The Daily News (St. John's, N.L.), 1959-02-06

              i£UARY «
e Film
■ 54 YEARS
rj.DAY'S SPECIAL
]937 DODGE SEDAN
Refl. Price $2000.00
reprice $1475*°°'
-j Nova Motors Ltd.
THE DAILY NEWS
Vol. 66.   No. 30
ST. JOHN'S, NEWFOUNDLAND FRIDAY, FBRUARY 6, 1959
(Price: 7 Cents).
ecord-Smashing Federal Expenditure
Totals $6,173,448,557
For Next Fiscal Year
Ickagc
HAVANA—Brightening his tour of duty, a Cuban rebel soldier strolls hand-in-hand with his girl friend
while walking guard atop a wall of the La Cabana military prison here Jan. 31. Prisoners can be seen
n the courtyard below Revolutionary courts sitting in various Cuban cities condemned seven men to
death,"Feb. 1st.,while the rebels tribunal in Havana sentenced an eight man to death.    (UPI PHOTO)
By HA&OLD MORRISON
Canadian Press Staff Writer
OTTAWA (CP>—Record-smajdi-
ing federal expenditures—which
may force the government to
take a new line on taxes or oor-
rowings—were forecast as Fin-
j ance Minister Fleming Thursday
unveiled a $6,173,448,557 program
for the new fiscal year opening
April 1.
Driven upwards mainly oy
higher welfare costs and public
debt charges, the big spending
program, including both budget
expenditure's and old age pin-
sions, represented a $439,000.1)00
jump from original estimates lor
th" enrrert year.
It compared with the peal-
wartime spending of $5,300,000,000
in 1943-44. and. as intially set
out, represented a doubling of
federal outlays in lhe ast decade.
Normally, siipplcmcn ary estimates arc added to these initial
programs later in the year and
over-all federal sDcnding for
1939-70 may climb to some
$6,500,000,000.
REDUCED SOME SPENDING
Mr. Fleming emphasized that
amid the rise thc government did
manage lo reduce non-statutory
spending by S39.10O.OO0, but Opposition spokesman chided him
on the small size ol he savings
comnarcd with onc-timc promises
of Progressive Consc -vatives lo
reduce federal spending by S500.-
000,000.
"These estimates . . emphasize the desirability
SAVE OH
Nd?V1,e Rovor**-
|r"*"« thin*-' *n un.
al.*"*- uncertain   f«.
fvRDWOO
pORING -'WKiy « certain   for
Lrpint   wflKft.
bOFING.
[all-board
.OO* -US/
|]RNIYU*? '■;]*
-PLIANCB-^
1        ,ri.
kYOUR
A Miracle
Operation
LEAMINGTON,v Ont. (CP)-
John Ellis, 63, blind for 24
years, can see again because of
what he calls a miracle operation performed two weeks ago.
In 1935 doctors told Mr. Ellis
that he had cataracts in bolh
eyes and that he would be blind
for the rest of his life.
He underwent the second of two
operations Jan. 22 and when the
bandages were removed six days
later he could see again. He said
his doctors, whom he did not
identify described it as a miracle.
WENT BLIND SUDDENLY
Mr. Ellis, a bricklayer by trade
in this town 25 miles southeast
of Windsor, awoke one mornlni;
in 1935 to discover that he was
blind in his right eye There had
been no warning of the loss of
sight.
About six months later be lost
the sight of the other eye. Doctors said the blindness was
caused by cataracts and nothing
could be done.
Khrushchev  Invites  President
Of U.S.To Moscow For Talks
aal Government
Dr.  Rousseau
f.'CP'-Dr. Ja
V* month relir-v
rl.-«>e* as director
P* Museum's human
E*-sa«l Thursday "he
[""-Irom the public
E *
bpsAH E-j
lW STREET'
*to5 ,?n% in-
M«wical care—I
_ • ™ «A°. *l>en'l
■H^r* xodiea alive
showed unrest to be ' purely and
simply a clash of personalities."
PURE SCIENCE POST I
Mr. Hamilton said Dr. Rousseau was being offered "a purely
scientific post" in the public
service.
Dr. Rousseau indicated Thursday he will leave the $ll,000-a-
year museum post Fcb. 20.
Dr. Rousseau said he has not
been offered another job.
Deputy Minister Gordon Robertson had suggested another
post that was "defipitely inferior
to the one I have and was for
other reasons absolutely unacceptable. . . in any case it was
no firm offer and no suggestion
of tbe same salary." I
• By A. I. GOLDBERG
MOSCOW (AP)-Nikita Khrush
chev Thursday urged Presidct
Eisenhower to visit the Soviet
Union and challenged the United
States to participate in making
West Berlin a free city under
United Nations responsibility.
Winding up the 10-day Communist party congress, the Soviet
premier compared he Berlin
crisis with a burning fuse in a
powder keg.
"Why should we preserve such
a situation?" he asked. "Would
it not be better to put out the
fuse? It would be* difficult to
be in the interests of the two
find another solution that would
German states and a the same
time would not be offensive or
do damage to other interested
powers. The conversion of West
Berlin into a free c ty is such
a solution."
LINKS UP WHOLE PROBLEM
The West has refused to con-|
sider this plan. But Khrushchev
linked it to the whoe situation
concerning divided Germany. Doing away with this point of tension, he said, would ease East-
West relations. But on the ques-
of a reunified Germany,
Khrushchev added, in an aside
to West German Chancellor' Ad-
nauer:
"If you make your condition
the abolition or absorption of the I
German • Demcratic Republic, I
the abolition ot the social gains
of the working people of the
G.D.R., that is a condition *'e
innot even discuss."
Khrushchev spoke with the I
knowledge lhat Prime Minisler!
Macmillan will visit here 16 days j
In urging Eisenhower lo
the Soviet eader observed:
'If the president should wish!
to come to our country he would
be received with heartfelt hospitality both by our government
and the Soviet people
NO RECIPROCITY
"We are extending this invitation without insisting wi recip-
PRESIDENT EISENHOWER        NIKITA KHRUSHCHEV
British P.M. Is Going
. By FRASER WIGHTON
LONDON (Reuters - Prime
Minister Macmillan announced
Thursday he will go to Moscow
Feb. 21 to exchange views with
Soviet leaders, but not lo negot-
te.
It will be the first time a British prime minister has set loot
on Russian soil in peacetime
since the days of the czars.
A joint announcement issued in
London and Moscow said Macmillan and Foreign Secretary
Selwyn Lloyd will spend seven toi
10 days in the Soviet Union.
Thc prime minister has had a
standing invitation to visit Russia since hc succeeded Sir Anthony Eden 25 months ago. So-
rocily."
This remark seemed to reflect
annoyance at news that Eisenhower had rejected the idea of
a Khrushchev visit to the United
States similar to the tour made
recently by First Deputy Premier Anastas I. Mikoyan.
viet Premier Nikita Khrushchev
invited Eden during his visit here
in 1956 and renewed the offer
when Macmillan tcok office.
TOOK INITIATIVE
Thursday's announcement said
Macmillan took the initiative and
finally accepted thc invitation because "in his view the time now
is opportune for thc return visit."
. Announcing the dec sion in tne
House of Commons, Macmillan
said: "I am not to conduct negotiations, but something in the
nature ol a reconnaissance."
Hc added: "My principal purpose will be to try to dispel misconceptions and to establish
some basis for better understanding."
British officials sai 1 Thursday
night thai after the Moscow talks
Macmillan plans to call on West
German Chancellor Konrad Adenauer in Bonn and will confer with .
President Charles de Gaulle iajfBay
Paris or London.
It has not yet been decided
whether to seek a subsequent
-'""li"1 in Washington with
President Eisenhower
HIGHER WELFARE COST AND
PUBLIC DEBT CHARGES, NO
OUTLAY FOR OUR TERM 29
growers this year under the special $l-an-acre subsidy. Mr. Pearson said he didn't believe the gov.
ernment would reduce aid to
agriculture, and predicted that
an amount equivalent to thc $40.
000,000 or even more would be
presented to Parliament later.
CCF House Leader Hazen
Argue suggested the Canadian
public would support even higher
welfare payments than those oro
posed by the Conservative admin,
istration, but the CCF would not
support the rise in public debt
charges.
TOTAL UP SLIGHTLY
Total tax-sharing payments arc
expected to rise only slightly, by
$1,174,000. to $432,088,000.
Counting the types of federal payments to the provinces,
total payments are expected to
be roughly unchanged at $462.-
500.000.
Under the tax-sharing agree
menls. provinces may receive 13-
per cent of federal personal in-
conic taxes collected in thc prov-
ince. nine per cent of taxaolc
corporation income and 50 ner
cent of thc federal inhcritacc
tax.
Forecasi
to provinces for 1959-60, with the
1958-59 estimate in brackets:
Newfoundland $24,893,000 ($25,-
214.000); Prince Edward Island
$6,645,000 ($6,636,000); Nova Sco
tia $35250,000 <$36,691,000); New
Brunswick $30,266,000 ($30,990.-
0001; Quebec $55,809,000 ($51,»15,.
000>; Ontario $97636,000 ($96,693,-
000 >: Manitoba $34,010,000 ($35,-
755,0001; Saskatchewan $34,673,.
000 ($36,552,000); Alberta $48,006.-
000 i$48.23l,00i; British Columbia $64,900,000 l$62.337.000).
ATLANTIC PAYMENTS
These payments include a spec
ial $25,000,000 annual amount
divided among the four Atlantic
provinces.
The estimates tabled by the
minister gave no hint of what
the government's decision will be
on thc recommendation by a
royal commission on Newfoundland's term's of union that the
province be paid an additional
$8,000,000 a year. The province
has requested $13,000,000.
Meanwhile, .the transitional
grant to Newfoundland, according to the 1949 terms of union,
will drop by another $350,000 next
year to $700,000. This will end in
tax-sharing payments i two more years.
BREAKDOWN OF ESTIMATES
.    . i«
.let being brought down in order
to deal with them at thc earliest ■•
possible moment." Opposition j
Leader Pearson said.
The budget, usually presented!
in March, will show how the gov-; OTTAWA (CP(-Breakdown uf ] ($61.964.040': chief electoral of-
ernment proposes to raise reve- j 1939.60 main fcdera, spending cs- ficer $117,920 ($116,205)* citizen-
nues to meet its expenses. | |jmalcs tabled in the Commons | ship and immigration $57,107,730
Later, after examining the cs-jbv Finance Minister Fleming.: (S55.2'i4. 142': civ.il service com-
timates in detail, Mr. Pearson! 195859 estimates in brackets: i mission $3,661,089 <S3.521.77D:
said in  a statement that  Mr :
Fleming's claim of a $39,100.00(1: Agriculture $106,095,352 '$138.-j Defence production $11.913 620
saving "is without foundation." j 240.959': atomic energy $32.092.. i ($9,894,036'; crown companies
NOT INCLUDED ! 300 ($28,147,119':   auditor-general • $6,477,323   ($6,164,486':   external
Not included  in the new  cs-; $395,010    ($863,790':    Board   ofl affairs   $00,525,001   ($76.159.733';
timates was a payment of $40,-1 Broadcast    Governors   $200.-1 finance  $'1261.434.603  ($1,154. '53,-
000.000  made  to  Prairie  grain! 000  < ':   CBC  $69,641,975 j393':   fisheries $19,544,777  ($19,-
i 814.331': gov.. gen. — It. ■ govs.
I$431,064 ($428,183': insurance
! $694,441 ($632.19(1': justice $7.-
'996.496 '$7,691,238': penitentiar-
lies $19,333,703 '$16,815,479': la-
jbor $13,980,240 < $13,590,343':
I Unemployment insurance $74-
! 754.000 ($72,848,934': legislation
! $7,688,024 ($7,674,804'; mines and
technical surveys $36,066,205
($2!i.742.15D; Dominion coal
board $12,211,275 ($10,760,645);
defence $1,630,194,006 ($1,687,212-
189'; National Film Board $4,.
555,736 i$4,253,918); national gallery $904,640 ($658,600); health
and welfare $1,393,340,528 ($1,-
173.123,335): civil defence $7,220.-
817 ($7027,721);
National Research Council $30,-
133.580 ($25,992,204); national revenue $72,611,846 ($71,888,641)
northern affairs . resources $85.-
787,577 ($77,932,478); post office
$163,531,965 ($162,398,824); Privy
Coun cil$7.461,43M$6,138,713);
public archives $542870 ($582,-
826): national library $228,279
($222,591); public printing $3,501,-
250 ($3,483,284); public works
$221,710,496 ($236,610,789);
RCMP secretary of state $4,-
472,803 ($4,139,931); trade $64,077.-
970 ($67,016,771); transport $229-
014.152 ($225,240.03D: air trans,
port board $369,285 '.$337,179);
transport commissioners $23,201,-
773 ($23,127,292); Maritime commissi o n $5,706,938 ($5,76!*.153);
Harbors board $4,295,114 ($6,529,-
244); veterans, affairs $291,592,-
434 ($293,369,725).
Totals $5,595,848,557 ($5,295,615-
Federal Public Works
Estimates For Nfld.
OTTAWA (CP)—Public  works; tension $24,000: Eddie Cove Wcv
appropriations for Newfoundland i -breakwater $13,500: Frcdcrick-
in 1959-60 estimates: j ton — wharf extens on $16,000:
PUBLIC BUILDINGS | Freshwater (Carbonear' - wharf
Newfoundland j extension $23,000:
Botwood—public  building $75.-;    Gaskiers—wharf improvements.
Channel — public building
$30,000; Harbor Grace — publii
1 d i n g $75,000; Marystown
-public building $30,000;
St. John's—building for unemployment insurance commission
$100,000; St. John's — improved
accommodation for government
services — to complete $250,000:
St. John's—post fofice building—
to complete $500,000: Stephenville
public building—addit on and alterations—to complete $25,000.
HARBORS AND RIVERS
Newfoundland   .
Battle Harbor—wharf—to complete $20,000; Bauline — breakwater extension $30,000; Bay de
Verde — wharf reconstruction
$105,000; BeU Island—wharf ex-
lensitn and shed—to complete
$200,000; Blue Cove - wharf
$17,000:
Buddcn's Tickle 'Sops Arm>-
wharf $30,000; Calvcrt-dredging
$33,200; Campbellton—wharf reconstruction $33,000; Carmanville
-towards wharf reconstruction,
extension and shed $250,000:
Catalina — towards wharf
$40,000; Champneys West—wharf
$18,000; Clarke's Head (Gander i
•wharf $56,000; Codroy-to J
wards harbor improvements
$270,000; Daniel's Harbor-dredg-1
ing—to complete $21,000; Doating
Cove—wharf extension $18,000;
Eastport—wharf repars and ex-1
SHOT DOWN U.S. PLANE:
$24,500: Goose Bay (Happy Valley)—towards wharf and shed
$250,000: Gooseberry Cove —
breakwater-wharf extension $16,.
000; Grand Bank - breakwater
$421,000: Gull Island — wharf
$23,000; Hampden-wharf $29,500;
Harbor Breton—wharf—to complete $160,000; Harbor Main -
wharf reconstruction $29,000:
Harbor Round — wharf $23,000;
Hermitage — wharf reconstruction $39,500: Herring Neck—wharf
reconstruction $36,500 Hillgrade
-wharf $25,000:
Mal Bay—breakwater — wharf
$19,500: Ming's Bigh - wharf
$24,500; Old Pcrlican—wharf extension $16,000; Peter's River-
landing improvemen s $29/KM:
Point Lance—breakwater—wharf |
$25,000: Pond Cove — wharf
$16,000:
Port aux Basques—harbor
prove ments $100,000: Rose
Blanche- • wharf reconstruction
$30,000: St. Bernard's — breakwater repairs $23,000: St. Bridc"s
-breakwaters $175,000;
St. John's—towards Harbor improvements $1,250,000; Tizzard's
Harbor-wharf $19,000; Trinity-
wharf extension $17 000: Trout
River-breakwater $17,000:
Wild Cove-breakwater $29,000;
William's Harbor-wharf $24,000:
York Harbor-wharf $15,500,
 ^	
Russians Accused By Washington Of Dastardly Act
By GEORGE KITCHEN^
WASHINGTON (CP) -The
United States Thursday accused
the Soviet Union of deliberately
shooting down an unarmed American military transport aircraft
which strayed into Soviet territory near the Turkish frontier
five months ago.
Six U.S. airmen are known to
have been killed in tbe attack,
which the state department said it
regards with "extreme gravity."
vThe 11 other memberi of the
17-man crew still are missing and
may also be dead.
The Soviet Union has denied |
that the aircraft was shot down,
contending that it crashed near
mountain in Soviet Armenia. It
also has denied knowledge of the
whereabouts of tbe 11 men still
missing.
DELIBERATE ATTACK
the first time its charge of de-
Thursday, making public lor
liberate attack, the state department said it has evdence '.hat
five Soviet fighters intercepted
the four . engined transport approximately 25 miles inside Soviet territory "and shot it down
without regard to the rules of
civilized international practice."
To support its case, the depart
ment released the transcript oi a
tape-recorded radio talk among
Soviet fighter pilots attacking a
four . engined transport in. that
area last Sept. 2, the date the
U.S, transport disappeared.
Press officer Lincoln White le-
cllned lo say how the tape recording happened to come into
American hands but said the U.S.
government regards it as "absolutely authentic" since it was recorded, at the same time and the
same day the aircraft crashed. It
was presumably monitored by
U.S. or allied listening posts in!
the vicinity of the Turkish-Soviet i
Armenian border.
NO WARNING?
There was no indication that
the attacking fighters had warr-id
the transport- or attempted to
force it down without resort to
firepower.
The story of the kill is told
these words in the English-trans- j
lation transcript:
"I see the target, a large one"
... "I see the target, attack"
... "I am attacking the target"
. . , "the target is a transport,
four-engined" . . "it is turning
toward the fence (border)"
"thc target is '
not get away, he is already fail-
"There's a hit" ... "open firc"
. . . "the tail assemby is failing, .„ — —_, ..... _
off"   . . "look at h m, he will! four-engined transport carries no
ing" ... "I will finish him oft.
boys, I will finish him off on the
run" ... "the target has lost con.
trol, it is going down" ... "form
up, go home."
DESCRIBED PLANE
The state department officer
said the "most, damning" evidence of all was that one of thc
Soviet pilots described it as "a
transport, four-engined." The pi.
lot would know, he said, th'at a
guns or bombs.
CHINCHILLAS FOR MOSS
LONDON (ReutersHMotor
racing driver Stirling Moss and
his falher are reported to be
sinking $28,000 into a chinchilla,
fur business—starting with animals from Canada. They are
importing 60 top-grade chinchillas from Canada by charter
flight.
Weather
Sunny with cloudy intervals. High today 35.
TEMPERATURES
■Toronto   22 34
Montreal   11 33
Moncton    28 35
Halifax     34 41
Sydney     32 34
lti