E£ NOME NUGGET
OLDEST NEWSPAPER 1N ALASKA—MEMBER ASSOCIATED PRESS_
VOL. LX No 31 NOME, ALASKA, WEDNESDAY, MARCH 12, 1958 Per Copy—15*
Eisenhower Will Wait A Month Before
Recommending Anti-recession Tax Cut
WASHINGTON, Iff) — Republi
can congressional leaders said
yesterday President Eisenhower
has decided tq wait at least a
month before determining whe
ther to recommend any anti
recession tax cut.
Rep. Martin of Massachusetts,
the House GOP leader, said Re
publicans attending a White
House meeting with Eisenhower
voiced no opposition to that de
cision.
The congressional group met
with Eisenhower to discuss means
of bolstering the nation’s econ
omy as Secretary of Labor Mit
chell was announcing that unem
ployment climbed to around
5,200,000 in mid-February — an
increase of about 700,000 over
January.
Mitchell, addressing an AFL
CIO conference, said tax reduc
tion would be “the next big step”
if business does not pick up.
Senate Democratic leader Lyn
don Johnson, however, told re
porters at the capitol that as of
now he is “not prepared to em
brace a tax cut.”
The White House meeting was
held against the background of
Vice President Nixon’s assertion
that he would prefer an across
the-board tax cut to any new pro
gram of massive spending for
public works.
Martin said he and the other
Republican leaders who met with
Eisenhower feel there should be
a month’s wait before deciding
about taxes. In the meantime, he
said, they would find out whether
other steps recommended by the
President will solve the problem.
Johnson did not draw a line
against eventual tax reduction by
the Democratic-controlled Con
gress. But he said it would be up
to Speaker Rayburn and other
House leaders to signal when they
believe action is needed in this
field.
No Decision On Tax Cut
Seen Until Future Course
Of Economy Is Clarified
WASHINGTON, (JV- Secretary
of the Treasury Anderson said to
day the administration will make
no decision on any anti-recession
tax cut until “the future course
of the economy has been clari
fied.”
Anderson read newsmen a pre
pared statement dealing with the
business slump after he and
other government economic ad
visers concluded a conference
with President Eisenhower.
Anderson said his statement
had been approved by Eisen
hower.
“No decision regarding taxes
has been made,” Anderson said.
“Whatever decision regarding
taxes is taken will be reached
only when the impact of current
developments on the future
course of the economy has been
clarified and after consultation
with congressional leaders.”
Replying to a question, Ander
son said he would expect to con
fer with the leaders of both major
parties.
Big Timber Corp.
Nears Decision
On Juneau Plant
SEATTLE, Iff* — Giant Georgia
Pacific Corp., which holds timber
reserves of 12 billion board feet,
is nearing a “yes or no” decision
on whether to go ahead with Al
aska pulp operations which would
give it another billion feet of
hemlock.
Robert B. Pamplin, president of
Georgia Pacific, told the Post
Intelligencer yesterday that pre
liminary studies of a potential
pulp operation at Juneau will be
finished April 15.
The company has a temporary
agreement with the United States
Forest Service under which it
could get cutting rights to huge
stands of pulp timber in south
eastern Alaska. A pulp mill must
be erected by 1960 under the
agreement.
However, the company must
make definite commitments on
certain phases of the project this
year or risk loss of the perman
ent contract.
Pamplin said Georgia Pacific
“is right up to the point now of
deciding which way we are going
to go” on the Juneau proposition.
Nome Tourists Discover
Dial Phones At Diomede
Diomede Island has dial phones
it was discovered by Nome tour
ists who made the increasingly
papular Wien flight last weekend
to this remote island village.
While crawling around visiting
in the small island homes, Mary
Honsberger had a first hand dem
onstration on how to use a dial
phone by Big Mike, who is in
charge of the Assembly of God
Church there. The phone system
connects his home with that of
Aaron Milligruk and another
house.
Demo Representative Passes On
WASHINGTON, (R)—Rep. John
J. Dempsey (D-NM), former gov
ernor of New Mexico and Under
secretary of the Interior, died last
night from effects of a virus in
fection. He was 78.
His death reduces the Demo
cratic House majority to 233,
against 198 Republicans and four
vacancies.
King Islanders
Petition City
For Electricity
At the City Council meeting
Monday night they received a
petition from the residents of
King Island Village for an ex
tension of the power lines to that
area. The petitiori was signed by
29 residents of the east end.
The bowlers organization, thru
their representative A1 Hafer-,
becker, requested the city to have
the old gymnasium at Nome
Field turned over to the city so
that necessary repairs may be
made.
One bid was received for Lot
24 in Block 91 for the sum of
$201 by John Marvick. There
were no bids on the other two
lots advertised so they are now
open for purchase from the city.
Judges for the April city elec
tion were appointed. They • are:
Fred Rohn, Loretta Waldheim,
Borgne Reader. Clerks will be
Edna Nelson and Anne Snyder, j
Molitor and Doremus were au
thorized to make the annual audit
of the city clerk’s books.
The deadline for delinquent
taxes was advanced to July 15.
Seven Persons Dead
From Do-It-Yourself
Gas Heater Installation
FRESNO, Calif., (/PI—A sheriff’s
deputy found the bodies of seven
persons and a dog when he kicked
open the door of a tightly shut
home here last night. They had
been asphyxiated by a butane gas
stove.
The victims had evidently been
dead since Saturday night.
Dead were Mr. and Mrs. Luke
Vaughn, about 50, and their 16
year-old daughter, Gale; William
Harris, 52, his wife, Jeanette, 45,
their daughter, Mrs. Beatrice
Galloway, and a girl about two
years old, believed to be Mrs.
Galloway’s daughter.
Also dead was a small dog but
two other dogs in another part
of the Vaughn home survived.
Sheriff’s Lt. Robert Saum
found the bodies when he went
to the house at the request of
Vaughn’s employer when the man
failed to show up for work Mon
day.
All the windows and doors
were tightly closed, he said, and
a new heater was in place “but
apparently no ventilator had been
rigged for it.”
He said “It looks like a case of
do-it-yourself backfiring.”
Herbert Bishop, 87, Who Helped
Engineer Alaska Highway, Dies
WASHINGTON, (A — Herbert
Kenney Bishop, 87, former dep
uty commissioner of the Bureau
of Public Roads, who helped en
gineer the Alaska Highway, died
here Monday.
Bomb Without Atomic Warhead
Explodes Near S. Carolina City
-. <
Fire Completely Destroys
John McNees Residence
During Blizzard Yesterday
A fire destroyed the John Mc
Nees residence on Belmont, Pt.
yesterday morning at about 8:30
during the blizzard which was
then raging.
At the time of the fire, it was
reported that Mr. and Mrs. Mc
Nees and son Roger, were on
their way to town, walking thru
the drifts.
Three fire trucks responded to
the alarm, two from town and
one from the CAA. The fire had
too much of a start however, for
the equipment to do any good,
and the two-apartment residence
was a complete loss.
At the present time it is be
lieved the fire was caused by de
fective heating equipment or
faulty wiring.
The building also housed the
office and shop for the Indian
Arts and Crafts Division of the
Indian Service and used by Don
Burlison, who lost tools, personal
effects and supplies.
Eisenhower To Make
Major Speech March 27
On Reciprocal Trade
WASHINGTON, UP)— President
Eisenhower will make a major
speech in support of the recipro
cal trade program at a bipartisan
rally here March 27.
The rally is being arranged by
the Committee for National Trade
Policy, a group of individuals and
organizations pushing for a five
year extenesion of the 24-year
old reciprocal program.
Meantime, Press Secretary
Hagerty disclosed yesterday that
Eisenhower is considering a sec
ond major speech that would deal
with foreign policy.
World War II Cost Japan
Over 2 Million Killed,
And Half of Its Land Area
TOKYO, — Deputy Cabinet
Secretary Katsuo Tanaka today
told the upper house budget com
mittee that World War II cost
Japan 1,700,000 military casual
ties and 168,000 civilians working
for the Japanese armed forces.
Loss of territory — including
Formosa and Korea—amounted to
about 48 per cent of the Japanese
empire, he said, and the economic
loss came to 23.3 per cent of Jap
an’s prewar wealth.
Prince Needs Job, Will Travel
LONDON, UP)—An unidentified
prince advertised for a job in the
Times today:
“Young European prince, well
educated, traveled, four lan
guages, with ability and excellent
connections, seeks occupation.”
> By AL LANIER
FLORENCE, S. C., UP) — An
atomic bomb dropped accident
ally near Florence yesterday from
a B-47—but without the deadly
warhead that could have laid
waste this city of 30,000.
The bomb exploded from the
force of the TNT within it, com
pletely shattering all parts of th»
bomb. There was a terrific ex
plosion, but without the warhead
there was no nuclear blast.
Nobody was killed. Six were
hurt.
The Air Force, which allowed
newsmen and photographers into
the area today, again dispelled
any fear of radiation which may
have occurred. A spokesman said
the area was checked last night
and again this morning.
The six persons were injured,
none seriously, when the bomb
landed 100 yards from the resi
dence of Walter Gregg. The Gregg
home was shattered and six other
houses and a church were dam
aged. The blast left a crater 50
feet wide and 20 feet deep and
scores of shorn pine trees.
The Air Force said several
larger pieces of the highly secret
bomb were carried off yesterday
by curiosity seekers before the
area was roped off. The Air Force
issued a plea that these pieces be
returned.
The Air Force officially de
scribed the bomb as an “unarmed
nuclear device.” It said the device
was released accidentally because
of “malfunction of the plane’s
bomb lock system.”
The Air Force said the remote
danger of radiation contamina
tion could arise only from scat
tered nuclear materials.
In Washington, Rep. Rjvers (D
SC) said he would seek restitu
tion for damage occurring in such
mishaps.
“When they start dropping
bombs on South Carolina, it’s ev
erybody’s business,” he said.
Bronx PTA President
Socks Son’s Teacher
NEW YORK, UP—The president
of the Parent-Teachers Associa
tion of a Bronx public school was
held on $500 bail yesterday on a
charge of punching her son’s in
structress.
Mrs. Rose Sceusa, 48, was
charged with assault after alleg
edly hitting Mrs. Anne Weissman,
a fourth grade teacher, during an
argument in the school’s recreat
tion room.
Police said the teacher refused
to permit Mrs. Sceusa’s son,
Jerry, 9, to enter class until a
permit was obtained from the
principal. The boy had been ab
sent in the morning.
The principal’s office filed the
assault complaint.
■■ Thursday, March 13 Mjjt 11 1 door prize
20 Nenana Ice
8 to 12 p.m. I Will Kill K Classic Tickets
Pioneer Hall ™ A> Admission — $1.00
_ EVERYBODY WELCOME! WEAR WHAT YOJ __