i
_OLDEST NEWSPAPER IN ALASKA—MEMBER ASSOCIATED PRESS
VOL. LIII. No. 6 NOME, ALASKA, MONDAY, JANUARY 15, 1951_Per Copy-—15c
NEWS IN BRIEF
SEATTLE, </P)—Ten carloads of
steel rails for the Alaska Railroad
were aboard the Alaska Steam
ship Co. freighter Flemish Knot
when it sailed Friday. The rails,
made by the Colorado Fuel & Iron
Co., are the last of a 45,729-ton
movement which began May 25.
They will be used in retracking
the main line between Portage
and Fairbanks, A. R. Sessions,
Alaska Railroad official in eattle,
said.
JUNEAU, (P) — The return of
certain agricultural lands on the
Kenai Peninsula to the Public do
main was supported Saturday by
the Alaska Field Committee.
The committee is made up of in
terior department agencies in
Alaska. The bureau of land man
agement has suggested return of
the Kenai lands.
A recommendation was for
warded to Washington, D. C. with
an urgent request for action be
fore next summer. Supporters said
if the proposal goes through, it
will mean the lands will be avail
able for homesteading.
The field committee also agreed
to make land available to the city
of Anchorage for a new cemetery
in order to make room for a low
rental Alaska Housing Authority
project within the city limits.
WASHINGTON, </P)—The gov
► ernment today banned the con
struction of new stores, restau
rants, office and other commer
cial buildings until Feb. 15.
Thereafter, each private new
commercial structure must be spe
cifically authorized by the Nation
al Production Authority.
NPA issued the order to save
materials for the mobilization pro
gram.
Commercial building will be au
thorized, in general, only if it (1)
furthers the defense effort, (2) is
essential to public health, welfare
or safety; or (3) alleviates or pre
vents a hardship in a community.
The order applies to new con
struction “starts” and not to build
ing already under way.
AUGSBURG, Genramy, (JP) —
Ilse Koch was sentenced to life
imprisonment today for causing
the murder of Buchewald concen
tration camp prisoners.
The “Red Witch of Buchen
► wald,” 44-year-old, was convicted
of crimes against Austrian and
German prisoners of the Nazis.
The red-haired widow of the
camp’s wartime nazi commander
was not in court to hear the ver
dict. f
It was the second life imprison
ment sentence for Mrs. Kach. The
first, imposed by an American war
. crimes court after the war, had
been commuted to four years. She
was convicted iby the U. S. Court
for crimes against Allied person
nel.
TOKYO, (JP)—Navy Lt. A1 Mon
ahan made his fifth helicopter res
cue of a shipmate Sunday when he
lifted Ens. Eldon A. Jacobs from a
rubber raft in Korean waters.
(Continued on Page Four)
' WHAT WE NEED: A GOOD FIVE CENT NICKEL
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1. I :
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POfJC'NI
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FIFTEEN
CENTS?
President Has Big
Plans For Alaska
—After July
((/P) Special Washington Service)
! WASHINGTON, </P)—President
Truman said today the 12 months
beginning July 1 will see contin
ued emphasis upon the develop
ment of natural resources in Alas
i ka.
His budget, submitted to Con
gress today, contains items total
| ing $70,000,000 specifically ear
| marked for Alaska. In addition,
I Alaska will participate generously
in general programs for the health
and security of the nation.
“The resource programs of the
: various agencies emphasize the
development of Alaska for econi
mic security and national defense,”
the President said in his budget
! message.
Major items for Alaska include
. $21,700,000 for roads, $20,000,000
for the Alaska Railroad, $10,000,
000 for 31 public works projects,
and $5,761,400 for the Eklutna
reclamation project.
Expenditures for military pub
i Continued on Page Two)
LATE BULLETIN
(Special to The Nugget)
CORDOVA, (/P)—Four persons
were found frozen to death yester
day in the calbin of a Cordova Air
Service transport which crash
landed on Copper River flats 32
miles northwest of here. A rescue
party was flown to the scene and
found the bodies. The were Mr.
and Mrs. B. 'R. Dyson, Albany,
Ore., Mrs. Fena Ekemo, Ernie
Cruz, both of Cordova. Bud Rich
ardson, pilot, said he had done ev
erything possible for the passen
gers* comfort after making a forced
landing during a storm Saturday.
He then hiked through sub-zero
weather to a cabin for help. Pilot
Stewart Startousk flew to the res
cle in a plane Sunday afternoon,
returning today.
Federal Employees
In Alaska Don’t
Pay Territorial Tax
ANCHORAGE, (/P) — The An
chorage Times says thousands of
federal employees in the Anchor
age area are delinquent in paying
Territorial income taxes.
The newspaper said the local
tax office has a stack of delin
quent notices, covering an estim
ated $100,000 to $500,000 in over
due taxes.
Two Territorial Senators ex
pressed “alarm and amazement,”
the Times said, when informed of
the situation. Both said the prob
i will be a subject of hot discus
j sion in the Legislative session con
vening in Juneau January 22.
The Times estimated at least
| 2,000 residents of this area failed
! to pay Alaska income taxes due
last March 15, on 1949 income.
Meantime the * deadline is ap
(Continued on Page Six)
Gen. Wainwight \
Says War In 1951
——— !
PETTUS, Tex., (^P)—Gen. Joha- j
than M. Wainwright (Ret.) said he!
looks for all out war before the
end of 1951.
Speaking at a banquet here Fri
day, the hero of Bataan said he
believes Russian armies are now
gathering to attack Germany as
soon as possible and that he ex
pects the attack this spring when
the weather is favorable.
Wainwright also said he thinks
the Russians have unlimited
forces in Manchuria ready to pour
into Alaska at the bidding of the
Kremlin forces. This attack, he
said, could be expected after the
invasion of Allied sections of Ger
many. •
The General said he thinks the
U. S. is in a bad situation this time
because of lack preparation and
that we are actually at war al
ready.
Truman Asks For j
$71 ¥2 Billion For j
Spending Money
(My Charles Molony)
WASHINGTON, </P)—President |
Truman today sent Congress a!
$71,594,000,000 spending budget
for the government next year and
said a tax boost of $16,465,000,000
is needed to balance it.
The president told reporters at
a budget preview session that he
will ask a tax hike of at least that
amount—and perhaps as much as
$20,00,000,0000—in a special mes
! sage to Congress he hopes to have
ready in about three weeks.
He said he would like Congress
to make all tax increases retroac
tive to last January 1. But he
showed no confidence that would
really happen.
i
In his message to the new Con
gress today, the President said:
“This is aa budget for our na
! tional security in a period of grave
danger.
The unprecedented “peacetime”
spending program Mr. Truman
proposed for the fiscal year start
ing July 1—nearly three-fifths eft
it for military services—figures
out to about $471 for every one of
the some 152,000,000 men, women
and children in the U. S.
And if the President has his
way on taxes, just about that
same amount will be collected
from citizens although some of it,
of course, will be in the form of
hidden taxes or indirect costs.
The new Congress will have
full say-so on whether taxes
should be raised and by what
amount, but it can block or con
trol part of his spending program,
unless it repeals past laws on a
big scale.
The President told newsmen
that actions by past Congresses au
thorize $30,462,000,000 of the
funds to carry out his plans. He
needs to look to the new Congress
only for the remaining $41,132,
000,000.
Mr. Truman’s bulky budget
message was a more controversial
document in some respects than
his “State of the Union” address
(Continued on Page Four) I
Korean Situation
At A Glance - - •
Monday, January 15, 1951
Gen. J. Lawton Collins say*
United States forces “will certain
ly stay and fight” in Korea. An
nounces reinforcement plans fol
lowing high level talks in Tokyo.
Maj. Gen. Clark Louis Ruffner,
replaces Maj. Gen. Robert B. Mo»
Clure as commmander of Second
Division. Freeing of McClure, an
expert on China, leads to specula
tion Nationalist Chinese troops
may fight in Korea with McClure
as liaison. Allies recapture and
then withdraw from fire-blacken
ed Yongwoln on vital east central
front.
New Delhi sources say Com
munist China carefully consider
ing latest U. N. cease-fire plan.
(By Sian Swinloa)
OSAN, Korea, (^—United Na
tions forces suddenly went over
to the offensive on the Western
Korean front today. *
By nightfall, tank-infantry
teams had rolled up to 12 miles
(Continued on Page Five)
f .* »
Sen. Russell Was
“Misunderstood”!!
He’ll Defend Alaska
ANCHORAGE, (JP) — A claim
that he was misunderstood in a
statement on defense of Alaska
was made Friday by Seantor Rus
sell (D.-Ga.) in a telegram to Ze9t>
Harris, president of the Anchor
age Democratic Club.
Senator Russell said he favored
defense of all Territories. He con
tended his previous statement,
sharply criticized in Alaska, refer*
red only to “defending constitu
tional and political rights of sov
ereign states against encroachment
of federal powre.”
Harris had wired Russell that
his club “unanimously and vehe
mently protests your stand would
jeopardize the entire northwestern
America in assuming United
States not obligated to defend
Alaska.”
The Senator replied he would
(Continued on Page Two)
. ■ : .J ••• - • , * .
FOR
DEFENSE
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SIGNAL
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Tuesday-*]. :00 P. M.
3 blasts of the Fire Siren and the U. S. S. R.
• •
and M Sirens will be sounded.
Everyone is requested to report if the signal
id heard adequately all over town, so that it can be
determined if more sirens are needed. v
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