The Daily Alaska empire Newspaper, April 2, 1949, Page 1

tome] THE DAILY ALASKA EMPIRE VOL. LXXIL, NO. 11,160 'GOVERNOR TESTIFIES IN OWN B —_— “ALL THE NEWS ALL THE TIME” | SATURDAY 1P.M. Edition JUNEAU, ALASKA, SATURDAY, APRIL 2, 1949 IlWU Found Guilty of Unfair Labor Pradice Against JSC by NLRB The International Longshoremens | and Warehouseman's Union has been held guilty of committing an unfair lakor practice in the making | of its demands on the Juneaul Spruce Corporation and in its activ- | ities designed to force the company to comply with them, the National Labor Relations Beard held yester- day in Washington, D. C., accord- ing to an announcement received by Norman C. Banfield, the com- pany’s attorney. The Board held the longshoremen had no rights to work of loading barges. The N.LR.B. decision is the result of a 4-day hearing held in Juneau last September before Melton C. Boyd, hearing officer for the Board, at which time evidence was taken on the company’s charge that the LLW.U. was engaging in picketing and boycotting the Juneau Spruce Corporation’s plant here to enforce demands that constituted a “juris- dictional dispute” under the law.| SIGNING OF GREAT PACT ALASKA TAX MEASURE IS | TAKEN UP House Comirhifttee Recom-| mends Congressional Action on Law WASHINGTON, April 2—(»—The House Public Lands committee yes- terday recommended congressional SET MONDAY |action to clear the way for Alaska's| |newly enacted business license tax World- Wlde Barrier, Against Spread of Com- munism Headed by U.S. By The Associated Press America’s leading role in the erec- tion of a world-wide barrier against the spread of Communism was underscored today by three devel- opments. | |law to take effect. | The House committee approved! the bill to authorize the Alaska| legislature to amend or repeal cer- tain business taxes The legislature, however, already keat Congress to the punch. It €nacted the new law with the pro- | vision that it should take effect on| | the first January 1 after congres- | sional authorization. The pxesem was short $575887.93 of being able MFMBER A SSOCIATED PRESS PRICE TEN CENTS | lestifies al Gov. Hearing REPORT OF TREASURER RELEASED |General Fund as of March 31 Was Short Over Half Million Dollars The Territory’s General Fund business license under the old con-|to meet its obligations at the end gressional act have been described|o; March, according to a statement as “hodge podge” by Alaskan sup- |issued today bv Treasurer Oscar l WASHINGTON, April 2—(P— Territorial Sen. Charles D. Jones, of Nome, Alaska, has fancy lan- guage and plain words. He prefers the latter. Appearing before the Senate In-| terior Committee to protest the reappointment of Governor Ernest Gruening of Alaska, Jones who served in the first Alaska legisla- ture in 1913, presented a statement which said: “You have alrendy heard, or will hear, of his (Gruening’s) lobbying tntics . . When all else fails,| he plies the legislators with cock- tails and cultured conversation in the governor's mansion amid sur- roundings more luxurious than I most of these inpretentious Alas- kans from mining and fishing com- munities and Eskimo villages have ever seen.” But he told the committee, that language wasn't exactly the kind he uses; that a secretary of Capt. Senalor Jones Talks Real Sourdough LanguageasHe | (OL. SEEMAN IS COMING Relieving Col. Potter- Plans Big Survey PCRTLAND, April 2—(P—Col. ment as Alaska District Engineer. Col. Seeman will take over the post at Anchorage April 10, re- lieving Col. William E. Potter who will go to Washington, D. C., for assignment. With Col. Theron D. Weaver, North Pacific Division Engineer, Seeman went over details of a| survey to ce made of the vast| Alaska region. It will plan for development of power, flood control and navigation projects for Alaska’s expanding population. | | Lyle E. Seeman has arrived here Committee to discuss with the North Pacific| ments ACCUSATIONS | By MORRIS CLEAVENGER | (AP Special Washington Service) WASHINGTON, April 2. —# | The Senate Interior Depnrtmem today weighed argu-| whether it will reject ox\ Division Engineer his new assign-|confirm the appointment of Ernest Gruening to continue as Governor of Alaska, Chairman O'Mahoney (D-Wyo) indicated that a decision will be made soon—possibly within a mat- ter of a few days. “The committee worked late yes- terday to wind up these Lhflrch made and denied by delegations of Alaskans: Charges Made 1. That Governor Gruening had used dictatorial methods, and sought unduly to influence legisla- |tors in favor of his program. HALF GRUENING MAKES GENERAL 'DENIAL OF CHARGES MADE; T0 ALASKA wil ge Disvid Engineer, JUNEAU ROAD (ONTROVERSY ARE HURLED | chorage and Fairbanks; and Ziegler, Ketchikan attorney. Wants New Governor Lathrop asked the committee tn | confirm a “new governor—someone who can dispel much of the poli- tical bitterness which has marked our legislative sessions during the past nine years-someone whose policies will attract investment capi- tal to the Tefritory, and at the same time who will sincerely fight for labor’s rights—not use labor for | political purposes.” Supporters included Stanley Mc- ‘Cutcheon. Speaker of the Territorial | Heuse; Col. Marvin Marston, com- mander of the Arctic Guard during the war; Mayor Z. J. Loussac of Anchorage; Simeon Oliver, Anchor- age, Eskimo concert pianist and author; William L. Baker, publishe} | porters of the revision. G. Olson. Since Feb. 7, Col. Seeman has| 2 That he campaigned among ‘The case was argued last January in Washington befere the Board. The company originally filed two! charges against the ILL.W.U., Ban-| field explained. The first was that the actions of the I.L.W.U. consti- tuted a jurisdictional dispute in that the demands they made were lor work glready being perform- ed by the company’s employees who were represented by the Interna- tional Woodworkers of America,; Local M-271. This is the charge’ disposed of now by the Board,; Banfield stated. ‘The second- ehiaige was that Lhe LLW.U. was demanding that the/ company discriminate against its own employees, because they were: represented by the I.W.A. local, and | hire others because they were rep- resented by the LL.W.U, he said. This second charge is to be heard in Juneau in August, the difference in time of hearing being due to the fact that jurisdictional disputes get preferential treatment under | the law. On keing advised of the Board'sl decisicn eman Schultz, Execu- tive Vice-President and General} Mansger, authoriged this statement: “We are of course extremely pleased that the National Labor Re- | | lations Board has upheld the posi- {said the United States must “move | will be in the Juneau High School. tion the company has taken from the beginning of this difficulty, that ! half of China” and other non-Com- |every evening, Monday through Fri- the LLW.U. demands were unlaw- ful and were in effect an attempt to lorce our employees out of these Jjobs. It also upholds our conten-. tion that we could not deal with a | union the majority of our em- ployees had not selected as their bargaining agent.” - - Plane Crash, Two Killed MOSES LAKE AIR FORCE BASE, Wash., April 2—A plane of the 325th All-Weather Fighter Squadron crashed here yesterday, killing two men. Their names were withheld pend- ing notification of next of kin. It was the first fatal accident since the base was reactivated last Dec. 1. The Washington Merry - Go- Round By DREW PEARSON (Copyright, 1949, by Bell Syndjcate, Inc.) oW1 o ASHINGTON— Even before he officially became Secretasy of Na- tional Defense, Louis Johnson start- ed cracking brass-hat heads to- gether. While Jim Forrestal still sat in the Defense post and Johnson was waiting to take the oath of office, niewspapers published a sensational plece of information to the etfect that the U. 8. Air Force had drawn up a list of 70 bombing targets inslde Russia. In case of war, it was said, the Air Force already had 70 important targets singled out for destruction. Immediately Johnson called Sec- retary of Air Stuart Symington on the carpet, demanded to know how (Continued on Page Four) ! 1 | | ] the ‘mining in the Iditarod area of Al- Foreign ministers of the 12 North Atlantic pact powers assembled for | their first meeting in Washington | to set up machinery for defense | of the .non-communist western world. i Democratic leaders in the Senate | predicted approval of the full $5,- 580,000,000 asked for the second year of the Marshall Plan after beating down a move to cut European re- | covery spending 10 per cent. Harold E. Stassen, University of | Pennsylvania President, urged in a | {speech at ‘Boston that the U. S. launch a billion-dollar-a-year plan for “bolstering” Asia against Com- munist expansion. No decisions on strategy were ex- pected at today’s meeting of the | 12 foreign ministers clearing lhe‘ decks for the formal ceremony of | signing the Atlantic Treaty Monday | in Washington. The last of the 12, Denmark’a Foreign Minister Gustav Rasmus- sen, arrived last night. Other na- | tions represented are the United States, Canada, Britain, France, If the House and Senate follow | through the committee recommen- | dation, the new Alaska law would | {levy a $25 license fee on all busi-| nesses and professions, with one-| | half per cent on gross receipts be- tween $20,000 and $100,000 a year and one-fouth per cent above $100,000. i Another bill approved &Ly the House committee would permit the Governor of Alaska to fix fees for rental of polling places .and other| | services im connection with elec-| tions. MINING COURSE STARTS APRIL 6 IN HIGH SCHOOL Arrangements have been com-| pleted for the University of Alaska Holland, Belgium, Luxembourg, Norway, Italy, Iceland and Portugal. | Following Winston Churchill ac\ Massachusetts Institute of | Technology convocation, Stassen | promptly to bolster the southern | munist sections of Asia. He called for a “MacArthur Plan” | as the Asiatic counterpart of the European Marshall Plan and as-] serted a billion dollars a vear should be spent to fight Communism in' the Far East. | Meanwhile, the Moscow press and; radio kept up its propaganda bar- | rage against the Atlantic Pact. Izvestia, the government organ, said the pact leaves the door open to possible “unleasing of military action.” Lee Loomis Passes Away SEATTLE, Aprii 2—(®—Lee B. Loomis, 78, President of the Loomis Armored Car Service, died yesterday | of a heart ailment in Charleston, S. C., while returning from the Na- tional Armored Car Convention in Tampa Fla: Word of his death was received at the head offices of his firm here. ! Loomis started his company in Portland 24 years ago after con- ceiving the armored car idea while aska. The service now extends from Vancouver, B. C., to.Los Angeles. His home was in Portland at the time of his death. Survivors in- clude the widow, three sons, all liv- ing in California, and a daughter; Mrs. Mary Lee Eby, Portland. Loomis was a Past President of the . International Sourdough Re- union and was well known in Al- aska, where he once mined and operated a freight service in the Kuskokwim area. ————— HERE FROM SKAGWAY Morgan W. Reed of Skagway is a guest at the Baranof Hotel. —————-————— SKAGWAY VISITORS Mrs. Olga Sullivan of Skagway 'BRITISH CONSUL Mining Extension Course which will tart Wednesday. Lectures by Howard M. Fowler, Associate Mining Engineer in the Territorial Department of Mines, Classes will be at 7:30 o'clock for four weeks. gistration may be made now |at the office of the Commissioner hiines, Room 407, Federal Build- |ing. The course will offer lectures on v, prospecting and ore depos- its, with emphasis on unanium i and mode of occurence. There will be a special lecture on the Geiger-Mueller Radioactivity Detector. “We are proud to offer this course with Fowler as instructor,” said Leo Saarela, University director {of Mining Extension. “The ar- | rangement was made under a co- operative arrangement with the University.” Both Saarela and B. D. Stewart, Commissioner of Mines, who work- ed out the course jointly, expect a arge enrollment, despite the brief advance notice. 1 T0 SPEND WEEK HERE, DUE TODAY G. Edgar Vaughn, British Consul from Seattle, was due to arrive w-} day by PAA from Ketchikan "to | remain here until Thursday of next week. He will make his hendquan- ers at the Baranof. Vaughn will be available for con- | ferences on consular business trans- | actions, or to confer with anyone | desiring information on Great | Britain. From here the consul will go to Kodiak, Anchorage and Fairbanks before returning to Seattle, April 17. STEAMER MOVEMENTS Princess Norah from Vancouver scheduled to arrive Sunday after- noon or e Baranof schedubd to sail from Seattle today; due Tuesday. Alaska scheduled southbound | is registered at the Baranof. . » sometime Monday. i of March after the There was $59,224.66 at the end closed. Against the Auditor’s office held unpaid veuch- |ers totalling $615,112.59, leaving the Bank Balance March 31, 1949 as of rants Total Less Special Funds and Punds incorporated in the General Fund which are not avail- able for the general operation of the Ter- ritory: Public 2chool Perma- nent University of Alaska —Permanent Emith-Lever Engineers’ and Archi- tects’ Museum Request and Donation Radio-Telephone Teachers' Retirement Vocational Educa- tion, Federal School Lunch Pro- gram, Federal Forest Reserve, Fed. Aleutian Island Mon- ies, Federal Old Age Assistance, Grants, Federal Old Age Assistance, Administration, Fed. Child Welfare Serv- ices, Federal Allowances to Moth- ers, Administration, Fejleral . Unemployment Com- pensation Commis= sion, Federal Control of Tubercu- losis, Federal Emergency Maternity and Infant Care, Federal General Health, Fed. Maternal and Child Health, Federal Crippled Children, Federal Venereal Dipease Control, Federal Hospital Survey, Fed. Cooperative Clinical Evaluation of Strep=- tomycin in Bone and Joint Tubercu- losis, Federal Alaska Grants, Fed. Veterans' Administra- tion, Special Veterans’ Housing, Revolving, Special Veterans' Refund Ac- count, Special Alaska Merit System, Special Territorial Building Fund, Special vision ~ Conservation Program, Special Denial Care of School Children, Special Alaska Crippled Child- ren's Assn., Special Alaska Crippled Children’s Assn, Transportation, Special ... Motor Fuel OIil. T;x. Special 2 Second Injury Fund, Special % s Territory short $575,887.93. ....$1,790,287.43 Less Outstanding War- 381,018.24 $1,409,269.19 14,394.73 10,222.68 16,109.01 i { 582512 1,480.04 3,617.24 148,097.75 7,023.49 144232 76,995.80 960.60 19,034.82 7,196.43 12,474.70 2,636.37 134,706.84 1,638.88 6,746.46 19,913.40 30,445.37 26,767.62 11,500.16 516.93 1,967.60 139,573.96 A. E. Lathrop of Fairzanks had Polished up the statement for mm’ and that he would like to put it books Wwerelin s own words. this amount, “Well, how would you put it?" inquired Senator Anderson (D- NM). “He takes 'em up and gives 'em plenty of booze and lots of con- versation,” Jones replied. Nurses Examining Board, Specia] 862.54 Matching !4 contri- | butions, Teachers’ [ Retirement Fund, Special Military Base Schools, Federal Amt. certified avail- able to U.S. Trea- surer for OIld Age Assistance, period ending 3-31-49, Fed. Amt. certified avail- able to U.S. Trea- curer for Aid to De- pendent Children, period ending 3-31- 49, Federal 2,636.37 | Amt. ~certified avail- | able to U.S..Trea- | surer for Old Age Assistance, period ending 6-30-49, Fed. Amt. certified avail- able to U.S. Trea- surer for Aid to De- pendent Children, period ending 6-30- 49, Federal 27,015.47 11,417.62 26,231.25 134,325.50 51,743.50 1,370,044.53 Balance of Cash in General Fund - $ 39,224.66 ° - WEATHER REPORT (U. 8. WEATHER BUREAU ‘This data is for 24-hour pe- riod ending 6:30 am. PST. In Juneau— Maximum, 40; minimum, 35. At Airport— Maximum, 39; minimum, 34. FORECAST (Juneau and Vicinity) Cloudy with light rain, oc- casionally mixed with snow tonight and Sunday. Lowest tonight, 34 degrees; highest Sunday, about 41 degrees. Southeasterly winds occa- sionally as high as 25 miles per’ hour. PRECIPITATION 243,092.61 20,135.59 53,868.34 2,995.85 3,473.82 330.14 6.50 5,841.75 6,452.99 74,160.54 4,069.83 (Past 24 hours ending 7:30 a.m. todsy In Juneau — .09 inches; since Aprii 1, 1.05 inches; since July 1, 98.14 inches. At Airport — .20 inches; since April 1, 97 inches; since July 1, 58.37 inches. ©00000000000000000000000000e0 .00 ©0 0000000000000 000%000000000000 ® 0000 0 00 00 FROM POLARIS TAKU G. W. Robinson of the Polaris Taku mine at Tulsequah is regis- tered at the Baranof Hotel. ->-oo——— FROM TULEEQUAH Mr. and Mrs. T. E. Burnett and family are registered at the Baran- of Hotel., - R HERE FROM SITKA Prancis L. Guertin of Sitka is a guest at the Baranof Hotel. | ceen serving with the General In-| telligence Agency in | capital. During the war |Burma theater and later | with the Los Alamos project, site ot New Mexico. ‘Two daughters accompanied Col. Seeman on the automobile and anothér daughter in Seattle, where mey will arrive by plane. Col. Potter.has-beeri Alaska dis- | wrict englneer for the pnst year. 'COUNCIL ASKED TO DONATE A.B. HALL SITE TO TERRITORY \City, Terriiorial Groups Plan Closed Meeting Tuesday Evening Representatives of two groups last night urged the Juneau City Council to take immediate action toward dondting the A. B. Hall site to the Territory, for construction of the new Territcrial Building authorized by the 19th Legislature. Frank A. Metcalf, Highway En- gineer, was spokesman for a suc- committee of the Territorial Board of Administration appointed to choose a locaticn, Also present, but not participating, were Oscar Olson, Territorial treasurer and member of tke committee, and Assistant Attorney General John H. Dimond. The Attorney General, J. Gerald Williams, who left for California loday on Territorial business, is the third subcommittee member. Architect Harold Foss also spoke sor the proposal. Fred Eastaugh, president of the Juneau Chamber of Commerce, spokz on the same subject, urging the council to authorize a special election, and advocating a long-| range city planning program. This | presumably would indicate a group of government buildings for federal, | territorial (then state) and offices. Stating that such an important matter required careful study, Mayor Waino Hendrickson sug-| gested a closed meeting of the| Administration Board’s subcom- mittee and members of the council as a commitfee of the whole. All parties agreed to the time and place, Tuesday evening in the Council chambers. This will not be open to the public. + The A. B. Hall was in the spot- light in another respect, on re- ceipt of a proposal from the Capitol City Roller Clut, a non-profit skating group, offering a plan by which it would assume outstanding | obligations to the city, and have the use of the roller rink and certain equipment. As there are several complica- tions toward ‘clearing” the ar- rangement, this matter was refer- red to committee pending the Tuesday discussion. SCHOOL SITE In the controversial matter of the proposed Waynor Tract site for a (Continued on Page Eight} the nation’s| he served | | as air forces engineer in the India- worked developing and testing activities in| trip | west. They will meet Mrs. Seeman city | | Alaskan natives with favored can- | didates for Yhe Territorial Legis- | lature. | 3. That he has hindered the de- velopment of Alaska by his stand against “absentee ownership.'” Gruening Testifies | Gruening took the stand to deny | the charges himself. He said he had pressed for enact- | ment of his program for the de- !« ‘velopment of Alaska, but was in no sense. a “dictator,” and had mo | power to be if he had wanted to be. | "I have come to the conclusic.) |that it is my duty to tell the | beople what I think,” he informe: he committee, He added flatly that he had not | campaigned with officials of the |Alaska Native Service to sponsor |certain candidates. Governor's Program His entire program has been aim- 2d at the development of Alaska for | the Dbenefit of Alaska, Gruening sald. He emphasized that he has insisted on & balanced budget, and {op: the first time this year has had enacted a tax system * worthy. of the name.” | A delegation of 44 supporters of | the Governor flew to Washington in a chartered plane, and nine (f these testified in his behalf. An opposition group of seven from the Territory asked the com- mittee to reject Gruening. Side Road At Juneau Much of yesterday's hearing cen- tered around a short piece of side toad bullt across National Forest ‘and to the Governor’s summer home near Juneau. ‘The road was brought up by Mar- | cus Jensen, a Democratic member of the Territorial legislature, one of the opposition witnesses, who said it was “one of those things which is mentioned in whispers whenever the conversation dwells on the Gov- ernor of Alaska.” Jensen. sald it was usually reter- red to as “that private road,” and that “nobody in Alaska has ever got- ten a satisfactory explanation of how a short piece of side road came | to be bullt to Governor Gruening's! | summer home and charged off as |a Territorial expense.” | The road cost slightly #3,000, Jensen said. I i under | Dian't Kriow About It ! When he took the stand, Gruening | denied that he had been instrumen- ! | tal in any way in having the road bullt He sald the road wes built under ! authority of the Territorial High - way Engineer at a time when he (Gruening)was absent from Alaska |on business. He added that it was | comparable to other roads con- structed to develop Forest Service hemesite areas. “Had I been there, I would cer- tainly have opposed this road being buflt,” Gruening said He told the committee that in the first piace he did not want the ,rond near his summer home, and that in the second place he would have been aware of the implications that would be attached to it. Besides Jensen, those testifying against Gruening included Frank Angerman of Fairbanks, and George J. Miscovich, also members of the Territorial legislature; Charles, D. Jones of Nome, a mining man and Territorial Senator; Captain A. E. Lathrop, owner of a number of i I of the Ketchikan Chronicle; Mrs. Irene Ryan, Anchorage mining en- 3ineer; Joe Nashoalook, Unalaklet | Eskimo, a fishermans union offi- cial; and Rep. Alfred Owen, vice president of the Alaska Territorial cederation of Lahor. Prevents Investments The seven opposition witnesses contended that Gruening’s opposis tlon to absentee ownership and | “vested interests” had wennd m_ vestment capital the ‘Territory, m m‘ilrged his tax program adopted at the last session of the legislature would in- (Jure the Territory. Proponents of the Governor's ap- pointment told the committee that Gruening in nine years had trans- formed the Territory from a “wil- derness” to a thriving community that is progressing rapidly. Nine of 44 supporters of the Gov- ernor, who came from Alaska to attend the hearing, testifiad. They said he had been a good, progressive governor who had the -awerests of he feopls at heart. Tax Program Approved They approved of his tax pro- gram. They said the Territory had to have the added money, some $18,- 000,000 for rehabilitation of the school system, the public health program and expansion of other Territorial. activities. Gruening testified that since he became governor nine years ago, the ; Territory had no tax program unti} 75 days ago. Then, he said, the legislature levied éncome taxes, property taxes, business license- taxes and increas- ed the salmon case taxes. Until this years legislative ses-t sion Gruening said, “I believed T was governor,” but found the “chief lobbyist for the canned salmon in- dustry was the actual governor,” Dictatorship He said business in the Territory had never paid any tax. Earlier Capt. Lathrop had criti: cized Gruenln;s program and charged ‘he had, set up a dictator- ship. Gruening told the committee La- throp owned two banks, six thea- ters, two radio stations, two news- papers, and apartment houses which never had paid any Territorial tax- es. He said he also owned a coal mine which had paid only ‘nominal taxes. Baker urged the committee to ap- prove Gruening, saying that until (Contlnlled on Pue st PACIFIC NORTHERN CARRIES 18 FRIDAY " On the full schedule of flights by Pacific Northern Airlines yester- day, a total of 18 passengers were carried with seven arriving and 11 departing. From Anchorage, passengers were: N. J. O'Brien, F. M. Tyvoll, William Maitland, G. C. Kessinger, Bob Sleight. From Yakutat: Helen Bremner. To Gustavus: P. E. Rowe, Jack Hofbauer, W. E. Thomas. To Cordova: Beverly Pytel, Ms, Kay Davis, C. N. Krammer, J. R. Hansen. To Yakutat: James Difalgo. To Anchorage: Alton Seagram, Cortiss Jones, * business- enterprises in Cordova, An- Jack Conright, Mrs. Bud French.