~ treubling

—onelary poney

If It's Good

For The Island

| The Guardian Is For It 4

VOL. LXXIX NO. 229

Suthorized as Second Class Mall by the Pest Office |.

Ottawa and ter

ECONOMIST GIVES VIEWS - Rising Prices Seen Inviting Fresh Devaluation Of Dollar

OTTAWA ‘(CP)—Canada is in- viting another devaluation of its dollar: «because... of. its rising prices. the Senate - Commons committee on living costs was told Thursday ‘ .

Economist Edward Neufeld described devaluation and high unemployment as the bleak ai- ternatives if Canada fails to ‘keep its prices in line with those of the United States

The University professor blamed overspending fer the inflationary problems Canada since 1963

But he said these problems have been. licked in the last seven or-eight-months,-to-be--re- placed by: a. new inflationary danger. in the form of big wage increases

Prof

af Toronto

Neufeld, an_ expert in’

and the “action

of capital markets, was the mac

ond expert witness before the | ‘special inquiry established by Parliament.

WANTS ‘GUIDELINES He ticked off Conservative

and Liberal governments for er- |

rors in the last five years and put.a high priority on U.S.-style

wage and price guidelines for |

Canada.

He said import prices have an important effect on the over-all | structure of prices for goods} and services in™ Canata, in-

in the -face of world-wide

eventual slowdown ip economic

growth—‘‘considerable ‘slack or unemployment _in et h e econ: | OMY Swan er

payment eof postage |

-

At the same time, to allow

Canada’s prices to rise _per- sistently faster. than world prices or those of the U.S.

would eventually lead to “flight |

of -eapital, loss of reserves, in- creased trade deficit, further | loss of reserves, exchange rate | devaluation.”

Prof. Neufeld said Canadian and U.S. wholesale prices stand |

lin about the same relationship |

\now as they did in 1963. SEES. NEW PRESSURE

But- a welcome: slackening—in-+ To stabilize Canadian. prices |demand pressures exerted by | the creases—in— prices .would- require.|last.seven or eight months could ' harsh measures resulting in an |quickly be offset by a new push | = prices exercised through re- |

consumers and business in

cent wage settlements. Prof. Neufeld’s solution was a _+Continued- on -page-3,-col, -3)-

Increased Costs Eat Into

Armed Forces Pay Boos

By DAVE McINTOSH OTTAWA ‘CP? A 13.8-per- cent pay increase for the 105,- 000 member armed forces

‘ spread over two years was an-

nounced Thursday by Defence -Minister Hellyer.

But men living in barracks will be charged $65 to $105 a month: for room and board and rents for married quarters will he raised by as much as $15 a month. The rents now run about $80 to $125 a month.

_ Effective Saturday,

GM Canadian

pay will

Increasing By Average $43

OSHAWA (CP)—Ge Mo- tors of Canada Ltd. Thursday announced an average price in-

i. crease.of $43 .on its 1967 passen-

ger cars but. narrowed the U.S.- Canada price gap to from $5 on some models. to $101 on others. ' A ‘GM spokesman said the company. had been able to nar- row the price differential through a “tremendous effort”

“to make the U.S-Canada auto

trade pact work.

The spokesman said .that to bring Canada the beneficial ef- fects of the trade agreement is -@ slow process “because of the necessity of realigning the means and methods long estab- lished in the Canadian auto ‘in- dustry.”

Progress will continue to be gradual, he said.

The company said in a state- ment the Canadian ~ price in- ereases result from inclusion of standard features that were op- tional extras on 1966 models; wew safety features such as im-

be increased by 9.8 per cent and effective Oct. 1, 1967, by another four per -cent

This will add $48,000,000 to the armed forces pay bill of $530,000,000 in the current fiscal, year and $85,300,000 in the next fiscal year starting April 1, 1967.

Mr. Hellyer said he doesn't know vet whether he will need a supplementary. appropriation from Parliament on top of his current $1,572,000,000 defence budget to cover the pay raise.

The minister said the small-

Model Prices

pact

absorbing steering col-

umns, dual master brake - cylin- |

ders, latches that secure folding seat hacks and safety ‘door locks: and the higher cost of materials imported -from_ the US

Comparative’ U.S. - Canada prices on three popular models, with 1966 prices in brackets:

Biscayne four-door sedan: $2,646 Canadian, $2,497 US.

($2,599-$2,444) ;

Malibu four - door sedan:

$2.588-$2,320 . ($2.547-$2.373), Oldsmobile Delta: $3,767- $3,472 ($3,810-$3,414).

Volkswagen Canada Ltd. Thursday announced it will not increase prices on 1967.< models “despite 26 major'~ improve- ments and additions.”

Ford of Canada and Chrysler of Canada Ltd. have still to an- nounce 1967 prices. Their U.S. parents recently rolled back their 1967 prices to bring them into line with smaller increases announced by GM.

est ‘increase is $10 a month and that it applies. to ‘‘very few’’—~ informants said 250 to 300—pri-

Mavy and air force.

TOP RAISE $3,000 The biggest annual increase in dollars—$3,000 — over two years. goes to- lieutenanl-gener- als, air marshals and_ vice-ad- mirals. Their maximum pay will be $26,004 at Oct. 1, 1967. The biggest. percentage in- crease, however, goes to army. captains, naval lieutenants and air force flight lieutenants. Their increase is about 25% per cent, raising their

from $8,376 now.

There_are. 33,000 privates, sea- mien and _aircraftmen=in— the jarmed forces. Their maximum pay increase is to $5,220 a year from. $4,896 or 6.6 per cent.

However, some - 14,000 ‘men will be promoted to corporal or equivalent and the pay increase in that rank will be to_$6,228 from $5,148, or about 20 per cent.

It is chiefly privates who live in barracks and who, for the first time, will have=to pay for room and board at the rate of $65 a month.

RESERVES NOT INCLUDED

The 30,000 members of the re- serve forces are not included in the pay increase. Mr. Hellyer said reserve pay arrangements are being reviewed separately.

The brochure also gave the new trade structure in the armed: forces, breaking the ‘111 trades into seven pay classifica- tions. :

Mr. Hellyer said “marriage and subsistence allowances are |being eliminated and _incorpor- | (Continued on page 3, col. 3)

2 German War Criminals

lers Ltd. a: 55-cents-aii-hour- wage

Will Leave Prison Tonight

By HUBERT J. ERB sf (AP)—The men who ©

: “lhe \F

BERLIN

led German youth ‘for Hitler | and kept the Nazi war. ma- chine running are to be set free tonight. °

With their 20-year sentences

for war crimes completed, Bal- dur von Schirach and Albert | Speer are to be released from Spandau prison at midnight.

..When the steel door

slams |

shut- -behind them the only pris- |} :

oner remaining in the fortress-|

like prison will~he Hitler's one- | a

time

deputy — fuefi¥er,. Hess,

Rudolf | 72, serving a

vates or their equivalents in thee

maximum .|pay to $10,524-Oct. 1 next year

: cials

life Sen- |

tence. ; The ‘British foreign office is urging the Soviet Union to an-| swer an Amertcan British- | French request to moye Hess into a less-eostly jail. Spandau costs about $100,000 a year to run. This cost is borne by the: West German. government as war reparations but .the four Second World War victors share |

re-evaluate job loads, $500,000 fund tsions of workers already retired,

ype 4 yas

ur

»

we! Tdward Island Like The Dew”

'N, CANADA, FRIDAY, SEPTEMBER 30, 1966.

_MOrmge® TEN CENTS

WEA

2

Rain beginning after dawn, showers by evening; winds’ southeast 20. Low-high 42 and-58. Saturday: mostly mihng,

THER:

18 PAGE

®

‘Move In Viet Nam

Tignish Fisherman Drowned:

TIGNISH — A Tignish fisher- “Tan; 28, was drowned yesterday after- noon while fishing lobsters off

North. Cape. It is euieeateed that Gaudette

and his helper, Charles Harper, |~

were- running their last’ bunch

_|-of traps when Gaudette became

tangled in the line and was thrown overboard, The boat's motor was then stopped and by. the time it was started up again it was too late to be of assis- tance.”

The hody was _ recovered shortly before 10 o'clock last night: by scuba divers John Greer, Alberton detachment of the RCMP, Koy Ramsay, Sum- merside and Bobby Bruvells,

tinued after darkness set in by the use of underwater lights. -

Earlier unsuccessful dragging operations were carried out by fishery patrol vessels and other “fishing boats accompanied by members of Alberton detach- rment of the RCMP.

This brings to three the num- ber of drownings in Tignish this

ed on the opening day of the spring lobster season and_ his body has not been recovered. A St. Felix farmer, Walter

Christopher, was drowned ~on August 10 wie swimming near Kil i a> x Mrs. ree ‘Gaudette, also of Tignish. Mr. Gaudette is surviv- ed by his wife, the former Mar- ion Keough of. Tignish and six children: Roger 9, Floyd 8, Don- na 7, Lynn 5, Michael 3. and Rodney four months. Also sur- | viving are the following brothers and sisters: Vernon, Wilbert, Claude and Edward, Tignish; Mrs. William Byson (Anne) Tor- onto: Mrs. David Ryan (Vera) | Halifax: Bernice also in Hali- | fax; Mrs. Edward Hamilton (Norma) in New Brunswick; Lorraine at home and Eva i Alberton.

Packinghouse

Settlement Cutlined

TORONTO (CP)—Union offt- ‘Thursday night outlined iterms of a proposed three-year | leontract that would give strik- | jing employées of Canada Pack- |

increase plus other benefits.

The agreement, reached Tues- {,authorities reported a death toll |

day by negotiators for the com- pany and the United Packing- house Workers of America, covers employees in Toronto, | Montreal, Charlottetown, Hull, | St. Boniface, Man., . Lethbridge, Calgary, Edmonton and Vancou- | ver who went on strike July 20. | Details were presented to Tor- || onto - area workers Thursday | night. Meetings were scheduled | to’ be held in other centres to-| day. | If the mémbership approves | the. agreement jin a weekend | vote the company expects to pe back in production Monday: | 25-CENT RAISE | The contract provides a 25. | cent-an-hour increase the first! yew#:, retroactive to April 1 when | the previots contract expired. | This will mean an increase to | $2.3712 from. the previous. $2.12! | hourly wage for laborers. The second and third-year in-|

creases are 20 and 10 cents an'| hour respectively.

create a

to ‘increase pen-

~Ray~-Brendon~-Gaudette,;;~

O'Leary. The search was con- |} -

year. Howard Gavin was drown-—

of _Kingsmeres qujper and} meau estate of the

from Thursday

planning; inciting and carrying out aggressive war.

Von ee who after serv- ‘mg as Hitler youth leader in the "30s was gauleiter (district

war crimes and crimes against |fit in prison through work in alafter a white ‘policeman humanity.

\spacious prison garden where

the cpsi_of rotating monthly | . ee and wdd_$4.50 a month for each oo The 19th century mili-, AT EXACTLY midnight to- - found guilty of complicity in |year of service to the existing |

ary prison was built to hold 660: day, Berlin time, these men the death of 60,000 Austrian pension plan. . ~~

prisoners will be released from Span- Jews and of providing slave “ ee ee Seven. German leaders es- dau prison after serving 20- Jabor for the war effort. And. ~“<

caped the death penalty at the year sentences for war Albert Speer, now 61, the for- San Francisco

: oF im che war crimes trials’ crimes. They won't look much mer Nazi armaments minister M P

l where 22 top Nazis were | like these long-ago pictures: who was found guilty of war

tried and 12 sentenced: to death. To. be released are Baldur crimes and crimes against aintains eace

Four, of-those imprisoned were von Schirach, 59, LEFT, Hit-» humanity. They, were convict- | SAN FRANCISCO (AP)! — | @

released earlier for health rea- ler Youth leader. in the 30s ed at. the Nuernberg war |Rifle-armed California national

sons or after: serving their and during the .war district crimes trials in 1946. guardsmen, under orders to)

terms 36) leader of Vienna. ‘He was (AP Wirephoto) |Shoot to kill if attacked, kept an

rn -e ,juneasy peace Thursday in the

PLOTTED AGAINST PEACE slave labor for the German war |vorced him while he.was in {city’s riot-torn Negro areas. Hess was convicted for plot- effort. |prison. A heat wave, in which the vio-

ting against the peace and for Speer was found guilty of| Speer, 61, has kept himself |lenc® first exploded Tuesday

shot and killed a Negro youth, per-

He was Hitler's wartime arm. \von Schirach and Hess also did |sisted through its. third searing

jaments minister.

Von Schirach, who lost the

ltheir walking and exercise. He

will return to his profession as

leader) of Vienna during the |sight of one eye in prison, is 59. lan architect and will live with

war, was found qauilty of com-|He is expected 50,000 | Munich,

plicity in the

Jews

death of of... providing

fo live near

West Germany,

his wife in Heidelberg, West

and |Germany. They have six~ chil- ders, lwrite’ ie memoirs, His wife dren.

x

day. Negro unemployment, which Mayor John~-F. Shalley called

ithe ¢hief reason for the’ disor- | drew quick ‘official atten-/ im Washington

4

- Speakers ~ from me wealth countries toured

late prime minister MacKenzie

-King north of Ottawa during a rsday afternoan break in a

speakers’ . called by: Commons Spe ien La- moureux of Canada. Pausing

“ISLANDER TOURS KINGSMERE RUINS —

are (LEFT TO RIGHT) Nacen- ora Patel of Uganda, Frank’

of. PrinceEdward Is: land and Punch Coomaras- wamy from Singapore.

Inez Hits Dominican Republic ‘And Haiti: Cuba Next In Line

SANTO DOMINGO (AP)—Kil- the confirmed death toll from cated 100 miles east of Bar-

|

jler hurricane Inez struck the Dominican - Republic and neigh- | time Haiti. with roof-lifting and. reports from the Haitian coastal town of Jacmel said there were many | deaths from a flood tide! whipped up by -the storm. Thousands were reported homeless -in Haiti as the hurri- | ‘eane tore roofs of buildings in| ‘Port’ au Prince, the capital. The hurricane centre in Mi- ami, Fla., said there. is only a | | slight chance that the storm will |

reach the U.S.~ mainland. In the..Dominican Republic, | storms were brewing in the At- Prince

lof six, revising an earlier total | of nine. A spokesman for the jarmed forces ministry said the |

| report of a drowning of three | well-defined centre and strong| The. leaflets,

Inez to 29 before it struck Haiti. As the storm moved west-| jward to Haiti, torrential rains | jand winds up te 75 miles a hour were reportéd to have hit | ‘Port au. Priwce. The town of | \Jacmel, where ‘the flood tide |was reported, is 24 miles wate! |west of the capital and in 1950! thad-a population of 8,500.

A large number of ram-/| shackle homes were reported | junroofed or destroyed in Haiti. |

As Inez, bearing 160-mile-an- hour centre winds, churned |westward, two other tropical,

lantic.

Reconnaissance aircraft said | tropical storm Judith was still) jin a formative stage with no)

|Beties and 650 miles soiitheast ie San Juan, Puerto Rico.

For Views

i ‘By ALEXANDER FARRELL UNITED NATIONS (CP)—AIl- ra on the battlefield. jthough pleas continued to be

heard for United Nations action in Viet Nam, Communist China warned. indirectly Thursday that any UN move would fail and~ cause ~the~ world - organiza- tion a loss of prestige.

.Albania, commonly regarded as Peking’s spokesman at. the United Nations, said North Viet Nam has rejected UN_interven- tion and indicated Peking thinks the UN .has no business in Viet Nam. ‘

“It is obvious the United Na-

‘jtions would have no right to in- | ‘|tervene,’’

Albanian Foreign Minister. Nesti Nase _ told-. the General Assembly. “‘It-would- be contrary to the legitimate right” to freedom and self-determina- tion of the people of Viet Nam.” Nase .repeated Peking's posi- tion that U.S. forces must with- draw unconditionally from Viet Nam. ;

escalating the war in the hope of persuading North Viet Nam to accept the” fantasy of peace negotiations."’ In this way, the United States hoped to win: at

_ He said ‘“‘the United States ts |

Is Rejected By Chinese

Albania Is Spokesman

Of Peking.

Ithe ‘puncte table, what tt ecouldn’¢

OFFERS TROOPS -

Foreign Minister Per Hack. kerup of Denmark called ~ for the withdrawal of all foreign troops from Viet Nam and said this withdrawal must be con- trolled ‘‘by some ‘kind of inter- national presence,”’ preferably the United Nations. He offered a Danish. contribution of: pom. equipment and money “any UN force in Viet Nam.

The General Assembly also:

—Passed a resolution, 84 to 2, :

with 19 abstentions, warning

South Africa not to violate the

sovereignty of the neighboring

states of Bechuanaland, which

“hecomes independent Bot-~

swana today, and Basutoland,

which becomes — independent

Lesotho Oct. 4.

Heard Vice-President Jos-

eph Murumbi of Kenya crit!

cize Australia for. putting up

a candidate for a vacancy

on the International Court of

Justice, and praise Canada

and the Scandinavian coun-

tries for, their aid programs to developing countries. eee on page 3 col. ®

OTTAWA (CP)

ev ‘ sured Commonwealth colleagues Thursday that sanctions against Rhodesia are “beginning to bite.”

In a speech to the Common- wealth Parliamentary Associa-

jtion, he made no predictions on

when the pressure would bring down -Ian Smith’s white suprem- acist government.

But he said he wanted the re- gime destroyed ‘‘as fervently as anyone else in this assembly to- day,” and he was confident the means lay in economic sanc- tions.

__ Use of ogee would carry the

= Arthur]

ee Mr. Bottomley spoke att“

Sanctions Against Rhodesia _ Claimed Beginning To Bite

‘am i of ereating another a

Mei delegate, a. Nyamubi, had said a rs ne the Smith government was ee ing supported by pris

government.

DEMANDS BRITISH ACTION He demanded that Britain tive up to. her problems and crush Smith.

Britain also came under at tack from a Guyanese delegate, Reepu Daman. Persaud, who suggested that Britain had failed to act in Rhodesia be- cause ‘‘a white dog never bites a white dog.” 3

Shooting Incident And Leailets Mar Philip's Argentine Visit

|

BUENOS AIRES (AP)— Philip was showered |with anti-British leaflets Thurs- jday after a shooting incident. land a plane hi-jacking- had pave his visit to Argentina. “calling for re-

persons in Barahona turned out | |winds only in the eastern sem!- turn of the disputed Falkland

to be erroneous.

This brought | circle. At last report, it was lo- | (Malvinas)

The company: also agreed to) | :

Supt. G.W. Mortimer, 48, of Edmonton and Regina, has been appointed commianding officer’ of the new RCMP

| school at Penhold, Alta., lo

\

HEADS NEW RCMP SCHOOL

cated on the base vacated by the RCAF. Supt. Mortimer was administration officer of the RCMP's bie er force CP Wirephote)

Islands to Argen- | itina, apparently ‘were thrown | by ° workers at a big electric plant - Philip visited in the | | morning.

The leaflets called on. the |British to recognize Argentine | sovereignty over the two tiny. ‘islands iwhere Argentine extremists landed. a hijacked plane Wed-

in the South Atlantic, |

tions here “triggered by the raid on the Falklands. A few hund- red persons, mostly students, |paraded in downtown streets and burned paper Union Jacks before police dispersed’ them Wednesday night»..A-- dozen lyoungsters forced their way -into ithe British Consulate at Rosario at gunpoint and ransacked the offices, destroying files and the Union Jack on a pole outside ithe building. Five young stu- dents were arrested at Rosario, ‘Argentina's second largest city, :200 miles north of here.

Philip arrived Monday for a ithree-week. unofficial visit to at- tend the world horse-jumping

‘nesday in‘ a’ gesture of supportchampionships here.

for the anti-British Falklands | jcampaign. Philip picked up one |

Argentine President Juan!

Carlos Ongania announced Thursday the hijackers will ge on trial. A presidential com- munique said that while the government reasserts Argentine claims over the disputed Falk- lands, it cannot condone ‘‘a ser- ious uprising.’’ i

Reports from Port Stanley said there has been no violence. The airliner's passengers, in- cluding three children, and the ctew are lodged in the city while the hijackers, including a \27-year-old ' girl leader, are in ior around the plane.

The’ hijackers held- two Brit- ish policemen hostages for a time, but they were released jand British authorities took con- | trol of the situation.

ands

jof the leaflets and, after a quick | look, threw it away.

Arrested Quebec Separatists Refuse To Return From U.S.

two | They were arrested after New

NEW YORK (CP) \Wredsesdsy: audi torted tt aha iFrench-speaking Canadian sep- |York police were informed that

atists refused Thursday to re- ithe Canadians had started a

jen. & racetrack. at Poxt Stasley. Peake voluntarily to Montreal and ‘hunger strike in Canada Tues- ‘Unknown attackers fired &lyere ordered held without bail \day, leaving the same day with jhall-dozen, pistol shots at the | nti) an Oct. 2% hearing on a plans to demonstrate outside \building of the British Embassy |1,.5; charge of being fugitives |the UN. They carried placards residence here Wednesday night |> , other authorities. lannouncing their hunger strike |while athe, aspen + lo Charles Gagnon, 27, and jand supporting the Quebec Lib- \Elizabeth was dressing for din- | leration Front, a terrorist or

| ‘ \Pierre Vallieres, 28, both of St. jmex.. The shots hit the frost of Alfonse, Que., were arrested |ganization blamed for. many

ithe building but caused no cas- jualties or damage. The s ts iwere fired from two s ing | 'black cars. ;

The shooting was one of sev-

\eral incidents and demonstra- | 1

INSIDE TODAY Weland news iii iia’ 8 Summerside ...... vecese S DOME) ibs Ci adie Editorials ............ jsee Kings, Queens, City .... 5 Fipance:, markets ag tteers “6 wan Wei aNeban be oe

as oh Ca EWE SO KS 1,

oni shores sad B

a

TL.

Classified «....,.. M, beaded “able

|Wednesday as they paraded out- iside the United Nations” head- |quarters here. Montreal police jhad said the two were wanted |there on a charge of non- capi- tal murder.

Police here said Canadian of- ficers were. expected here with a warrant against the two. But when Gagnon and Vallieres ap- peared in court lawyer Robert Ferrara, appointed by the Legal Aid Society, announced that his clients would not waive extradition proceedings. ;

It also was learned Thursday ‘that U.S. immigration authori-

bombings. : Vallieres, a journalist, and Gagyon, a teacher, were found criminally responsible in aosen- tia last week at a Montreal cor- oner’s inquest into the-death of- Jean Carbo, a 16-year-old stu- dent who died July 14 when a bomb he was carrying appar- ently exploded prematurely out- side a’ Dominion Textile plant in Montreal. Five other young men were also held responsible fér the death.

Earlier last week the twe were held criminally respon- sible. along with six others for

‘ties had lodged warrants against ‘the death of Therese Morin, 64,

, the two Canadians ‘as undesir-

Von oy

who died. in a bomb blast at @

|Montreal shoe factory i