Winona Republican-Herald, The (Newspaper) - January 10, 1949, Winona, Minnesota VOLUME 48, NO. 275 WINONA, MINNESOTA, MONDAY EVENING, JANUARY 10, 1949 FIVE CENTS PER COPY SIXTEEN PAGES Truman Submits 41 Billion Budget Senator Orr Dies Suddenly The Senator Charles N. Orr Succumbs at Wheel of Car on St. Paul Street St. Paul State Senator Charles N. Orr, 71, majority leader in the state senate, died today at the wheel of his automobile on a street In downtown St. Paul. (Senator Orr was well known In Winona and for several years was Persona Choice of President By Stewart Alsop Lilc A--------------, IT tauki uiit government, a new appointment He was known for his come at any time Important as that of secretary humor and was an excellent' south of Tu's Speaker. His last visit to Winonajmunists, press CHIANG SILENT ON MEDIATION BY BIG FOUR Diplomatic Move Said to Include Russians By Harold K. Milks Nanking (JP) Chiang Kai- shek's government, struggling to hold China against communism, silent today on'reports the Big Four had been asked to mediate the civil war. Unofficial but usually correct sources say that the United States, Britain, France and Russia have been asked to seek a settlement of the three year old war, which the Nationalists have been losing to the reds. Some sort of diplomatic move was in the wind, observers said. Ambas- sadors from the United States, Bri- tain and France were called to the foreign office late Saturday after- noon. The Russian ambassador, who is ill, was contacted later, these; sources said. (Spencer Moosa, Associated Press correspondent in Peiping, writing; through a wall of military censor- ship, predicted both Peiping and Tientsin would be in the hands of the communists within a week or less. He intimated a deal was in the making between the Nationalists and communists in those two cities. Tientsin Battle Looms (Moosa said the reds reportedly had fought their way into the com- mercial city of Tientsin and might even be shelling the city's east rail- way The armies of General Tu Li- ming, encircled southwest of Suchow for weeks, may not be able to with- stand vigorous communist attacks much longer. (In Shanghai, pilots who had been to Til's forces said they returned to Nanking with- out dumping their cargoes. They A Snowplow crew found mountainous drifts like these today as it continued efforts to open railroad lines leading into South Dakota where a blizzard gripped the area for three days last week. Many drifts were 20 feet deep. (A.P. WIrephoto to The Republican-Herald.) Nationalism Signs Noted In Germany Graff, Corruption Feared In State Liquor Monopoly Dunn, chairman of the all-powerful rules committee, pointed Berlin General Lucius D.I to a national magazine story just.published, relat- Clay said today the failure of Rus-j Ing "bribery" and. "bootlegging" that have been charged to Utah's sian tactics in trying to swing thej- populatlon of Berlin to communism! be apparent even to the So-l viet government." The U. S. military governor as- said radio. instructions from the sessed the results of last month's ground-told them not to elections In his monthly They flew to Shanghai for on occupation affairs. of the planes. recorded two other (The communist radio, heard injsetbacks for communism in western San Francisco by The Associated! Germany in British occupation Press, said Tu's force of men one oTthe speieTs at the annual been reduced to party given state senators at Washington In the American [winona Country club by Wmona Nanlcmg and the Yangtze might new and powerful chemical into last fall.) forces, the com- pressing toward the !Yangtze, have opened attacks on complicated and delicately balanced) Senator. On.F an attorney, hadjthe Hwai river defenses, 100 miles formula. All sorts been a member of the Nanking. actions are bound to take place. The most Interesting and important of the reactions to the appointment of Dean G. Ache- to tne senate in 1915. He has'been son will be its ef- majority leader in the senate for fects on the White lift many years. House and on the m fa Suffers Heart Attack Congress. ff -3f Death was due to a heart attack Acheson is dis- V (JlSJt suffered while Senator Orr was tir.ctly the per- driving his car at Cedar and Ex- sonal choice change streets in St. Paul, shortly President Harry after a. m. S. Truman for Senator Orr slumped over the secretary of state. In part, of-steering wheel and his car struck course, the appointment was a con- two parked automobiles, then went! sequence of a process of onto the sidewalk in front of, the choice of Chief Justice Presbyterian church. Hei Vinson or of Justice William was dead when passersby went to since 1911. He first was elected as a representative In 1911, and, after two terms In the house was elected Bullet! O. Douglas would have disrupted the Supreme court, and W. Averell Harrlman's Wall street background was thought to be a political dis- advantage. In part, too, the objec- his aid. The body was taken to the county j morgue where identification was! made from papers in his pockets. I Senator Orr was believed en told friends he was "feeling fine" and ready for the long grind at the tlve conclusion was reached thatiroute to his office at 1125 Minne- Acheson. by experience and building to prepare for the was pre-eminently fitted for the'session of the senate scheduled for post. 18 p. m. today. I The senator had not been in good BUT AN EVEN more compelling i health for several years but when reason, according to those who the legislature opened last week he should know, was simply that the President likes Acheson very much personally, admires him greatly, and j state capital. Is certain that he can work with Native of Princeton A native of Princeton, Minn., Senator Orr was a graduate of Hamline university and the St. Paul College of Law. He was a member of the law firm of Orr, Stark and Kidder. His death came at the start of the second week of the 1949 legis- lative session a session in which he was expected to play the same leading, role he had played in so many others. Governor Youngdahl issued the following statement: "The death of Senator Orr Is tremendous shock. We were rely- Truman's own testimony and the ling on his leadership in this ses- appointment of Acheson, himselflsion. I have had conferences with one of the chief architects of the i him recently and he indicated a policy of firmness toward the So- fine spirit of cooperation and will- viet Union, the most striking evi- dence on this point is Truman's him closely and successfully. This }n itself suggests one change which is likely to take place in the rela- tionship between the White House and the State department. Until now, Truman's role In the making of foreign policy has been to of with few exceptions an almost automatic confined approval what his secretary of state was do- ing. This will be so no longer. Tru- man has no intention of becoming his own secretary of state. This does not mean, of course, that the basic direction of American policy will be altered. Aside from ingness to meet the challenge in the problems before us. Flag at Half Staff "He has ben one ol the out- standing men in the history of the FORRESTAL HAS been one of senate. He has been a great citizen the chief targets of those who havejof the state. We mourn his loss been calling on the President to and extend our sincere sympathy attitude toward Secretary of De- fense James Forrestal. "stop the cold war" by turning over most of the world to the Soviet union. Reports have emanated from these sources that Forrestal will be asked to resign soon after Mar- shall leaves. In fact, it can be stated on undoubted authority, that the Twin Cities. In recent years he! Truman has let Forrestal know that should be definitely and clearly his. to the members of the family. "The flag has been ordered to fly at staff until after the fu- neral." On- has been active especially in legislation affecting the capitol and was one of the sponsors of the metropolitan airport act and of leg- (Continued on Page 7, Column 2.) I (Continued on Page 13, Column 5.) ALSOPS SENATOR OKE Washington The Su- preme court- today refused to interfere with the Indictment and scheduled New York trial of 12 leaders of the American Communist party. The 12 all members of the national board of the Com- munist party In the United States were indicted on charges of conspiracy to advo- cate the overthrow of the Uni- ted States government by force and violence. Washington The Uni- ted States urged Britain and Israel today to treat the shoot- ing; down of five British planes as a "regrettable incident only." A statement by the State department expressed hope that the incident will not interfere with Palestine truce negotia- tions expected to open Wednes- day on the island of Rhodes. zone elections and in trade union affairs. But it contained two cautioning developing anew in western Ger- many and that German authorities in the U. S. occupation zone are making unwarranted complaints about costs of the occupation. Clay declared the Socialist Unity (Communist) party in the western sectors of Berlin has "almost dis- integrated." Tactics Fall "The defeat suffered by the com- munists does not affect the So- cialist Unity party he said, "but also the party's Ideological and political mentors, the Soviet mili- tary administration, and reflects on the tactics used by the Russian occupation power. "The failure of these tactics, which were pursued with the great- est determination, must be apparent even to the Soviet government. Salem Postoffice Held Up at Noon Kenosha, Wis. A husky San Diego, private plane crashed into a Methodist church conference camp grounds 60 miles northeast of here yesterday, killing five of the six persons aboard, A caretaker at the camp, Sydney St. PauI-W-Fears that graft and corruption may result from a state monopoly of liquor were expressed today by Representative j J'1 re Roy E. Dunn of Pelican Rapids, majority leader in the PIano was land- House of Representatives. down out of a snow- storm. The hospital at Julian, Calif., re- ported the only living passenger re- gained consciousness long enough to say her name, presum- ably Mrs. Madelaine Dorothy Baer of Inglewood, Calif. She was critical- ly injured. Identifications taken from bag- gage indicated there were three mar- ried couples Baer and her husband, Merald; C, W, and Lorraine Miller of Los Angeles, and B.. A. and Jean La Berge of San Diego. The .plane was registered to Mil- ler, 41. He was co-owner of the Miller Dial and Nameplate Compa- ny in Los Angeles. Baer was be- lieved to be sales manager of the Miller concern. The crash scene, at an elevation of feet, was near Julian, and a rescue party was rushed from there. Miller was injured in a private plane crash in 1944 near Prescott, Ariz., in which his first wife, Fran- ces, died. He and his present wife had been married only a short time. Mitchum Convicted On Marijuana Count Los Mitch- urn, idol of the bobby-soxers, was convicted today of conspiracy to possess marijuana in a 45-minute trial In superior court. Convicted with the 31-year-old Mitchum were two co-defendants, Peacetime Record; Half for 'Cold War' Cost of Rearming Western Europe To Be Added Before Year Is Out Budget at a Glance Year Ending June 30 1949 1950 Income Outgo Deficit Year-end debt By Charles Molony Truman today handed Congress a record peacetime budget-half of it to wage the cold war with Russia. And he warned that the price of bulwarking freedom. In the world is going higher still. t The spending program Mr. Truman charted for the 12 beginning next July 1 is higher than this also a peacetime record. Still to come is the cost of rearming western step the President said he will propose before the year is out, to boost ----------------------------------------1 the total still further. Even in the absence of that out- lay, the Chief Executive declared, the nation faces an 1950 dificit piled atop a red ink entry for taxes are raised. Soberly Mr. Truman declared that future budgets will have be big- ger yet to meet America's mount- ing responsibilities in the world and to pay the bill for a greatly expand- ed military establishment at home. Thus the President renewed with emphasis his plea that Congress California Plane Crash Fatal to 5 of 6 Aboard British Ponder Palestine Crisis By Alex H. Singleton British cabinet members and defense chiefs heard Foreign Secretary Ernest Bevin give a detailed report today on the mid-East crisis stemming from Is- Irael's action in shooting down five 'R.A.F. planes. The session was called by Prime Minister Attlee, presumably to con- sider Britain's next move and per- haps determine how far she will go in strengthening land, sea and air bases in that part of the world. Britain appeared to be massing strength behind her Arab allies as she concentrated warships and troops in the tense Mediterranean area. Loss of Planes Protested The move came on the heels of state-owned liquor plan. "Utah's experiences are samples of what could happen in Minnesota under certain administrations if the state got into the liquor Dunn warned. "The conviction of Utah's chief enforcement officer of the liquor commission for accept- ing a bribe demonstrates how cor- ruption can easily creep into state government. "Minnesota has had a clean gov- ernment under our present liquor system of private control, with strict safeguards set up by law, and I will fight any attempts to put over a plan that might jeopardize the high reputation our state enjoys in that respect." Two Lauerman of Olivia and B. E. Grottum of Jack- announced they will in- troduce a state liquor dispensary bill. A similar measure, providing that the state take over the opera- tion and management of the whole- sale liquor business, was defeated by the 1947 legislature. A move in that direction by the Farmer-Labor administration a decade ago also was defeated. The majority leader said it has Britain s strong Protest to hls pmi0sophy always that the rael against the shooting down should not get lnto business. five R.A.F. planes Friday. recaUed that Harold E. Stassen, Britain's protest was contained against the "dangers" of putting the state in business, liquor or otherwise. "I have always advocated that the state encourage private Dunn said. "I have consistently opposed entrance of the state into a brief memoraudum handed to a representative of the Isreali for- eign office at Haifa by British Con- sul General Cyril Marriott. The protest stated that Britain re- serves all her rights "both with regard to claims for compensation and to all possible subsequent e.f- tion." A Tel Aviv dispatch said the Is- raeli representative refused to ac- cept the British protest because It was adressed to "Jewish authorities in Tel Aviv" and not to the pro- office at noon today and escaped with in cash. Postmaster Milton Badatz at the It was the second such Israeli refusal In two days. The first was by the Israeli delegation to the U.N. cribed the robber as six feet tall and weighing 200 pounds. He was armed with a small caliber nickle-plated revolver. Steve Wittman of Oshkosh, Wis., took top prize money in the Continental Trophy race for midget planes at the AU- American air maneuvers in Miami, Fla. He is greeted by Kim Sigler, former governor of Michigan, who presented-the trophies, left (A. P. Wirephoto to The Republican-Herald.) the same reason. Britain does not recognize the state of Israel. WEATHER FEDERAL FORECASTS Winona and vicinity Mostly cloudy and continued cold tonight and Tuesday. Light snow late Tuesday afternoon or night. Low tonight ten in the city, five in rural areas; high Tuesday 18. LOCAL WEATHER Official observations for the 24 hours ending at 12 m. today: Maximum, 50; minimum, 14; noon, 16; precipitation, none. Official observations for the 24 hours ending at 12 m. today: Maximum, 17; minimum, 10; noon, 17; precipitation, none; sun sets to- night at sun rises tomorrow at ____ TEMPERATURES ELSEWHERE Max. Min. Prec. Chicago 41 33 Denver............. 20 0 .03 Des Molnes.........31 12 .13 Duluth 18 6 Intl. Palls.......... 0 -24 Los Angeles........50 29 Miami 76 71 Mpls.-St. Paul......23. 3 New Orleans.......77 52 New York..........46 39 Phoenix............. 85 43 .0 Washington........ 58 38 The 8 Winnipeg 3 business, no matter what kind of j Actress Lila Leeds, 25, and Robin business it may be. That's socialism, I Ford, 31, a real estate salesman, and I'm against socialism in any! Their cases likewise had been sub- form." imitted. "Completely said Senator Warren G. Magnuson (D.- above, of report that he had married 25-year-old June Millarde, above. Reports linking the 43-year-old senator romantical- ly with the girl who also is known as Ton! Seven, arose last week when he was listed as "necessarily absent" at the opening 'of Con- .gress. The weather, not romance, delayed him, Magnuson told a reporter upon his return to town yesterday. Magnuson was mar- ried in 1928, while still in college, to the former Eleanor Maddieux of Seattle. They were divorced in 1935. jump taxes a not counting higher levies for in- Your Share share In the cost of government, proposed by President Tru- man, out to for the 12 months befinninf next July 1, compared with lor the preceding U months. Based on an estimated popu- lation of that U the cost for every living Ameri- can man, woman and child the jovernment's opera- tions at home and abroad, reflected In the budget message today. The comparative cost in year ended June 30, 1941, last full fiscal year before Pearl Harfcor, was The popu- lation then was only 000. creased social security benefits and a new health insurance program he wants to start the New Deal ball rolling again. .These important disclosures were made on highest authority follow- ing issuance of the budget message; 1. The President figures on July 1 being the effective date for the tax hike he wants on corporation, estates and "middle and bracket income. He thinks It may yield only in fiscal 1950, however, because of a time lag in collections. 2. The President expects to finance his proposed national health insurance program with a one-half of one per cent total. tax on payrolls, beginning next July 1. Employes and employers each would pay one-fourth of one per cent. 3. An estimate that Individual income tax collections in 1950 will yield reckons that individual incomes will re- main at the recent record-hich annual rate of and the federal income tax alone will drain off nearly one-tenth of that. During the year which ended six months ago, the government ran up an unprecedented surplus of Then the Republican- controlled 80th Congress rammed through its multibillion dollar tax cutting bill over Mr. Truman's veto. Now, with a four year term In the White House ahead for himself and with a Democratic Congress rein- stalled on Capitol Hill, Mr. Truman bespoke not of vic- tory in his fight for higher taxes, at least of a promptly enacted, "Integrated, comprehensive system of social insurance." As a starter, the President sug- gested advancing to next July a six months speed schedul- ed rise in social security payroll levies from 1 to 1'A per cent on, employes and employers alike. Also, he proposed making the tax apply, (Continued on Page 10, Column L) TRUMAN BUDGET Minneapolis to Have Metropolitan Opera Metropoli- tan Opera company has scheduled four performances in Minneapolis May 12-14. The festival, fifth annual spring: event held by the Metropolitan in Minneapolis, will be sponsored by. the University of Minnesota and the Minneapolis Symphony orchestra. Performances will be in the XJniver-' sity's Northrop auditorium. The program will consist of Ver- di's Abroise Thomas' Rossini's "Barber of Se- and Puccini's "La Scheme."