The Daily Alaska empire Newspaper, October 4, 1949, Page 1

THE DAILY ALASKA EMPIRE VOL. LXXIII, NO. i1,315 “ALL THE NEWS ALL THE TIME” JUNEAU, ALASKA, TUESDAY, OCTOBER 4, 1949 MEMBER ASSOCIATED PRESS PRICE TEN CENTA Fish Trap Tax Is Held On Shullmg Down Furnace PICKETING INTACOMA IN COURT Temp oraFReslraining F Order Invoked Against Unions Who HaveLLines TACOMA, Oct. 4—(M—A tempor- ary restraining order was invoked yesterday against four unions to halt picketing of the freighter Asa Lothrop. Issuance of the order followed two minor skirmishes along the waterfront where the CIO Marine Cooks and Stewards Union set up a five-man picket line yesterday morning. Superior Judge Bartlett Rummel set Friday for hearing of evidence as to why the order should not be made permanent. It was requested by the AFL Sailors Union of the Pacific, which won unanimous support from the Lothrop’s crew in National Labor Relations Board voting last week- end. ! Cited in the order were the Stew- | ards Union, the Marine Engineers Beneficial Association and the American Radio Association, all CIO, the Independent Marine Fire- men, Watertenders and Wipers Un-‘ jon, and their business agents. i Details of yesterday’s afternoon | fracas were not known. All par-| ticipants had left the dock when| police arrived. Joseph Harris, business agent for the picketing Marine Cooks and Stewards Union, said the narrow- ly averted morning disturbance was inspired by the arrival of two car- loads of “imported goons from Cal- ifornia, armed with - billy clubs, brass knuckles and baseball bats.” The men left when a police prowl car arrived at the scene. | UNLOADING SHIP TACOMA, Oct. 4—(P—Longshore gangs began working the motorship Asa Lothrop here today with police crews standing by to prevent a repetition of two minor clashes near the vessel yesterday. ‘The AFL. longshore crew re- ported for work at 8 am. Pickets from three C.I.O. unions and one| independent union failed to show up, apparently because of a re- straining order issued here yester- day by Superior Court Judge Bart- lett Rummel. HANGAR FIRE AT MERRILL FIELD DOES BIG DAMAGE ANCHORAGE, Oct. 4—(#— Fire| last night caused an estimated $55,- | 000 damage at the Alaska amphi- bious airmotive hangar at Merrill Field. It threatened a quarter mile of hangars at the field, which is known as one of the world’s busiest airports. A Belanca in the hangar seemed | to explode internally and set off; the blaze, owner Howard Bremer of Marshall, Alaska, said. Seven air- plane engines were destroyed. An| undetermined number of wings wer2 @ total loss. The Washington Merry - Go- Round| By DREW PEARSON ICopyrignt, 1949, by Bell Syndicate, Inc.) ASHINGTON—Ray Wakefield, who had served his country long | and faithfully, was found in the bathtub the other day with his wrists slashed. His death, shortly thereafter, did not provoke the same storm that followed the suicide of another high public official last spring, but it should not pass un- noticed. Ray Wakefield was a Republican who made a career of government, Beginning as a California district | attorney, then as a California rail- road commissioner, he worked hisi way up to be a Federal communi- cations commissioner. - Most of his adult life he spent serving his, gov- ernment, and both Democrats and Republicans testified that he served it well. When his term expired on the Federal Communications Commis- sion, in 1947, both Republican and Democratic Senators, together with (Continued on Page Four) lor. ling yesterday that placing the issue | Gunfire anmath Breaks .|ring all amendments. ANCHORAGE T0 YOTE ON SALES TAX Other Prop;sgls Besides | Officers Are to Be De- cided at Polls Today ANCHORAGE, Alaska, Oct. 4— (M—Voters went to the polls here today to elect a mayor, three coun- cilmen, two members of the util- ities board and a school board member. Also on the ballot are proposi- tions calling for one per cent sales tax and civil service for municipal | employees. ! Resident of the Anchorage schcol district, which takes in all of great- | er Anchorage, also will determine | whether the school board should | have sole authority over the dis-| trict’s financial matters. Authority | now is shared by the board and! the city council. | Z. J. Loussac, a retired druggist is seekinz his second term as may- He is opposed by Arthur L. Lintner, importer, and Arthur L. Engebreth, mercantile store owner. Nine candidates seek two three- | year terms on the city council, while four, including Donald Rozell.‘ the lone incumbent up for re-elec- tion, seek the lone two-year coun- cil seat at stake. John Manders, former Anchorage mayor, opposes Fred Axford, jewel- er, for the three-year term on the utilities board. E. Wells Ervin is; unopposed for the board’s two-year vacancy. Four candidates vie for the five- year vacancy on the school board. City officials have pLromised to cut real and personal taxes from 20 to 18 mills if the sales tax proposal is approved. The proposi- tion calls for a fourth of the tax’s returns to go into the general fund for municipal purposes and placesi the remaining three-quarters in a trust fund to finance city improve- ments. Balloting on tke school board aut- onomy issue will be held apart from other voting, the city attorney rul- on the ballot for referendum vote | was illegal. The school board de-| cided, however, to go ahead with| the election when opinions froml two local law firms declared it le- gal. 900,000 Men On Strike Calm of Steel, Coal Industry Walkout (By the Associated Press) Gunfire and death bgoke the brief calm in the strife-scared mine fields as the twin "strikes of 900,000 steel and - coal workers ground on today at a staggering cost of more than $30,000,000 a day. Violence flared in Tennessee. A Virginia miner was killed in a rock fall. Pickets wrecked ma- chinery at Pennsylvania bituminous pit. America’s economy staggered and creaked in the wake of the two- pronged pensions shutdown. John L. Lewis’ 400,000 soft coal diggers who work in the bowels of the earth east of the Mississippi have been strike-idle since Sept. 19. That's 16 payless days. Social Security Measure Given Boost in House WASHINGTON, Oct. 4—(#—The administration won the first test today in the House scrap over its proposal for bigger Social Security benefits and higher payroll taxes. Over Republican cries of ‘“gag rule,” the House voted to_consider the measure under procedire bar- The roll call vote was 189 to 135. Workmcn at the Carrie plant nf U . Steel’s Homesu'ad Works at I’m.sbur‘h, Pa,, remove a fuel and air mixing unit known as a “tuyere” from a blast furnace in preparation for a steel strike. /P Wirephoto. Delegale Barflett Predids Statehood for 2 Terrifories WillBe Passediarly, 1950 THIRD TERM | FOR OLDS IS THROWN our Senate Suocommmee Un-' animously Rejects Ap- | proval-Up fo Senate WASHINGTON, Oct. 4——IM—A] Senate Commerce sw.commmee! voted unanimously today against; approving a third term for Leland Olds on the Federal Power commis- sion. The subcommittee includes four Democrats and three Republicans. The full Interstate Commercel Committee is slated to meet to- 1 4morrow morning and -may act formally on the subcommittee’s recommendation then. Since the full committee has only 13 members, the subcommittee constitutes a ma- jority of it. Olds, 58, has served on the com- mission since 1939. He was. first appointed to it by President Roose- velt. President Truman nominated Olds for another term, but he can- not serve without Senate approval. The subcommittee voted to re- commend that the Senate reject the nomination. That would mean put- ting Olds' name before the whole Senate for a vote. Olds has been under fire for articles he wrote in the 1920s and for his views on federal regulatory powers over the natural gas in- dustry. Friends of Olds have contended that the attack upon him stemmed from big power and national gas interests. NINE-YEAR-OLD LAD T0 TOSS FIRST BALL TOMORROW'S GAME NEW YORK, Oct. 4—(®—The tirst World Series ball will be tossed out by a nine-year-old boy, a vic- tim of New York’s heavy infantile paralysis epidemic this year. He is Bruce Howard, and he will watch the series as a guest of Baseball Commissioner A. B. Chandler. Sl B e B LSS B Il ol R i b B B R o I By CHARLES D. WATKINS WASHINGTON, Oct. 4—@— Statehood for Alaska and Hawali early next year—if the Hawaiian dock strike is settled—was pre- dicted today by Delegate Bartlett of Alaska. Bartlett said he believed that hoth statehood bills will be acted upon soon after the next session! of Congress convenes in January. “The two bills are so closely re- laled' Bartlett said, “that they cannot be separated or acted upon singly. If the Hawaiian strike 1.\\ settled it is the belief there is an| exLellenL chance we will get state- hood next year.” Bartlett said the Hawailan situa- tion “is another illustration why | statehood should be granted to the two Territories. “There is no doutt but that a Territory has more difficulty in handling a strike such as the pre- sent one than a state.” | er. He said the question of state-‘ hood is uppermost in minds or‘ Alaskans. | “Our people have conciuded that | only by achieving statehcod can we | attain the things we need,” he said. | RUSSIAN BLOCIS AT WORK Czechoslovakia Is Sixth Cominform fo Scrap Yugoslavia Treaty (By The Associated I‘ress) Czechoslovakia today became the sixth Cominform nation to scrap its treaty of friendship and mutual assistance with - Yugoslavia. It was part of a sudden spurt of Russian block activity affecting the Balkans, Germany and China. The Czech gcvernment, scrapping the friendship treaty with its former Cominform part- ner, demanded the recall from Prague of the Yugoslav Ambassa- dor. It said the government con- undesirable and accused his Em- bassy staff of including spies link- ed with an unnamed Western pow- There was no immediate indica- tion the requested recall of the Yugoslav Ambassador would lead to | a formal breaking of diplomatic re- lations between the two countries However, a break in relations be- besides | ly Partially FOLTA GIVES EXPLANATION ON DECISION KETCHIKAN, Alaska, Oct. 4.—(® —Federal Judge George W. Folta explained here today that his de- cision against Alaska's quadrupled fish trap tax law is based entirely fion the case of Freeman vs. Smith. It is a 20-year-old case in which a non-resident fisherman named Freeman contested the $250 license fee levied by the Alaska legislature. He contended successfully that the [l| license fee threatened his rich share in the Alaska fishery that was guaranteed under the White Act. The circuit court of appeals rul- ed in that case that the high l- cense actually interfered with his | equality of sharing in the Alaska fishery. Folta said his ruling is that the new fish trap tax likewise abolish: ed the right of trap owners to share equally in the Alaskan fisliry the White Act guarantees. Judge Folta told a Ketchikan Chronicle reporter that his decis- ion skipped over the other three points on which the law wa tacked, holding that the progr tax on traps themselves, while four times the previous level, is pot hown to be unfair. The Chronicle said the Judge's explanation showed that he threw out only the portion of the measure which pyramids taxes on fish taken in traps. The newspaper sald the Judge told its reporter that if the Terri- tory had the right to control its fishery, as do states, the measure might well have been sustained even though it eliminated part of the traps.. - The Smith in the Freeman- Smith case was Territorial Treas- jurer and tax collector at the time. The Chronicle said the court rul- ing is expected to cost the Territory an estimated $1,300,000 in revenue this year, although the previous graduated tax on fish taken in traps will govern and provide con- siderable revenue from the large run of pink salmon in southeast Alaska. They are largely trap- i caught. SLAYER IS GIVEN SWAT, | sidered the Ambassador’s prescncei SlAI" MATE ANCHORAGE, Alaska, Oct, 4— | P—A grief-stricken husband landed a solid blow yesterday on the chin of a 20-year-old native charged with the fatal stalcbing of his wife. The distraught husband, Reed Peterson and John F. Chebetnoy “The failure of Congress to act|tween Premier-Marshal Tito’s gov- ::net in the corridor of the Federal upon the Armed Forces' construc- | tion Lill is one very good evidence. “There $130,000,000 of construc- tion in the Territory is t'ed up ke- | zause a House committes chairman | Jeclined to have the House act upon | it at this session. “1f Alaska had had voting repre- sentation in the House that situa- | licn might have been avoided. “However, 1 believe there is a strong chance that we may be able to act upon the bill before Congress adjourns.” TEACHERS' ASSOCIATION NAMES YEAR'S OFFICERS The Juneau Classroom Teachers'| Association resumed winter activi- ‘ies in a recent business meeting. | Officers elected for the ensuing | sear are as follows: President, Ethel | Murphy; Vice-President, Gil Eide; | Secretary-Treasurer, Ruth Johnson Committees appointed by the President are: Financial: Ruth Johnson, chair-/ man; . Dolores Mattila and Helen| Schaefer. Professional: Dwight Dean, chairman; Marjorie Tillotson, Genevieve Mayberry, Dade Nickel Social: Rosalind Hermes, chair- man; Margaret Maland, Avis Amat, Stella Gallas, Harriet Berg. The first item on the fall social agenda will be a hobo party in the “jungle” of the grade school gym on Thursday, Oect. 6. The so- cial committee will be in charge. | cers that Russia | ing its irons” against his country, ernment and the countries of the Cominform has been predicted. In Belgrade, Tito warned the So- viet bloc that Yugoslavia is ready to defend itseif to the last breath He charged hbefore his army offi- “has bkeen forg- and he accused Russia of “trying to endanger a small people.” Tito spoke at the conclusion of Yugo- slavia’s biggest this year. CHARGES AGAINST RUSS On the other side of the world, {in Canton, the Natlonalist Chinese | government accused the Soviet Un- (Continued on Pnge Eightl ‘President Pays Imporfant Visit fo Forl Bragg (By The Associated Press) There have been lots of changes in artillery tactics since ‘Harry | Truman was an artillery captain! back in 1918. Today the President | |will pay a visit to Fort Bragg, North Carolina, to see how an air- head can be held until regular ground artillery can come to its support. The latest in airborne tactics will be unfolded kefore the President and other top officials— including Army Secretary Gordon Gray. troop maneuvers | Building where the youth had ap- veared in court to hear the murder charge read. Chebetnoy is charged with first degree murder for stabbing 28-year- {old Alice Peterson last Saturday {at Girdwood. Peterson was leaving the U. 8. Marshal’s office as Chebetnoy step- ped out, accompanied by members of the marshal's staff. Quickly Peterson moved toward the youth and threw a single punch. Chebet- noy toppled backward. He made {no effort to shield himself. Bystanders seized Peterson and took him down the hall. Mrs. Peterson’s body will be sent to her former home in Macedonia, Ill. She had leen in Alaska only la few weeks. The couple was celebrating Mrs. Peterson’s 28th birthday at Glacier Lodge on the day she was slain She was found dying in the women's rest room with deep z,aslm on both sides of her throat. STOCK QUOTATIONS NEW YORK, Oct. 4.—(P—Clos- ing quotation of Alaska Juneau mine stock today is 3%, American Can 97, Anaconda 27%, Curtiss- Wright 7%, International Harvest- er 267, Kennecott 47%, New York Central 10%, Northern Pacific 14, U. S. Steel 23%, Pound $2.80. Sales teday were 1,310,000 shares. Averages today are as follows: |industrials 184.13, rails 4837, util- ities 37.95. Highlights On Fish Trap Decision Here are the highlights of the fish trap tax law held invalid by Federal Judge George W. Folta: The tax on a hand-driven or stake trap located on tide lands | -oosted from $75 to $300 a year. ‘The tax on a pile driven or float- ing trap boosted from $300 to $1,200 per year. In addition anyone operating more than three traps shall pay in additional $600 per trap for the fourth to 10th traps, instead of the former $150; an additional $1,200 (instead of $300) for the 10th to 20th traps; an additional $1,600 instead of $400) for the 21st to 30th traps; and an additional $2,060¢ instead of $500) for all traps of a ingle operator over 50. It also provides an ax on fish caught in oile-driven’ or floating evied as follows: Y “The first 15000 fish tax free; from 15,000 to 50,000, five cents a ish; from 59,000 to 100,000, ten ents a fish; from 100,000 to 150,- 300, fifteen cents per fish, and all fish over 200,000 at 25 cents per | ish.” additional any one traps be Milifary Building In Alaska Conslrucfiofiogram Giv- en New Boost-Vin- son Takes Action WASHINGTON Oct. 4—P— A { blg military construction program llm- Alaska, U. L. outpost against aggression across the Arctic, mov- :d a step nearer today. Chairman Vinson (D-Ga) of the House Armed Services Committee innounced that he will ask the Rules Committee to approve author- ‘zation measures for $137,738,712 and bring them up in the House. Vinson told his committee the Rules group has refused to let a $600,000,000 over-all defense con- struction program go before the House, but he believed it will per- mit the Alaska section to be acted upoh. * The Alaska section contains au- thorization for construction of $25, 164,000 in Navy projects; $38,430,800 in Air Force projects, and $66,480,- 700 in Army projects. Vinson said he also will ask the called up at the same time con- tains authorization for $7,663,212 for construction of Alaska Com- munications system project. Vinson .said healso will ask the Rules Committee to approve in- clusion in the Alaska bill of au- ‘horization of $13,883,000 for con- struction on Okinawa. PASTOR FOR DOUGLAS (OMMUNITY CHURCH ARRIVES ON BARANOF Rev. J. P. Porter, accompanied | by his wife and 3%-year-old daugh- ter, arrived this morning on the steamer Baranof, to take over duties "s pastor of, Douglas Community Church. Rev. Porter came here directly | from Brevard College, a Methodist college at Brevard, North Carolina. Prior to that, he had a pastor- ate in Tennessee, following several vears at the University of Tennes- see. RIEGLE SENDS GREETINGS A brief message to Al Zenger, Sr., brought greetings and best Wishes to mutual friends in Ju- neau from Col. Roy W. Riegle. Riegle was enrcute by train to San Francisco, aboard the Vista Dome Qalifornia Zephyr, to attend the Knight templars Triennial. A steam engine was first used to operate the bellows in an Eng- lish blast furnace in 1775. A rolling mill that rolled iron in- to desired shapes was patented by Henry Cort of England in 1783. Invalid ONETAXON FISH TRAPS IS UPHELD Territorial Tr—easurer Rod- en Makes Explanation Judge Folfa’s Decision On interview with the Territorial Treasurer, relative to Judge Folta's decision on the validity of Chapter 11, enacted by the recent legislature which imposes certain taxes on traps and trap-caught fish, he stated today that the ruling an- nounced in yesterday's Empire is of far reaching effect in the economic life of the Territory. When announcement of the decis- fon was first made some doubt as to its full impact was expressed by many, including counsel who represented: fish trap operators at ‘he time the case was heard a short time ago. ‘They maintainea that the entire chapter had been held invalid. Mr. Roden stated that there Was no substantial reason for expressing doubt as to the meaning of the decision. He explained that Chap- ter 11 imposes two separate taxes —one on the trap and another on the fish caught in the trap. In his opinion, Judge Folta, us- es this significant language after calling attention to what seemed to him to be an excessive and practically confiscatory imposition, said: “Viewing the Act (Chapter 11) against its legislative background and in its llct\lll setting, I am convinced the tax on fish saught in fi‘b’ifi“‘fi 80 severe ms to result in impairing the right re- ferred to (the right granted by Congress to fish with traps) and hat therefore Capter 11 is to that extent (to the extent that it at- empts to impose a tax on flsh caught in ¢raps as distinguished from fish caught by seines) void. Chapter 11, sucstantially provid- s the following tax on traps: On traps located on tide flats, $300 per annum; on pile driven or floating traps $1200 per annum; and an additional tax of $600 per trap for the fourth to tenth trap; an additional $1200 per trap for the tenth to the twentieth; an addi- tional $1600 per trap for the twen- ty-first to the fiftieth and an addi- tional $2000 for all traps over fifty, ‘This provision remains effective under Judge Folta's decision. ‘The provision which is held in- valid imposes the following tax i trap-caught fish: The first 15,000 fish are tax free; from 15,000 to 50,000, the tax is 5c per fish; from 50,000 to 100,000, 10c per fish; from 100,000 to 150,000, 15¢ per fish; from 150,000 to 200,000, 20c per fish, and on all fish over 200,000 the tax is 25¢ per fish. As before stated this latter tax is held invalid under the decision. ® e 06 o 09 0 0 0 WEATHER REPORT (U, 8. WEATHER BUREAU) (This data is for 24-hour pe. riod ending 7:30 a.m. PST.) In Juneau—Maximum, 46; minimum, 40. At Airport—Maximum, 49; minimum, 38. FORECAST (Juneau and Vielnity) Fair tonight and Wednes- day. Lowest temperature to- night about 38 in town and near freezing in outlying ar- eas. Highest temporature Wednesday about 52. PRECIPITATION (Past 24 hqurs ending 7:30 a.m. today City of Junedu—.08 inches; since Oect. 1, 128 inches; since July 1, 2255 inches. At the Airport—.,08 inches; since Oct. 1, 46 inches; since July 1, 15.76 inches. ® 0 A 0 00 0 0 0 STEAMER MOVEMETS Baranof from Seattle in port and :cnhedulod tQ sall west at 5 pm. to- Y. Aleutian scheduled to sail from Seattle Saturday. Princess Louise scheduled to ar- rive at 6 am. Wednesday and sails south one hour later at 7 am.