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I'uoiltj AUilt'opiu-n'
PoaTUHo it oRscoa
THE BEND. BULLETIN
CENTRAL OREGON'S DAILY NEWSPAPER
Siafe Forecast
Oregon Generally fair to
day. partly cloudy Thursday
with a few light showers.
High today and Thursday
68-78. Low tonight 40-50.
LEASED WIRE WORLD
NEWS COVERAGE
33rd Yoar
TWO SECTIONS
BEND, DESCHUTES COUNTY, OREGON, WEDNESDAY, SEPTEMBER 14, 1949
No. 238
urray Hurls Ultimatum at U
Steel
M
Work Under
mm
Paving f nn additional elghi-mlle section of ilm Nurih Century drive now Is under way by the West
ern C'liiiHtrm-tliin Co. Thr paving will extend from tlmberllne, at the end of the present paved
Mrcwh, to dutchman flat, l ive trucks now are laying ii cinder base, starling t the flat and working
Ihln way. The cinders are ln-lng olilaliKtl from YVunogu butte. Only occasional traffic delays have
been neceiisllaled lima far by the roail Improvement operations.
Americans Well
Treated, Report
After Release
Herlln, Sept. I I UH-An Allied
ran maloriuid his father returned
lo llerlln today with the slory of
bow Ihey were treuled with "Km
lly Tost courtesy" by the Kus
slans during Ihn-e dnys of "eap.
tlvlty" In the best hotels of Wei
mar. Ma) Victor Mllner Jr., .10. and
his falher. a motion picture cam
eraiiuui. Ixth of l,os Angeles. said
Ihey were amazed.
Mil). Mllner said n Russian ma
jor was Insulted when the Mll
ner Insisted on paying their own
hotel bill. The "courteous, friend
ly, well-behaved" Russian guards
took great delight In ogling the
pin-up girls In his copies of Amer
ican magazines, he said.
Hut Mllner said the real high
point of his luxurious detention
rame when the Russians sent In
a "Mala llaii."
'Hie major said she loked "for
all the world like n scrubwoman."
MaJ. Mllner said the "Mala
I larl" Hacked alxiut his father, his
war record, mid his home and
argued that the Mississippi was
longer than the Amazon.
Invited hh durst
"Then she said she hoped she
would be able to visit America
someday. I said she could be my
guest, but she said there would
probably be difficulties in getting
permission to make the trip," Mll
ner said.
He said he nnd his father were
given a suite In Welmnr's inloiir-
1st hotel, where they ate steak
drank wine and beer and had
free run of the hotel. They were
always under guard, however,
and were not allowed to phone
American authorities.
"We were treated awfully
well," Mllner said. "Hut it's nn
awful feeling to be cooped up
(Continued on Page 5)
Devaluation of European
Currencies Held Inevitable
Washington, Sept. 14 nil Dele
gates to the world bank nnd
monelarry fund conference hint
ed today that a secret meeting of
the fund's directors may be held
shortly to consider devaluation of
the British pound and other
"soft" currencies.
Officials said such n meeting
would not normally be held at
this lime unless one of the fund's
member governments hud noti
fied the fund that it wnnled-io de
valuate lis money.
Under the fund's articles ,of
agreement, governments plan
ning devaluation must give the
director at least 48 hours notice of
their intention. The director then
would rule on the proposal to de
termine whether "it is In keeping
will) the fund's world stabiliza
tion policies.
Held Inevitable
London reports that n British
deviilnullnn announcement might
come during next week end were
discounted by fund officials, how
ever. Informed sources believed n
cut In sterling Is Inevitable, but
Way on Elk Lake
4 I"
Meeting on Deschutes Soil
Conservation Held at Tumalo
First of four meetings scheduled in advance of the refer
endum set for Sept. 20, when farmers will decide whether all
of Deschutes county is to be included in the Mid-State Soil
conservation district, was held last night at Tumalo, with
Howard (Uishmnn, Corvalhs, secretary of the state soil con
servation committee, one of the speakers. Also taking part in
the discussions were George Elliott, chairman of the mid-
state district, and Tony Win-
Registration
For Junior
College 75
Bend's new Central Oregon
Community college this morning
had 75 officially registered stu
dents, Howard St. Nicholson an
nounced. Only today nnd Snturday morn
ing remain as days when Nichol
son can register students, and he
urged those who have pre-regls-tered
but have not yet offlclully
signed in, to sec him at the school,
or telephone him at 744 or at his
home, 1283-M.
Friday, college officers will be
In Klamath Fulls. Saturday Nich
olson will sec students by appoint
ment. Of the 75 now registered, 20 are
full-time students.
Veterans numbering 19 arc tak
ing advantage of the government
sponsored eduction with subsis
tence furnished.
. Those who arc absolutely un
able to register this week will not
be barred from registering next
week, Nicholson made clear.
However, he expressed the hope
that only those really unable to
sign up today or Saturday will
delay.
Classes begin Tuesday.
NEW TRIAL SET
New York, Sept. 14 UIi Alger
Hiss win be retried on perjury
charges Oct. 10, Assistant U. S.
attorney Thomus F. Murphy an
nounced today.
they predicted It would be delay
ed for some time. When It does
come, they said, It probably will
be accompanied by similar devalu
ation of other western European
currencies.
In their annual 'report at the
start of the conference yesterday,
the fund directors said bluntly
thai many countries will have to
devaluate their money to revive
export trade. But they did not
name any specific currencies.
Meanwhile, New York, republl
can Hep. Jacob R. Jnvils proposed
that the bank and fund merge
into a single organization to pro
tect this country's Interests In fu
ture world economic activities.
Later today, the monetary fund
win consider a south African pro
posal to Increase the American
gold-buying price. The scheme
appears foredoomed because of
American opposition. Informed
sources said, however, that the
fund's decision may not be made
public until the conference break-
up on Ftldoy.
Road Paving
kel from the S.C.S, office in
Redmond. Don Benscoter,
Four-H leader, assisted with
the meeting.
The second in the series of
meetings will be held tonight.
at the fine Forest grange hall,
starting at 8 o'clock. On Thurs
day night there will be a meeting
at the Eastern Star grange hall.
The final meeting will be at the
Cloverdale school, on Friday
night.
S Voting Places
Three voting places have been
designated for the Sept. 30 refer
endum, with all persons owning
more than 10 acres of land elig
ible to vote. Polls will open at 10
a.m. and close at 9 p.m. If plans
for the enlarged, county-wide dis
trict are approved by 30 per cent
of the voters, services now avail
able In the mid-state district, cov
ering the Kedmond, Terrebonne
and Alfalfa areas, will be avail
able for the entire county.
. Balloting places on September
20 will be at the Tumalo Irriga
tion district office, In Tumalo; the
Squaw Creek Irrigation district
office, Cloverdale, and the Pine
Forest grange hall, at the south
city limits of Bend.
Widespread interest has been
reported In the Sept. 20 refer
endum. Hawaii Strike
Meeting Called
Honolulu, Sept. 14 HI'' Gov.
Ingram Stalnback called repre
sentatives of the CIO longshore
union to a meeting today to dis
cuss a peace plan proposed by
two other maritime unions back
ing the four -month -old dock
strike.
The plan was drawn up by the
CIO marine cooks and stewards
and the Independent marine fire
men's union. Stainback did not
disclose what It contained.
One longshore union source
said the Union had an idea what
the plan would be and said there
was little hope It would be ac
ceptable. Meanwhile, Congressional dele
gate Joseph K. Farrington told
an Informal Joint legislative ses
sion the strike probably could
not be settled without federal
legislation.
The territory continued Its de
fense of the dock seizure law In
a federal court suit brought by
the union. Special Deputy attor
ney general Garner Anthony yes
terday called six businessmen to
the stand to depict Hawaii s hard
ships. In San Francisco, the federar
maritime commission opened
hearing In the case of 12 west
coast barge companies charged
with violating common carrier
regulations In traffic with Hono-
i lulu.
Coal Strike
Threat Faced
By Industry
By Charles II Herrold
I (trilled I'm. SUIT C'rrMioni!rnt
Washington, Sept. M MM- Soft
coal operators feu red today that
a nation-wide coal strike Is im
minent and may possibly get un
der way tonight.
'Hie immediate issue was John
L. Lewis' charge that some mine
operators, particularly In the
south, have "defaulted" on their j
zo cenis a ion payments 10 nisi representative, who Is on a tour
United Mine Workers' welfare I 0f the west, studying needs of
fund. j irrigation projects. LaSelle Coles,
Presumably, however, the main prineville, was spokesman for the
object of a strike would be toimd.state group. Coles had plan
strengthen the miners' hand In the i ned to "sell" the appropriations
contract negotiations that resume I official on western irrigation, but
today and tomorrow at Blucfleld ; learned that the representative
and White Sulphur Springs,! has long supported reclamation.
WMoB' of the sof, coal Industry rtto "
has been on a three-day work P- .Klrwf,n messed that he
week since June 30, when the old !w,ou1 be. w'j"ng lo, support the
contract expired. Lewis Imposed . North unit plea for federal aid in
the short week In all mines east j
of the Mississippi, us a substitute
for his traditional policy, of no-
contract, no-work.
The operators believed Lewis
might cull some or all of his soft
coul miners off the Job altogether
at the close of work today, the
end of the 11th short work week.
Ready for Showdown
Most of the Industry apparent
ly was ready for a showdown.
Spokesmen said the operators'
resistance to Lewis' contract de
mands was strengthened by the
report of President Truman's fact
finding board in the steel dispute.
The board recommended no
wage boost and proposed a pen
sion and insurance plan far less
costly than the miners welfare
fund. Lewis wants a shorter
work day, higher pay, and bigger
contributions to the fund.
Some operators conceded they
have not been making the welfare
payments. But they said they
have been under no obligation tt
do so since the June 30 expira
tion date of the miners contract.
Others took the position that
for technical reasons under the
Taft-Hartley law their obligations
under the old contract ran to au
eust 14. Whether they intend to
continue the payments past that
date will not be known until next
Tuesday, when payments for Au
gust are due. -
NEW DEFINITION
Washington, Sept. 14 UPi
John L. Lewis came up today with
a new set o: words meaning
"Strike." They are:
"Reactions deterrent to the con
structive progress of the indus
try." 1
Cold Still Grips
Eastern Areas
(Br Unitri Pre)
Work-bound easterners groped
their way through a pea soup fog
today while plainsmen in the Da
kotas donned mackinaws to tend
their stock in sub-freezing weath
er. A dense fog blanketed the New
York metropolitan area shortly
after dawn. It cut visibility to one
block slowed harbor ship move
ments, and closed down all flight
operations at LaGuardia and Idle
wood airports for a time.
The fog, extending along the
coast Irom- Boston to Philadel
phia, ,was expected to disappear
about mid-morning as a cold
front swept in after chilling the
midwest with wintry blasts.
At dawn, the eastern edge of
the cold air mass was moving
across Harrisburg, Pa. Its south
ern border had already hit the
gulf coast.
A new cold front, meanwhile,
was forming In the Pacific north
west, causing extensive showers
there, and forecasters warned
that It might cause a new cold
wave to roll across the country.
A hard freeze settled over the
eastern Dakotas early today and
farmers had to break the ice In
troughs to water their stock. The
temperature dropped to 27 at Bis
marck, N. D 29 at Minot and
Dickinson, N. D 30 st James
town, N. D., and Aberdeen, S. D
and 32 at Watertown, S. D.
Chicago had a low of 42, cold
est for the season and just three
tenths of a degree above the cold
record for the day set In 1923.
Wyoming highway officials,
mindful of the record-breaking
blizzard that struck disastrously
last-winter, announced that
"we're all ready for winter" with
new snow fences In place and all
snow-removal equipment overhauled.
Rep. Kirwan, on Bend Visif,
Told of Norfh Unit's Need
For Water Supply System
North unit settlers' hopes that the federal government can
assist in financing- reconstruction and extension of the dis
trict's water system received a setback here last night when
Hep. Michael J. Kirwun, of Ohio, declared the project should
be financed by the state or the district. Rep. Kirwan, chair
man of the house sub-committee on interior department ap
propriations, expressed his views at a dinner in his honor at
the J'llot Butte inn. Present
were rn i d-s t a t e irrigation
leaders and bureau of recla
mation officials.
Otto It op pes, Prineville,
president of the Central Ore
gon chamber of commerce,
presided and Introduced the Ohio
"
mestie water supply system, but
predicted that congress would re
ject the proposal.
Coles confined his remarks to
a summary of central Oregon ir
rigation development, presenting
the North unit picture and outlin
ing plans for further reclamation
in the Crooked river valley and
on the South unit. Other speakers
representing communities and
district included Robert H. Foley.
Bend, who stressed the need for a
comprehensive study of the Des;
chutes by the bureau of reclama
tion, and T. Leland Brown, The
Dalles, Jefferson Water Conser
vancy district counsel, who touch
ed on the hope that the federal
government could assist in fi
nancing the North unit's domes
tic water system.
This suggestion Immediately,
brought ReD. Kirwan no his feet
With the proposal thai such an
undertaking be backep by the
state, tie asKea ior aata as to tne
number of families to be served
and was told that some 575 fami
lies and an estimated population
of 5.000 would benefit.
When it was pointed out that a
change in Oregon's constitution
would be necessary to provide
such support, the Ohio represen
tative suggested that such change
be made, or the financing be left
to the district or the municipali
ties to be served.
No More Bonds '
A. R. Friesen, a North unit di
rector, said the district could not
(Continued on Page 5)
Elliott Strikes
Back at Pearson
Portland, Sept. 14 IIP Mult
nomah county sheriff Marion L.
(Mike) Elliott today charged in
the first of a series of articles in
Portland newspapers that a re
cent move to have his surety bond
cancelled stemmed frqm his re
fusal to "go along" with a "quo
ta" of $60,000 assigned to his of
fice to support Walter J. Pear
son's campaign for governor on
the democratic party ticket in
1950.
Elliott said two state senators
approached him at his office. His
refusal, Elliott stated, led to the
attempt to cancel his $110,000
bond with the Maryland Casualty
company.
,lhe sheriff said he has no
knowledge whether the two men
came to him on authority of
r-earson.
Meanwhile, the Portland Metho
dist Ministers' association went
on record Tuesday as opposed to
tne retention oi any public oin
clal whose lack of integrity has
been demonstrated." The associa
tion cited the sheriff's office as a
particular case.
PEARSON COMMENTS
Salem, Sept. 14 di11 State treas
urer Walter J. Pearson today de
nied as "ridiculous" Multnomah
county's Sheriff Mike Elliott's
charges that the treasurer wanted
to use the sheriff's office as cam
palgn headquarters to run for
governor.
Pearson branded the "expose"
as "too ridiculous for comment."
"If anvone Is going to raise
$200,000 for me, I'll run. But not
for governor but to Hawaii and
retire," Pearson said.
In a . statement to the press,
Elliott had charged that Pearson-for-governor
men had asked to
use Elliott's office as campaign
headquarters to raise a total of
$200,000, including $60,000 from
the sheriff's office, to put Pear
son on the democratic ticket In
1950.
Kirwan Visits Bend
r
Rep. Michael. J. Kirwan, of
Ohio, was guest of honor at a
dinner last night at the Pilot
Butte inn, where he conferred
with mid-state irrigation lead
es. He is pictured here in an
informal pose, while talking
with reclamationists.
Missouri Rail
Strike Continues
St. Louis, Sept. 14 llPv Direct
negotiations may be started to
day to end a strike that paralyzed
the Missouri-Pacific railroad. -Representatives
of 5,000 strik
ing engineers, firemen, trainmen
and conductors said they were
ready to negotiate "either one by
one or in general principal on the
282 grievances, involving $3,000,-
000, that precipitated the strike a
week ago.
"I don't know what the com
pany may be coming up with,"
said R. E. Davidson, spokesman
for the unions. But he and com
pany spokesmen agreed that
"progress was made" in prelim
inary talks sponsored by a volun
teer citizen's committee of St.
Louis officials.
Meanwhile, residents and indus
tries in towns along the MO
PAC's 7.000 -mile right-of-way
complained that the strike was af
fecting their daily lives and cost
ing them money.
Farmers at Batesville, Ark.,
cornplained that they had to hire
trucks to ship in chicken feed, cut
ting their profits.
Bend Elks Honor
Early Members
The Bend lodge of Elks, insti
tuted 30 years ago last month,
honored old-time members at last
night's meeting, with 25 of the
early-day members present to re
ceive pins. Present for the lodge
meeting that marked the start of
fall activities was a" large crowd.
A dinner was served preceding
the meeting, and a floor show
was presented.
Eight of the members honored
at the meeting have held continu
ous membership In the Bend
lodge for the past 30 years. They
were J. H. Haner, Wilson George,
J. R. Roberts and Dr. R. W. Hen-
dershott, charter members, and S.
E.. Robert, Elmer Lehnherr, K. E.
Sawyer and M. A. Lynch. J. R.
Roberts, a resident of Redmond
who transferred from another
lodge when the Bend chapter was
instituted 30 years ago, was de
clared the oldest Elk present, in
point of membership.
Pins Awarded
Members present to receive 25
year pins were Robert K. Innes,
J. H. Melster, Frank R. Prince
Alex Walter, Lester Freeman,
Jack Dudrey, Clyde H. Johnson
and Hans Slagsvold.
The following Elks were pres
ent to revelve 20-year pins, in rec
ognition of continuous member
ship: Andrew Olson, A. B. Este
benct, Dr. Fred A. Lieusllen, Vic
tor Plath, A. T. Niebergall, Dick
Phillips, Rolla Weigand, and Art
Johnson.
The Elk coming the longest
distance for the meeting was L.
M. Foss, former Bend resident
who now lives In California.
J
Fate of Rodeo
Grounds Up
For Decision
Future of Bend's proposed ro
deo grounds will be at stake
Thursday night when directors of
the stampede and water pageant
association hold a special meet
ing in the Rixe Real estate office
at 7:30 o'clock, W. J. Baer, presi
dent of the association, has announced.
Originally obtained by the as
sociation and later deeded to the
city for improvement as a rodeo
arena and race track, the 40-acre
tract, by request of the pageant
leaders was recently returned to
the association. To meet obliga
tions incurred in presenting the
Mirror pond pageant in the past
two years, the association must
sell or mortgage the grounds,
Just south of the Bend city limits.
Association officials are hope
ful that in some manner the
grounds will be eventually avail
able for rodeo use, and will enter
tain proposals, at the Thursday
night meeting.
Final reports on the 1949 water
pageant will be presented and a
decision is expected to be reached
on whether a 1950 pageant will
be presented.
Directors of the association,
who havenot attended meetings
this season, will be dropped un
less they show up at the meet
ing, it was indicated.
Mrs. Roosevelt,
Hull Are Named
In Investigation
Washington, Sept. 14 UP) A
former communist testified today
that Mrs. Eleanor Roosevelt and
former Secretary of state Cordell
Hull smoothed the way for Mrs.
Earl Browder to escape deporta
tion and become an American cit
izen in 1944,
That testimony -as given to a
senate judiciary sub-committee
by Howard Rushmore, now a re
porter on the New York Journal
American. The sub-committee is
studying ways to tighten the im
migration laws.
Rushmore recalled that the Russian-born
Mrs. Browder, whose
husband used to be boss of Amer
ican communists, was arrested
for illegal entry in 1940. In 1944,
while that case still was pending,
she went to Canada and then re
entered the United States and ob
tained citizenship.
The department of state and
the immigration and naturaliza
tion service told me that, though
they objected, they were ordered
by Cordell Hull and Mrs. Roose
velt to grant the re-entry permit,
Rushmore said.
Many Red Teachers
Rushmore said he also was told
by. Benjamin Gitlow, former com
munist party secretary, that Earl
Browder was "meeting secretly
with President Roosevelt at the
White House at the time Mrs.
Browder was having her immi
gration troubles.
Rushmore also said that:
1. Between 300 and 400 New
York city school teachers are com
munists and- control 3,000 to 4,000
others out of a total of 33,000. He
said they teach Marxism in their
classes because to fall would
mean expulsion from the party.
2. David Karr, former legman
for columnist Drew Pearson, was
a communist, and Jerre Mangl
one, former justice department
public relations assistant, was
either a communist or a close
fellow traveler.
Treasury Strikes Balance,
Finds Three Billion Deficit
Bv Lyle C. Wilson
(United PreM Staff Correspondent)
Washington, Sept. 14 upi The
treasury has struck a balance for
the first 10 weeks of the new
fiscal year, and reports itself in
the red for $3,304,000,000.
There were years during the
Coolidge and Hoover administra
tions when that sum would have
paid all government expenses for
12 months.
On a weekly basis since fiscal
1950 began on July 1, the treas
ury has been spending beyond
Its income at an average rate
of $330,478,000. Weekly income in
the same period averaged $507,
137,000 and the weekly average
of spending was close to $1,000,
000,000. The actual spending fig
ure was $837, 616,000 every seven
days.
The most significant figure in
the dally treasury report, which
covered the first 10 weeks of the
fiscal year, was on spending. It
cost the taxpayers nearly $2,000,
000,000 more to run the federal
government during the first 10
weeks of this fiscal year than It
Strike Still
Considered
By Union Head
Pittsburgh, Sept. 14 (IPi CIO
president Philip Murray notified
U. S. Steel Corp. toduy that the
United Steel Workers would no;
negotiate with the company until
It "promptly and plainly" udvises
that it accepts the presidential
fact-finding board's pension and
insurance recommendations.
Murray, in a telegram to V. S.
Steel president Benjamin F. Fair
less, said that the union "In a
straightforward and forthright
manner has accepted the board's
recommendations as a basis on
which to conclude a settlement
to the dispute."
"I now request that you prompt
ly and plainly advise me whether
your companies are likewise will
lng to accept the recommenda
tions of the steel Industry board
as a basis on which to conclyde
a prompt settlement oi the exist
ing labor dispute between the
union and these companies," Mur
ray said.
Upon receipt of your affirm
ative reply the respective repre
sentatives of the union and the
companies can arrange promptly
for a time an place of a joint
collective bargaining conference
for this purpose," he said.
Threat Seen
Murray's telegram pointed out
that the union, sought an agree
ment before expiration of the
present truce Sept 25. His refer
ence to the deadline was an ap
parent renewal of the strike
threat. ,
In offering to renew negotia
tions, U. S. Steel made no allu
sion to the report of the fact-finding
board. Murray said that Pres
ident Truman had requested, In
submitting the report, "an un
equivocal reply from the parties
as to whether they tmoept the rec
ommendations ot . the, steel: In
dustry board as a basis on which
to conclude a prompt settlement," '
U. S. Steel operating headquar- .
ters here confirmed receipt of the
telegram, but a spokesman said
the company had "no comment"
at the time.
Others Act ' '
While U. S. Steel did not divulge
its ultimate course, two other
leading producers. Republic Steel
Corp. and Inland Steel Corp., yes
terday said they would enter ne
gotiations determined to press the
general industry view that work
ers as well as companies should
contribute toward any pension
and insurance programs.
USW leaders were reported op.
timistic, however, over the word
ing of the Jones & Laughlin Steel
Corp.'s statement to resume nego
tiations. That company, which al
ready has a non-contributbry pen
sion law in effect, announced It
had accepted the presldental
board's report "as a basis for col
lective bargaining."
The attitude of James Griffin,
director of USW district 26 at
Youngstown, O., was accepted as
typical of union leaders as the
bargaining moved toward the
showdown stage.
"The union will strike if the
companies don't accept the full
payment principle," he said. "We
are determined that company ac
ceptance be favorable."
DECONTROL APPROVED
Salem, Sept. 14 UP Gov. Doug
las McKay today approved rent
decontrol in Albany as requested
by the Albany city council last
month. 1
cost during the same period a
year ago. That Is a big increase.
Dispute Seen
These spending figures form
the background of a growing dis
pute between President Truman
and an economy group in con
gress for which the democratic
spokesman is Sen. Harry F. Byrd
of Virginia. Sen. Robert A. Taft,
R, O., and many other republi
cans also have been hammering
at government costs, and they re
cently were joined by former
President Hoover.
They and others of the opposi
tion warn especially against fur
ther deficit spending, which
means the spending of more
money than the government col
lects in revenue and borrowing
the balance. The nationol debt is
is now almost $257,000,000,000,
greater by nearly $4,000,000,000
than it was Just a year ago. It
costs more than $5,000,000,000 a
year just to pay Interest on the
national debt, to the persons and
institutions which hold the gov
ernment's bonds.