2£ NOME NUGGET
OLDEST NEWSPAPER IN ALASKA—MEMBER ASSOCIATED PRESS
VOL. LVIII No. 17 NOME, ALASKA, FRIDAY, FEBRUARY 10, 1956_Per Copy—15*
Japanese Plans for
Alaska Pulp Mill
Get U.S. Backing
TOKYO, UP)—1The Japanese
owned Alaska Lumber and Pulp
Co. today received encouragement
from the government to set up a
pulp mill at Sitka, Alaska.
The backing came in the form j
of a government decision to help!
in securing funds to set up the
mill. The project is estimated to
cost between 40 and 50 million
dollars.
About half of the fund is to be
raised in the U.S. by floating
bonds. The rest is to be raised in
Japan through loans and bond
issues.
Construction on the mill is ex
pected to begin in 1957 and be
completed by the end of 1959.
The mill would employ about
300 persons and bring a new in
dustry to Alaska.
It would be Alaska’s second big
pulp plant.
Automation will be fully used
to run the mill. Most of the em
ployes will be American with only
a few Japanese technicians.
The pulp produced by the mill
will be shipped to Japan, where
there is a shortage of raw mater
ials for artificial fiber.
FIRST PERSON COP SHOOTS
IN 30 YEARS IS HIMSELF
DETROIT li'P)—Detective inspec
tor Charles Searle, a Detroit po
liceman for 36 years, is in a hospi
tal today with an injured foot.
He shot himself when a cocker
spaniel puppy grabbed his leg
while he was cleaning his pistol
at home.
“First guy I shoot in 30 years !
turns out to be me,” Searle said
Man Who Pulled Chair
From Under Companion
Sued for $45,000 Damages
DANVILLE, 111., UPi— An Indi
ana man wants $45,000 damages
for injuries he said he suffered
when his companion at a dinner
pulled a chair from under him.
John Slaughter of Carmel, Ind.,
filed suit in U.S. district court
yesterday against Kenneth Lind
sey of Vienna, 111. The suit said
the incident occurred in a Herrin,
111., restaurant Feb. 9, 1954.
Slaughter said as he and Lind
sey were dining he stood up to be
introduced to another diner. He
charged in his suit Lindsey “wan
tonly and wilfully removed the
plaintiff’s chair,” causing Slaugh
ter to be “lamed and disabled
temporarily as well as suffer per
manent injuries.”
18th Body Recovered
From Workers* Mess Hall
Engulfed by Snowslide
UNAZUK, Japan, iVP)—Six res
cue teams working in a raging
blizzard late tonight recovered
the 18th body from wreckage of
a workers’ dining hall engulfed
by a thunderous morning snow
slide.
Police inspector Sakujiro Todai
said 12 men have been rescued
alive from under tons of snow
and debris. All are employes of
Kansai Electric Power Co. in this
mountain area 140 miles west of
Tokyo.
Todai said 33 men were caught
in the avalanche.
The avalanche came with a
thunderous roar while the work
ers were having tea in the dining
hall. They had no warning.
Legislative Council Meeting Coincides
With Employment Security Hearing
Sen. Charles Jones left today
for a meeting of the Alaska Leg
islative Council in Juneau.
The meeting, to be held tomor
row, was called at the request of
two members of coincide with the
public hearing on Employment
Security called by Gov. Heintzle
man for Monday.
A resolution adopted by the
Senate of the 1955 legislature di
rected the Legislative Council to
study the employment security
program with a view to “enacting
a better employment security act
during the next session . . .”
Other subjects scheduled for
the Council’s consideration are its
studies of tax laws, school laws,
corporation code, and reorganiza
tion. Also, the Council will study
the question of legislation which
may be needed to implement pro
visions of the Mental Health Act
which has passed the U.S. House
of Representatives and is now be
fore the Senate.
Members of the Council in ad
dition to Greuel, Fairbanks, are:
Senators James Nolan, vice
chairman, Wrhngell; Charles D.
Jones, Nome; Earl Cooper, An
chorage; and Ralph Rivers, Fair
banks; Reps. Edith Bullock, Kot
zebue; Wendell Kay. Anchorage,
and Burke Riley, Haines.
Council Chairman Richard J.
Greuel stated it is hoped that in
formation developed at the hear
ing relating to the present dead
lock will aid the Council in its
study.
Special Senate Group Investigates
Donation’s Connection With Oil Bill
WASHINGTON, M—Sen. Case
(R-S<D> told a Senate investigating
committee today that he rejected
a $2,500 campaign fund contribu
tion because it seemed to suggest
an “abnormal interest” in his vote
of the natural gas bill.
Case was the first witness at
public hearings by the special
committee set up to investigate
whether the proffered contribu
tion from Nebraska lawyer John
M. Neff was intended to influence
Case’s vote.
Neff, of Lexington, Neb., has
said he favored passage of the gas
bill but has denied the $2,500
was intended to influence Case’s
vote. Neff was registered with
the Nebraska legislature last year
as a lobbyist for Superior Oil Co.
of Austin, Texas.
Asked by newsmen about the
source of the $2,500, Neff has de
clined to say. He said he had been
able to raise the money “as a
campaign contribution without
any strings attached.”
Case told the Senate committee
the offer of $2,500 from a man he
regarded as a stranger “sort of
took my breath hway” but that he
does not accuse Neff of trying to
bribe him.
Case said the investigation or
dered by the Senate after he pub
licly denounced the offer, is “not
an investigation of a bribe, be
cause no such allegation has been
made.”
The question, he said, as he
understands it, is whether the
profferred campaign contribution
involved an effort “to influence
my decision” in voting on the
natural gas bill.
Case voted against the bill last
Monday when the Senate passed
it after a long debate in which op
ponents contended—and propo
nents denied—that it would mean
billions of dollars to big oil com
panies. The measure, if signed by
President Eisenhower, will lift
direct federal price controls from
producers of natural gas.
Organizing Blueprint
Aimed at Doubling
AFL-CIO Membership
MIAMI Beach, Fla. t/P»—A coast
to coast organizing blueprint,
aimed at doubling the AFL-CIO’s
15 million membership in a few
years, today was proposed to the
merged union organization’s Ex
ecutive Council.
John W. Livingston, AFL-CIO
organizing director, mapped the
the nationwide, member-getting
plan and drafted a multi-million
dollar financing fund.
Livingston, former vice presi
dent of the big United Auto
Workers Union, said in advance
of the council session that
“wherever there is a need for
organizing is where we will be.”
Details were kept secret, but
Livingston has already indicated
that primary organizing targets
will be “white collar” workers,
including federal, state and city
government workers as well as
retail and office workers, and
segments of the chemical, textile,
building, wood, paper and shoe
industries.
Today’s issue of the Nugget
contains a special supplement on
Alaska’s proposed Constitution
which is supplied through the
courtesy of the Alaska Statehood
Committee. The eight-page sec
tion contains the complete text of
the Constitution with the pictures
and stories about the convention
which closed Sunday with the
signing of the document which
will play an all-important role in
the history of Alaska. ?
Russian Air Development Reaching
Danger Point, U.S. Air Force Warns
Senate Group Passes
Farm Bill With Soil Bank
And Price Support Plans
WASHINGTON, UP— An elec
tion year farm bill which com
bines President Eisenhower’s soil
bank plan with the rigid price
supports he says would nullify it
was approved today by the Senate
Agriculture Committee.
Brushing aside the President’s
contention that such action would
“defeat the main object of the soil
bank,” the committee confirmed
the 8-7 vote last Satui'day by
which it had tentatively approved
supports at 90 percent of parity
for wheat, cotton, corn and rice
Parity is a price determined
under farm law to be fair to pro
ducers in relation to their costs.
An older formula was replaced
this year by a newer one which
had the effect of lowering parity
prices on most crops.
HODGE FIRES
RICHARDS IN
SITKA ROW
JUNEAU, Feb. 8, (A>>—Judge
Walter Hodge today fired U.S.
Commissioner B'rank H. Richards
of Sitka and appointed Mayor J.
Earl Shennett in his place.
Richards was notified of his
ouster by letter in which Judge
Hodge explained:
“This action is taken after a
careful review of voluminous cor*
respondence covering the conduct
of your office for the past four
years, and also upon review of'
communications received on your
behalf as well as against you; and
it is not intended in any way as a
reflection upon your integrity or
sincerity.”
Richards in the past was the
target of criticism by Sitka resi
dents, who accused him of con
duct exceeding the jurisdiction of
his office. Last month he con
ducted a closed hearing into al
leged juvenile delinquency at the
Mt. Edgecumbe native school at
Sitka.
A federal grand jury later in
vestigated the charges and re
futed Richard’s statement that
“shocking delinquency” existed at
Mt. Edgecumbe.
i By VERNON HAUGHLAND
CINCINNATI, (jT)—T he Air
Force has delivered perhaps its
most sobering warning that Rus
sian air development has reached
the danger point, and that U.S.
industry must emphasize research
if it is to keep ahead of the poten
tial enemy.
The notice came last night from
Gen. Thomas D. White, vice chief
of staff, in a talk before 500 guests
at a dinner marking the unveiling
of General Electric Co. plans to
build near here a $20 million fa
cility for the testing of supersonic
airplane engines.
Already a GE engine, the J-79,
is being used for the nation’s
first supersonic bomber, the Con
vair B-58, and for the Lockheed
supersonic fighter, the F-102,
which is believed capable of ve
locities almost twice the speed of
sound.
Gen. White accused the Russian
Communists of having “lied,
cheated, and stolen their way
through history.”
And now, he said, the Reds
have "almost closed the air power
gap ... In airplane after airplane
they are approaching us in qual
ity and surpassing us in quantity
. . . and presently are beating us
at our own game—production.”
“We believe we have a better
air force,” said White, grimly.
“But that superiority now rests
almost entirely upon our better
system of world-wide bases and
upon our better, more experi
enced crews.”
A solution for this problem,
said White, is for private industry
to devote increasing efforts to
research, without government as
sistance.
WEST, NOT SOVIET
WILL HELP EGYPT
BUILD ASWAN DAM
CAIRO, Egypt, (iP)—'The West
and not the Soviet Union is going
to help Egypt build its vast high
dam on the Upper Nile River, the
biggest construction project in
Egyptian history.
Egypt agreed yesterday to ac
cept a $200 million loan from the
World Bank to help finance the
huge construction three miles
wide and 300 feet high. With that,
the way was eased for the United
States and Britain to supply an
other $200 million in direct grants
for' the project, expected to cost
a total of $1,300,000,000.
Egypt will put up the rest.
Western diplomats hailed the
agreement as an important vic
tory over the Soviets in the battle
for influence in the strategic
Middle East. The Russians also
had offered to help build the big
dam at Aswan, 600 miles up the
Nile from Cairo.
V— --——-V
Tonight At The School Auditorium
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tLJL Ji'4 v,- Mmtf dllVV Admission $1.50 a Person 9:00 p.m. to 1:00 a.m.