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About The Oregon statesman. (Salem, Or.) 1916-1980 | View Entire Issue (Nov. 7, 1949)
Weather Dip SEISMS TP QD Gift 01 v.- Max. Mln.. M 39 Frrip. M true M twee Si lent ' Portland i. San Franciaco Chicago New York -, . S3 I 60 . 47 I FORECAST (from VS. weather bu reau. McNarr field, Salem): Mostly cloudy today ftnd tonight with rontd erable smoke and toft thtt mcrmnf and stain tonight. High today war J and low tonight near 34.. I t 99tb YEAB 12 PAGES Tb Oregon Statesman. Salem Oregon, Monday, Norember 7. 1949 PRICE Se No.133 - A. ' . : N s . r' ' Ever since June the bulls on the New York stock exchange have been ranging arourVd, heads down, ; tails in air, tossing the bears about with some degree of roughness. The spell of melancholy that af fected traders -the first of the year -and businessmen generally lifted in midsummer, and the "market" ha enjoyed If not a boom, then a mild boomlet. In spite of the price rise in com mon stocks the disparity in yields of stocks and bonds remains ex tremely wide; In August common stocks were yielding 2,9 times as much as high-grade corporate bonds according to a study made by the Cleveland Trust company. In this century such a spread was reached only twice before, one in 1942 and then in June and July this year. The price rise in stocks since -August has of course, reduced the yield, but the ratio remains very high, s On the bond side it may be noted that interest rates have been de clining ever since 1930. The aver age yield in the past 50 years was 4.20 per cent, while the yield in August was only 2.60 per . cent, and yields have declined, if any thing, since then. . This low interest rate is due to two thlngsigovernment policy for easy-money, and the over-abundance of capital, wanting "security." On the other hand common stock prices remain relatively depres sed for a variety of reasons: . the jolt of the long depression under mined, confidence; the tax struc ture constrains business manage ment to use earnings for plant ex pansion rather - than dividends partly because of the difficulty of floating stock Issues; and heavy taxes : (Continued on editorial page, 4) ChristianYoutli Council Elects Wallace Riches Wallace Riches of Turner, Ore gon State college student, was elected president of the Oregon Christian Youth council in closing minutes of the council's assembly here Sunday morning. i ' Riches succeeds David Polndex ter, Willamette university student, who directed the three-day ses eion. -'Other officer -elected Sun day include Ann Otto',' vice-president, and Joan Wood, secretary, both of Portland, and Douglas Van Dyke of Salem,' treasurer. .'Members who are to represent . their denominations , at council ; meetings this year also were elect ed. They Include Methodist, Eichard Scott of Salem, and Judy Tullager of Portland: Presbyterian, Ted Baltz and Ann Otto, both of Portland: Congregational, Dean Bennett . of Forest . Grove and Gloria Lloyd of Portland, and Dis ciples of Christ, VanDyke and Joan Wood. The Baptist representa tives are to be elected later. The Christian vounff DeoDle from over the state attended communion Sunday morning at the Presby terian church and a closing wor filn at Willamette ' university The Rev. G. Hayden Stewart of aeaiue was mm main spcoacf. "The students divided into Work shops Saturday -hd studied vari ous aspects of Christian vocations, devotional life, Bible music and recreation. At a banquet Saturday night la Salem high school cafe teria students from foreign lands, now attending Oregon colleges, epoke briefly. Kaiser Intends to Produce Car in Low-Priced Field NEW YORK, Nov. J-tfVHenry J. Kaiser disclosed today Kaiser Frazer intends to produce a low priced automobile. Kaiser, chairman of the Kaiser Frazer board, announced a nation wide contest with cash awards of $200,000 for naming the car. The announcemtni said the standard sized five passenger car "will be the low-priced car in the low price field retailing with in the income of millions who -.have never before been able to own a new automobile." . Animal Gathers V By WARREN GOODRICH ' yiUminr NM BUttrioT fy ELECTRIC Fights Result Us, CIO Members Desert Leftist Unions Salem Postoff ice Centennial Tuesday M . r-'i "" ' .') - i! ta 1:1 . '. ' ' ' j - i 19031 ,ic, :.,iisro'..r.rtin - trw n r- i'i -p- . - i " a f mmiwmfMw 1 - 1949 . 1 irftiwK'' s' I " ' ' : , r , M - ; (B - , ...- , ...( , l J :Liv IT Li ; LTJ Li ' I r 1 ; ; J 1 1 f i Three bulldinrs ! pictured above have boused the Salem postofflee at various stages of IU century -lone existence. The local postofflee la officially 10 years eld Tuesday, and Its mall delivery history Is said te go back even earlier than 1841 when J. B. MeClane opened a government postofflee In-Salem's first boose, the Jason Lee Mission boose which still stands at 960 Broadway st. (Top photo). Jest over half century later, after the local postofflee shifted from bouse to house and store to store with changes la postmasters, the first postofflee building was erected at the site or the present postofflee on Chorch street. The early photo of this postofflee shows horses and burgles ready for rural mail delivery. When the present postofflee (lowtr photo) Was built In 1938, the 1903 building was moved up State street te Willamette university where It new houses the law school. (Story on page 12.) Geti.aughan Resorts to Art to Lampoon Probers NEW YORK; Nov. oHPJ-MaJ. Gen. Harry H. Vaughan, President Truman's military aid, has resorted to art to portray what he thinks of last summer's congressional inquiry into "five per centers." Vaughan was one of the targets of the sensational investigation. His reaction 'to it is summed up in his painting, "The Path of Investi gation,' which will go on exhibit here Tuesday along with other canvases by "famous amateurs. The Vaughan v canvass snows a road trailing- off Into .the distance with a question mark at the end of it k Two heads presumably pumpkins peer down on the road, ji A description; of the painting by the sponsors of the exhibit said that Vaughan, f smarting from the inquiry, painted it and "made pumpkin heads of the senators" who conducted, the investigation. Vaughan , Surprised At ' Washington, Vaughan ex pressed surprise that the ; paint ing was being exhibited and that anyone knew what kind of title to give- it "It's just my impression of most futuristic art," he said. "You look at it and you can't tell just what it Is." iii ' i - He said a man with painting materials came into his office one day and they got to talking about impressionistic art ; . , It was in the middle , of the senate Investigation in which Mr. Truman'i array -aide was linked. The man, according to Vaughan, C3' " ra . tl r!-l l,4 suggested thai he try hie hand at a painting, giving his reaction to the senate inquiry. So, Vaughan asserted, he de picted a couple of pumpkin heads "going up a road into the fog" and 'let the visitor have it "I didn't know until later that a . title had been given it and even thought my art was in the wastebasket" Vaughan said. He said thai he had no further paintings In mind. More surprised than the general over the exhibit wan Mrs. .Vau ghan. ' "The general,' she said, "has never painted an thing but the kitchen before." - - CHEST TOM GOAD SALEM HEIGHTS The Com munity Chest drive, which ended recently, collected a total of $368 going over the top of its set goal of $200. according to the chair- man, Mrs. ZL Aj Carleon. ' ,v! 1849 ( : rA r r : i 1 , runi ; Head-On Crash Injures Eight BRIDAL VEIL, Ore!, Nov. 6-(JPj Eight persons were injured in a head-on collision of two auto-! mobiles near here today on the new water j level Columbia river gorge highway. A sheriffs deputy said a car driven by Lee Johnson, 33, Pasco, Wash., had turned into the opposite lane to pass another car. He said a car driven by L.D. Stoker, 25, Gresham, Ore., struck the John son car with such force it rolled over the to of the oncoming car. jonnson was cnargeo: witn reck less driving by Deputy Jack El liott i j Power; Shortage Crisis Nearer ' I ' i- ; : RITZVn.T.F, Waah Nov. -(JP) -Lack of rain may cause a critical power shortage in the Pacific northwest soon, according to W. F. Eichner, Washington water power manager here.; , Eichner said the power situa tion in the region la now in deli cate balance, and unless it rains soon in the upper Columbia river watershed a shortage will occur. He said little rain had faUen east of the Cascades within the last even montha. .1. ' , Am Jim m 1 1 Vote to Join New Groups Fighting broke out today at two United Electrical Workers meetings in Sharon Pa., and Fairmont, W. in the wake of the union's expulsion from the CICKlast week. At both meetings of Westing house Electric corporation work ers,' members voted to desert the leftist United Electrical, Radio and Machine Workers of America and join the ClO's new Interna tional Union of. Electrical Radio, and Machine Workers. . The UE group in Sharon stag ed a lQ-minute fist-fight No in juries were reported. At Fair mont, union President John Ever hart got a punch on the nose from one pf the members. At Dayton, seven Ohio UE locals With nearly 20,000 mem bers voted to secede from the UE and join the CIO's new right wing organization. The bolters included the 11,300 member local 801 at the Frigidaire plant in Dayton.,' and the 5,200 member local 755 at the Delco plant, also in Dayton. Another Ohio local, the 9,200 member Westinghouse oleal 7(1 at Mansfield, pulled out of the UE and took a charter in the new CIO group last. week. Members of the local have ratified the action and have ousted nine of its members. President Joseph Haw kins reported. He said the nine were charged, among other things, with "furthering the communistic stand taken by the national UEW officers.'' Fact-Finders WASHINGTON". Nov. 8 -UPU High government officials tonight seriously weighed creation of a DresidenUal fartwfinrlrnv hnarri in hammer at the tightly-jammed coal strike if this week s medita tion efforts fail. Rouahlv a week has been ax. signed for last ditch efforts to end the seven-weeks tleup. The picture was black. No settlement talks between operators and union were even hinted. Decisive action In some form was expected at the end of the new drive for a negotiated peace. President Truman avi tin fsn z ' v that the national emergency has arrived which he said would call into play the Taft-Hartley act In the eraduallv hriffhtninff steel picture, federal officials fore cast "some more settlements early this week." A strike-settlinff nart warn rot- lfied by the CIO at Lukens Steel Co. today, and a proposed agree ment was being drafted at Re public the nation's third lai-mit producer. But officials awaited with mis givings the outcome of John L. Lewis meeting in Chicago tomor row afternoon with the United Mine Workers' 200-man policy committee.; Lewis has announced the com mittee will be asked to authorize "further procedures" In the strike of 380,000 soft coal miners. This might mean as the mine chief hinted a week ago, that the 80,000 anthracite Workers and 20, 000 miners west of the Mississippi would be called out to reinforce the bituminous shutdown. Albany Stores ; To Remain Open On Armistice Day lUUsanM Nw Serrlea ALBANY,! Ore For the first time since Armistice day was in augurated, there will be no ob servance of the day in 'Albany this year. 'This was determined by repre sentatives of the veterans' organi zations in Albany in business firms voted at a ratio of 8 to 2 to remain open on November 11, according to a report of the mer chants committee! Another Influencing factor was ine zacx inai xor tne first time, the annual Corvallis-Albany foot ball game will be played in the evening instead of Armistice day EXSENHOWEX EVASIVE NEW YORK, Nov. 6-WVThe New York Herald Tribune to night quoted Gen. Dwight D. Eisenhower as saying in response to a question as to how he would vote in Tuesday's election: "I shall vote for those candl dates whose principles support the preservation of the freedom and the liberty of the American citizen. -1 . rronnspfl f nr lau, . M BW w -BHk a 2icll Mine Walkout ,,.1.11.1:111 """I i 'New Witt WoiiM r ff CapSfialpsinni Kidnaped9 Child Killed By Fall, Mother Admits UTICA, N. Y., Nov. ft-fyTVState police announced tonight that Mrs. Stella Komorek admitted that her six-week-old son died of a fall and that she threw the body in a millpond near her home. Dr. Preston R. Clark, Oneida county coroner, issued a verdict of accidental death after the mother admitted at an inquest that the baby had fallen from her arms. Police said no charges would be placed against the 29-year-old Mrs. Komorek. She had previously reported the child was kidnaped late Friday night by a strange man who, she, said, entered, the kitchen . of her home in nearby Clayville. , Admission at Inquest Mrs. Komorek's admission came at a coroner's inquest called after the baby's body was found today encased in half-submerged burlap bag in trie pond suu yaras irom the house. . - Police quoted the mother as say ing that she dropped the baby ac cidentally. Finding it dead, .she decided to dispose of it ahe told them. , . An autopsy disclosed that the child's skull was fractured. The inquest was called after several hours of questioning of the child's mother by state police and Oneida county authorities had failed to clarify Mrs. Komorek's kidnap version. Dr. Clark had said "we believe the child was dead before he was placed in the water." Mother's Story Doubted From the outset state police had doubted the mother's original story and had continued to question her closely since she reported the child was taken from its bassinette by a tall man wearing a felt hat and a black coat Mrs. Komorek's husband, Henry, 34, was at work in a Clayville paper mill when the baby disap peared, State police took the Komoreks to the New Hartford substation. where they questioned Mrs. Kom orek for six hours. She finally broke down as the inquest started and admitted that ahe had dropped the baby. Liquor Board Agents Raid 21 Portland Clubs PORTLAND, Nov. 8-)-SUte liquor control commission agents raided the Melody club here early today, the third involving arrests on Knox law violations at the club within a month. Lt. Gordon McReary said Jack Englert was jailed under $500 bond on . a charge of sale of In toxicating liquor. He, said there were about 100 patrons in the club. The agents had to fight their way past door guards, McReary said. Half an hour later, the agents raided the Savoy club In another sector of the city and arrested Howard L. Gentry, 22, on a sim ilar charge. He was also held un der $500 bond. There were about 60 patrons in the Savoy. It was the second raSd there in several months. Train Engineer Blown from Gab HILLSBORO, Nov. -&ip)-A Southern Pacific engine fireman was blown off a locomotive when the boiler exploded near here .to night while he worked on a pres sure valve. The Jones hospital reported Harold Holmes, 40, Hillsboro, was later transferred to a Portland hos pital. His condition was not re vealed by hospital aides. Mother Slashes Throats of 4 Children, Attempts Suicide STERLING, IlL, Nov. 6-ff)-Po-Iice said a 35-year-old mother wielding a kitchen butcher knife tonight slashed the throats of her four children, the eldest only four years old. She then tried to cut her own throat police said. - The two oldest children were given! a 50-50 chance to live. The two youngest one not even three months old were - termed' in "pretty ; good condition." All are in Sterling Public hospital 1 The mother, Mrs. James Moug han, suffered minor cuts. . , ' .Sheriff Boyd Kimme) of White side county said Mr.: Moughan, wife of a steelworker, . was -. ex amined bf psychlatrlsiiJ' About i Timber Fire Rages Along Cascades Ridge ttalcsmaa New Service LEBANON, Nov. 6 A fire in cut timber at the Joe Gilbert logging operation east of Holley along the Calapooya river had consumed an estimated 30 acres and was still raging Sunday night." ; It was discovered by; Gilbert and Walt Bowman, manager of Lebanon airways, on a flight from Lebanon to Big Lake airport near the top of thf Cascade mountains. . Bowman described it as "a vio lent fire with plenty of red flames Visible." v i Gilbert rounded up a crew of fire-fighters at Sweet Home to start battling it He said there had been no other fires in the vicinity and he had no idea how lt started. Two donkey engines were engulfed in the flames. Two others and valuable standing timber were In danger, i Mel Crawford,! warden of the Linn county Forest Fire patrol, said he would go to the scene to determine need of men and equip ment I .j. . j '::!'. e Has to Name Twins All Over Again PORTLAND, Nov. 6-W)-Jack and Helen Phipps decided lt was time to stop playing a "this one" and "that one" game with their twin daughters. The girls are now ten months old and were named Merrilee and Carolee at birth. But which one? This one, or that one? That's the sort of thing that has been going on in the Phipps home for months now. Mrs. Phipps said it started soon after she brought the twins home from a hospital. Each had a bas sinette. They were bathed, fed and fondled one at a time and re placed carefully in the same bas sinette. Then, while Mrs. Phipps was at a hospital again, the woman who dared for the family children got them mixed. Or maybe daddy did. Anyway, neither mother nor daddy. Phipps are sure which Is Merrilee or Carolee. Four-year-old sister Merilyn calls them "twin" and "twinnie." But she can't' tell them apart either. . : What todo? Well, the Phipps called in city police fingerprint expert Joseph Morgan. "Simple," he said, "get the hospital record footprints." He did but they were smudged. "No ridge characteris tics, no identification," reported Morgan. But he had a suggestion. Make new footprints and fingerprints and start over: "Which one do you want to call ah, ahh this one or that one?" Said Officer Morgan. - SALEM PRECIPITATION This Year 3 6S Last Year 1JS0 Normal S.6 three hours after the slashing. Judge W. J. Stevens ordered her committed to the state hospital at East Moline. "She told us some story about a saint telling her to do this," Ster ling Police Chief Edward E. Ohda aM i , He said she made an Oral state ment admitting the slashings, sne declined to sign the statement he said. . ! Ohda Identified the children as Mary Ellen, age two montns; R(rhr Patrick-. 20 months: MiCh- ael Joseph, three . this coming December v 15; and .Jamei Peter, four last August 17.. Loupl 1 J" og rave: oe4 ToDdl Anniversary I Speech Given By Maleijkovj ' By Eddy Gllmere v MOSCOW. NovT. e-P)-Grorgl M. Malenkov, a rising star in Sov-4 let inner circles, threatened today; that any new "blood bath" of war would dig the grave of capitalism.! Russia, though she "posset the atomic weapon," does not Want war and is doing "everything to prevent it? said the 48-year-old member of the Politburo and Vice-; chairman of the council of min-! isters. ' But the United States, he warned, has plans for a "World American Empire which dwarf the schemes of German and Jap- anese. aggressors together. . , 1 . Malenkov, who. appears signified antly at the immediate left hand of Prime Minister Stalin In official photographs of the Politburo, spoke amid the brilliant red velvet and . gilt of the Boll hoi theater at tho gala celebration on the eve of the 32nd anniversary of the Bolshe vist revolution." I : I Among his. 2,000 1 auditors! was U. S. Ambassador Alan G. KirkJ As official orator of the occasion; he succeeded V. M. Molotov, form er foreign minister,!! who deliver ed the addresses In 1948 and 1947., Molotov, - ywho appeared at th right hand of Stalin in official Politburo pictures, Was succeeded -as Foreign Minister by Andrei. -Visht risky last, March. f t Replace Berla f (The order in the anniversary pictures suggested that Malenkov, at the left hand of Stalin, has rex placed L. P. Beria as No. 3 man ink Russia. Beria had that position in the May Day pictures this year Andrei Zhdanov, whose death In August 1948, j. appears to h a v cleared the' way for the rise of. Malenkov, delivered the anniver sary oration in 1941 Beria form erly was head of the secret police, but lately has been reported ia charge of Russia's atomic develop ment program). - An order of the day dated Mon day from Marshal Alexander Vas ilevsky, minister of the armed, forces, declared that: Russia fight? for peace but that the Soviet arm ed forces "must not forget': the tasks confronting them." ) Asks Arms Reduced j; Malenkov, who is One of the, best 1 orators in the U. S-4 S. R., trpoke in a clear, firm voice In demand-1 ing reduction of world armaments I and the outlawing and destruction! of the atomic bomb. ;f '. . Atomic energy in capitalist hands, he declared, "is the means it of bringing death" while, "in the I: hands of the Soviet people, it must and will serve as a mighty weapon of unprecedented technical prog-1 ress and further speedy growth! of the productive forces of out j' country. . ' "The American people are begin-1 ning to understand that if there! is a new blood bath there will bei weeping mothers. Wives, sister ; and children also in 'America." j "America's atomic' diplomacy il now fully exposed. The U. S. A.i: thought they had a monopoly. But in fact the Soviet Union possesses the atomic weapon."! f " Loud "applause greeted this statement 1 ' Merchants Polled j On Armistice Day j Closure Issue S i r The attitude of local merchant : toward closing their stores Friday : in observance of Armistice i day 1 will be studied today by the board j of directors of Salem; Retail Trade ! bureau. f j Bureau Chairman Jamea It Beard has circulated cards to as-j certain the wishes of merchant in this regard. ' 1 ' Armistice day annually has pos- ed the question here of whether j the stores could follow a consis tent practice of closing or remain-i ing open. ' . il f It Js understood thi. year ' that j some of the, merchant would pre fer to stay closed until noon and then open for business on the holiday. I ' ; i - Sen. Pepper Gills GOP 'Serai! Team' JACKSONVILLE, Iria Nov. f -(Jfy Senator Pepper (D-Fla) doesnt want the republican party to win any elections, but he wouldn't want it abolished either. "We need the republican party like a varsity football team needs a scrub; team on which to practice,";, ine senator saia in a laia ai.a party rally today.