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Lethbridge Herald, The (Newspaper) - May 7, 1974, Lethbridge, Alberta The Lethbrldae Herald VOL. LXVII 122 MAY 1974 10 Cents 24 Pages Summer vote likely over budget Liberal spending major sore point The Canadian Press The federal budget Monday night drew general plaudits from Canadian business and economic but there were also pockets of dis- about government spending. budget direction is said Lorie professor of economics at University of Toronto. glad they finally don't pretend that any budget is go- ing to lick he said is a mirage that fiddling with the budget will lick in- His views were in by Douglas director of the Canadian Tax who said the budget reflects moderation on the part of Finance Minister John Turner. seeking to combat he has remained alert to the dangers of RCMP 'like' media OTTAWA Solicitor- General Warren Allmand has compared investigating RCMP with are seeking information that might be of use to them. The minister made his com- parison Monday in a written reply to questions on the Com- mons order paper in which he ajain refused to confirm or deny that four Alberta journalists were investigated by in answering seven written questions from Peter Bawden he said the RCMP's responsibilities in security counter- counter-es- pionage and the protection of important persons necessitates contact with various elements of including the mass media. In such it was some- times necessary to make in- quiries with a responsible per- such as the individual's a fellow etnployee or other persons. Individuals questioned are under no obligation to reply and it was hoped they would respect confidentiality of the Mr. Allmand said. a procedure is stand- ard whether the inquiry is of a criminal or security nature as varies little for the procedures utilized by members of the media itself when pursuing a potential news story. Seen and heard About town CCH graduate Alan Pennington trying to remember his date's iame.. amateur mountaineer Jim Sawers so excited about' laving his picture taken by a terald photographer while climbing in the coulees that he 'el' off and broke his shoulder. increased Mr. Sherbaniuk said. has therefore refrained from taking more radical Draconian measures to combat lest such measures deflate the economy and result in lost Mr. Sherbaniuk and others said they were pleased that tax incentives were maintained for manufacturing and processing which in turn were excluded from a 10-per-cent surtax on profits. Keith president of the Canadian Manufacturers' although happy with the tax was severely critical of the government's forecast budgetary deficit of million. reductions affecting personal income and the improved incentives for personal savings are admirable and should assist in containing he said. Some criticism was harsh. Donald outgoing president of the Canadian Labor said the budget was and deceptively designed for an And John dean of the University of Toronto's faculty of management noting the forecast think what's really disturbing is the fact that the government is running a deficit when they should be running a and spending is obviously running amok. obvious to me that the government now even re- gardless of the public Small spared the tax cuts thrust at wealthier expressed enthusiasm. is a unflappable budget and one that doesn't play said John president of the member Canadian Federation of Independent Business. move will give our members extra money for working he said. has responded to a major concern of our members over pressures of higher But while small business was the mining and petroleum industries were hit with the provinces getting 50 and 40 per of the tax on their profits. goodness they took the sales tax off bicycles and shoes because we are going to need said John president of the Canadian Pet- roleum Association. are going to run out of energy sup- plies with this government's His view was echoed by Maurice president of the Independent Petroleum Association of who said the budget was detrimental to the industry. The Canadian Chamber of Commerce also saw things their way. question the wisdom of laying the major burden on the petroleum and mining industry at a time when priority should be given to encouraging exploration and development if Canada's future energy and raw material needs are to be Liberal defeat may come J Budget as early as Wednesday in brief Plugging in Opposition leader Stanfield grimaces as he adjusts earpiece during budget interview Monday night. North commissioner approved in principle Herald Legislature Bureau EDMONTON Establishment of a powerful commissioner to oversee development in northeast Alberta was approved in principle Monday. MLA's voted 49-16 in favor of the legislation. It has been under attack from the opposition for' allegedly establishing a dictatorship in one-eighth of the province. But Municipal Affairs Minister Dave in refuting the said with tffe exception of Fort little government existed in the region. Thus local autonomy was not threatened by creating a commissioner. reasonable amount of insurance for a very special situation has been built he said. Mr. Russell also charged that the former Social Credit government had established much more potent and dangerous precedents in its Human Resources and Development Act. Opposition leader Bob Clark told the legislature it appeared the government did not want to tip' its hand on future developments in the northeast. It was establishing a commissioner who' could push through policies or developments unpopular with local residents. If the government insisted on appointing such a he said it should appoint a chief commissioner and local government a commissioner in charge of social services and a third in charge of public works. Doug Miller Taber- said the bill would take away the right of people to govern themselves. Inside I Classified........20-23 Comics............18 CommeTit...........4 District............15 Local Markets...........19 Theatres......... 7 TV.................6 Weather............3 I t OTTAWA The New- Democrats joined the Con- servatives today in deciding to oppose the government's Mon- day night almost assuring the defeat of the minority Liberals in the Commons this week. After meeting his caucus for 90 NOP Leader David Lewis caucus has decided to oppose the budget-and I will give detailed reasons for that opposition when I speak this Tom House leader for the told reporters moments later that his caucus was drafting a non-confidence motion designed to garner NDP support. He told reporters the motion would be worded generally and NDP won't have any difficulty moving a sub-amend- x Conservative Leader Robert Stanfield had already an- nounced opposition to the budget Monday night after it was read in the House by Finance Minister John Turner. Conservative Finance critic Marcel Lambert will move the Conservative motion in the budget debate later today. But the first chance to defeat the government will come on a vote on the NDP sub-amendment Wednesday. Until the content of the NDP sub-amendment was the Conservatives would not say whether they would support it. Mr. Lewis said that he is to move a sub-amendment which contains some of our Conservatives will decide whether or not they will support He said his caucus decided unanimously to oppose the Turner budget. The situation raises grave doubts about the survival of the government and of most if not all the provisions proposed in the Turner budget. Some including income tax changes took effect at midnight but parliamentary dissolution for an election would wipe them out unless some special inter-party arrangement is made to make them law. Mr. under stiff questioning Monday night at a news said one provision that could be implemented by cabinet decree is the increase in earnings on Canada savings bonds. There were survival possibilities for the Trudeau govern- ment if either the Conservatives or the NDP found themselves unable to support each other on non-confidence votes. Commons attendance possibly might be a factor as well. the Turner budget envisaged a deficit and some- thing for just about everybody except large segments of the corporate community. Tax cuts for low-income i groups and a plan to help fi- nance home ownership were among items in the mix of at- tractive measures. But this is balanced by planned higher costs for some luxury items. Large in the resource and service finance a major share of the planned revenue increases. Mr. I'jrner called the budget fiscally responsible and said it is aimed at fighting inflation attacking shortages of supply. Mr. Stanfield said after the budget speech was read-to a boisterous Commons that it does nothing about the cost of living. just hopes the whole thing will go Government anti-inflation policies are in sharp contrast to Progressive Conservative proposals for a system of wage and price which Mr. Turner says will not work. He cites experiences in other coun- tries. The Conservatives argue that tough policies are needed. certainly will vote against it Mr. Stanfield said. Mr. Turner told a news con- ference after the' budget speech that he was ready for an election. they opposition par- want the people to be the so be He said it would be up to the electorate to on the facts and the response that we've made. We've tried to do the best we can. Now that's the Herald Ottawa Bureau OTTAWA Following are highlights of Finance Minister John Turner's sales tax on all clothing and footwear excise tax on tobacco and alcohol increased 15-per-cent. bonus on Canada Savings Bonds sales tax on bicycles officials say it might also apply to excise tax on large cars cut for lower income war veterans and civilian war allowances increased and to be excalated increase to in duty-free goods for returning small business tax limits corporate .surtax of 10-per-cent introduced. expense deductions sales tax removed on buses and other municipal transit registered savings plan for potential home taxes on resource industries up to interest income to become tax deductible. Transcripts said immoral' WASHINGTON Senate Republican Leader Hugh Scott said today President Nixon's transcripts of tape recordings relating to the Watergate political espionage scandal reveal immoral by all of those involved. who has defended the White House and said portions of the transcript he saw last winter showed Nixon's in- gave reporters some sharp comments on them based on reading about 800 of the pages. think it's a dis- gusting immoral perform- the Pennsylvania Republican said. Asked Ted wants White House LOW TONIGHT HIGH WED WARM. More budget coverage Pages 8 WASHINGTON Senator Edward Kennedy says he will have to face questions about Chappaquiddick if he runs for president in 1976. But he says he already has given all the answers. Kennedy said Monday that he would like to be president and will make a decision on the race by late next year and possibly earlier. deep like to be Kennedy whether he means the he each of those persons according to what he am enormously disturbed that there was not enough showing of moral Scott added. he declined to say anything further when asked whether he still thinks the transcripts the said he stands on a statement he made last Friday. At that he said the full transcripts of the March 21 meetings involving Nixon and former White House counsel John Dean are consistent with the summaries and excerpts he was shown last winter. the Senate Watergate committee said it still needsMive subpoenaed White House despite Nixon's release of edited transcripts of the conversations. At the same White House lawyers were given five more days Monday in which to stave off a showdown with the Watergate special prosecutor over 64 tapes sought for use in the Watergate cover-up trial. The Senate in papers filed with the U.S. Court of called Nixon's transcripts and complete nor The court had asked the senators what stake they still have in the court fight in light of disclosures already including the transcripts. Finance minister to succeed fallen Brandt WILLY BRANDT BONN West Ger- many's governing Social Democratic party nominated Finance Minister Helmut Schmidt today to succeed Chancellor Willy Brandt following Brandt's unex- pected resignation. whose policies for East-West de- tente won him the Nobel Peace Prize during his 4Vz years in fell victim to a spy scandal -on top of state election setbacks for his socialist party. Foreign Minister Walter Brandt's vice- chancellor and the leader of the junior partner in the coalition took over the caretaker cabinet left by Brandt. He will serve until Schmidt's election by the lower house of parliament. Heinz deputy chair- man of the Social told reporters Brandt himself proposed the 55-year-old finance minister as his successor. Schmidt was nominated by the party's presidium and a caucus of its members in par- liament was called for later today to approve the nomination. Kuehn said despite his retirement from the will retain the chairmanship of the party. The chancellor's resignation letter to President Gustav Heinemann Monday njght said Brandt took responsibility for in appointing a spy for East Guenther to an important post in the chancellery. Political experts said Brandt also resigned because of the recent setbacks in state elections and opinion polls that showed support for his policies had dropped to about 30 per down from 43 per cent as late as last October. The political crisis caused bv Brandt's resignation was considered the worst in West German history and is expected to have repercussions far outside Germany's espe- cially among its partners in the European Common Market. West Germany is the mar- ket's economic the chief counter to the persistent French drive to dominate the and the strongest advocate of close co-operation with the United States. The the lower house of will meet May 17 to elect the new chancellor. Schmidt's election was considered almost Scheel has been planning to seek the mostly ceremonial presidency when resigns this month. Brandt's resignation came after mounting pressure on the government by the Opposition Christian. Democratic Union over the Guillaume the biggest spy sensation since the Second World War in a country which is a major target for Soviet Bloc espionage. Brandt's aide for party political affairs since was arrested April 24 with his who was secretary of the Hesse state Brandt's decision to take full responsibility instead of firing the former chancellery chief who hired Horsl Paul August came amid growing domestic problems. Since early this he has 'faced waning voter support for his Social Democrats caused by worries of economic uncertainty due to the .energy Brandt's inability to silence Marxist dissidents in his charges by some party leaders that he was vacillating on key issues and disappointment over the lag in ;