THURSDAY, SEPTEMBER 14, 1.967 THE MICHIGAN DAILY THURSDAY, SEPTEMBER 14, 1967 THE MICHIGAN DAILY Mortgage Firms to Issue China, India Clash'Near Tibet Border Breaks 12 Hour Lull; IndtiAL '.nac .Fi $1 Billion in Slum Loans WASHINGTON (P)-The life in- surance industry promised Presi- dent Johnson yesterday it will in- vest $1 billion of mortgage money i In big city slums normally shunned by conservative lenders. Johnson got the pledge from in- dustry leaders at a White House meeting and praised them for making what he termed "a historic contribution to your country." Since the industry makes about $16 billion of investments each year, the diversion of $1 billion into slum projects represents a significant commitment. So long as the money lasts, the industry program is expected to give a marked boost to efforts to improve slum housing. The $1 billion is a one-shot com- mitment, however. The industry is taking a wait-and-see attitude to- ward the possibility of replenish- ing the kitty when the initial $1 billion is gone. Insurance companies are making a financial sacrifice to launch the program, although their loans will be insured by the Federal Housing Administration. While they expect to make a profit on the loans, they will receive lower interest rate in some cases than they could collect if they invested the money in other ways. Johnson, enthusiastic abou the program, told insurance execu- tives: "I hope we can start to announce the first projects under this plan-not within months or weeks, but within a few days." Nearly 350 insurance companies are participating in the program, each contributing in proportion to its assets. The largest contri- butions-about $200 million each- will be made by the Metropolitan Life Insurance Co. and the Pru- dential Insurance Co. of America. The industry move had been a closely guarded secret prior to the White House announcement. Although the federal govern- ment has a number of programs to insure mortgage loans in slum sections, little private money has been available for such loans be- cause of reduced risk and higher interest rates in other areas. MilitaryEscalation in Vietnam Creates 1Milion Civilian Jobs WASHINGTON P-The esca- and federal manpower policies - nam buildup created no gen lation of the Vietnam war created would cushion a drop in war work labor shortages, "although t more than one million United if the conflict ended, Oliver said porary problems did exist in s States jobs in the past two years, in the report published in the cases." the Labor Department said yester- Monthly Labor Review. Rutzick said defense wor day in the first such comprehen- The report said civilian jobs in are more skilled than U.S. wor sive report since the war began. defense work rose from about 3 as a whole and "a contin The sharp rise in employment million to 4.1 million the past two climb in demand could cr due to the military buildup years, with sharpest increases in shortages of considerable ma amounted to some 23 per cent of the weapons, aircraft and com- tude among these workers the total increase of more than munications equipment industries. require both special aptitudes four million jobs in the United During the same period, Oliver lengthy training." States economy since 1965, the said, the number of military per- Total employment in the ma report said. sonnel rose from 2.7 million to facture of weapons and amm A further expansion of war 3.4 million. tion for the war increased ne work could create shortage of Thus, the total of civilians and 100,000, or 50 per cent, in the1 skilled workers of "considerable military personnel whose jobs two years, Oliver's report said magnitude," said, a companion stem from the Vietnam war and report. other defense commitments totals " , Defense work now accounts for about 7.5 million Americans - TV F g t 5.2 per cent of the nation's total nearly 10 per cent of the total civilian employment, up from 3.9 labor force. y- *J1 per cent two years ago. In a companion report, the bu- D isp utes C But "this should not be inter- reau's mobilization expert, Max A. preted to mean that one million Rutzick, said about 18 per cent jobs would be lost if the conflict of all the nation's engineers are RICHMOND, Va. (ip) - in Vietnam were to end," s'aid in defense work and some 22 per broadcasting industry yeste Richard P. Oliver of the Bureau cent of electrical and electronic asked a federal appeals cour of Labor Statistics. technicians. War work also takes shelve an order of the Fed A.switch of workers to produc- up 14 per cent of aft draftsmen, Communications Commission tion of civilian goods, the timing he said. quiring the broadcasters and of cuts in military expenditures Oliver said the two-year Viet- bacco interests to supply time aPntismkinv annnouncements_ Creation of the fund grew out of discussions between Secretary of Housing Robert C. Weaver and Gilbert Fitzhugh, chairman of Me- tropolitan Life and head of a newly created life insurance com- mittee on urban problems. "This is not an iffy program," Fitzhugh told reporters at the White House. "We've got the bil- lion dollars." Fitzhugh also said he knows! the program is going to work but, when asked if the industry would commit more funds once the ini- tial $1 billion is gone, he said, "we'd like to see what happens." Rent Supplements He specifically expressed hope that the industry effort would en- courage rent supplement projects. And he said some of the loans also will go for rehabilitation of exist- ing structures, for'loans toindivi- dual home purchasers and for pro- jects to be initiated as part of the administration's model cities pro- gram. When asked how long it would take to commit the $1 billion, Fitzhugh said it would take "some months." Here is how he explained the program to Johnson: Divert $1 Billion "We shall divert from the nor- mal stream of our investments $1 billion for investment in the city core areas to improve housing con- ditions and to finance job-creating enterprises . "This $1 billion capital is avail- able as quickly as it can be used for projects which would not or- dinarily have been financed under normal business practices because of their location or risk." i . Suggestion Ignored NEW DELHI, India (Ap)-Ig- noring an Indian request for a cease-fire, Communist Chinese troops opened fire again yesterday on the border between Tibet and Sikkim and India's forces suf- fered more casualties, the Defense Ministry reported. It was the third day of fighting. The spokesman said a 12-hour lull at Nathu Pass on the Hima- layan border was broken early in the day when Chinese and Indian patrols clashed on the Sikkimese side of the border. This was followed by a Chinese barrage of mortar and artillery fire that continued for three hours, the spokesman added. Firing then continued intermittently through- out the day. 20 Indians Dead While the spokesman gave no casualty figures, government sour- ces indicated the Indian death toll since fighting broke out Mon- day now is 20. The Chinese claim- ed 36 of their border guards were killed or wounded in the first two days of fighting. In a note to the Communist Chinese Embassy in New Delhi Tuesday, India suggested a cease- fire, but a Foreign Ministry spokesman said the Chinese have not replied. India Defends Sikkim The 14,000-foot Nathu Pass lies about 20 miles from Gangtok; cap- ital of Sikkim. A tiny country with1 an armed force of 300 palace guards, Sikkim depends upon In-1 dia for its defense. R. N. Haldipur,1 chief administrative officer in Sikkim, said in Gangtok that the country's civil defense organiza- tion was mobilized yesterday. India and China accuse each other of provoking the fighting,f the worst since Communist Chi-I nese soldiers invaded India's mountainous frontiers in 1962 in a dispute over boundaries.c -Associated Press CONFER ON URBAN PROBLEMS President Johnson met yesterday with New York Gov. Nelson Rockefeller, right, and Sen. Everett Dirksen, R-Ill., center, to discuss urban problem in the White House's Cabinet Room. Seated in the rear center is Roy Wilkins, executive secretary of the National Association for the Advancement of Colored People. SALINE STRIKE ENDS: Detroit, New York Teachers S Hold Out for Salary Hikes neral em- ome kers kers nued eate gni- who and anu- uni- arly past d. By The Associated Press A week-long teachers strike in Broward County, Fla., ended yes- terday, and optimistic notes were sounded in negotiations to settle teacher walkouts that have crip- pled the giant New York and De- troit school systems. But in Houston, Tex., Providence, R.I., and 18 Michigan counties, school disputes dragged on with no end in sight. And in New York, the teach- ers' union, while talking hope- fully of negotiations, continued to defy the courts. Working against the ultimatum of a court injunction to reopen schools, Broward County teachers and school board officials accepted a compromise salary offer that would boost starting pay to $5600. The teachers had asked $5650 and turned down a school board offer of $5.508. In Detroit, negotiators for the city's 11,000 striking teachers and1 the Board of Education were look- ing to a two-year contract as a possible solution to the dispute that has kept 300,000 youngsters out of classes since last Wednes- day. But Mary Ellen Riordan, presi- dent of the Detroit Federation of Teachers, warned: "Any two-year .FCC Ruling,- igarette Issue The mission's ruling is inadequate be- rday cause it does not require that "sub- t to tantially equal amounts of time" deral be provided for views that offset re- the commercials. to- Station WTRF-TV of Wheeling, for W. Va., joined the broadcasters association in the n ana el which World News Roundup Milwaukee Whites Demandr Achishp Censr GOPP t t i 1 MILWAUKEE, Wis. (P) -- The Roman . Catholic Archbishop of Milwaukee, asked by white dem- onstrators to silence the priest who has guided open housing demonstrations for 16 consecutive days in the city, declared yester- day that "as Christians we favor the same just cause." About 650 young white persons marched from the South Side to archdiocesan headquarters Tues- day night to demand that the church silence or otherwise dis- cipline Father James E. Groppi, white adviser to the militant Milwaukee Youth Council of the NAACP. 'Sidetracked by Hate' The Most Rev. William E. Cou- sins, spiritual leader of 700,000 Roman Catholics, said in an un- precedented editorial in the week- ly Catholic Herald Citizen that "many persons are being side- tracked into a hate campaign against one man while the real problems of Milwaukee Negroes are going unsolved." The archbishop's editorial, first such statement to be directed to Catholics in the newspaper's 97- year history, was prepared before the march to his residence. But copies of his views were distri- buted to newsmen in the form of a statement yesterday. "Do I agree with everything that Father Groppi has said and done?" the prelate wrote. "I cer- tainly do not." But, he added, "We are being diverted by emotion and mob psy- chology into fighting a straw figure while the real enemy goes unscathed." Attacks on Father Groppi, the archbishop continued, are "being aided and abetted by forces that are failing in their own responsi- bilities by 'passing the buck.' " Pressures Unbelievable The archbishop said that pres- sures brought on him to discipline the controversial priest are "be- yond belief." "The church is being split into factions," he said, addink that some Catholics have "gone so far as to leave the church. "Others have withdrawn or threatened to withdraw financial support from the charity develop- ment campaign, from local par- ishes, indeed from all church causes." i f t 4 U b1II&Ig S iiulcl 1L. abVl ~l I ie Yjpud1 Wlll The National Association of said the FCC ruling violated their Broadcasters and a West Virginia constitutional rights under the Television station made the re- First and Fifth amendments. quest to the 4th United States Cir- 'Arbitrary Decision' cuit Court pending a judicial re- The petition called the FCC view of the FCC order. It asked ruling "arbitrary, capricious' 'and the court to make such a review, said it was an "unjust, unreason- Equal Time able and discriminatory" action Court action was asked in the taken without observance of the wake of the FCC's refusal Friday procedures required by law. to reconsider its 6 to 0 decision The petition also said the FCC's that air time-free if necessary- decision that cigarette advertising should be made available for anti- constituted the expression of a smoking announcements to bal- viewpoint on a controversial issue ance the cigarette commercials. of public importance was made in The FCC ruling was an exten- the absence of any proper record sion of its "fairness doctrine" on and was without foundation in controversial issues. fact. The FCC declined to comment Commissioner Lee Loevinger on the suit but an official said joined the unanimous majority of "I'm not surprised, because a great the FCC on the order but said he many people will probably go to concurred with reluctance because court on this issue." while the result "seems to me to Fairness Doctrine be socially and morally right" he This is the second court action had doubts about its legality. By The Associated Press VATICAN CITY-Pope Paul VI, who will be 70 years old in two weeks, may undergo surgery to correct what a Vatican informant described yesterday as an enlarged prostrate gland. This ailment is not unusual for a man of his age. The Pope's personal physician and two of Italy's most famous doctors raised the possibility of an operation after an examination yesterday.- They said the Pope had "im- proved notably" from an inflam- mation in the urinary system de- scribed as acute cystopyelitis and that their present treatment, pre- sumably doses of antibiotics, would be continued. But they said they were "re- serving the possibility of modify- ing the treatment with surgery to achieve the complete and defini- tive cure of the patient." PARIS - President Charles de Gaulle told his Cabinet yesterday he is satisfied with the results of his visit to Poland but diplomatic sources here said the trip was a setback for the French leader's European policy. , The sources described De Gaulle as privately disappointed with the trip but still convinced that he is on the right path in trying to re- lax European tensions by seeking to loosen rival East-West blocs. A government spokesman said De Gaulle reported to the French ministers that he had hoped dur- ing the week he spent in Poland starting Sept. 6 to renew the friendship between that Commun- ist country and France. De Gaulle was quoted as saying the visit had "answered all the desires France had formulated." ALEXANDRIA, Va. - Black Power advocate H. Rap Brown was jailed yesterday as his attor- neys temporarily blocked his ex- tradition to Maryland but failed in two bids to keep him free on bond. Brown was whisked by auto to 'the Richmond city jail, 100 miles south of Alexandria, by state troopers in what his attorney, Philip J. Hirschkop, called a "legal kidnapping." Hirschkop said he had been assured by Alexandria authorities Brown would be held at the city jail here but then was told after the switch that officials there felt their facilities and personnel are inadequate for the task. The transfer to Richmond came after Hirschkop and William M. Kunstler, a New York lawyer also representing Brown, won at least a 20-day delay in Brown's extra- dition to Cambridge, Md., where he faces two felony charges grow- ing out of a July 24 riot. contract would have to be fair to both sides." Observers believed a two-year contract wouldgive the school board time to keep its promises to voters for new classrooms, and grant teachers a pay hike in two steps. In Michigan, teachers in three school districts were working un- der court injunction. In Flint's Beecher district, where a similar order was being sought, 220 teach- ers threatened to resign en masse. The Beecher school board, which had planned to seek an injunction, ordered any action withheld until today. Teachers in 18 Michigan school districts remained on strike. In the Saline area school district out- side Ann Arbor, agreement was reached yesterday and schools or- dered reopened tomorrow for, 2300 youngsters out of class since last Thursday. Teachers received an- nual raises ranging from $600 to $900., In New York, behind the scenes negotiations were reported under way to end a three-day walkout that has disrupted classes for the city's 1.1 million public school youngsters. A State Supreme Court justice, after a vain effort ,at peacemak- ing, issued a temporary injunc- tion prohibiting a continuation of the strike. The union ignored an- other antistrike order when it launched the walkout Monday- and a union leader said this one would be defied also. in recent days in connection with the FCC's extension of its fairness doctrine to cigarette advertising. John F. Banzhaf III of New York City, whose complaint against WCBS-TV, New York City, began the controversy, filed a suit in which he said the com- ARAB RELIEF BENEFIT PERFORMANCE I -- 1 starring DAN NY THOMAS GUILD HOUSE 802 Monroe FRIDAY, SEPT. 15 Noon Luncheon-25c WOIA 102.9 F.M. t TENORS & BASSES MICHIGAN'S CHOIRS FOR NON-MUSIC MAJORS- G , Pj. Sunday, Sept. 24, 1967-2:00 P.M. Masonic Temple-Detroit Tickets and Information-Call 769-4892 or 761-7063 i ARTS CHORALE MICHIGAN SINGERS WANT YOU! Tuesday and Thursday--3:00-4:30 Aud. C Angell Half Political Science, Near Eastern Studies: "OBSTACLES TO THE SOLUTION OF THE MIDDLE EAST CRISIS" FRIDAY NITE 6 P.M. cost dinner at Guild House for reservations call 662-5189 by Friday noon Broadcasting "MUSIC FOR MODERNS~ ROBIN BROWN 1l TONIGHT at ThE AkK 1421 H ill Street Mon. thru Fri. 9 P.M.-12 Midnight I'. ' Herman COME HOME We have finally located another Cheetah Skin Security Blanket for you THE MEDIA SHOP UNUSUAL IMPORTS 402 Maynard St. ANN ARBOR, MICH. "BREAKING IN BURSLEY" Band Concert 8 p.m. Music School Lawn Welcoming Ceremony following concert at Bursley STREET DANCE 9:30p.m. at Bursley . . . Saturday, Sept. 16 ASHOK TALAR-playing the guitar and singing Indian Classical and Folk Music FRIDAY, SEPT. 15 The John Miller Jazz Trio Three from the U. of M. Band Before the Theater SATURDAY, SEPT. 16 The Big Sandy Boys The Best BLUEGRASS in Michigan Dinner or Snack U Roast Beef cut to your order CANTERBURY HOUSE FRI., SAT., SUN. Se pt. 15, 16, 17 8:00 P. with the WEIRD SISTERS Bert Hornback Interested in speaking with fellow students? 1) about dorm life 2) about rules and regulations 3) about multiversity education I. I Ill-C's on Vth Avenue 11111 I I II