POINT FOUR
APPROPRIATION S
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Latest Deadline in the State
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PARTLY CLOUDY
VOL. LX, No. 20-S ANN ARBOR, MICHIGAN, SATURDAY, JULY 22, 1950
FOUR PAGES
Multi-Billon
Tax Boost
"
Suggested
Levy Would Be
Biggest in History
WASHINGTON - (A) - An
} immediate multi-billion dollar
"across the board" boost in federal
taxes, to crack down on "profi-
teers" and to put the nation on a
pay-as-you-go basis in the Ko-
rean crisis, was proposed yester-
day by the Senate-House Econo-
mic Committee.
If the Committee's recommen-
dation were followed it could mean
that Americans - individuals and
corporations - would be called
upon to bear the biggest tax load
in history - greater than the re-
cord tax tae of $44,800,000,000 in
the last war year, 1945.
IT MIGHT MEAN also a near
confiscatory levy on any business
profits that could be classed a
"profiteering."
However, the Committee's po-
wers are advisory only. Taxes
are handled by the House Ways
and Means and Senate Finance
Committees. Most legislators
agree there will have to be a
substantial tax increase, but
there is much sentiment for ap-
plying it tornext year's income
not this year's.
Senator O'Mahoney (D e m-
Wyo), Chairman of the Economic
Committee, told reporters the com-
. mittee agreed unanimously on the
need for a quick increase. The
committee suggested no specific
figures, but speculation around
Capitol Hill had it that President
Truman may ask for a tax in-
crease between $5,000,000,000 and
$10,000,000,000 a year.
* * *.
CHAIRMAN O'Mahoney said
the Committee agreed that new
taxes should be put on individual
income as well as upon crpora-
tions. On his own he suggested that
individual taxes be boosted 10 per
cent "at least."
. nHe said the new taxes should
apply to this year's Income. He
stressed particularly the excess
profits tax designed to drain
off above-normal corpoate in-
come.
"Put this tax on this year's in-
come," O'Mahoney said, "so that
every profiteer would know he was
just collecting money for Uncle
Sam."
* * *
THE CONGRESSIONAL talk of
a tax crack-down on profiteering
heightened as reports of price
hikes come into Washington from
4 about the country.
The Economic Committee-with
five Republicans and four Demo-
crats present-took its stand on
taxes at a closed-door session,
O'Mahoney said it also agreed that
consumer credit including install-
ment buying, should be tightened
by government action.
The group, however, took no
stand on Pres. Truman's other
proposals for government alloca-
tion and priorities authority.
* * *
Truman Won't
Get Requested
Powers Yet
By The Associated Press
WASHINGTON -'Things prob-
ably haven't gone far enough yet
for Congress to give President Tru-
man all the economic controls he
asked.
Committees are likely particu-
larly to tie down any powers the
lawmakers believe would put the
government into competition with
private industry.
THE PRESIDENT is not likely
to ask congress for a labor draft
- that is, not unless there is an
emergency a lot worse than that
of Wofld War II.
During that war Pres. Tru-
man expressed himself strongly
against drafting people to fill
certain jobs.
Weather the next several weeks
may well determine whether the
nation will see an early return
to food price ceilings and possibly
rationing.
Return of Leopold
Ten eq Rrnjj l fii1.%
BoliviaOffers UN
Army Personnel
Nine Members Respond To Lie's
Appeal for Effective Aid in Korea
LAKE SUCCESS-(P)-Bolivia has offered 30 officers and ele-
ments of its regular army to join Gen. Douglas MacArthur's forces
in Korea, the United Nations disclosed last night.
The size of the elements was not disclosed.
THIS WAS THE first definite offer of soldiers from any of the
52 UN members who were asked last week to do all they could to help
the UN war effort.
The Bolivian offer was sent to Secretary-General Trygve Lie
by the permanent Bolivian delegate, Eduardo Anze Matienzo. It
was made public by the UN several hours after Lie had told re-
GIs
Win
Yongok
echon
Communications
utposts
* * *
* * *
* * *
E. Germany
Issues Call
For Revolt
BERLIN-(A')-While the Krem-
lin's Cominform emissary applaud-
ed, East Germany's Communist
Chancellor urged the people of
allied-occupie West Germany yes-
terday to ope resistance against
the policies of the Western occu-
pying powers.
The call to revolt was made by
Otto Grotewohl in, one of the
most inflammatory anti-American
speeches ever delivered in this
four-power city.
GROTWOHL addressed the sec-
ond day's session of the third an-
nual convention of the Socialist
Unity (Communist) party in the
Russian sector.
He charges that the United
States, Britain and France had
forfeited their right to remain in
Germany because they "violated
the Potsdam Agreement and
ended four-power government."
"Nobody in West Germany is
legally obligated any longer to obey
the orders of the occupying pow
ers," Grotewohl said. "Therein lies
the justice of the national resist-
ance (a Communist front move-
ment) because it is a resistance
against an illegal situation in
which the Western allies are exer-
cising might instead of right."
Cadillac Will
Sign Contract
To Make Tanks
DETROIT--P)-A contract for
mass production of tanks is being
worked out by the Army and the
Cadillac Division of General Mo-
tors.
Types and numbers were not
disclosed, but usually reliable
sources said they likely would be
the new 28-ton light tank which
the Army has described as "sen-
sational."
* * *
PLACEMENT of a $25,000,000
order for 5,241 Army tactical ve-
hicles was announced yesterday by
the Dodge Division of the Chrys-
ler Corp., shortly before Col. David
J. Crawford, Detroit Arsenal Com-
mander, confirmed the Cadillac
tank negotiations.
Both companies stressed that
their current high production of
automobiles would not be dis-
rupted.
While not naming the site for
actual manufacture of tanks, Wil-
son announced transmissions
would be made by GM's Allison
Division at Indianapolis.
O porters that official offers of
planes, ships and hospital sup-
plies has been received in res-
ponse to his appeal.
At that time he said he knew
of no offers of combat troops,
but added that several countries
are in contact with Washington,
either the Pentagon or the State
Department.
* * *
LIE TOLD his weekly news con-
ference he does not think mes-
sages from only nine UN members
is a poor response. He said it is
too early for definite answers from
governments and that maybe two
weeks from now he might expect
final responses.
Lie had no comment on pub-
lished reports t h a t United
States sources said several UN
members have confideritialy of-
fered to send ground troops to
aid the Republic of Korea.
A U.S. spokesman said yester-
day that offers have been xeceiv-
ed of forces to aid the UN. Asked
directly if this meant combat sol-
diers, the spokesman said the im-
plication was there, but refused
to go further.
-* *
PERU, Sweden, Denmark, Nor-
way, Argentina, France, Brazil,
Greece and the Phillipines have
responded to Lie's appeal.
Both UN and U.S. sources have
said that in any event offers of
soldiers must be top secret and
must be handled in that fashion
until all arrangements have been
made.
Lie made it clear the U.N. is
not recruiting a secret interna-
tional force for service in Korea.
The UN has received word that
individuals in some countries want
to volunteer and it has replied to
such individuals that they must
deal with their own governments.
Asked what he could do to lo-
calize the Korean war, Lie said
members of the UN should res-
pect the decision of the Security
Council. He said that is the only
way to get peace.
Communism
tGoing-- Winnie
L LONDON - (P) - Winston
Churchill said last night Commu-
nism is losing followers, "in all
the countries where free speech
is allowed and parliamentary in-
stitutions thrive."
Ultimately( he said, there must
be a United Europe joining to-
gether "all European peoples in-
cluding those now behind the
Iron Curtain."
* * *
CHURCHILL spoke at a mass
meeting which touched off a na-
tionwide to interest Britain in the
United Europe movement, of
which he is a prime mover. .
"Unless a strong united and
valient Europe can be created,"
he said, "there is little hope of
peace, freedom or civilization
for the rest of mankind."
Mobilization
Plans Move
AheadFast
WASHINGTON-(AP)--In swift
strides, the nation drove toward
large-scale mobilization yesterday.
The Army called up some na-
tional guard troops and reserves
on 30-day notice.
THE AIR FORCE said it may
seek to draft veterans of World
War II, but still hopes to get
along with volunteers.
Maj. Gen.-Lewis . Hershey,
U.S. Draft Chief, spoke of a
7,000,000-man war machine. It
was not clear, however, whether
the figure represented the total
draft goal or manpower needs
for combined military-industrial
replacement.
On Capitol Hill, the Senate and
House Armed Services Commit-
tees voted overwhelmingly to wipe
out the present 2,005,882-man li-
mit on the size of the armed for-
ces and to "freeze" all enlistments
for one year.
THE SENATE promptly approv-
ed the "freeze" action. The mea-
sure passed by unanimous con-
sent, without debate.
The Senate also passed and
esnt to the House a bill giving
President Truman control over
the operation of foreign ships in
American waters.
KM1PC Man
Comments On
RadioScripts
LOS ANGELES-(/P)-A former
news writer at KMPC, who earlier
testified that station owner G. A.
Richards told him to depict Ho-
ward Hughes unfavorably in the
news, identified KMPC news
scripts yesterday which he said
were either neutral or favorable
to the plane maker.
Maurie Starrels described five
Hughes stories shown him under
cross-examination as neutral and
a sixth as favorable.
* * *
HE IS testifying at a communi-!
cations commission hearing on
news slanting charges against
Richards and on applications of
Richards' station KMPC here,
WJR Detroit and WGAR, Cleve-
land, for license renewals.
Frederick W. Ford, FCC coun-
sel, pointed out there were some
139 news items on Hughes dur-
ing the period in question, in
1947.
Starrels said it was customary
to credit newspaper columnists
when they were quoted in news-
casts. He was shown two news
scripts, each containing an item
attributed to a columnist. Several
witnesses have testified they were
told to use paragraphs from col-
umnists and did so with attribu-
tion.
Starrels testified the station
treated the Office of Price Ad-
ministration fairly in the news.
Other witnesses said they were told
to bias news to indicate the OPA
was not needed.
N. Koreans
SeiZe Chonj
nNear Taej*oi
Battered 24th
Reinforces Line
DEFENSE LINE THAT FAILED-U.S. troops look across the Kum River at North Korean divisions
0 before the crucial attack which broke the line and forced the Americans to retreat.
Sen. Tydings
Trained Seal
JennerSays
WASHINGTON - (te) - Repub-
ican Senator Jenner accused Dem-
ocratic Senator Tydings yesterday
of a "blasphemous perversion of
the truth" in reporting the results
of an investigation into charges
that Communists are active in the
United States government.
He told the Senate that Tydings
had conducted "the most scanda-
lous and brazen whitewash of
treasonable conspiracy in our his-
tory." He referred to his antagon-
ist as an Administration "trained
seal" and a would-be disc jockey.
* * *
AND, FUMING about the attack
Tydings made on him in a Senate
speech, Jenner said: "Senator Tyd-
ings' attack on me is only an in-
dication of how low he is willing
to stoop to pick up the Adminis-
tration's ball."
It all stemmed from a foreign
relations subcommittees investi-
gation of charges, made by Sen.
McCarthy (Rep.-Wis.) last winter,
that Communists were infiltrating
the government, particularly the
State Department.
* * *
TYDINGS HEADED the five-
man inquiry goup. After months
of hearings, he and the other two
Democrats on the subcommittee
issued a report calling McCarthy's
charges a "fraud and a hoax."
The majority report was pre-
sented yesterday and accepted by
a straight party-line vote, 45 to
37, with the Republicans on the
short end. Tydings, a Maryland-
er, then hammered his views home
with an indictment of McCarthy
and his supporters, among whom
he placed Sen. Jenner, an Indiana
Republican.
National
Roundup
By The Associated Press
WASHINGTON - The United
States and Britain signed a 25-
year agreement here yesterday for
joint use of secret installations on
the Bahama Islands for tracking
and guiding American guided mis-
siles.
DETROIT - An unauthorized
strike by its 12,000 CIO United
Auto Workers closed the Kaiser-
Frazer automobile plant here yes-
terday.
The walkout developed from
company disciplining of a union
shift chairman, Ralph Clark, who
K-F claimed stopped a workman
from doing a job assigned him by
a supervisor.
* * *
SAN DIEGO-The Navy's top
man said yesterday he was not
satisfied with present defenses
against possible submarine and
air attack on this country.
Adm. Forrest P. Sherman,
Chief of Naval Operations, said
4i .. . ..---------1- nr.4.
CAN ANYTHING HELP?:
Daily May Creep Into
Students' Term Papers
The Daily may sneak its way into several term papers before
the summer's over.
Students taking the contemporary arts and society course for
credit-which consists of writing a critical evaluation of the course
-have become as Daily-conscious as The Daily has been Rannells-
Ciardi-Finney conscious for the past three weeks. t
* * * *
MANY OF THE STUDENTS have pasted Daily lecture and panel
coverage in their notebooks beside their own "coverage" of the
talks. Some have even taken out three-week subscriptions to The
Daily just for this purpose.
The most common attitude
an ng those taking the course
is that The Daily articles are
good as supplementary material
but are not an adequate substi-
tute for attending the lectures
in person.
"After all, nothing 'canned' takes
the place of the original," one
student remarked.
* * *
ANOTHER participator in the
course found The Daily articles
"interesting" because "they present
a different point of view from the
lecturer's."
His friend called the articles
"discouraging" for the same
reason.
"The Daily tries too hard to play
up some spectacular statement
made at the end of the lecture
and doesn't preserve the contin-
uity of the discussion," he moaned.
Prof. Richard C. Boys, English
departmental chairman of the
course, commended The Daily for
putting in "a good deal of time
and effort in coverage."
*' * *
"MANY OF THE lectures were
:oncentrated and technical and
The Daily did a useful thing in
boiling them down," he added.
"However, it is risky for any-
one to use the articles for the
basis of his paper," Prof. Boys
cautioned.
"Some of us (the department
chairmen) have also been keeping
The Daily articles, he added.
Prof. Boys' warning will have
little effect on one desperate stu-
dent:
"Nothing will be able to help me
write'that paper," she groaned.
SL Warns
'U' Students
In Europe
Studient Legislature has received
word that certain University stu-
dents going to conferences in Eu-
rope this summer intend to de-
clare themselves official repre-
sentatives of the University stu-
dent body without having been so
appointed, according to Keith
Beers, summer president of SL.
Students who attempt such mis-
representation of thei position
will be subject to disciplinary ac-
tion by the Judiciary Council upon
their return to the University in
the fall, Beers warned.
* * *
THIS IS in accordance with a
measure adopted by SL on May
24, 1950, stating that "no students
are to be considered as represen-
tating the University student body
or legislature, unless so appointed
(by SL or the SL Cabinet).
"Those not appointed who
profess to represent the Uni-
versity as stated above will be
subject to disciplinary action
by the Judiciary Council."
He said the students who intend
to stand as representatives of the
University are among those plan-
ning to attend the Second World
Student Congress in Prague, Aug.
14 to 28.
TOKYO--(I)-Fresh U.S. Troops
in two separate assaults have seiz-
ed two Communist-held communi-
cation centers on the Korean front,
official announcements said yes-
terday.
U.S. troops under cover of a
fierce naval bombardment yester-
day captured the ruined east oast
city of Yongdok d;
* *. *
YONGDOK is 25 miles north of
where the U.S. First Cavalry Di-
vision landed earlier this week in
the first amphibious operation of
the war.
Meanwhile, General MacAr-
thur said yesterday that Ameri-
can forces had made further
withdrawals generally southeast
of fallen Taejon.
His communique said that South
Korean troops on the American
east flank also dropped back under
attack from the Second North
Korean Division.
* * *
MacARTHUR reported Ameri-
can and South Korean troops on
the western front had completed
a "planned withdrawal to betterxi
lines of natural defense." bt
A National Broadcasting
Company correspondent report-
ed the town of Chonu has fal-
len to North Korean Communistn
forces.
The NBC Correspondent, George
Thomas Folster, gave no details.
He described Chonju as being
on the west flank of the American
defense line and 35 miles south of
Taejon, which earlier fell to the
Communists.
* * *
U.S. TROOPS of the 25th In-
fantry Division, undergoing a bap-
tism of fire, seized the rail and
highway city of Yechon on the
same day, a field dispatch said.
Yechon is 60 air miles northeast
of the fallen-bastion of Taejon.
This first aggressive victory
for the U.S. Eighth Army in the
four-weeks-old Korean fighting
was won to hold the allied line
60 miles northeast of the dead
and abandoned city of Taejon.
(The Negro- troops, on a front
previously held only by South
Korean forces, are apparently of
the 25th Division. The 25th's ar-
rival in Korea was disclosed in
midweek along with the amphib-
ious landing of the dismounted
U.S. First Cavalry Division at Poh-
ang, 55 miles north of the main
U.S. port at Pusan).
The batteredn24th division,
which had been absorbing the
overpowering shock of North Kor-
ean tanks and foot soldiers In
great numbers since July 5, dug
into hill positions southeast of
Taejon.
Fate of Gen.
Dean Unknown
AN AMERICAN COMMAND
P O S T IN KOREA-(IP)-Ma.
Gen. William F. Dean, missing
Commander of the U.S. 24th I-
vision, gave his soldiers inspiring
frontline leadership in the final
hours of fighting in Taejon.
T h e 50-year-old red-haired
fighting general is still missing,
hours after his men, at his orders,
had pulled out of the flaming,
battered city Thursday night.
* * *
(IN TOKYO a public informa-
tion officer at Genera MacArthur's
headquarters said "we have no
confirmation one way or another
regarding General Dean."
(The headquarters spokesman,
answering queries, said that
under Army rules it can't be
MAYBE BLEACHERS?
Side-walk Bosses Help
Haven Hall Wreckers
GRADUATE CONDUCTORS:
Symphonic Band To Play Monday
The Summer Session Symphonic
Band will present a concert Mon-
day at 8:30 p.m. in Hill Auditor-
ium with guest conductors from
the conducting class of William D.
Revelli.
Graduate students who are high
school or college band directors
will be the guest conductors.
* * *
THE PROGRAM will include
P.n- ,,f *s %fAthNb s Rim-
ballet, "Sylvia" by Delibes, con-
ducted by Walter Chersack, mem-
ber of the Instrumental Music De-
partment of the Pontiac city
schools, Shoonthree by Cowell,
Carl D. Sassaman, director of the
Instrumental Music Department
of Meyersdale High School, Mey-
ersdale, Pa., conducting. Two dan-
ces from Suite, "Nell Gwyn" by
Gorman, Ralph E. Stokes, con-
ductor of the Rittman, Ohio. High
tor of the instrumental music
program in the schools of Pauls
Valley, Okla., conducting. Dance
Intermezzo by Sibelius, William
C. Moffit, conductor of the band
program in the schools of Tipp
City, Ohio, conducting.
March El Charro by Tarver,
John H. Sloan, director of the
school instrumental music pro-
gram in Williamstown, Pa., con-
By CLEM PETERS
Side-walk boses by the hundreds
are helping wreckers tear down
Haven Hall each day.
And classes on the Haven Hall
side of the Natural Science Build-
ing are constantly being disrupt-
ed by the racket and clouds of
dust raised each time a section of
the old brick walls goes down.
* * *.
INSTEAD OF TAKING bricks
down one by one, as one coed
thought, the Shartzer Wrecking
nique is that the truck has to
have a running-start to get the
wall down, and its 10 wheels make
a quagmire out of the University's
tenderly cared-for lawn,
WHEN BRICK PARTS of the
wall above the first story are all
down, workmen will salvage the
good one and put them all up for
sale. The wrecking company col-
lects all revenue from sales, and
everything constituting what's
left of the building is for sale.