THE MICHIGAN DAILY
President's HOUSE A
Kennedy Forms Unit
On National Economy
Report U.S. To Act
Against Red Rebels
WASHINGTON (1) -- President
John F. Kennedy conferred with
his top military and diplomatic
advisers yesterday amid reports
he is preparing to take much
stronger action to support the pro-
Western government of Laos
against Soviet-backed rebels.
At the same time the President
was rperesented as still somewhat
hopeful that a diplomatic solution
might yet be found for the Laotian
crisis before the United States
and the Soviet Union beconie more
President Kennedy conferred
for 90 minutes this afternoon with
his top military advisers on the
critical situation. It was the se-
cond such session in two days.
The group at the White, House in-
cluded Secretary of Defense Ro-
bert S. McNamara and Secretary
of State Dean Rusk.
Rusk Meets Allies
Immediately afterward Rusk re-
turned to the State Department
and conferred with British Am-
bassador Sir Harold Caccia and
French Ambassador Herve Alp-
hand. It is understood that he
gave them a report on United
States planning to deal with the
growing crisis in the southeast
Asian kingdom if diplomatic ef-
forts to restore peace there proved
The primary United States con-
cern has been t. get Russia to
! halt their airlift operations and
work with some kind of interna-
tional commission, preferably
composed, of neutral nations, to
bring an end to the civil war.
Rusk is understood to have ar-
gued for this line of action with
Gromyko and to have warned
that there are grave dangers in
allowing the conflict to go on
with a build-up of military power
on both sides.
Gromyko is said to haver re-
stated Russia's proposal of an in-
ternational conference that would
include Communist China.
Depressed Areas Bill
WASHINGTON (A)-Committee approval opened the way yester-
day for an early House vote on a $400 million program designed to aid
chronically depressed areas.
The House appeared likely to consider it next week. The Senate
already has passed a similar bill. Both houses also have passed, in
somewhat different form, emergency unemployment legislation high
i nNEM on President John F. Kennedy's
.. committee approves bill
WASHINGTON () The Navy
bowed publicly yesterday to a
Pentagon directive making the Air
Force, manager of military space
Secretary of the Navy John B.
Connally told the House science
committee that his views "were
not in complete accord with the
directive." He said he had urged a
policy of assigning space jobs to
the services in accordance with
their abilities and needs.
In a meeting with Secretary of
Defense Robert- 8. McNamara,
Connally said; he was "assured"
the Navy would have the oppor-
tunity to "continue working on
To Provide Funds
The bill would provide $300 mil-
lion in revolving funds for loans
to encourage industry to establish
itself in areas of persistent un-
employment. The money could be
used for sites, public facilities and
in exceptional cases machinery. A
third of the amount would be ear-
marked specifically for rural
The measure also would author-
ize grants of $75 million for pub-
lic facilities and $19 million for
economic surveys and retraining
of workers stranded by the wast-
ing away of industries which em-
The whole program would be
under the authority of the Secre-
tary of Commerce, but other de-
partments would participate.
The committee wrote into the
measure stringent language in-
tended to prevent use of any gov-
ernment funds to "pirate" an es-
tablished industry away from its
present location and into a de-.
pressed area. The intention was
to restrict the industry-attracting
programs to new plants-including
new branch plants.
The principal difference from
the Senate version is in the fi-
nancing of the $300 million re-
volving fund. The House bill
would. require appropriations in
separate legislation for the money;
the Senate voted to authorize bor-
rowing from the Treasury.
May Give Vote
WASHINGTON () - The vote-
less residents of the District of
Columbia will have the right to
vote for president and vice-
president if three more states rat-
ify the 23rd constitutional amend-
Oklahoma ratified the amend-
ment yesterday, becoming the 35th
state to do so since Congress sub-
mitted the proposal last June, 16.
Ratification by three-fourths of
the states is needed to pua a con-
stitutional amendment in effect.
Hope for Approvals
Backers of the proposed amend-
ment believe the three state ap-
provals still needed could come
within the next week or two from
among Ohio, Kansas, New Hamp-
shire and Rhode Island. Ratifica-
tion also is given a chance in
North Carolina and Texas.
The proposed bill will be drawn
in consultation with Democratic
and Republican party leaders and
will be submitted to a public hear-
ing. It will cover such details as
voting'age, residency requirements
and absentee balloting.
District residents have never had
the right to vote in presidential
elections because the Constitution
provides for electors to be chosen
only in the states.
The 23rd amendment would not
make the district a state but would
give it three electorial votes.
No Appointment Needed
THE DASCOLA BARBERS
Near Michigan Doily
I Ministers To Present
VIENTIANE (P)-The royal gov-
t ernment, facing what it calls a
s crucial week of decision, announc-
ed yesterday it will renew peace
talks with neutralist ex-Premier
There was no indication of what
proposals will be presented or if
Souvanna has agreed to meet with
the government. The Communist
bloc and the pro-Communist Path-
et Lao rebels consider Souvanna
to be the lawful premier.
The royal government has de-
nounced Souvanna as irresponsi-
ble Saturday when-talks with him
at his exile in Cambodia broke
r down and he left on a trip around
Decide at Meeting
The decision to reopen talks
with Souvanna was made at a
four-hour cabinet meeting presid-
ed over by Premier Prince Bun
Oum. Sconomics Minister Ngon
Sananikone left no doubt the gov-
ernment is feeling the pressure of
a rebel offensive in central Laos.
"We must reach a decision and
soon," he told newsmen. "Laos
cannot afford to continue to bleed.
At least 10 men die on each side
every day, and 10 men is a lot for
us. We are a small country, and
we do not believe in bloodshed."
Information Minister Bouavan
Norasing said the cabinet is at-
tempting to draw up a plan for
some kind of move on the inter-
national scene to end hostilities in
the troubled kingdom.
To Present Plan
The Council of Ministers will
lay the plan before King Savanag
$ouavan said the cabinet min-
isters discussed all recent propo-
sals to end the fighting, including
the Communist-backed 14-nation
conference that is opposed by the
United States because it would in-
clude Red China.
He added that the cabinet con-
siders the 14-nation meeting pro-
posal a "Chinese maneuver to con-
solidate their position." He said a
three-nation neutral commission
would have to guarantee Laos'
neutrality before such a larger
meeting was held. The Communist
bloc has vetoed the neutral com-
mission idea and insists on the
Ngon had indicated earlier the
pro - Western government was
swinging toward acceptance of the
"We don't care which confer-
ence sits," he said, "but itmust
end hostilities and guarantee Lao-
Bouavan said the royal army is
consolidating its position north of
Sala Phou Koun, a stronghold that
fell to the Pathet Lao March 7.
He said government troops were
moving toward Muong Kassy,
about 90 miles north of Vientiane.
It was the first time in a week
the government claimed the mili-
tary situation might be improving.
Until yesterday, the news had been
that one rebel column was advanc-
ing north on Luang Prabang and
another south toward Vientiane
against little resistance.
B last SEA TO
TOKYO (P)-Red China charg-
ed yesterday that smaller mem-
bers of the Southeast Asia Treaty
Organization a r e demanding
Western military intervention in
Laos only because the United
States wants to intervene.
SEATO's military meeting starts
in Bangkok today, followed by a;
meeting of ministers next week.
United States Secretary of State
Dean Rusk is to attend the eight-
WASHINGTON (WF) - President
John F. Kennedy yesterday put
a team of top business executives
and labor union leaders to work
to help him fight inflation and
solve a wide array of pressing na-
President Kennedy told the
opening meeting of his 21-man ad-
visory committee on labor-man-
agement policy its purpose is to
"give direction to the general
movement of wages and prices so
the general welfare of this coun-
try can be served."
The group, which includes rep-
resentatives of the public and gov-
ernment, had a cordial and earnest
initial session, according to its
chairman, Secretary of Labor Ar-
thur J. Goldberg. The- committee
resolved to meet at least once a
month, with the next session set
for April 3.
Asks Consensus Views
President Kennedy indicated
that he looked for the group to
provide him with business-labor-
public consensus views on such
matters as unemployment, produc-
tion, wages and prices and export
competition-so that they could be
dealt with voluntarily if possible,
without necessity of governmental
The President's stress on obtain-
ing committee advice on wage-
price "direction", surprised some
observers. He said this was a mat-
ter in which "I do not want the
White House to have to come in at
the last minute."
This appeared to be a word of
caution that he expects the group
to strive to hold employers and
unions on a moderate course int
their wage-price policies. Walter
Reuther, head of the auto workers
union and one of the union -mem-
WASHINGTON (R) - The Com-
merce Department yesterday, gave
an encouraging report on the na-
tion's balance of payments.
It said the gold outflow "for1
some weeks now has stopped en-
The nation's payments position
has shown "very substantial im-
provement" from the deficits1
which caused a serious drain on,
gold stocks for more than two
years, the department's office of
business economics said.
Actually, although the report
did not so specify, the, Treasury1
showed a slight upturn in goldl
holdings last week. The outflowi
was halted i nthe last week of
February for the first time since
bers of the group, said later how-
ever he didn't think President
Kennedy had "any specific direc-
tion" in mind.
National Survival Affected
The President said, the coun-
try's wage-price structure is "im-
portant in national survival" be-
cause it affects the nation's com-
petitive position abroad. Long-
range unemployment also is a
matter of utmost concern.
"It is quite possible," the Presi-
dent said, "that we could have a
recovery this summer and still
have six or seven per cent of our
people unemployed in the fall."
Changes in demand and produc-
tion techniques in the steel, auto,
coal and airplane manufacturing
industries, he said, are extremely
serious and require study and ac-
of an Angola independence move-
ment yesterday denied Portuguese
charges that recent violence in
Angola was caused by the terror-
ists crossing the border from the
"We have information indicat-
ing, that it was a spontaneous up-
rising of the people against the
Portuguese," George F. Manteya,
Leopoldville secretary of the Pop-
ular Movement for the Liberation
of Angola, said.
Manteya pointed out that the
people in several regions of the
Congo and Angola are tribally re-
lated. He said it was possible that
in the event of violence tribes
might help their brothers across
In an interview, Manteya said
three Angola nationalist parties,
all outlawed by the Portuguese,
recently met in Leopoldville and
agreed to form a common front
to work for independence. He
said none of the parties is Com-
munist or Communist-inspired.
"It is not our intention to drive
white people out of Angola," Man-
teya asserted. "For many of them
Angola has been their home for
many generations. They are An-
golans just as we are and the
country will need them."
Manteya said the freedom par-
ties seek independence by peace-
ful means. He expressed hope that
the pressure of world opinion
would force the Portuguese to ne-
gotiate with the nationalist lead-
Sabbath Service ofHillell
Friday, March 24, 7:15 P.M.
DR. NORTON MEZVINSKY, History Dept.
"Mordecai M. Kaplan and Reconstructionism"
World News Roundup
By The Associated Press
The House voted yesterday to continue for another 21 months
the imposition of economic sanctions against Cuba and the Domini-
can Republic in the form of reduced sugar purchases.
The new measure continues the President's authority to halt
1429 H ill Street
Cuban sugar imports, relieves him
sugar from the Dominican Repub
ports he obtained from Western<
Hemisphere nations and other
countries purchasing United States
* * *
The possibility of a second
Bandung Conference was among
the subjects discussed with Presi-
dent Gamal Nasser in Cairo, In-
dia's Prime Minister Jawaharlal
Nehru said yesterday.
But he immediately added it did
not mean it was going to be held.
Nehru was replying to questions
of newsmen on his return via
Cairo from the Commonwealth
prime ministers conference in
The first Bandung Conference,
in 1955, laid a foundation for the
emerging Asian-African political
bloc in world affairs.
*~ * *
Communist Bulgaria and Brazil
have agreed to resume diplomatic
relations for the first time ,since
World War II, Radio Sofia said
last night. The agreement was
concluded recently by their Unit-
ed Nations delegations.
i of the obligation of buying extra
lic, and requires that heavier im-
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