TRUMAN'S GAMBLE See Page 2 IYe IC 43UU La test Deadline in the State Iati4 CLOUDY, COOLER VOL. LX, No. 3-8 ANN ARBOR, MICHIGAN, FRIDAY, JUNE 30, 1950 FOUR PA( Russia House Ups Ko Corporation Tax Rates Excise Tax Cut Reperci yesterday Requires Move fused the WASHINGTON - (P) - A bill THE slashing excise or "nuisance" taxes went ahe by $1,010,000,000 a year and rais- Ru ing levies, on large corporations by note w J $433,000,000 was rammed through A si the Housevtoday by a smashing tary supp 375 to 14 vote. parently It now goes to the Senate, where sian com an uncertain fate awaits it in view The Se of the Korean war and the tense ation in international situation. Sunday. THE MEASURE would cut the INDI excises, many of them imposed in night fro World War II, on jewelry, furs, stopping pocketbooks, movies, telephones, T baby bottle warmers and scores Th of other items. The levies often inateria are called nuisance or sales taxes. Prim country Republicans joined Democrats world an in the overwhelming House vote. after they failed in a drive to get THE a separate vote on a bill cutting not repre excise taxes only. Korean f There was overwhelming support Th in the House for cutting the ex- days. I ises, but Republicans bitterly body t fought other sections of the bill. republi The corporation tax increase-af- rdia fecting corporations making more Successd than $167,000 a year-was inserted to make the bill "veto proof." mitted t President Truman had said that if South Ko excises were cut, increases must Egyp be voted elsewhere. decision. ON THE FINAL vote 233 Demo- RED crats, 141 Republicans and the one tection of American Labor member supported territory the bill. Opposing were only one Th Democrat and 13 Republicans. Ministe SThe excise reductions might suserg become effective Sept. 1 or Oct. 1-If there is any tax cut at all. Tues Congressional leaders agree the to protec ultimate fate of the bill may be terminati tied to the Korean war. If more ity in the money for American fighting equipment is required, the bill FOR may be replaced with another Formosa increasing-not reducing-taxes. Even Republicans assailed the bill as (Formosa a "phony" tax reduction and of- fleet forc fered a motion to cut it in halg, strategic with separate votes on one measure Brita reducing excises, and then on an- than two other dealing with the tax boost- cabinet. ing provisions. Hi They lost 238 to 147, with Demo- tions a crats pulling up a virtually solid neutral wall against them. The GOP mo- Southl tion to split the bill was supported No w by 144 Republicans and three ever, tha Democrats. Opposing were 228 house of Democrats, nine Republicans and the one American Labor party ASE member. Communi 70 Group A passage b Illinois to Force OK'd 6W By Senate economic ing from WASHINGTON-(P)--The Sen- An o ate today approved a bill author- for Europ izing-but not providing funds for other sect .-a 70-group air force. for little Air-minded House members have backed such an authorization since STAT the war, even though President ed Michig Truman has said repeatedly the eration. nation's budget cannot stand such The a large air armada. Leonard Senator Chapman (Democrat, staff o Kentucky) floor manager for the agencies bill, made it clear that it estag- Order lishes "merely a basis for plan- radio nets nning." "We are not expecting an imme- Governor diate appropriation," he told the "We Senate. control ce The bill, a compromise yorked our catal out by a conference committee, of emerge now goes to the House. It also sets manpower limits for the Army, Air Force and their reserve BROJ units. The actual size of the nation's ~ fighting air fleet, as Mr. Truman K o4 has pointed out, will be determin- ed by later appropriations. The pre Say Gold Ready was porte Takes Hands Off Stand on ore USSR Says South Kore 0 rean Crisis Has Orld-Wide Effects By The Associated Press Lssions from Korea molded policy in all parts of the world , as Communists continued their advance and Russia re- U.S. request to call a halt to the invasion of South Korea. * * * . UNITED NATIONS shoved aside Russian objections and ad lining up armed forces against the Red invaders. ssia, in a protest note, contended the force is illegal. The as pigeon-holed. milar note from North Korea, branding the UN call for mili- port illegal, was received in Lake Success yesterday. It ap- was headed for the same pigeon-hole reserved for the Rus- rmunication. curity Council was called to meet today to survey the situ- its third urgent session since the Korean fighting began A, the biggest non-Communist power in Asia, switched last m neutrality to support of the United Nations policy for the Korean conflict with Allied armed force. ere was no indication as to vghether India would offer l aid in Korea. e Minister Jawaharlal Nehru long had tried to steer his on a neutral line in the cold war betweeen the Communist d the Western Powers. GOVERNMENT in a communique said its new decision did sent a change in foreign policy and added a hope that the ghting still could be ended by mediation. e decision came after the second cabinet meeting in two ndia is a member of the U.N. commisssion for Korea, the hat supervised elections setting up the new invaded Seoul ic. and Egypt were the two holdouts Tuesday night at Lake when the Security Councy, by a 7-1 vote, approved and com- he United Nations to support American armed efforts for area to end the fighting. t said it would announce today whether it will support the 'Big Hangover' DETROIT - (P) - Henry A. Moskwa, 32, had an experience that most tavern patrons only dream about-he was accident- ally locked in a bar at closing time. Moskwa enjoyed the un- guarded liquor for two hours until someone noticed a light in the bar and police arrested him. Yesterday Moskwa was con- vi ted on a drunkenness charge -it was his 15th such convic- tion-and sent to jail for 30 days. GOOD LIVING IN LATER YEARS PAYS OFF AS OLDSTERS SWING THEIR PARTNERS Status of Elders Problem -- Tibbitts * * * * CHINESE leaders yesterday charged that American pro- Formosa was "intervention," "armed aggression against the of China, and total violation of the United Nations Charter." e charges made by Chairman Mao Tze-Tung andForeign r Chou En-Lai in a Peiping broadcast heard in Tokyo, ac- America of "inciting" the Korean war but stressed most y China's claim to Formosa. day when President Truman ordered the U.S. seventh fleet t the strategic island from' Red invasion, he said that de- on of its future status must await the restoration of secur- t Pacific. * * * * ONCE, Nationalist China agreed with the Reds - that belongs to China. as Chiang Kai-Shek's Nationalist government on Taiwan i) scurried to set up liaison machinery with'the U.S. seventh es assigned to protect it, official ranks showed fear that the island's status, may undergo a change. in's next move in the Korean crisis was discussed for more hours today at a meeting of Prime Minister Attlee's full gh commissioners of the eight British Commonwealth na- lso met just as India announced it was swinging from ity to support of the United Nations campaign to save Korea. ord of cabinet decisions leaked out. It was announced, how- t full debate on Korea will be held next Wednesday in the Commons. * * * * NATE VOTE on a $1,222,500,000 measure for arming non- st nations, including South Korea, was set for today with elieved certain. sing to hold off until Monday, Democratic leader Lucas of ld Senators in urging agreement today on a vote schedule: e've got a world crisis in front of our faces, and it is ogically important that we act as quickly as possible." her cold war defense measure, designed to strengthen the' position of the free world, took a sharp $250,000,000 slash- economy forces in the Senate Appropriations Committee. fficial said this figure was chopped off Marshall Plan funds ?e, but the committee reportedly gave swift approval to an- tion of the bill which adds a fat $100,000,000 to economic aid South Korea. * * * * rE POLICE Commissioner Donald S. Leonard today report- gan's air raid warning and control system is already in op- e control center used in World War H has been reactivated, d said, and is being manned by state policemen until a f technical experts can be assigned from various State s. rs for reactivation of the center and use of the state police work to spread air raid alarms were given late Tuesday by Williams and the State Defense Council. have been working like mad," Leonard said, "to get the enter reconverted for this purpose and to bring up to date Ague of community facilities and services available in case ency." By PAULA STRAWHECKER The status of older people has become one of the most critical social problems of our time, Clark Tibbitts, chairman of the Com- mittee on Education for the Aging Population of the National Edu- cation Association, declared yes- terday. Speaking at the second session of the Institute on Living in the Later Years, Tibbitts said "popu- lation changes, including greater life expectancy and almost com- plete cessation of emmigration, industrialization and urbaniza- tion are 'responsible for this pre- sent situation." "DEPRIVED of jobs and with- out their children who have their own problems, older people have no interest in life." And a vast proportion of the production capa- city of this country remains un- utilized, he added. Tibbitts emphasized that the American system of values en- courages the individual to con- tinue to develop his potentiali- ties. However, under the pre- sent conditions, this opportuni- ty is not available to older peo- ple, he stated. Outling a four-point program to aid those in their later years, Tibbitts first discussed the neces- sity for a change in living ar- rangements. He declared that since urbani- zation the family unit has grown smaller and although family life and especially participation are vital to the older person, in most cases space and the decrease in family activity no longer permit the individual over 65 to live in the family group. "This situation necessitates some institutional housing, but not the exclusion and inaction of older people that is found in many institutions," Tibbitts em- phasized. He stated that the creation of a new environment is also needed; one which is oriented toward peo- ple in their later years as well as W T0 le Williams To Talk Here Gov. G. Mennen Williams will speak at a dinner tonight in the Union on "Age Is Opportunity." The governor's address will con- clude the University's third annual institute on "Living in the Later Years." for children, as is the present en- vironment. AS A SECOND POINT Tibbitts said that we must realize older people are still able to participate in community life; functional, not chronological aging must be con- sidered. He presented the problem of financial security as the third major consideration. "This is the most national aspect of the situation," he claimed. "At present, a minority of older people derive their incomes from employment and the rest from pensions, savings, and family or public assistance," he said. * * * THE SOCIAL SECURITY Act does not provide adequate support and does not cover those older people under 65 who are unable to work, he stated. Tibbitts explained that pri- vate pension systems themselves are the basis on which many companies refuse to employ per- sons nearing pension age, be- cause the company will have to pay most of the pension. As the fourth and most impor- tant point, Tibbitts evaluated prospects for the employment of older people. He stated that older Haven Hall 'Destruction Bid Accepted A bid of $12,500, lowest of five submitted to the University, won the contract yesterday to tear down Haven Hall, Vice-President Robert Briggs announced. Work is scheduled to begin next Wednesday, and will take about 30 working days, firm of- ficials said. The work must be completed by August 27 under the terms of the contract. Amounts of the four other bids were not revealed. University officials are still not ready to tell when bids will be asked on the $4,000,000 Angell Hall addition which will more than replace the office and class- room space destroyed in the Haven Hall fire three weeks ago. Architects are at work modify- ing plans for an Angell Hall addi- tion drawn up two years ago for the project, which is being speed- ed up so that at least part of the new building will be ready for oc- cupancy by the fall of 1951. people want to work and that the majority do not wish to retire. "They should be employed in order that their production capa- city can be utilized and in order that they will not become financial dependents," Tibbitts said. He ad- ded that it has been proven that older people have the experience as well as the judgement which many young people lack. Truman Calls Reds 'Bunch Of Bandits' WASHINGTON - (R) - Presi- dent Truman yesterday expressed full confidence that Red-invaded South'Korea will be saved as a free nation, and he denounced the Communist attackers as a "bunch of bandits." Mr. Truman told his news con- ference the United States is "not at war." We are simply supporting the United Nations in a police ac- tion, he said. * * * WITH A FIRM no comment, the Presiden tdeclined to say whether American ground troops will be thrown into the Far Pacific con- flict or whether the atomic bomb might be used. He explained that he would not discuss any matter of stra- p tegy. Asked to elaborate on his com- ment that "we are not at war"- a quotation which he authorized- Mr. Truman explained in these terms: The Republic of Korea was set up with United Nations help and under a government generglly re- cognized by United Nations mem- bers. It was then unlawfully at- tacked by a "bunch of bandits," their neighgors in North Korea. THE PRESIDENT said there was not a word of truth in a state- ment by Senator Taft that the President's decision to intervene in Korea was a reversal of Secre- tary of State Acheson's policy. Mr. Truman hit back at Sena- tor Taft who demanded in the Senate yesterday that Acheson resign. "I think the political statement of Mr. Taft at this time is entirely uncalled for," he said. Taft told reporters he had no comment on this. "I am not going to engage in any controversy with the President now," he said. Hours Offenders Penalties Revealed summer Session lateness penal- ties for women were announced yesterday by Virginia Gish, pres- ident of Women's Judiciary, fol- lowing a meeting of House Presi- dents. Korea War Tide T urns Near Seoul TOKYO-(P)- The battle o Korea today was stabilized on the critical central front just south of fallenseoul and a counterat- tack hurled the Reds from the city's Kimpo Airport. These developments were re- ported by General MacArthur's headquarters shortly after the general himself returned to Tok- yo after a daring flight to the front. THE COMMUNISTS were re- ported to have driven about 8 miles south of the Han River south of Seoul yeste rday, but MacArthur on his visit to that sector of the front saw no evidence of it and briefing officers said the Reds had not crossed the Han in this area. Giant B29s and other Ameri- can war-planes caused wide- spread dames to military tar- g e t s in Communist-invaded South Korea yesterday, General MacArthur announced today. Five enemy aircraft were shot down. There were no U.S. losses reported. * * * MacARTHUR'S summary indi- rectly denied assertions by the North Korean radio that U. S. bombers had attacked the Commu- nist capital at Pyongyang. Only the sector around Seoul was men- tioned specifically in the an- nouncement. The North Korean radio also asserted today that Red Ko- rean fighters intercepted Amer- ican aircraft at the 38th paral.. lel and destroyed two four-en- gine planes. The latest broadcast said North Korean planes pursued the Ameri- can aircraft from the parallel - geographical boundary for North and South Korea - to Suwon, a distance of some 45 miles. * * * MEANWHILE General MacAr- thur's key officers hastened prep- arations today to use the ships and planes of Great Britan and Australia in intensified attacks on Communist positions in South Korea. Also taking precautions Presi- dent Elpidio Quirino placed Phil- ippines armed forces on a war footing yesterday., Meader Tells Of Candidacy George Meader, former Wash- tenaw County prosecutor, an- nounced yesterday that he will seek the Republican nomination as Congressman from the Second District. Meader announced his candi- dacy for the congressional post to be vacated by Rep. Earl C. Michener's retirement in a letter to the local Meader-for-Congress committee. He has been a lawyer in Ann Arbor since 1932 and was first president of t h e Washtenaw County Young Republicans. To Hold Funeral For Iran Student Amir Saied Hazrati, 22-year-old student from Iran, who drowned Started War States in Reply To USRequest LONDON-(IP)-Russia reject- ed tonight an American request that Moscow use its influence to end the Korean war. She charged that responsibility for the con- flict "lies with the South Korean authorities and with those who stand behind them." The cautiously worded Soviet declaration contained no ampli-. fication of the phrase "those who stand behind them." HOWEVER, the words obvious. ly could be interpreted as apply- ing tp the Non-Communist ma- jority of the United Nations which approved the establishment of the South Korean Republic and to the United States in particular. American planes and warships now are fighting in support of South Korean troops. Specifically the Soviet Union maintained that the events in Korea were "provoked" by an attack of South Korean troops upon the frontier areas of North Korea. That contention is di- rectly contrary to United Na- tions findings which show that North Korea began the conflict last Sunday by invading South Korea. The Soviet declaration was made in reply to a United States re- quest that Moscow prevail on North Korean authorities for the immediate withdrawal of the in- vading forces. The Russian reply said: * * * "T H E SOVIET government holds to the principle of thie in- admissibility of interference of foreign powers in the internal af- fairs of Korea." This section of the Soviet dec- laration, was viewed in some quarters in Washington as hav- ing a hopeful tone from the point of view of the maintenance of world peace. Strict adherence to this principle, some experts suggested, would mean that the Russians would not send in their own forces to bolster the North Koreans. The same experts agreed that it would be unwise to try to read too much into the sentence. The American request was de- livered in Moscow Tuesday when U.S. Ambassador Alan G. Kirk called on the Soviet Foreign Of- fice. Russia's reply - a declara- tion to Kirk by Andrei A. Gromy- ko, deputy Soviet foreign minister was broadcast by the Moscow radio tonight. GROMYKO told Kirk: "According to reliable data of the Soviet government, the events which are going on in Korea were provoked by the attack of the, South Korean authorities on the frontiey areas of Northern Korea. Therefore the responsibility of these events lies with the South Korea authorities and with those who stand behind them. "As is known. The Soviet government withdrew its troops from Korea earlier than did the U.S. Government and thereby confirmed its traditional princi- ple of non-interference in the internal affairs of other states. The Soviet Government holds now also to the principle of the inadmissibility of the interfer- cnce of foreign powers in the in. ternal affairs of Korea." Gromyko said the Soviet Unior. had found it impossible to take part in United Nations meetings dealing with the Korean question because "by virtue of the U.S. government" the delegates of Red China had not been admitted to the Security Council. Keeping Red China on the outside, Gromyko said, meant that it was "impos- s ible for the Security Council to take decisions which have legal force." 'U' Receives Grant. [GHT ABOUT RED ESPIONAGE: orean Says Crisis Caused by North-South Split esent situation in Korea ended by the initial di- * * * South for its agricultural pro- ducts; the South needed the conflicts with the Communists have always been common occur- ames- meam