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THE MICHIGAN DAILY

83 THE MICHIGAN DAnA

Rebel Navy Chieftain
Flies to Buenos Aires
To Attempt Cease Fire

New Budget
For .Britain
Revises Tax
LONDON (A) - British Prime
Minister Harold Macmillan's Con-
servative government unveiled
yesterday a deficit budget for 1963-
64 that will free some 3.75 million
low-income Britons from income
taxes.
The main aim of this budget is
to encourage business expansion
without inflating the economy.
Spending will exceed revenues by
$199 million under estimates of
this budget, drawn up at a time
when regional unemployment is a
problem and the Labor Party is
striking vigorously at Conservative
policies.
Deficit Budget
This is the first time a British
government has come up with a
deficit budget since 1946-47.

NAMES BOARD:
Kennedy Acts To Delay
Possible Railroad Strike
WASHINGTON OP)-The United States categorically rejected
yesterday Russia's allegation of United States responsibility for two
recent hit-and-run raids on Russian ships in the Cuban area and
again pressed for withdrawal of Soviet troops.
The American position was stated in a note, delivered to the Soviet
foreign ministry in Moscow and made public by the State Department,
which replied to two Russian notes protesting raids on Soviet ships in
Cuban ports March 18 and 26. The Kennedy Administration has pub-
licly denied any connection with^
the free-lance raids which the S
raiders say were not started from Leaders Set
United States territory and has
moved to clamp down on such ac- - a
tivities. t

CUBAN AREA
U.S. Denies Responsibility
For Raids on Soviet Ships
By The Associated Press
WASHINGTON-President John F. Kennedy invoked emergency
procedures yesterday to put off for at least 60 days the threat of a pos-
sible nationwide railroad strike.
A walkout had been threatened for next Monday.
Acting under terms of the Railroad Labor Act, he named a three-
man "blue-ribbon" board to try to settle a 4-year-old work rules con-
troversy. The President chose former New York Judge Samuel I.
tRosenman, one time special coun-

sel to former Presidents Franklin
D. Roosevelt and, Harry S. Truman,
as chairman of the emergency
board.
The other two members are
Prof. Nathan Feinsinger of the
University of Wisconsin and Prof.
Clark Kerr of the University of
California.
At a news conference yesterday
Kennedy also said "it was a mis-
take" to suggest the use of lie
detectors to find the source of a
Pentagon news leak.
"He and Secretary of the Air
Force Eugene M. Zuckert changed
the move," Kennedy told his news
conference, when they learned
what was happening.
Halts Move
He said Secretary of Defense
Robert S. McNamara had halted
the move. "No lie detector tests
were given," he added.
Kennedy spoke out when asked
about waivers Pentagon personnel
were being asked to sign, agreeing
to take such a test if necessary
to determine who had given a re-
porter a controversial report cri-
ticizing the Senate investigations
subcommittee.
Kennedy reported that another
1000 or more Soviet troops have
left Cuba and expressed hope that
the remaining 12,000 to 13,000 will
be withdrawn also.

Government,
Dissidents
See Victory
Opposition Denies
Surrender Rumors
BUENOS AIRES (AP)-The com-
mander of an Argentine navy fleet
threatening Buenos Aires arrived
by plane in the capital yesterday
to discuss a truce with the gov-
ernment.
Both sides were claiming victory
in the two-day-old rebellion.
Rear Adm. Eladio Vazquez, com-
mander of a fleet threatening an
assault on Buenos Aires, flew here
via the navy base at Puerto Bel-
grano. A navy officer said his talks
presumably would be held at the
navy secretariat.
Stop Fighting
Loyalist military leaders claim-
ed the rebels had laid down their
arms after being pushed back in
heavy fighting south of Buenos
Aires. But a rebel source had said
Vazquez "is not coming to surren-
der. He will only negotiate a
truce."
Retired Adm. Isaac Rojas, a for-
mer provisional vice-president of
Argentina, was reported still
aboard one of the fleet ships. A
report from Montevideo, Uruguay,
said Rojas was quoted in a radio
broadcast as rejecting any ar-
rangements with Argentine Presi-
dent Jose Maria Guido's govern-
ment.
Sources here said the two retired
army generals who sparked the
revolution -Benjamin Menendez
and Federico Toranzo Montero-
also had flown to Puerto Belgrano.
Remove Guido

Although Moscow's protests ac-
knowledged that the raids were
carried out by "Cuban counter-
revolutionary groups," rather than
Americans, they contended that
the United States government has
encouraged the attacks, "and bears
full responsibility for them."
The United States note went on
to say that "In taking vigorous
action to prevent misuse of its
territory, the United States gov-
ernment trusts that the Soviet
government will not misinterpret
such action as indicating any
change in United States opposition
to Soviet military involvement in
Cuba."
France Settles
Mine Walkout
PARIS (MP-The French gov-
ernment and France's major un-
ions yesterday agreed on a settle-
ment of the coal strike.
Agreement to end the month-
old walkout, which has paralyzed
France's coal industry, came at
the end of two days of steady
bargaining by negotiators for the
coal company and the unions.
The accord is subject to ap-
proval of leadership in the coal
basins.
A Smart Vacation
Hair Cut is Waiting
You at EITHER

JOHN F. KENNEDY
...railway board
FORD-CANTON:
House Passes
Aid Measure
LANSING-The House approved
the controversial Ford-Canton un-
employment compensation meas-
ure yesterday which was sponsored
by Rep. Riemer Van Til (R-Hol-
land), chairman of the House La-
bor Committee.r

HAROLD MACMILLAN
---deficit budget

Contrary to general expecta-
tions, British Chancellor of the
Exchequer Reginald Maulding left
the high basic income tax rate un-
changed. But he increased exemp-
tions at lower levels. This is ex-
pected to cost the treasury 269
million pounds ($753.2 million) a
year.
Maulding said his aim is to
bring about an increase in the
gross national product of 4 per
cent, or about twice the average
increase of recent years.

Recount Plan
LANSING-Democratic leaders
took a "wait and see" attitude yes-
terday on whether to demand a
recount of the vote adopting Mich-
igan's new Constitution.
Democrats pointed out that the
10,760 vote margin of victory rep-
resented only about two votes for
each of the state's 5209 districts.
Most party leaders said that
they would wait for completion
of the official canvass before con-
sidering any possible recount.
Hints of the recount came from
former Gov. John Swainson, Dem-
ocratic Central Committee Chair-
man Zolton Ferency and Lt. Gov.
T. John Lesinski.
An analysis of election returns
show that the Constitution lost by
a smaller margin than expected in
Wayne county and won in out-
state GOP areas by a narrower
than usual vote.
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