ss NOME NUGGET
OLDEST NEWSPAPER IN ATJisgA —MEATRER ASSOCIATED PRESS
VOL. LX No. 93 . NOME, ALASKA, MONDAY, AUGUST 4, 1958 Per Copy—15c
Drug Makers To
Fight Govt. Price
Fixing Charges
WASHINGTON, UP) — Two
major drug manufacturers say
they will fight government
charges that they conspired to
fix the prices of wonder drugs.
Others named with them also
deny the allegations.
The denials came after the
Federal Trade Commission an
nounced Saturday the filing of
complaints against six firms
which make a group of antibio
tics called tetracyclines.
The FTC said the companies
have an absolute monopoly in
sale of tetracyclines, which in
clude aureomycin, terrabycin
achromycin. These drugs, de
veloped within the past decade,
attack a wide range of disease
breeding microbes.
The agency said the tetracy
clines are the biggest selling anti
biotics. One estimate mentioned
by the commission said 750 mil
lion dollars was spent on wonder
drugs last year.
Charges of fixing wonder drug
prices at arbitrary and noncom
petitive levels were filed against
thes Yirms:
Chas. Pfizer Co., American
Cyanamid Co., Bristol-Myers Co.,
and Olin Mathieson Chemical
Corp., all of New York City;
Bristol Laboratories Inc., Syra
cuse, N.Y.; and the Upjohn Co.,
Kalamazoo, Mich.
Frederic N. Schwartz, president
of Bristol Myers, said the FTC
charges are baseless. He prom
ised to fight them “with all the
resources at our command.”
Dr. E. Gifford Upjohn, presi
dent of Upjohn, said officials of
his company are convinced the
charges are completely un
founded. He, too, promised a
battle to “prove conclusively that
these charges are untrue.”
Wm. Randolph Hearst
Visiting the 49th State
SEATTLE, UP — William Ran
dolph Hearst Jr., accompanied
by Bob Considine, Hearst head
line service correspondent, are
scheduled to leave here by plane
today for an aerial tour of Alaska.
They are due in Fairbanks at
3:35 p.m. aboard the inaugural
flight of Alaska Airlines’ “Golden
Nugget” service.
After their stay in Fairbanks,
Hearst and Considine will visit
Anchorage and Juneau and also
make side trips to other Alaska
points.
“The Hearst newspapers have
been one of the greatest boosters
for statehood for Alaska,” said
Hearst. “And it is about time
I had a close look at our next
state. We want to meet the
people of Alaska.”
Museum Gets Flag
WASHINGTON, (A — The flag
which flew over the U. S. capitol
when President Eisenhower signed
the Alaska statehood bill on July
7 is being given to the Alaska
Historical Museum at Juneau.
Delegate Bob Bartlett said Sat
urday he has sent the flag to
Edward L. Keithahn, museum
curator. It was presented to
Bartlett by Rep. John McCor
mack, House Democratic leader,
together with a letter from the
capitol architect attesting that it
was the flag then flying over the
capitol.
President Vetoes
Big Independent
Offices Measure
j
WASHINGTON, UP) — Presi
dent Eisenhower today vetoed
a bill carrying 6Vi billion dol
lars for 17 federal agencies. He
said over 500 million dollars for
the Civil Service retirement fund
was not needed.
In returning the bill to Con
gress, Eisenhower said he was
doing so:
“Because of my strong con
viction that Congress should re
consider its action appropriating
over a half billion dollars not
presently needed in the Civil
Service retirement and disability
fund.”
“There is no sound justifica
tion whatever for adding unne
cessarily over half billion dollars
to a deficit which may reach 12
billion dollars this fiscal year.”
It was Eisenhower’s first veto
of an appropriations bill since he
took office in 1953.
About five billion dollars of
$6,584,169,900 in the bill are ear
marked for the Veterans Admini
stration. The measure is known
as the Independent Offices Bill.
RCAF Planes Search
For Missing Light Plane
EDMONTON, UP) — Five RCAF
aircraft today fanned out over the
Alaska Highway in the Southern
Yukon to begin the sixth day of
a search for light aircraft missing
with three persons aboard.
E. L. Gregg of Firebaugh,
Calif., pilot of the missing plane,
and his wife and daughter, left
Ft. Nelson, in northeastern B.C.,
last Tuesday on a 335-mile flight
to Watson Lake, Y.T.
RCAF officials here said search
aircraft are making track crawls
over the missing plane’s flight
along the Alaska Highway but
have made little progress in the
search after covering 26,570 miles.
Two civilian aircraft and a
helicopter have also been used in
the hunt. The Gregg plane was
reported to have supplies for
two weeks on board.
I Sputnik Rocket
Lands in Mongolia,
Not in Western U.S.
MOSCOW, UP — The big rocket
stage of Sputnik I nearly came
home to die in Russia’s own back
yard and not in the Western
United States, a U.S. scientist
told a meeting today of the In
ternational Geophysical Year
Committee.
This marked the latest chapter
of the missing rocket. There
had been some mystery as to
where the third stage of Russia’s
first space satellite fell like a
flaming meteor.
The Soviet Union first said it
fell over Alaska or the West
Coast of the United States. Pre
mier Khrushchev declared the
United States would not give it
back to the Russians.
Instead, the Sputnik probably
fell in outer Mongolia with frag
ments of the broken rocket pos
sibly spreading over Eastern
Russia and the Chinese mainland,
said Dr. Robert Jasterow of the
Naval Research laboratory in
Washington.
Jasterow! pinpointed the prob
able grave at latitude 55 degrees
north and 106 east longitude and
the time at 3:46 a.m. EST, Dec.
1.
Jasterow said this was based on
careful calculations from radar
fixes of the last five days of the
rocket’s flight.
It was not known where Sput
nik I—a sphere—came down,
Jasterow said.
Amputee Hobbles From
Railroad Track to Hospital
GRAND RAPIDS, Mich., UP>—
A h*ubcap dropped off as James
Riste, 32, drove over a railroad
track today. When Riste got out
to retrieve it, his foot caught
under a rail.
Seconds later a Grand Trunk
passenger train roared past bound
for Muskegon from Detroit.
Riste’s left leg was severed be
low the knee.
He hobbled to his car and
drove six blocks to a hospital.
Follwing surgery Riste was re
porter in fair condition.
Prince Rupert, B.C., Centennial Erupts
In Free-for-all Over Liquor Restrictions
PRINCE RUPERT, B.C., lff»—
Rocks and bottles filled the air
here early Sunday morning when
a crowd of celebrants took excep
tion to the arrest of a man and
woman fighting on a downtown
street..
The exception soon exploded
into a full blown riot when the
altercation attracted nearly 1,000
persons.
According to police the out
break started when two officers
arrested the squabbling couple.
Spectators objected and began
following the police and their
prisoners toward the jail.
Then, things snowballed. Soon
hundreds jammed the streets of
this Northern British Columbia
coastal community throwing any
thing they could lay their hands
on.
Reminiscent of a Mack Sennet
comedy, the cops hollered for
help. The rest of the 30-man
Royal Canadian Mounted Police
arrived, then 12 militiamen, and
the local Marine patrol. Finally,
the fire department rolled up in
its truck.
The truck was parked between
the crowd and the jailhouse.
The hose unrolled and the mob
treated to a dousing.
Mayor Peter J. Lester was
rousted out of bed. Ducking
rocks and flying bottles, his honor
read the 18th century riot act,
which provides terms up to life
imprisonment for rioters.
The thought apparently didn’t
disturb the rioters, but 15 tear
gas bombs did the trick.
The mayor blamed the disturb
ance on Indian resentment of the
B.'C. liquor act which prevents
them from drinking beer any
where but in a tavern.
However, RCMP Inspector Bert
Bloxham said overindulgence dur
ing the week-long celebrations of
the province’s centennial caused
the riot. When the dust had
settled and the crowd dispersed,
20 persons including five police
men, had been injured, none
seriously. Twenty-two went to
jail.
Khrushchev and Chinese Chief Express
Full Solidarity on Middle East Crisis
MOSCOW, UP) — Soviet Premier
Khrushchev returned last night
from unity talks in Peiping with
Chinese Communist chief Mao
Tze-Tung. Khrushchev’s latest
summit reply to the West was
expected today but there was no
indication he would demand that
Mao attend the top-level talks.
The two top men of the- Com
munist world revealed their four
day secret meeting to a surprised
world yesterday in a 1,500-word
communique again demanding a
summit conference without delay
—the first one of Russia’s many
summit appeals to the West in
which Mao has joined.
Khrushchev' and Mao presum
ably spent much of their time
coordinating Communist policy
for the big-power meeting, now
expected to be held by the U.N.
Security Council in about two
weeks at New York or Geneva.
But the joint communique
made no demand for a seat for
the Red Chinese at the same table
with the Western leaders.
The Soviet premier made the
original/Mid East summit con
ference proposal on July 19, ask
ing for a meeting of the heads of
the governments of the United
States, France, Britain, the Soviet
Union and India along with U.N.
Secretary General Dag Hammar
skjold.
This apparent disregard of the
Peiping government may have
raised violent objections amon^
the Chinese Reds and forced
Khrushchev to go off to Peiping
and placate his Chinese allies
But in their joint statement.
Khrushchev and Mao expressed
complete solidarity on the MiddL
East crisis and the international
situation as a whole.
They accused the West of ob
structing a summit meeting,
charged the United States and
Britain with “flagrant aggres
sion” by sending troops to Leba
non and Jordan and reaffirmed
their “fraternal relations or
friendship, all-around cooperation
and mutual assistance.” Mao
seconded Khrushchev’s previous
demand for the immediate with
drawal of U.S. and British troops
from Lebanon and Jordan.
Mother Admits
Burying ‘Missing’
6-Month-old Baby
MONTESANO, Wash., US’) — A
twice-married 21-year-old mother
who has been pleading for the
return of her missing baby, ad
mitted early today she had buried
the infant where it was found
under the porch of the family
home.
The body of -month-old
Joyce Palmer was found by
seachers yesterday afternoon af
ter a four day hunt in a shallow
grave at the home of Mr. and
Mrs. Edward Palmer at nearby
Porter.
The mother, Mrs. Darlene
Palmer, broke down under inten
sive questioning by sheriff Rich
ard Simmons and FBI agents and
said she had panicked after
Joyce died from unknown causes.
The admission, made in the
presence of her 19-year-old
husband, left him dazed and con
fused, Sheriff Simmons said.
Both were lodged in the Grays
Harbor County jail here under
open charges.
The Palmers have another 18
months-old child now being cared
for by relatives. Palmer, whom
she married in 1956, is Mrs.
Palmer’s second husband. She
was married at 15 but the union
ended in divorce.
Search has been conducted for
the infant since Mrs. Palmer re
ported last Wednesday she was
knocked unconscious by a mys
terious assailant. The baby, she
reported, was gone when she re
vived.
SUNDAY BALL SCORES
National League
Milwaukee 4-6, San Francisco 3-0
Philadelphia 8-10, Chicago 2-12
Los Angeles 8-1, Cincinnati 6-3
Pittsburgh 2, St. Louis 0
American League
Chicago 3-4, New York 1-0
Boston 3-4, Cleveland 2-2
Detroit 3-4, Baltimore 2-1
Kansas City 12-3, Washington 0-4
Pacific Coast League '
San Diego 9-7, Sacramento 5-3
Vancouver 7, Seattle 0
Phoenix 8, Portland 5
Salt Lake City 11, Spokane 0
Teamster Official
Badly Burned As
Human Torch
PONTIAC, Mich., Uft—A Team
sters Union official, who testified
last fall before Senate Racket?
investigators, was dumped on ?
hospital lawn today with burm
over 85 per cent of his body
Police said 56-year-old Fran’
Kierdorf, Teamsters busine?'
agent in Flint, Mich., may hav
been a victim of torture—made
a human torch.
Nurses said his partly burned
shoes smelled of gasoline when h
staggered into St. Joseph Mercv
Hospital at 1 a.m. today. Twelv’
hours later his condition was re
ported critical.
Kierdorf is the nephew of a^
other Teamsters Union officia1.
Herman Kierdorf, who testified
last week at the Senate probe in
to reported tieups of racketeer
and unions in the Betroit laundry
business.
Frank Kierdorf was so badly
burned that identification, fin
ally made through fingerprints,
took several hours. Burns h' '
blistered his legs, chest, face and
arms.
He was clad only in a bathrobe
which attendants said had been
placed on him after he w ~
burned. His hair was burned or!.
A car sped away from the hos
pital entrance as Kierdorf satg
gered to the entrance.
Kierdorf, delirious and i i
severe shock, refused to give h ?
identity. Saying only “John Do
of Washington,” or “I don’t re
member.”
But sheriff’s dectective said sev
eral times he mumbled, “no, no
you don’t . . . don’t do it, John,”
indicating he may have been set
afire deliberately.
Both Frank and Herman Kier
dorf invoked the Fifth Amend
ment in their testimony before
the Senate committee.
Herman was described as an
aide to Teamsters Union Presi
dent James R. Hoffa, who is
scheduled to be called before
the committee tomorrow in Wash
ington.