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November 16, 1977 - Image 1

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Publication:
Michigan Daily, 1977-11-16

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SENATE RACE
See editorial page

~I E

5k4

103 aug

DANK
High - 54
Low -- 32'0
See Today for details

Vol. LXXXVIII, No. 60 Ann Arbor, Michigan-Wednesday, November 16, 1977 Ten Cents 12 Pages

EGYPTIAN CALLS VISIT 'SACRED DUTY'

Begin invites

Sadat to

_- <-_.

Jerusalem
Address to Israeli
Knesset seen likely

Shah's
avisit
hit'b y
protests
WASHINGTON (AP) - The Shah of
Iran was greeted at the White House by
a 21-gun salute and the sting of tear gas
yesterday as rival groups of demon-
strators clashed near the presidential
gates in the capital's largest and blood-
iest street protest since the end of the
Vietnam war.
President and Rosalynn Carter, the
shah and Empress Farah forged coolly
through formal welcoming ceremonies
on the south lawn of the White House
despite the raucous disturbance within
earshot and a cloud of tear gas that per-
meated the offices of the mansion and
surrounding buildings.
A WHITE HOUSE statement issued
later said Carter told the shah he at-
taches importance to a "strong, stable
and progressive Iran" under the shah's
leadership and pledged continued U.S.
arms sales to that country.
The statement made no specific
reference to the many items of sophis-
ticated weaponry, including 140 F-16
fighter planes, which the shah wants to
purchase from the United States.
Carter reaffirmed to the shah that he
See ANTI-SHAH, Page 9

Daily Photo by ALAN BILINSKY
Harlequin great dane Toole E. Gaites III, recovering from recent ear surgery, can't figure out why his rude friend insists
on gawking.

MILLIKEN D UCKS OUT:
Sen ate candidates dive in the ring

JERUSALEM (AP) - Israeli
Prime Minister Menahem Begin yes-
terday formally invited Anwar Sadat
to Israel in response to the Egyptian
president's offer to make such a trip
to try to end the "vicious circle" that
has kept the Middle East at war for
three decades.
In Cairo, Sadat called the proposed
visit, which would break the Arab
taboo against any leader visiting
Israel, a "sacred duty."
BEGIN told the Knesset, the
Israeli parliament, that he had sent
the written invitation to Sadat
through the U.S. Embassy in Jerusa-
lem. A diplomatic source said the
message had reached Cairo within
three hours of Begin's speech.
The source said the invitation men-
tioned no specific date but was
phrased along the idea of "come as
soon as you can." He said it was
"welcoming, forthcoming and open."
The invitation was contained in a
large white envelope carrying the
return address "The Prime Minister,,
Jerusalem," without mention of Is-
rael. Begin told U.S. Ambassador
Samuel Lewis he would need a reply
by Friday so he could, if necessary,
rearrange a scheduled visit to Brit-
ain next week.
Begin also invited the leaders of
Syria, Jordan and Lebanon to follow
Sadat's visit, reiterating standing
invitations for them to meet him for
peace talks.
THE ARAB world's reaction to the
proposed Sadat visit was generally
subdued except for criticism from
hard-line Iraq and Palestinian ex-
tremists. The Bagdad daily, Athi
Thawra said Sadat's proposal 'has
weakened the Arabs and placed them
in a position of degradation and
humiliation before the international
community."
Sadat told reporters yesterday at
his Barrages retreat outside Cairo,
where he had received a U.S. con-
gressional delegation: "I consider
this trip as a sacred duty and this vi-
cious circle we are turning around
in .. . has to be broken.
"If I can break it and do not break
it, I shall be questioned about it ...
Questioned by whom? By God, and
that is why it is sacred."
SADAT first proposed going to Is-
rael last Wednesday and Begin said
he would be welcome. In announcing
the official invitation Begin added
Sadat would be received in Israel
"with all the honor and majesty", due
a head of state.
Egypt's acute problems of over-
population, poverty and underdevel-
opment form the backdrop to Sadat's
dramatic offer.
His willingness to break the 30-year
taboo against Arab leaders visiting
Israel or speaking directly with its
leaders was meant to underline his
See BEGIN, Page 9

Sadat

By MITCH CANTOR
The state-wide race for Robert
Griffin's U.S. Senate seat already
looks like a free-for-all. Now that
Governor William Milliken has tip-
toed away from center stage, any of
several candidates may throw their
hats into the campaign ring.
Griffin, who plans to retire from
the Senate next year, has held his
seat since 1966.
WITH MILLIKEN out of the way,
"all those that are interested can now
run with a clear conscience," said
Jerry Roe, executive director of the
state Republican Party, yesterday.
Though Milliken probably would
have been a tough man to beat, the
Republicans are not discouraged. "I
think we have a number of potential-
ly strong candidates. They have a
good chance," said Dennis Caw-
thorne, Republican caucus leader for
the Michigan legislature. "No strong
candidate has yet emerged for the
Democrats," he added.
Though some speculate the Demo-
crats were better prepared for
Milliken's decision, Cawthorne dis-
agreed: "I don't think either side has
a big advantage at this time."
FOUR REPUBLICANS who may
play prominent parts in the election
are:. Lieutenant Governor James
Dammon, James Brickley, former
lieutenant governor; George Roach,
president of Hillsdale College; and
Brooks Patterson, Oakland County
prosecutor.
Damman, not a declared candi-

date, said that by making his
decision early Milliken was giving
others, "a chance to wage a fair and
effective campaign."
Richard Thompson, chief assistant

so far is state Senator John Otter-
bacher.
"I THINK IT (Milliken's decision)
surely doesn't hurt them," Otter-
bacher said. "It's going to heighten

'It's going to heighten
the competition in the
Democratic primary.
We've got two or three
real candidates out there.'
- State Sen.
John Otterbacher

been cautious of funding the Demo-
crats, apparently for fear of an easy
Milliken victory, may now support
them more readily.
Another possible Democratic can-
didate may be Carl Levin, former
president of Detroit City Council.
According to wire service reports,
Deane Baker, a University Regent
and Ann Arbor businessman, said he
has been encouraged to enter the
Senate race by, "a substantial num-,
ber of Michigan's leaders."
BAKER, an unsuccessful candi-
date for the same office last year,
says he has "made no decision
concerning a candidacy, but will
make that judgement within the next
60 to 90 days."
Senator Griffin himself comment-
ed on Milliken's decision: "He is a
great governor; he could have been a
great senator. I respect his decision.
I know how tough it is to make such
decisions, and I'll support him in
whatever he finally decides to do."

Universitty.
won't, lose
aid for,
loans
By DAN OBERDORFER
Many colleges around the nation face
suspension of federal aid for student
loan programs if their former students
don't pay up, but the University isn't on
that list.
The crackdown includes cutting fed-
eral funds to state schools with exces-
sive default rates and steps to make
direct contact with offending borrow-
ers.
MOST OF THE offending schools are
"fly-by-night proprietory and trade
schools," said Joyce Dunagan, director
of financial aid at George Washington
University.
She also said certain areas, the
District of Colombia in particular, have
already been slapped with suspensions
of federal support of their loan
programs.
Three of five borrowers in the
District of Colombia default on their
loans, she said.
The default rate at the University
hovers near five or six per cent, safely
below the 15 per cent cut-off level for
the crackdown, said Tom Butts, direc-
tor of financial aid at the University.
Universities in many other states -
characteristically those with high de-
fault rates - assume no responsibility
for loan collection, leaving the task
solely to the federal government. But
here, the loan collection process begins
with the University and moves to the
state before the federal government is
called in.
See UNIVERSITY, Page 9

T

to Patterson, said the prosecutor's
plans may still depend on whether
Milliken runs for governor again.
MICHIGAN Democrats are quick
to say that Milliken's decision not to
run for the Senate is a big blow to the
GOP.
Morley Winograd, state Democrat-
ic leader, acknowledged a sense of
relief: "When you don't have an
incumbent to beat, the race becomes
easier. Our candidates have had a
longer time to get out and get organ-
ized," he added.
Of the Democratic candidates for
the Senate seat, the most prominent

the competition in the Democratic
primary. We have three or four real
candidates out there."
OTTERBACHER also explained
that potential contributors who had

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British Ambassador
Jay says North Sea
oil boosts economy

WASHINGTON (AP) - Presi-
dent Carter's much-ballyhooed en-
ergy program is being hammered
out with foam rubber mallets by
House-Senate conference commit-
tees at a pace slightly slower than
evolution.
Most members of the House and
Senate are resting in their home
states or off junketing somewhere,
but the senators and representa-
tives on the conference commit-
tees are soldiering on in a war that
is, at best, only a moral equiva-
lent.
"I, FOR ONE, don't enjoy
staying around Washington," said
Rep. Harley Staggers, (D-W. Va.),
trying to spur his conference
committee on. "There are some
here who like to live in Washing-
ton. I don't."
That morning, the senators on
his committee had flatly rejected
items one through 29 of proposed
public utility regulatory policies
contained in the House bill, but not

MORAL
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of W4 P..
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2

Then, carried away by the
blizzard of activity, the conferees
agreed that the employe who is
transported by that employer's
van won't have to pay tax on the
value of that fringe benefit.
ON A SCALE of one-10, the
van-transport incentive doesn't
even budge the needle. The Sen-
ate-passed bill would spend $42
billion over the next eight years on
energy conservation and produc-
tion incentives.
According to experts, the van
pool credit would cost the govern-
ment $3 million to $4 million a
year, or in the neighborhood of'$30
million in the eight-year span. Its ;
energy savings, according to the K
conference committee's own docu-
ment, is "negligible."
Last week, the tax committee
accepted one provision equally ho-
hum. That item would give a tax
credit for electric or hydrogen
motor vehicles. Uncle Sam would

By MARTHA RETALLICK
Britain's long-sagging economy
has been propped up by rising pro-
duction from the North Sea oil fields,
Great Britain's new ambassador to
the United States told University stu-
dents yesterday.
Ambassador Peter Jay, the second
ambassador to visit Ann Arbor in a

July.
Although foreign oil companies,
including American companies, have
oil rigs in the North Sea, the govern-
ment-held British National Oil Cor-
poration has a 51 per cent stake in all
of the oil coming from those fields,
Jay said.
He pointed out this stake in the

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