Reno Gazette-Journal from Reno, Nevada • Page 2

1 Reno Evening Gazette Wednesday, Oct. 22, 1975 Consumer prices rise as purchasing power falls By R. GREGORY NOKES WASHINGTON (AP) Consumer prices increased five-tenths of 1 per cent in September and helped push the purchasing power of workers' paychecks down six-tengths of 1 per cent, the government said today. Despite the over-all Increase in consumer prices, food prices at supermarkets declined for the first time since early this year, the Labor Department reported. The food prices dropped two-tenths of 1 per cent since August, with sharp reductions in prices for beef, fresh fruits and vegetables, the department said.

It said the decline in the buying power of workers' earnings resulted both from the rise in consumer prices and from a decline of six-tengths of 1 per cent in average weekly working hours. But it said purchasing power still is one per cent greater than last year, the result of federal income tax cuts in May ordered by Congress. The September figures mean consumer prices are increasing at an annual rate of 6 per cent, which is below the 8 per cent annual inflation rate forecast by the government. For the first nine months of 1975 consumer prices have increased 5.1 per cent, and for the 12-month period ending in September they increased? percent. The Labor Department said its consumer price index in September stood at 163.6 of the 1967 average of 100, meaning it cost $163.60 last month to buy the same goods that cost $100 in 1967.

The September price report showed that the rate of inflation, while still high, is continuing to decline from the double-digit levels of a year ago. Consumer prices had increased two-tenths of 1 per cent in August, which was considered unusually low. The Labor Department said prices of goods other than foods increased three-tenths of 1 per cent in September, in part because prices of 1975 model cars did not decline as much as new car prices usually do at the close of the model year. Prices of 1976 models will be reflected in the October price index, the department said. Prices of fuel oil and coal jumped 1.3 per cent in September, reflecting a steady upward increase of utilities costs.

i The cost of services increased 1 per cent during September, the biggest increase' in a year. The Labor Department said major causes were an increase in New York City transit fares, which helped push over-all transportation costs up by 3 per cent, and a rise of nine-tenths of 1 per cent in medical care. The department said physicians' fees increased 1.1 per cent in September, the biggest rise in six months, while hospital service charges rose seven-tenths of 1 per cent. In the food area, grocery store prices fell of 1 per cent, but the decline was offset by a seven-tenths of 1 per cent increase in restaurant costs, which pushed the over-all food index up by one-tenth of 1 per cent. The department said the September figures were adjusted for seasonal variations.

On a seasonally unadjusted basis, fresh fruit and vegetable prices fell 10.2 per cent, which is more than usual for September, the department reported. It said prices of potatoes, onions and apples also were down sharply. Beef prices, which usually are unchanged in September, declined 3.2 per cent, and prices of cereal and bakery products also declined, the department said. Offsetting some of the declines were big increases in prices of milk, butter, cheese, coffee and sugar, it said. Overall dairy product prices increased by 1.2 per cent on a seasonally adjusted basis, the department said.

A world of violence A oeelMMMn Diplomat slain in Vienna VIENNA, Austria (AP) Three men walked into the Turkish Embassy at noon today, asked to see the ambassador, then pulled out submachine guns and shot him to death, Austrian officials said. The three escaped in a Franco condition: Big improvement By FENTON WHEELER MADRID (AP) Gen. Francisco Franco, recovering at "an extraordinary pace" from a heart attack, walked around the rooms of his palace today, informed sources aid. The 82-year-old head of state suffered what officially was described as "an acute coronary crisis" two nights ago. His doctors reported he had a satisfactory night.

Sources at his Pardo Palace, the news agency Europa Press reported, said that after breakfast Franco walked in his rooms and talked with members of his family. However, speculation continued that Franco was nearing the end of his long rule, and political sources predicted Prince Juan-Carlos de Borbon would replace him as chief of state within weeks or even days. Franco was visited early today by his chief physician, Dr. Vicente Pozuelo. The government denied reports abroad that Western Europe last dictator had died on Tuesday, and officially he was still in power.

But he was in seclusion at his Pardo Palace just outside Madrid, and a high diplomatic source said his condition was grave. Already afflicted with Parkinson's disease, the 82-year-old leader who has ruled Spain with an iron hand for 36 years became ill last Thursday with influenza. His doctors were reported to have detected fluctuations In his heart beat at the time, and on Monday night he reportedly suffered an attack of endocarditis, or inflammation of the heart valves. A two-paragraph announcement told Spain's 35 million people Tuesday that their leader had suffered an "acute coronary crisis" but was recovering and had resumed some of his normal activities. Vicente Cardinal Enrique Tarancon, the archbishop of Madrid, asked the public to pray for Franco and for the future of the country.

There was no reaction from the public. But the gravity of the generalissimo's illness was evidenced by two long visits to his residence Tuesday by Premier Carlos Arias Navarro and by the concern of the government in denying the reports of his death. informed sources said Franco and the premier discussed whether to transfer the powers of the chief of state to the 37-year-old prince Franco designated six years ago to succeed him when he died or retired. kidnaped in Beirut By EDWARD CODY BEIRUT, Lebanon (AP) Two American Embassy officers were kidnaped today at a street barricade manned by fighters in Lebanon's religious and political war between Christians and Moslems. They were identified by an embassy spokesman as Charles Gallagher, 44, of Roanoke, and William Dykes 50, of San Jose, the director and deputy director respectively of the U.S.

Information Agency printing facility in Beirut. The two were grabbed about 7 a.m. as they drove to work in an embassy car with diplomatic license plates, the spokesman said. There was no indication who the abductors were, he added. Kidnaping has been a frequent weapon of right-wing Christians, "left-wing Moslems and radical Palestine guerrilla supporters of the Lebanese Moslems.

The two sides have been locked in street battles for the last seven months. The two were stopped by unidentified armed men at a roadblock on the Cor-niche al-Mazraa, a broad avenue that leads from a high-class seaside neighborhood through Moslem districts. Two major Palestinian guerrilla groups have headquarters on the avenue. A Lebanese employe who was with the Americans was released and brought word of the kidnaping to the Embassy. The spokesman said there was no word from the kidnapers, but Embassy security officers were in touch with the Lebanese police.

Premier Rashid Karami received U.S. Ambassador G. McMurtrie Godley after getting word of the abduction. It was the first known case of Ifi.VuiiliWiii''1''" A change for Spain? white Mercedes-Benz. Turkish diplomats told Austrian police the killers of Danis Tunaligil, 60, were "English-speaking Greeks." But police said they had no independent information to confirm that they were Greek.

In New York, a man claiming to represent the "Armenian Liberation Organization" telephoned The Associated Press and said, "I wish to inform you that we take credit for the Vienna action." The connection was then broken. The Armenian region formed a large part of the old Ottoman Empire and is now divided among Turkey, Iran and the Soviet Union. The Armenian minority in Turkey was subject to widespread persecution early in this century. Austrian police began a search for the getaway car and said they would not know the men's nationality until they had been caught. Greece and Turkey have a long rivalry over Cyprus, which was worsened when Turkish forces invaded the Mediterranean island in July 1974.

Turkish troops still occupy part of the island, which has a Turkish minority and Greek majority population. Vienna was the site of talks earlier this year between the two Cypriot communities. Police said a member of the embassy staff said the three men were taken to see the ambassador after they asked to see him, speaking in English with a Greek accent. "When they were face to face with him, they asked him if he was the am-' bassador of Turkey to Austria," the Spain's Generalissimo Francisco during a 1971 appearance. Franco Franco, right, is shown with Prince appeared today to be recovering from Juan Carlos, his designated successor, a severe heart ailment.

(UPI file photo) oFood stamps diplomat told police. "When he replied in Reno woman, two others killed in Tahoe wreck A Reno woman and her mother and father were killed Tuesday in a head-on collision near Stateline. The victims were identified as Phyliss (Mrs. Robert) Henry, 36, of 13323 Mt. Whitney and her parents, Thomas Moritz, 64, and his wife, Mary, -59, of Redwood City, Calif.

The Nevada Highway Patrol said Moritz apparently swerved across the double yellow line on U.S. 50, two miles east of Stateline, and crashed head-on into a car driven by Thomas R. Geary, 26, of Lombard, 111. Geary, and his passenger, Martin J. Levine, 25, also of Lombard, were taken to Barton Memorial Hospital at South Lake Tahoe, where they were later listed in serious condition.

i The bodies of the Redwood City killed in! the collision, were taken to Capital City Mortuary, in Carson City. Their daughter, who survived the 11:45 a.m. collision, died shortly afterwards in the South Lake Tahoe hospital and her body was received by McFarlane Mortuary in that city. Funeral arrangements are pending. Reno realtor daughter dies following crash Americans resident in Beirut being kidnaped or killed during the 7-month-old street war between Lebanon's private Moslem and Christian militias.

Col. Edward R. Morgan of the U.S. military aid mission in Turkey was kidnaped last June 29 by radical Palestinian guerrillas during earlier fighting in Beirut. He was released unharmed on July 12 after the Lebanese government distributed food supplies in a poor district of the city.

Sniping delayed enforcement of an agreement to demilitarize three battle fronts in the street war today, but the government radio reported a "marked improvement" in security conditions. "There are fewer unsafe roads in the city and the outskirts today than yesterday," Said an announcer. "Police forces are dismantling roadblocks at a quicker pace." the affirmatnve, they grabbed submachine guns, which they had hidden, and fired a series of shots at the ambassador. He collapsed bleeding, and they fled." The dead man was one of Turkey's leading diplomats. He had been ambassador to Vienna since November 1973.

Police and ambulances converged on the embassy, but an ambulance physician said Tunaligil was already dead. A member of the embassy staff earlier told The Associated Press he had no idea whether the assault was a political crime, or directed against the ambassador personally. Casino Continued from Page 1 Simon said he has been told that Creech told the same story to Southern Nevada lawmen who found the details did not check out. Simon said he is investigating a report that Creech might have worked for hi mat one time. "We've been told that he worked for us for about five weeks in 1973, but if he did, it may have been under a different name, and we're trying to confirm it," he said.

Simon rides an off-road motorcycle but apparently has never been connected with an outlaw motorcycle gang, said the Times. Earlier this year, Simon gave the State of Nevada acres on which to build a new medium security prison. Prior to that, he won national attention for Jean when he bought the car in which famed bank robbers Bonnie Parker and Clyde Barrow were shot to death. He owns nearly all the developable property near Jean. "We do not know Peter Simon personally," said the Times editorial.

"But all we have learned about him is favorable. He comes from a widely known Southern family. "For our part, we are willing to go on record that he is not involved in any way whatsoever with the mass killings to which he has been linked by a self-confessed murderer." The editorial adds that stories about the trial indicate Creech has serious mental problems. (Continued from Page 1) net income is above official poverty levels for various-sized families. That could deny food stamps to as many as 6,100 persons in Nevada who are currently eligible to receive them.

Martell said the proposed changes "definitely would assist us. But the big 'if is, if the final regulations we have to work with are simplified and take out all the variables." Martell said past administrative procedures for food stamp programs have left too many alternatives in deciding eligibility and budgeting up to the states. "It (Ford's program) will assist us if the final regulations are simplified and they don't come out with 40 alternatives for budgeting and eligibility criteria." Martell noted the changes aren't designed to deal with actual abuses of the food stamp program because what many persons think are abuses really are legal. But he said the tighter controls and restraints on eligibility that would be used under a new program would replace "vague and somewhat permissive" standards now used. Martell did say his department is pursuing the abuses that do exist.

He said although Nevada is the eighth lowest in abuses in the United States, he would like to see the state become number one. He said a fraud investigation unit being set up by the welfare division will be taking suspected fraud cases to the attorney general's office for prosecution. Martell added he wants to run an accountable program in Nevada, but often the complex administrative procedures mandated by the federal government hamper the welfare division's efforts. Martell said Sen. Paul Laxalt (R-Nev.) is co-sponsoring a bill with other congressional conservatives which would be even stricter than the Ford measure.

He said the aim of both proposals is to look for some way to reduce the food stamp program's size and the amount of money spent. One feature of the Ford proposal asks that students be eligible to get food coupons only if their families are eligible. The measure would eliminate college students away from home from collecting food stamps unless their families are living within officially defined "poverty levels." one of four passengers in a pickup truck being driven by Clinton Watkins, 18, of Irish kidnapers cornered by heavily armed forces Crystal Bay, when it fent out of control and struck a power pole, according to the Nevada Highway PatrOt She had been in a and another man was under arrest in The 19-year-old daughter of a Reno realtor died late Tuesday of injuries resulting from a one-vehicle accident on U.S. 395 south of the city Sunday. The young woman, Cindy Oppenheimer, was moving to Reno from Encino, to enroll at the University of Nevada, Reno, according to her father.

She was the daughter of Mr. and Mrs. John Oppenheimer, who live in Reno. Miss Oppenheimer was- comatose state in Washoe Medical Center from the time of the accident until her death. connection with the case.

The 53-year-old Dutch executive was kidnaped in Lirick by terrorists demanding that the Irish government release three members of the Irish Republican Army from prison. At one point, the abductors threatened to cut off Herrema's foot to nrnvp ho wno still The highway patrol said today no citations have been issued in the but the case still is under in vestigation. MONASTEREVIN, Ireland (AP) -Heavily armed troops and police laid siege through the night to a house in which Irisb terrorists held Dutch industrialist Tiede Herrema captive on the second floor. Police marksmen kept their weapons trained Tuesday night on upstairs windows of the house in this rural market town 40 mules from Dublin, but there was no break in the deadlock between police and the kidnapers. An official spokesman said the kidnapers had made no new demands since police and troopers stormed into the house early Tuesday and drove them upstairs, ending a search for Herrema that began with his kidnaping 19 days ago.

"They have simply refused to give up Dr. Herrema and come out," he said. "There have been no further moves." Meanwhile, police were questioning the married couple who rent the house. Jury convicts Cutler in Ely murder case alive. From the start, the government has refused the kidnapers' demands.

A nationwide manhunt ended when 200 police and troops surrounded the three bedroom house and burst in the front door, i Shots were fired as one of the terrorists, Eddie Gallagher, dragged Herrema upstairs, keeping a pistol to his head. Police did not return the fire, to avoid hurting Herrema. Gallagher dragged his victim to an upstairs window and shouted, "He's a Cutler, or tly, was charged in the death of Dale Robert Kaze, 20, who was found unconscious in: his Famous mothers The Nevada Chapter of the American Mothers Committee is asking for nominations to be included in the Bicentennial book "Famous Mothers of American History," according to Mrs. Zelvin Lowman, Nevada project chairman. Persons wishing to nominate Nevada mothers should send to Mrs.

Lowman, 1246 Cashman Drive, Las Vegas, before Nov. 1 the names of the nominee, the husband, the father and mother, including the nominee's and mother's given and maiden name plus the names of her children. trailer home here and died ELY (AP) A district court jury today convicted Terry Lee Cutler, 20, of first degree murder in a July 1974 strangulation killing. The jury deliberated nearly nine hours before returning the verdict shortly after midnight. A sen-' tencing date was not immediately set.

three days later. RENO EVE NINGGAZtTTl A member of Speidet Newtpoperi member of Auocioled Preii. Second Clou Poitoge paid at Reno, Novoda. Publithed weekday by Reno Newspapers, Box 380, 2nd Reno Nv 8S504, telephone 703786 WOT SUBSCRIPTION RATES; Co Tier delivery In Reno, Sparks ond Corton City, $4 monrh: for delivery outside these at eat ond by odul' motor route, $4 50 month; by moil $54 a year. Other rotei on request.

Michael C. Bowman, 23, of Pennsylvania, also charged and is scheduled for, dead man if you try anything." Three policemen killed in Italy trial Dec. 8. Senate rejects oil firms' property sale requirement bitterly opposed by liberals, would phase out all federal controls on natural-gas prices. The bloc of Republicans and energy-state Democrats has shown several times that it has Educator seized in Argentina BUENOS AIRES, Argentina AP) A visiting literature professor from France was kidnaped in Mendoza early today, the official Telam news agency said.

There was no immediate police confirmation of the report which said a number of men abducted the professor from a home and took him away in a car. agency cited "sources" for its kidnap report and identified the victim as Noel Salomon. It said he is a "well-known" professor of Spanish literature at the University of Bordeaux now teaching at the National University of Cuyo at Mendoza. the votes to deregulate, or remove-price -con trols. FORTE DEL MARMI, Italy (AP) -Three police officers were killed and four seriously wounded early today in a gunfight after police stormed a villa in which two escaped convicts were police rported.

The convicts were wounded slightly in the battle near this resort 20 miles north of. Pisa on the Tyrrhenian Sea. Both convicts were recaptured. Officials said the police came under fire as they approached the villa searching for Giuseppe Federigi and Massimo Battini. The latter was serving a 15-year term for armed robbery, but Federigi's record was not immediately available.

The Republicans' proposal would end controls By JIM LUTHER WASHINGTON (AP) The Senate rejected an effort today to require giant oil-producing companies to sell off their pipelines, refineries and service stations. By a 50-40 vote, the Senate refused to attach the proposal by Sen. Philip A. Hart, D-Mich to a major natural-gas bill. Rejection of Hart's amendment came after the Senate, on a 56-30 vote, accepted a proposal to delay for several years the major consumer price increases expected to follow removal of federal controls from the price of natural gas.

The proposal, by Sen. John V. Tunney, limits the amount of natural gas that would be freed of controls. However, even with the Tunney amendment, the price of all gas would be allowed to rise moderately. Tunney estimated his amendment could save Americans $5 billion on their gas bills by 1980.

Moving toward final passage of the natural-gas legislation, the Senate also planned to vote later in the day on an amendment that would prohibit the oil-gas industry from engaging in other facets of the energy industry, such as coal and uranium. The gas bill has two major sections. One is designed to avert a predicted gas shortage this winter. The other, supported by most Republicans and energy-state Democrats but immediately on new gas produced from onshore wells after Jan. 1, 1975.

Controls would end in 1985 on offshore gas, which is about 16 per cent of U.S. production. And controls on the old gas now under contract would end as soon as existing contract expires. This "old" gas, about 70 per cent of U.S production, is what most Americans use to heat their homes. ml i iii(iik ih.