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Weather Report Cloudy today and Saturday. A little colder TIMES-GRZETTE TELEPHONE NUMBERS Classified Advertising RE 3-3492 All Other Calls ...... RA 3-3474 OL. 86--NO. 45 NTARIO BUDGET asoline, Beer axes Hoisted THE DAILY TIMES-GAZETTE Combining The Oshawa Times and Whitby Gazette and Chronicle . OSHAWA-WHITBY, FRIDAY, FEBRUARY 22, 1957 DUKE IS CREATED EIGHTEEN PAGES Price Not Over 8 Cents Por Copy TORONTO (CP). -- Ontario to- | y announced its first major tax hanges in 18 years, imposing an | -per-cent levy on corporation in- ome and increasing its gasoline : two cents a gallon to 13 cents, he gas tax boost is effective at 2:01 am. Friday. Provincial Treasurer Porter, an- ouncing the changes in his bud- let address to the Ontario legis- ture, estimated they will swell rovincial revenues by $98,500, 00. Total revenue for the new fiscal ear beginning April 1 hit a rec- d high of $594,023,000 compared ith $481,035,000 in the year now nding. Although estimated expendi- ures of $510,967,000 on ordinary ccount -- the day-by-day cost of unning the government -- were 83,056,000 under expenditures, r. Porter budged for a surplus bt $556,000 by application of rev- nue to capital expenditures. IVE-YEAR AGREEMENT He prefaced his summary of tax hanges by saying that Ontario Il enter into a five-year agree- ent with the federal govevrn- ent, starting last Jan. 1, for col-| ection of personal income tax.| rhe province will receive 10 per| ent of federal collections from Dntario residents at the 1956 tax | ate. Revenue this year was esti- Bmated at $63,000,000. However, the province had de- ided not to enter an agreement ith the federal government on porporation taxes. Instea planned to levy the nine per cent e federal government would al- ow as a deduction from its taxes nd add another two percentage points. Net effe: ct was that corporations ould pay up to 49 per cent of net Income in corporation taxes. The ederal government would collect 8 per cent of their income, On-| rio 11 per cent. The provincial corporation tax effective as of last Jan. 1 along th some related levies: Re-im- osition of a special business tax n capital and places of business; a two-per-cent insurance premium x, replacing a former federal tax, to yield $10,000,000; change to increase revenue from mining $9,000,000 and logging lon--to eight cents from six. The, | federal government api ther tax of three cent: ,000. L FUEL TAX { DO by by $1,100 ST DIESE [000,000 in the coming years as live April 1. Previously, d it] against $107,000,000 in the present, year, the budget placed a 20-cents-| a-gallon tax on diesel fuel, effect- the tax was the same as the old rate for gasoline--11 cents. A licence fee for brewers, now| levied at a rate of 8.7 cents al gallon, was being replaced by a complicated new rate structure which would increase revenue by $5,000,000. A tax of one-third of one per cent on fire insurance premiums, to meet expenses of the fire mar-| shal's office, was doubled to two-| thirds of one per cent to meet ris- ing costs. a The province's $510,967,000 in| expenditures for the coming year| included payments of $20,000,000| into the reserve account for high- way building and $17,800,000 for sinking funds. Education took the| biggest share of spending with $139,500,000 plus another $5,600,000 for agricultural colleges. Spending on health and welfare | totalled $94,800,000. Highways and icipal road bsidi took $94,800,000. FACED HEAVY DEMANDS Capital expenditure was fore-| cast at $218,500,000 of which $158,-| 500,000 for road purposes and $45,- 900,000 for public works. Rural power extensions were to cost $8,- 700,000 and special conservation works $4,200,000. : Combined ordinary and capital | expenditure in the coming year would total $709,800,000. Combined | ordinary and capital revenue would be $576,600,000, an increase of $112,300,000 over the present fiscal year. : i Although Ontario's credit posi- tion was strong, it faced heavy demands for services and was compelled to obtain additional |revenue through increased taxa- tion. The federal government's tax |offer fell short of meeting On- |tario's needs although it had rec- lognized in some measure the |province's rights to at least some tax revenues. The last major Ontario tax changes were in 1939 when the province raised Its corporation |tax to five from one per cent and its gasoline tax two cents a gal- | plied a fur- on. gasoline { war. HIGHLIGHTS OF BUDGET Tax of 11 per cent imposed on income all corporations earn in Ontario, to yield $165,000,000 this year. Special business tax on cap- tai and places of business, in- operative since 1951, reim- posed. Corporations tax act to in- clude two-per-cent levy on gross insurance premiums, to yield $10,000,000, replacing tax form- erly paid to federal govern- ment. Gasoline tax Increased two cents, to 13 cents from 11 cents a gallon, effective at 12:01 a.m. Friday. Diesel fuel tax in- creased to 20 cents a gallon from 11, effective April 1. Mining tax revision to iIn- crease provincial revenue by $9,000,000. Logging tax revenue boosted to $2.000,000. from. $900,000 through new arrangement with federal government. Tax of one-third of one per cent on fire insurance premi- ums, to pay expenses of fire marshall's office, doubled. Licence fee on brewers re- vised to yleld additional revenue of $5,000,000. New taxes and revisions to increase provincial revenue by $98,500,000 in new fiscal year beginning - April 1. Record gross ordinary rev- enue of $594,023,000 forecast for new fiscal year, compared with $481,035.000 in year ending March 31. uross ordinary expenditures estimated at $510,967,000 for new year, compared with $480,645,000 in present year. Surplus of $556,000 forecast for new fiscal year after wa ing to capital of hi pond: | p nee urposes of pr HA ture. Gas Tax Boost | Shocks Owners the trucking industry ever made | ¢,iling legislation plans, dropped TORONTO (CP) -- Spokesmen| for Ontario's car and truck own-| ets expressed shocked disbelief to-' day at news the provincial budget' 3p emergency meeting for today. {pension. had increased gasoline taxes by| two cents to 13 cents a gallon and diesel fuel taxes by nine cents to 20 cents a gallon. "It was the most incredible thing I ever heard," said Joseph Goodman, general manager of the Ontario Automotive Transport As-| uch a differential between the tax|p0o sociation. The diesel fuel increase, he said '"'sounds the death knell of the operation of diesel trucks in Ontario." Henry J. Nave, oresident of the White Motor Company of Canada, manufacturers of transport trucks, s8d "If it is true, I find it hard to believe. It is one of the greatest mistakes and blocks to progress of | in Canada." . Diesel truck and equipment sup- pliers in the Toronto area called Warren Hastings, general mana- {rer of the Ontario Motor League, {an association of car drivers, said he could see no reason for the extra tax on gas. "It's unfair," Mr, Hastings said. Mr. Goodman said: "Nowhere in the world is there on gasoline and diesel fuel. There is absolutely no question that this will have to be passed on to the consumer, "Very few. if any, diesels will ernment resolution to widen the today begins debate on the prin- lation we bring forward can be operating in Ontario as a re- sult, At present. diesels are larg- (ely used in the transport of farm {supplies and farm produce. Food 'prices may be affected." CORPORATIONS IN ONTARIO DUE TO PAY D OTTAWA (CP) -- Ontario's new corporation income tax means, in essence province will be the only ones in canada paying double taxes, fed- cral authorities said Thursday. But they doubted that there would be any great exodus from Ontario which. in the eves of the experts, is considered one of the most fruitful industrial markets in Canada. One authority said the increase to Ontario corporations is only two per cent of taxable income and|turn for an annual payment but| LONDON (Reuters)--The Arch- that is not such a great charge that it would scare many of them out of the province. Sanctions To Be Asked UNITED NATIONS N.Y. (CP) in the legislature Thursday criti- murder." The Arab bloc planned to ask the cized the Toronto Daily Star for! UN General Assembly today for "breaking the line" by releasing hill a second reading, agresment economic and military sanctions advance information on the On-|in principle, without voting on it. egainst Israel The ?7-country Asian African group held last-minute conferences on the precise wording of the re- solution. Reports said it will call on UN members to refrain from gwving financial. economic or mil- itary aid to Israel because of her cefusal to oull out of the Gaza Strip and the gyptian coast on the Gulf of Aqaba Te Arab move was spurred by Israel sc refusal to pull back behind t 1949 armistice lines Dispatches from Jerusalem in- cated that the Israel delegation will seek to nave thr assembly de- bate postponed again, until Am- hassador Abba Eban can return to Washington and more r with U.S. State Secretary Dulle The envoy which pre- assembly EST to the om OUBLE TAXES | Officials here said the Toronto |announcement cleared up a lot of that companies in that points in connection with the new| federal-provincial tax sharing formula, They said the outlook now is: 1. All provinces except Ontario and Qu will rent all their di- {rect tax fields to the central ad- ministration for five years in re- turn for fixed annual payments based on the tax-sharing formula. 2. Ontario will rent her personal {income tax field to Ottawa in re- will set up her own collection ap- paratus for corporation income "tax. Frost Raps Star | Budget Release TORONTO (CP)--Premier Frost tario budget before the budget was introduced in the legislature Copies of the newspaper contain. ing budget material were in the legislature before it convened at 3 pm. EST, Part of the budget was made available to the press in advance for release in Toronto at that time, Damage $2,000 In Toronto Fire ! TORONTO (CP)--A fire Thurs confer once cay might caused an estimated| £2,000 damage to a newly-opened was. due late b.ock of apartments in a civic low-| rental housing project for the aged at Rexdale near Thistletown, on the northwestern outskirts of Tor- onts Parliament At-A-Glance By THE CANADIAN PRESS Thursday, Feb. 21, 1957 Prime Minister St. Laurent, de- a hint that the budget will an- nounce an increase in the old age Defence Minister Campney said {U.S. jet interceptors armed with {atomic rockets will fly over Can- ada only in a "grave emergency." SNES SAVED FROM BURNING NEW Four small children were | more, 20, shown here dropping | saved from a burning home in | the youngest, Belinda Woods, Camden, N.J., by Marvin Gil- | nine months old, to waiting | BABY PRINCE OF REALM Settlement Seen Near At Werners | At the morning meeting today | Mr. W. Ross had this to say about the walkout: "As far as the union is con- ? cerned there has been an emer- | [gency meeting Thursday and Fri- i: |day to consider what we feel is § an unfair action on the part of the company. "We don't call this a strike as no strike vote has been taken. "'Another meeting will be held this afternoon to consider the sit- uation further." Possibility of an early settle- met in the walkout of more than 7 [150 workers at the R. D. Werner ' |/Canada) Ltd., plant in Oshawa, loomed this morning as a meet- ig of members of Local 2784, United Steelworkers of America, tre effected group got underway. Employes at the aluminum pro- cessing plant walked off their jobs Thursday afternoon when they were allegedly refused per- mission to attend an emergency union meeting, Gerald R. Whipman, secretary ard managing director of the company, called the strike "un- lawful and a violation of the tnion and company agreement." George Paterson. president of Local 2784, had 'no comment' this morning when queried before the meeting. "We will have some- log to say ae the meeting," n ternational representative, said the workers asked the company for leave of absence fo attend a lurriedly - called meeting of the union Thursday afternoon. When the company refused the day shift walked out, he said. EMPLOYS 230 MEN The plant employs about 230 men on three shifts. A meeting of the local members was called for this morning and at press time they were still in session, The walkout will be dis- cussed and the union will issue a statement on the situation. Pos- | «ibility of an early settlement was hinted at in iabor circles. A statement on behalf of the company was issued this morning JERSEY HOME spectators on the sidewalk below. Gilmore later escaped by climbing down electrical | conduits on front of home. Finance Minister Harris an- nounced a federal grant of $250,-| towards construction of a permanent theatre for the Strat: | ford Shakespearean Festival. | The Commons approved a gov- iscope of federal grants paid mu-| |nicipalities in lieu of taxes on| crown property. Senator A. N. McLean (L--New Brunswick), a former banker, said | the Bank of Canada is following | "an outdated monetary system" |of high interest rates. | The Cc debat {pal grants. The Senate is ad- |journed until Tuesday. Says Mercy Killings Are Murder {bishop of Canterbury said Thurs- day "Mercy killing should be re- garded as murder and nothing else." Dr. Geoffrey Fisher told the House of Lords during a debate on a government bill to change the {law of murder: 'Many people require fortifying against' the idea that a mercy (killing is a rather good kind of The House of Lords gave the The bill, already passed by Par- liament, confines the death pen- alty to certain types of murder, including murder committed in the course of theft; in resisting, avoiding or escaping from arrest: or by shooting or by causing ex- plosions, Those who kill for a second time, or kill a policeman or prison officer, also will be liable to the death, penalty The lord: chancellor, Lord Kil muir, referred to mercy killing in explaifing why the government had decided against making pois- | oning a capital erime. | He said he thought it impossible | to distinguished by legal drafting] between the "commonest form of | poisoning, the mercy killing of an| incurably sick person, and the de-| liberately calculated murder for! gain" | | » jd {HINTS PENSION RAISE |would be consequent" upon Bill Would Double ~~ | Property Payments OTTAWA (CP)--The Commons! | "We always hope that the legis- 0 ciple of a bill that would roughly through," Mr. St. Laurent told] double federal payments to mun- tempt to rush matters," he added. | icipalities on crown property. "In other words, the election is The bill was introduced Thurs- most important," interjected Hon, ay night after the House ap- gar] Rowe (PC -- Dufferin-Sim-| proved a resolution outlining the oa), legislation, i . Mr. St. Laurent replied: "Under! Finance Minister Harris has'; gemocratic system 1 think that| said that under the amendments ojections are extremely important to the Municipal Grants Act fed-'anq that periodical elections are ici- (eral payments would jump to be- ihe pest safeguard for the res-|was something you see every day. tween $16,000,000 and $20,000,000 2 4 ' ear Trim. 39.500. pect of He Fights of the people. All opposition speakers gave NEEDS "A MEAL | qualified approval to the pro-| "There is no point in giving] posed legislation, claiming if municipalities a mugful when doesn't go far enough in helping what they need is a meal," said municipalities meet their rising'J. M. Macdonnel, the Opposition's costs. Ifinancial critic. The government proposes, in ef- Earlier, Prime Minister St. Lau-|fect. to pay taxes on all its fed-| rent hinted that this year's budget eral property, except on such speech will announce an increase things as parks and museums. | in the old age pension, now $40 However, the assessment of prop- monthly. erty and tax rates will be set by; He disclosed a list of about 20 the government. | measures the government now is| The central government now| contemplating for this session, but pays grants in lieu of taxes on! it did not include pension legisla-lcrown property whose assessed tion and CCF whip Stanley value exceeds two per cent of a Knowles asked whether that door municipality's total property as-| had been shut. sessment. "That would be something that, Ambrose Holowach (SC --Ed- the monton East), Michael Starr (PC budget," Mr. St. Laurent replied --Ontario) and D. R. Michener| without elaborating. (PC--Toronto St. Paul's) all called There is speculation that Mr. for a federal-provincial-municipal| Harris will announce the increase conference aimed at re-allocating in his budget speech, likely in the taxing powers. last half of March, and that Parl! So far, the government has re- iament will be dissolved shortly jected such requests but has let afterwards for an election. Theit be understood that the prov-| likely elections dates most fre-linces could bring municipal ob-| quently mentioned are June 17|servers to federal-provincial con-! and May 27, both Mondays ferences LATE NEWS FLASHES .« r . . Escapes Assassins Bullet in Saigon SAIGON (AP) South Viet Nam's President Diem today escaped an assassin's bullet which wounded a government minister | 1 Ngo Dinh | seriously Hungarian Press Attacks Mindszenty BUDAPEST - The Hungarian press ioiay again altacked Cardinal Josef Mindszenty, Roman Catholic Primate of Hungary, who is being sheltered in the U.S. Legation here. Take Steps To Crush Uprisings VIENNA (Reuters) Hungary's has taken a number of steps aimed uprising March 15, reports reaching here Communist regime at heading off said today, new an out the directions. by Mr. Whipman. He said: "The strike is illegal and un- lawful as the workers have violated the agreement between the company and the union. "It is true that the emp! "Stalin" Walks Uninterrupted Ju oun si 270 LOS ANGELES (AP) -- Josef but it is illegal for them to stop Stalin walked the busy downtown | work when the whole plant is streets--and hardly caused a stir.| working just because. sc Actor Maurice Manson, a strik-|7aYS let's all go to a meeting and : : «they all quit. ing double for the late Soviet|'"S} i dictator, Thursday strolled for | All employes were working several blocks wearing an exact| Inursday 3ftertioon 2a Fi fhe} copy of Stalin's marshal uniform, ({P2NAZETIEN a S| ABE complete with hammer and sickle "em Save o 2 foe Jimediate on dne epaulets, int When this ee was re- | There ere 2 fw double takes | ged, they all quit and walked among the passersby, but most : (out of the plant, 1 looked at him as though Stalin] "We feel this walkout is illegal | 3 and violates the union - company | Al one corner, he asked a police-| or oment. The strike itself is un-| ; lawful." | "Could you tell me please how | Some of the workers involved | I find FBI? 1 joost come here (aig grievance procedure between from Russia and don't know my ihe union and company was way yet." underway and they were tired of The officer courteously spelled | yy ajting for the company to deal ire s. Manson with these, some pertaining to thanked him in a Russian accent |senjority during layoff. Nearly 25| and the officer, with no trace of haye'been laid off recently. | a smile, went back to blowing his| Whether the striking workers] whistle. {will return to work soon will de-| Manson is playing the title role rend upon the result of this morn- in the movie 'The Secret Diary of ling's meeting of the involved local Josef Stalin, 'members. US. Listens To Israel Request M. HIGHTOWER | By JOHN Eisenhower and Dulles were de- WASHINGTON (AP) -- Officials [scribed as reluctant to accept the =~ state- be: said today the United States will|premier's parliamentary agree to Israel's request for|ment as the last word. They - further talks on the question of|lieve he may have sent by Eban| withdrawing her troops, but will {some modifications which would in not seek to delay United Nations|some manner change the situa- pressure against the Jewish state. |fjon Israel Thursday rejected Presi-| Ben-Gurion said Israeli troops dent Eisenhower's newest appeal | cannot be withdrawn from Egypt-! that she withdraw her troops from jan territory bordering the en-| the Gaza Strip and the Gulf of [trance of the Gulf of Agaba or Aqaba area. But Premier David from the Gaza Strip until Israel's| Ben-Gurion added "we hope the interests in the gulf and the strip door is not closed to further dis-| gre guaranteed. cussion' and said his government On these fundamental points, will make a further effort to reach |Ben-Gurion's view clashed head-on an understanding with the U.S with what Eisenhower said Wed- Officially, the U.S. withheld its nesday night. The president as- reaction pending a detailed study |serted that Israel must get its of B en-Gurion's declaration to the troops out of both places without|did not know he had killed his Israeli Parliament. Eisenhower | insisting on, guarantees. | I'? and State Secretary Dulles also i Ex awaited a new message from Ben- {INVOLVES PRESTIGE Gurion in response to an Eisen. | hower personal appeal. one which now involves the prest-:| The Ben Gurion reply ap-|ige and effectiveness of the United | parently is being brought back Nations and he said that the UN! here by Israeli Ambassador Abba has no choice but exert pressure Khan, who is expecled sometime on Israel to compel withdrawal of Saturday. Ithe troops. , Paterson said. Keith W. Ross, the union's in-|gtand loyes | someone | |expected to adopt the system if it . . {taken there after being wounded Eisenhower pictured the issue as in a gun battle with police. killed my wife." New Title Announced In London NDON (Reuters)--The Queen today created her husband, the Duke of Edinburgh, a prince of the realm, A notice in the London Gazette said: "The Queen has been pleased by letters patent under the great seal of the realm bearing date 22nd February, 1957, to give and grant unto His Royal Highness the Duke of Edinburgh, KG, KT, GBE, the style and titular dignity of 4 Prince of the United King dom of Great Britain and North. ern Ireland." A separate notice in The Ga- zette said: "The Queen has been pleased to declare her will and pleasure that His Royal Highness the Duke of Edinburgh shall henceforth be known as His Royal Highness the rings Philip Duke of . urgh. Authoritative THE DUKE OF EDINBURGH Bids To End Deadlock TEL AVIV, Israel (Reuters)-- {Abba Eban, Israeli amb dor to the United States, left here today for Washington in a new bid to | break the deadlock over terms for | withdrawal of Israeli troops from Egyptian territory. | Some reports here suggested Eban was empowered to say Is- rael would withdraw from the Gulf of Aqaba coast on the basis of a declaration by the U.S. and other powers that the Tiran Straits are an international waterway. Such a proposal would be & ma concession from Israel's previous The declaration would be ac- companied by a simultaneous Is- rael statement that she would re- gard any attempt to interfere with freedom of passage of her ships through the gulf as aggres- sion, to be repulsed by any means {at her disposal. Other reports said Eban was in- | structed to follow up reported Ca- {nadian suggestions for patrolling |the Gulf of Agaba by UN war- ships in order to prevent a re- inewal of Egypt's blockade of the {waterway when Israeli forces | withdraw. sources said the r that the duke be given the new title came from ie Minister Harold Macmil- an. They said Macmillan and his senior colleagues in the Joverss ment felt recognition would thus be given to the duke's services to Britain and the Commonwealth, cluding the recent world tour ut he has just completed. In. accepting the she the proposal, Queen has let it be known would like duke be 4 Joe His Royal hg as His less the Prince Philip, Duke - nburgh. The new title hax no effect on the succession to the throne. It does not call for parliamentary legislation, nor does it mean that he becomes prince consort, the status given by Queen Victoria to her husband, Prince Albert. The duke's official title until now has been His Royal Highness, the Duke of Edinburgh, The duke has been popularly known as Prince Philip but up until now this has not been an official title. Philip was born a Greek prince but before his mar. Another proposal Eban is re-|riage to Princess Elizabeth he re- | ported taking to Washington is for nounced the title. (immediate withdrawal of Israeli| In the official rollcall of peers troops from the Gaza Strip but Edinburgh ranked not as a royal |icaving a civil administration duke but as the latest ducal cre- | there, ation. Map New Plan For Ticketing TORONTO (CP)--A new system|swear his complaint later before of ticketing and summonsing mo-|a justice. torists for traffic violations is pro-| Also given first reading was a vided for in a bill introduced|bill which would increase the tax Thursday in the Ontario legisla- on gasoline from 11 to 13 cents a ture. {gallon. The two - cent increase The legislation would permit fhe Would 2pply to aviation gas for the use of a uniform traffic ticket I throughout the province but it| ae bill ax uoduced shorty would be up to the individual mu-|2 fer Provincia Li Porter nicipalities to decide whether to] So © railed 4 Seget ad rd use it. The provincial police are reotive today. ' the| Premier Frost served notice he {wants federal government agree- ment on Ontario's Jroveseq hos. pital insurance plan before Parliae Tent is dissolved within a couple of month: receives the = approval of House. The proposed traffic ticket would| be made up of four parts: Com-| plaint, report of conviction, police| S. record and summons. | If an agr t was not r A motorist would receive his by then there would never be one, summons along. with his ticket/He said the Ontario scheme was from a police officer. The system|drafted within the framework of was designed to streamline prose- the federal plan, which offered to cution of motorists who violate pro- pay part of the cost. He saw no vincial and municipal traffic laws reason for an agreement not being and to eliminate some of the red reached. tape involved in the present ar- Mr. Porter was more definite rangement, whereby a summons about when an agreement should must be served personally on abe made. He outlined a grant sys- court order. jem for municipalities ii ch would e launched when e Ontario NOTIFIED BY MAIL HT Fe was started Jan. 1, 1959 A motorist who pleads guilty pt said it depended on an agree- when issued with the ticket sum-\ment being reached with the fed- mons would be notified by mail of| gpa) government before the end his fine. A police officer must|of March. Other bills introduced Thursday included one which would permit sgoode Hall to grant degrees in law and would enable a public trustee to get full information on |the business affairs of corporations controlled by charitable founda. tions. hod | Rs | testified Thursday he| wife, Edna, until ke was charged Man Convicted Rradley, 43, of nearby Merritton No Deaths A the death of his wife last Dec. 21.| 0 ea J $ randed out next week. Bradley Bradley U.S. Air Force C-124 carrying 128 while a patient in Lospital. He was No deaths were reported but an He said he only intended to| The plane hit the island about z "The gun went off in my hands," land from Japan with a full load In Wife's Dea th Thursday night was convicted on The jury deliberated four + Plane Crashes was originally charged with adley American servicemen crashed on undetermined number were in. frighten his wife by threatening to|10 miles northwest of Seoul's Kim "1 didn't know I had servicemen refurning from ST. CATHARINES (CP)--Elgi|-- a reduced manslaughter charge in! Sentence will probably be ya SEOUL. South Korea (AP)--A an island in the Han River tonight, jured, a spokesman said. kill himself with a shotgun po airport where it was about fo eave, he said