The Daily Alaska empire Newspaper, January 21, 1949, Page 1

N THE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” JUNEAU, ALASKA, FRIDAY, JANUARY 21, 1949 VOL. LXXIL, NO. 11,099 NCOME TAX TO BECOME ALASK MEMBER ASSOCIATED PRESS A PRICE TEN CENTS LAW Six Are Killed In Plane Crash To Westward DC-3 PLANE IS CRASHED ON HILLSIDE Three Crew Members and Three Passengers Vic- tims, Kenai Peninsula ANCHORAGE, Alaska, Jan. 21.—/ (M—Searchers reached a crashed| Alaska Airlines DC-3 transport plane on the Kenai Peninsula today and found its six occupants dead. The plane disappeared last night | on the flight from Homer to Kenai, Alaska. It skipped the Kenai stop and was sighted at dawn today,| crashed on a hillside 30 miles; northeast of Homer. Alaska Airlines announced the crew members were Capt. R. D.| Land, Anchorage; co-pilot Robert Stevens, Seattle, and Stewardess Uucina Nims, Everson, Wash. The plane was due at Anchorage | at 8:50 p. m. (10:50 P. M. PST) yesterday. Air searchers reported the wing| and tail surfaces were the only| parts visibly intact, but they be-| lieved the plane did not burn. First reports from the ground crew did | not give details. The airline reported the flight was a scheduled operation. Alaska Airlines is on a charter basis from Alaska to Seattle, but is a schedul- ed operator on séveral routes. Passengers were listed as a Mr. Poumirau, Homer; Roscoe Spears, Naknek, Alaska; and Stanley Hill- mann, U. S. Weather Bureau man | irom Anchorage. An Air Force Tenth Rescue Squadron B-17, assisted in the search by William Lund, Alaska Airlines pilot, sighted the plane at 2:20 a. m. (4:20 A. M. PST). i Roscoe Spears and his brother,| Clyde Spears, operate the general| store at Dillingham. Mrs. Clyde| Spears is the former Muriel Rivers, sister of Ralph and Victor Rivers. — - STOCK QUOTATIONS NEW YORK, Jan. 21.—(®—Clos- ing quotation of Alaska Juneau mine stock today is 3%, American Can 89%, Anaconda 34, Curtiss- Wright 8%, International Harvest- er 27%, Kennecott 54}, New York Central 12%, Northern Pacific 17, U. S. Steel 71%, Pound $4.03%. Sales today were 770,000 shares. Averages today are as follows: industrials 181.04, rails 5391, util- ities 34.94. The Washington Merry - Go - Round ' By DREW PEARSON (Copyright, 1949, by Bell Syndicate, Inc.) ASHINGTON— Without bene- fit of flashbulbs or fanfare, an important Southern Congressman has put civil rights to work on a voluntary basis. Congressman Henderson Lanham of Rome, Georglg, who believes in cooperation with Negroes but does not like laws forcing cooperation, walked into the office of the lead- ing Negro of Congress, William Dawson of Chicago, the other day and offered to serve under him. Lanham is No. 3 man on the im- portant House Committee on Execu- tive Expenditures, and he agreed to take a back seat to the Negro. He also had a pleasant talk with the Chicago Democrat about their boy- hood back in Georgia. It develop- ed that they had been reared only a few miles apart. Lanham asked about Dawson’s family and learned his grandpar- ents had been slaves, once owned by the founders of Dawson, Geor- gia. Discussing politics, the two agreed there was no reason to let Jim Crowism keep them from work- ing together in Congress. “We used to play with white children,” recalled Dawson. “There was no hatred between children. We used to get in fights, but they (Continued on Page Four) |and Fred Johnson, worked for two Alaskan : FOUR DEAD, ' CAR PLUNGE ATCORDOVA EPIunges Into 30 Feet of | ley Water - Victims Are Wellknown CORDOVA, Alaska, Jan. 21.—(®— Four persons drowned last night when a car plunged from the dock into 30 feet of icy water. They were Mrs. Genevieve Means, L. E. (Bud) Townsend of Seattle, Mrs. Phyllis Davis and her small daughter, Perry Lynn Davis. Brakes on the machine apparent- ly failed to hold as the car ap- proached the steamship Alaska, which Townsend was to board. He was a salesman for H. J. Heinz and Co. Two fishermen, Otiv ‘iicdeman hours in a skiff with grappling hooks to recover the car and the four bedies. The steamer delayed its de- parture two hours and hoisted the car to the dock. Mrs. Davis was the wife of Rich- ard S. Davis, local grocer and for- {mer mayor of Cordova. She leaves also a small daughter, Patricia. Mrs. Means, member of a pioneer (family, was the wife of G. Earl |Means. Her daughter, Beth, is at Northwestern University, in Evans- iton, I, and a son, Robert, is em- |ployed by a chemical research firm {in Chicago. Another daughter, Lois, !is in high school here. Mrs. Means is the former Gene- vieve Rosswog, born and raised in Douglas, and who went to Cordova }wlth her parents many years ago. | Townsend was in Juneau several weeks ago calling on the local merchants, and made a good im- pression. BILLION DOLLAR BUDGET PUT UP IN CALIFORNIA, SACRAMENTO, Cal, Jan. 21.—® |—Governor Warren handed Califor- |nia’s first billion-dollar-annual state {budget to the legislature today. He proposed, to raise additional revenue: 1. A two-cents-a-package cigaret tax. 2. A boost in the hard liquor tax jfrom 80 cents to $1.50 a gallon. 3. Levying $4,000,000 a year more on horse race betting (pari-mutuel.) 5 4. Return to the 1943 (higher) | schedule of sales, corporation and | personal income taxes. ‘The exact sum the governor re- commended for the support of the state government and for public construction was $1,060,187,939. - WEATHER REPORT (U. 8. WEATHER BUREAU This data is for 24-hour per- jod ending 6:3¢ am. PST. In Juneau— Maximum, 30; minimum, 11. At Airport— Maximum, 31; minimum, 21. FORECAST (Juneau and Vielnity) Fair with some high cloudi- ness tonight and Saturday. Lowest temperature tonight near 10 degrees. Slowly ris- ing temperatures Saturday. PRECIPITATION (Past 24 hours ending 7:30 a.m. today In Juneau — .0l inches; since Jan. 1, 1423 inches; since July 1, 88.19 inches. At Airport — .02 inches; since Jan. 1, .94 inches; since July 1, 55.72 inches. ® @ e 0o 0 0 0 02 00 STEAMER MOVEMENTS Princess Norah scheduled to sail from Vancouver January 27. Alaska scheduled southbound on Monday. { Representatives Amelia A. RCAF PLANE ON MERCY FLIGHT TO ARCTIC, MISSING WINNIPEG, Man, Jan. 21.—(®— A Royal Canadian Air Force plane returning from a mercy flight to the Arctic was forced down today, perhaps in Hudson Bay, air force officials here reported. The plane was carrying 11 men, including a sick radio operator and a hospital-bound Eskimo to Church- ill from Coral Harbor, on South- ampton Island. A doctor also was akoard and a crew of ¢.crt. Last word from the plaue, early this morning, was that it was “over ice.” The air force immediately dis- patched planes for a search. The operation was complicated by the fact that messages from the downed plane seemed to indicate it was off course and heading for Port Harri- son on the eastern shore of Hudson Bay. Churchill is on the western shore. WINNIPEG, Man., Jan. 21.—(@®— A Royal Canadian Air Force plane forced down today on a mercy flight from the Arctic has been sighted by a search plane about 70 miles southeast of Churchill. All 11 of those aboard are alive, officials here said. HOUSE GOES INTO ANOTHER SESSION BEHIND CURTAIN The House of Representatives this morning went into another executive session behind locked doors. The secret session lasted for about half an hour. ‘The only other business transacted by the House this morning was to concur in minor amendments made to the Income Tax Bill in the Sen- ate and to receive a report from the Fisheries Committee on H.B. 4, to levy a tax on raw fishery products. The committee recommended a one percent tax on halibut and but- ter clams instead of the four per- cent levied under the original pro- visions of the bill. Other fishery products, including salmon, herring and other types of shellfish would be taxed at the four percent rate. JAYCEES ENDORSE TWO HEALTH BILLS The Junior Chamber of Commerce this noon gave endorsement to two health bills calling for pre-natal and pre-marital physical examina- tions in the territory. Three members of the legislature, guests of Jaycees, pledged their sup- port of the measures which were originated by the Fairbanks Junior Chamber of Commerce for introduc- tion in the 19th session. At the Jaycees noon luncheon at the Baranof were® First Division Gun- dersen and Doris° M. Barnes and Fourth Division Representative Es- sie R. Dale. The two health bills, discussion re- vealed, include waivers exempting individuals from necessity for com- pliance. with the law in the advent of “emergency or other cause suf- ficient to warrant” exemption. The three legislators appeared to Ibe in agreement that the physical examination requirements would be a step forward in protecting the health of present and future Alas- kans, but that due to lack of doc- tors, particularly inh extensive in- terior areas, tompliance with the law would be extremely difficult. Mrs. Dale, as representative from the Fairbanks area, observed that unless exemptions were included in the “pre-martial” bill, a generation of old maids and bachelors would be a probability in the vast reaches of the doctor-less interior. Discussion of three Jaycee future Projects was held over until a Mon- day-evening meeting which is to be held at the home of John Quilico. Mr. and Mrs. Jack Sturtevant of Juneau were introduced as guests to the membership. CHIANG - RETIRES IN CHINA Move Makes—lt— Possible fo Sue for Peace and End Long Ci!iLWarfare (By The Associated Press) Chiang Kai-shek turned over the Chinese government, temporarily at least, to Vice President Li Tsung-jen today and flew south to Nanking, probably to retirement. Li is reported a ‘“peace maker” choice for dealing with the Chi- nese Communists, who have chas- ed Nationalist forces out of Man- na. Li, like Chiang, is high on the Communists’ war criminals list. Chiang is to issue a statement later which possibly will say he is retiring. One reliable informant said the statement would avoid the word resignation but refer to his leaving Nanking as a “withdrawal from duties “and responsibilities” he has held for 22 vears. Chiang’s plane headed toward Hangchow and thence to his na- tive town of Fenghua in Chekiang Province, where Chiang can com- mune with his ancestors, Mrs. Chiang is in the United States, lwhere her last desperate bid for iAmechn billions and military ybrains to stem the Communists was rebuffed in Washington. Arrangements for the surrend- er of Peiping and the remainder of North China to the Commun- ists were virtually completed. | Nanking ,which the Communist armies probably can capture any, alive with rumors. This was certain: Chiang’s de- parture permitted the peace group in the Nanking government to seek a negotiated settlement of the civil war. Many officials and generals have hestitated because they fear- ed Chiang’s anger. Most Chinese and foreign officials regarded his departure as a de facto retire- ment. FIREMEN FIGHT GALLEY BLAZE ABOARD GAMBIER A hard fire to fight, as most ship-galley blazes are, the one aboard the Gambier last night kept Juneau firemen tusy for some 45 minutes. at a time, and, as always, the fire- tighters had to check carefully to make sure the fire was not le/r smouldering in some hidden crack according to men of the two com- panies who answered the 5-3 call at 6:08 p.m. yesterday. The fire on the Gambier was held largely to the main-deck gal- ley where it started. Pump cans and extinguishers were used, after the locked door had been chopped down. The fire burned fast, and there was some damage. Willis Roff, after noticing smoke from the 57-foot troller, went down to the farthest float to investigate, and summoned the Fire Depart- ment. The Gambier is owned by Walter Reams and John Lown. No one was aboard at the time. 40 Guests Rouled Out in_ Holel Fire | four-hour general alarm fire raged through the Orton hotel early to- day, routed 40 guests, and spread to six adjoining buildings with a loss estimated at about $1,000,000. J. R. Mallard, 70, of Charlotte, N. C., was missing. He came here to visit a sick brother. | - | FROM YAKUTAT “ Mr. and Mrs. W. Crean of Yaku- 'iat are at the Baranof Hotel. churia and virtually all North Chi- } {he stayed until time they find it worthwhile, was | !the mustached, graying Only one man could work thereiwhom he chose to operate his four- PRESIDENT HAD VERY _BUSY DAY Attended Invaagural Ball Just to Take Margaref- She Had Many Partners WASHINGTON, Jan. 21.—®— President Truman put aside early this morning the golden moments of his greatest day and set his administration on a course of world leadership toward ‘“peace, plenty and freedom.” That was the shining goal he chose for himself and the nation in yesterday's inaugural address. The Capitol was getting back to normal. After the inaugural address yes- terday came the parade, the in- augural reception at which he ducked the customary hand pump- ing, a quiet dinner at home with family and friends, and finally the inaugural ball. He didn't even look tuckered as 1:40 a. m. this merning te watch his daughter Margaret and thousands of other dancers swirl around two acres of National Guard Armory. But not even three name bands, taking 20-minute turns on a re- volving stage, were enough to lure the President and Mrs. Truman out ipf their box in the balcony. They Just brought Margaret to the party, then chatted with personal and official friends while she spun away with various partners. ACHESONIS AT HELM OF STATE DEPT. WASHINGTGN, Jan., 21— Dean Acheson was sworn in as Sec- retary of State at 11:13 a.m. today in President Truman's office. The ceremony set Acheson offi- clally to the task of translating into action the broad anti-Communist foreign policy which President Tru- man announced in the first minutes of his elected term in the White House. The oath was administered by Chief Justice Fred Vinson who stood with Acheson in frogt of President Truman’s desk. Mr. Tru- man stcod behind. The President then walked around the rig desk and 'shook hands with lawyer, front anti-Communist policy. The ceremony was brief, but Mr. Trman's oval office was packed with a crowd cf government offi- cals, congressional leaders, wives and friends of Acheson. The group gave a distinctly bi-partisan flavor to' Acheson’s induction—something that might be important when he goes to Congress for backing for the President’s program. Foremost among his major tasks as successor to retiring Secretary George Marshall will be the devel- opment of a plan for stimulating the (flow of American private capital in- l to foreign investments. W. 5. STREEY LAUDS HIGHWAY PATROL Frank A. Metcalf, head of the Al- aska Territorial Highway Patrol, and all members of his staff are basking in the words of high praise received from William S. Street, president of Frederick & Nelson, Seattle. Street’s son, William S. Street, Jr., WILMINGTON, N. C,, Jan. 21.—A ! trying to make his way on foot from Chisana to €cotty Creek Lodge on the Alaska Highway, was suffering greatly from frozen feet when giv- en aid by patrolmen out of Fair- banks. The Seattle businessman and civic leader highly commendzd Sgt. Bot Brandt, E. L. Mayfield, Stanley Laird and W. L. Wilson, ‘ng he was impressed by the ‘remarkably hich standard” of the Hizhway Pa- trol. Mar!(ipg End By ALICE FREIN JOHNZON WASHINGTON, Jan. 21.—The cl'max of all the gaiety on President Truman's inauguration was the ball which got underway at 10 q'cleck last night. Heralded by the public- ity committee as “the largest, most glittering and most outstanding function of its kind in the Twenti- {eth Century,” it was a spectacle for persons lucky enough to have $25 for tickets, ultra-formal gowns or white tles and tails, and acquain- tance with Blue Bock social arbiters, headed by Mrs. George Mesta, who determined who may and may not attend—petticoat press exceniea. Among those who passed muster were members of the Cabinet, Su- preme Court and diplomatic corps, state governors, high government the 48 states and “cave dweller” so- clety memters, Three bands—those of Guy Lom- bardo, Benny Goodman and Xav'ar Cugat, provided dance music—hot and sweet, waltz and samba. Each Land took along well known vocal- ists and entertainers. | Scene of the ball, the huge Na- !uonal Guard Armory, had iis tace lifted and beautified. The 30,000 square feet of dancing space lead WEATHER HITS (By The Associated Press) The northern plains and Rocky Mountain states got some more bit- ter cold weather today. ‘The lowest temperatures were in |the Dakotas and Montana—readings ranging from 30 to nearly 40 be low zero. The mercury also plunged ifar below zero in Nebraska, Wyom- ing, Colorado, Idaho and parts of Kansas and Minnesota. There was a fresh mass of cold air in the northeastern section of the country and temperatures were below zero in northern Maine. The central states warmed up a little from yesterday’'s below zero read- ‘ngs. Early morning sub-zero marks in the extreme cold belt at Bozeman, Mont.; 32 at Philip, 8. D.; 31 at Bismarck, N. D.; 31 at Havre, Mont.; and 28 at Mobridge, S. D. Caritou, Me., reported 8 below. Snow fell today in the Missouri and upper Mississippi valleys, the northern Great Lakes and the Pa- cific Northwest. There were scat- tered showers in the Gulf States. Cities and towns bordering on Puget Sound today lay under the deepest snow for six years—and it was getting deeper every hour. A coastal snowfall steathed the area from Bellingham south to Salem, Ore.,, with light falls re- ported east of the Cascades. One inch was reported by noon in Bel- lingham and six inches at Port- land. One death in Seattle was attri- buted in part to the storm, three persons were hospitalized in Taco- ma, and metropolitan life generally slowed down to a snowshoe pace. A Seattle man died of a heart at- tack shoveling snov:. Tacoma, with three inches, ap* parently was struggling out of it as the sun appeared during the forenoon. —— e GIRL FOR HUNGERFORDS Passing ouf cigars today is Don Hungeriord, who is thé proud fath- er of a daughter, born in St. Ann’s Hospital last evening. The new arrival has been named Linda Sue and weighed eight pounds eight ounces at birth. Mother and daughter are reported to be do- ing well. Grandparents are Mr. and Mrs, Frank Hungerford of Juneau. Mr. Hungerford is associated with his father in the Q-U Mining and Mill- ‘ing Co., Inc. Linda Sue is the first child for the Hungerfords. officials, distinguished visitors from | BITTER COLD WIDE SECTIONS included 36| Inaugural Ball Is Gala Affair fo Gaiety of Day | ¥ 4 lup to a semi-circular arrangement of 116 opera-style hoxes, 2ach for eight, except the central box tor the Presidential party, which wis arranged for a large group. Royal blue velvet “sleeved” on chromz up- rights and crossbars to form the toxes. The Presidental box, in ad- dition, was carpeted in blue aud furnished with easy aim chairs of Llue leather and chrome. | Royal blue pile fatric, highlight- ed with red, gold and white, was ]usvd extensively throughout the ' hall. Walls under the balconies w |draped to a height of 14 feet win Ithe blue (flame-proof) fabric, and Iull archways and openings were {equipped with blue velour drapes |and valances, finished with golc Isilk tie-backs ang fringe. { One wall was dccorated with an {American flag—38 by 50 feet, anoih- ler with jeweled letters four feet flngh, spelling the inaugural inscrip- {tion, a third with the seals and |flags of the 48 states and the fourth |with 50 American flags and butter- fly arrangements of red, white and | blue bunting. | To quote the publicity commit- {tee once more, “It will be to the |people of the United States what ithe coronation ball would be to an English king.” However, few peo- iple in this democracy had a chance ito witness the “pomp and circum- !stance.” There was precedence for elabor- ate inaugural fetes. Miss Elizabeth Oldfield, great-niece of the late {James A. Wood, Seattle Times edi- {tor, assisted with arrangements for the Truman ball. Miss Oldfield delved into historic records and un- earthed the following information: | The first inaugural ball, in honor of President James Madison and his glamorous Dollie, was held 140 tyears ago. The affair took place at | Long's Hotel on Capitol Hill in the then 9-year-old federal City of | Washington. People were in a mood {for jubilation because the curren- jcy had been stabilized and the democratic system was functioning well. The Washington Dancing As- cembly, a group of young bloods about town who had organized in 118602, sponsored the ball. | Beautiful Dollle Madison, debut- ing as First Lady, wore a buff vel- |vet gown with a long train, especial- Ily, created by French couturiers for |the occasion. It was described as “unadorned, but supertly cut.” To {complete her costume, Dollie added pear] earrings and necklace and a turban—also from Paris—of buft velvet, white satin and two bird-of- :paradise plumes. The reporters of {1809 who wrote up the funct'on ex- claimed: “She looked like a queen!” President Madison was resplen- dent in black satin breeches, long black silk stockings, lacy stock and a black ribbon to tie up his pig- tail. % Capital streets of that day were full of chuckholes and mire, anc carriages bringing guests from Al- exandria and Georgetown—the two neighboring metropolises—were said to have ‘“rocked and pitched unti the ladies’ plumes were violently shaken out of place.” Guests from New York spent a weck enroute to { Inaugural festivities Thomas Jefferson, first of the 400 guests to arrive in the candlelit | ballroom, was greeted with “The I-Ieflerwn March,” played by an all- fiddle orchestra. He was followed Ly the entire diplomatic corps—the amkassadors of Great Britain, Den- mark and France. When all the guests were in their places, Mrs. Madison, on the arm of a “manager” (usher), and Presi- dent Madison, escorting Mrs. Cutis his wife's sister, appeared trium- phantly, and soon—about seven 0'- clock—supper was served. After the elaborate repast, the President left, but Dollie remained to dance until the Negro footmen snuffed out the candles at midnight Many presidents balls from their those who have permitted such functions have been honored with |elaborate affairs. President Gar- jfield’s ball was held in the then new Emithsonian Institution, which now |houses everything from airplanes to washing machines, stamps and guns, have omitted inaugurals, but BILL PASSED BY SENATORS, VOTE I§ 13-3 First of Basic Tax Laws fo Be Refroactive fo January 1 The Net Income Tax Bill, the first of three “basic” tax measures that Governor Ernest Gruening has requested of this and several pre= vious Legislatures, was passed by the Senate this forenoon by a 13-3 vote. It then went to the House, which quickly concurred in minor amendments made in the Senate, and was expected to reach the governer's desk by this afternoon. If it does, it will probakly become law by tonight. A provision of the bill makes the levy retroactive to cover all earn- ings of the year 1849. All persons and businesses in the Territory will be subject tp the tax, which amounts to 10 per cent of the Fed- eral income tax levy. The with- holding features of the measure will probably go {nto effect soon, as soon as the Tax Commission is able to issue rules and regulations. The Governor, beaming after pas- sage of the bl by the Senate, ex- pressed himself pleased by the vote for “the first basic tax bill to be enacted in Alaska.” Vote On Bill The vote on final passage of the Income Tax Bill in the Senate was: Yes— Anderson, Barr, Butrovich, Dawes, Engebreth, Huntley, Gar- nick, Lyng, McCutcheon, Mac- Kenzie, Nerland, Rivers, Peratro- vich, No— Collins, Jones, Munz. There was little preliminary de- bate upon the Bill. Senator Victor C. Rivers made a statement in its support In which he said that it provides for the most equitable form of tax and is fairer than the sales tax because it levies upor earnings in the Territory, regard- less of where they may be spent. The basis for judging the readi- ness of a country for self-govern- ment, Senator Rivers said, is often its ability to raise new tax reven- des. Alaska produces wealth at the rate of $120,000,000 or more annual- ly, the Senator said, but eighty cents out of every dollar of it goes “outside” and s not plowed back to build the Territory. The tax system in Alaska, Sena- tor Rivers said, has been hit or miss—mostly miss—and the income tax may tend to hold some of the wealth in the country, “We must pay our way if we are going to maintain our democratic form of government,” Senator Rivers said in closing. Cut Down Expenses Senator E. B. Collins, who has consistently held that the special session s illegal, said ‘that ne weuld continue to vote “no” on measures that come up for passage during the short session. He said, however, that he agrees with ny points made by Senator Rivers and that he would support the income tax measure if it is introduced dur- ing the regular session. On the other hand, Senator Col- lins pointed out that the tendency everywhere is to request more and more taxes and he asserted that we should cut down on govern- ment bureaus to the point where they can be maintained without an Xcessive burden cn the taxpayers, Mileage Eliminated The Senate also passed the pay neasure, House Joint Resolution No. 2, this morning, but not until after it had made some amend- ménts, jockeyed around at conside erable length on the proper man- ner in which amendments should e made, and knocked $15,000 off the appropriation. The vote on pas- sage was 14-2, Senate President Frank Peratro- vich ruled that committee amend- ments to the measure should be read at the time sections to which they applied were reached during the second reading of the bill, There was an objection to this pro= cedure by Senator Rivers but the Rules Committee upheld the ruls ing of the chair. : ;L:...nunucd on Pm 8ix)