V iianrI|PBt0r lEupntng Jimlb MANCHESTER, CONN., THURSDAY, JANUARY 16, 1975- VOL. XCIV, No. 90 Mnncht>sler—A City of Vilh^o Charm TWENTY.FOUR PAGES - TWO SECTIONS PRICE: I II l EEN CEM S CIA Admits S i U.S. Spying Unmoved Congress WASHINGTON (UPI) - Director William E. Colby of the Central Intelligence Agency has acknowledged to Congress that his agency kept files on 10,000 American Dissects Ford Plan citizens and said it also used American business as cover for WASHINGTON (UPI) - President coming 8.7 per cent Social Security cost- troversial. Even the measures that Ford agents abroad. Ford advertised “bad news,” and his of-living increase. can impose on his own authority, including tax and energy program received a On the energy front. Ford’s program the $3 per barrel increase in imported oil Colby made the public admissions in polite but unenthusiastic hearing from would bring about a drastic increase in tariffs, can be repealed by Congress. testimony to the intelligence subcom­ a Congress which now begins taking it fuel costs by ending price controls on oil There is opposition to Ford’s proposal and natural gas and adding a $2 tax to mittee of the Senate Appropriations Com­ apart piece by piece. that Congress impose a $2 per barrel tax mittee Wednesday. He also said: every barrel of domestic and foreign oil. on all oil, foreign and domestic. Many of the pieces likely will be dis­ Ford said he gradually would impose by —The CIA was tipped in 1971 or 1972 to Administration officials have estimated carded. April 1 a $3 per barrel tax on imported oil Ford’s energy proposals would result in an an alleged plot to assassinate Vice Presi­ —using his own emergency powers —pen­ dent Spiro Agnew and kidnap then CIA Conservatives, who might have helped increase in the amount the average family ding congressional action on his other spends for gasoline, electricity and home Director Richard Helms. It alerted the push the program through, were stunned proposals. heating fuel from $950 to $1200 —an in­ FBI and Secret Service, but it also con­ by the budget deficit it will bring — $30 ducted its own surveillance in two U.S. billion in the current fiscal year and a Based on initial congressional reaction, crease of more than 25 per cent. cities; peacetime record $45 billion in the fiscal here is the status of Ford’s program now: In other Washington news today: year beginning July 1. A tax cut is likely to be passed by mid­ • Ford met with congressional leaders —The CIA infiltrated agents into the summer, although there will be much to answer criticism of his economic movement against the Vietnam War. Liberals found little to like except the squabbling over how big a cut and how to blueprint, amid indications he might com­ general idea of a tax cut for individuals. make it. Any cut or rebate is likely to be promise on a proposed tax cut. —The CIA staged three break-ins, in Ford told Congress in a nationally 1966, 1969, and 1971, in an effort to aimed at low and moderate income Asst. Senate Democratic Leader Robert televised State of the Union address taxpayers. Byrd, W. Va., emerged from a White safeguard CIA secrets and security, which Wednesday that: “I’ve got bad news, and I appears to be allowed under the 1947 Some rebate on 1974 taxes is possible, House breakfast meeting saying the Presi­ don't expect much, if any, applause.” He dent may be forced to compromise on both charter. got what he expected from the joint ses­ although it has drawn strong conservative opposition. Sen. Barry Goldwater R-Ariz., taxes and gasoline rationing. —The CIA tapped the phones of 21 U.S. sion of Congress as he outlined a program • John Dean, who played a major role In residents between 1951 and 1965 to check that would add 2 per cent to the cost of said “tax cuts, in my opinion, are not going to save the economy.” the downfall of former President Richard on leaks of classified information. living and add at least 10 cents to the price Nixon, said he’d like to see his ex-boss —The CIA read mail from persons in the of a gallon of gas. Ford’s proposed $80 yearly payment to because “We would have so much to talk United States to two unnamed Communist families too poor to pay taxes still is a Ford’s program calls for a 12 per cent about.” countries between 1953 and 1973. question mark in Congress. rebate on 1974 individual income taxes, a Dean, although, isn’t expecting an in­ But he said said cases in which the agen­ vitation to San Clemente. He said Nixon cy “may have overstepped its bounds” $16.5 billion permanent tax cut mainly at Strong opposition has developed to the lower end of the income scale, cor­ has suffered enough and time may vin­ were “few and far between,” and that the Ford’s proposed business tax cuts,- par­ dicate his presidency. porate tax cuts, yearly $80 payments to ticularly his slash of the corporate ta x . agency never conducted “massive, illegal, It was a standing ovation for Nathan Agostinelli, after he was elected • Congress shows no sign of changing its domestic intelligence activity.” poor adults, a moratorium on new federal rate from 48 per cent to 42 per cent. Manchester GOP chairman by acclamation. (Herald photo by Dunn) spending and a cut to 5 per cent of an up­ position in favor of increased emigration Ford’s energy package is the most con- of Russian Jews, despite administration statements that this was what prompted the Soviet Union to reject the 1972 trade agreement. The reason for the rejection is still con­ Nate Returns and Launches GOP Campaign fusing. There were indications it may in­ dicate a shift in Kremlin thinking, ^ m e By SOL R. COHEN Ticking off the failures of the Agostinelli criticized the Democrats on publicly,” said Susag. “ Having just by Harlan Taylor, with seconding members of Congress feel a restriction of Democratic majority, as he sees them, he Nathan Agostinelli’s re-entry into the Board of Education for refusing to act, retired from the board, I must take issue speeches by Carl Zinsser and Henry export-import bank credits was more mentioned “roads that resemble a war or not knowing how to act “in a very with your statement it is a partisan group, Michalak. significant than the emigration question. Manchester politics Wednesday night zone,” scored as a “public be damned at­ critical situation — when our high school signaled the launching of this year’s controlled by the majority party. The • Louis C. Wyman was declared first titude” the project at Lincoln Center, literally is being destroyed (by van­ school board, in my experience, is non­ Agostinelli noW leads the Republican winner, then loser, and finally winner town committee in two instances — he is municipal campaign — almost 10 calling the result “an environmental dalism).and when-the permissiveness of partisan and non-political.” again of the New Hampshire Senate race. months before the November elec­ nightmare,” and criticized the Democrats our schools also has reached an un­ Agostinelli replied, “I feel I’d be remiss, its chairman and his name is the first on It appears the Senate will debate seating tions. for not improving the entrance to Charter bearable point for we who support them.” after seeing the pictures of the vandalism its alphabetical list. him until the GOP-dominated state Oak Park, “built by our party and Only moments after he was elected by At the end of Agostinelli’s talk, his at Manchester High School, if I didn’t The town committee voted its apprecia­ legislatnre passes a bill to hold a new elec­ something we take great pride in.” acclamation Republican town chairman, criticism of the Baord of Education was make my feelings public.” tion to Berte and instructed its secretary tion between him and John A. Durkin. the former state comptroller and challenged by M. Philip Susag, who Agostinelli succekled A. Paul Berte as Connecticut Sen. Lowell Weicker said He said, “We are amazed at the massive to send Berte a letter of appreciation. Manchester mayor vigorously assaulted retired from the board in November, after GOP chairman. Berte resigfied in late The committee learned to its satisfac­ Wednesday that New Hampshire voters the Democrats for "placing the communi­ amount of revenue-sharing funds that five years service. December, when he accepted appointment should decide whom they want as their have virtually disapppeared, with no tion from Charles McKenzie, its ty in complete disarray” and served T can’t accept what you said about the as First District workmen’s compensation treasurer, that its finances are $188 in the senator. signifiant relief for the taxpayer.” • Former White House aid John D. notice upon them “the Republican party is school board and I want to go on record commissioner. Agostinelli was nominated black, with all expenses paid. out to regain control of government, in Erlichman will not be prosecuted on a order to provide the leadership and direc­ charge of lying to the FBI in the tion Manchester deserves.” • “Plumbers” case, the government has Noting that, “ Despite our serious revealed. economic problems, rising unemploy­ Cotter Seeks Delay of Imported Oil Tax Special Watergate Prosecutor Henry Ruth filed without comment Wednesday a ment, cutbacks in all areas of business and WASHINGTON (UPI) - Rep. New England to shoulder a dispropor­ and higher energy charges, the while the rest of the nation’s prices would dismissal of his appeal in the U.S.