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Winona Republican-Herald, The (Newspaper) - March 25, 1952, Winona, Minnesota Not So Cold Tonight, Light Snow Wednesday VOLUME 52, NO. 32 FIVE CENTS PER COPY WINONA, MINNESOTA, TUESDAY EVENING, MARCH 25, T952 SIXTEEN PAGES Armored Car Robbed of HOWS BUSINESS? Outlook Cheery In U.S. Despite Many 'Soft Spots (Editor's note: To show the state of business and industry, The Associated Press madte a state-by-state survey of the country. The following article is the first of a series of three showing condi- tions nation-wide.) By THE ASSOCIATED PRESS In the midst of some sales and production slump that cause grave worry, business leaders today are gen erally confident. This is the main finding of a coast-to-coast Associatec Press survey in which business and industrial officials wer asked: "How's Outright pessimists were few and far between. Optim ism was wide-spread if somewhat cautious. Leaders re ported some major industries s harried there is talk of recession even while others continue to boom Retail sales have fallen behini scare-buying 1951 over most of th nation. Many prices have been re duced. Some manufacturing ha been cut back. k A The big problems are high taxes ICim rising labor costs, lower margins B V IU J I I buyers' resistance. But despite the "soft spots'J business is reported generally good by comparison with most recen years. Production Higher Washington reports bear this out TODAY MacArthur Run If Taft Fails By JOSEPH and STEWART ALSOP WASHINGTON Gen. Douglas MacArthur's statement last week was .conned over, if not exactly nervously, at least with a faintly anxious interest, by the leaders of the campaign for Gen. Dwight D. Eisenhower. And all concerned reached the same conclusions. First, Gen. MacArthur must now be counted an active candidate, at least on a contingent basis. Second, if Sen. Robert A. Taft's campaign really collapses, as it shows some signs of doing, Mac- Arthur will then become the spear- head of an all-cut, last-ditch stop- Eisenhower drive backed by the powerful "anti-me-too" wing of the Republican party. It is not easy to define, of course, the precise point at which the Taft campaign might at some future date be said to have failed. Taft's definition would certainly differ from that of the Eisenhower men. Some of these are already, in fact, saying that "Bob Taft's all washed on the grounds that Taft's only real chance rested on showing unchallengeable strength on the first ballot at Chi- cago, and that this is now clearly impossible. Eyas on Wisconsin A more sensible view seems to be that two tests must first be applied, before it will be clear whether or not Taft is out of the running. The first test is obviously the Wisconsin primary on April 1. Even the Taft men agree that Taft has every possible advantage in Wisconsin notably including the fact'that Eisenhower is not enter- ed there and that Taft must win hands down in Wisconsin if he is to'win at all. Taft's Wiscon- sin manager, Tom Coleman, has predicted that Taft will take all 30 delegates. He might drop two or three to a second string candi- date, Harold E. Stassen or Goy. Earl Warren of California, and still survive. But if Taft loses more than a handful of candidates, he almost automatically becomes a second string candidate himself. The second test is in many ways more decisive. Taft's basic strength has always rested with the non- the regular organizations in the primary states, notably in South, where delegates can be de- livered more or less at will by a few professionals. By and large, the professionals have been for Taft, in part simply because they sympathize with his views. But especially among Southern Repub- licans, ideas are far less important than being for the winner. A rush of the professionals to Eisenhower, as the probable winner, would of course spell Taft's doom. Switch In South The Eisenhower leaders claim that at least a biggish trickle has already started. They are coy about names, for obvious reasons, -but they are saying that they nave been approached by numer- ous previously pro-Taft profession- als from Florida, Kentucky, and other southern states. The alacrity with which Gov. Driseoll of New Jersey jumped on the Eisenhower bandwagon after New Hampshire, and the current effort of the "War- ren supporters to identify their man with Eisenhower, at least make these claims sound believ- able. If Taft does poorly in Wisconsin, the trickle will tend to become a flood. Then only Gen. MacArthur might stem the flood, given the determined support of the large numbers of powerful Republicans who have no stomach for the for- (Continued on Page 11, Column 3) ALSOPS Government economists estimate that gross national produetion-val- ue of all goods and services pro- duced in the first three months oi 1952 is at a rate of more than 338 billion dollars annually. This is 19 billion higher than it was a year ago. Here are other current Washing- ton estimates: National income at an annual of more than 285 billion-dol- lars against 269 year .ago. Personal income more than 257 billion against 243 billion in early 1951. Unemployment persons in February, or less than a year earlier. The second quarter of 1952, start- ing April 1, is the period in which government economists said we would see the greatest pinch on materials. May Relax Controls But as it approaches, what is the picture: Defense production officials are considering relaxing controls on some types of steel and aluminum in ample supply. They're giving a go-ahead to commercial and non- defense industrial construe''in. April could tip the balance. A series of strikes would make supplies short again, bring tight- ened controls and keep many con- struction workers idle. Wage-price increases in steel and other industries could set off a new inflationary spree. Against this background, here are results of the A. P. survey of business and industrial leaders: Retail sales in 33 states have fallen behind 1951, in many cases by 10 to 15 per cent. But com- parisons with 1950 are mostly fa- vorable. Consumer Resistance There is widespread consumer resistance. Seller's markets are virtually extinct. Many store heads report customers increasingly "value-conscious." Savings, which expanded from Ten States Push River Road Actress Anne Sterling, "TV's Jane lies in a Holly- wood hospital cot suffering from bruises "from eyebrows to toenails." Sheriff's officers said she reported she was kid- naped by four men from the vestibule of a friend's home, held for 90 minutes in a swank Hollywood apartment, and sub- jected to a brutal beating she described as "worse than the Spanish Inquisition." Doctors say she may have suffered internal injuries. 3.6 per cent of income, nationally, in the first quarter last year to 9 per cent in the final three months', are remaining near the higher lev- Retailers eye this reservoir of Murray Refuses To Meet Wilson On Steel Issue By NORMAN WALKER WASHINGTON Presi- ent Philip Murray today blasted efense Mobilizer Charles E. Wil- on as a "biased and uninformed" businessman and refused to neet with him on the crucial steel spute. Wilson, flying back from talks ith President Truman at Key 'est Fla., had charted new steel age-price peace negotiations in pparent hopes of avoiding boosts hich he plainly felt might wreck .e entire economic controls pro- Murray's tart refusal to meet ith Wilson, even before the mobil- ation chief got around to sending ut invitations, seemed to doom ny such negotiations before they arted. Wilson told reporters who met m at the airport last night that made last week by the age Stabilization Board for sett- ling the labor issues posed "a seri- ous threat" to the administration's efforts to stabilize the economy. The board recommended a cent hourly increase and other benefits. The steel industry says it will have to raise its prices up to a ton to pay for wage increases recommended by WSB for Mur- ray's union. Murray, pointing out that he had postponed scheduled steel strikes Canada-to-Gulf Highway Urged Planning Commission Appears Before House Committee WASHINGTON Residents from ten states carried to Congress today a plea that it approve a long- cherished highway along the Mississippi River from Canada to the Gulf of Mexico. Such a highway, about miles long, was recommended to Congress last January by the Bur- eau of Public Roads and the Na- tional Park Service after an ex- haustive survey. Actively backing the proposal before a House public works hear- ing today is the Mississippi River Parkway Planning Commission, headed by A. P. Greensfelder of St. Louis and including residents of all 10 states in the river valley. Legislation before the committee includes identical authorization bills introduced by 31 representa- tives from states along the river. A reporter was told the com- mission is backing the plan recom- mended by the two government agencies. Under this, existing roads now paralleling the river would be connected by new segments of high- way built to parkway specifications and the old roads improved grad- ually. This plan contemplated that would ;take a period of years complete the project." The two agencies put no cos estimate on the recommended pla but said it would take about million dollars to obtain the lam needed for the 40 per cent of th mileage which would be new park way. The recommended route wouli pass through a portion of all ten A Male Guest of the St. George Hotel in down- town Los Angeles starts down a fire department ladder to safety during the fire that burned through part of the establishment early today and took at least 8 lives. Directly below him a woman is screaming to be saved. Another guest at his right awaits his turn. (AP Wirephoto to The Republican-Herald) four times at Truman's request and had followed the administra- tion's suggestions in presenting the union's complicated demands to the WSB for suggested solution, said Wilson was unfamiliar with the case. The current strike postponement Wisconsin Iowa, Illinois, Missouri, Kentucky- Tennessee, Arkansas, Mississipp and Louisiana. The aitthorization bill before th committee provides no appropria tion. It proposes that the parkwaj be constructed jointly by the fed eral government and the states under a program like the presen: federal-state road program. Money for Taft's Wisconsin Race Rises to MADISON Campaign expen- ditures in Wisconsin in behalf oi U. S. Sen. Taft presi- dential aspirant, amounted to 736 up to Saturday, Secretary ol State Fred R. Zimmerman report- ed today. Financial statements for other nominee candidates in the April 1 primary also were filed. Expenditures for Harold E. Stas- sen, also a Republican, came to Expenses for Gov. Warren of California, a Republican, total, ed A group backing Gen. MacArthur said it spent Four clubs supporting Taft list ed total receipts of Two Stassen groups reported collecting and three Warren organiza- buying power hopefully as a source Six Men Die In Los Angeles Hotel Blaze By PAUL DITZEL LOS ANGELES Fire which flashed swiftly in a six-floor skid row hotel killed at least six men today. A night clerk who ran through the corridors knocking on doors, then hurried back to his switch- board to warn others fay telephone, was credited with saving many lives. An estimated 150 were in the St. George Hotel at 115 E. 3rd St., when the blaze broke out at 3 a.m. Police said 10 were hospitalized with burns or injuries. The night clerk, Leland White- house, 57, said: "The first I knew of the fire was when someone called down iom the fourth floor when he saw smoke. I ran upstairs. I went down a back stairway from the fourth :o the third floor. Then I saw the fire. It was coming 312 at the rear. The door was open.' One of the occupants of 312, iden- ified by police as A. D. Bern- lardt, fell or- jumped to his death tf an alley. The other occupant, 5mil Mongee, was in a hospital with critical burns. Until they could question him, fire depart- nent arson investigators said they had no idea how the blaze started. The hotel is just off Main street, has a permanent population of bout 80, and caters chiefly to men ransients. Of the dead beside Bernhardt, all suffocated. Two were identified tentatively ,s J. R. Moore and Charles Ellis 51ack, addresses undetermined. Firemen used ladders to rescue ome occupants. Others clambered own fire escapes and a few jump- d into nets. Most of them suffered rom the intense heat and heavy moke. j The blaze was quelled an hour after it started. The blaze was the third major ire of the night. A few hours ear- ier, a blaze swept a Jwo- business buflding a few I blocks away, on Broadway, gutting a clothing store, dress shop, jew- elry store and restaurant. St. Cloud to Re-count Votes on New Charter Inundated by flood waters from Lake Erie at Estral Beach near Monroe, Mich., fol- lowing heavy rain storms over the Great area last weekend. (AP Wirephoto to The Repub- lican-Herald) ST. CLOUD, Minn. re-count of the votes in last Tuesday's char- ter election here has been order- ed. District Judge E. J. Ruegemer ordered the re-count on petition of Philip A. KeHer, a Great Northern carshop worker. Keller identified himself as a supporter of the new charter bat said be felt the re-count should be -conducted because of the narrow winning margin. Actual start of the re-count awaits appointment of counters by lican po JudfB Bnesemer. Weapon, North Western Train Stalled 48 Hours in. Drift HURON, S. D. Chicago 4 North Western passenger train snowbound at Heights for 48 hours in a bliz- zard reached here lite last night after being dug out by shovelers aboard a work train. The 17 passengers and 27 trainmen wera billeted in Heights homes during the en- forced stay. The train was be- ing pulled by two locomotives when it stalled. An engine pushing a snowplow in efforts to free the train was also trapped. Ree Heights has a population of M4. The train left Rcpid City Saturday, bound for Chicago. a Four Divisions In Mock Battle First Punch at 47th Division FT. HOOD, Tex. Long Horn, biggest maneuver it U. S. military history, came of ie planning board at one minute after midnight today when two brigades of the 82nd Airborne Di- vision stormed across the Lampas- as River. The 82nd, aggressor force in this giant mock war, threw a Sunday punch at the U. S. 47th nfantry Division on the front, the 31st Infantry in the rear and the st Armored in reserve. Until one minute after midnight his was strictly a paper operation, >ut when the cocky parachute in- antrymen hit the lazy Lampasas, fou couldn't tell it from the real thing. The operation is as real as theory :an make it and you can get the cope by this comparison: There are six divisions of U. S. troops fighting in Korea. There are four on the maneuvers here. Lt. Gen. William Hoge, Fourth Army commander, is acting as maneuver director. The U. S. forces are under the command of Maj. Gen. Hobart Gay, who led the 1st Cavalry in the first bloody charge of Korea. Maj. Gen. Charles D. W. Canbam commands the 82nd and all aggressor forces. Reds Count on 111 Workers to Kill Capitalism LOS ANGELES Ameri- can workers will be the grave- diggers of the United States' capi- talist government, a defendant in the California Communist conspir- acy trial has been quoted as say- ing. Mrs. Loretta Starvus Stack, one of 15 defendants, made this remark n a speech accepting election to the state board of the Communist jarty in 1945, government witness Stephen Wereb testified yesterday. Wereb also identified four other defendants as active in Los Angeles bounty party affairs: Dorothy Hea- ey. Rose Chernin Kusnitz, Ben )obbs and William Schneiderman. Schnciderman, state party chair- man, declared in 1946 that in case of a U. S.-Russia war, there was a 'question whether the United Itates would get allies for he witness said. Miss Healey urged mass dem- mstrations at the Los Angeles City Hall to push various Communist campaigns, said Wereb, an under- cover man for the FBI from 1944 on. Wereb said he attended a leader- ship class in 1946 and was told by the instructor that the party planned to set up leadership "five deep" to protect itself against FBI arrests. Boy, 18, Held In Girl's Death SAN FRANCISCO An 18- year-old boy who told a newspaper reporter he beat a 17-year-old high school girl to death was held today on a murder charge. Police took Ramon Rodriguez to a grassy hillside in Mission Park where the oude, battered body of Hilda Ross Pagan was found yes- terday morning. Police Captain James English quoted Rodriguez as confessing: "I did it. I did it with my fist." Rodriguez was located by Call- Bulletin Reporter Bob Half, who checked Hilda's acquaintances by telephone. Hall said he was startled to hear Rodriguez calmly admit hitting the girl because she scratched his face. Three Men Flee With Loot at Danvers, Mass. Robbery Largest In Area Since Brink's Co. Holdup DANVERS, Mass. gun- men today robbed an armored money car of about cadi, all the money in the vehicle, while it was stopped in this quiet town about 20 miles north of Boston. Danvers policeman Alanson Burnham said the truck was unat- tended while guards were in a drugstore. Lawrence Johansen, who was in charge of the truck, estimated the loot and said most of it was in small bills. The car, owned by the United States Trucking Company, was be- ing used to deliver money to banks and business concerns in various communities of Massachusetts' north shore. The three robbers fled in a black Buick sedan which, less than an hour later, was found abandoned in Everett, just north of Boston. One man was seen leaving the car, but disappeared quickly. The truck was parked on Maple St, the main business street in this community, just across from the Danvers National Bank. of Series This was believed the first in- stance in which an armored car had been successfully held up. The holdup was another in series of robberies that have plagued New England communities recently. Within recent weeks offi- cials of the Credit Union of the Quonset Point, R.I., Naval Air Sta- tion were held up and robbed of and a bank in Medford, Mass., was robbed of The robbery -was the largest in this area since six rubber masked gunmen robbed Brink's Company of in cash in Boston, Jan. Police said their quick, .early in- vestigation indicated the back doors of the truck were left un- locked or open. Jobansen said be had delivered probably a million dollars to banks and businesses houses before ar- riving here to make a delivery to the Danvers National Bank. The robbers' car sped off im- mediately, almost knocking down patrolman Edmund Noonan who was on traffic duty in Danveri square about 200 feet distant for Boston It circled around Danvers to get back onto U. S. Route One, which runs from Maine to Florida. It sped towards Boston before it was abandoned. The car was re- ported stolen from a Boston steel- worker. Everett police later located wit- nesses who, unaware of the rob- bery or the part the car played in it, had seen men "shifting large bundles" from it to another car, a black Pontiac. The transfer was speedy and so was the departure, in an undeter- mined direction, of the Pontiac. The registration of the second car was not known immediately. The trans-shipment was carried out at Broadway, Everett, part of U. S. Route One, and Marie Street Police searched the area without success. The Federal Bureau of Investi- gation quickly assigned special agents to the case as soon as it was reported federal reserve funds were involved. Politics at a Glance By THE ASSOCIATED PRESS Sea. Estes Kefanver of Tennessee, candidate for the Democratic presidential nomination, campaigns in Wisconsin at Port Washington, Sheboygan, Manitowoc, Two Rivers, Milwaukee. Rep. Claude Bakewell of Missouri, supporter of Gen. Dwight Eisen- hower's candidacy for the Republican nomination as president, speaks in Newark, N. J. Sen. Robert Kerr of Oklahoma, candidate for the Democratic presi- dential nomination, campaigns in Iowa. Sen. Robert Taft of Ohio, candidate for the Republican presidential nomination, campaigns in Wisconsin st Ripen, Green Lake, Waupua, West Bend, Port Washington, Sheboygaa, Fond du Lac. Former Goy. Harold Stassen of Minnesota, -candidate for the Repub- lican presidential Domination, campaigns in. Wisconsin at Columbus, Finnegan Gets 2 Years On Misconduct Charge ST. LOUIS James P. Finne- gan, personal friend of President Truman, today was sentenced to two years in prison and fined 000 for misconduct as Internal Revenue collector here. He was convicted on two misconduct charges by a federal court jury March 15. Federal Judge Rubey M. Hulen imposed sentence after dtnying a motion for a new trial. The 51-year-old ex-collector was sentenced to two years on each of two charges, but the terms are to be served concurrently. His attorneys previously'had an- nounced they planned to appeal in the event their motion for a new trial was denied. Sheboygan, WEATHER FEDIRAL FORECAST Winona and clandiness, not quite so cold to- night Wednesday clearing with moderate temperature. Light snow Wednesday night Low tonight 22, high Wednesday 40. LOCAL WIATHIR Official observations for the 24 ending at 12 m. today: MaritrniTti 33; minimum, 10; noon, 33; precipitation, none; tun sets tonight at ran rises to- morrow at tm ;