Dimout
Tho Inside
Your couplets morning
newspaper. The Statesman,
ffera yos pertinent com
menta on war new of , tho
day by BJrke Simpson.
Washington analyst. .:
Wednesday sunset 6:19
p. m. Thursday sonrise 8:30
a. m. Weather: Mon. max. A
temp. , 52, mm. 38. Mon.
rain JE1 In. Toes, river 7 ft.
Weather data restricted by
army request.
vvj
PCUNDSD 161
NINETY-SECOND YEAR.
Iein, Oregon Wednesday Morning, February 3, 1943 .
: " T" , , -
Prlcei 5c
No. 231
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TF1T L '
Jobless
Benefits
Trouble
Dentistry Proposal
, Given Opinion of
Unconstitutional' "
By RALPH a CURTIS
. Virtually rid of one source of
'controversy when the attorney
general's office furnished an
opinion that the proposal to set
up a dental association as a state
agency w a s unconstitutional,
the Oregon legislature faced
trouble from another quarter
it Tuesday when employers and la
bor spokesmen failed to agree up
on a truce under which the un
employment compensation law
would be left "in status quo."
". The dental association bill, the
opinion declared, is invalid in so
far as it attempts to set up a sep
arate agency and delegate to it the
police powers of the state.
Meanwhile the legislature's
Joint ways and means commit
. tee demonstrated both its In
dependence and Its accord with
Gov. Earl Snell's suggestion for
. creation of a 15-man commis-
- slott to deal with post-war preb
. lens, by reporting- oat the ad
. ministration bill on this sub-
- Jeet with a "do pass recom
mendation, bat with the initial
appropriation reduced from
125,000 to 510,000. The bill con
tains, however, a provision that
the legislative emergency board
; may authorize farther appro
priations as needed.
Sen Dean . WalkerPpIk, recall
ed the state's unhappy experience
with a "state planning board" and
suggested that the appropriation
be kept to a minimum at first,
then expanded as the situation
might demand.
The movement to avert another
fight over unemployment compen
sation two years after the present
law was adopted, apparently end
ed in failure Tuesday afternoon
when a committee representing
25 groups of industries informed
the senate industries committee it
could not accept the offer of labor
representatives to ,let the UCC
law alone for another two years.
The employers' committee said it
bad been so instructed at a meet
ing in Portland.
As a result, AFL and CIO
spokesmen made it known that
they plan to introduce their own
bills on the subject, and this is
expected to be the lineup:
. Employer bills: Freeze the tax
rate employers pay for unemploy
ment benefits between 1 and 2.7
per cent of their'payrolls, elimi
nating the "penalty rates" up to
4 per cent which apply when the
state fund drops below 6 per
cent of total "covered" payrolls.
This bill has already been intro
duced. Restore the seasonality
formula as it stood before' the 1941
amendments, and restrict payment
of benefits to workers indirectly
Involved in labor disputes.
AFX, bills: Abolish experience
rating, forcing all employers to
'; pay 2.7 per cent; reduce the
'waiting period from two weeks
": to one week; extend the benefit
period from 16 weeks to : 20
weeks. . y-.
' : CIO bills; Eliminate seasonality;
provide weekly benefits of $3 for
a, wife and 52 for each child in
addition to the regular compen
sation; split benefit checks on the
even dollar.
Explaining the employers view
point, Orville Miller, president of
the West Coast Lumber associa
tion, said the threat of a return to
penalty rates is driving indus
try away from Oregon and into
the neighboring states where 2.7
is the maximum. Labor spokes
men retorted that Washington and
California do not have experince
rating, employers paying uniform
ly Z.7 per cent. (
- (Additional legislative news to
day on page 6.) . -4
4 Million Nazis Head
- -NEW YORK, Feb. 2 The
New York Times said Tuesday
night in a dispatch from London
that more than 4,000,000 German
soldiers are estimated to have
been killed, captured or perma
nently crippled so far in this war.
The figures were assembled by an
intelligence section of a .United
nations general staff from insur
ance statistics smuggled out of
Germany and on expert estimates
In London, the dispatch said.
Soviets Smash Germans
Before Stalingrad In
3 Weeks; Loot Heavy
By the Associated Press
' i LONDON, Feb. 2 The red army has smashed completely
the flower of Adolf Hitler's axis army, 330,000 troops at Stalin
grad, killing more than 100,0,00, and capturing 91,000 of them,
including a field marshal and 23 generals, in the last three weeks
to mark a definite turning point in the war.
. "A special communique recorded here by the soviet radio
Asked
On Income Tax
Strayer- Advocates ;
- Repeal of Surplus-For-Schools
Law
Reduction of state taxes "to help
win the war" by eliminating the
income tax for two years and re
pealing the initiated law distribut
ing the surplus to school districts,
was advocated by Sen. W. H.
Strayer at a hearing before the
house taxation and revenue com
mittee Tuesday afternoon.
But C. C. Chapman, editor of
Oregon Voter, countered with an
assertion that this program offered
LEGISLATIVE CALENDER
Third readings Wednesday:
In Senate: SB 56, 57, 65, 73, 78,
34, 40, 55. HB 18, 83, 99, 122, 125,
143, 128, 132, 133.
In House: HB 2, 180, 198, 203,
207, 219, 241, 245, 254, 265, 276.
SB 60.
no real saving, since what income
taxpayers didn't, pay, school dis
tiict property owners would. have
torpayv
- That the : diversion-to-school
law was passed under "misrep
resentation and misunderstand
ing was charred by Sen. Stray
er, who read from pamphlets
circulated in the campaign.
"When you get through," he de
clared, "it won't be the bill the
people passed. It is no more sacred
than any other statute." He re
ferred to amendments which the
(Turn to Page 2 Story A)
Bombers Raid
Rabaul Fourth
Straight Day
ALLIED HEADQUARTERS IN
AUSTRALIA, Wednesday, Feb.
3.-CiP)-New Britain island, one of
the big Jap bases from which the
enemy could be loosing his latest
announced offensive in the Solo
mons, has been raided by allied
planes, Gen. Douglas MacArth
ur's noon communique disclosed
Wednesday.
In Open bay, a single allied
bomber swooped low over three
power launches loaded with
troops and caused considerable
casualties while at Rabaul, in the
fourth straight day of pre-dawn
raiding, formations of heavy
bombers concentrated on Vanak
anau airdrome.
: General MacArthur's noon com
munique also reverted to the re
cently closed campaign in the
Papuan peninsula of New Guinea
where a Jap army which once to
taled 15,000 was destroyed or
routed. '
The communique said that 158
Jap stragglers have been tracked
down and captured or killed.
, Below Salamaua, New Guinea,
in the Mubo-Wau area, where
there was a flurry of ground ac
tivity last week, a formation of
Bostons (attack planes) subject
ed Jap troops and installations to
a 30 minute bombing and straf
ing attack. r .
t In the i northwest sector, near
Lolabau island, a 3000 ton Jap
cargo ship was hit amidship by a
heavy bomber and last was seen
heading - for shore, as if to be
beached. One of the two barges
it was towing sank.
Groundhog Crawls
Back for 6 Weeks
, . i
i Deciding to call his umbrella
a sunshade, the groundhog paid'
; a brief visit to Salem on Tues
l day, crawled back Into his hole
t and fuel merchants reputedly '
; did a landofflce Business ? as
, superstitious residents of the
capital city prepared ' for six
weeks more of winter.-?
; JV"Next i year"; wise shoppers
remarked, "he wont have an
umbreUs and maybe , well
want him for meat.' .
monitor told of the triumphant
Russian victory which releases a
flood of additional red army di
visions for heavier blows 250 miles
to the west where the Soviets are
pushing into the Ukraine toward
Kharkov and surrounding Rostov
on the sea of Azov.
Aside from the hare territer
lal strides of the Hessians, the
' destruction of axis troops and
equipment was regarded as
even more Important In the al
lied fight to force Hitler to his
knees.
Tremendous masses of enemy
equipment has fallen into Rus
sian hands in Germany's unsuc
cessful effort to fulfill Hitler's
vow of last September that Sta
lingrad would be taken.
In all more than 2500 officers
were captured, the Russians said.
Field Marshal Friedrich Paulus,
commander of the nazi Sixth ar
my, surrendered last Sunday to
the Russians along with 15 axis
generals. Tuesday night's bulletin
telling f the end of the historic
battle atu-oced that Col.-Gen.
Walther Heitz, vnmander of the
Eighth army corps,' "55jGen. Strei
cher, commander of theIJth ar
my corps, and innumerable oi-hr
officers had put down their arms.
The Germans already had ac
knowledged the end was near, and
nazi propagandists in their home
land were exhorting . the people
to total mobilization,. , . , t
(ADoarentlv nrenarin in co-
knowledge toe fall of the last
uerman forces at Stalingrad, the
German radio announced Tuesday
night that the encircled group had
sent out its last radio message
Tuesday afternoon.)
"Today trooDS on the Don frnn
completely finished the liquida
tion 01 tne uerman fascist troops
encircled in the area of Stalin
grad," the communique said.
"Our troops broke the resist
ance of the enemy encircled to
the north of Stalin era
him to lay down his arms."
The bulletin said "trophies are
still beintr counted in
biggest battles in the histnrv
wars," but listed this booty cap-
lurea since January 10, when the
final push began:
Fifty six locomotives; 1125
railway cars; 750 planes; 1150
tanks; 6700 guns; 1462 mortars;
8125 machineguns; 90,000 rifles;
61402 tracks; 7369 motorcycles;
480 carts, tractors and trans
ports; 320 radio transmitters;
(Turn to Page 2 Story B)
Cypres Sees
Churchill
LONDON. Feh 9-a r:
Minister Churchill's trip to Tur
key, viewed with keen interest by
the Russians, included 9 t.,
at the isle of Cyprus where he an
nounced fus pledge of aid to the
Turks' "defensive security" and
promised eventual deliverance of
Greece "from foul bondage and
tyranny."
Russian interest was nnted i
the fact that Moscow broadcast
Tuesday the full text nf the Rrit.
ish communique on the prima
ministers trip. It was sent over the
air at dictation speed for the Sov
iet press and thus was made avail
able for publication throughout
Russia.
The ministry of information dis
closed that Churchill had stopped
at Cyprus to renew his promises
of arms and assistance against the
axis. For audience he chose a peo
ple whoso mixed nationalities and
history typify in many ways the
whole Bank an problem. ;
Canadian Soldiers
Arrive in Afrjca
ALLIED HEADQUARTERS IN
NORTH AFRICA, Feb. ; 2 (a3)-A
second detachment of officers and
non-commissioned officers from
the Canadian army in Britain has
arrived in north t Africa to gain
battle experience 1 alongside units
of the British. First army in Tuni
sia, it was disclosed. Tuesday
night.
The first detachment arrived a
month ago. -
? Representatives from the infan
try, artillery and armored regi
ments, and , supply' services were
included In the new group.
Deferred
- i
Workers
- . - ... . t
Warned I
Dependents Won't Be
Excuse From Draft?
Non-Essentials fisted
WASHINGTON, Feb. 2-()
The government Tuesday warn
ed hundreds' of thousands of
American workers to expect no
further draft deferments, re
gardless of their number of de
pendents -unless they iind
more essential jobs.
It told men in 29 occupations
that, even thouglT'they have! five
or six children, they must ! find
war-important jobs by spring or
face induction. The "non-essen
tial" occupations affected range
from bartenders to gardeners and
waiters.
And Uncle Sam informed 26
kinds of businesses from ear
tain makers to tobacco vendors
that their physically fit male
workers from 18 to 38 will soon
be doing more vital work -or
shouldering arms. '
This is "just a beginning"
Manpower Commissioner Paul
McNutt declared. The lists will
be explained later. McNutt Indi
cated 'all dependency deferments
would eventually be eliminated.'
"By the end of this year 10 out
of every 14 of the able-bodied
men between 18 and 38 will be in
the armed services'. McNutt 'said.
(There are about 22,154,000 men
in this age group; many of these,
of course, are not able-bodied.
McNutt served notice, too,! that
the present 37-year-?r .top on in
ductions may; be increa&i(-a hy
Selective services boards were
instructed to start April 1 recon
sidering the status of the newly
designated "non - deferrables".
However, any of these workers
who have registered with the US
employment service in an effort to
get more war-important jobs will
have until May 1 to find their! new
places. $ I
In effect. Informed quarters
said, the new order means that
disappearance this year of the
5
3-A draft classification that of
men deferred from Induction
because of dependents. Me
Nntt's ld-out-of-14 statement
means, these sources said, that
selective service also will have
to enter this year the 3-B clas
sification that for men with
dependents engaged in activi
ties essential to the war or; es
sential to support of the war.
Draft boards were instructed to
use "common sense in reconsid
ering the reclassifications of; reg
istrants in the kinds of works
which are "non-deferrable." j
The occupations, classed as I non
deferrable regardless of the ac
tivity in which they may be
found, are:
Bar cashier, bar bay, bartender,
bath house attendants, beauty op
erators, bell boys, boot blacks, bus
boys, butlers, charmen and clean
ers, cosmeticians, custom r tailors,
custom furriers, dancing teachers,
dish washers, doormen and Start
ers, elevator operators (passenger
and freight, excluding industrial
freight elevators related to pro
duction), elevator starters (pas
senger and freight), errand boys
(including messengers and Office
boys), fortune tellers, including
astrologer, clairvoyant, mediums,
mind readers, palmist, etc;;; gar
deners, greenskeepers, ground
keepers, housemen, hairdressers,
lavatory attendants, messengers,
errand boys, newsboys, night club
managers and employes, porters
(other . than in railway service),
private chauffeurs, soda dispen
sers, ushers, valets, waiters (oth
er than those fa railway train ser
vice) . i "
Also non-deferrable are all job
occupations in these activities: :
Manufacturing--Curtains, drap
eries, and bedspreads; pleating,
stitching, tucking and embroider
ing; trimmings, stamped art goods,
and art needlework; cut, beveled,
and etched glass; cutware; ; glass
(Turn to Page 2 Story !j G)
RAF Hits First
February Blow -
LONDON. Feb. t (JP) RAF
bombers attacked 'Germany
Tuesday night for tho first tune
this month. It . was . stated au
thoritatively Wednesday.' i
. In - the ' last previous , night
raid, last.. Saturday night, they
smashed at Hamburg and tax
gets in western Germany.':
This Is the battlefield on the banks
Inhigrad,-according to official
Food Ration
Dates Set
February 20 to End
Sales Until March
1 ; Signup Slated -
WASHINGTON, Feb. 2-&P)-
Public sale of canned fruits and
vegetables will ' stop throughout
the nation . at . midnight February
20 and will resume on a tightly
rationed basis March L ,
These official dates for starting
the drastic innovation in grocery
shopping were - announced Tues
day,, night by the office 'of price
gdxhinistration. The - order also
applies to all frozen fruits and
vegetables, dried fruits (not dried
vegetables) canned soups and
canned baby foods.
Canned goods rationing will In
volve a dual currency system.
Starting March 1, every time the
housewife goes to the store for
canned goods,' she will have to
pay . not only the usual money
pricey but also a value in coupon
points. "
The eight days between Feb
ruary 20 and March 1 will be used
for two purposes.
Grocers will stock their stores,
mark point values, on either cans
or counters, train employes in the
rationing method, and make other
preparations.
The public will use the period
to line up at schools, churches and
other public places to get new ra
tion books. This registration, to
be handled by 1500,000 volunteer
clerks, will begin February 22 and
run for six days. 7
Sometime - during those eight
days, also, OPA will announce
what the point Values of different
cans, frozen packages,, or dried
fruit packages will be worth dur
ing March (values may ' change
from month to month.) To an
nounce these values beforehand,
officials said, might tempt the
public to hoard those types of
foods which will cost the most
points. '., .- ' 1
Nazi Admiral
The German raZlo was quoted as
announcing that Adm. Karl
( Doenltx (above), eemmander of
the nasi U-boat fleet, had been
named commander-in-chief of
- the German navy,'- succeeding
- Grand Adm. Erich Haeder. As
' sociatcd Press Telemat. -"
Battlefield at ILenirigrad
of the Neva river where Russian
Russian sources. AP Telemat by
Home Again
i
1
' MAJ. DOUGLAS SHARP
Douglas; Sharp
Has Leave
From Pacific
, PORTLAND, Feb. 2.--Maj.
Frank" Douglas - Sharp, 28-year-old
air squadron leader from Sa
lem, returned to Oregon Tuesday
on a ' 15-deay leave after more
than a year's absence.
He has spent months in the Pa
cific war theatre,) piling up 155
hours of combat flying time. His
best known feat was the bombing
attack on Rangoon July 20 in
which 23 Jap Zeros attacked his
Flying Fortress. -
In a two-hour battle, four Japs
were shot down, one of Sharp's
gunners was killed and four oth
er crew members wounded. Sharp
maneuvered the badly crippled
ship over friendly territory, or
dered all except his co-pilot to
bail out, and then crash-landed
safely in the jungle.
He was met at 1 the airport by
his wife and three- year - old
daughter, whom he had not seen
In 13 months. !
Major Sharp is the son of Mr.
and' Mrs. Frank D. Sharp of Ev
ergreen avenue, Salem. He is a
graduate of Salem high school
and attended Willamette univer
sity. Mrs.' Sharp, ; jr, the former
Enid Winnmgham, and their
daughter reside in Portland. .
24 per Cent
Tax Proposed
WASHINGTON,1 Feb: 2 HfPr
A plan to take a total of perhaps
24 . per cent (after deductions)
from the pay envelopes of Ameri
can income taxpayers was pro
posed Tuesday byj the treasury. -
.The aim, it was explained, is to
put the country's vastly enlarged
income tax system on a partial
pay-as-you-go basis, but the trea
sury registered its: unrelenting op
position to the Ruml plan to skip
1942 taxes altogether. It suggested
that the some of the 1942 tax
might be - "deferred and some
forgiven.. . ) . , , K'
The 24 per cent would include
the present 5 pec cent victory tax.
Nineteen per cent represents the
income tax rates j that are appli
cable to ' most; of the 44,000,000
American taxpayers those whose
incomes after exemptions and
credits do not exceed $2803. - -
troops broke the nasi siege ring at
radio from Moscow. . .
Advance Units
Busy in Africa
Eighth Army Pushes
West; American
, Troops Strike
LONDON, Feb. 2-(ff)-The first
activity by advance elements of
the British Eighth army which
crossed the border in Tunisia last
week was reported Tuesday night
from Algiers, indicating that Gen.
Sir . Bernard ; L. Montgomery's
forces may be getting ready to
strikejrt. he German army of
pieJd. Marshal,,'Erwin Rommel
from the south. '
The Algiers radio reported the
British units were patrolling be
tween Ben Cardan e, an Important
axis airport inside, the Tunisian
border from Tripolitania, and
Matmata on the other side of the
Mareth line, behind which some of
Rommel's forces are believed to
be fortified.
However, a British military
commentator said that although
It Is possible the . patrols are
working in the Zelten region
, there Is no confirmation . here
that they are deep In Tunisia, as
Algiers reported.
A French' high command com'
munique reported that German
attacks east of Ousseltia had been
; (Turn to Page 2 Story E) .
US and Britain
Rush Weapons
For French
By WILLIAM T. PEACOCK '
WASHINGTON, F e b. 2.-ff)-President
Roosevelt made known
Tuesday that the American and
British governments are going to
rush modern weapons to : North
Africa for a French force of 250,
000 under Gen. Henri Giraud.
The chief .executive mentioned
this decision ' in reviewing, at a
press conference ; that lasted 46
minutes, his momentous meetings
at Casablanca with Prime . Min
ister Winston Churchill and at
Natal with President Getulio Var
gas of Brazil. "...
He emphasized that: . :. "; '
(1) The Casablanca conference
primarily was a military one, con
cerned - with questions of where
and how to strike the axis,, and
produced a unanimous agreement
among, the Anglo-American lead
ers and their, military advisers,
, (2) Premier Stalin of Russia
and : Generalissimo Chiang Kai-
Shek were kept fully ' informed
and there have since been exchan
ges - between . Mr. Roosevelt and
the soviet leader. The president
said those who had asked why
Stalin and Chiang did not attend
might have stopped to recall that
Russia Is not at war with Japan
(Turn to Page 2 Story C) -
Turkey to Stay
'Fully Neutral'
LONDON,'- Wednesday, Feb. 1
(AFVReuters recorded an Ankara
radio broadcast early Wednesdayi
in which the announcer comment
ing on Prime Minister Churchill's
visit to Turkey said that "Turkey
still is going on with the policy of
complete neutrality - from which
she has ' never wavered In spite
of all crises and difficulties. . .
Turkey, he was quoted as say
ing, "stands firm by her obliga
tions and friendships.'
Solomons
Scene Of
ma
Try
Navy Holds Details,,
: But - Enemy .Claims
Said Exaggerated
By JOHN M. HIGHTOWER
WASHINGTON, Feb. 2-UP)
The Japanese have launched
another major effort to retake
the southwestern' Solomon Is
lands, . the navy announced
Tuesday night, and American
forces have engaged them in
what may be the greatest sea- '
air battle of the Pacific to date. -
Both sides have suffered soma
losses, the communique said, but
lniormation regarding them was
withheld. 1
The official statement de
scribed the battle as "a num
ber of sea and air actions' and
added that to reveal details at
this time "would endanger the
success of future operations in
this area. '
: The. fact the information about
losses was considered sufficiently
valuable to withhold was gener
ally considered to be an indica
tion, that blows suffered by the
American forces was probably
greater than would be involved in
damage to a few light units.
' At the same time there 'were
signs that very heavy blows have
been dealt the Japanese. Tokyo,
in making the first announcement
last weekend that . some 1 sort of
action was in progress in the Sol
omons area, claimed to have lost
only ten planes and to have sunk
two American battleships and
three " cruisers and dama ged i an
other battleship and cruiser.
When Tuesday night's com
munique was issued at the navy
department, a spokesman was
asked whether he had anything
to add.
"Tes," he replied emphatical
ly, "You may say that the Jap
anese , claims of US losses are
' grossly exaggerated and their
own losses understated."
In similar situations in the past,
it has been Tokyo's practice to
boast of very heavy American
losses when in fact the Japanese
had lost the battle. '
While stating that "increased
activity on the part of the Jap
anese indicates a major effort to
regain control of the entire Sol
omons area, the navy did not
Identify any . of the locations of
the actions, either those comple
ted or those in progress. The To
kyo claim had fixed the location
of the particular action which it
covered as the vicinity of Rennell
Island, about 100 miles south of
Guadalcanal.
The Japanese thrust appeared to
have two main objectives:
(1) To land heavy reinforce- .
ments and supplies on 7nadal
canal where their shattered
forces, now numbering only)
about 3000 men. are cornered
In the northwestern hump of the
Island. j . 1
(2) To break American sea
power in the entire sonthwest
Pacific area. ,
: Whether they have thus far suc
ceeded In getting any troops of
munitions ashore was question
able. A mid-afternoon communi
que, while making no reference to
the current battle, said that an
American destroyer had shelled a
number of barges at enemy-held
Cape Esperance. Those might
have been used either In new
landings or in coastal movement
by the hard-pressed troops ashore.
American sea forces in the area
were believed to be considerable,
and the American hold on tho .
island was described by Navy
Secretary Knox only last week,
after a visit of Guadalcanal as se
cure. Knox confidently predicted
that the remnants of organized
Jap resistance would be wiped out
in 30 days.
The Japanese apparently had
one advantage if they were will
ing to take the risks of loss in
volved in using it- They are. be
lieved to possess two or three
more - aircraft carriers . than the
United States navy's three.. Tho
Japs have been very chary in tho
past, however, about risking their
carriers close to Guadalcanal's
land-based planes. -
The Pacific fleet lost four car
riers in the first year of Pacific
war: the Lexington, Yorktown,
Wasp and Hornet. That left three:
the Enterprise, Saratoga and
Ranger.
These figures are based on the
fleet's strength at the beginning .
(Turn to Pago 2 Story F) ,