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Globe-Gazette (Newspaper) - December 6, 1965, Mason City, Iowa The newspaper that makes all North lowans neighbors HOME EDITION 10c a One MASON CITY IOWA MONDAY DECEMBER 4 IMS Assochilctl Press Full loiso Wires VOL IDS No 255 Gemini 7 ataglance BY THE ASSOCIATED PRESS Astronauts Condition Air Force Lt Col Frank Borman and Navy Cmdr James A Lovell Jr were described as in excellent physical shape they laid aside duties as Gemini 7 crew men temporarily for a second nights sleep in space radio silence again was imposed Mission Status Controllers reported the spacecraft was operating almost perfectly Gem ini 6 due to take off Dec 13 and fly formation with Gemini 7 was bolted to a Titan 2 rocket ahead of schedule at Cape Kennedy and there was an outside chance the launching might be advanced to Dec 12 Accomplishment For the first time in space Gemini 7 maneuvered and flew in forma tion with the second stage of the Titan 2 rocket which hurled it into orbit Sat urday Interest up mart off Boosting of rates brings rebuke from Johnson AP Over riding the Presidents economic policy the Federal Reserve Board increased interest rates to their highest level in 35 years Monday and the stock market reacted by plunging A total of 394million shares changed hands during the first hour the New York Stock Ex change was open the largest to tal for an opening hour since the exchange began listing hour ly transaction figures in 1933 Some blue chip stocks fell 2 or more points At the end of the first half hour the Dow Jones industrial average was down 1498 to 93112 However by 2 p m the loss was cut to 574 Boosting of the interest rates brought an immediate rebuke from the President The board announced its deci sion Sunday night saying high er rates will help prevent infla tion and aid in overcoming the persistent US balanceofpay mcnts deficit It ordered An increase in the discount rate from 4 to 45 per cent its highest level since 1930 This is the interest the 12 regional Fed eral Reserve hanks charge on loans made to member com mercial banks Any upward movement generally spreads throughout the entire credit structure applying to con sumers who buy houses cars and other goods on the install ment plan An increase in the maxi mum interest banks may pay on specified time deposits of more than 30 days from 45 to 55 per cent its highest level ever This might lend to attract money from other areas the stock market savings and loan asso ciations for example into he banks The board left unchanged the per cent interest ceiling on regular savings accounts The administration is power less to alter the actions Al though board members are ap pointed by the President they compose an independent agen cy subordinate to no one In Johnson City Tex Presi dent Johnson said I regret as do most Americans any action that raises the cost of credit particularly for homes schools hospitals and factories The first reaction in banking circles generally1 was favorable although some expressed sur prise over the time savings de posit interest raise In New York Robert V Roo sa partner in Brown Brothers Harriman Co and former un dersecretary of the Tcasury tor monetary affairs under Presi dents John F Kennedy and Johnson said They were right to do it the lime is right In Los Angeles Louis B Lmulborg chairman of Ihc Bank of America said the dis count increase will have a Orders more bases closed WASHINGTON Secretary of Defense Rob ert S McNamara Monday ordered 149 more bases closed consolidated or substantially reduced McNamara told a news conference the actions calculated to save million a year will be com pleted without Togo bus accident kills 100 military effectiveness or limiting our current and fu ture activities in Southeast Asia Coupled with 703 previous base closing and cutdowns or dered since March 1961 the new moves will bring total savings to billion a year McNamara said The affected bases are located in 39 states the District of Co lumbia and 10 foreign countries McNamara told reporters con gressmen are being informed how their districts are affected Photorax but that formal announcement of DE GAULLE VOTES the 149 bases in the new list will Beneath a portrait of himself in a generals uniform French President Charles de Gaulle casts his ballot in Sundays presidential election De Gaulle silent on election PARIS Charles de Gaulle maintained silence Monday after French voters handed a slinging rebuff to his bid for firstround victory in the presidential election With a record turnout of 849 per cent of the voters De Gaulle polled only 4386 per cent of the vote in the first round of voting Sunday This forced him into a runoff Dec 19 with leftwinger Francois Mitterrand the No 2 man in the sixman race Some Gaullist officials had predicted before the election that if De Gaulle did not get the massive endorsement he want ed he would refuse to run in the second round Other officials differed Francois Mitterrand Opposes De Gaulle not be made until Wednesday The 23 foreign bases account ing for 93 million in savings will not be disclosed until after discussions with involved the countries McNamara said there was no political significance in the for eign base closings which he said will not affect any US troop dispositions As required by law McNa mara said the Defense Depart ment will file reports with the Senate and House Armed Serv ice committees on Jan 10 on bases which are being elimina ted and at which more than 250 persons are employed or sta tioned No base closings will take place for at least another 30 days beyond that McNamara said in response to questions that in such base closings he is required only to notify the appropriate commit tees and to give them 30 days LOME Togo AP Two trucks careened through a car nival crowd in the village of So touboua killed more than 100 persons and injured 100 others police reported Monday The dead included an Ameri can Peace Corps worker identi fied by police as James Driscoll of Buffalo NY Driscoll a mechanic came lo Togoland about a year ago and had been working at Sokode in the interior Authorities said he apparently died of a broken neck The government sent three planes with doctors surgeons and medical supplies to Ihe vil lage which is aboul 180 miles from Lome Reports from the village said the trucks went out of control at full speed into a mass of more than 1000 persons who were packed on the highway for a traditional dance Sunday Three men face murder trial Tuesday The general is a fighter said one supporter and he will not abandon the combat now A secondround victory was considered in the bag for De Gaulle if he runs Although his image was bruised by the out come Sunday it is not likely that he will change his attitudes and ways in department after depart ment where he had shown strength in other electoral tests DE GAULLE turn to Page notice but may go ahead after that The latest base actions will eliminate more than 53000 mili tary and civilian jobs most of them military McNamara contended there is a very real manpower saving in the elimination of the military jobs even though the men are shifted to other posts The ac tion he said will reduce by a like number the military serv icemen due to be added to the armed forces under a buildup to nearly three million by next September The civilians affected will be guaranteed an opportunity to shift to another government job The defense secretary said he was not prepared to say how many bases would be closed and how many reduced or consoli dated but indicated that those actually closed will be in the minority SELMA Ala AP Three white men go on trial Tuesday on charges of murdering the Rev James L Reeb a Boston minister who came south to join the civil rights movement The defendants are Odel Hog gle 30 an auto mechanic his brother William Stanley Hog gle 36 a salesman and Elmer Cook 41 manager of a novelty company All are Selma resi dents The trio is accused of attack ing the Rev Mr Reeb as he walked away from a Negro cafe in Selma the night of March 9 after an attempt by civil rights workers to stage a march to Montgomery failed The minister was severely clubbed lapsed into a coma GIs beat off waves of Reds wholesome effect on the stabili ty of our economy The Johnson criticism was echoed by such groups ns the US Savings and Loan League the National Council for a Sound Monetary Policy and Rep Wright Patman DTex chair man of the House Banking Com mittee Norman Strunk vice presi dent of the Chicagohascd league declared The Federal Reserve has decided to hail out the big banks from a liquidity squeeze under the guise of aid ing the fight against inflation Patman said the action was arrogant terming it a critical situation where a handful of bankers led by the Federal Re serve chairman William Mc Chesney Martin are in a position to wreck the economy It is particularly destructive o small business and the con SA1GON South Viet Nam Caught in mur derous machinegun crossfire from a Communist regi ment US infantrymen stood oft wave after wave of attacks with help from the sky by US Air Force and Navy iets the battle 40 miles northwest of Saigon ragec Sunday near the bloodied rubber plantation where US and South Vietnamese troops have been hunting the Communists for days fol lowing the near destruction of the Vietnamese army 7th Regiment Nov 27 Sporadic firing continued Mon day The Communists repeated ly probed another US battalion in the area during the night Reports from the scene saic US casualties were heavy al though spokesmen in Saigon described them as moderate Estimates of Communists dead ranged up to more than 200 al though only 40 to 50 bodies were left behind by the Communists The battle involved the US 1st Infantry Division in its heav iest fighting since the Big Red One arrived in Viet Nam The Viet Cong warned of punishing new blows against Saigon similar to the terrorist attack on a US enlisted mens billet Saturday Eight persons were killed including one American Along the northeast of coast 260 Saigon miles US LAST RIDE This deer along with others shot high up in the woods near Park Rapids Minn rides a ski chair lift with its adversaries after the huntrecently The hunters had Photofax good luck in th e vicinity of their camp near thetop terminal of the lift To get themselves and their kill down to their cars they used this direct and easy method Marine amphibious force swept across a Communist stronghold afler storming ashore Sunday and killing 14 Viet Cong Eleven others were reported killed by fire from 7th Fleet destroyers and attack planes The Viet Cong were reported to have lost as many as 200 dead in a battle Saturday be tween South Vietnamese forces and the Communisls for control of a Ihreehamlct complex near Quang Ngai City 320 miles northeast of Saigon Of a fourin an US advisory team Iwo were killed and two were wounded A government relief column suffered moderate casualties when it went to the assistance of militia plaloons in Ihe villages In the battle south of the abandoned Michelin plantation the Communists opened with a blaze of 50calibcr machinegun fire from bolh sides as compa nics of the 1st Division battalion changed positions during a sweep of a Iholufax FIERCE BATTLE Mallcse Cross locates Ap Nha Mat South Viet Nam where elements of the US 1st In fantry Division beat off a fierce attack by Viet Cong sol diers Sunday in dense jungle growth Both sides suffered heavy casualties Days till CHRISTMAS Integration is ordered WASHINGTON AP The Supreme Court struck another blow Monday at delay in school integration ordering immediate integration of public schools in Fort Smith Ark The court in a 54 memoran dum opinion took the action without even hearing arguments on the Fort Smith case Petitioners are entitled to an immediate relief the majority said in an unsigned opinion We have emphasized that delays in desegregating public school sys terns are not longer tolerable from which he never regained consciousness and died two days later in University Hospital in Birmingham Inside The Globe Editorials 4 Society news 101112 Lovell performs space striptease Sports 17W Latest markets 2t Mason City 2021 Clear Lake news 2223 North Iowa newt2425 Classified Take large amount from safe at Falls CEDAR FALLS AP Bur glars jimmied a door and peeled a safe at the Valley Park Lanes Bowling Alley night Police said a large amount of money was taken SPACE CENTER Houston Tex AP The first space striptease by a US astronaut was performed successfully Monday and James A Lovell rode comfortably through space in his long underwear IJims all out of his suit and comfortable command pilot Frank Borman reported to the Carnarvon Australia tracking station during the 29th orbit of the 14day Gemini 7 endurance mission The experiment treated hu morously by the astronauls ir their conversation with ground stations was important because it was a step toward the time when spacemen on long flights will be able lo perform Ihcir dulies in a shirlsleeve environ ment ralhcr than in the cum ersomc space suits As the Gemini 7 spacecraft sped smoothly along in the third day of its twoweek marathon preparations moved ahead at a rapid rate for Ihc altcmpt by two manned craft to carry out the worlds first rendezvous in space Paul Haney the voice of Mis sion Control at Houston rcportct pad crews were running 14 to 16 hours ahead of schedule in Ihe race to launch astronauls Waller Schirra Jr and Thomas Stafford in the Gemini 6 spaceship from Cape Kennedy Fla The launch is scheduled for Dec 13 in the ninth day of the scheduled Gemini 7 endurance mission but Hancy said Flight Director Chris C Kraft was looking into that eighth day possibility Al Cape Kennedy however a space agency spokesman said the crew was that far ahead in only one phase of the operation electrical mating of the GEMINI turn to 1 It was a time of maximum confusion and we paid for that a bearded combatant said At one point the Communists hurled themselves on elements of the battalion in bugleblaring human waves forcing some ofl the infanlrymcn lo abandon their wounded The Americans regrouped and batlled their way back to pick up their bleeding buddies The fighling raged so close both sides tossed hand grenades al each other An American lieutenant was killed as he called over his field radio for an air strike A wounded sergeant took the mi Red ship set to try soft moon landing MOSCOW AP A Soviet space capsule neared the moon Monday as scicnlisls waited to see whether it would succeed in making a sofl landing Luna 8 a 3421pound bundle of instruments rockets and casing was scheduled to reach an area of the moons surface called the Ocean of Storms at about pm CST The moon capsules course was altered Saturday lo ensure landing in this region the Russians announced As Luna 8 approaches the moon retrorockels are sup posed lo fire braking Ihe crafl to a gentle descent through the airless lunar atmosphere This is a tricky maneuver made nec essary by the impossibility ol using parachutes which neec air to support them Twice earlier this year Soviet moon rockets failed to perform the maneuver correctly anc crashed smashing the instru ments A third attempl missc Ihe moon inner Patman said his committee will hold hearings on the matter and that bills would be intro duced lo restrict the boards lower The boards decision on the discount rale came on a 43 vote with Martin J Dewey Daane C Canby Balderston and Charles N Shepardson carrying the decision Opposed were James L Rob ertson George W Mitchell and Sherman J Maiscl The time savings deposit deci sion was on a Gl count with Robertson the lone dissenter The dissenters in the discount rate vote argued that it was at least premature in the absence of more compelling evidence of more inflationary dangers This was much the stand tak en by Johnson who said any action on interest rates should be delayed until next years budgel is prepared Said the chief executive I particularly regret thai this ac tion was taken before January when we will have before us Ihe full facts on next years budget Viet Nam costs housing starts slate and local spending and other Clements in the economic outlook The decisions to be taken within the next few weeks by the adminislralion will signifi cantly affect he course of eco nomic development In raising the rates the board rejected Ihe argumcnls of ad ministration economists who had said repeatedly that such boosts werent needed The administration econo mists have contended that high intcresl rales were a major fac tor in causing two recessions in the 1950s and lhat high cosls of borrowing could end the present prosperity Called to LBJ ranch JOHNSON CITY Tex residcnt Johnson called Chair lan William McChesney Martin f the Federal Reserve Board to he LBJ Ranch Monday lo dis uss the economic outlook and he boards by increase interest ates Martin and three other top overnmcnt experts on economic iffairs arrived at the ranch rom Washington about II am Accompanying Martin were iecretary of the Treasury Hen y H Fowler Budget Director Varies L Schultzc and Chair man Gardner Ackley of the of Economic Advisors crophone to direct the jets against the enemy The Viet Cong carefully sprung their trap planting gre nades in trees beforehand When some of the Gls sought refuge in the thick foliage the Commu nists pulled wires which re leased the grenades onlo the Americans Many of the grc nades failed to explode the US infantrymen said SSgl William Henry of Col Ion Calif said he had seen VIET NAM Turn to Page 2 Shotgun blast kills girl 5 ARROWSMITH 111 AP 5yearold girl was killed by shotgun blast after an argumcn with a 13yearold boy Sunda night police said The victim was Sonya Marlin daughter of Mrs Shirley John son The mother is a house keeper for the hoys father John E Williamson a farmer Sheriffs police took Willian sons son David into custody Sheriff Ralph Skidmore of Me Lean County said the boy mentally retarded North Iowa Weather outlook Clear and cooler Monday night lows 1822 Generally fair and warmer Tuesday highs in mid 40s Weather Details On Page 2 SAME
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