Lethbridge Herald, The (Newspaper) - July 6, 1973, Lethbridge, Alberta
VOL. LXVI No. 174 The Letttbrtdge Herald LETHBRIDGE, ALBERTA, FRIDAY, JULY 6, 1973 TEN CENT? TWO SECTIONS 28 PAGES Illegal election gift admitted WASHINGTON American Airlines has acknowl- edged it made illegal corporate contributions to President Nixon's re-election campaign in 1971 and 1972, special Watergate prosecutor Archibald Cox said today. Cox said the company has agreed to co-operate fully with the spatial prosecutor's office, which is investigating, among other things, reports that Nixon fund raisers used extortion to obtain campaign donations. A company statement said it made cash contributions total- ing to the Nixon re-elec- tion committee and "some of the contributions came from corporate funds in possible vio- lation of campaign-financing laws." Federal election laws forbid corporate contributions to politi- cal campaigns. 'COME FORWARD' The statement said also Cox hopes other corporate execu- tives would "realize the dam- age created by illegal campaign financing and come forward like American Airlines in an ef- fort to put an end to such prac- tices." The money was given after Nixon's personal lawyer, Her- bert Kalmfoach, asked for 000 from the company, Ameri- can Airlines Chairman George Spater said in a statement. He declined to answer questions about the matter. At the time the money was given American was attempting to merge with Western Airlines, a move that required approval of both the White House and the Civil Aeronautics Board. The merger was disapproved by the CAB last summer, and didn't go through. Spater said American admit- ted the corporate gifts in an at- tempt to gain favorable treat- ment from Cox, and "also to focus attention on the evils of the present political fund rais- ing system." He called for reform of cam- paign finance laws, and said be takes full responsibility for the gifts. Monetary system collapse feared JEAN SWIHART phefft. Lougheed9 the guide Premier Peter Lougheed decked out In his western duds, guides the Queen and Prince Philip through the grounds in Cal- gary Thursday. The Queen opened the Stam- pede and included in her busy schedule was a 15-minute chat with 100 Fort Macleod resi- dents. Story and pictures on the Macleod group's day on Page 17. LONDON (AP) United States ;dollar dropped to record lows in Europe and Asia today in a deepening atmosphere of re- newed-'monetary crisis. Rumors of a possible new ma- jor realignment of currencies during "the weekend swept Eu- ropean financial centres. But Paul Volcker, secertary of the treasury for monetary affairs, said in Wash- ington the U.S. would not con- Election funds tactics sparks house flare-up becomes politically involved By DOUG SMALL CALGARY (CP) The Queen flew bomi; to Lon- don Thursday night after establishing herself as a more politically-involved Canadian monarch during an 11-day royal visit. She returns in three weeks as bead of thj Com- monwealth to attend a four-day meeting of Common- wealth leaders in Ottawa. Her final appearance here, at the opening of the annual Stampede, was a glittering, slick affair as she ended her four-province tour that included Ontario, Sas- katchewan and Prince Edward bland, celebrating its Centennial. The final day of the expedition that gave more than an estimated 1.2 million people a giimpse of the royal couple began with a meeting with a group of Alberta Indians. REAFFIRMS INDIAN TREATIES On a grassy patch of earth near the airport, tbe Quaen joined 42 chiefs on buffalo-skins in a ceremony reaffirming the desire of both to uphold treaties signed by their ancestors a century before. That spsech pointed up the Queen's aggressive new attitude toward political problems in Canada and il- lustrated toe government's desire to use the Monarchy as a unifying force in the country. Speeches by the Qusen involving Canadian policy matters are approved in advance by Ottawa. She made tbe point in a more general way at the beginning of the tour in Toronto. Then, she urged Can- adians to accept bar as the Queen of Canada "and all Canadians, not just osie or two ancestral strains.'' "The Crown is an idea more than a person and r Trould like the Crown in Canada to represent every- thing that is best and roost admired fa the Canadian jdeaL" OTTAWA (CP) The Con- servatives attacked Liberal election financing tactics Thurs- day in the Commons but were the New practices themselves. Indians lose first round in court YELLOWKNIFE, N.W.T. (CP) The treaty Indians on the Northwast Territories lost tbe opening round Thursday in the fight to keep their case for square miles of land be- fore Northern Judge William Morrow. Federal Court Justice Frank Collier, sitting in Yellowknife to hsar a government application for a writ of prohibition barring Mr. Justice Morrow from con- tinuing with the controversial case, dismissed preliminary ar- guments that his court did not have jurisdiction. Judge Collier rejected argu- ments from Indian Brotherhood lawyer Gerry Sutton that the aoplication should be heard in the appeal division of tbe fed- eral court, rather than the trial division sitting in the Northern capital The federal judge said he will make a decision on whether to issue a writ by Monday. That's Mr. Justice Morrow is scheduled to resume his hear- ings in the Supreme Court of the N.W.T. The flare-up followed a To- ronto Globe and Mail report that saidltwo high-level Liberals United' States parents companies last fall seeking funds for the Oct. 30 election. Government House Leader Al- lan MacEacheri did not deny the report but called it specula- tive and flatly refused a request by Conservative Leader Robert Stanfield for a public inquiry. Fielding questions for an ab- sent Prime Minister Trudeau, Mr. MacEachen said no govern- ment officials were involved, but drew a distinction in his .an- swers between government and political officials. NDP Leader David Lewis supported the demand for an in- quiry but said it should apply to past financing practices by all parties, his own included. He said he was not impressed by the self-righteousness of the Conservatives, "I believe they have done the same thing in the URGED 5PEED Mr." Lewis said MPs should give speedy passage of legisla- tion now before the House that would force all parties and can- didates to make public any campaign contribution over The newspaper report said Senator Harry Hays Al- berta) toured the U.S. last fall asking companies to contribute to the Liberal campaign. It also said Mel Mclnnis, then Ontario campaign chairman and later executive-assistant to Stanley Haidasz, minister of state for multiculturalism, tried to persude the U.S. parent of ITT Canada Ltd. to contribute to the Liberals through its Ca- nadian subsidiary. UGANDAN MESSAGE BRANDED INSULT Ceasefire proposed Inside Classified 24-28 Comics........22 Comment 4 District 3 Family 30, 21 Joan 5 Local News 17, js Markets......23 Entertainment Weather......2 LOW TONIGHT SO, HIGH SAT. 65: CLOUDY, COOL PHNOM PENH CAP) Tbe Cambodian government pro- posed today an immediate and unconditional ceasefire to end the three-year war with tbe coantrv's Khmer Rouge insur- gents and their North Vietnam- ese allies. Foreign Minister Long Borel said the govemnjent is willing to participate in newtiations with the insurgents with a view to bringing about a lasting peace. He said a ceasefire could come before negotiations start provided the rtJxrr side agreed, but there not. be a unila- teral ceasefire. Boret told a news conference that President Ltm NoTs gov- ernment is not insisting upon withdrawal of 40.000 North Viet- namese troops from Cambodia as a prior condition for a cease- fire. He said the North Vietnamese could withdraw during negotia- tions. By BERNARD GWERTZMAN New York Times Service WASHINGTON The Uni- ted States has decided not to send a new ambassador to Uganda following a July 4 mes- sage to President Nixon by President Idi Amin in which the African leader wished Nixon "a speedy recovery from Watergate." Paul J. Hare, a state depart- ment spokesman, said that General Amin's latest message to Nixon was "totally unaccept- able in substance and and that a protest would be lodged with tbe Ugandan gov- ernment Accusing Gen. Amin of a rec- ord of against the United States, Hare said that "under the present circum- stances, we have no inten- tion of nominating a new am- Queen home LONDON The Queen and Prince Philip arrived back in London today after their 10- day Canadian tour which has been seen here as a bigger suc- cess than expected. bassador" to Uganda. The for- mer ambassador, Thomas P. Melady. was recalled to Wash- ington in February because of critical messages to Nixon from Amin on Vietnam. Hare said that in addition to the recall of Melady, the Uni- ted States had also curtailed all economic aid programs to Uganda and that the 114 Peace Corps volunteers had been withdrawn last fall during the campaign against Asians. a third devaluation of its dollar. Volcker said the current da- dine in the value of the U.S. dollar on some world money markets results from the "spec- ulative movement that feeds upon itself to some extent." He said it is bis feeling that, tbe dollar is undervalued and "I see a turnaround coming around. It's implicit in those ex- change rates getting out of line." The value of the dollar plunged so low in- Frankfurt that several major West Ger- man banks halted trading in dollars one hour ahead of schedule. A dollar was worth somewhere between 2.24 and 2.26 German marks at-4 pan. It was one of the most precip- itous drops in one day since, tire dollar four years ago started its decline from the price of four marks to Karl Otto Poehl, West Ger- man state secretary for mone- tary affairs, said the U.S. cur- isency had become "vastly im- dervalued" and further decline could lead to collapse of the world's monetary system. Poehl told an international meeting of business leaders in Frankfurt: "The devaluation .of the dollar and the revaluation of the mark have gone too far" in a trend he described as "worrisome and dangerous." Poehl said he was convinced confidence in the dollar even- tually would be it might take a year or. two for the reduced value of U.S. money to correct the U.S. trade deficit. The dollar, be said, has de- clined to a level that "nobody dared to imagine some months ago." A London currency dealer said: "The whole market is in turmoil." The value of the dollar dropped three per cent within 24 hours in Switzerland and the head of the Swiss national bank described the situation in for- eign exchange as "completely out of control." In Paris, tbe value of dropped through its psy- chological barrier of four francs to an all-time low of 3.86 to 3.89 francs. There ware rumors that tbe franc would be possibly devalued against the dollar to prevent a flood of low- priced American goods. AGREEMENT NEAR ON MISSING (MEN New York Times Service SAIGON, South Vietnam Agreement is near on a compromise formula to re- cover two Canadian officers missing for a week in a Viet Cong-controlled rubber plan- tation east of Saigon, officials of the International Commis- sion of Control and Supervi- sion said Thursday. Under terms of the com- promise, an official commis- sion "search party" would be allowed into Commuust ter- ritory to retrieve the men, who -were last men at a road- block near Xuan Loc, 35 miles from Saigon, surround- ed by Viet Cong troops. The two officers, Capt. Ian Patten, 28, and Capt. Fletcher Thomson, 27, who were known for their aggressive efforts to monitor the cease- fire, were on what was de- scribed as mission to show the international commis- sion's flag. The Viet Cong have re- peatedly dented knowing the whereabouts of the two men and have disclaimed any re- sponsibility for their fate. According to commission sources, the compromise for- mula would avpiC the Com- munist's sensitivity on this issue by allowing" the search party to "find" the Canadians without charging they had been in Viet Cong cus- tody. million drug cache found No shortage of protein OTTAWA (CP) The coun- In's over-all protein supplies fcr cattle and poultry produc- tion will be adequate until new crops come on the market later this year. Agriculture Minister Eugene Wbelan predicted in the Commons. However, be added, "supplies of soybean meal trifl be less than normal and substitutions will have to be Soybean supplies have been reduced by export restrictions imposed by the United States to forestall shortages there. Trade Minister Alastair GQlespie in turn imposed controls on pro- tein exports effective last Satur- day. Supplies of high-protein feed are considered vital if fanners are to keep up production of livestock and poultry to meet increasing consumer demands. Prospects of a meat shortage could encourage still more price increases. VICTORIA (CP) An In- tensive five-day hunt along a northwest Vancouver Island in- let ended successfully with the discovery of a big drug cache, RCMP Supt. J. M. Nelson an- nounced Thursday night He estimated the cache weighed about pounds and included TOO to 800. pounds of hashish and about 200 pounds of marijuana. Estimated street value of the drugs was mil- lion. The discovery was made Wednesday by an unidentified serviceman who was part of a search and rescue team at the Canadian forces base at Hoi- berg which bad joined the hunt along both sides of Quatsino Sound by scores of RCMP offi- cers and forces members. The cache, in large plastic bags, was found about 35 feet inland under a big log on tin south side of Quatsino Sound al- most directly south of Winter Harbor. RECEIVED INFORMATION Supt. Nelson and other RCMP officials said earlier the oper- ation had been in progress for several months, apparently on the basis of information from the United States. It involved the RCMP, Canadian forces and the U.S. Bureau of Narcotics. They said Canadian forces tracking aircraft reported the former U.S. mines weeper Mary- bar, at the entrance to the Sound. The ship yielded many exotic birds and animals, pets of those DeRenzy's secretary flew to Victoria Wednesday from San Francisco to take home a baby gibbon valued at between and Other annuals and birds are held in quarantine here. Wholesale prices up WASHINGTON (AP) Pushed upward by a record in- crease in the cost of farm prod- ucts, wholesale prices rose in the United States last month at the sharpest rate since January 1951, the government said to- day. Meanwhile, tbe bureau re- ported that tbe U.S. unemploy- ment rate dropped to 4.8 per cent in June, marking the first time since June, 1970, that the rate has been below five pr cent. The price report was gathered by tbe govern- ment a day before President Nixon froze aD wholesale, retail and manufacturing prices for GO days. svilk, owned by San Francisco bine-movie maker Alexander Edward DeRenzy, 38, and the Canadian fishboat Gondola were in tbe same area from about p.m. to mkiinght Friday night two miles off Winter Bar- Laporte underworld link denied About town QUEBEC fCP) Premier Robert Bourassa denied Thurs- day night having received an RCMP report concerning one of his cabinet ministers when be formed the government after the provincial election of April 29, 1970. Mr. Bourassa also told re- porters, following a sitt'ng of the national assembly, that he never received any "in- criminating" Quebec Provincial Police report on She subject References to an alleged meeting between a former Lib- eral cabinet minister and un- derworld figures only soils Vte reputation of a deceased politi- cian, he said. He was referring to an earlier statement by Robert Bums, Parti Quebeccis house leader, that a police report on organ- ized crime referred to a meet- ing April 16, 1970, between two underworld figures and Pierre Laporte. Mr. Laporte, a Liberal member for Chambly, became labor minister following tbe election later that month. He was kidnapped and stran- gled in October. 1970, during Quebec's terrorist crisis of that autumn. Mr. Bourassa said his special Paul Desrochers had been in charge of gathering in- formation OB of his party prior to forming ibe cabinet, but be added, as far as be could remember none of Was information came from police reports. Justice Minister Jerome Cbo- quette answered Mr. Barn's earlier questions in tbe national assembly as v tl as possible and it is clear the Parti Que- becois member was trying to gain political cods, Mr. Boo- rtssa said. MACLEOD ccimtil- lor John Davis, en route to see tbe Queen in Calgary, washing his coat in the river after a seagull incident Mae Cmmky neatly sinking a putt inlp the trap at Hen- derson's sixth hole. Joe E. Brown dies at SO LOS ANGELES (AP) Joa E. Brown. SO. whose ing grin and comic antics roada him one of America's most be- loved downs, died Friday at Ids borne after a long illness.