The Daily Alaska empire Newspaper, May 3, 1951, Page 1

THE DAILY ALASKA EMPIRE § WALL TLE NEWS ALL THE TIME” | VOL. LXXVIIIL., NO. 11,800 — JUNEAU, ALASKA, 1T 'I]I'_Ilj”.\\'. MAY 3, 1951 MEMBER ASSOCIATED PRESS PRICE TEN CENTS - 3000 Red =] - - OUST ACHESON ~ BY PAY ST0P, - RESIGNATION Force Secretary of State Out-Two Ways WASHINGTON, May 3 — ® — A potent coalition of House Repub- licans and Southern Democrats is gearing up a drive to try to force the ouster of Dean Achéson as Sec- retary of State. Some adminisiration supporters are openly apprehensive the move | may succeed. Leaders of the coalition propose to deny any funds to pay Acheson's salary after June 30. They are even discussing tying up the whole State Department budget for 1952 until Acheson resigns or is replaced. The State Department’s 1952 bud- get, financing its activities for the HOUSE VOTES CUTINTERIOR DEPT. FUNDS l $22,600,000 Alaska | Roads - Sharp Cut WASHINGTON, May 3 — (A — The House voted without opposition yesterday $7,000,000 for Alaska Pub- lic Works, $20,0060.009 for construc- tion of roads in Alaska, and $2,600,- 000 for operation and maintenance of Alaska roads. They were included in the Interior Department bill. | Backing pleas for economy, the House voted $496,764,000 for the de- | partment in the year starting July 11, a reduction of $62,521,500 from | the $559,286,000 asked by Preii(l(’ntl | Truman. | This amounted to a 112 per cent | cut, the sharpest voted so far on any major money bills. Previously Habpy Family year starting next July 1, is due t0 | yoted were funds for the Treasury | come before the House late this Post Office and Labor Departments month. A subcommittee concluded | and the Federal Security Adminis-| hearings several weeks ago but has delayed sending the budget bill to the House floor. “We just are afraid to try it now,” one committee member who asked not to be quoted by name told newsmen: “They would tear it to| marked for construction of power! pieces in order to embarrass the administration.” Catholic Mother of '51 Named NEW YORK, May 3 — (@ — A Japanese-born mother — three of whose 13 children are U. S. war vet- erans — has been selected as the Catholic Mother of 1851. The winner is Mrs. Theresa Mat- sudaira, 49, of Seattle, Wash. Her selection was announced last night by the National Catholic Wel- fare Conference, which annually choeses the Catholic Mother of the year. Mrs, Matsudaira, who will receive a gold medal on Mother’s Day, May 13, was converted to the Catholic faith in 1929. Her husband, a Seattle restaurant worker, became a Catho- lic in 1942. Mrs. Matsudaira came to | the United States with her husband after their marriage. During World War II, she and members of her family were interned in Idaho. Twelve of her 13 children are still living, all in Seattle. PETERSBURG, Alaska, May 3 — (#— Striking cold storage workers here voted last night to continue handling fish landed by all local small Loats. The strikers explained that a ma- Jjority of the local fleet fishes “Area 2” and is unable to make the run to Prince Rupert or Seattle to un- load its chuch. Cold storage workers in most | tration. | In spite of statements by admin- | istration supporters that all power | should be developed to aid produc- | tion during the present emergenc: the House lopped off $9,450,000 ear- ! and transmission lines. | After approving the money items, { the House on a vote of 224 to 169 ;adopted an amendmenf by Rep. | Jensen (R-Iowa) to cut the depart- | ments personnel during the fiscal year starting July 1. Under this, no { more than 25 per cent of the job | vacancies that oecur canie palicd i except by transfers within the de- | partment. 4 The exceptions to this would be | various persons under the Indian | Bureau, such as school teachers, | medical personnel and law enforce- | ment officials. | No attempt was made to cut the $65,000,000 recommended for the In- dian Bureau. SENATE COM. OKS ~ SPECIAL CIVIL DEF. - PROGRAM, AlLSKAi( i ! WASHINGTON,'May 3 — @ — | A special Civil Defense program for Alaska was approved today by the Senate Armed Services committee. Senator Hunt (D-Wyo), who floor manager for the legislation | said it would permit the Federal | Government to put up “three or four dollars to every one put up by Alaska { for Civil Defense.” | Previously Alaska and other Ter- | ritories were required to mateh Fed- {eral funds on a dollar for dollar | basis. “Alaska presents many peculiar | problems for Civil Defense in addi- i!ion to being nearest Russia,” Hunt | said. “There are grert distances be- | tween its communifjss and most Robert Vogeler and his wife (left) pause for a family picture at the International Airport, N. Y., with their sons Bobby (left) and Billy and Mrs. Vogeler's sister Pia Eykens, on arrival from Vienna. Vogeler was reelased from prison in Hungary recently. (P Wirephoto, | ANTI - TRUST LIQUOR CASE IS DELAYED iSetflement Imminent as Jury Excused Unfil Fri- day-Case Bogged Down | ] { ANCHORAGE — Iof the government’s anti-trust cas a ! Liquor Dealers’ s five tions and five of their of- and 42 individual retail liquor ers appeared imminent today. Federal Judge Anthony Dimonc ed the jury yesterday until saying the “case has been continued . . . for good cause . . with both “parties agreeing.” Neither government nor defense attorneys would comment but Fed- court sources said the ted settlement of the price-fixing > to be announced Friday. The two government prosecuting att eys returned to Seattle yesterday and some evidence was re ned. Unconfirmed reports indicated charges against some of the defend- ants might be dismissed. Others were expected to plead nolo con- tendre (no contest). Case Bogs Down The trial began April 20 with pre- dictions it would last two months. However, it immediately bogged [ on | i y air i Southwestern Alaska ports are | transportation must. be by air in doyn in a morass of legal techni- strike for highér wages. 3y The Washington Merry - Go - Roun By DREW PEARSON | emergencies.” Hunt ‘said air raid shelters could not be dug into the ground because lzof a permanent frost and so must be constructed “into the sides of | hilts.” | Hunt said the Alaska Legislature | already has voted $400,000 for Civii calities that threatened to extend it longer. The defense fought hard to prevent introduction of almost every document that the govern- ment attempted to get in evidence. Monday the government succeed- ed in getting minutes of certain meetings of the association, as well . 1951, by Bell Syndicate, Inc., | (Covvright, 19 - | Defense and that under the Senatey, " copy of a letter sent to a liquor ASHINGTON. — Locked in the files of the House Foreign Affairs Committee is some dynamite-laden evidence by a former adviser to Generalissimo Chiang Kai-shek, which would be of great interest in the MacArthur-Truraan debate if it were made public. Secret testimony was given on April 6, 1949, before the Foreign| Affairs Committee by Maj. Gen. David G. Barr, former military ad- viser to Chiang. At that time Barr testified, among other things, that Chiang’s staff officers were incom- petent, lazy, derelict and in some cases downright dishonest. He des- cribed the surrender of some Mar: churian cities to the Communis by Chiang’s Generals as so suspi- cious as to raise possible doubts of a sell-out to the enemy. In some cases, Chiang’s stafi officers weve ! not even present when the troops under them surrendered. General Barr also told how greil (Continued on Page Four) bill the'amount of Federal aid woulg | be determined by the Federal Civi | Defense administrator. NICHOLS" DEATH IS REPORTED, NATURAL | KEY WEST, Fla, May 8 —@— A coroner's jury reported yesterday | that Stanley J. Nichols, former U | 8. Marshal at Fairbanks, Alaska, died of natural causes. | Nichols was found unconscious ir a tourist court February 12 and died five days later. His widow flew here from Fairbanks and requested an investigation of the death, saying dealer at Seward. Undercutting Advice The minutes named individuals who had been appointed to com- mittees to check on dealers re- portedly undercutting prices. The (Cuctinued on Page Two) STOCK QUCIATIONS NEW YORK, May 3 — Closing quotation of Alaska Juneau mine stock today is 2%, American Can 113, American Tel, and Tel. 156, Ana- conda 43!, Douglas Aircraft 52%, General Electric 56, General Motors 54, Goodyear 787%, Kennecott 77, Libby, McNeill and Libby 9'%, North- 18600, a watch and portable type-{ern Pacifio 38%, Standard Ol of writer were missing. Dr. Ralph Hertz %aid death was ! caused by a cerebral hemorrhage. | He reported no marks of violgnce on the body. A man who left a note in | Nichol’s room was sought for ques- | tioning but has not been located. California 50, -Twentieth Century Fox 21'%, U. S. Steel 456%, Pound $2.80’%, Canadidn Exchange 94.81%. Sales today were 2,060,000 shares. Averages iodny were as follows: Industrials 263.13, rails 85.71, utili- ties 42.60. gainst the Anchorage Retail [} LOSES Dorothy Bailey (above), who was thrown out of her $8000-a-year job in theU. S. employment serv- ice, lost her court fight for rein- statement by a 4 to 4 tie vote of the Supreme Court in Washing- ten. The court upheld the gov- ernment’s right to fire without a trial Federal workers suspected of disloyalty. P Wirephoto. Relafions Not Hurl Between U. S'L _Mexico‘ WASHINGTON, May 3 » — etary Achesor said today he knew of no evidence that the Sen- ate Crime committee’s criticism of Ambassador William O'Dwyer has hurt relations between the United States and Mexico, Acheson also told a news confer- ence, in response to questions, that he had no plan to confer with O'Dwyer as a result of the com- s year-long investigation and He said that if he thought there was any reason to remcve an am bassadpr of cou this would be taken up with the President. Asked whether such a step was planned on O'Dwyer, Acheson said with a smile that he had no comment to make on a loaded question like that. Then he replied with a crisp no to a question whether there was any evidence that developments have adversely affected U. S. rela- tions with Mexico. At the White House, meanwhile, Presidential Secretary Joseph Short told reporters he was unaware of any plan to recall O’'Dwyer from his diplomatic post. SEATTLE VISITOR Z. A. Neal of Seattle, yesterday on PAA and is at the Baranof Hotel. arrived stopping 10 WAIT FOR TESTIMONY WASE President [Gen 4 suade | fere GTON, May 3 — & — ‘rumdn said today that Douglas MacArthur had per- him at the Wake Island con last fall that the Chinese would not enter the Korean | The President was asked at his ‘n W erence whether he could {82y G MacArthur persuaded * the conference that the Chinese Communists would not en- | ter ine conflict. Mr. Truman said | speak for the others, he could not but he de- ed | “He pe { wome in | The ef executive asked that the ry wait until all the evi- | dence is in before making up its mind on his controversy with Mac- 1 et 1aded me they would not cou Wake Island Conference Reporters, after a series of ques- ! tions dealing with the conference |0 Wake Island last Ovtober 15, | esked the President if he was sur- ! prised when the Chinese Reds at- | tacked the UN forces in Korea. | Mr. Truman said he was not ex- | actly as surprised as he was sorry ee this happen. as Gen. MacArthur surprised?” eporter asked. MacArthur, the President was very much surprised. Intelligence Agency Mr. Truman said the general re- fused to permit the Central Intel- ligence Agency to operate in Tokyo il Gen. V7alter Bedell Smith, ite shief, made a special trip to Japan to persuade him. On Capitol Hill, MacArthur testi- fied that the Central Intelligence Agency felt last November there was “very little chance” the Chi- nese Reds would enter the Korean war on any major scale. The President was asked if he was confident that when the entire case is in, it would show he was justi- fied in removing the general from his Far Eastern commands. | Mr. Truman said that when the { facts are all in, the reporters would | know the answer. But he said he had | already given the answer. ALASKA NEEDS " TRADING STOCK ~ DUNN TELLS CC . baz said, ALASKA NEEDS Alaska prol s will be ‘featurec | at the next session of the Pacific Northwest Trade Associgtion meet- {ing at Missoula, Mont., in Septem- ber, Fred Dunn told the Juneau | Chamber of Commerce today at & regular luncheon business meeting He has just returned from a meet- | ing in Portland of that group wherc he represented the Juneau chamber Bob Ellis, temporary president of | the newly created Alaska Visitors asked that a chamber committee be | appointed to head a fund drive for Juneau to raise its share of the | funds to match the legislative ap- | propriation. | Dunn’s Report i Dunn gave his personal opinion | that while the PNWTA was work- |”" (Contanued on Page i . WEATHER REPORT Temperature for 24-Hour Period ending 6:20 o'clock this morning In Juneau — Maximum, 52; minimum, 35. At Airport — Maximum, 52; minimum, 35. FORECAST Cloudy tonight and Friday with light rain late tonight and Friday. Lowest temper- ature tonight about 38. High- est Friday near 52, ‘e e e PRECIPITATION ® (Past 24 hours ending 7:30 a.m. today ® City of Juneau — None; ® Since May 1 — Trace; e Since July 1 — 68.05 inches. e At Airpert — None; | ® Since May 1 — .02 inches; ® Since July 1 — 39.20 inches. (@ o @ o 0 0 0 0 o o i L Is Giving fe stimony On Korean Warfare; WASHINGTON, May 3 — (® — Gen. Douglas MacArthur said today he does not believe Soviet Russie is in position to “launch any pre- datory attack from the Asiatic con tinent.” The deposed Far Eastern com- mander gave that estimate to the Senate Armed Services and For- eign Relations commfittees inquiring into MacArthur’s dismissal and Far Eastern policy. MacArthur testified behind closed doors, but a censored transcript of his testimony was given to news- men. The general said he believes Rus- sian forces in Siberia “are largely defensive.” In this connection, MacArthur ob- served: “I believe that the Soviet has so often repeated the incorrect state- ment that we are planning to at- tack him that he has finally begun to believe it himself.” Russ Strength Deleted Senator Russell (D-Ga), chairman of the combined committees, called for an estimate by MacArthur on Russian strength in the Far East. Part of what MacArthur had to say on that was deleted from the transcript given reporters. In that connection, Senator Hugh Butler (R-Neb), on leaving the hear- ing earlier, had told reporters Mac- Arthur also said lre-doesfi’t believe Russia could move more troops east- ward because < the trans-Siberian railroad already is taxed to its limit, . The transcript recorded Ruw\hI as asking MacArthur about the ha: ard of having removed-all U. 8. ga rison troops from Japan to Korea when the war broke out last June. Japan Capture Doubted “If Russia had seen fit to have moved at that time, I assume they could have captured Japan, could they not?” Russell asked. | Japan could have been taken ex- Association, gave a pep talk and) “I would doubt it very seriously, senator,” MacArthur replied. He added that he does not believe | cept by an amphibious effort. Then he said: “As long as we held control of the sea and of the air over tha sea, I} would doubt that the Soviet Union! " would have been able to overrun!® Japan in any coup de main.” (A coup de main is a sudden and unexpected movement and attack). The questions of what Russia| might do in the Far East — and the Soviet capacity to act with strength there — are important ones in the whole controversy revolving about MacArthur. General Urged Blockade MacArthur has urged blockade of Communist China and ction against it because of the Communist move into the Korean fighting. The Truman administration’s po- sition is that the war should be con fined to Korea if possible — that the steps MacArthur propose might spread the war into a great conflict. The Russians have a treaty of mutual assistance with the Chinese Communists. Russian arms have been used by the North Korean Reds and the Chinese Communists but thus far there has been no evi- dence — at least none has been pub- licly disclosed — of direct Russian intervention in Korea. MacArthur First Witness Two Senate committees, meeting jointly, called MacArthur as first witness at a general inquiry into his differences with the admin- istration and the whole question of U. S. Far Eastern pglicy. Reporters were barred from the hearing room on grounds matters of vital importance to national curity might come out in the hear- ings. To inform newsmen, and through them the public, an arrangement was made to give out a censored stenographic report of. the testi- mony. This naturally, however, lagged far behind the actual progress of the hearing. MacArthur Praised ‘The first sections of the trans- cript disclosed that Chairman Rus- sell of the Armed Services commit- alr | | \ ® | tee opened the hearing with a gen-l | tradition,” he said. (ens@{p on Talk si msidered mentou eral statement that he them dealing with “m questions.” Russell went on then to MacArthur “one of the captains of history through threc armed conflicts” and as “a grea military leader” who has endearec himself to his countrymen. The first “take” of the “combed’ testimony disclosed MacArthur ther was asked about the unity of Ameri- can fighting forces in the Far He said it “has been as complet as I could possibly imagine.” “The responsiveness of each serv ice to the desire and wishe the other has been almost perfzction,’ he added. Cooperation Okeh In Korea, MacArthur went on there has been more than mere integration of the three U. S. ser ices — the Army, Navy and Air Force, X “It has been the integration of the forces of a number of nations, all of which had various compon- ents there,” he said “I would rate it as 100 per cent, and the only reason I do not r it higher is because I believe the mathematicians say 100 per cent is all there is.” No Prepared Statement At the outset, MacArthur told the joint committee he had no prepared praisc as grea ,steteraens, e said he had expressec his views fully when he addressed a joint meeting of Congress two weeks ago today, “I appear today,” the general said, “not as a voluntary witnes at all, but in response to requests of the committee, and T am entirely in the hands of the committee.” Russell remarked then that the lawmakers had received onflicting reports as to the battle efficiency of the South Korean forces.” Fine Korean Troops MacArthur said that “In courage and in determination -and in reso- lution the; re very fine troops.” “They lack the background of long “They lack an officer corps, which takes years to build up. They lack in the efficiency of long periods of training. “They lack in ceriain instance: and other deficiencies . But within the ph ical limitations that exist, I regard i them as very fine, indeed.” Spirit For Viectory MacArthur said Korean casual- ties, compared with the forces that were committed “reflect an indom- itable ¢pirit for victory.” “They are lightly armed and are at their best in what you might call the reconnaissance and exploitive features of campaigns,” he sajd. MacArthur and his aides were greeted in their arival at National Airport from New York by Senator. Bridges (R-NH) and Byrd (D-Va) as they came down the ramp from the four-engined Constellation, Ba- taan. In contrast to his previous visit here last month, when a crowd of more than 10,000 welcomed him with wild cheers, there was virtually no turnout at the airport today. FLASHES OUT AT TRUMAN WASHINGTON, May 3 w» Gen. Douglas MacArthur said today the way President Truman sum- ma fired him from his com- mands “jeopardized the nation’s in- terest.” Before Senate investigators, Mac- Arthur hit back hard in defense of his conduct of the Korean war and at the President’s dismissal of him The 71-year-old general said he did not question “in the sligh Mr. Truman's right to rec But he said the manner dismissal was another thing was relieved of command c ceipt of the order. “Being summarily way,” he said, “made to carry out directives working on at the He said he had to t to Mis successor, Ger who was 350 mile Korean front.” U. 8. Jeopardized Then MacArthur added hi: he re- of relieved that impossible that I wa ent.” ) these over al Rids on aw the (Continued on Page Tw a Planes Available for Kerean War TRUMAN SAYS|General MacArthur REDS LINE UP, SECOND BIG MOVE . -Hour Sii}mish Breaks Quiet on Front-New Blows Expected By Associated Press Sharp skirmishes broke the quiet of the Korean front today gs UN patrols probed Red forces building up for new offensives. The fights were fierce, but small scale. Two U. 8. F-80 Shooting Star jets were knocked down today by enemy fire in Korea. The Air Force said both pilots were presuged killed. Four ground clashes involved Al- lied tanks rumbling north from Seoul. An armored column drove back a Chinese regiment after a two-hour skirmish northeast of the shattered old South Korean capital. To the east, in the Pukhan river bend, tanks won a brief clash with Communist troops. Six-Hour Skirmjsh On the 'Central front Allied ground troops fought a six-hour skirmish with 150 Reds dug in atop hill. Communists kept the hill, tbut an estimated two thirds of them l\\'flw' killed, Action up to dusk Thursday was |light — as on the preceding day, one of the quietest of the war. Intelligence officers said three Communist divisions were getting ready to strike at Seoul fromghe norihwest. The enemy worked fev- erishly beyond thet range of Allied artillery. Other forces were building up in the hills around Hwachon Reservoir on the Central front, Reds Shift Attack | After their offensive was blunted iin the west, the Reds shifted their weight to the center of the penin- | sula. Lt. Gen. James A. Van Fleet, UN ground commander, said yester- day the enemy had failed in its spring drive objective but he warned the Reds were capable of striking another blow in an attempt to drive the Allies from Korean soil. Reds Building That blow may fall within days or weeks - no one knows except Red commanders, Enemy forces are poised in their favorite spot for a build-up — the wild hilly country north of Seoul and the rough ter- rain of the Hwchon area hide their movements and make it easier to infiltrate at night. The Reds gre reported to have 000 planes available for action. Three Communist night fighters were driven off by B-26 bombers in first appearance of enemy night fighters. ‘Marine Corps Increase Is Re(ommendgd WASHINGTON, May 3 — B — A permanent increase in fighting strenzth of the Marine Corps was recommended to the Senate today by its Armed Services committee. The group approved a force of not less than four full-strength combat divisions and four air sup- port wings plus necessary support- s forces. A ceiling of 400,000 w: placed in the bill — about twice the present strength. At the same time the committee recommended that the Marines com- mandant be given added authority in the joint chiefs of staff, now lim to Army, Air Force and Navy leaders plus a chairman. The commandant would be *“a consultant” on the JCS with the right to speak for the corps on Mar- ine matters. STEAMER MOVEMENTS Freighter Sailors Splice from Seat- tle scheduled to arrive Saturday. Baranof scheduled to sail from attle Friday. Princess Louisg scheduled to sail from Vancouver Saturday 8 p.m, Denali scheduled.to arrive Sunday at 3 am., southhound 4