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About Medford mail tribune. (Medford, Or.) 1909-1989 | View Entire Issue (April 6, 1950)
mmm a ' fr' 3 I jvuiyj o)iyj U.S., Argentina ork To Economic Tiffs Washington, Apr. 6 (U.P.) The United Slates and Argen tina worked swiftly today to end their long-standing economic dis putes. The prospects: 1. Argentina will give better treatment to American business interests. 2. The United States will grant Argentina financial help. The arrangements were being worked out by Ramon Cereijo, Argentine secretary of the treas ury now on a mission to Wash ington. Restrictions Relaxed He already has announced re laxation of restrictions that pre vented some American firms Laffimore Denies Communistic Ties Before Committee Washington, Apr. 6 (U.R) Owen Lattimore swore under oath today that he never has been a Russian spy or a com munist and challenged his ac cuser Sen. Joseph R. McCarthy (R., Wis.) to repeat his charges without benefit of congressional immunity or resign. McCarthy said he will not re peat without congressional im munity his charges unless the government surrenders all its loyality files on Lattimore. The president and the FBI have re fused to do so as a matter of Srinciple. eversal of Position This was a reversal of Mc Carthy's previously declared po sition. On Feb. 20 he told the senate that he would resign if the day ever came when he was afraid to repeat outside the sen ate any charges that he made in the chamber. Testifying before a senate for eign relations committee inves tigating McCarthy's charges that the state department is infested with communists, Lattimore sweepingly denied as "base and contemptible lies" McCarthy's accusations against him. Then, in a firm voice barbed with sarcasm and ridicule, the short, stocky Johns Hopkins uni versity professor tore into Mc Carthy's charges one by one and denied each categorically. "Senator Will Fall" With McCarthy sitting oppo site him in the jam-packed sen ate caucus room, Lattimore said "I shall show that his charges against me are so empty and baseless that the senator will fall, and fall flat on his face." As McCarthy sat scowling and silent. Lattimore branded him as a "willing tool" of "the so-called China lobby," and said the sen ator now wants to "weasel" on his charges because of a threat of libel action. Michaels Lose Custody Of Child Actress Hollywood. Apr. 6 (U.R) Mr. and Mrs- Otto Michael lost cus tody today of their foster daugh ter. Lora Lee Michael, because a judge decided the nine-year- old actress needed a new envir onment to make her a normal child. After a brief hearing in mrortilo hall Qnnprinr .TllHgp A A. Scott made Lora Lee a ward of the court. He said she would be placed with a well-adjusted familv to give her a normal home life. Her foster mother. Mrs. Lor raine Michael, 55, was acquitted last month on charges she mis treated and kept the girl on a sub-standard diet to keep her tiny for SlOO-a-day movie roles. judge Scott emphasized his action was not intended as criti cism of the Michaels, who adopt ed Lora Lee in Texas five years ago. He said, however, he be lieved she needed a new environ ment to repair damage done by "the glamour world of the movies." At Least 19 Persons Drown As Portugal Boat Capsizes Oporto, Portugal, Apr. 6 (U.R! Authorities reported today that at least 19 persons drowned and another 40 to 60 arc missing in the sinking of a heavily-loaded ferrvboat in the Douro river. The boat, The Foz Do Sousa. capsized and sank last night while carrying passengers from downtown Oporlo to the suburb f Crestuma. Many of those ihoiird wore women shoppers. Fire, police and naval launches rescued 15 survivors from the water and picked up 19 bodies. Another five survivors swam ashore. Estimates of the number aboard ranged from 80 to 130. Authorities believed that many others swam ashore but then boarded small craft to help in rescue work. Boats combed the Dissolve from taking profits out of Ar gentina. State department of ficials say he also has promised privately that Argentina will al low continued operation of the Buenos Aires newspapers La Prensa and La Nacion. Both papers oppose Argentine President Juan Peron. Like all Argentine papers, they have to get newsprint allocations through the Buenos Aires government. State department officials said Cereijo has promised that the papers will get reasonable amounts of newsprint. Steps Encouraging Argentina's softened attitude toward American business in terests prompted Secretary of State Dean Acheson to say yes terday that steps being taken by both sides are encouraging and that a natural outcome might be that loans would result. Authoritative quarters report ed that the loans would be in tended primarily to help Argen tina get United States farm ma chinery to step up agricultural production. Any loan probably would not be to the Argentine government but would be made through round-about channels. The idea being discussed is for the United States Export-Import bank, along with private Amer ican banks, to lend dollars to Argentine commercial firms which now owe money in the United States. Thirty per cent of Argentina's dollar earnings now go to pay off these debts. If they were refinanced, how ever, more of Argentina's cur rent earnings could be used to buy American farm machinery. No Political Objections The state department has as sured the Export-Import bank that there are no political ob jections to loans to Argentina. Argentina has not applied form ally for an Export-Import loan, and would have to go through the usual routine of proving that the loan would be a sound busi ness risk. An economic agreement would go far toward smoothing American-Argentine political relations, diplomats here believe." Many Americans have been alarmed at what they believed to be the totalitarian trends in tne .peron regime. Compromise Housing Bill Goes to Senate Washington, Apr. 6 (U.R) The nouse today unanimously approved and sent to the senate the compromise housing bill. Senate approval of the measure is expected next week- Ky.), got house approval of the measure snoruy ot'iuie m house started a 10-day Easter recess. The compromise would: 1. Provide $250 million for purchase of home mortgages by the Federal National Mortage association. 2. Authorize government in e,,ftnna nt inam tn hnusinir co operatives. The ceiling for any one project wouia oe iiuniuu. 3. Permit the Reconstruction r-;. rnrn. In lid SI 2 500.000 in left-over funds to guarantee private loans on preiaui naicu UA..-ne a i,,thnT-i iho cnvpmmelll to hand over to local communi ties 43,000 war-built units ior 5. Put up $300 million for long-range loans at 2.55 per cent maximum interest to enucouuno. institutions for student and ...... .1... hniieinO 6. Provide $2,250,000,000 in additional mortgage insurance under the federal program iui private home building. CASE CONTINUED The civil court case of George a cL...inM n..,;rtct .lamps C and t. OUIIUH-i ofi"' - Grace Brodie was continued for 30 davs in county circuit court yesterday due to the ill health t- Tamrlio The rase in- volves the alleged misrepresen tation ot tne volume oi ousm of the Southern Oregon Bearing Sales company which Schulcr had contracted to buy from the Brodies. swiftly-flowing river throughout the night in scarcn ot survivors. Automobiles lined the banks and threw their headlights on the water to help. The sunken vessel was raised and towed into port this morn ing but no bodies were found aboard. Doors Rippod Off "The doors of the passengers' cabin were ripped off and it is presumed the bodies were pulled downstream bv the strong cur rent," an Oporto police spokes man said. Capt. Francisco Santos and his three-man crew were among those rescued. Survivors were taken to hospitals but all except three were released after minor treatment. Medford 45th Year. 22 Pages Truck Driver Dies; Wife, Son Injured As Train Hits Cab Accident Occurs Near Alley Lumber Company Amos Franklin Wyatt, Pros pect, was killed at about 12:12 p. m. today when a northbound Southern Pacific passenger train plowed into the lumber truck he was driving. He was dead when a Conger-Morris ambulance ar rived at the scene near the Al ley Lumber company south of Medford. With Wyatt at the time of the accident was his wife, Osie, and his small son. Frank Jr. Mrs. Wyatt was still unconscious ear ly this afternoon. Community hospital attend ants said they were unable to learn any details of the accident from the boy. They believed he was four or five years old. His injuries did not appear to be se rious, they said, but x-rays were being taken. Mrs. Wyatt's con dition was called "critical." A report from the county coro ner said the accident occurred as the truck crossed the tracks into the Alley mill in the face of train No. 328 that arrives in Medford about 12:15 p. m. The cab of the truck was demolished, the report said, and was torn completely off the bed. Ambu lance attendants described it as "an awful mess." Engineer W. B. Kendall of Medford said his train was traveling between 38 and 42 miles per hour at the time of the collision. Vets' Preference Changes Opposed By Local Demos The executive committee of the Jackson County Democratic Central committee has gone on record opposing the recommen dations of the Hoover Commis sion reports regarding changes in the civil service rating board's system. "The veterans' preference act of 1944 awards an advantage to veterans seeking government employment of five points to the veteran with 'an additional five points for the disabled veteran," the committee's resolution said. "The adoption of the proposed change in the rating would elim inate the point preference of veterans, since there is not men tion of guaranteed placement in the proposed category system," it continued. "The proposed change in civil service administration also pro vides for decentralization of the various government agencies at an additional annual cost of ap proximately $40 million: we see neither economy or improved efficiency in this movement . , ." the resolution said. It continued that the execu tive committee places itself on record as protesting any change "except such change as would improve the status of the vet erans," and that government economy drives "should not be gin with reduction of benefits duly earned and awarded to the nation's wartime defenders." La Grande Pair Held For Extradition Vancouver, Wash., Apr. 6 (U.R) City police reported today Joseph and Alta Barbara had waived extradition and would be transferred to La Grande, Ore., to face embezzlement charges in connection with the Disabled Veterans' organization. - Police did not know what dis position would be made of the Barbaras' 12-year-old daughter. The couple was arrested here Tuesday night and the daughter was placed in a private home. The Barbaras were to leave here today for La Grande. Bail has been set at $1,000 each. Suspended Sentence Given in Robbery Hoax Sgt. Alden A. Marrs of the United States air force today pleaded guilty on a district attor ney's information charging him with falsely swearing to an affi davit. Circuit Judge H. K. Han na imposed a three-year sus pended sentence. Marrs was accused of report ing a hold-up that never occurred and not admitting it was a hoax until Tuesday night after state police and deputy sheriffs had scoured the county in an effort to find a "sailor" who. Marrs had told them, took $75 from him at the point of a gun. ORE MEDFORD, OREGON, KMLLEi IN CROSSING W1DK " Mill"- i (Arm Telephnto) BRIDGES FOUND GUILTY-Longshore Union Chief Harry Bridges is kissed by his wife after a Federal Court Jury In San Francisco found him guilty of perjury and conspiracy for swearing he was not and never had been a Communist. The Jury deliberated 31 hours. Vincent Hallinan, attorney for Bridges, announced the verdict would be appealed. J. R. Robertson and Henry Schmidt, longshore offi cials and co-defendants In the trial, were found guilty of both a con spiracy count and a charge of aiding and abetting Bridges In the commission of perjury. 4 Wards 'Employees Charged With Theft After undercover investiga tions that lasted more than a week, Medford police this morn ing placed four trusted . em ployees of the Medford Mont gomery Ward store under arrest and will charge , three of them with grand larceny and one with petty larceny. Police Chief Clatous McCredie and Sgt. Charles Champlin were in the store at 8:30 a.m. today as the employees came to work and the arrests were made after all four had showed up. Arraignment Set Charged with grand larceny were llfcy E. Mays, 37,. head of the tire department at the Med ford branch; Jack A. Rinn, 40, clerk in the auto accessories de partment, and Joseph P. Zash, 25, an employee in the tire de partment. James R. Daniels, 35, head of the auto accessories de partment, was charged with petty larceny. Sergeant Champ lin said the four were to be ar raigned on the charges in county Justice court at 1:30 p.m. today. Though shortages at the store had turned up in year-end inven tories, police investigation was Red Cross Drive Total Now $19,617 Total contributions of $19. 617.99, out of a goal of $25,000 were reported to the board of directors of the Jackson county chapter of the American Red Cross at it' noon luncheon meet ing today. Though the 1950 drive for funds was over officially the end of March, a number of divisions have not yet reported their con tributions and chapter officials are hopeful that the more than $5,000 gap between donations and the final goal will be closed when all reports are in. Only seven of the county's 17 Granges have reported so far on the suc cess of their campaigns. To Spied Tempo County Drive Chairman Frank Van Dyke and Medford Drive Chairman Col. Ben Stafford at tended the meeting, and will at tempt to speed the tempo of re ports so that the chapter's work can be maintained at its present level. Executive Secretary Mrs. Fred Rankin emphasized that the need for funds is greater than in the past. Reporting on the work of her home service department, Mrs. Rankin said her office has handled a caseload of veterans' claims that was twice is large last month as in March, 1949. Other phases' of the chapter's work show similar Increases and the caseloads for all services are as large a during th war yean. II THURSDAY, APRIL 6, climaxed a few days ago when one of the men was seen carry ing merchandise from the store and putting it in his car. Local police worked with a special investigator furnished by Montgomery Ward in gathering evidence against the four em ployees. Deputy District Attorney Paul Haviland said this morning that Mays, in a signed statement, has admitted embezzlement of funds from the store in addition to the theft of merchandise. Extent of the embezzlement will not be known until auditors have com- Elcted a check of the firm's ooks, he said. All four men are being held In county jail. MedfordORCUnil Given 'A' Status Mcdford's 382nd quartermas ter battalion, organized reserve corps, has been upgraded to "A" status by the department of the army, It was reported today by Maj. Walter C. Fingerhut, ORC instructor here. The unit is un der the command of Lt. Col. William H. Prentice. The new status means that the battalion will train and func tion as a full-strength unit, as suring personnel, including 40 officers and men, retirement credits, summer camp and four full days pay each month. Three Years Old The battalion was formed just three years ago with eight offi cers and no equipment. Grad ually standards of training and organization improved. Major Fingerhut reported, until the "A" status was awarded. Only 20 other units In the sixth army area, which includes Washington, Oregon, California, Idaho, Nevada, Utah, Arizona, and Montana, have been given this recognition out of a total of l.flzn unit'. M-Sgt. Thomas H. Ness, bat talion sergeant major, said that there remain a few openings in the unit. Two Survive Plane Crash in Washington Leavenworth, Wash., Apr. 6 (U.R) A singlc-cngined Acronca plane hit a downdraft, dropped 800 feet and crashed In the Cas cade mountains today but a quick-thinking pilot saved him self and passenger from injury. Pilot George Llppincott, 30, Wenatchce, and Kenneth Bark er, 25, both based at the Oau Harbor, Wash., navy base, walk ed 300 yards through waist-deep snow from the crash scene to the Stevens Pass highway one-half west of the summit. A state patrol car picked the pair up and brought them her. tlBUNE 1950 NO. 13 President Offers Plan To Increase Unemployment Pay Key West, Fla., Apr. 6 (U.R) President Truman sent to con gress today a five-point pro gram for increasing unemploy ment compensation benefits ap proximately 20 per cent and ex tending coverage to an addition al 6 million persons. lhe message was flown to Washington on a plane arriving there shortly after 1 p.m. (EST) and will be rushed to the house which is scheduled to start its Easter recess during the after noon. The senate is in recess. Message Expansion The president acted at this time because most of the state Dulles Accepts Post of Foreign Policy Adviser New York, Apr. 6 (U.R) John Foster Dulles accepted the post of foreign policy advisor to the secretary of state today with the statement that Soviet Russia has posed a threat to the United States "as grave as any we have ever faced in a shooting war." Dulles said he accepted after talks during the last 48 hours with President Truman and Sec retary of State Dean Acheson. His job did not Carry a title, he aonea, ana ne nad not investi gated the question of salary. Frustrating Confusion In a press conference at his home, Dulles made it plain he did not concur in the charges made by Sen. Joseph R. McCar thy (R., Wis.) and others against Acheson in regard to alleged communist infiltration of the state department. Dulles said the procedure of a senate sub-committee investigat ing McCarthy's charges "are In their totality helping" to create a "frustrating confusion." Grave Threat In a prepared statement he said: "The United Slates Is engaged in a cold war. The leaders of Soviet-communism are carrying out methodically, ruthlessly, and so far with much success, a long laid program for the encircle ment and strangulation of the United States. The threat is as grave as any we have ever faced in a shooting war. It is a time when all who love freedom, here and elsewhere, must find unity behind policies which rise above the ever-mounting level of the despotic danger. "President Truman has recent ly confirmed to me that bi-partisanship is the policy of the ad ministration and that partisan consideration will not. under anv circumstances. Influence his enn- riuct of the foreign policy of the United States." Snowfall Reported In Eastern Oregon By United Press Winter paid Oregon a return mid-April visit Thursday. The weatherman didn't pre dict it, but the combination of rain and falling temperatures simply was loo much for the old gent to pass up without getting In a last lick at snow-weary res idents. Kamela In the Blue moun tains between Pendleton and La Grande recorded five inches of snow early Thursday. LaGrande and Pendleton each had two Inches and Prinevllle had three Inches. Four Inches fell in the Ochoco national forest. Pendleton's snowfall was the first of any measurable amount there In April since 1899 when weather bureau records were started. Another Submarine Seen off California San Luis Obispo. Cal.. Apr. 8 Three men reported to the sheriff's office here today they saw a submarine surfaced one mile off the California coast. The sheriff's office said it notl tied the coast guard cutter Alert in nearby Morro Bay. The men, whose names were not known, were out In a small boat when they said they saw the submarine off Occano. a few miles south of here and about 50 miles north of Pt. Argucllo where submarine "not ours' was sighted by the coast guard Sunday WEATHER FORECAST: Clear to parUy cloudy tonight beromlnc rn rally cloudy Friday, Cooler tonight. Timp. HtKhtit Yfslrrday ............... 59 Lowest thli Morning 34 Prae. to 4:30 A.M. Today 07 legislatures meet next year and state action will be necessary to put the program in force when and if the federal amendments are adopted. The message actually was an expansion of the general recom mendations contained in Mr. Truman's January state of the union message and his later re port to the congress on the na tional economy. The president recommended a nationwide coverage standard applying to employers of one or more persons. At present, cov erage in many states is extended only to employers of eight or more persons. 50 Per Cent Of Pay Under the Truman plan, bene fits would average 50 per cent ot a worker s pay up to a maxi mum of $30 a week. Benefit payments in various states now range pctween $15 and $27 a week .with a national average of about $20. Mr. Truman s rec- comendation would boost the national average to $24. The president's basic five points were not disclosed pend ing actual transmission of the message to congress. White House aides explained that if the plan contained in the message had been In effect in 1949, compensation payments would have been $850 million higher than they were. State Action Necessary State action will be necessary to put the new program into ef fect if congress passed it be cause the federal government supplies only administrative funds for the unemployment compensation system. Compensa tion benefits are paid from pay roll taxes. The president In his message asked for a nationwide standard of 26 weeks for the maximum period in which benefits could be paid. This maximum period now varies from 12 to 28 weeks among the states. Optimism Sweeps Chrysler Negotiations Detroit, Mich., Apr 6 (U.R) Optimism swept Chrysler strike talks today as the company "con sidered" the CIO United Auto Workers' new proposal to end the 72-day walkout. Union and company spokes men met separately while Chrys les pondered the UAW proposal, but conciliators were expected to call both sides together some lime during the day. The UAW dropped lis demand for a definite cents-per-hour con tribution into a pension fund. It said it would accept a trust fund into which Chrysler would put enough money to pay $100 monthly pensions to the 89,000 striking production employees. Salem, Ore., Apr. 8 U.R) Salem's annual Blossom day, which drnws visitors from all parts of Oregon, will be held April 16, one week from Easter Sunday. Rio De Janeiro, Brazil, Apr fl (U.R) A train crowded with Easter holiday travelers plunged into the Tangua river northeast of Rio De Janeiro early today when a bridge collapsed. Striker Crushed by Truck During Picketing at Plant Kansas City, Mo., Apr. 8 (U.R) Emergency police maintained a midnight-to-dawn patrol today at the Rupert Die Casting plant, where a striking worker was crushed to death yesterday un der a truck loaded with ma terials. George Keath, 26, driver of the truck, said he did not see the victim, Lcland Martin, Indepen dence, Mo. To File Charges The sheriff's office said charg es would be filed against Keath. Martin lived only a few sec onds after he was struck. Three other pickets and three police officers also were hit but suffer ed nnly minor Injuries. Don Hayward, mrsldent of local 32 of the United Automo bile workers, CIO, said Martin had been "run down" by the truck, which was stopped about two blocks from the plant. Al Shuster. a sheriff's deputy riding In the trucks, said pickets State Officials Ordered info Hunt For Mystery Killer Penrfergasf Successor Waylaid in Clubroom Kansas City, Mo., Apr. 6 U.PJ Charles Blnaggio, democratle north end boss who unseated the old Pendergast machine In the city's river wards, and his top lieutenant, Hoodlum Charles Gargotta, were shot to death ear ly today In Binaggio's clubrooma on Truman road. Gov. Forrest Smith, elected with Binaggio support two years ago, immediately ordered all state agencies into the investiga tion and appealed to the FBI to assist. Both Binaggio, 43. and Gargotta, 51, were under federal grand jury subpoena. The FBI had "no comment." Ail-Out Inquiry The grand jury In its investi gation of underworld activitiea has been working with special assistant U. S. attorneys general, who also have been assisting similar inquiries at Miami and Los Angeles. Police unlimbered an all-out inquiry. Gamblers and known underworld characters were picked up and taken to head quarters. One man questioned was Homer Cooper, widely known dice dealer, whose 1949 Oldsmobile was found parked in tront of tne cluorooms. Keys which fit the car were found on the floor beside the body of Gargotta. Cooper was found at a tavern and questioned behind closed doors at headquar ters. Cooper told police he lent his car to Binaggio and Gargotta at p. m. yesterday and then worked until 4:15 a. m. at the Last Chance tavern, night club and gambling place. Believed Imported Police Chief Henry W. John son ordered all detectives to work in bringing In the hood lums. Johnson said, however, he believed the killers probably were Imported because "there is no one tough enough or brave enough here to pull this Job." Position of the bodies Indicat ed, though, that the shots came as a surprise to Binaggi, who had been seated at the jiaceptioiu. desk 1 nthe clubroom from which he has directed democratic par ty workers for the last four years. Some officers felt Binag gio and Gargotta knew the killer or killers. Bodyguard Found Nick Pcnna, Binaggio's body guard, was located late In the morning. He told police he last saw his boss at 8 p. m. yesterday in a tavern here. Gargotta was with him. That was about four hours before the men were slain. Each man had been shot four times. All but one of those eight shots took effect from six to 12- mch range. The exception was a shot which struck Gargotta In the hack of the neck, apparently as he broke for the front door. Markets Will Close During Good Friday By United Press The nation's maior commodity and security markets will close on Good Friday and some will extend the holiday over the bal ance of the week-end. The New York Stock and Curb Exchanges, the Midwest Stock Exchange and the Chicago Board of Trade will close Friday but reopen Saturday. The New York and New Orleans cotton exchanges will be closed both days. The Toronto, Montreal and London stock exchanges will close from Friday through Mon day, Inclusive, but the Winnipeg grain market will close only on Friday. The department of agriculture will Issue its usual livestock markets on Friday and Satur day. Tokyo, Apr. 6 (U.R) The Japanese government announced tnaay it is planning to loan aoout 16 million yen during the next two months for new ship con struction. had thrown bricks at the vehicle, apparently frightening Keath. "I didn't see the guy until I hit him," Keath said- "I didn't think it hurt him. The truck waa going about five miles an hour. I didn't stop because I waa afraid my life was in danger. The pickets crowded around the truck and some bricks were thrown." Police Spt. Henry Hoore said the truck "grazed" him and charged it was "gunned" near the plant's driveway where about 25 pickets were walking. Moore said that only Martin . fell as the truck lrove Into the mass of pickets and policemen. Police dispatched a dozen pa trol cars armed with riot runi and tear gas to the plant, but no further disturbances developed. An emergency squad was sent to the area on an overnight detail. The strike started Monday when the company fired 11 men for "thievery. The union main tained they were Innocent-