Page 4-Wednesday, May 19, 1982-The Michigan Daily Brezhnev rejects U.S. arms plan,; endorses freeze From AP and UPI MOSCOW - President Leonid Brezhnev rejected President Reagans nuclear arms reduction plan yesterday as "insincere" but endorsed a proposal for a mutual freeze non weapons deployment by the Soviet Union and the United States. - The 75-year-old Kremlin leader, making his first speech in piublic in nearly two months, welcomed Reagan's call for strategic arms reduc- tion talks between the two superpowers as "a step in the right direction." HE ALSO SAID that no additional Soviet medium-range missiles will be deployed in areas from which they could hit West Germany or other Western European countries. In Washington, President Reagan in- terpreted Brezhnev's , remarks as a :sign he was willing to sit down for talks. "I think we'll be meeting," the president said. Asked if he saw hopeful signs in Brezhnev's speech, Reagan replied, "Yes, I think he agreed that we'd meet; we will." INITIALLY, the president replied jokingly when asked if he had any reac- tion to Brezhnev's statement. "Not that you'd r want to print," he said. "No, I'm kidding," he quickly added. Secretary of State Alexander Haig, at a NATO meeting in Luxembourg, said some Soviet arms control proposals are compatible with the U.S. approach. But he rejected Brezhnev's proposal for a nuclear freeze. "Nuclear freezes do not promote ef- fective arms control," Haid said. However, he said of Brezhnev's speech, "to the extent they (the Soviets) are willing to get into negotiations as early as possible it is posititve." VICE PRESIDENT George Bush, in- terviewed on ABC-TV's "Good Morning Brezhnev ... endorses mutualfreeze proposal America," said Soviet willingness to talk was "encouraging." But U.S. ar- ms control director Eugene Srostow dismissed the call for a nuclear weapons freeze as "a grandstand play." The United States has previously rejected a Brezhnev call for freezing nuclear arms, claiming it would permit the Soviet Union to maintain its per- ceivel lead in intercontinental ballistics missiles. The 75-year-old Soviet chief ad- dressed the opening session of the national congress of the Young Com- munist League, Komsomol, the 40 million-member organization that grooms potential party members. In Br ief Complied from Associated Press and United Press International reports Moon convicted on tax charge NEW YORK- The Rev. Sun Myung Moon, founder of the Unification Church, was convicted yesterday of filing false income tax returns for three years ina conspiracy to evade taxes on about $162,000 in personal income. The 62-year-old Korean evangelist and businessman, who built his world- wide church into a controversial, multimillion-dollar organization, displayed no emotion as the verdict was delivered. He faces up to 14 years imprisonment when U.S. District Court Judge Gerard Goettel sentences him on July 14. The panel of 10 women and two men brought in its verdict after nearly four days of deliberations that ended a six-week trial. A Moon aide, Takeru Kamiyama, 40, was convicted with him in the tax evasion conspiracy and also of obstructing justice through lying and sub- mission of false documents in an effort to block the tax investigation. Charles Stillman, Moon's lawyer, said he would appeal the conviction. Brodhead announces retirement WASHINGTON- Rep. William Brodhead, (D-Mich.), who was heavily but unsuccessfully recruited to run for governor of Michigan, announced yester- day he intends to retire from Congress when his term ends this year. In a statement on the House floor, the liberal Detroit Democrat said he wants to spend more time with his family and probably will resume his law practice. He said all campaign contributions have been returned. "I find that I no longer have enthusiasm for my work," Brodhead, 40, told his colleagues in a statement that caught Democratic party leaders back in Michigan by surprise. "It's a shock. I'm totally taken aback," said State Democratic Chair- woman Olivia Maynard when told of Brodhead's announcement. Brodhead served in the state House from 1971-1974 before his election to Congress in 1974. He was re-elected in 1976, 1978, and 1980 in the heavily Democratic district that includes northwest Detroit and adjacent suburbs. Oil prices not expected to fall CARACAS, Venezuela- A resurgence in world demand for OPEC oil this summer will save the struggling cartel from being forced to cut prices, two oil ministers said yesterday. Indonesian Oil Minister Subroto and other officials predicted the oil cartel would retain its benchmark price of $34 a barrel for the rest of 1982. "We have already agreed to a price; and that will stay," Suzroto said. That would mean stable or slightly higher prices for consumers in the United States and other Oil-importing nations. Retail prices are down shar- ply from a year ago because of a glut in world oil supplies that developed in mid-1981. Subroto and the oil ministers of Venezuela, the United Arab Emirates and Algeria were here for a strategy session in advance of a full meeting of the Organization of Petroleum Exporting Countries tomorrow in Quito, Ecuador. India holds state elections NEW DELHI, India- Prime Minister Indira Gandhi is expected to suffer setbacks today in state elections seen as a test of her popular strength two years after returning to office. Convinced her personal drawing power was a major asset of her ruling Congress Party, Gandhi repeated the non-stop campaigning that helped her to come back in India's 1980 nationwide election. Fifty-five million of India's 680 million citizens were eligible to vote today for state legislatures in four of India's 21 states-Haryana, West Bengal, Kerala and Himachal Pradesh-plus vacancies in seven national parliamen- tary districts. The first results were not expected before tomorrow, but political analysts for major Indian newspapers predicted Gandhi's Congress Party would lose ground in three of the four states and four of the seven national parliamen- tary districts. Hinckley termed schizophrenic WASHINGTON- A Harvard psychiatrist exclaimed on the witness stand yesterday that John Hinckley had "no ability to plan . . . no ability to premeditate" the shooting of President Reagan. "Do I conclude he was logical and planning?" said Dr. David Michael Baer. "My God, my sense of justice says absolutely not." Baer called Hinckley "a terribly sick man," whose psychological control may have been impaired by the tranquilizer Valium that was prescribed for him by a psychiatrist in Evergreen, Colo. Baer said Hinckley told him he took extra Valium before setting out for the Washington Hilton Hotel where he shot Reagan, his press secretary and two others on March 30last year. When he left his own hotel, Baer said, Hinckley didn't know whether to go to New Haven, Conn., and kill himself in front of actress Jodie Foster, shoot Foster and himself as a kind of modern Romeo and Juliet, or to shoot Reagan. Baer said Hinckley had this thought about the latter option; "Maybe that will be significant enough to get Jodie's attention. Maybe I will do it." He also said Hinckley couldn't have faked his illness, which he labeled "schizophrenia spectrum disorder." Argentines ponder latest proposals From AP and UPI The Argentine junta debated a last- ditch set of British peace proposals yesterday and Britain backed them up by warning its fleet was in a pre- invasion position, ready to take the Falkland Islands by force if a set- tlement was not reached "in a day or two." In' New York, 'U.N. Secretary- General Javier Perez de Cuellar suspended his mediation efforts for a day to give Argentina time "to consider the British position." BUT PEACE hopes dimmed as Britain and Argentina exchanged war- nings and insults and as ships of the British fleet, led by the flagship HMS Hermes were reported only a few miles off the Falklands, poised for invasion. In London, government sources said Britain has declared "active service" conitions in the South Atlantic-a war- tinse, ov.pygiving .fleet, commander, Rear Adm. Sandy Woodward command powers over the QE2 and other civilian liners requisitioned as trogp ships. The ships' captains are normally responsible for the safety of their ships, but Woodward can now overrule them under the new orders that went into ef- fect Sunday, the sources said. It was the first time in 20 years that "active ser- vice" orders have been issued by the Royal Navy. Meanwhile, the Soviets have laun- ched a satellite with nuclear-powered radar that can track the movements of British navy ships in the Falkland Islands area even under cloud cover, U.S. government sources said yester- day. The Soviet satellite, launched Satur- day, is collecting information which would be invaluable to the Argentines, said the sources, who asked to remain anonymous. 4