g Vpft to Take asa; O.S. Alairmed Water Available for Keizer, 4 Corners in . Contract Let by City Water for Salem's suburban communities is assured , by a $3 million contract awarded Monday by the City Council for construction of a nevfosupplv line from the North Santiam River t Stayton, Mayor' Robert F. White said. The need nf lxith Keizrr and Four Comers could be sup plird under the contract which the council' awarded Monday . I to the low .bidder, Lord Brothers DTP mum fCHDOm Edict by Nasser Said Surprise To U.N. Officials The Washington. Post & Times Herald st&Fi-jn editorial or "Oregon's SbiledfAw" jl t h .these queries: What's the matter with . Oregon? Why did the Beaver State fail tp wash its own dirty linen? Why' did it allow racketeering and cor ruption to become so flagrant that a (elect committee of the United Slates Senate felt it necessary to attempt a clean-up job under the international spotlight that plays the Senate caucus room? And whsjiow that a parade of wit nesses w unfolding sordid tales of bribery. Vice, uncontrolled gam bling, racketeerini and political corrupt ionT" does Oregon appear to be to little concerned? i After a. rundown ofxthe testi money th Post k TimesHerald concludes: Xv But the Oregon Legislature ahould have a more basic interest In these goings-on than any com mittee of Congress. Are the auth orities at Salem afraid of what they might find? That conclusion is likely to be drawn by an in creasing number of people unless Oregon shows a great deal more vigor than it has displayed to date, in cleaning up its own house. ' , of Portland, White said after the council meeting. In both communities there has been some talk of drilling wells because hiilem did not have any water to spare during the summer Both Salem and Four Corners formed water districts recently, To Increase The present city supply, which is adequate during the winter, will be increased by an estimated 7 million gallons a day by next July 1, contract completion date of the section from Stayton Island to Turner, the mayor said. This ca pacity will be greatly increased the following summer with com pletion of the line from Turner to Salem. Extension of the supply line to bilvertos Road from its Salem con nection at D Street was eliminated from the project awarded to Lord Brothers, reducing their 'contract to $3,093,190 from an original total bid of 13,336,747.' The S243.5S7 saving in the pres ent W,75o;oo6 bond financed pro gram was undertaken on .the rec ommendation of a citizens advisory 'committee which' has studied every phase 01 the program. The com mittee pointed out that the' exten sion will not be needed for an esti mated 10 to 15 years. Lcwest of Six Bids Lord. Brothers'-bid was lowest of fix received ;by the council in special meeting last month. The bid were studied by Clark k Groff. consulting engineers, for two weeks while the city sold a 13,750,- 000 bond issue to finance the project. Consulting engineers Clark 4 Groff of Salem, in recommending : learned. By WILTON WYNN CAIRO, March 1 (AP) - Egypt announced today it is taking over administration of the turbulent Gaza Strip. The announcement surprised U. N. official's in Gaza as they were smoothing out working ar rangements between local Arab officials and the U.N. Emergency Force. - Dr. Ralph Bundle, U.N. under secretary general, said on his re turn to Cairo from Gaza, however. that the U.N. . "never, has ques tioned Egypt's legal rights regard ing Gaza." -In two-swift moves, Egypt: 1. Announced appointment of Gen. Hassan Abdel Latif as gov ernor of Gaza. The 26 by 8-mile strip was given up only last week by Israel a army. . 2. Fired" off a protest to U.N. Secretary General Dag Hammar skjold against the UNEF for fir ing shots over the head of a mob in Gaza Sunday. The mob was demanding return of Egyptian ad ministration. Israel "Concerned" An Israeli government official in x Jerusalem', expressed grave concern over the takeover an nouncement, fearing it might mean more bloodshed. Israel quit' the strip on an assumption that the U.N, would take over,. The Jewish Telegraph Agency reported 300 Egyptian police have moved into the. Gaza Strip. It said Egypt's flag- was hoisted next to the U.N. flag over the governor's headquarters. There are 3,000 U.N. troops in the strip. Release of the Egyptian an nouncement reflected the tension growing between the Egyptians and the UNEF. Neither Bunche nor Mai. Gen. E. L. M. Burns. UNEF command er, had an inkling that Egypt in tended to take such a step, it was POUNDID 1651 The Weather Today' forecast: Cloudy with rain early today. Partly cloudy with scattered showers tonight. High today 48; low tonight 38. " (CompleU repart ppit t) . 106th Year 2 SECTIONS 16 FACES The Oregon Statesman, Salem, Oregon, Tuesday, March 12, 1957 PRICE 5 No. 350 Plastic Used toil alt Portland Slides j yf " w 4 m hi i 'ill I A- h Mil r 7S Lie Tests Delayed As Schcui ink Balks Hearings Criticized By Beck SEATTLE March 11 (AP) Teamsters Union President i Dave Beck today criticized sharply the conduct of the Sen- j ates special committee investi gation of alleged labor rackets, but said he would appear as a witness7 without awaiting a sub poena. In his . criticism of committee procedures, in a Post-Intelligencer interview. Beck declared: 'ft ik mv imnrpecinn that th4 hearing in Washington is not at all- in harmony -wrth- any judiciaH ' atmosphere. It is colored. It has RnSTOV. M.rrh II IAP1 . AM I ' " ' ' PORTLAND,' Ore., March 11 Householder along this rain-soaked hillside spread plastic sheeting In the hope of checking slides which annually threaten to reach up to founda tions. A small slide has moved out into S. W. Burnslde Ave., at extreme left. The plastic coverings are credited with keeping ground from becoming super-saturated. (AP Wire-photo) The Washington newspaper acceptance of the Lord Brothers I seems unaware of the fact lhat;bid.-eonsidereL.a combination .of L Oregon has not been indifferent to contractors which could have in . the goings-on now being given aisured an earlier completion of the laundering in a Senatorial com- total length of water line but ad' mittee. It was a Portland paper, vised against it the Oregon ian. which broke t h e story in its full and astonishing details nearly a year ago. Gov, arnor Smith directed Attorney uenerai Thornton to take over the Investigation. The slow but due legal process has since been followed: grand jury Interrogation jpjjrunessesJndlctments-arraigtt! (Cantlnaed aw editorial page, 4.) Portland TV Merger Near , PORTLAND. March II OH - A merger of two of Portland's four television stations was in the off ing today with announcement that the new owner of KLOR has ar ranged for purchase of KPTV. Television sources speculated that it meant an end to ultra high frequency broadcasting at Portland. KPTV, the nation's first commercial UHF station, has been broadcasting on channel 27. i These sources said KPTV's fa cilities, including an NBC con tract, would be used on KLOR's Channel 12, a very high "frequency channel. Portland's other two sta tions also are on VHF channels. George Haggerty, Detroit attor- - ney and businessman, is the man behind it all. He announced pur- cnase 01 kluk on March 1. The Federal Communications Commis sion has yet to approve flle trans action. 1 Frank Riordan. KPTV manager, said today Haggerty has agreed to buy KrTV for 11.183.000, con tingent upon FCC approval of both purchases. City Water Sunt. John Geren said work Is expected to start within about 45 days. (Add. etascil news page I.) RainyDays On Forecast Cool and showery conditions through Saturday art predicted by the U.S. Weather Bureau at Mc Nary Field. Temperatures will average below normal and precipitation will be heavier than normal, savs the bureau. High temperature for to day and Wednesday will be 48, low tonight 38. . No new reports of high water were received by state or county authorities. Flooding of secondary roads near Wheatland Ferry and between Brooks and Labish Center was believed to have eased Mon day. . WASHINGTON - March-1 i U.S. officials expressed surprise ana aiarm .100 ay ai tgypi s an nouncement that it intends to take over responsibility" imme diately for administration of the Gaza Strip. Not CMsisteat The announcement, which In eluded appointment of Gen. Has aan Aoaei Law as governor, was regarded as completely out Of lint with, what- Egyptian Foreign Min ister Mahmoud Fawil told U. N. Secretary General Daf Hammar- skjold during talk on withdrawal 01 Israeli troops. (Add. Mideast sUriet 14.) page Wyatt 'to Quit GOP Helm ASTORIA, March 11 Uft -Wendell Wyatt announced today he will resign March 30 as Re- publican state chairman. - He called a meeting in Portland for that date to select a successor. Wyatt, an Astoria attorney, has headed the GOP state committee two years. He had indicated his intention to resign earlier but said .today he put it off until he could wipe out a deficit from the 1956 . campaign. . , Oregon Senate Votes to Turn Frogs Into Fish ' Bullfrogs are about to become game fish again, like they were before the 1953 Oregon Legislature adopted a new revision of state - laws( ... The Senate passed and sent to the House a bill to make fish out of the frogs. Sen. Donald R. Husband R), Eugene, who said he never went fishing in his life, explained that the code revisers had mistakenly omitted the frogs from the fish classification. By classifying them as game fish, they would again become sub ject to regulations of the Stats Gam Commission. Hitchcock in Surgety HOLLYWOOD. March 11 I -Alfred .Hitchcock, 57, motion pic ture and television director, was reported in good condition today after an operation for removal of gallstones. A-2 Basket Meet Starts At South High The State A i Basketball Toura- ment opened fire Monday at, South Salem High School with Madras, Dayton, Molalla and Scappoose notching first-round wins. Favored Madras dumped Glide 77-45 and Dayton clipped Reeds port 54-46. Molalla stayed in the running for the title with a 57-50 victory over Drain, while Scap poose downed Cascade 64-55. Today's program opens with consolation play at 2 p.m. (Complete details ttwrts pages.) Barclay Quits As Aide to ' City Manager Charles A. Barclay, administra tive assistant to the Salem city manager, announced Monday that he is resigning to devote more time to personal business. interests. City Mgr. Kent Mathewson, who expressed regret at Barclay's de cision, said he had no one in mind to fill the office. L Barclay made his resignation effective March 30 "or as soon thereafter as possible." He sub mitted, a resignation a year ago to take., a leading role in Mark Hatfield's successful campaign for. secretary of state but it never became effective. Barclay has been employed by the city for seven years. His duties include management of McNary Field and city personnel officer. He has represented the city" at public functions in the absence of the mayor and has been referred to more than once as '"assistant mayor." ' His personal interests include Barclay's Broiler restaurants in South Salem and Lebanon, West ern Security Bam and property management in Salem. His father aided in management of the busi ness until his death last fall. Barclay said he hopes to con tinue active in city government "as time and business will per mit." Wage Rule Waived For Young Pickers On the Brighter. Side (V A Q ;; v John Ericksen VI r sT . . v ' I l 1 . a, r ml W. v'- mm r. . fit j 1 , r - f a) Hi ."J ft '). I'.'-'-'V.VJ f ii I 1 0 - 'V riAAre fnr h,,...- Here are 1 bunch of faces on the brighter side, and with good V-neerS Tor UayrOn rtaaoI Thelr team,,he Dayton High School Pirates, had Just . won their first gams la the A-Z basketball tournament here Monday. By LIIXIE L. MADSEN Farm Editor, The Statesmsa PORTLAND, March 11 - Youngsters unable to earn 50 cents an hour minimum will be permitted to pick beam or fruit. This was the decision of the Oregon Wage and Hour Com mission following a two-hour long hearing here-this morning. The decision was in compliance with a request of the farmers, and will be in the form of an amendment to the commission's widely publicized Order No. ' 10, which covers employment of minors. Another request of the farmers was also granted in the amend ment, while a third one was denied. Requirements Re mala The requirement to obtain work permits lor minors engaged in non-hazardous farm work was re moved, but minors will have to be able to7eanr"58"" cents an "hour minimum or they will not' be em ployed by Oregon farmers except ing in harvest by unit or piece work basis. In asking that the 50-cent an hourminimum be removed from all seasonal- agricultural work, farmers argued that youngsters frequently hoed orn "by the row" and twined bean fields "by the ball". While most of these marie much more than the 50-cent min imum, there were a few, who liked to work, but were unable to work sufficiently rapidly to earn this sum. Mrs. Frederic W. -Young, com mission chairman, said that al though the amended order does not take effect for 60 days, this is ex-J pected to create no problem since harvests are not 'actively under way before then. Farmers Protest Same 25 farmers appeared at the hearing today to protest that farm harvest cannot feasibly be carried on if the regular state work permit and minimum wage rules apply. (Add. details page 11). Council Votes New Franchise To Bus Firm A new franchise to insure con tinuation of. city bus service was given final passage Monday night by the Salem City Council. A large audience at the council meeting apparently was concerned with other matters as no voice was raised for or against the pro posal at the public hearing. City Transit Lines Mgr. Carl Wendt, who had told City officials that bus service would end March 1 unless the company got financial relief, has said the new franchise transferring authority to set rates, routes and schedules from the city to the company will keep the buses going for a time at least. A letter from St area residents who said they were bus riders who asked that the service be continued without interruption was read at the meeting. -! A similar, franchise for City Transit Lines in Eugene was given a first reading by the council there Monday night. Final action is ex pected Thursday. Wendt had indi cated that the action was neces sary in both cities to continue op erations in either. (Add. eewncil sews oa page t.) I all the semblance of political ac tion, and I personally cannot un derstand giving credence to testi mony by prostitutes, gamblers, narcotic agents such as have been giving testimony against our people in the Washington hear ings." . Beck also charged the' Secretary of Labor Mitchell's withdrawal of his credentials to the Internation al Labor Organization convention in Europe was "in effect's pre judgment-of -me and it was politi cally inspired." . Beck .said he.. flew home from Europe ahead of schedule because Mitchell had withdrawn his cre dentials as an American delegate to the international labor session. In response to a question as to whether he might invoke his con stitutional rights under the Fifth Amendment in the Senate hear ing, Beck said he does not intend to do so as long as the bearings are limited to teamsters matters Snd his administration .of the un ion. - But he added that he might in voke the amendment, if his attor ney so advised him, if the hear ings get ."into personal matters." Beck denied knowing any of the witnesses in the hearing so- far except Clyde Crosby, Tearhsters official, and Tom Maloney, Seattle gambler. Beck said he knew Ma loney only casually. ' - J Explorer 1 mi .1 -jr all I I s ' "III Today's Statesman Pago Sac. Ann landers .....7 I Classified 14, 15 II Comics 12".. II Crossword .. ....13 II Editorials .....4 .'. I Horn Panorama 6, 7...... I legislature I .. I Markets 13. II Obituaries 14 II Radio-TV 12. II Sports .... ?, 10..... II Star Caiar 5 I Valley News 16 II Wirephoto Page ....12 II Rear Admiral Richard E. B y r d, famed explorer, died here today.. Admiral Richard Byrd Dies - BOSTON.- March H--Retired Rear, Adm. Richard E. Byrd, US.N. 68. the first man to fly over the North and South Poles, died peacefully in his sleep tonight at his Brimmer street home. Ut was 68. His wife and four children were at his bedside when he passed away at (:20 p.m. His death was attributed to a' heart ailment brought an ' by overwork In con nection with his many activities. The family said that he had worked without a holiday for three years' and only recently was able to get any rest.-Although he had kept up his work in connection with the United States antarctic programs of which he was offi cer in charge, he gradually weak ened and finally his heart failed. His son, Navy Lt. Richard E. Byrd Jr., said that although his father had been in ill health; his death "came as a blow because he was talking by phone with Sherman Adams only recently." (Add. details page J.) Family of Four Homeless in Fire SUtMiiuta Neri Service . . DALLAS, Ore , March 11 - A company house at the " Western Logging Co. of Valsets was de stroyed by fire about 10:30 this morning. The house was occupied by Mr. and Mr;. Merlin Eng and their two high school daughters. Almost all furnishings were destroyed. No es timate of loss or damage was re ported. Questions 7Not About Testimony WASHINGTON, March 11 (AP)-Mavor Terry D. Schnink of Portland, Ore., balked today at answering questions ha termed "investigatory" qnes tions during a lie detector test, and demanded a chance to answer the same questions under oath" before the Senate rackets inves tigating committee. Schrunk'a lawyer, Marshall I. Stewart . of Washington, said Schrunk then will ask for another lie detector test to check on the truthfulness- - of -hi- replies to the committee. Robert F. Kennedy, committee counsel, promptly rearranged his witness list for tomorrow's re sumption of the inquiry into alle gations that West Coast Teamster Union officials and some Seattle, ' Wash., gamblers muscled in an rackets in Portland, Ort. Denuided Test r Schrunk had demanded today's lie detector test after denying ta the committee that while Multnor ' mah County sheriff in 1955, ba had accepted a bribe -of ')0 from Portland gambler Clifford (Jim- -myr Bennett" as alleged by an- other Portland racketeer, Big Jim Elkins. The committee arranged for the Secret Service to give the lie de tector test this afternoon, and it apparently followed a stormy (three-hour course from I: SO p.m. Slight Mixup PORTLAND, March lt ttWRs eelved at the district , attorney's fflee today was a letter ad armed it: ' "District Attorney EIklas.N The writer asked tar retarn a! eaieeled checks ased as evt deaee la a reeeit etwrt ease. The district literacy, hawever, Is William M. Langley, wase . arch-foe Is the vice emtraverty la Portlasd Is gambler Jim Elkins. Sale of Building Will Close Longtime Salem Business One of Salem'a oldest businesses Commercial St., occupied by the will close as a result of the trans fer in ownership of one of the city's oldest mercantile buildings, it was disclosed Monday. The two-story structure at 125 N. Committee Endorses Parole Probe After Verbal Duel Over Cahill Case By ROBERT E. GANGH ARE City Editer, The SUIesmaa A Democratic-controlled House committee cracked the whip Mon- day on three Republican sponsors of a move to' investigate Gov. Robert D. Holmes' release of Otto Cahill from prison. Committeemen officially recom mended House passage of an in vestigation, resolution, but 0 n 1 y after these developments: 1 Sharp verbal exchanges in which motives of the sponsors were questioned. J A rewriting of the investigat ing resolution to broaden it by in cluding clemency, practices, of re cent Republican governors, too. J Recommending a Democratic majority on the proposed investi gating committee, instead of the even party - split originally sug gested. After 40 minutes of pointed quer s from the House ' state and federal affairs committee and soma shouting at the Monday Chindgren (Rl, Molalla, a member of that committee and dean of the morning hearing. Rep. Herman Legislature Today I a.n. Senate elections com mittee considers SB 300 and SJR 22, to make representa tives' terms four years Instead of two; Room 422. 10 a.m. Senate snd House meet. 1 p.m.-House highways com mittee hearing on HB 538, au thorizing state to fix vehicle noise standards, Room 326. 1 st.m.-Senate military com mittee considering proposed in crease in veterans' loans HB 30S, Room 400. t:M p.m. - Senate agriculture committee hearing on SB 302, abolishing Stale Fair Board, Room 309. House after 12 sessions, had this to say : "I don't like this matter of horse whipping witnesses. I've been here a long time and never seen it worse than at this, hearing." Rep. Clarence Barton (D), Co quille, committeeman and a House Democratic leader, shot backr ' "And I don't like this matter of horsewhipping the governor, either." ' Investigation sponsors under questioning were Reps. Wayne Giesy Monrdo; Graham Killam and Fred Meek, both of Portland. Other sponsors are Rep. V. E. Johnson R, Eugene, and Sen. Lee Ohmart (Rl, Salem. Their resolution grew out of Gov. Holmes' recent commutation of the sentence of Qtto Cahill, former Oceanlake water district secretary' convicted of taking $750 of district funds. Cahill was released three weeks, PlanfiS Get A-WeapOflS Shafer Leather Goods Store, has been purchased for $30,000 from the Gertrude Stapleton Estate by the First Federal Savings and Loan Association which adjoins the building to the north. Announcement of the purchase was made by Fred Keeler, asso ciation president. The structure will be leased by Peter M. Gunnar, attorney, effec tive May 1 for three years, Gun nar said Monday. It is contemplated eventually that the First Federal firm will use it for expanded quarters. Frank Shafer, son of the 'founder of the Shafer Leather Goods Store who has operated it for 27 years, said he planned to close the busi ness and go into the insurance field with Jack, Lochead at 361 Chemeketa St. The Shafer Store was founded 67 years ago by Francis E. Shafer, at 170 S. Commercial St. For a time later It was across the street at 175 S. Commercial St. until it moved into its present quarters, a block-north of its original location 17 years ago. The" building was the original location of Breyman Bros., general store which operated y there for many years. " -- before he would have been paroled. The governor said the commuta tion wis because of hL severe heart condition. (Additional details oa Legislative Page S) RAMSTE1M. Germany. March 11 urv-jtlaj. Gen. John Gerhard, commander of the U.S. 12th Air Force, said today all his wings are equipped to carry atomic bombs.. - 1 - to 1:30 p.m. with Schrunk and Stewart challenging the propriety of the questions. - Nine Questions Stewart said nine . major ques tions were propounded, of which he contended only three had to do with Schrunk 's testimony before the committee. -' " He said Schrunk balked when the lie detector operators asked him if he had every taken any bribes from anyone, and spe cifically if he ever "took money" from Stan Terry, a Portland pin ball machine operators. Nat Exploratory -, Stewart said "a lie detector test is not the place for exploratory questioning. .It is a place to sub stantiate or verify testimony that has been given previously." He said Schrunk wants the com mittee to ask those questions and others at which the mayor balked in the lie detector tests. Schrunk ' then will ask for permission to have another lie detector examina tion on this testimony, he said. He said the only questions asked which he considered rele vant were whether Schrunk had , received a bribe, from Bennett, whether he had picked up a "package" which some witnesses contend contained a bribe put up by Bennett, and whether he gave Bennett any assurance in ex change for a payment. Son. McClellan (D-Ark) said to day he has a message from Presi dent Dave Beck of the Teamsters Union indicating "a measure of reservation" about how much co operation Beck may give to Sen ate rackets investigators. . Ward Seat McClellan said Beck, just back Mom Europe, sent him word by messenger that he plans to get a physical checkup and ' consult with tax attorneys before deciding "what materials or records he will submit" to the investigators. . -, - McClellan to.ld reporters ha would be highly curious if Beck's physicians recommend against his coming to Washington for ques tioning by the committee. "In my opinion," he said, "Mr. Beck's travels abroad xlearly. in-,. Ldicate he can travel from Seattle to Washington. It would take soma pretty' strong evidence to refute that."- (AddT details oa page It.) 3