davidaulloa/AmericanStories huggingface dataset:
Evening star., 1951-09-17
Senate Battle Looms
On Committees S Slash
OF Excess Profits Tax
BY the Assoeiated Press

The biggest Senate fight on the
big tax increase bill is likely to
swirl about the excess profits tax
which brought a bitter battle last
year.
The bill is due to come before
the Senate Wednesday or Thurs
day. The finance committee has
cut the House-passed $7.2 billion
measure down to level of about
$50 billion.
Almost half of the additional
revenue knitted out of the House
bill by the Senate committee came
from the excess profits levy. The
House voted to raise $790 million
of additional money from this
source annually; the Senate COM
mittee Slashed It to $3.50 million.
Predicts Move Beaten.
Chairman George of the COM
mittee told a reporter today he
expects strong fight to put the
House figure back in the bill A
veteran Republican on the COM
mittee said he looked for the same
thing but predicted it would be
beaten.
This source, asking not to be
named, said the committee version
of the measure probably would get
through the Senate with only
minor changes. He predicted that
most G. o. p Senators would sup
port it.
Senators Humphrey, Democrat,
OF Minnesota, and Douglas, Demo-
crat, Of Illinois, and Lehman,
Democrat-Liberal, of New York,
have drafted a series of amend
ments to restore most of the rev.
enue cut out of the House bill by
the Finance Committee.
The three argue that at least
81 billion of new taxes are needed
to balance the budget this fiscal
year. President Truman asked for
$40 billion.
Applied on IS Per Cent Base.
The excess profits tax is applied
on all earnings of a corporation
above IS per cent of it's average
earnings in the three best years of
the base period, 1916 through 1949.
The rate is 80 per cent applied on
top Of the present peak corpora
tion income tax rate of Al per cent.
The House bill proposed to pick
up most of its new excess profits
tax revenue by lowering this av-
erage earnings credit to rs per
cent from the present IS. In
other words, it would increase the
amount of income subject to the
excess profits levy.
The Senate Finance Committee
restored the IS per cent credit.
Its members argue that the levy
already strikes heavily enough
into normal earnings.
Senator Humphrey contends
that corporations can stand the
tax boost because their profits are
at an all-time record level.
Evening star., 1951-09-17

other cryptic observation about
ms political future when he was
talking about the little motor
carts that the postal service is
using. and said:
II ever I get retired from the
Presidency I'm going to get me
one of those machines to ride
around in"
The President paid only passing
attention to the pay matter as he
recalled that he has asked the
Congress to remove the ineouities
that have been allowed to Greer
into postal pay scales" He called
on Congress to straighten out that
situation.
He said. too, that he had asked
for all Government pay to be
raised. Mr.. Truman then dis.
cussed at some length the reor.
ganization Of the Post ONCE De.
partment that 1t now in progress
Saying that virtually every recon-
mendation Of the Hoover Commits
sion has been made effective OF
laid before Congress for approval
Reports Improved Efficiency.
Further. he continued, I'VE al.
ready have in effect a majority OF
the recommendations of the
Hoover Commission for the whole
Government"
The results have been an in
crease in efficiency and saving in
the taxpayers money, the Presi.
dent said.
Speaking at the Library of Con.
gress before the familiar shrine
Where the two famed documents
are seen annually by thousands
the President said:
In the Soviet Union the power
OF the state is above all rights. The
government does not have to obey
the law. AS result, the citizens OF
the Soviet Union enjoy none of
the freedoms which they are
Guaranteed by their constitution
They do not have freedom of
speech or freedom of the press
They may be arrested without
cause; their homes may be in
vaded without a search warrant:
they may be executed or exiled
without a fair trial and without
appeal.
THE Soviet citizens live in fear.
Their society is a jungle through
which the naked power Of the
government prowls like beast OF
prey, making all men afraid"
Mr.. Truman said the pieces of
parchment are more than historic
cal relics-"they are living force
in our life today" containing ideas
which will never perish.
Then Mr.. Truman gave a bare
knuckle description of tyranny
under Soviet rule which, he said.
is more violent" than anything in
history.
Evening star., 1951-09-17

Congress approved that plan and
it has been in effect for two years
and it is working fine.
The Hoover Commission also
recommended that the fiscal af-
fairs of the Post Office be reor-
ganized. And that has been done,
largely as a result of the Financial
Control Act of 1850, which gave
the Post Office Department, for
the first time, the authority to
establish and maintain it's own
accounting setup.
We have been making a lot of
IreorganiZations like this in other
departments of the Government,
too.
Deal of Misinf0rmation.'
There has been a great deal
of misinformation put out around
the country lately to the effect
that nothing much has been done
about the Hoover Commission s
recommendations for any part of
the Federal Government. Well
that is just poppycock. I've been
surprised to see that a lot of peo-
Iple have been taken in by it
Including some newspapers that
should have known better.
The job is not finished, OF
course. In fact, the job of making
the Federal Government more ef-
ficient will never be finished
There are other recommendations
of the Hoover Commission to con-
slider. I also have an advisory
commission of experts on admin
Iistrative management who are
constantly finding new ways to
improve the operations of the
Government. One of the mem
bers of that commission is the
deputy Postmaster General, Vim
cent Burke.
Evening star., 1951-09-17

other Government employees.
while back, I sent recommends.
tions to the Congress on this sub.
ject too, asking them to raise the
salaries of Government employees
including postal workers.
In addition, / asked the Con.
gress to remove the inequities they
have allowed to creep into postal
pay scales. This is something that
affects postmaSters as well as pos
tai employees I hope the Congress
will straighten out this situation
the way it ought to be done.
Fair rates and fair salaries are
the responsibility of the Congress
But there is something equally as
important which is the RESPONSE
bility Of you who work in the
postal service. That is the respon.
sibility of constantly using new
ideas and new techniques to in
crease the efficiency of postal op.
erations. And I want to tell YOU
that in this field / am proud o1
you.
Another way in which we are
improving the postal service is
through administrative reorgani-
zation. Ever since I have been
President, I have been working for
greater efficiency through the re-
Organization of Government de-
partments. The Commission on
Government Organization, headed
by former President Hoover
studied this field thoroughly, ano
made some very valuable recon-
mendations for improving the eff
cheney of the Government.
The first recommendation oi
the Hoover Commission was that
the Postmaster General should
continue to be a cabinet member
but should not be an. official OF
a political party. I had already
accomplished that, before the
commissions report was made
And I have kept in Office, as Post
master General, a career man
who came up from the ranks ir
the postal service, a fine public
servant, Jesse Donaldson.
Then the Hoover Commission
recommended that the top leve
of the Post Office Department bt
Ireorganized. And we've done that
too. I sent up to the Congress.
a reorganization plan to give th'
Postmaster General more author.
|ity over the department, alonf
with a Deputy Postmaster Gen.
eral and four Assistant Postmas'
tiers General to help him, and .
national advisory board to con
slider methods and policies for i'm
proving the postal service. Th'
Evening star., 1951-09-17
Red Trade Ban Still
Has Holes, Senate
Subcommittee Finds
By the Associated Pres.

World trade with Communis
China sis much better controlled
than a year ago" but strategic
materials are still getting through
to the Reds.
A Senate export controls sub.
committee reporting this Saio
some western nations "even al
this late date" have not cut of
the flow of war-useful goods tt
the communist regime despite it:
aggression in Korea.
Some goods also are reaching
the Reds through loopholes ir
and evasion of export controls
and through smuggling - with
some of the smuggling from Unit
ed States controlled territory in
the Far East - the committees
I66-page report issued last night
said.
u. S. Embargo Seen Satisfactory
The report was based in part
on an on-the spot probe in the
Pacific by a staff investigator.
1t said administration of the
total embargo on Communist
China by the United States last
December appeared to be Satisfac-
tory, but it added:
I'm the absence of similar action
by other Western countries, its ef-
feet on the Chinese war potential
are probably short lived and in
conclusive.
The subcommittee called for
new and far-reaching efforts" by
American authorities to halt what
it described as the smuggling of
indiSputedly highly strategic ma
terials from United States con-
trolled areas in the Pacific.
1t cited instances of motorized
junks smuggling oil, heavy-duty
truck tires, scrap aircraft alumni
mum. scrap lead and other mate
rials from the Ryukyus Islands.
Among the Ryukyus is Okinawa
where the United States has large
military installations.
Procurement Believed Illegal.
The reports said some of the
truck tires and oil drums in inter-
cepted junks were marked ~. s.
military"
Most of the stores from the
Ryukyus have undoubtedly been
stolen or procured illegally, pos
sibly even with the assistance of
United States personnel, from the
enormous military stores in the
Ryukyus area" the subcommittee
said.
Senator O'Conor, Democrat, of
Maryland, the subcommittee
chairman, said in a statement
accompanying the report that the
export controls of many nations
still are so inadequate and SO
poorly administered that they
"jeopardize western security in
terests."
Evening star., 1951-09-17
IA Die in Mexico City
AS Fireworks Set Off
Flash Fire in Cabaret
BY the Associoied Press

MEXICO CITY, Sept. IT,
Fourteen persons were burned
fatally or trampled to death when
flames. touched off by fireworks,
flashed through the crowded Can
Can" cabaret yesterday. The VIC
Tins included one United States
business man.
Ten of the dead were women
mostly hoStesSes. The American
was identified as Read E. Good
ridge, 81. dealer in rare books.
A total of 80 persons were in
iured in the disaster, 26 of them
seriously. About a thousand per-
sons jammed the place when the
fire broke out.
The noisy, dark cabaret was
crowded with Mexicans celebrating
their independence day when a
f1recracker set fire to the strips
of red. white and green paper
Mexico's national ~colors. Earlier
reports had said the blaze was
set by an exploding skyrocket.
Police Version of Tragedy.
Police gave this version of the
disaster:
During the night group of men
at one table had been amusing
themselves tossing lighted fire.
crackers at the feet of the dan
GERS. Sparks from one firecracker
touched of the paper decorations
and flames shot up the left wall
Iof the long, narrow room.
There was rush for the door,
which was less than 8 feet wide.
In front of it was a solid screen
so passersby could not look into
the cabaret. The crowd piled up
against this. A screaming mass
of men and women fought and
clawed to get out.
Some fell and we're trampled.
Others perished in the flames.
One man. his clothing ablaze,
fought his way out and ran three
blocks 'before he dropped dead.
A few patrons ran for the win
dows, but police said these were
covered by heavy iron bars and
heavy wire netting.
The burning paper set fire to
the walls and flames shot through
the ceiling.
Only Walls Left Standing.
Before firemen could put out
the blaze the building was gutted,
with only the walls left standing
Inside the charred ruins the
bodies Of six women and one man
lay in front Of the bar. The bar
tender lay dead behind it. The
bodies of others lay about the
door.
The flames roared UP and out
so quickly the table clothes were
not burned.
Mr., Goodridge. the only Ameri-
can among the identified dead,
came to Mexico Is years ago. A
native OF Baltimore, he had later
been an insurance statistician in
New York. His wife Helen and
three children were at their coun-
try home in Ajiji. $50 miles west
of Mexico City, when the fire oc-
CURED.
Mr.. Goodridge bought up rare
books here and sold them to
United States dealers.
Evening star., 1951-09-17
Iran
Continued From First Page.)

Continued From First Page)
even send the ultimatum to the
British government, but simply in
form the British technicians in
Abadan that their residence per-
mits were being revoked and they
must leave within two weeks.
British sources here said the
technicians, in that case. would
have little alternative except to
leave.
10000 to Go Of Payroll.
The Anglo-Iranian Oil Co. an
nounced at Abadan that it is
cutting 10000 Iranian employees
off the pay roll at the end of this
month. This will leave a staff
of about 1000 in the huge refinery
center, to handle property MAIN
tenance, public utilities and the
medical department. The COM
pany estimated it would save
about $500, 900 ($1 400, ,000) month
ly by this action.
Deputy Premier Hossein Fatemi
told newsmen that a security
commission had investigated re-
ports that a coup d'etat was
planned against the Mossadegh
government today and found no
basis for such reports.
The premier, under fire from a
small but powerful opposition
group since the oil talks with the
British collapsed. had asked the
commission, made up of Trans Sc
curity chieftains, to investigate
the reports.
Fatemi said DR.. Mossedegh con-
ferred for two hours with Shah
Mohammed Reza Pahlevi after
getting Mr.. Harriman's reply. A
special cabinet meeting was called
for tonight to discuss the reply.
Setback for Mossadegh.
The refusal of Mr.. Hartman to
become embroiled in the bitter
British -Iranian dispute is a fur
ther setback for the nationalistic
premier.
He is now put in the position
Of pushing ahead with his threat
to expel the Britons from Abadan
since the British Foreign Office
already has said it would refuse
to negotiate under the pressure of
an ultimatum.
1t is known the British Embassy
in Washington has been urging
Mr.. Hartman not to be a party
to the MosSadegh ultimatum.
Although Mr.. Hartman gave
indirect support to British settle
ment proposals before the talks
broke down in August. he tried to
stay neutral and offered to help
in the future if he thought there
was any chance of an agreement.
Evening star., 1951-09-17
New MaIayan Party Seeks
independence in I Years
BY the Asseeiussd Press

KUALA LUMPUR, Malaga, Sept.
17.-Independence for Malaga in
seven years is the goal Of a new
independence party formed here
yesterday.
Dato Onn Bin Jaafar, veteran
Malay leader who called a con-
vention of Malays, Chinese. In
dians ard Eurasians, said the
question of whether the Malay
states would stay in the British
Commonwealth, depends on de-
velopments.
Malaga is a federation Of nine
states, each with a native ruler.
and two British settlements. Power
is delegated to a British high
commissioner.
Oun expressed hope that Singa-
pore, a separate British colony.
would be included in the inde-
pendent country.
Evening star., 1951-09-17

partial tert OF President
Tru1ndn's address to the Ma
tiondl Association OF PoStmast-
ers this morning tollot0S:
am very glad to welcome you
to Washington.
to Washington. :.
There are some people, ! sup
pose, who would call this just a
meeting of bureaucrats. Well, if
you are bureaucrats, I am a
bureaucrat, too, and proud of it.
1t seems to be open season, these
days, on Government employees.
There are lot of people who are
trying to make political capital by
slurring the loyalty and efficiency
of Government employees, and try
ing to bring the public service into
disrepute.
/ think that is a contemplate
way to try to get votes.
We have the greatest Govern
ment in the world. and the most
loyal and efficient Government
servants. I am proud to be part
of it, l think you are proud to be
part of it, too.
Sees Service as an Honor.
1t is time we made it perfectly
plain that we feel it is an honor
to work for our fellow citizens
through the public service.
The postal service is one of the
key activities of the Federal Gov
ernment. 1t employs over half a
million people, one-fourth of all
the civilian employees of the whole
Government. 1t is one of the big
geSt businesses in the country. And
without it the rest of the. country
would not be able to do business
at all. Without the postal service
all our activities would come to
standStill-business, the national
defense, family life, everything. +.
Right now, the postal service is
being run at a deficit of more
than 500 million dollars a year.
The biggest part of the deficit is
caused by the low rates on second
and third-class mail-that Is
newspapers, magazines, and ad-
vertising matter. First letter
mail pays its own way. But the
publishers and advertisers who
use second and third class mail
to reach the public are not pay
ing fully for the services they
get.
To put it bluntly. the taxpayers
OF the country are Subsidizing
these business interests to the
Evening star., 1951-09-17
Air Force Weuthermen
To Have Career system

A career plan for Air Force
meteorologists was announced to-
day by Brig. Gen. w. o. Senter,
Chief of the Air Weather Service
at Andrews Air Force base.
Under the plan. reclassification
of weather officers will begin Oc-
tober /. The officers will have the
opportunity to qualify for promo
tions up to colonel after classifica-
ton into four special categories.
These include weather officer,
aerial reconnaissance weather Of
ficer, staff weather officer and ad-
vanced weather officer.
Evening star., 1951-09-17
Traffic Crosh Kills Three

ASHEBORO. N. c.. Sept. II (P)
"A head-on crash of two automo-
biles brought fatal injuries tc
three persons near here yesterday
The dead were identified as Mrs
Mary Edwards. 81. of Aberdeen;
Mrs. Marie Locklear, 25. anc
Joseph Livina. 81, both of Michi.
gan.
Evening star., 1951-09-17

tune of several hundred millioI
dollars a year. That is not right
and 1 have asked the Congress
to raise these rates. The Con
gress has been considering thi
matter very diligently, and I hop'
that they will soon pass legisla'
ton to raise these second anS
third-class rates substantially.
Opposition Is Cited.
| However, there is lot Of op'
position to raising these rates, anc
l am sorry to say that most of il
comes from the magazine pub.
fishers who are getting the benefit
of millions of dollars of the tax.
payers money each year. I an
glad to say that a large number
Iof newspaper publishers know thil
lis not right and are entirely will
ing to pay their own way.
There is some justification fol
using public money to subsidize
the mailing of certain publications
such as the small weekly pa.
pers in rural areasA But I see nc
excuse whatever for subsidizing
huge publishing concerns which
make millions of dollars in profits
every year.
And yet some of these concerns
have come down here and lobbieo
the members of Congress from
breakfast to bedtime, trying tc
prevent them from raising second
class postal rates. Some of the
biggest magazine publishers in the
country are fighting tooth ano
toenal to keep their juicy sub
sides.
And at the very same time
those magazine publishers are
writing editorials and printing ar
tlcles complaining about high
taxes and Government deficits
They are strongly against sub.
sldies-for everybody but them
selves. Here they are. costing thu
taxpayers millions of dollars every
year, and they have the nerve tc
complain about the high cost oi
Government. The next time any
OF you see an article or editoria
IN one of those magazines attack.
ing Government subsidies, I just
wish you would write them a DO.
lite little letter asking when they
VIII be ready to pay the fun cost
Io1 sending their own publication.
through the mail.
In addition to fair rates foj
postal service. I believe in fai,
salaries for postal workers anc
Evening star., 1951-09-17
Trunun
Continued From First Page.

claring that the subsidy" for thi.
class Of material approximate.
$500 million a year, the President
recalled that Congress is now al
work on rate boost and that hi
hopes that it will soon be enacted
However" he continued, "there
is a lot of opposition to raising
these rates, and I am sorry to say
that most of this comes from the
magazine publishers who are get.
ting the benefit of millions O.
dollars of the taxpayers money
each year. I am glad to say that
large number of newspaper
publishers know this is not right
and are entirely willing to pay
their own way"
Departs. From Text.
Constitution Hail was crowded
for the Presidents speech and hi
was applauded often.
He departed from text on sew
Ieral occasions and in lambastine
the magazine publishers he addec
a new phrase.
Describing them as slick maga-
zine publishers" the President
said he was using that word two
ways. Mr.. Truman also took 8
slap at the present movement tc
raise first-class man rates from
three to four cents an ounce, en-
Iphasizing that while the first-class
or letter mail pays its way, "the
lobbyists are trying to raise the
rates on it."
The Senate already has an.
proved the rate boost which is due
for action by the Hous- this week,
The President told the applaud
ing postmasters that anytime
there is any efficiency or economy
in the Government, the President
is responsible for it.
He also permitted himself an
Evening star., 1951-09-17
lSl Pigeons Missing
After Race in Texas
By the Associoted Press

DALLAS Sept. 17.-Lost: 181
racing pigeons.
Finders: Please notify the Fair
way Pigeon Racing Club of Dallas
The club raced 1856 pigeons 90
miles from Waco to Dallas yester-
day.
Five birds made it. The other
181, which should have arrived
by noon, hadn't shown up last
night.
If their pigeons come home, the
club owners hope to race them
from Austin to Dallas next Sun.
day.