Newspaper Page Text
KENNEDY Top Federal Posts Are Given To Two Defeated Governors Centinued From First Page retary, said Mr. Kennedy was told of the move, aimed at curbing' the disturbing drain of United States gold reserves in a telephone call from C. Douglas Dillon. Secretary of the Treasury-designate. Mr. Salinger said Mr. Dillon was not consulted about the move, but was told about it in advance of the White House announcement “merely on an informative basis.” Mr. Johnson flew here in mid-morning from Cape Ca naveral. Mr. Salinger said he and Mr. Kennedy conferred be side the swimming pool at the seaside villa of the President elect's father for two hours be fore being joined for a “social lunch" by Representatives Boy kin, Democrat of Alabama, and Rivers, Democrat of South Carolina. Discuss Space Program The President-elect and Vice President-elect turned down requests for a press conference from reporters eager to learn more about what they Were discussing. Mr. Salinger would say only that they talked about “a num ber of matters.” among them the work Mr. Johnson is doing “in looking over the space pro gram.” The Vice President-elect, who will head the President’s Space Advisory Council in the new administration, inspected the Cape Canaveral installa tions yesterday afternoon and had dinner there last - night with Lt. Gen. Bernard Schrie ver, head of research and de velopment for the Air Force. Mr. Kennedy made public earlier this week a report from ; a special task force asserting ; that this country’s missile pro- i gram is lagging and warning < that Russia probably will win i the race to put a man into or- < bit. He has promised vigorous ef forts to accelerate the Ameri- 1 can space program. Dbeuss Soviet Mystery Object Mr. Salinger said Mr. John son. was briefed at Cape Cana veral, an in turn reported to Mr. Kennedy, concerning the mystery object, speeding from Ute. Soviet Union toward the Pacific, sighted by a radar sta tion in Alaska. The press secretary refused to discuss any details of this in formation. Asked if it was known whether the mystery oljject was a Soviet missile shot or space vehicle, he said, “I couldn’t tell you.” JMr. Kennedy and Mr. John son played golf this afternoon with the President-elect’s fa ther, Joseph P. Kennedy. Mr. Salinger announced that the President-elect plans to end hte last pre-lnaugural visit to Palm Beach Tuesday, flying that afternoon to Washington where he will attend a party being given that evening by his sister and brother-in-law, Mr. aad Mrs. stephen E. Smith. Mr. Kennedy plans to fly on SWITCH Continued From First Page the White House for their first night under its roof. The Kennedys, according to word from Palm Beach, win spend the night before the In auguration at their George town home. Mrs. Kennedy will return from Palm Beach Wed nesday night. The President elect will come here Tuesday, go to New York Tuesday night, agd return here late Wednes day. On their way to the Capitol for the Inauguration they will stop by and pick up the Pres ident and Mrs. Eisenhower. Ttiey are expected to go briefly inside the White House. Eight years ago Mr. Eisenhower visited in his limousine for Mr. Tinman. ’Mrs. Kennedy may not watch tfce entire inaugural parade aad may re-enter the White lonise before the new President to rest up for the evening ac tivities. ’ Movement Planned JWhile the Capitol ceremonies and the parade are going on, the Kennedy personal belong ings will be moved into the White House, George Thomas, who has been the President elect’s man Friday ever since he first entered Congress, will attend to these details. .But the movement of all the Kennedy things may be leisure ly. Some of the furnishings in their Georgetown home, now being measured to see how they would fit, may eventually find their way into the Kennedy Hying quarters in the White House. Others will be sent to the Middleburg. Va., home they have rented. The new occupants will be under no pressure to get the White House nursery ready. The Kennedy children, Caroline and John, wiU be left in Palm Springs for at least 10 days, maybe more, after the inaugu ration. Mrs. Maud Shaw. Caro line’s nurse, wil bring them up when their rooms are ready. Mrs. Kennedy has picked out fabrics for new White House decor. But she plans no changes in the third floor children’s playroom. f Mrs. Eisenhower, she found out on a White House visit be fore she went to Palm Beach Mfter the birth of John, had made it a pleasant spot for the Eisuhower grandchildren. THE SUNDAY STAR liogtoH, 0. C.; Jeswiy IS, 1961 to New York late Tuesday night. He has an appointment in New York Wednesday morn ing withj3ov. Munos Marin of Puerto Rico. He expects to re main in New York most of Wednesday, flying back to Washington that evening to confer with President Eisen hower Thursday morning. The Eisenhower - Kennedy conference Thursday, with their Secretaries of State, Defense and Treasury sitting in part of the time, is intended to help assure one of the smoothest changeovers of power from one tarty to another in history. Mr. Stahr, the new Secretary of the Army entered the army as a 2nd lieutenant in IMO, saw combat service in North Africa, India and China, and emerged from the Army in IMS as a lieutenant colonel. Mr. Burkhardt, who will suc ceed RoUie Bamard as Assist ant Postmaster General for Faculties, is executive director for the inaugural committee in Washington. On Democratic Committee An engineer educated at Pur due and Wisconsin Universities, he worked on construction pro jects with large engineering firms from 1936 through IMS. He was vice president.of the Hudson Aluminum Co. in New burg, N. Y.. from 1947 to 1951. Becoming active in politics in IMB, he was New York State i chairman of the Young Demo- MISSILE Continued From First Page fierce pubUc controversy. Even top administration spokesmen previously conceded that ap parently reliable intelligence estimates showed a gap. The only dispute was over its extent and over the best American counter to it. Former Secretary of Defense McElroy said two years ago the gap would be about 3-1 in Russia’s favor. Secretary of Defense Gates said last year that new InteUigence had re vised the estimate downward somewhat and put the worst period of the gap in 1962 and 1963. Today, however, Mr. Eisen hower apparently believes the whole controversial gap prob ably is a fiction. Pentagon officers say the difficulties in finding missiles and the loss of the U-2 flights has produced a serious ‘intel ligence gap." When adminis tration intelligence agencies predicted a big bomber pro duction program for the Soviets a few years ago, they could easily correct their mistake when they found no large number of bombers in the air. Now they cannot prove or dis prove their past missile pre dictions. In the last two years intel ligence officers measured Soviet missile-factory capacity, missile men training programs and testing efforts, studied state ments of Soviet officials and then estimated Soviet ability to build missiles. Combined with reasonable evidence of what the Soviets seemed Intent on doing, a calculation of the possible range of missile pro duction was made. Lead Called “Gag* When compared with Ameri can plans, the estimates for Soviet production showed a lead which became known as the “missile gap.” This month 50 to 100 Soviet missiles are supposed to be operational (in comparison with the actual 40-odd of this country, including 32 Polar ises), but intelligence officers cannot find nearly that num ber. • What does this mean? The answers to this question seem, strangely enough, to follow precisely the strategic doc trine of the service making the interpretation. The Army, which believes, roughly speaking, that any sensible country would build only enough missiles to hit the findable strategic ta’rgets and major cities of his enemy ind then spend the rest of its money on limited-war forces, concludes that the Soviets are going to build only, say, 200 big missiles and then quit. The Navy, which believes any sensible country would build a sea-based force of several hun dred missiles and a few on land for good luck, interprets the new lack of intelligence find ings as indicating the Soviets are going to build a handful of land missiles and then de velop Polaris-type submarines. The Air Force, which believes any sensible country would build a large missile force to destroy many hundreds or thousands of enemy military sites, says the evidence should be assumed to mean that the Soviet missiles are being hid den. One Great Danger All three services, and ap parently the Central Intelli ; gence Agency, agree that what ' ever course of action this country takes, the chance of 1 making a wrong decision has * increased. With so little hard ' intelligence information to go ' on, this country could build billions of dollars worth of un . needed missiles or it could ’ build so few that the Soviets • could use their hidden stock 1 for blackmail or even an attack. s The result of the most fa mous error in recent intelli- 1 gence estimates the bomber - gap that did not materialize— i was to give this country a lucky 1 break, according to the Eisen s hower position a year ago. To fill the expected gap, we built crats and then national com mitteeman for that group. He served as assistant to the chair man of the Democratic Nation al Committee from 1952 to 1953. Mr. Burkhardt was Gov. Meyner's executive secretary from 1954 through 1957. For three years after he was direc tor of the New Jersey Demo cratic State Central Committee. STAHR'S FATHER IN HOSPITAL PADUCAH. Ky., Jan. 14 (AP). Circuit Judge Elvis Stahr, sr., today learned of his son’s appointment as Secretary of the Army through the Padu cah Sun-Democrat while re cuperating in a Uniqn City (Tenn.) hospital from a mild heart attack. His first comment by tele phone to executive editor-Bill Powell was that he thought Elvis Stahr, Jr., already had a good job as president of West Virginia University. “But I have always felt that an appointment by the Presi dent is a command,” the judge said. “I suppose my son felt that way, too.” About three weeks ago the judge’s car stalled on a high way near Fulton. While walk ing two miles for help he suf fered a light heart attack and entered a hospital. He expects to go home tomorrow. extra bombers. When the mis sile gap was criticized a year ago. Mr. Eisenhower pointed to these bombers as evidence that over-all American strength made up for the Soviet missile lead, z Both “gaps” of course were merely national intelligence estimates of future Soviet ac tions. The bomber prediction was wrong, as have been pre dictions of Soviet submarine, tank and troop levels. Other intelligence predictions have been right, however. The new administration will have to make its own evalua tion of missile gap evidence and then defend its position before questioning Congress men in the next few weeks. CIA Director Allen Dulles will have an opportunity to do this when he makes his scheduled appearance before the House Armed Services Appropriations subcommittee January 23. GOLD Continued From First Page held aboard.” but Treasury of flcids noted reports of in creased gold speculation by Americans in recent weeks. - Most gold buying by Ameri cans la done in the bullion mar kets of Toronto and London. Those who have bought gold abroad generally have been speculating on a possible de valuation of the dollar. The dollar would be devalued if the United States raised its official price of g01d—335 an ounce. Gold speculators then could cash in. Although President Elsen hower and President-elect John F. Kennedy have promised to maintain the 335 price, talk of possible devaluation has in creased in the past six months because of the steady drop in the gold supply. Since the start of 1960, for eigners have bought about 32 billion of United States gold and the supply is down to a 21- year-low of 317.6 billion. In asmuch as about 312 billion of American gold is earmarked as backing for our paper money, the margin available to fill foreign orders has been shrink ing markedly. The narrowing margin has prompted - some to question whether the supply might not run out and force drastic ac tion by the United States. Foreigners have been able to buy large amounts of United States gold because of the big deficits ,in the United States balance of international pay ments. The 1960 deficit was about 33.5 billion. Payments deficits have given foreigners dollar credits which, in some oases, have been used to buy American gold. The ban on gold hoarding abroad by Americans can .be OPEN EVENINGS in ALEXANDRIA and BETHESDA HOURS: 12:30 to 9 P.M., Man. thru Fri.; Sat.; 9 to 6 ZZ- Th ¥ 1 IT A 0 = HI ■ /■ I wA. | I J ! I i 11 I > aamasMMM | |2* 11 VkJ You’ll find the finer piano* in price ranges in our large and complete selection of famous name instruments. ig KNABE WURLITZER ESTEY f EVERETT IVERS & POND I ? WEBER FISCHER H. F. MILLER I || and other fine planes I * P NEW FULL KEYBOARD < JlftE Low Cost PIANOS, frssi Rental-Purchase Plan _ ~ . 1330 G Street N.W. WASHINGTON / REpuhlic 7-6212 AREA'S 4940 Fairmenf Av ,. f IAROIST . JT Beth. Oliver 6-1675 MUSIC CO. ■ 262i"Mt. Vernon Ave., F > Alex. King 8-3636 HOURS—Weik., r.U-A; Thur,., Alex. A Beth., U.30-T; Set., M , J. W HR ’ P I®. JtF « '■ hh s ' •-/ /3 Br TB ■■ IF a . ■ Os- ■ Bh F/ h ■-I • BF. J| » s • HHh ;• g,~ . S. E J;-- " Uli \ ilr 'TSHi FUTURE CARDINALS RECEIVED Archbishop Joseph E. Ritter of St Louis (left) and Archbishop Luis Concha Cordoba of Bogota, Colombia, (right) who will be elevated to the College of Cardinals this week stand with Bishop Joseph Cody of Kansas City, Mo., in the Vatican throne room after being received in private audience by Pope John XXIII yesterday.—AP Wirephoto via radio from Rome. •' expected to help ease the gold problem in these ways: To the extent that dollars no longer are sent overseas to pay for gold, the payments deficit will be reduced. An end to American pur chases in the London gold mar ket will reduce the amount of gold which the Bank of Eng land sells in that market in order to hold the price at the current level of just under 836 an ounce. This will lessen the American gold drain because the United States Treasury is the source of most of the gold used by the Bank of England for this purpose. As Americans are forced to sell gold in London between now and June 1, the additional supply on the market will tend to depress prices. The Bank of England thus win not have to sell as much gold to maintain the price. The new regulations prohibit Americans from making for eign purchases of gold bullion or from buying securities which represent gold deposited in for eign vaults. The regulations also take into account the possible es tablishment of corporations which might be set up solely for the purpose of buying gold as a speculation. Americans will not be permitted to own securities in any corporation which holds a substantial part of its assets in gold or gold securities. Wilfull violation of Mr. Eis enhower’s new order could re sult in criminal prosecution with a toaxlmum penalty of 10 ■ years in prison and a 810,000 fine. Violators also might be ’ subject to a civil penalty equal to twice the vaiue of the gold ’ involved. Asked how they intend to go ; about enforcing the new order, Treasury officials would say only they will use the same methods employed in requiring . Americans who do business i abroad to pay United States taxes; They declined to give j details. BRITAIN SEES ■ MOV£ EXPECTED LONDON, Jan. 14 (AP).— Britain officially considers it a natural step for the United States to bar its citizens from holding gold or gold securities in deposits abroad, a spokesman of the British Treasury said tonight. "We regard it as a very con sistent and natural act to take in the present circumstances.” the spokesman said. "Ameri cans are already prohibited from holding gold or gold se curities inside the United States and this is now ex tended to prohibit them from holding gold or gold securities abroad. “This is a consistent step i since virtually all countries which prohibit their citizens from holding gold internally i also prohibit them from hold ing gold abroad.” He said neither the Treas ury nor the Bank of England had any way of knowing how , much gold was held on Ameri can account in Britain, but he quoted American sources as saying the amount was not considered significantly large. PATRONAGE D. C. Democrats Given Say in Filling City Jobs Continued From First Page code. Salaries are from 815,200 to 816,295. - Administrator of the National Capital Transportation Agency, now H. Holmes Vogel, is serving under a recess appointment, at a salary of 319,500. Reward for Faithful The President-elect’s decision to recognize the Democratic Central Committee reflects not only his own political horse sense but the best judgment of his advisers. They feel the party faithful of Washington need to be rewarded for working and donating funds to the Kennedy campaign. Further, they believe that White House reliance on the local organization will give leaders "status” and strengthen the party in preparation for the next presidential election, in which District citizens may vote for the first time. Both Democrats and Repub licans are out to capture Wash ington for their parties by 1964. By then, the States may have ratified a constitutional amendment to set up the first presidential and vice presiden tial eiectioßVhere since the Capi tal'was founded. Mr. Kennedy is sure to make a special effort to check com mittee recommendations to as sure himself he is nominating good men. Already, two Kennedy aides have conferred with W. John Kenney, committee chairman, at some length, discutsing po tential appointees. They have taken back names suggested by Democratic officers and, in turn, have turned over to Mr. Kenney names which have come to them from other sources. Method Drafted More than cursory attention will be demanded on District appointments, from a political standpoint, because District Re- Hr living unlimited In Ownership of an apartment H ullllllllluli 3900 Watson Place, N.W., means more than possession HF \ 1 Er ! of jusffour walls-it is Urban Living URlimitßd. H * beautifully designed terraced J»A, | H 111 apartment in a quiet country estate atmosphere a ■ ■ yfej In the heart of Washington, It means | H 111 llin personal services never before offered with H 111 HID iGf co-operative apartment ownership. I lII' 5 N THE SERVICES: Our special services office will assist you WzrAM NnTinn GH in making arrangements for: H I■UIIUII U- Household Help: A maid, cook, or butler for a ■ day, week, month, or for a special occasion. H Onnitnl Baby-Sitters: A qualified baby sitter. vUpIIUI Limousine Service: A chauffeured limousine for H the length of time desired. 1 H qX Ticket Service: To sporting events and theatre. Ul ■ DINING: A direct telephone line has been set up / __ between 3900 Watson Place and the fashionable ■ M. jH QflflA Westchester Dining Room-just a step from : 1 Mill! 3900 Watson Place. This line may be used to make H |H Room reservations or to llf i catering service in your apartment ■ H VVdluUll H 3900 wa TSON PLACE: One block south of Cathedral Avenue at 39th and y Garfield Streets, N.W. Two-bedroom, two-bath spaciousness. W *' ninA Individual hngertipcontrol of heating and air-conditioning 1 MlflPU in each room. Each apartment features a 7x21 " lIAUv balcony, all electric kitchen, dishwasher, disposal. Bl IAI Automatic washer and dryer, and garage facilities. l■lWl Agent on premises-Telephone FEderal 87770. jH'<" ■'Sales office open 10 am to 8 pm every day including Sunday. MIM, WHHL May be rented on a two-year lease with option to buy ; EP® Lift® IKL ”" « publicans are trying hard to gain a promise of "bipartisan” nominations from Mr. Ken nedy. Faced with added responsi bilities for selection of key Dis trict officials, Mr. Kenney and his colleagues have mapped out a tentative method of oper ating. They do not contemplate for mal votes of indorsement of nominees by the full commit tee. Only a real squabble over a selection would lead to this formal procedure. Instead, Democrate intend to talk out differences. Such dis cussions so far have distilled views to a degree that an agreement on favbrites—such as Walter Tobriner for District Commissioner—have followed. But harmony is unlikely to persist when Federal judge ships are at stake. In this area, Mr. Kenney said the Democratic Committee hoped to consult early and thoroughly with Justice De partment officials about quali fications of candidates and needs of the courts. Any judi cial recommendation will be carefully co-ordinated with the desires not only of the Justice Department, but tor the local bar associations, and any other interested community group, he said. ■*!» ' "" . Poles Pay Installment On Loan Made in '46 Br th* AMMteUd Pt*m Poland yesterday paid 31.- 342,555 to ths Export-Import Bank of Washington as the current installment on a 840 million loan granted to Poland in 1946. 4 Including this payment, Po land has repaid 816 million of the loan. HARRISON Candidate Cites Aiin, Opposes Sales Tax j Continued First Page of his talk dealing with the ra cial issue. Much of his time, while a member of the State Senate and since becoming at torney general, has been de voted to problems arising from the-Supreme Court’s desegrega tion decision in 1954, he re called. No Easy Solution “I have strong convictions and views on this matter, and I have stated them repeatedly in speeches over the past six years,” Mr. Harrison continued. “They remain unchanged.” “A climate of understanding of conditions that might-be pe culiar to one locality and not to another now exists. The racial problem does not concern Vir ginia alone, but exists Wherever Lhe two races live together and its degree depends upon popu lation proportions. This is a grave social anil constitutional issue, and there are no easy answers, and no simple. solu tions need be expected. “There is a feeling shared, we hope, by the substantial and conservative Negro leadership, that education, cooperation and understanding, rather than court orders, may provide the answers that are so desperately needed." Mr. Harrison said the,State’s pupil scholarship program “must be safeguarded and pro tected.” That program involves a principle on Which the fu ture of public education and the public school system is in volved, he contended. On the question of party loyalty, Mr. Harrison said he had been a Democrat all his life and became a member “by inheritance and I have re mained a member by prefer ence.” He indorsed the national Democratic ticket in the speech prior to the November general election. Os education generally, he said Virginia must “work for a program which will assure edu- Stennis Heads . Senate Defense Watchdog Unit Br Ul* AMOdited Preu Senator Stennis, Democrat of Mississippi, yesterday agreed to head the Senate watchdog defense group formerly directed by Vice President-elect John son. Senator Sfennis was ap pointed chairman of the Pre paredness Subcommittee of the Senate Armed Services Com mittee by Senator Russell, Democrat of Georgia, chairman of the parent group. The special subcommittee has had its own staff of in vestigators during the eight years that former Senator Johnson headed it. It has re ceived about 8200,000 each year for the task of checking multi billion dollar defense activities. During much of this time Senator Stennis, as vice chair man, presided at many hear ings. In accepting the chairman ship, Senator Stennis promised “my most conscientious devo tion to the new task in order that our committee discharge properly its duty to see that the taxpayer’s dollars are spent wisely and to assure that we ■have world-wide military power second to none.” • . • r ~4 , w ' V 1 ' 'T* *■ j cational opportunity for all of the children of our State. Pri vate schools, as well as Univer sities, colleges, public schools and professional educators have thiSTesponstoUlty.” He spoke at length on the need for expanded industrial development as well as a con tinued recognition of toe im portance of agriculture. With a specific reference to the populous Arlington-Alex andria-Fairfax area,, Mr. Har rison appealed for State-wide understanding of problems peculiar to such growing sec tions. — 3 Has Strong Backing His candidacy was expected to receive the backing of the echelon of. the 'Demo cratic organization although Mr. Stepheps likewise hwmany friends there. .Reports are cir culated widely that Mr. Harri son soon will be joined by a slate made up of State Senator Mills E. Godwin of Suffolk for Lieutentant Governor and State Senator Robert Y. But ton of Culpeper for attorney general.) ; Mr. Harrison was bom in Brunswick County and received his law degree from the Univer sity 4f Virginia in 1928. He cast his first ballot that year ' for Democrat Al Smith for President. : - Aftec. beginning his law ' practice in this southside Vir ’ ginla town he rose through the 1 ranks as town attorney. Com monwealth's attorney and then , was elected to the State? Senate before becoming attorney gen ’ eral. , A Navy veteran of World , War H, he is a member of St. , Andrew's Episcopal Church and I married the former Miss Lacey t Virginia Barkley of Lawrence l ville in 1930. They have two children. ,■ ■ . ‘ /"t ’ Bearded Student And Pet Alligator Ham Up the Act GAINESVILLE. Fla., Jan. 14 (AP).—What started out to be a routine job developed into a money-making vaudeville act • for an enterprising bearded [ engineering student at the , University of Florida. i Harold T. Johnson, 23, told campus police the other day he merely intended to clean out a pen containing Albert, ’ the University’s huge, ancient , pet alligator. But the sight of a husky young man outfitted in beard, J hat, rubberized pitots, sweat shirt and canvas shoes soon , attracted a crowd of about 100 \ 'persons. " Spurred by lurty cheers and ’ a shower of ghange, Mr. , John sop: f’ . Rollett Allfat wr and put . Aim to sleep by rubbing his belly. Lifted toe alligator’s tail and , bent it over his back. Shoved his foot—then his head—into Albert’s mouth. Snatched a loose tooth from I the alligator’s mouth and auc . Honed it to tbe crowd for 82. “Why did you do it?” Asked , eampus police. “Fof money,” Mr. Johnson , answered simply. i The police gave the Fort ' Lauderdale student a stem 'lecture before him.