Khrushchev Outlines New Plan for Soviet Eco inomy MOSCOW (P)-Soviet Premier Nikita S. Khrushchev directed a vast new party and industrial reorganization in the Soviet Union yesterday, and told party leaders to copy from capitalism, if they Must, to increase farm and factory production. Khrushchev disclosed his plan to the Communist Party Central committee. He outlined a countrywide, industrial and party or- ganization reaching down to the ranks of the 10 million Com- munists he said are the "ruling party" in the Soviet Union. To the farming industry, Khrushchev promised some much needed tractors and fertilizer, but not necessarily in the im- mediate future. The main supply of government money, he said, will continue to go to heavy industry, which supplies military hardware, and a little more, but not much, to the consumer goods industry. Russian Blessing Near the end of his speech, Khrushchev gave a mild blessing to certain Soviet economists and factory managers who for months have argued for a sort of profit system in factories. The aim is to give an incentive both to the factory manager and to the workers to produce more and better goods faster. "Under the socialist system of economy," he continued, "profit as an economic category does not have the social meaning which characterizes it in the capitalistic society. Our industry manu- factures goods not to obtain a profit, but because they are needed by the entire society. Instead of condemning the idea, he said, in effect, try something along that line in certain areas. But he added that Soviet industry should also adopt features of the capitalist system where research and designing are made a part of every industry. To block what he described as an excessive labor turnover in some areas, he recommended legisla- tion to determine where a worker's personal interest conflicted with state interest. Low Pay His comment followed reports from some areas that thousands of workers had quit their jobs because of low pay and unsatis- factory working conditions. The party reorganization appeared the most far-reaching shakeup since that of 1957 when Khrushchev defeated the so- called "antiparty group." His directives set up two powerful party branches, one in charge of agriculture, one overseeing indus- trial production. The same type of reorganization will go on down through individual USSR Republics, thence to regional parties and so on, until there is a vertical "top-to-bottom type of organiza- tion for party, industry and agriculture. Decrease Councils In industry, the number of economic councils will be cut, and the size of economic councils will be increased. These councils were created in 1957 to help decentralize the government bureau- cracy and create regional initiative. In the Russian republic, biggest of the 15 Soviet states, the number of councils is cut from 67 to less than 25; in the Ukraine; from 14 to seven. Old organizational forms, Khrushchev told the committee, "are becoming a drag on guidance of production," and "therefore we must take radical measures to insure more concrete and systematic guidance of all branches of production by party or- ganizations." Practically every phase of the economy, including even scien- tific research and designing will follow the same vertical pattern of organization, Khrushchev disclosed. The advances of this sort or organization, he said, were shown by the experience of the military in its achievement of top efficiency. Such a system had been developed in capitalist countries, Khrushchev said, and then commented: Once Upon A Time ... "There was a time-I mean the period of the personality cult -when the idea was sedulously fostered that everything that is ours is unreservedly ideal and everything that is foreign is un- reservedly bad. Khrushchev also included the European Communist countries in his future economic plans. He said a tighter organization was needed of the Council of Mutual Economic Assistance because the EuropeanCommon Market in the West was "directed at the growing peaceful system of Socialism." NONE OF THE ABOVE FIVE See Editorial Page Y Sitr isoan Seventy-Two Years of Editorial Freedom I43aitt CLOUDY High--45 Law--35 Light snow ending this morning, warmer this afternoon VOL. LXXIII, No. 57 ANN ARBOR, MICHIGAN, TUESDAY, NOVEMBER 20, 1962y U. S. Asks or Sovieteply on Bomber Hope To Get Answer Before TV Session BULLETIN KEY WEST (R)-Havana radio said early this morning that Cuban Prime Minister Fidel Castro has sent a new message to Acting United Nations Secretary-General U Thant offering to ship back to Russia the IL28 bombers now in Cuba. WASHINGTON (P)-The United States has told the Soviet Union it hopes for a satisfactory answer on withdrawal of Russian bombers from Cuba by today, when President John F. Kennedy goes on the air. In reporting this yesterday, state department authorities said Soviet representative Vasily Kuznetsov did not give a satisfactory Sresponse on this central issue Sun- I * * * * * * * * Chinese Advance Tow i As* Indian u DfnersI SEVEN CENTS SIX PAGES ith drawal rard Assam [)raw Bac e Troops Overrun Impregnable Pass Radio Reports Chou En-Lai Says Indian-Chinese Dispute To Grow NEW DELHI (Ak)-Driving Communist Chinese forces crum- bled Indian defenses in the Se Pass sector of the Himalayan front yesterday and lanced to a point only 25 miles from the populous plains of Assam. Red battalions, 20,000 strong, outflanked and overran defenses of the 13,156-foot pass-which Indian frontline troops/had considered impregnable-and then captured Bom- dila, another mountain position 60 miles to the southeast, where the Indians had hoped to make a stand. Meanwhile, in Peiping, Red China's Premier Chou En- Lai was quoted as saying that, far from being near an end, the India-China conflict will grow in scale. Void Limit On Funds By The Associated Press LANSING - Attorney General Frank Kelley ruled yesterday that a legislative restriction on appro- priations for Michigan State Uni- versity is unconstitutional and void. Kelley issued his opinion in re- sponse to a request from Leland Carr, Jr., attorney for MSU. The query stemmed from action by the Legislature this year in which MSU's entire appropriation was granted only upon the condi- tion that. none of the money be used to continue a controversial Labor Relations Center. Kelly said: "Where the Legislature condi- tions the entire general appropria- tion for Michigan State University upon the fact that no portion of the appropriation shall be used to maintain or continue the Indus- tries and Labor Relations Center or any center or school of a sim- ilar nature, such a condition is unconstitutional .' ." Kelley pointed out that the state constitution vests exclusive con- trol of the general fund of the university in the governing body- the trustees. Citing an earlier case, Kelley said that the State Supreme Court recognized the authority of the Legislature to make appropriations for specific objects attatch law- ful conditions which would be binding upon the appropriation. "Nevertheless," Kelley added, "the authority of the Legislature does not encompass general funds appropriated for general purposes of the university in that the peo- ple had reposed exclusive control and direction over such funds in the governing body of the univer- sity." The Industry and Labor Rela- tions Center was the subject of a Senate investigation after charges were aired that it was pro-labor. Kelley said that the Legisla- ture's action demands -that the MSU trustees abdicate authority to manage and control MSU in re- turn for the appropriation. The Legislature could impose oher conditions of a similar na- trol of the university from its constitutionally designated govern- ing body." Set Launching Of U' Device WXAT TnP TfiT ANT)-~A "'Tee- day and thus the United States- Soviet negotiations on a Cuba settlement remain deadlocked. The United States:authorities said it would be helpful to have a clear cut Russian reply by the time Kennedy meets with news- men at 6 p.m. today. They declined to term this a' deadline or hour of ultimatum for a Russian answer, but they made plain that timerisbrunning out on removal of the bombers. The President's news session, which will be carried by major radio and television networks, is expected tofeature a report on the Cuban crisis. At least in part because touchy negotiations have been under way, Kennedy has not held a news con- ference since the crisis erupted Oct. 22. United States negotiator John J. McCloy had a afternoon-long meeting with Kuznetsov on Long Island Sunday. He was said to have the Krem- lin representative forcefully that no progress on the proposed Cu- ban settlement is possible until the Soviets pull out the estimated 30 IL28 jet bombers in Cuba. Death Fells Physicist Bohr By The Associated Press COPENHAGEN-Niels Bohr, a nuclear physicist generally ranked second only to Albert Einstein, was stricken by a heart attack Sunday and died in Copenhagen. When only 28 years old, he had undertaken and solved problems that had baffled many scientists- including an explanation of theo- retical relationships in atomic en- ergy, which won him a Nobel Prize in 1922. N ehru Sends U.S. Appeal For Arms Indian Ambassador Meets with Kennedy WASHINGTON VP)-An urgent appeal from India's Prime Minis- ter Jawaharlal Nehru for heli- copters and transport planes was delivered to President John F. Kennedy yesterday. India also sent a number of re- quests for more arms and equip- ment to the State Department., Authoritative sources said the appeal for aircraft was contained in a letter delivered to the Presi- dent in person by India's Ambas- sador B. K. Nehru, a cousin of the prime minister. After the White House meeting, Ambassador Nehru. said the pur- pose of his call was to acquaint Kennedy with the latest develop- ments in the military situation and the urgent need for defense requirements. State Department Press Officer Lincoln White said the United States has a number of new re- quests from India for arms and equipment to supplement the $5 million worth already airlifted. Authoritative Indian sources said there were no specific re- quests in the letter delivered to Kennedy. India faces a major problem in supply and equipment for its troops engaged along the 1,500- mile Himalayan frontier with Red China. United States officials expect the Chinese Communist offensive in the northeast frontier may pause to regroup before driving farther toward the plains of As- sam. Us* SsSs R.0 300 MILES " Koshgar S I N K I A N G CHINA Lanchow LADA KHNI al04J4 t KASHMIR Pongong Lake! Demchok Chinese Reds PAKISTAN TIBET Reported Massing Reinforcements MC MA HON LINE NEW DELHI " BHUTAN ' ti~cA SIKKIM r ' Walong aipurBomdila Ta i e6 *r o " . Allahabad Kunming Indore PAKISTAN Indian Troops INDIA \ Form Defense CALCATTAS P .. I BOMBAY Nag pur DEFENSE POSITIONS-The m munists as they advanced closer been reportedly massing troops COLLEGE AID: Predicts WASHINGTON (P) - Secretary of Health, Education and Welfare Anthony J. Celebrezze said yester- day the Administration will seek action early in the new Congress for aid to higher education. "We will introduce the legisla- tion early and hope for coopera- tion from the committees," Cele- brezze said in answering a ques- tion after speaking at the Na- tional Press Club. Letter to Asians Peiping Radio said he made the Bay of Bengal BUR M A statement in a letter last Thurs- day to heads of 24 African and nap shows the Indian defense lines crumpled by the Chinese Corn- Asian Nations. to the populous state of Assam. It indicates where the Chinese had A single mountain ridge stood at for yesterday's offensive against the Indians. nightfall between the invaders and ___________Assam, 'a state which produces much of India's tea, rice and oil. The Indians' next possible de- fense position-perhaps the only one-is at a place called Eagle's Nst, 9,300 feet up on a road run- Earl Action on Bi ning to the Assam town of pur, an Indian army headquarters. Bomdila Falls "There is great need at this time He mentioned a quality educa- Prime Minister Jawaharlal in the field of higher education," tion program and loans for stu- Nehru announced the fall of Bom- he said. dents. dila, which a Chinese vanguard More Than Buildings So far as aid for teachers' sala- struck Sunday night. The Indian Asked whether he would push ries is concerned, the secretary army had considered that a rear for federal aid for teachers'Sala- said he feels the government area and' its contingents there should help in providing educa- were surprised before they had a ries or aid only for school con- tional aid for persons who want chance to dig in effectively. struction, Celebrezze said plans to be teachers but expressed the The other two man Chinese are "to push for many things, not feeling that "the salary structure thrusts into India appeared at least only construction." is purely a local responsibility." temporarily stalled, although not Clarify Views necessarily halted. Department officials later were At the eastern end of the front, asked to clarify this remark. They near Burma, Indians were fighting issued this statement: on a defense line in the Luhit Riv- "Teacher salaries are a matter er Valley a dozen miles south of P erfo m yiof state and local responsibility. their overrun positions at Wolang. However, the secretary believes Capture Outpost that if any federal grants are At Chushul in Ladakh, at the Iw ceroreason od hnoe tt n oa epniiiy teirerun poitins t Woslag. Snmade avaliable for elementary and northwest end of the battlefront, Making their Ann Arbor debut, secondary education, the state the Chinese captured an outpost the Chicago Little Symphony un- should make the determination ain ta an a Jerhnsbon ofnu Thoy Johnsos guthrdiEg aRLEAal(CIn)i-nThirfir." dert bton cofdt To chow the money should be used as and moved againstChushul itself. will give a special concert at Rack- between construction and teach- ham Aud., Dec. 9 at 2:30 p.m. ers' salariesy "Chushul has been attacked The symphony, presenting a rep- -- __ with force, but they are holding," ertory of classical, romantic and Nehru said. modern works, has for the last Groupfl iBlasts The prime minister held an two concert seasons toured the 1 emergency meeting with his cab- South and the Midwest perform- i D m iet to discuss the dark turn in ing their chamber programs. TheL ane ap i what he called "a full-fledged war group has 20 members... a kind of brutal and callous Johnson annually appears at the NEW ORLEANS (CPS) - The war." University to conduct two concerts Louisiana branch of the National Then, in an unscheduled broad- at the May Festival. tts ihsPat a lse cast to the nation, Nehru said the The Ann Arbor program will in-4 tts igt atwhsbatd ar forced on India by the Chinese SPECIAL CONCERT: Chicagro ttle Symphony To ...,..... .r,^: n .rrn":n:.r:.rn.:::.,:.:.:.::.:. ,. n.:>.rr ....:...n.<": " .}} ...... : "". r!.:" ::::": "::"::":.... ..{oY: :"rr::":".;: NW: '...;":.;?;..v: ":};:::,.::"x.ti:L.Y ::i::}:::}:j:$i:«i{:i :t ii}:": i::"i::":G:": iii '?":"::i $:5::":"i:9j:{ : :4ii: ij: :",::ii:",::i:>}}}}S'}{:'r :% '"} f' . ri" :":: n', i .:5: t'v: nr. .....: v::::::.v:.::v.v:::::1.::..:v:.v:.v::.v:::::.v:.v::.v::::::. :::: "::: " :::":::.,.: . :... :...........:.. ........................................................::.:: ,::::.v::::;: {^:?ti :4::w::.{J:.{:{4:r ... ..... i:" :v.,.; nr ....... .. {.:: n".v: ;: "::4, n:;{:.}":45:{4Y'f :^}'+{4yi}}: v?{.;^n;.y{.: .:: :" :::::::..:.....: :"::::::::: :v.v::.v: "; :v::::.v::.v: "}ii{.; v.v::.v++"f.<"};{^v::. n".i:b::i"i }: ?"::{rS:"7 ti ii$: %}:;;iii{;}}S:r }}i}:":"'"i '".v n:n:w :..:...::::...::........:...::.:.......v...::..:.; v:;.v:.vx.v:: r: v.v:.v::::: "v:; .; .:.... ;. ;: ...;: ii:{{.}"...... ::w:.v::.......:: :".v :".;:::::::::::: r..nv: vn ::::::::::.:v:;::::::::: {:.v::::::::.v::::::::! ;:;? i;r "..v::.v:.vnv::::r:v::.y:nv:::i:::i::L:}:"i:::;vi:"?:::.....:: x::.v:::::.v::.v"w:::: ":: v. w::::,: r . ti, "{" iii:{vii"{:"ti....}.... i::fi::"}:?4?: is }:4;{"}}k4:v}:"Y4} i}: }. {:jfr..r :::":.:.:v.": :v.;: ;::::. :.:::.v.Y'::Yi:.; ":;.} ::.:.....:.::".v:."::"nv.v:::.v:::.::.v:.v::::::::.v::,v:.:::,v:::.v; :":.v::.v:::: v:::::::^.v::r ".:?v. :!4i}........:": ".......:.r .........!:......................... .n'". .: '" r ,} :r:"ii :;'(:i:_ii:;: i: : ;::3i:i"}:"::" <"}S::v:.v::.:.::::.: v:: i::"i::v'v:::"}}:i}: :}:;:y ";,,"": :} i}'' v:::: :".v::::::::,v:....,.:.::"i}:: }: i}:{v}:.....,.::;.{{?v: }i:4:"ii}:"i::?fi:; i:4Y:}}:: v: "+! -"}}ri"}}:iti4}'O:r:;vi!": ...:. .4.v. . r...:... ;..... :{:::::: {::::::;::;.v:; :w:::::::: n:"::::.v:.v:::....... ..!. :v: nvv.v :.:::.::: ... .........:............ ..:.v......................,.......,...... ...... rv::::.fii:. n": v;.}Y{{}:}{?} " $ n .............. ...... ..... ..... ::.v:::::." :...... .................... ::"::::::".v:.:.v.v":::::.v:{":::v::"S::v.v:;}:{ ::{v::!:::::{''}:?:'+.":"iv:l }::! ".:v}r : r :.v: "........ .": :. r.:..v:::., ....,;+ ..: .. ..: .: ........ vn".:r :+.":"}::n'"}'":?:v:"}!'"i'.. i:":tiv}i r+, ;K ::":": i:ii:: '' ii:k i{' 'iii'::;}:":i:i:4:-0}-"::5::{{"}}SY+.i}'+r} v..........l .. ...............................v::v:"i:Lq:":Ji:v}Y}YV?}. .. ,:::::.w.v::: "w::. ::." :v.. ;:......: ......... .......:::::::.v:: n::::.::, v.v::.n. .... ..,. ............ "r...?:L::?.;r ..:.::.v.::::.v. 'i?; : ??' 'ii::; .: _:. ;il' :v.; ". ".v:.v::.vn".:v" ...4::.:}::.v n"S .. " :4... .................... i": 5: .......:.. . }':t' i"r: " il'