FRANCO LOAN-
"REALISM'
See rage 2
Y
as
La test Deadline in the State
Iaii41
FAIR, WARMER
VOL. LX, No. 27-S ANN ARBOR, MICHIGAN FRIDAY, AUGUST 4, 1950
FOUR PAGES
1m.
s
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25th Division Shifts South, Re uses tta
ck
* *
* * *
* * *
Cabinet Will
Remain As
Is -
Truman
WASHINGTON-(P)-President
Truman put Korean policy critics
emphatically on notice yesterday
' that as long as he is President,
Secretary of State Dean Acheson
and Secretary of Defense Louis
Johnson will stay in the cabinet.
His stern comment came in re-
ply to a news conference question.
A reporter stated that Rep. Priest,
of Tennessee, House Democratic
whip, had said Acheson and John-
son should resign. The reporter
asked for Presidential reaction.
** *
MR. TRUMAN, who weeks ago
had tartly rejected Republican de-
mans for Acheson's scalp, said he
was surprised that the House whip
of his own party had made such
a statement.
He said Priest had no business
doing that. Then, raising his
voice, he said he wanted to make
it plain that Acheson and John-
son are not going to resign as
as long as he is in the White
House.
Mr. Truman, turning to other
matters ,expressed disapproval of
a proposal approved tentatively
today by the House to apply price-
wage controls automatically when
prices rise five per cent above
June 15 levels.
HE SAID that is an invitation
for prices to go up five per cent:
then that would have to be met
by a wage increase, and a never-
ending spiral upward would start.
He added he had not asked
for price-wage control power,
but if it was to be forced on him
it should be authorized without;
any restrictions on him. He pre-;
ferred standby authority, if any
at all, with the President hav-
ing the right to put on the brakes1
when needed, using the price
level between May 24 and June
24 as a base.
The President said he will sup-'
port former U. S. Rep. Thomas
C. Hennings, Jr., of St. Louis for
election if he is finally judged to
be the winner over his candidate,
State Senator Emery W. Allison,
for the Democratic Senate Nom-
ination in Missouri.
Allison trailed Hennings by
more than 4,000 votes in the Tues-
day primary, but in congratulating
Hennings he clung to the faint
Britain To Build Up
Western Defenses
Offers To Supply North Atlantic Pact
Members with Free Military Aid
LONDON-(i)-Britain announced yesterday she plans a $9,520,-
000,000, three-year program to build up Western defenses against
Soviet Russia, if the U. S. will help pay the bill.
In return for U. S. financial aid, Britain offered to supply her
North Atlantic Pact partners with free military equipment made in
Britain.
** 'I *
A STATEMENT from Prime Minister Attlee's office said the pro-
gram would increase Britain's total defense expenditure from nearly
eight per cent of the national income to 10 per cent.
Britain's Labor Government is ready in principle to make this
increase, the statement said, but fulfillment will "depend on the
j amount of U. S. assistance,forth-
comin ,,"
Ca Mpus YP
S uspended
By 'U' Move
The Young Progressives have
been suspended as a recognized
student organization pending a
hearing by the Student Affairs
Committee which will be held
Tuesday.
Notice of the suspension, receiv-
ed yesterday by YP chairman Gor
don MacDougall, said. that it was
"until such time as .the responsible
officers of the Young Progressives
appear before the Committee on
Student Agairs to explain the cir-
cumstances of their meeting of
July 24, 1950."
This was a meeting held by the
Young Progressives to discuss Kor-
ea. It has been variously described
as "an open student forum," "an
all-campus discussion," and a
"membership meeting." The Pro-
gressives had obtained permission
to hold a membership meeting on
thatdate in the Union.
S* * *
THE YOUNG Progressives, in a
statement issued by their execu-
tive board last night, said:
"This suspension comes as a
great shock to the YPA. We
have not been charged with vio-
lating any University rules .. .
warned, or consulted in this
matter, in violation of the Uni-
versity rules governing the ex-
pulsion of recognized campus
groups.".
The rule on withdrawal of offi-
cial recognition requires that "af-
ter review of the evidence obta in-
able, officers of the organization
concerned will be heard by the
committee . ."
Dean Walter last night said
that a special meeting of the
Student AffairsrCommittee has
been called for Tuesday,. at
which time the Young Progres-
sives will be heard.
The YP statement continued:
"We feel that the Committee on
Student Affairs should temporarily
rescind its action until the YPA
has had a chance to present its
side of the story.
"Today in an atmosphere of
public hysteria and thought con-
trol, the University has the spe-
cial duty to avoid even the ap-
pearance of yielding to such politi-
cal pressures."
Senate Denies
Loan Review
WASHINGTON-(MP)-The Sen-
ate refused yesterday to reconsider
its vote for a mandatory $100,-
000,000 loan to Franco Spain, al-
though President Truman said he
doesn't approve.
UVI~ g.
"This burden would be so heavy
that it would be impossible to car-
ry out the full program without
substantial U. S. assistance in ad-
dition to completion of the Euro-
pean recovery program, (due to
end in 1952)," it said. "Even so it
will entail real and substantial
sacrifices by the British people.
It will delay the recovery and post-
pone the improvement in their
circumstances for which they had
hoped as a result of their efforts
since the end of the war."
THE PROPOSED outlay totals
3,400,000,000. pounds sterling. The
nation's entire budget for the cur-
rent fiscal year is 3,455,000,000,
pounds or $9,674,000,000.
The statement was handed to
U. S. Ambassador Lewis Douglas
last night.
The statement said the pro-
gram will inevitably slow down
the postwar recovery of the
United Kingdom but the gov-
Battle Rages
35 Miles
From Pusan
TOKYO--(P)-A heavy Commu-
nist attack was repulsed last night
by the U. S. 25th Division, hur-
riedly shifted from the North to
the crucial Southern Front 35
miles west of the vital port of
Pusan.
Fast-moving North Ko0r ea n
forces elsewhere began shelling
new riverfront positions along a
shortened, 125-mile front in the
shrinking beachhead of Southeast
Korea.
* * *
TANK-EQUIPPED U. S. Marine
and Army reinforcements also were
racing up to bulwark this line,
where a decisive battle may be
building up.
U. S. Marine carrier-based
planes roared into action today
for the first time, blasting Com-
munist targets behind the
Southern Front, a Navy an-
nouncement reported.
The sudden shift of the 25th In-
fantry Division from the North to
the South Front was reported in
a U. S. ighth Army communique.
It said the Communist attack roll-
ed up yesterday and was beaten
back. An estimated 600 North Ko-
rean bodies were strewn on the
battlefield.
* * *
THE 25th CAME to the relief
of the battered 24th Infantry Di-
vision. The 24th fought a dogged,
delaying action in the long re-
treat from positions south of Seoul,
and has been bearing the brunt
of the Communist drive toward
Pusan.
The Communist assault on the
25th was by an estimated four
North Korean battalions. The
communique said another Commu-
nist attack in company strength
was beaten off northeast of Chin-
ju, 55 miles west of Pusan.
General MacArthur's head-
quarters, apparently reporting
the 25th action, said a regimen-
tal combat team drove the Com-
munists back after a six-hour
battle. Fighting began at mid-
night and raged on until 6 a.m.,
today.
* * *
BEHIND THE wide Naktong Ri-
ver, now the new U. S. and South
Korean defense line, American ar-
mor and men were building up in
quantity, field dispatches said.
Headquarters said reconnais-
sance showed that the Commu-
nists were building up considerable
strength in the Taejon area north-
west of the river positions around
Taegu.
A COMMUNIQUE from an ad-
vance U. S. command post in Ko-
rea, dated Aug. 3, said a U. S. tank-
led battalion has dashed 22 miles
behind enemy lines, captured val-
uable documents, maps and Rus-
sian-made equipment and return-
ed successfully to its own lines.
The penetration, classed as a
definite U. S. victory, was the
deepest and most daring so far
in the Korean War. It occurred
yesterday and last night in the
crucial Chinju area.
-Daily-rrank Kely
RECRUITER SIGNS STUDENT ENLISTEE-Sgt. John C. McAuliffe telephones information to
an anxious non-veteran while student Nick Wheeler signs for a hitch in the army, beating the
draft the hard way. Trophies flanking banner on wall are recognition of high numbers of recruits
for the local station.
ernment is
bute "to the
world in the
situation."
Britain, it
undertake so
gram "unless
anxious to contri-
defense of the free
present threatening
went on, could not
big a defense pro-
the U. S. can offer
hope that absentee
still win for him.
ballots may
Reece Leads
In Tennessee
NASHVILLE--(P)-Gov. Gordon
Browning held a 10,501 vote lead
at 9:30 P.M. (CST) yesterday in
his bid for renomination in the
Democratic primary.
Attention on Tennessee races
was focused in east Tennessee's
Second District, where Carroll
Reece, former Republican National
Chairman, took a lead in his bid
to return to the Congressional post
he held for 24 years.
Unofficial returns from 1,111 of
the state's approximately 2,300
precincts gave Browning 84,652
votes to 74,151 for State Sen. Clif-
ford Allen.
The returns included only a
fragment of the biy city vote, only
beginning to tricle in. This vote
from the four big population cen-
ters could swing the trend either
way.
Trespass Hearing
'a1 3 nJ b y Fr Ent
financial assistance," part in ma-
terials and part in freely-conver-
tible dollars.
* * *
SHE ALSO announced willing-
ness to transfer an unspecified
quantity of British-made military
equipment to her Atlantic allies
who were in need, to help in the
common job of building up a ba-
lanced collective defense.
Also proposed was a general ar-
ri ngement which might be applied
on a reciprocal basis.
The new program will be sub-
mitted to Parliament for approval
oiy when Britain and the U. S.
have worked out some kind of a
deal on the whole issue, the an-
nouncement said.
World News
Roundup
gy The Associated Press
WASHINGTON - The Senate
voted yesterday to hack about
$525,000,000 off this year's general
government appropriation bill, but
it exempted Marshall Plan funds
as well as the military budget from
the 10 percent cut.
* * *
WASHINGTON -- President
Truman yesterday created a
high level staff to serve with
the National Security Council in
this critical world period. The
Council helps coordinate mili-
tary, domestic and foreign poli-
cies in the interest of the na-
tion's Defense. The President
heads it.
* * * '
WASHINGTON-President Tru-
man is sending W. Averell Harri-
Truman Hits
Price-Wage*
ControlsBill
WASHINGTON--(/')-The House
voted yesterday for an "alarm
clock" system of automatic price-
wage controls, and President Tru-
man promptly condemned it as an
invitation to a price rise.
Under the plan, as tentatively
approved, price and wage controls
would take effect if the cost of
living rose five percent above June
15 levels.
* * *
THE PRESIDENT would be dir-
ected to bring under control those
prices and wages which he finds'
materially affect living costs-bas-
ing ceilings on the May 24-June
24 levels.
Truman told a news confer-
ence that he has no objection to
being given authority to roll back
prices to a level prevailing be-
tween May 24 and June 24.
If we are going to have price
controls let's have it, he said.
Militia In Critical
Jobts deferred
WASHINGTON W) ---Secretary
of Defense Johnson announced
yesterday that National Guards-
men and Reservists in critical jobs
will be deferred temporarily from
active military duty.
Johnson's announcement was
part of an unusual governmental
triple play involving three depart-
ments: Defense, Labor and' Com-
merce.
The Commerce Department list-
ed 72 important industries, the La-
bor Department listed 48 critical
occupations, and the Defense De-
partment said these lists would be
used in guiding the deferment of
officers.
* * *
NOn-V ets Face Reserve,
Draft, ROTC or 'Guard'
By PETER HOTTON
Daily City Editor
Exactly what is the student's status in the draft, Reserve, National
Guard and college training programs since the start of the Korean
war is the question foremost in the minds of both men and women on
campuses all over the country.
The veteran has little to worry about, for he is draft exempt, at
the moment, but he can enlist any time he wants to, sometimes at
the same grade he had when he was discharged. Married veterans
can't get back in if they wanted to, because they are not allowed to
enlist.
* * * *
THE NON-VET'S situation is somewhat different. If he is regis-
tered with any draft board, all he has to do is wait for greetings.
All males must be registered within five days of the time they become
18 years old.
The local board will move from its old cubby hole to more
spacious quarters Saturday at 210 W. Washington Street, across
the street from the car port.
If a student has registered for the draft in his home town and
is called for pre-induction examination, he can take it from the local
board, according to Mayor William E. Brown, local board chairman:,
A man can transfer his induction to the nearest board where he
lives, but his classification and registration stay at the board at which
he first registered, he said.
Also doing a land office business is the local recruiting station.
Monthly enlistments for the Army and Air Force have almost
doubled since the war started, according to Sgt. Norwood Broad-
way, chief recruiter.
The station, located in the Armory, 223 E. Ann St., is open seven
days a week to 9 p.m., Broadway said.
* * * *
THERE ARE WAYS of legally "beating" the draft, but it won't
necessarily keep a man out of the army, navy or any other service.
The University's ROTC and NROTC programs, plus local National
Guard and Reserve Units will keep a student from the draft, but as
a member he is liable to be called to duty at any time.
NEITHER PROGRAM at the University have had any directives
to modify or expand their programs in any way, according to summer
commanders Major Bernard H. Schummel and Commander William
R. Smith
* * * *
CO. K. 125TH REGIMENT of the 46th National Guard Infantry
Division is located at the Ann Arbor Armory, and trains every Mon-
day. Its members, 81 strong, are one-quarter students and are paid
for their training.
Anyone who joins the National Guard before he is 18 and a
half years old is draft exempt and subject to a call to duty at any time.
U.S. Motion
on Korea
Approved
Voting Termed
'Illegal' by Malik
LAKE SUCCESS-(P)-In a bit-
ter session scarred by charges of
blackmail and slander,athe Secur-
ity Council rejected last night a
Russian attempt to have the Coun-
cil consider admission of Red
China ahead of the Korean War.
Instead, the Council approved a
United States motion to keep on
discussing North Korean aggres-
sion and to try for a way to confine
the war to Korea alone.
THE VOTE TO substitute the
United States proposal for the
Russian item ws 8 to 1. The So-
viet Union voted alone and this
did not count as a veto since agen-
da votes are considered as pro-
cedural and not of major import-
ance.
The United States proposal
was to consider immediately "ag-
gression upon the Republic of
Korea." The Russians sought to
make the item read "peaceful
settlement of the Korean ques-
tion." They were voted down on
this also. Tre Council likewise
refused even to put the Chinese
question on its agenda.
Soviet Deputy Foreign Minister
Jakob B. Malik called all the votes
"illegal" because they were taken
without the presence of Red China,
but he showed no sign of walking
out after the series of diplomatic
defeats. He called another council
meeting for today.
THE COUNCIL meeting was one
of the post heated in UN history.
United States Chief Delegate War-
ren R. Austin swapped blunt lang-
uage with Malik, who is president
of the council during August.
Malik charged the United
States with "flagrant, open and
active aggression" against the
people of Korea. He told the
Council the UN must choose be-
tween the Moscow brand of
peace or follow the United
States along a path the Russian
called aggression.
Red faced and angry, Austin
shouted back that Malik had ut-
tered "a new slander, a new threat,
a new provocation." Austin said
the world is tired of hearing such
"shameless travesties" while sons
of nations are dying in Korea.
The Council sat silent as Malik
renewed his demand that it take
up the question of seating Com-
munist China as a permanent
member before going further into
the Korean trouble. To some West-
ern delegates, his speech seemed
like a yarning from the Soviet
Union to take Moscow's peace
terms--or look out for trouble.
U. S. Worlng
On Two New
UN Proposals
WASHINGTON-(P)-Proposals
for two new United Nations ac-
tions in the Korean crisis are
now being developed bythe United
States.
* * *E
THE PROPOSALS ARE:
1. Creation of a permanent
watchdog commission to keep
check on trouble spots all over
the world and have official UN
observers on hand when and if
some new Communist aggression
occurs. President Truman and
other Government officials felt
the free world benefited greatly
and United Nations action against
aggression , wpeeded up consid-
erably by the presence of a UN
commission in Korea when the
Red attack broke.
2. Organization of a UN group,
including Asian members parti-
cularly, to consider the UN's
course of action in Korea once
troops have driven the Reds back
LECTURES ON NEAR EAST:
Turkey Has Tradition of in ternal Peace
By CAL SAMRA
There is no reason to fear that
the progress of the Turkish coun-
try will lose momentum, and since
changes have been made in a gra-
dual ann nderly fashion, the tra-
HE REVIEWED the modern his-
tory of Turkey from the disin-
tegration of the Otooman Empire,
the War of Liberation, the Re-
public, which was founded in 1923
and the era of Ataturk, the Great
Lca flnPn of the mnt imncor-
and the promulgation of human
rights and democratic freedoms
in the Constitution.
Webster pointed out that the
People's Party, of which Ataturk
was president, dominated Tur-
irn..' "A1it 1'llif. f -n 1aOW1 +r
Warty, which recently won an
overwhelming victory at the
Turkish polls, Webster explain-
ed that "the platform of the
Democrats is not radically dif-
ferent from that of the People's
Party."