before the committee to June 9 and had expected to com- | oW 5. Lo A e |to effect immediately. The increase stock today is T's, American CAN|procon ieir case plete his trip by the middle of July, ! and former Congressman, and Re-1; yo ine prices is required under 100%, Anaconda 46'%, -Curtiss-| ' aen’ o 4 Pt 2y ublican John Sherman Cooper, p Ao R ] haf tnw Wri e Tnlainabianal \itae Two witnesses from Interior Al- but traveling conditions in the In-| PpHILADELPHIA, Aug 5.—Mrs.|gomerset Gireult Judge, Won nom- the new price control law ; 7 jemnd ona .m 5| aska, Al Anderson, Secretary of the terior were very poor. One over- prances Snyder celebrated her one | Meanwhile, the OPA also has re- | ter Kennecott 577, New York | Alaska Miners Association, and | former WPB Chairman Norman H. | Stines, who spoke for the Fairbanks Chamber of Commerce, went so far '€ as to assert that a government sub- [Continued on Page Two) INEQUITY HIT AT HEARING i