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Lethbridge Herald Newspaper Archives

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Lethbridge Herald {Newspaper} - 1974-01-05,Lethbridge, Alberta Ottawa said worried about rush to beat investment deadline By WILLIAM BORDERS New York Times Service OTTAWA - The Canadian government is increasingly concerned about American cor))i>rations hurrying to invest In businesses in this country before the effective date of a new law that will limit such investment. The far-reaching legislation, Canada’s first significant move to reverse the trend toward foreign — mostly American — control of Canadian industry, was pass-^ last fall, after years of study and public debate. But its official proclamation, 'which actually puts the strict new rules into effect, is still thought to be several months away. In the meantime there have already been announcements of two huge Americn acquisitions of precisely the type that the law seeks to control. “We intend to proclaim the legislation just as fast as it is possible to do so,” Alastair Gilleqne minister of industry, trade and commerce, sa^d Friday under hostile questioning from the opposition in the Commons. He explained that formal proclamation awaits the establishment of the Foreign Investment Review Agency, which under the law will screen investment proposals from abroad. Until the elaborate machinery can be set up, the minister said, “I expect foreign investors to come forward readily to discuss their plans with my officials before finalizing their transactions.”' He conceded however, uiat “such discussions will be on a voluntary basis.” There has been no indication that foreign investors intend to be guided by them, or by a set of guidelines that the minister issued with his app«l for compliance. Officials of the Masco Cor-poratim, the Michigan-based company that was involved in the most recent take-over, came to Ottawa this week to discuss with Gillespie their acquisition late last month of a 49 per cent interest in Emco Ltd., an Ontario plumbing equipment company with annual sales of more than flOO million. The other noajor acquisition announced since the law was passed in the Commons was the purchase of the Macdonald Tobacco Company of Montreal by R. J. Reynolds, which is to be completed in. March. A spokesman for Reynolds said that it had been negotiating for a year with Macdonald, which has annual sales totaling $250 million, and he, too. denied the charges made here that the passage of the law had accelerated the deal. But some members of Parliament are skeptical of those denials, and they also fear that other mergers and acquisitions that are just in the talking stage will be hastened along if tbe law does not take effect soon. After the first stage of the law becomes effective this spring, a foreigner or a foreign corporation will need the approval of the federal cabinet to take over any Canadian company that has a value of more than f250,000 or annual revenues of more than $3 million. In its' second stage, which might come a year later, the screening process will be broadened to include the establishment by a foreigner of any new business in Canada, regardless of its size.The LetKMdge Herald Heathrow VOL LXVII - 20 LETHBRIDGE, ALBERTA, SATURDAY, JANUARY 5. 1974 112 Pages 15 Cents \ixon firm tapes on SAN CLEMENTE (AP) -President Nixon’s personal rejection of broad-scale Senate Watergate committee subpoenas for tapes and documents will stand even if the committee scales down its demands, a White House official has indicated. ' Nixon used strong language Friday in telling committee Chairman Sam Ervin by letter: “I can only view your subpoenas as an overt attempt to intrude into the executive to a degree that constitutes an unconstitutional usurpation of power.” Anticipating Nixon’s reaction to three subpoenas for nearly 500 tapes and scores of documents, the deputy counsel of the Senate committee, Rufus Edmisten, had predicted the committee would narrow its subpoenas “to the essentials.” But a high administration official who normally reflects Nixon’s views said "the redefining should have taken place ... before they took such an absurd, ridiculous step” as issuing the subpoenas. He said Edmisten’s remark showed “total lack of understanding, perspective and respect for the... ofiice of the president.” Nixon K^te Ervin that “to p)j(^ce^£Ue materials you fiow ' ¿eek would unquestionably destroy any vestige of confidentiality of presidential    com* munications, thereby irreparably impairing the constitutional functions of the office of the presidency.” He also argued it could impair the work of special Watergate prosecutor Leon Jaworski. Truckers’ strike may last week CLEVELAND (AP) - Mike Parkhurst, editor of Overdrive magazine, says a shutdown by independent U.S. truckers planned Jan. 31 will last at least a week. Parkhurst said 16 trucker representatives from across the United States attended a “unity meeting” here Friday and gave ovem'helming support to the planned shutdown. He said the truckers are demanding that the federal government do “a full and complete pubhc audit and inventory of all th(i American-owned oil companies.” The proposed shutdown could be averted if federal officials comply with this demand, Parkhurst said. He said such an audit would show “there is more than enough oil and there is no energy crisis.” All that remains Crystal Springs Colony residents look over remains of seven tractors. Fire destroys colony equipment MAGRATH (HNS) — At least $125,000 damage was caused in a tractor garage fire at the Crystal Springs Huttente Colony, 20 miles south of Magrath, early today The fire, discovered at about 2 a.m., destroyed a building housing seven tractors and other equipment. No insurance was carried, says Joe K. Entz, colony boss Nine members of the Magrath volunteer fire department answered the call, but were able only to keep the blaze from spreading to nearby gasoline storage tanks The fire is believed to have originated from a coal furnace in the building. A tractor too large to be stored in the building is the only tractor owned by the colony which was not lost iii the fire, '    Inside I I Jail rehabilitation claims labelled a ‘cynical farce’ Tm still in chatga even if / have lost somë ground. ' Classified .. . .28-31 Comics...... 26 Comment____ . ...4,5 District____ .... 19 Family...... 24-26 Local News .. , 17, 18 Markets . 22, 23 Religion..... .....8. 9 Sports..... ... 13, 14 Theatres .. 7 TV......... .......6 Weater ____ . . .. 3 LOW TONIGHT 0, HIGH SUN. 15; LIGHT SNOW » s ÍÍ •M g .1 EDMONTON (CP) - The report from a public inquiry said Friday the suggestion that correctional institutes in Alberta or elsewhere in Canada are capable of rehabilitating prisoners is a “cynical farce,” ‘To call the Spy Hill jail the Calgary Correctional Institute is akin to calling Attila the Hun a diplomat,” Calgary lawyer A. M. Harradence said in his report into allegations that prisoners were beaten at the provincial jail. The government-ordered report said the Spy Hill jail and other provincial jails are well-suited for the first two priorities of incarceration in Canada; Deterrents and punishments. However, it said, the objectives of the concept of rehabilitation “cannot be met within the custodial environment,” The report found that there was no excessive use of force by guards at the Spy Hill jail on July 17—date of the allegations—or in any of the other incidents mentioned during the inquiry. “In addition, the commission also finds that on occasions, admirable restraint was exercised by these officers.” The report said the use of force, as the Spy Hill jail is presently constituted, “is an inescapable consequence of the maintenance of in-carcflfation.” “The substitution of blazers and crests for tunics and the Sam Brown belt, and the introduction of semantic jargon of rehabilitation, does not alter the fundamental reality, namely that the objectives of rehabilitation are impossible to obtain where persons are maintained against their will in custody,” Solicitor-General Helen Hunley said in an interview she generally agrees with the report’s concept of rehabilitation. She agreed that the words “correctional institute” are “an exercise in semantics.” B.C. businessmen seek NDP ouster Kohoutek turns out to be a bust HOUSTON (AP) ~ Tonight is the ni^t Kohoutek, once labelled the “comet of the century,” was to have blazed across earth’s sky. But it has dimmed rapidly, and observers may have a hard time finding it. The Skytab 3 astronauts, who have the best view of the comet from their orbiting station, report it has lost most of its briiliance and now is no brighter than an ordinary Star, Four days ago it was at least 50 times brighter. Many astronomers had predicted only a few weeks ago that Kohoutek would produce a striking celestial display in earth’s twilight sky between tonight and next Wednesday. “From a scientific viewpoint, it is still the comet of the century because, thanks to Skylab, we have more data than has ever been collected on the composition of a com- et,” said one customer. "But from a viewing standpoint here on earth it’s not living up to advance billing.” “The comet looks in brightness now about like Dabih,” astronaut Edward Gibson' reported from Skylab Friday, naming a star in the constellation Capricorn. An astronomer said Dabih is dimmer than the North Star, Bob Everoski, an astronomer at a Houston planetarium, said the brightness estimate means city dwellers may see Kohoutek only fainUy, if at all, because of reflected city lights. Country dwellers and those at high altitudes should have a better chance. Those Interested should look to the west-southwest at sunset, when the comet might be visible for as long as 45 minntes. VANCOUVER (CP) - The Province says some Vancouver and Victoria businessmen have cut off campaign contributions to British Columbia’s three opposition parties and will only turn on the funds when the parties unite in a common front against the New Democratic Party government. The morning Vancouver newspaper said in a story today the decision has result^l in difficulties for Liberal, Conservative and Social Credit fund-raisers In the North Vancouver-Capilano byelection campaign. The province quotes two of the three opposition leaders as having no knowledge of any such decision, which The Province says was made at a meeting In the posh Vancouver Club. Liberal leader David Anderson safd he his heard nimors "that this Is the deci sion of the business community,” although he as party leader is uninvolved in fundraising. He said he believes some businessmen are biding their time and wondering, in the current political situation, which of the three opposition parties to “put their money on.” Social Credit Leader Bill Bennett said no one has told him of such a business group’s decision on contributions. "It may or may not be happening,” he said. “Our source of funds is local.” B.C. Conservative Leader Dr, Scott Wallace was unavailable for comment. Tlie opposition parties’ candidates in the Feb. 5 byelection said they do not depend on nor do they solicit big business contributions. They said (hey were receiving good financial support from individuals and small businesses in the riding. on ‘war’ footing LONDON (AP) — The British army ringed London's Heathrow? airport with armored cars, light tanks and hundreds of troops today in an anti-terrorist alert unprecedented in this country in peacetime. The alert followed an intensified investigation into a “California connection” linking three suspected terrorists who flew here from the United States. The three, who all arrived Early U.K. election I possible at Heathrow, included a parttime model and waitress from Santa Barbara, Calif., and two men. All were charged with conspiring to have guns and ammunition. The three were remanded in custody for a week when they appeared in court today. The army action in ringing the airport was the first official indication that serious trouble from terrorists was expected there. A Scotland Yard statement said: “A joint police-military exercise has been mounted in the vieini'ty of London Airport and it is anticipated it will last several days.    ’ “This is part of the contingency plans that have been prepared to deal with emergencies.” The alert was required because Britain does not normally maintain armed guards at airports and British police usually carry no guns. If there were to be a major terrorist attack at Heathrow, as there was recently at Home when Arab guerrillas shot up one jet plane and hijacked another, the normal security arrangements could not handle it. The link between the army action and the police investigation of the three arrested in the gun case was strengthened by the fact that army troops were also used to surround the court where the three appeared today. Police said Allison Thompson and Abdelkhir El-Hakkaoui, 25, of Morocco were arrested a week ago at London airport after she arrived with five automatic pistols and ammunition in her luggage. Atler Naseem, 21, of Pakistan was seized when he arrived in London Monday. Both the Moroccan and the Pakistani had been students at Santa Barbara Community College. Police sources said detectives questioning the three believe they may be part of a Moroccan organization dedicated to the overthrow oi pro-Westem King Hassan n. The Times of London says they were part of a plot to kill or kidnap the Moroccan ambassador. Another American girl was detained Friday after she arrived on a jumbo jet from New York. Police refused to name her, but said she was a "known associate” of the other three. There had been reports that Prime Minister Edward Heath’s government would only deport the three, hoping to stave off terrorist reprisals in the event they were tried and jailed. But, newspapers and politicians called for a trial, warning against passing British responsibilities on to other governments. Smii and hMrd About town Dr. Gordon Campbell getung five years scared off his life when his dog jumped against a window, shattering one pane ... S.Sgt, Bill Brvm-mit* of the city police finding snow shoveling itself as the wind blew his snow shovel around this morning. LONDON (CP) -Thousands of Britons faced their first Saturday workday in years today amid speculation that the growing energy crisis wiirbring on an election. But there were signs that not even the regular power cuts have bn^en the British spirit. The government announced Friday night that Parliament will be recalled Wednesday and Thursday in the midst of its holiday recess to hold an emergency debate on tbe energy crisis. Lord Carrington, chairman of the Conservative party, .vsaid the Conservative ^vem-ment might be forced into an early general election, almost a year before it is due, to seek a mandate on its labor policies. The government ha? blamed the power cuts on an overtime ban by coal miners unwilling to accept stringent pay-rise guidelines, and Lord Carrington was asked whether the government would call an election to cash in on current public disenchantment with union militancy. He replied that elections fought on such issues divide the country, but the government "may be forced” to call one. Many thousands of workers were forced to go to work today because for half of the businesses restricted to a three-day work week the allocated days are Thursday, Friday and Saturday. QUAKE CAUSES PANIC LIMA (CP) — A strong earth tremor hit central Peru before dawn today, killing four persons in Lima and causing panic and some damage, police reports said. There were no reports of casualties in the provinces. Sand and mudslides blocked roads and highways north and south of the capital, and rockslides hampered traffic in mountain roads to the east. Thousands of people, many in night clothes, ran into the streets when the 40-second tremor hit Lima at 3.34 a.m. Pieces of masonry from the cornices of old buildings in some parts of the capiUl crashed down on the panic-stricken crowds but there were no reports of major dantage. The Peruvian Geophysical Institute said the tremor had a force of five on the 12-point Mercalli scale and its epicentre was somewhere in the Pacific. 00*0,    i.^HCHIvE*v.orr ;