The Daily Alaska empire Newspaper, August 11, 1950, Page 1

THE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” VOL. LXXV.,, NO. 11,578 JUNEAU, ALASKA, FRIDAY, AUGUST 11, 1950 MEMBER ASSOCIATED PRESS PRICE TEN CENTS U.S. Supply Ba INCOME TAX INCREASES APPROVED Committee “Gives Nod Io Bill - Congressional Okeh Expected ‘WASHINGTON, Aug. 11—#—The i Senate Finance Committee today | approved an annual increase of about $3,000,000,000 in personal m- come taxes. The bill authorizes the govem-f ment to begin digging deeper into the pockets of over 50,000,000 tax- | payers on Oct. 1. At the same time, the commm.eel instructed its staff to draw up an exemption which would have the ' effect of removing taxes from mem- bers of American fighting forces be- | low the commissioned officer rank in Korea and other areas of hostili- ties. Some exemption also would apply to officer personnel, under this plan. | If the Senate and House approve the tax bill, as they are expected to do, the tax obligations of individ- uals will go up as much as 20 per-' cent in some income brackets. A Beginning Oct. 1, withholdings on | wages and salaries, after personal| exemptions, would jump from the | present 15 percent to 18 percent. The committee action completed | its approval of the major items in, President Truman’s “first install- ment” $5,000,000,000 tax program in- | tended to help pay for the Korean war and America’s remnrmnmem against Communist aggress ‘The tax framing’group yesterdayw okayed a $1,500,000,000 a year in-| crease in corporation taxes, rai;m;,‘ the top levy on corporate income! from 38 percent to-45, effective as of July 1, 1950. The higher tax rates will apply on | | one-half of 1950 corporate mcome,‘ but only to one quarter of 1950 in- | dividual income. All told, the committee now has approved items aggregating about | $4,500,000,000 of the President’s $5,- | 000,000,000 request. It has yet to act on several minor items, and pos- sibly on an excess profits tax pro- posal for corporations. | Refusal fo Testify Brings Cifafion of ; Two by Congress. 3 (By Associated Press), The House has taken 6 action against two men who refused to| tell its un-American activities com: mittee whether they are or have/ been Communists. The House, voted to cite the two, Julius Em spak and Steve Nelson, for con- tempt of Congress. Emspak is secretary-treasurer of the United | Electrical Workers, a union ousted | from the CIO. Nelson is a Com- munist party organizer for weswrn‘ Pennsylvania. The cases now go| to a Federal attorney for possible | prosecution. The Washington Merry - Go- Round By TOM McNAMARA and JACK ANDERSON Copyright, 198a. vy Bell Syndicatr Ine) (Ed. Note—While Drew Pear- son is on a brief vacation, his column will be written by mem- ber of his staff.) l | | | b WSH!NGTON — The Korean crisis has put a crimp in the.lush lecture fees of senators and .con- gressmen. However, many still slip away for occasional week-end lec- | tures when they need spare change. E Their fees run from $200 to $750 an evening—though Vice President Barkley, the star attraction, collects as high as $1,500 for a one-night stand. These Congressional lecurers ar-| gue that it is the only way they | can keep up with the high expenses | of entertaining, traveling and con- tributing to all the worthy charities expected of officeholders. For example, Sen. Hubert Hum- phrey, Minnesota Democrat, was so broke after paying his campaign bills and moving his family tol 'Boys Arriving in Akron for | ity-powered tican Soap Box Derby.” A Chevrolet i tered Soap Box Derby races in the The | Army’s Program for German youth ' B-29sLay a Deadly Blanket N # Smoke from bomb bursts and subsequent fires blankets a great area of this Bogun chemical plant at Hungnam in North Korea after one of the first formations of U. S. Far East Air Force B-29s passed over the target. Hungnam, on the east coast just below the 40 par- arellel, is an important North Korean industrial center. ” Wire- photo from Department of Defense. SOAP BOX | ASSIGNMENT DERBY IS | PRIORITIES ON SUNDAY ANNOUN(ED Units Bound for War Zone| to Have First Call on Reserve Officers Big Event-Special Match Race Planned AKRON, O., Aug. 11—#—Soap' Box Derby drivers—the boys who scoot downhill in low-slung, grav- racers—were arriving today for Sunday’s national champ- jonship run at Derby Downs. i The 147 youngsters—each a) hometawn champion—will compete for a four-year-college scholarship in Sundays 13th annual All-Amer- WASHINGTON, Aug. 11—(®—The ! Army tined for the Far East will have first call on reserve officers being ! called to active duty on an invol- untary basis. The Army announced earlier to- day that 7,862 reserye captains and lieutenants, including medical and | dental oificers, are being ordered to duty. An Army spokesman told report- ers that priorities concerning the sedan goes to the runner-up. About half the lads came yester- day, and the rest poured in today by plane, train, bus, auto—yes, and |even by taxicab. Another champion, Gerald E. Taylor, 12, came parka-clad earlier this week from Juneau, Alaska, where his dad serves in the Coast Guard. The 60,000 who are expected tc witness the event will find it a lucky day, too. They will witness a special match race, which pre- cedes the main event, between three well-known celebrities: Wil- bur Shaw, three-time Indianapolis Speedway winner; Jimmy Stewart, motion picture star; and Jack Dempsey, former heavyweight champion. To thrill the youngsters, Bill (Hopalong Cassidy) Boyd will appear in a pre-race parade and will referee the special match race. . The celebrities Will, race in fan- Luth:lappeuing cmsnng «cars | of unique design. For the first time, the champion of more than 30,000 boys who en- as follows: 1. Fillers for units destined for the Far East command. izations at and stations. 3. Duty with training divisions. 4. Duty with general reserve units as they are built up with some of the 62,000 enlisted reserv- sts previously called to active duly. The Army said that the reserve officers being called will include both active and inactive members newly-activated posts: active members are those who are active in training programs. The reservists will be called up,| whether they like it or not. The officers, all men, will be on active duty by Oct. 6, the Army said. They are being ordered up for 21 months, subject to change The Army said simultaneously that it will recall involuntarily 1,582 male officers of the active U. S. Occupied Zone of Germany dRnter v will race in the National Finals at |2nd inactive medical, Akron. many are co-sponsored by Half of Bristol Bay Salmen Has Reached Seattle SEATTLE, Aug. 11—(®—The Al- and the Adam Opel Co., General Motors subsidiary. STOCK QUOTATIONS NEW YORK, Aug. 11 — Closing quotation of Alaska Juneau mine | stock today is 2%, American Can aska Steamship Company's steam- | 92%, Anaconda 32%, Curtiss- ‘Wright 10% ter 20%, Kennecott 61'2, New York | today. Central 14%, Northern Pacific 17%, U.S. Steel 36%, Pound $2.80%. Sales today were 1,680,000 shares.|salmon canned there this year. ship Chena brought dustrials 215.03, 38.67. (Continued on Page Four) , With some 300,000 cases of salmon. i said today that units des- | {of assignment of such officers will be 2. Duty with the station organ- | of the organized reserve corps. The | by Congress, unless relieved sooner.; The Derby races in Ger- erinary and medical service corps. { 15,074,472 | year. International Harves- | pounds of canned salmon to Seattle | The ship arrived from Bristol Bay and carried almost half of the Averages today are as follows: in- The steamship Nadina is scheduled of Ann_Arbor, Mich., are Juneau rails 62, utilities to dock at Bellingham Monday visitors, * OF CONGRESS |\ ‘Tolal of 56 Now Face Con-‘ . viction on Red Charges | by Committee | WASHINGTON, Aug. 11—®—The | House today voted contempt ol‘ Congress citations against 54 wit- | | nesses who defied the un- Amcrlcsn‘ | activities committee by refusing o | ;anxwen questions about COmmun- ism. j The entire proceeding took only‘ | about an hour. | This brought to 56 the two-day total of citations voted by the {House upon recommendation of the committee. The citations will be referred to the Justice Department | {for court action. Conviction for | contempt of Congress carries a | maximum penalty of a year in jail and a $1,000 fine. Four of those cited today were identified by the committee as| | scientists who worked on the war- | time atomic bomb project. An- | other was Philip Bart, general! manager of the Communist Dafly\ ‘Worker newspaper. | | Several others are officials of the | United Electrical Workers, which { the CIO kicked out for following | the Communist party line. | | Also included on the list was | Mrs. Louise Bransten, a west coast | | heiress now living in New York. ‘Commmee members have described | i her as a heavy contributor to Com- ‘mumat causes. | Thirty-nine of those cited were \wntnesses before the committee last Apnl when it investigated Com- ! m in Hawaii. All votes were by voice and onl. | Rep. Marcantonio (American- ;Labor NY) voted against the cita- | | tions. | 'Rep. Hoffman (R-Mich), who | said he had no sympathy for Lhe | witnesses and wanted them cited, | igot up at one point to say any | convictions growing out of the cita- | tions might be jeopardized unless\ ‘the record showed a quorum on| {hand. | I Far fewer members than usual | uler were on hand, but the point no quorum was never raised rormally, and the voting of cita- ‘uons continued at a rapid pace. ONE STOWAWAY ONE HITCH-HIKER ~ ON POLISH LINER | WASHINGTON, Aug. :1—®—A, second unscheduled passenger has | turned up aboard the Europe-bound Polish motorship Batory, the gov- ernment disclosed today. } | The Justice Department said The { Gyndia-American Line identified Ithe man as Howard E. Campbell,| iand listed him as an American citi- | zen of Des Moines. The Department said Campbell | evidently boarded the Batory as a {stowaway belore the ship left the United States. Boards from Plane Another man, with a pabsport, bearing the name of William| ,Jesse Newton, was reported by the. | Batory Wednesday to have landed 2 rented seaplane alongside thel! ship 100 miles out in the Atlantic. |He was taken aboard. The Justice Department said bdth® imen will be detained and ques- tioned by American and British authorities when the Batory docks| jat Southampton, England, next| ‘Tuesday or Wednesday. FBI files show a record of nu- merous arrests for Howard E. Campbell. | The files show that Campbell | was picked up June 14, 1949, in | Alberta, Canada, on a charge of jvagrancy; that he was deained on |Aug. 1, 1949, in Alaska and then ,’released on August 11 after a !lunacy jury found him sane; and ‘maz he was a stowaway on the .Queen Elizabeth in late April this | MICHIGAN VISITORS Mr. and Mrs. Clarence J. Aprill staying at the Baranof 54 ARE VOTED IN CONTEMPT Hotel. \ Open arrows show areas where U. X I TANYANG ~ . S, and South Korean forces are hitting the North Korean troops (dark arrows) on all Korean fronts. Reds are fleeing back to Chinju in movement (A). inforced Communist units across Changnyong (B). Northwest of Taegu, U. south to escape American pincers U. S. 24th Division continues heavy pressure on re- the Naktong River southwest of S. and South Korean soldiers battered Red units which threw bridgeheads across the Naktong north and south of Waegwan. Broken lines show where Reds are filtering through the defense line on the north. (P Wire- photo Map. Evidence in Bridges’ Case Is Before High Court; Screening 0f CI0 Workers Is Next Step PEOPLE OF JUNEAU HEIRS TO $24,000 FROM A.G.BROWN The people of Juneau are heirs | | to $24,000, which must be used for | “something " that Juneau needs,” according to the will of the late Auglistus George Brown. The legacy—in gilt-edged secur- ities and real estate at present— was left to the city by Mr. Brown when he died in Seattle last fall at the age of 85. The terms of the will have been carried out and the inheritance turned over to the city. Mr. Brown's will stipulated that the city shall decide to what use the legacy shall be put. He sug- gested it be used as a nucleus of a fund for construction of a centrally located swimming pool—“not in Evergreen Bowl.” He also suggested in his will that | a dam on Gold Creek at the west | end of Evergreen Bowl would make | a ‘fine large skating pond” for use during the long winters. But no decision has been reached | by city officials. Mayor Waino Hendrickson said today, “We're not going to be in a rush to spend this money."” He said city cficials want first to determine wliat project of bene- fit to the greatest number of people could be carried out with the funds. Juneau Pioneer Mr. Brown was'a pioneer of Ju- neau. He came here first in 1386 from Towa, where his English par- cnts had sent him to study agricul- ture. His father was a captain in the British army’s Tth Hussars. He became a citizen of the United States at the U. S. District Court here in 1891, A few years later he went to the Klondike with the late Mark Russell of Juneau, and became one of the prospectors who struck it rich. After selling his claims, he pro- ceeded to Nome, where he pros- pected the beaches before going to Valdez and more prospecting. After the turn of the century, he /! (Ctmnnued—;n Page Two) SAN FRANCISCO, Aug. 11—-P—| Ahe government says Harry Bridges | should be kept in jail because the ngm of free speech doesn't “pro- tect an enemy . .. in time of armed conflict.” And the Armed Forces today took steps to subject to loyalty checks | all members of Bridges CIO Long- | shore union who work on Army and Navy docks. Government arguments were placed before the U.S. Circuit Court of Appeals yesterday. The court is attorneys to free him on bail. He was on bail after his perjury conviction last April until Saturday when Federal Judge George B. Har- ris—at the government's request— revoked the bail and labelled him a menace to the security of the U.S. The conviction is awaiting review | before the Appeals Court. Bridges’ lawyers have argued that | he was jailed for his “opinions.” The Armed Forces waterfront worker screening will affect an esti- mated 6,000 stevedores, warehouse- men and ships clerks. STEAMER MOVEMENTS Prince George from Vancouver in port, leaving for Skagway and south at 11:30 pm. Princess Norah scheduled to ar- rive Saturday afternoon. Chilcotin from Vancouver due to arrive Sunday evening. Freighter Ring Splice due to ar- rive at 1 am. Monday. Aleutian scheduled to sail from Seattle Saturday. Princess Louise scheduled to sail| from Vancouver Saturday. Alaska from west is scheduled southbound 1 p.m. Saturday. Baranof from west scheduled southbound 5 p.m. Sunday. | BEDLINGTONS HERE R. T. Bedlington of JLynden,| Wash.,, and John Bediington of | Annette Island are registered at| the Baranof Hotel. | CAA MAN Don Gretzger of the Civil Aero- | nautics Administration, Anchnmge is staying at the Baranof Hotel. AIR BASE FIGHTING | Red Artillg Is Brought Within Range of Field- 30-Mile Battlefront By HAL BOYLE POHANG AIR BASE, Korea, Aug. 11--M—This American air base fought for its life tonight against a surprise Red Korean envelopment sweeping around flaming Pohang port to the sea. The Communists brought their artillery within range of the field. Rising like angry hornets defend- ing their nests, U.S. fighter planes blasted with rockets and strafing fire in daylight fighting Friday against Red guerrillas 1% miles from the end of the airstrip. By midafternoon Communist mortar bursts were creeping across the rice paddies toward a road lead- ing northwest to Pohang, six miles away. And a line of mud-stained Negro Doughboys thrown around the perimeter of the base was comb- men who had crawled three miles across dank paddies after a task force which was riding to the de- fense of the airfield twice was am- bushed last night on the highway from Kyongju to Pohang. A 30-mile battlefront erupted in action as the Reds tried to close a trap around United Nations forces fighting desperately from the Po- hang area northward along the east coast to Red-captured Yong- dok. DEFENSE FORCES ARRIVE US. 8th ARMY HEADQUART- ERS IN KOREA, Saturday—{®— American tanks and battle-tested South Korean troops reached the Pohang airstrip during Friday night. Their arrival materially strength- ened defense of the vital fighter air- strip, headquarters reports said. It was expected that a United Na- tions attack to retake the city of Pohang, six miles northwest of the airstrip, would develop today. Pohang fell to Red troops late last night. VOLUME UP, VALUE DOWN "49 FISH PACK; 19% FROM ALASKA SEATTLE, Aug. 8—(®—The U. 8. | weighing several motions by Bridges’ |Fish and Wildlife Service reported today a valuation of $103,430,980 | (to canners) on last year's salmon pack in Alaska and the Pac.fic coast states. It was ‘a drop of 14 per cent in value from 1948. The pack of | 5,524,916 cases, however, was up 15 percent in volume. Alaska accounted for 79 percent of the total; Puget Sound 17; the Columbia River district 3 and other coastal areas of the states 1. Pink salmon accounted for 59 per cent of the volume and 50 per cent of the value. SEVENTH ARREST OF FBI, ALLEGED A-BOMB TRAITORS WASHINGTON, Aug. 11—(#—The FBI today made a seventh arrest | tin connection with its roundup of | Americans accused of aiding the leak of atom bomb secrets to Rus- | sla. The Justice Department announ- ced that FBI agents have taken linto custody Mrs. Ethel Green- ,5IAss Rosenberg, 34, in New York | City. She is the wife of Julius Rosen- \berg and the sister of David Green- | |glass, both arrested last month on’ | charges of obtaining highly classi- |fied atomic information for the | Soviet Union. | FROM PELICAN Leo H. Summers of Pelican is registered at the Baranof Hotel. CHICAGOAN ARRIVES William D. Burke of Chicago is lreglsbered at the Baranof Hotel. FOR LIFE ing the mountains with counter-fire. | Among them were 100 or more | se Falls in Flames tc Reds Where Allied Forces Hit ATTACK BY REDS MOST FEROCIOUS Enemy Forces Now As- saulting Airstrip Rim- New Thrusts Expected (By the Associated Press) Pohang, No. 2 U.S. supply base on the east coast of South Korea, fell in flames today to a ferocious Communist assault, and the Reds brought their artillery within range of the American airstrip, six miles to the south, GI's battled hand-to- hand with the invaders virtually on the rim of the strip. But on the central sector, Gen. MacArthur’s headquarters an- nounced, all Communist bridgeheads across the Naktong river save one have been wiped out, easing the threat to Taegu, key inland US. base. The one bridgehead, however, still posed a mighty menace. The Communists had poured some 6,000 Infantry soldiers into it, despite heavy air and artillery attacks, at- tempting to expand the salient near Changnyong, 29 miles southwest of ‘Taegu. Black Developments Despite the black developments on the fighting fronts in South Korea and the deterioration of the international situation, President Truman will not seek passage of a universal military training bill at this session of Congress, the White House announced. The an- nouncement said he felt pressure for it as this 0} i aihes VALY sbeae It related to Korean war needs. Loss of Pohang by the Ameri- cans and South Koreans took away the East Korean base where the U.S. First Cavalry Division" made the first amphibious landing of the war. It had been second only to Pusan, 65 miles to the southeast, as an American supply base. Alr Base Abandoned At the edge of the air base—al- ready abandoned by the Mustang fighters which had been taking off at 10 minute intervals in support of ground troops—the GI's fought f-r their lives against a suprise en- velopment, but Communist mortar fire crept steadily ahead. Black smoke columns poured from Pohang, burning from the fierce battle, The fall of the city was an- nounced late Friday night, Korean when Eighth ¥ headquar- ters said no frie troops were left inside the port. Fighter planes from other bases ripped into the enemy in defense of the strip they had to abandon. Reds Build Up Forces On the central front along the Naktong river, the Reds put thous- ands of troops across into their salients and were reported building up four or five divisions—possibly 40,000 men—for a power blow at Taegu, key base for defending United Nations forces. On the southern front the US. 8th Army reported North Korean Reds were abandoning the Chinju base. This report seemed at variance with others that the Reds were digging in west of the base for a fanatical stand against the creeping advance of U.S. Marines and Dough- boys. At Pohang, 56 miles north of Pusan, the main American supply base, Red forces held a ridge only 3% miles from the runway from (Coutinued on Page Two) ® o 0 0o 0 0 0 0 0 WEATHER REPORT. In Juneau—Maximum, 77; minimum, 50. At Airport—Maximum, 76; minimum, 45. FORECAST (Juneau and Vielnity) Continued fair today night and Saturday. Low tonight near 50 and high Saturday near 5. PRECIPITATION (Past 24 hours ending 7:30 a.m. today City of Juneu — None; since August 1—1.14 inches; since July 1—11.07 inches. At Airport — None; since August 1—0.82 inches; since July 1—7.86 inches.