The Los Angeles Times du lieu suivant : Los Angeles, California • 2

2 Parti londay.Octotriaiei The RDews odd Biroetf In Sports In Part One In Metro In Business Far bu; New Yorkers in the securities industry, last year's crash was devastating, but in L.A. it was less traumatic. Page I. Gearga Bask' key economist. Michael Bosk in.

is a Stanford professor who manages to mix politics and academic research. Page 1. In View Ialeriar Jesifaer Waldo Fer-nanJex can be just as stubborn as his celebrity clients, but he usually gets his way. Page 1. Dan Qaayle's 97-year-old grandmother has shown that she can take her own common sense advice.

(Page Tto aVfraaa is finally having its turn in the kfcllartin Pre-School molestation trial, nearly five years since charges were filed. (Page 1.) A Latin evaagclWaJ church in the Silver Lake district boasts of rapid acceptance and growth in the community. Page 1.) Tto VS. alertiaa promises welcome relief for Latin America after eight years of the Reagan Administration. (Editorial Pages.) Deregalatlea kaa turned the savings and loan industry into the worst banking calamity since the Depression.

(Editorial Pages.) Nm af tto five insurance initiatives on I he Nov. 8 ballot is so long or so complicated as Prop. 194. tPagrl) liaalaf to escape the shadow of scandal, the Bay Area Rapid Tran-sit system also hopes to gain support for expansion. Page 3.

Latvian laaartod a mass move-ment seeking to win a degree of self-determination unheard of in the Soviet Union. Page 4. Pap Jaka Paal II assailed environmental pollution, racism and anti-Semitism during a visit to the Alsace region of France. Page Kirk GOtaaa's home run in the 12lh inning gives the Dodgers a 5-4 rome-frora-behind victory over the New York Met. Page Tto Oaklaad Athletics complete a four-game sweep with a 4-1 victory over the Boston Red Sox.

(PageL) is Everett passes for 234 yards and 3 touchdowns as the Rams defeat the Atlanta Falcons. 33-0. (PageL) Tto MlaaU Dalaklaa score two touchdowns in an 11 -second span as they defeat the Raiders. 24-14. (Paget.) Saaaarters af Gen.

Augusto Pinochet are trying to persuade Chileans that last week's defeat actually was a great victory. Page S. Raaalaj- suta Lloyd Bentsen appeared to chide the Democratic nominee for not responding sooner to GOP attacks. (Page III Crlaa-rraatlag flight paths may add to air controller errors at O'lUre International Airport, an FAA study found. Page 17.) Ufa has baa faaad to be more abundant in sea ice in Antarctica than previously thought, a USC researcher says.

(Page 25.) tin -m 1 cs 1- 'dry wU5 The World Contras Seek Niraracaaa rebels have asked several Central American leaders to set up a regional peacekeeping force as a prelude to new peace talks with Managua, according to a Contra spokesman. Bosco Matamoros. in an interview last week, said rebel leaders have asked Costa Rica. Honduras and Guatemala in recent weeks to establish "a United Nations-type force" and offer its services to Nicaragua's leftist government The peacekeeping force would separate the Contra forces from San-dinista government troops and establish the order necessary for the resumption of peace talks. Matamoros said.

This would be the first step to ending the he added. "We are prepared to lay down our arms." Count Otto Lambsdorff, a former economics minister convicted last year of tax evasion, has been elected head of the Free Democrats, junior partners in West Germany's coalition government. Lambsdorff. who resigned from the Associated Pre Count Otto Lambsdorff at Free Democrats' party congress. government in 1984 during a scandal over alleged illegal political contributions by the West German Flick industrial group, won the job of party chairman by a vote of 211 to 187 at the congress in Wiesbaden.

He defeated challenger Irm-gard Adam-Schwaetzer, a high-ranking official in the West German Foreign Ministry. PLO leaders meeting in Tunisia approved plans to renounce terrorism and proclaim an independent Palestinian state in the Israeli-occupied territories, the Middle East News Agency reported. Egypt's state-run news agency quoted PLO Executive Committee member Abdullah Hourani as saying that Palestine Liberation Organization leaders ratified a "document of independence and sovereignty of the Palestinian people over their soil" in the West Bank and Gaza Strip, occupied since 1967. The news agency said that the document will be debated at an upcom Peace Force ing session of the PLO'i parliament-in-exile in Algiers. Tto United States wants to review the mysterious deaths of 22 British defense experts and determine if any had worked on the VS.

Strategic Defense Initiative the Sunday Times of London said. "It has got to the point where we can't ignore it any the newspaper quoted an unidentified VS. Defense Department spokesman as saying in Washington. The Sunday Times said the Pentagon will ask Britain this week for the case histories of 22 Britons computer scientists, engineers and academics who have died in unusual circumstances since 1982. Belgian's coalition government faced a new threat after a French-speaking group whose leader has brought down the last two governmentsapparently won a majority in a local election.

Early returns in the nationwide voting for local councils had no clear implications for the five-month-old government led by Prime Minister Wilfr-ied Martens. But in a result likely to reopen tension between the nation's French and Flemish speakers, a militant French group won nine of 15 seats in the Fourons a cluster of French-speaking villages. A crisis could occur if the group's leader. Socialist Jose Hap-part, is reelected mayor. He refuses to prove he can speak Flemish, the official provincial language, as he is required by law to do.

Suspected separatist guerrillas massacred at least 36 Sinhalese villagers in northern Sri Lanka, a military spokesman said. "We believe it was done by the LTTE Liberation Tigers of Tamil Eelam guerrillas," he said. Details were not immediately available. Meanwhile, police in three towns used tear gas and batons to disperse thousands protesting the pact under which Indian troops have been in Sri Lanka for a year trying to end the island nation's ethnic conflict Many of Sri Lanka's majority Sinhalese oppose the pact, under which minority Tamils are to be allowed a form of self-rule. Salvadoran President Jose Napoleon Duarte, stricken with inoperable stomach cancer, has returned to Washington for a fourth round of chemotherapy, the third such treatment in the United States.

A spokesman told reporters that Duarte, 62, will be treated at Walter Reed Army Hospital. Although the chemotherapy has taken a visible toll on Duarte's appearance he recently vowed to "personally hand over the presidency June 1 to whomever wins the upcoming 1989 presidential elections." Wrecked in Algerian riots Passers-by walk through debris from government store attacked by rioters in Algiers. Violent clashes In Calendar Tto Savlct Uaiaa't film industry has become a major battleground in the struggle between conserva Uvea and those pressing for more radical changes. Page 1.) Reuters fifth day in Algeria, where rising shortages and unemployment discontent. (Story on Page 4) Batter East adoption.

The girl, named Arlena, died in August of a congenital heart defect that had kept her bedridden most of her 9 years. The Twiggs believe their real daughter was adopted shortly after birth and now lives with a Sarasota man whose identity remains a secret. The Postal Service is operating a mail-order child pornography company that solicits business by mail then arrests the customers when they receive the graphic videotapes they ordered, a published report said. The Miami Herald, quoting Assistant U.S. Atty.

David Lichter, said about 20 people in South Florida have been arrested through the sting operation in the last year. The undercover operation is the outgrowth of Operation Looking Glass, a nationwide child pornography sting that netted about 100 arrests last year. Crime levels rose 1.8 last year, ending a five-year trend of falling crime rates, the government reported. The number of personal and household crimes rose about 613,000 in 1987 to more than 34.7 million, according to the study by the Bureau of Justice Statistics. In 1986, the number of crimes hit the lowest level in the 15-year history of the government's national crime survey, 34.1 million.

Even with the increase, crime levels last year were 16 lower than in 1981, the peak year with 41.5 million crimes committed, said Joseph Bessette, acting director of the bureau, a Justice Department agency. In its regional breakdown, the survey said there were 125.4 personal crimes for every 1,000 people living in the West, 101.3 for those in the Midwest, 91 for those in the South, and 70.7 for the Northeast. Three people were swept into the ocean as they watched storm-tossed seas along southern Maine's rocky coast, and at least two of them were presumed drowned, authorities said. A New Hampshire man and his daughter were washed into the ocean as they stood on rocks near the Cliff House Motel in York about two hours after an 1 1 -year-old boy was swept away in Ogunquit, a few miles north, officials said. Police in York said Terry Hundley, 41, and his daughter, Marisol, 11, of Durham, N.H., were believed drowned.

In Ogunquit, officials called off their search at sunset but they declined to rule the incident a drowning and were not releasing the boy's name. Caltaral affairs leaders said that the arts community in LA. must do two things: reach out to the vast ethnic population and find a few million dollars. Page 3. The State Ex-Priest to Be Sentenced A farmer Episcopal priest was convicted of molesting a 6-year-old boy in a church rectory and faces up to eight years in prison when sentenced in November, officials said.

Robert Henry, 56. of San Luis Obispo County, was acquitted on another charge of molestation involving an 11 -year-old boy in 1985. The Superior Court jury could not reach a verdict on five other counts involving the same boy, said Deputy Dist Atty. Don Coleman. The molestation occurred after the younger boy attended a confirmation class taught by Henry at St Paul's Episcopal Church and Parish Day School in Ventura.

Coleman said. Henry is free on bail pending a Nov. 22 sentencing hearing. The priest cut ties with the Episcopal Church in early 1987 after the allegations were made public. Both boys said that after several afternoon confirmation classes.

Henry took them to the rectory and fondled them. A former sergeant on the 10- member Moraga Police Department has been arrested on burglary charges and accused of trying to burn down the Northern California town's only police station. Paul A. Lanzarotti, 36, resigned from the force about eight months ago. Officials said they know of no reason why Lanzarotti would start the fire that caused an estimated $45,000 damage and left the department homeless.

Lanzarotti was being held in the Contra Costa County jail in lieu of $250,000 bail. Moraga Town Manager Gary C. Chase said he had tried to prevent Lanzarotti from quitting the force and was "very distressed" by his arrest. An experimental NASA jet serving as a chase plane for a research flight crashed in the Mojave Desert but the pilot ejected safely. Stephen Ishmael, 39, was flying a modified McDonnell Douglas Corp.

FA18 when problems with the plane's controls forced the pilot to eject said Nancy Lovato, a NASA spokeswoman at Edwards Air Force Base. The flights originated at Edwards and Ishmael's jet crashed near Boron, 10 miles east of the base and about 125 miles northeast of Los Angeles. A pioneering surgeon pleaded for more infant heart donors even as the latest infant heart transplant recipient recovered from the life-saving operation. "We want to remind parents of babies that have become brain dead that something terribly useful can come out of it," said Dr. Leonard Bailey, chief of the infant transplant program at Loma Linda University Medical Center.

Bailey, who pioneered the transplant of infant hearts, said not enough donor hearts are available in the United States and Canada. "If we could find donors for all the babies confronted with heart transplants, it would probably be the most common surgery we do here every year," Bailey said. The newest patient in Loma Linda's transplant program, 516-month-old Matthew Matsumiya, remained in critical condition after receiving a new heart Saturday morning. Police have reopened a 14-year-old murder case and issued a warrant for former Fresno resident Allen J. Vercher, suspected of killing a former highway patrolman.

Officers said Vercher, 38, who also goes by a variety of aliases, is believed to be living in the Los Angeles area. Vercher's cousin, Erwin C. Rogers, who has reportedly been living in west Fresno, is also being sought for questioning. Vercher is suspected in the May, 1974, shooting death and robbery of Robert Blackwell, 59, a retired California Highway Patrolman who had been working as an automobile repossessor. Black -well's body was found in an apartment rented by Vercher, who fled the area after the slaying.

Detective Joe Chilberto said the case was reopened when he got a tip that Vercher was living in the Los Angeles area and had told someone he had shot Blackwell. continued for prices, food have fueled Temperatures ed. Paisley is the focus of an investigation into bribery and bid-rigging at the Pentagon. "We have found nothing that would permit us to pursue criminal charges against anybody," Sgt. Harlan Bollinger said.

Mary Lou Paisley was 30 when she was found dead in the family's home. Paisley told authorities that his wife, an artist, apparently had gotten up during the night to paint and was overcome by fumes while cleaning her brushes. The autopsy found no trace of sleeping pills, alcohol or paint solvent in her blood. A nurse's aide working at Hardee Memorial Hospital in Wauchu-la, when Ernest and Regina Twigg's baby was born said she found their daughter and another baby girl in each other's cribs one day and switched them back. The couple have charged in a $100-mil-lion lawsuit that somebody deliberately switched their healthy newborn baby for the sickly child they brought home because the other child was to be given up for a The Nation Winter-Like Record low temperature marks were tied or broken as winter-like weather battered the East.

Snow fell in northern New England, closing the road through Smugglers Notch, a popular fall foliage route in Vermont Low temperature records for the day were broken or tied in Allentown, 30, (tied)i Atlantic City, N.J., 30, (31 was previous record); Hartford, 28 (29)j Newark. N.J.. 35, (37); Philadelphia 35, (tied); Pittsburgh. 43, (tied); Scran-ton, 31. (tied); Syracuse, N.Y..

30. (32); Tallahassee, 38, (40), and Wilmington, 33, (34). Frost and freezing temperatures reached as far south as the Virginias. Light rain was scattered from western New York state across northern Ohio, from southeastern Kansas into northwestern Arkansas and over central Louisiana into west-central Mississippi. No charges will be filed in the 1968 death of the second wife of defense consultant Melvyn R.

Paisley, the Seattle Times report Newsmakers Cursed Midas Finally Saves Face not only the Minnesota spirit but the Anoka spirit I was fortunate enough to grow up in," she said. "On a scale of 1 to 10, if you compare this with Sept 10, when I was crowned Miss America, they're both right up there at No. 10." During her speech, Carlson told how as a little girl she dreamed of becoming a concert violinist. "As my activities became more diverse, so did my dreams," she said. "It's now my dream to be the first Miss America to perform my violin in Carnegie Hall in New York." Anoka Mayor Steve Halsey, referring to another famous graduate of Anoka High School, humorist Garrison Keillor, said: "This has not been a quiet week in Lake Wobegon." Then, keying on a familiar Keillor phrase, Halsey said: "Gretchen has proven to America that in Anoka the women are good-looking and the children are above average." "If you came here to see a choir of long-faced, sad, orphan children, you came to the wrong place," Gary Oliver, executive director of the African Children's Choir, told an audience in Clinton, 111.

The 26 members of the choir had lost one or both of their parents during Gen. Idi Amin's eight-year reign of terror in Uganda. They are touring in the United States to raise money to build orphanages and schools in their country. -JAMES MARNELL There's no denying that two Britons in particular have the Midas touch. Dr.

John Prag, an archeologist at the Manchester Museum, and Richard Neave, an illustrator in the department of medicine at Manchester University, have reconstructed in plaster and clay the head of King Midas, ruler of Phrygia now central Turkey from 738 BC to 696 BC, according to the Sunday Times of London. Officials in Turkey had asked Prag and Neave to reconstruct the skull, found in 1957 by American archeologists. In 1983, the two experts had made a similar cast of the head of King Philip II of Macedonia, father of Alexander the Great. When shown a photo of the cast, which depicts a long, narrow face, a sharply hooked nose and a prominent lower lip. Dr.

Ellen Kohler, one of the archeologists who discovered the Midas tomb, said: "The face is quite striking. It fits in with the one terra-cotta figure of him that exists." According to mythology, Dionysius granted Midas the ability to turn anything including his food and his daughter into gold. Midas was said to overcome the curse by bathing in a river. Miss America Gretchen Carlson is not one to forget her roots. Carlson, 22, traveled to her hometown of Anoka, for her very own parade, as 15,000 admirers cheered.

"The feeling I carry with me wherever I go is Associated Press Reconstruction of King Midas' head was made from skull found in 1957 by U.S. archeologists..