it.." r 1 17 i , . - - 1? - ' - - - - :: - it' ': : - v - ' i . - if - I....; j i , .... , : . . . i . ,y; l. i. I , Kay ' &p DTTQ tollft E)(S(0 U.Sk Cuts Ties With i . - ' r - - . - i . - Federal i rw 1 ;l Eh ina Administration Admits Loss to Reds i By John M. IHghtewer - WASHINGTON, Aug.- 5 -iJPh The Truman administration today publicly abandoned all nope of savins China from the reds by aiding its nationalist government. ' f In an unprecedented blast, it mal failure in the war against communism, i j Instead of aiding it, the administration laid down a policy CRT 0330000 00)1103 President W. A. Patterson of United Air Lines took a positive stand at a CAB bearing in San Francisco to retain on its routes cities' it now serves. The hearing is held In connection with a CAB show-cause order on switches of several California stops and Klam ath Falls from United to South west Airlines. - The deal was sim ilar to that proposed which would end UAL service here and put Salem on the feeder line serivce of - West Coast Airlines. ? This represents quite a change - in attitude from that revealed by ' Harold Crary. vice president in charge of operations,; who met with Salem representatives in Portland recently. Then the of ficial attitude was that all UAL "could do (and would, do) was to autjolv statistical information to ' CAB. in other words UAL wouldn't fight to keep Salem on , its route. Patterson testified at the hear ing in San Francisco that United would "fight to the last ditch" any proposal to have his company dis continue service -to smaller cities, He even went farther and chal lenged the power of CAB to "take anything away from us." If any switches were made it could be made only by negotiation between the parties. Another UAL executive testified that it wouldost the government over a quarter of a million aoiiars more per year if the proposed switches were made. That would be the increase in mail subsidy, th difference between United's loss in patronage and the gain to Southwest. . . f - It appears that now. we have rotten United Air Lines "on our side." That is what we have been nnrkinff for. because the combined resistance of Salem and of UAL . should be ample toprotect Salem's spot on the United air route. - No date has been set for hear- tn on the West Coast matter nrhirh involves Salem. Local in terests should go forward diligent ly tn nrenare a strong vbrief in v support of their case, regardless of the changed attitude of United. We do not want to lose out be au of our own negligence 'or indifferencei and after all Salem , has more at stake than has United. Max. - St - 78 .63 . 88 Preclp. trace trace trace none .03 Salem v .Portland San Francisco M 58 S3 60 New York 88 7k uMiimt rivmr -3 3 feet. FORECAST (from U.S. weather bu reau, McNary field, Salem): Mostly cloudy this morning with widely acat tered light shower. Tartial clearing thia afternoon and tonight. High today near 82: low tonight near S6. Agricul ture outlook: Conditions generally fa vorable for moat (arm work today. " SALEM PRECIPITATION """""(Sept 1 to Aug. 6) Thia Year Lait Year Normal 41.87 47.00 37.33 Salem Residents Luted Doicntoicn Streets- t Ml i 1 Eager erawds lined Salem streets Friday night te watch the grand i parade f the Amerieaai Legion eonventton. At left is s leaf line t spectaters training forward te view the 2nd Infantry band Nationalists labelled that government as a dis encouraging the Chinese people throw off the "foreign yoke" of a red regime which,! secretary state Acheson charged, served Russian imperialism. i f The new turn in American pol icy was announced in a letter from Acheson to President Truman, pre senting him with the long awaited white paper on American relations with China. It was 'amplified in a statement which Acheson made to a news conference, j f . In the! statement; Acheson laid; down five "basic trinciples for ' American . relations with China, ' with emphasis on rebuilding an i independent" Chinese nation. The Acheson letter accepted the communist conquest of China j as an accomplished fact. . No Defeatist' But, Acheson said In his state- I ment, he does not at all share! m "the defeatist attitude" of some. The 1,054-page official recbrd of Chinese-American, relations is probably without parallel in VIS. diDlomatic history I for its. criti- cism of ; another friendly govern ment.' It bluntly blamed China's fall .to communism; on Generalis: simo Chiang Kai-shek and other Chinese nationalist leaders. It said their unwillingness to win popular support fortheir leadership was the root cause of their "failures'. Totals U. S. Aid j No battle was lost by the nation alists for lack of ! American kid, Acheson told the president in! his letter. This aid since the end of the war has totaled rrtere than $2,000,000,000, he ireported. j The white papejr included Inot only Acheson's letter but alsp a 409-page running account of of American-Chinese relations since 1844, including the famous Wedemeyer reporti The report by-Lt Gen. Albert C. Wedemeyer, who went on a special mission to China for Presi dent Truman in 1947, conditionally advocated in September of that year, a five-year program of Am erican aid. Wedemeyer stressed that if American aid was to be effective, Chiang would have; to. undertake extensive economic, political and military reforms.; Report Suppressed ? J ' 3 Acheson said the- report was j suppressed until today because1 its publication, particularly in 1947, would have made trouble jfor Chiang's government on account of a recommendation! to take Man churia out of Chinese control and hand it Into United Nations triist eeship. ; Acheson stated five prin ciples to guide US. relations in China and the far east this way: "J. The United States desires to encourage in every feasible way the development of China as an independent and' stable nation able to play a roje in world af fairs suitable for a great and free peopled ; i "2.. The United States desires to supports the creation in China of economic and political conditions which will safeguard basic rights and. liberties 'and progressively develop the economic and social well being of its people. j "3. The United Jftates is opppsed to the subjection bf China to j any ioreign power. i t "4. The United jStates will con tinue to consult with other inter ested powers bn measures which will contribute tp the continuing security and welfare of the peoples of that area. "5. The United I States will! en courage and support Efforts of the United Nations to achieve these objectives and particularly to maintain peace and security in the far east. Jr i - i 7 I i I i i ii m. s S3h YIAB 12 PAGES Thousands Witness Commissioning of Salem NavAir Station ! jTf tNm Thousands of persons crowded Salem's McNary airfield Friday to witness formal commissioning of the Naval Air Facility station, and to thrill at tight-fonration flying aviators. On the platform reading commissioning orders Is CapL A. E. Buckley, USN. commanding officer of the T Teamsters End ainst Gravel Firms j Settlement of the; six-week-old wage dispute between Salem sand and gravel companies and the Sa lem Teamster's union, locfel 324, was announced Friday. A joint committee of operators and labor representatives an nounced terms . of the new con tract were satisfactory to both sides. I The new contract, identical to the one signed by teamsters in Albany and Corvallis recently, calls for a 5 cents an hour pay increase retroactive' to Jan. 1, 1949, 7 cents per hous Increase beginning August 1, and an addi tional 2M cents an hour increase starting Jan. 1, 1950 and to con tinue through the year, j j j Teamsters signed the new con tract with the River Bend, Wall ing, Commercial and Salem sand and . gravel companies, the Salem Concrete Pipe and Products com pany, the Oregon Gravel company of Salem and Builders Supply of Cbrvallis. , ' ! Sand, gravel and ready-mix plants will re-open Tuesday while the concrete pipe plant expects to be ready for business Monday j Men will be called back to work as needed to meet new schedules. The Corvallis plant' already is op erating. I The wage dispute began June 28. The union had asked a wage increase of 12 cents an hour beginning July 1 and a ,10 cents increase retroactive to January I. Employers had offered a 10 cents per hour increase beginning July 1. Tax office move. I The-public utitilty ' division of the state tax commission Friday moved from a state-owned dwell ing, north of the new state office building now under construction, into, the state capitol. Carl Cham bers is in charge of this: division. 5 it- ; , Strike Ag from Ft Lewis being led by Its kilted bagpipers. Second from .left axe the wed eaters mt LegWa paste in Salem far the convention. And in the middle, stepping off just like her big sisters is little CaxU - ' 1i :K r'. ;. " : "":!' . - fouNDBo j 1651 ! t. Hx Oregon Near 200 Persons Reported Killed As Earthquake Hits Central Ecuador Johnson Named Temporary Chest Director H. C. Johnson, who has been field representative for; the Ore gon Chest, was designated Friday as executive director to succeed the late Irl S. McSherry, pending such choice as the board may make to fill the post bn a per manent basis. This was decided at a meeting of the executive committee held in, Salem Friday. A special com mittee consisting of President Loyal Warner, Jesse Card and Charles A. Sprague was named to handle personnel appointments until the next annual meeting of the Chest. i "We feel very fortunate that we have some one like Mr. Johnson available to take over direction of the Chest at this forfe," said Pres ident I Warner. "He has been an active worker, is. well acquainted with, county Chest organizations and knows the operations on the state level. Mr. Johnson is not interested in holding the position permanently but will serve until the board can decide, on its future organization." Johnson resides now in Eugene but the state office of the Chest will be continued in Salem. He formerly lived in Corvallis where he was local manager for the Standard Oil company He ser ved as coordinator for cities dur ing the period Camp Adair was under construction and operation and later became public relations manager for Mountain States power at Albany. He was chair man of the Linn county commun ity, chest one year. 4-Power High Command Slated for Atlantic Pact LONDON, Aug. 5-;P)-A Four Power high command : is being planned for the Atlantic pact de fense system, diplomatic officials reported today. They said the projected supreme defense council for the 12 pact . : . . . 1 j 1 t .1 T T ihuwis wuuiu ue run uy uic ited States, Britain, France andi Canada. 'Friday Night to See Legion Statesman, Salem, Oregon Saturday. August 6, 1949 h. : ... l In,. ( m-J naval air reserve training unit at Seattle, flanked by distinguished guests, including Gov. Douglas McKay, MaJ. Gen. Thomas Rilea and Vice Admiral Thomas Gatch. USXR. At left foreground is the 13th naval district band from Seattle. In formation at the right are members QUOTO, Ecuador, Saturday, Aug. 6-(P)-An eyewitness broad casting by radio from Ambato said early today about ' 200 persons were killed there by earthquake that shook Ecuador's populous cen tral mountain district yesterday. Reports reaching the capital here said at least six other cities and towns besides Ambato were shattered by a sharp series of arth shocks. Ambato, 55 miles south of Quito, apparently was the worst hit. Wrecked bridges and com munications lines prevented ac curate estimates of total casual ties. Reports from Latacunga, 35 miles south of Quote, indicated most of the city was destroyed and many killed. ' . J . . A (A. government announcement issued at Guayaquil, Ecuador, said 40 persons, ; mostly soldiers, were killed when an army barracks building collapsed at Ambato. Collapse of a church also was re ported to have buried a group of girls praying - inside. This an nouncement did not specify whether the 40 persons were in cluded in the 80 whose bodies were recovered.) ISelgrano Finds Legion Backing T PORTLAND, Affg. 5-P)-Sup- port from legionnaries in 12 states has been received by Frank Bel grano, ex-national commander who denounced national legion officials, he announced today. i Belgrano, a Portland banker, said , telegrams and phone calls of approval had been received from complete strangers, most of them veterans of World War II. At the state Legion convention in Salem yesterday, Belgrano call national Legion officials "racket eers and politicians" and said they spent Legion money to "advance their own control." TO HONOR ACTRESS HOLLYWOOD, Aug. Pre sident Truman will give the open ing address in a special radio broadcast honoring Eithel Barry more on her 70th birthday August 15. Charles Brackett, president of the. academy of motion picture arts and sciences announced the plans today. n. 1;v r' May Vanghn, Sheridan, ene ef the girls ranging from three yean tm 14 years ef axe. At the right Is the prize and hosier winning dnsm and bogle corps frem LsGrandc, which Thnrsday Bight won the of the Salem naval air facility. As the ceremonies end ed 27 aircraft, including fighters and torpedo bombers, manned by Seattle naval reservists, roared over the field in simulated attack and then made carrier landings. (Photo by Don Dill. Statesman staff photographer.) Local Hospital Drive Switches To Telephones A general revamping of public campaigning methods in the Sa lem Hospital Development drive was announced Friday. General Chairman A. W. Loucks announced, a city-wide telephone book campaign -aimed " to give every person in Salem' an oppor tunity to contribute what ' one worker termed "anything from a penny on up." "This campaign has been pro gressing much too slowly but we have one week to save it and this telephone campaign may be the answer," Loucks told a group of team commanders and captains at a financial report meeting. To Use Telephones Every worker in the campaign will receive a page from a tele phone book and will be asked to call every name on the page. Workers will be courteous but firm and will ask every, phone owner in the city, "Have you had the opportunity to help in this campaign?" j Workers at Friday's noon meet ing agreed generally that some change was needed to bolster the drive now faltering in the home stretch. An unexpected change came when Program Director E. T. Franklin was called back to Ft. Wayne, Ind., to serve in that city. Not Enough Best Efforts Franklin said in leaving, "The people who are working are doing a grand job but not enough people are putting forth their best ef forts." "Go to it 'till the last minute and get the : last dollar you can," he added. Additional pledges totaling $3, 821 were reported at yesterday's meeting of public campaigners to raise the total for public cam paigning to $33,225 toward a goal of $100,000. Pledges reported Friday raised the overall campaign total to near ly $333,000 toward a total goal of $1,100,000. Grand Parade Featuring Military Units, Bands . . . ' j -, ir-.i: ',: t Mt ft 0 ' '0 l i'' PRICE $e No, 140 Air Show, Band Concert Mark Navy Unit Start The Salem U. S. naval air facility at McNary field was formally established Friday nf terhoon. The city's volunteer naval air reserve unit (active) was commissioned at the same time.: A ; crowd estimated at 15,000 persons jammed the. airport for the ceremonies and program. "Lt. Comdr. Wallace Hug received his orders as officer in charge of the facility, and Lt Ernest Eldridge received orders placing mm in command of the air reserve unit Both: are Salem men. The main address was by Capt A. E. Buckley, commanding offi cer of the naval air reserve training -unit at Seattle. Other speakers were Gov. ' Douglas Mc Kay, Mayor Robert L. Elfstrom and B. E. (Kelly) Owens, state commander of the American Le gion. A concert by the 13th naval district band preceded the cere monies. Naval officers attending from Seattle included Rear Adm. H. H. Good, commandant of the 13th naval district; Capt, F. B. John son, commanding officer of the naval air station there; and Capt. C. F. Galpin. director of naval reserves for the 13th naval dis trict. After the formalities the crowd watched exhibitions by 40 naval air reserve planes from Seattle and the four "Blue Angels" from Corpus Chrlsti air base, Texas. The Seattle planes flewin re view past the field, then came over low in a simulated attack. The "Blue Angels' thrilled the crowd with 20 scintillating min utes of Intricate maneuvers. They took off in single file and zoomed perpendicularly to 2,000 feet, then went through their paces at a speed of 500 miles an hour. Re peatedly they flew low over, the crowd, then climbed back to per form flawless barrel rolls, loops and? "Cuban eights" In tight for mation. ; The "Blue Angels' leave Salem today for an exhibition at Seattle which will round out appearances in every state of the Union for the group. Following this they will abandon their propellor driven F8F "Bearcats" in favor of new navy jet-propelled fighter planes. , p-T- -r J '" r - j- . -t x state drum and bugle corps championship, snd also boners la tb Friday sight parade. (Pholo by Don Dili, SUtesmaa staff photo grapher.) (Story ea page Z) oraei Awaited An end to rent 'control in Sa lem was approved Friday; by Got. Douglas McKay. The decontrol action Originally recommended by the Salem city council at the instigation of local real estate interests now will go to the national housing expediter for issuance of final orders. f Under the present federal ret law decontrol may be. effected if local governments decide after , public hearing that a ( housing shortage no longer exists, and af ter such action is endorsed by the state's governor and forwarded to the federal agency. ' f Oregon's governor alsoi approv ed decontrol of rents in- Eugene, Medford and Ashland recently Governor McKay disclosed that the Salem decontrol proposal had brought only 20 letters to his of fice, of which 11 favored removal of the controls and the remainder, opposed it. I f f At a public hearing last month before the Salem council, the case for decontrol was submitted by representatives of the Board; f Realtors and the Home and Prbp erty Owners group who main tained that there were rental vacancies on the local market and that rent control discriminated against their profession.! Representatives, of organized labor, the progressive party and local tenants argued in f favor' of keeping rent control, maintaining that rental units for workingmen'a families were still scarce;; and that decontrol in other areas! had Jed to steep rent increases. ( INI ike Reinstates j Criminologist : with Full Back Pay; ! PORTL-AND, Aug. 5 two republican Multnomah county commissioners pledged today to appoint a democrat if Sherill M. Frank L. Shull, commission chairman, explained his position this way: "The people 'meant to elect a democrat' Commissioner Gene Rossman said he would "go down the line with Shull." f M. James Gleason, the otheif commis sioner, is a democrat, I ! Meanwhile the sheriff dropped his charges against Stanley Mac Donald, the criminologist whos suspension touched off fthe recall movement. j f i Elliott announced he was rein stating MacDonald with- back: pay and without prejudice. f Water Show Set j For Leslie Pool f A public water show at Leslie pool will be given at 3 p.m. Sun day under auspices of the summer playground program. Featured Will be members of the Portland Wa ter Safety club. t Participants will demonstrate swimming strokes, life saving, canoes and general rescue equip ment. Comedy features are to be included in the free show, award ing to the announcement of Ver non Gilmore, playground director. JUSTICE 'IMPROVED Seaside Hospital attendants; re ported state supreme court Justice Harry H. Belt, 65, somewhat im proved Friday and "resting com fortably." Belt was stricken Tties- ( day with a heart attack while vacationing there. Western International 1 . At Salem 6-5, Vancouver i 12-9. At Yakima 6. Victoria 4. f : At Spokane 6, Tacoma Si At Wenatchee 13, Bremerton (10. Coast League At Portland 7-8, Oakland 4-4. ! At Seattle 6, Hollywood S. At San Francicpo 10, Sacramento t. At Los Angeles 0. San Diego 4. ; American League At ClnclnnaU 4, Brooklyn 6. At St. Louis 1, New York 0. At Pittsburgh 1. Philadelphia . At Chicago S, Boston 3. i t National Leagte At New York 10-10. St. Coula J-S. At Boston . Detroit 0. At Washington 1, Chicago 4. At Phlladel idelphla X Cleveland S. . v i f f. !