The Daily Alaska empire Newspaper, July 15, 1947, Page 1

THE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” = VOL. LXVL, NO. 10,630 JUNEAU, ALASKA, TUESDAY, JGLY 15, 1947 MEMBER ASSOCIATED PRESS PRICE TEN CENTS HOUSE PASSES ALASKA TIMBER BILL DEWEY LEADS POLL AS GOP CANDIDATE Governors aTMeeiinfi in Salt Lake Take Secret Ballot on Nominees SALT LAKE CITY, July 15—/®— Gov. Thomas E. Dewey of New York won first place by a wide margin today in a secret-ballot poll of Republican governors expressing their preference for the 1948 GOP Presidential nominee. Democratic governors showed such a wide variance of opinion in the same poll that only one potential candidate got as many| as two first place votes for the vice Presidential nomination. He former Secretary of State James F.| Byrnes. In a poll conducted by the Asso- diated Press in cooperation with the! Deseret News and the Salt Lake {felegram, Dewey received 10 first place votes and his nearest con- tender, Gov. Earl Warren of Cali- fornia, two. The remainder of the. total of 17 first place votes cast by the Re- publican governors were distributed | one each to Senator Robert A. Taft of Ohio, former Gov. Harold E. Stassen of Minnesota, Gov. Dwight Green of INinofs, Senator Leverett Saltonstall of Massachusetts and Senator Edward Martin of Pennsyl- vania. The indecision. of Democrats about a vice 'Presidential runner with President Truman was demon- strated by single first place votes for nine possible candidates, fol- lowing the two for Byrnes. This field included Secretary of State Marshall, who addressed the-! annual Goveraors' Conference here last night. Others are Navy Secretary For- restal, Commerce Secretary Harri- man, Gov. Mon Wallgren of Wash- ington, Senator Scott Lucas of II-| linois, Senator Harry Byrd of Vir-j ginia, former Gov. Robert S. Kerr of Oklahoma, former Gov. Ellis Ar- was | Blimp Plunges Info Ocean As Occupants Jump; Rises ~ Again, Then ComestioEarth | EUREKA, Calif, July 15— Navy blimp K-99, caught in a ter- rific down-draft of air, plunged in-| to the ocean south of here yester-; day, and, after its 11 occupants! had escaped unhurt, rose again to: come finally to earth eight miles| north of Eureka. | Lt. D. E. W. Devaney of San| Jese, Calif, Commander of the 250-foot craft, said it became un- manageable when caught in the draft while cruising approximately | 150 feet above the water on a pho- I [ KRUG GETS AN ADVISOR FOR RAILROAD JOB | tographic mission for the California \Former Chief of Army Rail | Bureau of Marine Fisheries. Service Starfs for Al- | ”'ri ' iout section of the gondola 2 2 was torn from the craft and both aska with Aides !D(*\'anv_\’ and the co-pilot, Lt. B. A. | —_— | Goetze, of Minneapolis, were thrown , WASHINGTON, July 15.—(®—into the water. The Interior Department said to-| Six of the nine men remaining day Carl R. Gray, Jr, St Paul.‘uu the blimp immediately took to Minn., railway executive, has been a rubber raft. Three of the Navy appointed special adviser to Secre-|men, whom the pilot did not name. tary Krug on the rehabilitation of | remained aboard in an attempt to, the Alaska Railroad | regain control. They finally were ( The Department also reported the | forced to leap about 10 feet when railrcad has acquired from war sur-|the blimp became airbbrne again | plus holdings 17 locomotives and|and started to driit away, out ux| 285 pieces of rolling stock, includ-!control. ing freight cars, gondolas, twin| It is understood that the Navy | hoppers, balast cars, troop sleepers |cxpected to salvage the blimp and iand hospital cars. The latter will! recommission it. | ibe converted into freight cars. Most | — g oi this equipment was placed in| | | service early last month. ‘u S DE(lARES‘ l [N ] H | Gray, Vive-President of the Chica- {go &' Northwestern Railway System, ¥ ins a ‘Major General headed the War | A ! Department’s. military. railway ser- ! 3 i i { | He left for Alaska Saturday. He| ' {was Accompaniéd by William R.! g t i Irwin, assist. to the Vice-President E 4 of the Great Northern Railroad, . jand E. F. McFadden, General Store- 'keeper cf “the Union Pacific Rail- | i way. ! Th.rt tl’n‘ee will survey the Ala\ska‘first O"i(ial Po'“(y State-‘ Railroad's needs with regard to a| men‘ |nS'deng Ge“ proposed five-year $34,000,000 re- t habilitation program. i ——————— BERLIN, July 15. —The Uni First View of Takes Place - UNSC Takes Up Problem | President Will Reject Leg- islation Same as He Did i WASHINGTON, July 15 —~®—1 The White House said today. Presi- (HA“G'NG duction bill will be sent to congress this week—probably on Friday. ' i Mr. Truman had given notice that he intended to reject it as he had a; assurances that the veto would be| forthcoming promptly after he re-1 : ¥ ON FRIDAY! Previous Measure dent Truman's message vetoing thes In advance of final t'ongressiuual,{ previous similar Lill. He also gave| ceived the legislation new $4,000,000,000 income tax re-l action on the Republican measure, | I Charles G. Ross, | Press Secreta By The Associated Press in discussing plans for the veto! A Greek Cabinet Minister an- message, told reporters that the bill} wounced today “the situation has White !’ is expected to reach the 1 rapidly changed in favor of nation- House some time during the day. The possibility of putting the bill! al forces” in northwestern Greece, ISerious Turn of Events| 14-Year-0ld Father Awais His Daughter CHEL . Mass., June A l4-year-old youth today anxiously awaited the first view of a daugh- ter born to his 14-year-old bride | in Chelsea Memorial Hospital. The proud father, Miller Mitchell, will be just old enough to meet the maternity ward’s age requirements. | Visitors must be at least 14. Dr. Barnett H. Rosenfield, who | delivered the six-pound ten-ounce baby, said mother and daughter were doing well. | Hospital attaches reported the | mother was one of the youngest in the institutions history. The couple was married more than a year ago. ; 15.—h— | SENATORS WILL TREK Born fo I4-Year~0ld Wife, TO ALASKA SubcommifleT Will Study Newsprint Possibilities in Territory WASHINGTON, July 15 —(P— A Senate Small Business Subcom- mittee voted today to visit Alaska to study the possibilities of pro- ducing newsprint from timber on government-owned lands in the Territory. Chairman Capehart (R-Ind) said | the group expects to make the trip | |in the latter part of August. Other was acted upon favorably by a Sen- | members are Senators Martin (D- Ta), Murray (D-Mont), Ellender (D-La) and Cain (R-Wash). In a statement issued after a MARSHALL ADDRESSES closed meeting, Capehart sald, the committee agreed to invite the In-| terior, Agriculture and Justice De- partments to send representatives: and to invite publishers and others interested in the problem to make ! WOULD OPEN DEVELOPMENT OF PULP MILLS Measurev Now Goes fo | U. 5. Senale for lts Consideration WASHINGTON, July 15—iP— The House of Representatives has | passed House Joint Resolution 205, |legislation which permits the De- | partment of Agriculture to sell tim- ber from the Tongass National For- lest in Southeast Alaska, and the I measure now goes to the Senate. However, an almost identical bill |ate committee July 3 and it is be- lieved that the Senate will adopt the House resolution, perhaps with- out reference to committee. The bill, in addition to authoriz- ing future timber sales, validates timber sale contracts previously made by the Forest Service with private lumbermen. The legislation, if approved by into law over Mr. Truman’s veto has virtually disappeared despite the 60 to 32 vote by which it pass- ed the Senate yesterday. Although |this gave the tax cut advocates a 28-vote margin, it fell two votes| shy of the two-thirds needed to override Presidential rejection. R R R INDUSTRIAL HEADS LAUD COAL PEACE Says New UMW Contract Will Aid Production, Against Inflation WASHINGTON, July 15.—P— where the army was reported mov- ,inz into battle positions against iuum'ril]u.s who the zcvernment said Teinvaded” Greek soil from Albania In London, where the situation described by British govern- I'ment scurces as a “very serious ‘turn of events,” a Foreign Office spokesman said Britain was inves- i tigating Greek charges and that an Jinternational brigade was invading ;Ihv strife-torn country. A govern- {ment informant said 'if the charge ug; onsidered founded, a joint Bri- #®h-American protest may be lodg- {ed with the United Nations. | The UN Security Council already !was in extracrdinary session on the | Greek situation. The United States |demanded at Lake Success that the | Council give top priority to the centire. Balkan problem in view of lits “urgency.” { The Council deferred a scheduled | discussion of a giobal pelice force | when the Greek government plead- ed that the Balkans debate be ex- pedited. | i was . GOVERNORS }Says U. . Has Reached| ‘Turning Poinf’ Regard- | I ing European Relations | SALT LAKE CITY, July 15.—®— I Secretary of State Marshall told| ‘thr nation's governors that the | United States has reached a “turn- 1lm; point” in Burope relations and] got prompt assurances today of bi- | partisan support for his plan to| help rebuild Europe. | Unless it elects to lose its “incal- culable stake” in Europe, the Cab-| inet member said America must ex- | tend a justifiable, measure of aidi to friendly countries or see them driit into a non-Democratic orbit. | In a crowded eight-hour stop-over on a strenuous round-trip flight |frcm Washington, the graying sol- dier-diplcmat told the gcvernors'; | “long-range solution to the problem | the trip. They would pay their own ) the Senate, would open the way expenses. ithis year for at least two huge The Committee has been studying | Pulp and paper concerns who have ways of easing a shortage of news- |Immediate plans for bullding plants print—the paper used in printing in Alaska, one near Ketchikan and newspapers. Capehart said an end One near Petersburg. The invest- to the scarcity is not expected in!ments for each mill might run as the and the 'high as $30,000,000. Support Six Mills necessitates the investigation of infil Secretary of the Interior Julius creased production potentials.” A. Krug recently testified that “We are convinced that Alaska'Southeast Alaska could support six can play an important part in such iSUCh mills on' a perpetual basis, a program.’ ne added. \each employing 2,000 workers, but RLHE R TR A ' supporting towns of 12,000 pop- ite started on the mills at once, it ’would take three years to build HOUSE. Io SENAI ;tion almost at once even though '] ithe mills would not go into pro- | duction untfl 1950 or 1951. * 'ceptnble by the industry, a §0-year contract would be drawn up with COMPROMISE NAVY ' % P each mill. This would mean the | Under contracts proposéd by the !the stumpage price agreed upon in “foreseeable future” It 1 estimated that it work could MEASURE PASSES : ‘employment of many in construc- CaSh App?o—pfla'iOH Of jForest Service and said to be ac- Over 3 Billion Given Clay SinceWar'sEnd | : cu"en' FIS(BI Yeal’ ;Lhe beginning standing for 10 years fell of Gemgla and Bihator Yosent} conference here that there is “no C. O'Mahoney of Wyoming. - eee——— NEW PATROL BOATS: WILL BE ADDED 10/ F&WS FLEET IN 1948 Two more patrol vessels will be built for use in Alaskan waters for the U. S. Fish and Wildlife Ser- vice. Regional Director Frank W. Hynes said today that Captain Roy V. Cole, F&WL Port Captain, has gone to Seattle to supervise the | :NOT ENOUGH SPACE IFOR TOURISTS ON ALASKAN VESSELS Businessmen, Residents Occupy Much of Avail- able Room on 4 Ships George M. Humphrey, Pittsburgh| The appeal came in the form of | official statement of policy govern- coal and steel executive, said today [an extraordinary Greek letter to ing Germany since the war ended.!me new coal wage contract “will do the delegates from Greek Amba: | declared today the German people ! more to stabilize the economy and |dor Vassili Dendramis, who said |should be assisted in attaining a' retard inflation” than settlement he was acting “upon urgent instruc- ed States government, in its first higher standard of living and econ- of any controversy in the industry tions from my government.” He told {cmic self-sutficiency. ; ,in several years. !the delegates that “strong and well- The policy statement was cOntain-| gugphrey, who played a major |armed hostile forces iivaded Greck cd in a directive giving new instruc- yle . negotiation of the agree- ' lerritory frcm Albania July 13.” tions to the U. S. Milltary com-,pent with John L. Lewis United| The letter said that “substantial |mander, Gen. Lucius D. Clay. It wine workers, told the joint Con- forces, including units of an inter- | superceded the directive issued by oyecsional Committee on the econ- | national brigade of irregulars and {the joint Chiefs of Staff on April ‘mic report that the contract will|Communists” were concentrated on 26, 1945, about two weeks before .. sutput of coal, and added: ithe Albanian side of the frontier !“uproduction and only production and that Communists in Greece, blinking the fact that this country | now stands at the turning point| WASHINGTON, July 15.—(P— in its relaticns to its traditional The House passed and sent to the SEATTLE, July 15.—/P—Only one Germany surrendered. i thing is holding back the ocean-| _The directive brought up to date| tourist travel between Seattle and the objectives of the U. S. Govein-| Alaska and that is a lack of steam- Ment and the basic policies to be which creates a balance of supply and demand is the only sure cure for the increasing wage and pri Yugoslavia and Albania were at- tempting to form a rebel govern- . ment. In Athens, sources close to the \friends among the nations of the Senate today a compromise bill giv- cal year. . In addition, the bill carries $248,- i It provides for a projected pro- SEATTLE—The Navy Tug Pot- gram supporting an average navy ognak, about 25 miles to the north,| The total in the bill, as worked to rescue 11 crewmen of the fish- 'cld world.” :ins the Navy $3,433,046,100 in cash | ! ‘000.000 in contract authority for the | awatcmi sped irom Kodiak, to a strength of 395,000 enlisted and 42,- ing boat, Rainbow III, which ran 9 D | appropriations for the current fis- BULLETINS i purchase of aircraft. native village on the island of Af- 000 officer personnel. aground near there. out by a Senate-House conference | committee, is $133,285,000 more than |the amount originally voted by me; to be reopened for adjustment at the end of that period and every five years thereafter. Cutting would be under Forest Service supervision to insure a perpetual supply. It is estimated that each {mill could produce 600 tons & day. | The pulp operator, with the co- | operation of the Interior Depart- :ment, could ottain title to the land lon which the mill is located and {the surrcunding town. The pulp operators also would be required to \recruit labor from Southeast Alaska ias far as practicable. Indians Protected Under HJR 205, money taken from the sale of timber would be | House, and approximately $44,000,000 placed in a special fund to be ship space fer passengers. 2 :lollowcd in the American admin£§- spiral.” Officials of the Alaska Steamship tration of its cccupation areas il “pumphrey said the contract re-|seneral staif reported the army Geymany. i tards inflaticn “by avoiding a strike | Was attempting to snap shut a pin- ibelow the original Serate recom- held until the final determinatioh WASHINGTON -- Cengress com- | X pleted acticn and sent to the White | mendations. It falls approximately of Indian claims to much of the construction of the new boats. { The new boats are small, fast vessels under 40 feet in length.|Ccmpany and the Northland Trans- » H ey 1o sumected b be mmade mext| portation Company said that il Partioular stress was placed On[and all of the resulting damage that Cefs movement against SWOMS 4y o cay a compromisc bill glv- 3334000000 short of the President’s | land involved. June. . Vpassenger-carrying ships are leav-|the economic aspect of rehabilita-'wouid surely follow” from a dead- guerrilla units driving south of o % Navy $3 43;14 046,100 in cash |budget requests for cash appronflu-; The legislation was opposed by a ing Seattle this summer with il tng Germany and achieving the jooy, Toannina. (Janina.) O iat et Barrint fhd delegation of Indians from South- " accommodations taken and with DRation’s economic and political un-i gumpnrey testified = after Earl| G ) e R ‘,fll’ ¥ The Senate passed the Later, the House also accepted ‘east Alaska, three of them mem- Th w h' tourists clamoring unsuccessfully 1%V % 3 | Bunting, President of the National| :‘;,,.,;u“\ fRges S vu‘tc’ slzcrtl agter and sent to the Senate a “oint, bers of the Territorial Legislature: e as lngton icr a chance to go north. The directive said the U. 8. Gov-. pqqociation of Manufacturers, tuldlpRoDuclloN OF ”L.“P g (] ad RAoBLed it y after| nference committee’s compromise Senator Frank Peratrovich, Reps. The total number of tourists, |€rnment sought to secure & Pro- tne committee that the nation | a0 Rl o _’i__j__c g lof the $55,000,000 legislative appro-,Frank Johnson and Andrew Hope, i priations measure—the one which and Fred Grant of Hydaburg. The / Merry - Go- Round By DREW PEARSON WASHINGTON — The White House isn't announcing it yet, but will Clayton, Undersecretary State for Economics, has told the President that he wants to resign. So far, Truman and General Marshall have persuaded Clayton to remain on until September, at which time his job as delegate to| the Geneva Trade Conference will be concluded. Clayton's reyignation will leave William Bent/m the oldest execu-; tive of the/State Department in years of ser’/ce, indicating how fast the turnoygr has been in probably the most/fmportant department of the enty/é government. Benton has served /ess than two years, and be- cause/ ‘of Congressional criticism leveWd against his information and prosaganda service; is one of the 28t controversial figures in Wash- “ngton. None of the State Department executives under Cordell Hull re- mains. In fact, with the exit of Spru- ille Braden last week and the pend- ing exit of Will Clayton, there are few State Department executives left who served under Jimmy Bynes. If a similar quick turnover of top (Continued on Page Four) however, is less than it was before the war, since only four ships in the Alaska trade carry passengers now, | duction and ioreign trade Program,choyiq be able to absorb this year's for Germany as a whole, which, .second round” wage without going | ywould be directed toward an in-; .. an inflationary spree. SOFT COAL GOES WASHINGTON — Legislation set- \'pays Congress' bill ung up & 10 menber spoclal Hows| The action came after Rep. Can- !mmm‘ tee to study foreign ecanom- "o syccouri, ranking Democrat ! compared with 13 before the war. Three of the passenger carrying vessels—the Aleutian. the Baranof | creasing standard of living in Ger-| phe NAM head,also declared that !many and the attainment at the .. key to continued economic " UP;PRICES ALSO ic needs and this country's ability to meet them was offered today by | on the appropriations committee, took the floor to denounce Republi- earliest possible date of a self-sus- growth and prosperity is a united | of | and the Denali—are operated by the | taining German economy. : Alaska Steamship Company. They | The order said the highest prior- have a total capacity of something ity shculd be given to increased over 1100 passengers. ‘ihe slenmfp"“d“c“‘m of coal, food and export' | ship Alaska, operated by the North- 00ds. { tland Transportation Company, car- | ries 204 passengers. Several ships which carried pas- sengers tb - Alaska before the wari 'BABY SITTING MAY | | eifort for greater production, plus tax cuts to provide “venture capi tal” for expansion of industry by 600,000 new jobs a year. - STEAMER MOVEMENTS | PITTSBURGH, July 15.—(M—Soft | House Republican leaders. i coal production increased today—! and so did soft coal prices. | WASHINGTON — Legislation to | Walter R. Thurmond, Secretary of authorize permanent WAC and; | the Southern Coal Producers’ Asso- WAVE Corps in the Army and Navy ciation, said consumers “will be re- was approved today by the Senaw; quired to pay about $800,000,000 ad- ! Armed Services Committee. It goes ditional during the next 12 months.” lto the Senate floor. | | Thurmond said the recent $1.20-| increase granted to were..sunk after Pearl Harbor and | others went into other services. With ‘the accommodations for passengers, decreased, a larger pro- | i portion of 'the space available is| used by Alaskans or other persons | travelling on business, further cut- ting dowyn the space for tourists. ——ee—— ) i BEDEDUCTABLEON NEW INCOME TAX | WASHINGTON, July 15—P—| Rep. Keating (R-NY) proposed to-| day that Congress allow working, wives to deduct the cost of baby sitteres in computing their income tax: 1 PALISANA IN PORT | The Palisana, of the Northland Transportation Cobmpany, arrived in| The proposal was embodied in a! Juneau this morning at 8 o'clock. |bill submitted to the House Wnysl She is at the Cold Storage dock, and Means committee, which is loading fish, and is expected to sail |considering revision of tax laws.| |soum sometime tonight. | Keating told the committee the pur- | ———————— pose of his bill is to ease the tax! ROOF FIRE turden on persons with small in- | A small roof fire, at 333 Willough- | comes. |by Ave. was extinguished by the Juneau Volunteer Fire Department this afternoon. The alarm was 2-1 |ut 1:22 pm, { oo i SEWARD MAN HERE | Ross B. Mann of Seward is re- gistered at the Baranof Hotel. { \ Aleutian, from Seattle in port;a-day wage and was scheduled to sail for wes! -‘_Jnhn L. Lewis' AFL-United Mine ward at 2 p.m. today. | Workers “will cost (the operators) Palisana in port loading fish. |more than $125 a ton... s0 coal Northern Voyager, from Seattle, | will sell at the mines from $1.25 to scheduled to arrive Saturday. |$1.50 higher at once.” Princess Louise scheduled to sail; However, Lewls said in an editor- frem Vancouver 9 p.m. Wednesday. | ial in the UMW Journal that in- Clove Hitch scheduled to saillcreased cost to consumers of coal from Seattle Friday. |and other products would be “in- Baranof scheduled to sail from | finitesimal” Seattle 10 a.m. Saturday. | The Journal estimated the new Princess Norah scheduled to ,sau'cummct added only 65 to 67 cents from Vancouver 9 pm. Saturday. |to the Cost of producing a ton of Alaska from Sitka, due in port soft coal. 5 o'clock this afternoon and sails| Anthracite prices were also ex- pected to rise—about 70 cents a ton—because of the Lewis-won wage hikes. — e BELLINGHAM MEN HERE at south one hour later at 8 o'clock. gk o HAROLD BATES RETURNS Harold Bates, co-owner of the 20th Century Market, returned to Juneau yesterday with Pan Amerl- can Airways after a six weeks vaca- Bellingham, Wash., are stopping at tion in Washington and California the .Gastineau Hotel, Carl Johst and Phil Melbo of | WASHINGTON—The Navy denies Ireports in Athens that American warships might arrive in Greek ports because of developments and |declared that no vessels are enroute to Greece, H e | CALIFORNIANS AT BARANOF Californians stopping at the Bar- anof Hotel are Mr. and Mrs. M. 0.] Duffen and Mr, and Mrs. Roy Bor- | { micksor, Brentwood; K. Culleys and {C. L. Langston, San Diego; and {Irene Dominquez, San Francisco. | e, — HERE FROM EAST | Marion Rubenstein of Newark, |New Jersey arrived via Pan Ameri can Airways yesterday. She is re- gistered at the Baranof Hotel. | B FROM PETERSBURG { Alex J. Reid of Petersburg is re- gistered at the Gastineau Hotel. | | Assistant Secretary of State Johr can claims of a $6,000,000 reduction from last year's expenses as a “meaningless suterfuge.” He said it was achieved by cutting in half the government printing office’s| $20,000,000 revolving fund. STATE DEPT. WILL PROBABLY ACQUIRE OCCUPIED GOVTS. WASHINGTON, 15.—P— July Peurifoy said today “it is quite likely” that the State Department will take over the government of occupied areas in Germany, Korea and Japan “in the next one or two and a half years.” He told a House expenditures | subcommittee that the Army would| continue its policing duties and maintain constabulary forces until peace treaties are signed, but the State Department would handle government and relief matters. i - . } SITKA MAN HERE Richard Bigley of Sitka is gistered at the Baranof Hotel, re- {Indians had demanded that’ 10 per- icent of the funds from the timber sales be paid to them immediately because their claims have been recognized by the Interior Depart- !mem. This stand was supported iby Alaskan Delegate E. L. Bart- lett until efforts for such a com- promise failed, after which he threw his full support to the present i lesgislation. H R | STOCK QUOTATIONS NEW YORK, July 15.—Closing quotation of Alaska Juneau mine stock today is 5'i, American Can 93'2, Anaconda 37%, Curtiss-Wright 147, Intermational Harvester 94'%, ennecott 47'2, New York Central 16%, Northern Pacific 19%, U. S. i Steel 76%, Pound $4.02%. Sales today were 1,180,000 shares. Averages today are as follows: in- dustrials 185.37, rails 49.75, utilitics 35.69. ———,-e—— SOAP BOX DERBY TRY-OUTS Try-outs for the Soap Box Derby will be held tomorrow evening. All boys who have their cars in run- 'ning condition are urged to try out. ' V- KETCHIKAN MAN HERE A. E. Owens of Ketchikan is re- gistered atthe Baranof Hotel,