THE NOME NUGGET
Published Monday, Wednesday and Friday by the
NOME PUBLISHING CO.
NOME, ALASKA
E. P. BOUCHER . Managing Editor
CLINTON GRAY . Production Manager
Telephone Main 125 $1.50 PER MONTH
P.O. Box 618 $16.00 A YEAR
Entered as second class matter October 14, 1943, at the
post office at Nome, Alaska, under Act of March 3, 1879.
Subscribers not receiving their paper ;by 5:30 p.m. call
Main 125 for special delivery. After 5:30 call Black 102.
BRINGING THEM INTO FOCUS
I
I
CAB Orders Re-examination of
Pan American Airways Mail Subsidies
By VERN HAUGLAND
(AP Aviation Reporter)
WASHINGTON, UP) — The Civil
Aeronautics Board yesterday or
dered Pan American World Air
ways to return $5,936,000 out of
$11,402,000 in mail pay granted
for transpacific operations in
1954.
The board said its earlier es
timate of the airline’s subsidy
needs had proved to be “inac
curate.”
In a separate order the CAB
made known plans to re-examine
possible subsidy overpayments of
GVz million dollars to Pan Amer
ican from 1946 to 1953.
The board said an audit, not
yet completed, has revealed for
the first time many practices of
Pan American which require
“scrutiny.”
It said these involved, among
other things, agreements and
transactions with other foreign
and American-flag airlines, and
the charges that resulted from
them.
“Much of the newly developed
information has most serious im
plications concerning the reason
ableness of the mail rates estab
lished for the carrier, not only
for the year 1954, but for the
years 1946-1953 as well,” the
CAB said.
WEATHER REPORT
Compiled by the
U.S. Dept, of Commerce Weather Bureau
Continued fair tonight and Sat
urday, with occasional patches of
fog. Temperatures falling tonight
to around 15 below, rising Satur
day to 5 to 10 degrees.
Nome data last 24 hours as of
7 a. m. today:
Precipitation, trace. Month to
tal .58 inches. Temperatures: high
est 21, lowest -9. Maximum wind
10 miles an hour from the west.
Sunrise at 5:56 a. m., sunset at
6:24 p. m.
“In the light of specific infor- ■
mation which indicates that for ■
the 1946-1953 period alone Pan,
American’s properly recognizable j
expense, which was underwritten j
with subsidy, may have been over- j
stated by as much as 6 Vi million I
dollars, we think it clearly our i
duty and responsibility to re
examine, in the public interest,
the mail pay awarded in this pro
ceeding.
“Moreover, our duty in this re
spect is plainly evident when it
fs considered that transactions
between Pan American and its
affiliates aggregate some 50 mil
lion dollars annually.”
Pan American has asked the U
S. Court of Appeals for the Dis
trict of Columbia Circuit to re
view a CAB order of last March
23 establishing its “final” mail
rates for transatlantc operations.
The CAB said in view of the
results of its audit, it would ask
the court to remand that proceed
ing, so that it could be reopened.
Teamsters Boss Brewster
Placed First on Federal
Court Arraignment List
WASHINGTON, UR — Frank W.
Brewster, West Coast teamsters
boss, pleaded innocent to contempt
of Congress charges when ar
raigned today in Federal District
Court.
Brewster, who also is a vice
I president of the 1,500,000-member
teamsters union, was put at the
top of the arraignment list in
order to permit him to be on time
for continued quizzing by the
Senate Rackets Investigating
Committee on his use of team
ster funds.
The contempt of Congress
charges arose from an earlier in
quiry, in January, by Aie Sen
ate Investigations Subcommittee.
Brewster and the others refused
to testify, contending the sub
committee had no authority to ex
plore labor union activities.
Gov. Disposes of
Bills From Leg.
Ey WILLIAM J. TOBIN
JUNEAU, UP> — Acting Gov.
Waino Hendrickson vetoed Wed
nesday a bill to increase the size
of the Territorial Water Pollution
Control Board.
It was the sixth veto of the
23rd sessin. The bill, intrduced
by the Senate Cmmerce and In
dustry Committee, would have
increased the present 5-man board
by the addition of a public mem
ber and the director of the Alaska
Fisheries Board.
The board now is composed of
the Alaska Board of Health which
wuld have continued to sit on the
expanded water pollution board.
Hendrickson called the bill
“partly inoperable,” and said it
would create confusion. One of
his main objections was the pro
vision to include the director of
fisheries on the board. Under
terms of a bill which already has
been enacted, the Fisheries Board
is abolished in favor of a new
fish and game commission.
Also, the bill says the public
member shall be appointed—but
does not set a date for the ex
piration of this term, other than
sometime during the course of
the 1959 Legislature.
The budget to carry territorial
agencies and departments to the
start of the new fiscal year on
July 1 was signed by the acting
governor.
The budget amounts to $1,491,
102.41. It provides funds for April,
May and June of this year'. At the
end of June, all agencies of the
territorial government will begin
a new fiscal year. In the past,
appropriations, including the 1955
57 budget, ran through a fiscal
year which ended the last of
March. The budget for 1957-59 bi
ennium has not yet been intro
duced in the Legislature.
New liquor exise taxes go into
effect April 1.
The acting governor signed a
bill which raises the present
wholesale taxes on beer, wine
and whisky. It is estimated that
the higher levies will produce
$2,400,000 in new revenue for the
territory each biennium.
The tax on beer goes up from
10 cents a gallon to 25 cents. The
levy on wine jumps from 25 cents
to 50 cents a gallon, and the tax
on liquor increases from $3 a gal
lon to $3.50.
Also signed into law yesterday
was a bill which regulates’ the
operation of hospital and surgical
insurance programs in Alaska.
It requires companies offering
health insurance to register with
the Alaska Insurance Commis
sioner. The bill was endorsed by
several national health insurance
firms.
Earthquakes Damaged 10
New Buildings at Adak,
Says lieturning Officer
KODIAK, Alaska, UP) — An offi
cer who returned Wednesday from
Adak Island said the recent
Aleutian area earthquakes caused
severe damage to about 10 du
plex residence buildings which
were under construction.
He said the contractors were
insured.
He said the main damage to per
sonal property at the Navy in
stallation was breaking of glass
ware on shelves and tables in
living quarters. There was a short
age of water for a time because
of broken lines, but they soon
were repaired.
Heat and electirec service was
interrupted because they depend
on the water supply.
ANTICIPATED
DIVIDEND PER
RATE YEAR
Retroactive to Jan. 1, 1957
First Federal Savings & Loan Assn, of Anchorage
223 East 5th Avenue • Anchorooe, Alaska
Recent Worldwide Earthquakes Laid
To Normal Earth Crust Pressures
(By the Associated Press’
I
SAN FRANCISCO, UP) — Seis- |
mologists insist that earthquakes!
do not come in bunches, but heavy |
tremors in widely separated parts i
of the world have made a lot of j
large black headlines in the past j
three weeks.
Furthermore, they have occurred ,
in quick succession after three j
years of what the experts call
a below normal period of quake
activity.
The sudden flurry began March
1 with a quake in Jamaica which
rated as the heaviest there in a
half century. On March 4 the
San Francisco Bay area, sitting
on top of the world’s best known
•earthquake fault, got a mild to
moderate shaking.
A big quake hit Greece on March
8, destroying. 20 villages. The
next day another one visited that
country, which reported one per
son killed, scores injured, 350
houses wrecked and 10,000 people
homeless.
The Aleutian Islands got the
most violent treatment. On March
9 a temblor about the magnitude
of the one which destroyed San
Francisco in 1906 convulsed the
Aleutian trench, long, deep gash
in the bottom of the north Pa
cific Ocean.
Although this quake centered
well offshore, the islands of Adak
hnd Umnak were badly shaken.
It generated a 7-foot high wave
at Adak. This wave traveled
southward at 50 miles an hour
and caused damage in Hawaii,
2,000 miles distant.
Since then the Aleutians have
had at least 14 major aftershocks
New Insect Repellent
Premises Great Relief
To Alaskans This Summer
A chemical with a tongue
twister name will shortly become
a summer password to Alaskans
seeking the best available insect
repellent.
Diethyl toluamide (pronounced
di-ethyl toe-lu-ameed) is an or
ganic chemical that U. S. De
partment of Agriculture scientists
say is the best all-purpose insect
repellent developed so far. It
should be on the market this
spring under differtn commercial
names. Shoppers can read the
label to see if diethyl toluamide
is present.
The new repellent can be safe
ly aplied to skin clothing or fur.
It successfully protects wearer
against mosquitoes as well as bit
ing flies, fleas, chiggers and ticks.
The USD A scientists cooperated
with the Army in the research
for a long-lasting repellent for
persons who work outdoors.
Diethyl toluamide has a pleas
ant lotion “feel,” the USDA men
say. Earlier repellents applied to
the skin tend lo soak in or rub
off. Diethyl toluamide is at least
twice as long-lasting as next best
repellent used in the “wipe test.”
_every one of them big enough
to have caused enormous damage
if it had hit a heavily populated
area.
The Anchorage Times said the
residents of Nikolski on Umnak
Island were terrified. The vil
lage lies at the base of Mt. Vsevi
dof, a volcanic peak which has
been dormant 200 years. Reports
arose from somewhere that there
were signs of activity near its
top.
A photographer, Ward Wells,
flew near the peak in a Navy plane
March 1, and photographed the
mountain. Wells and Navy fliers
agreed, the Times said, that the
picture showed no signs of vol
canic action.
But the earth there is still
quivering. And it has been quiv
ering also in southern California.
On March 18 a moderate quake
shook Ventura and Oxnard, be
tween Los Angeles and Santa
Barbara.
To the experts, all this means
is a little bulge in the total pic
ture of earthquake activity.
. “It is true,” said Don Tocher,
assistant research seismologist at
the University of California, “that
there has been about three years
of relative quiet so far as big
quakes are concerned. But we still
have quakes all the time, and
when you add up their total en
ergy from year to year the results
do not vary significantly.”
Dr. Charles Richter of the Cali
fornia Institute of Technology also
■noted the lack of large shocks
since 1953 and said a big one
could be expected somewhere on
the average of once or twice a
year because the smaller ons do
not entirely relieve the constant
ly accumulating stresses in the
earth’s crust. But there is no way
of predicting where or when, he
asserted.
Even in the “quiet” period, said
Prof. Frank Neumann at the Uni
versity of Washington, his sta
tion recorded at least 50 quakes
along the Aleutian trench last
year. Sometimes, he added, the
area quiets down; then bigger
quakes follow.
But to all the experts the quiet
periods mean only this: “The far
ther you are away from the last
big quake the nearer you are to
the next big one. But nobody can
figure out where or when the
next one will come.”
ARCTIC SANITARY
SERVICE
PHONE RED 181
If You Want To Rent
A House or Apartment
The Man io See Is . . .
George Hite—Main 123
P.O. Box 123, Nome, Alaska
Modern Laundry & Dry Cleaners
FIRST AVE. & LANES WAY PHONE MAIN 113
EIGHT-HOUR SERVICE
FOR ALL YOUR
PLUMBING & HEATING NEEDS
SEE
MILLER
COMPLETE LINE FITTINGS AND FIXTURES
Phone MAIN 143
Shop Open 8 a.m. to 6 p.m.