davidaulloa/AmericanStories huggingface dataset:
Evening star., 1963-01-08

ment in Yemen to keep hands
off Saudi Arabia.
There have been reports of
Nasser-inspired efforts to TO
ment revolt in Saudi Arabia
against the Faisal government.
The President made public
today, at Prince Faisal's re-
quest, a letter he had written
the Prince last October Is as
suring him of full United
States support for the main
tenance of Saudi Arabia's in
tegrity."
White House officials said
the letter. written when Prince
Faisal became Prime Minister,
was released now TO underline
American support for the poll
cies he is trying to carry out
in Saudi Arabia.
u. s. Power Display
At the same time informed
diplomats in London said the
United States plans a display
of sea and air power in the
Red Sea to bolster Saudi Arabia.
This American show of
strength, the Associated Press
said, repeatedly will take the
form of visits by ships and
planes at Saudi ports and air
bases.
But State Department Off
cials in Washington said there
were mo plans Of this sort"
The United States has a sep
arate naval contingent, the
Middle East Naval Force, con-
ducting normal. routine oper-
ations" in the Red Sea between
Alden and the Suez Canal. But
there is nothing exceptional
about it, officials commented.
These ships go back and forth
all the time"
The ships make periodic
stops at the Saudi port Of
Jidda, officials acknowledged.
Evening star., 1963-01-08
First Merger in 2 Years
War Games Slated

BANGKOK, Thailand, Jan.
8 (AP) CO. -ordinated Thai
United States amphibious and
jungle maneuvers will be staged
in Southeastern Thailand start
ing Saturday. the American
Embassy announced.
Evening star., 1963-01-08
NepuI Opens Hospital
Predicts 11-VOte Margin

KATMANDU, Nepal, Jan. 8
(AP).-King Mahendra dedi-
Gated a 50-bed hospital this
week, built with Soviet aid and
staffed with 10 Russian med
ical workers. The Soviet Union
contributed 100000 rupees
(Sl05,000). more than so per
cent Of the cost.
Evening star., 1963-01-08
U. S. Adds 1877
Employees in Month
By the Associated Press

The total of Federal employees
increased 15,l97 in November
compared with the preceding
month, a Senate House COM
mittee reported today.
The Committee on Reduction
Of Nonessential Federal Expen-
ditures said the total was so. .470
higher than in November, 1861.
1t listed the employment total
at 2.498.I79 in November, 1862,
as compared with 2,482,982 in
October.
Evening star., 1963-01-08
President Orders
CSC to Monitor
Job Upgradings
BY JOSEPH YOUNG
Star staff Writer

President Kennedy has ordered the Civil Service
Commission to revoke the job classification authority of
any agencies which give higher grades and salaries to
employees than the job duties responsibilities Justify
In such situations the csc would take over the authority
OF agencies in setting the grade and salary the various
Evening star., 1963-01-08
Kennedy Backs Arobio
In Dispute With Egypt
U. S. Action Seen as Warming
To Nosser to Leuve FuisuI Alone
BY GARNETT d. HORNER
Star Staff Writer

PALM BEACH, Fla, Jan. 8.-Presdent Kennedy acted
today emphasize American support for the
Saudi Arabia headed by Crown Prince Faisal as Prime
Minister.
His action appeared designed especially to
warning to Egyptian President and the govern
Evening star., 1963-01-08

Mr.. Tshombe told the Associated
Press: I'm spite of all the
trouble and bloodshed, am
back" He looked tired, but re-
laxed.
Mr.. Tshombe would not COM
ment on the possibility of ne
gotiation. but said, MY min
listers and I we're very busy in
Kolwezi preparing demolition
of all industries" He then
made a button -bushing ges-
ture.
I'm that case (Congolese
Prime Minister Cyrille) Adoula,
the U. NJ. or we will have lost
everything" Mr.. Tshombe said.
Diplomatic sources here said
the United Nations still had no
intention of negotiating with
Mr.. Tshombe.
Depends on Charity
Union Miniere, the big min
ing combine in Katanga, said
today the Katangan gendar-
merle had placed explosive
charges at two vital installa-
tions-a dam and power station
in Kolwezi.
In a statement issued at the
U. N. in New York and in Brus-
sells. the company appealed to
AL responsible parties" to CO.
Operate in measures to prevent
damage to the installations,
which it said would result in
human and economic tragedy
Ito the entire Congo"
The usually immaculate
Tshombe wore a crumpled suit
he said he had worn the last
10 days. "They have taken
everything from me-" he COM
planned. Il now depend on the
charity OF my people"
Promised Safety
Promised security so long as
he did not create trouble, Mr..
Tshombe drove to Elisabeth
vile from a North Rhodesian
airfield opposite Kipushi, a
Katangan town is miles west
of Elisabethville.
He had flown to Kipushi
from his emergency headquar-
ters at Kolwezi. $50 miles
northwest of Elisabethville.
Mr.. Tshombe was escorted by
the Belgian Consul to the resi-
dence of the Katangan police
commissioner.
AS the U. N. continued its
forced refrigeration of Katanga
into the Congo, news reached
Leopoldville of serious fighting
in neighboring Kasai where
tribal fighting is almost chronic.
Well-informed sources said
fighting there has already
claimed the lives Of nearly 400
See CONGO, Page Al
Evening star., 1963-01-08
Brazil 10 Get
0O-DayLoan
u. S. Eurmurks
$50 Million Aid
BY GEORGE SHERMAl
Star staff Writer

The Kennedy administration
has moved to save Brazil from
imminent bankruptcy with an
emergency $50 million short
term loan.
The Treasury loan, hurriedly
announced last night at the
State Department, is to finance
essential imports into Brazil
during the first three months
of this year. AT the end of 90
days, it is repayable in dollars.
United States officials here
admit that both the magnitude
and short duration Of the loan
are extraordinary for aid opera
tions. The loan, they say, is
dramatic demonstration of how
serious the financial situation
in Brazil has become.
Growth Rate Drops
For the past year. initiation
there has been running at an
unparalleled rate. The nation
now owes an estimated $2.7 bill
lion to foreign creditors, of
which somewhere around $500
million falls due this year.
Private foreign investment in
Brazil has also fallen from a
high 500 million annual rate
to Just over $40 million last
year. The phenomenal annual
growth rate of past years-7.5
per cent, the highest in Latin
America is expected to fall
we'll below 6 per cent for last
year.
At his last press conference,
See BRAZIL, Page A-4
Evening star., 1963-01-08

positions in an agency. Under
the present setup, agencies set
the grades and salaries of its
employees, subject to csc post
audits. The directive was con-
tained in the executive order in
which the President yesterday
embodied the provisions of last
years Federal pay reform law.
While the commission always
has had nominal authority to-
Text Of Poy Order. Poee AZ
Evening star., 1963-01-08

r. ANS@SNSN va aAAAPA NpoANN NASbOA y
on a showdown vote when
Congress convenes tomorrow.
BY voice vote and without de-
bate the closed meeting of the
--~-~-------
Senute May Deloy Fight on Anti
Filibuster Rules. Poee A.
----~~----~~-
258 Democratic members sup
ported a leadership resolution
for permanent enlargement OF
the committee to IS members,
This resolution will be intro
duced in the House soon after
Congress meets at noon tomor-
row. If adopted, it would pre-
vent the committee from re-
verting to IL members. On
January 81. 1861, a 217-212 roll
call vote temporarily expanded
it to Is.
Predicts 11-VOte Margin
The lack of vocal opposition
to the resolution in the Demo-
cratic caucus did not mean
that it was sure of House adop-
ton tomorrow, although Repre-
sentative Walter. Democrat of
Pennsylvania, predicted that
the resolution will be adopted
by an 11-vote margin. Mr..
Walter was chairman of the
caucus today and also is chair
man of the House Democratic
Patronage Committee.
Rules Committee Chairman
Smith, Democrat Of Virginia.
leader of Southern conserva-
tives opposing committee ex-
pansion, told reporters later
that there very definitely will
be a House roll call" on the
issue.
He said he and many other
opponents decided not to con-
test the matter in the caucus
because they knew they would
be outvoted.
every Optimistic"
Speaker Mccormack left the
Democratic caucus with a COM
ment that he now was very
optimistic" about winning to-
morrow. He recalled that yes
terday he had stated only that
he was optimistic"
Majority Leader Albert, who
also said he was optimistic
added that the Democratic
leadership might not need any
Republican votes TO adopt the
committee-enlargement move.
The caucus lasted more thar
an hour and a half but re-
portedly was harmonious on
the surface. Mr.. Smiths only
speech was ta introduce q new
member from Virginia.
Liberal Democrats also did
not press a previously an
nounced proposal to trim the
power of the Rules COMMITTEES
to block bills from going to
the House floor or to Senate
House conference committees
The 176 Republicans at a sim.
liar closed conference this aft.
ernoon we're to be advised by
Minority Leader Halleck to op.
pose what he described as the
completely unnecessary anC
unwise packing" of the CON-
mittee.
He declared after a leader
ship policy meeting late yes
terday that Il believe we are
going to win and 1t will be q
See HOUSE, Page A
Evening star., 1963-01-08
BOardsIndorse
Riggs Merger
Bank of Commerce
In Consolidation
BY DONALD B. HADLEY
Star Financial Editor


Directors of Riggs National
Bank and the Bank of Com
merce yesterday approved a
plan for consolidation of the
two institutions under the
formers name through an ex-
change of stock.
Under the plan, which must
be approved by stockholders of
both banks, the Comptroller of
the Currency and other Federal
authorities, stockholders of the
Bank Of Commerce would re-
ceive five shares of Riggs Ma
tional for each of their present
shares.
The action taken at special
meetings of the two boards was
announced jointly today by
Robert v. Fleming, board chair
man of Riggs, and Thomas j.
Groom, president Of the Bank
Of Commerce.
S647 Million Assets
The merger would combine
assets which totaled $647, ,069,-
SAG on the bank condition call
of December %, 1862. For that
date, Riggs had $599,174,563 of
assets and the Bank of Com
merce had $48,894, ,986.
Deposits of the two institu-
tions totaled $500, ,931, ,666, in
cluding $552,695,475 of Riggs
and $44,236,191 of Commerce.
Loans aggregated 1929, ,697. .055,
including $302, ,345, 1859 and ST.
350,696, respectively. Capital
funds totaled SAG, $40, ,095, in
cluding $43,091 ,665 and $3,548,- :
430.
Four offices Of the Bank of
Commerce would increase the
number of Riggs offices to 18
from the present IA. Riggs also
has a facility at Walter Reed
Hospital.
The five-for-one exchange
terms are regarded in the finan-
cial district as very favorable
for holders of the Bank of Com
merce.
For each Of their present
shares, quoted at $470 bid on
the Washington Branch of the
Philadelphia Baltimore WASH
ington Stock Exchange, they
would receive five shares of
Riggs, which are valued at
$S05 to 1925. The Riggs shares
have been quoted on the ex-
change at S161 a share bid and
Sl65 asked.
First Merger in 2 Years
Both banks will call special
stockholders meeting at dates
to be announced shortly.
Riggs stockholders received
news Of the consolidation plans
at their annual meeting in the
main office this morning. Hold
ers Of the Bank of Commerce
See MERGER, Page A
Evening star., 1963-01-08
Annual Report

The CSC and Budget Bureau
will receive and consider the
views of the various Govern
ment and postal employe
unions regarding salary adjust
mentS.
Based on all these factors,
the csc and the Budget Bu-
reau will make an annual re-
port and recommendations on
pay adjustments to the Presi-
dent not later than December
81 Of each year.
The views and proposals of
the Government and postal en-
ploye unions will be sent to the
President along with the csc
and Budget Bureau recommen-
dations.
Thus, Government and
See PAY. Page Az
Evening star., 1963-01-08

Tshombe Credited with Efforts to
Avert U. N. Clash. Pose AS
Evening star., 1963-01-08

crack down on offending agen-
cies. President Kennedy's direc-
tive in the executive order
gives it a force and power it
never had before in such up
grading" situations.
Evening star., 1963-01-08
Tshombe in E|isabethvi||e
Threatens Demo|itions
Preparation
Made While
In KoIwezi

ELIsABETHvILLE, Katanga,
Jan. 8 (AP).-President Noise
Tshombe returned to his palace
here today and said: Il have
come back to see my people,
who have suffered, and to share
their suffering and danger"
Surrounded by a few Of his
ministers and civil servants,
Evening star., 1963-01-08
Strong For Concept

Al AAAo NASNNbAFC ANOA oA'N
accompanying letter to Gov
ernment agencies, Mr.. Kennedy
made it plain that he stands
strongly behind the pay COM
parability concept of the new
pay law. Under this concept,
Government and postal salaries
are to achieve parity with in
dustry pay.
Mr.. Kennedy said his ad-
ministration vigorously" e S.
pouses the principle of COM
parability. And he noted that
while substantial progress"
was made in last years pay in
crease, continuing efforts will
be necessary to fully achieve
and maintain this (compara-
bility) objective" The Presi-
dent soon will send proposals
to Congress for further Gov
ernment and postal pay adjust
ments
Mr.. Kennedy's executive or
der sets up provisions for the
annual pay review of Federal
and postal salaries.
Under the provision, the
Budget Bureau and the Civil
Service Commission will make
an anual review of the COM
parability of Federal pay scales
with private industry, based on
Bureau of Labor Statistics fig
ures.
Evening star., 1963-01-08
House Rules
Change Given
Strong Support
Walter Predicts
n-Vote Victory
To Expand Group
By ROBERT X. WALSH
Star staff Writer

A House Democratic caucus
voiced such strong support
for a 15-member Rules Com
mittee today that leaders
predicted an impressive victory
on a showdown vote when
Congress convenes tomorrow.
BY voice vote and without de-
bate the closed meeting of the
Evening star., 1963-01-08

District and Manufacturing tonight
with low near 30. Fair and a little
warmer tomorrow High, S9, at Q pm.
today; low 30, at las am. today.
Full Report on Pose B-4
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-03

surplus agricultural goods. Israel,
Arab nations, Indonesia, Pakistan,
India, Cambodia, Thailand, even
some South American nations may
have an interest in this provision.
Other amendments would put
upon the President special respon-
sibilities for scrutinizing aid to
Indonesia. or to India for the Be-
karo steel mill. India has subse-
quently withdrawn its request for
consideration Of aid to build the
Bokaro plant.
House members who will parti-
cipate in the conference with Sem
ators to compose their varying ver-
sions Of the first-phase foreign
aid authorization bill can be ex-
pected to be hard bargainers in
making many Of these restrictive
policy guidelines into law the Pres
ident must observe.
While some will have more eff
feet in future years than at pres
ent. the cumulative result almost
certainly will be a further curtail-
ment of United States foreign-aid
spending, not only when consider
ed as a percentage Of the gross ma
tional product but in absolute dol
lars.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-03

President Kennedy can pay out
foreign-aid money, even If he has
congressional appropriations in
his pocket.
If both methods - cuts In ap-
preparations and restrictive policy
guidance = are allowed to stand,
the President may find himself
in q tighter straitjacket than any
predecessor In administering the
foreign aid program.
Before examining the restric-
tons in policy ordered by the
House bill, a review Of the money
side Of foreign aid for fiscal year
1864 Is in order. CThe Agency for
International Development is al
ready four months into fiscal
1864 without knowing what money
it will wind up with when the
fiscal year ends June 30, 1964)
President Kennedy originally re-
quested $4.945 billion last January.
After the review by Gen. Lucius
Clay's advisory committee, the
President cut the program volun-
tarily to $4.525 billion.
The House Foreign Affairs COM
mittee, first hurdle in Congress,
cut it to $4.087 billion. and sent it
to the full House.
The House slashed another $585
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-03

the United States to protect in
vestors against risks Of inconverti-
bility Of currencies, appropriation
or confiscation.
PROTECTION FOR UNITED
STATES INDUSTRIES IN THE
WORLD MARKET - The House
bill provides that no assistance
shall be given to any country for
construction or operation of pro-
ductive enterprise unless the Pres
ident rules that similar United
States productive enterprises are
operating at q substantial proper
ton Of their capacity and that the
proposed aid win not deprive Unit
ed States enterprises of their rea-
sonable share in the world market.
The President is also directed to
report periodically to the House
and Senate on aid for productive
enterprises In all nations.
EARNARKNG AID FOR PRI-
VATE ENTERPRISE - At least
so per cent of development loans
and Alliance for Progress loans to
Latin American nations for fiscal
years 1865 and 1866 would be re-
quired to be made for economic de-
velopment through private enter
prise.
AID TO CUBA - Any country
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-03
Foreign Aid Bill Has Picked Up Some Changes on the Hill

million from the authorization
bill, reducing it to $500 billion -
more than O billion dollars below
the Presidents reduced request.
The Senate Foreign Relations
Committee, starting afresh with q
new Administration bill, reported
out to the full Senate q bill au-
thorizing q ceiling Of $40 billion.
In Congress there were predic-
lions that the final authorization
figure or ceiling, after the House.
Senate conference, would be be-
tween $3.6 billion and $50 billion.
This would be 81 billion to SIS bill
lion below the Presidents original
budget request.
But the policy changes which
the full House has already ap-
proved could cause further cuts.
perhaps not as large in total dol
lars but vital in the judgment Of
foreign aid administrators. Here
are some Of the principal policy
changes voted by the House:
LONG RANGE DEVELOP.
MENT = The 1868 act provided
that aid should" emphasize long
range development as the primary
instrument Of growth. The 1854
bill changes should" to shall"
The policy section cautions that
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-03

"every possible precaution" should
be taken TO prevent use Of econom-
ic development aid for short-term
emergency purposes or others not
related to long-range development.
This win hamper the Presidents
ability to react to unexpected
emergencies with foreign aid
funds.
PRIVATE ENTERPRISE PAR
TICPATION - The 1864 House
bill provides the President should
consider, before making develop
ment loans, whether financing can
be obtained from private sources
within the United States at
reasonable interest rates not lower
than two per cent. The President
also would be required to find that
nations TO be provided aid were
paying appropriate attention to
development Of their own private
enterprise. He would also be d.
rected to take appropriate steps"
to discourage naturalization and
appropriation Of private invest
ment and similar measures which
discourage private investment.
Perhaps most important, the
President would be required to
bar any assistance after 1854 to
any less developed country which
failed to sign an agreement with
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-03
BY EARL II. VOSS
Star staff Writer

Congress Is now approaching the
halfway mark In its annual gesta-
tion Of q foreign aid program,
which gets more painful and pro-
longed each year.
Diverging House and Senate au-
thorization bills, which set q CELL
ing on foreign aid spending, are
nearing the conference stage. Even
the more generous Senate wants
to cut President Kennedy's rock
bottom request severely.
Once q single authorization law
has been passed Congress viii be-
gin work on the actual appropria-
ton Of funds, the second phase of
putting price tags on individual
programs.
But President Kennedy goes into
the second phase this year with
much more difficult battle ahead.
This year Congress, the House
especially, has designed q second,
indirect method of reducing the
United States foreign aid commit
ment.
The new restrictive measure is
policy guidance, in which Congress
has become much more specific
about the conditions under which
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-03

failing to prohibit ships or planes
under its registry from carrying
any goods or commodities either to
or from Premier Castro's Cuba
would be denied all economic and
military assistance within so days
Of enactment of the House bill.
Norway, Greece, Britain, and Italy
might be seriously affected by this
provision. Except as deemed nee
essary by the President in the in
terest of the United States" the
House bill says. neither aid nor
sugar quota shall be restored to
any government Of Cuba until
the President Is satisfied the gov
eminent has. according to interna-
tional law standards, returned to
United States citizens and other
entities half the properties con-
fiscated by Castro or unless the
new Cuban government has pro-
vided equitable compensation for
the confiscated American proper
ties.
AGGRESSORS - No aid or
surplus agricultural products shall
be provided 10 any nation the
President decides is engaging in or
preparing for aggressive military
moves against the United States or
any recipient Of American aid or
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-03

sleeplessness. It was thought best
that he be temporarily relieved Of
his responsibilities while Father
Charles Mullaly, his devoted as
sistant, would supervise the i'm
portant construction work.
During the following nine
months Of the presidents absence
a series Of letters sent to him by
Mullaly provides a running COM
mentary on the progress Of the
building.
BY mid-December, 1873, the
north wing Is nearly finished and
the center tower is on a level with
the outer walls. At about the
same time q crazed workman
died in q sixty-foot leap from a
top story. Twice previously he
had attempted suicide, once by
cutting his throat and once by
beating himself on the head with
q hammer.
An undated communication an
nounces q serious crisis. Father
Mullaly has been forced to dis
charge all the twenty-four stone
cutters because he cannot pay
their salaries. He has been Dor
rowing right and left, and must
borrow again to meet the notes
coming due. Can Father Healy
secure some donations2 They are
desperately needed.
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-03

the President will want more ex-
posture, for himself, for his pro-
grams, for democratic candidates,
especially in States with large
electoral votes.
Already in almost every speech
Mr.. Kennedy stakes out claims
which he says or implies could
happen only under the Demo-
Gratis.
And during his Western nature
tour, through hostile territory
that went to Richard M. Nixon
in 1860, Mr.. Kennedy usually was
introduced by Democratic Sena-
tors up for reelection. This may
not sway q vote, but it's supposed
to put renewed zip into the party
Evening star. [volume] (Washington, D.C.) 1854-1972, 1963-11-03

in a major city or a small town,
no matter whether he comes by
helicopter, Jet liner or limousine,
Presidents arrival is always i'm
preSSive.
A huge effort has gone into
making certain this moment goes
off without hitch.
Long before the trip Is an
nounced, the White House staff
and party leaders size up hundreds
of requests for presidential time.
The precise spot to which he
finally goes, and why, often be-
muses. the outsider. Yet the gen.
eral pattern Is clear enough for
a few observations.
As the election creeps nearer