The Daily Alaska empire Newspaper, June 15, 1950, Page 1

THE DAILY ALASKA EMPIRE VOL. LXXV., NO. 11,5630 Emergency Milk Line Doctors’ certificates in hand, Washington, D. C., parents and children line up at a street dairy, set up to fill emergency needs as the district area milk strike continued. A guart a day for' each child is the BANKBANDIT quota. (» Wirephoto. Truman Sees Som;Ihing New in Wartare; Combat Troops Land, Helicoplerg QUANTICO, Va., June 15—(P— Picked units of heavily-armed mar- ines went into action today in a display of fighting power for Pres- ident Truman at this Marine Corps base. interest as the “devil dogs” in mock war maneuvers seized a fortified beach with rifles flame throwers, tanks and air craft. | Then he moved on to see some- thing new in warfare—the landing of troops in combat helicopters. Mr. Truman came here last night on the Presidential yacht Williams- burg .after a cruise down the Po- tomac River. He went ashore early this morning to receive full military | “ALL THE NEWS ALL THE TIME” JUNEAU, ALASKA, THURSDAY, JUNE 15, 1950 MEMBER ASSOCIATED PRESS PRICE TEN CENTS —_— ] MAUNA LOA SUSPECTED IN MYSTERY HAZE Air Weight 33 Times Nor- mal-Experts Don't Agree on Volcanic Origin HONOLULU, June 15—(P—A vast haze still hovered over the Middie Pacific today, covering possibly two| million square miles. Scientists say it isn't an atoric mist since geiger counters showed no radioactivity. Just nature on a binge, they speculated. The finger of suspicion was pointed at massive Mauna Loa, still spouting fire and -brimstone as it enters its third eruptive week. Mauna Loa, on the island of Hawaii, southeast of here, is putting on its greatest show of modern times. One river of red-hot rock still rolls into the sea; two others have cooled. Newsmen on Pickef Line Placard-carrying editorial and business employes of the Néw York World Telegram and Sun march around newspaper’s plant as CIO American Newspaper Guild strike against the newspaper went into ‘effect. The Guild is seeking higher wages and other benefits. Publication of the big afternon daily was suspended | when AFL mechanical employees refused to cross the Guild picket lines. (M Wirephoto. "Ridiculous Sta equipment and landed them in “combat zones.” The helicopters put down their troops and were off again within 20 seconds. Other helicopters equipped wita cargo. slings under the fuselage; lowered 75 mm. tank howitzers.| within two minutes, SALES TAX DEFEATED, honors, including a 21-gun salute. The helicopters, in the second | demonstration, made simulated car- | rier takeoffs with both men and The Washington Merry - Go-Round Bv DREW PEARSON {Copyright, 1950, Dy Bell Syndicate, Inc.) WSHINGTON — The Navy is itching to rip the “Top Secret” label from the most revolutionary weapon since the atomic bomb— the guided missile, Reason for ‘the Navy’s Iitchy fingers is that it thinks guided missiles may make the big bomber as obsolete as the dodo, Here are some of the facts which can be revealed without giving aid and comfort to the enemy: 1. The guided missile is guided unerringly to the target by radar echoes. If, for instance, a missile is fired five miles to one side of the target, it will automatically change its course while in the air and hit the target. The exact distance a homing issile will change its course remains a mili- tary secret; but the effect is that of a magnet drawing a bullet to the target. It cannpot miss. 2. The Joint Chiefs of Staff, including sober, cautious Gen. Omar Bradley, were so impressed by hom- ing missiles they persuaded reluct- ant Secretary of Defense Louis Johnson to earmark millions for mass experimentation and produc- tion. Johnson has finally approved an order. 3. The Navy in its new construc- tion program now before Congress proposes two cruisers and a num- ber of small vessels and submarines be converted into guided-missile carriers. 4. The Navy has developed anti- submarine and anti-ship missiles which will dive under water and speed toward a fast-moving ship. ! This may make the transportation; of troops in wartime almost im-j possible, 5. It will also be fairly easy to shoot down invading airplanes.’' Cmdr. L. P. Ramage of the Navy's| guided-missile research reported to —— e (Continued on Page Four) | l ! 1 ! at the Baranof Hotel. SKAGWAY SKAGWAY, Alaska, June 15 — (Special to Empire)—At a special election held in the City of Skag- way on Tuesday, June 13, one hun- dred ninety seven (197) citizens voted down the proposed Sales Tax Ordinance (by a vote of 86 for the Sales Tax—I111 against). Property owners voted to bond the City of Skagway for $31,000.000 for water and sewer dmprovements (106 for, 51 against); to permit the City of Skagway to issue a 20 year tran- chise to the Home Power Company, doing business with John Pichotta (84 for, 75 against); and to permit the City of Skagway to lease the Skagway Municipal Telephone Sys- tem to private individual (89 for, 72 against). Dulm;es To Orient for "Information’ WASHINGTON, June iy — @) — John Foster Dulles saiu yesterday Gun crews put them into operanunl he is going to the Far East to get |’ “first-hand information” at the re- quest of President Truman and Secretary of State Acheson. Dulles stressed that on his trip he has “no mission to negotiate about anything.” He issued a state- ment to coincide with his take-off on a Northwest Airlines plane. His plane left Minneapolis last night and was due in Anchorage about noon today. Acheson’s Republican foreign pol- icy advisor is going first to Korea and then to Japan for conferences on the proposed -Japanese peace treaty with Gen. Douglas Mac- Arthur, William J. Sebald, his. pol- itical advisor, and Japanese lead- ers. He expects to return about June 28. CALIFORNIANS VISIT | Mildred Kershner and Margaret ' Ward of Boneta, Calif, are guesui SHOTDOWN BY FBI AGENT In a letter addressed to “Dear Alaskans,” under date of Seattle, ident and General Manager of the Alaska Steamship Company, says: “On June 9 in support of i RON CURTA SPECULATION Charge Made Against Atty. Gen. McGrgIh_ij_ _Skinner June 13, D. E. Skinner, Vice Pres-| indictment announcementy Am)r..eyi General McGrath charged that the m"? GOLD CAUSES, The mysterious cloud stretches from Wake Island, 2,000 miles west of Hawaii, to an area 1,900 miles south of Honolulu. Plane reports fixed the eastern boundary about 300 miles east of Hawaii. But offi- cers of the freighter Hawaiian Fish- erman said they ran into the haze last Friday 1,900 miles east south- east of Honolulu. Officers said the murk prevented any navigational sun or star sight- ings the last four days at sea. The ship docked Monday on a trip trom the Panama Canal Zone. Few ships and no planes travel that route. Plane reports said the haze belt is from 300 to 600 miles wide and raised as high as 16,000 feet. . In Los Angeles, Dr. C. E. Palmer Man Released from Prison|or vora's mstitute of Geophysios says the Pacific is simply suffer- YeS|eI'daY A"emp's Bold ing from the same thing plaguing H Los Angeles for years—smot caused RObbefy n POI’fland " | by temperature inversion. That's an — overlying layer of warm air v‘vhk PORTLANU, Oregon, June 15--{ Prevents ‘the ‘escape’of heavy ‘pars (#--A barnk robber was shot down | ticles into the upper atmosphere. by FBI agents as he fled a south-{ Wendell Mordy, sugar and pine- east Portland branch bank this|apple meteorologist, sald tests morning. showed a sulphate content. This One FBI agent, Leonard Frank,|points to volcanic origin, he said. was wounded in an arm in the fusi-| Tests by’ Frederick A. Schram, lade of shots that ripped up and Territorial chemist, showed: down the street near the First Na-| The air over Honolulu was 33 tional Bank’s southeast branch at 10:18 a.m. ‘The man apparently had no con- federates. He was Wayne Long, 25, released only yesterday from Oregon State Prison. ‘When the shooting ended, he lay sprawled ~on the street between parked cars with one arm shat- tered. Hospital reports said his con- dition was not critical. FBI agent in charge Robert L. Murphy said Long had been watched constantly since release from pri- son because of his friendship there with Omar August Pinson. Pinson, who killed a policeman and later escaped from prison, a year ago, is one of the FBI's “10.most wanted” men. Bank manager Lewis Wiltshire said the man entered the bank at about 10:10 a.m., went to the rear counter and asked for the presi- dent. “This is a stickup,” he said. “Get me some money.” He pointed the gun at Wiltshire and Wiltshire told an employee to get some money. Some 25 to 50 persons were in the bank, Wiltshire said, and the man forced them back against the wall. The robber fired a burst at the ceiling—there are four holes there—and left. Wiltshire ran into the street and yelled that there had been a rob- bery. “An FBI agent started tiring from a block away,” he said. “They must have been waiting for him.” The wounded agent, Leonard Frank, was hit in the arm and there were bullet creases on both sides of his abdomen. CHIANG KAI-SHEK (By Assoclated Press) i i 1 times normal weight and contained as high as 600 times the normal amount of suspended particles. SEATTLE, June 15—(»—Whether Twenty-two perceni Jf the particles | the gold behind Russia’s iron cur- were salt. tain is shaking up world markets fement” Is i Alaska SteamsHlp Company “virt- ually controls the economy of Al- aska since it is the only steamship ~ompany serving the entire Terri- i tory,” i “I'na*% is probably the most rid- icr..ous statement he could possibly huve made on the subject. We would ignore it entirely but Mc- Grath’s position tends to give vals idity to wnat.he says. In effect he charges that we are criminal because we offer essential service to ports that other car- riers refuse to go into—the minor ports. We are amazed at such an approach from a responsible in- dividual. It might be thought hu- morous but for the fact that de- fense of the indictment will prob- akly cost the company several ‘hundred thousand dollars. “Actually, we could make money by discon‘inuing service to the lesser ports and concentrating, like | HALIBUT FISHING 10 END IN THREE OPEN AREAS JULY 5 SEATTLE, June 15—(®—The In- ternational Fisheries Commissior. announced today that halibut fish- ing would end in three Pacific areas at midnight July 5. This will complete the regular halibut fishing season, since twc other areas were closed June 1. The areas to be closed July § are Area Three, Alaskan waters between Cape Spencer and Unimak Pass; Area Four, the Bering Sea; and Area 1-A, wateis south of Cape Blanco, Ore. Already shut down is fishing in Area 1-B, Cape Blanco to Willapa Harbor, Wash., and Area Two, Will- apa Harbor to Cape Spencer. Under commission regulations fishermen operate on a quota sys- tem, in three areas. This quota is 25,500,000 pounds in Area Two, 28,000,000 pounds in Area Three ‘and 5,000,000 in Area Four. In the latter, or Bering Sea Area, there was no fishing on a commercidl scale this year. In Areas 1-2 and 1-B there is no catch limit. F, H. Bell, assistant commission director, estimated the catch in the latter Schram said he was inclined to think Mauna Loa caused the haze, despite the vast area it covers. Robert H. Simpson, U.S. Weather Bureau Meteorologist, agreed in part. But he said the haze appeared at Wake Island, 2,000 miles away, be- fore it gathered over Honolulu. And that, he explained, is difficult to fit into volcanic dust dispersion theories. A warm calm accompanied the haze. . Visibility at Wake was one mile. At Honolulu it was two to three miles. W. E. Kline, Civil Aeronautics Authority Regional Administrator, said pilots have been told to follow “instrument flight rules” but are not flying blind. “Instrument flight rules mean a pilot is flying as cautiously as if he were flying blind,” Kline explained. CLEARS AT HONOLULU HONOLULU, June 15—{®—A vast and mysterious haze that has blanketed the middle Pacific all week cleared away from Honolulu and at least part of the Hawaiian Islands today. Clear blue sky was visible through small breaks in the clouds over Honolulu. A light northeast trade wind was blowing. Weather observers had predicted the haze would persist until the winds began to blow again. They stopped Sunday and the haze developed. Scientists said the haze had no- thing to do with an atomic mist. Geiger counters disclosed no radio- activity. Postmasters in Alaska Approved President Chiang Kai-Shek has| WASHINGTON, June 15 — (A — ousted his three brothers-in-law|The Senate has approved the fol- from the board of directors of th’e!lowmg nominations for postmaster- Central Bank of China. The pres- |ship in Alaska: Doris A. Wirsch- idential directive fired T. V. and|ing, Annette, James E. Evans, Met- T. L. Soong, brothers of Madame |lakatla; Chiang, and Dr. H. H. Kung, hus- band of Madame Chiang’s sister. AT GASTINEAU James McLean, Nome. FROM WASHINGTON, D.C. Donald Y. Aska of the Depart- ment of the Interior, Washington, has Western economists guessing, one of the nation’s leading gold authorities said today. Donald H. McLaughlin of San Francisco, president of the Home- stake Mining Co., told a Rotary Club meeting that: “A mysterious weakness has been affecting the ‘free’ or ‘black’ mar- ket in gold in recent months. As a result, the ‘frée’ price of gold in United States currency now is only $1 more than the $35 an ounce official price.” The “free” price has been vari- ously reported 23 upwards of $50 an ounce. “It is difficuit for me to see how it would be. to Russia’s advantage to depress the price of gold,” Mc- Laughlin continued. “Some gold ap- parently is being used by satellite countries, operating through Swit- zerland. “One suggestion has been that wealthy Chinese, fleeing from Com- munism are disposing of some of their gold. The market is so thin that it can be affected by rela- tively minor conditions.” He said the gold producers com- mittee of the American Mining Congress is advocating a step-by-| step program toward restoring the gold standard. The program seeks to permit gold to find its natural price level in terms of other curren- cies as a preliminary. A high price would encourage in- creased gold production, McLaugh- lin insisted. Although Homestake’s production is the largest in North America—a $15,000,000 annual out- { put—it is only about 75 percent of pre-war levels, he said. PIONEER BOB KEENY IS VISITING HERE Bob Keeny, pioneer of Juneau, who went south over six years ago, is back in Juneau visiting oldtimers. He attended the Rebekah meeting | last night in the Odd Fellows hall and renewed acquaintances. Since leaving Juneau the Keenys 1 have been moving up and down the coast and are now settled in Seattle, D. 8. Taifourd of Ketchikan is| D.C., is registered at the Baranof Mrs. Keeny did not come north and staying at the Gastineau Hotel. Hotel. is attending the garden at home. our chief competitors have, on the heavy-tonnage areas. But, not- withstanding the fact that service to the minor ports is often difficult and performed at a loss, the Al- aska Steamship Company has for years undertaken to provide it in conjunction with its main-line hauls. “The only alternative to this ap- vears to be government transpor- tation. Probkably that is what some people want—socialized shipping— out I do not believe this is the wish of Congress nor of the people f Alaska, “Insofar as a shipping monopoly s concerned, there are a number )f other lines acive in the Alaska rade beside the Alaska Steamship Jompany—Coastwise Line, Alaska 3hip Lines, Inc., Santa Ana Steam- ship; Company, Berger Transporta- ion Company, The Canadian Pac- fic, Union Steamship Company, he Canadian National, Standard Jil Company and Union Oil Com- »any tankers and a great many mall craf% operating under so- called “charter arrangements” in wddition to numerous air lines, “It is facetious to assume that we could possibly control the econ- )my of the Territory with suth broad and diversitied competition t'n addition to the fact that our operations, rates and practices are closely regulated by the Maritime Commission agency of the govern-|e o e o o o o o o o ment. | “In regard to the charge thNt| we are the “only company serving'e all the Territory,” we wish to sim-| e In Juneau—Maximum, 71; ply state that we are proud of the | ¢ minimum, 49. part the Alaska Steamship Com-| e « At Airport—Maximum, 71; pany is vlaying in the development( e minimum, 44. of Alaska by offering complete| e ‘ransportation service to all areas and not limiting our activities to the few major revenue-producing ports. In this way we are helping Alaska achieve full development and are not fostering the develop- ment of one section at the expense of another. “Obviously Mr. McGrath did not know what he was talking about. This is typical of those who so often make loose charges about Alaska transportation prcblems. Heretofore we have refrained from answering their attacks, but now that we must suffer the indignity of a criminal trial, we will do our utmost to expose them.” two areas would be around 450,000 pounds. As in past years a limited hali- but take will be permited after close of the regular season up to Novem- ber 15, During this time vessels fishing with hook and line gear for other species will be permittec 0 land one pound halibut fo: sach seven pounds of other fish :aught, LABOR GOV1. WINS AGAIN AFTER LONG GAS TAX SESSION (By Associated Press) Bfitain’s lawmakers staggerec home this morning after a contin- uous session of almost 16 and' one- half hours, During tlat time the labor government won nine victor- ies over the conservatives and I%- erals, who are trying to repeal gas- oline taxes. The labor government now has won 22 victories since the new Parliament met on March 6. Tt has lost one unimportant vote. Current speculation is that the |labor government now has a good chance to iast into next year. | . L4 WEATHER REPORT FORECAST (Juneau and Vicinity) Continued fair but with considerable high cloudiness tonight and Friday. Little change in temperature with lowest tonight 50 and highest Friday 68 degrees. PRECIPITATION (Past 24 hours ending 7:30 a.m. today City of Juneau — None; since’ June 1 — 0.75 inches; since July 17189 inches. At Airport — None; since June 1 — 033 inches; since July 1—46.10 inches. PO R M, = ol e L .- S eninbiboli B e e e | | | STATUS OF STATEHOOD MEASURES Taft Says Bifip fo Demo- cratic Leadership- + Lucas Has No List WASHINGTON, June 15 — # — Senator Taft of Ohio, the Republi- can policy leader, said today that whether the Senate acts on the Hawaii and Alaska statehood bills is up to the Democratic leadership. After a meeting of the GOP policy committee, which he héads, Taft told reporters there are only five or six ‘“vital” measures upon which Congress must act before final ad- journament. There are a number ot other lesser measures that could be handled, he added. Reporters asked if these included the Alaska and Hawaii statehood bills, which have been approved by the House. “I'd’ rather not comment upon them,” Taft replied. “It's up to (Senate Majority Leader) Lucas in the last analysis. We can only co- operate by keeping our boys from talking.” Lucas has not announced any complete list of bills upon which he plans to demand action before ad- journment. But he said today he is going to drive for adjournment by July 31. Any bills not acted upon die at the end of this session. SLASHING OF EXCISE TAXES IS INDICATED Ay 05 13 Draftersalmo Secret Huddle-Billion Dollar Cut Is flposed WASHINGTON, June 15 — (® — Democratic tax law drafters were reported today, after a surprise sec- ret huddle, to be in virtual agree- ment on a billion-dollar-plus excise tax cutting bill that could avoid a Presidential veto, The huddle, understood to have been attended by House Ways and Means Democrats and Speaker Ray- burn, chariged the whole outlook for tax legislation — which had been dark for this session. ‘They made no announcement, but there were indictions their minds were about made up to: , 1. Ram through a bill slashing excise taxes by $1,100,000,000 on jewelry, furs, luggage, toilet prepa- rations, movie tickets, travel tickets, baby bottle warmers and scores of other items, 2. Put into the bill a hike in the income tax rate for large corpora- tions, perhaps from the present 38 percent to 41 percent—to collect about .$500,000,000 additional from these corporations annually. 3. Meet a July 1 deadline for House passgge of the measure, so that the Senate will have time to act before the present Congress ad- journs. STEAMER MOVEMENTS Princess Kathleen from Van- couver scheduled to arrive 3 p.m. Saturday. Prince Cleorge scheduled to sail from Vancouver Friday. Aleutian scheduled to sail from * Seattle Saturday. Princess Norah scheduled to sail from Vancouver Saturday. Chilcotin scheduled to sail from Vancouver Monday. X Princess Louise scheduled to ar- rive 8 am., Friday and sails south 9 am. Alaska from west scheduled south- bound 7 p.m. Friday. Baranof from west scheduled southbound Sunday. STOCK QUOTATIONS NEW YORK, June 15 — Closing |quucation of Alaska Juneau mine lswck today is 2%, American Can 115, Anaconda 32, Curtiss-Wright 8%, International Harvester 28%, Kennecott 56%, New York Central 13%, Northern Pacific 15%, U. 8. Steel 35%, Pound $2.80%. Sales«today were 1,530,000 shares. Averages today are as follows: in- dustrials 22244, rails 56.15, utilities 43.36. e e ———e e i L e e =