Oldest Newspaper In Alaska. “The News Of The Day In Pictures” Member Of The Associated Press
. THE NOME NUGGET “
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VOL. 43. No. 13. NOME, ALASKA, Wednesday, JAN. 29, 1941. Price *** 15*
* Predict Try Invasion In April-May
U. S. Army Transport Kvichak Goes Aground
* Governor Asks For Three Basic Territorial Taxes
* German Attempt Invasion Britain i
in April Or May Is Predicted
With 36.000 Planes Leading Assault
UNDATED, Jan. 29 i(/P) — Bri
tain stepped up defense with
twin measures to m:et the threat
of a grand slam German-invasion
bid which informed sources in
Washington predicted wool !
come in April or May. 36,090
Nazi warplanes will lead the as
sault.
The King issued a royal pro
clamation ordering men from 18
a to 19 and 37 to 40 to register for
military service. At the same
time the government moved to
ward drafting women in vital
war industries to hasten the pro
duction of arms and munitions.
A - -
The registration cal 1 is the sec
©nd in less than two weeks a
men of 36 w re summoned on
January 18.
Washington sources credited
the Germans with a four to one
advantage over the RAF in the
heralded invasion attempt this
spring, declaring the Germans
could put 18,COO bombers and
fight rs into the air with another
18.000 in reserve. So far it is
raid the greatest number of Nazi
planes used at one time in the |
aerial seige of Britain was less j
than two thousand.
Fascist Warns
U. S. Against
Aiding England
r r
Unpleasant Reaction End of Path
UNDATED, Jan. 29 i(/P>—Musso
lini’s s '-cnl ed mouthpiece declar
ed bluntly that the United States
policy of aiding Britain was in
violation cf neutrality and likely
to invo ve the United States in
the war. The spokesman, Fascist
editor G yda, warn d that “legiti
mate reaction by the Rome-Ber
lin Axis might plunge the United
States into the conflict.” The Unit
ed Spates he said shouldn’t be
lieve sh can continue to help
Britain “without finding some un
forseen, quite unpleasant reac
tion at the end of the path."
Empress Of
Australia Is
Reported Sunk
UNDATED. Jan. 28 (/P) — Re
ports over a faltering radio that
the 21,000 ton Eritish liner Em
press of Australia was torpedoed
and she'led by a submarine 200
miles off the coast of west Africa
was followed ten hours later bv
a London declaration that she
was ‘‘safe in port.” Lordon nav
ai cireies said security reasons
barred the disclosure of the port
sheltering the liner which ferried
King George and Qimen E :za
b th across the Atlantic in 1939
on their Canadian and United
Stater lour.
Pemnt reports said the Em
. press was usrd -a- a troop shp,
jjg prc.'ur ably feeding men and sup
plies to B-itain’s African armies.
Wh:le Britons rejoiced at h r
escape, the London admiraly
acknowledged that British ship
ping In ses again mounted sharp
ly to 58.212 tons, 11 ships sunk
the week ending January 19. In
the preceding we k lo-sos drop
ped to fi ships, totaling 30,000
tor . The war’s average is 62,010
tons a week.
Army Transport Kvichak Aground
In Oueen Charlotte Sound,* B. C.
w 7
Sixty Passengers And Crew Safe
KETCHIKAN, Jen. 28 l/P) —
T'. Cutter Nsmaha radioed that
the Kvichak was aground with
water over her main decks and
bu’warks at Sisters Rocks. All
.sixty of the passengers and mrm
bers of the crew are safe. The
Kvichak is lifting slightly.
The gunboat Charleston will
bring all pass1 ngers here. The
Nemaha will remain at the scene
until salvage operation begin.
The Nemaha arrived at the
wreck at 11:15 a.m.
All Passengers, Crew Safe
VICTORIA, Jan. 28 f/P) — The
U. S. G. Charleston, a cruiser in
British Columbia waters raced
to th aid of the grounded Army
transport Kvichak after messag
f were received from the strick
cn hip. It was reported that all
pr sengers and the crew were
sa" , soon after daybreak, less
than ten hours after the 1203 ton
vessel piled up on S’stcrs Rocks
on the northern British Columbia
coast.
A small power boat reached the
Kvichak’s side and re’ayed a mes
sage from Capt. Williamson to
the Seattle Quartermaster’s of
fice that the Kvichak was hard
aground, there was no immediate
danger. The message was relay
ed to Bull Harbor through the
Victoria radio and said the Kvi
ehak was resting easily.
Some of the passengers aban
doned the ship at night in small
boats. They went ashore and
were taken aboard a small pow
er boat. One woman, Mrs. David
Wisely accompanying her hus
band north was among the pas
sengers.
The Chari'ston wras due at the
grounding between 12:30 and 1
p.m. The Kvichak, with 23 pas
sengers and a crew of 37, carry
ing supplies north for defense
bases, grounded at 10:33 p.m. at
Sisters Rocks in Finlayson Chan
nel in northern Que.n Charlotte
Sound. *
WHAT S THE NAME, PLEASE ?—Bearing the name of Russia’s No. 1 man, Staiin, this
| tank turns toward Red Square in Moscow for traditional pageant celebrating 1917 Red revolution.
Governor Gruening In Message
Today Calls For 3 Basie Territorial
Taxes To Raise Needed Revenues
JINFAU. Jan. 29 —Three bas
ic Territorial taxes, a personal
net income tav, a corporation net
income tax am! a general proper
tv tax were called for today by
Governor Gruening in a 15,000
word message, the longest ever
delivered at a joint session, in
the House chamber this after
noon. S uch taxes are required to
r i e needed revenues and also
keep increasing the proportion of
Alaska wealth in Alaska for de
velopment, progress and improve
ment.
Two Percent Personal Tax
i A personal tax was suggested
at two percent with exemptions
: of $1000 for single persons and
| $2010 for married, with $400 for
j each child or dependent.
The present live dollar school
.‘ax would be credited to a flat
four percent levy and he recom
mended a corporation tax of ten
mills and a general property
tax.
Abolish Gold Tax Exemptions
The Governor recommends the
abolishing of exemplions from
the gold tax which he said could
be considered a severance tax for
mineral which is taxed and is
gone forever from Alaska. No
change in the present three per
cent rate was recommended,
which really amounts to a dollar
for every $35 ounce of gold,
when it should be paid on every
cunce of gold extracted. He esti
mates than more than $‘>,000,000
worth of gold was taken from
Alaska in 1940 on which not one
cent tax was paid.
Coat Government Increases
Regular departments of the
Territorial government show in
creased requirements of about
$600 000 while other appropria
tions should he made for Nation
al Guard armories for which he
requested $600,000.
University of Alaska, $386,000
Regarding the Alaska Univer
sity he said this /unpretentious
institution” is of great social and
economic values and sincerely
hopes the Legislature will appro
pi ate the requested $386,000.
The Governor referred to “ec
c uny" a: a favorite and. useful
watchword which he thoroughly
indorsed tut “economy does not
mean how much you can save
but how much value you get
from what you spend.”
Governor's Recommendations
He recommends extension of
mothers’ aid, giving employment
preference to Alaskans, extend
ing unemployment compensation
to all, enacting traffic lawn, legal
izing the health department, per
mitting municipalities to hire city
managers and broadening of the
workmens’ compensation act.
$4,921,353 Budget
Is Sumbittcd
To Legislature
c
JUNEAU, Jan. 28 — Tlic Terri
torial budget with a grand total
for the next two years of 84,921,
383 as compared with 84,423,910
for the last biennium, was submit
ted to the Legislature teday.
Major increases come under sup
port of schools within incorporat
ed towns, vocation and education,
University of Alaska experimental
work, University administration
and maintenance, care of crip
pled children, venereal disease
control, old age assistance, Pio
neers’ Home and general main
tenance. Many decreases but of
small amounts were recommend
ed.
The budget board urged that
the appropriation bill be intro
duced and pased within 30 days
instead of waiting for the final
days of the session.
Plans Over
haul Alaska
Bounty System
JUNEAU, Jan. 28 — Overhaul
ing the Alaska bounty system by
the eliminiation of bounties on
eagles and trout and careful re
examination of the reasons for
paying for coyotes and hair seal
was suggested by the Budget
Board.
First House Bill
Is Submitted By
Howard Lyng
JUNEAU, Jan. 28 — House Bill
No. 1, the first measure to be in
troduced in the Legislature was
dropped in the hopper by How
ard Lyng and would appropriate
SHOO.ODI for road* , bridges, trails
and landing fields throughout
the Territory, appropriated equal
!y among the four divisions. Both
Hou es are mark'ng time for the
expected Governor's message,
scheduled for Wednesday, but
doubtful.
Axis Plan
Two Spring
Drives, Britain
ROME, Jan. 28 '(.d3) — Fascist
quarters indicated that coopera
tion between Germany and Italy
was reaching a more intense
phase as was the readiness of the
joint Axis offensive aimed at
driving the British out of the
M diterranean. These quarters
said two spring drives were in
prospect against the British in
Africa and the Greeks in Albania
preliminary to a sudden surprise
attempt to invade the British
Isles.
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I
John Metaxas,
Greek Premier
Passes Away
w
ATHENS, Jan. 29 (/P — Pre.
mier John Metaxas, aged 70, die
tatcr of Greece for nearly five
years died after a brief illness.
King George organized a new
, government which he said will
1 carry on the war against Italy
un'il victory is achieved.
A royal proclamation announc
ed that Alexander Coryozis, Gov
ernor of the National Bank of
Greece was named to head the
government, composed of all the
present ministers.
Metaxas’ physicians announced
that he died of “various com
plications” including blood poi
soning and uremia after a throat
inflamation. The Premier under
went a tonsilectomy on January
18. As his condition became
j worse he was given a transfusion
l Sunday and two more Monday.
Willkie In
Firsl Air Raid
LONDON, Jan. 28 \JP, — The
capital underwent its first air
raid alarm since last Thursday
shortly before noon, giving Will
kie his baptismal experience in,
hearing sirens.
Willkie who is slated to meet
the king in the next few days
was leaving St. Paul’s Cathedral
after inspecting bomb damage
when the alarm wailed. Second,
third and fourth warnings came
after noon as a single raider
showered fire bombs on London
but wardens, police and civilians
quickly extinguished the flames.
McCutcheon Is
Speaker House
JUNEAU, Jan. 27 — H. H. Mc
Cutcheon, oldest oldtimer in the
House was elected Speaber by a
vote of 11 to 5 over I.eo Rogge of
Fairbanks,
Lawrence Kerr of Juneau was
elected clerk over Karl Drager of
Anchorage by a vote of 10 to 6.
r
fcv
CRATEFU L —His country’i
gratitude for the sympathy ex
pressed by F.D.R. w as carried tcv
the White House by (imon P.
Diamantopoulos (above), Greek
minister to U.S.