The Daily Alaska empire Newspaper, January 11, 1951, Page 1

THE DAILY ALASKA EMPIRE " “ALL TLIE NEWS ALL THE TIME” VOL. LXXVI, NO. 11,705 JUNEAU, ALASKA, THURSDAY, JANUARY 11, 1951 Allies Building Up Holding Line, K WAGE-PRICE POLICY IS | ADVOCATED Major Labor Leaders lee‘ Appraisal for Govern- | RUSS TROOPS INSIBERIA FOR ATTACK That Is Statement Alleged Made by Chinese Nat. ment Moulding (By Max Hall) Ay said today mould . a ble enough WASHINGTON., Jan. Major labor leaders the government mus wage-price policy fle to work for a decade, They gave that appraisal to the wage stabilization board, an arm| of the Ecr nomic Stabilization Agen- cy (ESA) which announced last night that it will not now put into effect a temporary 30-day freeze on prices and wage: t. the controls as mdenmte as it was a week or A0 ‘All.l.l of terim m. to t immediate niore an in ad anent controls. The appeal for policy came from spol AFL, CIO, Machinists and Railroad | vining in testimor Labor Policy Committe: They said the present em- ergency may siretch on ir ely, and “we're not planm short term ation.” The gro ated all ms elements of organized movement except John L. i United Mine Workers (UMW) chief, | who was heard separately by the ‘Wage Board yesterday. He advised against any kind of wages or price: controls, In dropping for the present the. idea of an immediate price-wage! freeze, Valentine acceded to the: judgment of those advisers who | believe general price controls wouldl be unwise until there is a bigger staff to administer them. OFFICES IN FEDERAL BUILDING MOVED TO GET READY FOR LEG. With the transfer of the Uffml"x! of the Territorial Veterans Affairs from suite 216 to 105 in the Federal Building today, the five rooms al- loted to the Alaska Legislature on the second floor as clerical staff and committee rooms are now avail- able for that use, it was disclosed today by Postmaster Crystal Jenne. The Fish and Wildlife Service| game license office, which has been quartered in that section, has beer moved to the A.B. Hall building. Postmaster Jenne said despite the . fact that all office space in the Federal Building is occupied, should a definite need arise for additional office space for the Legislav.ule every effort will be made toward; that end. The Washington freeze of long-ra d | (ULPC). | g repres: the I | Merry - Go- Round|! By DREW PEARSON (Copyright, 1951, by Bell Syndicate, Inc.) ASHINGTON--The UN retreat in Korea has now gone throughj two distinct and separate stages. Retreat No. 1—-Which began when we were caught up near the Man- churian border was a genuine, almost headlong retreat—a distance of 120 miles back to around the 38th Parallel. Another phase of this rereat was a valiant, mile-by-mile} battle by the 10th Corps to reach| the sea at Hungnam. Retreat No. 2—Which began at around the 38th parallel last week has been a carefully planned with- drawal, with supplies loaded up and ready to move back even before the enemy hit. It was hoped to give the impression that UN forces were retreating in the face of heavy odds, but this has not really be been the case. Our withdrawal is following a calculated plan to evacuate most of Korea. What the American public does not generally realize, “however, is that both retreats have had an ex- tremely bad reaction in other parts of the world. Furthermore, war stories published in Europe are (Continued on Page Four) (moved an additional 300,000 troops |to Siberia ituation jinto two of the { version of the & WEST [UROPE | then do with our air, lat the Baranof Hotel. Defense M|n|stry Jan. 11—®P— Nationalist Defense today Russia has TAIPEI, Formc The Chinese Ministry said in readiness for attack on Alaska. It said, “Marshal Malinovsky, the | Soviet Unions’ an Far Eastern Cum-! mander,” had more than 15 sea- soned divisions under him before the reinforcements. The' Ministry said further: The Moscow-F convertir China { provinceés into a v Tihwa and He 8 of the far Northwestern province of Sinkiang, were b nveried under Soviet technic: strongest bases Ch co in r East. cow has ordered Mao Tze Red Chinese regime to pi on. a total war footing a oon as possible. Unofficial reports from the Chi nese mainland said 2,000 Russic technicians were directing the con-1 Atung seaport al base men tor the | TUE ) Tsingtao into a na NO CONFIRMATION WASHINGTON, Jan, 11 — @ - Officials said o that indic tions have been received here of of Communist military | strength in the interior Chinese : cities of Tihwa and Hami and nava ase developments at the port of Tsingtao. (No further details were availabl: on this wholly uncenfirmable ri port. , i alist reports of plans anc 5 nf the R(‘d Chinese in ll‘( curate to h h TO BE ARMED | 6-10-1 RATIO Senator Knowland Makes Proposal-Calls for Unity in U. S. Foreign Policy (By Oliver W. Dewolf WASHINGTON, Jan, 11— A — enator Knowland (R-Calif) pro- g today a six-to-one ratio for arming western Europe against Communist aggression with the Un- ited States ultimately furnishi 10 divisions and the other North | Atlantic nations 60. Knowland said it was vital that western Eurcpe not be allowed to fall into Communist hands, but | he held that the bulk of the de- { fensive land forces should be furn- hed by the Europeans themselves. “If war comes,” he said, “we must and land what the strategic neces- s require in support of our commitments. We will not let our allies down nor must they Jet us down.” In a speech prepared for Senate delivery Knowland pleaded for unity ¢ within this country and between the free nations of the world, say- ing history has taught us “we mu hang together or be hanged separ- ately.” Knowland, a vigorous critic of administration Far Eastern policy, strongly urged a reconciliation of fferences between Congress mem- bers and the administration on all foreign issues. The California lawmaker wuk; a stand with New York's Gov. Thomas E, Dewey, and John Foster Dulles, adviser to Secretary of State Acheson, in opposition to a foreign policy pronouncement by former President Herbert Hoover. All three are Republical YAKUTAT VISITOR I Herbert Bremner of Yakutat is\ ~ | sion (with a dangerous weapon, 142.09. Palmer Airport Deal fo Be Investigafed; 3 Witnesses Summoned: Hearing Jan. 18 WASHINGTON, Jan. 11 — # — A ‘The Palmer airport deal, which was sdm a subject of sharp pre-election con- trover in Alaska, is due for an LAKE SUCCESS, Jan airing here next week. The controversy involves the The United States today accepted a UN. committee plan for an im- | maneuvers by which the federal mediate cease fire in Korea to be | allocation of funds for the Mata~ nuska valley project was increased. followed by immediate negotiations | gppeared to the committee the plan on all Far East problems by the | was to get enough money from the The Senate Investigations sub- committee announced yesterday it U.S., Britain, Russia and Red China. | federal government to pay for both Warren R. Austin, Chief Ameri- |[the site and construction .of will hold a public hearing a week rmm today. A spokesman said sev- ‘eml prominent Alaskans have been can Delegate told the Politi airport. Committee of the U. N. General| He said Assembly that he would vote in|Aeronautics summoned. tavor of a set of principles tions, the government down by three-man cease | percent of the land committee. He said the princ | percent of the improve orovide a restatement of the gen During the controver ral policies which the U.N. has fol- | otficials involved in the lowed and of the requirements that | qefended it 1ere must be a cessation of hostili- | ypproval of ¢ es before any negotiations car 11—P— committee councel told a reporter it that Admit the % ion laic pays fire ipie a a for 4 cost and tran had utic the ofii one which ¥ vil Aeror said the nmissic Palmer The x Alaska Aeronautic: listed itself as bwner of the e in applying fed ancelled after ix'mbr:(‘d it on t e com Canadian | mission did not own the site. Then he said, a new application was filed He ])IJH‘L(’d out that the ment said there must a formal ¢ fire or a lull in hostilities. Austin spoke after Bri and Norway had supported atement of principles laid dow: by Lester B. Pearson, Foreign Minister. th terri e In announcing the hearing, the; wction § the | i Civily regula- | Austin said there must be a time ’sa\mg it would cost $150,000 to buy limit for the Chinese Communists|ine 1and. to give their answer but he dxd. The counsel said that after the| not set a deadline. | federal government put up 'the If the last effort fails; he said, 1$150,000, the land was purchased the UN. will be firmly united | ang’ the territory turned back to further steps to resist ageres- |the Alaska Commission $145.000. in It was understood here that the | proposals laid down by Pearson had the backing of the Eritish Common- | wealth conference in London. Ben C. Limb, South Korean For eign Minister, also accepted the principles. for the Jan. 18 hearing are George Schwamm, Director of the Alaska | Aeronautics Commission; Stanley McCutcheon of Anchorage, its coun- sel, and Roland Snodgra: tary of the Palmer Aeronauti comm’ites. SHELLFISH STRIKE iN PETERSBURG IS ENDED; PAY BOOSTS PETERSBURG, Alaska, Jan. 11 (M—A strike of shellfish workers which had beén in effect since Oct 7 ended yesterday with the signing of a new contract between packing companies and L of the International Lon: WALV PRELIMINARY HEARING-KARLSON CASE, BOUND TO GRAND JURY In the U.S. Commissioner’s Court this morning, Eric Karlson, Juneau youth who was arraigned before Judge Gordon Gray, Commissioner. esterday on a charge of assault waived a prelimi hearing and his case was bound over by Judge Gray to await action of the grand jury. In a complaint signed by Frank Cavanaugh, Assistant Chief of Police of Juneau, Karlson is charged with striking Anna Martin over the head and face with a bottle and then striking her with his fists early last Tuesday morning in rooms over the City Cafe. The 17- year-old youth was arrested by the city police and his case turned over to the Federal authorities. cal gshore Shrimp boats will go out Sunday and work in the local plants scheduled to begin Monday. The settlement provided for slight increase in wages, Harold O Neal, Alas salmon Industry at- torney, said. Julius N. Draznin of Seattle, National Labor Relations Board field examiner, was here f the negotiations. Shrimp pickers will get 251 cents per pound and crab shakers 12 cents. Crab packers are to receive $140 per hour and’ most other worken $1.50, with 20 cents per hour 1 additional for overtime. Companies involved were Kayler- Dail, Ohmer and Shelton. FROM YAKUTAT Mrs. C. Wayne Purtilar of Yaku- tat is stopping at the Baranof Hotel is a JARAS ALAM DIES Jaras Alam, 87, died last night at St. Ann’s hospital where he had | been since October 21. Alam was born in Syria and had been living | in Tenakee for the past several years. Word is awaited from therr before iuneral arrangements ave | made. STOCK QUOTATIONS NEW YORK, Jan. 11 — Closi quotation of Alaska Juneau mine tock is 3!, American Can 98! American Tel. and Tel. 151's, Ar conda 42%, Douglas Aircraft 102%; General Electric 51%, General Mo- tors 487, Goodyear 67%, Kennecoti 777%, Libby McNeil and Libby 9% Northern Pacific 33%, Standard O: of California 93%, Twentieth Cen tury Fox 21%, U.S. Steel 46, Pound $2.79, Canadian Exchange 95.25. Sales today were 3,490,000 shares Averages today are as follows: in- dustrials 244.72, rails 80.67, utilities WEATHER REPORT Pemperatures for 24-Rour Period ending 6:20 o'clock this morning In Juneau-—-Maximum, 3! minimum, 20. At Airport—Maximum, minimum, 28, 31 FORECAST (Juneau ana Vicinlty) Snow tonight. Clearing and colder Friday. High tempera- ture Friday near 26. PRECIPITATION (Past 24 hours ending 7:30 a.m. toduy City of Juneau--0.04 inc since Jan. 1 — 3.18 inches; since July 1-—41.17 inches. At Airport — 0.07 inches ‘- since Jan. 1 — 183 inches; o since July 1—29.83 inches. e o 00 0 0 0 ¢ STEAMER MOVEMENTS Baranof scheduled to sail frum: Seattle 5 p.m. Friday. | Princess Norah scheduled to sail from Vancouver January 17. Denali from west scheduled to ar- | rive southbound Sunday morning. @0 c00ce®3000e00000000 " @00 c0ss®eeenn®essencscaese FERY three | i aska Field Committee convened this men’s and Warehousemen’s UlnuxLl He said those called as witnesses | TAIYA ISSUE AT CC MEET James P. Davis, Director ‘of Ter- ritories, Department of Interior, Washington, D.C., spoke briefly at a meeting of the Chamber of Com- merce at the Baranof Hotel this noon. | | | He pointed out the objectives of |ciated Pres the Department and the people of Alaska in the development of the | | Territory were the same but that (bang — an agreement with the there were differences of opinion in ‘the methods of achieving them.| He Said that the national situation was forwarding Alaskan develop- h large expenditure oped that the growih would continue the tapered off Herb Taiya launched military When Rowland ions President possible at the Davis said tF aporopri asked about by roject Canal | .‘ and | ition to make time. How- would do all in his power to aid such an Alaskan nent Elkins, Reg “ish wildlite the 1t summer in re S {le from pointed Director spoke ional Service, survey made d to moving the sattle to Juneau the ¢ of sing importance that home- ported here. He pointed out that many of the fleei pe onnel had homes in Seattle and al dded 130 to 40 persons stationed here would present a housing problem. “The move to Juneau would fol- low the announced policy of the Department of Interior in building up Alaska,” Elkins concluded Guests included members res of | e operation | lidated it if the fleet we: also of the | Alaska Field Committee here to at- secre- tend a meeting in progress and i Commander Fred Staats of the USCG cutter Storis. Carl Heinmil- ler of Port Chilkoot was introduced l s a new member. A thank you letter was rec ceived | from the Teen Age Club thanking ! i the Chamber for its contribution of § 1100 toward a new juke box for the | | here. Elroy Hinn | the | club. DAVIS, FLAKNE HERE FOR FIELD COMMITTEE MEET Al The tenth meeting of the morning in Hugh Wade's office at the Alaska Native Service and will yun threugh Saturday if necessary dispose of b on hand. The committee is composed ‘of of- repregenting the various agencies of the Department of In- terior and is headed by Kennetn Kadow, chairman. Among the n ers to come up (his sessior the final draft of water code for Alaska that may or may not be introduced in the coming legis- ¥ 1688 ficiaks at- at | a in attendance from Juneau were: John Argetsinger and George s of the Alaska Public Works, vin Ripke of the Alaska Native ervice; S. H. Lorsin of the Bu- reaw of Mines; Col, John R. Noyes, and Don H. Miller of the Alaska | Road Commission; Joseph Morgan and R. C. Johnson of the Bureau Reclamation; W. A. Elkins of the Fish and Wild] service; Gov- ernor Ernest ning and George sundborg of the Governor's office; { and Kathleen M, Kohl Committee. out-of-town include , Director Oifice of Flakne, Chief Division, Depart- from Washing- ed from Wash- willlam Twen- ffice will re- | rological Sur- nd Alfred C. mal Park Ser- Francisco are | n s representing Alaska Railroad Lowell he Bureau of Land Man- both Anchora, uid Kadow the ¥ield Those from mes P. Dav Territories the Alas ment of Interior, ton, D. C. John R ington, D. C., and hofel of the present the U vey. George Coll Kuehl of the vice office in of Joe Joc G Prick igement of SITEA VISITOR i Mrs. Jean Carter of Sitka Is re- | gistered at the Baranof Hotel. | final { 500,000-h.p. | ritorial | didaey in the | president, presided at MEMEPER ASS DAVIS DODGES BIG DEVELOPMENT IN SOUTHEAST ALASKA I SCUTTLED AT PRESENT It looks like one big project in Southeast Alaska, the Alcoa project proposed for Skagway, is all off for the present at least, as Canada has beaten the U.S. to the deal. Last week, on January 3, an Asso- dispatch under a Vie- toria, B.C., dateline, said British Columbia started off 1951 with a Aluminum Company of Canada that should lead eventually to a $500,000,000 development in the northern B.C. wilderness Lands Minister E. signed an agreement ing_ the weekend giving the company water rights for a vast hydro development in the Tweedsmuir Park area, about 400 miles north of Vancouver. No further details Certain features of the agreement require sanction of the B.C lature, which opens iis 1951 T du Kenney were given. legis- fon that r unable wything more than the fact otiations started with the company in 1947 have received the touches at long last,” Mr. told a press conference (o= or son say we are to that neg Kenney day ‘ The Agre: The agreement covers water rights the Tahtsa-Kemano watersheds T'weedsmuir Park, where the | proposes to develop a| power . plant the | Memano River as the first : ol | 1,500,000~ h. development Construction of the power in of company a plant would follow building of a dam in|Canada instead, of: on sofl of the the Grand Canyon of the Nechako | River, ahout 160 miles from the| t. This would back up the| waters in the Tahtsa-Kemano wat- ersheds permit hydro develop- ment. The power site is about from the Kitimat, the tiny Indian village at tidewater which in a few years may become an aluminum | boom town of probably 50,0000 population 50 miles Skagway. Project This means the Alcoa project at | Skagway or Dyea, is off for the present. For the past four five years Alcoa has been inspecting the | propc project and James Grodin, Alcoa’s chief electrical engineer who | investigated, was impressed Last Thursday, at the regular meeting of the Juneau Chamber of | Commerce, Gov. Ernest Gruening told of the British Columbia action and subsequent abandonment of the | Skagway Dyea project but his remar )ff the record” and The Empire reporter respected this At the conclusion of his talk, the Governor, in e tossed the ball| to the Chamber and offered the| use of all the material on the sub- | ject available in his office But details of the abandonment | of the project, and the why, reached Anchorage and here is the editorial, | in part, appearing in the Anchorage Times of Tuesday, this week, Jan ary 9 under the caption “Develop- ment Project Scuttled:” Scuttling is Told One of the most staggering blows to the development of Alaska has | come in the loss of a $300.000,000 aluminum plant near Skagway. Cabinet rank federal officials af} Washington participated in a deal} under which United States funds will -be made available for the gigantic project to be located in | Canada, just south of the Alaska borde: The (lu\l\)lo -CTOSS. lEAGUE OF WOMEN VOTERS GIVEN INFO ON ALASKA POLITICS Members and guests attending the luncheon meeting of the League of Women Vote meeting, esday January ¢, in the American Legion Dugout, enjoyed an interesting and educational program. Mi ta Garnick, program leader on the formation of the political par- ties in Alaska and the preliminary preparations in the of Ter- elections, including quali- and how to file for Territory Due to the absence of Mrs. Ernest | Gruening, President of the Juneau | League, Mrs, Leslie B. Avrit, vice the meeting. | or s wel of a some badges aft deal has all the It came holding fications | to British Columbia ef | would the S| | velopment four years of preliminary inve tions had been conducted Skagway project had won of engineers, financiers, tors. It was recognized The Wpprova and opera- A one of the most feasible sources for a huge | hydro-electric power development the controlling factor in the estab lishment of a light metals industry The aluminum development in Alaska would have revolutionized the econamy of the . territory. It would have created a new city of 15,000 to 50,000 population. Ti would e opened the way for the de- velopment of a long list of new dustries as by-products of the main aluminum development The switching of the project to Kittimat, B.C., north of Prince Ru- pert and south of the Alaska border delays but does not kill the Alaska development. Unfortunately $300,- 000,000 developments are few and far between It is likely that the behind the aluminum decision maoy never be known in Alaska officials are accountable to no one in the territory. Alaska has no rep- resentation in Washington with th prestige and power to thump a fist reasoning |on desks of cabinet officers and de- mand answers to their questions, Buf Alaskans can speculate that big money made the decision. Ba on past experiences, it is reasonable to conclude that the big money found it for its own best interests to have the aluminum plant United States—perhaps for tax pur- poses. One thing is certain: the switch ild not, pos- sibly be for defense reasons. There is nothing to support such a belief. The Kittimat project will be more vulnerable to enemy attack than gway project Both the Skagway and Kittimat ave at the head of fjords. The fact that Kittimat is a few hundred miles south and east of Skagwa would make no appreciable differ- ence from the defense angle. An enemy able to reach one could, just as readily, reach the other. The big difference is in the physi- cal structure of the two power de- velopments, and Skag v has defi- nite advantages over Kittimat. The project in Alaska would have tun- nels through rugged mountains to bring water from interior lakes te the power plants on the shoreline. At Kittimat the waters would be impou by an open dam a ready ¢ et for enemy bombs If the aluminum plant were at Skagway or Dyea the enemy could fly many days over the sawtoothed peaks of the area and be unsuccess- ful in finding a place to drop a bomb that would destroy the power development. But at Kittimat, a few well-placed bombs could wreck the dam and leave the entire fac- tory without electricity to turn its wheels. the defense sites that the as must be recognized line in Alaska Is defense for Kittimat as well for* Skagway. That defense line 600 miles west of Skagway. It equally effective for either site The aluminum deal opens the way v questioning the sincerity of the federal government in its program for Alaskan development, By locat- ing this plant in the territory the government would have taken (he greatest step possible in expanding the economy of Alaska Meanwhile, Alaskans it 0, i see British Columbia developing new pulp milis while Ame: are suf- fering a series of crippling delay in similar developments in Alas Alaskans are justified in wonder- ng whether they must wait for the full development of British Colum before the United States will take an interest in her own soil and people this great northern rampart History shows that Alaska the rind when the States slices a melon. It has been that way ever since the purchase of Alaska from Russia in 1867 Has anyone ever heard of United States developing a natural resource in Canada when one of the 48 had equal resource bia always gets United states an | available for development? this de- s up There will be more on ak Skagway arms Federal | ini is ! the | in PRICE TEN CENTS orean front (OMMIES - ARE ALSO MASSING | ' Reds Building—Up Attack- ing Forces-Battlefront Uneasily Quiet (By the As ociated Press) Allied troops maintained a hold- | ing operation south of Wonju on | the critical central Korean front | today while the Communists massed in the The Reds were build- ing up a 285000-man force an { #pparent bid to cut off the mai |forces of the U.S. Eighth Arm; the road south of abandoned S Eighth Army headquarters called |the localized Allied counterattack { four miles south of Wonju | eesstul ration.” A patrol American, French and Duteh troops left 2,100 killed and wounded Red ! on the snow-covered bat- west, in a “suc- ¢ Koreans ]Vhll‘ul!l Gen. MacArthur's headquarters | said it 1 counterattack aimed {at throwing the enemy off | A seven-hour battle d |atter a tank-led U.S. Second Divi- sion patrol sneaked into abandoned | wonju ) communications hub, land then vo withdrew More the North Koreans ‘attacked the unnpunv size Allied | patrol outside Wonju on the read to {Chongju. Allfed reinforcements {were rolled up and the Reds broke {off the battle Wednesday night Reds Attempt Attack Amesican. Becansds Divisian troops clung stubbornly last night (Thu day) to a salient one and one-half ‘l.'|i||“\ south of Wonju on the critical central Korean front, but two Ko- rean Red divisions were attemptirig anking move from the north and st A spokesman with the Americans, who were bolstered by French and IDuteh troops, identified the Reds las about 20,000 men of the North Korean Sixth and Tenth divisions. The censorship withheld further details of this action, which was reported by AP Correspondent Wil- liam C. Barnard in a dispatc imed at 10 p.m., Thursday (5 a.m., Thurs- day, ‘PST) and received in Tokyo early Friday Attack Beaten Back A Second Division spokesman als said a Red force was beaten back { with 200 to 300 casualties when it tried to encircle a Second Division iunit five miles to the southeast on the Wonju-Chechon highway Otherwise, Barnard reporte | front was stabilized Thursday lonly some small-erms fire south of the wrecked and empty town of Wonji On that front, 55 miles 1of Seoul, the Reds lost an e 00 troops in an earlier fight that lasted seven hou On Diplomatic Front | While the battlefront was uneasily | quiet, there were signs of important {activily on the diplomatic front. London sources said the British { Commonwealth nations have pro- posed a high level meeting betw: the United- States and Commui China to discuss a Korean set ment. The proposed talks would be under United Nations sponsorship. | There was no indication whether the U or China would accept the | suggestion of the Commonwealth Prime Ministers The 60-nation Political tee of the UN. was marking awaiting developments of the Cc monwealth conference Premiers Meeting Earlier, the Commo [ miers were presented | ment of principles & | elgn etary Err | princip) supported being reviewed Commonwealth clude admission {the UN., reaffirmation of Cairo Declaration that said For {mosa would be returned to China, a timetable for the withdrawal of all foreign troops from Korea and the seating of Red China on a UN group set up to restore {litically and economically jen. MacArthur's headquarte | denied a news story by Keyes Beech | of the Chicago Daily News that the | UN. Commander had recommended withdrawal of UN. forces from Ko~ | rea. Beech said today his informa- tion came from authoritative sources and despite the denial he tand on the story was the with southeas timated s, a Commi time m. other are by the ‘They Chin: | leaders 1043 of Red to the l\\w'AM