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Evening star. [volume] (Washington, D.C.) 1854-1972, January 15, 1961, Image 6

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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
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
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
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- <
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
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
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.
’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
’ 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
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.
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
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-
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
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
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
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
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.
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.
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
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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
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.
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
"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
“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.
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-
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H Onnitnl Baby-Sitters: A qualified baby sitter.
vUpIIUI Limousine Service: A chauffeured limousine for
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H qX Ticket Service: To sporting events and theatre.
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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
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
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.
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
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
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
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
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
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
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
,■ ■ .
‘ /"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
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.

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