inter/national news
Prom Associated Prma reports
U.S. offers plan
for arms reduction
WASHINGTON
Staking out his claim as a man
of peace, Pres Reagan laid
before the world Wednesday a
four-step plan for sheathing nu
clear weapons and pulling back
troops in Europe, challenging
the Soviet Union to "share our
commitment" to arms reduc
tion
"With Soviet agreement, we
could together substantially
reduce the dread threat of nu
clear war which hangs over the
people of Europe," the pre
sident said "This, like the first
footstep on the moon, would be
a giant step for mankind."
Reagan offered to cancel U S
deployment of medium-range
nuclear missiles in Europe if the
Soviets would dismantle the 600
missiles it now has trained on
European targets He called,
too, for slashes in conventional
forces and new efforts to scale
down the nuclear weaponry the
superpowers aim at one
another
And last, he asked new efforts
to guarantee nuclear war will
never erupt though "uncer
tainty or miscalculation "
but Moscow quickly rejected
the president’s initiative as
propaganda designed to cloak
an American attempt to gain
military superiority "through the
back door." While Tass used
those words, another Soviet
news agency, Novosti, said
Kremlin acceptance would ac
tually mean the Soviet Union's
unilateral disarmament "
More holes appear
in Allen story
WASHINGTON
New discrepancies arose
Wednesday in the story of how
Pres Reagan's national securi
ty adviser came to receive
$1.000 in cash from a Japanese
woman s magazine that inter
viewed Nancy Reagan
But Reagan, after first saying
he was in no position to com
ment while the matter was under
review, told reporters the in
cident was investigated, and it
was reported that everything
was fine "
It was not clear what the pre
sident meant, since a Justice
Department investigation still is
under way — as Reagan himself
first indicated — and White
House spokesmen have said
repeatedly there has been no
internal probe of the matter in
volving national security adviser
Richard Allen
*
Meanwhile, it was disclosed
Wednesday by a Tokyo
newspaper and confirmed by
the White House that the
magazine journalists who inter
viewed Nancy Reagan one day
after her husband s inaugura
tion had given her a lacquered
stationery box
That gift was handled accor
ding to usual practice and is
now in storage at the National
Archives, deputy White House
press secretary Larry Speakes
said
But Speakes could not expl
ain why, if the box was present
ed to Nancy Reagan, there
would also be an envelope
containing $1,000 in cash in
tended for her
When the matter first sur
faced last week, Speakes said
the money was intended for
Nancy Reagan but had been
intercepted by Allen, simply
because he didn't want the first
lady or the Japanese journalists
to be embarrassed
Public cuts back
personal spending
WASHINGTON
Recession-wary Americans
cut back their spending last
month for the first time since
April, even though their per
sonal income rose and lower tax
rates allowed them to keep
more of it, the government
reported Wednesday
Instead of spending, they
socked the money away in new
"all savers" certificates and
other accounts as forecasts of
tough economic times became
more noticeable, the Commerce
Department report indicated
All in all, said private econ
omist Sandra Shaber, the report
"was not very pleasant news for
the economy in general and
Christmas shopping in
particular "
Talk of recession and worker
layoffs — as well as the effects of
the lost jobs themselves — often
cause consumers to be more
careful about spending money
But figures for personal income
and spending so far in the cur
rent recession are not as bad as
during last year's short but
steep downturn
The situation has been much
worse in the housing industry,
however, as indicated by Wed
nesday's Commerce report that
builders began construction of
new houses last month at an
annual rate of only 857,000 un
its, the second lowest rate since
the department began com
piling such statistics in 1959
Housing starts for new
single-family dwellings plunged
about 25 percent to an annual
rate of 487,000
Actor Holden
dies from fall
LOS ANGELES
Actor William Holden hit his
head on a table after a drunken
fall in his apartment, then lay
down and bled to death, the
coroner reports
“It may seem strange to us,
but the telephone was never
picked up,” Coroner Thomas
Noguchi said Tuesday "It
seemed that Mr Holden was not
aware of the severe injury to
himself
Noguchi said at a news con
ference that Holden tripped or
slipped on a bedroom throw
rug, hit the sharp corner of a
night table and began bleeding
heavily from a 2Vi-inch cut on
the right side of his forehead
Noguchi said bloodstains
were found on Holden’s bed,
along with eight to 10 bloodied
tissues, indicating that Holden
lay down and tried to stem the
flow of blood The coroner es
timated that Holden was con
scious for five to 10 minutes
after falling, and during those
few minutes he apparently
rolled over and fell off the bed
He died within a half-hour,
Noguchi said
Noguchi said Holden's blood
fluid contained 22 percent
alcohol, a level that would have
required him to drink eight to
10 shots” of liquor at once, or
more over a period of time
Reagan, Senate
battle over budget
WASHINGTON
The Senate rushed Wed
nesday to debate an urgent
money bill to keep the govern
ment running past midnight
Friday, but Democratic House
Speaker Thomas O'Neill
charged Pres Reagan was
certain to veto the measure to
"get a headline "
Privately, Republican Senate
sources confirmed that a veto,
the first of Reagan's presidency,
was likely
But Republican Leader
Howard Baker, R-Tenn , trying
to prevent a confrontation that
could keep Congress in session
through the weekend, ordered a
private head count to see
whether the Senate would bow
to Reagan's wish for across
the-board cuts of 5 percent in
domestic programs
Asked if a veto looked more
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likely since the Appropriations
Committee ignored Reagan’s
request Tuesday for such a cut,
White House deputy press
secretary Larry Speakes re
plied: "No, I think we’re hopeful
that the Senate will come into
line on the 5 percent.”
If not, Speakes said, the pre
sident will “take a long, hard
look" at the bill.
The Democratic-controlled
House rejected Reagan's
proposal in approving its own
version of the bill Monday.
O’Neill, D-Mass , and other
House Democrats claimed their
$415 4 billion measure actually
called for not 5 percent cuts, but
in many cases, the 12 percent
reductions Reagan originally
requested last September
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