m NOME NUGGET
_OLDEST NEWSPAPER IN ALASKA—MEMBER ASSOCIATED PRESS
VOL. LI. No. 76NOME, ALASKA, MONDAY, JUNE 27, 1949Per Copy—15c
NEWS IN BRIEF
PACHUCA, Mexico, (JP)—A 30
minute flash flood killed 49 per
sons and injured 28 Friday in this
old silver mining town. Eight of
the dead were children.
Swift streams submerged the
market place and some downtown
streets under. 10 and 12 feet of
water.
A number of bodies were found
in overturned automobiles tum
bled into ditches. The torrent of
water swept downhill into town.
A number of persons were killed
and many hurt by being swept
from their feet and thrown against
walls.
LOS ANGELES, (/Pi — Beulah
Louise Overell, 20-year-old heir
ess acquitted two years ago of
charges of murdering her parents,
is going to marry a Los Angeles
policeman.
Miss Overell announced her en
gagement Friday to Robert Can
non, 28.
Miss Overell and her former
fiance. George Gollum, were freed
and broke up after their five
month trial in the slaying of fi
nancier and Mrs. Walter E. Over
ell in a mysterious yacht explo
sion in Newport Harbor.
SEATTLE, UP)—Pan American
Airways said Saturday it expects
to move the company’s entire fa
cilities for handling clipper flights
to Alaska, the Pacific and the Or
ient from the Boeing field to the
Seattle-Tacoma airport by the end
of the year.
RUSSELLVILLE, Ala. (JP) —A
rattlesnake forced radio station
WWWR off the air for more than
an hour Saturday. Engineers
found a three-foot rattler had
crawled into the tuning unit,
shorting a circuit.
MAIZURU, Japan, — Two
thousand cheering Japanese re
turned today after nearly four
years as Russian wa>* prisoners.
They were the'first to arrive since
the Soviets suspended repatria
tion last winter.
General MacArthur has been
pressing Russia to resume the re
turn of the Japanese. He said 408,
000 were held. The Russians re
ported they had 95,000.
EASTON, Conn., UP) — Helen
Keller, famed blind author and
educator, observed her 69th birth
day today and issued a message—
“I do not feel any age yet. There
is no age to the spirit.” Greetings
came to her from all over the
world.
PASADENA, Calif. i/P) — Prof.
George E. MacGinitie, California
institute of technology authority (
on marine life, will become direc
tor of the Arctic research labora
tory at Pt. Barrow, Alaska.
Professor MacGinitie has been
granted a leave of absence from
Caltech’s marine laboratory for
the task, it was disclosed Satur
day.
HOLLYWOOD, (A*) — Tyrone
Power and his actress wife, Linda
Christian, are expecting a baby in
U. S. and Canada
Should Cooperate
To Develop N. W.
((#*) Special Washington Service)
WASHINGTON, (JP) — Canada
and the United States need to co
operate more closely in develop
[ ment of the Yukon-Alaska North
west, a bureau of reclamation
summary says.
One barrier to co-operative de
velopment it says, is U. S. mari
: time law which deny Alaska the
! use of Canadian steamship lines
: from Prince Rupert, B. C., Cana
1 dian railway terminal.
The report said a railroad into
1 Alaska would be less costly to
I build and to maintain than a per
j manent hard-surface highway.
And it urged transfer of some
wholesaler and jobber or distribu
; tor functions from the States into
Alaska in order to end the "sys
tem which now gives Seattle a
cut out of every Alaskan dollar.”
Under present law, the report
said, goods shipped by rail from
; the United States to Prince Rupert
can be delivered to Alaska only in
: ships of U. S. registry.
“Use of the port of Prince Ru
pert would have a most beneficial
effect on transportation costs if
Canadian vessels were permitted
to carry freight from that port to
Alaska,” the bureau said.
“There is perhaps no part of the
world where two nations have
I more closely identical problems,
' conditions and objectives than the
United States and Canada have in
their lands in the northwestern
part of the Continent.
“The development of these
lands, necessary in the broad na
; tional interests of the two coun
' tries, depends substantially, if not
, primarily, our transportation, and
; some move looking to cooperative
action in this direction appears to
' be needed.”
Prince Rupert is 640 miles north
I of Seattle and only 90 miles from
the nearest Alaska port.
During the war the army sur
fContinued on Page Three)
T. MacALLISTER HEADS
4th OF JULY COMMITTEE
The Fourth of July committee is
headed this year by Councilman
T. MacAllister as chairman. He
has appointed Charles Jones to
take care of getting donations
from merchants and individuals
for this year’s celebration. Other
committees will be announced
this evening at the regular coun
cil meeting.
January, his studio has announced.
TOKYO, f/Pl—Police Saturday
said the casualty toll in Monday’s
typhoon in southern Japan now
stood at 202 dead and 177 missing.
The last previous death estimate
was 160.
TOKYO, {JP) — Thievery has
reached a new low in Japan.
Pearl king Kokichi Mikimoto
complained to police that poach
ers descended to the sea bottom
southwest of Tokyo and made off
with 24,000 pounds of his cultured
pearl-producing oysters.
Will Sue Firms For
Income Tax Collec
tions Under Ruling
JUNEAU, (/P) — Backed by a
federal court ruling, Atty. Gen. J.
Gerald Williams said Saturday he
will bring suit against firms which
have failed to pay up under Alas
ka’s new income tax law.
I
Federal Judge George W. Folta1
ruled Friday that the law enacted
by the 1949 legislature is legal. It
levies a Territorial tax of 10 per
cent of the feiedarl income tax
paid by a person or firm.
Judge Folta’s decision held that
the special legislative session of
the Alaska Legislature which con
vened before the regular session
was illegal. The tax law passed
initially at that session.
However, it was passed again
i by the regular session, with some
revisions, and this enactment
made the tax law legal.
The Alaska Steamship Co., con
; tested v'alidity of the measure.
The judge ruled withholding pro
visions re-enacted by the regular
session were legal. Attorney H. L.
Faulkner, counsel for the com
j pany, said he “presumed” the
company will appeal.
It was understood here that
many companies placed money in
special funds pending the decision.
Territorial tax commissioner M.
P. Mullaney also said he expectecf
firms to comply with- the law im
mediately, for sums ranging from
I $400 into the thousands.
Status of the law remains as is,
! until the court order is signed by
! Judge Folta. Friday afternoon he
| took a plane to Seattle enroute to
Los Angeles to attend a confer
ence of Ninth Circuit Court
Judges.
The extra session which was de
clared illegal cost the Territory
(about $30,000.
CONGRESS
HIGHLIGHTS
Saturday, June 25, 1949
WASHINGTON. (/P) — Congress
took a breather today from floor
chores with votes scheduled for
next week on two major musts,
housing and labor.
Both Houses were in recess un
til Monday following a hectic
week in which heat and humidity
increased both inside and outside
the Capitol.
Voting on proposed amend
ments to the housing bill will be
gin Monday in the House with
final show down expected on the :
bill probably Wednesday.
The Senate faces a choice Tues
day between two “national emer
gency” proposals in its labor de
bate.
The issue boils down to a deci
sion as to whether injunctions
(court orders) or seizure should be
employed when a dispute affect
ing a substantial part of an indus
try imperils the national health or
safety.
The administration housing bill
calls for $1,000,000,000 in govern
ment loans and $500,000,000 in
grants for slums clearance; up to
$400,000,000 a year in subsidies
(Continued on Page Seven)
Rankin Would In
jure U. S. Economy
With Vet's Benefits
—
WASHINGTON. </P) — Having
successfully rammed through the
House a sixty-five billion veterans
pensions bill, Rep. Rankin «D.-|
Miss.' is now getting ready a
bonus bill that may cost almost;
that much.
He won’t say when he will pre
sent it to the House veterans
committee, of which he is chair
man. but he indicated he may
seek action this session.
I
Servicemen would get $3 for'
each day of military life. $4 for
those spent overseas, with a maxi
mum payment of $5,000. The bill’s
cost has been estimated all the
way from fourteen billion to sixty
billion dollars.
Some members of the committee
said privately there will be no
more major veterans benefits ap
proved this*session. “In view of
the national economy,” said one,
“it's time to stop.”
But Rankin wants the bonus
money—“ad j usted compensation”
to take care of almost all G.I. ben
efits.
He has held up legislation to
extend “52-20” G.I. jobless pay
(Continued on Page Six)
MR A Europe's
Answer To Reds,
Says Writer
LOS ANGELES — “I went to
Caux. Switzerland, to watch the
world assembly of Moral Re-Arm
ament strictly in the role of a
newsman and came away con
vinced that Moral Re-Armament
is the only answer to communism
in Europe today.”
McCullah St. Johns, writer son
of the noted novelist, Adela Rog
ers St. Johns, so reported at a
luncheon meeting of civic and
business leaders at MRA’s world
headquarters, 833 South Flower
St., Los Angeles. St. Johns return
ed recently from the Caux confer
ence, where more than 1000 dele-,
gates from 37 nations have been
meeting since June 4.
“What we need in Europe to -1
day,” said St. Johns, “is a spir-1
(Continued on Page Seven)
News of the World
At A Glance —
Saturday, June 25, 1949
<By The Associated Press>
Three nations — Canada, Bel
gium and Syria — are charting
their future courses in elections
this weekend.
Canadians will decide by ballot
Monday which party they think
will better advance the prosperity
of Canada’s 13,000,000 citizens.
They have the choice of re-electing
the liberal administration of
Prime Minister Louis St. Laurent
or turning to other parties.
Chief and traditional political
foe of the liberals is the progres
sive conservative party led by the
former premier of Ontario, George
Drek. Socialism is represented by
the Co-operative Commonwealth
Federation <CCF> led by M. J.
Coldwellam. There are several
minor parties.
A total of 848 candidates seek
262 seats in Canada’s 21st parlia
ment. Newfoundland will vote as
a province of Canada for the first
time.
There is a royal issue in Bel
gium. The nation’s largest party—
the Social Christian—is support
ing a proposal that former King
Leopold III be put back on the
throne. He now is in exile in
Switzerland.
Many Belgians resent the fact
that Leojxjld surrendered his
country to the Nazis instead of
fleeing to set up a government to
, fight in exile as did Queen Wil
helmina of Holland and other rul
ers.
The return of Leopold is op
posed by the Socialists, commun
ists and most liberals. The Social
Christians promise that if they
form the government they will
hold an early referendum on the
royal issue. Voting will take
place Sunday, and women will
cast their ballots for the first time
in Belgium. Voting is compulsory.
Paul-Henri Spaak, premier and
minister of foreign affairs is up
for re-election.
Syria is holding a rubber stamp
election today—there is only one
presidential candidate on the bal
lot. He is Col. Husni Zuyim, mili
tary governor of the country since
he ousted the previous regime last
(Continued on Page Seven)
Reclamation Bureau Suggests That
Veterans Can Profitably Take-Up
Reindeer Industry And Help Economy
(By Vern Haughland)
<I/P) Special Washington Service)
WASHINGTON, </P)—The bur
eau of reclamation suggests that
Alaska turn to war veterans for a
revival of the Territory’s once
thriving reindeer industry.
This industry has suffered from i
“a lack of interest” since it was
turned over to Alaska natives in
1937, the bureau says.
The reclamation bureau has
proposed, in a 324-page report on
Alaska, that U. S. reclamation
law, now effective in the 17 west
ern states, be extended to the Ter
ritory so that the federal govern
ment may take part in reclama
tion development.
Alaska has an estaimated 200,
000 square miles of grazing land
which could support 4,000,000
reindeer, yielding 1,000,000 hides
and 150,000,000 pounds of meat
annually, the bureau said.
However, since 1037 reindeer
(Continued on Page Two)