™i NOME NUGGET
OLDEST NEWSPAPER IN ALASKA—MEMBER ASSOCIATED PRESS_
VOL. LI. No. 84 NOME, ALASKA, FRIDAY, JULY 15, 1949 Per Copy—15c
NEWS IN BRIEF
PRINCE RUPERT, B. C. </P>—
George H. Patton's cruiser Aileen,
racing under the colors of the Na
naimo, B. C., yacht club early yes
terday won the second leg of the
1949 capital to capital internation
al cruiser race.
It was one of three races which
will constitute the 1,000 mile
Olympia to Juneau run.
Boats left Prince Rupert today
on the third and final race to Jun
eau. The Aileen’s error of per
centage was only 1.4449.
SEATTLE, (/Pi—Petite Juanita
Diaz, Juneau’s Fourth of July
queen, was given a welcome back
to Seattle Tuesday night by Seat
tle’s Filipino queens.
Miss Diaz, who was born in
Seattle and attended the Univers
ity of Washington, was greeted by
Dolores Mallori, 194(5 queen, Doro
thy Laigo, 1948 queen and Anita
Villar, 1947 queen.
The daughter of Mr. and Mrs.
Manuel Diaz of Juneau, Miss Diaz
was given the trip by Pan Ameri
can Airways and the City of Jun
eau. The 19-year-old queen will
spend four days here.
TOKYO, (/Pi—The U. S. Fifth
Airforce and British fleet units
began joint training exercises in
the Tokyo Bay area yesterday.
The maneuvers similar to those
conducted last summer, will con
tinue through Saturday.
NEW YORK. (/Pi —CIO transit
workers struck suddenly yester
day against all 21 lines of the New
York City Omnibus corporation.
The lines carry an estimated 925,
000 passengers daily.
The walkout was called by the
CIO transport workers union,
eight hours after 350 maintenance
workers quit work at one of the
company garages in protest
against the dismissal of four em
ployees.
WASHINGTON i/P)—Friends of
both Senator Taft <R.-Ohio) and
Gov. Thomas E. Dewey of New
. York were reported leaning today
toward former Senator John Dan
aher of Connecticut as a successor
to GOP national chairman Hugh
B. Scott, Jr.
Danaher’s name was tossed into
the pot as Scott, finally conceded
publicly that he will quit his post
if a man can be found “who can
bring the desired .harmony and
cohesiveness to the party organi
zation.” ,
r
CHICHESTER, England, i&) —
The world council of churches is
sued a militant call yesterday for
all Christians to resist totalitar
ianism.
It reminded those who may be
subject to persecution as a result
that “the liberty they receive from
their Lord cannot be taken away
by violence, ... or destroyed by
suffering.”
• “A totalitarian doctrine is a
false doctrine,” said a resolution
adopted by the 44-nation organ
ization of Protestant churches.
The council concluded a six-day
policy making meeting here.
Truman Flays
Those Who Would
Cut Govt. Spending
(By Marvin L. Arrowsmilh)
WASHINGTON. f/Pi—President
Truman’s sharp attack on “selfish j
interests urging drastic cuts” in,
federal spending collided yester
day with both Democratic and Re
publican criticism in Congress
So did his assertion that many
people would like to have a de
pression “for political reasons.”
On the other hand. Senator Pep
per <D.-Fla.> called Mr. Truman’s
arguments “reasonable common
sense and full of practical justifi
cation.”
The President spoke out Wed
nesday night in telling the nation
‘ about his new program designed
to expand production and avert a
more serious business slump He
went on both the radio and tele
vision.
“We shall have to be sure.” the
, President said, “that the selfish
interests do not drive us into the
ditch, as they have done before.”
As he did in the economic re
port he sent to Congress las.:
Monday, Mr. Truman said: "We
are not in a depression.” Many
people who talk of a depression.
; he said, would like to have one
1 "for political reasons.”
But he added that the increase
I in the number of people out of
work "is something to worry
about, and sorAething that must
be cured.”
The President again lit into the
Republican-ruled 80th Congress
of 1947-48 for cutting income
taxes. He criticized it, too, for re
fusing to enact the anti-inflation
program he wanted then but now
has abandoned because, he said,
of changed conditions.
He called those policies blun
| ders on the part of the 80th Con
' gress, and he said "selfish inter
(Continued on Page Three)
I
Rabbi Charges
Robeson Of ""Red
'Conspiracy”
WASHINGTON. UP)—A Jewish
leader accused Negro singer Paul
Robeson today of taking part in
“a deliberate communist conspir
acy to inflame racial and religious
i minorities here against the United
States.” .
The satement by Rabbi Benjar
min Schultz of New York, execu
tive director of the American
Jewish League against commun
ism. was presented to the House
committee on un-American activi
ties.
It was made public just after
the committee received word that
Jackie Robinson, Negro star sec
ond baseman for the Brooklyn
Dodgers, will be a week late in
making his top-billed appearance
as a witness. The committee had
scheduled Robinson as lead-off
man for a team of Negro witness
es to testify that most Americans
of their race are loyal citizens.
Committee aides said Robinson
definitely will appear next Mon
day.
Magnuson Seeks
I Pact |
Atlantic Pact
—
(By Charles D. Watkins)
WASHINGTON, (/P) — Senator
Magnuson ' D.-Wash.» called upon
the government to negotiate a Pa
cific pact along the lines of the
Atlantic Pact.
He interrupted debate on the
Atlantic Pact yesterday to tell the :
Senate that a Pacific Pact could
eventually be a means of estab
lishing a strong China and gov ern
ments in Southeastern Asia.
He said that if the state depart
ment has not already started the
negotiations, under a resolution,
by Senator Vandenberg <R.-Mich.>
it should do so at once.
Magnuson said the world’s
i peace cannot be assured under a
(Continued on Page Seven)
British Columbia
Govt. Rejects Huge
Railway Plan
VANCOUVER. B. C. (/Pi—The
British Columbia government to
day gave the cold shoulder to
plans for a billion-dollar rail link
with Alaska.
The plan to spread a network
of lines through northern B. C.,
Alaska and Yukon Territory was
J outlined here at a meeting of the
Alaska, B. C., and Peace River as
! sociation.
} It would take in the govern
ment-owned Pacific Great Eastern
railway, the whole project to be
i financed by a private United
States syndicate. Aid would also
be sought from the United States
government.
The reaction was fast. Premier
Byron Johnson said:
“There is nothing new of any
(Continued on Page Seven)
Steel Industry
J
Reje ots Trumans
Stop Strike Plan
WASHINGTON, (IP)—President
Truman today refused to modify
his steel strike plan at the request
of the U. S. Steel Corp.
Cyrus S. Ching, under instruc
| tions of the President, called pres
I ident Benjamin F.’ Fairless of the
U. S. Steel Corp. early this morn
ing and informed him that Fair
j less’s request for - a fact-finding
board without power to recom
mend a settlement could not be
granted. Ching is director of the
U. S. conciliation service.
Since U. S. Steel had rejected
Mr. Truman’s plan, there appear
ed to be every indication that—
barring some last-minute develop
ment — the CIO steel workers
would strike the U. S. steel plants
at midnight tonight.
Mr. Truman’s plan calls for a
three-man panel to study and
recommend a solution to the
wage-pension dispute of 1,000,000
CIO steel-workers and the entire
steel industry.
U. S. Steel proposed that such
(Continued on Page Eight)
Propose Banks
Finance Alaska
Warrants
ANCHORAGE, bP)—Anchorage
attorneys arc studying the legality
of u proposal, for Alaska banks to
come to the aid of the Territorial
government during its present fi
nancial crisis.
Henry Roden, Territorial treas
urer. has proposed that banks
loan money to individuals and
firms with Territorial warrants as
collateral security.
“The Territory has a deficit of
about a million dollars in the gen
eral fund,” the treasurer declared.
“The board administration has
frozen almost six million dollars
in expenditures. It can be pre
dicted that tax revenues will be
sufficient to pay off the deficit by
the end of the year.”
In an effort to keep Territorial
institutions operating Roden pro
posed the Territory pay its credi
tors in warrants. They in turn
could borrow from Alaska banks
with warrants as security.
“The board administration from
Governor down pladged to re
quest the next legislature to au
1 thorize payment of interest on the
vouchers,” he said. “Of course,
we cannot promise that interest
i will be paid because the legisla
ture must decide.”
Bankers from various cities
conferred here Wednesday on the
I legality of financing the program
presented to lawyers for decision.
Hawaiian Strike
Makes “PoP
Good Eating
HONOLULU. —1The 75-day
daterfront strike has cut into the
everyday life of the average is
lander out here. But not as much
as you’d think.
There are cases like the paper
salesman—with no paper to sell.
He’s driving a truck, and eating
poi, instead of potatoes.
Or there’s Frank May. He’s a
white collar man at Lewers and
Cooke, Hawaii’s biggest building
materials firm which has made
two 10 per cent pay cuts. He’s
told his wifa. she has to give up
the woman who ironed half a day
(Continued on Page Seven)
MILITARY GUESTS
AT ROTARY LUNCHEON
Thursday noon, the Nome Ro
tary Club had as guests, several
l officers of the army.
Brig General J. G. Steese, for
mer head of the Alaska road com
mission; Maj. Gen. ' Stanley R.
Scott, commanding general of the
army in Alaska; Col. J. R. Noyes,
present head of the ARC; Col. E.
Upson, inspector general of the
army in Alaska; Col. Wm. Taylor,
director of operation and training;
Col. J. D. Alexander, head of the
national guard in Alaska; and
Capt. E. F. Patterson, assistant to
Col. Taylor.
Gen. Steese stated he was most
pleased to return to Alaska and
to Nome after an absence of sev
eral years during which time he
served in the Panama Canal Zone.
News of the \lorld
At A Glance ---
Thursday. July 14. 1949
‘By The Associated Press*
The lines tightened today in the
bitter church-state conflict in
Eastern Europe. Pope Pius XII is
sued a new decree of excommuni
cation against all Roman Catholics
who embrace communism.
The official communist press in
Czechoslovakia ignored it but
Prague reports indicated the com
munists would use the Vatican or
der for propaganda purposes. The
government is expected to take
the line that the Vatican is trying
to cut off the people from their
government.
The minister of education in
Czechoslovakia ha-< already issued
an ordinance declaring illegal ex
communications and other penal
, ties imposed by the Catholic hier
archy “for political and not reli
gious reasons.”
The government reported priests
supporting the government-spon
sored Catholic Action were stag
, ing sit-down strikes and refusing
to surrender their parishes.
The war between church and
state became hotter in Catholic
Poland too. The official Polish
press blamed the Roman Catholic
| hierarchy for encouraging the
faithful to crowd into the eastern
Polish city of Lublin to witness a
"Weeping Virgin” portrait. The
i authorities said one woman was
! killed and 19 other persons in
' jured in the stampede.
Government officials said per
j sons spreading rumors about the
! reported miracle would be prose
I cuted. The communist-led Polish
' government, Like its counterparts
in Eastern Europe, is conducting a
I bitter fight against church author
ity
More London dock workers Lett
| their jobs today despite declara
tions. from Prime Minister Cle
i ment Attlee that the 18-day old
strike is sapping the strength anti
life of the nation. The govern
| ment under emergency regulations
(approved by Parliament, poured
4,500 soldiers and sailors into the
docking area to unload ships.
1 Nearly 14,000 men are now idle.
The government says the strike is
1 communist inspired.
The longshoremen refused to
unload two Canadian ships struck
by the leftist Canadian Seamen’s
union. The dock management then
refused to allow these, men to un
load other vessels. The men called
the.actipn a lockout and most all
of London’s dockworkers stayed
away in sympathy.
‘ The Russians eased their road
traffic regulations in Germany.
For a while it looked an if the
Russians were reimposing a block
ade of Berlin-bound trucks. But
an American 68-truck convoy
passed a check-point in a minute
today. Now the green light is
showing and normal traffic is
flowing.
But while Russian relations
seemed smoother in the west,
Washington observers said there
are growing signs of increased
friction with Russia in Asia. These
observers said Moscow appears to
(Continued on Page Three)
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