Capital journal. (Salem, Or.) 1919-1980, September 15, 1949, Page 1, Image 1

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    THE WEATHER HERE
CLOUDY WITH rain tonifht
Friday, mostly cloudy with
showers. Slightly cooler temper
atures. Lowest ton iff ht, 54; hiffh
est Friday, 68.
Miilnm yttterdy, M; minimum t
4y. u. TUI Z4-hur reipiUIa: .14)
for month: .83; rnial, .6. Scaien pre
cipitation, ,R3; nrmil, ,M, Kifr neifhl,
-S. feet, (Eeporl by V.S. Weather Ba
re a.)
Job oial
HOME
EDITION
61st Year, No. 220 Salem, Oregon, Thursday, September 15, 1949 i MCi Pages)
Price 5c
Capital
Forcing of CVA
By President
Hit by Morse
Sidetracking of $1
Billion Bill Held
Political Boomerang
By MARIAN LOWRY FISCHER
The administration "will find
men a course of action will be
political boomerang" wax the
lerse comeback from Senator
Wayne L. Morse in reading that
President Truman has asked
congress to defer approval of a
(1,000,000,000 army engineer
reclamation bureau program for
development of the Columbia
river basin and has proposed in
itead that the Columbia Valley
administration be set up first,
"The president is putting the
cart before the horse when he
talks about passing legislation
for the administration of proj
ects before they are even com
pleted," Senator Morse added.
Reiterates Stand
Morse reiterated his stand
given in a statement to the Cap
ital Journal Tuesday regarding
CVA when he said: "I am not
Interested in the political issue,
it is the economic angle that is
vital. ... I intend to keep my
eyes on the economic facts of
the river development program
and not become embroiled in a
partisan controversy over how
we are going to administer a
program when what we need
first is to get the projects built
so we have something to admin
ister." In further comments regard
ing the Truman request, Sena
tor Morse said:
Testified for Bill
"Some weeks ago I testified
In favor of the Magnuson bill
SZ180. I consider it a very
sound bill. Its basic soundness
is to be found in the fact that
those of us who are sponsoring
it with Senator Magnuson as
chief author recognize the No.
1 problem as far as the Pacific
northwest development is con
cerned is early completion of
the power, reclamation, flood
control and soil conservation
projects provided in the bill.
"There is no disagreement as
to either the need of these proj
ects or as to the blue prints for
these projects, therefore, it does
n't make sense to postpone their
building until the administration
can carry on a political fight
over how they are to be admin
istered. Public Policy Not Involved
"There is no question of the
fundamental public policy in
volved in building these proj
ects but there are many ques
tions of fundamental public pol
icy in respect to the govern
mental organizations to be used
in administering the policy.
"I think it very important that
all of us in the Pacific north
west think through very clearly
just how the public can be serv
ed best in the administration of
these multi-purpose dams once
they are completed.
(Concluded on Fare 1, Column S)
Elliott's Bond
Not Cancelled
Portland, Sept. 15 W Mult
nomah County Sheriff Mike El
liott's bond will not be can
celed if the bonding company
follows its attorney s advice, and
presumably it will.
Calvin N. Souther, Oregon at
torney for the Maryland Casual
ty company, said today he had
advised the company to leave
the $110,000 bond in effect
Cancellation had been asked
by State Treasurer Walter Pear
son who, as an insurance, agent,
wrote the bond.
The bonding company had
asked Souther for a report and
an opinion on the request for
cancellation. He said he told the
company not to cancel because
It is not for a bonding company
to say who shall hold public of
fice and who shall not. . . . That
decision rests entirely with the
voters.
The company is amply pro
tected on its bond since negoti
able collateral to cover it was
put in escrow by Elliott's back
ers when he first took office and
had trouble getting bond.
The bond cancellation propos
al was only one of the office
holding problems before Elliott.
A recall move was nearing the
final stage of having enough
signatures to force an election
on the sheriff's removal. Recall
headquarters reported today
that 28014 signatures were at
hand. Needed art 30,565.
Anti-Trust Suit
Filed to Break up
A&P Food Chain
McGrath Brings Civil
Action in Federal
Court in New York
Washington, Sept. 15 VP) At
torney General J. Howard Mc
Grath today filed suit to break
up the great Atlantic and Paci
fic Tea company's nationwide
food chain.
The civil action was brought
in federal district court at New
York City this morning.
It is a follow-up to a criminal
conviction of the A. and P. com
pany under the anti-trust sta
tutes at Danville, Illinois, tnree
years ago.
The conviction was affirmed
in the U.S. court of appeals at
Chicago early this year and the
company paid fines totaling
$175,000.
In New York, an A&P offi
cial branded the suit as a
threat to the welfare and living
standards of every American ci
tizen." General Denial Made
Entering a general denial of
the government charges, a
spokesman for the big food chain
said "the whole basis of this at
tack is the fact that we sold
good food too cheap."
"This is not just an effort to
destroy A&P, but an attack on
the entire system of efficient,
low-cost, low-profit, mass dis
tribution which this company
pioneered," he said.
(Concluded on Pane 5, Column 8)
Greek Threat
Worries Powers
Athens, Sept. 15 VP) Greece's
decision to invade Albania in
self-defense if necessary appear
ed today to have Washington,
London and Moscow worried.
There were indications that
the western powers might try to
get the Athens government to
alter its position.
On Tuesday, a high-ranking
member of the Greek delegation
to the coming United Nations
General Assembly said Greek
troops would invade communist
Albania if guerrilla forces
launched any new attacks on
Greece from Albanian soil. He
said the UN would be told of
this decision during the debate
on the Greek case.
Today, both American and
British ambassadors in Athens
were scheduled to confer with
Vice Premier Constantin Tsal
daris. It was believed that U. S.
Ambassador Henry F. Grady and
Sir Clifford Norton, Britain's
top diplomat here, might try to
persuade the Greeks to soft-ped
al their talk.
Foreign observers in Moscow
said Russia would take a grave
view of any Greek invasion of
the little country on her north
west frontier.
The Moscow press carried sto
ries today stressing the friend
ship between Albania and Rus
sia. Pravda displayed a head
line which read:
"Albanian-Soviet Friendship
strengtnening."
Assessed Valuation of
County Over
By DON UPJOHN
Marion county's assessed valuation, including all classes of prop
erties, jumps to $70,349,212 for the current tax year from $55,
835,453 last year, or an increase of $14,513,709, according to a
summary just officially released by County Assessor R. Tad Shel
ton. Included in this is $61,224,480 total net taxable value as as
sessed by the assessor and $9,-'
124,732 covering public utilities
as assessed by the state tax
commission. This is net after
taking out $376,950 allowed for
veterans' and widows' exemp
tions. Real property shows a jump of
$11,648,220 or about a 25 per
cent increase in the assessment
of $52,124,700 as against $40,
476,550 for last year. Personal
property is up $1,134.66, a total
of $9,476,660 this year as against
$8,342,000 last year.
Total number of acres of lands
assessed was 511,116, platted
lands being assessed at $7,569,
395 and all other lands at $22,
745,680. Structural improve
ments on unplatted lands are
valued at $8,038,650 and on plat
ted lands at $13,771,045, or a
total of $21,809,695, or up (bout
$5,000,000 from last year.
In personal property assess
iff 5is
1 ... fd.A '
Russia Wants
Big 4 Meet
Moscow, Sept. 15 (IP) For
eign Minister Andrei Y. Vishin
sky, slated to head the Soviet
delegation at the U. N. assembly
in New York next week, is ex
pected to press for a new meet
ing of the Big Four council of
foreign ministers.
With U. S. Secretary of State
Dean Acheson, British Foreign
Secretary Ernest Bevin and
French Foreign Minister Robert
Schuman all due to be on hand,
informed circles here said Vish
insky will urge an early formal
meeting of the council.
When the foreign ministers
ended their Paris meeting on
Germany last June, they agreed
to meet informally during the
U.N. session to discuss their next
meeting.
The Paris session reached an
agreement to end Soviet traffic
restrictions (the blockade) in
Berlin, but several other ques
tions were left hanging.
Among major problems still
to be solved are possible future
economic and political unity of
Germany, an independence trea
ty for Austria and reconciliation
of divergent allied views on who
should write a peace treaty for
Japan.
The Austrian treaty was turn
ed over to the ministers' depu
ties, but they have failed to
reach an agreement, thus turn
ing the matter back to the for
eign ministers council.
Walsh Urged lo
Oppose Morse
Portland, Ore., Sept. 15 W.B
State Sen. William E. Walsh (R)
Coos Bay, today is considering
whether he should run against
Sen. Wayne Morse (R-Ore) in
the 1950 republican primary for
a seat in the U.S. senate.
Walsh said he has been under
"terrific pressure" to oppose
Morse, and that an adequate
campaign fund has been assur
ed him by Portland sources.
He indicated that some repub
lican party members do not care
for the ultra-liberal views pre
sented by Morse. Walsh is now
serving his third term as state
senator from Coos and Curry
counties. He is a lawyer and part
owner of a Coquille radio sta
tion, and was a former district
attorney of Coos county.
$70 Million
ments improvements on US lands
are valued at $6,950; merchan
dise at $4,305,485; machinery,
$1,904,060; furniture and equip
ment, $768,585; farm imple
ments, $1,552,780; livestock,
$920,530, and miscellaneous,
$18,270. Acres classified for re
forestation total 32,207.95. Mer
chandise and stock in trade is
up about $300,000; farm machin
ery and equipment are down
about $350,000 and furniture and
equipment in commercial use
up about $100,000. Livestock is
unsegregated In the rolls this
year as to various types of ani
mals.
Heaviest taxpayers shown on
the public utilities rolls are
Southern Pacific assessed at $2,
725.996; Pacific Telephone It
Telegraph Co., $2,485,085 and
Portland General Electric at $2,-
485.845. the two latter being
virtually in the same bracket
,
& 3
41 C. - if
Jumbo Lifts the Big Top Although Ringling Bros, and
Barnum & Bailey circus now showing in Salem is mechanically
equipped to efficiently handle most operations elephants are
still used to pull up the big top. Elephants are understanding,
strong and there is no fire hazard involved when they work
beneath the tent as they did this morning.
Huge 'Machines' Used
To Set up Biggest Circus
By CHRIS KOWITZ, Jr.
The area adjacent to the west and south sides of the Oregon
state Fair Grounds bustled witn mass activity throughout Thurs
day morning, as the mighty Ringling Brothers and Barnum and
Bailey circus demobilized itself
New Formula
Hawaiian Strike
Honolulu, Sept. 15 WV-Hawaii's
governor needled a new
peace proposal into the islands'
tangled 138-day CIO dock strike
today. His formula: Boost wag
es 14 cents an hour, resume
work, set up a new contract.
Gov. Ingram M. Stainback
first put the proposal to the
striking International Long
shoremen's and Warehousemen's
union. Then he laid it out for
Hawaii's seven struck stevedor
ing firms. Both sides said theyi
will consider it.
A basic wage of $1.54 an hour
was the governor's suggestion.
This is the same pay recom
mended by his fact finding
board in June. The employers
accepted it then. The union re
jected it.
The ILWU's 2000 stevedores
struck May 1. They wanted to
hike their $1.40 an hour to $1.72.
Their figure has been scaled
down since, but never on terms
the employers would accept.
Now the governor urges: Take
14 cents. Make the docks hum
again as quickly as possible.
Then sit down at a bargaining
table with the employers right
away. There negotiate a new
two-year contract and make it
effective next April 1.
Just how the new proposal
came about, no one would say
even the governor said he could
n't recall for sure.
Brooks Youth Killed
At San Diego
Brooks, Ore., Sept. 15 Mr.
and Mrs. Allen Smithers Dean
received word this morning that
their son, Ray Dean, 17, had
been found dead in a boxcar at
San Diego, Calif.
Dean's head had been crushed
and word from California indi
cated that he had been murder
ed.
Dean and a companion from
around Gervais recently ran
away from home, it was report
ed here, but the other boy re
turned home, refusing to dis
cuss anything about his disap
pearance. The Deans did not
know where their son was until
word of his death was received
The Dean family moved from
this district to Canby about
three years ago, returning to
the Gervais community recent
ly where they purchased prop
erty. San Diego, Calif., Sept. 15
Neither the office of the county
coroner nor the metropolitan po
lice have any information rela
tive to a "box car" murder here.
Air Coach to N.Y.
Begins on Sept. 22
Portland, Sept. 15 (IP) Air
coach service from here to New not representing this govern
York City via Northwest Air- mcnt in any way, and has no
lines is scheduled to start Sept. 'authority to commit the United
22 with a $99-plus-tax price tag.
Airline Manager James Speer
said the rate of $70 to Chicago
compares with $113.75 for the
deluxe service.
from trains and set up its huge
''tents.
The early-morning silence was
broken at 4:25 a.m., when the
first of four trains pulled into
a siding on the west side of the
fairgrounds and the gigantic cir
cus began to unfold.
From then until noon, curious
spectators were treated to a per
formance of variety and amaz
ing clockwork. Sections of the
various trains moved in and out
of position as if guided by a
jeweled time piece and the proc
ess of unloading caused onlook
ers to marvel at the efficiency
employed.
Not a second was wasted at
any time in the operation. While
workers on the 18th street fair
grounds parking lot were busily
engaged setting up tents and dis
plays, a group of wagons and
trucks were bringing more cir
cus "supplies" over from the
railroad siding In a slow-moving
but constant parade. At the
same time, additional trucks and
wagons were being unloaded
rhythmically from the circus
trains' flat cars.
At first a handful, then a few
dozen, and finally hundreds of
weather-scoffing persons view
ed the spectacular teamwork be
tween man, machine and beast.
More than in any previous cir
cus visit to Salem, machines
were employed for heavy work
of setting up poles, pulling wag
ons, etc. The familiar spectacle
of elephants being used for la
bor has almost disappeared.
However, the moving of the
elephants still presented the
amusing show of ambitious men
with huge sticks prodding the
big animals on, while the ele
phants were content to just stroll
along at their own pace, in
apparent complete disregard to
the commands given them.
Even the driving of the tent
stakes into the ground has yield
ed to the machine age. Instead
of muscle and sledge-hammer,
two large machines with tre
mendous pounding arms were
used to set up the stakes for the
"big top" which stretches more
than a city block in length.
And though the process of
transferring the gigantic circus
from train to tent has become
routine and precision-like to the
workmen, the assortment of ani
mals still view the whole affair
with a snarling look that prob
ably means, "Take me back to
the Jungle."
McCarran Trip to
France Unofficial
Washington, Sept. 15 lift
President Truman said today
that Chairman McCarran (D.,
Ncv.) of the senate Judiciary
committee is acting on his own
in going to Spain to talk with
Generalissimo Franko about dip
lomatic recognition by the Unit
ed States.
McCarran sailed from New
York yesterday. He said he
would visit Franco not only to
discuss diplomatic recognition
but to talk over the possibility
of a loan to Spain.
Mr. Truman said McCarran is
States to anything
He is representing nobody In
the government of the United
States, the president said blunt-
liy.
Unions Threaten Strikes in
Steel and Coal Industries
Lewis Insists
On Payment of
Welfare Fund
Washington, Sept. 15 U
John I. Lewis today made an
other demand on the Cleveland
Trust company to compel the
Island Creek Coal company to
pay up on its royalties to the
United Mine Workers' welfare
fund.
Lewis' new demand was in
reply to a telegram from I. F.
Freiberger, board chairman of
the bank, denying that the bank
controlled James D. Francis,
president of the coal company.
Freiberger told Lewis last
night that the Cleveland Trust
company controlled only one
third of the company's stock,
but Lewis said, "A one-third
stock interest in a corporation
whose stock is so widely scatter
ed constitutes absolute and un
qualified control."
Claims Bank Control
"You can control him if you
wish," Lewis told Freiberger.
Lewis said Freiberger has
"personally" exercised control
for a long time.
Francis and a number of other
coal operaiors have withheld
their 20 cents a ton royalty due
the welfare fund since last
month, contending that the ab
sence of a contract with the min
ers absolves them of responsi
bility for the payments. The min
ers contract expired June 30
Payments on coal mined in July
were due Aug. 20.
In the coal mine dispute, a
walkout would idle another
400,000 men.
(Concluded on Pace 5, Column I)
Dr. Adenauer
Reich Chancellor
Bonn, Germany, Sept. 15 W)
Catholic Conservative Dr. Kon-
rad Adenauer skinned through
by a one-vote margin today to
win the necessary majority to
elect him first chancellor of the
West German Republic.
The 73-yeir-old lawyer pull
ed a bare majority of 202 votes
in the 402-member bundestag
(lower house) of parliament aft
er nomination by President The
odor Heuss yesterday.
As first German chancellor
since Adolf Hitler, Adenauer
will be the strongest man in the
new federal government, head
ing a cabinet of his own choice.
In his new position equival
ent to prime minister Adenau
er will assume the guiding role
in Western Germany's return to
self-rule.
The three-party rightist coali
tion supporting Adenauer came
within one vote of failing to win
the necessary majority.
Although there are 402 depu
ties, only 389 were present at
today s session. The constitution
requires a majority of the full
house, regardless of whether all
402 members are present.
At a session of the lower
house next Monday, the chancel
lor will make a policy statement
and announce his new cabinet,
it was disclosed.
United States Opposes
Increase in Gold Price
Washington, Sept. 15 (IP) Secretary of the Treasury Snyder
has notified the international monetary fund that the United
States will not agree to a boost in the price of gold.
His declaration Indicates that this country will, if necessary,
use its veto power to kill any general Increase which might be
favored by the board of dircc-
tors of the 48-nation fund.
Snyder made his statement. It
was learned today at a closed
meeting of the fund's committee
on gold. It helped to quash
for the moment a South Afri
can proposal for a fund study of
a new, higher price. It is now
$35 an ounce.
But the Union of South Afri
ca, world's biggest gold produc
er, plainly had plans to raise the
issue again before the annual
governors' meeting of the fund
and the World Bank ends to
morrow night.
And It became clear that the
lines were drawn for a major
assault prolonged if need be
against the gold-price policy
of the United States.
Meantime the delegates here
in annual meeting; ,
r
ST ' ;
Judge Sherman Minton, ap
pointed to supreme court by
President Truman to fill va
cancy caused by death of Jus
tice Wiley Rutledge.
Minton Named
To High Bench
Washington: Sept. 15 (JP)
Sherman Minton of Indiana, who
battled in vain for the 1937
Roosevelt plan to put younger
blood on the supreme court, to
day was chosen by President
Truman to serve on that bench.
Minton, in 1937 a democratic,
pro-New Deal senator, now is a
judge of the Seventh U. 5. cir
cuit court of appeals. That court
has headquarters at Chicago and
embraces the states of Indiana
Illinois and Wisconsin.
Mr. Truman announced his
decision at a news conference to
day. He said Judge Walter C.
Llndley of the U. S. court for
the eastern district of Illinois
will succeed Minton on the ap
pellate court.
Casper Platte, now a circuit
judge of Illinois, will succeed
Lindley.
Minton, 58, will fill the su
preme court vacancy created by
the death of Justice Wiley Rut
ledge. A democrat and a protestant,
Minton served in' the senate
from 1935 to 1941. He had the
des!: next to Mr. Truman's when
both were in the senate.
Minton is a protestant but his
wife is a Catholic.
There has been no Catholic on
the supreme court since Justice
Frank Murphy died in July.
There had been speculation that
the president miRht choose ano
ther Catholic until he named for
mer Attorney General Tom
Clark, a protestant, to succeed
Justice Murphy.
With the death of Justice Rut
ledge, political dopestcrs again
foresaw the possibility that Mr.
Truman might give recognition
to Catholics in filling the vacan
cy. Gibson, Vermont Judge
Washinnton, Sept. 15 IIP)
President Truman announced to
day he is nominating republican
Governor Ernest Gibson of Ver
mont to federal district judge
for that state.
1. Prepared to vote to India
the chairmanship of the fund and
bank for the next year. The
election is tomorrow but the
outcome was taken for granted.
2. Weighed whether to hold
next year's meeting in Paris.
France would have had the meet
nig this year had not economy
and convcnticnce dictated other
wise. 3. Put a fund committee to
work considering ways to break
down the currency controls
which hamper trade in most of
the world. The fund has report
ed "no general trend'' toward
improvement In the last year.
4. Heard that Sir Stafford
Cripps, British governor fur
both fund and bank, may leave
Washington for home early Fri
day, before tht conference ends.
Murray Insists
On Acceptance
A e fx i r
Ul Board s Plan
Pittsburgh, Sept. 15 (IP)
President Philip Murray of the
CIO United Steelworkers today
charged the giant I'nited States
Steel corporation is "deliber
ately seeking to force a strike."
The accusation came in a tel
egram the union leader address
ed to U.S. Steel President Ben
jamin F. Fairless.
Murray again insisted that
U.S. Steel accept the recommen
dations of President Truman's
fact finding board aimed at set
tling steel labor difficulties.
He wired Fairless:
"The union still hopes that a
strike in the basic steel indus
try can be averted. It can be
averted if your corporation and
the rest of the industry will
agree with the union and with
public opinion to accept the
recommendations of the steel in
dustry board."
Fairless for Bargaining
Murray's telegram replied to
an overnight message from Fair
less which stated U.S. Steel a
unwilling to accept the board
recommendations without bar
gaining. The board recommended that
labor and the industry work
out company financed pension
and insurance plans but ruled
out a wage increase for steel
workers.
U.S. Steel took particular ex
ception to the board's view that
the pension plan be financed
entirely by the Industry. It said
that "as a matter of sound prin
ciple any program of social in
surance should be on a contrib
utory basts."
Murray Forces Issue
Murray forced the issue. He
told Benjamin F. Fairless, pres
ident of U.S. Steel, that he was
n't satisfied with Fairless' ini
tial answer that bargaining be
resumed without committing
big steel to the board's findings.
(Concluded on Pare 5, Column 7)
Truman Hopes
Strike Averted
Washington, Sept. 15 (IP)
President Truman expressed
hope today that negotiations in
the steel dispute will progress
toward a settlement.
This was Mr. Truman's com
ment on U. S. Steel's refusal to
accept the presidential fact-finding
board's peace formula with
out bargaining.
The company's action has
raised the possibility of a strike
in the industry after a true
expires September 25.
The steel dispute was brought
up at Mr. Truman's news con
ference. He was asked whether
he considered the attitude of
Philip Murray, head of the CIO
stool workers, was proper in in
sisting on acceptance of the
board's formula when it was
aRreed in advance that the find
ings would not be binding.
1 Mr. Truman said he hoped the
negotiations would progress to
ward a settlement.
Then he said he thought there
was a decided difference be
tween accepting a thing as a
basis for negotiations and ac
ceptance of a recommendation
outright.
President Plugs
For National Guard
Washington, Sept. 15 (IP)-
President Truman, an old mili
tiaman himself, put in a plug
today for the National Guard
recruiting drive.
He told a news conference
that the National Guard and the
reserve are the backbone of this
country's defense and he hopes
the forthcoming drive will be a
success.
He said he joined the National
Guard on Flag day in 1905.
When he was moved from the
rear to the front rank, he
thought it was the finest promo
tion he had gotten up to that
time.
Earth Quake Near Borneo
Tokyo, Thursday, Sept. 15 IIP)
A strong earthquake was rec
orded on the Tokyo meteorolog
ical station seismograph at 4:57
am. today (12:57 p.m., PDT
Wednesday). The location would
ba in or near north Borneo.
.1