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Cedar Rapids Gazette (Newspaper) - December 6, 1974, Cedar Rapids, Iowa Weather— Occasional rain or drizzle tonight, ending Saturday, Uws tonight, '•'id .'{Os. Highs Saturday, upper 10s. VOLUME 92 — NUMBER 331 rn CITY FINAL IS CENTS CEDAR RAPIDS, IOWA, FRIDAY. DECEMBER 6, 1974 ASSOCIATED PRESS. UPI. NEW YORK TIMESCOUNTERFEIT RING CRACKED Jobless at 6.5%; Top Since 1961 WASHINGTON (AP) - The nation’s unemployment rate leaped to 6.5 percent in November, highest in 13 years, the government reported Friday. The labor department said the number of unemployed Ameri-icans rose 482.000 to a total of 5.975.000. Total employment dropped nearly 800,000 last month to 85.7 million, virtually wiping out the entire increase in jobs over the last year. Massive automobile industry layoffs and job losses in electrical equipment and textile industries and retail trade accounted for most of the employment drop. Biggest Jump The November increase in the unemployment rate — from 6 percent in October — was the biggest monthly jump since No-vember-December, 1960. when joblessness rose from 6 1 to 6.6 percent. The last time unemployment hit 6 5 percent was in October, 1961, a recessionary year. A measure approved Thursday by the house ways and means committee would provide an additional $1 billion in emergency jobless benefits over the next year. Over the last year, unemployment has risen almost 1.9 million, with the portion of job losses among the unemployed increasing from 37 to 47 percent. Declining industrial production was reflected in a shortened work week last month — 36.2 hours. This resulted in a decline in weekly earnings, which averaged $157.47 in November, down $2 ll from October. However, average weekly earnings were still 5.9 percent higher than a year ago. Figures Stir Activity at White House WASHINGTON IAP) - Press Secretary R°n Nessen hinted Friday that President Ford will seek new anti-recession legislation in the near future and will move toward a mandatory energy conservation program early next year. Nessen said the 6.5 percent unemployment rate was “a source of great concern to Ford and the economic situation was under review. “As we decide to take new steps, they will be announced." the secretary said. He acknowledged that the jobless rate had increased faster than expected since Ford un- (Continued: Page 3. Col. 4.) Stocks Keep On Sliding NEW YORK (AP) — Stocks retreated broadly again Friday in slightly accelerated trading The 2 p.m. Dow Jones average was down 7 98 at 579.08. more than 5 below the 12-year closing low Oct. 4 Today s Index Delegates: Charter to End Control By Frank Nye , KANSAS CITY - Two delegates from Iowa's Second district may have a more understandable explanation of what; this Democratic charter conven-; tion is all about than most of the 2,038 gathered here from all | parts of the nation. Janet Fraser of Monticello; and Suki Cell of Mt. Vernon said their interest is adopting a party charter that will make it! impossible for any individual or group or coalition to gain control of the Democratic party in the future. “That means party bosses. McGovernites, the left wing, the t right wing or any other fac-j ition,” explained Mrs. Fraser, a member of the Iowa Democratic state central committee. “Or the Daleys or Meanys,” added Mrs. Cell, referring to Chicago Mayor Richard Daley and AFL-CIO Chief George Meany. Affirmative Action They were joined by another Second district delegate, Kurt Meyer, 20, a Luther college junior, in expressing strong approval of the “affirmative action” language adopted by the convention rules committee Thursday, as the means for opening the party to anyone who wants to be a Democrat. It would replace the so-called “ quota system” used by Iowa and some other states to guarantee representation of minority groups in the selection of delegates to the party’s 1972 national convention in Miami Beach. First, however, it must be adopted as a part of the charter delegates to this off-year, miniconvention are expected to approve before they leave for home Sunday. “If they don't take it (the affirmative action language),” Meyer said, “we’re not going to ibe progressing as a party. Actively Solicit “Affirmative action doesn't Oaten* Photo Duane Crock Secret service ^gent Robert Knepp, right, and assistant U. S. Atty. Robert Sikma examine the nearly $700,000 in counterfeit currency seized early Friday at a near northeast side apartment. 11 was part of more than $3 million in bogus bills believed to have been printed in Cedar Rapids. The other fake money was found in Kansas City and Minneapolis. Six persons, including a youth, were arrested in the three cities. Knepp is the agent in charge for the I owa-Nebraska division of the secret service. U.S. Support of U.N. Fading, Scali Warns M °Tn ^ed Us Colson Tells Haldeman Most in War — Israeli Premier Talk of Hushing Hunt UNITED NATIONS (UPI) — which were enforced by U. S. Ambassador John Scab tyranny of the majority.’’ “the AVIV (AI Brown, the — Gen. I American WASHINGTON (AP) — ham O.) Bittman that he (Hunt $3 Million In Bogus Bills Found By Tom FrueCiling Secret service agents and local law enforcement officers in Cedar Rapids and two other Midwest cities early Friday morning cracked what is believed to be a Cedar Rapids-based counterfeiting operation and the biggest in the history of the state. Agents seized $690,000 in bogus $20 and $100 bills at a Cedar Rapids apartment, and almost simultaneous arrests in Additional Photos Page 3 and Picture Page Kansas City and Minneapolis netted $1.8 million and $600,000, respectively. All of the bills are believed to have been printed at the Seventh Printing Co., 1035 Second avenue SE. Make Arrests Two men and a 15-year-old youth were taken into custody in Cedar Rapids while one was arrested in Kansas City ami two in Minneapolis. One of the men arrested was the alleged organizer of the operation, Harold Wellington Kapp. 46, of 800 First avenue NE. It was at his residence that secret service agents seized the freshly-printed currency, records and plates. kapp was arrested at his home. Also charged waft Michael Juenger, 22. cf 715 Sixth street SE, who was picked up at a Cedar Rapids business where authorities claim he was attempting to pass one of the bills. Robert Knepp, agent m i orge Drown, me Amene,in    ^arjes bolson    testified Friday    would not serve beyond the end charge of the Iowa-Nebraska warned the General Assembly; Referring to past    American    of staff wrho complained    that two days    after convicted    of this year in prison and I said division of the secret service, Friday that Americans are support, he said:    “As the 29th    about Jewish influence    in the    Watergate burglar FT Howard    that    he might well have    drawn    said three bills were passed in “deeply disturbed” by actions General Assembly draws to a    U.S., “probably    helped    Israel    Moot demanded $120,000 from    whatever conclusions he    wanted    Omaha. However, its believed of the world body and    support close, however, many Americans    ^    the jas{ waf mQre than    the White House. H. R. Hal-to from my having said that I few of the notes were passed for the U. N. is eroding    are questioning their    belief in;    deman told him    that Hunt could    would do anything I could to and most recovered. In a hard-hitting speech, Scab the U. N.”    a yone e x d,d*    says    remi( r    not ^ allowed to say things that    help    him ”    Court Appearance just assure representation of all I said the accelerated trend of The successes    of the world    Yitzhak Rabin    were damaging to the White    In    the memorandum.    Colson    Both Rapp and Juenger were sections — it means we have to! one-sided, unrealistic resolu-jbody - in the Middle F:ast, Rabin, .speaking to high school House    also    noted:    tagen    y    s    Magistrate actively solicit different points Robs passed by the U.    N. hadiCyprus, and th©    Iran-Iraq    ® I ^    ents ThuursdcJy, said,    'Testifying at    the Watergate    Rob then asked me what James Hodges F’riday afternoon ■    ‘      were    threat-    Brown s remarks might be the    u    it    ti......°    J of view become “a clear and present border dispute - were threat-]Brown s remarks might be the C0Ver-up trial, talson read £om would happen if Hunt blew’. I!for initial appearance's. Mrs. Cell is a member of the danger” to the usefulness of the ened with being overshadowed result of too much talk here a mem(> ^ sajd hp prepared for said I thought it would be very Second district’s affirmative ac-! organization.    I by failure and tion committee, she explained,] The U. S. stand in the debate Scab sa‘d-“and we already have it in on the role of the U. N. •— an The American Iowa.    jannual    "gripe    session”    —    was    deePl.v disturbed by !    •, i i I. t,    a    iiivinu    ne 9oiu ne uicpaivu iui    “    »    Rapp    w'hs    charged with pos- controversy,    ..    *    .    y    his    files    immediately    after    talk- bad* that from what I knew he session of counterfeit money . e eau lone < against (xaggt i ;nrf    iioianmon    than    thn would say things that would be w'ith intent to defraud F’cderal . . Bob said,‘authorities pointed out that Richard Nixon, on March 23,jinen we can 1 ^at hap-|Rapp has had a number of people are alin*I the power of the lobby in Whjle House chief of’staff underlay imaging decisions to Washington, saying gloating,.. .    .    N.    nn    ...    -When    we    can’t “Although it is not perfect it (backed bv the British, who exc,ude member states and to over the eifectiveness of Jewish J973 over the telephone is a very good way to ferret out1 spoke against “illusory consen-1 restrict their participation in P r e s s u r e could boomerang ’    *    memoran interested people and to encour-'suses,” a reference lo bloc vol- discussions of matters of vital against Israel age them to participate in party | ing by Communist and Third (ont ern to them, he added, affairs.    I    World    nations.    ~ New Postage pen. be set at $20,000. However, Hodges ordered a Boost Seen WASHINGTON (UFI) - Postmaster General Fulmer Klassen says the cost of mailing a first- the previous arrests, including es-Court Witness    (cape,    and already is on federal He added that the U.S. sup- dum    Haldeman    asked    Nobody wanted to vouch for IPro^^*dn^.^n^..as^e^ ported    Israel because their in-    "bat representations I    had Colson’s credibility as he    te: terests    coincided, not    because of    made 10 fIoward Hunt    with,tificKi in the trial. Not his    old respect to the commutation of rival. John Mitchell, not Hal- *,u-uw casn 00,1(1 his sentence.”    deman or John Ehrlichman. his duenf*er was charged with Talked I. Hillman    former White House associates. ;■>?*“»* a » <™nterteit bill They had Rood reason. For onj)* mien! to defraud. After The memo continued that Col- his first day on the wjtn€ss(boing told Juenger is under son said he had not seen Hunt (a d Thursdav Colson told of- lstate Probation, Hodges set a ■■    Welfare    smce the Watergate br,.akin the „is earj felons aboul ,$10,000    unsecured bond on    hun self    basis. She said it would for the benefit of all of its class letter could jump another agency    sources said    Friday 18    previous June but that he    had vfitchells role in Watergate    and    Preliminary    hearing    on    both help the two-party system sur- members, it will become in- two to three cents next year to persons were killed and IO talked with Hunt’s lawyer two of carrying them to Nixon    was 864 for 10 a m *** ,2’ v*ve    creasingly    irrelevant,” he said, cover an expected $90(>-million wounded in an ambush in Min-or three times    llaldeman’s    unconcern    about    before    Hodges.    Both charges Tile “affirmative action" lan-1 “it wm ‘fade jnto    tde shadow    deficit.    danao about    500 miles south of Colson insisted he had not told J(>hn p)(,an’c rn|0 in niannin« carry a maximum fine of $5,000. guage is that of Barbara Mi-world of rhetoric,    abandoning    “Somebody    has to    pay for    Manila, kulski of Baltimore, whoimportant role    in the real    delivering the    mail” if    congress “It is a more active way to Scab pledged to do what he bring people into the party."    could    to    persuade    Americans Mrs. Fraser added that “affir-    that    the    U. N.    can    return to motive action” opens the party serving the interests of all its to everyone and makes it possi-1 members and thus still deserves ble for those interested to be-    U.S.    support, come involved on a do it your-]    “jf    (be    U. N.    ceases to work Jewish influence. He did not elaborate on help Brown gave Israel. IR Die in Ambush MANILA (AP) Hunt that his sentence would be commuted before Christma: belongs to the reform group that    world of negotiation    and com-    won t increase    federal    subsidies. is battling party conservatives! promjse”    he told reporters Thursday I for a liberal charter.    Scali    cited    the    decisions of the He said it was too early to Compromise    138-member body on suspending predict a definite increase but It was offered as a compro-!South Wrica's merabmhip. the he thought the cost of a first-mise between liberals who lssue of the Palestine Liberation]class stamp might be 12 or 13 prefer the quota system, and    Organization    and    other issues    cents. conservatives, who’d like to go back to the days when party; bosses selected national convention delegates in many states. The language got support (Continued: Page 2. Col. 4 ) 2 Lines Propose Air Fare Cuts ’s role in the planning meetings that triggered the Watergate breakin and Haldeman’s 7 off in;'* {'Ii lick lr It s no trick to meet expenses —- the toughest job is to avoid them a prison term of not more than 15 years, or both Federal authorities said charges of interstate conspiracy against both are being considered Tough Curbs on Gasoline Use Hinted WASHINGTON (AP) The congressional passage this tary cooperation by the public,told the congressional joint et* administration has set a meet-jmonth of legislation giving the an<j industry would cut oil con- nomic committee Thursday, ing De< Comics .......22 Crossword 22 Daily Record ......3 Deaths ..... 3 Editorial Features 6 Farm ... 21 Financial . 23 Marion OO ....... I Movies .. ll Society 14. 15 Sports ...... 17-19 Slate 8. 9 Television 20 Want Ads 25-28 amid {ting NFJW YORK (AP) — United limits on gasoline consumption j The legislation would also es Air Lines and Trans World Air- Interior Secretary Morton ex-Cablish a national system of fue and that    he had never    used any-]rationalization about the money one else    s name in the    conversa-    pajd ja|er    charged with .    the burglary. IU 1    ll a I d e rn a    n asked    Ehrlichman’s    sending him to | whether    Hunt might    have the    retype Hunt    that he had a    Burned Bills impression from my communa |frjend jn ^ White House at a Printing equipment was con-cauon with (Hunt lawyer Mil- time when ^ edgy and de-1fiscated from the Second avenin pressed Hunt was pushing for establishment. Agents said they money and bargaining to    stay;alw)    found remnants    of burned out of jail.    bills    at the shop. After hearing what Colson had' The Ceuar Rapids raids, conto say, chief government prose- ducted by Des Moines and cu tor James Neal quipped to (Omaha secret service agents Flhrlichman’s lawyer, William J with the aid of Linn county deputies and Cedar Rapids police, you're gonna    call    more,took    place at 1:05 a rn. In addi- like that,    we ll    take]tion    to the printing    firm and Rapp’s apartment, a search lines have proposed bargain do-]pressed fears Thursday that vol- reserves for use in emergen- sajd Wednesday that F’ord is not    taxin&    crude    od    or s had summoned Colson!warrant was also issued for tary efforts may not be-enough. I”“M T™''    from a federal prison in Ala-Rapp’s automobile Press Secretary Ron Nessen! ,L!111.. , 4  j_ ... bania, where he* is serving a 1-3-1 Aftst. U.S. Atty. Robert Sikma ,    .    .    .    ,    ,    P --    —*    —WK.---inmiirai    iyear term for obstruction of jus- laid the investigation has been mest.c fares beginning early 'untary measures to cut fuel con- des.    satisfied with the progress of energy in general.    ^ .(| ^ Kn cast, But ullder Way for about a month. next year to stem a sharp de- sumption may not be enough The Dec. 14 meeting of the the voluntary program.    The    Federal Energy Adminis- Frfltes refused tQ youch for Col-! Federal agents, he commented, cline in air travel by spurring and the government may have cabinet-level Energy Resources    Aration announced that Union ^ as ,a s usual| do for were tipped off about the opera- family vacation trips.    to take strong measures.    Council will draw up specific,    Oil Co. has agreed to pay thei’r own witnesses He was lion bv “confidential inform- If approved by the govern- In an interview, he said man-energy policies to recommend! “I think it might bi- possible $300 OOO to settle allegations it adopted as a (.uurl witness ants.” ment, the new excursion fares datory conservation measures to F'ord, an informed source to limit imports at a certain failed to make government-or- ^^    ‘ jair „aim, jor!t    Informants would reduce the present econ- that might be considered inelud said Thursday.    level, tax fuel to a certain leveldered gasoline deliveries to    -.arn in at inn hv rn    I    a.. omy rates by up to 25 percent ed gasoline rationing, a stiff ^ The council is made up of land also allocate fuel where it is states with shortages.    '    + + +    Sikma    noted I lat I ie printing a wb 1111    (Company    has been in existence Meanwhile, the jury sent a for a little more than a month, ♦ * * (Passengers would have to buy Yew tax on gasoline and a quota j some 20 heads of federal depart-1 needed and probably have some! FFA tickets a week in advance and (limiting oil imports.    mcnts    and agencies and headediform of consumer rationing called the    settlement “the larg-.    h“j,ora    'nort*    inan    a slay at least seven but no more! Meanwhile, Sen Jackson (D-:by Morton    I    without    having    to    go    all    out    forest    civil    penalty    In    tin'    history of,leUer 10 J“‘*t    _    MrK*    Wh°    and    ,hat    Warntonto    notified    of- than 30 days. penalty Wash) said he will press for] F’ord has said he hoped volun-(one system or another.” Morton I the agency so far ” (Continued: Page 3, Col. 8.) (Continued: Page 3 Col 6 ) ;

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