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About Capital journal. (Salem, Or.) 1919-1980 | View Entire Issue (Oct. 31, 1947)
ASight Wreckage Of Clipper on Annette Island. Plane Crashed Mountain Sunday and 18 Aboard Killed Instantly Ketchikan, Alaska, Oct. 31 (fP) Wreckage of the Pan Ame rican World Airways clipper that crashed Sunday with 18 persons aboard was sighted to day on an Annette island moun tainside. Wesley Monsen, son of Pilot A If N. Monsen of the crashed airliner, said he flew over the wreckage and "apparently all had been killed instantly." He said there was no question about the wrecked plane's iden tification. The plane was partial ly burned. Crashed Mountain The crash was against 3600 foot high Tamgas mountain, highest point on the island off the rugged and irregular south eastern Alaska coast. It is six miles east of the Annette island dfairfield. The crash was on the north side of the mountain. It was over the Annette field that Pilot Monsen, a veteran of northern flying, made his last report by radio Sunday. He said then that extreme turbulence turned him back from a sched uled landing on the field. Two search parties were en route to the scone. A CAA inspection party flew a seaplane to a small lake at the foot of the mountain, and plan ned to proceed afoot. Another group left from the beach. Sighted by 5 Planes The wreckage was first sight ed about 8:45 a.m. (PST), the coast guard reported. Five planes flew over the scene. The pilots reported the tail structure of the PAA plane was plainly visible, within 200 feet of the peak. The position of the wreckage on the north side of the moun tain Indicated that Monsen, on his northbound flight, had pass ed the lower end of Annette and swung back southward. (Concluded on Page 15, Column 6) Housing Boss Resigns Job f Washington, Oct. 31 () Frank R. Creedon resigned to day as national housing expe- ditor. In a letter of resignation, Creedon advised President Tru man that he was leaving the government to take charge of a large construction program in connection with the develop ment of atomic energy. No de tails were given. When making the letter pub lic, the White House announced that Tighe E. Woods has been named acting housing expeditor. He has been a deputy under Creedon. Woods, a native of Chicago and graduate of Notre Dame, entered government service in 1942 as OPA rent examiner in the Chicago regional office. Later he became deputy housing expe ditor for rent control. Creedon, who managed the construction of the Oak Ridge (Tenn.) atomic energy project, wrote the president: "I weighed carefully in my mind which would render the greater public service, my pres ent assignment or the help that I could contribute in expediting the atomic energy program." He said he had concluded he could be more helpful in the lat ter field. JJ. 5. Urges Haste In Palestine Division Lake Success, Oct. 31 Wi The United States suggested today that if the proposed partition of Palestine is approved by the United Nations assembly the two new Arab and Jewish countries should become independent na tions July 1, 1948. The U. S. suggestion was made by American Delegate Herschel V. Johnson at a closed session of a special Palestine sub-com mittee of the general assembly. Johnson proposed that the two countries become "absolutely sovereign and responsible for Public order in their respective nations" on the suggested date of independence. During the interim period, be tween now and next July 1, he suggested that Britain continue to be responsible for preserva tion of law and order. The Weather (Released by United States Weather Bureau) Forecast for Salem and Vicin ity: Cloudy with showers tonight and Saturday. Lowest tempera ture tonight, 46: highest Satur day. 60. Maximum yesterday 58. Minimum today 49. Mean tem perature yesterday 52 which was 3 above normal. Total 24-hour precipitation to 11:30 ajn. today -Aft. Total precipitation for the -fonth 10.23 which is 7.39 inches iftove normal. Willamette river height Friday morning, 3.8 feet. C apilal 58th Year, No. 260 Ask $54 Billion Reparations From Japanese Washington, Oct. 31 (Pi An eight-months' dispute among the wartime Pacific allies over rep arations from Japan was dis closed today after the Philip pines had put in a $4,198,675, 244 bill for damage suffered from the invaders. Lifting ' some of the secrecy surrounding sessions of the 11- nation Far Eastern commission, it was revealed that: 1. With the sole exception of Canada, every one of Japan's World War II foes has claimed a larger share of the reparations pool whose size is yet to be determined than the others consider justified. China Asks 40 Percent 2. Only the Philippines put dollar value on her loss. On a proportionate basis, the other claims which were only in per centages of the future total pot would add up to some $54, 000,000,000. 3. China thinks she is en titled to 40 percent of whatever is obtained from Japan under terms of the peace treaty which is yet to be drafted. The United States put in a 29 percent bid, Australia 28 percent, Britain 25 percent, the Philippines 15 per cent, India 12.5, France, Nether lands and Russia each 12 per cent; New Zealand, 2 percent and Canada, 1.5 percent. Earlier claims were even higher. 4. All added up to 188 per cent of the ultimate pool. The Far Eastern commission has been striving since last Febru ary, thus far in vain, for agree ment on the manner in which the shares shall be scaled down to the necessary 100 percent. Allies Fail to Agree 5. Although the ultimate size of the reparations pool is con jectural, a rule-of-thumb total of some $14,000,000,000 has been used as a working basis in the efforts to agree on shares. The information came from an authoritative official source after the Philippine figures wei'e published in Manila. Precedence suggested the United States might turn back to Japan whatever share is al- loted to this country, or divide it among allies who suffered di rectly from occupation and in vasion. The United States has declined any share in Japanese industrial plants and equipment already earmarked for distri bution as surplus. Taxes on Co-ops To Lower Prices Washington, Oct. 31 W) The treasury said today that mak ing Farmers' Co-operative asso ciations pay income tax on their "patronage dividends" or "re funds" might cause more of them to lower prices. Statements to that effect were among a number of guarded comments in a study issued by the treasury in advance of" a house committee hearing open ing Tuesday on tax treatment of the co-ops. If the dividends or refunds were taxed, the study indicated, more co-ops might lower prices so as to minimize the amount of such funds in their treasuries. But if the dividends or re funds remain free from taxes, repealing the general income tax exemption now enjoyed by more than half of the nation s 10,150 co-ops would "impose relatively little tax" on them, the treas ury said. Milk Price Upped 2 Cents in Salem and All Valley Towns From the office of Director E. L. Peterson of the state depart ment of agriculture today came announcement of a new milk price schedule applicable to the Portland market. Salem and all valley towns are included? in the orders. Salient points of the new or der are an upward revision of producer prices from $1 per pound of butterfat plus $1.20 per hundredweight to $1.15 per pound butterfat plus $1.40 per hundredweight; upward revision of consumer prices at whole sale from 15 to 17 cents per quart and at retail from 17 to 19 cents per quart: labeling re quirements providing that all milk and cream be labeled with its minimum butterfat content: deletion of provisions for fixed discounts in the price at which processors may sell and deliver milk and cream to non-processing distributors; and minor re visions of cream prices redis tributing dealers' margins on varioui items sold. ff.'ff.ff'o.Sff Salem, Film Red Probe To Continue Washington, Oct. 31 (P) The promised disclosures of a definite link between movieland and Russian atom bomb spying must await the next phase of the reds-in-Hollywood ' investi gation. This will come in "due time," Chairman Thomas (R-NJ) pledg ed today as his house commit tee on un-American activities ended two weeks of public hearings with an air of suspense not unlike an old-fashioned se rial thriller. Paul V. McNutt, special coun sel for the Motion Picture asso ciation, declared in a statement the investigators had produced no proof of charges that films contain subversive propaganda. Thomas told reporters the committee will go into this as pect of things when it resumes its hearings either here or in Los Angeles. The time has not been fixed. Members of the committee staff also will continue working on the spy story during the re cess, he said, "and when they are ready we will go into it again." The committee's evidence about Soviet snooping on the atom bomb secret was developed by the final witness, Louis J. Russell, soft-spoken, 35-year-old Kentuckian who worked withiwrit;ng house ways and means the FBI for ten years before be coming a committee investigator two years ago. Nobel Peace Prize Awarded Friends Oslo, Norway, Oct. 31 W The Nobel peace prize for 1947 has been awarded to the Lon don service council and the Philadelphia service committee of the Society of Friends (Quakers), the Nobel commit tee announced tonight. The Society of Friends was among five institutions wnicn had been named as candidates for the award. Pope Pius XII and Mohandas K. Gandhi, the Hindu leader, were among the! persons nominated for consid eration The announcement slates fur ther that the dairy industry, like most others, has incurred in creased costs which the depart ment in fixing minimum prices is compelled to recognize. While some distributors may because of the peculiar character of their operations be able to make a profit under price schedules in effect prior to this new order, those distributors are not char acteristic of the Portland mar ket and no showing has been made that distribution services could be maintained to provide service to small stores, commu nity markets, or those persons who of necessity must have home delivery under the price sched ule heretofore in effect. (Concluded on Par 11, Column 1) Oregon, Friday, October Governor John H. Hall Takes Governor Jay Bowerman administers oath of office. Top right, Governor Hall signs oath. Lower left, friends of new governor extend well wishes, and lower right shows newsmen in Hall's first press conference as governor. Gov. Hall Takes Oath of Of f ice in Brief Ceremony Surrounded by a group of stale officials, intimate friends and newspapermen and photographers, John H. Hall became the 25th governor of the state of Oregon Thursday at 3:09 p.m. The oath of office was administered by Former Governor Jay Bowerman, with whom the new executive has been associated in the law bus European Aid Dims Tax Cut Washington, Oct. 31 (P) Help for Europe confronts this coun try with the choice between higher taxes or greater inflation, Rep. Crawford (R., Mich), de clared today. At the same time Senator O' Mahoney (D-Wyo) called for a new excess profits levy as one approach to the twin problem congress will confront next month of curbing high prices at home while working out a mulli-billion-dollar European re covery program. A republican leadership de cision on whether to press a third tax reduction bill at the November 17 session was delay ed, meanwhile, by the illness of Rep. Knutson (R-Minn). Knutsor. chairman of the tax- committee had been scheduled to confer yesterday with Sena tor Taft (Ohio), head of the senate's GOP policy committee, on the Minnesotan's previously announced determination to make tax-cutting a top priority issue before congress. Taft also favors lower income levies, but he declined to fore cast at a news conference yester day just when the lawmakers might get around to a reduction bill. Crawford, however, asserted that it no longer is a question of cutting taxes but of hiking them. ' The Michigan republican said he voted for the two bills Presi dent Truman vetoed last session because he expected government spending to be curtailed sharply. Since then, however, he added in an interview, "the senate and house appropriations committee have shown they don t know how to cut budgets," the European, economic crissis has developed and all signs point to greater defense needs. "We are clear out on a limb now," Crawford declared, "and you don't cut your defenses when you are threatening every body." The house member said "it is time for the people to make a very quick decision," on this question: "To whatever extent we now finance Europe, in connection with the Marshall plan, are the people ready to put the dollars in the tax box, or will they now insist that further inflationary pressures be created through additional deficit financing?" For his part, Crawford said he believes "no appropriations should be made beyond those which the American people are willing to pay for through tax es" because further borrowing will "only destroy the buying power of the people's accumu lated savings and current wages." Jouamal 3 1, 1947 Oath of Office Ton left. Former iness in Portland. The ceremony, held in the governor's large re ceptiori room, was solemn and brief. Eric Allen, private secre tary the late Gov Snell, invited the group into the room after which Hall and Bowermann filed in. A radio broadcaster made the intrbduction, Bowerman read the oath and Hall replied "I do," thus concluding the short ceremony. Even the words of good wishes to Hall were given m a quiet, somber manner. Governor Hall stated that he would announce no new ap pointments until after funeral services for the late Governor Earl Snell and Secretary of State Robert S. Farrell, Jr., have been held. The appointment of a sec retary of state will probably be the new governor's first appoint ment as technically this office cannot function without its ad ministrative head. However, ar rangements are being made to carry on certain administrative acts of the office, such acts to be ratified by the new secretary following his appointment. (Concluded on Page 13, Column 51 Typhoon Hits Philippines Manila, Oct. 31 (IP) A ty phoon which swept across the central Philippines, leaving six dead and heavy damage in its wake, by-passed Manila to the south today and headed toward the China sea. At 7 p.m. (6 a.m., EST), the Philippine weather bureau plac ed the typhoon 30 miles south of Manila and said it was mov ing west-northwest. Typhoon signal No. 10, indicating immi nent danger, remained hoisted in Manila, however. The lashing gale heavily da maged two cities, sank one ship and beached three others, Reports from Iloilo, Panay island, said five persons were drowned when the motor launch Afonso n Jank near ,hc Gi gantes islands, off the eastern coast of the island, Thursday. The first death caused by the typhoon was reported from Min danao, where a woman passen ger drowned in the sinking of the 270-ton Philippines freight er FS277. Two other passengers and the crew of 26 were rescued as the ship went down in Bu tuan bay. Six islands in the central part of the achipelago already had felt the wrath of the storm, which showed little evidence of abating. Masbate, city of 24,000 popu lation 230 miles southeast of Ma nila, sent a radio message for help, saying the city was badly damaged. The message did not include any mention of casual ties. Tacloban. city of 10,000 on Leyte island 340 miles southeast of Manila, reported houses un roofed, commu n i c a t i o n lines down, and the business district flooded. Price Five Cents Hall Issues Proclamation Following is the text of the proclamation issued today by Governor John H. Hall: Whereas sudden and tragic death has overtaken three of Oregon's most distinguished leaders and statesmen, and Whereas these men, Governor Earl Snell. Secretary of Slate Robert S. Farrell, Jr., and Mar shall E. Cornett, president of the Oregon senate, have been held in esteem, affection and respect throughout their service in high offices of the state of Oregon, and Whereas it is only fitting that the people of Oregon should pay their last respects to these loaders who have been taken from us, Now, therefore, I, John H Hail, governor of the state of Oregon, by virtue of the au thority in me vested, do hereby proclaim Monday, November 3, 1947, as a day of mourning and a legal holiday throughout the state, and direct that all stale offices, banks and other public buildings be closed. I fur ther direct that all flags on slate buildings be flown at half staff, and I further desire to suggest that appropriate me morial services and observances be held in the schools through out the slate. On behalf of the people of Oregon, I extend to the families and loved ons of these men we honor, our heartfelt and sincere sympathy in their great be reavement. Secretary Krug's Condition Better Phoenix, Ariz., Oct. 31 iP) The condition of Secretary of Interior Krug, who became here yesterday, was reported to be "satisfactory" early today. "The secretary is doing all right," Assistant Secretary of Interior William E. Warne told a reporter. Krug suffered what was de scribed as a "fainting spell" yes terday while addressing the con vention of the National Rccla mation association. He retired from the platform, and Associa tion President Robert W. Saw yer finished reading his pre pared speech. Survey Made of Sidevalks To Schedule Repairs A survey of every foot of sidewalk in Salem, to find out condi tion, hazards and other repair needs is now in progress by the city engineering department. City Engineer J. H. Davis said today. Before the war sidewalk in-- speclions were made every two years. Demands on the time of personnel and other emergency conditions made it impossible during the war years, and the survey now under way is the first in six years. Many sidewalks in spots have been lifted by growth of trees Others have sunk, and some walks have become broken, and occasional conditions arc found that are unsafe to pedestrians. Just now the survey is cover ing the area from the business district towards the north city limit. We have found a great many bad spots," Davis said. "The pro perty owners are responding well to requests for repairs and some have already done jobs." Schools to Close At Noon Monday For Funeral Tragedy Causes Cancel lation of Numerous So cial and Business Events Among cancellation of nu merous events in Salem over the week-end and Monday due to the air tragedy that took the lives of Governor Earl Snell, Secretary of State Robert S. Far rell, Jr., and Senator Marshall Cornett, and the Monday funeral service, will be the Monday noon luncheon of the Chamber of Commerce. Both the govcr nor and the secretary of state were frequent attendants al the Monday meetings. Social and business meetings are among the cancellations, schools will close in the after noon, and probably Salem stores at appropriate hours. These are some of the activities not af fected by the proclamation of the new governor, John H. Hall C. of C. Luncheon off The Chamber of Commerce meeting was to be addressed by Joseph A. H. Dodd, Willamette valley manager for the Portland Gas & Coke company, on the theme of new credit conditions and possible consequences. The Chamber has decided to post pone the meeting until Tuesday noon ,and has accepted an in vitation from the Kiwanis club to meet jointly with that club at the Marion hotel, and Mr. Dodd s address will be heard at that time. The Chamber of Commerce situation is complicated by the fact that Monday is the annual election day for the chamber, and the voting was to close at noon. Instead the close of the voting is extended to Tuesday noon. The ballot box will be tak en to the Marion hotel where all members who have not deposit ed their ballots during the last week at chamber quarters may drop them in the box before the luncheon. The votes will be counted after the luncheon. Schools Close at Noon Frank B. Bennett, superinten dent of Salem schools, announc ed that the public schools will close at noon Monday. The schools will be in session as usual Monday forenoon. The (Concluded on Fags 13, Column 8) Hope Wanes for Alaska Fliers Fairbanks, Alaska, Oct. 31 W Hope waned today for four occupants of a small amphibious plane down since Saturday in a rugged mountain slope 65 miles northeast of Fairbanks as rescue parties converged on Palmer Creek mining camp 15 miles from the crash scene. An army helicopter and two small planes flown by Fair banks bush pilots established a base camp at Palmer Creek yes terday. They were to move to ward the mountain slope al dawn today. The pilots flew low over the wreckage yesterday and report ed the small craft apparently struck the hillside at high speed and partially burned. They re ported no signs of life in the vicinity. A five-man crew of an army tracked snow-weasel was forced to abandon the vehicle and hike back over 30 miles of difficult terrain when the machine de veloped mechanical trouble. A second weasel and dog team was dispatched yesterday from Ladd field here. Among those waiting at Pal mer Creek is Ernest Patty, Sr., father of the plane's pilot and prominent territorial mining man. The father and the pilot's wife flew from Seattle to Fair banks after receiving word of the crash. In addition to the pilot, the plane carried Merle and Lloyd Edmundson and Jack Warren, employes of the placer gold operations headed by Patty, Sr Sidewalk repairing is done at the expense of the abutting property. This is only one of several surveys in the city. Others arc railroad grade crossings and the condition of the tracks of both the Southern Pacific com pany and the Oregon Electric. The grade crossing survey has been completed and a report prepared for the attention of the city manager. Conditions causing hazards In traffic, whe ther tracks arc above or below grade, general condition of stir faces, tics, rails, etc., arc among points noted. One man from the engineer's office is working on the survey as time permits, and averages about three houri a day. Triple Funeral At State House Set for Monday All Oregon Mourns for State's Top Officials Killed in Plane Crash A stunned Oregon slowly pre- pared today for a funeral in state for its governor and two other top officials, killed in a hunting trip plane crash. Serv ices were planned for all thres in the chamber of the state house of representatives here Monday at 1:30 p.m. (PST). The bodies of Governor Earl Snell, Secretary of Stale Robert S. Farrell. Jr., and State Senate President Marshall Cornett were to be brought here from the mountainous southern Oregon wilderness where their plana crasr.cci luosday night. The crash also killed the pilot, Cliff Hogue. Individual Rites Also Families of the crash victims also planned individual services. Arrangements have not been completed. It was the most tragic plane crash in Oregon history, and the state, slowly recovering from its shock, promised a fu neral in keeping. Governor Hall, in his first of ficial act today, proclaimed Monday as a statewide day of mourning, directing thai all public buildings and banks be closed, and that all flags on stale buildings be flown at half- mast. All Offices to Close Officials in Portland said all offices would be closed, and other cities were following suit. The national and stale guards went into mourning and flags throughout the state were at half-mast. The new governor, John Hu bert Hall, 48, Portland attorney, elevated from speaker of the house ot representatives, took over, but many of the slate's of fices were paralyzed by the triple death. It was Impossible to obtain drivers' licenses, automobile li censes or numerous other certi ficates. These functions, carried on under the secretary of state's supervision, will not be resumed until new Governor Hall names a successor to Farrell, probably next week. Confusion of Boards There was confusion also over the operation of the liquor con trol commission, the highway, -welfare and unemployment com missions, but they took up busi ness on the recommendation of the slate attorney general's of fice. The crash left on the state board of control which does the state's buying, keeps many of the slate's records and ad ministers most of its institu tions only State Treasurer Les lie M. Scott. (Concluded on Vngr. 13, Column.o) Moving Houses At Trade Center The first of 13 houses to be moved from the new retail trade area on North Capitol street was being moved out Friday. Other houses in the area will bs razed. The house moving Friday goes from 1163 Marion street to a new location in Brcyman cast of 22nd, where it will be used as a residential unit by J. V. Hamar, the buyer. The house is being moved by Hinkel & Son by permit of the city council, and the job, said City Engineer J. H. Davis can be completed during the day. The moving company uses pneu matic dollies and can make a speed of 15 miles an hour. The only obstacles encounter ed arc delays while waiting for telephone and power wires to be lifted to permit passage on the streets. Moving a house is al best a complicated matter. Interested arc the stale highway depart ment, the railroads and the utiU ily companies, and their rights have to be considered. The route of the move being made Friday was on Marion to 12th, south on 12th to Center, east on Center to 22nd, and south on 22nd to Breyman. Tacoma Axe Slayer Faces Murder Charge Tacoma, Oct. 31 (Pi First de gree murder charges were filed today against Jake Bird, 45, con fessed axc-slaycr of a woman and her daughter here early yes terday, as Tacoma police receiv ed a flood of requests that he ba questioned regarding similar crimes al widely scattered points in the nation. The charge filed by Deputy Prosecutor Earl D. Mann as etised Bird of the bludgeon death of Mrs. Bertha Kludt, 53, the mother. No mention is made of the daughter, Beverly June, 17.