The Daily Alaska empire Newspaper, September 27, 1951, Page 1

SONGRESS1O: _IBRARY VASHINGTON, VOL. LXXVIIL, NO. 11,923 Trumanls Sticking ByBoyle WASHINGTON, Sept. 27— B — President, Truman said today noth- ing has come out of Senate hear- ing to shake his confidence in William M. Boyle, Jr., the Demo- cratic National Chairman. Mr. Truman was asked at a news conferency whether his previous stand in support of Boyle had been changed by testimony before a Sen- ate committee inquiring into alleged influence on government loans. No, the President said, he hadn't changed his mind. Mr. Truman has repeatedly said he doesn’t believe Boyle has done anything improper. Questions at the meeting with re- porters ranged over a varxezy of subjects. In response to them, Mr. Truman said: 1—He is still hopeful of a settle- ment of the British-Iranian oil controversy. He would not discuss his exchange of messages with Brit- ish Prime Minister Attlee. 2—He is opposed to proceeding with the Niagara power project in- dependent of the St. Lawrence sea- way and power project. He will discuss these projects with Can- adian Prime Minister Louis St. Laurent in Washington tomorrow. 3—He has not decided yet on an appointee to héad up a new mutual security agency to handle the $7,483,400,000 foreign aid pro- gram. Asked if he planned to appoint his special foreign affairs adviser, ‘W. Averell Harriman, #fo the post, the President said he hadn't decided on anything in that regard. 4—Gen. Omar Bradley is flying to Tokyo and Korea for interviews with General Ridgway—a customary procedure that has been followed all along. Bradley Off, Korean Trip WASHINGTON, Sept. 27— (B — Gen. Omar Bradley, chairman of the joint chigfs of staff, left for Korea and Japan last night “to sur- vey all aspects of the situation” with Gen. Matthew Ridgway, United Nations commander. This was disclosed in mid-after- noon today by the Defense Depart- ment. Bradley was accompanied by Charles Bohlen, counselor of the State Department, who is one of the top U. S. experts on Russia. Bohlen’s presence suggested the possibility that the current stale- mate in truce negotiations in Rorea would have a high place in the subjects to be discussed. The- Defense Department, how- ever, described the Bradley trip as “one of the periodic visits that the members of the joint chiefs of staff make to overseas theatres.” Bradley has not been in Korea since the outbreak of hostilities. FROM ANNETTE Ledr. R. E. Emerson of Annette is registered at the Baranof Hotel. The.Washingion Merry -Go - Round (Copyright, 1951, by Bell Syndicate, Inc.) By DREW PEARSON ASHINGTON—Iowa Governor's Taxes—The problem of whether to prosecute the Republican governor of Iowa for income-tax evasion has been troubling the Democratic Ad- ministration in Washingtbn for months. At first the treasury debated if it should - send the case to the Justice Department, finally decided to treat the matter as routine. . the Justice Department is now giving Gov. William Beardsley a chance to come in and argue his case privately on or about October 10. This is a courtesy given every alleged tax defrauder before pros- secution starts. . .What happened was that Governor Beardsley “for- got” to include income from his drugstore and his farm. Further- more, his memory lapse continued for about four years. . .When the Treasury agent asked Beardsley for his records, the governor replied that he was “too busy/>—'‘come back later.”. . .Beardsley kept stall- ing and never did produce the re- cords, so the agent went to the governor’s bank where he found he had neglected to report about $50,000 over almost a four-year period. . .The Treasury agent, in reporting to Washington, pointed P e T R G | (Continued on Page 4) i William Boyle Takes Stand in ; His Own Defense WASHINGTON, Sept. 27 — (P — Senator McCl:llan (D-Ark) told Democratic National Chairman Wil- liam M. Boyle, Jr., today his pur- ported sale of his law practice “im- plies” Boyle may have used his political position for personal profit. Boyle denied it vigorously. At a Senate hearing, McClellan described as “unusual” the arrange- ment Boyle and Max Siskind, a Washington lawyer, had testified they made for Siskind to take over Boyle’s practice and pay him $150,000. McClellan said the fact they never signed any paper for the $150,000 sale “implies that there was an ar- rangement that you were to receive fees” in the guise of installment payments, The deal, McClellan asserted, “gives rise” to belief in the minds of some that it was an arrange- ment for “Siskind to do the work, and Boyle as the national chair- man to get $150,000.” But Boyle insisted the entire ar- rangement was entirely proper. Boyle specifically denied, too, that he used political influence in behalf of $565,000 of RFC loans to the American Lithofold Corp. He acknowledged that he did make an appointment for R. J. Blauner, president of the St. Louis printing firm, to see RFC Chairman Harley Hise about the loans on Feb. 28, 1949. But Boyle said he saw nothing improper in that. He added: “If a person seeks an appoint- ment with an official of any gov- ernmental agency or with mem- bers of the Senate or House, I feel it is not only proper for the staff of officials of the Democratic Na- tional Committee to make such appointments, but it is their duty to do so.” ‘Boyle was the climax witness at hearings by the Senate Investiga- tions subcommittee on charges that he brought political pressure to get the loans for American Lithofold after the RFC (Reconstruetion Fi-! nance Corporation) had turned down three applications from the company. In earlier hearings leading up to Boyle’s appearance, the Senators have developed that American Lithofold made gifts to government employees and paid thousands of dollars as commissions to various individuals who were listed as salesmen for it ‘although also em- ployed by the government. WASHINGTON, Sept. 27— B — William M. Boyle, Jr., acknowledg- ed today that he accepted eight law cases involving government agencies—with fees - estimated at $158,500—while serving as “acting chairman”. of the Democratic Na- tional Committee. From the witness chair Boyle heatedly disputed, however, sug- gestions by [Republican Senators that it was improper for him to do this. He said he was a practicing law- yer at that time and had a perfect right to represent any client before any government agency or in any court. “I never asked a favor from a government agency in my life,” Boyle declared. The cases in question were prior to August, 1949, when Boyle, former Kansas City lawyer, formally be- came the Democratic National Chairman. The Senators turned to these cases after , hammering questions first about Boyle’s statement that he sold his law practice in 1949 to Max Siskind, Washington lawyer, for $150,000. Boyle insisted the sale was entire- ly proper and swore he had never used his political power for per- sonal profit. Leaning across the table separat- ing them in the crowded hearing room, Senator McClellap (D-Ark) told Boyle nevertheless that the way the law accounts were transferred to Siskind, without any formal sales contraet, “implies that there was an arrangement that you were to receive fees” in the guise of install- ment payments. Stock Quotations NEW YORK, Sept. 27—{®—Clos- ing quotation of Alaska Juneau mine stock today is 3, Amerjcan Can 116%, American Tel. and Tel. 159, Anaconda 48%, Douglas Aircraft 59, General Electric 61%, Gen- eral Motors 51%, Goodyear 46%, Kennecott 84, Libby McNeill and Libby 9, Northern "Pacific 56%, Standard Oil of California 52%, Twentieth Century Fox 21%, U. S. Steel 42%, Pound $2.79 15/16, Ca- nadian Exchange 94.75. Sales today were 1,540,000 shares. Averages today were as follows: | industrials 271.31, rails 85.12, utili-| I ties 45.62. JUNEAU, ALASKA, THURSDAY. U. S. Makes Appeal in Iran (ase Truman Makes Reply fo Attlee’s Request for Aid; Tension High By the Associated Press The United States has appealed to Iran to cancel its order for ex- pulsion of British oil experts from Abadan, the great Iranian refinery center. The State Department, disclosing this today, also said the United States has advised both Iran and Britain that “it stands ready to render any assistance it can in help- ing them to find a selliement” of the Anglo-Iranian oil crisis. President Truman expressed the American point of view in a per- sonal message to British Prime Minister Attlee, which was de- livered through the American Embassy at London today. It replied to an Attlee appeal to the President yesterday. The State Department said the Amencun views were given to Iran (Continued on_ Pagc Two) Jim Smyth Removed By Truman; Another Incompetency Case WASHINGTON, Sept. 27— B — President Truman today suspended James G. Smyth, Collector of In- ternal Revenue for the first district of California, pending an investi- gation “relating to incompetency” in the conduct of his office. Presidential ~ Secretary Joseph Short walked into the White House press room to tell reporters the suap(nsicn is “eflecflve immedutc- Short made the announcement without further comment. Revenue Commissioner John B. Dunlap, who announced the suspen- sion of the eight others, said Smyth had failed to detect and stop “cer- tain irregularities.” Dunlap said Edwin M. Furtado, chief of the accounts section of the wage and excise tax division in the San Francisco office, has con- fessed post-dating tax receipts “in cahoots” with tax payers to avoid payments of about $5,000 in interest and penalties. Even as he was announcing these actions, Dunlap received notice from his investigators that Doro- thy C. Frisbie, an auditor in the San Francisco office, has been ac- cused of embezzling’ about $5,000 from the Federal Credit Union. Dunlap @announced the charges against her and signed an order suspending her immediately. Air Transport s Ordered fo Quit on Odt. 21 SEATTLE, Sept. 17— (B— Air Transport Associates officials re- ported today three out of four C-46 planes which the firm has been flying to Anchorage are idle here. It is the result, they said, of the Civil Aeronautics Board order for a suspension of the line’s operations by Oct. 21. The Board has charged ATA with making regular, or sched- uled, flights when it holds only a non-schedule operating permit. Duncan Miller, ATA general man- ager, said the crackdown against the firm has come at a time when re- zular air carriers have a big back- log of freight which they have been unakle to move north because of heavy traffic, “We moved more than 300,000 pounds of freight to Anchorage in August,” Miller said, “mainly per- ishable foods. .Our present 75 per cent cutback is working a great hardship on Alaskans.” He declared the CAB order is di- rectly contrary to a July recommen- dation of the Senate Committee on small business, suggesting an eas- ing of restrictions because of “the special need for cargo transporta- tion to Alaska and the lack.of al- ternative forms of low cost pas- senger - service.” ' — FROM CALIFORNIA J. A. Mitchell and A. 8. Downs of North Hollywood, Calif., are stopping at the Baranof Hotel, VISITOR FROM SEWARD- Ward Carroll of Seward arrived here yesterday on PNA from An- jchorage and is at the Baranof Hotel. “ALL THE NEWS ALL THE TIME” SEPTEMBER 27, 1951 MEMBER ASSOCIATED PRESS Deespite anxiety over the condition of her ailing father, Britain's Prin the evening before the operation on King George VI. Burma (right). Standing at left is actor Michael Wilding, co-star with {ntome Statements 'Now Demanded at Arfillery Truman's Requesi Members of Congress, H" Hard Top Governmént Offi- Navy, Air Force Joinin | (ials Hi Savage Atfack; Aerial | cials Hit by New Order Dog Fights Keep Up U.N. COMMAND, Korea, Sept. 27 —M—Navy and Air Force fighter- bombers today smashed home sav- age attacks on Communist artillery | jdug in on the rugged mountain slopes of eastern Korea. Red Base A'ASHINGTON. Sept. 27— (B ~ President Truman asked Congress |today to require its members and | all top government officials—incluc- |ing generals, admirals and judges— | to give a public accounting cach year of their total income. Mr. Truman said legislation aleng that line would help prevent “im-| | proper conduct” and “unfourded Thirty-two F-51 Mustangs and | suspicions.” 24 Navy Corsairs dropped napalmi In a lengthy message, sent to the | fire-bombs and high explosives on|Capitol in the mudst of a Senate Red artillery and mortar positions inquiry into charges of political in- in the “Heartbreak Ridge” area. fluence in government loans, the | Communist fire slacked off at|President sald: once. “In operations as large as those In the third straight day of aerial| of our government today, with so dogfights, 3¢ F-86 Sabre jets tangled | much depending on oificial action with 50 Russian-type MIG jet fight- | in the Congress and iu thé excc- | ers and damaged two of the Red| utive agencies, there ure bound to planes. One Allied warplane was| be attempts by private citizens damaged but returned safely to| or special interests; groups to base. | gain their ends by illegal or im- The Far East Air Forces re- | Proper means . ported this three-day battle score: Mr. Truman said he would favor Reds losses 26—five shot down, |cluding two probably destroyed, 19 dam- tional party officials and employees | aged. be among those persons required | Allies — One U.S. jet destroyed; | !© file annual statements.” one Australian jet damaged but The President’s own party chair- returned to base. man: William M. Boyle, Jr, was before the Senate’s investigating | Hits on the MIGs were reported subcommittee atthe moment. by Col. Benjamin 8. Preston of Specifically, the President re- Hollywood, Fla., and Maj. William commended to Congress the prompt T. Wisner of Shreveport, La. enactment of a law- - - Red artillery and mortar fire Will Hit Many still fell on the positions of Ameri- . . .which will require all full- can and French soldiers of the U.S. time civilian Presidential appoint- 23rd Infantry Regiment north of ces, including members of the fed- Yanggu. The Red barrage, one of cral hench; all elected officers of the the heaviest of the Korean cam- [ederal government, including mem- paign, kept the U.N. Infantry away bers of the Congress; and all other from the strategic high ground on top officials and employees of the the north-south ridge line. | three branches of the government— Sporadic Red Fire say those receiving salaries of $10,000 Sporadic Red fire hit Allied posi- or more, plus flag and general offic- tions atop a vital peak west of ers. of the armed services—to file Heartbreak. annually a statement of their total South Korean troops on the east incomes, including amounts over coast made a comparatively small and above their government sal- scale attack on a hill northwest of aries, and the sources of this out- Kansong. side fncome.” US. Fifth Air Force fighter-| Penalties bombers and light bombers struc He added: “Penalties for willful more than 50 Communist rail points violation of this statute should be and attacked up to 2,500 Red ve- equivalent to those for violation of hicles.. One of the largest truck the laws relating to the filing of in- concentrations was in the Kumchon come tax returns.” area, 20 to 30 miles north of Kac- The President also declared the song. Allied pilots said traffic ha: statements should be accessible to been heavy there for nearly a week. the public, Elks Beards Start Sproufing Monday Signs of the Days of '98 will start “the principle that na-| Princess Louise sails from Var couver Sept. 29, arriving at Juneau sprouting next Monday. Oct. 1. The “no shaving” proclamation Alaska scheduled to arrive south- Was issued last night at a regular bound Monday at 6 p.m. meeting of the Elks Lodge and Nov. Denali sails from Seattle Sept 24 is set for the annual Days of '98. 28, arriving at Juneau Oct. 1. A “kangaroo court” with the nec~ essary vigilantes will be in circu- ARRIVING ON ELLIS lation to enforce the proclamation. Arriving on Ellis Airlines Thurs-| Members of the Skagway Elks day from Petersburg was Charles Lodge and their wives will arrive The Princess Carries On i cess Elizabeth (second from right) carries on public appearance schedule as she greets actress Ann Neagle during London film premiere With the princess is Countess Mountbatten of Miss Neagle in the film “The Lady ‘With a Lamp,” depicting the life of Flurrnce Nl;htlnnle. » erephotn. Lose Io Bosfon BOSTON, Sept. 27 — (# — Boston slashed Brooklyn's National League lead to a half game oyer the idle New Yol Gltghsr tndey, sDrn 47 victory that snapped Preacher Roe's | 10-game win streak. Umpire Frank Dascoli chased catcher Roy Cam- | panella and then cleared the Dodger bench after an eighth-inning argu- ment when Addis was called safe at home with the winning run. Brooklyn has only three more games to play, at Philadelphia Fri- day, Saturday and Sunday while the Giants finish up with single fames at Boston Saturday and Sun- day. Here's the way they sfand: Games To W L Pct. Behind Play Brooklyn 94 57 .623 3 New York 94 53 .618 2 Tied 3-3 at the end of 7% innings, Addis led off the Boston eighth with a single. Sam Jethroe, who hom- ered and doubled earlier, sent Addis to third with a single. Earl Torgesan bounced to Jackie | Robinson whose throw to the plate failed to prevent Addis from scoring the winning run. Enraged at the decision, Cam- panella put up a terrific argument with Dascoli who waved him out of the game. After 8id Gordon hit into a double play, the Dodger bench continued to ride Dascoli After a conference with umpire Jocko Conlan, the Dodger bench was ordered cleared. Time was called while 15 Brooks walked to the clubhouse. With only manager Chuck Dres- sen and coach Jake Pitler left on the bench, the Brooks finally retired the side. It was Roe's first defeat since July 15 and his third of the season against 22 wins. Lefty Chet Nichols, a 20-year-old rookie, earned his 11th victory. RED SOX OUT ‘WASHINGTON, Sept. 27 — (# ‘The Boston Red Sox were eliminated from the American League pennant scramble today when Washington beat them, 8-6 to sweep a three- game series. The defeat bumped Boston six games back of the league leading New York Yankees with only five games remaining to play. BROWNS BEAT TIGERS ST. LOUIS, Sept. 27—/M—The cel- lar-berthed St. Louis Browns beat the fifth-place Detroit Tigers 7-4 today in a game that carried thc aspects of a wild sandlot contest. THe winning pitcher was rookie Duke Markell who chalked up his first major league triumph. DOOLIN LEAVING | John Doolin of the Pan American traffic department here | has been transferred to Seattle as|® Airways traffic supervisor. He leaves Mon- day to join his family already there. He had nmtoully been stationed Pickernall. Eight other passengers here for the celebration bringing were carried on interport. Itheir own “Soapy Smith gang.” in Seattle, == PRICE TEN CENTS New Draft Regulations 'Are Signed by Truman; ‘New Rules Laid Down Delegaies Give Reports on | | Northwest Meels At the Juneau Chamber of Com- merce meeting Thursday noon Pre- sident Herbert S. Rowland gave a report on the recent Pacific Northwest Trade Association meet- ing in Missoula and Jerry McKinley reported a road meeting with Can- adian officials in Vancouver, B. C. McKinley regarded the road meet- ing as exploratory and said he was impressed with the work the Can- adians have already done in photo- mapping the Taku and other areas Leing considered in a road program. He felt of the three possible routes from the Alaska Highway—Stikine, Skagway and Taku—that the Taku had the best chance. The Taku route was divided into three parts: Tulsequah to tidewyter for the, benefit of Tulsequah mining in- terests; Juneau to connect with that section; and Tulsequah to! Atlin to connect with the Alaska Highway. McKinley said that it was decid- ed for representatives to go to their varjous agencies to request the nec- essary on-the-ground surveys. A. F. Ghiglione, head of the Al- aska Road Commission who also at- tended the Vancouver meeting said that he was impressed with conser- vative Canadian attitude of looking highway construction. Canadians Go Get It Rowland pointed out that British| Columbia was attracting millions of dollars in American capital be- cause the Canadians go out and get #. “We have.the séme resources. here" he stated, “but instead of cooperating with the Pacific North- west we always look to Washing- ton, D .C.” . He said that in talking with transportation men at the Missoula meeting, it was agreed that Alaska offered unlimited tourist possibiilties but again in order to develop them, it was necessary for all parts of the northwest, Canada and Alaska to coordinate their efforts as one body. He listed the resolutions passed at the meeting and said a favorable impression was created by Alaska having a good representation at the meeting. A resolution will be drawn up re- questing a survey of a heavy-duty one-way mining road with turnouts and will be sent to the proper au- thorities. A letter was read from the Corps of Engineers, Washington, D. C., which sald that information sent by the Chamber regarding improve- ments of the Juneau and Douglas small boat harbors would be care- fully considered. Guests were Dr. Robert Shuler of Mt. Edgecumbe and Robert M. 3hield, Seattle architect. Fall Seining Season Will Open on Monday That the fall seining season for Southeast Alaska will open on Mon- day, October 1, was announced to- day by Howard Baltzo, assistant reg- lonal director of the Pish and Wild- life Service. The fall season for chums will close on October 6. Gus Helsinger, Juneau agent for the FWS returned yesterday on the Brandt after surveying streams and he reported that there is a good showing of fish. It is reported that only two canneries in southeast Alaska will handle chums this fall. Both canneries are located in Pet- ersburg and are owned by Kayler and Dahl, and 8. Einstoss. WEATHER REPORT (U. 8. WEATHER BUREAU Temperatures for 24-Hour Period ending,6:20 o'clock this morning At Alrport: Maximum, 51; Minimum, 29, FORECAST (Juneau and Vicinity) Mostly cloudy tonight and Friday with scattered light rain showers, Low tempera- ture tonight about 40. High temperature tomorrow near 40 degrees. PRECIPITATION @ (Past 24 hours ending 7:30 a.m. today I At Alrport None; o since July 1—8.85 inches. e 00600000 00 L | WASHINGTON, Sept. 27— (®# — | President Truman has signed new draft regulations which make child~ |less married men eligible for mili- | tary service. The Presidential action alsa makes other changes in Selective Service rules in keeping with the draft law passed by Congress last June. They range from including some dliens in the draft to lowering the volunteer age limit, ’ Of major effect, however, is the permission to draft childless mar- ried men, a change Selective Ser- vice officlals believe will make 500,000 men formerly deferred eligible for duty. Brig. Gea. Louis Renfrow, acting director of Sel- estive Service, sald about 200,000 of this total may be drafted. The new rules are 1or the guid- The new r"ullthu for the flfit time also: 1.—Make aliens living perman- for economic factors to justify aucn'efluv in the United States lable |for the draft. They are exem; only If they are citisens of one $ the 20 countries having exemption ‘treaties with 01. u. if they are 2.—Allow 1 with the of'guardiai; T was 18, 3.—Force _consclentious uhnchn to do some work of national im- p:;tuncc for two yem i mllally "able. 4.—Spread . the dnn through age groups to lvq:ly helvy call-up of young men, 5—Lower physical stendards to ""‘m of January 1045—tHe lowest point in World War Il—and mental roqulrcmunun p g 6.—P; accordir 0 tary sel y Consfiudnon Program for 1952-1953 Will Soon Be Announced by TiO ANCHORAGE, Alaska, Sept. 27— (—Enlisting bidding interest among new-blood contractors for corps of engineer . construction contracts in Alaska is the purpose of Gil Pearson, technical information officer, at the Alaska District Engineer's Office here. Proposed construction plans for the 1952-1953 sesason soon to be - revealed in getail are sufficiently troad in scope to interest most types of contractors, here and throughout the states” Pearson said.today. “Stateside contractors. . should understand that most construction problems, peculiar to Alasks by reason of climatic conditions, have been solved during the past four years of the current building pre- gram. Many facilities to contract- - ors are available on the Alaskan corps of engineers projects. These and other illuminating details ap- Pear in the 1952-1953 prospectus of The technical information office of the Alaska district engineer was ¢ activated last April for the purpose of bringing illuminating facts on Al- askan construction to the attention of contractors, engineers and arch- itects. The TIO method of reuhku pros- pective bidders is to disseminate last minute construction informa- tion through 18 Alaskan newspap- ers, 8 Alaskan radio stations, 4 Se- attle newspapers, the United Press, the Associated Press and 63 con- tractor and engineer stateside magazines. “Fifty one contractors ‘are cur- rently engaged in contracts here”, Pearson pointed up. (Continued on Page Eight)