m NOME NUGGET
OLDEST NEWSPAPER IN ALASKA—MEMBER ASSOCIATED PRESS
VOL, LVI No. ,4 NOME, ALASKA, FRIDAY, JANUARY 8, 1954_ Per Copy—15f
Democrats In Senate To Exercise
“Veto" Power Over President's
Proposed Legislative Program
WASHINGTON, UP) — Demo-*
cratic leader Lyndon B. Johnson
of Texas said Friday Senate
Democrats — who outnumber Re
publicans by one—will exercise a
“veto” power on individual items
of President Eisenhower’s over
all legislative program.
And Sen. Byrd (D-Va), who
gave indirect support to the Presi
dent in the 1952 political cam
paign, said he will try to stamp
the first congressional veto on
Eisenhower’s request foT an in
crease in the 275 billion dollar
debt limit. The President renewed
it when he outlined his program
to Congress Thursday.
While Republican leader Know
land of California was urging bi
partisan support for what he call
ed the President’s “sound and for
ward looking program,” Demo
crats were gathering their ammu
nition for a blast at the adminis
tration’s new farm proposals —
due Monday.
As reaction rolled in on the
President’s 7,000-word state of the ,
union message—which he deliv
ered in 54 minutes in a House
chamber so jammed that some
senators complained they had to
stand — controversies flared up
over several issues.
Besides the farm and debt limit
proposals, lawmakers voiced
sharp differences of opinion over
tax revisions, heavier reliance on
atomic weapons, a plan to take
citizenship away from those con
victed of conspiring hereafter to
overthrow the government by
force, and a proposed constitu
tion amendment to permit 18
year-olds to vote.
This added up to a major seg
ment of a program that some
Democrats took delight in describ
ing as “New Dealish.”
Significantly, perhaps, there
was almost no criticism of the
President’s discussion of foreign
policies, on which Secretary of
State Dulles supplied additional
details in a 2Vz hour closed session
with the Senate Foreign Relations
Committee after the message was
delivered.
Unofficial Reports Say
Alaska Public Works
Trimmed to $5 Million
JUNEAU, UP)—Unofficial reports
have been received here of pos
sible new cuts in the proposed
1954 Alaska Public Works pro
gram.
An unofficial source says the
APW program was reported cut
to 7!/£ million dollars several
weeks ago and now has been trim
' med to 5 million. No final deter
mination will be made until Con
gress receives the budget and acts
on it.
There were reports of planned
attempts to get it restored to 28
million.
Applications for APW matching
funds have been made for schools
or municipal utilities in Juneau,
Douglas, Anchorage, Haines, Kake
Skagway, Nome and the Univer
sity of Alaska.
Former Governor
Of Hawaii Opposes
Statehood Now
WASHINGTON, UP — Former
Gov. Ingram H. Stainback of Ha
waii testified Friday he believes
the admission of Hawaii to state
hood now would endanger nation
al security.
Stainback, who supported state
hood in 1950, advocated a com
monwealth status for Hawaii, sim
ilar to the government of Puerto
Rico, and eventual statehood
after, he said, the danger of Com
munist control of the territory has
been eliminated.
The former governor, now a
federal appointee as a member of
the Hawaii Territorial Supreme
Court, testified before the Senate
Interior Committee that he reach
ed his conclusion in opposition to
statehood at this time “reluctant
ly.”
Stainback said Communist lead
ers of the International Long
shoremen’s and Warehousemen’s
'Union are exerting greater politi
cal power than ever before in
Hawaii.
He said that by controlling 80
per cent of the labor vote in Ha
waii, the ILWU leadership is able
to defeat any political candidate.
University of Alaska To
Operate Naval Research
Laboratory at Pt. Barrow
FAIRBANKS, UP) — Dr. Ernest
Patty, president of the University
of Alaska, announced Thursday
that the University has been
granted a contract for the opera
tion of the Naval Research Lab
oratory at Pt. Barrow.
Dr. Patty said that Ted C. Mat
thews has been appointed director.
Matthews was chief engineer and
assistant project manager for Arc
tic Contractors, the firm which
conducted oil exploration for the
Navy at Pt. Barrow from 1946 to
1952.
The Navy has closed down its
exploration work in the Barrow
oil reserve.
Dr. Patty said the contract is
another step forward in the Uni
versity’s effort to become a center
for Arctic research. Johns Hop
kins University has been operat
ing the project but its contract
expired Jan. 1.
The University will operate the
research center and cooperate
with scientific teams from other
universities and scientific organ
izations which do research there.
JUNEAU, (iP) — A dock project
at the fishing village of Angoon
is slated to be the second on the
list of jobs for the aid of hard-hit
southeastern Alaska fishermen.
Irving Reed, territorial highway
engineer, said work would begin
as soon as easements and permits
to meet Alaska Public Works re
quirements are approved.
The first project was at Kake.
The cost of each is limited to
$25,000.
HST Denies “Red
Herring” Label To
Describe Spy Hunts
WASHINGTON, UP) — Former
President Harry Truman, de
fending his efforts to combat Com
munist subversion, said Friday he
never used to words, “red her
ring,” to describe congressional
spy hunts.
Truman’s statement was made
in a film for television showing,
an interview with Drew Pearson,
the columnist Truman once called
an “S.O.B.”
The “red herring” incident oc
curred at a Truman news confer
ence on Aug. 5, 1948. It was on
that day that Alger Hiss, a former
State Department official, swore
before the House Un-American
Activities Committee that he had
never been a member of the Com
munist party.
Pearson asked Truman in the
interview: “There has been a lot
of talk about you saying that the
Alger Hiss incident was a red
herring. What is the fact on
that?”
Truman replied:
“The facts in the case are that
in a press conference one mor
ning, some young man who never
had been at a press conference
before, asked me if the action of
the un-American Activties Com
mittee was not in the form of a
red herring to cover up what the
Republican administration in the
80th Congress had not done, and
I said it might be.
“And that’s where it started. I
never made any statement that
there was a red herring although
the Republicans when they are
in power always try to cover up
their mistakes by attacking some
body or some institution.”
An unofficial transcript of the
news conference shows that this
question was put to Truman:
“Mr. President, do you think the
Capitol Hill spy hearings are a
good thing or do you think they
are a red herring to divert atten
tion from the anti-inflation pro
gram?”
Truman replied that he agreed
with the latter view.
Afterwards, Truman was asked
whether he might quoted direct
ly. The unofficial transcript gives
this as Truman’s reply: “Yes, you
can quote me . . . they are using
this is a red herring to keep from
doing what they ought to do.”
Territory Collects Taxes
In 1953 Amounting To
Record $15,630,071.98
JUNEAU, HI--Tax Commission
er Karl F. Dewey said Thursday
the Territory of Alaska collected
a record $15,630,071.98 in 1953, up
$403,953.85 over 1952’s previous
high.
The record was set with the
help of sizable increases in rev
enue from the First and Third
Divisions and despite drops shown
by the Second and Fourth.
Collections by judicial divi
sions:
First—$4,374,298, up $221,337.
Second—$231,316, down $35,259
Third—$8,105,171, up $291,895.
Fourth—$2,919,285, down $74,
020.
Canada May Ask For Corridors
To The Sea Through S.E. Alaska
As Aid In Fabulous Developments
-i
ROK Issues Bitter
Criticism U.S., U.N.
SEOUL, UP)—South Korea issued
a statement Friday night of its
problems with both the Commun
ists and the Japanese that bristled
with criticism of the United States
and the United Nations and ended
on a note of bitterness and de
spair.
The statement, prepared by the
ROK Office of Public Information
was described in its preface as the
first of a series that “presents a
highly authoritative point of view
and is a true expression of pop
ular sentiments.”
The article said: “The United
Nations statesmen have been busi
ly and futilly chasing the will-o
the-wisp of peace with an ag
gressor that does not even under
stand the concept.”
“President Rhee now faces re
peated criticism for failing to ‘co
operate’ and for not modifying his
position,” the statement said, “but
he cannot accept an appeasement
of Communism that would doom
his country.
“Also terribly disillusioning to
Koreans is the United States’ a
titude toward Korean-Japan rela
tions.
“It is this blind attitude toward
Japan that . . . has led the United
States to side against Korea, a
country occupied by Japan for 40
years, in its temperate claims
against the former enemy.”
The closing paragraph said:
“If Korea is to be sold out by
her friend, as she was once before,
the Koreans want to know it now
—so they may have a chance to
sell out themselves if they cannot
save themselves.”
The “once before” apparently
referred to the truce terms, which
South Korea charged was appease
ment and a sellout.
Meantime the Korean Repatria
tion Commission, caught in the
middle of an Allied-Red brawl,
faces what may be the most criti
cal problem of its existence: what
to do with some 22,000 unrepatiri
ated war prisoners Jan. 23.
The commission has two weeks
until that day of decision when
the Allies insist the POWs be re
leased under armistice terms.
No matter which course it
chooses—freedom or further cap
tivity for the prisoners—the an
swer means protests and possible
violence.
ARCTIC EXERCISE BY
ARMY AND AIR FORCE
WILL BE HELD FEB. 15-28
WASHINGTON, UP) —- The De
fense Department said Thursday
night exercise North Star, a joint
Army-Air Force Arctic maneuver,
will be held in Alaska Feb. 15-28.
The purpose of the exercise will
be to test Alaskan air and ground
defense and to provide Arctic
training for certain Army and
Air Force units stationed in the
continental United States, the de
partment said.
> By GRAHAM McMULLIN
Canadian Press Slaff Wriier
VANCOUVER, B.C., UPI — The
keys to the strong box holding un
told wealth in northern British
Columbia may be in the hands of
the United States.
Canada may ask the U.S. for
corridors to open new gateways
to the sea through the Alaska
Panhandle.
The corridors would open the
way for the development of a
fabulous treasure land of min
erals, power, and timber areas.
Canadian industrial and mining
interests are behind the proposals
not for one corridor but for sev
eral to provide access to deepsea
ports on the Pacific.
The plan has been discussed in
Ottawa and Washington.
Gov. Heintzleman of Alaska is
interested. He will make recom
mendations when he attends a
conference in Washington later
this month.
For the territory, Frobisher,
Ltd., an exploration and develop
ment company with world - wide
chemical and metallurgical inter
ests, has suggested a scheme that
would rewrite the northland pages
in geography books.
It involves moving three towns,
rerouting the Alaska Highway,
and re-routing the White Pass
Pukon Railway.
A suggestion that the course of
a major river be changed was
sidetracked by the federal gov
ernment.
The plan, with an estimated
worth of more than a billion dol
lars, would lay the base for the
world’s largest chemical and met
allurgical industry.
Canadians Discover Vast
Oil Field Prospects Only
800 Miles From North Pole
OTTAWA, UP) — Canadian gov
ernment geologists have made a
discovery only 800 miles from the
North Pole which some day may
surpass the oil wealth of Saudi
Arabia and Texas.
The discovery comprises “salt
domes” far north of the Arctic
Circle in a 40,000 - square mile
area of the Arctic Archipelago.
Under the treeless stretch of tun
dra may lie one of the biggest oil
reservoirs of oil in the world.
Officials here are excited about
the find, made last summer after
some peculiar rock formations
showed on aerial photographs
taken by the Royal Canadian Air
Force.
The domes are similar to those
which led to discovery of oil fields
in Texas and Louisiana.
No claims have yet been staked
in the area.
And there isn’t likely to be any
stampede. The area is almost in
accessible.
6 Tons of TV Sets for Anchorage
SEATTLE, l^—More than six
tons of television receivers, the
biggest such shipment ever to go
north, left Seattle aboard the S'S
Baranof Friday for Anchorage. It
comprises 150 sets.