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VOL. LVII, No. 318 ANN ARBOR, MICHIGAN, THURSDAY, AUGUST 7, 1947

PRICE FIVE CENTS

Price Raised
On Packards
And Frazers
Cost to Buyers
Hiked $92-$200
By The Associated Press
DETROIT, Aug. 6-Two more
of the nation's automobile man-
ufacturers, feeling the pinch of
steadily mounting production
costs, increased their retail prices
* again today and trade quarters
genera'ly believe similar advances
are in the making throughout most
of the remainder of the industry.
Packard, which so far this year
has failed to make a profit on' its
cperations, increased prices on its
v arious models fron $92 to $200,
Knsiser-Frazer, which has just
em ged horm the "red," imple-
mented an increase of $99 on its
Frazer sta ndard model.
A week ago General Motors in-
creased retail car prices from $57
'o .168.
And while prices to the new
car bayer continued to move up-
ward, production got another
blow as Ford closed down its
plants tonight until next Tues-
day. The Ford shutdown meant
a loss of three working days'
output, or a little more than
9,000 passenger cars, and idled
aluut 51,000 hourly-rated em-
ployes. 'i he halting of the Ford
assembly lines was attributed to
tat als shortages.
The shortages were attributed
te the two-week-old strike of 7,-
00C lluiray Corp. of America
workers. Murray supplies car bod-
ics and i arts to Ford.
Negotiators for Marray and the
CIO Unsbed Auto Workers failed
again today to arrive at an agree-
ment over the Union's demand for
immunity from penalty provisions
of tne Taft-Hartlev Labor Law
Discus ins will res:me tomorrow,
.however.
Meanwhile work suspension
in other plants, attributed
mainly or indirectly to the in-
tense heat, made approximately
27,000 more auto workers idle
in the Detroit area today.
Chiefly affected were 9,500
workers in four Briggs manu-
facturing Co. plants, and about
16,000 Chrysler Corp. employes,
whose work material was cut off
b the Briggs suspension.
Also in May, Kaiser - Frazer
upped the price of its Frazer
Standard model $139 and its
Kaiser Special $124.
A canvas of auto manufacturers
* other than General Motors, Pack-
ard and Kaiser-Frazer today re-
garding price increase prospects
brought a "no comment" response
from most spokesmen; none would
say positively that upward revi-
sions were not in prospect.
4 Marshall Halts
Hungary Aid
Denounces Country's
Communistic Coup
WASHINGTON, Aug. 6-(R)-
Denouncing the recent Hungarian
Government upset as a Commu-
nist coup, Secretary of State Mar-
shall today disclosed cancellation
of a $7,000,000 credit promised
Hungary.
The State Department simul-

taneously took a poke at another
of Russia's Balkan neighbors by
renewing an official p r o t e s t
against; the Rumanian Govern-
ment's widespread arrest of oppo-
sition leaders.
From Poland, meanwhile, came
an appeal for restoration of the
relief funds originally designed
for that country in the new $332,-
000,000 American program. Mar-
shall struck Poland off the list
for aid July 23 after an American
mission reported the Poles have
enough food in sight to get by and
officials considered it unlikely
that the action would be reversed.
The appeal was delivered to Mar-
shall by Ambassador Josef Winie-
wicz who told newsmen that "Po-
land really needs food."
Truman Plans
Rio Journey
WASHINGTON. Aug. 6-(A)-

Truman Vetoes Science
Foundation with Regret
Measure Would Have Created 24-Member
Committee To Control Research Money

By The Associated Press
WASHINGTO.N Aug. 6-Presi-
dent Truman today vetoed legis-
lation for a National Science
Foundation, along with seven oth-
er bills, and took Congress to task
for what he termed a proposed in-
fringement on the powers of the
President.
The seven bills killed met "poc-
ket vetoes'"-the chief executive
will refrain from signing them and
thus withCongress in recess, they
will die.
Deep Regret
He expressed "deep regret" at
killing the Science Foundation
measure. It would have created
a 24-member committee of scien-
tists ,appointed by the President'
to control the expenditure of mill
ions of dollars annually for re-
search into defense and health
problems. No money was actually
appropriated under it.
The Scientists themselves would
have appointed a chief executive
officer to direct actual operations
of the foundation.
Part-Time Officials
Mr. Truman noted that the
members of the executive commit-
tee would be part-time officials
holding "full governmental au-
thority and responsibility," but
that "the President could not ef-
fectively hold (them) responsible
for proper administration."
Moreover, he wrote, the 24-man
executive board would have been
"authorized to appoint the full
time administrative head of an
important agency in the executive
branch of the government, as well
(* * * *
WM'Scientists
Reiterate OK
Of Foundation
The following statement was
issued last night by Prof. Wilfred
Kaplan, President of the Univer-
sity's Association of Scientists, af-
ter it was announced that Presi-
dent Truman had vetoed a bill
for a nation science foundation:
"The Association of University
of Michigan Scientists has con-
sistently urged creation of a na-
tional foundation as an important
contribution to progress in scien-
tific research in the United States.
Since the end of the war, the Ar-
my and Navy have supported bas-
ic scientific research generously,
but both the military forces and
the scientists have agreed that the
sponsorship of pure research
should best be trusted to a civil-
ian agency of the government ...
"If, as the President has de-
clared, the proposed administra-
tive set-up of the foundation is
unworkable, then it is undoubted-
ly better to delay action."
"A poorly planned science foun-
dation is certainly worse than
none, for its failure would lead to
abandonment of the whole idea
of government aid to scientific
research. It is to be hoped that the
matter will be thoroughly review-
ed by Congress at its next ses-
sion."
Sleepy Lagoon Dept.
CHICAGO. Aug. 6-(/P)-Show-
ing of American motion pictures
at wartime military outposts has
created a permanent taste for the
films among natives of Pacific is-
lands and remote villages of the
Middle East and Orient, a Chi-
cago film expert sales manager
reported today.

as more than 70 additional part
time officials in whom important
government powers would be vest-
This, he said, would infringe on
the President's appointive powers.
City Asked
To Reduce
Water Use
Warning that the city's water
pressure is in a critical condition,
Water Department Manager Har-
rison H. Caswell today asked the
Ann Arbor residents and the Uni-
versity to curtail wherever possible
their use of water.
Students can cooperate in sav-
ing water especially by taking as
few showers and baths as necess-
ary and by shutting off all con-
tinuous flows of water such as
drinking fountains, he added.
Pump trouble last week consid-
erably reduced the city's water
supply, and the current heavy use
of water during the hot spell has
made it impossible for the Water
Department to restore its reser-
voirs to a point where a steady
pressure can be maintained, he
said.
Caswell requested residents to
observe the following rules:
(1) Do not sprinkle lawns.
(2) Shut off all continuous
flows, such as drinking fountains
where water might be wasted
through overflows.
(3) Check on water cooled
equipment for the possibility of
cutting down on use.
(4) Cut down on the use of air
conditioners by shutting off the
units as much as possible.
Midwest Heat
Death Total
Numbi ers 52
By The Associated Press
One hundred degree heat sear-
ed sections of the Midwest for
the fourth successive day
Wednesday and boosted the toll
of heat deaths to at least 2-but
relief was on the way.
Cooler air from Canada spread
into the Great Plains states,
northwest Wisconsin, Upper
Michigan, western and central
Iowa and Minnesota and was ex-
pected to bring lower temperatures
as far east as northern Indiana
and southern Michigan by Thurs-
day afternoon.
The cooler air was moving east-
ward and only slightly southward
and weather forecasters said it
probably would not extend much
below central Illinois, west central
Indiana and central Michigan.
Fatalities from the heat wave,
which originally extended from
the Rocky Mountains to the Ap-
palachians, included: Chicago 23,
St. Louis 11, Iowa, Alabama and
Arkansas three each; Wisconsin
four, Ohio two and Indiana,
Pennsylvania and Tennessee one
each.,
Advance, Mo., with a reading of
106 Wednesday was one of the
hottest places in the Midwest
Chicago recorded 100 degrees for
the third consecutive day, Effing-
ham, Ill., 102; Pellston, Mich., 102;
and St. Louis, Columbia, Mo.,
Memphis, Tenn., and Vichy, Mo.,
101.

Woods Trial
Reviewed in
SpeechHere'
Rights Con ress
Investigates Case
By IRVING KALIN
Pvt. Lemas Woods, jr., at one
time sentenced to be hanged for
the alleged murder of his tent-
mate, is now getting the trial he
should have received 16 months
ago, Mrs. Ann Shore administra-
tive secretary of the Civil Rights
Congress, asserted yesterday in the
Union.
Speaking before the Inter-Rac-
ial Association, Mrs. Shore de-
scribed the investigation undertak-
en by the Civil Rights Congress,
which resulted in a Presidential
order for the retrial now being
held in San Francisco. A com-
munication received from UAW
attorney Ernest Goodman, Wood's
counsel, who conducted the inves-
tigation, stated that Goodman be-
lieved the soldier would be ac-
quitted. Goodman said he hoped
the trial would come to an end
within a week.
Three Reasons Cause Doubt
Goodman's investigation of the
killing and trial in the Philip-
pines, Mrs. Shore said disclosed
three main reasons which caused
him to doubt Woods' guilt:
1. Woods had been convicted af-
ter a trial lasting only three hours.
2. The defense counsel provided
Woods had no legal training, in
fact had been a salesman previous
to his army service, and that the
counsel had not spoken to the de-
fendant until the day before the
trial.
3. The chief witness for the
prosecution, Pvt. John Hicks, tes-
tified that he had seen Woods lift
the mosquito fretting from his
buddy's bed, and then shoot him.
The mosquito netting was not
produced in court, she explained
and this, with the fact that the
bullet had gone through the arm
of the victim before penetrating
the heart, gave Goodman reason
to believe that the netting would
prove to be valuable evidence.
Further Evidence
The mosquito netting unearth-
ed by Goodman proved to be punc-
tured by three bullet holes, Mrs.
Shore revealed. Carlos Ramos,
an attorney who investigated the
case from the Manila end, and
who is now aiding in Woods' de-'
fense, she said, disclosed that
Woods' confession of murder had
been obtained by third-degree
methods and that in his prison
confinementdhe had been subject-
ed to unnecessary hardships.
During the two weeks the trial
has been in progress, the prose-
cution has dismissed John Hicks,
its original chief witness, because
his testimony became too confused
to be valid. The defense, on the
other hand, is now being conduct-
ed by two civilian lawyers, Good-
man and Ramos, as well as an at-
torney provided by the Army.
Box Car Lack
Hits Michigan
Wheat Harvest
LANSING, Aug. 6-(,P)-A box
car shortage is hitting Michigan

grain elevators just as the state's
wheat harvest mounts, the Fed-
eral-State Crop Reporting Service
indicated today.
The service said farmers have
been selling their wheat in sub-
stantial volume direct from the
combine, and that as rural ele-
vators fill up growers are being
forced to resort to farm storage.
Half the wheat is harvested in
the southern two tiers of counties
and is progressing up the state,
with a good quality crop running
58 to 59 pounds per bushel indi-
cated.
The service said pastures are
drying and that rain would be
welcome in most areas. Weather
has been good for late crop de-
velopment.
The Service said some fields of
corn have started to tassel but
many fields are so late they will
only make fodder. Early planted
field beans have started to blos-
som.

Phone Hate
In Michigan
May Jump
Rise Will Affect
All Bell Facilities
By The Associated Press
DETROIT, Aug. 6-The Michi-
gan Bell Telephone Co. today an-
nounced a proposed $10,400,000 a
year boost in local, suburban and
long distance rates to 1,114,958
customers in the state.
The 11 percent increase, which
would affect every exchange in
the company's territory, requires
approval from the Michigan Pub-
lic Service Commission. Several
communities including Detroit
have indicated they would fight
the boost.
First Increase in 21 Years
President Thomas N. Lacy said
the increase was the first sought
by Michigan Bell in 21 years al-
though 19 other states have been
granted raises.
Lacy broke the proposed in-
crease down as follows:
Local service rate boosts of $3,-
051,100 outstate.
Similar adjustments of $2,655,-
000 in Detroit.
Increases in suburban Detroit
rates of $408,000.
A $2,902,000 boost in long dis-
tance rates within Michigan.
A total of $1,384,000 in "mis-
cellaneous service items."
He said the company proposed
to increase charges on most in-
trastate longdistance calls by five
cents and reduce the time limit
from five to three minutes. Over-
time rates would be one-third Li-
stead of one-fourth of the initial
rate and discounts on night and
Sunday calls would be reduced
from 35 to 25 per cent. Person-to-
person rates would be 40 instead of
35 per cent higher than station-
to-station calls.
Increases "Necessary"
"The increases are necessary to
permit the company to catch up
with rising costs of doing busi-
ness," Lacy maintained. "In gen-
eral, telephone rates of today are
the same as in 1937, or even lower,
although the cost of almost ev-
erything used in providing tele-
phone service has risen sharply."
Lacy also outlined a proposed
system whereby integrated com-
munities might have telephone
service without toll charges.
A new Grand Rapids exchange,
the company said, would embrace
Grand Rapids, Marne, Dutton,
Grandville, Ada, Alto, Byron Cen-
ter, Caledonia Dorr Grattan
Jamestown,Lowell, Moline, Rock-
ford and Sparta.
AFL Worried
About 'Jobs'
Say Million May Go
As Production Rises
WASHINGTON, Aug. 6-()-
The American Federation of La-
bor said today that "more than a
million jobs will probably be lost"
unless consumers can absorb an
expected rise in production.
The organization said a grad-
ual lowering of prices would in-
crease buying power but the pros-
pect is "not encouraging." It not-
ed that "food prices are increas-
ing" and "rents are due to rise

somewhat."
Therefore the AFL, in its pub-
lication "Labor's Monthly Sur-
vey," took a moderately pessi-
mistic view of the chances of con-
tinuing "full employment" much
longer.
The AFL said "we are organ-
ized to raise wages, but this is not
enough. We need to organize as
consumers, in cooperatives and
credit unions with other consum-
ers to raise our buying power by
seeing that wage increases are
not wiped out by rising prices,
unreasonable charges for loans
and mortgages, high costs and
poor quality in living necessities."

To

Help

Of Dollars from Britain
4

Marshall Sees Chance

Lessen Drain

Opposing Claims Made
At Plane Contract Quiz
By The, Associated Press
WASHINGTON, Aug 6-Millionaire Howard Hughes and Senator
Brewster (R-Me.) put under oath today a charge and denial that the
Senator offered to call off a war plane contract investigation if Hughes,
would merge Trans World Airline with Pan American Airways.
They gave their squarely contradictory testimony at a tense hear-
ing of a Senate War Investigating Subcommittee.
Hughes accused the Committee of applying "the screws" to him.
Brewster said attempts had been made to "trap" him into pre-
,venting a full investigation of

ELLIOTT ROOSEVELT
... testifies at investigation
U' Begins FM
Broadcasting
With 'Carmen'
Music School Opera
To Be Aired Saturday
Frequency modulation radio
listeners within a 70 mile area of
Ann Arbor may tune in on a
broadcast of "Carmen" direct
from the Lydia Mendelssohn Thea-
tre at 8p.m. Saturday.
The broadcast will be presented
by the University Broadcasting
Service with the cooperation of
Radio Station WPAG-FM. The
station may be dialed at 103.3 on
the FM band.
The opera is being presented by
the music school and the Rep-
ertory Players. Prof. Theodore
Heger, of the music school, will
do the narration and Robert
Bouwsma, of the Broadcasting
Service, will announce.
"This is the first of many fu-
ture programs to be presented
from the University over frequen-
cy modulation facilities," accord-
ing to Waldo Abbot, director of
the Broadcasting Service.
"For this reason, the Broadcast-
ing Service is anxious to get re-
ports from listeners as to recep-
tion of the broadcast," Abbot said.
He urged listeners to write to him
care of the Broadcasting Service,
University of Michigan, Ann Ar-
bor.
Five microphones will be used
for the broadcast, two on stage,
two in the orchestra pit, and one
in the organ loft for the narra-
tor.
New equipment which has been
purchased for the University's
FM station no under construction
will be used in the broadcast for
the first time.

Hughes' contracts with the gov-
ernment.
The Senator told of two talks
he had with Hughes in which a
TWA-Pan American merger was
discussed. But he said Hughes
raised the matter first, and in-
sisted he never made a proposi-
tion to halt the hearings.
Talks on Radio
In a radio interview (over ABC)
later, Hughes called Brewster's
denial "pretty weak" and declared
that "just about everyone in the
aviation industry recognizes that
Brewster is lying" in saying that
he never had heard of a proposed
merger between TWA and Pan
American before his talk with
Hughes.
"The people in the industry are
only too familiar with Brewster's
relations with Pan American Air-
ways," Hughes said. "And the
people in the industry know that
if Brewster were pushing the in-
vestigation of my war contract
for really legitimate reasons and
if Senator Brewster really believed
me to be guilty of obtaining war
contracts by improper means he
would not be romancing me on
the side, inviting me to lunch and
making appointments over the
phone to see me in California.
Too Much of Coincidence
"No, this just doesn't add up.
Brewster's connection with Pan
American is too well known, and
it is too much of a coincidence
that this investigation of my war
contract was suddenly brought to
life just when I refused to make
the merger deal with Pan Amer-
ican."
Under investigation by the Sub-
committee are $40,000,000 of war-
time plane contracts the govern-
ment gave Hughes and industrial-
ist Henry J. Kaiser.
Hughes said "I charge specific-
ally" that at a luncheon in the
Brewster suite in the Mayflower
Hotel here last February:
"The Senator in so many words
told me that the hearings need
not go on if I agreed to merge the
TWA airline with Pan American
and to go along with the bill for
a single overseas airline."
Casbah Plans
SpecialDances
The Casbah is featuring a spe-
cial Sadie Hawkins dance from 9
p.m. to midnight tomorrow to pre-
pare the way for leap-year.
The dance will be informal, ac-
cording to Catherine Tillotson,
Casbah chairman. Students at-
tending may come in jeans, old
clothes or other casual attire.
Miss Tillotson said yesterday
that the dance is designed for re-
laxation before exam rush. Stags
and couples may attend. Danc-
ing will be to the music of Al
Chase and his band.
The Casbah will also be open
from 9 p.m. to midnight for the
regular Saturday dance. This
dance will make the official clos-
ing of the Casbah until Septem-
ber 26 when it will reopen under
the chairmanship of Carla Mul-
lendore.

U.S. Can Alter
Loan Contract
With English
Congressional Action
On Pact Unnecessary
By The Associated Press
WASHINGTON, Aug. 6-Secre-
tary of State Marshall held out to
the British today a guarded hope
for American assistance in their
economic crisis by some agree-
ment under the Anglo-American
loan pact which would lessen the
drain on their dwindling dollar
supply.
Marshall told a news confer-
ence it is his understanding that
at least two provisions of the
loan contract could be modified
without congressional action.
Those are the provisions under
which Britain now has to buy
from the United States with-
out discriminating in favor of
other suppliers, and has to con-
vert pounds sterling paid out in
other foreign markets into dol-
lars on request.
The effect of modification ap-
parently would be to allow the
British to buy more needed sup-
plies aboard with pounds which
would not be wholly convertible
and so conserve their dollars.
Even while Marshall was ex-
pressing his opinions to a news
conference at the State Depart-
ment, however, Secretary of the
Treasury Snyder was telling
other reporters at the Treasury
Department that in his opinion
modification of the year-old
loan provisions would require
congressional action. He said
the UnitedaStates has already
taken those steps which it could
without congressional action.
He apparently referi'ed to a re-
cent decision -of the national ad-
visory council on foreign financ-
ing which held that if the Brit-
ish desire to discriminate in fav-
or of purchases from their depen-
dent territories (in contrast with
commonwealth countries such as
Canada) they may do so without
violating the loan agreement. This
has not actually been put into ef-
fect.
** *
Attlee Offers
1New ]Program
of Sacrifices

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World News at a Glance
By The Associated Press
JOGJAKARTA, JAVA, Thursday, Aug. 7-Premier Amir Sjari-
foeddin of the Indonesian Republic said today the Dutch Army made
new advances toward Jogjakarta yesterday afternoon, and announced
preparations to transfer central Republican Governmental functions
to Sumatra, presumably if further Dutch gains threatened to capture
government leaders here.
* * * *
WASHINGTON, Aug. 6-The State Department today an-
nounced that American military aircraft including 89 combat
planes were sold to Brazil in June for $1,194,500. Their original
cost was $12,903,645.
The Department also announced the sale to Sweden of 5,-
500,000 rounds of .50 caliber ammunition in May at the original
purchase cost of $787,096.
* * * *

LONDON, Aug: 6-(W)-P
Minister Attlee disclosed t
that Britain's borrowed do
were running out at the rat
$3,240,000,000 a year and
down a program of military
trenchment, spartan hards
"limited" labor controls and "s
sacrifice" of personal liberty
the price this country must
to survive."
Attlee said there would be
food, less gasoline, less timber
new houses, less goods in
stores, perhaps fewer Hollyw
movies, longer hours of work.
In negotiations with the Un
States Britain will seek in pa
ular the easing of the convert
ity provision, which became
fective July 15, obliging her to
dollars to any nation deman
For an analysis of Bril
economy, see J. M. Robe
commentary on page four.
them instead of British sten
Resurrection of wartime cont
over employment of labor wi
sought and targets set for in
try to increase exports to 150
cent of the 1938 level by the
of 1948.
The Prime Minister said F
ain expects to cut its over
armed forces from the pre
500,000 to 367,000 by the en
this year and to less than 300
by the end of next March. T
armed forces, now about 1,300
will be reduced to 1,007,000 by
end of March.
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iited
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the

SOCIAL REFORMER:
Tom Keehn TDabbed 'Liberal Lobbyist'
{e o ~ *19

By TOM WALSH
Special To The Daily

tional Congressional concept of a

"The former would have gone