m NOME NUGGET
OLDEST NEWSPAPER IN ALASKA—MEMBER ASSOCIATED PRESS_
VOL. LI. No” 8 NOME. ALASKA, WEDNESDAY, JANUARY 10, 1949_Per Copy—15c
NEWS IN BRIEF
SEATTLE, </P> —An agreement
granting waterfront watchmen a
15-cent hourly raise was reported
Monday by the CTO international
longshoremen’s and warehouse
men’s union.
William Gettings, regional
ILWU director, said the contract,
covering independent Seattle wa
terfront firms, will extend until
June 15, 1951. He reported the old
scale was $1.30.
ELGIN FIELD, Fla. </P) — A
B-36 bmober with 24 men aboard
took off late Monday for Ladd
Field, Fairbanks, for two months
of Arctic tests.
Capt. Eugene J. Graham of St.
Paul, Minn., in charge of testing
the air force’s huge land-based
bomber, is in command of the
flight, expected to take 17 hours
non-stop.
At Ladd Field, the six-engine
craft will join other air force mod
els now under study.
NEWPORT, Wash. (/P)—Charles
5, and Everet, 6, sons of Mrs. Lil
lian Chenevert, perished in a fire
which destroyed their farm home
Monday. Despite efforts of their
widowed mother to save them.
Mrs. Chenevert was doing
chores when the fire started, ap
parently from a defective stove
pipe. She was burned as she tried
to enter the house and save the
children. Heavy snows on the
roads slowed neighbors in their ef
forts to bring aid.
SEATTLE </P)—John MacKessy,
Anchorage, construction worker,
and two companions have arrived
in Seattle after driving by auto
mobile from Anchorage via the
Alaska highway, and MacKessy
scoffed at any suggestion that this
was a rather remarkable dead-of
winter feat.
“The Alcan Highway was clear
of snow and in fine shape,” Mac
Kessy said. “In fact, the only trou
ble he had came after he hit the
States.
“It was pretty icy between
Great Falls and Spokane.”
NEEDHAM, Mass. (/P)—An or
ganization out of existence for 32
years has contributed $500 to an
event not scheduled for 62 years.
The Needham military band—
inactive since 1917 — gave the
money to help finance the town’s
300th anniversary celebration in
the year 2011.
The $500 was found unclaimed
in a local bank and seven of the 28
charter members of the band voted
to give the money to the fund.
TOKYO, <iT*)—It is too much
trouble, union bank workers said
in effect today, to count 100 yen
notes.
To cut down on their work, they
asked that 1,000 yen notes be is
sued. The 100 yen notes are the
largest in circulation now.
WASHINGTON, (&)—-The civil
aeronautics board made final yes
terday an order giving Cordova
Air Service, Inc., $29,000 mail pay
for the period July 13, 1944, to
Dec. 31, 1947, on its route linking
Cordova, Katella and Cape Yaka
Washington, D. C.,
Prepares For Gay
Inauguration
WASHINGTON, (/P)—Harry S.
Truman, a man with a pay raise
and a new lease, got out his din
ner jacket yesterday and started
celebrating.
His inauguration lor a new
term as President will take place
at 9 a.m. tFST> Thursday. This
flag-decked city of nearly 1,000,
000 is considerably agitated about 1
it, with the prospect of several
hundred thousand visitors adding
themselves to the confusion.
Mr. Truman has just about fin
ished revising his inaugural ad
dress. It is expected to be a for
eign policy speech primarily, al
though it would not be surprising
if he also talks about his “fair
deal” domestic program as a foun
dation for foreign policy.
Monday Congress^ completed ac
tion on a bill raising the Presi
dent’s regular salary from $75,000
to $100,000 a year, and raising his
tax-free expense allowance from
$40,000 to $90,000.
Last night Mr. Truman and his
family were drawn into the storm
of festivities that has begun roar
ing there. They broke bread with
2,350 members of the Truman
.
Internationa News
At A Glance —
<By the Associated Press>
Tuesday, January 18, -949
Nationalist North China was
falling apart today. The surrender
or fall of Peiping, the last great
city in the north which the com
munists have not taken, was ex
pected momerftarily.
\ Foreign diplomats expected to
i be told any minute the Chiang
; Kai-Shek government is leaving
Nanking.
Some troops which Chiang’s
generals and war lords managed
to keep out of communist traps
were trekking back into Nanking
: from north of the Yangtze rivre,
seizing foreign owned and Chinese
properties. The U. S., among oth
j ers protested.
Russia refused any part in me
diating peace talks between China
' and the communists who have
made long strides toward con-1
quering the country. Russia pro- j
fessed she believed in “non-inter- ■
ence in the internal affairs of,
other nations.” The United States
and Britain and probably France
informed China’s Nanking govern
ment last week there is nothing
they could do in advice of coun
sel at the present stage of the civil
war.
There seemed nothing Chiang
could do in the way of arms. His
military establishment appeared to
be about bankrupt.
Peace came a little closer in Pal
estine, Israel and Egyptian nego
(Continued on Page Three)
taga, Alaska.
The mail pay equalled $1.73 for
each mile flown in authorized mail
service, the board said.
Pilot Refused To
Fly 66Yale Special”
Plane As Unsafe
—
Seattle, i/P) — A pilot who said
he refused to fly the “Yale Spe- ;
cial” plane, which crashed here
Jan. 2, killing 14 men, declared
last night he warned a CAA offi
cial 50 minutes before the takeoff
that the plane was “unsafe to fly.”
Testifying before a civil aero
nautics board hearing, pilot Em
met G. Flood, Jr., said he notified
Louis C. Mugge, aviation safety
agent for the CAA, that he had re
fused to pilot the plane because of
icing conditions and “the attitude
of ;he owner, William F. Leland.”
Leland died in the crash and
CAB investigators are still trying
to determine whether he or pilot
William Chavers was at the con
trols when the New Haven-bound
DC-3 rammed hangar on the take
off.
Chavers and another crewman
perished along with 11 Yale stu
dents.
Flood said he told Leland before
the takeoff that there was ice on
the ailerons which would have to
be washed off before the plane
would be safe to fly.
Flood quoted Leland as reply
ing: “This is a hell of a time to
pull that.”
Flood said he then refused to fly
the plane and Chavers was sub
stituted as pilot.
Marine Cooks File
i CIO Discrimina
tion Charges
SEATTLE, (TP)—Members of a
former asserted “anti-communist”
! segment of the marine cooks and
j stewards union have filed charges
.of “discrimination” against the
; Congress of Industrial Organiza
tions group.
! The National Labor Relations
! Bgard Monday said it was inves
tigating charges by various indi
viduals that the CIO union is re- !
1 sponsible for their not being re
employed on Seattle-Alaska ships. I
D. L. Rotan, organizer for the,
faction that broke away from the
| CIO during the recent maritime
! strike, said “at least 50” former
Alaska ship steward department
employees have taken the action.
.The group which later affilia
ted with the AFL, was unsuccess
ful recently in an attempt to gain
an NLRB election for bargaining
rights on Alaska vessels.
Must You File
1948 Declaration?
—
In addition to your 1948 income
tax return, you must also file by
March 15 a Declaration of Estim
ated Tax if in 1949. you expect
either—
1. Your wages (subject to with
holding) to exceed $4,500 plus $500
for each exemption.
or
2. Your other income to exceed
$100 (assuming your overall in-,
come exceeds $600>.
Collector of Internal Revenue
Tacoma. Washington
Income Tax Bill
Beaches Senate;
Chances Slim
(By James Hutcheson)
JUNEAU. (A3)—With the special
session of the Alaska Legislature
drawing near its end. A House-ap
proved income tax bill finally
reached the Senate yesterday.
At the same time, the House
ways and means committee neared
the end of an overhual job on the
general property tax bill and ex
pected to present it to the House
for floor action today.
The Senate set 11 a.m. today for
convening as a committee of the
whole to hear witnesses called to
j testify on the income tax measure.
The length of the witness list to be
called may determine whether the
bill has any chance of getting
through the Senate before the
special session ends.
Some Republicans indicate they
don’t expect it to and most Demo
crats held only faint-hearted opti
mism.
House members remained until
late yesterday afternoon expecting
: to receive the property tax bill, but
Rep. Warren Taylor, chairman of
the ways and means committee,
reported the committee was delav
! ed by legal snags.
Taylor also said there was con
siderable sentiment in favor of
j setting $2,500 as the personal
property exemption. Feeling earli
er in the day indicated $5,000 was
; a likely figure.
There was no Senate debate on
(Continued on Page Two)
i Income Tax Bill
| Before Special
Session In Juneau
S-ction 4: TAXABLE YEARS TO
WHICH APPLICABLE.
The provisions of this Act shall
j apply (1) to the taxable years be
ginning January 1, 1949. and be
j applicable to the entire current
year, including that part which
[has elapsed prior to the effective
date of this Act; <2> to fractions of
fiscal years ending in 1949; ( 3) to
taxable years beginning in 1949
and ending in 1950.; and <4) to all
ensuing taxable years.
Section 5. TAX ON INDIVIDU
ALS. FIDUCIARIES. CORPO
RATIONS AND BANKS.
A. GENERAL RULE. There is
hereby levied and there shall be
collected and paid for each taxable
year upon the net income of every
individual (except employees
whose sole income in Alaska con
sists of wages or salaries upon
which tax has been withheld as re
ferred to in subsection B of this
s e ction), fiduciary, corporation
and bank, required to make a re
turn and pay a tax under the Fed
eral income tax law, a tax com
puted by either one of the follow
ing methods:
(1)A tax equal to 10 per cent of
the total income tax payable for
the same taxable year to the
United States under the provisions
of the Internal Revenue Code, as
computed without the benefit of
PontinnoH nn T’Vm*
LIFTING THE LID
ATJUNEAU
(By James Hutcheson)
•Tuesday, January 13, 1949»
JUNEAU, I/P)—New hope for
the passage of an income tax
bill during the final week of the
special session of the Alaska legis
lature was seen today after the de
feat of a Republican-sponsored
memorial chalelnging the session’s
legality.
The Senate defeated the memo
rial yesterday by a vote of 13 to 3.
The only votes for it were by its
two sponsors, Chales Jones and
William Munz, of Nome, and E. 15.
Collins of Fairbanks. Five other
Republicans voted with the Demo
crats.
It was the first breach in a Re
publican front which has remain
ed firm throughout the session’s
organizational phases.
Immediately after defeat of the
measure, the Senate passed a bill
setting up a new legal code for
Alaska, embracing all Territorial
laws.
The vote was 12 to 4. with all
opposition coming from the Re
publican ranks. Proponents of the
measure contended that any laws
enacted at the special session
should be based on the new code;
therefore the bill is essential. Op
i ponents said it should have waited
for the regular session, which
opens next week, to remove any
• Continued on Page Five)
Vast Undeveloped
Resources In All
Parts Of Alaska
—
| JUNEAU — Completion of the
Bureau of Reclamation’s recon
naissance report on potential de
; velopment of water resources in
' Alaska for power production and
other beneficial uses was announc
ed yesterday by Joseph M. Mor
gan, chief of the Alaska Investi
gations, prior to departing for
Wa>hington, D. C.
Included in the report is an ex
tensive survey of development
possibilities of Alaska’s fisheries,
wildlife, forest( mineral and agri
cultural resources.
“Alaska’s undeveloped resourc
es now represent a loss of more
(Continued on Page Eight)
Sets Speed Record
For 2-Engine Plane
Anchorage-Seattle
SEATTLE, (>P)—A speed record
for twin-engine planes on the
1,554-mile flight from Anchorage
to Seattle was reported yesterday
by Air Transport Associates. Inc.,
a non-scheduled airline.
The company said pilot Milt
Donner of Seattle was at the con
trols of a C-46 that made the trip
in 6 hours, 10 minutes, arriving at
2:00 a.m. The plane carried pas
sengers and freight.
The previous record of 6 hours,
41 minutes was set in the flight
December 9 by a C-46 owned by
the same company.. its officials