January 7, 1969

Consecrated bishop; becomes titular Bishop of Cerenza and aux to Abp of La Paz, Bolivia

N Vietnamese spokesman indicates his Govt will reject latest allied proposals for shape of table; US official voices deep regret over what he terms N Vietnam's self-righteous attitude and unwillingness to compromise; hints US will not immediately seek another procedural meeting; development appears to set back sharply hopes for early breakthrough; participants in talks and observers wonder whether apparent shift has been caused by Lodge apptmt; feeling that participants are prepared to mark time until Nixon inauguration deepens; Harriman says he expected Lodge apptmt; wishes Lodge well; N Vietnamese spokesman says Lodge apptmt is concern of US; other statements noted; Amer spokesman restates allied position that pattern must be adopted reflecting 2-sided war; Lodge apptmt generates something near jubilation in S Vietnam; Saigon newspapers hail apptmt; enthusiasm in US mission in Saigon is far below that of S Vietnamese

Sills repts Brennan, on request, has been relieved as prosecutor of probe and will be reassigned within Dist Atty's office; announces establishment of new Organized Crime Unit to root out organized crime; com member says Brennan, in closed session, testified that Farley was linked by an informant, in '51, to H Orman, member of organized crime; Sills illus

Citizens Budget Comm predicts rate rise from present $5.22 to as much as $5.57 per $100 of assessed valuation; sees lower rise if city gets bulk of state aid Mayor Lindsay requested or if deep cuts are made in city services