The Daily Alaska empire Newspaper, February 26, 1951, Page 1

THE DAILY ALASKA EMPIRE “ALL THIE NEWS ALL THE TIME” VOL. LI\\\I NO 11,743 JUNEAU, ALASKA, MONDAY, B l\[ ARY 26, 1951 MEMBER A SSOC IATI D I’RES\ PRICE '1‘] CENTS Allled A dvance Bo SENATE FOR 5- CENT TAX ON CIGARETS Vote s 11 aon First Tax Boost Measure of Session By JiM HUTCHESON oted 11 to 4 today tax The Senate to boost the territorial cigaret to 5 cents a pack It was the first tax bill to be ap- proved by either house thi It goes now to the Hc The present tax is 3 cents a pack Under the proposed additional tax, the revenues would continue to go exclusively for school buildings. The only votes against the meas- ures were by the three southeast Alaska senators — Rep: ton Engstrom and and Democrat James Senate President Gun breth (R-Anchorage. Butrovich was absent. Supporters of the measure argued that the added aret tax is “the most painless way” to raise nes sary new revenue; that the smokers don’t complain about the tax, and that when the 3-cent tax was enact- ed in 1949 the retaile added 5 cents a pack to make a 25-cent] price. Opponents contended that tax wiil be passed along to con- sumers because retailers do not e enough profit margin to ab- sorb it; that there have been twoj wholesale cigaret price increases since the 3-cent tax was enacted and the retailers have obsorbed those out of their 1949 price boost. | The measure was introduced by | Scn. Steve McCutcheon, (D-Anch- | orage), who had proposed the 5-cent figure in 1949. Engebreth made the m ment session Sen. John the i | n argu- | against the tax boost. In ad- dition to the higher-price-to-t ! smoker arguments, he expres concern about additional b going to the Federal commis in the Anchorage area. He said such tax-fi chases by construction worke are eligible to use ti saries, might defeat the pose of the cigaret tax. The non-smoking senator added: i “The working man has few enough pleasures, so why should he have to pay such a heavy tax on his smoking?” { Sens. Frank Barr, Ed Anderson and Heinie Snider suggested the added tax might have a beneficial effect in cutting down on the amount of smoking. Tax Tobaeco Unchanged The tax on other forms of tobacco would not be changed. The tax on all forms of tobacco produced $442- 632 last year for the school build- ings fund. Sponsors have predicted the cigaret increase would add sev- eral hundred thousand dollars of revenue for the biennium. i When Engebreth contended addi- sed | (Continued on Page Eight) me ol The Washington| Merry - Go - Roun By DREW PEARSON (Copyright, 1951, vy Bell Syadicate, Inc.. 7 & WASHINGTON. Mobilization boss Charles Wilson will assume drastic powers over aluminum, cop- per and steel,, beginning the middie of June. He will put these stra- tegic metals under a controlled material plan, which will give the government authority to regulate their use down to the last pound. Wilson spelled out his plan be- hind closed doors to the joint congressional committee on defen production. “The controlled materials plar is one that will operate on scarce materials absolutely,” the mobiliz ticn boss explained. “I mean, will have the control of all material in the particular that is short.” However, Wilson added ruefull “Once you s to control things, it is a terrific job. That is why hate controls, and from the very bottom of my heart I hate con- trols.” The reason for a- the line s0e0uoo0coe e | this drastic con- (Cdfii{)x\;ed on Page Four) 2ecvecoco® e ha Air Force P¥C insistence of waiting GI's. from Racine, Wis much to the Stella Banoaveris, only girl at Grenier Air Force Base, i, a 600-man base, steps to the head of the chow line at the Through an Air Force snafu the WAF was transferred to the base on St. Valentine’s Day delight of the soldiers and confusion of the officers. The Air Force finally untangled themselves by ordering her trans- ferred to Otis Air Force Base, Mass. there” RATES ON to Con WASHINGTON, Second class mail covers the pub- lication field — weekly newspapers Hc the Po; 2RD CLASS T0 60 UP ITruman fo Send Message ngress en Subject —Goes io Key West mess ommending clas: Feb. told hi y he this es nan 5 tod: we inc in postal rates, use Spe stmaste been u € and other congre met with Mr, House declined to discuss cetails of | President’s expects to send to both Houses by Thur: Ra not be has been completed. . Al for more than a 3 cit in the such as’ daily and maga r Rayburn (D ional leaders Truman at the W message, which General ng an ncluding increase operations. was the la: leaves Friday West, Fla. of a A surve; list beverages. WEATE 0! before Mr. f * o o e o R REPORT Temperatures for 24-Hour Perfod ing 6:20 o'clock this morning In Juneau minimum, At Afrport 30; minimum, 2 light snow. Low temper 8: FOREZC -~ Maximum 18 11. Maximum, AST Cloudy and warmer tonight © and Tuesday with qccasional ture near 26. High Tuesday a © 33 degrees. PRECIPITATION (Past 24 hours ending 7:30 a.m. today 0n» ZRXe) ince 3 ity of Juneau Fel ). 1 v 1 — 46.67 inches; ~ N 1 —459 ir t Airport — None ince Feb, 1 — 218 inches seconc Donaldson | ate action. second class, to help offset | Postoffice Depart- | they thought the vote was to send “There are WAFS galore down aigllcd Stella at the news. “n‘uplmm, | LEGISLATORS PLAN SITKA TRIP AFTER SEMTE "N0" VOTE lature their il trip to the Ploneers' Home Sitka this riday and Saturday enate vote against it. The fu m to concur. 'lhr' Senate voted 9 to 7 Satur- th\ in favor of sending only a com- m e of seven for the inspection trip—four from the oHuse and three from the Senate. Opponents of the n contended it isn't and time involved. for session ex- appare! bieny |at despite a edit 16 money resolution worth ti The The legisla- and nancing the visitation. 1 to fly to Sitka Friday a return Saturday on the Baranof. The House voted for the trip despite protest by Rep. Glen Franklin (D-Fairbanks): “It’s not jreally an inspection; it’s mainly a pleasure trip.” There was confusion over the ac- he | tual vote in the House in favor of the Sitka trip. It was proposed that Sen. Joe Coble (R-Fairbanks), | | | a | ite burn told reporters he did|chairman of the Senate Territorial ve the draft of the message | Institutions Committee, be called {into the House to explain the Sen- When a voice vote was iing a message to it was unanimous. protested in | taken on | the Senate, Some members that a message for Coble to" come over, | sending a message of non-concur- rence to the Senate. Franklin ob- | Jected vigorously and the matter . was not wholly settled when the places milk at the top | House adjourned for the weekend. favorite American | It seemed definite, however, that the proposal of sending only a com- mittee was a dead one. ° Arguments in support of the trip o | Were that it is advisable for the o legislators to see the home opera- o !tions and the orthopedic hospital e 2t Mount Edgecumbe and that Lhe o Cldtimers at the home look Iurward e to seeing the lawmakers and airing o any ocmplaints they may have. Sup- e Dborters of the full junket said the o legislature could not act on import- e ant bills, ahyhow, with a committee o gone. ° Senator Coble made the Senate e motion for sending a committee. He e and some other senators argued o that it was a waste of time and o money for soc many to go when more and more bills were calling for action in the closing weeks of the session. They suggested there was no more reason for the trip to Sitka than a trip to inspect the University of Alaska at Fairbanks. Rep. W. W. Laws . . ° . . . © (R-Nome), e on Territorial Institutions, reported # 40 persons had signed for the trip. penses includes a $1,500 item for fi- . NEWSA[MON - TAX BILL I§ gged Down to Crawlin Their Offensive Failed INTRODUCED, Proposes Graduated Tax on All Salmon Caught in Alaska Waters By BOB DE ARMOND A new salmon tax bili - aimed particularly at the traps anG other gear catching salmon in quantities, but touching all salmon fishermen down to the rod and reel variety— was introduced in the House of Representatives this morning by | Rep. Andrew Hope of Sitka. The bill, as with other bills in the past that have been intended primarily for regulation rather than revenue purposes, sets up a gradu- ated tax. The tax is based upon the number of fish caught by each single unit of gear. And a single unit of gear, ccording to the bill, would mean each drift gillnet, stake net, set net, pile trap, floating trap, hand driven | trap, purse seine, beach seine,’ trol- { ling line, hand line or rod. | The bill would tax each fish | taken, but it is based upon the value ! of the fish as set by contract agree- ment or prevailing minimum prices. Tax rates set up by the bill are as follows: King Salmon: Up to 2500 fish, | one-half of 1 per cent of the value; | 2500 to 5000 fish, 2 per cent; 5001 | | to 10,000 fish, 10 per cent; over 10,- 000 fish, 20 per cent. Red and Cohoe Salmon: Up to | 5000 fish, one quarter of 1 per cent of the value; 5001 to 10,000 fish, 2 per cent; 10,001 to 20,600 fish, 10| per cent; 20,000 to 40,000 fish, 20 per cent; over 40,000 fish, 30 per ‘ccnt, Pink and Chum Salmon: Up to 25,000 fish, one-quarter of 1 per cent of the value; 25,001 to 50,000 fish, 2 \per cent; 50,001 to 100,000 fish, 20 per cent; over 100.000. 40 per cent. All receivers of salmon would, un- der the provisions of the bill, be ! requiréd to keep track of the num- !ber of fish received from each and every single unit of fishing equip- ment — including, apparently, each !individual trolling line — and to report the information to the Tax Commissioner. ‘The bill was referred to the Com- mittee on Fisheries of the House. Among the bills introduced in the House this forenoon were three by the Committee on Education: H.B. 76, relating to the term of office of school board members in incor- porated school districts; H.B. 177 authorizing the Board of Educa- tion to reimburse school boards for interest paid on money borrowed during the past biennium; H.B. 78, requiring physical examination of school children at least once during each school ye v An anti-fireworks bill, requested | measure. by many municipalities of the Ter- ritory, was introduced this morning | furnish security for the deposits of by Rep. Hendrickson. The bill would | municipal ard other public corpor- prohibit the importation, transpor-|ations passed by a vote of 22-1 after, tation, sale, possession, gift, barter,| Rep. Kay failed by a vote of 5-18 Today'’s meeting of the congres- | but Speaker William Egan held thedisplay and use of fireworks, except, to have it tabled so he could incor-{ sional group at the White House vote to have been on the issue of | by municipal and other public au-|porate the provisions of the bill inl Truman for a vacation at Key | thority. Exempt from the prohibition are paper caps for toy pistols and con-|argued that there is no assurance not more than one-tenth |that the taining grain of explosives in each cap. A new bill to regulate the real troduced this morning by Reps Hendrickson, Kay and Wilbur. This bonding of real estate brokers and salesmen. It is different than the bill previously introduced and de- feated in the House in that it does not create a Real Estate Board or require examination of brokers and dealers. \mlme under the terms of the new bill and would handle licensing. The Committee on Ways and Means introduced a deficinecy ap- propriation bill for the Department of Taxation in the amount of $50,- 000. | Up for consideration on this morning’s House calendar were bills to give police powers to Civilian De- fense officials and a technical bill relating to chattel mortgages. The former was held over !J. D. Alexander from “Anchorage. The second bill was the The Auditor of Alaska would bel ex-officio Commissioner of Realhhe extension of Marine Inspection | ent requirement that recipients of i Gen. Matthew Rn‘lz\un. (right), hand grenades strapped to each shoulder, is grim-faced as he views the bodies of Chinese Communist soldiers shot out of fox holes during the Reds’ abortive offensive in the Chipyong area. The 8th army commander made a first-hand check of reports that thousands of Chinese Communists were killed in the attack. (/ Wirephoto. of a Committee of the Whole hear- | ing presided over by Rep. Gunder- sen and during which Marshall Crutcher, Kodiak banker, took the stand. In another Committee of the whole hearing, presided over by Rep. Revnes and on the subject of amendments to the Old Age Assist- ance law, Henry Harmon, Director of Public Welfare, took the stand. The bill seeks to change the pres- i old age assistance benefits must be citizens. Harmon explained that the United States and many states do not require citizenship for such | benefits and that elimination of the requirement would result in a sav- ing to the Territorial treasury. About 60 people, he said, would be shifted from general relief—paid 100 per cent by the Territory—to old age assistance, in which the Federal Government participates. The bill was still before the House when it recessed for lunch. Saturday Afternoon A dull, calendar-clearing session of the House on Saturday afternoon saw the passage of several bills and memorials. Rep. Gasser’s bill until tomorrow on a 20-3 vote after the anti-vivisection and several estate business in Alaska was in-|for a $10,000 bonus for discovery of will would require the licensing anc [ore went sailing through on a 20-3 until | Tax Commissioner’s deputies power e chairman of the House Commmee‘Math 2 to await the return of Col.|to arrest fishermen who fish with- | Highway be kept open 24 hours a other sweeping provisions of the House Bill 45, allowing banks to a comprehensive banking bill. Rep. Stepovich, author of H.B. 45, comprehensive banking bill will pass. Rep. Miscovich’s bill to provide a uranium-bearing ore deposit and the production of 20 tons of the vote, with Conright, Johnson and Kay opposing. Kay made an unsuccessful at- tempt to up the appropriation to $100,000, “so we can pay more than one bonus if necessary.” House Joint Memorial No. 7, by MacKinnon and Locken, protesting Service requirements to Alaska fishing vessels was unanimously passed after Rep. Ed Locken made his maiden speech of the session to explain the measure. Also passed unanimously was the Gundersen-Barnes memorial asking that border stations on the Haines day for the convenience of the trav- elihg public. Rep. Carlson’s H. B. 56, giving 1legislators prohibitine | cruelty to arimals was held over| it had been considerably amended | to reduce penalties and to eliminate | COUNCIL ADVISOR ON GOVERNMENT CONFERRING HERE A consultant from the Council of State Governments arrived in Juneau over the weekend for a study of territorial governmental problems. He is H. Clyde Reeves, who has been revenue commissioner of Ken- tucky for several years, “He arrived Saturday for a week’s stay for conference with legisla- tors and government officials. The letter to Governor Gruening from the Council in advance of his ar- rival said he would confer about assistance “in developing plans, programs and legislation dealing with problems of taxation and fi- nancial management.” His visit was initiated by Senate President Engebreth after many had expressed an in- terest im getting advice during the present sessioon on what steps should be taken toward moderniz- ing the territorial government. WOMEN VOTERS LUNCHEON TUESDAY NOON, BARANOF | n on a model state con- ished b, the National | Municipal League of New ' York {City will be held at the Juneau League of Women Voters luncheon Tuesday noon in the Terrace Room of the Baranof. Leading the discus- ision will be Mrs. Mildred Hermann. Any women who are interested are to be made by calling Mrs. Ernest Gruening not later than Tuesday morning STOCK QUOTATIONS NEW YORK, l 'b. quotation of Alaska stock today is 3%, 106, American Tel. and Tel. 1577%, Anaconda 43':, General Electric 55%, General Motors 50, Good- year 73%, Kennecott 75%, Libby McNeil and Libby 9 Northern Pacific 35'%, Standard Oil of Cali- fornia 94%, Twentieth Century Fox 23%, U. S. Steel 44%, Pound 2.80%, Canadian Exchange Sales today were 144UUN shares. Averages today were as follows Industrials 223.18, rails 86.30, utili- ties 43.77. 26 — Closing Juneau mine American Can STEAMER MOVEMENIS Freighter Lucidor in port, sailing sometime tomorrow for Petersburg Baranof from Seattle scheduled to arrive 7 a.m. tomorrow. Princess Norah scheduled to sail from Vancouver Feb, 28. {out proper Territorial licenses was subject approved by the House. Denali scheduled to Seattle 4 pm, Friday. sail from invited to attend. Reservations are. (OLLAZO GOES ON TRIAL FOR Mud SEVENTH DIVISION "GOES ON Patrol Mee;i;«Rier, Anfi- Tank Fire But Reds Withdrawing By Associated Press Doughboys of the U. S. Seventh Division knifed ahead today on the right flank of the 8th Army offen- sive in Central Korea to-a point six miles north of Pangnim. A patrol of the crack division met rifle and anti-tank fire, but air ob- servers reported the Reds were with- drawing. Today’s action was the first time the Seventh Division, only American unit to reach the Manchurian bor- der, has been identified in combat since it withdrew from the Chang- jin reservoir to the Hungnam beachhead last December, Mountains Mud Bound The American Second Division, slogging north through the mud- bound mountains on the left flank of the Seventh, reached a point 18 miles north of Checon, its jumping off place when “operation killer” be- gan last Wednesday. The Second and Seventh were spearheading the cautious Tenth Corps advance along the mountain spines of Central Korea. Retreating Reds fought only rear- guard actions. Nevertheless they lost another estimated 1861 killed and wounded Sunday as UN forces advanced as much as 3'% miles. Reds Pullback The Red pullback from a threat- ened UN trap was so rapid that Lt. Gen. Edward M. Almond, Tenth WASHINGTON, Feb. 26 —(P— Oscar Collazo went on trial for his life today on a charge of killing al White House guard during an at- | tempt to assassinate President Tru- man last Nov. 1. The 37-year-old Puerto Rican Nationalist, neatly dressed in a dark brown suit, was brought to the courtroom of Federal Judge T. Alan Goldsborough handeuffed and un- der heavy guard. The handcuffs were removed, however, as he ent- ered the room. of death in the electric chair if convicted on either of two counts in the indictment against him. Collazo and a companion, Gris- elio Torresola, also a member of the U.S.-hating Puerto Rican Na- tionalist Party, tried to shoot their way into Blair House, temporary home of the President. Torresola and Pvt. Leslie Coffelt !of the President’s bodyguard were| | wounded fatally. \ JEWELRY STORE ROBBED; DISPLAY WINDOWS BROXEN | v A store window robbery at Simp- son’s jewelry store sometime be- tween 3:30 and 10 a. m. Sun(luy I appeared to be a professional job, according to Juneau City Police who are investigating in coopera- tion with the U. 8. Marshal’s of- fice, Frank Cavanaugh, assistant chief, said today. The two windows were while being pried out of their casings and glass is held for fing or 30 watches from display cases and in breaking a second window near the door took only a rings. Estimated value of the loot $2,000. All was well when a night wateh- man checked the store at 3:30 a. m. At 10 a. m. Ed Brehm noticed the broken windows in passing and notified John Satre. Police were called at 10:2! keld at Santa ach June. The Webster - Ashburton Treaty { settled the Maine-Canadian border lin 1842 after a half century of ! bickering. performers ouly Rosa, New Mexico, MURDER TRY Collazo faces a possible sentence | broken | vints, The thieves neatly removed | few ) is variously reported from $1,250 to: A full-ficézed rodeo for juvenile| Corps commander, called it “a vir- tual rout.” An estimated 14,000 Korean Reds yescaped as a giant Allied p\wcers | bogged down in deep mud left by 'heavy rains and an early thaw. They | continued to flee northward Mon- 'day — in groups of 100 to 1,000— Ipounded by U. S. fighter-bombers. ! 64,000 Casualties General Almo'nd said his Tenth Corps has inflicted 64,000 casual- ties on the Central Front since Jan. 14. The overall figures on the Eighth Army for the entire front put Red | casualties at 133,760 from Jan. 17 to Feb. 20. H SUN SPOTS EXPLODING; IS RARITY TOKYO, Feb. 26 —(M—Solar ex- plosions, the first “sun spois™ of Lhclr kind recorded here since the i Tokyo Astronomical observatory began operating 13 years ago, were | reported today. The explosions began at 9 am. Sunday and were continuing at | sunset today, the observatory re- I ported. A telecommunications official said commercial radio circuits be- tween the Far East and America tand Europe had been interrupted for as long as two hours at a time since the explosions began. The celestial electric waves re- search section of the observatory |said it had recorded what apparent- {ly was a split in the spots near the center of the sun. t Although sun eruptions are not rare, the observatory said it was the first time they had lasted more than 20 hours THE | WAS RIGHT ! SYDNEY — (4 Ignoring the in. scription atop the door of the Cen- { tral Methedist Mission—“And be sure your sin will find you out"-— a burglar entered the mission and robbed it. A few minutes later he was ar- rested by a policeman while sitting on a park bench coun his loot. { Farm experts hme r.:uud that | wire fences when properly grounded sometimes will serve as a protective device for cattle standing near them ldurm'z thunder storms,