THE r >AILY ALASKA EMPIRE
“ALL THE NEWS ALL THE TIME” ___
VOL. LXXV., NO. 11,582_'_JUNEAU, ALASKA, WEDNESDAY, AUGUST 16, 1950_MEMBER ASSOCIATED PRESS PRICE TEN_CENTS
FRONT LINE E29 RAID FLATTENS REDS
Senate May Investigate Palmer Airport
SEN. BUTLER CHARGES
, McCUTCHEON BENEFITS
BY LAND PURCHASE
ANCHORAGE
STRIKE SEES
NOCHANGE
Federal Mediators Stymied
in Plumbers' Walkout
Defense Work Stopped
SEATTLE, Aug. 16—(>PI—Federal
mediators still faced a blank wall
here last night at the close of their
first-day attempts to settle the
crucial Anchorage plumbers’ strike.
Federal mediation director Cyrus
Ching called the hearing last week
after Secretary of Defense Johnson
had assailed the strike as endan
gering more than 200 million dol
lars worth of defense projects in
the Anchorage area.
Sixteen persons representing Al
aska and stateside plumbing con
tractors answered Ching’s call yes
terdy morning, along with two rep
resentatives of Anchorage Local 367,
Plumbers and Steamfltters Union.
Federal mediators Albin Peterson,
Leo Kotin and William G. Hosie
met with the negotiators.
However. Peterson reported “no
significant change” in employers’ or
union stands when the session ad
journed.
Harry H. Lewis, regional director
of the Federal Mediation and Con
ciliation Service, was scheduled to
return to Seattle today after con
ferences with Ching in Washington,
D. C.
FIRE ALARM
The Juneau Volunteer Fire De
partment was called by a thrPC
three alarm at 5:20 p.m. yesterday
to 115 Gastineau Avenue where a
overheated stove was threatening to
do damage. No damage was done,
firesmen said.
The Washington
Merry - Go - Round
By TOM M^v’AMARA and
JACK ANDERSON
.Copyrlaht, IBM. py MU Syndicate, Inc.) |
(Ed. Note—While Drew Pear
son is on a brief vacation,- his
column will be written by mem
bers of his staff).
_ i
M'ASHINGTON — Defense Sec
retary Louis Johnson's sagging pub
lic relations haven’t been helped
by the bad manners of some of
his military aides, who seem to
enjoy getting in people’s hair.
A classic example occured when
baseball commissioner “Happy”
Chandler recently called on John
son to offer the services of base
ball to the war effort. He was
met in the outer sanctum by Brig.
Gen. Louis H. Renfrow.
Renfrow was munching on some
chewy candy as he greeted Chan
dler. Picking his teeth with a
finger. Renfrow mumbled officiou
sly that he had sent for a per
sonnel procurement officer to “sit
in on” the conference with John
son.
Then, in a painful attempt at
humor, the general added: “After
all. he’s the fellow whose shoulder
you’ll have to cry on.”
The insinuation that Chandler
might be seeking special favors—
such as deferments for ball play
ers—burned him to a crisp. Trying
to contain his anger, he shot back:
“I didn’t come over here to cry
on anybody’s shoulder. I just want
to see Secretary Johnson to offer
the services of baseball, including
myself, to the government.”
Still poking at his teeth, Renfrow
^Continued ou Page Pour)
Legislator Says Gruening
Approved Increase of
Land Values
WASHINGTON. Aug. 16 — t/PI —
Senator Butler (R-Neb) today ac
cused Alaskan Territorial officials
of trying to collect $37,500 in federal
airport funds “through a subter
fuge.”
Butler, who has been leading the
fight in the Senate against state
hood for both Alaska and Hawaii,
demanded a Senate investigation of
a long series of charges involving
the airport at Palmer, Alaska.
In a prepared speech, supported
by what he called "photostatic copies
of certain pertinent documents,"
Butler told the Senate:
1. That Stanley McCutcheon,
speaker of the House in the Alaskan
Legislature, collected $5,628 for put
ting through the airport transaction
and would benefit also from the
project through his connections as
a bank official.
2. That Gov. Ernest Gruening of
Alaska had “placed his personal
stamp of approval” upon the airport
project.
3. That a member of the Alaskan
Legislature. Marcus F. Jensen oi
Douglas, had asked the U.S. District
Attorney in Juneau to make a full
investigation of the transaction.
4. That “a washout transaction”
between the Alaskan Territorial
government and the Palmer Airport
Association, was arranged under
which the Territorial government
paid $150,000 for the Palmer airport
and then received $145,000 of this
back.
Butler said this “scheme" was
used to enable the Territorial gov
ernment to obtain $37,500 of federal
funds to which it was not legally
entitled.
Butler said that $50,000 had been
spent building a small airport at
Palmer in 1946, before Alaska be
came eligible to receive federal air
port funds on a matching basis in
1949.
Lana value increasca
He contended the “washout tran
saction” was staged by increasing
the value of land from $43 an acre
last year to $1,172 an acre for the
127.94 acres involved in the $150,000
sale.
Butler also told the Senate it is
his belief that McCutcheon, an air
line president as well as attorney,
banker and legislator, actually
signed the natne of “Roland Snod
grass” to the airport voucher.
Contending Alaska and its offi
cials now handle millions of dollars
annually, Butler salu there “is a
grave question here as to the philo
sophy and outlook of the present
Territorial officials in whom has
been vested the responsibility for
the government of a federal terri
tory."
Butler said questions about the
Palmer airport transaction had been
raised by Frank A. Boyle, auditor
of Alaska, on July 13, and opinions
had been asked from the Alaskan
Attorney General.
“I believe that the Governor of
Alaska and a number of others in
volved here should have the oppor
tunity to explain fully to the Con
gress their activities in connection
with the Palmer land deal,” Butler
said.
The Senator said a former Trea
surer of Alaska, "is now in prison
serving a term of 10 years for em
bezzlement of public funds entitled
to his care."
Two other former officials, who
served under this administration,
were dismissed last year after the
legislature found they were unfit for
public service, he continued.
Butler placed in the Senate record
documents and data dealing with
his charges and newspaper articles
from the Daily News Miner on re
lated subjects.
ED INGERSOLL HERE
Ed Ingersoll of Cordova is a vis
itor. stopping at the Gastineau
Hotel.
ILWU REQUESTS
NEW TRIAL FOR
HARRY_ BRIDGES
Jailed Longshore Leader
Retains Control of
Union Convention
NORTH BEND, Ore., Aug. 16—nT)
—CIO Longshore President Harry
Bridges seemed today to have con
trol of his union’s caucus here —
from behind federal jail bars in San
Francisco.
Some west coast locals had hinted
of revolt last week, but this seemed
waning here today.
Delegates loyal to Bridges twice
overwhelmed opposition on policy
decisions yesterday involving their
long time leader.
They first rallied to elect a chair
man known to be loyal. They named
James S. Fantz, Portland, over R.
T. Baker, a former Portland local
president who would like to see the
ILWU chief ousted from union lead
ership.
Then they rammed through reso
lutions calling on President Tru
man to free Bridges and to demand
a new trial for the man convicted
of lying when he said he never was
a Communist.
"VISION” WARNS
BLACK CLOUDS TO
STRIKE ALASKA
NECEDAH, Wise., Aug. 16—(JP»—
Thousands of spectators from man;
states, who yesterday heard a Wis
consin farm wife relay a message
she said she had received from
the Virgin Mary, trekked homeward
today with mixed reactions.
Standing before an improvised
shrine in her farmyard, Mrs. Mary
Anna Van Hoof told a hushed
throng that the blessed Virgin had
exhorted them all to "Pray, pray,
pray.”
Mrs. Van Hoof, 41, claims she
has seen the mother of Christ six
times before in visionary appear
ances here.
The spectators—estimated to
number nearly 100,000—had to de
: ide for themselves whether to dis
count or believe the claims that
had drawn them there, for they
saw nothing unusual.
She repeatedly urged her listen
ers to “Pray, pray, pray.”
“The enemy of* God is all over
America.”
She told the crowd: “Pope Pius
XII is in danger unless we pray.
I want to warn of Korea. It won’t
end unless we pray. Our bishop
must remember my warning of
Fatima. Black clouds are coming
over America. Alaska is the first
stepping stone. Remember the
Pacific Coast.”
VALDEZ MAY GET
SEWER SYSTEM IK
1951, SAYS TOKER
_
VALDEZ. Alaska, Aug. 16—(AT—
Construction of a $160,000 sewer sys
tem for Valdez, possibly next year,
is being considered by the city coun
cil.
Felix Toner of Juneau outlined
preliminary engineering details at
a council meeting, and said Valdez
was next in line for funds under the
public works act. He said cost of the
proposed system would be amortized
over a 20-year period.
STOCK QUOTATIONS
NEW YORK, Aug. 16 — Closing
quotation of Alaska Juneau mine
stock today is 2%, American Can
93, Anaconda 33%, Curtiss-Wright
10*4, International Harvester 29%.
Kennecott 62%, New York Central
14%. Northern Pacific 17%, U.S.
Steel 36%-, Pound $2.80%, Canadian
exchange 90.87%.
Sales today were 1,770,000 shares.
Averages today are as follows: in
dustrials 215.78, rails 62.61, utilities
39.14.
Where RedsExerf Pressure
Dark arrows show main North Korean threats along Korean battle
line. Red artiler.v (1) was reported south of Yongsan on road to
Masan. Invading troops (2) fought at close quarters with defending
troops in I'ohang. Trapped North Koreans were battling American
forces in slowed down drive on Chinju in the south. Northwest of
Waegan, Red forces were building up west of the river for push on
Taegu. On northern part of the battle line, South Koreans hurled
bock assault north of Uisong. <W) Wirephoto Map.
•_
SEN. MAGNUSON
SAYS OKAY ON
NEW HIGHWAY
SPOKANE, Aug. 16 — Iff) — Sen.
Magnuson (D-Wash.i said today
that a ban on construction of a
road to Alaska north from Oroville,
Wash., has been lifted.
He said In a message from Wash-'
ington, D. C., that the ban was |
imposed recently by Presidential
order which limited the start of
new Federal highway jobs to those \
related to national defense.
“The order halted plans for the J
Okanogan River bridge and ap
proaches adjacent to Oroville on
which advertisement for bids w.ts
pending,” he said. "The western
office of the Public Roads Adminis
tration has now been told to au
thorize the state to advertise the
project.”
Magnuson said the bridge will
be a "vital part of the shortest
road link from the United States
to Alaska upon completion this
fall of a connecting road from
Prince George to Fort Saint John
in British Columbia.”
The Oroville Chamber of Com
merce had long contended that the
highway north of Wenatchee
through the Okanogan valley is i
definitely a military highway.
Oroville is located in northeast
ern Washington near the Can
adian border.
—
,
• •
• WEATHER REPORT •
* *
• In Juneau—Maximum, 71; •
• minimum, 48. •
• At Airport—Maximum, 72; • j
• minimum, 37. •
• •
• FORECAST •
• (Juneau and Vicinity) •
• Continued fair tonight and •
• Thursday. Lowest tempera- •
• ture tonight about 48 degrees. •
• Highest Thursday about 71. •
• *
• PRECIPITATION •
• (Past 24 hours ending 7:30 a.m. today •
• City of Juneau — None; •
• since August 1—1.14 inches; •
• since July 1—11.07 inches. •
• Af, Airport — None; •
• since August 1—0.85 inches; •
• since July 1—7.89 inches. •
RED CHINA
MAY THROW
IN TROOPS
(By the Associated Press)
A Communist admission that
the North Koreans might even
tually be thrown back to the
starting point of their invasion
was reported from Formosa, is
land stronghold of the Chinese
Nationalists.
Reports in Taipei said the
Soviet Union and Red China
have agreed that the Chinese
Communists will throw 150,000
troops into the war if the invad
ers are pushed back to the 38th
parallel, dividing line between
North and South Korea.
Recent arrivals in Taipei from
Red China reported that So
viet Vice Premier V. M. Molotov,
said to be in full charge of Com
munist expansion in the Orient,
visited Peiping to arrange the
pact.
The reports were unconfirmed
from any other source.
U. 5. Troops Capture
Newly Manufactured
Russ Weapons-Korea
SOUTHEAST KOREAN ‘ FRONT,
Aug. 16—iAV-A U.S. Army officer
said today that American combat
troops have captured Soviet-made
weapons and ammunition manufac
tured in 1950.
The Russians said recently at Lake
Success that they have not provided
arms to the North Koreans since
1948, when their occupation forces
withdrew from the area north of
the 38th parallel.
The captured equipment includes
122 grenades, a submachinegun and
other small arms, all manufactured
in 1949 and 1950.
The officer said the weapons were
turned over to a team of frontline
United Nations observers operating
with the American forces. It is ex
pected the material will be sent to
Lake Success. '
Markings on the guns and shells
are in Russian.
HOUSE APPROVES
SOCIAL SECURITY
INCREASE TODAY
WASHINGTON. Aug. 16 — Iff) —
The House gave Its final approval
today to legislation vastly expand
ing social security coverage and in
creasing benefits.
The roll vote was 374 to on*.
The lone opponent was Rep. Byrnes
(R-Wisc.).
The House accepted a compromise
version of different bills passed by
the House and Senate.
The compromise now goes to the
Senate.
Major provisions of the House
Senate compromise include:
Coverage—the number of workers
under old age and survivors in
surance is Increased from 35,000,t>J0
to 45,000,000. The newly covered
groups include 5,000,000 self-em
ployed, 1,000,00 domestic servants,
700,000 regularly employed farm
workers and various smaller groups.
Benefits—the 3,000,000 aged per
sons and survivors now getting ben
efits will receive increases averag
ing 771 a per cent beginning about
Nov. 1. Benefits to those yet to
retire will be about double the
present rate. Maximum benefits
for a family will be increased from
$85 to $150 a month.
Taxes—the present 1V4 per cent
payroll tax on employe’s pay and
employer’s payroll will go to 2 per
cent on each in 1954, to 2'j per
cent In 1960, to 3 per cent in 1965
and 3 Vi per cent on each in 1970.
HRS. LOWELL TOPS
LOCAL TROUT DERBY
CUTTHROATDIVISION
Douglas Blanchard Heads
Dolly Section at End
of Angling Contest
Again a woman has shown the
men how to fish.
Mrs. Leonard Lowell, a Juneau
housewife, has won the cutthroat
division title in the Juneau Cham
ber of Commerce Trout Derby by
a slim three-ounce margin.
The derby began June 1 and
ended at midnight last night with
Mrs. Lowell’s 4-pound 12-ounce
entry topping the cutthroat divi
sion and Douglas Blanchard’s 6
pound 4-ounce fish heading the
Dolly Varden division.
Mrs. Lowell caught her winning
fish in Turner Lake last weekend
pushing Frank Wright to second
place. J. 8. (Skip) MacKinnon, Jr.,
who entered a 4-pound 5 and one
half ounce cutthroat Monday, is in
third place.
No entry fee was charged for the
derby. Prizes will be awarded the
best three fishermen in each divi
sion at the Chamber of Commerce
meeting August 24, according to
Pete Warner, who headed the derby
committee.
The derby began slow, and after
a month speeded up. Dr. C. E. Al
brecht led the cutthroat division
for more than five weeks, but was
pushed back slowly to fifth place,
where he stood at the end of the
contest.
The best fish in the cutthroat di
vision came from Turner Lake, on
the south side of Taku Inlet. Best
Dollies came from streams running
into Taku River.
An even pound behind Blanchard
in the Dolly division was Luis Ce
Florin who entered a fish weighing
five pounds four ounces. Third place
was taken by Royal O’Reilly, who
entered a 4-pound Il-ounce Dolly.
Carl Lane was fourth, Pat Gil
more, fifth, and Jack Campbell,
sixth.
Leonard Lowell squeezed into
fourth place in the cutthroat divi
sion last weekend, Dr. Albrecht was
fifth and A1 Bloomquist was sixth.
Taku Lodge proprietor Royal
O’Reilly promptly pointed out that
the top four cutthroat division win
ners caught their fish in the Taku
Valley area as did the high six in
the Dolly Varden contest. O’Reilly
also explained that all six of the
Dolly Varden winners were either
guests or employees at Taku Lodge.
SUPERFORTS
RAID COMMIE
FRONT LINES
B-29s Blanket Red Troops
in First Direct Strike
at Enemy
By WILLIAM JORDKN
A U. S. BOMBER BASE, Japan,
Aug. 16—(£)—B-29 crews came back
from their biggest bombing raid ol
the Korean war today, saying "we
hope, by God, we were able to dc
something for the guys on tht
ground.”
They had.
The bombers had Just smashed a
26-square mile area containing up
:o 60,000 Red soldiers in a corridor
3‘a miles wide and 7''_> miles lonp
Just northwest of Waegwan.
The Army wanted to chop ofi
the threatened Communist advance
toward Taegu and the southeast
before it could get started. The
Army called on the Air Force fot
r B-29 saturation raid on the sec
tion where the Reds were massing
for attack—a, tactical battlefront
mission instead of the big bombers
customary long-range strategic ef
fort in the Red rear .
It was the first time B-29’s hac
ever been asked to give cloaeup
mass support to ground forces. It
was the first time the deady grace
ful silver giants had ever been
ordered to go and blanket an area
in a direct strike at enemy troops.
When it was all over the pilots
and bombardiers didn’t know
whether they had done any good.
They had hit the target right on
the nose, and knew that. Results
were uniformly reported as “excel
lent.”
"But that means we dropped al,
our bombs and hit the assignee1
area,” one Air Force officer said.
But it doesn’t mean that we killed
gooks because we just don’t know
whether they were there.”
Before the operation, Maj. Gen
Emmett (Rosaie) O’Donnell, chiei
of the Far East bomber command,
said: “We don’t know whether this
is going to do any good. We hopi
it will. If the North Koreans ah
down there we think it will. Any
way we think it worth a try.”
FLOODING CREEKS
CAUSE WASHOUT ON
RICHARDSON ROAD
Swollen glacial streams, brought
to flood stage by extremely hot
weather, have w'ashed out the Rich
ardson Highway at Mile 18, the
Alaska Road Commission said today
A wire from B. D. Stewart, Jr.
district engineer in the Valdez area,
said the Lowe River bridge suffered
damage and that he was working
two gangs at top speed to get the
road back in shape so traffic could
resume at its normal space.
Most damage was done directly
north of the bridge, Stewart’s wire
said.
Mile 16 is northeast of Valdez.
STEAMER MOVEMENTS
Princess Louise scheduled to ar
rive from Skagway at 8 a.m., Friday,
sailing for Vancouver at 9 a.m.
Princess Kathleen scheduled tc
leave Vancouver today and will ar
rive Saturday.
Alaska scheduled to sail from
Seattle tomorrow, and due here Sun
day.
Aleutian due here Sunday from
Seward.
Baranof scheduled to sail from
Seattle Saturday and due here
Tuesday.
Princess Norah scheduled to sail
from Vancouver Saturday and due
here Tuesday.
Freighter Chena scheduled to sail
from Seattle Aug. 24.
FROM CHATHAM
Mrs. John Likness and Clarice
of Chatham are at the Baranof
Hotel.
>75 TONS OF
BOMBSPANIC
ENEMY LINES
Reds "Running in All Di
rections" - May Be
Turn of War
(By the Associated Press)
Panicky Communist troops reeled
in retreat on the Naktong river
front in Korea today after a giant
unash by 98 B-29 Superforts un
loaded 1,750,000 pounds of explo
sives on their offensive buildup.
The massive blow, inaugurating a
new role for the giant bombers,
was aimed at breaking the back of
i 60.000-man Communist buildup
.cross the Naktong where a kickoff
lad been expected against Taegu,
he main American forward position
.1 South Korea.
Large-scale U.S. reinforcements
.lave arrived on the battlefront in
.he southwest sector, where Negro
,nlts of the U.S. 25th Division have
ieen fighting some of the fiercest
lattles of the war in the area of
Jhinju, main Communist southern
iase. The replacement units were
iot identified as to size or outfit.
President Truman spent 20 mln
ites today with his Joint Chiefs of
Staff, reviewing the Korean war,
while the nation wondered if the
nassive Superfortress strike meant
i turning of the tide which might
ead to victory.
Destroying Bridges-;
There were some Indications on
he main front northwest of Taugu
hat the enemy might be blowing up
he very underwater bridges he laid
iown for his big push. If this was
w, it appeared the Reds expected a
.round attack in the wake of the
3-29 smash, which reportedly spread
error in Red ranks. Observer pilots
•eported enemy units stunned and
iemorallzed by the blow.
Some of the enemy troops were
running in all directions" from the
naming, smoking target area after
he Superfortesses, In the first strike
>f this kind in their history, sat
urated 26 square miles of the Red
juildup area with 875 tons of bombs.
Observer pilots reported some Reds
ieserting positions east of the Nak
,ong and racing back across it.
The saturation blow was the
equivalent of 30,000 rounds of heavy
artillery fire. It was perhaps the
jreatest concentrated strike that
eould be made on a front line posi
,ion short of an atomic attack.
Saturation Raid
The Superfortresses took off at
lawn in waves of eight, each carry
ng about 10 tons of bombs. They
.lew a mile west of the Naktong,
beginning on a strip three miles
lorth of Waegwan, and systematic
illy dropped one 500-pound bomb
.•very 150 feet. The area is about 15
miles northwest of Taegu, U.S. for
ward base where the bulk of North
Korea’s attack force was believed
centered.
“It is hard to see how it can take
l battering such as it is getting now
ind mount an offensive soon,” wrote
AP Correspondent Hal Boyle, who
flew along with the raiders in a
transport-observer plane.
The bombing was made in clear
weather.
The attack apparently spread con
fusion through Red ranks on the
northern flank of their attack on
the Naktong defense line, while a
lull fell over the rest of the battle
front. No sooner had the B-29s
glided off from their merciless
■strike than Allied fighters and
bombers roared in, strafing and
bombing any targets they could find.
While the B-29s roared in to drop
their 3,500 bombs, each weighing
500 pounds, American Infantrymen
stood up in their foxholes and
cheered.
Like Normandy Raids
Never before had B-29s been used
in mass support of ground troops.
The attack was similar, however, to
the massive blows of B-17s and
B-24s on German lines on Normandy
before the St. Lo breakthrough of
Americans In World War II. The air
blows then paralyzed German lines
so that they could not effectively
resist the ground attack.
A lull fell over the other sectors.
This was the situation: two Red
bridgeheads have been established
across the Naktong below Taegu,
the provisional South Korean capi
iCouUnued on Page Two)