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HE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” 3 VOL. LXXIV., NO. 11,396 JUNEAU, ALASKA, MONDAY. JANUARY 9, 1950 MEMBER ASSOCIATED PRESS PRICE TEN CENTS Millions A -KARLUK CASE “AGAIN BEFORE -HIGH COURT HINGTON, Jan. 9—{(P—The Supreme Court today refused to interfere with an order which bar- red the Secretary of the Interior from regulating commercial fish- ing near the Karluk Indian Reser- n on Kodiak Island, Alaska order was issued by U. S. t Judge Harry E. Pratt at ks, Alaska. It was request- ed by seven fishing concerns. The Justice Department asked the Supreme Court to strike down the order on the ground that it failed to conform to a decision an- nounced by the high tribunal on May 31, 1949, In that decision the Court upheld Supreme the Interior Secre- tary’s action of including coastal waters in the reservation. At the same time the Supreme Court de- clared invalid a regulation which sought to prohibit all fishing in reservation waters except by In- dia BULWARK ALASKA AGAINST "SNEAK ATTACK'; IAM HEAD WASHINGTUN, can. $—P—A plea for strengthening the defense of the Pacific Northwest and Alaska against a “sneak attack” was issued today by A. J. Hayes, President of the International Association of Machinists. He declared those areas are now vulnerable to a surprise attack which®“might well put us out ot business kefore we have a chance 1o get into operation.” Hayes issued this statement in his capacity as vice-chairman ot the All-America Defense Associa- tion, which he said will sponsor a public meeting here next Thurs- to focus attention on the kness of our northwest de- fenses R speakers for that meeting, hc said, will be Dr. Vannevar Bush, former head of the National Re- search and Development Board; Wallace F. Bennett, past president | of the National Association of Man- ufacturers; Gov. Ernest Gruening of Alaska, Hayes and Senator Mag- nusor (D-Wash). Magnuson said the association was formed by civilians to correlate and give aid on defense problems. Tne Washington Merry - Go- Round Bv DREW PEARSON (Copyright, 1950, by Bell Syndicate, Inc.) d e ASHINGTON — Their findings won't be published for some time, but U. S. Air experts have done some amazing research on the air- plane of the future. As a result, they are definitely of the opinion that commercial airlines someday will fly at the speed of sound. However, it will probably be too expensive to fly commercial plani faster than sound, because of the high cost of refrigeration, air-con- ditioning and structural strength that must be built into planes trav- eling at supersonic speeds. The danger of air crashes will also be reduced to a minimum, the sci-| entists say, by automatic aircraft control and radar-block traffic| control. Military planes, on the other hand, will fly at unlimited speeds. powered by turbine-type engines using atomic energy as fuel, ac- cording to the experts. The fighters and bombers of the future will be controlled from the ground, and the pilot will go along just in case/ something goes wrong. They will fly at an altitude between 80,000 and| 100,000 feet. : | And all this will happen, the sci-| entists claim, within the life-time | of many of us. Furthermore at the risk of being ridiculed, they pre-| dict that, sometime during the next | 50 years, rockets will be able to| tavel from the earth to Mars. Biggest problem in imerplnnctl rocket travel is developing a Iueli light enough to pack in a small space, yet powerful enough to| break away from the pull of the| earth’s gravity. This will take an “escape” speed of 23,000 miles | per hour. | vous exhaustion, (Continued on Page Four) Affends New Session ident Alben Barkley and his bride were in h capitol just before opening of the new session of Congress. ‘{ income office at the Mrs. Barkley took a seat in the gallery to watch the Vice-President pre- side over the Senate, They pose with the great seal of the Vice- President of the United States. ® Wirephoto. STAR WITNESS IN BRIDGES CASE [5 ADMITIED LiA SAN FRANCIECO, Jan. 9—(P— A star prosecution witness in the Harry Bridges perjury irial con- essed on the stand in Federal Court today that he had lied about his origin, his education and his aame. Lawrence Seaton Ross, editor of he Cotton Trade Journal in Mem- phis, who has testified he knew ne longshore leader-defer | a Communist, told the court: Ship Is Shelled 2 On ShanghailGENERAL Run; None Hust Chinese Nationalists Rid- 1 dle Ishrandtsen Ship with Between 30-40 Hits Wayne Richardson, Associ- His name was Rosenstem. He was; ated Press Bureau Chief in Hong in Poland. He came to this country at the age of 10; claims B ship through his fathers naturalization but has no certificate to show it. JHe never attended school in Kentucky as he had said. Instead, he attended grammar school in New York and Morris High in the Bronx, and took some courses at Columbia University. The government has sought to prove through Ross that Bridges, President of the CIO International Longshoremen’s and Warehouse- men’s Union, had attended Com- munist meetings and that he be- came a member of the Communist National Central Committee in 1936. Bridges is accused of perjury in testifying at his 1945 naturalization hearing that he was not and had not been a Communist. TEXAS WEATHER IS torn ' HARD ON RENDEER; TWOILL, ONE DEAD Ko boarded the American freighter Flying Arrow bound for Shanghai on the first leg of a homeward journey. He is the only man on btoard, His first hand account of the shelling of the freighter Chinese Na- tionalist gunkb; By WAYNE RICHARDSON APOARD THE FLYING ARROW OFF SHANGHAI, Jan. 9—(#—Chi- Nationalist gunboats shelled his American freighter mercilessly oday, rendering her unseaworthy with between 30 and 40 shell hits. There were no casualties among he crew of 43 and 12 passenge Chinese Nationalist gunboats aslockading Red-held Shanghai, stood guard over the Flying Arrow after the shelling. (From Taipei, Formosa, Chinese ationalist naval headquarters an- nounced their warships detained the American - freighter after the shelling. A naval spokesman said the Chinese opened fire when the Flying Arrow ignored warnings to halt.) Numerous fires were startec aroard. Sailors from the British sloop Black Swan boarded the Flying Arrow and helped the crew FORT WORTH, Texas, Jan. 9—{but out the fires. (M—Texas weather has proved toc much for a third Alaskan reindee CARGO JETTISONED Part of the ship's $10,000,000 from the small herd kept by Grady | cargo loaded in Hong Kong was Carrothers on his ranch near Gola- thwaite. The animal was brought to an animal hospital here Saturday suf- fering from pneumonia. It was re- ported in serious 'condition today Two maters, Donder and Blitzen were reported improving from ner- Attendants said they were eating once again. Carrothers flew the herd to Texas from Alaska last year. STEAMER MOVEMENTS dumped overboard when it caught tire, Capt. David Jones of Chicago pronounced the ship no longer sea- worthy after inspecting the nu- merous shell holes. Some large ones were just above the waterline. Captain Jones requested the ship’s owners, the Isbrandtsen line of New York, to ask the U.S. State Department to intercede for safe passage to the nearest port for re- pairs. Shanghai is the nearest port (In New York, H. J. Isbrandtsen,’ president of the line, called for protection of the Flying Arrow by U. S. naval units. He said the Baranof from Seattle due to-j<helling of the ship was “entirely morrow afternoon. Princess Norah scheduled to sail from Vancouver January 14. Denali scheduled to sail Seattle January 14. from | regulations unlawful according to international law.” (“According to standing naval ' Isbrandtsen said, “the (Continued on Page Two) | | | THE BUDGET ~INBRIEF ASHINGTON, Jan. 9—@d— President Truman proposes that in the 12-months beginning July 1, 11950, the government: Spend $42,439,000,000, against $43,~ 297,000000 in the current fiscal year which ends next June 30. Increase taxes by an amount and method he will specify later. Under present tax laws, the government's would be $37,306,000,000 in | Ih 1951, compared with $37,- 1 763,000,000 this year. The prospective deficit—meaning the of spending over in- come—would amount to $5133,- 006,000 in fiscal 1951, with no tax| increase, compared with $5,534,- | 000,000 this year. i The President asks Congress to| approve expenditures of the $42,- 439,000,000 budget total for 1951 on this basis: 4 National defense $13,545,000,000 international affairs and aid (in-" tading Marshall Plan) $4,711,000,- G00; veterans benefits $6,080,000,000; social welfare-health-security $2,- 714,000,000; housing and community development $1,329,000,000. Education and research $434,- 000,000; agriculture $2,206,000,000; natural resources $2.218,000,000; | transportation-communication $1,- | 682,000,000; finance, commerce, in- | dustry $212,000,000; labor $243,000,- 000; general government $1267,- 000,000; interest on public debt $5,- 625,000,000; reserve for contingencies ! $175,000,000. Of the $37,306,000,000 prospective | income at [present taxes, there would come from individual income | taxes, $10,518,000,000, from corpora- tion income and excess profits, and $7,642,000,000 from excise taxes. H cess . BUDGET | DETAILS WATERWAY FUNDS ARE REQUESTED WASHINGTON, Jan. 89— P —i Numerous rivers and harbors pro- Jects were included for construc- tion funds in the national budget submitted to Congress today. The total of budget, itself, contains only amounts for civil functions the Army Engineers. | list of projects making up! was made public by Cannon (D-Mo) of thej Appropriations Committize. | The projects and amounts recom- mended for work during the wl months beginning next July 1 in-| clude Rivers and Harbors: Alaska—Nome harbor, $1,156,000; Wrangell Narrows, $750,000. ALASKA STEAM " AGENTS NOW AT SEATTLE MEETING SEATTLE, Jan 9—(P—Agents ful‘% the Alaska Steamship Company | from 15 Alaskan cities opened the annual agents’ meeting in com-} pany offices here today. Conferences on general and spec- ific problems of the Alaska Freight and passenger service will contin- ue four days. Representing the home office are G. W. Skinncr.‘ The House { company President; D. E. Skinner,{ Vice President and General Man- ager; F. A. Zeusler, Exeeutive As-! sistant to the President; R. C. An- | derson, Executive Vice President, and heads of various departments. The agents and company execu-] tives will discuss problems of oper- /| ations, traffic and public relations as they effect the Territory in general and specific ports. 1 Heading the visiting delegation ( Tweny-five Thousand, Words in Message - Law-| makers Already Set Up Cry! By CHARLES MOLONY | WASHINGTON, Jan. 9-—P—/ President Truman asked an eco- nomy-talking Congress today to okay a $42,439,000,000 spending pro- gram for the government’s ne year, | The amount is $858,000,000 under | the current rate of spending but still would run far ahead of the zovernment’s prospective income. Mr. Truman figured the treasury would have to borrow $5,133,000,000 of the money—unless taxes are raised. But he called it “an honest >udget which meets the realities facing us.” The proposed program is for the 12 months beginning next July 1, inown as the 1951 fiscal year Spending for the current year is estimated at $43,297,000,000. 25,000 WORD MESSAGE The document outlining it was sent to the Capitol by messenger. It embraced a 27,000-wor@ message and a series of tables and charts— in tulk about the size of a metro- politan telephone directory. But many of the lawmakers needed only a look at the totals to (Continued on Page Six) ® & o T o @ e > WEATHER REPORT (This data 1s for 24-hour pe- riod ending 7:30 am. PST.) In Juneau—Maximum 21; minimum 11. At Airport—Maximum 14; minimum -11. FORECAST (Junesu and Vietnity) Mostly clear with occasio- nal gusty northeasterly winds tonight and Tuesday. Low- est temperature tonight near 12 in Juneau and -5 in out- lying districts. Highest Tues- day near 15 degrees. PRECIPITATION (Past 24 nours ending 7:30 a m. toduy City of Juneau—None. since Jan. 1—99 inches; since July 1—54.93 inches, At Airport—None; since Jan. 1—82 inches; since July 1—36.31 inches. e o 00 0 0 0 0 0 o ° . . . . . . . . . . . . . . . . . was G. 8. Duryea, General Freight' and Passenger Agent, with offices! in Ketchikan. Port agents include W. P. Lock- i wood, Ketchikan; Leo McCormack, Wrangell; R. Miller, Petersbur D. M. Ramsay, Sitka; Frank Burns,{ Cordova; E. A. Marler, Kodiak; R. D. Kelsay, Valdez; W. W. Sip- prell, Seward; Henry Green, Ju- neau; T. J. Maloney, Anchorage; G. Gardiner, Fairbanks; W. R.;| Wood, Nome; George W. Hooker, cagway; E. F. Heir, Seldovia, and Leroy C. Wythe, Homer. Skagway, Alaska, will have to postpone all funerals and City Council meetings until George Wil- liam Hooker returns. Hooker is Alaska Steamship Company Agent there and right| new is attending an agent's meet-, ing here. He's Mayor of Skagway and the town’s only undertaker. in his spare ume he sells wsurance | and automobiles, runs a Railway Express agency, a Customs House| brokerage office and is managing 4 pair of general merchandise stores ' while the owner is outside for a lew months. Mayor Hooker said he'd only be sone from Skagway about 10 days. WEEKEND TRAVELERS 10, FROM ANCHORAGE . Pacific Northern Airlines car- ried seven persons to Anchorage on Flight No. 1 yesterday: John Argetsinger, Mrs. G. E. Krause,| Lt. Col. J.' D. Alexander, Edwin Heisel, Everett Nowell, Bertram Young and Anna M. Echave. MacKay Malcolmn, Pfc. Willard and L. Hatfield disembarked here Saturday from the westward. STOCK QUOTATIONS NEW YORK,, Jan. 9 — Closing quotation of Alaska Juneau mine stock today is 3%, American Can| 106%, Anaconda 30%, Curtiss-| Wright 8%, International Harvester | 28%, Kennecott 52%, New York Central 13', Northern Pacific 15%, U. S. Steel 27%, Pound $2.80. Sales today were 2,530,000 shares. Averages today are as follows: industrials 201.98, rails 55, util- ities 41.64. Liines. Battle of Alcan Highway Will Combat Mercury and "Enemy’ in CHICAGO, Jan. 9—(M—American troops pounded northward today to join Canadians in repelling a theoretical airborne invasion of Alaska. They are taking part in "Exmw'wcl Sweetbriar,” the greatest of a ser- es of cold weather maneuvers held since the end of World War II. Nearly 4,000 Canadians and Yank will buck the thrust of icy g and possible snow blindness. 'l‘lmy'lll INON-SKED AR HEAD BRINGS CAB BATILE 10 OFFICIAL CIRCLE Amos Heacock, embattled Presi- dent of Air Transport Associates, Inc., a non-scheduled Alaska air carrier now fighting for its con- tinued existence, since the Civil Aeronautics Board moved recently to revoke its letter “of registration, has Lrought his fight north and in- to Gov. Ernest Gruening’s office. Heacock, also president of the| Independent Air Carriers Confer-| ence of America, plans to appear before the Ketchikan meeting of the Interior Department's field committee this week. Armed with a briefcase full of carefully annotated facts and fig- ures, Heacock brought out ammu- nition to prove his point that the many non-scheduled airlines now under fire fn Alaska have “brought freight costs to the reach of ev= eryone,” and showed that they could do even better, “In fact,” he said, “on the basis of mail subsidies given regular air carriers, we offer to carry passen- gers and freight for abgolutely nothing!” His figures showed that if his line were given mail monies in the same amounts granted certi- fied lines, he could make a pro- fit by charging nothing for freight or passengers. “Or, to put it the other way,” he said, “we’ll carry the mail for $1 a year.” The CAB order which his com- pany must show cause why its letter of registration should not be cancelled is an outgrowth of that agency’s charge the company had bkeen making regular flightsj between Seattle and Anchorage, ing violation of its registration as a non-scheduled carrier. Heacock denied the violation, and denounced the CAB as a “kangaroo court.” Opened Fields “The non-scheduled @pmpanies have opened a large field of trans- portation unthought of before,” he id, “and are critisized for being ‘unbearable competition’ to regular There are still numerous other fields even we haven’t touch- -for example, we could carry freight from Kodiak Island to An- chorage market for 2 cents a pound —which would open up Kodiak as an excellent dairy and beef raising pot.” | The young executive was persc pilot for Air General Carl Spaatz, chief of the army air forces during the war, and began his airline in 1946. He said, as he came from the Governor's office, that he felt much encouraged. Governor Gruening said that neither the scheduled or non-sched- uled airlines in Alaska are getting the understanding required, and that “both need help.” Standards Applied “The board,” he said, “under the aeronautics act designed for the states, is applying the same stan- dards to Alaska as it does in the states. But conditions are differ- ent here. “Down below, when one wishes to travel or ship between two points,” he continued, “there are three well recognized modes of doing so—the trains, the highways, and the air.| “But there are vast sections here where there are no trains or high- ways. Therefore air transportation carries an importance here it does not in the states. The CAB appar- ently hasn't grasped the basic dif ference.” He declared Alaska needs more air service tham it now has, and that occasional interruptions in| shipping in the past “have demon- strated the great importance of air transport here.” }of Edmonton, | Juneauite, Joinl Operin drive their trucks and guns over frozen ground in the frigid land of gold—the Yukon Territory— where the average January tem- perature is twenty degrees below zero, and it is sometimes 70 below The ‘“aggressors” in possession of Northway, Alaska, are especially trained GI's from the Alaska com- mand. They will try to push down the Alcan Highway in an “attack” on Canada. The road is a vital surface life line to Alaska. The mission of the combined Canadian-America” command will be to smash the “enemy” striking force wefore it consolidates near tiny Burwash Landing. Longest Airlift The U. 8. Air Force and the Royal Canadian Air Force will be cambined for the operation. Before the exercise ends—in late Feb- ruary—a 3,000 mile air lift will have been carried out. It will be the longest mass airlift of the U. S forces ready to fight in histor; The “Aggressor”-Allied ‘“battle” will lock 3,700 Americans and Can- adians in marrow chilling “combat.” Today, while Canadians are de- ployed in a holding operation, Fifth Army airborne troops are stowing winter combat gear aboard Air Force planes. They are to take off tomorrow from Peterosn Air Force Base near Camp Carson, Colo. While these troops ready them- selves for the air push into the sif- Arctic maneuver area, four U. B. columns of winterized vehicles ground northwest to cut down the “enemy.” Positions Laid The logistics plan for today call- ed for these positions: No. 11,800 miles north of Camp Carson on the Alcan Highway, 400 miles north Alta. No. 2—Along the approaches to Great Falls, Mont. No. 3—Allied force head-| quarters troops in the vicinity of | Billings, Mont. No. 4—A battalion combat team in 41 vehicles near Casper, Wyo. The combined force is under Lt. Gen. Stephen J. Chamberlain, com- manding general. Fifth Army. The field commander is another Am- erican, Brig. Gen. George C. Stew- art. Stewart’s allled GHQ, is set up at | Whitehorse, Yukon Terr., a town of 754 persons. Canadian planning for the com- plicated exercise has been done by Western Army Command under Maj. Gen. M. H. S. Penhale and Air Vice Marshal C. R. Dunlap, RCAF, of the Northwest Air Com- mand. Reasons for the exercise are threefold, Fifth Army headquarters said: 1—To gain administrative and tactical coordination under U. S. and Canadian unified command. 2—To gain simulated combat ex- perience under unified command. 3—To test equipment and condi- tion men under rigorous cold weather. “Neither the scheduled or non- scheduled lines have received the support they both need. In my judgement, they are, not—except in a limited way—in destructive competition with each other. Both fulfill an essential function in Alaska.” The scheduled lines, the governor ! said, need increased subsidies and non-scheduled companies need the opportunity to serve the public,; [“which they have served so well| reecntly before the CAB began its| crackdown.” | acecu u ne plans to bring up the | subject of aviation when in Wash-| ington, for which he leaves Wed- nesday, he said he could not say. While in the capital, he will testify in confirmation proceedings of Os-‘ car Chapman's appointment as In-| terior Secretary, and discuss de-! fense problems in the north. | — e | MRS. LUCAS VISITING FORMER JUNEAUITE Mrs, Harry 1. Lucas went outside | yesterday via PAA, and will be the guest in Portland, Ore., of a former Mrs. George F. Free- burger. Her later plans are in- definite, but she expects to return here in late spring. Meantime, her son, Harry I Lucas, and his family have moved into her apartment in The Assem- bly. re Asked by President for Alaska BUDGET IS GIVEN T0 CONGRESS Truman MaERequesl for Funds, Outlining Plans Proposed, Northland By CHARLES D. WATKINE AP Special Washington Service WASHINGTON, Jan. 9—(®— President Truman asked Congress today for approximately $185,000,000 ‘o spend in Alaska during the 12 months starting next July 1. The President said in his budget message to Congress that “the 1951 programs ... . include 23 mil- lion dollars for development of natural resources in Alaska. De- velopment expenditures in Alaska under other functions—in particular national defense, transportation, ind social welfare—will amount to epproximately 162 million dollars.” The defense appropriations were not itemized nor the exact amount of them to te used in Alaska indi- cated. PUBLIC WORKS — ROADS The President asked $21,000,000 to carry forward the Alaska Public Works program for which $1,000,000 was appropriated last year. He asked for $20,400,000 for con- struction of Alaska roads and $2,- 800,000 for maintenance and opera- tion for roads already constructed. In addition he asked for $8,700,000 contract authority for Alaska road construction. “Work is continuing on the hard surfacing -program for the major roads and by the end of the fiscal year it is estimated that approxi- mately 570 milés of the Richardson, Glenn and Alaska Highways can be completed or contracted for,” the President said. NEW ROADS “Funds estimated for 1951 will also permit the completion of a new road between Kenai Lake and Homer; the road from the Alaska Highway to Eagle will be advanced 30 miles; 30 miles of local farm and industrial roads will be built; the Turnagain Arm road will be completed and about 40 miles of the Richardson Highway-Mount McKinley Park road will be con- structed.” The President said the Tok Cut- off road will be extended 65 miles during the year. He asked $31,000,000 for the Alaska Railroad together with con- tract authority of $14,000,000. ADDITIONAL FUNDS Among other appropriations re- quested for the year were: $6,- 515,104 for the Alaska Native Serv- ice; $525,000 to pay overtime on the Alaska Railroad; $643,541 for care and custody of the insane; improving road, tridges and trails $210,000; agriculture extension serv— ice $42,500; for the Naval Oil Re- serve investigations in Naval Re- serve No. 4, $3,000,000; research in agricultural problems $316,000; Alaska fisheries and game, $1,281,~ 500; investigation of mineral re- sources $515,000; fish and wildlife investigation $246,000; Alaska Com- munications System $6,100,000; re- | lief to the indigent $4,000; construc- tion of airports—at Fairbanks and | Anchorage $3,200,000; operation of two ships by the Alaska Native Service $360,000; protection oi Alaska fur seals $583,789; health, education and welfare of Alaska natives $460,764. PUBLIC WORKS PLANNED The Alaska public works program for 1951 “contemplates the letting of construction contracts ‘amount- ing to $19,500,000; under the spe- cific projects developed by the 1950 survey,” the President said. “It includes construction of a variety of facilities such as hos- pitals, schools, electric and tele- phone systems, water and sewage stems, ete.” The $21,000,00v asked for the pro- gram would include $12,000,000 cash, but $4,000,000 would have to be used to pay contracts entered into this year. The remainder would be authority to contract for $13,- 000,000 in additional work. ® ® @ 8 w o e 0o TIDE TABLE JANUARY 10 0 am., 162 ft pm, 27 ft. e High tide 6:22 p.m., 14.0 ft. ® & & & & 0 0 0 0 0