Newspaper Page Text
Considerable cloudiness. Highest in low 50s. Fair tonight: lowest, 34 in city. 28 in suburbs. Tomorrow cloudy and warmer. (Full report on Page A-2.) Midnight, 40 6 a.m. ...37 11 a.m. ...45 2 a.m. ...38 8 a.m. ...40 Noon_46 4 a.m. ...37 10 a.m. ...45 1 p.m. ...47 ___Lote New York Morkets. Page A-29. Guide for Readers Pate Amus’ments, A-24-25 Classified ...D-5-12 Comics _D-14-15 Editorial_A-10 Edit’l Articles, A-ll Finance _A-19 Page Lost and Found, A-3 Obituary_A-12 Radio-TV _D-13 Sports_C-l-4 Woman’s Section_B-3-7 An Associated Press Newspaper 99th Year. No. 75. Phone ST. 5000 ★★ S WASHINGTON, D. C., FRIDAY, MARCH 16, 1951—EIGHTY PAGES. Horn# Delivery. Monthly Rates: Evening and Sunday. *1.50: Rf f''1"E1'\TrrQ Evening only, $1.10; Sunday only, 45c; Night Pinal. 10c Additional. «* vDl'i J. O Crime Probers Told Saratoga Was Beehive of Gaming Dives; Costello Ordered to Hearing - i — --—— Senators Give Gambler Ultimatum to Testify Or to Face Arrest BULLETIN NEW YORK l/P).—Gambler Frank Costello, who yesterday stormed out of a Senate Cripie Investigating Committee hear ing, said today he will return for questioning at the commit tee's orders. By the Associated Press NEW YORK. Mar. 16 — A pic ture of wide-open gambling houses in Saratoga Springs, upstate New York resort area, was given the Senate Crime Investigating Com mittee today as they awaited a show?down with Frank Costello, re calcitrant racketeer witness. Costello, the reputed crime-ring kingpin who stormed out of a hearing yesterday, was ordered to return this afternoon. If he didn't, ahe committee said, he would be brought in under arrest. Firing the morning session w»as testimony by State Police Inspec tor Charles La Forge that in a 1947 investigation he found the horse race center of Saratoga, N. Y.. a beehive of gaming dives. The places were open “all through the ’40s,” the witness said, but were closed down in 1950 by State police. Got No Action. Inspector La Forge said his 1947 report was turned over to his superiors, but brought no action. He said State police do not act in local matters "unless or dered to do so by the Mayor, or the district attorney, or the upper echelon, or the Governor of the State of New York.” Senator Tobey, Republican, of New Hampshire, noting that the report apparently went up through channels to the Governor’s office, asked why Inspector La Forge didn't see Gov. Dewey when noth ing was done. “We just don’t do those things,” the inspector said. The police official said Saratoga police were “politically controlled,” and that the sheriff's office appar ently was too. The police chief, he said, would co-operate “in other phases of the law,” but wouldn’t discuss gambling. Tobey Is Disgusted. "A sickening and disgusting pic- j ture,” remarked Senator Tobey. ! “I will agree with you, Senator,” j . Mr. La Forge replied. The inspector said that in Oc-! tober, 1949, he got the “green I light, more or less, to make ar rests.” “That,” protested Senator Tobey,; “was three years too late.” The inspector said he was or- j dered to make the investigation, and used an eight-man detail in surveying the “SPA” area in which he found roulette, dice,' chemin-de-fer tables and other gaming in full swing. He said curfews, banning the sale of liquor after 3 a.m., were ignored, as were State liquor con trol laws prohibiting liquor sales in places where there was gam bling. “Joint” for Common People. Most cf the places were ex pensively furnished clubs, he said,; but he found one “known as the Sawdust Joint” that apparently was for “the common people, more or less.” Gambler Meyer Lansky and Joe Adonis, underworld figure, said to be a lieutenant of Costello, re portedly own interests in so’^e of the places, Inspector La Forge said. Committee Chairman Kefauver said there also is evidence that Costello himself “had part of I some one else’s interest” in the Arrowhead, named as one of the gambling houses. Costello Gets Cltimatum. Senator Kefauver said earlier a United States marshal was being sent to inform Costello of the committee’s ultimatum to return, or face arrest. Efforts to reach Costello to learn if he would reappear were unavailing. At his apartment at 115 Central Park West, doormen turned away newsmen. A woman who answered the telephone there said “No comment” and hung up. The new directive came after a physician reported Costello is able to testify. The gambler, before he stomped 'See CRIME, Page A-3.) * V/hen You Sell or Buy Use Star Classified A tremendous showcase is avail able if you want to buy or sell goods and services. That showcase is The Star's classified ad section. The Star carries more classified ads than the other three Washington pa pers combined. You'll want to look at Star classifieds for bargains. You'll want to adver tise there when you have some thing to sell. You hove until 2 p.m. tomorrow to place your Sunday classified ads. : Phone STerling 5000 now and avoid a last-minute rush. Place an ad in Star classified—“the people's market place.” J Thefts of EC A Thousands Laid To Greek Road Contractors Accusations by American Engineers Subject of Closed Inquiry in Athens By George Weller Foreign Correspondent of The Star and the Chicago Daily News ATHENS. Greece. Mar. 16.— Greek road contractors have ap parently outsmarted American engineers and stolen several hundred thousand Marshall Plan dollars during the past year. Economic Co-operation Admin istration officials, behind closed doors, are investigating charges that American personnel are criminally involved and have shared fraudulent Greek profits that fhe Greeks foxed from purse holding American engineers by raising road costs and loading estimates with extra charges after contracts were awarded. Both the Greek Ministry of Construction under former guer rilla leader, Gen. Napoleon Zervas, and ECA's Department of Con struction under former Army Col. j Deforest McCauley of Lincoln, Nebr., are split into camps of rival engineers with subordinates lodg , ing charges and superiors denying them. Gen. Zervas and Col. McCauley are defending against accusations by both American and Greek en gineers that their departments are at best negligent and at worst feloniously involved in Greek profiteering. So grave are considered these first accusations in the Mar shall Plan's three years of sub stantial achievement in Greece that Frederick C. Gray, deputy director of the Europewide con- [ trailer's office, has sped here from1 Paris to conduct a closed investi gation. American engineers leading the mutiny have told Mr. Gray that it-'s his duty to purge the United States Highway Department, if (See GREECE, Page A-4.1 House Group Grills Commerce Officials in Sale of Army Surplus Military Bought Back Goods Sold to STEG At 21 Cents on Dollar By L. Edgar Prina Representative Curtis. Republi can, of Missouri declared today that the Army could have saved millions of dollars by exercising its "recapture” rights on war sur plus goods it sold in Germany and then bought back at greatly in creased prices. He made the statement after a House expenditures subcommittee questioned officials of the Com merce Department on that agen-. cv's role in the surplus property program. The committee said yesterday that the Army had re-purchased from American importers some of the $1 billion in surplus war goods turned over by it and the Office of Foreign Liquidation to the Ger man government’s agency STEG in 1947 and 1948. These goods were sold to STEG for 21 cents on the dollar and under the contract of sale, the Army had certain “recapture” rights over specific items, Mr. Curtis said. Sold Through Mystery Man. According to the committee, STEG sold surplus materials al most entirely through a mysteri ous Briton named George Daw son. who, it said, headed a group which netted more than $100 mil lion in surplus goods transactions. Later. Chairman Bonner told reporters that "we haven’t gotten to the really big operators yet,” and that the committee would subpoena many individuals in volved in buying and selling Army goods in Germany. He said Mor cContinued on Page A-18, Col. I.) Rockville Man Held In Criminal Attack William K. Shoup. 29. Rock ville, today was charged by Prince Goerges County police with rape and assault on a 27-year-old Mount Rainier housewife. He was arrested several hours after the woman reported she had been criminally attacked early to day by a man she met in a, Bladensburg tavern. Shoup was held in the Hyattsville jail with out bond pending a hearing Mon day in Hyattsville Police Court. Detective Richard A. Pearson, who with Pvt. Horace E. King is investigating, gave the following account: The woman, who is estranged from her husband, and a 19-year old girl friend went to a Bladens hurg tavern “for an evening out.” There they met two men who of fered to take them dancing. The two couples then went to another tavern near Chillum where they had several drinks, then left. When the man who was driv ing started to turn off onto a side road, the younger woman ap plied the brake, jumped out and fled. The driver then started to make advances to the older woman, who also got out of the car and ran. The driver followed her, caught her and forced her to return to the car where he took a knife from the glove compartment and threatened her. Then he at tacked her. The man then took the woman back to the tavern near Chillum, let her out of the car and drove away. The 19-year-old girl, meanwhile, called a taxi from a service sta tion and went home. , 2 McCarthy Workers Called to Testily in Butler Investigation Fulton Lewis Summoned; . Accused of Attacks on Millard Tydings By W. H. Shippen Two men who work for Sen ator McCarthy, Republican, of Wisconsin and a former employe are to testify Tuesday at the Senate inquiry into the Butler Tydings campaign in Maryland last November. Those to be heard after the week-end recess also will include Fulton Lewis, jr., radio news com mentator accused by former Sen ator Millard Tydings of unethical attacks on him over Mutual Broadcasting System stations. j First witnesses were to be At torn%y Ewell Moore of Arlington, Va., a former employe of Sena-; tor McCarthy, and Ray Kiermas and Don Surine, still employed by the Senator. On Tuesday’s schedule also is Mrs. Katherine Van Dyke, an employe in Sena tor Butler’s office, who acted as volunteer office manager in the campaign. Several apparent conflicts in testimony developed yesterday be -1 tween the Butler campaign treas-l urer, Cornelius P. Mundy, a Balti more attorney, and the campaign manager, Jon M. Jonkel, former' Chicago public relations expert. Mr. Mundy denied emphatically that he had any knowledge what ever that Mr. Jonkel and his aides were receiving and spend ing some $27,000 over and above the sums handled in Mr. Mundy's bank account as treasurer. Mr. Jonkel, 35, had told the Senators that he set up a system (Continued on Page A-7, Col. 1.) Late News Bulletin Capone Faces Tax Charge A criminal complaint on tax i charges was filed in Chicago today against Ralph Capone, described by the Treasury De partment as a “Chicago racke teer” and brother of the late A1 Capone. Ralph Capone was accused of making a false compromise offer involving un- J paid taxes of approximately 5100,000 attempted tax evasion and concealing assets from In- ; ternal Revenue officers. The Treasury said a warrant for his arrest has been issued in Chi cago. Yanks Advance After Roaring Artillery Duel Reds Fail to Stem Allies With Their Heaviest Barrage By th« Associated Press TOKYO, Mar. 16.—American troops overwhelmed desperate Reds in a roaring artillery duel on the Korean war front today and then crashed ahead for new gains. The Reds threw their heaviest artillery fire of the war. Americans answered with a bar rage that out-thundered the Reds, 50 shells to one. The drive carried an American division onto high ground north of Hongchon, an important road hub 20 miels south of Parallel 38. Earlier today the Reds abruptly halted their eight-day retreat on the central front. They turned on the Allies with their heaviest artillery barrage yet. Then came the roaring American echo. Planes Join in Attack. United Nations planes joined in the blasting with rockets, fire bombs and machine guns. The Allied answer to the Com munist stand boomed throughout most of today. Front dispatches did not iden tify the United States troops in the action. Nor did they give the distance of the American advance. But they said Chinese Com munists had thrown reserves into the fight north of Hongchon. Ele ments of the 39th and 40th Chinese Communists Armies (corps) were identified in action there. The units last were re ported farther east in February. The defense line the Reds were trying to set up was roughly 20 miles south of the parallel that used to separate Communist North and Republican South Korea. It Chinese Reds Prepare For Huge Offensive, Nationalists Report By the Associated Pres* TAIPEI, Formosa, Mar. 16. —The Chinese Nationalist Defense Ministry said today the Chinese Reds are plan ning a massive summer offen sive in Korea. It said 12 to 18 Chinese armies were moved into Korea recently, and more are on the w'ay. , The ministry said the Reds have built a 50-mile defense zone north of Parallel 38. The ministry said its in formation came from a source close to the Communist mil itary commission in Kwang tung. stretched across Korea for 30 miles. Its keystone is the Chinese field headquarters at Chunchon. Opposition Crumbles. Elsewhere along the fighting front, Red opposition crumbled. Allied infantry moved northward. United States troops took an important mountain pass on the Eastern front. The Reds fought bitterly all day yesterday to hold the pass. Today they faded away. On the Western end of the line. United States troops crossed the Han River in force east of Seoul and captured high ground. South Korean soldiers moved through the war-wrecked old Re publican capital and set up posi tions north of the city. Only Communist planted mines, freely laid in roads and ditches, slowed the Allied advance at both ends of the front. On the central front, the Reds gave up Hongchon to the Allies yesterday without a fight. Yanks Take Hongchon. American tanks and infantry men rolled into almost-deserted Hongchon yesterday against light, scattered small arms fire. Only five civilians were on hand to greet the Americans. Last week the city, normally of 15,000 population, held 40.000 Red troops. Its capture gave the Allies another link in their chain of strong points stretching from liberated Seoul across the Korean Peninsula. The United States 24th and (See KOREA, Page A-4.) ym cany do THIS TO ME...X GOT INFLUENCE... I PAID FOR IT! G.O.P. Effort lo Extend RFC Inquiry Gains Democratic Backing There Is No Telling What Will Come Out, Says Chairman Maybank By Robert K. Walsh Republican efforts to continue a Senate Banking subcommittee ! investigation of the Reconstruc tion Finance Corp. gained some Democratic support today. At the same time, a demand for abolition of the RFC came from | directors of the United States | Chamber of Commerce. The 45-member board of the business organization adopted a resolution saying: “Facts disclosed by the Ful bright subcommittee have created uncertainty and distrust concern ! ing RFC procedure. Engaged as we are in a national mobilization effort, we cannot afford to have ! the integrity or general moral level of the Government or any of ■its agencies subject to question.” Although Subcommittee Chair man Fulbright still plans to wind up hearings Monday, Chairman Maybank of the full Banking Comnutte suggested they go on “because there is no telling what information will come out.” Stung by Senator Fulbright's charge in the Senate yesterday that they want to prolong the inquiry "for political motives,” Republicans disclosed they have urged the Banking Committee to allot $20,000 of its funds to the subcommittee for operation be yond April. No Headway on Douglas. They made no headway, how ever, in another demand that the subcommittee immediately ques tion one of its Democratic mem bers. Democrats declared Republicans were making a partisan mountain out of a molehill in trying such tactics against Senator Douglas, Democrat, of Illinois, a sub committee member. Republicans (Charged that he insinuated on the (Senate floor yesterday that some GOP personages put pressure on RFC but were , spared possible I smearing at public hearings. Senator Capehart, Republican, of Indiana said he would insist that Senator Douglas give the names of any Republicans who might have been drawn into the inquiry if, as Senator Douglas said, Chairman Fulbright had not “leaned over backwards” to be fair to the “opposition party.” The Illinois Senator contended he did not say any Republicans were involved improperly in loan cases or that Senator I (Continued on Page A-9, Col. 1.) Army Drops Request for Park, Camp Site for 4,000 Children Defense Department Won't Renew Bid For 14,500-Acre Prince William Tract The Army today withdrew its request to take over the Prince William Forest Park, thus spar ing it for the more than 4.000 Washington children who will use it this summer. Edward J. Kelly, superintendent of the Office of National Capital Parks, said he had been notified by telephone that the military request to use the Virginia park was withdrawn. He said he was informed the Defense Department will make no further requests for the 14,500 acre tract at this time and that he was free to notify the camp ing agencies that the camps within the park will be available this summer. The withdrawal came less than 24 hours after The Star disclosed the Defense Department move to take the park. The request was withdrawn be fore the military ever confirmed the report that it wanted the park. In fact, top defense officials, through their public relations spokesmen, had disclaimed all knowledge of plans to occupy the woodland area near Triangle, Va. Mr. Kelly said the telephoned notification came from represent atives of the same agency within the Defense Department with whom he had been conferring for several months. Park officials said they had been told by these representatives that (See PARK. Page A-7.1 Woolen Strike Settled, 20,000 Will Return To Mills Monday Agreement for 12 Cents Pay Increase Ratified For American Co. Plants By the Associated Press BOSTON, Mar. 16.—A strike of 20,000 CIO textile workers in 20 plants of the American Woolen Co., wage pace setter of the woolen and worsted industry, is settled and the workers go back Monday. A spokesman for the big Textile Workers’ Union of America said Cotton and Royon Workers' Strike Averted With 7Vi-Cent Raise. Page A-3 20 locals of American Woolen Co. —all that were involved in the strike — ratified an agreement calling for 12 cents an hour pay boost which the company offered last Tuesday night. An additional 50,000 workers in 150 other mills, which were strike bound for a month, are expected to accept the new agreement this week end. The agreement calls for a 12 cents-an-hour increase plus an I escalator clause based on the Government’s consumer price in dex and other benefits. The union had sought an in ! crease of 15 cents an hour over average hourly earnings of $1.42. In a statement to the union's woolen and worsted workers, Emil Rieve, union president, said: “We have an agreement with American Woolen that, in case a Government agency approves part of this agreement one day and another part six months later, that second part will be retroac tive to the day you return to work.” Poor D. C. fo Get Hot Air Regardless of Weather Hearings By James J. Cullinane A cold and dismal scientific fact was established by statesmen and professors on Capitol Hill today, and as usual, voteless District | citizens w'ere left holding the bag. The fact: the weather will be hot and humid in Washington this summer and, despite all the legis lative and scientific talk, nothing will be done about it. Washington weather crept into hearings by three Senate subcom mittees on bills to control the weather and the activities of rainmakers who drop dry ice or silver iodide into clouds to make rain or snow. Dr. Wallace C. Howell, director of the Mount Washington Ob servatory research meteorologists of Harvard University, was asked by Senator Smathers, Democrat, of Florida, if rainmakers had reached the point where they i could control the climate and make it warmer or cooler. Dr. Howell, who directed the rain-making operations for New ! York city last year, said it would be “far-fetched” to predict that any appreciable changes in cli mate could be accomplished. “Alas, then,” said Senator iSmathers sadly, “there’s no hope for the citizens of Washington, is there?” Dr. Vannevar Bush, president of the Carnegie Institution and wartime director of the Office of Scientific Research and Develop ment, said he is convinced it is now possible to make it rain through artificial methods and advocated establishment of a new Government agency to direct all weather control activity. Dr. Bush said he would not favor placing responsibility for develop ment of weather-control programs in the United States Weather Bu reau because there is considerable ; “skepticism” on the part of per sonnel in that agency toward rain making experiments. "It has been my experience” Dr. Bush said, "that you don’t get rapid progress unless you have enthusiasm.” The rain-making experiments, Dr. Bush said, have brought science to “the threshhold of dis coveries of exceeding import. Man for the first time is beginning to affect the climate in which he lives.” One of the pending bills before the three subcommittees would establish a new Government agency to take over all weather control activity. Other bills would place responsibility for weather control research in either the Agriculture Department or the In terior Department. The Weather Bureau found a champion in Dr. Henry G. Hough ton, head of the department of meteorology at they Massachusetts I Institute of Technology and past president of the American Mete orological Society. He opposed creation of a new Federal weather control agency and said the Weather Bureau is the proper de partment to supervise and co-ordi nate present research. Dr. Houghton said it would be premature to suppose that science is on the verge of being able to exercise widespread control over the weather. It is possible, he said, that further research will show that such control is not possible and that rainmaking efforts produce little, if any, more rain than would fall naturally. If further research develops a negative answer, he said, the country would have a weather control commission with nothing to do. “With little to do, the weather control commission should then be dissolved,” he said, “but com missions are difficult to kill and tend to find ways to perpetuate themselves.” 2 Troops-for-Europe Resolutions Coming Up in Senate Today Connally Scheduled to Deliver Opening Speech Backing Truman Powers By J. A. O'Leary The Senate appeared to be in for another long round of debate over the troops-for-Europe issue as it made plans today to take up two resolutions on the subject. Chairman Connally of the For eign Relations Committee was at work this morning on the opening speech he may deliver this after noon, urging the Senate to indorse the sending of four divisions now, but not to tie the President’s hands if more are needed later. Administration leaders would like to settle the question in time to give the Senate an Easter re cess starting late next week, but close observers of the situation see no chance for such early ac tion. Two Identical Resolutions. The unusual course followed by the Foreign Relations and Armed Services Committees in reporting out two identical resolutions will add to the delay, and may produce some strange alliances before the fight is over. There are two resolutions be cause the administration wants to confine action on the troop issue to the Senate, while most Republi cans—with some Southern Demo cratic support—want both houses to vote on the issue. As a compromise, the commit tees approved both resolutions. One would be acted on by the Sen dee FOREIGN POLICY, A-9J House Committee Clears D. C. Rent Control Funds The House Appropriations Com mittee today approved a total of $55,250 to carry the Office of District Administrator of Rent Control to June 30. The funds are provided in a special House joint resolution sent to the House floor by the Appropriations Committee. Taking this unusual action to speed funds for the payless em ployes of the office—about 50 of them—the committee resolution carries new funds of $21,250 for salaries up to March 31 and, au thorizes the use of funds already in hand for the payment of terminal leave to carry the em ployes to June 30. Under present law, the District rent law will expire March 31 The House already has passed a bill to extend District rent control to the end of this fiscal year, June 30, and the measure is now await ing Senate action. House Unit Cuts Treasury and Postal Budgets $2,958,125,000 Asked, $36,525,000 Slice Is Recommended The House Appropriations Com mittee today recommended a $36, 525.000 cut in next year’s budget of the Treasury and Post Office Departments. That represents a reduction of about 1.3 per cent under the amount President Truman asked for the two departments for the fiscal year starting July 1. The committee asked the House to cut that much from the $2, 958.125.000 requested, applying $11,151,000 of the reduction to the Treasury’s request for $597,251,000 and $25,374,000 to the $2,360. 874.000 sought for the Post Office Department. There were no substantial re ductions recommended for any of the subordinate bureaus and agencies which make up the two departments. Debate Scheduled Tuesday. The bill will be debated by the House next Tuesday. It is the first of the departmental budget bills to be presented to the House this year. The Appropriations Committee abandoned last year's system of lumping the entire Fed eral budget into a single measure. Compared with this year’s ap propriations for the two depart ments, the bill’s total represents a cut of $88,021,800. In addition to the cash in the bill, there is provided for the Treasury Department approxi mately $11.5 billion in so-called permanent appropriations and trust funds, the largest of which is $5.8 billion for interest on the national debt. Other items in this group in clude such things as receipts for the old-age and survivors’ insur ance trust fund and the unem ployment trust fund which are appropriated to the Treasury and paid out by that agency. They vary in size from year to year and many of them are not charges against general revenue. Supply of $1 Bills Low. The committee approved the I full $15,834,134 requested for | printing of new currency. It | noted that the supply of $1 bills | has reached a dangerous low. To enable the Bureau of Cus toms to carry on a drive against smuggling and other illegal ac tivities, the committee approved funds to continue for another year the employment of 207 new positions created recently. The committee cut $3.5 million from funds requested for the In ternal Revenue Bureau, leaving it 1 $252,008,000. It provided no funds for new ! personnel and chided the bureau for having deferred the employ ment of new personnel for which funds were provided in the pres ent year. It said it found no ap parent need for additional help now. Funds wefe approved for 30 additional Bureau of Narotics of ficers to fight the illicit drug traffic. The committee voiced con cern over increased drug addic tion,' especially among younger age groups. i White House Police Fund Approved. The full $647,000 requested oy | the Secret Service for the White House police force was approved. The committee noted that esti mated postal revenues of $1,839, ! 500,000 would leave the depart ! ment a 1952 deficit of approxi mately $500 million. Part of this deficit, the committee said, may be cut by proposed postal rate in creases. The money taken in by the Post Office Department goes to the Treasury. The requested appro priations are intended to cover the department's total operations ex penses and thus take care of the deficit. The committee turned down the i department’s request for money I to hire 200 additional postal in spectors and 35 postal clerks, but said it does not object to employ ment of additional inspectors if !the department can finance the iprogram from available funds. It added that the department is “dragging its feet when it comes to the installation of modern me chanical equipment” in its large city offices. Featured Reading Inside Today's Star CO-OPERATION PAYS OFF—Bristol, Va., and Bristol, Tenn., separated only by a line down a street, have learned through cestly experience that such problems as sewage disposal can be whipped more easily by teamwork. Staff Writer Alex R. Preston tells the story on Page B-1. THE FEMININE TOUCH—The Star's "Quiz 'Em on the Air" program got a new contestant today, Audrey Smith, who will add a feminine touch to Coolidge High School's hopes against Anacostia High in next Sunday's WMAL radio show. Story on Page C-10. FOR/YOUTHFUL WRITERS—A com plete list of the winners in The Star's scholastic writing contest appears on Page D-4. There were more than 800 contestants in the high school writing contest.