EE NOME NUGGET
_OLDEST NEWSPAPER IN ALASKA—MEMBER ASSOCIATED PRESS
VOL. LVII No, 105NOME, ALASKA, FRIDAY, SEPTEMBER 2, 1955Per Copy—15*
Army Denies That
Eisenhower Fired
Intelligence Chief
WASHINGTON, UP)—The Army
today described as “incorrect” a
published report that Maj. Gen.
Arthur G. Trudeau was dismissed
as chief of intelligence by direc
tion of President Eisenhower.
The Army office of information
issued a formal statement in com
ment on a story in the New York
Daily News to the effect that Ei
senhower fired Trudeau at the
“personal plea” of Allen Dulles,
head of the Central Intelligence
Agency.
The statement was issued after
consultation with Gen. Maxwell
D. Taylor, Army chief of staff,
who has picked Maj. Gen. Ridgely
NGaither Jr. to succeed Trudeau.
' The text:
“The statement that Gen. Tru
deau was relieved from his as
signment as G2 of the Army
(chief of intelligence) by direc
tion of the President is incorrect.
Gen. Trudeau is going to an im
portant assignment in the Far
East after having'completed near
ly two years on the job. He has
been succeded by Gen. Gaither
who was Gen. Taylor’s G2 in the
Far East. A new chief of staff
is privileged to make his own
selection of his principal staff of
ficers.”
In a Washington story carrying
the byline of John O’Donnell, the
News said Trudeau “actually was
removed from his intelligence
command by Eisenhower despite
the violent, though suppressed,
opposition of the Pentagon, from
Secretary of Defense Wilson down
through the all - powerful joint
chiefs of staff and uniformed pro
fessionals of Army, Navy, and
Air.”
The newspaper said the Presi
dent “wavered” in his decision to
fire Trudeau but that Allen
Dulles’ plea was backed up by his
brother, Secretary of State John
Foster Dulles.
Striking Nash and Hudson
Auto Workers Reach
Agreement After 8 Hours
By the Associated Press
One big strike was settled
quickly today and another, sched
uled for midnight tonight and af
fecting 35,000 workers, was post
poned.
The CIO United Auto Workers
and the American Motors Corp.,
maker of Nash and Hudson cars,
reached an agreement eight hours
after a strike of 24,000 employes
began.
American Motors thus became
the first of the so called “Little
Three” of the auto industry to
settle with the CIO on the “Big
Three” contract pattern.
In New York the CIO Trans
port Workers Union postponed its
strike of 25,000 nonoperating em
ployes of the Pennslvania Rail
road. President Eisenhower yes
terday set up an emergency fact
finding board. Under the Railway
Labor Act, this move usually
postpones strike action for 60
days. The union wants higher
wages and shorter hours. '
110 Degree Heat
In Los Angeles
Tops 64-Year Mark
LOS ANGELES, UIV—Southern
Californians braced themselves
for another scorcher today in the
wake of yesterday’s record high
temperatures which were blamed
for three deaths and 28 cases of
heat prostration.
The mercury zoomed to 110
degrees in Los Angeles, cracking
a 64-year-old mark by one de
gree. On the normally torrid Mo
jave Desert it was a compara
tively cool 90 to 103.
San Diego County authorities
said the 104 - degree heat there
was a major disaster to the multi
million dollar poultry industry.
It was estimated that nearly 60,
000 chickens and turkeys dropped
dead in their pens.
Thousands of persons fled to
the beaches. Seven persons were
treated in Santa Monica for burns
on the soles of their feet, re
ceived as they raced across the
oven-hot sands to the water.
At neighboring Torrance City
construction projects were halted
when concrete set before it could
be poured and tar boiled in the
streets.
As for smog, it was all but a
forgotten issue as steaming resi
dents mopped their brows. The
hot air took the smog high into
the atmosphere and dispersed it.
Mediators At Work With
Pan Am and Threatening
Ground Service Employes
NEW YORK, (3—A CIO union’s
contract with Pan American
World Airways has expired, and
negotiations for a new agreement
are continuing with the aid of
federal mediators.
Seeking to avoid a strike of
6,000 ground service employes
and flight stewards, the airline
agreed Wednesday to make any
contract settlement retroactive to
September 1st.
The old contract expired mid
night Wednesday and the workers
had authorized the union negotia
ting committee to call a strike any
time after that.
The union seeks an increase of
18 cents an hour for hourly-paid
employes, who now average $2.10.
It seeks an increase of $45 month
ly for flight stewards, who now
make $375. The company’s last
reported offer was 5 cents more
an hour for hourly-rated person
nel.
The union also seeks a year
round layoff plan and concessions
on hours, pensions, overtime and
fringe benefits.
High Winds In S.E. Alaska
Ground Tug, Sink ’Driver
KETCHIKAN, (A'l — A barge
loaded with 350,000 board feet of
lumber was aground in Bostwick
Inlet on Gravina Island yester
day after high winds Wednesday
night tore the craft from its moor
ings in Metlakatla harbor. Sal
vage efforts were in progress.
A piledriver, also torn loose by
winds that reached 70 miles an
hour, could not be found yester
day and was believed sunk.
10,000 Tonner To
Bring Contractor’s
Supplies To Nome
The Alaska Steamship office
here has been advised that the
Tonsina, their special ship with
contractors’ supplies, has left Se
attle and is due in Kotzebue on
Sept. 16th and at Unalakleet on
Sept. 27th. This ship does not
stop at Nome.
The last boat for Nome is antic
ipated to leave Seattle on Sept.
21st and all shippers are advised
to get their orders in early.
In addition to this, a charter
trip is being scheduled to leave
Seattle on Sept. 19th with Nome
its only stop.
The boat will be the new Lib
erty-type vessel Fortuna recently
purchased by Alaska Steam, of
I 10,500 tons. It is reported that the
vessel will have a full load of
contractors supplies only — sup
plies and equipment for the work
to be done in this area.
!
Sp ace Travel at
"Lindbergh Stage’
Says Rocket Expert
BRISTOL, England, (#)— A n
American rocket expert told Brit
ish scientists yesterday that space
flight is at “the Charles Lindberg
stage”—just about ready now for
somebody to make the big break
through.
Miltonn W. Rosen, of the U.S.
Naval Research Laboratory at
Washington D.C., said space ve
hicles already have been “devel
oped to a reasonable degree of re
liability and many flights of short
range and duration have been
made.”
This is the same stage of devel
opment reached by aviation in
1926—a year before Lindbergh
made the first transatlantic flight
—Rosen told the British Assn, for
the Advancement of Science.
But he said that the big break
through in rocket space ships
still had to be preceded by a brief
period of “experimentation with
unmanned, instrumented satel
lites” and by solution of the prob
lem of getting the ship safely back
to earth.
Stassen Says World
Will Have Peace If . . .
BOSTON, (B—Harold S. Stas
sen said today “a continuing
journey on the path of peace’4 will
be assured if the world follows 11
principles, including a “secure
method, assured by inspection” to
end the arms race.
Stassen, who is President Eisen
hower’s special assistant on dis
armament and deputy U.S. repre
sentative in current U.N. disarma
ment talks, addressed the national
encampment of the Veterans of
Foreign Wars.
He also included in his 11 prin
ciples opportunities for all peo
ples to advance their standards of
living through peaceful uses of
atomic energy; and substitution
of direct negotiation and media
tion for ultimatums, threats of
war, and war itself ^n settling in
ternational disputes.
Three Bills Of
Missing Greenlease
Ransom Recovered
CHICAGO, (ff>—Three bills from
the missing $303,702 portion of
the Greenlease ransom money
have been found in Chicago.
Donald Hostetter, FBI chief in
Chicago, in announcing this today
said the search is continuing and
asked the general public to join
in the hunt. #
A woman clerk in the Federal
Reserve Bank of Chicago spotted
one $20 bill that was part of the
ransom bundle. That started a
thorough check of $10 and $20
bills. Federal Reserve Bank em
ployes and FBI agents teamed up
in the task of checking over the
thousands of bills in the bank.
The result was the recovery of
two more bills, all of $20 denom
ination.
The Chicago recovery was the
largest at one time thus far. One
$20 bill wag found Aug. 4 in
Minot, N.D., two bills were found
this week in the Federal Reserve
Bank of St. Louis. Tracing the
money has led to the theory that
the cash may have been put in
circulation by carnival workers.
Bobby Greenlease, 6, was kid
napped Sept. 28, 1053, by Mrs.
Bonnie Heady and Carl Austin
Hall. They confessed they kid
naped and killed Bobby and they
were executed.
Only about half the $600,000
ransom money was recovered by
authorities, although Hall insisted
most of it was in his possession
when he was arrested. Policeman
Louis Shoulders and Elmer Dolan
of St. Louis who arrested Hall
and Mrs. Heady, contended they
turned in all the money they
found in Hall’s luggage. However,
they were convicted of perjury
and were sentenced to prison.
Argentine Congress
Approves Peron’s Plan
To Crush Opposition
BUENOS AIRES, (#)—Congres
sional approval of a “state of
siege” for Buenos Aires today
bulwarked President Juan Per
on’s new drive to crush his op
position.
The all-Peronista Senate unani
mously okayed the bill last night
after the Peron-dominated lower
house voted it through 109-12 in
compliance with Peron’s demand
for emergency powers to “annihi
late” his foes.
Peron was expected to affix his
signature today, transforming into
law the measure affecting the
capital’s 3Vz million citizens. The
whole country was placed under
a state of siege for 13 days after
the unsuccessful navy revolt
against the government June 16.
The new restrictions applied only
to Buenos Aires, however.
It appeared the chief effect of
the measure would be psycho
logical since Peron already had
the special powers under a “state
of internal war” clamped on the
country in September, 1951, after
military men staged another abor
tive revolt.
i 40 Million Cars On
Highways Expected
Over Labor Day
CHICAGO, OP) — Summer’s last
long weekend lured motoring
millions to the highways today.
Other millions traveled by train,
airplane, bus and excursion
steamer for outings over the
three-day Labor Day holiday.
The National Safety Council
estimated that 40 million cars will
be on the move sometime over •
the holidays.
This traffic clot, the Council es
timates, will kill off 400 persons
between 6 p.m. tonight and mid
night of Labor Day. Other hun
dreds will be injured.
Such a toll would be 15 more
than were killed in a compar
able non-holiday period of 78
hours surveyed by the Associated
Press. The AP counted 385 traffic
deaths between 6 p. m. Friday,
Aug. 19 and midnight Monday,
Aug. 22. The Council said its 400
estimate was 100 more deaths
than would occur on a non-holi
day weekend.
Israel and Egypt Observe
Conditional Cease Fire
JERUSALEM, (#> — One minor
incident was reported along the
tense Egyptian - Israeli frontier
last night after Israel announced
conditional acceptance of an ap
peal to end the fighting.
An Israeli military spokesman
at Tel Aviv said Egyptian infil
trators blew up a well shortly be
fore midnight near Yad Morde
chai, an Israeli settlement north
east of the Egyptian-held Gaza
strip.
It was in the Yad Mordechai
area that Israel yesterday claimed
two Egyptian jet fighters were
shot down by Israeli planes.
Israel last night announced ac
ceptance of a U.N.-proposed cease
fire, providing “all attacks by
Egyptians in whatever form will
cease.”
A spokesman for Egypt’s Pales
tine department said in Cairo that
Egypt has not replied to the bid.
But he announced that Egyptian
troops have been ordered to ob
serve a cease-fire.
Seneca Nation Sticks
To Original Terms of
Treaty With U.S. Gov’t
SALAMANCA, N. Y., Uf)—The
government will make its annual
distribution of “treaty cloth” to
day and Saturday to Indians of
the Seneca nation.
Each inhabitant of the Alle
ghany and Cattaraugus reserva
tions will receive two yards of un
bleached sheeting.
These yearly payments are re
quired by a 1794 treaty between
the U.S. and the Seneca nation.
The Indians twice have rejected
government offers to settle the
account with a lump-sum pay
ment.
“Who can determine the price
of something which is guaranteed
by the solemn word of the United
States as being forever?” asked
Leo Cooper, president of the Sen
ecas.