The Daily Alaska empire Newspaper, March 21, 1947, Page 1

THE DAILY ALASKA “ALL THE NEWS ALL THE TIME” VOL. LXVIIL, NO. 10,533 EMPIRE _ MEMBER ASSOCIATED PRESS PRICE TEN CENTS JUNEAU, ALASKA, FRIDAY, MARCH 21, 1947 — .. Communist Governments Dan HOUSE FAILS |[FOUR-ENGINE |Army Unable fo Assist ~ InExpense FISH TRAP FEE VOTED FAT RAISE | Disabled Fisnermen’s Fund| Measure Is Worked | Over This Morning A big bump was raised on the| fish trap tax this morning when | the Alaska Senate passed H. B. 93,| by a 13-3 vote, Senators Engebreth, Peratrovich and Scott opposing. The Senate discussed taxing fish- | ermen for medical care, unani- mously tabled a bill for beer par- lors, empowered city councils to zone, plan and collect garbage, and refused Saturday holidays for Ter- ritorial employees. | The lump on the trap license | tax amounts to an additional $100 | cach on four-to-ten traps held by a single operator and each on traps over ten multipally il(rug Predicis Early Development of Pulp TO POSTPONE Plants in Terrifory LABOR BILL FUNDS FOR - LABOR DEPT. CUT DOWN Props Are Knocked from Under USCS as Climax to Long Feud WASHINGTON, March 21.—(®— The House Appropriations Com- $200 more mittee voted today to knock the!cessing,” Krug said. financial props from under the WASHINGTON, March 21.—(P— S. B. 77—To provide for a re- Any newsprint concern which plans ferendum on the question of the to saw into Alaska's untouched | closed shop—escaped indefinite forests must also process its logs| pcstponement by the narrow mar- there, Interior Secretary J. A. Krug|gin of 11-13 votes in the House of has ordered. | Representatives yvesterday after- Krug told reporters the Interior!noon. | Department “fully supports Forest! The motion to indefinitely post- | Service policy” .in this regard. pone the bill, made by Rep. Hunt- Krug said a number of groups|ley and seconded by Rep. Almquis arg “very actively considering” es-|came as soon as it had been plac- teblishing Alaskan newsprint and)ed before the House in second | pulp plants costing $20,000,000 to |reading. The motion which, had it | $30,000,000 each, and capable of carried, would have ended consider- | producing 600 tons of newsprint a|ation of S. B, | day. | was hotly debated before it came He predicted that “one or more [to a vote of the projects will go through be-| Re. Robert Hoopes protested lay- "Iuro too much time passes.” ,ing aside the bill before it should “Some interests want to cut logs|even have a hearing and charged in Alaska and bring them to the|that those who desired to kill the | United States or Canada for pro- measure for a referendum were the “very ones who so loudly asserted | “One of the chief reasons wc‘llmt they believed in referring any owned. That total tax on driven or}Unlted States Conciliation Service want to establish an Alaskan pulp | question of policy to the voters at floating traps in those categories would now be $500 per year | $700 per year, respectively, plus v.hej already prescribed per-thousand- | fish levy on all salmon taken in ex- | cess of 100,000 per season. Industry Not Opposed Senator O. D. Cochran did not vote against the bill, but did com- | ment that taxes can be advanced | to a point where they can become | confiscatory. Taxation Committee Chairman Victor C. Rivers was up-| held by W. C. Arnold, managing director for the Alaska Salmon In- dustry, Inc., in a statement O.hat.L the canned salmon industry does' not oppose, though it doubtless does! not welcome, the added levy. Senator John Butrovich, Jr. was thereupon joined by Rivers in the ironical assumption that it would‘ be all right for the Senate to pass | the bill. Senator Edward D. Coffey | closed the discussion by asserting that passage of this additional fee might bring in so much revenue from traps that the Territory would | rever get rid of them. The House Fisheries Committee | bill—Substitute for H. B. 34—pr viding for upped commercial fishex—‘ nien’s license fees to create a fund to care for sick and disabled fish- ermen, was carried over until this afternoon to prepare an amend- | ment for which it was reverted to second reading. Arnold appeared | also on this measure, and it was he that suggested the amendment, which would exclude employees on | fixed salaries who are now covered by the Alaska Workmen's Compen-" sation Act—such as trap watch- | men. Taxed, No Benefits Arnold objected to these men | who would receive no benefits un-| der the bill, being subjected to the license increase. Senator N. R. ‘Walker had already secured adop- | tion of an amendment excluding‘day that there was still a fairjally may be as important to the. | the 1780 bill to finance the Labor Depart- | (no real contribution | peace.” and |L. Warren and a number of top mote the Territory’s economy. aides. Climaxing a long feud between Warren and Rep. Keefe (R-Wis), action highlighted a $1,685,558,- ment and the Federal Security Agency for the year starting July B The measure will be debated in the House next week. Keefe is Chairman of the Sub- committee which drafted the bill. He has accused Warren of having been affiliated in the past with “Communist-inspired fronts” and of having advocated the right of government workers to strike. The Conciliation Chief denied knowledge of any Communist- sponsorship of the groups when he Joined them and told the Com- mittee he has changed his mind | | !,about the right of Federal workers | OBSTRU(I|NG to strike. In addition to its blow to the Conciliation Service, which pro- vides Federal mediators in labor disputes, the Committee also cut by nearly 50 percent the money President Truman asked for the National Labor Relations Board. In granting the NLRB only $4,- 033,700 of the $7,984,000 requested, the Committee said it was split over a suggestion that the Board be abolished because it “has made to industrial RUBBER STRIKE MAY BE AVERTED AKRON, O, March 21.—(P— |Union and company officials of! Some delegates to the economic| the “Big Four” nation’s rubber hinted strongly to- producers of the | by refusing pay for Director Edgar and newsprint industry is to pro-|the time the fish trap referendum ! was under consideration. In answer to a statement by Rep. Maurice Johnson that results of | the Labor Committee hearings on y “Just one of the six mills pro-| posed would support a greater pop- }ulatmn than the biggest town now |in Alaska. i the bill had not yet been made “One plant, with its employees|availakle to other members of the and their families, would bring to| House, Rep. Garnick announced Alaska 12,000 persons. The Interior thiat mimeographed copies of the Department fully supports the For- | testimony at the hearings would est Service policy that processing|be passed out o1l Alaska logs must be done in Al- | Copies o1 “Testimony” aska.” | Krug said timber resources of | | Alaska can permanently supply one-fourth the present U. S. de- mand for newsprint ——-— ‘The “testimony” when the copies ere received, turned out to be three mimeographed sheets largely devoted to arguments on the closed | shop with little relating to the re- ferendum question. Rep. McCutcheon j bas received SOVIETS ARE said that he approximately 1,100 testing passage of S. B. 77. He pro- (duced a few of what he indicated i were letters and telegrams on the subject and said that the bulk of | the communications were at his | hotel. McCutcheon did not elabor- iau‘ iurther, but a large proportion jof the total number is understood , to be form cards which were passed !cut at an Anchorage mass meeting, iall of them addressed to Rep. Mc- @ | Cutcheon. The fight labor is making against {S. B. 77 indicates that labor is ;scared to death of the verdict the jbeople may return in a referendum, ;'Rep. Maurice Johnson charged. By MAX HARRELSON e 7 Unions are noted for their dis- 21LA‘KE SUCCESS, N. Y., M‘““‘icnmnmtmn, Johnson said, and 32 qz.‘;om_oq m?:d ngy n:;e glr;a‘tz;t Ig:‘;uninns in the United States, with E es ~la total shi tions today in the field of long-| FRppershi. plahiotegtian » two and a half millions, still d . | 3 raw ‘;:&iemgionz;"lcsgifl;m“; us‘ssla ":g the color line in their membership, ¥ | “A vot ins! S participate in the specialized agen-i77 o huatst DAGEIRIED B 8. . is a imi |cies designed to coordinate Bnd'average g:fic;::u:::iw\r/‘ot“ah;sn lthc |improve world economy. { er of Alas- ika,” Johnson asserted. and social council state frankly in! mfli?:" gE?n %ngersoln, Alyagriwiliisg Iprivate conversation this eventu-! Suiebody - el ket - on a hot issue, suggested - UN ACTIVITY ‘Reluctance fo Participat ' in World Economic Ac- | fivies Is Handicap i cision i 4 | ithat the closed shop is a r fishermen, such as those aboard .p.n.e of averting a strike set Juture of the U. N. as President| P matter documented boats, who are eligible | for care by the U. S. Public Health! Service. | Arnold expressed no other ’efll!handxi’t given up the idea of a! TDEY point out that | peaceful settlment of the wage con- | Position has attracted very Itroversy by scheduling a meeting notice, since it has developed overI (Continued on Fage Zight) ThefWashi_n—gto'ni Merry- @-Boun‘di By DREW PEARSON ‘WASHINGTON—The U. 8. Mar- ine Corps, with one of the greatest fighting records in the world, has| now been reduced to the degrada-| tion of acting as servants. The Marines don’t like to admit it, but two official orders signed | by Col. Donald J. Kendall cannot | be disputed. Despite the great re- cord of the Marines at Iwo Jima, Tarawa, and a dozen other places, and despite Marine regulation 553 which states that “under no cir-| cumstances shall any enlisted man | be employed as a servant,” they| have recently been drafted as ser- vants just the same. | The orders were issued at Mar- ine barracks in the District of Col-| umbia, oldest Marine Corps post | in the USA, to serve at two cock- tail parties given by the Marine| Corps Commandant, General Alex- ander A. Vandergrift. The first order drafted 12 ser-| geants and seven corporals to act as bartenders, assist in checking coats and hats, act as doormen and park cars at a Christmas party. Most degrading part of the order was that the sergeants and corpor- (Continued on Page Four) for Sunday midnight. Leaders of the CIO-United Rub- ber Workers disclosed that they in Cleveland tomorrow. ----- .- WACHUSETT OUT ON EMERGENCY CALL OF EDNAD. USCG Cutter Wachusett receiv- ed an emergency call for assistance shortly before one o'clock this af- ternoon from the Edna D. of Sitka, and left: immediately for Outer Point of Douglas Island. Comdr. Edgar V. Carlson said that the report stated the Edna D. was high-and dry near Outer Point. ———.— LIGHTERAGE CASE BRIEFS ARE FILED IN WASHINGTON Notice has been received in Ju- |neau that the Territorial Attorney General and the Alaska Develop- ment Board have filed briefs with the U. S. Maritime Commission in | Washington, D. C. requesting a 25 percent reduction in lighterage rates charged by the Lomen Com- mercial Co. at Bering Sea ports. The brief contends that “a prop- er scaling of the general and ad- ministrative expenses of the light- erage operation would make pos- sible the requested reduction and still leave the Lomens with an ade- quate return for their efforts and investments,” Truman’s request to Congress for | Which should be settled betwhen the 1$400000,000 direct aid to Greece|Unions and the employers. Pre- land Turkey. viously this session when the going Russia’s | Pécame a little rough he had sug- Iittle;geStEd that the methods of select- ing National Committeemen, etc., a long period of time, but that her |2nd of holding party conventions {reluctance to take part fully injShould be left to the political par- |world economic activities is ser-|ties rather than be decided by the | |iously handicapping many organi- | Legislature. | zations. | The vote on the motion to post- | ssia has refused to join such|Pone S. B. 77 indefinitely was: |key organizations as the Inter-| Yeas, 11--Almquist, Ed Anderson, Inational Bank for Reconstruction|Barnett, Engstrom, Garnick, Hope, {and Development, the International Huntley, Frank Johnson, McCutch- Monetary Fund, the Food and Ag-|e€on, Ost and Snider. ricultural Organization and the; Nays, 13—C. D. Anderson, Coble, International Civil Aviation Organ- | Egan, Hoopes, Maurice Johnson, | ization. yJoy, Laws, Meath, Newell, Nolan, | She also has refused to partici-|Pollard, Vukovich, Gill. pate in the preliminary work to set K —— lup a world trade organization,; ‘which would havé jurisdiction over |such matters as tariffs, industrial develapmepr,, , restrictive business practices and international com- modity arrangements, |STEWARDESS (Continued on Page Thres) > ISpring Is iHere! AEUEE“ i Hurrah CHICAGO, March 21—(®—Spring arrived officially today and the ination had a fresh, warm welcome {for the first season of the year. Louise Leitner, stewardess with| General: ® ou b y fair weather prevail- Pacific Northern Airlines, stopped.eq oyer vlrtu:lly the enm-eD coun- at the Baranof Hotel last night!try, the U. 8. Weather Bureau re bound for the States on a vacation,-poned_ However, cloudy weather Miss Leitner was Fur Queen at theland light nsow covered an area Anchorage Fur Rendezvous. (comprising Wisconsin and Illinois She plans to travel to Portland,|eastward into Ohio. Temperatures Oregon, for a visit, and the_n wil!‘ generally were moderate and near continue to Kansas City, Missouri or slightly below the seasonal nor- for a visit with her family. mal. A ——— But the departing winter will be Probably the most fertile fish infremembered in many sections of duces 30 million eggs at a time. able, 77 for this session,} PLANES FOR ALASKA RUN SEATTLE, March 21.—(P—Four- engine Douglas DC-4 Clippers will ireplace twin-engine equipment on Pan American World Airways’ Pacific-Alaska Wolfe, Division, Thomas Divisional Vice-Fresident, today. Service will begin as soon as proving flights have been com- pleted and additional aircraft have ! announced \been added to the one DC-4 al- I ready delivered, Wolfe said. The ‘new clippers will have triple the load capacity of the old equipment ,and will cruise 40 miles an hour | faster Army permission to use i‘Fleld at Fairbanks made the new service possible. The four-engine planes will clip three hours off {the present 12-hour schedule to | Fairbanks with intermediate stops, ,and four hours non-stop. -ee . DEMOCRATS - T0 OPPOSE ~ TAX SLASH Republicans Count on Ma- ¢ jority Control fo Push | Over 30% Cut | WASHINGTON, March 21.—#— percent with Territorial or Muni- Pating in the maintenance of the { telegrams, letters and’ cards pro- j Democratic members of the Hou.se\m»pm funds, and an enabling act Haines Cut-off road.” i{Ways and Means committee to- iday decided to oppose any tax re-| ;ducuon plans proposed by Repub- Jicans or anyone else this time. | They met with Democratic Floor {Leader Sam Rayburn as the Re- ‘puklican-controlled committee went \into session to approve a bill call- {ing for a 30 percent slash for small |taxpayers and a 20 percent cut for most others. : Rayburn told newsmen following Ithe Democrats’ meeting that they ifelt the entire matter of tax re- !duction should be deferred until iCongress has a better idea of !the nation’s fiscal situation and 'how much money will be appro-, priated. | “That will be the attitude of !Democrats in the committee and iin the House,” ! The Republicans he commented. counted on |their five-man majority in the ‘committee—made up of 15 Re- |publicans and 10 Democrats—to drive through the income tax cut. | As approved by the Republican steering committee yesterday the bill gives a 30 percent income tax islash to low-backet taxpayers and ‘a 20 percent cut to most others. The original tax-cutting legislation was proposed by Chairman Knut- 1.\011 (R-Minn) of the committee. 'SHIPMENT SEED OYSTERS COMING FOR PETERSBURG | SEATTLE, Marca 21.—®—A 10, 000-pound shipment of Japanese seed oysters part of the cargo of | the freighter Tongass, scheduled to i sail today for Petersburg. The oysters will be delivered to | the Kayler-Dahl Fish Company of Petersburg and planted in nearby ! waters, according to representatives of the firm in Seattle. They are |part of a recent shipment which arrived from Japan on the motor- ship Island Mail. | The Tongass will also put in at Ketchikan, Juneau, Haines, Skag- | way, Hoonah and Pelican STOCK QUOTATIONS NEW YORK, March 21.—Closing | quotation of Alaska Juneau mine :stock today is 5, American Can 95, | Anaconda 39':, Curtiss-Wright 5%, International Harvester 84, Kenne | cott 44'%2, New York Central 17%, | Northern Pacific 18%, U. S. Steel 173, Pound $4.02%. . | Sales today were 710,000 shares. | Merrill-Lynch averages today are 'as follows: industrials 176.91, rails 48.88, utilities 35.76. | — eee—— | TACOMAN IN JUNEAU W. W. Duncan, resident of Ta- coma, Wash, has arrived in Ju- ) anof, Ladd! Haines Cut-Off Open | ACTION ON VETO T0 BE TOMORROW ; = ! The House of Representatives \this morning cooled off what had |promised to be an inflamatory forenoon session by postponing |a second consideration of S. B. 32, the net mining tax bill, which had been vetoed by the Governor, |un|ll tomorrow morning, and to put off discussion of 8. B. 77, the |closed shop referendum bill, until (this evening at 7:30 o'clock. The only other House action this imorning was routine passage of one iSenate bill and four Senate mem- jorials and a preliminary hearing lon the merits of S. B. 48, the bill| lto set up an Alaska Aeronautics Commission The latter measure was placed at ithe head of the calendar to per- Imit Marshall Hoppin, president of | Alaska Airlines, to be heard. Hop- I pin scheduled to leave at noon ltoday for Anchorage. Ten million dollars Ifunds is available for construc- !tion and improvements to air- fields in Alaska during the next| ,seven years, Hoppin told the jHouse. Availability of these funds, | however, depend on two things IMatching to the extent of 25 in Federal {such as S. B. 48. | Uniform Legislation | This bill, Hoppin said, follows' the requirements for uniform legis- ' lation set up my the Civil Aero- | nautics Authority except where it | ,was found necessary to modify it to comply with the Organic Act.| He pointed out that the half-cent| per gallon tax levied on aviation | gasoline used in the Territory would make the commission self- sustaining and gave $50,000 as a| 'rough estimate of the amount that will be collected from the avia-| tion industry during the next luon-i nium. ‘Transportation has become one| of the prime economies of the Territory, John Manders, who fol- lowed Hoppin on the stand, told the House. This bill, he said, would benefit all airlines in Alaska | by assisting to build the facilities by which aviation can be carried on. | Manders, executive vice presi- dent of Pacific Northern Airlines, explained that most non-military arfields in Alaska are inadequate to handle the four-engined planes now rapidly coming into use, and that this bill, if enacted, would permit both municipalities and the Territory to secure Federal funds for their improvement. Measures Passed ! The House this morning passed ‘the following Senat: measures: S |B. 162, amending the Veterans 'Tax Act as it applies to exports; |S.aM. 20, asking for negotiations |with Canada for the purpose of ‘keeping the Haines Highway open; | !SJ.M. 21, asking for an extension 1of roads on Kenai Peninsula, and {S.J.M. 24, asking that all Federal ichecks for Alaska veterans be airmailed to their destinations in- stead of being sent by regular mail. .- 'KNOT FREIGHTERS ARE BOUND NORTH: HEAT DISPUTE ENDS SEATTLE, March 21.—M— The freighters Rose Knot and Terminal Knot are enroute to Alaska today lafter installation of temporary portable electric heating units end- ed a dispute over heating facil- ities yesterday. The two vessel whose departure had been delay several days, sailed last night. Demands by the Sailors’ Union lof the Pacific and the Marine Cooks and Stewards Union for| ’larger boilers and sealed quarters brought a guarantee by the Mari- time Commission that all such| vessels would be equipped with new | iboilers as they became available,| inot later than next October 15. | | A tieup of 12 of the “Knot" type d threatened. gerous To U. S. STATEMENT - GIVEN OUT. BY ACHESON WASHINGTON, March 21.—(®—| Gen. Dwight D. Eisenhower, Chief e o st mtormed senator g State Department Official nuson (D-Wash) today the War; H Depattment aocs not teet sustrea) ANSWerS Questions at in participating in peacetime 2 off from the Alaska Highw: | PABCHD Y4 Magnuson had asked the Gen-i WASHINGTON, March 21— eral if the Army would aid in|Under Secretary of State Acheson keeping the Cutoff open if it xs:sum toady the existence of “Com- closed March 25 by the Canadian munist - dominated governments’ government. inny place in tha world is “danger- The Cutoff, built by the Army, ous to the security of the United runs from Haines, Alaska, through|States.” Capada to the Alaska Highway, Acheson made that reply when which leads to the interior of the Rep. Judd (R-Minn) asked wheth- Te! ritory. eroa Communist-dominated gov- “As you know, the Alaska High- ernment of China would ke a way was built to provide an over- danger to United States security. land route of supply to Alaska| For the second straight day, during a period when sea routes Acheson testified before the House to that territory were threatened'Foreign Affairs committee on by enemy action,” Eisenhower | President. Truman's request for wrote to the Senator. |authority to use $400,000 plus mili- “In order to utilize the protect- tary advice and mate ials to help ed inside passage water route in Greece and Turkey resist Com- conjunction with the Alaska |munist aggression. Highway, the War Department' Before Judd's question, Ache- constructed a port at Haines,'son said that a Communist-dom- Alaska, with a connecting road inated government would be con- to the Alaska Highway, known |sidered dangerous to this country's as the Haines Cut-off. security. “The overall value of such an| A moment later, he commented alternate route of communication|that “Communist organizations during World War II justified its'throughout the world appear to construction and maintenance. act with a high degree of discipline “In peacetime, however, the in- and unanimity which is beyond the terest of the War Department in'probability of coincidence.” Haines Cut-off is concerned snl(-'-' > ly with its strategic value “Considering this view point only,! I am sorry to inform you that the, War Department would not feel e o Government e ForGermany Gold Nugget = Mapped Oui Awaifed by | seccon s o n e ! tish Foreign Secretary Ernest Bev- it laid before the Foreign Minist- o jers’ Council today a six-step plan ru s a ,‘rllm' the creation of a federalized | government structure intended to ‘.nmk«- Germany a self-governing, | democratic state. SAN FRANCISCO, March 21—, Britain’s views on the govern- (P—Theo A. Elbert, 3l-year-old ment structure for Germany were San Francisco housepainter Wwho!get forth in a 600-word paper. served as an Army sergeant in the, 71t called for creation of a two- Yukon, is awaiting the aerial ar-)house legislative along the lines of rival of Chuck and Pete Schwerdt, the U. S. Senate and House of Re- Yukon mining brothers, with a!presentatives, a President without “surprise” which may be “half a executive powers and strong state gold nugget as big as an Idaho rights. potato.” { Bevin was the first of the four The brush-wielding former ser- | ministers here to place his ideas geant grubstaked the Schwerdts on the structure of the German several years ago, but then lost!state before the Council. track of the gold-seekers. Informants said the British plan After sending a letter to New envisioned a lower legislative cham- York telling of striking it rich, the, ber elected according to population Schwerdts learned through an As-,and an upper chamber elected on sociated Press story Elbert was in:the basis of a fixed number of re- San Prancisco. Their letter said: presentatives from each of the they wanted to reward their backer laender (states). with half a big gold nugget. ! PSS % S Last night Elbert talked by phone with the Schwerdts, who were in Toronto, and afterwards said the' brothers were 1ilying down to give . Lim a ‘“surprise.” That was much as they'd say but Elbert as sumed it was the nugget. - .o Auto Workers MakeRequest Higher Wages By CHARLES C. CAIN LOUISVILLE, Ky, March 21— (#—The CIO United Auto Workers toda formally asked General Motors Corporation for a 23': cent hourly wage increase for an estimated 225000 GM production workers. Union spokesmen said the pro- posed boost would bring the av- erage wage of the company's pro- duction workers to $156': an WEATHER REPORT Temperatures for 24-Hour Period Ending 7:oy 0'Clock This Morning. In Juneau—Maximum, 46; minimum, 38. At Airport—Maximum, 46; minimum, 37. WEATHER FORECAST (Juneau and Vicinity) Rain showers and dimin- ishing southeasterly winds tonight and Saturday. Not hour and would cost GM about much temperature change. $2,115000 a week UAW sources based their coi - PRECIPITATION 4 s tation on reports that GM work- ers now average $133 an hour. Some other sources set the earn- ings at $131. GM was asked to grant the wage ® |increase effective as of March 19, ® ‘although the UAW-GM contract ® provides that no wage increase can ®ibe put into effect Lefore May 31, ® ! without mutual consent of the two parties. (Past 24 bours endirg 7:30 a.m. today) In Juneau 28 inches; since March 1, 829 inches since July 1, 75.62 inches. At Airport — .16 inches; sincg March 1, 4.88 inches; since July 1, 49.16 inches. 0 00se0ve00®r1 000000000 . ° . . . . . 2 . . . . . . . . . . . . . . . . . . ot e HERE FROM PETERSBURG Walter P. Reuther, UAW pres- Bernice Folger, employed with'ident and co-director of the un- the Petersburg Air Service at Pe-'ion's GM department, presented the world, the common ling pro-|the country as generally disagree- neau and is registered at the Bar-|freighters serving Alaska had been tersburg, is registered at the Bar- the proposals to GM officials at anof, Detroit today by proxy.