The Ottawa Citizen from Ottawa, Ontario, Canada • 1

Ottawa, Monday, May 13, 1974 131st Year Home delivered Number 265 85 weekly. 80 pages 15 per copy Bank ra to up to 8. 75 pet By Bud Jorgensen Otatdita Press stttT writer In an attempt to restrain a ballooning economy, the Bank of Canada has raised the bank rate to 8 per cent effective today. The increase of one-half of a percentage point follows a month of rapid expansion in money supply and the volume of bank loans outstanding. It was only a month ago that the central bank raised the bank rate by a full percentage point to 8Vi per cent, surpassing the previous record of eight per cent for the central bank rate.

The bank rate is the rate charged chartered banks for loans. Chartered banks borrow infrequently from the central bank but the bank rate is an important influence on the rest of the interest rate structure. The latest change follows a frantic month of rate and loan activity. The rate the chartered banks charge their best customers has generally gone to 11 per cent from 9(6. Gerald Bouey, governor of the Bank of Canada, said Sunday internationsl pressures were partly responsible as short-term interest rates in the U.S.

and Euro-dollar market have gone up in recent weeks. "During the same period, the pace of monetary and bank credit expansion in Canada has been much more rapid than needed to sustain the continued expansion of the economy." (Postal strike partly blamed, page 9) B.C. tragedy Canoes found, eight students feared dead Citizen photo Parking i They were dropped off at the river by the father of one of the boys and were to arrive here Saturday evening. The search started at 10 a.m. Sunday.

Members of the Provincial Emergency Program, a pulp company's search and rescue unit, RCMP, a motor club and local volunteers searched the river bank and roads and trails beside the river until dusk Sunday. A Canadian Forces Buffalo, a helicopter, riverboats and four-wheel-drive vehicles were used in the search. Searchers on foot had difficulty reaching the shoreline at some points because of sheer rock cliffs. Heavy rains loosened the clay soil around this Wendover house, leaving a gaping hole in front of the garage. The family decided discretion was the better part of valor and vacated.

If the rain continues as forecast 10 other homes in the area may be threatened and police fear a portion of Highway 17 east of the city may be washed out. (See story page 3) CLC emphatic Pay and price curbs snubbed Two die in Falls during test trip NIAGARA FALLS, Ont. (CP) Two Niagara Falls, N.Y., men are feared dead after being swept over the Horseshoe Falls Saturday night. Efforts to recover the bodies of David Boyd, 29, and Don Walker, 20, were called off late Sunday afternoon because of bad weather. The men left a Niagara Falls, N.Y., marina on a test run in their 16-foot boat on which they had made repairs.

Police believe a cotter pin connecting the propeller to the motor's drive shaft may have broken, causing the propeller to fall off in the swift-flowing water above the falls. Wayne Harmer of Niagara Falls, fishing in the area, said one man fell out of the boat as it went out of control, but that the other man pulled him back in. He said the boat developed trouble on a sharp turn. Then he watched it head for rapids a half mile from the brink. "It made' me sick," he said.

"I felt so helpless." However, Constable Bob Harrison of Niagara Parks police said he saw the boat flip over in the rapids about a half mile upstream from the precipice and one man with a life jacket swimming upstream against the current. The constable said the overturned boat went over the brink, with the other man clinging to it, before it shattered on the rocks below the falls. The man with the life jacket disappeared. Fragments of the boat along with a couple of gas tanks and two life jackets were recovered in the water below. PRINCE GEORGE, B.C.

(CP) -Searchers Sunday found debris from canoes used by eight high school students missing while on a trip down the Willow River about 30 miles east of here. Parts of the wreckage were located about four miles downstream from Highway 16 where the youths launched their three canoes and a kayak Friday afternoon. A local farmhand, Ron Mayo, found a nylon parka and pieces of a shattered fibreglass canoe. He said some grocery items were nearby. Another searcher reported two pack-sacks and a sleeping bag were also recovered.

Mr. Mayo said a log was spanning the river near the spot where the debris was found. Officials and searchers said the swift-flowing river, swelled by heavy spring run-off, might have driven the boats into the log before the youths had a chance to alter course. Police did not identify the missing youths. Six of the youths, all believed to be 17 or 18 years old, are from Prince George and the other two are brothers from the Queen Charlotte Islands.

The two were staying at a dormitory here while attending secondary school. The group had planned to travel about 40 miles down the Willow to the Fraser and on to Fort George Park in Prince George. Skopje shaken again by quake but fate smiles BELGRADE (Reuter) A strong earthquake hit the southern Yugoslav city of Skopje Sunday night but no casualties or damage were reported. Skopje police said five hours after the quake that police patrols did not find any casualties or damage. "The city is calm and thousands of people which earlier fled from their homes in panic, returned indoors." "There were several slight injuries when people, in panic, broke glass windows to escape," an official in the medical emergency office said.

Skopje was almost totally destroyed in an earthquake in 1963 when more than 1,000 people were killed. Mother, 4 children engulfed by flames in one-exit townhouse problem CLC convention, which started here today and will conclude Friday, seems to be made to order for the New Democratic Party. It will be the largest labor convention in Canada, with 2,344 registered delegates and some 300 visitors and it will debate many of the points to be used by the NDP in the election campaign. (Further details, page 5) "EES Inside Dropping in See page 3 Ukrainian Canadians want prisoners' freedom 2 Stanfield levels blackmail charge at Trudeau 33 Pressure mounts on Nixon to resign 56 Ready, aim ooops! Hold it 64 Action Line 61 Ask Andy 31 Astrology 25 Births, deaths 22 Bridge 30 Business 8-13 Careers 13 Comics 60 Crossword 26 Editorials 6 Entertainment 62,63 Frank Penn 61 Jumble 24 Geoff Johnson 61 People 61 Sports 17-21 TV 60 Want ads 23-32, 34-47 Women's pages 49-55 Weather Cloudy, showers but clearing. High today 50.

Low overnight 40. High Tuesday 60. VANDALS PAINT OUT ENGLISH Vandals or racists. Investigators don't know which leaning was held by the painters of 19 English-language signs in the Old Chelsea area over the weekend. However, there's no doubt who will pay the $3,000 damage bill The taxpayers, the same people who footed the bill in the late 1960s and early 70s when separatist slogan writing became the rage along the Gatineau Parkway.

The English signs were defaced with paint during the weekend. French-language signs were not damaged. An NCC spokesman said today it was the heaviest damage in the parkway area in three years and will take crews several days to repair. Income tax returns net average of $188 The revenue department reported today it had paid out more than $1 billion in income tax refunds by last Thursday. The average refund was SI 88 and the department had sent out refunds on 87 per cent of tax reports assessed.

was sent back to Vancouver where the brain tumor was discovered. Maki, father of two, became an apprentice electrician when the brain tumor ended his career. Cause of the tumor was never known. "They (doctors) said it could have been there from the time I was born," Maki said. Wayne Maki Ottawa stick duel By Guy Demarino Southern News Services VANCOUVER Canada's organized labor won't even discuss wage-price controls with a Conservative or any other government, Canadian Labor Congress executives unanimously stated Sunday.

Both outgoing CLC president Donald MacDonald and his selected successor, currently executive vice-president Joe Morris, expressed "unqualified opposition" to the Conservative proposal to impose temporary wage-price controls if elected on July 9. Asked whether the CLC would then recommend active resistance by its l.S million members to such policies which could mean a national general strike or civil disobedienceMr. Morris said he wouldn't go that far but hasn't yet decided how far to go. "We would have to look and see what policy can and should be devised in such a case," he said. Lewis opposed Mr.

MacDonald even expressed opposition to a recent suggestion by NDP leader David Lewis, who urged union members earning high wages to exercise restraint in their upcoming pay demands, "There should be a floor on which to base future demands," he said, indicating that the higher the floor the better those workers would be protected from inflation. Aside from that slight disagreement, everything at the biennial Record rainfall clobbers tulips The 1974 Canadian tulip festival may be without its feature attraction this year tulips. A record rainfall of 1.37 inches pelted the city Sunday raising fears that the flowers might be swamped out. The previous May record was .82 inches, in 1952. "We've had the rain, now we need the sunshine," a festival organizer said today.

"The festival will proceed full steam ahead whether or not the tulips are out of the ground," he added. The festival runs from May 18 to June 2. Terror toll at 100 SALISBURY (AP) The Rhodesian government has released a report that it says documents almost 18 months of. murder, rape, mutilation and other atrocities by African guerrillas in northeastern Rhodesia. It said the guerrillas killed more than 100 civilians and that 29 atrocities have occurred this year.

Hockey battler Canuck's Wayne Maki succumbs to brain tumor Lotte Frank, a 45-year-old mother of three who lives across the street, said she ran to the burning home, barefoot, in her housecoat. "I stuck my head in the basement window and yelled, but the place was filled with smoke and no one answered," she said. "Flames were shooting out of the living-room window just above my head." A witness said the victims did not stand a chance because of the construction of the building. "The only way out is the front door," he said. "And that was cut off by The townhouse was built under a subsidized housing program of the Ontario Housing Corporation.

An OHC spokesman said the townhouse was built to conform to the building code. The same design is commonly found in private developments too." A Are offficial said the structure was built to required standards. Five of the bodies were found on the second floor. The baby was dead in its crib and two youngsters were beside their beds. Collister eyeing Toronto Tory seat TORONTO (CP) Ron Collister, parliamentary reporter for CBC TV, will seek the Progressive Conservative nomination for the Toronto federal riding of York-Scarborough, held in the last Parliament by Revenue Minister Robert Stanb-ury.

The nomination meeting is on May 21. On Saturday, Mr. Collister said in an interview he had received "quite a few approaches in the past from two TORONTO (CP) A mother, her four children and a family friend died early today in a Are that destroyed a townhouse in the borough of North York. Dead are Vicki Guerin and her children Jacqueline, Pauline, Michael, 5, and Sean, one month old and a family friend, John McMaster, .31. The blaze started just after midnight in the first-floor living room of the 10-year-old structure and quickly spread, blocking a stairwell, the only exit from the second floor where the children were sleeping.

Witnesses said the children appeared at the second-floor window of the attached row house and onlookers shouted at them to jump. Two girls and a boy pounded at the window in an attempt to smash it but witnesses saw them engulfed in flames. At least six neighbors made rescue attempts. A man climbed up a drain pipe but was unable to reach the window where the children stood terror-stricken. Several neighbors entered the front door but were met by a wall of flame.

Mitterrand in way of French N-tests PARIS (Reuter) France will launch a new series of nuclear tests at Mururoa Atoll in the South Pacific next month, unless Socialist leader Francois Mitterrand wins the presidential election next Sunday. The French armed forces insist on systematic tests to improve the French nuclear strike force. Mitterrand, facing conservative leader Valery Giscard d'Estaing in the May 19 presidential runoff, has said he will halt the nuclear tests if elected president. NORTH VANCOUVER (CP) -Wayne Maki, who gained notoriety for his part in one of the most vicious stick-swinging duels in National Hockey League history, died in hospital Sunday. Maki, 29, was forced to retire from Vancouver Canucks in 1972 because of a brain tumor.

He had been working as an apprentice electrician since that time. Maki, at the time trying to make the NHL with St. Louis Blues, and Ted Green, then a defenceman with Boston Bruins, became involved in the ugly incident in an exhibition game in Ottawa on Sept. 20, 1969. The result was Green suffered a fractured skull that almost ended his career; both players were handed stiff sentences by the NHL; and both faced criminal charges.

Maki was acquitted of assault causing bodily harm and Green of common assault. Maki's brain problems began when the Canucks started a road trip in the 1972 season. On the way to Atlanta he got severe headaches and.