MARSHALL PLAN
EXTENSION
See Page 4
Aft
Latest Deadline in the State
ai t
f , Lk-
....
SNOW
VOL. LXI, No. 60
ANN ARBOR, MICHIGAN, TUESDAY, DECEMBER 5, 1950
SIX PAGES
S
S
0
Snyder Asks
Big Excess
ProfitsLevy
Predicts Controls
Of Wages, Prices
~WASHINGTON - (- A') - Secre-
tary of the Treasury Snyder said
yesterday that Congress should
provide the full $4,000,000,000 in
excess profits tax asked by the ad-
ministration, and get ready for an
even more massive tax program
next year.
At the same time Snyder pre-
dicted that general wage-price
controls will have to be invoked
"to avoid damaging inflation."
* * *
BUT THE MAN who. would be
in charge of such controls, Alan
Valentine, Director of Stabiliza-
tion, indicated to another group
of Senators that the government
has not yet organized a staff to
carry out the controls even if it
wished to do so. Valentine declin-
ed to be specific on the timing of
administration plans to apply
wage and price controls.
Meanwhile, Snyder told the
Senate Finance Committee that
the critical world situation may
push government spending up
next year by 50 per cent, for a
possible total of $67,000,000,000
in the fiscal year beginning next
July 1.
Snyder told the committee, "the
events of the past few days in Ko-
rea and in other parts of the world
testify to the compelling need for
the enactment of additional pro-
fits taxes at this congressional ses-
sion."
* * s
HE WAS the first witness as the
Truman, A flee
Confer on Crisis
Declare 'Determination' To Reach
Understanding; More Talks Today
WASHINGTON-(IP)-President Truman and British Prime Min-
ister Attlee, after an emergency face-to-face conference, announced
last night their "determination" to understand each other's problems
in meeting the fast darkening world crisis.
The American and British leaders reported this much progress
in a "frank discussion" at the White House lasting one hour and 35
minutes. They reviewed "the general world situation in the light of
developments in the Far East" where their troops are falling back be-
fore a horde of Chinese Communists.
A JOINT STATEMENT issued after the opening conference gave
*no hint as to the specific topics
discussed. The Prime Minister and
SSthe President arranged to resume
Stheir extraordinary discussions
aboard the President's yacht Wil-
liamsburg today after a noon
Governor S lunch.
The meeting was hurriedly
summoned at Attlee's request six
and a half hours after he land-
ed here from London. He came
Tato work out with Truman a joint
By The Associated Press approach to the grave problems
LANSING - The S e n a t e ahead of the free world in meet-
snubbed Gov. Williams last night ing the suddenly expanded Com-
by confirming David M. Martin, int sgddenly '
Flint Democrat, as a member of Theuni ein.
the State Liquor Control Commis- The only specific action men-
sion after the Governor tried to i tioned in the brief statement was
withdraw his name. that Gen. Omar Bradley, chair-
Earlier yesterday Williams noti- man of mericandothies
fied the Senate that he was with- of Staff, summarized the latest
su-military devolpments in Korea~
drawing Martin's name and sup- during the meeting.
planting him by George Burke, Jr., - * .
of Ann Arbor, member of an old THE TALKS capped a day of
line Democratic family, tense devolpments.
Appraising the legislature's ac- President Truman held an
tion last night, Burke expressed hour-long discussion on the crisis
doubt that the governor could with the four top Democratic cons
"mandamus the legislature" to gressional leaders. None would
withdraw its confirmation of Mar- comment; all looked grave.
Civil Defense
Bill Brought
To Congress
Administration
Asks 3 Billions
WASHINGTON-UP)-The Ad-
ministration yesterday presented
Congress a $3,100,000,000 program
for building bomb shelters and
otherwise mobilizing the nation's
defenses.
Nearly two-thirds of the money
would go for "communal type"
shelters, designed for protection
against atomic warfare.
JAMES J. Wadsworth, a top
official of President Truman's
newly created Civil Defense Ad-
ministration, said the federal gov-
ernment proposed to match the
expenditures of cities and states
on a dollar-for-dollar basis in the
construction of the bomb shelters.
Wadsworth said field tests will
begin in the immediate future
on a number of bomb shelter
types. When the tests are com-
pleted, he said, specifications for
individual and community shel-
ters will be issued to states and
cities.
Wadsworth said the Federal
government proposed to put up
about $1,670,000,000 or 54 per
cent of the total outlay for thej
-Daily--Jack Bergstrom
DEAN SPEAKS--Dean of Student Erich A. Walter stands up and speaks out for fraternities, in the
open hearing on the controversial east side zoning ordinance. In the company of student repre-
sentatives, Dean Walter hit the attitude of certain landholders who are trying to rid the zones of
fraternities and other group houses, and said that no vote should be taken at this time.
Students File Compromise Move Seen
three-year
states and
viding the
program, wi
local governme
remainder.
th the
nts pro-
Senate Finance Committee opened tin.
hearings on President Truman's Burke was reluctant to com-
request to siphon off $4,000,000,000 ment on the action, explaining, "If
of abnormal corporate profits into think I should leave the comment
the federal treasury. to Gov. Williams."
Later, in a statement, Gov. Wil-
The House, meanwhile, started liams said, "It Is regrettable that
debate on its version of an ex- the opportunity to acquire the ser-
cess profits tax, recommended by vices of a man like George Burke,
a majority of the members of Jr., of Ann Arbor, received no con-1
the Ways and Means Committee. sideration from the Senate."
With a base somewhat narrower
than the administration asked,
the bill was estimated by com-
mittee experts as likely to yield
about $3,400,000,000 a year.
Snyder, however, figured the po-
tential revenue from it at only
$3,000,000,000.
As the House debate started, Re-
publican leaders there came up
with a proposed substitute plan
which they said would yield $200,-
000,000 or $300,000,000 more than
the Ways and Means Committee
measure. Their plan would couple
an increase in the normal tax rate
on corporations with an excess
profits levy.
Five Indicted
For Contempt
Of Congress
WASHINGTON - (P) - Three
atomic scientists and two men de-
scribed by a congressional com-
mittee as organizers were indicted
here yesterday for contempt of
Congress.
The scientists, who worked in
the wartime radiation laboratory
at the University of California, are
Giovanni R. Lomanitz, Irving D.
Fox, and David J. Bohm.
The others indicted are Steve
Nelson, described by' the House
Un-American Activities Commit-
tee as Communist Party organizer
for western Pennsylvania, and
Marcel Scherer, accused by the
Committee of helping Nelson es-
tablish a Communist cell in the
laboratory at Berkeley, Calif.,
where the scientists were employ-
ed.
The charges stemmed from the
refusal of the five to answer ques-
tions put to them by the Un-Amer-
rWilliams Gets
Recount Lead
DETROIT - {P) - Democratic
Gov. G. Mennen Williams slowly
but steadily pulled farther ahead
in his bid for reelection yesterday
as 21 of the state's 83 counties got
rolling on a recount of the.Nov. 7
election.
With only 189 of the state's 4,355,
precincts recounted-all but 15 of
them in Wayne country-Williams
moved 1,400 votes ahead of his
Republican rival, former-Governor
Harry F. Kelly, on adjusted fig-
ures.
The original state canvass of
last month's vote for governor
showed Williams re-elected by
1,154 votes, out of nearly 1,900,000
cast in the state.
Red Leaders
Argue Quietly
In HighCourt
WASHINGTON-(P)-The case
of 11 Communist leaders convicted
of conspiracy to "teach and advo-
cate" the violent overthrow of the
United States government was ar-
gued sedately yesterday in the Su-
preme Court.
The four-hour debate-which
revolved around the constitution-
ality of the so-called Smith Act-
proceeded calmly in sharp con-
trast to the stormy New York trial
before Federal District Judge
Harold Medina.
Attorney Harry Sacher led off
the attack of the convicted Com-
munists on the legality of the law
under which the 11 were given
prison sentences of three and five
years each.
political ideals.
Sacher, who was sentenced to a
six-month jail term for his con-
duct during the New York trial,
presented his arguments in what
at times was almost a half-whis-
per.
HE GAVE the following break-
down:.
1. For "communal" shelters -
$2,250,000. The United States gov-
ernment would contribute 50 per
cent.
2. For heavy equipment used in
fire fighting, engineering, trans-
portation, communications, rescue
service - $200,000,000. Again the,
federal government would pay
half, and state-local governments
the rest.
3. For cost of local personnel
and administration, supplies and
equipment needed by volunteer
workers-$200,000,000. This would
be financed by the states and local
communities themselves.
4. For regional stockpiles and
materials, including engineering
supplies, blood plasma, medical
and evacuee supplies-$400,000,-
000. This would be provided by
the federal government.
5. For communications and con-
trol centers-$32,000,000, all pro-
vided by the federal government.
Bowl Ticket
Applications
"Several hundred" students and
faculty members stood in line yes-
terday to get first crack at tickets
to the Rose Bowl.
"We've been too busy all day to
stop and figure out just how many
people actually applied for tic-
kets," ticket manager Don Weir
said.
BUT HE noted that there will
still be enough tickets for any stu-
ALL SPRUCED UP
Library Doors Flanked
By Padded Evergreens,
In Fraternity Zone Fight
World [Nws
Roundup
By The Associated Press
WASHINGTON - The Alaska
Statehood Bill was pushed aside
-probably for the rest of the
session-in the Senate yesterday.
Democratic Leader Scott Lucas
(Ill.) sidetracked the bill when he
withdrew his motion-which the
Senate had been debating for six
days-to take up the measure.
LONDON - The 12 Atlantic
Pact Nations -including wary
France - were reported last
night nearing agreement on a
fresh plan for using German
troops in Western Europe's de-
fense.
The plan, proposed by the
Dutch, was said by diplomatic
informants to contemplate ap-
pointment' of a civilian high
commissioner to supervise re-
cruiting of German troops.
OTTAWA, Canada-In a major
statement of Canadian foreign
policy, External Affairs Minister
L. B. Pearson said yesterday he is
opposed to use of the atom bomb
against Communist China "while'
there is any chance at all" of
preventing the spread of the Kor-
ean War.
Diary of Student
IStudied for Clues
See PLANS Page 6
dent or faculty member that ap-
plies for one before the Thursday
deadline.
"Students who wish to pur-
chase the ducats should fill out
an application blank at the tic-
ket office in the Athletic Ad-
ministration Bldg.," Weir ex-
plained. They must present their
ID card and pay for the ticket
then. The office is open from
8:30 a.m. until 4:30 p.m.
Tickets are priced at $5.50. Each
student is entitled to only one, al-
though married students and fac-
ulty members are allotted two.
Weir explained that no refunds
will be made after the tickets are
purchased. "Students have until
Thursday to complete their trip
plans, and should know by then if
they are going to use the tickets."
He said that any tickets when
not used, will just mean empty
seats at the Bowl. "The job of re-
funding money and reselling tic-
kets is too big-in fact I still have
tickets from the last game we
pWayed at Pasadena that were not
picked up," he related. .
Tickets purchased here cannot
be obtained until the day before
the game in Pasadena.
Drive Progress
The Michigan Memorial
Phoenix Project has received
contributions from 80 per cent
of the members of this addi-
tional groups:
Greene House
A compromise move to create 'a
special "fraternity zone" seemed
probable last night, at the close of
a hearing held to help decide the
fate of fraternities, sororities and
co-ops in the city's top zoned east
side areas.
The hearing ended with a de-
cision by the Council to postpone
action for two weeks.
PROF. A. D. MOORE, chairman
of the Council committee on ordi-
nances, suggested the creation of
an "A2" zone, specifically designed
to take'in the group houses.
The amendment discussed
would ban the, houses from "A"
and "AA" zones by reclassifying
them as multiple dwellings,
which are not permitted in the
highly restricted areas.
The 75-minute hearing, held in
the crowded, smoke-filled Council
chambers, was punctuated by rip-
ples of applause as fraternity, so-
rority, co-op and administration
representatives presented their
cases against the proposal.
* * *
PROF. MOORE pointed out that
UN Assembly.
Asked to Judge
Chinese Attack
NEW YORK - R) - The Big
Three Western powers and three
other Security Council /members
yesterday asked the veto-free
United Nations General Assembly
to sit in judgment on Red China's
intervention in Korea.
The move came in a telegram
addressed to Secretary-General
Trygve Lie by Britain, France, the
United States, Norway, Cuba and
Ecuador.
Warren Austin, Chief U.S. dele-
gate, said the next move is being
delayed for instructions from
Washington where President Tru-
man and Prime Minister Attlee
were talking.
The instructions will cover sub-
mission of a memorandum pro-
mised by the six nations to ex-
plain the request for Assembly ac-
tion. Austin said he expects the
memorandum to be presented to-
I day.
some definition of terms must be
made. "If the fraternity area is
to be rezoned after that .. . well,
all right, but they must be given
their true definition first. Any oth-
er way would be chaotic."
Bob Vogt, '51E, IFC president,
asked to have the amendment
combined with a-.rezoning mea-
sure, so that the group houses
wouldsnot be placed in the posi-
tion of not knowing where they
stood.
Erich A. Walter, dean of stu-
dents, said that "now is not the
time to vote."
',' * * .
IF THE proposal is made law,
the fraternities, sororities and co-
op houses already located in the
"A" and "AA" zones may remain
there, but no new ones may be
built nor may additions or altera-
tions be made.
Thus, Dean Walter said, if a
house is forced to close its doors
for more than the period stated
because its members have been
drafted, for instance, it may not
reopen. "The city has grown
along with the students. It
should realize this and not vote
on the proposal now."
William Brown, mayor of Ann
Arbor, scored the importance of
zoning. "We value otir citizen's
rights-the University nor any
part of it should not try to swal-
low us up."
* *4 *
AFTER TAKING the vote to
postpone action on the zoning is-
sue, the City Council decided
unanimously to hold up the vote
on the extension of rent controls
in Ann Arbor.
Prof. Russel A. Smith, chair-
man of the Council special com-
mittee on rent controls, explain-
ed that to actually extend the
controls locally after the federal
controls expire in December, the
Council must pass an ordinance
sanctioning a resolution to ex-
tend the control.
Prof. Smith said that he had
planned to present the ordinance
last night, but as the federal gov-
ernment may act imminently to
extend the controls on a nation-
wide basis, he advised the Council
to wait for two weeks to see what
the government would do.
British Fight
Rearguard
Engagemuents
Guerrillas Slash
At UN Retreat
U.S. EIGHTH ARMY HEAD-
QUARTERS, Korea -(.A)- Obser-
vation planes reported to the
Eighth Army early today that
Communist forces had occupied
Pyongyang ail- field.
The field was one of two air-
ports abandoned by American
forces last night in their retreat
south before hordes of Chinese
Communists.
THE BRITISH 29th Brigade co-
vered the withdrawal of the
Americans and South Koreans
then itself began moving south
through Pyongyang's center across
the ice-cloked Taedong.
U.S. engineers blew up a new-
ly rebuilt railroad bridge lead-
ing out of the city, as the re-
treating Eighth Army traded
space for time to avoid entrap-
ment.
Red guerrillas were active along
roads between Pyongyang and
Seoul. They were North Koreans
bypassed earlier in the war when
the UN tide rolled north.
ONE GUERRILAS force near
Sibyon, 70 miles southeast of
Pyongyang, attacked and drove
back elements of the U.S. 187t
Airborne Regimental combat team.
Reinforcements moved into the
area.
Near Singye, 55 miles south-
east of Pyongyang, a guerrillar
band of 2,500 men was concen
trated. Other guerrilla. bands
were in action within 40 miles of
Seoul.
The Chinese Communist
masses, who have compelled the
U.S. Eighth Army to retreat more
than i40 miles since Nov. 24, were
under dawn-to-dusk air attack
north of Pyongyang.
THE FAR EAST Air Force re-
ported its planes killed 2,100 Reds
in North Korea yesterday pushing
the last three-day total past 6,000.
Overwhelming outnumbered,
Lt. Gen. Walton H. Walker,
commander of the U.S. Eighth
Army, was intent on keeping his
force as intact as possible.
In the yesterday afternoon sum
mary MacArthur said Chinese
Communist forces had hurled 268-
000 men as shock troops against
the UN army. Back of these came
an immediate reserve of 550,000
more men. Moving up from cen-
tral China toward the flaming war
fronts were an additional 200,000.
This totaled 1,018,000 Chinese to
which must be added an addition-
al 100,000 to 150,000 Red Koreans.
* * *
CORRESPONDENT Leif Erick-
son reported from Eighth Army
Headquarters that the pullback
might go as deep south as Seoul,
125 air miles to the southeast.
There a perimeter could be thrown
around the Republic of Korea cap-
ital and the escape port of Inchon
AP correspondent Don White-
head, with the retreating army,
said a decision must be made
soon whether to stand and fight
or quit Korea altogether. White-
head reported that most military
men in the field believe the Chi-
nese were determined to destroy
the Eighth Army.
Significantly, Gen. J. Lawton
Collins, U.S. Army Chief of Staff,
flew to the war zone for confer-
ences with top commanders after
a meeting with General MacArthur
in. Tokyo. A top-level decision
could be in the making.
On the isolated northeastern
front, fighting was heavy and
bloody. In sub-zero ,temperatures,
Maj. Gen. Edward M. Almond's
trapped Tenth Corps-three U.S.
divisions and two Republic of Ko-
rea divisions--battled for life over
vast distances. The Corps was
spread thin over 23,000 square
miles of frozen wasteland.
Storms A afn
K
*
A tall pair of healthy-looking
conifers are maintaining their
Yuletide vigil on the Library steps
today-and both of them are put-
ting up a false front.
The twin evergreens were chop-
ped from a University-owned lot
near Dexter and hauled in yester-
day by the Plant Service.
Their thick, full appearance is
mostly illusory. While the sweep-
ing limbs branch out in balanced
symmetry, a goodly number of
them are affixed by wire or just
jammed into a crotch.
Onlookers wondered if maybej
fhazon~oprv cir mpWPrp obained
v:-
I ,Y":
PATENTOFFICE PADDLED:
High Court Slams Gavel on Gadgets
WASHINGTON--(P)-T h e Su-
preme Court lost its patience yes-
terday with gadget-makers who
want to get patents, and it crack-
said, "has placed a host of gad-
gets under the armour of pat-
ents," in seizing an opportunity
in nand its own iurisdiction.
THE COMPANY appealed from
a ruling of the U.S. District Court
in Detroit. It contended the
claims were invalid for lack of in-
:i
I