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BLYTHEVILLE COURIER NEWS THE DOMINANT NEW8PAPJCR OT MORTHEAST ARKANSAS AND SOUTHEAST MISSOURI VOL. L—NO. 240 BlytheviUc Courier Blythevllta Dally Newt Mississippi Valley Leader Blythevllle Herald BLYTHEVILLE, ARKANSAS, THURSDAY, JANUARY 6, 1955 SIXTEEN PAGES Published Dally Except Sunday BINGLB COPY FIVE CENT! Military Cut Plans Hit Obstacle Demos Voice Objections To Reductions WASHINGTON (AP) — The nation's armed services appeared today to face a somewhat less stringent belt tightening than was in prospect a week ago. Top House Democrats let it be known that a strong national defense, rather than a balanced budget, would be their primary consideration In guiding appropriations in the new Congress. And President Eisenhower, in a letter to Secretary of Defense Wilson made public late yesterday, accepted Pentagon proposals for continued reduction in personnel strength, but mentioned force levels slightly above those originally proposed.. Elsenhower said he contemplated an armed force strength by next June of about three million — or 60,000 more than the Pentagon'had proposed. He said it would not be wise to fix a "rigid" target for 1956, but he thought a "goal" of 2,850,000 could be aimed at — "with any further material reductions dependent upon an improved world situation. " Wilson had suggested a 2,815,000-man level by June 1956. At the Pentagon, the word was passed that a "resurvey" since manpower goals were announced Dec. 20 resulted In the 35,000 increase for 1956. The Army, which would bear the sharpest reduction, apparently would get about 25,000 of the 35,000. Must Remain Strong Speaker Sam Rayburn told the House yesterday he disliked levy- Ing taxes, then added: ' 'But looking the world in the face like I must today and seeing the dangers that lurk for our freedom and our opportunities, as long as times are like they arc I am going to vole to levy the taxes and to appropriate a sufficient amount of money to make our country so .strong that no international desperado will dare attack us." Rep. Cannon (D-Mo), Who will head the House Appropriations Committee, said in an interview ''we must decide to cut out spending on tilings that, while desirable, are not essential at this time." Cannon put his emphasis in air power. He .siiid appropriations President Tells Congress U. S. On Trial' in Struggle for Peace IRRIGATION SURVEY HERE — Jim White (right), of the rural economics department of the University of Arkansas, Interviews J. W. Rayder of Blytheville as part of an Irrigation survey, which probably will be continued for several years, is being made to learn how irrigation is affecting farmer incomes in Eastern Arkansas. A preliminary report on the first phase of the study is to be published later this year. The current survey will continue through this month. (Courier News Photo) The Arkonsas Legisioture One Chore Assembly Must Face Up To — Finding More Money (EDITOR'S NOTE — This is the second of a three-part series dealing with some of the chief problems facing the approaching Legislative session.) Inside Today's Courier News .... BlythevIIle High School' 'May Become Member of Big Seven . . . Letter of Intent Filed by School Official! . . . Chicks Meet Augusta in NEA Tournament Today . . . Sports . . . pages G and 7 ... . . . McClellan May Show How lo Run Committee . . . Editorials . . . page 4 ... . . . Planned Military Cutbacks Due for Stiff Probe with Democrats Controlling Congress . . . page 3 ... must be tailored lo meet the need for a military machine that "c;tn strike back effectively" at Communist aggression 'within 12 hours. "Neither the Army nor th Navy could reach Moscow before the war was over, but an adequate air force could," Cannon declared. Rep. Vinson tD-Gm, who will be chairman of the House Armed Services Committee, said he will call in Wilson and the Joint Chiefs See DEMOCRATS on Page 5 Solon to Ask Withdrawal of D-Y Contract WASHINGTON Iffl — Rep. Holifield (D-Calif) said today he will introduce in Congress a resolution calling on the administration to withdraw from the Dixon-Yates power contract. Holifielcl said the resolution would express the sense of Congress that the contract "is inimical to the best interests of the government." It would "request the Atomic Energy Commission to cancel or withdraw from the" present c tract" during a grace period which ends Feb. 15. The ARC lias signed n 25-year contract with Middle South Utilities, Inc., and The Southern Co., to obtain power from a proposed 107 million dollar plant nt West Memphis, Ark. The resolution would not be bind ing on the administration; Holificld said passage would be a "clear warning to the Atomic Energy Commission that they will have trouble with their appropriations should they persist in making this contract effective when Congress has expressed its will ngainst By LEON HATCH LITTLE ROCK (AP) — One chore the 1955 Legislature apparently can not escape is that of finding more money. . ft seems to be either that or the alternative of cutting' down state services. • i most agencies is alloted. The de-1 cline reversed an upward trend of] more than a decade. The 1953 Legislature in making its Expropriations had anticipated that the then-rising general tax collections would continue to go up They didn't. As a result, it apparently is up ; to the 1955 Legislature to find some I Either solution Isn't likely to be popular as more money is almost certain to mean new or increased taxes. The difficult choice will be up to Arkansas' 60th General Assembly which convenes here Monday for the crniLstitutional 60-day biennial session. Many state, institutions and agencies have asked for Increased ap- j way of augmenting the general propriiitians. Most of them can | fund. make oui. a pretty convincing case j In addition to the overall picture. Hammarskjold Heels with Red China Premier Meeting Is Verified By Peiping Radio; 1 1 Airmen Purpose TOKYO '.?—U.N. Secretary Gen- Defense Plans To Defer Reds Are Outlined WASHINGTON (API—Pres-i Ml Eisenhower outlined to-i day a defense program de-1 signed to deter Russian ag-1 pj ession and help save the! world from a "nuclear holo-j caust." I Then he told Congress in his ! S le of the Union message that I "these emphases in our defense s planning- have been made at my } personal direction afier long and thoughtful study. In my judgment, they will give our nation a defen.se i accurately adjusted to the national need." In the face of Democratic questioning of proposed cuts in Army strength, he said the forthcoming military budget, due for presentation on Jan. 17: 1. "Emphasizes modern airpow- • er in the Air Force, Navy and I Marine Corps." I 2. "Intensifies attention to new weapons, "especially those of rapid ' and destructive striking power." I 3. Assures maintenance of "ef- i fective, retaliatory force as the ! principal deterrent to over aggres- ' sion." | Soviet Pou-cr Cited j Until there is world agreement I on arm a menr limitations, the Pres- i ident said, "w? must continue to improve and expand our supplies of nuclear weapons for our land, naval and air forces while, at the , n same time, continuing- our encouraging progress in the peaceful use of atomic power." The President put early in his address his warning about the steadily growing strength of Russia in nuclear weapons.. "To protect our nations and our peoples from the catastrophe of a nuclear holocaust." he said, "free per cent pay boost. Celler has nations must maintain countervail- ; given the iesiglation top priority ing military power to persuade the ' Communists of the futility of seek' Here Are Salient Items From Ike's Address WASHINGTON ufc — Here are some salient recommendations in President Eisenhower's "State of the Union message: "Unhesitating cooperation" between the White House and Democratic-controlled Congress. A tireless search for a "more just and durable peace." A military program emphasizing air power and new weapons. Extension of the draft; a powerful military reserve. No tax reductions in 1955; perhaps some in 1956. Continuation of the flexible farm program. Measures to expand international trade and investment. A health program, including health reinsurance. "Affirmative action" toward relieving the school classroom shortage. An increase in the minimum wage, to 90 from 75 cents an hour. 70,000 public housing units in the next two years. Eisenhower Backs Drive for Pay Hikes Bill Introduced Boosts Wages For Solons, Judges 80 Per Cent WASHINGTON CAP) — Urging a "long overdue" salary increase for members of Congress and federal judges, President Eisenhower today got behind a drive already under way in Congress. Eisenhower told the House and Congress to 'study congressional ate the boost should be to level commensurate with their heavy responsibilities." He did not recommend any specific salary figures in his State of the Union message. However, Chairman Celler (D- NY) of the House Judiciary Committee already has " introduced ! a bill to give Congress members > nnd most federal judges Asks Harmony To Prevent 'Holocaust' By MARVI.V L. ARROWSMITH WASHINGTON <AP)—Pres- I ident Eisenhower appealed to| day for bipartisan harmony and told the new 84th Congress both parties are "on trial" in the free world's strug- ! gle to win enduring peace and prevent an atomic "holocaust." I In a State of the Union message S noting the shift in control of Conj gre.ss from Republicans to Democrats, the President declared j America's prosperity outlook "is I good"—that "business activity now surees with new strength" and that personal income after taxes is "at a record level." As for the international situation, year "there has been progress justifying hope, both for continuing peace and for the ultimate rule of freedom and justice in the world." Sobering: Problems "But sobering problems remain ahyati" and they require continued heavy spending—two thirds of the entire federal budget expected to run about 64 billion dollars—to buttress the free nations against any Communist aggression, be said. "The massive military machines and ambitions of the Soviet-Communist bloc still create unea'siness in the world," he said. "All of us are aware of the continuing reliance of the Soviet Communists on military force, of the power of their weapons, of their present ro- and judicial pay scales. "The increase in the cost of living, the increase in comparative " s salaries in business. _the_ta_equMes Q^." o7 md^Tontinuing "effort within the whole government sal- See CONGRESS on Page 5 * too. On the other hand the tax money which is u.sed to support these governmental units hns been slacking off, THAT S T A T E M E X T KP.-mS strnr.ge in view of the fact that state revenues reached a record high of more than 100 million dollars in 1954. It's explained by the fact that the big 1954 .increase was "spccial" collections, which as the name indicate? are earmarked for special purposes. General fund collections declined. It is these from which state money for schools, institutions and . million dollars or more above j eral Dag Hammarskjold met to- current appropriations is beius • day with Red China's Chou En-lnl j-'outrht for (be public .schools. ! mid presumably went right to the Most talk so far of specific tax ' point of his trip halfway around measures has been concerned with : the world—(he 11 American air- thc school situation. Several pos- ; men the Reds convicted of espion- ible remedies have been .sugge.st' age. Peiping radio made the briefest acknowledgement of the meeting, SEN. Q. BY RUM HURST of Hot : saying only that Hammarskjold Sprinps has announced that he will i met Chou, premier .and foreign introduce a measure to increase [ minister, at 3 p.m. The broadcast the state sales tax from two per [ pointedly omitted any mention of cent to three per cent for a limited, automatically-expiring period. During that time school districts would be put o n notice that they had to increase their revenue at the local See ASSEMBLY on Page 5 Bombers Collide, Four Men Missing LAKE CHARLES, La. Ml — Planes and ships searched the Gulf of Mexico southwest of here today for four men missing after a B47 Stratojet bomber collided with another B47 nnd crashed. Missing were the three members of the B47 which crashed and .a crewman who parachuted from the other bomber, which was able to return to the Lake Charles Air Force Base last night. An unidentified ship wns reported to have sighted wreckage at the sccno, nbout 30 miles southeast of the Tcxna-Loutalnnn boundary, but there was no report of any survivors. The bombers were.on a training mission, Capl. George Spotswood, public Information officer at the bnsc, said the cause of the collision wai not known. , the purpose of Hammarskjold's trip. Met First Yesterday Chou and Hammarskjold first met yesterday when the U.N. official paid a courtesy call shortly after his arrival by plane. They met again at a cocktail party and then at dinner last night. U.N. sources have said Ham- marsfcjold expects to wind up the conversations with the Chinese Communists this weekend and head back to the United States. Others At Mating Sitting: in with Chou were Chang j , , , , „ , . ,-, , , ,. . .... Han Fu. vice foreign minister; The National Labor Relations Board has directed that ;PrcH - Chou Kcng srleng. adviser the Ministry of Foreign Af; nnd Tung Yuen Chien, direc- j tor of the Department of Inter- I national Organizations and Confer| enccs of the Foreign Ministry. \ Pelplug said Hammarskjold was ' accompanied by Achmed S. Bok| hflri, U.N. undersecretary, Per Lind. Ilammarskjold's executive assistant; and Humphrey Wnldock, professor of international law Union Election Set For Central Metals The National Labor Relations Board has directed that an election be held at the Central Metal Company here to i to" ing their ends through aggress ion.- If Com munist rulers understa nd that America's response will be swift and decisive—that never shall I we buy peace at the expense of j honor or faith—they will be power- I fully deterred from launching a military venture engulf ins their own peoples and many others in disaster." Eisenhower said that while aiming at the goal of realistic limitations of armaments and endurinc peace, the United States must "maintain powerful military forces because there is no present alternative—forces designed for deterrent and defensive purposes alone but able instantly to strike back with destructive power in respons to an attack." Letter Made Public for consideration by his committee. He s"id in an interview the House will get a chance to vote on it within a month, if he has his way. "It will be passed, too," Celler said. Other Hikes Planned In his message, Eisenhower also served notice he will ask shortly for a boost in postal and Civil Service worker pay, together with an increase in postal rates. "In eonsiderating human needs." he said, "the federal .government aoilke Renews Plea For Hawaii to dominate or intimidate free na- lions on their periphery. "Their steadily growing power includes an increasing strength in nuclear weapons. This power, combined with the proclaimed intentions of the Communist leaders to communize the world, is the threat confronting us today. "To protect our nations and our people from the catastrophe of a nuclear holocaust, free nations must maintain countervailing .military power to persuade the Communists of the futility of seeking their ends through aggression," No Surprises The Presidents' prepared 7,300- word message, carried nationwide on television and radio, contained The House approved Hawaiian ] ]10 real surprises Much of the leg- Statehood last year but the Senate, | is i a jive program he outlined for largely on the votes of its Demo- j the year ahead fl i re ady had been announced by the White House or WASHINGTON Lfl — President Eisenhower renewed today his plea j that Congress grant statehood to j Hawaii and delay similar action: affecting Alaska. bining both territories in one statehood bill. The measure died when the House Rules Committee disclosed by other sources. Much of 1' was a renewal of previous re- j quests not granted by Congress, refused t.o approve a Senate-House I Eisenhower held nut no hope for ta* cuts this year and repeated » wants postponement of excise and corporation tax reductions conference to seek compromise. : In the face of Democratic control-j , na . of the new Congress, the President in his State of the Nation address called again for statehood for nor determine a representative nnd bargaining agent firm's employees, it was announced today. The NLifB's Memphis office stilclfr —— that the election is to be held .Ian. j 2B between the hours ol 4 nnd 5| p.m. at the company's plant. Tin.- Memphis office slated the i NIjRB's decision and dilection was dated Dec. 30. Cope Union A spokesman lor the NLHB'.s office stated that the Teamsters, Chauffeurs, Warehousemen nnd Helpers Local 574 of Cape Girardeau, Mo., is the only union involved in the election. The election is to decide whether or not that union is to represent Central employees as bargaining agent, The NLRB said the company units involved are all production and maintenance employees exclusive of office clerical employees, guards, professional employees nnd supervisors. Satellites to Hear Ike MUNICH, Germany (/P) — RAtUo Free Europe will broadcast highlights of President Eisenhower's Stnte of the Union message toriny to five Iron Curtain countries — Czechoslovakia, Poland, Hungary. Romania and Bulgaria. Storm Kill* 24 MANILA M 1 )—A tropical storm in the southern Philippines left 24 dead and scores tnjvirecl, the Philippine News Service reported today. Most of the victims drowned in (outheru LoyU: bland. Officials View TraclePwblems WASHINGTON (.'Pi—Half a down Cabinet officers from the United States and Canada get together today in a one-day exploration of thorny questions of trade and tariffs. With Howe are Canadian Foreign Minister L. B. Pearson and Finance Minister 'Waller Harris. Their American counterparts at, today's meeting were Secretary of State Dulles, Secretary of Agriculture Benson and Secretary of the conference in an attempt to gain U. S. support for a reduction of import curbs under Gatt. Eden to Visit Asia LONDON (/Pt—Foreign Secretary Anthony Eden plans to visit n number of Asian cnpltals next month during his trip to BmiRkok for the Manila Pnct conference stnrting Feb. 23, the Foreign Office announced. Tito to Thailand BANGKOK (/P) — President Tito of Yugoslavia is expected to visit Thailand after he leaves Burma Jan. 17, Informed government ftourcoi report. jRoiny Weather Moves Toward Eastern States By THE ASSOCIATED TRESS The wet weather which has damp> ened most of the mid-continent t his week moved into wide areas ^ , n g wjde beU from the Texas coast northwestward to the lower Great Lakes, the Ohio Valley and the Appalachians. Freezing rain, slept or snow pelted sections of New York State and northern Pennsylvania. Only other precipitation was in tho interior arras of the Far West. Skies were cloudy or partly cloudy in other section of the country. Mild weather continued in the South and far north a.s the lower Ohio Vnlloy nnd control Appalnch- ins. Brownsville. Tex., was the warmest spot with 68. Tempera tures were above normal In most areas cast of the Mississippi Hlver but colder weather bended Into the Midwest' and Great Lakes region. Low mark early today wo* 11 below zero u Glasgow, Mont. , j mally Republican Hawaii without) [ normally Democratic Alaska. 1 said: ! r now scheduled for April 1. They total about three billion dollars its citizens in its direct employ. "On Jan. 11 I shall propose a pay adjustment plan for civilian employes outside the postal field service to correct inequities and j increase individual pay rates, and I shall also recommend voluntary i health insurance on a contributory ! basis for federal employees and Eisenhower yesterday made pub-: their dependents. lie a letter to Secretary of Defense "Also on Jan. 11 I shall recom- Wilson outlining a reduction in ! mend a modern pay plan, including armed force personnel from a pres-. pay increases, for postal field em- em strength of about 3'-i million ; pioyes. to about three million by next June. -'AS part of this program and, ....... with a "goal" of about 23, million i to carry forward our progress to-j^ the meantime, there « nojusti_- a year later—depending upon world j W ard elimination of the large a conditions. The Air Force, alone ; nual postal deficit, I shall rene- , , of the son-ices, would be increased i m y request for an increase in pos-1 ur ^ e approval of 'his measure. j duct i 0n of forces in certain cate- tal rates." " yearly and both Democratic and • Republican leaders have predicted ! Congress will vote a postponement. "As the complex problems of | The p res ident said he is hopeful Alaska are resolved, that territory I lhe re d UC U 0 ns can be made next should expect to achieve statehood, j yg ar •ess 10- j In the meantime, there is no justi- j He " cal]ed for emp basis on mod- -ce an- fication for deferring the admission ern air power in readying the na- renewl 10 statehood of Hawaii. I again [ tion for any attack, and for "re- by about 14,000. Some Democrats have protected that now is not the time to cut military manpower. Celler. who introduced the pay , ^ . hike measure at the opening of ; /\SIO H Eisenhower urged enactment of i the new House session yesterday,; ''Severn 1 important measures" of! said he will ask the Judiciary M fl JQF1 concern to the military, including: Committee to consider it within UM 1. Extension of the draft act, pro- the next few weeks. House leaders gories"—an obvious reference to the cuts planned in Army, Navy and Marine manpower. On the domestic front, there was a formal call for hiking the 75-cent minimum wage to 90 cents ;m hour. That would mean a pay MANILA (.#—Vice President Car- j raise for 1,300,000 workers now cov- vidin<* for two-year service. The don't want to delay action on the present law cxpfres next June 30. bill until next year, when all House los P. Garcia said last night the > ered by the minimum w.ize act members are up for election. 'Philippines would urge Manila W ho are earning between 75 and Follows Recommendations j Pact nations to establish an Asian | 90 cents an hour. j economic cooperation union to pro- ( go far as tne ^eneral adminis- Sepnrate legislation to_raise^the j mote regional trade. | [ration program iA concerned, the , ... , . ., .,, .,,._ , tt ^ ^.QU]^ a | SQ strengthen the re-' new aspect this year is that Ei.sen- 2. Measures, to be detailed to Congresson Jan. 13, designed to increase the attractiveness of military service as a career and check the falling rate of r-en!istmcnts. pay of postal workers and all other federal employes by perhaps 5 to 3. A ''Program 'o rebuild and i 10 per cent Is scheduled for early strengthen the civilian components j consideration by the House Post of our armed forces." This refers j Office and Civil Service Committo the reserve program. ! tee. Congress in the jinst has been; Celler 's bill follows in general cool to any form' of Universal j the recommendations of a special Military Training. I commission created by the last sistance of member nations against! hower must count even more heav- Communist aggression," said Oar-;ny on the Democrats—now In con- cia, who also is foreign secretary. He said the plan would include a currency system, similar to the European Payments Union, which would clear trade barriers arising from currency differences. U. S. Citizen Arrested, Being Held Incommunicado, In Panama Slaying PANAMA Ifl — Panama police held a 34-year-old U.S. citizen incommunicado today in connection with Sunday's slaying of President Jose Antonio Remon. They were questioning nt lenst 70 suspects in the gang-style murder. Police said they picked up Martin Irving Llpstein—tentatively described as a schoolteacher from New Xork—at the airport 'M hours after Remon and two other men were shot to death at Junn Franco race track. Authorities sold they had released another U.S. citizen, Roy Betlls, 30, » native of Wmikegnn, HI., who Is employed by the Canal Zone udmlnlstration but lives in Panama City. BcttU wiu ques- tioned nbout the activities of one of his truck drivers on the night of the murder. National guard headquarters said they had no information against BeUis. Arias, an arch political foe of Remon, was picked up at his plantation 300 miles west of here shortly after the slaying. Authorities later said the murder weapons were German-made Schmeisser machine guns of a type confiscated from Arias previously. Arias was ousted from the presidency In 1951 in a coup headed by the national guard force, then under Rcmon. Remon was elected president for a four-year term In 1M2. Polio were tight-lipped tbout Lipstein, but reliable sources said tests made of his clothing showed traces of gunpowder. Informants said police became suspicious because of his unkempt appearance and his excited reaction Monday when told he could not leave Panama because outgoing flights had been canceled. Authorities said they were trying to find out why Llpstein had sailed for Italy from Vera Cruz, Mexico, Deo. 17, then decided to disembark at Oualra, Venezuela, and come to Panama. Rellnble sources said Llpstein wns a native New Yorker, educated at the University of Southern California. They said he had taught school lo Los Angeles two years ago. trol of Congress—for a big measure of cooperation in getting it enacted. No Domestic Plcclfte Democratic leaders already have pledged cooperation in the forcisn policy and national defense fields, and the President noted today that See EISENHOWER on Page 5 Weather ARKANSAS — Partly cloudy Ihll afternoon, tonight and Friday. Colder with lowest 22-33 tonight. MISSOURI — Clearing southeast this afternoon and evening, elsewhere generally fair thl* afternoon; fair tonight and Friday; colder tonight; low tonight 20s; high Frt- dny 35-40 northwest to 40 southeast. Minimum thu morning—M. Maximum yflHterdfty—fifl. Sunrise tomorrow -7:OB. Sunr.H todny—.V04. Moon temperature— S7. Preclpltntlon Ia»t 24 houra to T i m. —truce. Precipitation Jan. 1 to lUtfr— M. TM« lute !,«t Ve»r Maximum yeaterday—S7. Minimum thtx morning—U. Precipitation January I to d»u — &(>&••.