Winnipeg Free Press

Winnipeg Free Press (Newspaper) - December 10, 1971, Winnipeg, Manitoba Winnipeg free Purkis Friday Dott matk in 1s71 fear free press non fiction contest Winner Peter ferns ranked by the two runners up Norman n. Singleton and Lona Weenusk beams As nes the final contest standings. Or. Ferris won w i. An ,. Of. Of flying while or. Singleton took the second position incenses miss Weenusk of Oxford House took place with a of an Indian s difficulties moving Between re an d be Wor id Able mentions in the contest went to Beverley Archer of Transcona Fred me guinness of Brandon Man. Albert Lassie of St. James ass Minoia v. L Dut ton of fort Caw and Max Golden of West Kildonan. The annual contest is in snored by the free press and the Canadian association hmm Peg Branch. _ _ Ernst outlines role by Vern Fowlie Klaus Peter Ernst 37, of West Germany told the com Mission of inquiry into the Churchill Forest industries Complex thursday that his fam ily s participation in the scheme could be compared to someone jumping into a moving car under the impression both the car and its Driver were Good. The ernsts were involved in the . Industrial Mills Ltd. Paper Mill putting up about million in Cash in a joint venture with the helmet an Start of Liechtenstein. The Basi Cally 50-50 partnership functioned through Hergard Ltd. Which was said thursday to have 90 per cent of the common shares and 100 per cent of the preferred shares in . Indus trial Mills Ltd. Or. Ernst son of Wilhelm Ernst of Wilhel staler papier Fabrik a Mph in West Ger Many was testifying before the commission of inquiry into the forestry Complex. Commenting on his family s venture into the project or. Ernst said the project was approved by three Manitoba pre Miers and that the government the Manitoba development fund now the Manitoba development corporation was put Ting up about million in the forestry Complex. He said he could not think of better Security. He said this save a Good feeling of Security. Or. Ernst said that in effect the ernsts joined a rolling car and thought both the car and the Driver were Good. He listed the As or. Alexander Kasser of techno pulp inc. Of Montclair. New Jersey and or. Oskar Reiser of Monoca a of Switzerland and the first pres ident of Churchill Forest Indus tries Manitoba Ltd. He said the concept Laid out and fixed and said he was glad there was a place in it for the ernsts. He said they believed in the project. He testified that even now he thought the concept of the four firms in the Complex was the Best and said it had looked very profit Able. . Industrial Mills Ltd. Was one of the four forestry firms placed in receivership Jan. 8, 1971. The others were Churchill Forst industries Manitoba Ltd. River saw Mills company and James Ber Tram and son Canada Ltd commissioner Leon Mitchell asked or. Ernst who was out to make Money and who was to be giving Money who was inter see Story on Page 16 ested in making Money out of the car. He asked if or. Kasser and or. Reiser were out to make Money or to help the indians in Northern Manitoba. Or. Ernst said he was sure or. Kasser was interested in making Money but that there was More than one Way of making Money. He agreed that the ernsts hoped to make Money too. He said it was thought the paper Mill would be profitable by about 1980. He said or. Kasser told him the paper Mill could compete on the Market and be two to three per cent cheaper than the Competition. Or. Ernst also testified he had no reason to think that about million for a 350-ton per Day paper Mill was too High. But he said he would be astonished to learn a 1969 paper Mill of 350 tons per Day was built in . For million. As for judging what was a reasonable Cost or. Ernst said they relied on the firms involved and that they approved the million. He said he did not know How to test the million Price except by asking people. He said the ernsts found it realistic. That was Why the ernsts accepted it. He said. He testified the ernsts did not see a feasibility study on the proposed Mill before enter ing the project. He said or. Kasser and or. Reiser explained around a table How it would look and said it should Start to make a profit after about two years of operation. He said it was thought the development fund would ensure there were feasibility studies before putting up Money and that it was thought Why Duple or. Ernst also testified that the first the ernsts Learned that Richard Krauss of West Ger Many was to become president of . Industrial Mills Ltd. Was when or. Kasser Tele phoned in about january 1970, to ask if the ernsts had any objections. Or. Krauss now is president of the paper Mill and replaced Clarence Ayearst. A retired banker from Lachute que. Who was president from october. 195s to april. 1970. The commission of inquiry was confronted on wednesday with an undated and Anzio died employment contract which would have made fund chair Man Rex e. Grose president or general manager of . Indus trial Mills Ltd. Or. Ernst s financial adviser at the inquiry Ludwig Hoefeld testified on thursday that at one Point or. Reiser telephoned to say that or. Grose had accepted another position. Or. Grose was general Man Ager of the development fund in 1958 and later also became chairman. He became full time chairman in 1966 and resigned from the fund March 31, 1970. Or. Ernst testified he did not know of the May 30, 1969 turn key contract Between the paper Mill and Bertram Verkauf a of Kloten Switzerland until the summer of 1969. He said he did not see the contract until february 1971. Also he said he was never told there was both the turnkey contract a Cost plus contract for million and an Amend ment to that contract making it an upset Price a ceiling on Mil Nofu seeks Farmer licensing continued the Union also Calls for amendments in Bill c-176 to make the National farm products marketing Council pro posed in the Bill fully accountable to parliament for its actions and activities. The Bill As it now stands makes the Council responsible to the min ister of agriculture. The Union also wants this Council to be responsible for the issuing of permits for food imports into Canada. The livestock policy also Calls for the development of a mar Ket system capable of stabilizing livestock prices at the farm with Forward pricing to avoid undue fluctuation in Market conditions. The policy also recommends to the Federal government that livestock Breeding herds be treated As capital for income tax purposes at the option of the producer. The Union also adopted a National Dairy policy which in part Calls for the importance of maintaining a sound Dairy Industry in. Canada being recognized. The policy Calls for stringent controls to prevent Large Dairy corporations from gaining mar Ket control. The Union s adopted policy on fruits and vegetables recommends to the executive Board of directors that research be initiated to develop an alternative to the present poll bag pack ing of apples. The delegates agreed that this Type of packaging damages the apples and re sults in lost returns to the pro Ducer. Subway fire kills one continued lion dated the same Day. He said he heard of tech no pulp a of Switzerland in 1969 As Well and thought it was All right. A lot of business is done through Switzerland quite legally he said. Asked if he knew Lloyd Hale who now is president of Chur chill Forest industries Mani Toba or. Ernst said or. Hale did a feasibility study on Wilhel staler Papie Fabrik a Mph s paper Mii in no vember 1968. He said in 1970 he Learned or. Hale also was on he Board of . Industrial Mills Ltd. He said of the feasibility. Study. Or. Hale was recon i Taratus. Mended by or. Kasser. That the i after their first efforts had Ernst firm paid or. Hales failed the firemen decided to the train had just discharged its passengers in the station and was switching tracks when the collision occurred. A fire department spokesman said the Blaze which broke out at p.m., was probably started by a Brake shoe which overheated after the crash and ignited a motor unit. The firemen were hampered in their efforts by Black oily smoke that poured from the storage and shunting Tunnel 300 feet beyond the station. About 30 men equipped with High pressure hoses waited in the station while other firemen opened a ventilation Shaft about j 1.200 feet away. But once the Shaft was opened the thick smoke was forced through the Tunnel and forced the firemen in the station to get out. Smoke had accumulated to such an extent shortly after the mishap that firemen entered the Tunnel from the station with ropes tied around their waists and with special breathing a a Nakai travel expenses but that or. Hale was paid by or. Kasser. He said the ernsts did not pay i either or. Hale or or. Kasser for the study. He said it was hoped the re port on the Mill in Germany would help in Selling it. It was i to be sold through the helmet j Anstatt on the recommendation j of or. J the questioning and Cross sex j lamination of or. Emst largely were completed thursday but one lawyer said he later May i request that or. Ernst be re c a 11 e d for further Cross sex i lamination. The questioning of or. Hoefeld also was completed. The three member commis Sion of inquiry sat extra hours on thursday 10 Complete the current round of testimony and then adjourned until 10 . On Jan. 10. 1972 in the auditorium of the Torquay building 401 York Avenue. Or. Kasser then is scheduled to appear before the inquiry. The members of the commis Sion Are c. Rhodes Smith chairman retired chief Justice of the Manitoba court of a peal Murray s. Donnelly pro Vost of University College. University of Manitoba and or. Mitchell. Chairman of the Mani Toba municipal Board. Enter the Tunnel through the ventilation system and drive the smoke out through the Sta Tion exits. About 20 firemen and a sub Way technician were taken to Hospital suffering from smoke inhalation. Police closed off Henri Bourassa Street near the station j thursday night and it remained closed today As several of the 30 pieces of fire equipment j stood by. I a spokesman for the Mon a Treal Urban Community transportation commission which operates the subway system. Said today that service would i be provided from the Rose mount station to the Bon Ayen lure station Southern terminal of the eight mile line longest of the three Branch metro system. The Rosemount station is six stations South of the Henri Bourassa terminal. Canadian wheat affected Bertrand continued to Hospital Quebec ;