Lansing State Journal from Lansing, Michigan • Page 1

THE TP A TP 717 eMDTONAL The Weather fU. Weather Bureau. East Lansing) Clearing, cooler tonight. Partly cloudy, cooler Friday. Low tonight 52, High Friday 72.

lilt ONE HUNDRED-FOURTH YEAR LANSING EAST LANSING, MICHIGAN, THURSDAY, SEPTEMBER 4, 1958 56 Pages ASSOCIATED PRESS UNITED PRESS INTERNATIONAL PRICE SEVEN CENTS HOME EDITION CM mat arm HoffaAide Linked to $35, 000 Fee lOffshore Stabbing Hearing George S. Fitzgerald Received imp iaa i imii.b iiimmii i ia an or Amount from Accountant Speculators, Tells Probers aenaie rackets proueia i Teamster welfare fund lost Municipal Umrt Session T-TT fitnTntAT 1 most of. a million dollar loan to which a Teamster lawyer split a WAamiNuiUix, aepi. un testimony today that the Michigan The lawyer, George S. Fitzgerald of Detroit, voiced anger FAIREST AT FAIR Blonde, blue-eyed Lila Verslype, 19, of Harper Woods, was crowned "Miss Michigan State Fair of 1958" after her selection from a to reporters when the hearing 'i mXA.

I I rfV I ft IT teMi jv PUfS TUaS AN DIPORTANT vote which found Vice Pres. Nixon ab sent shows why he cannot be drafted as a replacement for Sherman Adams, if the White House chief of staff resigns before election day because of his acceptance of favors and hotel hospitality from Bernard Goldfine. Although giving no indication that he intends to unload his embarrassing aide, as many Republican candidates wish he would do. Pres. Eisenhower has talked of placing even heavier duties and responsibilities on the young and ambitious Californian.

But the generally unnoticed incident in the closing days of the senate session suggests that it would be a dangerous experiment to transfer Nixon from Capitol Hill to 1600 Pennsylvania even on a part-time basis. NIXON ABSENT AT SENATE TIE VOTE AS SUBMlTi'iiU to congress by committee, the bill expanding the social security sys-tern provided an additional $5 a month as the federal contribution to state relief for the needy and blind. But the provision was eliminated from the See OBSERVER Page 8, Col. 6 Tape Clue In TV Quiz l' Sen. Potter Predicts Farm Prosperity Sees Solution in Not in Price Supports, Controls By BILL BURKE (State Journal Staff Writer) Growing America and a higher standard of living, not government price supports and crop controls, will solve most of the Droblems.

of aericulture. i-. This'was the optimistic prediction of Sen. Charles E. Potter, Republican candidate for re-election as U.

S. senator, in an address on farm policy at Michigan State university Wednesday (- 1 1 1 1 1 1 Detroit real estate promoters on hidden 835,000 fee. recessed until next Tuesday before he sot a chance to give his ver- sion of what was involved. "A fine thine!" he told newsmen. "They leave me hanging over tha thing." Fitzgerald is a former Demo cratic committee member from Michigan.

Walter H. Henson, an accountant on the committee's staff, testified he uncovered phony billing devices and windfall profits involved in what he termed the A ik. 1 1 jn loan, which he said is in default, Henson said the welfare fund Jig attempting to foreclose a mortgage on what is left of the assets of tne Winchester Village Land company of Michigan, but that the assets may be worth not more than $300,000 or $350,000. NEVER RECORDED Henson said Abe Green, Detroit real estate man and one of the backers of the development company, gave Fitzgerald a $35,000 cashier's check, but that the payment never was recorded in any books or records, and never was mentioned in the See FITZGERALD Page 2, Col. 3 Bids Push Road Job Contract Is Let to Pave US-16 Expressway To Cascade By.

RICHARD MILLIMAN (State Journal Capitol Bureau) The Lansing-to-Grand Rapids expressway was a step nearer reality Thursday after bids were opened on' the final 8.6-mile stretch between Portland and Cascade. L. W. Edison of Grand Rapids was low bidder at $3,175,402. The project is scheduled for completion by July 31, 1960.

This will mean that by that date the entire trip from near M-100 west of Lansing, to Cascade southeast of Grand Rapids can be made over four-lane divided limited access expressway. Specifically, the 8.6 mile stretch upon which bids were opened Wednesday by the state highway department runs from the Kent-Ionia county line west to Whitneyville southeast of Cascade. Commissioner John C. Mackie said that letting of this stretch means that 70 miles of the fu ture 187-mile, $331 million US- 16 super-highway, from Detroit through Lansing to Muskegon, will be either opened to traffic or under contract. SCHEDULE BRIDGES The contract calls for grading, drainage and dual 24-foot wide concrete pavement and 1 four bridges.

The bridges will carry Segun, Nash, Morse Lake and Whitneyville rds. over- the ex pressway with an interchange at Nash rd. A fifth bridge along this sec tion, to carry the expressway over the C. O. railroad at the Kent-Ionia county line, was in cluded in a separate contract, with Owen-Ames-Kimball com pany of Grand Rapids the low bidder at $227,976.

Another expressway project Wednesday was for mile section of relocated US-127, or the Jackson east belt, from the main New York Central railroad line south of Page st. to the south branch of the Grand river in Jackson county. Sargent Con struction company of Saginaw was low bidder at $740,972, with completion set for Oct 31, 1959. OTHER CONTRACTS Construction of a bridge to carry the TJS-27 expressway over the Ann Arbor railroad a half-mile east of Ithaca was bid low See BIDS Page 2, Col. 1 MSU Wins four-1 ear TV Battle LL Liecision a University Plea to Share VHF Channel Michigan State university has won its four-year legal battle for control of television channel 10at Onondaga.

In a split vote, Wednesday, the federal communications commis; sion (FCC) granted formal approval to a unique split-time proposal which will see M. S. U. share the VHF (very high frequency) channel with the Television Corporation of Michigan, a Lansing tirm. Indication of Wednesday's action came on May 21 when the commission ordered its legal de partment to draw up the legal document granting the channel to M.

S. U. formal action on the document was taken Wednesday. The transmitter, to be located about 25 miles south of Lansing, will have a primary service area range of about 40. miles in all directions.

The secondary or class area will reach out an additional 25 miles. An estimat- the tota rpa APPEAL POSSIBLE Opponents in the long legal fight have 30 days in which to appeal the commission decision to the U. S. court of appeals in Washington. They are: Booth Radio and Television Stations, of Detroit; Triad Television corporation and Jackson Broadcasting and Television corporation, both of Jackson.

Opinion at the university Thursday, however, is that there is now no legal impediment to starting construction of the transmitter and tower imme diately. The university will construct the necessary buildings and transmitting equipment with rev enue bonds. Bonds will be repaid with revenue from the leasing arrange ment with the commercial firm from Lansing. Financing plans for the pro posed new television station were approved by the state board of agriculture, M. S.

U. governing board, on March 18, 1955. A tentative order for equip ment was also approved at that time, with the General Electric company. AT ONONDAGA Pres. John A.

Hannah said Thursday that construction of the transmitter and tower at On ondaga will get under way "as soon as we have the go-ahead sig nal from Washington." Because the university has not yet received official notification of the FCC action of Wednesday, he said M. S. U. legal officials are not certain of the status of the matter at this time. Pres.

Hannah did not expect formal documents from Washington to be in M. S. U. hands be fore the next scheduled meeting of the university governing board and he does not expect to call a special meeting of the board to act on the television matter. John Pomeroy, president of Television Corporation of Michi gan, said the commercial broad- casting, during the time his firm leases the television transmitter from the university, will probably be done under the call letters WILS-TV.

M. S. U. will probably use its old call letters, WKAR-TV. The commercial firm will have its own separate studios and the See M.

S. U. Page 2, Col. 4 Watches His Car Slide Into River NEW YORK, Sept. 4 UB Clemens Uhlhorn, a Cincinnati real estate man, and his family were happy to be home yesterday after a motor tour of Europe, and they waited patiently for their 1958 car to be unloaded from their ship.

After four hours, a crane swung out a hoisting platform from the liner New York with the Uhlhorn car aboard. Sud denly the platform tilted, and the car slid into the Hudson river. Uhlhorn said he's going to stay around until they extract his vehicle from the 40 feet of water. Some as contributions, medical expenses and interest payments. If allowable deductions over 10 "percent are claimed, the individual must use the regular long form.

The government apparently figures that a man who earns up to $10,000 has a better talent for mathematics than the taxpayer in the under $5,000 class. The new regulations provide that taxpayers under $5,000 can figure their own tax or have internal revenue do it for them. Taxpayers with incomes above $5,000 must figure their own tax. Mugginess uueto trial Hourly Temperatures a. m.

.......731 10 78 7 a. 73 11 a. 79 ft a. m. .......74 12 noon 79 9 a.

m. Barometer reading- 30.14. steady. V. S.

weather bureau temperatures Skies over central Michigan were clearing Thursday after noon, bringing cooler weather. The general mugginess which has prevailed recently will van ish, the weatherman promised, as the temperature dips to around 52 degrees Thursday night The Friday afternoon high will be a very comfortable 72 degrees. The outlook for Saturday is for fair to partly cloudy and just a little warmer. Chrysler Eyes Gain President Predicts Sales In 1959 May Top 1958 By 30 Percent By CARLISLE CARVER (State Journal Automotive Writer) MIAMI BEACH, Sept. 4 L.

L. (Tex) Colbert, president of Chrys- ler corporation, Thursday fore cast the possibility of "an increase close to 30 percent" in new car sales in 1959. By comparison with the expected 4,600,000 new car sales in 1958, Mr. Colbert told automo tive writers at Chrysler corporation's 1959 model preview that we are anticipating and plan ning for a year in which be tween 5,500,000 and 6,000,000 passenger cars will be sold at retail in the United States." He said his confidence in the 1959 market was inspired by the recent upward trend in new car deliveries and "the great num ber of changes in styling and in the mechanical feature of the new models." He noted "that there hasn't been a time since the fall of 1954 when the industry has brought to market any thing like the number of basic changes that will be shown in the weeks ahead." 'SWEEPING CHANGES' He believes that "these sweep ing changes are being introduced at what appears to be precisely the right time to appeal to the many thousands who have been postponing their car buying." In forecasting a "substantial recovery tor the automotive in dustry, he was quick to caution that "no one is expecting recovery to be sudden or spectacular. But week after week there are new indications that the econ omy is gaining momentum and confidence." Expecting Chrysler products Plymouth, Dodge, DeSoto, Chrysler and Imperial to capture their share of the additional sales, Mr.

Colbert said Chrysler spent approximately to bring out its 1959 lines. "In every respect," he added, "our 1959 models are a brilliant new achievement of the great engineering we are so proud of." His optimism in 1959 has been generated by the steady move-up in personal income, industrial production, defense activity, con- See CHRYSLER Page 2, Col. 8 Tax Roll Nearly In John F. Webb, Lansing city treasurer, reported Thursday that 96.4 percent of the July tax roll was collected before the deadline Tuesday night. He said delinquent taxes may still be paid at this office in the old city hall on or before Oct.

1. A 4 percent penalty is added to taxes which were not paid before the deadline. The treasurer announced that $4,725,734.78 of the July tax roll has been collected. The roll amounted to $4,898,721.44. Brucker, Diem Talk SAIGON, Vietnam, Sept 4 (UPD Wilber M.

Brucker, U. S. army secretary, on a tour of Asia, arrived from Hong Kong Wednesday for tvro days of conferences with President Ngo Dinh Diem and American mili-j tary and diplomatic officials. A total income of less than $10,000 consisting of wages as reported on Form W-2 from the person's employer. Received no nvire than $200 in dividends, interest and wages not subject to withholding during the year.

Husband and wife also can make joint returns in this simple manner, provided their joint income is under the limit. AUTOMATIC DEDUCTION The new form is called 1040A. By using it the taxpayer claims an automatic 10 percent deduction allowed by law for personal expenses such i Islands Included Will Send U. S. Troopi If Formosa Security Is Threatened By MARVIN L.

ARROWSMITH NEWPORT, R. Sept 4 (ffl President Eisenhower today solemnly warned Red China he will not hesitate 'to commit American armed forces to defense of the Nationalist offshore islands if ha finds that necessary to the security of Formosa. The President's position was set forth by Secretary of a Dulles in a statement authorized by Eisenhower after they had conferred at the summer White House for one hour and 45 minutes. Dulles said Eisenhower will not hesitate to conclude that Formosa, the main Chinese Nationalist bastion, is threatened under an attack on Quemoy, Matsu and other offshore islands. NOT MADE YET Dulles stressed that i n-hower has not yet made any such finding under authority con ferred on him by congress.

Presidential determination, if made, would be followed by action both timely and effective," Dulles said. Despite the persistent bom bardment of the Nationalist islands by the Reds, and Communist China's announced intention to invade, Dulles said the United States has not abandoned hope that the Communist government "will stop short of defying the will of mankind for peace." Dulles added: "The President and I earnestly hope that the Chinese Commu nist regime will not again, as ia the case of Korea, defy the basie principle upon which world order depends, namely that armed force should not be used to achieve territorial ambitions. Any such naked use of force would pose an issue far transcending the offshore islands and even the security of Taiwan (Formosa)." Dulles went on to say any such development would forecast a widespread use of force in the far east which would endanger vital free world positions and the security of the United States." RED CHINA WARNING Earlier today, Communist China issued a new warning for American ships and planes to stay away from the, Formosa area. The Peiping regime extended its territorial waters from 3 to 12 miles offshore, taking in Que moy and Matsu which nestle against the Chinese mainland. The official New China news agency said in a broadcast that all foreign ships and aircraft must have permission to travel in the new zone.

The new area also included Formosa, about 100 miles from the mainland, and the National ist's Pescadores islands, supply point about 30 miles from Formosa. Both have always been claimed by the Reds as part of China. Peiping's announcement charged that S. military occupation of Formosa is an illegal act violating Chinese territory and sovereignty. "China has the right to recover Formosa at an appropriate time using all appropriate means' the announcement said.

"This is China's internal affair, in which no foreign interference is tolerated." Clue to Thief He Likes Snakes LOS ANGELES, Sept. 4 Police know this much about whoever smashed a plate glass window and burglarized the Griffith Park zoo: He likes snakes. Taken were a six-foot python, and three small boa constrictors. TALK ABOUT GUIDED MISSILES). I'm the perfect missile when some mission must be accomplished quickly, easily, economically.

I'm O. Howie Hustles, a State Journal Classified Ad, and nothing stops me from unerringly reaching the right "target" the attention of folks who'll be interested by your For Sale or other offer. Contact the launching station at IV 5-3211. ELECTRIC STOVE And refrigerator, Hotpoint Duncan Phyle dining room suite, etc. Very reasonable.

Days. 3307 Ellen evenings call IV 5-7916. Adjourns Resumes Friday with DeRose on Stand By LLOYD J. MOLES (State Journal Staff Writer) The municipal court hearing of two men charged with murder in the fatal stabbing of a local softball player July 9, was ad journed to Friday morning after a five-hour session Wednesday during which two prosecution witnesses were heard. Objec tions, court rulings and occasion al recesses marked the hearings.

The accused, Felton LeRoy Gross, 20 of 316 William and Bruce Pearce, 21, of 234 S. How ard st, were remanded to the county jail pending resumption of the preliminary examination. They are charged with the knife slaying of Jerry Spagnuolo 23, of 525 W. Lenawee st. The alleged crime occurred at the rear of Joe DeRose's bar, 513 E.

Michigan ave. BRIEF TESTIMONY Only two prosecution wit nesses were called to the stand Wednesday. Brief testimony was given by Dr. Charles E. Black, Lansing pathologist, who testi fied the victim died of a deep knife wound in the upper left chest and massive internal hemorrhage.

The other witness was Joe De- Rose, 30, of 922 N. Pennsylvania proprietor of the bar, and cousin of the slam man. Mr. DeRose spent a total of four hours on the witness stand undergoing direct examination by Prosecutor Jack W. Warren, and cross examination by defense attorneys during the morn ing and afternoon sessions.

Throughout the questioning, Mr. DeKose, on numerous occa sions, told the prosecutor or defense attorneys, Francis Wery and Stuart J. Dunnings, that he could not recall certain inci dents, or statements made by the principals before the alleged stabbing. TESTIMONY REPEATED In testimony given in the morning and again in the early afternoon, DeRose recalled talk- See STABBING Page 2, Col. 2 Tiff Halts Newspaper Dispute Over One Firingi Hits Free Press, Affects Detroit News, Times DETROIT, Sept.

4 (atPublication of this city's afternoon newspapers; the Detroit News and the Detroit imes, was delayed today by a labor -dispute that prevented publication of the morning Free Press. Protesting the discharge of one man, the press crew walked out at the Free Press last night and none of the newspaper's five editions was printed. Presses at both afternoon dailies normally begin rolling at 9:30 a. m. They still were idle at noon.

strike by the International Mailers union against the Detroit News halted publication for a week at all three papers in Au gust, 1957. At that time the Detroit Newspaper Publishers' asso-j ciation said a stnke against one paper was a strike against all three. The fired pressman, a local steward, was reportedly dis charged for countermanding an order of the pressroom foreman despite an earlier warning. Bus Classroom MT. STERLING, Sept 4 (ff) One seventh grade class at Camargo high school didn't have to get off the school bus yesterday.

It held class in the vehicle. Officials explained the school was so overcrowded such a step was necessary. An annex is being readied to take care of the extra students and will be completed in about a week. business expenses, dividend credits, sick pay and credit on estimated tax payments, that the long form would be required. ONLY 15 QUESTIONS Until today's ruling, applicable to 1958 incomes, only taxpayers with incomes under $5,000 could use the simple card form, a punch card about the size of.

a bank check with 15 questions to be answered by the individual. The new card form, according to revenue commissioner Russell Harrington, may be used by any individual who has: Probers Dig Deeper Into field of 51 contestants in judging at the state fair Wednesday night in Detroit. (AP Wirephoto) Free Co-operation, Vote Nears 7 or Legion Convention Hears Wife Of Chiang Kai-shek on U. S. Foreign Policy CHICAGO, Sept.

4 UP) The American Legion national con vention moves into its conclud ing session today with another full round of speeches and reso lutions. But the high point of the day will be election of a na tional commander. While the votes are yet to be cast, Preston Moore, 38, of Stillwater, was considered a shoo-in for the post. Speakers today include Mad ame Chiang Kai-shek, wife of the Chinese Nationalist president. and Luiz Munoz Marin, governor of Puerto Rico.

Committees which must yet re port resolutions include securi ty, legislative, Americanism and membership. Madame Chiang, ma news conference soon after her arri val here yesterday for the con vention, said that her country does not need at this time Amer ican fighting men or money to defend the island fortress of Quemoy. The Legion's 3,000 delegates polished off one of the thornier issues of their 40th annual con vention when they rejected by a 6-1 majority a proposal that the Legion back a $100 a month pension for all World War I veterans at the age of bO regardless of health or need. After long debate, the Legion approved its traditional stand for pensions based on need. However, the successful resolu tion added these liberalizing amendments to the present pen sion stand: an increase in monthly disability pension rates, a provision veterans receive payment and totally disabled pension payments at 65 regardless of health, and lifting of restrictive outside-income limitations.

Also on today's schedule is election of five national vice commanders and a national chaplain and announcement of an nual awards. Poetry Just Read the Sign Then Pay Your Fine ELIZABETH, N. Sept. 4 (UPI) Fed up with complaints, officials at the traffic violation desk at police headquarters put up the following sign over their window: The tickets were issued. But not by us.

So don't come here And fume and fuss. afternoon. He shared the rostrum for the first time with' Lt Gov. Philip A. Hart, his Democratic oppo nent in the Michigan senate race this fall.

By 1968, said Sen. Potter, America's farmers will have to feed and 'clothe a population of 205,000,000 "that's 30 million more customers than we have to day for farm products." But quantity is only part of the picture, he said. "In the past 20 years we have seen our people demand better diets, dif ferent foods and a greater vari ety of foods. COMING MARKET He predicted a tremendous demand upon tne nation larms, not surpluses in the coming 10 years and warned that farmers (See Picture, Page 12) must prepare to meet these demands. "Because we have relatively little good land to bring into agirculture and some of our best land is already going into non- farm uses such as subdivisions and airports, farmers will have to draw even more upon science and research to improve produc tion, restore depleted land and conserve water resources.

Where Haft had urged, in an earlier speech, "new ways of suoDorting farm income," Sen. Potter called the basic price support and acreage control pro gram a ball and cnain on larm- ing and marketing efficiency." "Efficient fanners," said Sen, Potter, "have been seriously handicapped by crippling allot-See POTTER Page 2, Col. 5 Neivs Highlights "GYPS" GLAD Herman is retiring. Page 49. RACE RIOT AREA Weird happenings described.

Page 14. GRAND RAPIDS MAN Strives to inspire students. Page 8. FREE PARKING Plan to boost Lansing business outlined. Page 13.

HOME-GROWN Spartan stars from Michigan. Page 44. Bedtime Stories ....39 City in Brief 2 Comics 38 Crossword Puzzle 34 Dailv Patterns ...27 Dear Abby 26 Editorials, Features 8 Eyes of the World 7 Farm News 19 Food 29-40 Health Talks ...38 Markets 50 Onlooker 56 People in the News 56 Radio, TV 48 Senior Forum 17 Society 24-25 Sports 44-47 State Affairs 12 State Page 41 Theater 42-43 Vital Statistics 41-49-50 Weather 149 Women's Features 26-27 Charge That '21' Show Was 'Rigged' NEW YORK, Sept. 4 (JV The district attorney's office has asked for tape recordings and financial records of the televi sion auiz show "21," as a result of a charge by former contest ant Herbert Stempel that the program was "rigged." The recordings apparently will be used to match Stempel' own voice with a voice on. tape con cerning a purported converse tion between Stempel "and Dan Enright a co-producer -of "21.

Enright said yesterday that the 31-year-old Stempel was given $18,500 of his winnings in ad vance when the latter threatened to quit the program. Stempel eventually left the show in 1956 with $49,500 after losing to Charles Van Doren. Stempel has charged he was told to lose, an allegation denied by Enright and Jack Barry, produc ers for the N. B. C.

show. Enright said of the advance payment: SHOW NEEDED HIM "He (Stempel) told me if he didn't get the money he have to quit the show immediately. I gave it to him without questioning him because at that point the show needed him. "He was the first contestant who had remained on for a num ber of weeks in a row. He was establishing an identity for the show and we couldn't afford to lose him." At the tune, Mempel was ahead S50.000 on the show, but on "21" a contestant's winnings are always at stake and over a period of time his winnings could be wiped out On the oth er hand, a contestant is free to quit with his winnings at any time.

Barry and Enright have said that Stempel, long after he was off the program, tried to black mail them by announcing he would make public charges that the show was rigged. Barry and Enright earlier this week produced a tape recording in which a' voice, presumably Enright's, was heard to say, "A blackmail scheme" was afoot and asked, "Do you agree?" A voice purported to be that of Stempel replied, "Uh, yes." Stempel charged yesterday that the tape recordings "have been doctored." 1 Tax Forms Simplified for By MERRIMAN SMITH WASHINGTON, Sept. 4 (UP!) The government had good news today for 31 million taxpayers who make up to $10,000 a year. They can figure their federal income taxes simply by filling out a small card instead of laboring through a long four-page form. This new labor-saving system of filing federal tax re-' turns was not without certain disadvantages for some taxpayers, however.

The internal revenue service (IRS) said that if taxpayers wanted to take deductions for.