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About The Oregon statesman. (Salem, Or.) 1916-1980 | View Entire Issue (Dec. 14, 1948)
. . " fj utf" Tnir J g Ju (Story in Col 4) 1 WDCDQffl ' Corporate profits are expected to hit $21 billion this year; and their size has started a scramble for a cut in the swag. A senate subcommittee has been holding hearings to learn if the profits re excessive and if so what to do about them. Spokesmen for labor organiza tions asserted they were too high and that companies should pare profits by raising wages of work ers. Stockholders have been grumb ling for some time that they are the forgotten men and Women in Wie DISiriUUUUn Ul llliuinc. lucn i dividends have inched up slowly or not at all while income state ments show their companies are earning more money than ever. Hungry taxgatherers look at the corporation earnings reports and their mouths start to drool. "Ex cess profits tax" is their prescrip tion to cut profits down to size and provide more funds for pub lic spending. Consumers, feeling the pinch of higher prices, complain that goods re priced too high and insist that corporate reports prove that pri ces could be reduced. Some professional economists declare that the dollar profits re fictitious. They are buried in higher valuations of inventories, in bigger volume of working cap ital required to carry on b?'-;-ness and so are not available for spending for taxes, lor wagea oi price cuts. Corporation managers stress the fact that they,-have (Continued on editorial page) TensionEases Folio wing End Of U.N. Session PARIS, Dec. 13-P-Dr. Herbert V.'-Evatt, president of the United Nations assembly, said tonight in ternational tension has eased as a result of the assembly session which ended yesterday. "The temperature is not yet nor mal, the Australian foreign, min , ister told newsmen, "but the f ever has abated." Evart gave his views as delegates dispersed for their home countries after the 12-weeks meeting. Only representatives of the 11 security council members remained here for further meetings. The security council was handed m red-hot issue today when the American - sponsored Republic of Korea applied for U. N. member ship. The assembly voted its approval of the new government of southern Korea just before it adjourned. The vote was 48 to 6, with the Russian bloc alone opposing it. Russia is expected to oppose nd probably veto the republic's membership application. Walsh Clinches Deciding Vote In Road to Senate Presidency Sen. William Walsh, Coos Bay republican, appeared today to have definitely assured himself the 1949 state senate presider -y-. The attorney legislator had all but clinched the title last week, as shown in a Statesman reca pitulation Sun da;, and all rea conable doubt was removed yesterday when Sen. Austin Fle- Sen. Walsh gel pf Portland declared Walsh would have his vote. The lineup as of this morning appears as Walsh 16, Sen. Carl Engdahl of Pendleton 13. The 16 is majority of the 30-member sen ate. Only unpledged senator is Ri chard Neuberger, Portland dem ocrat, who has announced he will vote for neither. Until the week-end, Walsh ap parently had 13 votes, Engdahl 14. The tide turned when Sen. Elmo Smith of Ontario, whom Engdahl said was pledged to him, was claimed by the Walsh camp, and Frederick Lamport of Salem, named to succeed Gov. -elect Douglas McKay, also announced he was for Walsh. That left the county 15 to 13 for Animal Crackers By WARREN GOODRICH "f m living for the day I kit the jackpot." fifty 98 th Yax Seven By Robert E. Gsngware City Editor, Th Statesman Salem's city council Monday night plunged into Issues stemming from the recent general election, including replacement of a civil service commissioner, change in firemen's hours, a franchise for Salem Electric and temporary zoning of annexed territory in Polk cownty. But the only completed action in this complicated set of issues was Jury Allowed To Study Spy Film Evidence NEW YORK, Dec. 13 -UP)- A member of the house committee on un-American activities gave the spy-probing grand $&sry here a 75 minute look at Whitaker Cham bers' ".Pumpkin filnis" today. He then agreed to let ":the jury see them again whenever it pleases. Rep. Richard Nixon (R-Calif), who brought the microfilms here, also agreed to let the FBI exam ine them in Washington tomorrow. The committee arid the justice de partment have been at odds over conduct of their twin investiga tions. The agreement was disclosed in a joint announcement by Nixon and Federal District Attorney John F. X. McGohey. The grand jury had repeatedly asked for a look! at the films, which were marked as evidence today. Nixon said he was taking them back to Washington tonight. Commenting on the joint an nouncement, Nixon r escribed the compromise as "one which keeps the" documents in the custody of the house and yet makes them available to the grand jury for its purposes as well.' Alger Hiss, accused by Cham bers of collaborating with a Rus sian spy ring, turned in his resig nation as head of the Carnegie endowment for international peace today only to have it rejected. He was granted a three-month leave of absence. Walsh, and the Flegel vote gave him the majority. ; Walsh was a candidate for the senate presidency twice before, the last time in 1947 when he waf edged out by the late Sen. Mar shall Cornett of Klamath Falls, victim of the October, 1947, plane crash in southern Oregon. The senate president is first 'ri line in succession to the governor ship, and corresponds to a lieu tenant governor. Engdahl, in effett, Monday re- leased those pledged to vote for him, announcing that, "if they feel like going over, that's fine. I want to leave it up to each individual's judgment." Later Sen. Frank H. Hilton, Portland, said his pledge to Eng dahl had been released and he would "help make it unanimous for Walsh. ' As of Monday the Walsh pled- ges were: J. J. Lynch, Portland; Allan! Carson, Salem: Dean Walker, In dependence; Marie; Wilcox, Grants! Pass; William McAllister. Med-; ford; Tom Parkinson, Roseburg; Eugene Marsh, McMinnville; Paul Patterson, Hillsborb; Irving Rand, Portland; Austin Dunn, Baker; Howard C. Beltori, Canby; Tru man Chase, Eugene; Fred Lam port, Salem; Elmo Smith, Ontario, and Austin Flege jr., Portland. All except Dunn and Flegel are republicans. Engdahl had six republicans, including his own, and seven dem ocrats: Stewart Hardie, Condon; Frank H. Hilton, Portland; Phil Hitchcock, Klamath Falls; Angus Gibson, Junction City; Rex Ellis, Pendleton - - all republicans; Ben Musa, The Dalles; Orval ThomD son, Albany; Tom Mahoney, Port land; Vernon Bull, La Grande; Jack Bam, Portlanu; Russell Gar dner Newport; and Robert D. Holmes, Astoria - - all democrats. Unless the picture changes again, Walsh will be nominated at the pre-legislative caucus here the night of January 9, and formally elected on the senate floor the fol lowing day. : The apparent election of Walsh is. expected to lead the immediate, if tentative, committee appoint ments, in some instances thus al lowing work in advance of the legislative session, f RepT Frarffc Van Dyke of Mcd ford, who apparently has clinch ed the speakership; of the house, already is known to be working on his committees, I and met with rep. W. W. Chadwick and other legislators in Salem Sunday. 14 PAGES Ifoir Post designation of Richard G. Severin, local insurance man, to replace A. A. Gueffroy on the city civil ser vice commission. The council ac cepted the telegraphed resignation of Gueffroy who indicated he would step out in order to expe dite hearing of the appeal of De tective Hobart Kiggins and Pa trolman Leland Weaver who were fired from the police force for al leged political activity in oppo sition to city manager government. Aldermen recognized of the vot ers' mandate to reduce firemen's work hours from 82 to 63 per week when they approved Thomas Armstrong's motion for a com mittee investigation Into how soon the change can be effected. (It depends upon availability of funds pending next year's special tax levy which the ballot measure carried.) Mayor R. L. Elfstrpm named Armstrong chairman and David O'Hara and James Nichol- son. Livelier discussion centered in consideration of Salem Electric's petition for emergency permission to Install an auxiliary transmis sion line in Salem. The voter-approved franchise plan for the co operative electric utility in Salem awaits necessary enabling legisla tion. Aldermen voted to defer the transmission line request until th franchise bill directed by the vot ers comes up for final action at the December 27 council meeting. Jack Frisbie told the council the peak electrical demand of this time of year, plus the recent Sa lem Electric four-hour blackout in West Salem, prompted the re quest. The 13,000-volt line would interconnect systems in down town Salem (now served from the West Salem Bonneville substation) with Salem Electric's north Salem substation. Alderman Daniel J. Fry and others indicated it would be ad visable to put the franchise into effect before considering the re quest and Mayor Elfstrom said a hasty check of the cooperative's plans indicated 32 of the 40 poles required for the line from Cherry avenue via Locust and Front streets would require joint user ship with Portland General Elec tric. A bill was passed to temporarily zone newly annexed territory in Polk county as class I residential west of Wallace road and class III business east of the road. This or- j dinance will not go into effect, however, until the injunction suit against the annexation is settled. (Additional council news on page 2) POLING RITES CHANGED CORVALLIS, Dec. 13 -yP)- Fu neral services for Dr. Daniel V. Poling, 83, prominent state leader in Congregational church, educa tion and youth activities, have been changed to Thursday. Weather SALEM ... Portland San Francisco Chicago M.-x. 44 .... 2 ... :tt ... 54 58 Min. 32 38 4fi 28 48 Precip. .06 .06 .23 .00 trace New York Willamette river 21.3 fe.t. Forecast from U. S. weather bureau. McNary field. Sclem): Cloudy with intermittent light rain mixed with now today and tonight. Continued cool with the high near 38. low 30. SALEM PRECIPITATION (From Sept. 1 to Dec. 14) This Vear Last Vear Average 18.18 16.19 13.40 Flood Leaves Homes, Cars Stranded in Eugene Area -zt: - I , a i- A I7 EUGENE. Ore.; Dee. 13 A family preparing to leave the Ferry street bridge area as the Willamette river flooded and rolled toward the house. The Willamette began receding rapidly her Monday. (AP photos to The Statesman.) POUNOBI Th Oregon Stnt Deadline Slated in January SAN FRANCISCO, Dec. 13 -A) Firemen- and enginemen today postponed to Jan. 18 a strike they had scheduled for Wednesday against the Southern Pacific rail road in seven western states. Officials of the Brotherhood of Locomotive Firemen and Engine men here and in Cleveland ex plained this afternoon that federal mediation efforts offer hope of reaching a settlement and "we decided to allow them more time." Also, "we don't want to inconven ience Christmas travelers." The new strike deadline, in event no settlement is reached, is 8 a.m. Jan. 18. It would involve 3,000 union members and halt Southern Pacific's Pacific divi sion operations, union officials said. Confirmation of the postpone ment came from President D. B Robertson of the Brotherhood, in Cleveland, and from G. A. Mead, vice president now in San Fran cisco participating in tne peace talks. Federal Mediator William F. Mitchell reported afew hours ear lier that the strike was postponed "for at least 30 days." Salem G roups Plot Campaign For New Span Both the city council and the long-range planning commission of Salem are preparing to Urge early approved for a new Willamette river bridge at Salem in appear ance at a state highway commis sion meeting this month. Alderman Albert H. Gille Mon day night at a city council meeting stressed that Salem must keen a bridge request constantly before the highway commission, as well as a bid for early commission de cision on the eventual relocation of the Pacific highway through Salem. At his behest Mayor R. L. Elf strom was instructed to name a committee to appear at the high way commission meeting. Elfstrom said the council would be repre sented by its special highway com mittee including Gille, Alderman Daniel J. Fry and City Manager J. L. Franzen. He is to add three citizens later. The long range planners are to discuss bridge matters at a meet ing tonight at Salem Chamber of Commerce. Its engineer, C. A. Mc Clure, has prepared a summary of arguments in favor of a new bridge and a comparison of two suggested locations, favoring a new four-lane bridge from Division street to the erection of a two-lane bridge at Marion street, and establishment of one-way traffic there and on the present eCnter street bridge. j In connection with the city j council's highway discussion. Al derman David O'Hara told fellow aldermen he had learned from "a highway department employe of considerable authority" that the state would install by February traffic signal lights at Pacific high way intersections of Fairgrounds road. Market and D streets. MEEHAN DIES AT PORTLAND PORTLAND. Dec. 13 -(A)- J. C. Meehan, 60, general secretary of the Portland YMCA, died here tod y after a short illness. He had Dlanned to retire at the end of the year. Camp Meehan. YMCA summer camp at Spirit Lake, Wash., was 1 named after him. 1651 man. Salem, Oregon. Tuesday, Willamette -To (Direst at 23.5 Feet Irfleirep Upnfiveir Residents - To Momes AiFter Weekend FlwdlsU Farm Bureau Faces Battle Over Controls ATLANTIC CITX N". J., Dec. 14 -iP)- The American Farm Bu reau Federation convention faced a bitter fight today on the ques tion of extending government controls to the production and sales of all farm products. Authority for such controls is limited now to the so-called bas ic crops wheat, corn, cotton, tobacco, peanuts and rice. Delegates from areas producing fruits .vegetables, tree nuts and many other minor crops are sup porting a proposal advocating le gislation which would extend acreage allotments, marketing quotas and marketing agreements to all farm commodities. Touchy Debate The convention also was con fronted with a sharp battle over the issue of whether government price supports should be kept at high wartime levels or be allowed to go down next year in keeping with a long range farm law pas sed by the republican - controlled 80th congress. Both issues are not likely to be settled until Thursday, the last day of the bureau's 30th annual convention. President Allan B. Kline ha indicated that he would resign if the convention voted to advo cate broadening of government controls. The. fight for extending con trols to all products was being led by President Herbert W. Voor hees, Trenton, of the New Jer sey farm bureau. Asks Support Likewise, President H. L. Win- gate, Macon, of the Georgia farm bureau, spearheaded a southwide drive to get the convention to go on record for high price supports. He had active aid from delegates from Alabama, Mississippi, North Carolina, Tennessee, Louisiana, Texas and Oklahoma. Kline said extension of produc tion and marketing controls to all crops would require the crea tion of a "vast army" or govern ment officials. Furthermore, he said, it would lead to "complete regimentation of all agriculture. Convention support of Wingate on high price supports would in volve a reversal in previous farm bureau policy. Accused Persons Get New Protection In Court Rulings WASHINGTON, Dec. 13 -OP)-The supreme court raised strong new bulwarks today to protect the rights of persons accused of crime. 1. Regardless of whether there is any "third degree," a confession is invalid if it is obtained while a prisoner is being held illegally through failure to carry iiim promptly before a committing magistrate. 2. An actual emergency must exist to justify search and seizure without a warrant. 3. A person accused of serious crime has the unqualified right to counsel when he needs that help for adequate defense. ' A m .V. 4 4 Cf- 4 , - . f.. I .c ."' u. December 14, 1948 t w i ' ' . Flaodivaters Roll on Low Areas V 14 ... Submerged fields and buildings are once again a eommoa sight la the Willamette valley as high waters inundate lowlands. Today will see the crest of the present flood. Above are the berry and eora fields of Harold; Elbert on the Dallas highway about a half mile west L ml West Salem, with the Pope-Talbot C. log dump buildings aua sfj cranesf sticking above the water on the river's regular bank, (Photo rv l. wi mil B4.I . -...-. Stacker Picks i i Staff Members ForlDA Office ! . A complete new staff will take over the Marion county district attorney'! office on January 3 E. O. Stadtjjr, jr., district attorney elect, reported Monday. Stadteij will move in with two new deputies to replace the two present deputies who declined to serve additional terms. The new aides are Sam B. Harbison and Gordon lloore. Retiring are Law rence Osterman and Reginald Wil liams. Miller tB. Hayden, defeated by Stadter lor the republican nom ination irt the May primaries, an nounced Monday his future plans have not yet matured. He indicated he may jaccept a position .which, might call him away from the city temoorarily. Harbison is a native of Salem and has practiced law there since his graduation from Willamette university college of law in 1940. He is at present associated with the in i-'i ivtjta ul iobc Moore jcpme to Salem from Ti- gard in lf38. He received his bach elor of arts degree from Willam ette university in 1942 and grad uated fro;m law school there this year. Hej is presently associated with Attqrney Bruce Spaulding Ostermjan and Williams have announced they will open a law office on January 3 in room 327 of the Oregon building. Osterman joined the district attorney staff in 1944. j Williams, formerly with the of fice of thfc attorney general in Ok lahoma, .joined the district attor ney's office in I94U. . y . . I - i l - i.. e i . A mother and daughter Inch along In the lowland area near Eueene. as orewnants evacuated from the flood. This was one of the last cars to leave the Glenwood are before the road was declared Impassible. (AP photos to The Statesman.) Price Sc J I v thotjvanhA 1 Annual Floods Can Be Expected Until Control Work Done PORTLAND, Dec. lS-fD-Army engineers said today that the Wil lamette valley flood control pro ject was ahead of schedule, but annual floods can be expected for years. Only when all 20 projected dams are completed can the valley have much assurance that flood dam age will no longer be experienced every year. The portion of the project al ready completed, however, has cut the force of the floods, engi neers said. Two dams the Fern Ridge and Cottage Grove have been com pleted. They stored enough water in the spring flood of this year to cut damage materially, engineers said. The flood reached 23.5 feet at Salem, and engineers said it would have been 28.4 feet without the dams. Three other dams are under construction. Lookout Point on the middle fork of the Willamette, Dorena on the Row river, and De troit on the North Santiam, o . T e Y 1 1 eis trap ior nonner, Catches Own Brother PORTLAND, Dec. lSiip)- Ta vern Owner Robert A. Watson set a trap to catch a robber ana caught a brother. The kin. Jack C. Watson, was held under $3,000 bail on a charge of burglary. Tavern Owner Watson explain ed he had been missing petty cash consistently and early today hid in the tavern. Later the front ta vern door opened and in walked brother Jack. ;.:' ." r "v A a m Oregon '49 Legislature ! i . The heme has 27 new mrm tors, 33 veterans. Mee them H pleterially In next Sunday's State No. 235 RettuirjrD' T . 1 T Liittie Damage Expected as: Waters Pas The flood crest of th unruly Willamette river moved swiftly to ward Salem and a broade channel early this morning and little locnl damage is expected when the surge ; reaches an anticipated high of 23.S feet shortly before noon. 71 j The forecast crest is 13.3 fe4 above flood stage, and only extrem- , ely low areas will be seriously af fected. Traffic is expected to con tinue normally over the West So- lem bridge unless the rier goeo over the 28-foot mark. Weft Salem merchants at the foot of tnje bridge were open for business is usual Monday night. t The second Willamette flood of the year is expected to hit four feet below the high of 27.3 measured m Salem last January 9 wfien th1 West Salem bridge was cl?ed for one day. In other floods during th past decade the river hit30.fl m 1943 and 28.4 in 1943. I Mayor Walter Musgravebf West Salem said auxiliary police havu been alerted to be ready lor duty if theirlyejr rises over the 2.1.5-foot mark.1 The reading at 12130 a.m. today was 21.3. it G. R, Boatwrlght, Marion coun 1 ty Red Cross disaster tohwnitteo chairman, said the local (disaster ! unit was prepard for arjy . flood : emergency, but thus far there had I been no need for rescue work. The river crested in the' CorvaE lis - Albany area Monday night without causing serious trouble. It j reached a peak of 24.9 at Oorvallis at 6 p.m. 4.9 above flood itage nd then began dropping; At Eugene, trailer residen- mov- ' ed from Glenwood suburban areas were gradually moving black mm the river dropped to near riormal. Some 500 persons were evacuated early Sunday. j I Elmer Fisher, river forecaster at Portland, said the height pf th Willamette flood In downriver areas would depend greatly n ac tion of the Santiam river; south ct Salem. The Santiam empties Into the Willamette between Salem and T' Albany. The Santiam st Jefferson fell about four feet from a high 4ft 1S.T ' leet yesterday and was still drop , ping late Monday night. The Iflood- i ing river, however, changed fours) during the week end overflow. Th) river cut through an overflow slough about one-half mile! south of the new Jefferson bridge on highway 99E. Should the change be permanent. federal engineers said, the recently finished highway bridge over th river would be of no value. I Only one state highway remain ed closed because of high istt-r. Highway 20 between Corvall s and Albany is still blocked by flood water at several points." state xlic said. I Two Marion county roads wer i blocked by three slides fever th j week end, but road crews Monday night had reopened one. Other slides in the Detroit area havf is abled telephone service between Sa!em and Detroit. . i A slide took away a large) tec- tion of road along the Abiqua creek east of Sitverton and the road wag still closed Monday night. Berlin Mayor Propoj , Komman1attira Return BERLIN. Dec. IS -WP- iWertern Berlin's new mayor, Ernst Rduler, proposed today that the we item allies reorganize th allied Horn mandatura without' the Rustian and abolish the boundaries be tween the American, British and French sectors of the city. He received a favorable re sponse to the proposal to reviv the Kommandatura. the old ffrur power body set up to rule Ber lin disintegrated last summer when the Russians walked otj. SHOPPING DAYS LEFT CHRISTMAS SAL5 FlO 1 iii i