The Daily Alaska empire Newspaper, July 17, 1950, Page 1

THE DAILY ALAS VOL. LXXV,, NO. 11,556 “ALL THE NEWS ALL THE TIME” KA JUNEAU, ALASKA, MONDAY, JULY 17, 1950 Americans Are Forced From Ta "NO TAXES WITHOUT REPRESENTATION” IS OUTMODED MAXIM Query Into Alaska Income Tax Choked by Legel Precedents | The challenge put forth last‘ month by Deputy Auditor Neil Moore that Alaskans shouldn’t be | required to pay income taxes to the | federal government because they've no voice in that governmnent, has been partially choked by a deluge of excerpts from law cases quoted' by the legislative reference service from the American Law Section in| ‘Washington, D.C. ‘The bulk of this mass of evidence, dug up at instance of Delegate E. L. Bartlett, with whom Moore cor- ! responded on the subject, flies in the face of the old maxim “no tax- ation without repressentation.” In fact, the Supreme Court i‘self declared, in 1922, when the District of Columbia was challenged on the requirement that its residents pay taxes when they had no voice about where the money was going: “There is no constitutional pro-| vision which so limits the power of Congress that taxes can be imposed | only upon those who have political | representation.” Moore based his contention that income taxes should be declared void in the Territory because of no vote in Congress and brought up the case of Pucrio Rico, an urorganized territory, whose residents pay no taxes. Only solution to this, declared Bartlett, is to “disorganize” or “un- incorporate” Alaska—but he said flatly that before any efforts of that nature came up, the people | here better look for another dele- gate. y Incorporation of a Territory makes it an integral part of the United States, according to what the lawmakers figure, whereas Puerto Rico and the Virgin Islands simply “belong” to the nation. But then again, there’s the case of Alaska vs Troy, heard in the early 20’s, in which the Supreme Court held that Alaska was ex- cluded from the “states” as such But here they weren't referring to taxation, but to foreign shipping en- tering northern ports. Maxim Only Slogan Now, with the weight of evidence against him from other cases, Moore bases his contention on this case that income taxes are an outlaw statute here. Moore found that the so-called “tried and true” maxim over whic® | our forefathers fought a revolution —no taxation without representa- tion—has been kicked around by( the courts more than somewhat. | Actually, this maxim is merely a (Convinued on Page Six) The Washington Merry - Go- Round Bv DREW PEARSON ICopyright, 19%. oy Bell Syndicate, Ine.) ‘ASHINGTON—Food Bins Full— The present emergency finds Am- erica’s food bins brimming fuii- though food would probably have to be rationed again in case of total war. Fats and oils would be | first on the ration list. because they are needed for manufacturing munitions. However, the Agriculture Depart- ment has one pound of butter in cold storage for every person in the United States. Sugar would also be rationed, though the ship- ping lanes to Cuba and Hawaii would be easier to keep open than in World War IIL. Meat would gradually come under rationing, though live-stock production is now at an all-time high. The corn and wheat bins are also full. $$ For Airlines With the exception of one man, the entire Civil Aeronautics Board is really burnt up at the way Pres- ident Truman handed new air routes to Pan American Airways in reversing the CAB and merging Pan American with American Over- seas Airlines. Chairman Joe O'Connell was so sore that he resigned. The othcrs are sore because Truman’s reveisai makes a political football of one of the most important agencies in government. The latest favoritism to Pan Am, |its financial aid to this campaign. (Continued on Page Four) Units of Fame Division Now On Wafi Korea S | Buses Speed Through Ta- coma Streets o Docks— No saying-Goodbyes TACOMA, Wash,, July 17—P—| Units of the famed Second Infaniry | Divison are on their way. Laden with full combat equip- ment, troops have boarded trans- ports for the Far Eastern Theater. The soldiers—some veterans of World War II and some beardless | teenagers—were stripped cf all identifying marks and Indian head patches, the trade mark of the divi- sion. | Buses were pressed into service to transport troops to the docks. The busses sped through the street while civilians stopped and stared. There were no wives or sweet- hearts around to say goodbye—war- | time security was back. WARTIE’ORTS TELL GALLANTRY OF U.S. FIGHTING (By Associated Press) Here’s how one American officer says his men behaved under enemy Tiwe <. § His outfit was helping slow the Red advarnce on the Kum river de- fense line. ’I'hex fought gailantly In an effort to stem overwhelming Red artillery and ground attacks. Said the Colonel: “I saw them hold tignt and keep on shooting when she Red artillery was coming at them. Let me tell you they put up a good fight. I'll bet they are up there now still fighting.” The Colonel put up a good fight, too. They didn't take him out until he stopped an enemy bullet. A late dispatch from AP. Cor- | respondent Tom Lambert gives a vivid description of the air war being fought in Korea. It tells how American pilots blasted North Koreans transport today from Seoul to the break- through area south of the Kum river. Our pilots flew round-the-clock missions, attacking with rockets and machinegun fire. Some roared in so low they al- most scraped trees and hillsides. | ‘They ripped trucks crawling south- ward along highways. They opened fire on big Red tanks, hiding along dirt banks. ‘The U.S. jet pilots had one com- plaint: they couldn’t find enough targets. GENERAL BOOTH OF SALVATON ARMY 'S DEAD IN NEW YORK HARSDALE, N.Y. July 12—®— General Evangeline Booth, 84- rear-old retired head of the world- wide Salvation Army and daughter of the organization’s founder, died today. | JUREAU LUMBER (0. ELECTS NEW OFFICERS At a meeting of the board of directors of the Juneau Lumber Co. Inc, held in the offices of Faulkner, Banfield and Boochever. | New officers elected were Allen Shattuck, President; R. J. Som- mers, Vice President; Sim J. Mac- Kinnon, Secreary-Treasurer, Min- ard Mill and Keith Wildes, Direc- tors. The Board decided to raise $75,- 000 additional capital and is lend- B. C. Canoles was appointed Gen- eral Manager, J. R. Murphy As- sistant Manager and Robert Booch- ever Assistant Secretary. President William Green of the American Federation of Labor says U. S. unions are ready to accept mobilization of labor. Greeh calls for “all-out preparedness” in' light of the Korean war, { KILLBILLTO REVAMP PRES. ELECTIONS House leatFrSays Meas- ure Could Lead fo Loss of 2-Party System WASHINGTON, July 17 — ® — The House today killed a proposal to abolish the electoral college and to revamp the machinery by which the nation has named its Presidents for 150 years. The resolution got only 134 favor- able votes on a roll call to 210 against—not even a majority. It would have needed a two-thirds vote for adoption. The House gave it 96 votes less | than that. It turned down a Senate-passed resolution that would have sub- mitted to the states a constitutioral amendment doing away with the electoral college system and substi- tuting one based on proportionate iivision of the popular vote. House Republican Leader Martin of Massachusetts assailed the pro- posal as “a political Pandora’s boy.” Instead of simplifying the olection system, Martin contended the change would encourage splinter Jarties, give the Deep South the bal- ance of power in Presidential el tions, and “could lead to the loss ¢ our two-party system of govern- ment.” ANOTHER REPORTER BANNED FROM WAR FRONT; TWO RETURN TOKYO, July 17—(®—Marguerite Higgins, foreign correspondent for | he New York Herald Trib®*ue, said tonight she had been ordered out of Korea and told to return te Tckyo “under escort.” Miss Higgins said in a telephone interview from an advanced Amer- ican base that she had been given 10 reason for her expulsion. Two other correspondents barrec from Korea Saturday were given General MacArthur's personal per- mission to return. They are Tom Lambert of Associated Press and Peter Kalischer of United Press. Lambert flew in a jet plane over the Korean battlefront today. Miss Higgins only woman cor- respondent on the Korean wal iront, was among the first report- rs to go there when the fighting started. She made several trips to forward positions. €he said the message to leave Korea came from headquarters ot Lt. Gen. Walton H. Walker, com- mander of ground forces in Korea. It told her to proceed to Taétu and then to Tokyo “under escort.” U. 5. GOVERNMENT PAYS $1 FOR $5.28 FROM TERRITORY CHICAGO, July 17—®»—A report issued by the Western Tax Council, Inc., today said the Federal govern- ment collects on the average of $746 in taxes from taxpayers in each state for every dollar returned by the government to that state. The report said Washington and Alaska each paid $5.28 in taxes for every dollar returned by the gov- ernment, Russia has told the United States that the Soviets will have no more to say on the subject of Japanese prisoners of war. The United States and Britan have said that there are more than 300,- 000 Japanese prisoners still un- accounted for by Russia—five years after the end of the second world war, The Japanese attorney general's office has suspended publication for 180 mare Communist periodicals. The suspensions followed early morning raids on Red party centers in many parts of Japan, Federal workers who are drafted into the armed services or who volunteer will get their jobs back when they get out. This is pro- vided they serve no longer than they have to, 'PRICE OF WORSTED | MEMBER ASSOCIATED PRESS PRICE TEN CENTS HISTORIAN SEES KOREA AS FEINT IN RUSS EXPANSION Is the Korean “incident” omly that, or is it like a boil on the body that is a symptom of a greatér disease? The simile was put by Dr. Ken- neth O. Bjork, professor of history and chairman of the social sciences at St. Olaf College, Northfield, Minn,, in his talk this noon to the Lions Club, in the Baranof Gold Room. Dr. Bjork believes that military uncertainty as to the extent of com- mitments for Korea is based on a very real understanding of the en- tire situation. “Military leaders,” he said, “are not sure that the Korean ‘incident’ is more than a feint, with Russia ready to throw her weight around in other places such as Germany, Turkey, the Balkans, India and the Straits. The Russians obviously hope to expand in other places. “Russia,” he went on, “has never stopped the consistent process of expansion that began in the 17th Century. It was very important in European diplomacy in” the 19th Century. It was interrupted by the 1917 revolution and we were lulled to sleep thinking Stalin was trying to make socialism work in Russia alone. “Now it is very serious—the old, old thing in a different form. The places are the same. Persia may be called Iran, but the oil there is just as desirable. “To a large extent,” he said, “the United States and the United Na- tions have inherited the British pol- icy of containment. We hope to contain the Russians, to block them from moving in on that rich oil.” Dr. Bjork pointed out that, now, Russian expansionism is backed up by the ideology of Lenin and Stalin, to fit the tradition. “Behind the loglc, or lack of it, of Marx is expansionism,” he said. “All of Stalin’s speeches for the last 20 years show that a showdown between Russia ‘and the United States—the last bulwark of capis talism—is implied, suggested or even taken for granted. “On the brighter side is the fact that, with all their talk, the Rus- sians are quick to stop when they are met by stronger force and greater technology.” The speaker urged the need for a mature approach to the serious sit- uation, “and the united spirit shown in other crisis” especially as the United States is not prepared by centuries of experience as was Great Britain. He mentioned having given a comparable summary. of conditions in 1934 to another Lions Club, and pointed out that, 16 years ago, the world was generally indifferent tc the dangers of Hitlarism. However today there is great interest and awareness of conditions throughout the world. Dr. Bjork was introduced by Dr. Joseph O. Rude, who had invited him to speak today. Al Ransome, program chairman, was in charge of the club’s presen- tation of a handsome red leather suitcase to Salvation Army Capt.| Henry Lorenzen in appreciation of | his services to the club and the community. Lorenzen’s luncheon | guests were his wife and their three | daughters—Julia, Martha and Ma- rie. The two boys have preceded the | rest of the family, to attend a music camp outside. Other guests were Tom Howell, assistant postmaster of Seward and president of the Seward Lions Club, and Paul Irwin, a member of the same club. 1 Reports were given by Bob Faulk- ner for the Fourth of July float| committee, and Bob Scott on the| Mitchell Cain shows last week. 60ODS INCREASED NEW YORK, July 17—®»—Ameri- | can Woolen Co., today announced a price increase ranging from 12’ to 17% cents a yard on all its wor sted goods for men and women’s| clothing. The increase is on goods ordered for delivery in November and later. It was the second advance posted by American in the past two months. The last boost on worsteds also was from 12% to 17% cenml a yard. | The company is the world’s larg- | est manufacturer of woolen worsted fabrics, and | TRUMANTO GIVEMESSAGE, KOREAN WAR Congress GE Report on Wednesday-Radio Talk Made Last Night WASHINGTON, July 17 — (P —| President Truman will send a mes- sage on the Korean war to Con- ress Wednesday and report to the nation on it that night by radio. The White House said neither the message nor the report to the secple has been completed yet. . But the message to the law- makers will carry recommendations or legislative action to back up our efforts to throw the Red in- vaders out of Korea. The message will be sent to the | awmakers at 11 am. (EST) Wed- | nesday. The radio report over four major networks and television, will be at 9:30 pm. (EST) As for the message to Congress, | Presidential Secretary Charles G.| Ross told reporters: “It will be quite a comprehen- sive one, giving background of the situation, explaining all steps that| have been taken by this goveil- | | ment and containing legislative recommendations.” i Earlier Democratic leaders had | met with Mr. Truman and discus- | sed the message. None would say what Mr. Tru- man planned to say. But House speaker Rayburn later today re- ported that “in my best judgment” food rationing would not be made a part of contemplated government controls. Government officials have pre- dicted that the message will call| for controls over steel, curbs on sonsumer credit, and possibly a tax increase. NOW IT'S COFFEE PRICE THAT'S UP NEW YORK, July 17—(M—C0ffee‘ prices were increased four to five | cents a pound today by the Great Atlantic and Pacific Tea Co. on its bag-packed brands. 1 The new prices are 74 cents a pound for Eight O'Clock brand, 75‘ for Red Circle and 77 for Bokar. | Trade circles expected other chai stores to announce similar ad-| vances. VISITORS STAY OVER FOR BIRTHDAY PARTY | i FOR JUDGE HELLENTHAL | After Judge and Mrs. Simon Hel-| lenthal have a family dinner at| home this evening with their| houseguests, a group of close friends | will join them for a dessert party, the dessert featuring a bm.hday‘i cake. | Mrs. Jack Hellenthal, the Judge's | sister-in-law, and Miss Gertrude Hellenthal delayed their departure in order to be here for the celebra- | tion on the eve of Judge Hellen- | thal’s birthday. | They will board the Princess | Louise tomorrow morning after a month’s stay in the Territory, part | of that time spent in the north.| Their home is in Kelseyville, Calif. | The former Alaskans, members/ of a prominent family, have been | | honored at numerous parties dur- ing their stay. Among the recemi | ones were the dinner Saturday ror‘i which Mr. and Mrs. J. F. Mullen en- tertained and the cocktail party Fri- day given by Mr. and Mrs. G. E.| & Cleveland, which also honored Mr.| Cleveland’s ‘mother, Mrs. Ardelle, Cleveland. | Other large parties were given by Mrs. Robert Simpson, Mr. and Mrs. | Charles G. Burdick. Mrs. H. L. Faulkner and Mrs. R. J. Sommers entertained toBether; with a luncheon honoring the vis- | iting Hellenthals, and the Vander- Leests were among their other“ hosts. Another guest will arrive this‘f week—Mrs. Simon Hellenthal's sis- | ter, Mrs. L. A. Moore, whose home | is in Minneapolis. She is comlng; from Phoenix, Ariz, where she| spent the winter. Her son, Dinty| Moore, just 17 years old, has been | here for a week, staying with the| Hellenthals in their home on Cal-| houn Avenue, | SECOND DRAFT CALL FOR VETS, FAMILY MEN, NOW COOKING WASHINGTON, July 17 — (® — Maj. Gen. Lewis B. Hershey, ective Service chief, is reported to | be looking for a second draft call| | next month. He also was quoted today as anticipating a need for more swec: ing draft regulations affecting vel- erans, husbands and fathers. Most veterans and men with de- pendents were exempt from the first ‘draft call for 20,000 men to build up the Army in the Korean crisis. Hershey's views on possible fu- ture, draft moves were given to a reporter by Lt. Col. Irving W. Hart, Selective Service information chief, in response to queries. Hershey himself was reported unavailable. Hart said Hershey has told aiMs | several times that he sees no réa- son to believe that there will not be a second draft call next month. “The general also has said sev- eral times that a more sweeping draft law may be needed,” Hart said. 3 The Army has said that it has “no present plan” for another draft call, but has emphasized that con- ditions are subject to quick change. BPW VISITORS MAKE SURVEY OF TONGASS FOREST Two members of the Business and Professional Women’s Club who have been attending the National Federation’s biennial convention in San Francisco will arrive in Juneau tonight, it was announced at the BPW noon meeting today by Presi- dent Kate Smith. The visitors will be Mrs. Julia Cole Fauber, National Program Co- ordination = chairman, BPW, and Jessie Arndt,' who writes for the | Christian Science Monitor. Their special interest on thejr present trip is the use and con- servation of the natural resources of the Tongass National Forest, with timber their chief concern in the survey they are making. Plans include a trip through the territory. They will arrive here aboard the Forester and with them on the trip from Ketchikan, where they boarded the motorship, will be C. M. Archbold, division supervisor of the Forest Service. ‘They will leave for Anchorage on Pacific Northern Wednesday. STEAMER MOVEMENTS Aleutian from Seattle scheduled to arrive at 8:30 tomorrow morning and sails westward at 2 pm. Princess Kathleen from Van- couver scheduled to arrive tomor- row afternoon. Prince George scheduled to sail from Vancouver Tuesday, July 18. Princess Norah scheduled to sail from Vancouver Wednesday, July 19. Alaska scheduled to sail from Seattle, Thursday, July 20. Chilcotin scheduled to sail from Vancouver Thursday. Baranof scheduled to sail from Seattle Saturday. Princess Louise scheduled to ar- rive at 8 a.m. tomorrow, sailing south one hour later at 9 a.m. e o o 0 & 0 0 o 0 o . ° WEATHER REPORT . . In Juneau—Maximum, 56; minimum, 51. L At Airport—Maximum, 56; minimum, 52. . . FORECAST (Junesu and Vieinity) Cloudy with rain showers and little temperature change tonight and Tuesday. Lowest temperature tonight about 52. Highest Tuesday near 60. PRECIPITATION (Past 24 hours ending 7:30 a.m. today ® City of Juneau—1.62 inches; e since July 1—2.90 inches. . At Airport — 0.99 inches; ® since July 1—1.63 inches. The London Daily Telegraph said today the Cunard Steamship Com- pany has been warned one of its queen liners “might be required” to carry American troops to Korea. ‘The company denied the report ‘as “completely without foundation.” {Gold Rush Pioneer STATEHOOD BILL HAS SMALL CHANCE WITH KOREAN WAR WASHINGTON, July 17 — ® — The outlook for pending “western” bills in Congress is not good unless it decides to continue regular busi- ness indefinitely due to the Karear situation. If it takes a summer recess, as has been proposed, or stays in session under agreement that nc controversial measures will be con- sidered without absent members having a chance to get back for the | debate and vote, there is Il liklihood there will be any action on western bills not passed beforc the rest period starts. Among the pending measures are the Alaska and Hawali statehooc bills, amendments to the reclama- tion act; and mine aid legislation Present prospects are that the Senate can complete action on the general appropriations bill by the end of this week. But Congress still can't quit until an agreement has been reached with the House on the Senate hanges in the bill. That means Congress will wtrk regularly for at least a week. It is expected that an effort will be made in the Senate to bring up the statehood bills during the last week of July, But discussion there last Friday indicated there will be opposition to anything but de- fense measures. 600 BOMBS DROPPED ON WONSAN BY U. §. IS MOSCOW REPORT MOSCOW, July 17 — (# — The Communist party newspaper Pravda sald today that American planes raiding the North Korean city of Wonsan last Thursday killed many { persons and hit a hospital flying ‘he Red Cross flag. The Pravda correspondent said 600 bombs wire dropped. The dispatch said Wonsan's streets are piled high with rubble and rescue workers still are digging bodies out of the debris. During Thursday’s raid—biggest of the Korean war to date—nearly 50 U. 8. superforts plastered the key coast port of Wonsan with some 500 tons of bombs in a pre- cision strike, the Far East Air Force announced. SALMON CANNING SEASON IS STARTED; PETERSBURG PACKS PETERSBURG, Alaska, July 17— A—The salmon canning season got Janderway here Saturday with 1,590 half pound cases of sockeyes packed. The fish ranged from five to seven pounds. They were caught n the Yakutat and Stikine River districts. Following a record halibut season, many fishermen are converting their boats to purse seining to supply the three local canneries which can pack 8,000 cases daily when_in full operation. Passes Away, Seattle TACOMA, Wash., July 17 — (® — Funeral services for Edwin E. Wil- kinson, 81, an Alaska gold rush pioneer, -were held here Sunday. He died Friday. He was foreman of the Fair- | banks district of the Alaska Road Commission for 25 years. Wilkinson moved from Alaska in 1941, He was a member of the Alaska- Yukon Pioneers. STOCK QUOTATIONS | NEW YORK, July 17 — Closing quotation of Alaska Juneau mine stock today is 2%, American Can 91%, Anaconda 30%, Curtiss- Wright 9, International Harvester 256%, Kennecott 57%, New York Central 12%, Northern Pacific 15%, U.S. Steel 32%, Pound $2.80%. Sales today were 1,520,000 shares. ejon Airfield REDS BATTER NEW CAPITAL; 0DDS10T0 1 Stalin Demands Red Chi- na’s Admittance to U. N. as Step o Ending War (By the Assoclated Press) Communist troops with thun- derous artillery support poured into the approaches to tottering Taejon today, paying a heavy price in blood as they threw outnumbered American defenders back to new defense positions. To the east, Americans and South Koreans jolted the Communists moving down on American supply lines, blasting two Red columns into confusion by air and unlooked- for artillery fire. Gen. MacArthur's communique said Communist forces were reported in retreat after a de- feat by South Koreans near Kio- mandang on the east coast. On the central sector the Ameri- cans abandoned ‘'Taejon airfield, three miles north of | Taejon, whence the South Korean govern- ment had fled. The city was almost deserted and a deathly quiet was broken only by the rumble of battle in the distance. Most of its normal population of 100,000 had gone. Gen. MacArthur’s communique reported the Communists massing heavy concentrations of men and armor directly north of the Kum river battle sector. 10 to 1 Odds There were reports of tanks lead- ing possibly 40,000 Communists into the various Taejon approaches against Americans outnumbered 10 LB e " To the west of ‘1aefon Communist forces stabbed southward in a flanking movement. The U.S. com- munique said this forced orderly withdrawals from the sector. Red guerrillas were active. Guer- rilla forces not only were reported at the outskirts of Taejon, but stab- bing 1,500 strong between Yonyang and Yongchon in the eastern sec- tor in a move which could imperil the Taegu-Taejon supply road used by the Americans. In Washington Congressional leaders announced President Tru- man would send to Congress Wed- nesday & report on the war and what legislative steps he deems necessary. Yanks to Hold “Somewhere” A Pentagon briefing officer said American forces in Korea would hold somewhere south of the Kum river “and get built up for our of- fensive.” He did not predict where the stand would be made. The UB. 24th Division on the main battlefront is facing the Reds’ First, Third and Fourth Divisions, and possibly the Sixth, Korean vet- erans of the China Civil War. The drive, for Wwhich the Reds grabbed a toehold with a bridgehead across the Kum rivet Saturday, pushed the Americans back six miles, a Tokyo communi- que acknowledged. The Reds probed south in' the area of Nonsan, 20 miles southwest of Taejon, in a flanking move which looked like another envelopment maneuver. Fifty-five miles northeast of Tae- jon, a Red column got a pasting Sunday night from the South Ko- rean 21st Regiment, unexpectedly supported by a unit of U.S. artillery. B-29’s Busy Again Fifty B-29 Superfortresses struck deep into enemy territory, dumping 400 tons of bombs on railyards at Seoul, 90 miles north of the main battle area, and plastering the Shungju area supply lines in the central sector. Russia’s Prime Minister Stalin was reported by New Delhi dis- patches to have told Prime Min- ister Nehru of India the Soviet Union holds the admission of Com- munijst China to the United Nations Security Council an essential step toward ending the Korean war. Stalin, replying to Nehru's media- tion offer, is said to have agreed the Korean war could be settled, but the China Communists must first replace the Nationalists in the UN. | Authoritative sources in Washing- ton say the U.S. would not veto a Red China application if the Com- munists received the seven council votes necéssary for admission. But the U.S. demands the withdrawal of the North Korean Communists to Averages today are as follows: in-| dustrials 197.63, rails 54.81, utlities | 3798, the 38th parallel, thexr jumpoff in- (Continyed on Page Two)