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Mason City Globe-Gazette (Newspaper) - March 31, 1949, Mason City, Iowa NORTH IOWAS DAILY PAPER EDITED FOR THE HOME MASON CITY GLOBEGAZETTE THE NEWSPAPER THAT MAKES ALL NORTH IOWANS NEIGHBORS VOL LV Associated Press and United Press KulJ Lease Five Cents a Copy MASON CITY IOWA THURSDAY MARCH 31 1949 HOMEJEDIT10N TWO ESCAPE UNHURTDriver of this car Bill Skluzacek 31 712 MaclisSf N and a passenger with him John Hert 804 Van Buren N W escaped serious injury when the auto collided with a Northwestern road switch engine at p m Wednesday on 9th N W The car was dragged for 150 feet from the crossing and demolished Of ficer James Coyle is shown at the scene Poor vision and wet streets were blamed for tne misnap John Deere Spurns Talks With FEW Moline 111 UR The John Deere Plow Works Thursday re fused to enter wage and contract negotiations with the CIO United Farm Equipment Workers union FE President John T Watkins Rock Island 111 charged that the company took the action because the rival CIO United Auto Work ers asked the National Labor Re lations Board to conduct an elec tion at the plant to establish bar gaining rights The FE recently went on record as refusing to obey the order of the national CIO executive council to merge with the UAW The Auto Workers have been authorized by the executive council to campaign for FE members Watkins said that regardless of the companys action the FE must be recognizedas the bargaining agent in all pending wages hours and wordingcondi tions under terms of the contract of the law Soviets Leave Yugoslavia Cominform Nations in Diplomatic Boycott Belgrade and its Cominform satellites have quietly withdrawn their ambassadors and ministers from Yugoslavia in a diplomatic boycott of their com munist former ally The boycott came to light Thursday when a poll of the so viet Bulgarian Romanian Czech and Polish embassies and the Hungarian and Albanian lega tions disclosed that allheads of missions left Belgrade from 3 weeks to 3 months ago All the countries participated last year in the expulsion of Yugoslavia from the cominforrn and the denunciation of Marshal Titos government as Trotskyist Other developments in Yugo slavias worsening relations with its communist neighbors included these announcement that the Greek rebel government would be broadened to include Bulgarians Albanians and dissident Yugoslavs as part of a united Macedonia movement announcement of the suspension of a 1946 agree ment with Bulgaria because of repeated brutal attacks by Bul garian frontier guards on Yugo slav militiamen escorting trains across the border Weather Report FORECAST Mason City Rain and snow end ing Thursday evening Clearing and colder Thursday night with low of 20 to 25 Friday fair and sunny with warmer High Fri day 45 Iowa Clearing and somewhat colder Thursday night Friday partly cloudy and warmer Low Thursday night 25 northwest 35 southeast Minnesota Fair north clearing and slightly colder south por tion Thursday night Friday fair warmer except little change in temperature near Lake Superior IN MASON CITY GlobeGazette weather statistics for 24 hour period ending at 8 a m Thursday Maximum 37 Minimum 32 At 8 a m Thursday 32 Snow H inches Precipitation 47 TEAR AGO Maximum 52 Minimum 35 Merchants Conservative on Purchases Since Christmas Washington Merchants taking a cue from their customers are going light on buying Very conservative inventory and buying policies were cited by government officials Thursday as the chief cause of a drop in business loans since Christmas This drop has outdone anything of the sort in previous postwar years These loans are used in large part to finance purchases of stocks of goods Officials said merchants not only have cut back buying for tney get caught in a phase of declining also have been paying off old loans as fast as possible Loans Drop The business loans drop as measured in federal reserve board reports from member banks in the nations leading cities has run un broken for the last 10 weeks It carried the volume of business loans down from the December 22 peak This drop of more than 4 per cent in 3 months is due to lack of demand rather than to newly tightened bank lending policies officials said They added that re ports reaching here show no sign of unusual callingin of loans by the banking system Buying caution by merchants was rated a healthy sign The official position is that the coun try would be better off if business men guard against building up big inventories Such heavy stocks of goods might later have to be dumped in forced selling some thing that has accentuated trouble in past boom and bust cycles Preventing Bust The insurance provided against a happening of that kind by the conservative buying policies was described as one way of prevent ing any bust Nevertheless these policies clearly were a link in the chain leading to factory layoffs when the buying holdback starting with the retail consumer reached to the manufacturer and brought a slowdown in his Want Better Program of Information Washington was asked Thursday to throw away President Trumans budget esti mates and step up this countrys information program to offset Rus sian propaganda The recommendation was made by an advisory commission cre ated by congress last year to study the state departments worldwide information program which includes the voice of America The commission said Mr Tru mans fiscal 1950 budget request for to finance the pro gram is a bare minimum The growing importance of our international information program as a tool of Americas foreign policy the commission said calls for a much larger expenditure Russia the commission added is spending enormous sums for propaganda and it is up to the United States to push immediate and broad expansion of its infor mation program to meet soviet competition Congress put up to finanrfi the state departments in formation work in the fiscal year ending June 30 But the present program the commission said is not adequate to meet the pressing heeds of our international respon sibilities COSTS SKYROCKET Shanghai cost of liv ing in Shanghai rose 460 per cent during March Asks Probe of Hoover for Wire Tapping Washington UR group dominated by new deal democrats called on the senate Thursday to investigate Director J Edgar Hoover of the FBI on charges that he violated the law by tapping telephone wires The charge was based on the following statement by Hoover in a recent issue of the Yale Law Journal It is no secret that the FBI does tap telephones in a very lim ited type of cases with the express approval in each instance of the attorney general but only in cases involving espionage Sabotage grave risks to internal security or when human lives are in danger The request for an investigation was addressed to Chairman Pat McCarran of the senate judiciary committee in a letter signed by Paul A Porter Joseph L Rauh Jr and Wendell Berge of Americans for democratic ac tion and Roger Baldwin James Lawrence Fly and Arthur Garfield Hays of the American civil liber ties union Porter and Fly are former chairmen of the federal communications commission which consistently has battled against wire tapping by the FBI under any circumstances Says Reds Were Conspirators Budenz Claims Party Was Fostering Strikes New York Budenz former communist party official continued his testimony at the trial of 11 party leaders Thursday aft er describing them as a conspira torial group responsible for an antiwar strike at the vital Allis Chalmers plant in 1941 Budenz testified Wednesday that he attended an underground meeting of communist functionar ies in Milwaukee in 1940 to ap prove the strike action in order to stop delivery of munitions to Great Britain and hinder Roose velts war and hunger program Russia at that time had a nonag gression pact with Hitler The Fordham university profes sor said Augene Dennis one of the defendants told the meeting the strike had been recommended fay the American politburo or na tional board of the party He said Harold Christofel then president of the CIO United Auto Workers local at Allis Chalmers agreed to the strike and it was begun soon after Budenz said Dennis stressed the responsibility of party members as bolsheyists to turn the imperi alist war into a civil war We should school ourselves on Josef Stalins writings on these matters The day was marked by 5 mo tions of the defense attorneys for a mistrial based on careless and prejudiced remarks allegedly made by Federal Judge Harold R Medina The judge denied the motions and chided the defendants for smiling sneering and snickering So you could get everybody laughing so they would forget what the trial was about KILLED IN BLAST Lisbon UR Three persons were killed and 18 injured Wednesday when a munitions fac tory exploded at Trafaris Portu gal the newspaper Diaro Popular reported Thursday Says Deficit Worse Than Tax Increase Truman Does Not Think Boost Would Cause Depression Washington Tru man declared Thursday that a fed eral deficit would be much more dangerous to the countrys econo mic health than a tax increase Mr Truman told a news con ference that he does not agree with Senator George chairman of the senate finance committee that a tax increase at this time might bring about a de pression By these remarks Mr Truman was prodding congress indirectly once again to follow his advice and increase taxes by Less Spending Power Georges view is that taking that much money out of the hands of the people would mean less spending for consumer goods and so contribute to a slackening of business What Mr Truman argues is that it would be worse for the govern ment to spend more than it takes in through taxes creating a defi cit in its accounts Other Remarks The presidents tax remarks were among several news confer ence comments in the economic field He also said 1 He is still sticking by his re quest that congress give him standby power to put in rationing and price the idea has not been shelved His request for such antiinfla tion legislation he declared is one of the main reasons that infla tion has been temporarily held off The proposed program he added has had a good effect al ready 2 Dr Edwin G Nourse is not re signing as chairman of his council of economic advisers March Bows Out Under Snow Cover The amateur weather experts were trying to decide Thursday whether March went out like a lion or a lamb The 2J inches of fluffy white snow was fleecelike enough but there were also those who hoped it was winters last roar Springlike weather of the last week had got many farmers in the mood for the planting season and they looked on the heavy wet snow with mixed feelings It likely will delay them getting into the fields but if it melts slowly it will provide subsoil moisture which is badly needed The weatherman said the snow would not lie long on the ground His forecast was for clearing and colder weather Thursday night but temperatures well above freezing Friday This Paper Consists of Two No 14S Conductors Vote to Strike on C N W Order Survey of Incomes of Landlords Truman Takes One More Crack at Real Estate Lobby Washington Ex pediter Tighe Woods Thursday ordered a survey of landlord in comes The findings will deter mine what rent increases are to be granted under the new control law Announcing the order in a statement Woods declared the 15 month extension is a consider able strengthening of the previ ous law and does not mean a general rent increase for all ten ants The new law does require that rent ceilings allow landlords a fair operating income The sur vey is to obtain information lor carrying out that part of the law Raps Realtors Shortly after Woods announced his plans President Truman took another crack at what he called the real estate lobby The rent ceiling bill he signed Wednesday must be a good one the President said in view of the criticism of it in a telegram he has received Under questioning at his news conference Mr Truman said the telegram came from the National Association of Real Estate Boards He wasnt releasing the telegram himself he said but the sender a Mr Nelson was at liberty to do so New Regulation Woods said a new regulation will be issued governing rent boosts under the fair income clause after the survey is com pleted Meantime rent offices will continue to handle landlord petitions for increases on grounds of hardship A spokesman said Woods within the next week or so will also re move the ceilings in about 100 of the 600 rent areas of the country Woods agreed to do that if con gress gave him power to restore ceilings in case of need RUNS INTO BUS Santa Monica Ca ano Chavez 106 valked into the side of a moving bus Wednesday received hospital treatment for fa cial cuts and returned home GtobcGazette Ploto WAITING FOR obviously sat in the snow on this park bench at the southeast corner of Cen tral park in Mason City Thursday forenoon Were they just waiting for a bus or was it a couple waiting for spring AP Wirephoto CHURCHILL ARRIVES FOR M I T Churchill Britains wartime prime minister dexterously doffs his hat and puffs his cigar at the same time as he walks through South station in Boston after arrival Thurs day for his speech Thursday night Dr Karl T Compton former president of the Massachusetts Institute of Technology and Bernard Baruch financier and presidential advisor accompany the British statesman Final Adjournment by April 15 Called for by Iowa House Des Monies UR The Iowa house tussling with some of the most controversial legislation of the 1949 session Thursday adopted a resolution calling for final adjournment April 15 The resolution was introduced by Republican Weichman as the house began de bate on a GOPpacked bill to amend the 1947 county assessor law The house adopted the reso lution by voice vote Speaker Gus T Kuester ex plained however that under usual procedure the resolution would now go to the senate where it would not be acted upon until the legislature was certain when it could complete its work The date might then be changed he said For Adjournment Senator John R Hattery R Nevada has introduced a reso lution in the upper chamber call ing for adjournment April 9 Indications were that house ac tion on the assessor bill would be followed by another bout with an equally controversial labor meas ure to amend the 1947 law banning the closed and union The senate completed legislative action on the little Hoover com mission bill by concurring in a house amendment The bill sets up a 9 member commission tq study reorganization of the state government The house amend ment directs the commission also to study the possibility of consol idating state judicial districts The republican assessor bill is designed to answer the criticism of the democrats its sponsors said It provides that the county asses sor be appointed for a 4year term by a board composed of repre sentatives of the taxing bodies within the county Kill Repeal Bid Late Wednesday the house killed by a 71 to 34 vote the demo cratic bill which would have re pealed the 1947 county assessor law After action on the repealer the democrats withdrew a bill to restore the township assessor sys tem which existed prior to passage of the 1947 law House Majority Leader Harry Weichman and 2 other representatives filed an amendment to the labor bill which they hope will increase its chances of passage The other 2 represent atives were Robert P Munger RSioux and George E OMalley DDes both leaders of house labor forces Famous Chicago Merchant Dies Chicago C Lytton 102yearold pioneer State street merchant died Tuesday of a heart ailment Lyttons career was the sort which inspired writers of juvenile fiction in the early part of the cen errand boy to famous merchant He retired at 70 but came back to work 16 years later and was at his desk daily even after he was 100 He founded his Chicago store Henry C Lytton and Co in 1887 It was formerly known as The Hub Say Traffic Death Trend Is Upward Chicago accidents killed 2070 persons in February and there is an upward trend in traffic deaths this year the Na tional Safety Council reported Thursday The February deaths compared with 2090 in February 1948 but the one per cent decrease was due to the calendar and not to bet ter traffic behavior the council said Last year February had 29 days while this year there were only 28 The average daily death toll was 74 this year the council said which is 3 per cent higher than the 1948 figure Traffic deaths for the first 2 months of this year totalled 4400 an average of 4 per cent over the 1948 total Expect Repeal of Oleo Tax Fight Shapes Upon Restriction of Sales Washington UR The house was expected to vote repeal of federal oleomargarine taxes Thurs day But a fight shaped up over a proposal to restrict the sale of yellow oleo The repeal Hill sponsored by Rep Walter K Granger would forbid the interstate trans portation of precolored marga rine Under the measure colored oleo could be sold only in the 12 states which permit sales and have margarine plants within their borders The Granger bill would outlaw the shipment of yellow oleo into 18 nonproducing states that have no laws against selling it Eighteen other states have banned the sale of yellow oleo altogether Rep W R Poage DTex said he will ask the house to sub stitute his own bill for the Granger version Poages bill would repeal the taxes and allow unhindered sales in the 30 states that permit them contend that the shopper has a right to spend her own money for any pure food she wants Poage said His measure however would require each individual pat of margarine served in public eating places to be so identified The Granger bill does not contain this provision Big Sioux River Is Above Flood Stage Akron UR The Big Sioux river was 3 feet over flood stage here Thursday and expected to go slightly higher Some water had spilled into low lands but no serious damage was reported Akron is north of Sioux City on the IowaSouth Dakota border Announce Decision at Cedar Rapids Would Halt Service on 9000 Miles of Track in 9 States Chicago Chicago North Western railway conductors have voted overwhelmingly in favor of a strike a union official an nounced Thursday The strike vote was announced at Cedar Rapids Iowa by F H Nemitz senior vice president of the Order of Railway Conductors A strike would involve almost 1500 conductors and presumably would tie up service over the roads 9000 miles of track in 9 midwestern north central and western states No Date Set Nemitz said no strike date has been set but that it will be an nounced later by H W Fraser union president who now is in Washington Nemitz said the strike vote was taken because of the failure of management toebserve agreement provisions and adjust disputes arising under those provisions He hinted that a strike could be averted by speedy settlement of the issues Order Suspended The controversy is similar to one between the union and the Pullman company against which the union ordered a strike to begin Thursday Tuesday however the strike order was suspended pend ing efforts of the national medi ation board to settle the dispute The Pullman walkout would have involved about 2500 Pull man car conductors throughout the United States and Canada on all Pullmanoperating i Claim Votes to Save EGA Fund Senate Demos Against TaftRussell Proposal Washington UR Administra tion leaders in the senate claimed the votes Thursday to defeat the TaftRussell amendment to cut 10 per cent from funds proposed for European recovery Well defeat it senate demo cratic leader Scott W Lucas said confidently From other sources it was learned that the administration was expecting a fairly close vote but believed the amendment would be rejected It was un derstood that the democrats ex pected to lose no more than a dozen democratic votes on the test and to pick up some offset ting republican votes Although the administrations drive for quick passage of the bill has bogged down Lucas was hopeful of get ting a vote before nightfall on the TaftRussell amendment Pres ent authority for the foreign aid program expires at midnight Sat urday The amendment sponsored by Senators Robert A Taft RO and Richard D Russell DGa would cut in spend ing authority from the bill One republican leader who asked not to be quoted by name estimated that the amendment would receive a minimum of 36 senate votes about a dozen short of the needed majority But he said there was a possibility that it might get more KILLED IN CRASH Montour John Paul 43 farmer of near Montour was killed in the crossing collision Wednesday of his car and the Mil waukee Hiawatha streamliner train Paul was thrown about 300 feet The accident was at a gravel road crossing south of here Re Me Parris Island S C it comes to signing the payroll al one marine sergeant has to do is make six scratches with the J Re Sgt Re a native of Mount Vernon N Y Is a re cruit drill instructor here SAME Black tnttU iralfc to ;