WEDNESDAY, DECEMBER 7, 1966 THE MICHIGAN 'DAILY PAGE THREE WEDNESDAY, DECEMBER 7,1966 THE MICHIGAN DAILY PAGE THREE British-Rhodesian Crisis Moving into Econom ic War I LONDON (R)--The British made plans yesterday to wage economic wars against defiant Rhodesia despite the grim knowledge that the cost could be crippling. The nation braces for rising turmoil in Africa, mgore bitter par- lamentary strife at home and a harmful effect on its already shaky finances. These were some of the accepted implications of Prime Minister Harold Wilson's vow to crush Smith's rebel white settler regime in Rhodesia no matter how long it takes. One immediate concern was that a run on the pound sterling might develop in stock exchanges react- ing nervously to the Rhodesian Cabinet's rejection of the peace formula Wilson and Smith drew up last weekend. The Bank of England was re- ported to have made $28 million available to support the pound against any sudden onslaught by speculators. Warning the Rhodesians that "certain inevitable consequences must result from their continued defiance of Britain, Wilson ordered full speed ahead on moves to im- pose a worldwide ban on trade with the breakaway colony. { A British draft resolution under discussion with other Common- wealth nations list 12 key Rhode- sian exports which members of the United Nations would be re- quired to boycott. These were to- bacco, sugar, chrome, asbestos, iron ore, pig iron, meat, meat pro- ducts, copper, leather, hides and skins. The draft resolution does not include a: ban on export of oil to Rhodesia. The British are expected to come under heavy pressure on that commodity when the resolu- tion is reviewed by the Common- wealth Sanctions Committee Wed- nesday.I The United States and Canada were believed to agree with Afri- can and Asian countries who want oil included in the embargo. Throughout the year-old rebel- lionBritain has resisted such de- mands, believing that a manda- tory ban on oil to landlocked Rho- desia would result in a head-on clash with South Africa. The South African government has turned a blind eye to the fleet of private road tankers that supply Rhodesia's oil. It is against im- posing sanctions against Rhodesia whatever happens. Wilson warned in the House of Commons Monday night that Rho- desia "must not be allowed to develop into a confrontation, whether economic or military, in- volving the whole of Southern Africa." Diplomatic sources reported that Wilson may have reached an un- derstanding with South Africa Prime Minister Balthazar J. Vors- ter's government. It could provide for a limited oil embargo, and South Africa in return would ]imit its help to the Smith regime, the sources said. The provision settlement re- jected by Rhodesia's white govern- ment Monday provided for res- toration of British constitutional authority in Rhodesia, formation of a broad-based government with which independence could be ne- gotiated and testing of the re- action of all Rhodesians to the settlement. In their accounts of the collapse of negotiations, Wilson and Smith differed on several points. Wilson said Smith signed the provisional agreement, but Smith denied it. Smith claimed his gov- ernment would have to ourrender control of Rhodesia's armed forces, while Wilson explained that one British official would have sat on a new defense and security council of Rhodesians headed by the Brit- ish governor of Rhodesia for a four-month transitional period on- ly. Wilson said Smith had agreed to steps to restore legal rule in Rhodesia, even to the point of heading a new government which would include two Africans. Smith said he refused a British demand to replace five of his Cabinet min- isters by nominees from outside his all-white Rhodesian Front party. Smith indicated his government was prepared to accept Wilson's constitutional proposals - which call for eventual transfer of power to the African majority-but re- jected the mechanics Britain de- manded for implementing a new constitution. A major debate on Rhodesia was scheduled in the House of Com- mons for today and Thursday. Some conservative legislators pre- dicted it would generate more heat in Parliament than anything since the Suez crisis 10 years ago. Johnson No Decision MadeOn TaxRise McNamara Reveals New ICBM Model Production in Future AUSTIN, Tex. (AP) -President Johnson announced yesterday a "reasonable accurate estimate" that Viet Nam costs between now and June 30 will top earlier pro- jections by $9 billion to $10 billion. He said he would ask Congress for the extra money next month. The new figures were perhaps somewhat less than many had ex- pected. Johnson himself had said earlier the request for supple- mental appropriations might run anywhere from $5 billion to $15 billion. Avoids Tax Talk PRESID He declined to say whether the million: new projection made a tax in- Secretai crease less likely. He said he had produeti made no decision on that. Johnson held a news conference in his Austin office. With him was IGS Secretary Defense Robert S. Mc- Namara, who had a surprise an- nouncement of his own. The Pentagon chief said the u s United States would build and de- ploy the Minuteman III inter- continental ballistic missile, the most advanced ICBM on U.S. drawing boards. Claiming this decision had been reached some time ago, McNamara WASHI coupled his announcement with States wil an admission that appeared the further a Soviet Union would deploy ICBMs North Vie faster than American intelligence ously con experts had predicted. their base Error yesterday. It was the defense chief's con- "We ca tention that Pentagon planners general sa had allowed in advance for a pos- ers werec sible error in intelligence estimates a row by by decidingto build the new Min- ceptors. uteman, by ordering new "pene- tration aids" designed to get U.S. missiles past defensive systems, and by deciding-as he announced1 last month-to replace the sub- marine-launched Polaris missiles with the bigger, more effective By Poseidon missiles. UNITED McNamara said he wanted to GUNEA emphasize that the "United States, General A without taking any actions be- to all nati yond those already planned, will pons tests continue to have a substantial and unde: superiority over the Soviet Union Althoug in ICBMs." tioned by Soviet Build-up was aime He said the Soviet missile build- China an up, according to revised estimates, tries now would take place by mid-1968. atmosphe ti Johnson, too, had another ma- U.S. offi jor announcement: The Federal expect Re Home Loan Bank Board will fur- fifth nucl nish $500 million additional to ture. Savings & Loan Associations and some other mortgage lenders. The MOSCO big home-building industry has - been in a tailspin because of high interest rates and a shortage of mortgage money. The Home Loan Bank Board said in Washington the $500 mil- lion would become available with- out borrowing any new money. Because of improved savings flows to Savings & Loan Associa- tions; loan repayments, and a less- ened demand for money the agency expects to have $500 mil- lion more than it anticipated over the next few months, a spokesman said. This money will be made avail- able to Savings & Loan Banks for expansion. Looking relaxed and rested as ne stood beside McNamara in his wood-paneled office overlooking the Texas Capitol, Johnson let it be known, too, that he might re- turn to the White House soon, perhaps later this week or early Sees War Britain Calls AFTER STALEMATE: U OStI For Sanction Military Push To .End War -!On Rhodesia 16 7 Minister Flies to UN, Favored By House Elects Can Accept Limited 0 Bllion for Oil Ban Resolution LONDON (P)-Foreign Secretary' George Brown flew to New York last night seeking sterner United Nations sanctions against Rhode- sia's rebel government. He is em- powered, if pressed, to accept a limited oil ban. Brown also carried strict in- structions from Prime Minister Harold Wilson's cabinet to avoid any action that could bring Brit- ain into a head-on trade war-or worse-with its fourth best cus- tomer, South Africa. With this in mind, a soft Brit- ish resolution has been drafted for presentation Thursday to the Security Council.I Stronger Measure Inside and outside the 25-nation WASHINGTON OP)- A cross- section check by 'The Associated Press showed yesterday that sen- timent runs strongly among newly elected members of the House of Representatives for greater mili- tary efforts in Viet Nam if present policies fail to improve the war situation. The newcomers-mostly Repub- licans-also favor cuts in spending and see no need for new civil rights legislation now. End War With Power The poll of 35 first-term House members elected Nov. 8 shows that, Lodge: 'War 20 Republicans and 5 Democrats favor additional use of U.S. mili- tary might to bring the Viet Nam war to an end if present tactics fail. Four freshmen oppose expansion of the war and six take no public stand. While many of those questioned said they would vote for a tax in- crease if needed because of war costs, all but three said they want first to try cutting spendmng. Enough Civil Rights Twenty-four first-termers, in- cluding five Democrats, said they To Fade Out'; don't belive new civil rights 'egis- lation is needed at this time. Five called for further congressional action and six declined specific comment. There has been much specula- tion on the impact of the election in which Republicans gained 47 House seats. The influx of new members seems likely to change the course of legislation in the controversial fields of "Great Society" pro- grams, taxes and budget cutting. No Formal Voice While they can have no formal voice in determining President Johnson's course in Viet Nam, the sharp increase in "hawks" among House members might increase difficulties of the President in keeping the conflict limited in scope. The "Great Society" programs apparently have lost what may be marginal support with the sub- stantial increase in those who say they are determined to reduce fed- eral spending. Filibuster On the basis of the canvass, a civil rights bill which included an antihousing discrimination clause not only would face a probable Senate filibuster but would have extremely difficult going in the House. The 32-vote margin by which' the House voted against striking a housing provision out of this year's [bill seems to have been submerged in te flood of ballots last month. Commonwealth pressures built up SF for stronge measures against theCupters Save Downed Fiers white regime of Prime Ministerl Ian Smith, which rejected a vsettle- SAIGON, South Viet Nam (P)- cy declared another jet also was ment Monday that could have Three U.S. helicopters teamed up shot down near that scene of liond over North Viet Nam yesterday France's 1954 defeat in the Indo- -Associated Press DENT JOHNSON announced today from the Texas White House that he would request $9 in additional funds from the Congress to pay for fighting in Viet Nam through next June 30. y of Defense Robert McNamara announced that the United States would increase missile lion. HIT BOMBERS: S. HasNo Plans To Attack. rth Vietnamese Air Bases NGTON (RP)-The United l reluctantly put up with ir confrontations with tnamese jets before seri- nsidering knocking out s, Pentagon sources said n live with this," one id after American fight- challenged four days in Communist MIG inter- No American planes were lost in the encounters, while one-possi- bly two-MIGS were shot down within sight of Hanoi. On Sun- day as- many as 16 MIGs were sighted in the skies as U.S. planes conducted bombing raids. With this flurry of increased enemy air activity, American Air Force leaders in Saigon were re- ported likely to press anew for knocking out Hanoi's jet fields. ord News Roundup But there was no indication from Pentagon officials that the military commands standing re- quest to strike the bases is getting closer attention from civilian de- cision-makers than in the past. The decision on what is bombed in Viet Nam ultimately rests with President Johnson and Secretary of Defense Robert S. McNamara, who consider the views of the Joint Chiefs of Staff. Many officers in the Pentagon would like to blast the bases be- cause, from a military standpoint, they are legitimate targets. Never- theless, Pentagon officers are in- clined to agree with civilian de- cision-makers that at present the North Vietnamese air force is mainly a nuisance. To date the United States has shot down at least 26 enemy fight- ers, possibly two more, while losing only five in dogfights. The overriding factor behind the refusal to bomb Hanoi's jet strips is the possibility China might be- come involved in the war. A big majority of ambassadors at a special meeting of the Com- monwealth Sanctions Committee ;ressed Commonwealth Secretary Herbert Borvden for stern steps. They argued for an oil embargo, complete with provisions for en- forcement. At U.N. headquarters delegates of militant African states went even further. Ambassador Marof Achkar of Guinea urged that Brit- ish bombers destroy rail and road links between South Africa and Rhodesia along which oil supplies reach Smith's regime. Plan Rejected Qualified British authorities said the Wilson government already has considered but rejected such a plan. They reported Royal Air Force chief some time ago carried out feasibility study of the project and concluded it could be carried out with a minimum loss of life. But British political leaders did not accept that conclusion. They took the view that bombing raids, mounted from an aircraft carrier off the East African coast, would require the prior destruction of Rhodesia's air force and this was politically unacceptable, inform- ants reported. The collapsed Wilson-Smith peace attempts brought swift de- velopments in Salisbury. Smith told Rhodesians in a radio broadcast acceptance of the pact worked out aboard the Brit- ish cruiser Tiger Saturday night would have meant "the abject sur- render" of his regime to Britain. He accused Wilson of "ob- duracy" and "ignorance" of Rho- desian realities. Earlier his regime denounced the projected deal be- cause it would have meant setting up "a quisling government" on Britain's behalf. and rescued the two crewmen of a downed RF4C jet, plus two medics who went to their aid. This broke a spell in which the UnitedStates had lost 15 fliers since Friday. Mass defection of 63 Viet Cong guerrillas in the south coincided with a suggestion of U.S. Ambas- sador Henry Cabot Lodge that the war "just might fade out," like Communist uprisings in the Phi- lippines and Malaysia, with no formal end. Arc of Firings U.S. B-52 jets from Guam hit at three Viet Cong base camps on a 300-mile arc. A spokesman said Vietnamese irregulars who fol- lowed up one of three saturation bombings-near the Cambodian frontier in Tay Ninh Province- seized 30,000 Communist uniforms. Scattered ground skirmishes flared in each of South Viet Nam's four corps areas. A U.S. spokes- man said, however, all were re- ported to be of a minor nature. Marines said they killed 14 of the, enemy Monday in patrol actionsl near Da Nang. Vietnamese troops reported they killed 14 others in three scattered engagements. Ground to Air The RF4C, a Phantom specially' designed for photo reconnaissance work, was felled by ground fire in the area of Dien Bien Phu, near the Laotian border 180 miles west of Hanoi. Peking's New Chiia News Agen- china war. There was no confir- mation from American authorities in Saigon. 800 Planes Downed The war's toll in American air- craft passed the 800 mark. In ad- dition to the 438 planes, four hell- copters have been lost north of the border. Enemy gunners in the south are reported to have ac- counted, for 133 planes and 227 helicopters. ' The successful rescue operationI took four hours. LYON, France (RP) - Premier Alexei N. Kosygin of the Soviet Union said Tuesday night "we want a relaxation of tension, we want an understanding with the United States." He told the Associated Press re- lations would certainly improve if the war in Viet Nam were ended. Kosygin was interviewed at an official reception in the Lyon City Hall. He was asked if he believed there is a community of interest between the United States and the Soviet Union. "There is a community of in- terest," he said. "We must seek peace. But at this time the United States is bombing the peaceful population of Viet Nam?" "And if there were no Avar in Viet Nam?" "If the war were ended rela- tions would certainly improve. But there is no sign that the United States is ready to end the war. If it were'ended, then we would see. We wantj a detente. We want peace. We want a better under- standing with the United States." Asked about the new govern- ment in West Germany and the stated intention of the new chan- cellor, Kurt Georg Kiesinger,' to improve relations with Moscow, the preimer said, "It is up to Mr. Kiesinger to take the first step." Kosygin Says War Impedes Better U.S.-Soviet Affairs The Associated Press D NATIONS-The U.N. ssembly appealed today ons to halt nuclear wea- both in the atmosphere rground. h no nations were men- name, the resolution d particularly at Red d France, the only coun- testing weapons in the re. Icials said last week they d China to conduct its ear test in the near fu- W-Red Chinese diplo- mats walked out of a Kremlin meeting today to protest Soviet remarks critical of Mao Tse-tung, Chinese Communist leader. The Chinese walkout was the third such from an official func- tion here in the last month. * * * NEW YORK-The Johnson ad- ministration is considereing a pro- posal that money for a nuclear merchant marine program be in- cluded in the 1968 budget, the Wall Street Journal said yester- day. But all parties remained silent on the extent of the budget re- quests and on the possibility of their being granted. PURSE COMBO 7JI: -omments and Criticisms plus Suggestions, too, Are For the Benefit and Improvement of 0 Aw S2 -UAC UNIVERSITY ACTIVITIES CENTER (Union-League) t 2 in Purse and Make-Up Case With Wide Frame Top Opening aad Zippered Bottom Compartment. Also Hand-Decorated Tissue Case. Purse Combo - $2.00 ''. i W