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Latest Deadline in the State

VOL. LXVH, No. 27 ANN ARBOR, MICHIGAN, THURSDAY, AUGUST 2, 1956

FOUR PAGES

Red Chinese
Post Troops
In Burma
Civil Authorities Say
Situation in Control
LASHIO, Burma (A)-A Burma
official said yesterday Chinese
Communists have posted troops 10
to 15 miles apart along a wide
500-mile arc inside Burmese terri-
tory.
Although invading Chinese were
reported officially in Rangoon to
have skirmished with Burmese
forces and to have occupied 1,000
square miles of Burmese territory,
*. civil and military authorities here
said the situation was under con-
trol.
By that the authorities appeared
to mean there was no substantial
change, since Tuesday, when the
Burmese Foreign Office expressed
"concern" over the situation in
northeast Burma.
The official in Lashio, terminus
of the famed wartime Burma road,
said the Chinese occupied an area
stretching from Putao, the north-
ernmost outpost of Kachin State,
to the northeastern Shan states.
The people of Lashio were being
kept in the dark about the incur-
sion. Officials operated in a hush-
hush atmosphere, and residents of
this prosperous trading town seem-
ed unaware that the Chinese Reds
were drawn up only 100 miles to
the east inside Burma.
Chinese Red troops have entered
Burma before. They crossed the
frontier last year and exchanged
shots with Burmese army troops
after refusing an untimatum to
withdraw.
Accurate reports of the strength
of the Chinese troops now in the
area are not available, but judging
by the various clashes, officials
estimate it at about 500.
Ike OK's Bill
To Let Women
Retire at 62
WASHINGTON (3) - President
Owight D. Eisenhower yesterday
signed into law a precedent-set-
ting social security bill permitting
women to retire at 62 and dis-
abled workers to draw benefits at
60.
In signing the bill, the Presi-
dent said in a statement:
"I am hopeful that this new
law, on the whole, will advance
the economic security of the
American people."
0 Eisenhower said an original
proposal to lower the retirement
age for all women was changed
to provide that employed women
and wives may accept reduced
benefits at an earlier age or ac-
cept full benefits at 65.
He noted the law provides full
benefits at age 65 for widows be-
cause of their special status,
The President also noted that
Congress modified "somewhat" an
original proposal to provide dis-
aoility benefits at age 50 or older.
"A special trust fund was es-
tablished for the disability pro-
gram in an effort to minimize the
effects of the special problems in
this field on the other parts of
the program-retirement and sur-
vivors protection," the President
said.
"We will, of course, endeavor
to administer the disability pro-
visions efficiently and in coopera-
tion with the states. I also pledge
w increasing emphasis on efforts to

help rehabilitate the disabled so
that they may return to useful
employment."
' Another original provision, Ei-
senhower said, proposed a 25 per
4 cent increase in Social Security
taxes on everyone covered by the
system.
"I am pleased that the tax in-
crease now has been cut in half."
the President said.
He added that the increase. ap-
proved "should be adequate to fi-
nance the benefits, assuming ef-
fective administration.'
Stassen Opens
Headquarters
WASHINGTON 0P)-Harold E.
Stassen announced last night he
is opening Eisenhower - Herter
headauarters in Washington this

City in Strait-Jacket
it Fund Shortages
Larcom Points to 'U' as One Basic Problem,
Also Blames City's Expanding Population, Area
By LEE MARKS
Daily Managing Editor
Editor's Note: This is the first in a series of four articles interpret-
ing Ann Arbor's financial difficulties. Today's article deals in
general terms with causes and degree of financial difficulty.
Ann Arbor is in a financial strait-jacket -- and there appears
to be no easy way out.
Lack of sufficient income coupled with increasing needs for
city services have produced a serious, though not critical, shortage
of funds,
One of the problems, according to city officials, is the Uni-
versity. "Our major industry doesn't pay taxes," Guy Larcom, city
administrator, points out.
City Expanding Rapidly
"In addition," Larcom notes, "the city is expanding rapidly

Servicemen
Benefit Bill
Made Law,
WASHINGTON () - President
Dwight D. Eisenhower yesterday
signed with what he said was
"great satisfaction" a bill sub-
stantially boosting benefits for
many survivors of servicemen who
die while on active duty.
The President, in a statement,
said Congress "for the first time
in many years, has given a meas-
ure of financial security to the
families of our soldiers, sailors,
airmen and Marines which will
enable them to face the inherent
hazards and uncertainties of mili-
tary life with increased confi-
dence."
However, the new law-which
becomes effective next Jan. 1-
.will eliminate some benefits now
available to servicemen, veterans
and parents of deceased veterans.
For one thing the $10,000 free
life insurance provided toall serv-
ice personnel since a time during
the Korean fighting no longer will
be available after De. $1. Also,
when servicemen complete their
military tours and return to civil-
ian life they no longer will be able
to buy low-cost government life in-
surance unless they are disabled.
The new law, a major part of
Eisenhower's legislative program,
would provide bigger payments to
an estimated 65,000 widows and
other beneficiaries. It increases
Veterans Administration death
compensation from the present
$69.60 a month in peacetime and
$87 in wartime to a sliding scale
of $122 to $266, based on the hus-
band's military rank.
It eliminates an inequity under
which dependents of a reservist
killed on active duty now receive
much more than do dependents of
a man in the regular military ser-
vice killed under similar circum-
stances,
Avert Strike
In Aluminum
Agreements
PITTSBURGH (P) - Tentative
agreement was reached last night
on a new contract to avert a
strike by 15,000 workers employed
in nine plants of .the Aluminum
Co. of America.
The agreement was reached just
a few minutes before a midnight
strike deadline set by the Alum-
inum Workers International Un-
ion.
Commissioner William Rose of
the Federal Mediation and Concil-
iation Service announced the ten-
tative settlement.
Ross said contracts will be
drawn up immediately with the
contract language to be concluded
today, adding:
"Both parties have agreed to a
nine-day extension of the con-
tract to Aug. 9to allow each local
union to vote on the package."
Rose did not disclose any terms
of the agreement.
The Alcoa plants covered by the
agreement are located at Chilli-
cothe. Ohio, Cressona, Pa., Dav-
enport, Ia., East St. Louis, Ill.,
Lafayette, Ind., Lancaster, Pa.,
Massena, N. Y., Vancouver, and
Wenatchee, Wash.
Another 12 Alcoa plants with
18,000 w o r k e r s were struck
yesterday by the United Steel-

both in population and area.
We're one of the few cities in
Michigan still in a position to an-
nex large areas of land."
A third problem is the pressure
for increased school facilities. Lar-
com claims, "There's a limit to
the amount of property taxes we
can assess without incurring tax-
payer discontent. The more that
must be allocated to schools
which now claim the major share,
the less we can get without push-
ing the tax beyond reasonable
bounds.
Prof. Arthur Bromage of the
political science department, a
City Council member from 1949 to
1953 points to the lack of large
industry as still another sore spot.
The value of industry to finan-
cial stability is well illustrated by
concern over University acquisi-
tion of Hoover Ball Bearing Co.
The tax loss ($95,000) so disturbed
Mayor William E. Brown that he
told the University he thought
they should reimburse the ctiy.
AA Problems not Unique
"Ann Arbor's problems are not
unique. Any time you have a
large Universtiy, a lack of indus-
try and a small town you have fi-
nancial problems," Prof. Bromage
notes.
How serious is the problem?
Larcom says, "We're in healthy
economic condition but our stan-
dards will drop."
"We're not approaching bank-
ruptcy but pressure is building
up," he claims.
Undermanned
Hardest hit by the shortage of
funds is the General Fund for
operations.
Sewerage} trunk lines are in-
adequate. Larcom reports that
lack of sewerage arteries of suf-
ficient size may cause backing up.
"Our public health department
is undermanned, as are our street
crews," according to Larcom.
Increasing Reaction
"There will be increasing re-
action against the lowering of
(standards as it becomes more
noticeable. You'll see it in the
parks, roads, bridges: areas that
need mowing, maintenance and
improvements," the city adminis-
trator claims.
Ann Arbor, according to Lar-
com, has few capital improve-
ments underway - much too few
for a town this size (roughly 48,-
000). He says the capital plant
needs rebuilding and cites the
"antiquated" city hall as an ex-
ample.
"The University has a healthy
process of refurbishing - we
don't have that," Larcom says.
(Tomorrow's article will deal with
sources and expenditures of city in-
come. Future articles will deal with
limitations on increasing funds and
the University's roll in city taxes.)

Would Have
Disciplined
Marine: Pate
Commandant Calls
Death March 'Stupid'
But Not Oppressive
PARRIS ISLAND S.C. ()-The
Marine Corps commandant said
yesterday he thought S. Sgt. Mat-
thew C. McKeon should have been
demoted for drinking and possibly
court-martialed for leading a
march April 8 on which six re-
cruits drowned.
Gen. Randolph McC. Pate said
that if it had been up to him he
probably would have transferred
McKeon from this recruit depot
for "stupidity" and forbidden him
to drill recruits again.
But Pate, testified at McKeon's
court-martial that he did not con-
sider the sergeant guilty of oppres-
sing recruits-one of the charges
against him.
'Sheer Brutalities'
McKeon is charged with man-
slaughter, oppression and drinking
on duty in connection with a night
march of Platoon 71 into Ribbon
Creek.
Pate was called to the stand as
a defense witness. He termed dis-
cipline the core of Marine train-
ing. But he said he never would
sanction "sheer brutalities."
Just before he walked into court,
Pate met McKeon, 31, for the first
time and said to the drill instruc-
tor:
'Good Luck'
"Good luck to you, boy."
Emile Zola Berman, defense at-
torney, posed a long hypothetical
question to Pate. In it, Berman
asked him to assume that every-
thing happened April 8 as the de-
fense sees it. Then Berman said:
"Assuming these facts, had the
matter come to your attention in
your official capacity, what action,
sir, in your opinion, would you
have taken?"
Pate replied:
"It is evident this drill instructor
did drink some vodka and I as-
sume that's against regulations. I
think maybe I'd take a stripe away
from him for that.
"For the remaining part-it's
very fuzzy to me and I haven't
heard the evidence-I suspect I
would probably have transferred
him away for stupidity, more po-
litely bad judgement, and made a
note in his record book that under
no conditions could he ever drill
recruits again. That's not a final
judgement, but just my opinion."
In his turn, Maj. Charles B.
Sevier, the prosecutor, put his own
hypothetical question to Pate, a
tall man with light, thinning hair
and dark glasses. Sevier asked Pate
to assume a set of facts in con-
nection with himself that corres-
ponded with the prosecution's case.
Contribution Series
"The Central Theme in Negro
History" is title of Prof. John Hope
Franklin's speech in University
series, "Patterns of American Cul-
ture: Contributions of the Negro."
As eleventh speaker in the pro-
gram, Prof. Franklin, chairman of
the history department at Brook-
lyn College, will speak at 4:15 to-
day in Auditorium A, Angell Hall.
In the fall, as new history de-
partment head, he will be the first
Negro in New York State to hold
such a position.

Squelched
MOSCOW (P)-The battle be-
tween pedestrians and motor-
ists in Moscow yesterday looked
like a silent but quick action
movie.
It was the first day of the
ban on horn blowing. The
penalty for tooting is loss of
the driver's license.
The motorists threaded their
way cautiously through throngs
of pedestrians who crossed at
intersections with usual dis-
regard of the red lights. In the
past the driver slammed his foot
on the gas pedal and his hand
on the horn and pressed ahead.
Some pedestrians waited un-
til the light turned against
them, then ran into the path
of oncoming traffic roaring with
laughter as they dodged the on-
coming cars.
Moscow police said there were
no more casualties than usual
-without saying how many oc-
curred.
Southern
Democrats
Hold Meeting
ATLANTA (P) - Democratic
leaders from 11 Southern states
met yesterday with the avowed
purpose of getting a platform ac-
ceptable to the South, but "work-
ing within the Democratic party."
The keynote of the meeting,
called by Gov. George Bell Tim-
merman Jr. of South Carolina and
Gov. Marvin Griffin of Georgia,
was given by Timmerman before
the group went into executive ses-
sion.
"We recognize that other states
have their problems and we ask
them to recognize that we in the
South have ours," Timmerman
said.
Earlier, Griffin, in a welcoming
address, said "I cannot call to
mind a similar meeting held dur-
ing this century . . . any meeting
. . . called to promote unity of
purpose and to establish the
Southern viewpoint in the coun-
cils of the Democratic party."
Before the meeting began, three
party leaders cautiously pre-
dicted there would be unity at the
Chicago convention.
Sen. John Sparkman of Ala-
bama, the party's 1952 vice presi-
dential nominee, commented on
the touchy civil rights issue, which
is the one of primary interest to
the Southerners.
Sparkman declared "there is
more understanding of our situa-
tion than I have ever seen be-
fore," in other parts of the coun-
try.
Griffin applauded a statement
made by Adlai Stevenson that he
would not favor the use of force
to uphold the Supreme Court seg-
regation decisions in the South.

MENTIONS ONLY NIXON:
Ike Says Anybody May
Run For Vice-President
WASHINGTON (P)-President Dwight D. Eisenhower yesterday
declared the Republican convention "open" to anybody who wants to
run for vice president.
But the only candidate he mentioned by name as acceptable to
him was the man who holds the job now, Richard M. Nixon.
Eisenhower gave his carefully qualified views at the first news
conference he has held since before his June 9 operation-and his
first, of course, since aide Harold'

U.S., Britain, France Agree
On Meeting To Establish Suez
Control, Include Russia, Egypt

E. Stassen launched a drive to get
Nixon off the 1956 ticket and put
Massachusetts Gov. Christian A.
Herter in his place.
Husky, Hesitant
The President looked a bit less
vigorous than he did before the
operation. His voice was some-
what a little hesitant at times. He
said he's feeling good-better every
day, in fact, though not as well as
he felt a year ago. And he said
firmly he sees no reason why he
shouldn't be able to serve a second
term.
A record-equalling crowd of 311
correspondents turned up in the
sweltering conference room to see
how Eisenhower looked and to find
out, if they could, how he felt,
about Stassen's effort to change
the apparent lineup of the GOP
ticket.
Two main lines of the Presi-
dent's feelings on this subject-
which could produce a floor fight
at the San Francisco convention
-emerged:
Not Cut, Dried
1. He refused to say specifically
that he wants Nixon-or any other
particular person-as his running
mate. He said San Francisco won't
be a "cut and dried affair"-and
that Nixon completely agrees. Far
from rebuking Stassen, the Presi-
dent declared the onetime Minne-
sota governor has done "a very
splendid job" as his disarmament
aide and will be welcome back
after his four-week leave.
2. He took issue, by plain impli-
cation, with Stassen's charges that
Nixon would weaken the ticket
with American voters and would
detract from American prestige
aboard. Moreover, he declared no-
body has talked to him about a
"dump - Nixon" movement. "N o
one," Eisenhower added with a
touch of sternness, "would have
that effrontery."
Not Clear
The President's meaning was
not quite clear on this point.
Stassen has asked for, and been
granted, a leave to promote Herter
as a gandidate-though Herter,
only 24 hours after Stassen's orig-
inal announcement of his plans
pulled the rug part way from under
the movement by agreeing to put
Nixon's name before the conven-
tion himself.
This campaign by Stassen had
every sign of a "dump-Nixon" at-
tempt even though he probably
hasn't used those exact words in
his talks with Eisenhower.
Firmly and repeatedly Eisen-
hower declined to discuss vice
presidential possibilities o t h e r
than Nixon.

Eisenhower
Feels 'Good,'
But Sub-Par
WASHINGTON (1) - President
Dwight D. Eisenhower declared
yesterday he feels "good" - al-
though not as well as a year ago
before his heart attack.
He also said he has "no doubts"
he would be able to carry on in
the presidency through a second
term.
That was the way Eisenhower
summed up his health at his first
news conference since he under-
went major abdominal surgery
June 9. It was his first public dis-
cussion of the emergency opera-
tion, his convalescence, how he
feels now after a second serious
illness in less than nine months,
and his previously announced de-
cision to stay in the presidential
race.
He disclosed for the first time
that doctors have told him he
won't feel like himself - like
really playing golf-until October.
Opinions among the 311 news-
men as to how Eisenhower looked
and acted varied to .some extent,
but there seemed to be general
agreement his loss of weight -
presently down about 6 pounds to
163 from the time of surgery.
The President has recaptured a
good deal of his normal ruddiness
-strikingly absent when he got
out of the hospital June 30. His
voice seemed sure and steady for
the most part Wednesday but it
did waver a bit on a few occasions.
'Adlai Gains
Votes in .Racei
WASHINGTON 0P)-Adlai Ste-
venson has gained 591/2 votes and
Gov. Averill Harriman 24 for the
Democratic presidential nomina-
tion, according to a partial re-
check of the delegate situation.
Some of the rechecking was
done shortly before and some aft-
er Sen. Estes Kefauver withdrew
from the race Tuesday in favor of
Stevenson,
The new survey made by The
Associated Press in 15 states gave
the following line-ups, with 686
convention votes required for the
nomination:
Stevenson 430/2
Harriman 160
Kefauver 77% 
Others 3001/2
Uncommitted 43/2
Totals 1372
Some of the revisions from the
last tabulation were caused by
fresh checks of delegates before
Kefauver's surprise announcement
reltasing his delegates and ask-
ing them to support Stevenson.
Kefauver predicted most of his
delegates would go for Stevenson
but that some may switch to Har-
riman.
States Allocated
Highway Funds
WASHINGTON (A)-The states
yesterday were allocated more than
21/2 billion dollars of federal funds
for hiahwav hiiling in 1R-th

Using Force
Now Seems
'Last Resort
Nasser Says Egypt
Will Defend Canal
For Navigation Rights
LONDON W)-The foreign min-
isters of Britain, France and the
United States agreed last night to
call an international meeting-in-
cluding Egypt and the Soviet
Union-to establish international
control of the Suez Canal.
The agreement was disclosed by
an American Informant who said
"the possibility of forceful action"
has receded.
He said that during U.S. Secre-
tary of State John Foster Dulles'
meetings with Prime Minister An-
thony Eden and the British and
French foreign ministers the pos-
sible use of force to insure Inter-
national control of the canal ap-
peared to have been accepted as
"a last resort."
Only a Hostile Act
Presumably only a hostile act
by Egypt against British or French
ships would bring military action
by those countries.
In Alexandria, President Gamal
Abdel Nasser, whose decree na-
tionalizing the canal angered and
alarmed both Britain and France,
declared Egypt would "repel the
pirates" threatening his country
"if they violate Egyptian rights in
the canal dispute or on Egyptian
soil."
Nasser told a Boy Scout meet-
ing that'Egypt would defend the
canal to assure freedom of navi-
gation. He spoke shortly after re-
ports were received from London
saying Britain was determined to
use force to prevent Egyptian in-'
terference with canal shipping.
This report was based on a state-
ment by an authoritative British
source, who said Britain would
act alone if necessary in case
Egypt rejects an internationally
negotiated control system.
The projected international con-
ference is expected to be held with-
in one month, possibly by mid-Au-
gust. The American source said it
has not yet been settled who will
convene the meeting.
The Big Three decision to invite
both Russia and Egypt appeared
an acceptance of the U.S. point of
view.
Converse at Length
Soviet Foreign Minister Dmitri
Shepilov and French Ambassador
Maurice DeJean conversed at
length last night at a Swiss dele-
gation reception in Moscow. De-
Jean declined to reveal what they
discussed. But it was considered
certain the subjects included both
the Suez dispute and the national-
ist rebellion against France in Al-
geria.
Soviet Communist party chief
Nikita Khrushchev Tuesday back-
ed Egyptian seizure of the canal
as completely legal, and urged
moderation on the British and
French governments. The restrain-
ed tone of his speech suggested
to Western diplomats that the
Soviet Union is anxious to pre-
vent military conflict in the Mid-
dle East and is just as interested
as the West In freedom of the
Suez Canal.
The American opinion reportedly
is that any international confer-
ence should strive for a satisfac-
tory settlement through sincere
negotiations.
Pressing For Two
Britain and France, on the other
hand, have been pressing for two
conferences.

The first, between like-minded
states, would be to draft rules for
the future operations of the canal.
These then would be presented to
a wider conference, including the
Russians and the Egyptians.
Whether the rules were found
to be generally acceptable or not,
the British and French were re-
ported prepared to enforce them.
Nasser has promised formally to

SPEECH PLAYBILL:
'The Lady's Not For Burning'

Yesterday "The Lady's Not for
Burning" began a four-day run
in Lydia Mendelssohn Theatre, as
fourth on the speech department
summer playbill.
Under direction of visiting pro-
fessor James Brock, curtain time
for the Christopher Fry play is
at 8 p.m.
Cast for "The Lady's Not for
Burning" includes Thomas Taylor,
'57, as Richard; Earl Sayer, '56. as
Thomas Endip: Joyce Williams,
Grad., as Alizon Eliot; Albert
Phillips, '57, as Nicholas Devize;
Greta Richards, '56, as Margaret
Devize; Glen Phillips, '57, as
A'1 nhrT T Devize CharlesS mith.

AL
ea m,