Lansing State Journal from Lansing, Michigan • Page 1

HOME EDITION U.S. Weather Report Cloudy tonight. Snow or freezing drizzle Thursday. Low noar 20. High Thursday noar 30.

THE SIT. he ONE HUNDRED-EIGHTH YEAR LANSING EAST LANSING, MICHIGAN, WEDNESDAY, JANUARY 2, 1963 40 Pages asteT? PRICE EIGHT CENTS 2)r ft ofto ATE Arranges a ROMNEY TAKES OATH Sworn in as Michigan's first Republican governor in 14 years on New Year's Day was George W. Romney. Chief Justice Leland W. Carr of the State Supreme Court administered the oath of office.

(AP Photo.) UN Congo PeacePlan Supported JFK Alters Tax Goals Favors 5 to $10 Billion Slash Applied Over Spaced Steps PALM BEACH, Fla. Uf President Kennedy, -deeply worried about the fate of his legislative program in the new Congress, is ready to settle for a gradual $5 billion to $10 billion tax cut. In order to compromise with powerful critics, the President has ordered the Treasury to prepare a tax bill that would bring about the reductions in several carefully spaced steps. The aim is to lessen the immedi ttIi til a 55 h'- HEAR NEW. GOVERNOR George W.

Romney delivers his inaugural address Tuesday in front of the Capitol to a crowd of about 3,000 persons who gathered to see Romney and ether state officials take their oaths of office. This picture, taken from a balcony outside the governor's office on the second floor of the Capitol, looks east down Michigan Avenue. (State Journal Photo by Kenneth Harkness.) Romney Urges New Confidence in State sunny but chilly weather for the Schedule For Visits New Governor to Allot One Morning a Week For Private Talks (Journal Capitol Bureau) 1 Gov. George W. Romney an nounced Wednesday he would institute an "open door operation" in his office, following up a plea he made in his inaugural message Tuesday for Michigan residents to show greater interest in public affairs and state government.

Meeting reporters in a shirtsleeve press conference, the new governor said that starting next week he would keep his schedule open every Thursday from 8 a.m. to noon for any citizen to come in for five minutes and tell me anything he wants to." Romney emphasized the citizen visits would be limited to five minutes with a timer on his desk to signal the end of the interview but said that the visitor could leave a written statement presenting additional information. If the topic presented by the visitor seems important enough, the gov ernor said he would also be willing to schedule a later appointment for fuller discussion. The Thursday morning sessions will be open to "any individual citizen or group that wants to pre sent something or see me about something," he said. This arrangement will make it possible for any citizen to talk directly to the Governor," Romney said.

"This obviously makes it an open door operation." WILL BE PRIVATE The five-minute citizen meetings will be private interviews in Ihis office, not open to the press or public, he said. The new governor, who arrived in the executive office at 8:05 a.m. Wednesday to put his administration in motion after a busy Inaugural Day which kept him on the go from early Tuesday morning until well past midnight, also announced he would greet Capitol sight-seers each day at 12:15 p.m. That plan will be followed, he told newsmen, to avoid interrup tions of his daily schedule by groups of school children and oth er delegations being escorted through the building by Capitol guides. "It will -facilitate effective use of time," said Romney, "and make it possible for any visitors to see and hear the governor, if See ROMNEY Pg.

A-2, Col. 5 Icy Drizzle Due as Cold Wave Eases Hourly Temperatures a.m. a.m. 1 mm a. 19113 noon ..23 9 a.

m. Barometer 30.28, teadr. Michigan's cold weather moved out Wednesday, but it looked as though it might be a case of going from the deep freeze to the ice rink. The Weather Bureau is forecast ing light snow and freezing drizzle for Thursday. The warming trend will be evi dent with an overnight low near the 20-degree mark, and a Thursday high of around 30, means that any precipitation that falls will be right around the freezing rain demarcation.

The low reading here early Wednesday was a chilly 5 above, but still well above the 7 below recorded Monday morning, when a new record was set for Dec. 31. Light snow or freezing drizzle may extend through Friday, according to the fivfrday forecast. It will begin to turn colder early in the week, with snow or snow flurries possible Sunday and Monday. To no one's surprise, the Weather Bureau's summary of December showed that temperatures were below normal and snowfall was above normal The December mean temperature was 23.2 degrees, or 4.3 degrees below normal.

Snowfall measured 14.9 inches, or 5.1 inches above the usual. Year of Rabbit HONG KONG (AP)-A Chinese fortune-teller who had predicted the Cuban crisis would not lead to a world war said today that 1963 will be a year of peace. Hu Tien-Chi based his predic tions on the Chinese character for the rabbit. 1963 is the year of the Rabbit. By WILLARD BAIRD (Journal Staff Writer) Gov.

George W. Romney asked Michigan citizens Tuesday to re new their confidence in themselves and in their government and to put an end to the cold war that has been hindering our state prog ress. The voters can move toward that Red Gunfire Downs ate adverse impact on the feder- al budget deficit. The President action, learned from sources privy to Kennedy policy secrets, was influenced by the much-publicized deficit fears of Rep. Wilbur Mills, chairman of the House Ways and Means Committee, and Sen.

Har ry F. Byrd, chairman of the Senate Finance Committee. These two committees must ap prove all tax legislation. UNEMPLOYMENT QUESTION It was understood that Kenne dy agreed to the compromise ap proach because he believes without a reduction the nation will return to unemployment levels known only in periods of deep recession. But he hopes that if Congress accepts the tax plan the unemployment rates will drop to the lowest levels since the boom that Mowed World War II.

But while Kennedy is willing to try compromise on his tax pro gram, authoritative sources said he is determined to push harder for American proposals for solv- Ling cola war promems even it means treading on the toes of sensitive allies Apparently emboldened by the success ot the Cuban DiocKaae, the Chief Executive was said to be willing now to accept criticism from abroad in order to pursue what he believes are the most promising approaches to world is sues. He was depicted as accept ing complaints from allies as an inevitable by-product of progress. But there is also the problem See GOALS Pg. A-2, Col. 7 8 U.

S. Helicopters By PETER ARNETT SAIGON. South Viet Nam (AP) Communist groundfire today blasted a fleet of U.S. helicopters flying government troops into battle. Three Americans including an Army captain were reported killed, and four others wounded.

It was the deadliest blow struck at the U.S. lorces aiding wesi- Copper Mine Owners OK Revenue Split; Tshombe AsksJTruce LEOPOLD VTLLE, the Congo (AP) The giant Union Miniere copper mining comDine leu in line today with United Nations Dlans for auick reunification of the Congo, even while sporadic fighting persisted within Katanga, the secessionist province. The company with Belgians, Britons and Americans among its backers announced in Brussels its experts will leave tonight for Leopoldviue. Then- mission, as defined in a company communique: lo assist representatives of the Congolese central government and ot Katan ga in the drawing and drafting of a project for repartition ot the currency resulting from the sale of Union Miniere products." AGREES TO RETURN The announcement came less than 24 hours after Katanga Pres ident Moise Tshombe, leader of a cause that seemed militarily doomed, agreed conditionally to return to Elisabethville for re newed dickering on unification. U.N.

Secretary General Thant's unity plan, which he wants put into effect by Jan. 14, calls for a 50-50 split of Katanga's revenue with the impoverished central government of Premier Cyrille Adoula. Most of the rev-See TSHOMBE Pg. A-2, Col. 6 Police Hunting For Hooch Owner MONTGO MERY, Ala.

(AP) Police are searching for the driver of a car which collided with a switch engine at a railroad crossing. He disappeared after the Monday night accident. Police want to ask him about more than 100 gallons of moonshine found in the car. SEN. ROBERT S- KERR I if Sales Tax Sets New Record By pat McCarthy (Journal Capitol Bureau) Michigan taxable retail sales jumped an "astounding" $754 million to $11 billion during 1962, Clarence W.

Lock, state revenue commissioner, announced Wednes day. The retail sales boosted Michi gan's four percent sales tax revenue to a record high of $442 million for the year. Lock re ported. The $11 billion retail sales fig ure does not include sales to governmental and non-profit groups not required to pay sales tax. GAINS CITED The $442 million sales tax total was an increase over 1961 of $41 million, but because one month's collections in.

1961 were on the former three percent basis, the actual increase on a comparable basis is $30 million, or about 7.5 percent, Lock explained. The new figures indicate that predictions of a month ago for $437 million sales tax revenue dur ing the current fiscal year ending June 30, 1963, may be exceeded, Lock said. Nearly a year ago, revenue de partment forecasts of sales tax revenue for the present fiscal year had been pegged at $432 million. Use tax collections for the calendar year came to $38.4 million, an increase of $1.5 million or 4.2 per cent over 1961, Lock said. The business activities tax, next to the sales tax the largest contrib utor to the state general fund, produced $72.6 million during the calendar year, an increase of 4.7 per cent or $3.2 million over the 1961 total.

In the month of December alone, sales and use tax collections to gether amounted to $40.4 million, Lock said, an increase of $2.2 million or 5.6 per cent over the same period in 1961. Surprisingly, automobile sales taxes in December for the first time in 1962 fell below the comparable month in 1961, Lock said. The drop was $627,000. The increase in the monthly total was accounted for by $800,000 in telephone service tax, not in effect the previous year, and a $2 million in crease in non-automotive classi fications. Sales Crush LONDON (UPI) The London Daily Telegraph today defined the crush of January sales as "just like a cocktail party without the drinks.

Crash Kills Lyons Man 2 Others Injured As Car Blisses Curve (Special to The State Journal) LYONS A Lyons driver was killed early New Year's morning and bis two passengers were in- iiirml when his car missed a curve near his Kimball Road hnme. Norman Setchfield, 26, died of a skull fracture and internal in juries about 2:20 a.m. Tuesday when his auto missed the curve, ripped out guard rails and traveled 270 feet off the road. The victim was the son of Mr. nnH Mrs.

Rav S. Bennett of Lyons. James Schreiner, 22, a passen ger, also of KimbaU Road, was thrown from the car and landed almost in his own front yard Ionia State Police said. He suf- fort a skull fracture and was taken to Butterworth Hospital Grand Rapids, by Ionia County Coroner Richard Hull. Srhreiner is the son of Mrs.

Leida Schreiner of Lyons. Srhreiner's cousin, Jack Hayes, 24, of Grand Ledge, jumped from the car as it began to leave the road, and suffered shock. He taken to Ionia County Memorial HosDital. where he was treated and released. The victim was a lifelong Lyons resident In addition to the par ents, he is survived by two half- brothers, James Bennett of Lyons and Charles Bennett of Portland: four sisters, Mrs.

Barbara Lemke of Muir, Mrs. Frances Shattuck of Ionia and Karen and Vicki, at home, and the maternal grandmother, Mrs. John Raglin of Lvons. Services will be held Thursday at 2 p.m. at the Eastep Funeral Home, Muir, with burial in Lyons Cemetery.

Nuptial Bargain SAN BERNARDINO, Calif. (UPI) Prospective ncwlyweds here get a bargain package with their $2 license tee. Topped with a booklet of ad vice, the bridal package contains soup, starch, soap powder, liquid soaD. recicie book and headache remedy. Gripp inji laie WIGAN, England AP Police are searching for a New Year's Fve reveler who left his false teeth-still tightly gripping a ci gar In Wigan'i civic center.

goal by approving the proposed new constitution in the April election, he said in an inaugural ad dress delivered after taking the oath of office which made him Michigan's 41st governor. "It is time to think ahead and to make a fresh start," the new governor told some 3,000 persons gathered in front of the Capitol in dent Ngo Dinh Diem's pro-West ern government in the civil war against the Viet Cong. Red gunners hit 14 of the 15 U.S. helicopters taking part in the mis sion in the Mekong delta, bringing down about eight aircraft. South Vietnamese forces re portedly suffered an estimated 50 casualties.

The Communists, fighting at battalion strength of 400 men or more, stood and fought against re lays of government fighter bomb- (Related Story, Picture Pg. A-15) ers striking at them instead of running for cover as the Reds us ually do after an attack. Hours after the helicopters were shot down, the fighting still raged 50 miles southwest of Saigon with guerrillas attacking In waves in an attempt to reach the downed aircraft. All American casualties were reported evacuated under blister ing automatic small arms and cannon fire. Communist armor- piercing! shells held up armored personnel carriers sent to relieve the de fenders before the rescue was carried out.

There were no reports here on ground casualties but losses were believed heavy on both sides. The Viet Cong sprung a trap on the government forces airlifted by the American helicopters for an attack along a tree-lined canal. Returning crews said the Com munists held their fire as the first groups of helicopters landed and then all hell broke loose." The government operation was launched early in the morning inaugural ceremony. "Adoption of the new constitu tion, in my opinion, can dramati cally prove that Michigan is not a problem state, but a problem- solving state, he said. Other states are begging for just such an experience as we have completed in our Constitu tional Convention, Michigan can again show the way for others to follow with the many model pro visions of our new constitution.

His reference to the proposed new constitution drew one of the biggest cheers from the audience (Inaugural pictures related stories and the full text of Gov. Romney's message on pages A-10 and 11; stories and photos of two inaugural balls on pages B-4 and 5.) of the many bursts of applause which punctuated his 20-minute address. Romney was a delegate to the Constitutional Convention from Oakland County and served as a vice president of the convention. In his inaugural message he remarked that "careful use of public money, of course, should be a basic tenet of all public offi cials" and promised that "as gov-See CONFIDENCE Pg. A-2, Col.

2 News Highlights NEW CONSTITUTION Romney opens drive for adoption. Page A-ll TWENTY KILLED Michigan's holiday accident toll. Page A-14 GREAT IN DEFEAT Badgers spectacular rally thrills Rose Bowl crowd. Page C-l Ann Landers B-6 Capitol Affairs A-10, A-ll Classified C-8 to C-ll Comics C-4 Crossword Puzzle A-13 East Lansing-MSU A-7 Editorials, Features A-8 Eyes of the World A-12 Family Living B-4 to B-7 Markets C-7 Nason on Education A-20 National Observer A-8 People in the News A-6 Sports C-l to C-3 State Page A-14 Sylvia Porter OS The Doctor Says C-4 Theater C-6 TV, Radio A-16 Vital Statistics A-14, C-8 We, the People A-8 Weather A-l, A-3 Sen. Kerr's Successor May Be Edmondson Six to 11 Lose Lives InBlast TERRE HAUTE, Ind.

(AP) An explosion ripped through the Home Packing Co. today, killing to 11 workers and injuring about 35 others. Fire Chief Norman Fesler said six bodies had been removed. Five other workers in the rubble were presumed dead. At least one survivor was in the ruins.

Rescuers worked to ward him. Police and firemen believed the blast occurred in a basement boiler room, demolishing a path across the production section of the two-story building. The southwest corner of the structure was left intact. Ammonia gas, apparently es caping from ruptured refrigeration lines, hampered the rescue work. A rescue squad from a coal mine wore gas masks while digging into the rubble.

Company officials were attempt ing to determine how many pro duction workers were in the wrecked section. The company set up a temporary office, asking other workers to register for an accounting. The early estimates had about eight unaccounted for in the ruins. The blast occurred about 7:30 a.m. as the day workers were re porting at the riverfront plant.

By JACK BELL WASHINGTON (AP) Senator Robert S. Kerr, a power among powerful men, is dead and his death is expected to have wide ranging repercussions in the White House, the Senate and his home state. The 66-year-old multimillionaire oilman senator toppled over Tuesday morning as he was telling a story to his physician at Doctors Hospital. He died minutes later. Death was attributed to a coronary occlusion.

He entered the hospital Dec. 16 for treatment of a respiratory infection. Doctors found evidence of a heart ailment, but had said he was making good progress. President Kennedy, who got word of Kerr's death while flying to the Orange Bowl in Miami to See KERR Pg. A-2, Col.

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