davidaulloa/AmericanStories huggingface dataset:
Evening star., 1954-10-20
Mayor in Bribe Case
Stripped Of Powers
BY the Assoeiosed Press

ERIE, Pa, Oct. 20.-Thomas
| w. Flatley, charged with accept
ing bribes from a gambling syn
dicate which netted $40 million
a year, today is Mayor in name
only of this port community of
10000.
The City Council, made up OF
Democrats, stripped the Demo-
cratic Mayor of all his powers
yesterday. Pending final dis
position of the charges, Mr..
Flatley will continue on the city
payroll, however. City Finance
Director George Braebender was
named acting Mayor.
District Attorney Damian Nc
Laughlin. a Republican. said Mr..
Flatley,o who already is charged
with accepting bribes, will have
nine more charges filed against
him. lis
He said Mr.. Flatley also will
face two counts of conspiracy,
six more counts of accepting
bribes and the charge he vio-
lated his oath of Office.
The Mayor was arrested Sat-
urday along with 43 other men,
including two policemen.
Evening star., 1954-10-20
Mass Unemployment
Threatens, Clio Warns
Bv the Associated Press

The CIO issued a call for its
convention to open in Los
Angeles December 6, expressed
concern for "the specter of mass
unemployment" and pledged it
self to fight 'for sound eco
nomic policy"
A statement signed by CIO
President Walter Reuther,
Executive Vice President John
v. Rife and Secretary Treasurer
James B. Carey said:
Advocates of an outdated. ILL
founded economic philosophy
have created q climate wherein
the specter Of mass unemploy-
ment once again threatens the
welfare of the Nation. Millions
of our fellow workers are job
less; millions of others have suf-
fered reduced incomes.
"Our economy is in a state of
stagnation, with the farmers, the
small businessman and the
white collar worker equally the
victim of governmental industrial
practices which endanger the
welfare of the many in order to
preserve the profits of a few"
The CIO Executive Board an
nounced that it will meet in Los
Angeles November 30-December
l. Pre-convention committee
meetings will be held Decem-
ber 2,
Evening star., 1954-10-20

Treasurer Foster Furcolo. an
alumnus of the vigorous young
House group now so widely
represented in the Senate. 1t
includes Senators Monroney
of Oklahoma, Fulbright OF
Arkansas. Mansfield of Mon
tana. Jackson of Washington,
Gore and Kefauver of Ten
nessee and Lyndon johnson OF
Texas. Senator johnson is al
ready Senate minority leader.
In trying to join them, Mr..
Furcolo did some pioneering.
He is not from Boston, core
of Democratic strength. but
from Springfield. He is Yale,
not Harvard. His would be the
first Italian name in the Sem
ate spot, though he is part
Irish, too.
Another hazard was of his
own making. Having enjoyed
the support of the liberal
Americans for Democratic Ac-
ton, he stunned them recently
by suggesting to their faces
that they disband. They al
ready thought him less than
fortnight on the Mccarthy
issue.
Last week, a lot Of Demo-
cratic family beans were
spilled.
The popular junior Senator,
John Kennedy, and Mr.. Fur
colo quarreled prior to a tele-
cast over Mr.. Furcolo's in
Evening star., 1954-10-20
Constontine Brown
krenIin's Overtures to Turkey
Russio AWuys Concerned About Covering Her FIon<s,
Sees Military Danger in Ankoro's Alliance to Y. S.

foreign markets for the prod
/. ucts Of her factories.
Those who have studied
Russia's military strategy over
the centuries from the days
of Peter the Great to World
War II know that the Russian
generals always were con-
cerned about having the flanks
fully covered. Turkey as an
ally Of the United States is a
serious thorn in the flanks Of
the Red forces. Hence it has
become a military necessity for
the Russian strategists to re-
move that threat as soon as
possible. Since removal by
force would bring q major
shooting war, the men in the
Kremlin have been urged to
attempt to win Turkey by
kindness.
Until a few weeks ago the
Red broadcasts, which are q
weathervane of Soviet diplo-
macy, used almost the same
strong language toward the
Ankara government as they
did toward the American Gov
ernment. AS a matter Of fact
they sometimes found some
potential good" in the Amer
lean masses once their eyes
were opened against the die
tatorships of the Wall Street
rnonopolists." But they had
nothing good to say for the
Turks.
Last weeks about-face Of
the Moscow government broad
casters is considered here as
an indication that Turkey has
been added to the list Of
American allies on whom a
softening-up process should be
attempted. There is never any
harm in trying. Nobody In
the Kremlin thought a few
years ago that the dirty war
monger," Winston Churchill,
as he was described by the
Soviets, would become an ar
dent exponent of co-existence
and would attempt to drag
the rest of the free world into
that skillfully laid but obvious
trap.
Evening star., 1954-10-20
Doris FIeeson-

ACCOMPLISHMENTS is
50 basically Democratic that
nobody will be surprised if
Democrats capture two House
seats in districts a Republic
can Legislature thought it had
carved into a permanently Re-
publican shape.
Yet nobody will be surprised,
either, if the two proper
Bostonians at the head of the
Republican ticket. Senator
Leverett Saltonstall and Gov.
Christian Herter, are re-
elected.
The paradox is the result
of local conditions and habits
of voting peculiar to Massa-
chusetts. They show why a
President never controls and
rarely influences the outcome
of the midterm elections.
After being Governor. Sen
ator Saltonstall entered the
Senate IL years ago with ex-
cellent advance billing, but
Washington is apparently not
his dish and vice versa. He is
q. o. p. whip and seniority
has made him chairman Of
the Armed Services Commit
tee, but he is not a mover and
shaker, either in the Senate
or In the party.
This year. Senator Salton-
stall for the first time has a
formidable opponent in State
Evening star., 1954-10-20
Fletcher KnebeiE
Potomac Fever

Utah Republicans drop Mr. Strngeow candidate for
Congress They afraid opponent might demand
equal Tv time to make few confessions of his
The only thing the Sringfeow story needs is to be made
into a book-wrtten by Quentin Reynolds
The Navy may change its phonetic alphabet. In the
familiar able baker charlie dog fox the dog be
dropped is being given also to dropping
Gen. Doole reports that the Central Intelligence Agency
doing good job The Central Intelligence Agency not to
be confused with the Central Intellectual Agencyhas the
one by Adlai Stevenson.
Secretary of State Dulles flies to Paris You vote to
send these Republicans to Washington darn keep
them there
Churchill he'd like to confer with Maenkov Winnie
be plenty good the Russians-they
have lot of secret police looking for it.
The Government charges II insurance companies with
false claims health and accident policies Some sound so
inviting. is tempted to turn in the family on an
ambulance.
Evening star., 1954-10-20

until election day and vote.
They had grievances of one
sort or another.
We have had signs of such
an attitude in a furry of elec-
ton surprises in recent
months. One was Maine. What
most of us took to be just
another Maine election in Sep
tember turned suddenly into
a shocker when the votes were
counted. Routine and APATHY"
were transformed into the
first Democratic Governor in
20 years, a real scare for one
incumbent Republican House
member, and sharply reduced
majorities also for the other
Republican House members
and Senator Margaret Chase
Smith.
New York begins to look like
another case in point. Con-
trary to most expectations.
Averell Hartman, the Demo-
cratic candidate for Governor,
is found suddenly by the re-
liable New York Daily News
poll to be running well ahead
of the Republican candidate,
Senator Irving M. Ives, though
Senator Ives piled UP a record
1,336,000 majority two years
ago when he was elected to
the Senate. It is hardly that
the mild-mannered Averell
Hartman is setting the woods
on fire. What it looks like Is
q Democratic trend growing
from personal voter decisions
made some time ago. In fact,
Maine and New York seem
only to be carrying along the
tide first noted last year when
Democrats won special House
elections in New Jersey and
Wisconsin in districts previ-
ously rock-ribbed Republican.
If you will accept, a military
term, you could say that mir
lions Of voters have been
"softened up" to consider is
sues this year by something
that will always do that-ad-
versity. It takes the form In
Evening star., 1954-10-20

half Of small business is the
anti-merger act, passed by q
Democratic Congress in 1850.
This act was designed to close
a long-standing loophole in
the Clayton antitrust act. But
now the Attorney General
announces that his adminis-
tration intends to propose
softening up that act to make
I it easier for large corporations
to gobble up smaller ones. Mr..
Brownell predicts that there
will be "long and acrimoni-
Gus debate" over this proposed
change. If he has in mind
what I think he has. he is
right. We Democrats have
fought small business battles
many times in the past, and
we are prepared to do 80
again.
I am worried, too, about
other recommendations that
are due to emerge soon from
the Attorney Generals COM
mittee that is reviewing the
whole field of antitrust legis-
lation. This committee is said
to be loaded with pro-monop-
olists, and I know that several
of its members are former
registered lobbyists who have
opposed antitrust legislation.
Couple this with the ap-
pointment of businessmen to
key Government positions who
have little understanding Of
and apparently less sympathy
with the problems of small
business and you have q situa-
ton that spells trouble. Con-
centration of Government
contracts. the "trickle-down"
theory, the bird dog VS.. ken
mel dog" philosophical Of
this, inherently the philosophy
of the present administration,
has meant and continues to
mean trouble for small busi-
ness all across the country.
The Senate Select Small
Business Committee, which I
had the honor to head dur
ing the 82d Congress, is. the
first permanent small business
committee the Senate has ever
had. I think most small l-busi-
ness men believe it served their
interests faithfully under the
Democratic Congress. I have
proposed putting it on a par
with other committees Of the
Senate, where it could propose
small business legislation. I
believe that a Democratic
Congress would be favorably
disposed to make such a move.
But first, the voters must
choose to elect a Democrats
House and a Democratic SEN
ate
Evening star., 1954-10-20
Senator Sporknon-
9e1dtoT 5Pd7K1o71---
A(Big) Business Administration
Alabama Democrat Says Profits of Small Firms Dropped
l3O Per Cent While Large Companies Gained Per Cent

(ThiS Is the fourth i'm a series
OF articles presenting the rec
ord of the Democrats in the
role of the opposition during
the last tUo gears. The Stars
use of the articles is MADE pos
sible through the courtesy OF
the NeU York Herald Tribune.J
One comment I hear with
surprising frequency among
small-business men is: 1.-THE
trouble with this administra-
ton is, it doesn't understand
business.
I've always thought this a
strange comment to make
about an administration that is
headed mostly by businessmen
and which was widely adver-
tiSed, before it came to Wash
ington, as a business admins
tration."
But judging from the mail I
receive as ranking Democratic
member of the Senate Small
Business Committee, there is
a great deal of truth in this
comment that the administra-
ton doesn't seem to understand
small business. Perhaps this
is because the key cabinet Off
GERS of this administration come
from the very large corpora
tions or from the world of high
finance, where the experience
of going from bank to bank
in search of a loan or Of buck
ing Government red tape for a
defense contract is unknown.
For example, the top officials
of this administration keep in
sisting that business is fine.
For the largest corporations
this may be true, but it GER
tainly isn't true for the small
independent businesses that
are the first to feel the pinch
of an economic decline such as
we have had during the last
year.
The Government recently
issued some startling figures
along this line. Between the
spring and fall of 1858, while
the after-taxes profits of the
largest corporations were rising
7 per cent, those of the small
est corporations were declin-
ing 100 per cent. In the last
three months of 1858, these
small corporations were actu-
ally in the red by $28 million.
There are two main things
that disturb me about the
small business picture today.
One is the rising tide Of cor
poration mergers, where small
companies are being swallowed
up by larger ones. The other
is the high rate of business
failures, concentrated, natu-
rally among the smaller busi-
nesses. Business failures are
running at the rate of 1000
a year-the highest since
World War II. Among busi-
nesses of less than $4,000 a
year, failures are up 35 per
cent, compared with only a
is per cent increase in the
over-$100, 900 class.
The most striking example
Of the merger trend Is in the
automobile industry. A year
ago, five Of the smaller auto
companies had IA per cent Of
the car market. Today, they
have only 3 per cent.
OF course, the large auto
companies would like to have
you believe that this Is merely
the result of normal competi-
tive forces. But figures on the
awarding of defense contracts
to auto companies made pub
lie recently by Senator Jack
son Of Washington indicate
differently. They show that
during the first IS months of
the Eisenhower administra-
ton defense contracts to Gen.
eral Motors went UP by $1,704,-
100000 while those awarded
to the rest Of the auto indus
Evening star., 1954-10-20
T1eesO7T-
A Paradox in Massachusetts,
Despite Bosc Democratic Strength in Bay Stoe Nobody
Will Be SURPRISED if SotonstoII and Herter Win Again

sistence that Senator Kennedy
indorse the whole State ticket
by name. Senator Kennedy,
running a fever and en- route
to the hospital for treatment
of old war injuries, was
stubborn.
He called only for support
of the candidate for Governor,
Bob Murphy, and the rest OF
the ticket. Then he limped
off to the hospital from whence
have come thunders of silence
It seems well established
that a Kennedy aide spilled
the story. It gave new impetus
to a whispering campaign
which said Mr.. Furcolo's
Catholicism had occasionally
faltered and that he called
himself "Furcolowe" at Yale.
Mr.. Furcolo has attacked the
whisperers and referred queS-
TONERS to his parish priest
who bears an unimpeachably
Irish name.
Senator Kennedy was prob
ably in no mood for being
pushed and Mr.. Furcolo always
takes his own part vigorously.
Just possibly Senator Kennedy
also thinks that the Salton-
stall yardstick in the Senate
is easier for purposes of COM
parison than a Furcolo one
would be.
Senator Saltonstall has only
to stand aside and profit
greatly.
Evening star., 1954-10-20

Christianity. Since the advent
of communism as a form Of
government in Russia, the
MoScovite aim is to ''liberate"
the Turkish people in the same
manner the Poles, Czechs,
Romanians and Bulgarians
have been liberated"
The threat of a Russian in
vasion Of Turkish territory
was constant until recently.
when Turkey, with American
support, organized a modern
army. Now the Muscovites
know that any hostile move
would result at least in a war
with the United States If not
with Western Europe. And
despite all the talk to the
contrary. the Soviets are not
ready for a direct showdown
with us.
The U. S. S. r. has been
fighting the West by proxy.
in the Far East but always
at the eleventh hour has
halted any aggression by its
forces against us. The belief
is growing in many quarters
in Washington that the new
diplomatic outlook Of the
Kremlin is directed by the
highly competent and far
seeing, general staff in Moscow.
It is this group of professional
soldiers who have induced
the Kremlin civilian triumvi-
rate to muff1e the sabre rattling
in Europe and initiate a policy
of smiles and good will toward
our synthetic allies with a
view to isolating America.
How successful this policy
will be will be seen in the next
year. What appears certain
is that the policy Of CO.
existence has taken pretty
solid roots all over Western
Europe.
There are indications that a
similar policy will soon be
directed at Turkey for some
what different reasons than
those for Europe. Turkey is
not an industrial country
hankering, as Europe is, for
Evening star., 1954-10-20

this Government and were
carried out under his own per-
sonal responsibility without
the knowledge Of his superiors
and in violation of the laws
of the United States"
It is asserted that money
was not involved as a con-
sideration for the leakage.
Then what was the mysterious
influence which led this mis-
guided scientist to violate the
security regulations Of his own
agency and regularly trans
NIT secret information to per-
sons not authorized to have
it? If the United States de-
sired to transmit anything to
a foreign government at any
time, it would do SO through
the established military or
diplomatic channels. It>would
not select some one like Peter
sen to do it. as that was not
his task.
The reasons why Prof.
Petersen maintained his liaison
with some one outside the
agency have not been dis
closed. Nor is it known why
the National Security Agency
failed to detect the absence of
the documents or why the
personnel were not checked
and double checked to see
what. contacts they had out
side our Government.
Unquestionably the Dutch
government is acting in good
faith, but the statement which
its embassy here was instructed.
to issue raises more questions
than it settles. The govern
ment at the Hague, upon
further examination of all the
facts, may have something
more to say. Mostly. it is i'm
portant to know why any one
in the Dutch government ac-
cepted such confidential in
formation which didn't con-
Germ it at all. Who in the
Hague saw all the messages
received there. and what was
done with those messages?
These are the real questions
that have not yet been
answered.
Reproduction Rights Reservedo
Evening star., 1954-10-20
Episcopal Conference
Opens in Philadelphia
BY the Assoeiated Press

PHILADELPHIA, Oct. 90
The Province of Washington
opened it's 25th synod last night
with delegates representing 13
Protestant Episcopal dioceses in
five States attending.
Services were held in the Holy
Trinity Church with Bishop An
gus Dun of Washington deliver
ing the sermon.
Business sessions open today
with Bishop John T. Heistand
of Harrisburg, Pa, presiding.
The annual synod advises and
submits recommendations to the
general convention of the Epis-
copal Church, which meets only
at three-year intervals.
Evening star., 1954-10-20
Thomos [. Stokes
Plenty Of Issues, for Democrats
Republicans ConsoIing Themselves by Insisting There
Are No Issues, While Opponents Busy Cite Them

some areas, especially the in
dustrial Middle West and
East and the Pacific Coast, of
unemployment. How much of
q threat that has become po-
litically is manifest now in the
eleventh-hour expression Of
concern for the iobless by Sec
retary of Treasury Humphrey
who is promising to try to get
work for them. There Is the
allied complaint Of reduction
of take-home pay affecting
several millions more previ-
ously pointed out here. Then
there is the unrest in farm
areas caused by a drop in
farm income.
Against the background Of
these anxieties, Democratic
campaigners are finding a re-
sponse to discussion Of issues
criticism of the administra-
ton for failing to recognize
and meet the unemployment
situation and for sponsoring a
tax law weighted In favor Of
business and industry and
without the increase of exemp-
tions advocated in vain by
Democrats to benefit the small
taxpayer and, at the same
time, to increase consumer
purchasing power. These two
issues are good nearly all over
the country. In farm areas
Democrats are pounding on
the Benson farm program. In
the West and Southwest, the
administration is brought un-
der heavy fire for thwarting
the public power program and
crippling the rural electrifi-
cation program. In drought
areas the slowneSs and red
tape in relief are stressed by
Democrats.
There are plenty Of issues
all right. Some of them grow
right out Of President Eisen-
hower's program which Repub-
licans had intended to capi-
talize for themselves. But 1t
has had q boomerang effect In
It's farm and tax laws and re-
Evening star., 1954-10-20

try combined declined by $685.
000,000-that is, cancellations
exceeded new awards by that
amount. No wonder the small
er companies are being driven
to the wall.
While the Democrats we're
in Office, we tried to help small
business through at least two
Government agencies, the RFC
and the Small Defense Plants
Administration. The RFC
made loans to small businesses
that couldn't get them from
their local banks. During its
22-year life, RFC made more
than 100000 loans totaling
more than $13 billion and
actually turned in a $620-mil-
lion net profit to the Treas
ury; and the SDPA was instru-
mental in helping small buSi-
ness through the Korean mo-
bilization period, especially in
the way Of helping small busi-
ness get defense contracts.
But the new administration
lost little time in abolishing
both of those fine agencies.
In their place, it put single
agency, the Small Business
Administration.
This agency, however, as
first proposed by Republican
leaders, was to have practi-
cally no authority to help
small business. Moreover, it
was to be dominated by the
Secretary of the Treasury and
the Secretary of Commerce,
two men known traditionally
as friends of big business.
Democrats in the Senate sue
ceeded. with the help Of only
one or two Republicans, in
sending the original bill back
to the Banking and Currency
Committee to be rewritten.
We were able to give SBA real
authority. With vigorous ad-
ministration and sympathetic
support of the White House,
SBA could do a genuinely good
job.
But despite these facts, dur
ing the first four months of
its life, the SBA failed to
approve a single small-busi-
ness loan. And when it f.
nally got around to approving
some loans, small business men
often found it took months for
the money to actually come
through. Even If they could
get a loan, they found them
selves paying 6 per cent-or
sometimes as much as Z or 8
per cent-interest, instead of
the 5 per cent they used to
pay at RFC.
How much progress the
Small Business Administration
has made can be judged from
a statement from the SBA
administrator, who recently
reported to Congress. Small
firms have continued to lose
ground competitively to larger
firms in the last year."
All of the antitrust legisla-
ton of this century is Demo-
cratic legislation. The most
recent such legislation on be-