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July 03, 1947 - Image 1

Resource type:
Michigan Daily, 1947-07-03

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Latest Deadline in the State





Rush Income
Tax Cut Bill
Challenge Veto
Of Old Measure
By The Associated Press
Republican high command de
cided today to rush through Con
gerss a bill cutting perosnal in-
come taxes $4,000,000,000 a year
effective Jan. 1, 1948.
The decision was a new chal-
lenge to President Truman, wh(
vetoed a bill making the same re-
dubtion effective July 1, 1947.
The course was decided upon a
a meeting of Senate and House
Republican Policy Committees and
was announced by Senator Taf
(Rep., Ohio) .
The bill calls for cuts ranging
from 30 per cent in the lowest
brackets to 10%/ per cent in the
House Speaker Martin (Rep.
Mass.) told reporters the House
Ways and Means Committee will
approve it tomorrow and the
House "will take it up and pass it
on Tuesday."
"We have been assured there is
sufficient strength in the House
for two-thirds to override another
veto," Martin said. "I have heard
that as many as 20 Democrats who
supported the previous veto will
change their votes. The situation
in the Senate, while not conclu-
sive, is encouraging.','
If necessary, he told reporters,
the planned July 26 adjournment
of Congress will be delayed to get
the new bill to the White House
and allow Congress to act on a
second veto if that is forthcom-'
Chairman Knutson (Rep.,
Minn.) of the House Ways and
Means Committee, author of the
bill, called a committee meeting
for 9 a.m. (C.D.T.) tomorrow to
act on the new bill
U.S. Treasury
At Last Shows
Fiscal Profit
$753,787,660 surplus, the first in
17 years, was chalked up by the
Federal GoVernment for the 1947
~ fiscal year ended Monday.
Secretary of the Treasury Sny-
der announced today that the
surplus was applied on the nation-
al debt, helping to reduce it to
$258,375,903,293 as of, Monday
Turning to the subject of taxes,
Snyder told a news conference:
"As long as business, employ-
ment and national income con-
tinue high, we should maintain
tax revenues at levels that will
permit a continued reduction in
the public debt."
The nearly $754,000,000 excess
of government income over spend-
ing during the last 12 months was
an improvement of better than
$21,400,000,000 over the 1946 fis-
cal year.
The reasons for that improve-
ment could be summed up this
1. Revenues, approximating
$43,259,000,000 rose a surprising
$221,000,000 over fiscal 1946
thanks to a $2,385,000,000 increase
in surplus property sales and a
flood of tax collections resulting
from business activity far beyond
original expectations.

2. Spending, although about $6,-
700,000 above original expecta-
tions, was $21,200,000,000 less than
in fiscal 1946. The big reason was
a $28,600,000,000 drop in army and
navy spending.
Si ler Vetoes
Gasoine Tax
LANSING, July 2-P)-Gover-
nor Sigler today vetoed a pro-
posed one-cent increase in the
state gasoline tax which was de-
signed to finance road repairs by
counties and municipalities.
Criticizing the practice of ear-
marking funds without regard to
need, Sigler declared "no one has
ever demonstrated to me just what
the rural, city and village highway
and street needs are."
The measure, which would have
raised an estimated $12,000,000
additional revenue by boosting the
tax from three to four cents a
gallon, passed the legislature with
ap rovision that all the proceeds4
were to be divided eaialy bemtween








Aid To Europe Conference Dies

WATERFRONT INUNDATED BY MISSISSIPPI-The St. Louis, Mo., waterfront area (foreground)
is inundated in this aerial view made July 1. At right is the MacArthur Bridge which spans the
Mississippi. Note water at left center (above elevated tracks) about three blocks from the river

Kelly elected
First Act Prohibits
Bicycles on Campus
Dick Kelly, '48, was elected pres-
ident of the summer Student Leg-
islature at the first meeting of the
group this summer.
Ken Bissell and Bill Scafe were
elected secretary and treasurer
In a unanimous vote, the Leg-
islature passed an ordinance pro-
hibiting student operation of bi-
cycles on the sidewalks of campus
After conferring with members
of the Student Affairs Commit-
tee and the Buildings and Grounds
Committee, it was decided that
bicycle racks will be moved to
points at the edge of campus, Leg-
islature president Kelly said.
"We decided to take action on
this subject in view of the recent
bicycle accidents op campus", he
declared. Student cooperation' in
the enforcement of this action is
urgently requested he added.
The Legislature also discussed a
suggestion to reduce the member-
ship of the Legislature by approx-
imately one half and to choose ad-
ministrative officers in special
elections for purpose of increased
efficiency. The suggestion, which
will be incorporated in a recom-
mendation to the Legislature when
it meets in the Fall, would re-

Best Interests of U.S. Served
By Assistance to Netherlands

"Sympathetic and practical as-
sistance" in the economic rehabil-
itation of the Netherlands in Eur-
ope as well as in the Netherlands
East Indies was offered last night
as a clue to how the best interests
of the United States may be serv-
This conclusion was reached by
Dr. Stanley K. Hornbeck, former
Approve Raise
In Subsistence
For Veterans
The Senate Labor and Public Wel-
fare Committee today approved
legislation to increase living al-
lowances to veterans attending
college under the G.I. Bill of
The committee also approved
bills which would:
1. Raise the ceiling allowance
on pay which veterans taking on-
the-job training may earn and still
qualify for Federal aid.
2. Renew and liberalize the pro-
gram under which amputees have
been given automobiles.
Senator Morse (Rep., Ore.) told
the Senate shortly after the com-
mittee acted that all three bills
"highly deserve early passage."
The committee voted to increase
subsistence allowances to veterans
attending college from $65 a
month to $75 for single veterans;
from $90 to $105 for married vet-
erans with no children; and from
$90 to $120 for those who are
married and have children.
These increases, Morse esti-
mated, will cost about $217,000,-
000 a year. He said they are ne-
cessary to compensae for in-
creased living costs.
Casbali Offers
S, 0
Special Dance
The Campus Casbah will feature
a special Firecracker Dance from
9 p.m. to midnight tomorrow, Shir-
ley Weinstein, publicity director,
announced today.
Girls interested in serving as
hostesses at this dance should re-
port to the Social Director's office;
in the League not later than 9,
p.m. tomorrow, she said.
The Casbah will also be open
for the regular Saturday night
dance at the same hours. Hostess-
es for Saturday night should re-
port at the dance.


quire a representative from
800 students instead of the
ent proportion of one from
400 students.


,U' Receives
10,000 Books
From Wa hr's
The largest contribution of
books the University has .received
for the purpose of replenishing
stocks of devastated libraries over-
seas has been given by the George
Wahr Estate, George Sallade,
manager of Wahr's University
Book, Store announced yesterday.
The gift consisted of over 10,000
rare and old volumes of text books,
encyclopedias, reference books,
and books by American and Eng-
lish authors, Mr. Sallade declared.
He said that the books were
given to the University for dis-
tribution rather than being dis-
pensed with directly by the Geo-
rge Wahr Estate because the Uni-
versity had the requests for the
The majority of the books are
to be sent to the University of the
Philippines, Mr. Sallade added.

American ambassador to the Neth-
Lecture Opens Series
Dr. Hornbeck, speaking on "The
United States and the Nether-
lands East Indies," opened the
fourth annual University summer
session lecture series. The series
this summer is entitled "The
United States in World Affairs."
"The interest and concern of
the United States in relation to
the East Indies cannot reasonably
be separated from our interest
and concern in relation to the
Netherlands in Europe," Dr. Horn-
beck said.
He described the "dilemma"
thus faced by this country in the
presence of the current contro-
versy between the Dutch and the
Relations with Dutch
On the one hand, Dr. Hornbeck
said, "we have long enjoyed re-
ciprocal friendly relations with the
Dutch, we believe in legitimacy, it
is to our interest that the King-
dom of the Netherlands be and re-
main a strong political entity an-
it is to our interest that law and
order prevail and that commerce
and industry be rapidly restored."
But, on the other hand, "our
popular opinion is critical of the
Dutch record in the Indies, we
are nearly always sympathetic to-
ward what we believe to re the
'underdog,' we are traditionally
opposed to imperialism and we
cherish a speculative belief that
the East Indies might under In-
donesian rule contribute more to
the world's economy and to the
cause of peace than under Dutch
rule," he said.
Test of Alertness
The United States is faced with
a test of its alertness to realities,
its sincerities and capacities, in
regard to its operations in dealing
with the problems of the Nether-
lands East Indies, Dr. Hornbeck
Outlining the ultimate conse-
quenecs of the problem's solution
to the United States, Dr. Hornbeck
said, "it is of importance that the
Netherlands East Indies and
neighboring regions, including the
Philippines, shall not be in the
hands of or be menaced by any
power whose policies are in oppo-
sition to those of the United
States, shall enjoy prosperity and
stability, shall be friendly to us
and accord us equal opportunity
and non - discriminatoy treat-
No Doorman;
Women Flaunt
old Tradition
Union manager Franklin Kuen-
zel is looking for a new doorman.
Since the death of George John-
son last October tradition-flouting
women, with nary a thought nor
twang of conscience, have been
using the sacred front-door en-
For 30 years women have been
sent to the flower-bordered side
door, while the front door has
been kept exclusively masculine.
Union house rules call attention
to the fact that the Union is a
"men's club," and that women's
other men's clubs." Among these
nrivileaes is the use of the north

Marshall Plan
With Warning
Bevin Calls Speech
'Travesty of Fact'
By The Associated Press
PARIS, July 2-The three power
conference on American aid to
Europe collapsed late today after
Russia rejected British and French
proposals for an economic steering
committee and warned the two
western powers "against the con-
sequences" of going ahead with-
out Soviet cooperation.
France and Britain promptly
defied what British foreign Secre-
tary Ernest Bevin called "threats"
and announced they would pursue
their attempts to implement the
program of U.S. Secretary of State
George C. Marshall along with all
countries which want to join them.
Soviet Foreign Minister V. M.
Molotov declared the British-
French plan would result in "div-
iding Europe into two groups of
states and creating new difficul-
ties in the relations between
Bevin, in a heated outburst,
called Molotov's statement a
"travesty of facts" and made it
clear that Britain would not be
swayed from her decision to im-
plement the Marshall plan, with
or without Soviet cooperation.
A British foreign office spokes-
man quoted Bevin as saying he re-
gretted that Mr. Molotov had
threatened that if we continue
this beneficient work we must face
grave consquences.'
"Well, my country has faced
grave consequences and threats
before," Bevin was quoted as say-
"We shall work as closely as we
can in the U.N. and inform it and
its various bodies and all the gov-
ernments of what we are doing."
French foreign minister Georges
Bidault - blamed Russia for any
possible division of Europe and
said France had done all she
could to avoid such a division.
He declared that France would
continue to study methods of im-
Pier pont Will
Assume Post
Of Controller
Promotion of Wilbur K. Pier-
pont, assistant controller for the
past year, to the Office of Con-
troller of the University was an-
nounced yesterday by Vice-Presi-
dent Robert 0. Briggs.
Pierpont was formerly as assis-
tant professor at the University,
He holds the Doctor of Philosophy
and Master of Arts degrees from
the University, majoring in ac-
counting. He was also a fellow at
the University from 1938 to 1940,
following his graduation from
Central Michigan College of Edu-
cation, Mt. Pleasant.
A native of Winn., Mich., Pier-
pont was a Naval lieutenant dur-
ing the war. Previously he served
as a price analyst for the War
According to Vice - President
Briggs, Pierpont's new duties will
include assistance in handling the
budget, examination of research
and other contracts for business
policies, and special attention to
such University projects as Wil-
low Run Airport and the laundry.

... Wili play 'Prossy'
* * ,'
Tandida' Will
Open Today At
1Md elssohn
The speech department's Mich-
igan Repertory Players will open
their summer session at 8 p.m.
today at Lydia Mendelssohn
Theatre with the production of
George Bernard Shaw's comedy-
drama "Candida."
Starring Beth Laikin in the ti-
tle role of the tactful, intelligent
wife of Re. Dr. Morrellv, ungra-
cious and narrow-minded London
Minister played by Richard Stew-
art, the play deals with the com-
plications which arise when Can-
dida attempts to help Eugene
Marchbanks, a maladjusted young
poet played by Roger Clary.
Morrell thoroughly misunder-
stands the relationship, and, be-
coming alarmed, demands that
Candida choose between himself
and the.poet.
Other leading members of the
cast are Clara Gehringer as Pros-
sy, Forrest Campbell as the Rev.
Dr. Mill and Robert Compton as
Mr. Burgess.
Prof. 'Valentine Windt, of the
speech department, will direct the
llay with Berneice Prisk, of Iowa
State University, in charge of the
costuming. Oren Parker of Yale
University, will direct set con-
Tickets are still available for the
performances today through Sat-
urday including the matinee Sat-
urday, at the Lydia Mendelssohn
Theatre box-office.
No Speeial Trains
No special trains will leave Ann
Arbor to accommodate holiday
travel a representative of the
Michigan Central Railroad an-
nounced yesterday._

'"will not commit itself to non-
strike obligations enforceable by
harassing law suits."
2. It will follow the international
CIO policy, adopted last Friday,
of refusing to "comply with un-
constitutional limitations on poli-
tical activity which are written ip-
to the Taft-Hartley Bill."
Heard Interpretation
The steelworkers passed the res-
olution at the tail-end of a day-
long session after the 37 district
directors had listened to an inter-
pretation of the act read by Lee
Pressman, general counsel for the
One resolution declared:
"We shall in good faith seek to
resolve all issues between our un-
ion and the employers through
bona fide collective bargaining
and other peaceful means wher-
ever possible.
"The Right To Strike in event of
disputes must be preserved or our
freedom shall be lost."
The Executive Board made no
comment about the possibility of a
union-wide strike in protest of the
Taft-Hartley Act. Repeating that
all issues should be solved in good
faith, the Board denied reports
that it planned to sanction mass
walkouts by its members.
Camps Swell
Summer Total
Enroll 10 Per Cent
Of All 'U' Students
Off-campus programs contribu-
ted 10 per cent to the record to-
tal enrolled at the University for
the summer session, Registrar Ira
M. Smith reported yesterday.
Incomplete figures show that
1,077 of the 10,313 students at-
tending the summer session are
registered in camps and other
off-campus activities.
Individual programs and their
enrollment are as follows: co-op-
erative programs in education be-
tween the University and the four
state teacher colleges, 399; Univer-
sity level courses at the National
Music Camp, Interlochen, 244; Bi-
ological Station at Douglas Lake,
125; Institute of Social Work, De-
troit, 131; Forestry, Camp Fili-
bert Roth, Golden Lake, 68; Fresh
Air Camp, Patterson Lake, 41;
geology,,Camp Davis, Wyo., 33(in-
complete); surveying, Camp Dav-
is, Wyo., 14 (incomplete); geo-
graphy, Wilderness Park, 12 (in-
complete); wood technology course
at Grand Rapids, 9; and Univer-
sity level courses at National
S p e e c h Improvement Camp,
Northport, 1.

Steelworkers Vote To
Disregard Labor Board
Pass Resolution Refusing to Comply With
'Unconstitutional Restraints' of Labor Law
PITTSBURGH, July 2-(P-The CIO-United Steelworkers of
America, in executive board action, today voted not to recognize the
new labor board to be set up under the Taft-Hartley Law,
The 875,000 member union stated it will seek other means to ex-
pedite grievance settlements, bargaining elections and other items
that otherwise might come under the powers of the Federal Labor
Other Actions ,
Other actions taken by the union's executive board were:
1. In future contracts the union

Some Mmes
To Stay Shut
At Holiday End
A Few Operators
Refuse UMW Terms
By The Associated Press
WASHINGTON, July 2-An all-
out strike apparently was averted
today when John L. Lewis and
negotiators for a large part of the
bituminous industry reached a
tentative agreement granting Lew-
is big concessions.
However, many othei' operators
still were balking at the terms and
the prospect remained that their
mines would stay closed when the
miners' present holiday ends July
After secret conferences in a
hotel room, the following an-
nouncement was issued:
"Negotiators for n o r t h e r n
commercial coal operators and
the captive mines, together with
representatives of the United
Mine Workers, announce that
a tentative agreement in prin-
ciple has been reached subject
to the terms of a written con-
tract and'subject to the approv-
al of the parties."
A union official said that these
parties produce about one-third
of the nation's annual output of
520,000,000 tons of bituminous
coal. The captive mines referred
to in the statement are mines
owned by steel companies, which
use the coal in making steel.
The terms of the tentative
agreement were not announced
but were understood to grant Lw-
is' full wage demands, and per-
haps other concessions.
He asked for a 35-cent hourly
pay increase-from, $11.85 to
$13.05 a day-for one hour's less
work each ,day. Under this
plan the shift would be cut
from 9 hours to 8 hours, in-
cluding the one hour allowed
for underground travel at time
and one half.
The tentative accord followed
conferences between Lewis and
representatives of the U.S. Steel
Corporation and. the Pittsburgh
Consolidation Coal Company, the
world's largest bituminous com-
mercial producers.
The northernscommercial op-
erators covered by the tentative
pact those from Pnnsylvania.
Maryland, Northern West Virginia
and Ohio.
Not included are operators from
Illinois, Indiana, west of the Miss-
issippi and the South.
Lewis, who has 'been smilingly
cheerful as the talks proceeded to
a climax, told newsmen that the
United Mine Workers 200-man
policy committee will meet here at
3 p.m. Saturday, to review the


of the proposed con-

World News at a Glance
$y The Associated Press
MANILA, July 2-Military police today routed 32 escaped convicts
who seized and held Calapan, capital of Mindoro Island, for several
hours after capturing MP arms and uniforms and disarming police,
the governor, a congressman and other officials.
WASHINGTON, July 2-Legislation authorizing $300,000,-
000 in federal aid to states for education was approved today by
the senate labor and public welfare committee.
ROME, July 2-The communist secretary-general of Italy's
6 000.000-member aGeneral Lahor Confederatin threitned tnnight

Steel Industry
Stall Will End
Production Hinges
On Coal Contracts
PITTSBURGH, July 2-({-
Tentative agreement between John
L. Lewis and northern commercial
operators on a contract that would
avert a coal strike was expected to
revive stalled steel production
Industry sources, who declined
to be quoted, said almost normal
production would be resumed by
next week if the miners return to
work after their vacation.
A spokesman for Carnegie-Illi-
nois Steel Corp., largest U.S. Steel
subsidiary which has 10,00work-
ers idle because of fuel shortages,
said the firm would have no com-
ment for a day or so.
Sharon Steel Corp., which closed
down its Farrell, Pa., plant to-
night, said it would be unable to
reopen until "the coke supplies
start coming in."
All Cabs Operating
With Insurance

Negroes Told To Work for Full Liberty

Negro participation in move-
ments for extending their own li-
berties is imperative for a realiza-
tion of full democracy, Louis
Burnham, executive secretary of

tection for them after the massa-
cre at Fort Pillow, he said.
The idea that because Negroes
comprise only one-tenth of the
population, it is futile for them to
become aware and resentful of
their second-class citizenship and

As long as full democracy is not
won for the Negro, Burnham
warned, the entire population finds
itself at a disadvantage. Seven
and a half million southern whites
were oppressed during slavery, he
reminded.-not just the slaves-

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