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18 PAGES
Showdown Nearer in Soft Coal Dispute
3333300
Reports come in of:' price chis
eling in gasoline sales because of
tighter competition. Oregon isn't
effected much so far, but Cali
fornia cities and other cities
across - the country lare having
limited price wars In gasoline.
Cuts up to 5.4 cents a gallon are
reported. Petroleum, once in such
short supply that! authorities
started worrying, is how running
out of the ground and "out of the
ears of producing! companies.
The wildcatting and! accelerated
drilling of postwar i years has
made production outpace demand.
The first oversupply on this
coast was in fuel oil, the heavy
end of petroleum. Slack maritime
use and the switch to diesel on
railroads built up stocks in Cali
fornia. Oil from many of the
newer wells was in the unwanted
class of heavy grades. To relieve
storage, California refineries
have been - "dumping' fuel oil
surplus on eastern markets.
Now the gas tanks are filling
up to uncomfortable levels. The
consumption in 1949 was little
higher than in 19484 Secondary
refiners and jobbers, running into
difficulties -, marketing gasoline,
have resorted to the old custom
of trimming prices That has
pushed some of the major factors
to meet competition.! How far it
will go depends on what lift there
is to gasoline demand as spring
and summer draw on.
This condition of oversupply is
getting petroleum into politics -not
that it has ever been very far
out of politics. Domestic produ
cers point to - importations , from
foreign countries: Venezuela and
the middle east. They say, clap a
tariff on imports; save the Amer
ican market for domestic produ
cers. But our biggest i
(Continued on-editorial page 4) I
Mediation Fails
As Telephone
Strike Nears
WASHINGTON, Feb. 21-F-A
report on fruitless efforts to head
off a nationwide telephone strike
went to the White House tonight
With the strike set for Friday,
government peacemakers struck la
new impasse and apparently were
not sure what the next step would
be.- - - ' - ; . - j :
: Western Electric company re
jected a government! bid to talk
peace with its workers in Wash
ington, and the union promptly
called off any new bargaining in
New York. -.
This development was reported
to the White House by Cyrus
Ching, federal mediation chief.
out no announcement was expect
ed tonight '
.Western Electric is the Bell
Telephone system's manufacturing
ana installation subsidiary.
Oregon Phone Unions
Vote to Strike Friday
PORTLAND. Feb. 1 21-tfPV-CIO
telephone workers in! Oregon will
strike Friday unless a nationwide
agreement first is reached. C H.
Wright, union president, said here
today.
He announced the 1 locals in
the state had voted to walk out
then. The strike will affect Pacific
Telephone , and Telegraph com-
pany operations. The vote count
was not disclosed.
Animal Crqchcrs
1 By WARREN GOODRICH
, "Mne ant I. bushedl I hid to
taktt (Area of the Rijah'i wives
shopping .. . . 'Turn right, turn
left, no, right' look out for that
Crtc,..'"
Uffi ijTO
"l. !.
: .. . ' i
its
The Oiegon Statesman, Salem, Oregon, Wednesday,
Convention Leaders Get
A group ef central Willamette Talley Farmers Union members rot together Tuesday far a bit or pre
convention discussion. Shown are W. L. Creech, charter president of the first Marion county local.
Bethel; Gas Schlicker, Salem, president ef the Marion county unit; John Bollinger, Salem, manager of
the Fanners Union cooperatives; A. I Gurber, Corral lis, Tuesday afternoon meeting chairman, and
Peter V. Stroh, Salem, former member of the North Dakota Farmers Union. (Farm photo for the
Statesman), r
ZonersOkeli
Change for
Debated Lot
By Robert E. Gangware .
. City Editor, The Statesman
The southeast corner of Capitol
and Center streets, long a con
troversial spot in the Salem zon
ing map, was recommended for
restricted business zoning Tues
day night by the Salem city plan
ning and zoning commission.
Commissioners also beard, with
out taking action, proposals for a
South High street apartment
house project at Kearney street
across from Busns pasture and
for business zoning along the west
side of North Capitol street from
Hollywood south to Hood street.
Favorable action on the Capitol
and Center street zone ' change
was taken on a request by proper
ty owners Georee Rhoten and S.
F. Speerstra Tor a Class III-X
business zone there, limited to use
for a service station to be trimmed
in glass and marble in keeping
with nearby capitol group archi
tecture. The zoners endorsement
goes to the city council for final
action.
Previous attempts to establish a
business zone for that corner, now
in a residential zone, , have been
defeated in recent years because
of the proximity of the state capi
tol group.
The corner property, which the
owners said was too .small for
apartment house use, lies across
Capitol street from site of a new
highway commission building and
across Center street from the
Capitol Shopping center.
(Photo and additional zoning
developments on page 2).
Ghost Ship Drifts
Back to Scene of
Wartime Service
HONOLULU, Feb. 21 -JPh A
ghost ship, which drifted more
than 3,000 miles in four and one
half months, has been sighted in
the seas where she chased Japan
ese submarines during the war.
The ship is the former sub
chaser PGM 23. The 173-fOot, 280
ton vessel broke her towline 400
miles northeast of Honolulu Oc
tober - 9 while being towed to
Portland, Ore., for the Collins
Concrete and Steel Pipe corp., of
Portland, which had bought her
for junk. - :
Search was abandoned and the
PGM 23 was listed as a derelict
menace to navigation.
Today ,the navy freighter Byer
radioed it had spotted the vessel
in Caroline island waters and
would tow her to Kwajalein.
Democrat Retaliate
For Republican Ban
PORTLAND, Feb. 21-JPj-Mul-tonomah
county democrats no
longer want to listen to republi
cans running for non-partisan of
fice. - .--;.
The democratic central commit
tee took this stand last night after
hearing that; republicans would
not allow registered democrats,
running for non-partisan office,
to appear as speakers before their
groups. Only registered demo
crats henceforth will be allowed
to speak before democrats .meet
ings here "
7
Farm Union Backs
ieapporiioBiiiiGBit
By Llllie L. Madsea
Tarra Editor, The Statesman
Reorganization of the state legislature, was urged by Ronald E.
Jones, Brooks, state president, in his message on the opening day pro
gram of the Oregon Farmers Union 40th annual convention which
began its three day meeting at the Veterans of Foreign Wars haU
Tuesday, morning. - 4r
Legislature, he claims has "long flouted the constitution which
Death Penalty
Murder Trial
MANCHESTER, N. H Feb. 21
-iP-Tbe death penalty will not
be sought in the "mercy" deatn
trial of Dr. Hermann N. Sander,
prosecuting officials disclosed to
night
Hillsboro County Solicitor Wil
liam H. Craig said an agreement
that the state would not press for
the supreme penalty was reached
even before the selection or pros
pective Jurors began.
Under New Hampshire law,
death by hanging in first degree
murder convictions is imposed
only on the recommendation of the
jury. Unless the prosecution de
mands the death penalty the Jury
cannot recommend : that, Craig
said.
The mandatory penalty In New
Hampshire for conviction of min
der in the first degree is life im
prisonment unless the jury recom
mends death. .
Attorney General William L.
Phinney and Craig already have
informed the court, Craig said,
they were not seeking the death
penalty but "definitely" were
pressing the first degree murder
charge. I
The pace of the trial slowed
noticeably today.
VOTE POWER PROJECT
WASHINGTON, Feb. 21
The senate voted-today to
-VPr-
auth
orize a $708,000,000 Power and
anrf nd the California-Arizona
water fight to the supreme court
Out m 'Mercy'
Parents Testify Sons Given Consent
To Join Board -Labeled 'Secret' Club
Parents of Salem high school
students testified Tuesday that
they had given their sons per
mission to join a boys club, which
the Salem district school board
has labeled as being a secret so
ciety. At least seven parents said, at
the Marion county circuit trial
involving the 18 students, that
they had investigated the boys
club and decided it was not se
cret and a "good organization. .
The trial of the students against
the school board moved into its
second day Wednesday as attor
neys for the students shortened
their questionings. The trial was
recessed to Thursday at 9:30 a. m.
by Circuit Judge Dal King of Co
quille. Plaintiffs .attorneys, Reginald
Williams and Lawrence Oster
man indicated their side of the
case would be completed Thurs
day. Defense attorneys George
February 22, 1950
Together
i ii
I :
f ;
X
-4
called for redistribution of the rep-
resentation on the basis of popula
tion periodically. This has not been
done, he added, because of "con
flicting interests throughout the
state. This reapp or tionment
should be done by seme part of
the government other than the leg.
islature, he stated.
Jones also urged support of a
measure coming up on the 1950
ballot proposing to increase basic
school support." He again came
out for tax equalization. He urged
the development of resources
through some centralized north
west authority such as is proposed
in a CVA. He feared the "lack of
action and the do-nothing policy
of our Pacific Northwest states
will force the federal government
to take drastic measures to do the
job and it may not be done as we
would like to have it," He urged
the continuance of cooperatives as
a "major weapon for farmers to
maintain the same advantages in
living conditions that urban people
have," although he added that "we
can't do the job through coopera
tives alone." An alternative is to
devise a government program that
would increase opportunities in
farming, he stated.
Touching upon social security
measures, Jones urged that the
plan be enlarged to take in "every
body rather than just a few. Small
businessmen and farmers were left
out of the national plan altogeth
er," he explained.
Monopoly must be fought by
creating competition if the free
enterprise system is to endure, he
said, as he took his stand for the
Brannan program which "many
condemned for political reasons
and then changed their minds
when they understood the work
m&! of new plan
(Additional convention news on
page 6).
Rhoten, Robert DeArmond and
Donald Young said they hoped to
wind up the trial by Friday.
A jammed courtroom has wit
nessed the suit involving the stu
dents, who were expelled last Oc
tober by the school board. They
were reinstated under a tempor
ary injunction.
James M. Switzer, 19, a . Willam
ette university student, testified
that he organized the club along
the lines of a Portland organiza
tion. The Portland group he said
was a social group was not secret
and was not connected with the
schools.
The Salem club is known as the
American Boys club, Associated
Boys club or Alpha Beta Chi and
was organized last summer, he
said. He said he explained the
workings of the club to parents.
He told the parents, he said,
"that as long as the club did noth
ing illegal it could not be con
sidered an illegal group.
PRICE 5c
No. 347B
Miners Stiffen
Stand Despite
Court Threat '
WASHINGTON, Feb. 21
The fast-spreading chill of fuel
famine brought a showdown in the
coal dispute nearer today as strik
ing miners . stiffened their stand
in the face of a contempt of
court threat.
A spokesman for the National
Coal association said:
"There is no sign of a break
anywhere. The situation is grow
ing steadily worse. We'll soon be
seeing a complete paralysis of the
industrial, world."
These were the developments:
1. John L. Lewis and his United
Mine Workers maintained chilly
silence on last night's federal
court contempt citation, with no
sign of any new moves to get the
miners back to work as the court
has ordered.
2. Lewis and the coal operators
argued their way -fruitlessly
through two long sessions of
court-ordered bargaining and af
ter both of them operator spokes
man George H. Love said he saw
no sign of progress.
3. Layoffs In affected industries,
outside ' the mines themselves,
amounted to 55,500 with-a faster
spread of joblessness an immed
iate threat
4. Federal Mediator Chief Cyrus
S. Ching made a 35-minute re
port to Dr. John R. Ste&lman,
presidential labor aide, but said
his account boiled down to the
same story of "no progress" that
Ching already had given out last
night.
5. The 372,000 striking soft coal
miners, already idle for five
weeks, stayed stubbornly out of
the pits with occasional acid com
ments about the difficulty of jail
ing that -many men and about
how little coal a contempt order
will dig up. '
C Senator Taft (R-Ohlo) said
a group which called on him re
ported "organized gangs", are ope
rating in Ohio to keep miners
from working. He said it seemed
like - clear case, of contempt"
and referred his callers to the
justice department, There were
clashes with pickets in Pennsyl
vania and West Virginia too.
7. Talk of legislation for seizure
of the mines, often batted down
by the White House, rose again
above the whisper stage. But
Presidential Secretary Charles G.
Ross referred inquirers to Presi
dent Truman's statements that he
does not have nor want seizure
powers.
Industry Hit
Hard by Lack
Of Soft Coal
PITTSBURGH, Feb. 21-W-The
coal strike rained new hammer
blows on American industry to
day while roving pickets raided
non-union mines in their drive to
cut down production still more.
Lay-offs in coal-using indus
tries mounted to 55,500.
An additional 23,000 workers
will be furloughed tomorrow by
one steel company alone if the
"no contract no work" walkout
continues.
There is no let up in diggers'
determination to hold out for a
contract despite stop-strike orders
from John L. Lewis and a federal
court
An outbreak of violence in
western Pennsylvania saw fire
men ramming through a road
blockade and a barrage of stones
to put out a mine tipple fire
which state police said was set by
strike pickets.
ROSEBURG FAVORS DST
ROSEBURG, Feb. 21-P-Rose-burg
tentatively is planning to
go on daylight saving time from
April 30 to Sept 24.
Nearly all the parents, who tes
tified, were critical of the dism
terested attitude shown by mem
bers of the school board, when
the parents met with the board
last October, just prior to the ex
pulsion move.
Both the parents and the seven
boys who appeared Wednesday
said the boys had intended to se
cure a faculty advisor for their
club and that they agreed to dis
band if the club was not favorable
to school authorities.
Mrs. W. R. Howard testified she
discussed the club "very thorough
ly" with her son and with Switzer,
She said she was present at one
meeting in her home. Other par
ents testified that they "heard
every word," of several meetings
held in their homes.
Judge King warned attorneys
Tuesday against straying too far
afield in their interogations. 1
(Additional details on page 12.)
American
Minister
Recalled
Br Edward E. Bombar
WASHINGTON, Feb. 21 Wy
The United Stater broke off re
lations with; communist Bulgaria
today in the toughest American
action thus far against any of the
Soviet bloc countries.
Climaxing a "long series of in
tolerable restrictions and indigni
ties" against the U. S. legation in
Sofia, American Minister Donald
R. Heath and his -entire staff were
ordered home. -
At the same time, the state de
partment demanded the recall of
Doctor Peter Voutov and his
smaller Bulgarian staff in Wash
ington. First Since War
It was the first formal American
diplomatic break with any coun
try since World War II.
Officials indicated the move re
flected a harder diplomatic atti
tude by President Truman and
Secretary of State Acheson toward
the Moscow satellites with which
the U. S. has been waging post
war disputes.
A ban on American travel in
Hungary is already in effect
There have been veiled hints in
recent notes to communist Cze
choslovakia and Poland that re
lations might be severed. Mean-
tune all American consuls have
been ordered out of communist
China, which the United States
has not recognized.
Detailed Charges
Announcing the break with Bul
garia as a "suspension of rela
tions, the state department for
the first time detailed charges
that Bulgaria militia tortured and
killed three Bulgarian employes
of the U. S. legation.
Since the legation was estab
lished in September, 1947, the de
partment declared Bulgarian of
ficials and the controlled Bulgar
ian press have been "constantly
denouncing and : insulting the
United States." The Sofia govern
ment it said, has carried on an
"unprincipled campaign of per-"
secuuon against Bulgarian em
ployes of the legation.
Virtual Ultimatum1
The department also renewed
charges filed with the United Na
tions that Bulgaria has flouted its
peace treaty obligations and sup
ported ' the communist guerilla
campaign against Greece. '
The direct cause of the break
was Bulgaria's demand of Janu
ary 19 that Heath be recalled for
'interference" in Bulgarian inter
nal affairs. 1
The U. S. government respond
ed with a virtual ultimatum say
ing that relations would end un
less the charges were withdrawn.
The break came just a month
later with no sign of a formal
reply from the Bulgarian govern
ment despite repeated prodding
uy Acneson ana Heath.
Racial Bans
Outlawed by
Portland Vote
PORTLAND. Feb. 21 --Port
land observed Brotherhood week
todav bv outlawing racial dis
crimination in any business offer-
in? rjublic services.
me city, which gets an award
tonight for improving race rela
tions in the past year, passed a
resolution reauirine that hotels.
theaters, restaurants and other
places "or pubuc accommodation"
be onen to all regardless ett "rap
color, religion," ancestry or racial
oriein.''
The city council passed the or
dinance arter a mornin g-long
hearing in which council cham
bers were lammed to hear argu
ments from supporters and op
ponents, me vote was unani
mous. The ordinance provides a
maximum fine of $500 and six
months' imnrisonment
The award presented tonight
was rrom the national conference
of Christians and Jews, crediting
Portland with making greater
progress In race relations than
any other United States city in
me past year.
East's Record Cold
Wave Tempers Off
NEW YORK. Feb. 21-UPV-A rec
ord February cold wave tapered
on toaay in tne sniveling north
eastern United States.
Temperatures headed above
zero, bitter winds died down and
a light zau oi snow dusted some
areas.
The weather bureau said the
mercury should continue to rise
unm it reacnes a normal Febru
ary level.
The relief came onlv after mnxt
of the eastern seaboard, from Can
ada to the southern states, suffer
ed through a second straight day
of record lows.
Max. Mln. Precip.
5 M .M
52 41 . JDI
ei 40 .oo
Sales
Portland
San Francisco
Chicago
JS 20 X4
-23 S Mi
New York
Willamette river 8. feet.
FORECAST (irom U. S. weather bu
reau, McNary field. Salem): Cloudy
with occasional light rain today be
coming partly cloudy with showers
tonight. Little chanse , in temperature
with hlfh today near S4; low tonight
near 6. V
SALEM PRXCnTTATIOX
This Year Last Year Normal
30.8S 23.40 " . J
Prison
Handed
By Endre Marion f
BUDAPEST, Hungary, Feb. 21
AVHungarian people's court sen
tenced Robert A. Vogeler of New
York today to 15 years in prison
and his British business associate,
Edgar Sanders, to . 13 years on
charges of sabotage and spying for
the west. Appeals are to be filed
soon. ', ; '; :- ' A ; j -
Two of five Hungarian co-defendants
were sentenced to death.
The others got lesser prison terms.
The verdicts? were passed after a
three-day trial in which all calmly
confessed. , i
(In Washington the United
States denounced the trial as "de
void of justice, inadequate as to
evidence,- and replete with false
hoods") jf
All seven appealed, choosing to
risk their chances before, a higher
court empowered to increase as
well as to decrease sentences.!
Vogeler is an assistant vice-
Governorship USace '
Joined! by Pearson i
Democrats went all out for control of the state of Oregon Tues-
day with the announcement of State
he would be a candidate for the
Pearson, a Portland insurance
Candidate
WALTER J. PEARSON
Bridge to Be
Ready Aus. 31
The Independence bridge, orig
inally scheduled for completion
prior to last December 31, now is
set to be finished by August 31
next, it was disclosed Tuesday.
Work is expected to be resumed
within three weeks.
Little construction has been
done since last November, but the
shut-down is not occasioned by
the eastern coal strikes as was in
advertently reported yesterday.
Weather .and high water have
curtailed work.
A resort from steel testing lab
oratories to the state highway
commission Wednesday showed
all structural steel available, with
97 per cent of it already fitted,
riveted and welded. It is at the
Moore Drydock company of Oak
land, Calif., sub-contractor. The
general contract is held by the
Macco firm of Clearwater, Calif.
John Brooks, production mana
ger of Moore Drydock's structur
al steel division, told The States
man yesterday the steel would be
shipped as soon as the contractor
orders it. About 60 of the 730 tons
already are in place. I
-ir
Wkwmmmmmmm iC far r i ff
Independence
Film Choice Discrimination
Asked by Minister Group
By Winston II. Taylor
Church Editor, The Statesman
"Discrimination in the choice of
every film" seen was asked of
"people of Christian conscience
and character" Tuesday morning
by Salem Ministreial association.
Action of the group did not
mpntion the film "Stromboli." but
followed a lengthy discussion of
the controversy surrounding its
release.
The resolution adopted by the
association read: "We call upon
the people of Christian conscience
and character to use discrimina
tion in the choice of every film
that they and their families see.
We deplore the-low standards of
an industry which will exploit
adultery to publicize a motion pic
ture. It Is our hope that public
protest and . disapproval of such
conduct, expressed through a lack
of patronage at the theatre, win
help in raising the moral stand
ards of an industry which has a
major responsibility in American
life.-
Sentence
T7
er
president of the International -Telephone
and Telegraph company
and its roving representative in
eastern Europe. . t
Sanders, 43, was an accountant'
in the Standard Electric Works, an
IT&T subsidiary that the Hunga
rian government nationalized. -
; The court ordered that I their,
personal assets in Hungary be
confiscated and that they be ex-
pelled after finishing their terms.'.
The two condemned to die are '
Imre Geiger, former manager of
the Standard company, and Zcltan
Rado, former department chief inw
Hungary's ministry of heavy io
dustry. l
Kelemen Domokos, a Standard
company accountant, and the Rev. "
Istvan Justh, a : Roman Catholic -priest,
each were sentenced to 10
yeats in prison. J :
Edina Doery, a hotel telephone .
operator and barmaid, was given ' -a
five-year term. 1
Treasurer Walter J. Pearson that "
democratic nomination as governor. '
man who served one term as state .
representative (1943) and two as
state senator (1945-7). said he
"proposed" to "return to the peo
ple of Oregon the government of
their state." He called for- "an end '
to one-party rule" and declared ,
"members of both parties have .
urged me to become a candidate' ,
for governor. He charged - thai
republican leadership "has been
dictated by ultra-conservatives and -special
interests." -
Pearson, long-time opponent :
the sales tax, is the second demo- -crat
to announce for the governor- .
ship. Former StateSenl Lew WaH .
lace, twice a gubernatorial candi-
date, announced .Sunday. .. . ,
Still tovbe heard from - as to-
similar aspirations are State Sen. '
Austin Flegel of Portland; W, L,
Josslin, chairman Of the democrat .
ic state committee, and State Sen,
Richard Neuberger. also of Port-
rland. None has counted himself .
out"- - -, ; . .'' y.f - w . : Y
: Pearson's term as treasurer has .
another two years to run. If h ,
does not resign to campaign for,
governor (and legally, he is not
forced to), the democrats are as-.
sured of at least one member oa ;
the three-man board of control
through 1952 even if Pearson lose '
the governorship. If he should be
come governor, be could appoint I
his own successor as state treasur
er and thus give the democrats a
2 to 1 margin on the control board. '
(Additional details page 12) . ;
Salili to Head
Dump Removal -
ners
StatMBuui Xwa Itrrke
MACLEAY, Feb. 21 A. W. '
Sahli will head the , committee
seeking removal of the county
garbage dump from Macleay. i
Mrs. Theo Olson is secretary
and Mrs. Joseph Fendrick treas
urer of the committee following
Monday night meeting. On the
citizens committee also are Thee'
Olson, Paul Reick, Roy March, Jo
seph Fendrick, Warren Creech,
Mr, and Mrs. George Boedigheim
er, Mrs. A. W. Sahli, Arthur John
son, LeRoy Horsely, Fred Magar,
Wilbur Miller, William Batleyoua
and Harry Martin, Jr. '
The committee will meet at th
Marion county courthouse next
Tuesday at 2:30, to outline protest
actions. Norman Winslow is attor
ney for the residents.
BONUS CHECKS MAILED
OLYMPIA, Feb. 21 -(FV- World
War II bonus checks will be re
ceived by nearly 4,000 Washing
ton state veterans tomorrow as in
itial payment from the 170,000,000
fund.
Members expressed fear that
some stands might only further
publicize the film, whose release
coincided with the birth out-of-wedlock
of a child to its star and
producer, k .
Dr. Louis C. Kirby of Jason Lee
Methodist church declared there
was only a choice between two
evils to keep- silent and appear
not to care about such morals or
to take a stand and aid in public
ity. ,
In the discussion, following a
report oi me social ana civic ai
f airs committee headed by Dr. .
CaH T? TlMnMnfrtnn of ITtrc fVtn' -
gregational church, stress was
continually placed that th
churchmen were : not : "casting
stones" at individuals but at Hol
lywood! and the film industry for
using adultery as a means of pub
licity. 1
The Rev. W. H. Lyman of Court
Street Christian church hit the in-
vosrei
Camnaig
A C?
uuau; Asa uu mii wjl aimacl i mm m - '
dards."
, (Additional details on page TO rf