- -j -V . C, C wrn 74latl]g ' r GERMAN REARMAMENT See Page 4 y Latest Deadline in the State WINDY, RAIN VOL. LXI, No. 93 ANN ARBOR, MICHIGAN, WEDNESDAY, FEB. 21, 1951 SIX PAGES Shiel toHead 1U Service Department Seven Units Join In 'Enterprises' The University lias organized seven of its service units under a new administrative department, Service Enterprises, a n d has named' Francis C. Shiel to the position of manager. Shiel, the present business man- ager of Residence Halls, will take over the job March 1. He will have charge of the Residence Union Earnings Not 'Excessive' Are Prices Fair? Answer Depends On Worth of Additional Services By PAUL BRENTLINGER Daily City Editor (Editor's Note: This is the second and final article in a series dealing with the Union's financial situation.) Like all other organizations designed to operate on a non-profit basis, the Union has consistently drawn criticism for "profiteering" on its sales of food and other goods and services to students. Is this criticism justified? The answer appears to depend upon how much one values the many services which the Union provides now, or which it plans to provide in the future. UNION OFFICIALS are very definitely income conscious. They have to be, for even a non-profit organization must avoid losses if it is to continue operation. But a look at the Union's most recent financial statement does not indicate that the Union's current earnings are excessive. During the year ending June 30, 1951, the Union's net operating income was only approximately $3,700 on total sales of more than $1,100,000. This relatively small sum resulted because of the sizeable over- head expenses incurred in operating an institution such as the Union. The big money making departments such as the cafeterias and guest rooms must support administrative, janitor, heating, lighting and depreciation expenses which attach to the huge lobbies, the check- rooms, the many meeting rooms, the library and other free or less- than-cost services which the Union offers. * * THESE MANY general expenses quite naturally are large for a building the size of the Union. Janitor wages alone amounted to some $60,000 in 1950. Depreciation accounted for more than $23,000. And it cost $10,000 to operate the Union's two checkrooms during the year, according to general manager Frank G. Kuenzel. General expenses for an ordinary hotel or restaurant, which probably would not offer as many non-income-producing facilities as the Union, might be expected to be considerably lower than those shown for the Union. Besides the $3,700 net operating income, the Union received some $19,000 in income from investments and other sources. The bulk of this sum came from interest on bonds being held as part of the Union's building fund. This meant that the Union's total 1950 net income was nearly $23,000. This amount was added to an operating fund, which would be available as a cushion against possible financial shocks. STUDENTS WHO PATRONIZE the Union thus find that when they buy a meal, a dance ticket or a box of cigars, they are paying for a large chunk of additional services. In good years, they may also be helping the Union prepare for operation in periods of rough economic weather. Whether or not the Union's services are worth what is paid for them is therefore a question which must be answered by the individual patron and member of the Union. For the Union is governed by the same set of economic laws which affect all institutions offering goods and services to the public for money. Army Plans Release of Reservists, Guardsmen FRANCIS C. SHIEL * * * Halls, Food Service, Laundry Service, Printing Department, Binding Department, University Instrument Shop and Photogra- phic Services. * * * THE CONTROLLER of the Uni- versity formerly headed these units. "The postwar period has seen the University launch two new service units, Food Service and Photographic Services, while the other service units included in the new arrangement have had sizable increases in the volume of their activities," Wil- bur K. Pierpont, vice president of the University, declared. Shiel has been with the Uni- versity since 1925 when he began as a draftsman. In 1929 he trans- ferred to the Purchasing Depart- ment and aided in the purchase of materials for Mosher-Jordan Hall, then under construction. Shiel shifted to the Residence Halls in 1933 as maintenance en- gineer. In 1939 he assumed the post of business manager of Resi- dent Halls. Meat Packer Charged with CheatingU.S. NEWARK, N. J.-(R)-A meat packing firm and two soldiers yesterday were charged with a $1,000,000 conspiracy to deliver inferior meats to the Army. The group was indicted by a federal grand jury and accused of "a scheme to defraud the govern- ment." ACTING U.S. Attorney Grover Richman estimated the amount of the alleged conspiracy at $1,000,- 000. The firm, Ben Grunstein and Sons Co., of Hoboken, N.J., the Justice Department said, had "corrupted the Army inspectors" by gifts of money and pay- ments in order to have them approve for "delivery to the Army large quantities of infer- ior meat." In addition to the company, those named in the indictment were the firm's vice president and secretary, William Grunstein, for- mer Army Capt. John F. Jones, of Easton, Md., and Army Sgt. Sam- uel A. Auman, of Dothan, Ala. A spokesman at the firm's of- fice in Hoboken declined comment. State Controller Asks More Funds State Controller Robert F. Steadman yesterday included a U. S. Seeks Four Power Talks Here Note Raps Soviet General Attitude WASHINGTON-W)-The Uni- ted States has proposed to Russia. that a Big Four Foreign Ministers Conference to ease world tensions be held in Washington provided a "mutually acceptable basis" for it can be agreed upon. The American note, made pub- lic last night, was delivered in Moscow Monday night to Soviet Foreign Minister Andrei Vishin- sky. Parallel notes were delivered by Great Britain andiFrance. THE U.S. note declared that the primary cause of thentense world situation is the "general attitude" of the Soviet Union. It suggested that a prelimin- ary meeting of representatives of the four powers be held in Paris March 5, on condition that Russia agree to talk about the real causes of international troubles. Russia has accused the Western allies of seeking to build up aggressive forces in Western Ger- many and has said this is a prime cause of tension. But the U.S. note denied this charge as "to- tally without foundation." "THE U.S. government wishes to emphasize, moreover," the note said, "that in Western Germany there do not exist any German military forces, or any German war industry and that the only thing accomplished in this field in Europe, is the existence of the huge armaments maintained by the Soviet bloc which include forces raised in East Germany. "In short, the serious tension which exists at present arises in the first instance from the general attitude adopted by the government of the USSR since the end of the war." The U.S., British and French notes were worded in such a way as to get the Soviet government to give a yes or no answer to the Western conditions for holding the preliminary Paris talks. The Russians have wanted to discuss only Germany but have said it was possible for other subjects to come up. The U.S., Britain and France have been discussing for two weeks the conditions and arrangements for the proposed Big Four talks. The effect of the note was to confront the Russians with two conditions which must be ful- filled before the foreign ministers gathering is defintely decided up- on. The first condition is that the Russians should agree to talk about armaments and the Aus- trian treaty as well as German problems before even a prelimin- ary conference is held. Mayor Vows To Hit Back, At Enemies DETROIT-(AI)-Victorious over a recall movement, Mayor Orville' L. Hubbard of suburban Dearborn threatened his enemies yesterday with various forms of punishment. 1. He announced Dearborn's three newspapers will be cut off from police news. 2. Declared a section of the city which voted overwhelmingly against him could be annexed by any one of three neighboring com- munities wanting it. 3. Said it is going to be tough to get snow removal trucks into op- position precincts between now and spring. While voicing his threats, how- ever, the stormy Hubbard softened a previous invitation to his politi- cal enemies to get out of town. Reminded of the "invitation" in an interview, the 240-pound mayor, said it really doesn't still hold, adding: "This is a democracy. Politics is fun, and nobody's going to get hurt." Hubbard's recall was asked on petitions signed by more than 9,000' voters, but he won the election 16,872 to 12,732 to assure comple- tion of his fifth, two-year term. T- __x*-__m1T Nlorth of 38th Ba. y Thumbk <:,,. :,f.:.,:<.} ,. JEFFERSON VILLE, (hr-When 2-year-old Sue Bailey tumbled stool in her home ani . ::";:,> :«>;::<::: > her thumb a chain react in. Her mother, Mrs. Her Bailey, started to take ',' ' .the Clark County Hospi 4-year-old brother, Ron -ran to open a storm d ..~> .. h bumped into the glass, ':it c,'",~ :.\_2 ti~y. ';R;:; ::;S:;:i::i his face. }} Mrs. Bailey made he . :;, .: #:;;r"; { :3 a, ' to the hospital with tI .~children. As she wasa h-0, , . ::~r"?:}} .; ^;.. ing thestpshe slippE z011{ K <:. fell, fracturing an ankle V Hospital employes ga 'up the three Baileys, too .4 , inside and treated then Parallel UN Troops VignaPush Back from a d broke" tion set Communists rbert M. her to Allied Air Arm ital. A oad Lee, H rse rand HarassesEnemy cutting TOKYO-(A')--A day-long bon- er way bardment by the battleship Mis- he two souri 170 miles north of the 38th ascend- parallel was announced today as ed and the Allies carried the fight to the e. Reds in Korea by land, air and athered sea. ok them A quick rundown of the three- way initiative: NAVAL - The 45,000-ton "Big ye Mo" yesterday blasted bridges and -gjfgother targets at Tanchon on the s northeast coast. To the south, other warships shelled the big e east coast port of Wonsan for the seventh straight day. GROUND - Counterattacking leze Allied troops forced North Kor- eans to withdraw in such haste north of Chechon in east-central - Walter Korea that they left behind their IO Auto dead and supplies. Withdrawal Price Di- above Chechon put the Reds on the gov- the defensive all across the Kor- order is ean peninsula. can peo- AIR-Allied warplanes flew 875 sorties yesterday and spotted ng what more enemy tanks than they have proposing seen since mid-December. They declared knocked out six and damaged definitely three. aovement Allied troops in the Chechon area erased a deep dent in the front. r~n* * *: 'Mighty Mo' Pounds Reds --Daily-Alan Reid HANDY SUPPLEMENT-Taking a clue from the current movie, "Born Yesterday," a University student consults Webster's as she browses through the new copy of Gener&tion which will go on sale today. * *. * * Second Issue of Generation S on Campus Toda Reuther Governmi Price Fre WASHINGTON - EM)- Reuther, president of C Workers, last night told l rector Michael V. DiSalle ernment's price freeze "a fraud upon the Ameri ple." DiSalle replied by aski sacrifice Reuther is p that labor make. DiSalle the freeze order has " slowed up the upward m of prices." s s THEIR ARGUMENT tc on a radio forum. At one point DiSalle s can't stop the rise of suddenly, but "you have ply the brakes gradual] Herschel D. Newsom, n the National Grange, rep farmers, opposed any cl the law to permit freezir - 4 .M., L . - 11- 81.." WASHINGTON - (/)-Regular Army divisions will form the back- bone of the Army under plans which call for the release of about 233,800 National Guardsmen and Reservists when they have com- pleted their current federal duty. The army's chief of training and planning, Maj. Gen. Maxwell Taylor, disclosed this yesterday. He also said that no more Nation- al Guard divisions than the six now in service will be called un- less the world situation forces more complete military mobiliza- tion. THERE WAS no immediate ex- planation of the effect of yester- Philadelphia Cop Denies, Bribe Charge WASHINGTON-()-George F. Richardson, Philadelphia's Deputy Police Superintendent, indignant- ly denied before the Senate Crime Investigating Committee yester- day that he had ever accepted gifts and hospitality from a big- time gambler. T h e gray-haired policeman rushed down from Philadelphia to challenge the testimony of Harry- Rosen, once the city's numbers racket boss, that he had showered Richardson with expensive gifts and entertained him at fancy night spots. * * * "HE COULDN'T get near me' with a millionndoars.y" Richard - day's announcement on the pos- sible use of Guard divisions over- seas. However, one Army official said later he would not assume that this precludes possible as- signment of at least some of the divisions to overseas duty. Gen. Taylor said that 98,000 Guardsmen in units ranging from small detachments to divisions were on duty at the beginning of this year. This total did not in- clude about 19,800 Guard officers and men who entered federal service Jan. 16 with the 31st and 47th National Guard Divisions. * * * * EXISTING regulations provide that Guardsmen and Reservists serve 21 months. The Universal Military Service Law now being debated in Congress seeks to ex- tend this service to 24 or 27 months. Present laws also provide the return of National Guard divisions' as a whole to the states when they have completed their federal serv- ice. Gen. Taylor indicated yes- terday that the Army expected to retain the machinery and frame- work of the six Guards divisions even after the individual Guards- men completed their service. Asks Abolition of StateGroup. LANSING- (P)-- Abolition of the Michigan Unemployment Com- pensation Commission was re- commended to the legislature yes- terday by Commission Chairman Tom Downs. Generation, the publication which describes all the major arts, will go on sale today for the sec- ond time this year. Siegfried Feller, Grad., acting managing editor, announces that this issue will contain a new for- mat with a separate section for World ANewvs Roundup By The Associated Press NEW ORLEANS-A grand jury yesterday indicted criminal Sher- iff John J. Grosch on five charges of perjury. The indictment climaxed an Orleans Parish (county), grand jury investigation following a hearing here by the Kefauver com- mittee before which Grosch and his former wife, Fiola Grosch, gave conflicting testimony. TORQUAY, ENG. - Cyril Maude, actor-manager w ho gained fame in nearly half a century on the British and Americanstage, died at his home yesterday. He was 88 years old. * * * LONDON-The Labor Party de- feated by seven votes last night a Conservative motion censuring Prime Minister Attlee's govern- ment for its handling of the Afri- can peanut-growing scheme. The vote was 302 to 295. *~ * * CALCUTTA-Deaths from Cal- cutta's raging smallpox epidemic broke all known records to total 462 for the week ending Feb. 17, it was reported yesterday. This was an increase of 145 over the previous week. each art - non-fiction, fiction, poetry, sculpture, drama, music and ,fine arts. EACH OF THESE sections will be prefaced with a brief discussion of the value of the art by college students in hope that more stu- dents will be encouraged to contri- bute. The idea 'of Generation was conceived by members of Inter- Arts Union in the fall semester of 1949. This group sponsors a festival each spring where cre- ative writing and works of art which students have done during the year are displayed. However, the Union felt that some additional outlet for creative work was needed, and so brought the idea of an art magazine before the Board in Control of Student Publications. The first issue, which came out last ,spring, was a "tryout," but was accepted with sufficient suc- cess to merit further publication. tate Contests Phone Rate Hike LANSING - OP)-Another legal round was recorded yesterday in the court fight against the rate increase granted the Michigan Bell Telephone Co. with no final decision expected before next fall. The State Public Service Com- mission granted the company an $8,200,000 annual rate jump effec- tive last June 19. The Attorney General's Office is contesting the hike, claiming the company already had suffi- cient revenue. The company is contesting it on the grounds that it should get the $20,400,000 rate increase it asked originally. at what he called "lower equitable" levels. SAC Weighs Bias Motion. Four Student Legislators and five affiliated representatives met with the Student Affairs Commit- tee for three hours yesterday to discuss the SL motion setting a time limit for the removal of bias clauses from the constitution of University organizations. Following the presentation of briefs by both groups, the SAC questioned the representatives. No decision was reached yesterday but one SAC member predicted that the SAC would vote on the motion next Tuesday. Arguing the SL's-case were Bill McIntyre, '53, Tom Walsh, '51L, Phyllis Jansma, '51E, and Don Rothschild. Speaking for t h e affiliated groups were Mrs. Harold Kerr, president of the Detroit Panhel- lenic Association, Mrs. Warren Cooke, representing the financial advisors of the sororities, Jane Topper, '51, Peter Johnston, '51 and Harry S. Slifer, secretary of the Ann Arbor Alumni organiza- tion. )ok place aid you prices to ap- ly.", naster of aresentng hange in ng prices than NORTH KOREAN troops broke and ran in the face of a tank and artillery powered U.S. task force which hammered out the dent, once 10 miles deep. The task force then !captured Chuchon, 10 miles north of Che- chon. The North Koreans in their push,had closely menaced Chechon, road and rail key to any enemy advance into South Korea. A U.S. Tenth Corps briefing of- ficer said the enemy was pulling out of positions around Chuchon which is 18 miles east southeast of pivotal Wonju in the moun- tains. AIR OBSERVERS reported sighting 20 Communist groups ranging from 200 to 300 men moving northward throughout the day up snow-crusted mountain trails. These frontline developments gave dramatic emphasis to Gen- eral MacArthur's personal order to field commanders to resume the offensive against the Com- munists. MacArthur's order was given during his 11th visit to the Kor- ean war front yesterday for a first hand inspection of the cen- tral sector. U.S. Planning, Pacific Pact For Defense WASHINGTON-W)-The Uni- ted States is considering a formal defense alliance with Australia and New Zealand as a start toward a broad Pacific pact modeled after the North Atlantic Defense Treaty. Britain, France and Portugal, would be excluded, however, un- der present planning because of their "colonial" background. A TRIANGULAR defense ar- rangement with Australia and New Zealand is now being dis- cussed, it was learned, by John Foster Dulles, Secretary of State Acheson's Republican foreign pol- icy advisor. Dulles, who is now touring the Pacific, already has talked this possibility over with Gen. Mac- ..A41.. - - -A A - 'Mrti - FRENCH WRITER MOURNED: Gide Termed 'Contributor to World' By DONNA HENDLEMAN Andre, Gide will be remembered as a vital contributor to the lit- erary thinking of this century,' three University professors agreed' yesterday. Commenting upon the death of the noted French artist who died Monday, the professors proclaimed him a recorder of the artistic life of the times, a writer of great vitality and an outstanding artist. ed, "Gide contributed not only to French literature, but to the lit- erature of the world. As such a contributor, his outstanding char- acteristics arej his essential skill, his firankness and his tremendous vitality. * * "HE IS, LIKE SHAW, an essense of a national figure, but he trans- cended the national sphere into the international." he said. Marc Denkinger of the French department said. * * * "HE WAS A great literary ar- tist who strove for a perfect sin- cerity in acts and even motifs in his writing." Gide began writing in 1891, and in his early works preached a mystical purity. But he later discarded orthodoxy, and be-