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Home Newspaper Of Oshawa, Whitby, Bowman- ville, Ajax, Pickering and neighboring centres in Ont- ario and Durham. Counties. Weather Report _ . Little temperature change anticipated. Mainly sunny weather ahead. Low tonight 50, high Sunday 70, VOL, 95. -- NO. 203 < BSc Per Week Hore beliveredl Authorized os Second Class Mall Post Office Department Ottawa and for payment of Postage in Cash f TWENTY-FOUR PAGES | Guy Lombardo, well- known Canadian born band leader, Gons his helmet at the Oshawa Harbor today to officially start the third annual Lake Ontario Pow- erboat, Marathon between Oshawa and Mimico and re- Antaris Ww LLLUAL LY Could Hike Tax Share PARIS (Reuters) -- Rhodes- ian Prime Minister Ian Smith said in an interview broadcast here Friday that a solution to the Rhodesian independence dispute is the subject of confi- dential negotiations between Britain and Rhodesia. The interview, broadcast by the independent Radio Luxem- bourg, was recorded by the net- work's South African corre- spondent Wednesday--the day the Commonwealth conference in London issued its commun- ique on Rhodesia. Asked whether he has a solu- tion to propose to end the dis- pute, Smith replied: "Yes, I have, but this is something which unfortunately I cannot say to you at this stage, because this is the sub- OD! turn. Mr. Lombardo was famed Royal Canadians 1s chosen as the official 'start- er because of his)strong, in- terest in boat racing. For perhaps as best known as he is in the music world. The race is held in co-op- ject of confidential negotiations between ourselves and the Brit- ish government." The Commonwealth commun- ique said if Smith's white-mi- nority government does not end its seizure of independence by the end of this year Britain would seek selective mandatory UX. -Rhodesia Negotiate End To Breakaway The interviewer asked Smith whether it is possible to block- ade Rhodesia economically. He replied: "Well, Britain has been trying to do this. And now, nearly a year after she's tried, it does not look as 'though she has been very successful." Smith said Rhodesia is under no obligation to accept any de- cisions made at the Common- wealth conference as it had not been invited to attend. "TI can't really say that it has created much interest here (in Rhodesia),"" he added. Questioned about the possibil- ity of forming a common market made up of South Af- rica, Rhodesia and Portuguese Mozambique: to combat certain economic difficulties, Smith said: "I believe this is on the cards," He added: "I don't know if it is necessary to combat eco- nomic difficulties. There are many ways of combatting eco- nomic difficulties. We will have to decide whether we believe it is in the interest of those coun- tries in this part of the African sanctions through the United Ratinn« s¥awaone. continent." LONDON (AP)--Vice - Presi- dent Joseph Murumbi of Kenya says a Soviet arms buildup in threatens a stranglehold on the Suez Canal. In an interview Friday after northeast Africa close to 20 years he has been racing power boats do- ing so just as a hobby. In that field the leader of the eration with Yacht Haven and the Hum- ber --Oshawa Times Photo Terrorist Admits Guilt In Montreal Bomb Blast MONTREAL (CP)--Serge De-/him, the juvenile and six other mers, 21, testified late Friday|}young men criminally respon- that he and a 17-year-old youth | sible for the woman's death. were chosen by a terrorist group! to plant a time bomb that ex-ir ploded in a Montreal shoe fac-;jhome - made dynamite bomb tory and killed a woman last|went off in the east-end office May 5. jof La Grenade shoe factory Demers was testifying at a| where she worked. coroner's inquest that found The victim, Mrs. Therese Mo-| in, 64, was killed when the Named in the verdict were Richard Bouchoux, 27, Demers, Charles Gagnon, 26, Pierre Val- liere, 27, Gerard Laquerre, 22, Real Mathieu, 19, Marcel Faulk- ner, 21, and the juvenile. Charges were expected to be laid Monday. No criminal charges are laid in Quebec in violent death until criminal responsibility has been determined by a coroner's jury. cases China Uses Regular Troop To Curb Red Guard Anger HONG KONG (AP)--Peking "The Peking guards," said today to havejone border crosser, " moved regular troops into Can-|much _ better ton streets to curb violence by/more reasonable. They tried to local teen-age Red Guards injtalk the Canton guards out of| was reported were |; disciplined and/ ISTUDENT KILLED TOO S Mrs. Morin's death was one of jtwo which police have said are leonnected with terrorist activ- lity. In a second explosion, a 16- |year-old student, Jean Corbo, of jsuburban Mount Royal was |killed near a Montreal plant of jthe Dominion Textile Co. by a bomb which police ently went off prematurely. A third bombing, in which that southern China metropolis.|using so much physical force|there were no deaths of injur- Arrivals from Canton said the|and violence. But they failed.|i@s, was at the Paul Sauve army regulars began patrolling|There was a lot of shoving) Arena in Montreal during a Lib- the streets after a group ofjaround and quite a few fist|¢ral rally just before the June Peking Red Guards left Canton | fights groups. Wednesday. They said. the Peking and Canton Red Guards had clashed) moyeq out several times over the Canton groups insistence upon, using physical violence against per-/ between "Then the the opposing|> Provincial Peking group) ut and the regular|qay's verdict, Gagnon and Val- army soldiers began patrolling/liere, are still at large and be- the streets." election. Police |have also connected terrorists with this incident. Two of those named in Fri- ing sought. by police. the close of the Commonwealth conference, Murumbi said the Russians have recently shipped a large supply of arms into So- malia, the desert republic on Kenya's northern frontier. "These supplies are far in ex- cess of Somalia's internal needs," he asserted. "It is ob- vious they are going to use them." Somalia, an independent state formed from former British and Italian colonies, has territorial claims against Kenya, Ethiopia and riot-torn French Somali- land. These claims. have brought repeated skirmishing on Somalia's Kenyan and Ethio- pian frontiers. | Murumbi said the Somalis now have 20,000 men under arms, about three times as Liberal Says Sharp Must Go | WINDSOR, Ont. (CP) -- A! Windsor area member of the provincial legislature has called for the resignation of federal) | Finance Minister Sharp. In an interview here, Arthur Reaume, Liberal MPP for Es-| sex North and a former mayor) of Windsor, said: "It would be} a good thing if Mitchell Sharp stepped down." | Mr. Reaume said he had ar-| rived at this conclusion when} Mr. Sharp announced that med-| ical care, proposed to begin) next summer, would be de-| layed one year because of the) threat of inflation. iKenya President Warns Of Reds Threat To Canal many as Kenya, and have Rus- sian MiG jets flown by Soviet and Somali pilots. "The real danger,"' he said, 'fs that the Russians will estab- lish themselves in the horn of Africa and thus win control of the Aden straits and the canal and place the oil interests of the west in the Arabian gulf in danger." | Murumbi, deputy to Kenya's independence leader, Jomo Ken- yatta, said the recent arms shipment is in addition to arms landed about three years ago, {when Somalia was engaged in a frontier war with Ethiopia and was pressing claims on Kenya's northern frontier district. The Somalis insist that these disputed areas are theirs by ancient tradition and that Afri- can frontiers drawn by imperial powers have no validity. PRESIDENT | SEVENTY Opposition, Leader Diefen- baker prepares for the big blow at a party thrown on the eve of his 7ist birthday Friday by members of his Parliament Hill office staff. (CP. Wirephoto) Rusk Welcomes Asian Bids To End Viet WASHINGTON (CP - AP)-- State Secretary Dean Rusk says the United States welcomes ef- forts of Asian leaders to ar- range Viet Nam peace talks. | Rusk was asked at a press) conference Friday about a call by visiting Philippines Presi- dent Ferdinand Marcos for "a continuing dialogue between North and South Viet Nam and step by step movement toward BUGS PEOPLE WASHINGTON ..(AP) President Johnson's --limou- sines are bugged--in_ re- verse. He can hear people along the curb but they can't hear him. The president makes a habit of popping out of his car along motorcade routes for unscheduled speeches and handshaking sessions, and he doesn't want to make this effort if the. peo- ple along the way are un- enthusiastic. If he hears cheering and shouts of approval, he knows he will get a good reception. Ordinarily, he can't hear the crowds with the wind- ows rolled up in his air-con- ditioned cars. jcourse, would welcome any con- tacis negotiated peace." The secretary replied, "We, of that would' elicit from Hanoi a readiness to talk about a peaceful settlement in South- east Asia." "Tt is not my impression that the government of The Philip- pines has found thus far a re- sponse from Hanoi. But this is one of the possibilities that lought to be kept open. All pos- | sibilities ought to be kept open." | Marcos, appearing before the | National Press Club in Washing- jton, said a negotiated peace is jthe only logical solution to the | Viet Nam struggle. |ANNIHILATION POSSIBLE | Victory is the ultimate aim, yes," he said, '"'but we must re- member that there would be total annihilation of the world if |there is continued escalation of \the war." sons accused of bourgeoise hab- its and customs. Pope Seeks End To War VATICAN CITY (AP) -- The Vatican announced today Pope Paul will issue an encyclical letter Monday dedicating Octo- ber as. worldwide month of prayer to end the war in Viet Nam. A statement from fhe Vatican described the coming encycli- eal--the fourth of Pope Paul's reign--as "a pontifical docu ment of notable importance @n encyclical letter in which the Holy Father will invite the faithful of all the world to spe- cial prayers in the coming month of October." 600 SUPPORT BEATTIE Spy In Nazi Party Fears Violence NAZIS IN OSHAWA? TORONTO (CP) -- A private investigator who infiltrated the Canadian Nazi party and col- lected party records and names and addresses of supporters said Friday night he fears an at- tempt will be made on his life or the lives of his wife and three children. John Garrity, 37, has passed on to police and the Canadian Jewish Cohgress'the names of more than 600 Canadians, in- cluding five prominent Toronto businessmen, who. have contrib- uted to the American Nazi party or who have requested in- formation on the party, Mr. Garrity, a former sher- iff's officer for York County, would not name the five busi- nessmen, but said at a press conference that John Beattie of Toronto, self-styled leader of the Canadian party, and the party has the support of 600 per- sons across Canada. . He said most of the support- ers are Germans who came to Canada after the Second World War and most live in Toronto, Montreal, Sault Ste. Marie, Lioydminster, Sask., Sudbury, Hamilton, Stoney Creek, Ont., and Oshawa. Mr. Garrity was hired by the Canadian Jewish Congress to in- filtrate the Canadian party and became Beattie's security chief: He said the Jewish Congress paid him $75 to $200 a month to gather information on the Nazis. A spokesman for. the congress confirmed that Mr. Garrity had been paid that amount. Beattie said he knew all along that Mr. Garrity was an impos- ter, but decided to make use of his legal talents and to get the maximum publicity from him. "At a time like this we have to make use of people who even- tually we would putting on trial,"" said Beattie, 'Our main aim at present/is publicity," The press conference for Mr. Garrity was held by Maclean's magazine prior to publication of his articie. During the year he was spying on Beattie, Mr. Garrity obtained party membership files and the namés of supporters, communi- cations with George Lincoln Rockwell, the U.S. Nazi leader, and financial records which he turned over to the congress, He infiltrated the party when a lawyer representing members of N-3, a militant anti-Nazi Jew- ish group employed him to sub- poena Beattie as a witness at their trial following a disturb- ance in Allan Gardens when Beattie tried to. speak -there. Nam Conflict Marcos also said he is gravely concerned over. the apparent failure of economic reforms in South Viet' Nam. At his press conference, Rusk described Communist China as "a major obstacle to settle- ment" of the war. And he said he had no doubt that '"'a sub- stantial majority" of UN mem- bers would vote against seating the Chinese Communists in place of the Chinese National- ists in the world organization. When he was 'asked to eylu- ate political developments -in- side China; characterized by what the Chinese calls a '"'cul- tural revolution" and a purge of Communist party leaders, Rusk replied: "T suspect what is going on is of some importance, but if I were to be frank with you I would have to say that I don't know what it is." Sidewinder Downs MiG SAIGON (AP) -- U.S. pilots downed. a Communist MiG in one of two dogfighters over North Viet Nam Friday, but two American planes were lost in other action over the north, a U.S. military spokesman said today. knocked out of the sky by a heat-seeking Sidewinder missile in an engagement northeast of Hanoi cans. were outnumbered by four pled MiG bailed out. the two downed American planes brought to 375 the num- ber lost over North Viet Nam. A total of 120 have been shot down in the south. He said 206 helicopters also have been downed in the south and three in the north. force of more than battalion strength opposed two com- panies of U.S. marines today demilitarized zone. TORONTO (CP) -- Premier John Robarts said Friday the provinces could take over 75 per cent of the personal income tax field without damaging the federal government's ability to influence the economy. He told reporters on his re- turn from the federal-provin- cial tax structure committee meeting in Ottawa that the fed- eral government should control the economy even if it held only 25 per cent of the tax field. "Our economists tell us that in the neighborhood of 25 per cent would give complete con- trol of the tax field as an in- strument of fiscal and mone- tary policy," he said. Control was possible because marginal fluctuations in the in- come tax, not the full range of the tax, influenced economic The Soviet - built MiG was in which three Ameri- | :w MiG-17s. The pilot of the crip-|- An air force spokesman said | On the ground, a Communist |: activity. WOULD OPT OUT Finance Minister Sharp's of- fer of 17 per cent additional per- sonal income tax revenue meant only that the federal government was ready to opt out of the shared-cost programs it had started, he said. In his brief to the commit- tee, Mr, Robarts demanded a "considerably greater share of the personal income tax for the provinces'"' but did not specify how much, i However, he said there was no need for the federal govern- meant ta est ane avhitenws Unit Maa\any Wer Swe SRY GR MANESAL LEEAAL Confederation QUEBEC (CP) -- Premier Johnson, back in his provincial capital after attending his first federal - provincial tax confer- ence as Quebec's leader, com- pared his Ottawa experience to) a man's first experience of) marriage. Confederation, for Quebec, is a framework, nothing more, said the Quebec leader. "When the framework be- comes a yoke, it must be changed. That's what we're in the process of doing. "Canada and the constitution of 1867 do not make an absolute equation." Entering the conference, he felt nervous as a man married for the first time would feel nervous, Mr. Johnson told re- porters waiting for him at the airport here. "But when a man relies on logic and good sense, he can't pet la than get along well." Premier Affirms Ottawa Should Control Economy PREMIER ROBARTS --such as 50 per cent--on the provinces' share of the field. The Ottawa meeting got out of hand because it developed into a discussion of 'constitu. tional matters outside taxes, Mr. Robarts said. The discussion started be- cause Quebec Premier Johnson was making his first appear. ance at a . federal - provincial conference and showed "no fe- luetance" to. 'talk about his' po- ah dh ean Lan ET ee Per We Sat me sae S| SSS. | Que. Leader Secks Change In Framework thing and independence is a third. "Certain people bundled all that together, mixed them up and arrived at independence. MONTREAL (CP) -- Th St. |Jean Baptiste, Society is de- lighted at the stand made. by Premier Daniel Johnson at the federal-provincial fiscal. confer- ence. In a statement issued Friday, society president Yvon Groulx said the position taken by Que- bec was "firm, coherent and practical."" The statement added: "A na- tion wishes to be free and de- mands nothing. less than the liberty to exercise, through the state which represents it, all the means of action which are ne cessary to its life. "The means proposed are-- without beating around the bush --in accord with the demands of life." The SJBS was particularly "delighted" with the demands of "One hundred per cent of di- rect taxes is one thing, equality! between two nations is a second complete jurisdiction by Que- bec over income and corporate taxes and succession duties. NEWS HIGHLIGHTS Indonesia Team Will Go To IN JAKARTA (AP)-- Gen. Suharto, leader of Indonesia's new government, said today a ers will be sent to the United in New York. team .on Indonesian observ- Nations session which opens Yemeni Republic Premier Resigns: SAN 'A, Yemen (AP)-- Yemeni President Abdullal Sallal announced today that he has accepted the resigna- tion of Premier Hassan el Amry and will form and lead a new government. Political Crisis Threatens Laos VIENTIANE (Reuters)-- Laos 'was threatened with po- litical crisis today when the National Assembly, the country's legislative body, voted against government bud- get proposals by 27 to 19. THA Hi Civie Workers Union Approves Overtime Goal Pulls Gaels Even Again -- P. 6, Ann Landers -- 10 City News -- 9 Classified -- 16 to 19 Comics -- 14 just three miles south of the | Editorial -- 4: A ..In THE TIMES Today.. Obits -- 19 Church -- 12, 13 Sports -- 6, 7 Theatre -- 15 Weather -- 2 Whitby, Ajax News -- § Women's -- 10, My | Pact -- P. 9, VW. iL A