25,1964 THE MICHIGANDAILY idministration Moves' 0 fleconsider Policy Expect No Rail Crisis After End of Truce WASHINGTON (P)-The railroads said yesterday "there is no reason to expect a strike crisis" even though a congressional truce in the railroad work rules dispuute ended at midnight last night. J. E. Wolfe, chairman of the National Railway Labor Confer- ence which represents most major railroads, said the railroads will put into effect next Monday an arbitration ruling that may even- tually wipe out the jobs of 32,000 firemen on diesel engines in freight On Vietnamese Nations Colony Lives in Fear of Red Takeover .> SECRET MEETINGS: U .S. Panama Resume alks on Cna 1Problems WASHINGTON (P)--The United States and Panama have re- sumed secret talks aimed at solving their controversy over the Panama Canal, a qualified Latin American source reported yes- terday. A meeting between the two countries' ambassadors to the Organization of American States, Ellsworth Bunker of the United States and Miguel G. Moreno of Panama, took place over the Soviets Hit, Confiscations. MOSCOW (M)-Albania has seiz- ed a group of Soviet Embassy buildings after harassment that began in December, the govern- ment newspaper Izvestia said yes- terday. Three Russian caretakers were told to get out of the country. Izvestia said two buildings used, by the embassy staff and an ad- ministration building were taken over by police in Tirana, but did not say the embassy itself was seized. The buildings have been vacant since the two nations called{ home their diplomats in 1961. Latest in Chain The incident was described by Izvestia as the latest of "a chain of actions against the Soviet Un- ion" sinc the Balkan Communist state split with Premier Nikita S. Khrushchev over his de-Staliniza- tion policy and lined up with Red China. When the diplomats cleared out of the two capitals, both sides agreed to leave caretakers behind for embassy property. Izvestia gave no hint that Albanians here would1 be expelled. See No Retaliation The move to evict the Russians1 and take over the Soviet diplomat- ic buildings apparently began Dec. 27. The three Russian techniciansI left in charge were told that dayI to turn over the property, Izvestia said.7 weekend at the Paraguayan'Em- bassy the source added. Ambassador Juan Plate of Par- aguay heads a five-member QAS delegation sent to investigate on the spot Panama's charge of ag- gression by the United States dur- ing the rioting in the United States Canal Zone Jan. 9 and 10 which left more than 20 persons dead and some 200 wounded. Requests Inquiry Panama requested the OAS in- quiry after failure of an early me- diation attempt by the Inter- American Peace Committee, a per- manent OAS agency. In sending Plate's delegation to investigate Panama's charge, the OAS also called on the fact-find- ing group to assist the United States and Panama in finding a formula to peacefully settle the dispute. Formula Kept Secret The source would not disclose what formula both countries might be trying to work out. Panama satnds firm on a re- quest for an advance United States pledge to renegotiate the 1903 trea- ty under which the United States operates the canal. The United States has expressed willingness to discuss the difference with Pan- ama, but will not guarantee in ad- vance a revision of the treaty. Avoid Leaks The source said that utmost care had been taken to avoid leaks on the new United States-Panana talks. Only Ambassador Plate at- tended the reported talks. Plate's group is giving final touches to a report on its findings to be presented to a 17-member general committee which is re- sponsible to the OAS council for handling the Panama issue. McNamara, Plans Junket To Saigon Rusk Gets New Aid For Asian Problems WASHINGTON (A:) - Defense and State Department officials moved yesterday to dig more deep- ly into the situation in South Viet Nam-steps which could lead to ,some major i change in United States policy in that Red-plagued nation. The Pentagon announced that Secretary of Defense Robert S. McNamara will leave for Saigon about March 1 for his second on- the-spot look in two months. The State Department said all matters pertaining to South Viet Nam will be placed under William H. Sullivan acting as a special as-' sistant to Secretary of State Dean Rusk. No Decision There has been no decision, offi- cials said, to adopt any fundamen- tally different approach to the problem of saving South Viet Nam from a Communist takeover. But the steps taken yesterday obviously reflect deepening offi- cial conviction that the present effort against the Communist guerrillas is not producing satis-i factory results despite presence of, 15,000 troops and the expenditure of around $5 billion-all under- scored by a lengthening American, casualty list. In the current intragovernmen- tal thinking, the possibility ofI some reprisals from South Viet1 Nam against Communist NorthI Viet Nam is not ruled out, al- though McNamara has said the situation will not develop into an- other Korea with masses of United States troops committed to a full- scale war. But President Lyndon B. John- son in a speech last Friday said, "those engaged in external direc- tion and supply would do well to be reminded and to remember that this type of aggression is a deeply dangerous game." Johnson has rejected a sugges- tion by French President Charles de Gaulle that both Viet Nams be neutralized. However, Senate Ma- jority Leader Mike Mansfield (D- Mont) said some study might well be given to this idea. In rejecting any thought of a Korea-type involvement, McNa- mara is sticking to a target call- ing for return of two-thirds of the United States forces from South Viet Nam by the end of 1965. and yard service. This was one of<" two rulings by a congressionally created arbitration panel. The other was on the question of the size of crews outside the engine. Binding Arbitration The panel, whose decisions on these two questions must by law be accepted by both sides, set up procedures for local negotiations on the crew consist issue, with pro- visions for binding arbitration. These procedures were put into ef- fect last month. Remaining to be settled are side issues involving wage scales, holi- day pay, vacations and other sub- jects. Congress called for contin- ued negotiation on these issues, but so far they appear to be dead- locked. After midnight last night, the railroads could, if they wished, put into effect wage scales and other working conditions approved more than a year ago by the Supreme Court. This would trigger a strike. Issues Statement With the deadline near, Wolfe issued this statement: "As we approach the Feb. 25 expiration of the law passed by Congres last August banning a strike in the featherbedding dis- pute, the nation's railroads reaf- firm their intention to reach a fair settlement on the remaining issues in the best interests of the public, the employes and the rail- roads. "If the unions will join us in realistic and honest bargaining, an equitable solution can be reach-+ ed on these issues. In any event, the railroads emphasize that there is no reason to expect a strike crisis at this time. "Meanwhile, the railroads are proceeding to carry out the award of the arbitration board set up by Congress, and the fireman sec- tion of the award will be imple- mented on March 2 as provided by law, there can be no crisis overc the arbitrated issues." o- (Third of a Four-Part Series) By JEFF GREENFIELD Collegiate Press Service HONG KONG-This city is a time bomb and its students live in political darkness in a society where each spark of agitation may light the fuse of violence. The colony's explosive status is a result of its geography-it lies across a narrow strait which sep- arates it from Communist China (some of its territory, in fact, is on the mainland itself). The main- land government is capable of overrunning the British-controlled colony at will, and the British authorities know this. Their limited goal-an indefi- nite preservation of the status quo which makes this colony of 3.5 million a bustling, tourist-filled free port-is in conflict with a wide open, politically active so- ciety. Consequently, the authori- ties firmly discourage any politi- cal agitation, either from Commu- nist or pro-Nationalist sources. (Recently a high-ranking police official was deported to Taiwan for'Nationalist espionage work.). 'Antipolitical' Spirit This "antipolitical" spirit per- vades the colleges and universities on the island. Students are care- fully watched for signs of politi- cal activism and controversy is a handicap to job-seeking graduates. Both; the civil servants and pri- vate employes have a rough time, students here say, if they are known as activists. Politicla debate, controversial speakers, controversy in the stu- dent paper, are all alien concepts to the students in Hong Kong. "We are not supposed to get involved in politics-it is not wise if we want to work here," one student commented. Crowded Market A crowded job market, caused by the hundreds of thousands of ref- ugees from Communist China, is primarily why it is "not wise" to engage in causes such as extend- ing voting rights to the citizens of the colony. Employment is highly limited and few students PROF. J. PHILIP WERNETTE Predicts Rise In Dividends DETROIT WP)-If federal taxes are cut, business is more likely to use tax savings to increase stock- holders' dividends than to raise wages, Prof. J. Philip Wernette of the business administration school predicted Saturday. "The corporations are likely to contend that their shareholders should have priority on the added earnings," said Prof. Wernette. "After all, the wages for capital have been going down." The oth remost likely alterna- tive, Prof. Wernette said, is that businesses would plough the added earnings into new facilities or other growth activities. Prof. Wernette added that some companies may pass tax savings on to customers by cutting prices. .r I1 in the FASH ION SUPPLEMENT a B.D.C.C. .to$ ! ~ Ar r \A AUSTIN DIAMOND CORPORATION 11 Watch for it ! 11 if World News Roundup I 11 11 I I kK \k I Y By The Associated Press VIETIANE, Laos - Representa- tives of the three Laotian fac- tions held their first meeting yes- terday to discuss security arrange- rnents for a sumimt conference between their three leaders of the Plaine des Jarres 100 miles north- east of Vietiane. MOSCOW -The United States freighter Exilona finished un- toading its cargo of wheat yester- day and sailed for Istanbul, Odes- sa harbor officials reported. The Exilona arrived at Odessa last Friday with 6500 tons of wheat- the first consignment of United States grain to reach the Soviet Union during the present short- age. NEW YORK-The stock market rose slightly yesterday, then set- tled back in a good day of trad- ing. The Dow Jones average showed 30 industrials up .13, 20 railroads up 1.11, 65 stocks up .65 and 15 utilities up .60. I 1209 S. University 663-7151 I spring's new look for jun iors... 3-part ensembling in a marvelous blend of dupioni rayon and imported silk...tweedy- textured in the glen plaid skirt and longer, sleeveless jacket... linen-textured in the over-blouse. By Junior Village. Green or black. 5 to 15 sizes 17.98 III I I 4ONMEYE Pu ' XO Adil 3 T he purposeful skirt ... its only :wanton luxury being the many and magnificent colors in which you may own it. Responsibly tailored Dacron polyester and . I II 5 1 ~~ ~ am~w I = Mi"m OST1703" A WMARIUSURNM