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About The Oregon statesman. (Salem, Or.) 1916-1980 | View Entire Issue (Sept. 21, 1955)
'Three 1 At least three comers of America are represented 1st the Willamette University Law School this year, enrollment showed this week. Here Dean Seward Reese welcomes the "three corners' (left to. Harvey Firm Given Permit 'Due to Threat' WASHINGTON (-Government officials revealed Tuesday that a loan guarantee under which the , Harvey Machine Co. is to be per .mitted to build an aluminum plant at The Dalles was granted I -after the Harvey firm had threat ened to sue the government for 70 million dollars. ' Government officials related the story this way: The case began in 1952 when 1 . 1 we government announces a "third round" of aluminum expan sion because of the Korean War. It invited new, independent pro ducers into the industry with the lures of rapid tax write-offs and guaranteed-purchase contracts. Harvey obtained its tax certifi cate in December. 1952, signed a contract with the Bonneville Power . Administration in January, 1953, for electric power, and in May ob- - tained GSA's letter of intent guar anteeing that the government would buy up to 54.000 tons of its aluminum ninmiijr jut live jcub. Maxwell Elliott, GSA's general counsel, said the GSA was assured at that time by Harvey's financial "agent. John Clifford Folger. that the company would waive any claim to a government loan guar antee. The company bought a plant site and in May, 1953, began prelimi- Tiarv construction. But Con rr ess - failed to appropriate funds for pow er transmission faculties to the plant 'Hem Omitted The item was omitted from Pres ident Eisenhower's next budget message. In the 1954 message the President said an item for the transmission facilities would be submitted later. But no request reached Congress. Last April, Harvey notified the - government that it had suffered 70 million dollars in damages be cause of the government's failure to honor its commitments. It asked a "constructive solution." A month later the ODM, GSA and Interior Department received -letters from the firm of Dewey, ; Ballantine. Bushbr. Palmer and Wood. The New York law firm said it had been retained by Har vey, and that future communica tions; should be had with Kicker son, i - Nickerson conferred with law yers for ODM and GSA and, in June, submitted a copy of a 70 million dollar damage action to be filed in the United States Court of Claims. Nickerson said Harvey would waive its claims if the government would provide a sure power sup ply and would, "through loans or repayable advance payments, as- - Sisi in we unancing vi uic xuuvcjr project to-the minimum extent necessary for it to proceed." Nickerson explained that private financing had been available in 1953, but that the bankers had lost confidence when the government "repudiated" its power contract The company, he said, apparently would now need some assurance of federal backing. die with federal lawyers two weeks later, decided that the government had indeed made an "anticipatory repudiation" of a firm contract, that Harvey probably could collect in court, and that while the firm might not get the full 70 million dollars, it probably could get a ' Judgment "running into many mil lions." , To Accept Plai The officials therefore, decided to accept Nickerson's proposals in principle, and Hemming so noti fied Nickerson. Questioned as to possible politi cal implications in Harvey's use of the Dewey law firm, GSA coun sel Elliott said Tuesday: "It prob ably handicapped them more than It helDed. we tfte government) leaned over backwards in the ne gotiations, and so did they. In July, Eisenhower sent a spe cial message to the Senate asking a supplemental appropriation of $2,033,000 for the GSA to cover the government's share of the cost of a substation and power lines to transmit Bonneville electricity to the Harvey plant The Senate aporoved but House conferees killed the item because it had never come before the House Ap propriations Committee. Thereupon Nickerson negotiated with interior a reviesd power con tract Announced by Secretary Mc Kay last" week, it specifies that Harvev will pay for the substa tion and lines. Nickerson also negotiated with GSA a guaranteed-market contract providing for federal aid. to the extent that private financing could not be obtained by Harvey with w. w mw v iiunut mou mr tee of the firm s borrowincs. Federal fundi will not be avail- Corners9 of America Welcomed at W.U. ; j V :- 4 - - V . a 7' : t 4 i-iBTj-niifcii iintwwi 1 f Jjt-f r"ii 1 " t 1 ail 1 mvS,. a.iiWHH tail iftiliiS5aa,j.-7..iJMi Men Caught Attack on Two men accused of the rape this month, were taken off a bus Tuesday afternoon. Darnel Haller, 19, and Arthur Davis Huddleston, 24, were arrested on a Marion County Circuit Court warrant by the Douglas' County sheriffs office. The arrest was made just 10 min-, utes after Marion County Sheriff Denver Young phoned the South ern Oregon city that the men were aboard a bus headed for California. The young men are accused of raping the girl near the Salem by-pass after getting her to ac cept a ride home, police reported. The girl was returning , home from a movie. Sheriff's deputies first gained a lead on whereabouts of the men when they discovered a parked car near Airport Road early Tuesday morning. They placed a watch on the ear and. a short time later, spotted a man attempting to start it He was recognized as Fred V. Fowler, 27, 375 E. Washington St, who was wanted for a charge of obtaining money by false pre tenses on a Stayton Justice Court warrant The sheriffs office said Fow ler told them he had driven Haller and Huddleston to Albany last night and' had returned to pick up the car which was regis tered to Huddleston. Deputy Sheriff Amos Shaw and a city police omcer, who con ducted the original investigation, will leave here today to return the two men to Salem. Bail on each has been set at $5,000. China Students Leave America WASHINGTON tf State De partment authorities said Tues day the last of 39 Chinese students who sought to return 'to Commu nist China have left the country. The final three Chinese sailed for Hong Kong and home last Sat urday, officials said. They were part of a group of 129 Chinese technical students whom immigration officials detained as a result of Chinese Communist participation in the Korean War. While the detainer orders were lifted last April the remaining 90 Chinese technicians and students have given no indication they wish to go back to Communist China. TOUGH YOUNGSTER LAS CRUCES. N. M. tff Four teen-year-old Donny Hagerman isn't shocked easily. Visiting re cently at a farm near here, he climbed a tree and brushed against a 4,000-volt high tension line. The charge knocked him un- consr--us and out of the tree but except for minor , burns he was no worse for the experience. able as loans, the GSA said, but through the advance payments for metal These must be repaid be fore the end of the purchase con tract at the interest rate of 5 per cent This, a GSA spokesman said, should insure that a "relatively small amount" of government funds will be used or that the full government investment will be re paid promptly, because Harvey probably would prefer to refinance with private capital at lower in terest charges as soon as possible. Prevent Eye Injury l In th shop. In sports, or while driving, wear tho now Unbreakable Glasses that won't shat ter .. . won't break. Ready in 1 day ot Semler Optical. Liberal Credit NO EXTRA Charge tf Wy la AmttmH ym cm effW, rklf mr mtmtUf. WW yr 1 k-aaa CwMSM OHM BAHf Wrttrvii MW-IN U.MIM.IM right) Warren Colver, University tf Alaska; Bernard Bednarx, University of Vermont; and Koon Imm Ching, University of Hawaii, at a faculty reception honoring the law students. in Case of Salem Girl of a 13-year-old Salem girl earlier and arrested in Roseburg early Rose Show at YM Attracts Late Blooms The fall rose show at the YMCA Tuesday night sponsored by the Salem Rose ; Society, brought out a display of late blooms. Top honors in the hybrid tea class went to a red Chrysler Im perial exhibited by A. E. Morrii of Woodburn. Morris also won second place in this class with a "Show Girl"; a "Lady : Mande ville," shown by Charles Cole, placed third. - In the grandiflora class, W. G. Krueger's "Carrousel" placed first in the class for single speci mens while Mrs. Mike Panek won the blue ribbon in the vase- of-roses class with a showing of "Carrousel. OUie Schendel's "Glorious' rose placed first in the flori- bunda class, with "Red Cap,' shown ' by Don Smith, placing second, and Frcnsham, entered by Dr. Earl W. Benbow of Au rora, third. A stem of "Otto Linne" blooms entered by Earl Brunk placed first in the polyantha class with Schendel's "The Fairy" in second place. A vase of "Gay 90V shown by Dr. Benbow won the blue rib bon in the climber class and a special award was given to a vase of Poulsen Bedder blooms en tered by Mrs. Chas. Cole. "A discussion of old roses was conducted by Mrs. A. R. Tartar, who has more than 120 varieties of these flowers at her home on Garden Road, most of them gath ered from the homes of pioneers in the Willamette Valley. Salem Firemen 'Rescue', Clothes Prompt response by firemen Tuesday saved a line full of clothes and a garage from a possible dam age in a grass fire in the 1500 block of Baker Street , Firemen said the fire broke out about 4 p.m. in grass bordering the Southern Pacific tracks. The flames ate about 150 feet along the tracks and had burned under the clothesline and to the edge of the garage when extinguished. The fire may have started by sparks from a passing locomotive, according to firemen. 'Comedy of Errors' To Get Insane Cases SPOKANE W - The new $1,370,000 maximum security build ing at Eastern State Hospital, re cently criticized by a legislator as a comedy of errors" design. won't be made a branch of the State Penitentiary as originally planned, the director of state in stitutions said Thursday. The new three-story building will be used for the treatment of the criminally insane as originally in tended, said Dr. Thomas A Harris. OFFICES M,. STATE I COMMERCIAL Mm, Ore Law School Students at WU Honored Three corners of the United States and its territories were rep resented at a recent faculty recep tion Honoring returning law school students at the home of Dean Se ward Reese, dean of the College of Law. The three men were Warren Col ver. third year student, from the University of Alaska; Bernard Bed- nan, third year student from the University of Vermont and Koon imm Ching, first year student from the University of Hawaii One-hundred-five students from 51 different pre-law schools and 13 different states and territories have registered for the fall term. Registration statistics reveal that over one-half of the students are married, 70 per cent received bachelor of arts degrees before en tering law school, 63 per cent are veterans, 4C per cent are receiving state or federal aid, and the aver age age of the students is 25.1 years. JUST LIKE THAT! WICHITA, Kan.(UP)T.L. Beham is a man to act on a de cision. After two years' service with the Wichita fire department the 25-year-old fireman decided to quit On a nrartim rfriii k.. the fire truck halted for a'traffic light Behman stepped off and walked away. mTMlim BN UTS HELB CHEVROLET IFOR Drive with can... EVERYWHERE ! When you need a quick sprint for safer passing, this V8 delivers! It's pure dynamite, and you have SO way. way up the price ladder before you ever find Its equal. 510 N. Commercial St. Utility Firm Merger Probe Set to Start WASHINGTON tfl - Sen. O'Ma honey - D Wyo) Tuesday an nounced names of 17 utility and, secunues company executives scheduled to testify in an investi-Jpfit, gauon oi utility company mergers ; uu wesfc . i The hearings, conducted by the . Senate antitrust and monopoly : aubcommittee, are to begin Wed- nesday and run through Friday, O'Mahoney. will be acting chair man of the group for the session. The subcommittee wjll focus at-, tention on a dispute over a pro-' posal ' to merge two Washington State utilities Washington Water, Power Co. of Spokane, and Puget Sound Power k Light Co. of Se attle. : " v Subcommittee . staff members said the management of the for- - r mer iavorea uie merger, wnue 01-1 ficials of the latter opposed it. The scheduled witnesses include Francis I. Currie, secretary to the stockholders committee for Puget Sound Power k Light New York; William E. Parrott secretary of Pacific Northwest Power Co., Spo kane, Wash.; Kinsey M. Robinson, president of Washington Water Power Co., Spokane; and Frank McLaughlin, president of Puget Sound Power k Light Co., Seattle. Rowan Leads County GOP Leonard Rowan, Salem, who has been serving as first vice-president of the Marion County chapter of Oregon Republican clubs, was elected president Tuesday night at a special meeting. . Rowan will serve out the unex pired term of Clarke Brown who resigned. All officers of the chapter will be elected in January at the annual meeting. The club will meet the second Tuesday of each month with the first fall program due in October. Norblad Dates Talks PORTLAND UH A schedule of appearances for Rep. Norblad (R Ore) in Northwestern Oregon was announced Tuesday by Republican headquarters. He was at St. Helens and Clat skanie Tuesday. He is to be at the state library at Salem, Sept : North Marion county . fair. Sept. 23; Corvallis at noon, Sept 26 or 28; Molalla Sept. 27. Great Features back op Chevrolet Performance: Anti-Dive Braking Ball-Race Steering Out rigger Rear Springs Body by FUher 12-Volt Electrical System Nine Engine-Drive Choices. DOUGLAS Salem Robbery Suspect to Be Returned Here A man charged with the 1933 robbery of the Salem , Western Union office will 1e returned here this week to face the charge by a - Marion Cbunty deputy sheriff. Dep. Sheriff John Zabinski leaves today for Soledad Prison, Calif or- D -v w 11 am Dona d wheB ne is released from prison there. Toung said f ritz is wanted for the May 31. 1953 robbery here which netted about 1310 in. cash -nd Mm. moncv orders. He has bee in the California prison since his apprehension in Sumner, wasn., in June this year. Young said. Protestant Churches Hit By Council : Protestant churches in Oregon were criticized tor their poor record in the refugee resettle ment program at the monthly meeting "of the Salem Council of Churches. . i Criticism came from Dr. Mark A. Tafney, executive secretary of the Oregon Council of Churches, who spoke Monday night Talney said only one family has been sponsored in Oregon during the past year. . 'He urged Salem churches to get behind the refugee program which, he said, is now able to bring a family to the community within a few months after appli cation for sponsorship. j Talney . outlined . a six-point program for 1955-56 which in cluded stepped-up evangelism, counselling workshops for min isters, Christian education pro grams and the world relief and refugee program. ! The Council also heard a final report on the migrant ministry program this year from the Rev. Ernest Goulder. The cost of the program totalled $1,216 of which $174 is yet to be raised. During the business session, the Council discussed the possi bility of adding churches in the outlying area to it Other busi ness action included a vote to recommend a monthly newsletter as a joint publication of the Council and the United Church Womeii. Mrs. E. P.t Goulder will edit the publication. K-X-V a . ?-;-: .&, . j i' i.. i iit" Tiijmii ' : -)? ,. "'-. :. . Chevrolet's new "Turbo-Fire yV packs a Sunday punch for safer passing that no car in Chevrolet's field can match! The proof was burned into the sands of Daytona Beach at the NASCAR, trials earlier this year. In acceleration tests, Chevrolet ' simply walked away from everything else in its field. Fuj-and get this all the high-priced cars except one! Surprising? Not when you consider that this beauty's been cleaning up on all comers in short track stock car events this season. That's where acceleration really pays off, as well as handling ease ' and cornering ability things that mean safer, happier highway driving. Come on in and let a new Chevrolet show you what we mean. - j; MiMf AmMm far Stuk Car JUto lacfaf to NOWS THE TIME TO McICAY CHEVROLET GO. Sttttsman, Salam, Ora., Wed., Grass Seed : I ; . ' Men Ready Disease Fight By LILLTE L. MADSEN Farm! Editor, The Statesman Oregon grass seed growers, along with Oregon State College research and extension workers, are preparing defenses against Silvertop disease, which destroy ed some 2,000 acres of Chewings r,X 7", ESTSE tr . i ill . -- i i Marion Counts r nVM.Earl Ccok, Wayne Green, Harold ?EJ L-2ZtJ!fUt .: Roberts ; dMl . ! " . ' ' i .- !Sort:. Election of officers will be It could well, ssys F. E. Price, held Oct 13. director! of the state college ex-j Main speaker at the meeting was periment station, become a state- Albert Wiesendanger. secretary of wide problem with other grass the Keep Oregon Green Associa ted crops, too. i . . ' !tion He praised the public and During the past month bun- particularly loggers for cooperaU dreds of acres of harvested fields have been burned. Acres which were not harvested because of the disease were also burned., Burning of infested or suspected infested fields, after harvest is one of th erecommendations from the experiment station. A spring DDT spraying or dusting pro gram aimed at checking probable insect carriers of the fungus dis ease, is another recommendation which the college terms a "stop gap measure." This is the first season the disease has been a serious problem in Oregon. New to Valley Silvertop, while new to the Willamette Valley, is not strict ly speaking, a newly discovered disease.! Research workers at the experiment station are, however, focusing attention on the., prob lem as j it has developed under local conditions. In the mean time, efforts are being made to find out every control method that has shown most promise in other parts of the country and these will be applied here. "The j collection of information made in advance of the outbreak in Oregon, has made it possible for thej Oregon, growers to move immediately with the most satis factory! control methods from areas where ; Silvertop : struck earlier.? Price reported Monday. Pricei hoped that most of the grass growers had their fields burned j before the heavy rains of last week. - Thorough burning is desirable, he said, adding that burning also helps control grass seed nematode; and reduces some of the leaf and stem diseases that attrck chewings fescue. Not Yet Tested - i. In reference to the DDT dust- CAN TmTCM - ACCELERATION! IUTI LOW PRICES-BIG DEALS! t ' 9. - Stpt. 51, 1955-fStc 2V-7 Kiwanis Club Nominates for Coming Year The Salem Kiwanis Club Tuesday nominated officers for the coming year, with Kenneth Perry, current first vice president being an un opposed nominee for president All Gragg, now second vice presi dent was nominated unopposed for office of first vice president Nomi nees for second vice president were George Alexander and Art Ather iton and nominations for four dU 1 rectorships included Phil Brownelt .ing in the fight against forest fires. Wiesendanger observed that only a few fires in the state this year were man-caused. , TIME STOPS NEWPORT, R. L (UP) The Newport Court House clock stopped June 14 and time stood still until July 1. No funds were available to fix the clock until the beginning of the new fiscal year: ....... ing or spraying, recommendation is for three-fourths pound of ' actual DDT per acre in spring when plants are four to six inches high and before the first heads appear. This suggestion. Price said, is based on work done in other states and has not been tested in Oregon. In addition to destroying about half of Clackamas County's Chew ings fescue crop this year. Silver. tof has damaged seriously much of the rem-inins ecrca?e of the f crop in that county and consid erable in Marion. It has . also been Identified in other grass seed crops at spotted locations in Oregon. Although it is known to affect numerous grasses, the disease is most likely to cause serious damage to Merlon, Chew ings, Red Creeping, and possibly bent-grasses. The disease 'rots off the seed stem just above the uppermost joint Since the fungus does not attack the seed and is not car ried by seed itself, it is not a problem in lawns or turf. Re searchers sry tie fungus is prob rbly carried by mites or inserts to the point of inf-ction Hne'th the leaf sheeth. Seeds do not ffym in affected heads. ENJOY k NEW CHEVROLET Phono. 3-3175 T