TUESDAY, FEBRUARY 8,1 966
THE MICHIGAN DAILY
Is A A'-4'0 M"Ift"Im
PAGE T5 fHREE1
Interest Raised on Mortgage
Rates: Effective Immediately
Ke alyOf Viet Cong
Held by Communists
For Eleven Years
SAIGON (AP)-US. and South,
Vietnamese forces took control
I' last night of key points of a
coastal valley that had been a
prized Communist possession for
11 years. But they failed to find
two battle-hardened Communist
regiments the allies have hunted
for more than a week.
A joint U.S. 1st Cavalry, Air-
mobile, Division force and Marines
teamed up with the South Viet-
namese to move into An Lao
Valley 300 miles northeast of Sai-
gon as an extension of a, squeeze
operation that ended, with a Cav-
alry-Marine linkup 18 miles north
of Bong Son during the weekend.
Ground action elsewhere in
South Viet Nam continued light.
North Viet Nam claimed its
gunners brought down a U.S. plane
and captured its pilot in a central
province yesterday, the first an-
niversary of the launching of U.S.
air strikes against the North.
No New Attacks
In Saigon, U.S. officials totaled
up the score of air strikes Sun-
day but made no mention of any
new attacks against the Com-
Hanoi also claimed a U.S. re-
connaisance drone was shot down
on the outskirts of the North Viet-
namese capital. Peking's New
China News Agency saidranhigh-
altitude U.S. military drone was
shot down by a Red air unit over
The U.S. military command in
Saigon announced that U.S. mili-
tary personnel in Viet Nam now
number 210,000. It said another
60,000 are with the U.S. 7th Fleet
The operation in An Lao Valley
is the result of the Marines' Oper-
ation Double Eagle, which began
with massive amphibious landings
Jan. 28, north of Bong Son, and
the Cavalry Division's Operation
Masher which moved in from the
south. South Korean troops held
positions to the east and South
Vietnamese to the southwest. a
Johnson Points Out
Sho. ts End -- v
t(WASHINGTON (5-The march
Lna 9 Broadcasts .toward tighter money caught up
with the housing market as the
From Moon Achieve government raised the interest
rate yesterday to 51 per cent on
mortgages insured by the Federal
MOSCOW (P)-Pioneer Luna 9 Housing Administration.
a globe-shaped instrument pack- Although the boost from 5%/
age, will send no more pictures per cent was less than expected
from the moon, a Soviet an- and fell short of the rate sought
nouncement said yesterday. by some real estate men and
mortgage bankers, it means that
After three days of history's home buyers must now pay a total
first radio and picture reporting
from the surface of the moon,;
Luna 9 has used almost all its
electric power, the announcementO
said. i orid Neu1
of 6 per cent on FHA mortgages
including the i/' per cent charged
by the government for loan in-
The increase is effective im-
The National Association of
Home Builders said yesterday's ac-
tion will add $2.25 to the monthly
payment on a 30-year, $15,000
mortgage, making the payments
$91.41 instead of $89.16.
Some builders and bankers
Need for S.
Johnson was told
the prime minister
Nam that Saigon
of South Viet
will not sur-
doubt that the increase is large
enough to attract funds to the
FHA-insured mortgage market.
Some real state men and mortgage
bankers had sought an increase
to 5% per cent.
FHA rates in recent years have
ranged from 42 per cent in 1950
to 5% per cent from Sept. 23,
1959, to Feb. 2, 1961.
The trend toward tighter money
was highlighted by the Federal
Reserve Board's December decision
to increase the discount rate-
the interest charged banks which
borrow from the Federal Reserve
-from 4 to 4%V per cent.
As yields on alternative types
of investments have risen, lenders
have reduced their volume of FHA
lending which now accounts for
about 20 per cent of the home
The new rate will not apply to
FHA's multifamily and new land
insurance programs or to the
nearly four million outstanding
loans which will continue to bear
interest at the rate agreed upon
when they were made.
A surprise, extra transmission;
sesion Sunday night came because
the satellite still had enough
By The Associated Press
SOUTH VIET NAM'S PREMIER, Nguyen Cao Ky, left, and head
of state, Kguyen .Van Thieu, stand at attention with President
Johnson during the playing of national anthems in a ceremony
at Honolulu's airport.
Aided byHouse Bl
WASHINGTON (M)-The House
passed yesterday a bill to set up'
a permanent program of educa-
tional and housing benefits for
military veterans and offer the
bonus to those who served in the
cold war era since Korea.
The vote was unanmious, 381
to 0, although the House had
failed to act on a similar bill
passed by the Senate several years
ago. The fighting in Viet Nam put
steam behind the drive this time.
The Senate last year passed a
somewhat costlier bill than the
House but is expected to go along
with he House version. President
Johnson also is expected to-:accept
it although his administration
originally asked that the program
be limited to veterans who served
in combat areas.
Both bills would aid veterans
who served since July 31, 1955-
the declared termination date for
establishing eligibility under the
Korean GI program.
The major difference between
the two measures is that the
House bill provides $10 aamonth
less in educational payments to
each veteran. While the House bill
would set the program on a per-
manent basis, the Senate program
would expire July 1, 1967, the
current termination date of the
compulsory draft law.
The measure was brought to the
House floor under a procedure
requiring a two-thirds majority
for passage. This allowed only 40
minutes for debate and prevented
The tactic was used by spon-
sors of the bill to head off efforts
to increase the cost of the pro-
In the brief House debate, some
members said they think the bene-
fits provided are not liberal1
The first-year cost of3the House
bill is estimated at $335 million,,
with the amount expected to level;
off at about $500 million a year
in about five years. The adminis-I
tration plan for limiting aid to
combat veterans would have cost
an estimated $150 million a year.
The educational benefits would
be measured by the length of ac-
tive duty-one month of schooling
for each month of service, up to a
total of 36 months. The Senate
bill has the same 36-month limit'
but is based on 11/ days of school
aid for each day of service-thus
1 months for each month of
More than six months of duty
is required under the bills-ex-3
cept for a person separated with
a service-connected disability-
thus ruling out anyone who vol-;
unteered for six months training
and then entered the Reserves.
There would be no reimbursement
of those who are eligible but havel
already paid for their own edu-
render or compromise with the
Communists and wants to in-
crease military strength because,
he said, that's the only language
the Communists understand.
At the first formal meeting of
their top level strategy council,
Johnson and Prime Minister
Nguyen Gao Ky outlined their po-
sitions-generally in similar lan-
guage but with differences of
Johnson said he wants to see a
two-pronged program in South
Viet Nam-to pursue the war mil-
itarily while moving vigorously to
achieve social ahd political re-
forms in South Viet Nam.
Johnson concluded by saying:
"Gentlemen, let me make clear
our resolve and determination to
see this thing through. We will
nt tire, we will not flag."
Accounts of the secret meeting,
held under leaden skies at the
hilltop command post of Ameri-
can forces in the Pacific, were
given to newsmen by spokesmen
for Johnson and Ky.
The South Vietnamese prime
minister pledged that his country
would continue the fight against
Communism as long ashnecessary
and willingly accept sacrifices and
"We pledge our determination,"
he said, "not to surrender or to
compromise with the Communists,
whether in the North or the
While this seemed to cast a
shadow over Saigon's role in any
peace negotiations, Ky said his
government would cooperate in
the search for an honorable and
Although the war itself was a
certain topic for discussion, U.S.
' authorities stressed that the main
objective of the talks was to mesh
plans to rebuild South Viet Nam's
economy in the midst of a war
Johnson and Ky acknowledged
that there may be differences from
time to time between the two gov-
The Vietnamese leader told
Johnson that Americandadvisors
sometimes display impatience with
Saigon officials. And he said he
and his colleagues sometimes are
impatient with the Americans.
"In any common enterprise,"1
commented Johnson, "friends us-
ually will differ."
Nguyen Van Thieu, the South
Vietnamese head of state, said in
his opening remarks that he and
Ky were glad to be meeting with
Johnson at a time when, as he
put it, many decisions are pend-
Ky's spokesman, Nguyen Ngoc
Linh, was asked if these includ-
ed military decision. He said yes.
However, when asked whether
the question of blockading the
port city of Haiphong or intensi-
fied bombing of North Viet Nam
were discussed at the opening ses-
sion, White House press secretary
Bill D. Moyers said no.
Ky pledged his government
would set up its efforts to remedy
political and social "defects" at
home to court the hearts of the
With the unmanned satellite's
batteries slowing dying on the
moon. the Russians could claim
this historic firsts:
-The first soft landing on the
lunar surface, permitting a deli-
cate package of scientific instru-
ments to survive a touchdown on
the moon intact.
-The first radio broadcast from
a heavenly body to earth.
-The first pictures of the moon
taken on the moon's surface and
transmitted back to earth.
-The first panoramid view
from a spot on the moon's surface
as it might look to a man stand-
ing. on the moon and turning his
gaze in a complete circle.
The success of Luna 9 was con-
sidered a key step toward landing
a man on the moon. The Russians
have indicated they next may try
landing an animal on the moon.
Soviet scientist Ivanchenko said
cushioning devices softened the
shock of the landing. One possible
cushioning device was thought to
be a balloon arrangement under
the capsule. But no such device
was visible in the artist's con-
ception ofrLuna 9 shown in the
Soviet press. The Russians have
not released a photo of Luna it-
The panoramic view was put to-
gether with nine still pictures
transmitted from the moon Satur-
day. The Russians released them
for the first time yesterday.
Lunar Surface Seen
As with earlier moon pictures
transmitted Friday, the irregular
lunar surface, rocks and holes
were clearly seen.
power left, the announcement requiring doctors and hospitals to
said. This appeared to rule out report instances of child abuse
speculation that the unexpected turned up 228 alleged cases - 15
broadcast meant Luna 9 was un- fatal-in its first six months, a
dertaking some spectacular new state official said yesterday.
The law, in effect since last
July, exempts those who report
such maltreatment from possible
lawsuits by parents claiming dam-
age to their reputations.
Director Cyril H. Winking of
the State Department of Children
and Family Services said in an
interview that most doctors and
hospitals previously kept quiet, for
fear of becoming involved in cost-
ly legal action.
Of the child fatalities reported
since July, seven were held to be
accidental. One parent was con-
victed of manslaughter. Seven
cases are pending.
* * *
NEW YORK-Democrat Orin
Lehman and Republican Theodore
Kupferman wound up an intense,
but almost issueless compaign yes-
terday for Mayor John V. Lind-
say's former congressional seat.
Neither had emerged a strong
favorite for today's election in
Manhattan's "Silk Stocking" Dis-
trict, home of many wealthy. peo-
ple. The district is 3-2 Democrat-
ic, but has elected Republicans for
more than 30 years.
PARIS - President Charles de
Gaulle and Chancellor Ludwig
Erhard of West Germany confer-
red yesterday and German sourc-
es said afterward European poli-
tical cooperation had received a
De Gaulle seemed to echo this
judgment when he said in a lun-
cheon toast to Erhard that Euro-
pean economic unity could have
its political extension. He added.
however, that European realities
must be considered.
LONDON-Prime Minister Har-
old Wilson said last night Brit-
ain's workers and trade unions
must abandon restrictive practices
so their country can compete in
the modern world.
It was the strongest statement
directed publicly at British work-
ers by a Labor government in the
16 months it has been in power.
" Now renting for Aug.
S. UNIVERSITY AVE. & FOREST AVE. PHONE: 761-3565
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Do You Know The
9 Viet Nam for fun and profit
" Birth Control for everyone
* Lyndon Johnson's operation
* Mother Goose and Batman
* Well, you won't after you
* read GARGOYLE ... but it's fun!
ON SALE TOMORROW
.1 L 1 1 1 111.1 . 11 1 1 11 1 1 1Lii1 i L -. i
MISSILES AND SPACE COMPANY
will be interviewing on campus FEBRUARY 11.
Contact the Placement Office for your
n ww Mww A
k~~l* * n~iirt**I~
EVENTS OF THE WEEK
of February 10-16
THURSDAY, Feb. 10: International Tea at Alpha Gamma Delta
Sorority, 1322 Hill St. Open to all. 4:30-6:00 P.M.
THURSDAY, Feb. 10: Professor Alvin Loving will discuss his trip to
Africa, slides included. Union 3C. 8:00 P.M.
FRIDAY, Feb. 11: Valentine Party at international Center.
Open to all. 8:00 P.M.
SUNDAY, Feb. 13: "Buddhism and Neutralism;" a film on Burma,
a Southeast Asian nation now closed to westerners.
Union, Rm. 3B. 2:00 P.M.
SUNDAY, Feb. 13: "The United States and China Since 1945,"
Lecture by Dr. Albert Feuerwerker, Director of the Center for
Cinese Studies. Presbyterian Center, 1432 Washtenaw,
WEDNESDAY, Feb. 16: "International Fashion Parade," Styles of
dress throughout the world, modeled by men and women for
many lands. All invited. League, Vandenburg Room, 8:00 P.M.
A SMALL VIETNAMESE CHILD peers from his hiding place as
U.S. soldiers look toward the area where sounds of fighting
originate. The troops are taking a break during "Operation
Masher" near Bong Son.
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