Eugene register-guard. (Eugene, Or.) 1930-1983, January 21, 1963, Image 1

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Eugene register-guard., January 21, 1963, Image 1

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Newspaper Page Textlelllet-Sttattt Fair Tuesday Weather Report, Page 9A mm. IAN E COUNTY'S HOME NEWSPAPER. Eugene, Oregon, Monday, January 21, 1963 Second Class Postage Paid at Eugne, Oregon Price, 5 Cents i sum, v vr, ino. yu T fO Y.i:'X1tl PAGES p Ifi Reveals re Details K Boosts On-Site Test Ban Hopes F 1 lax Plan i.'r. t . By STERLING F. GREEN 01, tha Associated Press ! 1 .'on j.ess Monday i "the best way prospective break all 11 (C . W1H ton Pmidint Kennedy toll tv, til I xfxe;, despite a huge deficit. iPIWjp V .ate to increase revenues. ' i . ' ', iMM-io'l di-votcd the annual economic n-eorc, last of his Arfld it K messages to the new Cougresa to allaying the fcssWTAfl'oyfl legislators who called hiv fisca! pr.gram the Hit-.'iSU'Ti' I -i'vljug and biggest tax cut in hl-rti ry- ."incredible," kWy' J. I and "toe big." In the procos? hi revealed a few (ill I i Ii A oi the tax program he wlV i-nd to Congress f,. ;Stx:ftnlry should slide into rti.-eision his year through itti ttjjeduce taxes, the President siuf .ht 4ifHdi(l .".delidt would worsen and ;ieiha?i .wtlilijr.pt! li'ljfi'Cit records." q$ tf fpes 'Moderate Expansion' tife('ifit,ilr tit. Kennedy predicted, the planned $13.5 billion fl d Ij will at"d $8.5 billion . year r.o 'ami lies' income, u.icuci!!'-'' irf consumer item-, by $16 billion, inciease profits, W(i't;f,tiV..!(j business investment. He prin-jsed; "LmiI1 'm ff'tMnMii' returns to full employ lent, the budget rra'r yf'''f I constructive balance." j , i ra",:Li t lng tax reduction as insurance igaii st recession lifilt I i i ! ot predict a slump. On the cod r'jrv, he forecast 1 J .f'fMl t an ion" in 19S3 to a record 15'B7 lillion of na ' '!i'5,WVit:uP Ver cent from last. yen i ' Wv'' '' reported, the recovery from tt e depth of reces- &&j(.'tJ-:Aitiitbi a:o has halted the postwar tt nd cf ever-more-UtVfeft rescssious. But the gains are "iiiislratingly" short U the stridn i-tiiat are needed, he said. Tho ii essatfe went on: "I do not I'xpect a fifth postwar reeeusfot- to iaterrupt our I i'ressln 16113. : ' I "It is not die fear of recession but thr. fai of J'.ve years of -essivii unemployment, unused capacity a- J ila;k profits f i th"i oonsiiufnt hobbling of our gr-.tii rate that con , lutes the urgent case for tax reduction an .'; refo -m. ". . . l Is frustrating indeed to iee the u:'tmplnyment rate land still even though the output ot goods nd so -vices rises. ; "Yet past experience tells us that only s -sUinci major in cases in production can reemploy the jo Jess uembers of day's labor force, create job opportunities for the 2 million lung men and women entering the labor.? larket each year, 1 produce new jobs as fast as technologic; ! change destroys li ones. . . j. A 'i liU any nirrowing of the production (if ) until tax reduc- Irii' takes bold .. . if - ,. ' '. "Tiie main block to full employment :s am urtreausucany wy'burden M taxat'.on. The time has com -to renove it." Tfe S13.5il. billion -!n proposed tax cuti flrtl:r offset by 5 bUlion oi: revenue-raising revisions, wo-ild go into partial ect iin July; 1, Kennedy said. ! , . '. . ' Ind'ividual income-tax liaDllitics woujo je rea icea uy o ion a yeai', most cf: which "would translate immediately v" throufih lower 1 x. will holding on ydiecks. Mi:re cuts would come in 1964 a ad 19 , to a total well over 1(8 billion By JOHN M. HIGHTOWER Of the AsfocUled Prett WASHINGTON The United States, Britain and the Soviet Union appeared Monday to be closer to agreement on a nu clear weapons test ban than they have been at any time in almost two years. . Soviet Premier Khrushchev has removed a major barrier to serious negotiation by telling President Kennedy that he would accept two or three on-site inspections a year in the Soviet Union as part of a system to prevent cheating. Reaction in the Senate, where a test ban pact would have to be approved, was heavily cautious. But the general feeling was that in accepting the principle of on-site inspection, Khru shchev's move was encouraging. In an exchange of letters released here and in Moscow Sun day night, Kennedy told Khrushchev he was "encouraged that you are prepared to accept the principle of on-site inspections." The State Department said the United States now hopes that discussions on the long deadlocked test ban issue "can be continued to a successful conclusion." U.S. officials said Khrushchev's policy reversal could lead to a real breakthrough in the test ban negotiations. Whether it does will depend on whether Khrushchev is willing to in crease the number of on-site inspections to double or triple the total he told Kennedy he would agree to at once that is, two or three a year. The United States is asking for eight or 10. Representatives of the three nuclear powers will reopen negotiations in a meeting here Tuesday afternoon. (In Moscow, Foreign Minister Andrei A. Gromyko told cor respondents Monday night three on-site inspections are all the Soviet Union can agree to in a test ban agreement and in sisted France must come in too.) While the Soviet leadei linked his conciliatory move on nuclear testing to the U.S.-Soviet agreement on Cuba, officials here believe there is a strong possibility that Khrushchev is reconsidering his relations with the West in the light of his split with Communist China. If this is so, it could mean that he is entirely serious about putting an end to nuclear tests and would be prepared to make additional concessions. s At the United Nations, diplomats saw encouraging progress in Khrushchev's move, and in Britain a Foreign Office spokes man said: 'This is obviously an important development, since in particular it accepts the principle of on-site inspection. But, as President Kennedy's answer shows, there are many problems still to be solved." The reason Khrushchev offered Kennedy for his policy re versal was that he understood that Kennedy could not persuade the U.S. Senate to ratify a test ban treaty unless there was some provision for on-site inspections, "If this is the only difficulty on the way to agreement," he wrote, "then for the noble and humane goal of ceasing nuclear weapon tests we are ready to meet you half way in this ques tion." Kennedy replied that the right of inspection at some of the sites where a sneak nuclear test might have been held is essen tial not only because of congressional concern but because of ' the need to have "a reliable agreement." Khrushchev said his deputy foreign minister, Vasily .V. Kuznetsov, was told by U.S. Ambassador Arthur Dean last October that the U.S. government would consider two to four on-site inspections a year to be sufficient. Kennedy replied that Dean actually had said the United '. States would require eight to 10 inspections, which was a re duction from the 12 to 20 previously demanded by the United States. Kennedy made clear that the total Khrushchev offered was not enough. mi m mm 11 mm i Swell Spending Slate im 3 Ide 10c nf hl would be noi. red intu purchases nSv goods and services, Kennedy sail, and the spending aniiss-ould be swollen as corporations -- also beneficiaries 4.. ,-i!.tio iiivirlnrl nnvnv'ius. The risiig demand told Icall for greater output and more ilictory 1 iring and nee, he said, more income ano siui. m'e ipwiv idwi continued: t ' ' .uw.. if tha tav nrneram had no influence on investment jindtig either directly or indirectly - the $f' to $9 bil- 1 ?.dned divectly to me tiow x consumer . L iovth a tiw of at least 518 million tl added consumer i d. and sen: ces. . "l".ut the program will also generate ilirect aid indirect muo.tmr nt snendinff. The lTOductioi of new fc&ines, and the building of new factories, stores, iiffices and iartments adil to incomus in the same way is dbea the produc M of consuf .er goods. ' I "This too lets off a derived chain reaction of consumer jfcnding -lding at least another $1 billioii of output of con finer go' Tt .every S'i billion of added iivestmert. IS-ieciaf tax reliet-fat small businesses would le retroac ' Ve'to Jan. 1, 1963, he -disclosed. This wuild be I full year aead of the Htart nf the basic corporate ax rate reductions Em SS5r cent to 47 per cent, a $2.5-billinn cut. t Uirporauons now pay ou pei u.. " jcome plus aa additional 22 per cent on (he rest ;or a total S2 per cent, nenneay saia iam, an ui mi v.. ...... j-, . i. nii the first S25.000 would be dropped to 2:! per cent, H tv.. no ! nt nvor.nll rate would be retainer for 1963. pi lire v- k - - - - . .. ...,,, Thus, companies with small earnings wouu h"--" coneressionul critics who chal- Hed his plan for a $10-billion net tax reluction 1i the face j.finit.iaHnn snH A.billion budeet. Remedy stessed the Ia i nt iriis mn. mines and factoriet back to work. rcM r-. ,, . ..... i,,i, The anticipated deticit wouio De runs"'? uncf.. now nnt ninatecl even II taxes were iiui. ioiui. a as is fcnnedy raid, because a slack economs lough taxable income and profits. is ii ot producing Past Two Years Reviewed tt'ASy ill, ' Persona! incom i Mtim th.t itw Minntrv was "in the grp of its third reces- Inn in seven years" when he took offiie, Kenu-wly recited measures taken by his administration to hdp bring alout what J..t.1arf so "nntahlA" palnft since thCIT . I1C UCMIAU " .... . , Personal income, has risen ny $vs Diuun m a i.:uu.u year, be reported, ano ino anei-n u families was increased ly 8 per iient. This V-Wl-a;-year increase in living standards for a S.W Nontoi-3 employment rose by z miiiita wmie i, J work-weelf fcif.k't.aned from 39.3 hours to .3 hours. Consumer 4 prices rose ii: . ly LVper cent a year, leu than in iny major industrialize i rxntr.except Canada. " - Tho bsltiw of. payments defied, Keinedy went on, has V. narrowed Ifovt 3;f billion in 1960 to about 2 billio ir 1962, and the reiat'isi&biUty in U.S. prices hai improvei' the com netitiveness of A nefican goods in world n arkets. The Vt&f did not renew his requ. t for stai uby anti-r-tession jo-W r-jde in his economic n essage last year and rejected by Coirs. But he gave notice that, whe.v this ses sion's majol ti-Tnverhaui is finished, he will puih again for i the riSSpiwa Jo cut taxes tempar.ril f, and .pe A up pub lie works scefdmg. at the onset of a rece ion. 1 He "ted lb..t Congress also has fUe to enact .liver leg m od last year. Pmnpt ac ion should be Ukcn. he S to w"i the law. which require he Treasury to sup ; port he p.k i.f silver and oblige the fler) reseiw system ' toki?tt reaerve at backing for sw erUH.tes. t to Keep . mi r ... . Congre!S o enlarge M nneon benefit. i extend : heir cov mi I'l.Z.WiWr. broadening of oc-.apat.on. tiered by My.Z tho $UJ Mur-Jsum wage. U.N. Forces Welcomed IntoKolwezi KOLWEZI, Katanga (tfl United Nations forces moved peacefully into Kol wezi Monday and the mili tary action to reintegrate Katanga with the rest of the Congo seemed virtually at an end. Operation "Grand Slam Two" began at dawn. It was com pleted about eight hours later, with Brig. Reginald Noronha, the U. N. military commander, being welcomed into town by President MOise Tshombe. Not a shot was fired and little knots of civilians and unarmed Katanga gendarmes waved cheering as the U.N. column rumbled past. . Kolwezi was the last strong hold of Katanga , secessionist forces. The -U. N. task fowv4)t -100 trucks, armored cars, troop car riers and ampnimous vcniciin rendezvoused with a Katangan peace delegation at the little village of Pumpi, 45 miles from the center of this big mining and refinery town. Then, with Noronha in the lead, the U. N. column started to roll. At the 400-yard-Iong Del commune Bridge over the Lual- aba River, four tons of explo sive were removed by Indian engineers. The explosive was placed in position two weeks ago, when Tshombe threatened a scorched eartn campaign 10 hold up the advancing U. N. troops but detonators were re moved by the president's white soldiers some 12 hours before the U.N. arrival. Noronha met Tshombe at his temporary residence in down- tnwn Knlwezi. They snoox nanus like old friends and posed for pictures. Tshombe was smiling and joking ano asuea norumm whether he ran into any trouble. Said the Indian commander: "No. and I want to thank you fnr knenine vour word." Tshombe agreed last week to give the U.N. freedom of move ment throughout naianga oui the U.N. troops were rrcpared for trouble anyway. The Katangan troops have now to stack their arms in a central depot under U.N. supervision before being integrated In the forces of the Congolese central government. U.N. Undersecretary Ralph J. Bunche said in New York that occunation of Kolwezi would lead to the rapid windup of the U.N. military operation that emnlov. nearly 19,000 men. The oDcration has forced the United Nation, nearly to bankruptcy. I lilf fxi -O r ' -T-Cf. r. (APWirtphotol The two elder statesmen of Europe,' West German Chancellor Konrad Adenauer, left, and French President Charles de Gaulle, met in the F.lvsee Palaca in Paris Monday as thev onened three davs of talks on i n m i incn-errrranrTOTperauon to acnieve European unity, (tsee story, Corporate Taxes Down State Budget Outlook Dark (From AP, UPI Reports) SALEM Chances for balancing the state's budget by the end of this fiscal year grew darker Monday with tha announcement that corporation Income taxes would pro- auce arjour 91. i minion less man expectea. mis news came from uov. Mark Hatfield at his week ly news conference. He said he would direct state agen cies to cut down by that amount so the budget could be Daiancea. v Before this development, the state had faced the prob lem of some $11 million less in taxes for the current bl ennium than originally estimated by the 1961 Legisla ture. This fiscal year ana the mennium ena June 30. To keep from running at a deficit, state agencies al- Paris Hatfield Fails To Reappoint Eugene Man SALEM W) Gov. Mark Hat field said Monday he has ap pointed Bert Keith, The Dalles, to a .ix-year term on the Ore gon State Racing Commission, succeeding C. A. Huntington, Eugene. Huntington had been a member of the commission since 1939. Hatfield said this appoint ment had "absolutely no rela tionship to the pending commis sion hearing on a dog racing track at Wilsonville in Clacka mas County." "I feel that occasionally new blood is needed," Hatfield said. He said Keith was "representa tive of the hiRh caliber of men" that should serve on such commissions. Hatfield said he had re appointed Dr. W. R. Todd, Port land, to the commission. In Eucene. Huntington de clined to comment on the fact he has been replaced on the po sition he's held with the racing commission for 24 years. "I've nothing to ay," Hunt ington declared. Huntincton. a Republican, re- rivl his first six-year appoint ment from Gov. C h a rl e . Sprague. He wa. re-appointed in additional .ix-year terms by r.nv. Earl Snell. Gov. Douglas McKav. and Gov. Robert Holmes. Eugenean Wins Heroism Medal "One of the biggest thrills of my life," is how an 18-year-old Eugene youth describe, hi. feel ings on being told ho is the recipient of a Carnegie Bronze medal for heroism. Everett P. Evenson, of 760 Sister. View Ave., wa. a 16-year-old Explorer Scout on July 7, 1960, when he saved a teen age girl from drowning in the McKenzie River near Armitage Park. Evenson wa. sitting on the river bank when he heard the scream, of a girl, later identi fied as Paula Reed, 16, of Rt. Box 338. Eugene. Evenson dived into the water and pulled the girl to shore. The award, presented by tne Carnegie Hero Fund Commis sion, carries with it a cash award of $500 in addition to the med al. Evenson also has received an Honor Medal from the na tional Boy Cco"t office -Tor heroic action at the risk cf his own life." Evenson, a 1962 graduate ot North Eugene High School, is the son of Mr. and Mrs. Paul Evenson. J EVERETT EVENSON Sowed Girl From DrJumino Press Parley Slated WASHINGTON W) Presi dent Kennedy will hold a new. conference Wednesdsy, th White House announce? Mon day. Indians Expelled DAR ES-SALAAM, T a n K a n yika UV-About 900 Indians are on their way to Bombay after being expelled from Portuguese Mozambique in rctailiatlon for India'a seizure of Goa. One refugee said another 250 In dians have been given a month to leave Mozambique. UO Waves Paddle After Hazing Reports By DON BISHOFF Of the Reslitcr-Guard The University of Oregon was brandishing its administrative paddle Monday and threatening to use it on any fraternity found guilty of the age-old practice if hazing. Fraternities found to have engaged in hazing physical or personal abuse or degradation of student pledges will be closed for one year. President Arthur Flemmine warned in a .tate- ment released Sunday. Donald DuShane, dean of stu dents, said Monday that his of fice has been investigating re ports of hazing for the past two weeks. Charges brought against three fraternities before the Inter- Fraternity President's Council list week "were to a I large extent brought by us," Du Shane said. The investigation is continu ing, the dean said. "We're seek ing information and confirma tion of rumor, from every possi ble source." DuShane is to report the re sults cf his investigation to President Flemming. The dean said Monday he doesn't know when the investigation will be finished. The Ore son Daily Enwrald, student newspaper, charged in a Monday editorial that "Dur ing fraternity initiation last wek, of tho houses initiating, only a few did not use hazing practices. Some oi ine nazing techniques involved physical violence, personal degradation, and in an appalling number of instances, outright perversion." Of this charge DuShane said, "Reoorts that we hive would not substantiate this as of this time." Investigation o far has shown hazing exists, but not to the degree the editorial implies, the dean .aid. He said he plans to talk with Emerald Editor Ron Buel to at tempt to substantiate or dis prove the charges. The three . fraternities charged last week with hazing are Alpha Tau Omega, Delta Upsilon, and Sigma Nu. No te ller was taken against them alt er Kenneth wnson, presiucm of the tribunal, resigned in the middle of a meeting, saying I can't .it here a. an individual any more and make judgments on one group wane ine wnoie .ystem is guilty." The university and the Inter- Fraternity President." Council iun vears a so drew up a no- hazing agreement. Two viola tion, last year brought only non-punitive action against the fraternities Involved, according to John Hanson, assistant dean of men. President Flemming said in his Sunday "get tough" state ment, "There is no place on the University of Oregon campus for any group that engages in hazing practices and tnercpy demonstrates it. utter lack of concern for the dignity, worth, and well being cf tndlvidu lis He said fraternities found guilty would be closed unless extenuating clrcum stances dictated probation. If Individu als rather than whole iraiemi- tiez are found to be responsi ble, action will be taken against them, Flemming said. Meanwhile, State Senator Glen Stadler, D-Springfield, who Saturday dangled the spec ter of a legislative investigation of hazing before the universi ty, said Monday he was satisfied with Flemming'n statement and would not initiate an investiga lion. ready have been directed to I save more tnan $ts million, ana nau.eia nas asiusu lor a transfer of $5.5 million to the general fund from a vet' erans' Dond sinking lund. Hatfield said the decrease in corporate taxes . also would mean about $4 million less in revenue estimates for the 1963- 65 biennium. Estimates for that period are based on percentage Increases over revenues lor tnis biennium. To make that up,' Hatfield said he would propose that em ployers be required to pay their withholding taxes to the state two months earlier. He also announced he was proposing new legislation to change truck tax levies. The bill would cut the fees paid by trucks of less than 6,000 pounds by .4 per cent, and raise the fees for trucks over 6,000 pounds by .3 per cent. He said the new tax struc tures would "remove inequities" in the present law. The new rates were proposed. he said, after review of Illinou Road Test results which indi cated large trucks were being charged an excessively high li cense rate. Although the new proposals generally reflect a .3 per cent hike for trucks over 6,000 pounds, he said in effect it would require medium size trucks to pay a larger .hare of the tax and give relief to big trucks. Hatfield vetoed a bill two years ago to give tax relief to big trucks, pending results ot the road study. He said he could not yet com ment on a proposal to finance hlchcr education classroom con struction from bonds repaid by student fees. Ho did say. however, he felt students should pay a greater share of the cost ot education and pointed to his rccommenda' tion that tuition fees should be raised. When asked If he agreed an investigation should bo mad of tho resignation of the director of the Oregon Primate Research Center near Beaverton, Hatfield replied. "More cooks In the broth at this time might com plicate things." Howard Pickering recently resigned as director of the cen ter because of a dispute with Oregon Medical School Dean W. E. Baird. Funeral Held For Resident Of 57 Years Dr. Allie M. Smith, a resident . of Eugene since 1906 and a re tired osteopath, died Sunday at ' her home, 1129 Oak St., Eugene. Private funeral services were Monday morning. Miss Smith. 86, had been ill for a short time, friend, said. ' She came to Eugene from her native Missouri in 1906, and be gan her osteopathic practice in Eugene that year. Later, she be came a business partner of the late Sue Doris, and the two women owned an asparagus farm In the River Road area, built and operated a service sta tion in Eugene and developed property on Oak Street, wnicn became the Tawno-Ker Apart ments. ' She retired from active prac tice of osteopathy some 20 years '80. Miss Smith was a cnaner member of the Eugene Business and Professional Women's uud when it was organized In 1924, and served as the organization's president from 1931 to 1934. Survivors include inree sisiers In Texas, Mrs. E. C. La Bauve, Mrs. C. B. Trousdale and Anna Clement, and a brother, R. H. Smith of Missouri. Friends said contributions in Miss Smith's memory may be made to the scholarship fund oi the Eugene Business and Pro fessional Women's Club, in care of Mrs. George N. Bigg., treas urer, 3220 Richard Lane, Eu gene. Crowd Views Ice Jam NIAGARA FALLS, N.Y. I A 13-mile ice jam in the lower Niagara River which drew thou sands of spectators during the weekend remained solid Mon day. The Coast Guard said there were no signs ot an immediate breakup. INSIDE TODAY Women'. New. 7A Editorials Sports .... Births Theaters ....... TV Previews ... Stock Market .. Business Beat .. Classified 8A . 2, 3B . IB 9A .... 8B , .... 9A 12B . 61 IB FAST . This ad ran In Monday's "Too late to classify column" . , . apartment rented the same night FURNISHED APARTMENT. ThrM ' room! and bath. Ona adult. No pats. 172. M. Dl Wlllamatt. Register Guard claral fled ads bring results because they (o Into so many Emerald Empire homes every day. pi " h - " v.