The Oregon statesman. (Salem, Or.) 1916-1980, April 24, 1955, Page 2, Image 2

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    i Sec. 1) Statesman," Salem,
Morse, Neuberger Split on
Dam Issue 'Talk of Capital 9
By A. ROBERT SMITH
Statesman Correspondent
WASHINGTON The ipUt be
tween Sen. Wayne Morse and
Richard L. Neuberger on Neu
berger's fight against Echo Park
Illegal Trade- in Vets'
Housing Rights Bared
WASHINGTON (J! Chairman
Teague (D Tex) said Saturday
the House Veterans Affairs Com
mittee has found a widespread
"vicious, illegal practice" involv
ing the buying and selling of-veterans,
housing rights. ''
Teague, whose group has under
way a 150,000 Inquiry into alleged
GI -housing irregularities, said
still - incomplete findings also in
dicate: 1. Veterans Administration ( VA)
laxity in its home loan guarantee
program.
He said the VA has lost some
23 million dollars in foreclosures,
and some veterans have found
themselves in debt to the govern
ment even though they had sold
their homs and were living some
wnere eise wnen me loreciosures
took place.
, 2. Instances where VA employes
working on housing have used
their "position to make money out
side their salaries such, as ap
praising a project lor more than
its worth and accepting money
from the builder.
However, hesaid VA vigilance
on this score seems better than
when the committee last looked
into the matter in 1952.
Widespread Practice
Teague called the selling of GI
home loan grantee rights "a
vicious, illegal practice that is
widespread throughout the United
States" in this time of booming
housebuilding.
Committee investigators said the
rights sales, punishable by fines
.up to $3,000 and five years ifl
prison upon conviction, have in
volved both builders and real
estate agents as well as the vet
rans. However, they said most of the
veterans did not know they were
violating the law in selling their
rights at prices ranging "frorj a
drink, up 16 $400." j
Protection Starts '
They said prosecution is already
under way against buyers in cases
at Atlanta, Ga., Houston, Abilene,
Midland and El Paso, Tex., Okla
homa City, Okla., and San . Diego,
Calif. Now under- investigation by
the committee; or other federal
agencies are instances at Los An
geles and Montgomery,. Ala.
The GI - home loan guarantee
to each veteran of World War TI
and theorean War, are popular
because they allow home buyers
cheaper and easier credit terms
than on other types of loans. A
, builder with a Gl-guaranteed loan
on his new house thus can sell it
fori more.
Mast Live in Home
The lawbreaking in selling GI
OSCTod m
SpeechMeet
MISSOULA, Mont. UP) Oregon
State College won three f i t st
places, a second and a third to
win the Northwest Tau Kappa
Alpha speech tournament sweep
stakes Saturday,
Twenty colleges represented by
240, contestants participated in the
annual three-day tournament
Results included:
Sweepstakes Oregon State,
Idaho State, Brigham Young and
Utah State tie for third.
Me'n's debate Montana, Idaho
State, Willamette.
Women's oratory-rConnie Kin-
ser, Oregon tate, first and Vivian
Keith. Oregon State, third. ;
Women's extemporaneous Rose
mary Bower, Willamette, third.
Men's oral interpretation Allen
Shaw, Oregon State, first; Gail
Schoppert, Oregon State, second.
Attendance at
Home, Garden
Show Climbs
The Downtown Lions Club's
Home and Garden show Saturday
closed its three-day stand with a
total attendance of 14.903, in con
trast to some 13,000 for last year.
The final day's attendance was
8.518. The occasion, held at the-
" fa rgrounds.- is to display the lat
est trends in homes and gardens.
Winners of $25 merchandise
awards Saturday were J. H. Hoit,
2125 Market St.; Mrs. Ralph David,
1005 Ruge St.: W. W. Schutt, 779
Gerth Ave. Gerald Strezanv 5010
N. Lancaster Rd., won the $50
award. - -.
Model trucks, tractors and mov
ing fcns were W. E. Savage, Sa
lem Route 2; Dan C. Marcy, 191
McNary Ave.: Mary Litchfield, 757
South St.; Mrs. Ef fie Andrews,
1225 W. 18th. SL
Other winners were John Mo
ragli, 1845 Grant SL, and Ed New
rmani Salem Box 367, ceramic
plates; Mrs. E. C. Blust, 2295 N.
Fifth St., 40 square feet of steel
tile; Agatha Sipoia, 1660 S. High
St., a world globe: Mrs. D. P. Mc
Comb. 2255 N. Fifth St., five gal
lons of paint; Mrs. Melvin Torre
da!. Silverton Route 2. 50 pounds
of fertilizer; Helen Holland, Brooks
Route 1, roona, . carpeted wall-to-wall.
, . .
WARM STOVE
Firemen at 8:41 p. m. Saturday
were called to the house of , Mrs.
. Arthur Welch, 445 S. Capitol SL,
when she- stove overheated.
Ore., Sunday, April 24, 1955
Dam in the Senate was the con
versation piece of the press gal
lery this past week.
It was not the first time Ore
gon's Democratic senators had
been found on opposite sides of
rights, committee aides said, oc-'
curs because the veteran who uses
bis ' entitlement must state that
he's going to live in the new home.
When he sells the entitlement,
he has therefore made a false and
fraudulent statement to tfie gov
ernment. The buyer is also guilty,
the officials said, because he
helped t in the violation. ,
In citing cases of "wholesale
manipulating" of the GI rights,
the investigators . said one buyer
even ran newspaper advertise
ments offering to purchase entitle
ments while another solicited them
from veterans in a California jail.
John Day BUl t
'Distiirbiiig'
To Neuberger
.WASHINGTON ( Sen. Neu
berger (D Ore said Saturday he
was "'greatly disturbed" over the
effect which "partnership" devel
opment of the proposed John Day
Dam on the Columbia River would
have on "raising the cost of power
to homes, farms and business in
the State of Oregon."
Neuberger was commenting on
legislation introduced this week by
Rep. Coon R Ore) to permit con
struction of the 310 million dollar
dam. Under the bill, local interestsrSen. Arthur .Watkins (R-Utah),
would put up an' estimated 273 dol
lars.
Coon and former Sen. Cordon
(R Ore) sponsored a similar pro
posal for John Day in the last
congress but it failed to clear com
mittees in either the Senate or
House. -
Coon said his present bill differs
from last year's in the extent of
local participation. Under the pre
vious v legislation, local sponsors
would have contributed 164 million
Neuberger said in a statement
that . the new Coon bill "reveals
in sharp detail the shortcomings
of the Cordon-Coon partnership bill
of last year. He added
"When we held the line against
the administration's partnership
scheme for a year it forced the
'local interests' to raise their ante
from $164,000,000 to $273,000,000
"It is evident that the power
assets of the John Day site are so
valuable that the private utilities
are willing to up their bid at least
$100,000,000 over their . 1954 offer.
in order to secure monopolistic
control of these facilities."
Neuberger said that Army Engi
neers estimate the value of John
Day power at about $1,276,000,000
over a 50-year period.
"Comparison of the two partner
ship biUT for John Day exposes
many detrimental features," Neu
berger said. The new bill leads
down innumerable blind alleys.
"Important questions need to be
answered before power consumers
in Oregon are lured down the prim
rose path of partnership. How
much more will partnership power
cost the user? Do we want high-
cost partnership power pr more
economic and industrial expansion
in Oregon?
Ship, Fishing
Boat Collide;
Man Missing
i
AVON, N.- J. A passenger
liner crashed into a crowded fish
ing boat in fog off the New Jersey
Coast Saturday and sliced off the
bow of the smaller vesseLr
One man was missing and 56
other passengers on the fishing
boat Bobby II were rescued by
the liner, the President Buchanan.
Later they were transferred to
a Coast Guard cutter and taken
ashore on Staten Island.
Six of the survivors were injured,
and . after treatment on the pier
were taken to a hospital.
Other survivors told how the
7.652-ton liner emerged from the
cottony fog all of a sudden, crashed
into the fishing boat and sheared
off 18 feet of her bow.
"That boat looked like the Em
pire State Building when it hit us,"
said Fred Gianetti, 49. of West
Paterson, N. J.
Survivors credited the fishing
boat captain, David Shinn, of Bel-
mar, N. J., with averting a worse
disaster by quickly "reversing his
engines when the crash came.
If he had not done so, said Paul
Hyman. 38, Philadelphia, "We
would have been hit in the middle
and there would have been no
survivors."
CORRECTION
HEDGE LAURELS
Our ad ia Saturday's States
man incorrectly stated Hedge
Laurel and Fig Trees S2 a
dozen. Only Hedge Laurels are
12 a dozen.
KNIGHT PEARCY
Open 7 days a week, .
Portland Highway, one mile
' Sooth of Brooks
an issue in this congressional
Session, but. it was considered the
most dramatic issue, made so by
Neuberger himself. And Morse
let him down, easily but flatly.
The climax came in the Senate
as voting began on ' the upper
Colorado River redamation-pow-er
project a $1.6 billion authori
zation for federal construction of
dams and irrigation units in four
Rocky Mountain states. As a
member of the Senate Interior
Committee that heard testimony
on the bill, Neuberger voted in
favor of sending it to the floor,
with one reservation against the
single Echo Park Dam that would
partially flood Dinosauf National
Monument on the Utah-Colorado
border.
Lengthy Report
Going beyond the usual dissent
often registered by senators, Neu
berger wrote a lengthy dissent-4
ing report in which he warned
that approval of Echo Park Dam
would breach the historic inviol
ability of the national park sys
tem; and he suggested this would
lead to invasions of Crater Lake
and Olympic parks by timber,
grazing or other interests.
During his recent trip to Ore
gon, Neuberger announced" forma
tion of a committee of conserva
tionists to fight the Echo Park
project He returned to Washing
ton with both barrels loaded.
Seeks Amendment
As debate -on the big bill
opened. Neuberger jumped in
with his amendment to knock out
Echo Park Dam but leave the re
mainder of the bill intact Next
day he followed up with a long
verbal blast at the x project and
was challenged by mountain state
senators. After three days of de
bate, the Senate voted down his
amendment 52-30 and galloped on
to pass the bill. 58-23.
Through it all Wayne Morse
sat silently, chatting amiably
with colleagues, sometimes with
who pushed as hard as anyone
for the project. Not until after
Neuberger had taken bis licking
did Morse arise to "commend"
his colleague's efforts but state
that Neuberger just didn't have
the law on his side this time.
Morse said if Neuberger's argu
ment had had any merit, he
would have supported it
Heavy Pressure
Reportedly, there was more to
it than that, for there was heavy
pressure from pro-He Canyon
backers to head off the Neu
berger move in order tofwin some
mountain state votes forlthe Hells
Canyon bill when it cbmes up.
That is, the argument was being
pressed that it was more im
portant to court good will among
Republicans such as Watkins of
Utah who are reclamation en
thusiasts by backing Echo Park
Dam than to satisfy conservation
groups by fighting what was re
garded in advance as a losing
cause.
Crosswind
This caught the Oregon sen
ators in a heavy cross-wind, since
both are backers of Hells Canyon
and both regard themselves as
champions of conservation. The
directions in which they sepa
rately chose to travel suggest
their deepest inclinations.
With virtually every conserva
tion group jn America opposed
to Echo Park Dam, Neuberger
ran true to the form of his jour
nalistic efforts of past years to
take the lead against that proj
ect. With public power and Hells
Canyon dam at the top of his list
fop presentation to the "voters
when he comes up for re-election
next fall, Morse went along with
the comprehensive plan for de
velopment of the upper Colorado
without dropping the controver
sial Echo Park site.
f Special Meeting!
Blue Lake Members
Cannery
Tues.
I At the Labor Temple
"Big Season Opener"
Modified
JALOPY
AUTO RACES
Plus
6 CAR SMASHUP
TODAY
Tim Trials 1:30 P.M. Races 2:30 P.M.
Gates Open 12:30
HOLLYWOOD BOWL
SALEM
1 Mi. North Salem Hiwoy 99
Admissions
Adults $2.00
Politician Used
Gamblers Fund
In Alabama
BIRMINGHAM, Ala. tfi Wit
nesses linked Arch Ferrell Satur
day to an attempt to defeat slain
A. L. Paterson for office first with
money contributed by gamblers
and then by switching votes in
the attorney general's race last
year, v . ;
Ferrell, 38 - year - old former
Phenix City prosecuting attorney,
is on trial for the murder of the
Democratic nominee for attorney
general who had vowed to clean
up vice-ridden Phenix City.
Patterson was shot to death last
June 18, just 17 days after winning
the nomination.
A onetime lottery czar, Godwin
Davis Sr., and Patterson's defeat
ed opponent. Lee (Red) Porter of
Gadsden, both told the jury Fer
rell was present when gamblers
gave Porter $18,000 for his cam
paign. State's attorneys managed to get
into the trial record even though
Ferrell has been acquitted on a
charge of padding Porter's returns
in an attempt to change the results
of the June 1 primary.
LaMar Reid, a young Birming
ham attorney who was chairman
of the Jefferson County (Birming
ham) Democratic executive com
mittee at the time of the election,
told how the vote switch was made.
He said that although he dealt
directly with former Atty. Gen.
Si Garrett, the ousted Phenix City
prosecutor figured in it, too. ,
Garrett is another defendant un
der indictment for the Patterson
murder and also for the vote fraud
charges. But he is in a Galveston.
Tex., hospital for treatment of a
mental disorder and hasn't been
tried.
LightPlane in
Honolulu on
PqcificFlight
HONOLULU (UP) Two hardv
fliers landed in Honolulu early Sat
urday completing the first leg of a
flight to Tokyo in a light, private
plane which has a normal cruis
ing range of 780 miles.
The pilot. Jack Ford, president
of Fleetway, Inc., of Burbank,
Calif., and unidentified co-pilot,
stepped from the twin-engined
Beechcraft 14 hours and 10 min
utes after they took off from San
Francisco International Airport.
Airport officials were amazed.
Ford's flight plan, filed in , an
Francisco called for a fraction un
der 14 hours flying time for the
trip. He missed it by less than 15
minutes.
The plane carried, fuel In extra
tanks, giving it 15 1-2 hours flying
time. ,
Ford said that as tuFtFtS
knows, the projected trip to Japan
is unique for so small a , Craft,
in' the world. l
However such trips are routine
over the Atlantic, he said. Ford Is
delivering the plane to its new own;
er.
Syria 'Grateful'
For Red Interest
In Middle East
MOSCOW (Jf) Syrian Ambassa
dor Farid Hani told Soviet For
eign Minister V. M. Molotov Sat
urday Syria is grateful for the in
terest of the Soviet government in
opposing Western - sponsored de
fense arrangements in the Middle
East.
Hani said his country also was
grateful for Soviet intentions to
submit the question to the United
Nations.
Syria objects particularly to the
recently arranged Turkish-Iraqi-Eritish
mutual security pact.
Local 670
8: P.M.
Kids 50c
New Violence
Reported in ,
Rail Strikes
By THE ASSOCIATED PRESS
Efforts by Southern governors to
end a widespread telephone strike
collapsed Saturday, and new vio
lence broke out in the Smith's big
railroad strike. f
A statement issued jointly by the
governors said:
"We sincerely regret that we
have been unsuccessful in getting
the parties in dispute to resolve
their differences. . . . We condemn ;
the intolerable conditions which 1
now exist and - which have been '
brought about by the arbitrary ac-
tion of both parties in dispute." :
Violence was reported on two i
fronts in the Louisville & Nashville!
Railroad strike.
Six men were injured as 27 LJtN i
ireignt cars were derailed , near
Barbourville, Ky. A spokesman for
the railroad blamed the derailment
on sabotage. '
Earlier Saturday, a main line
rail was reported dynamited near
London, Ky. The FBI called it
sabotage.
TROOPSHIP DUE ' -
SEATTLE W) The transport
Gen. M, M. Patrick is due from
the Far East April 30 with 1,436
passengers, mostly Army and Air
Force men. The Patrick is the only
troopship scheduled to arrive at
Seattle from the Far East next
week.
SQUARE DANCE FANS!
Wed, Nite-8:30 P. M.-Cipilol Theatre Stagel
SQUARE DANCE REVIEW!
Featuring Dancers From 'These Groups:
Capitol O Circle 4 Friendly Squares Homesteaders
Gate Swingers Y.M.C.A. Merry Mixers Cotton Pickers
Wagonwheelers.
Under the Direction of Vivian Stone!
Ca.mm "TIMBERJACK" Sterling Hayden
Ull jCieen 'THE ATOMIC KID" - Mickey Roony
( Wvri una tHt crrt L I
4 SB ; 1
-2ND
ORIGINAL! wJARZAII HIT!
'Am
THE APE MAN
ierftr aria
love' in the
5-
Gates Open 6:45-Show At Dusk
STARTS TONIGHTI
Two Technicolor Hits!
Humphrey Bogart
Jose . Ferrer
Van Johnson
Fred MacMurray
"THE CAINE
MUTINY"
2nd Technicolor HU ' .
DANA ANDREWS
DONNA REED
THREE HOURS TO KILL"
Irinf The Whole Family See A Movie
From Your Car Kids Under It Free
At The Theaters
Todav
ELSINORI
""BEDEVILLED. with Anne
Baxter and Steve Forrest.:
"THE OTHER WOMAN," with
Cleo Moore and Hugo Ha.
CAPITOL
"GANGBTJSTERS"
"TIVE GUNS WEST," with
John Lund and Dorothy Malone.
GRAND
-THE ASPHALT JUNGLE,"
with Sterling Hayden.
"TARZAN. THE APE MAN."
with Johnny WeismuUer : nd
Maureen O'Sullivan. t i :
NORTH SALEM DRIVE-IN
THE CAINE MUTINY," witfi
Humphrey Bogart, Jose Ferrer,
Van Johnson and Fred MacMur-
r"THREE HOURS TO KILL,"
with Dana Andrews and Donna
Reed.
HOLLTWOOD !
"GREEN FIRE," with Grace
Kellv and Stewart Granger.
'THE OUTCAST." with John
Derek and Joan Evans.
Demo Chief to Speak
In West Coast Area
WASHINGTON A week of
traveling from coast to coast lies
ahead for Chairman Paul M. But
ler of the Democratic National
Committee.
Democratic national headquar
ters here said he will fly Wednes
day to the West Coast for speeches;
in Seattle April 28 and Pasco and
Spokane April 29.
. Although the first Russian rail
road built jn 1837 had rails six
feet apart, the present Russian
standard width is five feet.
Cont. From 1 P
M.
THIS IS m
Marflyn Monroe won
her first fame by
hr axciKng
performance
in nut
HIT
r
'I'll h h U f.J I jn jTi s
4ir:nnmmy
nm mm Mm ,4kr
PLUS -3SSL- 4ffr:v .
I CARTOON - ' 4t--
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East German
Reds Free 2
West Guards
BERLIN W The Communist
East German government an
nounced Saturday night the re
lease of four German custom
guards kidnaped with their speed
boat from West Berlin two days
ago. t
Their release was announced by
the Ministry of the Interior a few
hours after publication of a vigor
ous protest by the Western com
mandants of the city to Soviet au
thorities, demanding the immedi
ate return of both craft and crew.
The anouncement was carried
by the official East German news
service, ADN.
It stressed that the seizure was
completely justified" because the
guards attempted to check barges
in Soviet Zone waters. Western au
thorities have insisted the craft
was on the West Berlin side of
the border when Communist po
lice seized it at gunpoint. I
The released custom guards ar-'.
rived in West Berlin Saturday 1
night in the U. S. sector. The
Communists so far have not re
turned the boat.
Meanwhile, West Berlin officials
announced Communist customs
guards have seized in the - last
three days six trucks carrying
scrap metal and metal products
from West Berlin to West Ger
many. A number of sea animals swim
by jet propulsion.
ssnroczEl playing
It All Happened Here In Oregon! ,
THE FACTUAL STORT OF C7
PUBLIC ENEMY NO, 4 ;V f'r-
as searchlights IV r
sweep the prison yard IjfS .
... and gunfire splits a v "
the ominous shiws! i
i , , -- til . : r
ltttttttf
see
ytwpoJfce-mjrtron
bowtd o stir-crazed kMer
on ttie lorn . . . Too crafty
to die... Too desperate
to five... Not o pretty
story -but a tree one!
blazing A Trail Notorious As The
West Has Ever Known!
JOHN LUND DOROTHY MALONE
"FIVE GUNS WEST"
Plus
Cinemascope Thrills , "JET CARRIER"
t 1 7. m mmmmmmmmmmmmmmmmmmmmmmmmmmamtmmmmmmmmmmmmmmmm
fj COLOR,.', j 2l
Anne BAXTER Steve FORREST
Saone RENANT Maurice TEYNAC Victor FRAIiCBi
-Blond Dynamite
SIEVU
uwAYsmtmi...
Two Councilmen
Recall 'Likely'
In Springfield
SPRINGFIELD, Ore. l A
recall election against two Spring
field city councilmen appears cer
tain next month..
There are enough valid signa
tures on petitions to force the
election against Councilmen Ralph
Nicholas and Paris Breedlove. the
County Elections Department re
ported Saturday.
Unless the; councilmen resign
within five days, the election wiQ
be held in the following 20 days.
Both have indicated they will not
resign. .
The hiring of H. C. Hamilton,
Cottage Grove grocery s t o r e
operator, as Springfield city man
ager led to the recall movement
Opponents said the councilmen
had not 'made, a serious effort to
find a trained manager.
Mmtmi
50c Phone 4-4713 20c
Starts Today'.
. "GREEN
Cont. 1:45
FIRE"
Cinemascope - Technicolor
Stewart Granger, Grace Kelly
Color Co-Hit
"THE OUTCAST"
John Derek, Joan Evans
HELD
9 OVER o
also :
STARTS
TODAY!
On The Screen!