THE MICHIGAN DAILY
Off
GIZENGA, LUNDULA:
Forces Clash in Congo
.me Limit on Solution
E New Guinea Dispute
Balance of Payments Deficit
Increases During Quarter
WASHINGTON (MP-Preliminary figures indicate that the United
States balance of payments deficit, the key to the gold-dollar problem,
soared to an annual rate of about $5 billion late in 1961.
This figure, for the October-December quarter, approached the
peak rate of $5.7 billion recorded a year earlier, at the height of the
1960 rush by foreigners to buy American gold. It compared with a rate
of $3.1 billion in the July-September quarter. The sharp and unex-
A 1* 1 T --
.mports Hurt Business: Aloe v lew
bhat Will Cornress Do? Possibility
FS
II
Of Invasion
Diplomats Express
Guarded Optimism
BOGOR, Indonesia (P)-Presi-
dent Sukarno appeared yesterday
to have called off his 10-day time
limit for a diplomatic solution of
his dispute with the Dutch over
West New Guinea.
Foreign diplomats were express-
ing guarded optimism.
Sukarno met at his summer
palace here with- members of the
national security council. Later,
one of his top military advisers,
Brig. Gen. Acmad Jani, talked
with reporters.
Gives Comments
Jani was asked about Sukarno's
statement Jan. 9 that he would
make a decision on Indonesia's
next move at the end of a 7- or
10-day period. Did this mean mili-
tary action was the next move?
"Such a possibility does not de-
pend on a 10-day limit," Jani re-
plied. "Military action can take
place on any day.
Jani's statement was interpreted
as suggesting that Sukarno will
not be tied by his limit in making
his decision.
Hold Meetings
The statement followed a week
of intense diplomatic activity, by
the United States and other na-
tions, which so far has failed to
yield any favorable results.
The Netherlands made one con-
cession and agreed to drop, as a
condition for agreeing to negotia-
tions, its demand that the Pa-
pauns of New Guinea be guaran-
teed the right of self determina-
tion.
Indonesia, however, still insists
that the Dutch hand over adminis-
tration of West New Guinea before
negotiations open.
LEOPOLDVILLE R)-- Fighting
erupted in Stanleyville yesterday
between the Congo Army and the
forces of leftist Antoine Gizenga.
The fighting brought orders
from the"Congo government . hat
apparently set the stage for a
military showdown with defiant
Deputy Premier Gizenga.
Premier Cyrille Adoula's cabinet
in Leopoldville ordered Gen. Vic-
tor Lundula to "take all neces-
sary steps to restore order" after
Gizenga was said to have attempt-
ed to leave Stanleyville earlier in
the day.
Prevent Arrest
Lundula's troops prevented his
leaving, the reports said, and Gi-
zenga's men then attempted to
arrest Lundula but were prevented
by the larger Lundula force. Lun-
dula was reported to have ar'rest-
ed four of Gizenga's aides.
A United Nations spokesman
expressed the world body's 'full
support to Lundula in efforts to
quell Gizenga's forces.
A spokesman at UN headquar-
ters in New York said acting Sec-
retary-General U Thant issued in-
structions to UN forces ii the
Congo to "exert all possible dfforts
to restore and , maintain law and
order in Stanleyville and to avert
civil war there."
Received Request
The spokesman said Thant is-
sued his order after receiving a
request from the central govern-
ment.
Gizenga was reported to have
only a company of about 200 men
in his bodyguardnsurrounding his
residence at Stanleyville.
Lundula, the former Congo ar-
my chief under Patrice Lumum-
ba, was reported to have a larger
force of about a battalion in Stan-
leyville.
The UN also has a battalion of
Ethiopians in Stanleyville, and
Dominician Ari
Rebellion by N
SANTO DOMINGO, Dominica
armed forces yesterday announced
Trujillo navy officers to overthrow t
A brief communique gave no d
sional council which took office New
way for general elections and a new
after 30 years of Trujillo dictatorshi
There was no word on the num
leaders of the plot. The communiqu
I
I World News Roundup
has another battalion that could
be sent in.l
Denies Report
Adoula denied earlier reports]
from authoritative sources that
the cabinet had ordered Lundula
to arrest Gizenga.
The denial was taken with a,
grain of salt by some diplomats
here, after government sources
said Lundula might decide thatt
the best way to carry out his or-
ders to restore order would be to
place the leftist leader under ar-
rest.
Adoula, in making his denial,1
Fear Crisis
In Algeria
ALGIERS (P)-The governors of
all 13 administrative areas in
Algeria have warned headquarters
a crucial and perhaps disastrous
period is approaching, government
sources said yesterday.
The warnings came to Delegate
General Jean Morin as housewives
rushed food stores to stock supplies
against the possibility of pro-
longed turmoil or a cutoff from
Prance.
Some local governors requested
more troops be rushed to cities
where Europeans and Moslems
were reported ready for a show-
down fight.
About 25,000 troops have already
been massed in Algiers and 10,000
in Oran, the two most explosive
areas, with large concentrations of
organized European settlers.
Tension has been building up in
Oran-Algeria's second city-for
three weeks, boiling over occa-
sionally with mob scenes and
lynchings of Moslems after Mos-
lem dagger and pistol attacks on
Europeans.
ned Forces Halt
aval Officers
n Republic (P) - The Dominican
the smashing of a plot by pro-
he ruling state council.
etails of the plot gainst the provi-
Year's Day. Its task is to pave the
government for this island nation
ip.
iber arrested or the identity of the
e said those implicated would face
a court-martial. The communique
was issued shortly after reports
circulated that a plot had been
uncovered in the navy against the
life of the armed forces' chief,
Gen. Pedro Rodriguez Echavarria.
Unofficial reports said a number
of plotters managed to get away
in a navy craft. This could not be
confirmed immediately.
Echavarria has been under fire
recently by some officers and by
some left-wing political leaders
who charged he has been getting
involved in government affairs not
related to his job of Secretary of
State for the Armed Forces.
The general responded with
charges his enemies were led by
Communist agitators.
Neutral observers agree there is
a small but efficient corps of Com-
munists now in the country.
p
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said the question of an arrest
had not been discussed by the
cabinet because Gizenga still has
parliamentary immunity.
Claimed Office
Gizenga set up a rival regime
in Stanleyville after the slaying
of Lumumba, and with Soviet
Bloc backing claimed for many
months that he was the rightful
premier of the Congo. At first
Lundula supported him.
In recent months, however, Lun-
dula has been cooperating with
the central government and has
told visitors he would arrest Gi-
zenga if given the order by the
government.
open
Mondays and Fridays
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just two doors--and
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M ADI E
MAIN at L!BERTY
pected worsening of the payments
situation was disclosed yesterday.
Among the possible explanations
cited were a rebuilding of sterling
balances by American firms in
Britain, the transfer of corporate
deposits to New York branches of
Canadian banks, and efforts by
some foreign central banks to
"dress up" their year-end ac-
counts.
U.S. Officials
Reveal Bribes
WASHINGTON (A')-The Jus-
tice Department has disclosed it
has information indicating bribes
have been offered to government
employes.
3SON
SAVE 20%-50%
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By The Associated Press
LISBON, Portugal-A crowd of
2,000 called for the ouster of
United States forces from the
Azores last night during a dem-
onstration protesting the loss of
Portuguese Goa to India.
The United States Air Force
has had a huge base on the island
of Terceira in Azores since World
War II under an agreement with
Portugal that comes up for re-
newal next spring.
* * *
SALISBURY, Southern Rhodes-
ia-The acting prime minister of
the Central African Federation
denied yesterday his government
condones arms smuggling into se-
cessionist Katanga.
Home Minister Sir Malcolm
Barrow was replying, in a state-
ment, to charges by the United
Nations that the Rhodesian bor-
der is a crossing point for arms
and white soldiers bound for Ka-
tanga.
VANDENBERG AIR FORCE
BASE, Calif.-The - Air, Force
launched a Discoverer 37 satellite
yesterday, but the second stage of
the Thor-Agena combination rock-
et failed to achieve orbit.
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