SATURDAY: MARCH 31, 1962
THE MICHIGAN DAILY
SATURDAY, MARCH 31, 1982 THE MICHIGAN DAILY PA(~
Hop es Reds
INCOME TAX PLAN:
Swainson, Cavanaugh Confer
WASHINGTON (P)-The United
States pledged yesterday to per-
mit international inspection of
four atomic reactors in this coun-
Officials expressed hope that
the Soviet Union will follow suit.
An agreement, described by
United States specialists as unique,
was signed by Harlan Cleveland,
assistant secretary of state for in-
ternational organizations affairs,
and by Dr. Sigvard Eklund of
Sweden, director general of the
International Atomic Energy Com-
mission (IAEA). It will take ef-
fect June 1.
it permits experts of the in-
ternational organization, a 77-na-
tion agency under the aegis of the
United Nations having headquar-
ters in Vienna, to verify on the
spot that the reactors are used
only for peaceful purposes.
Officials said the United States
was not obliged to accept such
inspection. Normally IAEA's con-
trol personnel have access only to
reactors the agency helped to es-
tablish, but the United States vol-
untarily demonstrated Its willing-
ness to permit international in-
spection in this field.
Eklund, who visited with Presi-
dent John F. Kennedy, said the
agreement would "demonstrate the
safeguard principle in general."
Glenn T. Seaborg, chairman of the
Atomic Energy Commission, who
accompanied Eklund to the White
House, said it would show other
nations the reactors are operated
for peaceful purposes and do not
produce material for nuclear weap-
Eklund will name the inspec-
tors. 'There is no restriction con-
cerning nationality. They could be
Russians or nationals of any oth-
er Communist country which is a
member of IAEA. The internation-
al organization, however, must
submit the names for acceptance
to the United States government.
The four reactors are:
The Brookhaven graphite re-
search reactor, Brookhaven Na-
tional Laboratory, Upton, Long
Island, New York; the medical re-
search reactor, Brookhaven; the
experimental boiling water reac-
tor, Argonne National Laboratory,
Argonne, Ill.; and Piqua organic
cooled and moderated power re-
actor, Piqua, Ohio.
The first three are experimental
research reactors; the. Piqua re-
actor will be part of the local
The number of inspections de-
pends on the size of the reactor.
The Brookhaven graphite research
reactor can be inspected 12 times
a year; the Argonne experimental
reactor four itmes; and the Brook-
haven medical and Piqua reactors
twice each year.
To Submit Reports
The agreement describes each
of the four areas accessible to the
inspector. No parts of the reac-
tors themselves are off limits, how-
ever. The United States also agreed
to submit monthly reports to
The international body has sn-
ilar agreements with Yugoslavia,
Pakistan, Finland, and Norway.
However, the reactors in these
countries were established by IAEA
and, therefore, the four nations
are obliged to accept the agency's
U.S., USSR Talk
GENEVA (/P)-The United States
and the Soviet Union talked yes-
terday on the issue of how to
guarantee ' enforcement of any
general disarmament treaty.
United States Ambassador Ar-
thur H. Dean insisted in the 17-
nation disarmament conference
that. Premier Nikita S. Khrush-
chev's government pledge itself to
accept international arrangements
LANSING-Gov. John B. Swain-
son has emerged as a key figure
in the development of a compro-
mise state income tax plan which
would include greater aid for ci-
ties than the governor's tax,pack-
age now in the state Senate.
Swainson conferred last week-
end with Jerome P. Cavanaugh,
mayor of Detroit, its City Comp-
troller Alfred M. Pelham, Rep.
Rollo G. Conlin (R-Tipton) and
an unidentified economist from a
The new tax proposal will in-
clude tax relief for business and
This action comes as suburban
senators won a five-day delay on
the House-approved bill to bar ci-
ties from taxing non-residents.
Chief proponent of this bill is Sen.
Carlton H. Morris (R-Kalamazoo).
The delay will be used to re-
cruit votes the senators fear were
alienated by their refusal to agree
immediately to a proposal by Sen.
Clyde H. Geerlings (R-Holland)
to put an income tax proposal on
the Nov. 8 ballot. The Geerlings
proposal would allow a tax up to
eight per cent.
Geerlings expects, if the resolu-
tion ever passes both houses, vot-
ers would reject a tax that high.
The conference, along with a
preliminary - onerheld two weeks
ago in the governor's home, has
spurred other conferences on the
One such meeting was held be-
tween Sen. Frank D. Beadle (R-St.
Clair) and Revenue Commission-
er Clarence W. Lock.
Beadle, the Senate majority
caucus chairman, and Conlin,
chairman of the House Taxation
Committee, are vital links in any
Mayor Supports Tax
Cavanaugh, who has failed to
make peace with the suburbs in
his own one per cent city income
tax proposal to get $33 million
Five Generals Quit;
Report Others Jailed
BUENOS AIRES ( P)- Jose Ma-
ria Guido swore his oath again as
president of Argentina yesterday.
As the 51-year-old former sen-
ate president took the oath for
the second time, onlookers in the
salon shouted "viva" for Arturo
Frondizi who was deposed and es-
scorted to a navy prison home on
Martin Garcia Island Thursday.
Five top ranking generals who
opposed the coup asked for retire-
ment and three of them were re-
ported under house arrest.
Charge Guido Usurped
Radical partisans of the depos-
ed president in congress-where
they are still the biggest bloc-
charged Guido with being a
The nation's provincial gover-
nors, likewise Frondizi adherents,
proclaimed that Frondizi should
The deposed president himself,
in a letter written on the eve of
his downfall declared "an institu-
tional parody is being prepared on
the basis of a restricted democ-
racy" and predicted "social war-
The letter, which apparently
was prepared as a sort of political
will and testament, suggested that
Frondizi's friend Guido may have
betrayed his trust by agreeing to
step into his shoes.
He said that even if taken pris-
oner he would not resign his of-
fice and that he hoped his friends
would "act as I have acted until
the ultimate consequences of this
struggle for the liberation of Ar-
MAY FILE SUITS:
Government To Stop Funds
To SegregatedSchool Areas
OPPONENTS-Gov. John B. Swainson (left), in meetings held
this weekend with Jerome P. Cavanaugh, mayor of Detroit, has
developed a new income tax proposal which will attempt to com-
promise the position held by Sen. Carlton Morris (right) that any
city income tax should be limited to Detroit residents.
for the city treasury, has been
campaigning in Detroit for a state
When the move begins to pass
a compromise income tax plan it
will probably start in the House.
There it will build up political
pressure for its introduction into
the Senate and Into Geerlings'
powerful Senate Taxation Com-
Geerlings has said on the floor
of the Senate that no income tax
measure will ever pass out of the
doors of his committee.
Out of Committee
In order for the income tax to
be successful, therefore, it must
be forced out of the taxation com-
mittee by a vote of 18 of the 32
senators. Once it is on the Senate
floor, it will only require a major-
ity vote to pass.
It is expec.., that many of the
moderate Republican senators will
support the move to take a com-
promise income tax measure out
of committee in order to allow
fair debate on the floor of the
Senate. In addition it would take
some moderate Republican votes
to pass the governor's proposal.
Sens. George C. Steeh (D-Mt.
Clemens) and Farrell E. Roberts
(R-Pontiac) said the bill may have
the necessary 18 votes in the Sen-
"The pressure is ibeing generat-
ed in Detroit for a state income
tax," they said.
The Senate will return Monday,
when Sen. Haskell L. Nichols (R-
Jackson) will attempt to discharge
the taxation committee on all ma-
jor revenue bills for a showdown
on the floor.
The Senate is expected to vote
down Nichol's attempt in an effort
to maintain peace until the bi-
partisan House-Senate plan is
WASHINGTON () - The Ad-
ministration moved into the school
desegregation issue yesterday with
a decision to stop payments to
certain racially segregated schools.
Secretary of Welfare Abraham
A. Ribicoff said the Department
of Justice soon may file lawsuits
seeking desegregation of school
districts receiving federal funds
under the Impacted Area Pro-
Starting in Sept. 1963, Ribicoff
announced, segregated schools will
be declared unsuitable for teach-
ing children living on military
bases and the federal support they
now receive for such teaching will
Hopes for Desegregation
Ribicoff told the House Educa-
tion Subcommittee studying school
integration he hopes the states
involved will desegregate the
schools before the deadline next
Later, Ribicoff's office said 1.6
million children are involved in
this phase of the Impacted Area
Program with only 235,000 of the
total living on military bases.
Of the total living on bases,
only about 45,000 of the children
are in states where large-scale
segregation is practiced.
"We have been exploring with
officials of the Justice Department
the possibility of a lawsuit being
brought on behalf of the United
States to desegregate a school dis-
trict receiving funds under the
Impacted Area Program," Ribicoff
"I can tell you that such a law-
suit is now under active consid-
eration and it, is my hope that
such a suit will be brought in the
near future," he added.
Ribicoff left the subcommittee
immediately after reading his pre-
ALGIERS (P) - Abderrahmane
Fares, Moslem president of Al-
geria's new provisional executive,
appealed last night to the Euro-
pean minority for a "fraternal rec-
onciliation" with the Moslem pop-
ulation in the building of a new
Fares and the other 11 members
of the executive-nine Moslems
and three Europeans - formally
took office shortly after the ar-
rival of the last five Moslem mem-
bers. Fares and six others arrived
Thursday in the heavily guarded
administrative center of Rocher
Noir, 30 miles east of Algiers.
Speaking by radio and televi-
sion, for the first time in his new
role, Fares addressed Algeria's mil-
lion European settlers as "my dear
compatriots," and pleaded for tol-
The provisional executive was
established by the Evian-Les-
Bains cease-fire accords with the
Moslem nationalist rebels. The
executive is to administer the
country pending a self-determina-
tion vote three to six months from
now. Most of the Europeans are
bitterly hostile to the accords.
Fares told his European listen-
ers a new and "irreversible" page
is opening in Algerian history.
pared statements. Later, however,
Welfare Department officials ex-
plained the suit he referred to
would be identical to those filed
for Negro pupils under the 1954
Supreme Court desegregation rul-
Burke.Marshall, head of the Jus-
tice Department's Civil Rights Di-
vision said, "The action would be
on the basis that the government's
interest in that particular school
would result from the fact that
children of federal personnel and
federal funds were involved in the
operation of that school."
A favorable decision in such a
lawsuit, they said, would result in
a court order to aesegregate, just
as in other such cases.
Two weeks ago, members of the
subcommittee had urged Ribicoff
to study the possibility of cutting
off impacted area funds to segre-
gated school districts.
Later, the White House said
President John F. Kennedy had
approved Ribicoff's statement, but
stressed the action didn't mean a
wholesale cutoff in impacted area
The White House said the Com-
missioner of Education would de-
termine whether schools should be
built on Federal property for
youngsters who otherwise would
have to attend segregated schools.
The letter was written to in-
transigent radical president, Sen.
Alfredo Garcia, to be made public
only if "they eliminate me phys-
ically or they take me prisoner."
Released only in part, the let-
ter said the coup being prepared
would have as its "unavoidable
consequence heartless repression
against the people."'
Meanwhile, in Brasilia, Brazil,
Foreign Minister San Tiago Dan-
tas denied that his government has
issued any statement regarding
the overthrow of Frondizi and his
succession by Guido.
Reach Accord on Plane
To Lend UJN U.S. Funds
WASHINGTON (MP)-Congressional leaders and the White House
were reported yesterday to have agreed on legislation to give Presi-
dent John F. Kennedy discretionary authority to lend up to $100 mil-
lion to the United Nations.
The compromise is designed to resolve a dispute over Kennedy's
request for United States purchase of $100 million in bonds to help
finance UN operations in the Congo and the Middle East. Public an-
nouncement of the agreement is >
being held up, but it was learned
that the general outline of the W orld N ew's
compromise is this:
The President will be author'z- Roundu
ed to lend at least $25 million to
the United Nations and up to $75
million additional to match eith- By The Associated Press
,r loans or bond purchases made DAMASCUS-The military rul-
by other memDer nations. ers of Syria propose to set up a
The terms of the loan, both with people's court this weekend for Im-
respect to interest rates and dur- mediate trial of deposed lawmak-
ation, will be left to the President's ers and officials they accuse of
discretion. Presumably, he thus maladministration,
could make the loan on the same Maj. Gen. Abdel Karim Zahred-
terms as the proposed bond is- din, the army's commander in
s--or 25 years at two per cent chief, announced the arrange-
Some details reportedly remain ments yesterday at a news con-
to be ironed out, but this is ex- ference.
pected to be done by Monday when . . .
the Senate is scheduled to take
up the legislation. SAN FRANCISCO --= Hawaii's
GOP Opposes Plan Gov. William F. Quinn telegraphed
GOePre Oppn'sosesnaplanfo President John F. Kennedy yes-
The President's original plan for terday to step in and end the two-
United States purchase of half weeks-old West Coast shipping
of the $200-million bond issue ran strike before it spreads unemploy-
ito stiff opposition from fluen- ment and business shutdowns in
As an alternative, Sens. George his state.
D. Aiken (R-Vt) and Bourke B1.
Hickenlooper (R-Iowa) proposed WASHINGTON-President John
that the United States lend the F. Kennedy received the new Rus-
United Nations $100 million for sian ambassador yesterday, and
three years at the going govern- told. him he hopes "greater prog-
Iment interest rate-about three ress may be realized in the future
per cent. than in the past" in settling cold
The Senate Foreign Relations war issues.
Committee defeated the Aiken- On his part, Kennedy pledged
Hickenlooper plan by an 8-7 vote. the United States will cooperate
toward "that just settlement of
issues which alone can assure last-
U.S. Communists ing peace and harmony."
* *' *
Plead Innocent HOLLANDIA, West New Guinea
-Dutch marines routed a band of
WASHINGTON (P) - Two top Indonesian invaders, killing one of
officers of the United States Com- them, in a brief battle on the is-
munist party, Gus Hall and Ben- land of Gag off the tip of Dutch
jamin J. Davis were arraigned in West New Guinea, a military com-
Federal Court yesterday on charg- munique reported yesterday.
es of violating the Internal Se-
curity Act of 1950. They pleaded NEW YORK-The stock market
innocent and were continued in declined, sharply on a broad front
$5,000 bail each pending an ex- Friday as trading was moderate.
change of legal arguments on 65 Dow-Jones stocks closed at
whether they should go to trial. 241.69, down 1.07.
Reds eaken Castro's
Hold on Cuba
By LOUIS DE LA HABA '
Associated Press Newsfeatures Writer
WASHINGTON-Fidel Castro is
still the most important man in
the Cuban government, though his
role has undergone a gradual but
Without Castro, the Commun-
ists who have been gaining in-
creasing power and responsibility
would be unable to carry out their
plans or get them accepted by the
But, because the Communists
consider the flighty Castro politi-
cally unreliable, they have gradu-
ally diffused his power and the
direct control he once had over
every department of government.
These are the views of Cuban
affairs specialists here who keep
track of the most minute develop-
ments in Havana.
These specialists point out that
Castro no longer is the free-wheel-
ing, one-man show of the early
days of his revolution. Instead,
they believe, Castro has become a
mouthpiece, or salesman, for the
policies of the emerging director-
ate in which Cuba's old-time Com-
munists play a major part.
Castro has been named First
Secretary of the National Direc-
torate of the Integrated Revolu-
tionary Organization, a transi-
tional group that is expected to
become the Politburo of Cuba's
future Russian-styled, one - party
In Inner Circle
This puts Castro right in the
inner circle of power in Cuba. But
this power, informed observers
here believe, does not include such
basic aspects of the Cuban govern-
ment as agriculture, industry, la-
bor, foreign commerce and foreign
These are in the hands of the
hard-line Communists who share
the power with Castro.
The Communists need Castro,
however, to put their ideas across
to the Cuban masses. In this re-
spect, Castro, a master orator, has
no equal in Cuba.
Not Policy Maker
Though in the center of power,
Castro is not now the single, or
even the dominant policymaker,
nor is there any evidence that he
insists on being that, sources here
Instead, Castro appears to have
been persuaded that policy-mak-
ing should be a collective activity,a
the experts believe.
For this purpose, the Cuban po-
litical system is being organized
along Soviet lines, with the 25-
member directorate in charge of
Within this 25-member group is+
a smaller one of 10, of which Cas-,
tro is first secretary and his+
brother, Raul, second secretary.
Included are Maj. Ernesto1
(Che) Guevara, minister of in-
dustry; Blas Roca, head of the+
Communist Party in Cuba; Lazaro+
Pena; chief of the Cuban Confed-
eration of Workers; Manuel Lu-
zardo, old party man who was
named minister of trade in Satur-
day's reshuffle; Emilio Aragones,
chief of the militia; Augusto Mar-
tinez, minister of labor; Fore Cho-
mon, recalled as Ambassador to
Moscow and named communica-
tions minister, and President Os-
There also are powerful figures
in the "outer 15," best known of
which is Carlos Rafael Rodriguez,
Communist theoritician and intel-
lectual who now heads Cuba's all-
important National Institute of
Still other figures hover in the
background, without official title
or recognition. Foremost among
these is Fabio Grobart, the "gray
eminence" of Cuban Communism
who is believed to be the real head
of the party.
With these men around him,
there is little chance that Castro
would embrace "deviationist" poli-
cies, nor has there been any indi-
cation that he wishes to do so, the
Come to the
... diffusion of power
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