THURSDAY, DECEMBER 1;.1966 THE MICHIGAN DAILY PA TIR TRD.,DCMBR11_.T E IHGA A__PE ''T' - r RU.5anUI b Electronic ' ui U Thant May 1ug n1Serve Five More Years Kiesinger, Brandt, Strauss Form German Cabinet * ase,, 'Department Of Justi e *Investigates All Cases Involving Questionable Evidence To Be Reviewed. WASHINGTON {A-The Jus- tice Department announced last night it has begun an extensive review of all court cases-pres- ent and past-in which evidence may have been gathered by means of electronic eavesdropping. - The department made the an- nouncement in a paper filed in the U.S. Supreme Court in the case of Joseph F. Schipani, who had been convicted of income tax evasion. In the supplemental memoran- dum it filed with the court, the department said: "Recognizing its obligation not to use evidence ob- 0 tained in violation of a defend- ant's protected rights in any crim- inal prosecution, the department has initiated the program to dis- cover prior instances in which this may have occurred." Memorandum Sent The department also disclosed that Acting Atty. Gen. Ramsey Clark had sent on Nov. 3 a mem- orandum to all the U.S. attorneys cautioning them that the depart- ment "must never proceed with any investigation or case which includes evidence illegally obtain- 0 ed or the fruits of that evidence." A department spokesman said the current investigation affects all cases which have been brought to trial as well as pending cases. The department's memorandum to the court said that "an exten- sive review is presently being con- ducted in order to determine the instances in which there might have been monitoring affecting a case which has been brought to trial. "Reports of the results of this continuing. review are being sent to the acting attorney general," it continued. Careful Review "Similarly, a careful review of pending and prospective prosecu- tions is being conducted by the department for the purpose of de- termining what other cases might fall within this category." As' for the case of Schipani, the Justice Department recom- mended that it- be sent back to the U.S. District Court. in New York "for a new trial, should the government seek to prosecute pe- titioner anew." TThe department said it had been informed by the FBI in a memorandum dated Oct. 28 that although ^Schipani was not the subject of "direct electronic sur- veillance by agents of the FBI, he was a participant in various conversations electronically moni- tored on a number of occasions in 1961." The FBI had installed a micro- phone at a place of business where Schipani and others frequently met because agents believed "that this establishment was being util- * ized for purposes connected with organized crime, the department said. Und( 'rnevi ew -Associated Press LUNAR II PHOTOGRAPH Close-up of the crater Copernicus, a prominent lunar feature was taken by the Lunar Orbiter II satellite Nov. 23. The view, looking due north, shows mountains rising from the crater's floor to a height of 1,000 feet. The 3,000 foot high mountain on the horizon, left, is the Gay-Lussac Promon- tory in the Carpathian Mountains. SEEKS LOOSER CREDIT: LI3J Tax Increase Hinges On Fed Monetary Policy Action Secretary-General # Seen Willing To Take Second Term at Post UNITED NATIONS, N.Y. (5)- The belief mounted among U.N. diplomats yesterday that U Thant has decided to accept another term as secretary-general, but there was no confirmation from .him or any official U.N. source. "He will stay" was the con- fident prediction of many close as- sociates of the 57-year-old Bur- mese, who has been the U.N.'s chief executive for five years. None would add that they knew for sure. Members of the 15-nation Se- curity Council met informally to draft an appeal acceptable to Thant, who has been under con- stant pressure to remain on the job ever since he announced on Sept. 1 that he would not offer himself for another term. He agreed later in the month to stay on until the end of the current General Assembly, expected on Dec. 20. U.S. Ambassador Arthur J. Gold- berg, president of the council for November, was taking a leading role in persuading Thant to re- main. Informants said he drafted an apeal to Thant saying that the present international situation and problems confronting the United Nations require Thant's strong leadership. Goldberg presented the appeal to other council members for their approval. Thant gave as his reasons for not accepting a new term per- sonal considerations and failure of the warring factions in Viet Nam to heed his pleas to come to the conference table. He cited also inability of the major powers to agree on peacekeeping proce- dures and come up with voluntary contributions to ease the United Nation's financial problems. On the financial aspect reliable sources said theUnited States, the Soviet Union, France and East European nations were considering making simultaneous voluntary contributions as part of the cam- paign to persuade Thant to re- main. One hitch was described as So- viet insistence that the United States make the largest contribu- tion. The United States objects on the grounds it is not like the others delinquent on peacekeeping assessments. Soviet Deputy Foreign Minister Vassily V. Kuznetsov was reported to have assured Thant earlier in the week that a Soviet contribu- tion would be made. BONN. West Germany U ) - Ludwig Erhard stepped down as chancellor yesterday making way for a "grand coalition" govern- ment of his Christian Democrats and the opposition Social Dem- ocrats. - The new Christian Democratic leader, Kurt Georg Kiesinger, is due to be elected chancellor today by the lower house of Parliament. The posts of vice chancellor and foreign minister will go to Mayor Willy Brandt of West Ber- lin, the Social Democratic leader U.S. Forces Attack Friendly Viet Village SAIGON (j)-A U.S. artillery battery killed three Vietnamese villagers and wounded 14 yester- day in a mistaken shelling of a friendly community, Tan Uyen, that just five months ago was bombed accidentally by a U.S. Air Force F100 Super Sabre Jet. Vietnamese headquarters re- ported a Viet Cong atrocity in the Mekong delta, the murder of four civilians in a Communist prison camp from which government troops freed 14 others long in chains. The soldiers found the bodies of two men and two women who, survivors said, had been shot by the Viet Cong a short time before. One of the survivors died of wounds after being liberated. The sharpest of scattered con- tacts on generally quiet war sec- tors was a 20-minute fight 32 miles northeast of Saigon. Five Americans of the 1st Infantry Division, headed by Sgt. Cletus Sanders of St. Louis, Mo.. took on a file of 80 Viet Cong troops after. a snapping twig betrayed the patrol's position. A U.S. spokesman said the patrol and supporting aircraft killed 46 of the enemy Nine U.S. 105mm shells ex- ploded at Tan Uyen, 20 miles northeast of Saigon, in what an American spokesman said was a very regrettable accident caused 'by miscalculation in computing firing data. The U.S. command said "appropriate disciplinary ac- tion will be taken." Tan Uyen is on a bend of the Dong Nai River just north of the Bien Hoa airbase. A canister of antipersonnel bombs exploded iri the market place there July 1, killing five Vietnamese and wound- ing 43. Investigators said it was a delayed drop in the jettisoning of unused explosives upstream by a Super Sabre returning to Bien Hoa after a strike mission. A dispatch from Dong Ha, head- quarters of U.S. Marines and South Vietnamese troops guard- ing the northern border against infiltrating Hanoi regulars, re- ported American antiaircraft guns have now been set up just 10 miles south of the demilitarized zone. B-52 jets from Guam raided two suspected North Vietnamese troop concentrations in the central high- lands, one wave dumping explo- sives 17 miles northwest of the U.S. Army Special Forces camp at Plei Djereng and the other striking 24 miles southwest of the camp. Monsoon rains limited U.S. pil- ots to 59 bombing missions over the North on Tuesday, a little more than a third of the daily. average under good weather con- ditions. These and offshore naval bom- bardment are to be called off al- together during the three holiday truces proclaimed by South Viet Nam and its allies-48 hours over Christmas and 48 hours over New Year's, as outlined previously by the Viet Cong, and 96 hours over the Vietnamese lunar new year starting Feb. 8. whose party had formed the op- position since the federal govern- ment came into being 17 years ago. In a meeting that extended into the small hours of the morning, Kiesinger and Brandt reached an agreement on a new Cabinet that will bring the Social Democrats into the government for the first time. Overwhelming Approval Late in the day, Kiesinger an- nounced that his Christian Dem- ocratic party had given over- tPhelming approval to the coali- tion Cabinet. But he declined to say who was in it. Erhard said he was glad the political crisis was over and that West Germany would have a strong government again. Charges of weakness and indecisiveness within his own party had played a large part in his ouster after three years in office. It was generally assumed - though there was no official con- firmation -- that the new min- ister of finance would be Franz Joseph Strauss, one of West Ger- many's outstanding supporters of French President Charles de Gaulle. Asked if he was satisfied with the result of the meeting, ex- Chancellor Konrad Adenauer, 90, answered with a clear, "Yes." Earlier in the day, when there was more uncertainty about Strauss' future, his answer had been a resounding, "No." He did not explain either reply. But he earlier had endorsed Kiesinger, and defended Kiesinger against criticism of past Nazi activities. Strauss in the Center Strauss had been in the center of the crisis stage all day. Supporters of the controversial former defense minister said he had wanted assurances that the government would back him in any unpopular measures he might have to take to meet budget deficits. In a signed newspaper article, Strauss wrote that the deficit would be $5 billion by 1970. Both parties wanted him in the Cabinet because he would be a formidable critic outside it. His attacks on Erhard's government as not being friendly enough to- ward France played a part in bringing on the crisis. His presence in the Cabinet is also important for foreign policy since he is the foremost admirer of De Gaulle now that Adenauer is in virtual retirement. The new Cabinet was expected to consist of nine Social Dem- ocrats and 10 Christian Dem- ocrats, in addition to Kiesinger. WASHINGTON (P) - President Johnson's decision on a tax in- crease may turn, not only on Viet Nam war costs, but on wheth- er the Federal Reserve Board promises easier money to credit- hungry business, congressional sources said yesterday. "I can't imagine the President asking for a tax hike without a firm understanding with the Fed," said one source close to both exec- utive and congressional tax plan- ners. He asked not to have the comment attributed to him. One major employment-creating. industry, housing, is in recession while the economy generally con- tinues to flourish. Many observ- ers attribute the sag in new hous- ing starts to mounting interest rates and keen competition for money since the Federal Reserve raised the discount rate and the rates allowed on banks' time de- posits almost a year ago. These actions tended to shrink the cred- it money supply, Too Chilling? If a tax increase turns out to have too chilling an effect on the economy,. easier money--particu- larly for the housing industry- could serve as an offsetting stim- ulus. Whatever the decision on a gen- eral tax increase may be, the con- gressional outlook is for passage of an increase in Social Security benefits and taxes such as John- son recommended. The effect of such an Increase on the infla- tion-deflation balance is consid- ered neutral. The h4ller payroll tax, especial- ly if it comes on top of a boost in individual and. corporate in- come tax, might tend to cool the economy. But the 'increased flow to pensioners of ready spending money, would, planners think, cancel this effect. The reduction or postponement of $5.3 billion in federal pro- grams, including $3 billion in savings between now and July 1, which Johnson announced in gen- eral terms Tuesday, is expected to check the expansion of ad- ministration undertakings rather than drastically cut back any. As for the prospect for Federal Reserve cooperation in a flexible fiscal-monetary undertaking to December, the Federal Reserve' dramatically demonstrated the in- dependence it often asserts. It took steps in the face of direct and public pleas by the Treasury that they be held off at least until budget discussions were complete. Since then, however, Chairman William McChesney Martin, Jr. and other members, though they never forecast policy, have given some indication of willingness to change, especially if fiscal meas- FLORENCE Bridal Shop avoid inflation without causing re- ures were added to the collection cession, congressional expectations of weapons against inflation. A are reasonably bright, tax increase, of course, would be In its interest-raising action last one of these. 'Shp Sinks in Lake Huron 32 Men Feared Drowned -':; .: .r" ' , , . v . .: t Selection of Bridal & Cocktail DRESSES. Custom and Ready-Made Gowns For Bride and Bridesmaids Also After 5 Gowns 662-5878 303 S. Main Corner Main & Liberty Open Mon. & Fri. evenings til 9 HARBOR BEACH, Mich. (R) - Battered apart by 25-foot waves, the freighter Daniel J. Morrell went to the bottom of Lake Hur- on before dawn Tuesday in the worst Great Lakes tragedy in eight years. At least 12 of the Morrell's 33 crewmen died. Their bodies were plucked from the choppy water and taken to a morgue here. One survivor was found. The 603-foot ore carrier, lash- ed by winds of up to 60 miles an hour, snapped in half during the season's first major snow- storm. about 2:30 a.m. Tuesday, the Coast Guard said. "There was no distress signal," a Coast Guard spokesman said. "That was the weird thing." The survivor, Dennis Hale, 26, of Ashtabula, Ohio, was taken by helicopter from a raft about eight miles northeast of Harbor Beach light. He was suffering from ex- posure. Three bodies were on the raft. "I was asleep when I heard a hard thump," Hale said. "I thought the anchor was dropping. I heard the emergency alarm, got dressed and ran topside. The ship was breaking in half." Hale said the ship had broken a little more than halfway from the bow. He launched a raft with the three other crewmen. "As we were floating out on this raft, I could see the two halves hitting each other," he said. "They had separated, and the back part still had power and kept ramming the front part. "She buckled and she sank," he said. The Morrell, built in 1906 in Bay City, Mich., was refitted with new power 10 years ago. She is 603 feet long and 60 feet wide and capable of holding 13,000 tons of cargo, according to the 1966 edition of Greenwood's Guide to Shipping. .~1 I .r B Miss J knits in pastel hues with a certain flair for sophistication. . light and lacy ocrilan acrylic sweaters dyed-to- match the smooth knit skirts. White, aqua, lilac.-Sizes 5 to 13. world News Roundup I 11 By The Associated Press WASHINGTON - A California congressman served notice yester- day that he will try to block Rep. Adam' Clayton Powell, D..N.Y., from taking his seat in the new * Congress unless the New Yorker quits defying his state courts. "Here is a guy writing the laws of the land in open defiance of the law," declared Rep. Lionel Van Deerlin, like Powell a Democrat. "We have to do something about it. Congress is looked. on as going along with this if it doesn't act." Powel has been sentenced to 30 days in jail by the New York State Supreme Court for criminal con- tempt growing out of a libel judg- ment which Powell has failed to satisfy over a, three-year period. * * * PARIS - Premier Alexei N. Kosygin arrived yesterday to plant a new signpost pointing toward cordial relations between France and the Soviet Union. The initiative has come from President Charles de Gaulle, whose aim is to settle the cold war by "bringing Russia back into Eur- ,ope." De Gaulle's courtship. of the Soviet Union has produced bila- teral cooperation in economics, science, technology and culture. So far there have been no political agreements, and French officials insis't none is expected during Kosygin's nine-day visit. A JEWEL OF A PIN IN ?I A. Turtle-nec B. Squared n C. Blouson. 20.00 IC. I eckline *1. .t r. I t. HI .. .. . - -- i 1 I I II I i fi y F " ' ?3 { sq S r t J ; .a # r # :,_' M a . k . ,. , r i PLUM STREET comes to Ann Arbor at 12t" m -/ ENAMELED AND GOLD HOLIDAY PINS WITH INSET JEWELS IN AN ATTRACTIVE VELVET LINED GIFT BOX $1.00 - $3.00 ,' 3 z 11 s i;r it il I