PROVINCIAL LIBRARY, V I CT03IA57-Tr . 181 ,1 ' NORTHERN AND CENTRAL BRITISH COLUMBIA'S NEWSPAPER DUONP A Promp Service At All Hours JMES DRUGS t 2Z?K'a. n.c. )nily Delivery I nllAkIC 01 i muni. 01 Published at Canada's Most Strategic Pacific Port "Prince Rupert, the Key to the Great Northwest.'1 STAR V CABS VOL. XXXVII, No. 118. PRINCE RUPERT, B.C., WEDNESDAY, MAY 19, 1948 PRICE FIVE CENTS ftle I axafcin) Relief Contained- lim Budlg Eight Percent Sales Tax on rd Surplus Keported; Budget Fiscal Highlights itiona I, Domestic Variety of Foods Removed No Changes In Income or Business Taxes Looks Like Election Not In Sight tions I ouched on Immediate Increase In Defence llav Although Scene Uncertain BULLETINS OTTAWA (CP) Finance Minister Douglas Abbott Monday night uncloaked his 1948-49 budget which provides only meagre tax relief $72,000,000 as compared with $265,000,000 last year and bluntly told the' Canadian taxpayer that he will have to carry-on with the present tax liability for at least another I year. Only major concession was ricq Controls Are Ruled Out I By D'ARCY O'DONNELL .! Canadian Press Staff Writer 1WA-A record surplus of $670,000,000 for is fiscal year v,-as reported last night by Minister Abbott in his budget speech to the a ' OTTAWA, (CP) Highlights of the fiscal portion of Finance Minister Abbotts budget speech: Estimated surplus of $670,-000,000 for the 1947-48 fiscal year, compared with $373,000,-000 in 1946-47. Total revenue for year $2,-869,000,000, a decrease of $138,000,000. Total expenditures for year $2,199,000,000, a decrease of $435,000,000. Estimated net debt at end of fiscal year $12,378,000,000, a decrease of $1,043,000,000 from the peak of two years NEW BRUNSWICK VOTE FREDERIC TON New Brunswick will hold a general election Monday, June Zi, Premier J. B. McNair, announced today. Premier McNair will lead his Liberal government into his "third general elec ' H - 4 ' - '-;. v the repeal of the eight percent . . . ! 1 3 tl-l sales tax on a oroaa list, ui tau- ned, packaged and processed foods. It accounts for $20,000,- REACTIONS TO BUDGET Compared with a 1946-47 surplus first re-117 years of $373,000,000 which was great- 000 of the tax relief provided. (jtutal of all previous total $2,724,000,000 and expendi t i tures $2,175,000,000. tion. The government, elected August 1941, now holds 36 of 48 seats with the Progressive-Conservative opposition, led by Hugh McKay, holding eleven and an Independent, one. NEGOTIATIONS COLLAPSE WASHINGTON Contract negotiations between John L. Lewis, leader of the United The minister peppered his 14,000-word budget speech to the House of Comihons with the disappointing word "No" no major change in present income taxes, no changes in taxes on tobacco and liquor, no change in Meets With Mixed Reception Some Industrialists Pleased At Taffic Changes ago. Gross national production in 1947 exceeded $13,000,000,- INTERNATIONAL SITUATION fere Conieaerauun. ,(,r 1947-48 were $2,-f.d expenditures $2,-f the previous year bulled $3,007,000,000 jtures $2,634,000,000. jtt said the practice i lor a huge surplus prosperity is Justi- OTTAWA VH Across Canada He warned, however, that the international situation made it difficult to judge how much might be needed in the way of defence expenditures. 000., up 13 per cent from the previous year. Most of the increase was due to the rise In prices and wage rates. The government assumes today reaction to the federal budget included praise and disappointment. Praise came from some industrial heads on t.yiff changes and some theatre owners on the dropping of the federal amuse business taxes, no change in heavy Indirect taxes imposed during the war. Political observers immediately seized upon the budget as an indication that there would be no federal election this year. If there were to have been ancl- Mine Workers of America (CIO), and coal operators of the United States, collapsed today over the issue of seating Joseph E. Moody, president of the Southern' Coal Producers' Association, in the conference. though so far the government' did not consider "an immediate expansion in defence acUvltics to be necessary. "I feel we cannot afford to 4, surplus, consldcr-tiian the largest prejudge., would not be he said were it not i to "check lnflation- ment tax. In British Columbia, ection, they reasoned, there I however, there is legislation to I 1 ' overlook the possibility that de proclaim a provincial amusement tax. there will be some "small further increases in wages and other incomes and some prices ..." Any reasonable increase in interest rates would not act as any serious break on business expenditures or consumer spending. The abrupt decline of Vni-ted States dollar reserves has been slopped, but the exchange position is still not satisfactory. veloping events in the international field may sooner or later make it necessary to increase PRESENTS BUDGET Hon. Douglas Abbott, minister of finance. Housewives are cheered by the death of the federal eight per would have been wide concessions. Another concession was for the elderly taxpayer. Those sixty-five years old or over will get an extra $500 income tax exemption, retroactive to January 1 which will cost the treasury our expenditures on national de CONVICT RECAPTURED OTTAWA Nicholas (Nick) Minillc, one of Canada's most hunted criminals, is today behind bars. He" was captured at Oakland, California, yesterday after a nine months' international hunt. Minille es cent sales tax on some goods. this time and to 'll. bt as quickly as we f.e circumstances as i -.hey have been." f : never be a better Ire the burden of our f We can do it now tdshin and thereby fence," he said. It should mean cheaper canned TO SUSPEND In the speech, which touched goods, ham and bacon. Premier T. C. Douglas of Sas-1 on both international and do AV.W.W.v.-rt-.ViiMW TODAY'S STOCKS Courtesy 3 u Ji-hnMoo On l.trt Vancouver JOHESACT mestic economic pictures, Mr. om katchewan is disappointed. He Abbott made these other points: caped from Kingston Penitentiary last August along with said that income tax reductions iot.j9fr-toajta -groups- sould 1. The abrupt decline of Can in better position) extra burdens w assume when our May be Done Again in Case & fortland Canal Mine V Danald - Nidcy McDonald" . Bralorne :C:4 ,-.y0Q-4 have been in order. ada's reserves of United States dollars has been stopped but an $5,000,000 per year. The Dominion has also dropped , the... taxes. Da,.Jaorse.J-ace . bets, theatres and other places" of amusement including night clubs. , Other big Items are $12,000,-000 to $14,000,000 in tariff slashes and temporary suspension of ail duties on -British cottons and rayon piece goods. early lifting of- Import controls RETAILERS ASK PERCENTAGE OF cannot be expected. Canada's gross national pro duction in 1947 amounted . B. R. Con 02'j B. R. X 07 Cariboo Quartz 1-64 Dcntonia - '-01 54 Grull Wihksne 04 Hedley Mascot 52 Minto 02 V2 Pend Oreille 4-30 Irume becomes less iiiher untoward de- k'ciir." jus reduced the .net 0378,000,000, as of B)48. ft this represents a $043,000,000 from the SALES TAX Canadian Minister To Brazil Named . OTTAWA James S. Macdon-ald, of Ooldenville, Nova Scotia, has been appointed Canadian ambassador to Brazil, the Secretary of State announced last week. bank robber, 41, and Olysse Lauzon, 26. , He was serving time for a taxi driver kidnapping. GRAECO WINS MONTREAL Johnny Greco retained his welterweight crown last night when he scored a decision over hardhitting Harry Hurst of Montreal. Greco was the unanimous choice of three judges in a twelve-rounder. $13,165,000,000. compared with $11,613,000,000 In 1946. 3. Canada cannot now return to over-all price control and Prlnre RuDert Retail Mer There are no changes in taxe.3 WASHINGTON D. C. 0 A bill to permit Canadian vessels to transport between United States ports, products of, and supplies for the Riverside mine up the Salmon River valley from Hyder, Alaska, was approved by a House of Representatives sub-committee today. Such an arrangement involving a suspension of the Jones Act in this" particular instance owing to local shipping circumstances, formerly existed, permitting Canadian ships to chants' Association, which regis on liquors and tobaccos and the years ago, it is still tered protest against imposition thirty percent corporation tax S3 untouched. subsidies in the hope that conditions will soon return to nor Mr. Abbott announced he was Pioneer 3.00 Premier Border OS Privateer -20 Reeves McDonald 2.00 Reno 08'2 Salmon Gold 16 Sheep Creek 108 Taylor Bridge ;50 of the -provincial three percent sales tax, Is now demanding that, since the tax is to go into effect, that merchants be flowed a mal. 4. Any reasonable increase in . figure and a ii.e need we face to Jt revenues and ex-),:; such a way as to :ii , e maximum, prac- is under such pros-Slitions as we enjoy budgeting for a surplus of $489,-000,000 for the 1948-49 fisal year on the basis of estimated reven interest rates would not act as LOCAL TIDES Thursday, May 20, 1948 High 11:44 18.9 feet - 23:47 21.3 feet percentage for collection fees. DANGEROUS DIRK The nroner name for the dag At a meeting last night, the ues of $2,664,000 and expenditures of $2,175,000. load supplies for and ore from Taku River 40 3.9 feet retailers organization decided to ger of the Scottish Highlander is ! Low 5:34 Vananda 314 17:39 5.8 feet this mine either at Stewart or Hyder urge the government to allow the dirk. a brake on business expenditures or consumer spending. Mr. Abbott said if one took bookkcrping transactions Into account the 1947-48 surplus amounted to $1,181,000,000. This included cash received (Continued on Page Six) ntes were made in Iks, Mr. Abbott cstl- five percent for the merchants Congress 03 V4 Pacific Eastern 05 Hedley Amalg 02 Vi Silbak, Premier 36 would conclude the who must collect the impose , Earlier, they had protested thoj thrnnirh w. H. Brett. M.L.A. ' .0. r witli a surplus of Revenues would THE WEATHER Synopsis The weather is expected to remain clear over Vancouver Island, lower mainland and the Interior today and Thursday, A storm centre In the Gulf of Al- and the B.C. division of the Rc- .0,'s A. P. Con : M tail Association of Canada. The organization also discussed the sales tax law which provides that mall orders sent to Calmont -55 C. & E 6.90 Foothills 3.00 Home 910 list Team to Churt Sail ml Chatham Sound W tiler Two Young Fishermen aska will give occasional light I rain along the northern B.C. stores outside the province will be tax-free. Members were of the opinion that this is unfair coast through Friday. Drown in Sight of Home WKiUAI'HY CALLED TO AID BIOLOGICAL FINDING FOK SALMON RESEARCH Forecast Prince Rupert, Queen Char Olive Branch Is Rejected WASHINGTON, 0) The United States Department of State for the second time yesterday re to British Columbia reianen,. A letter from the Prince Ru- npxt. four months lottes and North Coast: Southern Section Clear today, cloudy Chamber of Commerce mui ntit llLioin win - frK , i-.. r ru4U. QmmiiJ tt the moutriH Ot , nert i ndll VI) lLeril (jl UUtttiitvui wumii'i - - - ..... t -mnir, Perish Before Eyes of Helpless Friends Hubert Husband and Freddy Ross Toronto Athona . 08 Aumaque ( -17 Beattie ; 69 Bevcourt 36Vz Bobjo 12 Buffalo Canadian 10 Consol." Smelters 114.50 Conwest 1-10 Donalda 82 Eldona , 1.27 East Sullivan '.. 2.57 Giant Yellowknife' 4.75 Ood's Lake 66 QUEEN CHARLOTTE CITY (Special to Daily News) After risking their lives battling severe ami Naaa Rivers m that other scientists may be , asking that uie - , mre out what makes aockeye salmon act as they do. open for one evening during ttu. Pacific Oceanoirraphic Group, "combmcd opera- visit next month h fn independent government geies Chamber of Commerce thkh three othnwise Llnrie organizations have pooled men faUed to meet the approval of, and resources to gain scientific i the members. They decided that II ItlWt infnrmaUnn which may be of he visit did not provide justi- Thursday, wind light. Little change in temperature. Lows tonight and highs Thursday At Port Hardy 42 and 55. Northern Section Overcast with oc-s casional light rain today and Thursday. Wind southerly (20), little change in temperature. Lows tonight and highs ThursdayAt, Massett 45 and 53, jected a proposal of Russia to sit down and negotiate directly for the settlement of differences Reply to a suggestion of nego storms in a 32-foot fishing boat on the treacherous west coast of Queen Charlotte Islands, two young men Hubert Husband, aged 27, and Freddy Ross, fifteen, both residents of the Islands from birth were v vJIIL L.,m tn all , fif-fttinn for remaining open be- N VOTE But primarily, its object Is to yond tne regular hours and, that learn the effect of the fresh- lf it were done, it might set a water outflow of the Skeena and precedent which might be un- tiation made Monday nignt Dy Premier Stalin, the State Department said that the subjects proposed for discussion were not of drowned at 8 o'clock Monday Prince Rupert 45 and 53. Naas Rivers on tne misiwj satisfactory I - After three fu'linn Affairs Com- Hardrock 16 Harricana 08 Heva .'. 12 Vi Hosco 34 Jacknife 05 Joliet Quebec 40 Lake Rowan .09 '2 Lapaska 05 Vi Jerusalem In The grievance committee re sockeye and pink salmon whicn are a major factor of Canada's unilateral nature but involved other nations and were matters in which the United Nations and Council of Foreign Ministers ported that it had registered a nrntest aualnst "unwarranted' recommended that Indians be civen the night within sight of home and before the , eyes of friends on shore. Husband and Ross had reached port safely with a load of halibut and, after making delivery of the fish at the Canadian Fishing Co.'s camp at west coast economy. Fish Sales American Northern, 54,000, 17:20, 16:50 and 9:50, Storage. Canadian Heading the expedition ,wmcn will be based at rrince buf". were interested. However, it was encouraging that Premier Stalin is Dr. John P. Tully, M.B.L., vet- t ,Vin HPS- Arab Hands CAIRO Arab troops are in complete control oi Jerusalem today, said an Arab League rises in meat prices with the federal parliament committee investigating the meat situation. Chairman was J. D. McRac, vice-president, in the .absence of W. M. Watts, president. There were 20 members present. had declared that a peaceful settlement was "possible and eni oceanograpuci, Arctric I, 22.000, Co-op. Rodney P., 16,000, Co-op. I another committee f Problem. The com-4"ot decided whether fcicndatkm should be Nevertheless, the mat-fthc doorstep of the flections committee. cribes himself as "a physicist, not a biologist," despite the fact necessary." Prime Minister Stalin said Skldegate, were returning on board when their dinghy collapsed in a stormy sea. Three occupants were thrown into the water. One held on to the overturned dinghy ana reached shore safely but the other two lies that he is a member of tne pacific Fisheries Biological Station oh TManaimo. spokesman. He said that all Jews in the Holy City had sur rendered to the TransJordan wuh him is Dr. O. L. Plckard, Little Loeg Lac 91 Lynx .09 Madsen Red Lake 2.71 McKcnzle Red Lake 47 Mcbeod Cockshutt .... 1.12 Moneta ..36 Negus i 2.48 Noranda 51.00 Louvicourt .'. 66 Pickle Crow 2.20 Rcgcourt 06 San Antonio 3.85 Sherrit Gordon 2.65 Senator Rouyn 43 Steep Rock 2.16 Sturgeon River 17 Silver Miller 28 legion last night. JAYCEE PARLEY IS COMING HERE Channel Islands Liberation Stamps OTTAWA A special issue of postage stamps to commemorate the liberation of the Channel Islands in 1945 went on sale in the United Kingdom in May. Monday night that Russia was ready, if United States was willing, to negotiate differences between the two countries on the basis of recent proposals to him (by Henry A. Wallace of the United States. disappeared within sight cf friends who were powerless to minations f Unchanged A 'if' Nominations M B.E., an associate professor of physics at the University of British Columbia. He is an English scientist who has done experiments with temperature in King Abdullah's desert legion had the city In its steel grip and the strategic outlook for help. Alarm was sent out and boats l(1ay for the Mav 31 went to the rescue but failed to the Jews was hopeless, tne spokesman said. Stalin was replying to Wall 1 y-election with no Of double normal size, they depict scenes of seaweed gather aces "open letter ' wnicn tne additions to the dates nominal,.) i. In Tel Aviv military head third party candidate for Pres- ing, ,an important Industry ot the islands. reach the unfortunate pair. Dragging operations were immediately instituted and the bodies recovered but all efforts to restore life were in vain. Regional conference of the Junior Chamber of Commerce of "British Columbia, being held this week at Victoria, has chosen Prince Rupert as the venue for 1949, according to a message receded this morning by President A. P. Crawley from his delegates. The local delegates are Stuart Furk, Harold Helgerson and Eddie Mussallem, the range of "aDsoiuu; .w and during the war was attached to the RAF. production and meteorological branches. Their assistants are Richard H. Herlinveaux and Allan J. Dodlmead, both highly trained quarters said that Jewish troops had cracked through Zion gate , ,ident of the United States ad- LOTS OF LEEWAY 'dressed to the Russian Prime After spawning, salmon eggs Minister May 11 at a political take 3D to 160' days to hatch, rally In New York. Stalin's in a midnight attack on Jeru Mr. Husband is married and salem and linked up with Jewish I six weeks ago, E. J. president of the As-rowers 0f British LLiberal candidate, Is I w- A. c. Bennett, Conservative, and W, C. c F CUD CHEWERS Animals such as cows, sheep, goats and deer which crew a cud, are called ruminants. deDendins? on the temperature answer was broadcast over the has five children ranging in ag' from two to seven years. defenders in the old city of Jer usalem. of the water. Moscow radio. From now until the middle of (Continued on Page Five)