THE DAILY ALASKA EMPIRE
“ALL THE NEWS ALL THE TIME”
.VOL. LXXIX., NO. 11,997
JUNEAU, ALASKA, FRIDAY, DECEMBER 21, 1951
MEMBER ASSOCIATED PRESS
PRICE TEN CENTS
Traffic loll
Nearing
1 Million
i
By the Associated Press
The toll of traffic deaths in the
U. S sinc> the advent of the au
tomobile climbed today toward the
1,000,000 mark.
* - The qount reached 999,850 at 7:45
a.m. P.S.T.
Deaths in motor vehicle accidents
were occurring at a rate that was
> somewhat slower thpn usual at
this time of year.
One hundred had been tabulated
In the first 34 hours—since 12:01
a.m. (local time) Wednesday.
Heavy snow and icy highways
apparently limited driving in many
northern states.
* But thousands of persons are
expected to start Christmas trips
today—and that may be a balan
t cing factor.
This also was the day for many
traditional office parties. Some
firms have advised their workers
not to drive if they drink.
Key Witness
Won't Testify
In'Fix'Case
WASHINGTON, Dec. 21— Ufi —
Henry (the Dutchman) Grunewald
refused to testify today as a key
witness in the Congressional inves
tigation of an alleged $50,000 “tax
fix” extortion attempt.
The Washington “mystery man”
answered just one question. Asked
his age, he said: "I was born in
.1892.” But "on advice of counsel”!
he wouldn’t say 'where he was born
or talk about anything Involving
him sinco that date.
Confronted with this refusal,
' members of a House Ways and
Means subcommittee went inty a
private hud1-, to .o......... .'.^rctF.er
they should sddk contempt action
against Grunewald. ...... ,\
When this broke up. it was an- |
nounced that a new subpoena had
jbeen issued calling for Grunewald ^
to appear before the committee i
.•again on Feb. 13. This will'give!
him another chance to decide if i
■ he wants to talk.
Contempt of Congress is an of
fense punishable by up to a year’s
imprisonment and $10,000 fine.
In some ways it was a strange
Congressional committee hearing.
Grunewald. a florid-faced, heavy
-set man, was in the witness chair
for over an hour.
, And, while he refused to answer
questions, he was allowed to read
a statement of several hundred
words prepared by his attorney,
William P. Maloney.
Ketchikan Woman
Given 2-Year Term,
In Narcotics Case
•
One of the first “dope” cases in
this section in several years, and one
which brought a confession that led
to arrests in Anchorage, was ended
in U. S. District Court yesterday
when Lovie Ander Ealy, of Ketchi
kan, was sentenced to two years in
' u federal penitentiary.
Miss Ealy waived prosecution by
indictment and pleaded guilty to
information filed by U. S. Attorney
P. J. Gilmore, Jr., of illegal posses
sion of narcotics. She was arrested
in Ketchikan last month w'here she
was found with a quantity of mari
juana and a small amount of co
caine.
Gilmore says that information
given by the prisoner after her ar
rest resulted in recent successfud
narcotics aids in the'Anchorage area.
The U. S. Attorney said that he be
lieved that this was the’first nar
cotics case since he took office in I
1946.
Miss Ealy will be kept in custody
in the federal pail in Juneau until
she can be transferred to a women’s
federal prison in the states.
Gilmore 'Said there appeared to
be no serious dope problem in
Southeast Alaska, but added, “vig
orous prosecution will be instituted
by this office in any cases involving
narcotics.”
I'tIDE TABLES
December 22
*
Low Tide 1:32 a.m. 4.2 ft.
High Tide 8:03 a.m. 14.8 ft.
Low Tide 2:44 p.m. 4.0 ft.
High Tide 8:38 p.m. 11.9 ft.
Good News About Daddy
The wife anil six small children of 1st Lt. William Lvuis pose hap
pily after receiving news he was on a list cf U. S. soldiers held in a
Communist prison camp in Korea. Mrs. Irene Lewis is holding Jed,
three months, and Jer-y, 1. Behind h'er are Jeffrey, 3, John, 7,
Judy, 5, and Jimmy, 4, Mrs. Lewis said she last heard from her
husband Sept. 16 and was notified a few days later he was missing.
<J>) Wirephoto.
Demand Reds
Give Account
Of Missing
MUNSAN, Korea, Dec. 21—(/PI—■
The Allies today demanded the
Reds .account for ntore than hOOO
American and other missinjr D. N.
soldiers and “an unbelievable num
ber fif South Koreans not listed
as prisoner's of war.
The demand was made in a
stiffly worded note. It was handed
to a Red liaison officer in Pan
munjom* shortly after Gen. Mat
thew B. Ridgway appealed to
Communist chieftains to open the
gates of North Korean prison
camps to the international Red
Cross.
These developments came as the
Allies offered to give up all islands
off the North Korean coast in a
move to hasten agreement on an
armistice.
A U. N. spokesman said the
Reds hinted they would agree to
unrestricted rotation of troops
during an armistice. He said they
also indicated "quite a change
of heart” toward the U. N. de
mand for a ban on airfield con
struction and reconstruction dur
ing a truce.
The Allied offer to withdraw
from all coastal islands was made
by staff officers to another arm
istice subcommittee Friday. A U. N.
spokesman called it a major con
cession. '
“We are returning, without re
compense, all islands formerly held
by the Communists,” said Brig.
Gen. William P. Nuckols. “We are
giving tangible evidence of our
willingness to compromise. The re
imbursement will be the Commu
nists’ willingness to compromise.”
Ship Movements
Denali scheduled to sail from
Seattle today.
Baranof due to arrive southbound
Sunday.
Freighter Yukon Princess sched
uled to arrive from Vancouver cn
Dec. 26.
WEATHER REPORT
(U. S. WEATHER BUREAU)
Temperatures for 24-Hour Period
Ending at 4:30 A M. Today
At Airport—Maximum. 27;
minimum, 23.
FORECAST
(Juneau and Vicinity)
Fair tonight and colder with
low temperature near 15 in
town and 5 to 10 in outlying
areas. Increasing cloudiness
Saturday with li^ht snow in
afternoon or evening. High
Saturday near 25.
PRECIPITATION
(Past 24 hours ending 7:30 a m. today
At Airport — .36 inches;
since July—20.29 inches.
192 Prisoner of
War Messages
Yet to Be Sent
WASHINGTON, Dec. 21— UPl —
The Defense Department has less
[than 209 slfd tidings messages still
I cO SC’liO uU» tO jutiiiiAiCo t)f tiuiv* iCi.vfci
prisoners of war in Korea, but a
glimmer of hope remains for those
I who will not get one.
The Pentagon announced last
night it had sent telegrams to next
of kin of 3,008 of the 3,198 men
whose names were furnished by the
Comunists in Korea Tuesday.
At the same time, however, the
radio in the Red Chinese capital at
Peiping continued to broadcast pur
ported greetings from Allied prison
ers to their home folks. Some names
in the broadcasts were not on the
lists handed over at truce negotia
tions.
It was recalled, too, that Russia’s
United Nations delegate, Jacob Mal
ik, several months ago produced a
peace appeal he said was from Am
ericans captured in the Korean
fighting. There were 37 legible sig
natures and 27 cf these names did
not turn up on Tuesday’s list.
In Korea early today, the United
Nations command tackled this is
sue. A “stiffly worded” note to the
Reds asked about some 1,000 Allied
soldiers, Americans among them,
whose names were not listed..
The 192 names out of 3,198 re
main to be tracked down at the Pet
agon presented special problems,
mostly some confusion of identity.
Legislator Lands
in Philippines on
Round World Flight
MANILA, Dec. 21—(/PI—Rep. Peter
F. Mack, Jr., (D-Ill) landed his
light single-engine plane at Manila
airport today after a 1,050 mile
flight from Saigon, Indochina.
The Philippines is the 31st coun
try the former naval aviator has
visited on a world solo flight. He
started from Springfield, 111., Oct.
7.
Mack said he has called on gov
ernment officials but spent most
of his time talking to "the man
in the street.”
He said Soviet Russia would not
let him fly to Moscow.
Mack plans to spend two days
in the Philippines, then fly to For
mosa, Japan and Korea on his way
back to the U, S. via the Aleutian
Islands.
SHOPPING DAYS
TO CHRISTMAS
Sorrow Tinges
Christmas Joy
In Many Homes |
By Associated Press
Carolers will sing and tinsel will
glisten on Christmas next Tuesday
as in years past, but in thousands
af American homes the season’s
traditional joy will be lacking.
Cheery candles in the windows of
many a dwelling will obscure the
Tact that the family inside is
’hinking of a son or husband risk
ing death in distant Korea.
The uncertainty turned to thank
iil joy in some homes this w'eek
with word that a missing loved one
was reported alive—in an enemy
•prison camp, but alive.
But in an even greater number,
the name of a loved one overseas
remained on the list of missing.
Family Ties—Home
Thus the season emphasized,
perhaps to a greater degree than
usual, family ties and the homes.
President Truman intends to fol
low hi’s custom of flying to his
family home in Independence, Mo.,
on Monday to have Christmas
dinner there with his wife and
daughter, Margaret.
From Independence, the Presi
dent will press a button Christmas
eve to ligh; a tree on the lawn
of the White House in Washing
ton. He will broadcast a Christmas
message at the same time.
Across the nation, travelers head
ed for home wherever it was.
A substantial segment of the
travelers were in uniform, on leave
from training camps in the United
States. They didn’t know when
they would spend another Christ
mas with their families.
Travel Is Heavy
The scene was the same, in vary
ing degrees, from coast to coast—
trains, buses, airplanes filled to
capacity.
In New York, the Pennsylvania
rnflroad said it was running 150
. ,f over the holiday week
end.
The Greyhound bus line sent 132
buses to Washington and other
southern points yesterday, compar
ed with a normal 33.
Churches across the country will
have their usual Christmas serv
“Fellowship In Church”
I The Rt. Rev. Henry Knox Sher
rill, presiding Bishop of the Epis
copal church and president of the
National Council of the Churches
of Christ in the United States of
America, called in his annual mes
sage for "Fellowship ir\ Church”
for a true Christmas.
Midnight mass at St. Patrick’s
cathedral in New York will be
beamed on two televisipn net
works (NBC and ABC), but Fran
cis Cardinal Spellman will not be
present. He has left for Korea to
spend Christmas with the fighting
men.
Some troops were being rotated
home from Korea. For those who
remained, and for American ser
vicemen elsewhere in the world,
the government planned the trad
itional Christmas dinner.
Turkey was on the menu in Ko
rea, the same as it was in Presi
dent Truman's home.
Plane Crash Reported;
No Wreckage Found
NEWHALL, Calif., Dec. 21—Mt—
i Reports of a big plane’s crash in
the rugged Tehachapi Mountains
sent ground and air searchers into
the area today, but they couldn’t
find the supposed wreckage.
Los Angeles and Kern County
sheriff’s offices first received ac
counts from residents of Gorman
and Frazier Mountain districts,
near where the two counties join,
of a plane trailing fire as it crossed
3,000-foot Frazier, Mountain.
Slock Quotations
NEW YORK, Dec. 21—<JB—Clos
ing quotation of Alaska Juneau
mine stock today is 2%, American
Can 111, American Tel and Tel.
155%, Anaconda 50%, Douglas Air
craft 59's. General Electric 57 .
Oencral Motors 51‘i, Goodyear
44%, Kennecott 86%, Libby, McNeill
and Libby 814, Northern Pacific 07,
Standard Oil of California 49' .
Twentieth Century Fox 19%, U. S.
Steel 3974, Pound $2.79, Canadian
Exchange 97.75.
Sales today were 1,250,000 share
Averages today were as follow
Industrials 466.34, rails 82.11, util
ities 46.90.
FROM ANCHORAGE
J. H. Fitzgerald of Anchorage i
at the Baranof Hotel.
Where 56 Died
This is a closcup airview of the wreckage or the two-engined, non-scheduled airliner that crashed into
the shallow Klixabcth River at-Elizabeth, N. J. (arrow) taking 56 persons to their deaths. The plane
had taken off from nearby Newark Airport only a few minutes belore on a flight to Florida. Crowds
jam t’ue bank of the river as rescue workers search for bodies. Smokestack rising from center of
smoke is that of Elizabethtown Wafer Company building which plane struck before flipping into the
water, iff) VVirephoto.
Cost of Living
Up; RR Workers
Get Pay Boost
WASHINGTON, Dec. 21—(/P)—
Tlr»o government’s cost of living
index rose another 0.6 per cent to
a ne'' peak in November.
As a result, approximately a
million and a quarter railroad wor
kers will get a pay boost of four
cents an hour. Their wage scales
are tied to the rise and fall of the
index. *
Tlie Association of American!
Railroad estimates that each cent
an hour increase means for the
carriers about an extra 30 million
dollars a year. On this basis, be
ginning January 1, the railroad I
workers would begin receiving ad- j
ditional pay at the rate of 120 mil- 1
lion dollars a year.
The Bureau of Labor statistics,
which keeps the tally, said its in
dex reached 188.6 per cent of the
1935-39 base level.
Big Boeing Parly
For 40,000 to Be
In Relays
SEATTLE, Dec. 21—(#>—The big
gest Christmas party in Seattle’s
lOC-year history is going to be held
here Sunday. \
It's for Boeing Airplane Com-1
pany employes and their children.
More than 40,000 have signed up. !
The party is so big it will be
held in relays in the Civic auditor
ium. A circus act show will be pre
sented every hour. Each kiddie will
get a gift or a goodie. The Boeing
Supervisors’ club is the sponsor.
Stand-in lor
Santa Killed
SAN DIEGO, Calif., Dec. 21—<>P»— !
Santa Claus lost one of his Christ- j
mas season stand-ins in a traffic |
accident here tonight.
George Weaver Hulse, 68, former
Grace. Ida., farmer, was struck and
killed after leaving a department
store where he was employed as
Santa.
He had been living with a daugh- 1
ter. Mrs. Ruth Jorgen.sen.
UN Political
Committee
Voted Confidence
PARIS, Dec. 21—OTi—The United
Nations political committee gave
the United States a vote of con
fidence today by lejecting Russian
charges that the 'U. S. was sup
porting anti-Kremlin plotters on
Soviet soil. ,
The vote was 39 against the Rus
sian resolution, 5 for it and 11 ab
stentions.
Alaska Airline
And CAB Fight
In Last Round
By FRANK W. roue
WASHINGTON, Dec. 21— —
Air Transport Associates, Inc., finds
out today just how much it must
cui'tail its Seattle-Alaska operations
to stave off a Civil Aeronautics
Board order revoking its common
carrier operating authority.
Attorneys for the irregular car
rier and the hoard were ordered by
three appeals court judges yester
day to work out an agreement satis
factory to both parties.
They were to return to court to
day (11 a.m. PST>. If no agreement
has been reached the court itself
will undertake to settle the issue.
Company attorney Warren E. Mil
ler told the judges it was. the com
pany's inability to understand board
regulations that led to charges that
it operated too frequently and too
regularly. *It was on those grounds
that the board revoked the com
panl’s permit. Miller said the com
pany was unabje to determine what
an irregular may do and still comply
with board orders.
Revocation Staved
The revocation order was to have
gene into effect last midnight. It
was stayed indefinitely, however, by
the appeals court on condition the
company live up to the regulations.
Assuming compliance, the decis
ion will permit the company to con
tinue in business until the court has
reviewed the company to continue
in business until the -court has re
viewed the revocation order. This
probably will be early in March.
The court announced its decision
orally after a two-hour hearing, as
serted it was prompted by the “large
number of questions” which com
pany attorneys raised.
Objections Raised
Among these were contentions
that the board failed to give the
carrier warning of its violations or
an opportunity to achieve compli
ance, failed to consider pertinent
evidence regarding the public need
for the carrier service, and acted
unconstitutionally in applying to
the company regulations which were
enacted after it was licensed.
Epiory T. Nunneley, chief counsel
for the board, denied all but the
refusal to hear evidence concerning
public demand. This question, he
raid, was not involved in the hearing
which was interested only in the
enforcement of regulations.
Contention Denied
He also denied Miller’s contention
that failure to stay the revocation
order would do Irreparable damage
to the company through loss of rev
enue and dispersal of its employees.
He said the company's application
for safety operating authority “un
doubtedly" would be approved by the
board, and the company then could
operate as a privat/* contract carrier.
He agreed that this type of service
would result in an economic loss to
the company.
Opposing the stay, Nunneley char
Bond Company
Can't Recover
In Olson Case
SEATTLE, Dec. 21—\Sb-Superior
Court Judge Hugh C. Todd held,
today that companies which once |
bonded Oscar O. Olson, former Ai- ,
nska treasurer, are not entitled to j
recover money they paid out on his ■
account.
Olson came from McNeil Island
federal prison to testify during the
trial.
The American Surety Company (
of New York and the General Cas- (
ualty Company of America sued,
to recover $9,136 and $1,129 re-,
spectively, from the Seattle-First
National Bank. Part of the Terri- j
torlal funds were deposited in the
bank.
The bonding firms contended the
bank should not have honored j
checks signed by the treasurer, but
should have demanded warrants
fioift the Territorial auditor.
Judge Todd held, in a memor- j
andum decision, that the bank was
bound to honor the checks unless j
it knew of an improper diversion |
of funds.
Olson is serving a prison term |
for diverting public monies to his |
own use.
Deadlock in Steel,
Labor Wage Fight;
Case Up to Truman
WASHINGTON, Dec. 21— UP) —
Steel inbpr negotiations collapsed
today and the dispute was referred
to President Truman as being in a
complete deadlock.
Cyrus S. Chlng, Federal Media
tion Service Director, ended his ef
forts to negotiate a settlement.
He told reporters he was sending
the case to the White House ns
hopeless—leaving it up to the Presi
dent to decide on the next step to
try to avert a threatened New Year's
day strike in the vital steel industry.
Mr. Truman apparently has two
courses to take.
One is to Invoke the Taft-Hartlry
Act, with Us provisions for an 80
day court injunction prohibiting a
walkout.
This, however, would probably
shelve the unsettled steel dispute
until March, with the possibility that
John L. Lewis may be threatening
a nation-wide coal strike then.
His second course would be to re
fer the steel crisis to the Wage
Stabilization Board for a recom
mended settlement.
However, it was considered highly
unlikely the board could complete
| this process before CIO President
Philip Murray's Jan. 1 strike dead
line.
acterized the company as a "flag-,
; rant violator” of regulations limiting
flights by an irregular carrier.
He said the company has not com
plied with an order directing cur
tailment of flight, "nor have they
at any time indicated they will com
I ply.”
4 American
Fliers Are
To Be Tried
BUDAPEST, Hungary, Dec. 21—
4’1- Four American fliers forced
down in Hungary by Soviet fliers
r month ago will be brought to
’rial here, the government an
nounces.
The announcement, not specify
ing a date for the trial, said merely
he four would face a court of
justice “as persons having with
premeditated Intention violated the
border of Hungary."
The Soviet Union has denoun
ced the men as spies but the
United States has insisted they
were on a legitimate mission -be
tween Germany and Yd taels via
and got lost.
This is the first time, so far as
.nailable records show, that any
jf the European Iron Curtain
countries has attempted to im
prison American military men.
Hungary is the country that im
prisoned Robert A. Vogeler, U. S.
businessman. It also has dealt
severely with such Hungarian
Catholics as Cardinal Mindszenty
and Archbishop Oroesz.
(William N. Oatis, U. S. corres
pondent, is in ' prison in Czechos
lovakia. That country, however, re
leased an American flier forced
down in a Jet fighter near Prague
last June—Lt. Luther O. Roland
of Ilummelstown, Pa.)
The four have been identified in
Washington as Capt. Dave Hender
son of Shawnee, Okla., Capt. John
J. Swift of Glen Falls, N. Y., Sgt.
James A. Elam of Ktngsland, Ark.,
and Tech. Sgt. JeBs A. Duff of
Spokane, Wash.
Fate of Missing
Persons in Ship
Fire Unknown
ASTORIA, Ore., Dec. 2J—OW—'The
fate of 11 persons, missing In a fire
w hich swept a ship anchored in the
mouth of the Columbia River, re
main undetermined today.
One hundred three others, includ
ing 23 passengers and 80 crew mem
bers were rescued by the Coast
ftuard shortly after flames whipped
through the mid section of the
Danish vessel. Errla, early yester
day.
Survivors said crewmen said the
fire started from sparks from a
shorted electric cable, a few minutes
later a hold was on fire.
Survivors also said crew members
ran from cabin to cabin pounding
en doors and ordering passengers to
lifeboat station*.
Four of the eight lifeboats were
lowered, the first with women and
children and the others with men.
Three boats burned and one was
not launched.
The Coast Ouard station, only a
mile away, rushed tugs to the scene
to pick up the lifeboats.
One survivor, E. L. Blythe of Port
land .said "there was no panic, but
most of the passengers left their
luggage behind. Some of them were
in night clothing and overcoats.”
The 462-foot boat was bound
for Liverpool via New York from
Portland.
The missing were believed trapped
or drowned.
416 from Korea
Will Be Home
?or Christmas
SEATTLE, Dec. 21—(&—'The third
troop transport from the Far East
in 24 hours arrived here today.
The rush "to get home by Christ
mas was in full swing.
Military authorities were trying
to get the men on their way as
quickly as possible.
The latest arrival was the Fred
erick Funston. It earned 50 Army
men, 197 Navy men. four Marines
and 80 Canadian soldiers. It also
carried 85 military dependents.
The Gen. H. B. Freeman, with
1,199 troops aboard, arrived last
night. The Oen. Hugh J. Galley
started the pre-Christmas rush
when it arrived Thursday morning
with 1,168 troops.
PAVLA COOK HERE
Miss Paula Cook is home from
college for the holidays. She is a
student at Oregon State College,
Corvalis. Ore. and is taking home
economics. This Is her freshman
[year.