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About Medford mail tribune. (Medford, Or.) 1909-1989 | View Entire Issue (March 20, 1957)
Brewster Claims Insurance Broker Paid Him for Care Given Race Horses Washington (UP) "West Coast teamsters chief Frank W. Brewster testified today he re ceived about S5.000 a year from his union's insurance broker. But he swore it was not a commission. He said he .got the money for taking care of race horses jointly owned by him and the broker. Brewster told the Senate Rackets Committee he received stock valued at about $5,000 a year in- 1951-53 from George Newell, his partner in the Breel Stables. He said Newell receives S300.000 a year in brokerage fees for handling health and welfare insurance for the team sters. Brewster, chairman of the Western Conference of Team sters, said his payments from Newell had nothing to do with the fact that Newell gets the union's insurance business. Knight Contribution Brewster had testified earlier that the Teamsters Union con tributed money to the 1954 cam paign of California Gov. Good win J. Knight and later got the man of its choice appointed San Francisco port examiner. Some time after it gets through with Brewster, the committee plans to question Teamsters President Dave Beck about his personal finances. It gave Beck until noon (PST) today to de cide whether to turn over his financial records or chance hav ing them subpoenaed. Beck's heir apparent in the giant union. Teamsters Vice President James R. Hoffa, is facing trial at a date not yet set on a federal indictment accusing him of bribing a rackets investi gator to get secret committee documents. The indictment, returned Tues day, said Hoffa told the investi gator that "it looks like Beck's goose Is cooked if that is what they have on Beck." Cared for Horses Brewster, a suave, graying man of 59 who wears S180 tailor made suits, testified that on about half the mornings of 1953 1954 he arose at 4:30 a.m. to tend Breel Stable's steeds. "I was interested in seeing that the horses were properly cared for," he said. For this, he said, Newell agreed to pay him about S5.000 a year. He said he was paid in stock of the "Affiliated Fund, Inc.," at the rate of 1,000 shares a year. He said the stock varied in value from S5.17 to $5.36 a share. Exemption Deadline Hear for Veterans Salem UR Disabled war veterans and war widows were reminded today .that they have only until April 1 to apply for property tax exemptions as pro vided under state law. Utility Companies Protest Tax Increase Salem U.R; A bill which would increase, corooration ex cise tax rates for utilities from 4 I to 8 per cent was protested here iiast night by representatives of Oregon's largest utility' com panies. They said a reappraisal pro gram had not gone far enough to uistify doubling corporation ex cise tax rates at this session. A program started in the 1955 session looked eventually to a full 8 per cent rate being paid The State Department of Vet by utilities, with an offset of up erans rtiiairs saia trie exemp tion applies to veterans 40 per cent or more disabled and to un remarried widows of war vet erans. The exemption amounts " to $7,500 of the true cash value of the property. Application Is made to the county assessor. to 50 per cent for personal prop erty tax paid, the same as other Oregon corporations. The Legis lature of 1955 sought to combine a gradually applied corporation excise tax on utilities with county ratio adjustments stem ming from the state's property reappraisal program. Committee counsel Robert F. Kennedy said Newell in his 1951 income tax return deducted the payment to Brewster from in surance commissions rather than from operations of the stable. Brewster said Newell later changed this. Brewster said he still owes Newell between 540,000 and 542,000 for Newell's share of their Breel Stables. He said they each put up 512,500 to buy a string of race horses about 1950, but Newell later added more money to the partnership than he did. Memory It Faulty Brewster Insisted he could not remember how much money he put into Breel Stables, or lyw much he got out of it "Mr. Brewster, you astound me with your lack of knowledge, occupying the position you do," said Chairman John L. McClel lan (D-Ark.). Brewster spent much of the morning session explaining op eration of the union's health and welfare fund and its pension fund. He said employers contribute $10.40 a month to the health and welfare fund for each union member. This is turned over to the Occidental Insurance Co., for which Newell is an agent, and Illinois Valley Plans Holiday Celebrations Cave Junction Plans for two holiday celebrations were made here recently by members of local organizations. Veterans will sponsor a July 4 parade and all-day program. Members of the American Le gion, the Veterans of Foreign Wars and the World War I Bar racks have asked groups from all over southern Oregon to partic ipate. The Illinois Valley Labor Day Jubilee is planned fliis year as a joint venture by all local organ izations. Woodsmen and timber shows will be featured in the three-day event. the company guarantees the umpn will get back 86 cents of eaxh dollar. Two cents is a brok ege fee and 12 cents goes to the insurance company for costs and profit. Kennedy said the brokerage fee amounts to some $500,000 a year. Brewster said a quarter of that goes to City of Hope hos pital, leaving Newell's share at about $300,000. Believes He Wrote Letter Brewster was questioned to day about Charles Tait, who was appointed to the San Francisco port directorship by Knight. Brewster said he believes he "wrote a letter" to Knight on Tait s behalf. He said he also "may" have talked personally to the Republican governor about appointing Tait. A few moments earlier Brew ster had stated that he had "no discussions whatsoever" with Gov. Knight about appointments. Tait had figured in Tuesday's testimony as the recipient of a pair of binoculars bought by Brewster with ' a holiday gift certificate purchased by the Western Conference of Team sters at a Seattle men's shop. Today, Brewster asked per mission to correct that - testi mony. He said he bought the binoculars for Tait, as he had testified, but, on thinking it over, was not sure Tait had ever rer ceived them. Kennedy commented that the staff has contacted Tait who stated that he did, indeed, re ceive the binoculars but thought they were a "personal" gift from Brewster. Speaks of Favors The union official replied that he is sure he told Tait they were a gift from the union. Tait, Brew ster said, was "very close" to the Western Conference which had done some favors for him. Under questioning, Brewster said the Western Conference contributed $2,000 to Tait's 1954 campaign for the post of port commissioner in Seattle. He said Tait was elected but failed to serve when no appropriation was approved to finance the, post. DYKE'S FLOORCOVERING You asked for it-Here it is! REPEAT OF A SELL-OUT! SPRUNG Square Yard WSmyK -f A , ill 1 gou 00' -s"RAcLt" vs ,rose I ' w-- M K VsVAtl" ' eeae""" hooov Here Are Some Real Values in Roll Ends! LINOLEUM SPECIALS tf Lineal 6' Inlaid Foot Linoleum Tile 9x9 10 Vinyl 9x9 Asbestos Tile ea. 14V2' FORMICA Per Sq. Ft. 59' Roll End Price! 16 Ft. x 15 Ft. Hi-Lo Weave REG. $243.00 $162 U save: I 12Ft.x23Ft. Chocolate Brown REG. $213.00 5.18300 Roll End Pricel Save! 12 Ft. x 25 Ft. Heavy Carved Scroll REG. $384.00 flft Roll End Price! SAVE! 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