The Daily Alaska empire Newspaper, November 3, 1947, Page 1

| THE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” — VOL. LXVIL, NO. 10,724 JUNEAU, ALASKA, MONDAY. NOVE MBER 3 PRICh TEN CENTS ALASKA’S SIDE GIVEN AT RATE HEARING CUB FLIERS Truman's Economic Advisers ALL BODIES HAVEHOPPED = Seek Partway Return, Conirols RECOVERED, 10 COLD BAY Of Warlime; Drastic Measures MT. TAMGAS Make 4-Mour and 25-Min- ute Flight to Fort Ran- dall from Adak COLD BAY, Alaska, Nov. 3.—(® —George Truman and Clifford Evans, first fliers ever to cross both the Atlantic and Pacific Oceans in a Cub plane, waited on the windy tip of the Alaskan Peninsula today ready to take off in a 65-mile northeasterly flight to Anchorage. The two former Army fliers, whose leisurely round-the-world cruise tegan August 9 in Teterboro, ! N. J, landed at the Fort Randall Army Air Base here yesterday at 5:02 p. m. (PST) after a four hours and 25 minute flight Adak. From Anchorage, they are sche- duled to fly to Arnette Island and 5 then non-stop to Los Angeles, which they expect to reach next Sunday. They plan to complete their global flight a week later in New York An Army B-17 and a Navy PBY plane accompanied them on the flight up the Aleutian Island chaif Included in the crew list of the companion planes were S/Sgt. Harry J. Perk of Spokane, lst. Lt Roy H. Short, Portland, Ore., both on the B-17; and Amm/lc Cuth- Lert Parins, Leavenworth, Wash., and Acrm. H. B. Donaldson, Med- ford, Ore., on the Navy craft. BIG CONTINGENT FLIES TO ARCTIC McCHORD FIELD Nov. 3. IA" ——Thirty-three giant C-82 “flying boxcars” winged their way toward Big Delta, Alaska, today for Ex-! ercise Yukon, winter Army man- euvers. More than 300 Second Division infantrymen pius techni- cians and specialists made the weekend hops which called for stops at Great Falls, Mont., and Fort Nelson, NC. ——————— | STOCK QUOTATIONS NEW YORK, Nov. 3. quotation of Alaska Juneau mine stock today is 4's, American Can 89, Anaconda 34', Curtiss-Wright 5, International Harvester 89, Ken- necott 467, New York Central 131z, Northern Pacific 197, U. S. Steel 78, Pound $4.08. — Closing | Sales today were 760,000 shares. Averages today are follows: | industrials 182.65, 48.58 util- ties 34.89. The Washington Merry - Go- Round By DREW PEARSON WASHINGTON—The members of the House Armed Services Commit- tee who called on Pope Pius came away with a healthy respect for the Pontifi’s grasp of world politics and his earnest desire to help in Eur- ope. The Congressmen found that the Pope knew all too well what they had recently discovered in their inspection trips. The Pope opened the meeting by reading in English—which he speaks well, but slowiy—a statement on the importance of a strong and compassionate United States if Eurcpe is to survive. GOP Con- i gressman Dewey Short of Missouri, a former Baptist preacher, elo- quertly replied. | A half hour of discussion fol- lowed, during which one Congress- man tried to put the Pope on the spot. He was Republican Repre- sentative Runt Bishop, a former | tailor and coal miner from Cartes ville, Tll. A conscientious Congres: man while in Washington, in Eur- | ope Bishop was forever buying | trinkets, until by the end of ‘the trip he was known as “The Mer-| chant Prince.” i One thing bothered Bishop. | “If we vote money for relief | gocds to be sent here to Europe,”| he demanded suddenly of ghe Pope, “how do we know the goods will (Continued on Page Four) /000,000,000 program of European from > ASHINGTON Nov 3 P Truman's top economic called Saturday night for a partway return to wartime ation controls and said that by doing the United States could safely support the Marshall plan of foreign aid and still reduce the national debt w. sident. advisers in- lation of grain and they reported, “is “Serious ir food pric already her Unless the nation vast share of the does assume a requested $22,- long-range the President's advisers add- abroad stable aid, of economic ed, “Industrial paralysis” will wreck the hope for prosperity here and ove The Council urged ‘outright Rift: as well as loans, to meet some of Europe’s emergencl needs And it called on the U. S, taxpayer to pay the way through continued high taxes. or Price Controls It hinted at price controls ever grain, steel and other goods in world scarcity, declaring that Con- couneil as, Tax Slashmq BilllstoBe gress should provide “at least the minimum powers” to attack rising prices directly, if less drastic mea- sures fail And even the less drastic mea- sures it recommends, the council said, add up to a “vigorous pro- gram to protect all our peo- ple against the disaster of demor- alized business and uncontrolled in- flation.” Recommendations The steps—virtually the only cutright recommendations ~ made since the Council was created in 1946 to promote full employment and production-- include: 1. Allocation of grain SC foods, steel and other world short- age commodities among U. S. in- dustrial users. 2. The “curbing of speculation and hoarding of goods"—which presumably means Federal power to govern down payment require- ments on the commodity exchanges. plus inventory control of the w time type 3. Export expire February 2! renews them will unless Congress controls, which Ready for Infroduction on First Day (ongress Meels EARTHOUAKE KILLS FIFTY IN PERU AREAS, Nurses, Medicine, Food Rushed to Stricken Sedlons by Planes Nuv. 3.—(®—Planes medicine and food were dispatched today to stricken areas in the mountains of Peru. where an earthquake shattered th peace of All Saints Day Saturda killing at least 50 persons and re- LIMA, Peru, bearing nurses, | ported demolishing two Andes towns Government officials said bad weather and quake-ruined run- ways had prevented planes from landing in the affected zones, but added that if landings were still impossible today supplies would be parachuted. Poor communications from the isolated mountain area where the quake struck obscured details of the damage, but official dispatch- es said San Ramon and neighbor- ing La Merced, both about 130 miles northeast of Lima, “totally destroyed.” Each town has a population of about 5,000. Reports indicated that the heav- iest loss of life was at Satipo, 165 mile seast of Lima, where dis- patches said at least 40 had been |kilied and many injured. The Lima newspaper El Comer- cio published a report by the May- or of San Ramon that seven men had been killed and seven injured at San Felix, near San Ramon. The shocks, said to be severest n the mounain region east of Li- man, were felt 650 miles northeast at Iquitos and 200 miles soufh- east at Ayacucho. In stricken Satipo River, and the resultant floods washed away a hospital S EATTLE VISITORS Ellsworth J. Gullidge and Allen 8. Cary, F. W. Chapman, A. L. Mandler, William M. Christianson, !v. 0. Moe, and Klemet Tanning all of Seattle, ure registered at the Baranof Hotel. - o FROM HOONAH Mrs. Jona Felton, whose husband was aboard the ill-fated PAA Clip- per, isgstaying at the Baranof, had been | ° Jewish ' ening By FRANCIS ‘M. LEMAY WASHINGTON, Nov 3—m— Brushing aside a recommendation by President ruman’s economic council that taxes ke held where they are to help Europe, Rep. Knutson (R-Minn) announced to- day a $4,000,000,000 tax slashing bill will be dy “at high noon November 17. That is the convenes at M: day Congress re- Truman's call to consider assistance abroad and in- flation curbs at home | Kiutson, chairman of the House Ways and Means committee and Republican manager of tax legisla- tion, voiced hope the tax cut will be passed ahead of any aid-to- Europe measure. I'm afraid the President's ad- visory cocmmittee is as badly con- fused as he is,” the lawmaker said. Mr. Truman's economic courncil reported Saturday that, with pres- ent tax rates and partial readopt- ion of wartime inflation control the United States can help Eu- rope and at the same time reduce the national debt. Said Knutson: “The council's recommendation, to the contrary notwithstanding, will in no w deter us from go- ahead in our fight to give the relief.” ing harassed taxpayer ‘The new bill will be a “two phase tax cut,” Knutson said, em- todying nationwide application of |the community property principle along with percentage cuts in the, income brackets. Mr. Truman twice used his veto earlier this year to kill a Repub- lican-backed $4,000,000,000 tax cut. Thes> measures would have eased income levies by 30 percent in the lowest brackets, 20 percent for middle incomes and 10.5 percent for any income over $302,000. - - WIFE WITNESS T0 MURDER OF MATE JERUSALEM, Nov. 3 ed youths today burst Jerusalem home of Sar. | Gurevitz, employee of the |al investigation division of tine police, thrust his wiie |and shot him to death. Police authorities attributed |assassination of Gurevitz to underground. He was !derstood to have received letters warning him to quit work variou; P—Mask- into the Shalon crimin- Pales- aside, the un- police D HERE FROM FAIRBANKS | Gray I. Tilly of the Fairbanks 'VIW\ Cooties and Rosalie Chapman, also of Fairbanks, the Baranof, threat- | \ | Bad Weather, Difficult Ter- rain Experienced by Rescue Groups KETCHIKAN, Alaska, Bodies of the 18 members killed in can Wor crew of a plane a Pan Am we recovered f atop Mount Tamgas and wreckage only cue part Pan Any: two remain ies American tte Island, where the ill-fated Clipper met three of the ek ago all rom reported headg disaster Oc canv passenge unidentified, Nov. 3.—#® the crash 1d Airways have been the snow-buried res- uarters on t. 26, said s wrapped bodies have been brougiit down the rugged 3600 1oot peak to Tam Lake From there they will be flown to the Annette airport or Ketchikan i & task of carrying the bodies to the lake will be long and dif- ficult the group reported, because of the precipitous terrain W ther. Ave Swil sigl Intermittent rled ited Thursday around the p since the shattered DC-4, was frem the and bad showstorms mountain air last Camper Makes Repori As a five-day skyliner. that a Ketchikan camper, saw the ward cloud-covered Mount apparently a few liams, crashed. Williams told the Coast early last Thursday he rear of a plane’s engin sidelight to arch for th se: the intensive ne missing the Coast Guard disclosed big craft momen Joe Wil- hea to- amzas ts before it Guard heard the s the pre- vious Sunday while camped at Reef Point nette Isl the Lookng up, transport on the northeast tip of An- and low-flying he sighted moving southward between Spine and Nar rews Mountains in the direction of Tamgas peak. Search Was Started On the strength of Williams' re- port, the Coast Guard ordered out an 11-man ground party under the direction Scheiber, of only an group had Mount Tamgas Lt. Comdr. hour left the Fred J after the Ketchikan for plane’s wreck- age was spotted from the air. As an ing dication of encountered during the Ketchika 4.07 five per dis n Weather Bureau inches of rain fell during the days from the ppeared until it was found. time difficulties search, the said . the Clip- The Sunday it went down the ran- aro und inches and Ketchikan steady measured winds were recorded on the ground up to 26 miles an hour. The October mean wind velocity of 9.4 miles an hour was the hi ghest for any month since the Bureau has been in oper- atior: While advanced or: Down ous opinions have been as to the cause of sh, a general one is that a down v Draft the draft may have been responsible. A Ketchikan Air Service Sea- bee plane chartered by the Daily News to take pictures, hit an “air pocket” near the and dropped between 1,000 and 1,500 feet mountain, according to Pilot Charlie Barnes. Army have dropped plane is rearly 2,000 reported to feet in the same place and it is believed that the big PAA Clipper may have | struck a similar hefere it crashed. - downdraft Jjust STEAMER MOVEMENTS | Princes due to o'clock; s Louise from arri ve this o'clock, returning to J Thursday morning at and sailing south at 9 Denali, from Seattle, to arrive at 11 a m, Jumper Hiteh, schedul from Seattle Nov. 6 for Juneau and Seward. Freighter Sword Knot, Seattle Barano. | Seattle £ s cheduled to November 8. Alaska scheduled to [Seattle Nov. 11. - Vancouver, evening at 7 sails for Skagway at 11:30 uneau on 8 o'clock o'clock scheduled tomorrow led to sail Ketchikan from Se- the attle, due tomorrow forenoon. Square Sinnet due to sail tomorrow. from sail from sail from FROM SAN FRANCISCO J.w. ! ping at t Ish he rwood and James C are registered at|Gallops of San Francisco ‘are sto] Baranof H(?‘.A‘l and | nette Island mountain near Ketchikan, Killing frem U. S. Coast Guard. tep of the peak. Plane Wreckane Where 18 Died s acrial photo shows shattered wrec The lu(ulum of the \\lukul Pan American plane with Annette Island is shown in this ae ® Photo from U, an Ame 18 percons. -l «ml it relation The wreckage Coast Guard. an a rliner where it crashed The wreckage was found Oct. £ to the tep cf Ta (eiveled) was about mgas st an An- ] Photo Mountain on 200 to 300 feet from the ECONOMIST GIVING OUT HIS VIEWS Attorney General Rivers Also Makes Statement . Regarding Tariff Nov. 3.—(#—Donald Washington, D. C, Maritime ATTLE, J. O’Connor economist, declared at a Commission hearing on Alaska freight rates today that steamship |companies serving Alaska recently made three voyages where two would have arried the same amount of rgo less expensively. O'Connor, representing the Ter- ritory of Alaska, testified that in some cases vessels sailing between Alaskan and” Puget Sound ports have been loaded to only 17 per- cent of capacity® teamship lines involved are the Alaska Steamship Company, the Northland Transportation Company and the Alaska Transportation Company The Maritime Commission grant- red a 35 percent increase in rates to Alaska shipping last summer un- der an interim Alaska shipping pl ‘The Territory has contended the rates are too high. The agree- ment expires June 30, 1948. ixamineis C. W. Rq nson and Robert Furness said the hearings which started Oct. 27, should be concluded by noon tomorrow. Rob- inscn said a night sesession may be held tonight if the steamship (companies offer many rebuttal witnesses Salmon Canneries Favored A Territorial representative as- "scrted at a Maritime Commission hearing here Saturday that salmon anneries ¢ been given prefer- ential steamsh!) freight rates at the expense of the average Alaska shippers. Donald J. O'Connor, economic consultant tor thé Territory, testi- fied to this as Alaska started pre- sentation of its argument for low- ler height rates. “For years on end the people of Alaska have been subject, as they ncw are, to higher rates for general cargo_than the salmon industry is for cahned salmon,” O'Connor said. These rates are, in effect, a de- cree penalizing the dent Alas- | kan for living in Alaska: the lower rates in efiect, a decree re- quiring the Alaska resident to make up for whate deficits acerue from the cost of shipping canned ! salmon and salton cannery needs.” Steamship company witnesses said previously that rates for or- dinary Alaska treight would be much higher if it were not for the heavy volume of business provided by the salmun industry. Rates Too High talph J. Rivers, Alaska Attorney Gencral, said the Territory would attempt to prove that freight rates are “too high” and that inequities exist “The Territory ieels,” he said, “that eyen if *he steamship com- panies have to get that much re- venue (a 35 pevcent increase) they shculd shift some of the burden to the industrial cargo moving both north and south, so that it won't be such a burden on the Alaska consumer.” Rivers sald an analysis of the rates by the Territory indicated to him that the steamship lines had mcreased their rates “slightly over 50 percent on northbound non-in- dustry carpo, and only about 10 percent on canned salmon south- bound.” He added the Territory also {hoped to show that by effecting economies, the companies could | reduce their entire rate schedule, | ‘The hearing, being conducted to determine reasonableness of rate I increases put into effect last spring, \was adjourned at noon Saturday ntil today >oo RANGER X TO LEAVE Th U. 8. Forest Service Boat, Ranger X, will tomor- row for Kake w scowload of lumber and other s of a prefa- Pricated bridge. The bridge will be crected by the Forest Service across Gunnock Creek - .o HOT STOVE I-IIIL A 2-9 fire alarm was answered by the Juneau Volunteer Fire De- partment at 11:40 a.m. today. They found a hot stove in the home of | Howard Sawyer at 414 Main Street. !'The fire was extinguished without dams leave here h a