Bill Introduced to
. End Deduction of
'U. S. Income Tax
POUNDDD 1651
-w -
By HECTOR L. FOX
Associated Press Writer
X
A possible solution to about
the next two years reached the Legislature Wednesday in a bill in
troduced by Republicans. i
It is the part of Gov. Paul L.
elimination of the federal income
CHICAGO, Jan. 24 The after
noon papers, report President
Eisenhower's appeal to Congress
for authorization to use United
States military forces for defend
ing Formosa and the Pescadores
from conquest by Red China.
This will require U. S. assistance
in ferrying Nationalist troops
from the exposed islands adja
cent 'to the mainland. Then the
President made this startling de
claration of policy: , i
"Be alert to any concentration
of employment of Chinese Com
munist forces obviously under
taken to facilitate attack upon
Formosa, - and be prepared to
take appropriate military action."
There in miniscule but none
the less sharp and clear is "pre
ventive war." We would not only
defend Formosa from Commun
ist attack but bomb troop con
centrations and boat assemblies
which point, to the launching of
a Red invasion of Formosa. The
iresiaenrs message orougnt a
prompt rejoinder from Premier
Chou En-lai of Communist China,
denouncing U. S. intervention in
China's affairs, even quoting the
Charter of United Nations in sup
port of the Communist decision.
The Daily News here reports
this conflict of policy between
the United States and Red China;,
ana between the two statements
runs a dispatch from its own
veteran correspondent in the Far
East, Keyes. Beech, who reported
from Taipeh, Formosa: j
The United States is closer
to war with Red China than at
any time since the critical battle
of Dien Bien Phu."
'He reported before Eisen
hower's message reached him
and based his judgment on the
imminent evacuation of Nation
alists from the Tachen islands
which would expose . American
shipping to Communist bombing
or shelling. p
I persist' in the view that no
general wa" between the United
States and Red China will break
out in the immediate future. But
the ratification of the -(Continued
'on editorial page 4)
House Votes
rtailment of
atidns
WASHINGTON tfl A House
curb on 'congressional investiga
tions was announced Wednesday,
but in the Senate the Rnlx r.
mittee voted to recommend money
ior iwo new proDes. one of them
int the stock market
Chairman Smith D Va) of the
House Rules Committee said - it
would approve no investigation
uniess a good case is jnade for
it and would cut down on "this
matter of investigation all over
crtation." s ; .
Smith told the House the policy
hadihe backing of the Democratic
and Republican leadership, he
said more than 80 investigations
are now on the list his committee
has been asked to approve.
Many.' of the pending requests
Involve "duplications and unnec
essary excursions. he said, and
he intends to see "there will be
no fishing expeditions."
The Senate Rules Committee
voted to ask $100,000 for the Bank
ing Committee headed by Sen. Ful
bricht (D Ark) tit
sharp increases in the stock mar-
1- ... .t L 1
&ci wnicn nave oeen going on for
more than a year.
Two Senate investigating groups
were given extensions for a month;
they may be extended a longer
time later.
One 'is the Communist-hunting
Internal security subcommittee of
me juaiciary committee. Another
is an armed services preparedness
subcommittee.
QUARRY WORKER KILLED
BAKER. Ore. Ufi Lester Lee
Schafer. 30. Weiser, Idaho, : was
injured, fatally Tuesday while
working at the Portland Cement
Co. quarry at Lime, some 40 miles
southeast of here.
ANIMAL CRACKERS
V WAJtRCN OOOOK1CH
I I I I t7
BALD EAGLE
SHEDDOB
Investig
I I I I s
' yett. Bad!
half of Oregon's budget deficit for
Patterson's program suggesting
tax deduction in figuring state
I income tax returns. '
This would rake about $30,000,
000. but still leaves about $33,000,-
000 more in revenue for the law
makers to find.
The Income Tax Bill was intro
duced in the House by Rep. Wil
liam W. Bradeen, Burns, and Sens.
John P. Hounsell, Hood River, and
S. Eugene Allen, Portland.
, It would prevent Oregon's state
income taxpayers from deducting
THURSDAY HEARING
On standard rale-making, hear
ing procedures for state agencies
(HB 49) House Judiciary com
mittee, 10:30 a.m., Capitol Room
421.
their federal income tax payments
when they figure their state tax.
It thus would increase state in
come taxes, especially in the high
er brackets.
Referred to Committee ' 1
The bill was referred Thursday
to the House Taxation Committee,
which will be busy until about Feb.
8 studying the whole tax picture.
This committee, headed by Rep.
Loran L. Stewart R. Cottage
Grove, doesn't know yet what its
recommendations will be.
So far, there has been one sales
tax proposal, which is strongly op
posed by Labor and the State
Grange and Farmers Union.
38 New Bills
The Senate and House will re
convene at 10 a.m. today after
their Wednesday business which
included introduction of 29 new
House bills and nine Senate bills
and final action on a few minor
bills.
The House approved three minor
motor vehicle bills and passed a
Senate bill to let anybody start
action to have a child declared de
pendent or delinquent Now such
a petitioner must reside in the
same , county as the child.
But committee work was the big
show Wednesday. The Senate alco
hol committee heard the Oregon
Dispensers Association oppose any
change in state liquor commission
makeup or policy. The bill up for
hearing would substitute a high-
salaried administrator for the pres
ent unpaid three-man commission.
Asks Dam Work
A memorial calling for construc
tion of John Day Dam, either by
the government or by partnership,
won -endorsement in the -House
State and Federal Affairs Commit
tee. Approval was on straight
party lines four Republicans for,
two Democrats against it.
The committee also recommend-
ea passage of bins to create a
state historical board, and to set
up an advisory committee for state
institutions for delinquent children.
Substitute BUI
It shelved a bill to give the state
a bigger share of state racing re
ceipts, announcing that a substi
tute is being written at the request
of the State Racing Commission
Rep. Maurine Neuberger (D),
Portland, introduced legislation to
put State Police under Civil Serv
ice. State Police Supt. H. G. Mai
son, meanwhile, told a Senate
committee he opposes another bill
to let' dismissed officers appeal to
the Civil Service Commission.-He
said it would harm discipline.
The Senate Education Commit
tee approved a bill to abolish non
high school districts, which send
their children to high schools in
other districts and pay their tui
tion. The tuition would be paid by
existing elementary and high
scnooi districts.
(Additional legislative news on
Page 10, Sec. 2.)
Garpet Ruled
Not Taxable
As House Part
EUGENE W Frank Kinney
saia Wednesday he has received a
letter from the State Tax Commis
sion ruling that wall-to-wall carpet
ing is not, for tax purposes, part
oi a nouse.
Kinney, a realtor, appealed to
the commission last fall when
Lane County assessed the camel
ing as real rather than personal.
property. He contends that carpet
ing is the same as furniture.
Crippled Plane Locates Ship
In Mid-Ocean, Crash-Lands
NEW YORK un In a delicate
ly tricky hide and seek maneuver,
a crippled four-engined military
plane covered hundreds of miles
of stormy mid-Atlantic Wednes
day, then ditched beside a Coast
Guard cutter. All eight persons
aboard the plane were picked up
safely.
"No injuries, was the word
messaged here from the cutter.
For an agonizing two hours and
21 minutes. ' the plane groped
through storm and gathering dusk
toward : the Coast Guard cutter
Coos Bay, a tiny speck on the
vast, turbulent sea. ,
Then, minutes before nightfall,
the plane found its target The pi
lot brought his craft down exnert-
ly on the heavii., gale-swept sea.
Lifeboats plowed to its side and
the survivors were whisked to
safety. .
Radio was the thin thread that
brought the plane .and the cutter
together in a life-savin rendez
vous xar xrom una.
2
Swim Suits Sell
Briskly in Below
Zero Weather
INTERNATIONAL FALLS,
Minn. (JP) Swim suits and
shorts sold briskly in 12 be
low zero weather in this Cana
dian border city today to
retail clothiers.
A Minneapolis salesman
chose winter's coldest day to
take orders for heat - wave
sports wear, and reported sales
lively.
First Commie
Guilty Under
Anti-Red Law
CHICAGO UH Communist lead
er Claude Lightfoot Wednesday
was convicted of informed mem
bership in the Communist Party,
in a precedent - setting jury ver
dict with far reaching implica
tions.
The case provided the first test
of a Smith Act provision holding
that membership m an organiza
tion, knowing it advocates violent
overthrow of the U. S. govern
ment, is a punishable crime.
The provision goes beyond mere
membership. The law specifies
that a member; before he can be
adjudged guilty, must have knowl
edge that the organization seeks
or advocates violent overthrow of
the government.
The law provides a possible max
imum sentence of 10 years in pris
on and $10,000 fine.
Prosecutions under the Smith
Act, heretofore, have been based
against groups of Communist lead
ers charged with conspiring
against the government.
Lightfoot, 44-year-old executive
secretary of the Communist Party
in Illinois, told newsmen he will
continue to work for the Commu
nist Party until his case is finally
disposed of through further legal
steps including appeal, if neces
sary.
.He remained - free '-oa -830,000
bond.
A defense motion for a new trial
was set for Feb. IS. Judge Philip
L. Sullivan of U. S. District Court
also will rule then on a defense
motion for a directed verdict of
acquittal.
GeneraPs Wife
Shares Honor
At Unveiling
LOS ANGELES UFi Feminine
interest focused on a petite, brown-
eyed woman who quietly shared
the limelight Wednesday with her
noted husband. Gen. Douglas Mac
Arthur.
Mrs. Jean MacArthur stayed
close by the side of the general
during ceremonies in MacArthur
Park on his 75th birthday.
Mrs. MacArthur was dressed in
a black wool suit, a small off the
face white hat and a mink fur
scarf. She carried a bouquet.
She walked with Gen. MacArthur,
hand in hand, to a podium and
pulled the . cord revealing the
8-foot statue of her husband.
Mrs. Virginia Carlson Knight,
wife of the. California governor.
rode with Mrs. MacArthur to the
park. i
"She's so natural and warm and
good." commented Mrs. Knight
afterward. "Her goodness comes
from within.
STOCKPILING WEAPONS
DAYTON, Ohio UH The vice
chief of staff of the Air Force said
Wednesday night that the Rus
sians are building a stockpile of
tremendously destructive nuclear
weapons" and a bomber fleet de
signed to enable the Reds to strike
the North American continent.
The Coast Guard here said the
plane, bound from the Azores to
Bermuda, apparently accidently
lost 330 gallons of gasoline. Short
of fuel and 1,000 miles east of
Bermuda, 'there as no hope of
making a landfall.
At 2:37 pjn.. EST. the pilot ra
dioed the UJS. Air Force base at
Bermuda, told them he was buck
ing vicious headwinds and des
paired of reaching land.
The Coast Guard cutter imme
diately was informed. It changed
course to intercept the plane,
meanwhile guiding the pilot in its
direction by radio. .
Then, in a race against dark
ness, the two converged across
hundreds of miles of angry ocean.
- The Coast Guard here was in
formed that the plane had ditched
within 2Vi miles of the Coos Bay
at 4:58 p.m., EST. -
The plane was operated by the
Military Air Transport Service, an
arencT of the combined militarr
1 services. -
104TH YEAR
Ii oSb
SEaiONS-20 PAGES
Sabreiets Ordered
Operation Continues as Prison Flax Mill Fate Pondered
, -. -xyj itm rMHr-
T iff l lW 7 7r:?Z?;
:Vrx' V li tfaJkP'' f;?V--,X
. U X ' vs. Ti't V -W- )
. ljj H'-j? Wrh ?
Operating at full speed, this Is what
Penitentiary looked like Wednesday afternoon. Meanwhile, fate of
the prison industry is pending a study of the linen fibre market
ordered by the state Board of Control which is considering aban
Lawyer-Solon
Rule Reversed
By. High Court
The Oregon Supreme Court,
reversing a ruling by Atty. Gen.
Robert Y. Thornton, held Friday
that attorneys who are members
oi the legislature can represent
claimants before the State Indus
trial Accident Commission.
Thornton had ruled, that legis
lators couldn't do this because
the constitution bars legislators
from doing business with the
state.
The high court, however, said
that cases before the Accident
Commission are not cases against
the state.
The decision involves State
Rep. Ben Anderson (D), Portland
who belongs to a firm handling
cases against the Accident Com
mission. However, it affects sev
eral other members of the legis
lature, too.
The supreme court, whose de
cision was by Justice Hall S.
Lusk, held that such actions are
not actions against the state, be
cause, the state has no interest
in the accident fund, which is set
aside solely for injured work
men. Sweet Home Mail
Has Close Brush
With Dynamite
SWEET HOME HV-Jim Womack,
powderman at an M and M Wood
Working Co. logging operation 25
miles east of Foster, had just
finished blasting Tuesday and had
on3 of six dynamite sticks left He
put it in his hip pocket
- Suddenly a cat pulled a cable
taut, the cable twanged . into a
block of wood weighing some 10
pounds and sent it flying through
the air toward Womack. It hit him
in the hip, flattened the dynamite
stick and knocked him sprawling.
At Langmack Hospital here he
was doing veil Wednesday but
attendants said he would be kept
there a couple of days more with
a severe bruise.
Explosives experts said dyna
mite is usually stable and as a
rule is not set off by concussion.
However, since it contains nitro
glycerine a blow sometimes does
set off a dynamite, blast
Max. Mia. Precis.
.4 S3 .M
40 , 31 J01
24 2 M
5S J4 .00
M 38 .00
49 32 .00
58 36 .00
71 37 .00
23 7 J
Sale -
Portland
Baker
Medford
North Bend
Roseburg
San Francisco
Lot Angeles
Chicago
New York 38 27 .00
Willamette River 2J feet. .
FORECAST from U. S. weather
bureau. McNary field, Salem):
Tog and low clouds this morning,
lifting and a few breaks this after
noon Low clouds and fog re-forming
again this evening. Mostly cloudy
with a few 'shows Friday. High to
dav near 44: low. tonight near 30.
Temperature at 12:01 a.m. today
SALEM ntCCIPTTATIOK
Sines Start of Weather Year Sept. 1
This Tear last Tear Normal
uta sen 2x14
The Oregon Statesman,
the flax mill at the Oregon State
Senate Groups Favor
Formosa Defense Plan
WASHINGTON (President Eisenhower's fight-if-we-must de
fense plan for Formosa drew a heavy vote of endorsement Wednes
day from two key Senate committees and hot criticism that It "f
signals "preventive war. ,
In the first rumblings of a momentous Senate debate, Eisenhow
er supporters jumped up to declare the only purpose of the policy
is peace, tnrougn a show of
strength to .'discourage Red Chi
nese aggression.
27-2 Vote
By a 27-2 vote, the Senate Armed
Services and Foreign Relations
Committees approved a resolution
to empower the President to use
American men and weapons to
keep Formosa, the Pescadores, Is
lands and "related positions and
territories" out of Communist
hands, i .
But in committee and on the
Senate! floor, a small but hard
hitting band of senators began a
fight. They centered their fire on
the "related positions" phrase and
its implied authority to attack Red
invasion forces on the Chinese
mainland and to defend small is
lands strung along the Chinese
coast.
Preventive War
"Put in plain English," said Sen.
Flanders R-Vt), "This is preven
tive war."-;
He told the Senate he would vote
against the resolution the show
down may not come before the
end of the week or later al
though he voted in committee to
send it to' the floor.
Sen. Morse (Ind-Ore) likewise
took a stand that the resolution
permits preventive war and ex
pands the possibility of conflict.
He encountered an ; immediate
challenge from Republican Leader
Knowland of California.
Over and over, Knowland de
clared that the resolution doesn't
involve "one iota of desire or in
tent" of preventive war against
Red China or any other nation.
Death Claims
Early Pioneer.
Ex-Legislator .
ROSEBURG W A former
Oregon state legislator and son of
Douglas County pioneers died in
a hospital here Wednesday
morning.
He was Ira 6. Riddle, 84. whose
parents crossed the plains to settle
in this area about 1850. The nearby
town of Riddle is named for them.
Ira Riddle was the first white
child born in-the Cow Creek Valley
of Southern Douglas County. He
was admitted to the bar after
study at Portland is 1892 and 10
years later served in the Legis
lature. Walnut Sale
Profit High
WOODLAND, Calif. (UP) -Rancher
JacoJ) Dieteker had just
loaded S2 bags of walnuts on his
truck when a boy appeared at his
door offeraik four bap for sale.
Dieteker paid the youth $4.50 for
the walnuts and loaded them on
bis truck. Then he counted the load
again. It added tm to bags.
Salem, Oregon, Thursday, January
doning the plant. Decision of the board will be made at a meeting of
the Board of Control and Flax and Linen Board committee to be
held within 30 days. (Picture also on page 3, sec. 1.) (Statesman
Photo)
Britain Aived
By Unconcern
Of Americans
LONDON tf Several London
newspapers confessed Wednesday
they do not understand what keeps
American blood pressure steady.
It was generally assumed that
critical developments over For
mosa would have given the United
States a case of war jitters. But
British correspondents in Ameri
can cities report they discern no
excitement whatever.
"No doubt Mr. Chou En-Lai,
premier of Communist China, will
be annoyed if ever he sees Ameri
can evening newspapers, said a
dispatch to the Daily Express.
"His threats against the United
States are rated no more import
ant than the fact that Marilyn
Monroe has been seen having din
ner with ex-husband Joe DiMag-
gio, the baseball star.
Eden Defends
Ike's Stand
LONDON in Foreign Secre
tary Sir Anthony Eden Wednes
day defended President Eisenhow
er's stand on Formosa and angrily
rejected Laborite leader Clement
Attlee's charge that the United
States is interfering in a Chinese
civil war.
Renewing the British plea for a
cease-fire in the Formosdn Strait,
Eden told the House of Commons
"force is not the solution."
Atom Spy's Young Son Barred
From Prison Visit With Father
SAN FRANCISCO (J-Five-year-old
Mark Sobell flew from New
York to San Francisco Wednesday
to visit his father, atom spy
Martin Sobell, in Alcatraz federal
prison.
Sobell is serving a 30-year term
for conspiring with Julius and
Ethel Rosenberg, executed as atom
spies.
Mark waited excitedly at the
federal docks, watching the prison
boat corning from Alcatraz Island.
He talked of his first boat ride and
speculated whether San Francisco
Bay was deeper than New York's
Central Park lake.
Then the twat arrived and a
guard handed his mother a note.
It was from Paul J. Madigan,
newly appointed warden of Alca
traz. It said simply:
"Your visit cannot be granted
today." v
Mrs. Sobell stepped into a phone
27, 1955
to Formosa
Ex-Treasury
Head Heard
In Tax Probe
OMAHA W) John W. "Snyder,
former secretary, of the Treasury,
took the stand Wednesday before
a federal grand-jury probing St.
Louis Internal Revenue matters..
After waiting all forenoon with
out being called, Snyder went into
the jury room in mid-afternoon.
Earlier in the day the grand jury
heard William II. Woolf, Washing
ton attorney and former Internal
Revenue official and George J.
Schoeneman, former - Internal
Revenue commissioner and admin
istrative assistant 1 0 President
Truman.
In earlier sessions the Omaha
grand jury heard James P.
Finnegan, former SL Louis collec
tor, now serving a federal prison
term for misconduct in office, and
other present and former Internal
Revenue off icialsf.
Only one Indictment has been
returned by the grand jury.
G. Elmer Brown,' Philadelphia
Internal Revenue service official,
was accused of perjury, in his
testimony before ' the grand jury
in connection with the 19o0 investi
gation of the St. Louis Internal
Revenue office. '
Finnegan and his staff were
cleared in that investigation.
Today's Statesman
Sec Page
Classifieds
Comics
Crossword
.!!.. 8-9
Editorials
Farm
Legislative J.
Sports
Star Gazer
TV, Radio ...LU1.IL.
Uran. Boom' Town II-
Valley
Women's, Society w I..
. 6
. 3
. 4
.8-9
booth and called the warden.-She
accused him of reneging on a
promise made by former , warden
Edwin B. Swope, "because of the
publicity involved" in letting Mark
visit his father.
Madigan said Alcatraz formerly
had a . policy of not permitting
small children to visit the island,
and the prison' "will return to that
policy. .
While- Mrs. Sobell was in the
phone booth, the Alcatraz boat cast
off. ' v .
Frantically young Mark pounded
on the telephone booth and shouted
at his mother:' "But. you promised.
CaL the boat back., You promised."
On the way back to town he
buried his -head in his mother's
lap and sobbed, "'I want to see
Morty. Didn't; you have enough
money for the boat?"
His mother tried to quiet him:
"You don't have to pay for that
.ll.. 6
.ll 7
I 4
.ll . 5
10
ll.j-2
I... : 3
boat ride. Not with money". "
No. 306
TAIPEH, Formosa An entire
wing of F86 Sabre jets manned by
American pilots started moving to
Formosa Wednesday, the Far East
Air Forces announced in Tokyo.
Word of the temporary transfer
came through as Chinese Nation-,
alist four-engine bombers renewed .
their attacks on Communist Yik
ingshan Island with excellent re
sults, according to official reports.
The first Sabrejets already had
landed on Formosa "and the re
mainder will be in the place short
ly." The Sabres racked up a 13-1
score over Communist MIG15 jets
during the Korean War.
From Okinawa
(The 18th Fighter-Bomber Wing
was being transferred from bases
in Okinawa and the Philippines.
In addition, FEAF said, other of
fensive units were being rede
ployed to forward bases. This
meant that long range jet bombers
such as the B47s of the Strategic
Air Command on Guam were be
ing moved closer to the troubled
Formosa area. That could mean.
Okinawa, the Philippines or Jap-;
Ian.)
j Press reports said the U. S. 7th
, Fleet, whieh has massed a power-
ful air-sea armada in the Formosa'
area, staged "show of strength"
maneuvers Wednesday north of
Formosa in the general area of
th? invasion-menaced Tachen Is
lands. .
News reports said 300 U. S.
planes streaked through the skies
north of Formosa.
Decision Near ,
The reports came as the Na
tionalists were deciding whether
to pull out of the Tachen Islands
200 miles north of Formosa. Plans
for the evacuation, under protec
tion of U. S. sea and air units,
were believed completed and only
awaiting the Nationalist policy de
cision. The predawn Nationalist raid on
Yikiangshaim IBfles north' of the
Tachens, was made through in
tense antiaircraft fire, the reports
said. Communist warplanes failed
challenge the bombers and all
returned to Formosa, the reports
added.
The nightly raids on Yikiang
shan, captured by the Reds last
week after a sizable amphibious
invasion and heavy fighting, ap
parently were aimed to suppress
Communist guns which could har
rass an evacuation of the Tachens.
Fog Hampers
Motor Traffic
Motorists in the Salem area got
through Wednesday without any
serious mishaps despite patches
of fog that covered the region most
of the morning and formed again
during the evening. ' t
Airplane service was disrupted
along the West Coast by fog con
ditions, wittf some Salem flights
cancelled. Weather observers re
ported patchy fog for the length
of the coast, and the McNary Field
station in Salem predicted addi
tional fog for today.
The early-morning forecast
Thursday called for fog patches
here throughout the morning, with
some breaks during the afternoon.
Additional fog is expected again
tonight.
Weathermen said temperatures!
in the area will be slightly lower
today, ranging from an afternoon
high of about 44 degrees to a low
of 30 tonight.
Justice Suggests .
Formosan Solution
PHILADELPHIA UFI Supreme
Court Justice William 0. Douglas
said Wednesday night one solution
to the Formosan crisis might be
"equal recognition" for the Na
tionalist China and Red China gov
ernments by the United Nations.
In the Interest
Of Spelling!
More than 3000 7th- and 8th
grade students of Marion, Polk,
Linn and Yamhill Counties are
competing in me u annua
Statesman-KSLM Spelling Con
test. Following are among words
being studied:
congratulate
violin ; ...
ammunition
courteous
enthusiastic
encourage
umpire
vision '
cashier
expression
delicate
worship
utmost j
K solemn,
satisfy
remittance
occupation,
resident,
v
othencise
noble
porerty
stenographer
receiver -scheme
.
territory
PRICE 5c
Planes
Manned
ByYanks