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U The-
Day's Jews
By FRANK JENKINS
National economics: '
'. Senator William Proxmire of Wis
consin asks the U.S. senate this
morning to investigate the effects
of exDandins American invest
ments overseas. He says recent re
ports indicate heavy and substan
tially increasing purchases by
i American companies of foreign
'plants,
.'J. He says these foreign U.S. in
vestments are costing us INDUS
TRIAL JOBS and are cutting a
terrible swath in America's ex
port market. : : .
" What he means is that Ameri
can business concerns are finding
they ean PRODUCE CHEAPER
. ABROAD than they can produce
at home, bo they are buying- for
eign plants. In these foreign plants.
-enable them to UNDERSELL
. Jgoods produced in American
plants, bo, as senator Proxmire
tays, they are cutting into Ameri
ca's foreign trade..
mat isn t ail. iney can produce
enough more cheaply in these for-
ipn nlnnts in pnnhlp thpm In TM.
VADE THE AMERICAN MARKET
With goods PRODUCED ABROAD
Foreign-built automobiles provide
a wen-Known example 01 wnai is
pappening.
What the Wisconsin senator is
.Saying is the United States is ap
proaching a danger point. Because
of steadily rising American prices,
jve are nearing the point at which
we could price ourselves out of
come very desirable markets.
We can't afford to price our
selves but of markets. But if Amer
ican prices keep on going up in
relation to foreign prices, that is
exactly what is going to happen.
If it does happen, a lot of Ameri
cans are going to be deprived of
Jobs.
- At this point, let's quote another
senatorOregon's Senator Neuber-
ger. He says that in February of
this year insured unemployment
for the nation as a whole was S.7
per cent while in Oregon nine per
cent of covered workers were out
$f work. In March, he says, the
national figure was 4.8 per cent
while in Oregon it was 6.3 per
cent and only six other states had
a. higher rate.
'.' Js a remedy, he proposes a
federal commission on unemploy
ment problems. He adds: "Be
cause i Deiieve mai uregon nas
uuiuc iiiuio ueaviiv man many
other states the weight of the re
cession and the job losses which
' it entailed, I hope that the com
mission, when established, w i 1 1
. hold hearings in my state in its
efforts to discover, chronicle and
iolveproblems of unemployment.
I have great respect for Senator
Neuberger's sincerity. But I doubt
if an investigation by a federal
Commission would go very far to
ward the solution of Oregon's
problems.
What Oregon needs is more in
dustrial development. We must
have more industrial plants to pro
vide more jobs. If we are to get
more industrial plants to provide
more jobs we must provide an
industrial climate that will be fa
vorable to the expansion of indus
try in Oregon so that industrialists
will be attracted to Oregon as a
profitable location in which to op
crate. ,
Federal investigating commis
sions merely talk. We've had plen
ty of talk in Oregon. We need
ACTION.
6 Lives Saved
By Coffee Break
NACOGDOCHES, Tex. (AP) !
A towering old courthouse col
lapsed Monday onto the modern
structure replacing it, but a coffee
break kept six persons out of the
path of tons of rubble. Damage
was estimated at $150,000.
A wall of the old Nacogdoches
County Courthouse, being razed.
toppled onto the roof of the new
courthouse. Tons of debris buried
the office of the tax assessor
collector, C. D. Thomas, shortly
after he and five employes left for
coffee.
(OUP'S ON in this model tin can cookery display exhibited by Glenn Burnes, left, and
.Dave West of Boy Scout Troop 7 of Matin et the Diitrict Scout Exposition Saturday at
't)he Klamath County Fairgrounds. Diitrict Scouts produced more then 50 exhibiti to ihow
people whet Scouting it ell about, The exposition it held annually.
Panama Arrests
British Ballerina
PANAMA (AP) The Panaman-i
ian government held British bal
lerina Margot Fonteyn under ar
rest today in connection with
charges that her husband was
plotting to overthrow President
Ernesto de la Guardia Jr.
The 39-year-old ballet dancer,
one of the world's greatest, was
reported being held in the private
office of the commandant of Pan
ama City's main jail. ,
National Guard headquarters
claimed that Miss Fonteyn's Pan
amanian husband, Roberto Arias,
had landed Sunday .night on Pan
ama's Pacific Coast with about 10
armed men.
The National. Guard, which is
Big Welcome
Given Lama
By Followers
By PATRICK KILLEN
MUSSOORIE, India (UPD-The
Dalai Lama arrived today at this
hilltop city and was given another
thunderous welcome by Buddhist
followers and a group of Ameri
can school children from a near
by mission school.
He moved into a two-story
house surrounded by barbed wire
barricades, and Indian army com
mand tents were installed to pro
tect him against any Communist
attempt. Bayonet carrying rifle
men lurked in the mountain un
derbrush nearby. A second ring of
barbed wire was set up on the
rim of the estate.
Mussoorie, 140 miles north of
New Delhi, is 6,500 feet up in the
foothills of the Himalayas. From
his bedroom window the young
god-king could see the snow
capped peaks of his native Tibet
on the horizon.
He chi.se this place of exile be
cause its climate is suited to one
accustomed to the chilly heights
of Tibet. It was built many years
ago bv the British as one of the
hill stations where they sought
relief from the heat of New Delhi.
On Thursday the Dalai Lama
will meet Indian Prime Minister
Jawaharlal Nehru for the first
time since Nehru granted him
asylum after he fled the Chinese
Communists and made a month
long trip to safety-
Informed sources said 1,000 In
dian security guards ware on duty
near the. house and in the .moun
tains nearby to protect the Dalai
Lama from any possible Commu
nist assault, v
World News
lit Brief
United Press International
IKE Augusta President Ei
senhower offers Russia a new
plan to reach disarmament ac
cord at a step at a time. The
first step calls for an instalment
plan for limiting nuclear weapons
tests.
HERTER Washington Chris
tian A. Herter goes before Senate
Foreign Relations Committee.
EAST-WEST London Church
ill breaks two-year silence to warn
of danger over Berlin; Moscow
says U.S. whips up war tensions.
LABOR Washington Senate
starts voting on labor reform bill
with Sen. Kennedy predicting "safe
margin" for his bill.
, DALAI Mussoorie, India
Dalai Lama arrives in exile to
tremendous reception by thousands
of hill folks.
CASTRO Princeton, N.J. Fi
del Castro says Cuba will give all
aid short of war to any force seek
ing to liberate Dominican Repub
lie.
ALGERIA Algiers Rebel ter
ror still keeping Algerians from
polls in third day of municipal
elections.
TALLULAH Washington
Those dahling congressmen just
aren't going to do a thing about
that bill Tallulah Bankhead wants
them to pass.
Panama's army and police, said
Arias and his band were fleeing.
Other reports said he had trans
ferred from the motor launch in
which he and his wife had been
cruising and had landed near his
family's large cattle ranch 75
miles west of the capital.
There was no immediate offi
cial reaction from the British Em
bassy, which had been busy until
late Monday with the visit of
Prince Philip. Miss Fonteyn for
more than a decade has been the
top star of Britain's Royal Ballet
and is a Dame of the British Em
pire, the female equivalent of
knighthood.
in London, the Foreign Office
said it had not received a report
from the British ambassador in
Panama. The British government
is expected to intervene on Miss
Fonteyn's behalf, however, for her
British citizenship was not affect
ed by her marriage to a Pana
manian. ,
Dame Margot had been in Pan
ama for several months with her
husband, Panama's former am
bassador to Britain. -The couple
had been cruising aboard the fish
ing launch Nola in the gulf of
Panama since last Tuesday.
Over the weekend De la Guar
dia's government had ordered, the
arrest of her husband.
Arias, son of former President
Harmodio Arias, was charged
with trying to organize an attack
on the National Guard garrison in
Chorrera, about 20 miles outside
the capital. t
His wife sailed into Balboa un
detected before dawn Monday
aboard the Nola. Newsmen were
unable to locate her, but it was
known she spent some time at
her father-in-law s home.
National Guard officials refused
to say when or where she was
arrested.
Herter Given
Senate Nod
WASHINGTON (AP) - Chris
tian A. Herter won Quick and
unanimous approval of the Senate
Foreign Relations Committee to
day' to succeed John Foster Dul
les as secretary of state.
The committee acted after hear
ing the 64-year-old Herter. who
has been chief aide to the cancer
stricken Dulles, say the U.S. air
route to Berlin will be defended
but not necessarily at the risk of
nuclear war.
Committee "Chairman"?. ""Wil
liam f uibngbt (U - Ark) an
nounced that the nomination of
Herter would go before the full
benate later today if possible
Quick confirmation would allow
Herter to take office before leav
ing this weekend for the Western
foreign ministers meeting in Par-
Herter had told the committee
he did not believe atomic and
,hydrogen bombs would be justi
fied in the early stages if war de
veloped over Berlin. :
Briton Backs
Chiefs Plan
LONDON (AP) - British Prime
Minister Harold Macmillan has
written Soviet Premier Nikita
Khrushchev supporting President
Eisenhower's proposal of a ban on
nuclear weapon tests below an
altitude of 30 miles.
Sources close to the British gov
ernment said Macmillan told
Khrushchev Britain would, prefer
a more comprehensive test ban.
But he said if that is impossible,
it will back limited agreement of
the type proposed by America and
Britain last week at the Geneva
conference on a nuclear test ban.
The Soviets took a negative atti
tude initially toward the Western
proposal, terming it a deviation
Irom the agreed purpose of the
conference. But Western delegates
at Geneva believe that Moscow's
final word on the proposal is still
to be heard.
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SITE OF THE GREENHORN DAM proposed by the city of Yreka is shown here. View,
ing it is C. M. ''Pete" Potter of the water company. The Yreka City Council adopted a
resolution et its last meeting for the issuance of $550,000 in- Yreka Water Works
bonds. It is expected that bids will be received April 30, end contracts awarded on May
14, with construction slated to start as soon as possible. '
Council Backs
Development of a platted area
in Mountain View Addition to
Klamath Falls received a big boost
from the city, council Monday
night.
City Manager G. S. Vergeer Sr.,
reported that property owners in
a six block area had put up $4,039
in water deposits to assure Oregon
Water Corporation installation of
water in the proposed area.
He pointed out that only one
local property owner objected to
the move. He also asked the city
to appropriate $280 for the eight
lots which it owns in the area, and
the council approved the move,
swelling the money available to
$4,319. .
A month ago. Oregon Water Cor
poration manager Glenn Bowen in
dicated that it would take approxi
mately $5,000 In cash advances be
fore his company would go ahead
with installing water service to the
area. .,
Vergeer indicated that while the
amount was a bit short, a discus
sion was underway with the water
company in an effort to get the
project started. .. '
City Attorney Henry Perkins
men suggested that the council au
thorize the start of sewer district
proceedings since they take at
least 90 days to comclete. He point
ed out that if they started sewer
proceedings now, those who de
sired to build in the area would
have sewer this year.
The council authorized the move,
and instructed the city manager to
proceed on the sewer plan for the
six block area.
Two San Quentin Convicts
Holding Pair As Hostages
SAN QUENTIN, Calif. (UPI)-
Two San Quentin prison trusties
fled to a nearby fishing pier to
day and seized a man and woman
hostage at knife-point in a desper
ate bid to obtain i speedboat and
escape across San Francisco Bay.
The man was released to act as
a messenger between the convicts
and the dozens of prison guards
and police who waited in a tense
impasse 100 feet away.
"Don't come any closer or we'll
slit her throat," one of the con
victs yelled at the guards.
Associate Warden W. D. Achuff
of San Quentin said it was 'first
reported that only the woman was
grabbed by the fleemg convicts.
About two hours later Achuff said
a man also had been seized and
he was acting as an intermediary,
shuttling back and forth between
the two sides.
The drama was taking place on
the Marin County Rod and Gun
Club pier about a mile north of
the prison.
San Quentin is about 12 miles
north of San Francisco on the west
side of San Francisco Bay.
The two convicts were identified
a Billy Joe Wright, 26, Trinity
FALLS, OREGON, TUESDAY, APRIL 21, 1959
f
Weather
FORECAST Klamath Falls and
fvtcinttyr 1'Mr through Wednesday
with variable high clouds Wednes
day. Highs 70-75; low tonight
32-40.
High yesterday - 67
Low last night 37
Precip. last 24 hours 0
Since Oct. 1 4.36
Same period last year 14.34
Northern California Fair
through Tuesday night; partly
cloudy Wednesday with showers
likely from Ukiah northward.
Coastal winds variable 8-18 miles
an hour. .
Snark Starts
Test Flight
CAPE CANAVERAL, Fla. (API
A blazing Snark intercontinental
guided missile . streaked over the
horizon today on the start of a
round trip test flight.
The missile is the first truly in
tercontinental weapon that will be
in the hands of V. S. troops.
The launching, conducted by
veteran Air Force crewmen from
the 556th Guided Missile Squad
ron, was aimed at a trip 900 miles
down the Atlantic range.
The weapon used on today's
flight logged a similar round trip
without a hitch several months
ago.
The shoot was part of the close
out phase of development for the
Snark which is expected to be de
ployed at its first operational site
in Presque Isle, Maine, in the next
few months. About 20 bases are
planned for the Snark.
County, and William D. Werner,
24, Fresno County, both burglars.
They had been working as trus
ties in a rock quarry outside the
prison walls. Off-duty Guard W.
Gastoni spotted them fleeing on
foot toward the rod and gun club
a mile and a half away at about
9:15 a.m. p.s.t.
A gun club member said the
convicts pulled a knife on the
woman as she was fishing off the
pier.
The woman hostage was be
lieved to be a Mrs. Theresa Lopes,
San Rafael.
Mrs. Caroline Lato. Mill Valley,
Calif., who was on the pier at the
time, said "I saw these two men
running down the pier, and then
they stopped where this woman
was sitting down, fishing. They
grabbed her fish knife from a pile
of gear and put it to her throat.
Then they jerked her by the hair
and pulled her up to her feet. They
told the rest of us not to come
near or they'd slit her throat,
The men dragged the protesting
hostage to the end of the pier, and
called back to the prison guards.
who had by then arrived on the
scene: "Tell them to get us
speedboat right away or we'll
kill her." v
Telephone TU 4-8111
No. 6375
3S
. v.
in
Bids Planned
For Dam Site
YREKA Yreka city councilmon
took the first steps to procure the
funds for the Greenhorn Dam con
struction by adopting a resolution
for the provision for the issuance
of $550,000 Yreka Water Works
bonds.
According to City Clerk. Alton
Taylor, bids will be received April
30 and contracts will be awarded
on May 14. Construction will start
immediately at that time.
After about two hours discus
sion, the council also adopted the
new zoning ordinance and land
use map for the city of Yreka,
the' zoning plan designed for fu
ture growth of the town.
Mayor James Cummings also ap
pointed Leo Purinton as a mem
ber to the Yreka Recreation Com
mission for a two-year term, re
placing Mrs. Pearl Lecam. Pur
inton owns and operates the Sis
kiyou Airways at the Montague
Municipal Airport, but resides in
Yreka,
Duties Assumed
By Alaska Chief
JUNEAU, Alaska (AP) - Wil
liam A. Egan, rushed to a hos
pital hours after being sworn in
as Alaska's first elected governor,
Jan. 3, took over the full duties
of his office Monday.
The 44-year-old Democrat, far
below his normal weight but op
timistic, returned to Juneau t
week ago. He had been given
only a 50-50 chance for survival
after being flown to Seattle for an
emergency abdominal operation,
m. i i 'iuisx.r
THIS TRIO OF COMING collectors wet among throngs ef
display of the Klamath Stemp and Coin Club Saturdey.
stamps, one of the largest ever teen in Klamath Fells, wet
Week. Visitors received wooden nickles et mementos. In
titters Devid, Barbara and Pennw Welrath.
Council Reverses
Zone Law Changes
An irate group of home-owners
descended on the Monday night
city council session for the second
successive week, voicing vigorous
protests to a proposed change of
zone for their areas, one on Owens
Street and the other along the
south side of Shasta Way between
Sixth Street and Washburn Way.
After hearing the discussion and
cataloguing the objections by per
centage, the council moved to
amend its established policy and
outlined a new procedure for mak
ing zone changes in the future.
At the request of individuals,
the planning commission had rec
ommended both changes. Howev
er, the council declined both pro
posals at the end of two hours
discussion. -
The move to change a portion
of Owens Street from residential
to industrial was opposed by an
additional petition presented Mon
day night. When added to the pre
vious petition, it was determined
that out of 61 property owners
within 200 feet of the zone, 35
objected to it. .
It has been the council s policy
in the past that unless 50 per
cent of those residing within 200
feet of the zone change object to
it, It becomes effective, i.
However, during the course of
the discussion on the Owens Street
proposal, Norman Hansen, whoi
said he represented 1225 Owens,
argued that the burden was on
the wrong people. He questioned
why property owners must rise
to the detense ot their own prop
erty every time a person wants
to change the zone. He wanted
to know why the person request
ing the zone change should not
be' required instead to get 51 per
cent of the persons involved to
favor the move before it would
be approved.
The council discussed this view
point, and concurred - in it. I
think it's a reasonable approach,
Mayor Lawrence Slater said. "Pre
vious councils have gone under
the old procedure, but it does
seem to me that the burden of
proof is ( on the wrong people,
When you1 want to change some
thing, the person wanting the
change should show proof that
the marjority want the change.
The council set future policy
of the zone changes on the pat
tern of 51 per cent in favor. They
then denied the zone change re
quest when Councilman James
Barnes moved to do so.
Discussion then turned on a re
quest to rezone the area along
Shasta. Way from residential to
commercial. Chet Hamaker, who
had requested the zone change,
pointed out that the council was
now changing their rules of pro
cedure.
"Last week, unless 50 per cent
objected to the move," he pointed
out, "the zone change would have
been approved, but now you've
changed it around to make it 51
per cent must be in favor before
it's granted."
The council agreed mat it naa
changed its policy from the pre
vious week, but agreed that the
final authority rested with the
council, . and in view of the dis
cussion, felt the move was proper.
Hamaker was given an oppor
lunity to attempt to obtain the 61
per cent in favor, but declined It,
pointing out that he had been on
the project ever since he pur
chased the property in January.
Mayor Slater questioned him at
length and brought out that the
property was residential and that
Hamaker' had known this when
he purchased it. Hamaker stated
he had received an indication irom
the planning commission that the
area would probably be rezoncd.
The council then moved to deny
the rczoning.
The moves ended two weeks of
heated discussion which had con
sumed more than four hours of
council deliberation.
Another near-stalemate devel
oped in the council over the ques
tion of a liquor license for the
Pastime on Klamath Avenue, The
license application had been held
over from the previous week.
Mayor Slater stated that the pol
icy of the Liquor Commission has
been to make an applicant wait
six months once a request was
denied. "Only a little over five
months have elapsed." he said.
"There were three applicants be
fore, perhaps we'd better wait and
see if the two others appear again
this time."
When it appeared that the coun
cil was about evenly divided on
the license request, the Mayor en
tertained a motion that it be de
ferred for another week, and the
council concurred.
A request to purchase a 20 foot
strip behind their present resi
dences on North Fifth Street was
approved for Jack Madden and
two others at an appraised cost
of $2 per foot, $400 in all.
Hey, Tallulah,
Precious Pals
To Shun Bill
By TOM NELSON
WASHINGTON (UPI) - TalllK
lah, dahling, there's simply dread-
iiii news irom your precious
friends in Congress.
They're not going to do a bloody
thing about that bill you did so
want them to pass.
it isn l that the House Ways
Means Committee pays no atten
tion to the views of an actress
the stature of Tallulah Bankhead.
You 11 recall that your testi
mony on unemployment compen
sation last week got an attentive
audience from the committeemen,
the dolls.
Nor does the committee feel you
sabotaged your own case, al
though you must admit that at
times you didn't help much.
for example, it did the cause ot
liberalizing unemployment com
pensation little good to talk about
actors who drive up In their Rolls
Royces to collect . their weekly
jobless pay checks.
And to remark that every
thing's gone sky-high" when you
were told that benefits range up
to $45 in. New York Well, dahl
ing. The problem Is that what you
want to do provide for recipro
city of eligibility between states,
to help unemployed actors gets
into the area of states rights.
The feeling on the committee is
that this business of reciprocity is
a field that Congress should leave
to the states.
When you began testifying last
Tuesday, you complained you had
not heard the previous remarks
of the committee members "so 1
don't know whether you are "for
us or agin us."
It's sad, dahling, but they're
agin you. i
U.S. Incomes
Show Boost
WASHINGTON (UPI) - Half of
the nation's families had incomes
above $5,050 in 1958 a $20 in
crease from 1957 's median family
income, the Commerce Depart
ment reported today.
But the increase was more than
canceled out by rising prices in
the early part of 1958 so that pur
chasing power of the families, de
clined slightly.
h Averaging developments for the
years 1947-57, the department said
that real, after-tax income per
family has risen about IVf per
cent a year. ,
One reason for the steady im
provement was the growing pro
portion of wives who work.
The report also showed there
was no' change in 1958 in income
distribution. Fourteen per cent of
all families and single persons
had incomes under $2,000 and five
per cent fell into the $10,000 or
more category.
The bulk of the income units
fell in the middle categories 22
per cent in the $2,000-$3,999 group,
25 per cent between $4,000 and
$5,999 and 17 per cent earning
W,000-$7,999.
visitors to the second annual
The display of rare coins and
In ebtervance of Notional Coin
deep study are brother and