Richmond Times-Dispatch from Richmond, Virginia • 1

The 'Weather Virginia cioudy windy showers and scattered thunderstorms today Cloudy showers windy high middle 3 Inch colder tonight Local Data on Page 2 On the Inside 1 4 iMaifij 1 Amusements National g-ll Comics 27 Obituaries 28 Editorials 10 Radio-TV 21 Internal! 11-13 Sports 18-20 Markets 16-17 State-City 2-7 Women 14-15 104th Year Voiuraa 104 Kumbar 20 Richmond 11 Virginia Thursday January 21 1954 Dial 7-1851 Daily and Sunday by mall 120 a year 5 Cents XnteaA as Eecood -Class Matter at tha Poet Office Richmond Vs anley Asks One-Gent Boost in Gas Tax New Governor Says He Changed Mind Other Plans Stand By James Iitimer A rain-drenched brand-new Governor of Virginia yesterday manfully and publicly swallowed one of his main campaign promises but vowed anew to work for the rest of the on which he won last election Thomas Bahnson Stanley 63-year-old furniture manufacturer and former Congressman took the oath as Governor at 12:30 Within an hour he sowed the seed of a hot fight sure to erupt in the General Assembly a proposal to add 3 cent per gallon to the present 6-cent tax on gasoline and other motor fuels Admits Reversing llis Position The new Governor candidly admitted this represents a reversal of the no-ta-increase stand he took in last campaign He has changed his mind he explained as the result of recent studies and information which threw new light on the State highway system's In the rest of his 34-minuto inaugural address delivered under lowering gray clouds that alternately drizzled and poured down a slanting rain Stanley specifically called for a prompt beginning to install a $2400-1 0-S3600 minimum pay scale for teachers and generally reaffirmed other proposals from his 1953 campaign platform (For full text of Governor Stanley's message see Page 51 He came up with two recommendations lhat sounded brand-new One would increase from $22 to S24 weekly the maximum unemployment compensation The other would reduce State holidays from 33 to eight per year Those present holiday would be dropped: Lee's birthday Jefferson's birthday Jefferson Davids birthday Columbus Day and Armistice Day Would Eliminate Budget Item Ranging broadly over the field of State services in his first message to the General Assembly Stanley also: (1) Strongly urged end lo any expenditure of highway funds which can lc classed as Here he proposed to strike from the 3934-56 budget submitted by outgoing Go error Battle a $940000 item from highway funds for const met ion of permanent convict road camps Hero ton he said State police operations which are financed by highway money should ho confined to the highways rather than diffusing their time in general law enforcement (2) Indicated he will seek higher appropriations for the Stale Department of Conservation and Development for the double pur- 3 of the Capitol on Rainy Inauguration Day as Governor Thomas Stanley Takes Salute From the Cadets of V3II 24 Marines Drown In Korean Boat Crash New Bill Would Tahe Land From Wire Dispatches SEOUL) Jan 21 Twenty-four American marines were drowned today when a United States Navy landing ship carrying anti-Communist Chinese soldiers to Formosa rammed and sunk a small Marine Corps assault boat in Inchon Harbor Twenty-four other marines two Koreans and two American soldiers from the small boat were rescued The landing ship a United States Navy vessel manned by a Japanese crew plowed into the smaller craft at 10:05 A (8:05 EST Wednesday) The platoon of 48 marines all were loaded with combat packs for a training exercise The 24 drowned men sank immediately The LST crashed broadside into the small boat rolling it over on its side and dumping A General View Senate Passes St Lawrence Seaway Plan Share of Cost Set at $105000000 WASHINGTON Jan 20 tJP) Supporters of the St Lawrence Seaway after 20 years of effort tonight won Senate approval of legislation to authorize the United States to join Canada in building the controversial project Passage of the bill which the proseaway forces had been freely predicting since the beginning of debate a week ago came on a roll-call vote with 51 Senators voting yes and 33 no It was a bipartisan vote which gave President Eisenhower a victory in the first major item on his program to come before the Senate this session Voting Outlined Twenty-five Republicans and 25 Democrats joined with the one independent Morse (Ind-Oreg) to pass the bilL It was opposed by 18 Democrats and 15 Republicans Among those voting against the bill were Senators Byrd and Robertson (D-Va) The seaway discussed for more than 50 years would be a 27-foot-deep waterway in the St Lawrence River from the Atlantic Ocean to the Great Lakes allowing oceangoing vessels to sail Continued on Page 8 Column 5 Governor Under Umbrella Adjutant-General Waller sue root to inwk oiniimi Makes Inaugural Speech Helps Fend Off the Rain Treasury Agent Tells of Cash Dividends in USTax Case By Wright Jr A bill In take title to the Eastern State Hospital property away from the College of William and Mary and give it back to the State Hospital Board was introduced in the House of Delegates yesterday Delegate John Boatwright of Buckingham offered the bill which is simed at breaking the deadlock in the offer of Colonial Williamsburg Inc to provide funds for the transfer of Eastern State if the corporation can obtain the 207-acre tract of land w'here the hospital is now located Members of the Board of Visitors of William and Mary have balked at relinquishing all of the hospital property but have agreed to part with 11 acres The Rockefeller Foundation through Colonial Williamsburg has offered to lend the State some $23000000 to speed the transfer of Eastern State Hospital to a site at Dunbar Farm near Williamsburg The plan fell through when William and Mary officials announced in October that they were unwilling to sell the hospital property to anyone Delegate bill would repeal the act of 1944 by which title to the Eastern State Hospital property was conveyed to William and Mary Boatwright said yesterday he introduced the bill because have had so much trouble with William and Mary about it (the property) It is holding up the transfer to Dunbar and Mary has stood in the way of doing anything with the Boatwright said the State can take it sell it and apply the money to Dunbar Boatwright said he did not Continued on Page 4 Column 3 Liner Crash pose of attracting new industries to Virginia and promoting tourist trade (3) Voiced anew his support of increased State appropriations for public health tuberculosis control mental hospitals aid in local hospital construction oyster replenishment agricultural research and other endeavors Many of these would draw healthy increases in the Battle budget to which Stanley gave a general and hearty endorsement It was not immediately clear whether he would propose additional appropriations on some specific points (4) Celled for establishment of a $300000 State loan fund to help localities build wholesale farm produce markets (5) Said he was general with the Virginia Advisory Legislative Council's proposals to tighten the absent law against fraud and added hope these will have prompt legislative It was switch on the gas tax that attracted the most Eisenhower Will Present Budget Today WASHINGTON Jan 20 UP President Eisenhower will send to Congress tomorrow a trimmed down Federal budget to finance the government through the 1955 fiscal year starting next July 1 It will be the first complete budget in 21 years from a Republican administration and congressional leaders are predicting it will be around $3000000-000 out of balance Senator Bridges (R-N H) chairman of the Senate Appropriations Committee said January 3 that Mr Eisenhower was aiming at holding the deficit within that figure -New Look at Defenses Once again the budget is bound to be heavy with expenditures for national defense which now account for roughly two-thirds of all Federal spending But even this big program bas been slashed substantially Mr Eisenhower himself has said the administration can get more fighting power for less money through a "new defense policy placing the emphasis on air power end an assortment of atomic and other new weapons As the administration sees it this will make it possible to spend less for manpower and equipment not deliberately buzz the tower although he was displeased with his take-off instructions His plane sent tower personnel ducking for cover The maximum penalty for reckless flying is revocation of a license or a $1000 fine The CAA however recommended only a suspension for Godfrey a temporary grounding Godfrey is entitled to a hearing before the CAB if he requests it The CAB sets aviation policy the CAA enforces it It was the second big storm to break around the 50-year-old Godfrey in three months He stirred up a nation-wide controversy last October 19 by firing his young singer Julius La Rosa while both were on the air Godfrey said La Rosa no longer possessed sufficient Inauguration Runs Off Well Despite Rain All Day By Charles McDowell Jr Yesterday was not the best possible day for an inauguration i It rained on the parade and it rained on Thomas Bahnson Stanley and it rained on everybody else concerned with the thing But the ceremonies were brought off somehow in a spirit of good humor and easy-going pageantry Wet as it was the inauguration never lost a certain dignity and confident simplicity Tom Stanley the man all the fuss was over took his place among the dampest and proudest Governors of recent years The impression was that nothing short of a tidal w-ave could have ruined the day for him Three small grandchildren stirred Stanley to them out of bed at 7 A He and Mrs Stanley with their three children grandchildren and beaming relatives occupied a block of rooms at Hotel John Marshall By midmorning everybody was fed and dressed Stanley himself in English morning clothes complete with' spats After the others had gone to the Capitol the Governor-elect waited alone in his suite for a message from the General Assembly That body convened in joint session at 11:15 A to receive distinguished guest Former Governors Dardeh and Tuck the Supreme Court a variety of local officials and members of the Virginia delegation in Congress Senators Byrd and Robertson were absent because an important vote was expected in the Senate All members of the House of Representatives were on hand except Broy-hill and Wampler Sergeant-at-Arms Lovick Law boomed out the names of the guests as they entered the House hobbling just one When Richmond City Manager Horace Edwards appeared Dr Law in- Continued on Page 4 Column 4 Slow Driver COLUSA CALIF Jan UP) Mrs Ada Birks 74 in court for a minor traffic law violation told Judge Richard Patton she gotten around to renewing her license It expired 26 years ago into thp icy Continued on Page 8 Column 2 would write a check cash It distribute dividends to the other four and then report all the dividends on his personal income tax returns The other four reimbursed Gresham for the amount of the taxes he paid on their share of the profits and did not report the dividends on their personal income tax returns Early in 1946 the five men together with brother-in-law A Howren Jr each put up $2750 and bought the capital stock of Virginia Beach Taxicab Inc All the stock was issued in name and the same practice was followed in distribution of profits Later the other five men were issued stock in their own names and after that they received Continued on Page 6 Column 3 24 Safe in Air all passengers Small boats put out by the IT Navy Transport General Pope lifted the survivors from the icy waters Nineteen of them were injured and were taken aboard the nearby Navy Hospital Ship Consolation The toll of 24 lives made it the worst recorded naval disaster of the Korean war Meanwhile thousands of prisoners of w'ar returned to the Allies yesterday from neutral custody sped on today to- Continued on Inaugural Bombshell CAA Asks Grounding Godfrey Called Reckless NORFOLK Jan 20 A A United States Treasury agent testified today that four defendants charged with income tax evasion told him the fifth defendant distributed cash dividends to them from a taxicab company they owned and they reimbursed him for the tax he paid on their parts of the profits And the same witness Greenland disclosed that the defendant also owned another taxicab company at Virginia Beach and followed for a time the same practice in distribution of profits of that company Greenland produced identical letters he received early in 1949 from Sidney Kellam William Hudgins Herbert A Holt Jr and Russell Hatchett which outlined the dividend distribution of the Beach Taxi Service Inc as follows: The four men all public office holders in Princess Anne County or Virginia Beach at the time wished to conceal their ownership of the cab company because of their public offices In 1943 they each put up $1500 together with Frank Gresham the fifth defendant and agreed that Gresham would be the president of the firm and all the stock would be in his name From time to time Gresham Page 4 Column I Holiday Cuts ter sarcasm indifferent acceptance and in one or two cases approval Said one worker in the State Office Building: a poor way to start his another exclaimed bitterly when she heard the new Governor's recommendation he going to extend our hours said another know he'll give us a raise to make up for loss of the The holiday recommendation made one stenographer sorry she had voted for Stanley he had made his recommendation before the she said would have been as dead politically as some of his Stanley for By Ed Grimsley Near the end of his inaugural address yesterday Governor Stanley dropped a little bombshell that rocked the very foundation of Capitol Square and ruffled the tempers of more than one State employee who had stood in the rain to see his new chief ushered Into office That was Stanley's recommendation that the number of holidays observed by the State government be reduced from 13 to the following eight: New Year's Day Washington's Birthday Memorial Day Independence Day Labor Day General Election Day Thanksgiving Day and Christmas Day proposal was met with reaction ranging from bit NEW YORK Jan (AV-The Civil Aeronautics Administration today recommended that Arthur Godfrey be grounded for a while as a reckless flier The CAA also said his medical clearance to fly was not in order A Washington spokesman at first claimed this would ground him immediately Later however the CAA backed down and conceded Godfrey can continue to fly unless and until he actually is suspended The Civil Aeronautics Board in Washington was asked to suspend Godfrey's license for as long as necessary in punishment for a wild January 7 takeoff from Teterboro airport Godfrey blamed a cross-wind for his near-miss of the Teterboro control tower in his private DC-3 airplane He said he did BUFFALO Jan 20 (A1) A twin-engined American Airlines Convair made a belly landing in a field today just after taking off from Buffalo Airport and the 21 passengers and three crew members walked away from the wreck An air line official said six were injured none seriously Four were hospitalized but two were discharged after treatment An eyewitness said the left engine apparently quit when the plane had reached an altitude of 300 feet He said the plane made a left turn lost altitude rapidly and pancaked into a field near the city line The plane bounced through a shallow ditch and came to rest with its nose against a stand of small trees Continued on Page 4 Column 2.