Cedar Rapids Gazette, May 28, 1974

Cedar Rapids Gazette

May 28, 1974

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Issue date: Tuesday, May 28, 1974

Pages available: 56

Previous edition: Monday, May 27, 1974

Next edition: Wednesday, May 29, 1974

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Publication name: Cedar Rapids Gazette

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Cedar Rapids Gazette (Newspaper) - May 28, 1974, Cedar Rapids, Iowa Cloudy with ocea- slonul showers (anight und Wednesday. Ixw tonight near GO. High Wednesday in the 70s and lower 80s. CEDAH RAMOS, IOWA, TUESDAY, MAY 28, 1074 CITY FINAL 15 CENTS ASSOCIATED PRESS, UPI, NEW YORK TIMES Drop to 7% WASHINGTON (AP) Presi- dent Nixon Tuesday sent con- gress a special economic report predicting that the surge in in- flation should subside to aboul seven percent in the last quar- ter of this year. In the past three months the cost of living increase has been at an annual rate of 12.1 per- cent, the highest level since 1951. The President, following up on a weekend radio address, told congress he sees "signs of improvement" in the economic outlook and added: "Although the recent events are'not conclusive they tend to strengthen the expectation that in the remainder of this year, output will be rising rapidly, prices will be rising much less rapidly and the unemployment rate, while it will probably rise further, will not reach a very high point before it recedes." Cabinet Mcciing As the report to congress was released, Nixon convened a mid-morning cabinet meeting, presumably to discuss the econ- omy as well as other current issues. Among the participants was Kenneth Rush, designated by Nixon on Saturday as co- ordinator of domestic and inter- national economic policy, Nixon's economic comments came, in a preface to a special report prepared by his Council of Economic Advisers. The ad- visers made these major points: By the fourth quarter of 1974 "we should see a rate of infla- tion substantially.below the re- cent 12-percent rale We would suggest that the rate in the fourth quarter might be in the neighborhood of seven per- cent." The budget deficit for fiscal 1975 will be larger than origin- ally estimated, billion in- stead of billion, but the deficit for 1974 should be small- er than forecast, billion instead of billion. Once the administration's policy of monetary restraint succeeds in subduing inflation, "interest rates will decline." But the economic advisers did not predict by how much. The, unemployment rate which was 5 percent in April probably will rise lo between 5.5 and 6 percent in the months ahead. Second half of 1974 should see an increase in production of be- tween 2 percent and 4 percent. "Avoid Temptations" Nixon warned in the report that "there is a special danger that the decline of the inflation rate will be small and soon re- versed if we do not firmly re- sist temptations to new infla- lionary policy." Among the temptations he mentioned were a tax reduction and spending in excess of hi? proposed budget. Nixon urged congressional ac- tion on his trade, energy, and other legislative proposals, con- tending: "There is so much lo do that we cannot afford to waste time arguing about whether our prob- lems are greater or smaller than our blessings. If we con- centrate on working together on the problems we shall be belter off, both for the solu- tions reached and for the work- ing together." Today's Index Comics .....................21 Crossword ..................21 Daily Deaths .......................1 Editorial Features farm ......................12 Financial ..................22 Miirion .......Id Mnvies 20 Society Sports ...................15-18 Television ..................HI Want Ads................2.1-27 UPI Telephoto UPI Telephoto ROUGHING IT Housewives in the Protestant area of Belfast cook in the street Monday after gas and electricity were cut off in the Protestant w orkers' general strike. Strike Forces Ulster Regime Out BELFAST (AP) The provin- cial government announced its resignation Tuesday as militant Protestants began halting es'sen- .ial services in a showdown with British troops sent in to break he Protestants' two-week-old ;eneral strike. Britn Faulkner, head of the irovincial government, or Exec- and other Protestant moderates in his administration quit after the British govern- nent representative in Northern reland refused to let them talk vith the strikers. "Country Paralyzed" "We are not prepared to see iur country paralyzed and to see our people Faulkner said in a resignation statement. That is what would have hap- pened if this strike continued." Roman Catholic members of he administration, who had hreatened to quit last week jefore British troops were M-ought in to break the strike, lid not formally resign. But a British government statement said the provincial [overnmcnt could not continue vilhout the Protestant nembers, and added that there 'is now no statutory basis for he Northern Ireland Exccu- ive." Its fall was a clear victory for he striking militants who had demanded the end of power sharing with Catholics and the crapping of an for closer relations with the largely Catholic Irish republic to the south. -Some polilical observers felt the strike would now end. But others said that might depend on the next move by Prime Minister Wilson's government in London. Two Alternatives Wilson had two alternatives. He could ask his minister in Northern Ireland, Merlyn Rees, to try'to set up a stopgap pro- vincial government, or Wilson could formally declare the rein- troduction of direct rule of Northern Ireland from London. If he chose the stopgap Execu- tive formula, the Protestants would undoubtedly continue their strike. However, their leaders have said they would probably end the strike if "direct rule were imposed. But direct rule, which means the governing of Northern Ire- land from London, would be resented by Roman Catholics, whose militant factions have been relatively quiet during the Protestant strike. Northern Ireland's civil tur- moil, in which more than have died, erupted five years ago. In March 1972 London began direct rule of the prov- ince in a bid to find a solution. That period of direct rule ended just six months ago when the Executive led by Faulkner was set up. It gave Northern Ireland its first Protestant-Cath- olic power-sharing government in 50 years. ahoV' Cathoiic militants never accepted the ad- for the IRA Provisional Win said. "We are concentrating on de fensive-.. measures; against an attack by -Protestant tary ministration, in. wJiich .The spokesman said .the IR moderate co-religionists partici- pated. Most Obeying Angry strike leaders orderec all Protestant workers except 'hose in hospitals to walk ofl iheir jobs at midnight, and il appeared most were obeying their stop-work call. 'Let the army bury the declared Glen Barr o the Ulster Workers' Council which is coordinating the strike "We'll eat grass before we're beaten." Manual workers abandonee their jobs at the only remaining power station in operation al midnight. The electricity sup- ply, already at 25 percent ol normal, was being tapered of: and a total blackout in the six counties of the British province was expected within 24 hours unless British soldiers coulc keep the plants operating. War Footing The outlawed Irish Republi- can Army (IRA) meanwhile or- dered all Roman Catholic neigh- borhoods placed on a war foot- ing. W c are anticipating doomsday situation and have alerted all our men to protect Ihe Catholic spokesmen Think Patricia HQS Disguised Herself LOS ANGELES (UPI) -The 'BI and police arc examining 'olaroid pictures which may show Patricia Hearst changed icr appearance significantly, cutting her hair short and dying t bright blonde. A police spokesman confirmed Monday (hat investigators have partially burned picture Ibat nay show Miss Hearst, carry- ng a gun, in a group photo with ncnibcrs of the Symbioncse Lib- eration Army, posed before their seven-headed cobra flag. Not Ihe Same The photo is similar lo one niblishcd in Ibis 'week's News- vcclc magazine, but is not, Ihe same photo, police spokesman said. liolh pictures were found >y nmnlcnr souvenir mking in Ihe ashes of house vhcre six SLA members died May 17. As in Ihe Newsweek photo, po- lice snld, Ibi'. woman believed to lie Miss Hearst, "was definitely her hair a much bright- er shade than is seen on the pho- tos of Miss Hearst used on the thousands of FBI "wanted" posters distributed throughout California. "She appeared lo have her hair cut just below her ears, .shorter than in the earlier pho- tographs that have been re- said police Cmdr. Pe- ter I lagan. That would confirm some re- ports by persons who claim lo have seen Miss Hearst in recent weeks. Newsweek said the girl's par- ents, Randolph and Catherine Hearst, examined its photo through a magnifying glass, and Mrs. Hearst .said her daughter definitely was not in Iho pic- lure. Mountain Hiding Hearst, president and editor of the San Francisco Examiner, was quoted as .saying, "II. could be, but toil. I can't posi- tively identify her as my daugh- ter." FBI spokesman Richard Woolf said Monday that officials the- orize Miss Hearst and SLA mem- bers William and Emily Harris may be bidden out in mountains around Los Angeles. "You have lo consider the possibility thai they're camping out since Ihcy apparently bought outdoor clothing at the sporting goods Woolf said. The Harris' and Miss Hears! were identified by authorities as participants in an incident May in which they said Harris bungled a shoplifting at a sub- urban sporting goods store and Miss Hearst sprayed the store with automatic rifle fire. The Ihrcc are wanted on 111 slate felony charges each, including robbery, assault and kidnaping. "It's possible they've found someplace where they haven't been recognized or they're slay- ing with some to their Woolf said. h as already commandeered gallons of gasoline lo be issued (6 ambulances carrying Catholic wounded if open fight- ing does break out. Bomb Blasts Anti-Fascist Rally, Kills 9 BRESCIA, Italy (AP) bomb exploded at an anti-Fas cist rally Tuesday, killing nim persons and wounding 50, of fieials said. President Giovanni Leone called the incident a massacre and said it was "clear evidence of an attempt by tiny and squal- id terrorist minorities to throw the state and the1 nation into chaos." He urged the govern- ment of Premier Mariano Rumor to pursue those responsi- ble "with the.utmost energy." Police said they could not im- mediately determine if an ex- plosive device was thrown into the crowd or if a time bomb hac been planted in advance at Ihe Piazza Delia Loggia. Vigilance Plan When the bomb exploded, workers participating in a four- hour citywide strike were listen- ing to union leaders urge the crowd to "be vigilant against Ihe permanent Fascist threat to Italian democracy." Those on the speakers' plat- form included Brescia Mayoi Picro Boni. "I heard a terrific roar at the opposite end of the square but 1 could not tell what was happen- Boni said. "Thousands jammed Ihe place and every- body had unfurled an umbrella occausc there had been a rain- storm a short time before." The rally had been called by the unions at Ihe request of a anti-Fascist committee. The committee said il was irolcsting "obscure F a s c i s I citing the arrest of 20 jersons laler charged as ac- complices in a rightist plot to stage bombings and stir up sub- version. "Mussolini Squads" Police said I hose arrested in- an industrialist and others linked lo "Mussolini Ac- ion an underground n-oup named after the late Fas- cist dictator of World war II Inly. The explosion came five days (ConllimwiTpage if, Col. 7.) Supreme Court Sets Tape Reply Thursday WASHINGTON (UPI) The upreme court Tuesday gave 'resident Nixon until Thursday o reply to prosecutor Leon Ja- 'orski's request for a quick uling by the court on his de- nands for additional tapes and ocumcnls dealing with the Wa- ergate cover-up. A spokesman for the court aid James St. Clair, the Pres- dent's chief Watergate lawyer, ad been asked to submit "an xpeditcd response" to the ap- eal by Jaworski. Under the usual rules, St. lair would have 30 days to file is answer. Jaworski's appeal marked the first time that su- preme court has been asked to intervene in the long-run- ning legal battles over the While House Watergate tapes. Jaworski suggested that, if he supreme court accepts the ase, briefs be submitted by lune 14, after which the court vould hear oral argument. Bypass Appeals Court U. S. District Judge John Siri- ca on May 20 ordered surrender of tapes and records of 64 con- versations subpoenaed by Ja- worski a month earlier as possi ble evidence in the Watergate cover-up trial. The President's lawyers took the case to the U. S. court of ap peals. But Jaworski, in a sur prise move last Friday, askei the supreme court to let th case bypass the appeals courl He said the matter was impor tant enough to justify deviatin] from normal procedures Although (he supreme court rarely bypasses Ihe appeals court, it done so in cases involving seizure of steel mills in the 1350s, a coal' mice strike during World war II and a few other instances. The cover-up trial, in which ormer top aides of the Pres- dent are defendants, is sched- iled to begin Sept. 9. Jaworski old the high court that failure .0 resolve the dispute over evi- dence could delay it until the spring of 1975, or approximately six months, unless the supreme court should convene in special :rm. The present term will pvoba- jly end in late June, before the appeals court could decide the ase. Issues The principal constitutional ssues were raised in a similar :ase last year and decided by he appeals court against the 'resident. He did not appeal to he supreme court, but turned ivcr the evidence. Jaworski said the issues are: Whether the President or the :ourts are to decide whether N'ixon may withhold evidence needed in a criminal case on grounds of "executive privi- lege." Whether privilege can he in- voked in the face of a showing that, unless rebutted, the con- versations involve a crime. Whether grounds of confiden- tiality can be cited when the President has already turned over similar data. Tie Threat Justice Rchnquisl took no part in the invitation to the White House for a response to Ja- worski's petition. No reason was given for his abstention and his office refused comment. Rchnquisl's office also refused to say whether he would participate in future de- velopments in the case. Rclmquist's abstention from future developments would raise :he possibility of a 4-lo-4 dead- ock by the nine-member court. Under supreme court rules a lie vote would uphold Sirica's decision but would not establish a precedent for future cases. Definitive? Nixon had promised during a similar dispute with Jaworski's predecessor to abide by a "de- finitive" supreme court ruling, but declined to define what he would regard as a definitive ruling. Rchnquist was appointed to the supreme court by Nixon in 1971 and formerly served as an assistant attorney general under former Attorney General Mit- chell, one of the defendants in the cover-up trial. The other defendants are 11. R. Haldernan; JohnEhrlichman; Charles Colson; Robert Mard- ian; Gordon Strachan, and Ken- neth Parkinson, aii of w h o m formerly worked in the adminis- ration or with the Committee or the Re-election of the Presi- enl. Last month, Nixon released a edited transcript of (Continued: Page 3, Col. 6.) Jaworski Says 7ape Deals with IRS Harassment WASHINGTON JERUSALEM (UPI) In a ast-minute decision to salvage lis peace mission between srael and Syria, Secretary of State Kissinger Tuesday made me more trip to Damascus to vork out a troop disengagement accord on the Golan Heights. "I just thought that having carried every previous Israeli clarification and view to Damas- cus, I should do the final lap Kissinger told news- men on emerging from a two- lour meeting with Prime Min- ster Golda Meir and her disen- ;agement negotiators. The decision came with dra- matic suddenness and may have jeen made at the request of the Israelis to make one more ef- )rt. "I owed it to everything that both sides had put into it to make the Kissinger said, before leaving for Damas- cus. "I'll be going in an hour and I'll be back tonight." Israel's Response Kissinger had originally planned to send Undersecretary of State Joseph Sisco to give ;ate special prosecutor Leon Ja- worski said Tuesday he has evi- dence that the White House in- structed the Internal Revenue Service to audit or otherwise harass political enemies, includ- ing former Democratic Party Chairman Lawrence O'Brien. Jaworski said in papers filed with U. S district court, that a discussion of those matters was vithheld by (he White House rom a tape recording turned ver to the Watergate grand ury on a claim it was "unrelat- d to Watergate matters." The privilege claim, on 15% uinutes of a tape recording of >ept. 15, 1972, was upheld by U.S. Judge John Sirica last year, 'he filing Tuesday asked Sirica o reconsider that decision. The tape of the Sept. 15 con- one of nine originally ubpoenaed by the special Wa- ergate prosecution team, also las bsen given to the house ju- iiciary committee for its im- leachment inquiry. It was Ihe irst of 43 White House-edited ranscripts of taped conversa- ions made public last month. "On the basis of information hat has recently become avail- Jaworski said, the resl of the conversation is pertinent to the upcoming Watergate cov- er-up trial and to matters stili being investigated by two grand juries. Israel's response to Syrian President Assad. Mrs. Meir's cabinet met for four and a half hours to consid- er the latest proposals and said it would meet again Tuesday night once it gets the clarifica- tions it.needs from the Syrians. Kissinger met with. Mrs. Meir, Defense Minister Moshe Dayan and, Foreign Minister Abba Eban came after the long cabi net meeting. "The secretary thought hav- ng carried the matter so far he would go back to Damascus to lave a final discussion to try to jring this matter to a 3ban said as he walked out of the meeting. This trip to Damascus was Sisfjnger's 14th shuttle between Israel and Syria and came on the 31st day of his Middle East peace mission. He planned to fly home to Washington Wednes- day. Met Gromyko Assad met Tuesday in Damas- cus with Soviet Foreign Min- ister Andrei Gromyko about the disengagement deal but Kis- singer said Gromyko's visit to Damascus should have no effect en Kho negotiations. The Arab press carried big headlines Tuesday telling of Kissinger's "failure." Gromyko also held talks with Yasser Arafat, chairman of the (Continued: Page 3, Col. 8.) To Class Action Suits Today's Chuckle 1 You should have at least two aims in life: lo make a little money lirst and then to make a little money lasl. WASHINGTON (AP) The supreme court ruled Tuesday that plaintiffs in so-called "class action" suits, used increasingly in recent years by environmen- tal and consumer groups, must individually notify at their own expense each member of the class on whose behalf they are suing. The court agreed in substance with (he findings of the U.S. cir- cuit court in New York, which specialists in class action suits have said would put almost in- surmountable obstacles in their path. "Few Remedies" Justice Douglas, dissenting in part from the court's decision, said the class action suit "is one of the few legal remedies the small claimant lias against those who command the status quo." "It would strengthen his hand with the view of creating a sys- tem of law that dispenses jus- lice lo'lhe lowly as well as those liberally endowed willi power Douglas wrote. Justice Powell, speaking for the courl, said controversial federal court rules adopted hi under which class action suits have proliferated, clear- ly require individual notice "to all class members whose names and addresses may he ascertained by reasonable ci- forl." A class action suit is a device by which many persons whcse claim for damages arc too small to justify a lawsuit may com- bine them for one big claim. In t-he case on which Me court ruled, Morion Eisen, owner of a New York shoo business, sued on behalf of himself and other persons who bought shares on the New York Stock Exchange n less (ban 100-sharc lols. He claimed that broker fees for such purchases were excessive. Million Eisen said his own overcharge was only but that the lotal overcharge lo roughly six mil- ion odd-lot purchasers was ibotil million. A federal judge in New York .vorked out a system by which odd-lot buyers could he noli- iiod by a sampling method. The circuit court struck this lown, saying the plaintiffs were obligated lo contact as many members of the class as possl- (ConlinuedTpagoT, Col. 5.1 ;