The Indianapolis Star from Indianapolis, Indiana • Page 1

4 i WEATHER TODAY Sunny, Warmer High, 78; Low, 45 Yesterday High, 75; Low, 52 The Indianapolis TODAY'S CHUCKLE This Is the only country In the world where businessmen get together over $10 steaks to discuts hard times. TAR 'Where the spirit of the Lord is, there is Liberty" II Cor. 3-17 VOL. 61, NO. 126 A A A WEDNESDAY MORNING, OCTOBER 9, 1963 ME 8-2411 7e Trodlna Aro 10c Cuwtr 45c Ptr Wtk Comtr D(lvrJ fo)fni A 51 1A Macmillan III; Turmoil Grips Party Divided Tories Convene With Leader Missing London (Wednesday) (AP) A painful illness has stricken Prime Minister Macmillan and hospitalized him for surgery just as he prepared to launch a new fight for his political life.

Face License Loss Even If No Pay-Off Seen By PAUL M. DOHERTY The Indiana Alcoholic Beverage Commission will use the Hasbrook Anti-Gambling Act to suspend or revoke licenses of liquor outlets which possess electronic slot machines, pay-off pinballs or other gambling devices even if no pay-off is seen. Rising Tide! tion when excise police or Barton Called 'Prisoner' Of Governor Republican mayoralty nominee Clarence T. Drayer last night called his Democrat opponent, John J. Barton, a "prisoner" of Governor Matthew E.

Welsh. Drayer said the Statehouse forces of Governor Welsh, if Barton should be elected, are ready for "the march down Market Street from the State-house to City Hall." Richard H. Martin, public relations director for the Governor's office and state Democrat Central Committee, countered: "THE REPUBLICANS proposed the sales tax, insisted on it and passed the measure. They insisted there should be no revenue measures passed unless a sales tax was included and now they have panicked." A Barton aide said: "How can you answer a charge like this when you know it isn't true? It is like somebody charging a man with consistently beating his wife and the neighbors know it isn't true." Barton said he already had denied that he would try to Impose a city sales tax on Turn to Page 15, Column 4 Macmillan, 69 years old, was taken to King Edward Hospital last night for an operation to remove a bladder obstruction caused by an infirmity of the prostate gland not uncommon among men his age. Medical authorities said he may be laid up for three months.

Deputy Prime Minister R. A. Butler will be in charge of the government during that time. AT BLACKPOOL, where Macmillan's Tory colleagues gathered for the opening today of the Conservative Party's annual conference, word of his illness resulted in confusion among the leadership. The party already was divided by a struggle between Macmillan's supporters and those who want him to leave office.

The illness struck with stunning suddenness only a sible for Trans World Airlines installing jet service on three of their runs from Indianapolis. TWA HAS THREE jet flights to New York daily, two nonstop and one through Cleveland, and another jet run to Los Angeles via St. Louis. Although Delta's home office is in Atlanta, the city delegation will meet with the airline officials in New Orleans because of an Airports Owners Association conference there this weekend. few hours after Macmillan let it be known he was determined to stay in power and hoped to attend another East-West summit conference to seek a further lowering of world tension.

THIS IS the first Conservative conference since the Pro-fumo scandal which almost toppled the Macmillan government. Macmillan also faces other woes. At the last conferpnee he tied his political future to entry into the Common Market. This was torpedoed by French President De Gaulle. Britian also had a tough winter with mounting unemployment.

BUTLER, 61, is one of the leading contenders for succession as Conservative leader. He is expected to make the leader's speech as the Conservative rally ends Saturday and his position in the leadership struggle will inevitably be strengthened. This speech originally was planned by Macmillan as a declaration of his intention to lead the party in the coming elections. Shortly before announcement of the illness, party leader Iain MacLeod had told a news conference that Macmillan would make clear his position in the crisis over party leadership before the rally Saturday. The Soviec agency Tass broadcast a brief factual account of Macmillan's sudden illness shortly after it was announced in London.

Tass said the conference "will play a big part in solving the question whether, in view of the sharp fall of his personal prestige and the prestige of the Conservative government, Macmillan can remain in the post of Prime Minister." Sales Tax Rulings Include 'Bite' On Goods Stored In Lay-Away City To Seek Delta's Florida Jet Service Is the key to whether the tax will be owed, he said. If a person still owes a balance on a purchase, such as an automobile, on Oct. 23 but has taken delivery, the sales tax will not be owed. HOWEVER, if merchandise has been ordered, and even This announcement from Joe A. Harris, ABC chairman, and other commission officials yesterday marked a major change in gambling control policy by the liquor regulating agency.

If carried out consistently It could virtually eliminate from the state a network of gambling devices which has been described as an opening wedge for corruption of local law enforcement by crime syndicate operators. Fred V. Cramer, ABC prosecutor, and Harris both hedged their statements by saying that each case and type of machine will have to be judged individually. And Cramer said he also may consider the record of the individual license holder in deciding whether to make a cita- paid for, but not delivered before Oct. 23 then the sales tax is due, Ingram said.

The only exception is for goods purchased under sales contracts made before March l. This will apply principally Turn to Page 15, Column 4 amount which he (re)paid which was used for legitimate state travel." HE DID NOT SAY why Ellis chose to refund the money rather than present his vouchers. State Senator John C. Ruck-elshaus (R-Indianapolis), noting that Houck had mentioned that he had talked with bankers, merchants, law officers, and others in the area about the farm, had this to say: "They don't have anything whatever to do with the operation of the state farm. In fact, I suggest that Mr.

Houck go himself to the state farm and talk with inmates and dedicated members of the staff instead of talking to the superintendent and people in Greencastle." Entertainment of businessmen and industrialists and presumably the Memorial Day 500-Mile Race fans from Terre Haute at the farm at state expense, Houck considered all right on the basis of past "good will" gestures by farm superintendents. others report seeing the illegal machines. There is no plan at present to seize the machines, but that approach still is a possibility, officials stated. UNTIL YESTERDAY the ABC policy was that an excise policeman or another witness must actually see a pay-off before a citation would be issued under ABC law for trial by Hearing Judge Paul R. Lustgarten and review by the commission.

A series of stories in The Indianapolis Star recently disclosed that electronic machines were being widely used in the state for gambling purposes while law enforcement officials turned their heads the other way. High Federal authorities have described the electronic slots as distributed by underworld syndicates based at Chicago and the revenue from the machines as a "crime slush fund" which can be used to corrupt city, county and state officials as a prelude to large-scale invasion of communities by gangland elements. Harris In the light of those disclosures ordered excise police to warn all tavern keepers and other license holders that they put themselves In danger of losing their licenses if their Turn to Page 15, Column 4 Jury Probe Houck refused to identify the Greencastale banker or businessmen whom he had consulted. He said he didn't interpret the accounts board report aj criticizing Ellis for using in mate money for radio sets ana television sets for officers or" the institution although Corrections Commissioner Arthur Campbell and an accounts board official said that violated the subsistance regulations. Houck also charged that Senator Ruckclshaus and The Indlanapolig Star through Its reports on conditions "were primarily I I for the riot which occurred at the Indiana State Farm." Ruckclshaus countered: "Anyone who took the trouble to make a personal visit to the farm would have known a riot was inevitable." "Since when has informing the public about the institutions t.hey support been thrj cause of a prison riot?" Ruckel- shaus demanded.

"If the state operated on that assumption, then no one would dare criticize any state institution." theory that utility bills dated Nov. 23 will be for services rendered from Oct. 23 when the tax goes into operation. If the tax were applied on utility bills before Nov. 23, customers would be paying the tax on services received before the effective date of the tax, revenue officials said.

Alex Ingram, deputy revenue commissioner, explained that these provisions regarding delivery of merchandise and utility bills are contained in the sales tax law which was ruled constitutional last week by the Indiana Supreme Court. YESTERDAY'S rulings by the revenue department merely updated the regulations since the tax was to have taken effect July l. The court dispute, however, prevented collection of the tax. Delivery of merchandise Refuses To Call For Penal Farm By EDWARD H. FRANK Goods stored in lay-away even if they are paid for will be subject to the state's 2 per cent sales tax if the merchandise is not delivered or picked up before Oct.

23, the State Revenue Department ruled yesterday. The ruling served notice on Hoosicr shoppers who may contemplate storing Christmas gifts in lay-away for delivery during the holiday season. The Revenue Department also ruled that collection of the new tax on utility bills will begin with bills dated on or after Nov. 23 one month after the tax takes effect. THIS IS BASED on the the original report on the grounds that Hatchett's inspectors had no authority to make comments in these matters.

Hatchett then said his personnel division "is one of our weakest" and said he had no one in his office competent to make criticisms of professional personnel, staff members or medical treatment of the patients. "That seems to imply that only Ginsberg is qualified to Turn to Page IS, Column 8 Muscatatuck Inspection Report Blasted As 'Complete Whitewash' Delta Airlines will be asked to install jet service between Indianapolis and Florida and on the present Detroit-Indian-apolis-Memphis-Houston run during meetings with officials at New Orleans, tomorrow and Friday. Presenting the case for Improved airline service for Indianapolis will be Mayor Albert H. Losche, Dr. M.

M. ErSelcuk, professor of economics at Purdue University and a consultant for the Indianapolis Airport Authority, G. Edwin Petro, manager of Weir Cook Municipal Airport, Roger C. Fleming, chairman of the Chamber of Commerce's aviation committee, and Frederic J. A.

Beyer, the chamber's industrial affairs director. BEYER SAID that the installation of jets on the Florida runs will not require approval by the Civil Aeronautics Board although such permission will be needed if Delta agrees to the city's request for improvement on the Detroit Indianapolis Memphis Houston route. Air travelers now must change planes when flying to Florida. Detailed inform ation on potential air traffic to and from Indianapolis will be given Delta officials at the two-day meeting. Beyer said that similar data was respon AT TllK SPEEDWAY Putnam County Prosecutor James M.

Houck said yesterday that he will not call a grand jury to look into irregularities at the Indiana State Penal Farm disclosed recently by the State Board of Accounts. Board of Accounts Deputy Examiner Bryce Bottom said he had sent a copy of his board's findings to Houck. "This Is customary In cases where there are irregularities," Bottom said. "Of course, we don't control the prosecutor." Houck defended farm Superintendent Albert (Mike) Ellis' taking of $378 in state goods and an unspecified amount of money from the inmate recreation fund for his own personal use which the accounts board demanded he repay. Houck said moreover that Ellis told him had had many claims against the state "which would more than offset the '500' By THOMAS G.

KARSELL An Indianapolis lawmaker yesterday called a Department of Administration report of the operation of the Muscatatuck State School for the mentally retarded "a complete whitewash." A report on an inspection made four months ago "makes Muscatatuck sound like a place where anyone would be glad to enroll," complained Representative L. Keith Bulen (R-In-dianapolis) after reading the record. "THE REPORT has been confined exclusively to housekeeping and supply matters, carefully avoiding any reference to problems of staff and personnel," Bulen said. Bulen said that refusal of Dr. Stuart T.

Ginsberg, state commissioner of mental health, to allow inspectors to comment on staff and personnel with which he has been sharply at odds "negates the entire report." John T. Hatchett, stale commissioner of administration, acknowledged that Dr. Ginsberg had changed The Weather Joe Crow Says: Mme. 's stay should make for some i nt 1 1 doings. We feel it appropria that she should stay over until at least Halloween.

Indianapolis Sunny and warmer today, cooler tonight. Indiana Fair and warmer today, tonight and tomorrow. World-Wide TV Plan Revealed For ISI li; TODAY'S STAR FLORA HEADS FOR BAHAMAS leaves Cuba in shambles after five destructive days of wind, rain. Page 2 SENATE PASSES EDUCATION BILL Measure author, izing $3,200,000,000 for vocational training, college loans and impacted areas approved, 80-14. Page 4 VATICAN COUNCIL OKS CHANGES Approval given for simplification of mass and greater emphasis sermons Page 5 centage deal" and is "all on speculation" with no definite fee to be paid to the Speedway by MCA-TV for the privilege of telecasting.

"Coverage of the event by newsreel and news camera-men will not be affected," the announcement said. "The agreement also allows the footage to be made available for the production of promotion-type films for manufacturers connected with the cars and drivers in the race." The television coverage of the event "will be one of the most extensive and most costly in the world of sports," MCA-TV said. No price schedule was announced but it was believed seats for the program of more than 4'j hours would sell for $3 and up, depending on the size of the city where the outlet is located. At this time, approximately 350 theaters and arenas are available for closed-circuit telecasts. The system would be similar to that used for closed By JEP CADOU Sports Editor The 500-Mile Race will be shown on closed circuit television on a live basis beginning next year.

A long term, exclusive agreement for telecasting to theaters and sports arenas across the nation was announced yesterday by the Music Corporation of America aiid the Indianapolis Motor Speedway. "POSSIBILITIES are strong that if facilities are made available the world-famous event may be beamed live via Telstar to Europe and relayed to every far-flung outpost in the world," said David A. (Sonny) Werblin, president of MCA-TV. Indiana and "other areas to be determined by mutual agreement" will be blacked out, according to the agreement. The "other areas" probably will include portions of Illinois, Ohio and Kentucky bordering Indiana.

A Speedway spokesman said the agreement is a "per- circuit telecasts of championship fights. Plans call for the theaters and arenas to open about one hour before the 11 a.m. (EST) starting time of the race. A program of taped highlights of time trials and other pre-race activities will be shown until the 33 cars start on the pace lap. THE TELECAST will be offered to every sizeable community with the exception of those included in the "extensive blackout zone." The length of the contract was not announced but is believed to be indefinite, depending on the success of the venture and its effect on Speedway attendance.

It is a considerably complicated legal document. The race was telecast on a home television basis once, in 1949, but dwindling attendance caused the Speedway management to adopt a non-television policy whch has stood until the present announcement. Amusement I fomics ....24 Radio-TV ...19 Pages Crojswo-r 5 Sports Area 11 Editorial. 18 Wont Ads 30-39 Bridge 12 Finances 27-29 Weather Campbell .28 Food 10 Women's Collins 21 Obituaries .17 Pages.