z>£ NOME NUGGET
OLDEST NEWSPAPER IN ALASKA—MEMBER ASSOCIATED PRESS__
VOL. LVI No. 100 NOME,"ALASKA, WEDNESDAY, AUGUST 25~1954 Per Copy—15j
A.R.C. Engineer
Killed In Brawl
In Kenai Barroom
ANCHORAGE, (^ — A young
airline employe was jailed for
murder here yesterday in connec
tion with a fatal stabbing in a
barroom at Kenai, a Cook Inlet
village 100 miles southwest of
here.
Frank Bush, 19, is in the Fed
eral jail where he is held in
lieu of $20,000 bond. He is ac
cused of killing John O. Wiggins,
30, resident engineer for the Al
aska Road Commission at Kenai.
Police said knives, bows and
arrows and whisky bottles fig
ured in the row that preceded
the stabbing.
Witnesses said Bush, under the
influence of liquor, had been
brandishing a bow and arrow and
boasting of his hunting prowess.
Carl F. Ahlstrom, Territorail
Police-officer at Kenai, said the
bartender at a tavern conked
Bush over the head with a whisky
bottle when the latter charged he
had been short - changed and
waved one of three hunting knives
he carried at his belt.
The knife was returned to Bush
after he had quieted down and
gone upstairs, Ahlstrom reported.
Later, he said, there was a com
motion upstairs and Wiggins said
he would try to quiet the man.
Witnesses told Ahlstrom they
heard Wiggins cry out, rushed up
stairs and forced their way into
the room to find Wiggins mortally
wounded.
He had been stabbed three
times, once over the heart.
Two More Polio Cases
In Anchorage Bring
Total Reported To 83
ANCHORAGE, (iPI-Two more
polio cases were reported here
yesterday, bringing the total for
the greater Anchorage area to 83.
The latest victims were a wom
an, 38, and a girl, 19. Both were
non-paralytic.
The total in the polio wing of
the hospital is 14, none on the
critical list.
Three patients who have been
at the hospital for some time are
scheduled for transfer to the res
piratory center at Seattle this
week.
Painter Employers File
Million-dollar Suit Against
Fairbanks Painters Union
FAIRBANKS, UP! — The Fair
banks chapter of the Painting and
Decorating Contractors of Amer
ica yesterday filed a one million
dollar damage suit alleging loss
of contracts and business against
the Brotherhood of Paint Decor
ators and Paperhangers of Amer
ica, and its Local 1555.
The complaint, filed in Federal
Court, contends the union’s in
sistence upon bargaining separ
ately with members of the em
ployer’s organization and upon
restrictions in the use Of paint
rollers and spray equipment .cost
them contracts and business as
sociations.
Territorial Welfare Board
To Hold Meeting In Nome
Three Days Next Week
The Territorial Welfare Board
will meet in Nome Monday, Tues
day and Wednesday of next week.
The public has been invited to
a meeting of the board on Tues
day evenihg at 8 o’clock in the
courtroom of the Federal Build
ing. Representatives of most or
ganizations in the community are
planning to be present.
Anyone having questions which
they would like answered at the
meeting are requested to address
* them to Henry A. Harmon, Box
692, Nome, as Mr. Harmon is
planning to arrive on Friday’s
plane.
In the party are:
Henry A. Harmon, director of
Territorial Public Welfare; Rev.
G. Edgar Gallant, board member
from Skagway; Dr. Ivar Skarland
from the University of Alaska,
board member from Fairbanks;
Mrs. Evangeline Atwood, board
member from Anchorage.
Harry Morrison of M-K
Urges Alaska Survey
Potential Power Sites
FAIRBANKS, IP)—Harry Mor
rison of the worldwide contract
ing firm, Morrison-Knudsen, does
not regard possible development
of hydro-electric power at the
Ramparts of the Yukon River as
too difficult.
Morrison said here yesterday
Alaskans should push for prelim
inary surveys and studies now so
information will be available
when the time is ripe for con
struction.
Flying in a company plane, Mr.
and Mrs. Morrison visited Kiti
mat, B.C., to view Alcan power
generators. From there they flew
to Laborador where they inspect
ed a new railroad. Before that
they toured the near and far
East where they looked at dozens
of M-K projects.
On Alaska’s future, Morrison
commented: “I’m not as optim
istic as some and not as pessimis
tic as others. What you need here
is industry like paper and pulp;
development of large ore bodies
— especially in the rare earth
class such as tungsten, thorium
and others.”
Eisenhower Decides To
Defer U.S. Claims To
Antarctic Territory
WASHINGTON, UP) — President
Eisenhower reportedly has de
cided to defer any formal claim
by the United States to territory
in the Antarctic.
Informed officials said yester
day the President thus went
against an interdepartmental re
commendation that such a claim
be made.
Eisenhower was represented,
however, as feeling the United
States should continue to insist on
its rights in the South Polar re
gion, where Americans such as
Rear Adm. Richard JE. Byrd have
explored.
Longstanding U.S. policy is to
withhold recognition of other na
tions’s claims in the Antarctic
and to reserve American rights
there.
Canadian Firm
OrganizesKlukwan
Iron Ore Corp.
ANCHORAGE, UP) — Develop
ment of an Alaskan iron industry
has moved a step nearer realiza
tion with formation in the terri
tory of the Klukwan Iron Ore
Corp., the Anchorage Times said
yesterday.
The newspaper said the corpor
ation, a subsidiary of Quebec
Metalurgical Industries, Ltd.,
which is controlled jointly by
Frobisher Ventures, Ltd., of Tor
onto, is capitalized at one million
dollars and intends to “engage in
mining, milling, concentrating, re
fining, processing and marketing
minerals, particularly iron ore.”
The Times said the corporation
also is seeking approval from the
Ontario Securities Commission to
do business in Canada.
More than 160 magnetite iron
claims, located 23 miles northeast
of Haines, have been held under
lease by QMI for the last two
years, the article said. The pro
perty was leased from the Alaska
Iron Co., owned by Seattle and
Haines residents.
The newspaper added:
“Klukwan iron deposits have
been described by engineers as
being the largest remaining un
developed deposits on the North
American continent. Estimates Of
reserves range upward to 13 bil
lion tons.
“Last year U. S. Bureau of
Mines engineer Robert Thorne
said the utimate value of the
Klukwan iron deposits compared
‘favorably with the national debt
of the United States,’ then more
than 250 billion dallars.
“Development of the Klukwan
deposits would make the the 85
year-old prediction of Secretary of
State William Seward come true.
In 1869, the man who purchased
Alaska visited the Klukwan area
and predicted iron deposits there
would some day provide the basis
for an iron and steel industry in
the far northwest.”
Safe Containing $3,000
Taken From Ladd Club
FAIRBANKS, iff)—A safe con
taining approximately $3,000 in
cash and personal papers of em
ployes was stolen from the Nugget
Club at Ladd Air Force Base early
Monday, the FBI reported yester
day.
The FBI said someone appar
ently backed a truck to the rear
door of the club, pried the door
open and rolled the caster-mount
ed 400-pound safe into the truck.
TUESDAY BALL SCORES
American League
New York 9, Baltimore 2
Chicago 4, Washington 0
Philadelphia 4, Cleveland 1
Detroit 8, Boston 7
National League
New York 5, Chicago 1
Milwaukee 5, Philadelphia 1
Brooklyn 12, Cincinnati 4
Pittsburgh 8, St. Louis 7
Pacific Coast League
Hollywood 6, Seattle 5
San Diego 4, Oakland 0
San Francisco 1, Portland 0
Sacramento 4, Los Angeles 1
Eisenhower Will Support
Statehood For Hawaii
In Next Congress Session
DENVER, Iff)—President Eisen
hower said today he would be
“very happy” to go to Hawaii to
celebrate admission of the terri
tory into' the union as the 49th
state—if Congress votes next year
to authorize statehood.
Mrs. Elizabeth Farrington, the
new delegate in Congress from
Hawaii, called on the President
at the summer White House here
to invite him to the islands.
Mrs. Farrington told a news
conference she invited the Presi
dent and Mrs. Eisenhower to
come to Hawaii on “admission
day,” when the islanders are plan
ning a statehood celebration —
again assuming the legislation is
approved by Congress.
During the 83rd Congress which
adjourned last week, both the
Honse and Senate passed bills to
make Hawaii a state, but the
Senate tacked on to its measure
a provision for bringing Alaska
into the union at the same time.
The House refused to go along
on that, and the legislation died.
Mrs. Farrington said Eisen
hower told her he is determined
to carry on a new battle for Ha
waiian statehood at the next ses
sion of Congress, convening in
January.
Brazilians Riot In
Protest of Coup
By Military Group
RIO DE JANIERO, Brazil, UP)—
Widespread rioting — some of it
directed at American business in
stallations—flared in the Brazil
ian capital today immediately
after the body of Gotulio Vargas
was taken by plane to burial in
southern Brazil.
Two persons were killed and
more than 30 persons injured in
an outbreak of violence after a
half million Brazilians had gath
ered at Rio’s downtown airport to
pay a last farewell to Vargas —
the strong man leader who chose
yesterday to take his own life
rather than yield the presidency
by force.
This morning troops patrolled
the streets in heavy numbers
while Vargas’ body was taken
from the presidential palace to
the airport.
There was no outburst until
after the plane left the airport for
Vargas’ home in southern Brazil
where he was to be buried in an
unblessed grave.
A crowd gathered in front of
the air ministry, apparently to
express their hostility at the 58
air force and army generals who'
forced, ysurgas, 71, to resign.
Troops rushed to the scene and
opened fire, injuring two persons.
In the central area of the city
a riot car equipped with high
pressure hoses tried to disperse a
mob. The angry Brazilians mob
bed the car nnd set it afire. At
lease 20 persons were reported
injured in that Incident.
Windows of the Standard Oil
Co. building were smashed and
crowds gathered at the U.S. em
bassy, which was placed under
heavy guard.
Juneau GOPs
Challenge Action
Of June Caucus
JUNEAU, UP) — An open chal
lenge of the asserted election of
new Alaska Republican leaders at
the party session at Mt. McKinley
Park last June was made here
yesterday.
A proclamation to Republicans,
declaring invalid any actions
taken beyond those specified in
the call to the June caucus, was
issued to party members by Ter
ritorial Sen. Elton Engstrom and
Ray Beach of Juneau. They sign
ed as chairman and secretary, res
pectively, of the party’s central
committee.
They said they acted at the ad
vice of the general counsel of the
Republican National Committee.
Delegates to the June session,
which was called a “caucus” os
tensibly changed it to a “conven
tion” and elected Cash Cole of
Fairbanks as Central Committee
chairman, to replace Engstrom.
The Engstrom-Beach proclama
tion says the caucus call was for
“the sole and specific purpose of
adopting a platform and formulat
ing plans for the success of the
Republican party in the 1954 elec
tions,” as specified in the rules
laid down at the 1952 Cordova
convention.
It said that, therefore, the as
serted “adoption” of new rules
and “election” of new officials
constituted a violation of the call
to caucus and c/f the Cordova
rules.
Rescue Amphibian Lands
In Arctic Ocean To Pick
Up Ailing C.G. Seaman
FAIRBANKS, An amphib
ian SA-16 made a dramatic open
sea landing Monday to pick up an
ailing San Pedro, Calif., seaman
from a Coast Guard cutter off the
Arctic coast.
Ladd Air Force Base officials
whence the amphibian came said
it was the first such landing on
the Arctic Ocean.
The seaman, identified as Er
nest Kallager, was suffering nasal
hemorrhages resulting from a
cold. Doctors at Ladd AFB deem
ed immediate evacuation neces
sary to save his life.
Earlier efforts to have a light
plane pick up the ailing seaman
from a small lake and bring him
to a Wien Alaska Airlines plane
at Umiat failed.
So Capt. Harry Cole of the 74th
Air Rescue Squadron headed for
Umiat from Ladd, decided on the
open-sea landing. The seaman
was transferred to the amphibian
from a small boat. Cole took off
just before darkness.
His plane bucked 80 knot winds
on the way back to Fairbanks
over the Brooks Range.
Kallager’s condition yesterday
still was critical.
EISENHOWER SIGNS
SURPLUS PROPERTY BILL
DENVER, UP)—President Eisen
hower signed legislation yester
day authorizing transfer of sur
plus government property in Al
aska, except real estate, ter the
territory of Alaska without
l charge.