Historical Newspapers of South Carolina

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THE NEWBERRY SUN, NEWBERRY, S. C. WEEKLY NEWS ANALYSIS Bethlehem Steel Signs With Union; Confusion Shrouds Defense Policy; Industry Profits Reflect Up-Trend (EDITOR’S NOTE: When opinions are expressed In these eolnmns, they are those of Western Newspaper Union’s news analysts and not necessarily of this newspaper.) Tax Violations P RESIDENT TRUMAN’S warn ing that there must be a tax increase recalls the fact that bur eau of internal revenue experts estimate they could collect close to a billion dollars more annually without increasing taxes—if they had better income-tax enforce ment. Two years ago the 80th congress chopped off a huge army of in come-tax examiners, a group of hard-working, underpaid public servants who have the unpleasant but necessary job of checking on people’s income taxes. While part of this cut personnel has been rein stated, the tax examiners are still woefully understaffed and able to inspect only a fraction of the re turns. On top of this has developed another tax-payment deterrent— namely, delays and wire-pulling in the prosecution of tax frauds. When the average taxpayer sees certain big shots getting away with spectacular tax vi olations, naturally he figures he Is entitled to do the same. This Is not the fault of the treasury tax examiners nor the prosecution officers of the justice department, most of whom are diligent public serv ants. But when tax frauds are sent to U. S. district attorneys for criminal prosecution, interminable delays sometimes develop. Some district attorneys just do not want to prose cute. Sometimes local politics are involved, and since U. S. district attorneys are appointed under a political spoils system on the recommendation of local senators and congressmen, they are some times more inclined to take orders from congressmen rather thay from the justice department. • • • Delayed Cases But whatever the reasons, here are some tax-fraud cases which have been delayed or sidetracked between the justice department and the district attorneys in the field. In some cases no politics may be involved; but in any case the effect on the rest of the tax- paying public is bad. Just outside Washington, D. C., the T-men found that the sheriff of Prince Georges county, Md., Earl Sheriff, had collected abont $49,000 from gamblers during four years though he reported a total In come of only $8,400. But when the justice department sent this case to V. 8. Attorney Bernard Flynn in Baltimore, he sent It back with advice that It waa a difficult case. Again out in Kansas City, Kans as, the T-men caught an eminent doctor, Herbert Hessler, failing to report as income 1,000 fees re ceived from patients during three years. The justice department sent the case to U. S. Attorney Lester Luther in Topeka for criminal prosecution, but Luther wrote back that he did not want to prosecute, because Dr. Hessler was too promi nent in the community. The justice department instructed him to pro ceed anyway, however. • • . Patenotres Indicted Another significant case, report ed in this column as early as 1943, was that of Mrs. Eleanor patenotre and her son over concealed profits made from the sale of the Phila delphia Inquirer, whereby the Pa tenotres paid a tax of only $1,567 in 1930 when they should have paid around $200,000. Thanks to the dili gence of one or two treasury agents and a series of exposes by this column, the Patenotres were finally indicted in August 1948. However, the significant fact is that the justice department had all Its information available in 1945, and that Raymond Patenotre was in this country from 1945 on. Yet thanks to Patenotre’■ ability to hire one of the shrewdest tax at torneys in Washington. Ellsworth Alvord, no indictment was brought until 1948. Meanwhile there wer« libel threats against this column. Even after the indictment, however, another year dragged by, with mneh legal haggling over a compr-mise. Finally It was arranged that Madame Patenotre weald plead guilty and pay a two mil lion dollar cash settlement If she didn’t have to go to jafi. Most folks, of course, can’t af ford top lawyers or such big cash settlements. so* Wes! Virginia Gambler Another interesting tax-fraud esse was that of Bill Lias, well- known Wheeling, W. Va., gambler who originally pleaded guilty to cheating the government out of nearly a million dollars. At the subsequent trial, 0. S. attorney Lee Spillers not only bungled the case, but was put in an extremely bad light when it was disclosed that he had ones received a large political oontrlbu tion from Lias. o o o BIG STEEL: The Break Comes The break had come in the stqpl strike. The United Steelworkers had signed an agreement with the Bethlehem steel corporation end ing the strike for that company’s 80,000 workers and breaking the otherwise solid front that had been maintained by big steel in the strike issue. IT WAS A TRIUMPH for CIO's President Philip Murray who an nounced that the agreement called for Bethlehem to pay the full cost of minimum $100-a-month pensions for all employees 65 or over with 25 years of service. A social insur ance plan also was included in the agreement. Bethlehem, the industry’s second largest producer, was the first unit of big steel to capitulate to union demands for a company-financed pension and welfare plan. No one could say just how much the pension program would cost the steel company per hour for each employee once it begins operating. It was expected the pension plan would start to function in January and the social insurance program would get underway at about the same time. Murray told newsmen that a "very conservative” estimate of the pension cost to the company would be about 10 cents an hour, but added actuarial studies would have to be made before the cost could be determined definitely. THE CIO LEADER said the Bethlehem action would set a pat tern for the steel industry, but de clined to say what companies he was talking to privately. ’’Big Steel,” speaking through U.S. Steel corporation President Benjamin F. Fairless said: "We renew our earlier proposals to sit down with the steelworkers union in an endeavor to negotiate a mutually satisfactory program ... of course we will study the Bethlehem settlement.” The question was: How long would the remainder of "big steel” hold out? The Bethlehem pact was a forceful argument for the unions for, they could arg^e, if Bethlehem can do it, so can you. STETTINIUS: Was Hard Worker With the death ot Edward R. Stettinius, another major figure of the Roosevelt era pased from the American scene. The former secre tary of state died of a heart attack at the age of 49. STETTINIUS’ contributions to his government were many and val uable. A rich man’s son, he scorned a life of leisure and, instead, de termined to make his own way, which he did rather well. He was chairman of the U.S. steel corpora tion at the age of 37. At 44, he was U.S. secretary of state, the top cabinet post He was lend-lease ad ministrator, taking over that post in 1941, a job in which he directed the 60-billion-dollar flow of sup plies that played a major role in defeat of the axis powers. Youngest secretary of state since the administration of George Wash ington, Stettinius held the post only 11 months. He resigned to become the first U.S. delegate to the United Nations genera) assembly. He was one of Roosevelt’s advisers at the Yalta conference with Winston Churchill and Joseph Stalin. ALBANIA: New 'Strong Man' The Communists were beginning to throw their weight around in Albania. A new Communist "strong man,” Lt. Gen. Mehmet Shehu, Moscow-trained army chief of staff, was reported gradually taking over control from Premier Hoxha. ACCORDING to reports reaching western diplomats, Shehu appears to be the actual ruler of the coun try. Hoxha, Albanian leader tor five years, was reported to have been shoved into the background although he retains the title of premier. The "strong man’” Is only 36 and he not only is the boss of the army, but also chief of the secret police, interior minister and vice-premier. He is described as the most ruth less Communist in Albania. He gained considerable fame in Alban ia during the war by leading the first Albanian partisan division in many deadly raids against Ger mans and Italians. NICKEL CUT: Howl of Protest The Eatonton, Ga.. city council recently devaluated the nickel and right away got a taste of the trouble Britain is having with the pound sterling. The value of the nickel went down when the council raised the price of soft drinks by levying a penny tax. The bottling business immediately went to pot. Some stores quit selling soda pop al together to escape the customer Ire. Slowing Down Indicative of the general slow down in industry and field af fected by it as a result of the coal strike is this photo of a store of the Westland mine of the Pittsburgh coal company. Because sales dropped so much with miners out of work, the store cut its operating hours from 9 each day to 4. DEFENSE: Some Confusion It was difficult to reconcile Mr. Truman’s constant emphasis on the grave defense problem, that he said confronts the nation, with his slash ing of the air force budget which limited the groups to 58, and the more recent decision of the navy to cut 31 warships from the active fleet. THESE ACTIONS served only to intensify the average citizen’s con fusion and puzzlement as to what actually is the status of the coun try’s defense needs. The navy’s top admiral had been ousted because he contended pres ent defense policies would destroy navy value and effectiveness. Other navy officials were facing probable punishment for speaking out. Uni fication and harmony were urged on all sides as a desperate need if this nation is to protect itself in the world of today. Despite all that, the air force was to be less than its generals de clared it should be and the navy was being deprived of much of its strength. This left still hanging the question of who was right in the row over armed service unification and the proper defense setup. THE NAVY was taking 77 ships out of active service—cutting the operating fleet by 31 warships in line with fund reductions. The fleet by mid-1950 will be made up of 237 combat vessels, instead of the 268 it had on September 1. Most of the cut was to be in the Atlantic force. It was also reported that 54,891 men will be whittled from the navy and marine corps by next July to correspond with the reduction in ships. INDUSTRY: Profits Climb The first upward trend in U.S. industry profits since the peak of earnings was reached in the third quarter of 1948 was reported in New York. Profits turned around and headed upward in the third quarter of 1949, the report said, and pointed out that 1948«was a banner year that sur passed even the fabulous 1929. Thus it appeared that industry earnings were at a record peak. BUT THE PICTURE was not quite as bright as it may have ap peared. Washington had a different report. Commerce Secretary Saw yer reported that the coal and steel strikes had increased the number of jobless by 225,000 in the week ending October 8, as compared with early September. It was quite pos sible that the strike effect had not been felt strongly enough as yet to influence the roseate report con cerning earnings in industry. The future was uncertain. As strikes continued, so would purchas ing power dwindle, and with that fall-off would come an inevitable decline in industry earnings. HE EMPHASIZED that the fig ures released do not show the full effects of the strikes because they were compiled while the walkouts were in their early stages. As for industry profit, a compila tion by the Associated Press showed net profits of 314 companies amounted to one billion, three mil- ion, 644,061 dollars in the third quar ter of this year—an increase of 4.3 per cent over earnings of 962 million, 102,819 dollars in the sec ond quarter of 1949. Bethlehem Appeal Protestant churches during the Christmas holiday season will seek funds to provide clothing, education, recreation and spiritual leadership for refugees in the Near East. Church World Service, Inc., over seas relief agency for 23 Protestant and Orthodox denominations, said m special Bethlehem Appeal com mittee would seek gifts to aid refu gees stranded in Bethlehem and other Near East areas. RELIGION: New Concept Urged When man finds himself unable to cope with the myraid problems that beset him, when there seems to be no avenue toward solution within himself, he is wont to turn to the concept of Divine aid for the help he needs. AS THIS IS TRUE of most in dividuals, it is essentially true of this nation, as evidenced by the motto on its coins, the frequent allusions to the Divinity in its con stitution and laws. But, it seemed, a new concept, a new dedication to religion was needed. President Harry Truman himself went on the air to empha size that i,£3d. His broadcast was part of the program, "Religion in American Life,” sponsored by the Federal Council of Churches, the Synagogue Council of America, and 18 other religious bodies. The President urged every Amer ican to take an active part in the religious life of his community and give generous support to religious institutions. Turning to the perplexed world situation of today, he declared that every problem in the world could be solved "if men would live by the principles of the ancient prophets and the Sermon on The Mount." BUT. he added, that religion is like freedom—"we cannot take it for granted." "Man to be free,” the President said, "must work at it. And man— to be truly religious—must work at that, too. Unless men live by their faith and practice their faith in their daily lives, religion cannot be a living force in the world today." BARKLEY: He Made It He said he had no way of know ing whether he’d “make the grade,” but he made it. On Halloween eve, Vice-President Alben W. Barkley’s plans to marry his Missouri sweet heart, Mrs. Carleton Hadley, were announced. With the wedding would culminate a romance that had the entire nation looking on with eager and excited interest. THE VICE-PRESIDENT is 71 and a widower. Mrs. Hadley is 38 and a widow. Mr. Barkley’s age, how ever, was no apparent obstacle to his courtship, just as it hasn’t been to his political and governmental accomplishments. An ardent and active suitor, he squired Mrs. Had ley to numerous social affairs, al most commuted to Missouri from Washington as the courtship pro gressed. Mrs. Estell Rucker, mother of Mrs. Hadley, was all smiles when she was told of the proposed nup tials. "I’ve been sitting on a volca no,” she said. "It suddenly blew up. All this excitement!” The Hadley-Barkley romance be gan last spring at Washington when the two met at a party in her honor by Clark Gifford, presidential ad viser. PRESIDENT TRUMAN was duly notified of the event and, it was said, would be present at the wed ding. GYPSIES: Free as Ever In Belfast, Ireland, there was sounded a new and lighter note in the dismal refrain of world con fusion. Gypsies, with freedom of move ment since time immemorial, were supported by the minister of home affairs when efforts were made to crack down on them and other itinerants in northern Ireland. THE MINISTER of home affairs took the view that proposed legisla tion was “rather too drastic to 1 meet a situation which is more of an annoyance to individuals than a threat to community well-being. One complaint, issued to bolster the proposed legislation,- was that the gypsies tramped down crops. Missing Stuart Benson, 72, interna tionally known sculptor, was re ported missing when the Polish liner “Sobieski,” on which he was a passenger, docked in New York. The ship’s master said the ship was searched for 24 hours but no trace of Benson was found. ASIA: How Much? Top policy makers in the U. S. government were beginning to talk about a "little Marshall plan” for Asia, hoping that congress will ap propriate approximately a billion dollars to “start off’ the program designed to stop the spread ot communism in Asiatic countries. The news was in line with an nouncement of a meeting early next year to set up a non-Communist union of southeast Aslan countries. PARDON THE INTRUSION ... In the second quarter of a game between the Chicago Bears‘and the New York Giants at the Polo Grounds, Wally Dreyer of the Giants leaps In the air to snag a pass behind the goal line, but New York’s Noah Mullins knocks the ball down. The Giants scored an upset and won, 35-28. It was one of the hardest fought games in the 25-year rivalry of the two teams. i FIRST WOMAN FEDERAL DISTRICT JUDGE . . . Mrs. Burnita Shelton Matthews, Washington, D. C„ who was nominated by President Truman as the nation’s first woman federal district judge, leaves the capital’s George Washington hospital with her brother, Edwin Shelton, a Washington attorney. Mrs. Matthews was a patient at the hospital, under treatment for a broken wrist. AIRBORN. ... Mrs. James Parker, who is the wife of an air force sergeant, gave birth to a four and one-half pound baby boy aboard an airliner 20,000 feet above the Atlantic ocean. Here, she rests in Shan non, Ireland, and poses with her son in the Clare county hospital. A doctor, who was a passenger on the plane, delivered the baby with the help of a stewardess. THE PRINCESS AND "ONE-EYED BERT” . . . Princesses Elisabeth and Margaret set a new style la hat fashions when they appeared in public wearing hats on the side of their heads. The hats have been dubbed the "One-Eyed Bert.” Above, Princess Elisabeth (left) favors • floppy hat, while Queen Elisabeth wears an upswept model topped by a feather. They attended a concert at London’s royal coBego of music, and came in for lots of attention. RAISING CAIN . . . Sen. Harry P. Cain (R., Wash.) is colonel in I army reserve and a qualified glider pilot. He jumped with 82nd airborne division at Bastogne. He prepared for a tour of duty at Ft. Bragg, N. C. as congress ad journed. ADMONITION . . . Gen. Dwight D. Eisenhower tells nation that army, navy and air force most act to make unification work. He says it is absolutely false to say there is no unity among the mili tary. ASSURANCE ... Air force chief of staff. General Hoyt S. Vanden- berg, testifies that America’s stra- | tegic air command is prepared i and capable of attacking an ene- ! my with atomic bombs. He ap peared before house armed serv ices committee. DEJECTION? . . . James (Luke) Sewell has been chosen to manage the Ciuclnnati Reds during 1950 and 1951. The Reds finished the 1949 season in seventh place in thp National league. Sewell re places Bucky Walters. BEJEWELED ... New Turk model Madeline Tyler wears new- est diamond fashions in "Dia monds U. S.A.” shew in New York. Jewels include round dia mond necklace and 108-carat twin Indore pearshapes. CLASSIFIED DEPARTMENT BUILDING MATERIALS StfOO.OO Builds 4 Rm. a B»th, Concrete Block Home. Instruction* & Blueprints $3.00. Money Back Guarantee. L. M. Ferrew, Bos «4». Celembes IS, Okie, DOGS, CATS, PETS, ETC. REGISTERED bell terrier puppies for sale. Out of Ch. blood lines, double bred to Int. Ch. Raydrum Brigadier. Males, $50.00; females. $35.00. Jack R. Coleman. Ja-Nan-Do Farm, 10$ Woodland Dr., Tho»n»»ville, FARMS AND RANCHES FOR SALE: Improved farm* and acre age. North central Florida. GENE LESLIE. RealUr Madison, Fla. Phone #*7TO NEAR Odell, seven miles from Concox# sixty-three acres for sale or rent. Mrs. Agnes Barn hard!, Deleo, N.C. INSTRUCTION . LEARN AIR CONDITIONING AND REFRIGERATION BY BOMB STUDY In your spare time and prepare : to earn top money. **A.C.R.I./ # one os America's leading Trade Schools offers a home study course, with 4 weeks later Practical Shop Training in Baltimore. Write today lor Free Booklet, ACRI* 11» North Paea Street, Baltlmere 1, M4. MACHINERY * 8PPP14ES CHAIN SAWS, gasoline engine Made by original manufacturers able chain saws; 4 HP; 30* 2 Bur 20* 1 man type; guaranteed . While they last $197.50 FOB N. Circular available. Pneamatie Co. 14-t0 S3rd Awe., Leag T ' ' FURNITURE aff. fores saw, rip saw, band saw, bender, polishing mch.. „ m. sander, furniture press, paint I ment. Write Warerly Hall M information. Phone SMI Wa Ga. MISCELLANEOUS FIREWORKS—Save half: box. Chinese Firecrackers, . Write for free list. ALLEN COMPANY. Wlnny Bldg., Rlagge klEN-Women: Use Scripture vers# J S aper. 10 sample sheets. 10c; 60 i 5c. Free paper offer with sao 610-D Hogan. Jacksonville $, 100 CIRCULAR Letters $1.00. Mimeographiug INK, $1.00 per cils $1.20 per dozen. AXEL, 1 7th. St.. LOS ANGELES 0. THE to a woman's p» without nails to hang pictures, lust stick them on the wall. Trf 25 cents or 15 for $1. Agent, Coral Gables, Fla. y N KR VOUS-Sleopless-Rna-Down —No Appetite. These Symptoms Vitamin Deficiencies. "VITA-TEN' answer. A concentrated tablet of 10 J mins, 7 minerals, at $2.50 per 100 ered to your home upon receipt ment or C.O.D. pay your money refunded if not postman. satisfied, ti welcomed. Detroit Vitamin Distrlh. Co., $442 Clairmonnt, Detroit, Michlgn FISH Worms (Red) 300—$1.29 Dealers wanted. Groves Howell, Sneads, Fin. TRADE year neckties—Mall us six are tired of. We will mail you sa ber of beautifully cleaned ties from others. Pay postman $1.00, < C.O.D. Charge when delivered. Vis change. Box 115, Jonoovillo, N.u. MUSICAL INSTRUMENTS YOUR CHILDREN N««d to loam to play soma musical instru ment to help them make a success of life. Write lor our list of bargains.. [ mentioning what kind of instru ment you need and you will save money. Terms easy. Used pianos as low as $95. and new Spinet pianos. $49a. e C.E. FORBES a SONS PIANO CO„ INC. Birmingham. Ale. Breaches: Aaelatea. Deeatar, Gate- ] den, Florence and Montgomery. POULTRY, CHICKS * EQUIPo FAMILY lllncM forces sale of astablllhad hatchery on Gulf Coast. Year 'round out let for chicks. Also poultry and egg busi ness. Write P.O. Box Ml. Spring Ala. REAL ESTATE—BUS. PROP. SITUATED 17 miles north of Pascagoula at Cumbest Bluff, Pascagoula, on Pasca goula River. 4-room house. 10-room housa and one block building 20 by 30 feet stors and cafe. 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