Capital AJoiiriial 1 THE WEATHER S PARTLY CLOUDY, lew ahe. s are, patches of fog, eoolea ta J night; variable cloudiness, mt Urrd showers, ccuioul Him- f shine, Friday..Lew tonight. 12; FINAL EDITION nign rriaay, 41. 66th Year, No. 6 "IT Salem, Oregon, Thursday, January 7, 1954 Study of State Motor Vehicle Tax Laws Begins Stanford Research Group Hired by High way Interim Members By MMES D. OLSON A study of revenue Imi, if y, ' Reds Reject ReleaseofPOW On January 23 Demand They Be Kept Until Peace Confer ence Decides Fate PANMUNJOM. Korea (LP) The riii.l.l hl.h i. rp i oiouir vrnicie m laws, nay natly rejected United Na . , ana an effort to determine if any '. Improvements can be made in the motor tax laws was launched .. v Thursday by the Stanford Re . search Institute, working under , contract with the legislative ; highway interim committee. Rep. fid Geary, chairman of the v. committee introduced Morgan , Sibbett, of the institute, .who ar i rived in Salem late Wednesday to ', begin the study. . ; No Instructions Members of the committee ' .. made it plain at the meeting that . i they did not wish to give the in ; stitute representatives any in- . ' structions but rather wanted the ' report to be made following the ' study, to be unbiased without ' mu lfnnliratinn lHaf thm linrL ,-ings were influenced by the com unittee members. (Continued on Pare S, Column S) J i Jobless List in Oregon Mounts Nearly 18,000 were added to Oregon's unemployed during De cember, bringing the number of active job seekers to 63,395. At latest report, Oregon led the na tion in percentage of unem ployed. The Unemployment Compensa tion Commission said claims for compensation continued to rise, passing the 40.000-mark in the final week of 19S3. .Further seasonal layoffs were anticipated by employment offi cials (kit weekly totals were not expected to reach the 64,556 post war peak in mid-February, 1950. With the rate of insured un employment increasing from less than three per cent to 12 per cent in the past three months, the number ot those seeking work lumped from 19,365 to 27,311 during October and to 45,882 at the end of November. Local offi ces of the commission reported only 521 specialized job openings remaining unfilled as the new year opened:' Seek Rescue of Trapped Miner HOUSE OPENS NEW TERM "-xr rrrj I ruo8JO 2 - in vital rm ram In Mate of Unii mi message tlons Insistence that tl.l anti-Red war prisoners be re leased Jan. ti. Peiping Radio broadcast a note signed by North Korean Prime Minister Kim 11 Sung and the Chinese military com mander in Korea, Gen. Peng Teh-huai, which demanded that all of the dsputed prison ers be kept under Indian cus tody until a final Korean peace conference decides their fate. The U. N. command firmly rejected any extension of the deadline, which was set by the Korean armistice agreement, and insisted the POWs be set free at one minute past mid night Jan. 23. India to Decide Because the two sides still were completely opposed, it now was up to the Neutral Na tions Repatriation Commission and India to decide when the prisoners should be released. Peiping Radio, which made the first announcement of the Communist note, aald it was delivered to Indian Lt. Gen. K. S. Thimayya at Panmun Jom. The U. N. note, reaffirming the Allied position that the prisoners should be released on schedule, was delivered to Thimayya last night. The Indian General had re quested both commands to give their views. (Continued on Pare 5, Column I' French Alerted For Assault SAIGON,' Indochina Ul The French braced themselves. Thurs day to meet an expected attack on Laos from the Vietminh divi sion which drove across Indochina to the Mekong River and the Thai land border jut before Christmas. The Frencn said they believed an assault in the Seno area, just south of the rebels' invasion route, was imminent. After almost two weeks of quiet in the area, numerous patrol clashes have been reported in the past 48 hours around Seno. Just north of the Laotian border, itMlliMurf 1nrlr,rhina Fl-anrh RAVF.NSDALF., Wash ( A ;,. anj bombers kept up their coal mine rescue crew worked roun.the-clock attacks on roads desperately throughout the night i and rebe, suppiy imes northeast and Thursday morning in a vain , of Di(n Bien phu attempt to reacn a miner whu was trapped deep underground by a cave-in near here in King County. A second victim of the accident, 400 to 500 feet underground, was freed Wednesday alter being trapped for nearly four hours. There was laint hope for finding Harry English, 39. alive in the chute where he vanished under SEATTLE ( The Coast Guard coal, rock and broken timbers, j sent i(j Thursday for the 135-foot His tauier-in-iaw, nmum ""("., sea Lion ot San rrancisco, Sr.. commented grimly alter wnjcn fi jt was drifting in emerging from 17 desperate hours neayy JeaJ off tn, Oregon coast unaersruuuu. ; aiI(,r losing a oarge II was lowing. The only thing we can do is W. c- i ...nnrted ihe line to hope to God that we have not (o the unmannc( 275-foot barge. C5 Gist of Major Policies Listed By Eisenhower US and Russia Will Talk on Atomic Pool House Probes Junkets'.Cosf Speaker Joseph Martin (R., Mass.) presides from the upper rostrum as the 83rd Congress reconvened in the House of Repre sentatives, Washington, D.C., Jan. 6. Only routine formalities were scheduled. (AP Wirephoto) Coast Guard Aid Sent Sea Lion run out of miracles." West in Meet With Russians which was loaded with high octane gasoline, parted about 4 a.m. The tug. with 11 men aboard, later radioed its engines were inopera live. WASHINGTON u. A sec ond House investigation was underway today into reports junketing congressmen spent rinse tn MOO 000 in "blank check" foreign currency. In ad-1 Hlllnn tn s,.l tttniim nrnvlHurl by this government, on over seas trips last summer and fall. The legislators are not re quired under law to make any accounting of how they spent this so-called "counterpart" money, local currency put up by foreign governments to match dollar aid from this country. Chairman Karl M. LeComte (R., Ia.) said his House Admin istration Committee has asked the chairmen of five other house groups lor a report on counterpart money spent by their globe trotting members. He promised to make public whatever information be geta. Criirr Ren. . Clare E. Hoff man (R. Mich.), chairman of the House Committee on uov rrnment Oocrations, launched a similar Inquiry, Hoffman was understood today to have prepared a detailed new quei- iinnnalra for the State Depart ment on what it knows about the spending s; co-i.-i-ari funds. Coast Highway Closed by Slide Rain of the last few days caused a slide three miles north nf Rnrkawav and closed the Oregon State 1 c.ih indav. Motorists were ad vised a detour lour miies long; was available on the Miami river county road. i Chains were required f or j cars at East Diamond lake, where three inches of new snow was being plowed. Chains were advised at Bly with an inch of I new snow. 1 Spots of ice were reporieo at Government Camp, Timber line, Warm Springs junction. Bend, Brothers, Baker and Seneca. Packed snow was wen sano- Corliss Lamont Cited, Contempt of Congress WASHINGTON Wi - The Senate investigations subcommittee Thurs day called for c . tempt of Con gress citations against Corliss La mont. wealthy New York writer: Abraham linger, a New York City lawyer, and Albert Shadowite of Nutley. N. J. Shadowitz is the man who re fused to answer questions of sub committee Chairman McCarthy R-Ws at a public hearing in New York Dec. 16 on grounds that Dr. Albert Einstein, the famed physi cist, and advised him not to. All three refused, in one way or another, to cooperate by answer ing questioons in recent investiga tions conducted by McCarthy. - McCarthy said the subcommittee also had voted at its closed door meeting to ask the Justice Depart ment to consider whether a fourth witness should be indicted for per jury on grounds the man had lied under oath in denying Communist party membership. He declined to name-that person. described only as an employe of the ueneral blectric plant at bene. nectady, N.Y., who had testified WASHINGTON I The State Department said Thursday the United States and Russia will start n..l,....u (alb mm 0.ul.- V i WASHINGTON (At Tonic by . ,i topic, here is the gist of major pre,umably in the course of the recommendations President Els-Int (tw days." rnnower made to Congress The . two countries agreed Thursday, Including many to be , Wednesday to begin conversations spelled out ia future messages: iirnea Mtin. , time, plaae and Strong Economy Measures will i agenda for full scaled negotiations include flexible credit and public j on the project outlined by Eisen debt policies; tax adjustments to! hower in his Dec. t address to the spur spending: loans and guaran-"United Nations, tees, expanded social security: re- Soviet Ambassador Georgl M. vised plans for agriculture and for- Zarubin will represent Russia and eign trade: advance planning for Secretary of State Dulles will speak public works. ; for the United States at the pre- TaxM Ther. wilt ho fnrih-r . liminary talks here. later a hm-rf ariv rm. ' State Department Press Officer vision should include liberalisation i Henry Suydam told his news con as to working children, medical I (erence Thursday: expenses and widows and widow. "The procedural conversations r tmih rienambin -h,iHrn. k, i between Secretary Dulles and Am business, a break on depreciation, bassador Zarubin will be arranged research and retained . earnings, at their mutual convenience, pre But scheduled, excise and corpora- j sumably lit the course of the next tion income tax cuts should not days." go into effect. . . , Budget It will, move closer to $5 Billion Cut In Government Cost Proposed balance, but a debt limit rise is needed. Flexible Farm Supports Agriculture Supports should be come flexible, but without sudden price drops, to stimulate consum ption. Existing surpluses should be "insulated" from trade channels through such programs as relief and emergency stockpiles. Defense Emphasis is on nuclear weapons and air power. Some in. WASHINGTON P President Eisenhower promised Thursday to proposed early tax revisions ben efiting some individuals and cor porations and aaid the federal budget Is being-trimmed as a step ' toward snore new cuts In the fut ure. . The chief executive, in his State of the Union message, forecast a federal budget trimmed to K6.600,, Ooo.ood or less for the year starting . July 1. t . Eisenhower addressed a joint ses, sion of the Senate and House in the House Chamber. His address was broadcast ty all major radio and TV networks. , , Eisenhower delivered his ad dress in a firm strong voice, read ing from a text In a Urge loose leaf notebook. it took him 94 minutes. ' Altogether, Eisenhower was In terrupted 45 times by applause. There was a standing ovation as he concluded, ' But he said It will still be neces sary to (1) raise the 375-binion. dollar ceiling on the federal debt and (2) cancel tax cuts due April 1 on corporation incomes and on 1 such things as tobacco, gasoline. LONDON (Jn Europe shivered automobiles and liquor. some more from winter ice and I Eisenhower'! far-ranalna home snow Thursday. Northern Italians, front program designed, he the continent s hardest hit. Strug-1 said, to start the nation "on the gled to dig out trom unaer me forward road to a better and white Manuel oeiora new storms stronger Amerta" contained a Europe Digging Out From Snow Hallinan Starts Prison Term ' SAN FRANCISCO UP) A smiling: affable Vincent Halli nan surrendered loathe.. U. S, marshal today to start serving an 18-month prison term tor income tax evasion. , The millionaire attorney and 19S2 left-wing presidential candidate told newsmen he would return upon completion of his prison sentence to begin active polititeal work for the "liberal forces " Hallinan, the Independent Progressive party standard bearer in the last presidential election, predicted eventual victory for the "liberals." Hallinan was found guilty of evading S36,73 in income taxes and was fined 50,000 in Coast highway, the I you .-.- - Highway department . : w. r at a recent closed door hearing at I oris should be shared with friends, Albany, N.Y. . 1 (Continued on Paa . Column 41 McCarthy has denounced as lie" reports that he has agreed. after' urging from administration -4flclals. tn switch hil emphasis ' w ",",t! to fields other than Investigation af communism.-,.: , $2,603,800 in Veterans' Loans Th Slate Veterans department made 399 farm and home loans to veterans in December, totaling 260.3.800. It was the biggest month in the j eijht-year history ot the program. During 1953. 1.831 veterans bor- cd at Siskiyou. Green Springs ; rowed io.3m.u. aiso new .cv mmintain. each of which re- ord. The previous record was 7.- yoo.uuv in isuv. Godfry Quits IV Sponsor NEW YORK (UP) Arth-r Godfrey ant his seven-year spon sor, Chesterfield cigarettes, reached a parting of the ways to day, but a spokesman for the Co lumbia Broadcasting company said it was amicable on .both sides. The Liggett & Myers Tobacco company, makers of Chester fields, announced it was with drawing sponsorship because "we are unable to arrive at a satisfac tory agreement" with CBS, God frey's employer. Godfrey was unavaname ior comment, but the CBS spokes man said that only money was involved. formation on use of atomic wean- hit. 1 proposed new move against Com- .uosena m imiu vuibkcb m mc munisia: ainpouiK American . Italian Alps were Isolated after I iienihio from anybody convicted ot the worst snowstorm m u years, 1 eonsDirinc hereafter to advocate Huge drifts, closed many miles I the overthrow of the government. ol highways. - A textile mill col- He did not say how it would be I lapsed ' Wednesday nignt ' unaer i aora, lions of snow near Tordenone but! (Cetlsiae4 Page a,'Celun It . its Q employes naa m lor we i day... .v .' Hr - a Italy's flood damage tn tne rot River delta could not be eati-l mbI r.Ni,l iritai if !r-h fnrtn. Ask to Share Atomic WASHINGTON im - President Elsenhower asked ConaTess Thurs day for authority to mar certain i atomic secrets on the tactical use of A-weapons with America's al lies to strengthen the defense of the free world. f At the same time he challenged Russia which he said Is now on the diplomatic defensive to,, take a constructive role in tortncon.ing international atomic talks and thus help turn the world away from 'the fatal road toward atomic war. , The Soviet and American gov ernments announced only Wednes day night an agreement to hold discussions here on the time, place and procedures for international talks on atomic problems. In his State of the Union mes sage, Eisenhower pledged to con tinue the struggle against Bed ag uated. Hawaii Ruled by Bridaes, Claim WASHINGTON (U.B Former Hawaiian Gov. Ingram Stain back said today that Hawaii's economy Is controlled by Har ry Bridges' longshoremen un ion which In turn Is run by men who "absolutely follow the ! communist line. Stninback. once an ardent ad gression in the Far East and called vocote of stateheod for the Pa lor greater unity in Free Europe, He said Godtrey's firing iast!"n -- 'i year of singer Julius LaRosa had : ,l0n- no part in the cancellation, nnr did Godfrey's penchant for kid ding his sponsors enter into the decision. Ki,i ,i w in nn immM aiei norieo iwu iiiliico u, . , --- , . - .. :,u ,u Th iwrngp man since inc wiin mice, r . . . .L Wile's Letter to Batchelor Listed TOKYO I Cpl. Claude Batch- ; elor Thursday handed U. S. author ities lour letters wriuen oy nis 1 . si Mr 111 emf IIS UaT3S. f A Coast Guard tug. the Yocona, ,che, at Meach.m and a, Aus-; Kram .tarteo 'li&Zt !S T'l ' U7 m Pnri : '"Wk. w, ni.mond lake, " ' W ,le aF S,aM W,,n " -m"m" ' lied Control 'Aneerc.: Wash. The Sea Lion's lc!hi;hw.v n. closed by snow. !"? ? m .icsed to four of '" t Berl. Picking Site for Big 4 Conference- BERLIN (U.B- Berlin's Ameri can. Soviet. British and French commandants met today at the British headquarters in Olympic Stadium to pick a site for the Jan. 23 Big Four foreign minis ter's conference. The Western delegations went into the closely guarded stadium advocate holding in the former Al- Authority Building lands were wrecked and fiahernien f J " T Hm-aH laro Stv. amBll MT R W W ' 1- villages were Inundated'. fSveryoneJ liC7 3 rlvMnjar' In serious danger had been evac- ..,.,, ,- - Inlonal Democrats generally greeted t -resiueni .cisannower s atate or the Union message Thursday with reserve. Republican reaction ranged all the way from full en dorsement to outright opposition on ' specific points. . The sprinkling of direct GOP dis- agreement applied to such matters as the proposed cancellation of scheduled cuts in corporation in come and excise taxes, and tne President's call for nigher postal rales. And Republican applause for Ei- , senhower's backing of flexible farm price supports was noticeably scarce in the House Agriculture Committee. First reaction to his plan for sharing some atomic lnfurinaliun with Allies was favorable. On the broad scope of the mes sage. Rep. Ilallcck of Indiana, the , House Republican leader, said it "outlined a program geared to the hopes and aspirations of the Amer ican people for a prosperity based . on peace instead of war." Rep. Rayburn ot . Texas, the j House Democratic leader, pretty well summed up tor the minority. -He aaid the message made "few, if any. specific recommendations on major subjects" and added: . "We slill will have lo wait to see what President Eisenhower's pro gram is." Weather Details lUtl ?!,,. M Ss-. 4. Tll .Ill fr nvnlh. prtlIIBllM. 1I.M: rtrtIU!l: Bit. I.U. - Mil. IS. IS. VI fttt. iBtpert St I', a vrDl TV im U.'jictrn flplp0ale . i.k ih. n,,..,, ai innith cation was given as 70 miles south Thursday but failed to reach o! the mouth of the Columbia agreement on the exact place in River. Berlin for a forthcoming Big Four foreign ministers conference. They will meet again Saturday at Soviet headquarters in the East lector of Berlin. A communique issued after six hours of meetings said only that there was an "ex change of views." A short time before they con vened, a Russian - licensed East Orman newspaper splashed front case article claiming that stiiMt West Berlin was not safe enough for the conference ot for eign ministers Jan. 2S. The Western Allies have pro posed the 500-room former Allied control building in tne American sector for the conference i.nma. ttnri ti onn inr tarm. rnev were I xhe department has loaned 4.9,- Batchclor's buddies who are still TERRORISTS KILLED j M4.140 tii U.137 veterans, but more ' in the pro-Commu-'ist prison camp NAIROBI. Kenva A fierce, than 22 millions has aireaoy oeen:m uie norean uemmidrucu ciflc territory, testified before the Senate Interior Committee. He was called at the insist ence of Son. George A. Smoth ers (D., Fla l who opposes a bill lo make Hawaii a state. The former governor, now . an associate justice of Ilwa- it. c - rn,tr trlftatenned 11 OUpivnre ,wu. , - ri questions as to his present vlrwi nn statehood. Asked whether the ilwu "controls the economic life of the islands." Stalnback said emphatically: "There's no question about It." He added that although not many members of the union are communist party members i "the men who control It abso ! lutcly follow the communist ' line." battle rased Thursday between repaid in principal and interest. Kenya's security forces and more than 100 members of the Mau Maui secret anti-white terrorist organii-i minn Twelve terrorists were re- norted killed and a number wounded. UlaimApplegate Seized By Chinese Pirates Boston U. Fires Prof. Halperin Surplus Dried Milk Shipped to Japan PORTLAND JB The Agri BOSTON - Boston I'nivrrsity has fired Prol. Maurice Halperin. who was named last November in an FBI report as a link in a Com niunist espionage ring in high V. S. government circles. The university announcement alH WaHnacHav that Haloehn W8S PANMUNJOM, Korea, UP , as they sailed off Hong Kong in dismiMed "for the good of Boston j Communist correspondents Allan Applegate's pleasure boat. University" alter he failed several I Winnington and Wilfred Burchett winnington and Burchett said times to appear before a school today denied that Chinese Reds there no mti ot review board assigned to consider captured American newsmen ,nrte miam men ln Chinese his 'Titness to teach.' Richard Applegate and Don Dix- linl.nd new,MDers despite Reached by telephone in Mexico nn off Hona Kong last March. M.i..n t,nni,rmA Winnineton. a reporter for the : ,k h. i,,i-h .ith.r ber, Halperin told I Batchelor asked Indian guarus iu be repatriated on .ew lear s He was flown to Tokyo three days later and reunited with his ile Kyoto Araki. Kyoko said one of the four let ters was lo Cpl. Richard E. Tenne son She said she promised Tenne son s mother, Mrs. Portia Howe ol Aldcn. Minn., to write Tenneson. Mrs Howe flew to Tokyo last month in a vain effort to see her son. New Look Given to Nation Defense by Ike Car Plunges Into Willamette OREGON CITY Hi A Crown ' Zellerbach solely supervisor from Olvmpia died Thursday shortly alter being rescued from a river bank led-:e following a 75-foot Oregon's Traffic Toll 370 in '53 Oregon's 1953 traffic death toll sjinds at 370, a reduction of v WASHINGTON UP President Eisenhower gave congress Thurs div the new look at national de- ; (ense a "great and growing number'" of atomic weapons, ex panding air fleets, diminishing : manpower. I His Slate of the Union mesage i specifically mentioned a one bil lion dollar boost in spending for 1 continental defense against en- ' cmy sir attack. Here are considerations Eiserhower said went into oram "iven the unanimous recom mendation ol tne Joint vnieis oi Stall and his own approval after . nlunse in his car. Coiurcss to provide tne necucu Th(, vj(.(in, KrM, Ponljll K was authority." . . . . , rescued by boat and brought across j. "New relationships oeiwcen hospital here. Res- men and materials. . . iim economics In the use of men. . . the air power of our Navy and Air Force is receiving heavy em phasis." , . Here Elsenhower obviously had in mind the proposed gradual re duction of troop strength, which Is expected to bring the Army oown frnm a oresent manpower level 1. riiv ah h went late in Novem- trom tne idz toiai, awrruri assessment or u reports P"y-h5J"e,.u" i,arv policy making National Se- r..S'er.hr: P';-Di"n 'n,"'"Jlniibe tried on trumped up espion- t, 4kr UiA Kaaaan .Url ithr OCT, nfllUCnn HU ' 11. " mmiA in. T " ' . . ' . .. UW-iM- 1 nuituaj . t-JliiI vwww.a. uononn uu.tj .. i- . rntnn or helping ana wouia . . vr. ..M th rjn uaa micht . ...... f..ii mrommt that Rod on University hai wc-be increased. Perms injured last . -rowin2 number o! . . k. .., Kk, Am ihi vi-ar are - mmhwl tn tha oi nvnrni. " - J manipulated by unscrupulous poli ticians. It has done a disservice to its own good name and to the cause of academic freedom." L ;.mured hv the Comunittf werei Maipenn saiu ra , stncsion. i am. i ne o. . ...... , ------- . d gnauccessfully to learn the "because my wiie nas oeen in oe was purchased ai li cenu '"" -" "-- j u k,,. i tha ihrr men iy ail ina iirai . miiiiiuiiu, iw .... v -. , ... day that the United btates snip- j - Kramer might ped W.0M 000 pound, of surplu. fa wlled by .pir,le,. dr. TlranTi But both Winnington and Bur- fice said 2000 tons of the con men, represenuiuve " Americans were assigned to sienment was shipped from Long- newspaper I Humamte, said re- myer )h. p,nmUnjom truce Ulks . ... . , nn,. thai 1 h three men were . . view, vtasn . ana ine rri ir..m i - ---- '"-.,. , The U.S. SUte Department nas age charges. Both Red newsmen knew Ap plegate and Dixon when the pound to support dairy prices r . ...j i (M n l that the mer. naa oeen issen JrJA " limn custody by a Red gunboat March 21. ever since they dissppeared last three men 1 cause of Ihe pressures." His wife. Edith, is on leave of absence from the Brookline school system. r . . , nnrlpar weauons ana ine inuai c- inc jaea in me iwjj tutai. ' , , u - January was the worst month in fectiv. means of "m " 153. with a traffic death rate of against an aggressor d they are It per 100 million miles traveled, needed to Preserve August was best with a rate of 4 Our defense will bt ' Newbry said 75.000 drivers were ; under appropnat, security sa e- S Is-r'lnMing ccAain- knWMge n, the tactic, sion.agsin,, . driving while drunk. I use of our nuclear weapon. 1 urge lie.. cuers said when they reached him hi. pulse was strong. But he was dead on arrival at the hospital. There were no witnesses lo the mishap in which the car plunged over the cliff at the rear of Ihe west Unn Inn, but from tire tracks this was learned: Pontin's car went over a iw-incn ig a parking area, down a bank, crossed crashed through the walk's wooden guardrail Ihen drop pec to the river. Ponlin was seen immediately .n....,J K.tl hramhlpl and fhO wings during the year, to 127 b(u(f mad. rMCU. ,rorn tht wings two years hence and later r , practicable route. to an eventual goal of 137 wings. "vw lm I'reaent strength of the Air Force !, m w'ngs of which about 105 NKWSREKL MAN FIRED are at full ellectiveness. wni1 : Aklra Shiraishl. a 1 "Our armed force, must re- bfcOU; m;n. gain maximum m..,iny o. m. . Kmrtn curt which from Dre,em m,npo , ,' timber edging a of about 1 "i million to a force of iam recom- l'lM 00 b " "","n" - a board walk, eras! 1(IM The build up ln air power is ex pected to Include expanding the r. ... ..t iia i.s Air rorce to a svrenui ... Our strategic centrally 'pf.CcedrTnrdVCTre.dU; .Thursday for T X stand trial In a Korean court. I! s: i ! V i 1 "I Ptua - I