August 15, 1972

NYC Police Comr Murphy on Aug 14 endorses Knapp Comm's recommendation that Gov Rockefeller appoint a special deputy atty gen to prosecute official corruption; NYC's 5 Dist Attys meet with M Whiteman, counsel to Gov Rockefeller, to oppose move; Whiteman will rept views of both groups to Rockefeller; illus

comment on chess grandmasters attending World Chess Champ match between Spassky and Fischer; pors

White House press sec Ziegler announces Dr Kissinger held another private meeting on Aug 14 with Le Duc Tho and Xuan Thuy; Hanoi reprs, in Paris, refuse to confirm the Kissinger meeting and score some repts of a new US peace plan by saying that 'everyone knows the Nixon plan is to intensify the war in both zones of Vietnam, pursue the policy of Vietnamization, and maintain the puppet Nguyen Van Thieu in Saigon'; White House officials caution against any speculation about the private meeting; possible role of US Pres elections in talks discussed; key issue in talks remains pol future of S Vietnam; US State Dept continues to deny that W A Harriman and C R Vance had urged Nixon Adm to take advantage of 'an opportunity for a negotiated settlement', as asserted by S Shriver; Sec Rogers, Aug 15, says if US ignored a N Vietnamese peace signal 4 yrs ago, 'it was Pres Johnson who missed the boat, not Pres Nixon', news conf

US Cost of Living Council Dir Rumsfeld, at request of Pres Nixon on Aug 14,meets at White House with reprs of Amer Motors, Chrysler and GM in attempt to get mfrs to withdraw their proposed price increases on '73 model cars; is scheduled to meet with Ford exec on Aug 15; GM spokesman identifies its reprs as vice chmn T A Murphy, exec vp O A Lundin and controller A M Long; Chrysler is represented by chmn L A Townsend, pres J J Riccardo and controller R J Helder; W V Luneburg and I M Anderson represent Amer Motors; in another development, Price Comm discloses that is has yielded in part to consumer advocate R Nader by promising to hold public hearings before it approves any '73 model increases; Rumsfeld por

HIP pres J Brindle and exec vp M Cohen resign on Aug 14 in latest phase of running dispute over future structure and financing of HIP, 2d largest prepaid health ins group in US; resignations are accepted at dirs bd meeting, after which bd reaches compromise agreement on rate increase with NYC, whose employes make up 1/2 of HIP's 740,000 subscribers; 15% rate increase, agreed to by HIP and city, is 1/2 amt approved by NYS and hoped for by HIP officers to carry out reorgn plan aimed at making all participating drs full-time HIP employes and consolidating 28 groups into larger, hosp-based prepaid group plans; HIP gen counsel A Kornfeld will become acting admr; orgn will be run temporarily by 5-man com head by bd member W Michaelson; Michaelson says he welcomes resignations, but denies they were sought; charges that 'chaos' had resulted because officers had 'negotiated with drs' for future services without going to city for approval; HIP had asked for 35% rate increase, effective Aug 1, '72; NYS Ins Comm approved 29% increase on condition that HIP get city approval; city refused to pay more than 10% increase until compromise agreement was reached on Aug 14; final details will be worked out by NYC Personnel Dir Bronstein; orgn controversy revd