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Lethbridge Herald Newspaper Archives

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Lethbridge Herald, The (Newspaper) - April 19, 1973, Lethbridge, Alberta HENDERSON SUED FOR IN CITY SLANDER ACTION Letlibridge businessman Fred Wna-herup this mor- ning filed a law suit against a Sscial Credit member of the legislature. A statement of claim filed at the Lethbridge Court House says James Hender- son, Socred house leader, "falsely and malicioiwiy" said: "A company headed by a person sponsoring a a plate dinner for Pre- mier Peter Lougheed re- ceived a tourism loan under the Fund at an interest rate below the go- ing rate. The person has been appointed a director of the Alberta Housing Corpor- ation." The claim says the state- ment had been released to the news media generally in the province and that Mr. Henderson's comment meant awl was understood to mean that Mr. Wpather- up misconducted himself, was dishonest or corrupt, lacked integrity, acted in breach of trust and was guilty of malversation Ji his office as director of the Al- berta Housing Corporation. Mr. Weatherup is the only director of the Alberta Housing Corporation south of Edmonto- who is involv- ed in the a plate dinner for Premier Loug- heed. Christine Perks of Calgary, the only other cor- poration director south of Edmonton, is a Liberal, said Mr. In Edmonton, spokesman for the Social Credit and the K e w Democratic parties sai'J Wednesday insinuations of political patronage will cortinue to circulate until the government lifts the cloak of secrecy from its in- dustrial incentives fund. Mr. Henderson said in an interview he does not inter.d to be intimidated "by ac- tions outside the legisla- ture" frcm continuing to press p o 1 i t i cal patronage charges against the man- agement of the incentives fund. Referring to Mr. Weather- up's proposed suL against the Social Credit party, Mr. Henderson said "It's a free country. But in the absence of any factual data allegations of political patronage are in- evitably going to be raised." Mr. Henderson said the matter could be clear- ed up by the government opening the books. "Then if I'm wrong I'd be glad to said the Socrcd leader. NDP leader Grant Not'ey said "Until this information is brought out there is going to be all sorts of insinuations oi patronage." Mr. Motley described loans from the incentives fund as "vsry wry generous, par- ticularity for second mort- gages." Meanwhile, two more re- cipients of Alberta Oppor- tunity Company loans have been identified, leaving only one of the six Lethbridge area development described in the legislature last week unidentified. A Calgary man says his firm's ban for a Claresholm motel has been approved and the head of company that owns West Castle ski re- sort says his firm's loan has been approved. The Claresholm loan is valued at about and the West Castle resort ds- velopment Joan is valued at about The Herald was told. With announcements ear- lier this week identifying three other loan recipients, only the recipient of a 500 loan for development of a campsite near Waterton remains unidentified. The Claresholm lean went to Barry Finance Co. Ltd. of Calgary. Don Black of Barry Fi- nance told The Herald his firm's loan was granted by the Alberta Commercial Cor- poration, now known as the Alberta Opportunity Com- quny. The project was com- p'eJed more than a year ago. The motel is called the Gold- en Pheasant Motel. And Rollie Cook, head of Castle Mountain Resort Ltd., confirmed today a loan has been approved for development at West Castle. It will go towards a ski and summer resort, consist- ing of a lodge, six motel units, two 10-man dormito- ries, two duplex units, a ski shop, wash house and other buildings, located 15 miles southwest of Pincher Creek. The company had the loan 1% years ago, Mr. Cook said. No money has yet been received. The other three identified recipients are Lelhbridge restaurant owner Sven Ericksen, for a pro- posed motor hotel res- taurant addition to Sven Ericksen's Family Res- taurant on Mayor Magrath Drive; Lethbridge developer Art Batty, towards the Holiday Inn-H o 11 i d a y Village hotel shopping com- plex completed on Mayor Magrath Drive; and Taber real estate man Norman Long, towards a pro- posed hotel motel complex in Tabar. The Lethbridge Herald VOL. LXVI No. 110 LETHBRIDGE, ALBERTA, THURSDAY, APRIL 19, 1973 PRICE: TEN CENTS THREE SECTIONS 34 PAGES Welfare plan proposals welcomed By THE CANADIAN7 PRESS A generally favorable reaction across Canada has greeted federal proposals for overhauling the welfare system. The plan released Wednesday in Ottawa by Health Minister Marc Lalonde would raise family allowances to an average of from the current but would make benefits taxable and, among other things, es- tablish a guaranteed minimum income with built-in work incentives. The opposition narties in Ottawa welcomed the far-reaching social changes and all claimed part of the credit for influencing the government's position. However, some provincial officials withheld or modified comments with the observation that the working paper still has to be discussed next week when Mr. Lalonde meets with his provincial counter- parts on a general revamping of welfare plans. It was difficult to comment specifically, said Reuben Baetz, Canadian Council on Social Develop- ment director, "because the essential details remain vague.'' "It's 35 jel a no bones.'' However'. Mr. BaeU said he-likes almost every- thing about the proposals. QUESTIONS JSEED But two main questions needed answering: How low must tire income of the working poor be the income supplement begins and by what amount would the supplement be reduced for every dollar the working peer earned above the guaranteed income floor. One big objection came from Montreal, where a spokesman for a local citizen's group said the pro- posed new family allowance plan will cost Quebec poir money. Helen Bastien. chairman of the Anti-poverty Co- ordinating Committee, said provincial family allow- ance pajments, which average about annually for each child, will stop as soon as the federal in- creases take effect She said this suggestion had been msde by the Quebec social services department and for some famil- ies it could mean a loss of SI 40 a year. Spokesmen for the Xew Democratic Party gov- ernments in Saskatchewan and British Columbia said they favored the idea of a modified guaranteed annual income. But Manitoba NDP reaction, from Health Aim- ister Rene Toupin, was that it would depend OD the specific financial arrangements needed to implement them. TARGET He said they appear to be "very good discussion but do not say whether Ottawa's financial contributions benefit Manitoba. He said the target dates for welfare reform are "not realistic" and he will urge that reforms take place as soon as possible At Edmonton. Health Minister Neil Crawford of Alberta's Progressive Conservative government was said to be working en a position paper for next week's meeting and will make a statement then. "It's a very positive paper, very said Norman Levi. British Columbia rehabilitaton minis- ter. He said the federal government has been pushed by welfare programs suggested by the B.C. govern- ment and Social Affairs Minister Claude Cast3nguay of Quebec. 55r. Lcvi said (be Ottawa proposals are leading in the same direction that his province is going with its guaranteed mir.imum income for those 65 and over and roecnUy-annnunced subsidy programs for those poor" families whose wages are less than comparable welfare rate level. Inside Classified 18-23, 24 Comics 36 Comment 4 District 3, 33, 33, 34 rijnily 22. 23 -ion "WaicrficW n 1-nca! News 35. 34 Markets..... 9 Sports......10, 11 Theatres 17 J6 Weather..... 2 Youth......12, 17 TONIGHT 90, HIGH FRIDAY 45: SHOWERS, Suicide bid fails Man identified as Angelo Ferrare, 27, plummets from fire escape in Brooklyn from which he had been threaten- ing to jump. A priest and police on the scene had convinc- ed him not to jump when he slipped and fell. He was caught in a net set up by police and was unhurt. Ottawa grumbles over ICCS case OTTAWA (CP) Baffled by conflicting accounts of the Viet- nam helicopter incident that caused the death of a Canadian peace observer. External Af- fairs Minister Mitchell Sharp and his officials still have re- ceived no report on the affair from Canadians on the cease- fire commission. One official said Wednesday there are growing grumblings INFLATION GALLOPS IN U.S. WASHINGTON (API The government reported today the United States economy advanc- ed at a rapid rate of 14.3 per ccr.t during the first quarter of the yetr. inflation scaring at a rate of six per cent. The rate of inflation of sit per cent during Urc period was the biggest quartely junro since the fourth quarter of 3970 when it was 6.3 per cent. in the department that while press rencrts continue to quote Canadian observers in- vestigating the April 7 shooting. no reports have been filed to Ottawa. "We're being com- plained an official who has been working on the Vietnam issue for months. Impatience is rising because findings of the investigation into the downing of the two helicop- ters will help determine the government'? decision whether to stay on the International Commission of Control and Su- Nixon move favorable to Alberta EDMONTON fCP) Pres- ident Nixon's move to drop tar- iffs on United States oil im- ports and impose licence fees on imports above 1973 levels is favorable to Alberta "on bal- Premier Peter Loug- heed said Wednesday. That there may be complica- tions but HD setback of any substance for Albarta is appar- ent in the president's announce- ment made earlier Wednesday, Mr. Longhead said. The premier, speaking in the legislature during his budgst address, said it is obvious that Mr. Nixon's statement is only an initial one. "There will have to be con- tir-uing statements regarding the developing energy crisis by the United Slates." The government is to make that decision by May 31, with- drawing al! observers by June 30 unless an extension is granted. Mr. Sharp reporters Tuesday that one of the questions to be answered is shot down the helicopters. No Herald Good Friday The Herald will not publish Good Friday. Fuii of holiday news events wiJl be carried in Saturday's editions. Alberta adopts tough attitude EDMONTON (CP) Pre- mier Peter Lougheed has set the tone that Alberta will carry to a major federal-provincial conference this summer: Tough. And since the four western provinces have agreed to do their best to present a united front at the Calgary conference on western economic opportun- ities, Mr. Lougheed's attitude is expected to spread. The premier's new, tough at- titude was revealed -Wednesday in a 90-minute speech in the leg- islature that dealt heavily with Eastern Canada, and he had virtually nothinng good to s a y about it. Mr. Lougheed drew desk- thumping applause from both sides of the legislature as he outlined his case against the of JEastern Canada, the railways and what he called the Toronto-based New He said transportation will be the key item at the Calgary conference. Transportation in- equities were blocking develop- ment of Alberta and enriching the already-rich industrial triangle centred in Toronto. STEEL COSTS MORE He detailed freight rates which he said are biased against Alberta industries. Structural steel shipped from Hamilton to Calgary cost per 100 pounds in freight rates, he said. It only cost S1.64 to make the same shipment from Hamilton to Vancouver. Rapeseed sent east from Lethbridge for processing cost only 70.5 cents per 100 pounds. But if processed, thus giving Al- berta more industry, the cost was Mr. Lougheed also criticized national trucking companies, saying the big centres of To- ronto and Montreal get "prefer- ential" rates. The railway's themselves, not the freight rates set by the gov- ernment, received the strongest blast in the premier's address on Alberta's budget. He demanded "here and that Canadian National Railways and CP Rail make "full of their costs in shipping godds to ana from the West. Until this is done, little prog- ress could be made to improve country's transportation system. COAL AVAILABLE The premier also said Ontario consumers import 13 million tons of coal a year from the United States "white it just sits here under ground in Alberta." Freight rates made it too ex- pensive to ship Alberta coal Jo Ontario. The premier afeo criticized T. C. Douglas of the NDP for urg- ing that Alberta oil be kept in Canada. This showed the NDP wants Alberta to refrain from "rock- ing the and from fighting the East over where new indus- trial developments should go. He rejected the idea of fed- eral price controls on crude oil and any move to control farm prices. NOTLEY SKEPTICAL Later, in commenting of Mr. Lougheed's speech, Alberta NDP leader Grant Notley said about 80 per cent of higher prices will go to the industry under the current five-year agreement on petroleum roy- alties. Mr. Notley said that as prices climb, only about 20 per cent of the increase will go to the people. the case of natural gas, he s.iJd, producers will receive S192 million and the Alberta treasury will gain only mil- lion while assuming the entire cost of paying for the prov- ince's two-price system. Mr. Notley said it is obvious the premier has adopted the view, "what is good for the oil industry is good for the prov- ince." Land surface legislation introduced EDMONTON (CP) A bill which would give the government control over virtually any type of operation that disrupts the land surface outside of com- munities and agricultural land was introduced Wednesday in the legislature. Undtr the bill, the cabinet may ask all companies plan- ning any action liable to dam- age the land surface to ask for prior approval from the gov- ernment. The government must be satisfied that adequate rec- lamation procedures are plan- ned. The legislation, when passed, will join the clean air and clean wrier acts as the prime laws of the environment department. The types of operations that could be brought under the control of the act are oil and gas well drilling, pipelines and trar-smission lines, mining including the oil sands and strip minLng operations 3asd fills, roads and airports, ex- piration procedures, dams, ex- cat ations and archaeological Nixon aides tried to buy silence Boaimaii missing for 4 months in the MHiITi ITTI asked to for a tone Brit- ish yachtsman unheard from m four months as he attempts to said singHe handed around the world. Bill King Ml FremantJe, Western Australia, on Dec. 4 and nothing has been heard from him since radioed six dsys IfAfr that all was vel' King expected _v1o have rounded Cape Horn by" the end February. WASHINGTON Washington Post says tbc Wa- tergate s.pv team was com- manded by two leading Nixon administration -nbi in Inn {foe silence ll'C.BiTjslct] conspirators. Siwart Magruder, former No. 2 man In the Nixon rc-clcc- lion campaign, will toll a fed- eral grand jury today thai for- mer aUoroey-gewrai John 3V. Mitchell and present While House counsel John W. Dean HI and approved tb? frug- tural headquarters. The Post resign Dear soon may be fo3tovned by H. R. Hal- cJrman. White House chief of the parcr qiwles execu- tnc branch sources as saying. Criminal indictments arc in line for MiirTHl aiv! iHsan Mlowing .Magrudcr'A scheduled Uitimwiy under oath to the grand jury investigating the Watergate scandal. The Post says. Mitchell dismissed the Post report as "nonsense." Dean and could not be reached for comment early icdaj Thr Vihilc Hoii-c refuf.dd im- l." commcrt on dofails of The came on the heels of President Nixon's statc- roent Tuesday that his ovn month-long investigation had rvpascvJ "major new develop- nwjnts" in ttir ca-e N'non said White HrHiciH iTi the affair will be suspended immediately and any convicted will be fired. That presidential declaration followed mwrths of asscrtims by White House spokesmen that no one in the admmis- tra'km was in any way in- volved. Mitchell, a former law part- ner of X'xon's in Xev York City, has bees dose personal friend, ran the Nixon campaign in 19SS. and was a principal fig- ure in first Nixon term. He resigned a? aMomcy-gaj- cial to beorcne the first chair- 1V campaign a term. JbcrT quit abruptly last summer after his Martha threatened to leave him if he refused to get out of politics. Meanwhile. Attorney Gen- eral Richird J. Jfleindienst said today he has withdrawn from the investigation because ii involved people with whom hf had J prrfMial and profes- Water sweeps halted From REUTER-AP WASHINGTON (CP) deface department confirmed Hanoi reports today that Uni- tea States minesweeping opera- tions in North Vietnamese wa- ters have been suspended. A Pentagon statement said the was sus- pended because of continued ceasefire violations in South Vietnam and Laos. Pentagon spokesman Jerry Friedheim said in a statement that the mine clearing oper- ations were suspended "of the failure at the other side to abide by the agreement and assurances of Friedheim's statement also spoke of "the other side's fail- ure to respect the unilateral ceasefire declared by the gov- ernment of Cambodia, and be- cause of the continued flow of ,enemy supplies into South Viet- nam." DELAY PROTESTED The United States suspended the minesweeping operation once before, on Feb. 28. when there was a delay in the release of U.S. prisoners of held bv North Vietnam. The PoWs were released four days later, and U.S. Navy planes went back to sweeping the waters at the en- trance to Haiphong. Committee to supervise gas drilling IlefJk! Legislature Bureau EDMONTON A committee responsible to the minister of mines and minerals has been selected to supervise explora- tory drilling to prove natural gas reserves at Suffield. 30 miles north of Medicine Hat, the legislature was told Wed- nesday. The names of the members of the committee need only br spproved by cabinet, said Mines Minister Bill Dickie. A first job of UK committee be to drsf a proposal to be submitted to the oi3 indus- try requesting to drill at Suffield. .V. -wjd. The area is cxprcvd to con- tain reserves to incrcasa 1he natural gas iwrves of the province by 10 per did not elab- orate, Sten and heard About town "VEWCOMER Pi'rrp claiirdng the wind is really toufh in Southern A1- berta. so il Mew the l.Tie ntW fii 3fir- h tn- Hi-Jen flatly denying her lorn comforter is ber wearily blanket. ;