Medford mail tribune. (Medford, Or.) 1909-1989, January 17, 1961, Image 1

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    m CColedl os Traomi Smashes cl TrycDc
Bank Forced To Close;
More Than $2 Million
Embezzled by
Sheldon, Iowa - IUPD - The
Sheldon National Bank closed
its doors today after the as
sistant cashier and daughter
of the bank president ad
mitted embezzling more than
i $2 million, federal authorities
said.
Mrs. Burnice Geiger, 58, a
bank employee for 40 years,
was held in jail at Sioux City
after waiving to the federal
grand jury on a charge of em
bezzlement from a national
Republicans Ask
Kennedy To Push
Civil Rights Bills
wasmngton-lUPU - A seven
point civil rights program was
. placed before the Senate to
i day by two Republicans who
called on President-elect John
F. Kennedy to push it as must
legislation.
The measure was introduc
ed by New York Sens. Jacob
K. Javits and Kenneth B.
Keating. They said Kennedy's
Incoming administration
"must take the initiative to
recommend civil rights legis
lation and constantly press for
consideration of it . . ."
Javits and Keating said that
the announced intention of
the new administration to ex
ercise executive action to end
discriminatory practices in
education, housing, employ
ment and voting is not adequ
ate to do the job and "will
not remedy the legislative
gaps which exist."
The Senate's main atten
tion, however, was devoted to
Senate Armed Services com
mittee hearing on the nomina
tion of Robert S.rMcNamara
as defense secretary ;j under
Kennedy. ' '
.: The ' former Ford' ' Motor
company president offered to
modify his controversial trust
National Forest,
Man Transferred
The transfer of D. F.
.O'Leary of the Rogue River
National forest to the regional
forestry office in Portland has
been announced by C. E.
Brown, forest supervisor.
O'Leary, who has been serv
ing as administrative assistant
since April, 1959, will be pro
moted to a position in the
regional fiscal agent's office
Jan. 22.
.He is a native of Boston,
Mass., and has attended the
Boston School of Accounting
and the University of San
Francisco.
He served as chief score
keeper in the Navy from 1943
1946. Following his discharge
from the Navy, he served as
assistant dispersing officer for
the San Francisco regional
office of the post office de
partment and as a cost ac
countant for the corps of en
gineers. Replacing O'Leary will be
James A. Butler, supervisory
fiscal technician of the Wil
lamette National forest in Eu
gene. Butler, who has held
that position since October,
1958, received his first federal
appointment in July, 1957,
with the bureau of land man
agement at Malta, Mont.
Eastern Oregon Timber
Tax Bill Scheduled
; Salem - IUPII - A timber tax
bill calling for a severance, or
harvest, tax only on Eastern
Oregon timber will be intro
duced in the Oregon House
Wednesday.
" Rep. W. O. Kelsay (D-Rosc-btirg),
chief sponsor of the
bill, said it Is one of two
measures supported by the In
dustrial Forestry association.
Duncan Praises Oregon Tax Setup;
Urqes Repeal of Tax on Inventories
Pendleton - (UPII - House
Speaker Robert Duncan (D
Medford) said today Washing
ton state is trying to "imitate"
Oregon in developing a better
tax climate for business and
described this as further proof
that Oregon is second to none
in the northwest in this field.
But to maintain Oregon's
"impressive record, it Is essen
tial to repeal the obsolete per
sonal property tax on business
inventories," he said.
He addressed a tax confer
ence here sponsored by the
rural affai council in co
operation with the Umatilla
coigty extension service.
O 0
bank. Her bond was set at
$10,000.
Mrs. Geiger, daughter of
bank president W. P. Iverson,
was arraigned today before
U.S. commissioner Wilford M
Forker at Sioux City.
Although she was specific
ally charged with converting
bank accounts "in excess of
$100" to her own accounts be
tween Jan. 1, 1960, and Oct.
21, 1060, U.S. Dist. Atty. F. E.
Van Alstine said Mrs Geiger
fund arrangement "to avoid
even a hint of conflict of in
terest" in the defense post. He
said he thinks he has gone
further toward eliminating
any possible conflict of inter
est than any other appointee
to appear before the Senate
group.
Other congressional news:
Communists: Chairman
Francis E. Walter of the
House Committee on Un
American Activities, said
Communists "are openly mov
ing back into" the Holly
wood movie industry. Walter
said in the Congressional Rec
ord that certain studios are
hiring Red agents under fic
titious names.
Roads: Sen. Prescott Bush
(R-Conn.), proposed that the
federal government pay the
states for any roads incorpor
ated into the interstate high
way system. He introduced a
bill which would authorize
payment for state highways
which meet the interstate re
quirements and would be lim
ited to the cost of the high
way,' less depreciation and
the total amount of federal
funds used in its- construc
tion. .
Bowles: Sen. Norris Cotton
(R-N.H.), opened a contest
over the selection of Chester
Bowles as undersecretary of
state in the Kennedy admin
istration. Cotton said in a pre
pared Senate speech that if
Bowles stands for ultimate
recognition of Red China
"then he should not be con
firmed," SBA Head Named
By John Kennedy
Palm Beach, Fla. - (UPII -President-elect
John F. Ken
nedy appointed a small busi
ness administrator today,
packed his golf clubs and
looked over a final draft of
his inaugural speech before
heading to Washington where
the presidency awaits him Fri
day. Kennedy named John E.
Home, currently administra
tive assistant to Sen. John
Sparkman (D-Ala.) as head of
the small business administra
tion to complete his pre-in-augural
schedule of top level
appointments. ' '
Monday night the President
elect selected Dr. Glenn T.
Seaborg, Nobel Prize winning
chemist and chancellor of the
University of California at
Berkeley, as chairman of the
Atomic Energy Commission.
Kennedy was scheduled to
fly to Washington this after
noon where he may look In on
two or three inaugural parties
before flying on to New York
tonight. He is to confer in
New York Wednesday with
Gov. Luis Munoz Marin of
Puerto Rico and return to
Washington that night.
Elisabethville, The Congo -IUPII
- Sixty Swedish U.N sol
diers fought off three attacks
by rampaging Baluba tribes
men in Katanga today, inflict
ing heavy casualties.
Duncan cited tax bills intro
duced recently In the Wash
ington legislature designed to
help attract new industry.
Two of these measures "are
already firmly incorporated
into Oregon's tax structure,"
Duncan said.
He listed them as one de
ferring property taxes on new
or expanding businesses and
another which would elimi
nate from the sales tax all
materials used in industrial
construction. The second ad
vantage has always been in
effect in Oregon, Duncan said,
because Oregon has no sales
tax.
Cashier
had signed a statement admit
ting taking $2,126,859.10 over
a period of years.
"A large amount of the to
tal was taken within the last
year," Van Alstine added.
He said Mrs. Geiger had
been "very cooperative" since
the "irregularities" in her ac
counts were discovered Mon
day by national bank exam
iners who arrived for a rou
tine examination of the bank.
Deposits Insured
Van Alstine declined to dis
cuss what Mrs. Geiger did
with the money pending fur
ther investigation.
A federal spokesman said
all deposits at the bank, esti
mated to total $3 million,
were insured up to $10,000 per
depositor, and that all would
be paid off up to the limit of
the insurance.
The bank's closing had a
heavy impact on residents of
this Iowa farming community
of 3,700. There is one other
bank in town.
Russia Claims
Ship 'Molested'
In Arabian Sea
' Moscow-IUPD-A Soviet ship
claimed it was "pursued" and
"molested" for 25 minutes to
day in the Arabian Sea by a
destroyer flying the Ameri
can flag.
The official Soviet Tass
news agency said word of the
incident was received in a
radiogram to Moscow from
the captain of the Soviet mo
tor vessel Andreyev.
The radio message said the
destroyer. Ingraham molested
the Soviet vessel ipr 25 min
utes and twice approached to
within one cable length-600
or 700 feet.
' It said the destroyer ap
proached the Andreyev flying
the American flag and "bear
ing the number 694 on its
side." . i
Indignation Expressed
Tass said the Soviet ship
and crew expressed its "pro
found indignation" at the de
stroyer's action.
The agency added that the
Andreyev was on a course
from Archangel to Besra with
a load of timber.
Tass gave no further details
immediately of how the de
stroyer allegedly molested the
Andreyev.
Last Saturday Soviet Dep
uty Foreign Minister Vasily
Kuznetsov handed U.S. Am
bassador Llewellyn Thompson
a diplomatic note demanding
that the United States stop
what the note called provoca
tive acts by American war
ships against Soviet vessels in
neutral waters.
Wrong Man Named
In News Story
A mistake on a police report
led to the Mail Tribune iden
tifying the wrong man as a
person charged with violating
state gambling laws. The mis
take was made in the Dec. 30
issue of the Tribune.
Foster Henry Greb Jr., 21,
Eagle Point, was one of four
men arrested by police on
Dec. 29, and charged with dis
playing a game of chance.
Greb was an employee at Foss'
Billiards, 415 East Main st.,
and allegedly paid a plain
clothes policeman for games
won on a pinball machine.
Greb later forfeited $250
bail in district court to a
charge of displaying a game
of chance.
In its Dec. 30 issue, the Mail
Tribune identified the man as
Robert Otis Greb, which was
wrong. The Tribune regrets
the error.
Duncan said Washington Is
also considering amending its
inventory tax but Washing
ton's plan "docs not go as far
toward achieving equitable
taxation as docs the repeal bill
before the Oregon house of
representatives."
Its repeal in Oregon and re
placement with a net income
tax on business would spread
the tax over the entire busi
ness community, he said,
based on ability to pay and
would assure that "Oregon
would continue to present the
most favorable tax climate to
business."
Regional Edition
Medford
14 Pages
NAVY PIER BURNS Six men were missing and six others were Injured, Pier at the Charleston, S. C, naval base Monday. The fire was believed
four of whom were hospitalizied with burns, after a fire swept the Navy to have started on a welding job. (UPI Telephoto)
WEATHER
Forecast: Valloy fog lifting,
this afternoon and partly cloudy
tonight. Valley fog late tonight
and early Wednesday morning.
Considerable cloudiness Wednes
day with a chance or light rain
In the morning. High Wednes
day 40. Low tonight 34.
TEMPERATURE
Highest Yesterday 40
Lowest This Morning 34
PRECIPITATION
To 5 p.m. Yesterday .......trace
To 10 a.m. Today trace
Our Skies Tonight
Sunset today 5:06 p.m.
Sunrise tomorrow 1:37 a.m.
Moonsct ton! eh t 6:34 P.m.
First Quarter ........ .'......-....Jan. 23
PROMINENT STAR
Aldebaran, In the cast at sunset,
will he high In south. ...8:58 p.m.
VISIBLE PLANETS
Mars Is In the cast and Venus
In the southwest at moonset.
Cuba Executes
3 'Terrorists'
Havana, Cuba -IUPII- Three
Cubans were executed before
a revolutionary firing squad
today, barely an hour after
they had been convicted by a
court martial as "terrorists."
One was charged with orig
inating a plot to blow up an
ammunition dump at a time
when Premier Fidel Castro
was scheduled to be present
in an apparent attempt on his
life.
The military trial of Balblno
Diaz Balboa, Jose M. Mesa
Lopez and Julio A. Yebra
Suarcz ended about midnight.
By 1 a.m., all three were
dead.
They were shot against the
floodlighted wall of the grim
Cabana fortress-prison, where
hundreds of "war criminals '
died during Premier Fidel
Castro's first year in power.
Although no one is certain
exactly how many persons the
Castro regime has executed,
the deaths of Diaz, Mesa and
Yebra are believed to have
increased the total to more
than 630. The total includes
three Americans killed as "in
vaders" late last year.
Plans for Pear
Festival Start
Plans for the Rogue Valley
Pear Blossom Festival, sched
uled April 7, 8 and 9 this
year, were started at a meet
ing of the association this
morning.
Theme for the annual event
will be decided at the next
meeting, Feb. 7, in the Jack
son hotel.
Art Wood, Medford, was
elected president of the associ
ation, succeeding Russ Jami
son. Bob Boyer, Medford law
yer, was elected vice presi
dent, and Mrs. Phyllis Wager
was reelected secretary-treasurer.
John Hockstatter was named
finance chairman. Other com
mittees will be named at the
next mcccting, Wood said.
Icy Spots Reported
On Some State Roads
Salem-a'PU-The Slate High
way Department today report
ed icy spots at Ontario, Meac
ham, Willamette Pass, Santlan
Pass, Sisters, Prospect, Green
Springs and Government
Camp. Thrrip was packed
mow at Austin.
X
MEDFORD, OREGON, TUESDAY, JANUARY
Bill Would Raise Minimum
Age of Drivers To
Salem - IUPD - The Oregon
House today received a bill,
sponsored by eight representa
tives, to raise the minimum
age for drivers in Oregon
from 16 to 18 years.
The age required for a
learner's permit would .be
raised from 15 to 17. v -Gov.
Mark Hatfield's '.pro
posal to increase state support
of schools from 36' to 42 per
cent was introduced in the
House. It would increase the
amount- per child from $105
to $115.
For Property Tax Relief
A similar bill was - intro
duced by Rep. Thomas R. Mc-
Clellan (D-Neotsu).- It would,
however, specify that the in
crease must be used for local
property tax relief.
Children entering the first
grade would have to be six
years old by July 1, instead of
Nov. 15, under a bill intro
duced by the education com
mittee. The bill also would
prevent children who do not
enter first grade during the
first four weeks of fall term
from entering in the spring
term.
Meanwhile, in the Senate
bills to tighten air and water
pollution control and increase
minimum salaries of public
school teachers were intro
duced. The pollution bills were in
troduced at the request of the
State Sanitary Authority.
The air pollution bill de
scribes contaminating ele
ments as dust, fumes, gas,
mist, odors, smoke, vapor, pol
len, soot, carbon, acid, or any
combination of these.
Higher Pay for Teachers
At the request of the Ore
gon Education Association,
Sen. Al Flegel (D-Roseburg)
introduced a bill to raise mini
mum salaries of teachers with
bachelor's degree from
$3,400 a year to $4,000. Mini
mum salaries for those with
"To The End of
master's degrees would go
from $4,000 to $4,800.
Substitute teachers would
get more pay too. The act
would.be effective July 1,
1962.
A bill requested by the Ore
gon AFL-CIO would extend
unemployment c o mpensation
benefits to, packing house em
ployees whose work is inci
dent to ordinary farm oper
ations. : ' j
Would Duplicate Books
Sen. Anthony Yturri (R-On-
tario) and others sponsored a
bill that ' would designate
three volumes of the Oregon
Revised Statutes to duplicate
originals of books missing
from the secretary of state's
office.
The volumes, since replaced,
'New Leadership'
Need Pointed Out
Washington -IUPII- Advisers
reported to . President elect
John F. Kennedy today that
the nation needs "vigorous
now leadership" in conserving
and developing its natural re
sources. They predicted that the new
Demo cratic administration
"will establish landmarks of
achievement toward a con
structive program that will
protect the rightful heritage
of all Americans."
The report, submitted by
the Kennedy-Johnson Natural
Resources A d visory commit
tee, recommended a speedup
in constructing flood control
and small watersheds projects,
federal aid to combat water
pollution, expansion of the
national parks system, harbor
and waterways improvements,
establishment of a national
fuels policy and stepped-up re
search In a variety of fields.
The Line, Mac"
Tribune
17, 1961
18 Years
were made a campaign issue
against Secretary of State
Howell Appling Jr. by Sen.
Monroe rSweetland (D-Mil-
waukie).; Sweeiland had
charged Appling, keeper of
the official documents, with
"losing" them but Appling
said the volumes were mis
placed before He took office.
Hatfield Invited
To Explain Plans ;
Salem-IUPD-Gov. Mark Hat
field Monday was offered an
opportunity to appear in per
son next Tuesday before the
Senate State and Federal Af
fairs committee to explain his
sweeping proposals for reorg
anizing Oregon's government.
The committee, headed by
Sen. Walter J. Pearson. (D
Portland), issued the invita
tion as a courtesy, Pearson
said. Governors do not usually
appear before legislative com
mittees, and Hatfield has nev
er done so as chief executive.
Pearson, who favors Hat
field's idea for a cabinet sys
tem, was a member of . the
governors advisory commit
tee on government reorganiza
tion. Russian Charges ,
In Laos Denied
Washington -IUPII- The Stale
Department today called
"wholly untrue ' Russian
charges that the United States
was transferring F84 jet fight
er bombers to the pro-Ameri
can government in Laos.
The department also rejectr
ed as untrue allegations made
Monday in the official Soviet
newspaper Pravda that the
United States was supplying
American pilots to fly armed
observation planes turned
over last week to the govern
ment of Prince Boun Oum.
Stale Department spokes
man Lincoln White read a
statement which said that if
the Russians really wanted to
contribute to peace in the area
they would halt the "Illegal
Soviet airlift" to the Communist-led
rebels in the Lao
tian fighting.
White said the Soviet air
lift is still continuing.
Portland State Has
Enrollment of 4,223
Portland - IUPD - Winter en
rollment at Portland State col
lege is 4,223, a new record,
Dr. Howard Impecoven, regis
trar, said today.
Last winter's figure was 3,
635. BONDS SOLD
Salom-tUPD-The Oregon Vet
erans' Affairs Department has
sold $30 million worth of Cfl
farm and home loans to the
First National Bank of Ore
gon, first issue of !?llltildlt
Ing bonrtt autkoriar4 b Mat
voteri la Nottnilaw. f in
tcjatt sop &i& pr mit
55th Year Price 10 Cents
No. 259
'Brother' Takes
Prisoner's Items
A man who represented
himself as being the brother
of Thomas Edwin Cornwall
30, who is being held in the
county Jail on a charge of
burglary, took more than
$1,000 worth of clothing and
personal- Items from Corn
wall's apartment during the
week end. i: ,
Police were notilecf of the
theft yesterday' when : Corn
wall's real brothci1, .the. Rev,
Robert Lee Cornwall, went
to his brother's apartment at
145 South Ivy at., to pick up
suit, and found the apart
ment empty.
Mr. Cornwall told police he
was Informed by the landlord,
John William Poage, that a
man who said he was- Corn
wall's brother came to the
apartment Saturday afternoon
and took all of Cornwall's be
longings away.
Poage said the man told
him that Thomas . Cornwall
would be going to the . peni
tentiary for five years and
would therefore not need his
belongings, so he (Cornwall's
alleged brother) was going to
store them for him.
Included among the stolen
Items are three suits, six
sports coats, five pairs of
slacks, two pairs of shoes, two
radios, , miscellaneous men s
Jewelry and eight paintings
painted by Thomas Cornwall
and valued at $30 each. Police
said the stolen items were
valued by Cornwall at ; ap
proximately $1,100.;
SOC Enrollment
Reaches 1,258
Ashland - Winter term en
rollment at Southern Oregon
college totaled 1,258, follow
ing the final day for registra
tion yesterday. -
The previous winter term
enrollment record was 1,225,
set last year. College officials
said today this year's figure
will probably fluctuate slight
ly until records of new stu
dents are received.
Of the 1,258, 738 are men
and 520 women.
School Principals Here
Agree To Saturday Games
Jackson county school prln
cipals and supcrinlcndcnts
yesterday afternoon voted to
hold spring athletic events on
Saturdays, according to Coun
ty School Supt. Alf B. Mck
void. The group also recommend
ed that principals be present
when coaches schedule events
to avoid conflicts with other
school programs and activities.
All A-l schools will hold
conference games on Satur
days and makeups on Fridays
or Tuesdays. Games held with
Klamath Falls will be on Fri
days, It was decided. All dis
trict tennis playoffs will ba
on Saturdays.
fit (roue also voted to
14 a reUlon to the state
MWure recommending all
"PS0W wibnbarsable programs,
Three Unloading
Boxcar Perish
In Roaring Fire
Four Others Hurt
In Flaming Crash
Magnolia, Miss. - IUPD - A
streamlined passenger train
collided with a gasoline truck
I here today in a flaming crash
that killed six persons and
critically injured four others.
The City of New Orleans, a
northbound Illinois Central
train, crashed into an oil truck
at the depot and threw the
flaming truck into boxcars on
another track and a ware
house.
State police earlier had re
ported eight dead but the er
ror apparently was due to a
mixup in identifying tha
bodies.
Engineer, Fireman Die
Killed were the train's en
gineer and fireman, the truck
driver and three men who
ere unloading a nearby box
car.
Firemen from Magnolia and
McComb fought the blaze for
two hours before bringing it
under control. The wreck set
fire to the diesel, three box
cars, the truck and the ware
house.
No passengers on the train
were injured.
lope Abandoned
For Surviviors
n Radar Tower
New York
IUPD
Rear.
Adm. Allen M. Shlnn said to
day there no longer was any
hope that survivors were still
alive in the submerged wreck'
ge of a radar tower that col
lapsed during an Atlantic gals
Sunday night.
Twenty six of the 28 men
aboard the tower were miss
ing. One body had been re
covered and another was seen
but drifted away.
Slumps Located
F i , divers this morning:
ag? located the stumps of
the 4: uge triangular structure.
Admiral Shlnn, revealed in a
radio - telephone conversation
with United Press Internation
al from the aircraft carriap
Wasp.
The slumps were being
marked so that the submarine
rescue vessel . Sunbird and
other diving vessels could ba
moved into position whera
divers with heavy equipment
could go down to examine tha
tower structure in the 180-
foot deep water.
No Sounds Heard
Shlnn said the operation
would continue until divers
made certain there were no
survivors In an air pocket as
had been hoped Monday. No
sounds have been heard from
the tower since Monday after- ,
noon, Shlnn said, and thosa
sounds were probably due to
movement of the wreckage. '
Jailers' Course
Planned in County
Sheriff Joe Walsh wll) spon
sor a regional Jailer's confer
ence and training session at
the county courthouse Jan. 23.
Walsh said the course will
be conducted by Harold Swen
son, correctional program of
ficer for the United States
Bureau of Prisons. All Jail
personnel and law enforce
ment officers of Jackson,
Josephine and Douglas coun
ties have been invited to at
tend, Walsh said.
"This is the first program
of such a nature to be conduct
ed purely on a regional basis,
and since we are so fortunate
to be able to secure an In
structor of Mr. Swenson's cali
ber for this session. I strongly
urge all city and county law
enforcement officials to at
tend," the sheriff said. ,
such as driver training and
programs for able and gifted
children, also be scheduled on
Saturdays.
School administrators heard
Dr. Frederick Trost, associate
professor of social science at
Southern Oregon college, re
port that Circuit Judge Ed
ward C. Kelly proposes a plan
for delinquency prevention,
and needs names of student
high school leaders so student
representatives can be called
together to work on the pro
gram. Gene Farthing, president of
the Elementary School princi
pals association, recommend a
counly-wide study on a pos
sible county-wido social stud
ies course. The administrators
agreed to establishing an 18
months study for all districts.
V