Z£ NOME NUGGET
OLDEST NEWSPAPER IN ALASKA—MEMBER ASSOCIATED PRESS
VOL. LVI No. 32 NOME, ALASKA, MONDAY, MARCH 15, 1954 Per Copy-^L5^
Eisenhower To
Address Nation
On Taxes Tonight
<u
WASHINGTON. ItPI — President
Eisenhower was reported by con
gressional leaders today to feel
that personal income taxes being
urged by Democrats would endan
ger America's economic stability.
The President, who will address
the nation on taxes tonight over
major radio and TV networks,
discussed his tax views with GOP
legislative leaders for about an
hour at the White House.
House Speaker Martin (R-Mass>
talking with reporters afterward,
said tax cuts already made by the
administration this year and those
contemplated during the rest of
the year total about seven billion
dollars.
He added that Eisenhower be
lieves that to “dump another 2Vi
billion dollar cut on top of that
would be straining it too far fin
ancially.”
The House will take up on
Wednesday a tax revision bill
calling for about $1,300,000,000 in
tax reductions without touching
the personal income levy rate.
House- Democrats plan to propose
that income levies be cut by rais
ing individual exemptions $100 a
year from $600 to $700 for each
dependent.
Martin said “grave concern is
felt” that to go beyond the esti
mated seven billion dollars in tax
reductions already made and con
templated would “endanger the
dynamic, progressive program of
the administration and delay bal
ancing of the budget several
years.”
Paroled Lifer
Charged With
$25,000 Robbery
KETCHIKAN OP) — The U.S.
Marshal’s office announced late
Saturday night that James Dun
can, parolee from a life sentence
in New Jersey who once partici
pated in a wartime medical ex
periment in prison, has been ar
rested on charges of robbing a
Ketchikan woman of $25,000 or
more.
The robbery took place New
Year’s Day at the home of Jose
phine Hill, three miles south of
town.
Duncan, who came to Alaska
seven years ago and was adver
tising manager for a Ketchikan
magazine, was paroled in New
Jersey from a life murder sen
tence involving the death of a
hijacker.
The parole was, arranged after
he was among prisoners who sub
mitted to medicines for cure of
dengue fever, a tropical malady
the army was fighting in World
War II.
Officials said Mrs. Hill, who op
erates a bar and liquor store here,
may have lost much more to the
burglar who entered her palatial
beachside home.
Duncan was held on S60.000 bail
and was scheduled to be arranged
before the U.S. Commissioner to
day.
(At Newark, N.J., Dr. F. Lowell
Bixby, New Jersey deputy com
missioner of institutions and
agencies, said Duncan was pa
roled in 1946 after the dengue
fever experiments were complet
ed but that his parole was not a
direct result of his participation
in the experiment).
U.S, Tin Co. to be Among Targets
Of McCarthy Inquiry Into Claims
Of Corruption in Gov’t Operations
WASHINGTON, UP)—Sen. Mc
Carthy said Friday his Senate In
vestigations subcommittee will be
gin soon a study of “claims of
bribery, corruption and fraud” in
government operations in Alaska
under the Truman administration.
McCarthy disclosed plans for
the inquiry during a television ap
pearance previously recorded on
film, with Commentator Fulton
Lewis Jr.
He said that among other things
the subcommittee will inquire into
operations of the United States
Tin Co. He added that United
States Tin obtained “several mil
_ lion dollars” from the government
to mine tin after assurances that
it could produce water, essential
for the mining operation, at the
rate of 240 gallons a minute.
The senator then displayed a
letter he said a company official
wrote the government, telling
them “the only water 'in sight yet
is my tears.”
Up until two months ago, Mc
Carthy said, no tin had been pro
duced by the company in its Alas
kan project.
McCarthy also said William E.
Warne, assistant secretary of the
(Continued on Page Two;
Rebels Make Do-or-Die
Effort to Drive French
Out of N.E. Indochina
HANOI, Indochina, UP)—A furi
ously savage battle raged into its
third day today around the big
French Union fortress of Dien
Bien Phu. The Vietminh rebels
hurled thousands of their best
troops into a do-or-die effort to
drive the French out of northwest
Indochina before the Geneva
conference.
A three-hour cease-fire inter
rupted the fighting Sunday morn
ing while both rebels and French
carried their dead and wounded
from the battlefield. The French
claimed at least 1.000 rebels killed
in the initial assault Saturday
night and early Sunday, and ad
mitted their own losses were “ap
preciable.”
The French High Command said
the Union forces bad the “situa
tion well in hand” and were hold
ing solidly against the “very vio
lent” rebel attack.
A French spokesman predicted
the fighting would last several
days.
Nanooks Place
Second In Western
Alaska Tourney
The Nome Nanooks were run
ner-up in the Western Alaska B
championship tournament held in
Fairbanks last week. They were
knocked out of the finals by a
very tough Kodiak Navy team last
Saturday evening 51-43.
The boys returned yesterday
with the runner-up trophy and
miniature trophies will be sent
later to Gordon Swanberg, Bobbie
Herman and George Kost, who
were named to- the All-Star team.
Kodiak Navy placed three men,
Cordova two and one each from
Valdez and Wasilla on the all
star squad.
After losing a thrilling 45 - 44
game to Valdez in the opening
round, the Nanooks bounced back
with wins over Cordova 51-50,
Wasilla 55-33 and Valdez again
55-42.
This brought them up against
the Kodiak team which had been
trouncing all the opposing teams
in the B class. With their star
player Jack Wren averaging near- I
ly 30 points a game, Nome tangled
with them in the first game of the
evening doubleheader.
The Nanooks jumped off to a
quick 4-0 lead in the opening
quarter and kept in front thru
out the period with baskets by
Herman, Bell and Kost and at the
whistle led 12-11.
Running into a tough defense
through the second quarter, Ko
diak held Nome to two baskets
and a free throw while pouring
in 13 points for a comfortable
24-17 lead.
The Kodiak team, most of the
time, had two or three men on
Swanberg which slowed down the
Nanook attack and through the
third quarter Buzzy picked up
three baskets and Mogg two free
throws and that was Nome’s scor
ing for the period. Kodiak came
in for 13 additional points, now
leading 37-25.
In the final period, the Nanooks
managed to get their attack going
in high gear and poured in 18
points while Kodiak hit for 14,
but the lead was too much to
overcome, and Nome fell out of
the tournament 51-43.
Jack Wren, Kodiak's high scor
ing guard was held in check with
5 points, but Johnny Durall ended
up with high point scoring honors
with 18. Others scoring for the B
champions were: Dick Roberts 13,
Archie Lewis 9, and Wally Rob
erts 6.
For the Nanooks, Swanberg 16,
Herman 11, Bell 8, Kost and Mogg
4 points each. Nome High scored
248 points through the five games
while the opposition was hitting
221.
In the five games, the point
total was spread out in this way:
Buzzy Swanberg 86, Bobbie
Herman 71, George Kosf 55, Sam
Mogg 15, Dave Bell 15, Jackie
Muller 4, Chuckie Fagerstrom 2,
and Robert Summers 1.
The season totals will be an
nounced later in the week.
Measure to Provide Commonwealth
Status Instead of Statehood For
Territories to be Introduced Soon
McCarthy Vows
He Will Continue
His Fight with Reds
MILWAUKEE, UP) — Sen. Mc
Carthy embroiled in one of the
most furious fights of his career,
left Wisconsin yesterday after a
weekend in his home state, ten
aciously determined to fight Com
munism his way “as long as I am
in the United States Senate.”
Since he flew in here during
an icy gale Friday night with his
wife, the senator:
... L Announced he would step
aside as chairman of his Senate
investigations subcommittee and
testify himself on the Cohn
Schine-Stevens imbroglio.
2. Told an audience of busi
nessmen he would press his in
vestigations into alleged internal
Communism no matter “how high
or low those are who scream at
what we are doing;” this, even
while Vice President Nixon, in a
nationwide broadcast, was deplor
ing the “reckless talk and “ques
tionable methods” o‘f men who
had been doing “effective work
in exposing Communism.”
3. Scored the “shouting and
hullabaloo of the past week” and
told newsmen he wants answers
to his questions in the Maj. Irving
Peress case.
“I think the American people
are getting awfully sick and tired
of the constant yak-yakking to
the effect that we haven’t been
gentle enough with the Commun
ists and their protectors,” said
McCarthy in a press conference at
Appleton shortly .before flying
back to Washington.
“As long as I am in the United
States Senate, and I hope it is a
long time,” he said, “I don’t intend
to treat traitors like gentlemen.”
I
Intelligence Head
Says “We Tell
Russia To Much”
WASHINGTON, (51—America’s
top intelligence executive said to
day: “We tell Russia too much.”
Director Allen W. Dulles of the
Central Intelligence Agency de
clared in an interview in the
weekly news magazine, U.S. News
and World Report:
“We Americans publish a great
deal in our scientific and techni
cal journals and in congressional
hearings . . .
“I would give a good deal if
I could know as much about the
Soviet Union as the Soviet Union
can learn about us by merely
reading the press.
“Sometimes I think we go to
far in what our government
gives out officially and in what
is published in the scientific and
technical field. We tell Russia too
much.”
Dulles is a brother of Secretary
of State John Foster Dulles.
> WASHINGTON, UP>—Sen. Mon
roney fD-Okla) said Saturday he
and other senators will propose a
substitute 'bill to provide common
wealth status for the Hawaii-Alas
kan statehood bill early next
week.
Puerto Rico is the only United
States’ possession now having
commonwealth standing.
The development was seen as
a move to delay action on the
statehood bill. There was doubt
that the commonwealth plan
would carry, with the Senate ex
pected to vote for or against
statehood.
As commonwealths, Monroney
said, Alaska and Hawaii would be
relieved of federal income taxes,
and any taxes imposed by their
legislatures would be spent within
the territories. They would also
elect their governors and judges.
The legislatures already are
elected.
Sen. Holland (D-Fla), who fa
vors statehood for both Alaska
and Hawaii, said today he be
lieves there are sufficient votes
in the Senate for the bill to pass,
but that he fears a jam of other
legislations might have a telling
effect.
March 15 Had No
Particular Significance
B.I.T. (Before Income Tax)
WASHINGTON, UP — Oh, for
the good old days when there was
no income tax, or at worst it was
nothing much to sneeze at.
The good old days are pre
1913, for that’s the year the Con
stitution acquired amendment No.
16:
“The Congress shall have power
to lay and collect taxes on in
comes, from whatever source de
rived . . .”
This supreme law of the land
is the grand-daddy of your agon
ized figuring today, if you haven’t
filed already, to meet the mid
night deadline with the revenue
collector.
And you can be politically im
partial with your hard feelings,
the amendment was officially pro
posed in 1909 by President Taft,
Republican. It was first put into
practice four year later by Presi
dent Wilson, Democrat.
Three Twisters Kill
Eight Persons In Georgia
ATLANTA, UP)—A small army
of soldiers, airmen and civilians
today formed a cleanup task force
in the wake of weekend tor
nadoes which killed eight persons
in central and west Georgia and
did more than 23 million dollars
damage in property.
Three separate twisters whirl
ed out of the night Saturday and
carried their lethal force into
Macon, where three died; to a
rural area near the central Geor
gia city, killing three others; and
to Lawson Air Force Base, ad
joining Ft. Benning, where two
others were killed.