The Daily Alaska empire Newspaper, January 4, 1951, Page 1

THE DAILY ALASKA EMPIRE “ALL TLIE NEWS ALL THE TIME” « VOL. LXXVI, NO. 11,699 JUNEAU, ALASKA, THURSDAY, JANUARY 4, 1951 MEMBER ASSOCIATED PRESS PRICE TEN CENTS Red Forces Are Pushing UN Troops Into PRICE, WAGE ~ (ONTROLSTO * COME SOON WASHINGTON, Jan. 4 — @ —| President Truman said today across- the-board price and wage controls are going to be put on wherever| nece nd possible as soon as it can be done. He told a news conference administration is working with that the | in view. Mr. Truman noted that it would require legislation to clamp contrels on food, but said that as soor as it is physically possible wage-price controls will be set wherever it is legally possible. Asked if he would seek to awmend | a 1950 law which restricts controls on food prices, Mr. Truman replied by suggesting that reporters for his “State of the Union” mes: next Monday. Message In Person Mr. Truman will deliver this message in person to a joint session of the Senate and House. It is customary for the state of the union message to sketch in broad outlines what the President wants from Congre The 1950 Defen: Production Law, which gave Mr. ruman wage and price control powers, stipu that price ceilings on farm pro- ducts must not be lower than (1) the highest prices in the month before the war in Korea or (2) “parity” prices — whichever were higher. Parity is a standard set by federal farm laws and declared to be fair to both farmers and con- sumers, The parity price rises and falls with changes in the prices of things farmers buy. Ceiling Restrictions Some labor unions have contended the restrictions on ceilings for farm prices make it impossible to have effective control of food prices. Mr. Truman remarked during his discussion that rising costs of food had contributed to the rising cost of living. The President was pressed by one reporter to tell why it has taken “so long” to set up wage and price controls. This reporter asked whether Mr. Truman would tell the American people why. Full Controls Yes, the President said, he would tell the American people, but not here (at the news conference). ~He emphasized that eventually i:l‘ would be necessary for full, across- the-board controls. JUNEAU AFFECTED BY REGULATIONS ON EXPLOSIVES Basing their requests on the premise that government regula- tions effective August 9, 1950 which tighten the control of loading and discharge of Class A explosives, Dangerous Cargo Act, at Alaskan ports, present a serious handicap to the progress of vital construc- tion work and operations in regard to the defense program in the ter- ritory, and because excessive costs in transporting explosives to meet the requirements would virtually prohibit activities by small opera- tors in mining, logging and other work where explosives are required, a modification of the U.S. Coast Guard policy in administration and enforcement of the regulations was urged by representatives of in- terested concerns at a conference caliled at 10 o'clock this morning »|in the Senate Chambers by Admiral Joseph Greenspun, Commandant of the 17th U.S. Coast Guard District. | Name Objections | tions hinge on the rulings for load- ings or discharge of Class A explo- sives in amounts exceeding 500 pounds, and to the use by the Coast Guard of the American Table of Distances in determining the re- strictions to be put on the various ports along Alaska’s coast. Forty persons were present at the conference which was recessed lat noon to continue this afternoon. Letters were read from the Talbot Co., Inc., of Ketchikan, J. A. Talbot, Mayor of Ketchikan, the U.S. Smelt- ing and Mining Company and the Cordova Barge Company suggest- ling the need for modification of ithe ruling. Represent Interests Appearing at this morning’s ses- sion were L. A. Moore, Manager of | the Association of General Con- tractors, H. M. Strohecker, Manager of the Explosives Divi {of the du Pont Powder Company at Seattle, Bernard Ducharme, 1 Surface Foreman of the Healy River | Coal Corporation, Norman Banfieid, attorney, representing the Juneau j district interests, C. S. Duryea, General Freight and Passenger Agent in Alaska for the Alaska Steamship Company, G. W. Thomp- son, manager of the Atlas Powder Company, Seattle District, Col. John R. Noyes, Commissioner of the !} Alaska Reozd Commission, repre- senting the Alaska Road Commis- sion and thy Governor of Alaska. Use Table Not Practical Objections American Table of Distance as compiled by the Manufacturers of to the use of they NO EFFECT ON RULES CHANGE WASHINGTON, Jan. 4 — # — President Truman brushed off with no show of disappointment today the House vote for a rules change which gives a Republican-Southern Democrats combination power to block administration legislation. Asked for comment at his news conference, Mr. Truman said the House makes its own rules. He added that the administration will try to get its program through Congress in the usual manner. Told that Senator Taft (R-Ohio) had criticized him for deciding to delay delivery of his “State of the Union” message until next Monday, the President replied that Congress only started yesterday. He said his message was going up as promptly as it ever had. He added that it would take Congress another two Objections voiced to the regula- [ weeks to organize. Asked for comment on the elec- tion of Senator McFarland of Ari- zona as Democratic leader of the Senate, Mr. Truman said he is very fond of Senator McFarland. He added that he wrote him a letter of congratulations yesterday. He said he also had congratulated Senator Lydon Johnson (D-Tex) on his selection as assistant Demo- cratic leader. He said both had been good friends of his. MRS. JACK ALLMAN HERE Mrs. Jack Allman (Ruth Coffin) flew in from Excursion Inlet to spend a few days with her aunt, | Mrs, Grace Wickersham. She is also j on business in connection with the Allman’s Tongass Lodge at the In- let. R. D. KELSEY HERE R. D. Kelsey of the Alaska Steamship Co., at Valdez is in Ju- neau on business. He is stopping at the Baranof Hotel, TO PETERSBURG R. L. Anderson, chief of {/.e bene- fits division of the Employment Security Commission is going to ! Petersburg to straighten out insur-| ance matters arising out of claims for benefits in connection with & strike in the shellfish industry there. HERBSTREITH OUTSIDE E. N. Herbstreith, field auditor for the Employiment Security Com- As for rationing, he said we Will| gypiosives obligated to use by the| mission, has been called to Grand have to cross that bridge when we get to it. He said that rationing would re- quire control of food prices which he said contribute so heavily to the rise in the cost of living. The Republican-Southern Demo- crat coalition has shown its strength by ramming through a repeal of the rule passed two years ago that wiped out the House Rules Committee’s power to pigeonhole The vote was 244 to 179. The Washingion Merry - Go-Round By DREW PEARSON (Copyright, 1951, by Bell Syndicate, Inc.) ASHINGTON—It looks as if the “Man of Letters” in the White House is going to make a lot of money for the recipients of those letters. Out in Denver, Dr. Neal Bishop, who suggested to Mr. Truman thst John L. Lewis be appointed Ambas- sador to Russia, is going to auction off his Trumanesque reply for the benefit of the Denver Community Chest, The reply, which stated that he, Truman,” would not even appoint John L. as dogcatcher, should bring a large amount of money—though Bishop has generously given the letter to the Community Chest and they will make the profit. Meanwhile, in Washington, Paul Hume, the Washington Post music critic, has turned down various of- fers for his letter regarding Mar- garet Truman’s singing. One offer is reputed in five figures. If Mr. Hume ever does decide to sell this coveted letter, it can make him much more dough than he realizes, for he will only have to legislation. ; Commandant of the Coast Guard 'in adimistering the regulations, was on the consideration that the in- tent in the compilation of the table was to specify distance to be main- tained in the storing of explosives and bears no reference to the trans- portation of explosives. It was the general consensus of the opinion of the interested persons that ap- plication of the Table of Distances in administering the regulations, was ! would not be practical and, in fact, from a commercial standpoint might prohibit the use of dynamite in a Inumber of instances. Opinions expressed were in effect that restrictions allocating only 500 pounds to certain ports to be un- Rapids, Mich., because of his moth- er's sudden death. He is expected to return about the middle of this month. | » TYVOL TO WESTWARD F. M. Tyvol, field supervisor for the Alaska Territorial Employment Service is in Anchorage for a week in connection with business of the ESC. He may go to Fairbanks be- i fore returning to his Juneau head- quarters. \ BERYL JONES IN ESC Mrs, Beryl Jones has returned to the Employment Security Commis- sion here as senior clerk in the benefit division to replace Irehe loaded at one time should be modi- fied to apply safety measures and be commercially practicable. In a summary of the efforts to solve the problem imposed on Alaska by the new regulations on unload- ing and discharge of Class A ex- plosives in amounts exceeding 500 pounds, Col. Noyes said that he felt allowances should be made if the American Table of Distances is ap- plied in the enforcements of the regulations. He said he felt that the Coast Guard could allow discretion } in the 500 pound limit allocated to| be unloaded at certain ports. The Colonel observed that if manufacturers of explosives had been consulted regarding the safety rules of maintaining explosives magazines, they should also be consulted regarding safety rules for movement of explosives. Colonel Noyes said that no one idisputes the law, its purpose or ap- | plication. The difficulty to be solved, {he said, is as it applies in Alaska. Solve Problem Here The Road Commissioner said he made to solve the problem locally and that it be referred to Washing- ton only if there be an irreconcil- lahle controversy. b e ikl Kot Bl B SN Coord i A R (Continued on Page Four) | (Conunued on Page Stx) & feels that every effort should be; Rasmussen. Miss Rasmussen is now clerk in the Federal court’s office. JIMMY RUDE LEAVES Jimmy Rude, popular Juneau skier, was scheduled to leave today for the states. He expects to get in a couple of weeks skiing in Sun Valley, Idaho before he is called to report to the U. S, Naval Air Station -at Pensacola, Florida. FROM ANCHORAGE Col. J. P. Johnson from Anchor- age and Lt. Col. James Higgins of the Elmendorf Air Base arrived yesterday via PNA to attend the U. S. Coast Guard meeting here today, They are staying at the Baranof Hotel. FROM SEATTLE A. L. Blessing and M. M. Maher of Seattle are registered at the Baranof Hotel. LT. THORNTON HERE Lt. W. W. Thornton of the Alas- ka Air Command at Anchorage, is | at the Baranof Hotel. T. P, HANSEN HERE T. P. Hansen, Union Oil Co, representative from Ketchikan, is at the Baranof Hotel. ¢ PRESIDENT BY COALITION IN CONTROL OF CONGRESS May Smack Down on Tru- man'’s Plans -National De- fense However Paramount WASHINGTON, Jan. 4—M—A coalition of Republicans and South- ern Democrats was firmly en- trenched in control of the 82nd Con- gress today, biding its time to smack down many of President Truman's “fair deal” proposals. Its leaders promised clear sail- ing, however, for anything the co- alition considers vital to national defense. The tight hold the anti-Truman group has on the new House was demonstrated clearly on the open- ing day yesterday. Party Division-Trouble There was no comparable show of strength as the Senate held a rou- tine 38-minute organization session. But the party division there—49 Democrats and 47 Republicans — plus the fact that administration Democrats had previously been un- able to elect an all-out Truman sup- porter as a majority leader, indi- cated rough going for the President there. A similar informal GOP-Dixie coalition bottled up or rejected much of Mr. Truman's domestic program in the last Congress. Be- cause of increased Republican strength in the new Congress, it promised to be even more potent in the next two critical years. Strangle-Hold 'This was pointed up in the Hous2 when the coalition, by a lopsided 244 to 179 vote, again vested in the Rules Committee a virtual strangle- hold on the legislative program. ‘The Rules committee is domi- nated by a coalition of four Repub- licans and four Southern Demo- jcrats, the minority actually being four Northern Democrats. It is the Rules Committee’s function to de- cide when—if ever—bills are to be acted upon in the House. Rayburn Reelected Except for this House squabble, (the opening session was fairly har- monious and more than usually ‘colorful, thanks to the newly-re- decorated Senate and House Cham- bers. Galleries were filled. The House re-elected Speaker Sam Rayburn of Texas for a sixth term. He defeated the GOP candi- date, Rep. Joe Martin of Massa- chusetts, as —everyone knew he would. After the brief Senate session, GOP Senators re-elected their top leaders and then got into a discus- sion about who will get some choice jcommittee assignments resulting cision was reached. The Senate quit until Friday. The House called a meeting today but 'had no business scheduled. MRS. VANCE RETURNS Mrs. Howe Vance returned on the Princess Norah and is back at her desk with the Veterans Administra- tion. She and Dr. Vance have en- |joyed a vacation trip in’the states jand he is remaining a short time longer to visit with relatives in California. RETURNS WESTWARD G. E. Krause leti on the Baranof enroute to his home in Arnchorage. Krause, former Juneau resident and owner of the Hillcrest Apartments came here last month to spend the { Christmas holidays with his son-in- Jlaw and daughter, Mr. and Mrs. Marlin Feero and his little grand- son, Stanley. CPR FILM AVAILABLE lent color film, “Radiant Rockies,” on the Canadian Rockies is avail- able to organizations for showing ! until February 6, according to Wil- liam MacFarland, CPR agent. RETURNS TO GLEN ALLEN Ingvald Varness with the McKin- ley Electric Co. of Juneau, left on the Pacific Northern Airlines plane yesterday for Anchorage enroute to Glen Allen where he is engaged on a contract job for his firm. He came to Juneau on leave to spend the Christmas holidays with Mrs. Var- ness and their little son. The Canadian Pacific Railway si- | Big Union Change Is In Making WASHINGTON, Jan. 4 — ® — Joseph M. Curran, head of the CIO- National Maritime Union, said today that two ships crews of more than 450 men had urged his union to take over the Marine Cooks and Stewards Union, which was ousted by the CIO on charges of pro- Communist leanings. Curran is here for maritime con- ferences with government officials. He said his union and the CIO were glving intensive study “to the pleas of the crew members.” “Our answer the very near future,” Curran told reporters in the presence of Orga- nizing Director Allan S. Haywood. Curran said he meant that some- thing would be done in the next couple of weeks. Haywood and Curran estimated there were about 7,000 members of the Marine Cooks and Stewards, led by Hugh Bryson, a close associate of Harry Bridges, left wing presi- dent of the Longshoremen’s and Warehousemen’s Union. The Marine Cooks and Stewards, the Fishermen and Allied Workers, and the Longshoremen’s Union were among 11 tossed out by the CIO last year after trial on charges of following Communist rather than CIO policy. The fishermen merged with Bridges’ union in the meantime, but ! Haywood commented today: “We never recognized that mér- ger, which was phony.” He said the CIO already has ab- scibed several fishermen’s units and would intensify efforts to bring them back into the CIO in the near future. |NEW CC PRESIDENY TAKES OVER; GOV. TALKS WATER POWER Retiring Juneau Chamber of Commerce President Robert Booch- ever turned the gavel over to the newly elected President Herbert Rowland today at a regular lunch- eon meeting of the Chamber at the Baranof Hotel. Rowland expressed thanks on the part of the Chamber to Boozhever and to Chris Wyler, retiring board member for progress made during the past year. Board members pre- sent were introduced: First Vice will be ready in; BOMBING OF CHINA UPTO UN President Ex?esses Hope that Third World War (an Be Avoided WASHINGTON, Jan. 4 — (B — President Truman said today that United States forces will not bomb China without United Nations sanc- tion. He made this clear at a news conference in which he again ex- pressed hope that a third world war can be avoided this year. He also said, in response to ques- tions as to what point would have to be reached before he would have to consult Congress on a declaration of war, that if the proper time ar- rived, the proper action would be taken. He hopes the time will never come when he would have to ask for a declaration of war, he said, adding that the time has not come yet. He said the action in Korea is pro- ceeding under the direction of the United Nations and this country le always willing to negotiate. But, as to the Russian reply to a proposal for a Big Four Foreign |fense George C. Marshall said the | { Ministers conference, he said he|situation in Korea is developingi would stand by Secretary of State Acheson’s statement yesterday that further clarification is needed to restate the Soviet position that the Ministers should meet to discuss German questions. Mr. Truman emphasized that the United States is not formally at war. We are carrying out our ob- ligations to the United Nations. At the Pentagon, Secretary of De- fense Marshall said the situation in Korea is developing “almost exactly as anticipated and that U.N. forces have been deployed to meet this an- ticipation.” Marshall also said that the U.N. force in Korea had in many in- stances been fighting against “al- most incredible” manpower superi- ority of Communism. BARTLETT LEAVES TODAY FOR ALASKA ‘WASHINGTON, Jan. 4 — @& — Delegate Bartlett of Alaska will President O. F. Benecke, Second |leave for the territory today to at- Vice President Henry Green, Secre-itend a meeting of the Alaskan tary F. O. Eastaugh, and ooard member Alva Blackerby. The retir- ing president automatically becomes a member of the board. Gov. Ernest Gruening spoke briefly regarding the development of electrical energy from Alaska’s vast power resources, mentioning from their increased ranks. No de“especlnuy the possible project at Dyea and what such a development would mean to Alaska economny. He suggested that the Chamber take the matter over for study and ac- tion. Guests included nine visjting of- ficials of various companies and agencies attending the US. Coast Guard conference being held here in regard to transportation and handling of explosives. They were: Capt. Harry Stinchcombe, USCG, ‘Washington, D.C.; Larry Moore, manager of the Alaska Chapter of Assoclated General Contractors, Anchorage; G. S. Duryea, general traffic agent of the Alaska Steam- ship Company, Ketchikan: Lt. Col. J. W. Higgins, Assistant Transpor- tation Officer for the U.8S. Army, Anchorage; G. W. Thompson of the Atlas Powder Co., Seattle; 8. M. Strohecker, Jr., of the E. L. du Pont de Nemours Co., Seattle; Col. J. P. Johnson, General Manager of the Alaska Railroad, Anchorage; B. H. Parkinson, Executive Vicz Presi- dent and Harold M. Kelly, Vice President, of the Coastwise Line, San Francisco. Mr. and Mrs. Sidney Beavers of Sitka are staying at the Baranof Hotel, STEAMER MGVEMENTS Denali scheduled to sail from Se- attle Friday. Princess Norah scheduled to ar- rive at 10 am. Friday and sails south one hour later at 11 a.m. Baranof scheduled to arrive from westward at 10 a.m. Sunday south- bound. ; l l statehood committee, He said he will reintroduce legis- lation to grant statehood to Alaska when he returns to Washington, probably about the end of next week. Bart'ett criticized the action taken by the House yesterday authorizing the Rules Committec to hold up legislation as a “distinct threat to statehood.” WHITE TO k&FRESENY KIMBALL, VETS BOARD Albert White, Juneau attorney, will represent Ross Kimball of Fairbanks at the Veterans Board meeting in Juneau. Kimball claims irregular treatment by the board in reference to ‘process of a veterans loan, He was the Democratic can- didate for commissioner of labor and now publishes a monthly news- paper at Fairbanks. WEATHER REPORT Temperatures for 24-Hour Period ending 6:20 o'clock this morning In Juneau—Maximum, 25; minimum, 18. At Airport—Maximum, 25; minimum, 10. FORECAST (Junesu ana Vicinity) Mostly cloudy with light snow flurries tonight and Friday. Lowest temperature tonight abuut 20. Highest Friday near 24. PRECIPITATION (Past 24 hours ending 7:30 a.m. today City of Juneau — None; since Jan. 1 — 025 inches; since July 1—38.24 inches. At ' Airport None; since Jan. 1 — 0.16 inches; since July 1—26.54 inches. e 9 0 0 0 0 0 00 Defenders Of Inchon Withdraw Leave on Sfips While Ap- proaching Communists Pounded, Naval Guns (By the Associated Press) United Nations forces defending Inchon, the port of Seoul, withdrew by sea from the harbor city today while naval guns pounded ap- proaching Communists. Hordes of Chinese Reds who had seided abandoned Seoul and its towards Inchon as Allied men and equipment boarded evacuation ships. Army demolition experts set off thunderous charges .estroying docks and railyards. The city was aflame. Nothing of any military value was left to the enemy. Troops Evacuated ‘The troops evacuated were mostly those whose job it was to keep the port operating in supplying Allied forces. United Nations troops all along the 150-mile defense line were withdrawing southward to escape encirclement. In Washington, Secretary of De- “almost exactly as anticipated and U.N. forces have been deployed to meet this anticipation.” Action Directed by U.N. At his news conference President Truman said that action in Korea is proceeding under the direction of the United Nations and America is always willing to negotiate. He declared U. 8. forces would not bomb China without U.N. sanction and no such request for sanction was being considered at this time. Preparing to leave Washington for his new post as commander of Western European forces, Gen. Dwight D. Eisenhower said “if every sacrifice by America is not matched by equal sacrifices of the European Democracies,” the European de- fense effort will be fruitless. Rear Adm. L. A. Thackery, com- manding UN. naval forces at In- chon said: “Our job so far has been carried out smoothly and efficiently, and if all goes well we will have all the men and equipment safely out of here before the night is over.” AP. Correspondent Tom Stone said more than 10,000 have already been moved out of Inchon but the rescue job was still on. TEN MILLION DOLLAR FIRE IN INDIANA EVANSVILLE, Ind., Jan. 4—#— Fire swept by a stiff wind roared through eight buildings in the cen- ter of the business district early today. Damage was estimated at more than $10,000,000. Three firemen were burned slightly while fighting the fire. Fire Chief Clarence Bassemier estimated the damage soon after the fire was brought under control. He explained that it had swept through some of the largest build- ings in the down town area an had destroyed some expensive mer- chandise. STOCK OE_OTMIONS KEW YORK, Jan. 4 — Closing | quotation of Alaska Juneau mine stock today is 2%, American Can 96%, American Tel. and Tel. 151% Anaconda 41%, General Electric 30, General Motors 47%, Goodyear 66%, Kennecott 76%, Libby McNeill and Libby 9, Northern Pacific 32, Standard Oil of California 92%. Twentieth Century Fox 21%, US. Steel 44%, Pound $2.80%, Canadian Exchange 95.40%. Sales today were 3,390,000 shares Averages today are as follows: in- dustrials 240.86, rails 79.03, utilities 41.75. [ | SEATTLE VISITOR Capt. William Austerman of Seat- Hotel. nearby airfield Kimpo were pushing | Sea TERRIFIC ~ FIGHTIN | ~ PROGRESS lBIazing Seoul Recaptured by Commies-Warships Are Standing By (By the Associated Press) Great hordes of Chinese Com- munists pushed past blazing Seoul today in an attempt to trap re- treating Allied forces and drive them into the sea. For the second time in seven months the capital of South Korea was in Communist hands. The Reds also seized Kimpo airfield, one of the most valuable in Korea. | General MacArthur’s headquar- ters called attention to the dan- | gerous breakthrough in central Korea where an estimated 180,000 | Chinese and Korean Reds were driv- ing towards Wonju, 55 miles south- east of Seoul. Is Black Day It was a black day for United Na- tions arms. If the Communists capture Wonju | they will be in a _position to cut off the western flank of the U.S. Eighth Army and menace the main route to Pusan, old beachhead supply port in southeast Korea. If this main central artery is cut, Allied forces west of Seoul could be forced to withdraw by sea at In- chon, Seoul’s port where MacArthur staged his brilliant amphibious landing and clinched a major Allied victory a few months ago. At that time the Korean war seemed in its final stages. Evacuation Fleet But now a United Nations fleet stood off the west coast ready to evacuate U.N. forces south and wess j of Seoul. U.S. Eighth Army headquarters said the Communists were across the Han River one and two miles west of Seoul. It is 18 miles from Seoul to Inchon. Two Allied roadblocks were under attack. Their locations were not given. The laconic Eighth Army re- port said the enemy was very ag- gressive. Terrific Battle The Korean Red radio at Pyong- yang said the Communists were engaged in a terriic battle to au- nihilate “the enemy along the en- tire length of the 38th parallel” Allied reports on the movement | of battle were vague. The Eighth IArmy said Wednesday a general | withdrawal was in process along {the entire 150-mile line stretching across the peninsula. Raging Battle MacArthur reported a raging battle in Central Korea, southwest of Kapyong. The Communists have pushed past Kapyong and Chun- chon in their forceful drive to split the entire Eighth Army and drive its left flank into the Yellow Sea. Evacuation from Inchon would be a difficult operation because of enemy pressure and a 28-foot nor- mal tide. A fleet under Adm. L. A. Thackrey was ready to meet such an emergency. Allied warships pounded the Communists pushing down the west coast towards In- chon. WITHDRAW TO SEA INCHON, Korea, Jan. 4 — (# — United Nations forces protecting this supply port west of Seoul with- drew by sea tonight while naval guns shelled the path of the ap- proaching Reds. EXTENSION DRAFT LAW T0 BE URGED WASHINGTON, Jan. 4 — (B — Congress will be asked to extend from 21 to 27 months the time to te served by draftees, Chairman Vin- son (D-Ga) of the House Armed Services Committee, said today. Vinson told reporters he expects the Department of Defense to send up to Congress an overall universal military service measure within the next few days. His committee will begin hearings on Jan. 18: B. DURCHARME HERE B. Durcharme of the Healy River Coal Co., at Suntrana is in Juneau tle is registereq at the Baranof|on business, He is stopping at the Baranof Hotel,