Page 4-Wednesday, May 12, 1982-The Michigan Daily Britain claims it has stronghold oFalklands By the Associated Press Britain claimed yesterday it had a stranglehold on the Falkland Islands,. isolating the Argentine garrisons defending them. The British also said that, in a new naval engagement, they had fired on an Argentine vessel trying to cross the five-mile wide channel between East and West Falkland during the pre-dawn darkness Tuesday. Neither Britain nor Argentina reported whether the ship' was hit, although a British spokesman said, "We have reports of a large ex- plosion." THERE WAS no confirmation from the Argentines, who reported no new military action around the Falklands. However, the junta in Buenos Aires said because the British had imposed a 20-mile total war zone around the islan- ds April 30 and extended it to within 12 miles of the Argentine coast on Friday, Argentina was retaliating with its own Thatcher broadened war zone. It said that any British ship or air- ... military options open, craft headed toward the Falkland Islands from anywhere in the South close off any military options at all ..." Atlantic will be considered hostile. Her statement indicated Britain may BRITISH sources denied reports the go ahead with a widely predicted government of Prime Minister assault on the Falklands, seized by Margaret Thatcher had given an Argentine forces April 2. ultimatum to the effect that British for- U.N. Secretary-General Javier Perez ces would be landed in the Falklands de Cuellar, seeking to stave off a unless agreement is reached at the British assault on the Falkland Islan- United Nations in the next few days. ds, said yesterday he needed a f ew In London, Prime Minister Margaret more days to overcome lingering Thatcher told the House of Commons, British and Argentine objections to a "the fact we are negotiating does not peace settlement. estern journalfists warned in Poland In Brief Compiled from Associated Press and United Press International reports Donovan denies bribery charge NEW YORK - Labor Secretary Raymond Donovan appeared before a federal grand jury yesterday to deny allegations he witnessed the bribery of a union official. Donovan testified all morning at U.S. District Court in Brooklyn, and at the lunch break said "I will have no comment to make about anything before the grand jury." Mario Montuoro, a former officer of laborers Union Local 29, has alleged Donovan attended a lunch in 1977 where an executive of Schiavone Construc- tion Co. handed union president Louis Sanzo an envelope containing at least $2,000. Donovan, at the time a Schiavone executive, has denied the allegations and called Montuoro "a liar." Donovan's lawyer, Theodore Geiser, said he is confident no charges aginst his client would be sustained. Urban League criticizes police chief for 'racist' slur LOS ANGELES - A civil rights group yesterday called for the suspension of Police Chief Daryl gates because of his comment that blacks might be more likely to die from chokeholds because their arteries do not open as fast as they do on "normal people." John W. Mack, president of the Los Angeles branch of the Urban League, said Gates should apologize for the remarks published Saturday and said Gates needs time off to "remove his foot from his mouth and the chokehold from the necks of black people." "It was incredible that he would make such an outrageous statement and such a stupid statement," Mack said, calling the comments of the white, 33- year-old police veteran "racist, archaic and ignorant." The Urban League's executive committee voted Monday to demand that the Police Commission censure Gates and suspend him without pay, Mack said, and also resolved to seek a ban on bar-arm and carotid holds. Reagan lobbies for budget WASHINGTON- President Reagan opened a lobbying blitz with businessmen for a Republican budget plan yesterday, even as a GOP House leader signaled it was not an acceptable substitute for a rival Democratic proposal. Beginning three days of meetings with businessmen and bankers, Reagan won pledges from the U.S. Chamber of Commerce, the National Association of Manufacturers and the Business Roundtable for help in pressuring Congress to approve the spending plan passed by the Republican-controlled Senate Budget Committee. However, House Republican Leader Robert Michel of Illinois said he would not offer the Senate Budget Committee's proposal in the House Budget Committee or on the House floor as a Republican alternative to the Democrats' spending proposal. Lawmakers reject tax break WASHINGTON- A four-term member of Congress told the Internal Revenue Service yesterday that lawmakers don't need the tailor-made $75- per-day tax deduction they voted themselves last year. "Most times they don't even pay for their own lunch," he said. The witness, Rep. Doug Wagren (D-Pa.), was one of the only three mem- bers of Congress who showed up at an IRS hearing on the tax deduction, even though more than 200 of them have signed bills in this election year to repeal the special tax break. The IRS hearing lasted only 45 minutes. The only other witness, in addition to the three House members, was Fred Wertheimer, president of the Com- mon Cause lobbying organization, who described the special tax deduction as wrong, selfish and unjustified. There was no indication when or whether the IRS would reduce the tem- porary $75 deduction or make it permanent. Congress may spare IRS the decision by repealing or reducing the deduction. S. Africa, Soviets swap spies CAPE TOWN, South Africa- South Africa has exchanged a Soviet Spy for eight "very important" Western intelligence agents and a South African soldier held prisoner in Marxist-ruled Angola, Prime Minister P.W. Botha told Parliament yesterday. Botha said the return of Johan Van der Mescht was part of a deal involving the exchange of the eight unidentified agents in an undisclosed location. The South African Press Association (SAPA) reported that the switch oc- curred in Geneva, but SAPA said later its reporter misheard the prime minister and Botha's press release said no details of the negotiations would be released. Geneva police said they had not heard of an exchange there. The South African leader said an agent of the Soviet KGB, identified as Maj. Alexei Mikhailovich Koslov, was exchanged for Van der Mescht, who had been held for several years. Botha's announcement followed two days of secret talks between Chester Crocker, assistant U.S. secretary of state for African affairs, and Brand Fourie of South Africa, in Geneva. I I I I 4 I WARSAW, Poland (AP)- The mar- tial law regime followed up its ex- pulsion of two U.S. diplomats by sum- moning foreign correspondents yester- day and warning it will crush any at- tempt to spark "open conflict in Poland." Those summoned to the Foreign Ministry included reporters for The Washington Post, the French newspaper Le Figaro, Independent Television News and United Press In- ternational. WESTERN diplomatic sources said Bernard Marguerite of Le Figaro was given a "first and last warning" by the Foreign Ministry and was urged to take a vacation. Marguerite, who has been here since the mid-1960s, angered authorities ap- parently by writing that riots last week were provoked by party hardliners. Reporters for The New York Times, Time magazine and the Financial Times were summoned to the Foreign Ministry last week. THE ATTACK followed the expulsion Monday of two American diplomats, Scientific Attache John Zerolis and Cultural Affairs Officer James Howard. They were the first American envoys to be expelled in memory. The Communist Party daily Trybuna Ludu on Tuesday said Western repor- ters and shortwave radio stations issued "instructions' "to anti'-goVer nment protesters. "We are facing not a separate act of irresponsible journalists, but a coor- dinated, well-synchronized and planned political campaign," the paper said. "Its inspirers are striving .... for social tension, destabilization and for open conflict in Poland." THE PLANS of opposition were destroyed, but now there are attempts at repeating them," Trybuna Ludu said. "But there will be no repetition. The Polish state will provide peace in the streets of Polish towns." Some observers said the decision to expel the two diplomats, however, in- dicates the authorities have decidedto back their words with actions and suggests their level of concern about recent outbreaks of unrest. Others interpreted the expulsion of the American diplomats as a warning to Poles to avoid contacts with Western officials. It was also seen as a warning against picking up anti-regime leaflets. American officials, however, denied any knowledge of "documents" Polich television said the two diplomats had when surprised by police in the apar- tment of Ryszard Herczynski, a scien- tist and former internee. Poland's authorities have repeatedly blamed U.S. intelligence services, Western media and shortwave stations such as Radio Free Europe and Voice of Ameritafor inciting protests..