THE MICHIGAN DAILY
P1
THE MICHIGAN DAILY P
eetrngs
End at Geneva;
s Unchanged
erl in
IS'S
Germany--Two UN Seats?
By J. M. ROBERTS
Associated Press News Analyst
The commission to study the
organization of peace has iot only
revived the hoary old "two Chinas"
idea for United Nations member-
ship, but somewhat tentatively
extends the principal to two Ger-
manys.
The latter idea comes at a time
when the Soviet Union is acting as
standard bearer for all the preju-
dices of Eastern Europe in trying
to formalize the division of Ger-
many. It could become explosive.
Right now it appears that long
months of discussion between the
United States and the Soviet Un-
ion have produced little or no com-
mon ground over which to ap-
proach a settlement of the Ber-
in dispute.
Soviet View
The Soviets have promised often
that if this issue is not settled to
their liking-and it cannot be as
long as they demand removal of,
allied occupational troops - they
will sign a separate peace with
their puppet regime in East Ger-
many.
The idea of the commission in
general is that all governments
should be able to meet at the UN
where differences might be thresh-
ed out.
In the case of East Germany,
this would permit the Soviet gov-
ernment to escape all responsibili-
ties to the, Western powers for
anything done by a government
over which it has complete con-
trol n fact, but which would have
been recognized as autonomous by
the UN.
Commission Sincere
There is no question of the sin-
cerity of the commission, an off-
shoot of the American Association
for the United Nations, in wishing
to strengthen the UN.
But the United States, France,
Britain and West Germany, form-
ing the core of the Atlantic com-
munity which is the prime factor
World News Roundup
By The Associated Press
WASHINGTON-President John F. Kennedy sent to the Senate
yesterday the nomination of Gen. Maxwell D. Taylor to be chairman of
the Joint Chiefs of Staff for a two-year term beginning Oct. 1.
At the same time, Kennedy nominated Gen. Earle G. Wheeler for
a two-year term as Army chief of staff.
Kennedy previously had announced selection of the two for the
posts.:
* * * *
SAIGON-Tribesmen in South Viet Nam's central highlands are
making a mass exodus to government security regions to escape Com-
munist Viet Cong terrorism, a government spokesman said yesterday.
So far, 96,000 mountain tribesmen have fled from their villages,
the spokesman said. The government is rushing food and clothing to
the main refugee concentrations.
WASHINGTON-The Army expanded its test of the troop rota-
tion plan yesterday with announcement that three 1,500-man battle
groups will begin six-months duty tours in Europe, starting Oct. 1.
It also said that during the next 10 months about 4,000 dependents
of the three groups involved would be returned to the United States.
Other groups sent overseas under the rotation program will not be
permitted to take their dependents.
The new program will not mean any reduction in Army man-
power in Europe, the announcement said.
TOKYO-Pheng Phong Savan, Laos minister of interior, says his
government "recognized the people's republic of (Communist) China
only and there is only one China, not two," the New China News
-i Agency reported yesterday.
The agency said the minister made the statement in a talk with
leftist leaders at Khang Khay, former rebel headquarters.
* * * *
VIENNA-Austria's three-party parliament last night was formally
dissolved following a decision of the Conservative-Socialist coalition
government to hold national elections Nov. 18.
MOSCOW-More than nine Soviet officials in Frunze, capital 'of
the Kirghiz Republic, reportedly have been sentenced to death for
economic crimes.
The group was the largest known to have been sentenced to
death at one trial since a decree was issued last year prescribing the
death penalty for certain crimes, such as fraud.
* * * *
NEW YORK-The stock market staged a brisk comeback in the
final hour of trading yesterday; erasing or paring many early losses.
The closing pattern was mixed with some averages up but with
declines of individual stocks exceeding gains.
Oils and utilities were generally higher while tobaccos and
drugs were off. Gains and declines by key issues were generally under
$1.
Women s
SHOE BARGAINS
Summer and Spring
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$7 and.$
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BERNANDO THONGS
reg. to 9.99
in preserving the non-Communist
world, are and probably will con-
tinue to be unalterably opposed to
further recognition of those trun-
cated parts of former countries
which are ruled by branches of
international Communism.
The practical effect of running
head on into this opposition would
be to face the UN with a split in
policy which it is not strong'
enough to handle.
Geneva Talks
The Geneva talks between Sec-
retary of State Dean Rusk and
Foreign Minister Andrei Gromyko
on Berlin appear to be a complete
failure. So do the discussions of
disarmament and nuclear test-
ing. These are issues already par-
celed out by the UN because it
cannot face them as a body.
There's going to be a big enough.
fight this year over the Chinese
membership question. At its heart
is the permanent Security Council
seat held by the Nationalists and
desired by the mainland Reds who
still stand under the label of ag-
gressor and of conduct outside the
UN charter.
Other Issues
Algeria promises to create seri-
ous international problems before
the Assembly meets. Laos may
flare up again by that time. The
Congo battle lines already are be-
ing drawn. The war grows in South'
Vietnam. Nobody can foresee what
will happen between Red China
and India, or between Holland and
Indonesia.
The problem of Germany now
appears to be in stalemate. Even
a Soviet-East German treaty is
not expected to mean a license for
the East German Communists to
start any serious trouble with the
Allies.
A moratorium on new problems
for the UN, or stalemate on most
of the old ones, might be the hap-
piest condition for that body in
coming months.
Farm Bill Set
To Face Battle,
WASHINGTON -P)-The Senate
Agriculture Committee set the
stage yesterday for a new farm
legislation battle next week-prob-
ably Wednesday - over controls
and marketing of grains.
It refused by a hairline 9-8 vote
to substitute the administration's
tough controls plan for a House-
passed grain bill, but Senate softer
version to the floor for debate by
a 10-7 margin.
The legislation, as it now stands,
is nearer in detail, to the House
proposal and identical with the
one the committee sent to the
Senate in April.
Prle Fails
To Develop
Any Solution
U.S., Russian Chiefs
See No New Crisis
GENEVA (M~--Dean Rusk and
Andrei Gromyko are leaving the!
Berlin problem essentially where
they found it at the outset of their
Geneva negotiations, informed
sources said yesterday; nothing
happened to create either a solu-
tion or a new crisis.
Positions of the United States
Secretary of State and the Soviet
Foreign Minister, who conferred
three times on Berlin in the past
five days, were termed basically
unchanged as Rusk took off for
Washington and Gromyko ar-
ranged to head back to Moscow
today.
But each side ended with a defi-
nite recognition of the other's
commitments in Berlin and an un-
derstanding that serious xconse-
quences could result if these are
infringed.
This would apply among other
things, to the Russians' long-pro-
fessed intention to sign a separ-
ate peace treaty with Communist
East Germany and turn over to
East Germans the control of West
Berlin's supply lines across more
than 100 miles of Communist ter-
ritory.
It was not clear whether theI
Russians will continue their pres-
sure for such an arrangement.
Informed sources said there is
reason to believe that if the Rus-
sians do sign a treaty with East
Germany, it will be done in such
a way as not to interfere with the
vital interests of the West in West
Berlin.
Rusk accomplished one aim in
his conversations with Gromyko.
He spelled out clearly the United
States' position and its determina-
tion to defend its war-won rights
in Berlin.
The talks were described by in-
formed sources as clear and pre-
cise, without bluster or extrava-
gant language. They went into
,more detail than any previous
talks between the two foreign min-
isters about the divided city.
Loeb Report
To Renew
Peru Junta
LIMA (M-United States Am-
bassador James Loeb is flying to
Washington to give President John
F. Kennedy a first hand report
on the seizure of power a week
ago by a Peruvian military junta.
The junta's foreign minister,
Vice Adm. Luis Edgardo Llosa, has
predicted the United States soon
would recognize the military re-
gime.
Loeb said in a statement he had
been recalled to Washington for
consultations "as is normal in
these circumstances."
The United States suspended
diplomatic relations and cut off
Alliance-for-Progress aid when
military leaders headed by Army
Gen. Ricardo Perez Godoy ousted
President Manuel Prado and set
up a military regime.
Step Backward
The United States said the seiz-
ure of power was a step backward
for democracy in Latin America.
In Washington, State Depart-
ment press officer Lincoln White
announced Loeb's return and said
the Peruvian junta had officially
requested United States diplomat-
ic recognition in a note to the
embassy in Lima.
He said, however, United States
authorities rejected the request
from the junta, which Washington
regards as a power-grabbing mili-
tary dictatorship.
Expect Approval
But Foreign Minister Edgardo
Llosa said in an interview before
the announcement of Loeb's de-
parture that he was confident the
United States would soon change
its attitude.
Informed sources said the ques-
tion of United States recognition
may depend on whether the mili-
tary regime can return what the
United States would consider some
form of legality to the govern-
ment.
Reach Accord
On Defense Bill
WASHINGTON OP)-A Senate-
House compromise group approved
yesterday a defense money bill
carrying $48.1 billion-some $229
million more than was asked by
the Kennedy administration.
The conferees rejected a last-
minute appeal from Secretary of
Defense Robert S. McNamara to
delete from the final version a
S e n a t e - approved directive to
maintain the Army National Guard
at a year-end strength of 400,000
and the Army reserves at 300,000.
HONG KONG SMUGGLING:
Refugee Flow Nears Crisis
HONG KONG (R')-Government
officials warned yesterday that a
steadily increasing flow of sea-
borne refugees from Red China is
presenting this overcrowded Brit-
ish colony a new major crisis.
They estimated the human flow
by sea has tripled in the last six
months to more than 300 a day, or
10,000 a month.
"The problem is more critical
than the mass exodus of last May,"
one top official said.
Crack Down
The government has cracked
down with stiff jail sentences for
some refugee smugglers. It is con-
sidering the destruction of Junks
and other vessels used in the
thriving smuggling trade.
Close to 100,000 refugees from
food - short Communist China
stormed barbed wire barricades to
seek asylum in Hong Kong in the
mass exodus last May. But about
65,000 of these were intercepted by
Hong Kong police and British
troops and sent back.
"The May exodus presented us a
physically and emotionally ex-
hausting problem," a police official
said. "But most of it was over-
land and, by straining all our re-
sources, we could deal with it. Our,
present problem is far more diffi-
cult.
Practically all the illegal immi-
gration from Red China now is
over water and nearly all of it at
night. The refugees are smuggled
Living Costs
Set New High
WASHINGTON (P') - Higher
prices for restaurant rheals helped
boost living costs to a new record
in June; factory workers' earn-
ings also reached a new peak.
The Labor Department, an-
nouncing the new figures yester-
day, said higher costs for away-
from-home meals and for fresh
fruits pushed food costs to a new
high.
This pushed the department's
Consumer Price Index up one-
tenth of 1 per cent in June to
105.3 per cent of the 1957-59 aver-
age-meaning the dollar is worth
about a nickel less than in the
former period.
Robert J. Myers, deputy labor
statistics commissioner, said a
further slight living cost increase
is likely in July. The government
index has risen to new highs in
four of the first six months of
1962.
-at rates ranging from $3 to $100
(United States) per fugitive - in
junks and other vessels that min-
gle with the thousands of fishing
craft dotting the waters separating
Hong Kong and Red China.
The government recently under-
took a $2 million program to mod-
ernize and re-equip its marine po-
lice patrols. But the number of
refugees is still increasing.
Cheeks Impossible
"It would be physically impossi-
ble, especially at night, to check
every fishing boat even if we post-
ed patrol boats every mile for hun-
dreds of miles, up and down the,
coast," one official said.
The over-water escape routes
present Hong Kong another prob-
lem. Chinese Communist authori-
ties will not take back refugees
caught at sea.
"When a junk-load of refugees
is intercepted by one of our patrol
boats it's sent back in the direc-
tion of the China coast," a police
official said. "But as soon as our
backs are turned, what's to stop
them turning around and making
another try?"
U.S. Confirms
French Blast
WASHINGTON (P) - The D
fense Department confirmed yes-
terday that the coast and geodetic
survey detected a French nuclear
test in the Sahara May 1, but hung
a curtain around the report of the
findings.
The problem of whether and
how much information should be
made public is on a State Depart-
ment desk because:
It involves technical data which
could become part of the nuclear
test ban negotiations with Russia
at Geneva, and it concerns a nu-
clear test by a friendly power.
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