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WORLD REPORT 1 ;• '< << it* i<< Rhodesia's talks fail; deal sought SAllSBURY, RHODESIA (AP) — Prime Minister Ian Smith told an applauding parliament Tuesday that his talks with black nationalist leaders over the future of white-ruled Rhodesia had failed. He said he will seek a political deal with moderate blacks who will not press for immediate majority nil*. Smith claimed that meeting the demands made by the African National Council (ANC) at Victoria Falls would have meant allowing black murderers and terrorists to return to this central African nation. Demands "Unacceptable" He said his government, which unilaterally declared independence from Britain in 1965 to preserve white minority rule, had demanded that further rounds of the talks be held inside Rhodesia. In return, he said, the ANC had demanded that exiled ANC members be permitted to return and move freely about the country. This was quite unacceptable, he said. "It would involve people who are well-known terrorist leaders, who bear the responsibility for the murders and other atrocities which have been perpetrated in the coun- »ry." Monday's talks in a luxury railway car over the Zambezi River at the Rhodesian-Zambian frontier were intended to work toward majority rule in \Rhodesia and prevent an escalation of the. black guerrilla The Deg Moineg Register • Aug. 27,1975 l.irl Woman guilty in pension theft NEWARK, N.J. (AP) - A businesswoman pleaded guilty in federal court Tuesday to conspiracy in the theft of $812,000 From the pension fund of the United Paper Workers International Union. Loretta Lustig, 38, of Rego Park, N.Y.. a produce dealer, admitted that she conspired with a fund administrator 4o take the money, which had been deposited with the Bankers Trust Co. According to an Indictment returned in January, the conspirators withdrew the money with counterfeit bank books between June 1973 and June 1974. Also indicted were four former Bankers Trust officers and James R. Tonelli, of Hartsdale, N.Y., son of Joseph Tonelli, president of the union. Control by Whites Rhodesia's, government and Economy are entirely controlled by .the former British colony's 270,000 whites everiMhough the 5.7 million blacks outnumber them more than 20 to one. Smith . told parliament x he plans to hold constitutional talks with conciliatory blacks, those who have indicated they will break off from the ANC and settle for a promise of black rule In the future rather than righjb now. When Smith left Victoria Falls earlier in the day both he and ANC leaders were saying they did not feel the talks had broken down. The prime minister said he would return to Victoria Falls to sign a preliminary agreement if the ANC agreed to his demand to hold the next stage of talks inside Rhodesia. President Kenneth Kaunda of Zambia and South African Foreign Minister Hilgard Muller made a last-ditch plea to ANC leaders at Livingstone on the Zambian side of the border to save the talks. Bishop Abel Muzorewa, leader J>f the ANC, told newsmen in Livingstone, Zambia,, before Smith addressed parliament: "There is no breakdown and talks will go on." Asks U.N. force hi N. Ireland DUBLIN, IRELAND A leading opposition lawmaker demanded Tuesday that United Nations troops fake over' in Northern Ireland if British troops fail to cope with the violence there. He spoke shortly after two Ulster men were found shot to death near the Irish border. Ruairi Brugha, Fianna Fail spokesman on Northern Ireland, said if the British government can't stop the bloodshed ''then early consideration should be given to seeking the aid of the United Nations to disarm the militant elements." Chou in talks with Sihanouk TOKYO, JAPAN (AP) - Chinese Premier Chou En-lai met in a Peking hospital Tuesday with Prince Norodom Sihanouk, Cambodia's titular head of state, the official Hsinhua news agency reported. Hsinhua's broadcast, monitored in Tokyo, did not say what they discussed. Sihanouk returned to Peking from Pyongyang Saturday after spending three months in North Korea. Sihanouk has lived in Peking since his ouster in 1970 by forces led by Lon Nol, who went into exile just before the Communist victory in Cambodia last spring. C hxO u , reported recovering from a heart ailment, has been in the hospital for more than a year.--''' \ • U.S. attacked in Peru 'nonaligned' conference LIMA, PERU (AP) - The United States came under strong attack, direct and implied, Tuesday in the second day of a huge conference of Third World nations whose delegates represent the bulk of the world's poor peoples. Foreign Minister Milos Minic of Yugoslavia spearheaded the oratorical assault in a prepared address which deplored, among other things, the U.S. role in Latin America and its record on the Panama Canal question. Panama just has become a member of the nonaligned bloc. Three other new members, whose election underscored the anti-U.S. thrust of this conference, are North Korea, North Vietnam and the Palestine Liberation Organization (PLO). This brings total membership to 82. Reject S. Korea The conference, however, turned down the application of South Korea, which has U.S. ties. It also rejected the applications of the Philippines and Guatemala for observer status. American officials described as "grossly unfair" the decision of the conference to grant full membership to North Korea while rejecting an application from South Korea. The State Department declined comment on the action but privately officials said the rationale for turning down South Korea applies equally to North Korea and to its close ties to its Communist allies. 82-nation said the Seoul regime was viewed with suspicion because of its alliance with the United States. PLO,Okay Acceptance of the PLO came at a moment when Egyptian- Israeli agreement on a new military disengagement was reported imminent. This, some delegates suggested, could slow down the drive here for another resolution urging the United Nations to expel or suspend Israel. However, a PLO representa- Delegates at the conference—hi Lima ive here called its admission a 'triumph for the people of Pa- estirie" and said it moved the question "a step closer to the United Nations." "The next step is expulsion of srael," said Fafouk Kadoumi, head of the PLO delegation. Diplomats noted there was near-unanimity on admission of he Communist states and the PLO, though some Insisted on reservations with regard to North Korea. South Korea, how- ver, was rejected in any package deal for lack of "consensus." Main Targets Having cleared away the membership question, the delegates began to zero in on their main targets: The United States, the advanced world in general and the big multinational corporations, to which many in the Third World im- lute a large measure of blame or their crushing problems el- her because of a colonial past or the presemVeconomic-imbaK ance. At the ceremonial opening session Monday night, Gen. Juan Velasco Alvarado, president of Peru's leftist military government, said that imbalance had to be corrected and soon. Minic, who is vice-president and secretary for foreign af- airs of Yugoslavia, singled out he U.S. role in Latin America — notably in Panama and Cuba — for special attention. "The nonaligned countries ive their full support to the Latin American countries in heir efforts to resist success- iilly foreign interference and all forms of pressure, to consol- date their political and economic independence and securi- .y and to dispose of their natural resources in a sovereign manner," Minic said. In that spirit, he said, the conference should work toward helping Panama establish sovereignty over the canal, and Cuba over the U.S. naval base at Guantanamo, and "to liquidate the remaining 'colonial enclaves in the regions of the Caribbean and Latin America." U.S. delays final moves toward airlift in Angola "WASHINGTON, D.C. (AP) The United States has begun planning to help bring thousands of white refugees out of the Portuguese colony of Angola, but is delaying'final moves until more information is available, the State Department said Tuesday. Press Officer Robert Funseth said Ambassador Frank Carlucci told Portuguese officials last Friday the United States is willing in principle to help. No Formal Request However, Funseth said no formal request has come from Portugal and there is not enough information available for a final decision. Funseth said he assumed any American assistance would be "in providing an airlift," rather than merely supplying money. He added that the number of potential refugees seeking to flee the strife-torn African colony is uncertain with estimates running from 270,000 to 300,000. Another problem in U.S. participation is the "availability of funds," Funseth said. He explained that no determination on money could be made until information is forthcoming on the number of refugees involved and the type of operation necessary. Civil War The problem of the refugees in Angola has become an ur- Bomb hoax leaves Britain $2 million bill GREAT YARMOUTH, ENG-j LAND (AP) - The Great North Sea Bomb Hoax was played out Tuesday, leaving a bill of more than $2 million in lost production and wages. When anonymous telephone warnings from a caller said to have a Middle East accent warned of undersea time bombs, British navy divers were called in. They reported finding nothing but stinging jellyfish after spending hours checking three huge natural gas rigs operated by American- owned Phillips Petroleun. Another American operator. Santa Fe. inspected its own rig in the same area and found nothing. It continued production but Phillips shut down operations, removed its crews and called on the navy for help. The rigs are in the Hewett field, 30 miles off the Norfolk coast, and produce natural gas from under the seabed for Brit- ish domestic users. The sea is 100 feet deep there. A police officer at Great Yarmouth said the hoax cost one million pounds ($2.2 million). "Nearly 450 million cubic feet of gas will be lost, huge teams of men have worked around the clock for nothing and divers' lives were endangered," he said. Bill Russell, a Texan and Phillips' district manager, said the hoax showed the rigs are open to terrorist attack. Lt. Cmdr. Christopher Beresford-Jones, who led the navy diving team, agreed, saying, "] think these structures are vulnerable and the hoaxer is a special problem. Anyone wo really means business would find it possible to attach thing: to a platform leg. I shall make my own recommendations on what could be done against at tacks by swimmers and di vers." gent one in recent weeks as rival black independence move ments engage in civil war. The Portuguese Army in the colony has. been unable to maintain order, the economy las broken down and transportation facilities are almost nonexistent. x Most of the refugees apparently want to go to Portugal, although there are report that a sizable number would seek evacuation to the United States. Funseth, however, said he assumes the evacuation would be from Angola to Portugal. Portugal Activity Meanwhile, in Lisbon, leading members of an'officers movement to force a change in government sped to a provincial military headquarters to play out the next stage of a crisis they have threatened to settle by force. Maj. Ernesto Melo Antune and Maj. Vitor Alves left the capital suddenly for the headquarters of the central military district at Coimbra, command ed by a tough general allied in their effort to oust Goncalves. Accused by his rivals of pur suing Communist party policies and alienating popular support from the military, Goncalves stubbornly clung to his office and the Community-party mua tered support behind him. Despite a climate chargec with the threat of armed con frontation, Goncalves had a normal workday, his aides re ported. They said he attended a decolonization committee meet ing in the presidential palace in the morning, and was presiding in the afternoon over a meeting of a cabinet given a life of days by some and hours by others. Reported Ready to Act President Francisco da Costa Gomes, the man with the au thority to dismiss Goncalves was reliably reported ready t< remove the premier. But re liable sources said his main concern was how to avoid civi war in doing so. Costa Gomes has been given an ultimatum by a coalition oi officers representing moderate favoring Western ties and left ist nationalists alarmed by Gon calves' de facto alliance wit! Moscow-line Communists. Though the anti-Goncalves ol ficers set a deadline for mid week, timetables in Portuga tend to become unstuck. On wit remarked that the dis sidents told Costa Gomes, "Ge rid of Goncalves next week, o else we'll give you more timt.' JAPAN RUM COLLAPSES By SAM JAMESON © mi Lit AMMtt TNMt TOKYO, JAPAN - Kojin, a conglomerate ranked in the top 500 Japanese manufacturing companies, Tuesday collapsed under the weight of an estimated debt of $500 million to become the largest bankruptcy n Japan's ptttww history. Company officials announced hey would file for court ap- roval of rehabilitation Thursday after the firm's leading banks informed them Tuesday hat no further loans would be orthcomlng. Trading of the company's stock* was suspended on the Tokyo stock exchanges. the collapse was attributed n large part to Kojin's purchases Of large tracts of land luring the wild land speculation hat swept Japan in 1972 and 173 and the Subsequent level- ng off of land prices, in the wake of new land taxes and a Ight money policy implemented by the government. Other linns with large tracts of land : ori their hands were eported to be facing similar credit pinches. Kojin, which employs 3,500 workers and was capitalized at 1214; million, had about 35 per cent of lla sates — which to- aled 12* million in the 12 months ending last April — in he r^al estate business. tiidso manufactured pulp, chemical paper, textiles, pharmaceuticals and plastic film. The immediate cause for the collapse came from the firm's nability to meet notes due at he end of August totaling some $5.7 million. College teacher strike in 2nd day CHICAGO, ILL. (AP) Teachers at Chicago's eight city colleges Tuesday began the second day of a strike which has idled 95,000 students. Oscar Shabat, chancellor of the city colleges, said he does not know how many of the 1,400 faculty members engaged in a salary dispute, reported to work Tuesday, but that if 16 Army trucks destroyed iit fire HEIDELBERG, WEST GERMANY (AP) - A fire, possibly set by an arsonist, destroyed 16 U.S. Army trucks and damaged another five in a motor pool in K a i s e r s lautern Aug. 22, a spokesman for U.S. Army Eu- ope headquarters said Tues- lay. An empty gasoline can was found at the scene, the spokesman said. teachers still manned picket lines he could seek further court action. Only 10 per cent of the 1,250 teachers represented by the union reported for work Monday. The Cook\County College Teachers Union was ordered Monday to return to classes by Circuit Judge L. Sheldon Brown but the union voted Monday night to defy the order. Jazz concert license threat NEWPORT, R.I. (AP) — The Newport City Council threatened Tuesday to revoke the license of an upcoming jazz concert unless promoters cancel a performance by the group Blood, Sweat and Tears. The group was signed to ap pear at the concert this week- fnd after jazz singer Sarah Vaughan cancelled her appearance. The council contended Blood Sweat and Tears was a rock band, not a jazz group, and as much would not be allowed to perform in Newport, which for years hosted the Newport Jazz Festival. The festival was disbanded after disturbances broke out in 1971. Council members said they feared a rock group would draw a rowdy crowd to the weekend concert. No injuries as jet lands in meadow MUNICH, WEST GERMANY (AP) — A chartered Capito Airways DCS jetliner with 243 passengers from Los Angeles overshot the end of the runway after landing at Munich airport and came to rest in • a rain soaked meadow. Officials salt none of the passengers was in jured and the plane suffered no apparent damage. Show eauso CARBONDALE. ILL. (AP) Southern Illinois University has until Sept. 4 to show cause why the Department of Health, Edu cation and Welfare shouldn' terminate federal funds to the school because of alleged sex discrimination. ^^^^^"^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^•^^^^^^^^^•^^^^^^^^^^^^^^^•^•••^•••••••••••p Kissinger, Sadat huddle over pact: 'Remarkable progress' .ALEXANDRIA, EGYPT (AP) — Reporting "remarkable progress," Secretary of State Henry A. Kissinger arrived here from Jerusalem Tuesday with a partially agreed-upon draft of an interim Sinai pact between Egypt and Israel. Israeli officials salt) the agreement might be signed before week's end. President Anwar Sadat received Kissinger immediately upon his arrival in this summer resort city, and Kissinger passed the draft of the Impending JSinai agreement across, ft felt-covered table to the Egyptian leader, declaring only "nuances" remain to be settled.. Manicured Lawn "If this succeeds it will mean defusing of the situation/' Sadat told newsmen as an orange sun set over the Mediterranean. He and Kissinger faced each other on a manicured lawn in front of a California-style villa the Egyptian leader has lived in since the reopening of v-the Suez Canal in June, .. "" Sadat said the agreement "is not only good for Egypt and for the Arab world but it is for the sake of peace... for tW Arabs and the Israelis." "After Peace" Asked,* if it was also for the sake of territory that he was leading Egypt into the accord, Sadat replied, "Territory? We shall be regaining our territory. But what we are after is tfeace.". In Jerusalem, Kissinger met for six hours with Israel leaders and—told newsmen afterward the "subtle, and fine points" of the accord were being worked out, but parts already had been agreed upon by both sides. "We are making remarkable progress toward an agreement and toward a nervous breakdown, and it's going to be a race which will be achieved first," Kissinger quipped. Bubbly Optimism His bubbly optimism was matched by that of Israeli Foreign Minister Yigal Allon, who also said, "We have made remarkable progress." "We are Involved In the final tomralitloTi of thf paragraphs of the agreement," he said as Kissinger left for Alexandria. "We must make a special effort to complete the negotiations in a few dajn." Unlimited DvratloM Diplomatic sources said the pact, committing Israel v to a withdrawal from the Gidi and MiUa mountain passes and giving up the Abu Rudei oilfields captured from Egypt in 1967, will be of unlimited duration and will not depend on future territorial concessions to Syria or Jordan. The main issue In the agreement — the withdrawal lines — was settled, the sources said, and agreement was close on the half-dozen Israeli frontline electronic surveillance posts to be manned by American technicians. The diplomatic Informants said the major problem now was the wording of the sections in Which Egypt guarantees to limit its economic and propaganda warfare against Israel, anfl* the possible linking of the agreement to a similar accord with r Israel's other neighbor, Syria.""' ~~ American Obstacle Another possible obstacle could be winning U.S. congressional approval for stationing some 200 American technicians in the surveillance posts at the mountain passes. v Asked about a statement by Senate Majority Leader Mike Mansfield opposing the idea, Kissinger said, "I'm not excessively surprised. We will consult very carefully with.the Congress, and our impression is that we,can get it through after some serious debate." Sources said the agreement now looks, in part, like this: • Israel will withdraw to the eastern foothills of the Mitla and Gidi passes, but will retain a strategic surveillance center at Khashiba, on Egypt's side of the Gidi. • Six more lesser stations will be set up in the passes, enabling both sides to guard the existing tf.fo buffer itrlp against a surprise attack. • Israel will ioahdoh the" Abu Rudei oilfields 'on the Gulf of Sue! Eg>pt will take over the eiisting U.N. buffer strip in Sinai, white the rest of the territory vacated by Israel will be either demilKariatd or a territory vacated by Israel will be either demilitarized on a limited-forces zone. • Both sides will formally renounce "the use or threat of force" for a period of three years and a few months. • Egypt will curtail Its economic,, political and propaganda warfare, and will allow Israeli cargoes— through the Suez Canal. • A separate section of the agreement will contain assurances of American economle and military aid for, Israel. Cobra bite fatal to snake expert FRANKFURT, WEST GER-, MANY — A world-renowned snake expert, Professor Robert Mertens, 80, died' here Tuesday from-the- -venom- of-an-African cobra which bit him early this month. The shake, known as. a mamba, bit Mertens when he was feeding it on Aug. 5. No serum was available against the venom. The scientist directed Frankfurt's Senckenberg Institute and Natural History Museum, whose reconstruction he supervised after World War II. 7 in family killed by polluted butter ISTANBUL, TURKEY - Seven of nine members of a farm family in Tarsus in southern Turkey died after eating butter which had been kept in an empty insecticide container. The butter had been used to prepare a pilaf (rice dish) which the family ate. US.MAINl.AND H/WVII MEXICO SOUTH AMERICA .DALLAS FORT WORTH Most thru-flights daily. LEAVE ARRIVE SERVICE 8:00 a.m. 10:55 a.m. Thru 11:30 a.m. 1:47 p.m. * 11:30 a.m. 2:45 p.m. Thru 6:25 p.m. (Ex. Sat.) 8:37 p.m. Thru HOUSTON The earliest and latest departures daily. I.F.AVE . ARRIVE SERVICE 8:00 a.m. 12:50 p.m. * 11:30 a.m. (Ex. Sat.) 4:50 p.m. * 6:25 p.m. (Ex. Sat.) 10:05 p.m. * NEW ORLEANS The only thru-plane service. LEAVE ARRIVE SERVICE 8:00 a.m. • 10:50 a.m. • 8:00 a.m. 12:47 p.m. Thru 11:30 a.m. 3:35 p.m. * 6:25 p.m. (Ex. 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