The Daily Alaska empire Newspaper, April 1, 1949, Page 1

THE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” VOL. LXXIIL, NO. 11,169 PULP MILL IS CERTAIN FOR ALASKA Development Plans Being Pushed . Ahead Deli- nitely Says Turcotte SEATTLE, April 1—(—President L. Turcotte of the Ketchikan Pulp and Timber Company said in an interview here that plans are be- ing pushed ahead definitely for the first Alaska pulp development, a $32,000,000 project. Turcotte said he was not able to say definitely when mill construc- tion might be expected to start, but when asked if it could be sev- eral years he replied: “It will be much sooner than that.” . He said an innovation being tried by the Weyerhaeuser Pulp Mill at Longview is one of the engineering angles that is compli- cating the situation, but which eventually may be a salutary de- velopment. “They have shifted from the orthodox calcium base to magne- sium. This operation is being watched closely. It will take a little flm before results can surely be as a yardstick one way to an- other. The effect on power con- sumption and the so-called pollu- tlon factor will have to be ob-| served closely.” He u\d engineering work for the ® 0 ¢ o0 v o 000 WEATHER REPORT (U. 8. WEATHER BUREAU This data is for 24-hour pe- riod ending 6:30 a.m. PST. In Juneau— Maximum, 39; minimum, 32. At Airport— Maximum, 38; minimum, 32. FORECAST (Juneau and Vicinity) Mostly cloudy with light rain showers occasionally mixed with snow and lowest temperature near 33 de- grees tonight, followed by light rain occasionally mixed with snow and increasing southwesterly winds and highest temperature near 41 degrees Saturday. PRECIPITATION (Past 24 hours ending 7:30 s.m. today In Juneau — :96 inches; since July 1, 98.05 inches. At Airport — .13 inches; since July 1, 58.30 inches. L] L] (3 + . . ' . ] L] L} . L] L] L] L] L] L] L] L] ® L] [ ] [ ) L] [ ] ] L) L] . ® 0 00 0 0 0 00 ——eo——— CG TRANSFERS Reporting aboard the CGC Stor- is for duty is R. Teichrow EM2 to replace Phillip Novak EM3, who has been transferred to Seattle for further assignment to duty in San Prancisco. Novak will leave aboard the Alaska next Monday. The Washington Merry - Go- Round By DREW PEARSON (Copyright, (1949, by Bell Syndicate, Inc.) ASHINGTON—Now that James ?o'rutll is out as Secretary of National Defense, the story can be tald of ore of his latest sessions with Truman and the man who was to take his place—Louis Johnson. Though Forrestal had put up a tough fight against the appearance of being ousted from his job, he saw the handwriting on the wall and asked only that there be a gradual change-over from him to his successor. He wanted this to take place May 1, but at a luncheon with the President and Louis John- son, he bowed to Truman’s wish that it be April 1. FPurthermore, Forrestal volunteer- ed to help Johnson in taking over the defense job and immediately placed important secret intelligence at his disposal. At this luncheon meeting, it was agreed on the date when Johnson’s appointment would be announced, and Johnson declared that until that time he was going to leave town. “1 don’t want to be accused of leaking this news,” he said. “And e e | e e - (Continued on Page Mn LONGSHOREMAN STEALS SALMON; GIVEN SENTENCE Case of Pilfgfi—gje of Alas- ka Shipments Reveal- ed in Court Trial SEATTLE, April 1 — (® — Emil Joseph Kienlen, 55, a longshore- man, was sentenced to four months in the McNeil Island Federal road camp yesterday after pleading guilty to stealing four cases of canned salmon from a dock last December. Asst. U. S. Atty. Vaughn Evans said the case was an example of the pilferage from Alaska and interstate shipments which cost shippers thousands of dollars an- nually. Kienlen admitted the salmon and putting it in the resr of his pickup truck, Evans ROVALL NOT TALKING ON RESIGNATION WASHINGTON, April 1—®— Secretary of the Army Royall con- ferred with President Truman to- day without clearing up reports that he is about to resign. Top White House aides, unquot- able by name, say Royall is ex- pected to leave his post soon. Royall was asked about published reports that he is to quit. “I haven't seen but about 1800 such reports,” Royall saild with a smile. He wouldn't discuss his talk with the president. —— . FiSH TAX EFFECTIVE SEATTLE, April 1—®—A new one percent state fish tax became effective today. Acting State Fisheries Director C. L. Anderson reminded fishermen they will be taxed one percent of the value of all fisheries products caught in territorial waters of the state, except the Columbia river. Dealers will pay the tax on all fisheries products handled, regards less of where caught. Dealers will be responsible for collecting both taxes. On the Columbia river, the taxes under the new state law are on a varying poundage basis to conform to Oregon rates. COMMITTEE GIVES NOD TO PROPOSED ANS CONSTRUCTION Approval for all proposed con- struction work by the Alaska Na- tive Service for the coming year has been given by the House sub- committee on appropriations, Don Foster, Alaska Native Service di- rector, said today. Included in the committee’s ap- proval is the construction of the large ANS hospital at Anchorage, a 200-pupil boarding school ‘at | White Mountain, housing at Mt. Edgecumbe, renovation of the Bethel hospital, and nurses quart- ers at Tanana. Also approved is the construction of schools at Rampart, Kasigluk and Mumtrak. Major construction work at White Mountain will replace facili- ties burned out during the war. Facilities aimed at providing high school training for Second Division youth are to be included in the White Mountain construction, Fos- ter said, thereby extending oppor- portunities for secondary education for the first time through the ANS in that area. ——— SNOW FALLS HERE .Snow fell during the night in Ju- neau to'a depth of 1% to 3 inch- es, but turned slush for the most part during the early forenoon, Qut the highway, the snow fall was about four inches. taking | CHURCHILL SHOWS UP RUSSIANS Accuses "Ifiri_een Men in Kremlin as Aiming at Rule of World” (By The Associatd Press) Winston Churchill declared last night that “Europe would have been communized—like Czechoslovakia— and London under bombardment some time ago but for the deter- rent of the atomic bomb in the hand of the United States.” But, the veteran British states- man said in his Boston address, “war is not inevitable.” Churchill threw out a blunt ac- cusation that “thirteen men in the Klemlin . . . aiming at the rule of the world” had self preservation as the root of their “sinister and malignant policy.” The wartime Prime Minister de- clared that the Western world was “now confronted with something quite as wicked, but in some ways more formidable than Hitler.” Ccngress in general expressed ap- proval of Churchill's speech, al- though there were some bitter crit- ics. Conservative British newspap- ers described the address as “a re- cipe for peace.” CTY COUNCIL WLL HAVE VISITATIONS AT MEETING TONIGHT Members of the City Council, who usually work in the presence of more vacant seats than filled ones, are promised a good “gallery” for tonight’s 8 o’clock meeting. Hoping to prevail on the City of Juneau to donate the A. B. Hall site for the new $660,000 Territorial building, the subcommittee of the Territorial Board of Administration and the Chamber of Commerce their intention of being present. sewer con- struction and the airport building probably will be discussed, and another reading of an ordinance pertaining to negotiation of the $260,000 paving bond issue is sched- uled. MENDENHALL ICE, PINEAPPLE JUICE LATEST COCKTAIL WASHINGTON, April 1—P— The latest capitol cocktail: Pine- apple juice cooled with Alaskan glacial ice estimated to be 30,000 years old. Such drinks were served yester- day to seal the bonds of friendship between Hawaii and Alaska. They were enjoyed by Delegate Joseph R. Farrington of Hawali, who pro- vided the pineapple juice, Delegate E. L. Bartlett of Alaska, whose Territory furnished the glacial ice, and Gov. Ernest Ouremng of Al- aska. The ice from the Mendenhan Glacier, 12 miles north of Juneau, was flown here by William L. Bak- er of Ketchikan, editor and pub- lisher of the Ketchikan Chronicle, who accompanied a party of Gruen- ing supporters from the Territory. The little party was held in the office of Delegate Bartlett. —_—————— Governor of Guam Is Commended for GUAM, April 1—(P—Secretary of the Navy Sullivan today approved the action of Rear Adm. Charles A. Pownall, Governor of Guam, in de- claring vacant the seats of 3¢ mem- bers of the Guam Congress. ‘The congressmen revolted on March 5 in a dispute with Pownall over its powers. Sullivan commended the admiral| for his swift action. He said, how- ever, he felt a special election| cies, Pownall is empowered to ap- point new legislative members. executive board have announced) Civic improvements such as Gold: | Creek flume repairs, Legislative Adtion! should be held to fill the 34 vacan-| JUNEAU, ALASKA, FRIDAY, APRIL 1, 1949 Opponents of Governor Present Case > Today SUGGESTS GOVT. QuIT AS BANKE Makes Final Reporton Reorganization By JACK RUTLEDGE. WASHINGTON, April 1—®—The Hcover Commission today asked j Congress to take the government out of the banking business. 4 { The 12-member bi-partisan com- mission’ headed by former Presiden Herbert Hoover recommended in its' 18th and final report on reorgan- ization of the executive branch of] government that Uncle Sam @ lending money. i Waste, favoritism and “even core |ruption” are invited when the gove jernment makes direct loans y firms and individuals, the report. said. The Reconstruction Finance poration, the big source of fi credit in war and depression, be reorganized into a mere gW antor of private bank loans, fMe cemmission suggested. £ And 30 other similar or- related federal agencies should be merged or eliminated, the report continued. l On the question of public power, ithe group was hopelessly snarled, iand instead -of making an outright recommendation, several of the group wrote “suggestions” which varied sharply. Filibustering On Recovery In the Senate today, Republicans were accused of using filibuster tac. ties to delay a vote on the Europ- Senator Connally (D-Tex), chair- man of the Senate Foreign Rela- tions Committee and floor manager of the bill, said opponents want to “embarrass the administration” by holding up action on the measure. ! “But they won't succeed,” he said. ‘The bill being debated in the Sen- ate would authorize continuation of the Marshall Plan for a second year.. The committee has recom- mended that $5,580,000,000 be spent. The actual cash will be provided ;later by another bill. Amount Is Involved 1 The controversy has centered around the amount to be spent, not whether the Marshall Plan should be carried on. | Senators Taft (R-Ohio) and Rus- sell (D-Ga) want to cut the total |down to $5,037,000,000. But debate has delayed a vote on their amend- ment. On the other side of Capitol Hill the fight over repeal of Fed- eral taxes on oleomargarine con- tinued. ‘The House Rules Committee went .doggedly ahead with hearings be- iiore taking a vote on when to clear the administration labor bill foi floor action. The bill has been approved by the Labor Committee, but the Rules group, a sort of legislative traffic cop, has to give the go-ahead signal !before the measure is brought up before the House itself. Labor Bill Controvery Some congressmen backing the ladmlnlstrunon plan to kill the Taft- Hartley Act say privately that two recent developments have dampened their original confidence in victory. One development was the two- week walkout in the coal mines or- dered by John L. Lewis. They fear the walkout emphasized the need for government power to end such strikes—a power the new bill does | not provide for. Second, they fear the coalition of southern Democrats and Repub- licans which routed administration jorces in the battle over the Senate rules. Dixie lawmakers, aided by Republicans, waged a successful filibuster. Some believe it is pos- sible that the southerners, luke- warm or cpenly opposed to the new law anyway, may return the favor and vote “no” on it. e STO(I( QUOTATIONS NEW YORK;, Apr. 1.—{M—Clos- ing quotation of Alaska Juneau imine stock today is 3%, American can 91, Aanaconda 31%, Curtiss- wright 9%, International Harvest- ler 24%, Kennecott 45%, New York ‘Central 11%, Northern Pacific 15%, |U. 8. Steel 72%, Pound $4.03%. Sales today were 850,000 shares. Averages today are as follows: | industrials 176.28, ralls 48.46, util- |ities 35.58. Hoover Commlssm '/ TWINING T0 HEAD. members| MEMBER ASSOCIATED PRESS 1"Overfime on Overfime’ Pay Is Denied Longsheremen in _Detision by Federal Judge CANCER CONTROL MONTH IN APRIL LT. GEN. N. F. TWINING Today, April 1, marks the open- ing of “National Cancer Control Month” if Alaska and throughout the United States and Territories. Here in the Territory, Lt. Gen. Nathan F. Twining, head of the Alaska Armed Forces Command, has been named as chairman of the American Cancer Society’s 1949 fund-raising campaign, Lew Williams, Acting Governor, ;a8 been named honorary lay chair- man for the Alaskan drive. By Presidential Proclamation, April has been set aside as Cancer Control Month. A For the first time, the Alaska Territorial Cancer Society, effected last fall with Dr. William Blanton as medical head and Mrs. Mildred Hermann as Territorial Command- er, will go into action to join in the fund raising campaign. Veterans of Foreign Wars posts +|will handle campaigns on the local level, with John B. Penman, Fair- banks VFW Post, director. 4 By Proclamat:cn, the President has invited the medical profession, the press, the radio, the motion- picture industry and all organiza- itions and individuals interested in a national program for the control of cancer by education and other cooperative means to unite during the month of April in a public dedication to this program. R. J. SOMMERS LOWEST BIDDER ON (G BUILDING R. J. Sommers Construction Co. submitted a bid for $296,946.80 for construction of the Juneau Com- munity Building, underbidding two Seattle firms by more than $25,000. Bids were opened yesterday at 430 p. m. in the office of N. C. Banfield, president of the board of directors. Henrik Valle Co., Inc,, bid in at $325,000. The J. B. Warrack Con- struction Co. submitted a bid ot $338,000. The Community Building board of directors meeting this after- noon, found that a few persons have not deposited their subscriptions for stock pledged because of being out of tewn or having overlcoked the obligation, ‘The board, however, expects to be able to award the contract to R. J.! Sommers next week and to with- draw the deposit on stock subscrip- tion and to issue stock to stock- holders. Following this action, a stock- holders meeting will be called for the election of a permanent board of directors. An examination of property title is being made, according to Ban- field. Property will be purchased at the time of the contract award. STEAMER MOVEMENTS Princess North from Vancouver scheduled to arrive Sunday after- noon or evening. Baranof scheduled to sail from Seattle tomorrow. Alaska scheduled sometime Monday. southbound as Ten"itorial‘ SAN FRANCISCO, April 1.—(®—A court denial of a union claim for “overtimz on overtime” pay may set a national precedence for cases in- volving millions of dollars. Federal District Judge Louis E. longshoremen were not entitled to pay claims estimated at $1,000,000. The unicn had brought suit in 1945 and 1946 against the West Ccast Waterfront Employers. The longshoremen contended they should have received time and one- half their night pay scale for over- time work at night. Employers held this would be overtime on overtime, since the night rate was time and a half as compared to the day scale. In denying the union petition, Judge Goodman cited the 1947 por- tal to portal act. It exempteu the employer from penalty overtime provisions after 40 hours’ work “if he pleads and proves that the act or cmission complained of was in good faith and in coniormity with and reliance upon any administra- tive regulation . . . or in terpreta- lzon of any agency of the United States." - Dcck employers contended they were conforming with a 1938 ruling by a regional attorney for the wag- es and hours division (of the labor department that their pay practices were legai. The union announced it would file for a new trial and appeal if nec- essary. The. U. 8, Supreme Court recently returned to a lower court similar suits involving eastern longshore- men for testimony on employers’ 1g00d faith, STATEHOOD ACTION IS | DEMANDED WASHINGTON April 1—(®— ‘The House Public Lands committee today asslgned six of its members to press the House Rules committee Yfor early action on bills {c grant statehood to Hawail and Alaska, Rep. Crawford (R-Mich) told the Public Lands committee the bills were approved several weeks ago and still have not obtained rules committee clearance for house de- bate. “We might as well find out now what Congress is going to do about these offshore areas,” he said. ‘Both major political parties have approved statehood for Alaska and Hawail. “If we are going to kick these offshcre areas around like they were yellow dogs, we might as well -find it out.” Shoppers Get Jolt From Show Window Window shoppers who went sail- ing by Steven; store display win- dows today screeched tq a stop, bugged out their eyes, and mdde a break for the closest calendar. New fallen snow could have ac- counted for what-they saw. The chill in the air bringing on that old wintery feeling might have done the trick. It could have been an eager advertiser whipping up a little very early pre-holiday spirit. But whatever accounted for the store's window display didn't make sense. Looking for all the world as if it had been taken right out of “T'was the Night Before .. . " there stood in the window a Christmas Tree, complete with tinsel, lights and gayly wrapped packages. It just didn't make sense, until window shoppers remembered that today is April Fools Day. —— e —— l PRIVATE ANDERSON IN Pvt. William A. Anderson, an Alaska chap who served in Juneau during the war, has returned here for ACS duty. He will be a mes- senger. Anderson arrived Wednes- {day from Kodiak, where he recelved !his basic training. Goodman yesterday ruled 1,200 CIO | Tighe SUPPORTERS TESTIFYING GOV.'S CASE Declare Alaska Now Grow- ing Community - And All Under Gruening By CHARLES D. WATKINS WASHINGTON. Anyii'l, —»— Supperters of Gevernor Ernest Gruening of Alaska told the Senate Interior Committee today thac Al- aska has advanced under his ad- ministration, Stanley J. McCutcheon, Speaker of the Alaska House of Representa- tives, testified that when Gruening became ' governor nine years ago, Alaska was ‘‘completely stagnant” with poor schools, health facilities and roads. Now, he said, due to Gruening’s efforts, Alaska is a thriving com- munity “that wants to go ahead and wants to keep Gruening in Alaska.” The committee is considering Gruening’s nomination by President Truman for a third term. Earlier in the day it heard his opponents | say he had established a pomlcnl dictatorship in the Territory. McCutcheon said Alaskans ap- prove the governor's program. The last legislature, he said, had adopt- ed Gruening's tax proposals which balanced Alaska’s $18,000,000 bud- get. He denied statements by oppon- ents of the governor that Gruening had attempted imporperly to in- iluence the legislature and had campaigned for, some candidates. RUSSIANS ATTACKING NEW PACT Brands Alliance as Offens- ive Instrument fo Scare Nations (By the Associated Press) Russia is virtually sure to con- sider her treaties with Britain and France dead upon the signing of the North Atlantic Security Pact, diplomatic informants in Moscow predicted today. ‘The Russians railed anew at the Alliance, branding it an offensive instrument designed to scare na- tions = which refuse to accept British-American world domina- | tion. The acid Soviet memorandum to the seven original sponsors of the Alliance said the pact undermines the *very. foundations” of the United Nations and violates inter- national agreements. The treaty is to be signed 'Monday in Washing- ton. The Russian note was sent to the United States, Britain, France, Bel- glum, Holland, Canada and Luxem- bourg. The British Foreign office today rejected any suggestion ty Russia | that the Atlantic treaty violates either the U. N. charter or the British-Russlan friendship treaty. Diplomatic authorities in Wash- | ington predictedq that the U. S. and other Al itic powers will also re Ject the Soviet protest. Secretary of State Dean Acheson | scheduled a high pressure round of | conferences with Western European| Forelgn Ministers today. .- NEW RENT LAW NOW IN EFFECT (By Associated Press) Landlords and tenants are .doing business now under a new rent law which many officials believe will mark the end of federal controls. As a starter, Housing Expediter Woods has started the paper work which will remove rent ceilings from all or part of one- hundred rent ceiling areas over the country. The first of these decon- trols is due this week-end. Rent officials are working over- PRICE TEN CENTS CHARGES MADE AT HEARING Two legisla?rs lay Dm Complaints - Lathrop Gives Alaska's Situation By CHARLES D. WATKINS WASHINGTON, April 1—®— Two Democratic members of the Alaska legislature opened the dp- position fire on Gov. Ernest Gruen- ing today with charges of “ntrlv- ing for person power” and exerting undue influence over legislators. The Gruening opponents testified before the Senate Interior t- tee, which Is considering whether to approve the Democratic govern- or's re-appointment. Rep. Msrcus Jensen,. Douglas merchant, was the witness who ex- pressed the belief ‘the governor is seeking personal power. Supporters of Gruening, who has heen appointed by President Tru- man for a third term, awaited their turn to testify. Rep. Frank Angerman, Fairbanks machinist and Democratic legislator, sald he opposed the nomination be- cause he belieyed Gruening had in- fluenced members of the Territor- ial legislature improperly. Angerman testified the governor insisted his program be enacted and once had abtained confirmation of his appointments by telling the legislature fie would not submit oth- er names, Senator Malchc (in-Nev) asked Angerman #f he was not pwlp “the Congress % lnr sage.” “You don't do thoss things here to influence legislators,” Angerman relied. “It is not permitted.” Members of the committee smiled. Power By Appointment Angerman, Rep. George Miscovich a gold miner and Republican legis- ing obtained power through his ap- obtained power thrnugh his ap- pointments. “Most of us believe he has broken up the Republican party,” Misco- vich said, “and the Democrats be- lieve he is going to break up the Democratic party.” Again the Senators smiled. Jensen asserted Gruening con- trols the affairs of Alaska by “ap- pointing himself consultant to the Attorney General and others who are drawing up bills.” Buttonholes Legislators Jensen said Gruening buttonholes Territorial legislators who appear unfavorakle to his measures and “lectures them in the halls and then the cloakroom.” Jenben also testified that the Territorial Road Commission had built 800 feet of road leading to the governor's summer homse. He as- serted that if residents of Juneau had known a rcad was going to be built many of them would have leased summer home sites in the region. Jensen charged Gruening had fafled to remove thé Commissionar of Veterans Affairs and the Di» rector of Public Welfare until af a legislative inyestigation had sho they were inefficient. Lathrc) Testifies Capt. A, E. Lathrop, publisher of the Fairbanks News-Miner, urged the committee not to approve the Gruening nomination. He said he had hoped that Presi- dent Roosevelt’s appointment of Gruening in 1839 would result in | him giving Alaska a good adminis- tration “in spire of the handicap * |of (Gruening) not being an Alas- kan.” “Never in my 53 years in Alaska,” said Lathrop, “have I seen the strife between the parties and within the parties, the friction be= tween labor and capital, and the class and racial hatred that exists today—Ilargely because of Gruen- ing’s leadership. Perscnal Considerations “His policles almost without ex- ception have been motivated by personal or polticial considerations —certainly not by a constructive and sincere interest in Alaska.” Lathrop said Alaska is at the cross roads of its development. He urged that the committee realize the necessity of a new. governor being named who can dispell the political * bitterness which he said has mark- ed Alaska legislative sessions for nine years. He sald it should be time, also, to write regulations putting the new law into practice, ' " (Coutinued on Page S